Latest News
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The Russian budget deficit in 2025 was 2.6% of the GDP, which is the highest level since 2020
The Finance Ministry announced on Monday that Russia had a budgetary deficit of 5.6 trillion roubles, or 2.6% of GDP, by 2025. This is the largest deficit in terms of percentage of GDP since 2020 and in roubles since 2006. In 2024, Russia's fiscal deficit was equal to 1.7% of its GDP. The?government increased the deficit target in 2025 from the initial?1.2 trillion Rubbles or 0.5% GDP due to the shrinking energy revenue and a strong Rouble. Budget revenues were 37.28 trillion rubles, down 7.5% on the original target. This was due to the 24% drop in oil and gas revenue, which reached its lowest level since 2020 despite the corporate profit and income tax increases. Budget spending, at 42.93 trillion rubles, was up 6.8% from 2024, and 3.5% more than the original?budget plan. Analysts doubt that the government will be able to meet its target, despite the fact that the government has raised the value added tax in order to keep the deficit this year at 1.6% of GDP.
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Italian fashion great Valentino dead at 93
His foundation announced that Valentino Garavani, the Italian designer of fashion, died on Monday. Valentino, who is usually only known by his first name, was 93 years old and had Retired in 2008 Valentino, the founder of his eponymous label, was a pioneer in haute couture, who built a successful business empire, and also introduced to fashion a new color, the so-called "Valentino Red". The foundation posted on Instagram that "Valentino passed away today in a?his Roman home, surrounded by his loved ones." It added that the funeral would take place at 11am (1000 GMT) on Friday in Rome. Valentino, along with Giorgio Armani, Karl Lagerfeld and other great designers of an era when fashion was not a globalized industry dominated by marketing executives and accountants but rather a highly commercialized one. Lagerfeld The year 2019 has seen the death of many people. Armani Died in September. (Written by Alvise Armillini, edited by Gavin Jones).
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Ghana's mining reforms could choke off investment, warns industry body
Ghana's main mining industry group said that changes in the country's tax and royalties terms could deter investment, and slow?output. Last week, it was reported that Africa's largest gold producer planned to cancel long-term mining investments stability agreements and double royalty payments under sweeping reforms. These changes will result in the termination of the?stability agreement with Newmont, AngloGold Ashanti, and Gold Fields. The mining regulator stated that the change was intended to increase state revenue and crackdown on companies abusing their licenses. The draft bill, which is expected to be presented to the parliament in March, proposes a royalty rate of 9%, rising to 12% when gold reaches $4,500 an ounce or more, about double the current range of 3% to 5%. Fear of Stalemated Projects, Lost Jobs In a statement released on Monday, the Chamber of Mines - which represents the 'big mining companies' - said that they supported the principle of a sliding scale royalty system, which would allow the government to earn more when gold prices are higher. It warned, however, that the current proposal could push Ghana up the global effective taxes curve and potentially cause projects to be halted or jobs to be lost. "We understand why a sliding scale is used, but it must be structured in a way that the government can secure sustainable revenues?while industry continues to grow and reinvest," said Chief Executive Kenneth Ashigbey. The current proposal fails to strike this balance. The chamber did not offer a "counterproposal". The Minerals Commission and the Lands and Natural Resources Ministry of Ghana did not respond immediately to comments. The chamber of commerce said that Ghana's large scale miners pay a 3% growth levy and a flat 3-5% royalty rate. Both are levied based on gross revenue, not profit, and include a 35% corporation income tax, an 8% dividends tax and a 10% state-free carried interest. It said that stability and development agreements need to be improved, but not repealed outright. The chamber welcomed the ongoing consultations between Ghana's Lands and Natural Resources Minister and stressed that a competitive, predictable fiscal regime is essential to sustaining investment. Maxwell Akalaare Adombila, Robbie Corey Boulet and Susan Fenton edited the report.
