Headlines

The U.K. economy sank into a recession in the final six months of 2023, marking it out as one of the weakest performers among developed nations, hit by high inflation and interest rates that stifled household spending, official data confirmed Thursday, the Wall Street Journal reported. U.K. gross domestic product shrank 0.3% between October and December, matching prior data from the Office for National Statistics published in February.

Restructuring Brazilian low-cost carrier Gol swung to a net loss of R1.1 billion ($221 million) in the fourth quarter, the first results it has disclosed since entering bankruptcy protection in January, FlightGlobal reported. The loss compared to a net profit of R231 million for the same period in 2022 and reflects the R1.1 billion impact of foreign exchange losses and other one-off items during the fourth quarter.

Canada’s economy made a solid start to the new year with growth in the first two months tracking well ahead of the Bank of Canada’s forecast, reinforcing expectations the central bank will once again stick to the sidelines at its coming policy meeting, the Wall Street Journal reported. The expansion in January was the strongest in a year, bolstered by a recovery with public sector strikes ending in Quebec and backed by increased activity across many segments of the economy.

Multiple bidders have put in offers to buy the business and assets of bankrupt Swedish textile recycler Renewcell, the company’s bankruptcy trustee said Thursday, BoF reported. The process has been closely watched by many in the industry, keen to see a business that represented one of fashion’s most advanced prospects to meet increasing demand for circular fibres revived. The nature of the bids and the names of the bidders were not disclosed. A final closing is expected mid-April following a review process.

The new bankruptcy law coming into effect on May 1, 2024, in the UAE is expected to lead to more successful restructuring of insolvent businesses, ensuring a safer and more vibrant entrepreneurial ecosystem in the UAE, the Khaleej Times reported. The latest law per Federal Decree-Law No. 51/2023 introduces important enhancements to the UAE’s bankruptcy framework, including the establishment of a dedicated bankruptcy court, a new preventive settlement procedure, and increased liability for management.

The collapse of Baltimore's Francis Scott Key Bridge is likely to lead to a multi-billion dollar insurance loss, the chairperson of commercial insurance market Lloyd's of London said on Thursday, Reuters reported. The massive Singapore-flagged container ship Dali sailing out of Baltimore Harbor bound for Sri Lanka reported losing power and the ability to maneuver before plowing into a support pylon of the bridge on Tuesday.

In a sign of easing tensions between Australia and China, China said Thursday that it would lift the tariffs it placed on Australian wine more than three years ago, the New York Times reported. The tariffs, which were first imposed in 2020 amid a nasty diplomatic spat between Australia and China, had all but vaporized the country’s biggest overseas market, worth 1.2 billion Australian dollars or around $800 million at its peak. Australian winemakers faced desperate hardship and were stuck with a surfeit of big-bodied red wines.

LGD, a Chinese esports team, was regarded as the region’s dominant Dota 2 team, but there have been rumors circulating for the past week suggesting that the company may be close to filing for bankruptcy, Betus.com reported. A YouTube video featuring a montage of words from Wang “Ame” Chunyu, Yang “Chalice” Shenyi, Lin “planet” Hao, and other former and current Dota 2 players affiliated with LGD Gaming was uploaded on March 24, 2024. The statements alluded to the organization’s impending bankruptcy.

Lawmakers with Poland’s ruling pro-European Union coalition launched a rare process Tuesday to bring the central bank chief before a special court on allegations of acting against the country’s financial interests, the Associated Press reported. The result could ban him from political life. Critics of the effort suggested that the ruling coalition was going too far in its attempts to reverse the actions of Poland’s previous right-wing government, which were widely seen as undemocratic, and hold those responsible to account.

French Prime Minister Gabriel Attal pledged more cuts to unemployment welfare, risking a backlash ahead of European elections as he seeks to tame a runaway budget deficit and press on with President Emmanuel Macron’s economic-reform agenda, Bloomberg reported. The government will instruct businesses and labor unions that manage France’s unemployment insurance to negotiate the details of changes to be implemented in the fall, Attal said in an interview on TF1 television.