The global recovery continues steadily with the MSCI World Index increasing by 11.3% in the year to date powered by Emerging Markets indices which grew by 14.0%. Markets in the US were given a further boost when Bernanke the Federal Reserve chairman announced that the Fed’s supportive monetary policy would continue to remain in place despite the improving economy.
Britain announced its budget for 2012-2013 with the cut in the top rate of income tax from 50% to 45% making the headlines. Other measures included closing tax loopholes for high earners and lowering corporate income tax rates. The Economist, in their analysis of the budget, argue that the budget should help Britain lure foreign investment. Company incorporation in the UK can be an effective strategy for business operation within the UK and Europe if property structured. Cuts to tax rates is usually a positive incentive for investors.
Dubai has emerged from the financial crisis as one of the world’s leading stock markets with trading volumes increasing eight fold over 5 years. The DFM General Index is the world’s third best performing index this year and has expanded by 22% since the start of the year. To find out more about doing business in Dubai or incorporating a company in Dubai visit our website.
In South East Asia, Thailand’s economy showed signs of recovery after last years devastating floods. Honda Motors announced that it would resume production in Thailand in a couple of weeks. The automotive industry plays a major role in the Thai economy and this development should boost output. Thailand and Google are partnering to introduce Google Street View to key tourist cities of Thailand. People in countries all around the world can view Thailand from their computer screen. This is a great strategy to help convince potential visitors that Thailand is back to normal after their devastating floods last year.
Indonesians are taking to the streets in protest of a proposed fuel price hike. Parliament meets later this week to decide if fuel prices should increase on the back of rising global oil prices. Many protesters are concerned that this could trigger accelerating inflation and adversely affect the poor. Meanwhile Fitch, a ratings agency, backed Singapore’s triple-A rating, highlighting the city-state’s creditworthiness, stability and favourable investment climate.