■UNITED STATES
Obama promises jobs
President Barack Obama promised yesterday to deliver more than 600,000 jobs through his US$787 billion stimulus plan this summer, with federal agencies pumping billions into public works projects, schools and summer youth programs. Obama is ramping up his stimulus program this week even as his advisers are ramping down expectations about when the spending plan will stem a continuing rise in the nation’s unemployment. Many of the stimulus plans that Obama announced yesterday were in the works, including federal money states budgeted for 135,000 teachers, principals and school support staff. The administration had always viewed the summer as a peak for stimulus spending, as better weather permitted more public works construction and federal agencies had processed requests from states and others. But Obama now promises an accelerated pace of federal spending over the next few months to boost the economy and produce jobs.
■FINANCE
Lloyds sells new shares
Britain’s state-controlled Lloyds Banking Group yesterday reported an 87 percent take-up for heavily discounted new shares recently issued in a bid to raise £4 billion (US$6.3 billion). “Lloyds Banking Group plc announces that valid acceptances have been received ... representing approximately 87 percent,” LBG said in a short statement. LBG had launched the rights-issue last month to help to repay its bailout by the British government. The British state owns about 43 percent of LBG. LBG has shed about 3,000 jobs since its creation in January, when Lloyds TSB bought rival lender HBOS. The latter had faced collapse because it was struggling to raise funds owing to the credit crunch.
■RETAIL
Arcandor may go bankrupt
German Finance Minister Peer Steinbrueck said yesterday the retail group Arcandor, which owns the Kardstadt chain and a majority share of Thomas Cook, could go bust. “A bankruptcy is not totally excluded,” Steinbrueck told ARD television, adding: “Shareholders must assume their responsibilities” with respect to the group’s long-running problems. Arcandor, which owns 52 percent of the travel group Thomas Cook, has said it could file for insolvency unless it obtained 437 million euros (US$610 million) in credit from the government. The company wants to tap a government fund set up to help companies hit by the economic slump. The group is also negotiating a possible merger with German rival Metro, the country’s biggest retailer and the owner of the Kaufhof chain, though talks have run into obstacles.
■CURRENCIES
Gulf monetary union formed
Four members of the oil-rich Gulf Cooperation Council signed an accord in the Saudi capital on Sunday to create a monetary union, a council spokesman said. Foreign ministers from four of the six council countries — Bahrain, Kuwait, Qatar and Saudi Arabia — agreed to set up a monetary council in Riyadh this year as a precursor to the ultimate goal of establishing a common currency, the spokesman said. Oman said in 2007 that it would not join, while the United Arab Emirates, a key regional financial and commercial hub, pulled out last month after the council decided to base the future regional central bank in Riyadh. The monetary union date was set for next year, but analysts consider that unrealistic given the global slowdown. Reports suggest that 2013 is the new target.
RETHINK? The defense ministry and Navy Command Headquarters could take over the indigenous submarine project and change its production timeline, a source said Admiral Huang Shu-kuang’s (黃曙光) resignation as head of the Indigenous Submarine Program and as a member of the National Security Council could affect the production of submarines, a source said yesterday. Huang in a statement last night said he had decided to resign due to national security concerns while expressing the hope that it would put a stop to political wrangling that only undermines the advancement of the nation’s defense capabilities. Taiwan People’s Party Legislator Vivian Huang (黃珊珊) yesterday said that the admiral, her older brother, felt it was time for him to step down and that he had completed what he
Taiwan has experienced its most significant improvement in the QS World University Rankings by Subject, data provided on Sunday by international higher education analyst Quacquarelli Symonds (QS) showed. Compared with last year’s edition of the rankings, which measure academic excellence and influence, Taiwanese universities made great improvements in the H Index metric, which evaluates research productivity and its impact, with a notable 30 percent increase overall, QS said. Taiwanese universities also made notable progress in the Citations per Paper metric, which measures the impact of research, achieving a 13 percent increase. Taiwanese universities gained 10 percent in Academic Reputation, but declined 18 percent
UNDER DISCUSSION: The combatant command would integrate fast attack boat and anti-ship missile groups to defend waters closest to the coastline, a source said The military could establish a new combatant command as early as 2026, which would be tasked with defending Taiwan’s territorial waters 24 nautical miles (44.4km) from the nation’s coastline, a source familiar with the matter said yesterday. The new command, which would fall under the Naval Command Headquarters, would be led by a vice admiral and integrate existing fast attack boat and anti-ship missile groups, along with the Naval Maritime Surveillance and Reconnaissance Command, said the source, who asked to remain anonymous. It could be launched by 2026, but details are being discussed and no final timetable has been announced, the source
CHINA REACTS: The patrol and reconnaissance plane ‘transited the Taiwan Strait in international airspace,’ the 7th Fleet said, while Taipei said it saw nothing unusual The US 7th Fleet yesterday said that a US Navy P-8A Poseidon flew through the Taiwan Strait, a day after US and Chinese defense heads held their first talks since November 2022 in an effort to reduce regional tensions. The patrol and reconnaissance plane “transited the Taiwan Strait in international airspace,” the 7th Fleet said in a news release. “By operating within the Taiwan Strait in accordance with international law, the United States upholds the navigational rights and freedoms of all nations.” In a separate statement, the Ministry of National Defense said that it monitored nearby waters and airspace as the aircraft