Latest news with #UNTradeandDevelopment
HKFP
31-07-2025
- Business
- HKFP
More Chinese company expected to list in Hong Kong amid US-China tensions, finance chief says
More mainland Chinese companies are expected to list on Hong Kong's stock exchange amid geopolitical tensions making it harder to list in the US, finance minister Paul Chan has said. Chan said at a press conference on Thursday that mainland Chinese companies 'would naturally want to come to Hong Kong for listing, because by coming to Hong Kong, they can access both international and Mainland capital.' 'This is a very interesting value proposition to them, and has been demonstrated by the figures so far this year,' Chan said, adding that there are over 200 companies waiting to be listed. In May, a Chinese company that Washington has alleged works with China's military made its debut on Hong Kong's stock market. Contemporary Amperex Technology Limited, a mainland battery giant, raised HK$35.7 billion in the world's largest initial public offering of the year. Chan's comments came as the government issued a report on Thursday titled 'Unique Strengths under 'One Country, Two Systems.'' The report intends to lay out the city's developments in a 'concise' way accessible to the international community, Chan said. The last report of its kind was published in September 2021. 'Given the geopolitical landscape, there has been some misperception about the situation of Hong Kong in the western world. We are trying very hard to reach out to the international community, to explain to them what is really happening here in Hong Kong by sharing facts and data,' Chan said. The city's two national security laws – one imposed by Beijing in 2020 and the other passed locally last year – have made Hong Kong a 'safe harbour for attracting international capital and investment,' a statement read. Inflows, growth Chan also said the city is expected to surpass Switzerland in cross-border wealth management by 2028, pointing to capital flows from Middle East and ASEAN countries in the asset and wealth management sector, as well as from Greater Bay Area residents looking to park their assets offshore. According to the World Investment Report 2025 released by UN Trade and Development, Hong Kong's foreign direct investment inflow amounted to US$126 billion last year, making it the third-largest investment recipient in the world. But despite an increase in investment and capital inflows, it would still be 'prudent' to maintain a Gross Domestic Product growth forecast between 2 to 3 per cent, given the uncertainty and volatility under the current geopolitical landscape, Chan said. Chan also acknowledged that the city's struggling retail and catering sectors were 'under pressure,' having seen several closures of well-known companies over the past months. He said that the government was making efforts to hold more 'mega events' and attract more tourists to the city. 'Can our tourism, sports and cultural facilities be made more attractive to tourists coming to Hong Kong? Can there be more activities for tourists to stay longer? If more people stay, more spending will be done here. This is the direction that we are working on.'
Arab News
19-07-2025
- Business
- Arab News
North Africa must look south to boost trade
Rising tariffs, geopolitical fragmentation, and persistent supply chain disruptions are roiling international trade. The World Trade Organization projects a 0.2 percent contraction in the global goods trade during 2025, which could deepen to 1.5 percent if tensions escalate. UN Trade and Development warns that policy uncertainty is eroding business confidence and will slow global growth to 2.3 percent in 2025. Against this backdrop, developing economies are under mounting pressure to diversify partnerships and reduce external dependencies. The pressure is particularly acute in North Africa. The region, comprising Algeria, Egypt, Libya, Morocco, Mauritania, and Tunisia, has long been tethered to European economic cycles. In 2023, the EU accounted for 45.2 percent of North Africa's trade, making the region vulnerable to any slowdown in European demand. At the same time, North Africa has played a marginal role in international commerce, accounting for only 3.7 percent of global trade in 2023. But this moment of uncertainty also represents a strategic opportunity for North Africa to look southward toward the fast-growing markets of Sub-Saharan Africa, which currently account for just 2.4 percent of North Africa's total trade. As I, and others, argued nearly a decade ago, stronger economic ties within the continent could reshape regional growth trajectories. That continues to be true today. With economic growth in Sub-Saharan Africa estimated at 3.7 percent in 2024 and projected to rise to 4 percent in 2025, the rest of the continent offers many opportunities to North African businesses as an emerging market for manufactured exports, and as a region for the expansion of value chains. North African products, particularly from the automotive, fisheries, food processing, pharmaceuticals, and textiles sectors, would likely be well received in Sub-Saharan Africa, owing to their higher quality and competitive prices. The region's full integration with Sub-Saharan Africa would bring the largest gains in trade. Audrey Verdier-Chouchane Some progress has been made toward increasing intra-African trade and North Africa's role in it. Morocco recently became the continent's leading automobile exporter, for example, with sales of $6.4 billion in 2023. Many of these cars went to West Africa, in part as a result of regional free-trade agreements. Some North African countries belong to economic communities in other regions, including the Common Market for Eastern and Southern Africa, and the Community of Sahel-Saharan States. But it is the ambitious African Continental Free Trade Area, or AfCFTA, that offers the best chance for deeper continental integration. It came into effect in 2021 and has 54 active members, making it the world's largest free-trade area in terms of membership. North