By DAN STRUMPF and STEPHEN MANNING
NEW YORK – Toyota said Thursday it is recalling 2.3 million vehicles in the U.S. to fix accelerator pedals that can become stuck, the latest in a string of quality problems that have bedeviled the Japanese automaker.
The recall affects the 2009-2010 RAV4, the 2009-2010 Corolla, the 2009-2010 Matrix, the 2005-2010 Avalon, the 2007-2010 Camry, the 2010 Highlander, the 2007-2010 Tundra and the 2008-2010 Sequoia. more...
Showing posts with label news. Show all posts
Showing posts with label news. Show all posts
Jan 22, 2010
Feb 26, 2009
In Sihanouk's words: the Cambodian monarch's private archives
PARIS, Feb 25, 2009 (AFP)
After abdicating in 2004, the self-proclaimed "king-father" of the country, now aged 87, handed France his personal archives last January for safe-keeping at the National Archive.
"Rarely does a foreign head of state give archives to another country," said Olivier de Bernon, head researcher at the Far-East French Institute (EFEO) and the first to browse the "historically significant" papers.
"The archives were never in Cambodia, but came directly from Sihanouk's home in Beijing," said de Bernon.
It took him two years, with the help of two researchers and an archivist, to sift through the king's 10,000 photographs and one million documents. An inventory of the "Sihanouk Fund" is to be published this year.
....
A one-time sympathiser of the extremist Cambodian communist movement nicknamed "the red prince" during the Vietnam War, it was the king himself who came up with the name "Khmer Rouge" in 1960.
But de Bernon said Sihanouk was never a supporter of the extremists, with five of his children and 14 grandchildren killed under the murderous Khmer Rouge regime, which left a total of two million Cambodians dead.
...
"Sihanouk has a literary style that shines through in his letters, speeches and thousands of drafts," said de Bernon.
A workaholic with a wide variety of interests, Sihanouk wrote poems, songs and even recipes, and played the saxophone and piano. He could sing in a dozen languages, sometimes for four or five hours at a time, and shot dozens of films glorifying Cambodia.
Source: Click here
After abdicating in 2004, the self-proclaimed "king-father" of the country, now aged 87, handed France his personal archives last January for safe-keeping at the National Archive.
"Rarely does a foreign head of state give archives to another country," said Olivier de Bernon, head researcher at the Far-East French Institute (EFEO) and the first to browse the "historically significant" papers.
"The archives were never in Cambodia, but came directly from Sihanouk's home in Beijing," said de Bernon.
It took him two years, with the help of two researchers and an archivist, to sift through the king's 10,000 photographs and one million documents. An inventory of the "Sihanouk Fund" is to be published this year.
....
A one-time sympathiser of the extremist Cambodian communist movement nicknamed "the red prince" during the Vietnam War, it was the king himself who came up with the name "Khmer Rouge" in 1960.
But de Bernon said Sihanouk was never a supporter of the extremists, with five of his children and 14 grandchildren killed under the murderous Khmer Rouge regime, which left a total of two million Cambodians dead.
...
"Sihanouk has a literary style that shines through in his letters, speeches and thousands of drafts," said de Bernon.
A workaholic with a wide variety of interests, Sihanouk wrote poems, songs and even recipes, and played the saxophone and piano. He could sing in a dozen languages, sometimes for four or five hours at a time, and shot dozens of films glorifying Cambodia.
Source: Click here
Feb 25, 2009
Bank Bank Banksss...
Having read a few articles of today on google and VOA, bank bank bank...so how can Cambodian tackle the current crisis? and what are the reactions from those banks and also from the gov't?
Help Promote Growth, Keat Chhon Urges Banks
By Ros Sothea, VOA Khmer Original report from Phnom Penh24 February 2009
Finance Minister Keat Chhon on Thursday urged commercial banks to expand their loans as a counter to the global economic slowdown, which has already lowered projected growth for the country.
“Banks have to play a role in helping the economy,” Keat Chhon told VOA Khmer. “Now the government has arranged for them to take a role by lowering the reserve requirements.”
In September 2008, the National Bank increased reserve requirements for commercial banks, from 8 percent to 16 percent, to help secure deposits. But Keat Chhon said that requirement will now be lowered to 12 percent.
Adjustments to the banking sector come amid a credit crisis in America that has led to a recession and global financial uncertainty.
In Cambodia, the crisis has hurt garment manufacturing, construction and tourism—three pillars of the economy—and the World Bank recently lowered its growth forecast for the country, to 4.9 percent, compared to a rate of 7 percent in 2008.
In Siphan, head of the credit division for Acleda Bank, said the decrease of reserve requirements will allow his bank to have more cash ready for credit and loans, from about $470 million in 2008 to $700 million in 2009.
“We have enough cash to lend,” he said. “We can provide any kind of credit, because we will increase our loans about $300 million.”
Other major banks like ANZ Royal, Cambodian Public and Japan Maruhan are committed to expanding their loans as well.
However, In Siphan said even with banks expanding their loans, only a limited number of investors is currently looking for credit.
Sam Ganty, a financial expert at the Royal University of Law and Economics, said loan expansion by commercial banks would provide more cash flow for investors, which could help Cambodia escape the most serious impact of the financial crisis.
He suggests lowering the reserve rate even more, though, as local banks are not able to find capital from foreign banks.
“The reserve requirement should be as low as 8 percent, so the banks will be able to increase money lending,” he said.
Tal Nay Im, director of the National Bank, said the central bank has no plan to lower reserve requirements further. Commercial banks will have to find resources through foreign lenders to continue their operations, she said.
My reaction: 8% of reserve requirement was what previously levied by NBC, and then v increase, and later on reduce to now 12%. What should the appropriate level of reserve requirement be? Mkt descipline vs gov't intervention is sth hard to justify, yet over-reaction on sth is not good, i believe. I hope i'd get more expertise on discussing such matter.
Advanced Bank of Asia, Cambodia Goes Live on Oracle FLEXCUBE Universal
Banking
Source: Equity BullsPosted On: 2/23/2009 11:49:17 PM
Mumbai, India - February 24, 2009: Oracle Financial Services Software Ltd. today announced that Advanced Bank of Asia (ABA), Cambodia has gone live on Oracle® FLEXCUBE Universal Banking.Oracle FLEXCUBE is providing the bank with a next-generation transaction-processing platform, enabling faster responses to customer needs and improving operational and cost efficiencies.Completed in six months, the project at ABA is the first Oracle FLEXCUBE implementation in Cambodia.ABA has implemented Oracle FLEXCUBE across its corporate and retail banking operations.ABA selected Oracle FLEXCUBE Universal Banking for its ability to seamlessly adapt to local requirements.Oracle FLEXCUBE is providing ABA with a flexible, scalable banking platform, enabling it to offer new products and services, served across multiple channels including ATM and Internet, in the shortest possible timeframe."The Cambodian banking industry is going through a transformation, and we are happy to note that our decision to implement Oracle FLEXCUBE and its successful, on-time implementation has given us a real competitive advantage. With the successful implementation of Oracle FLEXCUBE, we will now be able to bring new products to the market and rapidly scale to address the growing demand for banking services in Cambodia," said Elona Romanova, an official for Advanced Bank of Asia.The stock was trading at Rs.685, up by Rs.12.10 or 1.80%. The stock hit an intraday high of Rs.694.75 and low of Rs.647.The total traded quantity was 45667 compared to 2 week average of 65810.
