https://www.scmp.com/rss/325422/feed Latest news, features and opinion on the International Monetary Fund (IMF). The 189-nation IMF promotes global monetary cooperation, facilities trade, encourages sustainable growth and makes funds available to countries experiencing fiscal difficulties. en https://assets.i-scmp.com/static/img/icons/scmp-meta-1200x630.png https://www.scmp.com Sylvia Ma Sylvia Ma Daniel Gros is the director of the Institute for European Policymaking at Bocconi University. Previously, he served as an adviser to the European Parliament, collaborated with the European Commission as economic adviser to the Delors Committee, which developed plans for the euro, and worked at the International Monetary Fund. In this interview, Gros examines the structural tensions shaping EU-China economic ties, draws lessons from the euro’s experience to analyse the yuan’s... https://www.scmp.com/economy/china-economy/article/3351329/daniel-gros-what-china-can-learn-euro-it-works-towards-global-yuan?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3351329/daniel-gros-what-china-can-learn-euro-it-works-towards-global-yuan?utm_source=rss_feed Sun, 26 Apr 2026 22:00:14 +0000 Anthony Rowley Anthony Rowley Financial markets, stock markets especially, appear able to defy gravity despite the global geopolitical and economic situation. A plethora of institutional and individual explanations have been offered as to why, but most seem to miss the point. Which is, at least in part, that we have created a kind of monster in the asset management industry, which channels a glut of global savings into a limited number of investment areas and which, by virtue of these captive inflows, is able to maintain... https://www.scmp.com/opinion/world-opinion/article/3351213/real-reason-stock-markets-are-still-flying-high-despite-grave-risks?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3351213/real-reason-stock-markets-are-still-flying-high-despite-grave-risks?utm_source=rss_feed Sat, 25 Apr 2026 08:30:08 +0000 Nicholas Spiro Nicholas Spiro In March 2024, the Bank of Japan raised interest rates for the first time since 2007, lifting borrowing costs out of negative territory and calling time on decades of ultra-loose monetary policy as Japan emerged from a long period of entrenched deflation. At the time, inflation had been above the central bank’s 2 per cent target for 22 months. Fast forward to today, and inflationary pressures continue to build. Although headline inflation fell to 1.3 per cent in February, this was because of the... https://www.scmp.com/opinion/asia-opinion/article/3351088/why-japans-central-bank-caught-between-rock-and-hard-place?utm_source=rss_feed https://www.scmp.com/opinion/asia-opinion/article/3351088/why-japans-central-bank-caught-between-rock-and-hard-place?utm_source=rss_feed Thu, 23 Apr 2026 08:30:08 +0000 Ralph Jennings Ralph Jennings China’s central bank chief has urged the IMF to serve as a bulwark against “rising unilateralism”, at a time when escalating trade restrictions and an intensified Middle East conflict threaten energy and food security. The International Monetary Fund should “take a clear stand against protectionism and defend multilateralism”, People’s Bank of China governor Pan Gongsheng said in a statement to the fund’s International Monetary and Financial Committee, for its 53rd meeting, held on Thursday and... https://www.scmp.com/economy/global-economy/article/3350718/china-presses-imf-quota-reform-better-surveillance-advanced-economies?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3350718/china-presses-imf-quota-reform-better-surveillance-advanced-economies?utm_source=rss_feed Mon, 20 Apr 2026 09:05:04 +0000 Ralph Jennings Ralph Jennings Asia-Pacific economies are likely to suffer a slowdown in growth this year, as rising costs linked to the US-Israel war on Iran combine with lingering trade uncertainty to threaten global trade flows, according to forecasts by top international organisations. The predictions come despite China showing resilience in the first quarter by posting better-than-expected growth of 5 per cent and finance minister Lan Foan last week stressing that the world’s second-largest economy would remain an engine... https://www.scmp.com/economy/china-economy/article/3350676/asia-growth-forecasts-slashed-iran-war-and-tariffs-threaten-supply-chains?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3350676/asia-growth-forecasts-slashed-iran-war-and-tariffs-threaten-supply-chains?utm_source=rss_feed Mon, 20 Apr 2026 05:00:10 +0000 Xiaofei Xu,He Huifeng Xiaofei Xu,He Huifeng With domestic profits narrowing and production capacity expanding, China’s firms are continuing to widen their overseas footprints in search of new, more lucrative markets. In this series, we examine China Inc.’s next phase of “going global” and the complex, challenging international environment its companies have chosen to enter. When Lawrence Wong decided to set up a toy factory in Vietnam last year, he had a clear plan: 600 square metres (6,458 sq ft) of floor space at the start of 2026, with... https://www.scmp.com/economy/china-economy/article/3350477/chinese-manufacturers-recalibrate-overseas-expansion-plans-wake-iran-war?