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Category: Banking

  • MIL-OSI Economics: A Stronger Engine for Middle East and North Africa’s Growth

    Source: International Monetary Fund

    The Managing Director’s Keynote Speech at the Ninth Arab Fiscal Forum, Dubai, UAE

    February 10, 2025

    Assalamu alaikum, your excellencies. I would like to thank Minister Al Hussaini for the United Arab Emirates’ continued warm hospitality in hosting this important annual event, as well as his excellent leadership of the World Bank’s Development Committee.

    It is a privilege to address you at the ninth Arab Fiscal Forum. Over the years, the IMF and Arab countries have always had a strong and productive partnership. Today, this partnership is more vital than ever as the world and this region undergo significant economic, technological, and geopolitical shifts—a point that I will reflect on later.

    In my remarks, I will explore how Arab countries can leverage fiscal policy to transform their economies for the future, and harness technology and investment opportunities for the benefit of their people.

    Global outlook and transformations

    Let me start with an overview of the global and regional economic outlook.

    Global growth is projected to hold at 3.3 percent this year and the next, and then to slow over the next five years, to just above 3 percent. This is well below the historical average.

    For the Middle East and North Africa, we expect growth to rebound to about 3.6 percent in 2025, driven by a recovery in oil production and an easing of regional conflicts. However, as with the global economy, our medium-term outlook still sees growth weaker than before the pandemic.

    Policymakers have generally succeeded in taming inflation, but not everywhere, with inflation picking up again in some countries. This could lead to a divergence in interest rates across countries and higher borrowing costs for emerging market and developing economies.

    On the fiscal side, the legacy of the multiple shocks from the last years leaves public finances under significant strain in many countries. Global public debt is projected to hit 100 percent of global GDP by 2030. Many countries in this region face similar pressures, with debt levels exceeding 70 percent of GDP. This poses the risk of them becoming trapped in a low-growth, high-debt scenario.

    Governments have the difficult task of containing high debt levels in the face of rising spending needs. This region faces the pressing need to create jobs, enhance social safety nets, build resilience to more frequent natural disasters, and support economic diversification. The demands of national security and post-conflict reconstruction are also substantial.

    This is all happening at a time of significant global transformations, which are creating a more uncertain and challenging environment for policymaking. We know, for instance, that trade is no longer the engine of growth that is used to be—unlike the decades of the 1990s and 2000s when global trade grew much faster than global GDP, the two are now growing at roughly the same rate. Governments around the world are shifting policy priorities: the new US administration has been clear that it intends to take action in the areas of trade, tax and spending, deregulation, and technology/digital assets. And the technology revolution—especially AI—is upon us and is set to transform the way we live and work, perhaps as early as the next five years.

    These rapid transformations mean the recipes of the past may no longer provide the path to prosperity. Economies will need to be agile, adaptable and resilient—these will be the ingredients for future success.

    How can the MENA region find these ingredients for success and avoid a low-growth, high-debt scenario?

    Building adaptable and more resilient economies

    First, focus on structural changes that increase economic resilience, agility, and long-term growth potential. Too often, countries use fiscal stimulus to boost short-term domestic demand. While this “sugar rush” provides temporary growth, it often fuels inflation and financial turbulence. Instead of merely stepping on the gas, we need a stronger engine.

    Productivity growth is essential for stronger growth and driving up economic performance. Our research in the Arab region shows how to do it: accelerate digitalization, reduce the state’s footprint in the economy, foster trade diversification, and encourage the free flow of capital to dynamic firms.

    Countries in the region that are more digitalized have substantially higher productivity than less-digitalization ones. Some countries are among the most developed in the world in this area. Digital innovation, with AI technologies, is expected to raise UAE’s GDP significantly by 2030. More R&D spending will further enhance productivity.

    Reducing the state’s footprint in the economy and strengthening governance can yield significant benefits. For example, Saudi Arabia’s regulatory improvements have fostered private sector investment, especially in the non-oil economy. The UAE’s National Agenda for Entrepreneurship has supported a vibrant startup community, and Morocco’s New Model of Development aims to spur markets by improving public sector governance.

    Encouraging employment is also a key ingredient for stronger growth. With a growing working-age population, the region has to make the most of its demographic advantage. Creating more private jobs, for women and youth in particular, can lead to more vibrant and inclusive economies. This requires more-flexible labor markets, and investment in education and vocational training. We have recently seen impressive developments in this regard in Oman, Qatar, and Bahrain.

    A second priority is economic diversification. Today’s transformations provide an excellent opportunity to stimulate and reallocate resources toward new economic sectors and services. This could become a robust new growth engine, particularly for oil-exporting countries. Many countries are already investing in new technologies, such as batteries for electric cars; in improving connectivity and in green supply chains, for example.

    Third, in a world where patterns of cooperation are shifting, countries need to look for opportunities to cooperate in new ways. In many cases, this means deepening regional cooperation. The GCC is an excellent example of the benefits of regional integration—one that I can imagine can be emulated elsewhere.

    Building fiscal buffers and institutions  

    Let me turn to the fiscal side.

    Prudent fiscal stance is essential for macroeconomic stability — a prerequisite for a vibrant private sector and economic growth. An overarching priority today is to decisively use fiscal policy to build fiscal buffers, which is essentially the capacity to spend when needed – for example, to respond to shocks, manage and mitigate risks, and meet pressing development and climate-related needs.

    Many countries will need to pursue fiscal consolidation. It is crucial to carefully calibrate the size, pace, and composition of fiscal adjustments, to avoid unduly hampering growth. Tailoring budgetary reforms to each country’s circumstances, with a helping hand for those who lose out, is vital to ensure public support.

    In this context, increasing tax revenues remains a priority. Our research finds significant potential in strengthening domestic tax systems. This requires expanding tax bases, especially as economies diversify. For example, as new sectors grow, including through digitalization, they can become an important source of tax revenues. In addition, digitalization and AI can help modernize tax administrations.

    Domestic taxes will remain the primary source of funding government spending. However, private domestic and external financing will be needed to support the spending needs in the region. Addressing the impact of more frequent natural disasters will potentially require a cumulative $1 trillion in investment by 2030. The financial sector must play a larger role, while governments can enable an investment-friendly environment.

    Several countries in the region require special attention, either to resolve ongoing conflicts or to advance post-conflict reconstruction. I pray that peace and stability can be delivered in Sudan and Yemen. I hope that the ceasefire in Gaza, along with political changes in Syria and Lebanon, can mark new beginnings. The international community’s reconstruction efforts provide a unique opportunity to rebuild better and lay the foundations for stronger growth.

    Let me conclude

    In a world of rapid transformations, it is critical for countries to become more agile, adaptable, and resilient. They need to look for new engines of growth, which will also help avoid a low-growth, high-debt trap.

    The private sector has to be in the lead in transforming economies in the region through entrepreneurship, job creation, and innovation.

    The role of governments is to foster the right environment for this private sector-led growth: by strengthening governance, modernizing public institutions, reducing bureaucracy, encouraging youth and female employment, and improving access to capital. And by designing and communicating policies that put people first and increase social support.

    The IMF remains fully committed to supporting the Middle East and North Africa. Since early 2020, we have approved about $33 billion in financing for the region, most recently in 2024 to help mitigate the impact of conflict. We have also recently reformed our surcharge policy, resulting in important savings for some countries. We have also expanded our capacity development and strengthened our regional presence with resident representative offices, technical assistance centers, and the new regional office in Riyadh.

    We are now stepping up our efforts to support the private sector, with the creation of a new IMF Advisory Council on Entrepreneurship and Growth. I can assure you, this region will be represented on it. And we look forward to the upcoming Al-Ula conference with emerging market economies, to discuss key issues affecting your economies. Jobs, innovation, and productivity—combined with a sound fiscal approach—will mean better prospects for citizens in this region and ultimately more peace and stability.

    Let’s get to work, or as you say, “linabda al-âmal”—let’s start the work together!

    I wish you all many insightful discussions and meaningful outcomes today.

    Shukran!

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER:

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    MIL OSI Economics –

  • MIL-OSI: Crisil Coalition Greenwich Names Mizuho Best Bank for Corporate Banking in the U.S.

    Source: GlobeNewswire (MIL-OSI)

    Mizuho ranked first, tied alongside Goldman Sachs, J.P. Morgan, and Bank of America

    Mizuho also wins Best Bank for Coverage for Corporates and Best Bank for Ease of Doing Business for Corporates

    NEW YORK, Feb. 10, 2025 (GLOBE NEWSWIRE) — Mizuho Americas today announced it was named best bank in the U.S. by Crisil Coalition Greenwich for Best in Corporate Banking, Best Coverage for Corporates, and Best in Ease of Doing Business for Corporates. Mizuho ranked first, tied alongside Goldman Sachs, J.P. Morgan, and Bank of America for Corporate Banking and Ease of Doing Business, and tied with J.P. Morgan and Bank of America for Coverage for Corporates.

    Crisil Coalition Greenwich conducted over 200 interviews, from May through November 2024, with CFOs and Treasurers at U.S.- based companies with $2 billion or more in annual revenue. Decision makers were asked about capabilities in specific areas, including breadth and depth of product offerings, quality of coverage, and business momentum.

    “We appreciate this amazing response from our corporate clients in recognition of our platform and are honored to be ranked first alongside the best banks in the industry,” said Jerry Rizzieri, President & CEO of Mizuho Securities USA and Head of CIB at Mizuho Americas. “We have built a successful coverage model coupled with great product capabilities and top talent to present fully integrated offerings backed by a client-centric culture.”

    Mizuho Americas was rated excellent/distinctive for effectiveness of senior management, frequency of contact, responsiveness, proactive provision of advice, coordinating product specialists, and digitizing KYC processes.

    Crisil Coalition Greenwich is a leading provider of strategic benchmarking, analytics, and insights. Its award winners receive quality ratings from corporate clients that top those of competing banks by a statistically significant margin.

    About Mizuho Americas
    Mizuho Financial Group, Inc. is the 17th largest financial institution in the world as measured by total assets of ~$2 trillion, according to S&P Global 2024. Mizuho’s 65,000 employees worldwide offer comprehensive financial services to clients in 36 countries and 850 offices throughout the Americas, EMEA, and Asia.​

    Mizuho Americas is a leading provider of corporate and investment banking, capital markets, strategic advisory, equity research, equity and fixed income sales & trading, derivatives, and financing solutions to corporate, private equity, and institutional clients in the US, Canada, and Latin America. Through its acquisition of Greenhill, Mizuho enhanced its M&A, restructuring, and private capital advisory capabilities across Americas, Europe, and Asia. Mizuho Americas employs approximately 3,700 professionals, for more information visit www.mizuhoamericas.com.​

    For inquiries, please contact:

    Jim Gorman
    Executive Director, Media Relations, Mizuho Americas
    +1-212-282-3867
    jim.gorman@mizuhogroup.com

    Laura London
    Director, Media Relations, Mizuho Americas
    +1-212-282-4446
    laura.london@mizuhogroup.com

    The MIL Network –

  • MIL-OSI Russia: A Stronger Engine for Middle East and North Africa’s Growth

    Source: IMF – News in Russian

    The Managing Director’s Keynote Speech at the Ninth Arab Fiscal Forum, Dubai, UAE

    February 10, 2025

    Assalamu alaikum, your excellencies. I would like to thank Minister Al Hussaini for the United Arab Emirates’ continued warm hospitality in hosting this important annual event, as well as his excellent leadership of the World Bank’s Development Committee.

    It is a privilege to address you at the ninth Arab Fiscal Forum. Over the years, the IMF and Arab countries have always had a strong and productive partnership. Today, this partnership is more vital than ever as the world and this region undergo significant economic, technological, and geopolitical shifts—a point that I will reflect on later.

    In my remarks, I will explore how Arab countries can leverage fiscal policy to transform their economies for the future, and harness technology and investment opportunities for the benefit of their people.

    Global outlook and transformations

    Let me start with an overview of the global and regional economic outlook.

    Global growth is projected to hold at 3.3 percent this year and the next, and then to slow over the next five years, to just above 3 percent. This is well below the historical average.

    For the Middle East and North Africa, we expect growth to rebound to about 3.6 percent in 2025, driven by a recovery in oil production and an easing of regional conflicts. However, as with the global economy, our medium-term outlook still sees growth weaker than before the pandemic.

    Policymakers have generally succeeded in taming inflation, but not everywhere, with inflation picking up again in some countries. This could lead to a divergence in interest rates across countries and higher borrowing costs for emerging market and developing economies.

    On the fiscal side, the legacy of the multiple shocks from the last years leaves public finances under significant strain in many countries. Global public debt is projected to hit 100 percent of global GDP by 2030. Many countries in this region face similar pressures, with debt levels exceeding 70 percent of GDP. This poses the risk of them becoming trapped in a low-growth, high-debt scenario.

    Governments have the difficult task of containing high debt levels in the face of rising spending needs. This region faces the pressing need to create jobs, enhance social safety nets, build resilience to more frequent natural disasters, and support economic diversification. The demands of national security and post-conflict reconstruction are also substantial.

    This is all happening at a time of significant global transformations, which are creating a more uncertain and challenging environment for policymaking. We know, for instance, that trade is no longer the engine of growth that is used to be—unlike the decades of the 1990s and 2000s when global trade grew much faster than global GDP, the two are now growing at roughly the same rate. Governments around the world are shifting policy priorities: the new US administration has been clear that it intends to take action in the areas of trade, tax and spending, deregulation, and technology/digital assets. And the technology revolution—especially AI—is upon us and is set to transform the way we live and work, perhaps as early as the next five years.

    These rapid transformations mean the recipes of the past may no longer provide the path to prosperity. Economies will need to be agile, adaptable and resilient—these will be the ingredients for future success.

    How can the MENA region find these ingredients for success and avoid a low-growth, high-debt scenario?

    Building adaptable and more resilient economies

    First, focus on structural changes that increase economic resilience, agility, and long-term growth potential. Too often, countries use fiscal stimulus to boost short-term domestic demand. While this “sugar rush” provides temporary growth, it often fuels inflation and financial turbulence. Instead of merely stepping on the gas, we need a stronger engine.

    Productivity growth is essential for stronger growth and driving up economic performance. Our research in the Arab region shows how to do it: accelerate digitalization, reduce the state’s footprint in the economy, foster trade diversification, and encourage the free flow of capital to dynamic firms.

    Countries in the region that are more digitalized have substantially higher productivity than less-digitalization ones. Some countries are among the most developed in the world in this area. Digital innovation, with AI technologies, is expected to raise UAE’s GDP significantly by 2030. More R&D spending will further enhance productivity.

    Reducing the state’s footprint in the economy and strengthening governance can yield significant benefits. For example, Saudi Arabia’s regulatory improvements have fostered private sector investment, especially in the non-oil economy. The UAE’s National Agenda for Entrepreneurship has supported a vibrant startup community, and Morocco’s New Model of Development aims to spur markets by improving public sector governance.

    Encouraging employment is also a key ingredient for stronger growth. With a growing working-age population, the region has to make the most of its demographic advantage. Creating more private jobs, for women and youth in particular, can lead to more vibrant and inclusive economies. This requires more-flexible labor markets, and investment in education and vocational training. We have recently seen impressive developments in this regard in Oman, Qatar, and Bahrain.

    A second priority is economic diversification. Today’s transformations provide an excellent opportunity to stimulate and reallocate resources toward new economic sectors and services. This could become a robust new growth engine, particularly for oil-exporting countries. Many countries are already investing in new technologies, such as batteries for electric cars; in improving connectivity and in green supply chains, for example.

    Third, in a world where patterns of cooperation are shifting, countries need to look for opportunities to cooperate in new ways. In many cases, this means deepening regional cooperation. The GCC is an excellent example of the benefits of regional integration—one that I can imagine can be emulated elsewhere.

    Building fiscal buffers and institutions  

    Let me turn to the fiscal side.

    Prudent fiscal stance is essential for macroeconomic stability — a prerequisite for a vibrant private sector and economic growth. An overarching priority today is to decisively use fiscal policy to build fiscal buffers, which is essentially the capacity to spend when needed – for example, to respond to shocks, manage and mitigate risks, and meet pressing development and climate-related needs.

    Many countries will need to pursue fiscal consolidation. It is crucial to carefully calibrate the size, pace, and composition of fiscal adjustments, to avoid unduly hampering growth. Tailoring budgetary reforms to each country’s circumstances, with a helping hand for those who lose out, is vital to ensure public support.

