Economy Hungary imposes windfall tax on drug producers to plug deficit Hungary’s government has imposed a windfall tax on drug producers based on net revenues generated in 2022 and 2023, as it tries to plug holes in the state budget. According to a government decree late on Friday, the rate increases progressively, and will be eight percent on net revenues exceeding 150 billion forints ($398 million). […] December 25, 2022
Banking & Finance ECB must be ready to take the heat and raise rates further The European Central Bank (ECB) must be prepared to take the heat and raise interest rates further, including by more than the market expects, if that is needed to bring down inflation, ECB policymaker Isabel Schnabel said in an interview published on Saturday. The ECB raised rates for a fourth straight time last week and […] December 25, 2022
Banking & Finance World Bank approves $500m to expand social security in Egypt The World Bank’s executive board has approved $500 million in development financing for Egypt to expand its social safety net and protection programme in the face of global economic pressures filtering through to the country’s economy, the international cooperation minister said on Friday. The funds will support the government’s Takaful and Karama conditional and unconditional […] December 25, 2022
Energy Japan’s Cosmo extends oil production deal with Qatar Japan’s Cosmo Energy Holdings Co Ltd said on Friday it has signed a new agreement with state-run QatarEnergy to continue its operation in the Al-Karkara and A-Structures oil fields, which came into effect after the expiry of the current contract this month. Japan’s Qatar Petroleum Development (QPD), 75 percent owned by Cosmo Energy Exploration & […] December 25, 2022
Banking & Finance Qatar to invest $2bn in Turkish eurobond issue in January Qatar is expected to buy $2 billion worth of Turkish eurobonds next month, delivering on an earlier agreement to shore up Ankara’s forex reserves, said two officials with knowledge of the matter. The Turkish economic officials, who requested anonymity, said Doha had already invested some $1 billion as part of that broader deal. In November, […] December 25, 2022
Markets Elon Musk to pause Tesla share sale for about two years Tesla chief executive officer Elon Musk has said he will not sell any more Tesla stock for about two years. While speaking in a Twitter Spaces audio chat, Musk said he foresees the economy will be in a “serious recession” in 2023 and demand for big-ticket items will be lower. His comments came after a […] December 23, 2022
Economy Turkey holds rate at 9% despite soaring inflation Turkey’s central bank held interest rates steady at nine percent on Thursday despite soaring inflation, fulfilling a pledge to end a brief but sharp easing cycle after President Tayyip Erdogan had called for single-digit rates. The bank, seen by analysts to respond to Erdogan’s will, repeated that inflation of near 85 percent should give way […] December 23, 2022
Economy Japan to unveil record $864bn budget driven by military costs Japan is set to unveil on Friday a record $864 billion budget for the next fiscal year from April, pushed up by increased military spending and higher social security costs for a fast-ageing population, according to a final draft reviewed by Reuters. The draft budget – to be endorsed by Prime Minister Fumio Kishida’s cabinet […] December 23, 2022
Energy Saudi Aramco and Japan extend crude storage deal for three years Japan Organization for Metals and Energy Security (JOGMEC) has renewed a deal with Saudi Aramco for crude oil storage on the island of Okinawa for another three years, the state-run Japanese company said on Thursday. Under the agreement, JOGMEC leases 13 national crude oil stockpiling tanks on the island southwest of mainland Japan to Aramco, […] December 23, 2022
Energy Germany’s Uniper working with Masdar on hydrogen project German utility Uniper on Thursday said it was involved in a project with the United Arab Emirates (UAE) clean energy company Masdar to produce green hydrogen, confirming a report on Bloomberg. The Berlin government this week completed a 34.5 billion euro ($36.55 billion) bailout of Uniper, following European Commission approval, a nationalisation made necessary because […] December 23, 2022
Economy Turkey raises monthly minimum wage by 55% for 2023 Turkey’s monthly minimum wage will be 8,506.80 lira ($455) in 2023, the presidency said on Thursday – a 55 percent increase from the level determined in July and a 100 percent hike from January. Speaking at a news conference earlier, President Tayyip Erdogan said the minimum wage may be hiked again throughout the year if […] December 23, 2022
