Browse content similar to 01/07/2016. Check below for episodes and series from the same categories and more!
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decision on airport expansion in the south-east of England until a new | :00:00. | :00:00. | |
Prime Minister is in place. An announcement on projects at Heathrow | :00:00. | :00:19. | |
or Gatwick had been expected. As the financial turmoil following | :00:20. | :00:25. | |
Britain's leave vote, has it subsided? And, the sharp edge of the | :00:26. | :00:29. | |
deal. From today, the Japanese electronics giant belongs to a | :00:30. | :00:31. | |
Taiwanese company. Good morning, it is Friday, almost | :00:32. | :00:46. | |
the weekend. That you could join us for this edition of Asia Business | :00:47. | :00:50. | |
Report. Markets have been all over the place during the last week or | :00:51. | :00:59. | |
so. Creeping confidently up, tumbling down, gradually climbing up | :01:00. | :01:02. | |
again. It has been a week since the EU voted to leave the European | :01:03. | :01:07. | |
Union, with the pound getting a hammering. How bad has it really | :01:08. | :01:13. | |
been? Power Asia business correspondence is a look. | :01:14. | :01:20. | |
What a week it has been, some $3 trillion wiped off global markets in | :01:21. | :01:24. | |
the aftermath of the vote for Brexit. Asian markets were the first | :01:25. | :01:31. | |
to react to the news that the UK had voted to leave. Then the case or the | :01:32. | :01:36. | |
biggest one-day fall since the tsunami in 2011. Look at the damage. | :01:37. | :01:49. | |
It was the same across the UK, Europe and the US. But take a look | :01:50. | :01:55. | |
at this. The barring blue is the Asia Pacific index, excluding Japan, | :01:56. | :02:00. | |
and about five days after Brexit, Asian markets were still down, but | :02:01. | :02:06. | |
not as badly off as the rest of the world. It is the same theme after | :02:07. | :02:10. | |
other major natural events. Take a look at this chart. About a week | :02:11. | :02:16. | |
after the 2008 collapse of Lehman brothers, the world index was up | :02:17. | :02:22. | |
about 2.4%, but the Asia index was up even more. Then a month later, at | :02:23. | :02:30. | |
world stocks fell by 17%. Asia fell as well but not by as much. It is | :02:31. | :02:35. | |
the same story after a major national disaster, even if that has | :02:36. | :02:41. | |
taken place in Asia. After the 2011 earthquake and tsunami in Japan, | :02:42. | :02:44. | |
stocks in Asia recovered to do three times as well as the rest of the | :02:45. | :02:50. | |
world. It is not just markets. Even though projections for growth this | :02:51. | :02:56. | |
year have been reduced, Asia is still expected to post 5% growth as | :02:57. | :03:03. | |
a whole. That is compared to low or negative growth in the developed | :03:04. | :03:11. | |
world. The Brexit decision is also likely to play out positively for | :03:12. | :03:15. | |
Asia. China's slowdown is having an impact, which is likely to be the | :03:16. | :03:18. | |
biggest risk for Asia in the months ahead. | :03:19. | :03:24. | |
In addition to stocks, investors are keeping a close eye on UK property. | :03:25. | :03:33. | |
Many developers and banks have investors in London, and a major | :03:34. | :03:38. | |
Singapore bank decided on Thursday to stop offering loans for London | :03:39. | :03:43. | |
property. Other Singapore banks are urging caution, but are some | :03:44. | :03:46. | |
investors looking for opportunities now that the pound is at record | :03:47. | :03:51. | |
lows? Earlier I spoke to the managing director for South East | :03:52. | :03:55. | |
Asia at the property giant. I think some investors will think so. I | :03:56. | :04:02. | |
think we can expect some discount in prices. The London residential | :04:03. | :04:07. | |
market had already come off about 5-10%, and it could come off more. | :04:08. | :04:15. | |
What about the commercial side? It is more resilient, underpinned by | :04:16. | :04:20. | |
some good strong fundamentals, it is at a 15 year low, vacancy. I think | :04:21. | :04:29. | |
the commercial market will be more resilient, but it is bound to be | :04:30. | :04:35. | |
more subjective, and there will be some concern on occupancy and where | :04:36. | :04:39. | |
rent is going. We can see some price adjustment as investors pull out of | :04:40. | :04:43. | |
the market we don't get as much investment capital. It has been a | :04:44. | :04:46. | |
week are now since the Brexit vote. What are the trends right now? I | :04:47. | :04:56. | |
think it is too early to say. I suspect over the coming months we | :04:57. | :05:01. | |
will see fewer transactions. The investors we were talking to are | :05:02. | :05:05. | |
starting to say that it could be an opportunity to enter the market at a | :05:06. | :05:12. | |
lower point. Along long-awaited tax amnesty scheme takes effect in | :05:13. | :05:17. | |
