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China’s influence silences Asia on yuan peg

China’s increasing regional influence will keep Asian governments from pressuring the world’s fastest growing economy into letting its currency strengthen for fear of economic or political repurcussion. China has repeatedly said a decision on unshackling the yuan would depend on domestic conditions, after effectively pegging it to the US dollar for the past 20 months,…

China official rejects US complaints on currency

Chinese Vice Commerce Minister Zhong Shan, in Washington at a time of heightened US-China trade and political tensions, told business leaders that changing the exchange rate was not the way to fix a huge bilateral trade imbalance. “Revaluing the renminbi is not a good recipe for solving problems,” he told the US Chamber of Commerce,…

Ghana sees $800m annual budget boost from oil

The figures, in a website survey asking Ghanaians how the windfall should be used, underline that proceeds from output at its Jubilee field due to start late this year will only transform the poor West African state if used carefully. Using a 10-year average price of oil at $65 barrel, the ministry predicted that annual…

Japan scales back privatisation of behemoth bank

The Japanese government has scaled back its privatisation plan for Japan Post to hold more than a third of its shares, keeping a grip on the mammoth state-owned financial conglomerate that is the single largest holder of government bonds. Japan Post is the country’s biggest financial institution, with financial assets of about ¥300trn ($3.3trn) –…

UK, Germany to press for global bank risk tax

Months after British Prime Minister Gordon Brown fronted a range of ideas for getting banks to pay for their own rescues, his Finance Minister Alistair Darling said more countries now agree on the need for an international systemic tax on banks. “This must be brought forward quickly, as I will urge international finance ministers in…