The Suez Canal, a critical artery for global trade, is experiencing a significant decline in commercial ship transits, reaching the lowest levels since the infamous blockage by the Ever Given almost three years ago.<o:p></o:p>

This is based on a report published by Bloomberg.<o:p></o:p>

Data from the International Monetary Fund and Oxford University reveals that the seven-day moving average of daily Suez crossings has dropped to 49 as of Sunday. <o:p></o:p>

This decline is attributed to attacks on vessels near the Red Sea, prompting a shift in global trade routes to longer and more expensive alternatives.<o:p></o:p>

The seven-day moving average of daily Suez crossings, which includes bulk cargo ships, container carriers, and tankers, has seen a notable decrease from its 2023 peak of 83 transits in late June. <o:p></o:p>

This downturn is also reflected in a year-on-year comparison, with the current average of 49 transits standing lower than the corresponding figure of 70 a year earlier. <o:p></o:p>

The drop in traffic echoes the aftermath of the Ever Given blockage in March 2021, which caused widespread disruptions in supply chains. <o:p></o:p>

A notable consequence of the decreased Suez traffic is the corresponding increase in the number of ships opting for the longer journey around the Cape of Good Hope, near the southern tip of Africa. <o:p></o:p>

The Cape route has become an alternative for vessels rerouting their courses due to the challenges and risks posed by the Red Sea. <o:p></o:p>

Maritime experts emphasise that these diversions not only result in longer voyage durations but also incur higher costs for shipping companies, impacting the overall efficiency of global trade networks.<o:p></o:p>

As the Suez Canal experiences reduced traffic, the Ever Given, the vessel at the centre of the 2021 blockage, has taken an alternative route. <o:p></o:p>

Ship-tracking data reveals that the Ever Given is currently positioned in the middle of the Indian Ocean, heading east toward Sri Lanka. <o:p></o:p>

The ship's journey began in mid-December, coinciding with the onset of diversions prompted by security concerns near the Red Sea. <o:p></o:p>

&nbsp;(With inputs from Bloomberg)<o:p></o:p>

<o:p>&nbsp;</o:p>

The Suez Canal, a critical artery for global trade, is experiencing a significant decline in commercial ship transits, reaching the lowest levels since the infamous blockage by the Ever Given almost three years ago.

The Suez Canal, a critical artery for global trade, is experiencing a significant decline in commercial ship transits, reaching the lowest levels since the infamous blockage by the Ever Given almost three years ago. This is based on a report published by Bloomberg. Data from the International Monetary Fund and Oxford University reveals that the seven-day moving average of daily Suez crossings has dropped to 49 as of Sunday. This decline is attributed to attacks on vessels near the Red Sea, prompting a shift in global trade routes to longer and more expensive alternatives. The seven-day moving average of daily Suez crossings, which includes bulk cargo ships, container carriers, and tankers, has seen a notable decrease from its 2023 peak of 83 transits in late June. This downturn is also reflected in a year-on-year comparison, with the current average of 49 transits standing lower than the corresponding figure of 70 a year earlier. The drop in traffic echoes the aftermath of the Ever Given blockage in March 2021, which caused widespread disruptions in supply chains. A notable consequence of the decreased Suez traffic is the corresponding increase in the number of ships opting for the longer journey around the Cape of Good Hope, near the southern tip of Africa. The Cape route has become an alternative for vessels rerouting their courses due to the challenges and risks posed by the Red Sea. Maritime experts emphasise that these diversions not only result in longer voyage durations but also incur higher costs for shipping companies, impacting the overall efficiency of global trade networks. As the Suez Canal experiences reduced traffic, the Ever Given, the vessel at the centre of the 2021 blockage, has taken an alternative route. Ship-tracking data reveals that the Ever Given is currently positioned in the middle of the Indian Ocean, heading east toward Sri Lanka. The ship's journey began in mid-December, coinciding with the onset of diversions prompted by security concerns near the Red Sea. (With inputs from Bloomberg)

Suez Canal Traffic Nosedives: Global shipping seeks alternate routes amid security concerns

Sheryl Sandberg, the former Chief Operating Officer of Meta Platforms, revealed her intention to step down from the company's board of directors after 12 years of service, as announced in her Facebook post on Wednesday. <o:p></o:p>

Sandberg, a key figure at Meta for over 14 years, emphasised that Meta's business is strong and well-positioned for the future, making this an opportune moment for her departure. <o:p></o:p>

She expressed her commitment to continue serving as an adviser to the company even after her board tenure concludes in May.<o:p></o:p>

Meta CEO Mark Zuckerberg responded to Sandberg's decision, expressing anticipation for "a new chapter together." <o:p></o:p>

Sandberg, once the second-in-command to Zuckerberg, has played a pivotal role in shaping Meta's trajectory and was a prominent figure during her tenure as Chief Operating Officer, overseeing the company's operations for over a decade. <o:p></o:p>

Sandberg decided to step down from her operational role in 2022, marking a significant transition in her longstanding association with Meta.<o:p></o:p>

Sandberg's departure marks the end of an era, given her instrumental role as the lead architect of Meta's ads-based business model. <o:p></o:p>

Throughout the challenges and controversies faced by the company, she remained a steadfast defender of Meta, consistently asserting that lessons were learned from mistakes, and efforts were made to enhance tools for better content moderation. <o:p></o:p>

Before joining Meta, Sheryl Sandberg held prominent roles at Google, where she served as the Vice President of Global Online Sales and Operations.<o:p></o:p>

&nbsp;Her extensive professional journey also includes being the Chief of Staff for the United States Treasury Department under former President Bill Clinton. <o:p></o:p>

A Harvard University graduate, Sandberg is not only recognised for her corporate leadership but is also an accomplished author, known for her influential work, including the feminist manifesto "Lean In: Women, Work, and the Will to Lead," published in 2013.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Sheryl Sandberg, the former Chief Operating Officer of Meta Platforms, revealed her intention to step down from the company's board of directors after 12 years of service, as announced in her Facebook post on Wednesday.

