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Showing posts with the label Economy

News | Economy | Banking: Bank of England is Considering a Digital Money Plan. Bank of England to consider digital money plan BBC News 3 minutes image copyrightGetty Images The Bank of England and the Treasury have announced they are setting up a taskforce to explore the possibility of a central bank digital currency. The aim is to look at the risks and opportunities involved in creating a new kind of digital money. Issued by the Bank for use by households and businesses, it would exist alongside cash and bank deposits, rather than replacing them. No decision has been taken on whether to have such a currency in the UK. However, the government and the Bank want to "engage widely with stakeholders" on the benefits and practicalities of doing so. The taskforce will be jointly led by the Bank's deputy governor for financial stability, Sir Jon Cunliffe, and the Treasury's director general of financial services, Katharine Braddick. The Bank has previously said

News | Economy | China: China sets a Conservative Economic Growth At 6% For the Year China Sets Conservative Economic Growth Target of Above 6% Bloomberg News 5-6 minutes Photographer: Qilai Shen/Bloomberg China set a conservative economic growth target of above 6% for the year, well below what economists forecast, and outlined ongoing fiscal support to keep the recovery going. The government will narrow the budget deficit to 3.2% of gross domestic product this year, Premier Li Keqiang said Friday at the opening of the National People’s Congress . While that’s lower than last year’s 3.6% of GDP, it’s above the 3% expected by many analysts, signaling Beijing still sees a need for expanded fiscal policy to support growth this year. Xi Jinping, left, and Li Keqiang arrive for the opening session of the National People’s Congress

News | Economy | Japan: Its Shrinks 4.8% in 2020 of Covid. Japan's economy shrinks 4.8% in 2020 due to Covid BBC News 3 minutes image copyrightGetty Images Japan's economy surged in the fourth quarter of 2020, but it was not enough to keep the country from negative growth for the year. The economy beat expectations to grow by 3% between October and December compared to the same period in 2019. But growth was considerably slower than in the previous quarter, when the economy expanded 5.3%. Japan's economy shrank 4.8% over the full year, its first contraction since 2009. The growth figures come as Japan's Nikkei index briefly hit 30,000 for the first time since 1990. The world's third-largest economy suffered its worst post-war quarterly contraction between April and June, as the global pandemic hit domestic consumption and exports. But consumption and exports, which are both key drivers of the Japanese economy, also fuelled a rebou

Business | Economy: n a High speed rail do you do yo travel nowhere? Is high-speed rail travel on a track to nowhere? By Tim McDonald BBC News, Singapore image copyrightMy HSR Corp image captionThe trains on the cancelled line between Singapore and Kuala Lumpur were due to travel at speeds of more than 200km/h It was supposed to be a slick, gleaming piece of transport infrastructure that could shuttle passengers from Singapore to Malaysia's capital Kuala Lumpur in 90 minutes. But at the start of this year, the $17bn (£12.5bn) 350km (217 mile) high-speed rail link between the two cities was cancelled for good. Malaysia's former Prime Minister Mahathir Mohamad first hit pause on the proposed line after he took power in 2018, as part of a financial belt-tightening push. A subsequent coronavirus-fuelled budget crunch then made the project all but irredeemable, with both nations using a joint statement last month to blame "the impact of Covid-19 pandemic on the Malaysian economy"

News | Business | Economy | Japan: Japan leads economic 'Zoom boom' out of recession

  3-4 minutes - Source: BBC image copyrightGetty Images Japan's economy has bounced back from recession with growth of 5% in the third quarter of this year. It had seen its economy shrink during 2020 as lockdowns hit its manufacturing sector and consumer spending. The world's third biggest economy is now showing signs of recovery, although some analysts cautioned that further growth is likely to be modest. Asian economies are leading the way for a global economic recovery, in what some have called a "Zoom boom". This refers to the increase in demand for screens and laptops as more people work from home, and use online meeting platforms like Zoom. Asian economies are among the largest producers of laptops, communication equipment and other electronics. The Asian region will also get a boost after signing a mega trade deal agreed over the weekend, called the Regional Comprehensive Economic Partnership (RCEP). Other signatories include Chi

News | Business | Economy | Banking: Fed to Stay on Sidelines Amid Election Drama: Decision Day Guide

  Catarina Saraiva 6-7 minutes - Source: BLOOMBERG Photographer: Erin Scott/Bloomberg The Federal Reserve is likely to hold off from any major policy changes with the U.S. election still in the balance, even as pressure to act mounts amid diminishing prospects for aggressive fiscal stimulus. With no shift expected, officials could still open the door to adjusting their asset purchase program in either the statement issued by the Federal Open Market Committee at 2 p.m. Washington time, or during Chair Jerome Powell’s press conference 30 minutes later. “If I were Chair Powell and I was on the Fed, I would want to lay as low as I possibly could. I would not want to be making any sort of news that could be injected into

