RP bad loan ratio, lending down

RP bad loan ratio, lending down

MANILA: The bad loan ratio of Philippine banks dropped
slightly from a month earlier to 18.06 percent in June after one
lender sold its non-performing loans (NPLs), the central bank
said Tuesday.

The NPL ratio dropped by 0.37 percentage points from the
previous month's 18.43 percent, a central bank statement said.

The volume of NPLs fell 5.4 percent to 289 billion pesos
(US$5.6 billion), while the total loan portfolios of the
country's commercial banks also shrank 3.4 percent to 1.6
trillion pesos over the previous month.

The central bank said the lower NPL ratio was mainly due to
the completion of the sale of 16.3 billion pesos in problem loans
by an unnamed bank to an asset management company. -- AFP

;Agencies;
ANPAf..r..
MoneyMatter-Asia-IT-market
Asia IT market to reach $39b
JP/16/Money

Asia IT market to reach $39b

SINGAPORE: The information technology (IT) services market in
the Asia-Pacific region should expand at a compound annual growth
rate of 21 percent between 2001 and 2006 to reach US$38.8
billion, an industry monitor said Tuesday.

The growth is expected to be driven by services firms
targeting the banking, communications and media, government and
manufacturing sectors, International Data Corp. (IDC) said in a
statement.

South Korea should surpass Australia as the biggest IT
services market in the region by 2005, with China also seen
growing strongly, said the statement which summarized the results
of a study of 12 Asia-Pacific markets outside Japan.

From 2001 to 2006, IDC projects the market in China to grow 41
percent, 28 percent in South Korea and 27 percent in Indonesia.

"This overshadows the growth rates expected in mature markets
like Australia, New Zealand, Australia and Hong Kong," the
statement said.

"Korea looks set to overtake Australia as the largest IT
services market by 2005," it said.

By 2006, 65 percent of the money spent on IT services would be
in Australia, South Korea and China, IDC said. -- AFP

;Agencies;
ANPAf..r..
MoneyMatter-Japan-APEC
Japan to join APEC visa-free system
JP/16/Money

Japan to join APEC visa-free system

TOKYO: Japan aims to join the business travel card system that
allows visa-free travel for three years among participating
member nations of the Asia Pacific Economic Cooperation forum
(APEC), "as soon as possible," an official said Tuesday.

"We are studying this with an eye to participate in the system
as soon as possible, even with the year," said foreign ministry
official Makoto Hayashi.

The system enables business travelers to apply once for a
single card which they can use for visa-free stays of up to three
months in participating countries.

So far Australia, Chile, Hong Kong, Malaysia, New Zealand, the
Philippines, South Korea and Thailand are participating, Hayashi
said, with fees ranging from 2,000 to 9,000 yen (US$16.50 to $75)
for a card.

Reports said Brunei, China, Indonesia, Peru, and Taiwan had
also announced they would join the system.

"This should save money and hassle for business people going
to foreign countries and help promote (commercial) vitality,"
Hayashi said. -- AFP

;Agencies;
ANPAf..r..
MoneyMatter-U.S.-double-dip
'U.S. to avoid 'double-dip' recession'
JP/16/Money

'U.S. to avoid 'double-dip' recession'

WASHINGTON: Most analysts expect the United States to avoid a
"double-dip" recession, a survey by the National Association of
Business Economists showed Monday.

"Despite a recent string of weak economic data, declining
stock prices and ongoing revelations of corporate scandal, a
double-dip recession is unlikely this year," the association
survey said.

Sixty-nine percent of the economists questioned believed the
odds of such a recession -- where the economy slumps again after
a recovery -- were less than 50-50, it said.

Deflation was unlikely to emerge soon, the economists said.
Eight-five percent of those questioned believed deflation would
not appear in the next two years.

Monetary policy was on target, according to 77 percent of the
economists polled.

The twice-yearly association survey questioned a panel of 193
of its members from July 26 to August 7. -- AFP