China cuts reserve ratio requirement as growth slows

BEIJING (AFP) -- China's central bank announced Sunday it would cut the level of funds that commercial banks must hold in reserve by one percentage point, the second such move this year to boost lending.The move, effective Monday, comes days after the world's second largest economy reported its worst quarterly growth figure for six years.In a statement on its website, the People's Bank of China said the cut would "further enhance the ability of financial institutions to support restructuring".Th

April 19, 2015

Greek bonds drop most since election as default concern builds

Greece's government bonds had their worst week since the aftermath of Syriza's January election victory as the nation failed to make tangible headway in its efforts to secure funding and avoid a default.The yield on 10-year Greek debt climbed to the highest since December 2012 as the clock ticked down toward almost 1 billion euros ($1.1 billion) of payments due next month. German 10-year bonds rose in the week, pushing yields below 0.1 percent for the first time, after European Central Bank Pres

April 18, 2015

Seoul firms to run 2nd N.K.-Russia logistics project

A consortium of Seoul firms is expected to run another pilot operation of a key logistics project involving South and North Korea and Russia in late April, a government official said Sunday.  The so-called Rajin-Khasan logistics project is the symbol of trilateral cooperation between the two Koreas and Russia at a time when inter-Korean relations remain stagnant.  In the previous pilot operation, 40,500 tons of Russian coal arrived in South Korea on a ship from the North Korean port city of Raji

April 12, 2015

S. Korean agency opens business support center in Beijing

South Korea's government trade agency Wednesday opened a center in Beijing to help small- and medium-sized South Korean companies make inroads into the Chinese market as the two nations are set to sign a bilateral free trade agreement.   After declaring the "substantial conclusion" of their free trade talks last November, South Korea and China are expected to formally sign the deal within the first half of 2015, in a move that will further deepen their economic ties.  The Korea Trade-Investment

April 8, 2015

World Bank chief expresses strong support for AIIB

World Bank Group President Jim Yong Kim expressed strong support Tuesday for a Chinese-led regional development bank, saying he welcomes any new players in the fight against poverty.  China has launched the Asian Infrastructure Investment Bank in a move seen as designed to bolster its economic clout by creating a counterbalance to the Asia Development Bank, led by the United States.   The U.S. has been negative about the AIIB, raising questions about whether the envisioned lender will have the n

April 8, 2015

S. Korea seeks to double overseas Korean restaurants

South Korea will work to nearly double the number of Korean restaurants in other countries, the government said Monday, a move partly aimed at developing the country's restaurant industry and globalizing its traditional food.The plan seeks to boost the number of Korean restaurants from the current 3,726 in some 40 countries to over 7,000 in 50 nations by 2020, according to the Ministry of Agriculture, Food and Rural Affairs.The number compares with over 30,000 run by U.S.-based global fast-food

April 6, 2015

S. Korea, Vietnam initial free trade deal

South Korea and Vietnam have initialed their free trade agreement that aims to boost bilateral trade by removing tariffs and other barriers, the government said Sunday.  Following Saturday's initialing in Seoul, South Korea will seek to formally sign the deal within the first half of this year and obtain parliamentary approval as soon as possible before implementing it by year-end, the Ministry of Trade, Industry and Energy said.  In December, South Korean President Park Geun-hye and Vietnamese

March 29, 2015

Pace of Fed rate hike more important than timing: BOK chief

Bank of Korea Gov. Lee Ju-yeol on Friday said the pace of the U.S. Federal Reserve's rate hike would be of bigger interest than its timing as the move is unlikely to be a one-off.  "While the timing of the rate hike is important, there is much more attention on the pace of the rate hike since it will not be a one-off move," the top central banker told reporters ahead of a meeting with local bank presidents.  Lee projected the U.S. rate hike to be "gradual," which would help ease market shock.  T

March 20, 2015

Lagarde warns emerging economies to prepare for U.S. rate rise

Emerging markets must prepare for the impact of U.S. interest rate rises, whose timing could surprise markets, International Monetary Fund chief Christine Lagarde warned in India on Tuesday.Speaking alongside India's central bank governor Raghuram Rajan, Lagarde said the so-called "taper tantrum" that hit emerging economies hard in 2013 could be repeated. The U.S. Federal Reserve caused panic in 2013 when it first signaled a reduction in its multi-billion dollar asset purchases to stimulate the

