Bank of England avoids intervening in pound slump

The Bank of England on Monday declined to step in and increase interest rates to shore up the battered British pound, after investors were spooked by the new government's economic plans.

The Bank said it was monitoring developments closely after sterling fell to an all-time low of below $1.04 on Monday, before rallying in afternoon trading.

However, it said it would not hesitate to change interest rates to control inflation. It said it would fully assess the government's economic plans at its next scheduled meeting in November.

"The role of monetary policy is to ensure that demand does not get ahead of supply in a way that leads to more inflation over the medium term," the Bank's governor Andrew Bailey said.

Despite speculation about an immediate intervention, there was no change to interest rates after they were raised to 2.25 per cent last week. A mini-budget the following day by Chancellor of the Exchequer Kwasi Kwarteng sent markets into freefall after he announced a raft of tax cuts funded by borrowing.

Mr Kwarteng will set out a medium-term fiscal plan on November 23, the Treasury confirmed on Monday.

The pound on Monday plunged to its lowest level yet against the dollar, falling almost 5 per cent at one point to $1.0327, its lowest since Britain went decimal in 1971. It regained ground later, rising above $1.09 by almost 2pm UK time, which was higher than it was at the beginning of the day.

The currency, which has been falling against the greenback for months, fell dramatically on Friday after the government announced a radical plan to spur economic growth through the country’s biggest tax cuts in 50 years.

Under the plan, which was widely criticised, the government will abolish the cap on bankers' bonuses and the top 45 per cent rate of tax for the biggest earners. Thresholds for paying stamp duty were also increased, while a national insurance increase introduced by Boris Johnson’s government will be reversed from November 6.

The pound continued its freefall after markets opened on Monday after the chancellor, Kwasi Kwarteng, hinted at the weekend that the tax-cut plan was only the start of more to come.

“We have only been here for 19 days. I want to see, over the next year, people retain more of their money,” he told BBC One’s Sunday with Laura Kuenssberg programme.

The pound has lost more than 20 per cent of its value against the dollar since the start of the year.

"Sterling is getting absolutely pounded [and] looks like an emerging market currency, especially when you look at the price of the British pound a few months ago and compare it to where it is now," said Naeem Aslam, chief market analyst at AvaTrade. He said that the currency could hit parity with the US dollar this week.

The major Hashd factions linked to Iran:

Badr Organisation: Seen as the most militarily capable faction in the Hashd. Iraqi Shiite exiles opposed to Saddam Hussein set up the group in Tehran in the early 1980s as the Badr Corps under the supervision of the Iran Revolutionary Guards Corps (IRGC). The militia exalts Iran’s Supreme Leader Ali Khamenei but intermittently cooperated with the US military.

Saraya Al Salam (Peace Brigade): Comprised of former members of the officially defunct Mahdi Army, a militia that was commanded by Iraqi cleric Moqtada Al Sadr and fought US and Iraqi government and other forces between 2004 and 2008. As part of a political overhaul aimed as casting Mr Al Sadr as a more nationalist and less sectarian figure, the cleric formed Saraya Al Salam in 2014. The group’s relations with Iran has been volatile.

Kataeb Hezbollah: The group, which is fighting on behalf of the Bashar Al Assad government in Syria, traces its origins to attacks on US forces in Iraq in 2004 and adopts a tough stance against Washington, calling the United States “the enemy of humanity”.

Asaeb Ahl Al Haq: An offshoot of the Mahdi Army active in Syria. Asaeb Ahl Al Haq’s leader Qais al Khazali was a student of Mr Al Moqtada’s late father Mohammed Sadeq Al Sadr, a prominent Shiite cleric who was killed during Saddam Hussein’s rule.

Harakat Hezbollah Al Nujaba: Formed in 2013 to fight alongside Mr Al Assad’s loyalists in Syria before joining the Hashd. The group is seen as among the most ideological and sectarian-driven Hashd militias in Syria and is the major recruiter of foreign fighters to Syria.

Saraya Al Khorasani: The ICRG formed Saraya Al Khorasani in the mid-1990s and the group is seen as the most ideologically attached to Iran among Tehran’s satellites in Iraq.

(Source: The Wilson Centre, the International Centre for the Study of Radicalisation)

On Women's Day

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Justin Thomas: Challenge the notion that 'men are from Mars, women are from Venus'

Roll of honour 2019-2020

Dubai Rugby Sevens
Winners: Dubai Hurricanes
Runners up: Bahrain

West Asia Premiership
Winners: Bahrain
Runners up: UAE Premiership

UAE Premiership
}Winners: Dubai Exiles
Runners up: Dubai Hurricanes

UAE Division One
Winners: Abu Dhabi Saracens
Runners up: Dubai Hurricanes II

UAE Division Two
Winners: Barrelhouse
Runners up: RAK Rugby

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The specs

Engine: 2.4-litre 4-cylinder

Transmission: CVT auto

Power: 181bhp

Torque: 244Nm

Price: Dh122,900

While you're here

The National editorial: Turkey's soft power weighs heavy on Europe's Muslims

Con Coughlin: How extremists use Zoom and other tools to exploit pandemic

Nicky Harley: Peace TV preacher Zakir Naik prompts UK hate laws review

What are NFTs?