Africa could play an important role in driving growth and enhancing trade within this area. The region has about 200 million consumers and occupies a strategic geographical position between Europe, the Middle East, and Sub-Saharan Africa. It also possesses significant natural resources, a diversified industrial base, and relatively well-developed human capital, and economic infrastructure. AfCFTA is widely expected to boost economic growth, private-sector development, investment, and capital flows across the continent. A forthcoming study by the African Development Bank to assess the effect of the free trade area on regional economies, using the Global Trade Analysis Project model, suggests that this is especially true for North Africa. Under every scenario, North Africa's gross domestic product, and its components, are projected to increase by 2031. The region's full integration with Sub-Saharan Africa would bring the largest gains in trade (5.5 percent) and GDP (0.77 percent). The study also predicts that implementing AfCFTA will lead to a decline in poverty and an increase in wages for both skilled and unskilled workers in the region. The main downside of AfCFTA is in the fiscal domain. The African Development Bank study anticipates a reduction of customs revenues in North African countries; the least affected will be those that have already entered into bilateral free-trade agreements, or have relatively high levels of economic diversification and strong productive capacities. There are also major barriers to realizing the potential of intracontinental trade, including inadequate infrastructure, tariff-harmonization challenges, and limited institutional coordination across Africa's regional economic communities. But given the overall potential benefits, North African economies should make implementation of AfCFTA a high priority. Enhanced intra-African trade flows would promote further economic diversification, job creation, investment, and GDP growth, generating long-term prosperity and private sector development in North Africa. In a fracturing global economy, regional solidarity has taken on new importance. By fully committing to AfCFTA and strengthening ties with partners in Sub-Saharan Africa, North Africa can chart a new path toward inclusive, resilient, and sustainable growth. • Audrey Verdier-Chouchane is lead economist for the North Africa region at the African Development Bank. ©Project Syndicate
Scoop
02-07-2025
- Business
- Scoop
Drowning In Debt: New Forum In Sevilla Offers Borrowers Chance To Rebalance The Books
2 July 2025 The Borrowers' Forum is being hailed as a milestone in efforts to reform the international debt architecture, supported by the UN and emerging as a key part of the Sevilla Commitment outcome document. 'This is not just talk - this is execution,' said Egypt's Minister of Planning and Economic Development, Dr Rania Al-Mashat. ' The Borrowers' Forum is a real plan, driven by countries, to create a shared voice and strategy in confronting debt challenges.' Rebeca Grynspan, Secretary-General of UN Trade and Development (UNCTAD), said developing nations often face creditors as a united bloc while negotiating alone. 'Voice is not just the ability to speak — it's the power to shape outcomes. Today, 3.4 billion people live in countries that pay more in debt service than they do on health or education.' The forum – one of 11 recommendations by the UN Secretary-General's Expert Group on Debt – will allow countries to share experiences, receive technical and legal advice, promote responsible lending and borrowing standards, and build collective negotiating strength. Its launch addresses long-standing calls from the Global South for more inclusive decision-making in a debt system dominated by creditor interests. 'Silent but urgent' Zambia's Foreign Minister, Mulambo Haimbe, told journalists the initiative would foster 'long-term partnerships, mutual respect and shared responsibility' and expressed his country's willingness to host an early meeting. Spain's Finance Minister Carlos Cuerpo described the current debt crisis as 'silent but urgent,' and called the Forum a 'Sevilla moment' to match the Paris Club of creditors, created nearly 70 years ago. UN Special Envoy on financing the 2030 Agenda Mahmoud Mohieldin said the forum was a direct response to a system that has kept debtor countries isolated for too long. ' This is about voice, about fairness – and about preventing the next debt crisis before it begins.' The launch comes at a time of rising debt distress across the developing world. The commitment – known in Spanish as the Compromiso de Sevilla – adopted by consensus at the conference, includes a cluster of commitments on sovereign debt reform. Alongside support for borrower-led initiatives, it calls for enhanced debt transparency, improved coordination among creditors, and the exploration of a multilateral legal framework for debt restructuring. It also endorses country-led debt sustainability strategies, debt payment suspension clauses for climate-vulnerable nations, and greater support for debt-for-nature and debt-for-climate swaps – albeit with stronger safeguards and evidence of impact. Frustration over 'missed opportunity' to tackle debt crisis Civil society groups on Wednesday sharply criticised the adopted outcome in Sevilla, calling it a missed opportunity to deliver meaningful reform of a global debt system that is crippling many developing nations. Speaking at a press briefing inside the conference, Jason Braganza of the African Forum and Network on Debt and Development (AFRODAD) said the final outcome document adopted on day one – the Sevilla Agreement – fell far short of what was needed. ' This document did not start with much ambition and still managed to be watered down,' he said. 'Nearly half of African countries are facing a debt crisis. Instead of investing in health, education and clean water, they're paying creditors.' Mr. Braganza praised the leadership of the African Group and the Alliance of Small Island States, which fought for a UN Framework Convention on sovereign debt. 