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3350477/chinese-manufacturers-recalibrate-overseas-expansion-plans-wake-iran-war?utm_source=rss_feed Fri, 17 Apr 2026 22:00:09 +0000 Reuters Reuters The International Monetary Fund and ⁠the World Bank said on ⁠Thursday they had resumed dealings with Venezuela, which had been paused since 2019. The move paves the way for a full IMF assessment of Venezuela’s economy for the first time in some 20 years and could eventually unlock billions of dollars in ‌funding via frozen special drawing rights. IMF Managing Director Kristalina Georgieva said in a statement that the Fund, guided by the views of a majority of its members, was now dealing with... https://www.scmp.com/news/world/americas/article/3350384/imf-says-it-restoring-relations-venezuela?utm_source=rss_feed https://www.scmp.com/news/world/americas/article/3350384/imf-says-it-restoring-relations-venezuela?utm_source=rss_feed Thu, 16 Apr 2026 23:50:14 +0000 Sylvia Ma Sylvia Ma China continued to diversify its foreign exchange reserves in February, trimming its US Treasury stockpile even as overall overseas holdings of sovereign American debt rose to a record high. China’s stockpile of United States Treasuries fell to US$693.3 billion in February, down from US$694.4 billion in January, according to US Treasury Department data released on Wednesday. Although China slightly increased its US Treasury holdings in January, the uptick did little to alter a broader downward... https://www.scmp.com/economy/global-economy/article/3350275/china-trims-us-treasury-holdings-amid-rising-debt-supply-global-ownership-hits-record?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3350275/china-trims-us-treasury-holdings-amid-rising-debt-supply-global-ownership-hits-record?utm_source=rss_feed Thu, 16 Apr 2026 07:00:13 +0000 Xinyi Wu,Mia Nurmamat Xinyi Wu,Mia Nurmamat China’s economy grew 5 per cent year on year in the first quarter, beating market expectations despite the global impact of the US-Israel war in Iran, which analysts said indicates the country remains on track to meet its full-year growth target without the need for near-term stimulus. The closely watched gross domestic product growth figure, released by the National Bureau of Statistics (NBS) on Thursday, beat the 4.86 per cent forecast by economists polled by financial data provider Wind. It... https://www.scmp.com/economy/economic-indicators/article/3350237/china-records-5-gdp-growth-first-quarter-track-annual-target?utm_source=rss_feed https://www.scmp.com/economy/economic-indicators/article/3350237/china-records-5-gdp-growth-first-quarter-track-annual-target?utm_source=rss_feed Thu, 16 Apr 2026 02:00:21 +0000 Mia Nurmamat Mia Nurmamat The US-Israeli war on Iran and the current Iranian and American blockades of shipping through the Strait of Hormuz are likely to overshadow China’s first-quarter economic performance, analysts said, with questions looming large about how the world’s second-largest economy will handle their impact. Many observers said they expect the leadership in Beijing will adopt a wait-and-see approach, with little likelihood of an immediate stimulus to guarantee the country’s annual economic target is... https://www.scmp.com/economy/economic-indicators/article/3350181/analysts-doubt-iran-war-will-prompt-china-stimulus-tip-solid-first-quarter-gdp-growth?utm_source=rss_feed https://www.scmp.com/economy/economic-indicators/article/3350181/analysts-doubt-iran-war-will-prompt-china-stimulus-tip-solid-first-quarter-gdp-growth?utm_source=rss_feed Wed, 15 Apr 2026 13:00:24 +0000 Ralph Jennings Ralph Jennings The International Monetary Fund (IMF) has lowered its global economic growth forecast, including for China, citing shocks from the US-Israeli war in Iran. In its flagship World Economic Outlook published on Tuesday, the IMF projected worldwide gross domestic product growth at 3.1 per cent this year, down 0.2 percentage points from its January estimate. China – the world’s second-largest economy – is now expected to expand by 4.4 per cent this year. That would miss the IMF’s January estimate by... https://www.scmp.com/economy/global-economy/article/3350042/imf-cuts-chinas-gdp-growth-forecast-44-iran-war-pressures-global-economy?utm_source=rss_feed https://www.scmp.com/economy/global-economy/article/3350042/imf-cuts-chinas-gdp-growth-forecast-44-iran-war-pressures-global-economy?utm_source=rss_feed Tue, 14 Apr 2026 13:00:10 +0000 Anthony Rowley Anthony Rowley Can the collective wisdom or clout of the almost 200 countries that make up the membership of the World Bank and International Monetary Fund (IMF) prevail against the United States and Israel, whose rash actions of declaring war on Iran have effectively declared economic war on the whole world? We may get the answers to this critical question when the two so-called Bretton Woods institutions begin their annual meetings in Washington on April 13. The week-long gatherings provide an opportunity... https://www.scmp.com/opinion/world-opinion/article/3349524/can-world-bank-and-imf-leaders-rescue-global-economy-brink?