17 February 2020

Macro Economy

  • Guangdong is among the Chinese provinces that have set lower economic growth targets for this year. Photo: Bloomberg

    China provinces cut 2020 GDP growth targets

    Jan 22, 2020 3:20pm
    About two-thirds of China’s provinces, regions and municipalities have cut their 2020 growth targets from last year, Reuters reports. Of provincial-level regions, 22 including Beijing, Guangdong, Zhejiang, Henan, Hainan, and Fujian, set lower growth targets this...
  • The Hong Kong government's failure to come up with a solution to end the social unrest has prompted Moody's to downgrade the territory's credit rating. Photo: Reuters

    Moody’s cuts HK rating on slow govt response to protests

    Jan 21, 2020 4:00pm
    Moody’s downgraded Hong Kong’s credit rating one notch to “Aa3” from “Aa2” on Monday, saying its view on the strength in the city’s institutions and governance is “lower than previously estimated,” Reuters reports. The agency, however,...
  • China remained the second largest recipient of FDI globally, but the nation's direct investments overseas have fallen. Photo  Reuters

    China 2019 FDI up 5.8%, outbound investment slumps

    Jan 21, 2020 3:59pm
    Foreign direct investment (FDI) in China was up 5.8 percent last year to 941.5 billion yuan (US$136.71 billion), the nation’s commerce ministry said on Tuesday. It marked the biggest rise since 2017, when FDI grew 7.9...
  • The #MeToo movement has revealed the growing financial, reputational, and operational risks facing companies that fail to address issues of workplace discrimination, sexual harassment, or misconduct. Photo: Reuters

    Walking the talk of stakeholder capitalism

    - Jan 21, 2020 1:16pm
    The role of corporate boards has never been more important, nor subject to as much scrutiny, as it is today. The technological, environmental, geopolitical, and socioeconomic transformations of the past two decades are driving a re-examination...
  • China will continue to implement tax and fee reduction measures this year, focusing on the manufacturing sector, a minister said on Monday. Photo: Bloomberg

    China confident of stabilizing industrial growth: minister

    Jan 20, 2020 3:07pm
    China is confident of maintaining steady industrial growth this year despite big pressures on the sector, with tax cuts and broad policy support likely to help stabilize the situation, the nation’s industry minister said on Monday....
  • US President Donald Trump and Chinese Vice Premier Liu He sign the trade deal at the White House on Jan. 15. Photo: Reuters

    Why US is not the only winner of the trade deal

    - Jan 20, 2020 12:31pm
    The long-awaited Phase 1 trade deal between China and the United States was signed last Wednesday. The talks hit a serious snag last year, but since then China has apparently yielded to some of the US...
  • Donald Trump may be a good president for the top 1 percent – and especially for the top 0.1 percent – of the US population but he has not been good for everyone else, says the author. Photo: Bloomberg

    The truth about the Trump economy

    - Jan 20, 2020 11:05am
    As the world’s business elites trek to Davos for their annual gathering, people should be asking a simple question: Have they overcome their infatuation with US President Donald Trump? Two years ago, a few rare corporate...
  • The South Korean state bet on several family-based conglomerates, known as chaebol, to develop the country’s automotive industry. Photo: Bloomberg

    How developing countries create industrial champions

    For many firms in emerging and developing economies, emulating the success of the likes of Samsung and Hyundai may seem like an impossible dream. But the rapid economic growth of Japan, South Korea, and other Asian...
  • India's economy could easily achieve annual growth in the range of 8 to 10 percent if the government adopts the right mix of growth-enhancing reforms, says the author. Photo: AFP

    Has the world economy reached peak growth?

