• Despite Prime Minister Roosevelt Skerrit's position that governments should not play a significant role in the management of any airline, he announced that countries within the sub-regional Organisation of Eastern Caribbean States (OECS) are discussing efforts to establish a new regional airline.
• Dominica, along with Antigua and Barbuda, Barbados, and St Vincent and the Grenadines, were the major shareholders of the previous regional airline, LIAT (1974) Ltd, which went bankrupt and is expected to wind up its operations in its current form on January 24.
• In a letter to staff outlining the latest position regarding the Antigua-based LIAT (1974) Ltd, the court-appointed administrator, Cleveland Seaforth, noted that after careful consideration, the decision was taken to permanently cease all commercial flying operations on January 24, 2024. 
• LIAT, before entering into administration, had been servicing several regional destinations and has since scaled down its operations and is now servicing Anguilla, Antigua, Barbados, Dominica, Guyana, Grenada, Guadeloupe, Martinique, San Juan Puerto Rico, St Kitts, St Lucia and St Maarten.
• During the presentation of his country's national budget last month, Browne said his government had embraced the responsibility to restructure and resurrect LIAT with a ‘vision of returning the airline to the regional skies'.
• Furthermore, Dominica and Barbados have also shown their interest in assisting with the building of a new regional airport; however, discussions are still underway.

(Source: Trinidad Express Newspapers)

• The settlement period for local stocks and mutual funds will be reduced from three business days to two business days as a result of an amendment to the Trinidad and Tobago Stock Exchange Ltd (TTSE) Rules, the stock exchange has stated. This change is scheduled to take effect from April 15, 2024.
• According to the TTSE, the reason for implementing a T+2 settlement period is primarily because it is more in line with international best practices and standards.
• The TTSE said the change would improve liquidity, shorten the ex-condition trading period, and improve investor confidence.
• 'A shorter settlement period allows for quicker availability of funds/cash and securities, which can promote liquidity in the market. Increased liquidity can attract more investors/trading activity and potentially lead to better price discovery,' the TTSE stated

(Source: Trinidad Express Newspapers)

• The London financial sector experienced a significant downturn in job opportunities, with a notable decrease of nearly 40% in available positions in 2023 compared to the previous year, while the number of job seekers also declined by 16%.
• In the fourth quarter of 2023, the decline intensified, reaching 42% compared to the same period in 2022. This marked the most substantial quarterly drop since the 2008 global financial crisis, indicating a challenging period for the industry.
• Despite robust profits in the banking sector, margin pressure and a deal making slump influenced a more cautious approach by employers. Factors such as market turbulence, high inflation, and geopolitical turmoil contributed to employers tightening their budgets, leading to a reduction in job openings.
• "After a year of strong pay growth and over-hiring, driven by a tight labour market, signs of a cooling market emerged as we approached the end of a challenging year," said Hakan Enver, managing director of Morgan McKinley UK.
• "We saw a decrease in job seekers, candidate supply, and the number of jobs available. Employer confidence receded amid the sustained economic slowdown and conflict in the Middle East, prompting spending and hiring to be reined in." However, Enver noted that the number of jobs available last year was broadly on par with 2019, prior to a significant post-pandemic hiring boom.

(Source: Reuters)

• Oil prices lost more than 1% last Monday as the Middle East conflict's limited impact on crude output prompted profit taking after oil benchmarks gained 2% last week.
• Several tanker owners steered clear of the Red Sea, and multiple tankers changed course on Friday after the U.S. and Britain launched strikes against Houthi targets in Yemen. The strikes started after the Iran-backed group's attacks on shipping in response to Israel's war against Hamas in Gaza. The conflict has also held up at least four liquefied natural gas tankers travelling in the area.
• "The realization that oil supply has not been adversely impacted is leading last week's bulls to take profit, with the move down somewhat exacerbated by a slightly stronger dollar," said Tamas Varga of oil broker PVM.
• On Sunday, the Houthi militia threatened a "strong and effective response" after the United States carried out another strike overnight. The U.S. later said it shot down a missile fired at one of its ships from Yemen. The chief negotiator for Yemen's Houthis on Monday warned that attacks on ships headed towards Israel will continue.
• "As the Middle East conflict is currently not affecting oil production, the geopolitical risk premium priced in oil prices now appears modest based on the implied volatility of options," Goldman Sachs analysts said in a note.
• There have been no oil supply losses so far, but the shipping disruption is indirectly tightening the market by keeping 35Mn barrels at sea. This is owed to longer journeys shippers have to take to avoid the Red Sea, Citi analysts wrote. In Libya, people protesting against perceived corruption threatened to shut down two more oil and gas facilities after shutting the 300,000 barrel per day in the Sharara field on January 7.

