An executive briefing on banking for June 24, 2011, prepared by Asia Pulse (http://www.asiapulse.com), the real-time, Asia-based wire with exclusive news, commercial intelligence and business opportunities.
CHINA BROKERS SHOW POSITIVE OUTLOOK ON A-SHARE MARKET IN H2
BEIJING - A number of Chinese securities companies have recently released their investment strategy reports for the second half of this year, in which most of them showed a positive outlook on the Chinese stock market in the coming half-year and said a mid-term rebound is expectable.
Their projections are largely grounded on the following factors: the high inflation in China is expected to peak soon, likely in June; the monetary policy and market liquidity will not be as tight in H2 as in H1; the market valuation has approached a reasonable level after more than two months of continuous declines; and market worries of slide in listed companies' profitability amid economic growth slowdown have largely been digested.
CHINA MAY EXPAND RMB CROSS-BORDER SETTLEMENT TO WHOLE COUNTRY
BEIJING - The People's Bank of China (PBOC), the central bank, is drafting measures to expand the scope of RMB cross-border trade settlement from current piloting regions to the whole country, and the regulations may come out this year, according to an unnamed official at the central bank.
Regions piloting RMB cross-border trade settlement now include 20 provinces, autonomous regions, and municipalities, such as Beijing, Tianjin, Inner Mongolia Autonomous Region, Shanghai, and Guangdong.
INDONESIAN LENDER BNI TO PURSUE MORE AGGRESIVE CREDIT EXPANSION
JAKARTA - Indonesian state lender PT Bank Negara Indonesia (BNI, IDX:BBNI) said it hope to post 20 per cent growth in credit in 2012, the average growth target set by the central bank for the country's banking industry.
BNI will play in and offer financial support for backbone industries, its president Gatot M. Suwondo said yesterday.
BANK UOB INDONESIA POSTS STRONG GROWTH IN CREDITS
JAKARTA - PT Bank UOB Indonesia reported outstanding credits at Rp33.4 trillion (US$3.9 billion) by June 15 or an increase of 11.3 per cent from Rp30 trillion by the end of the first quarter of this year.
The bank, wholly-owned by UOB Singapore is set to increase its outstanding credit to Rp40 trillion by the end of this year.
AUST CENTRAL BANK STILL UNSURE ON INTEREST RATES: OFFICIAL
SYDNEY - A speech by a key Australian central bank official suggests that the reserve bank is still having trouble making its mind up on interest rates.
It wasn't easy for the Bank to navigate its way through the current "difficult environment", with parts of the economy steaming ahead and others struggling, Reserve Bank of Australia (RBA) assistant governor Philip Lowe said.
CHINA, RUSSIA INK NEW CURRENCY SWAP AGREEMENT: PBOC
BEIJING - The central banks of China and Russia have inked a new currency swap agreement on Thursday to expand the practice from border trading to general trade between the two nations, according to a statement posted in the website of the People's Bank of China (PBoC), the Chinese central bank, on Thursday.
The new currency swap deal also allows more regions in both countries to participate in the currency swap. Chinese and Russian companies could decide what means would be used for the settlement and payment for the commodities and services in the bilateral trade, according to the agreement.
TURK TELEKOM SECURES 250 MLN EURO LOAN FROM EIB
ISTANBUL - Turk Telekom, Turkey's main landline operator, signed a EUR 250 million (US$355 million) loan deal with European Investment Bank, or EIB.
Turk Telekom will use EIB financing on its projects to modernize broadband internet infrastructure in rural areas and cut digital gap between rural and urban parts of the country, the company said in a statement on Thursday.
CVIC PICKS UP MINOR STAKE IN INDIA'S JANALAKSHMI FINANCIAL
NEW DELHI - Citi Venture Capital International (CVCI), an investment firm of CitiGroup has picked up minority stake in India's Janalakshmi Financial Services, a NBFC Microfinance at an undisclosed amount.
Additional funds are likely to be raised in the coming weeks as part of the Series C round, Janalakshmi Financial Services said in a statement.
INDIA'S RBI WORRIED BY CIRCULAR FLOW OF FUNDS BETWEEN BANKS, MFS
MUMBAI - The Reserve Bank of India on Thursday expressed concern over circular flow of funds between banks and mutual funds (MFs), saying it could lead to systemic instability.
"The circular flow of funds between banks and MFs has the potential of creating systemic instability in times of stress liquidity crunch. Thus, banks could potentially face a large liquidity risk," RBI deputy governor Subir Gokarn told an MF summit organised by the premium industry chamber CII here on Thursday.
TURKISH AND FRENCH DEVELOPMENT AGENCIES SIGN FINANCE AGREEMENT
ANKARA - French Development Agency and Turkey's Small and Medium Industry Development Organization (KOSGEB) signed "French Global Environment Facility Finance Agreement" in Ankara on Thursday.
The agreement targets to encourage the energy productivity of small & medium sized enterprises.
TAIWAN'S FIRST BANK, ICBC SIGN MOU ON BIZ COOPERATION
TAIPEI - Taiwan-based First Commercial Bank signed a memorandum of understanding (MOU) with Industrial and Commercial Bank of China (ICBC, SSE:601398, SEHK:1398) Thursday on further business cooperation.
The two banks established a correspondence relationship in 2002 and hope the MOU will accelerate business exchanges, First Bank said.
BANKS PROVIDE US$415 MLN LOAN FOR HYDRO POWER IN TURKEY
ISTANBUL - Four banks have provided a loan of US$415 million for the construction of the Tatar and Pembelik hydroelectric power stations in the region connecting the eastern provinces of Elazig and Tunceli.
The hydroelectric power stations would be built by the Darenhes Electric Production Company in which Limak and Bilgin Groups have equal shares of 50 percent.
TURKISH CENTRAL BANK KEEPS POLICY INTEREST RATE UNCHANGED
ANKARA - Turkish Central Bank left its key interest rate unchanged at record low 6.25 per cent.
In addition to one-week repo lending rate, the bank also kept overnight borrowing rate unchanged at 1.5 per cent and lending rate at 9 per cent.
INDIAN MUTUAL FUND DISTRIBUTORS MAY GET GOVT INCENTIVES
MUMBAI - India's stock market regulator the Securities and Exchange Board of India (SEBI) on Thursday said it is considering regulations as well as incentives for mutual fund distributors to boost the sagging fund inflows.
"SEBI is seriously looking into distributor regulation...it is looking for some ways to incentivise distributors," SEBI chairman U.K Sinha said at a CII event here.
HIGH-RANKING S. KOREAN FSC OFFICIAL INDICTED ON BRIBERY CHARGES
SEOUL - A high-ranking South Korean financial regulator was indicted by prosecutors Thursday on charges of accepting bribes from a scandal-ridden bank in exchange for helping thwart audits into the institution, proseuctors said.
Prosecutors said Kim Gwang-soo, commissioner of the Financial Intelligence Unit (FIU) under the control of the Financial Services Commission (FSC), is accused of receiving a total of 40 million won (US$37,160) from Busan Savings Bank over the past five years.
INDIA'S CHHATTISGARH GOVT TO HAVE SEPARATE AGRI BUDGER NEXT YEAR
RAIPUR - With an objective to give greater thrust to agriculture, the Chhattisgarh government has decided to formulate a separate budget on agriculture from next financial year.
A separate budget on agriculture and related subjects would be introduced in the Assembly from next financial year, official sources said on Thursday.
TURKEY'S INFLATION RATE FORECAST TO HIT 7.61%: C.BANK SURVEY
ANKARA - Expectation for Turkey's year-end inflation rate rose to 7.61 per cent, according to results of the Turkish Central Bank's survey of expectations.
