International Digest

Yuan internationalisation in good time
BEIJING – China’s yuan will inevitably become a unit of international exchange but the timing for when the currency becomes freely convertible cannot be easily judged, Premier Wen Jiabao told a forum of policymakers, business leaders and academics yesterday.

A stable economic environment, sound financial and regulatory frameworks and global confidence all need to be in place before the yuan goes global, Wen told delegates of China Development Forum, adding that the process would be natural and could not be forced. Iran worries keep oil around $125LONDON – Brent crude oil held around US$125 yesterday as tension over Iran’s nuclear programme supported prices, offsetting news of an increase in production from Saudi Arabia and efforts by the United States to ease supply fears.The threat of military action against Iran, the world’s fifth largest oil exporter, has unnerved energy markets and sent oil prices soaring, with Brent crude nearly 17 per cent higher since the start of the year. Starbucks opens first juice bar LOS ANGELES – Starbucks Corp opened the first store in its new Evolution Fresh juice bar chain yesterday, its biggest move outside coffee and one it hopes will boost the company’s position in the US$50 billion health food sector.The juice bar business is, however, fragmented and intensely competitive and some analysts say the Evolution Fresh shops could have lower margins than Starbucks’ coffee shops.India’s railway minister quitsNEW DELHI – India’s railway minister quit on Sunday after he raised fares on the vast but creaking network, underscoring the government’s inability to take unpopular policy steps and adding to speculation the unsteady ruling coalition will fall apart.Railway Minister Dinesh Trivedi’s decision to resign, and the fare rollback that is likely to come, follows a pattern in recent months of India’s leaders announcing economic reform but being too weak to enforce it.Trivedi announced the first increase in passenger fares in eight years on Wednesday, a move aimed at shoring up a network whose dysfunction has become a major drag on the economy.