06/12/2017 Asia Business Report


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06/12/2017

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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She says the UK is close to a deal

to move on to trade talks.

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Labour said the government's

approach to Brexit was

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now an embarrassment.

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Now on BBC News all the latest

business news live from Singapore.

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Canada tries to salvage free-trade

talks with the Chinese before the

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Prime Minister, Justin Trudeau,

wraps up this trip to the mainland.

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And the chief of Air France launches

an airline catering to Minelli and

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-- millennials. Will be ID take off?

-- idea. Good morning. Hello, world.

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It is Wednesday. Glad you could join

us for another action packed edition

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of Asia Business Report. I'm Rico

Hizon. We start of Canada and the

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Prime Minister, Justin Trudeau, has

left Beijing for the industrial city

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of Gwangju on his men they too. He

met the country's leader Xi Jinping

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on Tuesday for a state dinner. China

is currently Canada's second-largest

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trading partner with annual

bilateral trade worth around 70

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billion US dollars. The two sides

had expected to launch formal

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negotiations for a free-trade pact

during Mr Trudeau's visit, but

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progress is proving to be slow.

China has had similar agreements

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with New Zealand and Australia.

Earlier, I spoke rolling.

He has

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taken a principled approach to free

trade. I think I has been stable and

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fixed in his approach that any trade

deal to become rancid, progressive,

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and ultimately to the benefit of

Canadians.

Is it to principles? He

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wants to achieve trade deals

involving Labour, gender, and

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governance issues. I think the Prime

Minister will be empowered by the

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fact the DPP is called the

comprehensive and progressive

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Trans-Pacific Partnership. And I

think he wants to show to Canadians

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that the electorate back home, that

he is focused on these ideas and

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that he is not going to sell the

shock to the Chinese. But he is now

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in China. Everyone thought that the

negotiations would start. He is

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towards the end of his Milan 2-up.

Can it still be salvaged?

Something

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can still be salvaged. This

government is very good at guessing

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solutions and outcomes and

announcing them in a way that

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announces all stakeholders.

Economic

growth in Australia has just come

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in. Just shy of Amla' expectations

at 0.6% for the third quarter --

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analysts deposit occasions.

Australia has extended its record

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straight doubling 100 five quarters

without a recession. But are there

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some clouds on the horizon? I joined

by Timothy McDonald. More than 25

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years without a recession. This is a

record.

It is a record. Are you

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familiar with the name Steven

Bradbury? Who is he? He was

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Australia's first Winter Olympics

gold-medallist, this set -- skater.

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He won because literally everyone

else in the race fell over on the

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ice will stop I do not think that

will happen in the next Winter

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Games. In some ways I -- Australia

seems like the Steven Bradbury

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economy. It just plods along. The

growth does not tend to be

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spectacular, but somehow it never

seems to fall over. It just keeps

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going. Much like Steven Bradbury,

some of it has been locked. On the

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other hand, standing up is part of

the job if you are a speed skater

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and for an economy as well. Of

course, governments on both sides of

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the aisle have claimed credit for

this record streak of going about a

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recession, but that Esky was

something is in the economy and in

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some ways it is a bit of an academic

figure. Australia has had some

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period of fairly slow growth. Right

now there are some concerns. There

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is something of a housing bubble,

prices are very high, affordability

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is low. When you couple that with

slow wage growth, the RBA has

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expressed some concern about that.

Then again, good retail sales

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figures came out yesterday. The

reserve bank is forecasting about 3%

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growth for next year. A fairly

respectable number for a developed

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economy. In some ways things are

looking good for Australia. So long

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as it does not slip on the ice.

The

Bottom Line, the streak continues.

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It does.

Thank you so much the

update on the Australian economy and

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for this Winter Olympics gold medal

winner, comparing him to the

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Australian economy. My college

there, thank you so much for joining

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us, Timothy McDonald. India's

central bank is scheduled Maka

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monetary policy decision in the next

several hours. Is expected to keep

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its rate on hold. Recent figures

believe that the economy is on the

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rebound. But consumers have been

dealing with rising costs, a new

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national taxes, and the fallout from

a sharp Giemont translation. This is

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what we expect the central bank to

do moving forward.

I think the only

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expectation that there is is that

they might ease again. Nobody is

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looking for them to hide. Given how

inflation is panning out, we have

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had growth above 6%, I do not see

how the central bank can justify

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easing rates again.

What is the

biggest challenge right now facing

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the economy? Is it rising inflation,

the impact from Demontre Hurst, or

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the GST?

I would not say that rising

inflation is the biggest threat

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the GST?

I would not say that rising

inflation is the biggest threat. For

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next year, definitely I think

inflation is coming back on the

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radar. For now, the economy has to

take into account that there are

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lingering GST related outcomes.

Apart from these three factors, what

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could potentially hurt the economy

going forward.

The focus pretty much

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remains on many's reforms agenda,

campaign, we see 2017 being a year

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of two halves -- Modi's. The focus

has been much focus to reform

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speaking up. Elections are coming

up. I do not see the momentum

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sustaining 2018.

The lead Asia

economies -- won a start Oxford

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economics will stop in aviation, Air

France is hoping to stand out from

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an increasingly crowded market by

launching a new low-cost character.

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It is a play on the French word for

Young. It is the airline's second

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attempt at courting -- cutting

costs. They want to attract

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millennials were trending items such

as organic salad and juices. But is

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that enough to boost earnings? That

is a question we asked Frank Turner,

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the chief executive at Air France.

It is the answer to several

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objectives. The first one is to

operate a lower cost airline. I'm

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not saying a low-cost airline. I am

saying a low-cost airline. The

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second is to project a very light

company being able to test and AMSA

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new ways of travelling. New

entertainments. We will have new

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mills. It is about ways of

travelling -- menials.

Low-cost

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carriers are still quite a dominant

force in Europe. Do you think by

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launching an airline like this it

will help you take on the low-cost

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characters Joon is not specifically

targeted to compete with low-cost

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carriers.

If we do that we have the

answer, we have low-cost carriers.

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The main threat and the main target

we have is to compete with the

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carriers not on the low-cost segment

of but in the next segment. Not into

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leisure or business.

Will it improve

your margins, because Air France

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margins have always been...

The idea

is to boost our margin. It is also

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to relieve the pressure on some

routes in order to commit to Air

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France mainline as well as Joon to

Joe, using batterers resources.

You

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have announced a new partnership

with Jet Airways in India. How will

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this help Air France?

You consider

that India is a very big market. We

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are under representing this market.

Our aim is to increase the presence.

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The best way to do this is offering

the biggest opportunity possible to

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the customers in Europe and in

India. The market between India and

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the United States is very active.

Growing double digits. As you know,

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we a very strong partnership as we

create this new opportunity and this

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joint venture. What we will bring to

the Indian market is a seamless

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experience between India and the US

market.

Frank Turner of Air France.

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Letters have a quick look at the

markets. Currently mixed and

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lacklustre. This is after US stocks

closed in negative territory

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overnight. Thank you so much for

investing your time with us. I am

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Rico Hizon. Sport Today is up next.

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