Established 1961

TUESDAY, OCTOBER 13, 2020

Boursa Kuwait participates in webinar

CMA, HSBC hold virtual roadshow to highlight investment opportunities

KUWAIT: Boursa Kuwait participated Commenting on the roadshow, Al- the removal of the fresh money rule to become the first fully privatized in a webinar organized by financial serv- Abdulkareem said: “Despite the chal- (Netting) on an investor .” bourse operator and self-listed exchange ices company HSBC and with the partic- lenges brought forth by the coronavirus Boursa Kuwait’s participation in the in the region to reach this achievement. ipation of the Capital Markets Authority pandemic, Boursa Kuwait has continued HSBC event marks the second event in The company’s shares had rocketed to highlight updates and final prepara- to pursue its strategic objectives with a collaboration with the financial services more than 10-fold on its stellar trading tions for the Kuwaiti capital market’s commitment to contributing to the company in a virtual capacity this year. debut on September 14, 2020. promotion to MSCI Emerging Markets in advancement of the Kuwaiti capital mar- In September, Boursa Kuwait organized Since its inception, Boursa Kuwait has the November EM inclusion. kets and enticing the international com- its first Virtual Corporate Day in collabo- worked effortlessly to create a credible Representing Boursa Kuwait during munity to invest in it.” She added, ration with HSBC from 9 until 10 exchange built on efficiency and trans- the webinar was Noura Al-Abdulkareem, “Boursa Kuwait made changes to its September 2020. The conference, held parency, creating a liquid capital market, Boursa Kuwait’s Head of Markets Sector, trading mechanism to accommodate the virtually because of the spread of the a progressive exchange platform and who commented on the significant inclusion in the MSCI Emerging Markets coronavirus pandemic, was attended by developing a comprehensive set of achievements of Boursa Kuwait as a Index with an extension of the Closing nine companies listed in the Kuwaiti reforms and enhancements that has result of its wide-ranging market devel- Auction and Trade at Last sessions on capital market, who met with 31 of the allowed it to compete on an international opment efforts to enhance the Kuwaiti the day of Inclusion, as well as an exten- world’s leading institutional investors and level. The company has rolled out numer- capital market, highlighting recent sion on Custodian Rejections. Permanent asset management firms over the two- ous market reforms and new initiatives changes to the exchange’s mechanisms fixtures in the exchange’s trading mecha- day period. over the past three years as part of its to accommodate the inclusion in the nisms going forward also include the Boursa Kuwait recently listed its comprehensive multi-phase market Noura Al-Abdulkareem MSCI Emerging Markets Index. introduction of allocation accounts and shares on the country’s financial market development (MD) plans.

