08302016Tue
Last update: Tue, 30 Aug 2016 12am

Banking & Finance

Business & Finance - Banking & Finance

UBS leads team of banks working on blockchain settlement system LONDON: Swiss bank UBS is leading a team of four of the world's biggest banks developing a system to enable financial markets to make payments and settle transactions quickly using blockchain technology.UBS has developed a "Utility Settlement Coin" (USC), which is a digital cash equivalent of each of the major currencies backed by central banks, such as the dollar or euro, rather than a decentralised new digital currency such as bitcoin.The USC would be convertible at parity with a bank deposit in the corresponding currency, making it fully backed by cash assets at a central bank. Spending a USC would be the same as spending the real currency it is paired with, UBS said.Blockchain projects such as this have the potential to shake up the settlement system used by banks, under which transactions can take several days to finalise and which costs the financial industry $65-$80 billion a year, according ...

Business & Finance - Banking & Finance

RBC's third-quarter earnings beat market expectations TORONTO: Royal Bank of Canada on Wednesday reported third-quarter results which beat market expectations, with funds set aside to cover bad loans falling helped by higher oil prices.Like other Canadian lenders, RBC had seen a rise in loans to oil and gas companies that had turned sour due to declining energy prices.Canada's biggest bank also benefited from a strong performance from its wealth management and capital markets businesses.RBC said net income excluding one-off items was ...

Business & Finance - Banking & Finance

China publishes new rules tightening regulation of peer-to-peer lending BEIJING: China announced new rules on Wednesday to tighten regulation of the country's $60 billion peer-to-peer lending sector, which has been dogged by scandals and fraud due to loose oversight. Among the rules, P2P platforms will not be able to take public deposits, nor create asset pools, nor provide any forms of guarantee for lenders, according to a joint document issued by the China Banking Regulatory Commission (CBRC), Ministry of Public Security, Cyberspace Administration of ...

Business & Finance - Banking & Finance

World Bank presidency search opens with Kim's hat in ring WASHINGTON: World Bank chief Jim Yong Kim will seek a second term of office, the global development lender said Tuesday as it announced the start of a selection process for the presidency.Kim's bid to remain as president comes in the face a rare public rebuke from the Bank's rank-and-file, who earlier this month declared that the institution faced a "crisis of leadership.""The executive directors expressed unanimous support for an open, merit-based and transparent selection, with ...

Business & Finance - Banking & Finance

ECB faces bulked-up govt bond buying if QE extended beyond March LONDON/FRANKFURT: The European Central Bank will have to bump up its monthly purchases of government bonds if it decides to continue buying beyond March 2017, just to ensure maturing paper does not reduce the pace of its money printing. J.P. Morgan estimates 320 billion euros ($363 billion) worth of bonds will mature between 2017 and 2019, and will need to be invested again to honour an ECB pledge to redeploy the money it receives when ...

Business & Finance - Banking & Finance

Colombia central bank to hold rate steady as inflation, growth slow BOGOTA: Colombia's central bank will hold its benchmark interest rate steady for the first time in a year at its meeting next week, as both inflation and the economy slow, a majority of analysts said in a Reuters poll. Fifteen of 21 analysts in the survey said the bank's seven-member board would leave rates unchanged at 7.75 percent at its Aug. 31 meeting. "I think the bank will stay in 'wait and see' mode because ...

Business & Finance - Banking & Finance

UBS's Zeltner warns rivals of pitfalls in Asian growth push ZURICH: The head of the world's biggest wealth manager on Tuesday warned rivals turning to Asia for growth that achieving profitability in the region will prove challenging. Many banks have looked to build up businesses in the Asia Pacific region to compensate for the sluggish pace of private wealth growth in western Europe and North America in recent years. But Juerg Zeltner, who runs UBS's wealth management business outside of the Americas, said that making ...