20/07/2016 Asia Business Report

Motocross live to Singapore for the latest business news. -- let's cross

live. It is all about the cloud.

Microsoft's earnings exceed expectations despite slowing. And

Chinese courts, with a new approach to get people to pay their debts,

putting their names and pictures on a screen for all to see. Good

morning, Asia, hello world. It's Wednesday. Glad you could join us

for Asia Business Report. We have some good news for you about

Microsoft, which reported substantial growth in its cloud

competing business. Offered are up some $3.1 billion, and that is far

better then the reports for the same period last year. Shares rising 3%

in after-hours trade. The firm made news headlines lately with its

recent acquisition of LinkedIn. Is Microsoft on the right track? I put

that question to an industry analyst. What they have done is

pivoted the company away from phones into the cloud. That has really paid

off dividends. The cloud is where it is. Lots of businesses are trying to

make sure they have backup capabilities and want to make sure

their sales team and people in the field can access documents and

information and be able to do calculation is on the spot on their

tablets and phones. They are doing that to the cloud. Asia has been a

big part of that growth. It has grown 102%. So it is basing it on

business and in the cloud? Heavily on the cloud. What about LinkedIn? A

huge acquisition. When is it likely to contribute to the bottom line of

Microsoft? It takes a while to fully get digestive. That is the next

quarter or two. Crucially I think that fits into this enterprise page.

They have barely 3000 enterprise customers. It has been a strong

growth for them. LinkedIn, with its focus on people's CDs, for

professional executives and so one, that fits into that picture -- CVs.

You don't think LinkedIn will be a flop like no cure? They have been

profitable in their own way, so certainly they want to keep it at

arm 's length and keep it as a support unit with its own creativity

and drive -- Nokia. They did not do very well with the integrated

company a few years ago, but everybody does revert to LinkedIn

when you want to connect with people. In other business days,

three US states, New York, Massachusetts and Maryland are

taking legal action against Volkswagen in the wake of the

emission scandal. The company is accused of using defeating devices

in a widespread conspiracy and a cunningly cynical fraud committed by

all levels of VW management. The company said the allegations were

not new in the carmaker had been incorporated with US authorities. --

cooperating. It has been a month since the Brexit vote and the

International Monetary Fund says it will dent the world economic Outlook

and has downgraded its forecast for global growth to 1% for this year

and 3.4% in 2017 -- throughput 1% this year. The IMF is looking at how

this forecast downgrade is also for Britain itself. This is the IMF

chief analyst. We would have upgraded our global growth forecast

in 2017. It would have been at 3.6% instead of 3.5% that we forecast in

April. Now we are at 3.4%. That is a fairly substantial libel affected

for 2017 -- global ethic. Half of the year is already over. There is

some negative effect, but it is not as big. That was the IMF chief

economist. Now from London to New York, gamers have been chasing a

Pokemon Go character. Look at this. It sparked a stampede in the middle

of Central Park in New York. People running around in the middle of

London looking for Pikach, S, or Charmander. Nintendo shares continue

to rise. The firm is now worth $42.5 billion, and that is more than

Sony's market cap will stop there are rumours of an imminent launch

soon in Japan and for the rest of Asia. China's banks have written of

hundreds of billions of dollars in bad debts, analysts say there are

plenty more in the system will stop to fight the rising tide of people

and companies not paying loans, they have come up with a new approach.

It is naming and shaming Chinese style. For ten days, the names,

identification numbers and even addresses of people in debt were

flashed across screens at two of Shanghai's main role way stations.

It is hard to miss. Even though sometimes the amount owed is as

little as $300 -- railway. As growth slows in China, many people are

finding it hard to to repay their loans. With too many cases into few

judges, normal enforcement methods like freezing assets also in them

off not working. So the courts are shaming tactics to try to get some

of that money back. They hope the public will call in with clues to

help the authorities track down people Internet.

TRANSLATION: It is the offender who first violated civil procedures, and

then the court made public his photo or information. This means what the

court did does not constitute a privacy invasion. It is the offender

who is problematic and broke the law. His behaviour should be known

by the public and society. So the public can be careful and avoid

doing further business making contact with such dishonest people.

It is a warning and a reminder to others in society, which I think is

pretty good. Not everyone feels the same way.

TRANSLATION: The exposure of some personal information including names

and photos disrespects personal privacy. I can understand that the

may know not have a better way of solving the problem. This method is

perhaps a temporary measure. I hope the court would use better ways and

replaced this disclosure of information. The government says

more than 3.4 million people have had their information released to

the public. Only 10% of them have paid up. But it is not just about

having your name in lights. Determined Chinese court can also

stop debtors from going on holiday. Sending their children to private

school. Or renovating their houses. India is currently the fastest

growing Asian economy in the world but five years ago it was a very

different story. Growth had slowed, and many businesses could not pay

back money that they had borrowed. But it the country's banks very

hard, and still swamped with bad debts. It is showing signs of trying

to help lenders. For a few years, Kingfisher was the

star of Indian aviation, but when went bust in 2012, it was just

passages that suffered. India's banks, which loaned money to the

business, are still owed more than able young dollars, and selling

assets like this building, which is to be the Kingfisher headquarters,

is still proving difficult! $1 billion. Companies not paying what

they owe has badly hurt the probability of Indian banks,

including the country's largest, the State bank of an year. Between 2013

and 2015, publicly owned banks had to write off $17 billion of bad

debts, most of which were loans. Until recently, lenders had to go

through a long and difficult process to recover debts. Selling assets of

defaulters had to go through several financial agencies. On average, it

takes four years and three months to sort out bankruptcy debts in India.

This is where longer than the US, UK even neighbour Pakistan. But India

now has a new bankruptcy law expected to change all of that. It

promises speedy resolution with payments made within 180 days from

the first evolved, and a single regulator monitoring the whole

process. The country's central bank believes the new legislation will

help India's banking system immensely. The ability to recover

from failed projects has increased tremendously over the last few years

as a consequence of this legislation, and when it is rolled

out fully, we will have a modern first world resolution process. The

new law should make investing money in Indian companies less risky, and

has the potential to help India's economy. Good news for investors,

and at the. But only if the rules are in fermented strictly and as

quickly as promised -- implement it. Before we go, it is a weak start to

be Wednesday trading day for the regional markets. Investors take

offered. Thank you for investing your time with us. I'm Rico Hizon.

Goodbye for now. -- investors take profits.