Market

China’s Debt to Africa: A Balancing Act Between Development and Dependency
8Mar mmBy Walter ParezNo Comments
China, Market

China’s Debt to Africa: A Balancing Act Between Development and Dependency

China’s financial engagement with Africa has increased significantly over the past few decades, making it one of the continent’s most influential economic partners. This relationship, characterized by extensive loans and investments, has fuelled infrastructure development across Africa but has also sparked intense debate over the risks associated with rising debt levels. Critics warn of potential economic dependency and “debt-trap diplomacy,” while proponents argue that Chinese financing has been a crucial driver of Africa’s modernization. As of 2020, Chinese lenders accounted for approximately 12% of Africa’s external debt, which had grown more than fivefold since 2000, reaching $696 billion. Between 2000 and 2023, Chinese financial institutions extended 1,306 loans, to...
Read More
China Rejects Pakistan’s $2 Billion Loan
8Mar mmBy Walter ParezNo Comments
China, Market

China Rejects Pakistan’s $2 Billion Loan

China rolled over a $2 billion loan to Pakistan, the adviser to the finance minister of Pakistan, Khurram Schehzad, told Reuters in a text message on Saturday. Pakistan is working to strengthen its finances after securing a $7 billion International Monetary Fund bailout in September 2024. The first installment of the loan is currently under review, and if successful, Pakistan will receive an additional $1 billion. Securing external financing has previously been a key condition for the IMF to approve bail-out deals for the cash-strapped nation. The South Asian nation needs to repay over $22 billion in external debt in fiscal year 2025, including nearly $13 billion in bilateral deposits, Fitch said
Read More
Everything Regarding the 2018 Italian Economic Crisis
4Mar mmBy Walter ParezNo Comments
Market, World

Everything Regarding the 2018 Italian Economic Crisis

The eurozone, also called the euro area, is a union of 20 European Union member states that have officially adopted the euro as their primary currency and sole legal tender. These member states exist under one monetary authority, the Eurosystem. At the beginning of 2018, Italy was the third-largest economy in the currency bloc. When Italy entered into a deep political and economic crisis, it was a concern for the European Union (EU) and the global markets. At the time, Italy accounted for 11% of the EU's gross domestic product (GDP). At the end of September 2018, the ruling coalition comprising the Five Star Movement (M5S)—a political party that espoused a populist, anti-establishment view (and was critical of the EU)—and the Lega Nord—also a political party in Italy—submitted their...
Read More
China is expected to experience a protracted slump.
4Mar mmBy Walter ParezNo Comments
China, Market

China is expected to experience a protracted slump.

The risk of China spiralling into an unprecedentedly prolonged recession is increasing. Its economy is experiencing deflation, with the price level falling for a second consecutive year in 2024, according to recent data from the National Bureau of Statistics of China. It’s on track for the longest period of economy-wide price declines since the 1960s. Coupled with the collapse of the property sector, a looming trade war with the United States and demographic and debt overhang challenges, much of the Chinese public has lost confidence in the economy and its leadership. The country has the ingredients for a recession, and not a short one. It has spent too much on investment and needs to turn to consumption as a source of demand, but people are unwilling to spend. They have long had...
Read More
China might collapse due to a trade war. For Beijing, Trump’s timing couldn’t be worse.
5Feb mmBy Walter ParezNo Comments
China, Market

China might collapse due to a trade war. For Beijing, Trump’s timing couldn’t be worse.

Even though it is Chinese New Year this week, Beijing has wasted no time in hitting back at Trump’s additional 10% tariff on all US imports from China. For now, though, this remains a mere skirmish, yet to escalate into a full-blown trade war — it could yet lead to some sort of negotiation and agreement. We’ve seen this already in Mexico and Canada. The risk, though, is that while these north American countries are neighbours and supposedly America’s allies, China is a strategic adversary. Trade conflict is a symptom of deeper political and economic tensions. The problem for China is that its economy is not well positioned to weather a new major external shock.For now, a 10% tariff increase would have a minor impact, maybe subtracting about 0.2% from Chinese GDP in 2025 — a fairly trivial...
Read More
Singapore becomes a haven for companies and investors fleeing tensions between the US and China.
24Jan mmBy Brian ThompsonNo Comments
China, Market, Singapore, USA

Singapore becomes a haven for companies and investors fleeing tensions between the US and China.

