As the bidding war rages for the London Stock Exchange, Geraldine Lambe looks at how the 200-year-old-institution lost its lead in the European charts.

Cuban immigrant Al de Molina has done an impressive job as treasurer of Bank of America (BofA). “In a difficult interest rate environment, he adroitly managed the ups and downs, with the treasury business ending up being an important contributor to the bottom line,” says Joe Morford, an analyst at RBC Capital Markets.

President George W Bush is expected to focus on economic policies during his second term – inaugurated on January 20 – compared with his first administration, in order to achieve his government’s ambitious Social Security and US tax reform plans. To this end, Mr Bush also needs to fill several top-level, economic policymaking positions.

Private capital flows to the 29 most prominent emerging markets expanded significantly in 2004, rising by almost one-third to an estimated $279bn, more than double the figure for 2002.

Qatar, the world’s fastest-growing economy, has announced plans to establish a new financial centre based on a different model to other regional financial centres in neighbouring Bahrain and Dubai.

Belgium’s KBC will buy its shareholder Almanij in an operation that will almost double its free float and simplify its current structure. The new KBC Group NV will increase the number of shares in the Euronext stock market and will have a simpler holding and operational structure.

In the International Year of Microcredit, the UNDP’s Mark Malloch Brown encourages more commercial banks to take up microfinance.
Microfinance is helping to transform the lives of millions of people, helping to build businesses, create jobs and lift men, women and children out of poverty.

Alonso García Tamés examines the evolution and application of the Principles of Emerging Market Debt.

The popularity of Islamic bonds signals the opening up of a new banking market. Issuance last year hit $6.7bn but challenges remain to development.