GlobalSource Partners | Country Insights

The unprecedented 15.7% contraction in Q2 was hardly a surprise. But there is uncertainty over the distribution of “pain” across sectors and aggregate demand, and the depth of the collapse. Almost all sectors were hard hit. But agriculture, financial and insurance activities, and real estate acti...

Government withdraws request for urgent status for the Tax Reform proposal

BRAZIL POLITICS · Report · 04 Sep 2020

Today, September 4, the government withdrew its request for urgent status for the Tax Reform proposal it submitted to Congress. If the request for urgent status (submitted on July 21 along with the proposal) were granted, the text would block the agenda next week, preventing the Lower House from ...

No deflation in August, by year-end inflation is likely to exceed 4%

RUSSIA ECONOMICS · In Brief · 04 Sep 2020

Rosstat reported that m-o-m inflation was at 0% in August, even though some deflation due to seasonal factors was earlier expected. Even though prices of fruits and vegetables fell, so that food prices in total were down by 0.9% m-o-m, and by 1.0% y-o-y, it was not enough to offset increased pric...

Russia’s political and pandemic update: Russia’s alienation to deepen amid Navalny saga

RUSSIA ECONOMICS · Report · 04 Sep 2020

As the number of confirmed COVID-19 cases in Russia exceeded 1 mln people, while Russian economic performance has improved in recent months, Russians became a bit more optimistic in August, even though the daily numbers of newly infected people stopped declining in mid-August and fluctuated below...

GULF WEEKLY: Dubai issues, Oman VAT approved, PMIs weaken, Israelis fly to UAE

GULF COUNTRIES · Report · 04 Sep 2020

A skimmable summary of key developments overlaid with our analysis and links to further information. Headlines include: * Dubai issued $2bn in bonds and sukuk, and Bahrain started talks with banks about an issuance to take advantage of the sharp fall in yields. * The first Israel-UAE flight t...

US concerned about new Chinese army base in Tajikistan

RUSSIA / FSU POLITICS · In Brief · 04 Sep 2020

On September 2 the US Government said that China is seeking to establish a military base. Beijing has a deeply sympathetic relationship with Dushanbe. Chinese companies are increasingly important in the economy. There are 7,000 Russian troops in Tajikistan. Russia regards this former Soviet count...

President of Kazakhstan plans to reorganize the state

RUSSIA / FSU POLITICS · In Brief · 04 Sep 2020

On September 1 Qasym-Zhomart Toqaev addressed his people. He announced a major overhaul of state structures. The Agency for Strategic Planning and Reforms will be set up. Another as-yet-unnamed agency will be created to manage economic competition.There is growing disenchantment with economic sta...

The NBU leaves prime rate at 6% amid scandal court ruling on Privatbank

UKRAINE · In Brief · 04 Sep 2020

Yesterday, on September 3rd the NBU Board again decided to leave prime rate unchanged at 6%. Press-release mentioned reviving demand and energy prices’ increase. Also the NBU assumes continued cooperation with the IMF. Among major risks the NBU mentioned “negative impact of certain court rulings ...

The government details its Administrative Reform proposal

BRAZIL POLITICS · Report · 03 Sep 2020

Today, September 3, the federal government formally submitted to Congress the Proposed Amendment to the Constitution (PEC) on Administrative Reform. The text proposes a series of changes in the rules of civil service, such as prohibiting the compulsory retirement of civil servants as a form of pu...

Russian Ruble tumbles as Germany says Navalny was poisoned

RUSSIA / FSU POLITICS · In Brief · 03 Sep 2020

On September 2 German doctors announced that they are certain that Russian anti-corruption campaigner Alexey Navalny was poisoned with a nerve agent called novichok. Whether the accusation is true or not the impact on the RUB has been dramatic. The RUB saw its most abrupt fall in 6 months. The RU...

The employment picture

PHILIPPINES · In Brief · 03 Sep 2020

The Philippine Statistics Authority released this morning its labor force survey for the third quarter. Overall, the numbers paint an improving employment picture in 3Q following the strict lockdown in 2Q. However, the 10% unemployment is at its highest since 2004 and 17% underemployment since 20...

Inflation remained elevated in August

TURKEY · Report · 03 Sep 2020

Consumer prices rose by 0.86%, m/m, in August, leaving the 12-month rate unchanged at 11.8% from July, broadly as expected. The twelve-month domestic-PPI inflation rose markedly however, to 11.5% from 8.3% in July, attesting to the cost-push, effects stemming from recent lira weakness (Graphs 1-2).

The forint's weak trend continued on two events yesterday

HUNGARY · In Brief · 03 Sep 2020

The forint's weak trend, which started with the Finance Ministry's sharp upward revision of this year's fiscal deficit forecast and then continued due to the MNB effectively tolerating and even actively assisting fiscal loosening, went further yesterday, EURHUF moving to the upper half of the 355...

Bolsonaro’s popularity reaches 39%

BRAZIL POLITICS · Report · 02 Sep 2020

The Exame/Ideia Big Data poll, conducted between August 24 and 31, shows that Jair Bolsonaro’s positive ratings (great/good) have reached 39%. The negative ratings (bad/very bad), on the other hand, accounted for 39%, and the regular rating adds up to 20%. According to Big Data, the poll reflects...

Belarus arrests student protesters as Lukashenka tries to consolidate

RUSSIA / FSU POLITICS · In Brief · 02 Sep 2020

On September 1 police arrested almost 100 students demonstrating against the president. The protesters called the police fascist. It was the first day of the academic year. Hundreds more student protesters were not arrested. Protests have been ongoing since the disputed August 9 presidential elec...