IMF’s Lagarde: Global Economic Outlook Darkening by the Day

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International Monetary Fund chief Christine Lagarde led an attack by global economic organizations on U.S. President Donald Trump's "America First" trade policy Monday, warning that clouds over the global economy "are getting darker by the day." Trump backed out of a joint communique agreed by Group of Seven leaders in Canada over the weekend that mentioned the need for "free, fair and mutually beneficial trade" and the importance of fighting protectionism. The U.S. president, who has imposed import tariffs on metals, is furious about the United States' large trade deficit with key allies. "Fair trade is now to be called fool trade if it is not reciprocal," he tweeted Monday. In response, Lagarde unleashed a thinly veiled attack on Trump's trade policy, saying challenges to the way trade is conducted…


War-torn South Sudan Issues Higher Denomination Banknotes Amid Soaring Inflation

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South Sudan's central bank said Monday it will issue higher denomination banknotes, enabling citizens to carry fewer notes as rampant inflation continues to devalue the local currency. The bank said it would introduce a 500-pound bill, worth $1.5 U.S. dollars, into circulation this month. Currently the largest note in circulation is a 100-pound bill. South Sudan's economy is close to collapse after a 2015 peace deal with Sudan failed to stick and fighting between rival soldiers has continued. The conflict has hurt the country's crude oil output, which is at less than half of its pre-war level of 245,000 barrels per day. "The Bank of South Sudan would like to inform the general public that it is introducing a new banknote of 500 South Sudanese pounds as legal tender in…


Trump Says Friends, Enemies Cannot Take Advantage of US on Trade

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President Donald Trump tweeted out more criticism of U.S. trade partners Monday, including allies in Europe and Canada, adding to his declarations that the United States will no longer tolerate what he has called "trade abuse." "Sorry, we cannot let our friends, or enemies, take advantage of us on Trade anymore. We must put the American worker first!" Trump said. That was part of a string of messages in which the president asserted the United States "pays close the the entire cost of NATO" while other member countries take advantage of the U.S. on trade. "We protect Europe (which is good) at great financial loss, and then get unfairly clobbered on Trade," he said. "Change is coming!" NATO members, in general, make financial contributions based on their economic output, and…


Swiss Voters Reject Campaign to Radically Alter Banking System

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A radical plan to transform Switzerland's financial landscape by barring commercial banks from electronically creating money when they lend was resoundingly rejected by Swiss voters on Sunday. More than three quarters rejected the so-called Sovereign Money initiative, according to the official result released from the Swiss government. All of the country's self-governing cantons also voted against in the poll, which needed a majority from Switzerland's 26 cantons as well as a simple majority of voters to succeed. Concerns about the potential risks to the Swiss economy by introducing a "vollgeld" or "real money" system appear to have convinced voters to reject the proposals. The Swiss government, which had opposed the plan because of the uncertainties it would unleash, said it was pleased with the result. "Implementing such a scheme, which…


Bees Inspire Drone Researchers

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Despite astonishing advances in robotics, today's machines often struggle to accomplish what insects do routinely. So robotics researchers are taking advantage of nature's billions of years of experience. They are learning from bees to build flying machines that can learn and navigate their environments. VOA's Steve Baragona has more. ...


New Italian Economy Minister Vows to Stay in Euro, Cut Debt Level

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Italy's new coalition government has no intention of leaving the euro and plans to focus on cutting debt levels, Economy Minister Giovanni Tria said on Sunday, looking to reassure nervous financial markets. Italian government bonds have come under concerted selling pressure on fears the government will embark on a spending splurge that Italy can ill-afford and markets are wary that euro-skeptics within the coalition might try to push Italy out of the eurozone. In his first interview since taking office a week ago, Tria told Corriere della Sera newspaper that the coalition wanted to boost growth through investment and structural reforms. "Our goal is [to lift] growth and employment. But we do not plan on reviving growth through deficit spending," Tria said, adding that he would present new economic forecasts…


