Category: Business

  • MIL-OSI Asia-Pac: Consolidated Financial Performance data of BSNL

    Source: Government of India

    Posted On: 18 FEB 2025 5:24PM by PIB Delhi

    Overview:

    The improvement in financial performance of BSNL is a reflection of the sustained management and Government efforts by way of improving it’s top line by increased business growth in its verticals and managing it’s bottom line costs in an efficient manner in line with accounting standards.

    This is a sustained trend across all recent quarters and is to be understood through a business lens and not an accounting one. The data below provides the growth story of BSNL across three quarters from a business perspective. We are confident that the growth trajectory will continue to grow in the next quarter and in times to come by serving our customers through affordable and quality telecom connectivity.

    Revenue from Operations:

    • Quarter Ended 31.12.2024: Revenue stood at ₹4,969 crore, showing an increase compared to ₹ 4546 crore in the same quarter of the previous year (31.12.2023).

    The Revenue from new areas of operation in Mobility, FTTH, and Leased Lines has increased by 15%, 18%, and 14% respectively over Q3 of the previous year. This is a real growth in business.

    – 9 Months Ended 31.12.2024:  Revenue reached ₹14,197 crore, up from ₹12,905 crore in the corresponding period of the previous year (31.12.2023).

    In the last quarter of 2024-25, the same trend will continue.

    Other Income:

    • For the 9 months ended 31.12.2024, the other income was ₹1,406 crore, slightly lower than ₹1,528 crore in the same period of the previous year (31.12.2023).
    • Quarter Ended 31.12.2024: Other Income stood at ₹706 crore, showing an increase compared to ₹511 crore in the same quarter of the previous year (31.12.2023).

    Total Income:

    – Total income for the quarter ended 31.12.2024 was ₹5,675 crore, compared to ₹5057 crore in the same quarter of the previous year (31.12.2023).

    – For the 9 months ended 31.12.2024, total income was ₹15,603 crore, up from ₹14,433 crore in the previous year 9 Months period (31.12.2023).

    The costs have reduced to ensure the profitability.

    Expenditure:

    – Network Operating Expense: Decreased to ₹1,336 crore in the quarter ended 31.12.2024 from ₹ 1397   crore in the same quarter of the previous year (31.12.2023).

    – Employee Benefits Expense: Reduced to ₹1,735 crore in the quarter ended 31.12.2024 from ₹ 2011 crore in the previous year.  (31.12.2023).

    • Total Expenditure (excluding Dep/Fin Cost) For the quarter ended 31.12.2024, total expenditure was ₹4210 crore, lower than ₹4741 crore in the same quarter of the previous year (31.12.2023).

    – Finance Costs: Some decrease in finance costs at ₹389 crore for the quarter ended 31.12.2024.(when compared to ₹442 in QE 31.12.2023)

    • Depreciation & Amortisation Costs(DAC): For the quarter ended 31.12.2024, total DAC was ₹814 crore, lower than ₹1443 crore in the same quarter of the previous year (31.12.2023). We have accelerated the 4G rollout and fiber-optic infrastructure upgrades, ensuring better connectivity and service quality. BSNL is making significant investments in 4G/5G equipment and spectrum to provide high-quality services to its customers. To align with these new investment requirements and the evolving market scenario, appropriate accounting procedures have been adopted; while the depreciation was also lower this quarter.

    EBITDA:

    – EBITDA for the quarter ended 31.12.2024 improved to ₹1,466 crore from ₹316 crore in the same quarter of the previous year (31.12.2023)

    – For the 9 months ended 31.12.2024, EBITDA was ₹2,369 crore, up from ₹893 crore in the previous year (31.12.2023).

    The bottom line performance reflects the growth in top line and reduction in costs sustainably.

    Profit/(Loss):

    – The company reported a profit before tax of ₹262 crore for the quarter ended 31.12.2024, a significant improvement from a loss of ₹1569 crore in the same quarter of the previous year  (31.12.2023)

    – For the 9 months ended 31.12.2024, the loss before tax reduced to ₹2,527 crore from ₹4,522 crore in the previous year.

    In addition, 20 Circles have turned EBITDA positive this Q3 2024; when compared to 12 Circles last December Quarter.

    In summary, BSNL, has shown resilience with increased revenue and improved EBITDA margins. Strategic cost management and operational efficiencies have significantly improved the bottom line. BSNL has been actively optimizing operational costs and has successfully reduced finance costs and overall expenditure.

    BSNL’s accounting policies are in line with CPSE standards, and the results indicate revenue growth from new initiatives within the company. We have successfully reversed the trend of financial deterioration, and the last three quarters have shown continuous improvement in our financial performance, leading to a sharp reduction in net loss.

    While we continue our efforts to increase revenues, optimize costs, and strengthen financial controls, which are crucial for BSNL’s long-term sustainability, we have successfully reduced the net loss from ₹4,522 crore to ₹2,527 crore for the nine-month period ending 31.12.2024, compared to the same period ending 31.12.2023. This reflects our commitment to financial discipline and operational efficiency as we move forward on our growth trajectory.

    For the next quarter, our focus remains on:
Accelerating 4G/5G rollouts to enhance service quality and network reach.
 Expanding enterprise solutions to tap into new revenue streams.

    Monetizing digital assets to unlock value from BSNL’s infrastructure.

    Optimizing operational expenditures through strategic cost-saving measures.

    With these strategic initiatives and sustained financial discipline, we are confident that BSNL is on the path toward profitability in the ensuing years, reinforcing its position as a competitive and resilient telecom provider driving India’s digital transformation.

    ***

    Samrat/Allen

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    MIL OSI Asia Pacific News

  • MIL-OSI Economics: Straight Talk Wireless Rewards People for their Use of Unlimited Data this Tax Season with The Data Bank by Straight Talk

    Source: Verizon

    Headline: Straight Talk Wireless Rewards People for their Use of Unlimited Data this Tax Season with The Data Bank by Straight Talk

    NEW YORK – Straight Talk Wireless, a leading prepaid brand covered by Verizon’s 5G network and sold at Walmart, is launching The Data Bank by Straight Talk, a limited-time event that turns mobile data usage into real financial rewards. Taking place in Union Square Park in New York City on February 18 and Kennedy Commons in East New Jersey on February 19, The Data Bank brings attention to the exceptional value provided by Straight Talk’s unlimited data plans by giving customers the opportunity to check their data usage and be rewarded with a gift card through an interactive, bank-like experience.

    Tax season can be a stressful time for many, and Straight Talk recognizes that even when money feels tight, people can still be Data Rich – thanks to its real unlimited data plans.  In fact, data plays a crucial role in people’s everyday lives, especially during tax season. According to Straight Talk’s third annual Tax Time Survey, more than half of Americans (57%) use their mobile data for online banking, and 53% access it during tax season, whether it’s to file taxes right on their phone or speak with tax advisors. With this limited-time event, Straight Talk aims to give back when tax refunds might not be enough.

    “At Straight Talk, we understand that tax season can be a hectic time, and many families rely on their refund checks to help manage their finances. That’s why we aim to alleviate some of that tax time stress with the launch of our innovative Data Bank event,” said David Kim, SVP & CRO of Verizon Value. “The Data Bank by Straight Talk is designed to show how impactful having real unlimited data is by rewarding mobile data usage with gift cards, especially at a time when families are looking for extra financial flexibility. Straight Talk is committed to supporting consumers with their truly unlimited data during tax time and all year long.”

    How The Data Bank Works:

    At The Data Bank by Straight Talk, visitors will step into a custom-designed truck converted into a mobile “bank,” where they can interact with Straight Talk’s “teller,”@alexonabudget (influencer and money expert), check their data usage and convert their data usage into a gift card on site.

    Be one of the first to experience the bank-like event and get rewarded with extra cash at one of the following locations:

    • New York City: February 18 at Union Square Park 10AM ET until supplies last
    • East New Jersey: February 19 at Kennedy Commons 11AM ET until supplies last

    For those not in the area, you can still take advantage of Straight Talk’s unlimited data online at StraightTalk.com or at Walmart stores. In addition to supplying users with real unlimited data they can rely on, Straight Talk is also offering new and existing customers a free Samsung A16 or Moto G Power 5G with the purchase of a qualifying service plan. These offers will be available at StraightTalk.com and at Walmart stores so customers can take advantage of the latest features and benefits.

    For more information on Straight Talk Wireless, visit www.straighttalk.com.

    About Straight Talk Wireless

    Straight Talk Wireless provides quality no-contract wireless solutions to value-conscious consumers and is available exclusively at Walmart, Walmart.com, and Straighttalk.com.

    Straight Talk is part of the Verizon Value portfolio of prepaid brands, which includes Total Wireless, Visible, Tracfone, Simple Mobile, SafeLink, Walmart Family Mobile, and Verizon Prepaid.

    MIL OSI Economics

  • MIL-OSI Economics: Piero Cipollone: Striking the right balance: the ECB’s balance sheet and its implications for monetary policy

    Source: European Central Bank

    Speech by Piero Cipollone, Member of the Executive Board of the ECB, at an MNI Connect webcast

    Frankfurt am Main, 18 February 2025

    Today I would like to discuss the ECB’s balance sheet and its implications for our monetary policy.

    In recent years, the monetary policy debate has mainly focused on our interest rate decisions. This is for good reason. In response to the biggest inflation shock in a generation, we embarked on the fastest tightening of monetary policy in the ECB’s history through rate hikes.

    During this tightening phase, we used policy rates as the primary tool for setting our monetary policy stance, while normalising our balance sheet in a measured and predictable way. We initiated the gradual unwinding of our asset purchase programmes and recalibrated our targeted longer-term refinancing operations (TLTROs).[1] As a result, the size of our balance sheet has fallen by more than a quarter from its peak.

    Policy rates remain our primary instrument and will therefore continue to attract the most attention. But we should not underestimate the important role that our balance sheet policies have played over time as a component of our overall monetary policy stance and in ensuring the smooth transmission of our monetary policy to the real economy. This still holds true today as we make our monetary policy less restrictive.

    Inflation has now fallen substantially to levels close to 2%. Our latest projections foresee it converging towards our target over the medium term, and the risks to the inflation outlook – once sharply skewed to the upside – have now become more balanced.

    At the same time, the euro area’s economic recovery remains weak – especially in the near term. The risks to the growth outlook are tilted to the downside and, if they materialise, may derail the recovery, with implications for the inflation outlook.

    Against this background, the Governing Council has gradually been reducing the degree of monetary policy restriction by cutting policy rates towards neutral territory. While our direction is clear, we are very attentive to incoming information in view of the prevailing uncertainty about the economic environment. We continue to make decisions on a meeting-by-meeting and data-dependent basis. This gives us the option to adapt our interest rate path if necessary to ensure that inflation stabilises sustainably at our 2% medium-term target.

    However, given the importance of financial conditions in determining the inflation outlook, we also need to consider the role played by the reduction of our balance sheet. In the tightening phase our rate decisions and balance sheet policies complemented each other, but they are now going in opposing directions.

    This divergence has important implications across at least two dimensions.

    First, it contributes to a steepening of the yield curve. Our rate cuts exert downward pressure primarily at the short end of the yield curve. At the same time, the gradual runoff of our asset purchase portfolios exerts upward pressure on long-term and, to a lesser extent, intermediate yields. This has been compounded by recent spillovers from the US.[2]

    Second, it may affect credit supply. Declining levels of central bank liquidity could constrain banks’ ability to extend credit, resulting in tighter credit conditions and potentially slowing down the investment and consumption that are critical for economic recovery.

    In setting the policy stance, we therefore need to consider the impact of the overall set of financial conditions resulting from our interest rate and balance sheet policies. In other words, we need to strike the right balance if we are to achieve our inflation aim without an undue negative impact on incomes and employment. A rate cut has a more contained easing effect when the balance sheet is simultaneously reduced. This has implications when discussing the appropriate policy rate path.

    We also need to consider the potential risks to the transmission of our monetary policy. In the past, abundant levels of liquidity have acted as a safeguard against spikes in liquidity needs that emerged regardless of where our rates stood. With this in mind, we need to carefully monitor the transition from abundant to less ample excess liquidity, mindful of the potential implications for financial stability.

    Today, I would like to take stock of the ECB’s experience with balance sheet policies, explaining why they remain a vital part of our monetary policy toolbox. I will then discuss the implications of the ECB’s balance sheet for our monetary policy in the current environment.

    The ECB’s experience with balance sheet policies

    At the ECB, balance sheet policies have served a dual purpose over time, allowing us to deliver on our price stability mandate amid exceptionally difficult circumstances.

    First, during periods when interest rates approached their effective lower bound and inflation remained below target, the ECB used asset purchases to support an accommodative monetary policy stance.

    For instance, the ECB launched its asset purchase programme (APP) in 2015 to stimulate the economy and inflation at a time when deflationary threats loomed large. Asset purchases and the associated provision of central bank liquidity worked in several ways – including through the portfolio rebalancing, exchange rate and credit channels – to generate a significant upward effect on both economic activity and inflation.[3]

    Second, balance sheet policies have been pivotal to ensuring the smooth transmission of our monetary policy to the real economy, in both tightening and easing phases.

    At times when we were lowering our policy rates, our TLTROs, launched in 2014, provided banks with long-term funding on favourable terms to incentivise them to lend to firms and households. This led to a persistent compression in lending rates and an increase in loan volumes over time.[4]

    But balance sheet policies were also instrumental in ensuring the smooth transmission of monetary policy at times when we were increasing our policy rates. The announcement of our Transmission Protection Instrument (TPI) in 2022 allowed us to embark on the fastest rate hiking cycle in our history without sparking financial fragmentation in the euro area.

    Of course, the stance and transmission functions of our balance sheet policies do not operate in isolation. There can be beneficial interactions between the two.

    As rates increased, for example, euro area banks had sufficient liquidity to manage any maturity mismatches that arose. This – alongside strengthened regulation and supervision – helped them to emerge unscathed from the market turbulence in March 2023 that saw the collapse of three regional banks in the United States.

    The proportionate use of balance sheet policies in an evolving economic landscape

    The substantial expansion of the ECB’s balance sheet required careful monitoring of potential side effects. That is why the principle of proportionality lies at the core of how we use our balance sheet instruments.[5]

    In its 2021 strategy review, the Governing Council assessed that its use of balance sheet measures – alongside negative interest rates and forward guidance – had indeed been proportionate, taking into account any side effects, for instance on inequality and the financial sector.[6]

    Some concerns, however, require a more nuanced perspective.

    For example, there is little evidence to suggest that excessive risk appetite may be attributable to larger central bank balance sheets. If this were the case, we should have seen less risk-taking in markets as central banks began to withdraw their market footprint.

    But the opposite has been the case. Today equity markets are near all-time highs. This may be due to “animal spirits”[7], which have also been observed outside periods of central bank balance sheet growth. We saw them at play, for instance, during the dot-com bubble – a period when the cyclically adjusted price-to-earnings ratio hit its historic peak and central bank balance sheets were distinctly lean.

    Moreover, as the Eurosystem gradually reduces its footprint in sovereign bond markets by reducing its holdings of euro area government bonds, concerns about the size of the balance sheet are becoming less and less justified (Chart 1).[8]

    Chart 1

    Size of euro area government bond market and the Eurosystem’s market footprint

    (left-hand scale: EUR billions; right-hand scale: percentages)

    Sources: Eurosystem and Centralised Securities Database.

    Notes: The chart shows the evolution of the size of the euro area government bond market and splits it into outright holdings (yellow) and mobilised collateral (green), as well as what is not held or mobilised as collateral with the Eurosystem (blue). The Eurosystem market footprint is a relative measure, computed as the share of the Eurosystem’s euro area government bond (EGB) holdings compared with the nominal amount outstanding. Outright holdings are EGBs held by the Eurosystem via purchase programmes, adjusted by EGBs lent back via the securities lending against cash collateral facilities. Mobilised collateral includes EGBs mobilised as collateral for open market operations. The latest observations are for 31 January 2025.

    Going forward, an evolving economic landscape suggests that balance sheet policies could be increasingly useful as monetary policy instruments. Let me highlight two developments that are particularly relevant here.

    First, the non-bank financial sector has grown considerably over time and is becoming increasingly relevant in the funding of the real economy.

    In the euro area, the financial assets of non-banks have more than doubled since the global financial crisis.[9] Compared with banks, non-banks are more responsive to monetary policy measures that influence longer-term interest rates, such as asset purchases.[10] Given that non-banks adjust their portfolios more actively in response to changes in interest rates, this also increases the need for sufficient liquidity in the system to facilitate these adjustments.

    Second, geopolitical fragmentation means that the global economy is becoming more shock prone and subject to higher levels of uncertainty (Chart 2).

    Chart 2

    Global Economic Policy Uncertainty index

    (index)

    Source: Bloomberg.

    Note: The latest observation is for December 2024.

    In this environment, we need to remember that the euro area is subject to fragmentation risk. A key lesson from the sovereign debt crisis is that balance sheet policies have been instrumental in making the euro area a more “normal” jurisdiction from the perspective of monetary policy.

    As we navigate an increasingly complex economic landscape, the transition from abundant to less ample excess liquidity represents an inflection point that also requires close monitoring.

    In this environment, banks’ liquidity needs are met via a broad mix of instruments under our new operational framework. These include our short-term main refinancing operations (MROs) and three-month longer-term refinancing operations (LTROs) and will also include – at a later stage – structural longer-term credit operations and a structural portfolio of securities.[11]

    However, the decline in excess liquidity warrants careful monitoring, as it could exert additional tightening pressures on financial and financing conditions, potentially exceeding the intended policy stance.

    The implications of the ECB’s balance sheet for monetary policy in the current environment

    It is in this context that I would like to talk about the implications of our balance sheet for monetary policy in the current environment.

    The ECB’s balance sheet has been reduced at a faster pace than those of central banks in other major economies during their tightening cycles (Chart 3). So far, much of this decline can be attributed to banks’ repayments of TLTRO loans.[12]

    Chart 3

    Central bank total assets

    (index = 100 at the start of the respective policy rate hiking cycles)

    Sources: Bloomberg and ECB calculations.

    Notes: The x-axis starts on 21 July 2022, 16 March 2022 and 15 December 2021 for the Eurosystem, Federal Reserve System, and Bank of England respectively. For the Bank of England, reserve balances are used as a proxy for the total balance sheet. The latest observations are for 12 February 2025.

    Looking ahead, however, any further reduction in the size of our balance sheet will stem from the gradual unwinding of our asset purchase portfolios, as the Eurosystem no longer reinvests the principal payments from maturing securities.

    As in the past, the normalisation of our balance sheet has implications for our monetary policy stance and the possible risks to monetary policy transmission.

    The monetary policy stance

    Let me start with the implications for our monetary policy stance.

    Our reaction function for rate decisions is built around three well-known criteria: (i) the inflation outlook, (ii) the dynamics of underlying inflation and (iii) the strength of monetary policy transmission.

    Inflation has fallen by around three-quarters from its peak in late 2022 (Chart 4). The disinflation process is well on track, and our staff projections see inflation averaging 2.1% this year, 1.9% next year and 2.1% in 2027.

    Chart 4

    Headline inflation

    (annual percentage changes)

    Source: Eurostat.
    Note: The latest observation is for January 2025 (flash estimate).

    Most measures of underlying inflation suggest that inflation will settle at around our 2% medium-term target on a sustained basis. In particular, the ECB’s measure of the persistent and common component of inflation (PCCI)[13] – a more forward-looking indicator of underlying inflationary pressures that tends to better predict future inflation – stood at 2.1% in December, and 2.0% when excluding energy.

    Domestic inflation remains high, as wages and prices in certain sectors are still adjusting to the past inflation surge with a substantial delay. But our wage tracker is signalling a significant moderation in wage growth, and profits are partially buffering the impact on inflation.

    It is the third leg of our reaction function – the strength of monetary policy transmission – that I would like to discuss in more detail, however.

    As we cut interest rates, new borrowing for firms and households is becoming less expensive. But financing conditions continue to be tight – in part because our monetary policy remains restrictive and past rate hikes are still working their way through the economy.[14]

    While credit continues to expand, lending to firms and households remains subdued by historical standards. In December, the annual growth rate of lending to firms was roughly two-thirds below its historical average.[15] Growth in housing loans increased gradually but also remained muted overall, at around one-fifth of its long-term average (Chart 5).[16]

    Chart 5

    Loans to firms and households

    (percentage points)

    Sources: ECB (BSI) and ECB staff calculations.

    Note: The latest observations are for December 2024.

    At the same time, the recent gradual recovery in lending has not kept pace with the nominal growth of the economy, as reflected in the continued decline of the loan-to-GDP ratio (Chart 6).

    Chart 6

    Ratio of bank loans to GDP

    (percentages)

    Sources: ECB (BSI), Eurostat and ECB staff calculations.

    Note: The latest observation is for the third quarter of 2024.

    While policy rates remain our primary instrument for adjusting our monetary policy stance, the normalisation of our balance sheet may also affect the stance through two key channels.

    First, while our rate cuts exert downward pressure primarily at the short end of the yield curve, our quantitative tightening exerts upward pressure on long-term maturities and, to a lesser extent, intermediate ones. This serves to tighten financial conditions.[17]

    Indeed, the runoff of the asset portfolios of central banks has arguably been one of several factors contributing to a steepening of sovereign yield curves in recent months – akin to a reversal of the duration risk channel previously associated with central banks through quantitative easing (Chart 7).

    Chart 7

    New duration risk absorbed by private investors

    (EUR billions per basis point)

    Sources: Bloomberg and ECB.

    Notes: The chart shows the month-on-month change in the duration of government bonds held by private investors (i.e. investors other than the domestic central bank). Rates are approximated by weighted average maturity.

    At its peak in early 2022, the impact of current and expected Eurosystem bond holdings in our asset portfolios lowered ten-year sovereign bond yields by around 175 basis points.[18] Due to quantitative tightening, however, the easing impact has now fallen to around 75 basis points and is expected to further reduce over time (Chart 8).

    Chart 8

    Impact of APP and PEPP sovereign bond holdings on ten-year sovereign risk premia

    (basis points)

    Source: ECB calculations.

