Latest news with #policyreforms
Arab News
13 hours ago
- Business
- Arab News
Egypt's economy defies global turbulence as Gulf investments flow in: Standard Chartered
RIYADH: Egypt's economy is showing resilience despite global headwinds, with foreign investment and policy reforms helping offset volatile markets, Standard Chartered said in its latest outlook. In its Global Focus – Economic Outlook H2-2025 report, the bank cited growing confidence in the Egyptian pound, underpinned by strong foreign exchange inflows from portfolio investments and official sector support. Standard Chartered said major investment pledges from Qatar and Kuwait, totaling $12.5 billion, are expected to see at least 50 percent disbursement by the end of 2025. Egypt's economic resilience comes at a critical time, as global markets face heightened volatility due to geopolitical tensions, fluctuating commodity prices, and the imposition of tariffs. The country's ability to attract foreign investment reflects growing confidence in its reform agenda, while its strategic location as a regional trade hub, coupled with large-scale infrastructure projects such as the Suez Canal Economic Zone, further enhances its appeal to investors. 'The Egyptian economy is on a promising path,' said Mohammed Gad, CEO of Standard Chartered, Egypt. 'We expect the current account deficit to narrow, driven by surging remittances — up approximately 60 percent year on year in March. — and a recovering export sector,' he added. 'Despite the Central Bank of Egypt's easing cycle, the carry trade continues to attract interest, further supported by the successful testing of FX (foreign exchange market) convertibility,' the bank added in a press release. The International Monetary Fund is expected to prioritize structural reforms, including tighter fiscal policies and increased privatization, which could further strengthen Egypt's economic foundations. Following its fourth review of the extended fund facility arrangement for Egypt in March, the IMF said that the Egyptian authorities 'have continued to implement key policies to preserve macroeconomic stability, despite ongoing regional tensions that had caused a sharp decline in Suez Canal receipts.' The bank maintained its gross domestic product growth forecast for the financial year of 2026 at 4.5 percent, emphasizing the importance of private investment in sustaining recovery. While inflation remains elevated between 13 and 17 percent, the bank expects the CBE to proceed cautiously with rate cuts, projecting a policy rate of 19.25 percent by year-end. Inflation is forecast to average 11 percent in the next financial year, driven by cost pressures in health care, food, and transport, but proactive government measures are expected to mitigate these challenges and support long-term resilience. Global growth is expected to moderate slightly in 2025, with Standard Chartered revising its forecast down to 3.1 percent from 3.2 percent, primarily due to trade policy uncertainties. However, several regions show promising growth potential. 'Growth in the Middle East is expected to benefit from the reversal of OPEC+ production cuts and ongoing efforts to diversify away from oil dependence,' the release added. Sub-Saharan Africa's growth is projected at 4.1 percent, aided by its lower exposure to global trade volatility, though structural reforms remain key to sustaining momentum. Asia continues to lead global expansion with a forecast of 4.9 percent, followed by the Middle East, North Africa, Afghanistan, and Pakistan region at 3.4 percent, while major developed economies trail significantly at 1.3 percent. Despite broader challenges, these regional bright spots highlight uneven but resilient economic dynamics worldwide. Egypt's proactive reforms and investment inflows position it as a standout performer in an otherwise uncertain global landscape.
Free Malaysia Today
04-08-2025
- Business
- Free Malaysia Today
13MP must be about policies, not mega projects, says Rafizi
Pandan MP Rafizi Ramli said the government must break away from the traditional approach of approving high-cost infrastructure projects with questionable economic returns. (Bernama pic) KUALA LUMPUR : The government's focus in the 13th Malaysia Plan must shift from mega projects to long-term policy reforms aimed at making key structural changes, says former economy minister Rafizi Ramli. Rafizi (PH-Pandan) warned that Malaysia could fall into a cycle of short-term populism and political instability with frequent changes in government without introducing these policy shifts. Debating the 13MP in the Dewan Rakyat today, Rafizi said the government must break away from the traditional approach of approving high-cost infrastructure projects with questionable economic returns. 'I've repeated this many times. The 13MP cannot continue to be about approving mega projects like before. They must be grounded in policy frameworks. 'From these frameworks, we evaluate whether the regulations or education systems are future-proof. Every approval for a mega project must be based on implementability and business viability,' he said. Looking beyond the current development cycle, the PKR MP warned that Malaysia may face structural fiscal pressures in the coming years, particularly regarding taxation. 'In five, 10 or 15 years from now, the government will face the dilemma of having to raise taxes. Every time a government increases taxes, it will be punished and replaced (in general elections),' he said. He warned that this dynamic could trap the country in a populist cycle, where structural reforms are delayed in favour of populist policies for the sake of short-term political survival. 'It has already happened in many countries – in the UK, in European nations – and it will happen to Malaysia too, eventually,' he said. Last week, Bersatu's Machang MP Wan Ahmad Fayhsal Wan Ahmad Kamal described the 13MP as lacking any 'wow factor' and was simply business as usual. He said there were a lot of initiatives focusing on the Malay heartlands, including in Kelantan, but these were not game-changing.
