China

SE Asia Stocks-Vietnam leads plunge as region battered by oil rout
20May By Team FPNo Comments
Asia, China, Singapore

SE Asia Stocks-Vietnam leads plunge as region battered by oil rout

* Vietnam marks worst day since March 30    * Malaysia's worst session in over four weeks Southeast Asia markets closed lower ledby Vietnam stocks on Tuesday, rattled by a historic crash inU.S. oil prices that laid bare the disruption caused by thecoronavirus pandemic.     The plunge, which pressured global markets, was a result ofa storage squeeze which turned holders of U.S. crude contractsexpiring later on Tuesday to forced sellers. This amid a lack ofdemand for oil as countries around the world observe lockdownsto curb the spread of the coronavirus.    "The impact of negative oil means different things fordifferent Asian economies - but if you have to generalize, itisn't great news," Robert Carnell, regional head of research,Asia-Pacific at ING, wrote in a note.    Such a big negative ...
Read More
Facebook, three Indonesian firms in early talks for mobile payment approval: sources
20May By Team FPNo Comments
Asia, China, Singapore

Facebook, three Indonesian firms in early talks for mobile payment approval: sources

Facebook Inc is preparing to apply for regulatory approval in Indonesia to launch mobile payments in partnership with three local digital fintech firms, people familiar with the matter told Reuters. The plan, if approved, could be among the first such services under the unified payment service Facebook Pay it, which the social media platform unveiled in November. It allows users across its various platforms including WhatsApp and Instagram to make payments without exiting the app. The move comes amid early partnership talks between the social network and ride-hailing and payments firm Gojek. Four sources said Facebook wants to capitalize on the Indonesian market and is preparing for regulatory approval in the country. The three e-wallet operators are Indonesian ride hailing firm Gojek’s Go...
Read More
Rationale behind issuance of Indonesia’s ‘pandemic bond’
20May By Team FPNo Comments
Asia, China

Rationale behind issuance of Indonesia’s ‘pandemic bond’

Earlier this month, the Indonesian government issued a series of three sovereign US dollar-denominated bonds totaling US$4.3 billion. The three bonds are the RI1030, worth $1.65 billion with a tenor of 10.5 years, the 30.5-year RI1030 worth $1.65 billion, and the 50-year RI0470 worth $1 billion. The last has the longest tenor among dollar-denominated bonds issued in Asia. Indonesia is also the first country in the region to issue global bonds as a response to the COVID-19 pandemic. The issuance of the "pandemic bond" series is one of the most visionary measures stipulated in regulation in Regulation in lieu of Law (Perppu) No. 1/2020 on state finance and financial system stability, in addition to the fiscal stimulus deployment, the budget deficit cap adjustment to above 3 percent, and the ...
Read More
Indonesia Receives Vital Equipment From China to Ramp Up Covid-19 Testing
20May By Team FPNo Comments
China

Indonesia Receives Vital Equipment From China to Ramp Up Covid-19 Testing

Jakarta. The Indonesian government’s Covid-19 Task Force received shipment of sophisticated laboratory equipment for coronavirus infection diagnostic testing from China on Saturday to help achieve a minimum testing number of 10,000 per day. The country reported 8,607 confirmed cases on Saturday, including 729 deaths. Many believe the actual number of infections and mortality rate are much higher than the official data from the government, due to lacks of testing and medical equipment such as ventilators. The equipment included three main types namely viral ribonucleic acid (RNA) isolation kit, multiplex reverse transcription polymerase chain reaction (RT-PCR) testing kit and viral transport medium kit, task force’s director of communication Agus Wibowo said in a statement.  “The three type...
Read More
India’s new FDI rules may open new flashpoint with China
20May By Team FPNo Comments
Asia, China

India’s new FDI rules may open new flashpoint with China

On Saturday, India stepped up scrutiny of investments from companies based in neighbouring countries, in what is widely seen as a move to stave off takeovers by Chinese firms during the coronavirus outbreak. India's new rules for foreign investment violate WTO principles of non-discrimination and are against free and fair trade, a Chinese embassy spokesperson said on Monday, potentially opening a new flashpoint in their uneasy ties. On Saturday, India stepped up scrutiny of investments from companies based in neighbouring countries, in what is widely seen as a move to stave off takeovers by Chinese firms during the coronavirus outbreak. The changes to federal rules on investment were meant to curb opportunistic takeovers and acquisitions, the government said, but it did not mention China i...
Read More
Alibaba will invest $28 billion in the cloud as it challenges Microsoft and Amazon head-on
20May By Team FPNo Comments
China, USA

