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REGIONAL

Trinidad and Tobago

Calypso fund drops $0.50

OVERALL market activity resulted from trading in 13 securities of which four

advanced, four declined and five traded firm.

Oil spill contained, but fishermen fear chemicals

AN oil spill in the Gulf of Paria last week has been contained and an all-

clear was given for fishermen to return to sea.

South, Central chambers: Slow sales in 2018

The retail sales sector witnessed sharp declines in 2018 according to the

heads of three business chambers with one chamber saying December

sales were down by a whopping 60 per cent when compared to 2017.

Barbados

New year, new oil supplier

Nine companies have bid to supply Barbados with petroleum products

and the winning bid should be announced early next month.

Jamaica

NCBJ offloads JMMB shares

National Commercial Bank Jamaica Ltd (NCBJ) yesterday sold its

remaining shares in JMMB Group Ltd.

Market analysts expect another good year for stocks in 2019

In the past month, the Jamaican stock market has skidded by more than

20,000 points, or more than five per cent, which means that investors have

shed a portion of the $1.6 trillion in wealth amassed up to the end of

November.

T-bill yields on the rise, as BOJ cuts signal rate

For most of 2018, the market was willing to follow the signals set by the

Bank of Jamaica, BOJ, whose policy decisions has been to cut interest

rates.

Jamaica continued

Stocks lose momentum a day after Dow's record gain

Stocks were falling sharply Thursday at mid-afternoon, making the prior

day's strong performance seem like an aberration, as Wall Street stumbles

towards what could be its worst December since the Great Depression.

Guyana

Smuggled fuel dents GuyOil sales in 2017

The state-owned Guyana Oil Company Limited (GuyOil) last year lost

ground in its gasoline, thanks to among other things, smuggling.

The stage is set for elections

On Friday December 21, 2018, the National Assembly, comprising 65

elected members, debated a motion of no-confidence initiated by the

Leader of the Opposition, Bharrat Jagdeo.

The Bahamas

Judge Clears Way For $2.8bn Revival

The Supreme Court has cleared the way for the former Ginn project’s

$2.8bn revival, and creation of up to 1,400 full-time Bahamian jobs, by

declaring Old Bahama Bay’s lease “null and void”.

Christmas Sales Matched 2017

BUSINESS this Christmas was “steady” and comparable to last year’s

holiday shopping period, several local retailers have confirmed.

St. Lucia

Economics minister believes George F.L. Charles Airport could become

hub for regional business

Economic Minister, Guy Joseph, believes that Saint Lucia has the potential

to attract regional businesses and the George F.L. Charles Airport, located

in Castries, has an integral role to play in achieving that goal.

Saint Lucia ranked in world’s best beaches list

FlightNetWork, one of the world’s largest online travel publications,

selected and ranked 400 of the world’s top beaches with the help of

1,000 of the industry’s leading travel professionals.

Haiti

Poor performance of the Haitian economy in 2018

The last Economic Report of the Year of the Economic Commission for

Latin America and the Caribbean (ECLAC) released last week, reveals

that macroeconomic performance in 2018 for Haiti has been modest and

below expectations (October 2017 period) to September 2018). The

ECLAC estimates the growth of Haiti's Gross Domestic Product (GDP) at

only 1.4% (1.2% in 2017), the persistence of an inflationary dynamic of

14.6% (15.4% in 2017), a large public deficit of 6.5% of GDP (3.9% in 2017),

as well as an increase in the current account deficit of 3.5% of GDP (2.9%

in 2017), added to a strong depreciation of the gourd.

Panama

Panama Canal revenues up 9.1%

Panama Canal revenues climbed 9.1 percent to $2.082 billion between

January and October, up from $1.908 billion in the same period of 2017,

according to official statistics released Monday.

British Virgin Islands

BVI’s accommodation inventory to normalize in a year or so

Residents and visitors have been given a clearer indication of how much

longer they will have to wait before the BVI returns to operating at full

capacity as it relates to accommodation in the territory.

Costa Rica

More Canadians To Hit Costa Rica Beaches with New Direct Flights from

Vancouver

The Canadian low-cost airline Sunwing, that also operates seasonal flight

services from over 30 local Canadian gateways, started operations this

week between Vancouver International airport (YVE) and the Daniel

Oduber International airport (LIR) in the Guanacaste of Liberia.

Dominica

Construction of geothermal power plant earmarked for 2019

Minister for Trade, Energy and Employment, Ian Douglas, has said that the

government is now in a position to begin construction of a geothermal

power plant in the Roseau Valley.

Dominica continued

Govt to remove duties on biodegradable items

In preparation for the implementation of the ban on Styrofoam and

plastics, the government has taken a decision to removed duty on bio

degradable items.

Other Regional

ECCB Governor predicts 3 per cent growth

The Governor of the Eastern Caribbean Central Bank (ECCB) is predicting

growth of 3 per cent for the Eastern Caribbean Currency Union (ECCU).

Timothy Antoine made the announcement in his 2018 Christmas message,

released recently.

ECLAC Says Latin America and Caribbean Economies to Grow 1.7% Next

Year, Amid Greater International Uncertainty

The year 2019 looks to be a period in which global economic

uncertainties, far from waning, will intensify and will arise from different

fronts. This will have an impact on the growth of the economies of Latin

America and the Caribbean, which, on average, are seen expanding 1.7

per cent, according to new projections released today by the Economic

Commission for Latin America and the Caribbean (ECLAC).

INTERNATIONAL

United States

Trump administration puts stop to new flood insurance policies

The Trump administration has decided it cannot authorize new flood

insurance policies, citing the partial shutdown of the federal government

due to a budget impasse in Congress and potentially putting thousands of

home sales in limbo.

U.S. government advises workers on staving off creditors amid shutdown

As a partial shutdown of the U.S. government stretched into its sixth day,

the agency that oversees the federal workforce offered advice on

staving off creditors to the estimated 800,000 employees who could be

affected by a lapse in pay.

United States continued

Stock futures higher as Wall St.'s post-Christmas rally continues

U.S. stock futures were higher on Friday, extending a two-day rally amid

volatile trading and raising expectations that the recent selloff may have

eased for now.

United Kingdom

May's Brexit deal can get through parliament – Hunt

Prime Minister Theresa May’s Brexit deal can be passed by the British

parliament if the European Union provides clarification that the Northern

Irish “backstop” will be temporary, foreign minister Jeremy Hunt said on

Friday.

France's Vinci in $3.7 billion swoop on UK's Gatwick airport

France’s Vinci (SGEF.PA) is taking advantage of a Brexit hit to UK asset

prices to buy a majority stake in Britain’s second-busiest airport, London’s

Gatwick, for 2.9 billion pounds ($3.7 billion), the construction company

said on Thursday.

Europe

German inflation slows just as ECB dials back stimulus

Inflation in Germany’s most populous regions slowed in December, just as

the European Central Bank ended a crisis-fighting bond purchase scheme

after four years and as global markets slumped.

China

Nissan to make fewer cars in China in months ahead as demand slows:

source

Nissan Motor Co (7201.T) will produce 30,000 fewer vehicles in the coming

months in China than what it had planned, a person briefed on the

matter told Reuters, as global automakers grapple with falling demand in

the world’s biggest car market.

China allows first-ever U.S. rice imports in 'goodwill gesture' ahead of trade

talks

China has opened the door to imports of rice from the United States for

the first time ever in what analysts took to signal a warming of relations

between the world’s two biggest economies after a frosty year marked by

tensions and tit-for-tat tariffs.

China continued

China says new financial information rules aimed at providers for

institutions

China’s internet regulator said on Friday the recently published rules

governing financial information providers are aimed at firms supplying

information to an institutional audience and to specific investors, rather

than the general public.

Japan

Japan's Nikkei ends down, books first annual loss since 2011

Japan’s Nikkei fell on its final trading day of the year on Friday as energy-

related shares sagged, leading the index to its first annual loss in seven

years.

India

Modi considers three options to aid Indian farmers hit by low crop prices:

sources

India’s Prime Minister Narendra Modi is considering three options for a

relief package to help farmers suffering because of low crop prices at a

cost of as much as 3 trillion rupees ($42.82 billion), according to three

government sources.

Modi's clampdown on e-commerce in India may not win back votes of

small retailers

India’s new curbs on e-commerce companies may not be enough to win

over small store owners and traders in next year’s general election, with

the key voting bloc still seething over what it sees as broken promises by

Prime Minister Narendra Modi.

Global

Oil prices rebound but still weak due to oversupply

Oil prices rebounded on Friday, recovering slightly from heavy losses this

week, but remained close to the lowest levels in over a year as rising U.S.

inventories and concern over global economic growth rattled markets.

Global continued

Global stocks cautiously follow Wall Street's surge

Stocks in Europe and Asia rose cautiously on Friday after Wall Street ended

a volatile session with big gains, but fears of further price swings and

worries about U.S. politics kept safe-haven currencies such as the yen and

Swiss franc in demand.

NCBJ offloads JMMB shares Friday 28th December, 2018 – Jamaica Observer

National Commercial Bank Jamaica Ltd (NCBJ) yesterday sold its

remaining shares in JMMB Group Ltd.

The sale of 326,277,325 shares yielded proceeds in excess of $9 billion for

NCBJ, which is a subsidiary of the NCB Financial Group. The transaction

means NCBJ no longer holds equity interest in JMMB and as such, JMMB

will not be considered an associated company of NCBJ and NCBFG.

“NCBFG will recognise a gain of nearly $3 billion on the sale of the shares.

NCB Capital Market Limited acted as exclusive financial advisor and

broker to NCBJ for the transaction,” the financial institution said in a

statement to shareholders.

The buyer of the shares was not disclosed.

In 2011, NCB Capital Markets Ltd — a subsidiary of NCBJ — acquired 428,

777, 325 shares or a 29 per cent stake in JMMB, making it the 'single

largest' owner of the financial institution. The transaction was valued at

roughly $3.45 billion.

Upon conclusion of the sale, the banking group said the deal was “in line

with NCBCM's investment management strategy of taking positions in

liquid financial assets and does not represent a move to take control of or

acquire a majority stake in JMMB”. Earlier this year, NCBJ offloaded

102,500,000 JMMB Group ordinary shares which were taken up by PanJam

Investment.

NCBJ's sale of shares in JMMB comes amid attempts by NCBFG to acquire

62 per cent shareholding in regional insurance conglomerate, Guardian

Holdings Ltd of Trinidad.

<< Back to news headlines >>

Market analysts expect another good year for stocks in 2019 Friday 28th December, 2018 – Jamaica Gleaner

In the past month, the Jamaican stock market has skidded by more than

20,000 points, or more than five per cent, which means that investors have

shed a portion of the $1.6 trillion in wealth amassed up to the end of

November.

But for the year to date, as of Christmas Eve equity investors were still

around $300 million richer, overall, from the net gains in stock value over

the period, nine of which have delivered triple-digit growth.

The stock market did not hit 400,000 points this year as some had

expected, but came close for the main tracking indices - at 397,517 points

for the JSE Combined Index on December 4, and 394,548 points for the

JSE Main Market Index on December 5. At Christmas Eve, with another

three days of trading left to factor for this year, the combined index was

down to 373,623 points

The top stocks and the gains made year to date are: Barita Investments,

up more than 280 per cent; Derrimon Trading, 250 per cent; SSL Venture

Capital Jamaica, 260 per cent; Salada Foods, 160 per cent; CAC 2000,

160 per cent; Kingston Wharves, 130 per cent; Palace Amusement, 130

per cent; Indies Pharma, 110 per cent; and Pulse Investments, 100 per

cent.