    Notes: The impacts are derived from an affine arbitrage-free model of the term structure with a quantity factor (see Eser et al., op. cit.) and an alternative version of the model recalibrated so that the model-implied yield reactions to the March PEPP announcement match the two-day yield changes observed after 18 March 2020. The model results are derived using GDP-weighted averages of the zero-coupon yields of the big-four sovereign issuers (DE, FR, IT and ES). The continuous line represents estimates based on real-time survey expectations. The dashed line is based on projections of the Eurosystem’s holdings of big-four sovereign bonds in the APP and PEPP as informed by the ECB’s December 2024 Survey of Monetary Analysts. The model abstracts from any potential holdings in a structural portfolio of securities. The latest observations are for January 2025 (monthly data).

    According to ECB research, an expected €1 trillion reduction in bond holdings may raise long-term risk-free interest rates by about 35 basis points (Chart 9).[19]

    Chart 9

    Expected term premium impact from running down the asset portfolio by €1 trillion

    (basis points)

    Sources: ECB December 2024 Survey of Monetary Analysts (SMA) and Akkaya, Y. et al., op.cit.

    Notes: The chart depicts the expected effect on the term premium of various assets with a ten-year maturity resulting from an expected €1 trillion decrease in the ECB’s bond holdings. Results are based on individual SMA responses from December 2022 until December 2023.

    Second, an environment marked by declining levels of central bank liquidity may constrain banks’ ability to extend credit.

    Research documents the strong relationship between loan supply and structural sources of liquidity, such as reserves obtained through credit easing programmes or those injected through quantitative easing interventions.

    More specifically, a €1 change in non-borrowed reserves or credit easing reserves is associated with a corresponding change in credit of approximately 15 cents or 10 cents respectively.[20] In other words, a €500 billion drop in non-borrowed reserves – similar to the one expected in 2025 as a result of the decline in our APP and PEPP holdings – is associated with a €75 billion decline in credit supply, equivalent to about 0.6 percentage points of downward pressure on loans to the non-financial private sector.[21]

    Accordingly, as central bank liquidity declines, we may see tighter credit conditions in the economy. This could slow down investment and consumption, with firms cutting back on capital expenditure and consumers reducing purchases of big-ticket items that require financing.[22]

    Incoming data suggest that euro area GDP growth will remain subdued in the short term. Industrial production decreased notably in December and surveys indicate that manufacturing is continuing to contract, whereas services activity is expanding at a moderate pace (Chart 10).

    Chart 10

    Purchasing Managers’ Index

    (diffusion indices)

    Source: S&P Global.

    Notes: “Output” and “New orders” correspond to the manufacturing and composite indices, and “Business activity” and “New business” to the services index. The latest observations are for January 2025.

    Given the uncertain economic environment, we are yet to see a sustained rebound in investment (Chart 11).[23] And while we continue to expect consumption to be the main driver of the recovery, rising real incomes have not yet encouraged households to increase their spending in a commensurate manner (Chart 12).[24] In the face of subdued domestic demand, our latest staff projections forecast a slower economic recovery than had been forecast in the September projections.[25]

    Chart 11

    Detailed decomposition of euro area real GDP

    (quarter-on-quarter percentage changes and percentage point contributions)

    Sources: Eurostat and ECB staff calculations.

    Note: The latest observations are for the fourth quarter of 2024 for real GDP, and for the third quarter of 2024 for the other components.

    Chart 12

    Real household disposable income and consumption

    (second quarter of 2022 = 100)

    Sources: Eurostat and ECB staff calculations.

    Note: The latest observations are for the third quarter of 2024.

    Moreover, geopolitical risks may create further headwinds for the recovery, which we will need to monitor carefully. Forthcoming findings from the ECB’s Consumer Expectations Survey (CES) suggest that consumers’ concerns about geopolitical risks are negatively affecting economic sentiment – leading to more pessimistic expectations, more elevated income uncertainty and, ultimately, a lower propensity to consume.

    We are determined to ensure that inflation stabilises sustainably at our 2% medium-term target. As we gradually cut rates towards neutral territory, we need to be mindful of the fact that we now have two monetary policy tools working in opposing directions, given our ongoing quantitative tightening. This is a first in our history at the ECB.

    We therefore need to ensure that we factor in the tightening of our balance sheet when calibrating our rate cuts to achieve our inflation aim. This is because the stance effects stemming from our rate cuts will be somewhat dampened by the tightening induced by the normalisation of our balance sheet.

    This is an important consideration when discussing the appropriate policy rate path.

    Risks to the transmission of our monetary policy

    Similarly, we need to be mindful of the possible risks to the transmission of our monetary policy to the real economy in view of the prevailing uncertainty and potential risks to financial stability.

    This cautious approach is crucial, especially given historical precedents where central banks faced unexpected challenges.

    In late 2019, for instance, the Federal Reserve System was unexpectedly forced to temporarily reverse its balance sheet retrenchment due to liquidity challenges in financial markets.[26] In 2022 the Bank of England halted quantitative tightening and launched emergency gilt purchases to safeguard financial stability after pension funds’ liability-driven investment strategies exposed systemic risks.[27]

    Recent bouts of market volatility also underscore that we should remain alert to the emergence of financial stability risks that may endanger transmission. Last August several factors converged to spark substantial market volatility.[28] The VIX, a market index that measures the implied volatility of the S&P 500 index, recorded its largest ever one-day spike (Chart 13).[29]

    Chart 13

    VIX index

    (percentages)

    Source: ECB staff calculations.

    Notes: Long run average calculated since January 2000. The latest observations are for 7 February 2025.

    Faced with such episodes of volatility, the further decline in our balance sheet must remain on a gradual and predictable path to avoid financial amplification effects.[30] This is especially important in an environment where euro area banks are already tightening their credit standards, especially for firms and consumer credit, due to higher perceived risks related to the economic outlook (Chart 14).[31]

    Chart 14

    Credit standards, demand for loans to firms and contributing factors

    (net percentages)

    Source: ECB (bank lending survey).

    Notes: “Actual” values are changes that have occurred, while “expected” values are changes anticipated by banks. Net percentages for the questions on credit standards for loans are defined as the difference between the sum of the percentages of banks responding “tightened considerably” and “tightened somewhat” and the sum of the percentages of banks responding “eased somewhat” and “eased considerably”. Net percentages for the questions on demand for loans are defined as the difference between the sum of the percentages of banks responding “increased considerably” and “increased somewhat” and the sum of the percentages of banks responding “decreased somewhat” and “decreased considerably”. “Other financing needs” as unweighted average of “M&A and corporate restructuring” and “debt refinancing/restructuring and renegotiation”; “Use of alternative finance” as unweighted average of “internal financing”, “loans from other banks”, “loans from non-banks”, “issuance/redemption of debt securities” and “issuance/redemption of equity”. The net percentages for “Other factors” refer to an average of the further factors which were mentioned by banks as having contributed to changes in credit standards or changes in loan demand, respectively. The latest observations are for the fourth quarter of 2024 (January 2025 bank lending survey).

    Our balance sheet policy instruments continue to be a crucial item in our toolbox. The expectation that we will use them if necessary protects the smooth transmission of our monetary policy and reduces the likelihood that we will need to use these tools in the first place.

    Moreover, in an environment of heightened uncertainty, even in the context of excess liquidity, we need to remain prudent and be ready to step in should another shock emerge. We should maintain the flexibility to swiftly expand liquidity facilities if stressful conditions arise.

    Conclusion

    Let me conclude.

    The ECB’s experience with balance sheet policies to date demonstrates their importance both for the monetary policy stance and for the transmission of our monetary policy to the real economy. They are a vital part of our toolkit.

    While policy rates remain our primary instrument for adjusting the monetary policy stance, we should also consider the role played by quantitative tightening in influencing overall financial and financing conditions – be it through the yield curve or through the bank lending channel.

    To strike the right balance, we should ensure that our rate decisions adequately compensate for the tightening induced by the reduction of our balance sheet.

    Thank you.

    MIL OSI Economics

  • MIL-OSI Economics: WTO chairpersons for 2025

    Source: World Trade Organization

    General Council

    H.E. Mr. Saqer Abdullah Almoqbel (Kingdom of Saudi Arabia)

    Dispute Settlement Body

    H.E. Ms. Clare Kelly (New Zealand)

    Trade Policy Review Body

    H.E. Mr. Asset Irgaliyev (Kazakhstan)

    Council for Trade in Goods

    H.E. Mr. Gustavo Nerio Lunazzi (Argentina)

    Council for Trade in Services

    H.E. Mr. Ram Prasad Subedi (Nepal)

    Council for Trade-Related Aspects of Intellectual Property Rights (TRIPS)

    Mme. Emmanuelle Ivanov-Durand (France)

    Committee on Trade and Development

    H.E. Dr. Mzukisi Qobo (South Africa)

    Committee on Balance-of-Payments Restrictions

    H.E. Dr. José R. Sánchez-Fung             (Dominican Republic)

    Committee on Budget, Finance and Administration

    H.E. Mrs. Carmen Heidecke (Germany)

    Committee on Trade and Environment

    H.E. Mr. Erwin Bollinger (Switzerland)

    Committee on Regional Trade Agreements

    H.E. Mr. José Valencia (Ecuador)

    Working Group on Trade, Debt and Finance

    H.E. Mr. Suon Prasith (Cambodia)

    Working Group on Trade and Transfer of Technology

    H.E. Mr. Salomon Eheth (Cameroon)

    Council for Trade in Services in Special Session

    H.E. Dr. Adamu Mohammed Abdulhamid (Nigeria)

    MIL OSI Economics

  • MIL-OSI NGOs: France: Lawmakers must reject ‘discriminatory’ bill to ban hijabs in all sports

    Source: Amnesty International –

    Proposed bill would ban wearing ‘ostensibly religious’ clothing and symbols in French sports

    Senate to debate and vote the bill this week

    New law would exacerbate the blatant religious, racial and gender discrimination already experienced by Muslim women in France

    ‘The sports hijab bans in France are yet another measure underpinned by Islamophobia and a patriarchal attempt to control what Muslim women wear’ – Anna Błuś

    French lawmakers must reject a discriminatory bill that would ban the wearing of “ostensibly religious” clothing and symbols during competitions in all French sports, Amnesty International said ahead of this week’s Senate debate and vote. 

    The ban which would apply to competitions organised by sports federations, their decentralised bodies, professional leagues and affiliated associations as well as swimming pools, is being debated today and tomorrow ahead of an expected vote.

    Anna Błuś, Amnesty International’s Researcher on Gender Justice in Europe, said:

    “At the Paris Olympics, France’s ban on French women athletes who wear headscarves from competing at the Games drew international outrage. Just six months on, French authorities are not only doubling down on the discriminatory hijab ban but are attempting to extend it to all sports.

    “Under the guise of implementing the notion of ‘secularism’, these laws in reality target and disproportionately impact the rights of Muslim women and girls who will be excluded from competing in all sports if they wear a hijab or any other religious clothing.

    “To equate the wearing of a headscarf with “an attack on secularism” is not only absurd but dangerous and would only serve to create division this proposed law purports to want to tackle. This law would exacerbate the blatant religious, racial and gender discrimination already experienced by Muslim women in France.

    “All women have the right to choose what to wear. The sports hijab bans in France are yet another measure underpinned by Islamophobia and a patriarchal attempt to control what Muslim women wear. This bill must be rejected”  

    “Laïcité”, or “secularism”, which is theoretically embedded in the French constitution to protect everyone’s religious freedom, has often been used as a pretext to block Muslim women’s access to public spaces in France. Over several years, the French authorities have enacted laws and policies to regulate Muslim women’s and girls’ clothing, in discriminatory ways. Sport federations have followed suit, imposing hijab bans in several sports. 

    Damaging impact of hijab ban in French sport

    In the run up to the 2024 Olympic Games, Amnesty published findings setting out the damaging impact of hijab bans in sports on women and girls in France and exposing how the bans contradict the clothing rules of international sport bodies.

    The research looked at rules in 38 European countries and found that France is the only one that has imposed bans on religious headwear in sports. It found that preventing Muslim women and girls from fully and freely participating in sports can have devastating impacts on all aspects of their lives, including on their mental and physical health.  

    In October 2024, United Nations experts condemned these bans as “disproportionate and discriminatory” and called for their reversal. But instead of addressing these pressing concerns, French authorities are now attempting to expand their restrictions to Muslim women’s participation in sports through this bill.  

    As well as banning religious clothing, the bill would also prohibit prayers from taking place in any sports facilities or grounds and introduce a requirement for sports educators to undergo “administrative investigations…prior to the issuance of the sports educator’s professional card”.   

    Haïfa Tlili, sociologist and co-founder of Basket Pour Toutes, told Amnesty International:

    “There is no objective data to justify decisions that severely restrict the freedoms of Muslim female licence-holders who decide to wear sports headgear. It is therefore incorrect and unjustified to assert that the rules which exclude Muslim sportswomen and girls are necessary, appropriate and proportionate for the proper functioning of public service.”

    Basketball player and another Basket Pour Toutes co-founder, Hélène Bâ, described how hijab bans force Muslim women to make an impossible choice.

    This new law would have appalling consequences for Muslim women and girls: humiliation, stigmatisation, trauma, withdrawal from sport, breakdown of social ties, loss of self-confidence, disappearance of women’s teams, endangerment of clubs.”

    The explanatory note to the bill says that the “neutrality” requirement as interpreted in French law extends to employees and volunteers of sports federations, for instance coaches and referees and even “high level athletes”.  

    According to a report accompanying the bill, this legislation has been prompted by “growing attacks on secularism” and the need to address reports of “radicalisation”, “communitarianism” and “Islamist separatism” in French sports. It argues that banning clothing such as sports hijabs would prevent the formation of “counter-societies”.  

    By placing the wearing of a headscarf on the spectrum of “attacks on secularism”, which range from “permissiveness” to “terrorism”, this legislation, if passed, would fuel racism and reinforce the growing hostile environment facing Muslims and those perceived to be Muslim in France. Indeed, framing headscarves as a security threat or singling them out as a symbol of women’s oppression is imbued with negative and discriminatory stereotypes that are endemic to the “othering” of Muslim women because of their religion. 

    Political disagreement on the merits of the bill

    The proposal was submitted to the Senate on 5 March 2024 by Senator Michel Savin after being debated in the Standing Commission on Cultural, Educational, Communication and Sports Affairs, revealing deep disagreements between senators on the merits of the bill. A previous attempt to ban religious headwear in all sports at the national level was rejected by the Senate in February 2022.    

    https://www.senat.fr/rap/l23-667/l23-667_mono.html – explanatory note  

    https://www.senat.fr/leg/ppl23-668.html – bill text only  

    MIL OSI NGO

  • MIL-OSI NGOs: France: Hijab ban in all sports would violate human rights and target Muslim women and girls 

    Source: Amnesty International –

    French lawmakers must reject a discriminatory bill that would ban the wearing of “ostensibly religious” clothing and symbols during competitions in all French sports, Amnesty International said ahead of a debate in the Senate which starts today and will be followed by a vote. 

    The ban which would apply to competitions organized by sports federations, their decentralized bodies, professional leagues and affiliated associations as well as swimming pools, is being debated today and tomorrow ahead of an expected vote.

    Six months after the Paris Olympics, French authorities are not only doubling down on the discriminatory hijab ban but are attempting to extend it to all sports

    “At the Paris Olympics, France’s ban on French women athletes who wear headscarves from competing at the Games drew international outrage. Just six months on, French authorities are not only doubling down on the discriminatory hijab ban but are attempting to extend it to all sports,” said Anna Błuś, Amnesty International’s Researcher on Gender Justice in Europe. 

    “Under the guise of implementing the notion of ‘secularism’, these laws in reality target and disproportionately impact the rights of Muslim women and girls who will be excluded from competing in all sports if they wear a hijab or any other religious clothing.” 

    “Laïcité”, or “secularism”, which is theoretically embedded in the French constitution to protect everyone’s religious freedom, has often been used as a pretext to block Muslim women’s access to public spaces in France. Over several years, the French authorities have enacted laws and policies to regulate Muslim women’s and girls’ clothing, in discriminatory ways. Sport federations have followed suit, imposing hijab bans in several sports. 

    In the run up to the 2024 Olympic Games, Amnesty International published findings setting out the damaging impact of hijab bans in sports on women and girls in France and exposing how the bans contradict the clothing rules of international sport bodies. The research looked at rules in 38 European countries and found that France is the only one that has imposed bans on religious headwear in sports. It found that preventing Muslim women and girls from fully and freely participating in sports can have devastating impacts on all aspects of their lives, including on their mental and physical health.  

    In October 2024, United Nations experts condemned these bans as “disproportionate and discriminatory” and called for their reversal. But instead of addressing these pressing concerns, French authorities are now attempting to expand their restrictions to Muslim women’s participation in sports through this bill.  

    As well as banning religious clothing, the bill would also prohibit prayers from taking place in any sports facilities or grounds and introduce a requirement for sports educators to undergo “administrative investigations…prior to the issuance of the sports educator’s professional card”.   

    “There is no objective data to justify decisions that severely restrict the freedoms of Muslim female licence-holders who decide to wear sports headgear. It is therefore incorrect and unjustified to assert that the rules which exclude Muslim sportswomen and girls are necessary, appropriate and proportionate for the proper functioning of public service,” Haïfa Tlili, sociologist and co-founder of Basket Pour Toutes, told Amnesty International.  

    Basketball player and another Basket Pour Toutes co-founder, Hélène Bâ, described how hijab bans force Muslim women to make an impossible choice. “This new law would have appalling consequences for Muslim women and girls: humiliation, stigmatisation, trauma, withdrawal from sport, breakdown of social ties, loss of self-confidence, disappearance of women’s teams, endangerment of clubs,” she told Amnesty International. 

    The explanatory note to the bill says that the “neutrality” requirement as interpreted in French law extends to employees and volunteers of sports federations, for instance coaches and referees and even “high level athletes”.  

    According to a report accompanying the bill, this legislation has been prompted by “growing attacks on secularism” and the need to address reports of “radicalisation”, “communitarianism” and “Islamist separatism” in French sports. It argues that banning clothing such as sports hijabs would prevent the formation of “counter-societies”.  

    “All women have the right to choose what to wear. This bill must be rejected”  

    By placing the wearing of a headscarf on the spectrum of “attacks on secularism”, which range from “permissiveness” to “terrorism”, this legislation, if passed, would fuel racism and reinforce the growing hostile environment facing Muslims and those perceived to be Muslim in France. Indeed, framing headscarves as a security threat or singling them out as a symbol of women’s oppression is imbued with negative and discriminatory stereotypes that are endemic to the “othering” of Muslim women because of their religion. 

    “To equate the wearing of a headscarf with “an attack on secularism” is not only absurd but dangerous and would only serve to create division this proposed law purports to want to tackle. This law would exacerbate the blatant religious, racial and gender discrimination already experienced by Muslim women in France,” said Anna Błuś. 

    “All women have the right to choose what to wear. The sports hijab bans in France are yet another measure underpinned by Islamophobia and a patriarchal attempt to control what Muslim women wear. This bill must be rejected”  

    BACKGROUND 

    The proposal was submitted to the Senate on 5 March 2024 by Senator Michel Savin after being debated in the Standing Commission on Cultural, Educational, Communication and Sports Affairs, revealing deep disagreements between senators on the merits of the bill. A previous attempt to ban religious headwear in all sports at the national level was rejected by the Senate in February 2022.    

    https://www.senat.fr/rap/l23-667/l23-667_mono.html – explanatory note  

    https://www.senat.fr/leg/ppl23-668.html – bill text only  

    The debate is scheduled for 18 and 19 February

    An OpEd was published in Nouvel Observateur here

    MIL OSI NGO

  • MIL-OSI USA: With SUNY Upstate Set To Lose Millions In Federal Funding, Senator Gillibrand, Rep. Mannion Highlights Potential Upheaval Of Local Economy, End To Lifesaving Medical Research

    US Senate News:

    Source: United States Senator for New York Kirsten Gillibrand
    National Institutes Of Health Funding Supports 30,000 Jobs and $8 Billion In Economic Activity In New York Alone;
    Funding Cuts Will Cost Jobs, Derail Critical Research, And Endanger Public Health
    SUNY Research Foundation Would Lose An Estimated $79 Million 
    Gillibrand Leading Bipartisan Call To Reverse Cuts
    Today, U.S. Senator Kirsten Gillibrand and Representative John Mannion visited SUNY Upstate Medical University to highlight the impact of President Trump’s recent cuts to National Institutes of Health (NIH) funding on the university and the local economy. 
    SUNY Upstate receives dozens of NIH grants to study cancer, cardiovascular disease, infectious disease, aging, mental health, and much more. Slashed funding would force researchers to abandon this critical work and extinguish hope for patients and families looking for cures. This funding cut could also put thousands of jobs across New York State at risk; NIH funding supports roughly 30,000 jobs in New York State alone. 
    “New York is home to top notch universities that attract the world’s best scientists conducting cutting-edge research,” said Senator Gillibrand. “President Trump’s attempt to radically cut funding for SUNY Upstate and other research institutions is irresponsible and short-sighted. It will imperil research that saves lives and is guaranteed to hurt our economy and the thousands of New Yorkers employed by local research institutions. These cuts are facing strong bipartisan opposition, and I am working across the aisle with my colleagues in the New York delegation, including Congressman Mannion, to call on the Trump administration to reverse them.”
    “I join Senator Gillibrand in rejecting cuts to NIH funding and staff that would have devastating consequences for lifesaving medical research happening right here in Central New York,” said Representative John W. Mannion said. “At the CNY Biotech Accelerator, researchers rely on NIH support to develop breakthrough treatments and technologies that improve and save lives. Slashing these resources will make government less efficient, put innovation at risk, delay critical medical advancements, and threaten local jobs in our growing biotech sector. We must protect federal investments in science and health.”
    “At SUNY, we are proud of our extraordinary researchers and the life-changing, groundbreaking medical discoveries they have dedicated their careers to advancing,” said SUNY Chancellor John B. King Jr. “From working to cure Alzheimer’s disease to improving cancer outcomes, from supporting 9/11 first responders to detecting brain aneurysms, their research is essential to our national security and economic leadership.”
    “Upstate Medical University is fortunate to have leading researchers among its faculty finding cures and better treatments for cancer, Alzheimer’s disease, lupus and many other disorders. Biomedical research is an essential part of being an academic medical institution that adds to the vibrancy of our CNY community,” said Upstate Medical University President Mantosh Dewan, MD.
    “Cutting NIH funding would be a devastating blow to the future of medical innovation and the fight against diseases like Alzheimer’s and cancer. These cuts threaten to stall groundbreaking research, delay critical treatments, and stifle the progress of startups working tirelessly to bring lifesaving therapies to patients. Right here in Central New York, the CNY Biotech Accelerator is home to incredible companies working on cutting-edge medical breakthroughs. Many of them rely on NIH support, and these cuts could mean fewer innovations, fewer jobs, and fewer solutions for the patients who need them most. We cannot afford to let innovation be the casualty of short-sighted policy decisions,” said NYS Senator Chris Ryan. 
    “The American people deserve the best medical research in the world and thanks to our historic investments in this area, scientists at universities and academic medical centers across New York State are finding cures and treatments for conditions like cancer, heart disease, Alzheimer’s, diabetes and stroke,” said Win Thurlow, Executive Director, LifeSciencesNY. “This work not only saves lives, but also strengthens the local economy.  Biomedical research creates jobs and opportunities for all New Yorkers. Cutting support for this research means that cures will go undiscovered, jobs will be lost and our communities will suffer.”
    “Basic and applied medical research at NYS higher education institutions and agencies is critical to improving and saving lives. Federal funding, particularly from NIH, is imperative. Any disruption in funding may cause delays in important discoveries and upheaval in the work and lives of researchers and patients. Federal funds help drive New York’s economy for all New Yorkers. Cutting NIH funding hobbles medical research resulting in both immediate and long-term consequences for all Americans,” said Assemblyman Al Stirpe.
    Last week, the Trump administration announced that it would slash billions in federal funding for research institutions nationwide by imposing a cap on “indirect costs” for research associated with NIH grants. Indirect costs are expenses that are essential for scientific research, and include the construction and maintenance of research facilities, the purchase of costly scientific tools, and support staffing for major research projects. SUNY Upstate is set to lose $5 million in funding for indirect costs, and the SUNY Research Foundation would lose an estimated $79 million overall, which would cripple New York scientists’ ability to continue to conduct much of their research. New York institutions are expected to lose $850 million in total. While a federal judge has temporarily paused these cuts from going into effect, they have created chaos and confusion for the New York institutions that rely on a steady and stable flow of NIH funding. 
    The full text of Senator Gillibrand’s bipartisan letter with Senator Schumer and Representatives Mannion, Morelle, Garbarino, Lawler, Clarke, Espaillat, Gillen, Goldman, Kennedy, Latimer, Meng, Meeks, Nadler, Ocasio-Cortez, Suozzi, Tonko, Torres, Velázquez, Riley, and Ryan highlighting the impact these cuts would have on New York is available here.
    The full text of Senator Gillibrand’s letter with 46 Senate Democrats is available here. 