Alibaba will invest $28 billion in the cloud as it challenges Microsoft and Amazon head-on

Alibaba Group Holding Ltd. will invest 200 billion yuan ($28 billion) on cloud infrastructure such as datacenters over the next three years, a major effort to extend one of its fastest-growing businesses to more countries. That huge outlay -- equivalent to about half the revenue the entire company generated in fiscal 2019 -- underscores the importance of a division Alibaba relies on to spearhead its international expansion. The Chinese e-commerce giant now plans to build more datacenters to complement an existing network covering 21 regions globally and support the development of technologies in areas such as AI-inference chips, it said in a statement. Cloud computing has become one of Alibaba’s fastest-growing initiatives beyond the traditional e-commerce sphere. The division’s revenue ro...
Read More
China leaves top three foreign investors in Germany
20May By Team FPNo Comments
China

China leaves top three foreign investors in Germany

Official data has showed that China dropped out of the top three foreign investors in Germany for the first time in more than a decade as the Chinese government focuses on boosting the domestic economy.Germany Trade & Invest (GTAI), a government institution, said that China is now the fourth largest contributor of foreign direct investment to Germany, behind the United States, Britain and Switzerland.GTAI managing director Robert Hermann said  the drop to an economic strategy promoted by the Chinese government that focuses on stimulating the domestic economy was related to investments in infrastructure as well as in research and development.“The Chinese government regulates capital exports,” Hermann said. “It’s increasingly focused on boosting investments domestically.” The data reveal...
Read More
China’s Airliners may not rebound for two years
20May By Team FPNo Comments
China

China’s Airliners may not rebound for two years

It is believed that China’s air transportation system is already experiencing a recovery from the COVID-19 epidemic. However, there is catch and the Chinese Airliners may not rebound for at least two years. The hopes were rekindled following the reviews of schedule filings that showed that Chinese airlines are adding flights back, even in some regions to as much as 70% of pre-epidemic levels.Although restoration of capacity toward pre-COVID levels is bring reported, China’s air transportation system is not likely to fully recover for at least another two years. It is based on a number of factors: pre-COVID traffic trends, current economic trends in China, and, importantly, a certain collapse of international leisure traffic, both inbound and outbound.  This long-term air service contractio...
Read More
16May By Team FPNo Comments
China, Singapore

Securities and Exchange Commission caution Philippines public over investment

The Securities and Exchange Commission (SEC) of the Philippines has asked the public again to exercise caution when presented with opportunities to invest in businesses or join organizations promising easy money amid the COVID-19 pandemic.In The SE has identified five more groups engaged in investment-solicitation activities without the necessary licenses: CryptoInvestWith.Us (CIW.U), Won Project/ Won Network/ Won Foundation, Captcha Philippines, Inc., Fil-Invest, and Xtreme House of Beauty Trading Corporation.CIW.U, Won Project, Captcha Philippines, Fil-Invest and Xtreme have neither registered securities such as investment contracts nor secured secondary licenses to solicit and take investments from the public, as required under Republic Act No. 8799, or The Securities Regulation Code.Fu...
Read More
15May By Team FPNo Comments
China

Thailand to open economy as coronavirus eases

Thailand is set to allow department stores, shopping malls and other businesses to reopen from Sunday as new coronavirus cases dwindle, the government said. Stores selling electronics, furniture and office supplies will be among the businesses allowed to resume operations, said Taweesin Wisanuyothin, a spokesman for the government's Centre for COVID-19 Situation Administration.The global pandemic has led to strict lockdowns across the world. In Thailand, large stores aside from grocery shops and pharmacies have been closed since late March when daily cases surged above 100."I expect our numbers to remain good so that we can further relax restrictions in the next phases to return to normalcy," Taweesin said. While easing more restrictions was necessary for domestic econonomic activity to re...
Read More