down on illegal channels, Samiullah American duo Remittances Tariq, head of research and develop- ment at Pakistan Kuwait Investment Company, told Reuters. wins Nobel to Pakistan Pakistan’s ability to curb illegal financial transactions, including Economics Prize top $2 billion financing of militant and extremist groups, has been under close scrutiny from international financial watchdog STOCKHOLM: US economists Paul KARACHI: Remittances from the Financial Action Task Force Milgrom and Robert Wilson won the Nobel Pakistani workers employed abroad (FATF), which meets next week in Economics Prize yesterday for work on increased to $2.3 billion in September, Paris to review the country’s progress commercial auctions, including for goods a 31.2 percent rise year-on-year and on key action points. and services difficult to sell in traditional up 9 percent compared to the previ- “Remittances are consistently ways such as radio frequencies, the Nobel ous month, the country’s central bank increasing due to a combination of Committee said. said yesterday. Remittances remained factors including limited physical The duo was honored “for improve- above $2 billion for a fourth consecu- mobility of expats to Pakistani due ments to auction theory and inventions of tive month, capping a higher than to COVID-19 resulting in more new auction formats,” the jury said. The expected inflow of finances in the first transfers through official channels,” Royal Swedish Academy of Sciences noted A screen shows pictures of US economists Paul Milgrom (left) and Robert Wilson during the quarter of FY2020-21 for the South Tariq said. “COVID-19 test require- that the discoveries by Milgrom, 72, and Asian nation, which has struggled ment is still there for the Middle Wilson, 83, “have benefitted sellers, buyers announcement of the winners of the “2020 Nobel Prize Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel” at the Royal Swedish Academy of Sciences in with current account deficits and a East, UK and US, major countries and taxpayers around the world,” it said in Stockholm yesterday. — AFP depreciating currency. from where remittances come, so a statement. “The level of remittances in people are travelling less,” Saad “Auctions affect all of us at every level. September was slightly higher than Hashemy, Executive Director BMA Moreover, they are becoming increasingly auction forms, publishing his seminal ment had been “very happy news,” conced- SBP’s projections of $2 billion,” the Capital Management, told Reuters. common and increasingly complicated,” the papers around 1980. Also a professor at ing that despite his research focus he him- State Bank of Pakistan said in a state- “Despite COVID-19 more good academy said, listing examples such as flex- Stanford, Milgrom and Wilson live on the self had “never participated in an auction.” ment, adding that first quarter figures news for our economy,” Prime ible electricity prices set by daily auctions same street. The academy noted that while However, he quickly had to retract his were 31.1 percent higher year on year. Minister Imran Khan tweeted yester- and countries raising funds through gov- “people have always sold things to the statement. “My wife is pointing out that we Multiple factors contributed to the day before the central bank released ernment bond auctions. Wilson, a professor highest bidder,” societies have also had to bought ski boots on eBay, I guess that was increase, including Pakistan’s crack- the numbers. — Reuters at Stanford in the US, was spotlighted for allocate “ever more complex objects... such an auction,” Wilson said. Last year the developing a theory on auctions focusing as landing slots and radio frequencies” honor went to French-American Esther among users. Duflo, Indian-born Abhijit Banerjee of the on a common value, such as the future val- their headquarters are elsewhere. ue of radio frequencies, or the rights to “In response, Milgrom and Wilson US, and American Michael Kremer for their invented new formats for auctioning off experimental work on alleviating poverty. OECD: Global Governments are facing growing extract minerals in a particular area. pressure to clamp down on the tax This common value “is uncertain many interrelated objects simultaneously, on behalf of a seller motivated by broad Not created by Alfred Nobel deal on taxing avoidance strategies used by multi- beforehand but, in the end, is the same nationals such as Google, Amazon, for everyone,” according to the academy. societal benefit rather than maximal rev- Even if it might be the most prestigious enue,” the academy said. Their theories prize an economist can hope to receive, Facebook and Apple-the so-called Wilson’s work, which resulted in three tech giants still “GAFA”-that are accused of shifting influential papers in the 1960s and were put into practice by US authorities in the economics prize has not reached the 1994 to sell radio frequencies to telecom same status as the awards originally cho- their profits to countries with lower 1970s, showed why bidders tended to beyond reach tax rates. bid under what they actually thought the operators, and are applied by governments sen by Alfred Nobel in his 1895 will around the world in the current rollout of founding the awards, which included med- The coronavirus crisis hindered good was worth. progress this year on implementing The answer was that they feared the 5G networks. The winners will share the icine, physics, chemistry, literature and PARIS: The 137 nations trying to prize