XI Takes Swipe at G-7 Summit In SCO Remarks

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The Shanghai Cooperation Organization (SCO)is holding its first summit since India and Pakistan joined the bloc which is widely seem by observers as a means for blocking American influence in Central Asia.  The founding members of the alliance are China, Russia, Kazakhstan, Uzbekistan, Kyrgyzstan and Tajikistan.  The summit is being held in the eastern Chinese coastal city of Qingdao.  Chinese President Xi Jingping told the group in opening remarks Sunday, "We should reject selfish, short-sighted, narrow and closed-off policies.We must maintain the rules of the World Trade Organization, support the multilateral trade system and build an open global economy." Political analysts see the Chinese leader's remarks as a thinly veiled reference to the chaos at the recent G-7 summit in Canada where the U.S. and its allies were divided by…


Girls Education Fund Announced at G-7

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Canadian Prime Minister Justin Trudeau announced Saturday that nearly $3 billion in pledges has been raised to help fund the education of vulnerable girls and women around the world. Canada will contribute $300 million to the campaign. Germany, Japan, Britain and the World Bank are among the additional supporters.  The prime minister made the announcement on the last day of the G-7 summit which was held in Quebec.  Women's groups that had met with Trudeau on the sidelines of the summit welcomed the news of the generous pledges that exceeded the groups' expectations.  "It gives young women in developing countries the opportunity to pursue careers instead of early marriage and child labor," said Nobel Prize winner Malala Yousafzai, who was shot in the head in Pakistan because of her campaign…


UK’s May Orders Retreat to Sort Out Brexit Details

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Prime Minister Theresa May will gather together squabbling British ministers at her country residence after this month's European Union summit to settle on details of a much-anticipated Brexit policy paper. May has yet to agree on some of the fundamental details of what type of trading relationship she wants to have with the European Union after Britain leaves next March. As a result, talks with the EU have all but ground to a halt, raising fears among businesses and in Brussels that Britain could end up crashing out of the bloc without an agreed-upon deal. "There's going to be a lot happening over the next few weeks. You know, people want us to get on with it, and that's exactly what we're doing," May told reporters on her way to a G-7 summit in Canada. May will look to the June…


Macron’s Campaign Economists Warn French Leader Over Rich-Friendly Policies

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French President Emmanuel Macron's economic policy is viewed as favoring the rich and must change to address inequalities, according to a memo written by three economists who worked on his campaign program, Le Monde newspaper said on Saturday. The criticism is the latest sign of the trouble created by Macron's economic reforms among the center-left supporters who propelled him to power last year. In the confidential memo sent to Macron and plastered across Le Monde's front page, the economists said his policy was failing to convince "even the most ardent supporters." "Many supporters of the then-candidate express their fear of a lurch to the right motivated by the temptation to steal the political space left vacant by a struggling conservative party," the economists wrote. Jean Pisani-Ferry, the Sciences Po Paris…


Australian Bank Hit With $530 Million Fine for Money-Laundering

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Australia's Commonwealth Bank has agreed to pay a $530 million fine for breaching anti-money laundering and counterterrorism financing laws. The scandal relates to more than 53,000 suspect transactions that the bank did not immediately report to authorities. If approved by the Federal Court, this will be the largest civil penalty in Australian corporate history. At the heart of the case were so-called smart cash machines that allowed customers to anonymously deposit and transfer money. Thousands of suspect transactions of more than $7,600 each were not referred to the authorities as required by law. An investigation by the Australian Transaction Reports and Analysis Center (AUSTRAC), the federal financial intelligence agency, along with state and federal police found the machines were being used to launder the proceeds of crime.  Australian Treasurer Scott…


Pope Francis: Providing Clean Energy Is ‘A Challenge of Epochal Proportions’

