Category: Economy

MIL-OSI Economics: Mary-Elizabeth McMunn: Central banks and innovation – delivering our mandate in a digitalising world
Source: Bank for International Settlements

Many thanks for the invitation to speak to you today.¹

Speaking about innovation to a room full of innovators is no easy task, but I do think it is important to share the perspectives of a Central Bank and Regulator on innovation in the financial sector, in particular given the increasingly important role technology is playing in financial services.

And as I have said before, while naturally associated with the private sector, I believe the public sector also has a crucial role to play in innovation – not just by enabling it but also in ensuring its safe adoption.

Given this important role, as well as our strategic commitment to anticipating and responding proactively to changes in the economy and financial system,² the Central Bank has put an increasing focus on innovation in the financial sector in recent years.

As evidenced by your agenda today there is a huge breadth of innovation taking place in financial services.

And while there is so much we are focused on that I could cover in my remarks, from Ireland’s growing and international Payments sector, to the increasing importance of operational and cyber resilience to the rapid evolution of Artificial Intelligence and its use in the financial sector, I would like to discuss two important aspects today.

Firstly I would like set out how the Central Bank of Ireland thinks about and approaches innovation in financial services; and secondly I would like to focus in more detail on our role in one of the big potential technological shifts underway in the sector – namely digital assets, including tokenisation.

Central Banks and Innovation

Central Banks and Regulators are sometimes cast as anti-risk and indeed anti-innovation. But this couldn’t be further from the truth.

While obviously our jobs are to ensure risks in the financial sector are being well managed – so that the system is stable, firms are safe and sound, consumers and investors’ interest are protected and the integrity of the system is upheld – we do not do this by eliminating all risk. One of the core functions of the financial system is to manage and take risk – and so if Regulators do not accept risk and make risk-based decisions ourselves, then the system doesn’t work.

Similarly while it is our responsibility to ensure the risks from new entities, products or ways of serving customers are being well managed, we do not do this by unduly stifling innovation.

Rather the Central Bank of Ireland supports innovation in the financial sector, as we recognise the benefits it can bring. But, to state the obvious, to deliver these benefits such innovation must be done well, which includes properly managing the risks that could arise to consumers and the system.

In this regard contrary to being anti-innovation, in line with peer Central Banks we have been adapting our approach to better support and anticipate it.

And as with all of our work, our approach to innovation is guided by our mission and mandate, serving the public interest by maintaining monetary and financial stability while ensuring that the financial system operates in the best interests of consumers and the wider economy.

In terms of Regulation and Supervision specifically, there are many ways by which we seek to ensure innovation in the financial sector is operating in the best interests of the whole.

This includes:

Regulation – which not only enables innovation, but through appropriate guardrails helps establish trust, essential for innovation to be widely adopted, particularly in the area of financial services. PSD2, MICAR and DORA are all positive examples of this – enabling and enhancing digital finance and safe financial innovation in Europe.

Authorisation – which plays a pivotal role in ensuring entities, products and individuals meet the high standard to be trusted with the public’s money. While authorisation is just the start of the supervisory relationship it is also about setting firms up for success, which is both in the firms’ own interest as well as in their customers’.³

Supervision in turn provides a mechanism for maintaining trust through the cycle, by ensuring innovative firms are well run, products are appropriately designed, and neither introduce undue risks for their consumers or the system.

This includes supervisory engagement ensuring regulated entities are being sufficiently innovative in adapting their business models and managing their operational resilience, where technology can be both part of the problem and part of the solution.

In addition to these I would also add that the Central Bank also plays role in encouraging and fostering good innovation in the financial sector, in line with our public policy objectives.

This includes our catalyst role for payments, and the convening power of a Central Bank, where we seek to drive and influence positive change at a system level to improve market efficiency, integration and security.

And finally it includes our broader engagement with the innovative ecosystem, something we have been deepening and enhancing in recent years and which I would like to touch on now briefly.

Engaging with innovation – Hub and Sandbox

You will all be aware of the work of our Innovation Hub, which was established in 2018 and has gone from strength to strength. The Hub is open to all innovators in financial services, no matter the size or whether they are new entrants or established entities. And it has proven a valuable form of engagement both for us and the sector.

For us, alongside other engagement and initiatives, it has helped us deepen our understanding of innovation in the financial sector, amidst a period of rapid digitalisation. And for the sector, you have reported the benefit of early engagement in terms of better understanding of our regulatory expectations and, for new entrants, what being a regulated entity entails.

Last year, following public consultation, we began implementing proposals to evolve our approach by:
1. Enhancing our Innovation Hub to deliver deeper, clearer and more informed engagement with the innovation ecosystem; and
2. Establishing an Innovation Sandbox Programme.
In terms of the first point, we have found the changes made are leading to deeper more productive engagements, making better use of our collective resources. In addition to the 8% year on year increase in Innovation Hub Engagements last year, this represents a substantial uplift in terms of the quantity and quality of our engagements with the ecosystem.

On the second proposal, as you will be aware our Innovation Sandbox Programme aims to inform the early stage development of selected innovative initiatives that promote better outcomes for consumers and the financial system.

Our first programme launched late last year; and consistent with our aim of fostering innovation to support outcomes consistent with our public policy objectives, the theme was Combatting Financial Crime.⁴

While the programme is still ongoing, both from our perspective and from feedback received from the 7 participants, the first programme has been a very positive experience. The final module will take place in June, alongside a showcase of the participants’ innovative solutions at an event in the Central Bank.

In line with our wider commitment to continuous improvement, we will adopt an iterative approach to our Innovation Sandbox Programme, learning and improving from each one. We are also committed to sharing our key learnings, and will publish a report on outcomes and findings from our first programme later this year.

Central Bank approach to Crypto

I would like to turn now to digital assets, a wide-ranging and growing topic.

Given its breadth, I will just touch on two specific areas: firstly crypto-assets, and in particular our approach to this sector and the implementation of MiCAR, before turning to the potential next wave of innovation, in terms of the tokenisation of the financial system.

Firstly, we are often asked about the Central Bank’s approach to crypto-assets.

I will begin by saying that as with all innovation in financial services we seek to ensure it is done well, and is delivering benefits to consumers and the system while appropriately managing any risks.

It should go without saying that there are inherent risks in crypto-assets, and some forms of crypto-assets have higher risks than others.

It is for this reason that we have issued warnings to consumers concerning crypto, and have expressed scepticism about business models which are driven by the heavy marketing, offering and distributing of unbacked crypto-assets to retail customers for speculative purposes.

MiCAR will not provide the same levels of protection that exists for traditional financial investment products, nor of course will it enable all the significant risks linked to crypto-assets to be mitigated. However, it is a welcome step forward.

Nevertheless, it is important for consumers to be aware, that MiCAR will not cover all crypto-assets, with some of the most well-known crypto-assets, such as Bitcoin and Ether, not within scope of the regulation given they have no identifiable issuer.

But while it is true speculative and highly volatile forms of crypto-assets remain a concern for the Central Bank, in particular from a consumer protection point of view, it is equally true that we recognise the important innovations distributed ledger and crypto technology could potentially lead to for financial services – and indeed we have recognised this for some time.

It is important to note, however, as with all aspects of financial services this potential will only be realised if the technology and the providers can be trusted, to be resilient, to provide benefits to consumers and to help uphold, rather than jeopardise, the integrity of the financial system.

It is these outcomes that inform our regulatory approach to crypto-assets. And indeed are informing our approach to the implementation of MiCAR, both in our engagement with regulatory peers, as well as our authorisation of applicant firms under the new framework.

In that regard we have put in place a well-resourced and expert team to deal with the CASP authorisation process – ensuring it is both efficient as well as sufficiently robust.

The team have been engaging extensively with the sector and applicants, and we have held a number of industry events dedicated to MiCAR.⁵ This is part of our ongoing commitment to transparency, clarity and openness, in particular in our authorisation processes but also in our engagement with innovation.

But while we are committed to a timely and quality authorisation process, the role and approach of applicant firms is also key in this regard. Our assessments of MiCAR authorisation applications will be guided through many perspectives including the use case and utility, suitability, and the risks associated with a crypto product or service.

The importance of good culture and conduct risk management in delivering on new obligations under MiCAR cannot be overstated. The stronger their risk management, the better position firms are in to understand, calculate and mitigate risks, in turn strengthening their business model, and their relationship with their customers.

Regardless of the services, the target customer base, or whether the business is retail focused or aimed at institutional clients, safeguarding of client assets and governance are critical considerations for the Central Bank – given the fundamental role they play in protecting people’s money.

And as I said earlier, authorisation is only the beginning of the supervisory relationship and so firms should demonstrate at the Gate that they will be well-run once they are through it.

Tokenisation – private and public roles

Finally I would like to turn more broadly to the topic of tokenisation, which as we all know is the digital representation of traditional assets on a programmable platform⁶ and the potentially transformative potential of distributed ledger technology.

I say potentially transformative, as some visions of a tokenised financial system, such as the ‘finternet’ or ‘financial internet’⁷put forward by the BIS, would truly be so, promising huge efficiency and disintermediation gains, reducing costs and complexity and empowering businesses and consumers.

While this is on the further end of the tokenisation spectrum, there are a number of areas of the financial system where the potential benefits of tokenisation are being explored.

This includes tokenisation of real assets, as well as financial assets such as money, securities, collateral, bank deposits, and funds. The potential benefits in terms of peer to peer transactions, smart contracts, and settlement and clearing are clear, leading to lower costs and indeed less risks. For time is money and time is risk as they say.⁸

While there is a large amount of work ongoing by both the private and public sector, I wanted to touch on what I see as the Central Bank’s role in this regard.

Firstly from a regulatory point of view, there is an onus on us to ensure there are no unintended regulatory impediments to tokenisation of traditional assets; as well as to engage in dialogue with the sector to see if enabling regulation is required.

Secondly in line with our desire to foster innovation that delivers good outcomes for consumers, we can seek to drive and influence change at a system level. There is also a need for central banks to deepen our knowledge and engagement with this innovation, as well as to enhance our thinking and capabilities, given the far reaching changes implied should this wave of innovation materialise.

These are all things we and peer Central Banks are doing, and indeed will further focus on in future – and something the BIS and other Central Banks have been leading on, with Project Agora, which is testing a multi-currency wholesale cross border payments using DLT, and Project Guardian, which seeks to enhance liquidity and efficiency of financial markets through asset tokenisation, both important examples.

Given Central Banks’ fundamental role in the monetary system, it is important that public innovation keeps pace with private innovation, particularly in payments and settlements systems.

In order to maintain the crucial role of public money in a tokenised world, future proofing our monetary system, facilitating innovation and increasing the resilience of the payments system, the Eurosystem is stepping up its efforts to support and foster innovation in market infrastructures. For example, in February the ECB announced its decision to expand its initiative to settle transactions recorded on DLT in central bank money.⁹

In addition, the work the Eurosystem is doing around the Digital Euro is key, both in terms of a retail Digital Euro as the representation of public money in a digital world, but also importantly in terms of wholesale central bank digital currency, as a tokenised central bank asset to operate in a tokenised system.¹⁰

Conclusion

Before I conclude I would like to touch briefly on the rapidly changing external environment we are all operating in.

In a future focused speech, it would be remiss of me not to mention the potential great structural changes underway in terms of geo-political developments and geo-economic fragmentation.

The challenges facing our economy are clear; but amongst these challenges are opportunities.

Innovation is often borne out of times of challenge, turning risks into opportunities.

But also as we deal with short run risks, it is too easy to take our eyes off these longer term opportunities.

I am sure this room full of innovators will heed the call to focus on continuing to deliver innovation in the interest of consumers and the wider economy. We as a Central Bank will also continue to anticipate, engage with and respond to innovation in the system.

But I would also call on firms and investors to not lose sight of the need to continue to innovate and invest in technology. While economic cycles come and go, the digital transition rolls on, and we cannot be left behind.

Thank you.
MIL OSI Economics –
June 3, 2025
MIL-OSI China: China’s young kitchen wizards establishing careers as on-demand chefs

Source: People’s Republic of China – State Council News

A wok sizzled as garlic chives and Chinese kale hit hot oil, while pork rib and lotus root soup simmered with a bubbling sound on a stove. In addition, a whole fish, steamed and doused in soy sauce, could be spotted on the kitchen counter, neighboring a pile of spicy crawfish coated in chili oil.

Ding Yuqing, 23, juggled preparation of these dishes while navigating an unfamiliar kitchen. A college student in Wuhan, capital of central China’s Hubei Province, she was making a hometown feast for a family who hired her to cook in their home.

“I love cooking,” she said. “Such home-cooking visits have improved my skills, and I really enjoy cooking for others.”

Ding is part of a rising wave of young Chinese embracing a new gig, that of on-demand chef. Often students, office workers or freelancers, they offer homemade meals to time-starved urbanites seeking the likes of health, comfort and a taste of home.

On social media, the trend is hot. Hashtags related to “on-demand chefs” have amassed over 1.45 billion views on Douyin and more than 35 million on “rednote,” an app better known as Xiaohongshu. Notably, last month, a viral story about a woman earning nearly 20,000 yuan (about 2,784 U.S. dollars) a month cooking six meals a day rocketed to the top of Sina Weibo’s trending list.

HEALTH ON THE MENU

For Ding, it all began with a few food photos. Over the winter break last year, she posted snapshots of her home-cooked dishes online. To her surprise, requests started rolling in, asking: “Can you come cook for me?”

“At first, I was nervous cooking in someone else’s kitchen,” she admitted. “Now it’s second nature.”

She currently offers services within a 10-kilometer radius on weekends and during school breaks. Before each visit, she discusses taste preferences with her clients and asks them to supply ingredients and seasonings. After preparing meals, she also tidies up, washes dishes and even takes out the trash for her clients.

For a typical order of three dishes and one soup, Ding receives a payment of 80-100 yuan.

Most of her clients, she noted, are young people juggling hectic schedules. One repeat customer, a 30-year-old office worker, has hired her more than 30 times. “This customer and her husband are both too busy to cook,” Ding explained.

China’s busy urban workers have long relied on the country’s sprawling food delivery sector, which employs over 10 million scooter-riding couriers, but Ding’s case may reflect a consumption upgrade, with a sizable number of urbanites willing to dig deeper into their pockets for healthier and bespoke alternatives to takeout.

Li Xiaoyang, a 30-year-old from Wuhan, said this new type of service became essential for him after a bad experience with takeout left him sick for a week.

“Having someone cook for you means personalized dishes, better hygiene and a more relaxed atmosphere, whether it’s a family dinner or a classmate reunion,” Li said.

Entrepreneurs have taken notice of this booming market. Hu Quanyu, founder of Chef51, an on-demand platform that connects professional chefs with customers, said the service now operates in over 50 cities across China and works with more than 1,500 chefs.

Hu plans to launch a new platform aimed at part-time cooking enthusiasts, allowing them to pick up orders posted by users. The system will provide basic checks like ID and health certificates.

“The new service of on-demand home cooking is more affordable and flexible for budget-conscious young consumers,” he said, adding that the trend reflects changing consumption habits among China’s younger generation, who, fueled by rising incomes, are increasingly investing in health, convenience and quality of life.

A report by Zhiyan Consulting underscored this shift. It showed that the value of China’s health and wellness market surpassed 1 trillion yuan in 2023 — with people aged 18 to 35 accounting for 83.7 percent of this market.

SIDE HUSTLE TURNS SERIOUS

China’s “on-demand economy” has diversified rapidly in recent years, with services ranging from in-home elderly care to space organization within homes. These offerings have been hailed for meeting personalized consumer demands, thus promoting consumption, but also for creating much-needed new job opportunities.

Back in 2022, the Chinese government issued a guideline aimed at improving gig economy services to boost employment.

The number of flexible workers in China exceeded 265 million in 2024, including 175 million engaged in platform-based gig work, according to an industry report by Hangzhou-based Gongmall, a digital solutions provider for the gig sector. By 2050, total wages in the sector are expected to exceed 50 trillion yuan.

Still, the fast-growing on-demand chef industry is not without risks and shortcomings. While recognizing its contribution to flexible employment and urban lifestyles, Hu Junjie, a lawyer based in Hubei, said safety and liability concerns remain due to a lack of regulations governing this novel service.

The lawyer thus called for a clearer legal framework, better protection for workers, and more oversight from relevant platforms and authorities. “That said, China already has similar platform services like food delivery and taxi-hailing, management of which is quite mature, and thereby serves as a useful reference,” he added.

For some, like Xia Lu (not her real name), the on-demand chef role has evolved from a side hustle to a full-time profession. Burned out from long working hours, the 27-year-old native of southwest China’s Sichuan Province, known among her social media followers for her fiery, flavor-packed cooking, quit her job with a foreign-owned company in Beijing in late 2023.

She now charges at least 128 yuan per home-cooking trip and handles up to three clients a day. While her current income, about 7,000 yuan a month, is lower than her previous job, Xia relishes the greater freedom it offers her.

“When the weather’s good, I go hiking. When it rains, I rest,” she said. “I’ve never felt so free and fulfilled.”

She’s planning to leave Beijing next summer to open a private kitchen in Yunnan, a southwestern province known for its beautiful scenery, slower pace of life and constant flow of hungry tourists.

For Ding Yuqing, meanwhile, the momentum is only just beginning.

“I believe the on-demand chef industry will continue to grow,” she said. “It not only meets the evolving needs of health-conscious consumers, but also gives passionate cooks like me a meaningful and flexible career path.”

MIL OSI China News –

June 3, 2025
MIL-OSI Banking: Vasileios Madouros: Navigating economic cross currents

Source: Bank for International Settlements

Just miles from here, off the southwest coast of Cork, the Atlantic does not flow uniformly. Tides push in one direction and swells in another. Cross currents are a fact of life at sea, and even experienced sailors need to stay alert. The aim is not to avoid cross currents, but to recognise them, be ready to respond, and keep steering with purpose.

Cross currents are also a fact of economic life. And we are navigating one at the moment. In one direction, global shocks are weighing on the domestic economic outlook. In the other, the domestic economy is entering this period from a position of strength, and – if anything – has been bumping up against domestic capacity constraints.

Today, I would like to expand on how these different forces are shaping the economic outlook and discuss the implications of these developments for domestic economic policy.

The outlook for global growth has shifted downwards

Let me start with the global context. Since the beginning of the year, we have seen three interrelated shocks affecting the international economy. A material shift in trade policy; a sharp increase in policy uncertainty; and an increase in market volatility. Without a change in direction, these will continue to weigh on the global growth outlook. Let me briefly cover each in turn.

MIL OSI Global Banks –

June 3, 2025
MIL-OSI: 21Shares Launches 21Shares Hedera ETP (HDRA) on Euronext

Source: GlobeNewswire (MIL-OSI)

New ETP offers regulated exposure to one of the most scalable and sustainable distributed ledger technologies

Zurich, 3 June 2025 – 21Shares AG (“21Shares”), one of the world’s largest issuers of crypto exchange-traded products (ETPs), today announced the launch of the 21Shares Hedera ETP (Ticker: HDRA). The product is now listed on Euronext Amsterdam (USD) and Euronext Paris (EUR), offering investors simple, transparent, and regulated access to Hedera’s enterprise-grade DLT (distributed ledger technology).

Exchange Product Name Ticker ISIN Fee

Euronext Paris and Euronext Amsterdam 21Shares Hedera ETP HDRA CH1456607683 2.50%

The 21Shares Hedera ETP provides 100% physically backed exposure to HBAR, the native token of the Hedera network. It allows investors to gain institutional-grade access, directly through traditional bank or brokerage accounts, to one of the most energy-efficient and scalable distributed ledger technologies available today.

“With its unique architecture, strong governance model, and real-world adoption, Hedera stands out as one of the most advanced distributed ledger technologies on the market,” said Duncan Moir, President at 21Shares and Board Member at Hedera Hashgraph LLC. “By launching the 21Shares Hedera ETP, we are enabling both institutional and retail investors to participate in the growing Hedera ecosystem through a fully regulated, transparent investment vehicle.”

