Global Finance

A monthly publication providing news and analysis of global market and economy. Focuses on corporate finance, capital markets, and more.

Articles from Vol. 25, No. 8, September

A Holistic View of Working Capital Management
Corporate customers' transactions related to global sourcing and sales are becoming increasingly complex, requiring solutions that go beyond the standard product offering that banks and customers were used to in the past. Such solutions require a new,...
ASEAN Moves Closer to Political Cohesion
AsiaThe Association of Southeast Asian Nations took another step toward political cohesion in late July, agreeing jointly vjrth China to nonbinding guidelines for settling competing territorial claims in the South China Sea.Leaders from ASEAN and China...
Banking in an Online World
Best Practices, Key Challenges and the Way ForwardKey Takeaways:* Banks view internet banking as an important channel for growth and retaining customers.* There is a gradual shift in the consumer internet banking model from "Customer Service" to "Customer...
Beating Bureaucracy and Taxes
With Brazil now firmly on the map as global economic power, treasuries want to include it in their global cash solutions. But many regulatory, legal and taxation issues still obstruct that goal. By Anita HawserBrazil's vast natural resources, large labor...
Beers: The Man Who Pulled the Trigger on the US Triple-A
United StatesDavid Beers, managing director and head of sovereign credit ratings for Standard & Poor's in London, is the mustachioed face behind the rating agency's downgrade of US treasury bonds to AA+ from AAA.Beers will go down in the history...
Business Processing Outsourcing (BPO) - Enhancing the Supply Chain
Over the last ten years open account trading has become the 'standard approach' for exporters In order to maintain their competitive position with their importers. With it making up more than 85% of today's cross-border trade transaction volume, traditional...
Capital Raisings Using DRs Nearly Triples
Capital raisings using depositary receipts (DRs) nearly tripled in the first half of 2011, compared to the same period a year earlier, while DR trading volume and the number of programs available to investors both set records, according to BNY Mellon.More...
Central Bank Chooses Slower Growth over Higher Inflation
IndiaWith inflation hitting 9.4%, the Reserve Bank oflndia (RBI) has become the most proactive central bank in Asia for monetary tightening. It raised its repurchase rate 1 1 times since January 2010, the last was a 50 basis points rise on July 26 -...
Chinese Investment Boosts Sierra Leone Iron Ore Sector
AfricaA $1.5 billion investment by China's Shandong Iron & Steel Group (SISG), one of the world's largest steelmakers, for a 25% stake in Britain's African Minerals, will benefit Sierra Leone's fast-expanding iron ore sector- where the company's...
Citi® Working Capital Analytics: A Powerful Tool to Support Payment Strategies That Deliver Efficiency and Targeted ROI
For finance and procurement professionals, knowledge is power. The more information and insight you can gain into your organization's financial supply chain, the better able you are to identify potential cost savings and efficiencies that could be achieved...
Energy, Power Light Up Global M&A Deals
The energy and power sector was the most active for worldwide mergers and acquisitions in the first half of 2011 as the value of global deals of all types rose 41% from a year earlier to Sl. 5 trillion, according to Thomson Reuters. Energy and power...
European Banking with a Unique Global Vision
Global Finance talks with Gunnar Berger, Nordea's Head of Treasury Services, about Nordea's evolving role in today's financial world.Global Finance: As the only fullservice bank in the Nordic and Baltic Sea region, including Poland and Russia, Nordea...
Euro Rebounds as Stability Fund Gets Bigger Role
The EU summit in July not only reached agreement on a second bailout program for Greece, but just as significantly, it gave the European Financial Stability Facility (EFSF) the ability to respond to contagion by buying debt in the secondary market."We...
Going Mainstream
Internet banking is no longer just an alternative channel. In the first of a two-part series, Global Finance identifies the best online corporate and consumer banks by country and regionally by product or service category.To say that banks have their...
Investors Optimistic on Sri Lankan Growth
Sri LankaIt's been a good run for Sri Lanka of late. In mid-July, all three major ratings agencies upped their views on the country, pointing to the ongoing recovery and broad economic stabilization. Days later, Sri Lanka launched a $1 billion, 10-year...
Iran Signs Gas Pipeline Plan with Iraq and Syria
Middle EastIran, which has the secondlargest proven gas reserves in the world, is inching forward with its proposal for an "Islamic pipeline" to Europe, han, Iraq and Syria signed a memorandum of understanding (MoU) for a $10 billion project involving...
Kulibayev Front-Runner in Kazakhstan Succession
KazakhstanWith Nazarbayev's blessingTalk of who might replace Kazakhstan's president Nursultan Nazarbayev- who has ruled the oil-rich Central Asian country since 1989- has long been taboo in the country's political circles. Succession uncertainty has...
Lagarde Prepares to Put Her Stamp on the IMF
GlobalChristine Lagarde will be under the microscope at the International Monetary Fund's annual meeting in Washington on September 23-25. The silver-haired woman the French like to call "the American" will push ahead with reforms giving emerging markets...
LSE's Holet between A Rock and A Hard Place
