25/11/2016 Asia Business Report

Now on BBC News all the latest business news live from

India changes its banknotes. But in around in Fortune for low-cost

carrier AirAsia. We find out what is driving growth. Hello and welcome.

Over in India, residents are now unable to exchange old bank notes

for new ones. It came into effect midnight local time, two weeks after

Prime Minister Modi gave the country for hours notice to invalidate cash

worth about $220 billion. The new policy scrapped the countries two

biggest bills so what happened to all the cash? We take a look at the

mammoth operation that went on behind the scenes. When Prime

Minister made it made a surprise announcement counselling these to

back that it sent shock waves across the country. They are no longer

legal tender in the country. In the chaos that can shoot, we can see

Long lines at ATMs, what happened behind the scenes is interesting. A

mammoth operation as banks try to pull out these old notes and

replenish the ATMs with new ones. Can you tell me what really went on

behind the scenes? I think the last 14 days have been unprecedented from

a cash logistic standpoint. The industry as a whole has been trying

to cope with the situation of extract thing old money from the

networks, the 1000 and 500 rupees, and also installing the new money.

The most difficult step is to replenish the ATM simultaneously

multiple times a day to make sure people are able to draw money. We

are still seeing long queues and people are upset because they cannot

access the cash they have in the bank. Everybody is talking about

recalibration - what does it mean? It is configured to dispense a

certain size of currency. The new are different size from the old so

the machine needs readjusting. It is a software change and a hardware

change. How soon can we see these notes? We have completed

recalibration of more than 1000 ATMs across the country. I believe very

soon the entire network across the nation will be recalibrated to

dispense the new denomination. Japan was that consumer prices fell in

October for the eighth straight month, giving the third largest

economy no sign of winning a long time battle against deflation.

Prices declined putting the bank of Japan 2% inflation target further

out of reach. Europe's largest twin-engine engine carried out its

maiden voyage. It is hoping to grab the spotlight from American rival

Boeing 's triple seven. Staying with aviation, Malaysia 's air Asian has

turned a profit in the three months to September which came in at nearly

$18 million. A significant turnaround from the same quarter

last year when the carrier suffered a loss. We spoke to its chief

executive. The main drive and factors is low and factors have

high. INAUDIBLE coupled with strong income. They are the major drivers.

You have also announced this week that you are looking to potentially

plan and IPO and an IRC in airline company. We have been trying to

consolidate our company. We have ownership restrictions so we will be

trying to look into various leaders and legislators, in Hong Kong. It is

early stages but we have a reasonable responses. In the interim

we are looking at dual listing our airline in Hong Kong which might be

the first step in creating a co-op with our sea and airlines -- Asiana

Airlines. There have been loyal oil prices. The new explain how you edge

for oil prices going forward because a lot of your profits depend on it?

To be honest, we have always been a little bit INAUDIBLE rising incomes

sales and rising passenger numbers and our fares are so low. Oil has

been less of a worry for us. But for the moment we are taking quite an

aggressive stance, about 75% edge for next year. For the foreseeable

future, oil has been taken out as a risk. Obviously, it has been almost

two years since the crash of the AirAsia crash. It has emerged the

plan in question had been flying with a fault for about a year and it

is bringing questions about the role of regulators including allegations

of corruption. What do you say to that? I think that is not correct.

Some media have been reporting at the fault is not of the incident

and, as we said, it was within Airbus limitations so there is

nothing... It is not correct to say what you just did. Tony Fernandez.

That hackers working in Australia could be slapped with much higher

income taxed unless a Parliamentary stand-off over the rate is resolved.

The government is pushing for a 19% tax rate but the Senate rejected the

proposal instead of the opposition and crossbenchers called for a 2.2%

tax which government also rejected. Really, there is no compromise and

it could become 32.5% on January one. I spoke to an ABC

correspondent. There is the likelihood of a compromise. The

political action is buried at the moment but we have to go back to the

history of this tax to understand what is at stake. The biggest issue

is Australia has quite a tax-free threshold of over 80 thousand

Australian dollars. -- 18,000. Visitors are not eligible. There was

a court ruling back in March 2015 that ruled these backpackers on a

working holiday visas are not resident and that means they are not

entitled to the tax-free threshold so they need to start paying tax

from the first dollar they earn and at 32.5% as the first tax rate for

residents is only 19%. What the government is basically trying to

get through here is a 19% tax rate from the first dollar and four these

are backpackers and what the opposition is saying is that 10.5%

is more reasonable. We are seeing all these different tax rates but it

will impact crucial tourism and agricultural sectors? Exactly. The

horticultural sector in particular, fruit and vegetable growers, we like

on backpackers to fill shortages, particularly because during the

harvest season and they are saying that if the 90% tax rate go through,

it has been a compromise with some of farmers groups, the National

farmers Organisation for one, but others say it is still too high and

will make Australia an unattractive destination for back Packers

compared to say New Zealand which is right next door and also Canada in

the northern hemisphere is not many of these fruit and vegetable growers

are backing Jacqui Lambie and the Labour opposition which are putting

forward the 10.5% tax rate. Looking at the markets before we go... They

are all pretty much higher but we are not seeing the gains we have

seen on previous days and that is because there are no leaves from

Wall Street. The US market to close because of banks giving. The dollar

stalled in its massive gains. Pulling back from the 13 years

height it reached earlier. You are seeing the dollar in Australia

fairly flat. That is it from me. Welcome to BBC News. Former England

National said hundreds of young people may have suffered from sexual

abuse in the world of football. A