Not to advertise ABA cuz professionally i should not and i won't do also. hehe..here is just the news, this is just to share the news that Bank in Cambodian is starting to develop itself to be ready for the fragile market. Those strong would survive in the market!!!
Help Promote Growth, Keat Chhon Urges Banks
By Ros Sothea, VOA Khmer Original report from Phnom Penh24 February 2009
Finance Minister Keat Chhon on Thursday urged commercial banks to expand their loans as a counter to the global economic slowdown, which has already lowered projected growth for the country.
“Banks have to play a role in helping the economy,” Keat Chhon told VOA Khmer. “Now the government has arranged for them to take a role by lowering the reserve requirements.”
In September 2008, the National Bank increased reserve requirements for commercial banks, from 8 percent to 16 percent, to help secure deposits. But Keat Chhon said that requirement will now be lowered to 12 percent.
Adjustments to the banking sector come amid a credit crisis in America that has led to a recession and global financial uncertainty.
In Cambodia, the crisis has hurt garment manufacturing, construction and tourism—three pillars of the economy—and the World Bank recently lowered its growth forecast for the country, to 4.9 percent, compared to a rate of 7 percent in 2008.
In Siphan, head of the credit division for Acleda Bank, said the decrease of reserve requirements will allow his bank to have more cash ready for credit and loans, from about $470 million in 2008 to $700 million in 2009.
“We have enough cash to lend,” he said. “We can provide any kind of credit, because we will increase our loans about $300 million.”
Other major banks like ANZ Royal, Cambodian Public and Japan Maruhan are committed to expanding their loans as well.
However, In Siphan said even with banks expanding their loans, only a limited number of investors is currently looking for credit.
Sam Ganty, a financial expert at the Royal University of Law and Economics, said loan expansion by commercial banks would provide more cash flow for investors, which could help Cambodia escape the most serious impact of the financial crisis.
He suggests lowering the reserve rate even more, though, as local banks are not able to find capital from foreign banks.
“The reserve requirement should be as low as 8 percent, so the banks will be able to increase money lending,” he said.
Tal Nay Im, director of the National Bank, said the central bank has no plan to lower reserve requirements further. Commercial banks will have to find resources through foreign lenders to continue their operations, she said.
My reaction: 8% of reserve requirement was what previously levied by NBC, and then v increase, and later on reduce to now 12%. What should the appropriate level of reserve requirement be? Mkt descipline vs gov't intervention is sth hard to justify, yet over-reaction on sth is not good, i believe. I hope i'd get more expertise on discussing such matter.
Advanced Bank of Asia, Cambodia Goes Live on Oracle FLEXCUBE Universal
Banking
Source: Equity BullsPosted On: 2/23/2009 11:49:17 PM
Mumbai, India - February 24, 2009: Oracle Financial Services Software Ltd. today announced that Advanced Bank of Asia (ABA), Cambodia has gone live on Oracle® FLEXCUBE Universal Banking.Oracle FLEXCUBE is providing the bank with a next-generation transaction-processing platform, enabling faster responses to customer needs and improving operational and cost efficiencies.Completed in six months, the project at ABA is the first Oracle FLEXCUBE implementation in Cambodia.ABA has implemented Oracle FLEXCUBE across its corporate and retail banking operations.ABA selected Oracle FLEXCUBE Universal Banking for its ability to seamlessly adapt to local requirements.Oracle FLEXCUBE is providing ABA with a flexible, scalable banking platform, enabling it to offer new products and services, served across multiple channels including ATM and Internet, in the shortest possible timeframe."The Cambodian banking industry is going through a transformation, and we are happy to note that our decision to implement Oracle FLEXCUBE and its successful, on-time implementation has given us a real competitive advantage. With the successful implementation of Oracle FLEXCUBE, we will now be able to bring new products to the market and rapidly scale to address the growing demand for banking services in Cambodia," said Elona Romanova, an official for Advanced Bank of Asia.The stock was trading at Rs.685, up by Rs.12.10 or 1.80%. The stock hit an intraday high of Rs.694.75 and low of Rs.647.The total traded quantity was 45667 compared to 2 week average of 65810.
Not to advertise ABA cuz professionally i should not and i won't do also. hehe..here is just the news, this is just to share the news that Bank in Cambodian is starting to develop itself to be ready for the fragile market. Those strong would survive in the market!!!
Feb 10, 2009
Cambodia exposed to crisis in short term: World Bank
Written by George McLeod
Monday, 09 February 2009
Sources: The Phnom Penh Post
"We actually think [the Cambodian economy] is quite exposed.... This year, access to capital could be much lower. Therefore, Cambodia is going to be exposed to the crisis," said Stephane Guimbert, the World Bank's senior country economist, who was instrumental in writing the report.
State of the economy
A World Bank report paints a picture of short-term weakness and medium-term opportunity.
Monday, 09 February 2009
Sources: The Phnom Penh Post
"We actually think [the Cambodian economy] is quite exposed.... This year, access to capital could be much lower. Therefore, Cambodia is going to be exposed to the crisis," said Stephane Guimbert, the World Bank's senior country economist, who was instrumental in writing the report.
State of the economy
A World Bank report paints a picture of short-term weakness and medium-term opportunity.
Narrow economic focus
- Garments, tourism, construction and agriculture have driven Cambodia's growth, and all except agriculture are vulnerable to the slowdown.
Over-dollarisation
Industrial growth
- Industry growth has averaged 16 percent per year, with garments leading the way at 28 percent growth per year. This sector is especially vulnerable to the slowdown.
Low agriculture yields
- Yields have improved, but still lag behind regional competitors. Rice yields per hectare stand at 2.6 tonnes, versus 3.5 to five tonnes regionally.
FDI growth
- Foreign direct investment skyrocketed tenfold between 2003 and 2007, but investment was concentrated in a narrow range of sectors and remains vulnerable to the slowdown.
I, myself, haven't google and read that 99-page report yet. Yet from this brief stats, it's quite obvious but comprehensive. Will try to locate the report and have a glance on it.
Feb 2, 2009
10 books try to make sense of the financial crisis
BY JAMES PRESSLEY Bloomberg News
February 1, 2009
1. THE ORIGIN OF FINANCIAL CRISES by George Cooper (Vintage, $12.95 paper). Cooper, a seasoned central-bank watcher, shows how muddled thinking at the U.S. Federal Reserve allowed excess credit to build up in the economy, cycle after cycle, inflating asset prices into ever bigger bubbles. His solution: Require the Fed to prick ballooning credit early and often.
2. GREENSPAN'S BUBBLES by William A. Fleckenstein (McGraw-Hill, $21.95). Fleckenstein, the president of Fleckenstein Capital Inc. in Seattle, presents a damning account of how former Fed Chairman Alan Greenspan inflated two asset bubbles that mutated into some $11 trillion in home-mortgage debt.
