LONDON, Oct 12 (Reuters) – A push by big technology firms into financial services in developing countries will improve access to them, but might also make traditional lenders more vulnerable, the Financial Stability Board (FSB) said.

The expansion in emerging markets has generally been more rapid and broad-based than that in advanced economies, the FSB, which coordinates financial regulation for the Group of 20 Economies (G20), said in the report released on Monday.

Lower levels of access to traditional banking and financial services developing economies had created demand for services now offered by big tech firms, the report found, particularly among low-income populations and in rural areas.

An increasing availability of mobile phones and internet access supported this trend, the FSB said.

“However the expansion of BigTech activity also gives rise to risks and vulnerabilities,” it said, pointing to lower financial literacy and firms using other data gathered.

“Competition from BigTech firms may, in places, also reduce the profitability and resilience of incumbent financial institutions and lead to greater risk-taking,” the FSB added. ($1 = $1.0000) (Reporting by Karin Strohecker; Editing by Alexander Smith)

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By Joice Alves

LONDON, Oct 9 (Reuters)Rolls Royce RR.L shares on Friday were heading for their best weekly gain since listing in 1987 as the British aircraft engine maker’s plan to raise money to cope with the coronavirus travel crisis triggered bargain hunting among investors.

The value of Rolls Royce shares more than doubled in the last week to 228.90 pence, although that is still a far cry from the 690 pence they traded at before the coronavirus outbreak.

The company aims to raise a total of 5 billion pounds, including 2 billion from shareholders, to cope with a “worst case scenario”.

“(The recapitalisation plan) sets up Rolls-Royce sufficiently to navigate an uncertain recovery and removes any lingering concerns about liquidity – and even solvency,” said Berenberg analyst Andrew Gollan, keeping a “buy” rating on the stock.

Worries over a long-haul travel slump reduced Rolls Royce’s market value to just 3.8 billion pounds ($4.9 billion) from 20.5 billion pounds two years back.

“There is a clear willingness to go bargain hunting as traders begin to see the light at the end of the tunnel,” said Joshua Mahony, senior market analyst at IG.

Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown said there has been “renewed retail investor interest” with Rolls Royce shares the most purchased by her clients in the week ending Oct. 8.

The Capital Group of Companies, a major investor, raised its stake in Rolls to 8.70% from 7.91% on Thursday.

Rolls Royce shares were up 17.8% on Friday by 1136 GMT, among the top performers on the pan-European STOXX 600 .STOXX index. Analysts said the stock still looked cheap.

($1 = 0.7723 pounds)

Rolls Royce’s roller coaster ridehttps://tmsnrt.rs/30O27wZ

(Reporting by Joice Alves; Editing by Kirsten Donovan)

(([email protected]; +442075422345; Reuters Messaging: [email protected]))

The

Mayor Lori Lightfoot on Thursday touted $500,000 the city’s getting from restaurant delivery company DoorDash to winterize Chicago restaurants, while proposals by aldermen to further crack down on such apps during the coronavirus pandemic languish in City Council committees.



Erica Hunt et al. posing for the camera: Mayor Lori Lightfoot visits Camp DoorDash at the 2019 Taste of Chicago in Grant Park.


© Zbigniew Bzdak / Chicago Tribune/Chicago Tribune/TNS
Mayor Lori Lightfoot visits Camp DoorDash at the 2019 Taste of Chicago in Grant Park.

In announcing the grant from the delivery company to help restaurants prepare for winter, Lightfoot thanked DoorDash “for investing in Chicago and its restaurants to assist them in continuing to serve Chicagoans this winter.”

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Third-party apps such as DoorDash, Grubhub and Uber Eats that charge additional fees to restaurants to deliver meals have drawn increasing scrutiny from elected officials since the virus outbreak began, as diners skittish about eating inside restaurants have been ordering more to-go meals, fueling a boom for the companies.

