Monday, April 12 2021 | ASIA TODAY INTERNATIONAL - Reporting the Business that Matters in Asia
SHANGHAI - The Chinese media group Caixin is reporting that debt risks continue to cloud the Chinese corporate
bond market this week, with another major state-owned enterprise defaulteingon a trust loan. This follows the
default of a state-owned coal-mining firm earlier this month.
SINGAPORE - S&P Global Ratings says that economic trajectories for Asia-Pacific are stabilising. It expects Asia-Pacific GDP to shrink about 2% in 2020 and to grow by 6.8% in 2021, close to previous S&P forecasts at the end of the third quarter. "Uncertainty remains unusually high, but little in the past three months has led to large revisions to our views," S&P says.
MELBOURNE - After the release of key partial indicators this week, ANZ Bank says it expects Australia's GDP to have bounced 3.0% q/q in Q3. This would leave GDP 3.9% below year-ago levels. "Consistent with the run of better-than-expected partial economic indicators, the forecast bounce in Q3 GDP is larger than we had anticipated a few months ago," ANZ says. 222.live.anz.com (ATI).
BEIJING - China Daily reports that China and India will maintain dialogue and communication through military and diplomatic channels and jointly resolve issues while maintaining peace and stability in border regions, quoting China's Ministry of National Defence.
KUALA LUMPUR -- Malaysia's 2021 budget proposal reflects a first cautious step toward fiscal consolidation. following a deficit estimated at 6% of GDP in 2020, according to ratings agency Standard and Poor's. "Nevertheless, against a tide of economic uncertainty and continued revenue weakness, Malaysia faces enduring pressure on its fiscal and debt settings," S&P says.
HONG KONG - International Finance Corporation (IFC), a member of the World Bank Group, has signed a new partnership with the Hong Kong Monetary Authority (HKMA) to encourage commercial banks in Asia to adopt strategies and targets to become greener, the Hong Kong Special Administrative Region (HKSAR) government said.
MANILA - Although an improvement over Q2, GDP growth in the Philippines in the third quarter still fell by a solid 11.5% y/y, highlighting the long road to a recovery. GDPfor th second half came in at minus 16.9%.
HONG KONG -- S&P Global Ratings said today that the sale of Swire Pacific Ltd.'s Hong Kong Cityplaza One office tower will modestly ease pressure on the company's diminishing financial headroom following the bailout of its associate company, Cathay Pacific Airways Ltd.
HONG KONG -- The introduction of a digital currency in China could cut transaction costs, lowering fee revenue for payment service intermediaries, according to ratings agency Standard and Poors. It says that as the first G-20 country to trial a digital currency, China's success or failures could offer lessons to other aspiring nations.
BEIJING -- Technological advancement is the new focus of China's 2021-2025 Five-year Plan, says the global financial group, BBVA, in a summary paper of the Fifth Plenum of 19th Chinese Communist Party's Central Committee. "As we expected, the Five-year Plan does not mention an explicit growth target figure for the next five years, BBVA says.
HONG KONG -- Hong Kong's economy remains in the doldrums, but there are some green shoots in Q3 data and, even more so, October data, Natixis says in a market update, reflecting that prospects for the economy is likely to become brighter if the government can better bring COVID-19 under control and gradually reopen the border with mainland China.
SHANGHAI -- Major economic activity data continued to improve in China in October, with ANZ Bank saying the figures reinforce its belief that China's GDP will expand above 5.5% y/y in Q4. "Consumption growth is particularly encouraging," ANZ says.
BANGKOK--Thailand's economy improved more than expected in Q3, with GDP rising from minus 12.2% in Q2 to minus 6.4%. The turnaround was broad-based, except for tourism. Notably, final domestic demand in Q3 more than recouped its losses recorded in Q2.
TAIWAN -- President Tsai Ing-wen has pledged that her Government will continue promoting green energy while fostering exchanges and co-operation with technology partners around the world. She told an energy development forum in Taipei City that green energy was pivotal to securing Taiwan's position in global supply chains.
KUALA LUMPUR - Malaysia's GDP growth for the third quarter of 2020 has improved to minus 2.72% -- from minus 17.1% in the second quarter. The improvement was driven mainly by household consumption and exports. ANZ Bank says the impressive performance notwithstanding, it is mindful of lingering challenges -- the recent tightening of local social containment measures, the new wave of infections in Europe and the US, and still weak discretionary spending.
TAIPEI - Having earned worldwide plaudits for its success in tackling COVID-19 (the country of 23 million people reported a total of 523 confirmed cases and seven deaths), Taiwan has made a new plea to be granted Observer status at the World Health Assembly (WHA), the annual meeting of the World Health Organisation (WHO).