Asia Archives - Page 20 of 97

<strong>Business closures surge as Foreign Capital flees China</strong>

6Jun

By Michael SmithNo Comments

Asia, China, Market

Business closures surge as Foreign Capital flees China

China is currently facing a significant economic challenge. Foreign capital, once a major driver of the country’s growth, is rapidly withdrawing. This shift is triggering a domino effect, leading to widespread business closures. Furthermore, salary cuts across various sectors are becoming increasingly common, adding to the mounting economic pressure.Foreign capital is withdrawing and a wave of business closures is sweeping across the country accompanied by a further spread of salary cuts and wager arrears within the system throughout China. By late May public servants in various parts of the Mainland told new Tang Dynasty television that waves of layoffs, salary cuts or job losses have become common place in State owned Enterprises leaving many without a guaranteed livelihood. Miss Xiao, ...

East Asian nations are forced to allow their currencies to fluctuate due to speculative attacks, which led to the Asian Financial Crisis of 1997.

5Jun

By Online DeskNo Comments

Asia

East Asian nations are forced to allow their currencies to fluctuate due to speculative attacks, which led to the Asian Financial Crisis of 1997.

In the summer of 1997, capital flight forces several East Asian countries to let their currencies float: the ensuing Asian Financial Crisis threatens the international financial system. After the end of the Cold War in 1991, capital flowed into booming East Asian countries (Thailand, Philippines, Malaysia, Indonesia, and South Korea). Foreign investors were animated by their impressive economic growth since the 1960s, their stable and pegged exchange rates, and their policies of financial market liberalization. Private net inflows to these countries increased drastically, rising from US$40.5 billion in 1994 to US$93 billion in 1996. As a result of this inflow of capital, East Asian countries experienced simultaneous credit, stock price, and real estate bubbles. Their currencies beca...

3Jun

By Online DeskNo Comments

Asia, Market, World

World Economic Situation and Prospects: June 2024 Briefing, No. 181

Enhanced global economic outlook amid persistent vulnerabilities Global macroeconomic outlook The global economic outlook has improved since the previous forecast released in January 2024. Despite the most aggressive monetary tightening in decades, a hard landing scenario of the United States economy has largely receded. Most major economies have managed to bring down inflation without increasing unemployment and triggering a recession. However, the outlook is only cautiously optimistic as higher-for-longer interest rates, debt difficulties, and escalating geopolitical risks will continue to challenge stable and sustained economic growth. Ever-worsening climate shocks continue to pose additional challenges to the global economic outlook, threatening decades of development gains, esp...

31May

By Online DeskNo Comments

Asia, China, Market, World

Has investment banking lost its appeal among graduates from China’s elite schools?

In April, six months into an internship at an investment firm in Beijing, 24-year-old Wang Xuan (pseudonym) was told by Human Resources (HR) that he would not be offered a full-time position. Wang was unexpectedly calm when he got the news, remarking: “I anticipated this.” Signs of trouble emerged last year. He had come across reports of job cuts within the sector and got wind of discussions in the pantry regarding unpaid bonuses from the previous year. Senior colleagues openly expressed a desire to “lie flat” and resign themselves to the possibility of being laid off. Wang sighed, “Longtime employees might receive a retrenchment package of up to a million RMB. With that sum, they can afford to take a gap year and recharge. But for fresh graduates like us, it’s all about facing the ...

“Booming” economy, while many still struggle

31May

By Online DeskNo Comments

Asia

“Booming” economy, while many still struggle

When it comes to the simultaneous existence of growth and crisis, Bangladesh has become a model. There is a growth of per capita income on the one hand, and financial hardship, unemployment, hunger, malnutrition, and financial insecurity suffered by the majority of people on the other. Unprecedented expansion of private banks is happening while the banking sector faces a crisis with rising defaulted loans and big theft of bank money. Over the last decade, we have seen a construction boom on the one hand, and the highest rates of deforestation, air and water pollution, and land- and river-grabbing on the other. The super active propaganda machine of the government as well as their local and foreign partners consistently try to make us believe that the country is on the highway of develo...