Sheryl Sandberg, the former Chief Operating Officer of Meta Platforms, revealed her intention to step down from the company's board of directors after 12 years of service, as announced in her Facebook post on Wednesday. Sandberg, a key figure at Meta for over 14 years, emphasised that Meta's business is strong and well-positioned for the future, making this an opportune moment for her departure. She expressed her commitment to continue serving as an adviser to the company even after her board tenure concludes in May. Meta CEO Mark Zuckerberg responded to Sandberg's decision, expressing anticipation for "a new chapter together." Sandberg, once the second-in-command to Zuckerberg, has played a pivotal role in shaping Meta's trajectory and was a prominent figure during her tenure as Chief Operating Officer, overseeing the company's operations for over a decade. Sandberg decided to step down from her operational role in 2022, marking a significant transition in her longstanding association with Meta. Sandberg's departure marks the end of an era, given her instrumental role as the lead architect of Meta's ads-based business model. Throughout the challenges and controversies faced by the company, she remained a steadfast defender of Meta, consistently asserting that lessons were learned from mistakes, and efforts were made to enhance tools for better content moderation. Before joining Meta, Sheryl Sandberg held prominent roles at Google, where she served as the Vice President of Global Online Sales and Operations. Her extensive professional journey also includes being the Chief of Staff for the United States Treasury Department under former President Bill Clinton. A Harvard University graduate, Sandberg is not only recognised for her corporate leadership but is also an accomplished author, known for her influential work, including the feminist manifesto "Lean In: Women, Work, and the Will to Lead," published in 2013. (With inputs from Reuters)

Sheryl Sandberg, former COO of Meta Platforms, announces exit from board after 12 years

India is setting its sights on attracting a whopping $100 billion in annual foreign direct investment (FDI) in the coming years, according to Information Technology Minister Ashwini Vaishnaw.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

In an interview at the World Economic Forum in Davos, Vaishnaw outlined a comprehensive growth strategy, foreseeing a consistent growth rate of 6-8 per cent over the next decade. <o:p></o:p>

The strategy revolves around four major engines: investment in physical and digital infrastructure, uplifting the bottom pyramid of the population, boosting manufacturing, and simplifying business processes to enhance the ease of doing business. <o:p></o:p>

Vaishnaw highlighted the key components of India's growth strategy, emphasising the significance of investment in infrastructure, both physical and digital.<o:p></o:p>

"We see 6-8 per cent consistent growth rate over the next full decade, and this is based on a very clearly thought-out strategy," he told Reuters. <o:p></o:p>

Foreign direct investment is a pivotal aspect of this plan, and Vaishnaw expressed optimism, asserting that India is now perceived as the "most important investment destination" by global investors. <o:p></o:p>

Despite previous critiques of Modi's protectionist policies, foreign investors, including major players like Apple, Samsung, Kia, and Airbus, have made substantial investments in India.<o:p></o:p>

India has been a magnet for foreign investment since Prime Minister Narendra Modi assumed office in 2014. Despite occasional criticism of protectionist policies, the country recorded FDI inflows of $33 billion in the first half of the current financial year and $71 billion in the 2022-23 financial year. <o:p></o:p>

The ambitious target of $100 billion in annual FDI is aimed at sustaining India's economic growth, which is projected to be the highest among major global economies at 7.3 per cent for the current financial year. <o:p></o:p>

This move aligns with Prime Minister Modi's efforts to attract investors ahead of the upcoming elections, addressing crucial issues such as unemployment among the youth.<o:p></o:p>

Vaishnaw drew a parallel with China's success in consistently attracting substantial FDI over more than a decade. <o:p></o:p>

He emphasised that investors now view India as the "most important investment destination". <o:p></o:p>

While India has made significant strides in various sectors, Vaishnaw underscored his role in overseeing India's push to become a powerhouse in electronics manufacturing, aligning with Modi's broader business agenda. <o:p></o:p>

He also highlighted ongoing efforts to enhance collaboration with Apple, aiming to boost the company's manufacturing and retail presence in India, where it currently contributes to approximately 12-14 per cent of global iPhone shipments.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

India is setting its sights on attracting a whopping $100 billion in annual foreign direct investment (FDI) in the coming years, according to Information Technology Minister Ashwini Vaishnaw.

India is setting its sights on attracting a whopping $100 billion in annual foreign direct investment (FDI) in the coming years, according to Information Technology Minister Ashwini Vaishnaw. This is based on a Reuters report. In an interview at the World Economic Forum in Davos, Vaishnaw outlined a comprehensive growth strategy, foreseeing a consistent growth rate of 6-8 per cent over the next decade. The strategy revolves around four major engines: investment in physical and digital infrastructure, uplifting the bottom pyramid of the population, boosting manufacturing, and simplifying business processes to enhance the ease of doing business. Vaishnaw highlighted the key components of India's growth strategy, emphasising the significance of investment in infrastructure, both physical and digital. "We see 6-8 per cent consistent growth rate over the next full decade, and this is based on a very clearly thought-out strategy," he told Reuters. Foreign direct investment is a pivotal aspect of this plan, and Vaishnaw expressed optimism, asserting that India is now perceived as the "most important investment destination" by global investors. Despite previous critiques of Modi's protectionist policies, foreign investors, including major players like Apple, Samsung, Kia, and Airbus, have made substantial investments in India. India has been a magnet for foreign investment since Prime Minister Narendra Modi assumed office in 2014. Despite occasional criticism of protectionist policies, the country recorded FDI inflows of $33 billion in the first half of the current financial year and $71 billion in the 2022-23 financial year. The ambitious target of $100 billion in annual FDI is aimed at sustaining India's economic growth, which is projected to be the highest among major global economies at 7.3 per cent for the current financial year. This move aligns with Prime Minister Modi's efforts to attract investors ahead of the upcoming elections, addressing crucial issues such as unemployment among the youth. Vaishnaw drew a parallel with China's success in consistently attracting substantial FDI over more than a decade. He emphasised that investors now view India as the "most important investment destination". While India has made significant strides in various sectors, Vaishnaw underscored his role in overseeing India's push to become a powerhouse in electronics manufacturing, aligning with Modi's broader business agenda. He also highlighted ongoing efforts to enhance collaboration with Apple, aiming to boost the company's manufacturing and retail presence in India, where it currently contributes to approximately 12-14 per cent of global iPhone shipments. (With inputs from Reuters)

India seeks $100 billion in annual FDI in coming years: Minister

In the bustling metropolis of Shanghai, the economic downturn in China is leaving a profound impact on the aspirations of its youth, Reuters reported.<o:p></o:p>

Melody Zhang, a recent graduate from Renmin University, experienced the harsh reality of the job market, shedding tears the night before China's civil service exam. With over 2.6 million applicants vying for a mere 39,600 government positions, Zhang's dreams of a media career were shattered. <o:p></o:p>

In the midst of a youth unemployment crisis, she remarked, "We were born in the wrong era."<o:p></o:p>

Economics professor Zhu Tian from China Europe International Business School in Shanghai is among those who argue that China is already in a recession. Despite the nation's 5.2 per cent economic growth last year, many feel the pinch of unemployment and decreasing income. <o:p></o:p>