Hedera is an open-source distributed ledger designed for real-world innovation and enterprise use. It is governed by a global council of up to 39 renowned institutions, including Google, IBM, LG, Dell, EDF, and Deutsche Telekom, operating under legally binding, transparent terms. This governance model emphasises trust, resilience, and long-term stability – redefining decentralisation for scalable, mainstream adoption.

“As more institutions seek secure ways to access digital assets, 21Shares continues to lead the way by bridging traditional finance and crypto with clarity and confidence,” said Gregg Bell, Chief Business Officer at Hedera Foundation. “This collaboration gives investors a straightforward way to access HBAR and brings them closer to a network trusted by leading institutions worldwide.”

Unlike traditional blockchains, Hedera leverages its novel Hashgraph consensus mechanism that delivers industry-leading performance. It supports up to 500,000 transactions per second under testing conditions, offers predictable, fixed fees in USD, and consumes just 0.000003 kWh per transaction – making it 1,000 times more energy-efficient than a typical Visa transaction.

For more information, visit www.21Shares.com.

Notes to editors

About 21Shares

21Shares is one of the world’s leading cryptocurrency exchange traded product providers and offers the largest suite of crypto ETPs in the market. The company was founded to make cryptocurrency more accessible to investors, and to bridge the gap between traditional finance and decentralized finance. 21Shares listed the world’s first physically-backed crypto ETP in 2018, building a seven-year track record of creating crypto exchange-traded funds that are listed on some of the biggest, most liquid securities exchanges globally. Backed by a specialized research team, proprietary technology, and deep capital markets expertise, 21Shares delivers innovative, simple and cost-efficient investment solutions.

21Shares is a member of 21.co, a global leader in decentralized finance. For more information, please visit www.21Shares.com

Media Contact
Matteo Valli
matteo.valli@21shares.com

About Hedera Foundation

Hedera Foundation fuels the innovation and development of public-network applications on the Hedera network. By providing grants, technical assistance, and community support, we empower projects that leverage Hedera’s fast, secure, and sustainable ledger to solve real-world problems. Learn more at hedera.foundation.

DISCLAIMER

This document is not an offer to sell or a solicitation of an offer to buy or subscribe for securities of 21Shares AG in any jurisdiction. Neither this document nor anything contained herein shall form the basis of, or be relied upon in connection with, any offer or commitment whatsoever or for any other purpose in any jurisdiction. Nothing in this document should be considered investment advice.

This document and the information contained herein are not for distribution in or into (directly or indirectly) the United States, Canada, Australia or Japan or any other jurisdiction in which the distribution or release would be unlawful.

This document does not constitute an offer of securities for sale in or into the United States, Canada, Australia or Japan. The securities of 21Shares AG to which these materials relate have not been and will not be registered under the United States Securities Act of 1933, as amended (the “Securities Act”), and may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. There will not be a public offering of securities in the United States. Neither the US Securities and Exchange Commission nor any securities regulatory authority of any state or other jurisdiction of the United States has approved or disapproved of an investment in the securities or passed on the accuracy or adequacy of the contents of this presentation. Any representation to the contrary is a criminal offence in the United States.

Within the United Kingdom, this document is only being distributed to and is only directed at: (i) to investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”); or (ii) high net worth entities, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons together being referred to as “relevant persons”); or (iii) persons who fall within Article 43(2) of the Order, including existing members and creditors of the Company or (iv) any other persons to whom this document can be lawfully distributed in circumstances where section 21(1) of the FSMA does not apply. The securities are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

Exclusively for potential investors in any EEA Member State that has implemented the Prospectus Regulation (EU) 2017/1129 the Issuer’s Base Prospectus (EU) is made available on the Issuer’s website under www.21Shares.com.

The approval of the Issuer’s Base Prospectus (EU) should not be understood as an endorsement by the SFSA of the securities offered or admitted to trading on a regulated market. Eligible potential investors should read the Issuer’s Base Prospectus (EU) and the relevant Final Terms before making an investment decision in order to understand the potential risks associated with the decision to invest in the securities. You are about to purchase a product that is not simple and may be difficult to understand.

This document constitutes advertisement within the meaning of the Prospectus Regulation (EU) 2017/1129 and the Swiss Financial Services Act (the “FinSA”) and not a prospectus. The 2024 Base Prospectus of 21Shares AG has been deposited pursuant to article 54(2) FinSA with BX Swiss AG in its function as Swiss prospectus review body within the meaning of article 52 FinSA. The 2024 Base Prospectus and the key information document for any products may be obtained at 21Shares AG’s website (https://21shares.com/ir/prospectus or https://21shares.com/ir/kids).

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The MIL Network –

June 3, 2025
MIL-OSI Economics: Klaas Knot: Banking on buffers – why we need resilience in times of uncertainty

Source: Bank for International Settlements

A very good morning to you all. Welcome to De Nederlandsche Bank. We are very happy to host this event here in our newly renovated building. I strongly support these kinds of exchanges of views between banks, academia and the public sector, and the IBF plays an important role in facilitating them.

This Round Table bears an interesting, and perhaps somewhat surprising, title: ‘Tougher Times for Banks: Torn between Resilience, Competition and Stability’. Personally, I regard resilience, competition and stability all as good things, so I was wondering what you find so disturbing about this. But perhaps I should read the title as diplomatic language for ‘Torn between competitors, difficult regulators, and a world that has gone insane.’ You understand, being Dutch, I have a certain reputation to maintain.

But still, even if my interpretation is right, I should speak a word of caution here. Or in fact, reassurance. Because sometimes we tend to see trade-offs where in reality there aren’t any.

Let’s take regulation for example. Banking regulation often seems to resemble the swinging motion of a pendulum. After a financial crisis, lessons are learned and financial regulation is tightened. We saw this very prominently after the great financial crisis of 2008. And then after some years, the memories of the crisis fade in the rearview mirror, and calls go up for relaxing financial regulation. And this is what we currently see.

That seems to assume that there is a trade-off between banking regulation and all the good things of economic life: profitability, dynamism, economic growth. And I know that many in the banking sector view regulation as a constraint, something that limits profitability and imposes undue costs.

But, and that should not come as a surprise to you, I would argue against that. In fact, it’s just the other way around. Banking regulation is not an obstacle to growth, it is an enabler of sustainable, long-term growth. Banks with strong capital positions and sound liquidity management are better positioned to extend and rollover credit, invest in new technologies and finance large-scale projects. They are better able to maintain lending during an economic downturn. And stronger banks can secure more favourable funding conditions, attract long-term customers and build partnerships that increase shareholder value.

That’s not just theory. We have seen it in practice. During the Covid pandemic the banking sector was able to function as a shock absorber, rather than a shock amplifier. Thanks to stronger buffers, banks were able to absorb losses and continue extending credit when the economy took a hit as a result of the lockdowns. That was in large part thanks the comprehensive reform of banking regulation after the great financial crisis. Suppose we hadn’t done this. We would probably have had a banking crisis on top of a global health crisis.

Even after the pandemic, we had a number of shocks that triggered financial market turmoil. Such as the Russian invasion of Ukraine, the ensuing energy crisis, double digit inflation, and recently, a trade war. During all of these episodes, although surely there was instability at the fringes, the core of the financial system, including the banking system, held up relatively well. I am convinced that this is the result of the hard work we did on strengthening the system in previous years.

Now, have lawmakers and regulators done a perfect job? No, of course not. That would have been highly remarkable. Over the past 15 years, a great deal of regulation has been introduced from various angles. At the global, EU and national level. Micro versus macro. New risks are identified while older ones seldomly disappear. Regulation always creates new imperfections, and there is indeed some overlap, for example in resolution versus recovery. And at times there is a lack of proportionality for smaller institutions. That is certainly something we can look into.

But for those arguing for simplification beyond this, please keep in mind that simple rules are less risk-sensitive and thus lead to stricter requirements. You want simpler rules? Sure, but those rules are then calibrated at a more prudent level. That is the logic behind the standardised approach. That is also the logic behind the leverage ratio.

Most importantly, we should be careful not to confuse simplification with deregulation. Deregulation means effectively lowering buffers by relaxing the rules. That would increase both vulnerability in the banking system and the likelihood of financial crises. That would be a big mistake.

We should be wary of undoing the hard work that has gone into strengthening the financial system over the past decade and a half. Especially now, in this time of unusually high uncertainty, both on the economic and political front.

So we need to maintain the overall level of resilience. And in fact, in some areas, our work to make the banking sector more resilient is not yet complete. For one thing, the final Basel III standards, that are meant to repair key weaknesses in banking regulation, still need to be implemented in many jurisdictions. In the meantime, the banking turmoil of two years ago was a reminder that bank failures are not a thing of the past.

Also, the non-bank financial sector has greatly expanded. Recent episodes of market turmoil have confirmed weaknesses in this sector when it comes to leverage and liquidity. So now we need to bring the NBFI sector to an equal level of resilience as the banking sector. At the Financial Stability Board, we have pushed hard for this, and we will continue to do so.

The title of this Round Table also mentions competition. John D. Rockefeller once said: ‘Competition is a sin.’ I might have felt the same way if I had been in his position. But from today’s perspective, I would say: unfair competition is a sin. And as regulators, if there is one thing we can do to promote fair competition, it is to provide a level playing field. Banking rules work best when they work everywhere. If regulation is implemented unevenly across jurisdictions, a patchwork of regulations will arise that opens the door to regulatory arbitrage. Banks may be tempted to shift operations to regions with looser standards. An uneven playing field undermines confidence in the global banking system, disrupts competition, and ultimately increases systemic risk.

Since the financial system is a global system, we need global rules. And for this we need global cooperation. It is obvious that this is where the big challenge lies today. If we want to meet today’s challenges to financial stability, we have to continue to work together as nations. And we need to stay committed to the institutions we have built to underpin that cooperation, such as the Basel Committee and the FSB.

Let me wrap up. There is no trade-off between financial stability and economic growth. Rather, financial stability is a necessary precondition for sustainable economic growth. And for that, we need a resilient banking sector, supported by strong buffers. This is a message I will be repeating over and over again in my final weeks as the president of DNB. By the end of June you will all be completely fed up with me. That’s ok. As long as you remember the message. Because, somehow, we tend to forget.

MIL OSI Economics –

June 3, 2025
MIL-Evening Report: The Queensland government is cancelling renewable energy projects. Can the state still reach net zero?

Source: The Conversation (Au and NZ) – By Tony Wood, Program Director, Energy, Grattan Institute

Johan Larson/Shutterstock

On the surface, Queensland’s new government is doing exactly what it pledged before winning office in October – repealing the state’s ambitious renewable energy targets and cancelling a huge pumped hydro project near Mackay.

But since the start of the year, the Crisafulli LNP government has gone further, and it’s less clear where it’s heading.

Last week, the government abruptly cancelled the A$1 billion Moonlight Ridge wind farm proposal, citing insufficient consultation and a lack of community support.

At the same time, the government announced it would open another 16,000 square kilometres of the state for gas exploration. The government is also planning to open new gas peaking plants and keep its coal plants open longer.

So, is the Queensland government backsliding on renewables and climate change?

The Crisafulli government is still committed to net zero by 2050. Because Queensland still owns its own transmission infrastructure and power plants, the state could shift to clean energy faster than other states. But at present, they don’t appear to be in a rush.

Many solar farms have already been built in the Sunshine State.
Lakeview Images/Shutterstock

Slowdown under way

Previous Labor governments in Queensland announced plans for large pumped hydro installations as a way to store energy to be available when intermittent wind and solar are not. The largest of these pumped hydro projects was the Pioneer-Burdekin proposal near Mackay, which the government has now canned.

The Crisafulli government has also asked the Queensland Investment Corporation to examine the financial viability of two other major proposals, the Borumba pumped hydro scheme inland from the Sunshine Coast and the Copperstring transmission project linking Townsville and Mount Isa. This isn’t unusual – new governments often review projects announced by their predecessors.

Another recent announcement is drawing stronger criticism, however. In April, the Crisafulli government announced plans to make sure large solar and wind farms have the social licence to operate. This, the government announced, would bring the “same rigorous approval processes as other major developments” to bear on renewables.

If these plans become law, they are likely to make it substantially harder and slower to build large renewables projects.

The cancellation of the Moonlight Ridge wind farm proposal is instructive. Of the 508 individuals who wrote in response to the development, only 142 were local. In his decision, planning minister Jarrod Bleijie noted: “the representations that I received evidence that the project has not acquired overriding community acceptance”.

What’s being proposed looks messy. The peak body for renewables in Queensland is highly sceptical, while miners and farmers have also signalled concern.

But while the Moonlight Ridge cancellation drew headlines, two other wind farm proposals have been approved after being asked to show they had consulted adequately.

No is easy, yes is hard

It’s easy to take office and reject the work of predecessors. It’s far harder to outline what will replace it.

In contrast to other east coast states, Queensland has largely kept control of its sprawling electricity system. The government owns most large coal and gas power plants and all the transmission infrastructure.

While the new government has indicated renewed support for private sector energy investment, it has provided support for government-owned corporations to develop new gas peaker plants. By contrast, there are very few proposals for new gas plants further south.

In one sense, it’s no surprise Queensland’s new government has eased off on renewables. Its coal plants are relatively new, and largely owned by the government. This may reduce the urgency for developing a new energy plan, but only for a few years. Planning for a smooth energy transition is a major task, as demonstrated by southern states.

The state has also profited hugely from gas exported from Gladstone. The government now receives around $1 billion from oil and gas royalties a year.

Go-fast federally, go-slow at state?

The thumping Labor majority at this year’s federal election means, at a national level, work on the clean energy transition will accelerate. But this transition is only possible if state and federal governments coordinate well.

The responsibility for building and maintaining electricity systems in Australia largely falls to the states and territories. But managing large power grids on the east and west coasts requires national-level coordination.

What the federal government can do, by and large, is set a goal and stump up the cash. As former Labor prime minister Paul Keating once quipped, “never get between a state premier and a bucket of money”.

The federal government is running a funding program to support renewable generation and storage projects across the country. Three Queensland renewable projects have been approved under this program, including solar farms with battery storage.

It’s hard to see the state government moving to block these projects.

Where does this leave us?

Queensland is signalling it’s not enthused about having an open gate for new renewable projects. Adding time consuming and expensive new consultation hurdles may cause prospective renewable developers to pack up and head south or west.

Yet the policy’s strategic intent is unclear and is not necessarily against clean energy for the state. Many projects are already under way. The Crisafulli government has shown interest in smaller scale pumped hydro schemes as a way to store energy. And gas peaking plants will be a necessary evil in a high-renewables grid, acting like an emergency diesel generator for the rare periods without enough wind, sun or water.

The big test will come later this year in the form of the state government’s five year energy plan. Will it deliver the investment to meet the net zero objective while maintaining affordable and reliable power? Right now, many in the clean energy industry are taking a wait-and-see attitude.

Tony Wood may own shares through his superannuation in companies impacted by energy sector policies

– ref. The Queensland government is cancelling renewable energy projects. Can the state still reach net zero? – https://theconversation.com/the-queensland-government-is-cancelling-renewable-energy-projects-can-the-state-still-reach-net-zero-257958

MIL OSI Analysis – EveningReport.nz –

June 3, 2025
MIL-OSI Australia: Take charge of your upcoming employer obligations
Source: New places to play in Gungahlin
It’s important to keep on top of your employer obligations. As the end of financial year approaches, check what you need to do and take note of upcoming key dates:
- Super guarantee (SG) – Pay all SG contributions by 28 July in full, on time and to the right fund. For the quarter ending 30 June, apply the 11.5% SG rate for salary and wage payments made before 1 July.
- Super guarantee rate – Increases to 12% on 1 July. This rate applies for payments of salary and wages to eligible workers on and after 1 July, even if some or all of the pay period it relates to is before 1 July.
- Pay as you go (PAYG) withholding – From 1 July, some withholding schedules and tax tables will be updated, but not all. Use the correct tax tables or the tax withheld calculator to work out how much to withhold from your employees’ payments. Update your payroll software to withhold, report and pay the correct amount of tax.
- Single touch payroll (STP) reporting – complete a STP finalisation declaration by 14 July.
  
  Lodge a finalisation declaration for all employees you’ve paid and reported through STP so they have the right information to lodge their income tax returns.
  
  Finalise all employees you’ve paid in the financial year, even those you haven’t paid for a while, like terminated employees.
  
  If you change payroll software providers, finalise your records before you change. This ensures you and your employees have accurate information during tax time.
Routinely review your payroll policies and procedures for any changes that impact your business, and put good record keeping practices in place.

Stay on top of your reporting, lodgment, and payment deadlines to avoid penalties.

For more information, visit ato.gov.au/employers or speak with a registered tax professional.
MIL OSI News –
June 3, 2025
MIL-OSI: Konsolidator launches financial data warehouse – Built for finance, not IT
Source: GlobeNewswire (MIL-OSI)

Press release no. 3-2025
Copenhagen, June 3, 2025

Konsolidator launches financial data warehouse – Built for finance, not IT
Today, Konsolidator announces the launch of its financial data warehouse, designed specifically for CFOs and finance teams. Built to tackle the data overload facing finance departments, the solution delivers structured, reliable data for reporting without relying on internal IT resources. Part of the product pillar from the company’s 2025–2027 “Resilient Growth” strategy, the data warehouse utilizes Konsolidator’s core expertise in financial reporting.

A new foundation for financial data
Konsolidator’s financial data warehouse taps into Konsolidator’s existing experience in financial reporting. The purpose of Konsolidator’s financial data warehouse is to give finance professionals a clean, structured view of their data, ready for reporting and decision-making. Finance teams today face a clear problem: too much data, from too many systems, and no clear way to use it. ERP systems, CRMs, spreadsheets, and planning tools provide complexity instead of insight.

“It’s no longer about access to data—it’s about making sense of it. You need a solution built for finance, not developers,” says Lars Højer Paaske, Head of Product at Konsolidator.

A solution for teams without the internal IT resources

The financial data warehouse is designed for finance teams who want control over their data, without needing internal or external IT experts to build and maintain infrastructure. Fully integrated with Microsoft Fabric and Power BI, the solution enables advanced analytics, transaction-level transparency, and automated reporting workflows. Many companies lack the internal expertise to build or maintain a data warehouse. Konsolidator’s hosted solution has built-in governance, security, and compliance—so finance teams can focus on insight, not infrastructure.

2025-2027 strategy: Broader product offerings

The financial data warehouse is, together with the upcoming FP&A tool, part of Konsolidator’s broader “Build, Buy or Partner” approach. It is one of four strategic pillars of the Resilient Growth strategy and the first step in launching The Konsolidator Suite—our new platform approach that gives finance teams end-to-end control over their data, from consolidation to reporting, and fits into a more holistic view of finance digital ecosystems.

We’re building solutions that make CFOs better with reliable data, not just in the monthly reporting, but to feed into the overall strategy.

“This is the first step into something bigger,” says CEO Claus Finderup Grove. “We’re moving beyond ‘just being a consolidation product’ to become a central part of the entire finance department. We believe finance teams already have the right skills and data—they just need the right tools to use it.”

Contacts

About Konsolidator
Konsolidator A/S is a financial consolidation software company whose primary objective is to make Group CFOs around the world better through automated financial consolidation and reporting in the cloud. Created by CFOs and auditors and powered by innovative technology, Konsolidator removes the complexity of financial consolidation and enables the CFO to save time and gain actionable insights based on key performance data to become a vital part of strategic decision-making. Konsolidator was listed on the Nasdaq First North Growth Market Denmark in 2019. Ticker Code: KONSOL

Attachment
- Press Release no. 3-2025 – DwH
The MIL Network –
June 3, 2025
MIL-OSI Economics: Global uncertainty affects the financial sector

Source: Danmarks Nationalbank

3 June 2025

The ongoing trade conflict has worsened the global growth outlook, while the risk of new shocks to the financial markets has become a more persistent threat due to the high level of global uncertainty regarding trade policy. As a small, open economy, Denmark will be affected by the trade conflict, and the financial sector may experience a particular impact on bank lending to export-sensitive industries.

“Uncertainty is detrimental to financial markets and the economy, and if the trade conflict escalates, it will undoubtedly weaken the global economy. A decline in Danish exports will affect Danish companies and may lead to losses on bank lending,” says Peter E. Storgaard, Head of Financial Stability at Danmarks Nationalbank.

