30 minute read
BUSINESS SIALOGUE
Leaders’
MEETING POINT
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VOJISLAV TODOROVIĆ,
President of Delta Inženjering Group
Responsibility First & Foremost
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ANA JOVANCAI STAKIĆ PH.D.,
Coordinator of International Academic
Programmes and International Cooperation at Singidunum University
Local Diplomas, Worldly Knowledge
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MARA TOPALOVIĆ,
Owner of Studio Maruška
Symbol Of Prestige And Luxury
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Responsibility First & Foremost
More than three decades of dedication to the business stand behind everything that’s represented by company Delta Inženjering today. The team has fought continuously and with devotion for its leadership position in the area of industrial engineering, and thus today the company has free rein in the project design, engineering and consulting sectors
With unconcealed pride, Mr Todorović makes mention of the special team in the engineering sector, which comprises experienced engineers who possess the necessary licenses. He believes that the best results are achieved through a combination of experience, respect for the profession and teamwork among people of expertise.
You established the company during the time of the toughest economic and political conditions. What led you in overcoming obstacles and meeting challenges? I’ve been in this business for a long time. It was back in 1973 that I started working and I’ve spent my entire working life in the same job. I started work at Projmetal, a company that dealt with design in the areas of metallurgy, mining and energy. I later spent a brief spell as the technical director of Tehnogas, and my path also shows what Delta Inženjering has been working on all this time. So, project design in the areas of metallurgy, gas technology and energy. I’m of the opinion that a person should do a job that they know, and we stuck to that principle. We have been progressing since 1st February 1990, when this company was founded, despite that being a difficult time. The wars started, there were no investments, and there was lots of uncertainty. Then metallurgy ground to halt, there was no investment in energy, a period of inflation came, shortages, procurement and payment problems etc. We coped with it, but we didn’t give up, and progress was evident from year to year. The challenge was that first step, and all subsequent steps were taken thanks to the enthusiasm and creative energy of the professional team, along with a lot of wisdom and knowledge.
The complexity of the work called for the need to form various subsidiary companies within the group. What kind of role do they play? Seven years after the establishing of Delta Inženjering, we started dealing more seriously with engineering. Until then we’d had mostly project design jobs. The turning point came with the construction of an ice cream factory for an investor from Greece. That was a significant step for us, as we were then relatively small, and brought expansion and the shaping of our company profile. Our parent company now has six subsidiary enterprises with different specialist areas. ENIKON is engaged in the production of steel structures and equipment; DELTA PREVING provides consulting and engineering services in the field of fire protection. That is significant support to our large system in terms of essential and invaluable specialist knowledge, starting from the project task defining phase to implementation. There’s also DELTA CLEANROOM, which specialises in the production and installing of clean rooms that are important for laboratories, healthcare institutions, pharmacies... That’s also what we’re recognised for abroad. Two years ago, together with our friends from Tangsan, a Chinese company that deals with project design and engineering, we created DELTA TANG, and there I expect a great expansion and development in the field of metallurgy. Such exchanges of knowhow and experience are precious. I’m also proud of the project to construct the Clinical Centre of Serbia. It was four years ago, in cooperation with a partner from Slovenia, that we started a process in healthcare, which wasn’t in the scope of our core business.
A lot has changed in your business since you first began, but the need to exceed the expectations of clients has remained the same. Do you succeed in that respect? It is our imperative to take an honest and responsible approach to work, and I’m convinced that’s why we endure. I think we’re known for our determination to complete every job in a correct and proper way, within
the envisaged deadline; and for monitoring the dynamics and interests of investors, both in terms of quality and the dynamics of construction. That is indeed important, and I believe it’s recognised by investors. Over these 30 years of operations, we’ve had repeat investors, and that’s a great success in any business.
You long since realised the importance of understanding an investor’s idea and complying with his requirements. Not everyone is able to do that... From that aforementioned ice cream factory, we continued developing the company in such a way that it could provide a complete service to the investor. That means explicitly deciding to act responsibly towards the investor, along the entire journey: from project design documentation and the obtaining of permits, to construction and commissioning. When the problem of a lack of some technological knowhow arises, it is important for us to know who has that knowhow and to transfuse it all and apply it to the benefit of the investor.
