People

India breezes through its first continuity test

11 Jun 2024

Leader Narendra Modi began his third term by keeping nearly all his top ministers, defying speculation he'd cede key posts to allies. The resilience of markets following the shock election result underscores stability too. The costs of coalition rule, if any, may show up later.

Modi’s allies will be new defining force for India

7 Jun 2024

Coalition partners may demand special funds for their regions, and ask for key ministries, for supporting Prime Minister Narendra Modi's new government. Handouts can give states an edge to court companies like Tesla. The resource-grab will create tension in the halls of power.

India’s resilient democracy comes with a cost

6 Jun 2024

Narendra Modi will have to rely on a coalition government after a shock upset in the national elections. In this Viewsroom podcast, Breakingviews columnists explain why politicians may dig deeper to support the poor and how power sharing may create challenges for big business.

EU vote is prelude to Europe’s real choice

5 Jun 2024

Some 370 mln voters from 27 member states are set to pick a new assembly. The result will influence how EU government leaders decide who should lead the next European Commission. Backing incumbent Ursula von der Leyen to avoid a chaotic deadlock is in the bloc’s best interest.

Moscow’s war yields a new type of Russian oligarch

5 Jun 2024

Vladimir Putin has long tamed his country’s 1990s-era billionaires, and a later cadre of ex-KGB moguls. Now the Russian president has picked a third generation of businessmen to own and manage confiscated Western assets. They won’t be any less subservient to his whims.

India may no longer be Narendra Modi’s

4 Jun 2024

His party is on course to lose its majority and will be at the mercy of allies to form a government. It ends a decade of extraordinary stability in the world’s fifth-largest economy. A market selloff hints at the costs of coalition rule. Growth may slow but there are some gains.

Modi 3.0 offers limited opportunities for the West

3 Jun 2024

Western leaders’ hopes for India as a bulwark against China outweigh their concerns about Narendra Modi’s authoritarian streak. They will have more scope to work with the prime minister during his expected third term. But the overlap of interests and values is limited.

Korea’s music industry has more than a BTS problem

31 May 2024

Shares in entertainment firms like Hybe and SME have slumped along with CD sales since members of top K-pop group BTS left for military service. They reunite next year, but a sluggish economy and shaky China sales mean top labels can’t afford to assume business is bulletproof.

Niel can be less stingy to fulfil his salsa dream

30 May 2024

The French Iliad owner may buy out Millicom, a $4 bln Latin American telco in which he owns a 29% stake. His potential $24-a-share bid implies a tiny 2% premium. Even with the stock up nearly 40% this year, he can offer more for a growing, profitable company.

Royal Mail deal defies nationalist anti-M&A trend

29 May 2024

Czech tycoon Daniel Kretinsky agreed a $4.6 bln buyout of the UK postal service’s parent group. Britain’s likely next government seems OK with it despite the chance of jobs cuts and a breakup. As countries pull up the drawbridge on sensitive takeovers, there are still exceptions.

Technocrat PM will save Dutch voice inside the EU

29 May 2024

By choosing civil servant Dick Schoof, The Hague put pragmatism before politics in the premier’s slot. Far-right Geert Wilders won at the polls but elected to pass on the job. This will help the Netherlands keep its sway over key issues like EU debt and the green transition.

Toyota investors can give chair a year for tune-up

29 May 2024

Proxy advisers Glass Lewis and ISS want shareholders not to re-elect Akio Toyoda atop the $300 bln automaker’s board. There’s logic to it. But the former CEO has pledged to address governance problems at subsidiaries. If he doesn’t, it makes a stronger case for booting him out.

CEO pay is hidden factor in US relisting trend

29 May 2024

Plumbing supplier Ferguson almost doubled its boss’s compensation after moving to New York, while $55 bln CRH is reviewing its remuneration after switching too. It’s not something boards like to talk about. But investors might support US-style pay if it attracts the best talent.

UBS succession menu looks unnecessarily short

28 May 2024

The $100 bln bank ruled out external candidates to replace CEO Sergio Ermotti in about three years, the FT reported. Grooming home-grown successors is good planning. But none of the internal frontrunners currently offer what UBS will most need: a convincing US growth strategy.

Fed should be independent, not untouchable

28 May 2024

Allies of Donald Trump want to blunt the Federal Reserve’s autonomy if the former US president wins a second term. That would be economically disastrous. But a mighty central bank with a $7 trln balance sheet requires better scrutiny, especially outside monetary policy.

A weaker Modi may not be too bad for India

23 May 2024

Business leaders were betting on a thumping win for the premier's party in the ongoing election and policy stability for five more years. Market volatility suggests some uncertainty. If the BJP cedes seats, India's growth may lose some momentum but there are potential gains too.

President’s death makes Iran even less predictable

20 May 2024

The demise of Ebrahim Raisi removes an obvious replacement for the ageing Ali Khamenei as Supreme Leader. Despite a recent attack on Israel, the Islamic Republic’s top figure is a known quantity. The risk is that Iran’s role in a febrile Middle East becomes even harder to gauge.

HSBC’s big pair of shoes will be hard to fill

9 May 2024

The surprise departure of boss Noel Quinn, who dramatically reshaped the firm, puts the globe-straddling bank on the spot: appoint a steward of its strategy from within, or a new thinker from outside? In this Viewsroom podcast, Breakingviews columnists debate the $170 bln choice.

HSBC’s ideal new boss probably doesn’t exist

6 May 2024

CEO Noel Quinn’s replacement should be familiar with the $167 bln group, have experience of Western and Asian markets, understand wholesale banking, and be available. None of the potential candidates score full marks. Chair Mark Tucker may have to compromise to fill the vacancy.

Musk’s China jaunt keeps underwhelming status quo

30 Apr 2024

Hope that Tesla can push self-driving in the country added $82 bln to its value. China’s cheap manufacturing, ample battery supply, and potential direct sales requires the EV-maker’s boss to maintain copacetic relations. But even the best outcome cannot justify excitement.