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As a fixture of India’s burgeoning craft beer scene, Varsha Bhat is a rarity twice over: first as a woman who brews alcohol, and second as a woman who drinks it.Bhat is staking a claim to a male-dominated industry in a country where social mores compel most women to stay teetotal. The 38-year-old had for years weathered barbs from male peers questioning whether she had the muscles to carry hefty bags of hops or was calm enough to deal with the job’s pressures.But after a decade in the industry she has risen to become head brewer at one of Bengaluru’s most popular pubs, catering for the city’s moneyed young tech workers.”There’s nothing a woman can’t do that a man can… from recipe development, to the physical work, to managing a team,” Bhat told AFP.”We’ve taken that step to come forward and say that we can do it,” she added. “There was a stigma… we’re breaking those stereotypes and barriers.” Bengaluru has long been renowned for a more liberal drinking culture than the rest of India — a country where 99 percent of women do not drink, according to government figures.Its signature tech industry employs a young and highly educated workforce drawn from elite universities, often arriving without established social connections to the city.That provides a roaring trade to Bengaluru’s thriving craft beer bars, with in-house breweries employing hundreds and a clientele both eager to meet new people and ready to burn money.The city’s workforce is an anomaly in a country where, according to official statistics, only 25 percent of working-age women are formally employed.By comparison, they account for nearly 40 percent of those working at Bengaluru’s tech firms — a testament to the city’s ability to draw ambitious women from elsewhere in India, large numbers of whom are seen chatting raucously with friends in bars after hours.- ‘Role model’ -Among them is Lynette Pires, 32, who moved to Bengaluru to work as a pharmaceutical researcher but quickly found herself drawn to the brewing business.Her path to becoming the brewer at a burgeoning outdoor beer garden in the city’s south forced her to assert herself over male colleagues who refused to take her seriously.”Standing there in mostly a male-dominated room and trying to get your opinion across or trying to get them to listen… you have to learn how to overcome that and move past it,” she told AFP. Four years ago she founded the Women Brewers Collective which, along with more than a dozen other women working in the city’s brewpubs, aims to smooth the path for those who come next. “I definitely want to be a role model for other women brewers,” Pires said. “That’s what it’s all about — to inspire and help develop other women who are entering the industry.”- ‘Bitter men, bitter beer’ -While Bhat and Pires are trailblazers in their own city, women have been the pillars of the brewing industry since ancient times.The first recorded beer recipe is thought to have been written on a piece of clay in 1800 BC as an ode to Ninkasi, the Sumerian goddess of beer.Around the same time in Mesopotamia, the Code of Hammurabi, among the earliest known laws, referred to female tavern owners. Given this history, it was “crazy and a little immature and ignorant when people say it’s a man’s drink”, Girija Chatty, host of a podcast about India’s beer industry, told AFP. Drinking is often frowned upon in India, with independence leader Mahatma Gandhi one of the most strident voices in favour of temperance and abolition.India’s 1949 constitution enjoins the government to ban drinking except for “medicinal purposes”, a clause largely ignored except for prohibitions imposed in some states.Even among the small minority of Indians who do drink, the divide between the sexes is stark — nearly 15 times as many men as women imbibe, according to a government health survey published in 2022. Among the small number of women who frequent bars, that divide and its attendant social expectations are still easy to spot. Chatty cites the regular instance of waiters reflexively handing the drinks menu to any man seated at the table — rather than the woman who asked for it in the first place.”If women can handle bitter men,” she joked, “they can very well handle bitter beer.”

