Daily Archives: Sep 12, 2013

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The fallout from the scandal over US espionage in Brazil is spreading, and Brazilian makers of telephone network equipment may be the beneficiaries. But Brazil should remember the last time it closed its borders to high tech imports, when the result was not a thriving local industry but years of technological backwardness. Continue reading »

A fast track Delhi court is expected to hand down sentences on Friday to four men convicted of December’s gang rape of a trainee physiotherapist. [update: the men have been sentenced to hang]

It is a chance for the court to redeem itself after a teenager who was the most brutal of the attackers was sentenced last month to just three years in juvenile detention, a decision that sparked public outrage. Continue reading »

We have said it before and we will say it again: reports of the death of emerging markets have been greatly exaggerated.

Two major bond issues from Russia and South Africa this week, totalling $9bn, offer further proof that, despite the sharp sell-off in EM assets during the QE taper talk since May, there is still appetite from investors for EM debt – if the price is right. Continue reading »

You can almost hear the microwave ping. After nearly three months in the deep freeze, dim sum is finally back on the menu.

On Thursday afternoon, French energy producer Total became the first company to raise money in the offshore renminbi market since June 18, prompting a collective sigh of relief from Hong Kong’s debt bankers. The market shutdown had been by the far the longest in the short history of dim sum bonds. Continue reading »

When members of South Africa’s National Union of Mineworkers agreed to a revised pay offer from the country’s main gold producers – bringing to a close a strike by tens of thousands of miners – struggling companies must have breathed a collective sigh of relief. Instead of the protracted strike many executives had feared, the industrial action lasted just a few days with virtually all workers returning to work by Sunday evening. Continue reading »

Financial transparency has been top of the global policy agenda this year as developed nations make plans to clamp down on tax havens. But as those efforts gather momentum, Kenya and The Gambia are making ill-timed attempts to establish their own offshore financial centres. Continue reading »

By Steffen Reichold of Stone Harbor

Since May, global fixed income markets have experienced large sell-offs. The immediate trigger was a sharp increase in US Treasury yields as the Federal Reserve signalled a willingness to taper its quantitative easing programme. But the sell-off also coincided with growing concern over slower growth in emerging markets over the past 24 months, exacerbated, among others factors, by fears about widening current account deficits. This negative sentiment, we think, is overblown. Continue reading »

* Banks lead China stock resurgence

* Indonesia lifts interest rate for second time in two weeks

* Abu Dhabi plans to invest up to $5bn in Russian infrastructure

* Chinese PM commits to financial reform Continue reading »

You are on national television in a country known for censorship. You are talking to one of that country’s most influential policy makers. What do you tell him? That the country’s companies have serious problems with transparency, ethical practices and treatment of employees. Are you dreaming?

Not if your name is Richard Edelman, head the world’s largest independent public relations company. It has just happened to you at the World Economic Forum in Dalian, China. Continue reading »

Thursday’s reads from the beyondbrics team: jitters in Jakarta; solving a debt crisis with… more debt? The alure of Mozambique mining masks deep problems. Plus: China progress = going it alone; the emerging left; Russia’s sphere of foes; Brazil’s influence in Africa; and how to revive the Indian telecoms sector. Continue reading »

By Hemindra Hazari of Nirmal Bang Institutional Equities

Since Raghuram Rajan took over as governor of the Reserve Bank of India on September 4, the battered rupee and India’s badly bruised stock and bond markets have staged a sharp recovery. Markets, it seems, believe the governor can restore confidence and revive inflows of foreign capital. Continue reading »

Wine night in Nanning

When Luca Famiglietti, a 45-year-old Italian wine supplier, first came to China in 1995, he never thought he would end up selling wine from his motherland in Qinzhou Port, Guangxi province two decades later.

But despite the allure of richer trade areas, Qinzhou, China’s sixth “free-trade port”, is emerging as a trade hub for the poorer southwestern Chinese region, including the provinces of Guangxi, Yunnan and Guizhou. Continue reading »

It took a decade for investors to shift from treating emerging market debt like junk to treating it like investment grade bonds. It’s now trading closer to junk bonds again for the first time since 2007, explains James Mackintosh.