    MIL OSI USA News

  • MIL-OSI: Arogo Capital Acquisition Corp. Executes Business Combination Agreement with Bangkok Tellink Co., Ltd.

    Source: GlobeNewswire (MIL-OSI)

    The proposed transaction represents an equity value on a pro-forma basis of a total equity value of the combined company of USD350 million ~

    ~ Bangkok Tellink Co., Ltd. is an emerging leader in advanced telecommunications, mobile network technology, and Internet of Things (IoT) solutions ~

    ~ Leveraging its successful track record, Bangkok Tellink Co., Ltd. seeks enhanced access to U.S. capital markets to accelerate the rollout of its next-gen telecommunication technologies, foster broader geographic expansion, and provide increased financial flexibility to advance research and development efforts ~

    Miami, FL and Bangkok, Thailand, Feb. 18, 2025 (GLOBE NEWSWIRE) — Arogo Capital Acquisition Corp. (OTC: AOGO), a Delaware special purpose acquisition company (“Arogo”), and Bangkok Tellink Company Limited, a Thai registered company (“Bangkok Tellink”), today announced their execution of a definitive business combination agreement (the “Business Combination Agreement”) for a proposed business combination in a transaction valued at $350 million on February 14, 2025.

    The transaction contemplated in the Business Combination Agreement is expected to result in a newly combined company to be listed on The Nasdaq Global Market. Upon the closing of the transaction, Bangkok Tellink will continue to be led by its CEO, Mr. Nusttanakit Sasianon. The boards of directors of Bangkok Tellink and Arogo Capital Acquisition Corp. have unanimously approved the transaction

    Bangkok Tellink is a licensed Mobile Virtual Network Service Operator (“MVNO”) as well as a licensed Mobile Virtual Network Aggregator (“MVNA”) and offers mobile phone packages across multiple frequencies (e.g., 700MHz, 850MHz, 2100MHz, 2300MHz, and 26GHz) and, under its “INFINITE” brand, provides a range of services including Smart Solutions, IoT Sim Cards, eSIMs, SMPP (i.e., virtual SMS), SIP trunk (voice virtual number), and software development.  

    The eSIM market in Thailand is growing as it offers convenience for consumers and flexibility for businesses. eSIM technology allows users to switch mobile operators without changing physical SIM cards and is spearheading a transformative shift in connectivity, promoting Thailand’s progression towards a sophisticated digital economy. The exploding demand for eSims reflects Thailand’s commitment to expanding its telecommunications infrastructure and has positioned it as a leader in Southeast Asia.1

    Bangkok Tellink is uniquely positioned to facilitate the growth of Thailand’s digital economy that is driven by the need for enhanced economic competitiveness, improved public services, and sustainable growth. eSIM technology supports this transformation by simplifying connectivity for businesses and consumers alike, facilitating more efficient operations, and enhancing the accessibility of digital services across the country

    Nusttanakit Sasianon, CEO of Bangkok Tellink commented, “This is an exciting moment for Bangkok Tellink to expand our business, enhance our product and service offerings, and accelerate our growth. We are excited to continue to foster this business combination with the Arogo team to generate attractive value for our shareholders.”

    Suradech Taweesaengsakulthai, CEO of Arogo added, “We’re thrilled to partner with the Bangkok Tellink team to capitalize on their proven track record and support the expansion of their operations to meet the demand for its services including Smart Solutions, IoT Sim Cards, eSIMs, SMPP (i.e., virtual SMS), SIP trunk (voice virtual number), and software development. We have strong confidence in Bangkok Tellink’s management team and business model. We look forward to a successful closing of the business combination.” 

    The completion of the business combination is subject to regulatory approvals, the approval of the transaction by the shareholders of Arogo and Bangkok Tellink, and the satisfaction or waiver of other customary closing conditions.   Bangkok Tellink believes that its planned listing, in addition to creating a capital platform for its development and gaining the attention of investors in the international capital markets, will further promote Bangkok Tellink’s growth strategy.

    Additional information about the business combination, including a copy of the Business Combination Agreement, will be available in a Current Report on Form 8-K to be filed by Arogo with the Securities and Exchange Commission (the “SEC”), followed by a Registration Statement on Form F-4 to be filed by Pubco with the SEC.

    Advisors
    Rimon P.C. (Washington D.C.) serves as United States legal counsel to Arogo.

    Araya & Partners Co., Ltd. (Bangkok) serves as legal counsel to Bangkok Tellink Co., Ltd.  

    ARC Group Limited is acting as sole financial advisor to Arogo.

    About Bangkok Tellink Co., Ltd.
    Bangkok Tellink Co., Ltd, established in 2019, is at the forefront of Thailand’s telecommunications industry. By offering mobile network infrastructure, IoT devices, E-sim services, and software development, Bangkok Tellink provides integrated solutions that foster connectivity and productivity. Bangkok Tellink invests in innovation, operational efficiency, and sustainability to position itself as a prominent telecommunications and technology leader.

    About Arogo Capital Acquisition Corp.
    Arogo Capital Acquisition Corp. is a blank check company formed in 2021 for the purpose of effecting a merger, capital stock exchange, asset acquisition, share purchase, reorganization or similar business combination with one or more businesses. On December 29, 2021, Arogo consummated an initial public offering of its units that consisted of one share of Class A common stock and one redeemable warrant. Each whole warrant entitles the holder to purchase one share of Class A common stock at a price of $11.50 per share, subject to adjustment. For more information, visit www.arogocapital.com.

    Important Information and Where to Find It.

    For additional information on the proposed transaction, see Arogo’s Current Report on Form 8-K, which will be filed concurrently with this press release. In connection with the proposed transaction, Arogo intends to file relevant materials with the SEC, including a registration statement on Form F-4 by Pubco, which will include a proxy statement/prospectus, and other documents regarding the proposed transaction. Arogo’s shareholders and other interested persons are advised to read, when available, the preliminary proxy statement/ prospectus and the amendments thereto and the definitive proxy statement and documents incorporated by reference therein filed in connection with the proposed business combination, as these materials will contain important information about Bangkok Tellink and Arogo and the proposed business combination.

    Promptly after the Form F-4 is declared effective by the SEC, Arogo will mail the definitive proxy statement/prospectus and a proxy card to each shareholder entitled to vote at the meeting relating to the approval of the business combination and other proposals set forth in the proxy statement/prospectus. Before making any voting or investment decision, investors and shareholders of Arogo are urged to carefully read the entire registration statement and proxy statement/prospectus, when they become available, and any other relevant documents filed with the SEC, as well as any amendments or supplements to these documents, because they will contain important information about the proposed transaction. The documents filed by Arogo with the SEC may be obtained free of charge at the SEC’s website at www.sec.gov, or by directing a request to Arogo Capital Acquisition Corp., 848 Brickell Avenue, Penthouse 5, Miami, FL 33131.

    Participants in the Solicitation

    Arogo and certain of its directors, executive officers and other members of management and employees may, under SEC rules, be deemed to be participants in the solicitation of proxies from Arogo’s shareholders in connection with the proposed transaction. A list of the names of those directors and executive officers and a description of their interests in Arogo will be included in the proxy statement/prospectus for the proposed business combination when available at www.sec.gov.

    Information about Arogo’s directors and executive officers and their ownership of Arogo shares of common stock is set forth in Arogo’s final prospectus for its for its initial public offering filed with the SEC on December 28, 2021, as modified or supplemented by any Form 3 or Form 4 filed with the SEC since the date of such filing. Other information regarding the interests of the participants in the proxy solicitation will be included in the proxy statement/prospectus pertaining to the proposed business combination when it becomes available. These documents can be obtained free of charge from the source indicated above.

    Bangkok Tellink and its directors and executive officers may also be deemed to be participants in the solicitation of proxies from the shareholders of Arogo in connection with the proposed business combination. A list of the names of such directors and executive officers and information regarding their interests in the proposed business combination will be included in the proxy statement/prospectus for the proposed business combination.

    Additional information regarding the participants in the proxy solicitation and a description of their direct and indirect interests will be included in the proxy statement/prospectus to be filed with the SEC on Form F-4. Shareholders, potential investors and other interested persons should read the proxy statement/prospectus carefully when it becomes available before making any voting or investment decisions. You may obtain free copies of these documents from the sources indicated above.

    Cautionary Statement Regarding Forward-Looking Statements

    Certain statements contained in this press release constitute “forward-looking statements” within the meaning of federal securities laws. Forward-looking statements may include, but are not limited to, statements with respect to (i) trends in the financial advisory industry, including changes in demand and supply related to Bangkok Tellink’s products; (ii) Bangkok Tellink’s growth prospects and Bangkok Tellink’s market size; (iii) Bangkok Tellink’s projected financial and operational performance including relative to its competitors; (iv) new product and service offerings Bangkok Tellink may introduce in the future; (v) the potential transaction, including the implied enterprise value, the expected post-closing ownership structure and the likelihood and ability of the parties to consummate the potential transaction successfully; (vi) the risk the proposed business combination may not be completed in a timely manner or at all, which may adversely affect the price of Arogo securities; (vii) the failure to satisfy the conditions to the consummation of the proposed business combination, including the approval of the proposed business combination by the shareholders of Arogo; (viii) the effect of the announcement or pendency of the proposed business combination on Arogo’s or Bangkok Tellink’s business relationships, performance and business generally; (ix) the outcome of any legal proceedings that may be instituted against Arogo or Bangkok Tellink related to the proposed business combination or any agreement related thereto; (x) the ability to maintain the listing of Arogo on OTC; (xi) the price of Arogo’s securities, including volatility resulting from changes in the competitive and regulated industry in which Bangkok Tellink operates, variations in performance across competitors, changes in laws and regulations affecting Bangkok Tellink’s business and changes in the combined capital structure; (xii) the ability to implement business plans, forecasts, and other expectations after the completion of the proposed business combination and identify and realize additional opportunities; and (xiii) other statements regarding Arogo’s or Bangkok Tellink’s expectations, hopes, beliefs, intentions and strategies regarding the future.

    In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions are forward-looking statements. The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intends,” “outlook,” “may,” “might,” “plan,” “possible,” “potential,” “predict,” “project,” “should,” “would,” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject, are subject to risks and uncertainties.

    You should carefully consider the risks and uncertainties described in the “Risk Factors” section of Arogo’s final prospectus for its for its initial public offering filed with the SEC on December 28, 2021, as modified or supplemented by any Form 3 or Form 4 filed with the SEC since the date of such filing and the proxy statement/prospectus relating to this transaction, which is expected to be filed by Arogo with the SEC, other documents filed by Arogo from time to time with SEC, and any risk factors made available to you in connection with Arogo, Bangkok Tellink, and the transaction. These forward-looking statements involve a number of risks and uncertainties (some of which are beyond the control of Bangkok Tellink and Arogo) and other assumptions, that may cause the actual results or performance to be materially different from those expressed or implied by these forward-looking statements. Arogo and Bangkok Tellink caution that the foregoing list of factors is not exclusive.

    No Offer or Solicitation

    This press release relates to a proposed business combination between Arogo and Bangkok Tellink, and does not constitute a proxy statement or solicitation of a proxy and does not constitute an offer to sell or a solicitation of an offer to buy the securities of Arogo or Bangkok Tellink, nor shall there be any sale of any such securities in any state or jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of such state or jurisdiction.

    Contacts

    Arogo Capital Acquisition Corp.
    Attn: Ms. Nisachon Rattanamee
    Email: nisachon@arogocapital.com

    Bangkok Tellink Company Limited
    Attn: Daniel Fong
    Email: daniel@s1winconsultant.com

    Sources
    Arogo Capital Acquisition Corp and Bangkok Tellink Company Limited


    1eSIM Technology: Fueling Thailand’s Transition to a Digital Economy | Global YO

    The MIL Network

  • MIL-OSI: AI Unlimited Group Strengthens Leadership and Market Position with S-1 Filing and Strategic Board Appointments

    Source: GlobeNewswire (MIL-OSI)

    LOS ANGELES, Feb. 18, 2025 (GLOBE NEWSWIRE) — AI Unlimited Group, Inc. (AIUG) has taken a significant step forward in its corporate evolution with the lodgment of its S-1 registration statement, marking the transition from early-stage growth to an acceleration phase backed by institutional capital. As part of this pivotal milestone, the company has strengthened its leadership structure with the appointment of seasoned industry veterans to its Nominee Board of Directors, reinforcing AIUG’s commitment to operational excellence, technology leadership, and market expansion.

    AI Unlimited Group operates at the intersection of artificial intelligence and financial services, delivering innovative solutions across liability management, wealth automation, travel financing, and receivables optimization. The company’s sophisticated AI-driven platforms address critical inefficiencies in global financial markets, providing scalable and high-impact solutions for consumers and businesses alike.

    Strengthening Governance with World-Class Leadership
    AI Unlimited Group is pleased to announce the nomination of Al Weiss, Lisa Licht, and Maj. Gen. (Ret) Alberto C. Rosende to its Board of Directors to support Founder and CEO, Trent McKendrick. These accomplished executives bring a wealth of experience across global financial services, operations, technology, and corporate strategy.

    Al Weiss, former President of Worldwide Operations at Disney Parks & Resorts, managed a $10 billion portfolio and led the expansion of Disney’s global assets. His extensive expertise in large-scale operations, strategic planning, and brand stewardship will contribute to AIUG’s long-term vision and execution strategy.

    Lisa Licht, a brand and digital transformation expert, has held executive roles at Live Nation, Yahoo, and 20th Century Fox, where she successfully implemented strategies that drove revenue growth and digital engagement. Her leadership will be instrumental in positioning AIUG’s technology platforms for market leadership.

    Maj. Gen. (Ret) Alberto C. Rosende, a decorated U.S. Army veteran and payments industry executive, brings over three decades of experience in financial risk management at Visa and American Express. His insights will support AIUG’s financial infrastructure, security, and regulatory compliance framework.

    AI Unlimited Group uses SOTA AI models across its apps, providing unmatched personalization, efficiency, and insights for users in finance, travel, and debt management.

    Positioned for Expansion in High-Growth Markets
    AI Unlimited Group’s portfolio comprises four advanced AI-driven platforms:

    – Lever – AI-powered student loan optimization and liability management

    – NestEgg – AI-driven automated investing and retirement solutions

    – Travl.App – AI-enhanced travel planning, savings, and financing

    – Resolve Debt – AI-first accounts receivable and debt recovery automation

    Travl.App: Launching Q1 2025 to Revolutionize Travel Finance
    Travl.App is AI Unlimited Group’s latest innovation in travel planning and financial management, designed to remove financial barriers and enhance the way users plan, book, and save for their trips. By leveraging advanced AI-powered insights, Travl.App provides tailored itineraries, cost-saving strategies, and seamless financing options, ensuring a personalized and intuitive travel experience. Helping, 74% of millennials who struggle to save towards travel, making up 29 million unfulfilled vacations!

    Ike Pyun, SVP of Travl.App, added: Travl.App is not just another travel platform—it’s a personalized travel experience and AI-powered travel assistant designed to empower users to plan and book smarter while managing their budgets and providing digital savings wallets. Our goal is to make travel financially seamless by integrating intelligent savings strategies, personalized recommendations, and flexible financing solutions that meet the evolving needs of modern travelers.”

    Set to launch in Q1 2025, Travl.App integrates real-time pricing data, predictive travel trends, and flexible buy-now-pay-later (BNPL) financing to make travel more accessible and financially manageable for a global audience.

    Strategic Underwriting Partnership with The Benchmark Company
    AI Unlimited Group has engaged The Benchmark Company as the lead underwriter for its Nasdaq public offering, reinforcing institutional confidence in its strategic direction, growth trajectory, and market opportunity. Benchmark’s deep expertise in capital markets will support AIUG’s scalability, investor relations, and long-term shareholder value creation.

    CEO and SVP Statements
    Trent McKendrick, Founder and CEO of AI Unlimited Group, commented:

    “Filing our S-1 registration is a landmark moment for AI Unlimited Group as we transition from an early-stage innovator to a high-growth enterprise. With our expanded leadership team and strategic partnerships, we are building an unparalleled ecosystem that combines AI-driven financial technology with scalable market solutions. We remain steadfast in our mission to revolutionize financial independence through automation, ensuring we provide long-term value for our investors and stakeholders.”

    A Defining Moment in AI-Driven Financial Technology
    With the S-1 registration now filed, AI Unlimited Group is embarking on the next stage of its corporate journey. Backed by a strong leadership team, cutting-edge AI infrastructure, and a robust market opportunity, the company is well-positioned to drive innovation, expand its platform offerings, and maximize shareholder returns.

    Investor Relations Contact:

    TraDigital IR
    John McNamara
    917-658-2602
    John@tradigitalir.com

    The MIL Network

  • MIL-OSI: Siebert Williams Shank Expands Public Finance Banking Team with Two Key Hires

    Source: GlobeNewswire (MIL-OSI)

    NEW YORK, Feb. 18, 2025 (GLOBE NEWSWIRE) — Siebert Williams Shank & Co. (SWS) is strengthening its public finance banking platform with the addition of a new banker and office in the Southeast Region in addition to a new hire in California.

    Tamika Reed joins Siebert Williams Shank as a Senior Vice President focused on state and local government municipal bonds issuers throughout the Southeast Region. With her arrival SWS has opened a new office in Montgomery, Alabama. The firm now counts 28 branches nationwide, up from 19 in 2019.

    Tamika Reed, Senior Vice President at SWS

    Reed previously worked as a public finance banker at The Frazer Lanier Company in Montgomery. Prior to transitioning into public finance, she was a staff attorney for the Alabama Education Association, where she represented public school education employees with legal issues throughout the state of Alabama.

    Reed was nominated by Governor Kay Ivey to serve on the Alabama Women’s Tribute Statue Commission. She is the chairwoman of the Montgomery Health and Wellness Task Force as well as the 100 Women Strong Committee and is a board member for the National Women in Public Finance organization.

    “I’m really thrilled to join Siebert Williams Shank & Co.,” Reed said. “They have helped finance some of the most important infrastructure projects in the country in recent years. I look forward to being part of a public finance team that continues to demonstrate impressive growth.”

    “Tamika is a super versatile public finance banker with deep experience in the field of law,” said Sean Werdlow, SWS Head of Southeast Region. “We’re extremely excited that she is bringing her considerable expertise to delivering the highest quality execution for our clients.”

    Siebert Williams Shank is also bringing on Narineh Panosian, who joins SWS as a Vice President based in the firm’s Los Angeles office. She will support SWS’ work with K-14 school districts and community college districts throughout the West Region.

    Panosian brings deep experience producing financial solutions for municipal and not-for-profit clients throughout the West Coast, in addition to overseeing funding plans for capital projects. Among other accomplishments, she has assisted school districts with credit rating strategies which have resulted in positive outcomes.

    “We are excited to have Narineh join our team and support our growth in the West Region given her extensive banking experience, especially in the K-14 sector where we are focused on expanding our presence,” said Grace Yuen, SWS Head of West Region, Municipal Finance.

    So far in 2025, SWS is currently ranked #3 in senior managed negotiated par among all firms nationally with an aggregate par size of approximately $4.5 billion.

    “Siebert is committed to making our public finance platform best in class,” said Gary Hall, SWS President of Infrastructure & Public Finance. “We will continue to be opportunistic by expanding our geographical reach and adding talent to help our muni issuer clients finance their burgeoning capital improvement needs. We believe this will be a historic year in muni bonds volume for the industry. As lead manager for over $4.5 billion in par amount already this year, we are off to great start and have a promising pipeline going forward.”  