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3349524/can-world-bank-and-imf-leaders-rescue-global-economy-brink?utm_source=rss_feed Sat, 11 Apr 2026 08:30:08 +0000 Associated Press Associated Press The gap between rich and poor nations is growing even wider as actions agreed to by many countries last year, including overhauling the major global financial institutions, remain unfulfilled promises, a UN report has concluded. The report assessing the blueprint adopted in Seville, Spain, last June to narrow the gap and achieve UN development goals for 2030 was issued ahead of next week’s spring meetings in Washington of the International Monetary Fund and the World Bank, the main global... https://www.scmp.com/news/world/article/3349731/global-wealth-gap-grows-aid-worlds-poorest-sees-record-drop?utm_source=rss_feed https://www.scmp.com/news/world/article/3349731/global-wealth-gap-grows-aid-worlds-poorest-sees-record-drop?utm_source=rss_feed Sat, 11 Apr 2026 05:34:12 +0000 Tom Hussain Tom Hussain Days before Pakistan had helped to secure a ceasefire in the Iran war this week, the United Arab Emirates was seeking repayment of a US$3.5 billion deposit from Islamabad’s central bank. The withdrawal, brushed off as a “routine financial transaction” by Pakistan’s foreign ministry, equated to roughly 21 per cent of the country’s foreign exchange reserves. It was accompanied by a wave of criticism on Emirati social media directed at Islamabad. “When our security is directly threatened, we hear... https://www.scmp.com/week-asia/politics/article/3349673/uae-pulls-us35-billion-pakistan-after-iran-war-mediation?utm_source=rss_feed https://www.scmp.com/week-asia/politics/article/3349673/uae-pulls-us35-billion-pakistan-after-iran-war-mediation?utm_source=rss_feed Sat, 11 Apr 2026 04:00:11 +0000 Sylvia Ma Sylvia Ma Mainstream metrics may understate the role of China’s currency in global payments, as a growing share of transactions is now routed through Beijing’s own cross-border payment system and not fully reflected in conventional data sets, analysts say. This could help explain the gap between Beijing’s official narrative – which describes the yuan as the world’s third-largest payment currency – and readings from tracking systems such as the Society for Worldwide Interbank Financial Telecommunication... https://www.scmp.com/economy/china-economy/article/3348907/chinas-yuan-may-be-going-global-faster-western-data-suggests-analysts-say?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3348907/chinas-yuan-may-be-going-global-faster-western-data-suggests-analysts-say?utm_source=rss_feed Mon, 06 Apr 2026 15:00:07 +0000 Alex Lo Alex Lo Last month in Florida, many leaders from Latin America and the Caribbean showed up for the so-called Shield of the Americas summit. Prefacing his speech, the self-styled US Secretary of War Pete Hegseth declared, “I only speak American.” Most people there spoke Spanish and/or English. Both the northern and the southern parts of the hemisphere are called American, but there is no such language as Hegseth’s, at least linguistically. However, it was clear what he meant. The United States just... https://www.scmp.com/opinion/article/3349098/why-beijing-now-only-true-partner-africa-and-latin-america?utm_source=rss_feed https://www.scmp.com/opinion/article/3349098/why-beijing-now-only-true-partner-africa-and-latin-america?utm_source=rss_feed Sun, 05 Apr 2026 15:05:43 +0000 Biman Mukherji Biman Mukherji While the Iran war has sent shock waves through energy markets across Asia, one corner of the region has been hit especially hard. South Asia’s reliance on Middle Eastern fuel and Gulf remittances threatens to push some of its most exposed economies to the brink, analysts warn, as the conflict drives energy and food costs to multi-year highs. For Sri Lanka, Bangladesh and Pakistan, whose International Monetary Fund bailout programmes and thin fiscal buffers limit their ability to shield citizens... https://www.scmp.com/week-asia/economics/article/3348974/why-war-iran-threatens-unleash-unrest-south-asia?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3348974/why-war-iran-threatens-unleash-unrest-south-asia?utm_source=rss_feed Sun, 05 Apr 2026 05:30:08 +0000 Agence France-Presse Agence France-Presse State-run public transport in Pakistan’s capital and most populous province will be free for the coming month, officials said, after the government drastically raised fuel prices due to the Iran war. The announcement came after street protests and long queues of motorcycles at fuel stations triggered by a late-night decision on Thursday to impose a 42.7 per cent rise in the price of petrol to 485 rupees (US$1.70) per litre. Prime Minister Shehbaz Sharif back-pedalled late on Friday, saying he... https://www.scmp.com/news/asia/south-asia/article/3349010/pakistan-offers-30-days-free-public-transport-following-40-petrol-hike?utm_source=rss_feed https://www.scmp.com/news/asia/south-asia/article/3349010/pakistan-offers-30-days-free-public-transport-following-40-petrol-hike?utm_source=rss_feed Sat, 04 Apr 2026 01:46:07 +0000 Igor Patrick Igor Patrick With one of the world’s highest benchmark interest rates among major economies, Brazilian importers who buy from China are turning to a state-owned Chinese credit insurer to sustain trade flows that reached US$158 billion in 2024. Facing working capital lines that cost upwards of two per cent a month, equivalent to roughly 27 per cent a year according to market calculations, mid-sized importers