Global Economic Crisis

What makes disconnecting trade ties with China expensive and challenging

The current global economic environment works against migration, standing in contrast to the increasingly tense geopolitical situation that adds urgency to decoupling

Standard Chartered Q1 2024 results: Profits rise 5.5%, beat estimates

Despite the forecast-beating quarterly profit, the bank saw its credit impairments worsen in 2024

Inflation could hamper 'soft landing' of global economy despite US growth

Recent data have not been helpful, with inflation stalled well above the US central bank's 2% target for the first quarter of the year

World economy's great escape worries G-20 amid surging geopolitical risks

IMF chief Kristalina Georgieva has signaled that the fund will also slightly raise its forecast, to be released Tuesday, from the current 3.1 per cent

Goldman, Morgan Stanley raise China's 2024 growth outlook as exports rise

The world's second-largest economy has struggled to regain momentum as the property sector and consumer spending remain weak

Japan's economy recovers to full capacity, keeps rate hike prospects alive

The BOJ ended eight years of negative interest rates and other remnants of its unorthodox policy last month

Sri Lanka's economy records 4.5% growth in fourth quarter of 2023

After six successive quarters of negative growth, Sri Lanka's bankrupt economy is estimated to have recorded a growth of 4.5 per cent year-on-year in the fourth quarter of 2023, the Central Bank announced here on Tuesday. It was only during the third quarter of 2023 that the economy recorded positive growth after six successive quarters of negative growth experienced by the cash-strapped economy. The headline inflation, as measured by the year-on-year change in the Colombo Consumer Price Index, had decelerated to 5.9 per cent in February from 6.4 per cent in January. The gross official reserves improved to USD 4.5 billion by the end of February 2024, which includes the swap facility from the People's Bank of China. Governor Nandalal Weerasinghe said the reserve buildup was better than the Central Bank's expectations. The reserve buildup was supported by considerable net purchases by the Central Bank from the domestic foreign exchange market amidst increased foreign currency inflow

China's services activity growth momentum softens in Feb: Caixin PMI

Despite robust activity during the eight-day Lunar New Year holidays, the expansion rate of new business was little-changed from January, the Caixin survey showed

Oil settles at highest in nearly eight weeks on strong economic growth

Both benchmarks made weekly gains of more than 6%, marking their biggest weekly increase since the week ending Oct. 13 after the start of the Israel-Hamas conflict in Gaza

Oil edges higher, on track for weekly gain on strong economic growth

Brent crude futures were up 53 cents, or 0.7%, at $82.93 a barrel by 1:48 p.m. ET (1848 GMT), and touched $83.57, their highest price since November

China doubles down on moves to mend its economy, fend off financial crisis

China's leaders launched a barrage of new policies this week to prop up languishing financial markets and rekindle growth in the world's second-largest economy. The moves to support lending and spending with billions of dollars of fresh cash gathered pace when the central bank cut bank reserve requirements and issued new rules to encourage banks to lend more to property companies. A collapse in China's real estate market has been one of the key factors hindering the country's recovery from the shocks of the COVID-19 pandemic. What's at stake: stable financial markets and a major driver of global economic growth. HOW IS THE CHINESE ECONOMY DOING? The Chinese economy grew at a 5.2% annual pace in 2023, exceeding the government's target, and many indicators including factory output and retail sales show signs of improvement. But most economists are forecasting a slowdown this year and next that will drag on global growth. Meanwhile, Chinese stock markets have swooned since late 2023,

India takes investment spotlight while risks weigh in China: Suntory CEO

Japanese drinks maker Suntory is prioritising expansion in India while taking a cautious stance on business in China

Misinformation, polarisation limit our abilities: European Commission chief

European Commission President Ursula von der Leyen on Tuesday said the risks like misinformation and societal polarisation are very serious as they can limit our capabilities to deal with other challenges. In a special address at the World Economic Forum Annual Meeting 2024 here, she said this is not the time for polarisation, but for rebuilding trust. "This is not a time for conflicts, but the time to drive global collaboration and business have a crucial role to play," she added. Referring to the WEF Annual Global Risks Report that listed 'disinformation and misinformation' and societal polarisation among the biggest immediate risks before the world, she said these are indeed serious risks because they limit our capabilities in handling other risks, including conflicts, climate and technology. "This is not the time for polarisation, this is the time for trust. I believe it can be done, and I believe that Europe can lead on that front. It has never been more important for the ...

