Headlines

Bond sales by two of Europe’s most indebted nations have been inundated by demand as an economic recovery begins to lift yields from historically low levels, Bloomberg News reported. Italy received more than 64 billion euros ($76 billion) of bids for its first new 50-year bond in almost five years via banks on Wednesday. That’s more than three times the previous record. The nation is also selling debt maturing in 2028. Meanwhile, Portugal is bringing to market a 10-year security, racking up more than 30 billion euros of orders from investors.

Powered by the U.S. and China, the global economy is set to make a stunning comeback this year from its deepest contraction since the Great Depression, economists say. For many developing countries, though, 2021 is shaping up to look a lot like 2020, with the pandemic still raging and poverty deepening, the Wall Street Journal reported. “Here in Washington, D.C., people are literally talking about the Roaring 20s and, you know, letting the doors fly off the U.S. economy,” said Geoffrey Okamoto, the International Monetary Fund’s first deputy managing director.

Credit Suisse Group AG’s double-barreled financial crisis shares a common theme: a bank that looked the other way when warning signs argued for pulling back on lucrative corners of its business, the Wall Street Journal reported. The Swiss bank with a big Wall Street presence was caught off guard starting in late February when $10 billion in complicated investment funds it ran with financing firm Greensill Capital unraveled, despite years of internal warnings about the relationship.

China Huarong Asset Management Co. is preparing to offload non-core and loss-making units as part of a broad plan to revive profitability that would avoid the need for a debt restructuring or government recapitalization, Bloomberg News reported. The state-owned manager of non-performing loans, which spooked investors this month after delaying its earnings report, has submitted the plan to regulators and received positive initial feedback, the people said, asking not to be identified discussing private information.

Canada’s Enerplus Corp. said it would buy some assets in North Dakota’s Williston Basin from Hess Corp for $312 million, as improved oil price expectations have buoyed mergers and acquisitions in North America, Reuters reported. Canada’s oil and gas sector had a record start to 2021 in terms of mergers and acquisitions as the energy sector benefits from a rebound in oil prices from the pandemic-led crash last year, and as smaller companies bet on economies of scale.

An oil blending and storage company secured deals to supply South Africa’s state power utility with fuel oil worth more than 15 billion rand ($1 billion) at inflated prices by paying inducements, including donations to the ruling party, a forensic investigation has found, Bloomberg News reported. Econ Oil & Energy Ltd. allegedly won the contracts with the help of Thandi Marah, then senior manager of business enablement at Eskom Holdings SOC Ltd., who interfered in the tender processes, said legal firm Bowmans, which Eskom commissioned to conduct the probe.

The International Monetary Fund on Thursday authorized a $650 billion expansion of the 190-nation lending institution’s resources with the aim of providing more support for vulnerable countries as they battle the coronavirus pandemic, the Associated Press reported. IMF Managing Director Kristalina Georgieva said the $650 billion increase in reserves is the largest in IMF history. The move will provide badly needed reserves for poor countries struggling with deep recessions caused by the pandemic and the need to obtain and administer millions of doses of vaccines, she said.

The Indian government does not expect a rush of insolvency cases from micro, small and medium enterprises (MSMEs) after it promulgated an ordinance to open a special fast track window for them, the Times of India reported. The ministry of corporate affairs — which will set the floor for initiating cases under “pre-packaged” insolvency — and the Insolvency & Bankruptcy Board of India (IBBI) are expected the notify the regulations for initiating insolvency resolution under the new scheme.

Oyo Hotels founder Ritesh Agarwal took to Twitter to reject reports the lodging and vacation home rental startup has filed for bankruptcy after a supplier’s $22,000 claim, Bloomberg News reported.