are securing deferred payment terms directly from Chinese suppliers through credit limits backed by... https://www.scmp.com/news/china/diplomacy/article/3348719/how-chinas-state-insurer-turning-brazils-credit-crisis-export-advantage?utm_source=rss_feed https://www.scmp.com/news/china/diplomacy/article/3348719/how-chinas-state-insurer-turning-brazils-credit-crisis-export-advantage?utm_source=rss_feed Wed, 01 Apr 2026 19:21:11 +0000 Park Chan-kyong Park Chan-kyong In Seoul last week, South Koreans were stripping shop shelves of plastic bin bags. Not food, not medicine. Bin bags. Nearly 2.7 million of the city’s mandatory “pay-as-you-throw” bags were sold each day, almost five times the normal volume, as residents scrambled to stockpile what they feared might soon become scarce. City by-laws mandate that the prepaid bags – made from naphtha, a petroleum derivative – be used to throw away household waste. But with oil supplies under strain amid the... https://www.scmp.com/week-asia/economics/article/3348485/bin-bag-panic-grips-south-korea-huge-iran-war-crisis-budget-agreed?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3348485/bin-bag-panic-grips-south-korea-huge-iran-war-crisis-budget-agreed?utm_source=rss_feed Tue, 31 Mar 2026 04:33:37 +0000 Sylvia Ma Sylvia Ma As the Iran war fuels global fears of stagflation, a debate is intensifying over whether the crisis poses an immediate risk to China’s sources of external demand or a strategic opening for its exporters. Mirroring the supply chain upheavals of the pandemic era, the crisis has prompted new questions about whether China will be able to leverage its industrial base and supply-side resilience if a prolonged conflict further fractures global supply chains. “China’s economy looks strong on the surface... https://www.scmp.com/economy/china-economy/article/3347606/iran-conflict-prompts-questions-about-chinas-export-power-amid-fractured-supply-chains?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3347606/iran-conflict-prompts-questions-about-chinas-export-power-amid-fractured-supply-chains?utm_source=rss_feed Mon, 23 Mar 2026 13:00:16 +0000 Anthony Rowley Anthony Rowley War in the Middle East is again producing an oil shock, as was the case in past years. For the chief perpetrator of the new shock – the United States – this will be a multi-front war where the financial impact could hit the country harder than import price shocks. The US is a debtor nation on a grand scale, running as it does both current account and budget deficits and therefore being highly dependent upon foreign capital inflows. Will the Trump administration’s antics – widely perceived as... https://www.scmp.com/opinion/world-opinion/article/3346308/waging-war-iran-trump-leaves-us-economy-more-vulnerable?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3346308/waging-war-iran-trump-leaves-us-economy-more-vulnerable?utm_source=rss_feed Sat, 14 Mar 2026 08:30:08 +0000 Sylvia Ma Sylvia Ma Huang Yiping, a veteran Chinese economist, has attended countless policy forums and high-level summits over his long career. But one event at Peking University a decade ago stands out. Academic debates are often niche, sparsely attended affairs, but that afternoon in November 2016 was different. Seats in the auditorium were snatched up in minutes as people piled in to witness a showdown that had attracted nationwide attention. The public frenzy centred on a rare face-to-face clash between two... https://www.scmp.com/economy/china-economy/article/3346238/pivot-how-china-turbocharged-its-industrial-policy-and-remade-global-economy?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3346238/pivot-how-china-turbocharged-its-industrial-policy-and-remade-global-economy?utm_source=rss_feed Wed, 11 Mar 2026 22:00:08 +0000 Sam Beltran Sam Beltran An investigation into allegedly corrupt flood-control projects worth billions of pesos is beginning to ripple through the Philippines’ public finances, slowing infrastructure spending and adding uncertainty to the government’s investment-driven growth strategy. The budget deficit widened 4.68 per cent to 1.58 trillion pesos (US$26.5 billion) in 2025, Treasury Bureau data showed, surpassing 2024’s record of 1.51 trillion pesos. Despite slowing disbursements amid tighter scrutiny of public works... https://www.scmp.com/week-asia/economics/article/3346029/philippines-budget-deficit-hits-record-us265-billion-corruption-probe-bites?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3346029/philippines-budget-deficit-hits-record-us265-billion-corruption-probe-bites?utm_source=rss_feed Tue, 10 Mar 2026 04:00:11 +0000 Anthony Rowley Anthony Rowley If financial markets can survive the United States’ war on Iran and Russia’s war against Ukraine, does this mean that financial crashes have become a thing of the past? Or have markets just not grasped the true nature of the current threats to the financial system? The latter is almost certainly the case, as former Goldman Sachs CEO Lloyd Blankfein suggested when he said in a recent Financial Times interview that people had “got more complacent” about financial risks since the 2008 crisis. It is... https://www.scmp.com/opinion/world-opinion/article/3345580/cause-next-global-market-crash-hiding-plain-sight?