Saudi bourse may open up
Saudi Arabia is seeking to open its US$509 billion stock exchange to foreign investors in April next year, according to three people briefed on the nation’s plans. Saudi Arabia’s Capital Market Authority informed brokers and fund managers of the plan in London last month, two of the people said, asking not to be identified as the meeting was private. Saudi Arabia is not planning significant changes to draft rules published in August, the people said. The country announced in July that it would open the market in the first half of next year. The world’s biggest oil exporter is removing barriers to one of the world’s most-restricted major stock exchanges as it pursues a US$130 billion spending plan to boost non-energy industries. Opening the market might prompt global index provider MSCI Inc to include the bourse in its emerging market gauge by 2017, attracting as much as US$40 billion to the exchange, Schroders PLC said in July.
Electric car stations to rise
The nation plans to expand its network of charging stations for electric cars countrywide to help boost lackluster demand, a Federal Ministry of Transport and Digital Infrastructure paper seen by reporters showed. Chancellor Angela Merkel’s government wants to bring 1 million battery-powered vehicles onto the roads of Europe’s largest economy by the end of this decade. However, high vehicle prices and drivers’ concerns about infrastructure and limited battery range have held back sales in the nation to just 24,000 models out of a market of about 3 million cars, government data show. The nation only has about 100 quick service charging points for electric cars, and about 4,800 charging stations running on alternating current, according to the ministry.
Dubai development surges
Dubai Investments PJSC plans to invest 10 billion dirhams (US$2.7 billion) in real-estate projects in the next five years as it seeks to benefit from resurgent property demand. Developments include Mirdiff Hills, a 2.5 billion dirham project in Dubai that is set to include 1,500 homes, a 230-room hotel, shops and 185,00m2 of office space, Dubai Investments chief executive officer Khalid Bin Kalban said in an interview. The company’s Dubai Investment Real Estate Co unit plans to start tendering for the development in the next two months, he said. Dubai Investments, whose largest shareholder is state-owned Investment Corporation of Dubai, is seeking to profit from a market recovery in the emirate after one of the world’s worst property crashes during the financial crisis in 2008. Local developers are reviving projects amid a surge in prices and new government measures which have helped stabilize the market.
SYRIZA lays out fiscal policy
A left-wing Greek government would not run deficits, but would pursue fiscal consolidation, the main opposition party’s chief economic policymaker said on Saturday. “Fiscal consolidation? Of course, yes, but in our way, in a way which places the burden on those who can pay,” SYRIZA Party’s Economic Policy Committee chief economist John Milios told reporters. Milios appeared certain Greece is headed for early elections that would result in a stable SYRIZA majority. “No, we are not going to follow a deficit policy. On the other hand, we will not accept, like the present government has agreed, to create an enormous budget surplus, 4.5 percent [of GDP] in 2016.”
POOR INTERNAL CONTROLS: Insurance Bureau Director-General Shih Chiung-hwa said the company is expected to get back on track while its chairman is suspended The Financial Supervisory Commission (FSC) yesterday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$939,415) for a reckless investment that endangered its solvency, and suspended its chairman Eugene Wu (吳東進) for poor supervision. The penalty is the second-highest in a single case after Nan Shan Life Insurance Co (南山人壽) was fined NT$30 million in September last year and its chairman Du Ying-tzyong (杜英宗) suspended for two years, the commission said. In three rounds of special and regular examinations conducted since last year, the commission found that Shin Kong Life had given too much power to an asset and liability management committee
HEAVY INVESTMENT: Moody’s affirmed the firm’s ‘Aa3’ rating with a ‘stable’ outlook due to its leading position in the industry and ability to match customer requirements Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) revenue this year is expected to increase about 21 percent to NT$1.29 trillion (US$44.01 billion) from NT$1.07 trillion last year, driven by strong demand for advanced 5-nanometer and 7-nanometer chips mainly used in smartphones and high-performance computing devices, a Moody’s Investors Service report on Wednesday said. TSMC’s rate of revenue growth next year is to increase to 7.5 percent, the ratings agency said. The company, which supplies 5-nanometer chips for Apple Inc’s new iPad series, has introduced the advanced chips ahead of its competitors and gained a significant share of the market for the foundry industry’s
Sony Corp has cut its estimated Play Station 5 (PS5) production for this fiscal year by 4 million units, down to about 11 million, following production issues with its custom-designed system-on-chip (SOC) for the new console, people familiar with the matter said. The Tokyo-based electronics giant in July boosted orders with suppliers in anticipation of heightened demand for gaming in the holiday season and beyond, as people spend more time at home due to the COVID-19 pandemic. However, the company has come up against manufacturing issues, such as production yields as low as 50 percent for its SOC, which have cut into
O2O BICYCLE SHOW: The Taiwan Bicycle Show next year is to be online to offline, with forums, audio-visual conferences and livestreaming of the offline events Local bicycle makers expect demand to continue outpacing supply due to orders triggered by the COVID-19 pandemic, with some companies seeing orders back up through next year. “Next year is all full in terms of orders. Our lead time on components is one year,” Giant Manufacturing Co Ltd (巨大機械) chairwoman Bonnie Tu (杜綉珍) told a news conference in Taipei organized by the Taiwan External Trade Development Council (TAITRA) to announce next year’s Taipei Cycle Show. The pandemic has reduced bicycle supplies and increased demand around the world, Robert Wu (吳盈進), chairman of KMC (Kuei Meng) International Inc (桂盟國際), one of the world’s