IMF chief Christine Lagarde says the International Monetary Fund may move its headquarters to Beijing in a decade if China and other big emerging markets continue to grow. In 10 years’ time, “we might not be sitting in Washington, DC. We’ll do it in our Beijing head office,” Lagarde said at a Center for Global Development event in the US capital. The IMF’s bylaws, she said, call for the institution’s head office to be located in the largest member economy.

China is estimated to overtake US as the world’s biggest economy over the next decade if the country maintains its growth rates of above 6 percent. The IMF and some of its members have argued that China already contributes more to global growth on a purchasing power parity basis.

The Fund is about to launch another review of its voting structure next year. The United States, with a 16.5 percent share of its board votes, has used an effective veto over IMF decisions since the body was launched in 1945.

According to the professional services giant PWC, China could be the largest economy in the world, accounting for around 20% of world GDP in 2050. By the time, the seven emerging economies (E7) could have increased their share of world GDP from around 35% to almost 50%, the report said.

The E7 economies of Brazil, China, India, Indonesia, Mexico, Russia and Turkey are expected to grow at an annual average rate of 3.5% over the next 34 years, compared to an average of just 1.6% for the advanced G7 nations of the US, Canada, France, Germany, Italy, the UK and Japan, it added. In December 2015, the International Monetary Fund admitted the yuan into its select basket of reserve currencies, giving a major boost to China’s position as a global economic power.

The yuan, also called the renminbi, joined the dollar, euro, British pound and Japanese yen in the Special Drawing Rights (SDR) basket used as standard in dealings with the financial reserves of world countries. Lagarde then described the inclusion “an important milestone in the integration of the Chinese economy into the global financial system.” China is the world’s second largest economy. The addition was a victory for the country’s push to make the yuan a freely usable currency.

Washington is wary of China’s growing financial clout and the serious challenge which the dollar faces as more emerging economies are switching to their local currencies in trade. Meanwhile, the IMF is already on a collision course with US Congress and other influential institutions of the country. US lawmakers have repeatedly refused to ratify a 2010 IMF reform to give greater weight to the BRICS group of emerging market powers, namely Brazil, Russia, India, China and South Africa.

Source: Presstv

Australia is set to become the world’s largest exporter of gas but its level of resource tax transparency falls behind Burkina Faso, Cameroon and Mongolia, a new global report has found, as the country forfeits billions of dollars in tax to multinational mining giants.

A Senate hearing into the Callaghan review of the petroleum resource rent tax this week heard just how murky our tax data is, with only opaque disclosures from the companies themselves giving us an indication of how much tax they pay. Australia is set to eclipse Qatar as the largest exporter of gas in the world by 2020 but will receive just a fraction of the revenue, $800 million compared to Qatar’s $26.6 billion.

The resource governance index found countries that receive Australian aid funding for programs aimed at improving their resource sectors outperformed Australia on revenue management. Australia, ranking 32nd, scored lower than Botswana, Niger and the Ivory Coast, according the report from the global Natural Resources Governance Institute.

“Australia has a data problem,” said Jessie Cato, the national co-ordinator for Publish What You Pay Australia, a tax transparency network. “We have poor systematic data collection, it is often private, published in a closed data format like PDF, and located across numerous agencies.”

Culled from the Sydney Morning Herald

The 84 year old Cameroonian dictator, Paul Biya has empowered the Minister of the Economy, Planning and Regional Development to sign with the Bank of China, a loan agreement of 123.3 million US dollars. Cameroon Concord News understands the money is intended to finance the second phase of the solar photo-voltaic system of electrification currently going on in 350 localities. This is a project led by the Ministry of Water and Energy (MINEE), which has been underway since 2015 thanks to the technical cooperation of the Chinese company Huawei Technologies Co Ltd.

The Yaoundé regime says the ultimate ambition is to electrify 1000 localities all over the national triangle with solar energy.  The project is a desperate attempt by the drowning CPDM government to address the country’s energy deficit.  According to well-established Cameroon Concord News sources, the first phase involving 166 localities, is well advanced and has recorded an 80% realization rate. To be sure, 112 localities have already benefited from the production of photo-voltaic power plants from which our sources indicated Ngang and Konyambetta in the Center region, Babessi in the Northwest and Doumaintang in the East.