These gains occurred within the context of the Bank of Jamaica lowering

interest rates in 2018, the last being a 25-basis point cut to 1.75 per cent on

December 20.

Market analysts polled by the Financial Gleaner expect the Jamaica

Stock Exchange to deliver another year of solid performance in 2019,

given the current macroeconomic conditions.

"Consumer and business confidence will continue to underpin a strong

capital market provided that interest rates remain low," said Paul Simpson,

founder and group president and CEO of Cornerstone United Holdings

Jamaica Limited, the company that recently acquired Barita Investments

Limited.

The outlook for listed companies remains favourable due to the

"tremendous stability of the fiscal and monetary dynamics", supported by

growth in the economy, Simpson said.

"Capital will continue to rotate out of government paper into businesses

via the markets for corporate paper and equity," he said.

Barita's own market value has climbed above $21 billion in the year, from

$3 billion.

Many of the stocks on the JSE are trading close to their full market value

when compared with their peers. In fact, 27 of the 35 main market stocks

are currently trading at or above the market average of 19 times what

they earn in annual profit, while 11 of 37 junior market stocks are trading

above the market average of 26 times earnings, as estimated by the

Financial Gleaner using December research data from brokerage firms

Barita Investments and VM Wealth.

The central bank's lowering of interest rates was seen as a key factor in the

decision made by several listed companies to refinance their debt with

cheaper borrowings.

As to the potential headwinds for stocks next year, Mayberry Investments

CEO Gary Peart sees foreign exchange volatility as the greatest threat to

gains on the JSE.

Through the year to Christmas Eve, the JSE Combined Index has improved

by 27 per cent to 373,623.27 points; the JSE Index was up 28 per cent to

368,728.41; Junior Market Index rose 16 per cent to 3,176.89, while the JSE

USD Equities Index declined 7.0 per cent to close at 155.04 points.

At market close on Thursday, stocks fell by another 6,039 points on the

Combined Index but was still well in the black year-to-date.

Some of the gains were driven by new listings, which included Elite

Diagnostic, Everything Fresh and Indies Pharma Jamaica on the junior

market, and Sygnus Credit Investments, Mayberry Jamaica Equities and

Stanley Motta on the main market.

As of November 30, the stock market was capitalised at just under $1.6

trillion, with the junior market accounting for nearly $139 billion of the total.

Market wealth in 2017 reached 1.19 trillion, $114 billion of which was

contributed by junior market companies.

The JSE led the world in gains in 2015 in a field of 92 other global

exchanges. Its performance over the past five years also outpaces all

other markets.

<< Back to news headlines >>

T-bill yields on the rise, as BOJ cuts signal rate Friday 28th December, 2018 – Jamaica Gleaner

For most of 2018, the market was willing to follow the signals set by the

Bank of Jamaica, BOJ, whose policy decisions has been to cut interest

rates.

The monthly Treasury bill auctions held by the central bank on behalf of

the Government of Jamaica, started out at or above four per cent at the

top of the year, but fell monthly in harmony with BOJ's policy signals - that

is, until September, when the first signs that the market may be moving in

a different direction began to show up in the auction results. T-bill yields

are computed based on bids submitted to the central bank.

The August auction yielded 1.693 per cent on the three-month T-bill, which

turned out to be the floor for the market. The next month, the average

yield on the same bill was 1.709 per cent, and since then it has spiked

monthly to reach 2.047 per cent in December.

The six-month T-bill has taken a similar path, although its floor came a

month later in September at 1.869 per cent. The yield in December was

2.066 per cent.

Within that time frame, the BOJ had cut and was maintaining its policy

rate at 2.00 per cent. The policy rate is the equivalent to the overnight

rate charged to banks to park money at the central bank.

Cutting interest rates is meant to reduce the cost of borrowing, and the

cost of capital. For investors, it may also mean lower returns on some

investments, but a driver of the equities market.

However, even as T-bills have changed trajectory, the central bank

remains wedded to its 'accommodative' policy position, so in December,

even while Treasury yields had ticked back above two per cent for the first

time in six months, the BOJ's rate decision was a 25 per cent reduction in

the overnight rate to 1.75 per cent. The T-bill auction was held on

December 12 and settled on December 14, and the rate decision was

made a week later, on December 20.

BOJ says the auction results don't drive its rate decisions.

"The bank's policy decisions are not determined by the trend in Treasury

bill yields, but on the bank's outlook for inflation relative to its inflation

target," BOJ Senior Deputy Governor John Robinson told the Financial

Gleaner.

The rate cut on December 20 was based on the central bank's assessment

that inflation was in danger of falling below the lower limit of its 4.0 per

cent to 6.0 per cent target range in the latter half of 2019 and early 2020.

Robinson also said the performance of the treasuries over the past four

months was also affected by the central bank's monetary stance and a

contraction in market liquidity. For this year, each T-bill auctioned has

either offered $600 million or $700 million for market subscription.

"The signal rate is lower than the bank's inflation target and therefore

considered to be accommodative," Robinson said. "The signal rate

influences other rates in the money market, including those on treasury

bills. Treasury bill rates are therefore converging with Bank of Jamaica's

signal rate as institutions seek higher yields in alternative investment

instruments," he said.

The senior deputy governor said that although liquidity is still high, it has

been declining.

The fall in liquidity, as evidenced by lower overnight placements by banks

at the BOJ towards the latter part of 2018, he said, was associated with

the central bank's sale of US dollars to the market during the months of

August to October, continued buoyancy in revenue intake by the

Government, and the demand by financial institutions for currency for use

during the Christmas season.

The central banker also noted that the marginally higher yields on Treasury

bills should not be seen as signalling the beginning of a trend.

"The ebb and flow of the factors that affect liquidity in the market will

continue to affect short-term rates, but the long-term direction of money

market rates is guided by the central bank, through its monetary policy

decisions," said Robinson. "Money market rates are consistent with the

bank's monetary policy signals," he said.

<< Back to news headlines >>

Stocks lose momentum a day after Dow's record gain Friday 28th December, 2018 – Jamaica Gleaner

Stocks were falling sharply Thursday at mid-afternoon, making the prior

day's strong performance seem like an aberration, as Wall Street stumbles

towards what could be its worst December since the Great Depression.

The Dow Jones Industrial Average slumped 600 points in afternoon trading

Thursday. If that holds it would be the Dow's fifth loss of 500 or more points

out of 18 trading days in December.

Technology companies and health care stocks, big gainers on

Wednesday when the market had its best day in 10 years, took some of

the heaviest losses in Thursday's broad slide. Energy companies as well as

internet and social media companies fell sharply as well. As of 2:15 p.m.,

only five stocks in the S&P 500 were higher.

Volatility has been the norm this month. The market remains on track for its

worst December since 1931, during the depths of the Depression, and

could finish 2018 with its biggest losses in a decade. Even with

Wednesday's big gains, the Dow, S&P 500 and Nasdaq are all down more

than 12 per cent for the month.

"You're watching the market wrestle with, 'Okay, are we within a couple

per cent off the bottom, or does the community think there's another 20

per cent lower?'" said Billy Huzar, client investment strategist at J.P.

Morgan Private Bank.

The S&P 500 index fell 69 points, or 2.8 per cent, to 2,398 as of 2:15 p.m.

Eastern Time. The Dow slid 585 points, or 2.6 per cent, to 22,292. Both

indexes rose about five per cent Wednesday, when the Dow had its

biggest-ever single-day point gain.

The tech-heavy Nasdaq lost 214 points, or 3.3 per cent, to 6,340. The

Russell 2000 index of smaller-company stocks gave up 36 points, or 2.8 per

cent, 1,293.

The partial government shutdown that began over the weekend has

weighed on the market. Investors have also been unnerved by the

personnel turmoil inside the Trump administration, trade tensions with

China, the slowing global economy and worries that corporate profits are

going to slip sooner or later.

Technology companies, a big driver of the market's gains before the

October downturn, slumped Thursday. Advanced Micro Devices lost 7.5

per cent to US$16.55.

Perrigo gave up 6.6 per cent to US$38, one of the big decliners in the

health care sector.

Retailers, which rallied Wednesday on data showing holiday retail sales

growth hit a six-year high, helped pull the market lower Thursday. Amazon

slid 5.2 per cent to US$1,395.

Bank stocks fell along with Treasury yields, which affect interest rates on

mortgages and other loans. KeyCorp declined 3.9 per cent to US$14.13 as

the yield on the 10-year Treasury fell to 2.73 per cent from 2.79 per cent

late Wednesday.

The decline in oil prices weighed on energy stocks. Noble Energy slid 5.1

per cent to US$18.10.

Benchmark U.S. crude dropped 2.6 per cent to US$45.04 a barrel in New

York. Brent crude, used to price international oils, was down 2.6 per cent

to US$53.34 a barrel in London.

The dollar fell to 110.53 yen from 111.36 yen on Wednesday. The euro

strengthened to US$1.1444 from US$1.1351.

Gold edged up 0.6 per cent to US$1,281.10 an ounce and silver gained

1.2 per cent to US$15.31 an ounce. Copper fell 1.2 per cent to US$2.67 a

pound.

The slide in U.S. markets followed a sell-off in major indexes in Europe.

In European markets, where trading resumed after a Christmas holiday

break, the German DAX slid 2.4 per cent, while France's CAC 40 gave up

0.6 per cent. Britain's FTSE 100 fell 1.5 per cent.

In Asian markets, the Nikkei 225 index rebounded 3.9 per cent, while South

Korea's Kospi was little changed. The Hang Seng index fell 0.7 per cent

and Australia's S&P-ASX 200 jumped 1.9 per cent. Stocks climbed in

Taiwan and throughout Southeast Asia.

<< Back to news headlines >>

New year, new oil supplier Friday 28th December, 2018 – Nation News

Nine companies have bid to supply Barbados with petroleum products

and the winning bid should be announced early next month.

Chairman of the Barbados national Oil Company Limited (BNOCL) Alex

McDonald told THE NATION local companies were among those bidding,

but declined to say more because he did not want to prejudice the

bidding process.

In December, BNOCL published a notice "inviting suitable qualified

suppliers to tender for the supplying of refined petroleum products

(unleaded gasoline and ultra-low sulphur diesel) and the procurements of

its indigenous crude oil".

The deadline was last Friday and bids were opened on Thursday.

<< Back to news headlines >>

Judge Clears Way For $2.8bn Revival Thursday 27th December, 2018 – Tribune 242

The Supreme Court has cleared the way for the former Ginn project’s

$2.8bn revival, and creation of up to 1,400 full-time Bahamian jobs, by

declaring Old Bahama Bay’s lease “null and void”.

Justice Keith Thompson, in an interim order signed on Christmas Eve, found

that the six-and-a-half-year-old lease of the Grand Bahama resort to its

condominium owners had “expired” and was “of no further effect”.

He then ordered that the 73 condo owners and their company, Island

Ventures Resort & Club (IVRC), give “vacant possession” of Old Bahama

Bay “forthwith” to Lubert Adler, the US real estate financier whose

investment funds own the resort and 280 acres of West End real estate.

Justice Thompson also adjourned, or stayed, all other proceedings related

to IVRC’s battle with Lubert Adler, although he moved to address the

condo owners’ key concern by directing that the US financier find a

temporary operator/manager for Old Bahama Bay.

The order, which has been obtained by Tribune Business, said it was

“declared that the lease dated June 1, 2012, and made between Lubert

Adler and IVRC.... has expired and is null, void and of no further effect”.