    - Jan 17, 2020 11:04am
    At the start of a new decade, many commentators are understandably focused on the health of the global economy. Gross domestic product growth this decade most likely will be lower than during the teens, barring a...
  • China's gross domestic product rose 6.1 percent last year, the slowest annual rate of expansion it has seen since 1990. Photo: Reuters

    China posts weakest growth in 29 years amid trade tensions

    Jan 17, 2020 11:02am
    China’s economic growth slowed to its weakest in nearly 30 years in 2019 amid a bruising trade war with the United States and sputtering investment, and more stimulus steps are expected this year to help avert...
  • The trade agreement includes tougher rules on labor and automotive content. Photo: Reuters

    US Senate passes North America trade deal

    Jan 17, 2020 8:19am
    The US Senate approved a revamp of the 26-year-old North American Free Trade Agreement that includes tougher rules on labor and automotive content but leaves US$1.2 trillion in annual US-Mexico-Canada trade flows largely unchanged.  The legislation...
  • The People's Bank of China has cut the reserve requirement ratio eight times since early 2018 to help shore up the cooling economy. Photo: Bloomberg

    Room limited for further RRR cuts, says PBoC official

    Jan 16, 2020 4:33pm
    China’s reserve requirement ratio (RRR) is at an appropriate level and there is limited room for further cuts, a central bank official said on Thursday. China will make timely adjustments to benchmark deposit rates, and should...
  • US soybean suppliers will continue to face stiff competition for sales to China from a likely record-large Brazilian crop. Photo: Reuters

    China says pledge on US farm goods based on ‘market conditions’

    Jan 16, 2020 2:42pm
    China’s pledge to buy US farm goods based on “market conditions” during the Phase 1 trade deal signing ceremony on Wednesday added to doubts among farmers and commodity traders over Beijing’s lingering tariffs on US exports....
  • US President Donald Trump and Chinese Vice Premier Liu pose for photographers after signing the trade agreement at the East Room of the White House in Washington on Wednesday. Photo: Reuters

    US and China sign initial deal to ease trade tensions

    Jan 16, 2020 7:33am
    The United States and China signed an initial trade deal on Wednesday that will roll back some tariffs and boost Chinese purchases of US products, defusing an 18-month row between the world’s two largest economies but...
  • China has pledged to raise US agriculture purchases by some US$32 billion over two years above the 2017 baseline of US$24 billion. Photo: Reuters

    Analysts doubt if China can achieve Phase 1 commodity pledges

    Jan 15, 2020 9:38am
    Commodity traders and analysts are struggling to map out how China will reach the eye-popping amounts it is committing to buy from the United States under Phase 1 of their trade deal. China has pledged to...
  • US Treasury Secretary Steven Mnuchin said President Donald Trump could consider easing tariffs if the world’s two largest economies move quickly to seal a follow-up agreement. Photo: Bloomberg

    US tariffs on Chinese goods to stay until Phase 2 deal: Mnuchin

    Jan 15, 2020 9:28am
    The United States will maintain tariffs on Chinese goods until the completion of a second phase of a US-China trade agreement, US Treasury Secretary Steven Mnuchin said on Tuesday, a day before the two sides are...
  • China’s exports rose for the first time since July 2019. Photo: Reuters

    China December exports up 7.6%, imports up 16.3%

    Jan 14, 2020 3:26pm
    China’s exports rose for the first time in five months in December and by more than expected, signaling a modest recovery in demand as Beijing and Washington agreed to defuse their prolonged trade war, Reuters reports....
  • Taiwan's central bank will continue to dialog with the United States, an official said. Photo: Bloomberg

    Taiwan denies using swaps to intervene in currency market

    Jan 14, 2020 11:26am
    Taiwan’s central bank has never used swaps to intervene in the currency market, a senior central bank official told Reuters on Tuesday, after the US Treasury Department cited an analyst report suggesting the island was doing...
  • The new rules extend the powers of CFIUS to review non-controlling investments made by foreigners in key areas like critical technologies, infrastructure and sensitive personal data. Photo: Xinhua

    US exempts some Australia, Canada, UK firms from CFIUS review

    Jan 14, 2020 8:33am
    The Trump administration will exempt some companies from Australia, Canada and the United Kingdom from beefed up scrutiny of foreign investments in the United States, under rules released on Monday, Reuters reports, citing a senior Treasury...
  • The US Treasury Department said China has made “enforceable commitments to refrain from competitive devaluation” and agreed to publish relevant data on exchange rates and external balances as part of the Phase One trade deal. Photo: AFP

    US Treasury removes designation of China as currency manipulator

    Jan 14, 2020 8:18am
    The US Treasury Department said China should no longer be designated a currency manipulator in a long-delayed semi-annual currency report, reversing its August finding, Reuters reports. The widely expected decision came as a high-level Chinese delegation...