28.7 C
Vientiane
Sunday, June 29, 2025
spot_img
Home Blog Page 2949

Laos Sees Trade Deficit of USD 64 million in April

Laos updates trade regulations

Laos recorded a trade deficit of USD 64 million in April, according to information from the Lao Trade Portal.

Laos Confirms Five New Cases of Covid-19

Covid-19 Update

Laos has confirmed 5 new cases of Covid-19, bringing the total number of cases to 1,883.

Beauty Salons Shut Down in Vientiane Capital

Beauty salons shut down in Vientiane Capital

Beauty salons and hairdressers in Vientiane Capital have failed to comply with the lockdown order issued by the mayor.

Coface China Corporate Payment Survey 2021: Rising Payment Risks in Construction and Energy Sectors Despite Stronger Economic Outlook

HONG KONG SAR – Media OutReach – 26 May 2021 – Overall, the Chinese economy expanded by 2.3% in 2020, being the only major economy to record growth, and Coface expects the GDP to accelerate to a 7.5% growth in 2021. This would be the fastest pace since 2013, and comfortably above the minimum of 6% set by the authorities.

In normal times, higher economic growth should translate into fewer incidents of payment delays, but the recovery has been uneven across sectors.Thus, Coface’s 2021 China Corporate Payment Survey[1] shows that payment terms shortened by 11 days on average in 2020, falling to 75 days, while the distribution of credit terms leaned towards a shorter rather than longer period.

Finally, firms also benefited from greater fiscal and monetary support measures last year, which are expected to be further tapered this year. Coface expects an increase in bond defaults and insolvencies in 2021, especially among sectors that accumulated higher cash-flow risks in 2020 amid a slowdown in credit growth.

Bernard Aw, Economist for Asia Pacific at Coface, said:

Coface’s latest China Payment Survey showed Chinese companies taking the necessary step to strengthen credit management in 2020 due to the Covid-19 pandemic. Credit terms were shortened in many sectors, and more credit management tools were deployed, including the use of credit insurance and credit reports, alongside debt collection and factoring services. As a result, fewer companies experienced payment delays in 2020 compared to the previous year.

“While the path of the pandemic remains uncertain and a sustained economic recovery is far from guaranteed, Chinese firms are optimistic about China’s economic prospects, with 73% of respondents expecting growth to improve this year, up significantly from 44% in 2020. This coincided with more firms anticipating better sales performance and improved cash flows this year.

“Nevertheless, the survey indicated that credit risks are building up in specific sectors, which warrant close monitoring in the coming months. The proportion of firms in the construction and energy sectors that reported ultra-long payment delays (ULPDs, over 180 days) amounting to more than 10% of annual turnover doubled in 2020 to over 60%, hinting at heightened cash flow risks. This development overlapped with rising bond defaults in mainland China, especially in the construction and real estate sector.

“Looking ahead, Coface expects corporate bond defaults and insolvencies in China to increase in 2021, especially among sectors that accumulated higher cash flow risks in 2020 due to the pandemic.”

Payment delays[2]: Most sectors experienced shorter delays, except construction

Fewer companies experienced payment delays in 2020, with 57% of respondents reporting overdue payments, down from 66% in 2019. The drop in payment delays reflected a strong government policy response to soften the impact of the pandemic on business activity, which included tax relief, loan guarantees and loan interest waivers. According to Coface survey, firms in 11 out of 13 sectors reported a decline in payment delays, despite the difficult context. Among them, wood, pharmaceuticals, transport and ICT reported the largest drops.There was no change in retail, while construction saw an increase in overdue payments.

Customers’ financial difficulties were the main reason for payment delays. The lack of financing resources was the second most common reason – after fierce competition – suggesting that pockets of the economy may not have access to government support.

Upturn boosts optimism, but higher prices remain key concerns

With China being the only major economy to see GDP growth in 2020, and recent economic data pointing to a steady expansion in the first quarter of 2021, firms are overall optimistic about economic conditions, according to the survey. Over 70% of respondents expect growth to improve in 2021, up considerably from 44% in 2020. This optimism was accompanied by a greater share of firms anticipating higher sales and cash-flows over the next 12 months. Consequently, a majority (62%) of respondents expects their business to return to pre-COVID-19 levels in less than a year, while nearly a quarter estimates this period between one and two years. Higher prices was the most common impact mentioned by respondents, where almost two-thirds stated that the pandemic led to an increase in commodity prices, as governments’ public health measures disrupted global supply chains.

