China retail sales up 10.8 pct in August – China’s retail sales grew 10.8 percent year on year to 2.49 trillion yuan (390.89 billion U.S. dollars) in August, the National Bureau of Statistics (NBS) said Sunday. The growth rate picked up slightly from 10.5 percent in July. A key reason for the month-on-month rise in retail sales was rising retail prices, and the August retail sales growth rate is almost the same as in July if one deducts the price factor, said NBS statistician Lin Tao. (Xinhua, 14/9/15)
China’s inter-bank foreign exchange market will be opened to foreign central banks, Premier Li Keqiang said at the opening ceremony of the Summer Davos meeting. The PBOC said foreign central banks and global international organizations have already been able to operate transactions of derivatives through the PBOC, and the next step is to realize the premier’s call. (Xinhua, 14/9/15)
U.S. Federal Reserve leaves key interest rate unchanged – The Federal Reserve on Thursday kept its benchmark interest rate unchanged, according to a statement released by the U.S. central bank after a two-day monetary policy meeting. It will assess both realized and expected progress toward its objective of maximum employment and 2 percent inflation in its consideration of when to raise the benchmark interest rate, the statement said. The economic activity is expanding at moderate rate with labor market approaching maximum employment but inflation staying muted, it added. (Xinhua, 18/9/15)
Japan logs trade deficit for 5th month in August – Japan posted a goods trade deficit for the fifth straight month in August, the government said Thursday, partly reflecting a drop in exports to China amid a slowdown in the world’s second-largest economy. The deficit in value terms shrank 40.2 percent from a year earlier to 569.7 billion yen ($4.7 billion) as imports were pushed down by lower crude oil prices, the Finance Ministry said in a preliminary report. (Kyodo News, 17/9/15)
State Railway of Thailand confirms 6 bids open before end-2015. A spokesman for the SRT has confirmed that it will open bidding for six projects worth Bt150bn by the end of 2015, including the dual railway, airport link and missing link. (Kao Hoon, 15/9/15)
BoI offers more tax exemption – In another bid to boost the economy, the Board of Investment (BoI) has increased corporate income tax exemptions by up to two years for investment projects that can begin operations by the end of 2017. Hiranya Sujinai, secretarygeneral of the BoI, said the investment board agreed to introduce measures to hasten investment projects and stimulate economic growth by offering additional tax exemptions to investors who submitted projects between January 1, 2015 to December 31, 2016 and can commence production or service provisioning by the end of 2017. Hiranya said the measures approved by the BoI yesterday could be implemented shortly and could be adjusted when the new BoI law comes into effect. (The Nation, 17/9/15)
Village fund stimulus most popular – Among the economic stimulus measures recently initiated by the government, Village Funds are the most favoured, says the University of the Thai Chamber of Commerce (UTCC). (Bangkok Post, 18/9/15)
Government to speed up budget spending to boost economy – The Director-General of the Comptroller General’s Department Manas Jamveha expects spending of only Bt0.29trn, or 65% of the budget, missing the target of 87%. The annual disbursement is expected to hit the target of 96% or Bt2.47trn. (Post Today, 12/9/15)
Cabinet gives nod to new Investment Promotion Act: BoI proposes added tax breaks, other incentives – The Cabinet yesterday approved a new Investment Promotion Act that was proposed by the Board of Investment with the aim of stimulating investment by providing new incentives and tax measures. (The Nation, 16/9/15)
B200bn stimulus at the ready – Government hopes to boost full-year growth. At least 200 billion baht of the government’s budget is expected to be taken out from October-December as part of efforts to ramp up public spending and tackle cooling economic expansion. (Bangkok Post, 16/9/15)