'False solutions' Although that ambition was not fully realised, he welcomed a small breakthrough in the form of a new intergovernmental process that could lay the groundwork for future reform. Civil society leaders also warned of the dangers of so-called 'debt-for-climate swaps', with Mr. Braganza calling them 'false solutions' that fail to provide genuine fiscal space for developing nations. Tove Ryding of the European Network on Debt and Development (Eurodad) echoed those concerns, saying: 'We are told there's no money to fight poverty or climate change — but there is. The problem is economic injustice. And the outcome of this conference reflects business as usual.' She highlighted the progress made on a new UN Tax Convention as proof that determined countries can bring about real change, adding: 'If only we had a tax dollar for every time we were told this day would never come.' Commitment bears fruit for public health To help close gaps in access to public services and policies, and to address healthcare cuts that could cost thousands of lives, Spain on Wednesday launched the Global Health Action Initiative aimed at revitalising the entire global health ecosystem. The initiative, which will channel €315 million into the global health system between 2025 and 2027, is supported by leading multilateral health organisations and more than 10 countries. Raising prices, saving lives Later at the conference, the UN health agency unveiled a new drive to help countries tackle chronic disease and raise vital funds by increasing taxes on tobacco, alcohol, and sugary drinks. The 3 by 35 Initiative urges governments to boost the real prices of these products by at least 50 per cent by 2035. ' Health taxes are one of the most efficient tools we have,' said Dr. Jeremy Farrar, WHO Assistant Director-General. ' They cut the consumption of harmful products and create revenue governments can reinvest in health care, education, and social protection.' Noncommunicable diseases like heart disease, cancer, and diabetes now account for more than three-quarters of all deaths worldwide. WHO says a one-time 50 per cent price rise could prevent 50 million premature deaths over the next 50 years, while generating $1 trillion in public revenue. Between 2012 and 2022, nearly 140 countries raised tobacco taxes, proving such change is both possible and effective.
Arabian Post
30-06-2025
- Business
- Arabian Post
India Leads World in Generative AI Take‑Up
Over ninety per cent of employees in India use generative artificial intelligence tools at work, with 92 per cent logging daily use, according to a recent report by the Boston Consulting Group. This figure places India well above the global average of about 72 per cent. The BCG study, based on a survey of 10,600 workers across 11 countries, highlights India's prominence in integrating generative AI. Alongside this, some 17 per cent of workers report that their organisations have embedded AI agents into daily workflows, ranking India among the top three nations globally for such integration. High adoption has come with heightened concern. Nearly half of Indian employees—48 per cent—believe their roles are at risk of disappearing within the next decade due to AI, outpacing global levels at 41 per cent. Anxiety is compounded by low levels of understanding and guidance: only 33 per cent say they comprehend how AI agents function, while just 36 per cent feel they have received adequate training. ADVERTISEMENT Despite these concerns, AI is delivering tangible productivity benefits. Almost half of Indian users report saving more than an hour per day through AI assistance, yet only one‑third receive support in leveraging that time for strategic tasks. Workflow redesign is emergent as a key differentiator: companies that pivot beyond tool deployment to reengineer tasks, offer structured training, and secure leadership backing are achieving stronger outcomes. Experts cite several critical enablers for successful AI adoption. In‑person upskilling, access to approved AI platforms, and visible executive endorsement dramatically enhance uptake. In fact, where frontline workers report robust leadership support, regular usage jumps from 41 per cent to 82 per cent. Security and governance issues remain pressing. About 46 per cent of workers worry that AI decisions lack sufficient human oversight, 35 per cent fear bias or unfairness, and 32 per cent question accountability for errors. Parallel research highlights that 92 per cent of executives flag security vulnerabilities—ranging from cyber‑attacks to data privacy—as major hurdles in AI implementation. India's trajectory is supported by robust public and private investment. The UN Trade and Development's 2025 Technology and Innovation Report names India tenth globally in private‑sector AI investment. Infrastructure initiatives, such as the IndiaAI Mission's goal to build one of the world's largest AI compute networks by 2027, are bolstered by efforts from academia and industry. Centres of excellence at institutions like IIT Delhi and IIIT Hyderabad, alongside corporate alliances, are driving innovation and applied AI solutions. AI's impact is felt across sectors. In public services, digital infrastructure and chatbots are enhancing citizen access. In agriculture, finance and healthcare, predictive analytics and generative AI are reshaping service delivery. Private‑sector growth projections suggest India's AI services market could reach up to US $17 billion by 2027. Nonetheless, workforce readiness remains uneven. While 74 per cent of participants in a Microsoft‑sponsored skills programme hailed from smaller towns—and 65 per cent were women—skilling delivery is uneven, with many employees still left to self‑learn or rely on unauthorised tools. For companies seeking competitive edge, the insight is clear: widespread tool usage alone does not guarantee impact. Only by pairing AI with thoughtful workflow redesign, ethical governance and targeted training can businesses capture the full value of generative intelligence.