United KingdomXavier Rolet, the London yVStock Exchange's CEO, must have breathed a sigh of relief when the European Commission announced in early August that it would investigate the proposed merger between Deutsche Börse and NYSE Euronext.Just a few...
Malaysian Dominance Put to the Test
Long the leading force in Asia-Pacific's Islamic finance industry, Malaysia is facing growing regional competition.Anyone that does business or invests in Asia-Pacific will tell you that, as tempting as it may be, you should not look at the region as...
Mobilizing Excess Cash
At most cash and treasury management conferences these days, treasurers are concerned with one of two things: ensuring they play a more strategic role within companies above and beyond managing a piggy bank of money; and making their cash and liquidity...
On the Right Path
Enterprise risk management is now a central theme for treasurers at large corporales. Both regulatory changes and business benefits are driving the increased focus. By Denise BedellThe financial trauma of the past few years has led to many big changes...
Overheating Eases, but Demand Imbalances Remain
ChinaChinese overheating is finally slowing after numerous interest rate increases and other policies were enacted to cool the economy and contain inflation. GDP growth fell to 9.6% in the first half of 2011, down from 10.3% in 2010. Despite signs of...
Preparing for Basel III
Less than a year after the Basel Committee on Banking Supervision announced stricter banking rules under the Basel Ill Accord, corporations are adding up the costs that will be passed on to them-and looking at alternatives to increasingly expensive banking...
Rising Economic Risk Could Dampen US Corporate Bond Enthusiasm
Corporate Finance FocusWeak economic signals gave a boost to bond prices in the second quarter, but rising economic risk in the US makes it unlikely that the fast pace of debt issuance will be sustained, economists say.US investment-grade corporate debt...
Shinawatra Must Bridge the Class Gap in Thailand
ThailandIn early May, Yingluck Shinawatra was a prominent business executive in Thailand. Two months later, she became the country's first female prime minister. Her astonishingly rapid rise up the political charts came on the back of her exiled big...
Slow Growth and Ratings
Once again the month of August has brought turbulence to the financial markets. It has shown once more the correlation between different stock markets, reflecting the growing interdependence of economies - an interdependence built on huge trade flows...
Steps to SCF Success
Getting from Initial Excitement to Long Term ValueOver the last 12 months, Supply Chain Finance (SCF) has continued to evolve as a central product of corporate supply chain management, in respect of working capital collaboration between Buyers and their...
Tax Break Plan to Provide Relief for Manufacturers
BrazilResponding to concerns from local industries battered by a strengthening currency that is dampening industrial output and boosting imports, the Brazilian government unveiled a $25 billion plan to provide relief to domestic producers.The plan, known...
The Winding Road
Onshoring renminbi funds issued in the offshore markets is becoming easier, but it is still a complex process. Getting regulators involved early can help. By Denise BedellChina is ever more important in the global economy, and companies worldwide are...
Threatening the Economic Renaissance
Political uncertainty and continued dependence on oil exports are casting a pall over growth prospects in Russia. Global corporales considering Russian investment should evaluate the risks carefully.On the surface, Russia looks to be on the rebound....
Trading Shifts to Exchanges
New rules to reduce systemic derivatives market risk and increase transparency are still evolving, while exchanges are already taking on a bigger share of the OTC market.As regulators on both sides of the Atlantic struggle to come to grips with new derivatives...
Transformation and Innovation in Treasury Management
In the wake of the global credit crisis and the subsequent drying of the liquidity pool, Michael Spiegel, Head of Trade Finance and Cash Management for Corporates at Deutsche Bank, discusses the expanding role of corporate treasury departments, as well...
Uphill Battle
Spanish banks are struggling to regain momentum in the face of a sluggish economy and the need for further restructuring.Three years after Spain's decadelong real estate bubble burst, the country's banks are still trying to find their footing. While...
US Treasury Department Going Paperless
United StatesThere is nothing quite like the threat of a debt default and a whopping budget deficit to focus policymakers' minds on cutting costs. In an effort to reduce the budget deficit, the US Treasury Department is swallowing some of its own medicine...
Vietnamese PM Starts Second Term of Office
VietnamNguyen Tan Dung, the Vietnamese prime minister who guided the country through its entry into the World Trade Organization in 2007 and successfully navigated the financial crisis of 2008, is set for a second five-year term in office. Vietnam's...
Waiting on Euroland
The benefits of joining the eurozone are not as clear as they once were for countries in Central and Eastern Europe.The countries of Central Europe have long shaken off their former status as Soviet satellites. Their economies have been transformed and,...
Who's Who
Who's Who In Treasury And Cash Management By Paula GreenScott BartonChief Executive OfficerGlobal Transaction ServicesRBSScott Barton began working with RBS 16 years ago after his tenure with Andersen Consulting. Initially focused on corporate coverage...