08/02/2017 Asia Business Report

Our top story: Government lawyers have been fighting to reinstate

President Trumps travel ban in an appeals court.

The court has been hearing arguments from Government and Washington State

lawyers about who has the right to challenge the travel ban and why

it needs to be introduced so urgently.

Visionary Swedish professor Hans Rosling, who made graphs

and data fun, has died at the age of 68.

And this video is trending on bbc.com.

Barack Obama, now the former US President,

has been enjoying his new found freedom by kite surfing

with the Virgin boss Richard Branson.

The pair were competing to see who could surf for longer,

a challenge which the 44th President of the United States won.

Doesn't he look happy? Stay with us, there's more to come.

The Government's seen off a possible rebellion on Brexit

by promising that parliament will get a meaningful vote

Now all the latest business news live from Singapore.

Rio Tinto unveiled its earnings. How did fare with iron ore earnings

recovering? And making the switch to renewable. They look at Taiwan's

powerplay. Good morning, Asia, hello, world.

Glad you could join us. I'm Rico Hizon. We start off with Rio Tinto

and the world's second largest biggest producer of iron or is set

to reveal its numbers later today and expectations are higher. Iron

ore is the main ingredient in steel and AB contribute. After falling for

two years, prices have recovered in 2016, helping the company's

performance. Earlier I ask an analyst in Sydney about the

forecast. We expect Rio Tinto to report fall earnings for 2016,

somewhere in the vicinity of 4.7 billion US, or 5 billion US. In 2015

they only reported $4.5 billion US net underlying profit, we believe

this will be the first profit the company will report for some time

that is actually higher than the previous year. What has really been

the main catalyst for Rio Tinto's earnings rise? Is it all about the

recovery in iron ore prices? No doubt that iron ore will be the key

player in terms of the improved profit outlook for this year. We did

see iron ore across the 2016 year improved. It was a tale of two

halves. Lowering the first half and better in the second. The first

month of the year, the price of iron ore is looking resilient, but can

this performance continue, or is a steep correction coming? Look, one

would have to be careful that we don't see a price correction because

prices don't go up forever. They do unfortunately moved down as well.

But we expect in 2017 that China will be the big player. Still. It

imported over 2 billion tons of iron ore in 2016. We expected it will

import at least 2 billion tons plus in 2017. The momentum will maybe be

slower than 2016, but certainly we believe prices will be kept

somewhere in the $85 region for iron ore through the course of 2017. In

other business news making headlines, India's central bank will

review its monetary policy later today in the first meeting since the

government announced a status budget and the second since the move to ban

cash. Any economists expect a rate cut of at least a quarter of a point

due to slowing inflation and a responsible budget. Joining us from

Mumbai is... Apologies... He has shown up! Can you hear me? Yes,

sorry, I heard your question. The Indian central bank is being watched

closely. This is the first monetary policy revenue after the budget,

which was announced one week ago, and the second monetary policy after

India went ahead and banned for two most widely used currency notes.

Most economists expect there will be a rate cut because last time when

the central bank net when it was widely anticipated that they would

cut rates they didn't do it for two reasons. First of all inflation was

high and secondly the two notes which were banned by the Indian

government... They still wanted to see the dado, what kind of impact it

would have on the economy. At this point in time it is clear that

inflation has slowed down and also the economy has slowed down because

of the ban on the two currency notes. That's why most economists

feel this is the right time for a rate cut. There's also a school of

thought that that given the bands, which are flushed with a lot of

funds right now, as a lot of money came back in the system, the reserve

bank of India might want to wait for a rate cut because bank rates have

already gone down. The lending rates have gone down. They may as well do

a rate cut after a quarter or two when bank stock producing the

lending rate, because this will have a large impact on the ground.

Currently the central bank is caught between a rock and a hard place,

whether or not to cut rates or keep rates on hold? Well, I mean, the big

question for the central bank is whether it feels it is important at

this point in time to go ahead with a rate cut. If you look at the

larger Indian economy ever since the two notes were banned, it has had an

impact. The economy has slowed down, sectors are suffering. Home and car

sales have gone down, consumer demand has taken a major hit and

that's why there are concerns that India had become the fastest growing

economy over the past year, so surpassing even China. It might not

grow at the same pace for the next few quarters. The IMF and World Bank

have all cut their forecasts for India. The revived this, visitors

feel it is important that the rate cut... Banks start reducing rates,

so that businesses can borrow at a cheaper rate and consumers start

borrowing money, so that they can start buying homes or cars and other

imported goods, which will help revive growth. But one thing is

clear, it will take if you quarters for the indie economy to recover. --

Indian. The two rupee notes were 86%... I have to jump in. It has to

have a severe impact. Thank you so much for the explanation. Later this

week Japan's Prime Minister Shinzo Abe heads to Washington for a

crucial meeting with Donald Trump. The countries are close trading

partners but ever since Mr Trump took office relations have turned

more frosty. Earlier I asked if the sentiment in Japan had changed

regarding Mr Trump. I think there is cautious optimism. When Mr Trump

scrapped the TPP there was a shock wave that ran through the business

community, but right now with Shinzo Abe's visit to America people are

hoping that he and Trump will cut a new deal which benefits both

countries. Is there also are concerned that the Japanese

government is cosying up to much to Mr Trump? I think there is. Mr Abe

is pressured by Mr Trump to for instance appreciate the Japanese yen

or by American automobiles, which have not been known to sell at all

in Japan. That would be considered humiliating, but I don't think Mr

Abe will concede in that way. He already has a financial deal which

is offering from that Japanese side, so if Trump and Shinzo Abe strike up

something which is beneficial to both I think the community will feel

optimistic about the Trump administration. When all is said and

done who do you think will benefit from this US- Japan trade business

relationship? By intuition right now is that the US will benefit a bit

more, but in the long run through direct investment the Japanese

business community will catch up and fill the vacuum. After relying on

nuclear power for decades Taiwan will stop using it completely by

2025, the government is ramping up the use of green or renewable energy

by installing wind turbines and restoring an used areas into farms.

Farmers are now cultivating sola energy of crops.

These fields are helping Taiwan produce more renewable energy.

Because the soil is damaged, most crops no longer grow here. So now

farmers are helping produce something else instead. They earn

money by leasing their land to solar energy companies and taking care of

the panels. TRANSLATION: I never imagined our ancestor's land can be

used in this way. He is one of hundreds of local

farmers whose land is getting a new lease on life. There are projects

like this the rout Taiwan. Whenever they can be central and local

governments are trying to find low quality or unused land and turn them

into solar energy farms. Solar panels have also been placed on

landmark buildings, including this aquarium, the stadium and even this

prison. It is part of plans to do away with nuclear energy, which

currently produces 14% of Taiwan's electricity by 2025. That includes

scrapping this newly built nuclear power plant before it opens. As well

as solar panels, experts say Taiwan needs more wind turbines and natural

gas power plants if it is going to replace the shortfall from nuclear.

The government wants green energy to eventually produce a fifth of the

island's electricity. Although green energy is taking over agricultural

land, that doesn't mean a complete end to farming. TRANSLATION: Solar

panels can generate electricity and underneath we grow mushrooms. The

electricity we generate is clean energy. It is good for Taiwan's air

quality and good for the world. Looking at the regional stock

markets, as you can see most markets are in positive territory. Tokyo's

stocks are higher, driven by a cheaper yen and gains on Wall

Street. Thanks so much for investing your time with us. Sport Today is

coming up next. The top stories this hour:

President Trump hopes