Daily Telegraph
31-07-2025
- Business
- Daily Telegraph
Housing industry leaders urge Coalition not to block 80,000 new homes
Housing industry leaders have urged the Opposition to reconsider its objection to policy reforms, arguing it would block an estimated 80,000 new homes from being built. Shadow Minister for Housing Andrew Bragg announced on July 29 that the Coalition will table a motion to disallow changes to the Labor Government's build-to-rent scheme. The proposed changes would see tax cuts provided for foreign investors. Mr Bragg said the Labor Government's proposed tax reforms did not align with 'The Australian Dream' and argued that it went against the national interest. 'Labor's foreign investor tax cut promotes the Australian nightmare of lifelong renting over the Australian dream of home ownership,' he said. 'Labor's obsession with foreign landlords and big super taking over Australian housing once again prioritises vested interests over Australia's national interest. 'The Australian Dream is about people – not corporations.' Mr Bragg said the Coalition's priority is for Australians of all ages to own their own home. 'While the Coalition strongly supports foreign investment, it needs to fit with Australian culture and expectations,' he said. 'Labor should … be working with the home building sector to turn around the slump in housing construction which has coincided with the largest population surge since the 1950s.' Property Council of Australia chief executive Mike Zorbas opposed the Shadow Minister's motion, saying members of parliament had an obligation to prioritise the supply of new homes to rent and buy. 'This is wrecking ball policy,' he said. 'The main game, the only game in Australia right now, should be the rapid supply of new housing … we need to make owning a home as easy as we can. 'Equally, people need different housing choices throughout the stages of their lives.' Mr Zorbas said the supply gap for housing was 'huge', with the nation building homes half as quickly as it was in 1995. 'Australians expect the Parliament to pull every supply lever we can to make homes less expensive for people who need to buy or rent,' he said. 'Threatening to knock out 80,000 new rental homes will directly raise the cost of new homes for everyone in the market.' Urban Taskforce Australia CEO Tom Forrest said the Opposition's disallowance motion was 'a throwback to the failed housing policies of the Dutton leadership' and 'should be ignored'. 'The Liberal Party is taking an ill-conceived, ideological stance, made worse by a none-too-subtle xenophobic attack on foreign investment,' he said. 'Australia needs all the investment it can get when it comes to housing supply.' Mr Forrest said when it came to housing, people benefitted from the construction of both build-to-sell and build-to-rent dwellings. The Coalition's announcement comes three days after developers confirmed that it had secured three prime development build-to-rent sites in Bondi Junction, set to provide a proposed 900 apartments. The developer also purchased a lot for a build-to-rent site in Ultimo back in May. Mr Bragg said the Coalition 'invites a serious debate about the government's housing record in the Senate and we seek the chamber's support for our disallowance motion.'
