Headlines

European Central Bank President Mario Draghi rejected concerns among investors that a recent rise in consumer prices could spur the bank to wind down its stimulus programs early, saying that the ECB’s bond buying program will proceed full throttle and could even be increased if needed, The Wall Street Journal reported. At a news conference following the ECB’s policy meeting, Mr. Draghi cited some recent weakness in Europe’s economy, which has recovered modestly from a pair of recessions that have rocked the eurozone since 2009.

Bookmaker Boylesports has challenged rival Ladbrokes Ireland’s restructuring in the High Court, arguing that the process is effectively designed to prevent a takeover of the business, the Irish Times reported. Ladbrokes Ireland is working its way through a rescue plan for the loss-making chain with a High Court-appointed examiner, Ken Fennell of Deloitte. It plans to close up to 60 of its 196 betting shops in the Republic and cut some 250 jobs. Boylesports intends to launch a bid for the entire company.

Governments that face lower risks of a sovereign debt crisis are needlessly damaging their economies if they impose harsh austerity programmes simply to pay back creditors more quickly, research staff at the International Monetary Fund have warned. In a discussion note published on Tuesday, the IMF researchers said that countries with fiscal breathing room should let the ratio between debt and gross domestic product decline via higher economic growth. This means avoiding the imposition of distortive taxes or cutting productive spending in order to obtain a budget surplus.

Australia is raising its minimum wage by an above-inflation 2.5 per cent, providing a boost to low-paid workers amid sluggish economic growth, the Financial Times reported. From next month about 1.86m workers must be paid a weekly wage of at least A$656.90 ($501.50), Australia’s workplace regulator ruled on Tuesday. On an hourly basis the rate rises to A$17.29 an hour, one of the highest minimum wage levels in the world.

Metinvest BV’s latest proposal to restructure more than $3 billion of debt was blocked by a group of bond holders Monday, according to two people familiar with the matter, Bloomberg News reported. Ukraine’s largest steelmaker failed to gather enough votes from holders of notes that matured on May 20 to allow the company to delay payment to next year of some of the money owed, said the people, who asked not to be identified because the deal is private.

Saudi Arabian family conglomerate Ahmad Hamad Algosaibi and Brothers (AHAB) is offering creditors a minimum return of 28 cents on every dollar owed under an enhanced proposal to end one of the Middle East's largest ever debt restructurings. The group with interests in hospitality, food and real estate among others, collapsed in 2009 along with Saad Group, a separate Saudi business empire led by Maan al-Sanea. Since then, the two have been battling over who was to blame for the issues affecting their conglomerates.

Greece’s international creditors are poised to present the country with the outlines of a bailout deal that amounts to a take-it-or-leave-it offer, a move aimed at breaking a monthslong stalemate but which risks a political backlash and even a government collapse in Athens, The Wall Street Journal reported. The plan marks a sharp shift in tactics by Germany, the IMF and other Greek creditors, who have lost patience with what they see as months of fruitless dialogue with the Athens government.

Aircraft leasing firm Intrepid Aviation Ltd, the biggest creditor of Skymark Airlines, is seeking another sponsor for the failed budget carrier instead of ANA Holdings, court documents showed. Intrepid's search is part of a restructuring plan for Skymark filed at a Tokyo court on Friday, the same day the budget carrier filed a rival proposal that hinged on ANA buying a 16.5 percent stake. Intrepid's filing, seen by Reuters on Monday, did not name any other potential sponsors and did not say why the company opposed ANA's sponsorship.

The newly appointed chief executive of loss-making Malaysia Airlines said on Monday the carrier is "technically bankrupt", underlining the case for a restructuring to cut a third of jobs, scrap some international routes and review its long-haul fleet, the International New York Times reported. "We are technically bankrupt...the decline of performance started long before the tragic events of 2014," Christoph Mueller said, speaking at a news conference.

Greece’s international creditors late on Monday were preparing the final text of a bailout deal to present to the Athens government, in a sign that lenders are running out of patience after months of stalled talks, The Wall Street Journal reported. Officials from European institutions and the International Monetary Fund sent a draft text on the economic overhauls that Greece needs to implement to unlock bailout financing to a meeting in Berlin of key European leaders, according to people familiar with the matter.