3. MR. MARKET MISCALCULATES by James Grant (Axios, $22). The author's foresight is on display in this anthology of articles from his redoubtable newsletter, Grant's Interest Rate Observer. In 1999, when the bestseller "Dow 36,000" appeared, Grant imagined a different asset class reaching "Real Estate 36,000." By 2001, he was reporting how Americans were mining their home equity and even "day trading" houses.
4. THE RETURN OF DEPRESSION ECONOMICS AND THE CRISIS OF 2008, by Paul Krugman (W.W. Norton, $24.95). Nobel Prize-winner Krugman dashed out this new edition of his book on the crises that ravaged Latin America and Asia in the 1980s and '90s. The chapter on Japan's decade-long slump offers a spooky preview of what's now unfolding in the United States.
5. THE TWO TRILLION DOLLAR MELTDOWN by Charles R. Morris (PublicAffairs, $13.95 paper). Last year Morris startled investors when he predicted that the bursting credit bubble would result in at least $1 trillion in losses to the banking and other investment sectors. With write-downs and credit losses now totaling $991 billion, the paperback edition of the book bears a new title: "The Two Trillion Dollar Meltdown."
6. CHAIN OF BLAME by Paul Muolo and Matthew Padilla (Wiley, $27.95). This journalistic thriller chronicles how subprime-mortgage lending rose from the ruins of the savings-and-loan crisis, slithered throughout the financial system and ended with more than 1 million Americans losing their homes. Muolo and Padilla introduce the bankers, non-bank lenders, loan brokers and underwriters who drove the reckless practices that engulfed institutions including Bear Stearns Cos., Lehman Brothers Holdings Inc. and Merrill Lynch & Co.
7. BAD MONEY by Kevin Phillips (Penguin, $16). The former Republican strategist lays out a harsh case against Wall Street and Washington, depicting the United States as an overstretched empire slumping toward the fate of Hapsburg Spain, the maritime Dutch Republic and imperial Britain. The book presents primers on everything from securitization to government manipulation of inflation data. What sets it apart is Phillips' emphasis on the symbiotic relationship between politicians and big money.
8. THE SUBPRIME SOLUTION by Robert J. Shiller (Princeton University Press, $16.95). When this Yale economist looks at the subprime-mortgage meltdown, he sees "a historic turning point" with parallels to the Treaty of Versailles, the Great Depression and the Marshall Plan. Shiller says the crisis is tearing at America's social fabric and will probably slow economic growth for years. His solution: additional financial innovations, to make the housing market less bubble-prone and more open to people with low incomes.
9. THE GREAT INFLATION AND ITS AFTERMATH by Robert J. Samuelson (Random House, $26). At a time when the word "deflation" is getting a workout, Samuelson offers a history of how good political intentions stoked an inflationary hell in the 1970s - and how only bold, painful action smothered the flames. The Great Inflation refers to how U.S. inflation rose from negligible levels in the mid-'60s to double digits in the early '80s. Though the episode scarred a generation, our memory of it has faded, says the columnist for Newsweek and The Washington Post.
10. THE NEW PARADIGM FOR FINANCIAL MARKETS by George Soros (PublicAffairs, $22.95). For 20 years, Soros has challenged the theory that markets, however choppy, always move toward equilibrium. Now the worst financial crisis since the Great Depression has handed him evidence that the hypothesis is dangerous as well as flawed. A jumble of autobiography, philosophy and market history, the book offers solutions that range from abandoning some financial instruments to curbing lending. If his pet theories annoy you - "reflexivity," anyone? - skip to the section where Soros provides a diary of his own decisions as a hedge-fund manager.
Please share me to read if u guys happen to own any of these books.
'd love to understand more!!!! Hope i do have time and spirit to do it.
February 1, 2009
1. THE ORIGIN OF FINANCIAL CRISES by George Cooper (Vintage, $12.95 paper). Cooper, a seasoned central-bank watcher, shows how muddled thinking at the U.S. Federal Reserve allowed excess credit to build up in the economy, cycle after cycle, inflating asset prices into ever bigger bubbles. His solution: Require the Fed to prick ballooning credit early and often.
2. GREENSPAN'S BUBBLES by William A. Fleckenstein (McGraw-Hill, $21.95). Fleckenstein, the president of Fleckenstein Capital Inc. in Seattle, presents a damning account of how former Fed Chairman Alan Greenspan inflated two asset bubbles that mutated into some $11 trillion in home-mortgage debt.
3. MR. MARKET MISCALCULATES by James Grant (Axios, $22). The author's foresight is on display in this anthology of articles from his redoubtable newsletter, Grant's Interest Rate Observer. In 1999, when the bestseller "Dow 36,000" appeared, Grant imagined a different asset class reaching "Real Estate 36,000." By 2001, he was reporting how Americans were mining their home equity and even "day trading" houses.
4. THE RETURN OF DEPRESSION ECONOMICS AND THE CRISIS OF 2008, by Paul Krugman (W.W. Norton, $24.95). Nobel Prize-winner Krugman dashed out this new edition of his book on the crises that ravaged Latin America and Asia in the 1980s and '90s. The chapter on Japan's decade-long slump offers a spooky preview of what's now unfolding in the United States.
5. THE TWO TRILLION DOLLAR MELTDOWN by Charles R. Morris (PublicAffairs, $13.95 paper). Last year Morris startled investors when he predicted that the bursting credit bubble would result in at least $1 trillion in losses to the banking and other investment sectors. With write-downs and credit losses now totaling $991 billion, the paperback edition of the book bears a new title: "The Two Trillion Dollar Meltdown."
6. CHAIN OF BLAME by Paul Muolo and Matthew Padilla (Wiley, $27.95). This journalistic thriller chronicles how subprime-mortgage lending rose from the ruins of the savings-and-loan crisis, slithered throughout the financial system and ended with more than 1 million Americans losing their homes. Muolo and Padilla introduce the bankers, non-bank lenders, loan brokers and underwriters who drove the reckless practices that engulfed institutions including Bear Stearns Cos., Lehman Brothers Holdings Inc. and Merrill Lynch & Co.
7. BAD MONEY by Kevin Phillips (Penguin, $16). The former Republican strategist lays out a harsh case against Wall Street and Washington, depicting the United States as an overstretched empire slumping toward the fate of Hapsburg Spain, the maritime Dutch Republic and imperial Britain. The book presents primers on everything from securitization to government manipulation of inflation data. What sets it apart is Phillips' emphasis on the symbiotic relationship between politicians and big money.
8. THE SUBPRIME SOLUTION by Robert J. Shiller (Princeton University Press, $16.95). When this Yale economist looks at the subprime-mortgage meltdown, he sees "a historic turning point" with parallels to the Treaty of Versailles, the Great Depression and the Marshall Plan. Shiller says the crisis is tearing at America's social fabric and will probably slow economic growth for years. His solution: additional financial innovations, to make the housing market less bubble-prone and more open to people with low incomes.