Mint
29-06-2025
- Business
- Mint
The investment story in charts: How South-East Asia is defying global FDI trends
The movement of capital across countries is going through a tumultuous phase. Data released in mid-June by a United Nations body on trade and investment shows that global foreign direct investment (FDI), adjusted for probable conduit financial flows (or capital flows from one country, through an intermediate country), fell 11% in 2024, marking its second consecutive decline. This year, US President Donald Trump has triggered a tariff war, which could have more ramifications on FDI. In his previous term, Trump dealt a blow to the functioning of the organisation that frames rules for global trade by blocking appointments to its dispute settlement body. There are other triggers. The economic rivalry between the US and China—the world's top two economies—is forcing companies with manufacturing facilities in the communist nation to look for alternatives to ensure supply chain continuity. India, the world's fifth-largest economy that is currently seeing a demographic dividend, would have liked to be a frontrunner to draw such foreign capital. However, the latest World Investment Report by the UN Trade and Development (UNCTAD) shows that even as Asia remained the largest recipient of FDI in 2024 (40% share), South-East Asia was the only sub-region that grew in 2024. Each of the top seven FDI draws in South-East Asia recorded FDI growth in 2024, led by the Philippines, Malaysia and Thailand. In manufacturing, the global rebalancing of locations by multinationals is driving greenfield FDI in South-East Asia, especially in the digital economy. As many as five South-East Asian countries (Singapore, Vietnam, Indonesia, Malaysia and Thailand) figure in the top 10 countries for FDI in the digital economy. FDI decoupling Outside of South-East Asia, North America and Africa showed higher growth. North America was driven by FDI inflows into the US towards high-tech (semiconductors) and clean energy sectors. The CHIPS Act (Creating Helpful Incentives to Produce Semiconductors Act), passed in the US in 2022, was an enabler. "...among the top 10 highest-value greenfield projects announced globally in 2024, four were in semiconductor manufacturing, with three of them located in the US," said the latest World Investment Report by the UNCTAD. But that is an anomaly. Global trade, facilitated by the easy movement of FDI, has lifted millions out of poverty in developing economies. But in recent years, FDI has decoupled from global GDP and world trade (exports of goods and services). The decline in FDI in 2024 is more pronounced in sectors vital for development: infrastructure (35% over 2023), renewable energy (31%), water, sanitation and hygiene (30%) and agrifood systems (19%). Chinese outreach The other challenge is the concentration of FDI in a few countries. Ten major emerging markets received 75% of FDI flows to the developing world—the order being China, Brazil, Mexico, Indonesia and India. For most of this century, companies in China have received more FDI than they have invested in other countries. However, in recent years, this has reversed. In the 11 quarters since July-September 2022, China has recorded a negative net FDI figure. China was a significant investor in several South-East Asian countries in 2024, according to reports specific to these countries. China was among the top three foreign investors in Vietnam, accounting for the largest share of FDI projects (28%). In Malaysia, too, China was among the top three FDI investors. In Indonesia, which drew FDI in metal refining and mining, China was the second-largest FDI investor. Digital play Digital is the fastest-growing FDI segment, increasing its share in all greenfield FDI globally from 20% in 2020 to 28% in 2024. This covers both the core digital space (digital infrastructure like data centres, ICT manufacturing and cloud service) and the narrow-scope digital space (like sharing economy, e-commerce, fintech and artificial intelligence services). The top 100 ICT companies by sales have about 40% of their assets outside their home country, and South-East Asia has been a top draw for them. One challenge in the digital space is concentration. Among the top 100 ICT companies by sales, the top five companies account for about 26% of this set's sales. Concentration is also seen at the country level. There are 29 companies from the US, followed by 13 apiece from China and Taiwan, and 12 from Japan. In a fickle policy environment, many of these companies—including Apple, the biggest of them—are reviewing their FDI strategy. is a database and search engine for public data
