17/07/2017 Outside Source

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Ros Atkins with an innovative take on the latest global stories.

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Hello, I'm Ros Atkins, this is Outside Source.


The UK is outlining four key areas including citizens rights -


not for the first time, the EU is asking for one thing.


We need to examine and compare our respective positions in order to


make good progress. was behind a hack on Qatari state


media that precipitated Completely untrue and through our


Washington embassy we refuted them. Russia is demanding that two


of its diplomatic compounds And if you want to get in touch on


any of the stories we're covering - Round two of the Brexit talks. The


chief negotiators were both there. Michel Barnier for the EU and David


Davis for the UK. At the end of the first day of talks, they gave a


press conference. Let's begin with the EU's side. We need to examine


and compare our respective positions in order to make good progress. As


you know, our negotiating groups will work on citizens' rights and


the financial settlement and other separation issues. Our coordinators


will engage in apolitical dialogue on Ireland. And they will work on


enforcement of the Article 50 agreement. Next, David Davis. We are


now getting into the substance of the matter. As you have heard, there


are four categories. The issue of citizens' rights, finance,


separation issues and of course separately, Northern Ireland. It is


incredibly important that we make good progress. We will identify the


differences so that we can deal with them and identify similarities so


that we can reinforce those. Now we have to get down to work and make


this a successful negotiation. You may have seen this picture being


shared a lot. Michel Barnier and colleagues on the left and David


Davis and colleagues on the right. People pointing out that the EU team


have more papers. Pro Brexit people say that it was a photo opportunity


and he didn't need to bring in papers, typical EU for


overcompensating. Let's bring ourselves up-to-date.


Here is Anna Fleming in Brussels. -- Alan Fleming.


The first day of negotiations has wrapped up. David Davis left the


city quite early this morning, leaving most of the work to his


office shelves. They have been rattling over the three priority


areas set by the EU. They are citizens' rights, the rights of


nationals living in Britain and British people living elsewhere in


the EU. And the financial settlement, how do you calculate how


much money the UK owes EU as a result of financial commitments made


when it was a member. And the big issue of the Northern Irish border


which will become an external frontier of the EU. That will run


throughout the talks as a big issue. No white smoke from the officials


taking part today. And next update will be on Thursday when David Davis


will be back here to have a wrapping up lunch with Michel Barnier and his


EU counterparts. Then we expect a press conference and the whole thing


will happen again in August, September and again in October. It


is only then that the EU will assess whether sufficient progress has been


made in those priorities use for the advice to go to the other leaders


that it is time to start the other negotiations about the future trade


relationship between the UK and the EU.


We started in Brussels, next to Washington and Moscow. An


interesting story concerning two Russian diplomatic compounds. The


Russians don't have access to them at the moment but they would like


that to change. One of them is in Maryland. A 45 acre retreat on the


state's Eastern Shore. And the other one a New York mansion on the -- in


New York. These places are for the use of Russian diplomats but the


Americans claimed they were being used as buying outposts and they


seized them. We have heard from Sergei Lavrov the Russian Foreign


Minister and his position is clear. TRANSLATION:


It is daylight robbery. They are acting like bandits, taking property


which belongs to us according to bilateral ratified government. In


absorbed into the principal, what is absorbed into the principal, what is


mine is mine, what I have, we will share. -- what you have, we will


share. Moscow has been dropping not so


subtle hints that it may be about to expel lots of American diplomats and


close down a couple of American diplomatic compounds in Moscow. Why?


