Coverage of FCIB's New York International Round Table is available Thursday in NACM's eNews and an extended feature will be included in the soon to be released March issue of Business Credit Magazine. As always, the Round Table featured interested insights and strong opinions on economic and credit conditions in the United States and abroad.
Here are some interesting quotes captured during the Wednesday's event:
"Creditors lose with inflation; debtors, like the U.S. government, win with inflation," said Dan North, chief economist at Euler Hermes ACI. "Some countries now are discouraging investment from foreigners with hot U.S. dollars."
"There's eight times the amount of people among the Indians and Chinese. Protectionism will no longer be an option," said North on projections of the shrinking dominance in relation to world GDP in deference to India and China. "It's doesn't mean we're not going to be important or prosperous...but it puts us at more risk to growing creditors and losing the U.S. dollar as a global reserve currency."
"Access to credit information is getting more and more restrictive [in China], said Joachim Bartels, managing director of the Business Information Industry Association. "They find loopholes on financial information, targeted at Dow Jones, Bloomberg, etc. If we can't deliver commercial credit information, it will be damaging to our market; and it will be damaging to their market.
"Banks are starting to lend again, business is getting done," said Garlow.
"They've become credible inflation fighters," said North on Brazil.
"I don't think there really is a currency war," said Josh Green, CEO of Panjiva. "Currency is a bit of a side show when you think about trade. The future is going to be more about market access. Can we get access to the various Chinese markets, Indian markets?"
"In my world, the big question is where is the next China," said Green. "Realistically, there is no next China. People talk about Africa. But, realistically, what kinds of investments are being made. People go there for stuff, resources, not the people or their skills at anything."
"Quantitative easing (by the Fed) = printing money = inflation pressures," said North. "The Fed soon will be chasing inflation for a long time."
"We must touch third rails of society: Social society and Medicare," said North. It's an ugly job, but if we don't, never going to fix budget."
"Customers are not complying with terms," said David Garlow, VP/country risk manager, of AIG Global Trade. "Conditions are improving, banks are starting to lend again; business is getting done."