Economy Egypt’s central bank ups interest rates amid inflation worries Egypt’s central bank hiked overnight interest rates by a greater-than-expected 300 basis points (bps) on Thursday, warning that inflationary pressures were building. The rate hike may signal the central bank may be preparing for a further weakening of the currency. The bank’s Monetary Policy Committee (MPC) raised the deposit rate to 16.25 percent and its […] December 23, 2022
Logistics Adnoc Logistics signs charter deal for LN floating import terminal The maritime logistics arm of state oil firm Abu Dhabi National Oil Company (Adnoc) and Singapore-based Atlantic, Gulf and Pacific (AG&P) have signed a charter agreement to use a liquefied natural gas (LNG) carrier as a floating storage unit in India. The LNG carrier is owned by Adnoc Logistics & Services (Adnoc L&S). It will be used at […] December 22, 2022
Transport Israeli startup makes inroads with personal flying vehicle An Israeli-made electric vehicle designed to fly commuters on short trips far above streets overcrowded with cars has made its maiden unmanned flight, a milestone the developer says will help it reach the market in the next two years. The test-phase voyage may not look out of the ordinary at first given the huge progress […] December 22, 2022
Economy Dozens of merchant ships stuck off Iran as payment snags bite Dozens of merchant ships with grains and sugar are stuck outside Iranian ports after weeks of delays as payments snags disrupt flows of goods into the country, according to trade sources and shipping data. Food is exempt from the West’s sanctions on Iran over its nuclear programme, but the impact of the sanctions on Iran’s […] December 22, 2022
PIF buying 30% stake in district cooling firm Saudi Tabreed Saudi Arabia’s Public Investment Fund (PIF) has acquired a 30 percent stake in district cooling company Saudi Tabreed through a private placement of shares, according to a bourse filing on Wednesday. The sale is subject to completion procedures. Saudi Tabreed is the local venture of the UAE-listed National Central Cooling Company (Tabreed). Meanwhile, Tabreed has […] December 22, 2022
Markets Bankers expect tough 2023 as IPO volumes at lowest since 2008 Investment bankers are bracing for another tough year ahead after losing out on lucrative fees from arranging stock sales, as the market for initial public offerings (IPOs) plummeted to its lowest level since the financial crisis of 2008. With questions swirling around monetary policy and the prospect of a looming recession, IPO advisers are not […] December 21, 2022
Banking & Finance Turkish central bank expands bond holding requirements Loans given to Turkish companies’ small- and medium-sized enterprise (SME) subsidiaries will be included when calculating the amount of bonds that lenders are mandated to hold, according to new regulations from the central bank. In a letter sent to banks and seen by Reuters, the central bank said that for the loans to be considered […] December 21, 2022
Banking & Finance Oman sovereign fund targets $5bn spend in 2023 Oman Investment Authority (OIA), a sovereign wealth fund, aims to spend OMR 1.9 billion ($4.95 billion) on investment projects in 2023, state media reported on Tuesday. The OIA said financing for the investment projects will come from the local and foreign private sector, from financing institutions, or from the agency itself or its subsidiaries. The […] December 21, 2022
Economy Egyptian shops face shortages as government acts to tame prices Supplies of basic foods at Egyptian supermarkets have been squeezed and some stores are rationing products, with shopkeepers blaming an import slowdown and speculation by traders as prices rise. Headline inflation has surged to five-year highs of more than 18 percent in Egypt, spurring many shoppers to cut back on purchases or switch to cheaper […] December 21, 2022
Economy How governments are trying to ease impact of inflation? Pandemic-related disruptions to global supply chains and the effects of Russia’s war in Ukraine have driven up prices of energy, commodities and necessities. Here’s how governments are trying to help hard-hit consumers and companies: Middle East and Africa – Saudi Arabia and the United Arab Emirates in July raised social welfare spending. – Egypt has […] December 20, 2022
Economy Bank of Korea stresses highly uncertain inflation path South Korea’s central bank said on Tuesday the country’s consumer inflation would remain around five percent for some time and then gradually ease, but cautioned that domestic and global factors are raising uncertainty about how fast prices will slow. “Going forward, uncertainty is high with regard to the oil prices, foreign exchange rates, domestic public […] December 20, 2022
