BANKING
Forced divestment unlikely
Australian banks are likely to get out of their wealth-management businesses without the need for government to force divestment, according to the head of a parliamentary banking inquiry. “You will see over time banks will get out of their wealth management businesses because it is an area that has caused them problems and it’s a relatively small proportion of their business,” ruling Liberal Party lawmaker David Coleman told Sky News Australia yesterday. “I’m not sure I would support forced divestment.”
EGYPT
Inflation eased last month
The nation’s inflation eased last month, signaling that the surge in prices that followed the government’s latest round of subsidy cuts may have peaked. The annual rate for urban areas dropped to 31.9 percent from 33 percent in July, according to data released yesterday by the official statistics agency. Prices rose 1.1 percent on the month, compared with 3.2 percent in July, a month after fuel and utility prices were raised.
TRADE
HK-ASEAN pact ready
Hong Kong and ASEAN will sign a free-trade agreement (FTA) and a related investment agreement in November, according to a statement issued by the territory’s government on Saturday. The agreements are comprehensive in scope and would give the territory greater access to the ASEAN markets, create new business opportunities and enhance trade and investment flows, according to Hong Kong Secretary for Commerce and Economic Development Edward Yau (邱騰華). The trade negotiations between Hong Kong and ASEAN started in July 2014 and were completed in July this year.
FOREIGN RESERVES
China sees more gains
China’s foreign-exchange reserves posted a seventh straight gain last month as the yuan rose in its best monthly performance in at least a decade. The stockpile climbed US$11 billion to US$3.09 trillion, the People’s Bank of China said on Thursday. The figure is compared with a US$3.1 trillion estimate in a Bloomberg survey. Reserves denominated in the IMF reserve currency known as Special Drawing Rights were at SDR 2.19 trillion, little changed from July.
INVESTMENT
MIT portfolio gains 14.3%
The Massachusetts Institute of Technology (MIT) posted an investment gain of 14.3 percent in fiscal 2017 as the endowment’s value reached US$14.8 billion. The school’s investment management company oversees a total of US$23.3 billion of endowment, retirement and operating funds, according to a statement on Friday. MIT, based in Cambridge, posted a gain of 0.8 percent last year. Its endowment is the sixth-largest in higher education in the US, according to data compiled by Bloomberg. The value of the fund increased 12.1 percent in the 12 months through June 30.
INVESTMENT
CVC eyes Middle East
CVC Capital Partners is considering its first investment in the Middle East as Europe’s largest private equity firm works to expand its business into new areas. The London-based buyout firm has considered potential targets including United Arab Emirates-based shisha maker Al Fakher Tobacco Trading as well as education companies, people familiar with the matter said. It was also considering a bid for a stake in Emaar Properties PJSC’s entertainment division.
purpose: Tesla’s CEO sought to meet senior Chinese officials to discuss the rollout of its ‘full self-driving’ software in China and approval to transfer data they had collected Tesla Inc CEO Elon Musk arrived in Beijing yesterday on an unannounced visit, where he is expected to meet senior officials to discuss the rollout of "full self-driving" (FSD) software and permission to transfer data overseas, according to a person with knowledge of the matter. Chinese state media reported that he met Premier Li Qiang (李強) in Beijing, during which Li told Musk that Tesla's development in China could be regarded as a successful example of US-China economic and trade cooperation. Musk confirmed his meeting with the premier yesterday with a post on social media platform X. "Honored to meet with Premier Li
ARTIFICIAL INTELLIGENCE: The chipmaker last month raised its capital spending by 28 percent for this year to NT$32 billion from a previous estimate of NT$25 billion Contract chipmaker Powerchip Semiconductor Manufacturing Corp (力積電子) yesterday launched a new 12-inch fab, tapping into advanced chip-on-wafer-on-substrate (CoWoS) packaging technology to support rising demand for artificial intelligence (AI) devices. Powerchip is to offer interposers, one of three parts in CoWoS packaging technology, with shipments scheduled for the second half of this year, Powerchip chairman Frank Huang (黃崇仁) told reporters on the sidelines of a fab inauguration ceremony in the Tongluo Science Park (銅鑼科學園區) in Miaoli County yesterday. “We are working with customers to supply CoWoS-related business, utilizing part of this new fab’s capacity,” Huang said, adding that Powerchip intended to bridge
Dutch brewing company Heineken NV on Friday announced an investment of NT$13.5 billion (US$414.62 million) over the next five years in Taiwan. The first multinational brewing company to operate in Taiwan, Heineken made the statement at a ceremony held at its brewery in Pingtung County. It also outlined its efforts to make the brewery “net zero” by 2030. Heineken has been in the Taiwanese market for 20 years, Heineken Taiwan managing director Jeff Wu (吳建甫) said. With strong support from local consumers, the Dutch brewery decided to transition from sales to manufacturing in the country, Wu said. Heineken assumed majority ownership and management rights
Microsoft Corp yesterday said that it would create Thailand’s first data center region to boost cloud and artificial intelligence (AI) infrastructure, promising AI training to more than 100,000 people to develop tech. Bangkok is a key economic player in Southeast Asia, but it has lagged behind Indonesia and Singapore when it comes to the tech industry. Thailand has an “incredible opportunity to build a digital-first, AI-powered future,” Microsoft chairman and chief executive officer Satya Nadella said at an event in Bangkok. Data center regions are physical locations that store computing infrastructure, allowing secure and reliable access to cloud platforms. The global embrace of AI