Category: Economy and Markets
Dubai debt woes sting Gulf financial sector
KUWAIT CITY, November 28, 2009 (AFP) – Gulf banks, already reeling under defaults by two major Saudi groups and Kuwaiti investment firms, are bracing for more serious trouble with the unfolding Dubai debt crisis, analysts said on Saturday.The banks, which have already made huge provisions against other exposure, will be forced to make even more […]
Sri Lanka stocks rebound, Galleon sells Ceylon Leather
Nov 27, 2009 (LBO) – Sri Lankan shares made a strong recovery Friday while Raj Rajaratnam, the billionaire fund manager accused of insider dealing in the US, sold out of Ceylon Leather Products, brokers and analysts said. To receive instant alerts from LBO on your Dialog mobile type ‘lbo’ and send to 678 The All […]
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Nov 27, 2009 (LBO) – The Sri Lanka rupee started trading in a band Friday after a state bank that usually acts for the monetary authority quoted a wide two way price, dealers said. Many high inflation countries which are prone to macro-economic instability and balance of payments crisis, have experimented with soft pegs of […]
Sri Lanka must tackle corruption to lure investors: US envoy
Nov 27, 2009 (LBO) – Sri Lanka must act against corrupt government officials and businessmen and ensure local firms play fair with foreign companies if it wants to attract investors, the American envoy to the island has said. It needs to unshackle the media, be more open to trade and better protect intellectual property rights […]
Sri Lanka buys 10 tonnes of gold from IMF
Nov 25, 2009 (LBO) – Sri Lanka has bought 10 metric tonnes of gold for 375 million US dollars from the International Monetary Fund, following in the wake of India and Mauritius, the international monetary watchdog said. The IMF said the deal was made at November 23 prices. Sri Lanka’s central bank Governor Nivard Cabraal […]
‘s sharp reversal of fortunes
DUBAI, November 26, 2009 (AFP) – The plan by state-owned Dubai World to suspend payments on its large debts highlights the sharp economic reversal in the once-booming Gulf Emirate.A timeline of events since the global economic crisis began: 2008 – Oct 5:The frenetic expansion of Dubai appears relentless as state-owned Nakheel announces plans for a […]
Dubai debt fears hit world stock markets
LONDON, November 26, 2009 (AFP) – Global equities slumped Thursday, with Europe down three percent after Dubai’s shock call to suspend the debt of a key state company fuelled anxiety about excessive public borrowing, analysts said. The government of Dubai shocked financial markets on Wednesday when it said it would ask creditors of its Dubai […]
Sri Lanka bill yields flat
Nov 25, 2009 (LBO) – Sri Lanka’s Treasury bills yields were flat at this weeks auction, with the government rolling over 11.5 billion rupees of securities and raising 241 million rupees in fresh debt at Wednesday’s auction. The government’s debt office said the 3-month yield was 7.25 percent, the 6-month yield was 8.33 percent and […]
Sri Lanka needs monetary tightening to head off inflation spike: economists
Nov 25, 2009 (LBO) – Sri Lanka’s inflation may top 10 percent next year unless corrective action is taken, and recent trends in the island’s most widely watched index should not make policymakers complacent, economists have said. Prices in Sri Lanka’s capital, measured by a revised Colombo Consumer Price Index, rose 1.4 percent in October […]
‘re running out of gold: miners
MONTREAL, November 25, 2009 (AFP) – Gold production will continue to fall, despite a brief boost in 2009 and soaring prices, as deposits are exhausted and new discoveries remain elusive, say miners.“It’s not like a water tap you can turn on and it comes right away.” Barrick and Newmont expect nevertheless to continue increasing production […]
Sri Lanka says move to fair value accounting difficult
Nov 25, 2009 (LBO) – The global move towards fair value accounting might prove difficult for south Asian countries as they lack active markets to support such valuations, a senior Sri Lankan accountant said. Reyaz Mihular, chairman of the Accounting and Auditing Standards Committee of South Asian Federation of Accountants, said a key point of […]
Sri Lanka will not collect back taxes from war torn areas: official
Nov 25, 2009 (LBO) – Sri Lanka’s revenue office will not collect back-taxes from areas that have emerged from a 30-years war but will set up branches to start tax collection as economic activities pick up, an official said.“We are not trying to collect taxes due in previous years,” commissioner general of Sri Lanka’s Inland […]