07/01/2014

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:00:00. > :00:00.warnings for England and Wales. There are three severe warnings for

:00:00. > :00:19.Dorset. Now it is time for the latest news from Singapore.

:00:20. > :00:23.The US Central Bank has a new chief of the majority of US senators

:00:24. > :00:28.confirm a Janet Yellen as the first female chair. You ongoing political

:00:29. > :00:42.demonstrations and Bangkok start to rise and Thailand. Welcome. Asia

:00:43. > :00:46.Business Report. We start off in the United States where as you heard,

:00:47. > :00:49.the majority of senators have confirmed Janet Yellen as the first

:00:50. > :00:53.female chair of the Federal Reserve. She will be succeeding in Bernanke

:00:54. > :00:58.who steps down at the end of the month after eight years in office.

:00:59. > :01:01.Janet Yellen is not to be an advocate of the aggressive stimulus

:01:02. > :01:08.policy also known as quantitative easing which began in 2008. Despite

:01:09. > :01:13.the amount being pumped into the US economy every month, it will be

:01:14. > :01:18.reduced by 85 earlier dollars to $75 billion US. One of the main

:01:19. > :01:22.challenge is to reduce the amount is also known as tapering will be in

:01:23. > :01:26.the months and years ahead. America is dealing with a mixed economic

:01:27. > :01:33.picture as it takes off for the New Year. Janet Yellen's task would be

:01:34. > :01:38.easy. I spoke to our correspondent earlier.

:01:39. > :01:42.On one hand you see the unemployment rate falling to 7%. That is a

:01:43. > :01:51.five-year low. However, it is still high. Parts of America sees people

:01:52. > :01:55.unemployed for more than six months. This is a concern to Janet Yellen.

:01:56. > :02:03.She mentioned a star in her confirmation in November. --

:02:04. > :02:07.mentioned this in her. The economy is recovering but the recovery is

:02:08. > :02:11.still tepid. This is why there are still move for this kind of

:02:12. > :02:16.stimulus. Ben Bernanke and Janet Yellen have both said that the

:02:17. > :02:20.economy is seeing recovery but it is not functioning at its top level.

:02:21. > :02:27.They are Central Bank's role is crucial at this moment.

:02:28. > :02:32.In Thailand hundreds of thousands of NT Government protesters are

:02:33. > :02:36.preparing to taken the streets to oust the Prime Minister Yingluck

:02:37. > :02:43.Shinawatra and put in an unelected council. The country's vast tourism

:02:44. > :02:50.industry are starting to feel the heat. Our south-east Asian

:02:51. > :02:57.correspondent reports from Bangkok. Thailand's pot of gold that keeps on

:02:58. > :03:02.giving. Tourism has continued to grow through political and economic

:03:03. > :03:08.upheaval. It accounts for more than 7% of the entire economy. Visitor

:03:09. > :03:16.numbers were up 20% last year. That is, until December. A sudden drop.

:03:17. > :03:22.Anti-government protests continued in Bangkok week after week. The

:03:23. > :03:27.group also and were able to challenge and at times trace of the

:03:28. > :03:35.police. Nobody can guess now how this will end. -- able to chase off

:03:36. > :03:41.police. Until now, protests have been a bit more than an

:03:42. > :03:44.inconvenience and sometimes even an unexpected attraction but the total

:03:45. > :03:49.shutdown planned for next week will have a far more serious impact on

:03:50. > :03:53.the city's economy. What is more worrying is the country's steady

:03:54. > :03:59.drift into a more violent and protracted conflict that could drive

:04:00. > :04:04.big investors and manufacturers to reconsider their commitment to

:04:05. > :04:08.Thailand. Electronics, for example, are worth $20 billion a year. That

:04:09. > :04:16.is more than one quarter of the X was that Thailand depends on

:04:17. > :04:23.heavily. -- exports. They are not easy to move elsewhere. If they do,

:04:24. > :04:27.they won't come back quickly. Outside Bangkok, the turmoil is

:04:28. > :04:34.scarcely visible. There is no reason yet to avoid the beach resorts. Even

:04:35. > :04:42.they can't be completely insulated from an intractable conflict which

:04:43. > :04:49.is threatening to tear the country and how.