9. THE GREAT INFLATION AND ITS AFTERMATH by Robert J. Samuelson (Random House, $26). At a time when the word "deflation" is getting a workout, Samuelson offers a history of how good political intentions stoked an inflationary hell in the 1970s - and how only bold, painful action smothered the flames. The Great Inflation refers to how U.S. inflation rose from negligible levels in the mid-'60s to double digits in the early '80s. Though the episode scarred a generation, our memory of it has faded, says the columnist for Newsweek and The Washington Post.
10. THE NEW PARADIGM FOR FINANCIAL MARKETS by George Soros (PublicAffairs, $22.95). For 20 years, Soros has challenged the theory that markets, however choppy, always move toward equilibrium. Now the worst financial crisis since the Great Depression has handed him evidence that the hypothesis is dangerous as well as flawed. A jumble of autobiography, philosophy and market history, the book offers solutions that range from abandoning some financial instruments to curbing lending. If his pet theories annoy you - "reflexivity," anyone? - skip to the section where Soros provides a diary of his own decisions as a hedge-fund manager.
Please share me to read if u guys happen to own any of these books.
'd love to understand more!!!! Hope i do have time and spirit to do it.
Jan 22, 2009
*TIMELINE - Financial crisis since December
Source: Reuters
December 1 - The U.S. economy slipped into recession in December 2007, says the National Bureau of Economic Research, a prestigious private research group.
December 2 - The Bank of Japan unveils 3 trillion yen (24.7 billion pounds) in new measures to ease an acute squeeze in corporate funding.
December 4 - The ECB drops its benchmark rate by 0.75 percentage point to 2.50 percent, the euro zone's biggest cut ever.
-- The Bank of England slashes interest rates by 1 percentage point to two percent, the lowest level since 1951.
December 9 - Canada's central bank cuts its benchmark interest rate by three-quarters of a percentage point to 1.5 percent, the lowest since 1958. The bank also says the country is now entering a recession.
-- Japan's Sony Corp says it will cut 16,000 jobs and curb investment to save $1.1 billion (798.2 billion pounds) a year. The job cuts are the biggest announced by an Asian company so far.
December 11 - Bank of America Corp says it plans to eliminate 30,000 to 35,000 jobs over three years, reflecting its pending purchase of Merrill Lynch & Co and weaker business activity.
December 12 - In Brussels, an EU summit commits to an economic stimulus package worth about 1.5 percent of total EU output or around 200 billion euros (187.2 billion pounds).
December 15 - Japanese business sentiment suffers its sharpest fall since the 1970s oil crises, taking the Bank of Japan's tankan survey to its lowest in nearly seven years.
December 19 - The U.S. government throws a $17.4 billion lifeline to Detroit carmakers crippled by the recession.
December 21 - Ireland agrees to inject 5.5 billion euros into its three main banks, taking Anglo Irish Bank under its control.
December 24 - Japan approves an 88.5 trillion yen budget, its biggest ever, to help finance a 12 trillion yen fiscal stimulus programme. January 6, 2009 - Alcoa says it will slash more than 15,000 jobs as it reduces aluminium production.
January 7 - The U.S. budget deficit will swell to a record $1.186 trillion in fiscal 2009, congressional forecasters say.
January 8 - The BoE cuts interest rates by half a percentage point to a record low of 1.5 percent. Rates in Britain have never fallen below 2 percent, not even during the 1930s.
January 9 - Data shows that some 2.6 million Americans lose their jobs in 2008, the worst toll since 1945.
January 13 - The U.S. Treasury says it has injected $271.7 billion in 257 banks so far, but it will take time for the capital to make credit more available,
January 15 - Nortel Networks, North America's biggest telephone equipment maker, files for bankruptcy.
-- JPMorgan Chase's fourth-quarter profit plunges 76 percent as it writes down bad loans.
January 15 - The European Central Bank cuts interest rate by a half point to 2 percent the lowest level since the common currency was launched 10 years ago.
January 19 - Britain launches a second bank rescue plan, under which the BoE will set up an asset purchase programme to buy private sector assets with an initial fund of 50 billion pounds.
January 20 - Barack Obama takes office as president of the United States. Wall Street greets the new president with its worst inauguration day ever.
-- Stock prices extend losses as the Dow closes down 4 percent, extending its 2009 slump to more than 9 percent, as Obama says that the economy was "badly weakened" by "greed and irresponsibility."
January 21 - Britain says its bank bailouts have dealt a major blow to Britain's public finances as the recapitalisation of ailing Royal Bank of Scotland blows out the deficit to 44.2 billion pounds last month, its highest on record.
(Writing by David Cutler, London Editorial Reference Unit;) Additional writing by Carl Bagh; editing by Stephen Nisbet)
December 1 - The U.S. economy slipped into recession in December 2007, says the National Bureau of Economic Research, a prestigious private research group.
December 2 - The Bank of Japan unveils 3 trillion yen (24.7 billion pounds) in new measures to ease an acute squeeze in corporate funding.
December 4 - The ECB drops its benchmark rate by 0.75 percentage point to 2.50 percent, the euro zone's biggest cut ever.
-- The Bank of England slashes interest rates by 1 percentage point to two percent, the lowest level since 1951.
December 9 - Canada's central bank cuts its benchmark interest rate by three-quarters of a percentage point to 1.5 percent, the lowest since 1958. The bank also says the country is now entering a recession.
-- Japan's Sony Corp says it will cut 16,000 jobs and curb investment to save $1.1 billion (798.2 billion pounds) a year. The job cuts are the biggest announced by an Asian company so far.
December 11 - Bank of America Corp says it plans to eliminate 30,000 to 35,000 jobs over three years, reflecting its pending purchase of Merrill Lynch & Co and weaker business activity.
December 12 - In Brussels, an EU summit commits to an economic stimulus package worth about 1.5 percent of total EU output or around 200 billion euros (187.2 billion pounds).
December 15 - Japanese business sentiment suffers its sharpest fall since the 1970s oil crises, taking the Bank of Japan's tankan survey to its lowest in nearly seven years.
December 19 - The U.S. government throws a $17.4 billion lifeline to Detroit carmakers crippled by the recession.
December 21 - Ireland agrees to inject 5.5 billion euros into its three main banks, taking Anglo Irish Bank under its control.
December 24 - Japan approves an 88.5 trillion yen budget, its biggest ever, to help finance a 12 trillion yen fiscal stimulus programme. January 6, 2009 - Alcoa says it will slash more than 15,000 jobs as it reduces aluminium production.
January 7 - The U.S. budget deficit will swell to a record $1.186 trillion in fiscal 2009, congressional forecasters say.
January 8 - The BoE cuts interest rates by half a percentage point to a record low of 1.5 percent. Rates in Britain have never fallen below 2 percent, not even during the 1930s.
January 9 - Data shows that some 2.6 million Americans lose their jobs in 2008, the worst toll since 1945.
January 13 - The U.S. Treasury says it has injected $271.7 billion in 257 banks so far, but it will take time for the capital to make credit more available,
January 15 - Nortel Networks, North America's biggest telephone equipment maker, files for bankruptcy.