    Dually headquartered in New York, NY and Oakland, CA, SWS is an independent non-bank financial services firm that offers investment banking, sales and trading, research, and advisory services. Its mission is to exceed expectations through value-added results and leave a lasting impact on the sectors, corporations, and communities it serves. SWS counts over 80 Fortune 100 companies among its clients.

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/cbc04c5f-953b-42f5-ba23-1f9667cc1b4c

    The MIL Network

  • MIL-OSI Economics: African Development Bank 2022-2026 country strategy for Benin sends very positive signals at halfway point

    Source: African Development Bank Group
    Rice production in Benin has almost doubled in the space of three years, heading north from 406,000 tonnes in 2020 to nearly 712,000 tonnes in 2023 and thereby exceeding the initial target of 700,000 tonnes. Maize production rose to 1.7 million tonnes in 2023, compared with 1.5 million tonnes three years earlier.

    MIL OSI Economics

  • MIL-OSI United Nations: Experts of the Committee on Economic, Social and Cultural Rights Congratulate Rwanda on Number of New Jobs Created, Ask Questions on Women’s Political Representation and Recognising the Cultures of Rwanda’s Different Ethnic Groups

    Source: United Nations – Geneva

    The Committee on Economic, Social and Cultural Rights today concluded its review of the fifth periodic report of Rwanda, with Committee Experts commending the State on the number of new jobs created, while raising questions about women’s political representation and how Rwanda recognised the cultures of its different ethnic groups. 

    Preeti Saran, Committee Expert and Country Taskforce Member, was impressed with some of the figures shared, including seven per cent gross domestic product growth and 1.3 million jobs created.  These were commendable and Rwanda should be congratulated.   

    Peters Sunday Omologbe Emuze, Committee Vice-Chair and Country Rapporteur for Rwanda, said Rwanda had made significant progress in gender equality, and especially women’s political representation.  What steps were being taken to increase women’s representation in local administration and the private sector? How was the gender pay gap addressed? What was being done to combat discrimination against women and stereotypes? 

    Ms. Saran said each ethnic group in Rwanda had a rich cultural heritage.  For the sake of national unity and reconciliation, if everyone was being referred to as Rwandan, how did the State propagate the cultural richness of the population?   Rwanda had been extremely welcoming to refugees from all over the world, who brought their own specific languages and cultures.  What measures had the State party taken to ensure equal cultural rights for ethnic groups that had come as aliens, refugees or asylum seekers? 

    The delegation said over the years, Rwanda had implemented measures to achieve gender equality, particularly in Parliament, where it was around 63 per cent in the Chamber of Deputies and around 53 per cent in the Senate.  Quotas were in place which mandated that a minimum of 30 per cent of leaders should be women.  When the issue of equality was dealt with properly, this had a cascading effect on other policies.  A few years ago, the State recognised that gender-based violent crimes were specific in nature and needed to be treated in a certain way. 

    The delegation said there was no significant cultural diversity within the country, as everyone shared the same language and culture.  Traditionally the ethnic groups had been defined based on occupation and turning them into an ethnicity was introduced by the colonialists.  It had been entrenched in identity cards for Tutsis, Hutus and Twas.  This negated the fact that people could have moved from one group to another.   There were no significant differences in culture between these groups.  Rwanda had received a number of people who faced difficulties in their own countries. Diversity days were organised at schools, encouraging refugees and asylum seekers to share their culture. 

    Emmanuel Ugirashebuja, Minister of Justice and Attorney General of Rwanda and head of the delegation, said in 2023, Rwanda further refined its governance framework by aligning the schedules of presidential and parliamentary elections, enhancing efficiency and reducing electoral costs.  During the period under consideration, Rwanda successfully completed its ambitious 2020 Vision and adopted the Vision 2050.  From 2018 to 2024, Rwanda implemented its first national strategy for transformation, which laid the foundation for sustainable development, and was succeeded by the second national strategy for transformation, which ran until 2029.   Through these strategies, Rwanda maintained steady economic growth, with gross domestic product expanding at an average of 7 per cent and per capita income rising from $729 to $1,040 in 2023/2024. 

    In concluding remarks, Mr. Emuze thanked the Rwandan delegation for attending the dialogue, noting the high calibre of the delegation.  The Committee wished the delegation a safe journey home. 

    In his concluding remarks Mr. Ugirashebuja expressed appreciation for the constructive dialogue with the Committee.  The State had learnt many valuable lessons and looked forward to receiving the Committee’s recommendations.  Mr. Ugirashebuja extended an open invitation to the Committee to visit Rwanda in the future. 

    The delegation of Rwanda was comprised of representatives from the Ministry of Justice; the National Institute of Statistics; the Rwanda Education Board; the Department of International Justice Judicial Cooperation; and the Permanent Mission of Rwanda to the United Nations Office at Geneva.

    The Committee’s seventy-seventh session is being held until 28 February 2025.  All documents relating to the Committee’s work, including reports submitted by States parties, can be found on the session’s webpage.  Webcasts of the meetings of the session can be found here, and meetings summaries can be found here.

    The Committee will next meet in public at 3 p.m. on Tuesday, 18 February to begin its consideration of the seventh periodic report of the Philippines (E/C.12/PHL/7).

    Report

    The Committee has before it the fifth periodic report of Rwanda (E/C.12/RWA/5).

    Presentation of Report

    EMMANUEL UGIRASHEBUJA, Minister of Justice and Attorney General of Rwanda and head of the delegation, said since the last review by the Committee over a decade ago, Rwanda had undergone significant changes in its policy, legal and institutional landscape.  In 2023, Rwanda further refined its governance framework by aligning the schedules of presidential and parliamentary elections, enhancing efficiency, and reducing electoral costs. 

    At the institutional level, Rwanda established the Rwanda Forensic Laboratory in 2016, upgrading it to the Rwanda Forensic Institute in 2023.  The Institute had enhanced forensic and advisory services, strengthening accountability in sectors critical to economic, social and cultural rights.  Its digital forensic and document services helped combat financial crimes like fraud and embezzlement.  In 2017, the Rwanda Investigation Bureau was established to enhance specialisation and professionalism in crime investigation. 

    In the judiciary, Rwanda made significant strides in strengthening its justice system.  In 2018, the Court of Appeal was established, further enhancing the country’s capacity to provide effective legal recourse.   In 2024, the establishment of an Appeal Tribunal to hear matters relating to refugee and asylum claims reinforced Rwanda’s commitment to upholding the rights of individuals in vulnerable situations.  Rwanda’s legal framework strongly supported the protection of economic, social and cultural rights, as enshrined in the Constitution.  Since the last report, Rwanda had enacted several laws that aligned with the provisions of the Covenant and contributed to the progressive realisation of economic, social and cultural rights.  These included the education law that guaranteed access to quality education at all levels, as well as health laws. 

    During the period under consideration, Rwanda successfully completed its ambitious 2020 Vision and adopted the Vision 2050.  From 2018 to 2024, Rwanda implemented its first national strategy for transformation, which laid the foundation for sustainable development, and was succeeded by the second national strategy for transformation, which ran until 2029.   Through these strategies, Rwanda maintained steady economic growth, with gross domestic product expanding at an average of 7 per cent and per capita income rising from $729 to $1,040 in 2023/2024.  

    Infrastructure development advanced with the construction of over 1,600 kilometres of national roads and 4,137 kilometres of feeder roads.   Job creation efforts led to over 1.3 million decent and productive jobs, while financial inclusion improved from 89 per cent in 2017 to 96 per cent by 2024.  Life expectancy also increased from 66.6 in 2017 to 69.9 years in 2024. 

    Rwanda also significantly strengthened its healthcare system under the strategy. Seven new hospitals were added to the existing 52, while 23 were rehabilitated or expanded.  Community-based health insurance coverage reached 93 per cent of the population. Healthcare modernisation included advanced imaging, laboratory equipment, local pharmaceutical manufacturing, and digital health systems.  

    In 2023, Rwanda, in partnership with Germany Biotechnology Company BioNTech, set-up an mRNA vaccine manufacturing facility, the first of its kind on the African continent, which would have the capacity to produce between 50 and 100 million doses of mRNA vaccines annually, and conduct trials on new therapeutics for malaria, tuberculosis, HIV, cancers and other diseases.  

    Through the Girinka programme (one cow per family programme), Rwanda distributed 333,146 cows to an equivalent number of households.  Rwanda valued the opportunity to engage in a constructive dialogue with the Committee.

    Questions by a Committee Expert

    PETERS SUNDAY OMOLOGBE EMUZE, Committee Vice-Chair and Country Rapporteur for Rwanda, asked how the 2015 constitutional amendments had affected Rwanda’s commitment to international human rights standards.  Did it enable the State party to override Covenant protections in favour of domestic law? What measures were being taken to ensure that the provisions of the Covenant were invoked by domestic courts? 

    What training programmes were in place for judges, law enforcement and government officials to ensure consistent application of the Covenant?  The important work of Rwanda’s national human rights institution was noted.  Was the selection process of its members carried out by a committee appointed by the President?  Did members require clearance from the Prime Minister’s office for official travel outside Rwanda?  Had the State party accepted the recommendations of the Global Alliance of National Human Rights Institutions to strengthen the institution in line with the Paris Principles?

    What measures had been taken to guarantee that human rights defenders could continue their work without undue restrictions on freedoms of expression, peaceful assembly and association?  What steps were taken to protect them from risks of unlawful killings, enforced disappearances, harassment and intimidation, including judicial harassment?  Could the State party clarify the concerns regarding non-governmental organization registration requirements?  Were there any obstacles for opposition groups to promote and advocate for the promotion of human rights, including economic, social and cultural rights? 

    When would the State party finalise a national action plan for business and human rights?  What steps were being taken to put in place a comprehensive legal and regulatory framework for human rights due diligence for businesses?  What measures were in place to ensure Rwanda met its nationally determined contributions under the Paris Agreement? 

    What measures were in place to combat corruption, particularly in public procurement and State-owned enterprises?  What challenges did anti-corruption institutions face in maintaining independence and effectiveness?  What measures were being taken to address them?  The Committee noted Rwanda’s legislative efforts to combat discrimination.  However, reports indicated persistent structural inequalities, particularly affecting Batwa people, women and girls, people living in deprived urban and rural areas, persons with disabilities, people living in poverty, and lesbian, gay, bisexual, transgender and intersex persons.  How did Rwanda plan to address these challenges? 

    How did Rwanda plan to address the absence of disaggregated data to assess the situation of the Batwa people?  What steps were being taken to combat poverty, high infant mortality, malnutrition, and lower educational outcomes among the Batwa? What kind of barriers did the Batwa continue to face to land titling and how did Rwanda plan to secure their rights to land ownership?  What measures were in place to prevent forced displacement of the Batwa people from their ancestral lands?  How was adequate compensation provided when Batwa lands were expropriated?  How did the State party ensure consultations with Batwa people in decisions likely to affect them?

    Rwanda had made significant progress in gender equality, and especially women’s political representation.  What steps were being taken to increase women’s representation in local administration and the private sector?  How was the gender pay gap addressed?  What was being done to combat discrimination against women and stereotypes?  How had the Rwanda Gender Monitoring Office and its Gender Management Information System contributed to tracking gender equality initiatives? 

    Responses by the Delegation

    The delegation said since the 2015 Constitutional amendments, no new organic laws had come into place.  There was consistent training on the use of human rights in courts.  However, the members of the bar tended not to apply international conventions in the courts. The reason for this was because the Constitution provided for a whole section of bill of rights, which was a replica of the Covenant.  However, lawyers were still trained on the use of human rights conventions.   

    Members of the human rights institution were manually selected via a presidential order.  This was a rigorous process, and many candidates were considered.  The appointment process was comparable to any other country with human rights mechanisms.  Whenever Commissioners wanted to travel, they informed the Minister’s office and a document was provided, called the travel clearance. Given that this caused significant confusion, the Government had decided to do away with the travel clearance.   

    Rwanda did all it could to strengthen the National Commission of Human Rights, and put in place any recommendations received. Rwanda was on track to reach its goals regarding carbon emissions.  The State was encouraging businesses to go green, which in turn would create “green jobs” which would contribute to more employment.  An example of this could be seen in the State employing young people to plant trees.  The Rwandan Government had heavily invested in areas key to social equality.  The community-based insurance now extended to certain diseases previously not covered, including cancer. 

    Rwanda aimed to achieve zero tolerance for corruption.  Key institutions like the Ombudsman’s office had played a key role towards achieving this goal.  Rwanda had improved its global ranking from 49th to 43rd place in 2024 in the Transparency Index Global Corruption Index.

    Rwandans and the Batwa spoke the same language and had the same culture.  The Batwa people could be found throughout the country and did not live in a designated area.  Rwanda aimed to ensure no one was left behind, regardless of their status.  Land registration helped to resolve dispute around land, and to ensure that land was adequately registered. 

    Over the years, Rwanda had implemented measures to achieve gender equality, particularly in Parliament, where it was around 63 per cent in the Chamber of Deputies and around 53 per cent in the Senate.  Quotas were in place which mandated that a minimum of 30 per cent of leaders should be women.  When the issue of equality was dealt with properly, this had a cascading effect on other policies.  A few years ago, the State recognised that gender-based violent crimes were specific in nature and needed to be treated in a certain way. 

    No discrimination against any group was tolerated in Rwanda.  Measures had been put in place to ensure that anyone who faced discrimination was able to access fast reparations.  There were many issues which were largely context-specific to Rwanda. 

    Questions by Committee Experts

    PREETI SARAN, Committee Expert and Taskforce Member, was impressed with some of the figures shared, including seven per cent gross domestic product growth and 1.3 million jobs created.  These were commendable and Rwanda should be congratulated.   What kind of resource constraints had the State faced in budgetary allocations for social spending?  What challenges had there been when dealing with external partners? 

    KARLA LEMUS DE VÁSQUE, Committee Expert and Taskforce Member, said marital violence affected 46 per cent of women who were married and 18 per cent of men, with many never seeking help for the violence they had suffered.  What measures had been put in place to combat the cultural norms which perpetuated marital violence?  How were victims of violence being supported so they could report the crime?

    A Committee Expert asked what steps were being taken by the Government to ensure safe access by humanitarian organizations to the population affected by the conflict in the Democratic Republic of the Congo?  How had the State ensured its policies and actions did not obstruct humanitarian aid? What was the coordination framework that the State had with armed groups operating in the Democratic Republic of the Congo, particularly the M23?  How might the State respond to the concerns regarding any potential support for these armed groups? 

    What measures had been put in place to prevent and punish any involvement by Rwandan stakeholders in conflict zones in the Democratic Republic of the Congo?  What measures had the State adopted to ensure that no armed group benefitted from support from the State?  What measures had been put in place to remedy any violations, including forced labour in mining areas under the control of armed groups, among others? 

    Another Expert asked about the role of civil society when drafting reports to treaty bodies?  Were all civil society organizations invited to participate in the drafting procedures?  What was the position of Rwanda on the Rome Statute?  Was there a possibility that the Government might consider acceding to it? Rwanda had extraterritorial obligations. The President had reiterated a lack of knowledge regarding the Rwandan military participating in the conflict of the Democratic Republic of the Congo.  How was oversight of the military activities ensured?  How did Rwanda ensure that armed groups operating in other countries received no support?

    A Committee Expert asked what the State was doing to combat the illicit trade of minerals?  What specific measures were taken to enhance specific imports and exports? 

    PETERS SUNDAY OMOLOGBE EMUZE, Vice-Chair and Taskforce Leader for Rwanda, said there had been allegations of Government members committing unlawful killings, enforced disappearances, and intimidation and reprisals, against those defending human rights.  What had the State party done to prevent this? Despite measures taken by the State party to improve rights for indigenous peoples, challenges remained. How did the State party intend to address challenges in this regard, including the lack of disaggregated data? How would Rwanda address challenges such as poverty, infant mortality, lower school attendance, and higher drop-out rates, among others? 

    Responses by the Delegation

    The delegation said Rwanda had challenges in terms of budget.  The State aimed to address this through development partners.  However, resources were not always permanent.  Although Rwanda worked with development partners, the State aimed to be financially stable in terms of its own financing. 

    Rwanda had developed mechanisms to capture data regarding gender-based violence.  Initially, people were scared to report cases due to stigmatisation.  Investigators had been trained to interview victims of gender-based violence.  When cases proceeded, it was ensured that they were not held in public, so as not to endanger the lives of the victims. 

    The Democratic Republic of the Congo had its own problems as did Rwanda, and the State could not bear the burden of others’ problems.  Anything happening beyond the territory of Rwanda should be dealt with by those States. 

    Civil society played an important role in the drafting of the report and in helping Rwanda achieve its human rights obligations. Rwanda had not yet joined the Rome Statute, but if the appropriate time came and if it was necessary, the State would willingly join the Statute.  At present, the State was not considering joining the Statue in the near future. 
    Rwanda was the first country in the Great Lakes region to commit to a due diligence mechanism.  This ensured Rwanda could not be used as a route for illicit mines. There were mechanisms in place to protect against enforced disappearances.  There was zero tolerance for anyone who threatened human rights defenders. 

    Questions by a Committee Expert

    PREETI SARAN, Committee Expert and Taskforce Member, asked what recent measures the State party had taken to address unemployment rates and to guarantee access to work?  What specific steps had been taken to address the problem of labour under-utilisation?  What major obstacles had Rwanda faced in addressing the employment challenge?  How was the integration of women into the labour force being promoted? 

    What specific steps had the State party taken for those facing discrimination to access the labour market.  What had Rwanda done to enforce laws dealing with discrimination at the workplace and to encourage employers to adopt anti-discrimination measures specifically related to sexual orientation at the workplace? How were systemic barriers for persons with disabilities being removed?  What measures had been taken to enable the transition of workers from the informal to the formal sector, particularly for women, the disadvantaged, and persons with disabilities?  What was the anticipated timeframe for establishing a minimum wage? 

    Many workers were reportedly exposed to frequent occupational accidents due to unsafe working conditions, leading to occupational injuries and fatalities.  Had the State party formulated an updated national policy on occupational health and safety?  How did the State party reinforce and implement the Labour Code on occupational health and safety?  Had the State party developed rights awareness programmes targeting domestic workers and employers? 

    What steps had been taken to establish a safe reporting system for domestic workers to report workplace violence?  What initiatives were in place to provide confidential and accessible health care for domestic workers?  What steps had the State party taken to remove any such legal barriers to the enjoyment of the right to form trade unions and the right to strike.

    The adoption of the updated national social protection policy (2020), which aimed to ensure that Rwandan citizens had a dignified standard of living, was commendable.  Were there any proposals to improve and expand the coverage process to ensure that it included the widest possible population, particularly the most marginalised and disadvantaged in the informal sector?  What steps had the State party taken to expand the community-based health insurance scheme to cover specialised health services, medicines, assistive devices, and commodities required by persons with disabilities? 

    Responses by the Delegation

    The delegation said employment was a concern in Rwanda.  Rwanda had a young population and the State needed to create an enabling environment for the youth to thrive.  It was hoped the law on startups would ensure easy financing of start-ups for the youth. A proportion of the laws provided for special consideration for women and people living with disabilities, to ensure these traditionally marginalised groups could access these resources. 

    Despite the efforts that the Government had put in place, there were still instances of gender-based discrimination.  There had been instances in the private sector where questions had been asked about women’s marital status to ascertain if they would be looking to seek maternity leave.  The State was looking at how to incentivise the private sector to ensure they did not discriminate based on gender.  No one in Rwanda was discriminated against based on their sexual orientation.  If discrimination was there, the State worked with civil society to address this.  It was important to have a synergy with civil society organizations to address persistent discriminatory issues.  There were quotas of 30 per cent for women, and the State monitored these closely to ensure gender equity was being achieved.   

    There were a lot of workers employed in the informal sector, and the State tried to formalise these areas.  Cooperatives were important in ensuring people came together, and worked like trade unions to highlight challenges faced by people in the informal sector.  There had been a growth in the number of cooperatives registered over recent years. The State had seen unfortunate incidents where people had been trapped in mines due to unsuitable mining.  The Rwanda mining board ensured that it monitored mining sites; however, people sometimes ventured into illegal mining at nighttime and ended up being trapped.  Work was being done with the local governments to ensure these unfortunate situations were avoided. 

    The minimum wage was a difficult debate.  The Government was on the right path regarding what an acceptable minimum wage was in Rwanda.  The process was long, but the Government aimed to develop a suitable minimum wage for the greater good of the country.  Laws guaranteed safety for domestic workers, including salaries and leave. Labour inspectors took steps to ensure the legal mechanisms were being utilised. 

    Questions by Committee Experts

    A Committee Expert said the issues of the Democratic Republic of the Congo were relevant.  What tools and mechanisms had the State created to ensure there was respect for economic, cultural and social rights?  How was it ensured that impunity was combatted abroad, particularly in the context of the armed conflict? 

    KARLA LEMUS DE VÁSQUE, Committee Expert and Taskforce Member, acknowledged that the State had extended fully-paid maternity leave for mothers in all sectors, but there were challenges to ensuring the legislation was enforced, particularly in the informal sector. What mechanisms were in place to ensure all working mothers could enjoy maternity leave?  Had the State considered implementing a specific measure to ensure women who gave birth to children with disabilities were given maternity leave commiserate with the situation of their child?  Were there incentives to encourage men to use paternity leave?

    What efforts were being carried out to punish employers who were in breach of child labour laws?  What results had the new national strategy on child labour yielded?  There were still high levels of poverty, especially for families.  What was the State doing in terms of the social schemes designed to eradicate extreme poverty?  What challenges did small-scale farmers meet when it came to increasing their yield and diversifying their crop?  What support programmes were in place for them?  Had the State considered expanding the food assistance programmes for vulnerable groups?

    A study of Rwanda’s development bank showed many people on low income still did not have access to affordable housing. What policies had been adopted to ensure the cost of housing was accessible?  What percentage of the national budget was set aside for the building and maintenance of social housing?  What initiatives had been launched to ensure that people who were vulnerable had access to affordable housing?  Had any laws been passed on rent control?  What measures could be implemented to ensure water rates were affordable? 