Credit institution’s profits remained high in 2024, in part due to low loan impairment charges. The banks’ core earnings make up the first line of defence against potential losses. Danmarks Nationalbank’s biannual stress test of the financial sector shows that Danish institutions can withstand a severe recession scenario.

“In times of high uncertainty, financial stability may come under strain. The Danish financial sector is well equipped to handle challenges related to the effects of the trade conflict on the Danish economy, which our latest stress test emphasises. In the current risk environment, a robust liquidity position and capitalisation of banks is crucial,” says Storgaard and continues:

Every six months, Danmarks Nationalbank publishes its Financial stability analysis, which assesses and makes recommendations regarding financial stability in Denmark.

The most recent analysis was published today at www.nationalbanken.dk.

Journalists may direct any queries Peter Levring, Communications and Press Officer, by telephone on +45 2620 1809 or by email at pnbl@nationalbanken.dk.

MIL OSI Economics –

June 3, 2025
MIL-OSI Economics: Unit-linked pension savings have caught up to average-rate pensions savings

Source: Danmarks Nationalbank

Higher net contributions for unit-linked products

Unit-linked products have become more widespread in recent years. New pension schemes are predominantly unit-linked schemes, and there have also been significant shifts from average-rate to unit-linked products. This has meant that for unit-linked products, there are overall greater contributions from the working population than payments to pensioners, while the opposite is true for average-rate products. The total net contributions since 2015 have been kr. 910 billion higher for unit-linked products than for average-rate products. This trend continued in the 1st quarter of 2025, where there were net contributions of kr. 16 billion to unit-linked products, while there were net payments of kr. 9 billion from average-rate products.

Market developments also leave their mark on pension savings

In addition to net contributions, the pension savings for unit-linked products have increased by kr. 736 billion since 2015, which primarily reflects the return on the pension companies’ investments in the financial markets. In the same period, the pension assets for average-rate products rose by only kr. 310 billion, when net contributions are excluded. Unlike unit-linked products where stocks make up a larger portion of the investments, bonds are more prominent for average-rate products.

MIL OSI Economics –

June 3, 2025
MIL-OSI USA: Smucker Votes in Favor of One Big Beautiful Bill
Source: United States House of Representatives – Representative Lloyd Smucker (PA-16)

WASHINGTON—Rep. Lloyd Smucker (PA-11) voted in favor of the One Big Beautiful Bill Act. It was approved in the House of Representatives by a vote of 215-214.

“Last November, the American people gave President Trump and the Republican-led Congress a mandate for change. House Republicans today took a critical step to bring the transformative One Big Beautiful Bill closer to final passage. This bill will deliver for the American people by extending tax relief for hardworking families and small businesses, securing our border, unleashing American energy dominance, achieving peace through strength, and critically –making real, measurable reductions in federal spending. This bill secures more savings than any other reconciliation bill in American history – protecting families from both a historic tax hike and the hidden costs of unchecked federal borrowing. Passing this legislation will be a first step in righting our fiscal trajectory and I remain committed to the hard work ahead of addressing our $36 trillion and growing national debt,” said Rep. Lloyd Smucker (PA-11).

Click to watch Rep. Smucker’s comments in support of the measure:

BACKGROUND ON THE ONE BIG, BEAUTIFUL BILL ACT:

Extending Tax Relief for Hardworking Families and Small Businesses, courtesy of the Committee on Ways and Means
- Make permanent the lower tax rates and brackets for all taxpayers, the doubled guaranteed Standard Deduction, and the Child Tax Credit, preventing a $1,700 tax hike on PA-11 taxpayers providing for their families.
- Increase the Child Tax Credit by $500 to combat Bidenflation.
- Raise annual real wages by $2,100 to $3,300 per worker.
- Increase real annual take-home pay for a median-income household with two children by roughly $4,000 to $5,000.
- Provide tax relief for: overtime pay for hourly workers, cut taxes for tipped workers, and provide relief for seniors.
- Expand and make permanent the 199A small business deduction to 23% – creating over 1 million new Main Street small business jobs and generating $750 billion in economic growth at American small businesses.
- Protects family farms from the death tax that would threaten future generations of farmers.
Securing our Border
- Makes significant investments in personnel, resources, and technology to maintain operational control of the border and enforce America’s immigration laws, building on President Trump’s administration’s immediate work to make America safer.
- Hires 18,000 new personnel to enforce America’s immigration laws.
Unleashing American Energy Dominance
- Acts to ramp up American energy production including by cutting bureaucracy and streamlining permitting processes.
- Ends wasteful spending and ineffective energy programs including those in the “Green New Deal.”
Achieving Peace Through Strength
- Invests in America’s arsenal to ensure our selfless servicemen and women continue to be the best equipped fighting force in the world ready to respond to any threat, including targeted investments in improving servicemember quality of life programs.
- Expands naval capabilities, restocking of American munitions, supporting soldier readiness.
- Defends America through the creation of a Golden Dome missile defense system and continued funding of nuclear deterrence programs.
Reductions in Federal Spending
- Changes the way that Washington operates, delivering real reductions in federal spending—nearly $1.7 trillion in estimated mandatory savings.
- Saves hundreds of billions through repeal of provisions in the so-called “Inflation Reduction Act” passed during the Biden administration.
Preserving And Protecting Critical Safety Net Programs and Encouraging Personal Accountability
- Preserves critical programs like Medicaid for those truly in need.
- Roots out waste, fraud, and abuse of federal safety net programs to ensure they remain accessible to those in need.
- Implements and strengthens common sense work requirements for Medicaid and SNAP, ensuring that able bodied unemployed individuals contribute or make efforts to better themselves.
- Ensures states cannot support illegal immigrants through Medicaid.
This legislation is fiscally responsible:
- The $4.12 trillion estimated cost of the legislation is more than fully offset by:
  - Nearly $1.7 trillion in estimated mandatory savings, slowing the rate of growth of future spending.
  - $2.6 trillion in expected revenue resulting from a growing economy.
According to the White House Council of Economic Advisors, the legislation will:
- Boost the level of short-run real GDP by 3.3 to 3.8 percent and long-run real GDP by 2.6 to 3.2 percent.
- Raise annual real wages by $2,100 to $3,300 per worker.
- Increase real annual take-home pay for a median-income household with two children by roughly $4,000 to $5,000.
- Save over 4 million full-time equivalent jobs from being destroyed.
- Facilitate $100 billion of investment in distressed communities.
The legislation contains provisions authored by Rep. Smucker, including:
- Permanent Tax Relief and Certainty for Small Businesses: Permanently increasing and enhancing the small business tax deduction, known as Section 199A of the tax code. Smucker’s Main Street Tax Certainty Act has the support of 187 Members of the House and the legislation has broad support among stakeholders in PA-11 and across the nation.
- Expanded Support for Individuals with Disabilities Using ABLE Accounts: Smucker’s bipartisan ENABLE Act to allow individuals with disabilities and their families to save and invest in tax-advantaged accounts without jeopardizing their eligibility for essential federal support programs like Medicaid and Supplemental Security Income, is included making these tax provisions permanent.
- Improved Access to Primary Care: The Ways and Means Committee’s proposals include Smucker’s Primary Care Enhancement Act, which would clarify provisions of the Internal Revenue Code to remove barriers for individuals with Health Savings Accounts from using those funds to access Direct Primary Care, a health care delivery model which provides high-quality care at lower cost for individuals of all ages and incomes across America.
# # #

MIL OSI USA News –
June 3, 2025
MIL-OSI USA: Alongside Local Leaders, Davids Submits 15 Local Projects for FY26 Federal Funding
Source: United States House of Representatives – Congresswoman Sharice Davids (KS-3)

Projects would improve roads, public safety, water access, and education in Kansas Third District
Today, Representative Sharice Davids announced 15 community projects across Kansas’ Third District that she has submitted to the U.S. House Appropriations Committee for Fiscal Year 2026 funding. These locally driven requests — totaling $42,207,012.13 — focus on rebuilding aging roads and bridges, strengthening public safety and law enforcement response, expanding water access during extreme weather, and addressing other urgent community needs.

“My job is to be a voice for Kansas’ Third District in Washington and make sure our community’s priorities are front and center,” said Davids. “My team worked closely with local leaders and thoroughly reviewed each proposal to ensure they’re responsible, effective, and deliver real value. I’ve always fought for smart, fiscally responsible investments — and these projects reflect that commitment while making a meaningful difference for Kansans.”

Each of the 15 Davids-requested projects were submitted in tandem with local officials and selected for their potential to improve health and safety in the community and bring economic opportunity to the Third District. Appropriations requests are subject to strict transparency and accountability rules, which can be found here.

Read more about how each project will improve lives in our community here or below:

Road and Bridges
- Kansas Avenue Bridge Project ($3,500,000): To reconnect the Kansas City region and connect the urban freight corridor crucial to the many local industrial and manufacturing businesses in the Kansas City metropolitan region.
- Spring Hill Intersection Improvements ($2,391,641): To construct a safety upgrade and modernization for the intersection of of US Highway 169 and 191^st street to provide safety improvements for motor vehicles, pedestrians, and cyclists.
Public Safety
- Overland Park Police Department (OPPD) Body Camera Replacement ($1,500,000): To purchase body cameras for all OPPD officers and improve video systems to increase safety, transparency, and trust.
- New Century AirCenter Air Traffic Control Tower ($6,000,000): To build a new, safer air traffic control tower, replacing operationally obsolete tower, making flights safer and more efficient.
- Overland Park Street Signal Replacement ($1,300,000): To replace the traffic signal and sidewalk at Metcalf Avenue and I-435 westbound, Metcalf Avenue and I-435 eastbound, and Metcalf Avenue and 110^th street.
Water
- Bonner Springs Sewage ($6,318,755): To build new sewer lines to prevent overflows, as the current system is already at capacity, and better serve the 3,500 residents and local businesses.
- Garnett Flood Prevention ($1,000,000): To fix a damaged spillway in Garnett to prevent flooding, protect homes, and keep the local lake — a part of the town’s economy — open and safe for visitors.
- Olathe Sewer Rehabilitation ($1,105,582): To replace old, worn-out sewer pipes and manholes in Olathe to prevent leaks and protect the health and safety of Kansas families.
- Princeton Stormwater Improvements ($634,786.13): To improve Princeton’s storm drainage system to prevent flooding and support future business and job growth in the area.
Education
- K-State Olathe Manufacturing Equipment ($5,004,250): To buy lab equipment so students can train for high-tech, good-paying supply chain research and advanced manufacturing jobs as domestic manufacturing grows in Kansas City.
Energy and Utilities
- BPU Electric Grid System Improvements ($6,000,000): To construct three additional feeders from the new Rosedale Substation to the University of Kansas Medical Center campus.
Public Spaces
- Johnson County Building Security Upgrades ($917,000): To modernize county building security panel access systems. By modernizing existing security technology, this project enhances security for all citizens, public employees, and elected officials throughout the system of county buildings.
- Osawatomie John Brown Park Refurbishment ($1,560,000): To refurbish aged infrastructure and allow space for improved public engagement and historical education opportunities.
- Prairie Village Municipal Complex Modernization ($3,900,000): To upgrade driveways, sidewalks and curbs, underground retention, drainage pipes, fencing, pavement markings, landscaping, retaining walls, covered car ports, and utilities.
- UG Mount Marty Park Refurbishment ($1,075,000): To update park wayfinding signage, lighting, resurfacing of the roadway into Marty Park, trail work, structural repairs, sidewalk instillation, and landscaping.
What they are saying:

“We are incredibly grateful to Representative Sharice Davids for championing the Lonestar Interceptor project through the Community Project Funding process,” said Tom Stephens, Mayor, City of Bonner Springs. “This critical infrastructure investment lays the foundation for future development, protects public health, and ensures our city is prepared for long-term growth. Her support brings us one step closer to a more resilient and sustainable Bonner Springs.”

“Reliable infrastructure isn’t just about keeping the lights on — it’s about protecting lives and supporting critical services like hospitals, emergency response, and local industry,” said Jeremy Ash, General Manager, Kansas City Board of Public Utilities. “This investment would strengthen our electric system, improve service resilience, and ensure we can meet the evolving needs of the people we serve. We’re grateful to Rep. Davids for championing this project, and we urge leaders to support funding that delivers real, long-term benefits to Kansans, especially the hardworking families and businesses of Wyandotte County.”

“The City of Osawatomie and its leadership sincerely appreciate Representative Davids’ steadfast support and commitment to preserving a vital chapter of our nation’s history,” said Bret Glendening, City Manager, Osawatomie. “The events that unfolded in Osawatomie were pivotal in shaping both Kansas and the United States, and their significance cannot be overstated. Securing Representative Davids’ endorsement is an important first step for the future of John Brown Park, and we look forward to continuing our collaboration to help make this critical federal investment a reality.”

“We thank Representative Davids for her support in securing these important community project funds – a testament to the powerful impact of collaboration between the federal and local levels,” said Curt Skoog, Mayor, Overland Park. “The upgrades at the I-435 and Metcalf will improve safety for Overland Park drivers, and the body camera replacements will equip our Police Department with essential tools for transparency. We look forward to the positive impact of these investments on our community.”

“On behalf of the City of Princeton and Franklin County I would like to express our appreciation to Representative Sharice Davids support of our request for funding,” said Paul Bean, Executive Director, Franklin County Development Council. The funding to fix and improve infrastructure in the City of Princeton is vital to the future growth and development of the community. Without federal and state support, our small rural communities will not have the opportunity to thrive and grow.”

“We are very grateful for Representative Davids continued support for reopening the Kansas Avenue bridge and continuing to be a champion for improving the quality of life for our residents,” said Tyrone Garner, Mayor, Unified Government of Wyandotte County and Kansas City, Kansas. “This funding request will help us with the design and environmental work that must be done to get this critical transportation artery operating again. The UG also appreciates Representative Davids support for restoration of the historic Mount Marty Park that is a treasured part of the Rosedale neighborhood.”

“New Century AirCenter contributes $1.1 billion annually to the local and regional economy,” said Mike Kelly, Chairman, Johnson County Board of County Commissioners. “Upgrading the Air Traffic Control Tower is essential to maintaining the safety, efficiency, and economic value the airport brings to Johnson County and the entire region. We appreciate Rep. Davids’ support for this vital infrastructure investment.”

“Enhancing building security helps protect our public facilities, employees, and the residents who rely on our services,” said Byron Roberson, Sheriff, Johnson County. “We’re grateful for Rep. Davids’ partnership in supporting the safe and effective delivery of these essential services.”

“We appreciate Representative Davids’ support for our municipal civic center improvement.,” said Eric Mikkelson, Mayor, Prairie Village. “This significant Prairie Village project addresses aging and failing infrastructure, provides improved working conditions for police and city staff, and creates adequate space for public meetings and future growth. By planning ahead, we will ensure that we have a functional, modern facility to benefit current residents and future generations.”

“This project would strengthen transportation safety not only for Spring Hill, but for everyone who uses the K-7 corridor,” said Joe Berkey, Mayor, Spring Hill. “We appreciate Rep. Davids’ continued support in advocating for federal investment in our community.”

“The City of Princeton would like to thank Sharice Davids for adding Princeton’s storm water improvements to her community project funding submissions,” said Chris Hutchinson, Mayor, Princeton. “This funding will be beneficial to our community in more ways than one. The community as a whole appreciates the support.”

“The State of Kansas and the Greater Kansas City region are becoming hubs for advanced manufacturing, with major developments like Panasonic’s new plant in DeSoto—bringing an estimated 4,000 jobs—Garmin’s expansion in Olathe, and Merck’s recent announcement to add 200 jobs through expanded vaccine production in DeSoto,” said Dr. Ben Wolfe, CEO and Dean, K-State Olathe. “To successfully onshore manufacturing and grow American jobs, we must invest in education and workforce training. K-State Olathe is proud to partner with Rep. Sharice Davids and others to launch a state-of-the-art lab that will support academic programs, professional development, and applied research to meet industry needs and drive innovation.”
MIL OSI USA News –
June 3, 2025
MIL-OSI USA: Davids Opposes Partisan Bill That Slashes Health Care, Food Assistance to Benefit Billionaires
Source: United States House of Representatives – Congresswoman Sharice Davids (KS-3)

Today, Representative Sharice Davids released the following statement after voting against President Trump and U.S. House Republicans’ extreme budget that cuts health care and food assistance for hardworking families to pay for tax giveaways for billionaires and ultrawealthy corporations.

“This budget is not just out of touch — it’s dangerous, irresponsible, and means higher costs for hardworking Kansans,” said Davids. “It rips health care away from thousands of Kansans, takes food off the tables of hardworking families, all to hand massive tax giveaways to billionaires and the ultra-wealthy at the expense of our neighbors. I introduced common-sense amendments to protect Kansas families, but House Republicans rejected every one of them. I won’t stop pushing for policies that put people first — not politics or powerful donors.”

Background:

President Trump and U.S. House Republicans are pushing a budget that would make the largest cuts to Medicaid and emergency food assistance in American history — all to fund more than $1 trillion in tax giveaways for billionaires. These extreme cuts would gut programs that help Kansans afford food and stay healthy. In response, Davids introduced a slate of amendments aimed at protecting Kansas families and restoring common sense and stability to our economy. Every single one was rejected.

How This Bill Hurts Kansans: Raising costs on the middle class so billionaires pay less
- HIGHER Health Care Costs: The Joint Economic Committee estimates that more than 16,000 people in Kansas’ Third District would lose health care coverage under this bill — including 13,000 through the Affordable Care Act and another 3,000 through Medicaid. These cuts would lead to more hospital closures, reduced services, and worse care for all Kansas families, especially in rural communities, where more than half of hospitals are already at risk of shutting down.
- HIGHER Grocery Costs: In Kansas’ Third District alone, 8,000 households could lose access to the emergency food assistance they rely on through this bill. Also, up to 27,000 grocery stores nationwide may be forced to close due to lost revenue, worsening food deserts, especially in rural communities. These cuts would reduce farm income by more than $30 billion and threaten good-paying jobs.
- LOWER Taxes for Billionaires: The Republican budget actually raises taxes on the lowest-income families in the country, all while billionaires who already pay next to nothing in taxes get more breaks. This bill shows exactly where U.S. House Republicans’ loyalties lie: not with the hardworking Americans who sent them to Congress, but to Trump and their billionaire donors.
MIL OSI USA News –
June 3, 2025
MIL-OSI USA: Davids Stands with Kansans to Oppose Devastating GOP Cuts to Medicaid, Food Assistance
Source: United States House of Representatives – Congresswoman Sharice Davids (KS-3)

Today, Representative Sharice Davids hosted a virtual press conference to call out the devastating impact of House Republicans’ budget — particularly its deep cuts to Medicaid. The partisan budget, backed by President Trump, would also slash emergency food assistance and programs hardworking Kansans rely on every day to pay for more than $1 trillion in tax giveaways for billionaires and large corporations.

“We should be focused on cutting waste and making life more affordable for Kansans,” said Davids. “Instead, this partisan budget does the exact opposite — rips away health care and food assistance from the people who need it most. Kansans deserve policies that invest in the middle class, not ones that line the pockets of billionaires at their expense. That’s why I’m fighting to protect Medicaid, preserve critical programs, and stand up for hardworking families across our state.”

WATCH: Davids hosts press conference with Kansans affected by Republicans’ proposed Medicaid cuts

At today’s press conference, Davids was joined by Kansans directly impacted by proposed Medicaid cuts in the Republican budget. Mark and Patty Hink spoke about their son Brian, who relies on Medicaid for critical services and medications provided at a disability services provider in Overland Park. Samantha Denzin Armistead shared how her brother Connor, an adult with intellectual disabilities, depends on KanCare’s Home and Community Based Services to attend day programs that give him purpose and stability. Corey Craig, CEO of Monarch Hospice & Palliative Care, provided insight into how these cuts would harm health care providers and seniors across the state.

