1 US TRADE WAR COULD COST GLOBAL ECONOMY $430 BILLION, IMF WARNS WWW.RT.COM PUBLISHED:2018/07/18      2 US PLANS G7 TALKS ON CHINA WWW.NHK.OR.JP PUBLISHED:2018/07/18      3 GOOGLE HIT WITH RECORD EU FINE OVER SHOPPING SERVICE WWW.BBC.COM PUBLISHED:2018/07/18      4 TURQUOISE HILL ANNOUNCES SECOND QUARTER 2018 PRODUCTION AND COMPLETION OF SHAFT 5 WWW.GOGO.MN PUBLISHED:2018/07/18      5 DEVELOPMENT OF BILL ON CIVIL SERVANT CODE OF CONDUCT FINALIZED WWW.GOGO.MN PUBLISHED:2018/07/18      6 CRUDE OIL EXPORTS GENERATED 94.3 BILLION WWW.GOGO.MN PUBLISHED:2018/07/18      7 MONGOLIAN PRESIDENT SUMMONS IRREGULAR PARLIAMENTARY SESSION WWW.NEWS.MN PUBLISHED:2018/07/18      8 JEFF BEZOS IS NOW WORTH MORE THAN BILL GATES AND LARRY PAGE COMBINED WWW.CNN.COM PUBLISHED:2018/07/17      9 APARTMENT COMPLEX FOR YOUNG FAMILIES UNDER CONSTRUCTION IN ERDENET WWW.MONTSAME.MN PUBLISHED:2018/07/17      10 NUM GRADUATES INVITED TO WORK FOR TOSHIBA CORPORATION WWW.MONTSAME.MN PUBLISHED:2018/07/17      ГЕРМАНЫ “ЧИНГИС ХААН” ХАМТЛАГ ИРЭХ ОНД МОНГОЛД ТОГЛОЛТОО ХИЙНЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/18     АНУ, ОХУ ХҮЙТЭРСЭН ХАРИЛЦААНДАА ЦЭГ ТАВИЛАА WWW.UBINFO.MN НИЙТЭЛСЭН:2018/07/18     ХУДАЛДААНЫ ДАЙН ХЯТАДЫН КОМПАНИУДАД НӨЛӨӨЛЖ ЭХЭЛЖЭЭ WWW.NEWS.MN НИЙТЭЛСЭН:2018/07/18     МОНГОЛД 92 ОРНЫ 9.6 МЯНГАН ГАДААДЫН ИРГЭН АЖИЛЛАЖ БАЙНА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/18     ГАДААД ХУДАЛДААНЫ НИЙТ БАРАА ЭРГЭЛТ 6,3 ТЭРБУМ АМ.ДОЛЛАРТ ХҮРЧЭЭ WWW.DNN.MN НИЙТЭЛСЭН:2018/07/18     ЕВРОПЫН ХОЛБОО ЯПОН УЛСТАЙ ЧӨЛӨӨТ ХУДАЛДААНЫ ГЭРЭЭ БАЙГУУЛАВ WWW.MEDEE.MN НИЙТЭЛСЭН:2018/07/18     АЖ ҮЙЛДВЭРЖИЛТИЙН ЭРЧ СУЛАРЧЭЭ WWW.ZGM.MN НИЙТЭЛСЭН:2018/07/18     МӨНГӨНИЙ НИЙЛҮҮЛЭЛТ 3.8 ИХ НАЯД ТӨГРӨГӨӨР НЭМЭГДЖЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/18     ОЛОН УЛСЫН ИННОВАЦИЙН ИНДЕКСЭЭР МОНГОЛ УЛС 53-Т ЖАГСЧЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/17     ШАДАР САЙД НҮБ-ЫН ӨНДӨР ТҮВШНИЙ УУЛЗАЛТАД ОРОЛЦОЖ БАЙНА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/17    

Events

Name organizer Where
"Open to Export" ICC WTO International business award ICC WTO London

NEWS

64x64

Central bank official: Boost economy using fiscal policy www.chinadaily.com.cn

 
The cycle of global quantitative easing is coming to an end and policymakers should rely more on fiscal policy to stimulate growth, Zhou Xiaochuan, China's central bank governor, said on Sunday.
 