Among your biggest investors are EPS, Srbijagas, NIS, the Nestle ice cream factory, Alumil, Messer, Henkel etc. Does every successfully completed project also bring you a personal sense of satisfaction? Our biggest investor is EPS, where we have a significant place as project designers, consultants and oversight. At Srbijagas, we’re engaged as designers on the main gas pipelines. We’re involved in practically everything significant that’s built in our sphere of interest. I would like to note that it is thanks to the enormous efforts being exerted by EPS to improve the ecological standards in the thermal energy sector that we are currently working on projects worth more than a billion euros. These are projects related to desulphurisation, wastewater treatment, the reduction of nitrogen oxides and heating for Belgrade and Obrenovac from the Thermal Power Plant in Obrenovac. They are all greatly satisfying, and I take personal satisfaction for what is called Corporate Social Responsibility. It’s extremely fortunate when you’re in a position to contribute to your country in every sphere where your contribution is needed. That makes me sincerely happy, and I feel proud that we’ve carved out our own place in Serbia. That wasn’t easy to build, but we’re at the very top in the business we do. It feels good they want to work with us, that our good reputation has spread beyond Serbia, that we are a desirable company to cooperate with and that we are called for our advice and opinions. That’s the greatest satisfaction.
ALEKSANDRA TODOROVIĆ SUČEVIĆ, DELTA INŽENJERING GROUP VICE PRESIDENT
MUTUAL SUPPORT
“It wasn’t easy, but it’s my privilege to learn from the best! Delta’s excellent team, and in particular my closest associates, provide me with certitude on a daily basis, as well as certitude for the days to come.”
Construction of the Clinical Centre of Serbia might not be the most demanding project you’re working on, but it is a special one. Are we even aware of what Belgrade and Serbia will gain once it’s completed? The Clinical Centre is a huge challenge. It was extremely demanding to construct 130,000 square metres while simultaneously redesigning and sticking to the deadline for such an important facility. I think it’s sinful that Serbia couldn’t muster the strength to complete it when construction started. Now everything had to be harmonised with new regulations, laws, seismological conditions etc. Technology in healthcare is changing at such a pace that we had to redesign some things on the go. That’s all now nearing completion. We’re slowly launching the systems and I believe everything on the construction side will be completed by the end of February. What follows is the huge operational job of making such a complex facility operational; a facility that’s more complex than anything ever built in our country.
What kinds of results and plans do you have as you await the company’s birthday; and what role is played by your daughter Aleksandra Todorović Sučević? I enjoy collaborating with my daughter, who’s the assistant director. She is a philologist, so it wasn’t easy for her among engineers, but she fought successfully for her role and place. Good work is done in a good atmosphere, so I believe that’s a good setting for her. Next year will mark 50 years since I started working and I would like to commemorate that in some special way. Even today, I still enjoy the work I do because I work leisurely, without tension. We’re entering this business year with 40 million in contracted jobs and the business is developing well, so we can work and plan calmly, and consider innovations.
LOCAL NEWS
“We have shown at this year’s Expo in Dubai that Serbia is a modern, creative and innovative country that has a lot to offer to its visitors” –
ANA ILIC, DEPUTY GENERAL COMMISSIONER OF THE SERBIA PAVILLION AT EXPO 2020 DUBAI
THE JADAR PROJECT AND ALL ADMINISTRATIVE ACTS RELATED TO RIO TINTO ABOLISHED
At the Government session held on 20 January, the Government of Serbia revoked the decree on the spatial plan of the special purpose area for the processing of jadarite minerals, as well as all permits and regulations related to the company Rio Tinto. After the Government session, the Prime Minister of Serbia, Ana Brnabić, informed the public that the spatial plan for Jadar had been abolished and that all administrative acts related to Rio Tinto - all permits, solutions and decisions - had been annulled. The Prime Minister said that the demands of the environmental protests were now fully met and that this decision of the Government put an end to the project Jadar and Rio Tinto in Serbia.
PHILIP MORRIS AWARDED “TOP EMPLOYER” CERTIFICATE FOR THE SEVENTH YEAR IN A ROW
For the seventh time in a row, Philip Morris Serbia has been awarded the “Top Employer Serbia 2022” Award from the Netherlands-based international independent Top Employer Institute. This award is another confirmation of Philip Morris’ commitment to the constant improvement of the working environment through well-designed programs, aimed at empowering employees and providing them with outstanding opportunities for further development. Top Employers Institute’s programme certifies companies based on results of research about the best practices in the area of human resources.
