Indonesias Direct Financing Is Test Case for Emerging Markets
Bank Indonesias unprecedented move to buy about $27 billion in bonds directly from the government may prove to be an exception rather than the norm in emerging markets.To get more news about OlympusFx, you can visit wikifx news official website.
With the world economy in crisis and Modern Monetary Theory gaining attention, governments are being pressured to spend more and turn to their central banks to print money to foot the bill. But when it comes to scooping up that debt, most central banks are doing it in the secondary market.
Sources: Institute of International Finance, using data from Bank for International Settlements, International Monetary Fund, national governments
Three weeks on, currency and bond markets appear to have given Indonesia a pass on its direct financing foray. Analysts say thats because the central bank gave a clear signal that it was a one-time program and officials spearheading the plan, like Finance Minister Sri Mulyani Indrawati, are credible.
“The Indonesia burden-sharing program is a success given it has a clear timeline and framework,” said Jean-Charles Sambor, London-based head of emerging markets fixed income at BNP Paribas Asset Management. “If, however, we start to see a material increase in the size of such programs in emerging markets, it could result in considerable weakness in the currency.” In many emerging nations, laws forbid the central bank from purchasing debt straight from the government, with several now buying domestic paper in the secondary market instead. Fitch Ratings Ltd. cites the following countries as having taken the latter approach: Indonesia, the Philippines, Thailand, Poland, South Africa, Croatia, Romania, Hungary, Chile, Costa Rica and Colombia.
In Argentina, which defaulted on its debt earlier this year, the central bank has transferred 1.3 trillion pesos ($18 billion) to the Treasury since the lockdown was announced on March 19. Cash in circulation has surged, dollar demand is high, and with a massive economic contraction underway, consumer prices are set to rise a staggering 53% over the next 12 months.
The Bank of Russia came under pressure to help fund a growing budget deficit after the energy exporter was hit by a double blow from the pandemic and slump in global oil demand. However, real interest rates remain positive there, so theres still room to use conventional measures.
The South African Reserve Bank is resisting calls for deficit financing, arguing it would bankrupt the central bank. And while the Reserve Bank of India hasn‘t bought bonds directly from the government, it’s expanded its balance sheet amid the pandemic by allowing Indian banks to borrow at cheap rates and lend money back to the federal government.
“There has been a lot of talk of monetary financing, but much less action,” said Elina Ribakova, deputy chief economist at the Washington-based Institute of International Finance.
Asian Stocks Set for Muted Start; Gold Steadies: Markets Wrap
Asian stocks looked set to for a muted start to trading Tuesday after their U.S. counterparts closed higher on speculation the Federal Reserve will reinforce its dovish message. Gold steadied around an all-time high, while the dollar remained under pressure.To get more news about OlympusFx, you can visit wikifx news official website.
Investors are betting setbacks in the global fight against coronavirus will push Fed Chairman Jerome Powell to signal Wednesday that rates will stay near zero for longer. Infections slowed in California, Arizona and Florida, though reported numbers are often incomplete on weekends. Health officials around the world are also trying to tackle a renewed increase in cases, with surges from China to Spain and Germany underscoring the difficulty of curbing the pandemic.
“We expect no change from the Federal Reserve,” Jeffrey Halley, senior market analyst, Asia Pacific, at Oanda in Singapore, said. “That will reiterate their ultra-dovish stance.”
China reported the most domestic coronavirus infections in more than four months as it battles outbreaks in its western and northeastern regions, raising fears of a serious resurgence.
Nigeria Grapples With Surge in Job-Seekers Amid Pandemic Turmoil
The number of people looking for employment through Nigeria‘s biggest recruiting website has jumped five-fold since the start of the Covid-19 pandemic, highlighting the struggle faced by many in Africa’s largest economy.To get more news about OlympusFx, you can visit wikifx news official website.
“Typically we have about 10,000 active jobseekers a week,” Hilda Kragha, Jobberman‘s chief executive officer, said in interview in Lagos, the country’s financial capital. “During this pandemic, we have been having over 55,000, which means more people are looking for jobs.”
Like many countries Nigeria has been hit hard economically after implementing lockdowns to contain the spread of coronavirus. Africas top oil producer was also reeling from a collapse in crude prices earlier in the year and is suffering from rampant dollar shortages. Combined they have exacerbated the strain on a wide range of businesses in a country that has long struggled to provide jobs for its young population.
The data from Jobberman, which recruits mainly white-collar employees and doesnt track those looking for non-skilled, blue-collar work, chimes with official estimates that sees unemployment in the nation of more than 200 million soaring to 34% by the end of the year from 23% in 2019.