Zhou warned about the overreliance on monetary easing and said that policy is not "a panacea that can cure all kinds of illness".
 
"The direction is to see the limit (of monetary policy) and to consider very carefully how to get out of the period of monetary easing," Zhou said at a panel discussion at the Boao Forum for Asia.
 
In addition, governments should improve balance sheets and fiscal positions to create more room for fiscal policy, he said.
 
Quantitative easing is the practice of central banks pumping money into the economy through the purchase of assets, usually government bonds.
 
The central bank governor said China has the flexibility in fiscal policy, as the debt level of the central government is not very high, and added the country needs to streamline the relationship between the central and local governments to ensure fiscal policy fits the local conditions.
 
Zhou saw inflation and asset bubbles as the "unintended consequence" of the monetary easing.
 
At the forum, former prime minister of Pakistan Shaukat Aziz said emerging markets need to accelerate reforms.
 
Li Daokui, an economics professor at Tsinghua University in Beijing, also warned about high inflation in the long run after monetary easing globally. But he said the monetary policy should not be blamed for the rapid rise of housing prices in China.
 
"Don't rely on monetary policy to provide all the solutions and don't blame monetary policy for all the problems," Li said.
 
The central bank launched mortgage rules to cool the property market. Among them, raising the down payment requirement for buyers of a second home in Beijing to 60 percent of the price.
...


64x64

Parliament speaker to pay official visit to Japan www.en.montsame.mn

 
Ulaanbaatar /MONTSAME/ Today, Parliamentary speaker M.Enkhbold left for Japan to pay an official visit. He will meet with Prime Minister of Japan Shinzo Abe, Speaker of House of Representatives of Japanese Parliament Tadamori Oshima, President of House of Councillors Date Chuichi. Japanese Foreign Affairs Minister Fumio Kishida, Minister of Health, Labor and Welfare Yasuhisa.Shiozaki, Deputy PM and Finance Minister Taro Aso will pay courtesy calls on the speaker.
 
During the visit, the Midterm program on Strategy partnership of Mongolia and Japan will be signed.
 
Speaker M.Enkhbold will also attend the 136th Inter-Parliamentary Union Assembly to be held on April 1-5 in Dhaka, the capital of People's Republic of Bangladesh. He will chair a meeting of Asia and the Pacific group and make speech at the plenary session of the Assembly on Eliminating inequality: securing humankind a dignity and wellbeing”. The speaker also intends to hold bilateral meetings with parliamentary speakers of several countries.
...


64x64

European Union works with Mongolia on strengthening political and economic links www.en.montsame.mn

 
Ulaanbaatar /MONTSAME/ From 27 to 31 March, European Union high-level officials will visit Mongolia to support its political and economic reform path. The meetings will take stock and develop further relations, as Mongolia is a valued partner for the EU. The visit is part of regular, long-established political dialogue/cooperation.
 
The 17th EU-Mongolia Joint Committee will meet on 31 March. It will be chaired by Foreign Minister of Mongolia Mr Tsend Munkh-Orgil and EU Managing Director for Asia-Pacific Mr Gunnar Wiegand. They will examine recent developments in EU-Mongolia relations, cooperation related to regional and global issues, the evolution of trade flows as well as the implementation of development assistance. The meeting will also consider measures that may contribute to the development and diversification of trade and economic cooperation.
 
The Joint Committee will be preceded by three different meetings on 30 March:
 
1. The first ever Human Rights Dialogue, part of the EU strategy to promote respect for human rights and fundamental freedoms. The main purpose of the dialogue is to support Mongolia's adherence to its bilateral and international obligations in relation to human rights, rule of law and democratic principles. The Dialogue will help identify potential cooperation areas in the human rights field.
 