BETTER CONDITIONS FOR ORGANIC PRODUCERS
Obtaining a certificate for the production of organic food should be easier for small farmers from 1 January this year, thanks to the new group certification system. The new rules of the European Commission apply to producers from the European Union, but also from countries that are not members of the EU but export their organic products to the EU market. Organic agriculture is a fast-growing area in EU agriculture, which is a direct result of the increased consumer interest in organic products. In response to the challenges posed by this rapid expansion, and to provide an effective legal framework for industry, the EU has enacted new regulations.
“During 2021, almost 4,000 companies participated in events organised by the CCIS - forums, conferences, fairs, using these gatherings for more than 12,000 contacts and B2B conversations with potential partners” – MARKO ČADEŽ, PRESIDENT OF THE
CHAMBER OF COMMERCE & INDUSTRY OF SERBIA (CCIS)
postingsPlacements& appointments@aim.rs
On 1st of January this year, Mr. Milan Grujić, Managing Director of ZF Serbia, was elected the new President of the German-Serbian Chamber of Commerce (AHK Serbia). In this position he succeeded his predecessor, Mr. Udo Eichlinger, former/until recently CEO of Siemens. Before he was appointed as president of the AHK of Serbia, Milan Grujić was an active member of the Board of Directors of this chamber since 2018. His contribution to development and implementation of dual education was recognized by the members of the Chamber, when he was elected Chairman of the working group on this topic, established at the end of 2021. In addition, he actively advocates by participating in working group focusing on “Supply Chains in Serbia”. Furthermore, Mr. Grujic is a member of the Board of Directors of the Serbian Chamber of Commerce. He is mechanical engineer by education, graduated from the Faculty of Mechanical Engineering in Belgrade.
ZORANA MIHAJLOVIĆ: 500 MILLION EUROS FOR THE MODERNIZATION OF LOW VOLTAGE NETWORK
Investing in the low-voltage network is necessary in order to increase the reliability of electricity supply on the territory of the whole of Serbia, said the Deputy Prime Minister of the Republic of Serbia and Minister of Mining and Energy Zorana Mihajlovic, during a visit to the distribution and dispatch centre of Elektrodistribucija Srbije in Belgrade. The situation is much better than a month ago when we had a similar amount of precipitation, the Minister said, adding that she was glad that the EDS teams were on the ground and that all problems were being resolved as soon as possible. “We will invest more than half a billion euros in the next few years,” she said, adding that network losses cost approximately 200 million euros a year and that the distribution system needs to be modernized.
REALISATION OF PROJECT “EU FOR GREEN AGENDA IN SERBIA” BEGINS
Prime Minister Ana Brnabić and the European Union (EU) Ambassador to the Republic of Serbia Emanuele Giaufret presented today a new initiative worth 8 million euros, to encourage “green” transformation of the economy and society. Ambassador Giaufret noted that Serbia adopted the Green Agenda Declaration in October 2020 at the Conference in Sofia and has committed to implement its actions through the Regional Action Plan adopted in Brdo, Slovenia, in October 2021. The Project “EU for the Green Agenda in Serbia – Get Started, Take Action, Scale Up” will support Serbia to implement the Green Agenda for the Western Balkans.
Local Diplomas, Worldly Knowledge
Singidunum University has spent decades successfully educating young people and developing their skills, which enables them to engage in contemporary business processes. In this healthy academic environment, students learn to think critically and analyse, identify innovative solutions and freely express their ideas
Many students view professional work placements as their entrance ticket to the business world and exert efforts try to utilise such placements well, with the support of the University, which itself has more than 500 agreements on the implementation of student practise with the most successful companies operating in Serbia, says Singidunum University’s Ana Jovancai Stakić Ph.D.
Singidunum is Serbia’s first private university to be accredited under the new Law on Higher Education. What else defines you?
