Foreign firms to repay $7b debt
Foreign firms to repay $7b debt
JAKARTA: Offshore debt repayment by foreign companies in
Indonesia is expected to rise to US$7 billion next year from
around $5 billion this year, Bank Indonesia said on Thursday.
The nation's central bank said that the increase indicates
improving performance of these companies after the 1997-98 Asian
financial crisis forced them to reschedule debt repayments.
"The improving economic conditions and investment climate are
expected to further stimulate financial capability of foreign
companies here in 2004 (to repay their debts)," the central bank
said in a statement.
Bank Indonesia said that net capital outflows from these
companies are expected to rise to $3.7 billion in 2004 from an
expected $1 billion this year.--Dow Jones
;DJ;
ANPAf..r..
MoneyMatters-peso
Peso sliding too fast: official
JP/16/debt
Peso sliding too fast: official
MANILA: Finance Secretary Jose Isidro Camacho expressed
concern on Thursday that the Philippines peso may be depreciating
too steeply, too fast.
The unit hit a new 31-month intraday low on Thursday at 55.250
pesos to the greenback after hitting record closing lows for the
past two days.
"There are fundamental reasons for the dollar-peso exchange
rate to rise, but it should not reach a level that we are seeing
now," Camacho said in a radio interview.
These fundamental reasons stem from the onset of the import
season and traditionally lower remittances from overseas Filipino
workers at this time of the year, among others, Camacho said.
He declined to give the peso's correct valuation or say if the
government is doing something to limit the fall.
Camacho said lingering political and economic concerns after a
failed military mutiny last month are also weighing on the peso,
with investors hedging dollars on worries that the local currency
will decline further. -- AFP
;DJ;
ANPAf..r..
MoneyMatters-WB-IMF
WB, IMF move from Iraq
JP/16/IMF
WB, IMF move from Iraq
WASHINGTON: The World Bank and International Monetary Fund
said on Wednesday they had not pulled out of Iraq but their work
on the ground was on hold after a bomb shattered the United
Nations office in Baghdad.
Both institutions were using the UN. building as a base for
work on reconstructing the country's economy after the toppling
of Saddam Hussein by U.S. led forces. Tuesday's blast, believed
to be the work of a suicide bomber, killed at least 20 people.
World Bank staff there have been relocated to Amman, Jordan,
said bank spokesman Damian Milverton.
"We have made no decision to pull out of Iraq and certainly we
will continue to work on the needs assessment from Amman while we
discuss the next step forward with the UN., the IMF and our other
partners," he said.
The bank had 15 staff members in Baghdad. One local employee
is missing and others were injured. At least two workers were
taken to hospital in Kuwait. -- AFP
;DJ;
ANPAf..r..
MoneyMatters-Brazil
Foreign firms to repay $7b debt
JP/16/Brazil
Brazil cuts lending rate
SAO PAULO: Brazil's central bank issued a larger-than-
expected cut in the country's benchmark interest rate on
Wednesday amid evidence that inflation is easing in South
America's largest economy.
The government also reported that unemployment slipped
slightly in July after six consecutive months of increases.
The bank lowered the benchmark Selic rate to 22 percent from
24.5 percent. It was the third consecutive interest rate cut in
as many months.
"Recent data confirm positive results have been attained by
monetary policy in making inflation converge to its targets," the
bank said in a statement.
The annual interest rate is now estimated at 9.5 percent, down
from nearly 12 percent several months ago. ---- AFP