-- JPMorgan Chase's fourth-quarter profit plunges 76 percent as it writes down bad loans.
January 15 - The European Central Bank cuts interest rate by a half point to 2 percent the lowest level since the common currency was launched 10 years ago.
January 19 - Britain launches a second bank rescue plan, under which the BoE will set up an asset purchase programme to buy private sector assets with an initial fund of 50 billion pounds.
January 20 - Barack Obama takes office as president of the United States. Wall Street greets the new president with its worst inauguration day ever.
-- Stock prices extend losses as the Dow closes down 4 percent, extending its 2009 slump to more than 9 percent, as Obama says that the economy was "badly weakened" by "greed and irresponsibility."
January 21 - Britain says its bank bailouts have dealt a major blow to Britain's public finances as the recapitalisation of ailing Royal Bank of Scotland blows out the deficit to 44.2 billion pounds last month, its highest on record.
(Writing by David Cutler, London Editorial Reference Unit;) Additional writing by Carl Bagh; editing by Stephen Nisbet)
Jan 13, 2009
Cam stock exchange delayed indefinitely???
Source: Phnom Penh Post
"Cambodia's much-touted stock exchange has been delayed indefinitely due to the worsening global economic slowdown, officials said. Its launch was scheduled for September, with the Korea Exchange providing funds and technical support.
But as Cambodia's economy slowed to single-digit growth last year, the exchange's future was put in doubt. Cambodia has been affected by the global financial crisis, especially in terms of real estate and garment exports. The Korean partners in the project expressed surprise at the government's postponement, saying they had not been informed of the change."
Extract from ADBI e-newsline 13 Jan 09
PHNOM PENH, Jan. 13 (Xinhua) -- A Cambodian official denied media reports that the opening of stock exchange market has been delayed indefinitely due to the worsening global economic slowdown, English-language newspaper the Cambodia Daily said Tuesday.
"We didn't declare postponement of the stock exchange. I am sure it will open in 2009," Mey Vann, director of the Department of Finance Industry of the Ministry of Finance and Economy, was quoted as saying.
"We are working on it and there is no delay," he said, but decline to discuss the exact date.
On Monday, another English-language daily The Phnom Penh Post quoted Mey Vann as saying that "Cambodia has been affected by the global financial crisis, especially in terms of real estate and garment exports. Therefore, the plan to open our own stock market has been postponed, and no specific schedule is set for it."
The launch of the stock exchange market was originally scheduled for last September, with the South Korean Exchange providing funds and technical support.
As Cambodia's economy, one of the region's most vibrant, slowed to single-digit growth last year, the exchange's future was put in doubt, said The Phnom Penh Post.
Cambodia enjoyed consistent double-digit economic growth rate from 2005 to 2007, which fueled the government's ambition to upgrade its financial and capital market, and the establishment of a stock exchange market was just one of its major plans in this regard.
"Cambodia's much-touted stock exchange has been delayed indefinitely due to the worsening global economic slowdown, officials said. Its launch was scheduled for September, with the Korea Exchange providing funds and technical support.
But as Cambodia's economy slowed to single-digit growth last year, the exchange's future was put in doubt. Cambodia has been affected by the global financial crisis, especially in terms of real estate and garment exports. The Korean partners in the project expressed surprise at the government's postponement, saying they had not been informed of the change."
Extract from ADBI e-newsline 13 Jan 09
PHNOM PENH, Jan. 13 (Xinhua) -- A Cambodian official denied media reports that the opening of stock exchange market has been delayed indefinitely due to the worsening global economic slowdown, English-language newspaper the Cambodia Daily said Tuesday.
"We didn't declare postponement of the stock exchange. I am sure it will open in 2009," Mey Vann, director of the Department of Finance Industry of the Ministry of Finance and Economy, was quoted as saying.
"We are working on it and there is no delay," he said, but decline to discuss the exact date.
On Monday, another English-language daily The Phnom Penh Post quoted Mey Vann as saying that "Cambodia has been affected by the global financial crisis, especially in terms of real estate and garment exports. Therefore, the plan to open our own stock market has been postponed, and no specific schedule is set for it."
The launch of the stock exchange market was originally scheduled for last September, with the South Korean Exchange providing funds and technical support.
As Cambodia's economy, one of the region's most vibrant, slowed to single-digit growth last year, the exchange's future was put in doubt, said The Phnom Penh Post.
Cambodia enjoyed consistent double-digit economic growth rate from 2005 to 2007, which fueled the government's ambition to upgrade its financial and capital market, and the establishment of a stock exchange market was just one of its major plans in this regard.
How do u define economy?
Economies are like people. People make up economies, and economics is about people working, having a good time, saving, or borrowing.When we realize this to be true, then we find economics not just in business pages but in people’s hearts.
Quoted from an interesting article abt the current crisis. Check it out!
Quoted from an interesting article abt the current crisis. Check it out!
Dec 22, 2008
"Undecided"
“First you say you do, and then you don’t. And then you say you will, and then you won’t. You’re undecided now, so what are you gonna do?”
A very interesting quote, isn't it?? Yet, undecided is somehow better than decided but DON'T DO. hmmm...that's the trap i always fall in.
Got this quote from any article, Missing the Target With $700 Billion, by Alan S. Blinder.
Cheers,
A very interesting quote, isn't it?? Yet, undecided is somehow better than decided but DON'T DO. hmmm...that's the trap i always fall in.
Got this quote from any article, Missing the Target With $700 Billion, by Alan S. Blinder.
Cheers,
Dec 18, 2008
The Disney-JCB Card
Lovely cards,,,i haven't found the Pooh family card yet,,,i don't know whether it is available..Click here to see the info abt the card.
Hmmm,,, since i am a fan of Disney, mayb never mind to give a free advertisement for them...lolz....kiddy kiddy,,,,lolzzzz
If m still in Tokyo na,,oh oh,,will get an account at JCB for this card heuy....love it.
Miss JP heuy,,,,tver mech tov nor.....(@v@)
Nov 25, 2008
CAMBODIA: $150 million to Asian financial crisis fund
Source: Phnom Penh Post
"Cambodia has said it will contribute $150 million to a regional fund established to combat the effects of the global economic crisis. The $80 billion fund was announced October 24 during the Asia Europe Meeting in Beijing. Thirteen countries agreed to contribute, with 80 percent of funds coming from China, Japan and Korea.
Prime Minister Hun Sen said that Cambodia could contribute between five and 10 percent of its reserve budget to satisfy its commitment to the regional fund. Final details for the fund have yet to be worked out."
Loy nas nor Cambodia,,,,
"Cambodia has said it will contribute $150 million to a regional fund established to combat the effects of the global economic crisis. The $80 billion fund was announced October 24 during the Asia Europe Meeting in Beijing. Thirteen countries agreed to contribute, with 80 percent of funds coming from China, Japan and Korea.
Prime Minister Hun Sen said that Cambodia could contribute between five and 10 percent of its reserve budget to satisfy its commitment to the regional fund. Final details for the fund have yet to be worked out."
