Money Buzz! Europa

Tag: coronavirus

  • Pandemic to trigger $4 trillion loss in global real GDP in 2020

    Pandemic to trigger $4 trillion loss in global real GDP in 2020

    Data presented by Buy Shares indicate that the global economy is projected to lose $3.94 trillion in real GDP. The loss will be recorded across 2020 mainly due to the coronavirus pandemic.

    According to the data, the ten most impacted countries will cumulatively lose $696.56 billion in real GDP.

    The United States is projected to be the most hit country with a loss of $178.4 billion followed by Japan at $86.78 billion while the United Kingdom will be the third most impacted country at  $74 billion.

    France is fourth at $73.34 billion while India will be the fifth most impacted at $71.73 billion.

    Other countries to record massive losses in real GDP include Italy ($58.70 billion), Germany ($55.69), Brazil ($36.06 billion), Russia ($33.27 billion), Mexico ($32.31 billion), Canada ($27.92 billion) and South Korea ($3.76 billion).

    From the research, China is the only country set to register positive growth in real GDP at $51.12 billion.

  • Coronavirus: Slovakia to test all persons older than 10 years

    Coronavirus: Slovakia to test all persons older than 10 years

    Slovakia Prime Minister Igor Matovič said at a press conference that the state prepares nationwide coronavirus testing.

    This should take place during two consecutive weekends, Slovak Spectator reports.

    The pilot testing will take place next weekend in the districts of Tvrdošín, Námestovo, Dolný Kubín, and Bardejov. Testing for the rest of the country will take place the following two weekends.

    The testing will be free of charge and available to everybody. It is not clear whether the testing will be mandatory.

  • Siemens Healthineers launches rapid test for the detection of SARS-CoV-2

    Siemens Healthineers launches rapid test for the detection of SARS-CoV-2

    Siemens Healthineers is launching a rapid and easy-to-use antigen test for the detection of SARS-CoV-2, the virus that causes COVID-19.

    The CLINITEST Rapid COVID-19 Antigen Test is a point-of-care cassette test that does not require laboratory instruments or specialized lab personnel to administer, and it delivers results in 15 minutes.

    96.72 % sensitivity

    The CE marked test which has been developed and tested by a Siemens Healthineers partner demonstrated 96.72 % sensitivity and 99.22 % specificity based on a clinical study of 317 subjects.

    The study was performed using operators with varied credentials at six diverse sites including a hospital, a community clinic, a college campus, and an oncology unit.

    Siemens Healthineers intends to meet such testing demand as the pandemic evolves. There are plans to submit the test for FDA Emergency Use Authorization.

  • UK businesses borrow £52.6bn to survive the COVID-19 crisis

    UK businesses borrow £52.6bn to survive the COVID-19 crisis

    The devastating COVID-19 crisis caused a massive financial hit to businesses in the United Kingdom, confronting them with substantial revenue and cash flow losses.

    Many of them were forced to ask for support through the government-backed loan schemes to survive in the times of unprecedented economic disruption.

    According to data presented by BuyShares.co.uk, the cumulative value of loans that have been approved through the Coronavirus Businesses Interruption Loans Scheme (CBILS), Bounce Back Loan Scheme (BBLS), and Coronavirus Large Business Interruption Loan Scheme (CLBILs) in the United Kingdom hit £52.6bn in August.

    More than 1.2 million loans approved in four months

    The United Kingdom’s Government created a range of measures to help support businesses of all sizes throughout the coronavirus crisis.

    The smaller companies can apply for the Coronavirus Business Interruption Loan Scheme (CBILS), which operates through the British Business Bank via more than 40 accredited lenders.

    These lenders can provide up to £5 million worth financial help in the form of term loans, overdrafts, and asset finance.

    The Coronavirus Large Business Interruption Loan Scheme (CLBILS) facilitates access to finance for medium-sized and larger businesses with a group turnover of more than £45 million. This scheme can provide up to £200 million worth financial help for the companies affected by the coronavirus outbreak.

