02/07/2014 Asia Business Report

Now on BBC News, all the latest business news live from Singapore.

Indonesia's Finance Minister tells the BBC their economy needs to

attract more foreign investors. Carving a future. A Japanese

craftsmen finds new ways to keep his family business alive. `` craftsman.

Welcome to the programme. Some investors have become wary of

Indonesia after it. One of the world's gradual five economies. The

economy is one of the key issues for Indonesians who will vote in a

general election in around a week. Gross has become a top priority the

government there. `` growth. Indonesia has become a middle income

country in the past decade. It is a notable achievement, but recently

growth has begun to slow. Will they begin to go into a virtuous circle

or will it be a vicious cycle? The country went into a virtuous circle

when prices skyrocketed ten years ago. Foreign money brought funds

that boosted growth. That meant there was more money for investment.

Indonesia was in a virtuous circle of growth and investment. Will the

end of the commodity boom mean that Indonesia could fall into a vicious

circle, where lower investment leads to slower growth and less income?

But if the country could attract investment into new areas, like

consumer goods to service its large population, that could launch

Indonesia into a new cycle of growth and prosperity. While in Jakarta,

our correspondent also caught up with the Foreign Minister of

Indonesia. I don't think this country can grow by 7% without

foreign investment. The only way to make sure this country grows by 7%

is by opening to foreign capital and foreign investment. The question is

why we have to grow by 7%. That is the only way we can create jobs and

reduce poverty. There is frustration over corruption and the amount of

money being spent. I think that it is important to look at the

situation of the previous government. Let me ask you a

question. Do you think that the corruption under that government was

eradicated? No? Of course not. But how did the country grow? How were

they able to build and infrastructure? It is not about

corruption but certainty. In the past, we were dealing with one

single family and everything was settled from the top to the bottom.

But in this democratic setting, there is fragmentation at the top.

That means we have to talk from central government to local

government, so there is more uncertainty. There is something

worse than organised corruption and it is unorganised corruption. What

about the resources boom? If Indonesia continues with this

trend, 60% of our exports will collapse. In other business news, a

Japanese drugs giant is expected to face charges for data manipulation.

The companies alleged to have provided false data to retailers to

push its products. Google has bought a free online music streaming

service. The application creates playlists based on the move of its

users. Reports value the deal at around $15 million. Australia logged

a $2 million trade deficit this quarter because of a slow in trade

to China. The Australian dollar is now worth more than 94 cents in

American currency. Some say it may regain parity or exceed the value of

the US dollar later this year. There is still a bit of drag on the

domestic economy. The Reserve Bank yesterday made the case that the

economy was still a bit weaker than expected. For the Australian dollar,

we think the most important factor is the US dollar, and strength in

the US dollar is something we are looking for in the next few years.

We see the Australian dollar in the immediate term as in the mid` 80s as

opposed to parity. Throughout history, businesses have been handed

down through the generations, sometimes staying in the same family

for hundreds of years. But how do traditional crafts survive? We went

to meet the last of a long line of craftsmen in Japan. Have a guess

what he is making. Whatever you have guessed, I'm pretty sure it is

wrong. These strips of wood and blue will eventually become part of a

bicycle. `` wood and glue. That is right, a wooden bicycle. For over

200 years, his family have been master boatbuilders. In a nearby

dock, he still has the first one he ever made. He started building her

when he was just 13. It took him five years. How on earth did he get

from here to making bicycles? I can make a bicycle wheel the same way.

Some European people have been asking for a wheel that is exactly

round. Seven years ago, he built this, a racing bike made entirely of

mahogany. It is a rather strange feeling to be riding and $80,000

mahogany bicycle. You would not think it, this being wood, but it is

astonishingly light, just seven kilograms, which is the same as a

carbon bikes. He only made his first bicycle to the show off his

woodworking skills, but then he took it to a European bike show. I was so

surprised how many people tried to ride. They asked me to make it. On

the first day, I received three orders. I was very surprised. The

price was very high but the client said, yes, the price is high, but

the quality is very high. They had never seen such a high`performance

wooden bike. This man is a craftsmen who takes immense pride in his work.

`` a craftsman. He will make only three bikes this year. If you order

one now, you would have to wait until 2018 to get it. But his

daughters do not want to do this. When he retires, all of his

knowledge and skills could be lost forever.

Before we go, here is a story for those who like to invest in a good

night's sleep. One artist has sold her unmade bed complete with empty

vodka bottles and cigarette ash trays for millions of dollars. My

bed certainly doesn't look like that and it does not cost that much

either. Thank you for joining us. Don't forget, you can follow us on

Twitter. All of the sport is coming up next with the latest in the World

Cup. This is BBC News. The headlines: Former French president,

Nicolas Sarkozy, has appeared in court. He is under investigation

over claims his election campaign was funded illegally.

Israel has held funerals for the three teenagers abducted and

murdered in the West Bank. Prime Minister Benjamin Netanyahu called

their killers heinous murderers. Fly`tipping has been illegal for

years but now courts