The Group of Seven (G7) summit held in Hiroshima this week has focused on the Ukraine crisis, as well as the growth of China and the associated rising threat to Taiwan. The discussions have incorporated a range of issues, including energy and economic security and supply chains. The attendance of nations such as India, Indonesia, Vietnam and Australia has ensured a focus on developing countries. Earlier this week, speaking at the summit, Indian Prime Minister Narendra Modi suggested that the creation of a system focused on food security, particularly for “marginal farmers” must be given priority, and suggested that there was a need to strengthen global “fertilizer supply chains” while curtailing “the expansionist mindset controlling fertilizer resources.” The summit has also covered artificial intelligence, nuclear weapons and non-proliferation, and climate change. It had been hoped that discussion of global health issues would also feature. The G7 comprises Canada, France, Germany, Italy, Japan, the UK and the US. The summit concludes today.
A year after writing a LinkedIn post in which she called out misogyny and called for gender equality in the business world, Amanda Blanc, the first female CEO of global insurer Aviva, says she is disappointed by the lack of progress. Although there were tick-box initiatives such as unconscious bias training, they were simply not enough to promote women into the top positions in organisations. Blanc, who stands at the top of a £600bn firm, believes it will take until at least 2050 to achieve equal representation at the executive level. She is especially concerned about the lack of diversity, particularly regarding those from backgrounds that are not white and male. Women accounted for 21% of the executive teams at Canadian firms listed on the TSX at the end of last year, and just 5% of TSX listed organisations had female CEOs. Blanc herself has experienced "misogynistic scars" during her 30-year career, including during a meeting last year when male participants made disparaging comments about her gender.
Several countries across the Middle East have reportedly moved away from the US dollar in reaction to ongoing dollar rationing strategies set in place by the United States. As previously reported, on 15 May 2021 Iraq band all business deals and exchanges of the dollar with Iran, and underlining an existing case where the nation’s authorities made it more difficult for individuals to obtain dollars as the US had revealed increasing concerns that much of its currency was being smuggled to Iran, which is under sanctions. This extreme measure against the dollar has since highlighted a trend in the Middle East where the continuous slowing of the currency’s value has led Saudi Arabia's finance minister to state it is “open” to pricing oil sales using different currencies, including the Chinese yuan and the euro. Similarly, in February this year, Iraq confirmed its intention to conduct business with China using yuan, instead of dollars.
The UK Migration Advisory Committee (MAC) has supported calls to limit the length of time that overseas university students can remain in the country. Committee chair Brian Bell said that the MAC believes it is “unnecessary” for foreign students to be allowed to work in the UK for two years upon completion of their master’s degree. The latest Office for National Statistics figures suggest that in the year to June 2022, people arriving in the UK on study visas were responsible for 39% of non-EU nationals’ long-term immigration, equivalent to 277,000 people, up from 143,000 in the previous year.
The G7 summit in Hiroshima has ended with discussions focusing on the Ukrainian war and the dominance of China. They also focused on challenges facing developing economies, including Brazil, Vietnam, Comoros and India. Ukrainian President, Volodymyr Zelenskyy made headlines during his time the summit. He was present in the session on Ukraine where it was revealed he had spoken with Canadian Prime Minister Justin Trudeau. His itinerary for the rest of the day included visiting the Peace Memorial Park and the museum in Hiroshima to remember the atomic bombing of the city. Zelenskyy continues to make the rounds of G-7 leaders. Earlier on the second day of the summit, India's Prime Minister Narendra Modi met the president on the margins of the summit for the first time since Russia's invasion of the Ukraine and shared images of their encounter to his Twitter page.
The final day of the Group of Seven (G7) summit has passed in Hiroshima, with delegates including Ukraine's President Volodomyr Zelenskyy discussing the war, China’s dominance and the issues faced by the Global South. Joining the leaders were a number of key Asia-Pacific figures such as the Indian, South Korean, Indonesian and Australian prime ministers. The triennial met throughout the summit, while Ukrainian President Volodymyr Zelenskyy took some time off to visit Hiroshima’s Peace Memorial Park and Museum. President Joe Biden met with Zelenskyy, Ukrainian Prime Minister Fumio Kishida, South Korean President Yoon Suk Yeol and Japanese Prime Minister for talks. The G7 laid out a common de-risking path on China, while India's Narendra Modi commented that he would “amplify concerns of the Global South” at the summit.
