Business

South Korea urges EU to team up against US

Published

1 year ago

10/12/2022

Seoul’s trade minister says Washington’s actions will have a discriminatory impact on South Korean and European producers

Seoul and Brussels should coordinate their responses to a large-scale subsidy package adopted by the US, South Korean Trade Minister Dukgeun Ahn said on Friday in an interview with EURACTIV.

The Inflation Reduction Act (IRA), a $430 billion climate protection and social investment plan adopted by the US Congress in August, is designed to battle inflation and reduce energy prices, as well as tackling climate change.

However, it also includes massive subsidies for US-produced electric cars and batteries, sparking major concerns that European and South Korean manufacturers will be significantly disadvantaged.

Ahn said South Korea and the European Union should work together to develop a response to the IRA, which was passed by Congress in August. The EU believes that the law violates competition rules, as it provides incentives for buyers of American electric vehicles.

“We have huge room for the EU and Korea to work together and to make the [IRA] system more compatible with the WTO, so as not to cause unnecessary trouble for strategically important parts of our industry,” Ahn said.

However, he expressed doubt that the law could be changed in the short term.

Ahn suggested the EU and South Korea could work with the US administration “to minimize the discriminatory impact of the IRA,” which offers generous tax breaks for US companies that invest in clean energy and significant subsidies for domestic electric vehicles, batteries and renewable energy projects.

“In case it becomes obvious that they cannot do anything or if they don’t show any willingness to work with us to find a proper solution, we will have to find another alternative,” he said.

European Commission President Ursula von der Leyen had previously called for “action” and increased state aid for its own companies in response to the US measures. Bernd Lange, head of the European Parliament’s Trade Committee, said the EU should file a lawsuit with the World Trade Organization (WTO) against the act.

Source(s): RT News

Business

CWEIC office to establish in Maldives, Janah as Chair

Published

2 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

6 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

Business

Over USD 713M generated attributing to revenue increasing by 3.7%

Published

1 week ago

11/05/2024

Ministry of Finance has revealed a remarkable surge in the government’s revenue generated as of April 25, which exceeds USD713 million. The latest weekly fiscal report publicised by the ministry indicates that this contributes to a 3.7% increase in revenue in comparison to the revenue of USD693 million, generated within the same period, in 2023.

The fiscal report shows that the revenue comprises USD 596 million in tax revenue, USD116 million in non-tax revenue, and USD3 million in aid received. Tax earnings include import duty, business and property tax (BPT), goods and services tax (GST), as well as earnings from GST. The breakdown of revenue generation includes USD45 million from import duties, USD168 million from BPT, USD330 million from GST, USD24 million from green tax, USD22.6 million from airport service charges, and departure tax.

Expenditures until April 25 totalled USD817 million, with USD629 million allocated to recurrent expenses and USD181 million to capital expenditures. This represents a significant reduction in expenditures compared to the USD244 million spent by the government in 2023, during the corresponding timeframe. Recurrent expenses cover USD207 million for salaries and allowances and USD408 million for administrative work. Meanwhile, capital expenditure primarily encompasses expenses related to structural development.

Source(s): PsmNews