With the second-largest number of sworn officers in the U.S., Chicago is struggling to pay an extra $550 million in pension obligations owed to public-safety workers. That leaves the city with little financial flexibility as homicides have risen more than 18 percent from last year and shootings 17 percent.
In order to balance Australia’s budget deficit and the cost of the age pension, Australians will need to work past the traditional retirement age of 60, says the Financial Services Council (FSC).
A study by Tendências consultancy, obtained by Folha, shows that households' purchasing power was R$ 240 billion (US$ 71.3 billion) in the monthly average from January to May -6.2% lower than in the same period in 2014 (R$ 256 billion, or US$76 billion). "After years of increasing consumption, it is difficult to admit to the empoverishment of Brazilians, but that's exactly what's happening," said Rodrigo Baggi, an economist at Tendências.
Venezuela and its state oil company have about $5.6 billion in bond payments due in the last three months of this year and about $10 billion in 2016, according to Bank of America Corp. estimates. Trading in credit-default swaps show an implied probability of default of 96 percent over the next five years, the highest in the world, CMA data show.
Meanwhile, 1MDB is reeling under a $11 billion debt burden, blamed largely on a much-questioned drive to acquire power-industry assets. Fears that it may require a massive bailout have contributed to a slide in the ringgit currency to 17-year lows.
Puerto Rico is seeking to raise $400 million to $500 million via a financing deal which is backed by petroleum products revenues, as there is no longer a market to raise the around $3 billion originally contemplated, the governor's chief of staff Victor Suarez said on Monday.
The increase, agreed after a request by Tepco, adds to the bill for taxpayers for the disaster in March 2011, when three reactors melted down after an earthquake and tsunami, in the worst nuclear crisis since Chernobyl in 1986, destroying businesses and livelihoods.
Standard & Poor’s Ratings Services downgraded 244 issuers worth $1.2 trillion in rated debt and upgraded 125 issuers with $621 billion in rated debt in the second quarter of 2015. Downgrades eclipsed upgrades around the world as geopolitical and economic risks rose, including Greece’s potential exit from the eurozone (the “Grexit”), a slowdown in economic growth in China, and the credit effect from interest rate normalization on part of the Federal Reserve System in the U.S.
The sell-off in emerging market Asia has pushed the Thai baht to a six-year low of Bt34.9 a dollar while currencies in Malaysia and Indonesia have fallen to levels unseen for nearly two decades.
Lost in the news surrounding the release of the 2015 Social Security Trustees report is the likelihood that Social Security beneficiaries won't see a cost-of-living adjustment increase, or COLA, in 2016. According to the Trustees, Social Security beneficiaries can expect to receive a COLA increase of 0.0 percent. That's right … a goose egg.
Unemployment has continued to rise throughout the presidency of Francois Hollande despite a recent uptick in economic growth and a host of initiatives including state-sponsored jobs and tax breaks to spur recruitment in the private sector.
An FSS official admitted the critical problem of the nation’s rising household debt, which is estimated to have reached 1.2 quadrillion won ($1 trillion). He, however, clarified the deregulations still help normalize the housing market and contribute to the overall economy.
The dismal IMF forecast comes a few weeks after Italy’s central bank said the country’s public debt level had hit a new record of €2.2 trillion in May, up by €23.4 billion in a month. Italy’s public debt of more than 130 percent of GDP is second only to Greece in the eurozone.
One problem with the corporate-bond market, say pension-fund managers, is that the best quality companies aren’t issuing. Most of the 323 billion rubles of bonds sold in May and June were from companies with junk credit ratings below the minimum required level for pension funds of BB-. About half of the bonds were issued by banks, according to Denis Poryvay, an analyst at AO Raiffeisenbank in Moscow.
The report also highlighted rising risks in the industry. In 2014, credit card repayments delayed by more than half a year were up 42 percent year on year to 35.76 billion yuan in 2014, according to the report.
The probe is the latest effort by the government to crack down on reports of market manipulation after a recent equities rout wiped out nearly $4 trillion.
“The countries that have yet to launch a U.S. dollar sovereign bond have missed their opportunity to lock in the ultra-low yields available during the past few years,” Ashbourne said. “The period of almost unquestioned optimism towards African sovereign debt is coming to an end.”
Analysts expect Brazil's economy to contract by 1.76 percent this year, marking its worst performance since 1990, with the inflation rate hitting 9.23 percent, the Central Bank said Monday.
Statewide, Covered California officials trumpeted an average 2016 weighted premium increase of 4 percent, compared with 4.2 percent this year. The rates are preliminary, pending review by state regulators. On average, Northern Californians will see a 7 percent increase in 2016 premiums, compared with a 1.8 percent increase in the state’s southern half.
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