16/02/2018

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0:00:00 > 0:00:04offences of sexually assaulting boys.

0:00:04 > 0:00:06Now on BBC News, all the latest business news live from Singapore.

0:00:21 > 0:00:25It's all smiles from North Korea and the Winter Olympics but will that be

0:00:25 > 0:00:30enough to lift sanctions on the country. And we had to Hyderabad to

0:00:30 > 0:00:45find out why this city's drawing so much talent. Gong Xi Fa Cai, have

0:00:45 > 0:00:49been Lunar New Year to all our viewers, welcome to Asia Business

0:00:49 > 0:00:56Report. -- happy. The world has heard from North Korea more from the

0:00:56 > 0:00:59last few days than in decades, their figure skating team, cheerleaders

0:00:59 > 0:01:04and North Korean leader Kim Jong-un's sister have all won the

0:01:04 > 0:01:10hearts in the Winter Olympic Games in Pyeongchang but good this soft

0:01:10 > 0:01:14diplomacy translate into loosening sanctions against the State? Earlier

0:01:14 > 0:01:18I asked Justin Hastings, an expert on the North Korean economy, how the

0:01:18 > 0:01:22international community had reacted to the latest moves from the

0:01:22 > 0:01:25country. UN sanctions and US sanctions aren't

0:01:25 > 0:01:28going anywhere so what the North Koreans can hope to gain is

0:01:28 > 0:01:32ultimately weaken South Korea's will to enforce sanctions and maybe get

0:01:32 > 0:01:36more aid or money out of South Korea. At some point North Korea

0:01:36 > 0:01:40will have to make some concessions even for aid to be politically

0:01:40 > 0:01:44palpable in South Korea itself. Chinese sanctions play a huge role

0:01:44 > 0:01:49in this as well and President Xi was absent from Pyeongchang so far, how

0:01:49 > 0:01:54is that going to affect the North Korean economy?China has been more

0:01:54 > 0:01:58vigorously enforcing sanctions over the past year, which has hurt the

0:01:58 > 0:02:02North Korean economy somewhat. The temperature on the Korean peninsula

0:02:02 > 0:02:07decreases, with the Olympics you can see China more willing to allow more

0:02:07 > 0:02:11investment into North Korea than it has. It pulled back, now it may be

0:02:11 > 0:02:16more willing.It's always tricky to predict but according to some

0:02:16 > 0:02:21figures the North Korean economy was estimated to have grown by 3.9% in

0:02:21 > 0:02:252016, what do you think was the growth in 2017 and going forward?

0:02:25 > 0:02:30Any time you have a number in North Korea it will be problematic to

0:02:30 > 0:02:34speculate but I would say it would be lower. Chinese sanctions have had

0:02:34 > 0:02:37greater impact and to the extent North Korea is engaging in trade,

0:02:37 > 0:02:43it's having a slightly more difficult time.Seoul is perfect,

0:02:43 > 0:02:46paying for the North Korean delegation is in Pyeongchang, do you

0:02:46 > 0:02:50think the Games will help the North Korean economy by attracting more

0:02:50 > 0:02:57tourists?That is up to the guarantees North Korea makes to

0:02:57 > 0:03:02China and South Korea. Not directly. Ultimately you could see more

0:03:02 > 0:03:05willingness to give aid or have investment from China and South

0:03:05 > 0:03:09Korea. Indirectly we might see an affect.

0:03:09 > 0:03:13Iran's president is making his first visit to India since he took office

0:03:13 > 0:03:19in 2013. Trade between the two countries is worth almost $13

0:03:19 > 0:03:23billion, but President Hassan Rouhani is hoping to drum up even

0:03:23 > 0:03:27more new business with India after crippling economic sanctions against

0:03:27 > 0:03:32his company were eased following its 2015 nuclear pact. For more business

0:03:32 > 0:03:38reporter Divina Gupta joins us live from Delhi. We know what Iran wants

0:03:38 > 0:03:41but what does India want out of these talks?Carrico

0:03:41 > 0:03:43but what does India want out of these talks?Carrico, there will be

0:03:43 > 0:03:48to clear points when India is negotiating bilateral trade deals

0:03:48 > 0:03:54with the Iranian president -- Mariko. One is energy and the other

0:03:54 > 0:04:00is connectivity. India needs to import huge amounts of its crude oil

0:04:00 > 0:04:05consumption, Iran is a key player in the region and out of the trade

0:04:05 > 0:04:11India does with Iran, it is about $10 billion of import of crude oil

0:04:11 > 0:04:16that it is doing with Iran, so it will be looking at furthering the

0:04:16 > 0:04:20energy packed with Iran, and the other is connectivity because India

0:04:20 > 0:04:26is looking at Iran as a corridor to access central agent markets. The

0:04:26 > 0:04:36newly built Chabal port in eastern Iran, will be a point where India is

0:04:36 > 0:04:40looking at investment, also a place where India is looking to access

