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International Business News
Russian car lovers continue anti-tariff protests
AFP, Vladivostok, Russia
Hundreds of car lovers rallied Saturday in Russia's Far Eastern city ofVIadivostok in ongoing protests against the government's decision to raise tariffs on used foreign cars.
Up to 1,000 people converged on Vladivostok's central square, brandishing banners against tariffs and high fuel prices and with slogans like "Government to Resign" and "Putin, Fight Oligarchs, not People. "
Unlike earlier protests, the rally lacked an official organiser, its address and demands being spread by Internet, telephone messages and word of- mouth.
"We are fighting not because we want a new car, but because there is no work here except selling used cars. Thousands will go broke, and that is people between 40 and 60 years of age. they're too old to learn another job." one of the protesters. Nikolai, told AFP
"The region is underdeveloped, people flee because there are no jobs ■ - and instead of creating jobs and enterprises. the government hands us charity-like loans to buy Russian cars," another protester, Galina, said
"Cutting down this business, this infrastructure is to create a domino effect, everything will go down, and it will end up in crime and alcoholism," the chief of carlovers' movement Freedom of Choice, Vyacheslav Lysakov, told AFP.
Japan cuts rates to near-zero amid dire economic outlook
AFP, Tokyo
Japan slashed interest rates to almost zero Friday as it tries to stave off a long recession while a major banking group warned the global economy would sink into a "severe" contraction next year.
Japan's central bank sliced lending rates to 0.1 percent from 0.3 percent on the day the government forecast the economy would not grow at all until 2010.
The bank also tried to shore up credit markets by announcing it would start directly buying commercial paper, the short-term debt companies issue to run their daily operations.
The cut, which was agreed in a 7-1 vote by the bank's policy board, had an immediate effect on the currency markets, bouncing the US dollar back from 13-year lows against the yen.
It follows a similar move TYiesday by the US Federal Reserve, which slashed its lending rate to 0-0.25 percent from 1.0 percent as it tries to bolster the world economy.
Denmark's central bank also unexpectedly cut its key interest rate Friday by 0.50 percentage points to 3.75 . • percent.
Merkel warns of tough economic year ahead
AFP, Berlin
German Chancellor Angela Merkel on Saturday warned her country of tough times in 2009 but hinted at a new stimulus package in January to stave off job cuts.
"We all know it: We have a year full of challenges before us," Merkel said in a video message.
"Each day brings news of companies' difficult economic situation. There will be much to do and we will need help from everyone."
The German leader, who has faced criticism that her government has not done enough to battle the economic crisis, said the state would" take a further step in January."
New support measures "must be carefully prepared, because we want to act precisely where jobs can be maintained or created," she said.
Der Spiegel magazine reported on its Internet site Friday that Germany is set to adopt a second economic support package worth 40 billion euros (57 billion dollars).
Clinton foundation donors
include Saudis, Blackwater
AFP, Washington
Former US president Bill Clinton has disclosed big-ticket donors to his charitable foundation, including numerous foreign governments and business interests.
Clinton was prompted to reveal the names of more than 200,000 donors in a bid to stem fears for his wife Hillary Clinton's nomination to become US secretary of state under incoming president Barack Obama.
Her confirmation could come under closer scrutiny over the appearance of conflict of interest over the foundation, which promotes efforts to fight disease, poverty and climate change around the world.
The disclosures on Thursday include the Kingdom of Saudi Arabia giving 10 to 25-million-dollars in donations, and other Middle Eastern governments giving multimillion-dollarcontributions.
The exact figures of the donations are not provided by the foundation and organizations are instead grouped in spending categories.
The governments of Oman, Qatar, Kuwait and Brunei gave the fund one to five million dollars each.
Panasonic to acquire Sanyo forupto$9b
AFP, Tokyo
Japan's Panasonic Corp, said Friday it had cleared the way to acquire struggling Sanyo Electric Co. for up to nine billion dollars, forming an industry heavyweight amid the global downturn.
The deal is the first major realignment of Japan's electronics industry since the start of the economic crisis, which has led companies to suspend production as consumer demand dries up.
Panasonic will buy Sanyo shares from US investment firm Goldman Sachs and Japan's Daiwa Securities and Sumitomo Mitsui, giving a badly needed cash injection into the financial sector as it reels from the credit crunch.
"We, the electronics industry, are faced with the need to restructure amid the global recession as well as a downward shift in prices and the growth of emerging markets," Panasonic president Fumio Ohtsubo told a news conference.