:00:00. > :00:00.Church of England Synod to ordain women as bishops, after decades of
:00:00. > :00:07.disagreement and debate. The Archbishop of Canterbury, Justin
:00:08. > :00:11.Welby, who had urged members to vote in favour, said he was absolutely
:00:12. > :00:17.delighted by the result. Now on BBC News, all the latest business news,
:00:18. > :00:23.live from Singapore. Citigroup agrees to pay a fine of $7
:00:24. > :00:31.billion over risky mortgages. And, we take you to Shanghai to find out
:00:32. > :00:35.why the group's leaders want to set up a new financial institution
:00:36. > :00:43.there. Thank you for joining us. The 2008
:00:44. > :00:46.global economic crisis did not just wreck entire economies, it destroyed
:00:47. > :00:51.lives as well. Citigroup has now agreed to pay out billions of US
:00:52. > :00:56.dollars to authorities to settle an investigation into the sale of
:00:57. > :01:00.risky, sub`prime mortgages. They have announced they will pay out $7
:01:01. > :01:04.billion. More than half will be doing to the department of justice,
:01:05. > :01:09.while 2.5 billion will be paid in consumer relief or some of the
:01:10. > :01:13.Americans who lost their homes. Our New York business reporter explains
:01:14. > :01:18.what this means to the US bank. The bank has been forced to acknowledge
:01:19. > :01:23.that they were missed it, that it actually mis` sold some sort of
:01:24. > :01:28.mortgage related instruments during the financial crisis. As a result of
:01:29. > :01:34.that, it has been forced to reach an agreement with US authorities and
:01:35. > :01:37.pay a huge fine. This isn't the first time we have seen a big bank
:01:38. > :01:41.being penalised for this sort of business. In fact, it is almost
:01:42. > :01:48.becoming routine on Wall Street these days. We heard from the US
:01:49. > :01:51.attorney general, who described the egregious behaviour. He has said in
:01:52. > :01:55.the past that no bank is big enough to jail, and he warned there are
:01:56. > :02:02.others who would also face potential fines in the future. This action is
:02:03. > :02:10.the latest step in our ongoing activities to see who the fraud had
:02:11. > :02:12.the US people. Citigroup is not the first financial institution to be
:02:13. > :02:20.held accountable by this justice department, and it certainly will
:02:21. > :02:24.not be the last. We have seen that JP Morgan is one big American format
:02:25. > :02:33.has been forced to pay huge fines before. `` firm. The bank of America
:02:34. > :02:39.is another bank that is currently being investigated. Citigroup has a
:02:40. > :02:49.large presence Will this huge fine of about $7 billion have any impact
:02:50. > :02:51.on its global operations? We are certainly talking about a global
:02:52. > :02:56.bank with operations in Asia, Europe, all around the world. I
:02:57. > :03:00.suspect the staff have been waiting to hear what the outcome will be.
:03:01. > :03:03.What is interesting is that the chief executive of the firm has come
:03:04. > :03:08.out with a statement, saying they believe the settlement is in the
:03:09. > :03:12.best interests of shareholders, allowing them to move forward and
:03:13. > :03:15.focus on the future not the past. Clearly the shareholders feel the
:03:16. > :03:25.same, because the share price actually rose. There are two global
:03:26. > :03:27.organisations charged with stabilising finances and funding
:03:28. > :03:33.major projects in the developing world, the World Bank and the IMF.
:03:34. > :03:36.The countries most affected by their policies have often felt shut out of
:03:37. > :03:47.the decision`making process, because it is a large Western economies in
:03:48. > :03:57.Japan that hold the pursestrings. These countries will now try to set
:03:58. > :04:06.up an alternative, as thou `` how Shanghai reporter tells us.
:04:07. > :04:18.This will widely be seen as it answer to the perceived unfairness
:04:19. > :04:24.in existing developing countries. With the BRICS countries concerned
:04:25. > :04:27.with the slowdown, the job of this bank will be to fund big
:04:28. > :04:33.infrastructure projects. To be fair, you can't find many on the
:04:34. > :04:38.streets of Shanghai who have heard of it BRICS summit, but it strikes a
:04:39. > :04:45.chord with anyone you talk to. TRANSLATION: It is getting worse,
:04:46. > :04:53.this delivery man tells me. There is so much more competition in business
:04:54. > :04:59.nowadays. The economy is pretty bad compared to last year. People just
:05:00. > :05:04.aren't spending is not. This BRICS summit is also expected to pledge
:05:05. > :05:09.another large sum of money, up to 100 billion US dollars, to a kind of
:05:10. > :05:13.alternative to the IMF. An emergency pot of money to protect emerging
:05:14. > :05:18.countries from the volatility of international capital. It is a sign
:05:19. > :05:23.of the growing clout and confidence of the BRICS members, and also the
:05:24. > :05:29.need for such a fund underlines their vulnerability.