0:04:40 > 0:04:50Afghanistan to have trade relations with Afghanistan bypassing its

0:04:50 > 0:04:55partner here.How will India balance its economic interests in the region

0:04:55 > 0:04:59cause it has a lot of diplomatic tensions?That's very interesting

0:04:59 > 0:05:08because as we know, Iran is dominated with one sect of Muslims,

0:05:08 > 0:05:14Shias, and the Indian Prime Minister was in the Gulf region last week, in

0:05:14 > 0:05:19the UAE, he sent a signal to Saudi Arabia that India wants to do trade

0:05:19 > 0:05:22with the entire region and why should Iran be an exception?Thank

0:05:22 > 0:05:27you for the update. Staying with India and for years Bangalore has

0:05:27 > 0:05:32enjoys a reputation as the darling of India's tech industry but that

0:05:32 > 0:05:36perception is changing because of problems like congestion. The new

0:05:36 > 0:05:43rising star is Hyderabad. In a tale of two Indian Tech City is, we find

0:05:43 > 0:05:50out how Hyderabad stacks up as one of Asia's Silicon Valley is. --

0:05:50 > 0:06:02Indian Tech City is. -- Silicon Valleys. -- Indian tech cities.

0:06:15 > 0:06:19Prices have risen, transportation is becoming a real issue in Bangalore,

0:06:19 > 0:06:24which for a start-up removes some of the agile benefits of being a small

0:06:24 > 0:06:28company.

0:06:49 > 0:06:53The ecosystem is vibrant and very dynamic. There's a lot of government

0:06:53 > 0:06:58support. The ease of doing business is a fact. Bureaucracy has been

0:06:58 > 0:07:01reduced and there is a lot of support for very early stage

0:07:01 > 0:07:04start-ups.

0:07:11 > 0:07:18We've grown it with a plan in place, we've grown it in a way that makes

0:07:18 > 0:07:22any everything integrated so we are building milestones and we are

0:07:22 > 0:07:29hitting a job those milestones. The fact we have government support,

0:07:29 > 0:07:33it's being done in a good man and people here are willing to help each

0:07:33 > 0:07:37other out and that's the differentiating thing between us and

0:07:37 > 0:07:38Bangalore.

0:07:59 > 0:08:03In other business news making headlines, shares in Airbus are

0:08:03 > 0:08:10jumping by more than 10% after it reported strong earnings for 2017,

0:08:10 > 0:08:14which beat analyst expectations. The firm was hit by a charge of $1.6

0:08:14 > 0:08:21billion because of the delay in its A400 military plane programme but

0:08:21 > 0:08:25investors responded positively towards its shift to commercial

0:08:25 > 0:08:29models. It says it expects to deliver 800 commercial aircraft in

0:08:29 > 0:08:372018 if engine manufacturers stick to their commitments. McDonald's is

0:08:37 > 0:08:40removing cheeseburgers from happy meals as customers look for

0:08:40 > 0:08:45healthier options. They say by 2022 they will offer a more balanced

0:08:45 > 0:08:50meals on their children's menu across 120 markets. That means meals

0:08:50 > 0:08:55that are 600 calories or less, but they still include the choice of a

0:08:55 > 0:08:59hamburger or a box of chicken McNuggets. The classic cheeseburger

0:08:59 > 0:09:03will only be available at a customer's request. US regulators

0:09:03 > 0:09:08have rejected the sale of the Chicago stock exchange to a group

0:09:08 > 0:09:12led by Chinese based investors over concerns with its ownership

0:09:12 > 0:09:17structure. For more on the story we are joined by our business reporter

0:09:17 > 0:09:20Monica Miller. It was initially approved and then put on hold, did

0:09:20 > 0:09:28this come as a surprise?I think it did to some people. Essentially in

0:09:28 > 0:09:32the 76 page document they said it simply didn't comply with US rules

0:09:32 > 0:09:35and regulations. Exchanges but the real concern was whether the SEC

0:09:35 > 0:09:39would have enough say and control if the deal had gone through. This went

0:09:39 > 0:09:44on for two years, it had been approved but then it was put on hold

0:09:44 > 0:09:51last August for further review. It was led by Chongqing casing exercise

0:09:51 > 0:09:53group, real estate, finance, infrastructure, a big conglomerate

0:09:53 > 0:09:57that had lot of blowback from Washington because they were

0:09:57 > 0:10:01concerned about security and they didn't want the Chinese government

0:10:01 > 0:10:05involved. Now, this is a Chinese company and the bourse is only

0:10:05 > 0:10:10small, only half a percent of what US trades come through, but the deal

0:10:10 > 0:10:14was going to be a global market for equities, particularly in the

0:10:14 > 0:10:19Chinese market.I guess it joins the long list of Chinese companies

0:10:19 > 0:10:23facing these challenges in America. Thank you for that, Monica.

0:10:23 > 0:10:28A quick look at markets, lots of Asian markets are closed today.

0:10:28 > 0:10:30Japan and Australia are