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. 6, June

Africa: Investors Fall for Africa's Charms
Foreign direct investment into Africa will reach $150 billion a year by 2015, according to a May report by global accounting firm Ernst & Young. The report says the continent, which received $84 billion in FDI last year, is becoming a magnet for...
An Oasis of Calm
Kuwait has been largely unaffected by the winds of change sweeping through the Middle East and North Africa.In the 50 years since Britain ended its protectorate and Kuwait became an independent emirate, this Middle Eastern state wedged between Saudi...
Asia's Banks on the Fast Track
Asia's big banks are elbowing out their Western rivals as demand for financial services skyrockets in the region - and beyond.One of the great ironies lost in the panic of die global financial crisis of 2008 was that the banks that emerged unscathed...
A Treasurer's Best Friend
With cash visibility and control more important than ever, and with risk management becoming an increasing part of the corporate treasurer's job, technology is playing an ever more pivotal role. As its sophistication grows, treasury technology can help...
Blowing Up
Emerging markets have been credited with saving the world's economy from catastrophe with their resilient exports. Now they're exporting a different product that threatens to stop the global recovery in its tracks: Inflation.Over the past two years,...
Brazil: Spending Boost Planned to Lift Oil Output
Brazil's Petrobras state-controlled oil company plans to more than double its investments to develop the country's pre-salt offshore oil fields through 2015. The company will hike its spending to $54 billion from a previous $22.1 billion strategic plan...
China Planning Big Overseas Investments to Chip Away at Mountain of Reserves
China is planning major investments in foreign companies, including those in the US, in order to help turn its mountain of paper dollars and other currencies into hard assets and to obtain the technology and resources it needs to keep its factories humming....
China: Trade Surplus Grows Sharply
China's trade surplus jumped to $11.4 billion in April, after the country posted its first quarterly deficit in seven years in the first three months of the year. Year-on-year import growth slowed to 21.8% in April, while export growth accelerated to...
Commodities and Inflation
Commodity prices seem to increasingly influence the world economy - both on the producer and consumer side - and the financial markets. As a result, price volatility and speculation have compelled regulators to impose new trading margin rules in the...
Early Days
Egypt is still in the very early stages of transition, but if it can establish political stability, its economy should grow strongly over the coming years.If confidence really is the key to growth and prosperity, Egypt appears to be well placed. A major...
Europe Aims to Simplify Securities Clearing Systems
EuropeHow many central securities depositories (CSDs) does Europe need? The European Commission and the European Central Bank beKeye it is far fewer than the 40 CSDs currently scattered across the continent. Concerned that the fragmented nature of securities...
Exposing Foreign Exchange Risk
Companies with international operations are looking beyond spreadsheets to get a timelier view of their global FX exposures. By Denise BedellWithin a few hours of Osama bin Laden's being killed, global markets had responded. The price of oil was down...
Fast Favorites
Technology is enabling faster and more-flexible trading in foreign exchange-and helping drive the rapid rise in daily trading volume.Erik Lebtis, president of Chicagobased Dynamic FX Consulting, has experienced firsthand how electronic trading has transformed...
Finance Industry Assess Ramifications of Galleon Ruling
United StatesIt may have taken only 12 days of deliberations for the jury in the Galleon trial to convict Pvaj Rajaratnam, the co-founder of Galleon Group, of 14 counts of securities fraud, but the repercussions ofWall Streets most high-profile insider...
Global Tech Mergers Show 'Smart' Increase
An expanding global economy with a healthy appetite for smart technology and mobile devices is spawning a wave of mergers and acquisitions in the technology sector. Microsoft's $8.5 billion acquisition of Skype, the Internet phone-service provider, is...
High-Yield Market Stays Calm amid Storm
High-yield bonds remained remarkably stable during the sell-off in global equity markets and the increase in global market volatility last month, but future gains in the prices of these belowinvestment-grade securities could be harder to come by, analysts...
India: India Shortlists European Fighters for $11 Billion Contract
After a fiercely contested bidding process, which involved President Obama's pitching in on behalf of US aerospace firms, the Indian government has announced the finalists in the competition to supply it with 126 next-generation fighter jets. The Indian...
Islamic Financial Institutions Awards 2011
The Islamic finance industry is benefiting from a lack of confidence in the conventional banking sector and is expanding rapidly in emerging markets.The global financial crisis has forced bankers and regulators to reexamine the connection between real...
Middle East: Saudi Arabia Reopens IPO Market with Telecom Issue
The first initial public offering of the year in Saudi Arabia, home of the Arab world's largest stock market, attracted more than 638,000 subscribers, more than 92% of them male, according to Albilad Investment, the financial adviser and lead manager...
Multilatinas Extend Their Reach into Developed Markets
Latin AmericaWhile Latin America led the world in FDI growth last year, the region's companies also forged ahead with an aggressive international expansion drive. According to a May report by the United Nations Economic Commission on Latin America and...
Russia: Populist Moves Suggest Putin Is Setting Sights on Presidency
Following gasoline shortages ili late April in a number of regions, prime minister Vladimir Putin announced a sharp hike in export taxes on motor fuel as a precursor to a ban on exports. The measure was focused on ensuring adequate domestic supply, as...
Signs of Change Emerge after 'Watershed' Election
SingaporeSingapore's founding father Lee Kuan Yew resigned his cabinet post on May 14 after his party, the People's Action Party (PAP), garnered just over 60% of the popular vote, its weakest showing since the PAP first participated in elections in 1959....
Sovereign Wealth Funds Boost Glencore IPO
Switzerland-based Glencore International, a commodities trading and mining company, could have timed its initial public offering better. Amid the steepest decline in commodity markets in years, Glencore was looking last month to bring London's largest-ever...
Thailand Braced for More Political Turmoil
ThailandThe people of Thailand will soon go to the polls following a royal decree last month dissolving the lower house of parliament and calling for elections on July 3. The decree has opened a new chapter in the long-running political battle between...
The Next Frontier
Take-up of mobile banking services is accelerating as services-and the devices they run on-become ever more sophisticated. By Anita HawserAt an annual gathering of the world's largest corporate and investment banks held in Amsterdam late last year, the...
The Working Capital Transformation
Companies are looking to technology to help them delve deeper into their working capital processes. By Denise Bedell.The debate that has long raged over whether enterprise resource planning (ERP) systems can compare on a function-by-function basis with...
Voice of Moderation Leaves FDIC for Less Scary Realms
United StatesSheila Bair, the populist bank regulator who warned in advance that the subprime mortgage crisis was coming, is stepping down on July 8 as chairman of the Federal Deposit Insurance Corporation. Her busy five-year term at the helm of the...