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Pope Francis has told the world's oil executives that a transition to less-polluting energy sources "is a challenge of epochal proportions." On the last day of a two-day conference Saturday, the Roman Catholic leader urged the executives to provide electricity to the one billion people who are without it, but said that process must be done in a way that avoids "creating environmental imbalances resulting in deterioration and pollution gravely harmful to our human family, both now and in the future." Reuters reports the unprecedented conference was held behind closed doors at the Pontifical Academy of Sciences. The news agency says the oil executives, investors and Vatican experts who attended the summit, believe, like the pope does, that science supports the notion that climate change is caused by human activity…


Award-winning Smart Drones to Take on Illegal Fishing

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Drones guided by artificial intelligence to catch boats netting fish where they shouldn't were among the winners of a marine protection award on Friday and could soon be deployed to fight illegal fishing, organizers said. The award-winning project aims to help authorities hunt down illegal fishing boats using drones fitted with cameras that can monitor large swaths of water autonomously. Illegal fishing and overfishing deplete fish stocks worldwide, causing billions of dollars in losses a year and threatening the livelihoods of rural coastal communities, according to the United Nations. The National Geographic Society awarded the project, co-developed by Morocco-based company ATLAN Space, and two other innovations $150,000 each to implement their plans as it marked World Oceans Day on Friday. The aircraft can cover a range of up to 700…


French Emergency Room Tests Virtual Reality Path to Pain Relief

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The very thought of visiting a hospital emergency department is stressful enough for many people, even without the discomfort or pain of an examination or treatment. Enter an immersive virtual-reality program created by three graduates being used in France to relax patients and even increase their tolerance of pain, without resorting to drugs. "What we offer is a contemplative world where the patient goes on a guided tour, in interactive mode, to play music, do a bit of painting or work out a riddle," said Reda Khouadra, one of the 24-year-olds behind the project. As patients are transported by chunky VR goggles into a three-dimensional world of Japanese zen gardens or snowy hillsides, they become more tolerant of minor but painful procedures such as having a cut stitched, a burn treated, a…


G-7 Leaders Try to Bridge Wide Trade Gap With Trump 

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Emotions were on display when U.S. President Donald Trump met other G-7 leaders at their annual summit in Canada on Friday, but the discussions were civilized and diplomatic, according to sources.  Trump held firm on asserting the United States is disadvantaged when it comes to trade with its European allies.  “The other leaders presented their numbers and Trump presented his,” a G-7 official who spoke on condition of anonymity told the Reuters news agency. “As expected he did not budge. This is probably not because he does not understand, but because of domestic reasons.” At a bilateral meeting later with the summit's host, Justin Trudeau, the U.S. president joked that the Canadian prime minister had agreed to “cut all tariffs.”  Despite the two leaders exchanging criticism of each other’s trade…


Senate Unveils Farm Bill, Leaves Food Stamps Alone

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The Senate Agriculture Committee on Friday released a bipartisan farm bill that makes mostly modest adjustments to existing programs and, unlike the House version of the bill, doesn't pick a fight over food stamps. The Senate bill, dubbed the “Agriculture Improvement Act of 2018,” is budget-neutral and aims to renew subsidy, conservation, nutrition, rural development and commodity programs set to expire on Sept. 30. Senate Majority Leader Mitch McConnell said the bill also includes a measure to legalize industrial hemp. In April, McConnell introduced a hemp legalization bill, which he said in a news release has garnered support of 24 other senators. The farm bill will go to the committee for a vote next week and sets up a possible confrontation with the House, whose bill went after the Supplemental…


Sheryl Sandberg Uses Facebook’s Woes as Lesson for MIT Grads

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Facebook executive Sheryl Sandberg didn't shy away from her company's ongoing privacy scandal in a Friday commencement speech at the Massachusetts Institute of Technology. Instead, she turned it into a lesson about accountability. Sandberg, the company's chief operating officer, repeatedly warned graduates that even technology created with the best intentions can be twisted to do harm, a lesson that she said hits close to home, "given some of the issues Facebook has had." "At Facebook, we didn't see all the risks coming, and we didn't do enough to stop them," Sandberg said. "It's hard when you know you let people down." Echoing previous comments from Facebook CEO Mark Zuckerberg, Sandberg went on to emphasize the importance of taking full responsibility for mistakes. "When you own your mistakes, you can work…