Shares in the Japanese owner of 7-Eleven plunged as much as 12 percent on Thursday after the convenience store giant said its founding family failed to put together a white-knight buyout.Last year Seven & i rejected an offer worth nearly $40 billion from Canadian rival Alimentation Couche-Tard (ACT) which would have been the biggest foreign buyout of a Japanese firm.Even as ACT reportedly sweetened its bid, Seven & i said in November it was studying a counter-offer from its founding Ito family reportedly worth around eight trillion yen ($54 billion).The family were reportedly negotiating financing from top Japanese banks as well as companies such as Itochu Corp, which owns the FamilyMart chain.But Seven & i said Thursday it was “notified that it has become difficult to procure the necessary funds for an official proposal about the acquisition.””We will continue to explore and scrutinise all strategic options including the proposal from ACT,” it said in a statement.Itochu said in its own statement it had “sincerely considered the matter” but that its “consideration on this matter has been terminated.”- ‘Grossly undervalued’ -With around 85,000 outlets, 7-Eleven is the world’s biggest convenience store brand.The franchise began in the United States, but it has been wholly owned by Seven & i since 2005.ACT, which began with one store in Quebec in 1980, now runs nearly 17,000 convenience store outlets worldwide including the Circle K chain.In September, when Seven & i rejected the initial takeover offer from ACT, the company said it had “grossly” undervalued its business and could face regulatory hurdles.Its 7-Eleven stores are a beloved institution in Japan, selling everything from concert tickets to pet food and fresh rice balls, although sales have been flagging.Japan’s minister for economic revitalisation said in January that the country would study the “economic security” aspects of any foreign acquisition of 7-Eleven.Ryosei Akazawa highlighted the role Japan’s convenience stores can play in times of crisis, such as after major earthquakes and other disasters, particularly in remote regions.In 2021, ACT dropped a takeover bid worth 16 billion euros ($17 billion today) for French supermarket Carrefour after the French government said it would veto the deal over food security concerns.Late morning in Tokyo, Seven & i shares were down 11.2 percent.

Wall Street stocks were mixed at the end of a choppy session Wednesday as US President Donald Trump signaled plans for tariffs on the European Union.While the Dow retreated, the tech-focused Nasdaq pushed higher in anticipation of earnings from artificial intelligence giant Nvidia.After the trading day, Nvidia reported net income of $22 billion on an unprecedented $39.3 billion in revenue in a blockbuster fourth quarter, as CEO Jensen Huang touted interest in the company’s Blackwell chip technology.”Demand for Blackwell is amazing,” said Huang, who touted the new technology’s groundbreaking features.”AI is advancing at light speed as agentic AI and physical AI set the stage for the next wave of AI to revolutionize the largest industries.”The company’s results had been keenly awaited as a proxy for the broader artificial intelligence industry.Nvidia’s guidance “could be pivotal, not just for the company, but in setting overall market direction, at least in the short term,” said Trade Nation analyst David Morrison.”This will be the first earnings update from the company since Chinese upstart DeepSeek managed to upset the US’s generative AI industry by producing an assistant of equivalent quality but at a fraction of the cost,” he said.DeepSeek’s unveiling of its chatbot threw US tech titans into a tailspin as the Chinese technology undermined their massive AI investments and their high stock valuations.Nvidia’s shares have taken a beating in recent sessions and overall US tech shares, which helped drive the market to record highs at the end of last year, have stumbled in 2025.Hong Kong closed up more than three percent, with investors snapping up tech stocks following a poor start to the week sparked by fresh concerns over US President Donald Trump’s tariff plans.In Europe, Paris and Frankfurt rose more than one percent prior to Trump’s talk of tariffs on the EU.US stocks have been under pressure in recent days due to lackluster US economic data and worries about Trump’s policies. During a cabinet meeting, the US president said he expects 25 percent tariffs on the European Union.Trump said that cars would be among the products to be hit — grim news for Germany, whose export-driven economy has been in a slump.The European Commission warned it would respond “firmly and immediately” to new tariffs.Among individual companies, General Motors jumped 3.8 percent after unveiling a new $6 billion share repurchase authorization and lifting its quarterly divided by three cents a share.US shares of BP fell 1.7 percent as it announced a major retreat from renewable energy in a pivot back to petroleum investments.- Key figures around 2130 GMT -New York – Dow: DOWN 0.4 percent at 43,433.12 (close)New York – S&P 500: FLAT at 5,956.06 (close)New York – Nasdaq Composite: UP 0.3 percent at 19,075.26 (close)London – FTSE 100: UP 0.7 percent at 8,731.46 (close)Paris – CAC 40: UP 1.2 at 8,143.92 (close)Frankfurt – DAX: UP 1.7 percent at 22,794.11 (close)Tokyo – Nikkei 225: DOWN 0.3 percent at 38,142.37 (close)Hong Kong – Hang Seng Index: UP 3.3 percent at 23,787.93 (close)Shanghai – Composite: UP 1.0 percent at 3,380.21 (close)Euro/dollar: DOWN at $1.0480 from $1.0514 on TuesdayPound/dollar: UP at $1.2672 from $1.2666Dollar/yen: UP at 149.13 from 149.03 yenEuro/pound: DOWN at 82.70 pence from 83.00 pence Brent North Sea Crude: DOWN 0.7 percent at $72.53 per barrelWest Texas Intermediate: DOWN 0.5 percent at $68.62 per barrelburs-jmb/st

