Headlines

Italy’s president on Monday strongly criticized the violence that has erupted amid protests over the country’s new coronavirus workplace health pass requirement, saying it appeared aimed at jeopardizing Italy’s economic recovery, the Associated Press reported. President Sergio Mattarella spoke out as riot police again clashed with protesters at the port in the northern city of Trieste, at times using water canons to push them back. The protesters, who have included right-wing agitators in previous episodes, oppose Italy’s Green Pass requirement.

A surge in price growth in eastern Europe has opened a rift between central banks that have launched rate hikes to battle inflation and populist governments trying to defend a strong economic recovery, Reuters reported. The standoff is most apparent in Hungary and the Czech Republic, where national elections have complicated the task of central banks, which have led the way in the European Union in monetary tightening. Both have raised their key rates by more than a percentage point since June.

The Bank of Canada on Monday reiterated it has no plans to introduce a digital currency for the time being, but said that might change if people began using physical cash less, Reuters reported. The Canadian central bank says it is well into the development process on a cash-like digital currency that it could release to the public, should the need arise. A number of other central banks are doing similar work. "We haven't made a decision to issue one yet because we basically don't see a compelling need under current circumstances," said Bank of Canada Deputy Governor Timothy Lane.

Prime Minister Justin Trudeau's new government is set to impose higher taxes on Canadians, which will help fund some campaign promises but are not broad enough to also start paying down the country's record levels of debt, leaving Canada vulnerable to the next economic crisis, analysts say, Reuters reported. This could be a risky strategy for the country, which piled on new debt at a faster pace than any of its Group of Seven peers during the pandemic.

Jive Investments, Brazil’s largest distressed-asset manager, plans to raise as much as 7 billion reais ($1.3 billion) next year, looking to capitalize on opportunities created by the coming presidential election, Bloomberg News reported. “There may be a credit contraction and less appetite for Brazil among international investors, so we want to be prepared to allocate a lot of investment during this election scenario,” Guilherme Ferreira, a Jive partner, said in an interview.

International Monetary Fund staff and Ukraine have reached an agreement on economic reforms that will pave the way for a first review of the country's 18-month stand-by arrangement and its request for an extension through the end of June, the IMF said in a statement, Reuters reported. It said that completion of the first review of the $5 billion arrangement, now slated to expire in December, would enable disbursements of about $700 million to the country.

China Properties Group Ltd said on Friday it had defaulted on notes worth $226 million as it failed to secure funds by the maturity date, joining a list of property developers in the country that are reeling from a debt crisis, Reuters reported. The case underscores the impact of China Evergrande Group , which is struggling under $305 billion in debt, on the rest of the high-yield sector as liquidity dries up and sales slow. Earlier this week, Chinese developer Sinic Holdings said it would likely default on bonds worth $250 million. China Properties said it had failed to secure funds by Oct.

China’s central bank broke its silence on the debt crisis at China Evergrande Group, saying risks to the financial system stemming from the developer’s struggles are “controllable” and unlikely to spread, Bloomberg News reported. Authorities and local governments are resolving the situation based on “market-oriented and rule-of-law principles,” People’s Bank of China official Zou Lan said at a news briefing on Friday. The central bank has asked lenders to keep credit to the real estate sector “stable and orderly,” said Zou, who is head of the financial market department.

Germany will cut a power surcharge levied on consumers to support renewable energy by 42.7% to help households cope with soaring energy prices, network operators said on Friday, Reuters reported. Germany and other governments in Europe are seeking to provide relief for consumers as gas prices skyrocket. The reduction in the German levy, to 3.723 euro cents per kilowatt hour (kWh), confirms a Reuters report on Thursday. It will not take effect until Jan. 1. read more The government will help fund the cut with 3.25 billion euros ($3.77 billion) in revenue collected from carbon taxes.

Britain will issue up to 800 temporary visas to foreign butchers in an effort to alleviate a labor shortage in the pork industry that has already led to the culling of some 6,000 healthy pigs, the Washington Post reported. The stopgap measure was crafted in response to “a unique range of pressures on the pig sector over recent months,” said George Eustice, a British minister in charge of food, in a statement. Among the causes he mentioned were the disruption caused by the coronavirus pandemic and import restrictions China has placed on British suppliers.