Yemen, the victim of a conflict that has torn it apart from within since the Houthi rebels’ 2014 uprising, is teetering on the economic cliff. As the value of its currency plummets, this nation, heavily dependent on food exports, faces a combination of catastrophic circumstances, with more foreign aid possibly the only viable solution.
Monopolies pose dangers, and the one held by the world’s three top credit-rating agencies (Standard & Poor’s, Moody’s, Fitch) is no exception. These heavyweights are influential enough to cause financial crises—and may have in the past, due to problems such as conflicts of interest. The only solution is a radical reform of this oligopoly.
Interest Rates and Human Rights: Reinterpreting Risk Premiums to Finance the Green New Deal and the Fight Against COVID-19*
The same product carries the same price—except for a loan. Due to risk premiums, some borrowers pay more than others for the same loans to protect lenders from the possible consequences of high-risk lending. The current approach ignores that paid instalments reduce the risk over time. After full payment of the principal the risk is reduced to zero. Is it time to rethink this process to ensure that human rights are not violated and resources are rerouted to meet pressing needs?
Growing Enforcement of Environmental-Crime Legislation in the UK: What Are the Implications for Banks?
The enforcement of environmental-crime legislation is evolving in the UK—and the pace is set to quicken, with inevitable implications for financial firms and investors. Increasing enforcement sophistication and AML risks, focus on supply-chain due diligence, and ESG and regulation are three ways in which risk is changing for the industry.
COVID-19’s path of destruction has not left untouched the fundamental need we all share for food security. Rising food prices and other factors have cut access, especially for the world’s poorest, to nutritious, affordable food. Government and relief agencies worldwide are scrambling to ensure the fulfilment of this most basic human need.
A country that has undergone immeasurable hardships in recent years, Libya’s fortunes are at last showing signs of changing. A decade after the fall of the Gaddafi regime, Salim Abukhzaam, Head of Libya at British Arab Commercial Bank (BACB), examines how the country’s operational landscape has evolved since the uprising of 2011, and the outlook for financial institutions and corporates looking for opportunities as the peace process continues apace.
The global economy is caught up in a vicious spiral of worsening financial conditions spawned by the pandemic. Many developing economies were lumbered with high debt loads before COVID-19, but the crisis has greatly aggravated their crippling debt situations. As millions of people teeter on the brink of extreme poverty levels, what are the three weakest gaps in the international debt architecture, and how can they best be patched up?
A key global initiative that currently unites much of the world is the 2030 Agenda for Sustainable Development. Launched by the United Nations back in 2015, Agenda 2030 is an action plan for “people, the planet and prosperity”, which countries and stakeholders, acting in collaborative partnership, have pledged to implement.
When we think of tax fraud in banking, we often don’t consider its far-reaching consequences, including its impact on the human rights of the residents of the states in which it occurs and beyond. By diverting public funds away from where they are needed most, sophisticated tax-avoidance schemes facilitated by banks make the quality of life of affected people that much worse. What must banks do to meet their obligations to the general public?