Business

Russia-Ukraine tensions: Gold prices rise to highest levels in one year

Published

2 years ago

21/02/2022

MNN

Is a surge in gold demand here to stay?

Gold prices hit their highest level in over eight months as investors rushed to the precious metal as a safe haven amid the Russia-Ukraine crisis.

Price of gold hit $1,979 per ounce late last week climbing to its highest level since June 11, 2021, according to official figures.

The precious metal is set for a third straight weekly gain, its longest run this year, even as the US Federal Reserve is preparing to raise rates, which often dampen’s demand for gold.

Gold eased on Monday as a plan for the US and Russian presidents to hold a summit on the Ukraine crisis dented safe-haven demand in the yellow metal.

Spot gold fell 0.3 percent to $1,891.85 in early morning trading.

Investors ‘deeply concerned’

US President Joe Biden has accepted in principle a summit with Russia’s Vladimir Putin over the Ukraine crisis, after the foreign ministers of the two countries meet next week and if an invasion has not occurred, the White House said on Sunday.

“Global investors are deeply concerned about the potential (conflict) between Russia and Ukraine, and the US president has been repetitively saying that an invasion is possible in the days to come,” said Margaret Yang, a strategist at DailyFX.

“On the other hand, investors are also mewling on the Federal Reserve rate hike in March, so that is likely to suppress gold prices.”

Investors are worried over prospects of an aggressive Federal Reserve tightening as inflation runs rampant, analysts have said.

At least six Federal Reserve officials are set to speak this week and investors will be keen to find out their views on a possible 50 basis point hike in March.

Other metals have also gained in value

Rising interest rates increase the opportunity cost of holding non-yielding bullion.

Spot silver fell 0.8 percent to $23.78 per ounce, platinum rose 0.4 percent to $1,071.62.

Auto-catalyst metal palladium dipped 1.2 percent to $2,318.85.

“Palladium prices spiked above $2,300/oz due to increased risk from Russia. Nearly 35 percent of palladium production comes from Russia. This saw palladium backwardation widening last month,” ANZ analysts said in a note.

“Investor interest remains subdued, on expectations of low chip availability lingering into Q2 2022.”

Source: TRTWorld

Business

Maldives records USD 802.2 million in first four months

Published

7 hours ago

19/05/2024

The Ministry of Finance has disclosed that the state received USD 802.2 million in revenue during the first four months of this year, marking a significant 4.2% increase compared to the same period last year.

This revenue breakdown comprises USD 660 million in tax revenue, USD 129.4 million in non-tax revenue, and USD 5 million in aid to administration.

Tax revenue is primarily derived from Import Duty, Business and Property Tax (BPT), and Goods and Service Tax (GST), with figures as follows:

– Import Duty: USD 60.3 million
– BPT: USD 168.2 million
– GST: USD 375.2 million
– Green Tax: USD 27 million
– Airport Service Charge and Departure Tax: USD 25.1 million

Moreover, financial data indicates that the current administration has notably reduced overall expenses compared to the previous year.

Total government expenditures for the first four months of this year stand at USD 925.1 million, a significant decrease from last year’s USD 1.04 billion. This includes USD 724.6 million in recurrent expenses and USD 194.1 million in capital expenditure. Recurrent expenses prominently consist of USD 284.7 million in salaries and allowances and USD 433.4 million in administrative expenses, while capital expenditures primarily involve infrastructural development projects.

Source(s): PsmNews

Business

CWEIC office to establish in Maldives, Janah as Chair

Published

3 days ago

16/05/2024

Commonwealth Enterprise and Investment Council (CWEIC) has announced decision to establish its office in the Maldives, and appoint President Dr. Mohamed Muizzu’s Principal Advisor Mohamed Ali Janah as its Country Chair.

CWEIC in a statement on Thursday, said the office will be established to connect the Maldives government with international investors and businesses.

The Maldives hub office of CWEIC will play a vital role in seeking prospective investment opportunities from all 56-member nations of the Commonwealth. The office will also enhance strategic alliances and partnerships between these countries and the Maldivian government.

Veteran entrepreneur, Janah boasts of over 30 years of business relations with the Middle East.

Source(s): sun.mv

Business

Dubai company awarded the development of SEZ

Published

7 days ago

12/05/2024

An agreement has been signed by the Maldivian administration with UAE’s International Free Zone Authority (IFZA) to develop Special Economic Zones (SEZ) in the Maldives.

The agreement, officially co-signed by Minister of Economic Development and Trade Mohamed Saeed and IFZA Chairman Martin Gregers Pedersen during a special ceremony, marks a significant milestone in economic development.

Speaking at the ceremony, Minister Saeed emphasized the timeline for finalizing the agreement, committing to reach a consensus within the next four months. As part of the agreement, Fonadhoo in Kaafu Atoll will be transformed into a financial hub, featuring a new financial center and a bridge connecting Male’ and Hulhule. IFZA will bear the expenses for these developments.

The Ministry of Economic Development and Trade further highlighted plans for the Economic Gateway project in Ihavandhippolhu, aiming to attract investors with IFZA’s expertise. Addressing the attendees, Chairman Pedersen expressed confidence in the success of the project, underscoring collaborations with investors to further enhance opportunities in the Maldives.

The development of SEZs remarkably aligns with the President Dr. Mohamed Muizzu’s vision to diversify the economy and stimulate financial growth. The Maldivian administration is optimistic about attracting future investments and positioning the country as a desirable destination for business opportunities.

Source(s): PsmNews