BRUSSELS (AP) -- European Union finance ministers are to meet in in Brussels Tuesday to hammer out an agreement over how high banks should build their defenses against future financial shocks, with the U.K. running the risk of being isolated over who should set the height.
The EU's 27 members agree on the need to increase capital reserves of banks, following an international agreement called Basel III, which was negotiated by the world's largest economies to avoid another financial meltdown such as the one brought on by the collapse of U.S. investment bank Lehman Brothers in 2008.
But the U.K. wants national regulators to be able to set requirements significantly higher than those of the EU — a position opposed by almost all other EU members, who fear investors might then prefer UK banks and flee from those in other countries.
On his way into the meeting Tuesday morning, George Osborne, the British chancellor of the exchequer, was non-committal about the possibility of reaching an agreement.
"This is a time of considerable uncertainty in the eurozone economies," he said, referring to the 17 countries — the U.K. not among them — that use the euro currency. "And that uncertainty is undermining the entire European recovery. And I think we're reaching a point where we've got to make a decision to see the eurozone stand behind their currency. A very important part of that, of course, is strengthening the entire European banking system. And that is what we intend to do today."
Once enacted, Basel III would require lenders to increase their highest-quality capital — such as equity and cash reserves — gradually from 2 percent of the risky assets they hold to 7 percent by 2019. An additional 2.5 percent would have to be built up during good times. All members of the G-20 have agreed to implement Basel III; if the European Union succeeds, it would become the first entity to institute the new requirements.
The U.K. is arguing that, because national taxpayers have to bail out banks when they fail, national authorities should be able to set more stringent requirements to guard against such failures. A compromise proposal offered by the Danes, who hold the rotating presidency of the European Union, would allow national authorities some leeway to increase requirements beyond those called for in the Basel III agreement. That proposal has broad support — except, so far, from the U.K.
The finance ministers can approve the compromise proposal without British support, through what is known as qualified majority voting, in which member countries have different numbers of votes according to their populations. However, there is a tradition in the EU that changes that would affect an industry in a particular country — such as the banking sector in the U.K. — are not forced into effect over the objections of that country, and consensus is sought.
"I think there should be a unanimous decision on such an important issue," Swedish Finance Minister Anders Borg said on his way into the meeting.
Monarchy Is Worth £44billion As A Brand, Says Study - huffingtonpost.co.uk
Britain’s royal family is worth a staggering £44 billion as a brand, according to a new study.
Brand Finance divides the monarchy’s worth into ‘tangible assets’ such as the Duchy of Cornwall, which it owns and makes money from, and intangible asset value, such as tourism revenue and Royal Warrants.
The intangible asset value of the monarchy is £26 billion, while its tangible assets are valued at £18 billion, according to the research, which was conducted to coincide with the Queen’s Diamond Jubilee.
Breaking down the figures, Brand Finance valued the Royal Warrant scheme at £4 billion and suggested that there is a significant reputational benefit to individual UK businesses from the Monarchy once they have been granted a Coat of Arms, valued at £400 million.
SEE ALSO:
Richard Branson Attacks Coalition For Failing To Promote Economic Growth
Meanwhile, the celebrations taking place next week to mark the Queen’s 60th year as Monarch are due to give an estimated £924 million uplift to the leisure, tourism and accommodation industry, Brand Finance claims.
However, the extra Bank Holiday will cost the UK economy around £1.2 billion.
Brand Finance’s new study has taken into account the costs of the Monarchy that in the long term are valued at £7.6 billion after including the Civil List (valued at £461 million), property maintenance (valued at £387 million) and security - £3.2 billion.
David Haigh, CEO of Brand Finance, commenting on the latest findings stated: “The Monarchy is one of the most valuable of all British brands. Whatever one thinks about the constitutional principle, there seems little doubt that the institution of Monarchy adds significant annual earnings and long-term economic value to the UK.
“For most of her reign, The Queen has managed the Monarchy expertly and she is currently doing a great job on an international stage. The Monarchy is a powerful endorsement for individual and company brands and for the nation brand and we believe that it is making a significant contribution to the task of driving Britain out of the recession.”
Forex Income Map Killer Gratis Forex Gifts + Live Q&A with Piet - PRLog (free press release)
It's time for you to put Piet Swart's Forex Income Map under the microscope and ask Piet anything you want plus massive no-cost gratis gifts.
