Government Policy

  • 2018-05-14 01:41


    By Chris Mc Innes

    LONDON (MNI) - Unions and employers in Germany's construction sector on Saturday agreed on the steepest wage increase negotiated so far this year. The deal was brokered through arbitration proceedings, which became necessary after initial talks ended in deadlock in April.

    Confirming MNI's analysis published May 8 (MNI ANALYSIS: German Wages Could Disappoint Wage Round Hopes), the agreement, which covers over 800,000 workers, will ensure pay packets in west Germany increase 5.7% and those in east Germany increase 6.6%. The deal will run 26 months and includes a number of one off payments.

    The deal comes on the heels of similarly generous wage settlements in the metal and public sectors, together covering almost 6 million workers.

  • 2018-05-08 07:19


    BEIJING (MNI) - China's foreign trade continued its upward momentum in the first four months in 2018, the latest trade statistics data from General Administration of Customs showed.

  • 2018-05-08 05:39


    By Chris Mc Innes

    BERLIN (MNI) - Wage growth in Germany is expected to accelerate this year, according to government forecasts published last month, but they could still fall below expected levels as the impact of mass awards diminishes.

    Despite wages seemingly gathering steam, early worker celebrations might be overblown. Indeed, wage agreements at branch and company level now only cover about 60% of employees, down from 75% twenty years ago and the impact of these wage rounds on overall wage growth might therefore be more subdued.

    The German government expects wages to grow 2.9% in 2018, up from 2.6% in 2017, driven by the increasing tightness in the labour market.

  • 2018-05-04 01:35


    By Kevin Woodfield

    LONDON (MNI) - Division is deepening between the two camps within UK Prime Minister Theresa May's so-called Brexit 'war cabinet' and the risk is growing that her precarious government will collapse or the UK will crash out of the European Union without a future deal -- or both, MNI understands.

    Two competing views of the Brexit process have long bedevilled the UK government's capacity to present a coherent negotiating position to Brussels. A gnawing suspicion over tactics as well as substance at the top of Whitehall can now be added to the combustible mixture.

    The two camps have coalesced around competing schemes to form the framework of the UK's future trading relationship with the EU.

  • 2018-04-30 14:00


    WASHINGTON (MNI) - The U.S. Treasury Monday estimated it will borrow $75 billion of net marketable debt in the second quarter of 2018, assuming a $360 billion cash balance on June 30.

    Previously, the Treasury estimated it would borrow $176 billion in the quarter, with a $360 billion cash balance at the end of June.

    The lower borrowing estimate was due to "the higher end-of-March cash balance combined with the higher cash surplus during the quarter," the Treasury said, adding that the suspension of the debt limit allowed for increased borrowing in the quarter.

    In the first quarter of 2018, Treasury borrowed $488 billion, while the end-of-quarter cash balance was $290 billion.

  • 2018-04-17 08:00


    --IMF See Eurozone '18 Annual Growth At 2.4%, Above Oct 1.9% Fcast

    BERLIN (MNI) - Growth in the Eurozone is expected to accelerate this year before softening in subsequent years. The upswing is set to be supported by strong domestic demand, low interest rates and a thriving external sector, the International Monetary Fund said Tuesday.

    The Fund forecasts GDP growth of 2.4% this year and 2.0% next year in its World Economic Outlook. That compares with a January forecast update of 2.3% and 2.0% for 2018 and 2019 respectively.

  • 2018-04-10 06:13


    BEIJING (MNI) - It is unlikely that the trade dispute between China and the U.S. will extend into a currency or financial war at this stage as it would trigger a substantial impact on both nations, Bai Chongen, a member of the PBOC monetary policy committee, told MNI in exclusive comments.

    "I hope the trade war will not expand into such (a currency or financial war), now I don't see much chance (of that happening) because it would have a substantial impact on both China and the U.S.," he said.

    According to Bai, China does not need to use such a methods, as it has many other options.

    "China does not need to make such a choice because we have other choices," he said, without expanding what the choices were.

    China and the U.S.

  • 2018-04-04 10:20


    --Adds paragraphs at end

    ROME (MNI) - Complex initial talks between Italy's political parties will take place over the next two days to help President Sergio Mattarella determine whether there is solid ground to form a new government, with a second vote still on the table as an option of last resort.

    "The last thing Mattarella wants is for the country to go back to the ballot boxes in such a short timeframe, so he will vet all imaginable scenarios trying to identify key figures for the role of next prime minister," Sergio Fabbrini, head of LUISS University's School of Government, told MNI.

    "But without agreements between parties all his attempts will be void," Fabbrini added.

    On Wednesday and Thursday all parties and parliamentary leaders will b

  • 2018-04-04 03:05


    By Silvia Marchetti

    ROME (MNI) - Complex initial talks between Italy's political parties will take place over the next two days to help President Sergio Mattarella determine whether there is solid ground to form a new government, with a second vote still on the table as an option of last resort.

    "The last thing Mattarella wants is for the country to go back to the ballot boxes in such a short timeframe, so he will vet all imaginable scenarios trying to identify key figures for the role of next prime minister," Sergio Fabbrini, head of LUISS University's School of Government, told MNI.

    "But without agreements between parties all his attempts will be void," Fabbrini added.

    On Wednesday and Thursday all parties and parliamentary leaders will be summoned to Rome's pres

  • 2018-03-28 07:30


    -BOE Says Non-UK Firms Can Plan On Delaying Authorisation Until End of Brexit Transition (Dec 2020)

    LONDON (MNI) - The Bank of England welcomed the provisional agreement between the UK and EU over a Brexit transition period and told overseas institutions that they could plan on the basis that they had until the end of the transition period to get authorisation to operate under the new arrangements.

    The Bank's announcement Wednesday is designed to ease the pressure on non-UK financial institutions that want to keep operating here post-Brexit, by stressing that the deadline for authorisation has been pushed back.

    The provisional transitional deal offers an interim period through to December 2020 after the UK leaves the EU in March 2019 under which the cou