14/06/2017 Asia Business Report


14/06/2017

Live from Singapore, the essential business news as it breaks and a look ahead to the news that will shape the business day.


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That is all for now. Stay with us. More coming up from me later, but

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first, all the business news with Rico Hizon in Singapore and Asia

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Business Report. We look at what companies in America and Asia want

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from the US Fed 's intraday's meeting. --.

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I'm glad you could join us. I am Rico Hizon. It is less than 24 hours

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before we find out if the US central bank will raise interest rates for a

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second time this year. Analysts widely expect the Fed to increase

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the cost of borrowing. It has fallen to a 16 year low and economic growth

:00:59.:01:04.

appears to have picked up, with inflation so low, Wieters the Fed

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stand ready to act again? Michelle Fleurieu has more from New York. --

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Fleury. This factory is growing at a dizzying pace. We have been grown

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for the last 18 months between 15 and 18%. This woman left university

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to set up this start-up, hoping to revive an industry many left for

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dead. Here, they sell close not to customers but directed to

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businesses, who demand a fast turnaround. The firm now employs 65

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people, and has set up its own university to train people. We knew

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right from the beginning that we had to train our workforce, make them

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employable. So we do that. We have had had 18 graduates from the

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university are ready, and then they graduate from the system. The Djere

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the Federal reserve must decide if the rest of the economy still needs

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support in the shape of altar low borrowing costs. -- Suuchi. This

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former official believes they are ready to act. This economic data was

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next to me so why the rush? It has been mixed because the inflation

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numbers have softened a little. A lot of that has been transitory and

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surprising declines in things like cellphone bills, oil prices having

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dropped a little, but they are likely to be temporary. The key

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thing is the labour market continues to tighten. With the unemployment

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rate at a 16 year low, those inside here are betting that wage growth

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might not be far behind. A driving force in the global economy, America

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is enjoying one of the longest expansions in its history. To

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prevent the economy from overheating, the US central bank is

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likely to raise interest rates this Wednesday, in another step towards

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concluding the stimulus campaign that began after the financial

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crisis. Michelle Fleury, BBC News, Washington. Even if they increase

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rates, it is unlikely that Asian central banks will follow suit. What

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we have seen, despite a lot of talk and a text book approach that other

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central banks would have to move along, the reality is that in the

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past, when the US Fed has done this, Asian central bank said not

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necessarily that long. And so much of the issues are actually local

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issues and dagger to base their decisions on local conditions. Not

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what the US Fed does. How could this impact Asian companies? There are

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several potential impact. These are, ageing committee to borrow US

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dollars could face higher borrowing costs if the US dollar appreciates.

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But on the other hand, the outlook for growth in Asia is still very

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good. There has been close to 6% growth in Asia projected by the ADB.

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Even with higher US interest rates or a higher borrowing cost, Asian

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companies ago to make money this year based on local economic

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conditions, and given that the other plagiarist generally positive, the

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fact that the US raises rates by a small amount, or later this year, is

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from Ali to have the monumental impact that some of the pundits tell

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us. -- given that the other forecasts are generally positive. So

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much of the growth is based on local economic conditions. Even with high

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rates, US growth is generally good, so on the export side, if the US is

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growing, that is good for Asian exporters, and domestic me, for

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companies that make money to local market selling products and services

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locally, the outlook is good in Asia this year. So they should not see a

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impact on local sales or local economic conditions in the because

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the US Fed raises rates. So much of this sentiment over this issue is

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built on, and the focus should be a local economic conditions in the

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Asian market. Ross Finegold in Hong Kong. In other business news, the

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boss of Uber players who take time away from the company and could

:05:40.:05:44.

return in a diminished role. This comes after a review of management

:05:45.:05:51.

and practices after a former employee's claims about sexual

:05:52.:06:02.

harassment. One of China's is known billionaires is stepping down from

:06:03.:06:07.

Anbang. He has only given personal reasons. Chinese media has reported

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that Mr Wu was detained by authorities last week. There has

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been billion-dollar loan five provincial capitals in Bangladesh.

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In aviation, Katter Airways has told the BBC the Donald Trump is not a

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business friendly president. -- Qatar. Saudi Arabia, Bahrain, and

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Egypt have accused Doha of supporting terrorism and getting too

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close to Iran. The implication that Qatar has been allied with terrorism

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is incorrect. We have been the leaders in fighting terrorism. We

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have the largest base outside the United States. We have 10,000

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American troops here. Don't you think that a leader of a superpower

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should at least have his act together and be consistent? How can

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he be business friendly as a president if he is encouraging and

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condoning the blockade of the tiny nation that is so important in the

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Emre Can fight against terrorism. That was the boss of Qatar Airways.

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Elliott management has called BHP Billiton to upgrade its board of

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directors. This comes as the move to choose a new chairman. Electronic

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giants have been grabbing headlines at the largest gaming show in the

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world, E3, not least Nintendo, which has introduced a number of new

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games. All these games are being launched for the Iran. But after

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dominating the industry for decades, Japanese and these are now

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struggling with a petition. Earlier, I spoke to David Haig about why. In

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the 90s, they had the discipline and hard work, they had the product

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around the world. -- Iran. But now there are several other countries.

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-- David Haigh. Why have these companies fall behind and Koreans

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and Chinese caught up with an? One of the things is culture. -- up with

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them. In China, India, they argue that they change things and they

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rapidly change. They fulfilled the lines as they arise. Is also

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possible, David, that there is not enough international talent and

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creativeness in these Japanese countries, companies? -- Japanese

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companies? Ted Mack I think that is true. They are sometimes very

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difficult to deal with because of the overpowering culture of not

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arguing or changing things. Jese make what must these companies do to

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change things up now compete with the cheaper Korean Chinese brands?

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-- just what must these countries. They need a wider range of talent

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coming to this covered it. What about the governments and the

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accounting scandals, all these things have hurt the Japanese

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The headlines: Jeff Sessions has told the congressional committee

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that allegations his campaign colluded

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