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Boris’s economic bluster

“Boris,” as he is widely known, was rewarded with ecstatic applause from his supporters and ministerial colleagues, but the media and business response was largely negative about lack of serious answers to British economic woes ranging from petrol shortages, rising fuel and food prices, to UK industrial productivity compared to its former European partners.
He barely mentioned the empty shelves in supermarkets or the debilitating lack of immigrant truck drivers which is directly linked to the country’s departure from the EU in line with his slogan “Get Brexit Done” – the controversial achievement with which he will be forever associated and directly blamed for by Remainers.
Instead, the prime minister set out an optimistic vision of a high-wage, high-skilled economy, promising to “unleash” the “unique spirit” of the British people. He dismissed current “stresses and strains” as side-effects of the economic recovery and said firms could no longer “use immigration as an excuse for failure to invest in people, in skills and in the equipment, the facilities, the machinery they need to do their jobs”.
For the last 18 months he has been widely criticized for his failure to respond effectively to the Covid pandemic by not attending emergency meetings to tackle the escalating crisis which saw the UK record one of the highest death-rates in Europe and the wider world and avoiding lockdowns. True, Boris has benefitted from the highly successful national vaccine rollout programme, but Covid is far from over.
“His speech, shamefully, was another attempt to rig the record on Covid, despite clear evidence the government failed to take timely action to prevent this country’s needlessly high death toll,” was the editorial judgment of the left-wing Guardian newspaper. And a right-wing think-tank described Boris’s “rhetoric as bombastic but vacuous and economically illiterate.”
Johnson’s broader social-economic ambitions are summarized in the concept of what he calls “levelling up”- characterized as building new roads, bridges, improved rail services and renovating high streets. That concept is designed to attract supporters of the opposition Labour Party who generally live in poorer parts of the UK. In the 2019 election the Tories succeeded in breaking what is known as the “red wall” – areas that have traditionally been held by Labour.
That will inevitably take longer than the three years remaining until 2024, when the prime minister will have to seek a new mandate. Yet his biggest problem is that such improvements – for which crucially there are no defined targets - risk being eclipsed by a rising cost-of-living crisis and inflation that will hit voters in the poorest regions the hardest, making his promise ring even more hollow.
Last week 4.4 million households with 5.1 million adults and 3.5million children saw their incomes fall by £1000 overnight – losing 10% of their income as the government slashes the basic rate of welfare benefits to its lowest level for over 30 years. Johnson made a virtue of raising taxes to fix the Covid-related backlogs in the National Health Service but he failed to acknowledge that it would been fairer to target assets rather than income. An additional element is the government’s decision to end pandemic financial support for businesses.
Unions also criticised his Tory conference speech. “If Boris Johnson was serious about levelling up Britain, he wouldn’t be slashing universal credit in the middle of a cost-of-living crisis,” said Frances O’Grady, the secretary general of the Trade Union Congress. “The PM is in no position to lecture people on wages when he is holding down the pay of millions of key workers in the public sector.”
To achieve productivity gains, more investment is clearly needed, but the UK has been investing less than any other European country apart from Greece in the past five years because of business uncertainty around the new trading relationship with the EU.
Another significant factor in the escalating UK economic crisis is the rising cost of global gas supplies to consumers and industries in the weeks before the November COP26 Climate Summit in Glasgow – which Johnson is clearly hoping to use to promote the UK’s commitment to tackling the looming disaster of global warming. Business leaders are deeply unhappy that the government has done so little protect them and their customers.
Responding to the prime minister’s conference gig, the chief of the Conservative thinktank Bright Blue issued a stark warning: “The public will soon tire of Boris’s banter if the government does not get a grip of mounting crises: price rises, tax rises, fuel shortages, labour shortages. There was nothing new in this speech, no inspiring new vision or policy.” Let’s hope that Johnson finally begins to pay attention to his many critics – rather than just enjoying flattering audiences laughing at his own jokes!
by: IAN BLACK

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BENEFIT AGM approves 10%...
- March 27, 2025
BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, held its Annual General Meeting (AGM) at the company’s headquarters in the Seef District.
