FINANCIAL BRIEFS

FINANCIAL BRIEFS

Chase Reportedly Near

Brazil Debt Swap DealSAO PAULO, Brazil - A proposed $200 million debt swap investment by Chase Manhattan Bank in the Autolatina holding company that controls Volkswagen and Ford Motor Co. manufacturing operations in Brazil will be decided within two weeks, according to press reports here.

It would be the largest single investment in Brazil so far involving the conversion of debt into direct investments. Wolfgang Sauer, president of Autolatina and former president of Volkswagen do Brasil, expressed confidence the proposal would be approved because Brazil needs the debt swap mechanism to help resolve its international debt problems.

World Bank Capital

Linked to LDC Debt

WASHINGTON - Congress will not approve a general capital increase for the World Bank as long as the impasse on Third World debt continues, Rep. David Obey, D-Wis., said Thursday.

Rep. Obey, chairman of a House Appropriations subcommittee, told Treasury Secretary James Baker, I don't see any possibility of this committee or the House approving a general capital increase as long as the impasse on Third World debt continues.

Bank of New York

Wins Irving Majority

NEW YORK - Bank of New York Co. said Thursday it holds a majority of the shares of Irving Bank Corp.

Bank of New York is offering $15 in cash and 1.575 of its common shares for each outstanding Irving share it doesn't already own.

Irving, however, has been urging its holders to back a complex restructuring plan put forth by Banca Commerciale Italiana of Milan, Italy.

Sweden Increases

Discount Rate to 8.5 percent

STOCKHOLM, Sweden - The Swedish National Bank Thursday raised its discount rate to 8.5 percent from 7.5 percent in a move designed to limit consumer borrowing, a spokesman for the bank said.

China, Taiwan Clash

Over ADB Name Tags

MANILA, Philippines - The Asian Development Bank opened its 21st annual meeting Thursday with China accusing Taiwanese delegates of provocative acts by rejecting identification as Taipei-China on official name tags.

Thursday's meeting marked the first time that Taiwan, a founding member of the regional bank, had attended an annual meeting since the rival mainland government became a member in 1986.