Tanzania to boost production
Tanzania’s government plans to sell shares in the state-owned power utility to the public this year and split it into separate generation, transmission and distribution units, Minister of Energy and Mining Sospeter Muhongo said. The state is to offer as much as 49 percent of Tanzania Electric Supply Co, or Tanesco, while the government is to retain a controlling stake, Muhongo said. The government is also to invest US$1.2 billion in the company over 10 years, boosting efforts to increase electricity production to 10,000 megawatts by 2025 from 1,400 megawatts, Muhongo said.
Treasuries fall amid tension
Treasury investors in benchmark 10-year notes are to lose 1.7 percent this year as the US Federal Reserve raises interest rates, economists project. The yield is expected to climb to 2.80 percent from 2.29 percent yesterday, based on a Bloomberg survey of banks and securities companies with the most recent forecasts given the heaviest weightings. The estimated loss takes into account expected interest payments. US Treasuries fell yesterday as tensions between Iran and Saudi Arabia sent crude oil higher, raising speculation increasing fuel costs might cause inflation to accelerate.
Singapore properties drop
Singapore home prices dropped for a ninth quarter, posting the longest losing streak in 17 years, as tighter mortgage curbs cooled demand in Asia’s second-most expensive housing market. An index tracking private residential prices fell 0.5 percent in the three months ending Thursday last week from the previous quarter, preliminary data from the Urban Redevelopment Authority show. That took the annual decline to 3.7 percent, almost matching the 4 percent drop in 2014, which was the first year-on-year slide since 2008. Developers sold 5,599 new units in the nine months to September, on course for the lowest annual sales since 2008.
Haven assets return
Gold climbed with silver on the first trading day this year as rising tension between Saudi Arabia and Iran spurred a return to haven assets. Bullion for immediate delivery climbed as much as 0.5 percent to US$1,066.04 an ounce and traded at US$1,064.04 at 12:29pm in Singapore, Bloomberg generic pricing showed. The metal lost 10 percent last year for a third annual drop, the longest slump since 2000. Gold, traditionally seen as a store of value during political turmoil, climbed after Saudi Arabia cut ties with Iran, a day after its embassy in Tehran was attacked to protest the Saudi execution of a prominent Shiite cleric. While unexpected incidents last year such, lifted prices briefly, gold still fell last year.
Soul probes budget airlines
South Korea is to review safety at six low-cost airlines after a Jin Air flight made an emergency return to the Philippines. The Ministry of Transport yesterday said that the safety investigation comes as the ministry is looking into the Jin Air incident. Jin Air Co said a Boeing 737-800 jet bound for Busan, South Korea, returned to Cebu, the Philippines, 40 minutes after takeoff on Sunday when one of the plane’s doors was found to be leaking air. The company said its initial investigation found no defect in the jet. No injuries were reported, but local media reports said passengers complained of a loud noise and suffered from headaches during the return trip.
Polytronics Technology Corp (聚鼎科技) yesterday announced that it is buying Henkel AG’s thermal clad dielectric material (TCLAD) business division for US$26 million as the Taiwanese firm aims to improve its technology, product portfolio and revenue performance. Polytronics, headquartered in the Hsinchu Science Park (新竹科學園區), is a supplier of protection components and heat dissipation materials. The firm entered the metallic heat-dissipation substrate market in 2007 and developed a unique solventless production process. Its board of directors approved signing an agreement with Henkel to acquire the German chemical firm’s TCLAD division in the US. The purchase includes all assets and business interests, including equipment,
SIZE MATTERS: Medium-sized hotels that do not have the support of parent groups are more vulnerable and are forced to take action, a REPro Knight Frank researcher said About 50 hotels across Taiwan are seeking to exit the market as they succumb to the bleak business outlook amid international travel restrictions imposed to combat the COVID-19 pandemic. Yomi Hotel (優美飯店) on Minsheng E Road, Sec 1, in Taipei is seeking to transfer ownership with an asking price of NT$950 million (US$32.15 million) and a pledge for a lease contract that guarantees a 3 percent return. The budget hotel, with room rates that start from NT$1,400 per night, maintains normal operations, but has been struggling since March, when the government placed restrictions on inbound and outbound travel. Occupancy rates for hotels in
‘SENSITIVE MARKETS’: The previously unannounced project would involve the company handing over control of data to a third party to sidestep privacy concerns Google has abandoned plans to offer a major new cloud service in China and other politically sensitive countries due in part to concerns over geopolitical tensions and the COVID-19 pandemic, two employees familiar with the matter said, revealing the challenges for US tech giants to secure business in those markets. In May, the search giant shut down the initiative, known as “Isolated Region” and which sought to address nations’ desires to control data within their borders, the employees said. The action was considered a “massive strategy shift,” said one of the employees, who added that Isolated Region had involved hundreds of employees
GOGOROS TO GO: The scooter maker’s CEO said that the electric vehicles ‘are the perfect complement to a program designed to stimulate the Taiwanese economy’ Minister of Economic Affairs Wang Mei-hua (王美花) yesterday announced a draw to encourage people to claim their Triple Stimulus Vouchers digitally. The prizes include movie tickets and 25 electric scooters donated by Gogoro Inc (睿能創意), Wang said. The Ministry of Economic Affairs said that it would hold a scooter draw every day for the next 10 days, beginning yesterday, after which there would be a draw every week for 15 weeks. The first winner was a Taiwan Cooperative Bank (合庫銀行) credit card user, the ministry said. The benefits of claiming the vouchers digitally extend beyond the draws, with many businesses offering special deals for