Colombia will not paralyze economy to comply with fiscal rule, says minister
BOGOTA, June 6 (Reuters) - Colombian Finance Minister German Avila said on Friday that "paralyzing" the economy to comply with the country's fiscal rule is not an option and that the government will take steps, including increased borrowing, if needed to ensure growth.
His remarks follow news that Colombia may invoke an "escape clause" to suspend compliance with the fiscal rule governing government finances.
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The Independent
2 hours ago
- The Independent
Katie Miller, Stephen Miller's wife, in a ‘tricky situation' after Musk and Trump's falling out
Katie Miller, the wife of White House Deputy Chief of Staff Stephen Miller, recently departed from the Trump administration to work for Elon Musk, days before the spectacular falling out between President Donald Trump and the billionaire. The 33-year-old Miller was one of Musk's first hires as he established the Department of Government Efficiency and began reducing the federal workforce. She left the administration alongside him last week. Like Musk, she was designated as a 'special government employee' during her time in government, which allowed her to work for Musk and Trump, as well as in the private sector, simultaneously. Miller even helped to set up the departing press conference in the Oval Office featuring Musk and Trump, according to The Wall Street Journal. Musk and Trump's relationship fell apart in public on Thursday, with Musk unfollowing Stephen Miller on X. Friends of Miller told the paper that she was in a difficult position between Trump and Musk. 'Katie Miller was a critical reason DOGE was able to get off the ground and deliver massive cuts to waste, fraud, and abuse for the American people,' White House Press Secretary Karoline Leavitt told the outlet. This isn't the first time that Miller has been caught in the crossfire of a Trump feud. Miller also worked for then-Vice President Mike Pence when Trump began attacking him for not aiding him in his attempt to overturn the 2020 election towards the end of his first term. However, at the time of the January 6, 2021, Capitol riot, she was on maternity leave. In December last year, Miller became one of the first DOGE staffers announced by the then-president-elect. However, her work at DOGE soon became the catalyst for disagreements with the White House, where top Trump aides argued that she hadn't sufficiently convinced Musk to work alongside the administration. Top administration officials told The Journal that she often spoke on behalf of Musk, issued orders about what agencies should do, and how the government's work should be communicated. Officials were concerned about her continuing work for P2. However, she left the firm after The Journal published an article about her work there. She then also departed the White House to work for Musk, just before the blowup between the billionaire and the president. Miller has been described as having endless energy and as being fiercely protective of her husband. Current and previous co-workers told The Journal that she could go from charming to abrasive. Those who know her told the paper that she has a 'YOLO' tattoo on the inside of her lip. Miller has at times worked for clients while lobbying the government, simultaneously addressing government issues. She quickly rose through the ranks after being hired in 2015 by Republican U.S. Sen. Steve Daines of Montana. Former Daines aide Jason Thielman told The Journal that 'Everything was always at full speed, full throttle.' 'Sometimes, she just exhausted people, and they gave her what she wanted,' he added of her battles with reporters. She joined the Department of Homeland Security during Trump's first term before working for Pence. It was during her time at DHS that she met Stephen Miller. 'Every Trump White House had its divisions, but she was always willing to go to bat to protect the VP's prerogatives,' Pence's Chief of Staff Marc Short told the paper. Following the insurrection, Stephen Miller kept working for Trump, and she remained in Pence's office. While she was placed on Pence's postpresidential payroll, partly because she needed healthcare, according to Pence's advisors, his office subsequently severed connections with her after Stephen Miller began working with then-President Trump. He continued to target his former vice president. After joining the Republican consulting firm P2 Public Affairs following Trump's 2021 departure from office, she subsequently became the top point of contact between Musk and the 2024 Trump campaign. She often joined Musk at events and then began advising Robert F. Kennedy, who later became Secretary of Health, Education, and Welfare, now known as Secretary of Health and Human Services. Pence opposed Kennedy's appointment, and in January of this year, Miller took aim at her former boss, saying that he only had 'family values' when it was 'politically expedient' and called him a 'footnote of American history.'
