HONG KONG: Hong Kong will cut thousands of civil service jobs and boost spending in artificial intelligence as it seeks to tackle an increasing deficit, authorities said Wednesday.
Finance Secretary Paul Chan said during a budget speech that there would be a “cumulative reduction” of government recurrent expenditure by 7 percent from now until 2027-2028. Hong Kong’s deficit had reached $87.2 billion Hong Kong dollars ($11.2 billion) for the financial year of 2024-2025, making it the third straight year of losses.
“It gives us a clear pathway toward the goal of restoring fiscal balance,” Chan said.
He said 10,000 civil servant posts would be cut by April 2027, representing a reduction of about 2 percent of the civil service in each of the next two years. Salaries will also be frozen in the civil service this year.
Chan also said that up to $195 billion Hong Kong dollars ($25 billion) worth of bonds will also be issued in the next five years to ensure progress of important infrastructure projects, with more than half used to refinance sort-term debt.
To boost income, Hong Kong will also raise its airport departure tax from 120 Hong Kong dollars ($15.50) to 200 Hong Kong dollars ($25.70) from the third quarter of the year, representing a 67 percent increase.
Separately, Hong Kong will also make a push into artificial intelligence by leveraging the city’s “internationalized characteristic to develop Hong Kong into an international exchange and co-operation hub for the AI industry.”
Authorities have also earmarked $1 billion Hong Kong dollars for an AI research and development institute, and will set up a $10 billion ($1.29 billion) innovation and technology fund to invest in “emerging and future industries of strategic importance.”
Hong Kong’s finances have been impacted by a weak property sector, as home prices plunged some 30 percent over the last three years. It is also grappling with economic uncertainty and geopolitical tensions as US-China relations deteriorate.
The amount of land premiums paid by developers to the government has declined, hurting Hong Kong’s revenues. Land sales typically made up about a fifth of government income, but this has fallen to just above 5 percent in the last fiscal year.
Hong Kong’s fiscal reserves will shrink 12 percent from $734.5 billion Hong Kong dollars ($94.5 billion) to about $647.3 billion Hong Kong dollars ($83.3 billion) by the end of March, and a further 10 percent in 2025-26, Chan said.
Hong Kong is to cut thousands of civil service jobs and invest in AI to tackle a rising deficit
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Hong Kong is to cut thousands of civil service jobs and invest in AI to tackle a rising deficit
UK working with Israel to arrange charter flights out of Tel Aviv, Lammy says
“As part of our efforts to support British nationals in the Middle East, the government is working with the Israeli authorities to provide charter flights from Tel Aviv airport when airspace reopens,” Lammy said in a statement.
Israel’s main international gateway, Ben Gurion Airport, closed last week due to Israel and Iran’s spiralling air war.
On Monday, the British government advised its citizens in Israel to register their presence with British authorities, saying it was monitoring the situation and considering options for assistance.
It said it had increased its logistical support for citizens who have turned to overland routes into Jordan and Egypt.
Taiwan to hold recall election for lawmakers that could reshape parliament
TAIPEI: Taiwan will hold a recall vote for around one quarter of parliament’s lawmakers — all from the main opposition party — next month, the election commission said on Friday, a move which could see the ruling party take back control of the legislature.
While Lai Ching-te won the presidency last year, his Democratic Progressive Party (DPP) lost its parliamentary majority, leaving the Kuomintang (KMT) and the much smaller Taiwan People’s Party with the most seats.
The KMT and the TPP have passed a series of measures, including swingeing budget cuts, angering the DPP, though the campaigns to gather enough signatures for the recalls were led by civic groups.
The opposition has 62 of parliament’s 113 seats and the DPP holds the remaining 51. The recall votes for 24 KMT lawmakers will take place on July 26, the election commission said.
The DPP has given full support for the recalls, releasing a video this week calling on people to vote yes and “oppose the communists” — a direct reference to China and what the party says is the opposition’s dangerous cosying up to Beijing.
The KMT has vowed to fight what it calls a “malicious recall” that comes so soon after the last parliamentary election in January 2024.
“The KMT calls on the people of Taiwan to oppose the green communists and fight against dictatorship, and vote ‘no’,” the party said in a statement after the recall vote was announced, referring to the DPP’s party colors.
The KMT says its engagement with China, which views separately-governed Taiwan as its own territory, is needed to keep channels of communication open and reduce tensions.
China has rejected multiple offers of talks from Lai, branding him a “separatist,” and has increased military pressure against the island.
Recall campaigns against DPP lawmakers failed to gather enough valid signatures.