Global stock markets climbed on Wednesday, helped by renewed interest in the tech sector.Shares in Nvidia, the world’s leading generative AI chipmaker, jumped around five percent in late morning trading with the company set to announce its results after the closing bell.Hong Kong closed up more than three percent, with investors snapping up tech stocks following a poor start to the week sparked by fresh concerns over US President Donald Trump’s tariff plans.In Europe, Paris and Frankfurt led the way with gains of over one percent.Wall Street pushed higher, with the tech-heavy Nasdaq Composite index rising 1.1 percent with traders looking keenly to Nvidia’s results.The company’s guidance “could be pivotal, not just for the company, but in setting overall market direction, at least in the short term”, said Trade Nation analyst David Morrison.”This will be the first earnings update from the company since Chinese upstart DeepSeek managed to upset the US’s generative AI industry by producing an assistant of equivalent quality but at a fraction of the cost,” he said.DeepSeek’s unveiling of its chatbot threw US tech titans into a tailspin as it undermined their massive AI investments and their high stock valuations.Nvidia’s shares have taken a beating in recent sessions and overall US tech shares, which helped drive the market to record highs at the end of last year, have stumbled in 2025.Hong Kong’s stock market rally came as investors snapped up long-neglected tech names, after DeepSeek sparked renewed interest in the sector.Beijing’s moves to bring the firms in from the cold after years of government crackdowns on the industry also boosted sentiment.E-commerce heavyweight Alibaba was again one of the major advancers, rallying 4.8 percent, with JD.com more than eight percent higher, Meituan up nearly 10 percent and Tencent up 3.4 percent.Sentiment took a knock at the start of the week from news that Trump had signed a memo over the weekend calling for curbs on Chinese investments in industries including technology, critical infrastructure, healthcare and energy.The move is aimed at promoting foreign investment in the United States, while protecting national security interests “particularly from threats posed by foreign adversaries” like China, the White House said.Tokyo was a rare decliner among major stock markets Wednesday, hit by recent strengthening of the yen amid expectations that the Bank of Japan would continue hiking interest rates this year.The yen has benefitted also from a pick-up in bets on cuts to US interest rates.Expectations for Federal Reserve reductions were boosted by a Conference Board survey showing US consumer confidence in February saw its largest monthly decline since August 2021.The reading came on the heels of other lacklustre US reports including on service sector activity, jobs and inflation.- Key figures around 1630 GMT -New York – Dow: UP 0.3 percent at 43,751.02 pointsNew York – S&P 500: UP 0.7 percent at 5,999.12New York – Nasdaq Composite: UP 1.1 percent at 19,243.51London – FTSE 100: UP 0.7 percent at 8,731.46 (close)Paris – CAC 40: UP 1.2 at 8,143.92 (close)Frankfurt – DAX: UP 1.7 percent at 22,794.11 (close)Tokyo – Nikkei 225: DOWN 0.3 percent at 38,142.37 (close)Hong Kong – Hang Seng Index: UP 3.3 percent at 23,787.93 (close)Shanghai – Composite: UP 1.0 percent at 3,380.21 (close)Euro/dollar: DOWN at $1.0509 from $1.0517 on TuesdayPound/dollar: UP at $1.2693 from $1.2668Dollar/yen: UP at 149.30 from 149.00 yenEuro/pound: DOWN at 82.79 pence from 83.00 pence Brent North Sea Crude: DOWN 0.1 percent at $72.41 per barrelWest Texas Intermediate: FLAT at $68.91 per barrelburs-rl/gv

Global stock markets rallied Wednesday, helped by renewed positivity over the tech sector, analysts said.Shares in Nvidia, the world’s leading generative AI chipmaker, rebounded more than three percent at the start of trading in New York with the company set to announce its results after the closing bell.Hong Kong closed up more than three percent, with investors snapping up stocks following a poor start to the week sparked by fresh concerns over US President Donald Trump’s tariff plans.In Europe, Paris and Frankfurt led the way with gains of around one percent in afternoon trading.The dollar gained against main rivals and oil prices steadied.Wall Street pushed higher at the opening bell, with the tech-heavy Nasdaq Composite index rising 0.4 percent.Traders brushed off a disappointing Tuesday that followed more weak US economic data, with traders looking keenly to Nvidia’s results.The company’s guidance “could be pivotal, not just for the company, but in setting overall market