Zhu emphasizes the need for urgent stimulus measures to break the potentially vicious cycle of low confidence, especially affecting the younger generation entering the job market. <o:p></o:p>

Vanishing aspirations and shifting job landscape<o:p></o:p>

China's Generation Z, comprising those aged 16-24, faces a pessimistic job market. In June, over one in four Chinese in this age group were unemployed, with the latest data in December showing a youth unemployment rate of 14.9 per cent. <o:p></o:p>

Those fortunate enough to secure jobs often earn less than expected due to cost-cutting measures by businesses responding to poor domestic demand. Reuters cited Janice Zhang, who worked in the tech industry, lamenting that the state of the economy makes her feel like a "grain of sand on the beach," unable to control her own destiny.<o:p></o:p>

China's economic success, which expanded significantly since the 1980s, is facing a historical shift in mood. The country's model of massive investments in manufacturing and infrastructure has led to a debt burden that is challenging to sustain. <o:p></o:p>

Regulatory crackdowns on finance, technology, and education, coupled with subdued household consumption, have further limited opportunities for high-skilled jobs in the services sector. <o:p></o:p>

Property crisis and middle-income trap<o:p></o:p>

The property market in China is grappling with a crisis as 96 per cent of urban households owned at least one apartment in 2019. With property values plummeting in some cities since 2021, many homeowners feel less wealthy, resulting in reduced spending. <o:p></o:p>

Vincent Li, owner of a high-end coffee shop in Shanghai, shares his experience of the property market saturation, stating that cheaper coffee is preferred as Chinese consumers cut spending. <o:p></o:p>

The property sector, which once contributed a quarter of economic activity, is now seen as a major threat to China's attempts to escape the middle-income trap.<o:p></o:p>

Diplomatic tensions impacting businesses<o:p></o:p>

Beyond domestic challenges, diplomatic tensions between China and the West are causing disruptions. David Fincher, owner of a consultancy in Shanghai, faces challenges due to US tech restrictions on China, preventing his business from engaging in leading-edge semiconductors. <o:p></o:p>

Concerns about potential diplomatic tensions and regulatory shifts are prompting Fincher to consider moving his business overseas. Reflecting on the situation, he told Reuters, "You feel like a lobster in a pot. The water gets hotter, and you just kind of sit there."<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

In the bustling metropolis of Shanghai, the economic downturn in China is leaving a profound impact on the aspirations of its youth, Reuters reported. Melody Zhang, a recent graduate from Renmin University, experienced the harsh reality of the job market, shedding tears the night before China's civil service exam.

In the bustling metropolis of Shanghai, the economic downturn in China is leaving a profound impact on the aspirations of its youth, Reuters reported. Melody Zhang, a recent graduate from Renmin University, experienced the harsh reality of the job market, shedding tears the night before China's civil service exam. With over 2.6 million applicants vying for a mere 39,600 government positions, Zhang's dreams of a media career were shattered. In the midst of a youth unemployment crisis, she remarked, "We were born in the wrong era." Economics professor Zhu Tian from China Europe International Business School in Shanghai is among those who argue that China is already in a recession. Despite the nation's 5.2 per cent economic growth last year, many feel the pinch of unemployment and decreasing income. Zhu emphasizes the need for urgent stimulus measures to break the potentially vicious cycle of low confidence, especially affecting the younger generation entering the job market. Vanishing aspirations and shifting job landscape China's Generation Z, comprising those aged 16-24, faces a pessimistic job market. In June, over one in four Chinese in this age group were unemployed, with the latest data in December showing a youth unemployment rate of 14.9 per cent. Those fortunate enough to secure jobs often earn less than expected due to cost-cutting measures by businesses responding to poor domestic demand. Reuters cited Janice Zhang, who worked in the tech industry, lamenting that the state of the economy makes her feel like a "grain of sand on the beach," unable to control her own destiny. China's economic success, which expanded significantly since the 1980s, is facing a historical shift in mood. The country's model of massive investments in manufacturing and infrastructure has led to a debt burden that is challenging to sustain. Regulatory crackdowns on finance, technology, and education, coupled with subdued household consumption, have further limited opportunities for high-skilled jobs in the services sector. Property crisis and middle-income trap The property market in China is grappling with a crisis as 96 per cent of urban households owned at least one apartment in 2019. With property values plummeting in some cities since 2021, many homeowners feel less wealthy, resulting in reduced spending. Vincent Li, owner of a high-end coffee shop in Shanghai, shares his experience of the property market saturation, stating that cheaper coffee is preferred as Chinese consumers cut spending. The property sector, which once contributed a quarter of economic activity, is now seen as a major threat to China's attempts to escape the middle-income trap. Diplomatic tensions impacting businesses Beyond domestic challenges, diplomatic tensions between China and the West are causing disruptions. David Fincher, owner of a consultancy in Shanghai, faces challenges due to US tech restrictions on China, preventing his business from engaging in leading-edge semiconductors. Concerns about potential diplomatic tensions and regulatory shifts are prompting Fincher to consider moving his business overseas. Reflecting on the situation, he told Reuters, "You feel like a lobster in a pot. The water gets hotter, and you just kind of sit there." (With inputs from Reuters)

China's Economic Downturn: A looming recession shadows aspirations and property markets

In a significant development at the World Economic Forum in Davos, Western officials expressed openness to the idea of confiscating around $300 billion of Russian assets to support Ukraine.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

The move comes in response to President Vladimir Putin's deployment of troops into Ukraine in 2022, prompting the United States and its allies to impose sanctions, blocking significant sovereign Russian assets in the West. While the proposition is under consideration, officials caution that navigating the legal intricacies and determining the impact on the global financial system present formidable challenges.<o:p></o:p>

Legal complexities and potential limitations<o:p></o:p>

Addressing the complexities involved in seizing Russian assets, Penny Pritzker, US special representative for Ukraine's economic recovery, emphasised the need for legal scrutiny and collective decision-making.<o:p></o:p>

"No decisions have been made. It's a misperception to think this is going to be a panacea effect. There's real effort going on, but we are far from a conclusion,” Reuters quoted her as saying.<o:p></o:p>

Russia, not represented at Davos, has voiced its opposition, arguing that such confiscation contradicts free-market principles. The Kremlin has warned of reciprocal actions, threatening to seize US, European, and other assets in retaliation.<o:p></o:p>

Janet Yellen's concerns and mitigation efforts<o:p></o:p>

US Treasury Secretary Janet Yellen, who has consistently expressed concerns about the legal authority for confiscating Russian assets, recently embraced exploring seizure options based on international law.<o:p></o:p>