News.com.au
31-07-2025
- Business
- News.com.au
Housing industry leaders urge Coalition not to block 80,000 new homes
Housing industry leaders have urged the Opposition to reconsider its objection to policy reforms, arguing it would block an estimated 80,000 new homes from being built. Shadow Minister for Housing Andrew Bragg announced on July 29 that the Coalition will table a motion to disallow changes to the Labor Government's build-to-rent scheme. The proposed changes would see tax cuts provided for foreign investors. Mr Bragg said the Labor Government's proposed tax reforms did not align with 'The Australian Dream' and argued that it went against the national interest. 'Labor's foreign investor tax cut promotes the Australian nightmare of lifelong renting over the Australian dream of home ownership,' he said. 'Labor's obsession with foreign landlords and big super taking over Australian housing once again prioritises vested interests over Australia's national interest. 'The Australian Dream is about people - not corporations.' Mr Bragg said the Coalition's priority is for Australians of all ages to own their own home. 'While the Coalition strongly supports foreign investment, it needs to fit with Australian culture and expectations,' he said. 'Labor should … be working with the home building sector to turn around the slump in housing construction which has coincided with the largest population surge since the 1950s.' Property Council of Australia chief executive Mike Zorbas opposed the Shadow Minister's motion, saying members of parliament had an obligation to prioritise the supply of new homes to rent and buy. 'This is wrecking ball policy,' he said. 'The main game, the only game in Australia right now, should be the rapid supply of new housing ... we need to make owning a home as easy as we can. 'Equally, people need different housing choices throughout the stages of their lives.' Mr Zorbas said the supply gap for housing was 'huge', with the nation building homes half as quickly as it was in 1995. 'Australians expect the Parliament to pull every supply lever we can to make homes less expensive for people who need to buy or rent,' he said. 'Threatening to knock out 80,000 new rental homes will directly raise the cost of new homes for everyone in the market.' Urban Taskforce Australia CEO Tom Forrest said the Opposition's disallowance motion was 'a throwback to the failed housing policies of the Dutton leadership' and 'should be ignored'. 'The Liberal Party is taking an ill-conceived, ideological stance, made worse by a none-too-subtle xenophobic attack on foreign investment,' he said. 'Australia needs all the investment it can get when it comes to housing supply.' Mr Forrest said when it came to housing, people benefitted from the construction of both build-to-sell and build-to-rent dwellings. The Coalition's announcement comes three days after developers confirmed that it had secured three prime development build-to-rent sites in Bondi Junction, set to provide a proposed 900 apartments. The developer also purchased a lot for a build-to-rent site in Ultimo back in May. Mr Bragg said the Coalition 'invites a serious debate about the government's housing record in the Senate and we seek the chamber's support for our disallowance motion.'
Malay Mail
29-07-2025
- Business
- Malay Mail
Miti to roll out reforms, new incentive framework to attract high-quality investments, Parliament told
KUALA LUMPUR, July 29 — The Ministry of Investment, Trade and Industry (Miri) and the Malaysian Investment Development Authority (Mida) will intensify efforts to introduce policy reforms to boost investor confidence and strengthen Malaysia's position as a preferred investment destination. Miti said the ministry is aware that the uncertainty in global trade due to volatile geopolitical conditions requires an effective approach to ensure that Malaysia remains relevant as a preferred investment hub in the region through the implementation of measures and strategies to stimulate private investment. 'Among the approaches and strategies that have been and are currently being implemented through a whole-of-government approach to spur private investment include reforming the mechanism for the provision of tax incentives,' it said in a written reply uploaded on the Parliament website yesterday. Miti was responding to Datuk Seri Hasni Mohammad (BN–Simpang Renggam), who asked about the ministry's approach to stimulating private investment, which is expected to decline due to global trade uncertainties. Miti noted that the New Investment Incentive Framework (NIIF) will be implemented starting from the third quarter of 2025, with the framework focusing on high-value activities and economic spillover effects. 'The NIIF will introduce a new evaluation mechanism for the granting of incentives, ensuring that better incentive rates are given to high-quality investments,' it said. Miti added that the government prioritises quality investments that can enhance economic complexity, create high-value job opportunities for the people, and expand domestic supply chains. Attention is also being given to developing new economic clusters and strengthening existing ones, while also increasing inclusivity and supporting the environmental, social and governance agenda. Meanwhile, Miti said the Malaysia External Trade Development Corporation (Matrade) has also taken mitigation steps to address the impact of reciprocal tariffs by diversifying the country's export markets and exploring new destinations in non-traditional markets. It noted that Malaysia is currently negotiating several new free trade agreements (FTAs), including the Asean-Canada, Malaysia-South Korea, Malaysia-European Union, and Malaysia-Gulf Cooperation Council (GCC). 'At the same time, the Ministry is also studying the potential of FTAs with other countries such as Bangladesh and Sri Lanka,' said Miti in response to a question from Tan Sri Abdul Hadi Awang (PN–Marang) regarding the situation surrounding tariffs from the United States. Abdul Hadi had asked about Malaysia's policies to protect the people's economy, particularly the lower-income groups, in the face of high tariffs from the US, and how effective Asean trade strengthening strategies are in mitigating the negative impacts. — Bernama