Loy nas nor Cambodia,,,,
Nov 7, 2008
Local Banks Boosting Their Deposit Rates
By Ros Sothea, VOA Khmer
Original report from Phnom Penh
06 November 2008
Cambodia's large commercial banks have begun competing with each other by raising deposit rates, with the annual rate at several banks rising to 8 percent in November, a record high.
Experts say the annual deposit rate was as low as 5 percent prior to the global financial crisis, which saw a tightening of credit among lenders in the wake of a sub-prime mortgage collapse in the US.
Facing limited capital from outside lenders, commercial banks are seeking to bring in more local capital, experts say.
"To avoid the financial crisis, we have to increase our local deposits," said Phan Soneary, vice president and executive director of Acleda Bank. "Not only can [the capital from deposits] support loans, but also other missions of the bank."
Foreign lenders have restricted their loans, while the number of new depositors has fallen, she said. Acleda recently raised its annual deposit rate 1 percent, to 7.5 percent.
Meanwhile, banks such as ANZ Royal, Cambodia Public and Canadia have also increased their deposit rates, to 8 percent annually.
It is not uncommon for banks to adjust their rates up or down, said Pal Nay Im, general director of the National Bank, but currently banks have to make themselves stronger.
The deposit rates are climbing, but annual interest rates on loans remain between 12 percent and 15 percent.
The increase of local deposit rates is the only way to help banks extend their capital when foreign partners are reluctant to provide loans, said Chheang Meng Heak, banking and finance expert at the Royal University of Law and Economics.
"Foreign lenders aren't offering any loans now, because they are worried about lacking their own cash," he said. "They do that just because they are concerned that their financial system could face a crisis."
However, Oung Ming Tech, deputy director-general of Cambodia Public, said his bank was not facing a financial problem, because it depends wholly on its parent bank in Malaysia. Cambodia Public had increased its deposit rate to maintain local customers, he said.
"You have to look at market demand. It is a very competitive market," he said. "We have increased the rate so that we can get more money deposits. If not, we will lose our customers."
Nearly 640,000 Cambodians deposited money in local banks in the first six months of 2008, an increase of 12 percent over the same period the year before, according to the National Bank.
However, the continuing worldwide financial crunch will likely reduce the number of depositors, said economist Kaong Chandararoth, head of the Cambodia Institute of Development Study.
Banks who cannot compete with the rising deposit rates will be forced to close, he said.
Jeremy Ha, director of Phnom Penh Commercial, said his bank would not be able to follow the rates of the larger banks.
"As a new bank, we have tried to attract new customers, but we have no plan to increase the deposit rate because we cannot do like other large banks," he said. "I am also worried about this problem."
Other small banks, however, said they were preparing to increase their deposit rates as much as they could—and hoping the world's financial woes soon will pass.
Original report from Phnom Penh
06 November 2008
Cambodia's large commercial banks have begun competing with each other by raising deposit rates, with the annual rate at several banks rising to 8 percent in November, a record high.
Experts say the annual deposit rate was as low as 5 percent prior to the global financial crisis, which saw a tightening of credit among lenders in the wake of a sub-prime mortgage collapse in the US.
Facing limited capital from outside lenders, commercial banks are seeking to bring in more local capital, experts say.
"To avoid the financial crisis, we have to increase our local deposits," said Phan Soneary, vice president and executive director of Acleda Bank. "Not only can [the capital from deposits] support loans, but also other missions of the bank."
Foreign lenders have restricted their loans, while the number of new depositors has fallen, she said. Acleda recently raised its annual deposit rate 1 percent, to 7.5 percent.
Meanwhile, banks such as ANZ Royal, Cambodia Public and Canadia have also increased their deposit rates, to 8 percent annually.
It is not uncommon for banks to adjust their rates up or down, said Pal Nay Im, general director of the National Bank, but currently banks have to make themselves stronger.
The deposit rates are climbing, but annual interest rates on loans remain between 12 percent and 15 percent.
The increase of local deposit rates is the only way to help banks extend their capital when foreign partners are reluctant to provide loans, said Chheang Meng Heak, banking and finance expert at the Royal University of Law and Economics.
"Foreign lenders aren't offering any loans now, because they are worried about lacking their own cash," he said. "They do that just because they are concerned that their financial system could face a crisis."
However, Oung Ming Tech, deputy director-general of Cambodia Public, said his bank was not facing a financial problem, because it depends wholly on its parent bank in Malaysia. Cambodia Public had increased its deposit rate to maintain local customers, he said.
"You have to look at market demand. It is a very competitive market," he said. "We have increased the rate so that we can get more money deposits. If not, we will lose our customers."
Nearly 640,000 Cambodians deposited money in local banks in the first six months of 2008, an increase of 12 percent over the same period the year before, according to the National Bank.
However, the continuing worldwide financial crunch will likely reduce the number of depositors, said economist Kaong Chandararoth, head of the Cambodia Institute of Development Study.
Banks who cannot compete with the rising deposit rates will be forced to close, he said.
Jeremy Ha, director of Phnom Penh Commercial, said his bank would not be able to follow the rates of the larger banks.
"As a new bank, we have tried to attract new customers, but we have no plan to increase the deposit rate because we cannot do like other large banks," he said. "I am also worried about this problem."
Other small banks, however, said they were preparing to increase their deposit rates as much as they could—and hoping the world's financial woes soon will pass.
Oct 30, 2008
Amazing Race, Season 13: Stop in Cambodia
"Picking Cambodia as a backdrop for a leg of the Amazing Race, was a brilliant idea. It's one of those countries where life is so different from the U.S.," quoted from Jamie Rhein .Whoever came up with the tasks the teams had to complete to get to the Pit Stop.
The first task was to take a taxi to a gas station in order to fill a truck's gas tank with 25 liters of gas--five liters at a time. Once the tanks were filled, in a neck and neck pace, the teams climbed into their trucks to have the drivers take them to Siem Reap Harbor where they were to take traditional-style boats to the middle of the largest lake in S.E Asia to the floating Kho Andeth restaurant. From Kho Andeth Restaurant, it was off to do one of two tasks. "Village Life" or "Village Work".
For Village Life, teams went to three different locations to pick up three objects: a doll from the tailor; a pair of chattering false teeth from the dentist; and a basketball from a floating basketball court. To acquire the basketball, each team member had to shoot a basket first.
For "Village Work," the teams were to retrieve baskets filled with fish out of the lake, one basket for each team member.
From the lake, the teams were off to Angkor Wat, Cambodia's former capital city and temple that was built in the 12th century during the reign of King Suryavarman II. One person from each team was to find a specific room in the massive complex where, if you beat your chest, the sound echoes.
The next stop was Bayon Temple, another 12th century beauty. Here was the Pit Stop location.
Who won this round: Nick and Starr
What they won: A trip to St. John, Virgin Islands where they will snorkel in Trunk Bay and have a catamaran ride.
Eliminated: Ty and Aja
Oct 24, 2008
CAMBODIA OP/ED: Ready for own stock market?