Despite the pandemic, 47% of respondents admitted not using any credit management tool to mitigate cash-flow risks in 2020, after 40% in 2019. At the same time, a greater proportion deployed more than one credit management tool. The percentage of firms using credit insurance increased from 17% in 2019 to 27% in 2020, while those using credit reports were at 31% in 2020, up significantly from 19%. Both factoring and debt collection also saw an increase compared to the previous year, reaching 10% and 13%, respectively.

Bond defaults and insolvencies set to rise in 2021

At first glance, our survey’s findings may not seem to illustrate the connection between cash-flow risks and corporate bonds defaults, but a sectoral breakdown shows a strengthening of the link. The trend in China’s corporate bond defaults has been on the rise since the first case in 2014, rising from less than USD 1 billion in 2015 to a record USD 27 billion in 2020, according to data compiled by Bloomberg. In the first four months of 2021, bond defaults surged by over 70% to USD 18 billion, mostly in real estate, aviation and electronics. A significant proportion of the defaults (37%) was linked to HNA Group, a Chinese conglomerate involved in various industries including aviation, real estate, financial services, tourism and others. Our survey suggested that many of these sectors also had high cash-flow risks, with 67% of respondents in construction reporting over 10% of annual turnover tied up in ULPDs (Ultra Long Payment Delays), alongside 29% in ICT and 19% in transport.

Looking ahead, Coface expects corporate bond defaults and insolvencies to increase in 2021, especially in sectors that accumulated higher cash-flow risks in 2020, as indicated in our 2021 China Corporate Payment Survey. These are the sectors with the highest proportion of ULPDs amounting to over 10% of annual turnover, including construction (67%), energy (62%) and retail (30%).


[1] This 2021 China Corporate Payment Survey was conducted between February and April this year, and surveyed over 600 companies across 13 broad sectors located in mainland China.

[2] Payment delay – the period between the due date of payment and the date the payment is actually made.

Coface: for trade

With 75 years of experience and the most extensive international network, Coface is a leader in trade credit insurance and adjacent specialty services, including Factoring, Debt Collection, Single Risk insurance, Bonding and Information services. Coface’s experts work to the beat of the global economy, helping ~50,000 clients, in 100 countries, build successful, growing, and dynamic businesses across the world. Coface helps companies in their credit decisions. The Group’s services and solutions strengthen their ability to sell by protecting them against the risks of non-payment in their domestic and export markets. In 2020, Coface employed ~4,450 people and registered a turnover of €1.45 billion.

www.coface.com

COFACE SA. is listed on Compartment A of Euronext Paris.

ISIN Code: FR0010667147 / Mnemonic: COFA

#Coface

Back to School for Some Students in Ton Pheung District

Back to school for students in Ton Pheung district.

Primary and secondary schools in Ton Pheung district, Bokeo province, reopened certain classes on Monday in areas unaffected by the Covid-19 pandemic.

Health Authorities in Laos Prohibit Sale of Covid-19 Test Kits

Covid-19 rapid test kit

The Ministry of Health has prohibited the importation and distribution of Covid-19 rapid test kits.

MTR Corporation and Kerry eCommerce Join Hands to Launch “Kerry Express @ MTR Shops” New Retail Solution

HONG KONG SAR – Media OutReach – 25 May 2021 – MTR Corporation (Stock Code 0066.HK) and Kerry Logistics Network Limited (‘Kerry Logistics Network’; Stock Code 0636.HK) are pleased to announce their collaboration in launching an online-to-offline (‘O2O’) new retail solution through their respective sub-brands, MTR Shops and Kerry eCommerce, to bring new retail experiences to consumers in Hong Kong.

Jeny Yeung, Commercial Director of MTR Corporation (left) and

Samuel Lau, Deputy Manager Director – Integrated Logistics of Kerry Logistics Network

celebrate the launch of the “Kerry Express @ MTR Shops” new retail solution.

Jeny Yeung, Commercial Director of MTR Corporation (middle left), Samuel Lau,

Deputy Manager Director – Integrated Logistics of Kerry Logistics Network (middle right),

Margaret Chu, General Manager – Station Retail of MTR Corporation (left),

and Kevin Lam, General Manager of Kerry eCommerce

attend the “Kerry Express @ MTR Shops” new retail solution launch ceremony.