    In this context, increasing tax revenues remains a priority. Our research finds significant potential in strengthening domestic tax systems. This requires expanding tax bases, especially as economies diversify. For example, as new sectors grow, including through digitalization, they can become an important source of tax revenues. In addition, digitalization and AI can help modernize tax administrations.

    Domestic taxes will remain the primary source of funding government spending. However, private domestic and external financing will be needed to support the spending needs in the region. Addressing the impact of more frequent natural disasters will potentially require a cumulative $1 trillion in investment by 2030. The financial sector must play a larger role, while governments can enable an investment-friendly environment.

    Several countries in the region require special attention, either to resolve ongoing conflicts or to advance post-conflict reconstruction. I pray that peace and stability can be delivered in Sudan and Yemen. I hope that the ceasefire in Gaza, along with political changes in Syria and Lebanon, can mark new beginnings. The international community’s reconstruction efforts provide a unique opportunity to rebuild better and lay the foundations for stronger growth.

    Let me conclude

    In a world of rapid transformations, it is critical for countries to become more agile, adaptable, and resilient. They need to look for new engines of growth, which will also help avoid a low-growth, high-debt trap.

    The private sector has to be in the lead in transforming economies in the region through entrepreneurship, job creation, and innovation.

    The role of governments is to foster the right environment for this private sector-led growth: by strengthening governance, modernizing public institutions, reducing bureaucracy, encouraging youth and female employment, and improving access to capital. And by designing and communicating policies that put people first and increase social support.

    The IMF remains fully committed to supporting the Middle East and North Africa. Since early 2020, we have approved about $33 billion in financing for the region, most recently in 2024 to help mitigate the impact of conflict. We have also recently reformed our surcharge policy, resulting in important savings for some countries. We have also expanded our capacity development and strengthened our regional presence with resident representative offices, technical assistance centers, and the new regional office in Riyadh.

    We are now stepping up our efforts to support the private sector, with the creation of a new IMF Advisory Council on Entrepreneurship and Growth. I can assure you, this region will be represented on it. And we look forward to the upcoming Al-Ula conference with emerging market economies, to discuss key issues affecting your economies. Jobs, innovation, and productivity—combined with a sound fiscal approach—will mean better prospects for citizens in this region and ultimately more peace and stability.

    Let’s get to work, or as you say, “linabda al-âmal”—let’s start the work together!

    I wish you all many insightful discussions and meaningful outcomes today.

    Shukran!

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER:

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    https://www.imf.org/en/News/Articles/2025/02/10/sp-021025-md-keynote-speech-ninth-arab-fiscal-forum

    MIL OSI

    MIL OSI Russia News –

  • MIL-OSI Economics: RBI announces OMO Purchase of Government of India Securities – Revised amount

    Source: Reserve Bank of India

    The Reserve Bank has announced OMO purchase of Government securities for an aggregate amount of ₹20,000 crore on February 13, 2025 vide Press Release 2024-2025/2106 dated February 07, 2025.

    2. On a review of current and evolving liquidity conditions, the aggregate amount of OMO purchase has now been revised to ₹40,000 crore.

    3. The terms and conditions of the auction along with the various Government securities to be purchased remain the same as announced in the aforementioned Press Release.

    (Puneet Pancholy)  
    Chief General Manager

    Press Release: 2024-2025/2122

    MIL OSI Economics –

  • MIL-OSI Asia-Pac: Boosting Food Processing & Storage Infrastructure in India

    Source: Government of India (2)

    Posted On: 10 FEB 2025 1:02PM by PIB Delhi

    Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) was envisaged as a comprehensive package which will result in creation of modern infrastructure with efficient supply chain management from farm gate to retail outlet. It will not only provide a big boost to the growth of food processing sector in the country but also improve the capacity of food processing units which help in providing better returns to farmers and creating employment opportunities especially in the rural areas, reducing wastage of agricultural produce, increasing the processing level and enhancing the export of the processed foods.

    However, standalone cold storages are not supported under PMKSY. The state-wise number of storages approved for captive use under PMKSY since inception in 2017 are at Annexue-1. Further, under the Scheme for Integrated Cold Chain & Value Addition Infrastructure a sub-scheme of PMKSY, 06 projects are approved in the state of Telangana in the last five years. The details district –wise are at Annexure-2.

    As informed by Food Corporation of India, Ministry of Consumer Affairs, Food and Public Distribution, in order to upgrade and modernize the storage facilities, Government of India approved Action Plan for construction of steel silos on PPP (Public Private Partnership) mode in the country.  Under this plan, Silos with capacity of 24.25LMT at various locations throughout country are under implementation. Out of which silos with a capacity of 17.75LMT have been completed and remaining 6.5LMT are under various stages of development. In addition to above, silos of 5.5LMT capacity at 7 locations have already been constructed and put to in use in 2007-09 under circuit base model. Further, under phase –I of Hub & Spoke model Silos of 10.125 LMT at 14 locations on FCI owned land awarded and 24.75 LMT at 66 locations on private land have been awarded and are in development stage. As per the data of Food Corporation of India (FCI), the status of Grain Silos construction as on 30.11.2024 is placed at Annexure-3

    MoFPI has been implementing Central Sector Umbrella Scheme – PMKSY since 2016-17 to create post-harvest infrastructure and processing facilities to boost the overall development of the food processing sector including reduction in post-harvest losses. The component schemes under PMKSY provide credit linked financial assistance (capital subsidy) in the form of grants-in-aid to entrepreneurs for setting up of food processing/preservation infrastructure which, inter-alia, includes cold storages and refrigerated vehicles to minimize post-harvest losses.

    As per the Evaluation Study conducted and submitted by NABARD Consultancy Services Pvt. Ltd. (NABCONS) in 2020 on “Impact of Units Implemented under Scheme for Integrated Cold Chain and Value Addition Infrastructure assisted by Ministry of Food Processing Industries (MoFPI)”, it was highlighted that due to interventions of the Integrated Cold Chain and Value Addition Infrastructure Scheme of Ministry of Food Processing Industries, while all sectors had shown some decrease in wastages, but Fruits & Vegetables, Dairy and Fisheries sector had shown significant reduction in wastages.

    Apart from MoFPI, Ministry of Agriculture and Farmers Welfare has also launched the Agriculture Infrastructure Fund (AIF) Scheme in July 2020 under the Atmanirbhar Bharat package in order to improve post-harvest infrastructure and create community farming assets. The AIF Scheme facilitates sanction of medium to long term loans by Banks and other lending institutions for the setting up of cold storage facilities, warehouses and processing units, aimed at reducing crop wastage and enhancing value addition.

    This information was provided by the minister of state for food processing industries Shri Ravneet Singh in a written reply to rajysabha.

    *****

     

    ANNEXURE-1

    ANNEXURE REFERRED TO IN REPLY TO PART (a) OF RAJYA SABHA UNSTARRED QUESTION NO. 578 FOR ANSWER ON 07TH FEBRUARY, 2025 REGARDING “STORAGE FACILITIES UNDER PRADHAN MANTRI KISAN SAMPADA YOJNA”

     

    Ministry is implementing Pradhan Mantri Kisan Sampada Yojna (PMKSY). Under PMKSY standalone Cold storages/ frozen storage/ CA/ MA are not supported. The number of storages approved for captive use under PMKSY since inception in 2017 are as follows:

     

    S.No

    State

    No of Cold storages/ frozen storage/ CA/ MA

    Capacity

    (LMT/Annum)

    1

    Andaman & Nicobar

    2

    0.29

    2

    Andhra Pradesh

    31

    7.88

    3

    Arunachal Pradesh

    1

    0.14

    4

    Assam

    8

    6.97

    5

    Bihar

    1

    7.44

    6

    Chandigarh

    0

    0.0

    7

    Chhattisgarh

    6

    2.61

    8

    Dadar & Nagar Haveli and Daman & Diu

    0

    0.05

    9

    Delhi

    0

    0.0

    10

    Goa

    0

    0.06

    11

    Gujarat

    35

    20.28

    12

    Haryana

    30

    8.89

    13

    Himachal Pradesh

    28

    4.34

    14

    Jammu & Kashmir

    16

    1.99

    15

    Jharkhand

    0

    0.0

    16

    Karnataka

    35

    12.17

    17

    Kerala

    12

    4

    18

    Ladakh

    0

    0.0

    19

    Lakshadweep

    0

    0.0

    20

    Madhya Pradesh

    17

    8.17

    21

    Maharashtra

    93

    72.71

    22

    Manipur

    5

    0.09

    23

    Meghalaya

    0

    0.12

    24

    Mizoram

    9

    0.58

    25

    Nagaland

    3

    0.35

    26

    Orissa

    8

    2.54

    27

    Puduchery

    0

    0.0

    28

    Punjab

    61

    14.69

    29

    Rajasthan

    29

    7.18

    30

    Sikkim

    0

    0.0

    31

    Tamil Nadu

    59

    10.6

    32

    Telangana

    16

    9.49

    33

    Tripura

    1

    1.11

    34

    Uttar Pradesh

    38

    16.92

    35

    Uttarakhand

    64

    11.61

    36

    West Bengal

    35

    8.06

     

    TOTAL

    643

    241.33

     

    ANNEXURE-2

    ANNEXURE REFERRED TO IN REPLY TO PART (a) OF RAJYA SABHA UNSTARRED QUESTION NO. 578 FOR ANSWER ON 07TH FEBRUARY, 2025 REGARDING “STORAGE FACILITIES UNDER PRADHAN MANTRI KISAN SAMPADA YOJNA”

     

     

    Details of sanctioned projects in the state of Telangana under the scheme of Integrated Cold Chain & Value Addition Infrastructure, a component of Pradhan Mantri Kisan Sampada Yojna (PMKSY) in the last five years  (as on 31.12.2024)

     

    Sr.No.

    Project

    Sector

    District

    State

    Total project cost
     (₹ in crore)

    Approved grant   (₹ in crore)

    Amount of grant released          (₹ in crore)

    Status

    1

    Sri Krupa RGR Agrogatros

    F&V

    Nalgonda

    Telangana

    36.22

    9.36

    2.22

    Under Implementation

    2

    VNR Dairy Products

    Dairy

    Nalagonda

    Telangana

    26.20

    6.84

    4.56

    Under Implementation

    3

    Dadus

    Dairy

    Malkajgiri

    Telangana

    77.31

    7.35

    2.45

    Under Implementation

    4

    Almond House Private Limited

    Dairy

    Hyderabad

    Telangana

    56.81

    7.62

    2.54

    Under Implementation

    5

    Manjeera Dairy Products

    Dairy

    Sangareddy

    Telangana

    22.71

    6.51

    0

    Under Implementation

    6

    AL QAWI Frozen Foods Pvt Ltd

    Meat

    Sangareddy

    Telangana

    32.71

    8.68

    0

    Under Implementation

     

    TOTAL

     

     

     

    251.96

    46.36

    11.77

     

     

    ANNEXURE-3

     

    ANNEXURE REFERRED TO IN REPLY TO PART (b) OF RAJYA SABHA UNSTARRED QUESTION NO. 578 FOR ANSWER ON 07TH FEBRUARY, 2025 REGARDING “STORAGE FACILITIES UNDER PRADHAN MANTRI KISAN SAMPADA YOJNA”

                                                 (Position as on 30.11.2024)

     

    STATEMENT SHOWING AGENCY-WISE STATE-WISE STATUS OF SILO CONSTRUCTION

    (Fig. In LMT)

     

    Agency

     

    State

    Target as per Action Plan

     

    Completed

    Under Construction

     

    Grand Total

     

     

     

     

     

     

    FCI

    Assam

    0.5

    0.5

    0

    0.5

    Bihar

    4.5

    1.5

    2.0

    3.5

    Chattisgarh

    1

    0

    0

    0

    Delhi

    1

    0

    0

    0

    Gujarat

    1

    1.50

    0

    1.5

    Karnataka

    0.25

    0

    0

    0

    Haryana

    3

    2.50

    0

    2.5

    Maharashtra

    1

    0

    0

    0

    Punjab

    4.25

    3.75

    0

    3.75

    Rajasthan

    1.5

    0

    0

    0

    Uttar Pradesh

    7

    1.50

    2.0

    3.5

    West Bengal

    4

    0

    1.0

    1

    Total

     

    29

    11.25

    5.00

    16.25

    CWC

    Punjab

    2.5

    0

    0

    0

     

     

     

     

     

     

    State Govt.

    Andhra Pradesh

    3.5

    0

    0

    0

    Bihar

    5

    0

    0

    0

    Gujrat

    2

    0

    0

    0

    Haryana

    6.5

    0

    0

    0

    Madhya

    Pradesh

    10

    4.5

    0

    4.5

    Maharashtra

    0.5

    0

    0

    0

    Orrisa

    2

    0

    0

    0

    Punjab

    24.25

    2.0

    0

    2.0

    Rajasthan

    4.75

    0

    0

    0

    Telangana

    1.5

    0

    0

    0

    Uttar Pradesh

    5

    0

    1.5

    1.5

    West Bengal

    3.5

    0

    0

    0

    Total

     

    68.5

    6.50

    1.50

    8.00

    Grand Total

    100

    17.75

    6.50

    24.25

    Note: In addition the silos under process, it has been decided to construct further silos under Hub & Spoke model.

     

    STK

    (Release ID: 2101244) Visitor Counter : 48

    MIL OSI Asia Pacific News –

  • MIL-OSI Economics: Asian Development Blog: Cooling the Heat Crisis with Energy and Health Solutions

    Source: Asia Development Bank

    Asia and the Pacific faces record heatwaves, straining energy systems and endangering public health. Investing in climate science, resilient technologies, and people-centered solutions can help mitigate these risks.

    The year 2024 was the hottest on record and the first time the world reached 1.6oC above preindustrial levels. Such extreme heat events are only expected to rise, with countries in Asia and the Pacific particularly at risk. 

    Energy systems face dual challenges that make them particularly vulnerable to extreme heat events. On the demand side, the heightened use of air conditioners during heatwaves can strain already stretched electricity networks and lead to power cuts and blackouts. 

    Asia and the Pacific’s rapid socio-economic and urban development has seen a surge in air conditioning usage and a notable increase in electricity consumption during days when temperatures reach 30oC (86oF) and above. 

    Less acknowledged are the negative impacts that higher temperatures can have on the supply side of energy systems. For example, solar photovoltaic cells become less efficient in producing electricity under temperatures above 25oC (77oF), while the efficiency of thermal power plants – using coal, gas or nuclear energy – decreases when the cooling water they use becomes warmer. 

    High temperatures also put additional stress on electronic components such as battery cells and power inverters. Power lines, transformers and substations can overheat during heatwaves, resulting in lower rates of electricity transmission and distribution efficiency or, in the worst case, power failures. 

    We have seen such impacts in the region this last year. The Lao People’s Democratic Republic experienced frequent power outages due to high electricity demand during April’s heatwave. The Philippines suffered brownouts across various regions due to shutdowns and reduced power plant and grid capacities during the same month. Bangladesh had to carry out power cuts in 2024, affecting millions of people. In Pakistan, frequent and prolonged power outages in Karachi during scorching heat in June contributed to the spread of heat-related deaths.

    The record-breaking heat of 2024 exposed the vulnerabilities of energy and health systems across Asia and the Pacific, underscoring the urgent need for climate-resilient investments in infrastructure, technology, and policy coordination.

    Such energy disruptions can impact the functioning of health systems severely. Energy is crucial for protecting public health by enabling the operation of medical devices and telemedicine, as well as regulating indoor temperatures, refrigerating food and medicine, and ensuring the supply of clean drinking water. 

    Power outages can curtail the basic functioning of hospitals and health clinics and shut down IT and communication systems.

    This includes limiting access to medical record systems and vital laboratory testing data needed to make critical decisions about patients. Added to this, heatwaves create a surge in demand for health care services, including emergency visits and ambulance call outs, which simultaneously increases energy demand.   

    The consequences for human health can be deadly. People with chronic health problems are more predisposed to the impacts of extreme heat, such as those with cardiovascular and upper respiratory disease, communicable disease, diabetes, kidney disease and mental illness. 

    Specific groups of people are also more vulnerable to the negative impacts of heat stress, including the elderly, pregnant women, infants, children, outdoor workers and those from lower socio-economic groups who often lack access to air conditioning systems in their homes. 

    Weak health surveillance systems in many Pacific Islands countries and lower middle-income countries in Asia unfortunately mean that heat-related deaths and illnesses are being underestimated. Where data exists, the impacts are alarming. A report in People’s Republic of China for example, showed a fourfold increase in heat-related mortality between the years 1990 and 2019. 

