:00:00. > :00:00.on whether he will impose a whip on Labour MPs in any vote in launching
:00:00. > :00:00.airstrikes against the Islamic State group in Syria. Now it is time for
:00:00. > :00:21.Asia Business Report. The highest small warning yet this
:00:22. > :00:26.year for Beijing. Just before the global time it summit, China says it
:00:27. > :00:29.has met pollution reduction targets. Weibel look at the growth prospects
:00:30. > :00:39.for Asia's economy after recent strong gains in manufacturing. -- we
:00:40. > :00:45.will. Good morning. Lead you could join us for this Monday edition of
:00:46. > :00:49.Asia Business Report -- glad. Pressure will weigh heavily on the
:00:50. > :00:54.world's largest carbon emitter China at the UN climate change summit in
:00:55. > :01:00.Paris. Ageing is currently cloaked in the worst small group this year
:01:01. > :01:04.-- Beijing, but the government insists it has met targets with six
:01:05. > :01:06.months to spare. The environment minister did acknowledge that
:01:07. > :01:08.substantial reductions are still needed. Now we go to our
:01:09. > :01:22.correspondent. This is 160 km from Beijing and
:01:23. > :01:27.named earlier this year as the most polluted city in China. That is
:01:28. > :01:33.despite local authorities announcing an ambitious plan to cut carbon
:01:34. > :01:40.emissions way back in 2008. And the fact that it has been designated a
:01:41. > :01:47.no carbon zone. TRANSLATION: I think it hasn't had any affect. I think
:01:48. > :01:50.this project is just for show. The low carbon aspirations should have
:01:51. > :01:57.put it at the forefront of China's efforts to counteract pollution. It
:01:58. > :02:02.was granted special status to produce clean energy projects like
:02:03. > :02:05.solar panels and windmills. TRANSLATION: There are many
:02:06. > :02:10.companies which design wind turbines of the industry has brought it
:02:11. > :02:13.tangible benefits. Many of our friends working companies connected
:02:14. > :02:21.to the wind turbine industry. However the Dubya given -- world
:02:22. > :02:26.wildlife fund says much of the country is still powered by coal.
:02:27. > :02:31.TRANSLATION: This country needs to take advantage to a much greater
:02:32. > :02:36.extent, slowly moving itself from the production stage to the consumer
:02:37. > :02:41.stage so that it will consume its own solar panel products. Its
:02:42. > :02:44.failure to get its pollution under control reveals the scale of the
:02:45. > :02:54.challenge facing China nationally. An orange level alert has been
:02:55. > :02:57.issued for the smog in Beijing which forces factories to cut production.
:02:58. > :03:05.Some pollution readings were 17 times higher than the level
:03:06. > :03:17.considered safe by the WHO. Earlier I asked the chairperson of the
:03:18. > :03:23.climate change initiative's take. If you look at pollution at this point,
:03:24. > :03:27.of course it is terrible. Apocalypse is the only way to describe it. But
:03:28. > :03:32.if you look at the history of all developed nations, you realise it
:03:33. > :03:34.might take 100 years normally for a country to tackle pollution but
:03:35. > :03:39.China is trying to tackle the problem not just in 20 years, but
:03:40. > :03:44.hopefully in ten years. It is already starting to reduce its
:03:45. > :03:49.overall emissions. It is not only China but many countries in Asia
:03:50. > :03:53.also wanting to cut emissions, but they want major developing economies
:03:54. > :03:59.to shoulder larger image and reduction responsibilities. Is that
:04:00. > :04:01.going to happen in Paris? What is really different about the Paris
:04:02. > :04:06.agreement is that every single country makes its own commitment as
:04:07. > :04:10.its own pace and we are adding up all the commitments to create a
:04:11. > :04:17.total global climate agreement. What will this all mean for emerging
:04:18. > :04:20.Asian business and economy 's? Harris is phenomenally important
:04:21. > :04:24.because it is the first time in history that businesses are getting
:04:25. > :04:27.a signal that all countries are working hand-in-hand to really
:04:28. > :04:32.transform into a low carbon economy -- Paris. What they need most is
:04:33. > :04:37.certainty that the governments are going to move towards a low carbon
:04:38. > :04:41.economic policy. The good news is that for the first time, businesses
:04:42. > :04:48.can take the signal and say they will make their own commitment. You
:04:49. > :04:55.see this already with companies calling for net zero emissions by
:04:56. > :04:59.2050. After 13 years in the making, China's edition of manufacturing its
:05:00. > :05:09.first homegrown passenger jet has taken off -- ambition. A 90 seat
:05:10. > :05:16.jetliner called the Flying Phoenix has entered commercial service. The
:05:17. > :05:21.plane is unlikely to start flying commercially for another three
:05:22. > :05:24.months. The company says it has received more than 300 orders for
:05:25. > :05:31.the passenger aircraft from nearly 20 airlines. The IMF is meeting
:05:32. > :05:38.later and will be making the call on whether or not to include the
