Connect with us

Economy

Greece and Israel Okays Deal To Build World’s Longest Underwater Gas Pipeline

Published

on

Spread the love

Though the European Union(EU) and its members have pledged to cut down the usage of harmful fossil fuels, Greece and Israel agree on a deal to build a new gas pipeline to bring natural gas to Europe.

This new underwater pipeline would be the world’s largest and will cost around €6bn($6.72 USD). It is also predicted that it would suffice for 10 per cent of European’s gas needs by the year 2025. though Italy will be the largest single purchaser of the Israeli gas other European countries will benefit as well.

This EastMed line would run for 1,900km from Israeli and Cypriot gas field to Italy via Greece and is expected to transport around 20 billion cubic metres of gas annually. As of now, the longest underwater pipeline is the Nord Stream running 1,224km through the Baltic Sea from Vyborg in Russia bringing Russian natural gas to the German coast for all of Europe.

The EU last month launched a new Green Deal policy package which aimed to achieve carbon neutrality by 2050 in Europe. The policy package also targets to cut emission from 40 per cent to close to 50 per cent by 2030. But Europe’s gas demands gave risen and according to the Oxford Institute for Energy Studies estimates, this demand would overtake the total liquefied natural gas supply within three years.

The President of the European Commission Ursula Von der Leyen said that the commission would use €100bn to invest and help the bloc’s economies be able to pay this switch from fossil fuels. Even The European Investment Bank decided this November that by the end of 2021, they would further stop funding fossil fuel projects.

This weekend in the Jordanian capital city of Amman hundreds of people gathered to protest against this agreement to import natural gas from Israel stating that it is a deal of normalisation with the Jewish state.

Click to comment

You must be logged in to post a comment Login

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Business

World Economic Forum: Union Ministers, CMs, 100 Indian CEOs and more attend Davos summit

Published

on

Union Ministers, CMs, 100 Indian CEOs and more attend Davos summit
Spread the love

The World Economic Forum Annual Meeting 2020, will held on January 20-24, with aim to  focus on establishing stakeholder capitalism as a way of addressing the world’s greatest challenges, from societal divisions created by income inequality and political polarization to the climate crisis facing today.

As the rich and powerful person from across the globe assemble this week at Swiss ski resort to discuss about  sustainable world’, over 100 CEOs as also some union ministers and chief ministers from India would also be present there alongwith filmstar Deepika Padukone and Sadhguru.  Deepika will talk about mental health and other issues, Sadhguru will hold morning meditation sessions at the summit  attended by over 3,000 world leaders.

The 50th annual meeting of World Economic Forum beginning from Monday. US President Donald Trump, Britain’s Prince Charles, German Chancellor Angela Merkel, Afghanistan’s Ashraf Ghani and Pakistan Prime Minister Imran Khan would be also attending the meeting.

The Geneva-based International organisation for public-private partnership has said that  “The World Economic Forum Annual Meeting 2020, taking place on January 20-24, will focusing on making stakeholder capitalism and also discussing about world’s greatest challenges like income inequality and political polarization to the climate crisis we face today”.

The main aim of this meeting is to give a soild meaning to “stakeholder capitalism”, assist governments and international institutions in tracking progress towards the Paris Agreement and the Sustainable Development Goals, and facilitate discussions on technology and trade governance.

From India industry leaders like Gautam Adani, Rahul and Sanjiv Bajaj, Kumar Mangalam Birla, N Chandrasekaran of Tata Group, Uday Kotak, Rajnish Kumar of SBI, Anand Mahindra, Sunil and Rajan Mittal, Ravi Ruia, Pawan Munjal, Nandan Nilekani and Salil Parekh of Infosys, C Vijayakumar of HCL Tech, Ajay Piramal, Rishad Premji, Ajay Singh and Pirojsha Godrej are registered.

Continue Reading

Business

Jeff Bezos’s $1 Billion MSME Push Welcomed With Protests By Local Traders

Published

on

Spread the love

Amazon’s CEO Jeff Bezos plans to invest around $ 1 billion to help small businesses online in India and also plans to use Amazon’s size, scope, and scale to export $10 billion of Indian goods by 2025. On the other hand, angry Indian vendors plan protests against Jeff Bezos as the authorities have launched an anti-trust investigation into e-commerce platforms like Amazon and Wallmart owned Flipkart.

Jeff Bezos came down to India for a business meeting focused on the maiden edition of Amazon’s micro, small and medium enterprises(MSME). This comes in at the moment when the Competition Commission of India(CCI) on Monday announced an investigation into Amazon and Flipkart on several complaints that claim that there have been tie-ups and deep discounting practices with preferred sellers which have probably killed small businesses.

Bezos donned the traditional Indian attire to showcase his company’s commitment to be a long-term partner of India. The firm proposed investment to assist and digitize around 10 million MSMEs by providing training and enrolling MSMEs into Amazon’s programs. Along with this, Amazon will assist them to be able to work on cloud technology through specialized offers at low costs from Amazon Web Services.