Once a power plant is built, households who wish to subscribe and pay their monthly consumption on the basis of the rates discussed will receive supply and this will help the CPDM regime to repay the debt incurred to carry out the project.

By Chi Prudence Asong

Cameroon Concord News

The pound wallowed around two-month lows Tuesday, unable to bounce back from last week’s shock election that saw Britain’s ruling Conservatives lose their majority, throwing the country into uncertainty, days before key Brexit talks.

While Prime Minister Theresa May looked to counter anger within her party by apologizing and telling MPs “I got us into this mess, and I’m going to get us out”, there are doubts about her future in Downing Street.

May had called the vote in a bid to strengthen her majority, and her bargaining power, before going into the EU exit talks set for June 19. Now she must rely on the support of Northern Ireland’s Democratic Unionist Party.

Greg McKenna, chief market strategist at AxiTrader, said: “The political uncertainty is unhelpful given Brexit talks are about to begin in the next week.”

He added that “sterling came under renewed pressure as a result” of the newly formed government’s refusal to soften its approach to the discussions. “Why the government wouldn’t use the election for a reset I just don’t know.”

In early Asian trade the pound slipped to $1.2650.

The currency’s “near-term direction will continue to be driven by the post-election fallout, but the prospects look increasingly gloomy as the possibility of another Tory leadership vacuum enters the picture at precisely the wrong time for the UK,” said Stephen Innes, senior trader at OANDA.

Fed, Sessions in view

On equity markets, technology firms struggled to recover from the previous day’s sell-off that was sparked by a rout in the sector on Wall Street Friday. Sony and Sharp were well down in Tokyo while Tencent was marginally up in Hong Kong after Monday’s tumble. Samsung was also lower in Seoul.

The losses came after the Nasdaq suffered another slump, extending Friday’s losses, as Apple and Amazon took a beating, with analysts wondering whether the selling is down to profit-taking or the start of a broad retreat after all US indices hit records last week.

Broader markets fared slightly better after Monday’s steep losses. Tokyo ended the morning session at a loss while Shanghai was down 0.1 percent. Wellington and Manila also eased slightly.

But Hong Kong added 0.1 percent, Sydney gained 0.6 percent and Seoul gained 0.5 percent.

Traders are now awaiting the end of the Federal Reserve’s latest policy meeting. While another interest rate hike is widely expected, the bank’s post-meeting statement will be scanned for some forward guidance and clues about future movements.

Also, US Attorney General Jeff Sessions is due to testify Tuesday to the Senate Intelligence Committee as it probes Russian meddling in last year’s election and Moscow’s links to under-fire President Donald Trump.

Attention has focused on Sessions as reports swirl that he may have had more meetings with Russian officials during the campaign last year than the two he has informed authorities of.

Key figures around 0230 GMT

Tokyo – Nikkei 225: DOWN 0.1 percent at 19,885.72 (break)

Hong Kong – Hang Seng: UP 0.1 percent at 25,764.00

Shanghai – Composite: DOWN 0.1 percent at 3,183.22

Euro/dollar: DOWN at $1.1193 from $1.1203 at 2040 GMT

Pound/dollar: DOWN at $1.2650 from $1.2657

Dollar/yen: UP at 110.06 yen from 109.93 yen

Oil – West Texas Intermediate: UP 13 cents at $46.21 per barrel

Oil – Brent North Sea: UP 14 cents at $48.43

New York – Dow: DOWN 0.2 percent at 21,235.67 (close)

London – FTSE 100: DOWN 0.2 percent at 7,511.87 (close)

(Source: AFP)

Equatorial Guinea’s bid to join OPEC was accepted by unanimous vote at the 172nd OPEC meeting in Vienna on May 25, 2017.

• Centurion Law Group was tasked by the EG government to lobby for OPEC membership.
• Agreement breaks the mould, with Centurion the first African law firm to facilitate an African nation’s entry into OPEC.

Centurion congratulates the Ministry of Mines and Hydrocarbons for bringing Equatorial Guinea into OPEC, an initiative that demonstrates the massive progress made by the nation since the first oil and gas developments of the 1990s.

