Country Briefings articles from May 2005

Country Briefings archives from May 2005

Argentina: IMF Defers US$2.5 Billion in Repayments.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to a study by local consultancy Trends Consulting, in Q1 2005 personal computer (PC) sales rose by 50% compared to the same quarter of 2004 to a total of 208,436 units. Leading the market...

Australia: Sweeping Tax Cuts in 2005/06 Budget.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The central bank left interest rates unchanged at 5.5% for a second month in a row on May 4th. The decision was widely expected following data showing inflation was contained. A private survey...

Brazil: Trade Surplus Hits Record in April.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: Industrial output rose by 1.7% in March from a year earlier (the weakest pace in 17 months), as increasing interest rates slowed demand and a stronger currency discouraged production of farming...

Canada: Economic Indicators Point to Effects of Strong Currency.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to Statistics Canada (StatsCan), in Q4 2004 labour productivity rose at a slower than expected 0.2% compared with Q3 2004 (the worst performance since 1996 and falling far behind the US)....

Chile: Bachelet Continues to Lead Presidential Polls.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The country's economic growth slowed in February as retail sales and manufacturing output cooled. The economy expanded 5.6% from a year earlier, compared with 6.2% growth in January, the central bank...

China: Nationalism's Double-edged Sword.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: China's fragmented state coal sector is due for consolidation according to government plans. A two-day conference for foreign investors interested in the sector was held in Beijing in April....

France: March Unemployment Reaches Five-Year High.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: Statistics agency Insee said that the country's business confidence fell to an 18-month low in April, adding to the gloomy short-term prospects for the euro zone. Insee's index of business sentiment...

Germany: Nation's Unemployment Threatens Economic Growth in Euro Region.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The Ifo Institute said its business climate index in March declined to 94.0, down from 95.4 in February. In March the business assessment index declined to 93.3, down from 94.5 in February, while the...

Hong Kong: Political Uncertainty for the Next Few Months.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: BoC Hong Kong (the international arm of state-owned Bank of China) announced that further rises in interest rates this year would boost lenders' performances, which last year relied on provision...

Hungary: Foreign Trade Virtually Stagnates.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to the Central Statistical Office, the country's foreign trade virtually stagnated in February with import volumes rising only 3% y-o-y and exports rising only 2% y-o-y. The trade...

India: Growth Rate of 6.9% Achieved Despite Setbacks.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: India achieved GDP growth of 6.9% for the fiscal year ended 31 March 2005, despite various setbacks, including a poor monsoon, high oil prices and the Asian tsunami. This compares to a bumper...

Israel: The Budget is Passed by a Big Majority.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: For security reasons Israel's aim is to phase out Palestinian labour by 2008. This will need a dramatic readjustment for the economies of both Israel and the Palestinian Authority since more than...

Japan: DPJ Loses its Way.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: MSCI will add another 34 names to its Japan index, and its weighting in the World Index will rise from 9.0% to 9.1%. The change to the weighting of the MSCI world index could bring as much as...

Malaysia: Central Bank Forecasts 5%-6% GDP in 2005.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: International Trade Minister Rafidah at a seminar in Kobe, Japan said, "Malaysia won't float its currency or abandon the dollar peg but it may change the level of the peg if exports are hurt by...

Mexico: GDP Growth Slowed to Around 4% in Q1 2005.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to the National Statistics Institute (INEGI), in February silver output in Mexico (the world's biggest producer) declined by 11.8% from a year earlier to 222,463 kg. In February gold output...

New Zealand: Central Bank Raises Interest Rates to Curb Inflation.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: Statistics New Zealand (SNZ) reported that building consents for 2,145 new dwelling units were issued in February. Although building consent numbers have fallen from the peak experienced between July...

Pakistan: Improving Ties with India Enhances Medium-Term Economic Outlook.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The central bank on April 11th increased its key discount rate to 9% from 7.5% and said that its decision would not impair the country's economic growth because of a strong performance by the...

Peru: Economy Grows as Manufacturing Output and Commerce Expands.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: In February national GDP grew at its fastest pace in two months as manufacturing output, construction and commerce expanded. The economy has expanded 6.79% from a year earlier, compared with...

Philippines: Surging Oil Prices May Hurt 2005 Economic Growth.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The central bank on March 30th revised the country's current account surplus at US$2.08bn in 2004. The figure is less than half of the earlier reported US$5.36bn because the country changed its...

Poland: FDI Increases 23% to US$7.86bn in 2004.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: On the 15th of March the zloty fell to a two-month low of ZL4.1277 compared to the euro before recovering modestly to ZL4.1093. Sell-offs were triggered by a rise in US Treasury yields, reducing the...

Russia: Putin Moves to Reassure Foreign Investors.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: Deputy Prime Minister Alexander Zhukov said Russia's economic growth could be crippled by an AIDS epidemic. Zhukov said the virus was threatening to boost costs and slash productivity. The number of...

Singapore: Government Lowers 2005 GDP Forecast.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to the Department of Statistics, retail sales in March increased by 13.1% y-o-y reaching S$2.576bn (US$1.55bn). During the month most retail sectors reported improved sales, including...

South Korea: By-Elections Deprive the Ruling Party of its Majority.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: Imports of poultry from North Korea were stopped on 28th March when Pyongyang confirmed that bird 'flu had broken out. Hundreds of thousands of chickens and ducks have been culled as the North tries...

Sri Lanka: Investor Sentiment Remains Positive.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to the central bank, in the first three quarters of 2004 the economy is estimated to have grown by 6.4%, 5.4% and 5.4% respectively, while on an annual basis it grew by 5.4% compared with...

Switzerland: Government Opens UN Oil-For-Food Investigation.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The University of Zurich's centre for economic research (KOF) revised downwards its 2005 GDP growth forecast to 1.6% from 1.8% because of an expected decline in exports. However, it raised its...

Thailand: Consumer Confidence Continues to Decline.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: According to the University of the Thai Chamber of Commerce, consumer confidence in April fell to 83.8 (its third consecutive monthly decline) from 84.6 in March. Sentiment fell due to high oil...

United Kingdom: Last British Car Maker Collapses.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: Chancellor Gordon Brown presented his ninth budget on March 16th, ahead of the call for the general election. The Chancellor painted a positive picture of the economy, saying that the UK was in the...

United States: S&P Cuts GM and Ford to Junk.
May 26, 2005... Byline: BARRY WHEELOCK The Economy: The Federal Reserve raised interest rates for the eighth time since June on 3rd May to 3%. The Fed reassured investors that it would remain 'measured' in its approach to further interest rate rises...