Major International Business Headlines Brief::: 07 September 2018

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Major International Business Headlines Brief::: 07 September 2018

 


 

 


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*  Nestle to buy coffee from Zimbabwe in development push

*  Ramaphosa says South Africa to recover from recession soon

*  Moody's says South Africa recession shock credit negative

*  Nigeria central bank debits Standard Chartered $7.9 mln after moving MTN funds -sources

*  Kenya cancels import licence for fuel dealers over strike

*  Moody's places South Africa's MTN on review for downgrade

*  South Africa payments start-up Yoco raises $16 mln

*  Government criticised over approach to personal debt

*  British Airways probes customer data theft

*  South African miner Assore reports profit fall on stronger rand

*  Facebook chooses Singapore for $1bn data centre

*  Starbucks opens first outlet in Italy

*  Burberry stops burning unsold goods and using real fur

*  State data to be used to limit child gamers in China

*  British music exports reach new peak

*  Cryptocurrencies continue to tumble on Goldman reports

*  South Africa's FirstRand FY profit up 12 pct, beats forecasts

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

                                      

Nestle to buy coffee from Zimbabwe in development push

ZURICH (Reuters) - Nestle’s Nespresso arm expects to buy nearly all of Zimbabwe’s top-end coffee crop from small farmers this growing season and will help the beleaguered local industry get back on its feet, the Swiss group said on Thursday.

 

“Nespresso expects to buy more than 95 percent of the high quality coffee production of Zimbabwean smallholders this season. The coffee will be available to global consumers in 2019,” it said in a statement.

 

Nespresso is also working with farmers for the next harvest, when volumes are set to increase.

 

“Zimbabwe’s coffee sector is in danger of disappearing as the result of a sharp decline in production over the past 18 years, following a series of economic shocks affecting many of Zimbabwe’s agricultural industries,” the company said.

 

The country is undergoing a political transition following former leader Robert Mugabe’s 37-year rule.

 

Nespresso will provide training and technical assistance to 400 smallholder coffee farmers over the next five years in a campaign to boost the country’s output of quality sustainable coffee.

 

It was working with TechnoServe, a non-profit organisation that promotes business solutions to alleviate poverty.

 

 

 

 

 

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Ramaphosa says South Africa to recover from recession soon

JOHANNESBURG/PRETORIA (Reuters) - South Africa will soon recover from recession, President Cyril Ramaphosa said on Thursday in his first reaction to news that undermines his effort to revive the economy and attract investment after a decade of stagnation.

 

Ramaphosa staked his reputation on economic revival when he took over in February from Jacob Zuma, whose tenure was plagued by scandal, and investors welcomed his accession to power in part due to his strong ties to the business community.

 

Ratings agency Moody’s said the slide into recession in the second quarter would exacerbate fiscal and monetary challenges. It said weaker-than-expected economic data was “credit negative”.

 

Data on Thursday showed the current account deficit narrowed to 3.3 percent of gross domestic product in the second quarter, from a revised 4.6 percent in the first quarter. The rand extended its gains to more than 1 percent stronger on the news.

 

The deficit figure was slightly smaller than the 3.4 percent deficit analysts polled by Reuters had expected, a much-needed boost for after data this week showed the economy slipped into recession for the first time since 2009.

 

In his first comments on the recession, Ramaphosa said the setbacks were temporary.

 

“All these things that are happening now are transitional issues that are going to pass,” Ramaphosa was quoted by local news agency Eyewitness News as saying.

 

“I will be meeting with the business community soon, so that we rally everyone together and pull our country out of the situation that we are in,” added Ramaphosa, who was attending a China-Africa summit in Beijing when the data was released.

 

South Africa needs faster economic growth to reduce its 27 percent unemployment rate and alleviate poverty and inequality, both of which stoke instability.

 

The ruling African National Congress (ANC) has made repeated pledges to improve the economy. Unemployment is a key concern for voters ahead of elections next year.

 

MOODY’S WARNING

The rand has slumped as much as 5 percent against the dollar this week and government bonds have sold off steeply, also hurt by the turmoil on Turkish and Argentinian financial markets.

