Latest news with #politicalUncertainty
Bloomberg
25-06-2025
- Business
- Bloomberg
Thailand Holds Key Rate as Political Uncertainty Adds to Risks
The Bank of Thailand held its key interest rate unchanged, saving its limited policy space as political uncertainty at home compounds global risks ranging from US tariffs to the conflict in the Middle East. The central bank's seven-member Monetary Policy Committee voted 6-1 to maintain the one day repurchase rate steady at 1.75% at Wednesday's meeting. The hold was predicted by 15 of 21 economists surveyed by Bloomberg, with the rest forecasting a quarter-point cut. April saw the first back-to-back cut since 2020.
Free Malaysia Today
23-06-2025
- Business
- Free Malaysia Today
UBS downgrades Thai stocks to ‘neutral' as political woes weigh
Thailand's benchmark SET Index fell to a five-year low last week. (EPA Images pic) BANGKOK : UBS Group AG strategists downgraded Thai stocks to 'neutral' from 'overweight', citing recent political uncertainty, which could impact policy direction and investor sentiment. Inflows into additional schemes for the Thai ESG fund have been underwhelming, showing weak sentiment toward equities, while recovery in tourism from China has been weaker than expected, strategists, including Sunil Tirumalai, wrote in a note today. The reduction marks a reversal of the brokerage's upgrade of the market just three months ago, given the reemergence of risks that drove a selloff early in the year. A lack of near-term positive catalysts may limit returns into the second half, while some of the supportive factors put forward by UBS in March 'haven't played out as expected'. Thailand's benchmark SET Index fell to a five-year low last week as uncertainty over the stability of Prime Minister Paetongtarn Shinawatra's government casts a pall over the economic outlook. A widening rift in the ruling coalition may stall key legislation, undermine US tariff talks and shake investor confidence in already-underperforming Thai assets. Foreigners have net sold the nation's stocks for five straight days through Friday, according to Bloomberg-compiled data. The Thai stock exchange has temporarily tightened curbs on daily movement for shares to manage market volatility. Stocks will be allowed to rise or fall by 15% from the previous close, versus 30% previously. 'Due to the unrest in the Middle East region, concerns about regional stability and global economic trends have increased,' the bourse said in a statement late yesterday. The curbs take effect today and remain in place till as long as June 27.
Bloomberg
23-06-2025
- Business
- Bloomberg
UBS Downgrades Thai Stocks to Neutral as Political Woes Weigh
UBS Group AG strategists downgraded Thai stocks to neutral from overweight, citing recent political uncertainty which could impact policy direction and investor sentiment. Inflows into additional schemes for the Thai ESG fund have been underwhelming, showing weak sentiment toward equities, while recovery in tourism from China has been weaker than expected, strategists including Sunil Tirumalai wrote in a note on Monday.
RNZ News
05-06-2025
- Politics
- RNZ News
No extended time for Samoa election prep, court rules
The first day of the first sitting of Samoa's parliament for 2025 Photo: Parliament of Samoa Samoa's Supreme Court has ruled against extra time for the Electoral Commission to complete the electoral rolls ahead of an early election. It follows the formal dissolution of its parliament on 3 June in the wake of several months of political uncertainty. Prime Minister Fiame Naomi Mata'afa had said she would call for the dissolution of parliament if Cabinet did not support her government's budget. MPs from both the opposition Human Rights Protection Party and Fiame's former FAST party joined forces to defeat the budget with the final vote coming in 34 against, 16 in support and 2 abstentions. Samoa's Electoral Commissioner said his office has filed an affidavit to the Supreme Court, seeking legal direction and an extra six weeks to complete the electoral roll ahead of an early election. But the court has ruled there will be no extension. More to come.
The Independent
03-06-2025
- Business
- The Independent
Resource-rich Mongolia faces political uncertainty after the prime minister resigns
Resource-rich Mongolia is facing political uncertainty following the resignation early on Tuesday of its prime minister in the wake of protests over endemic corruption in the landlocked Asian country, squeezed between China and Russia. Before he lost the confidence vote in the parliament, Prime Minister Oyun-Erdene Luvsannamsrai warned that his removal could undermine Mongolia's fledgling democracy. The vote followed weeks of protests sparked by reports of lavish spending by his son and calls for him to step down. The reports, which cited expensive jewelry and helicopter rides for the son's female companion, underscored the vast gap between Mongolians who have grown extremely wealthy off the country's exports and much of the rest of the population, mired in poverty. Here is a look at why what is happening in Mongolia matters: A fledgling democracy between two big powers Mongolia, a country of about 3.5 million people, borders Russia to the north and China to the south. Its stunning alpine mountains interspersed with vast deserts hold an abundance of coal, copper and other natural resources used in high-tech manufacturing. The question of who benefits from the wealth has been a key issue since Mongolia began negotiating with foreign mining giants — rumors of secret deals and under-the-table payments have circulated for years. After Mongolia threw off Communism at the end of the Cold War, it lost generous Soviet Union aid packages. Since then, it has been slowly becoming a democracy but is struggling to avoid falling into debt while holding Chinese and Russian interests at bay. China is a particularly important neighbor as its ruling Communist Party buys up 92% of Mongolia's exports. A 'spiders' web' of the greedy Over the years, the capital of Ulaanbaataar transformed itself from a city of clunky Soviet-era buildings surrounded by traditional herders' felt tents known as gers, into a metropolis of shopping malls and fancy hotels. The protesters have said the country's mineral riches have benefited business interests and the wealthy, while many Mongolians still live in poverty. Early on Tuesday morning, Oyun-Erdene only got 44 votes of support in the 126-seat legislature — the State Great Khural — well short of the 64 needed, according to the head of the counting commission, M. Narantuya-nara. Oyun-Erdene accepted defeat, saying it had been an honor to serve the nation through the coronavirus pandemic, Russia's war on Ukraine and the ongoing strife over U.S. tariffs. But he also warned of the threat of a 'spider's web' of special interests that he said are working to hold the Mongolian people back. What happens next? Oyun-Erdene, who ran a coalition government, will remain prime minister until his replacement is elected in parliament, most likely from the ranks of opposition lawmakers. Those who pick his successor will likely also have to find a platform that will satisfy the demands of the largely young and well-educated class that has led the protests. That could include moving ahead with a national sovereignty fund introduced recently to better help spread the wealth. In stepping down, Oyun-Erdene defended his integrity but said he had made the mistake of 'paying insufficient attention to social and internal political matters.' He also warned of political instability ahead, saying it "could lead the public to lose faith in parliamentary rule and potentially put our democratic parliamentary system at risk of collapse.' What do experts and the ordinary people say? Erin Murphy, deputy director and senior fellow of India and emerging Asian economics at the Center for Strategic and International Studies, said it's not easy to "build that foundation for democracy' at a time when Mongolia also must tackle economic problems. Julian Dierkes, a Mongolia expert at the University of Mannheim in Germany, said he doesn't expect any major policy changes, whoever becomes the next prime minister. 'They will be selected on the basis of personal networks and patronage,' Dierkes said. Many people on the street seemed worried for the future and some defended the outgoing prime minister on Tuesday. Oyun-Erdene should not be responsible for his son's failings, said Gansukh Batbayar, a military retiree in Ulaanbaatar who lauded what he described as Oyun-Erdene's efforts to 'confiscate illegally earned assets and money of corrupt officials' and distribute it more fairly. 'We barely survive in these chaotic times and our pensions are very small,' said an older woman on a public bus in Ulaanbaataar, who declined to give her name to speak about the political developments. She counts on her children "to have food to eat and a roof over my head,' she said. ___