sum of 10 million Swedish kronor peace. It was instead created in 1968 a levy, even though “the Covid-19 “winner’s curse,” or winning the auction hammer out a new global standard pandemic makes the need for a but paying too much. Milgrom then came (about $1.1 million, 950,000 euros). through a donation from the Swedish cen- for taxing multinational tech firms will Speaking to reporters in Stockholm via a tral bank and detractors have thus dubbed solution even more compelling,” the up with a more general theory of auctions not secure a deal by the end of this OECD said. by analyzing bidding strategies in different telephone link, Wilson said the announce- it “a false Nobel.” — AFP year as hoped, the OECD acknowl- Failure to reach a global agree- edged yesterday. ment could prompt some countries to pence in late yesterday deals. Faced with “The glass is half full: the package go it alone on digital taxation, further Virus-blighted BA the global travel crisis, the stock has plum- is nearly ready but there is still no stoking global trade tensions. Several meted by a staggering 75 percent since the political accord,” said Pascal Saint- European countries including France announces shock start of the year-making it the worst per- Amans, head of tax policy at the and Britain have already announced former listed on London’s FTSE 100 index. Paris-based Organization for their own levies in the absence of a “ is going to need a new Economic Cooperation and global accord. CEO departure pair of wings if it is to fly through the pan- Development (OECD). But the OECD, That has infuriated Washington, demic in one piece. The airline is now get- which is leading the talks, does which says American companies are ting new leadership in the form of Sean expect to finalize a digital tax pro- being unfairly targeted. LONDON: British Airways, which is slash- posal “sometime in 2021,” Saint- “Despite the exceptional circum- ing thousands of jobs as coronavirus deci- Doyle,” said Hargreaves Lansdown analyst Susannah Streeter. A company spokes- Amans added, although he acknowl- stances, there are a lot of strong feel- mates demand for air travel, announced edged persistent US resistance to the ings and impatience, and the tempta- woman declined to comment on the nature British Airways CEO Alex Cruz speaks to yesterday that CEO Alex Cruz is stepping plan. Talks have been laboring on tion to take unilateral action faced down “with immediate effect” but gave no of the departure of Cruz, who has overseen members of staff at the British Airways a massive cost-slashing drive and will Maintenance Centre (BAMC) at Cardiff under OECD auspices for the past with a measure that will take years to reason for his unexpected departure. two years on how to ensure that tech implement,” Saint-Amans said at a Parent group IAG added in a statement remain non-executive chairman. Airport in south Wales. —AFP British Airways is in the process of giants pay a fair share of taxes in the press conference at the OECD’s that the Spanish businessman, who had countries where they operate, even if headquarters in Paris. — AFP been BA chief executive for four and half axing 13,000 jobs or about one third of its it should be.” years, will be replaced by its workforce in response to the Covid-19 Cruz meanwhile gave no comment boss Sean Doyle. New IAG chief executive pandemic, and is currently operating about regarding his shock exit. Luis Gallego, a fellow Spaniard who took one quarter of its normal schedule. Speaking last month however, he the reins from Willie Walsh just last month, BA pilots had voted in July to accept a defended the airline’s heavy job cuts and said the company’s management reshuffle package including job and pay cuts aimed argued that customers were “still afraid of was aimed at emerging stronger from the at avoiding even more redundancies. travelling”. “Covid has devastated our health crisis. British pilots’ union BALPA welcomed business, our sector. We’re still fighting for “We’re navigating the worst crisis faced Monday’s news. our own survival,” he told parliament’s in our industry and I’m confident ... IAG is transport select committee. well placed to emerge in a strong position,” ‘Departure lounge’ IAG has forecast that it will take until at Gallego said. “I want to thank Alex for all “Mr Cruz has been in the departure least 2023 for passenger demand to recov- that he has done at British Airways. He lounge for some time so this is no surprise. er to pre-pandemic levels. “As CEO of worked tirelessly to modernize the airline. He was given a remit to cut costs and British Airways, I have to take responsibili- He has led the airline through a particularly found it impossible to do that without ty. I cannot ignore the situation. I had to demanding period and has secured alienating BA passengers and employees act incredibly fast,” Cruz said during his restructuring agreements with the vast alike,” said BALPA General Secretary Brian parliamentary grilling on September 16. majority of employees.” Strutton. “Willie Walsh has also gone, BA “I deeply, deeply regret that way too parted company with its COO earlier this many loyal and hardworking colleagues of ‘New pair of wings’ year, and now with the CEO leaving I hope mine are having to leave our business and I Investors fretted over the news, sending this heralds a new dawn which sees BA understand why MPs are concerned... This IAG shares down two percent to 101.45 behaving like the proud flag carrier airline is an impossible situation.” — Reuters