2. The Sub-committee on Trade and Investment, which discusses the diversification of Mongolian economy and the attraction of foreign investment among other issues.
 
3. The Working Group on Development Cooperation will review and discuss priorities and their implementation in the medium term.
 
From 27 to 29 March meetings take place to support implementation of the Generalised Scheme of Preferences (GSP+) under which Mongolian goods enter the EU market duty-free. In 2015, 20% of Mongolian goods exports, worth 16 million euro, entered the EU market duty-free under GSP+.
Mongolia joined the GSP+ scheme in 2014. This scheme aims to help Mongolia implement human and labour rights, environmental protection and good governance conventions and in return grants full removal of tariffs on over 66% of tariff lines.
 
The EU will engage with stakeholders, authorities, business, civil society, and international organisations, to assess developments in implementing the conventions. The EU will also inform stakeholders of the functioning and benefits of the GSP+ scheme and listen to any concerns or difficulties in its practical implementation.
...


64x64

BT fined record £42m for late installations www.bbc.com

 
BT has been hit with a record fine from telecoms regulator Ofcom and has set aside £300m to repay providers for delays in installing high-speed lines.
Ofcom has issued the firm with a £42m fine, which it said was the largest it has ever handed down.
It found BT's Openreach division had cut compensation payments to telecoms providers for delays in installing the lines between early 2013 and late 2014.
Openreach said it "apologised wholeheartedly" for the mistakes.
The investigation found BT had broken rules about its "significant market power" by cutting the payments.
Gaucho Rasmussen, Ofcom's investigations director, said: "These high-speed lines are a vital part of this country's digital backbone.
"We found BT broke our rules by failing to pay other telecoms companies proper compensation when these services were not provided on time.
"The size of our fine reflects how important these rules are to protect competition and, ultimately, consumers and businesses."
'Fall short'
Openreach provides the wires and cables that powers the UK's broadband and landline phone network.
In this case, it failed to pay full compensation to providers when it was late installing ethernet lines - high-speed cables used by large businesses, and mobile and broadband providers, to transmit data.
Earlier this month, BT agreed to Ofcom's demands for it to legally separate Openreach from its main business.
Under the changes, Openreach will become a distinct company with its own staff, management and strategy "to serve all of its customers equally".
BT chief executive Gavin Patterson said the investigation "revealed we fell short of the high standards" for serving telecoms providers.
"We take this issue very seriously and we have put in place measures, controls and people to prevent it happening again," he said.
...


64x64

Nuclear arms abolition negotiations begin www3.nhk.or.jp

 
The conference to negotiate a legally binding treaty to ban nuclear weapons begins at the United Nations headquarters in New York on Monday. But all the nuclear states will not participate.
 
The UN General Assembly voted to start negotiations last December. More than 50 non-nuclear countries submitted the proposal and 113 states supported the resolution.
 
The treaty is to ban nuclear weapons based on the interpretation they are in breach of international laws.
 
More than 100 countries are expected to take part in the negotiations. They will likely focus on how to substantiate the illegality of nuclear weapons.
 
The United States and Russia say the negotiations lack the realistic perspective of international security.
 
Japan is the only country to have experienced atomic bombings, but has also been against the treaty. The government's position is that disarmament should occur in stages with cooperation of both nuclear and non-nuclear states.
 
Japan is arranging to send an envoy to speak at the conference, but is unlikely to take part in the negotiations.
 
Swedish Foreign Minister Margot Wallstrom told NHK at the UN on Thursday that the negotiations are timely. She said there have recently been comments flaunting nuclear arms. She added that many countries are frustrated with the stalemate in nuclear arms reduction.
 
Former US President Barack Obama called for "a world without nuclear weapons." His successor Donald Trump has indicated he wants to strengthen US nuclear power.
...