Ryanair's CEO, Michael O'Leary, has vowed to drive growth and win market share in Europe, aiming to double passenger numbers over the next decade. The airline's ambitious new target of 300 million passengers per year by 2034 would be a record for the industry. While some have questioned whether there are enough passengers left to carry in Europe, particularly at a time of rising climate concerns, O'Leary is confident the company can stimulate demand in new markets in central and eastern Europe and steal market share from rivals in western Europe. He says that as long as "we don't do something stupid, which is a daily challenge in this industry, we will continue to wipe the floor with every other airline in Europe".
The head of Rolls-Royce, Tufan Erginbilgic, has been critical of how the company’s power-systems division has been run in recent years, but said it has potential with proper management. The subsidiary, which creates diesel and gas engines, produced 26% of underlying revenues in 2022, forming £3.35bn ($4.5bn) in revenue. Changes in management at the unit have already begun since Erginbilgic became CEO in January 2022. In addition to the power-systems unit, Rolls-Royce’s civil aerospace and defence divisions make up the company’s other two primary segments.
Niger's President, Mohamed Bazoum, has defended France's activities in the Sahel region, saying Paris was the victim of what he called populist and anti-neocolonial propaganda. Paris has been blamed for failing to quell the jihadist threat, backing unpopular leaders and triggering the crisis in Libya. Many former French colonies are in the Sahel, where terrorist activities have been on the rise. The President of Burkina Faso, which is also experiencing the same problem, has said his country hoped to end its dependence on foreign powers, but he did not want to become China's "debt slave," and added that it was turning towards Russia for help.
The Ukraine conflict was at the forefront of G7 meetings in Hiroshima, Japan, over the weekend. Ukrainian President Volodymyr Zelenskyy was among the invitees to the meetings, which discussed China's growing dominance and issues affecting the so-called "Global South." Canadian Prime Minister Justin Trudeau expressed the need for a "resilient and diversified" approach to supply chains, while UK Prime Minister Rishi Sunak commented on the summit's significance for consolidating peace. Meanwhile, Japan's Prime Minister Fumio Kishida called for the issue of nuclear weapons to be discussed openly, and said it was "historically significant" for the G7 leaders visiting the Peace Memorial Museum to publish a focus on nuclear disarmament – known as the Hiroshima Vision. The G7 summit heralded a number of warm bilateral meetings, concluding with talks between Ukrainian President Volodymyr Zelenskyy and South Korean President Yoon Suk Yeol on the conflict on Sunday afternoon.
Russian President Vladimir Putin has announced that Russian forces and paramilitary group Wagner have captured the Ukrainian city of Bakhmut, following a bloody and months-long battle that reduced the city to ruins. Putin described it as his first major victory since the full-scale invasion of Ukraine in 2022. Bakhmut was the longest and bloodiest battle between Russia and Ukraine since the invasion began. Reports also suggest that Russia has retaken territory lost to Ukraine in recent weeks, although Kyiv has continued counter-attacks on Russian forces flanking the city.
The Group of Seven (G7) summit in Japan has ended, with discussions centring around the Ukraine war, China’s growing dominance and support for the “Global South”. According to a communique, the G7 nations have agreed to support public-private initiatives to swerve China's “belt and road” initiative, to implement measures to counter state-backed “malicious cyber activities”, and to decarbonise energy systems by the end of the century. The G7 also signed a declaration committing to the protection of international maritime regulations, including the peaceful resolution of maritime disputes, navigation rights, and safety along sea lanes. G7 leaders expressed concern over the situation in the East and South China seas. The summit also saw the invitees from Indonesia, South Korea, India and Australia discuss issues such as Ebola, the impact of Brexit, terrorism and trade. President Zelenskyy of Ukraine was in the spotlight throughout the summit.
