PayPal becomes first member to exit Facebook’s Libra Association

PayPal said it would forgo any further participation in Libra Association and would instead focus on its own core businesses. (AFP)
Updated 05 October 2019

PayPal becomes first member to exit Facebook’s Libra Association

  • PayPal said it would forgo any further participation in the group and would instead focus on its own core businesses
  • Facebook announced plans to launch the digital currency in June 2020

WASHINGTON: US payments processor PayPal Holdings Inc. said on Friday it was leaving Libra Association, the entity managing the Facebook-led effort to build global digital currency Libra, making it the first member to exit the group.
PayPal said it would forgo any further participation in the group and would instead focus on its own core businesses.
“We remain supportive of Libra’s aspirations and look forward to continued dialogue on ways to work together in the future,” PayPal said in a statement.
In response, Geneva-based Libra Association said it was aware of the challenges lying ahead in its attempts to “reconfigure” the financial system.
“The type of change that will reconfigure the financial system to be tilted toward people, not the institutions serving them, will be hard. Commitment to that mission is more important to us than anything else. We’re better off knowing about this lack of commitment now, rather than later,” Libra Association said in a statement. Facebook Inc. declined to comment.
Facebook announced plans to launch the digital currency in June 2020 in partnership with other members of Libra Association but the project quickly ran into trouble with skeptical regulators around the world.
Reuters reported last week that Facebook could push back the launch of Libra to tackle regulatory concerns.
Visa and Mastercard Inc. are also reconsidering their involvement in Libra as they do not want to attract regulatory scrutiny, the Wall Street Journal reported earlier this month.
France and Germany last month pledged to block Libra from operating in Europe and backed the development of a public cryptocurrency instead.
With the exit of PayPal, Libra Association now has 28 members, including Uber Technologies Inc, Lyft Inc. and Spotify Technologies.
“We look forward to the first Libra Council meeting in 10 days and will be sharing updates following that, including details of the 1,500 entities that have indicated enthusiastic interest to participate,” Libra Association said in a tweet.


Saudi Arabia, Iraq confirm full commitment to OPEC+ agreement- statement

Updated 26 min 50 sec ago

Saudi Arabia, Iraq confirm full commitment to OPEC+ agreement- statement

  • Both countries ministers said efforts by OPEC+ to meet their output cuts will enhance market stability

RIYADH: Saudi Arabia and Iraq on Monday confirmed their full commitment to the OPEC+ agreement.
Saudi Minister of Energy Prince Abdulaziz bin Salman, and Iraqi Oil Minister Ihsan Abdul Jabbar Ismail held discussions on developments in the oil markets, the improved global demand for oil, and progress in implementing the current OPEC+ agreement to reduce production.
OPEC and its allies led by Russia, a group known as OPEC+, agreed to cut oil output from May by a record 9.7 million barrels per day (bpd) after the coronavirus crisis destroyed a third of global demand.
The record cuts are now due to run to the end of July, before tapering to 7.7 million bpd until December.
But some OPEC members have not fully delivered on their agreed production cuts since May.
During a phone call, the Saudi minister commended Iraq’s performance within the framework of the agreement, as the country’s level of commitment in June reached nearly 90 percent.
Prince Abdulaziz thanked the Iraqi minister for his efforts in reaching the target, and expressed his confidence that Iraq will continue to improve its level of compliance with the oil cuts.
Ismail said Iraq would continue to improve compliance with the cuts to reach 100 percent by the start of August, pledging to compensate from July to September for the overproduction in May and June.
Both ministers also said that efforts by OPEC+, and the participating countries in the agreement, to meet their output cuts would enhance market stability and speed up their balanced recovery.

  • With Reuters