Economy

Let non-members into euro faster, Hungarian premier says

Ferenc GyurcsanyBrussels  - The European Union should ease its rules to allow new members to swap their national currency for the euro more rapidly, Hungary's prime minister said Tuesday.

"The best protection against foreign-exchange problems is to join the eurozone ... We should see how the steps towards the euro could be made quicker," Ferenc Gyurcsany told journalists in Brussels.

In particular, countries which have met the EU's strict rules on inflation and budget discipline should be allowed to join the single currency without having to spend two years in the preparatory Exchange Rate Mechanism 2 (ERM 2), he said.

Taiwan January export orders post record decline

Taiwan January export orders post record declineTaipei  - Taiwan posted yet another record slump of 41.67 per cent in export orders in January, as deteriorating global economic conditions further eroded overseas demands, the Ministry of Economic Affairs said Tuesday.

In January, the island received orders worth just 17.68 billion US dollars, down 41.67 per cent year-on-year, following a 33-per-cent decline in December, the ministry said in a statement.

Among Taiwan's export markets, orders from China and Hong Kong - Taiwan's top export destinations - fell a record 54.71 per cent year-on-year to 3.66 billion US dollars.

ROUNDUP: US consumer confidence hits new low in February

US consumer confidence hits new low in FebruaryWashington  - US consumer confidence slid to a new low in February as the world's largest economy continues to battle recession, a private research group said Tuesday.

The New York-based Conference Board said its index of consumer confidence fell to 25.0 in February from 37.4 in January.

The survey of 5,000 households found that the majority of respondents (51.1 per cent) believe business conditions are bad, up from 47.9 per cent last month. About 48 per cent of respondents said jobs were hard to get, up from 41 per cent in January.

ROUNDUP: Obama vows to halve budget deficit by end of first term

EconomyWashington  - US President Barack Obama on Monday promised to halve the country's ballooning federal budget deficit by the end of his four-year term in office, despite a deepening recession that has forced his administration to spend record amounts of money.

Obama, who took office in January, inherited a 2008 budget deficit of 1.3 trillion dollars. That figure could top 2 trillion dollars - more than 10 per cent of US gross domestic product - in 2009 in an effort to halt the country's disastrous economic slide.

EXTRA: Obama vows to halve budget deficit by end of first term

Obama vows to halve budget deficit by end of first term Washington  - US President Barack Obama on Monday promised to cut the federal budget deficit more than half by the end of his four- year term in office, despite a deepening recession that has forced the government to spend record amounts of money.

Obama, who took office in January, inherited a 2008 budget deficit of 1.3 trillion dollars. That figure is expected to top 2 trillion dollars - more than 10 per cent of US gross domestic product - in 2009 as the country confronts a massive economic crisis.

2ND ROUNDUP: EU "cliques" undermine unity over economy, officials say

EU "cliques" undermine unity over economy, officials sayBrussels - The European Union flirted with chaos Monday as top diplomats complained about a "cliquey" response to the recession and failed to agree on the use of community funds to aid economic recovery.

"I must admit I'm extremely worried about the EU's institutional chaos. Never in the EU's history has there been a period like this with so many cliques," Finnish Foreign Minister Alexander Stubb said after regular talks in Brussels with his EU counterparts.

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