German firms to submit competing EU bids for AI gigafactory, newspaper reports
FILE PHOTO: The logo of Deutsche Telekom AG is silhouetted against the sun and clouds atop of the headquarters of German telecommunications giant in Bonn, Germany, February 19, 2019. REUTERS/Wolfgang Rattay/File Photo
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
New Straits Times
2 hours ago
- New Straits Times
Global investment decline may worsen due to tariffs, UN trade agency warns
GENEVA: Global foreign direct investment fell for the second consecutive year in 2024, with fears this year could be even worse as trade tensions rock investor confidence, the United Nations agency for trade and development said in a report published on Thursday. Foreign Direct Investment transactions, which do not include several European conduit economies, declined by 11 per cent, indicating a significant reduction in actual productive investment activity, according to UNCTAD. Geopolitical tensions and trade fragmentation contributed to lower investment last year as they created uncertainty, which UNCTAD Secretary-General Rebeca Grynspan described as a "poison" for investor confidence. "We are even more worried about the picture in already feel that investment is are affecting growth," Grynspan told Reuters, with short-term risk management being prioritised over long-term investment. UNCTAD said its outlook for international investment in 2025 was negative due to trade tensions. Early data for the first quarter of 2025 shows record low deal and project activity. When several European conduit economies - which act as intermediary hubs where investments temporarily pass through before reaching their final destinations - are included, the data showed that FDI increased by 4 per cent to US$1.5 trillion. However, UNCTAD noted that this figure masks the reality that much of this investment is merely passing through these jurisdictions and was not productive. "We see a very worrying that has a real impact on jobs and infrastructure is going down," she said. Developed economies suffered a sharp drop in investment, with a 58 per cent decrease in Europe. North America, however, observed a 23 per cent increase in FDI, led by the US, while countries in Southeast Asia reached the second-highest level of FDI on record with a 10 per cent rise, representing US$225 billion. Though capital inflows in developing countries were broadly stable, UNCTAD observed that capital was not being injected into crucial job-creating sectors such as infrastructure, energy and technology.
The Star
2 hours ago
- The Star
Philippines central bank cuts policy rate by 25 bps, as expected
MANILA: The Philippine central bank cut its policy rate by 25 basis points to 5.25%, its governor announced on Thursday, taking the rate to its lowest level in two-and-a-half years. A Reuters poll showed 22 out of 25 economists had forecast the Bangko Sentral ng Pilipinas to lower its target reverse repurchase rate. The rest expected rates to stay unchanged at 5.50%. BSP Governor Eli Remolona said in a briefing that while the outlook for inflation had moderated and there was a need for accommodative policy, there were risks from rising geopolitical tensions and external policy uncertainty that had to be monitored. The BSP cut rates at three consecutive meetings from August last year, but then surprised markets by pausing at its February review. It delivered another 25 basis point rate cut in April. Last month, Remolona had said the BSP had room to deliver two more 25 basis point rate cuts this year but they may not be at consecutive meetings. - Reuters
The Star
2 hours ago
- The Star
China likely to keep lending rates steady after May cut, trade truce
SHANGHAI: China is widely expected to keep its benchmark lending rates unchanged at a monthly fixing on Friday, a Reuters survey showed, after Beijing rolled out sweeping monetary easing measures a month earlier to aid the economy. A framework agreement covering tariff rates between Washington and Beijing has raised optimism the world's two largest economies can get business activity back on track, reducing the urgency for additional easing measures. The loan prime rate (LPR), normally charged to banks' best clients, is calculated each month after 20 designated commercial banks submit proposed rates to the People's Bank of China (PBOC). In a Reuters survey of 20 market watchers conducted this week, all respondents expected both the one-year and five-year LPRs to remain steady. Most new and outstanding loans in China are based on the one-year LPR, while the five-year rate influences the pricing of mortgages. Last month, China lowered LPRs for the first time since October, while major state banks lowered deposit rates as authorities cut borrowing costs to help buffer the economy from the impact of the Sino-U.S. trade war. Market participants said key rates now move in tandem with the seven-day reverse repo rate, which serves as the main policy rate. "That means any adjustment to the LPR should follow changes to the seven-day reverse repo rate," said a trader at a brokerage, noting it will also take some time to gauge the impact of stimulus measures introduced in May. However, a string of disappointing economic data, including slower-than-expected credit growth and deepening deflationary pressure, has underscored the need for more stimulus. "Near-term economic stabilisation is dependent on reaching a trade deal with the U.S., which will take precedence over more policy stimulus," said Ho Woei Chen, economist at UOB. Chen expects the seven-day reverse repo rate to be reduced by 10 basis points in the fourth quarter of this year and guide LPRs to lower by the same margin. "The prospect of another 50-basis-point cut to the reserve requirement ratio (RRR) remains in place," she said. - Reuters