    With the frequency of extreme heat being the new reality, there are a number of immediate investments that can be considered across systems in Asia and the Pacific, spanning science, technology and people-centered approaches.

    Firstly, converging state-of-the-art science and data with people-centered approaches can help improve the design of systems-level investments that benefit the health and energy sectors. The use of advanced climate modeling techniques allows governments and companies to better understand the impacts of heat stress on these systems and to explore solutions that address these challenges. 

    More heat data allows insurance providers to design and offer more heat insurance products that better protect companies and workers. Upgrading early warning systems with the latest science in forecasting extreme heat allows more accurate and timely warnings. 

    Combining such upgrades with collaboration – such as with energy providers, health institutions and communities – also means more meaningful warnings that allow a multisectoral response to heat action planning, setting up local cooling centers, and preparing community outreach to vulnerable groups. 

    Secondly, investments in climate-resilient energy technologies can strengthen the reliability of energy systems against extreme heat. Currently, many Asian and Pacific countries rely on the use of fossil fuels and power conservation measures during higher power demands. Strengthening electricity networks and storage technology are longer-term solutions that can match the region’s growing electricity needs with the increasing frequency of heatwaves. 

    Implementing innovative cooling solutions and heat-resilient designs for power plants and grids can reduce efficiency losses during extreme heat events. Smart grid technologies can provide energy suppliers with real-time visibility that reduces the likelihood of large-scale outages. Promoting energy-efficient cooling appliances and energy-saving building designs – such as cool roofs – can also help reduce demands on electricity networks during heatwaves. 

    These investments will reduce energy disruptions to health systems during extreme heat events, but there is a third set of solutions within the health sector that should also be considered. This includes ensuring heat-resilient back-up energy options for health facilities during power failures, and the installation of energy-efficient smart air conditioning systems. 

    Wider investments to decarbonize and green health care facilities also lowers their energy demand. Equally crucial are the “softer” investments in strengthening health-heat surveillance systems, tailoring early warning systems and data sharing for the health sector, and developing business continuity plans that ensure health service delivery and surge capacity management during heatwaves. 

    The experience of 2024 as the hottest year on the planet highlights how urgent it is to address extreme heat. Sadly, it also heralds the implications ahead.  Asia and the Pacific sweltered under multiple heatwaves in 2024, seeing power outages and disruptions to people’s lives and livelihoods across the region. 

    There’s still hope. Countries and the international community need to continue to reduce greenhouse gases as part of their climate mitigation pledges to the Paris Agreement. But equally, we have climate adaptation opportunities to embrace science, technology and people-centered approaches. 

    Applying such measures to systems-level investments in Asia and the Pacific will produce more climate-resilient energy and health outcomes under the growing severity of a warmer future.

    MIL OSI Economics –

  • MIL-OSI Europe: Spain: EIB finances with €15 million Amadix to develop innovative diagnostic tests for early cancer detection

    Source: European Investment Bank

    Amadix

    • Amadix is a Spanish biotech company developing non-invasive blood tests for early detection of several types of cancer before the symptoms appear.
    • The financing is part of the support the EIB is providing to European medtech startups developing cutting-edge medical solutions and contributes to the EIB Group strategic priority of accelerating digitalisation and technological innovation.
    • The operation is supported by InvestEU, an EU programme that aims to unlock over €372 billion in investment by 2027.

    The European Investment Bank (EIB) has signed a €15 million loan with Spanish company Amadix to support development and commercialization of innovative blood tests for early detection of several types of cancer before the appearance of symptoms. The survival rate of certain cancers such as colorectal cancer, can increase significantly if detected at an early stage.

    The EIB financing will support the research, development, and manufacture of Amadix’ products from its leading test, PreveCol, for colorectal cancer diagnosis, to the development of other pipeline products: PancreaDix and DiagnoLung, for pancreatic and lung cancer detection. The loan will also support Amadix´s international expansion plan, the clinical validation of PreveCol in the United States, and stablishing a strong presence of the company in both the European and U.S. markets.

    The Valladolid-based startup is a pioneer in applying Artificial Intelligence (AI) to early cancer detection tests. Their technology is based on an algorithm that combines clinical features identified by AI with the analysis of proteins and miRNAs in plasma for early detection of premalignant lesions. The detection and removal of these lesions can effectively prevent cancer from developing.

    “This loan shows the EIB’s commitment to support innovative European startups developing breakthrough medical solutions. We are delighted to join forces with research intense stratups like Amadix to expand the range of solutions for early detection of cancer, advance Europe’s plan to beat that illness and support the European medtech industry”. said EIB Director of Equity, Growth Capital and Project Finance Alessandro Izzo. 

    The EIB loan is guaranteed by InvestEU, the flagship EU programme to mobilise over €372 billion of additional public and private sector investment to support EU policy goals from 2021 to 2027. The project contributes to Europe’s Beating Cancer Plan and the EIB Group strategic priority of accelerating digitalisation and technological innovation.

    “It is very encouraging to see organizations like the EIB supporting companies like ours contributing to the Europe’s Beating Cancer Plan and supporting our international expansion. It will enable us to bring to the European and US market our disruptive blood tests for early cancer detection. Thanks to the EIB support, more people will have access to innovative solutions such as liquid biopsy to prevent cancer, a leading cause of death worldwide, to live longer and better”, added Rocío Arroyo, Amadix’s founder and CEO.

    The investments associated to the project will generate cutting edge scientific knowledge and retaining European scientific acumen. The project will also contribute to Europe’s competitiveness, boosting the innovative capacity of European based life science industries and businesses.

    Background information

    EIB

    The European Investment Bank (EIB) is the long-term lending institution of the European Union owned by its Member States. It finances investments that contribute towards EU policy goals. EIB projects bolster competitiveness, drive innovation, promote sustainable development, enhance social and territorial cohesion, and support a just and swift transition to climate neutrality.

    InvestEU

    The InvestEU programme provides the European Union with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps mobilise private investments for the European Union’s policy priorities, such as the European Green Deal and the digital transition. The InvestEU programme brings together under one roof the multitude of EU financial instruments currently available to support investment in the European Union, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub and the InvestEU Portal. The InvestEU Fund is implemented through financial partners that will invest in projects using the EU budget guarantee of €26.2 billion. The entire budget guarantee will back the investment projects of the implementing partners, increase their risk-bearing capacity and thus mobilise at least €372 billion in additional investment.”

    Amadix

    Amadix is a leading molecular diagnostics company focused on liquid biopsy, developing innovative blood tests for early cancer detection. The company´s mission is to extend people´s lives by developing disruptive technologies that can detect tumours years in advance before the symptoms appear.  Amadix´s approach combines molecular data from blood samples with patient’s clinical information, extracted from diagnostic images and electronic medical records. Their technology, based on machine learning algorithms, is designed for use in screening and health prevention programmes, positioning itself as a complementary tool to promote precision medicine and cancer prevention.

    AMADIX (IEU TI)
    EIB finances with €15 million Amadix to develop innovative diagnostic tests for early cancer detection
    ©Amadix
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    European Commission logo EN
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    MIL OSI Europe News –

  • MIL-OSI Europe: Highlights – European Parliamentary Week 2025 – Committee on Economic and Monetary Affairs

    Source: European Parliament

    The European Parliamentary Week (EPW) 2025, co-organised by the European Parliament, the Polish Seijm and the Polish Senate, will take place on 17 and 18 February 2025 at the European Parliament in Brussels. The event brings together parliamentarians from the EU, candidate and observer countries to discuss economic, budgetary and social matters.

    On Monday 17 February, the ECON Committee ICM (16.20 – 19.20 CET) will be dedicated to “The future of Banking Union and Capital Markets Union” and to ” Creating an ecosystem for European investments”. In the first panel, parliamentarians will exchange views with Julia SYMON (Finance Watch), Édouard FERNANDEZ BOLLO (Former-member of the Supervisory Board of the ECB), and Anastasia KOTOVSKAIA (Centre for European Policy). The second panel features Ms Iliyana TSANOVA, (Chief Risk Officer, European Commission), Hélène BUSSIERES (Head of the Asset Management Unit, DG FISMA, European Commission), and Roxana DE CARVALHO (ESMA).

    On the second day, two plenary sessions will cover “The Improvement of EU’s competitiveness through the single market, innovation policy, better regulation and quality jobs” with Mario Draghi as key speaker and the lessons learned from “The first national plans under the revised Economic Governance Framework”.

    MIL OSI Europe News –

  • MIL-OSI United Kingdom: Leeds Apprenticeship Recruitment Fair returns to first direct arena Leeds

    Source: City of Leeds

    The Leeds Apprenticeship Recruitment Fair takes place this week, showcasing a range of paid employment and educational opportunities from across Leeds and the wider region.

    Everyone is welcome at the free-to-attend event, organised by Leeds City Council, which is being held at the first direct arena Leeds, between 1-7pm on Wednesday, 12th February 2025.

    On the day, over 100 exhibitors will be providing information, advice, and live apprenticeship vacancies. 

    Visitors can find out about the different types of apprenticeships on offer, what they involve, and how they work, including higher and degree apprenticeships.   

    A wide range of sectors will be represented at the fair, including accounting, business and administration, catering and hospitality, construction, creative design, care services, digital, education, engineering, finance, hair and beauty, health, law, protective services and many more.

    Deputy leader and executive member for economy, transport and sustainable development, Councillor Jonathan Pryor, said: “Apprenticeships offer something for everyone, from hands-on learning to degree-level qualifications, providing a fantastic route into a wide range of careers. 

    “Over the years, this fair has aided the journey of thousands of people into highly skilled and rewarding jobs. As the fastest-growing city in England, we continue to attract more quality employers each year, which is reflected in the range of apprenticeship opportunities to be showcased at this year’s fair. 

    “I would recommend anyone considering an apprenticeship to attend and find out more about opportunities in Leeds.”

    Exhibitors who will be there on the day to showcase their apprenticeship opportunities include Springfield Training, Leeds Manufacturing Festival, Jet2, Appris, Bank of England, CML, Royal Navy, KPMG, The Coders Guild, JCT 600, plus many more.  

    The event is free to attend, and everyone is welcome. Tickets are available to book online in advance at: https://bit.ly/larf25

    MIL OSI United Kingdom –

  • MIL-OSI: Municipality Finance issues EUR 10 million notes under its MTN programme

    Source: GlobeNewswire (MIL-OSI)

    Municipality Finance Plc
    Stock exchange release
    10 February 2025 at 10:00 am (EET)

    Municipality Finance issues EUR 10 million notes under its MTN programme

    Municipality Finance Plc issues EUR 10 million notes on 11 February 2025. The maturity date of the notes is 11 February 2035. The notes bear interest at a fixed rate of 2.819% per annum.

    The notes are issued under MuniFin’s EUR 50 billion programme for the issuance of debt instruments. The offering circular, the supplemental offering circular and the final terms of the notes are available in English on the company’s website at https://www.kuntarahoitus.fi/en/for-investors.

    MuniFin has applied for the notes to be admitted to trading on the Helsinki Stock Exchange maintained by Nasdaq Helsinki. The public trading is expected to commence on 11 February 2025.

    ABN AMRO Bank N.V. plc acts as the dealer for the issue of the notes.

    MUNICIPALITY FINANCE PLC

    Further information:

    Joakim Holmström
    Executive Vice President, Capital Markets and Sustainability
    tel. +358 50 444 3638

    MuniFin (Municipality Finance Plc) is one of Finland’s largest credit institutions. The company is owned by Finnish municipalities, the public sector pension fund Keva and the Republic of Finland.
    The Group’s balance sheet totals over EUR 50 billion.

    MuniFin builds a better and more sustainable future with its customers. MuniFin’s customers include municipalities, joint municipal authorities, wellbeing services counties, corporate entities under their control, and non-profit organisations nominated by the Housing Finance and Development Centre of Finland (ARA). Lending is used for environmentally and socially responsible investment targets such as public transportation, sustainable buildings, hospitals and healthcare centres, schools and day care centres, and homes for people with special needs.

    MuniFin’s customers are domestic but the company operates in a completely global business environment. The company is an active Finnish bond issuer in international capital markets and the first Finnish green and social bond issuer. The funding is exclusively guaranteed by the Municipal Guarantee Board.

    Read more: https://www.kuntarahoitus.fi/en/

    Important Information

    The information contained herein is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into any such country or jurisdiction or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, any securities or other financial instruments in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

    This communication does not constitute an offer of securities for sale in the United States. The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

    The MIL Network –

  • MIL-OSI: Oma Savings Bank Plc’s Financial Statements Release 1 January – 31 December 2024: The year ended with a fourth quarter in line with expectations – comparable profit before taxes was strong for 2024

    Source: GlobeNewswire (MIL-OSI)

    OMA SAVINGS BANK PLC, STOCK EXCHANGE RELEASE 10 FEBRUARY 2025 AT 9.15 A.M. EET, FINANCIAL STATEMENTS RELEASE

    Oma Savings Bank Plc’s Financial Statements Release 1 January – 31 December 2024: The year ended with a fourth quarter in line with expectations – comparable profit before taxes was strong for 2024

    This release is a summary of Oma Savings Bank’s (OmaSp) January-December 2024 Financial Statements Release, which can be read from the pdf file attached to this stock exchange release and on the Company’s web pages www.omasp.fi

    CEO Sarianna Liiri:
    “The year 2024 has been very exceptional in the history of OmaSp. Both main sources of income developed in line with expectations and the year ended with a good quarter. Significant investments in the development of risk management processes and the implementation of an extensive action plan continued. The acquisition of Handelsbanken AB’s Finnish SME business and the expansion of the distribution network strengthened OmaSp’s market position towards the end of the year and provide a good starting point for the year beginning.

    The comparable profit before taxes was EUR 27.9 million for the fourth quarter and the comparable return on equity was 15.6 percent.

    As expected, changes in market interest rates were reflected in the development of net interest income, and in the last quarter net interest income fell by 11 percent from the comparison period. The net interest income increased by 8 percent for the whole year. Our customers value our personal and easily accessible service model. This is reflected in the development of the number of customers, which remained despite an exceptional year at a good level. With Handelsbanken’s business acquisition, OmaSp gained approximately 10,000 new customers in the autumn, and in addition to this, approximately 1,000 new customer relationships were organically created every month. In particular, fee and commission income and expenses net were increased by card and payment fees, which increased by 16 percent from the previous year. Fee and commission income and expenses net increased by 8 percent in the last quarter and by 7 percent for the full year. At the end of the year, the business focus has been especially on the reception of customers who have transferred from Handelsbanken and the start of operations in three new branches. With the expanded distribution network OmaSp now has excellent coverage in all of Finland’s key growth and provincial centers.

    OmaSp’s loan portfolio and deposit base were boosted by volumes transferred from Handelsbanken. The portfolio of housing loans grew by 5 percent, corporate loan portfolio by 8 percent and deposits by 6 percent from a year ago.

    Accumulation of impairment losses on financial assets was significantly affected by non-compliance with the guidelines and related additional allowances. In 2024, credit losses amounted to approximately EUR 84 million, of which approximately EUR 64 million were related to non-compliance with the guidelines. In the last quarter, the credit loss level remained at last year’s level.

    The Company has continued to make significant investments in risk management and the implementation of the action plan launched in the summer. As a result, the cost level remained high in the last quarter of the year. An additional EUR 5.4 million was invested in risk management processes in October–December and comparable costs increased by 44 percent during the fourth quarter. Expenses were also increased by the increased number of personnel. During the financial year, the Financial Supervisory Authority (FIN-FSA) carried out audits of the Company. Based on the audits, the observations raised by the supervisor and the development targets already identified by the Company itself support each other. The measures to develop the processes are proceeding well on schedule and the goal is to complete the development measures planned during 2024 in the first half of 2025.

    The comparable cost/income ratio remains at a good level despite significant investments and was 47.7 percent in the last quarter.

    Customer and personnel satisfaction at the center of everything
    OmaSp’s competitive advantage has been and will continue to be built on excellent customer experience. According to research, customer and personnel satisfaction have remained at an excellent level as in previous years, despite the exceptional year. Our personnel are our most essential resource, so committed and motivated personnel play a vitally important role for OmaSp’s future success. The renewed board of the Company started its work in December, and we have got five experienced board experts to strengthen the bank’s operations. In addition, the Company’s new CEO, Karri Alameri, will start his work in April at the latest.