President Trump and U.S. House Republicans are pushing a budget that would make the largest cuts to Medicaid and emergency food assistance in American history — all to fund more than $1 trillion in tax giveaways for billionaires. These extreme cuts would force Kansans to pay more to put food on the table and stay healthy.
- Cuts to Health Care: The Joint Economic Committee estimates that more than 16,000 people in Kansas’ Third District would lose health care coverage under this bill — including 13,000 through the Affordable Care Act and another 3,000 through Medicaid. These cuts would lead to more hospital closures, reduced services, and worse care for all Kansas families, especially in rural communities, where more than half of hospitals are already at risk of shutting down.
- Cuts to Food Access: In Kansas’ Third District alone, 8,000 households could lose access to the emergency food assistance they rely on through this bill. Also, up to 27,000 grocery stores nationwide may be forced to close due to lost revenue, worsening food deserts, especially in rural communities. These cuts would reduce farm income by more than $30 billion and threaten good-paying jobs.
To fight back against this reckless and harmful budget that will raise costs, Davids introduced a series of amendments early this morning. Her goal is to protect Kansas families and bring common sense and stability back to our economy and government. Davids’ original amendments include:
- Health Care
- Agriculture
  - Animal Disease Protection: Stops job cuts at the National Bio and Agro-Defense Facility (NBAF) in Manhattan, which protects farmers and food from dangerous animal diseases.
  - Tariff Study: Requires the United States Department of Agriculture (USDA) to study how U.S. tariffs hurt farmers, from higher supply costs to lost market access.
- Research
  - Medical Research Funding: Unfreezes all National Institutes of Health (NIH) research money and protects existing medical research contracts, including at the University of Kansas Cancer Center.
  - Science Grants: Makes the National Science Foundation (NSF) keep its promises and funding for science projects already approved and signed, including at public universities in Kansas.
- Jobs
  - Manufacturing Partnerships: Ensures Kansas Manufacturing Solutions and similar groups keep getting federal support each year.
  - Energy Assistance Program: Saves jobs and funding for the team that runs Low Income Home Energy Assistance Program (LIHEAP), which helps families pay heating and cooling bills.
  - Advanced Manufacturing Tax Credit: Protects the 45X tax credit that domestic manufacturers use to help build clean energy technology and create good-paying jobs.
MIL OSI USA News –
June 3, 2025
MIL-Evening Report: ‘Unfair and unreasonable’ – report finds $1.9 billion in unpaid child support in system rife with financial abuse
Source: The Conversation (Au and NZ) – By Kay Cook, Professor and Associate Dean Research, School of Social Sciences, Media, Film and Education, Swinburne University of Technology

Tar Pichet/Shutterstock

The Commonwealth ombudsman has released his long-awaited report into the “weaponisation” of the child support program.

He has identified widespread financial abuse throughout the system. This includes parents not making payments, lying to reduce their income and being abusive or violent to stop ex-partners seeking help.

The ombudsman has found Services Australia, which administers the scheme, is not using its available powers to stop the abuse and force ex-partners to support their children. As a result, 153,000 parents have a combined A$1.9 billion in unpaid child support.

The report adds to the growing evidence the child-support scheme is failing families, especially women. The system hasn’t been working for a very long time, if it ever did.

Ombudsman’s report

More than 1.2 million separated parents have child-support arrangements for an estimated one million children. Some 84% of parents receiving payments are women.

According to the report, 32% of complaints about the child-support scheme reported it was being weaponised by ex-partners. This figure only includes people who were persistent enough to proceed all the way to the ombudsman.

In addition, these complainants were women who braved possible repurcussions from ex-partners, who may be abusive. Given the context of fear, the statistic is undeniable.

Ombudsman Iain Anderson has found the abuse is being made worse by the tax system, which calculates income assuming all support payments have been made, even if they haven’t.

Preventing weaponisation is really important because child support is all about children – vulnerable children – who need to be financially supported while they are growing up.

The same problems with the tax system were identified by a report earlier this year by the Inspector General of Taxation and Tax Ombudsman Ruth Owen.

Toothless tiger

The report finds Services Australia, the government agency responsible for Centrelink, is acting in an “unfair and unreasonable” manner by not using its available powers to enforce payments.

This passive approach is unfair. It allows some paying parents to manipulate the system to avoid their financial responsibility in raising heir children largely without consequences.

The report recommends Services Australia:
- publicly outline its plan to tackle financial abuse through the child support system
- introduce a range of measures to enforce child support payments
- refine data collection approaches
- review its Lodgement Enforcement Program
- support its staff to undertake training on financial abuse through the child-support system
- review its change of assessment process.
The report notes the legislative provisions underpinning Services Australia are also “unfair and unreasonable”.

Recommendations for government action include
- amending legislation to overcome legal roadblocks to enforcing child support payments
- providing the ombudsman with a comprehensive progress report within the next 12 months.
Circuit breaker

There have been countless reviews calling to rebalance the system in the interests of women and children.

They include our 2023 report on child-support weaponisation and the government’s financial abuse inquiry in 2024.

Yet there has been scant action to date. Indeed our survey of 540 women exposed the scale of the problem for the first time.

This new ombudsman’s report might be the final push to action that the government needs due to its timing and specifics.

First, both Minister for Women Katy Gallagher and newly appointed Minister for Social Services Tanya Plibersek have acknowledged the need for change.

The 2024 women’s budget statement acknowledged child support was being abused. An internal review had been taking place to examine how the child support, family tax benefit and taxation systems are being weaponised.

Second, the ombudsman’s report draws on Services Australia data to shed light on the issue. Much of this information has not previously been made public. Some statistics have been reluctantly released due to dogged questioning in Senate Estimates over many years by the new Greens leader, Larissa Waters.

The ombudsman used his legislative powers to request and obtain information from Services Australia, as well as attending its offices to furnish his report. The data adds substantial weight to the findings.

A safer system

Many of the root problems with the child-support program stem from reforms brought in during the Howard era, compounded by the welfare to work measures which targeted single parents.

Immediately after separation can be the most dangerous time for women. Perpetrators can use mandatory government systems, such as child support, to financially control and harm ex-partners and their own children.

The ombudsman’s report will give some hope to the 12% of Australian families headed by single mothers that the government will take action to make the system safe and fair for all women and children.

Kay Cook receives funding from the Australian Research Council in the form of a Discovery Project grant on, ‘Prioritising women’s financial safety: Developing institutional interventions for intimate partner financial abuse’.

She is a member of the Economic Inclusion Advisory Committee.

Adrienne Byrt 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. ‘Unfair and unreasonable’ – report finds $1.9 billion in unpaid child support in system rife with financial abuse – https://theconversation.com/unfair-and-unreasonable-report-finds-1-9-billion-in-unpaid-child-support-in-system-rife-with-financial-abuse-258063
MIL OSI Analysis – EveningReport.nz –
June 3, 2025
MIL-OSI Australia: Pre-filling 2022–24
Source: New places to play in Gungahlin

Available pre-filling reports

The pre-filling report is available through:
- Online services for agents
- Practitioner lodgment service (PLS) – the PLS pre-filling report will return the same data as the Online services for agents pre-filling report in 2022, with some exceptions. MyDeductions is included in PLS.
For prior year pre-filling reports and more information, refer to:

The following data will be available in the pre-filling report if there is information for your client.
Taxpayer details
We will provide the following information from our records:
- name
- Australian residency (at the report creation date)
- postal and residential address
- date of birth.
PAYG payment summaries and STP income statements

We will provide information from all original and amended PAYG payment summaries and Single Touch Payroll income statements as they are reported to us by employers and super funds. We generally make this information available within a couple of days of receiving it.

Single Touch Payroll (STP)
- The employer payment information will be available in ATO Online services after each pay event. STP provides an income statement in your client’s ATO Online services at the end of the financial year.
- Generally, STP reporters must make a finalisation declaration by 14 July each year, except
  - if the employer has 20 or more employees, the finalisation due date for closely held payees is 30 September each year
  - if the employer has 19 or fewer employees and they are all closely held payees, the finalisation due date will be their income tax return due date
  - if the employer has 19 or fewer employees and they are a mixture of both closely held payees and arms-length employees, the finalisation due date is
    
    30 September each year for closely held payees
    
    14 July each year for arm’s length employees.
You should wait until the income statement is finalised before completing your client’s tax return.

STP will pre-fill:
- from 1 July 2019 – for small employers with 19 or less employees
- from 1 July 2018 – for large employers with 20 or more employees.
The pre-filling service will include:
- ‘Unfinalised’ data – being year-to-date payment data reported by the payer but the payer has not yet ‘finalised’ the data via STP
- a new status – to identify the data as ‘Unfinalised’ or ‘Finalised’
- a message where ‘Unfinalised’.
STP reports only the following income statement types:
- individual non-business – only income types of ‘S’ and ‘H’
- employment termination
- foreign employment
- business and personal services income – types VOL, LAB, and OTH.
Individual non-business

We will provide the following details if reported:
- payer details and income type (S – salary, P – pension, H – working holiday makers)
- item 1 – salary or wages (including paid parental leave)
- item 2 – allowances, earnings, tips, director’s fees, etc
- item 3 – lump sum payments
- item 5 – Australian Government allowances and payments
- item 6 – Australian Government pensions and allowances
- item 7 – Australian annuities and superannuation income streams
- item 20 – foreign source income
- item 24 – other income, including lump sum E payments
- item D5 – union or professional association fees
- item D9 – workplace giving
- item IT1 – reportable fringe benefits (FBT exempt payer)
- item IT1 – reportable fringe benefits (FBT non-exempt payer)
- item IT2 – reportable employer superannuation contributions.
Employment termination payment

We will provide the following detail if reported:
- item 4 – employment termination payments
- employment termination payment code.
Australian annuities and superannuation income stream

We will provide the following details if reported:
- item 7 – Australian annuities and superannuation income streams
- item T2 – Australian superannuation income stream
- lump sum in arrears information
- taxable components – taxed and untaxed
- reversionary income stream indicator
- transfer balance cap messaging.
Superannuation lump sum

We will provide the following detail if reported:
- item 8 – Australian superannuation lump sum payments
- taxable component – taxed and untaxed elements
- death benefit and code.
Business and personal services income

We will provide the following detail if reported:
- item 9 – attributed personal services income
- details of payments made under voluntary agreements, labour hire and other specified payments will display as information only. Check with your client and declare this income for the appropriate item (14 or 15) on the tax return
- item IT2 – Reportable employer super contributions report.
Foreign employment

We will provide the following detail if reported:
- payment type code
  - J – joint petroleum development area
  - F – foreign employment income
- lump sum information.
Government payments
We will provide information within a couple of days of receiving it from:
- Centrelink – Services Australia
- Department of Veterans’ Affairs (DVA)
- Department of Education, Skills and Employment (DESE).
This information consists of:
- taxable payments, including pensions and allowances
- tax-free government pensions.
The information provided includes details for:
- item 1 – salary or wages
- item 5 – Australian Government allowances and payments
- item 6 – Australian Government pensions and allowances
- item 24 – other income
- item IT3 – tax-free government pensions
- remote area allowance paid (information for zone tax offset calculations).
Informative messaging will display where payments have been reported for the following payment types:
- Parental leave pay (PPL)
- Dad and partner pay (DAP).
The JobSeeker Payment (JSP) commenced from 20 March 2020. Newstart Allowance recipients and some Wife Pension recipients were transitioned onto it. Sickness Allowance recipients were transitioned onto JSP from 20 September 2020.

Changes for 2024

High-certainty government payments data

Our pre-fill service now provides greater certainty for your government payment data. When you access your client’s pre-fill information, you’ll see an indicator when the payment record is high-certainty data. This indicator will appear in both the Online services for agents pre-filling report and the PLS pre-fill service.

From 1 July 2024, a certainty indicator will be pre-filled for government allowance and pension payment types that are to be reported at Items 5 or 6 in their tax return.

In PLS, if you want to change the government allowance or pension data, or the tax withheld being reported at items 5 or 6, where a high-certainty indicator is present, you’ll need to provide a reason for the change. If the reasons we provide don’t apply to your client’s situation, select ‘Other’ and provide details.

Valid reasons you can choose from are:
- Unknown amount = This amount doesn’t belong to me
- Repaid amount = Incorrect amount reported – part or full amount repaid
- Payment summary = Incorrect amount reported – payment summary has different amounts
- Other = Other (Specify why).
These high-certainty indicators won’t be included on government data records for clients or situations where we know there’s a likely reason for exclusion, such as a client who has a record of bankruptcy. In these situations, you can still alter the government benefit data without providing a reason.

ATO interest
We will provide interest amounts from all client accounts held by individual taxpayers in our integrated core processing system including income tax, fringe benefits tax and integrated client account (ICA).

Assessable interest amounts we pay will display at item 10L – Gross interest, and will include:
- interest on early payments (IEP)
- interest on overpayments (IOO)
- delayed refund interest (DRI).
The total net ATO interest amount at either item 24X or D10N as follows:
- A total net assessable interest income amount will display at item 24X Other income – Category 2 (ATO interest), and will include remitted or reimbursed
  
  general interest charge (GIC)
  
  shortfall interest charge (SIC)
  
  late payment interest (LPI).
- A total net deductible interest expense amount will display at item D10N Cost of managing tax affairs – Interest charged by the ATO, and will include imposed
  
  GIC
  
  SIC
  
  LPI.
From 1 July 2015, we introduced a new way of capturing and reporting pre-fill information for ATO interest. If you choose not to rely on our pre-fill information you will need to manually calculate the interest amounts using your client’s statement of account. For help, refer to Calculate and report ATO interest.

ATO interest – recurring data issues

In some circumstances, we may not provide pre-fill data but will display a message that the client has interest. In this case, you will need to manually calculate the deductions or income amounts, using either reporting method.

In addition, pre-fill reports may not capture your clients’ specific circumstances and you may need to adjust the interest amounts reported.

From 2019 a new message will display with a link to Recurring data issues – calculating ATO interest to provide information on when adjustments may need to be made for:
- recoupments of interest charged
- change in residency status
- movement of transactions across the ICA.
Interest income
Information reported to us by financial institutions and private companies is available for pre-filling at item 10 – Gross interest.

Information is generally available within a couple of days of being reported and consists of:
- interest-bearing accounts, including savings accounts, term deposits and fixed interest securities
- interest distributed by private companies
- individual sole and joint accounts – for example
  
  husband and wife joint accounts will be displayed
  
  business partnership, trust, and superannuation accounts will not be displayed
- a message displayed where all interest income may not have been reported in the previous year.
Apportioned amounts are calculated according to the number of investment owners reported by the financial institution.

There may be instances where the interest from children’s bank accounts is pre-filled for the parent.

You may also notice an amount of investment income that belongs to a linked non-individual, such as a superannuation or trust fund.
Changes for 2022
High-certainty interest data

Our pre-fill service now provides greater certainty for your client’s bank interest. When you access your client’s pre-fill information, you’ll see an indicator when the interest record is high-certainty data. This indicator will appear in both the Online services for agents pre-filling report and the PLS pre-fill service.

In PLS, if you want to change any bank interest pre-fill information where there is a high-certainty indicator, you’ll need to provide a reason for the change. If the reasons we provide don’t apply to your client’s situation, select ‘Other’ and provide details.

Valid reasons you can choose from are:
- Child account = Child or minor’s account
- Joint account partner = Joint account with my spouse/partner
- Joint account individual = Joint account with another person
- Joint account non-individual = Joint account with a non-individual entity, for example a company
- Unknown amount = This amount doesn’t belong to me
- Duplicate amount = This amount is duplicated
- Previously declared = Interest was declared in another income year
- Incorrect amount = Incorrect amount reported by bank/financial institution
- Family law agreement = Family law agreement
- Other = Other (Specify why).
These high-certainty indicators won’t be included on bank interest records for clients or situations where we know there’s a likely reason for exclusion, such as a client who has a record of bankruptcy. In these situations, you can still alter the interest income without providing a reason.

This enhanced pre-fill solution benefits you by:
- allowing you to alter incorrect information in channel to minimise the impact of incorrect data, resulting in a more timely and simplified process
- enhancing the client experience by avoiding processing delays and improving the simplification of tax return process
- allowing for quicker processing once the return is lodged
- creating more certainty for you and your clients.
These new indicators also help by reducing the likely amount of pre-issue and post-issue compliance work.

Changes for 2023

High-certainty interest data

In PLS, if you want to change any bank interest pre-fill information where there is a high-certainty indicator, you’ll need to provide a reason for the change.

The additional valid reason you can choose from for 2023 is:
- Foreign Resident = Foreign Resident.
Changes for 2024

High-certainty interest data

From 1 July 2024, bank interest data for joint account holders will now appear with a ‘certainty indicator’. This is because the ATO has high confidence in the data that has been supplied by your client’s financial institution.

For more information, see:
Dividend and interest schedule

Dividend and interest information reported by companies through the company tax return is available for pre-filling at item 10 – Gross interest and item 11 – Dividends.

Information is generally available within a couple of days of being reported.

Apportioned amounts are calculated according to the number of investment owners reported by the financial institution.

Dividend income
Information reported to us by share registries, private companies and most listed public corporations is available for pre-filling at item 11 – Dividends.

Apportioned amounts are calculated according to the number of investment owners reported by the financial institution.

Information is generally available within a couple of days of being reported, and consists of:
- investment accounts that are issuer or Clearing House Electronic Subregister System (CHESS) sponsored
- dividends paid by private companies
- individual sole and joint accounts – for example
  
  husband and wife joint accounts will be displayed
  
  business partnership, trust, and superannuation accounts will not be displayed
- listed investment company capital gain deduction (shown at item D8)
- a message displayed where all dividend income may not have been reported in the previous year.
Employee share schemes
We will provide details of your client’s employee share scheme (ESS) interests as reported by employers and other payers on the ESS annual report.

From 2018, new and amended ESS data reported for 2015 and prior years will not be updated in pre-fill. New and amended ESS data reported for 2016 and later years will continue to be updated in pre-fill.

Information is generally available within a couple of days of being reported and consists of:
- employer’s name and Australian business number (ABN)
- shareholder registration number (SRN) or holder identification number (HIN)
- plan reference number
- discount from taxed upfront schemes – eligible for reduction (12D)
- discount from taxed upfront schemes – not eligible for reduction (12E)
- discount from deferral schemes (12F)
- TFN amounts withheld from discounts (12C).
A message will display when amounts either:
- have been adjusted to exclude foreign service period
- have not been adjusted to exclude foreign service period.
Changes for 2023

From 1 July 2022 cessation of employment is no longer a deferred taxing point.
Managed funds distributions
Managed investment funds and attribution managed investment trusts (AMIT) will provide income details as reported in the Annual investment income report (AIIR).

Information is generally available within a couple of days of being reported and consists of:
- item 13 – partnerships and trusts
- item 18 – capital gains
- item 19 – foreign entities
- item 20 – foreign source income and foreign assets or property.
You will be able to view details of:
- a list of managed fund accounts
- sole and joint investments (as an individual) – for example husband and wife joint investments will be displayed.
Apportioned amounts are calculated according to the number of investment owners reported by the financial institution.

If the pre-filled information doesn’t match your client’s distribution statement, use the information the fund manager provided to your client. Contact the managed fund if you have any questions.
For more information, see Recurring data issues – managed fund data reporting discrepancies.

Partnership distributions
Statement of distribution information reported by partnerships through the partnership tax return will be available for pre-filling in the partner’s individual tax return.

Information will generally be available within a couple of days of it being reported and consists of:
- item 13 – partnerships and trusts
- item 20 – foreign source income and foreign assets or property
- item T9 – other refundable tax offsets (share of exploration credits)
- item IT5 – net financial investment loss
- item IT6 – net rental property loss.
You will be able to view details of partnerships.

If the pre-filled information doesn’t match your client’s statement of distributions, use the information the partnership provided to your client – contact the partner who notices are sent to if you have any questions.
Foreign source investment income

Foreign source investment income reported to us by financial institutions and private companies will be available for pre-filling at item 20 – Foreign source income and foreign assets or property.

Information will generally be available within a couple of days of it being reported.

Apportioned amounts are calculated according to the number of investment owners reported by the financial institution.

Informative messaging will display where foreign income from foreign sources have been reported.

Cryptocurrency disposal

Informative messaging will display where individual taxpayers who may have disposed of cryptocurrency asset during the financial year.

Informative messaging will display where an individual taxpayer has a novated lease during the financial year.