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Gold and silver record highs amid Greenland dispute
Gold and silver reached record highs on Monday as investors fled to safety following the warnings from U.S. president Donald Trump about extra tariffs being imposed on certain European countries over a dispute regarding Greenland. By 12:05 pm, spot gold had risen 1.7% to $4672.49 per ounce. After reaching a record high of $4,689.39, ET (1705 GMT) was reached. U.S. Gold Futures for February Delivery increased 1.8% to $4677.70 per ounce. Trump threatened several European Allies on Saturday with an escalating series of tariffs unless the U.S. was allowed to "buy Greenland", intensifying a dispute about Denmark's vast Arctic Island. "When institutional or policy risks resurface the markets tend to'react quickly by reallocating towards safe-haven investments, with gold emerging once again as the preferred option," said XS.com senior analyst Linh Tran. Dollar fell after Trump's latest threats to raise tariffs prompted investors to seek out safe-haven currencies like gold, yen (Japan) and Swiss Franc. This was part of a broader risk-averse movement across all markets. Gold is more likely to do well in times of geopolitical or economic uncertainty and when interest rates are low. It has gained over 64% since 2025, and more than 8% in the first half of this year. Michelle Bowman, Vice Chair of the Federal Reserve for Supervision, said that the U.S. Central Bank should be prepared to lower interest rates if necessary due to a fragile and potentially weakening job market. The markets expect the Fed will hold rates at its meeting on January 27-28, but they are pricing in two 25 basis point rate cuts this year. Spot silver, which had previously reached a record-high of $94.61, has risen 5% to $94.41 per ounce. Since the beginning of the year, silver has increased by more than 32%. Citi Research analysts said they remain "tactically bullish" on precious metals. They set price targets for gold of $5,000 per ounce and silver at $100 per ounce in the next three month, citing the geopolitical tensions likely to continue to be high. Palladium increased 1.1%, to $1,819.99, while spot platinum rose 1.5%, to $2,362.65 per ounce.
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Source: Canada could send a small contingent of troops into Greenland
A source familiar with the situation said that Canada was considering sending a small contingent of troops to Greenland in order to take part in NATO exercises. The first to report the news were CBC News and Globe and Mail. Source: Military officials have "presented" plans for the operation to government, and are "awaiting a decision by Prime Minister Mark Carney," said the source. The source requested anonymity due to the sensitive nature of the issue. Carney's office declined to comment. Carney is challenged by the threats of U.S. president Donald Trump to annex Canada. He wants to be on Trump's side, but also show solidarity with European allies. Carney, who spoke to reporters on Sunday in Doha, said: "We are concerned about this escalated situation. To be clear, we will always support the sovereignty and territorial integrity of countries, regardless of their geographical location." Last week, a small number of European countries sent military personnel to Greenland. Germany, France and Sweden have all said that they will be sending military personnel to start preparations for large drills in the second half of this year. Bill Berkrot edited the report by David Ljunggren.
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Gold and silver record highs amid Greenland dispute
Gold and silver reached record highs on Monday as a result of a flight for safety following the warnings from U.S. president?Donald Trump about extra tariffs being imposed on certain European countries over a dispute?over Greenland. By 10:08 am, spot gold had risen 1.6% to $4.669.69 per ounce. After reaching a record high of $4,689.39 at 1508 GMT ET (Eastern Time), spot gold jumped 1.6% to $4,669.69 an ounce. U.S. Gold Futures for February Delivery increased 1.7% to $4.675 an ounce. Trump threatened several European Allies on Saturday with an escalating series of tariffs unless the U.S. was allowed to "buy Greenland", intensifying a dispute about Denmark's vast Arctic Island. "When institutional or policy risks resurface the markets tend to'react quickly by reallocating towards safe-haven investments, with gold emerging once again as the preferred option," said XS.com senior analyst Linh Tran. The dollar and stock markets fell after Trump's latest threats to raise tariffs prompted investors to flock towards'safe-haven' gold, Japanese yen, and Swiss francs in a risk-averse movement?across all markets. When interest rates are low and geopolitical or economic uncertainty is present, gold tends to perform well. It has gained over 64% since 2025, and more than 8% in the first half of this year. Michelle Bowman, Vice Chair of the Federal Reserve for Supervision, said that the U.S. Central Bank should be prepared to lower interest rates if necessary due to the fragile state of the job market. The markets expect the Fed to keep rates on hold at its meeting in January 27-28, but they are pricing in two rate cuts of 25 basis points or more this year. Silver spot also rose 4.4%, to $93.93 per ounce. This is after it reached a record high price of $94.10. Since the beginning of the year, silver has increased by more than 31%. Citi Research analysts remain tactically bullish, setting price targets for precious metals of $5,000 per ounce for Gold and $100 for Silver in the next 3 months. They cite geopolitical tensions likely to remain elevated in the short term. Palladium increased 1.2%, to $1,820.50, while spot platinum rose 2%, to $2,374.85 per ounce.