According to Reuters, Yellen highlighted the challenges, stating, "It would be a question of understanding and seeing if mitigation could be put in place and seeing if the G7 could agree on international law rationale." <o:p></o:p>

Some officials worry about potential repercussions on storing reserves in dollars or euros. Seizing Russian assets invested in government bonds could pose risks to the willingness of central banks to store reserves with each other.<o:p></o:p>

Belgian Prime Minister's Perspective<o:p></o:p>

Belgian Prime Minister Alexander De Croo expressed a nuanced stance, not opposing asset confiscation but emphasising the necessity of a clear mechanism. He suggested a potential avenue by stating, "For example, they can be used as collateral for raising funds for Ukraine." <o:p></o:p>

De Croo conveyed openness to further discussions and participation in finding a legal basis for transferring the assets to Ukraine without destabilising the global financial system. Acknowledging the complexity of the situation, he highlighted the need for a structured approach and proposed utilising any taxable revenue for the benefit of Ukraine.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

In a significant development at the World Economic Forum in Davos, Western officials expressed openness to the idea of confiscating around $300 billion of Russian assets to support Ukraine.

In a significant development at the World Economic Forum in Davos, Western officials expressed openness to the idea of confiscating around $300 billion of Russian assets to support Ukraine. This is based on a Reuters report. The move comes in response to President Vladimir Putin's deployment of troops into Ukraine in 2022, prompting the United States and its allies to impose sanctions, blocking significant sovereign Russian assets in the West. While the proposition is under consideration, officials caution that navigating the legal intricacies and determining the impact on the global financial system present formidable challenges. Legal complexities and potential limitations Addressing the complexities involved in seizing Russian assets, Penny Pritzker, US special representative for Ukraine's economic recovery, emphasised the need for legal scrutiny and collective decision-making. "No decisions have been made. It's a misperception to think this is going to be a panacea effect. There's real effort going on, but we are far from a conclusion,” Reuters quoted her as saying. Russia, not represented at Davos, has voiced its opposition, arguing that such confiscation contradicts free-market principles. The Kremlin has warned of reciprocal actions, threatening to seize US, European, and other assets in retaliation. Janet Yellen's concerns and mitigation efforts US Treasury Secretary Janet Yellen, who has consistently expressed concerns about the legal authority for confiscating Russian assets, recently embraced exploring seizure options based on international law. According to Reuters, Yellen highlighted the challenges, stating, "It would be a question of understanding and seeing if mitigation could be put in place and seeing if the G7 could agree on international law rationale." Some officials worry about potential repercussions on storing reserves in dollars or euros. Seizing Russian assets invested in government bonds could pose risks to the willingness of central banks to store reserves with each other. Belgian Prime Minister's Perspective Belgian Prime Minister Alexander De Croo expressed a nuanced stance, not opposing asset confiscation but emphasising the necessity of a clear mechanism. He suggested a potential avenue by stating, "For example, they can be used as collateral for raising funds for Ukraine." De Croo conveyed openness to further discussions and participation in finding a legal basis for transferring the assets to Ukraine without destabilising the global financial system. Acknowledging the complexity of the situation, he highlighted the need for a structured approach and proposed utilising any taxable revenue for the benefit of Ukraine. (With inputs from Reuters)

Western officials explore confiscating $300 bn Russian assets: Report

Coinbase, the world's largest publicly traded cryptocurrency exchange, is set to confront the US Securities and Exchange Commission (SEC) in federal court over the regulator's asserted authority in the crypto space. <o:p></o:p>

The court hearing, scheduled for Wednesday, will be a pivotal moment in the ongoing legal tussle, with Coinbase arguing that the SEC should drop its case. <o:p></o:p>

The central contention is that the tokens traded on Coinbase's platform should not be classified as securities, challenging the SEC's jurisdiction over the rapidly evolving digital asset landscape.<o:p></o:p>

Coinbase plans to underscore a fundamental argument in its defense: that the SEC is overreaching its regulatory boundaries. The exchange asserts that the crypto assets it lists for trading are distinct from traditional securities like stocks and bonds, emphasising that the SEC's attempt to oversee these assets constitutes an overstep. <o:p></o:p>

This perspective aligns with the broader sentiment within the crypto industry, where various firms share similar views on the need for a more nuanced regulatory framework tailored to the unique characteristics of digital assets.<o:p></o:p>

The SEC initiated legal action against Coinbase in June, accusing the platform of facilitating the trading of crypto tokens that, according to the regulator, should have been registered as securities. The SEC contended that Coinbase was operating illegally as a national securities exchange, broker, and clearing agency without proper registration.<o:p></o:p>

&nbsp;Additionally, the regulator targeted Coinbase's "staking" program, arguing that it should have been registered with the agency. Coinbase's response, expected to be reiterated in the court hearing, is rooted in its assertion that the SEC's claims are unfounded, emphasising distinctions between crypto assets and traditional securities.<o:p></o:p>

The outcome of this legal battle holds far-reaching implications for the broader crypto sector. The case may provide clarity on the SEC's jurisdiction over digital assets, affecting how various crypto platforms operate and whether they fall under traditional securities regulations. <o:p></o:p>

Coinbase's strategy to challenge the SEC's authority is part of a broader resistance within the crypto industry against the SEC's characterisation of many crypto assets as securities.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Coinbase, the world's largest publicly traded cryptocurrency exchange, is set to confront the US Securities and Exchange Commission (SEC) in federal court over the regulator's asserted authority in the crypto space.

Coinbase, the world's largest publicly traded cryptocurrency exchange, is set to confront the US Securities and Exchange Commission (SEC) in federal court over the regulator's asserted authority in the crypto space. The court hearing, scheduled for Wednesday, will be a pivotal moment in the ongoing legal tussle, with Coinbase arguing that the SEC should drop its case. The central contention is that the tokens traded on Coinbase's platform should not be classified as securities, challenging the SEC's jurisdiction over the rapidly evolving digital asset landscape. Coinbase plans to underscore a fundamental argument in its defense: that the SEC is overreaching its regulatory boundaries. The exchange asserts that the crypto assets it lists for trading are distinct from traditional securities like stocks and bonds, emphasising that the SEC's attempt to oversee these assets constitutes an overstep. This perspective aligns with the broader sentiment within the crypto industry, where various firms share similar views on the need for a more nuanced regulatory framework tailored to the unique characteristics of digital assets. The SEC initiated legal action against Coinbase in June, accusing the platform of facilitating the trading of crypto tokens that, according to the regulator, should have been registered as securities. The SEC contended that Coinbase was operating illegally as a national securities exchange, broker, and clearing agency without proper registration. Additionally, the regulator targeted Coinbase's "staking" program, arguing that it should have been registered with the agency. Coinbase's response, expected to be reiterated in the court hearing, is rooted in its assertion that the SEC's claims are unfounded, emphasising distinctions between crypto assets and traditional securities. The outcome of this legal battle holds far-reaching implications for the broader crypto sector. The case may provide clarity on the SEC's jurisdiction over digital assets, affecting how various crypto platforms operate and whether they fall under traditional securities regulations. Coinbase's strategy to challenge the SEC's authority is part of a broader resistance within the crypto industry against the SEC's characterisation of many crypto assets as securities. (With inputs from Reuters)