Share and unit disposals
Details of share disposals are provided to remind taxpayers about possible capital gains tax events and will contain the:
- issuer name or name of investment
- investment code
- HIN or SRN
- date of disposal
- number of shares or units sold
- number of investors
- capital proceeds (where available)
- original (O) or amended (A) data indicator.
The following types of transactions will be included:
- PRF – preference shares
- ORD – ordinary shares
- CDI – CHESS – depository interest transactions
- share buybacks – messaging where your client participated in a share buyback that may have resulted in a capital gains tax event.
Where more data exists, a message will be displayed with instructions on how to access the additional information in Online services for agents.

Changes for 2022

Informative message will display regarding to brokerage fee.

Property transfers
Details of property transfers are provided to remind taxpayers about possible capital gains tax events and will contain:
- messaging where your client may have transferred a property resulting in a capital gains tax event
- property address
- contract date
- settlement date
- sale price.
We are able to display a maximum of 5 property transfers only.

Changes for 2023

New informative messaging for disposal of property used to provide affordable housing.
Business transactions
Data about payments received through an electronic payment system will be pre-filled from 2019 as information only. Electronic payment systems can include BPAY®, PayPal, credit card facilities and others.

Data displayed will include:
- provider name
- net annual payments
- transaction currency
- more data exists indicator (maximum of 25 records can be displayed).
Taxable payments
We will pre-fill payment and grant information reported to us in the Taxable payments annual report by:
- businesses in the building and construction industry
- government entities
- cleaners and courier services from 2019
- road freight services, security, investigation, surveillance or IT services from 2020.
Contractor payments

Contractor payment information reported to us in the Taxable payments annual report (TPAR) will be pre-filled.

Where a contractor has received payments for services from multiple businesses or government entities (or both), the information will be available as reports are received and processed. It may take some time for all this information to be reported.

Only high-quality data will be pre-filled, but all data may be used for compliance purposes at a later time. Amounts invoiced but not actually paid to the contractor in the financial year are not included in this year’s information. Contractors should check their own records to ensure all income is included in their tax returns.

The contractor payment information will not be mapped to a specific label – it will be provided in a summary.

As with other pre-filled items, information will only be available for individual contractors – it will not be available for contractors that operate as companies, trusts or partnerships.

The contractor payment information will include:
- payer name
- payer ABN
- date available for pre-filling
- type – (original or amended)
- gross amount paid
- GST
- tax withheld.
Note:
- the gross amount includes GST, if it has been charged
- amounts invoiced but not actually paid in the financial year, are not included.
Government grants

Government grant information reported to us in the Taxable payments annual report (TPAR) will be pre-filled.

Government grant information will not be mapped to a specific label – it will be provided in a summary. Consider the nature of the grant to determine if it should be included as income in your client’s tax return.
Certain government grants are potentially treated as non-assessable, non-exempt income for the grant recipient. Informative messaging will display where a government grant has been reported as potentially non-assessable, non-exempt income. Refer to Non-assessable non-exempt government grants.

Government grant information will include:
- payer name
- payer ABN
- name of grant or grant program
- date of grant payment
- gross amount paid
- GST
- date available for pre-filling
- type (original or amended).
Note:
- gross amount paid includes GST, if it has been charged
- report may not include all government grants paid
- nature of the grant must be considered before including it in the tax return.
For more information see Payments government entities need to report in their TPAR.

Net farm management deposits or repayments
Information is reported by financial institutions and will include:
- company name
- investment reference number
- account name
- details of deposits, repayments, transfers in and transfers out
- interest offset account
- date available for pre-filling
- amount of closing balance.
If the pre-fill data provided do not match your client’s records, you should use the information provided by the client.
Tax offsets
A reminder message will be displayed when your client may be eligible for item T1 –seniors and pensioners tax offset (SAPTO) because they either:
- were in receipt of a qualifying Australian Government pension or allowance (declared at label 6 in the tax return)
- were not in receipt of an Australian Government pension or allowance (declared at label 6 in the income tax return) however they both
  
  satisfy the age requirement for the Centrelink age pension, as at 30 June of the current financial year
  
  were eligible for an Australian Government age pension.
The following items will be displayed:
- Australian superannuation income stream – item T2
- remote area allowance (used in zone offset calculations at T4)
- early stage venture capital limited partnership – current year tax offset for managed funds at item T7K
- early stage venture capital limited partnership (ESVCLP) – tax offset amount carried forward from previous year at item T7M
- early stage investor – current year tax offset for managed funds at item T8L
- early stage investor – tax offset amount carried forward from previous year at item T8O
- the total exploration credits reported by private companies and managed funds will be displayed at item T9.
Medicare levy surcharge (MLS)
We will provide details reported to us by health funds to help you confirm that your client held an adequate level of private patient health insurance.

Information will be processed using our enterprise systems and will be updated throughout the week, for the current financial year and the previous financial year only. No updates will occur on weekends.

Information will include:
- health insurer ID and name
- membership number
- start and end date of the policy.
From 2020 a new message will display with a link to Medicare levy surcharge (MLS) information. MLS is to be determined by the agent completing the return. In respect of whether the client has private patient hospital cover or not for the full year, the tax agent will need to calculate the number of days based on the MLS start and end dates provided. They will first need to check if the client’s dependants, including their spouse (if any), also had an appropriate level of private patient hospital cover for the income year.

If private health insurance policy details have pre-filled, but there is no MLS information pre-filled, it means there was no private patient hospital cover for that policy, for that year, from that fund. The client may have had ancillary cover only. If there are start and end dates within the relevant financial year, then the policy provided private patient hospital cover between (inclusive) the dates specified.

If the client has private health insurance (PHI) and the MLS details or PHI policy details (or both) and are not yet available when you request the pre-fill information, you will need to use the details provided in your private health insurance statement from your client’s fund or funds.

From 2019, health insurers are not required to send private health insurance statements to clients, unless requested. You will need to contact the health fund for a statement.

Private health insurance (PHI) policy details

From 2019, health insurers are no longer required to send a private health insurance statement to their clients, unless their client requests one.

Information will be processed using our enterprise systems and will be updated throughout the week, for the current financial year and the previous financial year only. No updates will occur on weekends.

All rebate percentages are adjusted annually on 1 April.

This means your client’s rebate percentage for premiums paid before 1 April will be different to the rebate percentage for premiums paid on or after 1 April. The benefit codes distinguish which period the data relates to.

Information will include:
- health insurer ID and name
- membership number
- premiums eligible for Australian Government rebate
- Australian Government rebate received
- benefit code
- a message and link to more information about private health insurance statement availability.
For more information, see Private health insurance rebate.

Early stage innovation company
The following data will be displayed:
- company name
- share issue date
- amount paid.
We are able to display a maximum of 20 share disposals only.

We will display the following data as reported on payment summaries:
- total reportable fringe benefits amounts – item IT1
- reportable employer superannuation contributions – item IT2
- tax-free government pensions – item IT3.
Ensure compulsory super amounts are not included.
For more information, see Recurring data issues – reportable employer super contributions on payment summaries or income statements.

ATO data
This section includes amounts to help you estimate your client’s refund or debt.

Help and other income-contingent loans debts

Information will be displayed for repayable amounts of income- contingent loans for:
- Higher Education Loan Program (HELP)
- Vocational Education and Training student loan (VSL) – separated from HELP from 2020
- Student Financial Supplement Scheme (SFSS)
- Trade Support Loan (TSL)
- Student Start-up Loan (SSL)
- ABSTUDY Student Start-up Loan (ABSTUDY SSL).
The repayable balance provided by pre-filling may be different to your client’s account balance. The repayable balance does not include new debts until they become repayable. There is a lead time between when the debt is incurred and when it becomes repayable.

Indexation is applied to repayable amounts each year on 1 June.

For 2022, the pre-fill amount displayed includes the repayable balance at 1 June 2022, less any repayments made after that date.

Where the pre-fill request is made between:
- 1 January and 31 May of the current year – the repayable balance will only include debts incurred up to (but not including) 1 January of the previous calendar year
- 1 June and 31 December of the current year – the repayable balance will only include debts incurred up to (but not including) 1 January of the current calendar year.
Changes for 2024

Trade Support Loan was renamed as the Australian Apprenticeship Support Loan (AASL) on 1 January 2024. The change was fully implemented on 1 January 2025.

Prior year amounts

If the pre-fill request is for an outstanding prior year return, the repayable amount is shown as at the date the pre-fill request is made. This means if a pre-fill request is made for a prior year return, the current repayable loan balance is shown and will be the repayable amount regardless of the income year of the return.

PAYG instalments

The total amount displayed represents the calculated liability regardless of payment.

Accumulative low-rate cap

Information will include:
- accumulative low-rate cap amount
- year
- low-rate cap used
- messaging where client has exceeded the low-rate cap.
Income averaging for primary producers and special professionals

We will display the following amounts for:
- primary producers – basic taxable income amounts by year
- special professionals – taxable professional income amounts by year
- new message to manually calculate average taxable professional income for foreign residents.
Overdue income tax returns

An overdue income tax returns advisory message will display the year-specific outstanding tax returns in the 3 years immediately prior.

Personal superannuation contribution deductions

Information will include:
- total superannuation contributions claimed on notice of intent (NOI)
- provider name
- provider ABN
- member account number
- indication of fund NOI receipt and acknowledgment.
Changes for 2023

New informative messaging on work test requirements for taxpayers claiming the PSCD who are between 67 and 75 years old.

First home super saver scheme (FHSS)

Information will include:
- total assessable FHSS released amounts – item 24R
- total tax withheld – assessable FHSS released amounts – item 24S.
Prior-year tax return details
This data is provided by our systems from the previous year’s tax return:
- occupation description and code (not available in PLS)
- sources of supplementary income reported (not available in PLS)
- rental property address and date first earned income
- net capital losses carried forward to later income years
- business income and expenses – closing stock
  
  total closing stock amount
  
  subtotals for primary and non-primary production amounts (not available in PLS)
  
  valuation method type – C cost, M market selling value or R replacement value (not available in PLS)
- deductions reported (not available in PLS)
  
  includes a message where work-related expenses were high compared to clients in the same occupation with similar income (now also available in PLS)
  
  cost of managing tax affairs amount will display as split components D10N, D10L and D10M for 2020
- dependents
  
  number of dependent children and students for Medicare (M1)
  
  number of dependent children for Income test IT8 – (available in PLS)
- spouse details – name and date of birth (not available in PLS).
A new message refers to Online services for agents, lodgment history, to view all labels completed in your client’s prior year income tax return.

Current data issues
Check for current data issue with pre-filing data.

Resolving discrepancies

Discrepancies between the information sent to your clients and the information reported to us for pre-filling need to be resolved with the data provider before you lodge your client’s return.

If you are unable to resolve the discrepancy or have notification that an income or account does not belong to your client, we prefer you to contact us in Online services for agents. To send a new message:
- from the Agent home page, select Communication, then Practice mail, or from Client summary, select Profile, then New messages
- select New message
- select the topic Income tax
- select the subject Pre-filled tax return data incorrect
- complete the required fields and attach the relevant form if required
- select the Declaration, then select Send
- select Print friendly version to print or save a copy.
You’ll receive an ATO receipt ID when the message has successfully been sent. You’ll need to quote this number to us when enquiring about the request.
MIL OSI News –
June 3, 2025
MIL-OSI Russia: NSUJobs Named Best Student Startup at Startup Lynch’25

Translation. Region: Russian Federal

Source: Novosibirsk State University – Novosibirsk State University –

NSUJobs project created by students Faculty of Economics, NSU, took first place at the annual Startup Lynch’25 event, which took place at the end of May. This year, 15 student teams took to the stage to present their startups in three minutes and compete for the main prize and the attention of investors. The winner was chosen based on the reaction of the audience and the jury’s assessments – NSUJobs received 100,000 rubles and recognition as the best project of the event.

NSUJobs is a digital platform that helps NSU students and graduates find internships, part-time jobs, and their first serious job. And this is not just another job aggregator. NSUJobs is aimed specifically at young professionals: those who want to find a job that suits their brains. Lev Lobov, a student at the NSU Faculty of Economics, is behind the project. He launched the first version of the platform in January 2024 — entirely by himself: he thought out the architecture, wrote the code, ran the first campaigns, communicated with users, and supported the site.

— When I created NSUJobs, I was driven not just by an idea, but by a mission: to help every student and graduate realize their potential. Students and graduates are constantly faced with the task of finding a job, part-time jobs, internships. Until now, no service has been able to fully and qualitatively satisfy these requests. Popular platforms are focused on the mass market, mostly line personnel. Students and university graduates, in turn, would like to find a job in their specialty, where they could apply all their intellectual abilities and grow as great specialists, — said Lev.

The NSUJobs team is small. The core of the project is Lev Lobov and Olga Somova (works with employers). Together they are developing the platform and preparing the next step — launching it on the all-Russian market. Several Novosibirsk universities will be connected to the platform starting in September, and the service will be scaled up to other regions of Siberia in the future. Plans call for the Far Eastern and Ural Federal Districts to be covered by the end of the year.

At the moment, the guys have managed to form a base of more than 2,500 active users from NSU and build trusting relationships with more than 100 employers, including 2GIS, Kept, MTS, Sberbank, RENEWAL, Beeline, B1, Sovcombank, SDEK.

— In my opinion, one of our main success factors is our obsession with our users. We constantly collect feedback and improve the experience of interacting with the platform. Our users — students, graduates, employers — are our top priority, — Lev emphasized.

The NSUJobs app offers free job posting, internal chats with candidates, an advanced employer account and the ability to promote the company’s HR brand.

— Our team was incredibly surprised when we were announced as the winners of StartupLynch’25. We are grateful for the recognition and support of our work. This, along with the gratitude of our users, inspires us to work even harder, even better, so that every student and graduate can fully realize their professional potential. We believe that we can build an effective all-Russian platform for the career development of young specialists, — concludes Lev.

Startup Lynch is a project of the NSU Startup Studio, a presentation of technology projects to experts. This is not just a pitch battle, but a full-fledged entry point into entrepreneurship for NSU students.

Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

MIL OSI Russia News –

June 3, 2025
Markets open marginally lower; midcaps, smallcaps outperform

Source: Government of India

Source: Government of India (4)

Indian equity benchmarks opened slightly lower on Tuesday amid ongoing consolidation, with heavyweight stocks like L&T and Bajaj Finance trading in the red.

At 9:24 am, the BSE Sensex was down 152 points, or 0.19 per cent, at 81,221.39, while the NSE Nifty slipped 36.40 points, or 0.16 per cent, to 24,680.40.

Despite the weak opening in frontline indices, broader markets witnessed buying interest. The Nifty Midcap 100 index gained 167.85 points, or 0.29 per cent, to reach 57,943.40, and the Nifty Smallcap 100 index was up by 107.85 points, or 0.60 per cent, at 18,202.05.

Sectorally, gains were led by auto, PSU banks, pharma, metal, realty, and media stocks. On the other hand, financial services, FMCG, energy, and private bank sectors saw some pressure.

Among the Sensex constituents, Tata Steel, Mahindra & Mahindra, IndusInd Bank, Tata Motors, Asian Paints, and Zomato emerged as top gainers. Meanwhile, L&T, Bajaj Finance, Bharti Airtel, Hindustan Unilever, ICICI Bank, Axis Bank, and Maruti Suzuki were among the major laggards.

Most Asian markets traded higher, with Tokyo, Shanghai, Jakarta, and Hong Kong contributing to the regional gains.

Analysts noted that the market is currently in a consolidation phase, where indices tend to trade within a defined range. “Buy on dips is the most suitable strategy in the current scenario,” said V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services. “Amid global uncertainty related to geopolitics, tariffs, and trade, markets are likely to remain volatile.”

On the technical front, Nifty is expected to find immediate support at 24,700, followed by 24,600 and 24,500 levels. Resistance is seen near 24,800, with further upside barriers at 24,900 and 25,000.

In terms of institutional activity, foreign institutional investors (FIIs) continued to reduce their exposure for the second straight session on June 2, offloading equities worth ₹2,589 crore. In contrast, domestic institutional investors (DIIs) maintained their buying streak for the tenth day, investing ₹5,313 crore on the same day.

-IANS

June 3, 2025
MIL-OSI United Kingdom: Independent Water Commission publishes interim findings
Source: United Kingdom – Government Statements

Press release

Independent Water Commission publishes interim findings

Interim report sets out scale of change needed to reform water sector
The interim findings from the Independent Water Commission have been published today (Tuesday 3 June) ahead of its final report this summer.

Sir Jon Cunliffe, Chair of the Commission, has set out five areas where he believes wide-ranging and fundamental change is needed to reset the water sector in England & Wales.

These include clearer direction from government, stronger regulation of water companies, bringing decisions on water systems closer to local communities, and greater focus on responsible, long-term investors.

The Commission’s full conclusions and detailed recommendations will be published later in the summer. This interim report sets out the Commission’s preliminary conclusions and direction of travel; several key decisions will be covered in the final report.

The findings are informed by the Commission’s Call for Evidence, which ran from 27 February – 23 April and received more than 50,000 responses from the public, campaigners, industry, the regulators and many others.

Sir Jon Cunliffe said:

“There is no simple, single change, no matter how radical, that will deliver the fundamental reset that is needed for the water sector.

“We have heard of deep-rooted, systemic and interlocking failures over the years – failure in Government’s strategy and planning for the future, failure in regulation to protect both the billpayer and the environment and failure by some water companies and their owners to act in the public, as well as their private, interest.

“My view is that all of these issues need to be tackled to rebuild public trust and make the system fit for the future. We anticipate that this will require new legislation.”

The five areas are:

1.Strategic Direction & Planning

At a government level, there needs to be clearer, long-term direction on what it wants from the water system. We want clean and healthy waterways and we need to balance the different pressures on water – from the water industry, agriculture, energy, transport and development – and take account of cost. This requires government to set out its priorities and timescales for the system much more clearly than it does at present.

Our water systems – rivers, aquifers and coasts – need much better planning and coordination at a regional level. The Commission is considering options to move from the complex planning process we have now to a regional “systems planning” approach in England, bringing better coordination with local authorities and a stronger voice for local communities. It means bringing decisions on water systems, such as where new infrastructure is built or how pollution from different sources should be tackled, closer to the communities who depend on them.

2.Legislative framework

Water legislation has evolved in a piecemeal fashion over a long period of time – there are currently around 80 pieces of legislation covering the sector. As a result, the legislative framework for water is complex, inconsistent in places and very difficult to navigate.

The Commission sees a strong case for review, rationalisation and consolidation of existing legislation, to simplify the framework, to create greater flexibility for regulators, and to update standards and broaden objectives. This could include new objectives around public health given the growing recreational use of water.

3.Regulatory reform

The Commission believes a fundamental strengthening and rebalancing of Ofwat’s regulation is needed with the introduction of a ‘supervisory’ approach, as found in sectors such as financial services. The current model relies heavily on ‘comparability’ – benchmarking companies against one another to assess efficiency and justify customer bills. A ‘supervisory approach’ means a deeper understanding of circumstances and finances to enable intervention early before issues arise, as well as supporting companies when they are going in the right direction.

On environmental regulation, the Commission is clear that we need to equip a more capable regulator, with the right technology and skills, a stable and consistent approach to funding, and the flexibility to enable innovative solutions that deliver the greatest environmental benefits.

Much of the friction, cost and complexity in the regulatory system comes from the way in which economic and environmental regulators with different remits interact. The Commission is considering options for significant streamlining and alignment of the regulators to address this. It will make its recommendations in its final report.

4.Company Structures, Ownership, Governance and Management

The Commission is looking at the ownership, governance and management of private water companies and whether more needs to be done to support transparency and accountability, which could include stronger duties for management. Further recommendations will follow in the final report.

On ownership, the Commission is clear that the water industry should aim to attract and retain long-term investors seeking low risk, low return investment. This will require restoring investor confidence in the predictability and stability of the regulatory system.

5.Infrastructure & Asset Health

There is not sufficient understanding of the health and resilience of the water industry’s asset base – its pipes, water treatment plants and pumping stations. Assets have not been, and have not been required to be, fully mapped and there is variation between companies in how they assess asset health.