:05:39. > :05:47.Chinese currency into its basket of reserve currencies, joining these
:05:48. > :05:50.ones. It is the elite club of currencies that can be used for
:05:51. > :05:56.international debt publications. For Beijing, this would be a huge
:05:57. > :05:59.symbolic boost on the global stage. Our correspondent in Hong Kong
:06:00. > :06:04.explains why it is important for China's economy. It is more symbolic
:06:05. > :06:07.in terms of the overall significance, especially when it
:06:08. > :06:12.comes to short-term implications for in equities market perspective. In
:06:13. > :06:16.the medium to long-term, we will see the reserve currency become even
:06:17. > :06:18.more important in regards to China as well as propelling them in terms
:06:19. > :06:26.of its influence on the global stage. What will this mean for the
:06:27. > :06:32.Chinese economy, which has slowed down below 7% and for the currency,
:06:33. > :06:37.which is now trading at 6.39? Again, when we look at the overall reforms
:06:38. > :06:40.in China, this is one part of the R reforms that are going to see
:06:41. > :06:47.China really propelling itself on the global stage. When we look at
:06:48. > :06:50.the basket, it is about 280 billion US dollars in terms of overall
:06:51. > :06:56.value, so let's say China makes it to the top end of the range, that is
:06:57. > :06:58.still $56 billion and that is relatively small compared to some of
:06:59. > :07:05.the flows we see on a monthly basis out of China. In August, outflows
:07:06. > :07:12.were higher than 56. But overall, we will see the internationalization of
:07:13. > :07:17.the currency and China's political influence become very important in
:07:18. > :07:20.terms of overall inclusion. By being part of this basket, will it also
:07:21. > :07:26.put more pressure on mainland authorities to implement more
:07:27. > :07:31.economic reforms? Economic reforms are key for China's growth going
:07:32. > :07:35.forward. Although a much slower pace than what we have seen over the
:07:36. > :07:39.years. Whether to use the currency, the opening of the capital markets
:07:40. > :07:43.generally speaking, state owned enterprise reform, reform when it
:07:44. > :07:48.comes to private companies, pollution, all of this is key for
:07:49. > :07:54.investors and we need to gauge the progress overall. Later on Monday we
:07:55. > :07:58.will be getting an update on the health of India's economy. It is
:07:59. > :08:03.expected to show an annual growth rate of more than 7% in the last
:08:04. > :08:07.three months. That is because of a strong performance in the
:08:08. > :08:09.manufacturing sector but with the government struggling to push
:08:10. > :08:17.through with key performs, cannot continue? Now we go to our
:08:18. > :08:21.correspondent from him by -- Mumbai. This construction site is
:08:22. > :08:24.buzzing with activity. Because of economic slowdown, the last few
:08:25. > :08:28.years have been difficult for the construction sector. Low demand for
:08:29. > :08:31.homes and offices forced many companies like these to go slowly
:08:32. > :08:37.with their projects and some even putting them on hold. But that is
:08:38. > :08:42.changing now with sales picking up sharply this year, reviving their
:08:43. > :08:46.confidence to resume work. Like the construction industry, other parts
:08:47. > :08:52.of the economy are showing signs of growth. Consumer demand for cars
:08:53. > :08:56.multiplied and electronic growth picked up. As a big importer of oil,
:08:57. > :09:01.local prices are also helping the country's finances. But there are
:09:02. > :09:10.plenty of hurdles that could get in the way of more consistent growth.
:09:11. > :09:14.One of them is weak demand in rural areas which is fallen for two
:09:15. > :09:17.consecutive years. And there are concerns that a poor harvest could
:09:18. > :09:23.put pressure on food prices in the coming months. On the political
:09:24. > :09:27.front, Prime Minister Narendra Modi suffered a massive defeat in the
:09:28. > :09:34.state election recently which worries investors that there will be
:09:35. > :09:36.an impact on key economic reforms that are stuck in Parliament
:09:37. > :09:41.currently. They've announced reforms of the last two weeks but economists
:09:42. > :09:48.say the growth levels need to be improved. Before we go, here's a
:09:49. > :09:54.quick look at the markets. This is where they stand at this hour.
:09:55. > :10:02.Currently in negative territory in midmorning Monday trade as investors
:10:03. > :10:06.wait for many reports, especially the key US jobs numbers which will
:10:07. > :10:11.be coming up this Friday and with the European Central Bank meeting
:10:12. > :10:15.later this week. Investors are also on edge after a sharp fall in
:10:16. > :10:19.Chinese equity markets on Friday. They want to see if this will
:10:20. > :10:26.continue this week. Japan is down by 54%. The Hang Seng opened a few
:10:27. > :10:28.minutes ago and is down by half a percent. Thank you for investing
:10:29. > :10:42.your time with us. Goodbye for now. You're watching BBC News. Our main
:10:43. > :10:45.stories this hour. World leaders have arrived in Paris as
:10:46. > :10:46.negotiations aimed at reaching you deal