    Current adaptation measures were not enough to mitigate the impacts of climate change?  Had studies or surveys been carried out to assess the impact of climate change, and how had the State responded to findings?  What food resilience programmes could the State develop, including food storage programmes?  What measures had been implemented to ensure enough resources were set aside for the health sector, including for the most disadvantaged groups? What measures had been developed to extend the scope and coverage of mental health services?  What strategies had been developed to increase the number of qualified birth attendants in remote areas?  What measures had been implemented to strengthen investment in infrastructure?  How was equitable access to contraception guaranteed?   

    Responses by the Delegation

    The delegation said in January 2025, the Cabinet approved the resolution on the additional package of services for the community-based health insurance, including kidney transplants, cancer care, blood transfusions, knee and hips replacements, dialysis and prosthetics, among other procedures.  These were now all covered by the community-based health insurance. 

    The one cow per family programme provided a cow to families in the most vulnerable communities.  More than 14,500 families had been provided with furnished housing and 124 model villages had been established between 2017 and 2024, with all the essential amenities. 

    Rwanda did not have effective jurisdiction over any country and could not be held accountable for human rights violations beyond its borders.  The problems of the Democratic Republic of the Congo were internal.  Rwanda would welcome refugees from the Democratic Republic of the Congo if the problems persisted. 

    Since the COVID-19 pandemic, certain programmes had been implemented, including a voluntary saving scheme which was open to any citizen.  The International Labour Organization, in collaboration with Rwanda, had recruited a team to conduct a study on the barriers to social protection in the informal sector, and it would develop recommendations to address these. 

    Since 2023, paid maternity leave had increased from 12 to 14 weeks.  New changes in the law mandated that a pregnant woman or a breastfeeding mother should not be made to do any work that was too physically demanding or damaging to their overall health.  Those on maternity leave received their full salary.   Regular labour inspections were conducted, with more than 5,000 inspections carried out every year.  More than 1,500 of the enterprises where inspections took place were in the informal sector.   In the 2023-2024 fiscal year, 112 businesses were administratively sanctioned due to employment-related issues.  In the same period, 26 investigations had been conducted into cases of child labour, and 18 had been referred to the courts with five convicted. 

    The Government of Rwanda had implemented various social protection initiatives to eliminate extreme poverty.  In 2024, over 102,000 vulnerable individuals received monthly cash transfers and more than 80,000 households benefitted from flexible employment programmes.  As of May 2024, there had been an old age grant for impoverished individuals over the age of 65.  As of 2024, 315,327 households had been enrolled in the programme for sustainable graduation, where they received mentorship, financial support, and access to productive assets. 

    It was becoming more difficult for farmers to predict the weather, given the adverse impacts of climate change.  Pilot projects were launched to allow farmers to access buyers in value chains, by ensuring their quality standards were high. The Rwanda culture board helped to increase agriculture and animal resources, advising farmers on the best seeds for each area of the country to ensure the best harvest.  The Government heavily subsidised fertilizer for farmers to increase their output.  The Government subsidised up to 40 per cent of the cost of water, and access to clean water had increased substantially in the country. 

    Rwanda aimed to quadruple its workforce of healthcare service providers.  Below the age of 18, parental consent was required for any health intervention, including contraception and reproductive health services.  To enhance access to sexual reproductive health services, the age of consent should be reduced to 15 years.  To address this, a draft health service law was currently under consideration by the Parliament.  The level of teen pregnancy had decreased due to education and sensitisation, but it was also expected the draft health service law would result in a further decrease in teen pregnancy. 

    Questions by Committee Experts

    KARLA LEMUS DE VÁSQUE, Committee Expert and Taskforce Member, asked if there was any recent study on the deficit in housing which would help address current challenges?  Were there any laws on rent control? 

    How was the State addressing social and economic gaps which could address the prevalence of non-communicable diseases. Despite progress made in public health, communicable diseases, including malaria and HIV/AIDS, were a cause for concern. What measures had been adopted to strengthen health infrastructure in areas where access was limited?  What was being done to improve the prevention programmes? 

    A Committee Expert asked about the national health insurance; how did it function?  Did the State consider sharing revenues with areas where they obtained the resources from? 

    Another Expert said the country’s drug policy was focused on criminalisation and punitive measures.  Would the State consider decriminalising drug use and changing the approach to one that was health-based?   What measures had been taken to provide specialised training to law enforcement agents?  What was being done to mainstream mental health in primary health services? 

    A Committee Expert asked whether Rwanda had considered using human rights methodologies to design and better assess public policies? 

    An Expert asked about access to water in rural areas? What measures had the State taken to address climate change and its impact on the agricultural sector? 

    Responses by the Delegation

    The delegation said there had been a survey on housing deficits which had been presented in the Cabinet.  There were no laws on rent to reduce increases, but it was illegal to charge rent in foreign currencies, which helped to ensure rent was controlled.  Community health care workers were taught to deal with non-communicable diseases. There were also free community-based activities which took place to ascertain the levels of non-communicable diseases.  Community health workers had also helped sensitise people around diseases such as HIV and tuberculosis.   

    Around 90 per cent of land had been registered, and everyone, including women and vulnerable groups, had access to land.  After Rwanda developed its own gold refinery, businesses from other places came with gold to the refinery.  The Government agreed that drug consumption should not be criminalised, but the distribution of drugs should be criminalised.  More than 82 per cent of households had access to improved drinking water, and in Kigali this went up to 97 percent.  Numbers were lower in the western part of the country at around 75 per cent. 

    The Government was intensely investing in areas of water availability. 

    Questions by Committee Experts

    ASLAN ABASHIDZE, Committee Expert and Taskforce Member, said dropout rates in Rwanda had decreased to 5.5 per cent in primary schools and 7.5 per cent in secondary schools.  Could statistics be provided for the last five years, from 2019 to 2023, specifically on how many children were expected to enrol in primary school, and how many transitioned to lower secondary school, and then to upper secondary school?  According to the statistics provided, what percentage in the mentioned 40,000 students with disabilities who began their studies in schools and universities during the 2022/23 academic year represented the total number of children with disabilities who were expected to start schooling in that academic year? 

    What was the overall state of school infrastructure? Did schools meet the minimum requirements for lighting, drinking water, sanitation, and nutrition?  What steps was the Government taking in this regard? How were these initiatives funded? Why was disaggregated data on the Batwa group unavailable?   Could information on higher education enrolment and completion rates disaggregated by sex, rural and urban areas, and economic status be provided? 

    Was there a shortage of teachers in certain subjects? If there were challenges in this area, were there programmes to address them?  Could more details about the “We are all Rwandans” programmes be provided? How was the National Digital Inclusion Council funded?  Were private companies involved, and if so, on what terms?

    Responses by the Delegation

    The delegation said the number of teachers had increased by around 73 per cent, from around 68,000 in 2013 to around 100,000 in 2023/2024.  A teacher management system helped to determine if there were any gaps across the country.  The school dropout rate continued to decline at all levels.  There was a programme called school feeding which provided adequate and nutritious meals in schools.  The Government had started the journey of constructing schools, with a focus on accessibility by adding ramps, widening doorways, improving ventilation and lowering blackboards, to ensure they were accessible for students using wheelchairs.  Of the 4,986 schools in Rwanda, 3,392 now met accessibility standards, a significant improvement from just 765 schools in 2017.  Rwanda was committed to promoting inclusive education for children with disabilities.

    Questions by Committee Experts

    A Committee Expert asked for clarification around the official languages?  What was the language taught in primary schools?  How many universities were there in Rwanda?  Were there international students who studied in Rwanda? Did the Government provide scholarships for foreign students, particularly Africans?  Was the Swahili language widely spoken? 

    PREETI SARAN, Committee Expert and Taskforce Member, said each ethnic group in Rwanda had a rich cultural heritage.  For the sake of national unity and reconciliation, if everyone was being referred to as Rwandan, how did the State propagate the cultural richness of the population?  Rwanda had been extremely welcoming to refugees from all over the world, who brought their own specific languages and culture.  What measures had the State party taken to ensure equal cultural rights for ethnic groups who had come as aliens, refugees or asylum seekers? 

    An Expert asked if the State was collecting data with regards to young people aged between 15 to 24, who neither studied nor worked?  If this issue was not resolved, it could generate major issues. 

    PETERS SUNDAY OMOLOGBE EMUZE, Committee Vice-Chair and Country Rapporteur for Rwanda, asked what Rwandan troops were doing in the Democratic Republic of the Congo? 

    Responses by the Delegation

    The delegation said Kinyarwanda was recognised as the official language.  Rwanda had just one language.  There was no significant cultural diversity within the country, as everyone shared the same language and culture.  Traditionally, the ethnic groups had been defined based on occupation and turning them into an ethnicity was introduced by the colonialists.  It had been entrenched in identity cards for Tutsis, Hutus and Twas.  This negated the fact that people could have moved from one group to another.   There were no significant differences in culture between these groups.  French was an official language in Rwanda, due to colonisation by Belgium.  However, the majority of instruction was in English.   

    As of 2025, there were 19 universities in Rwanda, comprised of three public universities and 16 private institutions.  Schools such as the Carnegie Melon University from the United States taught courses, and specific scholarships were offered to Africans.  Scholarships were also offered to people fleeing their countries due to dangers, such as women from Afghanistan and people from Sudan.  Education could solve a lot of issues, including criminality and unemployed youth. 

    Rwanda was doing its best to attain the highest standard of economic, social and cultural rights, and would take any opportunities to learn from other countries in this regard. 

    Swahili was now an official language, recognised in the Constitution as a Lingua Franca.  It was widely spoken and taught in schools. 

    Rwanda had received a number of people who faced difficulties in their own countries.  Diversity days were organised at schools, encouraging refugees and asylum seekers to share their culture. 

    Closing Remarks

    PETERS SUNDAY OMOLOGBE EMUZE, Vice-Chair and Country Rapporteur for Rwanda, thanked the Rwandan delegation for attending the dialogue, noting the high calibre of the delegation.  The Committee wished the delegation a safe journey home. 

    EMMANUEL UGIRASHEBUJA, Minister of Justice and Attorney General of Rwanda and head of the delegation, expressed appreciation for the constructive dialogue with the Committee.  The State had learnt many valuable lessons and looked forward to receiving the Committee’s recommendations.  Rwanda’s achievements in access to health, education, and employment demonstrated the Government’s commitment to sustainable development. The country had a lot of challenges, including addressing inequalities, mitigating the effects of the global crisis, and ensuring policies translated into tangible improvements for the lives of the most vulnerable.  Rwanda was committed to resolving these challenges and to implementing the Committee’s recommendations.  Mr. Ugirashebuja extended an open invitation to the Committee to visit Rwanda in the future. 

    __________

    Produced by the United Nations Information Service in Geneva for use of the media; 
    not an official record. English and French versions of our releases are different as they are the product of two separate coverage teams that work independently.

     

    CESCR25.005E

    MIL OSI United Nations News

  • MIL-OSI Europe: Answer to a written question – Risk weight in Italian healthcare bodies – E-002729/2024(ASW)

    Source: European Parliament

    Regulation (EU) No 575/2013 (Capital Requirements Regulation)[1] assigns under Art. 116 a 100% risk weight to exposures of credit institutions to Public Sector Entities (PSEs) without an external rating; unless it has an original maturity of three months or less, in which case a 20% risk weight is applied.

    However, the same provision specifies that, under exceptional circumstances, competent authorities of each Member State might decide to treat exposures to PSEs as exposures to the central government, regional government, or local authority in whose jurisdiction they are established, if they are covered by an appropriate guarantee by the central government, regional government or local authority.

    When proposing the Banking Package[2], the Commission recognised that different approaches to PSE funding structures exist among Member States, including in their health systems.

    In addition, that standardising these funding structures through banking regulation was not appropriate, leaving the consideration of such specific cases to the above-mentioned competent authorities.

    The co-legislators agreed with this approach when endorsing Regulation (EU) 2024/1623[3], which entered into force on 1 January 2025.

    To enhance transparency on the prudential treatment of lending to PSEs, co-legislators have tasked the European Banking Authority with creating and maintaining a publicly accessible database of PSEs within the EU which are treated as the central, regional, or local government of the Member State in which they are established for the purposes of prudential capital requirements.

    This initiative will provide a comprehensive overview of the approaches of the above-mentioned competent authorities, thereby promoting transparency across Member States.

    • [1] Regulation (EU) No 575/2013 of the European Parliament and of the Council of 26 June 2013 on prudential requirements for credit institutions and investment firms and amending Regulation (EU) No 648/2012, OJ L 176, 27.6.2013, p. 1-337.
    • [2] https://finance.ec.europa.eu/news/latest-updates-banking-package-2023-12-14_en
    • [3] Regulation (EU) 2024/1623 of the European Parliament and of the Council of 31 May 2024 amending Regulation (EU) No 575/2013 as regards requirements for credit risk, credit valuation adjustment risk, operational risk, market risk and the output floor (Text with EEA relevance), OJ L, 2024/1623, 19.6.2024.

    MIL OSI Europe News

  • MIL-OSI Europe: Answer to a written question – Possible takeover of Commerzbank by UniCredit – E-003033/2024(ASW)

    Source: European Parliament

    The Commission does not comment on individual cases of potential take-overs on which it might be required to decide, based on its competences.

    The banking sector in the EU has robust capital positions and ample liquidity. It has shown high profitability in recent years, in part due to the reforms carried out since the 2007 financial crisis, including the establishment of the Banking Union[1].

    In this context, take-overs, mergers and other forms of consolidation can make banks more resilient to shocks, for example where they lead to greater asset or geographic diversification.

    Bank consolidations may also allow European banks to increase the efficiency of their business models, to pursue growth strategies and to increase their investments in digitalisation.

    At the same time, EU merger control ensures that banking consolidations with a EU dimension do not stifle competition and thereby harm consumers.

    The Commission is in constant contact with Member States’ administrations and competition authorities and cover a wide range of subjects.

    • [1] https://finance.ec.europa.eu/banking/banking-union/what-banking-union_en?prefLang=fr
    Last updated: 18 February 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Answer to a written question – Google and edited media content – E-002915/2024(ASW)

    Source: European Parliament

    The Commission is aware that Google had launched a temporary test, removing EU press publishers’ content from its services for 1% of users in eight Member States, including Denmark. The test ended on the 4 February 2025.

    The Commission considers that Google is entitled to conduct a time-limited test affecting a small part of users, provided it complies with obligations under applicable EU law.

    As a dominant company in the EU online search market, Google is prohibited from abusing market power under Article 102 of the Treaty on the Functioning of the European Union.

    Article 15 of Directive 2019/790[1] grants exclusive rights to press publishers for the online use of their press publications by information society service providers.

    It does not oblige these service providers to make press publishers’ content available. However, when they do, they are required to obtain authorisation from press publishers.

    Google Search is a core platform service for which Alphabet was designated as a gatekeeper under the Digital Markets Act[2] and is required to comply with its obligations. The Commission will take any necessary measures if Alphabet’s actions are found non-compliant.

    As a very large online search engine under the Digital Services Act[3], Google Search is also required to comply with the obligations therein. Under the Platform-to-Business Regulation[4], online platforms must give advance notice to publishers for content restriction or suspensions and offer dispute resolution mechanism.

    The European Media Freedom Act[5] introduces safeguards to protect reputable media providers against arbitrary content removal by very large online platforms. It also requires Member States to ensure access to diverse, independent media content.

    • [1] https://eur-lex.europa.eu/eli/dir/2019/790/oj
    • [2] https://eur-lex.europa.eu/eli/reg/2022/1925/oj/eng
    • [3] https://eur-lex.europa.eu/eli/reg/2022/2065/oj/eng
    • [4] https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32019R1150
    • [5] https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32024R1083
    Last updated: 18 February 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Answer to a written question – Deposit guarantee amount – E-002883/2024(ASW)

    Source: European Parliament

    Based on aggregate harmonised index of consumer prices[1] for EU Member States as published by the statistical office of the EU, aggregate inflation between December 2010 and November 2024 was 39,6%.

    Directive 2014/49/EU[2], does not include a mechanism to automatically adjust the coverage level to inflation. The primary objective of the directive is to improve depositors’ confidence that their deposits up to the guaranteed amount are protected. This confidence limits the risk of panic withdrawals which could threaten financial stability in the EU.

    In 2019, the European Banking Authority (EBA) has assessed the adequacy of the current coverage level for deposits, as per Article 19(6) of the directive.

    While this assessment[3] did not take into account inflation, the EBA concluded that the current coverage level under Directive 2014/49/EU is adequate and that the proportion of depositors fully covered by the EUR 100 000 coverage level has increased in comparison with 2007.

    EBA issued an additional report on deposit coverage in December 2023[4]. According to this report, 96% of depositors are fully covered and a potential increase of the coverage level would have no impact on the vast majority of depositors.

    For the above-mentioned reasons, the Commission does not intend to modify the corresponding provisions of the existing framework.

    • [1] The Harmonised Indices of Consumer Prices measure the changes over time in the prices of consumer goods and services acquired by households. They give a comparable measure of inflation as they are calculated according to harmonised definitions.
    • [2]  OJ L 173, 12.6.2014, p. 149-178.
    • [3] https://www.eba.europa.eu/sites/default/documents/files/documents/10180/2622242/324e89ec-3523-4c5b-bd4f-e415367212bb/EBA%20Opinion%20on%20the%20eligibility%20of%20deposits%20coverage%20level%20and%20cooperation%20between%20DGSs.pdf?retry=1
    • [4] Report on Deposit Coverage in response to European Commission’s call for advice: https://www.eba.europa.eu/sites/default/files/2023-12/cfe9c89f-23ec-42d0-88fd-fc873ff26c76/EBA%20Report%20on%20deposit%20coverage%20in%20response%20to%20EC%20CfA.pdf
    Last updated: 18 February 2025

    MIL OSI Europe News

  • MIL-Evening Report: Australian women will soon be eligible for a menopause health check. Here’s what to expect

    Source: The Conversation (Au and NZ) – By Susan Davis, Chair of Women’s Health, Monash University

    SpeedKingz/Shutterstock

    The federal government has recently pledged to create a new Medicare rebate for menopause health assessments. It’s due to be available from July 1.

    The announcement featured in the government’s response to the Senate inquiry into menopause, released last week, though was first flagged earlier this month as part of the government’s pre-election funding package for women’s health.

    So what is a menopause health assessment? And how will it improve the health care women receive during this stage in their lives?

    Why we need this

    Outside reproductive health, women’s health care has generally been modelled on the needs of men. A prime example is the government-funded midlife health check for people aged 45 to 49. This is intended to identify and manage risks to prevent chronic diseases such as diabetes and heart disease.

    The recent Senate inquiry into issues related to menopause and perimenopuase highlighted that the timing of this health check is not fit for purpose for women. This is because at menopause, which occurs on average at the age of 51 in Australia, women’s health profiles change.

    Women gain tummy fat, their cholesterol levels go up, and glucose (sugar) metabolism becomes less efficient. All these changes increase a woman’s risk of heart disease and diabetes.

    Vast numbers of women are given a clean bill of health at this midlife health check in their late 40s. But when they subsequently go through menopause, they can go on to develop heart disease and diabetes risk factors, which may go undetected.

    Some women also go through early menopause: around 12% between the ages of 40 and 45, and around 4% before 40.

    Those women who experience menopause before age 45 are known to be at significantly higher risk of heart disease than other women. But, by the time women with early menopause qualify for the midlife health check, crucial metabolic changes may have silently occurred, and the opportunity to intervene early to address them may be missed.

    Changes that happen at menopause can increase a woman’s risk of developing a chronic disease.
    Monkey Business Images/Shutterstock

    What will a menopause health check involve?

    The federal government has committed A$26 million over two years to fund the new menopause health assessments, as part of a $64.5 million package designed to improve health care for women experiencing perimenopause and menopause.

    Some $12.8 million will also be dedicated to a menopause-related community awareness campaign.

    My own research has shown women understand menopause means the loss of fertility, but often have little knowledge of the health changes that occur as part of the menopause transition. So increasing health literacy around menopause is much needed.

    Similarly, for the introduction of these menopause-specific consultations to be effective, women will need to know what these health checks are for, if they’re eligible, and how to access a menopause health check.

    The new menopause health checks will be provided by GPs. Exactly what they will involve is yet to be clarified. But I would anticipate they will include a combination of the assessment and management of perimenopause and menopause, overall health and wellbeing, and assessment of risk and prevention of future ill health, notably heart disease, diabetes and osteoporosis.

    Upskilling health-care providers

    Equally, health-care providers will need to understand the impact of menopause on long-term health and how best to mitigate against disease risks, including the role of menopausal hormone therapy.

    My research has shown health-care providers lack confidence in delivering menopause-related care, indicating a need for more education around menopause.

    In line with this, the Senate inquiry called for the upskilling of the medical workforce in the field of menopause through medical school training, postgraduate specialist programs, and ongoing education of clinicians.

    Women in Australia will soon be able to access menopause health assessments.
    Sabrina Bracher/Shutterstock

    While the government cannot mandate what is taught in medical schools or the content of specialist training programs, its response to the inquiry encourages these institutions to incorporate menopause in their curricula.

    Further, part of the government funding will go towards expanding a professional development program on managing menopause offered by Jean Hailes for Women’s Health.

    A good start, but still not enough

    The government’s new funding, and the new menopause health checks in particular, recognises that women’s health is strongly dictated by major biological events, such as menopause, as opposed to age.

    This is good news. But we need to do more to equip health professionals to provide the best menopause care to women in these health assessments and beyond.

    Adding new menopause modules to medical school and specialist training programs will ensure greater awareness of the impact of menopause on women’s health and wellbeing. However, awareness alone won’t ensure high-level training for the complex care many perimenopausal and menopausal women need.

    The opportunities for medical graduates to gain hands-on clinical experience in menopausal medicine are mostly limited to the select few who get to work in a hospital specialist menopause clinic during their training.

    Notably, there’s no credentialed training program in menopause medicine in Australia. Meanwhile, the North American Menopause Society does offer a credentialed program.

    The challenge has been that menopause does not belong to one medical specialty. This is why we need an accredited training program – for both GPs and medical specialists – to ensure a truly skilled workforce able to deliver gold standard menopause care.

    But without further federal funding to set this up, it will not happen.