The Commission is considering new infrastructure resilience standards at a national level, as well as requiring companies to assess and report asset health, at set intervals, to regulators. This means companies do not just fix failures when they fail, but responsibly plan for the long-term condition and resilience of these critical assets.

Sir Jon Cunliffe continued:

“I have heard a strong and powerful consensus that the current system is not working for anyone, and that change is needed. I believe that ambitious reforms across these complex and connected set of issues are sorely needed.

“I have been encouraged to see, on all sides of the debate, that people have been prepared to engage constructively with our work; I look forward to that continuing as we enter the final stages.”

The Independent Water Commission was announced by the UK and Welsh governments in October 2024. It is operating independently of UK and Welsh Ministers.

It is supported by an advisory group, with leading voices from areas including the environment, public health and investment.

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Published 3 June 2025
MIL OSI United Kingdom –
June 3, 2025
MIL-OSI USA: Attorney General Bonta Issues Statement on Ongoing Tariffs Lawsuit: California Will Keep Fighting on All Fronts

Source: US State of California

Monday, June 2, 2025

Contact: (916) 210-6000, agpressoffice@doj.ca.gov

OAKLAND — California Attorney General Bonta today issued a statement after a judge granted California’s request for dismissal to allow it to appeal its case challenging the Trump Administration’s illegal tariffs following a hearing last week. The hearing centered around the Trump Administration’s motion asking that the case be transferred to the Court of International Trade — a motion that California opposed. Rather than transferring the case to the Court of International Trade, California asked the judge to dismiss the case for the purpose of seeking appellate review of the question about where this case should be brought. The dismissal today keeps the case in California and allows California to appeal to the Ninth Circuit, which it plans to do immediately.

“Today, our lawsuit challenging the Trump Administration’s disastrous and illegal tariffs was allowed to remain in California pending our incoming appeal. We strongly believe this case belongs in federal district court and are pleased the court considered our wishes in dismissing this case so we have the opportunity to seek review. Our argument is straightforward: Trump doesn’t have the authority to impose these destructive tariffs — the International Emergency Economic Powers Act simply does not authorize tariffs,” said Attorney General Bonta. “We remain confident in the strength of our case and look forward to continuing to fight for California’s vibrant economy, businesses, workers, and families.”

On April 16, Attorney General Bonta and Governor Newsom filed a lawsuit challenging President Trump’s unlawful use of power to impose tariffs without the consent of Congress. Attorney General Bonta and Governor Newsom also filed an amicus brief in the Court of International Trade in Oregon v. Trump, a case challenging President Trump’s illegal imposition of tariffs. The tariffs challenged under California’s current lawsuit are projected to cost California consumers $25 billion dollars and result in the loss of over 64,000 jobs. The totality of the Trump Administration’s tariff regime is expected to cost households approximately $40 billion.

A copy of the order can be found here.

# # #

MIL OSI USA News –

June 3, 2025
MIL-OSI Australia: Reebelo Australia pays penalties for alleged false or misleading statements about consumer guarantee rights
Source: Australian Ministers for Regional Development

Reebelo Australia, an online marketplace for new and refurbished electronics, has paid $59,400 in penalties after the ACCC issued it with three infringement notices for allegedly making false representations about the effect of consumer guarantee rights in contravention of the Australian Consumer Law (ACL).

The infringement notices relate to statements made on Reebelo Australia’s website that purported to limit consumers’ ability to access their consumer guarantee rights by putting a 14-day time limit on:
- A consumer’s ability to receive a remedy for faulty or damaged goods,
- A consumer’s ability to receive a remedy for goods received that were not in a condition that matched the description of the purchased product, and
- A consumer’s ability to receive a remedy where they had received a different model of a product than what they had ordered.
“Under the Australian Consumer Law, consumers automatically have basic rights when buying products and services, known as consumer guarantees. These rights cannot be taken away by anything a business says or does,” ACCC Deputy Chair Catriona Lowe said.

“If a business fails to meet these guarantees, consumers have a right to a remedy if they return products that do not comply with consumer guarantees within a reasonable time, which may be more than 14 days. It is against the law for a business to mislead consumers about their right to a suitable remedy.”

The ACCC alleges that the representations made by Reebelo Australia were false and misleading as under the ACL consumers may be entitled to a remedy regardless of whether 14 days had passed since the product was received.

“Given the products that Reebelo Australia sells are often refurbished high-end electronic products such as laptops or mobile phones, we are concerned that consumers may have faced financial harm from this conduct,” Ms Lowe said.

The ACCC received a number of complaints from consumers who reported difficulties obtaining a remedy from Reebelo Australia for faulty or wrong products.

“The ACCC closely monitors the complaints we receive from consumers, and we will continue to take appropriate action against businesses who do not comply with the Australian Consumer Law.”

”We encourage all businesses, including online marketplace retailers, to review their polices to ensure they are complying with the law,” Ms Lowe said.

Separately, Reebelo Australia has agreed to several commitments as part of an administrative resolution, including amendments to its website, improvements to its online complaints handling processes, and various training and awareness measures to ensure future compliance with the ACL.

Background

Reebelo Australia operates as an online marketplace for new and refurbished products including phones and laptops, home appliances, power tools and health and beauty products. It is located in Sydney, NSW.

Reebelo Australia acts as an intermediary platform where third-party suppliers list products for sale on Reebelo Australia’s website.

Internationally, Reebelo was launched in Singapore in October 2019 with headquarters in California. The parent company is based in Singapore with offices in Australia, the United States, Canada, Malaysia, New Zealand and Hong Kong.

Note to editors

The ACCC can issue an infringement notice when it has reasonable grounds to believe a person or business has contravened an infringement notice provision of the ACL.

The payment of a penalty specified in an infringement notice is not an admission of a contravention of the ACL. The ACL sets the penalty amount.

MIL OSI News –
June 3, 2025
South Koreans vote for president in hope of restoring stability after martial law crisis

Source: Government of India

Source: Government of India (4)

South Koreans were voting for a new president on Tuesday to cap six months of turmoil triggered by a shock martial law briefly imposed by former leader Yoon Suk Yeol that marred the country’s reputation as a vibrant, if at times chaotic, democracy.

The new leader will face the challenge of rallying a society deeply scarred by the attempt at military rule and an export-heavy economy reeling from unpredictable protectionist moves by the United States, a major trading partner and a security ally.

Turnout is expected to be high with polls open between 6 a.m. (2100 GMT Monday) until 8 p.m. following early voting when more than a third of the 44.39 million eligible voters cast their ballots.

As of 11 a.m., 8.1 million people, or just over 18% of the electorate, had voted at 14,295 polling stations around the country, according to the National Election Commission.

Leading candidates ended three weeks of official campaigning late on Monday, crisscrossing the country before converging on Seoul for final rallies, as they vowed to put months of turmoil behind them and breathe new life into an ailing economy.

Both liberal frontrunner Lee Jae-myung and his conservative rival Kim Moon-soo have pledged change for the country, saying a political system and economic model set up during its rise as a budding democracy and industrial power are no longer fit for purpose.

Their proposals for investment in innovation and technology often overlap, but Lee advocates more equity and help for mid-to-low-income families while Kim has campaigned on giving businesses more freedom from regulations and labour strife.

Overshadowing any social policy initiatives, however, is Yoon’s botched attempt to impose martial law that has loomed large over the poll.

Lee has called the election “judgment day” against Kim and his People Power Party accusing them of having condoned the martial law attempt by not fighting harder to thwart it and even trying to save Yoon’s presidency.

Kim was Yoon’s labour minister when the former president declared martial law on December 3.

The conservative Kim, on the other hand, has branded Lee a “dictator” and his Democratic Party a “monster,” warning if the former human rights lawyer becomes president, nothing will stop them from working together to amend laws simply because they do not like them.

‘POLARISED’

The frontrunner Kim and his rival Lee cast their ballots during early voting last week. Yoon and his wife voted at a school near their private residence on Tuesday, appearing relaxed but ignoring questions as they left the polling station.

Regular voters in Seoul urged the next leader to ease discord and restore stability and address urgent challenges from the fallout of the crisis that have touched their families personally.

“The economy has gotten so much worse since December 3, not just for me but I hear that from everybody,” Kim Kwang-ma, 81, said. “And we as a people have become so polarised… and I wish we could come together so that Korea can develop again.”

Lee is favoured to win, according to polls released a week before the vote, leading Kim by 14 percentage points with 49% public support in a Gallup Korea survey, although Kim had narrowed an even wider gap at the start of the campaign on May 12.

Exit polls conducted by three television networks will be released at the close of the polls at 8 p.m. Ballots will be sorted and counted by machine first, then triple-checked by election officials by hand to verify accuracy.

It was not clear when the result would emerge. In 2022, Lee conceded to Yoon at around 3 a.m. the day after the vote in the closest presidential race in the country’s history, which was decided by a margin of less than 1 percentage point.

The National Election Commission is scheduled to certify the result on Wednesday and the winner’s inauguration is expected within hours. There will be no presidential transition as the office has remained vacant since Yoon was impeached by parliament and then removed by the Constitutional Court on April 4.

(Reuters)

June 3, 2025

MIL-OSI Banking: Money Market Operations as on June 02, 2025

Source: Reserve Bank of India


(Amount in ₹ crore, Rate in Per cent)

	Volume (One Leg)	Weighted Average Rate	Range
A. Overnight Segment (I+II+III+IV)	5,92,508.67	5.67	0.01-6.75
I. Call Money	13,896.23	5.79	4.85-5.85
II. Triparty Repo	4,00,348.25	5.66	5.35-5.73
III. Market Repo	1,76,824.99	5.67	0.01-6.75
IV. Repo in Corporate Bond	1,439.20	5.88	6.85-6.75
B. Term Segment
I. Notice Money**	230.90	5.72	5.50-5.80
II. Term Money^@@	535.00	–	6.15-6.15
III. Triparty Repo	2,950.00	5.76	5.75-5.80
IV. Market Repo	600.00	6.04	6.04-6.04
V. Repo in Corporate Bond	0.00	–	–

	Auction Date	Tenor (Days)	Maturity Date	Amount	Current Rate / Cut off Rate
C. Liquidity Adjustment Facility (LAF), Marginal Standing Facility (MSF) & Standing Deposit Facility (SDF)
I. Today’s Operations
1. Fixed Rate
2. Variable Rate^&
(I) Main Operation
(a) Repo
(b) Reverse Repo
(II) Fine Tuning Operations
(a) Repo	Mon, 02/06/2025	1	Tue, 03/06/2025	5,150.00	6.01
(b) Reverse Repo
(III) Long Term Operations^{^}
(a) Repo
(b) Reverse Repo
3. MSF^#	Mon, 02/06/2025	1	Tue, 03/06/2025	1,109.00	6.25
4. SDF^Δ#	Mon, 02/06/2025	1	Tue, 03/06/2025	2,92,229.00	5.75
5. Net liquidity injected from today’s operations [injection (+)/absorption (-)]*				-2,85,970.00
II. Outstanding Operations
1. Fixed Rate
2. Variable Rate^&
(I) Main Operation
(a) Repo
(b) Reverse Repo
(II) Fine Tuning Operations
(a) Repo
(b) Reverse Repo
(III) Long Term Operations^{^}
(a) Repo
(b) Reverse Repo
3. MSF^#
4. SDF^Δ#
D. Standing Liquidity Facility (SLF) Availed from RBI^$				8,594.62
E. Net liquidity injected from outstanding operations [injection (+)/absorption (-)]*				8,594.62
F. Net liquidity injected (outstanding including today’s operations) [injection (+)/absorption (-)]*				-2,77,375.38
G. Cash Reserves Position of Scheduled Commercial Banks
(i) Cash balances with RBI as on		June 02, 2025		9,54,329.81
(ii) Average daily cash reserve requirement for the fortnight ending		June 13, 2025		9,41,551.00
H. Government of India Surplus Cash Balance Reckoned for Auction as on^¥		June 02, 2025		5,150.00
I. Net durable liquidity [surplus (+)/deficit (-)] as on		May 16, 2025		3,48,763.00
^@ Based on Reserve Bank of India (RBI) / Clearing Corporation of India Limited (CCIL).
– Not Applicable / No Transaction.
** Relates to uncollateralized transactions of 2 to 14 days tenor.
^@@ Relates to uncollateralized transactions of 15 days to one year tenor.
^$ Includes refinance facilities extended by RBI.
^& As per the Press Release No. 2019-2020/1900 dated February 06, 2020.
^Δ As per the Press Release No. 2022-2023/41 dated April 08, 2022.
* Net liquidity is calculated as Repo+MSF+SLF-Reverse Repo-SDF.
^¥ As per the Press Release No. 2014-2015/1971 dated March 19, 2015.
^# As per the Press Release No. 2023-2024/1548 dated December 27, 2023.
^{^} As per the Press Release No. 2025-2026/91 dated April 11, 2025.
Ajit Prasad Deputy General Manager (Communications)
Press Release: 2025-2026/460

MIL OSI Global Banks –

June 3, 2025

MIL-OSI China: Tiny dancers, timeless rhythms: children move to China’s cultural beat

Source: People’s Republic of China – State Council News

At only six years old, Zhuang Enqi is already on the road to mastering a centuries-old art — even if it means a long ride beneath the starry skies in Chaoshan, a region in south China’s Guangdong Province.

Zhuang Enqi practices Yingge dance in Yujiao Village of Guiyu Township, Shantou City, south China’s Guangdong Province, May 29, 2024. (Xinhua/Deng Hua)

The journey often lulls the little girl to sleep in the back seat of her father’s car, but as soon as they arrive, she perks up with excitement. “Yingge is fun,” she said.

At the Dragon Boat Festival on Saturday, Zhuang is set to perform Yingge — or “dance to the hero’s song” — in her home province. Dating back over 300 years, it blends theater, dance, and martial arts. With its forceful moves and bold, unrestrained style, Yingge remains one of the most festive and iconic traditions in the region.

Zhuang’s enthusiasm mirrors a growing trend among the youngest generation in the country, who are increasingly discovering joy and a sense of identity in the rhythm of traditional culture.

China has created a splendid civilization over millennia, but the hundred years following its military defeat in the 19th century were marked by humiliation, suffering, and a cultural decline.

In recent years, as China strives for national rejuvenation, the country has elevated its cultural confidence to an unprecedented level. True rejuvenation, it is believed, requires not only material strength, but also spiritual strength — with fine traditional culture seen as the root and soul of the nation.

The world’s second-largest economy has since poured resources into the fields of archaeology and cultural heritage. More museums and libraries have been built to preserve and showcase the nation’s rich legacy.

With International Children’s Day falling within the 2025 Dragon Boat Festival holiday, which runs through Monday, more children are likely to explore traditional culture with curiosity and wonder.

Children race “dragon boats” at a kindergarten in Nanning, south China’s Guangxi Zhuang Autonomous Region, May 28, 2025. (Photo by Ma Huabin/Xinhua)

On Friday, in Changsha, central China’s Hunan Province — the birthplace of a story behind the Dragon Boat Festival — more students tried their hand at crafting miniature dragon boats from wooden pieces.

Dragon boats are a hallmark of the festival in the region, celebrated with spirited races and the sharing of zongzi — sticky rice dumplings — in honor of Qu Yuan, a loyal statesman and patriotic poet from the State of Chu during the Warring States Period (475-221 B.C.)

While adults prepare their long, narrow boats for races, kids scurry nearby, lending their small hands and big cheers. Nearby, middle schoolers rehearse their paddle strokes in sync, gearing up for their turn on the water.

Chinese travel platform Tuniu predicts a boom in “traditional culture-plus-family” tourism during the three-day holiday. In Xi’an, northwest China’s Shaanxi Province, ticket sales for classical operas and puppet shows at one theater have surged 12.6-fold compared to the same period last year, according to another tourism platform Tongcheng Travel.

STRONGER IDENTITY

Generation Alpha, those born after 2010, is being raised in a time when traditional culture is more robustly preserved and proudly celebrated, said Xu Junxian, a member of Guangdong’s intangible cultural heritage protection panel.

From a young age, they immerse themselves in traditions like Yingge dance and dragon boat racing, forging a deep identification with their cultural heritage, Xu added. Zhuang is one notable example of this.

Born into a family with a legacy of Yingge, Zhuang often followed her father to rehearsals, where she watched the dancers leap, spin, and roar with infectious energy. At home, the living room tells its own story: a toy drum, a black-and-white miniature snake prop, and tiny sticks — all playful versions of Yingge dance props — are strewn about, shared between her and her younger sister.

In April 2024, the little girl charmed millions online as she was filmed spontaneously joining a Yingge parade on a street in Shantou — waving two sticks, dancing confidently, and roaring along to the beat of the drums.

Her cool gaze and sharp moves captivated the Yingge dancers, who exchanged handshakes and fist bumps with her. Later, she was invited to train on Friday or Saturday evenings with a prestigious troupe.

In Lixian County, Hunan, 11-year-old Jie Yutong joins his peers in chanting songs that local boatmen sang 500 years ago. Originally sung to rally the oarsmen braving rocky rapids, the songs have been adapted in pitch and technique for young singers.

Why sing these songs today, when engines have long replaced manual paddling? Jie offers a simple answer: “Before engines, boatmen had to paddle. Their hard work deserves to be remembered.”

Sometimes, children prove to be reliable custodians of traditional culture.

Jin Chenle, a fifth-grader from east China’s Zhejiang Province, recently made headlines after spotting a typo in an exhibition on a classical opera at a local museum.

He wrote to the provincial official in charge of cultural and tourism affairs, who not only corrected the mistake, but also sent Jin a handwritten letter of thanks. “I was surprised and excited,” Jin said. “They took it seriously.”

The new generation, growing up in the era of mobile internet, are not passive recipients in global cultural exchanges, but active participants and communicators, said Lian Si, vice president of the Central School of the Communist Youth League of China.

They are able to embrace diverse cultures from around the world while developing a keener appreciation for the unique appeal of Chinese culture, he added.

At the Suzhou Archaeological Museum in Jiangsu, east China, nine-year-old Xu Xuhan marveled at a delicate hairpin from an ancient tomb recreated to full scale. “I want to know how our civilization began,” said the third-grader.

Though she has yet to study history in school, her visits to exhibitions with her parents, including one on ancient Greece, have fueled her dream: “I hope to be an archaeologist.”

INNOVATIVE PRESENTATIONS

Lin Lunlun, former president of Hanshan Normal University in Guangdong and a scholar on cultural inheritance, attributed children’s fascination with cultural heritage to innovative presentation and interpretation.

Immersive festivals, digital museum tours, and trendy cultural programs have opened vibrant gateways for young audiences to connect with their roots, he noted.

Yingge exemplifies this transformation. Chen Pingyuan, a Guangdong native and Boya Chair Professor at Peking University, said, “When I was a kid, the dance wasn’t nearly as cool as it is now — they’ve mixed in elements from street dance.”

Modern-day Yingge dazzles with dynamic choreography, bold formations, and striking costumes and props — far surpassing its past iterations.

The troupe training Zhuang Enqi, for example, stands out with its vibrant branding and inclusive approach. Breaking from tradition, it welcomes members from outside the village and even provides free instruction.

In Zhuang’s hometown, a women’s Yingge troupe is redefining the traditionally male-dominated art form, drawing inspiration from legendary heroines like Hua Mulan. Their graceful yet powerful routines radiate a fierce spirit that rivals any warrior’s.

“I’ll dance until I’m 100,” Zhuang declared.

MIL OSI China News –

June 3, 2025
MIL-OSI Australia: Joining the Dots: Exploring Australias Economic Links With the World Economy
Source: Airservices Australia

Introduction

I’d like to begin by acknowledging the Traditional Owners of the land on which we meet today, the Yuggera and Turrbal people of Meanjin and pay my respects to Elders past and present.

And thank you to the Economic Society of Australia [Queensland Branch] for giving me this opportunity to talk to all of you.

I’m sure many are familiar with the Lenin quote ‘There are decades where nothing happens; and there are weeks where decades happen’. It certainly feels like the last few months fit into the latter category. The broad-based nature of the proposed US tariffs, retaliation from major partners and other policy shifts all have the potential to structurally alter the world economy. As recently discussed by our Deputy Governor Andrew Hauser, what happens overseas matters for the Australian economy and is therefore a key factor in monetary policy settings.

