09/12/2013 Asia Business Report

was examining claims passed to it by the Sun on Sunday newspaper. Now on

BBC News all the latest business news live from Singapore.

Slowing down ` revised data points to weaker growth in the Japanese

economy. An election in 60 days stashed Thailand's Prime Minister

dissolves parliament and promises a general election in the coming

months. Hello and welcome. We start today with Japan's economy which

expanded by 3.3 concerted. ``%. That is revised down earlier to half a

percent. It underscores the fragile economy growth. The government plans

to increase the sales tax next April. There is a great deal of

concern about the impact of the sales tax increase will have. That

is why the government has announced last week a 50 billion US dollar

growth package to be launched at the same time as that tax. Essentially,

they are going to take money out of people 's pockets and then shove it

back with another massive splurge of spending. But will that spending

work? A lot of spending was promised this year but it has not happened.

It will be difficult to get that money flowing through the economy. A

lot of challenges ahead. Looking at 2013, what are the general

projections for the economy? `` 2014. That things will pick up again

in the New Year. I hope for an increase in exports, the low gang `

going up about 100 to the US dollars. That will weaken further

optimism with exporters but those massive export increases have not

come through and we have seen in creases in imports ` particularly

electricity. It is still early days to see whether this policy is going

to work. I think, the first 6`8 months we are seeing the figures for

is still very early days to say whether it works or not. As you may

have heard, Thailand's Prime Minister Ying`luck Shinawatra said

she will call election within 60 days. The protesters kicked off a

major rally in Bangkok. Marching towards the Prime Minister's offers.

Protests have been going on for a week. It is having an impact on the

stock market. It has been a dramatic change of fortunes for Tacloban.

stock market. It has been a dramatic change of fortunes for Tacloban It

change of fortunes for Tacloban. It is to be the biggest economic hub of

the country but now it is in ruins after being hit by one of the most

powerful storms experienced by the country. It may be a while before it

becomes business as usual. This is all that remains of the biggest

shopping maul in Tacloban. Smashed door fronts and empty shelves. These

were some of the scenes from a month ago, people scrambling to find food,

water and medicine by whatever means necessary. No shop was left

untouched but it was not just a supermarket and pharmacy that had

shelves emptied, people also took home electrical appliances,

jewellery and other luxury items. Armed security guards have been

installed. Workers are clearing away debris so they can reopen next year

but so far, only about 30% of the businessmen in the city have

returned. One of them runs a distribution warehouse. He worries

that the situation will deteriorate again. The security is concentrated

only on the central areas but on the outskirts where fact trees and

houses are located, there is little security `` factories. Security will

be pulled out by December ` that is still a concern. If I were to speak

for the business, they are very down and discouraged because the security

was non`existent, their businesses were looted, everybody lost

investments and life savings. We need the government to come in, or

the central bank and local banks, to help local businesses. He said he

was lucky that he warehouse was protected right after the storm.

protected right after the storm These are the warehouse was

destroyed and also completely ransacked. The businessmen, facing

this kind of damage, cleaning up and starting over, is a daunting task.

Trade ministers from 12 countries are in Singapore in a last`minute

effort to strike a basic agreement on the transpacific partnership

They are looking for political solutions on issues which include

intellectual property rights and the reform of state`owned companies.

intellectual property rights and the reform of state`owned companies.

Negotiations have been going on for nearly four years. If they reach an

agreement, it could pave the way for stronger ties with China who is not

a member. A lot of the countries on both sides of the Civic already have

strong relationships with the China. Even China who is not a

member, also has strong ties. Canada is increasing its trade with China.

The point is to use this as a bridge and two strengthen the relationship,

to eventually pull China in. So that they will benefit as well from

greater reciprocal access. Data from the weekend in China shows a rise of

30% in November. It means demand is picking up from big economies such

as the US and Europe. Economists were expecting more and this signals

China they still have some way to go with China boosting growth and

consumption. Inflation is moderating. Consumer price slope to

3% in November. `` slowed. For more on the Chinese economy and other top

is this headlines, you can visit our website. Emerging markets like India

are looking more at track different than ever to retailers, particularly

at luxury retailers. Some willing to flash their cash. But combining

sushi with shopping in the country's biggest luxury bowl in

posh side Delhi. Many come here with friends for what is popularly called

a kitty party in India. Elite women get together over lunch and pooled

money to spend on luxury handbags or shoes. Catering to them, several

international brands of the open stores here. Now it is so much

easier, I can see the options, and pick up what I like in a stall. It

has definitely made our lifestyles better. Obviously there is more

variety. As Western markets are slowing down, luxury brands are

pushing to be here in India. The good news for them is that the

number of rich individuals is growing. This means they are likely

to spur demand in the near future. There are still a few barriers.

India lacks high street so retail space is limited. Yet, the luxury

market has witnessed a robust growth of 15% over the last three years and

is now estimated to be worth $8 billion. High import duties are

worrying retailers. Pricing is one of the main issues. We tried to

balance the prize with other regions, especially Europe and

London is where Indians like to buy. Import duties. Or reduce and slow

down the possibilities for customers to buy in their country. It will

affect the economy in India. Unlike their parents, India's young favour

spending over saving. The recent growing breed of a new kind of

customer ` entrepreneurs, officials and the ruling rich who are

discovering luxury for the first time and are not afraid to flaunt.

Demand is expected to soar and luxury retailers will be waiting to

tap into the new Indian Mara archers. `` the new Indian wealthy.

Looking into the markets: Wall Street had a very good close due to

the job data. That is lifting markets. Thank you for watching.

The top stories this hour: Thailand's Prime Minister Yingluck

Shinawatra has dissolved parliament and called a general election in the

wake of massive demonstrations across the country. A statue of

Lenin is pulled down by demonstrators as tens of thousands

of Ukrainians take to the streets of Kiev, calling for closer ties with

Europe MPs look set to get a pay increase of 11% ` that's five times

the rate of inflation. The move s been opposed by the three main party

leaders. The proposal by the independent body that sets MPs'

salaries would take effect after the next general election. They don't

normally agree on much but one thing unites the leaders of the three main

parties is their complete opposition to a ?7,000 pay rise for MPs after

the next