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3345580/cause-next-global-market-crash-hiding-plain-sight?utm_source=rss_feed Sat, 07 Mar 2026 08:30:08 +0000 Mia Nurmamat Mia Nurmamat Global debt climbed to a record high in 2025, rising at the fastest pace since the pandemic, with China and the United States accounting for a large share of the increase, according to a new report. Total global debt surged to US$348 trillion last year, with nearly US$29 trillion of new debt added over the year, the Institute of International Finance (IIF) said. Government borrowing accounted for more than US$10 trillion of the increase, with the United States, China and the euro zone together... https://www.scmp.com/economy/china-economy/article/3344903/global-debt-soars-us29-trillion-us-china-drive-rapid-build-report?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3344903/global-debt-soars-us29-trillion-us-china-drive-rapid-build-report?utm_source=rss_feed Fri, 27 Feb 2026 12:00:17 +0000 Edith Lin,Kevin Li Edith Lin,Kevin Li Hong Kong’s finance chief has defended his budget against public criticism over the lack of “sweeteners”, stressing the government must balance its finances with long-term investments for the city’s benefit. Financial Secretary Paul Chan Mo-po said during a radio forum on Thursday he would brief credit-rating agencies and the International Monetary Fund next month on his budget, including a proposed HK$150 billion (US$19.2 billion) transfer from the Exchange Fund to support infrastructure... https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3344698/long-term-gains-worthwhile-paul-chan-says-hongkongers-slam-lack-budget-sweeteners?utm_source=rss_feed https://www.scmp.com/news/hong-kong/hong-kong-economy/article/3344698/long-term-gains-worthwhile-paul-chan-says-hongkongers-slam-lack-budget-sweeteners?utm_source=rss_feed Thu, 26 Feb 2026 05:58:26 +0000 Sylvia Ma Sylvia Ma The International Monetary Fund (IMF) has called on China to make the shift to a consumption-led growth model an “overarching priority”, while urging the country to curb what it called “unwarranted industrial policy” amid mounting external imbalances. The IMF staff’s recommendations, issued ahead of Beijing’s annual parliamentary meetings, joined increasingly loud calls for economic rebalancing, particularly after China’s record trade surplus last year. “China needs to move decisively towards... https://www.scmp.com/economy/china-economy/article/3344557/imf-urges-china-prioritise-consumption-led-rebalancing-curb-industrial-policy?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3344557/imf-urges-china-prioritise-consumption-led-rebalancing-curb-industrial-policy?utm_source=rss_feed Wed, 25 Feb 2026 08:47:38 +0000 Finbarr Bermingham Finbarr Bermingham The European Union’s trade chief Maros Sefcovic has railed against the bloc’s glacial trade defences, warning that years-long probes and rigid rules will not protect the bloc from China’s increasingly fierce export machine. Speaking in the European Parliament on Tuesday, Sefcovic lashed out at Beijing’s “unsustainable” trade surplus and called for an urgent overhaul of world trading rules to account for “overcapacities”, “unfair trade policies” and “state subsidies”. He confirmed, meanwhile,... https://www.scmp.com/news/china/article/3344517/eu-too-slow-act-china-rewrites-global-trade-rules-trade-chief-sefcovic-warns?utm_source=rss_feed https://www.scmp.com/news/china/article/3344517/eu-too-slow-act-china-rewrites-global-trade-rules-trade-chief-sefcovic-warns?utm_source=rss_feed Tue, 24 Feb 2026 18:55:55 +0000 Agence France-Presse Agence France-Presse Russia launched its full-scale invasion of Ukraine on February 24, 2022, unleashing the deadliest war in Europe since World War II. As the conflict reaches its four-year mark, here’s a look at the state of the conflict and some of the consequences for both countries. Destruction The war has resulted in widespread destruction in Ukraine. Entire cities in Ukraine’s east and south, among them Bakhmut, Toretsk and Vovchansk, have been reduced to rubble by fighting. The World Health Organization has... https://www.scmp.com/news/world/europe/article/3344429/where-ukraine-and-russia-stand-war-enters-fifth-year?utm_source=rss_feed https://www.scmp.com/news/world/europe/article/3344429/where-ukraine-and-russia-stand-war-enters-fifth-year?utm_source=rss_feed Tue, 24 Feb 2026 06:49:25 +0000 Anthony Rowley Anthony Rowley The International Monetary Fund (IMF) is at last showing a bit of spirit. While it might not yet be attacking the egregious economic and financial antics of US President Donald Trump, it is at least turning its attention to the fiscal foibles of Japanese Prime Minister Sanae Takaichi. This matters more now than has been the case in recent years, or even decades, because what Japan does in terms of its fiscal and monetary policy is beginning to have international repercussions. What political... https://www.scmp.com/opinion/asia-opinion/article/3344046/why-imf-right-press-japan-its-fiscal-risks?utm_source=rss_feed https://www.scmp.com/opinion/asia-opinion/article/3344046/why-imf-right-press-japan-its-fiscal-risks?utm_source=rss_feed Sat, 21 Feb 2026 08:30:08 +0000 Biman Mukherji Biman Mukherji The biggest challenges that the Bangladesh