The world this week--Business
Britain’s headline annual rate of inflation remained elevated at 8.7% in May, defying expectations that it would fall again.
Core inflation, which strips out food and energy prices, rose to 7.1%, the highest it has been since March 1992.
The government has promised to cut inflation by half this year from the 10.1% registered in January, but higher prices persist in food, clothing, recreation, health, communications and travel.
The price of housing in Britain is also soaring.
The cost of a two-year fixed-rate mortgage has shot above 6% in recent days, as lenders re-evaluate their mortgage products and remove cheaper deals from the market.
Banks link their fixed-rate mortgages to market expectations for interest rates, which are rising as the outlook sours on inflation.
Official statistics showed rents also surging, by 5% in the year to May, the fastest pace since the data series began in 2016.
Carlos Ghosn filed a lawsuit seeking $1bn in damages from Nissan related to his arrest and defenestration as the carmaker’s boss in 2018 over allegations of financial misconduct.
Mr Ghosn, one of the most powerful executives in the car industry at the time, filed his claim in Lebanon, where he fled in 2019 to avoid a trial. Nissan declined to comment.
The International Energy Agency published a report on clean energy in developing and emerging-market economies.
It said that investments in those countries would have to rise from $770bn a year to between $2.2trn and $2.8trn by the early 2030s if the Paris Agreement’s goals on carbon emissions are to be met.
Denmark retained top spot in the annual World Competitiveness ranking from the International Institute for Management Development (IMD).
The criteria behind the ranking include international trade, government and business efficiency and technological infrastructure.
Ireland leapt from 11th place to 2nd while Britain tumbled from 23rd to 29th, dragged down by worsening productivity and rising bureaucracy. America was 9th; China 21st.
The Italian government took measures to block a Chinese state-owned company from appointing a CEO at Pirelli, a global maker of tyres best known for its association with Formula One racing.
Sinochem holds a 37% stake in Pirelli.