Source: Telegraph
Quoted from adbi e-newsline
"Capital markets can be vital tools of development, helping the better companies in poorer countries to get access to the money they need to grow, creating wealth and employment in the process. However, given the fragile nature of stock markets, it is important that countries don't run before they can walk. Which is why Cambodia's decision to press ahead with the launch of its own stock exchange next year is slightly concerning.
Oct 14, 2008
Krugman Wins Nobel Prize for Economics
STOCKHOLM, Sweden — The American economist Paul R. Krugman won the Nobel economics prize on Monday, October 13, 2008 for his analysis of trade patterns and location of economic activity.Mr. Krugman, 55, a professor at Princeton University in New Jersey and a columnist for The New York Times, formulated a new theory to answer questions about free trade, the Royal Swedish Academy of Sciences said.
“What are the effects of free trade and globalization? What are the driving forces behind worldwide urbanization? Paul Krugman has formulated a new theory to answer these questions,” the academy said in its citation.
“He has thereby integrated the previously disparate research fields of international trade and economic geography,” it said.
Mr. Krugman was the lone of winner of the 10 million kronor ($1.4 million) award, the latest in a string of American researchers to be honored.
The award, known as the Nobel Memorial Prize in Economic Sciences, is the last of the six Nobel prizes announced this year and is not one of the original Nobels. It was created in 1968 by the Swedish central bank in Nobel’s memory.
Source: The New York Times
Have read and studied his book on International Economics...haha....
Don't know how to comment...phew...I enjoy studying this subject anyway (",)
Oct 13, 2008
Cambodian property market fears crisis
Another interesting article of the day!!
Yet, a bit doubtful, most of the time, my critical thinking and observation skill are not that good!
It seems like the real estate speculation has calmed down a bit...but some people are still positive that they can still make money on this...let c, how much the effect stated by the economists in this article would be...
PHNOM PENH, Oct. 10 (Xinhua) -- Cambodia's real estate boom maybe coming to an end, with the global financial meltdown threatening foreign investment, national media reported Friday.
"Our property markets are closely connected with the stock markets in South Korea and other Asian countries. If these markets fall, we are affected," Kang Chandararot, the head of the economists at the Cambodia Institute of Development Study, was quoted by the Phnom Penh Post as saying.
"We will see a recession in the short term, perhaps in six to 12 months," he said.
The South Korean government issued a statement this week urging banks to sell foreign assets to increase liquidity, the Post said.
South Korea is Cambodia's biggest investor and a fall in South Korea would be especially harmful to local growth, it said.
"South Korean and other Asian markets are very closely connected to the U.S., and these countries are our biggest investors," said Kang Chandararot.
Cambodia's real estate sector has enjoyed unprecedented growth since 2007, but began to slide in mid-2008, industry sources say.
No figures on the depth of the declines were available, but industry experts said the crisis' impact could be felt soon.
Meanwhile, Cheam Yeap, a lawmaker with the Cambodian People's Party and chairman of the National Banking and Finance Committee, said the U.S. crisis might affect the Kingdom's real estate market, but not the economy as a whole.
He said Cambodia's economy is sufficiently diversified in tourism, agriculture and garment manufacturing to withstand the global crisis.
Oct 6, 2008
Wall Street vs Main Street
hehe,,just got it cleared yesterday at F9 class.
Thks to Dr. Ganthy.
Wall Street = Capitalists
Main Street = You & Me ---> commoners
Quite many interesting news on the Crisis...yet many more to come and look fwd to reading more articles n studies abt this topic..., yet i have no ability to come up with anything to write...lolzzz (">)
Plz share me if u guys have interesting thing on this....
Here is just a nice summary:
Financial crisis timeline
Agence France-Presse
First Posted 22:18:00 10/03/2008
PARIS—Key developments on Friday in the world credit crisis:
• Markets wait on news of a new vote in the US Congress, where Representatives are to consider a new version of a $700-billion (Є500-billion) bailout plan.
• The European Central Bank renews loans of $50 billion (Є36 billion) to commercial banks in what has become a regular effort to keep cash flowing on distressed interbank money markets.
• Trading on Russia's main stock market is suspended after stocks plunge ahead of the vital vote by US lawmakers.
• European stocks edge higher, despite steep losses in Asia where Tokyo matched Wall Street by striking a three-year low.
• Switzerland's biggest bank UBS says it will cut 2,000 more jobs as it repositions its investment bank which had been blamed for massive asset write-downs after the US subprime crisis.
• The Bank of Japan says it injected a further ¥800 billion ($7.6 billion) into the financial system as it tries to keep cash flowing.
• The chief executive of troubled Franco-Belgian bank Dexia says he will forgo a "golden parachute" payoff after resigning following a government bailout.
• The US bank Wells Fargo agrees to buy its distressed rival Wachovia for $15.1 billion in stock, ending a deal between Wachovia and Citigroup.
• Britain increases its government guarantee for bank deposits, following a similar move by Ireland.
• The leaders of France, Germany, Italy and Britain prepare to discuss the crisis at a mini-summit on Saturday despite disagreements that killed off talk of a Europe-wide bail-out package.
Sep 26, 2008
THE GLOBAL CRASH 2008
Source: The Boholchronicle
This is an interesting article i have read, yet not fully understand. Hope u guys can help me out.
Little did we know - that by some people's greed and our ignorance - the world was in the brink of a global disaster last week.
The "Crash of 2008" would have devastated the planet - both rich and poor nations - that would have made the Great Depression of 1929 (under another Republic President Herbert C. Hoover) a children's party.
We had always feared that before a major ecological bombshell will pulverize the earth, a financial disaster will first spin the earth out of its orbit.
Had the Federal Bank (Central Bank) of the USA and the central banks of the other nations like Europe, Japan, Canada, Britain, Switzerland and Australia not inject cash into the global money market, the world would been knocked out senseless. Gordon Gecko of the "Wall Street" would have been disproved that indeed "greed is not good" and the plaintive mantra that "there is no bliss in ignorance" would still be true.
The Fed Bank (USA) announced a record-breaking US$700-billion "rescue plan" to buy all "toxic assets" of the US financial system - to address the root cause of the malady that bedeviled the economy. The other Central Banks, Thursday, added another US$200 billion.
Together with the Fed's $85-billion bail-out of AIG Insurance (the world's largest insurance company with 70 million clients) the $25 for Bearn Stearnes and $200-Billion earlier support to mortgage - holders Fannie Mac and Freddie Mac, the total injection could cost the American taxpayers over US$1 trillion.
That is not a trifling matter considering that the US economy is only worth US$13 trillion and the world economy at US$54 trillion.
But that singular act of political will and show of financial muscle brought back the "spinach that Popeye needed" - the confidence of overseas market - in the USA's economy and stability. It is an act that Republicans and Democrats alike will jointly support to avoid converting the world into a howling financial wilderness.
It is a fact that it is Asian savings and partly Middle East petrodollars that have been bankrolling America spending. What if they both shy away now after America has shot itself on the foot?
