China unveiled a 10 trillion yuan ($1.40 trillion) debt package on Friday to ease local government financing strains and stabilize flagging economic growth, as it faces fresh pressure from the re-election of Donald Trump as US president.
The measures confirm last week's Reuters report, and mark a departure from the all-out stimulus strategies to revive growth China has deployed in the past. They aim to repair municipal balance sheets as a longer-term objective, rather than directly inject money into the economy.
Finance Minister Lan Foan said more stimulus was coming, with some analysts saying Beijing may not want to fire all its weapons before Trump takes over officially in January.
In an apparent reaction to the US election and the intensifying risks to trade, state media CCTV reported that China's cabinet on Friday approved expanding coverage of export credit insurance and will step up support for trade firms.
But for now, those investors who speculated on a fiscal bazooka may be disappointed.
This story is from the November 09, 2024 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the November 09, 2024 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
Hospitality sector seeks infra status, tax relief in Budget
India's hospitality industry anticipates infrastructure status to lower financing costs, rationalisation of goods and service tax (GST) rates to stay competitive with global peers, a digital single-window clearance system for hotel licences and approvals, and measures for increasing the skilled workforce.
Budget May Boost Investor Confidence, Provide Market Triggers
The valuations for foreign institutional investors (FIIs) have become reasonable, but their main challenge is the stabilization of the currency. This could occur soon, and FIIs are likely to turn buyers, says Naveen Kulkarni, chief investment officer at Axis Securities PMS, in an email interview with Sirali Gupta. Edited excerpts:
Mkts rally for 2nd day on gains in tech stocks
Benchmark indices rose for a second day on Wednesday as investors judged recent losses as excessive and looked to scoop up shares at beaten-down valuations.
Track transactions as frequent small spends can strain budget
According to the credit card trends report for 2024 by Kiwi, a credit-on-UPI (Unified Payments Interface) platform, UPI-enabled credit card users carry out an average of 40 transactions per month—eight times more than traditional credit card users.
Avendus to wind down its hedge fund business
Avendus Capital on Wednesday said it was shutting down its hedge funds business, and Andrew Holland, who was heading the vertical, is moving out of the firm.
Microsoft Investigates DeepSeek-Tied Group's Access to OpenAI Data
Microsoft Corp and OpenAI are investigating whether data output from OpenAI's technology was obtained in an unauthorized manner by a group linked to Chinese artificial intelligence startup DeepSeek, according to people familiar with the matter.
PSBs May Agree to 20% Haircut on MTNL Loans
They have ₹8,144 cr exposure to troubled telco
Betting On The Budget
Why media and policy circles are abuzz with expectations of big announcements on Saturday
Aditya Birla Housing gets ₹830 cr from IFC
Aditya Birla Housing Finance, a wholly owned subsidiary of Aditya Birla Capital said it has secured an investment of ₹830 crore through non-convertible debentures (NCDs) from the International Finance Corporation (IFC).
Reply 'resign' or face loyalty test: Trump to federal workers
President Donald Trump is offering buyouts to agency employees who don't want to comply with his demands that they return to the office as he looks to reshape the federal workforce in his second term.