64x64

Snapchat 'will be bigger than Twitter, Yahoo and AOL with advertisers' www.theguardian.com

 
Snapchat could become more popular with advertisers than Twitter, Yahoo and AOL within three years, with the messaging app company forecast to bring in revenues of more than $3bn (£2.4bn) a year before the end of 2019.
 
That bullish forecast is based on advertisers targeting the youth audience that the disappearing photo app has seemingly cornered. More than half (51%) of video users on Snapchat are under 24, compared with 23% for Facebook and 17% for Google’s YouTube, according to Ampere Analysis.
 
Brands are also keen to see a true rival emerge to challenge Facebook and Google, which have recently come in for heavy criticism for their advertising practices. The two web giants currently account for 58% of the $141bn global mobile ad market.
 
“You often hear advertisers saying they are getting uncomfortable with such a large portion of ad spend going to just two players,” said Cathy Boyle, principal analyst at eMarketer, which produced the global mobile ad forecast. “If there can be a third or fourth player they are interested in spreading the wealth beyond the duopoly.”
 
WPP chief executive Sir Martin Sorrell recently referred to Snapchat’s potential to become a “third force” alternative but many investors and analysts remain wary of Snapchat’s future.
 
After a much-hyped stock market flotation earlier this month that valued Snap, the company behind Snapchat, at $29bn the company’s share price has steadily sunk. The shares soared from their $17 IPO price to $26 in two days, but are now back at just over $19.
 
“Snap is a promising early-stage company with significant opportunity,” said Brian Wieser, senior analyst at Pivotal Research in a note to investors. “Unfortunately, it is significantly overvalued given the likely scale of its long-term opportunity and the risks associated with executing against that opportunity.”
 
Wieser, who says Pivotal is a “cautious optimist” on Snapchat, said that its model for the business is “potentially stretched” at even a bearish target price of just $10 a share.
 
The list of issues and potential threats is extensive. Omnipresent is Mark Zuckerberg’s Facebook, which dominates social media with 1.2 billion daily users and owns Snapchat’s most direct competitor, Instagram.
 
Last summer, Instagram – which has 600 million users to Snapchat’s 158 million – launched a function called Stories, which is similar to Snapchat’s own story feature. Instagram Stories has already achieved 150 million daily active users. Instagram Stories’ launch intensified another concern: Snapchat’s slowing growth.
 
The number of Snapchat users grew by 14% and 17% in the first two quarters of last year. Following the launch of Instagram Stories, Snapchat’s growth slumped to 7% and just 3.2% in the final two quarters of 2016. Snap has blamed “technical issues” in the rollout of new products, but admitted in its IPO document that Facebook/Instagram would be a huge threat.
 
“Our competition may mimic our products and therefore harm our user engagement and growth,” Snap acknowledged.
 
While Snap’s IPO has made 26-year-old co-founder Evan Spiegel the world’s youngest billionaire with a $5.5bn fortune, his business remains heavily loss-making.
 
Snap raised $3.4bn at its flotation, giving it plenty of cash to continue to build on innovations such as its launch of video-capturing spectacles. But it lost $373m on its day-to-day business in 2015, and that figure spiralled to $515m last year.
 
One of the most highly publicised issues has been Snap’s decision to keep total control of the company’s voting rights with its founders and early investors. In its IPO filing the company said it believed it was the first US business to go public with shares that do not grant any voting rights to stock market investors.
 
“We … cannot predict the impact … the concentrated control by our founders may have on our stock price or our business,” the company said.
 
Corporate governance experts have advised potential investors to avoid Snap because of the voting rights issue. “It’s about accountability. If you give your money to someone you want to make sure they’re using it properly and can justify their actions back to you,” said Sarah Wilson, chief executive of investor advisory firm Manifest. “Power is handed over to a select few with the shareholders bearing considerable financial risk – remember those founders will be getting gold-plated pay schemes as well as their stock ownership.”
 
However, WPP’s Sorrell recently countered this view, arguing companies with dominant shareholders or owners – such as Snap, Facebook and Rupert Murdoch’s News Corp and Fox – that “offend” good corporate governance practices can take more risks and tend to perform better financially.
 