Read more: Locked Down and Left in the Lurch, African Businesses Face Ruin
While there was a 40% drop in recruitment in March when the first two weeks after movement restrictions were imposed, applications per vacancy on the online platform has jumped by 183% this year.
With Nigeria‘s economy set to contract 5.4% this year, according to International Monetary Fund estimates, IT and telecommunication firms are topping Jobberman’s hiring charts as Nigerian companies, like others worldwide, adapt to an at-home workforce. Likewise the hospitality, tourism, travel, aviation, entertainment and oil and gas industries have fallen to the bottom.
Firms are also cutting down on the number of staff they need or are putting off offers to new employees as they reassess their plans.
“We have a client who was trying to hire 2,000 people before the pandemic, as the pandemic started they reduced to 500 and now theyve only confirmed about 200 people,” Kragha said. At least 10% of those already offered jobs through the platform have been put on hold by their potential employers.
Jobberman, which is a local unit of Ringier One Africa Media Group, has over 2 million registered job seekers on its platform and placed 16,000 jobseekers in roles in the past three months, according to Kragha.
Tsinghua MBA Topped Sino-Manager Magazine’s “China’s Best MBA Ranking” List
Tsinghua MBA Topped Sino-Manager Magazine’s “China’s Best MBA Ranking” List
Tsinghua MBA championed the 2012 China MBA Ranking in a recent issue of Sino-Manager Magazine because of its strong faculty team, practical attitude and solid brand name. This is the fifth time in a row that Tsinghua came in the top place.To get more news about best university in china for mba, you can visit acem.sjtu.edu.cn official website.
Tsinghua MBA Programs was started in 1991. It keeps on reinventing itself and is a pioneer and leader of China’s MBA education. Since Tsinghua MBA initiated the reform five years ago in the summer of 2007, it became the first domestic business school to adopt a new MBA curriculum, which highlighted soft skills, integration and experiential learning. It further reformed its MBA student recruitment procedure by adopting a formula that assesses candidates’ comprehensive quality in pre-exam interviews as well as their performance in the national MBA recruitment exams. Later on, it also introduced three new offerings, i.e. MBA+X double major, Tsinghua Entrepreneurship Network (TEN) and a course called Tsinghua New Technology Study which is to be initiated soon. These are aimed to better merge the program into Tsinghua University’s education system.
Tsinghua MBA has three sub-programs, i.e. International MBA (English, Full-Time), Full-Time MBA and Part-Time MBA. So far, it has already recruited 21 in-takes of students, among which more than 8,000 was awarded with an MBA degree.
Tsinghua MBA Programs has always put teaching quality and services as top priorities. All the teaching and services are tailored to meet student’s requirement. The curriculums are carried out both inside and outside classrooms and are constantly adding new features and offerings. MBA students not just learn management knowledge through well-planned courses, but also through extra-curriculum activities such as internships, company visit and events such as China MBA Corporate Case Competition, China MBA Business Ethics Debate and meetings with alumni and faculty. These activities could help improve their leadership skills, communication skills and these also provided great opportunities to engage with professionals and expand knowledge. “In Tsinghua MBA’s student events, professors are just supervisors, while students are the real organizers and participants. The organizers as well as participants could benefit from these events as they could improve their planning skills, management skills and expand their networks,” said Shi Tao (11P3), President of Tsinghua MBA Student Union.
Tsinghua MBA’s mission is to educate future leaders with global vision. In order to satisfy students’ need to have international exposure, Tsinghua MBA Programs has designed overseas study trips with various lengths. Tsinghua MBA has established student exchange programs with more than 90 overseas business schools. More than 100 overseas exchange opportunities will be provided each year. In addition, MBA students could apply for double-major programs at MIT and HEC. For students with financial problems to undertake long exchange trips, they are also entitled to the benefits of overseas studies. The school offers many options of short exchange trips to study in United States, Chile, Europe, Japan and Taiwan.
Good job opportunities matter a lot to students’ post-MBA career development. Starting from Orientation program, the new MBA candidates are introduced to the CDC, which pushed them to start early in career planning and prioritize studies and internships. It also provides timely updates on the job market and help students make good career choice and adjust expectation. In 2011 and 2012, we have witnessed an increase in the proportion of Tsinghua MBA joining China’s state-owned companies, private companies and government agencies. A lot of them have joined big state-owned companies such as, PetroChina, CICC, CITICS, COFCO, AVIC. In addition, there are also a significant number of students who joined top-notch foreign companies including LVMH, Morgan Stanley, Microsoft, Wal-Mart, Nokia and Nestle (China), etc.