Nationalist Party (BNP) has to tackle following its recent victory in the general election are the country’s sluggish economy, high inflation and unemployment. Speaking at a webinar, panellists said voters would judge the new government on its ability to create jobs, tame inflation and steady relations with key partners, even as they commended the peaceful election. Zafar Sobhan, editor of Counterpoint, said: “Let us not forget this was a key driver in... https://www.scmp.com/week-asia/explained/article/3344168/bangladesh-faces-daunting-post-election-challenges-economy-garment-sector?utm_source=rss_feed https://www.scmp.com/week-asia/explained/article/3344168/bangladesh-faces-daunting-post-election-challenges-economy-garment-sector?utm_source=rss_feed Fri, 20 Feb 2026 12:25:11 +0000 Julian Ryall Julian Ryall When Sanae Takaichi strode into her first press conference as Japan’s reappointed prime minister on Wednesday, she delivered a clear message to the economists and editorial boards warning her away from her signature tax pledge. Food consumption tax is going to be scrapped, and nothing is going to stop her. Formally confirmed in office after the Diet voted to reappoint her – following a landslide victory in the House of Representatives election on February 8 – Takaichi reiterated her commitment... https://www.scmp.com/week-asia/politics/article/3344015/japans-takaichi-pushes-scrap-food-tax-ignoring-economists-warnings?utm_source=rss_feed https://www.scmp.com/week-asia/politics/article/3344015/japans-takaichi-pushes-scrap-food-tax-ignoring-economists-warnings?utm_source=rss_feed Fri, 20 Feb 2026 01:30:18 +0000 Cao Li Cao Li Producers across the world are likely to ramp up output of commodities such as copper and lithium, limiting the kind of runaway price gains seen in gold even as markets anticipate a prolonged rally in raw materials, Goldman Sachs said. Gold has surged to record highs, while a range of other commodities have also climbed, as governments and investors seek the perceived “insurance” value of hard assets amid geopolitical tensions and policy uncertainty, the US bank said in a report addressing what... https://www.scmp.com/business/article/3343829/copper-lithium-unlikely-match-golds-gains-output-rises-goldman?utm_source=rss_feed https://www.scmp.com/business/article/3343829/copper-lithium-unlikely-match-golds-gains-output-rises-goldman?utm_source=rss_feed Thu, 19 Feb 2026 03:30:08 +0000 Kandy Wong Kandy Wong Dwindling global trust in the US dollar is one of the most prominent risks facing a vulnerable world economy this year, according to Zhu Min, an ex-deputy director of the International Monetary Fund and former deputy governor of the People’s Bank of China. He noted that the credibility of the US dollar was being challenged as its share of global foreign exchange reserves had fallen to 57 per cent – from 70 per cent in the past. On the other hand, “the proportions of gold, the euro and the yuan... https://www.scmp.com/economy/china-economy/article/3343617/fading-us-dollar-trust-threatens-world-economy-ex-imf-official-warns?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3343617/fading-us-dollar-trust-threatens-world-economy-ex-imf-official-warns?utm_source=rss_feed Sun, 15 Feb 2026 07:01:27 +0000 Biman Mukherji Biman Mukherji Remarks by a prominent economist about India’s air quality have raised a debate on whether New Delhi should prioritise tackling pollution over tariff talks, as the country continues to transition towards a green economy. Former International Monetary Fund chief economist Gita Gopinath made the comments at the recent World Economic Forum in Davos, arguing that investors considering India would have to factor its environment because it “is going to be consequential for health”. India has been... https://www.scmp.com/week-asia/economics/article/3341869/why-india-should-tackle-pollution-more-urgently-tariffs?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3341869/why-india-should-tackle-pollution-more-urgently-tariffs?utm_source=rss_feed Fri, 30 Jan 2026 12:24:04 +0000 Igor Patrick Igor Patrick One of the leading scholars of China-Latin America relations, Francisco Urdinez is known for coining the concept of “economic displacement”, a theory that also gives its name to his Cambridge University Press book title published in November. The idea holds that China’s rise has reduced US relevance in the region by making partnerships with Beijing more consequential and ties with Washington less essential for many governments. Now, in the wake of US attacks on Caracas and the abduction of... https://www.scmp.com/news/china/article/3341536/francisco-urdinez-how-venezuela-tests-chinas-economic-advance-latin-america?utm_source=rss_feed https://www.scmp.com/news/china/article/3341536/francisco-urdinez-how-venezuela-tests-chinas-economic-advance-latin-america?utm_source=rss_feed Wed, 28 Jan 2026 22:00:08 +0000 Agence France-Presse Agence France-Presse European Council president Antonio Costa arrived in India on Sunday, as the EU and New Delhi seek to seal a free-trade pact, capping nearly two decades of negotiations between the economic behemoths. Costa and European Commission President Ursula von der Leyen are chief guests for this year’s Republic Day celebrations in New Delhi on