Because last year, resident Obama did something similar, he ordered


diplomats out of the country and close compounds, his reaction to


Russian cyber attacks aimed to on influencing the outcome of the


election in America. Russia cried foul and accused America of


violating international law but at the time of the Kremlin did not


retaliate. Resident Peter knew that President Obama would be on the way


out and a new man would be there. Donald Trump. So we decided not to


act immediately, to give Donald trump the opportunity to resolve


this. If you cannot do this, we have to do something. Nothing personal,


just business. This is not about Mr Trump. This about tradition -- this


is about traditions. What is frustrating the Russians is that


after six months in the White House, President Trump, who has a going to


transform relations, has not returned the compounds. But


President Trump faces a dilemma with alleged links between Russia and his


team, which only the compounds would cause problems. But Russia will


retaliate and this could end his hopes of a better relationship with


Russia. Barbara Plett usher is with us. To


what degree is this down to Donald Trump? He could reverse the


decision. At this point, Congress is looking at legislation which would


require a review if he wanted to return any sections. Legally and


technically he could do it. Politically it is difficult because


the environment here is toxic when it comes to Russia and gets more


toxic all the time. There is the ongoing investigation into the


allegations that Russia meddled in the election and possible collusion


with the Donald Trump campaign. That will start up again with the


allegation that Donald Trump Junior had joined up to talk about Hillary


Clinton. It is the gift that keeps on giving and makes it harder for


the administration to make any concessions to the Russians. Even


the meeting that he had with Putin which was presented as pleasant, he


tried to act as if he had been hard on Mr Putin when he came back. Are


you surprised that the Russians are pushing this Arda? These compounds


are very nice for relaxation, but they are not that big a deal in the


scheme of things given what Russia and America normally concern


themselves with. They have made pretty clear for a long time that


this is at the top of the agenda when it comes to bilateral


relations. They did hold off to see if Mr Trump would reverse them that


they have made the calculation that he isn't able to all that he at


least need a bit of pressure to force the situation. They are


talking it up at the moment. Last week, when the State Department


spokeswoman was asked about this, she said they had heard threats from


Russian officials before, and they would not respond. Publicly, they


are taking it in their stride but this is something that the Russians


want to depress now. Whether that means is, what that means for any


limited or pragmatic operation they might be able to eke out with the


Trump administration as opposed to the larger policy apparatus in


Washington, remains to be seen. What is interesting about this is that


this informs us about how the Trump- Russia story is starting to affect


all elements of how Russia operates -- administration operates. Yes, you


have had congresspeople in the last months say that they are not happy


with the way policy is going, that they don't trust the Trump


administration to take steps that need to be taken. That has to do


with Russia but in some cases other topics. You see Congress pushing


back. Especially with this legislation to pass more sanctions


on Russia and do have that clause that allows them to review any steps


by the White House to roll back any sanctions. The White House is


pushing against that strongly saying it will harm its ability to find


areas of cooperation with Russia. Barbara, thank you.


We will be talking about Jerry Brown in a little while. He is


California's Governor, who is leading a big push to extend a tax


plan in California which means that companies who pollute more pay more


and we will explain how that fits into the Paris climate change


agreement. Schools in England are to get an


extra ?1.3 billion a year but the money will have to come from savings


elsewhere in the education budget. Labour has criticised the proposals


but the Education Secretary says she is making efficiencies within her


department to allow more money to reach the front line. What I am


doing is make my department make some efficiencies so that we can get


that money to the front line. The alternative is higher taxes or more


debt. I figured I should be asking my civil servants to make my budget


work harder and we think we can do that and put that money into the


front line. Schools have already lost ?2.8 billion and this money is


only coming on stream next year and schools facing the pinch already. I


welcome it, but it needs more investment.


This is an outside source, and hourly story is that second round of


talks on Brexit have started. Some of the main stories from BBC World


Service. BBC Vietnamese is reporting that at least one person has died in


a Tropical Storm Fitow the centre of the unarmed. The woman's room


collapsed. A Culdrose -- a cargo ship collapsed and there is also


flooding in Hanoi. A former state governor of India --


in India is excited to become the next head of state.


And the most unlikely story of the day, China's social media sensors


are blocking references to win a deeply because the cartoon character


has been compared to President G. The UAE has been accused of being


behind a key incident that helped sparklers hold rift between Casar


and its neighbours. Let's go back to me, these inflammatory posts which


supposedly appeared on the Qatar website. They claimed at the time


that they were one not true, that this was a hack. But Saudi Arabia


and Bahrain and the UAA and Egypt all blocked Qatari media. Then they


all cut all links with Qatar over its alleged support for terrorism


and relations with Iran. Today, you get this article in the Washington


Post. It contains the accusation that US intelligence officials have


evidence that this was a hack and that the UAE was behind it. The


Foreign Minister gave Lucy Hawking is a quite different story earlier.


Completely untrue. And posting comments... Completely untrue. I


think if you look at the comments, they are very consistent with what


they have been doing. I am talking about the hack, completely untrue.


They also said that on the 23rd of May, senior members of your


government discussed the plan and implementation. The whole story is


completely untrue. We turned to BBC Arabic for help.


The UAE Ambassador in Washington denying the involvement of his


government. The statements for foreign affairs in the UAE also


denying involvement. We need to know that this was the trigger for the


crisis. But we go beyond going back to the trigger and finding out if


the UAE hacks Casar's news agency or not. UAE is asking for International


Monetary Fund of Qatari media. It may not be in the interest of the


Gulf monitor key to change Qatar, is ask for changes in the foreign


policy which is funding extremists in the region. That is not going to


happen. It is really difficult to predict. In 2014, Casar went to


Saudi Arabia and there was an agreement that Qatar would stop


funding certain political factions. Now Saudi Arabia, and Bahrain are


saying that Qatar did not abide by the agreement. Now Qatar has a


foreign policy and to change the policy would be extremely big hit


for them. It is difficult for them to say that they will not be backing


certain political factions in the region. On the other hand, the Saudi


and emirates blockaded on Qatar is really harming the interests of the


state. Can I ask you one question about the alleged hack. When those


statements came out, did BBC Arabic and other regional media thing, this


is a strange? Will did it feel within the realms of the possible?


