The Reserve Bank of Australia has kept the cash rate unchanged at 3.60 per cent, as policymakers weighed a firmer-than-expected economic recovery against signs of a fresh pick-up in inflation. The Monetary Policy Board said the decision was unanimous.

Australia’s central bank has kept the cash rate at 3.60 per cent, citing mixed signals.
Inflation has eased but recently picked up, with some signs of broader price pressures.
Economic momentum has strengthened, while the labour market is softening.
With risks to inflation shifting upward, the Board opted for caution and will closely monitor global and domestic developments.

Inflation has eased significantly from its 2022 peak, but recent data show a renewed rise. The bank noted that part of the increase in underlying inflation appears temporary, and emphasised uncertainty around the monthly CPI series given its relative newness. Even so, there are emerging signals of a more broadly based acceleration in prices that could prove persistent, warranting close monitoring.

Economic momentum has strengthened, with private demand recovering through improved consumption and investment. Effects of earlier rate cuts have yet to fully filter through the economy. However, the bank acknowledged that money market rates and government bond yields have climbed recently, tightening conditions at the margin.

Labour market indicators show a gradual softening, though conditions remain somewhat tight overall. Unemployment has edged higher and employment growth has slowed, but underutilisation is still low and capacity utilisation remains above its long-run average. Many businesses continue to report difficulty sourcing labour. Wage Price Index growth has moderated from its peak, yet broader wage measures remain strong, and unit labour cost growth is still elevated.

The Board highlighted considerable uncertainty in the domestic outlook. The rebound in activity, particularly in the private sector, has been stronger than anticipated and could increase capacity pressures if maintained. Global risks also remain significant, though Australia’s key trading partners have so far experienced limited impact on their growth and trade performance, the Reserve Bank of Australia said in a release.

Given these mixed signals, the Board judged it appropriate to stay cautious while reassessing the persistence of inflationary pressures. It said risks to inflation had recently shifted to the upside, even as a modest further easing in labour market tightness is expected.

The bank reiterated that it will closely watch global and financial market developments, domestic demand trends, and the evolution of inflation and employment conditions. It reaffirmed its commitment to achieving price stability and full employment, stating it will take whatever actions are necessary to fulfil its mandate.

Fibre2Fashion News Desk (HU)

Egypt is keen to attract new industrial investment, according to General Authority for Investment and Free Zones (GAFI) chief executive officer Hossam Heiba, who recently held talks with Chinese fabric manufacturer Fountain Set Limited to set up a $100-million textile complex in the country.

Heiba also met representatives of Elegance Apparel Garments Free Zone in Shebin El-Kom, with discussions focussed on the facility’s expansion.

Egypt is keen to attract new industrial investment, according to General Authority for Investment and Free Zones CEO Hossam Heiba, who recently held talks with Chinese fabric manufacturer Fountain Set Limited to set up a $100-million textile complex.
Heiba also met representatives of Elegance Apparel Garments Free Zone in Shebin El-Kom, with discussions focussed on the facility’s expansion.

Fountain Set plans a 200,000-sqm spinning and weaving facility under either a free-zone or special economic zone model, creating around 1,500 direct jobs and serving as a regional hub for fabric production and exports to Europe and Africa, according to the country’s state information service.

Egypt has invested over $4 billion to modernise state-owned factories with European equipment, offering flexible ownership, lease and usufruct models to attract private investors, Heiba said.

He stressed that Egypt’s variety of investment frameworks—including general and private free zones and special economic zones—allows investors to select the optimal system for their projects. He also highlighted potential industrial integration with existing textile companies in El-Mahalla City, boosting production and exports.

Fibre2Fashion News Desk (DS)

German womenswear brand Marc Cain has named a new CEO and it’s clearly preparing well in advance as he’ll take the reins of the business as of June next year.

He’s Dr Patric Spethmann, who will be responsible for all areas of the business. Helmut Schlotterer, founder and owner of Marc Cain, will remain chairman of the board, “primarily to mentor Patric Spethmann and act as a coach and advisor”.

So what is it about Spethmann that made the company (whose products are available internationally include the US and UK) pick him? He joins from Marc O’Polo, where he most recently held the position of COO. There, his focus was on “optimising internal processes, increasing the efficiency of workflows and organising structures”.

“In Patric Spethmann, we have gained a leader who brings with him many years of experience in the industry. Together, we will set the course for maintaining our brand and values and strategically driving them forward. This puts us in an excellent position for the future and enables us to respond quickly and efficiently to the challenges of the new era,” Schlotterer said.

And Spethmann added: “I am very much looking forward to joining Marc Cain in June 2026. As a leading player in the field of premium women’s fashion, I am particularly impressed by the company’s extraordinary innovative strength and its clear focus on forward-looking technologies. This combination of creativity, quality and progressive thinking makes Marc Cain, in my opinion, a company that sets trends for the entire industry.”