Jeny Yeung, Commercial Director of MTR Corporation (left) and

Samuel Lau, Deputy Manager Director – Integrated Logistics of Kerry Logistics Network

demonstrate the use of the self-service pick-up unit at “Kerry Express @ MTR Shops”.

The launch event held at Hong Kong Station today unveiled the first new retail collaboration, “Kerry Express @ MTR Shops”, between the two companies to meet modern-day consumer preferences by leveraging respective competitive edges in terms of business and infrastructure capability and coverage. The O2O new retail solution aims to enhance consumers’ online shopping experience with a new way of one-stop fulfilment solutions, bringing ease and expediency to online consumption.

Eight “Kerry Express @ MTR Shops” outlets will commence service tomorrow at MTR stations across Hong Kong, namely Hong Kong, Kowloon, Fanling, Fo Tan, Tseung Kwan O, Siu Hong, Diamond Hill and Kwun Tong stations. A total of 13 O2O outlets are set to open within this year as interactive stores and self-service pick-up units, in which the interactive stores will be additionally equipped with interactive screens that allow instant purchase and pick up for a selection of products. (Please refer to the annex for details)

Ms Jeny Yeung, Commercial Director of MTR Corporation, said, “The launch of the ‘Kerry Express @ MTR Shops’ new retail solution marks a milestone for the Corporation in playing a role in the new economy. We are excited to join hands with Kerry Logistics Network and introduce to our customers this new seamless and hassle-free e-shopping retail experience. Imagine how convenient it would be to make an online order at your fingertips and then collect it right at the station on your journey home by MTR.”

Mr Samuel Lau, Deputy Managing Director – Integrated Logistics of Kerry Logistics Network, said, “We are delighted to work with MTR Corporation to launch our first O2O outlets in Hong Kong. As online consumption becomes an integral part of 21st century living, speedy and convenient pick-up solutions are vital to the shopping experience. Building on MTR Corporation’s far-reaching presence in Hong Kong, coupled with Kerry eCommerce’s industry-leading service capabilities, we can bring ease and accessibility to more online shoppers.”

Through online purchase from KL Club and other quality partnering brands, customers can have the choice to pick up their products in any of the “Kerry Express @ MTR Shops” O2O outlets. MTR Mobile registered members will also be additionally rewarded with MTR Points for every pick-up through “Kerry Express @ MTR Shops” O2O outlets. The launch will be celebrated with flash sales of illy, Decathlon and Shopline products.

Annex: Locations of “Kerry Express @ MTR Shops” outlets

Open on 26 May 2021:

  • Hong Kong Station, Kowloon Station, Fanling Station, Fo Tan Station, Tseung Kwan O Station, Siu Hong Station*, Diamond Hill Station* and Kwun Tong Station*

Opening within 2021:

  • Tsuen Wan West Station*, Sai Ying Pun Station*, Yau Ma Tei Station*, Shek Mun Station* and Shau Kei Wan Station*

*Remark: Will serve as interactive stores

About MTR Corporation (Stock Code 0066.HK)

Every day, MTR connects people and communities. As a recognised world-class operator of sustainable rail transport services, we are a leader in safety, reliability, customer service and efficiency.

MTR has extensive end-to-end railway expertise with more than 40 years of railway projects experience from design to planning and construction through to commissioning, maintenance and operations. Going beyond railway delivery and operation, MTR also creates and manages dynamic communities around its network through seamless integration of rail, commercial and property development.

With more than 40,000 dedicated staff*, MTR carries over 13 million passenger journeys worldwide every weekday in Hong Kong, the United Kingdom, Sweden, Australia and the Mainland of China. MTR strives to grow and connect communities for a better future.

For more information about MTR Corporation, please visit www.mtr.com.hk.

*includes our subsidiaries and associates in Hong Kong and worldwide

About Kerry Logistics Network Limited (Stock Code 0636.HK)

Kerry Logistics Network is an Asia-based, global 3PL with a highly diversified business portfolio and the strongest coverage in Asia. It offers a broad range of supply chain solutions from integrated logistics, international freight forwarding (air, ocean, road, rail and multimodal), industrial project logistics, to cross-border e-commerce, last-mile fulfilment and infrastructure investment.