The America is on a "survival mood" these days and the Asian financial behemoths like China (23% GDP growth rate per annum) Japan and Singapore can look at bargain-priced American assets and deepen the "Asianization of America."
Besides America is still the biggest importer in the world - and it pays to cure this patient of cancer - rather than aggravate it towards metastasizing. That would also be financial suicide, for the rest of the world.
This financial - on the American reserves and the debilitating hemorrhage of an expensive and "winless" war in Iraq could weaken further the genie that America once was. One thing since, Robocop's helmet will be challenged and his firepower becoming suspect.
The "unlucky" winner in the coming US November polls - whether the Republican's McCain or the Democrat's Obama - is going to have his hands full - and his head jagged by Tylenol - just dealing with this near catastrophe of the American economy.
For decades, the "Bush Gambit 2008" - costing US$1 trillion - will be talked about and debated. The impact on the American public - an awakened but weakened economy - will compromise taxpayers' money since public funds here have been used to salve the acts of private greed and erroneous judgments of individuals and corporations.
The USA - a Cold War opponent Russia and China's "State capitalism" - appears to have now behaved exactly what America used to condemn the socialist states to be in the past. The American Government is heading exactly where it shouldn't be - ownership of private entities (de jure & de facto).
But does America really have a choice?
During the 1997 Asian crisis. America preconditioned its bailout package to Asian central banks if they (Asians) allow private firms to flounder and cleanse the system. Today, it does the exact opposite.
America talks about institutional reforms - financial and managerial - but every year the financial blowups just become larger. For how long that the once mighty America endure this wrenching episodes?
Bush had been beside himself shopping for justification that at this time, "government intervention is not only warranted but essential." What happened to old-fashion capitalism, and free enterprise - clearly out of fashion now?
At least, America has been elective in its messianic mission to save private miscalculations.
It allowed the venerable 158-year old (America's biggest investment house) Lehman Brothers, to go belly-up in bankruptcy. Lehman Brothers had recklessly over-leveraged (over borrowed) 35:1 and justas recklessly engaged in "derivatives" which Financial guru Warren Buffett had described once as "weapons of mass destruction."
Talks there are of reforms like: keeping investment houses inside the fold of banks (to have safer liquidity base in deposits), make the bailout "consumer-friendly" (help the owners of houses being mortgaged) and keep obscene executive compensation modest (Lehman president made $US 500 million from 1993-2007: translate P20 billion).
The world could have been reduced to chaos a few days ago and the saying "ignorance is bliss" here rarely did apply to most of us mortals.
Time Magazine had called that period "Terra Incognita" (a place where no one expected to visit in its terrifying realities). We don't know if the financial madness has indeed ended.
For now, it is bad enough that Juan de la Cruz fights for his three-square meals a day and hankers for a few pesos to get a ride just to be able to go to his Church - and ask his God for divine assistance.
Heaven can't wait.
Sep 23, 2008
US saves the banks
Trichet hails moves to save investment funds
22 September 2008 - Issue : 800
Source: The European Weekly
It wasn’t nuclear war, but words like “meltdown,” were being tossed around with fears of a collapse of capitalism and world economies. After the near-bankruptcy of AIG, the world’s largest insurer, was staved off by a last-minute USD 85 billion bail-out from the US government, Washington stepped in and said it was planning an even bigger one: a USD 500-800 million of American banks on the precipice of doing under from the weight of nearly two million possible home foreclosures in the aftermath of the sub-prime lending practices, loaning money to people who couldn’t pay it back. more...
G7 countries also pledge to safeguard financial system.
I hope s1 can help me summarize or explain more on what was happening, the crisis, the effectiveness of this cash injection...
Sep 11, 2008
Cambodia’s business climate improves ‘immensely’
Cambodia’s business environment is much improved, a report released today by the World Bank and the International Financial Corporation claims, with the Kingdom moving 15 places up the ranks.
Cambodia comes 135th of 181 countries in terms of business convenience in 2008, compared to 150th rank in 2007. The improvement was chiefly attributed to the credit reforms and business closure laws, according to the 2009 Business Report, Rasmei Kampuchea reports. Cambodia passed a bankruptcy bill last year.
The credit law reform has permitted companies to use “mobile” assets and intangible property, including vehicles and accounting inventories, as collateral to access loans. Previous laws were based on concrete collateral such as land or buildings. Financial institutions also have better access to information through an online database set up by the Ministry of Commerce.
“The World Bank report regards Cambodia as introducing the most reforms in the globe to allow businesses access to credit,” Koh Santepheap reports.
“This is a better result stimulating the continuation of reforms, especially while other countries are also reforming,” said Stephane Guimbert, a senior World Bank economist.
He said that the reform of import and export procedures has also contributed to a better business atmosphere, Koh Santepheap reports.
“In Cambodia indicators of international business practices have improved with the period of import decreasing from 37 days to 22 days and the period of export falling from 46 days to 30 days,” he said, adding that such indicators will further improve as an automatic customs database was introduced at Sihanoukville ports with World Bank support in May, according to Rasmei Kampuchea.
The 2009 Business Report compared businesses in 181 countries using 10 indicators, including business setup, application for construction permits, staff employment, credit access, property registration, taxation, international trade, contract law practices and business closure, the newspaper explains.
The classification of the countries for business convenience was based on the study of laws regulations and interviews of service providers such as accountants and lawyers.
The report’s assessment of Cambodia’s business climate is similar to the result of a recent World Bank survey of 500 businesses in Cambodia that showed reports bolster economic and investment growth.
Cambodia comes 135th of 181 countries in terms of business convenience in 2008, compared to 150th rank in 2007. The improvement was chiefly attributed to the credit reforms and business closure laws, according to the 2009 Business Report, Rasmei Kampuchea reports. Cambodia passed a bankruptcy bill last year.
The credit law reform has permitted companies to use “mobile” assets and intangible property, including vehicles and accounting inventories, as collateral to access loans. Previous laws were based on concrete collateral such as land or buildings. Financial institutions also have better access to information through an online database set up by the Ministry of Commerce.
“The World Bank report regards Cambodia as introducing the most reforms in the globe to allow businesses access to credit,” Koh Santepheap reports.
“This is a better result stimulating the continuation of reforms, especially while other countries are also reforming,” said Stephane Guimbert, a senior World Bank economist.
He said that the reform of import and export procedures has also contributed to a better business atmosphere, Koh Santepheap reports.
“In Cambodia indicators of international business practices have improved with the period of import decreasing from 37 days to 22 days and the period of export falling from 46 days to 30 days,” he said, adding that such indicators will further improve as an automatic customs database was introduced at Sihanoukville ports with World Bank support in May, according to Rasmei Kampuchea.
The 2009 Business Report compared businesses in 181 countries using 10 indicators, including business setup, application for construction permits, staff employment, credit access, property registration, taxation, international trade, contract law practices and business closure, the newspaper explains.
The classification of the countries for business convenience was based on the study of laws regulations and interviews of service providers such as accountants and lawyers.
The report’s assessment of Cambodia’s business climate is similar to the result of a recent World Bank survey of 500 businesses in Cambodia that showed reports bolster economic and investment growth.
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