At yesterday’s 172nd meeting of the OPEC members, Equatorial Guinea’s Minister of Mines and Hydrocarbons H.E. Gabriel Mbaga Obiang Lima met in a closed session with the OPEC ministers, who voted to accept the country’s application to join the bloc. The Ministry of Mines and Hydrocarbons, which employed Centurion’s advocacy and lobbying services, applied to join OPEC in January 2017 and had its application accepted just four months later.

H.E. Gabriel Mbaga Obiang Lima praised Centurion on its work facilitating the negotiations for Equatorial Guinea to join OPEC: “Our nation, and Africa as a whole, needs more companies that are as committed to our collective progress as Centurion. The Government of Equatorial Guinea commends Centurion and its attorneys for their success in helping our nation join OPEC. Equatorial Guinea now stands tall among energy producers worldwide.”

NJ Ayuk, CEO of Centurion, stated: “The OPEC deal is huge for Equatorial Guinea, a country which advocates for African interests and African prosperity, whether in business or diplomacy. Centurion’s purpose is aligned with that of the country and its government, and we are proud of the role that we have played in bringing Equatorial Guinea into OPEC.”

Equatorial Guinea is, as Centurion has always advocated, a place for innovative energy pioneers. The firm has played an active role in bringing investment to Malabo and facilitating the growth of the energy sector. Key developments have included deepwater oil and gas production, LNG exports, methanol production, CNG public transport, and renewable power. In 2017 the Ministry of Mines and Hydrocarbons is working on keystone projects that include a petrochemicals complex (REPEGE), tank farm (Bioko Oil Terminal) and the finalization of the 2016 bidding round (EG Ronda 2016). Equatorial Guinea’s entry into OPEC provides a new framework for cooperation on these and future energy innovations.

H.E. Gabriel M. Obiang Lima and NJ Ayuk will speak at the Africa Oil & Power conference on June 5-7 in Cape Town, where Mr. Ayuk will also launch his new book, Big Barrels: African Oil & Gas and the Quest for Prosperity.

Powered by Cameroon Concord News Group

President Paul Biya will visit China at the invitation of the Chinese President. The information was made public by Wei Wenhua the Chinese Ambassador to Cameroon. It would be Mr.Biya’s sixth trip to a country whose volume of trade with Cameroon now stands at 1, 96 billion US dollars.

Ambassador Wei Wenhua told local newsmen recently that “Despite a gloomy global economic context, Sino-African cooperation is performing well.”  He revealed that China was helping Cameroon in constructing the Yaoundé-Douala highway, the Kribi-Lolabé highway and the Bini hydroelectric dam at Warack.

Ambassador Wenhua also pointed out that by removing the visa requirement between China and Cameroon for holders of diplomatic passports; it was a step forward in Cooperation between the two countries.

By Sonne Peter

Cameroon Concord News

The U.S. Ambassador to Cameroon, Michael S. Hoza, has described Cameroon as key to the economies of the Congo Basin. The U.S. diplomat was speaking at the “American Day” at PROMOTE in Yaounde on Thursday February 16.

Ambassador Hoza said Cameroon is the key to the entire Congo basin economy and Cameroonian youth are the key to developing their future economy.  “We believe Cameroon is the key to the entire Congo basin economy and Cameroonian youth are the key to developing their future economy,” he said during a plenary to launch the “American Day” at the exhibition Fair.

“We want to engage in the fight for Cameroon’s future—that is promoting the peace and security of the Cameroonian people by giving opportunities to the youths and unleashing their potentials for the future of Cameroon,” the Ambassador said. Some 22 American companies are exhibiting their products at the 6th edition of the major trade fair in Central Africa.

“We are bringing together corporations and entrepreneurs from all industrial sectors in order to connect Cameroonian partners with American partners,” he said before prior to a ribbon cutting ceremony of the American pavilion at the fair.

The U.S diplomat was accompanied by five government ministers; Luc Mafloir Mbarga Atangana of Trade, Prof Laurent Serge Etoundi Ngoa of Small and Medium Size Enterprises, Marie Therese Obama of Women’s Empowerment and the Family, Joseph Dion Ngute of External Relations in charge of the Commonwealth and Louis Max Ayina, secretary of state for Public Works.

CIN