Besides ordering that Lubert Adler “be given vacant possession of the

leased premises forthwith”, Justice Thompson also directed that the US

financier “use its best reasonable endeavours to enter into a transitional

license or other short-term arrangement for the management of the

leased premises with either IVRC or other service providers as may be

commercially practicable”.

The ‘bigger picture’ effect of Justice Thompson’s Order is that it seemingly

paves the way for Toronto-based Skyline Investments to move ahead with

the acquisitions that are key to fulfilling its ambition of pulling off a $2.8bn,

10-year revival of the former Ginn project.

IVRC’s resistance, and initiation of Supreme Court action, had threatened

to block Lubert Adler’s sale of Old Bahama Bay to Skyline, thereby

thwarting a key component in the Canadian developer’s plan.

It will not close a $42m deal for the entire former Ginn project unless, and

until, it can obtain free and clear title to Old Bahama Bay and all its resort

assets - something that Justice Thompson’s interim Order now appears to

provide.

This outcome is also understood to have been much desired by the Minnis

administration, as IVRC’s court challenge was threatening to delay, and

potentially even derail, a major foreign direct investment (FDI) project that

the Government was relying on heavily to turn around Grand Bahama’s

moribund economy.

Justice Thompson’s ruling, though, does not completely ignore IVRC’s

needs. The requirement that Lubert Adler find a temporary

manager/operator for Old Bahama Bay until the sale to Skyline is

completed tackles the condo owners’ desire for the resort, and its

amenities, to remain open as normal through any transition period.

IVRC, in legal documents that accompanied its Supreme Court action,

had alleged that uncertainty over Lubert Adler and Skyline’s plans was

jeopardising the 1,500-room night and 945 marina dock slip leases it had

already booked for 2019 in its capacity as Old Bahama Bay’s leasehold

operator.

The condo owners’ company had claimed that it was also acting to

preserve the resort’s 103 Bahamian jobs by maintaining the “status quo”,

and ensuring the property stayed open, throughout the sales process.

However, a source familiar with Lubert Adler’s position, speaking on

condition of anonymity, told Tribune Business that the US-based financier

was always going to hire an operator for Old Bahama Bay’s marina and

other resort assets until the sale to Skyline is completed.

“They’re not going to leave people hanging,” the source said. “People

show up to that marina in bad weather all the time. They have to put

something in place for them.”

Yet different interpretations of what Justice Thompson’s interim Order

means were already emerging on Christmas Eve barely hours after his

signature had dried.

John MacDonald, IVRC’s president, told Tribune Business that based on

conversations with the condo owners’ attorneys, Lennox Paton, and his

own research, the term “vacant possession” only means handing

everything over “in good working order” once the sale to Skyline

Investments closes.

Lubert Adler, though, is understood to be interpreting the interim Order -

and especially the word “forthwith” - as meaning that IVRC must vacate

immediately, and completely hand over Old Bahama Bay and all its

assets to it.

And, while Mr MacDonald suggested IVRC will continue operating the 72-

slip marina and other resort amenities until the closing with Skyline, Tribune

Business understands that Lubert Adler is determined to seek out a

different manager given that trust between the two sides no longer exists.

The IVRC president also hinted that the condo owners may seek

compensation for “the book of business”, in terms of room and marina

reservations, they have built up for 2019. He accused Lubert Adler of

expecting to simply walk in and take this over for nothing.

“Vacant possession doesn’t mean that you leave,” Mr MacDonald told

Tribune Business. “From what I understand, our lawyers said vacant

possession means that when you turn it over it’s in good working

condition. From what I understand, we’re going to continue operating

until such time” as there is a sale.

He added that Justice Thompson had been urging both sides, IVRC and

Lubert Adler, to “work together” with no real changes to the current

situation occurring until they went back before the Supreme Court on

January 25.

“We’re trying to keep it civil and keep employees employed through the

holiday, and they’re [Lubert Adler] saying: ‘Get out of the property’,” Mr

MacDonald added. “The judge is not saying: ‘Get out’. He’s saying: ‘Work

things out. Work out some kind of term between now and the sale’.

“The status quo is us operating and keeping our employees... If there’s no

closing today, why make us fire the employees over the holiday? It’s

spiteful or not nice. Never did they send an e-mail telling us to stop taking

reservations for 2019. We have correspondence showing otherwise.”

However, an October 15, 2018, letter to IVRC’s attorneys from Scott & Co,

Lubert Adler’s Bahamian legal representatives, demands that the condo

owners “cease now” the taking of reservations for 2019 as they had been

given no permission by the US financier to do so.

Yet Mr MacDonald hinted that IVRC may well seek financial

compensation for the “quite a few reservations” taken for 2019. “There’s a

book of business, and they think we’re going to hand it over and all the

business there,” he told Tribune Business.

“We’ve spent hundreds of thousands of dollars in marketing and repairs to

get it [Old Bahama Bay] back to normal, and they expect it to be theirs,

which makes no common sense to anybody.

“If we had not taken it on when they were going to close it down in 2011,

this property would be in such disrepair that they would probably not

have a buyer. We’ve restored it over two hurricanes. If it was not for us,

there would be nothing there but our condos.

Still, Mr MacDonald conceded that IVRC would have achieved very little if

Lubert Adler is able to take possession immediately. It had initially sought

an injunction Order preventing Lubert Adler and Skyline from “interfering

or attempting to interfere” with the Old Bahama Bay assets it

operates/manages under a lease agreement.

IVRC’s summons, seen by this newspaper, also wanted the Supreme Court

to prevent Old Bahama Bay’s current and potential new owners from

“evicting or attempting to evict” it from these leased assets, which include

the 72-slip marina, gasoline station, retail and restaurants, reception area

and other facilities essential to a properly-functioning resort.

<< Back to news headlines >>

Christmas Sales Matched 2017 Thursday 27th December, 2018 – Tribune 242

BUSINESS this Christmas was “steady” and comparable to last year’s

holiday shopping period, several local retailers have confirmed.

Charmaine Daley, manager at the John’s Shoes and Accessories store on

Carmichael Road, told Tribune Business: “Things really started to pick up

on Saturday. We saw that last-minute rush. Sales, I would say, have been

maintained. I would say that business has been fairly steady this

Christmas.”

Tara Morley, director of Coles of Nassau and Morley for Men, said: “Most

people I have spoken with had a big Saturday. I’m not sure how it’s been

since then for everyone else, but we were also busy on Sunday and

Monday.”

Ms Morley, who also serves as co-chair of The Bahamas Retail Federation

(BF) and a Chamber of Commerce director, recently said the waiver of 20

percent duty for clothing and shoe retailers had been “extremely

positive”, but added that “word isn’t getting out fast enough” concerning

the concession.

One local electronics retailer told Tribune Business: “We saw a pretty good

pick up in customer traffic heading into the weekend. We haven’t really

looked at the numbers yet, but I think we did OK. Again, without really

looking at the numbers, if I were to take a guess, I would say that overall

business was comparable to last year.”

Collette McKenzie, manager of the Charlotte Street store for leather

goods retailer, Brass and Leather, told Tribune Business: “Due to the 4.5

percent increase in VAT this year business was the same as last year during

the last three shopping days.”

Many Bahamian retailers generate a significant portion of their annual

sales revenue during the busy Christmas shopping period.

<< Back to news headlines >>

Smuggled fuel dents GuyOil sales in 2017 Friday 28th December, 2018 – Kaieteur News

The state-owned Guyana Oil Company Limited (GuyOil) last year lost

ground in its gasoline, thanks to among other things, smuggling.

In its 2017 Annual Report, it was reported that net profit has decreased

almost 29 percent.

GuyOil competes mainly with SOL and Rubis.

The company’s business involves the importation, storage, distribution and

marketing of motor gasoline, gasoil, kerosene, fuel oil, and Castrol

lubricants.

The products are distributed through the large network in the petroleum

business in Guyana, comprising 52 dealer-owned, dealer operated, and

eight company-owned, company-operated service stations.

Its three terminals are at Adventure, Region Two; Providence, East Bank

Demerara and Heathburn, Berbice.

Since the loss of the Venezuela supplies in 2015, Guyana had turned to

the Petroleum Company of Trinidad and Tobago (PetroTrin) refinery in

Trinidad which is the main supplier of Mogas, Gasoil, Kerosene, and Jet A1;

and Staatsolie Maatschappij, Suriname.

Lubricant products are being supplied by BP with the company the sole

distributor of Castrol lubricants in Guyana.

According to the chairman, Mark Bender’s report, “Despite the increasing

manifestation of smuggled/illegal fuel and the increased number of

licensed private importers, GuyOil maintained its dominant position in the

Guyana market and continued to be the leader in stabilizing fuel prices,

to the benefit of the Guyanese consuming public and industries.”

According to the sales revenues, in 2017 sales were $35.259B, compared

to $31.939B in 2016, an increase of $3.32B or 10.39%.

Cost of sales was $30.465B compared to $25.889B in 2016, an increase of

$4.576B or 17.68 percent.

With regards to the sales volumes, GuyOil managed to reach 1,309,093

barrels compared to 1,287,211 barrels in 2016, an increase of 21,882

barrels or 1.7 %.

The annual report disclosed that it should be noted that sales of motor

gasoline, the company’s flagship product, decreased by 4.97%, with the

company losing market share.

In its financial performance explanation, GuyOil said that it recorded a

reduction in profitability in 2017 as compared to 2016.

The major contributory factor was the performance of motor gasoline,

which accounted for 58 percent of revenues in 2017.

Gasoline sales and the associated gross profit both declined by 4.67 %

and 21.5% respectively in 2017 as compared to 2016.

Gross profit for the year was $4.794B compared to $$6.05B for the previous

year, a decrease of $1,256B or 20.76%.

Net profit for the year after taxation amounted to $1.849B compared to

$2.609B for 2016, a decrease of $0.76B or 29.129%.

<< Back to news headlines >>

The stage is set for elections Friday 28th December, 2018 – Kaieteur News

On Friday December 21, 2018, the National Assembly, comprising 65

elected members, debated a motion of no-confidence initiated by the

Leader of the Opposition, Bharrat Jagdeo.

When the vote was taken, those in favour numbered 33 and those

against, 32. The Speaker ruled that the motion had been passed.

The government side of the House, though reeling from shock that one of

its members had voted in favour of the motion, accepted its outcome.

Prime Minister Moses Nagamootoo was reported as saying that while the

outcome was unanticipated, it had to be accepted.

President David Granger subsequently issued a statement indicating that

the government will abide by the stipulations which have been imposed

on it following the passing of the motion.

Those stipulations require the resignation of the Cabinet, including the

President, but with the government remaining remain in office until new

elections, to be held within three months.

The stage is therefore set for general and regional elections within three

months, unless an agreement is reached for it to be extended.

The President, in his statement, has noted that the government will do

everything necessary to facilitate the smooth functioning of those

elections and for normal governmental functions to continue

uninterrupted.

No-confidence motions are part of the democratic tradition. A

government stays in office only to the extent that it can demonstrate that

it enjoys the support of the majority of elected members of the National

Assembly in a vote of no-confidence.

This is a time for good sense to prevail and for all concerned to

demonstrate that Guyana subscribes to democratic tenets. Such a

demonstration will erase the fears of investors and ensure peace and

good order.

<< Back to news headlines >>

Economics minister believes George F.L. Charles Airport could become

hub for regional business Tuesday 25th December, 2018 – St. Lucia News

Economic Minister, Guy Joseph, believes that Saint Lucia has the potential

to attract regional businesses and the George F.L. Charles Airport, located

in Castries, has an integral role to play in achieving that goal.

Speaking on Radio 100’s ‘Drive By’ with Russell Lake, Joseph said the

government’s plans for both Castries and Vieux Fort call for having both

the George F.L. Charles Airport and the Hewannora International Airport,

operational.