Time to rebuild trust, cooperation with each other: WEF Chair Klaus Schwab

As nearly 3,000 global leaders assembled here to discuss challenges and crises facing the world, the host World Economic Forum on Tuesday said trust and cooperation are a must in a connected yet divided world. It said the most challenging issues before the world including on security, climate and cyber fronts are not limited by borders and they travel without passports, but cooperation was still possible and was happening. WEF Founder and Executive Chairman Klaus Schwab said this occasion should be used as an opportunity to rebuild trust in each other. At the first plenary of the WEF Annual Meeting 2024, Schwab said the world today may be more connected geographically but it is also a lot more divided and fragmented. "We are also seeing unprecedented risks on technology front," he said. "Let's use this meeting to rebuild trust in each of us for the future of humanity," he said. WEF president Borge Brende said, "We have nearly 3,000 participants from more than 125 countries here at

German economy shrinks 0.3%, costly energy, higher interest rates to blame

Germany's economy shrank 0.3 per cent last year as Europe's former powerhouse struggled with more expensive energy, higher interest rates, lack of skilled labour and a homegrown budget crisis. Europe's largest economy has been mired in stagnation since the last months of 2022 amid those multiple challenges. The International Monetary Fund expected Germany to be the worst-performing major developed economy last year, a major turnaround from its place as a model for how to expand when other nations were struggling. German's economy likely also shrank 0.3 per cent in the fourth quarter after stagnating in the third quarter, the Federal Statistical Office said on Monday in an initial rough estimate. Official figures for the last three months of 2023 are expected to be announced January 30. Meanwhile, there's an ongoing debate about why Germany has stalled. Energy intensive industries must pay higher natural gas prices after losing Russia's cheap supply following its invasion of Ukraine,

Sri Lanka raises fuel retail prices by Rs 20; first under new VAT hike

The Sri Lankan government raised retail fuel prices by Rs 20 effective from Monday in its monthly revision, making it the first retail price hike of any commodity under the imposition of new Value-Added Tax rates. The government revises fuel prices monthly based on the exchange rate of the US dollar and the global oil market prices. However, Monday's hike was purely a result of the new VAT rates. Sri Lanka's VAT rate has been increased by three per cent from Monday for the band, which was previously taxed at 15 per cent, while most VAT-exempt items have been brought under 18 per cent in a highly unpopular move. Last month, the International Monetary Fund (IMF) approved the release of the second tranche worth USD 337 million to the cash-strapped island nation, bringing the value of disbursements to USD 670 million in the four-year facility. With its reforms, the IMF programme meant that the government set cost-based tariffs for utilities, while several rate hikes on electricity ...

Mr L P Hemanth K Srinivasulu Receives 'Man of the Year 2023' Award from Home Minister Shri Amit Shah

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Global debt challenges ahead

With higher interest rates increasing the debt-servicing burden of nations, the scope of productive expenditure will shrink further

Udaan said to be laying off 120 employees as it seeks profitability

The development comes at a time, when Udaan recently raised $340 million in Series E financing

Germany's woes worsen as economy likely to shrink again in current quarter

Germany's economy is likely to shrink again slightly in the current fourth quarter, the country's central bank said Monday, while a survey showed business confidence retreating unexpectedly. Europe's biggest economy contracted by 0.1% in the third quarter after growing by the same amount in the previous three-month period, according to official figures. The Bundesbank said in its monthly report that real gross domestic product in Germany is likely to decline again slightly in the fourth quarter of 2023 as a result of weak performances in industry and construction Two consecutive quarters of contraction is a common definition of recession, though the economists on a panel that declares recessions in the eurozone use a broader set of data, including employment figures. Germany is the only major economy expected to shrink this year, according to the International Monetary Fund, which foresees a decline of 0.5%. The German government has forecast a decline of 0.4%. The economy has bee