US Company Says It Didn’t Know if Workers Used Fake Papers

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An Ohio gardening company where immigration agents arrested 114 workers this week in one of the largest workplace raids in the U.S. in recent years says it doesn't know if workers used fake documents to get jobs. Corso's Flower & Garden Center said Friday in a statement that it demands proper documentation from employees and ensures they pay taxes. The arrests had occurred Tuesday at the company's northern Ohio locations in Sandusky and nearby Castalia. U.S. Immigration and Customs Enforcement officials say they expect to charge workers for crimes including identity theft and tax evasion. Authorities say Corso's is under investigation. No criminal charges have been filed against the company. Corso's says if mistakes were made or fake identification documents were used by workers, it wasn't aware. ...


Report: Chinese Hackers Breach US Navy Computers

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Chinese government hackers breached the computer system of a Navy contractor and stole large amounts of sensitive data, The Washington Post reports. The Post said the hacking took place in January and February, according to U.S. officials speaking on the condition of anonymity. It said the stolen information amounted to 614 gigabytes of material, including secret plans to develop a supersonic anti-ship missile for use on U.S. submarines by 2020. Other information stolen included signal and sensor data for submarines, information relating to cryptographic systems, and a Navy electronic warfare library. The Post said details on hundreds of mechanical and software systems were compromised in the hacking. The paper said the data was highly sensitive despite being on a contractor's unclassified computer network. It said U.S. officials did not identify…


North Korea Uses US Tech for ‘Destructive Cyber Operations’

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North Korea’s senior leadership has been exploiting loopholes in international sanctions to obtain the U.S. technology that Pyongyang uses to conduct “destructive cyber operations,” according to a global cyberthreat intelligence company. Recorded Future, based in Massachusetts, found that while export bans and restrictions are somewhat effective in keeping North Korea from acquiring technology for its nuclear weapons program, sanctions fail when it comes to regulating computer products from entering into North Korea. “Because of the globalized nature of technology production and distribution, the traditional export control is not really working for [computer] technology,” said Priscilla Moriuchi, one of the authors of “North Korea Relies on U.S. Technology for Internet Operations.” “It may work quite well for ballistic missile parts or fissile material, but the system is not designed to limit technology…


Fog Catchers Conjure Water Out of Moroccan Mist

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Growing up on Mount Boutmezguida in southwest Morocco on the edge of the Sahara desert, Khadija Ghouate never imagined that the fog enveloping the nearby peaks would change her life. For hours every day and often before sunrise, Ghouate and other women from nearby villages would walk 5 km (3 miles) to fetch water from open wells, with girls pulled out of school to help and at risk of violence on the lonely treks. But with groundwater levels dropping due to overuse, drought and climate change, the challenge to get enough water daily was becoming harder, and almost half of people in the local area sold up and quit rural life after generations for the city. As the future of the traditional Berber region by Mount Boutmezguida floundered, a mathematician…


Ukraine Approves Anti-Corruption Court, Fires Finance Minister

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Ukraine's parliament has voted to establish an anti-corruption court in an effort to meet the criteria to receive $17.5 billion from the International Monetary Fund.   Before the IMF releases the funds needed to shore up Ukraine's struggling economy, it will have make sure the court's laws are IMF compliant. The West has repeatedly called on Ukraine to reform it political system and establish an independent body to fight corruption.   "What we'll be looking to see is that it ensures the establishment of an independent and trustworthy anti-corruption court that meets the expectation of the Ukrainian people," IMF spokesman Gerry Rice said at a briefing Thursday.   President Petrol Poroshenko said the court was in line with Western recommendations and Ukrainian law.     Last year Poroshenko rejected the…