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INTERVIEW: Saudi private sector to play a larger role in Vision 2030, Minister says at Davos
Economy Minister Faisal Al-Ibrahim said Saudi Arabia will hand over the scope of some Vision 2030 Projects to the private sector, as it adjusts timetables to avoid economic "overheating". Ibrahim stated in an interview conducted in Davos in Switzerland that the government was "agile" when managing its ambitious pipeline of development projects. He said some projects were rescoping, but maintained momentum in its Vision 2030 goals for economic transformation. Ibrahim stated on Monday that the private sector was ready and eager to participate. He added: "Recently some whole scopes of project were given to private sector with regulatory support and guidelines." The top oil exporter in the world is already more than half way through its Vision 2030 plan. This plan calls for government investments of hundreds of billions?of dollars to reduce its dependence on hydrocarbon revenues by investing in tourism and other sectors. Saudi Arabia is grappling with economic challenges and logistical limitations. This has led to delays and recalibrations in some of the landmark projects, such as NEOM - a futuristic desert city by the Red Sea. In?October, it was reported that the Kingdom is planning to divert its $925 billion sovereign fund from being focused on mega-projects in real estate. Saudi Arabia has heavily tapped the debt markets over the past few years, as oil prices, which are its main source of income have fallen below the levels needed to fund the program. Ibrahim said that the changes to 'the timeliness and scope of project were driven by multiple factors including inflation, import pressures, and economic overheating. He said that he did not want to "overheat" the economy. "We are very transparent." Ibrahim stated that he would not hesitate to say we had to delay, reschedule, or shift a project. If you believe that the project, "the brick and mortar"... is Vision 2030 then that could be a problem. The project exists to achieve a specific outcome. According to the Saudi budget for this year, 2026 marks the beginning of a “third phase” of Vision 2030,?signaling a shift from launching reforms in economics to maximising impact. Saudi Arabia’s non-oil sector now accounts for more than a fifth of its real GDP, and will continue to grow as the country strives to lessen its dependence on oil revenues. He said that the percentage of non-oil activity dependent on oil flow?has already fallen from approximately 90% to about 70% with the aim of driving this figure even lower. He said that most non-oil industries have experienced a steady growth rate of between 5-10% per year over the last five years. The ministry is expecting both the overall growth and non-oil to be strong, with a range of 4-5%, for the next three. Saudi Arabia is now focusing on hosting major international sporting events. The 2027 AFC Asian Cup and 2030 World Expo are the top priorities. Ibrahim stated that the organizers are studying Qatar's "successful 2022 World Cup tournament model, and consulting with Qatari officials. He said that the Qataris had been very helpful. (Reporting and writing by Samia Nakhoul and Dmitry Zhdannikov, Hadeel al Sayeghl, Editing by Alexander Smith).