Monday before the 16th EU-India summit on Tuesday, where they hope to shake hands on the accord, described as the “mother of all deals”. “The summit will be an... https://www.scmp.com/news/asia/south-asia/article/3341165/eu-envoys-top-guests-india-celebration-seal-trade-deal?utm_source=rss_feed https://www.scmp.com/news/asia/south-asia/article/3341165/eu-envoys-top-guests-india-celebration-seal-trade-deal?utm_source=rss_feed Sun, 25 Jan 2026 11:01:02 +0000 Anthony Rowley Anthony Rowley Some weighty themes were addressed at the World Economic Forum in Davos, from the apparent return of the Monroe Doctrine and US “manifest destiny” in geopolitics, to a replay of the 19th-century “Great Game” among competing nations elsewhere. But one critical issue that did not receive sufficient attention was the prospect of a global financial system crisis undermining such monumental assumptions. These annual gatherings of the supposedly great and good, from national leaders to business barons... https://www.scmp.com/opinion/world-opinion/article/3340902/distracted-davos-leaders-are-ignoring-one-critical-issue?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3340902/distracted-davos-leaders-are-ignoring-one-critical-issue?utm_source=rss_feed Sat, 24 Jan 2026 08:30:12 +0000 Maria Siow Maria Siow Indonesian President Prabowo Subianto has used his Davos debut to drive home a message to global investors that his country intends to stamp out corruption and “greedanomics”, while positioning itself as a rare pocket of stability in an unsettled world economy. Speaking during a special address at the World Economic Forum (WEF) in Davos on Thursday, Prabowo argued that trade integration, if conducted fairly, should not be seen as a threat to sovereignty but as a tool for shared... https://www.scmp.com/week-asia/economics/article/3340904/indonesias-prabowo-pitches-stability-davos-amid-rising-global-tensions?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3340904/indonesias-prabowo-pitches-stability-davos-amid-rising-global-tensions?utm_source=rss_feed Thu, 22 Jan 2026 16:35:58 +0000 Ralph Jennings Ralph Jennings The International Monetary Fund has raised its 2026 economic growth forecasts for both China and the United States by 0.3 percentage points, the latest sign that the pause in their trade war has eased pressure on both economies. In its latest World Economic Outlook, the IMF’s flagship publication released on Monday, the Washington-based fund also upgraded its global economic growth estimate by 0.2 percentage points over its October forecast to 3.3 per cent this year. China’s economy is now... https://www.scmp.com/economy/china-economy/article/3340419/imf-raises-chinas-2026-growth-forecast-45-citing-us-truce-and-stimulus-roll-out?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3340419/imf-raises-chinas-2026-growth-forecast-45-citing-us-truce-and-stimulus-roll-out?utm_source=rss_feed Mon, 19 Jan 2026 10:00:18 +0000 Albert Bakhtizin Albert Bakhtizin The latest developments in Venezuela are interpreted as part of a broader US strategy to secure access to major oil resources. They are much more than that: the US raid signals a transformation in the global economy wherein a country’s power is increasingly determined not by its political actions, but by its capacity to embed resource wealth within a self-sustaining production system. These deeper processes did not begin today, but rather around 2008-2009 when, according to an integrated... https://www.scmp.com/opinion/world-opinion/article/3339789/us-venezuela-raid-shows-geopolitics-now-contest-between-economic-blocs?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3339789/us-venezuela-raid-shows-geopolitics-now-contest-between-economic-blocs?utm_source=rss_feed Sun, 18 Jan 2026 08:30:13 +0000 Anthony Rowley Anthony Rowley Amid the rising chorus of criticism of US President Donald Trump and his administration’s egregious policy actions, the voices of multilateral institutions have been sadly muted. These internationally owned and supposedly independent bodies appear to be running scared of losing their access to US funding, but the greater risk for them is a loss of credibility if they continue with this cautious approach. By contrast, the heads of a dozen or so central banks have summoned sufficient courage to... https://www.scmp.com/opinion/world-opinion/article/3340012/key-voices-missing-chorus-criticism-trumps-destructive-actions?utm_source=rss_feed https://www.scmp.com/opinion/world-opinion/article/3340012/key-voices-missing-chorus-criticism-trumps-destructive-actions?utm_source=rss_feed Sat, 17 Jan 2026 08:30:08 +0000 Tom Hussain Tom Hussain Pakistan is increasingly confident of making billion-dollar arms sales, headlined by the JF-17 fighters its co-produces with China, as up to six Muslim-majority countries look to upgrade their air forces amid growing geopolitical turbulence and civil wars. A preliminary deal worth US$4 billion was struck last month with the Libyan National Army for an unspecified number of JF-17s and other training aircraft manufactured by Pakistan Aeronautical Complex, Reuters reported, citing Aamir Masood, an... https://www.scmp.com/week-asia/economics/article/3339961/pakistans-arms-deals-cleared-take-jf-17-orders-soar-muslim-countries?