■ AUSTRALIA
Higher interest rates likely
The central bank yesterday warned that inflation was likely to be higher than it hoped at 3.25 percent in the final quarter of this year, increasing the likelihood of further interest rate rises. The predicted figure for consumer price index (CPI) inflation is above the bank's target rate of 2 percent to 3 percent. "Given the recent pattern of quarterly outcomes, both CPI inflation and underlying inflation measures are likely to rise above three percent on a year-ended basis over the next two quarters," the bank said in a quarterly monetary statement. Underlying inflation in the third quarter of this year was 3 percent year-on-year, prompting the bank's move to raise interest rates last week. It raised rates by 0.25 percent to 6.75 percent, the highest in 11 years.
■ BANKING
Woori moves into China
Woori Bank said it set up a wholly owned subsidiary in China yesterday, the first such move by a South Korean lender, as part of its efforts to tap into the Asian banking market. The bank, South Korea's No. 2 in terms of assets, said it launched Woori Bank China in Beijing to expand into the Chinese retail banking market. South Korean lenders are increasingly trying to make inroads into foreign markets as competition intensifies domestically. "By opening the Chinese unit, we are moving one step further towards establishing an Asia-wide network," said Park Byong-won, chairman of parent company Woori Finance. "By 2010, we aim at opening 53 branches in China and raising the number of branches to 200 around the world."
■ AVIATION
Airbus wins more orders
DAE Capital, an offshoot of public company Dubai Aerospace Enterprise, announced yesterday it would purchase 70 Airbus A320 and 30 A350 planes for a total of US$13.5 billion. DEA Capital, which leases aircraft, said it had signed a letter of intent to buy the 100 planes. The decision was announced at the 10th Dubai air show.
■ AUTOMOBILES
Hyundai to build in Russia
South Korean carmaker Hyundai Motor yesterday confirmed a plan to build a car factory in Russia with a capacity of 100,000 vehicles a year. "The investment plan, which had been under review, was confirmed by chairman Chung Mong-koo at talks with Russian officials during his trip to Moscow last week," company spokesman Ki Jin-ho said. Details have yet to be fixed in follow-up discussions, Kim said. The JoongAng Ilbo newspaper said the company was considering investing US$400 million to build the factory either in Nizhegorod Province or St. Petersburg. The Korea Times said construction may begin early next year.
■ BEVERAGES
Diageo eyes Indian stake
Global beverage group Diageo may buy a minority stake in Indian liquor baron Vijay Mallya's United Spirits for as much as US$600 million, the Economic Times reported yesterday. The two firms have held "tentative talks" on the purchase of a 10 percent to 13 percent stake by Diageo in United Spirits, the paper said in a front-page report that cited unnamed sources. United Spirits, which had a market value of about US$4.5 billion as of last week, may be open to selling a small stake without ceding any management control, said the report, which estimated the value of a deal at US$500 million to US$600 million.
QUIET START: Nearly a week after applications opened, agencies did not announce or promote the program, nor did they explain how it differed from other visitor visas Taiwan has launched a six-month “digital nomad visitor visa” program for foreign nationals from its list of visa-exempt countries who meet financial eligibility criteria and provide proof of work contracts. To apply, foreign nationals must either provide proof that they have obtained a digital nomad visa issued by another country or demonstrate earnings based on age brackets, the Bureau of Consular Affairs said. Applicants aged 20 to 29 must show they earned an annual salary of at least US$20,000 or its equivalent in one of the past two years, while those aged 30 or older must provide proof they earned US$40,000 in
AIR DEFENSE: The Norwegian missile system has proved highly effective in Ukraine in its war against Russia, and the US has recommended it for Taiwan, an expert said The Norwegian Advanced Surface-to-Air Missile Systems (NASAMS) Taiwan ordered from the US would be installed in strategically important positions in Taipei and New Taipei City to guard the region, the Ministry of National Defense said in statement yesterday. The air defense system would be deployed in Taipei’s Songshan District (松山) and New Taipei City’s Tamsui District (淡水), the ministry said, adding that the systems could be delivered as soon as the end of this year. The US Defense Security Cooperation Agency has previously said that three NASAMS would be sold to Taiwan. The weapons are part of the 17th US arms sale to
SERIOUS ALLEGATIONS: The suspects formed spy networks and paramilitary groups to kill government officials during a possible Chinese invasion, prosecutors said Prosecutors have indicted seven retired military officers, members of the Rehabilitation Alliance Party, for allegedly obtaining funds from China, and forming paramilitary groups and assassination squads in Taiwan to collaborate with Chinese troops in a possible war. The suspects contravened the National Security Act (國家安全法) by taking photos and drawing maps of key radar stations, missile installations and the American Institute in Taiwan’s headquarters in Taipei, prosecutors said. They allegedly prepared to collaborate with China during a possible invasion of Taiwan, prosecutors said. Retired military officer Chu Hung-i (屈宏義), 62, a Republic of China Army Academy graduate, went to China
UNITY MESSAGE: Rather than focusing on what Trump said on the campaign trail about Taiwan, Taipei should be willing to engage with the US, Pompeo said Taiwan plays a key role in Washington’s model of deterrence against China, former US secretary of state Mike Pompeo said in a speech in Taipei yesterday. During US president-elect Donald Trump’s first term, “we had developed what we believe was a pretty effective model of deterrence against adversaries who wanted to undermine the set of rules and values that the people of Taiwan and the people of the US hold dear,” Pompeo said at a forum organized by the Formosa Republican Association. “Succeeding in continuing to build this model will not solely rest at the feet of president Trump and his team,
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