Russia raises growth forecast

MOSCOW: The Russian economy will grow by 3.9 percent in 2024, higher than previously expected and higher than last year, thanks to increased state spending, Finance Minister Anton Siluanov told state television on Friday. The estimate is part of a new forecast for 2024 that is due to be released shortly, following the publication of strong economic data showing that the Russian economy was in good shape in the first half of the year. This year’s economic growth was previously estimated by the government at 2.8 percent. Last year, the Russian economy grew by 3.6 percent. – Reuters

Denmark lifts 2025 GDP outlook

COPENHAGEN: Denmark’s government on Friday proposed raising public spending on welfare and defence in 2025 after forecasting robust economic growth and low inflation this year and next, despite recommendations to tighten its budgets. The Nordic country of 6 million people has benefited from the rapid expansion in recent years of drugmaker Novo Nordisk at a time when several of Europe’s largest economies are experiencing slow growth or stagnation. Its government on Friday forecast the economy to grow by 2.2 percent next year, up from its previous forecast in May of 1.8 percent growth and above the forecast for the European Union as a whole. – Reuters

German unemployment rises

BERLIN: The number of people out of work in Germany rose significantly less than expected in August, Federal Labor Office figures showed on Friday. The office said the number of unemployed grew by 2,000 in seasonally adjusted terms to 2.8 million. Analysts polled by Reuters had expected that figure to rise by 16,000. The seasonally adjusted job rate remained stable at 6.0 percent. There were 699,000 job openings registered with the labor office in August, 72,000 fewer than a year ago, pointing to a slowdown in labor demand. When looking at the unadjusted number, the number of unemployed grew by 63,000 to 2.9 million, its highest level in three-and-a-half years. – Reuters

Power cut hits large parts of Kenya

NAIROBI: A power cut plunged large parts of Kenya including the capital Nairobi into darkness on Friday, the East African economic powerhouse’s main electricity supplier said. All regions served by the national network lost power apart from North Rift and parts of the Western Region, Kenya Power and Lighting Company (KPLC) said in a statement. “We regret any inconvenience caused and urge for patience from our customers as we work towards restoring normalcy at the earliest opportunity,” it added. Frustrated Kenyans were swift to vent their anger on social media after the power cut hit at around 9.30 pm (1830 GMT). — AFP

Hungary holds talks with Gazprom

BUDAPEST: Hungary’s foreign minister said Friday he travelled to Russia for talks on “energy security” with the head of oil and gas giant Gazprom, a visit that could heighten tensions with Brussels. Hungary is the only member of the European Union that has maintained close ties with the Kremlin since Russia invaded Ukraine in 2022. The landlocked Central European country still depends almost exclusively on Moscow for its natural gas needs. —AFP

Shell to cut hundreds of jobs

LONDON: British energy giant Shell plans to cut hundreds of jobs from its oil and gas exploration division as part of a cost-cutting program announced last year, a person familiar with the matter said Friday. The cuts will affect two units specializing in exploration and development of hydrocarbon extraction projects, with their workforces set to be reduced by 20 percent, the source told AFP. Offices in the United States and the Netherlands will be most affected, the person added, but the details of the plan are subject to talks with unions. Shell announced in June 2023 that it intended to implement “structural operating cost reductions of $2 billion to $3 billion by the end of 2025”.—AFP