 

“This weaker-than-expected economic performance will exacerbate fiscal and monetary challenges, a credit negative,” Moody’s said in a statement on the weaker GDP figures.

 

The agency is the last of the “big three” international agencies to rate South Africa’s long-term foreign-currency debt investment grade.

 

While releasing the current account data, the Reserve Bank, which meets on Sept. 20 to decide on interest rates, said the improved current and trade account figures were due to higher value and volume of merchandised exports.

 

“South Africa’s terms of trade (including gold) improved in the second quarter of 2018 as the rand price of exports, including gold, increased at a faster pace than that of imports,” the central bank said in a statement.

 

Several foreign banks have slashed their growth forecasts for South Africa to less than 1 percent this year.

 

“Moody’s has pointed out that the task of fiscal consolidation is going to get harder, but I don’t think they’ll change our credit rating yet,” said portfolio manager Wayne McCurrie at First National Bank.

 

“A narrow current account helps. Any good news in this environment is really good news.”

 

 

 

Moody's says South Africa recession shock credit negative

JOHANNESBURG (Reuters) - Ratings agency Moody’s said on Thursday that the South African economy’s slide into recession in the second quarter would exacerbate the fiscal and monetary challenges the country faces, calling weaker-than-expected economic data “credit negative”.

 

Data showed on Tuesday that the South African economy contracted 0.7 percent in the second quarter.

 

The ratings agency is the last of the “big three” international agencies to have South Africa’s long-term foreign-currency debt in investment grade.

 

 

Nigeria central bank debits Standard Chartered $7.9 mln after moving MTN funds -sources

ABUJA (Reuters) - Nigeria’s central bank has debited Standard Chartered 2.4 billion naira ($7.86 million) after it fined the lender for helping South Africa’s telecoms firm MTN to move funds abroad, two sources told Reuters on Thursday.

 

Standard Chartered, alongside Citibank Stanbic IBTC Bank and Diamond Bank, was fined last week after the central bank said it moved a total of $8.1 billion abroad with improper certificates for telecoms giant MTN.

 

Standard Chartered has denied any wrongdoing.

 

($1 = 305.20 naira)

 

 

 

Kenya cancels import licence for fuel dealers over strike

NAIROBI (Reuters) - Kenya’s energy regulator said on Thursday it had cancelled a petroleum products import licence for the country’s main dealers’ association, accusing its members of intimidating other transporters as part of a strike against a new fuel tax.

 

Pavel Oimeke, the director general of the Energy Regulatory Commission, said authorities were working towards restoring full depot operations after the strike, which involved transporters blocking fuel depots, disrupting fuel distribution.

 

The strike by the Kenya Independent Petroleum Dealers Association (KIPEDA) started on Monday, with the suppliers seeking the cancellation of a 16 percent value added tax on petroleum products that came into effect on Saturday.

 

Their action of blocking fuel depots in the capital Nairobi and the port city of Mombasa and intimidating other fuel transporters has led to fuel shortages that have also hit other parts of the country, the Energy Regulatory Commission said.

 

“The members who are actually disrupting operations are the members of KIPEDA,” Oimeke said on privately-owned NTV television. “So we have issued a notice that we have cancelled their licence, and that is the licence for import.”

 

KIPEDA members control 55 percent of the retail market, while the rest is served by marketers such as Shell’s licensee Vivo Energy, KenolKobil and Total Kenya.

 

Officials from the association were not immediately reachable for comment.

 

Oimeke said the regulator was working with state security agencies to make sure any other transporter wishing to collect fuel from the various depots did so unhindered.

 

“Already, I can confirm that loading at the depots in Nairobi was going on as of late afternoon yesterday and we expect that the flow of products is going to the petrol stations,” he said, adding that KIPEDA could get its licence back on condition it did not interfere with other transporters.

 

“We don’t refuse they can go on strike, but it should be a peaceful demonstration not hindering others to load,” he said.

 

The fuel tax is part of a government bid to finance key priorities while narrowing a fiscal deficit that could jeopardise a deal with the International Monetary Fund.

