Browse content similar to 26/09/2012. Check below for episodes and series from the same categories and more!
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vigil has been held. They are the headlines from BBC World News. Time | :00:05. | :00:15. | |
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for the money news. Here is Sally and World Business Report. Hello. | :00:16. | :00:20. | |
Welcome to World Business Report. Here are the headlines:Greece is | :00:20. | :00:26. | |
expected to grind to a standstill as trade unions call the first | :00:26. | :00:30. | |
general strike since the Conservative-led Coalition came to | :00:30. | :00:34. | |
power. Results from Lloyds of London should show an improvement | :00:34. | :00:41. | |
after the massive losses of last year. From Singapore - Toyota, and | :00:41. | :00:50. | |
Nissan are reducing production in China. AntiJapan sentiments over | :00:50. | :00:58. | |
the China Sea impacts sales. Good to have you with us. Once again | :00:58. | :01:03. | |
there are scenes of the widespread protests against austerity across | :01:03. | :01:07. | |
Europe. Thousands of protesters gathered in Madrid to vent their | :01:07. | :01:14. | |
anger over cut backs and tax hikes. Riot police fired rubber bullets on | :01:14. | :01:19. | |
the protesters. The latest demonstration comes two days before | :01:19. | :01:24. | |
the Spanish Government is due to unveil its budget. It is likely to | :01:24. | :01:28. | |
contain further cut backs. Many economies have been saying they'll | :01:28. | :01:31. | |
need to approach European authorities for a bailout. The | :01:31. | :01:36. | |
focus moves to Greece, where unions plan to bring the country to a | :01:36. | :01:41. | |
standstill. Civil servants, teachers, lawyers, and others have | :01:41. | :01:47. | |
been called out on a 24 hour strike. This is the first general strike | :01:47. | :01:52. | |
that the three-party Coalition government had to say since taking | :01:52. | :01:57. | |
option, despite warnings from the head of the International Monetary | :01:57. | :02:04. | |
Fund that delays in reforming the economy is growing a shortfall in | :02:04. | :02:09. | |
Greece. I'm joined by a senior lectureer at Cardiff Business | :02:09. | :02:13. | |
School. Thank you for being on the programme. The strikes today - how | :02:13. | :02:19. | |
effective will they be, do you think, in impacting with the | :02:19. | :02:23. | |
Coalition government will decide in terms of future cuts. Participating | :02:23. | :02:29. | |
in the strike is comprehensive. I do not think that this strike will | :02:29. | :02:35. | |
have any impact whatsoever in the short term. There may be an impact | :02:35. | :02:39. | |
which will be political. Greece is now governed by a Coalition, and | :02:39. | :02:43. | |
some parties may take notice, but I think they have little room to | :02:43. | :02:49. | |
mover. My expectation is that the policy will not change as a result | :02:49. | :02:56. | |
of the strike. In terms of room for manoeuvre, they are due more money | :02:57. | :03:02. | |
next month. That is only on Monday. They are due more money from the | :03:02. | :03:06. | |
bailout creditors soon, yet they have to be specific before they get | :03:06. | :03:11. | |
the money about future cuts which we'll expect today or tomorrow in | :03:11. | :03:18. | |
terms of an announcement. Exactly. The Greek Government agreed with | :03:18. | :03:23. | |
the troika to cut expenses. The discussion among the partners of | :03:23. | :03:28. | |
the Greek Coalition is where to make the cuts. Unfortunately, these | :03:28. | :03:34. | |
cuts are necessary. Greece is findinging itself in this present | :03:34. | :03:38. | |
situation as a result of overspending. It is harsh and | :03:38. | :03:42. | |
unpleasant and difficult for large sections of the population. These | :03:42. | :03:46. | |
cuts are necessary for the sake of the Greek economy, first and | :03:46. | :03:51. | |
foremost. How do you think this will play out. They are necessary, | :03:51. | :03:55. | |
and they won't get future money unless they implement the cuts. | :03:55. | :04:01. | |
There's a lot of unrest and a Coalition government which is not | :04:01. | :04:05. | |
strong. I think that the government has a clear mandate from the | :04:05. | :04:11. | |
general election held in June, to keep Greece in the Eurozone. That | :04:11. | :04:15. | |
was the dilemma presented to the Greek people. They gave an | :04:15. | :04:20. | |
endorsement of the political party. There's political legitimacy. On | :04:20. | :04:26. | |
the other hand you are right. The cuts will not be easily accepted by | :04:26. | :04:30. | |
large parts of the population. The Government has to stay strong, stay | :04:30. | :04:37. | |
the course. On the other hand our European partners should help by | :04:37. | :04:47. | |
saying clearly that as a result of these reforms, Greece will stay in | :04:47. | :04:51. | |
the Eurozone. Bring us up to date on the Prime Minister's plea for | :04:51. | :04:58. | |
time from the EU, IMF and ECB. Do they have more time or is it still | :04:58. | :05:05. | |
being negotiated? It is at the stage of negotiation. It's not | :05:05. | :05:11. | |
talked among the top politicians, I think there is a chance that they | :05:11. | :05:15. | |
will get additional time. Thank you very much for being on the | :05:15. | :05:22. | |
programme from the Cardiff Business School. Lloyds of London, it's the | :05:22. | :05:27. | |
largest insurance market is likely to have cashed in on a quiet spell. | :05:27. | :05:34. | |
Last year was the second most expensive on record for insurers, | :05:34. | :05:39. | |
with claims $20 billion following floods in Australia and Thailand, | :05:39. | :05:45. | |
an earthquake in New Zealand, and Japan's earthquake and tsunami. | :05:45. | :05:53. | |
This year, in comparison, it's been virtually disaster free. But the | :05:53. | :06:01. | |
insurer has not scopd the Eurozone crisis. It may have judged the -- | :06:01. | :06:07. | |
escaped the Eurozone crisis. It may have escaped the crisis, and Lloyds | :06:07. | :06:14. | |
moved out of the bond market to limit risks. It's concerned over | :06:14. | :06:18. | |
action taken by the Central Bank. The low int The low inte environment | :06:19. | :06:25. | |
may be good for the banking sector, but it makes it difficult for the | :06:26. | :06:31. | |
insurers to make money on assets they hold. It's not just the euro | :06:31. | :06:35. | |
currency causing a headache. Insurance terms are caught up in a | :06:35. | :06:38. | |
crackdown caused by banking scandals. Lloyds says it's not only | :06:38. | :06:44. | |
unfair, but damaging to its business. Under rules drafted by | :06:44. | :06:49. | |
regulators by the G20 group of countries, any financial country | :06:49. | :06:56. | |
big enough to destablise the economy could be forced to hold an | :06:56. | :06:59. | |
additional capital buffer. concern is they are getting tarred | :06:59. | :07:06. | |
with the same brush as the banks. They haven't caused the financial | :07:06. | :07:09. | |
crisis. They were able to provide cover where it was necessary to | :07:09. | :07:13. | |
people that needed it throughout the financial crisis, and they feel | :07:13. | :07:18. | |
that they are to be tarred with the same brush, to be implemented in -- | :07:18. | :07:23. | |
implicated in the scandal and have regulations imposed upon them is | :07:23. | :07:27. | |
unfair. Insurers are better at handling risk. With the threat of a | :07:27. | :07:33. | |
break-up of the Eurozone, and extreme weather patterns, it could | :07:33. | :07:40. | |
only take a major disaster to see a repeat of record claims of 2011. | :07:40. | :07:48. | |
The Japanese autogoints, Toyota and Nissan are re-- giants, Toyota and | :07:48. | :07:54. | |
Nissan are reducing production. We have more from Singapore. We were | :07:54. | :07:58. | |
saying this week that they had reopened the factories, they were | :07:58. | :08:04. | |
closed and demand has gone down for the girls. -- for the cars. That's | :08:04. | :08:09. | |
right, the row between the Japanese and Chinese is impacting sales of | :08:10. | :08:15. | |
carmakers. That's why they are scaling back output in China. They | :08:15. | :08:18. | |
are adjusting production and will halt production from October. Media | :08:18. | :08:23. | |
reports are saying that they will stop all vehicle exports to China | :08:23. | :08:29. | |
from Japan. As for Nissan, they said the factory was run by a joint | :08:29. | :08:33. | |
venture on the mainland and it will suspend operations from 27 | :08:33. | :08:38. | |
September - tomorrow. That's three days earlier than a scheduled | :08:38. | :08:44. | |
holiday from 30 September to 7 October. Other factories closed | :08:44. | :08:50. | |
factories for days, as they became embroiled in the antiJapan protest | :08:50. | :08:56. | |
over the dispute between the islands on the China Sea. And the | :08:56. | :09:05. | |
dispute that is heating up. It is heightening friction between the | :09:05. | :09:12. | |
they are ramping up a challenge by filing a trade complaint in | :09:12. | :09:17. | |
Brussels. It is on top of a complaint, and accuses China's | :09:17. | :09:23. | |
solar panel makers of receiving illegal subsidies, and they opened | :09:23. | :09:28. | |
an investigation against Chinese companies for selling products for | :09:28. | :09:33. | |
less money overseas. This could sour trade relations between the EU, | :09:33. | :09:39. | |
and China, worth more than $500 billion. Thank you. And the markets | :09:39. | :09:45. | |
in Asia today, I have to say, are not having a good session. Almost a | :09:45. | :09:52. | |
2% lose in Japan - on news that the Telecom survey shows that sentiment | :09:52. | :09:56. | |
among manufacturers has fallen significantly. We had the Federal | :09:56. | :10:00. |