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3339961/pakistans-arms-deals-cleared-take-jf-17-orders-soar-muslim-countries?utm_source=rss_feed Thu, 15 Jan 2026 04:52:11 +0000 Sylvia Ma Sylvia Ma The so-called China Shock 2.0 narrative is incomplete, analysts argued, as they noted that domestic macroeconomic forces in China and the West, particularly the United States, are at play in driving their growing external trade imbalance. The term, coined to describe new global ramifications of China’s manufacturing dominance – a phenomenon echoing the trade shock of the early 2000s – has been under renewed debate, particularly as China recorded a goods trade surplus of more than US$1 trillion... https://www.scmp.com/economy/china-economy/article/3339017/fears-over-chinas-trade-surplus-misplaced-us-europe-also-driving-trend-analysts?utm_source=rss_feed https://www.scmp.com/economy/china-economy/article/3339017/fears-over-chinas-trade-surplus-misplaced-us-europe-also-driving-trend-analysts?utm_source=rss_feed Tue, 13 Jan 2026 12:00:11 +0000 Igor Patrick Igor Patrick Argentine President Javier Milei said he intends to travel to China in 2026, confirming the plan at a moment when the United States is stepping up pressure on Buenos Aires to scale back its relations with Beijing. Milei made the remarks in an interview with the local newspaper Clarin that was published on Sunday. Asked whether the trip was still on his schedule, he said it was and framed the visit as part of Argentina’s wider commercial agenda rather than a political signal. “We have a very good... https://www.scmp.com/news/china/article/3339649/argentinas-milei-plans-china-trip-2026-us-pressures-buenos-aires-curb-ties?utm_source=rss_feed https://www.scmp.com/news/china/article/3339649/argentinas-milei-plans-china-trip-2026-us-pressures-buenos-aires-curb-ties?utm_source=rss_feed Mon, 12 Jan 2026 19:17:33 +0000 Resty Woro Yuniar Resty Woro Yuniar For Indonesia, much of the past year was more a marathon than a sprint, with Southeast Asia’s largest economy recording steady growth despite global headwinds, a tighter budget and mounting pressure on jobs and household spending at home. Now, Jakarta sees 2026 as the right time to pick up speed, setting its sights on an annual economic expansion of no less than 6 per cent. Finance Minister Purbaya Yudhi Sadewa insists the target is attainable through improved policy coordination and stronger... https://www.scmp.com/week-asia/economics/article/3339414/indonesia-eyes-6-growth-2026-despite-jobs-time-bomb?utm_source=rss_feed https://www.scmp.com/week-asia/economics/article/3339414/indonesia-eyes-6-growth-2026-despite-jobs-time-bomb?utm_source=rss_feed Sun, 11 Jan 2026 00:00:12 +0000 Agence France-Presse Agence France-Presse Argentine President Javier Milei on Friday signed into law a so-called “tax innocence” bill, which aims to encourage people to bank dollars stashed under mattresses or in offshore accounts by forgiving a degree of tax evasion. Over years of high inflation and currency controls, Argentines traded their battered pesos for dollars, which they often hoarded at home, in cash. The government estimates Argentines are sitting on some US$251 billion in what are commonly called “mattress dollars” – six... https://www.scmp.com/news/world/americas/article/3338587/argentina-targets-us-dollars-hoarded-under-mattresses-eases-tax-evasion-rules?utm_source=rss_feed https://www.scmp.com/news/world/americas/article/3338587/argentina-targets-us-dollars-hoarded-under-mattresses-eases-tax-evasion-rules?utm_source=rss_feed Sat, 03 Jan 2026 01:17:20 +0000 Kyodo Kyodo Japan’s economy is likely to fall behind India’s in 2026 to fifth place in the world, according to an International Monetary Fund’s estimate, potentially diminishing the East Asian nation’s presence on the global stage. The subdued economic outlook makes Prime Minister Sanae Takaichi’s planned growth strategy, due out in the summer, all the more important to combat the burden from the country’s shrinking population, economists say. They call for productivity improvements and further efforts to... https://www.scmp.com/news/asia/east-asia/article/3338390/japan-may-lose-gdp-race-india-amid-weak-yen-tourism-woes-and-china-row?utm_source=rss_feed https://www.scmp.com/news/asia/east-asia/article/3338390/japan-may-lose-gdp-race-india-amid-weak-yen-tourism-woes-and-china-row?utm_source=rss_feed Thu, 01 Jan 2026 07:18:39 +0000 Agence France-Presse Agence France-Presse India has overtaken Japan as the world’s fourth-largest economy – and officials hope to pass Germany within three years, the government’s end-of-year economic review calculates. Official confirmation however depends on data due in 2026 when final annual gross domestic product figures are released, with the International Monetary Fund (IMF) suggesting India will cross over Japan next year. “India is among the world’s fastest-growing major economies and is well-positioned to sustain this... https://www.scmp.com/news/asia/south-asia/article/3338156/india-overtakes-japan-worlds-4th-largest-economy-eyes-top-3-2026?utm_source=rss_feed https://www.scmp.com/news/asia/south-asia/article/3338156/india-overtakes-japan-worlds-4th-largest-economy-eyes-top-3-2026?utm_source=rss_feed Tue, 30 Dec 2025 09:00:10 +0000