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International Business News
Thai MPs approve $22b stimulus loan
AFP, Bangkok
Thai MPs approved two government bills to borrow 22 billion dollars for an economic stimulus package, despite a walkout by angry opposition legislators, premier Abhisit Vejjajiva said Wednesday.
The opposition, many of whom are loyal to ousted former prime minister Thaksin Shinawatra, refused to take part in the vote for the second of the bills after one of their members was ejected for using "improper" language.
The government has said that the 800-billion baht loan, mainly from local money markets, will fund stimulus measures worth 1.4 trillion baht over the next three years as Thailand grapples with recession.
1 he lower house hiesday overwhelmingly passed the first 100 billion-baht tranche of the money, while the second tranche was adopted early Wednesday after the opposition boycotted the session.
"They wanted to show their opposition... but I hope that the opposition will not do that today in the budget debate," Abhisit told reporters.
The Oxford-educated prime minister's shaky ruling coalition, led by his Democrat Party, began presenting its budget to parliament later Wednesday.
The opposition has said the bills for the stimulus package lack details, but Abhisit countered that they must explain to the public why they had boycotted the vote.
Japan economy has hit bottom: Minister
AFP, Tbkyo
Japan's economy hit bottom in the January-March quarter, Finance Minister Kaoru Yosano said Wednesday, as the central bank also slightly upgraded its views on the economy.
"We can firmly presume that the economy hit the bottom,' Yosano told reporters, after the government upgraded its monthly economic assessment saying there were signs of recovery'.
"But there are things that Japan alone cannot control. Naturally downside risks exist, depending on the trend of the world economy," Yosano said, adding that the first quarter was "clearly the bottom."
His comment came as the Cabinet Office lifted its assessment for the second straight month in June, saying the economy was expected to pick up soon as exports and industrial production improve.
"While the economy is in a difficult situation, signs of a pickup are seen in some areas," the report said in its Japanese-Ianguage edition.
Many private economists have already said the world's number two economy had probably hit the bottom and was slowly climbing out of its worst recession since World Warll.
Singapore key exports fall at slower pace in May: Govt
AFP, Singapore
Singapore said Wednesday the decline in its exports eased in May, raising hopes that demand for goods from the export-dependent economy may have bottomed out.
However, the good news was tempered by the fact that the figures were buoyed by the volatile pharmaceuticals sector, while the island-state's other main exports continued to plummet.
Non-oil domestic exports (NODX) were 12.1 percent lower year on year.
The figure was slower than the 19.2 percent fall recorded in April and the 17.3 percent drop in March, according to the data released by International Enterprise (IE) Singapore, the government's trade promotion body.
It was also better than the 16.6 percent drop expected in a Dow Jones Newswires poll of analysts.
On a seasonally adjusted basis, NODX rose 5.6 percent month on month in May following a 1.4 percent drop in April, IE Singapore said.
Sri Lanka growth slows to1.5pc in Q1
AFP, Colombo
Economic expansion in war-battered Sri Lanka fell to 1.5 percent during the first quarter of this year, as the global recession hurt exports, official data showed Wednesday.
The slowdown contrasted with 6.2 percent growth in the first quarter of2008, though hopes of long-term development have risen since the government's defeat ofTamil rebels last month after decades of conflict.
"The global turmoil has directly or indirectly affected the local economy," the head of the government's statistics office SuranjanaVidyaratne said.
The growth rate was the lowest in Sri Lanka since 2003, with the industries sector, which includes key shipments of garments, growing by only 1.9 percent against 6.0 percent in the same period in 2008. .
Service industries, which include telecom, ba?kng and shipping, grew by 10 percent compared with 6.4 percent in the same quarter last year.