Xinhua world economic news summary at 0930 GMT, May 23

Xinhua world economic news summary at 0930 GMT, May 23


WASHINGTON — U.S. rental-car company Hertz Global Holdings Inc. filed for bankruptcy protection Friday night, becoming the latest travel-related business falling victim to the COVID-19 pandemic.

“The impact of COVID-19 on travel demand was sudden and dramatic, causing an abrupt decline in the Company’s revenue and future bookings,” Hertz said in a statement, adding uncertainty remains as to when revenue will return and when the used-car market will fully re-open for sales. (U.S.-Rental Car Company-Bankruptcy)

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NAIROBI — The African Development Bank (AfDB) said on Friday it has approved 22 billion shillings (205 million U.S. dollars) loan to support Kenya’s efforts to respond to the COVID-19 pandemic.

The AfDB said the loan will also help Kenya mitigate the related economic, health and social impacts.

“The next step will focus on helping build resilience for post-COVID-19,” the Bank’s acting director general for East Africa Nnenna Nwabufo said in a statement. (Kenya-Loan-COVID-19)

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WASHINGTON — The International Monetary Fund (IMF) said Friday that pandemic-triggered economic crisis is “exposing and worsening financial vulnerabilities” that have built up during the past decade, warning of more instability and a new financial crisis.

After a decade of “extremely low rates and volatility,” there are three potential weak spots in the global financial system: risky segments in global credit markets, emerging markets, and banks, two IMF officials wrote in a blog. (IMF-Financial Instability-COVID-19)

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MINSK — The World Bank has approved a 90-million-euro (about 98 million U.S.-dollar) package to help Belarus combat COVID-19, BelTA news agency reported Friday, citing the bank’s representative office in the country.

The package aims to help Belarus take effective and timely actions to respond to the COVID-19 pandemic by strengthening the country’s national healthcare system, said the report. (Belarus-World Bank-COVID-19)

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