Banking

Bloomberg Zimbabwe has sufficient foreign currency reserves to sustain the reintroduced foreign currency auction system, the state-run Sunday Mail reported, citing central bank Governor John Mangudya. Mangudya said local lenders have almost $1 billion in their foreign currency accounts. “It’s about sufficient resources utilisation of resources,” Mangudya was quoted as saying in the newspaper. The country reintroduced the foreign currency ...

Bloomberg Germany’s state-owned development bank KfW is facing potential losses of 100 million euros ($112 million) after payment company Wirecard AG filed for insolvency. KfW’s subsidiary Ipex Bank granted the scandal-hit company a 100 million-euro credit line in September 2018. The financing was extended last year and has been fully drawn down, a spokesman for Ipex told Bloomber. There are ...

Bloomberg The biggest Nordic banks have voiced concerns over how Denmark’s debt office is handling sales of its shortest-dated securities. The debt office in Copenhagen, which is part of the central bank, recently added commercial paper to the list of securities it sells. But bankers at Danske and Nordea, among others, say the office has left them in the dark ...

Bloomberg The Bank of Russia cut interest rates by the most in five years and signaled another reduction is likely to help stimulate an economy heading toward a deep recession. The benchmark interest rate was cut 100 basis points to 4.5%, the lowest level since inflation-targeting began in late 2014, the central bank said in a statement. Policy makers warned ...

Bloomberg Zimbabwe’s central bank plans to stop providing the foreign currency needed for fuel imports, handing the responsibility to private companies, reports said. The plan, which will end an effective subsidy, will take place as early as June 23 when a currency peg is removed and an auction system for foreign exchange is set to begin, the people said, asking ...

Bloomberg Two Philippine lenders said they didn’t hold cash on behalf of Wirecard AG, the German payments processor whose shares have tumbled after it said it was unable to locate more than $2 billion in funds. A document purporting to show a link between Wirecard and the Bank of the Philippine Islands was “bogus” and may be part of an ...

Bloomberg Indonesia’s bonds have been the star performers in Asia this quarter, and the second half of the year may bring further joy to investors. Factors likely to support the debt of Southeast Asia’s largest economy include a pro-active central bank, and the apparent underweight positioning of global funds following the coronavirus sell-off. These should outweigh concerns about rising debt ...

Bloomberg Housing Development Finance Corporation (HDFC) plans to raise $1.8 billion through the sale of shares or bonds, as financiers across India seek to boost buffers amid coronavirus. The money will be used for purposes including organic growth, acquisitions and to maintain sufficient liquidity, India’s biggest mortgage lender said in a statement. HDFC becomes the latest to join other lenders ...

Bloomberg HSBC Holdings Plc hit out at unspecified “internet rumors’ in China, pledging to continue to invest and support Chinese economy as tensions grow. In a statement on its official WeChat account, the bank urged the Chinese public to “reasonably” consider and assess its positive role as an international bank in the development of China’s market. “We have noticed some ...

Bloomberg The Bank of England (BOE) is widely expected to boost its support for the UK economy again amid signs that recovering from the pandemic-induced recession will be harder than hoped. Economists predict the central bank will expand its bond-buying program by 100 billion pounds ($125 billion), taking it to 745 billion pounds, and investors are watching keenly for any ...