What if you could ask one of the most consistently profitable traders on earth anything and get an immediate answer? What would you ask? Start thinking about it because you are going to have your chance to do that today/ Monday May 28th at 12 noon EST during a live question and answer session with the Forex Farmer himself.
You can register on this page but I would do it now, with the popularity of Piet Swart's no nonsense approach to trading, it will fill to capacity fast: http://forexcapitalmultiplier.com/
The humble, once broke, farmer who's now living the good life thanks to his simple and very effective system for trading that he calls his Forex Income Map, has already done so much to help other traders become more profitable. Forex Income Map + $1000 in cash
You still have a shot at getting his entire system, the very one he uses every day and is profitable with every single month, delivered to your door completely gratis plus $1000.00 cash out of his own pocket to start trading it with. He’s going to choose someone based on their comment here: http://forexincomemap.info/
He's also giving away an additional copy each and every day, but not for much longer I am told. Several people have already won, if you’ve left a comment, go see if it’s you. There's nothing to purchase and no-catch. His PipKey system, which is just a small part of his overall system, and which he is giving away freely, is more effective and profitable than many complete systems costing hundreds of dollars. These are just a few of the hundreds of comments, you can read them all and grab a copy.
Finance Ministry sends back proposal to set up National Blood Transfusion Authority - pharmabiz.com
The long pending proposal for setting up the National Blood Transfusion Authority (NBTA) to streamline the transfusion services in the country has shot down by the Finance Ministry after National AIDS Control Organisation (NACO) failed to clearly specify the mandate even after many revisions, it is learnt.
The proposal was initiated for setting up of NBTA during the year 2008-09 under NACP phase-III. A draft cabinet note was prepared and sent to various departments such as Departments of Expenditure & Economic Affairs, under Ministry of Finance, Department of Health & Planning Commission in September 2009 for comments which never came in.
The original timeline for setting up of NBTA was April, 2010. However, due to non receipt of the comments from all the Departments the revised draft was delayed. Now the Ministry of Finance has refused permission 'due to lack of clear mandate in this regard,' sources said.
However, NACO officials when contacted claimed that they were still trying to put up fresh proposal to set up the authority as it had become more important in the wake of reported cases of malpractices in the sector.
Recently the Parliamentary Standing Committee on Health and Family Welfare also expressed its dismay over the delay in the proposal. “Though the original timeline for starting NBTA was April, 2010, there is still no ray of hope of its being set in near future. The Committee condemns such procrastinating attitude of the government. The Committee impresses upon the Department that in order to ensure setting up of a NBTA, it is imperative that immediate steps should be taken to remove the legal infirmities and seek replies from respective Departments without further delay,” the report by the panel said.
It was also alleged that the stiff opposition from existing blood banks in the private sector had forced the Health Ministry to backtrack on the proposal. The private sector claimed that it would spoil their business if the proposal got through to turn them as mere storage units linked to mother blood banks.
The authority was mooted to regulate all activities related to the blood collection and transfusion and make good laboratory practices mandatory for the blood banks. There are more than 2300 licensed blood banks in the country and health ministry is providing technical and financial support to around 1230 of the public and charitable blood banks.
Brazil Finance Minister Demands Lower Bank Interest Rates -Report - NASDAQ
SAO PAULO -(Dow Jones)- Brazilian banks must lower their lending rates by between 30% and 40%, and increase lending, without raising fees, to help spur economic growth, Finance Minister Guido Mantega said in an interview with the Folha de Sao Paulo newspaper and UOL website.
"In one more month, all of this has to be in due course," Mantega said in an interview with Folha. "Our intention is to monitor this on a weekly basis. I will demand," Mantega said.
Brazil's government and banks have been involved in a tug-of-war for several months over the reasons behind sky-high bank lending rates in Brazil. While the government argues that banks inflate their costs, as measured by the spread between their borrowing and lending rates, banks argue that high non-payment levels, labor costs and taxes all drive up interest rates.
"If private-sector banks reduce [rates] 30%, 40% and increase the volume [of lending] 30%, 40%, they will be providing a service to the economy," Mantega said. The Folha report cited central bank data which shows that Brazil's five largest banks on average charge 54.11% per year for personal and corporate loans. A 40% reduction would see that fall to 32.46%, according to the report.