Amazon also confirmed it would fully cooperate with the investigation and was confident that its operations were legal. But traders across the country planned protests during the visit demanding the government to take action against Amazon. Several merchants have accused these e-commerce giants of breaking and disregarding foreign investment rules while giving billions of dollars into discounts that have forced many traditional traders to lose their businesses.

Amazon in the past five years has invested around $5 billion in India. They even also announced to expand it’s Amazon Easy Programme and ‘I Have Space’ Programme to support local neighborhood shops as well as Kiranas. This will look into helping shops and kiranas to set up kiosks to provide guidance to customers helping them choose the right products, place orders and earn commission on sales.

These protests were actively planned in 300 cities by The Confederation of All Indian Traders that represents around 70 million small businesses. Though the CCI said that it would report within 60 days, inquiries might take much longer time as usual. Last year, Google was fined $21 million USD by CCI for abusing Google’s dominant position for creating a search bias.

Continue Reading

Economy

White House Violates Federal Law By Withholding Security Aid To Ukraine

Published

on

Spread the love

According to a congressional watchdog’s decision which was released on Thursday, the White House has violated the federal law by holding on security aid to Ukraine.

The Government Accountability Office(GAO) which is a nonpartisan organization that directly reports to Congress found out that the Trump administration violated a law that governs how the money approved by Congress is disbursed by the White House.

This decision from the GAO comes in as the Senate prepares to begin the impeachment trial of President Trump on Thursday. The decision says that if the law was executed faithfully, then the President is not permitted to substitute his/her own policy for that the Congress has enacted into law. It further added that under the Impoundment Control Act, it is not allowed that the OMB withholds funds for a policy reason.

On the other hand, the White House disagrees to the charge claiming that the agency’s decision is trying to overreach while attempting to be a part of the ‘media’s controversy of the day,’ Rachel Semmel, the spokesperson of OMB said that the OMB uses its authority to make sure that every taxpayer’s dollars are properly spent along with being consistent with the President’s priorities as well as the law.

Last month, Trump gets impeached by the Democratic-controlled House for abusing the power of the President’s office to create a kind of pressure campaign against Ukraine. Even though Trump claims that the impeachment charges are politically motivated, White House budget officials defend and argue for their power to stop and change the direction of money flow away from the Defense Department by demanding regular delays on funding which was already signed into law.

This report has brought the light of scrutiny to the series of events last year at the White House’s Office of Management and Budget. After the White House officials gave orders to Pentagon to withheld aid, two officials resigned with concerns about Ukraine’s money. This happened while Trump pressurized Ukraine’s new leader to announce an investigation into Joe Biden’s son. Released emails from December suggest that the aid was held off after the call between Trump and Ukraine’s President Volodymyr Zelensky on July 25th.

Continue Reading

Business

The Great Slowdown Story in Indian economy

Published

on

The Great Slowdown Story in Indian economy
Spread the love

Recently, it was in the news that FITCH has graded India as BBB- because of the economic slowdown. Let’s see about the Indian economy slowdown in detail.

In a famous paper written by Arvind Subramanian, he compares the current slowdown with the crisis of 1991. Important economic indicators like Imports, Industrial Production, Electricity are very similar to the 1991 counterparts. But the readers might think why is the economy facing a sudden slowdown when India has been growing from the past few years.

The current slowdown is not of a cyclical nature but it’s more of a structural slowdown and it’s going to persist for a long time. This is more of a structural problem because this slowdown is attributed to the outstanding problems in the economy, for example- labour laws and land restrictions. But these problems cannot suddenly restrict the growth of India as the Indian GDP has been growing in double digits from the past ten years. In his paper, he evaluated another hypothesis of income inequality.

The theory is stated like this – a small group of people who have benefited from the IT boom has majorly contributed to the economic growth rate from over the past 20 years. They were the main drivers of consumption in India. But at the same time, he mentions that the Indian economy grew in the last decade majorly because of the investments and exports. Therefore, it will be inaccurate to say that consumption is the reason for the current slowdown.

GST and Demonetisation cannot be blamed as the economy was still doing great despite these events happening. But Arvind Subramanian quotes the current slowdown as both structural and cyclical. He comes up with his own theory named “Four Balance Sheet Challenge”. Basically, it is the aggregate of “The Old Twin Balance Sheet Problem” with “The New Twin Balance Sheet Problem”.

The Old Twin Balance Sheet Problem – During the Global Financial Crisis 2008, majority of the Indian companies made huge investments in the expectation that the Indian economy will continue to grow and when the economy was hit and did not show good growth, the companies had large amount of debts on their books which they simply cannot get away off.

After all this the banks started realizing that they were also in a troubled spot because they have lent money to these folks. Soon the repayments ceased and the banks were trying to provide loans to companies in trouble so that they can make repayments.

This actually solved the problem but just for a while until the RBI forced them to clean their books. Now, this led to the New Balance Sheet Problem.

Continue Reading

Get more Headlines

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Thank you for subscribing.

Something went wrong.

Trending