Category Archives: Banking

Former Bank of China boss arrested on corruption charges

Posted on by

Liu Liange charged with accepting bribes and illegally granting loans amid country’s anti-corruption drive

China has arrested the former head of one of the country’s largest commercial banks on charges of accepting bribes and illegally granting loans, amid a two-year anti-corruption drive targeting the financial sector.

China’s Central Commission for Discipline Inspection (CCDI), which is investigating corruption within the ruling Communist party, said on Monday that Liu Liange had been arrested, after announcing the start of the investigation in March.

Continue reading...

Africa’s ‘optimist-in-chief’ on the continent’s renaissance: ‘Don’t just believe me, believe the data’

Posted on by

In an exclusive interview, Akinwumi Adesina, head of the African Development Bank, says the outlook is good for a continent with the workers of the future and the best investment opportunities

Africa holds the future workforce for the ageing economies of the west, according to one of the continent’s leading financial figures, who also said it was time to ditch the myths around corruption and risk.

In an exclusive interview before this weekend’s World Bank meetings in Morocco, Akinwumi Adesina said there was a resurgence of belief in Africa’s economic prospects and attacked negative stereotyping, adding that there was “every reason to be optimistic”.

Continue reading...

Bank of England sounds out buyers for Metro Bank including NatWest

Posted on by

JP Morgan also approached as Metro reportedly tries to thrash out rescue package with investors

The Bank of England’s regulatory arm is understood to have approached a number of big lenders in the past few days, including NatWest and JP Morgan Chase, to see if they had any interest in the embattled high street rival Metro Bank.

JP Morgan Chase examined a potential bid to take over the whole of Metro after speaking to the Prudential Regulation Authority (PRA) but decided on Saturday night not to go ahead with it, a source said.

Continue reading...

Metro Bank shares rebound amid reports of £600m capital offer

Posted on by

Lender’s stock hit all-time low after news it was exploring selling off up to 40% of mortgage book

Metro Bank shares rebounded from all-time lows on Friday, amid reports that the embattled lender was sitting on a £600m offer from bondholders that could cover its looming funding pressures.

Regulators have been keeping a close eye on developments at the high street lender, which needs fresh investor funding, and is exploring selling off up to 40% of its mortgage book, in order to shore up its balance sheet and ensure it can continue to grow.

Continue reading...

Europe’s banks helped fossil fuel firms raise more than €1tn from global bond markets

Posted on by

Exclusive: Pan-European investigation looked at thousands of transactions since Paris climate agreement in 2016

Banks including some of Europe’s largest lenders have helped fossil fuel companies to raise more than €1tn (£869bn) from the global bond markets since the Paris climate agreement, according to an investigation by the Guardian and its reporting partners.

In the push to zero carbon, Europe’s biggest lenders face growing pressure to limit their financial support for fossil fuel companies through direct loans and other financing facilities.

Continue reading...

Rupert Murdoch’s last move? The Spectator is in his sights

Posted on by

Rightwing magazine is said to be a favourite of the billionaire and is considered a ‘trophy prize’

Rupert Murdoch may have officially stood aside as chair of his media businesses but he’s still eyeing up what could be his last major UK deal: the purchase of the Spectator magazine.

The rightwing magazine, which is due to be auctioned off next month, is said to be a favourite of the billionaire, who used his resignation statement to claim much of the media is “in cahoots” with elites who have “open contempt for those who are not members of their rarefied class”.

Continue reading...

New Natwest boss worked for oil firm under investigation in ‘world’s biggest financial scandal’

Posted on by

Exclusive: Rick Haythornthwaite was paid £200,000 a year by Saudi company, PetroSaudi, involved in 1MDB scandal

Read more: The NatWest boss, the missing Malaysian millions and the damning email

The new chairman of NatWest is facing scrutiny over his former role with international oil group PetroSaudi, which is embroiled in one of the world’s biggest financial scandals.

City veteran and former MasterCard boss Rick Haythornthwaite worked for PetroSaudi International (UK) Ltd, the oil group’s British arm, for eight years, earning £200,000 a year.

Continue reading...

Twitter ‘unfit’ for banking over alleged complicity in Saudi rights abuses

Posted on by

Lawyers for family say Saudi government took brother’s data in breach and ‘arrested, tortured, and imprisoned’ him and others

The company formerly known as Twitter is “unfit” to hold banking licenses because of its alleged “intentional complicity” with human rights violations in Saudi Arabia and treatment of users’ personal data, according to an open letter sent to federal and state banking regulators that was signed by a law firm representing a Saudi victim’s family.

The allegations by lawyers representing Areej al-Sadhan, whose brother Abdulrahman was one of thousands of Saudis whose confidential personal information was obtained by Saudi agents posing as Twitter employees in 2014-15, comes as Twitter Payments LLC, a subsidiary of X (the company formerly known as Twitter), is in the process of applying for money-transmitter licenses across the US.

Continue reading...

NatWest expected to name ex-Centrica boss as chair after Farage saga

Posted on by

Rick Haythornthwaite, who leads boardrooms of Ocado and the AA, lined up to succeed Howard Davies

NatWest is expected to announce shortly that a former Centrica boss will be its next chair, as the lender continues to deal with the fallout from the scandal surrounding the threatened closure of Nigel Farage’s bank accounts.

Rick Haythornthwaite – who previously chaired Network Rail and Mastercard as well as the British Gas owner and currently leads the boardrooms of Ocado and the AA – could be confirmed as a successor to Howard Davies as early as Wednesday afternoon, the Guardian understands.

Continue reading...