Indonesia today, lasting for five months, and the government will hope | :05:18. | :05:20. | |
this is bringing in billions of dollars in extra revenue it can use | :05:21. | :05:26. | |
to close its ongoing budget gap. Earlier I spoke to the editor of BBC | :05:27. | :05:30. | |
Indonesia, who took to the streets of the capital to see how locals | :05:31. | :05:35. | |
felt about the rules. They are hoping that by pardoning past tax | :05:36. | :05:43. | |
fraud and giving people low tax rates that they will get an extra | :05:44. | :05:49. | |
billion dollars they can put in the budget, particularly a focus on | :05:50. | :05:54. | |
infrastructure, growth and building, which are the key elements of Joko | :05:55. | :05:59. | |
Widodo's presidency, and an attempt to spur growth. The markets | :06:00. | :06:05. | |
responded positively to this move, strengthening the rupiah. When I | :06:06. | :06:08. | |
took to the streets of Jakarta people felt very uncomfortable. | :06:09. | :06:15. | |
TRANSLATION: I don't think it is a fair policy at all, it is completely | :06:16. | :06:20. | |
unfair. I work and I pay the right amount of tax. My tax comes out of | :06:21. | :06:24. | |
my salary every month at the same rate. I work very hard and pay my | :06:25. | :06:33. | |
tax on time to the government. It is a progressive public policy, but | :06:34. | :06:38. | |
will it benefit the people of Indonesia? What we need to make sure | :06:39. | :06:42. | |
of is that the tax money that does come back is not stolen by corrupt | :06:43. | :06:46. | |
officials. Everyone needs to be honest. It is not just, not paying | :06:47. | :06:56. | |
tax is a form of corruption. I fully understand how the process of | :06:57. | :06:59. | |
sending money overseas works. There is no way that large amounts of | :07:00. | :07:04. | |
tax-free money can be processed and sent overseas without some kind of | :07:05. | :07:08. | |
cooperation by government officials or knowledge. With this tax amnesty | :07:09. | :07:14. | |
we are being too obliging to people who run away with money that should | :07:15. | :07:18. | |
have gone to the government and used for the good of the people. There | :07:19. | :07:23. | |
have been a number of high profile tax corruption cases, one in | :07:24. | :07:27. | |
particular that involved a tax official who was helping effectively | :07:28. | :07:31. | |
smuggle money out of the country without paying tax. These kinds of | :07:32. | :07:38. | |
cases are in peoples minds. Across the country, quite startling figure | :07:39. | :07:42. | |
is that only 30 million people in Indonesia pay any form of tax, in a | :07:43. | :07:54. | |
country of 250 million. Sharp electronics will be overtaken today | :07:55. | :07:57. | |
by a Taiwanese company. There may be as many as 7000 job losses. How does | :07:58. | :08:02. | |
Japan feel about losing ownership over one of its iconic ransom? With | :08:03. | :08:16. | |
a pricetag of $2000, this robot is sharp's latest Android, which come | :08:17. | :08:22. | |
with features of the smartphone. It was unveiled as the firm agreed to | :08:23. | :08:29. | |
be taken over by Fox column, becoming the first electronic giant | :08:30. | :08:35. | |
to fall into foreign hands. Had if that one of the most iconic brands | :08:36. | :08:41. | |
in Japan being snapped up by China? China tends to copy other's | :08:42. | :08:47. | |
technology, so I am worried. I earn a lot of Sharp products, so I feel | :08:48. | :08:53. | |
sentimental. Sharp was once a crown jewel of the Japanese tech sector. | :08:54. | :08:57. | |
It was behind the first commercially produced TV set here, now it is on | :08:58. | :09:02. | |
the long list of recent Chinese acquisitions of foreign companies. | :09:03. | :09:10. | |
So what went wrong? Sharp netted on very large kilometres. Consumers | :09:11. | :09:19. | |
shifted their interest from large TVs too much smaller smartphone. | :09:20. | :09:24. | |
Sharp had a big factory for large skin televisions south of Osaka, and | :09:25. | :09:30. | |
made the big mistake that they financed it with bank loans instead | :09:31. | :09:33. | |
of shares. To make it profitable again they will need to tap into the | :09:34. | :09:41. | |
latent potential. The concern is whether its innovative spirit will | :09:42. | :09:43. | |
be able to move on under new management. | :09:44. | :09:51. | |
Before we go, a quick look at the markets. Asia gaining yet again for | :09:52. | :09:58. | |
a fourth straight session. It is up, up and away. The Nikkei up half a | :09:59. | :10:03. | |
percent, the All Ordinaries leading .4%, still in positive territory. | :10:04. | :10:10. | |
Wall Street investors feeling increasingly confident America will | :10:11. | :10:14. | |
not feel significant effects from Brexit. On Wall Street, the Dow | :10:15. | :10:21. | |
Jones soaring by 1.3%, and that is a gain of about 800 points in three | :10:22. | :10:29. | |
days. Thank you for investing your time with us, Sport Today is | :10:30. | :10:30. |