    Susan Davis receives funding from NHMRC, Medical Research Future Fund, the Heart Foundation, MS Australia. She has prepared and delivered educational presentations for Besins Healthcare, Bayer, and Mayne Pharma and has served on Advisory Boards for Theramex, Astellas, Abbott Laboratories, Mayne Pharma, and Besins Healthcare. She is a Member of the Executive of the Australian Academy of Health and Medical Sciences.

    ref. Australian women will soon be eligible for a menopause health check. Here’s what to expect – https://theconversation.com/australian-women-will-soon-be-eligible-for-a-menopause-health-check-heres-what-to-expect-249499

    MIL OSI AnalysisEveningReport.nz

  • MIL-OSI Global: Net-zero homes are touted as a solution for climate change, but they remain out of reach for most

    Source: The Conversation – Canada – By Ehsan Noroozinejad Farsangi, Visiting Senior Researcher, Smart Structures Research Group, University of British Columbia

    Net-zero homes play an important role in combating climate change. (Shutterstock)

    Net-zero homes use natural energy sources and are designed to use less energy and, as such, are considered important in the fight against climate change. But for the average Canadian, they’re still out of reach.

    Net-zero homes are important for tackling climate change. This includes both net-zero energy (NZE) homes, which produce as much energy as they use each year, and net-zero carbon (NZC) homes, which don’t release any carbon dioxide.

    Released in the summer of 2024, the Canada Green Buildings Strategy outlines a bold vision to transform the country’s building sector, aiming for net-zero emissions and enhanced resilience by 2050. This is a bold step forward, but transforming the sector will require sustained collaboration across all levels of government, industry and communities.

    CTV News covers the federal government’s Green Buildings Strategy.

    Net-zero homes use green energy sources and efficient designs to match the amount of energy they produce with the amount they use. They use strategies like thermal shells that use less energy, high-performance components and the addition of green energy systems.

    Net-zero homes also help Canada reach larger climate goals by reducing the amount of carbon dioxide it releases into the air.

    Purchasing and installing these technologies can be cost-prohibitive, but in the long run, homeowners both save money on power bills and reduce their greenhouse gas emissions.

    Those who are unable to make changes to their homes can still live in a net-zero way by buying green power or carbon offsets.

    The sustainable housing market

    Net-zero homes are becoming more popular in Canada. To speed up building processes and reduce costs, builders are trying out pre-fabricated and modular building techniques.

    In 2024, the Canadian federal government announced a $600 million package of loans and funding to help make it easier and cheaper to build homes. This funding will support innovative technologies like pre-fabricated and modular construction, robotics, 3D-printing and mass timber to build homes faster and cheaper.




    Read more:
    Canada’s housing crisis: Innovative tech must come with policy reform


    The Net Zero Council of the Canadian Home Builders’ Association has also been important in enhancing standards and practices and promoting novel approaches that cut costs while still being environmentally friendly. In doing so, CHBA drives the adoption of cheaper, environmentally friendly technologies and processes, enhancing industry standards and practices across Canada.

    While CHBA collaborates with government agencies, such as Natural Resources Canada to promote innovation and elevate industry standards. Government programs typically provide funding, technical support and policy guidance, whereas CHBA focuses on training, best practices and market development for its members.

    Government research programs through CanmetENERGY also work to improve technologies and give builders and planners the tools they need.

    There are several reasons that owning a net-zero home has not yet become widespread. These include: high initial costs, limited awareness and education, gaps in policy and regulation and market challenges including difficulties in scaling up and integrating net-zero technologies.

    Future directions

    To make net-zero homes accessible to all Canadians, a multi-faceted approach is required.

    Increased subsidies and incentives and expanding financial support for both builders and buyers can lower barriers to entry. The government of Canada’s 2030 Emission Reduction Plan includes $9.1 billion in new investments over the next eight years — adding to the $17 billion announced in 2021 — to support decarbonization efforts.

    Enhancing public awareness and developing educational campaigns highlighting the cost savings and environmental benefits of net-zero homes are both essential approaches to raising awareness and support.

    Policy reform can accelerate adoption of net-zero homes. Examples include harmonizing building codes and introducing mandatory energy efficiency standards to accelerate adoption.

    Supporting continued research into technical innovation and developing cost-effective materials and renewable energy systems will drive down costs. Investment in modern methods of construction should be prioritized to accelerate the transition toward sustainable and energy-efficient building practices.

    Partnerships between governments, private developers and non-profits can bring together resources and expertise to scale net-zero housing initiatives.

    The Sustainable Finance Action Council recommends steps to mobilize private capital to support decarbonization and climate resilience in the Canadian economy, including in the housing sector.

    Solar panels the roofs of apartment buildings in Munich, Germany.
    (Shutterstock)

    Successful international models

    Several countries have demonstrated how net-zero homes can become a reality through innovative policies, community-driven approaches and public-private partnerships:

    BedZED in the United Kingdom is the country’s first eco-village project. It uses community-focused design and renewables to significantly cut carbon footprints.

    The Passive House standard is a German housing policy that sets a global benchmark for ultra-low energy consumption, emphasizing airtight construction and heat recovery.

    California’s ambitious Zero Net Energy policies help reduce overall carbon footprints by driving cutting-edge home construction practices.

    The Net Zero Energy House (ZEH) Program in Japan encourages advanced insulation, efficient appliances and rooftop solar.

    The Netherlands is a leader in innovative, large-scale retrofitting for net-zero housing, most notably through the Energiesprong program.

    These international models highlight that success lies in integrating strong policy frameworks, advanced technology and collaborative practices. They demonstrate that with the right mix of government support, industry innovation and residents embracing green choices, net-zero living can become more widespread.

    Housing is an important part of how to address climate change. As Canada pushes to make net-zero homes more affordable, each step forward strengthens communities, reduces greenhouse gas emissions and helps homeowners save money.

    Dr Ehsan Noroozinejad Farsangi has secured funding to develop innovative solutions for housing and climate crises.

    T.Y. Yang 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. Net-zero homes are touted as a solution for climate change, but they remain out of reach for most – https://theconversation.com/net-zero-homes-are-touted-as-a-solution-for-climate-change-but-they-remain-out-of-reach-for-most-247622

    MIL OSI – Global Reports

  • MIL-OSI USA: Boozman, Cotton, Thune Introduce Legislation to Repeal the Federal Death Tax

    US Senate News:

    Source: United States Senator for Arkansas – John Boozman
    WASHINGTON––U.S. Senators John Boozman (R-AR) and Tom Cotton (R-AR) joined Senate Majority Leader John Thune (R-SD) and 45 of their Senate Republican colleagues to introduce legislation that would permanently repeal the federal estate tax, commonly known as the death tax. The Death Tax Repeal Actwould end this punitive tax that threatens family-run farms, ranches and businesses upon the owner’s death. 
    “Arkansas’s farm families and small businesses should have the opportunity to preserve their legacies for the next generation instead of getting hit with a penalty that jeopardizes their livelihoods,” said Boozman. “They need certainty and relief from this counterproductive burden. Repealing the death tax supports our agriculture producers and entrepreneurs so they can continue to grow their operations and benefit their local economy.”
    “Families shouldn’t have to sell major portions of their businesses or farms after the death of a parent just to afford the estate tax. Breaking apart a family’s livelihood is neither fair nor good for the economy. This legislation would end the federal death tax, making it much easier to preserve a family’s legacy and way of life,” said Cotton. 
    “Family farms and ranches play a vital role in our economy and are the lifeblood of rural communities in South Dakota,” said Thune. “Losing even one of them to the death tax is one too many. It’s time to put an end to this punishing, burdensome tax once and for all so that family farms, ranches and small businesses can grow and thrive without costly estate planning or massive tax burdens that can threaten their viability.”
    The Death Tax Repeal Act would:
    Fully repeal the Estate Tax;
    Repeal the Generation-Skipping Transfer Tax for when a grandparent transfers assets to a grandchild; and
    Maintains step-up basis to allow the evaluation of an inherited asset to be adjusted to reflect a fair market value at the time of death
    The legislation is also cosponsored by Senators Jim Banks (R-IN), John Barrasso (R-WY), Marsha Blackburn (R-TN), Katie Britt (R-AL), Ted Budd (R-NC), Shelley Moore Capito (R-WV), John Cornyn (R-TX), Kevin Cramer (R-ND), Mike Crapo (R-ID), Ted Cruz (R-TX), John Curtis (R-UT), Steve Daines (R-MT), Joni Ernst (R-IA), Deb Fischer (R-NE), Lindsay Graham (R-SC), Chuck Grassley (R-IA), Bill Hagerty (R-TN), Josh Hawley (R-MO), John Hoeven (R-ND), Cindy Hyde-Smith (R-MS), Ron Johnson (R-WI), Jim Justice (R-WV), John Kennedy (R-LA), James Lankford (R-OK), Mike Lee (R-UT), Cynthia Lummis (R-WY), Roger Marshall, M.D. (R-KS), Mitch McConnell (R-KY), Dave McCormick (R-PA), Jerry Moran (R-KS), Bernie Moreno (R-OH), Markwayne Mullin (R-OK), Pete Ricketts (R-NE), Jim Risch (R-ID), Mike Rounds (R-SD), Eric Schmitt (R-MO), Rick Scott (R-FL), Tim Scott (R-SC), Tim Sheehy (R-MT), Thom Tillis (R-NC), Tommy Tuberville (R-AL), Roger Wicker (R-MS) and Todd Young (R-IN).
    Companion legislation was introduced in the U.S. House of Representatives by Rep. Randy Feenstra (R-IA-04). 
    The Death Tax Repeal Act is supported by more than 190 members of the Family Business Coalition and more than 105 members of the Family Business Estate Tax Coalition, which includes the National Federation of Independent Business, the National Restaurant Association, the National Association of Home Builders and the U.S. Chamber of Commerce.
    Click here for full text of the legislation.

    MIL OSI USA News

  • MIL-OSI Europe: Written question – Traceability of active ingredients in medications sold in the European Union – E-000601/2025

    Source: European Parliament

    Question for written answer  E-000601/2025
    to the Commission
    Rule 144
    Aleksandar Nikolic (PfE), Valérie Deloge (PfE), Marie-Luce Brasier-Clain (PfE)

    There are a lot of rules and regulations in the EU to make sure that manufacturers and distributors are transparent about the origin of their products. As a result, it is easy to know where the products we eat or wear come from: everything is written on the label.

    However, this requirement for transparency does not extend to the pharmaceutical sector. In fact, laboratories are only required to indicate, on secondary packaging, the name and address of the company placing the product on the market and/or those of the company producing the drug.

    This is unclear, and sometimes even misleading for patients: while a drug might be produced in France, its active ingredient could come from a country like India or China. This causes serious problems for consumers in terms of traceability and transparency.

    In addition, given that there is a shortage of certain medications and a need for EU independence in medicine production, it would surely be advantageous for consumers to be told the origin of active ingredients, so their buying choices can be better informed, where possible.

    Does the Commission intend to take steps to ensure that active ingredients are more traceable?

    Submitted: 10.2.2025

    Last updated: 18 February 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Written question – EU-based shipping companies selling vessels to the Russian shadow fleet – E-000602/2025

    Source: European Parliament

    Question for written answer  E-000602/2025
    to the Commission
    Rule 144
    Ville Niinistö (Verts/ALE), Maria Ohisalo (Verts/ALE), Villy Søvndal (Verts/ALE), Kira Marie Peter-Hansen (Verts/ALE), Rasmus Nordqvist (Verts/ALE), Nela Riehl (Verts/ALE), Jutta Paulus (Verts/ALE), Hannah Neumann (Verts/ALE), Isabella Lövin (Verts/ALE), Alice Kuhnke (Verts/ALE), Pär Holmgren (Verts/ALE), Sergey Lagodinsky (Verts/ALE), Erik Marquardt (Verts/ALE), Virginijus Sinkevičius (Verts/ALE)

    In its resolution of 14 November 2024, Parliament called on the Commission to take action to prevent and limit the activities of the Russian shadow fleet and to ensure the full enforcement of sanctions against Russia.

    In early February 2025, it was revealed that more than a third of Russia’s shadow fleet consists of tankers previously owned by shipowners from Western countries. For example, four Danish shipping companies have sold at least 10 ships either directly or indirectly to companies that currently operate in the Russian shadow fleet.

    Since then, the ships have transported Russian oil products.

    • 1.Is the Commission preparing sanctions to prevent EU-based shipping companies from selling ships to companies operating in the shadow fleet?
    • 2.Shadow fleet vessels have also been implicated in the sabotage of cables in the Baltic Sea. What actions is the Commission taking to support EU Member States’ monitoring of these vessels?

    Submitted: 10.2.2025

    Last updated: 18 February 2025

    MIL OSI Europe News

  • MIL-OSI Europe: Piero Cipollone: Striking the right balance: the ECB’s balance sheet and its implications for monetary policy

    Source: European Central Bank

    Speech by Piero Cipollone, Member of the Executive Board of the ECB, at an MNI Connect webcast

    Frankfurt am Main, 18 February 2025

    Today I would like to discuss the ECB’s balance sheet and its implications for our monetary policy.

    In recent years, the monetary policy debate has mainly focused on our interest rate decisions. This is for good reason. In response to the biggest inflation shock in a generation, we embarked on the fastest tightening of monetary policy in the ECB’s history through rate hikes.

    During this tightening phase, we used policy rates as the primary tool for setting our monetary policy stance, while normalising our balance sheet in a measured and predictable way. We initiated the gradual unwinding of our asset purchase programmes and recalibrated our targeted longer-term refinancing operations (TLTROs).[1] As a result, the size of our balance sheet has fallen by more than a quarter from its peak.

    Policy rates remain our primary instrument and will therefore continue to attract the most attention. But we should not underestimate the important role that our balance sheet policies have played over time as a component of our overall monetary policy stance and in ensuring the smooth transmission of our monetary policy to the real economy. This still holds true today as we make our monetary policy less restrictive.

    Inflation has now fallen substantially to levels close to 2%. Our latest projections foresee it converging towards our target over the medium term, and the risks to the inflation outlook – once sharply skewed to the upside – have now become more balanced.

    At the same time, the euro area’s economic recovery remains weak – especially in the near term. The risks to the growth outlook are tilted to the downside and, if they materialise, may derail the recovery, with implications for the inflation outlook.

    Against this background, the Governing Council has gradually been reducing the degree of monetary policy restriction by cutting policy rates towards neutral territory. While our direction is clear, we are very attentive to incoming information in view of the prevailing uncertainty about the economic environment. We continue to make decisions on a meeting-by-meeting and data-dependent basis. This gives us the option to adapt our interest rate path if necessary to ensure that inflation stabilises sustainably at our 2% medium-term target.

    However, given the importance of financial conditions in determining the inflation outlook, we also need to consider the role played by the reduction of our balance sheet. In the tightening phase our rate decisions and balance sheet policies complemented each other, but they are now going in opposing directions.

    This divergence has important implications across at least two dimensions.

    First, it contributes to a steepening of the yield curve. Our rate cuts exert downward pressure primarily at the short end of the yield curve. At the same time, the gradual runoff of our asset purchase portfolios exerts upward pressure on long-term and, to a lesser extent, intermediate yields. This has been compounded by recent spillovers from the US.[2]

    Second, it may affect credit supply. Declining levels of central bank liquidity could constrain banks’ ability to extend credit, resulting in tighter credit conditions and potentially slowing down the investment and consumption that are critical for economic recovery.

    In setting the policy stance, we therefore need to consider the impact of the overall set of financial conditions resulting from our interest rate and balance sheet policies. In other words, we need to strike the right balance if we are to achieve our inflation aim without an undue negative impact on incomes and employment. A rate cut has a more contained easing effect when the balance sheet is simultaneously reduced. This has implications when discussing the appropriate policy rate path.

    We also need to consider the potential risks to the transmission of our monetary policy. In the past, abundant levels of liquidity have acted as a safeguard against spikes in liquidity needs that emerged regardless of where our rates stood. With this in mind, we need to carefully monitor the transition from abundant to less ample excess liquidity, mindful of the potential implications for financial stability.

    Today, I would like to take stock of the ECB’s experience with balance sheet policies, explaining why they remain a vital part of our monetary policy toolbox. I will then discuss the implications of the ECB’s balance sheet for our monetary policy in the current environment.

    The ECB’s experience with balance sheet policies

    At the ECB, balance sheet policies have served a dual purpose over time, allowing us to deliver on our price stability mandate amid exceptionally difficult circumstances.

    First, during periods when interest rates approached their effective lower bound and inflation remained below target, the ECB used asset purchases to support an accommodative monetary policy stance.

    For instance, the ECB launched its asset purchase programme (APP) in 2015 to stimulate the economy and inflation at a time when deflationary threats loomed large. Asset purchases and the associated provision of central bank liquidity worked in several ways – including through the portfolio rebalancing, exchange rate and credit channels – to generate a significant upward effect on both economic activity and inflation.[3]

    Second, balance sheet policies have been pivotal to ensuring the smooth transmission of our monetary policy to the real economy, in both tightening and easing phases.

    At times when we were lowering our policy rates, our TLTROs, launched in 2014, provided banks with long-term funding on favourable terms to incentivise them to lend to firms and households. This led to a persistent compression in lending rates and an increase in loan volumes over time.[4]

    But balance sheet policies were also instrumental in ensuring the smooth transmission of monetary policy at times when we were increasing our policy rates. The announcement of our Transmission Protection Instrument (TPI) in 2022 allowed us to embark on the fastest rate hiking cycle in our history without sparking financial fragmentation in the euro area.

    Of course, the stance and transmission functions of our balance sheet policies do not operate in isolation. There can be beneficial interactions between the two.

    As rates increased, for example, euro area banks had sufficient liquidity to manage any maturity mismatches that arose. This – alongside strengthened regulation and supervision – helped them to emerge unscathed from the market turbulence in March 2023 that saw the collapse of three regional banks in the United States.

    The proportionate use of balance sheet policies in an evolving economic landscape

    The substantial expansion of the ECB’s balance sheet required careful monitoring of potential side effects. That is why the principle of proportionality lies at the core of how we use our balance sheet instruments.[5]

    In its 2021 strategy review, the Governing Council assessed that its use of balance sheet measures – alongside negative interest rates and forward guidance – had indeed been proportionate, taking into account any side effects, for instance on inequality and the financial sector.[6]

    Some concerns, however, require a more nuanced perspective.

    For example, there is little evidence to suggest that excessive risk appetite may be attributable to larger central bank balance sheets. If this were the case, we should have seen less risk-taking in markets as central banks began to withdraw their market footprint.

    But the opposite has been the case. Today equity markets are near all-time highs. This may be due to “animal spirits”[7], which have also been observed outside periods of central bank balance sheet growth. We saw them at play, for instance, during the dot-com bubble – a period when the cyclically adjusted price-to-earnings ratio hit its historic peak and central bank balance sheets were distinctly lean.

    Moreover, as the Eurosystem gradually reduces its footprint in sovereign bond markets by reducing its holdings of euro area government bonds, concerns about the size of the balance sheet are becoming less and less justified (Chart 1).[8]

    Chart 1

    Size of euro area government bond market and the Eurosystem’s market footprint

    (left-hand scale: EUR billions; right-hand scale: percentages)

    Sources: Eurosystem and Centralised Securities Database.

    Notes: The chart shows the evolution of the size of the euro area government bond market and splits it into outright holdings (yellow) and mobilised collateral (green), as well as what is not held or mobilised as collateral with the Eurosystem (blue). The Eurosystem market footprint is a relative measure, computed as the share of the Eurosystem’s euro area government bond (EGB) holdings compared with the nominal amount outstanding. Outright holdings are EGBs held by the Eurosystem via purchase programmes, adjusted by EGBs lent back via the securities lending against cash collateral facilities. Mobilised collateral includes EGBs mobilised as collateral for open market operations. The latest observations are for 31 January 2025.

    Going forward, an evolving economic landscape suggests that balance sheet policies could be increasingly useful as monetary policy instruments. Let me highlight two developments that are particularly relevant here.

    First, the non-bank financial sector has grown considerably over time and is becoming increasingly relevant in the funding of the real economy.

    In the euro area, the financial assets of non-banks have more than doubled since the global financial crisis.[9] Compared with banks, non-banks are more responsive to monetary policy measures that influence longer-term interest rates, such as asset purchases.[10] Given that non-banks adjust their portfolios more actively in response to changes in interest rates, this also increases the need for sufficient liquidity in the system to facilitate these adjustments.

    Second, geopolitical fragmentation means that the global economy is becoming more shock prone and subject to higher levels of uncertainty (Chart 2).

    Chart 2

    Global Economic Policy Uncertainty index

    (index)

    Source: Bloomberg.

    Note: The latest observation is for December 2024.

    In this environment, we need to remember that the euro area is subject to fragmentation risk. A key lesson from the sovereign debt crisis is that balance sheet policies have been instrumental in making the euro area a more “normal” jurisdiction from the perspective of monetary policy.

    As we navigate an increasingly complex economic landscape, the transition from abundant to less ample excess liquidity represents an inflection point that also requires close monitoring.

    In this environment, banks’ liquidity needs are met via a broad mix of instruments under our new operational framework. These include our short-term main refinancing operations (MROs) and three-month longer-term refinancing operations (LTROs) and will also include – at a later stage – structural longer-term credit operations and a structural portfolio of securities.[11]

    However, the decline in excess liquidity warrants careful monitoring, as it could exert additional tightening pressures on financial and financing conditions, potentially exceeding the intended policy stance.

    The implications of the ECB’s balance sheet for monetary policy in the current environment

    It is in this context that I would like to talk about the implications of our balance sheet for monetary policy in the current environment.

    The ECB’s balance sheet has been reduced at a faster pace than those of central banks in other major economies during their tightening cycles (Chart 3). So far, much of this decline can be attributed to banks’ repayments of TLTRO loans.[12]

    Chart 3

    Central bank total assets

    (index = 100 at the start of the respective policy rate hiking cycles)

    Sources: Bloomberg and ECB calculations.

    Notes: The x-axis starts on 21 July 2022, 16 March 2022 and 15 December 2021 for the Eurosystem, Federal Reserve System, and Bank of England respectively. For the Bank of England, reserve balances are used as a proxy for the total balance sheet. The latest observations are for 12 February 2025.

    Looking ahead, however, any further reduction in the size of our balance sheet will stem from the gradual unwinding of our asset purchase portfolios, as the Eurosystem no longer reinvests the principal payments from maturing securities.

    As in the past, the normalisation of our balance sheet has implications for our monetary policy stance and the possible risks to monetary policy transmission.