Coinbase challenges SEC's authority in landmark court battle

Verizon, the US telecom giant, announced a huge hit to its fourth-quarter earnings, revealing a $5.8 billion write-down attributed to the devaluation of its declining wireline business. <o:p></o:p>

According to Reuters, this move comes as part of Verizon's strategic reassessment of its Business unit, a key segment catering to businesses and government clients.<o:p></o:p>

&nbsp;The wireline business, encompassing traditional voice and data services, has faced considerable challenges stemming from intense competition, economic uncertainties, and the ongoing industry-wide shift toward wireless services.<o:p></o:p>

Verizon's decision to re-evaluate its Business unit underscores the persistent challenges in the wireline business, which has experienced a decline in revenue. <o:p></o:p>

The five-year review prompted a downward adjustment in the financial projections for this unit, which contributes to over a fifth of Verizon's overall revenue. <o:p></o:p>

The competitive landscape, economic conditions, and the increasing popularity of wireless alternatives have collectively impacted the wireline segment. <o:p></o:p>

As a result, Verizon has recalibrated the value of its Business unit.<o:p></o:p>

After the $5.8 billion write-down, the goodwill balance of the wireline unit stood at $1.7 billion as of December 31. <o:p></o:p>

Verizon's shares responded to the announcement with a decline of over 1 per cent. <o:p></o:p>

Verizon's upcoming fourth-quarter results, scheduled for release on January 23, will provide a detailed overview of the impact of this strategic move on its overall financial performance.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Verizon, the US telecom giant, announced a huge hit to its fourth-quarter earnings, revealing a $5.8 billion write-down attributed to the devaluation of its declining wireline business.

Verizon, the US telecom giant, announced a huge hit to its fourth-quarter earnings, revealing a $5.8 billion write-down attributed to the devaluation of its declining wireline business. According to Reuters, this move comes as part of Verizon's strategic reassessment of its Business unit, a key segment catering to businesses and government clients. The wireline business, encompassing traditional voice and data services, has faced considerable challenges stemming from intense competition, economic uncertainties, and the ongoing industry-wide shift toward wireless services. Verizon's decision to re-evaluate its Business unit underscores the persistent challenges in the wireline business, which has experienced a decline in revenue. The five-year review prompted a downward adjustment in the financial projections for this unit, which contributes to over a fifth of Verizon's overall revenue. The competitive landscape, economic conditions, and the increasing popularity of wireless alternatives have collectively impacted the wireline segment. As a result, Verizon has recalibrated the value of its Business unit. After the $5.8 billion write-down, the goodwill balance of the wireline unit stood at $1.7 billion as of December 31. Verizon's shares responded to the announcement with a decline of over 1 per cent. Verizon's upcoming fourth-quarter results, scheduled for release on January 23, will provide a detailed overview of the impact of this strategic move on its overall financial performance. (With inputs from Reuters)

Verizon faces $5.8 billion write-down as wireline business struggles

Google announced on Tuesday that the company would be&nbsp;laying off hundreds of employees within its advertising sales team.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

This comes on the heels of recent job cuts at Google, including in its Voice Assistant units, hardware teams for Pixel, Nest, and Fitbit, as well as the augmented reality team.<o:p></o:p>

Google is reshaping its structure, with a focus on the customer solutions unit, serving medium-level advertiser clients, as the core team for future growth.<o:p></o:p>

The decision to reduce the workforce aligns with the broader industry trend as companies seek to integrate Artificial Intelligence (AI) software and automation to enhance efficiency. <o:p></o:p>

Google, once considered a pioneer in AI research, recently unveiled its long-awaited AI model, Gemini, in a move to catch up with its competitors, particularly Microsoft, in the rapidly evolving AI landscape.<o:p></o:p>

While specific details about the number of employees affected remain undisclosed, the move is in line with Google's strategic shift in organisational focus. <o:p></o:p>

The restructuring aims to position the customer solutions unit as the primary driver for growth, signalling a targeted approach in serving medium-level advertisers.<o:p></o:p>

The job cuts at Google are not isolated, as similar measures have been observed across the tech industry. <o:p></o:p>

Amazon, a major player in the tech landscape, recently announced layoffs in its streaming and studio operations, along with workforce reductions at its video streaming platform, Twitch. <o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Google announced on Tuesday that the company would be laying off hundreds of employees within its advertising sales team. This is based on a Reuters report. This comes on the heels of recent job cuts at Google, including in its Voice Assistant units, hardware teams for Pixel, Nest, and Fitbit, as well as the augmented reality team.

Google announced on Tuesday that the company would be laying off hundreds of employees within its advertising sales team. This is based on a Reuters report. This comes on the heels of recent job cuts at Google, including in its Voice Assistant units, hardware teams for Pixel, Nest, and Fitbit, as well as the augmented reality team. Google is reshaping its structure, with a focus on the customer solutions unit, serving medium-level advertiser clients, as the core team for future growth. The decision to reduce the workforce aligns with the broader industry trend as companies seek to integrate Artificial Intelligence (AI) software and automation to enhance efficiency. Google, once considered a pioneer in AI research, recently unveiled its long-awaited AI model, Gemini, in a move to catch up with its competitors, particularly Microsoft, in the rapidly evolving AI landscape. While specific details about the number of employees affected remain undisclosed, the move is in line with Google's strategic shift in organisational focus. The restructuring aims to position the customer solutions unit as the primary driver for growth, signalling a targeted approach in serving medium-level advertisers. The job cuts at Google are not isolated, as similar measures have been observed across the tech industry. Amazon, a major player in the tech landscape, recently announced layoffs in its streaming and studio operations, along with workforce reductions at its video streaming platform, Twitch. (With inputs from Reuters)

Google implements significant job cuts in advertising sales team amid AI adoption

