U.S. senators and representatives returning from their summer vacations will need to shake off their suntans in quick time and get down to business. Congress has just 11 days when it’s in session before the next federal fiscal year begins on Oct. 1, 2023. And in that time, it will need to enact all 12 […]
Fed rate hikes are already forcing US to spend record amounts on interest payments – and it’s going to keep getting worse
Consumers and businesses aren’t the only ones feeling the pain of higher borrowing costs because of Federal Reserve rate hikes. Uncle Sam is, too. The U.S. government spent a record US$232 billion in interest payments on its debt in the first quarter of 2023, over 50% more than a year ago and over three times […]
why the maker of Marmite is feeling the squeeze
As a major manufacturer of well known cleaning products, it is perhaps fitting that events at Unilever have started to resemble something of a corporate soap opera. In the last few weeks there has been increased pressure at the top, a failed merger attempt, backlash from investors, and an announcement of major job cuts. Prior […]
How news affects people’s expectations and drives economic change
News of a big pay rise might see you booking the nearest fancy restaurant for a slap-up meal to celebrate, or encourage you to go on a shopping spree even before your raise hits your bank account. Recent research shows that this is also essentially what happens on a wider economic scale when news breaks […]
Kenya’s election promises: an economist’s perspective
Kenya has four presidential candidates in the August 2022 general election. They recently launched their manifestos and one thing ties them together: the economy. In no other Kenyan election has the economy been such a key subject, not just for those seeking power, but for voters, too. There are two reasons: a maturing democracy and […]
How certainty helps immigrants integrate and contribute more to the local economy
Imagine Ania, a Ukrainian immigrant who arrived in Berlin, Germany in the spring of 2022 with her teenage son. At the moment, the 2001 Temporary Protection Directive provides them with the reassurance that they can stay for one year. If Ania ends up staying longer term, however, her career and economic success will depend on […]
Zimbabwe heads to the polls amid high inflation, a slumping currency and a cost of living crisis
Zimbabwe is facing a host of pressing challenges that voters dearly want the next president to address. Persistently high inflation, elevated interest rates, and a slumping and volatile Zimbabwe dollar have combined to fuel a cost of living crisis for households and battered business activity. These will be among the key economic concerns weighing on […]
2022 was a rough year for people everywhere – South Africa was no exception
Tough economic conditions meant that 2022 was a rough year for people everywhere in the world. South Africa was no exception. But this year’s crop of problems came on top of a legacy of poor economic performance. The country’s economic growth averaged 1% over the nine years to 2021, leaving the population poorer on average. […]
Nigeria’s COVID-19 economic plan has delivered disappointing results: here’s why
Over a year ago, Nigeria’s President Muhammadu Buhari launched an economic plan designed to mitigate the impact of the COVID-19 pandemic. Since the outbreak of the pandemic, Nigeria has recorded 207,618 cases of infection and 2,745 deaths as of October 11, 2021. The economic effects were devastating. Economic growth turned negative in 2020, unemployment and […]
Nigeria’s central bank made critical mistakes that doomed the country’s currency redesign
Nigeria has successfully introduced new banknotes on about 10 occasions since independence in 1960. So why has the latest attempt been so controversial and traumatic? And what measures need to be taken to avoid a future debacle? Nigeria’s central bank announced the introduction of new banknotes last November, with the changeover to new notes scheduled […]