21/03/2014 Asia Business Report

inadequate. It is now time for the latest

business news, live from Singapore. China's currency strategy. Will it

benefit the world's second`largest economy?

And Nepal considers opening its tourism sector to foreign operators.

Welcome to Asia Business Report. We start with the value of the Chinese

yuan. It has fallen to its lowest level in almost a year. It comes

after a decision by the central bank to allow it move up. This was

speculation to keep it week to boost the country's economic growth. We

got this analysis on the currency. I think this is purely a transitory

measure designed to shake out a massive currency speculation that

has been batting on the UN to continue appreciating. It is at

complete odds with stated policy objectives, moving towards a more

domestic growth model to boost growth. You are saying this is not a

long`term strategy. But what about the volatility? That might cause

trouble, surely? There are exporters in China that are likely to be hit.

It is a very transitory measure. It has got a shelflife of another

couple of weeks and then it would be back to business as usual. Then we

will resume the appreciation path. China, people always the worried

about social unrest. If you undermine the currency and reduce

people's purchasing power and create inflation, that will not go down

well. That is something they will want to avoid. We are seeing weaker

growth going on in China at the moment. Could that potentially have

an impact. There are many ways you can combat slow growth. Many

measures. You can expand fiscal policy, undertake monetary

stimulus. It is a blunt tool. I am utterly convinced they would not use

it. China's president, Xi Jinping, will

be for a European tour. He is scheduled to make stops in France,

Germany and Belgium. There has been talk that China could be signing a

deal with Airbus worth as much as $20 billion to purchase passenger

jets. Petra China owned record profits for

2012. It is that it is cutting capital spending for the second year

in a row as it is looking at boosting shareholder returns in the

middle of a corruption. The investigation started a year ago as

part of a drive by Xi Jinping to combat corruption.

Alibaba has invested in Tango. The deal comes after Facebook announced

plans to acquire a messaging service for $19 billion.

There was a 6% drop in profit last year. The first decline in over ten

years. The Beijing `based company got in $20 billion in net profit.

The fall was due to higher costs. Also, increased competition. Last

year China Mobile was granted licence to set up a 40 at work.

Mt Cox says it has found 2000 forgotten that coins in an online

folder at fortunate longer held any of virtual currency. It comes one

week after the digital currency exchange files bankruptcy

protection. For more on that story and other

headlines, you can visit our website. Can you rent out paradise?

That is what Nepal is considering. They want to lease out some of the

peaks to private companies in return for a fee. It would open up and

visited mountains to attract more climbers.

The majestic beauty of the Himalayas. Some describe this as the

Switzerland of the East. They have captivated tourists for decades.

Ringing in much`needed revenue for Nepal. Nepal got around to hundred

$50 million from tourism last year. The second biggest income by

Nepalese workers. It is not enough for the demands of the growing

population. Now the government is considering a raft of new measures

to attract more tourists. Home to eight of the highest mountains in

the world, Nepal has been a paradise adventure seekers. Now it wants to

capitalise on its pristine natural beauty. Apart from these well`known

attractions like Mount Everest, it wants to allow private companies to

lease some of the other peaks to boost tourism. It wants to hire out

some of the more than 300 Himalayan peaks that are currently open. The

government has also announced a sharp cut. TRANSLATION: There are

two things. Climbers can only go up to 5500 metres. Now they can claim

6000 metres. It will definitely increase the number of new tourists

looking for adventure. We have already received proposals from

investors to build hotels around the mountains. Operators have already

welcomed the proposals. With new strategies, officials hope to boost

revenue to $500 million in the next five years. Despite the ambitious

targets, Nepal still faces a number of issues, not least the lack of

adequate infrastructure. It needs to improve its notorious roads and

record on safety. Nepal has postcard natural beauty. The challenge is how

to convert that into a must to visit tourist destination. That is a

question I posed to a tour operator in Australia.

He has been to Nepal many times. I asked him how the idea could affect

his travel business. To be honest it would have a fairly marginal effect.

It is great that they are opening up new peaks. That would create

short`term demand as people want to do thing like first sense. `` first

sense. While I can see the intention of trying to increase volume, that

is a good one and may have some effect, I do not think it is going

to give them the boost they are expecting. That is interesting you

say that. There is the factor you suggest against places where people

can climb for free. How do you measure the cost to environment?

They have lost climbers to bring down trash. You have got the

concerns of the affect tourism development has on that. It is a

good point. The new initiative that climbers have to take rubbish of

Everest is a good one. It has been in place for some time. It will be

enforced more strictly. That is the average amount that climbers take

up. The rubbish that exists up there will still be there. Having said

that, they sent a group up in 2010 to try and reduce the amount of

rubbish on the Mt. In terms of spreading it more broadly, the

owners is on the operators. Responsibility. They need to have

measures in place for the people they take up in the areas.

A quick look at the Asian markets. With the exception of Japan,

everyone is rising. We saw steep losses yesterday. There might be

some bargain`hunting taking place. I should add to our top story, the

Chinese Iran is at a 13 month low. `` yuan. Thank you for watching Asia

Business Report. Here are the headlines: Planes and

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blocked access to Twitter just hours after the Prime Minister threatened

to wipe out the