Schools start reopening in China's biggest cities
Shanghai welcomed back pupils in their final years of middle and high school, while Beijing allowed students preparing for China's university entrance exam in July to return.To get more news about business school Shanghai, you can visit acem.sjtu.edu.cn official website.
Schools in other parts of China re-opened several weeks ago.
Wuhan, the city where the outbreak began late last year, is set to reopen high schools on 6 May.The country says it has largely curbed the spread of the disease. China has reported an increase of just 26 confirmed cases since Friday, bringing the total number to 82,830. All coronavirus patients in Wuhan have now been discharged, Beijing says.
However, there are still fears of a possible second wave of infection, and social distancing measures are being strictly enforced, with students wearing masks and sitting at a distance from each other.
In Hangzhou, one headmaster was taking no risks with his young charges. Pictures emerged of the pupils at Yangzheng Primary School wearing specially adapted hats to make sure they didn't forget to keep their distance:
In Beijing on Monday, some students were met by people wearing full hazmat suits. The Ministry of Education said the capital's returning pupils would have their temperatures taken on arrival at school gates and must show that they have a "green" code on an app which calculates their risk before being allowed back to class.
Beijing has still got some of the country's strictest restrictions in place, including making new arrivals to the city spend two weeks in quarantine.According to the BBC's Stephen McDonell in Beijing the cautious approach to re-opening schools in the capital has been part of a process of trying to make sure it can host the National People's Congress, the Communist Party's most important annual gathering. It has already been delayed for several months.
Meanwhile, the foreign ministry has denied Beijing is spreading disinformation, following a report by the European Union.
The bloc's External Action Service says Russia, and to a lesser extent China, have "targeted conspiracy narratives" in the EU and neighbouring countries.
But spokesman Geng Shuang told reporters China was "victim of disinformation, not an initiator", according to news agency Reuters.
As the health system buckles from COVID-19 pressure
In Bolivia, people are protecting themselves against COVID-19 and the pandemic of disinformation with what they have on hand. Since the start of the COVID-19 outbreak, social networking sites and the media have been flooded with articles promoting the potentially miraculous healing properties of certain plants.To get more news about chinese herbal medicine, you can visit shine news official website.
As of 29 June, Bolivia had recorded 31,524 official cases and 1,014 deaths. The country’s health system has collapsed and the peak of the crisis is yet to come. Bolivia now finds itself in a “dynamic and conditioned quarantine” with regional authorities responsible for deciding when and how to restart activities or lockdowns depending on the level of contagion.
“The hospitals are full. We need to find a way to prevent the spread of this disease,” a local convenience store owner, who takes homemade syrups every day, told the national newspaper El Deber. Meanwhile for the indigenous people living on ancestral lands, Bolivia’s poorest and most vulnerable population, herbal medicine is their only option.
Before the pandemic, Bolivians tended to use natural remedies alongside conventional medicine. The remedies are spread by word of mouth and are made by the users themselves according to a 2006 investigation by NGO PIEB, entitled “Mentisán, paracetamol or wira wira? Health and interculturality in the neighbourhoods of Potosí“. The title refers to a popular method used for treating a cold, which includes industrialised products such as paracetamol, along with common knowledge of herbs, such as flowers from the wira wira shrub and the popular menthol ointment Mentisán.
This report also mentions the phenomenon of self-care or home care and how this is related to the users’ economic status. 61% of Bolivians live in multidimensional poverty. Bolivia also has the largest informal economy in the world, which comprises 62.3 percent of its GDP. Also, many Bolivians experience discrimination in the healthcare system on the basis of their clothing, occupation, appearance or type of illness, which is another reason for self-care. Overall, 1,720 cases of discrimination and/or racism were reported in just ten years.Demand for these remedies has soared during the current health crisis. The most sought-after herbal medicines are those associated with curing respiratory diseases and boosting the immune system. At the top of the list of most-wanted items are eucalyptus leaves, followed by chamomile, wira wira, bee honey, ginger, matico leaves (an evergreen shrub) and propolis (a resin-like material made by bees). “Eucalyptus is used for coughs and colds. You can use it to make a herbal infusion or boil it and inhale the steam to improve your symptoms,” a traditional medicine vendor explained to the Bolivian news site Urgentebo.
There’s an abundance of information available on these medicines: from serious recipes such as “Remedies from the Mountain,” a handbook on ancestral medicine published by Amazonian indigenous people, to viral posts on social media and WhatsApp chats that contain treatments using conventional and herbal medicines.