    The Bounce Back Loan Scheme (BBLS) allows lenders to provide a six-year term loan from £2,000 to 25% of a business’ turnover.

    In the second week of May, the combined value of facilities approved through these three schemes amounted to £14.8bn, revealed the HM Treasury data. By the middle of June, this figure surged by 157% to £38.2bn worth of loans.

    Statistics indicate the total value of facilities approved through the Government-backed loan schemes hit £46.2bn by the end of the second week of July. By August 16th, this figure jumped by 14%, reaching a total of $52.6bn.

    Statistics indicate the banking and finance industry has supported more than 1.2 million UK businesses with lending schemes to help them through the COVID-19 crisis.

    £35.5bn worth of loans approved through the Bounce Back Loan Scheme

    The Bounce Back Loan Scheme represents the most significant part of the government-backed aid package in the United Kingdom, with £35.5bn worth of loans approved by August.

    This scheme has been a success in providing more than 1.1 million firms with vital government-backed loans at an affordable rate with no interest or repayments due in the first year.

    The HM Treasury data revealed the cumulative value of lending through the Coronavirus Business Interruption Loan Scheme reached almost £13.7bn in August or 25% of all approved loans.

    Statistics indicate that between May 10th and August 16th, 516 medium-sized and larger businesses in the United Kingdom received £3.5bn worth financial help thought the Coronavirus Large Business Interruption Loan Scheme.

  • European consumers prefer cashless payments

    European consumers prefer cashless payments

    Cash is losing ground in Europe, given that 36% of respondents to the Payments and Open Banking survey, conducted by PwC, say they use cash in 2020, 7 percentage points less than two years ago.

    However, consumers’ reorientation towards cashless payments is not reflected in an increase in their willingness to share personal data with third parties – a condition for the development of “open banking”.

    Thus, only 20% of respondents are willing to provide financial data.

    Banks remain at the top of trust

    According to the survey, European respondents say they trust more traditional banks and card providers for the exchange of personal information (17%).

    Compared to 2018, both banks and card providers lost 4 percentage points of confidence.

    Among other players, payment service providers are trusted by 9% of respondents and retailers by 8%, internet giants by 7%, while banks that operate exclusively online (neobanks) and FinTech would receive data only from to 3% of European consumers.

    Benefits for data exchange

    The most desired benefit for consumers to exchange personal data for services other than banking is the discounts on shopping, while the popularity of other benefits for using “free banking” products or for automatic filing of tax returns are more reduced.

    Cards use is increasing

    Instead of cash, consumers use cards, e-wallets or applications. The use of debit cards is increasing, in 2020, to 31% compared to 27% in 2018, and that of applications and e-wallets to 14% from 11%.

    The reasons why Europeans use cash over other payment methods are as follows: 34% say they use it if no other payment is accepted, 26% for convenience, 13% because they have security concerns, and 20% have more control of expenses / budget.

    The preference for cash varies greatly and has decreased at a different rate, for example in Switzerland it has fallen in the last two years from 60% to 45% and in Italy from 52% to 38%.

    COVID-19 a catalyst for non-cash payments

    The COVID-19 crisis has influenced the behavior of European consumers when shopping in stores. Thus, 44% use physical cards more often and 9% smartphones (for example Apple Pay).

    Respondents believe that these payment behaviors are long-lasting and only one in five expects to return to previous habits.

  • One third of Westbahn jobs are in danger to be cut

    One third of Westbahn jobs are in danger to be cut

    At the private Austrian railway company Westbahn, 100 of the 300 jobs appear to be in danger because of the corona crisis, Heute says.

    This will happen if the Ministry of Transport does not provide further financial assistance after the end of the emergency allocation. Due to low demand, the loss of 100 jobs is imminent.

    The information appears in an emotional email sent to staff by Westbahn CEO Erich Forster. He outlined the dramatic situation of the company.

