World Bank Sees EM Economies Shrinking for First Time Since 1960, Bank of America’s AI Robot Learns 60,000 Ways to Talk, Covid-19: PMI readings of top MENA economies suggest worst is over.
WORLD FINANCE NEWS BRIEF
World Bank Sees EM Economies Shrinking for First Time Since 1960
The global economy will contract the most since World War II this year and emerging nations’ output will shrink for the first time in at least six decades due to the Covid-19 pandemic, reducing incomes and sending millions of people into poverty, the World Bank said.
This decline may push 70 million to 100 million people into extreme poverty, Ceyla Pazarbazioglu, the World Bank’s vice president of equitable growth, finance and institutions, told reporters by phone.
Emerging economies with limited health-care capacity, deeply integrated global value chains, heavy dependence on foreign financing and extensive reliance on international trade, commodity exports and tourism are likely to be the hardest hit.
Bank of America’s AI Robot Learns 60,000 Ways to Talk About the Coronavirus
David Tyrie, head of digital banking, sat down with a team in March to teach the app a couple of hundred virus-related words and phrases. Since then, use of Erica on Bank of America’s mobile app and website has surged to a record.
The pandemic has given a boost to digital banking, which involves less paperwork, greater use of electronic services.
For Charlotte, North Carolina-based Bank of America, the digital push translated to more than 2 million customers using Erica for the first time since the beginning of March, bringing total active users to greater than 13 million.
Customers are now asking Erica about monthly charges, credit scores and scheduling bill reminders. In April, they were most concerned with payment deferrals, stimulus checks and small-business loans.
Global Natural Gas Demand Set for Biggest Fall on Record
The dip shows the market “is far from immune” from the pandemic, said Fatih Birol, head of the IEA.
GCC NEWS BRIEF
Covid-19: PMI readings of top MENA economies suggest worst is over.
While for Saudi Arabia and Egypt, the non-oil private sector output fell again in May, according to IHS Markit PMI, the rate of decline eased since April. For UAE, the economy showed muted signs of recovery, and in Dubai, the economic downturn continued in May but at a slower pace.
The change in curfew hours in May helped to lighten the impact on the UAE economy, PMI data suggests.
Majority of UAE Banks Plan to Enable Open Banking in One Year
Open Finance which will see the next wave of innovation in financial services being created on open platforms, using open APIs and open software solutions,”
The greatest impact of open banking will be on corporate banking according to 57 percent of respondents, followed by retail banking and payments (both at 51 percent).