    The monetary policy stance

    Let me start with the implications for our monetary policy stance.

    Our reaction function for rate decisions is built around three well-known criteria: (i) the inflation outlook, (ii) the dynamics of underlying inflation and (iii) the strength of monetary policy transmission.

    Inflation has fallen by around three-quarters from its peak in late 2022 (Chart 4). The disinflation process is well on track, and our staff projections see inflation averaging 2.1% this year, 1.9% next year and 2.1% in 2027.

    Chart 4

    Headline inflation

    (annual percentage changes)

    Source: Eurostat.
    Note: The latest observation is for January 2025 (flash estimate).

    Most measures of underlying inflation suggest that inflation will settle at around our 2% medium-term target on a sustained basis. In particular, the ECB’s measure of the persistent and common component of inflation (PCCI)[13] – a more forward-looking indicator of underlying inflationary pressures that tends to better predict future inflation – stood at 2.1% in December, and 2.0% when excluding energy.

    Domestic inflation remains high, as wages and prices in certain sectors are still adjusting to the past inflation surge with a substantial delay. But our wage tracker is signalling a significant moderation in wage growth, and profits are partially buffering the impact on inflation.

    It is the third leg of our reaction function – the strength of monetary policy transmission – that I would like to discuss in more detail, however.

    As we cut interest rates, new borrowing for firms and households is becoming less expensive. But financing conditions continue to be tight – in part because our monetary policy remains restrictive and past rate hikes are still working their way through the economy.[14]

    While credit continues to expand, lending to firms and households remains subdued by historical standards. In December, the annual growth rate of lending to firms was roughly two-thirds below its historical average.[15] Growth in housing loans increased gradually but also remained muted overall, at around one-fifth of its long-term average (Chart 5).[16]

    Chart 5

    Loans to firms and households

    (percentage points)

    Sources: ECB (BSI) and ECB staff calculations.

    Note: The latest observations are for December 2024.

    At the same time, the recent gradual recovery in lending has not kept pace with the nominal growth of the economy, as reflected in the continued decline of the loan-to-GDP ratio (Chart 6).

    Chart 6

    Ratio of bank loans to GDP

    (percentages)

    Sources: ECB (BSI), Eurostat and ECB staff calculations.

    Note: The latest observation is for the third quarter of 2024.

    While policy rates remain our primary instrument for adjusting our monetary policy stance, the normalisation of our balance sheet may also affect the stance through two key channels.

    First, while our rate cuts exert downward pressure primarily at the short end of the yield curve, our quantitative tightening exerts upward pressure on long-term maturities and, to a lesser extent, intermediate ones. This serves to tighten financial conditions.[17]

    Indeed, the runoff of the asset portfolios of central banks has arguably been one of several factors contributing to a steepening of sovereign yield curves in recent months – akin to a reversal of the duration risk channel previously associated with central banks through quantitative easing (Chart 7).

    Chart 7

    New duration risk absorbed by private investors

    (EUR billions per basis point)

    Sources: Bloomberg and ECB.

    Notes: The chart shows the month-on-month change in the duration of government bonds held by private investors (i.e. investors other than the domestic central bank). Rates are approximated by weighted average maturity.

    At its peak in early 2022, the impact of current and expected Eurosystem bond holdings in our asset portfolios lowered ten-year sovereign bond yields by around 175 basis points.[18] Due to quantitative tightening, however, the easing impact has now fallen to around 75 basis points and is expected to further reduce over time (Chart 8).

    Chart 8

    Impact of APP and PEPP sovereign bond holdings on ten-year sovereign risk premia

    (basis points)

    Source: ECB calculations.

    Notes: The impacts are derived from an affine arbitrage-free model of the term structure with a quantity factor (see Eser et al., op. cit.) and an alternative version of the model recalibrated so that the model-implied yield reactions to the March PEPP announcement match the two-day yield changes observed after 18 March 2020. The model results are derived using GDP-weighted averages of the zero-coupon yields of the big-four sovereign issuers (DE, FR, IT and ES). The continuous line represents estimates based on real-time survey expectations. The dashed line is based on projections of the Eurosystem’s holdings of big-four sovereign bonds in the APP and PEPP as informed by the ECB’s December 2024 Survey of Monetary Analysts. The model abstracts from any potential holdings in a structural portfolio of securities. The latest observations are for January 2025 (monthly data).

    According to ECB research, an expected €1 trillion reduction in bond holdings may raise long-term risk-free interest rates by about 35 basis points (Chart 9).[19]

    Chart 9

    Expected term premium impact from running down the asset portfolio by €1 trillion

    (basis points)

    Sources: ECB December 2024 Survey of Monetary Analysts (SMA) and Akkaya, Y. et al., op.cit.

    Notes: The chart depicts the expected effect on the term premium of various assets with a ten-year maturity resulting from an expected €1 trillion decrease in the ECB’s bond holdings. Results are based on individual SMA responses from December 2022 until December 2023.

    Second, an environment marked by declining levels of central bank liquidity may constrain banks’ ability to extend credit.

    Research documents the strong relationship between loan supply and structural sources of liquidity, such as reserves obtained through credit easing programmes or those injected through quantitative easing interventions.

    More specifically, a €1 change in non-borrowed reserves or credit easing reserves is associated with a corresponding change in credit of approximately 15 cents or 10 cents respectively.[20] In other words, a €500 billion drop in non-borrowed reserves – similar to the one expected in 2025 as a result of the decline in our APP and PEPP holdings – is associated with a €75 billion decline in credit supply, equivalent to about 0.6 percentage points of downward pressure on loans to the non-financial private sector.[21]

    Accordingly, as central bank liquidity declines, we may see tighter credit conditions in the economy. This could slow down investment and consumption, with firms cutting back on capital expenditure and consumers reducing purchases of big-ticket items that require financing.[22]

    Incoming data suggest that euro area GDP growth will remain subdued in the short term. Industrial production decreased notably in December and surveys indicate that manufacturing is continuing to contract, whereas services activity is expanding at a moderate pace (Chart 10).

    Chart 10

    Purchasing Managers’ Index

    (diffusion indices)

    Source: S&P Global.

    Notes: “Output” and “New orders” correspond to the manufacturing and composite indices, and “Business activity” and “New business” to the services index. The latest observations are for January 2025.

    Given the uncertain economic environment, we are yet to see a sustained rebound in investment (Chart 11).[23] And while we continue to expect consumption to be the main driver of the recovery, rising real incomes have not yet encouraged households to increase their spending in a commensurate manner (Chart 12).[24] In the face of subdued domestic demand, our latest staff projections forecast a slower economic recovery than had been forecast in the September projections.[25]

    Chart 11

    Detailed decomposition of euro area real GDP

    (quarter-on-quarter percentage changes and percentage point contributions)

    Sources: Eurostat and ECB staff calculations.

    Note: The latest observations are for the fourth quarter of 2024 for real GDP, and for the third quarter of 2024 for the other components.

    Chart 12

    Real household disposable income and consumption

    (second quarter of 2022 = 100)

    Sources: Eurostat and ECB staff calculations.

    Note: The latest observations are for the third quarter of 2024.

    Moreover, geopolitical risks may create further headwinds for the recovery, which we will need to monitor carefully. Forthcoming findings from the ECB’s Consumer Expectations Survey (CES) suggest that consumers’ concerns about geopolitical risks are negatively affecting economic sentiment – leading to more pessimistic expectations, more elevated income uncertainty and, ultimately, a lower propensity to consume.

    We are determined to ensure that inflation stabilises sustainably at our 2% medium-term target. As we gradually cut rates towards neutral territory, we need to be mindful of the fact that we now have two monetary policy tools working in opposing directions, given our ongoing quantitative tightening. This is a first in our history at the ECB.

    We therefore need to ensure that we factor in the tightening of our balance sheet when calibrating our rate cuts to achieve our inflation aim. This is because the stance effects stemming from our rate cuts will be somewhat dampened by the tightening induced by the normalisation of our balance sheet.

    This is an important consideration when discussing the appropriate policy rate path.

    Risks to the transmission of our monetary policy

    Similarly, we need to be mindful of the possible risks to the transmission of our monetary policy to the real economy in view of the prevailing uncertainty and potential risks to financial stability.

    This cautious approach is crucial, especially given historical precedents where central banks faced unexpected challenges.

    In late 2019, for instance, the Federal Reserve System was unexpectedly forced to temporarily reverse its balance sheet retrenchment due to liquidity challenges in financial markets.[26] In 2022 the Bank of England halted quantitative tightening and launched emergency gilt purchases to safeguard financial stability after pension funds’ liability-driven investment strategies exposed systemic risks.[27]

    Recent bouts of market volatility also underscore that we should remain alert to the emergence of financial stability risks that may endanger transmission. Last August several factors converged to spark substantial market volatility.[28] The VIX, a market index that measures the implied volatility of the S&P 500 index, recorded its largest ever one-day spike (Chart 13).[29]

    Chart 13

    VIX index

    (percentages)

    Source: ECB staff calculations.

    Notes: Long run average calculated since January 2000. The latest observations are for 7 February 2025.

    Faced with such episodes of volatility, the further decline in our balance sheet must remain on a gradual and predictable path to avoid financial amplification effects.[30] This is especially important in an environment where euro area banks are already tightening their credit standards, especially for firms and consumer credit, due to higher perceived risks related to the economic outlook (Chart 14).[31]

    Chart 14

    Credit standards, demand for loans to firms and contributing factors

    (net percentages)

    Source: ECB (bank lending survey).

    Notes: “Actual” values are changes that have occurred, while “expected” values are changes anticipated by banks. Net percentages for the questions on credit standards for loans are defined as the difference between the sum of the percentages of banks responding “tightened considerably” and “tightened somewhat” and the sum of the percentages of banks responding “eased somewhat” and “eased considerably”. Net percentages for the questions on demand for loans are defined as the difference between the sum of the percentages of banks responding “increased considerably” and “increased somewhat” and the sum of the percentages of banks responding “decreased somewhat” and “decreased considerably”. “Other financing needs” as unweighted average of “M&A and corporate restructuring” and “debt refinancing/restructuring and renegotiation”; “Use of alternative finance” as unweighted average of “internal financing”, “loans from other banks”, “loans from non-banks”, “issuance/redemption of debt securities” and “issuance/redemption of equity”. The net percentages for “Other factors” refer to an average of the further factors which were mentioned by banks as having contributed to changes in credit standards or changes in loan demand, respectively. The latest observations are for the fourth quarter of 2024 (January 2025 bank lending survey).

    Our balance sheet policy instruments continue to be a crucial item in our toolbox. The expectation that we will use them if necessary protects the smooth transmission of our monetary policy and reduces the likelihood that we will need to use these tools in the first place.

    Moreover, in an environment of heightened uncertainty, even in the context of excess liquidity, we need to remain prudent and be ready to step in should another shock emerge. We should maintain the flexibility to swiftly expand liquidity facilities if stressful conditions arise.

    Conclusion

    Let me conclude.

    The ECB’s experience with balance sheet policies to date demonstrates their importance both for the monetary policy stance and for the transmission of our monetary policy to the real economy. They are a vital part of our toolkit.

    While policy rates remain our primary instrument for adjusting the monetary policy stance, we should also consider the role played by quantitative tightening in influencing overall financial and financing conditions – be it through the yield curve or through the bank lending channel.

    To strike the right balance, we should ensure that our rate decisions adequately compensate for the tightening induced by the reduction of our balance sheet.

    Thank you.

    MIL OSI Europe News

  • MIL-OSI USA: IT Infrastructure Manufacturer to Invest $11 Million in New Bern Expansion

    Source: US State of North Carolina

    Headline: IT Infrastructure Manufacturer to Invest $11 Million in New Bern Expansion

    IT Infrastructure Manufacturer to Invest $11 Million in New Bern Expansion
    lsaito

    Raleigh, NC

    Today, Governor Josh Stein announced Chatsworth Products, Inc. (CPI), a manufacturer of IT equipment, will add 45 new jobs in Craven County. The company will invest $11 million to expand its facility in New Bern.

    “Our state’s ability to support manufacturing operations in all corners of the state will continue to grow our economy and ensure the benefits of that growth are more broadly shared across North Carolina,” said Governor Josh Stein. “Chatsworth Products is reinvesting in Craven County because North Carolina is a great home for business and our workforce is the best.”

    CPI, a global manufacturer of infrastructure hardware and equipment for the information and communication technology industries, has been delivering innovative solutions for more than three decades. As a 100% employee-owned company, CPI specializes in engineering thermal, power and cable management solutions for the data center, in addition to enterprise networking and industrial enclosures. The New Bern location will increase its production capacity and introduce new product lines in this expansion.

    “Chatsworth Products has been delivering innovative Data Center infrastructure solutions for over 34 years to our global customer base fueled by our employee-ownership culture,” said Ted Behrens, CEO, Chatsworth Products. “This expansion in New Bern underscores our dedication to meeting customer needs while strengthening our role as a trusted partner in the IT and telecommunications industries. We are proud to deepen our roots in Craven County and contribute to the region’s economic growth with new opportunities and advanced manufacturing capabilities.”

    “Chatsworth’s decision to expand is the result of what works well in North Carolina,” said N.C. Commerce Secretary Lee Lilley. “In addition to a skilled workforce and talent development system, the intersection of manufacturing excellence and innovative leadership keeps us high on the list as a fast-growing tech hub that companies need to thrive.”

    New positions include machine operators, packers, and warehouse staff. While wages vary by position, annual wages for new positions will average $50,224, which exceeds the Craven County average of $48,770. These new jobs could potentially create an annual payroll impact of more than $2.2 million for the region.

    A performance-based grant of $100,000 from the One North Carolina Fund awarded to Chatsworth Products will help facilitate the company’s expansion. The OneNC Fund provides financial assistance to local governments to help attract economic investment and to create jobs. Companies receive no money upfront and must meet job creation and capital investment targets to qualify for payment. All OneNC grants require a matching participation from local governments and any award is contingent upon that condition being met.

    “These new jobs are a welcome addition to our region,” said N.C. Senator Bob Brinson. “Chatsworth’s commitment in Craven County is a testament to our state’s strong economy and well-educated workforce. I look forward to working with them for years to come.”

    “We know Chatsworth could have expanded anywhere, but we’re glad they chose New Bern,” said N.C. Representative Steve Tyson. “We’re grateful for the diligent professionals as well as the state, regional and local officials that helped the company with its decision.”

    In addition to the North Carolina Department of Commerce and the Economic Development Partnership of North Carolina, other key partners in this project include the North Carolina General Assembly, North Carolina Community College System, Craven Community College, NC East Alliance, North Carolina’s Southeast, Craven County, Craven 100 Alliance, and Duke Energy. 

    Feb 18, 2025

    MIL OSI USA News

  • MIL-OSI United Kingdom: Adult Support and Protection Day 2025

    Source: Scotland – Highland Council

    Issued by NHS Highland on behalf of the Highland Adult Protection Committee.

    Residents across Highland are being asked to be alert to vulnerable adults in their communities who are susceptible to financial harm.

    Adult Support and Protection Day takes place on Thursday 20 February 2025 and NHS Highland is urging everyone to report any concerns to ensure those in need are able to access support.

    Financial harm can cover theft, fraud and pressure to sign over property or money. It also relates to rogue traders, online scammers and misuse of benefits.

    People can be at increased risk to be harmed financially through factors such as ill health, trauma and physical or mental health conditions.

    It can happen anywhere – in someone’s home, where they work, or in a public place – and is often caused by the people closest to them. It can even happen in places responsible for keeping someone safe, such as a care home, hospital or day centre.

    The Highland Adult Committee is hosting an Adult Protection Day on Thursday, 20th February 2025 in Culloden-Balloch Baptist Church, Wellside Road, Balloch.

    The event will focus on combating financial harm and protecting vulnerable adults in our communities. Tickets for the event are free, and you can book your space by visiting https://www.ticketsource.co.uk/highlandadultprotection . The event will run from 10am-3pm.

    Mark McGinty, Chair of the Adult Support and Protection Community Awareness Group for the Highland area said: “Financial harm has an impact upon us all, whether its being caught out by a scammer, a mistrust by a family member or friend, or an organisation or public body helping prevent financial harm or helping a victim recover.

    “This event provides an opportunity for professionals and the wider public alike, to learn more about what financial harm is, how to spot it, who to speak to and how to prevent it from happening. I’d urge professionals and those associated with adult care, as well as the general public, to come along if possible, it could save you or someone you know from the stress and heartache of losing money to financial harm.”

    Councillor David Fraser, Highland Council Chair of Housing and Social Work Committee said: “Highland Council welcomes this event being organised by the Adult Support and Protection Committee which ultimately aims to protect vulnerable adults in our communities who are susceptible to financial harm. If anyone has concerns about a vulnerable adult in their community who they suspect is being financially harmed they should contact either Advice Direct Scotland on 0808 164 600, who partner Trading Standards in tackling consumer scams, or Police Scotland on 101 where the financial harm is more family, friend, guardian related.”

    It’s important to speak up about any concerns you have, as the person may not be able to do so themselves. 

    Please see NHS Highland website for more details on raising a concern  Adult support and protection | NHS Highland

    MIL OSI United Kingdom

  • MIL-OSI United Kingdom: Savills appointed to assess commercial options for iconic Highland capital property

    Source: Scotland – Highland Council

    Photo by Paul Campbell. Meeting in the main hall at Inverness Town House (left to right): David Haas, Highland Council Senior Community Development Manager; Depute Provost of Inverness and Area Cllr Morven Reid; Caroline Webster, Savills Director – Building Surveyor; Adam Davies, Savills Associate Director; Leader of Inverness and Area Cllr Ian Brown; Depute Provost of Inverness and Area Cllr Jackie Hendry; and Chair of the Inverness Common Good Sub Committee Cllr Alex Graham.

    The Highland Council on behalf of the Inverness Common Good Fund is pleased to announce an award of contract to Savills (UK) Ltd for the development of a feasibility study on the use of Inverness Town House.

    Leader of Inverness and Area, Cllr Ian Brown said: “As Trustees of the Inverness Common Good, Members of the City of Inverness Area Committee have agreed to appoint Savills (UK) Ltd.  I am delighted to announce that work is commencing on a feasibility study – the outcomes of which will help identify a long-term future for the Town House in the context of all the new developments that are taking place within the city.

    Provost of Inverness, Cllr Glynis Campbell Sinclair added: “I am delighted that the Council has appointed such an experienced and prestigious company as Savills to appraise sustainable commercial options for the future of this much-loved historical building.

    “Since Highland Council relocated staff to its headquarters in 2023, work has been progressing well on the development of this Grade A Listed Common Good Fund asset to ensure that it continues to play a productive role into the future while remaining a fully functioning base for civic events. The study enhances our ability to deliver further on the progress to date and develop new ideas”

    Chair of the Inverness Common Good Sub Committee Cllr Alex Graham said: “As guardians of the Inverness Common Good Fund, we have an important responsibility to ensure that we maximise the return on Common Good Fund assets for the benefit of the people of Inverness. A key aim of the feasibility study is to identify ways in which to increase the Town House business potential as much as possible while retaining the historical character and civic functions of the property.”

    Savills, Associate Director. Adam Davies said: “Savills is delighted to be instructed by Highland Council to conduct a feasibility study for Inverness Town House. This is an iconic building, with an important historical legacy, situated in the heart of a fast-growing city. Ensuring its continued civic accessibility, whilst also exploring complimentary uses, will be key to finding a vibrant and sustainable solution.

    “With extensive experience of working with heritage assets in leisure and commercial markets, our study will explore a range of future uses. We look forward to presenting our findings to the Council for their consideration.”

    The feasibility study will focus on identifying options for the use of the building and engagement with stakeholders, on the potential uses of the building. The study also requires an understanding of the commercial market environment and identification of the requirements that would be required to deliver and operate the commercial options identified. An outline business case that considers the risks and challenges to provide a robust and sustainable outcome will conclude the feasibility study.

    The core principles underpinning the feasibility study are that:

    • the Town House retains a core function as a civic building in the heart of the city.
    • consideration is given to the position of the Town House and how it could align with the Castle Project and wider city developments.
    • any changes, or renovations required to the interior of the property are to support future uses and must be respectful of the building’s history and status.
    • a sustainable model is created for the operation of the Town House with the potential to make the property cost neutral or profitable.

    Further information on the Town House can be found at www.theinvernesstownhouse.co.uk.

    The study will be reported to the City of Inverness Area Committee later in the Spring.

    MIL OSI United Kingdom

  • MIL-OSI USA: District Court Enters Permanent Injunctions Prohibiting Unauthorized Debits to Consumer and Small Business Bank Accounts

    Source: US Justice – Antitrust Division

    Headline: District Court Enters Permanent Injunctions Prohibiting Unauthorized Debits to Consumer and Small Business Bank Accounts

    On Jan. 31, a court in Miami entered the final in a series of consent decrees, permanently barring 10 individuals and entities from operating a scheme to steal funds from thousands of bank accounts belonging to consumers and small businesses across the United States.

    MIL OSI USA News

  • MIL-OSI: Champions Unite: XBO.com Becomes the Official Global Sponsor of the Argentina National Football Team

    Source: GlobeNewswire (MIL-OSI)

    Argentine Football Association Partners with XBO.com, a leading cryptocurrency exchange, to unite two passionate communities. Football fans and XBO.com users will gain access to exclusive promotions, events, and VIP match experiences

    WARSAW, Poland, Feb. 18, 2025 (GLOBE NEWSWIRE) — The Argentine Football Association (AFA), the governing body of football in Argentina, has partnered with XBO.com, a leading cryptocurrency exchange dedicated to making digital asset trading accessible, secure, and user-friendly. This collaboration aims to strengthen Argentina’s football community while providing fans with seamless and trustworthy access to cryptocurrency.

    A Landmark Partnership Between Crypto & Football

    In a groundbreaking collaboration that bridges the worlds of digital finance and sports, XBO.com is proud to become an official Global Sponsor of the Argentina National Football Team for 2025!

    The Argentine Football Association—one of the most iconic institutions in world football—and XBO.com, a next-generation cryptocurrency exchange, have signed a one-year Sponsorship Agreement for 2025. As part of this agreement, XBO.com will support the Argentine National Football Team throughout the next competitive chapter in 2025, ahead of the final World Cup 2026 qualification matches.