    Westbahn runs the Vienna-Salzburg line a connection where there is usually no financial state support, even for the state railways (ÖBB).

    However, due to the coronavirus crisis, an emergency grant was avaible for this route, but it will expire on 7 October. 

  • Ryanair cuts flight capacity in October by another 20%

    Ryanair cuts flight capacity in October by another 20%

    Ryanair announced that it would cut its October capacity by a further 20% (in addition to the 20% cut already announced in mid-August).

    Ryanair now expects its October capacity to fall from 50% to approx. 40% of its October 2019 levels, but expects to maintain a 70%+ load factor at this reduced schedule.  

    The airline confirmed that these capacity reductions were necessary due to damage caused to forward bookings by continuous changes in EU Government travel restrictions and policies, many of which are introduced at short notice.

    In some countries (most notably Ireland), where the Govt have maintained excessive and defective travel restrictions since 1 July, Covid-19 rates have risen in recent weeks to 50 per 100,000 pop. – more than double those of Germany and Italy – where intra-EU air travel was freely permitted since 1 July.

  • Italy: EIB lends €500m to the Lazio Region for post COVID-19 recovery

    Italy: EIB lends €500m to the Lazio Region for post COVID-19 recovery

    A wide-ranging collaboration between the bank of the European Union and the Lazio Region will lead to funding of €500m in all production sectors in the coming years.

    The first operation concerns the Framework Agreement for €300m worth of loans to the Region over the next four years, which has already been signed.

    On the basis of the Agreement, projects aimed at combating climate change, preventing and mitigating risks from hydrogeological instability, improving, building and upgrading public urban and regional infrastructure, and protecting the environment will be eligible under the Regional Multiannual Programme.

    Emergency measures to tackle the COVID-19 pandemic could also be financed in order to contribute significantly to the economic recovery.

    The loans can have maturities of up to 25 years, with a five-year grace period. In addition to financing operations, this cooperation will also enable the Region to benefit from the EIB’s free advisory services and technical assistance.

    This advisory support is already being provided in the preliminary phase of projects for energy efficiency of public buildings and sustainable mobility.

    €200m in partnership with banks for SMEs and mid-caps

    A second operation, which is currently being finalised, is based on initial EIB financing to the Region for projects launched by SMEs (up to 250 employees) and mid-caps (250-3 000 employees) in all production sectors, again with a special focus on investment to tackle the consequences of the COVID-19 pandemic.

    The credit line will be onlent to companies in the Lazio region active in all economic sectors via three intermediary banks selected by the Region following a public tender: UniCredit, BCC Roma and Banca Popolare di Sondrio.

    The three banks will double the EIB’s €100m to a total of €200m, which will benefit an indicative number of 400 businesses based in the Region.

    Loan maturities will be 12 years for private firms and 15 years for investments carried out by public-private companies, with a three-year grace period.

  • Two-fifths of Britons are now more motivated to do home improvements after the lockdown

    Two-fifths of Britons are now more motivated to do home improvements after the lockdown

    An almost universal consensus (nine out of ten Britons) said that their home is important to make their life better, and 57 percent feel it is even more significant post-lockdown. 

    This is a main conclusion of a research, commissioned by B&Q, that polled 2.000 consumers to uncover how the Covid-19 lockdown has fundamentally changed Brits’ relationship with their homes. 

    Exploring why homes felt more significant than ever, the survey also found that 89 percent say their homes are a ”sanctuary” where they can be ourselves and 87 percent value the sense of security they provide. 

    Despite this, only one in ten (11 percent) currently live in their ideal home, whereas half of the population (47 percent) want to make changes to their living set up.

    The research also showed that the increased time spent at home meant over half (53 percent) of Brits realised more DIY needed doing. 

    And it seems the benefits go far beyond the functional bricks and mortar. During what was a difficult time for many, over half (51 percent) also said they found home improvement projects to be therapeutic. 