:05:30. > :05:34.The World Trade Organisation has ruled against the US, saying it
:05:35. > :05:37.broke regulations by imposing duties on Chinese steel products, solar
:05:38. > :05:42.panels and other goods. It found that Washington went too far in its
:05:43. > :05:53.response to alleged government subsidies to Chinese countries. Thus
:05:54. > :06:04.that companies. There were claims that these occurred against three of
:06:05. > :06:12.the major companies. The depreciating Chinese economy has
:06:13. > :06:17.apparently caused a fall in the share price of Air China. It has
:06:18. > :06:24.warned of a $180 million for the first half loss. Chinese
:06:25. > :06:31.telecommunications equipment maker, Z T E, has cited improving margins
:06:32. > :06:38.in its global business and revenues from new contracts to build the next
:06:39. > :06:46.generation of telecommunications. They expect a profit of more than
:06:47. > :06:50.$160 million. Standard Chartered has big gun proceedings against the head
:06:51. > :06:54.of the commodities trading form, suspected of loans fraud. It is the
:06:55. > :06:57.fourth company to start legal action to recoup losses since Chinese
:06:58. > :07:03.authorities launched an investigation into whether a private
:07:04. > :07:06.metals training company and its related companies used fake
:07:07. > :07:12.warehouse receipts as collateral to secure loans. A British man and his
:07:13. > :07:16.American wife will be facing the courts in China next month in
:07:17. > :07:21.connection with bribery allegations involving the pharmaceutical giant
:07:22. > :07:26.GlaxoSmithKline. It is part of a broader Chinese anticorruption
:07:27. > :07:32.push, but it is China's attempt to end the process, and the
:07:33. > :07:42.multinationals have anything to see if they follow the rules? The
:07:43. > :07:47.process looks very politicised, because that is what it the
:07:48. > :07:50.headlines, but you have to see that behind the political process is an
:07:51. > :07:54.economic reform agenda that drives the process, and that will in the
:07:55. > :08:03.end decide how this process will unfold. There will be continuing
:08:04. > :08:05.headlines, as the leadership struggles out who retains power. In
:08:06. > :08:11.the long run, there will be continuing reforms, and what the
:08:12. > :08:15.Chinese call anticorruption is a regularisation of government
:08:16. > :08:21.processes. How would you rate so far the anticorruption campaign of the
:08:22. > :08:28.new government? I think what one has to see is that the anticorruption
:08:29. > :08:32.campaign is China's way of phrasing things. Actually, it is part of the
:08:33. > :08:36.government programme, and the person who was put in charge of the
:08:37. > :08:40.anticorruption campaign was one of the economic leaders under the
:08:41. > :08:46.previous leadership, who was brought in to push the anticorruption
:08:47. > :08:51.campaign as part of a largely de regularisation and marketisation of
:08:52. > :08:56.the ranking system and the state enterprise system. That is where it
:08:57. > :09:01.is happening, because you have basic interest sitting there in the
:09:02. > :09:05.leadership, who has control over state`owned enterprises who are
:09:06. > :09:11.being pushed out in favour of a more regular and government controlled
:09:12. > :09:16.process. It is a very tangled web of corruption that has to be untangled
:09:17. > :09:19.at the moment. Had you think this will impact multinational companies
:09:20. > :09:26.in China? They have anything to fear if they follow rules? No, in the
:09:27. > :09:30.end, it will go in the interests of multinational companies, because
:09:31. > :09:34.they are the ones who want regular process. What will happen in the
:09:35. > :09:38.short term certainly is that companies who have a network of
:09:39. > :09:43.contact in China might see that upset by people leaving and new
:09:44. > :09:46.people coming in, but overall, the process is very much in line with
:09:47. > :09:54.what will be national companies have been asking for.
:09:55. > :09:55.Before we go, a quick look at the markets.
:09:56. > :09:58.been asking for. Before we go, a quick Asian stocks
:09:59. > :10:04.are currently in positive territory in mid`morning Asian trade. This
:10:05. > :10:06.after US equity rose overnight, boosted by strong result from
:10:07. > :10:22.Citigroup and more deals in the healthcare space. As for the Dow
:10:23. > :10:27.Jones industrial average hit a record high, but they are waiting
:10:28. > :10:33.and watching for the testimony by Janet Yellen later today on US
:10:34. > :10:34.monetary policy. Thank you for investing your time
:10:35. > :10:50.with us. Sport Today is up next. You are watching BBC News. Our top
:10:51. > :10:55.stories: The US has welcomed an Egyptian call for a ceasefire in
:10:56. > :11:00.Gaza. Israel and the militant Palestinian group Hamas have said
:11:01. > :11:02.they are considering proposals. Libya's government has said it may
:11:03. > :11:03.ask or international