For the recalls to be successful, the number of votes approving the measure must be more than those opposing it, and also exceed one-quarter of the number of registered voters in the constituency, so turnout will be important.
If the recall votes are successful, there will be by-elections later this year to select new lawmakers.
Taiwan’s next parliamentary and presidential elections are not scheduled until early 2028.
Belgium announces border checks in migration clampdown
- A spokesperson for the Belgian Immigration Office said it was difficult to give figures for illegal immigration at the moment without the systematic border checks
BRUSSELS: Belgium will introduce border checks on people coming into the country to clamp down on illegal migration, the government said, in another limit on free movement across Europe’s Schengen zone.
The restrictions in the country that borders the Netherlands, France, Luxembourg and Germany will start this summer, a spokesperson for the junior minister for migration, Anneleen Van Bossuyt, said on Friday.
“Time for entry controls. Belgium must not be a magnet for those stopped elsewhere. Our message is clear: Belgium will no longer tolerate illegal migration and asylum shopping,” Van Bossuyt wrote on X.
The announcement follows similar moves by the Netherlands and Germany, part of a broader crackdown on migration across the continent, even as numbers of arrivals on many major routes have shown signs of falling.
“The checks will be carried out in a targeted manner on major access roads such as motorway car parks, on bus traffic ... on certain trains ... and on intra-Schengen flights from countries with high migration pressure, such as Greece and Italy,” a Belgian government statement said late on Thursday.
Prime Minister Bart De Wever, in office since February, has said curbing migration is a key priority for his right-leaning government.
Belgium is part of the open-border Schengen area which guarantees free travel between its 29 member states. Under article 23 of the Schengen Borders Code, members can temporarily reinstate border checks in response to security or migration pressures.
A spokesperson for the Belgian Immigration Office said it was difficult to give figures for illegal immigration at the moment without the systematic border checks.
Belgium, one of the world’s richest countries, received 39,615 asylum applications in 2024, 11.6 percent more than in 2023, numbers from the Federal Agency for the Reception of Asylum Seekers show.
The country had the capacity to take in 35,600 applicants in 2024, according to the figures, leaving many arrivals without proper accommodation.
Iran-Israel war could have ‘harmful’ migration impact on Europe, Erdogan warns
ISTANBUL: The Iran-Israel air war could spark a surge in migration that could harm Europe and the region, Turkish President Recep Tayyip Erdogan warned Friday.
Israel, saying Iran was on the verge of developing a nuclear weapon, launched a massive wave of strikes a week ago, triggering an immediate retaliation.
“The spiral of violence triggered by Israel’s attacks could harm the region and Europe in terms of migration and the possibility of nuclear leakage,” his office quoted him as saying in a phone conversation with German Chancellor Friedrich Merz.
Erdogan said the solution to the nuclear disagreements with Iran was “through negotiations.” He said the violence had “raised the threat to regional security to the highest level” and Turkiye was “making efforts to end the conflict.”
Despite the escalating confrontation, a Turkish defense ministry source said Thursday there had been “no increase” in numbers crossing from Iran.
The Turkish authorities have not released any figures.
AFP correspondents at the main Kapikoy border crossing near the eastern Turkish city of Van reported seeing several hundred people crossing in both directions, with a customs official saying the numbers were “nothing unusual.”
During a visit to the frontier on Wednesday, Defense Minister Yasar Guler said “security measures at our borders have been increased.”
Armed men in western Niger kill 34 soldiers and wound 14, authorities say
DAKAR: Armed men killed 34 soldiers and wounded 14 others in western Niger near the tri-state border with Mali and Burkina Faso, the defense ministry said.
The attack was carred out around 9 a.m. Thursday in Banibangou by attackers using eight vehicles and more than 200 motorbikes, the ministry said in a statement.
The government said its forces killed dozens of attackers it called “terrorists,” adding that search operations by land and air were being conduted to find additional assailants.
Niger, along with its neighbors Burkina Faso and Mali, has for more than a decade battled an insurgency fought by jihadi groups, including some allied with Al-Qaeda and the Daesh group.
Following military coups in the three nations in recent years, the ruling juntas have expelled French forces and turned to Russia’s mercenary units for security assistance. The three countries have vowed to strengthen their cooperation by establishing a new security alliance, the Alliance of Sahel States.
But the security situation in the Sahel, a vast region on the fringes of the Sahara Desert, has significantly worsened since the juntas took power, analysts say, with a record number of attacks and civilians killed by Islamic militants and government forces.