Chinese companies involved in critical information have been ordered to stop purchasing products from Micron Technology following a cybersecurity review of the US-based manufacturer of memory chips that found its products posed "relatively serious cybersecurity problems." Many analysts view China's move as retaliation against the US following its efforts to cut off China's access to high-end chips. The company's Chinese customers are likely to seek homegrown or South Korean alternatives to Micron's US memory chips, potentially having a knock-on effect on Chinese supply chains.
Allen & Overy and Shearman & Sterling are set to merge to create one of the largest law firms in the world with revenue of around $3.4bn. Once the deal is put to partners in both firms, it will create Allen Overy Shearman Sterling which will have almost 4,000 lawyers and 49 offices. The merger, which comes after both firms experienced turbulent periods, will give both firms “crucial scale in London and New York” according to Wim Dejonghe, a senior partner at Allen & Overy. The deal is expected to be completed within 12 months.
The idealistic vision of a world without nuclear weapons came to the fore this weekend following the G7 summit in Hiroshima, with Japanese prime minister Fumio Kishida using the forum as the backdrop to call for global peace and the end of nuclear arsenals. The last day of the talks was upstaged by the arrival of Ukrainian president, Volodymyr Zelenskyy, determined to raise support for the Ukrainian peace plan and show recalcitrant Republicans in Congress that withholding further assistance from his country would damage US leadership. Plans for a joint communication document that would align the G7 behind the Ukrainian peace plan came to nothing, but its message was transmitted nonetheless. Kishida outlined four principles that the participants had agreed on, with the importance of the United Nations charter and the rule of law, as well as projecting solidarity with Ukraine the main areas of accord.
Sir Keir Starmer, the leader of the UK’s Labour party, has pledged to cut waiting times and reduce mortality rates from diseases such as cancer, heart disease and suicide if his party secures the next general election. Starmer will use a speech to state that the future of the NHS will depend on the election results. Labour is currently polling with a double-digit lead. Starmer will vow to uphold cancer diagnosis time frames, curtail A&E wait times, reduce death rates in stroke and heart disease by 25% in a decade and decrease suicides in five years. According to recent opinion polls, 45% of respondents believe health is the UK’s most pressing issue after the economy. Health shortages and prolonged waiting times were among the key issues lost by the Conservative party in May’s local elections.
Profits at Western banks in China slumped in 2021 due to COVID-19 lockdowns and tensions between the US and China, according to data seen by the Financial Times. Credit Suisse, Deutsche Bank, Goldman Sachs and HSBC all reported losses, while Morgan Stanley's profits fell. UBS and JP Morgan were the only banks to post higher profits, although HSBC's unit lost less money than in previous years. Seven Western banks have units in China and all have been operating at losses in the country for years, investing in lossmaking outfits in the expectation they would eventually prove profitable.
College heads from more than 100 universities in England have warned the government over its plans to replace 160 vocational courses, including BTecs, and leave school leavers without access to further education when they reach age 16, because it lacks a plan. T-level qualifications, in subjects such as construction, health, science and business will have tougher requirements than preexisting vocational courses. The reforms are part of a bid to build skills in the economy and include new grade entry standards. Representatives from the universities have sent a letter to Education Secretary Gillian Keegan.
Billionaire investor Carl Icahn has reportedly lost $9bn since the financial crisis due to short positions that relied on market collapse. The failed trades led investor advisory service Hindenburg Research to suggest that Icahn Enterprises was overvalued. Shares in the company fell by 30% as a result of the accusations. Icahn, who was one of the earliest investors to push for activist strategies, has admitted to error, telling reporters that the strategies he previously recommended did not reflect today's circumstances. Hedge funds are also betting against Greek bonds before this weekend's election, while Amundi asset managers is shifting toward Chinese investments in anticipation of a subdued US economy.
The owner of Serie A champions Napoli has called on the league to deliver matches directly to viewers through services such as Netflix and Amazon Prime, warning piracy and waning interest were a real risk to the sport's future. Aurelio De Laurentiis said the league should handle broadcast production and streaming of games in a bid to reignite Italian football. The country's top league has suffered underinvestment and scandal, and the 73-year-old said it was losing younger fans to video games. The Premier League and Ligue 1 are also planning tenders for domestic broadcast rights.
