- UK inflation pushes treasury debt payments to record level
- USA and Germany agree on Nord Stream 2 pipeline project
- Climate change and the use of water resources on the agenda in the G20
UK inflation pushes treasury debt payments to record level
UK inflation hit UK public finances last month, pushing interest payments on government debt to record levels.
The Office for National Statistics said on Wednesday that the Treasury paid £8.7 billion ($11.8 billion) in interest in June, the highest in any month since records began in 1997. The £6bn increase over last year was driven by high retail price inflation pushing up the index-linked service cost.
According to the British Office of National Statistics (ONS), the consumer price index in the country increased by 2.5 percent in June, exceeding the expectation of 2.2 percent. In the UK, the CPI was at 2.1 percent in May.
While the coronavirus restrictions in the British economy of approximately 2.8 trillion dollars have been completely lifted as of today, ways to keep the increasing inflation under control are being sought.
The figures indicate the constraints on Chancellor of the Exchequer Rishi Sunak, who pushed government borrowing to a peacetime record to protect workers out of a job during the pandemic. While the overall deficit is coming in lower than the Office for Budget Responsibility estimated in March, rising debt costs threaten to absorb any windfall.
“The spike in debt interest payments won’t derail the deficit reduction, but risks remain,” says Michal Stelmach, senior economist at KPMG U.K. “We are not out of the woods yet with the recent surge in Covid-19 cases putting some parts of the economy at risk of further restrictions later in the year and the uncertainty around the impact of phasing out the furlough scheme on unemployment.”
USA and Germany agree on Nord Stream 2 pipeline project
The United States and Germany have reached an agreement that will allow the completion of the Nord Stream 2 pipeline project from Russia to Europe.
With the agreement, the United States and Germany pledged to counter Russia’s attempt to use the Nord Stream 2 pipeline as a political weapon.
“The United States and Germany are united in their determination to hold Russia accountable for its aggression and malicious activities by imposing costs through sanctions and other means,” a joint statement by the United States and Germany said. expression was used.
Effective measures at the European level, including the imposition of sanctions, to limit the export capacity of Russia’s energy sector to Europe, said Germany would take action at the national level if Russia uses energy as a weapon or attempts to take further action against Ukraine. recorded for printing.
Pointing out that the energy security of Ukraine and Central and Eastern Europe is supported, it was stated in the statement that the USA and Germany pledged to support a fund of 1 billion dollars for Ukraine to diversify its energy resources, and Germany will provide a grant of 175 million dollars first.
It was underlined that Germany will continue to support bilateral energy projects with Ukraine, especially in the field of renewable energy and energy efficiency.
The statement stated that the USA and Germany support the efforts of the Three Seas Initiative to strengthen energy security with infrastructure connections in Central and Eastern Europe, and that Germany has committed to expanding its relationship with the initiative and that by 2027, the European Union (US$ 1.7 billion) It was stated that it would help to contribute to the EU fund.
Climate change and the use of water resources on the agenda in the G20
At the G20 Environment Ministers and Climate Energy Ministers Meeting to be held in Naples, Italy, the Ministers of the member countries and representatives of relevant organizations will come together to discuss and seek solutions on the issues of biodiversity loss and pollution, land degradation, desertification, unsustainable use of water and other natural resources. the future.
At the G20 Environment and Climate Energy Ministers Meeting, which will start tomorrow in Naples, hosted by the Term President of Italy, the Ministers will evaluate international developments and discuss sustainable policies on the protection of nature.
The meeting, which will be held at the historical Palazzo Reale Palace (Royal Palace) in Naples, will be moderated by Italian Minister of Ecological Transformation, Roberto Cingolani.
G20 Ministers responsible for Climate and Energy will also meet in Naples on Friday, July 23 to combat climate change, develop a common vision in energy and strengthen cooperation areas.
On the first day of the meeting, sessions on the topics “A Natural Capital for Conservation and Management” and “Joint Efforts for Sustainable and Cyclic Resource Use” will be focused on sustainable water resources management, nature-based solutions and ecosystem-based approaches to address global challenges, preserving the health of terrestrial ecosystems. and reinstatement of degraded lands, and solutions will be presented.
On the second day of the meeting, the topics of “resilient, smart and sustainable cities”, “sustainable recovery and opportunities offered by innovative technological solutions”, “green finance support for an inclusive and sustainable recovery” and “transition to clean energy” will be discussed.
The G20 Leaders’ Summit will be held in Rome on 30-31 October 2021.