    This partnership marks a major milestone in XBO.com’s mission to make cryptocurrency accessible to all, while also playing a key role in AFA’s global expansion, which makes it highly sought-after by both parties.

    Two Champions, One Goal: Crypto for All

    Football and crypto have more in common than meets the eye: both unite people across borders, thrive on strategy, and reward those who stay ahead of the game. The partnership between AFA and XBO.com brings together two leading organizations from these fields to collaborate in facing new challenges and seizing opportunities.

    The Argentina National Team – A legacy of champions, reigning World Cup winners, and a global fanbase of millions.

    XBO.com – An innovative crypto exchange built to empower traders with security, ease of use, and financial freedom.

    With its global influence, AFA has no shortage of sponsorship opportunities among global brand leaders. Given this, the Association’s decision to partner with XBO.com is a strong testament to its forward-looking vision and the increasing role of crypto in the global economy.

    Claudio Fabian Tapia, President of AFA, stated:

    “We are delighted to welcome XBO.com as the new official sponsor of the Argentine Football Association. This agreement represents an important milestone in our global expansion strategy, opening new opportunities with such a prominent and innovative crypto brand. We look forward to a successful partnership and shared achievements in 2025.”

    What This Partnership Brings:

    • Exclusive Rewards & Giveaways – Win signed jerseys, VIP match tickets, stadium tours, and unforgettable fan experiences.
    • Exciting Interactive Campaigns – Participate in challenges, competitions, and promotions that blend the thrill of football with the excitement of crypto.
    • Unforgettable Events & Engagements – Be part of the action with co-branded activations, meet & greets, and unique experiences.

    According to Leandro Petersen, Chief Commercial and Marketing Officer of AFA, this partnership will amplify both brands’ presence through innovative marketing initiatives:

    “AFA and XBO.com will be creating unique marketing campaigns, increasing the synergy and power of our brands in the global market. With great enthusiasm, we trust this agreement with XBO.com will be a great success.”

    More Than a Sponsorship—A Movement

    “This is more than just a sponsorship—it’s a statement,” says Lior Aizik, XBO.com’s COO & Co-founder.

    “By teaming up with AFA, we’re proving that crypto isn’t just the future of finance—it’s a global movement that belongs to everyone. Football has always been about passion, teamwork, and breaking barriers—values that align perfectly with XBO.com’s vision for financial accessibility. This collaboration is about bringing people together and creating a truly global, borderless experience.”

    As part of the partnership, XBO.com will be launching special promotions, rewards, and joint campaigns featuring the Argentine National Team as brand ambassadors. Fans and crypto enthusiasts alike will gain unprecedented access to the team’s biggest moments, players, and exclusive behind-the-scenes content.

    Join the Future of Crypto & Football

    The XBO.com x AFA partnership is just the beginning. Expect major announcements, massive rewards, and once-in-a-lifetime experiences ahead!

    Trade like a champion. Sign up with XBO.com today & stay tuned for upcoming giveaways and exclusive perks!

    About XBO.com

    XBO.com is an innovative cryptocurrency exchange designed for both novice and experienced traders. Built on the principles of transparency, security, and accessibility, XBO.com offers a seamless trading experience with:
    * Fiat-to-crypto swaps
    * Spot and futures trading
    * High-yield earning opportunities
    * Intuitive UI & competitive fees

    With a secure and user-friendly interface, XBO.com is redefining crypto trading and making it accessible to a global audience.

    XBO.comSocial Media Links

    About AFA

    Founded in 1893, the Argentine Football Association (AFA) is the governing body of football in Argentina and one of the oldest football federations in the world. Headquartered in Buenos Aires, AFA oversees all aspects of the sport, including the organization of domestic leagues such as the Primera División, Primera Nacional, and lower divisions, as well as national cup competitions like the Copa Argentina and Supercopa Argentina.
    afa.com.ar

    Contact:
    Meirav Shacked
    Meirav.s@xbo.com

    Disclaimer: This content is provided by XBO.com. The statements, views, and opinions expressed in this content are solely those of the sponsor and do not necessarily reflect the views of this media platform. We do not endorse, verify, or guarantee the accuracy, completeness, or reliability of any information presented. This content is for informational purposes only and should not be considered as financial, investment, or trading advice. Readers are strongly encouraged to conduct their own research and consult with a qualified financial advisor before investing in or trading cryptocurrency and securities .Please conduct your own research and invest at your own risk.

    A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/515d40f2-0cad-4e6d-a63c-bd8c16fcb41d

    The MIL Network

  • MIL-OSI: Dominion Lending Centres Inc. Increases and Extends Credit Facility

    Source: GlobeNewswire (MIL-OSI)

    VANCOUVER, British Columbia, Feb. 18, 2025 (GLOBE NEWSWIRE) — Dominion Lending Centres Inc. (TSX:DLCG) (“DLCG” or the “Corporation”) is pleased to announce that it has amended and extended its credit facilities with The Toronto-Dominion Bank effective February 18, 2025. The maturity date for the credit facilities has been extended from December 19, 2026 to February 18, 2030.

    The amended credit facilities are comprised of two senior credit facilities (collectively, the “Senior Credit Facilities”).   The Senior Credit Facilities provide the Corporation with a revolving credit line and a term facility. The revolving credit facility was increased by $10 million, from $15 million to $25 million, and was undrawn at closing. The term facility has $30.48 million drawn at closing. Interest on the Senior Credit Facilities is based on the prime borrowing rate (or alternatively, at the Corporation’s option, Term CORRA (Canadian Overnight Repo Rate Average)) plus an additional amount determined based on the Corporation’s total leverage. On closing of the Senior Credit Facilities, the interest rate is anticipated to be equal to the prime borrowing rate.    

    About Dominion Lending Centres Inc.
    Dominion Lending Centres Inc. is Canada’s leading network of mortgage professionals. DLCG operates through Dominion Lending Centres Inc. and its three main subsidiaries, MCC Mortgage Centre Canada Inc., MA Mortgage Architects Inc. and Newton Connectivity Systems Inc., and has operations across Canada. DLCG extensive network includes over 8,500 agents and over 500 locations. Headquartered in British Columbia, DLC was founded in 2006 by Gary Mauris and Chris Kayat.

    DLCG can be found on X (Twitter), Facebook and Instagram and LinkedIn @DLCGmortgage and on the web at www.dlcg.ca

    Contact information for the Corporation is as follows:

    Eddy Cocciollo
    President
    647-403-7320
    eddy@dlc.ca
    James Bell
    EVP, Corporate and Chief Legal Officer
    403-560-0821
    jbell@dlcg.ca
     


    NEITHER THE TSX EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

    The MIL Network

  • MIL-OSI Economics: Security pros: Join us for Microsoft RSAC 2025 beginning April 27

    Source: Microsoft

    Headline: Security pros: Join us for Microsoft RSAC 2025 beginning April 27

    AI adoption is picking up speed. Many companies are growing their technology estates by embracing powerful new solutions like generative AI. But to maximize the benefits of new technology with confidence, security professionals need to stay compliant with the evolving regulatory and audit requirements in the age of AI. It is in this spirit that Microsoft invites you to join us at RSACTM 2025 Conference in San Francisco, where we will showcase end-to-end security designed to help organizations accelerate the secure adoption of AI with ready-to-go security and governance tools and solutions to multiply security teams’ productivity.

    Across the Microsoft Security portfolio, our innovations, together with world-class threat and regulatory intelligence, will help give security experts the advantage they need in the era of AI. From our signature Pre-Day to hands-on demos and one-on-one meetings, join the Microsoft experience at RSAC 2025 designed just for you.

    Microsoft at RSAC

    From our signature Pre-Day to hands-on demos and one-on-one meetings, discover how Microsoft Security can give you the advantage you need in the era of AI.

    Kick things off at Microsoft Pre-Day

    The Microsoft experience at RSAC 2025 begins with Microsoft Pre-Day on Sunday, April 27, 2025, at the Palace Hotel, just around the corner from the Moscone Center. For the fourth year running, the keynote speech held on Microsoft Pre-Day will kick off the full lineup of Microsoft events and activities throughout RSAC 2025. By joining us on Sunday, you’ll have the chance to hear directly from Microsoft Security business leaders—including Vasu Jakkal, Corporate Vice President, Microsoft Security Business; Charlie Bell, Executive Vice President, Microsoft Security; Sherrod DeGrippo, Director of Threat Intelligence Strategy; and other Microsoft Security leaders as they share reporting on emerging cyberthreat trends and the product innovations designed to protect against them. Vasu will also take the RSAC 2025 stage on Day 1 for the conference keynote.

    At Pre-Day, attendees will hear Microsoft Security threat intelligence on emerging trends, explore new AI-first tools, demos, and best practices, and attain a better understanding of how Microsoft can help them secure and govern their AI deployments. Attend to discover how the adaptive, end-to-end security platform from Microsoft, including Microsoft Security Copilot, can help your team catch what others miss, speed up remediation, lower your total cost of ownership, and boost—rather than burden—you and your teams.

    Stick around after Pre-Day for the reception—an evening of fun, networking, and entertainment, celebrating the vibrant security community. This is a unique opportunity to meet Microsoft security leaders, expand your professional network, and learn how others are addressing the latest security trends and challenges. Light refreshments will be served. CISOs who register to attend Microsoft Pre-Day will automatically be invited to a chief information security officer (CISO) dinner with Vasu Jakkal.  

    Make sure to register for Microsoft Pre-Day to join in on all the day’s activities.

    Register for Microsoft Pre-Day at RSAC 2025

    Dedicated calendar of events for CISOs

    Microsoft will be hosting a number of events tailored to CISOs throughout RSAC 2025. To kick off the week, Microsoft will be hosting a Pre-Day, followed by the exclusive CISO dinner on April 27, 2025. Following, there will be daily lunch and learn opportunities that address some of the primary challenges facing CISOs organizations:

    • Monday April 28, 2025: Innovating Securely CISO LunchLearn insights concerning secure innovation centered around the new AI regulations, including the EU Act, Digital Operational Resilience Act (DORA), and more.
    • Tuesday April 29, 2025: SFI Executive Lunch—Open to all and focused around the needs of Latin America-based CISOs, this lunch will bring together leaders and experts interested in understanding the latest Secure Future Initiative (SFI) progress and exchanging their thoughts on related best practices.
    • Wednesday April 30, 2025: Embracing Cyber resilience CISO Lunch—Attendees are invited to network, learn, and exchange their insights regarding cyber resilience as the AI landscape evolves.

    Finally, CISOs who attend RSAC 2025 are invited to stay through the end of the conference to attend the Microsoft Post-Day Forum at the Microsoft Experience Center at Silicon Valley on Thursday, May 1, 2025, from 9:00 AM PT to 1:00 PM PT. The day will be full of insightful presentations, interactive discussions, networking opportunities, and a curated CISO roundtable session. This informative day will also include an immersive tour of the unique state-of-the-art Microsoft Experience Center, which highlights larger-than-life solutions that show Microsoft’s cutting-edge technology solving many of today’s challenges. This experience is facilitated by envisioning specialists who spark inspired conversations, creative ideas, and new opportunities for leaders to participate in before returning home.

    Sign up for Microsoft experiences at RSAC, including the Pre-Day, the CISO dinner, CISO lunch, and the Post-Day Forum. Request a one-on-one meeting with Microsoft experts to discuss your most pressing questions here.

    Discover solutions to your challenges during the keynote speech and Microsoft sessions

    As part of the RSAC agenda, Vasu Jakkal will take the stage on Monday, April 28, 2025, at 4:40 PM PT. During the speech, she will discuss the potential of agentic workflows to dramatically reshape the security landscape. Agentic AI has the power to enable more complex problem-solving, deeper agent collaboration, and iterative learning. All of this leads us toward a previously unheard-of new paradigm for security. Join Vasu Jakkal for an imaginative look at the future of AI security agents and how the people of our security teams will work alongside them to change the game.

    ​After the keynote and throughout the conference, attendees will be able to split their time between the Microsoft Security sessions included in the RSAC 2025 agenda, live demonstrations at booth #5744 in Moscone North, and a variety of roundtables, one-on-one meetings, and presentations at the Microsoft Security Hub at the Palace Hotel.

    Here are two sessions not to miss:

    • Tuesday, April 29, 2025, at 9:40 AM PT: Shaping the Future of Security with Agentic AI​—In a time of rapidly evolving cyberthreats, agentic AI is emerging as a transformative force in security. Join Dorothy Li, Corporate Vice President of Microsoft Security Copilot and Marketplace, to discover how autonomous decision-making is reshaping our approach to cybersecurity. This session will reveal how agentic AI empowers organizations to proactively mitigate risks, enhance operational efficiency, and elevate the effectiveness of your security tools. Attendees will gain actionable insights and practical strategies for harnessing the potential of agentic AI. Prepare to rethink the future of security and position your organization at the forefront of innovation.​
    • Wednesday, April 30, 2025, at 9:40 AM PT: Accelerate AI Adoption with Stronger Security—AI adoption is accelerating, creating both new opportunities and security challenges. Led by Neta Haiby, Partner Product Manager at Microsoft​, this session covers key AI adoption trends, emerging risks, and common cyberthreats. Discover actionable steps to secure and govern AI, from establishing a dedicated security team for AI to adopting AI-specific solutions, ensuring your organization can innovate with confidence.​

    Other well-known Microsoft experts will host session sharing what they’ve learned from their work pioneering and securing AI:

    • Wednesday, April 30, 2025 at 8:30 AM PT: Guardians of the Cyber Galaxy: Allies Against AI-Powered Cybercrime by Sean Farrell, Assistant General Counsel, Digital Crimes Unit.
    • Monday, April 28, 2025 at 1:10 PM PT: AI Era Authentication: Securing the Future with Inclusive Identity by Abhilasha Bhargav-Spantzel, Partner Security Architect, and Aditi Shah, Senior Data and Applied Scientist.
    • Tuesday, April 29, 2025, at 8:30 AM PT: AI Safety: Where Do We Go From Here? by Ram Shankar Siva Kumar, Principal Research Lead, AI Red Team Lead.
    • Tuesday, April 29, 2025, at 2:25 PM PT: Lessons Learned from a Year(ish) of Countering Malicious Actors’ Use of AI by Sherrod DeGrippo, Director, Threat intelligence strategy.

    View live demonstrations and discover engaging ways to learn at booth #5744

    At the Microsoft booth, attendees will have the chance to engage with experts, discover ready-to-go security and governance tools built for generative AI, and watch theater sessions showcasing the latest products, innovations, and industry perspectives from Microsoft. They’ll also get to enjoy a fun and interactive gaming experience. 

    Microsoft product and partner experts will be on hand to showcase the newest advancements through captivating demonstrations, informative videos, and valuable resources. 

    Visit the Microsoft booth theater for exclusive 20-minute demos and expert-led sessions on the latest in security and AI. Explore strategies to protect, govern, and secure AI. Listen in to insights on identity, compliance, privacy, threat defense, data protection, and more. Don’t miss this opportunity to learn from industry leaders and stay ahead in the ever-evolving security landscape.

    Meetings and connections at the Microsoft Security Hub

    The historic and luxurious Palace Hotel is home base for Microsoft during the week. RSAC 2025 attendees are invited to meet with Microsoft experts and executives, attend thought leadership sessions and roundtable lunches, and join networking opportunities. Detailed information about individual sessions can be found on the Microsoft Security Experiences at RSAC 2025 Landing Page.

    Customers are also invited to deepen their understanding of the latest cybersecurity threats, trends, and developments by discussing their most important security product and threat intelligence questions directly with Microsoft security experts through scheduled one-on-one meetings, held from Monday, April 28, 2025, to Wednesday, April 30, 2025, at the Palace Hotel. Request your meeting directly through the Microsoft Security Experiences at RSAC 2025 Home Page.

    The Microsoft Intelligent Security Association (MISA) will once again have a considerable presence at RSAC 2025. MISA partners will be featured in the Microsoft Booth #5744 and included in other events happening throughout the week. Additionally, the sixth annual Microsoft Security Excellence Awards, presented by MISA, will be held at the Palace Hotel in San Francisco on April 28, 2025, celebrating our finalists and announcing winners in nine award categories as well as enjoying a time of connecting. 

    Activities include:

    • MISA demo station: Stop by the Microsoft Booth to explore the innovative solutions developed by MISA members, which integrate Microsoft Security technology.
    • Theater sessions: Attend one or more of our five theater sessions at the Microsoft booth, led by MISA members, focusing on partner strategies and solutions for cyberthreat protection.
    • View the MISA demo and theater schedule.
    • MISA Partner awards: MISA members are invited to attend the Microsoft Security Excellence Awards on Monday, April 28, 2025, where winners will be announced in nine security award categories.

    Get the most by staying through Microsoft Post-Day

    Microsoft Post-Day Forum is a unique experience designed to help customers, CISOs, and security leaders dive deep into new concepts, ask questions they need answered about product features, and prepare to realize and enable the AI-first, end-to-end security concepts they’ve learned about throughout RSAC 2025. The Microsoft Post-Day Forum, hosted by Microsoft Security executives, will be held on Thursday, May 1, 2025, from 10:00 AM PT to 1:00 PM PT, at the Silicon Valley Experience Center. Pick up for the event will be held at the Palace Hotel at 8:00 AM PT, with drop off organized for 2:00 PM PT.

    We look forward to seeing you at RSAC 2025!

    Learn more about the Microsoft experience at RSAC 2025

    Customers and partners can register for the events highlighted in this blog as well as other Microsoft ancillary events and more here.

    Explore Microsoft Security events at RSAC 2025

    To learn more about Microsoft Security solutions, visit our website. Bookmark the Security blog to keep up with our expert coverage on security matters. Also, follow us on LinkedIn (Microsoft Security) and X (@MSFTSecurity) for the latest news and updates on cybersecurity.

    MIL OSI Economics

  • MIL-Evening Report: Economic ‘green shoots’ and lower interest rates disguise worrying trends in NZ’s job market

    Source: The Conversation (Au and NZ) – By Cristóbal Castro Barrientos, PhD candidate, NZ Policy Research Institute, Auckland University of Technology

    Max Dallocco/Shutterstock

    Despite Prime Minister Christopher Luxon’s reassurance that “some green shoots” are starting to show in the economy, including a 50 point cut in the official cash rate expected to be announced later today, the outlook for 2025 remains uncertain for many – and grim for some.

    Unemployment reached 5.1% in the final quarter of 2024, the highest level since 2020, according to the latest data from Stats NZ. That translates to a total of 156,000 unemployed individuals.

    At the same time, a 1% decrease in gross domestic product in the third quarter of 2024 puts more pressure on the job market.

    While the unemployment rate may not have reached the levels of past crises – the rate exceeded 6% during the 2008-2009 recession – the devil is in the detail.

    The Stats NZ data show the most affected sectors include male-dominated occupations such as technicians and machinery operators, accounting for 85% of the latest job losses.

    Women have seen smaller declines in employment and a slight increase in transitions to part-time roles. But the shift from full-time to part-time employment, especially among men, suggests the creation of quality full-time jobs will be a challenge.

    Job losses concentrated in male-dominated industries also have broader economic implications. They may signal shifts in household income dynamics, particularly for families that depend on a male breadwinner.

    It could also contribute to rising male underemployment (when a worker’s job doesn’t fully utilise their skills, education or experience) and further disparities in the employment rates of men and women.

    Overall, these trends raise questions about the nature and quality of work now available in the job market, and what strategies the government can respond with.

    A rise in ‘discouraged’ workers

    In the fourth quarter of 2024, the annualised employment rate (representing the proportion of the working-age population employed over a year, adjusted for seasonal fluctuations) was 67.4%, compared with 69% in the same period of the previous year.

    This is the most significant decline since 2009. It reflects job losses and a “discouraged worker” effect.

    Discouraged workers are those who have stopped seeking employment due to a perceived lack of opportunities. Instead of remaining in the labour force, they may rely on savings, family support, welfare, or transition into informal or temporary work.

    According to recent data, the most affected sectors include male-dominated occupations such as technicians and machinery operators.
    Kajohnwit Boonsom/Shutterstock

    A drop in quality work

    The rise in part-time employment, particularly among men, raises concerns about the quality of the labour market. Although employment levels appear stable, the growth of less secure jobs may conceal structural weaknesses.

    In the fourth quarter of 2024, the number in part-time employment reached 585,000, the highest figure since 1986. Over the past year, 36,000 men left full-time jobs, while 9,000 transitioned to part-time work.

    One of the main risks of this trend is that companies may be cutting costs without resorting to mass layoffs, which implies reduced job security for workers. Many of these transitions to part-time employment are not voluntary but rather a sign that the economy is not generating enough stable job opportunities.

    Additionally, part-time jobs often offer lower wages, fewer benefits and fewer opportunities for career advancement.

    This type of employment can contribute to stagnation in skill development and reduce workers’ purchasing power, ultimately affecting consumer spending and overall economic growth.

    There is also a perception of discrimination against part-time workers, with one in three reporting feeling discriminated against in their jobs.

    A year of two halves

    While consumer confidence has been low, recent revisions to economic growth estimates suggest the economy hasn’t been as weak as perceived.

    Current projections are that unemployment may reach a peak between 5.3% and 5.6% in mid-2025 and then trend downwards.

    With inflation now within the Reserve Bank of New Zealand’s target range, changes in the official cash rate are needed to contain the damage to a weakened labour market. The central bank is forecast to cut the interest rate by 50-points today.

    The weak growth in the working-age population and a potential decline in labour force participation could limit how high unemployment rises, as fewer people may be actively looking for work. But this does not mean a strong recovery is imminent.

    New Zealand faces a significant but not insurmountable challenge. An unemployment rate of 5.1% should raise a red flag and is devastating for the increasing number of workers who have lost their jobs. But the data also show the increase is part of an anticipated economic cycle.

    What matters is how the government reacts to the increases in unemployment and changes to the job market. A supportive job-creation policy and a coordinated strategy for the most affected sectors will be key in avoiding long-lasting pain in the labour market.

    Cristóbal Castro Barrientos 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. Economic ‘green shoots’ and lower interest rates disguise worrying trends in NZ’s job market – https://theconversation.com/economic-green-shoots-and-lower-interest-rates-disguise-worrying-trends-in-nzs-job-market-249685

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