Headlines

The bankruptcy regulator has amended the framework for reporting the corporate insolvency resolution process (CIRP) to ease compliance burden without undermining effective oversight, according to a circular, the Economic Times of India reported. Under the revised reporting framework, the existing nine forms will be compressed into five by removing duplication, streamlining data requirements and leveraging technology for auto-population of information, the Insolvency and Bankruptcy Board of India (IBBI) said in the circular dated May 26.

Slovenia, Romania, and Croatia were among the countries in Central and Eastern Europe (CEE) to face rising insolvency rates in 2024, despite the economic recovery in the region, global credit insurer Coface said, SeeNews.com reported. In Slovenia, the total number of insolvency proceedings rose by 32.4% year-on-year in 2024, reaching 769 cases. The largest share came from the construction sector (29.26%), followed by business and personal services (22.63%), while the financial sector accounted for the smallest portion (0.91%).

Techtex, a company specializing in the production of technical textiles, mainly personal protective equipment (face masks, Dr. Albert brand), part of the IKEA supplier Taparo Group (also in dire financial conditions), has entered insolvency, according to Ziarul Financiar, Romania-Insider.com reported. The face mask factory was developed by the Taparo Group during the 2020 pandemic, with EUR 20 million in funding from state bank Eximbank and guidance from banker Dan Pascariu.

A U.S. trade court blocked most of President Donald Trump's tariffs in a sweeping ruling on Wednesday that found the president overstepped his authority by imposing across-the-board duties on imports from U.S. trading partners, Reuters reported. The Court of International Trade said the U.S. Constitution gives Congress exclusive authority to regulate commerce with other countries that is not overridden by the president's emergency powers to safeguard the U.S. economy.

After stepping back this month from an escalating and dangerous war of tariffs, the United States and China are now threatening to undermine their uneasy truce, the New York Times reported. On May 12, the countries announced after weekend meetings in Geneva that they would suspend most of their recently imposed tariffs. Since then, however, both governments have shown that they are still prepared to wield controls over critical exports as weapons against one another, with moves that are potentially even more damaging to trade and global supply chains.

Japan, which has the highest government debt among leading economies, is finding it difficult to spend like it used to, the New York Times reported. Debt-fueled public spending, enabled by low interest rates, has long been a way to address the country’s problems. Struggling farmers and emptying countrysides received generous payments from the central government. Relief aid during the Covid-19 pandemic morphed into new outlays for defense and subsidies to help consumers weather inflation.

Japanese Prime Minister Shigeru Ishiba expressed determination Thursday to defend rules-based, free and multilateral trade systems and work on expanding the main Asia-Pacific trade group at a time of tension over U.S. tariffs, the Associated Press reported. “High tariffs will not bring economic prosperity," Ishiba told a global forum in Tokyo. “A prosperity built on sacrifices by someone or another country will not make a strong economy.” Japan seeks to work with the U.S.

South Korea’s central bank slashed its growth outlook for the year, cutting its policy rate in a widely expected move to support the country’s sagging economy, the Wall Street Journal reported. The export-led economy is facing challenges from U.S. President Trump’s sweeping tariffs and heightened tensions in global trade, while struggling with weak domestic consumption. Ending a pause in its easing cycle, the Bank of Korea lowered its benchmark seven-day repurchase rate by a quarter percentage point to 2.50% on Thursday. BOK Gov.

The Bank of Mexico lowered its economic growth estimates for this year and next, citing uncertainty about the impact of U.S. import tariffs and weakness in domestic consumption and investment, the Wall Street Journal reported. In its quarterly report, the central bank said it expects Mexico’s gross domestic product to grow 0.1% this year, down from it’s previous estimate of 0.6%. The forecast ranges from a contraction of 0.5% to an expansion of 0.7%. For 2026, the bank cut its growth forecast to 0.9% from 1.8% previously.

Canada Post on Wednesday reported a $611 million pre-tax loss in 2024 and simultaneously presented a “best and final” contract offer to the Canadian Union of Postal Workers with operational reforms it says are needed to stabilize finances and improve mail service, Freight Waves reported. The annual report underscored the financial pressures weighing on Canada Post and the need for restructuring, but sharp union criticism of the latest counteroffer foreshadows a potential escalation of the current labor action that could further hurt the bottom line.