    OmaSp’s financial position is stable, and the Company’s solvency and liquidity position is at a good level. The total capital (TC) ratio was 15.6 percent at the end of the year and the accumulation of equity is nearly EUR 580 million.

    After the changes implemented in 2024, we will now be able to focus on our core business and strengthen the customer experience of our existing and new customers. OmaSp’s ambition is to enable and solve the needs of households and small and medium-sized enterprises in all areas of the bank’s operations. In February, the history of OmaSp stretches back 150 years. From these strong starting points, we will continue in 2025 with confidence.

    Warm thanks to all customers and owners, and especially to OmaSp’s personnel for 2024!”

    January-December 2024
    • Oma Savings Bank Plc’s Extraordinary General Meeting was held on 10 December 2024. The Extraordinary General Meeting confirmed on the remuneration, number and composition of the members of the Board of Directors. The number of members of the Board of Directors was confirmed to be eight, i.e. the number of members increased by one. Aki Jaskari, Jaakko Ossa and Jaana Sandström were re-elected as Board members and Juhana Brotherus, Irma Gillberg-Hjelt, Carl Pettersson, Kati Riikonen and Juha Volotinen were elected as new members.
    • The Company’s Board of Directors appointed Karri Alameri, B.Sc. (Econ.), CEFA as the Company’s new CEO on 30 September 2024. Alameri will start his position no later than 1 April 2025.
    • On 1 September 2024, the Company completed the acquisition of Svenska Handelsbanken AB’s SME business in Finland as planned. The deposit portfolio transferred to the Company was approximately EUR 440 million and the loan portfolio approximately EUR 500 million. A goodwill of EUR 15.3 million was recognised from the acquisition. Approximately 10,000 customers transferred to the Company in the acquisition, and at the same time 30 people transferred to the Company as old employees.
    • During the second quarter, the Company launched an extensive risk management action plan (the “Noste”), which has been implemented according to plan.
    • In January–December, net interest income grew 8.1% compared with the same period last year. Net interest income totalled EUR 213.1 (197.0) million. In the last quarter, net interest income decreased by 10.5% compared to the comparison period.
    • Home mortgage portfolio increased by 5.0% during the previous 12 months. Corporate loan portfolio increased by 8.0% during the previous 12 months.
    • Deposit base increased by 5.5% over the past 12 months.
    • In January-December, fee and commission income and expenses (net) increased due to volume growth by 7.0%. In the last quarter, fee and commission income and expenses (net) increased by 7.5% compared to the comparison period.
    • In January–December, total operating income grew by 9.3% compared to the comparison period. In the last quarter, comparable total operating income remained at the same level compared to the last quarter and was EUR 68.2 (69.4) million.
    • In January-December, total operating expenses grew in total by 22.6%. The growth is mainly explained by expenses arising from business arrangements as well as from extensive risk management development projects and investigation costs related to non-compliance with the guidelines. In addition, the number of personnel increased during the year due to the business arrangements, the opening of new branches and the strengthening of risk management processes. Other operating expenses were in total EUR 69.3 (52.5) million, of which the development costs of the risk management action plan and investigation costs related to non-compliance with the guidelines amounted to EUR 11.8 million.
    • Comparable total operating expenses grew by 44.0% in the last quarter and were EUR 32.4 (22.5) million. Of this the risk management action plan (the ”Noste”) amounted to EUR 5.4 million.
    • For January-December, the impairment losses on financial assets were in total EUR -83.4 (-17.1) million. A total of EUR 64.4 million in impairment losses on financial assets were recorded in relation to non-compliance with the guidelines, of which EUR 4.9 million was final impairment losses on financial assets. Impairment losses on financial assets amounted to EUR 7.6 (7.3) million in the last quarter.
    • For January-December, profit before taxes was EUR 74.6 (138.0) million. For the last quarter, profit before taxes was EUR 22.6 (35.5) million.
    • In January-December, comparable profit before taxes was EUR 86.7 (143.6) million. For the last quarter, comparable profit before taxes was EUR 27.9 (38.8) million.
    • In January-December, cost/income ratio was 41.3 (36.9)%. In the last quarter, cost/income ratio was 52.9 (35.4)%. In January-December, comparable cost/income ratio was 37.8 (35.1)%. In the last quarter, comparable cost/income ratio was 47.7 (32.8)%.
    • In January-December, comparable return on equity (ROE) was 12.4 (25.3)%. For the last quarter, comparable return on equity (ROE) was 15.6 (23.5)%.
    • Total capital (TC) ratio was 15.6 (16.5)%.

    The Group’s key figures (1,000 euros) 1–12/2024 1–12/2023 Δ% 2024 Q4 2023 Q4 Δ%
    Net interest income 213,097 197,045 8% 50,913 56,907 -11%
    Fee and commission income and expenses, net 50,745 47,421 7% 13,105 12,188 8%
    Total operating income 270,068 247,067 9% 64,381 67,190 -4%
    Total operating expenses -111,004 -90,550 23% -33,917 -23,483 44%
    Impairment losses on financial assets, net -83,379 -17,126 387% -7,572 -7,269 4%
    Profit before taxes 74,589 138,048 -46% 22,582 35,546 -36%
    Cost/income ratio, % 41.3% 36.9% 12% 52.9% 35.4% 49%
    Balance sheet total 7,709,090 7,642,906 1% 7,709,090 7,642,906 1%
    Equity 576,143 541,052 6% 576,143 541,052 6%
    Return on assets (ROA) % 0.8% 1.6% -52% 0.9% 1.5% -40%
    Return on equity (ROE) % 10.7% 24.3% -56% 12.6% 21.5% -41%
    Earnings per share (EPS), EUR 1.80 3.49 -48% 0.54 0.85 -36%
    Total capital (TC) ratio % 15.6% 16.5% -6% 15.6% 16.5% -6%
    Common Equity Tier 1 (CET1) capital ratio % 14.4% 14.9% -3% 14.4% 14.9% -3%
                 
    Comparable profit before taxes 86,656 143,609 -40% 27,945 38,790 -28%
    Comparable cost/income ratio, % 37.8% 35.1% 8% 47.7% 32.8% 45%
    Comparable return on equity (ROE) % 12.4% 25.3% -51% 15.6% 23.5% -34%

    Outlook for the financial year 2025:
    The Company’s business outlook for the financial year 2025 will be affected by lower market interest rates and the continued high cost level due to IT investments and system improvements required by risk management and quality processes. In addition, the Company continues to invest in customer experience on different channels. The uncertainty of the operating environment and economic situation affects the development of balance sheet items and comparable profit for the financial year 2025.

    Oma Savings Bank Plc provides earnings guidance on comparable profit before taxes for 2025. Earnings guidance is based on the forecast for the entire year, which takes into account the current market and business situation. Forecasts are based on the management’s insight into the Group’s business development.

    We estimate the Group’s comparable profit before taxes to be EUR 65-80 million for the financial year 2025 (comparable profit before taxes was EUR 86.7 million in the financial year 2024).

    Board of Directors’ proposal for the distribution of profit to AGM
    The Board of Directors proposes to the Annual General Meeting a dividend in accordance with the dividend policy, at least 20% of the Company’s net profit. The proposal for the distribution of profit aims to increase capital buffers and maintain strong liquidity. The Board of Directors proposes that, on the basis of the Financial Statements to be adopted for 2024, a dividend of EUR 0.36 be paid from the Parent Company’s distributable profits for each share entitled to a dividend for 2024.

    The proposed record date for dividends would be 10 April 2025 and the payment date 17 April 2025.

    No material changes have taken place in the Company’s financial position after the financial year. The Company’s liquidity is good, and the proposed profit distribution does not compromise the Company’s liquidity according to the Board of Directors’ insight.

    General Meeting 
    The Annual General Meeting is scheduled to be held on 8 April 2024. The Company’s Board of Directors will convene the Annual General Meeting separately at a later date.

    Oma Savings Bank Plc

    Additional information:
    Sarianna Liiri, CEO, puh. +358 40 835 6712, sarianna.liiri@omasp.fi
    Minna Sillanpää, CCO, tel. +358 50 66592, minna.sillanpaa@omasp.fi

    DISTRIBUTION
    Nasdaq Helsinki Ltd
    Major media
    www.omasp.fi

    OmaSp is a solvent and profitable Finnish bank. About 500 professionals provide nationwide services through OmaSp’s 48 branch offices and digital service channels to over 200,000 private and corporate customers. OmaSp focuses primarily on retail banking operations and provides its clients with a broad range of banking services both through its own balance sheet as well as by acting as an intermediary for its partners’ products. The intermediated products include credit, investment and loan insurance products. OmaSp is also engaged in mortgage banking operations.

    OmaSp core idea is to provide personal service and to be local and close to its customers, both in digital and traditional channels. OmaSp strives to offer premium level customer experience through personal service and easy accessibility. In addition, the development of the operations and services is customer-oriented. The personnel is committed and OmaSp seeks to support their career development with versatile tasks and continuous development. A substantial part of the personnel also own shares in OmaSp.

    Attachment

    The MIL Network –

  • MIL-OSI Economics: ADB and Local Currency Financing: A 20-Year Journey

    Source: Asia Development Bank

    •  ADB’s pioneering efforts in issuing local currency bonds over the past 20 years have not only mitigated currency risks for borrowers but also opened local markets to foreign investment and development finance.
    •  Innovations like currency-linked bonds and the rapid development of derivative markets have enhanced liquidity and enabled tailored funding solutions, significantly advancing local currency financing in Asia and the Pacific.
    •  Local currency finance, initially focused on private sector loans, is expanding into sovereign lending, signaling ADB’s evolving role in fostering financial innovation and development across the region.

    Twenty years ago, ADB issued its first local currency bond. The Indian rupee bond represented about $110 million equivalent at the time. Over the following three years, ADB raised funding from onshore bond issues in Malaysian ringgit, Thai baht, Chinese renminbi and Philippine peso – acting as an “icebreaker” to open these markets to foreign issuers.

    Such borrowing exercises introduced a new funding stream for ADB’s development assistance, allowing borrowers to mitigate potential currency risks associated with borrowing in foreign currencies.

    Fast forward to today, and local currency finance has gone mainstream. Development partners are no longer surprised when ADB issues bonds denominated in currencies as diverse as the Azerbaijan manat, the Indonesian rupiah or the Mongolian togrog and they recognize the invaluable role that local currency finance plays in crowding in foreign investment to developing countries.

    About a third of ADB’s private sector loans are currently delivered in local currencies, with the Thai baht, Indian rupee, Chinese renminbi, Kazakhstan tenge, and Georgian lari featuring prominently. ADB’s aggregate local currency portfolio reached more than $3.75 billion equivalent as of 31 October 2024 across more than 15 local currencies with local currency loans expected to reach 50% of private sector lending over the next years.

    What has catalyzed local currency finance?

    Over the last 20 years, local capital markets have evolved and developed significantly  across Asia and the Pacific. These developments were driven by the experience of the 1997/98 Asian financial crisis, which was at least partially caused by excessive foreign currency exposures.

    Since then, regulators, banks, and investors have made significant strides to develop local currency bond markets and improve the local currency capital market infrastructure.

    Over the last 20 years, local capital markets have evolved and developed significantly across Asia and the Pacific.

    ADB can reach certain target borrowers more effectively when it offers loans in their own currencies rather than in dollars, euros, or yen. For many of the projects that ADB supports, foreign currency denominated loans would not be feasible: a dairy business owner in Mongolia has no understanding of the risks involved in borrowing a foreign currency. Equally, a female worker in rural Kazakhstan would not begin to consider borrowing a home loan in a foreign currency. For both of these projects, ADB was able to provide suitable local currency financing solutions to meet borrower needs and avoid foreign currency mismatches.

    Importantly, the rapid development of derivative markets in the region, which include the availability of both interest rate and cross-currency swaps in several markets, has facilitated the management of liquidity by decoupling funding and disbursement transactions, while also allowing for tailored back-to-back funding transactions.

    The availability of longer-tenor financing solutions has also improved significantly in a number of the more developed Asian markets: for example, ADB was able to derive a 20-year Thai baht funding solution through the cross-currency swap market to finance a project in Lao People’s Democratic Republic, which delivered a perfect hedge for the borrower.

    Similar liquidity of varying tenors is now available in swap and bond markets in the People’s Republic of China (PRC), India, Indonesia, Malaysia, and the Philippines.

    A capital market innovation: the emergence of currency-linked bonds

    Another important innovation has also improved the availability of local currency financing: the so-called “currency-linked bond” has been a game changer for development finance.  In essence, this is a debt security denominated in a local currency but settled in US dollars.

    It relies on international documentation usually under English law, settlement occurs in international central securities depositaries, and the bonds are listed on major international stock exchanges. The impact of such structures is to crowd in international investors into local currencies by providing an easily accessible trading infrastructure.

    ADB issued its first Indian rupee currency-linked bond in 2014 and since then has issued such instruments in Armenian dram, Azerbaijan manat, Georgian lari, Indonesian rupiah, Kazakhstan tenge, Kyrgyz sum, Mongolian togrog, Pakistan rupees and Philippine pesos. In Indian rupees alone, ADB has raised more than one billion US dollars equivalent to finance private sector projects.

    Issuing innovative local currency bonds

    In countries such as Georgia and Kazakhstan where the environment is enabled, ADB has issued multiple domestic bonds including fixed rate, floating rate and even inflation-linked. Furthermore, ADB auctioned the first green (2020) and gender (2021) bonds on the Kazakhstan Stock Exchange, delivering a new asset class to the local market.

    In Georgia, ADB was the first organization to issue its domestic bonds through the Georgian Securities Settlement System (GSSS) in 2015, which operates delivery versus payment Real Time Gross Settlements (RTGS) with central bank money through the National Bank of Georgia.

    In Kazakhstan, ADB settled its domestically issued bonds through the Kazakhstan Securities Depositary, which crucially has an operational “bridge” with Clearstream in Luxembourg.

    These innovations have fostered knowledge sharing and the shift of local currency issuance infrastructure towards international best practices.

    Creating local currency liquidity pools

    Liquidity pools are commonly used to warehouse the proceeds of bond issues in mainstream currencies until project disbursements happen. ADB has developed liquidity pools in Chinese renminbi and Indian rupees, which have played an important role in shepherding in high levels of local currency development finance by providing continuous availability of funding, decoupling such availability from any specific funding transactions Further liquidity pools are in the making, as ADB’s pipelines in local currency grow and evolve.

    Working closely with national regulators and market participants, ADB’s engagement in local currency markets over the last 20 years has made significant progress.

    The next frontier: sovereign local currency loans

    Local currency finance is already well established as a financing source for ADB’s private sector loans, but it has been deployed much less in the sovereign context, which for ADB represents the largest share of lending activity. A number of sovereign borrowers have recently started to avail  local currency solutions from ADB, including a recently  completed $1.45 billion sovereign local currency loan conversion.

    Working closely with national regulators and market participants, ADB’s engagement in local currency markets over the last 20 years has made significant progress: ADB is now able to offer funding solutions in more than 15 local currencies in Asia and the Pacific. As local currency markets will further develop, the future of local currency financing in the Asia-Pacific region looks bright. 

    Authors: Roberta Casali, ADB Vice-President for Finance and Risk; Tobias Hoschka, ADB Treasurer; Jonathan Grosvenor, former ADB Assistant Treasurer

    SHARE THIS PAGE
    Subjects
    • ADB funds and products
    • Finance sector development

    MIL OSI Economics –

  • MIL-OSI China: Announcement on Open Market Operations No.25 [2025]

    Source: Peoples Bank of China

    Announcement on Open Market Operations No.25 [2025]

    (Open Market Operations Office, February 10, 2025)

    In order to keep liquidity adequate in the banking system, the People’s Bank of China conducted reverse repo operations in the amount of RMB215 billion through quantity bidding at a fixed interest rate on February 10, 2025.

    Details of the Reverse Repo Operations

    Maturity

    Volume

    Rate

    7 days

    RMB215 billion

    1.50%

    Date of last update Nov. 29 2018

    2025年02月10日

    MIL OSI China News –

  • MIL-OSI: Netcompany enters into an agreement with SDC to create ‘the future of banking services’

    Source: GlobeNewswire (MIL-OSI)

    Company announcement (inside information)
    No. 09/2025

                                                     10 February 2025

    Netcompany Group A/S (“Netcompany”), SDC A/S, (“SDC”), and a majority part of the shareholders of SDC have today entered into an agreement of a transaction whereby a newly formed company of Netcompany and SDC will merge into a combined company fully owned by Netcompany. Together, Netcompany and SDC will create innovative and best-in-class banking solutions and services to the benefit of current banks running on SDC’s platform, as well as for new banks to be onboarded to the platform in the future.