Although we’ve long been talking about how we’re living and working in a rapidly changing world, the changes that have occurred over the last few years have been more intensive than previously. They relate to the labour market to a large extent, and thus also to the education process. That’s precisely why we’re adapting our study programmes to the market’s current needs, which is accompanied by regular professional specialisation courses for teaching staff, as well as the updating of teaching materials that represent an ideal combination of modern theory, relevant examples from operational practises and scientific research. We last year accredited a new programme in Pharmacy studies, which has attracted great interest, while we’re also preparing a new Computational Physics master’s programme, the implementation of which will include the participation of eminent international experts.
Is there still great interest in studying in English at Singidunum University?
Singidunum University implements accredited study programmes in English at all three levels of study. A significant increase in the number of students opting to study in English, especially in undergraduate studies, has been recorded over the last two years. It is important to young people in Serbia that they become bilingual experts, because they are aware that this provides them with better opportunities to secure employment in foreign companies, both in the country and abroad. It is also important for them to establish contacts with colleagues from around the world during their joint studies and thereby significantly increase their chances of successfully networking in international frameworks. On the other hand, there has also been increased interest among young people from around the world who recognise Serbia as a secure and attractive destination for studying. We’ve created a fantastic international environment in which studies are conducted in accordance with the contemporary global curriculum, while teaching is implemented by eminent local and foreign professors who have international experience. It is important to mention the opportunity for students to complete and continue their studies at prominent international universities, in the U.S., Canada and Europe, and to earn their diplomas. This proved particularly attractive to students who were prevented from starting their studies abroad due to the pandemic and who didn’t want to miss a year.
Is knowledge once again valued; and are young people aware that the knowledge they acquired is more important than the diploma they earn?
Due to an extremely dynamic labour market that is becoming increasingly global in scope, knowledge and a specific set of skills are essential and in high demand, and this has a significant impact on young people’s choice of college. Practical teaching is of particular interest to them, and forms an integral part of their studies, whilst also connecting them, in a genuine working environment, with real situations and providing them with an opportunity to apply the knowledge they’ve acquired. Our graduate students/alumni around the world are forging successful careers and achieving enviable business results, which provides inexhaustible motivation for us to continue.
REGIONAL NEWS
“It is important for us that Open Balkans will be a single market, that traffic and movement of people and goods will be without any major administrative barriers” – TATJANA MATIC, MINISTER OF TRADE,
TOURISM AND TELECOMMUNICATIONS
The European Investment Bank (EIB), the bank of the European Union, will provide €50 million to Slovenska izvozna in razvojna banka (SID Banka) to create a new source of more affordable financing for investments in small infrastructure projects promoted by Slovenian municipalities. SID Banka will match the EIB investment with its funds, unlocking a total of €100 million for investments in municipal development in Slovenia. Local governments and their public companies will finance small-scale infrastructure projects, energy efficiency measures and environmental protection initiatives in their local communities. The operation accelerates Slovenia’s green and sustainable development, improves the quality of life and the conditions for doing business in the country, and strengthens the European Union’s economic, social, and territorial cohesion.
PROMOTION OF THE UNIQUE TOURIST PRODUCT OF THE REGION AT EXPO 2020 DUBAI
At the World Exhibition Expo 2020 Dubai, a Strategic Partnership Agreement was signed between Serbia, Croatia, and Slovenia on joint participation in the United States of America (USA) market, the goal of which is to promote the unique unique unique tourist product of the region. The agreement was signed by the leading destination management company DHC Vekol based in Belgrade and destination management company INTOURS based in Ljubljana, as carriers of the development of congress tourism in the region, under the auspices of the Congress Bureau of Serbia and the Congress Bureau of Slovenia.
MONTENEGRO COMPETITIVENESS COUNCIL SESSION HELD
The 14th session of the Competitiveness Council was held, chaired by the President of the Council, Jakov Milatovic, Montenegrin Minister of Economic Development. Topics discussed referred to activities implemented by the Ministry of Economic Development aimed at improvement of the business environment, proposals from business associations with regards to amendments to the Company Law, Platform for Economic Recovery 2022-2026 and Information on the implementation of the Law on Fiscalization in the trade of products and services. Other topics referred to Economic Reform Program 2022-2024, Montenegro’s Roadmap to Circular Economic, and quarterly progress reports on the permanent working groups of the Competitiveness Council. Council adopted the Report on the work of the Council for 2021 and the Work Plan for 2022.