Construction Planned to Prepare Alaska’s Arctic Refuge for Oil Drilling

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The Trump administration said Thursday it would spend $4 million on construction projects in the Arctic National Wildlife Refuge in preparation for oil drilling in the nation’s biggest wildlife park. In an announcement that touted planned improvements to U.S. Fish and Wildlife Service visitor facilities, the Department of the Interior said it has approved spending on projects for “Oil Exploration Readiness” in the coastal plain of the Arctic refuge. The Trump administration is pushing for an oil lease sale in the refuge as early as next year. The tax-overhaul bill passed by the U.S. Congress last December includes a provision mandating two oil lease sales, each offering at least 400,000 acres (161,874.26 hectares), within seven years. True wilderness refuge The 19-million-acre (7.7 million-hectare) Arctic refuge, the largest in the U.S.…


Facebook Says Privacy-setting Bug Affected as Many as 14M

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Facebook said a software bug led some users to post publicly by default regardless of their previous settings. The bug affected as many as 14 million users over several days in May.   The problem, which Facebook said it has fixed, is the latest privacy scandal for the world's largest social media company.   It said the bug automatically suggested that users make new posts public, even if they had previously restricted posts to "friends only" or another private setting. If users did not notice the new default suggestion, they unwittingly sent their post to a broader audience than they had intended.   Erin Egan, Facebook's chief privacy officer, said the bug did not affect past posts. Facebook is notifying users who were affected and posted publicly during the time…


Argentina Clinches $50B IMF Financing Deal to Speed Up Cuts

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Argentina and the International Monetary Fund said Thursday that they had reached an agreement for a three-year, $50 billion standby lending arrangement, which the government said it sought to provide a safety net and avoid the frequent crises of the country's past. Argentina requested IMF assistance on May 8 after its peso currency weakened sharply in an investor exodus from emerging markets. As part of the deal, which is subject to IMF board approval, the government pledged to speed up plans to reduce the fiscal deficit even as authorities now foresee lower growth and higher inflation in the coming years. The deal marks a turning point for Argentina, which for years shunned the IMF after a devastating 2001-02 economic crisis that many Argentines blamed on IMF-imposed austerity measures. President Mauricio Macri's turn to the lender has led to protests in…


Trump’s Solar Tariff Costs US Companies Billions

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President Donald Trump’s tariff on imported solar panels has led U.S. renewable energy companies to cancel or freeze investments of more than $2.5 billion in large installation projects, along with thousands of jobs, the developers told Reuters. That’s more than double the about $1 billion in new spending plans announced by firms building or expanding U.S. solar panel factories to take advantage of the tax on imports. The tariff’s bifurcated impact on the solar industry underscores how protectionist trade measures almost invariably hurt one or more domestic industries for every one they shield from foreign competition.  Trump announced the tariff in January over protests from most of the solar industry that the move would chill one of America’s fastest-growing sectors. ​Utility-scale projects Solar developers completed utility-scale installations costing a total…


Blockchain Advances Could Revolutionize Daily Life

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As the internet continues to revolutionize communications, the next world-changing technology may already be here. Blockchain, a way of recording data and automatically storing it on computers around the world, has the potential to change everything from collecting crime scene evidence to creating new digital currencies. VOA's Jill Craig visited a blockchain hackathon in Memphis, Tennessee, to learn more. ...


NASA Chief: US Will Always Have Astronauts in Orbit

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Major changes could be ahead for the International Space Station but there will always be an American astronaut in orbit, NASA’s new boss said Wednesday. The space agency is talking with private companies about potentially taking over the space lab after 2025, but no decision will made without the other 21 countries that are partners in the project, NASA Administrator James Bridenstine said in his first briefing with reporters. President Donald Trump’s recent budget requests have put discussions about the station’s future “on steroids,” he said. Under Trump’s 2019 proposed budget, U.S. funding for the space station would end by 2025. The U.S. has spent more than $75 billion on the space station. Options include splitting the station into different segments or reducing its size by breaking it up and…