 

National Treasury Cabinet Secretary Henry Rotich was on Thursday holding a meeting with members of parliament to try and resolve the imposition of the tax, which has already triggered a hike in transport prices.

 

 

 

Moody's places South Africa's MTN on review for downgrade

JOHANNESBURG (Reuters) - MTN Group has been put on review by Moody’s for downgrade after the South African mobile phone operator said it was on the hook for a total of $10.1 billion from its biggest market Nigeria, the ratings agency said on Thursday.

 

“MTN’s ratings have been placed on review for downgrade to reflect the uncertainty around the potential implications of the recent CBN (Central Bank of Nigeria) and NAG (Nigerian Attorney General) announcements on MTN’s credit profile,” Moody’s said.

 

Africa’s biggest wireless phones group said on Tuesday the Nigerian Attorney General was seeking $2 billion in taxes incurred over the last decade.

 

That followed an order days before from that country’s central bank that MTN’s Lagos-based unit hand over $8.1 billion that it said was illegally sent abroad.

 

 

 

South Africa payments start-up Yoco raises $16 mln

JOHANNESBURG (Reuters) - South African fintech start-up Yoco raised $16 million from international and local investors in a private funding round, it said on Thursday.

 

Yoco offers a card reader and app which allow users to turn smartphones into payment terminals and the company, started in 2015, is targeting small businesses that do not currently accept cards.

 

Only 7 percent of South African small businesses accept card payments despite a card penetration rate of 75 percent, according to Yoco.

 

The company has a base of more than 27,000 small businesses, 75 percent of which had never accepted cards previously.

 

It is adding more than 1,500 merchants per month which Yoco says makes it “South Africa’s largest and fastest growing independent card payments provider by number of merchants.”

 

Investors in the funding round included U.S.-based venture capital firm Partech, Orange Digital Ventures, the Dutch Development Bank and South Africa’s FutureGrowth.

 

“There is investor confidence and appetite for new business models and untapped segments in South Africa,” co-founder and Chief Business Officer Carl Wazen said.

 

Co-founder and chief executive Katlego Maphai told Reuters the company would use the money to expand its network of small business merchants, invest in product development and attract talent.

 

He said he got the idea for Yoco after encountering payments processor Square Inc at a “hole in the wall” barbecue restaurant in the United States.

 

The owner took out “this Android phone, all battered up, she puts in the Square dongle, takes the card and he (his friend) signs with his finger. These lightbulbs just went off in my head,” Maphai said.

 

Yoco raised $3 million in a previous funding round.

 

 

South African miner Assore reports profit fall on stronger rand

JOHANNESBURG (Reuters) - South African minerals and metals producer Assore reported a 1.9 percent fall in annual profit on Thursday as a strong rand currency offset favourable commodity prices and higher sales.

 

Assore, which also produces manganese and chrome ore, said headline earnings per share (HEPS) for the year to June 30 fell to 4,953 cents from 5,049 cents.

 

Headline EPS, which strips out certain one-off items, is the most widely watched profit measure in South Africa.

 

A stronger rand curtailed higher commodity prices and sales.

 

Iron ore and chrome sales grew for a fourth consecutive year by 5 percent and 16 percent, respectively.

 

“The average market price for iron ore was stable over the full year 2018 ...These factors were, however, not sufficient to counter the effect of the stronger rand-U.S. dollar exchange rate,” the company said.

 

Assmang, a joint venture with African Rainbow Mineral’s , increased its contribution to overall earnings by 8 percent to 7.1 billion rand ($459 million).

 

The company said that while it was not negatively impacted by U.S. trade tariffs further escalation could impact economic growth and steel demand.

 

Assore announced a dividend of 12 rand per share and a total full year dividend of 22 rand per share.

 

 

($1 = 15.4800 rand)

 

 

 

South Africa's FirstRand FY profit up 12 pct, beats forecasts

JOHANNESBURG (Reuters) - South Africa’s largest lender FirstRand beat estimates with a 12 percent rise in annual profit on Thursday, helped by income and deposit fees.