During the meeting, shareholders approved all items listed on the agenda, including the ratification of the minutes of the previous AGM held on 26 March 2024. The session reviewed and approved the Board’s Annual Report on the company’s activities and financial performance for the fiscal year ended 31 December 2024, and the shareholders expressed their satisfaction with the company’s operational and financial results during the reporting period.
The meeting also reviewed the Independent External Auditor’s Report on the company’s consolidated financial statements for the year ended 31 December 2024. Subsequently, the shareholders approved the audited financial statements for the fiscal year. Based on the Board’s recommendation, the shareholders approved the distribution of a cash dividend equivalent to 10% of the paid-up share capital.
Furthermore, the shareholders endorsed the allocation of a total amount of BD 172,500 as remuneration to the members of the Board for the year ended 31 December 2024, subject to prior clearance by related authorities.
The extension of the current composition of the Board was approved, which includes ten members and one CBB observer, for a further six-month term, expiring in September 2025, pending no objection from the CBB.
The meeting reviewed and approved the Corporate Governance Report for 2024, which affirmed the company’s full compliance with the corporate governance directives issued by the CBB and other applicable regulatory frameworks. The AGM absolved the Board Members of liability for any of their actions during the year ending on 31st December 2024, in accordance with the Commercial Companies Law.
In alignment with regulatory requirements, the session approved the reappointment of Ernst & Young (EY) as the company’s External Auditors for the fiscal year 2025, covering both the parent company and its subsidiaries—Sinnad and Bahrain FinTech Bay. The Board was authorised to determine the external auditors’ professional fees, subject to approval from the CBB, and the meeting concluded with a discussion of any additional issues as per Article (207) of the Commercial Companies Law.
Speaking on the company’s performance, Mr. Mohamed Al Bastaki, Chairman BENEFIT , stated: “In terms of the financial results for 2024, I am pleased to say that the year gone by has also been proved to be a success in delivering tangible results. Growth rate for 2024 was 19 per cent. Revenue for the year was BD 17 M (US$ 45.3 Million) and net profit was 2 Million ($ 5.3 Million).
Mr. Al Bastaki also announced that the Board had formally adopted a new three-year strategic roadmap to commence in 2025. The strategy encompasses a phased international expansion, optimisation of internal operations, enhanced revenue diversification, long-term sustainability initiatives, and the advancement of innovation and digital transformation initiatives across all service lines.
“I extend my sincere appreciation to the CBB for its continued support of BENEFIT and its pivotal role in fostering a stable and progressive regulatory environment for the Kingdom’s banking and financial sector—an environment that has significantly reinforced Bahrain’s standing as a leading financial hub in the region,” said Mr. Al Bastaki. “I would also like to thank our partner banks and valued customers for their trust, and our shareholders for their ongoing encouragement. The achievements of 2024 set a strong precedent, and I am confident they will serve as a foundation for yet another successful and impactful year ahead.”
Chief Executive of BENEFIT; Mr. Abdulwahed AlJanahi commented, “The year 2024 represented another pivotal chapter in BENEFIT ’s evolution. We achieved substantial progress in advancing our digital strategy across multiple sectors, while reinforcing our long-term commitment to the development of Bahrain’s financial services and payments landscape. Throughout the year, we remained firmly aligned with our objective of delivering measurable value to our shareholders, strategic partners, and customers. At the same time, we continued to play an active role in enabling Bahrain’s digital economy by introducing innovative solutions and service enhancements that directly address market needs and future opportunities.”
Mr. AlJanahi affirmed that BENEFIT has successfully developed a robust and well-integrated payment network that connects individuals and businesses across Bahrain, accelerating the adoption of emerging technologies in the banking and financial services sector and reinforcing Bahrain’s position as a growing fintech hub, and added, “Our achievements of the past year reflect a long-term vision to establish a resilient electronic payment infrastructure that supports the Kingdom’s digital economy. Key developments in 2024 included the implementation of central authentication for open banking via BENEFIT Pay”
Mr. AlJanahi concluded by thanking the Board for its strategic direction, the company’s staff for their continued dedication, and the Central Bank of Bahrain, member banks, and shareholders for their valuable partnership and confidence in the company’s long-term vision.
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