11/01/2017 Asia Business Report

Katie Rough was found seriously injured in a playing field

in the Woodthorpe area on Monday - and died soon afterwards.

President Obama says good buy. We discussed his economic legacy in

Asia. Trump says hello. We look at possible conflict of interests. Good

morning, Asia, hello, world. It is a Wednesday. Glad you could join us.

As President Barack Obama prepares to deliver is farewell message in

Chicago in less than an hour 's time, in Asia we are reflecting what

his eight years in office did for the region. A signature free-trade

deal, the Pacific partnership will be scrapped by Donald Trump. I spoke

to senior economist. If you look at trade, for examples, trade between

developing Asia and the US, it increased by a 30% by 2010 and 2015.

Of course, part of this is explained by the economic recovery but it is a

positive sign none the less. The official effort to deepen ties, is

the free-trade agreement which will celebrate its fifth anniversary this

year. Increase in trade between the US and Asia and a rise in investment

in US business but there is trepidation about the incoming Trump

administration and potentially his protectionist policies and bringing

back these businesses from Asia back to the US. That is true. I think no

matter who is in power in the US, trade between the US and Asia will

remain important. Most Asian economies are export-oriented. The

US is the number two destination after China. From the US point of

view, Asia is that the region where half of the world 's population

lives and it is a great performer so it will be attractive for business

and investment in the coming years. Concerns and fears we could see a

face-off between China and the US. What legacy did President Obama

leave in terms of relations between the Chinese and the Americans? It is

a good question. Deepening the working relationship between the US

and emerging powers like China was a key element of the Obama

Administration and strategy. President Obama has been

highlighting that the US - China relationship is the most important

bilateral relationship of our time and he has been welcoming the rise

of China and I think that is where we will go from there. Donald Trump

is scheduled to hold his first news conference on Wednesday since

winning the residential election. Chief among the questions is that

what he will do with his businesses while his commander in chief. The

potential conflicts, start in his hometown of New York city. I am

outside 40 Wall St, in front of the building that is managed by the

Trump Organisation, effectively making Mr Trump of the landlord.

Trouble is, several of the tenants are being investigated by government

regulators and, if they are found guilty of any wrongdoing, they could

stop operating, which means they will no longer be paying rent to Mr

Trump but, as President, Mr Trump could push for more lenient

sentences or make the charges go away, effectively ensuring he

continues to make money. If we make way further uptown, we find

ourselves at Deutsche bank, one of Mr Trump's biggest lenders. The

German bank continued to work with him even as several of these

businesses went bankrupt. Deutsche Bank is facing billions of dollars

in fines from the US government stemming from the financial crisis.

Regulators could rule with a softer touch given the bank 's history with

President elect Donald come. One., I have shaded to examples of potential

conflicts. Move over just a few blocks and you end up at Ground Zero

for the Trump business. These conflict of interest and multiplied

many times over. Massive global Holdings and international ties mean

opportunities for corruption go far beyond New York City is. Foreign

countries could question how their treatment of the President 's

business interests will impact diplomatic relations. This is a

truly unprecedented territory for an American president. Democrats are

proposing legislation that will force Mr Trump and his family to

sell any assets that could cause any conflict that it is unlikely to

pass. German carmaker Volkswagen is set to make a deal with the US

authorities over the diesel emission scandal. The settlement comes after

the company admitted to fitting out 11 million cars with software that

reduces emission under testing to pass controls are then switches off

under real driving conditions. As part of the deal, Volkswagen will

face Independent monitoring over the next three years. Australian

blender, ANZ, has agreed to sell a subsidiary to a Chinese group for

the 100 and $60 million as part of its efforts to streamline its

business. -- 460 million. The financial institution is also

considering the sale of its Australian wealth and life insurance

business. Economy will gain speed after turning in its worst

performance since the global financial crisis, that is according

to the World Bank 's latest forecast. It is tipping growth on

the back of stronger commodity prices. I asked how Asia's economies

will fare in 2017? China is going to continue with its slowdown. 6.5%.

Authorities have done a remarkable job taking this economy growing at

double-digit rates to the rates we are seeing now. At the same time,

rebalancing has been under way. We see it in servicing. They now

account for a large share of output. We look at car balance being less

than 3%. All in all, it indicates that despite the risks we see, there

is stabilisation - housing market, credit market, you look at those and

it is stabilising. All in all, we see the region, especially in the

context of China, the orderly slowdown will continue. What about

India - will the strong growth continue? They have done quite a

number of things, undertaking measures to improve business

environment and send a strong message. We expect they will grow

and continued to be about 7% in 2017. Some of these reforms are

going to bear fruit in the near future, including the services tax.

Despite these better growth forecasts, there is also

considerable uncertainty regarding the outlook because it has not been

able to incorporate President-elect Donald Trump's policies. Indeed. The

reason is we do not know what the policies are, what the scope of the

policies are. There could be tax reduction on the corporate income

and personal income side. If we simply focus on those tax cuts it

will translate into high growth in the US as well as in the global

economy. Having said that, there are many caveats that could change the

outcome and could have a negative impact. An explanation of the growth

forecast for Asia in 2017. If all we do, a look at the markets and the

region, as you can see, all green arrows, recovering some ground from

Tuesday. It was led by healthcare and consumer goods. Hong Kong just

opened for trading. Over role, a positive mood this Wednesday trading

session for Asia. As for Wall Street, energy stocks fell following

a drop in crude oil prices. Thank you so much for investing your time

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