 

Headline earnings per share (EPS) came in at 473 cents in the year though to the end of June, above the 465 cents forecast in a poll of 11 analysts by Thomson Reuters I/B/E/S.

 

Headline EPS, which strips out certain one-off items, is the main profit measure in South Africa.

 

South African banks have struggled to grow lending at a faster rate, as a weak economy, which has slipped into recession, and high personal debt levels hit both investment and spending.

 

But FirstRand has built a meaningful market share at home, helping it boost non-interest revenue, or income from transaction and deposit fees.

 

The company, which competes with Standard Bank, Nedbank, Absa and Capitec, lifted its customer base by 4 percent to 8.15 million.

 

 

 

Government criticised over approach to personal debt

Weaknesses in the government's strategy for managing personal debt is raising costs to the taxpayer, according to the National Audit Office.

 

Struggling to pay debts makes people more likely to end up in state-subsidised housing, the body says.

 

It also leads to anxiety and depression, which adds to NHS costs.

 

But the government has a "limited" understanding of the impact of debt, and there was a lack of co-ordination between departments, the NAO said.

 

"Problem debt has significant consequences both for individuals and the taxpayer," said Amyas Morse, the head of the NAO.

 

The government's attempts to address the issue so far had been "insufficient", he added.

 

Funding pressures might also be leading to debts being pursued "too quickly and aggressively" the NAO said, thus exacerbating their impact.

 

How much debt do UK households have?

The NAO said its modelling estimates suggested that "intimidating actions and additional charges" for those in debt increased the likelihood of mental health problems.

 

There are 8.3 million people struggling with personal debt in the UK, it said.

 

Problem debts to government, largely over council tax or benefits, have become the biggest issue reported to Citizens Advice in the last five years.

 

The NAO estimates the cost of problem debts to the taxpayer as follows:

 

Increased use of social housing - £225m

Increased use of NHS services - £24m

But it adds that the wider costs to the economy of problem debts, such as increased dependency on a wide range of public services, informal care, and lost employment, run to £900m.

 

Frank Field MP, chairman of the Work and Pensions Select Committee, said the level of private debt owed to government was "a sorry indictment of the benefits policy".

 

Lower earning families are being locked "into a miserable cycle of debt and hunger, easy prey to loan sharks and forced to resort to food banks", he added.

 

An HM Treasury Spokesperson said it was taking action on problem debt: "We're increasing funding for the Money Advice Service to over £56m enough to help over 530,000 people get the debt advice they need.

 

"We're also introducing a breathing space from problem debt to give people time to get their lives back on track."

 

Better understanding

HM Treasury has formal responsibility for managing these debts, but the NAO says it has limited information, does not fully understand the problem, and cannot respond effectively.

 

Amyas Morse, the head of the NAO, said: "The Treasury needs a better understanding of the scale of people's debt problems and how it is impacting their lives and the taxpayer so it can effectively resolve the problem."

 

Joanna Elson OBE, chief executive of the Money Advice Trust, the charity that runs National Debtline, said: "We need to see a new cross-government strategy to tackle problem debt - which brings together the work of government departments, agencies and regulators into a single, coherent approach.

 

The NAO says the way government bodies try to collect debts can end up being counter-productive.

 

It said its analysis had found that "intimidating actions and additional charges" were 15% to 29% "more likely to make debts harder to manage and increase levels of anxiety or depression."

 

"We found examples of good practice, but it is not adopted consistently.

 

"For example, established best practice in how to assess the affordability of repayments, promoted by The Money Advice Service, is used by only 19% of local authorities and is not used as standard by government departments," it added.

 

Research by the debt charity StepChange found that more people felt they were treated unfairly by local authorities than by payday lenders. Treating debtors fairly, it estimated, could lead to creditors saving an average of £730 per person.

 

StepChange CEO Phil Andrew said: "The National Audit Office hits the nail on the head.

 

"Poor debt collection practices that fixate only on getting as much money back as quickly as possible are counter-productive and ultimately harmful.