direction, at least in the short term”, said Trade Nation analyst David Morrison.”This will be the first earnings update from the company since Chinese upstart DeepSeek managed to upset the US’s generative AI industry by producing an assistant of equivalent quality but at a fraction of the cost,” he said.DeepSeek’s unveiling of its chatbot threw US tech titans into a tail spin as it undermined their massive AI investments and their high stock valuations.Nvidia’s shares have taken a beating in recent sessions and overall US tech shares, which helped drive the market to record highs at the end of last year, have stumbled in 2025.Hong Kong’s stock market rally came as investors snapped up long-neglected tech names, after DeepSeek sparked renewed interest in the sector.Beijing’s moves to bring the firms in from the cold after years of government crackdowns on the industry also boosted sentiment.E-commerce heavyweight Alibaba was again one of the major advancers, rallying 4.8 percent, with JD.com more than eight percent higher, Meituan up nearly 10 percent and Tencent up 3.4 percent.Sentiment took a knock at the start of the week from news that Trump had signed a memo over the weekend calling for curbs on Chinese investments in industries including technology, critical infrastructure, healthcare and energy.The move is aimed at promoting foreign investment in the United States, while protecting national security interests “particularly from threats posed by foreign adversaries” like China, the White House said.A rare faller among major stock markets Wednesday was Tokyo, hit by recent strengthening of the yen amid expectations that the Bank of Japan would continue hiking interest rates this year.The yen has benefitted also from a pick-up in bets on cuts to US interest rates.Expectations for Federal Reserve reductions were boosted by a Conference Board survey showing US consumer confidence in February saw its largest monthly decline since August 2021.The reading came on the heels of other lacklustre US reports including on service sector activity, jobs and inflation.- Key figures around 1430 GMT -New York – Dow: UP less than 0.1 percent at 43,641.15 pointsNew York – S&P 500: UP 0.3 percent at 5,971.14New York – Nasdaq Composite: UP 0.4 percent at 19,095.96London – FTSE 100: UP 0.4 percent at 8,706.15Paris – CAC 40: UP 0.9 at 8,119.60Frankfurt – DAX: UP 1.2 percent at 22,682.86Tokyo – Nikkei 225: DOWN 0.3 percent at 38,142.37 (close)Hong Kong – Hang Seng Index: UP 3.3 percent at 23,787.93 (close)Shanghai – Composite: UP 1.0 percent at 3,380.21 (close)Euro/dollar: DOWN at $1.0488 from $1.0517 on TuesdayPound/dollar: DOWN at $1.2658 from $1.2668Dollar/yen: UP at 149.46 from 149.00 yenEuro/pound: DOWN at 82.85 pence from 83.00 pence Brent North Sea Crude: DOWN 2.2 percent at $72.40 per barrelWest Texas Intermediate: FLAT at $68.92 per barrelburs-rl/jj

Indonesia has struck a deal with Apple for the tech giant to invest in the country, its industry minister and the company said Wednesday, in a move that could end a ban on iPhone 16 sales in Southeast Asia’s biggest economy. The government in October prohibited the marketing and sale of the model over the US tech titan’s failure to meet regulations requiring 40 percent of phones be made from local parts. Industry Minister Agus Gumiwang Kartasasmita said Wednesday that a Memorandum of Understanding had been signed virtually between officials from his ministry and Apple, according to a ministry statement. “The Ministry of Industry has approved the investment and innovation plan by Apple from 2025 to 2028. We have also signed the MoU with Apple,” Agus said in the statement. Apple will build two facilities — one in Bandung in West Java province to produce accessories and another in Batam worth $150 million to help produce AirTags via local suppliers, the statement said. Agus also said Apple expressed its commitment to building a semiconductor research and development centre in Indonesia, the “first of its kind in Asia”.The MoU allows for the revoking of the iPhone 16 sales ban under certain conditions. Agus said work towards approval of a local content certificate to sell the iPhone 16 could begin after the agreement was signed. “We’re excited to expand our investments across Indonesia and can’t wait to bring all of Apple’s innovative products, including the iPhone 16 family, with the all new iPhone 16e, to our customers,” Apple Indonesia told AFP in a statement. A government source confirmed to AFP on Tuesday that terms for the lifting of the ban had been agreed, without providing more details. Jakarta rejected a $100 million investment proposal from Apple in November, saying it lacked the “fairness” required by the government. The negotiation deadlock forced Apple to later offer an investment of $1 billion to build an AirTag factory in the country. Despite the sales ban, the government had allowed iPhone 16s to be carried into Indonesia if they were not being traded commercially. Indonesia also banned the sale of Google Pixel phones for failing to meet the 40 percent parts requirement. Apple chief executive Tim Cook visited Indonesia last year as the tech giant explored ways to invest in the country and diversify supply chains away from China. 