“Through Code for Montenegro we want to encourage the connection of citizens and technologists from Montenegro, the region and the world” – TAMARA SRZENTIC, MINISTER OF
PUBLIC ADMINISTRATION, DIGITAL SOCIETY AND MEDIA OF MONTENEGRO
OPEN BALKANS: AGREEMENTS TO ENTER INTO FORCE IN THE NEXT THREE MONTHS
Within the framework of the regional initiative Open Balkans, agreements have been ratified, the implementation of which will significantly contribute to better business conditions, economic integration, faster economic development and investments. The agreements signed in Tirana between Serbia, Albania and Northern Macedonia were ratified on 31 December 2021 and will enter into force in 2022. Thanks to these agreements, the economy and the citizens of Serbia, Albania and Northern Macedonia will be able to trade, travel, employ scarce staff and integrate faster economically within the Open Balkans initiative. The agreements were signed in Tirana by the President of Serbia Aleksandra Vučić, the Prime Ministers of Albania and Northern Macedonia Edi Rama and Zoran Zaev to improve business in the region and accelerate the flow of people, capital, services and goods.
BOSNIA’S REPUBLIKA SRPSKA ENTERS 2022 WITH 1 BILLION EURO INFRASTRUCTURE INVESTMENT PLAN
Local media has reported that Bosnia’s Republika Srpska started 2022 with an investment programme worth over 1 billion euros. The Republika Srpska plans to jointly implement several primary energy and transport infrastructure projects with Serbia, which can’t be carried out in one year, like hydropower plants Gornji Horizonti, Buk Bijela, Foca, and Paunci, and the airport in Trebinje said Republika Srpska’s prime minister Radovan Viskovic. The winner of a tender for the construction of a road linking Raca to Bijelina is expected to be named very soon, Viskovic added. With Chinese partners, the entity is building the Prijedor-Banja Luka road. The entity will continue talks with a Chinese company regarding the financial closing of a deal to construct a connecting Vukosavlje to Brcko and Bijelina. The Republika Srpska entity is negotiating with the European Investment Bank (EIB) to finish a section of the Vc European transport corridor from Doboj to Vukosavlje, Viskovic added.
MASTEK OPENS NEW OFFICE IN ROMANIA
Mastek has announced the opening of its new office in București, Romania under the name of Evolutionary Systems B. V. Amsterdam - Sucursala București. Mastek’s move to this new location will support the organization’s efforts to ensure success for its clients, employees, and society as a whole. With more than 30 universities and IT talent pool in excess of 0.17 million, the Romania center will play a significant role in expanding Mastek’s strategic growth plans in Continental Europe markets.. The new office location will also serve as a hub for our Oracle business’ nearshore and offshore developments in the EMEA regions. Mastek’s new office located at the Impact Hub Equilibrium Building, Floor 1&2, Strada Gara Hertr Nr. 2, București 020334, Romania, is all set to offer complete new-age technological support and cloud expertise to European clients citing growth in the digital domain. Romanian universities are also known for collaborating with various IT industries. Mastek further has plans to recruit skilled talent into their new office including cloud experts, business analysts, & digital consultants.
Symbol Of Prestige And Luxury
Many years ago, when the first unique artworks of Mara Topalović began heading out into the world from Preljina, Serbia gained its most valuable brand in the area of luxury corporate gifts. And the number of customers and companies wanting to give their business partners something exceptional has only grown since that time
Maruška scarves, shawls and ties have appeared at the most prestigious events worldwide, reaching the Olympic Games, tourism fairs and summits and congresses, but also the most powerful people, like Putin, Merkel, Lavrov, Michelle Obama et al.
Since 2008, your studio has been producing the most beautiful handmade silk scarves and ties that admired by the whole world. How did your love for art grow into a more than successful business? At the juncture when I had to decide what I would do in life, I had only one guiding star, one idea: to be special in what I do. Thanks to that ultimate objective, I managed to uncover my talent and that led to the creation of unique products which, with a little loving care and attention, can last forever. The enduring nature, timeless fashion and elegance of Maruška scarves and shawls make me, as a creator and artist, feel beautiful and special. Years of investing hard work and effort have made me Serbia’s greatest painter on silk, and have made my products special, in such a way that they prompt delight and admiration. I’m afraid that the world has forgotten about and neglected hand-made products, despite them being worthy of special attention, because in them one can clearly see the love and dedication with which they’re made.
