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1. UK Inflation Falls, but Interest Rate Hike Likely
Inflation in the United Kingdom has eased slightly, with the Consumer Prices Index, managed by the government’s Office for National Statistics, falling to 10.7% in November. This is an improvement from October, when the CPI was 11.1%, which was the highest annual CPI inflation rate in the U.K. since records began in January 1997. The high level of inflation has contributed to increasing costs for housing and household services, notably electricity, gas and other fuels, food and non-alcoholic beverages.
While the November dip is good news, the BBC reports that experts believe the Bank of England will raise interest rates by half a percentage point from the current 3%. Bank officials will meet Thursday to review the rate and have a target of keeping inflation to 2% per annum, which the current rate clearly is a long way from.
2. EU Agrees to Climate Tax Targeting Imports
The European Union, which includes 27 member states, agreed this week to impose a tax on imports based on the greenhouse gases emitted to produce them, “inserting climate-change regulation for the first time into the rules of global trade,” according to the Wall Street Journal. The tax would take effect beginning October 2023, and the landmark agreement followed more than a year of negotiations on the legislation.
According to steel manufacturing market insider Steel Orbis, the tax would compel “companies that import in the EU to get [Carbon Border Adjustment Mechanism] certificates to pay the difference between the carbon price paid in the country of production and the price of carbon allowances in the EU Emissions Trading System].”
3. Violence Continues Throughout Peru After President's Impeachment
Violent protests have spread throughout Peru following the Dec. 7 impeachment of its former president, Pedro Castillo, and the transition of power to his successor Dina Boluarte. Two of Peru's international airports, including Cuzco, the access point to the country’s famed Incan site of Machu Picchu, have been closed, and the army has been called in to quell unrest around vital components of the Peruvian economy, according to The New York Times.
Andina, a newspaper based in Peru’s capital Lima, reports 242,000 international visitors came to the country in the first quarter of 2022, 32.6% of which were from the U.S.
4. Irish Hotel Firm Dalata Anticipates Revenue Record in 2022
Executives at Dalata, the largest hotel firm in Ireland, said the company will likely earn more than 500 million euros ($529 million) in annual revenue by the end of 2022. This is the first time the company, which operates the Maldron and Clayton brands, has achieved this mark, according to Market Watch.
According to the Irish Examiner, Dermot Crowley, the firm’s CEO, said, “2022 has been a very successful year … where we demonstrated our ability to bounce back from the challenges of COVID-19.”
Dalata's adjusted earnings before interest, taxes, depreciation and amortization is expected to be approximately 182 million euros.
5. Oyo Launches 'Super Oyo'
Indian hotel firm Oyo Rooms has launched a new service called “Super Oyo” to increase quality and customer experience across its portfolio, Business Standard reports. The initiative has been rolled out across 70 Indian cities, with the firm’s main global markets having access to the software in 2023.
The new measures are not independently verified. Company software will “constantly analyze each hotel’s performance on multiple parameters such as customer ratings and reviews, keeping maximum rooms operational consistently, a smooth check-in experience, among others,” the newspaper reports.