During a May City Council committee hearing, struggling restaurateurs said the companies charge 30% or more to deliver food, and sometimes set up their own websites masquerading as those of the restaurants themselves.

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Northwest Side Ald. Scott Waguespack, 32nd, introduced an ordinance to cap fees at 5% of the cost of the meal, but it got shunted to the City Council Rules Committee, where ideas the mayor opposes often get sent to die.

And while the council did adopt Lightfoot-backed rules requiring delivery apps to itemize the fees they charge, stricter bench marks backed by downtown Ald. Brendan Reilly, 42nd, have gone nowhere.

Reilly on Thursday said if the city wanted to really throw a lifeline to struggling restaurants, it would adopt the tougher standards, and the companies would readily agree to abide by them.

“I’m

By Tracy Rucinski and David Shepardson

Oct 8 (Reuters)Two U.S. Republican senators pushed back against proposals to provide cash grants for airlines, saying there are still unused federal loans for the sector and that no other Fortune 500 companies have received taxpayer-funded grants.

U.S. airlines received a $50 billion bailout in March, half in payroll support that was primarily composed of cash grants and half in federal loans. They have been asking for another $25 billion in payroll aid to protect jobs for another six months.

“No one wants to see layoffs, but we have a responsibility to ensure that taxpayer resources are used in an appropriate and equitable manner,” Senators Pat Toomey and Mike Lee said in a joint statement.

Their comments come as lawmakers contemplated standalone legislation to help the struggling airline sector after the Trump administration walked away from talks over a larger COVID-19 stimulus package.

However, on Thursday U.S. President Donald Trump said talks with Congress have restarted over further COVID-19 economic relief and that there was a good chance a deal could be reached.

House of Representatives Speaker Nancy Pelosi was scheduled to have another conversation with Treasury Secretary Steven Mnuchin on Thursday, aide Drew Hammill said. She is also due to hold her weekly news conference at 10:45 a.m. (1445 GMT), when more details could emerge.

Airlines shares were sharply higher on Thursday, extending gains a day earlier on hopes for more aid.

American Airlines AAL.O and United Airlines UAL.O began the furlough of 32,000 workers last week, and tens of thousands more at those airlines and others have agreed to voluntary leaves or reduced hours.

American and United have each secured some $5 billion in Treasury loans, though data released earlier this week showed that only 60% of the $25

By Elisa Anzolin and Gavin Jones

ROME/MILAN (Reuters) – Italy’s love affair with cash is fading. The coronavirus is turning Italians off notes and coins and the government is launching a raft of incentives to accelerate the trend, believing plastic payment can curb rampant tax evasion.

The Treasury estimates some 109 billion euros of tax is evaded annually, equal to about 21% of the revenue actually collected. The government believes the problem can be tackled by boosting digital payments which, unlike cash, leave a trace.

Prime Minister Giuseppe Conte is offering refunds on some money spent electronically, tax breaks for outlets with card machines and a new 50-million euro ($58.93 million) state lottery for card users only.

The coronavirus, which forced the government to lock down the economy between March and May, is helping his efforts.

“We have seen a surge in digital payments since the lockdown, I think mainly because of people not wanting to touch notes and coins,” says Cinzia Di Siena, who has run a pharmacy in southern Rome for the last 13 years.

A study published last week by credit association Assofin, market research firm Nomisma and pollster Ipsos said the lockdown was a “major occasion for Italians to try out non-cash payments,” with almost eight out of 10 making purchases online.

It reported that 31% of Italians increased their use of e-commerce during the lockdown, versus 23% of respondents in the United States, 18% in Germany and 16% in Britain.

Despite the recent trend, Italy is nowhere near the level of cashless purchases seen in much of northern Europe. European Central Bank data shows card payments in Italy last year accounted for 12.3% of GDP, versus a euro zone average of 16.6%.

CASH PRICE OR CARD PRICE?

Many Italian market stalls and taxi drivers will