(Source: Reuters)

• Massy Holdings Ltd has appointed Wendy Kerry, its former Senior Vice President, Corporate Governance & Corporate Secretary division, as the acting general counsel effective January 8, 2024. This decision follows the December 27^th resignation of Angelique Parisot-Potter, the Executive Vice President of Business Integrity and Group General Counsel.
• Mrs. Parisot-Potter was placed on paid administrative leave on December 20, pending the completion of an internal investigation related to claims she made during the company’s annual general meeting on December 18. She alleged that Massy was “spending scarce foreign exchange on an executive management programme in Fort Myers, Florida”.
• Massy has since denied these allegations and has initiated an independent process to investigate the claims made by the Group’s former General Counsel.
• Despite the incident and subsequent press releases, there were no significant movements in Massy’s stock price. The stock price closed at $89.07 on January 11, 2024. At this price, it trades at a P/E of 9.98x earnings, which is below the Main Market Conglomerate Sector Average of 10.20x.

(Sources: JSE, MASSY & NCBCM Research)

• At JMMB’s general meeting held on December 13, 2023, shareholders of Preference Shares due January 14, 2024, reached a resolution to extend the maturity date for two out of the four classes of the maturing preference shares.
• The cumulative redeemable 7.50% variable rate JMD preference share class is to be extended to January 14, 2030. Under the new arrangement, a revised fixed interest rate of 9.5% will be applicable for the first year, followed by the 180-day weighted average treasury bill yield (WATBY) plus 2.5%, capped at 6% thereafter. The new International Securities Identification Number (ISIN) assigned to the share is JMMBGL9.50.
• Similarly, the cumulative redeemable 6.00% USD preference shares class is to be extended to January 14, 2030, and the fixed interest rate will be increased to 8.5%. The new ISIN is JMMBGLUSD8.50.
• However, the proposed extension for both the Cumulative Redeemable 7.25% Variable Rate JMD Preference Shares and the Cumulative Redeemable 5.75% USD Preference Shares were not approved. Consequently, these shares will be delisted from the Jamaica Stock Exchange and paid out on January 12, 2024.

(Sources: JSE & JMMB)

• The People’s Progressive Party Civic (PPP/C) delivered four national budgets since its return to office in 2020, but none of those fiscal plans imposed new taxes. In fact, those budgets reversed a number of taxes.
• Similarly, Vice President Dr. Bharrat Jagdeo disclosed on Thursday that the 2024 national budget, to be presented next Monday, will not be funded by the imposition of any new tax on Guyanese. “It has been a trend of PPP governments, and this is something we promised in our local government campaign, no new taxes, but I can also say that at the national level, there will be no new taxes,” Jagdeo said.
• Additionally, while Finance Minister Dr. Ashni Singh will unveil the details of the budget on Monday, Jagdeo said Guyanese can look forward to the continuation of infrastructural development. He confirmed, “You’re going to see economic infrastructure continuing, projects that will expand productive capacity, you will see support for industries, and you will see social infrastructures”.
• Singh said previously that budget 2024 aligns with the administration’s manifesto of 2020, which laid the foundation for prosperity for all. It will be shaped upon two primary pillars, which include the implementation of mechanisms aimed at increasing disposable income in the hands of citizens and the development of Guyana’s economic and social infrastructure.
• Last year, on January 16, Dr. Singh presented a $789.1Bn budget in the National Assembly under the theme ‘Improving Lives Today, Building Prosperity for Tomorrow’. That budget saw critical development programmes for the government being fast-tracked and many more expanded to reflect the government’s continued transformational agenda for the country.