Not much was known about women’s entrepreneurship at the time when you launched your company. You carved out a path that’s been followed by many women who’ve subsequently entered the business world. Are you proud of that? Yes, at the very start of my career we weren’t able to secure significant assistance from the state, while today the situation is different. Young women can devote themselves more to their business and utilise the help and support offered to them, which represents a great launchpad. It was incomparably tougher more than two decades ago. A lot more effort and energy were required to create products worthy of attention and admiration than is the case now. Imagine if we’d had this kind of support back then! How far some of us would have reached! Did you dream back then that your silk scarves, shawls and ties would come to be considered the most valuable Serbian brand in the area of luxury corporate gifts? When you start creating, you’re not aware of how far you’re going in that creation, until the moment you realise that the product you’ve just created has become a symbol of prestige and luxury. That’s the moment you realise that the demands of your customers and your own full commitment render your brand and product purely exclusive. The serious demands of the eminent clients I’ve encountered in the several decades of my career awaken in me a sense of responsibility and a huge desire to create a product that will be unique and fully harmonised with the desires of the other party. And then the hand moves by itself, ideas bubble up and, as a result of this entire process, a miniature work of art that’s worthy of attention and admiration is created. Any style of fashion and any period of time is able to carry Maruška scarves and shawls.
How did your handcrafted works from little Preljina make it to the farthest flung parts of the world? Many celebrities who visited our country received products of my studio as gifts. I know about many of them, but not about a good part of them, but one of the most beautiful feelings is to meet an ambassador of a foreign country who tells you that she’s had a Maruška scarf for several years. For me, cooperation with the embassies in our country is priceless, first and foremost with
the ambassadors’ wives who recognise all the qualities of handmade scarves and shawls, but also ties. It is always a special honour when members of the Government of the Republic of Serbia contact me to request that I make special gifts for the presidents of other countries and their spouses. I can’t fail to mention almost all the ministries and foreign embassies in our country that we’ve cooperated with and which gift our products with huge pleasure and great pride. Our clients also include numerous companies from the country and the region. What’s most important is that you always and at all times have satisfied clients, because they represent your best advertisement.
And while we’re on the subject of foreign officials, we can’t avoid asking you if it’s true that you’re one of the dearest guests of embassies that they’re happy to see? With whom do you collaborate and in which ways? Thanks to organised gatherings and socialising with the spouses of ambassadors under the auspices of the International Women’s Club organisation, I succeeded in presenting my work in the best possible way. I would mention that the IWC’s activities have been reduced to a minimum due to the current pandemic situation, so I haven’t had opportunities to host ladies on the premises of my company for the past almost two years, as I did for many years previously. What’s certain is that these wonderful gatherings in my studio will continue as soon as the opportunity arises, and that will be reciprocated in equal measure by these wonderful ladies.
The only thing that’s important in art is the sensibility of the artist, who doesn’t have to change anything in his work. However, different rules apply in business. How do you resolve business challenges? Through many years of work and experience in this work, we’ve gone through various adjustments. We’ve monitored all changes and harmonised with them, starting from the very context and environment in which we operate, via associates, all the way to the personal changes that I’ve gone through and which have influenced my development path. Plans exist, but the course of their implementation is harmonised with current circumstances and the motivation of employees. Ambition is a key factor of success, and living in such an environment builds new generations of young and ambitious people. It’s precisely this wonderful characteristic that’s crucial to establishing and successfully operating companies! In order to conquer unconquerable fortresses, you must be very ambitious, skilled and capable conquerors!
Do you have customers who’ve been with Studio Maruška from the start? Our customer base continues to expand with every year. There are certainly customers who gave us their loyalty two decades ago and who, in cooperation with us, are successfully developing and advancing in the business world. They are all familiar with our standards of quality, from which we absolutely never deviate. The comments of clients who say that their business partners are immensely grateful for their carefully selected gift are very dear to me – this represents a great sense of satisfaction for me, as owner of the Maruška brand. Clients are the wind in our sails that motivates us to maintain and further improve the quality of our products and processes, while at the same time inspiring us to create new, special and completely different products.