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Workers of Peru's state-owned oil company go on strike for three days over the privatization plan
Petroperu workers in Peru launched a 72 hour strike on Monday to protest the plan to privatize a part of the firm. The company claimed that operations were normal and the government declared the walkout illegal. Jose Luis Saavedra is the general secretary of the union of administrative workers. He said that at least 30% of their 2,200 unionized employees had taken part in the strike on Monday. Saavedra said by phone that "the speed at which the government wants privatize Petroperu" is shocking. Petroperu, however, said that its facilities were all operating normally. It also guaranteed that fuel supplies would not be disrupted. The?company said that Peru's Labor Ministry had ruled that the strike?call was "inadmissible" though this decision is subject to a 3-day review. The ministry didn't immediately respond to an inquiry for comment. The strike is a response to the aforementioned. Plan approved by late December Jose Jeri, President of the Republic, has announced his intention to revamp the financially distressed company. The plan aims to attract investment in key assets. Economy Minister Denisse miralles stated last week that 'first management contracts could be signed with private firms as early as June. Petroperu has a massive debt after receiving up to $5.3 Billion in government aid between 2022 and 2024. A part of its financial burden is due to its new Talara refining plant, a $6 billion project which commenced operations in 2023. The investment agency of the government has stated that the refinery is among the assets. Private investment is possible Or offered as a compromise. (Reporting and editing by Aida Peaez-Fernandez, Sarah Morland).
China petroleum imports set for November rebound, however it's cost not need: Russell
China's crude imports are on track to rebound in November to the greatest in 3 months, however the increasing appetite of the world's largest oil importer is more about rate than increasing need.
Petroleum arrivals might reach around 11.4 million barrels per day (bpd) this month, the most since August and the third-highest month so far in 2024, according to vessel-tracking and port data put together by product analysts Kpler and LSEG Oil Research study.
If the final result for November is in line with the projections, it will be the highest regular monthly imports considering that August's. official figure of 11.56 million bpd, and the third-strongest. month up until now this year.
However, presuming the increase in crude imports is because. of a recovery in demand might be positive, offered China's. refinery throughput stays weak and economic signs. continue to reveal the world's second-biggest economy is. struggling for development momentum.
More likely the boost in November imports is down to. price, with refiners taking advantage of the weakening rates at. a time when cargoes arriving this month would have been. set up.
International standard Brent crude futures dropped to. their most affordable level for 33 months in early September, trading as. low as $68.68 a barrel on Sept. 10.
The rate had actually been trending lower given that early July, when it. reached as high as $87.95 a barrel amidst increasing stress in the. Middle East and the choice by the OPEC+ group of exporters to. postpone a scheduled increase in production.
The lag between when cargoes are purchased and physically. provided to China varies from about six weeks to 3 months,. depending on where the oil is sourced from.
This means that crude showing up in November was secured at a. time when oil rates were hitting the lowest levels in practically. three years.
China's refiners have in the previous shown that they will purchase. more unrefined than they require when they consider prices to be low, and. cut down on imports when they view costs as having risen too. high, or acquired too rapidly.
This dynamic has actually been apparent in China's imports of crude. oil so far in 2024, with arrivals decreasing by 420,000 bpd in. the very first 10 months of the year, with much of the weak point. following crude rates rallied highly in the second. quarter.
Since the September low crude prices have recovered. rather, reaching above $80 a barrel in early October before. settling into a range mostly in between $70 and $75, ending at. $ 73.10 on Wednesday.
The consistent prices might recommend that Chinese refiners will be. happy to buy crude volumes enough to fulfill their requirements,. rather than purchase surplus oil to shop for later processing.
However, the election of Donald Trump to a 2nd term as. U.S. president might alter the computations of Chinese buyers,. specifically those who buy Iranian crude.
IRAN CONCERNS
Trump and members of his inbound administration have actually made. it clear that they mean to go back to his hardline policy of. enforcing sanctions against Iran because of Tehran's nuclear. programme and its support of militants groups fighting Israel.
Traders report that this is already leading to some Chinese. refiners, especially independent processors, drawing back from. buying Iranian crude.
While overall crude supply is sufficient to comfortably. deal with any loss of Iranian barrels from the marketplace, it is most likely. to impact regional prices.
If Chinese refiners turn to other Middle Eastern grades,. it's most likely that rates in the region will increase relative to. other crudes.
Already there is some evidence to recommend this is happening,. with the Brent-Dubai exchange for swaps << DUB-EFS-1M >, which. tracks the premium of Brent crude over local Middle East. marker Dubai, decreasing in current weeks.
The premium for Brent over Dubai was $1.44 a barrel on. Wednesday, down from the 2024 high of $2.98 on Aug. 30.
The views revealed here are those of the author, a writer. .
(source: Reuters)