March 17, 2015

Gulf corporate earnings up 10% in 2014: report

Corporate earnings in the energy-rich Gulf states rose 10 percent last year, for the first time surpassing their highest level before the global financial crisis, a report said on Tuesday.Net profits of the 658 listed companies on the seven bourses of the Gulf Cooperation Council states reached $68 billion in 2014 compared with $61.7 billion the previous year, investment firm Kuwait Financial Center (Markaz) said in a report.It was the first time Gulf corporate earnings had surpassed $63.2 billi

March 17, 2015

Twitter opens new office in Hong Kong

HONG KONG (AFP) – It may be banned in mainland China, but Twitter has launched an office in Hong Kong to help Chinese businesses reach international markets.The San Francisco-based service, which has served as a platform for dissent and free speech, wants to tap into booming growth in Greater China by selling ads to businesses such as exporters.Ahead of the launch, Twitter had said the office would focus on advertising sales, instead of the one-to-many messaging service which is barred in China,

March 11, 2015

EU nations get deal on rules for investment fund

The European Union on Tuesday took a major step toward a 315 billion euros ($356 billion) investment plan to encourage the private sector to launch higher risk projects like broadband and energy networks.EU finance ministers reached agreement on the so-called European Fund for Strategic Investment, which is touted as Europe's big strategy to boost growth after half a dozen years of economic woes.With the 28 EU nations in line, negotiations can now start with the European Parliament for a final a

March 10, 2015

China February trade surplus hits record $60.6 bn: govt

China's monthly trade surplus hit $60.6 billion in February, the government said Sunday, a new record for the world's second-largest economy.Exports leapt 48.3 percent year-on-year to $169.2 billion while imports fell 20.5 percent to $108.6 billion, Customs said on its website. The country's trade surplus, long a source of tensions with its trading partners, rose above a previous all-time monthly high of $60.0 billion recorded in January.The growth in exports last month was well ahead of the med

March 9, 2015

Automakers vow not to give up on weak-selling electrics

Top automakers are vowing to press ahead with weak-selling electric vehicles and zero-emissions technology _ even as they unveil powerful, expensive luxury cars aimed at a growing global automarket.At the Geneva International Motor Show, BMW AG CEO Norbert Reithofer said Tuesday his company “cannot do without” battery powered vehicles such as its i3 urban compact. He said that “in the future electric drive vehicles will be in demand” and that the Munich-based automaker could not meet its targets

March 3, 2015

South Korea pushes ahead on oil pipe dispute with U.S.

GENEVA (AFP) -- South Korea has pushed forward with its complaint against the United States over anti-dumping tariffs on steel pipes used by the oil industry, the World Trade Organization said Tuesday.Seoul requested consultations with Washington over the matter in December, but South Korea has now requested the WTO's Dispute Settlement Body set up a panel of experts to resolve the issue after being unsatisfied with the talks, a WTO statement said.The Geneva-based WTO polices global trade accord

Feb. 24, 2015

Apple wants to start producing cars as soon as 2020

Apple, which has been working secretly on a car, is pushing its team to begin production of an electric vehicle as early as 2020, people with knowledge of the matter said. The timeframe -- automakers typically spend five to seven years developing a car -- underscores the project’s aggressive goals and could set the stage for a battle for customers with Tesla Motors Inc. and General Motors Co., both of which are targeting a 2017 release of an electric vehicle that can go more than 200 miles on a

Feb. 20, 2015

Greek euro exit risk increases with EU ultimatum on support

Greece edged closer to a euro exit after the currency region’s finance ministers said there will be no more talks on financial support unless the Greek government requests an extension of its existing bailout program. After three weeks of sparring since Prime Minister Alexis Tsipras’s election victory, finance chiefs hardened their positions as negotiations in Brussels ended abruptly on Monday night with Greek Finance Minister Yanis Varoufakis refusing to bow to European demands. “There won’t be

Feb. 17, 2015