Chip design software maker Synopsys announced on Tuesday that it would acquire Ansys in a monumental $35 billion cash-and-stock deal, solidifying its position in the technology sector.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

This deal, representing the most substantial acquisition in the tech domain since Broadcom's takeover of VMware last November, reflects the strategic moves by companies amid&nbsp;a surge in economic sentiment and regulatory dynamics.<o:p></o:p>

The deal, boasting a per-share value of $390.19, signifies a premium of approximately 29 per cent over Ansys' last close on December 21, 2023. <o:p></o:p>

The acquisition will create a significant player in the highly consolidated business software sector, introducing regulatory uncertainties. <o:p></o:p>

Synopsys shares rose by 3.8 per cent to $513 after the announcement, while Ansys shares experienced a 4.8 per cent dip to $329.86.<o:p></o:p>

Reuters cited Synopsys CEO Sassine Ghazi, who emphasised the market demand for an integrated solution, stating, "Today, if you talk to a silicon company, their ability to continue innovating... is limited by not having a solution that is integrated." <o:p></o:p>

Ghazi highlighted the complementary nature of Synopsys, focusing on chip design, and Ansys, specialising in software for evaluating larger electronic systems. <o:p></o:p>

The deal comes on the heels of Synopsys co-founder Aart de Geus passing the CEO reins to Sassine Ghazi just two weeks ago.<o:p></o:p>

Ansys CEO Ajei Gopal and Synopsys CEO Sassine Ghazi acknowledged potential regulatory scrutiny, especially in critical markets like China. <o:p></o:p>

Both companies have retained independent advisers to evaluate regulatory risks. <o:p></o:p>

Ghazi expressed confidence in completing the deal within the first half of 2025, stating, "Based on many, many, many discussions, we believe that this deal should be done in the first half of '25."<o:p></o:p>

Synopsys and Ansys, both benefiting from the AI boom, initiated their partnership in 2017, offering solutions for chip designers to analyse chips for quality standards. <o:p></o:p>

The transaction is expected to enhance Synopsys' adjusted earnings within the second full year post-closing, with substantial accretion thereafter. <o:p></o:p>

However, specific circumstances, including antitrust hurdles, could lead to a termination fee of $1.5 billion from Synopsys to Ansys. <o:p></o:p>

If Ansys accepts a superior proposal, it will be obligated to pay Synopsys $950 million.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Chip design software maker Synopsys announced on Tuesday that it would acquire Ansys in a monumental $35 billion cash-and-stock deal, solidifying its position in the technology sector.

Chip design software maker Synopsys announced on Tuesday that it would acquire Ansys in a monumental $35 billion cash-and-stock deal, solidifying its position in the technology sector. This is based on a Reuters report. This deal, representing the most substantial acquisition in the tech domain since Broadcom's takeover of VMware last November, reflects the strategic moves by companies amid a surge in economic sentiment and regulatory dynamics. The deal, boasting a per-share value of $390.19, signifies a premium of approximately 29 per cent over Ansys' last close on December 21, 2023. The acquisition will create a significant player in the highly consolidated business software sector, introducing regulatory uncertainties. Synopsys shares rose by 3.8 per cent to $513 after the announcement, while Ansys shares experienced a 4.8 per cent dip to $329.86. Reuters cited Synopsys CEO Sassine Ghazi, who emphasised the market demand for an integrated solution, stating, "Today, if you talk to a silicon company, their ability to continue innovating... is limited by not having a solution that is integrated." Ghazi highlighted the complementary nature of Synopsys, focusing on chip design, and Ansys, specialising in software for evaluating larger electronic systems. The deal comes on the heels of Synopsys co-founder Aart de Geus passing the CEO reins to Sassine Ghazi just two weeks ago. Ansys CEO Ajei Gopal and Synopsys CEO Sassine Ghazi acknowledged potential regulatory scrutiny, especially in critical markets like China. Both companies have retained independent advisers to evaluate regulatory risks. Ghazi expressed confidence in completing the deal within the first half of 2025, stating, "Based on many, many, many discussions, we believe that this deal should be done in the first half of '25." Synopsys and Ansys, both benefiting from the AI boom, initiated their partnership in 2017, offering solutions for chip designers to analyse chips for quality standards. The transaction is expected to enhance Synopsys' adjusted earnings within the second full year post-closing, with substantial accretion thereafter. However, specific circumstances, including antitrust hurdles, could lead to a termination fee of $1.5 billion from Synopsys to Ansys. If Ansys accepts a superior proposal, it will be obligated to pay Synopsys $950 million. (With inputs from Reuters)

Synopsys to acquire Ansys in $35 billion mega-deal: Report

British energy giant, Shell, is set to conclude nearly a century of onshore oil and gas operations in Nigeria, announcing the sale of its subsidiary to a consortium of mostly local companies for up to $2.4 billion.<o:p></o:p>

This is based on a Reuters report.<o:p></o:p>

This move comes after years of struggles with onshore oil spills due to theft, sabotage, and operational issues that led to costly repairs and legal challenges. <o:p></o:p>

Shell has been actively seeking to sell its Nigerian onshore assets since 2021 but will continue its presence in Nigeria's more lucrative and less problematic offshore sector.<o:p></o:p>

The sale involves The Shell Petroleum Development Company of Nigeria Limited (SPDC) and is valued at $1.3 billion, with the buyers making an additional payment of up to $1.1 billion relating to prior receivables at completion. <o:p></o:p>

The Renaissance consortium, comprising ND Western, Aradel Energy, First E&amp;P, Waltersmith, and Petrolin, a Swiss-based trading and investment company, will take over responsibility for handling spills, theft, and sabotage. <o:p></o:p>

However, the sale requires approval from the Nigerian government.<o:p></o:p>

Reuters cited Zoë Yujnovich, Shell's head of upstream, who highlighted the significance of the agreement, stating, "This agreement marks an important milestone for Shell in Nigeria, aligning with our previously announced intent to exit onshore oil production in the Niger Delta, simplifying our portfolio, and focusing future disciplined investment in Nigeria on our Deepwater and Integrated Gas positions." <o:p></o:p>

Yujnovich emphasised Shell's commitment to a disciplined investment strategy in Nigeria's offshore sector.<o:p></o:p>

The sale of onshore assets is part of a broader trend where western energy companies, including Exxon Mobil, Eni, and Equinor, are retreating from Nigeria to concentrate on more profitable operations. <o:p></o:p>

While Shell will part ways with onshore operations, it will retain other assets, including a liquefied natural gas plant, in Nigeria. <o:p></o:p>

Nnimmo Bassey, Executive Director of the Nigerian advocacy group Health of Mother Earth Foundation, stressed that Shell must take responsibility for the environmental damage caused by spills. <o:p></o:p>

"Shell must own up to its responsibility. This means full payment for the remediation and restoration of the polluted areas as well as reparations to the host communities. They cannot walk away from the virtually irreparable harm they have caused," he told Reuters.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

British energy giant, Shell, is set to conclude nearly a century of onshore oil and gas operations in Nigeria, announcing the sale of its subsidiary to a consortium of mostly local companies for up to $2.