Hong Kong’s finance chief unveiled a “belt-tightening” budget on Wednesday that aimed to end the city’s string of record-high deficits by 2028 while seeking growth in areas such as artificial intelligence.Annual deficits exceeded US$22 billion in four of the past five years, according to official figures — the worst balance sheet since the former British colony was handed over to China in 1997.Financial Secretary Paul Chan said the city will end its deficit by 2028 and return to surplus by the next year, with the help of bond sales raising up to US$25.1 billion annually — as well as the slashing of about 10,000 civil service jobs by early 2027.”We try our best to diversify and grow our economy, but at the same time, it is a belt-tightening budget,” Chan told reporters at a press conference.Hong Kong is being weighed by China’s economic malaise and a looming US-China trade war, following an opening salvo of tariffs from President Donald Trump. The economy is expected to grow between two and three percent this year, on par with last year’s 2.5 percent.Announcing a series of cuts, Chan said in his annual budget speech that the government is aiming for a “cumulative reduction” of recurrent expenditure by seven percent through to 2027-28.He announced a pay freeze for all branches of government and said around six percent of its 170,000-strong civil service will be trimmed by April 2027.Other spending curbs include a cap on a transport subsidy for people aged above 60.But Hong Kong’s Democratic Party said top government officials should go further and volunteer for pay cuts, adding that the tweak to transport subsidies may chill economic activity.Hong Kong has long relied on land-related revenue to fill government coffers, but income from that plunged last year to US$1.7 billion — the lowest in two decades.Chan said Hong Kong’s asset market was “under pressure” and that land-related revenue will rebound to US$2.7 billion this year.”It would be responsible on the part of the government to adopt a relatively conservative estimate,” Chan told AFP.The government said it would not put commercial land up for sale in the coming year amid high office vacancy rates.- ‘Northern Metropolis’ -To reverse the property slump, Hong Kong will also lower the stamp duty on homes valued under US$515,000.Marcos Chan, from commercial real estate firm CBRE Hong Kong, said the budget had “fewer policy measures aimed at directly boosting property demand”.The finance chief said Wednesday that the government would spend US$129 million to set up the Hong Kong AI Research and Development Institute, in a bid to make the city “an international exchange and co-operation hub for the AI industry”.The city is eager to lure back international visitors after its reputation took a hit from political unrest and pandemic-related curbs.The government will allocate US$159 million to its tourism body to promote “distinctive tourism products” such as horse racing and pandas.Activists from the League of Social Democrats, one of the last remaining pro-democracy groups, cancelled their annual pre-budget petition on Wednesday morning citing “strong pressure”.The group planned to call for pay cuts for top officials, greater government accountability and halting costly infrastructure projects such as the “Northern Metropolis”.But Chan said on Wednesday the government will push ahead with the project, which aims to integrate Hong Kong more closely to its neighbour Shenzhen.”We must accelerate the development of the Northern Metropolis. It is an investment in our future,” he said.The International Monetary Fund said last month that Hong Kong was “recovering gradually after a protracted period of shock”.The city’s benchmark Hang Seng Index, which has rallied to a three-year high thanks to a recent surge in mainland tech companies, rose more than three percent Wednesday.