News | Business | Economy | Britain: 'Millions of jobs' at risk as furlough nears end

  Russell Hotten  9-12 minutes - Source: BBC Media captionOdds of redundancy "very frightening" The countdown to the end of the furlough financial lifeline has begun, with employers facing increased costs amid a warning that millions of jobs now hang in the balance. From Thursday, the government's contribution to furloughed workers' wages falls. It is also the deadline for some firms to issue redundancy notices before the furlough scheme ends on 31 October. The current scheme is being replaced by a less generous jobs support package. Labour claims that as a result of the government's "flawed" support, almost three million people working for small businesses are at risk of losing their jobs. New analysis from the party says that at the start of September an estimated 2.8 million workers in small and medium size firms (SMEs) were furloughed under the current Coronavirus Job R

Is the world economy recovering?

  Sep 16th 2020 6-8 minutes - Source: The Economist A recovery is taking shape—but it is extraordinarily uneven T HE WORST day of the covid-19 pandemic, at least from an economic perspective, was Good Friday. On April 10th lockdowns in many countries were at their most severe, confining people to their homes and crushing activity. Global GDP that day was 20% lower than it would otherwise have been (see chart 1). Since then governments have lifted lockdowns. Economies have begun to recover. Analysts are pencilling in global GDP growth of 7% or more in the third quarter of this year, compared with the second. That may all sound remarkably V -shaped, but the world is still a long way from normal. Governments continue to enforce social-distancing measures to keep the virus at bay. These reduce output—by allowing fewer diners in restaurants at a time, say, or banning spectators from sports arenas. People remain nervous about bein

News | Business | Economy: What is the UK's inflation rate?

  7-8 minutes - Source: BBC Image copyright Getty Images Inflation affects everything from mortgages to the cost of our shopping and the price of train tickets. The latest UK inflation figures we have, for August, show a big fall to 0.2%. But what exactly is inflation and what impact does it have? What is inflation? Inflation is the rate at which the prices for goods and services increase. It's one of the key measures of financial wellbeing because it affects what consumers can buy for their money. If there is inflation, money doesn't go as far. It's expressed as a percentage increase or decrease in prices over time. For example, if the

News | Business | Economy | UK | Wales: Slow recovery and uncertainty in towns after virus

Sarah Dickins  8-10 minutes - Source: BBC Image caption June Phillips said people from the valleys were not coming into Abergavenny in the same numbers How is the High Street doing after a turbulent period led many to shut down? Abergavenny in Monmouthshire is where urban valleys and rural communities meet. Living standards here are typical of Wales as a whole, in terms of incomes, jobs, benefits and housing. What better place to start to look at this market town than the market? Cattle and sheep were sold here until a few years ago but now it has largely bargains on show: cheap meat, cheap clothes and even a pawn broker. For 40 years, June Phillips has been growing plants with her brother Steve

News | Business | Economy | US Weekly Jobless Stats: Weekly jobless claims miss estimates as employment gains taper

Jeff Cox 3 minutes - Source: CNBC Weekly jobless claims were worse than expected last week amid a plodding climb for the U.S. labor market from the damage inflicted by the coronavirus pandemic. The Labor Department on Thursday reported 884,000 first-time filings for unemployment insurance, compared with 850,000 expected by economists surveyed by Dow Jones. The total was unchanged from the previous week. Continuing claims from those filing for at least two weeks rose from the previous week, hitting 13.385 million, an increase of 93,000 from last week’s report and an indicator that the strong jobs improvement through the summer may be tailing off entering the fall. The Labor Department changed its methodology in how it seasonally adjusts the numbers, so the past two weeks’ totals are not directly comparable to the reports from earlier in the pandemic. Claims not adjusted for seasonal factors totaled 857,148, an increase of 20,140 from the previous week.

News | Business | Economy | Pandemic | France: : French economic activity stuck 7% below pre-Covid 19 level

Alice Woodhouse, George Russell, Sarah Provan, Adam Samson, Philip Georgiadis, Harry Dempsey 53-67 minutes - Source: FT Royal Caribbean posts $1.6bn loss as pandemic halts sailings Royal Caribbean reported a wider than expected loss in the second quarter as the cruise operator suspended its sailings as a result of the coronavirus pandemic. Royal Caribbean revenues fell to $175.6m down from $2.8bn in the same quarter a year ago, but exceeded Wall Street expectations. The company suspended cruises from March 13 and had no voyages in the second quarter. The Cruise Lines International Association (CLIA), an industry group, has called for members to suspend operations until the end of October. "The Covid-19 pandemic is posing an unprecedented challenge to our industry and society," said chief executive Richard Fain. That pushed Royal Caribbean to a net loss