British energy giant, Shell, is set to conclude nearly a century of onshore oil and gas operations in Nigeria, announcing the sale of its subsidiary to a consortium of mostly local companies for up to $2.4 billion. This is based on a Reuters report. This move comes after years of struggles with onshore oil spills due to theft, sabotage, and operational issues that led to costly repairs and legal challenges. Shell has been actively seeking to sell its Nigerian onshore assets since 2021 but will continue its presence in Nigeria's more lucrative and less problematic offshore sector. The sale involves The Shell Petroleum Development Company of Nigeria Limited (SPDC) and is valued at $1.3 billion, with the buyers making an additional payment of up to $1.1 billion relating to prior receivables at completion. The Renaissance consortium, comprising ND Western, Aradel Energy, First E&P, Waltersmith, and Petrolin, a Swiss-based trading and investment company, will take over responsibility for handling spills, theft, and sabotage. However, the sale requires approval from the Nigerian government. Reuters cited Zoë Yujnovich, Shell's head of upstream, who highlighted the significance of the agreement, stating, "This agreement marks an important milestone for Shell in Nigeria, aligning with our previously announced intent to exit onshore oil production in the Niger Delta, simplifying our portfolio, and focusing future disciplined investment in Nigeria on our Deepwater and Integrated Gas positions." Yujnovich emphasised Shell's commitment to a disciplined investment strategy in Nigeria's offshore sector. The sale of onshore assets is part of a broader trend where western energy companies, including Exxon Mobil, Eni, and Equinor, are retreating from Nigeria to concentrate on more profitable operations. While Shell will part ways with onshore operations, it will retain other assets, including a liquefied natural gas plant, in Nigeria. Nnimmo Bassey, Executive Director of the Nigerian advocacy group Health of Mother Earth Foundation, stressed that Shell must take responsibility for the environmental damage caused by spills. "Shell must own up to its responsibility. This means full payment for the remediation and restoration of the polluted areas as well as reparations to the host communities. They cannot walk away from the virtually irreparable harm they have caused," he told Reuters. (With inputs from Reuters)

Shell bids farewell to onshore oil in Nigeria after almost a century

State-run oil companies in India are considering a significant reduction in petrol and diesel prices next month following robust third-quarter results that are expected to surpass a combined net profit of ₹75,000 crore. <o:p></o:p>

According to a Hindustan Times report, the oil marketing companies (OMCs) have abstained from altering prices since April 2022, but with crude oil costs softening, a comprehensive pricing review is imminent. Officials suggest that the OMCs may be sitting on margins of ₹10 per litre, which could potentially be passed on to consumers. This move aims to alleviate inflation concerns and could have political ramifications ahead of the 2024 General Elections.<o:p></o:p>

The government, as the promoter and majority stakeholder in all three OMCs, might witness a change in petrol and diesel rates, hinting at a possible reduction of ₹5 to ₹10 per litre. <o:p></o:p>

Analysts project a continuation of the trend seen in the first two quarters of the financial year 2023-24 when the OMCs recorded significant profits due to higher marketing margins. The decision will be made after the release of the third-quarter results later this month, following consultations with stakeholders.<o:p></o:p>

In the first half of the financial year 2023-24, the three state-run oil companies reported a combined net profit of ₹57,091.87 crore, representing a 4,917 per cent increase compared to the entire financial year of 2022-23. <o:p></o:p>

The net profits, likely to be revealed in the upcoming results, could influence the decision to decrease fuel prices. Hindustan Petroleum Corporation Ltd (HPCL) is scheduled to announce its Q3 results on January 27, while Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Ltd (BPCL) are expected to follow suit around the same time.<o:p></o:p>

Despite the government's control over public sector OMCs, the companies have the flexibility to adjust fuel prices. The OMCs, holding a monopoly with over 90 per cent market share in domestic fuel retail, also influence pricing strategies adopted by private retailers. <o:p></o:p>

The potential reduction in fuel prices is seen as a proactive measure to manage inflation, which rose marginally to a four-month high of 5.69 per cent in December 2023. Analysts expect the government to make all efforts to keep inflation below the Reserve Bank of India's upper tolerance limit of 6 per cent.<o:p></o:p>

Since April 6, 2022, OMCs have maintained a freeze on petrol and diesel rates, responding to volatility in international oil prices. However, with the government's reduction in excise duty twice, a considerable price hike was avoided during periods of surging crude purchase prices. <o:p></o:p>

The subsequent decline in average oil prices of the Indian basket, coupled with a moderation in oil prices since September 2023, has contributed to the profitability of OMCs.<o:p></o:p>

The sustained downward trend in fuel rates, attributed to lower crude oil prices, is reflected not only in petrol and diesel but also in deregulated fuel products. Experts suggest that the gradual decline in windfall taxes on diesel exports, from ₹6 a litre since September 2023 to zero, and the removal of taxes on petrol and aviation turbine fuel (ATF) contribute to the favourable environment.<o:p></o:p>

Additionally, the windfall tax on domestically produced crude oil was recently reduced to ₹1,700 per tonne due to the softening of international oil prices.<o:p></o:p>

State-run oil companies in India are considering a significant reduction in petrol and diesel prices next month following robust third-quarter results that are expected to surpass a combined net profit of ₹75,000 crore.