    The transaction values SDC at DKK 1 billion and will include a cash payment of DKK 1 billion from Netcompany to SDC’s shareholders. The cash consideration is funded by way of utilising current credit facilities.

    Closing of the transaction is expected to take place around mid-2025, subject to regulatory and other customary conditions.

    Strategic rationale
    The transaction with SDC provides a strong foothold for Netcompany in the financial services industry, which is the highest spending vertical within IT services in Europe. In 2025, the total addressable market in DK, NO, and SE is estimated to be more than DKK 44 billion and the market is expected to grow more than 10% annually towards 2028, supporting Netcompany’s ambition of delivering continued sustainable organic growth.

    Within the financial services industry, Netcompany offers a solid product and platform suite, including AMPLIO, mit.dk, AMI and EASLEY, combined with products from Festina Finance such as Festina Advisor and Festina Life and Pension. These products and platforms supplemented by SDC’s core banking platform will be the foundation of ‘the future of banking services’. Together, Netcompany and SDC will improve the banking experience for bank customers, as well as bank employees and advisors, by introducing improved and personalised advice, self-service solutions, and end-to-end digital processes to support activities such as housing journeys and onboarding, through new industry-specific and vendor-independent banking services.

    Following the transaction, the combined workforce of Netcompany and SDC is more than 9,200 FTEs.

    André Rogaczewski, CEO Netcompany states:
    “I am thrilled to announce that we have successfully agreed on a transaction with the majority shareholders of SDC. This strategic move marks a significant milestone for Netcompany, and it aligns with our Go-To-Market strategy to expand our capabilities and enhance our service offerings within the financial services industry.
    Digitalisation is the key driver for strengthening Europe’s most critical societal areas – including the financial services industry. Netcompany already provides the digital foundation with our products and platforms in the areas of pension, customs and tax, transport and logistics, and now we are going to do the same in the financial services industry. With SDC’s core banking platform and Netcompany’s innovative DNA, products, and platforms, we are looking into unprecedented opportunities for the entire banking sector. The goal of this transaction is to create innovative and best-in-class services in Denmark, Scandinavia, and the rest of Europe, to the benefit of current and future customers, thereby adding substantial value for our shareholders and stakeholders.”

    Klaus Skjødt, Chair SDC states:
    “This is a significant milestone in SDC’s history, as we are now building upon past investments in the market’s most modern core banking platform and future-proofed online and mobile banking. Together with Netcompany, we have a shared ambition to make the banking sector a driving force for digital innovation, setting new standards for the advice and service customers can expect from their bank. We will achieve the scale and development power necessary to enhance our competitiveness and create the market’s strongest banking experience.”

    About SDC

    • SDC is a prominent IT service provider headquartered in Ballerup, Denmark, specialising in delivering comprehensive IT solutions to the financial services industry across the Nordic region.
    • SDC was founded in 1963 and offers a wide range of services, including core banking systems, digital banking solutions, and regulatory compliance tools.
    • At the end of 2024 SDC’s workforce counted 980 FTEs in three countries.
    • Prior to closing of the transaction, SDC is owned by its member banks. SDC functions as the internal IT department of the member banks, which are also in turn customers of SDC, as well as other commercial non-member banks.
    • In 2023, SDC realised revenue of DKK 1,837 million and EBITDA of DKK 286.8 million.
    • For additional information: https://www.sdc.dk/

    About Netcompany

    • Netcompany is a leading IT services company headquartered in Copenhagen, Denmark, with a strong focus on digital transformation in Europe.
    • Netcompany was founded in 2000 and delivers innovative and high-quality solutions to both public and private sector clients.
    • At the end of 2024 Netcompany’s workforce counted 8,260 FTEs in nine countries.
    • In 2024, Netcompany realised revenue of DKK 6,540.6 million and adjusted EBITDA of DKK 1,097.9 million in 2024.
    • For additional information: https://www.netcompany.com/

    Summary of the transaction

    • Netcompany will acquire 100% of the shares in SDC for a cash consideration at closing of DKK 1 billion.
    • Netcompany will make the acquisition through a newly formed company – Netcompany Banking Services A/S – which will be merging with SDC and as a consequence resulting in a fully owned subsidiary of Netcompany in which the activities of SDC are fully embedded.
    • The cash consideration is funded by way of utilising current credit facilities. The transaction will be fully debt financed within the existing covenants.
    • Due to integration costs, the transaction is expected to have a dilutive impact on EPS for the financial year 2025.
    • The transaction is expected to be EPS accretive to Netcompany from 2026 compared to 2024. Furthermore, the transaction is expected to be double-digit percentage EPS accretive by 2028 – also compared to 2024.
    • The transaction is subject to regulatory approvals in Denmark, Norway, and Faroe Island and other customary conditions.
    • Netcompany and the majority shareholders, who will continue as customers in the newly formed company after closing, will enter into a commercial IT-framework agreement (to enter into effect after closing) based on an already agreed term sheet. The agreed term sheet includes key provisions on the continued delivery of the current as-is services on a commercial market conform delivery and payment basis, a governance model with continued involvement of Netcompany and the bank customers, a fair and market-based exit model, and the transformation of the SDC platform to create ‘the future of banking services’.
    • As the agreed transaction structure is set as a merger, the closing of the transaction will formally require a two-thirds approval at a general meeting in both Netcompany’s newly formed company and SDC. The majority shareholders representing 70.94% of the outstanding share capital and voting rights in SDC have at signing of the agreement with Netcompany irrevocably provided their commitment to vote for the merger.
    • The remaining shareholders, and customers of SDC, will be given the opportunity to enter into a commercial IT-framework agreement with Netcompany on the same terms as the majority shareholders and irrevocably provide their approval to vote for the merger.

    Financial Guidance
    Financial guidance for 2025 for Netcompany on a stand-alone basis, as provided in the Annual Report 2024, is based on organic performance metrics and hence maintained. Organic revenue growth is expected between 5% and 10% and adjusted EBITDA margin between 16% and 19%.

    Netcompany expects to reinitiate it’s share buyback programmes after closing of the transaction and expects leverage at the end of 2025 to be around 1.5x.

    Webcast
    In connection with the publication of the merger, Netcompany will host a conference call on Monday, 10 February 2025 at 8.15 am CET. The conference call will be held in English and can be followed live via the company’s website; www.netcompany.com

    Dial-in details for investors and analysts:
    DK: +45 78 76 84 90
    UK: +44 20 3769 6819
    US: +1 646 787 0157

    PIN: 598046

    Webcast Player URL: https://netcompany-as.eventcdn.net/events/webcast-10-februar-2025

    Additional information
    For additional information, please contact:

    Netcompany Group A/S
    Thomas Johansen, CFO, +45 51 19 32 24
    Frederikke Linde, Head of IR, +45 60 62 60 87

    Disclaimer
    This announcement contains forward-looking statements that reflect Netcompany’s current expectations and views of future events. Some of these forward-looking statements can be identified by terms and phrases such as “estimate”, “expect”, “target”, “plan”, “project”, “will” and similar expressions. These forward-looking statements include statements relating to: the expected characteristics of the combined company; expected financial results and characteristics of the combined company; expected timing of the launch and closing of the proposed transaction and satisfaction of conditions precedent, including -regulatory conditions; and the expected benefits of the proposed transaction, including related synergies. These forward-looking statements are subject to a number of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from such statements. These forward-looking statements are based on our beliefs, assumptions, and expectations of future performance, taking into account the information currently available to us. These statements are only predictions based upon our current expectations and projections about future events. Risks and uncertainties include: the ability of Netcompany to integrate SDC into Netcompany’s operations; the performance of the global economy; the capacity for growth in internet and technology usage; the consolidation and convergence of the industry, its suppliers and its customers; the effect of changes in governmental regulations; disruption from the proposed transaction making it more difficult to maintain relationships with customers, employees or suppliers; and the impact on the combined company (after giving effect to the proposed transaction with SDC and the shareholders of SDC) of any of the foregoing risks or forward-looking statements, as well as other risk factors listed from time to time in Netcompany’s public disclosures. The forward-looking statements should be read in conjunction with the other cautionary statements that are included elsewhere, including the risk factors included in any public disclosures of Netcompany. Any forward-looking statements made in this announcement are qualified in their entirety by these cautionary statements, and there can be no assurance that the actual results or developments anticipated by us will be realised or, even if substantially realised, that they will have the expected consequences to, or effects on, us or our business or operations. Except as required by law, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

    Attachment

    The MIL Network –

  • MIL-OSI USA: ICYMI—Hagerty Joins Face the Nation on CBS to Discuss Trump’s Government Reform

    US Senate News:

    Source: United States Senator for Tennessee Bill Hagerty

    PALM BEACH, FL—United States Senator Bill Hagerty (R-TN), a member of the Senate Appropriations, Banking, and Foreign Relations Committees and former U.S. Ambassador to Japan, today joined Face the Nation on CBS to discuss President Donald Trump reforming the Executive Branch through eliminating wasteful spending and unnecessary government programs.

    *Click the photo above or here to watch*

    Partial Transcript

    Hagerty on Trump’s buyout to federal workers: “Eventually, it will save taxpayers money. I think what President Trump is trying to do is be humane in the process of allowing them to make plans to find other employment. But I certainly think the government is far too big, far too bloated, and we’re on a path now to start to see it shrink. This is the first step only, but we’re moving in the right direction […] What we’ll see, Margaret is each agency go through a top to bottom review to decide exactly what they need to do to deliver on behalf of the American public. As you know, there’s been a lot of consternation and pearl clutching about the activities of Elon Musk and his team, but their charge, led by President Trump, is to go in and find efficiencies, find opportunities, and frankly, deliver more of taxpayer dollars to the actual programs that are intended, less to overhead an Administration […] I’m from the private sector, Margaret, my entire background has been in business. This is the way you do it. You come in, you look at the opportunities before you—President Trump has brought a new Administration in—this is not unusual to take a hard look at these programs and also to look for opportunities to cut bloat and waste. Look, we’re 36 trillion dollars in debt. Clearly, the American public Needs to see more accountability, more visibility, more performance for their taxpayer dollars.”

    Hagerty on bringing accountability to the CFPB: “I’ve had significant conversations with Russ Vought, who is our new [Office of Management and Budget] Director. The [Consumer Financial Protection Bureau] has been out of control for some time. The way it’s designed, I think is unconstitutional. It has no oversight; it’s been basically a reckless agency that’s been allowed to go way beyond any mandate that I think was originally intended. So, it’s time to rein it in, and I’m applauding anything that we can do to bring more stability, more control to the federal government, and take agencies like this back into some sort of sense of accountability and oversight […] It was established as an agency that does not have the jurisdiction of the Congress. Its funding source is separate from us. It has no accountability. This is not the type of agency I think that the founding fathers contemplated. We actually contemplated a balance of power. Yet, this rogue agency has been created, and frankly, it’s been used as a tool to come in and just hammer the American private sector and pursue initiatives that certain people like Rohit Chopra might have approved, or that Senator Elizabeth Warren might have approved, but this is not the way the American public should be funding and supporting programs of this nature.”

    Hagerty on the need to reform USAID funding: “I think there’s a tremendous appetite to do it, Margaret, because what we want to see is alignment of our programs with America’s National Security interest. USAID has been out of control. I’ve demanded accountability from [USAID], they’ve refused it. As an appropriator, I’ve asked them to be very clear about, for example, their role funding Hamas and Gaza. They would not comply. They will not tell us what they do. Now that we start to find out some of the programs that [USAID] has been funding—if you think about it, sex change operations in Guatemala, LGBTQ programs in Serbia […] And that is not true, Margaret. I couldn’t get the Secretary of State [Blinken]—I asked him three times to tell me that we were not funding Hamas through [USAID]. He couldn’t do it, and frankly, what we found is that we have been funding [terrorism] […] Certainly, the funds that have gone to UNRWA. You saw the UNRWA members who were also Hamas members […] [UNWRA is] supporting terrorist groups. And if you look at what UNRWA has done, it’s been so counter to our national interest. It’s unbelievable that we would fund it.”

    Hagerty on reciprocity in trade agreements: “I talked with President Trump on Friday about this broadly, Margaret. This is a concern that he has had for some time. As you know, I served in his previous Administration and worked my heart out to get two trade agreements executed with Japan. I was the U.S. Ambassador to Japan in his Administration. Here’s what we’re trying to deal with, and it goes all the way back to World War II, in the aftermath, we made very favorable terms of trade with countries whose economies have devastated in Europe and Japan. We should have time limited that. We should have put some type of GDP-per-capita limit on it, because what we have now are countries that have very unfavorable and unfair terms that are fully developed. So, it’s time to address this; it’s already begun to happen.”

    MIL OSI USA News –

  • MIL-OSI Submissions: NTT DATA Unveils Global Insights on GenAI Adoption in Banking: Divergent Strategies for Boosting Productivity vs. Cutting Costs

    Source: NTT DATA

    Research from NTT DATA finds that as GenAI adoption rises, new pressures on return of investment are at the forefront of the challenges facing the banking industry.

    TOKYO – BUSINESS WIRE – NTT DATA, a global digital business and IT services leader, has today launched a new global research report uncovering the use of generative AI (GenAI) in the banking sector worldwide. The report, titled “Intelligent banking in the Age of AI,” has found that despite the growing adoption of GenAI technology in the banking industry, banks and financial institutions are split when it comes to outcome-based strategies – only half of banks (50%) see it as a tool for improving productivity and efficiency. Similarly, half (49%) believe it can be used for reducing operational IT spend.

    Transforming Banking Through GenAI

    GenAI is more disruptive than any previous advance in banking technology. It is less a question of if, but when banks embrace this technology, due to its transformative ability to embed intelligence at every layer of the banking ecosystem, from core banking to front-end systems. GenAI is already making waves in the banking industry, with 6 in 10 organizations (58%) already fully embracing its transformative potential, an increase from 2023, when only 45% of organizations had fully embraced GenAI, according to NTT DATA’s research.

    “Generative AI represents a pivotal moment for the banking industry,” said Robb Rasmussen, Head of Global Marketing & Communications, NTT DATA. “While the potential benefits are enormous, the challenges of implementing GenAI are complex and varied, requiring careful navigation and a structured approach. Given the anticipated high spending on GenAI, achieving a return on investment is crucial. Many banks will be expecting GenAI to drive long-term savings by automating IT tasks, improving operational efficiency, and creating competitive advantages, but it’s important to note that achieving meaningful ROI requires a clear strategy, tailored implementation, and robust governance at the same time.”

    Financial constraints increasing pressure on ROI

    ROI has become a top priority for GenAI implementations, yet banking organizations are split in their opinions of which strategies are most important to them. Banks have long struggled with boosting productivity, and GenAI is poised to present a solution to this problem, but only half of banking leaders (50%) see it as a solution to current productivity woes. Cost optimization is another area where banks are split, with just under half (49%) looking to reduce IT budgets accordingly.

    This disparity is highlighted on a global scale too – for example, almost 6 in 10 US banks (59%) are keen to reduce IT budgets and almost half (47%) want to cut operations budgets, while only 4 in 10 banks in Europe (43%) have IT budgets front of mind and just over a third (36%) are concerned with operations costs. Meanwhile productivity is the most important factor for European banks (46%), yet the US and APAC are placing even more emphasis on productivity themselves in comparison.

    Key performance indicators (KPIs) that financial institutions are using or planning to use to evaluate the success of Generative AI initiatives:

    Differing strategies across differing regions

    Strategies for realizing these benefits of GenAI differ vastly among organizations too. While around half of organizations are focusing on collaboration between humans and AI (51%) or a hybrid approach with existing systems (47%), over a quarter (28%) of banks are hoping to fully automate tasks and remove the need for manual input entirely. Fully automating tasks is an area which divides opinions worldwide as well, with a quarter of banks in the UK (25%) and Europe (24%) looking to fully automate the process, while almost a third of banks (32%) in the Americas and 35% of Japanese banks are looking to do the same.

    Robb Rasmussen, Head of Global Marketing & Communications, NTT DATA added: “It is clear that the ability to balance innovation with fiscal responsibility will define success for banks. However, many banks are lacking in maturity when it comes to this technology and are unsure where to start. Partnering with systems integrators can be a good starting point, allowing them to access the latest knowledge while ensuring compliance with industry regulations. By working with specialized providers, banks can ensure that GenAI implementations can deliver the desired ROI, while maintaining robust data protection measures and meeting both internal security standards and regulatory requirements.”