For BBC Arabic, it seems really strange. I have lived in Qatar for


15 years, I have friends who work for the state media. I asked them an


iPhone on the morning of the 23rd of May when Sky News Arabia and another


channel funded by the United Arab Emirates government and another one


funded by the Saudi Arabia government had this sudden breaking


news and sudden coverage for the statements. When I asked my Qatari


friends who are working, they said they had been hacked and they said


that from the first moment of the crisis. But the Saudi and emirates


channels did not even carry the denial of the Qatari government. And


then the crisis began to roll up onto the stage. If you speak Arabic,


there is coverage of that story CBBC Arabic .com.


Let's go to the Korean police -- peninsula. Rain talks are proposed


in between North and South Korea. The proposed talks could begin as


early as this Friday, a move seen as a mean end all acts of hostility


along the military demarcation line. The timing is significant, two weeks


after Yong Yang tested what experts believe was its first


intercontinental ballistic missile which could reach the United States.


It also comes just two months into a new presidency. President Mona has


said that he would try to reopen talks with the North as part of a


new dialogue which is different from the past ten years. He keeps the


pressure up with sanctions and also tries to re-engage. What can we


expect from the talks? We will see confidence building measures being


discussed, in particular, the possible seizing of those propaganda


broadcasts which get lead through loudspeakers across the border. But


there is the possibility that the capital of been North may also call


for an end to drills between US and South Korean military. There is also


a humanitarian aspect. Seoul is looking to reopen the possibility of


reuniting people from the South and the North who have been separated


for many decades in many cases. That could be a bone of contention for


the northern capital. It is still angry with soul because of its


failure to send back home a number of key defectors.


We will be following that very closely.


China's economy is huge, and it is performing above expectations. It


has grown by 7% in the last three months. There is concern over its


level of debt. It is 2.5 times the entire economy's yield over one


year, too large for the comfort of some.


Analysts have been talking about it for years. Particularly this year


and even Chinese state media organisations are now talking about


debt getting out of control. The government has been borrowing money


off its own people and pouring it into infrastructure projects. The


return on that money is getting less and the burden of debt is weighing


more heavily. The authorities know they have to do something about it


but they need the political backing of the party and a strong economy in


order to be able to do that. Next, Procter Gamble, a US firm


worth two -- 20 $3 billion. Consumer goods, that most of us use. There is


a group of activists investors who despite its huge size, won some


fundamental changes to the company. Michelle, what would they do if they


were in charge? They say that they can bring about


change at a much faster rate. This company's culture is at times


resistant to doing things differently. This is why this


activist investor, a billionaire known as Nelson Pelz is trying to


force the board of Procter Gamble to revamp its business and he is


pushing to try and get elected to the board of directors. Whether or


not this will succeed we will have to see, but the company has been


struggling to increase sales. To give you context as to why this is


coming about now. Keep us posted. Another farm I want


to talk about, Netflix. How is that doing? This is the entertainment


company reported earnings in the last few minutes. Their reaction to


the share price is swift, it is up about 9% in the last few minutes.


The company is exploding in terms of the number of users, subscribers of


the streaming service. That added 5.2 million. To give you some idea,


Wall Street was inspecting that figure to be 3 million in a week


period of the year. The channel is known for content like house of


cards, Orange is the new black. What will surprise people is that


international viewers now account for more than half of Netflix's


membership. Clearly, investors liking what they are hearing.


Thanks, Michelle talk to you during the week.


The new series of game of thrones started in the US. The New York


Times has estimated that this show generates billions of dollars


annually and is costumes and props get attention. The success of the


show is knocking on to companies that produce the props in India.


Over six seasons, TV fantasy Game Of Thrones has captured the imagination


of millions. But far from the seven kingdoms, the costumes, grand sets


and armoury that feature in the throat -- show are serious business


for companies in India. And it is not just Game of Thrones. This


company supplies props to many Hollywood productions, from the


avengers and Gladiator, to the Star Wars franchise. It's only the Indian


subcontinent which has the art of hand embroidery. They can't get it


in the West. Whether we do embroidery or anything, it is very


handmade, very period looking. This is the largest factory of its kind


located in the foothills of the Himalayas. This company makes every


type of sword from heavy steel to light titanium. It supplies the


armies around the world but its salts are not sold commercially in


India. Domestic business is only 10%. Sometimes it can stretch into


30%. But it is mostly seasonal. This army business is not seasonal. These


are the details that make the story come alive on the big screen. And it


means more business on the work floor here.


I be back in a couple of minutes. -- I will be back.


I wanted to update you on a number of stories that