 

"The government is simply robbing Peter to pay Paul, as the wider implications of government debt collection practices are costing taxpayers almost a quarter of a billion pounds every year."--BBC

 

 

British Airways probes customer data theft

British Airways says it is investigating "as a matter of urgency" the theft of customer data from its website and mobile app.

 

The airline said personal and financial details of customers making bookings had been compromised.

 

BA said the breach took place between 22:58 BST on 21 August and 21:45 BST on 5 September.

 

However, the stolen data did not include travel or passport details, it added.

 

"The breach has been resolved and our website is working normally," BA said in a statement

 

"We have notified the police and relevant authorities. We are deeply sorry for the disruption that this criminal activity has caused. We take the protection of our customers' data very seriously."

 

This is not the first customer relations problem to affect the airline in recent times.

 

In July, BA apologised after IT issues caused dozens of flights in and out of Heathrow Airport to be cancelled.

 

A number of short-haul flights were cancelled after an incident involving a "supplier IT system".

 

The month before, more than 2,000 BA passengers had their tickets cancelled because the prices were too cheap.

 

BA apologised for the error on flights to Tel Aviv and Dubai, but customers said they were angry their tickets were not being honoured.

 

And in May 2017, serious problems with British Airways' IT systems led to thousands of passengers having their plans disrupted, after all flights from Heathrow and Gatwick were cancelled.

 

 

 

Facebook chooses Singapore for $1bn data centre

Facebook has chosen Singapore for the location of its new data centre, which is expected to open in 2022.

 

The new facility will cost more than $1bn (£773m) and be located in the west of the country.

 

It has been designed as an 11-floor structure, in an attempt to conserve space in the crowded nation, according to Facebook.

 

One analyst told the BBC it was another sign of the country's popularity with large technology companies.

 

The new, 170,000-sq-m (1.8-million-sq-ft) data centre will support "hundreds" of local jobs.

 

'Snub' to India

Facebook said it expected the building to be powered by 100% renewable energy and noted that it would feature a liquid cooling system that minimised water and power use.

 

"According to our testing, [the system] can reduce the amount of peak water used by 20% in climates like Singapore's," Facebook said..

 

Indian tech blogger Pankaj Mishra said on Twitter that the move was a "snub" to India - one of Facebook's largest user markets.

 

However, Singapore is an ideal location for the data centre, according to Adam Simon at analyst firm Context.

 

"Singapore is the recognised technology hub in Asia - it's where most of the technology companies have their headquarters," he told the BBC.

 

"It's sensible because you want to be able to attract all the good talent and they've got a whole recruiting ground of technology companies based there."

 

He added that the country also had a decades-long history of attracting technology companies to its shores, could boast good infrastructure and was ideally positioned in Asia for connections with China, Hong Kong and Australia.--BBC

 

 

 

Starbucks opens first outlet in Italy

It has taken more than two years to build, but on Friday, Starbucks will open its first Italian outlet.

 

The company's Milan "roastery" goes far beyond the usual latte production line.

 

The marble-floored store will offer a "theatre of coffee roasting, brewing and mixology", as well as cocktails, pizza, bread and ice cream.

 

Local businesses said they were "not afraid" of the competition, and emphasised that high-quality coffee was already widely available in the region.

 

The Federazione Italiana Pubblici Esercizi (FIPE), which represents the country's bars and restaurants, said Italy's 149,154 coffee outlets offered good value, charging an average of one euro for an espresso, and €1.30 (£1.17) for a cappuccino.

 

Starbucks said its Milan store was intended as a "homage" to Italy's coffee traditions.

 

But while the materials and craftsmanship are locally sourced, the new store is emphatically part of the chain's global ambitions.

 

About a third of a football pitch in size, it inhabits the historic Poste building near the cathedral in Piazza Cordusio, and is the third of Starbucks' new concept "roasteries" (the first two are in Shanghai and Seattle).

 

Traditional Italian coffee shops are designed for a quick pit-stop, where customers can knock-back a mouthful of espresso without even stopping to sit down.

 

Starbucks is hoping to offer something different.

 

Customers are invited to witness the bean-to-cup process: green coffee being poured out of burlap sacks, going through the roaster, and reaching "a dramatic crescendo" as the six-and-a-half metre bronze cask they're processed in "unfolds like a blooming flower".