Before the crisis, these natural remedies were already widely sold at fixed and mobile market stalls. However, vendors are now selling them in the streets and outside supermarkets. By searching for eucalyptus in Facebook’s Marketplace section, with Santa Cruz de la Sierra as the location, 51 offerings appear in the search results. The majority of these were posted in June and include branches, oils, steam kits, homemade syrups, pills and seedlings.
Although eucalyptus prices are still relatively low, the cost has risen recently. As a result, the mayor of the small town of Quime, Javier Flores, took eucalyptus branches to the Bolivian capital of La Paz where he recommended their use as a disinfectant and distributed them for free in a shopping district of the city.
Study suggests undetected cases help speed COVID-19 spread
A modeling study looking at more than 32,000 confirmed coronavirus cases in Wuhan, China, offers fresh insights into features of the virus, including ease of transmission, effectiveness of nonpharmaceutical interventions such as social distancing and face masks, and the impact that undetected cases have on the spread of the disease.To get more news about coronavirus wuhan, you can visit shine news official website.
The analysis, published in the journal Nature, underscores the stealthy nature of the virus and adds to a growing body of research that suggests people infected with COVID-19 who went undetected or were asymptomatic, presymptomatic, or had only mild symptoms have been significant spreaders of the disease.
Using statistical and epidemiological modeling to reconstruct the outbreak in Wuhan from Jan. 1 to March 8, researchers found that up to 87 percent of cases in the city during that time may have gone undetected and transmission rates during some of the earliest days could have been as high as 3.54 infections per single case. (A rate above 1 signifies rising spread.) It’s a figure that was only controlled because of widespread and strict containment measures and lockdowns, hammering home the importance of interventions like face masks even in curtailing undetected infections, according to the paper.
The researchers, including Harvard Professor Xihong Lin and a team of scientists from Huazhong Science and Technology University in Wuhan, believe that undetected infections — from sources including people who were asymptomatic, presymptomatic, or had only mild symptoms — likely played a substantial role in the fast spread of the disease and could become one of the leading factors for a possible second wave of infections if restrictions are lifted too early.
“There are important consequences to those undetected cases,” said Lin, a professor of biostatistics at the Harvard T.H. Chan School of Public Health and a professor of statistics at the Faculty of Arts and Sciences. Put simply: “Even though they are undetected, they are still infectious. It’s important to avoid reopening too early without vigilant control measures, because when the number of detected cases is not low, the numbers of undetected cases, or unascertained cases, are not low either. They are even bigger.”
The study comes as nations around the world battle to control their outbreaks. Some have been sliding backward. Many states in the U.S., for instance, have seen record surges after reopening before the outbreak was reined in. California on Monday announced major rollbacks, closing gyms and museums and halting indoor dining at restaurants.You can see there are several countries, including the U.S, Australia, and Spain in the last month, that have observed resurgences, and some of those countries did really well in April and May,” Lin said.
The paper builds on the researchers’ earlier work, released on a preprint server in early March and published in the journal JAMA in April. In mid-April Lin presented much of the group’s findings to the U.K. Parliament’s Science and Technology Committee, which wrote a letter to Prime Minister Boris Johnson with 10 findings and recommendations. Lin also served on Massachusetts’ COVID-19 task force in March. In June, her lab launched a website that allows users to check multiple COVID-19 metrics of countries all over the world as well as U.S. state and county levels in real time.
With the study, researchers wanted to better understand how easily the virus spreads, the number of undetected cases, their effects during an outbreak, and the efficacy of containment measures. They decided to look at the full transmission dynamics of the virus in Wuhan, the original epicenter, where strict restrictions effectively suppressed the outbreak.The researchers examined 32,583 laboratory-confirmed coronavirus cases from Dec. 8, 2019, until March 8, 2020. They divided the dates into five time periods based on key events and interventions, such as the implementation of mandatory centralized isolations and quarantines of people infected or suspected of being infected.
The scientists found that the initial rate of transmission in Wuhan was very high but that it dropped considerably as multifaceted control measures were enacted. They estimate the number of new infections stemming from a single case (called the R0 but pronounced “R-naught”) was about 3.54 in the earliest period from Jan. 1 to 9. The second period, from Jan. 10 to 22, which saw a large influx of visitors to the city for Chinese New Year, also had a high transmission rate of about 3.32. The third, fourth, and fifth periods coincided with strict lockdowns followed by centralized isolations, quarantines, and universal screening, which resulted in declines to 1.18, 0.51, and 0.28, respectively. The figures represent a 96 percent drop from late January to early March.
UBS says a third of staff could stay at home permanently
UBS chief executive Sergio Ermotti said that the Swiss bank could shrink its office space, as up to a third of its employees potentially continue to work from home in the wake of the coronavirus crisis.To get more UBS news, you can visit shine news official website.