In the recently released Statement on Monetary Policy (SMP) we outlined our thinking on how recent developments will influence the Australian economy. To help us understand the implications for Australia, we have developed a framework that captures the key transmission channels and combined this with a set of alternative scenarios that flex key assumptions and judgements. Together they underpin our thinking about how this environment will flow through the global economy and how Australia is exposed. The key transmission channels we have identified are:
- Trade flows between countries are likely to realign, and over time multinational businesses could start moving production to different countries.
- Households and businesses in the countries that apply tariffs are likely to change what they consume, as some products become relatively more expensive, and as prices change more generally.
- Until it’s clearer where policy will settle, businesses and households are likely to become (understandably) more cautious, and potentially delay major decisions such as capital investment.
- Fiscal and monetary policy can respond, potentially helping to offset adverse impacts.
- Financial markets will respond by repricing all assets including equities, bonds, commodity prices and exchange rates. These moves impact financial conditions, which further impact firms’ and households’ decisions.
I will now discuss these channels in more detail, including how they are embodied in the scenarios in the May SMP.

Tariff policy and global trade flows

Economic theory and evidence suggest that higher global tariffs will put a drag on the global economy. This is true in both the short and long run, though here I’ll focus on the short run as that is what is most relevant for monetary policy.

For the country imposing them, tariffs are a tax on imports. In the short term, this makes imported goods more expensive and pushes up domestic prices, to the extent the tariff is not offset by lower profit margins in overseas producers and exchange rate adjustments. Higher import prices will mean less imports and shifts in demand towards locally produced products. But it takes time for domestic businesses to invest and expand, and for some products (such as raw materials) it may not be possible for domestic production to fill the gap. This means prices are likely to remain higher in the near term, which will reduce households’ purchasing power and therefore drag on business incentives to invest.

Collectively, domestic demand in the tariff-imposing country falls, all else equal. If households expect the tariffs to have a sustained effect on economic growth, and so their future incomes, they may also cut back further on spending today. For the countries that are subject to higher tariffs, they will weigh on export demand and in turn their broader economic conditions. Domestic stimulus may offset some of these effects; in the May SMP our baseline scenario assumes that China will support its economy through expansionary fiscal policy. But for both sets of countries, any net weakening in demand growth will spill over to their trading partners.

Overall weaker global growth would put near-term downward pressure on the prices of globally traded goods. For countries that are not imposing higher tariffs, such as Australia, this could flow into import prices, making products cheaper and lowering inflation. In the current episode, this ‘trade diversion’ channel could be amplified by the nature of the changes, in particular the US authorities’ focus on China. As a lynchpin of the global manufacturing supply chain, Chinese goods represent a large share of imports for many countries (including Australia). With the US market harder to access, Chinese producers could lower their prices and try to redirect their products to other markets.

But working in the other direction, the broad-based nature of the increase in tariffs and increased use of non-tariff barriers such as export bans could create a new bout of supply chain disruptions. By increasing the cost of intermediate inputs that cross borders, such as commodities, machinery and equipment and components, tariffs could potentially lift the cost of production globally. This could push up consumer prices in all countries, particularly for more complex products, such as cars, whose components are sourced from a wide range of countries.

Our current baseline scenario assumes that, overall, the weaker global growth environment will moderately dampen prices for tradable goods, all other things equal. That is, we expect weaker demand to outweigh the inflationary impact of any supply chain disruptions. We will be monitoring global trade flows and inflation data closely in the coming months to assess whether this judgement is correct.

Uncertainty’s drag on economic activity

Aside from the effects of changes to global trade that I’ve talked about so far, the unpredictability of where tariffs will settle and changes to other policy settings has the potential to create significant uncertainty, both around the nature of the policies themselves as well as their impact. And there is ample research showing that higher uncertainty can lead to declines in investment, output and employment.

Typically, higher uncertainty leads firms to delay decisions that are costly to reverse, like investment and hiring. This makes sense intuitively, because there is value in waiting to see how things are playing out before making a decision that is (at least partially) non-reversable – something often referred to as ‘real options’ value. These ideas are borne out in the historical data. Research suggests that the negative impacts of higher policy uncertainty – including trade policy – are largest for businesses, as they typically pull back on investment. Some studies find higher uncertainty also has a measurable impact on household consumption, but this is typically more modest.

Uncertainty is a bit of a slippery concept and there are lots of different ways of trying to measure it, but the graph below shows two (Graph 1). One – the global economic policy uncertainty index – is based on the number of news articles that talk about policy uncertainty. The other – the VIX – is a measure capturing how uncertain markets are about near-term equity prices. Both show a sharp rise in uncertainty recently, though the VIX index has declined in recent weeks.

If we see businesses and households respond as they have in the past, then the current level of uncertainty will weigh materially on global activity. But the unpredictability and unprecedented nature of the current situation makes it hard to be precise on the size of the impact. In the SMP we have tackled this by using alternative scenarios that capture smaller and larger responses to uncertainty. The baseline scenario assumes a relatively modest drag, the trade peace scenario no significant drag, and the trade war scenario a substantial pull back in activity. Going forward we will be monitoring carefully which assumption is closest to how things unfold.

Financial markets’ response

This brings us neatly to financial markets. Movements in global asset prices after the United States announced its tariffs on April 2 capture how financial market participants initially evaluated their likely impact, and these movements broadly aligned with the channels I’ve already discussed. Equity prices declined sharply – particularly in the United States – at least in part reflecting expectations for the direct impact of the tariffs and the indirect impact via slower economic growth on company earnings. Expectations of lower future growth also meant that expectations for future central bank policy rates declined, which flowed through to bond yields (Graph 2).

At the same time, increased uncertainty and risk led investors to require larger risk premia to hold risky assets. This was reflected in increased spreads on corporate bonds, and some increases in equity risk premia that put further downward pressure on equity prices (Graph 3). In other words, investors wanted more compensation for holding riskier assets.

Some of these movements unwound in the following weeks after pauses in implementation of some tariffs. As of 30 May, financial market participants appear to be pricing in some downside risk to global growth, but they are no longer pricing in a material economic downturn. Consistent with this, expectations for central bank rate cuts have also been pared back.

Still, there remains a risk that further changes to tariffs or other policy settings, or actual economic outcomes prompt financial markets to downgrade the outlook, which leads risky asset prices to fall sharply. If this were to occur, it would lead to a more sustained tightening in financial conditions, which would make it more expensive for businesses in particular to borrow or raise funds for investment. This outcome is embodied in the trade war downside scenario we presented in the May SMP and is a significant amplifier of the initial shock generated by the sharp hike in tariffs.

Exchange rates

One financial market that deserves some deeper discussion is the exchange rate. When the outlook for global growth weakens, the Australian dollar typically depreciates (falls in value) as investors expect our economy to be buffeted by the global headwinds and the RBA to respond with cuts to the cash rate. This makes our exports cheaper in foreign currency terms, which offsets some of the effect of weaker global demand.

An additional driver of the Australian dollar in times of uncertainty is its status as a ‘risk-sensitive’ currency. When global investors are worried, they tend to focus on reducing risk exposure, moving their capital to low-risk assets in countries like the United States, Switzerland and Japan. This means the Australian dollar tends to lose value against these currencies, over and above the depreciation linked to weaker growth and expected cuts in the cash rate. This dynamic partly explains the movements during the global financial crisis (GFC) when the Australian dollar declined very sharply, even though the Australian economy was much less exposed to the global downturn (Graph 4).

While the initial response of the Australian dollar during the current episode was in line with historical experience, the recent recovery against the US dollar in particular has been more unusual (Graph 5). The exchange rate has been volatile over recent months, but on a trade weighted basis is overall little changed in response to global events. It has appreciated against the US dollar (and therefore also the Chinese renminbi and other currencies pegged to the US dollar) but depreciated against most other major currencies.

This appears to reflect some offsetting factors. Concerns about the growth outlook and related ‘risk-off’ dynamics contributed to the Australian dollar’s depreciation relative to several other currencies. But at the same time some investors have reduced their exposure to US assets, leading to broad US dollar weakness.

The weakness in the US dollar during a period of heightened risk is in contrast with many previous episodes, though it’s too early to know whether this dynamic will continue. The return of the trade weighted index to its pre-shock value means that, on average, the price of our exports in foreign currency terms hasn’t changed. But the relative move of capital towards Australian assets compared to the United States reflects an increase in capital inflows, which could support domestic investment activity. We’ll be monitoring how these channels play out over time.

The economy’s exposure to the current episode

Trade flows linkages

As previously outlined, when global conditions deteriorate and uncertainty increases Australia’s exports typically benefit from the currency depreciating, as this improves competitiveness. Although this channel may be less pronounced than in other episodes, Australia’s exporters are relatively well-placed to weather the storm.

The fundamentals underpinning our exports make it likely that in volume terms at least they’ll be less impacted than other countries. Higher US tariffs on Australian exports are unlikely to have a material direct impact as Australian exports to the United States only account for around 1.5 per cent of Australian GDP, a low share compared with other countries (Graph 6).

Furthermore, the structure and composition of Australia’s exports will potentially provide an additional buffer to export volumes. Resources make up 75 per cent of Australian good exports, and despite the exposure of China and other resource intensive countries to the tariff shock, we might expect export volumes to remain resilient in the short run.

This is because Australia’s resource export volumes are less sensitive to movements in global demand than other exports as we are a relatively low-cost producer of bulk commodities like iron ore. You can see this on this chart, where most Australian iron ore miners sit on the lower left end of the production cost curve (Graph 7). Short-run declines in commodity prices tend to lead to reduced volumes from other higher cost producers, while Australian producers feel the impact via lower prices and so earnings.

So far, the current episode has not seen a sharp correction in Australia’s key commodity prices, underpinned by a relatively positive outlook for China. This view assumes that the Chinese authorities will support their economy through fiscal stimulus and is embodied in our baseline scenario, with the downside trade war scenario encapsulating a correction. If this were to occur the income flows from commodity exports would fall significantly.

By contrast, trade in services, which comprise around 20 per cent of Australian exports to the world, are more responsive to changes in global demand and the exchange rate. We can see this in the below chart, which shows historically how movements of services export volumes have correlated with changes in the real exchange rate, a measure of competitiveness (Graph 8). In the years following the GFC, the appreciation and depreciation in the exchange rate contributed to a decline and then strong rebound in services export volumes.

Trade in services tends to react more strongly because some exported services tend to be easier to substitute and more discretionary. Travel services, for example tourism, are a key Australian export that might be affected by recent developments. Weaker global growth is likely to dampen demand, but any exchange rate depreciation will make Australia a more attractive destination. Simultaneously, travel service imports (i.e. outward tourism) may decline if the Australian dollar depreciates; holidaying overseas will become more expensive than taking a trip locally.

Uncertainty dampener on households and businesses

While key parts of Australia’s export volumes may be relatively resilient to global demand conditions and uncertainty, domestic demand is unlikely to be completely insulated. As discussed earlier, greater uncertainty about the future can lead households and businesses to save instead of spending and investing, and this is likely to be the case for Australian households and businesses too. And increased borrowing costs and risk premia in global financial markets are likely to spill into domestic markets, further weighing on activity.

Previous research by RBA economist Angus Moore found exactly this. Higher global uncertainty has a large negative effect on Australian business investment, while the negative effect on consumption is more modest (Graph 9). Though the magnitude of these effects is itself very uncertain, this does suggest that global uncertainty may weigh substantially on domestic activity if uncertainty remains elevated. As with all of the other channels, we explore different assumptions for the size of this channel in the scenarios in the May SMP.

Putting it all together for policy

So how will the current unpredictable and uncertain global environment transmit through to the Australian economy? The short answer is we can’t be completely sure. The framework I have outlined identifies what we think are the key transmission channels, and we have used scenarios to simulate different alternatives. Within this range, the baseline forecast is for recent global developments to contribute to slower economic growth in Australia and a slightly weaker labour market. We also anticipate that, overall, the price of tradable goods will be slightly dampened. Together, these two outcomes mean that inflation is forecast to be a little lower than at the February SMP, settling around the midpoint of the 2–3 per cent target range.

This forecast is based on several judgements, and assumptions about the potency of the transmission channels I have discussed today. These include how tariff policies evolve, how fiscal and monetary authorities around the world respond, whether trade diversion reduces the price of imports or global supply chains become heavily disrupted, and how much uncertainty weighs on economic activity.

By using the framework and scenarios together we have anchored our thinking and cut through some of the uncertainty about the outlook. These were provided to the Monetary Policy Board to help inform their decision-making; taking all the information into account and considering the risks to the outlook, they decided to cut the cash rate by 25 basis points.

What will happen from here? Going forward, the RBA will continue to monitor domestic and international outcomes and global policy developments. Benchmarking these against the scenarios in the May SMP will help us identify the scenario that best reflects current conditions and the outlook, enabling the Board to adjust policy settings accordingly.

MIL OSI News –
June 3, 2025
MIL-OSI New Zealand: International visitor spending on the up

Source: New Zealand Government

New data showing international visitor spending increased by almost ten per cent on the previous year is welcome news, Tourism and Hospitality Minister Louise Upston says.

“Tourism is our second highest export earner and today’s results show just how important the sector is to unleashing economic growth in New Zealand,” Louise Upston says.

International Visitor Survey results show for the year ending March 2025, international tourism contributed $12.2 billion to New Zealand’s economy, up 9.2 per cent compared to the previous year.

This reflects an increase of 4.3 per cent in international visitor arrivals, with 3.32 million visitors coming to New Zealand, up from 3.18 million in 2024.

“In real terms, that means more bookings in our restaurants, more reservations at local accommodation and visitor experience providers, more people visiting our regions and attractions, more jobs being created across the country, and an overall stronger economy.”

When adjusted for inflation, this equates international spending to $9.7 billion or 86 per cent of pre-pandemic levels.

“The growth in visitor numbers and spending is very encouraging but there is still more work to do to ensure tourism and hospitality can really thrive,” Louise Upston says.

“Amongst other initiatives, the Government announced a $20.4 million Tourism Boost package this year to help drive visitor numbers.

“New Zealand is open for business, and we look forward to welcoming more visitors to our beautiful country.”

Full details of the survey findings are available on the MBIE website: International Visitor Survey (Quarterly) – Tourism Evidence and Insights Centre

MIL OSI New Zealand News –

June 3, 2025
MIL-OSI New Zealand: Working with third-party providers: understanding your privacy responsibilities
Source: Privacy Commissioner

26 Nov 2024, 16:00

Download a printable A4 PDF version of this chart.

On this page:

Working with third-party providers
Who is this guidance for?
Your organisation is responsible for your personal information when stored or processed by a third-party provider
What do we mean by third-party provider?
Before using a third-party provider
Example of a section 11 situation
Protecting personal information once you’ve chosen a third-party provider
Other things to consider

Working with third-party providers: understanding your privacy responsibilities

Your responsibility for the personal information stored or processed by a third-party provider comes from Section 11 of the Privacy Act.

Personal information is any information which tells us something about a specific individual. People’s names, contact details, financial, health and purchase records can all be personal information. The information doesn’t need to name the individual, if they are identifiable in other ways, like through their home address or another identifier, or if their identity could be pieced together. Read more about what we mean by personal information.

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Who is this for?

This guidance is for organisations who are thinking about using a third-party provider, or those who already do. If you use a third-party provider to store or process personal information on your behalf, you are still responsible for what happens to that information.

This guidance explains what you must think about when you are choosing a third-party provider and what your ongoing responsibilities are. We have a wider suite of guidance ‘Poupou Matatapu’ to find out more about how to ‘do privacy well’ and what good privacy practice looks like.

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Your organisation is responsible for your personal information when stored or processed by a third-party provider

The key thing to remember is that you remain responsible for personal information that you send to a third-party provider.

What do we mean by third-party provider?
‘Third-party’ means an organisation external to your organisation.

‘Third-party provider,’ also known as a ‘third-party’ or ‘service provider,’ is a broad term that can be applied to a range of external organisations that provide services to your organisation, such as storing or processing information on your organisation’s behalf. Software as a Service (SaaS) or cloud service providers are a classic example. However, there is a wide range of other third-party providers you might contract with who may need to store or process personal information provided by your organisation to deliver their service to you.

For example, you might:
- Share employee pay information with an external payroll provider or accountant.
- Contract a company to collect information for a survey.
- Use another organisation to provide personalised services for your customers.
- Use an intermediary platform that shares the information with other third parties.
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Before using a third-party provider
Before you engage a third-party provider, you need to understand:
- What types of personal information you’ll share with them, or they’ll collect on your behalf.
- What they will do with it.
Do they need personal information?

First, understand whether your organisation needs to provide personal information to the third-party provider at all. You should consider if you can achieve the results you want from a third-party provider without providing any personal information.

For example, your organisation might like to use a third-party marketing agency to provide advertising services. Marketing agencies can offer a range of services, from sourcing advertising on billboards or online advertising (which would not require any personal information), to using the information collected from an organisation’s existing customer database to create marketing strategies (which might require personal information, depending on the task).

Think about whether supplying aggregated, non-personal information might enable the marketing agency to perform the service adequately.
Please note: when changing the way you use clients’ or staff’s personal information, you need to assess the privacy risk and make sure you’re being transparent through your privacy statement to reflect any changes in use of personal information. We have guidance on how to improve your privacy transparency. We also have a PIA toolkit available to help assess the privacy risks.

What kind of personal information is it?

It’s important to understand the level of privacy risk that you’ll need to manage with your third-party provider. We have guidance on different kinds of personal information that may carry higher privacy risk, such as where the information is sensitive or confidential.

For example, an organisation might employ the use of a third-party software provider to manage their payroll. Information required to process payroll can be sensitive, such as bank account and IRD numbers. Appropriate security measures need to be in place. We have guidance on handling sensitive information.

Due diligence

You will need to be confident that the information is protected wherever it is, and whatever organisation is handling it. Ask questions that enable you to have that confidence (this is normally referred to as ‘due diligence’), and ask those questions early, before you commit to using the provider.

Any subsequent contract with that provider should satisfactorily reflect the key protections that you expect to be in place. It should also require the third-party to ensure that any subcontractors or support agencies will equally protect the information. Your organisation needs to know whether the third-party provider will use or disclose the personal information that you provide for its own business purposes.

What will the third-party provider do with the information?

There are a range of services that third-party providers offer. Some third-party providers will merely store the information and some will process the information for you (for example, a service providing data analytics). Some may themselves use third-party services such as generative AI tools to store or process the information.

A key thing to understand is whether the third-party provider will use the information for their own purposes or not. Some examples of third parties using information for their own purposes could be when your information is used as AI training data or using the information you provide for services to other organisations.

If the third-party provider is storing or processing the information solely on your behalf (for example storing information as a cloud service) and will not use or disclose it for its own purposes, section 11 of the Privacy Act says that the third-party provider is not deemed to “hold” the personal information for the purposes of the Privacy Act. This also means that you are not “disclosing” the information to them, which means you do not need to worry about the Privacy Act’s disclosure principle (IPP 11). But as a result, your organisation remains fully responsible under the Privacy Act for what happens to that information. The third-party is “you” for the purposes of the Privacy Act.

If the third-party provider will use or disclose the information for its own purposes, as well as performing services for you, then both the third-party provider and your organisation will be deemed to “hold” that information for the purposes of the Privacy Act. That means you will both be responsible for the information in various ways depending on how it is being stored or used. Sharing personal information with that third-party provider could also be a “disclosure” and you will need to make sure that sharing the information is allowed under IPP11. IPP12 may also be relevant if the third-party provider is not based in New Zealand.

In addition, both your organisation and the third-party provider may be accountable if there is a privacy breach. This means that your organisation and the third-party provider need to have a plan to outline who will notify OPC and individuals affected in case there is a breach. We have guidance on who should notify OPC and affected individuals.

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Example of a section 11 situation: Wonder Bottling Ltd uses third-party Big Data Analytics

Wonder Bottling Ltd wants to use the third-party Big Data Analytics Ltd to run Wonder Bottling’s website. Big Data Analytics will store all website data, including personal information provided by customers to Wonder Bottling via web forms. It will also process the information stored and provided to the website to provide website analytics to Wonder Bottling Ltd.