Telegraph
4 hours ago
- Telegraph
Nigeria's reforms have put the country on the global economic map
As ghosts of the 1930s haunt the global outlook, the scramble for trade deals has seized control of government agendas. The United States has leveraged its 'tariff war ' to secure better terms, driving both friend and foe to the negotiating table. British deals with the US and India have provided some refuge from the prevailing gloom. Less reported – but with similar potential – was last year's signing of the Enhanced and Trade and Investment Partnership (ETIP) between the UK and Nigeria , the former's first such agreement with an African nation. Quiet in its arrival, the pact may yet echo louder. As someone who has built multinational businesses across Africa, I know the vast opportunity the continent offers, and Nigeria in particular, which alone accounts for a fifth of sub-Saharan Africa's 1.2 billion people. But I also understand the limitations we have often placed on ourselves when it comes to securing investment. Lowering barriers to trade is crucial, and for that Britain's ETIP looks prescient. However, investment and business potential will remain discounted as long as African nations cling to state intervention – from subsidies and price controls to exchange rate distortions – all of which have consistently bred dysfunction and economic instability. Fortunately, Nigeria has now decisively turned a corner, embracing market economics under a liberalising government. In Morocco this week, Foreign Secretary David Lammy indicated Britain's position is shifting too. Setting out his strategy for Africa, he said British policy must transition from aid to investment. 'Trade-not-aid' is no new idea – but it is the first time a British government has so clearly echoed the demand the African continent has voiced for years. In making that shift, Nigeria is taking the lead for a continent to follow. So many Nigerian administrations I have known have been hostage to economic events, doubling down time and again on state intervention rather than having the conviction to reform. This administration is proving different. After two years of difficult reforms, Nigeria – under President Bola Tinubu – is now poised to fulfil the promise of its vast natural resources, rapidly growing population of over 200 million people, and strategic coastal location along the Gulf of Guinea. First, the Tinubu administration removed a crippling fuel subsidy – the most significant policy reform in years. At 25 to 30 cents per litre, petrol in Nigeria was among the cheapest in the world. But the subsidy was bankrupting the government: by 2023, it consumed over 15 per cent of the federal budget – roughly equivalent to the proportion the UK spends annually on the NHS. When President Tinubu ditched the fuel subsidy on his first day in office, criticism quickly followed. Prices, at least for the time being, have risen. However, statistics must be understood in light of the wide-ranging distortions the subsidy created. Officially, fuel consumption in Nigeria has dropped by 40 to 50 per cent. But that is not because Nigerians' petrol use reduced by this amount. In reality the country was subsidising the region, with cross border fuel smugglers profiting from arbitrage. The illegal trade was so blatant that on a visit to neighbouring Niger a few years ago, then-President Mohamed Bazoum even joked about it, thanking Nigeria for the cheap fuel. Though the move was politically unpopular, the subsidy had become unsustainable. Now, spending is being redirected toward development and infrastructure – laying the foundations for long-term growth. Second, the country has moved from a fixed to a market-determined exchange rate. Previously, only select groups could access the official rate – especially those with political connections; the rest had to rely on a more expensive parallel informal market determined by supply and demand. But selling dollars at an artificially low rate only entrenched scarcity, a problem compounded by an opaque exchange mechanism that deterred foreign investment. Every two weeks, we used to make the 12-hour drive to Abuja to seek dollar allocations for imports – camping out at the Central Bank for three or four days. Now, I no longer need to go. I've met the new Governor only once in two years – because I haven't had to. Monetary orthodoxy has finally arrived, bringing with it the liquidity that both domestic and foreign businesses depend on to smooth trade and de-risk investment. Third, the shackles of politics are being prised from business, bringing greater certainty, fairness and stability to the landscape. Five years ago, I woke up one morning to find that the port concession for a new venture of mine had been revoked. It turned out my company was outcompeting a friend of an official of the Nigerian Ports Authority. In the end, it took then-President Buhari's personal intervention to save the enterprise. Had I not been politically connected, the business would have folded – along with the 4,000 jobs it provided – at a time when job creation was, and remains, Nigeria's most urgent challenge. Today, such connections are no longer necessary. The playing field is being levelled, flattening the political ridges and dips that once skewed the game. Many of these reforms required political courage to withstand the force of criticism. Prices rose as distortions were removed, yet the administration held firm, even as vested interests co-opted public discontent for their own ends. Indeed, many of the benefits of reform are still to be felt by the wider public. But economic fundamentals must be fixed before that becomes possible. That lead-time often tempts market reformers to reverse course, or avoid reform altogether. Now that Nigeria has made it through the toughest phase, its direction should be clear to investors. For Britain, the Enhanced Trade and Investment Partnership with Nigeria was a strategic bet on reform, resilience and long-term reward. Nigeria is now delivering its part of the bargain. As my country steadies itself, the UK, its Western allies – and their companies – should deepen this partnership.
Reuters
4 hours ago
- Reuters
Brazil central bank chief vows flexibility, caution ahead of rate decision
GUARUJA, Brazil, June 7 (Reuters) - Brazil's central bank will head to its next interest rate-setting meeting later this month with its options open and a data-driven approach, governor Gabriel Galipolo said on Saturday. "'Flexibility' and 'caution' are our two key words," Galipolo told an event hosted by Esfera Brasil. "And flexibility means that we will enter our next meeting with our options open, digesting the data." Policymakers at the bank gather again on June 17-18. Last month they raised their benchmark interest rate by 50 basis points to 14.75% in a sixth straight hike that pushed borrowing costs to their highest in nearly 20 years amid sticky inflation.