Brazil's central bank has slashed rates by three-and-a-half percentage points since late August 2011, to 9%, and is expected to lower rates again after its next monetary policy meeting on May 29-30. But the government has become increasingly concerned that the Brazilian economy isn't picking up as fast as it would like, following a meager 2.7% rise in gross domestic product in 2011, and has taken a series of other measures to try to promote growth, most recently unveiling tax breaks and other incentives for car makers.
The minister said he no longer expects the economy to grow 4.5% this year, and that somewhere between 3.5% and 4% growth is more feasible. Inflation in 2012 will be lower than last year's 6.5%, the minister said. Consumer price inflation is currently running at around 5.1%; "If it stays were it is, that's good for us," the minister said.
Mantega said he doesn't see any need for the government to reduce its savings target, although he acknowledged that if there were to be a global catastrophe--such as a chaotic Greek exit from the euro zone--"then clearly we would use all the instruments to prevent the economy from skidding."
With regards to bad loans, the government is preparing measures to encourage customers that are late on their payments to catch up, the minister said. Rules currently don't favor repayment of overdue loans, he acknowledged. Current rules are more flexible for loans of up to 30,000 Brazilian reais and the government plans to extend this to BRL80,000 or BRL100,000, the minister said.
Mantega rejected worries that Brazilian families are increasingly indebted, and cannot thus consume as much as they have done in recent years, contributing to the economic woes. He said overall debt levels are among the lowest in the world, with families setting aside around 20% to 22% of monthly income to pay debts, compared to around 80% in the U.S. Moreover, credit will continue to grow as Brazil continues to generate more jobs, Mantega said.
On the web:
http://www.folha.com.br (http://www.folha.com.br)
-By Matthew Cowley, Dow Jones Newswires; +55 11 3544 7082; matthew.cowley@dowjones.com
(END) Dow Jones Newswires 05-27-121018ET Copyright (c) 2012 Dow Jones & Company, Inc.
The Business Finance Store Discusses How Small Businesses Can Attract Good Employees - PRWeb
Funding Is Available
Santa Ana, CA (PRWEB) May 27, 2012
U.S. companies in the month of March posted the highest number of job openings since July 2008, a May 8, 2012 Associate Press article entitled “3.7 million U.S. job postings: highest in 4 years” reported. These numbers from the Labor Department are further proof that the economy might be improving. As the economy improves, small businesses might be asking themselves how they will compete for talent as larger companies start to hire more. In the recent blog post “Job Openings Highest in Four Years: How to Attract Employees,” The Business Finance Store offers strategies for small businesses to attract good employees when larger companies are also hiring.
Large corporations have much to offer potential employees including large benefit packages, retirement funds, job stability and competitive salaries. As a small business, these lucrative offers for employees are not always possible. However, this does not mean that small businesses cannot attract good employees. Instead they must concentrate on highlighting their own strengths. Read more about how small businesses can attract good employees at The Business Finance Store Blog.
The Business Finance Store is a business financing and consulting firm that offers customized Business Financial Solutions. Seasoned professionals offer assistance in a variety of financial solutions to help small businesses succeed such as:Business Financial Solutions, Legal Solutions, and Accounting Solutions.
The staff at The Business Finance Store understands that starting and growing a business is an exciting time. They keep it exciting by taking care of some of the most difficult aspects, by providing legal advice, helping with vital responsibilities like accounting & bookkeeping, and by obtaining business finance. They can quickly and easily guide entrepreneurs through many different complicated processes and put them on the path to success.
For 10 years The Business Finance Store has been helping startups and other small businesses legally structure their companies, find the right franchises, get the funding they need, and achieve the American Dream of owning their own successful business. Since expanding nationwide in 2007, they have helped thousands of companies and have funded over $60 Million in business credit lines, not including SBA loans. The Business Finance Store sees limitless potential in the current climate, and looks forward to many strong years of growth to come. Take some time to review their services, and give them a call.
For more information, or a free, no-obligation analysis of your business needs, visit The Business Finance Store website: http://www.businessfinancestore.com. A member of their professional staff will contact you to discuss your business' short and long-term goals. Whatever you need, The Business Finance Store is there.
No comments:
Post a Comment