Russia is purchasing millions of rockets and artillery shells from North Korea to re-energise its offensive in Ukraine, according to recently declassified US intelligence, as western sanctions begin to choke Moscow’s supply of weapons.
The Russian ministry of defence was “in the process of purchasing millions of rockets and artillery shells from North Korea for use on the battlefield in Ukraine”, a US official said, citing intelligence recently cleared for public dissemination.
“This purchase indicates that the Russian military continues to suffer from severe supply shortages in Ukraine, due in part to export controls and sanctions,” the official added.
Moscow’s military dealings with North Korea come after recent disclosures that it is also relying on another pariah nation, Iran, to support its war in Ukraine. Russia received its first shipment of Iranian combat drones last week and was likely to receive more, US officials said.
Iran and North Korea are widely seen as relatively unreliable providers of military equipment. US officials said some of the drones purchased by Russia from Iran had experienced mechanical failures.
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Five more stories in the news
1. Japanese yen hits 24-year low against dollar The yen yesterday plunged to its lowest level against the US dollar since August 1998 as hedge funds in Europe and the US resumed bets that the Bank of Japan’s ultra loose monetary policy would continue. Japan’s currency dropped as much as 1.7 per cent to a low of ¥142.97 against the dollar.
2. Truss takes office, pledging to steer UK out of energy crisis Liz Truss has vowed Britain will “ride out the storm”, as the new UK prime minister began confronting an economic crisis with a massive energy bailout for families and businesses that could cost more than £150bn. Within minutes of entering Number 10, Truss set about forming a cabinet. Here is a look at her administration.
Read more on Truss and Europe’s energy crisis:
Inside the Tory party: Can Truss govern her own party? UK’s new prime minister will face some of her biggest challenges from within the Tory ranks.
EU windfall taxes: Brussels is pushing for national windfall taxes on energy companies’ inflated earnings to counter “astronomic” electricity bills.
Big Read: Last year, EU commissioners put the continent on a path to becoming climate neutral. Now, they’re planning tens of billions of euros of spending on fossil fuels amid severe cuts to gas supplies.
3. India’s Silicon Valley hit by floods and power cuts Intense flooding has submerged parts of India’s tech capital Bangalore, inundating multimillion-dollar homes, wrecking slum housing and cutting off transport links to offices. The deluge of eastern areas of the city in the southern Indian state of Karnataka follows much more widespread flooding across Pakistan, which has killed at least 1,300 people.
4. Singapore’s biggest bank backs crypto despite slump Piyush Gupta, chief executive of DBS, said the bank plans to grow its cryptocurrency and digital assets business despite the crypto bear market, saying it wants to expand its digital exchange and offer services to more of its 300,000 wealthy clients in Asia.
5. Juul Labs to pay $438.5mn in underage user settlement The Altria-backed e-cigarette group must pay $438.5mn under a settlement with dozens of US attorneys-general after their two-year investigation concluded it had “cynically” advertised vaping products to underage users.
The day ahead
Australia GDP figures Australia’s economy is expected to have grown 1.1 per cent quarter-on-quarter and 3.6 per cent year-on-year when second-quarter figures are released today. (Forexlive)
Apple launch event Apple holds its annual event to launch its latest products, including a new series of iPhones. Late last week Apple officially overtook Android devices to account for more than half of smartphones used in the US.
China trade figures Monthly and quarterly trade data is set to be released today.
US Federal Reserve Beige Book The Fed will publish its report of economic conditions today. Federal Reserve vice-chair Michael Barr will also discuss how to make the financial system safer and fairer at the Brookings Institution, his first public comments since taking the role.
Join us on September 7-8 online or in person at The Westin, Singapore, for our Moral Money Summit: Accelerating ESG Integration to Unlock Value and Drive Progress. Register here
What else we’re reading and listening to
The battle for control of India’s media Prannoy Roy, a broadcaster and co-founder of New Delhi Television, and his wife and co-founder Radhika Roy are locked in a battle with the world’s third-richest man, Gautam Adani, for control of a media group that supporters say is a bastion of media independence.
Taiwan’s military mired in the past Inertia that has hindered efforts to strengthen Taiwan’s defences is rooted in the army’s historical links to the Kuomintang, the Chinese Nationalist party that ruled the country under martial law for decades, experts say. The reform drive has taken on urgency as Beijing ratchets up military pressure.
Europe can — and must — win the energy war How Europe responds to this crisis will shape its immediate and longer-term future, writes Martin Wolf. It must resist Putin’s blackmail. It must adjust, co-operate and endure. That is the heart of the matter.
Related read: Without immediate political intervention the energy crisis threatens to escalate into an avoidable health emergency that will widen inequality and shorten lives.
Why Bloomberg lives on and on and on and on and on and on Industry watchers have been predicting the death of the Bloomberg terminal ever since the financial crisis, writes Rupak Ghose, a former financial analyst at Credit Suisse. But Bloomberg lives on. It thrives. He explains why.
A sceptic’s guide to crypto Even after the crypto markets crashed this year, there are still a number of people who believe there’s a future for digital assets and blockchain technology. FT columnist and avowed crypto sceptic, Jemima Kelly, isn’t so sure. On season 4 of Tech Tonic, she takes a trip deep into cryptoland to hear from critics, converts and hardcore believers.
Gaming
Kill time and zombies at four of Tokyo’s most exciting game centres. From retro-tastic classics to mind-blowing VR adventures — via good old pinball machines — every gaming taste is catered on this FT Globetrotter list.
Source: Economy - ft.com
