Kazakhstan has introduced restriction on bank’s borrowing from foreign investors. External borrowing will be curtailed by 1.2 to 1.5 co- efficient multiplied by the banks capital. Loans from local banks will be affected with these measures.
Hong Kong's economy grew 6.8% in 2006, According to news agency Xinhua,
Financial Secretary Henry Tang and predicted that the economy would grow 4.5%-5.5% in 2007.
India’s Finance Minister unveiled the 2007-08 annual budget. Although, agriculture was top priority, education spending increased by 34.2%, health and family welfare by 21.9% and defense by 7.8%. The economy grew by 8.6% in the Q3o of 2006-07. The stock market reacted negatively with the news of higher taxes on dividends and removal of tax exemptions from technology firms, with the benchmark stock index declining by 4%. The finance minister also announced that an autonomous Debt Management Office is to be set up.
Turkey’s trade deficit widened 4.3% to $3.1 billion in January and exports surged 26.5% y/y.
Russia’s Deputy PM announced inflation would not exceed 7.5% this year, against the FM’s prediction of 8%. There was a partial slowdown between Jan-Feb 2007, 1.5% lower than this time last year. The Russian government has announced that controlling inflation is its top priority this year.
- Information provided by Euromoney group sources.