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Coronavirus: India's pandemic lockdown turns into a human tragedy -

Coronavirus: India's pandemic lockdown turns into a human tragedyHundreds of thousands of migrant workers are fleeing cities, posing a fresh risk of infection.


Mon, 30 Mar 2020 00:12:40 -0400

Mexico's president shifts tone on coronavirus, urges people to stay home, warns of dire consequences -

Mexico's president shifts tone on coronavirus, urges people to stay home, warns of dire consequencesCritics said Mexico's president was downplaying the coronavirus threat. But he has now shifted his tone.


Mon, 30 Mar 2020 00:09:35 -0400

Kremlin Fights U.S. Sanctions, Backs Maduro in Rosneft Deal -

Kremlin Fights U.S. Sanctions, Backs Maduro in Rosneft Deal(Bloomberg) -- The Kremlin’s sudden shift of ownership of multi-billion-dollar oil projects in Venezuela shields oil giant Rosneft PJSC from further U.S. sanctions but keeps Moscow firmly behind embattled President Nicolas Maduro amid a wider stand-off with Washington.“Russia is not walking away from Maduro and will seek to thwart U.S. efforts to depose him,” said Vladimir Frolov, a former diplomat and foreign policy analyst in Moscow. “Moscow is just shielding Rosneft from sanctions which could result in a blanket embargo on all Rosneft exports.”Fears of broader sanctions have grown after the U.S. in recent months slapped restrictions on Rosneft trading companies for handling business with Venezuela. More recently, the U.S. has hinted that it might step up pressure on the Russian oil sector to reduce production. That followed Moscow’s decision early this month not to deepen output cuts agreed with OPEC led Saudi Arabia to boost output, flooding the market and pushing prices to the lowest levels in decades.The administration of President Donald Trump has already reached out to Saudi leaders to reconsider their strategy, which has battered producers in the U.S. with low prices.Read: Putin and MBS Draw Trump Into Grudge Match for Oil SupremacyRosneft late Saturday announced it’s turning over its Venezuelan projects to an unnamed state-owned company in what it called an effort to protect its shareholders’ interests. Rosneft, which produces 40% of Russian oil and 5% of world output and has substantial exposure in the western financial system, can’t afford the risk of broad U.S. sanctions that could cripple its operations. Earlier this month, a Chinese company said it wouldn’t buy crude from Rosneft because of the risks caused by the sanctions on the trading companies.“As recently as February, the Venezuelan business was profitable, which offset the sanctions risk,” said Ivan Timofeyev, an analyst at the Kremlin-founded Russian International Affairs Council. “Now the desire to avoid sanctions coincided with the need to avoid losses” after oil prices plunged, he added.The Russian giant has already cut its exposure under multi-billion-dollar prepayment deals reached several years ago. Venezuela’s oil producer PDVSA owes Rosneft only $800 million at the end of the third quarter of 2019, according to the last available data, down from $4.6 billion at the end of 2017.Sanctions ProtectionThe latest Russian maneuver mirrored its strategy in 2018 when it used Promsvzyabank to set up a new banking vehicle to serve the defense industry after state-owned weapons producers came under U.S. sanctions, thereby shielding the country’s two largest banks, government-controlled Sberbank and VTB. Unlike those big lenders, which have significant exposure to western financial institutions and thus are at risk from sweeping U.S. sanctions, the new special entity operated largely out of Washington’s reach.While Rosneft may even push to have the recently imposed sanctions on the trading units lifted, risks remain.“Rosneft is trying to stay out of the firing-line but nothing stops the Americans from finding another pretext to sanction it,” said Fyodor Lukyanov, who heads the Council on Foreign and Defense Policy, a research group in Moscow that advises the Kremlin.“Russia understands that Maduro is in an awful situation, especially with oil prices at rock bottom,” he said. “But Putin’s psychology is that you should stick with partners in difficulty.”Maduro said on state TV on Saturday evening that ”President Putin sent me a message through his ambassador reaffirming their strategic and integral support to Venezuela in all areas.”Rosneft StakeFrolov said, “Moscow thinks that Maduro is actually winning the fight with the opposition and is likely to split it to the point where he would be able to win parliamentary elections this year.” Russia has backed Maduro even as the U.S. and its allies back opposition leader Juan Guaido.For Rosneft, the deal also could give management, led by Igor Sechin, its influential chief executive, greater control, since the company is receiving 9.6% of its own shares in the transaction. That may mean the government’s share in Rosneft falls below a controlling stake, according to Andrey Polischuk, Moscow-based analyst for Raiffeisenbank.Neither the company nor the government would comment on whether the deal will bring state ownership below 50%.“Sechin gets Rosneft shares and Putin gets the chance to trade with Trump,” said Konstantin Simonov, head of the National Energy Security Fund in Moscow.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.


Sun, 29 Mar 2020 23:00:00 -0400

South Korea to pay cash to families, bring in extra budget relief -

South Korea to pay cash to families, bring in extra budget reliefSouth Korea will make an emergency cash payment to most families and draw up a second supplementary budget next month in a bid to ease the drawn-out economic impact of the coronavirus outbreak, President Moon Jae-in said on Monday. Moon, after an emergency meeting with economic policymakers, said an "emergency disaster relief payment" of up to 1 million won ($816) would be made to all households except the top 30% by income. Moon said he would prepare another extra budget for parliamentary approval in April and some small- and medium-sized companies would be exempt from paying partial insurance and utility bills starting this month.


Sun, 29 Mar 2020 22:44:20 -0400

Trump asks why reporter doesn't act 'a little more positive' -

Trump asks why reporter doesn't act 'a little more positive'President Trump on Sunday asked why a White House reporter does not act “a little more positive” in covering the administration’s coronavirus response.


Sun, 29 Mar 2020 19:17:24 -0400


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