Snapchat’s $22bn market capitalisation is already double that of Twitter ($11bn), but it remains a minnow compared with Facebook ($393bn) and Google ($596bn).
 
It is undeniable that the digital darling is on to something – its users love it. Two-thirds of them check the app every day – and the average daily user visits the app 18 times a day, spending an average of 25 to 30 minutes a day sending snaps and watching messages from their friends, celebrities and advertising brands.
 
This level of engagement from a youth audience notorious for fickle attention has helped fuel a surge in revenues from $58.7m in 2015 to $404m last year and an expected $1bn this year.
 
Nick Baughan, chief executive of media agency Maxus UK, said the Snapchat opportunity is real but that advertisers also remain cautious. “It isn’t a case of the emperor’s new clothes, it is an exciting opportunity,” he said. “But the IPO came quite early, before advertising products have grown to full maturity.
 
“At the moment Snapchat sits firmly in most agencies and advertisers’ innovation [budget] pot. As responsible advertisers and agencies we need to make sure we are where audiences are. But there is no point in being innovative unless Snapchat can back it up with evidence-based innovation.”
...


64x64

Rio Tinto upbeat on China capacity cuts www.chinadaily.com

The head of global mining giant Rio Tinto Group Plc said China's move to trim overcapacity in its steel industry would benefit his group and others like it, instead of hurting their business interests.

CEO Jean-Sebastien Jacques said in Beijing that China's plans to cut more overcapacity was a good opportunity for the company because steel plants would resort to utilizing high-quality assets and higher-quality raw materials.

Jacques, head of the world's second-biggest mining company, said the government would shut down smaller and more polluting blast furnaces while switching to using the newest, largest blast furnaces.

"It could be a very good piece of news, with lots of opportunities and the reason why is that in order for them to produce exactly the same output, they will have to buy higher quality raw materials," he said.

China sees massive overcapacity in its iron and steel sector and has vowed to continue with its overcapacity reduction this year, with a target of cutting 50 million metric tons of steel production.

While some commentators and analysts have portrayed the initiative as being a potential drag on iron demand in the world's second-biggest economy, Jacques said he was not concerned.

"I believe China's restructuring of its steel industry will help reduce pollution, but will not lead to a drastic reduction of steel output," he said.

China's economic growth target for this year has been set at around 6.5 percent, lower than the 2016 band of 6.5 percent to 7 percent. Jacques said, however, he was as confident as ever about the company's business in the country and on China's economy.

The CEO said that considering the size of China's economy, a 6.5 percent of economic growth target still meant a lot of demand for iron ore, steel and copper ore and "we believe we will be selling more of our products in the country".

Jacques said the mining group welcomes the Belt and Road Initiative, which would lead to infrastructure improvements and provide a boost for companies in related sectors.

"For mining companies like us, there will be demand for iron ore and copper, both of which might be the best investments for growth," he said.

Jacques said China has been the company's biggest customer and Rio Tinto generates 43 percent of its global revenue from the country, supplying lots of products including copper and iron ore for steel, bauxite for aluminum and diamonds.

...


64x64

North Korea seeks foreign investment to start casino cruise www.rt.com

Unabashed by international sanctions, cash-strapped North Korea is calling for foreign businesses to invest in an international cruise ship in a bid to boost tourism.

According to the proposal listed on the Mount Kumgang region website, the country needs $20 million to buy the 30,000-ton Royale Star, a Soviet-era cruise ship capable of carrying 1,000 passengers.

The liner can operate a casino business, even though gambling remains strictly prohibited in the country. It is currently docked at Kosong Port near Mount Kumgang and travels to Southeast Asia and Vladivostok in Russia.

“We are trying to diversify international tourism at the world-renowned Mount Kumgang by using cruise ship services,” said the proposal, which noted that “a variety of facilities” will be available for passengers.