Year-end inflation rate was 7.54 per cent in the latest survey two weeks ago.
TURKEY RANKS 4TH AMONG EURO COUNTRIES RAISING R&D SPENDING: RPT
BRUSSELS - Turkey has become the fourth country raising its R&D spending the most in Europe, according to a report.
The European Commission has released its innovation union 2011 competition report, and according to the report Turkey has raised its annual R&D expenditures more than 10 per cent between 2000 and 2009.
INDIA'S CHHATTISGARH GOVT DISTRIBUTES US$102MLN IN AGRI LOANS
RAIPUR - India's Chhattisgarh government has distributed agricultural loans of over Rs 457 crore (US$102.05 million) for cultivation of kharif crops in the current financial year so far.
The state has set a target of distributing Rs 1,050 crore short-term agri loan during the period.
ANALYSIS - CHINA EXPECTED TO SEE TOUGH MONETARY POLICY IN H2
BEIJING - China's economy was unlikely to suffer a hard landing this year, and the tighter monetary policy would continue in the second half.
This view was widely shared by Chinese analysts at a forum on Wednesday.
STATE BANK OF INDIA LOWERS FY CREDIT GROWTH ESTIMATES
HYDERABAD - The country's largest lender, State Bank of India (SBI, BSE:500112), on Wednesday said its credit growth may be 16-19 per cent this fiscal year, lower than earlier estimates, mainly on account of slowdown in demand for long term equipment finance because of high interest rates.
"We estimate (credit demand) to be between 16-19 per cent. Earlier, our estimates were between 19-22 per cent. But, with interest rates going up many corporates are reconsidering their plans for expansion," SBI Chairman Pratip Chaudhuri told reporters here.
INDIA'S ADVANCE TAX COLLECTION UP 18.11% IN JUNE QTR
NEW DELHI - Led by SBI (BSE:500112), ONGC (BSE:500312) and Reliance Industries (BSE;500325), India's advance tax collection in the April-June quarter this fiscal year shot up 18.11 per cent to Rs 31,300 crore (US$6.99 billion).
In the year-ago period, the advance tax mop up stood at Rs 26,500 crore.
INDONESIA'S BANK VICTORIA GIVEN NOD TO OFFER RIGHTS SAHRES
JAKARTA - Indonesian publicly-traded lender PT Bank Victoria International (IDX:BVIC) said its shareholders have sanctioned its plan to offer rights shares starting this week.
The management of the bank will float 1.99 billion new shares hoping to raise Rp199.44 billion (US$23.2 million), its corporate secretary Susilawati told the newspaper Bisnis Indonesia yesterday.
DIRGANTARA INDONESIA TO RECEIVE US78.3MLN GOVT CAPITAL INJECTION
JAKARTA - Indonesia's House of Representatives has agreed on capital injection of Rp675 billion (US$78.3 million) for debt laden state aircraft maker PT Dirgantara Indonesia (DI).
The capital injection is needed to help reduce the cost of money burdening the company because of long unsettled debts, a company executive said.
MALAYSIA'S GDP FORECAST TO MODERATE TO 4.4 PCT IN Q2: KENANGA
KUALA LUMPUR - Malaysia's gross domestic product (GDP) is expected to moderate to 4.4 per cent in the second quarter of this year, mainly due to the impact of devastating earthquake in Japan and social uprising in the Middle East and North Africa, says Kenanga Investment Bank Bhd.
It said in spite of the external risks, the overall view for the second half of this year was one of higher growth as the base effect wore off and the expectation of the cyclical uptrend started to kick in.
MALAYSIA EXPECTED TO CONTINUE WITH PRE-EMPTIVE MEASURES: MIDF
KUALA LUMPUR - Malaysia's MIDF Research expects the authorities to continue with pre-emptive measures to manage the risks from capital inflows following the continued uptrend in foreign reserves.