:04:50. > :04:54.South Korea Samsung Electronics has forecast its operating profit for

:04:55. > :04:58.the three months to the scene last year fell by 18% to about $7.8

:04:59. > :05:03.billion. This is compared to the previous quarter. We got this report

:05:04. > :05:13.from the biggest maker of mobile phones and TVs. Four other news, log

:05:14. > :05:23.on to the BBC website and click on the business index will -- business

:05:24. > :05:26.index. An effort to slow growing debt in China and regulate the

:05:27. > :05:30.lending practices will stop shadow banking is a channel in which an

:05:31. > :05:34.actual institutions provide formal sources of loans for businesses will

:05:35. > :05:40.stop earlier I spoke to a correspondent about China's debt

:05:41. > :05:44.concerns. Total debt to GDP in China is

:05:45. > :05:51.running at about 200%. This is very high for a developing economy. There

:05:52. > :06:01.is concern for financial instability particularly as a lot of the debt is

:06:02. > :06:06.in the so-called shadow sector designed to circumvent the normal

:06:07. > :06:13.banking regulations. In this report, it aims to tackle this and the risk.

:06:14. > :06:17.It is all a part of China's strategy to get away from a model of growth

:06:18. > :06:19.based on this very high level of borrowing and investment and moving

:06:20. > :06:23.to something more sustainable, a model of growth based on consumer

:06:24. > :06:28.spending. How do these guidelines Capecchi

:06:29. > :06:35.shadow banking rules and other nations ?

:06:36. > :06:43.-- compare to shadow banking rules. Since the financial crisis, shadow

:06:44. > :06:48.banking, more conflux products have come in for concern. There is

:06:49. > :06:55.concern that this lending can compose risks of instability. China

:06:56. > :07:00.is bringing itself into line with other economies. People have pointed

:07:01. > :07:05.out that the tone of the regulations is evenhanded. It is not trained to

:07:06. > :07:07.do away with a shadow banking, it is trying to regulate it and bring it

:07:08. > :07:16.into a more formal setting, recognising that in a diverse

:07:17. > :07:20.economy, you need diversity and the ability for people to go to other

:07:21. > :07:25.sources if they can't get money from the banks, for example. This is

:07:26. > :07:30.China's way, some people would say, of moving towards economic reform

:07:31. > :07:40.which is all geared towards the shift to a consumer driven economy.

:07:41. > :07:45.CSX is a taboo subject in Malaysia. It is a conservative country. --

:07:46. > :07:57.safe sex was up it is home to the world's this condom maker.

:07:58. > :08:04.For every ten condoms produced in the world, at least one comes from

:08:05. > :08:08.Malaysia. It is likely that you have never heard of the company before.

:08:09. > :08:12.Karex. They merely produce for international brands. Here, for

:08:13. > :08:17.example, they are producing chocolate flavoured condoms destined

:08:18. > :08:21.for Brazil. A third of the condoms and leave this factory go to the

:08:22. > :08:24.United Nations and governments. The promote safe sex and they want

:08:25. > :08:29.condoms that are as attractive as possible.

:08:30. > :08:34.Even countries like Indonesia have requested flavoured condoms.

:08:35. > :08:41.Durian flavoured? Yes. That is stinky fruit. We also have one

:08:42. > :08:46.client and Amsterdam that wanted a narrow one flavoured condom.

:08:47. > :08:50.Marijuana ? May I ask how you got that extract ?

:08:51. > :08:59.It as synthetically flavoured. You don't get any tax from that.

:09:00. > :09:05.Karex has to be innovative. Its costs are low. It cannot directly

:09:06. > :09:08.advertise to consumers in its country.

:09:09. > :09:16.Today, young people are very connected to the Internet. The

:09:17. > :09:23.access of smart phones has made it their way. We can look into getting

:09:24. > :09:25.greater information about our products.

:09:26. > :09:29.A sense of humour has also kept this family firm in business for four

:09:30. > :09:33.generations. It trickles down to the factory floor. Here, workers check

:09:34. > :09:38.every condom for calls before it is sold.

:09:39. > :09:45.Is it fun? Yes. What about customer feedback ?

:09:46. > :09:49.People like to tell me, your condom doesn't fit me. I say, you can come

:09:50. > :09:53.to my factory and I will fit you. If you look at the size of the condom,

:09:54. > :09:56.the thing is, it will fit practically everybody, even your

:09:57. > :10:06.whole body. That is something I hope not to try!

:10:07. > :10:14.That was Malaysia. The fully go, here is a look at the markets. As

:10:15. > :10:17.you can see, most Asian stocks are trading higher in mid-morning

:10:18. > :10:21.Tuesday trade after activities are slightly higher in the US overnight.

:10:22. > :10:30.Janet Yellen was confirmed by the Senate as the Federal chairwoman.

:10:31. > :10:33.South Korea's currency is up by ten points. But in the upward trend is

:10:34. > :10:51.Japan, down by 80 points. Headlines: Millions of people across

:10:52. > :10:54.large parts of the United States and Canada are being warned to stay in

:10:55. > :11:04.doors to avoid extremely cold weather. Cabbages are forecast for

:11:05. > :11:06.-40 degrees. There are fears that militants linked to Al-Qaeda could

:11:07. > :11:07.establish