06/06/2016 World Business Report

But with just over a third of the votes counted,

Scientists in the United States are trying to grow human organs

inside pigs, by injecting human stem cells into pig embryos.

The research is aimed at overcoming the worldwide shortage

Those are the latest headlines from BBC World News.

Now for the latest financial news with the World Business Report.

Strapped for cash, one of the world's biggest oil

producers, Saudi Arabia, woos banks ahead of its plan to issue

And trade talks in Beijing between China and the US kick off, but will

they be overshadowed by mounting tensions over the South China Sea?

Welcome to World Business Report, I'm Sally Bundock.

Also in the programme, we get the inside track

But first, Saudi officials are meeting with global banks in Riyadh

later today as the oil producer moves forward with plans to issue

The country has been badly hit by low oil prices, which generate

more than two-thirds of its revenues.

So to plug the gap the country could sell up to $15

billion worth of US-denominated debt in the next few months.

It follows a $10 billion government loan agreed

Taking a look at this graph, from the beginning of the year the price

of Brent Crude has dramatically improved, it's now trading

at close to $50 dollars a barrel, an increase of almost 70 percent

But now let's look back to 2014, and this puts it all in perspective.

Even though oil prices are now at seven-month highs,

they're still a fraction of the prices seen in the middle of 2014.

Saudi Arabia needs to have the price at about $100

I am joined by the managing editor of the Oxford Business Group, Oliver

Cornock. Please tell us about this international bond sale, there's

bound to be an appetite? There is. We saw a precipitous drop off, there

was only a matter of time before the King of Saudi Arabia try to tap into

international markets. It is not a surprising or particularly desperate

move. International economies are always issuing debt, it is a strange

for Saudi Arabia to be tapping international markets for the first

time, but purely predictable. In terms of the timing and leadership,

it has all changed quite significantly? A new economic plan

has been introduced? Absolutely, it was announced about one month ago.

Big targets for the future, reducing their reliance on oil and getting

ladies into work, raising percentages. Part of that will be

finding alternative revenue streams and managing wealth and revenue,

because it is a wealthy country but it has been drawing down on a huge

foreign reserves. With the lower oil price, that is an issue. The bond

issue builds on fundamentals such as the young population and low income

streams, it will not be a hard sell. It also talks about adding

taxes, value added tax. We think it's normal, but it isn't in Saudi

Arabia? The low oil price is providing all of these economies

with a silver lining, an opportunity to enter into these more mature

tools of economic interaction. In the past, these have been very

expensive subsidies and welfare programmes which haven't been able

to reform in the post- Arab Spring. This gives them the opportunity to

change, and of course tax will be part of that. Thank you also, you

will be back in about five minutes to talk through some of the day's

stories in the papers. Now let's talk about trade talks

underway between the US and China. US Secretary of State John Kerry is

in Beijing along with the It's an official economic dialogue

between Tensions are high over currency

and trade practices, not to mention of course the dispute

over the South China Sea. Over to our Asia business hub. It

will be interesting to see how these two big powerhouses get on? It is

interesting. What is even more significant is that this is really

the last time that this takes place under the Obama Administration.

Things might change dramatically next year. But it is one of the most

senior bilateral talks between the two largest economies. We also had

Xi Jinping saying that it is important to include a bilateral

investment treaties. Stressing the trade relations between the

countries. John Kerry and the Treasury Secretary are both there.

They have been saying they support China's market reforms and capacity

cuts and there decision to cut industrial excess capacity. They

have said that that capacity has been distorting global markets and

the countries need to promote sustainable and balanced growth.

What is really threatening to overshadow the talks is the ongoing

tensions with regards to China's claims to the China Sea. I heard

from a senior rear Admiral at a meeting this weekend about how the

Chinese will essentially refuse to abide by a ruling that was taken at

the Hague by the Philippines. China maintaining their hold on the south

China Sea which is likely to lead to tensions between themselves and the

US. Flying is one of the safest forms

of transport, statistically, But recent accidents have focused

our attention on the need to combat new threats

in order to protect passengers. Among those threats

is cyber security. Our correspondent Theo Leggett

caught up with a leading security expert,

Matthew Finn, and asked how serious The worst that could happen is that

someone could get control of the aircraft or potentially of the

landing lights, the traffic management system. I we have been

focusing attention for the last 40 or 50 years has been about worrying

about weapons getting on board the aircraft, now the thinking is moving

into a space where we think about what could happen from a

technological standpoint. None of this has actually happened yet, so

how seriously our defence experts taking that? There have been some

eventuated and possibilities of this happening, such as that in Kiev

outboard. Even if it doesn't happen as yet, it is important to take a

look at how cyber security could present a risk to the aviation

industry. You have been speaking to executives here, do you think they

are amenable to the kind of taste and you are calling for. I do, the

industry is always looking at how they can improve, whether it is

safety security or passenger satisfaction. The reality is that we

have to keep moving security forward and getting better. The airline

industry has got much greater awareness about cyber security. Two

or three years ago, this was not high on the agenda but it is now.

What hasn't changed is an increase in capability to do something about

it, and I think that is where the industry needs to focus. How can we

learn lessons from other industries to improve the airline industry's

response capability relative to cyber security?

In other news: He might run the world's biggest social networking

site, but not even Mark Zuckerberg is immune to being hacked.

The Facebook founder's accounts on sites including Instagram,

Twitter, LinkedIn and Pinterest appear to have been briefly

A hacker group called Ourmine, which has more than 40,000 Twitter

Swiss voters have rejected a proposal to introduce

Final results showed that nearly 77 percent oppose the plan,

The proposal had called for adults to be paid

a monthly income, regardless of whether they are working or not.

The suggested monthly income would have be at

Let us have a brief look at the markets.

Recent polls have said that there may be a push to leave the EU which

appears to be spooking markets at the moment. I'll see you again

soon. He transcended his sport, and his

race, although