Bank Negara Malaysia's foreign reserves rose by 0.5 billion to US$133.2 billion, as at mid-June, and the continued uptrend in the level of reserves was due to the healthy economic fundamentals and massive capital inflows, it said.
CHINA'S PBOC TO SUSPEND 3-MONTH BILL SALES AMID LIQUIDITY STRAIN
BEIJING - The People's Bank of China (PBOC), China's central bank, announced late Wednesday that it will suspend its regular open market operation Thursday. The central bank usually offers three-month bill sales in Thursday's open market operations.
Liu Junyu, an analyst with China Merchants Bank, attributed the halt to the month-long liquidity crunch that had boosted China money market rates up to seven percent across the board. And traders predicted that the rates running in high gear is likely to persist for the rest of this month.
PERUM PERHUTANI NAMED HOLDING FOR INDONESIA STATE FORESTRY FIRMS
JAKARTA - Indonesia's Perum Perhutani will be named the holding company for state forestry companies, the office of the state enterprise ministry said.
"Unlike the holdings to be established for state companies in other sectors Perum Perhutani will continue to be an operating company," said Megananda Daryono, a deputy at the office of the state enterprise minister.
JAPAN'S MIZUHO FG TO BEGIN BUSINESS OVERHAUL SOONER: CEO
TOKYO - Japan's Mizuho Financial Group Inc. (TSE:8411) will move up some aspects of the planned merger between core units Mizuho Bank and Mizuho Corporate Bank, President and chief executive officer Yasuhiro Sato told a news conference Wednesday.
The integration is still expected to take two to three years, as previously announced by Mizuho FG. The group plans, however, to begin combining some divisions at the two banking units earlier than originally envisioned.
REPAY JAPANESE RECONSTRUCTION BONDS WITH TAX HIKE: PANEL
TOKYO - Bonds issued to finance Japanese rebuilding efforts from the March 11 earthquake should be paid back with revenue from a temporary increase on core taxes, a government panel affirmed Wednesday.
The advisory council on the government's reconstruction plans will finalize an initial proposal Saturday. Emphasizing that financing must be addressed in any discussion of reconstruction, the panel will stress the need to clearly outline revenue streams for repaying the bonds to ensure market confidence.
BROKERAGE, MACHINERY STOCKS DRIVING JAPANESE MARKET REBOUND
TOKYO - Shares of banks, securities firms and machinery producers are spearheading this week's stock market rally, which sent the benchmark Nikkei Stock Average to its highest level in about three weeks on Wednesday.
The Nikkei subindex for power companies was the top gainer from Friday, when the broader market slid to a low, to Wednesday. Its 8.3 per cent surge came after Trade and Industry Minister Banri Kaieda declared Saturday that additional safety measures at the nation's nuclear power plants had been completed. But the advances in utilities shares may be due chiefly to speculative buying.
CROSS-BORDER RMB SETTLEMENT OVER RMB1 TRLN BY END-MAY: BOC
BEIJING - Cross-boarder RMB settlement conducted by the Bank of China (BOC) Group has topped 1 trillion yuan (US$154.7 billion) at the end of May.
Cross-boarder RMB-settlement by domestic businesses of the BOC Group exceeded 430 billion yuan while settlements by its overseas operations have topped 620 billion yuan at the end of May.
ICBC'S SMALL LOANS TO INDIVIDUAL BUSINESSES TOP US$402 MLN
BEIJING - The Industrial and Commercial Bank of China (ICBC, SSE:601398) has recently launched a pilot scheme to give small loans to individual businesses.
Loan to individual businesses under the scheme have so far exceeded 2.6 billion yuan (US$402 million).
(C) Asia Pulse Pte Ltd.
CONTACT:
Asia Pulse Production Centre
Phone: (612) 9322 8634
Fax: (612) 9322 8639
http://www.asiapulse.com
ASIA PULSE cg 24-06 1635
Комментариев нет:
Отправить комментарий