1.) Eurozone agrees to lend Spain up to 100-B Euros (ABS)
Euro zone finance ministers agreed on Saturday to lend Spain up to 100 billion euros ($125 billion) to shore up its teetering banks and Madrid said it would specify precisely how much it needs once independent audits report in just over a week.
2.) Philippines to get credit rating upgrade in H2 – BSP (Philstar)
Bangko Sentral ng Pilipinas (BSP) deputy Governor Diwa Guinigundo said the convergence of high economic growth and stable inflation would finally convince international credit rating agencies to upgrade the country’s credit rating.
London-based Fitch Ratings currently rates the country’s sovereign credit at one notch below investment grade on a stable outlook while Moody’s as well as Standard & Poor’s rate the country at two notches below investment grade on a positive outlook.
3.) Moody’s unit sees BSP raising rates by yearend (Philstar)
Moody’s Analytics Inc., a division of New York-based credit rating firm Moody’s Corp., said it expects the Philippine central bank to raise interest rates towards the end of the year due to inflationary pressures brought about by strong economic growth.
4.) Nickel Asia approves 50% stock dividends (PSE)
5.) Puregold Equity Share Swap Related to S&R Acquisition Completed (PSE)
6.) Talk N Text Adds 1.7 Mil new subscribers (Philstar)
The prepaid mobile brand Talk ‘N Text of wireless leader Smart Communications added 1.7 million new subscribers in the first quarter of this year, outpacing other prepaid brands in the industry. By the end of the first quarter, the Talk ‘N Text subscriber base totaled 22.2 million, an 8.3 percent growth versus the previous quarter, and 14.2 percent more compared to the same period last year.
7.) China giant eyes $1.3 B LRT 1 Extension (ABS)
China’s biggest railway builder and operator, China Railway Construction Corp (1186 HK) has expressed interest in building the $1.3-billion LRT Line 1 South Extension project under President Aquino’s flagship Public-Private Partnership Program (PPP).
Canlas explained that cost-wise, the infrastructure development of Ecorail proposal is cheaper at $42.165 million per kilometer as against the other proposals at more than $45 million per kilometer. The proposal for electro-mechanical works inclusive of the provision for rolling stocks sufficient to accommodate the peak ridership at 25 minutes headway over a period of time is also cheaper at $409.14 million.
8.) PH nets 2.5 Bil investments in Aquino’s UK, US trips (ABS)
President Aquino yesterday declared bagging $2.5 billion worth of investments from his six-day trip to the United Kingdom and the United States.
Officials of both countries, Aquino said, have been impressed with the way the government is now being run.
He said British Prime Minister David Cameron and Prince Andrew have noticed the reforms his administration has initiated, including the ongoing peace talks with rebels as well as the impressive 6.4 gross domestic product growth for the first quarter of 2012.
9.) Philequity – Strong US dollar, stronger Philippine peso (Philstar)
And with $76 billion of gross international reserves as of May, we expect the Bangko Sentral ng Pilipinas (BSP) to be clearly at the helm to backstop any sharp volatility that may arise from further escalation of the EU debt crisis. The latest GIR figure is enough to cover 11.4 months worth of imports and 6.6 times worth of short-term foreign debts.
Hence, the stronger & more stable Philippine peso is another vote of confidence for the country. So while the Philippine economy will not be totally immune from any external crisis, we are confident that our stock market and economy will continue to be resilient and be one of the first to bounce back.