Indonesia has struck a deal with Apple for the tech giant to invest in the country, local media reported a minister as saying Wednesday, in a move that could end a ban on iPhone 16 sales in Southeast Asia’s biggest economy.The government in October prohibited the marketing and sale of the model over the US tech titan’s failure to meet regulations requiring 40 percent of phones be made from local parts.Industry Minister Agus Gumiwang Kartasasmita said Wednesday that a Memorandum of Understanding had been signed virtually between officials from his ministry and Apple, reports said.Apple will build two facilities — one in Bandung in West Java Province to produce accessories and another in Batam worth $150 million to help produce Airtags via local suppliers, Bloomberg News reported the minister as saying. The MoU allows for the revoking of the iPhone 16 sales ban under certain conditions, according to the reports.Agus said work towards approval of a local content certificate to sell the iPhone 16 could begin after the agreement was signed, local news site Kompas said.A government source confirmed to AFP on Tuesday that terms for the lifting of the ban had been agreed, without providing more details.Apple Indonesia, the Industry Ministry and the Investment Ministry did not immediately respond to a request for comment.Jakarta rejected a $100 million investment proposal from Apple in November, saying it lacked the “fairness” required by the government.The negotiation deadlock forced Apple to later offer an investment of $1 billion to build an AirTag factory in the country.Despite the sales ban, the government had allowed iPhone 16s to be carried into Indonesia if they were not being traded commercially. Indonesia also banned the sale of Google Pixel phones for failing to meet the 40 percent parts requirement.Apple chief executive Tim Cook visited Indonesia last year as the tech giant explored ways to invest in the country and diversify supply chains away from China.

Hong Kong stocks resumed their impressive start to the year on Wednesday as they rocketed more than three percent on the back of a surge in tech firms fuelled by fresh optimism over the sector in China.The rally led gains across most Asian and European markets, with investors shifting back to buy mode following a poor start to the week sparked by fresh US tariff concerns.Traders brushed off another disappointing day on Wall Street following more data showing consumers in the world’s top economy were losing confidence.The Hong Kong market climbed more than three percent and has enjoyed a blockbuster start to the year, rocketing by almost a fifth to hit its highest level since March 2022.The rally has come as investors snap up long-neglected tech names after Chinese startup DeepSeek unveiled a chatbot last month that upended the AI universe.It has also been helped by Beijing’s moves to bring the firms in from the cold after years of government crackdowns on the industry.E-commerce heavyweight Alibaba was again one of the major advancers, rallying 4.8 percent, with JD.com more than eight percent higher, Meituan up nearly 10 percent and Tencent up 3.4 percent.Sentiment took a knock at the start of the week from news that US President Donald Trump had signed a memo over the weekend calling for curbs on Chinese investments in industries including technology, critical infrastructure, healthcare and energy.The move is aimed at promoting foreign investment in the United States, while protecting national security interests “particularly from threats posed by foreign adversaries” like China, the White House said.There were also gains in Shanghai, Seoul, Wellington, Taipei, Manila and Bangkok while London, Paris and Frankfurt rose at the open.Sydney, Singapore and Jakarta fell.Tokyo was down but pared earlier losses. It had been hit by a strengthening yen amid expectations that the Bank of Japan would continue hiking interest rates this year, while the currency also benefitted from a pickup in US rate cut bets.Expectations for Federal Reserve reductions were boosted by a Conference Board survey showing US consumer confidence in February saw its largest monthly decline since August 2021.The reading came on the heels of other lacklustre US reports including on service sector activity, jobs and inflation.Rate-cut talk has grown as optimism over the US economy wanes and investors worry that Trump’s tariffs drive and plans to slash taxes, regulations and immigration will reignite consumer prices.Focus is now on the release of the core personal consumption expenditures price index, the Fed’s preferred inflation metric, which could give a fresh idea about the outlook for US rates.On Wall Street, the Dow rose but the S&P 500 and Nasdaq retreated as tech giants struggled amid concerns over their high valuations and their huge spending on AI development.New York’s main indexes have struggled this year as the long-running US tech surge has hit the buffers after Chinese startup DeepSeek unveiled its bombshell chatbot last month, upending the AI scramble.Earnings from market heavyweight Nvidia will be closely watched for an insight into its AI chip sales.”The main focus though is probably what CEO Jensen Huang says about the state of the chip sector, where AI is going, what the DeepSeek competition means and any impact from tariffs,” said Neil Wilson, an analyst at TipRanks trading group.