With a global presence across 59 countries and territories, Kerry Logistics Network has established a solid foothold in half of the world’s emerging markets. Its diverse infrastructure, extensive coverage in international gateways and local expertise span across China, India, Southeast Asia, the CIS, Middle East, LATAM and other locations.

Kerry Logistics Network generated a revenue of over HK$53 billion in 2020 and is the largest international logistics company listed on the Hong Kong Stock Exchange.

#MTR #KerryLogistics

Freightlancer acquires freight marketplace Loadshift, receives investment from Maas Group founders, appoints new CEO.

Freightlancer, a subsidiary of Freelancer Limited (ASX: FLN) (OTCQX: FLNCF) acquires Loadshift, Australia’s leading heavy haulage transport marketplace.

 

SYDNEY, AUSTRALIA – News Direct – 25 May 2021 – Freelancer Limited (ASX: FLN) (OTCQX: FLNCF), the world’s largest freelancing and crowdsourcing marketplace by total number of users and jobs posted, today announced that it’s partially owned subsidiary, Freightlancer, acquired Loadshift, Australia’s largest heavy haulage freight marketplace with 85.8 million kilometers of freight requested in 2020.

At the same time, Freightlancer received $3.7 million investment from Wes Maas, CEO and founder of Maas Group Holdings (ASX: MGH, market capitalisation $1.2b), a diversified industrials group, Tom Cavanagh, CEO & founder of EMS Group (now a division of ASX:MGH), a specialist in machinery hire, sales, repairs and rebuilds to support underground mining and tunnelling and others. Startive Ventures, a venture fund focused on global technology and Internet startup opportunities also participated in the round.

Tom Cavanagh, an experienced executive in the mining & equipment industries as founder and CEO of EMS group is also joining Freightlancer as Chief Executive.

Founded in March 2007 by entrepreneur Phil Callaghan, Loadshift has grown to be Australia’s largest online heavy haulage freight marketplace with 68,837 freight requests (up 26.8%) for 85.8 million kilometres of freight requested in CY 2020 and over 73,000 loads posted in the last twelve months.

Loadshift


Figure: The group achieved 9.1 million kilometers of freight posted in March 2021

In FY20, Loadshift EBITDA was approximately $766k. The purchase price was $7.7 million.

Freelancer Limited owns 53% of Freightlancer Holdings Pty Ltd after the transactions closed.

Forward-looking statements

This document contains certain “forward-looking statements”. The words “anticipate”, “believe”, “expect”, “project”, “forecast”, “estimate”, “outlook”, “upside”, “likely”, “intend”, “should”, “could”, “may”, “target”, “plan” and other similar expressions are intended to identify forward-looking statements.

Indications of, and guidance on, future earnings and financial position and performance, including Freelancer’s FY21 outlook, are also forward-looking statements, as are statements regarding Freelancer’s plans and strategies and the development of the market. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, many of which are beyond the control of Freelancer, which may cause actual results to differ materially from those expressed or implied in such statements. Freelancer cannot give any assurance or guarantee that the assumptions upon which management based its forward-looking statements will prove to be correct or exhaustive beyond the date of its making, or that Freelancer’s business and operations will not be affected by other factors not currently foreseeable by management or beyond its control. Such forward-looking statements only speak as at the date of this announcement and Freelancer assumes no obligation to update such information. The release, publication or distribution of this document in jurisdictions outside Australia may be restricted by law. Any failure to comply with such restrictions may constitute a violation of applicable securities laws.

About Freelancer

Twelve-time Webby award-winning Freelancer.com is the world’s largest freelancing and crowdsourcing marketplace by total number of users and projects posted. More than 50 million registered users have posted over 19 million projects and contests to date in over 1,800 areas as diverse as website development, logo design, marketing, copywriting, astrophysics, aerospace engineering and manufacturing. Freelancer owns Escrow.com, the leading provider of secure online payments and online transaction management for consumers and businesses on the Internet with over US$5 billion in transactions secured. Freelancer also owns Freightlancer & Loadshift, enterprise freight marketplaces with over 88 million kilometres of freight posted in 2020. Freelancer Limited is listed on the Australian Securities Exchange under the ticker ASX:FLN and is quoted on OTCQX Best Market under the ticker FLNCF.

#Freelancer #Freightlancer