World

Two European Central Bank Governing Council members from Austria and Belgium argue for further interest rate hikes to control inflation, which currently stands at 8.5% in the eurozone. Despite recent banking sector turmoil, they believe monetary tightening remains necessary to curb rising prices.

German Chancellor Olaf Scholz visits Japan with six ministers to discuss economic cooperation and reduce reliance on China. The meetings focus on addressing economic vulnerabilities exposed by the Ukraine war and COVID-19 pandemic, emphasizing the need for strategic partnerships in critical economic sectors.

Malaysia's exports grew 9.8% year-on-year to RM204.99 billion in February 2023, with petroleum, electrical, and electronic goods driving the increase. Imports rose 12.4% to RM92.71 billion, resulting in a trade surplus of RM19.56 billion, slightly higher than January's figure despite a shorter workweek.

RAM Ratings affirms Malaysian banks' resilience, highlighting less than 25% bond investments and strong regulatory framework that differentiates them from Silicon Valley Bank's volatile approach.

SVB Financial Group filed for bankruptcy protection after its subsidiary Silicon Valley Bank was taken over by US regulators. The move follows last week's bank shutdown and aims to explore potential asset sales while managing ongoing financial market uncertainty.

The sudden failure of Silicon Valley Bank exposed deep rifts in the venture capital world, with investors criticizing each other's actions during the bank run that led to the institution's collapse.

Singapore bank stocks dropped as Credit Suisse faced significant challenges, with its largest shareholder declining additional investments. The crisis sparked fears of potential global financial instability, following recent US bank failures and unprecedented bond default insurance costs.

Telekom Malaysia and ZTE Corporation have collaborated to develop a hybrid cloud 5G core network, focusing on cutting-edge technologies like software-defined networking, hardware acceleration, and three-layer decoupling. This strategic partnership aims to revolutionize data processing and transfer capabilities over the next three years.

Maybank introduces an innovative auto finance package for electric and hybrid vehicle owners, covering financing, insurance, and charging station access. The initiative aligns with the bank's sustainability objectives and supports the government's vision to increase EV market share to 38% by 2040.

Moody's Investors Service forecasts Malaysia, Indonesia, and Turkiye will become the largest sovereign sukuk issuers, surpassing Saudi Arabia. Malaysia's expected annual sovereign sukuk issuance ranges from US$20-22 billion, with fiscal deficits gradually reducing but still supporting substantial financial instruments.