 

Not content with taking on Italian coffee-drinkers, Starbucks is also offering pastries, bread and pizza from a wood-fired oven, and an affogato station where you can finish off your ice cream with a liquid nitrogen quick freeze and a dose of espresso.

 

Increased competition

The theatrics will attract a certain amount of attention, but when Starbucks opens further, more low-key outlets in Italy, as it intends to later this year, they won't be without competition.

 

While Costa, which Coca-Cola recently agreed to buy, has not yet ventured into the country, there are local Italian-owned chains.

 

Coffee Joint and Arnold Coffee both boast several branches in Milan selling milky coffees that Italians consider to be "American-style", alongside muffins, brownies and bagels.

 

Italian-owned brands Lavazza and Illy Caffee have both opened flagship sites not far from Starbucks' new outlet.

 

'Not afraid'

But the body representing existing Italian coffee outlets welcomed the arrival of an American competitor.

 

"New commercial initiatives such as the opening of Starbucks are always in our favour, all the more so when they create jobs," the Federazione Italiana Pubblici Esercizi (FIPE) said.

 

"Our coffee bars are not afraid of comparison. On the contrary, it will be a stimulus to improve quality and service"

 

Jonny Forsyth, an analyst at market researcher firm Mintel, said Starbucks could succeed in Italy, given that both Domino's and McDonald's have managed to make in-roads in the country.

 

Mintel's research, which estimates the Italian coffee market was worth €19.4bn (£17.4bn) last year, suggests 16-to-35 year-olds are open to American coffee-style concepts such as flavoured Frappuccino's and cold brew, which are less common in Italy.

 

With respect

Former chief executive Howard Schultz has always claimed it was drinking coffee in Milan more than three decades ago that prompted him to found Starbucks.

 

"Everything we have experienced, since that first moment of inspiration 35 years ago to now being a daily part of millions of people's lives around the world, we bring with great respect to Italy," he said at the store's launch.

 

That respect may not be reciprocated.

 

Italians can be somewhat "snobbish" about coffee according to psychologist Paolo Vergnani, who drinks 10 espressos per day.

 

Surprisingly, though, coffee-drinking is a relatively young tradition in Italy.

 

Before World War Two, it was a luxury import for the wealthy elite, and most Italians stuck to hot drinks made from toasted barley or chicory.--BBC

 

 

 

Burberry stops burning unsold goods and using real fur

British luxury goods maker Burberry has announced that it will stop the practice of burning unsold goods, with immediate effect.

 

The fashion label also said it would stop using real fur in its products, and would phase out existing fur items.

 

In July, an earnings report revealed that Burberry destroyed unsold clothes, accessories and perfume worth £28.6m in 2017 to protect its brand.

 

The news had led to an angry response from environmental campaigners.

 

At the time, the retailer said that 2017 had been unusual as it had to destroy £10m worth of old perfume products after signing a new deal with US firm Coty.

 

Fashion firms including Burberry destroy unwanted items to prevent them being stolen or sold cheaply.

 

The fight to end fashion's silence on its waste problem

Stella McCartney: Fashion is swamping our planet

Global demand for old clothes declines

'Much-needed sign'

Burberry said it already reused, repaired, donated or recycled unsold products, but it would continue to increase these efforts.

 

Environmental campaigning group Greenpeace told the BBC: "Burberry's decision to stop incinerating its overstock is a much-needed sign of a change of mind in the fashion industry.

 

"Because fashion is a high-volume business with more than 100 billion garments produced each year, consumers' closets are already overflowing with unworn clothes - creating an overstock problem for many companies.

 

"It's high time for the whole fashion industry to start dealing with overstock at its source: by slowing down production and re-thinking the way it does business."

 

Burberry has started a partnership with sustainable luxury company Elvis & Kresse in the past year that will see 120 tonnes of leather off-cuts transformed into new products over the next five years.

 

At the same time, the fashion label has also established the Burberry Material Futures Research Group with the Royal College of Art to invent new sustainable materials.