He stated that legislation has been passed, where the government is

encouraging regional businesses to establish their headquarters in Saint

Lucia, and the George F.L. Charles Airport could become a hub to

facilitate this.

“We believe that we can attract a lot of regional businesses, so this

becomes your regional hub where you land at the airport,” he said. “Your

hotel is 20 minutes away, your conference centre, and that’s why we are

looking at Point Seraphin hotel with a conference centre, we are looking

at the Vigie side of the beach, that area there, we are looking at having

more conference facility hotels available so you can so you can attract

that level of regional business into Saint Lucia.”

Joseph said that is the plan of the government and he pointed out that

the George F.L. Charles Airport is an important link to regional traffic.

“That is the plan, and George Charles Airport is a very vital link for the

regional traffic,” he stated. “So we believe that our plans for Castries and

our plans for Vieux Fort call for having both airports operational rather

than having one airport being operational.”

<< Back to news headlines >>

Saint Lucia ranked in world’s best beaches list Friday 28th December, 2018 – St. Lucia News

FlightNetWork, one of the world’s largest online travel publications,

selected and ranked 400 of the world’s top beaches with the help of

1,000 of the industry’s leading travel professionals.

Saint Lucia has one beach featured in the ‘Top 50 Central American &

Caribbean Beaches’ category: Jalousie Bay in Soufriere.

Jalousie is ranked 41st.

Grace Bay in Turks and Caicos is ranked #1, Seven Mile Beach in Cayman

Islands #2, and Varadero Beach in Cuba #3.

FlightNetWork said: “Often touted as the Mecca of lust-worthy beaches,

the shores of Central America and the Caribbean provide ample reasons

to pack your bathing suits and book a flight. To ensure your vacation

doesn’t disappoint, we’ve developed one of the most extensive lists of

Central American and Caribbean beaches. When you’re done perusing

this list, you’ll have a firm grasp on the life-enhancing beaches you

deserve to visit as soon as possible.

“To create Central America and the Caribbean’s Top 50 Beaches©.

FlightNetwork collected insight from over 1200 journalists, editors, bloggers,

and agencies, who know all things travel. The invaluable wisdom they

provided ensured our list of Central American and Caribbean beaches

will lead you to shores so extraordinary you may decide to permanently

change your address.”

<< Back to news headlines >>

Panama Canal revenues up 9.1% Monday 24th December, 2018 – Newsroom Panama

Panama Canal revenues climbed 9.1 percent to $2.082 billion between

January and October, up from $1.908 billion in the same period of 2017,

according to official statistics released Monday.

October was the month with the best performance in the period, with

revenues of $217.68 million2.74% more than the $211.76 million in

September

In the first 10 months of this year the Canal, which accounts for around 6%

of world trade, recorded a total of 11,504 transits, 0.89% more than the

11,401 of the same period of 2017.

<< Back to news headlines >>

Poor performance of the Haitian economy in 2018 Wednesday 26th December, 2018 – Haiti Libre

The last Economic Report of the Year of the Economic Commission for

Latin America and the Caribbean (ECLAC) released last week, reveals

that macroeconomic performance in 2018 for Haiti has been modest and

below expectations (October 2017 period) to September 2018). The

ECLAC estimates the growth of Haiti's Gross Domestic Product (GDP) at

only 1.4% (1.2% in 2017), the persistence of an inflationary dynamic of

14.6% (15.4% in 2017), a large public deficit of 6.5% of GDP (3.9% in 2017),

as well as an increase in the current account deficit of 3.5% of GDP (2.9%

in 2017), added to a strong depreciation of the gourd.

The program signed in February 2018 with the International Monetary Fund

(IMF) is no longer valid [loss of significant budget support] due to non-

compliance with quantitative criteria (including the public sector deficit

and the level of reserves), as well as reforms in the electricity and energy

sector, the reduction of fuel subsidies which entails considerable

expenditures for the Treasury, averaging more than $ 200 million a year.

In 2018, the central government's tax burden (12.7% of GDP) decreased

slightly compared to the previous year (13.6% of GDP). The total tax

collection decreased in real terms by -4%, due to the reduction of direct (-

5%) and indirect revenues (-11%) and the contraction of customs revenue

(-8%). Total central government expenditure increased by 17.7% in real

terms, following a positive change in current expenditure (17%), including

subsidies (37%), but also public investment (26%). %). It should be noted

that for the first time in the last five years, these investments were intended

for programs and projects of infrastructure and agricultural work.

The overall central government deficit (6.5% of GDP) was largely financed

by net contributions from the Central Bank (BRH) [more than 26 billion

Gourdes, which reached record figures (4% of GDP), despite the

agreement management of cash, consisting of the alignment of public

expenditures according to disposable income, subscribed between the

Ministry of Economy and the BRH in September 2017.

Haiti's external public debt posted an overall balance of 2.1 billion dollars

(22 percent of GDP), with a slight increase of 0.2 percent in 2018.

The monetary policy of 2018 has adopted a cautious attitude, focused on

two main objectives: to reduce inflation and to mitigate the depreciation

of the Gourde against the dollar. BRH maintained the benchmark interest

rate at 12%. Although the average exchange rate (65.42 gourdes per

dollar) in 2018 is similar to that of 2017, a nominal exchange rate

depreciation process (11.6%) accelerated from March, given the stricter

measures on dollar-denominated transactions (which were cancelled in

October) and speculation about a shortage of dollars in the economy.

BRH's net dollar sales were $82 million (twice the amount of 2017), resulting

in a loss of nearly $150 million in net international reserves of $775 million at

the end of September ($924 million in 2017).

The current account deficit accounted for 3.5% of GDP (2.9% in 2017),

driven by the trade deficit and partially offset by the flow of remittances

from the diaspora. Imports of goods increased by 26% compared to a 9%

change in exports. The trade deficit of $ 3.5 billion, up 32% from 2017, is

due to the rise in international oil prices (+ 33%) and, to a lesser extent,

other commodities and food products. The level of exports has been

maintained thanks to the export results of garment factories which

account for 75% of the total value of exports and agricultural products.

In December 2018, inflation was expected to be 15.3% year-on-year

(14.5% in November) whose upward trend was mainly related to imported

products, through the transmission of the depreciation of the exchange

rate.

Moreover, at the level of the Greater Region (Caribbean and Latin

America), ECLAC expects the Dominican Republic to close the year 2018

with a growth rate of 6.3%, the highest rate of growth. in the region

followed by Antigua and Barbuda (5.3%), Grenada (5.2%), Bolivia (4.4%),

Panama (4.2%), Paraguay (4.2%), Chile (3.9%), Peru (3.8%), Honduras

(3.7%), Guyana (3.4%), Saint Vincent and the Grenadines (3.2%) and

Costa Rica ( 3%), Mexico (2.2%), Uruguay (1.9%), Suriname (1.9%), Trinidad

and Tobago (1.9%), Jamaica (1.5%), Haiti (1, 4%), Brazil (1.3%), Cuba (1.1%)

and Ecuador (1%). On the other hand, Venezuela will end the year with a

-15% decline in GDP, Dominica (-4.4%) and Argentina (-2.6%).

<< Back to news headlines >>

Global stocks cautiously follow Wall Street's surge Thursday 27th December, 2018 – Reuters

Stocks in Europe and Asia rose cautiously on Friday after Wall Street ended

a volatile session with big gains, but fears of further price swings and

worries about U.S. politics kept safe-haven currencies such as the yen and

Swiss franc in demand.

European shares opened in positive territory after Thursday’s 1.7 percent

retreat and were up about 1.4 percent at 0920 GMT, with most bourses

and sectors in the black.

They have not matched a two-day surge on U.S. indexes that saw the

benchmark S&P 500 index gain 5.9 percent, its best performance since

late August 2015 when the market was in the midst of a downturn over a

slowing Chinese economy.

Asian stock markets also posted modest gains, with MSCI’s broadest index

of Asia-Pacific shares outside Japan rising 0.8 percent.

While Wall Street’s capacity to shake off an initial selloff and post one of its

highest daily percentage increases has fuelled hope that some of the

selling pressure is easing, investors in Europe remained wary.

“The volatility here at year-end is unlikely to be sustained, but without

more encouraging signals from Washington, the markets will likely remain

treacherous in the New Year,” Marc Chandler at Bannockburn securities

told clients.

Volatility in Europe and in the United States has spiked to highs not seen

since the sharp global correction in stock markets in February.

The yearly picture for world stocks remains grim, with the MSCI world

equity index, which tracks shares in 47 countries, losing close to 12 percent

so far in 2018.

While stocks showed signs they might recoup more losses in the year’s final

days, lingering doubts about the stability of the market sustained demand

for safe-haven currencies.

“Markets are a bit more cautious on risk appetite, with the Japanese yen

and the Swiss franc gaining,” said Lee Hardman, an FX strategist at MUFG

in London.

“The dollar continues to be soft across the board as volatile stock markets

are reducing the relative safe haven appeal for U.S. assets.”

The dollar extended overnight losses and was down 0.55 percent at

110.40 yen and was on track to lose more than 2 percent this month.

Against the Swiss franc, it declined 0.3 percent to 0.9853 francs per dollar

after slumping more than 0.8 percent the previous day.

The euro was a shade higher at $1.1444.

Oil prices rebounded and took back some of the ground lost this week,

but remained close to their lowest levels in more than a year as rising U.S.

inventories and concern over global economic growth kept markets

under pressure.

Brent crude oil was up $1.10, or 2.1 percent, at $53.26 a barrel by 0906

GMT, having earlier risen more than 3 percent. It had dropped 4.2 percent

on Thursday.

Spot gold, which has benefited this week from the global market turmoil,

was just slightly higher at $1,276.33 an ounce following an ascent to a six-

month high of $1,279.06 on Wednesday.

In fixed income, Italian yields rose as investors made space for the last

auction of the year.

A strong auction of zero-coupon bonds on Thursday led to a mini-rally in

Italian government debt as investors saw this is a good omen for today’s

up to 5-billion-euro bond sale, which caps one of the largest borrowing

programs.

The Treasury is hoping the auction will decisively show that Italy has turned

a corner after months of volatile trading on the back of fractious talks

between Rome and Brussels over its spending plans.

<< Back to news headlines >>

Oil prices rebound but still weak due to oversupply Wednesday 26th December, 2018 – Reuters

Oil prices rebounded on Friday, recovering slightly from heavy losses this

week, but remained close to the lowest levels in over a year as rising U.S.

inventories and concern over global economic growth rattled markets.

Brent crude oil LCOc1 was up 69 cents, or 1.32 percent, at $52.85 a barrel

by 1130 GMT, having earlier risen more than 3 percent. It had dropped 4.2

percent on Thursday.

U.S. light crude CLc1 was up 96 cents, or 2.15 percent, at $45.57, after

rising 3.6 percent in early trade.

Oil prices fell to their lowest in almost 18 months this week and are down

more than 20 percent for the year, depressed by ample supplies that

have filled fuel tanks worldwide.

Stock markets in Europe and Asia rose on Friday after Wall Street ended a

volatile session with big gains, but fears of further price swings and worries

about U.S. politics kept investors cautious. [MKTS/GLOB]

“For the time being, the stock market and the oil market will echo each

other,” said Ahn Yea-Ha, commodity analyst at Kiwoom Securities.

“Global economic slowdown worries have been weighing on stock

market movements, and oil prices are not free from those concerns.”

Stephen Innes, head of trading for Asia-Pacific at futures brokerage

Oanda in Singapore, said crude prices had been pressured by slowing

economic growth “coupled with the expectation of strong U.S.

production in the new year”.

U.S. crude inventories rose 6.9 million barrels to 448.2 million barrels in the

week to Dec. 21, according to the American Petroleum Institute. The U.S.

Energy Information Agency (EIA) will publish its data at 1600 GMT. [EIA/S]

“If the EIA’s data shows a rise in U.S. crude inventories, that would cap

price gains,” Ahn said.

The United States has emerged as the world’s biggest crude producer this

year, pumping 11.6 million barrels per day (bpd), more than both Saudi

Arabia and Russia.

Russian Energy Minister Alexander Novak said on Thursday that Russia

would cut its crude output by between 3 million and 5 million tonnes in the

first half of 2019 as part of a deal between producers.

Earlier this month, the Organization of the Petroleum Exporting Countries

and its allies including Russia, agreed to cut output by 1.2 million bpd, or

more than 1 percent of global consumption, starting in January.

Markets will be closed on Tuesday for the New Year’s Holiday and trading

is expected to be light on Monday.

“Things will only start to get slowly back to normal at the end of next

week,” said Olivier Jakob of Swiss energy consultancy Petromatrix. “Until

then we continue to view the crude oil futures as very difficult to trade

and too dependent on the variations of the equity markets.”

<< Back to news headlines >>

Calypso fund drops $0.50 Friday 28th December, 2018 – Trinidad Express Newspapers

OVERALL market activity resulted from trading in 13 securities of which four

advanced, four declined and five traded firm.

The Composite Index advanced by 0.75 points (0.06 per cent) to close at

1,303.34. The All T& T Index advanced by 0.80 points (0.05 per cent) to

close at 1,703.24.

The Cross Listed Index advanced by 0.10 points (0.08 per cent) to close at

122.08. The SME Index remained at 100.00. Trading activity on the first-tier

market registered a volume of 97,164 shares crossing the floor of the

Exchange valued at $3,363,780.49.

TTNGL LIMITED was the volume leader with 35,914 shares changing hands

for a value of $1,050,253.50, followed by West Indian Tobacco Company

with a volume of 22,500 shares being traded for $2,143,125.00. JMMB

Group contributed 22,000 shares with a value of $38,837.80, while

GraceKennedy added 14,500 shares valued at $42,050.

Scotiabank registered the day's largest gain, increasing $0.25 to end the

day at $64.25. Conversely, Calypso Macro Index Fund registered the day's

largest decline, falling $0.50 to close at $15.

On the mutual fund market 3,985 shares changed hands for a value of

$70,087. Calypso Macro Index Fund was the most active security, with a

volume of 2,000 shares valued at $30,000.

Calypso Macro Index Fund declined by $0.50 to end at $15. CLICO

Investment Fund advanced by $0.03 to end at $20.19.

The second-tier market did not witness any activity. Mora Ven Holdings Ltd

remained at $12.00.

<< Back to news headlines >>

Oil spill contained, but fishermen fear chemicals Friday 28th December, 2018 – Trinidad Express Newspapers

AN oil spill in the Gulf of Paria last week has been contained and an all-

clear was given for fishermen to return to sea.

But the fishermen have expressed concerns about the chemicals being

used in the clean-up operations.

Councillor for Cedros, Shankar Teelucksingh, said fishermen met at the

weekend to discuss their concerns.

'There is no communication from the company on the chemicals being

used and how safe it is. The fishermen are now reluctant to go back out at

sea,' he said yesterday.

The oil spill, which has been quietly leaking into the Gulf of Paria, was

discovered last Thursday.

Heritage Petroleum Company Limited, the company established to

replace Petrotrin, issued a release last Friday stating that its HSE

department had received reports of oil having been sighted in the vicinity

between RP1 and Platform 9, Soldado Main Field at 11.25 a.m.

The company stated that its oil spill contingency plan was immediately

activated and the relevant personnel were dispatched to the scene.

The spill has been isolated and Heritage HSE personnel have shut in SWS

and surrounding facilities. The volume of spilled oil is estimated to be less

than five barrels, it stated.

Another blow

Heritage Petroleum stated that clean-up activities and repairs were in

progress and there had been no material impact on the environment.

'There have been no further oil sightings or evidence of oil leakage and

monitoring is on-going. All regulatory agencies, including the Ministry of

Energy and Energy Affairs, the Environmental Management Authority

(EMA), and the Occupational Safety and Health Agency (OSHA) have

been notified,' it stated.

The Express was told that a skeleton crew of former Petrotrin workers was

called out to contain the leak. Teelucksingh said the oil had not reached

the shore. 'The fishermen have taken a decision to remain on land

because they are not sure how much oil is out there. This is another blow

for the fishermen because just days ago they were told of the cessation of

regular gas. We are having a meeting with them this evening to discuss

this,' he said. The Ministry of Energy and Energy Industries last week

announced the cessation of the supply of regular gasoline (RON 83) on

the local market. Following the closure of the Petrotrin Refinery the last

stocks of regular gasoline were distributed by December 7. Fishermen

complained that they would now have to pay more than double the

price for fuel. And they warned that the price of seafood may increase

this Christmas season.

<< Back to news headlines >>

South, Central chambers: Slow sales in 2018 Friday 28th December, 2018 – Trinidad Express Newspapers

The retail sales sector witnessed sharp declines in 2018 according to the

heads of three business chambers with one chamber saying December

sales were down by a whopping 60 per cent when compared to 2017.

However, the chambers were optimistic that 2019 should be a better year

as two elections were projected to occur in 2019 and 2020 respectively

with infrastructure works expected to increase in preparation for the

elections.

San Fernando Business Association president Daphne Bartlett, in a

telephone interview yesterday said many businesses had lost money in the

latter half of the year and had hoped they would “break even” in

December.

“The sales for this year was slow and it came right down to near 60 per

cent less in the month of December. Many of the businesses lost money

for the last six months and the thing is, we are trying hard not to send

home any employees.”

“We know exactly what caused it and when you send home, they are

saying 5,500 but we know it is closer to 12,000-15, 000 persons who would

have become unemployed. If you do things that will close many

businesses, what you are really doing is slowing the economy.”

“My advice for the government is it should always be cognizant of the

fact that businesses drive the economy. All these new for sale signs going

up, for rent, businesses being closed, what is that indicating to you. It says

something is going wrong.”

The outspoken business head said the Petrotrin saga was far from over

and wondered where government would get the US dollars needed to

purchase fuel on the international markets.

“You are taking our US dollars to buy fuel when before you were spending

TT dollars to get the fuel. I think they need to sit down, get some advisor to

advise them what to do and how to do it because we may end up in the

worst possible way by the IMF.”

Meanwhile, Penal/Debe Chamber of Commerce president Rampersad

Sieuraj said sales in the region were “rather slow” when compared to

previous years.

“Things were not as bright as it used to be in prior years and I think the

Petrotrin issue might have had something to do with that. Also the issue of

crime continue to be a problem which we have in Penal/Debe.”

However he was optimistic about 2019 saying TT would be on an election

footing which traditionally witnessed an increase in government spending

on infrastructure works such a roads bridges, and drains.

“One would hope that there will be a reduction in crime to start with and

create a better business climate.”

Couva/ Point Lisas Chamber of Commerce head Ramchand Maraj said

central businesses have recorded reduced sales due to the closure of the

Arcelor Mittal steel plant in 2017 as well as Petrotrin in early November

2018.

He said the New Year may witness a re-emergence of the plant as bids

were still open as well as the opening of more family owned businesses.

Maraj however said the non-importation of regular gasoline for the

region’s fisher folk as well as the crime situation had contributed to

decreased economic activity in the region.

“The only disappointing thing is the fisher folk experiencing with the regular

gas and that is creating real hardship. And on the issue of crime, I hope it

is abated and I want to commend Commissioner of Police Gary Griffith,

and all the efforts made by the police service.”

He too said the elections scheduled for 2019 and 2020 should also

generate economic activity in the coming years.

<< Back to news headlines >>

ECCB Governor predicts 3 per cent growth Thursday 27th December, 2018 – The Antigua Observer

The Governor of the Eastern Caribbean Central Bank (ECCB) is predicting

growth of 3 per cent for the Eastern Caribbean Currency Union (ECCU).

Timothy Antoine made the announcement in his 2018 Christmas message,

released recently.

Antoine, who assumed the position two years ago, said despite some

challenges experienced, 2018 proved to be a relatively good one for the

ECCB and the ECCU.

“Following the growth setback last year, the ECCU recovered and is

projected to grow by about 3 per cent. Furthermore, there has been a

reduction in unemployment in some member countries. The ECCB

continues to make significant strides with the implementation of our

strategic plan,” Antione said.

He also added that, “Amid all of our hard work to preserve monetary and

financial stability and promote growth and development, there were

several memorable moments including the celebration of our 35th

anniversary, our global award [from] Global Markets, the hosting of the

Intra Regional Central Bank Games, the basketball team that emerged as

champions of the St Kitts Amateur Basketball Association A-Division

League, and Christmas Lighting of the ECCB Campus.”

The governor also stated that in looking ahead to 2019, an exciting year

beckons, as several strategic initiatives are set come to fruition. These

include the credit bureau, the partial credit guarantee scheme, the

rollout of their FinTech pilot, and their new bank notes.

Meanwhile, Sir K Dwight Venner (the deceased former governor of the

ECCB) will be memorialised on the EC $50 note when the bank releases its

new-look notes for 2019. Sir Dwight, who served as governor for 26 years,

passed away in 2016.

The material currently used to produce the EC dollar notes will also be

changed, making for a more durable currency.

According to the Central Bank, other features will include the notes being

lateral instead of horizontal, the security features will also be enhanced to

include a holographic window on the $20, $50 and $100 notes, which

would make them difficult to replicate.

The holographic window will also appear on the $5 and $10 notes on a

smaller scale.

<< Back to news headlines >>

BVI’s accommodation inventory to normalize in a year or so Thursday 27th December, 2018 – BVI News Online

Residents and visitors have been given a clearer indication of how much

longer they will have to wait before the BVI returns to operating at full

capacity as it relates to accommodation in the territory.

“From all accounts, we anticipate that our room inventory will be near

normalcy by the end of 2019 or by Q2 (the second quarter) of 2020,”

Premier and Minister of Tourism Dr D Orlando Smith said in an address a

week ago.

The latest statistics indicate that, at the end of 2018, the BVI has

approximately 1,000 rooms on land and about 3,200 berths at sea. The

current number of berths represent about 75 percent of the territory’s pre-

storm inventory, Dr Smith said.

$12 million enhancements

In another aspect of tourism, Premier Smith announced that some $12

million is being spent to create ‘enhancements’ in the sector.

These enhancements will come in the form of increased signs territory-

wide. This is in an effort to make the BVI more tourist-friendly, Dr Smith said.

The tourism minister said the signage initiative will happen in a “phased

process”.

A number of new bathroom facilities are also to be constructed for visitors.

“We expect to see bathrooms added to Smugglers, Long Bay, Brewers

Bay, Spring Bay and Savannah Bay in the foreseeable future. Cane

Garden bay has already been completed. Our guests are asking for these

enhancements and for us to maintain our luxury designation, we have to

meet the demands of our visitors. To meet this objective, a comprehensive

$12 million-dollar plan has been prepared by the BVITB is in place and we

expect to see work continuing at an even faster pace in the first quarter

of 2019,” Dr Smith explained.

<< Back to news headlines >>

Construction of geothermal power plant earmarked for 2019 Thursday 27th December, 2018 – Dominica News Online

Minister for Trade, Energy and Employment, Ian Douglas, has said that the

government is now in a position to begin construction of a geothermal

power plant in the Roseau Valley.

Ian Douglas said that project could begin by the third quarter of 2019 as

Dominica continues on its path towards becoming a climate resilient

country.

“The government has seen tremendous progress being made in the

Geothermal Development Programme. This is one of the pillars upon

which we intend to achieve the goal of being the first climate resilient

country in the world. We are now in the position to begin the construction

of the power plant by the third quarter of 2019,” he said

He further mentioned how this can positively impact on Dominica’s

growth and advancement.

“With the commissioning of this plant, we will be in a position to benefit

from clean, reliable, low-cost, renewable, high-quality energy supply in

the future, which will benefit all sectors of productive activity in

Dominica.”

Douglas thanked the international partners who have assisted the

government in this quest to date.

The quest by the current administration to tap Dominica’s geothermal

energy potential started as far back as 2011 when the government signed

a contract for the exploratory drilling of geothermal wells in the Roseau

Valley.

Drilling for the island’s geothermal project officially ended in 2015 and the

project entered a new stage.

In his budget address that same year, Prime Minister Skerrit said that

negotiations were underway for a joint venture with a French investment

consortium, to build and operate the domestic plant with the aim of

exporting electricity to Guadeloupe and Martinique.

The government subsequently announced in 2016, that it had taken a

decision to run the geothermal project as a company solely owned by

the government and people of Dominica and would go ahead alone in

constructing a small geothermal plant in Dominica. It committed to

investing US$15M into the geothermal company with funds from the

Citizenship by Investment Programme.

In February 2017, Prime Minister Skerrit stated that an investment of $45-

million would be made available for the development of a geothermal

plant. The funds, he said, would come from the country’s Citizenship by

Investment Program (CBI).

If Minister Douglas’s announcement materializes, it appears that some

eight years after the geothermal development project started, Dominica

could receive its first geothermal power plant.

<< Back to news headlines >>

Govt to remove duties on biodegradable items Thursday 27th December, 2018 – Dominica News Online

In preparation for the implementation of the ban on Styrofoam and

plastics, the government has taken a decision to removed duty on bio

degradable items.

Hon. Prime Minister Roosevelt Skerrit said this measure will take effect from

January, 2019.

“The cabin has taken a decision and legislation to ban on Styrofoam

bowls, cups and plastic food utensils and remove the duties and

biodegradable items so that our citizens can have access to it in a

cheaper fashion. From January, we will have that in full effect and we

look forward in everybody cooperating and collaborating.” he stated

The prime Minster also expressed concern over the indiscriminate littering

which is taking place in Dominica.

“There will be other actions that the government will articulate in respect

to biodegradable items but also the littering, because we have to address

this in a fundamental and serious way as a country. Too many people are

just throwing things on the streets, on the side of the road and ravines with

no admonition and those that do not listen, will feel the full extent and

wrath of the law,” Skerrit said

The Prime Minister encourages everyone to work together as a country “if

we want to see a pristine and clean Dominica.”

<< Back to news headlines >>

ECLAC Says Latin America and Caribbean Economies to Grow 1.7% Next

Year, Amid Greater International Uncertainty Thursday 27th December, 2018 – Caribbean 360

The year 2019 looks to be a period in which global economic

uncertainties, far from waning, will intensify and will arise from different

fronts. This will have an impact on the growth of the economies of Latin

America and the Caribbean, which, on average, are seen expanding 1.7

per cent, according to new projections released today by the Economic

Commission for Latin America and the Caribbean (ECLAC).

The United Nations regional organization unveiled its last economic report

of the year, the Preliminary Overview of the Economies of Latin America

and the Caribbean 2018, at a press conference led by its Executive

Secretary, Alicia Bárcena, in Santiago, Chile.

According to the document, the countries of Latin America and the

Caribbean will confront a complex global economic scenario in the

coming years, in which less dynamic growth is expected, both for

developed countries as well as emerging economies, along with

increased volatility of international financial markets. On top of this, there

is a structural weakening of international trade, aggravated by trade

tensions between the United States and China.

The economic growth projection for Latin America and the Caribbean in

2019 is 1.7 per cent, slightly below what ECLAC released last October (1.8

per cent), while the estimate for the current year (2018) was also trimmed

to 1.2 per cent (from the 1.3 per cent forecast in October).

The greatest risk to the region’s economic performance in the run-up to

2019 continues to be an abrupt deterioration in the financial conditions for

emerging economies, the report adds. During 2018, emerging markets,

including Latin America, showed a significant reduction in external

financing flows, while at the same time sovereign risk levels increased and

their currencies depreciated against the dollar. The text indicates that

new episodes of deterioration in future financial conditions cannot be

discounted, and that the consequences for countries will depend on how

exposed they are in terms of their external financing needs and profiles.

“Public policies are needed to strengthen sources of growth and cope

with the scenario of uncertainty at a global level,” Bárcena indicated.

“The active role of fiscal policy in the region in terms of revenue and

spending must be bolstered. In this sense, it is essential to reduce tax

avoidance and evasion and illicit financial flows. At the same time, direct

taxes and also health-related and green taxes must be strengthened. In

terms of expenditures, in order to stabilize and invigorate growth, public

investment must be reoriented toward projects that have an impact on

sustainable development, with emphasis on public-private partnerships

and on productive reconversion, new technologies and green

investment. All of this while protecting social spending, above all in

periods of economic deceleration, so that it is not affected by cutbacks.”

The senior UN official also warned that public debt profiles must be taken

care of in light of the uncertainty that could increase their cost and levels.

As in previous years, in its Preliminary Overview of the Economies of Latin

America and the Caribbean, ECLAC projects a growth dynamic with

varying intensities between countries and subregions. This reflects not only

the differentiated impacts of the international context on each economy,

but also the dynamics of spending components – mainly consumption

and investment – which have been following different patterns in

economies of the north and of the south.

In this vein, it is forecast that Central America (excluding Mexico) will grow

3.3 per cent in 2019, South America 1.4 per cent and the Caribbean 2.1

per cent. On a country level, the island of Dominica is seen leading

regional growth with a 9.0 per cent expansion, followed by the Dominican

Republic (5.7 per cent), Panama (5.6 per cent), Antigua and Barbuda (4.7

per cent) and Guyana (4.6 per cent). At the other extreme, Venezuela will

suffer a -10 per cent contraction in its economy, Nicaragua -2.0 per cent

and Argentina -1.8 per cent. The region’s biggest economies, Brazil and

Mexico, are seen growing 2.0 per cent and 2.1 per cent, respectively.

In its stocktaking of the current year, 2018, ECLAC’s report indicates that

economic growth was led by domestic demand. Fixed investment

showed a dynamic of recovery, while private consumption remained the

main source of growth, even though its growth rates moderated since the

second quarter of 2018.

In terms of fiscal policy, consolidation deepened in 2018 and the process

of fiscal adjustment led to a reduction in the primary deficit (from 0.7 per

cent of GDP in 2017 to 0.6 per cent of GDP in 2018), although this was

accompanied by a small increase in public debt.

<< Back to news headlines >>

More Canadians To Hit Costa Rica Beaches with New Direct Flights from

Vancouver Thursday 27th December, 2018 – Qcostarica

The Canadian low-cost airline Sunwing, that also operates seasonal flight

services from over 30 local Canadian gateways, started operations this

week between Vancouver International airport (YVE) and the Daniel

Oduber International airport (LIR) in the Guanacaste of Liberia.

The flight operates weekly on Sundays with a Boeing 737 MAX.

Sunwing, based in Toronto, Canada, will operate the Vancouver

connection until March 31, 2019.

“The Canadian tourist is one of the most interesting in Costa Rica and the

different tourist attractions of the country, fleeing the cold of winter to be

received by the Costa Rican sun motivates hundreds of tourists to choose

us as their favourite holiday destination, for that we serve the tourist with

quality and excellence,” said César Jaramillo, manager of Coriport, the

Liberia airport manager.

Direct flights from Canada to Costa Rica took off from 2012 after the

signing of the air transport agreement to open the door to commercial

flights between both countries, without the need to fly through the United

States.

In addition to Sunwing, Montreal based Air Transat operated multiple

flights weekly to San Jose (SJO) and Liberia and Canada’s national

carrier, Air Canada, with daily service to San Jose from Toronto and

Montreal.

For the Costa Rican Tourism Institute, the Vancouver flight also benefits the

economy of hundreds of Guanacaste families that are positively

impacted by the increase in tourists in high season.

“We are pleased to receive the first flight of the company Sunwing on the

Vancouver-Liberia route and expand the possibilities of tourism growth in

Guanacaste, with flights and aeronautical technology that allows us to

reach new destinations. We continue working to strengthen the national

tourism industry, which generates 8.2% of the Gross Domestic Product,

“said Maria Amalia Revelo, Minister of Tourism.

<< Back to news headlines >>

Trump administration puts stop to new flood insurance policies Thursday 27th December, 2018 – Reuters

The Trump administration has decided it cannot authorize new flood

insurance policies, citing the partial shutdown of the federal government

due to a budget impasse in Congress and potentially putting thousands of

home sales in limbo.

The Federal Emergency Management Agency (FEMA), which oversees a

federal program that insures about 5 million homes and businesses, on

Wednesday posted a notice on its website that the program will not be

able to “issue new contracts for flood insurance during a lapse in authority

unless Congress passes legislation.”

The National Association of Realtors estimated the decision could disrupt

up to 40,000 home sales each month.

FEMA said that during the shutdown, the government-backed National

Flood Insurance Program will continue to pay all claims on policies taken

out before midnight on Dec. 21.

The federal government has been partially shut down since Saturday

because of an impasse over President Donald Trump’s demand for $5

billion in taxpayer funding for a proposed Mexican border wall. Last week

Trump said his administration was prepared for a lengthy shutdown.

<< Back to news headlines >>

U.S. government advises workers on staving off creditors amid shutdown Thursday 27th December, 2018 – Reuters

As a partial shutdown of the U.S. government stretched into its sixth day,

the agency that oversees the federal workforce offered advice on

staving off creditors to the estimated 800,000 employees who could be

affected by a lapse in pay.

The Office of Personnel Management (OPM) suggested furloughed

workers could offer partial payments to mortgage lenders and posted on

its website form letters they could use.

“I am a Federal employee who has recently been furloughed due to a

lack of funding of my agency,” said one of three templates offered by the

agency. “Because of this, my income has been severely cut and I am

unable to pay the entire cost of my mortgage, along with my other

expenses.”

In a Twitter post, OPM said idled workers should contact personal

attorneys if they needed advice on dealing with creditors.

President Donald Trump and congressional leaders have reached an

apparent stalemate in a fight over government funding with the president

insisting on $5 billion from taxpayers for a wall along the U.S. border with

Mexico against stiff resistance from Democrats.

Unable to reach a compromise, about a quarter of government agencies

shut down at midnight last Friday.

Trump has said he will wait to reopen the government for however long it

takes to receive the funding for the wall, and Democrats sound willing to

wait until they claim control of the U.S. House of Representatives on Jan. 3.

The stakes are high for the estimated 15 percent of the federal workforce

whose agencies are affected. Although they will receive paychecks as

normal for the pay period that ended Dec. 22, future pay remains in

doubt, even as their bills do not.

According to the American Federation of Government Employees, a

union that represents federal employees, about 420,000 federal

employees will be working without pay, while 380,000 others have been

told to stay home.

AFGE spokeswoman Ashley De Smeth said the letter templates were

developed during a shutdown in 2013.

“It is business as usual,” she said. “It is up to each agency to decide how

to use them.”

OPM did not respond to a request for comment.

“Due to a lapse in appropriations, OPM responses to incoming media

(requests) may be delayed,” an email from the office said.

<< Back to news headlines >>

Stock futures higher as Wall St.'s post-Christmas rally continues Friday 28th December, 2018 – Reuters

U.S. stock futures were higher on Friday, extending a two-day rally amid

volatile trading and raising expectations that the recent selloff may have

eased for now.

The final week of 2018 has seen wild swings in equities. The benchmark

S&P 500 tested its 20-month low and was at the brink of a bear market

territory early in the week before the three main indexes roared back, with

their biggest daily surge in nearly a decade on Wednesday and a late

rally the following day.

On Thursday, the S&P fell as much as 2.8 percent but closed 0.8 percent

higher as the markets turned around late in the session.

The CBOE Volatility Index .VIX, an indicator of short-term volatility in the

stock market, rose to 36 midweek, its highest level since early February. It

has since pulled back below 30, but remains well above a recent low of

15 at the beginning of December.

In a sign of optimism on trade on Friday, China opened the door to

imports of rice from the United States for the first time ever in the run-up to

talks between the two countries in January.

“With two trading sessions left before year end, the indices are likely to be

supported by window dressing and technical factors,” said Peter Cardillo,

chief market economist at Spartan Capital Securities in New York.

Cardillo expects another round of positive trading, which he says will be

supported in part by the news that China is allowing U.S. rice imports

ahead of the trade talks.

At 6:39 a.m. ET, S&P 500 e-minis ESc1 were up 0.95 percent. Dow e-minis

1YMc1 were up 0.92 percent and Nasdaq 100 e-minis NQc1 were up or

0.81 percent.

Despite two days of gains, all three major indexes are still down more than

9 percent for December and remain on track for their biggest annual

percentage drop since 2008.

Investors head into 2019 with a list of worries ranging from U.S.-China trade

tensions, rising interest rates and a cooling economy to a partial U.S.

government shutdown, which is now in its sixth day.

On the economic calendar, data from National Association of Realtors

will likely show pending home sales edged higher to 560,000 million in

November from 544,000 million the month before. The data is expected at

10:00 a.m. ET.

<< Back to news headlines >>

May's Brexit deal can get through parliament – Hunt Friday 28th December, 2018 – Reuters

Prime Minister Theresa May’s Brexit deal can be passed by the British

parliament if the European Union provides clarification that the Northern

Irish “backstop” will be temporary, foreign minister Jeremy Hunt said on

Friday.

The backstop is an insurance policy designed to prevent the return of

border checks between Ireland, an EU member, and British-ruled Northern

Ireland. It is proving the biggest obstacle to a divorce deal between

Britain and the EU.

May pulled a vote on her divorce deal earlier this month after admitting

that parliament would reject it. MPs are set to discuss the agreement

again next month, with a vote in the week starting Jan. 14.

Parliament is deeply divided, with both supporters and opponents of Brexit

opposed to May’s deal, which seeks to maintain close ties with the EU.

Britain is due to leave the bloc on March 29 and the impasse has

increased the chances of a no deal Brexit and led to growing calls for a

second referendum.

Hunt said May’s withdrawal agreement could be passed by MPs if the EU

made clear that the Irish “backstop” would be time-limited.

Critics fear the backstop will trap Britain in a customs union with the EU

indefinitely, while European leaders have said they would not renegotiate

the treaty.

“If it is temporary, then parliament can live with that,” Hunt told BBC radio.

“We can get this (the deal) through, absolutely can.”

If May’s deal fails, senior ministers are themselves split on what should

happen. Some suggest that another referendum should be considered,

while others, including Hunt, favour a “managed” no-deal Brexit. May

herself has said neither option is viable.

Jeremy Corbyn, leader of the opposition Labour Party, said May should

recall parliament early to allow a vote on her Brexit deal, and warned it

was a matter of “when, not if” his party tried to force an election by

proposing a vote of no-confidence in the government.

MPs are not due to return until Jan. 7 and Corbyn said the government

was using the delay as a ploy to put pressure on parliament to accept her

deal or risk a no-deal Brexit.

“What I suspect is that it’s a completely cynical manoeuvre to run down

the clock and offer MPs the choice of the devil or the deep blue sea,”

Corbyn said in an interview with the Independent newspaper.

<< Back to news headlines >>

France's Vinci in $3.7 billion swoop on UK's Gatwick airport Thursday 27th December, 2018 – Reuters

France’s Vinci (SGEF.PA) is taking advantage of a Brexit hit to UK asset

prices to buy a majority stake in Britain’s second-busiest airport, London’s

Gatwick, for 2.9 billion pounds ($3.7 billion), the construction company

said on Thursday.

The deal to buy a 50.01 percent stake gives Vinci, which already runs 45

airports in 12 countries, access to the world’s largest metropolitan aviation

market and is part of the company’s drive to expand its most promising

businesses.

Vinci Airports President Nicolas Notebaert signalled uncertainty over

Britain’s departure from the European Union next March had cut the price

of buying into Gatwick, and forecast any hit to UK economic growth after

Brexit was likely to be offset by a rise in tourism due to a weaker pound.

“Just a few months ago we would not even have dreamed of being able

to acquire an unlimited licence in the London airports system for less than

20 times core earnings,” he said on a conference call, referring to the

price of the deal.

The acquisition is expected to close by June 2019.

It comes just days after drone sightings caused 36 hours of chaos for more

than 100,000 travellers at Gatwick. CEO Stewart Wingate, who will remain

in his role, said the airport was working to avoid a repeat of the disruption.

Thirty miles (48 km) south of London, Gatwick serves 228 destinations in 74

countries and is a major base for airlines including EasyJet (EZJ.L) and

British Airways (ICAG.L).

It handles over 46 million passengers per year, more than a quarter of the

170 million passenger journeys the London airports system - led by

Heathrow - handled in 2017.

Vinci says Gatwick is the most efficient airport in the world and operates

the busiest single runway, which in 2017 achieved a record 950 flights in

one day.

Gatwick plans to serve growing demand by optimising its existing runway

and boosting use of its standby one.

FRENCH AIRPORTS GIANT

Vinci is buying Gatwick shares from existing shareholders.

Investment group Global Infrastructure Partners will halve its stake to 21

percent, while Abu Dhabi Investment Authority will own 7.9 percent,

California Public Employees’ Retirement System 6.4 percent, National

Pension Service of Korea 6 percent and Australia’s Future Fund Board of

Guardians 8.6 percent.

The deal follows Vinci’s purchase this year of the airport management

portfolio of Airports Worldwide, which allowed it to enter the United States

and expand in Europe.

Notebaert said the deal would “not in the least” affect Vinci’s interest in

Paris airports operator ADP (ADP.PA), which the government plans to

privatise.

“For ADP, all depends on the terms the government will set in coming

months. We have the financial and operational capacity,” he said.

Vinci operates airports in countries including France, Portugal, Britain,

Sweden, Serbia, Cambodia, Japan, United States, Dominican Republic,

Costa Rica, Chile and Brazil. In 2017, its network handled over 180 million

passengers.

To counter signs of weakness in its construction business, the company has

been expanding into faster growing and more profitable concessions

such as airports and motorways.

In 2017, Vinci Airports’ managed activities revenue was 3.2 billion euros,

with consolidated revenue at 1.4 billion euros.

Between 2014 and 2017, Vinci Airports’ revenue grew 196 percent, driving

the concessions business up 19.3 percent. Vinci Construction’s revenue fell

9.5 percent over the same period.

At 1403 GMT, Vinci shares were little changed at 70.5 euros.

<< Back to news headlines >>

German inflation slows just as ECB dials back stimulus Friday 28th December, 2018 – Reuters

Inflation in Germany’s most populous regions slowed in December, just as

the European Central Bank ended a crisis-fighting bond purchase scheme

after four years and as global markets slumped.

The annual inflation rate in Germany’s most populous state, North Rhine-

Westphalia, slowed to 1.8 percent in December from 2.4 percent a month

earlier, preliminary regional statistics office data showed on Friday.

In Bavaria, the second-most populous state, annual inflation was

measured at 2.2 percent after 2.7 percent in the previous month. In

Baden-Wuerttemberg, the third most populous state, annual inflation

slowed to 2.0 percent from 2.7 percent.

The state inflation readings, which are not harmonized to compare with

other euro zone countries, feed into nationwide data due at 1300 GMT.

A poll conducted before the release of the regional data suggested

Germany’s harmonized consumer price inflation (HICP) rate would slow to

1.9 percent from 2.2 percent in November.

In a precarious balancing act, the ECB earlier this month formally ended

its 2.6 trillion-euro bond-buying scheme but promised to keep feeding

stimulus for years into an economy struggling with an unexpected

slowdown and political turmoil.

The ECB’s goal is to keep inflation in the euro zone close to, but just below,

2 percent a year. The bank said on Thursday the global economy is set to

slow down in 2019 and stabilize thereafter, but it still expected prices to

rise.

The euro zone will publish preliminary inflation data for December on Jan.

4. The headline figure is expected to slow to 1.8 percent after 1.9 percent

in November.

<< Back to news headlines >>

Nissan to make fewer cars in China in months ahead as demand slows:

source Thursday 27th December, 2018 – Reuters

Nissan Motor Co (7201.T) will produce 30,000 fewer vehicles in the coming

months in China than what it had planned, a person briefed on the

matter told Reuters, as global automakers grapple with falling demand in

the world’s biggest car market.

After Ford Motor Co (F.N) and Hyundai Motor Co (005380.KS), Nissan

becomes the latest automaker to cut production in the country, where

slowing economic growth and a crippling trade war with the United States

have pummelled vehicle sales in the past few months.

Nissan plans to cut production in China by a total of 30,000 units during

the December-February period from its initial output plans, said the person

who declined to be identified as the plans are not public.

Automakers set initial plans on how many vehicles to produce at each of

their plants. These plans can be modified due to demand, supply chain

issues and other factors. It was not known how much Nissan had planned

to produce in the three months.

The automaker produced nearly 400,000 units in the country during the

three-month period ended February this year. The period covers the first

two months of the year, when sales usually slow in the run-up to the Lunar

New Year holidays.

Japan’s Nikkei business daily reported late on Thursday that Nissan plans

to cut production at three plants in China, including one in Dalian, where

it produces the popular Qashqai and Infiniti QX50 SUV crossover models,

and in Zhengzhou, where it makes the X-Trail SUV crossover, one of its top-

selling models, and Venucia brand models.

A Nissan spokeswoman in Beijing declined on Friday to comment on

future production plans.

China is Nissan’s second-largest market, accounting for roughly one-

quarter of its annual global vehicle sales. It sold 1.5 million vehicles in

China last year, and earlier this year said it planned to boost sales to 2.6

million units by 2022, making China its biggest market in terms of vehicle

sales.

But a stretch of booming demand for cars in China seems to have come

to an end, with the market on track to post a fall in annual sales for the

first time since at least 1990. Nissan’s group sales in China rose 3.9 percent

in the January-November period, slowing from a 12 percent jump a year

ago.

A slowdown in the major market comes at a time when the Japanese

automaker is grappling with a scandal involving alleged financial

misconduct of Carlos Ghosn, leading to his arrest and subsequent ouster

as chairman, and straining ties with French auto-making partner Renault

SA (RENA.PA).

<< Back to news headlines >>

China allows first-ever U.S. rice imports in 'goodwill gesture' ahead of trade

talks Friday 28th December, 2018 – Reuters

China has opened the door to imports of rice from the United States for

the first time ever in what analysts took to signal a warming of relations

between the world’s two biggest economies after a frosty year marked by

tensions and tit-for-tat tariffs.

The green light from Chinese customs, indicated in a statement posted on

the customs authority’s website on Friday, comes in the run-up to talks

between the countries in January after U.S. President Donald Trump and

Chinese President Xi Jinping agreed a moratorium on higher tariffs that

would affect trade worth hundreds of billions of dollars.

It wasn’t immediately clear how much rice China, which sources rice

imports from within Asia, might seek to buy from the United States. But the

move, which comes after years of talks on the matter, follows pledges

from China’s commerce ministry of further U.S. trade openings earlier this

week.

As of Dec. 27, imports of brown rice, polished rice and crushed rice from

the United States are now permitted, as long as cargoes meet China’s

inspection standards and are registered with the United States

Department of Agriculture.

“The permission for U.S. rice suggests an improving U.S. and China

relationship,” said Cherry Zhang, an agriculture analyst with consultancy

JCI. Zhang said she expected any imports would likely be ordered by

state-owned companies.

Officials at a government-affiliated think-tank in Beijing said the price of

U.S. rice is not competitive, compared with imports from South Asia, and

said the move to formally permit import should be interpreted as a

goodwill gesture.

China opened its rice market when it joined the World Trade Organization

in 2001, but a lack of phytosanitary protocol between China and the

United States effectively banned imports, according to trade group USA

Rice.

Nonetheless in July, China formally imposed additional tariffs of 25 percent

on U.S. rice, even though imports were not permitted at the time.

<< Back to news headlines >>

China says new financial information rules aimed at providers for

institutions Thursday 27th December, 2018 – Reuters

China’s internet regulator said on Friday the recently published rules

governing financial information providers are aimed at firms supplying

information to an institutional audience and to specific investors, rather

than the general public.

Financial information services are different from internet news and

information services, the Cyberspace Administration of China (CAC) said

in a statement on its website.

The CAC issued on Wednesday new regulations for domestic financial

information providers, in an apparent crackdown on online content

deemed detrimental to the country’s financial stability as the economy

slows.

Financial information providers are not allowed to distort Chinese fiscal

and monetary policies, disturb economic order or to harm the nation’s

interests, the CAC said then.

Service providers being targeted include those involved in financial

analysis, financial trading and financial decision-making, but do not

include foreign wire services.

The regulations are due to take effect on Feb. 1.

In recent years, domestic financial information service providers have

developed rapidly, and some of them are not stringent on content,

speculating on financial market risks, publishing sensitive market

information and distorting financial regulatory policies, the CAC said on

Friday.

Financial information services mainly refer to the provision of information

and statistics, rather than financial services like deposit and loan services,

securities transactions, insurance purchases, fund deals, bond

transactions, and foreign exchange trading, the CAC said.

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Japan's Nikkei ends down, books first annual loss since 2011 Friday 28th December, 2018 – Reuters

Japan’s Nikkei fell on its final trading day of the year on Friday as energy-

related shares sagged, leading the index to its first annual loss in seven

years.

The Nikkei share average ended the session 0.31 percent down at

20,014.77.

The benchmark index booked a 12.1 percent decline in 2018, its first

annual loss since 2011 and breaking the longest winning streak since the

late 1980s.

The broader Topix lost 0.50 percent to 1,494.09, and recorded a 17.8

percent decline over the year, its biggest annual loss since 2011.

Wall Street’s three main indices staged a strong comeback on Thursday,

surging from significant losses to end the session overnight in positive

territory.

“U.S. equities were very volatile yesterday. It was a relief they ended

positively after all, but because of the volatility it’s hard to take risk on the

Tokyo market,” said Eiji Kinouchi, chief technical analyst at Daiwa

Securities.

Japanese investors remained cautious throughout the session on Friday.

Kinouchi said they braced for possible further volatility in U.S. markets and

preferred to stay on the sidelines ahead of the start of Japan’s long new

year holiday.

“Next week, Tokyo will only be open on Friday while New York will only

close for New Year’s Day,” he said.

Energy-related shares weighed on the broader market on Friday after oil

prices fell steeply overnight on worries about oversupply and an

increasingly muddled outlook for global growth.

Oil refiner Idemitsu Kosan shed 1.4 percent and Showa Shell Sekiyu KK lost

0.9 percent.

Petroleum products major Inpex Corp recovered from a more than 1

percent decline by midday to finish 0.1 percent higher.

Shares of many index heavyweights dipped, with Toyota down 0.1

percent, Sony Corp falling 1.1 percent, and Nintendo losing 0.1 percent.

Uniqlo-operator Fast Retailing was off 0.4 percent while factory

automation equipment maker Keyence shed 1.4 percent.

SoftBank Group, which was down 1.1 percent at midday, recovered from

earlier losses to finish the session with a 0.3 percent gain.

Twelve out of the Tokyo Stock Exchange’s 33 sub-sectors were in positive

territory, led by non-ferrous metals and iron and steel.

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Modi considers three options to aid Indian farmers hit by low crop prices:

sources Friday 28th December, 2018 – Reuters

India’s Prime Minister Narendra Modi is considering three options for a

relief package to help farmers suffering because of low crop prices at a

cost of as much as 3 trillion rupees ($42.82 billion), according to three

government sources.

The possibilities are a direct payment to all landowning farmers,

compensation for those who sold produce below government prices, and

a loan forgiveness program.

Modi is desperate to claw back support among India’s 263 million farmers

and their many millions of dependents after his Hindu nationalist Bharatiya

Janata Party (BJP) lost power earlier this month to the opposition Congress

in three big heartland states. A general election has to be held by May.

The government is keen to find a way to get money to farmers as quickly

and simply as possible so that they can feel the benefits before the

election. That could come at a major cost to its budget, which is already

strained because of lower-than-expected tax revenues, and is likely to

undermine its fiscal deficit target for the year ending in March.

The BJP won much of the rural vote at the last election in 2014 but there

has been increasing anger with the government in the countryside

because Modi has tried to get the market to play a bigger role in setting

prices and sought to reduce government intervention. Healthy crop

production in the past two years and lower than expected exports have

combined to drive prices down at a time when some farm costs have

been surging.

The quickest option, and currently the most favoured inside the

government, is to directly pay landowning farmers 1,700-2,000 rupees per

acre, said two of the sources, including one at the farm ministry. They

spoke on condition they not be identified.

The finance ministry estimates such a scheme, which means farmers

would get the money before next sowing season, could cost up to 1 trillion

rupees.

The second option would be to compensate farmers for the difference

they received by selling their produce in the market compared with the

government price that is set for grains and some other products, one of

the finance ministry officials said. That would be cheaper, costing about

500 billion rupees, the official added.

That option has some major drawbacks, though, as government support

schemes have lost credibility because they don’t cover all farm produce

and claiming from the government has often proven difficult. Middlemen

have also taken advantage of such schemes by persuading the farmer to

give them part of any subsidy or compensation.

The most expensive option - at a cost of as much as 3 trillion rupees - and

the least favoured inside the government, would involve writing off farm

loans by up to 100,000 rupees per person. That is a policy that is being

pushed hard by the opposition Congress party.

MODI IN SERIES OF DISCUSSIONS

“Broadly speaking, the government is considering three options – writing

off some farm loans, introducing a price differential plan and direct

transfer of cash to farmers,” said a source at the farm ministry.

All three sources, said that the government has not yet discussed the ways

in which it plans to fund any of the schemes.

In the last week Modi had a series of meetings with Finance Minister Arun

Jaitley, Agriculture Ministry Radha Mohan Singh and officials from its top

think tank Niti Aayog to weigh its options for a farm relief program.

BJP President Amit Shah also met Agriculture Minister Singh last night to

discuss the proposals, according to a senior cabinet minister, who did not

want to be named.

The government is also planning to buttress any package by revising the

existing crop insurance policy to facilitate easier settlement of claims and

also give greater non-collateralized credit assess to farmers, the minister

said.

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Modi's clampdown on e-commerce in India may not win back votes of

small retailers Friday 28th December, 2018 – Reuters

India’s new curbs on e-commerce companies may not be enough to win

over small store owners and traders in next year’s general election, with

the key voting bloc still seething over what it sees as broken promises by

Prime Minister Narendra Modi.

From Feb. 1, e-commerce firms such as Amazon.com and Walmart-

owned Flipkart Group will not be able to sell products from companies in

which they have an equity interest or form exclusive agreements with

sellers.

Intended to prevent predatory pricing and deep discounting, the curbs

follow intense lobbying by India’s many millions of small shopkeepers and

the middlemen who serve them, particularly after Walmart this year spent

$16 billion to acquire Flipkart.

The sector, which includes an estimated 25 million small store owners,

largely supported Modi in the 2014 general election. While seeing the new

rules as a step in the right direction, many small businesses feel too much

damage has been done after Modi went back on promises that he would

not allow the entry of foreign companies into the domestic retail sector.

“We clapped and voted for Modi believing in his promises. But what have

we got is just a slap on our face,” said Pankaj Revri, president of a furniture

market association in central Delhi.

The curbs, announced on Wednesday, surprised foreign e-commerce

firms as little had been done by the government despite over three years

of lobbying by domestic retailers.

Modi’s Hindu nationalist Bharatiya Janata Party is widely viewed as

panicking after losing five state elections this month. The government,

which must hold a general election by May, is also expected to come up

with new support programs for farmers as their opposition grows due to

low crop prices.

An opinion poll by TV channel ABP News this week predicted Modi’s party

could fall short of a majority if the opposition forms an effective alliance in

the national election.

EARNINGS HALVED

B.C. Bhartia, president of the Confederation of All India Traders, said some

small businesses had seen earnings more than halve in the last few years

as they struggle to compete with low prices offered by the American-

controlled behemoths.

“The last-minute policy change is too little and too late,” he said.

In particular, retailers and traders believe Modi turned a blind eye to what

they say was the use of policy loopholes by major e-commerce

companies to offer heavy discounts that allowed them to seize market

share for goods such as electronic items.

Asked about those accusations, Amazon India said in a statement that it

had always operated “in compliance with the laws of the land” and that

had more than 400,000 small and medium businesses on its marketplace.

Flipkart declined to comment on the specific allegations.

Small Indian businesses have also been bruised by other Modi policies,

including a sudden ban on the use of high-value currency notes in late

2016 and the launch of a national sales tax in 2017, both of which raised

compliance costs.

Bhartia said if the government was serious about the concerns of small

traders, it should prosecute violators of trade rules and appoint an

independent regulator to curb malpractice.

A government official told reporters on Thursday the administration could

consider demands for a regulator in its new e-commerce policy,

expected to be released in the coming months.

A September report by PricewaterhouseCoopers estimated online

commerce in India would grow 25 percent a year for next five years,

hitting $100 billion a year by 2022.

The new curbs could harm those growth prospects and discourage some

foreign investors, said investment consultants.

“Sentiment is definitely hurt,” said Harminder Sahni of retail consultant

Wazir Advisors, adding that the policy suggested online retail business

should only be done by Indians.

Amazon said in its statement it was evaluating the new guidelines to

engage as necessary with the government so it could remain true to its

vision of “transforming how India buys and sells and generating significant

direct and indirect employment.”

Flipkart said the advent of e-commerce had created hundreds of

thousands of jobs and “the industry was set to be a major growth driver for

the Indian economy and create millions of jobs in the future.”

“It is important that a broad market-driven framework through the right

consultative process be put in place in order to drive the industry

forward,” it added.

The government boasts of attracting nearly $223 billion foreign investment

in the last four years, compared with about $152 billion in the previous four

years.

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