Its reputation of political neutrality — and strength in life sciences — is making Singapore a favoured launchpad for western investors and Chinese startups. Two years ago, Polaris Partners, the investment arm of US pharmaceutical company Polaris, opened an office in Singapore as it started to ramp up investments in the Asian country. “Singapore has an extraordinary ecosystem,” says Amy Schulman, managing partner at Polaris Partners. “It has first rate science that gets a good amount of government support. It has terrific intellectual property protection, and it has organised rule of law system that makes things very appealing.” Singapore’s favourable tax system and English-speaking business community have also made it an ideal jumping off point for international companies se...
Read More
Singapore Stock Market May Extend Gains On Positive Sentiment
24Jan mmBy Brian ThompsonNo Comments
Market, Singapore

Singapore Stock Market May Extend Gains On Positive Sentiment

The Singapore stock market, represented by the Straits Times Index (STI), ended a three-day losing streak on Thursday, closing 25.36 points or 0.67% higher at 3,806.57. Gains were led by financial and property stocks, while industrial counters showed mixed performances. Top performers included DBS Group, which rallied 1.13%, and Hongkong Land, which rose 1.20%. Comfort DelGro gained 0.72%, while SingTel advanced 0.97%. However, Seatrium Limited fell 1.33%, and Keppel Ltd shed 0.45%. The positive momentum is expected to continue, supported by upbeat global cues as European and US markets closed higher. This optimism comes ahead of the Lunar New Year holidays, with analysts expecting Asian markets to follow suit. Additionally, Singapore’s industrial production data for December...
Read More
Home prices in Singapore increase 2.3% as market speculation increases.
24Jan mmBy Brian ThompsonNo Comments
Market, Singapore

Home prices in Singapore increase 2.3% as market speculation increases.

Singapore home prices rose at the same pace as initially estimated in the last quarter of 2024, amid analyst forecasts that the government may intervene to cool the market this year. Private residential prices climbed 2.3% in the fourth quarter from the previous three months, according to final figures released by the Urban Redevelopment Authority on Friday, matching an earlier estimate. For the whole of 2024, prices rose 3.9%. Rents for private homes – closely watched by expats and locals alike – were unchanged from the previous three months, when they gained 0.8%. It contributed to a 1.9% fall in rents in 2024, the first drop since 2020. The resurgence in residential values was driven by a flurry of projects released around the end of last year. Lower interest rates attract...
Read More
By 2033, the global sports medicine industry is expected to reach $12.32B.
24Jan mmBy Michael SmithNo Comments
Market

By 2033, the global sports medicine industry is expected to reach $12.32B.

Emerging technologies include regenerative medicine and advanced physiotherapy. The global sports medicine market is projected to hit $12.32b by 2033 at a compound annual growth rate of 6.04%, said Research and Markets. The sector’s expansion is attributed to treatment advancements, increased participation in sports, and a greater awareness of fitness. In addition, a demand for innovative treatments and rehabilitation equipment is driving market growth. Emerging technologies such as regenerative medicine, minimally invasive surgeries, and advanced physiotherapy techniques are gaining traction in the sector. Meanwhile, developments in stem cell therapy, cryotherapy, and laser therapy contribute to reduced recovery times and improved injury management.
Read More
The markets are kept in suspense by Trump’s China trade war strategy.
24Jan mmBy Michael SmithNo Comments
Market

The markets are kept in suspense by Trump’s China trade war strategy.

Donald Trump hasn’t applied maximum tariff pressure on China, yet, leaving room for markets to speculate and swoon Your move, President Xi. This may be the key message from Donald Trump’s surprising reversal on massive “day one” tariffs on China. The reprieve Trump appears to have granted Asia’s biggest economy is one Xi Jinping’s Communist Party surely didn’t see coming. For weeks now, Trump and the gang of anti-China advisers he’s named to his new administration promised immediate 60% tariffs as the centerpiece of a “shock-and-awe” trade war. Not so fast, it turns out. Taxes on Chinese goods are notably absent from the tsunami of first-week executive orders. When pressed, Trump even lowered his sights. Whereas Canada and Mexico face 25% levies by February 1, China might suf...
Read More