:00:00. > :00:12.Now on BBC News, all the latest business news live from Singapore.
:00:13. > :00:21.The Philippine economy has been one of Asia's star performers. Will its
:00:22. > :00:24.new president keep up the good work? And China's levels of bad debt is
:00:25. > :00:32.causing jitters among the investment community. Good morning, Asia,
:00:33. > :00:34.hello, world. Welcome to Asia Business Report. Thank you for
:00:35. > :00:39.investing your time with us. It is the start of a brand-new week. It is
:00:40. > :00:45.Monday. Thank you for joining us. I am Rico Hizon. It is a big day in
:00:46. > :00:49.the Philippines. Millions of people have started voting for a new
:00:50. > :00:55.president. It has been one of the few economic success stories in Asia
:00:56. > :01:00.with GDP growth of around 6%. There are concerns that the residential
:01:01. > :01:09.candidate, Rodrigo Duterte, could undo some of that progress. --
:01:10. > :01:14.presidential. I spoke to a correspondent. He is a wild card.
:01:15. > :01:20.For the foreign investment community, as you are saying,
:01:21. > :01:23.everyday Filipinos, some of the biggest issues for them are
:01:24. > :01:30.corruption and poverty, even though they have seen remarkable growth
:01:31. > :01:36.over the last years. Poverty rates have stayed at the 5% level. That
:01:37. > :01:41.hasn't changed over the last few decades. It is these sorts of issues
:01:42. > :01:48.which have resulted in such a strong showing at the polls for Rodrigo
:01:49. > :01:53.Duterte. He is known as the punisher. He is a controversial and
:01:54. > :02:02.loud figure. The concern from the economic community is that he said
:02:03. > :02:05.he would sever ties with the US and Australia. That won't give
:02:06. > :02:13.confidence to investors. He doesn't have a clear economic policy in
:02:14. > :02:17.place. His policies are about fighting crime and drugs and
:02:18. > :02:23.corruption. On the other hand, voters are disenchanted with the
:02:24. > :02:27.administration at the moment because traffic, you may experience it in
:02:28. > :02:32.Manila, it takes hours to get from place to place. Much infrastructure
:02:33. > :02:39.is unfinished. There is an ongoing sense of frustration. Despite the
:02:40. > :02:42.numbers this government keeps spouting, more money for
:02:43. > :02:46.infrastructure and education, etc, people don't feel it. They feel they
:02:47. > :02:51.have been left out of the economic growth success story. There is
:02:52. > :02:54.disenchantment. Just walk down the streets of Manila to see the way the
:02:55. > :03:01.infrastructure is completely destroying any chance of people to
:03:02. > :03:04.enjoy the fruits of economic growth. It is this disenchantment, the sense
:03:05. > :03:07.they have been left out of the economic boom, and also the fact
:03:08. > :03:14.they feel the system is stacked up against them... A statistic we
:03:15. > :03:16.talked about earlier, 40% of legislators in the Philippines have
:03:17. > :03:22.ties and connections to bury politically placed families. --
:03:23. > :03:28.very. There is a sense among people, I certainly felt it, that,
:03:29. > :03:34.look we will vote for the wild card outsider because everything until
:03:35. > :03:42.now has not worked in our favour. Karishma Vaswani on the Philippine
:03:43. > :03:46.election. Could China's economy crash? That has been a worry for a
:03:47. > :03:52.long time, especially after expected trade numbers over the weekend
:03:53. > :03:56.showed and remains weak. Exports and imports fell in April, widening the
:03:57. > :04:04.surplus to a bout $46 billion. However, it is not macro economics
:04:05. > :04:09.but the financial system which is making them nervous. -- to about. It
:04:10. > :04:16.is the biggest, accounting for two fifths of global GDP. It is the
:04:17. > :04:21.third biggest behind the United States in terms of being a bond
:04:22. > :04:30.market behind the US and Japan. I spoke to Simon in Shanghai. Bad debt
:04:31. > :04:35.poses a major risk to the financial system. The official bad loan ratio
:04:36. > :04:40.is 1.7%. They have a categorical special mention loans which should
:04:41. > :04:47.be loans at risk but most investors think they are bad already. That is
:04:48. > :04:50.5.5% already. When you look at the balance sheets carefully of the
:04:51. > :04:56.different banks, especially the mid-sized and smaller ones, they
:04:57. > :05:05.have ratios of 15 to 20% already. That picture is already concerning.
:05:06. > :05:15.The big thing is Beijing trying to address it. At a turning a blind
:05:16. > :05:19.eye? -- are they. One step forward and one back. They have talked about
:05:20. > :05:24.vulnerabilities and have come up with small solutions for dealing
:05:25. > :05:29.with it. There was a spot where risky loans were transferred from
:05:30. > :05:33.government bonds. Now they are being swapped from equity companies.
