19/05/2026

BIZ & FINANCE TUESDAY | MAY 19, 2026

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GOTHENBURG: Sweden and India announced a strategic partnership deal on Sunday aimed at doubling their trade and investment over the next five years, as Swedish Prime Minister Ulf Kristersson India’s Narendra Modi met. The new deal comes against the background of the free trade agreement that India and the European Union signed in January, said Kristersson, at a news conference attended by Modi and EU chief Ursula von der Leyen. “We have a joint ambition to double our bilateral trade and investments within five years with current speed,“ he said. “I actually believe it could become reality even sooner.” Annual trade between the two countries currently stands at US$7.75 billion. “Under this partnership, we will move forward on key pillars such as green transition, defence, emerging technologies, and people-to people ties,” said Modi, speaking through a translator. The two countries also want to develop ties in the fields of security, technology, artificial intelligence and space technology. The two countries’ space agencies signed a memorandum of understanding to work together on an instrument that will be part of the Venus Orbiter mission, said Kristersson. Von der Leyen said an European Union-India agreement was due to be signed by the end of the year at a major business India, Sweden seal trade and investment deal

(From left) Von der Leyen, Kristersson and Modi hold a joint press conference in Gothenburg, Sweden. – AFPPIC

Modi’s European tour continues with a visit to Norway early this week, which will include a summit with the Nordic countries. The final stage of his tour will be a visit to Italy, where Modi will meet Prime Minister Giorgia Meloni. – AFP New Delhi directs state-run banks, insurance firms to cut costs, shift to EVs NEW DELHI: India’s Finance Ministry directed state-run banks, insurers and financial institutions yesterday to implement cost-cutting measures, including sharp curbs on travel and a phased transition to electric vehicles, according to an order reviewed by Reuters. The order, part of a broader austerity push, will cover institutions like the State Bank of India, Bank of Baroda and Life Insurance Corp of India and million of their employees across the country. Under the new measures, all meetings, reviews and consultations must be conducted via video conferencing unless physical presence is deemed essential, the order issued by the Department of Financial Services said. Foreign travel by top executives of the organisations – including chairpersons, managing directors and chief executive officers – should be kept below prescribed limits, with overseas engagements to be attended virtually wherever possible, it said. Separately, the government has asked the organisations to accelerate adoption of electric vehicles. “All organisations may aim at replacing the petrol and diesel vehicles hired by them in their head offices and branch offices by electric cars as far as possible,“ the order said. The move follows a call last week by Prime Minister Narendra Modi urging officials to follow austerity and exercise restraint in spending, as the government braces for the economic fallout from rising global tensions. Prolonged Middle East conflict risks slowing growth, stoking inflation and straining the balance of payments, with the Indian rupee already at record lows as Asia’s worst performer this year. Several Indian states have directed employees to work from home two days a week as part of cost-cutting efforts. – Reuters

our reinforced economic cooperation, especially in a world where supply chains are being reshaped and economic security challenges us as never before. “Deepening our investment ties will help us to de-risk and to diversify,“ said von der Leyen.

event for European and EU companies. “But trade is only half of the equation,“ she added. “Our next step must be to deliver an investment agreement. “And this is the missing piece of the puzzle in

Singapore regulator halts Simba-M1 merger review o Keppel to let May 21 deal deadline lapse, sale removal dims prospects for special dividend

If the sale of M1 to Simba had gone through, a S$0.07 to S$0.11 per share special dividend may have been distributed, Loh said. For the fiscal year 2025, the company declared total dividends of S$0.36 per share and one unit of Keppel Reit for every nine units of Keppel shares owned. The company said in a bourse filing that it had a plan in case it retained majority ownership of M1 and would put in place a 90-day plan to improve the telecom firm’s efficiency. “Even as we undertake the efficiency drive at M1, we believe that the telecommunication industry in Singapore is in need of and will benefit from consolidation and Keppel remains open to opportunities for divestment,” the company said. UOB Kay Hian analyst Adrian Loh said if the deal fell through it would not reduce M1’s valuation and other potential suitors would have their own valuation metrics to consider. He noted that StarHub had long been rumoured as a possible merger partner. – Reuters

SINGAPORE: Singapore’s regulator suspended yesterday its review of a merger between Simba Telecom and M1, casting doubt on Keppel’s planned sale valuing M1 at about S$1.43 billion (RM4.45 billion) and sending shares in Simba’s Australian owner Tuas sharply down. The Infocomm Media Development Authority said in a statement that during a review it found that Simba could have been using radio frequency bands that it had not been assigned to provide mobile services. The regulator said the merger could not proceed until its investigation into the radio frequency band use was concluded. Simba said in a bourse filing that it was fully cooperating with the regulator and “reviewing the circumstances concerning the alleged unauthorised use of spectrum”.

Shares of Australia’s Tuas, which owns Simba, fell 60% to A$2.46 as at 0045 GMT (8.45am in Malaysia). Last August, Keppel said it would sell its 83.9% stake in M1 to Simba Telecom while retaining the non-telecoms operations of its unit in a deal that had an enterprise value of S$1.43 billion to give the asset manager net cash of S$1 billion. Keppel’s chief executive Loh Chin Hua told a press briefing yesterday that it would allow the deal to lapse past the May 21 deadline. Loh said there was nothing to stop merger discussions with other parties after the agreement with Simba lapses, noting there had been “serious discussions” with more than one party involved before the Simba-M1 deal was signed.

Anglo American to sell Australian coal mines for US$3.88 billion LONDON: Mining group Anglo American said yesterday that it had agreed to sell its Australian coal mines for steelmaking to the UK group Dhilmar for up to US$3.88 billion, after a previous deal collapsed. “Through this transaction, we will complete our exit from steelmaking coal,“ he added. US group Peabody Energy walked away from a US$3.8 billion deal last year to buy Anglo American’s steelmaking coal business. Peabody terminated the purchase Anglo American said yesterday it continued to pursue arbitration to seek damages for wrongful termination of the contract, as it did not consider a material adverse change to have taken place. The deal with Dhilmar, which is registered in Britain, includes US$2.3 billion in cash upfront and up to US$1.58 billion linked to coal prices, the company said.

The company plans to use the cash proceeds from the sale to reduce debt ahead of its multibillion-dollar merger with Canadian peer Teck Resources. “This agreement represents another major step in the simplification of our portfolio ahead of completing our merger with Teck,“ said Anglo American’s chief executive Duncan Wanblad.

agreements following a fire at the deal’s flagship mine, citing it as a material adverse change that required it to exit the accord. The Moranbah North Mine in Australia has been closed since the fire at the end of March, and the two companies have failed to agree on compensation for the incident.

The exit from steelmaking coal comes as Anglo American shifted its focus to its higher-value businesses like copper and iron, as it fended off a takeover bid from mining rival BHP. – AFP