WORLD NEWS
“Thrilled to celebrate Virgin Orbit going public and ring the bell at Nasdaq where it is now trading” – SIR RICHARD BRANSON,
BRITISH BUSINESS MAGNATE AND CO-FOUNDER OF THE VIRGIN GROUP
CHINA’S CONSUMERS SPENT $73.6 BILLION ON LUXURY GOODS AT HOME LAST YEAR
Chinese consumers are spending more on luxury goods at home, even if they can’t easily travel abroad due to pandemic-related restrictions, consultancy Bain & Company said in its annual report on the luxury sector. Sales of personal luxury goods in mainland China rose by 36% to 471 billion yuan ($73.59 billion) in 2021 from the prior year, according to Bain estimates released Thursday. That’s more than double the 234 billion yuan in luxury goods spending on the mainland in 2019, before the pandemic. The growth in luxury goods sales comes despite a slump in Chinese retail sales overall since the pandemic began in 2020. The data also reflects the growth of China’s domestic market as a destination for international brands.
BILL GATES CLIMATE FUND PLANS TO MOBILIZE $15 BILLION INTO CLEAN TECH
Breakthrough Energy Catalyst, a private-public fund backed by Microsoft billionaire Bill Gates, is planning to help invest up to $15 billion into cleantech projects across the U.S., the U.K. and the European Union. BEC, a fund that sits within the wider Breakthrough Energy Group that was founded by Gates in 2015, has raised over $1.5 billion from businesses and charitable organizations so far. But Jonah Goldman, Breakthrough Energy managing director, told the Financial Times that the fund ultimately plans to mobilize 10 times that amount, or $15 billion. The difference is expected to come from private companies and governments around the world.
$130 BILLION WIPED OFF CRYPTO MARKETS IN 24 HOURS
The cryptocurrency market had around $130 billion wiped off its value from 23 to 24 January as major digital coins continued their multi-day sell-off. Bitcoin was last down around 4% at $33,755.57, according to Coin Metrics, the lowest level since July 2021. Ether plunged 7% to $2,239.08, its lowest level since late July, according to Coin Metrics. The movements in cryptocurrencies follow those of stocks, which have continued to fall since the beginning of the year and just came off of their worst week since March 2020. Investors have been selling risk assets like technology stocks as they prepare for tighter monetary policy from the U.S. Federal Reserve and higher interest rates.
“I think 2022 is going to be a year of concern about growth and competition for Netflix” – REED HASTINGS, CO-CEO
OF NETFLIX
RYANAIR CAN’T STOP TROLLING BORIS JOHNSON
Ryanair has restarted one of its most popular services: trolling Boris Johnson. The budget airline posted a spoof summer drinks menu on its Twitter account, mocking the prime minister over a “bring your own booze” event that was held in Downing Street’s garden at the height of the United Kingdom’s first Covid-19 lockdown. The parody inflight drinks include a “Bojohito” that includes a “dash of deceitfulness” and a “Virgin Vax on the Beach” — though passengers can “bring [their] own booze” to give it a kick. It’s not the first time that Ryanair has trolled the UK government over officials breaking their own pandemic rules.
RISING INFLATION IN INDIA COULD BECOME A ‘PAIN POINT’ FOR THE ECONOMY
Surging inflation will continue to be a significant “pain-point” for India’s economy as the country battles the third wave of Covid-19 infections, according to one economist. Rising prices have been a concern for India for over three years now, said Charu Chanana, lead economist for Asia at Continuum Economics, an independent research firm. In the first quarter, “we actually do see inflation getting above the 6% level — which is at the upper limit of the RBI central bank,” she told CNBC’s “Squawk Box Asia” on Tuesday, referring to the Reserve Bank of India. “The omicron wave suggests further challenges. In all of the previous Covid-19 waves, we’ve seen significant supply chain impacts. And the impact on inflation has been significant,” she pointed out.
Billionaires added $5 trillion to their fortunes during the pandemic, according to Oxfam, exacerbating economic inequality as the pandemic pushed millions of people around the world into poverty. Using data compiled by Forbes, Oxfam says in a new report that the total wealth of billionaires jumped from $8.6 trillion in March 2020 to $13.8 trillion in November 2021, a bigger increase than in the previous 14 years combined. The world’s richest 10 men saw their collective wealth more than double, shooting up by $1.3 billion a day. The report was released ahead of the World Economic Forum’s online Davos Agenda.
