:00:02. > :00:12.to clear the crowds. Those are the latest headlines. Now
:00:12. > :00:20.
:00:20. > :00:24.it is time for the latest financial news.
:00:24. > :00:28.Console makers battle it out to prove they have the best ideas to
:00:28. > :00:34.win customers, despite the pricey machines, at this week's gaining
:00:34. > :00:38.exposure. Cracking down on tax evasion. We
:00:38. > :00:48.learned that the Indian government's attempts to bring in
:00:48. > :00:53.it needed tax revenues. This is World Business Report. Also
:00:53. > :01:01.in the programme, a report on authorities in Japan. They have
:01:01. > :01:06.revised upwards their growth forecasts for the economy. Starting
:01:06. > :01:10.with the $67 billion industry in the grip of a two-year slump thanks
:01:10. > :01:15.to the rise and rise of tablets and smart phones. We are not talking
:01:15. > :01:19.about the PC market, but the video games industry, where consumers
:01:19. > :01:25.have cut back drastically on expensive purchases of Consols and
:01:25. > :01:29.games. Los Angeles is host to the Electronic Entertainment Expo, the
:01:29. > :01:35.game in this to's biggest trade show. The pressure is on the makers
:01:35. > :01:43.of a new generation of consuls to impress. I am joined by technology
:01:43. > :01:49.analyst Chris Green to ask him what we can expect. All attention is on
:01:49. > :01:54.Microsoft and the ex-boxer and Sony's PlayStation. They are
:01:54. > :02:02.teasing us with expectations of a new console. That is right. They
:02:02. > :02:07.have started feeding this information. They are due for a new
:02:07. > :02:13.release from seven years old. They are getting long in the tooth. That
:02:13. > :02:18.has contributed. They have been revealing more information about
:02:18. > :02:24.the consols. You can also see them trying to get game makers to
:02:24. > :02:32.support them. Will we find out when they watch them? There is a chance
:02:32. > :02:38.that they will. Talk us through the change in the industry. Since most
:02:38. > :02:45.of us are recurring about on mobile devices, the attention on the
:02:45. > :02:50.gaming device has really gone down. Is it just for the hardcore gamers?
:02:50. > :02:54.Not at the moment. We have seen a shift away from dedicated gaming
:02:54. > :02:59.devices to people using their existing smart phones and tablets
:02:59. > :03:06.far more as a gaming platform. That is because the devices are more
:03:06. > :03:15.powerful and capable and able to be used as game devices. It has
:03:15. > :03:19.brought in a generation of younger gamers. But it has also had
:03:19. > :03:24.repercussions for the industry. In terms of the revenue they can
:03:24. > :03:33.generate. Tell us about activation blizzard. This is the biggest game
:03:33. > :03:37.company in the States. Their problem is endemic. The situation
:03:37. > :03:42.is a great example of that how traditional gaming is starting to
:03:42. > :03:49.drop off. This company is successful for the very successful
:03:49. > :03:53.'World of Warcraft'. But there has been a drop off in demand partly
:03:53. > :04:00.because of cost, partly because of a lack of interest. They have also
:04:00. > :04:08.had a drop in subscribers. That is the model, you have to pay every
:04:08. > :04:15.month instead of just buying the game. They have been unable to stop
:04:15. > :04:21.the fall. We will keep an eye on how they get on this week. Thank
:04:21. > :04:24.you for filling us in. Economic growth in Japan is stronger than
:04:24. > :04:33.first thought at the start of the year. When you look at the annual
:04:33. > :04:39.figure, the world stirred largest economy grew at a rate of 4.1%.
:04:39. > :04:43.That is surging ahead of many other industrialised nations. That sounds
:04:43. > :04:49.very impressive. But there is still a lot of challenges facing Japan,
:04:49. > :04:56.isn't there? Indeed there are. But at the moment, the data is adding
:04:56. > :05:02.to a lot of hopes of recovery. It has also seen the stock market
:05:02. > :05:06.rebounding. We will see over 3% gains for the Nikkei, and
:05:07. > :05:14.incredibly volatile market in the past few weeks. It was down 6% last
:05:14. > :05:23.week. This estimate is good, because it does mean that analysed
:05:23. > :05:31.growth is following a series of very aggressive policy moves. It
:05:31. > :05:36.has been named after the Prime Minister. He was behind the push by
:05:36. > :05:41.policy makers to introduce measures aimed at reviving the Japanese
:05:41. > :05:49.economy after years of stagnation. This included doubling the
:05:49. > :05:53.inflation target. It has been deterring businesses from spending.
:05:53. > :05:58.They're holding out for a better deal. What they have been trying to
:05:58. > :06:02.do is boost consumer spending. They have been putting trillions of yen
:06:02. > :06:07.into the money markets. They are trying to keep long-term interest
:06:07. > :06:14.rates low. The ad is that more money around, borrowing costs are
:06:14. > :06:24.low, businesses and consumers will have more cash to spend. But it has
:06:24. > :06:30.responded in a weaker yen. That has pumped up the cost of energy.
:06:30. > :06:38.G8 leaders gather again in a week's time. Top of their agenda will be
:06:38. > :06:44.tax. Politicians are keener than ever to stop companies avoiding
:06:44. > :06:49.paying what they're going. We are looking at those measures that they
:06:49. > :06:55.are taking. We start with India. Out of 1.2 billion people, less
:06:55. > :07:01.than 3% pay any income tax at all. In a country with so many
:07:01. > :07:05.challengers, such low revenues are a major problem. Many people cannot
:07:05. > :07:11.afford to contribute. But one issue is getting those that can to pay
:07:11. > :07:18.their share. We found out how authorities in Bangalore are
:07:18. > :07:24.dealing with the problem. It may look like a wedding party or
:07:24. > :07:30.a religious festival. But actually, these men are making a noise about
:07:30. > :07:36.tax. They have been deployed to play outside the offices of
:07:36. > :07:38.companies who have not paid their taxes. The Bangalore civic
:07:38. > :07:43.authority says that drawing attention to tax avoiders is
:07:43. > :07:50.helping them to recover some of the money. Companies get embarrassed
:07:50. > :07:55.when these people play outside their offices. We started this
:07:55. > :08:03.about six months ago. Since then, we have seen that some of the funds
:08:03. > :08:07.have been recovered. It is a unique attempt at a solution to what is a
:08:07. > :08:12.widespread problem in India. From companies to individuals, tax
:08:12. > :08:20.evasion is very common. Only 3% of people in the country actually pay
:08:20. > :08:27.their taxes. Around a third of the country's 1.2 billion people are
:08:27. > :08:35.very poor end to not and enough to pay any taxes. -- and to not phone.
:08:35. > :08:40.But a lot of people do not pay tax either because they are working in
:08:40. > :08:44.agriculture. A lot of people are paid in cash, those transactions go
:08:44. > :08:47.unaccounted. The income tax department has released
:08:48. > :08:53.advertisements like this one, featuring a Bollywood actor, to
:08:53. > :08:56.encourage people to pay their share and help the country's development.
:08:56. > :09:04.Members of the public who do pay their taxes say they often feel
:09:05. > :09:14.they see little in return. We are not enjoying. We pay the road tax,
:09:15. > :09:17.
:09:17. > :09:21.but look at the roads. One rain, the roads are debris. At least the
:09:21. > :09:26.honest taxpayers pay. This year the income tax department is sending
:09:26. > :09:31.out letters to 1.2 million people who they believe should pay tax. In
:09:31. > :09:38.March, the finance minister raised taxes for India's produced. But
:09:38. > :09:42.this applied to just 40,000 people. -- richest. Many people need to be