Big Data Analytics is not using Wonder Bottling Ltd’s information for another purpose or service, such as using Wonder Bottling Ltd’s data insights to provide a service to another organisation. It is solely storing and processing information for Wonder Bottling Ltd. Under section 11, this means that Wonder Bottling Ltd is responsible for anything that happens to that information while it is being stored or processed by Big Data Analytics.

For instance, if Big Data Analytics is the subject of a notifiable privacy breach in relation to the personal information transmitted by Wonder Bottling, Wonder Bottling would be responsible for notifying the Office of the Privacy Commissioner (OPC) and affected individuals. In their agreement, Big Data Analytics should be required to inform Wonder Bottling about any breaches of that information so that Wonder Bottling can fulfil this requirement.

However, if Big Data Analytics were to change how it operates and start using that information for another purpose, Big Data Analytics would have its own obligations under the Privacy Act, such as responsibilities to make sure the information is accurate and fit for purpose under IPP8, and to use the information in line with IPP10.

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Protecting personal information once you’ve chosen a third-party provider

Since your organisation is legally responsible for anything that happens to the personal information that a third-party provider stores or processes for you (whether or not that third-party is also responsible), you should make sure that you have a robust agreement in place with them that requires them to keep the information safe and gives you a remedy when things go wrong.

What should be in an agreement with a third-party provider?

Security measures

An organisation needs to do everything within its power to prevent unauthorised use or disclosure of personal information. This means that your organisation needs to get assurances that the third-party provider has the appropriate security measures in place to protect any information it stores or processes on your behalf. The more sensitive the information is, the stronger those assurances may need to be.

Our guidance on security and access controls provides examples of the types of security measures the third-party provider should take to protect the personal information it stores. Your organisation may wish to seek regular reporting from the third-party provider on the effectiveness of the measures.

Individuals’ right to access and correct the information your organisation holds about them

The Privacy Act requires you to give people access to their personal information if they ask you to, and correct that information if it is wrong. There are also strict statutory timeframes for responding to requests. Those timeframes don’t change when the information is stored by a third-party rather than by you. You need to ensure that your agreement with the third-party provider includes provisions that make sure you can locate and retrieve information quickly, so you can meet your obligations.

Read our guidance on access and correction of personal information.

Reporting notifiable privacy breaches

The reporting of notifiable privacy breaches also needs to be factored into your agreement with a third-party provider, including how it will notify you of any breaches it has, and whether it will notify you of all breaches or only ones that it considers are notifiable. We strongly recommend that the contract requires the third-party provider to notify you of all breaches that affect the personal information it is storing or processing on your behalf, so that you can then decide what to do.

Your organisation will be responsible under the Privacy Act for reporting notifiable privacy breaches to the Office of the Privacy Commissioner so you need to be satisfied that the third-party provider will promptly notify you of breaches. The Office of the Privacy Commissioner generally expects to be told about notifiable breaches within 72 hours of the breach becoming known. That period starts when the third-party provider knows about the breach, not when they tell you, so it is important to make sure that you are told as soon as possible.

Poupou Matatapu has more information on notifiable privacy breaches, including the obligation to notify affected individuals.

Third-party compliance with the Privacy Act

Your agreement should make sure there are contractual obligations on the third-party provider to comply with all applicable privacy laws.

Disposal of personal information during and after the agreement

Organisations must not keep personal information for longer than they need. It’s important that your agreement outlines how long the third-party provider will store the personal information on your behalf. In short, the third-party provider should only retain the information for as long as you want it to and are permitted to yourself. Ideally, you should be able to delete the information yourself as retention periods are reached or your circumstances change.

The agreement should also outline what will happen to the information at the end of the agreement. Will it be transferred back to you? How will it be disposed of? Can the third-party provider give you assurances that the information has been permanently deleted (including from backups)? Poupou Matatapu has more guidance on retention and disposal in the Know your Personal Information Pou.

Assurance that the third-party provider will only use the personal information for delivering the services

Your agreement should include an assurance that the third-party provider will only use the personal information it stores or processes on your behalf to deliver the services you have requested, as outlined in the agreement. Remember, that if the third-party provider will be using or disclosing the information for its own purposes, the third-party will have its own obligations under the Privacy Act.

Checklist for what should be in your agreement with a third-party service provider:
1. Appropriate security measures.
2. Facilitation of access and correction requests.
3. Process and time frame for notifying you of privacy breaches, especially notifiable breaches.
4. Compliance with relevant privacy laws.
5. The third-party’s use of the information you provide.
Return to top.

Other things to consider
- If you’re sending personal information to a third-party provider to process, store, or use on your behalf, you need to make sure you are transferring the information securely. Poupou Matatapu has information on security and internal access controls.
- Use a Privacy Impact Assessment to assess and record the privacy risks associated with using a particular third-party provider. We have a PIA toolkit available to help.
- If you’re using a third-party provider based in another country, consider your practical ability to control your personal information and ensure it is being handled in line with the New Zealand Privacy Act.
- Consult with stakeholders or affected communities if the personal information is particularly sensitive, or where there are Māori data sovereignty implications.
Download a PDF version of this guidance.

Return to top.

MIL OSI New Zealand News –
June 3, 2025
MIL-Evening Report: ER Report: A Roundup of Significant Articles on EveningReport.nz for June 3, 2025

ER Report: Here is a summary of significant articles published on EveningReport.nz on June 3, 2025.

In her memoir, Jacinda Ardern shows a ‘different kind of power’ is possible – but also has its limits
Source: The Conversation (Au and NZ) – By Grant Duncan, Teaching Fellow in Politics and International Relations, University of Auckland, Waipapa Taumata Rau Getty Images Imagine getting a positive pregnancy test and then – just a few days later – learning you’ll be prime minister. In hindsight, being willing and able to deal with the

Google’s SynthID is the latest tool for catching AI-made content. What is AI ‘watermarking’ and does it work?
Source: The Conversation (Au and NZ) – By T.J. Thomson, Senior Lecturer in Visual Communication & Digital Media, RMIT University HomeArt/Shutterstock Last month, Google announced SynthID Detector, a new tool to detect AI-generated content. Google claims it can identify AI-generated content in text, image, video or audio. But there are some caveats. One of them

What parents and youth athletes can do to protect against abuse in sport
Source: The Conversation (Au and NZ) – By Fanny Kuhlin, PhD candidate in Sport Management (Sport Science), Örebro University Ron Alvey/Shutterstock From the horrific Larry Nassar abuse scandal in United States gymnastics to the “environment of fear” some volleyball athletes endured at the Australian Institute of Sport, abuse in sport has been well documented in

Astronomers thought the Milky Way was doomed to crash into Andromeda. Now they’re not so sure
Source: The Conversation (Au and NZ) – By Ruby Wright, Forrest Fellow in Astrophysics, The University of Western Australia Luc Viatour / Wikimedia, CC BY-SA For years, astronomers have predicted a dramatic fate for our galaxy: a head-on collision with Andromeda, our nearest large galactic neighbour. This merger – expected in about 5 billion years

Is the private hospital system collapsing? Here’s what the sector’s financial instability means for you
Source: The Conversation (Au and NZ) – By Yuting Zhang, Professor of Health Economics, The University of Melbourne lightpoet/Shutterstock Toowong Private Hospital in Brisbane is the latest hospital to succumb to financial pressures and will close its doors next week. The industry association attributes the psychiatric hospital’s closure to insufficient payments from and delayed funding

Trump’s steel tariffs are unlikely to have a big impact on Australia. But we could be hurt by what happens globally
Source: The Conversation (Au and NZ) – By Scott French, Senior Lecturer in Economics, UNSW Sydney Shestakov Dymytro/Shutterstock Just one day after the US Court of Appeals temporarily reinstated the Trump Administration’s Liberation Day tariffs of between 10% and 50% on nearly every country in the world, Trump announced tariffs on all US imports of

Tax concessions on super need a rethink. These proposals would bring much needed reform
Source: The Conversation (Au and NZ) – By Chris Murphy, Visiting Fellow, Economics (modelling), Australian National University fizkes/Shutterstock The federal government has proposed an additional tax of 15% on the earnings made on super balances of over A$3 million, the so-called Division 296 tax. This has set off a highly politicised debate that has often

The surprising power of photography in ageing well
Source: The Conversation (Au and NZ) – By Tricia King, Senior Lecturer in Photography, University of the Sunshine Coast Marcia Grimm Older adults are often faced with lifestyle changes that can disrupt their sense of place and purpose. It may be the loss of a partner, downsizing their home, or moving to residential aged care.

What birds can teach us about repurposing waste
Source: The Conversation (Au and NZ) – By David Farrier, Professor of Literature and the Environment, University of Edinburgh Some birds use deterrent spikes to make their nests. Chemari/Shutterstock Modern cities are evolution engines. Urban snails in the Netherlands and lizards in Los Angeles have developed lighter shells and larger scales to cope with the

Human Rights Watch warns renewed fighting threatens West Papua civilians
Asia Pacific Report An escalation in fighting between Indonesian security forces and Papuan pro-independence fighters in West Papua has seriously threatened the security of the largely indigenous population, says Human Rights Watch in a new report. The human rights watchdog warned that all parties to the conflict are obligated to abide by international humanitarian law,

Will surging sea levels kill the Great Barrier Reef? Ancient coral fossils may hold the answer
Source: The Conversation (Au and NZ) – By Jody Webster, Professor of Marine Geoscience, University of Sydney marcobriviophoto.com In the 20th century, global sea level rose faster than at any other time in the past 3,000 years. It’s expected to rise even further by 2100, as human-induced climate change intensifies. In fact, some studies predict

Pro-Trump candidate wins Poland’s presidential election – a bad omen for the EU, Ukraine and women
Source: The Conversation (Au and NZ) – By Adam Simpson, Senior Lecturer, International Studies, University of South Australia Poland’s presidential election runoff will be a bitter pill for pro-European Union democrats to swallow. The nationalist, Trumpian, historian Karol Nawrocki has narrowly defeated the liberal, pro-EU mayor of Warsaw, Rafał Trzaskowski, 50.89 to 49.11%. The Polish

Australia’s latest emissions data reveal we still have a giant fossil fuel problem
Source: The Conversation (Au and NZ) – By Emma Lovell, Senior Lecturer in Chemical Engineering, UNSW Sydney According to Australia’s Climate Change and Energy Minister Chris Bowen, the latest emissions data show “we are on track to reach our 2030 targets” under the Paris Agreement. In 2024, Australia’s greenhouse gas emissions were “27% below 2005

What is retinol? And will it make my acne flare? 3 experts unpack this trendy skincare ingredient
Source: The Conversation (Au and NZ) – By Laurence Orlando, Senior Lecturer, Product Formulation and Development, Analytical Methods, Monash University Irina Kvyatkovskaya/Shutterstock Retinol skincare products suddenly seem to be everywhere, promising clear, radiant and “youthful” skin. But what’s the science behind these claims? And are there any risks? You may have also heard retinol can

Pasifika recipients say King’s Birthday honours not just theirs alone
By Teuila Fuatai, RNZ Pacific senior journalist, Iliesa Tora, and Christina Persico A New Zealand-born Niuean educator says being recognised in the King’s Birthday honours list reflects the importance of connecting young tagata Niue in Aotearoa to their roots. Mele Ikiua, who hails from the village of Hakupu Atua in Niue, has been named a

Eugene Doyle: Writing in the time of the Gaza genocide
COMMENTARY: By Eugene Doyle I want to share a writer’s journey — of living and writing through the Genocide. Where I live and how I live could not be further from the horror playing out in Gaza and, increasingly, on the West Bank. Yet, because my country provides military, intelligence and diplomatic support to Israel

Decades of searching and a chance discovery: why finding Leadbeater’s possum in NSW is such big news
Source: The Conversation (Au and NZ) – By David Lindenmayer, Distinguished Professor of Ecology, Fenner School of Environment and Society, Australian National University Until now, Victorians believed their state was the sole home for Leadbeater’s possum, their critically endangered state faunal emblem. This tiny marsupial is clinging to life in a few pockets of mountain

In Bradfield, the election is not yet over. What happens when a seat count is ultra close?
Source: The Conversation (Au and NZ) – By Graeme Orr, Professor of Law, The University of Queensland Election day was over four weeks ago. Yet the outcome in one House of Representatives remains unclear. That is the formerly Liberal Sydney electorate of Bradfield. In real time, you can watch the lead tilt between Liberal hopeful,

Is there a right way to talk to your baby? A baby brain expert explains ‘parentese’
Source: The Conversation (Au and NZ) – By Jane Herbert, Associate Professor in Developmental Psychology, University of Wollongong 2p2play/Shutterstock You might have seen those heartwarming and often funny viral videos where parents or carers engage in long “talks” with young babies about this and that – usually just fun chit chat of no great consequence.

MIL OSI Analysis – EveningReport.nz –

June 3, 2025
MIL-OSI USA: Shaheen, Colleagues Introduce Congressional Stock Trading Ban

US Senate News:

Source: United States Senator for New Hampshire Jeanne Shaheen

(Washington, DC) – U.S. Senator Jeanne Shaheen (D-NH) joined U.S. Senators Mark Kelly (D-AZ) and Jon Ossoff (D-GA) in introducing the Ban Congressional Stock Trading Act, which would require all members of Congress, their spouses and dependent children to place their stocks into a qualified blind trust or divest the holding—ensuring they cannot use inside information to influence stock trades and make a profit.

“Members of Congress are elected to serve their constituents—not themselves,” said Senator Shaheen. “This common-sense legislation would prevent members of Congress from using their office to enrich themselves and would go a long way in winning back the American people’s trust and confidence in government.”

The American people overwhelmingly support this policy, with 86% saying they back the measure, including 88% of Democrats, 87% of Republicans and 81% of Independents.

In addition to Shaheen, Kelly and Ossoff, the bill is also co-sponsored by U.S. Senators Brian Schatz (D-HI), Tammy Duckworth (D-IL), Tammy Baldwin (D-WI), Reverend Raphael Warnock (D-GA) and Michael Bennet (D-CO).

Click here to read the Ban Congressional Stock Trading Act.

Shaheen has long been an advocate for government reform and congressional integrity. In April, Shaheen unveiled new legislation that would prevent companies owned or controlled by Special Government Employee (SGE)’s from raking in federal dollars in government contracts and grant payments and prevent the clear conflicts of interests this arrangement could pose. Earlier this year, she reintroduced her Democracy for All Amendment would overturn the Supreme Court’s disastrous Citizens United v. FEC decision and other far-reaching decisions around campaign finance that wrongfully equated money with free speech and unfairly determined that big, wealthy corporations have the same First Amendment rights as people.

MIL OSI USA News –

June 3, 2025
MIL-OSI China: Factory activity sees marginal uptick in May

Source: People’s Republic of China – State Council News

China’s factory activity improved marginally in May, but remained in contraction zone for a second consecutive month, with analysts pointing to the need for stronger fiscal support to further boost domestic demand and cushion external shocks.

China’s official manufacturing purchasing managers’ index came in at 49.5 in May, up from 49 in April, according to data released by the National Bureau of Statistics on Saturday. The figure was still below the 50-point mark that separates contraction from expansion.

This photo taken on June 7, 2024 shows a smart assembly line at Seres Group’s super factory in Liangjiang New Area, Chongqing, Southwest China. [Photo/Xinhua]

Wang Qing, chief macroeconomic analyst at Golden Credit Rating International, said China’s official manufacturing PMI rebounded in May amid aggressive macro policy measures and a bounce in exports to the United States in the second half of the month following a thaw in trade tensions between China and the United States.

Still, challenges from both home and abroad persist.

“The current US tariffs on Chinese goods remain elevated, and the real estate sector is still in the correction phase,” Wang said. “These factors limited the extent of the PMI rebound and kept the manufacturing sector in contraction last month.”

Meanwhile, China’s nonmanufacturing PMI, which includes subindexes for service sector activity and construction, came in at 50.3 in May, down from 50.4 in April. The country’s official composite PMI, which encompasses both manufacturing and nonmanufacturing activities, rose from 50.2 in April to 50.4 in May, NBS data showed.

“Overall, the rebound in the manufacturing PMI and the rise in official composite PMI show that growth-supporting policies are playing a key role in stabilizing macroeconomic operations,” Wang said.

Looking ahead, Wang said government efforts to expand domestic demand will be significantly intensified in the coming period, with a key focus on boosting consumption, accelerating infrastructure investment, and stabilizing the property market.

He said his team believes there is still ample room for maintaining a “moderately accommodative” monetary policy in the second half of the year. On the fiscal side, the country will likely roll out incremental policies to further boost consumption and expand investment in the remainder of the year.

Despite mounting external uncertainties, NBS data showed manufacturers expressing optimism and confidence, with the gauge for manufacturers’ expectations for production and operation standing at 52.5 in May versus 52.1 in April.

Li Zheyu, general manager of Guangzhou Boqun Textile Technology Co Ltd, a textile fabrics manufacturer based in Guangdong province, said exports accounted for about 60 percent of the company’s total business last year. “We plan to shift our focus to the domestic market this year due to volatile trade policies by the United States and increasingly fierce competition in foreign trade.”

Li said the number of orders declined in May due to Washington’s tariff hikes, and the company is facing inventory and cash flow pressures. He expects more supportive policy measures for export-oriented manufacturing enterprises, such as enhanced financial assistance and tax and fee reductions, to alleviate their burden.

“We are actively expanding domestic sales channels by leveraging e-commerce platforms such as Alibaba’s business-to-business online trading site 1688 to navigate external uncertainties,” Li said, adding that domestic consumers have shown a rising demand for foreign trade products.

“If external uncertainties intensify, we do not rule out the possibility of offsetting downward pressure on external demand through the issuance of special treasury bonds and local government special bonds,” said Li Chao, chief economist at Zheshang Securities. “We expect the pace of issuance and utilization of government bonds to marginally accelerate in the third quarter.”

MIL OSI China News –

June 3, 2025

Exchange	Product Name	Ticker	ISIN	Fee
Euronext Paris and Euronext Amsterdam	21Shares Hedera ETP	HDRA	CH1456607683	2.50%

Category: Economy

Central Banks and Innovation

Engaging with innovation – Hub and Sandbox

Central Bank approach to Crypto

Tokenisation – private and public roles

Conclusion

The outlook for global growth has shifted downwards

Slowdown under way

No is easy, yes is hard

Go-fast federally, go-slow at state?

Where does this leave us?

Higher net contributions for unit-linked products

Market developments also leave their mark on pension savings

Projects would improve roads, public safety, water access, and education in Kansas Third District

Ombudsman’s report

Toothless tiger

Circuit breaker

A safer system

Single Touch Payroll (STP)

Individual non-business

Employment termination payment

Australian annuities and superannuation income stream

Superannuation lump sum

Business and personal services income

Foreign employment

Changes for 2024

High-certainty government payments data

ATO interest – recurring data issues

High-certainty interest data

Changes for 2023

High-certainty interest data

Changes for 2024

High-certainty interest data

Changes for 2023

Changes for 2022

Changes for 2023

Contractor payments

Government grants

Help and other income-contingent loans debts

Changes for 2024

Prior year amounts

PAYG instalments

Accumulative low-rate cap

Income averaging for primary producers and special professionals

Overdue income tax returns

Personal superannuation contribution deductions

Changes for 2023

First home super saver scheme (FHSS)

Resolving discrepancies

Independent Water Commission publishes interim findings

Sir Jon Cunliffe said:

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Updates to this page

Background

Note to editors

Introduction

Tariff policy and global trade flows

Uncertainty’s drag on economic activity

Financial markets’ response

Exchange rates

The economy’s exposure to the current episode

Trade flows linkages

Uncertainty dampener on households and businesses

Putting it all together for policy

Do they need personal information?

What kind of personal information is it?

Due diligence

What will the third-party provider do with the information?

What should be in an agreement with a third-party provider?

Security measures

Individuals’ right to access and correct the information your organisation holds about them

Reporting notifiable privacy breaches

Third-party compliance with the Privacy Act

Disposal of personal information during and after the agreement

Assurance that the third-party provider will only use the personal information for delivering the services

Checklist for what should be in your agreement with a third-party service provider: