The stories to read this week
Major global economic developments include the Swiss National Bank preparing to maintain the world’s lowest interest rate of -0.75% during its monetary policy announcement on 24 March, even as many other central banks continue increasing borrowing costs.
The central banks of Argentina and Paraguay both raised interest rates on 22 March in an effort to control inflation and stabilize their economies.
Evergrande Group, the Chinese real estate giant that drew global attention over fears of default, has announced plans to present a debt restructuring strategy to creditors before the end of July.
Russia’s central bank decided to keep its key interest rate at 20% following last month’s emergency hike. The bank also intends to resume purchases of government bonds while cautioning that inflation could surge and the economy may shrink.
HSBC has entered the metaverse by purchasing virtual land in The Sandbox, marking the bank’s first significant investment in digital virtual environments.
Thailand plans to prohibit cryptocurrencies from being used as a payment method, arguing that widespread digital currency use could threaten financial stability and economic security.
The United States and United Kingdom have agreed on a trade arrangement that reduces tariffs on British steel and aluminium exports. Under the agreement, the US will permit 500,000 tonnes of British steel imports without duties, while the UK will remove tariffs on around $500 million worth of American goods, including agricultural products and spirits.
Inflation in the UK has climbed to its highest level in three decades at 6.2%, with the country’s central bank warning that inflation could exceed 10% by the end of 2022.
The International Monetary Fund has expressed concern over rising global food prices and warned that vulnerable communities could face serious economic hardship as a result.