07/04/2016 Asia Business Report


07/04/2016

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Now on BBC News all the latest business news live from Singapore.

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South Korea Electronics prices the markets for expectations of a big

:00:14.:00:24.

jump. The Panama papers put Asian's offshore banking sectors in the

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spotlight. Will become more transparent in the future? -- will

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it. Good morning Asia and hello world. It is a Thursday and I'm glad

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you can join us for edition of Asia Business Report. We start off with

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South Korean tech giants, Samsun, and they've beaten the expectations

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of their profits will rise by 10% in the first quarter. It has been on a

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rough ride, lately, but their fortunes into it turned with the

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early release of their new phone. Steve, it seems as if the S7 has

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been a lucky charm. I am not sure about bad. This is a company that is

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still the biggest, in its bad year, it was still the biggest producer of

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smart phones. The fear last year, if you like them, was that the company

:01:35.:01:40.

had lost the age and it looked tired. In March to this year it

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relaunched as the S7. Going back to old features and it seems that

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relaunch has worked, the market likes it and an awful lot of units

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were sold in the first 20 days. On top of that, the week one has

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improved exports of the phone so it looks like it is back on track with

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a bit of confidence. Your saliva tough competition from the Chinese

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smartphone -- you also have the tough competition from the Chinese

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smartphone manufacturers. You have got one company in particular

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launching a new smart phone. I say smartphone, but if you look at it,

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it is just good with the camera. The competition between Apple and this

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company is all in the camera. If you like, they have an easy ride because

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the Apple launch was sometime back. The big test for them will be, how

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it competes with the new iPhone, a smaller iPhone with Apple reverting

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to the smaller phones and the new company which looks like it has a

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pretty amazing camera. And the market always focuses on their

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electric Smart phones, but it also has other core businesses such as

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memory chips and display panels that are making money. They are. But the

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big brands is the electronic. These results are focusing only on

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electronics. Thank you for joining us. In other business news, the US

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drug company has scrapped its agreement to buy the maker of Botox.

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It was to be the biggest pharmaceutical merger in history,

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and it would have lowered their tax bill through taxing versions and it

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comes to days after the US Treasury and announced fresh plans to prevent

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inversions where US company 's can merge with a company in countries

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with lower tax rates. The carrier recorded a profit in February, which

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is the first profit they've made in years. The airline is on track to

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return to profit by 2018. The carrier has been facing financial

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issues for years and suffered to air disasters in 2014. That severely

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hurt the brand. The improvement in the revenue has been put down to

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lower costs, especially low jet fuel prices. They've reached a deal to

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buy the German insurer. This comes just days after they unexpectedly

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walked away from a $14 billion bid for a hotel and resort group. They

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have been spending billions buying insurance and hotels across the

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world, including New York's Waldorf Astoria. The release of the Panama

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Papers shows the uncomfortable nature of offshore banking. Are some

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of the biggest offshore banking centres can be found here in Asia.

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Singapore and Hong Kong, for example, I top spots the superrich

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looking to open an offshore account. And practice in itself is not

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illegal, but they've been under pressure to share more information

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about who their account holders are and where the money comes from. We

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look at whether Asian tax laws will get more transparent in the future.

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Is setting up an offshore account is perfectly legal. In some parts of

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Asia it is as simple as plugging in a few details into your laptop and

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it will only take you a couple of hours. Pretty simple. US Ricketts,

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located. There is a difference between tax evasion and tax

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avoidance. Someone who wears income to report and does not report it,

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that is a legal. But tax avoidance is different. If you found a

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loophole in the tax system which takes advantage of provisions to

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avoid paying tax, welfare and, depending on the country that you

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worrying, you may not be doing anything illegal at all. We're not

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talking just about people here. Companies do it to. Google, Apple,

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Microsoft and Rio Tinto all household names and all have

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admitted recently to being under ordered by the stride tax

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authorities are having their services and marketing hubs set up

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in Singapore. Sur less tax than in Australia. But they say they are not

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doing anything wrong and that Singapore is an important hub for

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them. But Australia says that if you make money in Australia you should

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be paying taxes to. Singapore says it takes a very serious view of tax

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evasion and does not tolerate tax related crime. Hong Kong has chimed

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in as well and many Asian countries have said that they have signed up

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to a commitment to exchange more tax information with one another by

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2018. But frankly, it is all about who goes first. If one offshore

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banking centre starts opening itself up to greater scrutiny, there is a

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very good chance that there will be customers fleeing. Among those named

:07:52.:08:01.

were 500 Indians and we sat down with the head of the reserve bank of

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India in Maugham by and asked him what they are signing to do to

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tackle this issue. The Prime Minister set up a committee to set

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up the process and we are part of that committee. We will go out and

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see what those accounts are. I want to caution without holding a brief

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with those who've been named. Holding an account by itself is not

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illegal in India. What matters is how the money went out and what

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circumstances was taken out legitimately and so on. In all these

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cases where the names are revealed what has to be careful to assume

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innocence until proven guilty. Rather than assuming guilty instead

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approving innocent. We should take this in a measured way and we should

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look at each of these and where there is a legal activity we will

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throw the book at the perpetrator. Again, be careful about this process

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because in these kinds of situations a lot of names are revealed and

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sometimes, I know of one particular situation aim is a but it is assumed

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to be another person. But we don't even know the names of the people

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that we talk about here. Now an update on a story we brought to all

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of you yesterday. Remember this? Well this historic 17th century

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Chinese emperors seal fetched for a phenomenal 11.8 million US dollars

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when it went under the hammer in Hong Kong. That is nearly double its

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starting price. It was described as the most important China's

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historical object ever to be offered as an option. Here's a quick look at

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the markets and Asia is currently in positive territory. US equities rose

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overnight and the price of oil climbed 5%. The technology sector

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search. They give are investing your time with us. Goodbye for now. --

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thank you for. The leaked Panama papers show almost

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one third of the business of the law firm Mossack Fonseca comes from

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its offices in Hong Kong and China. A staggering one

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in 11 adults now has diabetes.

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