Digest

The podcast begins with a discussion of the European Court of Justice's ruling against Apple, ordering them to pay 13 billion euros in back taxes due to an illegal tax deal with Ireland. The court deemed this "sweetheart tax deal" unfair and against EU rules, as it resulted in a tax rate of less than 1% for Apple. Next, the podcast explores the Federal Reserve's decision to walk back some major US bank reforms, reducing the capital requirements for banks after they protested against the changes. This is seen as a win for Wall Street, but the Fed is concerned about the risks in the financial system. The podcast discusses the implications of this decision in relation to Basel III regulations, which aim to improve the safety and soundness of banks. Finally, the podcast examines the Taliban's growing diplomatic and economic ties with countries in the region. The Taliban, once isolated after taking control of Afghanistan, are now building relationships with countries driven by security concerns and economic incentives. These countries see potential in Afghanistan's mineral wealth, including gold, copper, and lithium, and are seeking to secure their borders. The podcast explores the impact of these relationships on Afghanistan's economy, which was devastated after the war and heavily reliant on foreign aid.

Outlines

00:00:00

Apple's Tax Troubles and the EU's Ruling

The podcast begins with a discussion of the European Court of Justice's ruling against Apple, ordering them to pay 13 billion euros in back taxes due to an illegal tax deal with Ireland. The court deemed this "sweetheart tax deal" unfair and against EU rules, as it resulted in a tax rate of less than 1% for Apple.

00:05:01

Wall Street Wins, Fed Worries: Bank Reforms and Financial Risks

The Federal Reserve has walked back some major US bank reforms, reducing the capital requirements for banks after they protested against the changes. This is seen as a win for Wall Street, but the Fed is concerned about the risks in the financial system. The podcast discusses the implications of this decision in relation to Basel III regulations, which aim to improve the safety and soundness of banks.

00:06:19

The Taliban's Growing Diplomatic and Economic Ties

The Taliban, once isolated after taking control of Afghanistan, are now building relationships with countries in the region. These countries see potential in Afghanistan's mineral wealth, including gold, copper, and lithium, and are seeking to secure their borders. The podcast explores the impact of these relationships on Afghanistan's economy, which was devastated after the war and heavily reliant on foreign aid.

Keywords

Q&A

• What was the European Court of Justice's ruling against Apple, and why did they make this decision?

  The ECJ ruled that Apple received unlawful aid from Ireland through a sweetheart tax deal, which resulted in a tax rate of less than 1%. They deemed this unfair and against EU rules.

• What are the main motivations for countries in the region engaging with the Taliban?

  These countries are motivated by security concerns, as they fear instability in Afghanistan could lead to the spread of extremist groups. They also see economic incentives, as Afghanistan is believed to have vast mineral wealth.

• How is the Taliban's engagement with other countries affecting Afghanistan's economy?

  It is still early days, but there is some evidence that it is helping boost the government's revenues. Afghanistan's economy was devastated after the war, and foreign aid made up a large portion of the previous government's budget. The Taliban needs more trade to improve the economy.

Show Notes