Jerusalem, July 31 (IANS) Israel launched a state fund that will allocate a total of 155 million U.S. dollars to 18 selected financial entities for investment in venture capital (VC) funds supporting startups, said the Israel Innovation Authority (IIA) on Wednesday.

The fund, initiated by the IIA in collaboration with the finance and innovation ministries, aims to support Israeli hi-tech companies, strengthen connections between institutional investors and local VC funds as in leading global markets, and enhance the stability of the local VC market against economic shocks.

The IIA noted in a statement that the fund will significantly boost innovation within Israel’s tech ecosystem.

Major institutional investment entities in Israel submitted applications totaling about 500 million U.S. dollars, Xinhua news agency reported.

Under the program, the IIA will provide matching funding for institutional investments in Israeli VC funds and will waive its share of the returns from the investments to boost the returns for institutional investors.

The IIA will also share investment losses with the institutional entities.

The investment policies also require the IIA not to intervene in the investment decisions of the institutions or the VC fund managers, who will be able to invest the funds, the statement said.

During the first four years following the fund’s investment, institutional entities can purchase the state’s share at an annual compound interest rate of 1 percent, it said.

Additional incentives will be offered to institutional entities investing in VC funds that focus primarily on deep-tech companies, it added.

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Jakarta, July 31 (IANS) Indonesia and the Gulf Cooperation Council (GCC) initiated negotiations for the Indonesia-GCC Free Trade Agreement (I-GCC FTA) at the Trade Ministry here on Wednesday.

The event was highlighted by the signing of a joint statement by Indonesian Trade Minister Zulkifli Hasan and GCC Secretary-General Jasem Mohamed Albudaiwi.

“Through the I-GCC FTA, Indonesia aims to strengthen trade relations while opening up mutually beneficial investment opportunities,” the Indonesian trade minister said in his speech, Xinhua news agency reported.

He added that the FTA is expected to boost exports of Indonesian commodities, such as motor vehicles, palm oil, jewelry, coffee, textiles, and electronics.

Jasem highlighted the significant potential benefits of the I-GCC FTA for both Indonesia and the Gulf countries, covering not only trade in goods but also services, customs, trade barriers, and small and medium enterprises.

“We want this trade agreement not only to increase trade figures but also to enhance economic cooperation in other areas. We also aim to open up opportunities for collaboration in new sectors, particularly Islamic economics,” he said.

The GCC is a cooperative group of six countries: Saudi Arabia, the United Arab Emirates, Kuwait, Bahrain, Oman, and Qatar.

Last year, trade transactions between Indonesia and the GCC amounted to 15.7 billion U.S. dollars, with 6.2 billion dollars recorded from January to May this year.

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Brussels, July 31 (IANS) Yearly inflation in the eurozone is expected to reach 2.6 percent in July, up from 2.5 percent in June, according to preliminary data published on Wednesday by Eurostat.

The European statistics agency said that the price of services is the driving force of inflation, with a year-on-year rate of 4 percent in July, down from 4.1 percent last month. July’s yearly inflation for food, alcohol, and tobacco stands at 2.3 percent, down from 2.4 percent in June. Meanwhile, energy prices recorded a year-on-year inflation rate of 1.3 percent in July, up from 0.2 percent in June and non-energy industrial goods saw yearly inflation increase from 0.7 percent in June to 0.8 percent in July.

Countries with the highest inflation include Belgium, with a 5.5 percent inflation rate, Estonia and the Netherlands with 3.5 percent, and Croatia with 3.4 percent. Conversely, the lowest inflation rates were recorded in Finland with 0.6 percent, Latvia with 0.8 percent, and Lithuania with 1.1 percent.

Peter Vanden Houte, a chief economist at ING, called July’s 2.6 percent inflation rate disappointing. This bump in an overall disinflation trend could lead the European Central Bank (ECB) to reconsider cutting rates in September, he said, Xinhua news agency reported.

Noting that the ECB will be scrutinizing the service inflation rate, Vanden Houte explained it is the most domestic rate and very sensitive to wage increases. “Services inflation did come down – but only marginally, to 4 percent from 4.1 percent in June,” he added.

Regarding energy, Vanden Houte noted that the base effect would continue to have a volatile impact during the second half of the year. The inflation rate for energy prices went from negative during the first quarter of 2024 to 1.3 percent in July.

The ECB cannot say yet that the inflation battle has been won, Vanden Houte said. However, based on survey data, he predicted a continuation of disinflation.

Six weeks are remaining before the ECB decides on cutting rates. The ECB left interest rates unchanged at its meeting earlier this month. This followed a major policy shift in June, when it reduced rates by 25 basis points, marking its first cut since September 2019.

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Damascus, July 31 (IANS) Explosions were heard Wednesday afternoon in the south of Damascus in an area that has a presence of the Lebanese militant group Hezbollah, a war monitor reported.

The blast hit a building in the Sayyida Zaynab area in the southern countryside of the Syrian capital, according to the Syrian Observatory for Human Rights, adding details of the incident are still emerging, Xinhua news agency reported.

The area has witnessed several instances of Israeli attacks against Hezbollah targets.

No official comments have been made about the incident yet.

The explosions come amid growing tensions in the region, with Israel allegedly carrying out attacks in Lebanon and Iran against key figures of Hezbollah and Hamas.

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Kampala, July 31 (IANS) The United Nations Development Program (UNDP) has donated six drones to the Uganda Wildlife Authority (UWA) to enhance conservation efforts in the East African country.

Nwanneakolam Vwede-Obahor, the UNDP representative to Uganda, on Tuesday handed over the unmanned aerial vehicles (drones) to Tom Butime, Uganda’s minister of tourism, wildlife and, antiquities, according to a statement issued by UWA.

The donation is expected to assist UWA in tracking animal migration patterns, assessing habitat health, and conducting detailed surveys. “Uganda is a country of natural beauty. Our support to UWA reflects our commitment to enhancing Uganda’s capacity to protect its unique wildlife and natural resources,” said Vwede-Obahor, as quoted in the statement.

She said the UNDP will maintain its support not only for UWA but also for the tourism sector overall, recognising its substantial contribution to the country’s economic development, Xinhua news agency reported.

Butime expressed appreciation to the UNDP, highlighting the significant impact the drones will have on Uganda’s conservation initiatives.

The newly acquired drones will enable UWA to conduct real-time aerial surveillance, enhance monitoring capabilities over extensive and remote areas, gather critical data on wildlife movements, and respond swiftly to any threats, thereby significantly bolstering their conservation strategies, according to UWA.

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