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Asia Impact: China lowers GDP target, AIA sale second time lucky for AIG

StanChart compared well with other ASia Giant HSBC but HSBC has outgrown it in Hongkong and Mainland China just by virtue of having been their longer, even with including an almost $3 bln contribution from its business in Bank of Communications where it is the equity partner and also manages Credit Card operations among others. HSBC and StanC are vying with local banksin China to grow the International trade participation on behalf of China corporations in Brazil, an  other trade partners that are growing in the new Yuan trade. It remains to be seen however if they will appear or try to be singnificant in business growing with other Asian denominations like Japan and Korea who are also designing their future around China.

China’s NAtional People’s Congress meets all this week to discuss 2012 business for the Asia nation, old leaders signing off on their reign with a reform agenda to supplicate a “too fast” growth clip .

AIA was one of the few business entities of AIG to grow new business but was tagged to half the sale amount planned in 2010 with a new $6 bln target for AIG to retrieve from a satake sale in its Asia business.

China however, took its first steps in growing its Defence Budget, which including its Space programmea are expected to grow at more than 17% CAGR by Defense writers at IHS Jane. China set its 2012 Defence budget at $110 bln or RMB 670 bln for 2012, and it does not include its new home grown Aviation and Space programmes, in response to Obama’s Defence cuts anchored on a Asia based pivot. US Pentagon estimates another $50 bln in military expenses in China or RMB 1 tln overall.

China also reduced its new GDP target for 2012 to 7.5% , premier Wen Jiabao underlining the growth target with objectives to improve domestic demand, 9 mln jobs in 2012 with urban unemployment and inflation capped at 4% and 4% respectively

RBS found a customer for its Asia assets, CIMB Bank Holdings, Malaysian #2 in Lending planning a new effort to become #1 in the region per se, with purchase of RBS cash equities, corporate finance and ECM business in the region across, Australia, Singapore, Thailand and India, including Hongkong and China. It is expecting to stem an inevitable exodus with incentives for those 550 odd traders and advisors it wants to keep. RBS Morgans owned 50% by RBS and headquartered in Sydney is also included in the deal. the bill is unlikely to exceed $200 mln including costs and any cost plus margin for RBS to retrieve for its $62 bln hole.

Proview remianed a target for Apple even as iPad 3 announcements make it likely it will improve the iPad run rate further from 60 mln iPads this year to even twice that if it can keep up production.

 

 

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One comment on “Asia Impact: China lowers GDP target, AIA sale second time lucky for AIG

  1. Pingback: US Economy: Super Tuesday worms up, Services buoyant, US annual growth 3% | The Banking and Strategy Initiative

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This entry was posted on March 5, 2012 by in Financial Markets and tagged , , , , , , , , .

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