Goldman Sachs chief executive David Solomon, Morgan Stanley’s James Gorman and Citigroup’s Jane Fraser will attend a financial forum in Hong Kong designed to restore the city’s reputation as Asia’s top financial hub after years of restrictive coronavirus pandemic policies.
The confirmation of the global bank executives’ attendance from the Hong Kong Monetary Authority on Thursday comes less than a week after Hong Kong scrapped mandatory hotel quarantine for international visitors. Many executives attending the forum will be visiting Hong Kong for the first time since Covid-19 struck in 2020.
The city’s government hopes that the conference, which coincides with the return of the rugby Sevens tournament next month, will lay the foundation for Hong Kong’s economic revival in the wake of the pandemic and a crackdown on pro-democracy protests in 2019.
The Sevens tournament was previously one of the biggest corporate networking events in Asia, but it has been postponed since 2019 because of pandemic restrictions.
Thanks for reading FirstFT Asia. Now for the rest of the day’s news — Emily
Five more stories in the news
1. Russia to annex four Ukrainian regions Vladimir Putin will annex four regions in south-eastern Ukraine — none of which Russia fully controls — today, in a substantial escalation of the conflict with Kyiv. The Russian president’s spokesman said yesterday that Putin would sign “treaties” with Russia-appointed occupation officials and make a “substantial speech” during the ceremony in the Kremlin, state newswire Ria Novosti reported.
Related read: US authorities have charged Russian metals tycoon Oleg Deripaska and his associates with violating sanctions imposed by Washington.
2. SoftBank sheds 30% of Vision Fund staff The Japanese conglomerate has laid off 30 per cent of staff at its flagship Vision Funds as it seeks to cut costs after a severe tech rout caused it to suffer record quarterly losses. Of the 500-strong Vision Fund unit, 150 people are set to lose their jobs, said people briefed on the decision.
3. Labour party opens 33-point poll lead British prime minister Liz Truss is under mounting pressure to change course on her tax and borrowing plans after a new opinion poll gave Labour a historic lead over the Conservatives. A YouGov poll showed Labour had a 33-point lead over the Tories, the biggest gap since the 1990s.
Markets news: The pound clawed back some of its recent losses following the Bank of England’s dramatic intervention, rising above $1.10 against the dollar for the first time since UK chancellor Kwasi Kwarteng’s announced his “mini” Budget.
4. Deloitte China allowed clients to do own audit work, finds SEC The US securities regulator has charged Deloitte’s China arm with falling “woefully short” by having clients complete their own audit tasks, as negotiations between Washington and Beijing over setting cross-border accounting standards come to a head. Deloitte China has agreed to pay a $20mn penalty.
5. Paraguay calls for Taiwan to invest $1bn to remain allies Paraguay president Mario Abdo Benítez has called on Taiwan to invest $1bn in his country to help him resist “enormous” pressure to switch diplomatic recognition to rival China. “We are working with the president of Taiwan . . . so that the Paraguayan people feel the real benefits of the strategic alliance,” Abdo told the Financial Times during a visit to the US.
Related read: The US will provide $210mn to Pacific Island nations to help tackle issues ranging from climate change and maritime security to economic development in Washington’s latest push to counter Chinese activity in the region.
How well did you keep up with the news this week? Take our quiz.
The days ahead
China manufacturing data Caixin’s general manufacturing and services PMI data is set to be released today. The index is expected to hold steady with figures released earlier this month. (FX Street)
Japan economic data Look out for the country’s unemployment rate, industrial production and retail sales data coming today. Economists expect slight improvements in unemployment and factory output along with 2.8 per cent growth in retail sales from a year prior. (Reuters)
China’s National Day Tomorrow the country will commemorate the founding of the People’s Republic of China. During this year’s Golden Week national holiday — normally a popular time to travel — many will be staying put due to Covid-19 restrictions. (SCMP)
Brazil presidential election Brazilians go to the polls on Sunday for the first round of the presidential election — its most important vote in decades. If no one wins more than 50 per cent of the valid votes, a second-round run-off will be held on October 30 between the top two candidates.
What else we’re reading
Xi Jinping’s coronation looms China’s government is increasingly taking a back seat to Xi Jinping, the man who has dominated it for the past decade. The president is set to secure a third term in power next month when the National People’s Congress meets.
Is Europe’s energy plan enough to get through winter? With temperatures dropping and Russian gas imports at a fraction of former levels, energy ministers are discussing a package of windfall taxes aimed at curbing energy prices. But a growing number of member states warn that proposals do not go far enough and risk sparking political unrest.
Leicester’s communal violence reverberates across continents Tensions between sections of the Muslim and Hindu communities had been building since May, but the scale of disturbances sent shockwaves all the way to India. Violence in Leicester has served a warning of how extremist agendas are threatening a relatively harmonious tradition of multicultural coexistence.
China’s Big Fund corruption probe casts shadow over chip sector An investigation of the semiconductor sector by the deeply feared and highly secretive Central Commission for Discipline Inspection has led some analysts to believe that the state has laid the groundwork for graft and wasteful spending to flourish — delivering a setback to China’s aim of achieving self-sufficiency in chips.
Opinion: A fresh wave of global government investment in the semiconductor industry, triggered by US-China tensions, might well stimulate broader innovation, writes John Thornhill.
Why are musicians cancelling tours? This year was supposed to mark the triumphant return of concerts. But following the cancellation of live appearances by some of the world’s biggest performers — including Shawn Mendes, Justin Bieber and Adele — the return to live shows is looking more precarious, writes Anna Nicolaou.
Design
Launched in 2014, Singapore Design Week returned in 2022 after a two-year break. From S$25,000 ($17,000) sculpted glass exercise bikes and crystal chandeliers to objects made from cow dung, cigarette butts, old newspapers and sweepings from dog groomers, here are the highlights from a week showcasing the best design.
Source: Economy - ft.com