India’s rapid economic development creates a solid foundation for the upcoming government.

31May

By Online DeskNo Comments

Asia

India’s rapid economic development creates a solid foundation for the upcoming government.

NEW DELHI, May 31 (Reuters) - India's economy grew at a faster-than-expected pace of 7.8% year-on-year in the first three months of 2024, helped by a strong performance in the manufacturing sector, and economists expect the momentum to continue this year.The highest growth pace among the largest economies globally will bolster the economic record of Prime Minister Narendra Modi, who is hoping to win a rare third term in the national election, with results set to be released on June 4.Investors are looking ahead to the election outcome and the full-year budget in mid-July to see what steps the new government might take to boost the economy.The Reserve Bank of India's (RBI) record surplus transfer of 2.11 trillion rupees ($25.3 billion) will help the next government to increase state spendi...

According to Moody’s, India’s economy would rise rapidly in 2024 and 2025.

31May

By Online DeskNo Comments

Asia

According to Moody’s, India’s economy would rise rapidly in 2024 and 2025.

The Indian economy is expected to witness 6.8% growth this year and 6.5% in 2025, according to Moody’s Ratings, which was based on robust economic performance and continued post-election policy. Real GDP growth in India increased to 7.7% in 2023 from 6.5% in 2022, primarily due to the government’s heavy capital spending and brisk manufacturing output. High-frequency indicators have shown continued economic momentum in the March and June quarters of this year. These indicators include robust goods and services tax revenues, growing auto sales, consumer optimism, and expanding manufacturing and services PMIs. “We believe the Indian economy should comfortably register 6-7 per cent annual real GDP growth and we forecast around 6.8 per cent growth,” Moody’s said in its update to Globa...

AI and climate shocks present difficulties for the Indian economy, according to the RBI annual report.

30May

By Online DeskNo Comments

Asia

AI and climate shocks present difficulties for the Indian economy, according to the RBI annual report.

Mumbai: The Indian economy would need to navigate some of the challenges arising out of the rapid adoption of artificial intelligence and machine learning technologies, and recurrent climate shocks, even as it is poised for stronger growth over the next decade, the Reserve Bank of India (RBI) said in its annual report for FY24. The central bank said that the growth in the next decade would come in the backdrop of macroeconomic and financial stability as India uses its demographic dividend and make the most of competitive advantages. “…the Indian economy is navigating the drag from an adverse global macroeconomic and financial environment,” it said in the report released on Thursday. However, real gross domestic product (GDP) growth is robust on the back of solid investment demand...

29May

By Online DeskNo Comments

Asia, China, Market, World

China hands rare death sentence to former senior banker for taking US$151 million in bribes

Former manager Bai Tianhui is the second China Huarong official to receive the ultimate penalty, after his former boss was executed in 2021No mention was made of Bai’s intention to appeal the court’s ruling, which is unusually severe in Chinese corruption cases A court in eastern China delivered a rare death sentence on Tuesday, after finding that a former senior banker accepted bribes worth more than 1.1 billion yuan (US$151 million) in his role with one of the country’s top four state asset managers. Bai Tianhui, former general manager of China Huarong International Holdings (CHIH), took advantage of his position to aid others in the acquisitions and financing of projects in exchange for the huge sums, the court found. A report on the Secondary Intermediate People’s Court of Ti...

29May

By Online DeskNo Comments

Asia, China, Market, World

Georgian Finance Minister, delegation of China’s Export-Import Bank discuss cooperation

Georgian Finance Minister Lasha Khutsishvili on Wednesday discussed economic and trade cooperation with China with a visiting delegation of the country’s Export and Import Bank state policy bank. The meeting comes as part of intensified ties between the two governments, who signed a strategic partnership agreement in July last year. The Georgian Ministry said the meeting with the delegation also featured Ekaterine Guntsadze, the country’s Deputy Finance Minister.

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