- Key figures around 0815 GMT -Tokyo – Nikkei 225: DOWN 0.3 percent at 38,142.37 (close)Hong Kong – Hang Seng Index: UP 3.3 percent at 23,787.93 (close)Shanghai – Composite: UP 1.0 percent at 3,380.21 (close)London – FTSE 100: UP 0.6 percent at 8,722.16Euro/dollar: DOWN at $1.0494 from $1.0517 on TuesdayPound/dollar: DOWN at $1.2649 from $1.2668Dollar/yen: UP at 149.48 from 149.00 yenEuro/pound: DOWN at 82.97 pence from 83.00 pence West Texas Intermediate: UP 0.4 percent at $69.17 per barrelBrent North Sea Crude: UP 0.3 percent at $73.27 per barrelNew York – Dow: UP 0.4 percent at 43,621.16 (close)

Hong Kong will cut public spending and restore fiscal balance by mid-2027 after a string of huge deficits, the city’s finance chief said Wednesday as he unveiled growth plans including an artificial intelligence institute.Officials are under pressure to balance the books as Hong Kong faces its toughest fiscal test in three decades, with annual deficits exceeding US$20 billion in four of the past five years.It is also being weighed by China’s economic malaise and a looming US-China trade war, following an opening salvo of tariffs from President Donald Trump. The economy is expected to grow between two and three percent this year, on par with last year’s 2.5 percent.Financial Secretary Paul Chan said in his annual budget speech that the government will contain spending in a way that minimises the impact on public services and livelihoods.A “cumulative reduction” of government recurrent expenditure by seven percent through to 2027-28 would take place, he said.”It gives us a clear pathway towards the goal of restoring fiscal balance in the operating account… within the current term of the government,” which ends in June 2027, he added.Chan announced a pay freeze for all branches of government and said around six percent of its 170,000-strong civil service will be trimmed by April 2027.Other spending curbs include a cap on a transport subsidy for people aged above 60.Hong Kong has long relied on land-related revenue to fill government coffers, but income from that plunged last year to US$1.7 billion — the lowest in two decades.Chan said Hong Kong’s asset market was “under pressure” and that land-related revenue will rebound to US$2.7 billion this year.The government said it would not put commercial land up for sale in the coming year amid high office vacancy rates.- ‘Northern Metropolis’ -To reverse the property slump, Hong Kong will also lower the stamp duty of homes valued under US$515,000.Marcos Chan, from commercial real estate firm CBRE Hong Kong, said the budget had “fewer policy measures aimed at directly boosting property demand”.The finance chief said Wednesday that the government would spend HK$1 billion (US$129 million) to set up a Hong Kong AI Research and Development Institute, in a bid to make the city “an international exchange and co-operation hub for the AI industry”.The city is eager to lure back international visitors after its reputation took a hit from political unrest and pandemic-related curbs.The government will allocate US$159 million to its tourism body to promote “distinctive tourism products” such as panda tourism and horse-racing tourism.Chan’s speech saw no public opposition, as authorities continued to crack down on dissent in the city.Activists from the League of Social Democrats, one of the last remaining pro-democracy groups, cancelled their annual pre-budget petition citing “strong pressure”.The group planned to call for pay cuts for top officials, greater government accountability and halting costly infrastructure projects such as the “Northern Metropolis”.But Chan said on Wednesday the government will push ahead with the project, which aims to integrate Hong Kong more closely to its neighbour Shenzhen.”We must accelerate the development of the Northern Metropolis. It is an investment in our future,” he said.The government will issue up to US$25.1 billion in bonds every year until 2029-30 to fund its infrastructure ambitions.The International Monetary Fund said last month that Hong Kong was “recovering gradually after a protracted period of shock”.The city’s benchmark Hang Seng Index, which has rallied to a three-year high thanks to a recent surge in mainland tech companies, rose more than three percent Wednesday.