Are non-fungible tokens a currency, asset, or a licensing instrument? Arnab Das, global market strategist EMEA at Invesco, says they are mix of all of three.

You can buy, hold and use NFTs just like US dollars and Bitcoins. “They can appreciate in value and even produce cash flows.”

However, while money is fungible, NFTs are not. “One Bitcoin, dollar, euro or dirham is largely indistinguishable from the next. Nothing ties a dollar bill to a particular owner, for example. Nor does it tie you to to any goods, services or assets you bought with that currency. In contrast, NFTs confer specific ownership,” Mr Das says.

This makes NFTs closer to a piece of intellectual property such as a work of art or licence, as you can claim royalties or profit by exchanging it at a higher value later, Mr Das says. “They could provide a sustainable income stream.”

This income will depend on future demand and use, which makes NFTs difficult to value. “However, there is a credible use case for many forms of intellectual property, notably art, songs, videos,” Mr Das says.

Where to donate in the UAE

The Emirates Charity Portal

You can donate to several registered charities through a “donation catalogue”. The use of the donation is quite specific, such as buying a fan for a poor family in Niger for Dh130.

The General Authority of Islamic Affairs & Endowments

The site has an e-donation service accepting debit card, credit card or e-Dirham, an electronic payment tool developed by the Ministry of Finance and First Abu Dhabi Bank.

Al Noor Special Needs Centre

You can donate online or order Smiles n’ Stuff products handcrafted by Al Noor students. The centre publishes a wish list of extras needed, starting at Dh500.

Beit Al Khair Society

Beit Al Khair Society has the motto “From – and to – the UAE,” with donations going towards the neediest in the country. Its website has a list of physical donation sites, but people can also contribute money by SMS, bank transfer and through the hotline 800-22554.

Dar Al Ber Society

Dar Al Ber Society, which has charity projects in 39 countries, accept cash payments, money transfers or SMS donations. Its donation hotline is 800-79.

Dubai Cares

Dubai Cares provides several options for individuals and companies to donate, including online, through banks, at retail outlets, via phone and by purchasing Dubai Cares branded merchandise. It is currently running a campaign called Bookings 2030, which allows people to help change the future of six underprivileged children and young people.

Emirates Airline Foundation

Those who travel on Emirates have undoubtedly seen the little donation envelopes in the seat pockets. But the foundation also accepts donations online and in the form of Skywards Miles. Donated miles are used to sponsor travel for doctors, surgeons, engineers and other professionals volunteering on humanitarian missions around the world.

Emirates Red Crescent

On the Emirates Red Crescent website you can choose between 35 different purposes for your donation, such as providing food for fasters, supporting debtors and contributing to a refugee women fund. It also has a list of bank accounts for each donation type.

Gulf for Good

Gulf for Good raises funds for partner charity projects through challenges, like climbing Kilimanjaro and cycling through Thailand. This year’s projects are in partnership with Street Child Nepal, Larchfield Kids, the Foundation for African Empowerment and SOS Children's Villages. Since 2001, the organisation has raised more than $3.5 million (Dh12.8m) in support of over 50 children’s charities.

Noor Dubai Foundation

Sheikh Mohammed bin Rashid Al Maktoum launched the Noor Dubai Foundation a decade ago with the aim of eliminating all forms of preventable blindness globally. You can donate Dh50 to support mobile eye camps by texting the word “Noor” to 4565 (Etisalat) or 4849 (du).

Labour dispute

The insured employee may still file an ILOE claim even if a labour dispute is ongoing post termination, but the insurer may suspend or reject payment, until the courts resolve the dispute, especially if the reason for termination is contested. The outcome of the labour court proceedings can directly affect eligibility.

- Abdullah Ishnaneh, Partner, BSA Law

UAE currency: the story behind the money in your pockets

MATCH INFO

Liverpool 2 (Van Dijk 18', 24')

Brighton 1 (Dunk 79')

Red card: Alisson (Liverpool)

PAKISTAN v SRI LANKA

Twenty20 International series
Thu Oct 26, 1^st T20I, Abu Dhabi
Fri Oct 27, 2^nd T20I, Abu Dhabi
Sun Oct 29, 3^rd T20I, Lahore

Tickets are available at www.q-tickets.com

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The biog

Name: Younis Al Balooshi

Nationality: Emirati

Education: Doctorate degree in forensic medicine at the University of Bonn

Hobbies: Drawing and reading books about graphic design

The Book of Collateral Damage

Sinan Antoon

(Yale University Press)

Director: Romany Saad
Starring: Mirfat Amin, Boumi Fouad and Tariq Al Ibyari

Masters%20of%20the%20Air

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