11/01/2013 World Business Report

latest headlines from BBC World News.

Time now for World Business Report. Hello and welcome to World Business

Report. Here are the headlines: Tightening the Net. Europe's new

cyber cops warn of the growing threat from online crime. Plus -

France's labour deadlock. President Hollande calls for an historic deal

between firms and unions as the Three quarters of Europe's

population now use the internet compared to a global average of

around a third. That growing dependence on the web is putting

the region in increasing danger from cyber criminals, warn senior

European detectives. They say individuals and businesses in the

EU will face a rapidly growing threat from African fraudsters as

the IT infrastructure there improves. The warning comes on the

opening day of a new European cybercrime centre in Holland.

Rising computer fraud now cost Europe 1.5 billion euros a year.

Criminals are hacking into businesses and stealing from

individuals. All around the world, side attacks are hitting the

headlines. Threats can come from anywhere in the world. Today comes

a warning that cyber criminals may find a particularly easy based in

Africa. What you see in Africa it is that when you see the

development increase in technology, you seabed African organised

criminals and European organised criminals set up basis. There might

be a weaker legal system and there. Foreign computer fraudsters will be

a major target at the new European cyber-crime centre that opens today

in The Hague. This is an example of a micro camera used by criminals.

detectives know many of the tricks of the trade such as hidden mobile

phones which transmits details of pin codes after filming them

through tiny holes. They have also built a Faraday cage, a rumoured

that wireless signals cannot penetrate. It prevent criminals

from moving data remotely from devices that may contain evidence

of fraud. This is the place to gather information, exchange best

practices, do a joint analysis of pre assessments, but also a place

where you could leave some evidence for forensic analysis. Officials

here will now begin tracing communications that often stretch

in a complex web around the world. In particular, they will be trying

to protect Europe's banks and retailers and to safeguard personal

data on websites like Facebook. Japan's Cabinet has approved a

massive new stimulus package to boost the nation's flagging economy.

The government will spend $116 billion on public works and

financial aid for business. We can talk to our correspondent. What is

happening with this latest stimulus? It is the latest in a

long line. It is. It is really because the new Japanese government

won a landslide victory last month. And the new Prime Minister came to

power promising to do something to kick-start Japan's ailing economy,

one that has been ailing for a very long time. He has announced today

this very large chunk of cash that is going to be injected into

Japan's economy in a very short amount of time, the next three

months. It is to the end of the financial year. They will spend

around $56 billion in new money on infrastructure spending mainly to

try and kick-start the economy, to create up to 2% growth in GDP and

over 500,000 new jobs. That is because Japan faces another

election in the summer. It is for the upper house of parliament. He

once the economy to be in a better shape ahead of the elections so

that his party will be in pole position to win. A Japan has

effectively had to two last decades. We have had infrastructure spending

before and it did not work. Is this going to be any different? Well,

that is a question a lot of economists are asking. In the

short-term, this is a classic pump priming of the economy. It is a lot

of money in a short space of time. Economists think it all work in a

shorter amount of time but only for a limited amount of time. People

are now asking, what more is this new government going to do? Is it

prepared to take the tough decisions to structure reform

Japan's over-regulated economy to open Japan's economy to foreign

policy, to join a free trade partnership with the US? We don't

know yet but we probably won't find out until after the elections in

July. Those are the sorts of things but economists say Japan has to do

if it is to have sustainable long- term economic growth rather than

the short-term boost. One other thing the Prime Minister wants is

the inflation target to be doubled. He wants high inflation in Japan

because presumably that is going to knock down the value of the yen

which would be good for Japan's exports. Yes. We have already seen

that. The new Prime Minister has been quite effective at talking

down the value of the end a promising that he is going to put

pressure on the Bank of Japan to create more money to try to create

inflation in the economy. The value of the inn has already dropped by

quite a lot over the last month. -- the yen. That has already had an

effect on Japanese exporters. They welcome that the break-up value of

the yen and want to see it weaker. It is so they are competitive on

the international market. Thank you. While Germany's Audi and BMW

celebrate record sales in 2012, France's Peugeot Citroen is reeling

from its worst year in more than a decade. For many in the French

business community news from the car industry this week only

underlines a wider reality that France is becoming less and less

competitive. Today talks between employers and unions aimed at

shaking up France's labour market are due to conclude. President

Hollande has called on both sides to make a historic deal to make

hiring and firing easier whilst also protecting workers' rights.

But it's proving difficult. We will bring you more on that story as it

develops throughout the day. In other business news this Friday,

credit card giant American Express says it's cutting some 5,400 jobs.

The deepest cuts will come in its travel business, an industry it

describes as being fundamentally reinvented because of the digital

revolution. The restructuring will cost it $600 million, slashing its

fourth quarter profits by half. China's inflation rate jumped to a

six-month high in December. Consumer prices were up 2.5% on the

previous year, up from the 2% rate in November. The rise was largely

down to the freezing winter pushing up vegetable prices. But higher

inflation could make it harder for the government to support the

economic recovery with interest rate cuts or other stimulus

measures. Let's have a quick look at the

market's. The Nikkei has been up on the stimulus package for Japan.