 

"Modern luxury means being socially and environmentally responsible," said Burberry's chief executive Marco Gobbetti.

 

"This belief is core to us at Burberry and key to our long-term success. We are committed to applying the same creativity to all parts of Burberry as we do to our products."

 

The Ellen Macarthur Foundation - which aims to eradicate waste in a host of sectors - said in a report published in 2015 that nearly three quarters (73%) of the 53 million tonnes of textiles and fibres produced globally every year end up either in landfill or incinerated.

 

Policy switch

Burberry currently uses rabbit, fox, mink and Asiatic racoon fur in its collections, but will stop using them in the future.

 

The People for the Ethical Treatment of Animals (Peta) foundation, which has long campaigned against the company, told the BBC it welcomed Burberry's decision.

 

"The few fashion houses refusing to modernise and listen to the overwhelming public opinion against fur are now sticking out like a sore thumb," Peta said.

 

"If they want to stay relevant in a changing industry, they have no choice but to stop using fur stolen from animals for their coats, collars, and cuffs."

 

Safia Minney, founder of sustainable clothing brand People Tree and managing director of ethical footwear brand PoZu, welcomed Burberry's move, but said both the industry and consumers could still to do more.

 

"We really need to be consuming way less. We need to be loving and treating our clothes better," she said.

 

"Fashion has become faster and faster and more and more disposable, with products actually not at all covering the true cost of their manufacture in terms of the environmental costs and human rights costs."--BBC

 

 

 

State data to be used to limit child gamers in China

Chinese technology giant Tencent is introducing tough new rules to identify under-age gamers, amid a crackdown on gaming addiction in the country.

 

>From mid-September it will introduce a real-name registration system for its Honour of Kings games, which will be linked to China's public security database.

 

It will identify children and restrict the time they spend on the game.

 

The move is the first of its kind in the world's largest gaming market.

 

Tencent, which also operates the Chinese social network WeChat, posted its first profit decline since 2005 this summer, blaming the drop on tighter regulation, specifically around the approval of licences that allow companies to make money from new mobile games.

 

Honour of Kings is a hugely popular multi-player role-playing battle game based on Chinese historical figures.

 

It is specifically designed to play on a mobile platform, which has added to its popularity because many young gamers do not have access to a games console or PC at home.

 

The app is free to download but players have to pay to upgrade their characters and costumes in order to advance to the next level.

 

The game was criticised last year for its addictive nature in government-owned newspaper People's Daily, which called it "poison" and a "drug".

 

Following the criticism, Tencent took the decision to restrict the time children could play it - with children under 12 limited to one hour a day and those between 13 and 18 to two hours.

 

The new system will help it more accurately identify young players and "better guide under-aged players to game sensibly", the company said in a statement on its official WeChat account.

 

Chinese President Xi Jinping has spoken about the need to address the problem of gaming addiction, in particular voicing concerns about how it may be affecting children's eyesight.

 

Myopia was becoming more common among younger children, the Xinhua News Agency reported him as saying in August.

 

Following his comments, China's Ministry of Education announced that it would curb the number of new online games available to children and take new measures to limit their time on games.

 

Earlier this month, another Tencent game, Monster Hunter World, was banned in China, just days after going on sale.

 

It was not clear what was behind the ban although the Chinese government has blocked dozens of games in the past, typically for featuring excessive violence, drug-taking or sex.--BBC

 

 

 

British music exports reach new peak

Ed Sheeran, Sam Smith and Dua Lipa helped the British record industry earn £408m overseas last year, the highest figure on record.

 

Export revenues from recorded music grew by 12% compared with 2016, fuelled by "phenomenal global demand" for Ed Sheeran's Divide, said the BPI.

 

The record sold 6.1 million copies last year, beating releases by Drake, Kendrick Lamar and Taylor Swift.

 

But the BPI warned a "bad Brexit deal" could harm British music's profits.

 

"With Brexit approaching, music can help to showcase what is exciting about the UK as we forge new trading relationships," said chief executive Geoff Taylor.

