Japan mulls new loan programme June 1, 2010 The Bank of Japan may lend at least one trillion yen (£7.5bn) to commercial banks under a new loan programme to support industries with growth potential that was outlined last month. The central bank will begin lending to banks from September and keep the facility in place for about five years. The bank’s board will [...]
Reinsurers transfer $2.4bn in risk June 1, 2010 Reinsurers transferred $2.35bn (£1.6bn) in catastrophe risk to capital markets before the US hurricane season that began yesterday, higher than the $1.4bn last year, as the catastrophe bond sector starts to resume normal issuance after the global financial crisis. The cat bond sector, in which insurers transfer risks linked to natural disasters to investors, is [...]
Asset sales on Dubai’s agenda June 1, 2010 DUBAI Holding’s main unit yesterday said it may resort to asset sales to deal with its debt after posting a $6.2bn (£4.2bn) loss for 2009, sending shares in Dubai tumbling as the market reacted to the latest setback for the emirate. Dubai Holding Commercial Operations Group (DHCOG), a unit of the conglomerate owned by the [...]
World factory output shows clear growth June 1, 2010 THERE was little sign yesterday of a slowdown in the strong global manufacturing recovery, as leading surveys continued to forecast an expansion in factory activity in May in the US, the UK and the Eurozone. In Britain, the Markit/CIPS manufacturing purchasing managers’ index (PMI) remained at April’s record high of 60.7, which was the strongest [...]
Canada is first G7 state to hike rates June 1, 2010 THE Bank of Canada has become the first G7 central bank to hike interest rates at its monthly meeting. It hiked the cost of borrowing by 25 basis points to 0.5 per cent at its monthly meeting yesterday. But analysts said that the tone of the accompanying statement suggested this could be a one-off hike. [...]
Australia’s rate stays on hold June 1, 2010 AUSTRALIA’S central bank yesterday chose to keep interest rates on hold at 4.5 per cent and indicated that rates could remain steady over the next few months. The Reserve Bank of Australia (RBA) pointed to concerns about sovereign creditworthiness in several European countries. Its governor, Glenn Stevens, said that monetary policy was appropriate for the [...]
Oil falls below $73 per barrel June 1, 2010 OIL fell nearly two per cent to below $73 per barrel in choppy trade yesterday as the euro slid and Chinese and European data raised concerns about the global economy. The euro fell to a four-year low against the dollar on signs the Eurozone’s debt crisis is spreading to its banking system. A stronger dollar [...]
Lloyds gives Crystal Palace crucial lifeline June 1, 2010 THE survival of championship football club Crystal Palace appeared more likely yesterday after a last- minute deal saved it from the threat of liquidation. A life-saving agreement to sell the club’s stadium to a consortium bidding to own both that and the club itself was clinched mid-afternoon. The deal, which seemed like it might be [...]
Vodafone in $2bn Indian tax setback June 1, 2010 VODAFONE’s long-running battle over an acquisition it made three years ago continued yesterday when India’s tax department served a new notice on it, which could see the pair battle it out in court afresh. The case relates to Vodafone’s $11bn (£7.5bn) acquisition of Hutchison Essar in 2007. Indian authorities believe Vodafone should have paid a [...]
ISPs slam Ofcom’s piracy rules June 1, 2010 OFCOM yesterday confirmed it will apply tough new anti-piracy laws only to internet service providers (ISP) with over 400,000 subscribers. The controversial Digital Economy Bill (DEB), passed after Gordon Brown had dissolved his government, will force ISPs to write to users suspected of piracy and could eventually force them to cut the users off. The [...]