State-run oil companies in India are considering a significant reduction in petrol and diesel prices next month following robust third-quarter results that are expected to surpass a combined net profit of ₹75,000 crore. According to a Hindustan Times report, the oil marketing companies (OMCs) have abstained from altering prices since April 2022, but with crude oil costs softening, a comprehensive pricing review is imminent. Officials suggest that the OMCs may be sitting on margins of ₹10 per litre, which could potentially be passed on to consumers. This move aims to alleviate inflation concerns and could have political ramifications ahead of the 2024 General Elections. The government, as the promoter and majority stakeholder in all three OMCs, might witness a change in petrol and diesel rates, hinting at a possible reduction of ₹5 to ₹10 per litre. Analysts project a continuation of the trend seen in the first two quarters of the financial year 2023-24 when the OMCs recorded significant profits due to higher marketing margins. The decision will be made after the release of the third-quarter results later this month, following consultations with stakeholders. In the first half of the financial year 2023-24, the three state-run oil companies reported a combined net profit of ₹57,091.87 crore, representing a 4,917 per cent increase compared to the entire financial year of 2022-23. The net profits, likely to be revealed in the upcoming results, could influence the decision to decrease fuel prices. Hindustan Petroleum Corporation Ltd (HPCL) is scheduled to announce its Q3 results on January 27, while Indian Oil Corporation (IOC) and Bharat Petroleum Corporation Ltd (BPCL) are expected to follow suit around the same time. Despite the government's control over public sector OMCs, the companies have the flexibility to adjust fuel prices. The OMCs, holding a monopoly with over 90 per cent market share in domestic fuel retail, also influence pricing strategies adopted by private retailers. The potential reduction in fuel prices is seen as a proactive measure to manage inflation, which rose marginally to a four-month high of 5.69 per cent in December 2023. Analysts expect the government to make all efforts to keep inflation below the Reserve Bank of India's upper tolerance limit of 6 per cent. Since April 6, 2022, OMCs have maintained a freeze on petrol and diesel rates, responding to volatility in international oil prices. However, with the government's reduction in excise duty twice, a considerable price hike was avoided during periods of surging crude purchase prices. The subsequent decline in average oil prices of the Indian basket, coupled with a moderation in oil prices since September 2023, has contributed to the profitability of OMCs. The sustained downward trend in fuel rates, attributed to lower crude oil prices, is reflected not only in petrol and diesel but also in deregulated fuel products. Experts suggest that the gradual decline in windfall taxes on diesel exports, from ₹6 a litre since September 2023 to zero, and the removal of taxes on petrol and aviation turbine fuel (ATF) contribute to the favourable environment. Additionally, the windfall tax on domestically produced crude oil was recently reduced to ₹1,700 per tonne due to the softening of international oil prices.

Indian fuel prices set for potential Rs 5-10 drop next month: Report

Sri Lanka's Colombo port is witnessing a significant increase in container volumes in recent weeks, attributed to vessels diverting from tensions in the southern Red Sea.<o:p></o:p>

According to Reuters, officials on Tuesday reported that shipping companies are choosing Colombo as a convenient transit point due to its strategic location. <o:p></o:p>

The Yemeni Houthi rebels, backed by Iran, have targeted ships in the Red Sea since November, prompting some shipping companies to opt for a longer and more expensive route around Africa's Cape of Good Hope. <o:p></o:p>

Colombo's accessibility to the Middle East, South Asia, and East Asia positions it as a key port for vessels navigating these regions.<o:p></o:p>

Reuters cited Lal Weerasinghe, a senior official at the Sri Lanka Ports Authority (SLPA), who highlighted Colombo's prominence as the first hub for ships coming past South Africa, providing a more convenient location than Singapore. <o:p></o:p>

The port, handling 6.94 million 20-foot equivalent units (TEUs) in 2023, experienced a 2 per cent annual increase. <o:p></o:p>

December saw a notable 15 per cent year-on-year surge in TEUs. <o:p></o:p>

Over the past four to six weeks, shipping lines have sought additional berthing windows, and transhipment volumes from neighbouring India have also risen. <o:p></o:p>

Despite the increased demand, the port had to decline requests from some shipping lines to prevent delays for existing customers.<o:p></o:p>

"We typically handle about 5,000-5,500 TEUs (per day), but since late last year, there has been an increase of about 1,000 TEUs per day," Weerasinghe told Reuters.<o:p></o:p>

He noted that up to 50 per cent of this surge is attributed to the Mediterranean Shipping Company, a leading container shipping company. <o:p></o:p>

The Colombo port is increasingly becoming a relaying port, with shipping companies offloading entire cargoes to different ships. <o:p></o:p>

Officials from other Colombo port terminals revealed a rise in vessel calls, especially due to increased transshipment from India. <o:p></o:p>

Expectations are high that the heightened traffic will propel Colombo port towards double-digit growth in the first quarter of 2024.<o:p></o:p>

(With inputs from Reuters)<o:p></o:p>

Sri Lanka's Colombo port is witnessing a significant increase in container volumes in recent weeks, attributed to vessels diverting from tensions in the southern Red Sea.

Sri Lanka's Colombo port is witnessing a significant increase in container volumes in recent weeks, attributed to vessels diverting from tensions in the southern Red Sea. According to Reuters, officials on Tuesday reported that shipping companies are choosing Colombo as a convenient transit point due to its strategic location. The Yemeni Houthi rebels, backed by Iran, have targeted ships in the Red Sea since November, prompting some shipping companies to opt for a longer and more expensive route around Africa's Cape of Good Hope. Colombo's accessibility to the Middle East, South Asia, and East Asia positions it as a key port for vessels navigating these regions. Reuters cited Lal Weerasinghe, a senior official at the Sri Lanka Ports Authority (SLPA), who highlighted Colombo's prominence as the first hub for ships coming past South Africa, providing a more convenient location than Singapore. The port, handling 6.94 million 20-foot equivalent units (TEUs) in 2023, experienced a 2 per cent annual increase. December saw a notable 15 per cent year-on-year surge in TEUs. Over the past four to six weeks, shipping lines have sought additional berthing windows, and transhipment volumes from neighbouring India have also risen. Despite the increased demand, the port had to decline requests from some shipping lines to prevent delays for existing customers. "We typically handle about 5,000-5,500 TEUs (per day), but since late last year, there has been an increase of about 1,000 TEUs per day," Weerasinghe told Reuters. He noted that up to 50 per cent of this surge is attributed to the Mediterranean Shipping Company, a leading container shipping company. The Colombo port is increasingly becoming a relaying port, with shipping companies offloading entire cargoes to different ships. Officials from other Colombo port terminals revealed a rise in vessel calls, especially due to increased transshipment from India. Expectations are high that the heightened traffic will propel Colombo port towards double-digit growth in the first quarter of 2024. (With inputs from Reuters)

Colombo port experiences surge in traffic amid Red Sea tensions

Author

Zee News Rajasthan

Editor

Shashwat Sankranti

Home

Live Tv

Latest

World

India

Business

Entertainment

Sports

Opinions

Videos

Photos

Gravitas

Lifestyle

Science

Tech

Rajasthan News in Hindi: In-depth coverage of Rajasthan Crime, Political News, Education, Rajasthan Weather Update and Latest Rajasthan News on Zee News Rajasthan.