The suspended Mount Kumgang tourist resort was formerly run with South Korea. It was seen as a symbol of inter-Korean cooperation following decades of animosity.

In 2008 a South Korean tourist was shot by soldiers while walking on a beach, prompting an outcry from Seoul and the suspension of tourist programs.

Experts say the hermit kingdom’s push to attract overseas visitors, particularly from Southeast Asia, is likely to raise eyebrows. They cite recent tensions around North Korea, including its missile tests in the Sea of Japan and a diplomatic row with Malaysia after the murder of Kim Jong-un’s half-brother.

“I strongly doubt there will be foreign investors who are willing to invest money in North Korea given the current situation,” Lim Eul-chul, a professor at Kyungnam University, told the Financial Times.

“North Korea has been interested in attracting investors to the tourism sector since 2014 in order to cope with international sanctions… but they haven’t been very active given other developments,” he added.

The country is under stringent international sanctions, which were imposed after its first nuclear test in 2006. According to a UN report on North Korea, two out of five people are undernourished, while 70 percent of the population relies on food aid.

...


64x64

Brazil's largest meat processing company suspends 33 of 36 plants www.xinhuanet.com

Brazil's Agriculture Minister Blairo Maggi (2nd R) tastes the meat product inside a plant of Brazilian food company Brasil Foods (BRF) in Rio Verde, Goias state, Brazil on March 23, 2017. (Xinhua/Li Ming)

RIO DE JANEIRO, March 24 (Xinhua) -- Brazil's JBS, the largest meat processing company in the world, has said it would shut the production of beef at 33 of its 36 plants in the country for three days.

In a statement, JBS said the decision was taken to adjust production until a decision was taken concerning the numerous countries that have closed their borders to Brazilian meat exports.

Revelations have emerged that the country's meat producers had been chemically altering meat products and selling them past their expiration date.

One of JBS' plants, belonging to its Seara subsidiary, is one of those being investigated by police.

In 2016, 40 percent of the income of JBS Mercosur, its beef unit, came from export, with a value of 11.5 billion reais (3.7 billion U.S. dollars).

The company also said that, from next week, its remaining plants would only operate at 35 percent of their production capacity.

According to Brazilian police, after a two-year investigation which culminated last week, a number of important meat companies, including JBS, "masked" rotten meat with chemical agents and bribed agricultural officials to allow their export.

The fraud ran from changing the expiration dates on meat packaging to injecting water into chicken meat to make it heavier or even using ascorbic acid to mask rotten produce.

For the moment, the Brazilian government has forbidden exports from 21 companies suspected of such acts.

Brazil is the world's largest exporter of beef and chicken, and fourth-largest of pork. In 2016, Brazilian meat exports to the world brought in around 11 billion U.S. dollars and represented 7.2 percent of all the country's exports.

...


64x64

Samsung Electronics chief says sorry for scandal www.bbc.com

Samsung Electronics has apologised to shareholders for its role in a corruption case that led to South Korea's president being impeached.
"I'm sorry for the scandal," chief executive Kwon Oh-hyun said at the company's annual meeting in Seoul.
Samsung Group boss Jay Y. Lee is accused of bribing a friend of the former president in return for government support in a deal.
Mr Lee is currently in jail awaiting trial.
Samsung has said it did not pay bribes in the form of donations, but has pledged to improve its corporate governance.
The world's largest smartphone-maker also addressed the fallout from last year's failure of the Galaxy Note 7.
Samsung had to abandon production of the smartphone after a number of them caught fire.
"I apologise once again for the mistake with the Note 7 last year. It was a failure that arose from trying new technology," Mr Kwon said.
The debacle is estimated to have cost Samsung about $6bn.

Samsung Electronics also announced at Friday's meeting that it would not be changing its corporate structure to use a holding company.
The company has been under pressure from investors to simplify its ownership structure.
"There are negative effects that would arise from transitioning to a holding company so it does not appear it will be easy to do so at present," Mr Kwon said.

...