    NTT DATA’s research dives into specific areas of the banking industry, including Payments and Wealth Management, as well as Fraud Prevention. To read the full report, please go to “Intelligent banking in the Age of AI”

    About the Research

    NTT DATA’s survey was carried out on 810 banking leaders, from all global banking markets, and provides a 360-degree perspective on the sector’s journey towards innovation and GenAI adoption. This survey was led by NTT DATA Group’s Global Industry Office, part of the Global Marketing & Communications Headquarters.

    MIL OSI – Submitted News –

  • MIL-OSI Economics: Result of the Daily Variable Rate Repo (VRR) auction held on February 10, 2025

    Source: Reserve Bank of India

    Tenor 1-day
    Notified Amount (in ₹ crore) 2,25,000
    Total amount of bids received (in ₹ crore) 2,01,310
    Amount allotted (in ₹ crore) 2,01,310
    Cut off Rate (%) 6.26
    Weighted Average Rate (%) 6.27
    Partial Allotment Percentage of bids received at cut off rate (%) NA

    Ajit Prasad           
    Deputy General Manager
    (Communications)    

    Press Release: 2024-2025/2118

    MIL OSI Economics –

  • MIL-OSI Economics: Money Market Operations as on February 07, 2025

    Source: Reserve Bank of India
    (Amount in ₹ crore, Rate in Per cent)
      Volume
    (One Leg)    		 Weighted
    Average Rate    		 Range
    A. Overnight Segment (I+II+III+IV) 5,61,163.45 6.26 4.50-6.65
         I. Call Money 14,567.31 6.26 5.15-6.55
         II. Triparty Repo 3,70,891.25 6.26 6.12-6.65
         III. Market Repo 1,73,895.29 6.25 4.50-6.61
         IV. Repo in Corporate Bond 1,809.60 6.37 6.34-6.40
    B. Term Segment      
         I. Notice Money** 277.00 6.23 5.60-6.35
         II. Term Money@@ 837.00 – 6.35-7.25
         III. Triparty Repo 570.00 6.37 6.25-6.45
         IV. Market Repo 0.00 – –
         V. Repo in Corporate Bond 0.00 – –
      Auction Date Tenor (Days) Maturity Date Amount Current Rate /
    Cut off Rate
    C. Liquidity Adjustment Facility (LAF), Marginal Standing Facility (MSF) & Standing Deposit Facility (SDF)
    I. Today’s Operations
    1. Fixed Rate          
    2. Variable Rate&          
      (I) Main Operation          
         (a) Repo          
         (b) Reverse Repo          
      (II) Fine Tuning Operations          
         (a) Repo Fri, 07/02/2025 3 Mon, 10/02/2025 1,33,013.00 6.26
         (b) Reverse Repo          
      (III) Long Term Operations^          
         (a) Repo Fri, 07/02/2025 56 Fri, 04/04/2025 50,010.00 6.31
         (b) Reverse Repo          
    3. MSF# Fri, 07/02/2025 1 Sat, 08/02/2025 12,223.00 6.50
      Fri, 07/02/2025 2 Sun, 09/02/2025 0.00 6.50
      Fri, 07/02/2025 3 Mon, 10/02/2025 797.00 6.50
    4. SDFΔ# Fri, 07/02/2025 1 Sat, 08/02/2025 78,315.00 6.00
      Fri, 07/02/2025 2 Sun, 09/02/2025 1.00 6.00
      Fri, 07/02/2025 3 Mon, 10/02/2025 18,275.00 6.00
    5. Net liquidity injected from today’s operations [injection (+)/absorption (-)]*       99,452.00  
    II. Outstanding Operations
    1. Fixed Rate          
    2. Variable Rate&          
      (I) Main Operation          
         (a) Repo          
         (b) Reverse Repo          
      (II) Fine Tuning Operations          
         (a) Repo          
         (b) Reverse Repo          
      (III) Long Term Operations^          
         (a) Repo          
         (b) Reverse Repo          
    3. MSF#          
    4. SDFΔ#          
    D. Standing Liquidity Facility (SLF) Availed from RBI$       8,328.42  
    E. Net liquidity injected from outstanding operations [injection (+)/absorption (-)]*     8,328.42  
    F. Net liquidity injected (outstanding including today’s operations) [injection (+)/absorption (-)]*     1,07,780.42  
    G. Cash Reserves Position of Scheduled Commercial Banks
         (i) Cash balances with RBI as on February 07, 2025 8,85,291.80  
         (ii) Average daily cash reserve requirement for the fortnight ending February 07, 2025 9,12,544.00  
    H. Government of India Surplus Cash Balance Reckoned for Auction as on¥ February 07, 2025 77,749.00  
    I. Net durable liquidity [surplus (+)/deficit (-)] as on January 24, 2025 -34,103.00  
    @ Based on Reserve Bank of India (RBI) / Clearing Corporation of India Limited (CCIL).
    – Not Applicable / No Transaction.
    ** Relates to uncollateralized transactions of 2 to 14 days tenor.
    @@ Relates to uncollateralized transactions of 15 days to one year tenor.
    $ Includes refinance facilities extended by RBI.
    & As per the Press Release No. 2019-2020/1900 dated February 06, 2020.
    Δ As per the Press Release No. 2022-2023/41 dated April 08, 2022.
    * Net liquidity is calculated as Repo+MSF+SLF-Reverse Repo-SDF.
    ¥ As per the Press Release No. 2014-2015/1971 dated March 19, 2015.
    # As per the Press Release No. 2023-2024/1548 dated December 27, 2023.
    ^ As per the Press Release No. 2024-2025/2013 dated January 27, 2025.
    Ajit Prasad          
    Deputy General Manager
    (Communications)    
    Press Release: 2024-2025/2116

    MIL OSI Economics –

  • MIL-OSI Economics: State-Owned Enterprise Reform Handbook

    Source: Asia Development Bank

    The publication looks at the fiscal governance of SOEs that play a key role in sectors such as energy, finance, transportation, and water, addresses restructuring, and considers ways to better compete against the private sector. Focused on policymakers, regulators, and SOE managers, it looks at privatization’s risks and benefits, widening access to finance, and improving the transparency and efficiency of the organizations that are central to the region’s green transition.

    MIL OSI Economics –

  • MIL-OSI Australia: NSW Women of the Year 2025 finalists announced

    Source: New South Wales Premiere

    Published: 10 February 2025

    Released by: The Premier, Minister for Women

    Thirty of the most inspirational women and girls across NSW were today announced as finalists for Women of the Year Awards 2025.

    The awards program, now in its 13th year, aims to recognise and celebrate revolutionary thinkers, everyday heroes, social advocates and innovative role models.

    Award categories include:

    • NSW Premier’s Woman of Excellence
    • NSW Aboriginal Woman of the Year
    • NSW Regional Woman of the Year
    • NSW Community Hero
    • NSW Young Woman of the Year (ages 16-30 years)
    • Ones to Watch (ages 7-15 years)

    The Women of the Year Awards ceremony is the centrepiece event of NSW Women’s Week 2025, a week-long celebration from Sunday 2 March until Saturday 8 March. The Awards are the NSW Government’s way of shining the light on the incredible talent and extraordinary women and girls from across our state.

    Women of the Year award recipients will be revealed at the Women of the Year Awards 2025 ceremony on Thursday, 6 March at the International Convention Centre, Sydney. The Award ceremony will be livestreamed for everyone to celebrate these inspirational women and girls.

    For more information about the NSW Women of the Year Awards 2025, go to https://www.nsw.gov.au/women-nsw/awards-and-events/nsw-women-of-year-awards.

    Premier Chris Minns said:

    “The incredible group of 2025 finalists reflect how exceptional the women of New South Wales truly are.

    “From doctors, academics and scientists to community leaders and advocates – each and every one of our finalists have gone above and beyond in their respective fields.

    “On behalf of the NSW Government and our community, I congratulate each of the finalists, for you are all deserving of this recognition.”

    Minister for Women, Jodie Harrison said:

    “We’ve had a phenomenal response to the NSW Women of the Year Awards 2025 program, with over 500 nominations across NSW. This is a record high, and we can absolutely confirm our 2025 finalists are some of the State’s most impressive women and girls.

    “This year’s group come from all walks of life, from scientists and researchers to entrepreneurs and strong advocates to stop domestic and family violence. They come from all across New South Wales – from Sydney to Walgett.

    “The NSW Women of the Year Awards is truly a leading recognition program, inspiring everyday women to reach their highest potential.”

    The Women of the Year 2025 finalists are (by Local Government Area):

    NSW Premier’s Woman of Excellence

    • Professor Annette Cowie (Armidale)
    • Mariam Mohammed (Newcastle)
    • Dr Vanessa Pirotta (Canada Bay)
    • Karen Iles (Sydney)

    NSW Aboriginal Woman of the Year

    • Marjorie Anderson (George’s River)
    • Aunty Fay Green (Walgett)
    • Lisa Sarago (Bayside)
    • Robyn Taylor (Penrith)
    • Aunty Rhonda Towney (Parkes)

    NSW Regional Woman of the Year

    • Kate Cleary (Hilltops)
    • Kirsty Evans (Orange)
    • Jan Frikken (Eurobodalla)
    • Penny Lamaro (Armidale)

    NSW Community Hero

    • Ennia Jones (Newcastle)
    • Kelly Lamb (Port Macquarie-Hastings)
    • Mona Mahamed (Canterbury-Bankstown)
    • Sandy Rogers (Tweed)

    NSW Young Woman of the Year (ages 16-30 years)

    • Yeon Jae Kim (Hornsby)
    • Zara Seidler (Woollahra)
    • Jessica Luyue Teoh (Hornsby)

    Ones to Watch (ages 7-15 years)

    • Chloe Croker (Goulburn Mulwaree)
    • Jiayi Fang (Ku-ring-gai)
    • Aurora Iler (Campbelltown)
    • Ashleen Khela (The Hills Shire)
    • Aish Khurram (Hornsby)
    • Kat Mulcair (Yass Valley)
    • Hayley Paterson (The Hills Shire)
    • Waniya Syed (Camden)
    • Lydia Tofaeono (Strathfield)
    • Emilia Trustum (Richmond Valley)

    MIL OSI News –

  • MIL-OSI New Zealand: Activist News – Winston Peters refusal to join 79 countries to protect the International Criminal Court puts New Zealand firmly in Trump’s minority, lawless, hard-right camp – PSNA

    Source: Palestine Solidarity Network Aotearoa

     

    Winston Peters’ refusal to join other 79 countries trying to protect the International Criminal Court after vicious attacks and sanctions issued by US President Trump is unconscionable.

     

    “Endless New Zealand politicians, including the present government, have pointed to our support for a rules-based international system” says PSNA National Chair John Minto. “The ICC is a key part of that system but Winston Peters has jettisoned this policy in favour of a US-First approach; rather than a New Zealand-First approach”

     

    In fact, we can find no evidence that Peters has ever uttered a word of real criticism of the US in his entire political career.

     

    Within the past two weeks Winston Peters has

     

    • Openly welcomed Israeli soldiers and Israeli war criminals coming into New Zealand, with no questions asked, for “rest and recreation” from their genocide in Gaza
    • Refused to condemn Trump’s racist plans for the ethnic cleansing of Palestinians from Gaza so his son-in-law can turn it into a “Riviera of the Middle East’.  This is an intended international crime of epic proportion, and now
    • Refused to join 79 countries supporting the International Criminal Court against Trump’s actions

     

    “The countries we are refusing to join in criticising Trump include two other Five Eyes countries, the UK and Canada, as well as Germany, France, Ireland, Switzerland, Sweden, Netherlands, Greece, Norway, Portugal, Spain etc”

     

    “Winston Peters has put New Zealand in the hard-right international minority extremist camp with Trump” says PSNA National Chair John Minto. “This is creepy and cowardly complicity with a state whose values we do not share.”

     

    “Winston Peters’ ministry has been at great pains over the past year to state how much our government supports the work of the ICC. The MFAT website states “We have also been clear in our support of the International Criminal Court’s mandate in Palestine”

     

    “But when the ICC issues arrest warrants against Israeli leaders for war crimes and crimes against humanity, our government goes completely silent.”

     

    “Will Winston Peters now copy his master and revoke an immigration ban on 33 Israeli settlers responsible for leading pogroms against Palestinian communities in the Occupied West Bank, as Trump did a few days ago?”

     

    “US policy towards Palestine underlines the case for New Zealand to leave the Five Eyes US international spy network.”

     

    “An independent foreign policy means making our own decisions and working with the great majority of like-minded countries who support international institutions, such as the ICC and the International Court of Justice.”

     

    “Instead, we have a foreign minister who is in the US pocket and blindly working for the interests of Trump and his robber barons.”

     

    John Minto

    National Chair

    Palestine Solidarity Network Aotearoa

    MIL OSI New Zealand News –

  • MIL-OSI Global: Why Canada must seize the moment and launch its long-awaited Africa strategy

    Source: The Conversation – Canada – By David J Hornsby, Professor of International Affairs and the Vice-Provost and Associate Vice-President (Academic), Carleton University

    Recent events have been nothing short of shock therapy for many Canadians. The threat of economically devastating tariffs by the United States at the behest of President Donald Trump have only reinforced that the time is ripe for Canada to diversify its foreign engagements and collaborations — like with the African region.

    Africa’s geopolitical and economic trajectory is reshaping the global order. With the African Continental Free Trade Area (AfCFTA) poised to become the world’s largest single market, a youthful population driving innovation and vast renewable energy potential, the continent is no longer a peripheral player — it’s a cornerstone of the 21st-century economy.

    Yet Canada, despite years of consultations and pledges, has delayed the release of a comprehensive Africa trade strategy. The time for hesitation is over.

    AfCFTA window is closing

    The AfCFTA, which spans 54 countries and 1.3 billion people, is projected to boost intra-African trade by 52 per cent by 2035. For Canada, this represents a significant opportunity to diversify exports beyond traditional partners like the U.S. and China.

    Canadian sectors from agri-food to clean tech are well-positioned to meet Africa’s demand for value-added goods and infrastructure.

    Global competitors are already moving: China’s trade with Africa surpassed $200 billion in 2023, while the European Union and India have accelerated trade pact negotiations across the continent.

    Without a formal strategy, Canada risks losing access to a market that could define the next decade of economic growth.

    Geopolitical stakes have never been higher

    Russia and China have deepened their influence across Africa, often at the expense of democratic governance and transparency. Canada’s absence isn’t just an economic miss — it’s a strategic void.

    By aligning with African priorities like Agenda 2063, which emphasizes self-reliance and sustainable development, Canada can counterbalance exploitative partnerships with ones rooted in mutual benefit.

    As Agenda 2063 identifies, African leaders are refocusing their agendas from the struggle against apartheid and political independence to “inclusive social and economic development, continental and regional integration, democratic governance and peace and security.” Africa faces a collective US$100 billion annual infrastructure deficit following centuries of colonial incursion and extraction.

    Recent Canadian investments in peace and security, good governance, people-to-people ties ($54 million) and economic empowerment ($176 million for women and youth empowerment) signal intent, but without a unified strategy, these
    efforts are fragmented.

    Aligning perfectly with Africa’s needs

    Canada’s world-class engineering firms and institutions like the Canada Infrastructure Bank could partner with African states and institutions like the African Development Bank and replicate successes achieved in projects like Ghana’s renewable energy grid.

    Africa’s startup ecosystem thrives in the financial technology and agritech sectors, where Canadian expertise and venture capital could catalyze growth.

    Projects like the Lobito Corridor, offer a chance for Canadian firms to contribute to rail and transport development that could be transformative.

    With significant solar and other renewable energies potential, Africa is critical to the net-zero transition. Canadian mining firms and clean energy innovators are natural partners for lithium and cobalt projects, despite the dubious human and environmental rights track record of some Canadian mining companies in the region.

    A Canada-Africa strategy needs to signal a support for mandatory adherence to environmental and human rights standards for mining firms, such as Canada’s Towards Sustainable Mining framework, while strengthening accountability through mechanisms like independent oversight and legal consequences for violations that already exist. By prioritizing partnerships with African governments and local communities, such a strategy could ensure ethical practices through transparent agreements, community consent protocols, and shared governance models foster a future of more ethical behaviour.

    From aid to equity

    Decades of humanitarian aid have fostered good will, but Africa’s leaders increasingly demand collaboration

    Canada’s Feminist International Assistance Policy emphasizes gender equality and aligns with Africa’s push for women-led development.

