Kenya’s inflation rate is likely to remain low in the near future as the performance of east Africa’s biggest economy improves, the central bank’s Monetary Policy Committee (MPC) said on Friday. In a statement expounding upon the MPC’s decision to keep its key central bank rate (CBR) at seven percent on Tuesday, Central Bank of […]

Lawmakers challenged Treasury Secretary Timothy Geithner’s credibility recently after he said he was not involved in a decision by bailed-out insurer AIG to withhold details about $62bn paid to banks. Geithner held his ground at a hearing, however, insisting the government-funded rescue which cost more than $180bn had been necessary to avert economic collapse. Big […]

London-based oil explorer Tullow Oil launched a placing of 80.4 million shares on Wednesday, equivalent to 10 percent of its outstanding shares, to pay for development of assets in Uganda. Based on Tuesday’s closing price of 1,216 pence, the sale would raise almost £1bn. Tullow said the money will be needed to meet higher capital […]

The Bank of Japan may sound less pessimistic about the economy on Tuesday but it will likely keep its bias skewed towards further monetary easing, with the finance minister pressuring it again to do its utmost to fight deflation. But it remains ready to ease monetary conditions in the future, such as by buying more […]

Bill Gates, the world’s richest man, has said the US economy could take years to recover from recession and predicted taxes will have to rise to bring the federal budget into balance. Speaking on ABC’s Good Morning America, Gates also warned against too much government intervention and urged President Obama to focus policy on long-term […]

President Obama threatened to fight Wall Street banks on Thursday with new proposals to limit financial risk taking, sending stocks and the dollar tumbling. “If these folks want a fight, it’s a fight I’m ready to have,” he told reporters at the White House, flanked by his top economic advisers and lawmakers. “We should no […]

There are signs the global economy is rebounding but Kenya should keep assessing its economic performance before reducing or removing its fiscal stimulus, the World Bank’s country director said recently. Kenya put in about one percent of its GDP as fiscal stimulus in its 2009/10 budget after suffering the triple shocks of post-election violence, drought […]

Chinese authorities ordered some big banks to curb lending for the rest of January, intensifying their efforts to prevent the world’s third-largest economy from overheating. The news weighed down stocks in Asia and Europe and oil fell towards $78 a barrel on fears that demand in China, the world economy’s main source of growth, may […]

Japan Airlines Corp is set to file for one of the country’s largest ever bankruptcies on Tuesday, marking the failure of the former state-owned carrier that once symbolised Japan Inc’s international aspirations. JAL, Asia’s largest airline by revenues, will remain in the skies under a state-backed restructuring plan as it tries to free itself from […]

Uganda’s oil minister said Kampala was waiting for documents about the sale of Heritage Oil’s assets, and stressed that neither Heritage nor partner Tullow Oil had consulted the government on the deals. Tullow has exercised a right to buy Ugandan oil fields from Heritage, potentially derailing ambitions to expand in Africa by Italy’s Eni, which […]

The value of Japanese trust funds aimed at retail investors rebounded 18 percent in 2009 as global share prices and economies recovered from the previous year’s financial crisis, an industry group announced recently. Japanese individuals, who hold $15trn in savings – with much of that parked in low-yielding accounts – shifted some of their savings […]

Greece’s three-year fiscal consolidation plan targets a budget deficit of 2.8 percent of GDP in 2012, the finance minister has announced. Greece, whose fiscal ills have prompted ratings downgrades and higher borrowing costs, is under pressure from markets and EU peers to take drastic action to restore its public finances. “According to the plan, the […]

The Philippines may raise up to $1bn from a planned Samurai bond issue, up from its previous plan of $500m, if it gets favourable pricing and good demand, a senior government official said recently. “If we can raise $1bn through samurai, we will do that,” Finance Undersecretary Rosalia de Leon told reporters. “We will try […]

The nominee to be the European Union’s trade chief said this week that he supported Russia’s accession to the World Trade Organisation. Karel de Gucht told a hearing in the European Parliament that much now depended on Russia and whether it wants to join the WTO as part of a customs union with Belarus and […]

Oil prices rose 1 percent on Monday, hitting a fresh 15-month high above $83 a barrel, supported by data showing China’s crude oil imports surged by nearly 25 percent in December and as the US dollar weakened. The prolonged cold snap in the US and Europe continued to boost demand for heating fuel, lending support […]