The bank will be “reassessing the way we work going forward” Ermotti said during a call accompanying UBS’s second quarter results, after more than 90,000 staff have been working remotely for months as Covid-19 forced countries to lockdown.
Ermotti said that 70-80% of its employees are still working from home, but as the Covid-19 crisis ends “20% to a third” of staff would permanently work remotely. “The ramifications of this are huge,” he added.
Ermotti said that it would allow “flexibility in how we manage our real estate” and that the offices designed for business continuity management in the wake of an emergency have been “dramatically changed by Covid” as people have moved home instead of to a back-up site.
However, he added that the bank could work “another few quarters managing the bank this way”, but that it was unlikely that a large proportion of UBS’s workforce would remain working from home in the long term. Any function “with advisory” needs “social interaction and interactions with clients” he said, adding that getting people back into the office was important for the bank’s culture.
Ermotti is the latest major bank chief executive to raise the prospect of shrinking large centralised offices after the Covid-19 pandemic has upended working practices across the financial sector — an industry known for its culture of facetime.
Barclays chief executive Jes Staley told reporters during the bank’s first quarter results that large offices “may be a thing of the past”. “There will be a long-term adjustment in how we think about our location strategy... the notion of putting 7,000 people in a building may be a thing of the past,” he said.
Deutsche Bank chief executive Christian Sewing said during the bank’s annual general meeting in May that staff had delivered “excellent service to our clients” while working remotely. “Of course, we have to ask ourselves: can we give our staff additional flexibility to work from home if they want to?” he said. “And if that is the case, do we need quite so many offices in expensive urban centres?”
Meanwhile, JPMorgan’s chief executive of corporate and investment banking Daniel Pinto said that he could “envision a scenario” where more employees work from home on a rotational basis that would mean “reducing square footage” of its offices.
Large investment banks have been slow to bring employees back to the office in London despite the UK government lifting lockdown restrictions and encouraging staff back to work by 1 August.
Royal Bank of Scotland said on 20 July that around 49,000 UK-based staff would remain working from home until 2021.
SAIC profit slumps in 2019
SAIC Motor Corp., hurt by weaker sales, tougher emissions rules and lower government subsidies for electrified vehicles, estimates net profit plunged 29 percent to 25.6 billion yuan ($3.7 billion) in 2019.To get more saic motor news, you can visit shine news official website.
Sales at the state-owned automaker, which runs light-vehicle joint ventures with Volkswagen Group and General Motors, dropped 12 percent to 6.24 million cars and light trucks last year.
At SAIC-VW, which builds light vehicles for the VW and Skoda brands, deliveries dipped 3.1 percent to around 2 million. Sales at SAIC-GM, a passenger vehicle partnership between SAIC and GM, fell 18 percent to roughly 1.6 million.
SAIC-GM-Wuling, SAIC’s light-vehicle joint venture with GM, reported sales dropped 19 percent to below 1.67 million
SAIC-GM produces vehicles for Cadillac, Buick and Chevrolet cars and light trucks, while SAIC-GM-Wuling builds vehicles for the entry-level Baojun brand and minibuses for the Wuling marque.
In July, light-vehicle manufacturers in most Chinese municipalities and provinces were required to upgrade vehicle emission standards. The tighter emissions rules required automakers to improve engine technologies, resulting in additional costs.
The Chinese government in June scaled back by more than 60 percent subsidies for full electrified vehicles and cut subsidies by 50 percent for plug-in hybrids.
SAIC, a Shanghai-listed company, hasn’t disclosed a detailed financial report of its operations last year.
Tencent Builds Blockchain Platform for China’s Oldest Wine Producer
Chinese tech giant Tencent has revealed its plan for creating a blockchain-based wine traceability platform in collaboration with Changyu, China’s biggest and oldest wine producer, according to local news on July 31. It is said to be a nationwide first for the country’s domestic wine industry.To get more Tencent news, you can visit shine news official website.
According to Changyu, the platform is designed to trace every step of the wine-making and sales processes, including planting, brewing, distribution and management. It will issue a unique traceable certificate for each bottle of wine it produces.
The whole process will be recorded on the blockchain network. The firm’s bottles’ scannable QR codes would allow consumers to verify the authenticity of the wine. The QR code will also present a whole set of data like plantation information of the grape types, origins, rainfall levels, temperature information among other things.
The blockchain network will reportedly help distributors and sales outlets to catch counterfeit bottles and to identify bottles that have failed quality-control tests.
As Cointelegraph previously reported, Symbol from NEM makes blockchain solutions to solve wine tampering and counterfeiting problems to save millions for the wine industry.