    Over two-fifths (42 percent) say they are more motivated to do DIY as a result of lockdown, and 35 percent feel more ambitious in the home improvement projects they want to tackle.

    This change in attitude is particularly prevalent among youngsters, with two-fifths (42 percent) of 18-24 year olds having learned DIY skills during lockdown, while only a quarter (24 per cent) of those aged between 45-54 said the same.

    The younger generation also now feel more ambitious to make changes and tackle further DIY (42 percent of 18-24 year olds and 45 percent of 25-34 year olds agreed).

    Gardening and decorating projects are by far the most coveted projects to improve people’s lives and enjoyment of their home.

    Nearly half (48 percent) said they had a gardening project planned and 43 percent want to get underway with decorating tasks.

    Signs of the lasting impact of lockdown on our home habits is also clear, with more than a third (35 percent) planning to improve their working from home spaces.

  • PwC Romania launched an online tool that simulates the workforce costs

    PwC Romania launched an online tool that simulates the workforce costs

    PwC Romania is launching an online tool to help organisations simulate the workforce costs of the COVID-19 legislative measures recently enforced in Romania.

    Companies can perform simulations to streamline workforce costs by testing the various legislative measures available in the current context: reducing working hours, unemployment with or without state aid, parental leave, dismissals or the concept of “kurzarbeit”.

    Also, scenarios can be differentiated by employee categories (eg by grades or organizational structures).

    ”Workforce Cost Projection” can design reward schemes, model compensation budgets and workforce planning scenarios.

    A pre-configured HR dashboard was developed considering market trends, legislation and industry requirements. The product is available in the cloud and applicable to any industry and is meant for both large and small organisations.

    PwC Romania plans to continue developing this tool with new visualizations to model organizational impact of decisions relating workforce planning and HR budgeting.

    ”Given the conditions determined by the lockdown and pandemic, organizations have accelerated their digitization strategies and are increasingly adopting tax and HR technologies, in order to respond more quickly to the changes in the workforce market and the legislation ones”, says Ionuț Sas, Partener and People & Organisation Leader, PwC Romania.

  • Arctic donates intensive care mechanical ventilators to hospitals in Romania

    Arctic donates intensive care mechanical ventilators to hospitals in Romania

    Arctic donates mechanical ventilators to hospitals in Dambovita county, aiming to offer continuous support to the medical teams in the fight against the crisis generated by the coronavirus.

    Arçelik, the mother company of Arctic, produced 5.000 life-saving mechanical ventilators on a not-for-profit basis to meet domestic and international demand, of which 2.660 have been sent to 21 countries including some of the hardest hit such as Brazil.

    The devices have also been sent to Somalia, Afghanistan, Azerbaijan, Bangladesh, UAE, Chad, Dagestan, Ecuador, Kazakhstan, Kirgizstan, Colombia, Libya, Niger, Nigeria, Uzbekistan, Romania, Syria, Sudan, Morocco and Iraq.

    The ventilators were manufactured at Arçelik’s Çerkezköy electronics factory, which is equipped with the latest digital technologies.

  • EIB lends up to EUR 10 million to Polish company Scope Fluidics

    EIB lends up to EUR 10 million to Polish company Scope Fluidics

    The European Investment Bank (EIB) has agreed to lend up to EUR 10 million to Scope Fluidics, a Polish medical technology company developing innovative products in the field of medical diagnostics.

    Scope Fluidics uses microfluidic technologies and focuses on rapid characterization of antibiotic resistance of bacteria and on ultra-fast detection of bacterial and viral pathogens (including COVID-19).

    The EIB financing will support the company’s efforts to develop new, efficient and affordable methods for detection of pathogens causing infectious diseases, including COVID-19.

    Apart from striving to aid the fight with COVID-19 pandemic, Scope Fluidics’ team is also focused on the Antimicrobial Resistance (“AMR”), which is one of the gravest threats to global health.

    Testing a broader range of infectious diseases may significantly increase the standard of care and the effectiveness of prevention of complications in the evolving pandemic.