31/07/2017 Asia Business Report

after Brexit during any transitional period.

Now on BBC News, all the latest business news live from Singapore.

Interest rates take centre stage this week in Australia and India us.

Taking a closer look at the business calendar and what you need to know.

Japan start up rates are the lowest in the world. Can these young

inventors jumpstart the economy of Japan? Good morning, Asia. Hello,

world. Welcome to another edition of Asia Business Report. It's a Monday.

It is gearing up to be a big week for corporate earnings and monetary

policy in the region. Later today, we expect quarterly earnings from

Japan's Panasonic and British lender HSBC. On Tuesday, the Reserve Bank

of Australia gets together, expected to keep interest rates at 1.5%.

Midweek, India's Reserve Bank will decide on rates. Rio Tinto will give

interim earnings as well. Here are more details. If you look at what

has been good in the Japan economy, it is technological goods. Panasonic

is high. From the profit planning perspective, a lot of them use the

yen. Certainly, there is room for profit. Rio Tinto may be different

in the sense that expectations for the commodity sector have been poor.

90% of their revenue comes from iron ore which is doing well. Investors

are expecting a buyback and higher dividends. There is good news. What

about big financial giants like HSBC? Will they mirror what we have

been seen from other big international banks? They will hope

their trading results are better. The expectation is they will have

quite a strong release as well. Investors are hoping for a buyback.

It is a common theme for these financial places. In terms of

central banks as well, we're hearing from the Australians and Indians

this week. What are we expecting in terms of monetary policy? The

Reserve Bank Australia has to be reserved about housing. So not much.

They have to worry about the strength of the currency. The

inflation backdrop is not as robust as you would expect in the easing

cycle, they will probably do nothing. India is different. They

have a 25 basis cut in the market. But with liquidity following the

reverse of monetisation, there are things to expect. Officials will not

just be dealing with the economy, they are holding last-ditch talks

with the UK's largest trade union to avert the first strike in 50 years.

Meton security and hospitality staff of the bank are threatening to go on

strike. The trade union claims it will make the bank more effective.

Guitar's diplomatic row with four Arab states is affecting its foreign

reserves severely. The net international reserves fell by more

than $10 billion in June to the lowest level in at least five years.

-- Qatar. Four Arab states cut ties with them alleging they support

terrorism. Unlike the majority of Americans, or even the Chinese, most

Japanese don't consider being an entrepreneur a good career choice.

The government is trying to change that to be with me is the BBC's

Mariko Oi. You have gone to Japan for a series of reports on this.

Usually, entrepreneurship has the challenge of starting with enough

money. In Japan, there is plenty available. The government has been

offering a lot of subsidies. That is because entrepreneurship in general

creates jobs and activities in the economy. When it was at its peak,

Japan's economy, the start-up rate was more than double what it is

today, when we saw Walkman and Bullet Trains and so on. We haven't

seen much since then. The government is trying to encourage it. The

cultural issue is one of the reasons it has in one of the lowest in the

world. I went home to meet four young entrepreneurs all under the

age of 30. We will take a look. Navigating through morning

rush-hour. This 28-year-old was once a salary man. But today he is a rare

breed here, an entrepreneur. TRANSLATION: I wanted to create a

new product. I wanted to be an inventor. This is the product he

came up with. A lock that can be controlled by smart devices. It is

used in not just offices but also in shared accommodation. TRANSLATION:

It started when I was talking to my friends about how inconvenient keys

were. Everything else is becoming digital. So why can't we make keys

more digital? We did not make prototypes thinking we would start a

company. We were getting together on weekends and after work just as a

hobby. That hobby turned into a multi-million dollar company in just

three years, growing from six to more than 50 staff. So, this is how

the product works. If I have a room with one of his clients, I download

the application and get sent a code. All I have to do is do to gain

access. So my phone essentially becomes the key during my stay. And

when I checked out, the code expires. So the owner and I actually

don't even have to meet. TRANSLATION: Not many entrepreneurs

can be successful the first time around. We need to learn from our

mistakes and failures. But in Japan, once you fail, you struggle to get

investment. I have met friends like that. Japan needs to become more

forgiving of failure. As the rest of corporate Japan goes home, young

inventors are dreaming big. The sign on the wall says never miss a good

opportunity. For many who try and follow his footsteps, it may not be

the of opportunities, but the fear of failure, that is holding them

back. And she will have a lot more every week. The elite hackers of the

world were recently in Las Vegas for Defcon. The best way to get support

from hackers is an onstage demo, and one group did it, and they did it

with a cheap robot. There are several hundred here. They are

trying to hack that safe. From the outside of the safe, this

thing is magnetic, we walked up, attach it to be safe, and it starts

doing its thing. -- walk. -- The. A normal state has 1 million

combinations. This reduces that from 1 million down to 1000. Doing a demo

at Defcon is stressful, but we are pretty excited.

CLAPPING. So excited. We got it open. That was the scariest thing

ever. This robot is never going to come into someone's home and open up

a safe. There are many other things they should be worried about. Not a

robot. This is just a fun demonstration.

Quite the show. Staying with technology, Samsung has dethroned

Intel as the largest chipmaker in the world by revenue. They make most

of their profits by the sales of memory chips used in mobile phones.

They have a quarterly revenue of $15.7 billion. Intel had $14.8

billion revenue on the other hand. The markets and how they have

opened. Asia, the Nikkei over in Tokyo is fairly flat at the moment.

A slightly stronger yen eating into those export related stocks. The All

Ordinaries Index industry is down 1%. And that is it for this edition

of Asia Business