The RBA’s interest rate-rising looks done – and a soft landing for the economy could be on

Posted on by

Australia’s economy might be just where Philip Lowe wants it – barring any nasty surprise – as he hands over to Michele Bullock

As two of Australia’s more contentious figures Philip Lowe and Alan Joyce head towards their gilded departure lounges, the economy seems set in a holding pattern with improving prospects of a desired soft landing.

To be sure, a happy outcome of a jobless rate remaining within cooee of 4%, wages finally catching if not outpacing inflation, and even the federal budget staying in the black a bit longer is far from assured.

Sign up for Guardian Australia’s free morning and afternoon email newsletters for your daily news roundup

Continue reading...

UK banks will have to ensure access to cash within three miles, ministers say

Posted on by

Treasury hints at concessions on guarantee but banks will face fines for falling below minimum service level

High street banks will have to ensure customers can find access to cash within three miles of their local communities, and those falling below the minimum service level will face a fine, the government has confirmed.

After the closure of thousands of local branches in recent years, and the switch to digital payment methods, ministers are looking to banks to help protect vulnerable groups and elderly customers by maintaining present levels of cash access across the UK.

Continue reading...

Bank of Ireland glitch let customers withdraw money they didn’t have

Posted on by

‘Technical issue’ allowed transfers and withdrawals beyond customer limits and made online banking unavailable

Bank of Ireland has apologised for an IT glitch that meant some customers were able to withdraw money they did not have in their accounts at cashpoints.

The bank said it had resolved the “technical issue”, which had also allowed transfers beyond customer limits and had made its online banking and mobile app services unavailable.

Continue reading...

US, UK and Canada impose sanctions on ex-governor of Lebanon’s central bank

Posted on by

Riad Salameh accused of corrupt actions to enrich himself and associates ‘contributing to breakdown of the rule of law’

The US, Britain and Canada have announced sanctions against the former governor of Lebanon’s central bank, Riad Salameh, accusing him of corrupt actions to enrich himself and his associates.

Salameh, in messages to Reuters, denied the allegations made by the three sanctioning countries and said he would challenge them. Some of his assets had already been frozen in previous investigations, he said.

Continue reading...

Commonwealth Bank posts record $10bn profit amid rising stress for borrowers

Posted on by

Annual results for CBA are 6% higher than previous year, buoyed by expanded profit margins during interest rate hikes

Australia’s biggest lender, Commonwealth Bank, has posted a record $10.16bn cash profit, even as more of its customers succumb to rising borrowing rates, prompting a sharp increase in bad debts.

The bank’s 2022-23 results were 6% higher than a year earlier, buoyed by expanding profit margins generated during a period of fast-rising interest rates.

Sign up for Guardian Australia’s free morning and afternoon email newsletters for your daily news roundup

Continue reading...

Italy approves 40% windfall tax on banks for 2023 as profits soar

Posted on by

Proceeds from levy on interest rate income will be used to help mortgage holders and cut taxes

Italy has announced a one-off 40% windfall tax on local banks that have been accused of reaping billions in extra profit from rising interest rates.

The Italian government, which approved the surprise tax in a cabinet meeting on Monday night, said it planned to use the proceeds to support mortgage holders and cut taxes, at a time when rising rates have put extra pressure on households.

Continue reading...

Competition watchdog blocks ANZ $4.9bn takeover of Suncorp over ‘oligopoly’ fears

Posted on by

ACCC says second-tier banks such as Suncorp are important competitors against major banks which dominate market

The competition regulator has declined to give ANZ permission to acquire Suncorp’s banking arm in a $4.9bn transaction that would have shaken up the banking industry.

The Australian Competition and Consumer Commission said on Friday the proposed acquisition would “further entrench an oligopoly” in a sector already dominated by the four major banks.

Sign up for Guardian Australia’s free morning and afternoon email newsletters for your daily news roundup

Continue reading...

Jeremy Hunt requests inquiry into ‘debanking’ of politicians

Posted on by

Chancellor wants Financial Conduct Authority to investigate whether practice is ‘widespread’

Jeremy Hunt has asked the financial regulator to urgently investigate whether banks are barring politicians from accounts on a “widespread” basis, after Nigel Farage had his account shut down by private bank Coutts.

The chancellor said everyone must be able to express their opinions and people must have access to banking.

Continue reading...

HSBC more than doubles profits as interest rates soar

Posted on by

Bank says it earned £17bn in first half and will hand more money back to shareholders

HSBC more than doubled its profits in the first half of the year, as rising interest rates increased returns for the London-headquartered lender.

The bank reported pre-tax profits of $21.7bn (£17bn) in the first six months of 2023, up from $8.8bn during the same period last year, despiteputting aside more money to protect against potential defaults, as rising living costs put pressure on customers’ finances.

Continue reading...

Nigel Farage says new Coutts boss has offered to keep his accounts open

Posted on by

Former Ukip leader is still taking legal action against bank demanding compensation and apology

Nigel Farage has said that the newly installed boss of Coutts has offered to keep his accounts there open, reversing a decision that triggered a scandal and the resignation of the private bank’s previous chief executive.

The former Ukip leader said he welcomed the offer but was still taking legal action against NatWest, which owns Coutts, demanding compensation, a full apology and a face-to-face meeting with the banking group’s bosses.

Continue reading...

UK banks are closing more than 1,000 accounts every day

Posted on by

Nigel Farage calls for royal commission as data shows big jump in customers being ‘debanked’

Banks are closing more than 1,000 accounts every working day, according to new data that has fuelled the growing row over so-called “debanking” and prompted Nigel Farage to call for a royal commission to investigate what he said was a scandal.

Hours after the former Ukip leader revealed he was spearheading a website to campaign on behalf of people whose accounts had been shut, data revealed a big jump in the numbers of customers dumped by their bank.

Continue reading...