Bloomberg Former European Central Bank (ECB) President Mario Draghi urged governments to channel stimulus funds toward sectors that can create new jobs for young people rather than spending money to defend the status quo. “Subsidies will have to go down but at the same time jobs will be created,†Draghi said at an online event. “It’s very good if the ...
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Credit Suisse plans to double China headcount in five years
Bloomberg Credit Suisse Group AG plans to double its headcount in China over five years as the firm accelerates its pursuit of the nation’s wealthy, seeking to move past a scandal that’s engulfed once-favoured client and Luckin Coffee Inc. founder Lu Zhengyao. The bank has largely normalised approvals for Chinese companies, ending the increased scrutiny on loans that followed allegations ...
Read More »South Africa says no extra money available for next three years
Bloomberg South Africa’s National Treasury says there are no additional resources available for government departments in the next three years. Any additional allocations will have to be funded from reductions in other programs, either within the department’s budget, or from another department’s budget, according to the document presented by Edgar Sishi, the acting head of the budget office, to the ...
Read More »Chinese borrowers face fresh tests
Bloomberg Chinese firms that delayed debt payments during the coronavirus crisis are about to get the check. At least 10 companies will face fresh repayment tests on a combined 10.68 billion yuan ($1.5 billion) of bonds over the next two quarters or so, after they postponed maturities or swapped old debt for new notes to alleviate immediate pressure earlier this ...
Read More »Two Goldman officials quit Asia merchant bank division
Bloomberg Two senior executives at Goldman Sachs Group Inc.’s Asia merchant banking division have retired, a year after the firm combined its multiple private investing units into one team. Jonathan Vanica, who headed credit in Asia and real estate investing in India, Southeast and Korea, left this month after 19 years at bank. David Chou, a 15-year veteran who looked ...
Read More »IOOF plans $1bn raising to buy NAB’s wealth unit
Bloomberg IOOF Holdings Ltd. has agreed to buy National Australia Bank Ltd.’s (NAB) wealth management unit for A$1.44 billion ($1.1 billion) as its transformation gathers pace. The Melbourne-based investment group will seek to raise A$1.04 billion through a share sale to help finance the purchase of MLC, IOOF said in a statement on Monday. The rest will be funded through ...
Read More »BlackRock to set up mutual fund company in China
Bloomberg BlackRock Financial Management, Inc. received approval from the China Securities Regulatory Commission to set up a wholly-owned mutual fund management company in the country. BlackRock is the first foreign business to receive the approval in China. The new company is based in Shanghai and has registered capital of 300 million yuan ($43.7 million), according to a statement on the ...
Read More »China’s big banks post worst profit slump on bad debt wave
Bloomberg China’s biggest banks are suffering their worst profit decline in more than a decade as a cascade of loans to businesses across China are going bad. Reporting their first-half earnings on Sunday, China Construction Bank Corp., (CCB) the world’s second-largest lender by assets, said profit slid 11% in the period, while Agricultural Bank of China Ltd., (AgBank), China’s third ...
Read More »Negative rates part of BOE’s policy toolbox, says governor Bailey
Bloomberg The Bank of England (BOE) has plenty of room to add more monetary stimulus to fight UK’s economic slump, including negative interest rates if needed, Governor Andrew Bailey said. “We are not out of firepower by any means,†he said at the Federal Reserve’s annual policy symposium, being held virtually instead of the traditional venue at Jackson Hole, Wyoming. “To ...
Read More »Credit Suisse uncovers client fraud at wealth management
Bloomberg Credit Suisse Group AG has discovered fraud at its international wealth management business, two years after it was criticized by a regulator in a similar case that rattled the bank and raised questions about controls. The Swiss lender dismissed a Zurich-based banker who forged documentation on an over-the-counter contract for an African wealth management client, according to people familiar ...
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