GlobalSource Partners | Country Insights

This past August 8 an important Sofom (one of the Multiple Purpose Financial Companies or Sociedades Financieras de Objeto Múltiple) announced it was suspending payments to its creditors given “the complicated environment facing the non bank financial institution sector.” Given that this company ...

Chile's Constitutional Referendum: The Countdown Begins

CHILE · In Brief · 29 Aug 2022 · 1 response

With just under a week to go to Chile’s constitutional referendum, the political process which began on 18 October, 2019 is about to reach its zenith. Polls continue to show that a plurality of Chileans will reject the draft constitution on 4 September, although as other important votes elsewhere...

Kazakhstan macro: high oil prices to support revenue flow for the rest of the year

KAZAKHSTAN · Report · 29 Aug 2022

On August 27, Kazakhstan’s Deputy Prime Minister Zhamaubaev presented a draft law on the Republican budget for 2023-2025. Mr. Zhamaubaev mentioned that republican budget revenues are expected at KZT 17.8 trln next year while expenditures should reach KZT 21.0 trln. Hence the deficit is expected t...

Politics: Mexican educational system stymied by mistaken government policies

MEXICO · Report · 29 Aug 2022

Educational policy and programs have played a key role in the public battle between proponents and opponents of President Andres Manuel Lopez Obrador’s Fourth Transformation (4T), which openly declares its aim to radically transform Mexican society. The Education Reform of 2013 pushed by then-Pre...

Further tightening expected ahead

ISRAEL · Report · 29 Aug 2022

The MPC continues to reveal its hawkish bias * Policy rates moved 0.75% higher, to 2.0%, at the high end of consensus, which was in the 0.5%-0.75% range and closer to 0.5%. * Rates have pretty much surprised on the upside since the tightening cycle commenced. * Present rat...

Russia has detained 16,500 for anti-war protests in 6 months

CIS POLITICS · In Brief · 28 Aug 2022

On August 24 human rights group OVD Info published a report about the scale of state repression in Russia. The great majority of the arrests for expressing anti-war sentiments came in February and March 2022. Since then there have been very few demonstrations. Most of the arrests were in the two ...

UN inspects Ukrainian nuclear plant

CIS POLITICS · In Brief · 27 Aug 2022

On August 26 the International Atomic Energy Authority (IAEA) completed its inspection of the Zaporizhzhia plant. The plant is in Russian hands. IAEA is a UN agency. Ukraine has now said that Russia has cut the plant off from the power grid. This leaves much of Ukraine without electricity. It is ...

Russian macro: industry shows signs of stabilization

RUSSIA ECONOMICS · Report · 26 Aug 2022

Almost every day the media quotes all sorts of politicians and commentators who talk about sanctions against Russia, repeating incantations that these sanctions work, or will work in a more distant time. It is not specified exactly how they will work. On the other hand, there are experts who argu...

GULF WEEKLY: Saudi hints at oil cuts, UAE ambassador returns to Iran, tourism recovers in Bahrain

GULF COUNTRIES · Report · 26 Aug 2022 · 1 response

A skimmable summary overlaid with our analysis and links. Headlines: * The Saudi oil minister roiled markets by hinting at possible production cuts. * This came as Iran submitted a “reasonable” response to the EU on the nuclear deal text. * The UAE is sending its ambassador back to Iran afte...

Lula interviewed by Globo’s Jornal Nacional last night, Simone Tebet to be interviewed tonight, and Bolsonaro said he expects Minister de Moraes to publish the reasoning behind his decision to authorize the Federal Police operation

BRAZIL POLITICS · Report · 26 Aug 2022

Former President Lula was interviewed by Jornal Nacional in a friendly environment, without embarrassing questions and without being interrupted as he spoke. Overall, he did well. Today, the MDB's presidential candidate, Simone Tebet, will be the final interviewee of the series. Also today, free ...

Putin orders Russian Military to recruit 137,000 people

CIS POLITICS · In Brief · 26 Aug 2022 · 1 response

On August 25 the president said the million-strong Armed Forces need to expand to over 1.15 million. The figures exclude civilians working for the military. The expansion is to be completed by January 2023. Russia will find it very difficult to achieve this. People in their early 20s were born in...

Russia reintroduces Soviet heroine mother award

CIS POLITICS · In Brief · 26 Aug 2022

On August 16 Russia brought back the title of "Heroine Mother" for those who give birth to ten children or more. Putin has long lamented Russia's fertility rate of 1.6. He wanted to boost it to 1.9, which would still be below the replacement level of 2.1. A mother of 10 children shall receive USD...

So far, so good

PHILIPPINES · Forecast · 25 Aug 2022

It has been a slow crawl out of the pandemic for the economy. 1H2022 output has surpassed the pre-pandemic level but the economy has emerged only to face a gloomy world economic outlook, with elevated commodity prices, tighter financial conditions and slowing global growth. The government lacks t...

Russia: a brief market watch

RUSSIA ECONOMICS · In Brief · 25 Aug 2022

The situation in the Russian FX market remains calm. The exchange rate fluctuated in a relatively narrow range of R/$ 59-61. Trading activity was rather moderate amid the summer holidays and more or less neutral news flow. One of the most intriguing events happened on Aug 18 as a daily turnover i...

2022 Budget amendment Bill with higher deficit but no change in financing needs

DOMINICAN REPUBLIC · In Brief · 25 Aug 2022

The government delivered to the National Congress the Budget Amendment Bill for 2022, which increases the deficit to 3.6% of GDP, 0.6 pp higher than initially formulated. The novelty is that, thanks to the increase in tax revenues and savings in interest payments due to liability management opera...