    But a true partnership requires reciprocity, like South Africa’s significant investments in Canadian mining and climate research collaborations. The African diaspora community, numbering over 1.2 million in Canada, is a bridge to these opportunities.

    The G7 presidency provides opportunity

    The alignment of the Canadian 2025 G7 presidency with South Africa’s 2025 presidency of the G20 offers a pivotal moment to unveil Canada’s African strategy and to mainstream African priorities, from debt relief to digital inclusion.

    The forthcoming G20 gatherings of finance ministers and central bank governors in Cape Town offers a perfect moment to demonstrate an actual plan to diversify Canadian foreign policy engagements and interests while positioning the country to rally allies behind a renewed set of initiatives that exist across the continent.

    To delay any further will not only frustrate business and diaspora groups alike, but will continue to relegate Canada to a marginal role in the continent’s economic and social development.

    The EU’s public and private investments in the green and digital transitions in Kenya and Ghana’s lithium deal with Australia underscore the urgency for a co-ordinated and concerted approach. Canada’s reputation as a reliable partner hangs in the balance.

    A call for cohesion

    A Canadian Africa strategy is critical now more than ever. To fully engage, any plan will need to articulate pan-African trade and streamlined export opportunities. It should leverage soft power by expanding diplomatic missions across regional economic communities.

    Investing in mutual growth via joint ventures in mining, agri-processing, and digital infrastructure is also crucial. Embedding climate justice by linking critical mineral exports to African renewable energy projects will foster sustainable development — all the while maintaining key imperatives of gender equality, one health and the exchange of knowledge through things like the South Africa-Canada Universities Network.

    Africa’s rise isn’t a distant future — it’s unfolding now. Canada has the tools, the values and the economic imperative to act. Delaying further isn’t just a missed opportunity; it’s a generational misstep.

    The strategy is drafted, the stakeholders are ready. All that’s missing is the political will to hit “publish” and get started.

    David J Hornsby does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. Why Canada must seize the moment and launch its long-awaited Africa strategy – https://theconversation.com/why-canada-must-seize-the-moment-and-launch-its-long-awaited-africa-strategy-249255

    MIL OSI – Global Reports –

  • MIL-Evening Report: View from The Hill: Labor faces risk of Victorians using federal poll as referendum on both Allan and Albanese governments

    Source: The Conversation (Au and NZ) – By Michelle Grattan, Professorial Fellow, University of Canberra

    The weekend byelection in the outer suburban seat of Werribee saw the widely-anticipated slap-in-the-face to Victorian Labor, which is absolutely on the nose. The question is: to what degree were electors venting against federal Labor too?

    With an abundance of caution, the Albanese government would do best to assume it was being given a substantial kick.

    Even if the largest slice of the about 10% two-party swing was prompted by state factors, including the sheer arrogance of the byelection  (a state treasurer departing mid-term), we know federal Labor is doing badly in Victoria.

    There is certainly enough of a message in the result in Werribee (which on present numbers Labor is expected to just retain) to flag a potential serious erosion of federal seats come the national election.

    One challenge for federal Labor is to turn Victorian voters’ attention away from state matters, to focus squarely on the choice between Anthony Albanese and Peter Dutton.

    Labor needs to minimise the extent to which Victorians use the federal election to take out their anger towards the Allan government. So far, only the Werribee voters have had the chance to get some of that frustration out of their systems. The federal opposition will seek to milk feelings about the Allan government.

    Regardless of that, we know Dutton has become more acceptable in Victoria than he was a couple of years ago.

    As things stand, Labor is set to lose federal seats in this state where the Liberals have struggled, and the state Liberal organisation has been a shambles. It is a matter of how many.

    While the Liberals will be delighted with the Werribee result, the hardheads will note that although the Labor primary vote fell nearly 17% the Liberal vote only rose 3.7%. Partly this might reflect the fact that in Labor heartland, the disillusioned voters wanted to protest but not jump the aisle to the Liberals. Nevertheless, there is the message, applicable federally, that the Liberals need to be attracting more primary votes, not just relying on Labor losing them to independents and small parties.

    Once again, we see reflected in this byelection the relative collapse of the two party system. Labor polled 28.7% of the primary vote; the Liberals 29%. fewer than six in ten voters supported one of the major parties.

    Depending on your viewpoint, you can see the decline of the two party system as a portend of future instability in our politics, or the continued indication of a fresh new direction. Federally, the present money is on minority government.

    In Saturday’s other Victorian byelection, the Liberals wrested the inner city seat of Prahran from the Greens. There was no Labor candidate.

    The Greens, on 36.2% of the vote, attempt to take comfort that  the swing against them on primary votes was only 0.6%. But a loss is a loss, whatever the margin, and this setback, on top of those in the recent ACT and Queensland elections, must put fears into the party about the fate of the three Queensland federal seats it won in 2022.

    With some Labor supporters deeply pessimistic and some Liberals wildly optimistic, both sides are trying to manage expectations  about where the election battle stands nationally.

    Labor finds some heart from comparing Newspoll’s now and at comparable points before changes of government.

    The Dutton opposition in the first Newspoll of 2025 was on 51% of the two-party vote.

    By contrast, in the first Newspoll of 1996, the Howard opposition had a two-party vote of 54%.

    Newspoll in August 2007 (about 100 days before  the election)  saw the Rudd opposition on 56%. In  May 2013, with about 100 days to voting, the Abbott opposition was polling 55% in two-party terms. The first Newspoll of 2022 had the Albanese opposition on 56%.

    Governor Michele Bullock will deliver the next big marker on the political calendar when the Reserve Bank announces next week whether it will cut interest rates.

    If it does, there will be a frenzy of speculation about the election being held in April, which would mean scrapping the scheduled March 25 budget.

    Quite how Albanese would explain this, when he and his ministers say every other day how much work is being done on that budget, is unclear. Those in Labor who are in the camp of a May election say the government needs time for an interest rate cut to flow through.

    Only one man determines the timing, and he’s on record recently saying the date remained “fluid”.

    Michelle Grattan does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. View from The Hill: Labor faces risk of Victorians using federal poll as referendum on both Allan and Albanese governments – https://theconversation.com/view-from-the-hill-labor-faces-risk-of-victorians-using-federal-poll-as-referendum-on-both-allan-and-albanese-governments-249457

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI China: Israel frees 183 Palestinian prisoners under Gaza ceasefire deal

    Source: China State Council Information Office

    Israel released 183 Palestinian prisoners on Saturday in the fifth prisoner-for-hostage swap under the ongoing ceasefire agreement with Hamas.

    People welcome a released Palestinian prisoner in the West Bank city of Ramallah, Feb. 8, 2025. (Photo by Ayman Nobani/Xinhua)

    Abdullah al-Zaghari, head of the Palestinian Prisoners Club, said the released prisoners, transported by buses of the International Committee of the Red Cross, had arrived in Ramallah. TV footage showed the released Palestinians being greeted by a large crowd at a square in the city.

    Of the freed prisoners, 42 were from the West Bank, three from Jerusalem, and 27 from the Gaza Strip, all serving life sentences or lengthy terms. Additionally, 111 prisoners were arrested in the Gaza Strip after Hamas’ surprise attack on southern Israel on Oct. 7, 2023, the Commission of Detainees’ Affairs said in a press statement.

    Seven of the freed prisoners would be deported outside the Palestinian territories, according to the statement.

    Palestinian security sources and eyewitnesses said that Israeli vehicles stormed Beitunia, a Palestinian city west of Ramallah, immediately after the bus carrying Palestinian prisoners left Ofer Prison, to prevent any celebratory demonstrations by their families.

    Israeli forces also raided the homes of some prisoners in the West Bank and warned their families against organizing celebrations to mark their release, according to the sources.

    Earlier on Saturday, Hamas released three Israeli hostages it had been holding in the Gaza Strip. The Israel Defense Forces said in a statement that the Israeli hostages had crossed the border into Israel.

    This release marks the fifth hostage-prisoner swap under the first phase of a ceasefire agreement between Hamas and Israel, brokered by Egypt and Qatar with support from the United States.

    According to a report by the Times of Israel last month, Israel demanded that Palestinians convicted of the most serious crimes not be released to the Gaza Strip or the West Bank. 

    MIL OSI China News –

  • MIL-OSI China: Announcement on Open Market Operations No.24 [2025]

    Source: Peoples Bank of China

    Announcement on Open Market Operations No.24 [2025]

    (Open Market Operations Office, February 8, 2025)

    In order to keep liquidity adequate in the banking system, the People’s Bank of China conducted reverse repo operations in the amount of RMB14 billion through quantity bidding at a fixed interest rate on February 8, 2025.

    Details of the Reverse Repo Operations

    Maturity

    Volume

    Rate

    7 days

    RMB14 billion

    1.50%

    Date of last update Nov. 29 2018

    2025年02月08日

    MIL OSI China News –

  • MIL-OSI Economics: Barclays tech outage highlights legacy banking system risks amid rising digital competition, says GlobalData

    Source: GlobalData

    Barclays tech outage highlights legacy banking system risks amid rising digital competition, says GlobalData

    Posted in Banking

    Barclays, British multinational universal bank, faced a severe 48-hour technical outage (31 January-2 February), disrupting payments and online banking for millions of UK customers. The incident underscores the persistent vulnerabilities of legacy banking systems, despite substantial ICT investments. As digital-native challengers redefine industry standards, traditional banks must accelerate transformation or risk losing relevance in an increasingly competitive financial landscape, says GlobalData, a leading data and analytics company.

    GlobalData’s report, “Barclays Plc – Digital Transformation Strategies,” reveals that the UK’s second-largest bank’s ICT budget in 2023 was estimated at over $1 billion. The duration and severity of last weekend’s technical issue will raise questions about the effectiveness of this significant investment.

    Jonathan Vaughan Burleigh, Associate Analyst, Banking and Payments at GlobalData, comments: “The severity of this outage  highlights the need for real transformation in digital operations. Simply spending over $1 billion per year on ICT is clearly not enough to guarantee reliability in a digital banking platform. Banks must begin to completely overhaul outdated systems to keep up with the consumer expectations in the modern banking landscape.”

    Despite the funding allocated for Barclays’ digital transformation, data from GlobalData’s Financial Services Consumer Survey 2024* reveals that the bank’s customers rated their digital satisfaction below the market average. Barclays is not an outlier in this metric. Many of the largest traditional banking providers rank near the bottom, with Lloyds Bank being the only one of the top five largest banks rated above average.

    Vaughan Burleigh continues: “Established ‘traditional’ banks are struggling to adapt their digital platforms to keep up with rapidly changing consumer preferences. It is no coincidence that digital-only banks such as Starling and Monzo rank far above the market average, while banks still operating on legacy technology perform poorly in digital satisfaction. Banks that are digitally native are far more agile. They can resolve issues more quickly, respond to customer preferences with new products, and provide a strong digital offering for their growing consumer bases.”

    The need for traditional banks to abandon legacy technology and embrace a digital-first approach extends beyond avoiding technical issues and service outages. While this glitch will certainly damage Barclays’ reputation, the more pressing concern is future customer acquisition and retention.

    According to GlobalData’s Competitor Benchmarking Analytics 2024, the key determinants of a bank’s NPS in the UK include personalized experiences, competitively priced products and services, the ability to resolve minor issues online, and the omnichannel nature of the bank’s services. Digital-native banks have become market leaders in these areas, developing new capabilities ahead of larger, traditional players.

    Vaughan Burleigh concludes: “The banking landscape has shifted significantly since digital challengers gained popularity. Consumers now expect advanced online capabilities, such as personalized insights and financial education, as basic features of bank accounts. If historically dominant players like Barclays fail to revolutionize their online banking offerings immediately, digital only banks will not only capture the young consumers entering the market but also convince more mature users to abandon sluggish providers in favour of innovative and agile competitors.”

    *GlobalData’s 2024 Financial Services Consumer Survey was conducted online in Q2 2024 and had 67,000 respondents across 41 countries, of which 5,003 are from the UK.

    MIL OSI Economics –

  • MIL-OSI China: China, Indonesia renew currency swap agreement

    Source: China State Council Information Office

    The People’s Bank of China (PBOC), the country’s central bank, has renewed a bilateral currency swap agreement with the Bank Indonesia.

    The total value of the agreement is 400 billion yuan (about 55.79 billion U.S. dollars), or 878 trillion Indonesian rupiah, the PBOC said in a statement on its website.

    The agreement is valid for five years and can be renewed upon mutual consent, according to the statement.

    The currency swap arrangement will strengthen financial cooperation between China and Indonesia, promote and facilitate bilateral trade and investment, and safeguard the stability of the financial markets, the statement added.

    MIL OSI China News –

  • MIL-OSI China: Spring Festival spending up

    Source: China State Council Information Office

    Local residents in Wuhu, Anhui province, enjoy their New Year’s eve dinner in a restaurant on Jan 28. [Photo/Xinhua]

    Consumers showed strong spending power during the Spring Festival holiday this year, boosting the steady growth of the country’s overall consumption market in the first quarter, official data showed.

    Over the holiday period, sales of key retail and catering enterprises in China grew by 4.1 percent year-on-year. Food, festive products, green and smart home appliances, mobile phones and tablets recorded booming sales, the Ministry of Commerce said on Thursday.

    In particular, sales of household appliances and communication equipment from retail enterprises that are monitored by the commerce ministry jumped by over 10 percent year-on-year.

    A dynamic service consumption market was also seen during the holiday period, with high demand for dining, traveling and watching films. Sales of catering firms monitored by the commerce ministry grew by 6.2 percent year-on-year, and China’s Spring Festival holiday box office hit 9.51 billion yuan ($1.3 billion), a record high.

    “China’s consumption market has indicated a strong resilience, great potential and sufficient vitality, and the basic trend of recovery and improvement remains unchanged,” He Yongqian, the spokesperson for the commerce ministry, said during a news conference.

    She added that with the country’s expansion of the trade-in policy for consumer goods and various consumption promotional activities being carried out, the consumption market will show steady growth trend in the first quarter.

    From Jan 28 to Feb 3, online and offline sales in Shanghai came in at 46.5 billion yuan, according to the Consumer Market Big Data Laboratory (Shanghai), which is affiliated with the Fudan Development Institute.

    Before the festival, the local government of Shanghai issued subsidies for the trade-in of home appliances, home decorations, digital products and cars, driving significant trade-in sales growth during the holiday, the big data lab said.

    “China’s trade-in policy has driven the growth rate of goods consumption, and the growth rate of total retail sales is expected to record a ‘good start’ this year,” said a research report of Soochow Securities.

    China issued 300 billion yuan in treasury bonds last year to support equipment upgrades and trade-in deals for consumer goods, significantly boosting the growth of consumption and economic momentum.

    During the holiday, retail sales of home appliance products in some cities such as Chongqing; Changchun, Jilin province; and Jinan, Shandong province jumped 20 to 30 percent year-on-year, data from UBS Investment Bank showed.

    “The trend of upgrading products continues and the demand of tradeins in third — and fourth-tier cities and rural households has been climbing. Some e-commerce platforms saw their sales more than double year-on-year, and the growth could be attributed to the purchase of products by young consumers for their relatives living in hometowns,” said Peng Yanyan, head of China consumer products research at UBS Investment Bank.

    Meanwhile, over the holiday period, Beijing’s department stores, supermarkets, specialty stores, catering and e-commerce platforms that are monitored by Beijing Municipal Commerce Bureau, achieved sales of 8.1 billion yuan, up 4.2 percent year-on-year.

    In Hangzhou, Zhejiang province, some time-honored restaurants such Louwailou and Zhiweiguan issued coupons to consumers during the holiday, driving a new wave of dining consumption in the city.

    From Jan 21 to Feb 3, retail sales in Hangzhou achieved 26.68 billion yuan, up 18.4 percent year-on-year, according to Hangzhou Municipal Bureau of Commerce.

    MIL OSI China News –

  • MIL-OSI Russia: IMF Executive Board Concludes 2024 Article IV Consultation with Nicaragua

    Source: IMF – News in Russian

    February 7, 2025

    Washington, DC: The Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation[1] with Nicaragua.

    Nicaragua’s economic performance remains robust, underpinned by prudent macroeconomic policies and very strong remittance flows. The economy continues to be open and resilient, on a backdrop of transfers of private property to the state, international sanctions, and a reorientation of official financing. Real GDP growth accelerated to around 4½ percent in 2023 and the first half of 2024, from about 3.8 percent in 2022, on the back of robust domestic demand, while inflation declined. Twin fiscal and external account surpluses are leading to a decline in the public debt-to-GDP ratio and the accumulation of strong buffers.