:05:34. > :05:36.Little things are being done to address vulnerabilities. But the
:05:37. > :05:44.worrying thing that has markets on edge is that if you look at the
:05:45. > :05:50.overall debt to GDP ratio, it was 150% a decade ago, now it is close
:05:51. > :05:53.to 260%. That is the kind of rise that in other countries,
:05:54. > :06:00.historically, has brought on serious problems. Be it a serious economic
:06:01. > :06:08.slowdown or a financial crisis. 260% of GDP! Is the economy now headed
:06:09. > :06:17.for a hard landing? The argument is that it has got to a point where it
:06:18. > :06:20.is going to have to be painful. In other business news, Saudi Arabia
:06:21. > :06:26.has replaced its influential and long serving oil minister as part of
:06:27. > :06:31.a major economic revamp. The monarchy is looking to move the
:06:32. > :06:37.country away from oil and merge multiple ministries over the wicket
:06:38. > :06:47.it. The new Energy Minister is the chairman of and oil giant. -- over
:06:48. > :06:51.the weekend. -- an. Prices have jumped because of the fires in
:06:52. > :07:01.Canada. It has taken half of the country's oil capacity. Currently,
:07:02. > :07:06.Brent is up more than 2%. Malcolm Turnbull, the Australian president,
:07:07. > :07:10.is calling for an election in July. Australia is experiencing deflation
:07:11. > :07:16.of oil prices for the first time in seven years as well as rising public
:07:17. > :07:19.doubt. Polls show that his coalition government has been losing
:07:20. > :07:26.popularity and is currently almost neck and neck with the opposition,
:07:27. > :07:30.the Labour Party. Across Asia, diets are changing, and it isn't making us
:07:31. > :07:38.healthier. Millions of people have diabetes. 100,000 people died from
:07:39. > :07:42.it last year. One company has seen a business opportunity, delivering
:07:43. > :07:50.healthy food to those in need. We have more. World health experts say
:07:51. > :07:57.diabetes is now the third biggest killer in Indonesia after a stroke
:07:58. > :08:01.or heart disease. TRANSLATION: Diabetes is caused by obesity. I
:08:02. > :08:06.have type 2 diabetes which is caused by my bad lifestyle that lead to
:08:07. > :08:14.obesity. Bad diet and exercise habits. Changing diets is crucial to
:08:15. > :08:23.cracking the problem. Any catering service has started up to do that.
:08:24. > :08:27.-- A new. It offers healthy food to people with clinical conditions. The
:08:28. > :08:33.owner's father struggled to find healthy food so he figured others
:08:34. > :08:36.would as well. TRANSLATION: We want to help people change their dietary
:08:37. > :08:44.habits so they can enjoy a healthy life. If you do that it can benefit
:08:45. > :08:50.them for life. MyMeal employs nutrition is to make sure that the
:08:51. > :08:57.food being prepared meats needs. -- nutritionists. It is delivered by
:08:58. > :09:02.motorbike. The World Health Organisation says around 10 million
:09:03. > :09:06.Indonesians have diabetes. Doctors say many people don't even realise
:09:07. > :09:12.that staple dishes like rice and oily foods push up blood sugar
:09:13. > :09:16.levels. TRANSLATION: Just giving them the medicine is not enough, you
:09:17. > :09:20.need to give them a lot of education about food and lifestyle. We also
:09:21. > :09:23.need to teach them how to take in medicine so they will know the
:09:24. > :09:29.effect and what will happen if they take too much or too little. You
:09:30. > :09:37.cannot just give it to them. So far, it has only around 250 customers.
:09:38. > :09:42.Each meal costs more than $5. This is a country where millions live in
:09:43. > :09:46.poverty. The company says it is optimistic it can grow its business,
:09:47. > :09:49.helping to prevent diabetes, and lessening the burden facing the
:09:50. > :09:56.healthcare system here, now, and into the future. BBC News. Before we
:09:57. > :10:04.go, I have 35 seconds to tell you about the markets. It begins with
:10:05. > :10:11.Japan up by 1%. It is a touch higher after US stocks ended in positive
:10:12. > :10:17.territory. The US central bank may keep interest rates low for another
:10:18. > :10:26.year. The Nikkei is up to to the weaker yen against the US dollar.
:10:27. > :10:33.The All Ords is flat at 53-56. Thank you very much for investing your
:10:34. > :10:35.time with us. I am Rico Hizon. Sport Today is coming up