 

"But only if our government supports us by ensuring a strong Brexit deal that enables artists to tour freely, robustly protects music rights, and prevents physical music products being impeded in transit."

 

Best-selling albums of 2017

1) Ed Sheeran       ÷ (Divide)

2) Taylor Swift       Reputation

3) Pink        Beautiful Trauma

4) Rag 'n' Bone Man        Human

5) Sam Smith        The Thrill of It All

6) U2 Songs Of Experience

7) Kendrick Lamar Damn

8) Eminem   Revival

9) Harry Styles      Harry Styles

10) Bruno Mars     24k Magic

The BPI said the value of British music exports - sales of CDs, vinyl, streaming and downloads of singles and albums - has brought in more than £5bn since it started tracking revenues in 2000.

 

Europe is currently the record industry's biggest overseas market, generating £165m in revenues last year.

 

It is closely followed by the US, which accounts for 35% of the UK's music earnings - but the industry is also seeing rapid growth in new markets including China, India and Brazil.

 

In total, UK artists accounted for one in every eight albums consumed globally in 2017, the BPI said, with British artists creating four of the year's top 10 best-sellers.

 

Once overseas payments were taken into account, the industry contributed £200m to the UK economy last year.

 

According to UK Music, the industry's total export revenues are roughly £2.5bn, with live music, publishing and royalties also contributing to the coffers.—BBC

 

 

 

Cryptocurrencies continue to tumble on Goldman reports

Bitcoin and other digital currencies have continued to tumble in value, amid concerns that Wall Street institutions are shunning cryptocurrencies.

 

It follows media reports, originally in Business Insider, that Goldman Sachs is shelving plans to set up a cryptocurrency trading desk.

 

Mainstream lenders have largely kept their distance from digital currencies.

 

A Goldman spokesman said the bank had yet to decide on the scope of its "digital asset offering".

 

On Thursday, Bitcoin was trading down 4.45%, or $300 on the day, at $6,382.

 

The cryptocurrency has lost two-thirds of its value in the past nine months. It was trading above $19,000 in mid-December, and if its falls continue it could threaten this year's low of $5,887.

 

Meanwhile other coins were also losing value on Thursday - with Ethereum down 12%, Litecoin losing 11%, and Ripple behind by 7%.

 

'Rough 24 hours'

The future regulatory framework for digital coins remains unclear, and the US Securities and Exchange Commission (SEC) has warned some coins issued in initial coin offerings might be regarded as securities.

 

That means that dealing in them would be subject to federal law.

 

Other issues of concern around cryptocurrencies include potential money-laundering and market manipulation.

 

The overall market capitalisation of virtual currencies has lost three-quarters of its value since its January peak, according to Coinmarketcap, slumping from $800bn to around $200bn now.

 

Craig Erlam, senior market analyst at FX firm Oanda, said: "It's been a rough 24 hours for Bitcoin and its peers, with reports that Goldman Sachs has postponed launching a cryptocurrency trading desk due to the uncertain regulatory landscape."

 

He added: "The regulatory environment is going to be key to all of this and the fact that Goldman Sachs remains so concerned is clearly a blow."--BBC

 

 

 

 

 


 

 


 

INVESTORS DIARY 2018

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 


 

 

 

 


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DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of Faith Capital (Pvt) Ltd for general information purposes only and does not constitute an offer to sell or the solicitation of an offer to buy or subscribe for any securities. The information contained in this report has been compiled from sources believed to be reliable, but no representation or warranty is made or guarantee given as to its accuracy or completeness. All opinions expressed and recommendations made are subject to change without notice. Securities or financial instruments mentioned herein may not be suitable for all investors. Securities of emerging and mid-size growth companies typically involve a higher degree of risk and more volatility than the securities of more established companies. Neither Faith Capital nor any other member of Bulls ‘n Bears nor any other person, accepts any liability whatsoever for any loss howsoever arising from any use of this report or its contents or otherwise arising in connection therewith. Recipients of this report shall be solely responsible for making their own independent investigation into the business, financial condition and future prospects of any companies referred to in this report. Other  Indices quoted herein are for guideline purposes only and sourced from third parties.

 


 

 


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