With continued loans to foreign markets and increased interbank call loans, domestic banks’ foreign claims increased by 4 percent to US$235.46 billion during the quarter from July to September from the previous quarter, the central bank said in a statement yesterday.
The sequential increase of US$9.06 billion over the quarter in foreign claims, also known as international claims, was mainly driven by the addition of US$8.64 billion in claims on non-bank foreign private sector in the quarter, the bank said.
Foreign claims are comprised of claims on non-residents in all currency units as well as foreign currency claims on residents.
Last quarter’s increase came after the nation’s foreign claims contracted for the first time since the global financial crisis in 2008, showing a 2.31 percent decline to US$226.39 billion.
Given the difference in location of ultimate borrowers and debtors in terms of cross-border claims, the central bank released the latest net risk transfers for domestic banks, showing that the figure increased 7.38 percent to US$244.23 billion last quarter from the previous quarter.
The data indicated that domestic banks’ largest foreign claims continued to be on Luxembourg last quarter, with US$41.66 billion, followed by China’s US$35.13 billion and US$26.83 billion on the US.
However, in terms of net transfer risk, claims on China became the largest among all countries, with US$51.01 billion, ahead of the US$40.64 billion on claims on Luxembourg and the US$40.1 billion on the US at the end of September.
China has claimed a breakthrough in developing homegrown chipmaking equipment, an important step in overcoming US sanctions designed to thwart Beijing’s semiconductor goals. State-linked organizations are advised to use a new laser-based immersion lithography machine with a resolution of 65 nanometers or better, the Chinese Ministry of Industry and Information Technology (MIIT) said in an announcement this month. Although the note does not specify the supplier, the spec marks a significant step up from the previous most advanced indigenous equipment — developed by Shanghai Micro Electronics Equipment Group Co (SMEE, 上海微電子) — which stood at about 90 nanometers. MIIT’s claimed advances last
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) has appointed Rose Castanares, executive vice president of TSMC Arizona, as president of the subsidiary, which is responsible for carrying out massive investments by the Taiwanese tech giant in the US state, the company said in a statement yesterday. Castanares will succeed Brian Harrison as president of the Arizona subsidiary on Oct. 1 after the incumbent president steps down from the position with a transfer to the Arizona CEO office to serve as an advisor to TSMC Arizona’s chairman, the statement said. According to TSMC, Harrison is scheduled to retire on Dec. 31. Castanares joined TSMC in
EUROPE ON HOLD: Among a flurry of announcements, Intel said it would postpone new factories in Germany and Poland, but remains committed to its US expansion Intel Corp chief executive officer Pat Gelsinger has landed Amazon.com Inc’s Amazon Web Services (AWS) as a customer for the company’s manufacturing business, potentially bringing work to new plants under construction in the US and boosting his efforts to turn around the embattled chipmaker. Intel and AWS are to coinvest in a custom semiconductor for artificial intelligence computing — what is known as a fabric chip — in a “multiyear, multibillion-dollar framework,” Intel said in a statement on Monday. The work would rely on Intel’s 18A process, an advanced chipmaking technology. Intel shares rose more than 8 percent in late trading after the
FACTORY SHIFT: While Taiwan produces most of the world’s AI servers, firms are under pressure to move manufacturing amid geopolitical tensions Lenovo Group Ltd (聯想) started building artificial intelligence (AI) servers in India’s south, the latest boon for the rapidly growing country’s push to become a high-tech powerhouse. The company yesterday said it has started making the large, powerful computers in Pondicherry, southeastern India, moving beyond products such as laptops and smartphones. The Chinese company would also build out its facilities in the Bangalore region, including a research lab with a focus on AI. Lenovo’s plans mark another win for Indian Prime Minister Narendra Modi, who tries to attract more technology investment into the country. While India’s tense relationship with China has suffered setbacks