Zimbabwe inflation hits 1,593.6%

INFLATION in Zimbabwe has continued to spiral upwards, leaping to a record annual rate of 1,593.6 per cent in January with electricity, gas and fuels contributing most.

On a month-on-month basis, inflation jumped by 45.4 per cent, compared with 36.3 per cent rise in December. The country has been hit by an unemployment rate of more than 80 per cent and chronic shortages of food and fuel.

Political tensions are rising as urban workers have been hit by the soaring costs of consumer goods, public transport fares and medical fees. Doctors and nurses have been on strike since last month and they have now been joined by some teachers and university lecturers.

• Getting connected

BT has entered into a strategic agreement with Credit Suisse to provide a package of services to the global bank.

The contract involves the management of Credit Suisse's global networking function, which will include the transfer of 231 employees and 50 contractors.

BG signs Nigerian gas export deal

• BG GROUP has signed a deal with Nigeria's NLNG to buy liquefied natural gas (LNG) for shipment to the United States.

UK-based BG has agreed a 20-year deal to take 2.25 million tonnes a year of LNG from NLNG's planned "Train 7" project in Finima, Bonny Island. Deliveries are expected to start in 2011 or 2012, depending on when the plant comes on stream.

The LNG, which is gas chilled into liquid form for loading on to tankers, will be delivered to BG Group's North American marketing arm in Louisiana. BG already has deals in place to buy supplies from Nigeria's growing LNG industry.

Airbus clinches Saudi contract

• EUROPEAN planemaker Airbus has won a Saudi Arabian order worth between 350 million (233m) and 400m, the French ministry of defence said yesterday.

The French government said Saudi Arabia had decided to order an unspecified number of A330 Multi Role Tanker Transport (MRTT) planes from Airbus.

The basic planes will be made in Toulouse while Spain's CASA will turn them into military aircraft at its Getafe site near Madrid.

In June, Casa started to convert A330s into MRTTs for the Royal Australian Airforce which had ordered five of the craft worth some 825m.

• The right chemistry

Sigma-Aldrich, a US company that supplies chemicals to research labs, has snapped up Epichem Group for $60 million (31m) in cash to expand its chemicals offerings to high-technology markets. The deal to acquire the UK company will see Epichem's management and employees remain in place.

• Sainsbury shares

Former government minister David Sainsbury has removed 133.1 million shares in supermarket operator Sainsbury's from a Sainsbury family trust.

David Sainsbury's shares were held in the trust while he was a member of the Government, from which he resigned on 10 November.

Aer Lingus staff vote for strike

HUNDREDS of Aer Lingus staff yesterday voted in favour of industrial action, up to and including a strike, over the airline's cost-cutting measures.

SIPTU, which represents some 1,800 Aer Lingus workers, said in a statement that the company's proposed new employment contracts undermined existing terms. Other unions representing Aer Lingus staff have said they plan to ballot on strike action due to the airline's refusal to reconsider the new contracts.

Aer Lingus is fighting to compete with fellow Irish airline Ryanair and fend off a takeover bid by its bigger rival. SIPTU plans to seek approval for the industrial action from its national executive.

ESPC attacks sellers' surveys

EDINBURGH Solicitors' Property Centre (ESPC) has attacked the Executive's plans for house seller's surveys, claiming changes in the property surveys would do little to speed up sales or reduce expenditure for buyers.

Ron Smith, chief executive of ESPC, said: "Over the past two or three years, the market has changed such that they may represent additional and unnecessary legislation. We have seen a marked increase in the proportion of offers being made 'subject to survey'... the vast majority of buyers are simply not incurring high costs associated with paying for several surveys as may have been the case a few years ago."

• Corus suspension

UK-Dutch steelmaker Corus Group yesterday said trading in its shares would be suspended after the close of trading on 29 March, ahead of its takeover by India's Tata Steel. Tata won an auction for Corus on 31 January by offering 608p per share and will pay some 6.2 billion for the firm.