(Source: Guyana Newsroom)

• The United States reaffirmed the crucial nature of its partnership with the Caribbean Community (CARICOM) as a two-day meeting commenced in Grenada on Wednesday, January 10, 2024. 
• The Technical Working Group meeting, orchestrated by the United States Agency for International Development (USAID) in collaboration with the Grenada government and the CARICOM Secretariat, signals a significant step forward in the joint efforts to combat the pressing issue of youth crime and violence.
• USAID emphasises that the Caribbean Basin Security Initiative (CBSI) serves as a testament to the importance of adaptability in response to evolving circumstances. 
• This collaborative initiative underscores the commitment of the United States to work hand in hand with CARICOM nations in tackling shared challenges.
• Since its inception in 2010, the United States has been actively engaged with Caribbean governments through CBSI. The overarching goals have been to curtail illicit trafficking, enhance citizen security, and confront the underlying factors contributing to crime and violence in the region.

(Source: Caribbean National Weekly)

• According to the International Monetary Fund (IMF), global economic growth will remain "resilient" this year after a stronger-than-expected 2023, but work is needed to boost global growth rates above an anemic 3% range in the medium term.
• IMF spokesperson Julie Kozack explained that the global economy appeared headed for a "soft landing" with inflation subsiding and labour markets resilient, but low-income countries could still fall further behind.
• Kozack said dire predictions of recessions in many regions that were prevalent a year ago did not materialize in 2023. "So we've had a relatively resilient global economy so far. We expect that resilience to continue into 2024," Kozack said, noting that inflation was coming down.
• However, the news is "not all good" because recent and near-term growth of about 3% is lower than previous pre-COVID global average growth rates of around 3.8%. "So we do have work to do to lift global growth, especially over the medium term," she noted, adding that the situation pointed to the need for sound policies and reforms that could raise productivity.
• Asked if the economic resilience in 2024 would spread beyond the United States, Kozack said there is a divergence of fortunes among countries and regions, with a risk that low-income countries could fall further behind. "Low-income countries are having the hardest time recovering from a series of shocks, including the pandemic, the food and oil price shocks," as such, the Fund’s work in 2024 will have a strong focus on helping its most vulnerable member countries.

(Source: Reuters)

• The rocky path of getting inflation back to the U.S. Federal Reserve's 2% target rate reflected in the latest Consumer Price Index (CPI) figures suggests that it would likely be too soon for the central bank to cut its policy rate in March, Cleveland Fed President Loretta Mester said on Thursday.
• Overall consumer price inflation on a 12-month basis rose to 3.4% in December from 3.1% the month before. However, excluding volatile food and energy costs, the pace of price increases fell to 3.9% from 4%, showing ongoing moderation in underlying price pressures.
• "I think March is probably too early in my estimation for a rate decline because I think we need to see some more evidence," Mester said. "I think the December CPI report just shows there is more work to do, and that work is going to take restrictive monetary policy."
• Mester cited the need for goods, housing, and shelter, excluding housing categories in the inflation measurement to "see more progress" as well as for wage gains to slow. Earlier on Thursday, the difficulty in bringing inflation back down was underscored by a stronger-than-expected reading on price pressures as Americans paid more for shelter and healthcare.
• Furthermore, inflation figures followed the closely watched monthly jobs report last Friday, which showed a still-resilient labor market, with employers adding 216,000 jobs in December and annual wage growth edging up. The data could deter the Fed from rate cuts.
• Investors are still maintaining bets, though, that the Fed will begin to cut its policy rate at the following meeting in March, according to an analysis of fed funds futures contracts by the CME Group. The Fed's rate-setting committee next meets on January 30-31, when the central bank is expected to keep its policy rate unchanged in the current 5.25% - 5.50% range.

(Source: Reuters)