    Real GDP growth is projected to moderate to 4 percent in the near term and to 3.5 percent in the medium-term, amid a slower pace of remittances growth, limited labor contribution to growth due to recent emigration, and cautious private sector investment decisions. International reserves are expected to grow at a slower pace than in the recent period, with narrowing of fiscal and current account surpluses as the authorities’ increase public investment.

    Risks to the outlook are broadly balanced in the short-term and to the downside in the medium term. Upside risks include stronger domestic demand, while downside risks include lower global growth, a deterioration in the terms of trade, natural disasters, stricter and wider international sanctions, and a change in immigration policies in the U.S. In addition, going forward, domestic and international political developments, and deterioration of the rule of law may also impact economic performance by potentially increasing the cost of doing business.

    Executive Board Assessment[2]

    Executive Directors agreed with the thrust of the staff appraisal. They welcomed Nicaragua’s robust growth, declining inflation and public debt, and fiscal sector and current account surpluses, supported by prudent macroeconomic policies and high remittances. While noting the positive outlook, Directors stressed that risks are to the downside, including from natural disasters, international sanctions, and U.S. immigration policies. They underscored the importance of continued efforts to safeguard macroeconomic stability, strengthen buffers, and support higher and more inclusive growth.

    Directors welcomed the authorities’ commitment to preserving fiscal sustainability, while supporting growth. Efforts to strengthen domestic revenue mobilization, enhance spending efficiency, and support higher capital and social spending are important. Noting the limited availability of concessional financing, Directors highlighted the importance of prudent debt management to safeguard debt sustainability. They underscored the need to mitigate fiscal risks by strengthening fiscal transparency, enhancing oversight of state owned enterprises, and reforming the pension system.

    Directors agreed that monetary policy should remain focused on supporting price stability and the exchange rate regime and highlighted the criticality of policy coordination. They recommended that the Central Bank of Nicaragua adjust monetary and exchange rate policies, as needed, enhance communication, and strengthen monetary policy transmission. Directors encouraged steadfast implementation of the 2021 safeguard assessment recommendations.

    Directors welcomed the commitment to maintaining financial stability. Noting the vulnerabilities, they encouraged proactive provisioning of distressed assets, close monitoring of consumer credit growth, enhanced foreign exchange risk monitoring, and aligning the crisis preparedness framework with international best practice. Measures to increase financial inclusion and deepening, including developing local bond and capital markets, would support medium term growth.

    Directors stressed the need for efforts to promote higher medium term growth and enhance climate resilience. Important measures include increasing human capital investment, targeted social spending, and promoting labor force participation, particularly for women. Directors also called for efforts to enhance the business climate and strengthen government institutions and frameworks to support increased private investment.

    Directors noted the steps taken to enhance governance, anti corruption, and AML/CFT frameworks, and emphasized that further efforts are needed to ensure their effective and appropriate application. They stressed the need to significantly improve the rule of law and safeguard judicial independence. Publishing asset declarations of politically exposed persons and supporting property rights are important. Directors welcomed the authorities’ commitment to enhancing the quality and consistency of statistics.

    It is expected that the next Article IV consultation with Nicaragua will be held on the standard 12 month cycle.

    Table 1. Nicaragua: Selected Social and Economic Indicators, 2023-25

    I. Social and Demographic Indicators

    GDP per capita (current US$, 2023)

    2,606

    Income share held by the richest 10 percent (2014)

    37.2

    GNI per capita (Atlas method, current US$, 2023)

    2,270

    Unemployment (percent of labor force, 2023)

    3.4

    GINI Index (2014)

    46.2

    Poverty rate ($3.65/day line, 2017 PPP, percent, World Bank, 2023)

    12.5

    Population (millions, 2023)

    6.8

    Adult literacy rate (percent, 2015)

    82.6

    Life expectancy at birth in years (2022)

    74.6

    Infant mortality rate (per 1,000 live births, 2022)

    14.0

    II. Economic Indicators

    2023

    2024

    2025

    Projections

    Output

    (Annual percentage change; unless otherwise specified)

    GDP growth

    4.6

    4.0

    4.0

    GDP (nominal, US$ million)

    17,843

    19,204

    20,771

    Prices

    Consumer price inflation (period average)

    8.4

    4.0

    4.0

     

    (Percent of GDP)

    Gross domestic investment

    23.0

    25.0

    26.5

    Private sector

    15.1

    15.8

    15.5

    Public sector

    7.9

    9.2

    11.0

    Gross national savings

    30.8

    31.8

    32.9

    Private sector

    21.5

    22.5

    22.9

    Public sector

    9.3

    9.3

    10.0

    Exchange rate

    Period average (Córdobas per US$)

    36.4

    36.6

    …
     

    Fiscal sector

    (Percent of GDP)

    Consolidated public sector

    balance1/

    2.8

    1.8

    1.1

    Revenue (including grants)

    32.9

    33.2

    33.1

    Expenditure

    30.1

    31.4

    32.0

    of which: Central Government overall balance2/

    2.6

    2.1

    1.3

    Revenue

    21.7

    21.6

    21.6

    Expenditure

    19.1

    19.5

    20.3

    Cash payments for operating activities

    14.6

    14.5

    13.8

    Net cash outflow: investments in NFAs

    4.5

    5.0

    6.5

    Money and financial

    (Annual percentage change)

    Broad money

    11.9

    12.2

    11.2

    Credit to the private sector

    18.1

    18.3

    11.2

    Net domestic assets of the banking system

    -8.0

    5.8

    1.3

    Non-performing loans to total loans (ratio)3/

    1.2

    1.7

    …

    Regulatory capital to risk-weighted assets (ratio)3/

    19.1

    19.2

    …

    External sector

    (Percent of GDP, unless otherwise indicated)

    Current account

    7.7

    6.7

    6.4

    Remittances

    26.1

    27.2

    26.1

    Capital and financial account

    4.1

    2.5

    3.0

    Gross international reserves (US$ million)4/

    5,190

    5,907

    6,729

    In months of imports excl. maquila

    7.0

    7.4

    7.7

    Net international reserves (US$ million)5/

    4,249

    4,979

    5,724

    In months of imports excl. maquila

    5.7

    6.3

    6.7

    Non-financial public sector debt6/

    49.6

    46.9

    44.9

    Domestic public debt

    10.3

    8.0

    6-9

    External public debt

    39.3

    38.9

    38.0

    Private sector external debt

    31.0

    28.6

    26.2

    Sources: National authorities; World Bank; and IMF staff calculations.

    1/ The consolidated public sector comprises the central government, the municipality of Managua, the state-owned enterprises, social security system (INSS) and the central bank.

    2/ Include transfers to cover the INSS deficit for 2023-25, 0.5 percent of GDP per year, and payment for historical debt (0.7 percent of GDP in 2023).

    3/ 2024 data is as of September 2024.

    4/ Excludes resources from the Deposit Guarantee Fund for Financial Institutions (FOGADE).

    5/ Excludes FOGADE and reserve requirements for FX deposits.

    6/ Assumes that HIPC-equivalent terms were applied to the outstanding debt to non-Paris Club bilaterals. Does not include SDR allocation.
             

    [1] Under Article IV of the IMF’s Articles of Agreement, the IMF holds bilateral discussions with members, usually every year. A staff team visits the country, collects economic and financial information, and discusses with officials the country’s economic developments and policies. On return to headquarters, the staff prepares a report, which forms the basis for discussion by the Executive Board.

    [2] At the conclusion of the discussion, the Managing Director, as Chairman of the Board, summarizes the views of Executive Directors, and this summary is transmitted to the country’s authorities. An explanation of any qualifiers used in summings up can be found here: http://www.IMF.org/external/np/sec/misc/qualifiers.htm.

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Brian Walker

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    https://www.imf.org/en/News/Articles/2025/02/06/pr-2532-nicaragua-imf-executive-board-concludes-2024-article-iv-consultation-with-nicaragua

    MIL OSI

    MIL OSI Russia News –

  • MIL-OSI Economics: IMF Executive Board Concludes 2024 Article IV Consultation with Nicaragua

    Source: International Monetary Fund

    February 7, 2025

    Washington, DC: The Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation[1] with Nicaragua.

    Nicaragua’s economic performance remains robust, underpinned by prudent macroeconomic policies and very strong remittance flows. The economy continues to be open and resilient, on a backdrop of transfers of private property to the state, international sanctions, and a reorientation of official financing. Real GDP growth accelerated to around 4½ percent in 2023 and the first half of 2024, from about 3.8 percent in 2022, on the back of robust domestic demand, while inflation declined. Twin fiscal and external account surpluses are leading to a decline in the public debt-to-GDP ratio and the accumulation of strong buffers.

    Real GDP growth is projected to moderate to 4 percent in the near term and to 3.5 percent in the medium-term, amid a slower pace of remittances growth, limited labor contribution to growth due to recent emigration, and cautious private sector investment decisions. International reserves are expected to grow at a slower pace than in the recent period, with narrowing of fiscal and current account surpluses as the authorities’ increase public investment.

    Risks to the outlook are broadly balanced in the short-term and to the downside in the medium term. Upside risks include stronger domestic demand, while downside risks include lower global growth, a deterioration in the terms of trade, natural disasters, stricter and wider international sanctions, and a change in immigration policies in the U.S. In addition, going forward, domestic and international political developments, and deterioration of the rule of law may also impact economic performance by potentially increasing the cost of doing business.

    Executive Board Assessment[2]

    Executive Directors agreed with the thrust of the staff appraisal. They welcomed Nicaragua’s robust growth, declining inflation and public debt, and fiscal sector and current account surpluses, supported by prudent macroeconomic policies and high remittances. While noting the positive outlook, Directors stressed that risks are to the downside, including from natural disasters, international sanctions, and U.S. immigration policies. They underscored the importance of continued efforts to safeguard macroeconomic stability, strengthen buffers, and support higher and more inclusive growth.

    Directors welcomed the authorities’ commitment to preserving fiscal sustainability, while supporting growth. Efforts to strengthen domestic revenue mobilization, enhance spending efficiency, and support higher capital and social spending are important. Noting the limited availability of concessional financing, Directors highlighted the importance of prudent debt management to safeguard debt sustainability. They underscored the need to mitigate fiscal risks by strengthening fiscal transparency, enhancing oversight of state owned enterprises, and reforming the pension system.

    Directors agreed that monetary policy should remain focused on supporting price stability and the exchange rate regime and highlighted the criticality of policy coordination. They recommended that the Central Bank of Nicaragua adjust monetary and exchange rate policies, as needed, enhance communication, and strengthen monetary policy transmission. Directors encouraged steadfast implementation of the 2021 safeguard assessment recommendations.

    Directors welcomed the commitment to maintaining financial stability. Noting the vulnerabilities, they encouraged proactive provisioning of distressed assets, close monitoring of consumer credit growth, enhanced foreign exchange risk monitoring, and aligning the crisis preparedness framework with international best practice. Measures to increase financial inclusion and deepening, including developing local bond and capital markets, would support medium term growth.

    Directors stressed the need for efforts to promote higher medium term growth and enhance climate resilience. Important measures include increasing human capital investment, targeted social spending, and promoting labor force participation, particularly for women. Directors also called for efforts to enhance the business climate and strengthen government institutions and frameworks to support increased private investment.

    Directors noted the steps taken to enhance governance, anti corruption, and AML/CFT frameworks, and emphasized that further efforts are needed to ensure their effective and appropriate application. They stressed the need to significantly improve the rule of law and safeguard judicial independence. Publishing asset declarations of politically exposed persons and supporting property rights are important. Directors welcomed the authorities’ commitment to enhancing the quality and consistency of statistics.

    It is expected that the next Article IV consultation with Nicaragua will be held on the standard 12 month cycle.

    Table 1. Nicaragua: Selected Social and Economic Indicators, 2023-25

    I. Social and Demographic Indicators

    GDP per capita (current US$, 2023)

    2,606

    Income share held by the richest 10 percent (2014)

    37.2

    GNI per capita (Atlas method, current US$, 2023)

    2,270

    Unemployment (percent of labor force, 2023)

    3.4

    GINI Index (2014)

    46.2

    Poverty rate ($3.65/day line, 2017 PPP, percent, World Bank, 2023)

    12.5

    Population (millions, 2023)

    6.8

    Adult literacy rate (percent, 2015)

    82.6

    Life expectancy at birth in years (2022)

    74.6

    Infant mortality rate (per 1,000 live births, 2022)

    14.0

    II. Economic Indicators

    2023

    2024

    2025

    Projections

    Output

    (Annual percentage change; unless otherwise specified)

    GDP growth

    4.6

    4.0

    4.0

    GDP (nominal, US$ million)

    17,843

    19,204

    20,771

    Prices

    Consumer price inflation (period average)

    8.4

    4.0

    4.0

     

    (Percent of GDP)

    Gross domestic investment

    23.0

    25.0

    26.5

    Private sector

    15.1

    15.8

    15.5

    Public sector

    7.9

    9.2

    11.0

    Gross national savings

    30.8

    31.8

    32.9

    Private sector

    21.5

    22.5

    22.9

    Public sector

    9.3

    9.3

    10.0

    Exchange rate

    Period average (Córdobas per US$)

    36.4

    36.6

    …
     

    Fiscal sector

    (Percent of GDP)

    Consolidated public sector

    balance1/

    2.8

    1.8

    1.1

    Revenue (including grants)

    32.9

    33.2

    33.1

    Expenditure

    30.1

    31.4

    32.0

    of which: Central Government overall balance2/

    2.6

    2.1

    1.3

    Revenue

    21.7

    21.6

    21.6

    Expenditure

    19.1

    19.5

    20.3

    Cash payments for operating activities

    14.6

    14.5

    13.8

    Net cash outflow: investments in NFAs

    4.5

    5.0

    6.5

    Money and financial

    (Annual percentage change)

    Broad money

    11.9

    12.2

    11.2

    Credit to the private sector

    18.1

    18.3

    11.2

    Net domestic assets of the banking system

    -8.0

    5.8

    1.3

    Non-performing loans to total loans (ratio)3/

    1.2

    1.7

    …

    Regulatory capital to risk-weighted assets (ratio)3/

    19.1

    19.2

    …

    External sector

    (Percent of GDP, unless otherwise indicated)

    Current account

    7.7

    6.7

    6.4

    Remittances

    26.1

    27.2

    26.1

    Capital and financial account

    4.1

    2.5

    3.0

    Gross international reserves (US$ million)4/

    5,190

    5,907

    6,729

    In months of imports excl. maquila

    7.0

    7.4

    7.7

    Net international reserves (US$ million)5/

    4,249

    4,979

    5,724

    In months of imports excl. maquila

    5.7

    6.3

    6.7

    Non-financial public sector debt6/

    49.6

    46.9

    44.9

    Domestic public debt

    10.3

    8.0

    6-9

    External public debt

    39.3

    38.9

    38.0

    Private sector external debt

    31.0

    28.6

    26.2

    Sources: National authorities; World Bank; and IMF staff calculations.

    1/ The consolidated public sector comprises the central government, the municipality of Managua, the state-owned enterprises, social security system (INSS) and the central bank.

    2/ Include transfers to cover the INSS deficit for 2023-25, 0.5 percent of GDP per year, and payment for historical debt (0.7 percent of GDP in 2023).

    3/ 2024 data is as of September 2024.

    4/ Excludes resources from the Deposit Guarantee Fund for Financial Institutions (FOGADE).

    5/ Excludes FOGADE and reserve requirements for FX deposits.

    6/ Assumes that HIPC-equivalent terms were applied to the outstanding debt to non-Paris Club bilaterals. Does not include SDR allocation.
             

    [1] Under Article IV of the IMF’s Articles of Agreement, the IMF holds bilateral discussions with members, usually every year. A staff team visits the country, collects economic and financial information, and discusses with officials the country’s economic developments and policies. On return to headquarters, the staff prepares a report, which forms the basis for discussion by the Executive Board.

    [2] At the conclusion of the discussion, the Managing Director, as Chairman of the Board, summarizes the views of Executive Directors, and this summary is transmitted to the country’s authorities. An explanation of any qualifiers used in summings up can be found here: http://www.IMF.org/external/np/sec/misc/qualifiers.htm.

    IMF Communications Department
    MEDIA RELATIONS

    PRESS OFFICER: Brian Walker

    Phone: +1 202 623-7100Email: MEDIA@IMF.org

    MIL OSI Economics –