Browse content similar to 01/11/2013. Check below for episodes and series from the same categories and more!
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new supertax broke down. Those are the headlines. It is time | :00:00. | :00:00. | |
for the latest money news. America's mortgaging and financing | :00:00. | :00:24. | |
giant Fannie Mae Susan nine of the world's biggest banks over alleged | :00:25. | :00:30. | |
interest rate manipulation. Recapitalise or else. The | :00:31. | :00:33. | |
International Monetary Fund puts an ultimatum to Slovenia's ailing | :00:34. | :00:41. | |
banking industry. A warm welcome to you. This is World | :00:42. | :00:46. | |
Business Report. In just a minute we will also be taking a look at the | :00:47. | :00:51. | |
privatisation of Nigeria's actress said Esat. America's biggest | :00:52. | :00:55. | |
mortgage giant Fannie Mae is suing nine of the world's largest banks. | :00:56. | :01:00. | |
It accuses them of colluding to manipulate interest rates. It is | :01:01. | :01:09. | |
seeking $800 million in damages. The troubles of the financial | :01:10. | :01:12. | |
services industry continues with the latest development that US mortgage | :01:13. | :01:16. | |
finance company Fannie Mae is suing nine of the world's biggest banks | :01:17. | :01:20. | |
for manipulating the interest rates. We are talking about what is known | :01:21. | :01:26. | |
as LIBOR, standing for London interbank offered rate. It is a | :01:27. | :01:29. | |
global benchmark interest rate that is used around the world to set a | :01:30. | :01:36. | |
range of financial transactions, worth an estimated $300 trillion. | :01:37. | :01:39. | |
Some of the banks that are being sued, they have a ready the admitted | :01:40. | :01:42. | |
to wrongdoing in order to settle with the wrong doing `` the | :01:43. | :01:50. | |
regulators. Fannie Mae is seeking more than $800 million in damages. | :01:51. | :01:54. | |
Its smaller rival, Freddie Mac, also filed a similar lawsuit. It accused | :01:55. | :02:03. | |
them of knowing about the manipulation and not doing anything | :02:04. | :02:07. | |
to stop it. The banks to face private lawsuit as well, but Amla | :02:08. | :02:11. | |
said that Fannie and Freddie are the type of plaintiffs that can be | :02:12. | :02:15. | |
expected to put up a tough fight. `` but analysts. | :02:16. | :02:26. | |
Slovenia has been warned by the IMF that it urgently needs to | :02:27. | :02:29. | |
recapitalise its troubled banks as the country tries to avoid an | :02:30. | :02:35. | |
international bailout. Slovenia's largely state owned banking sector | :02:36. | :02:38. | |
is carrying 8 billion euros of bad debt, that is waiting for the | :02:39. | :02:44. | |
results of external stress testing before taking any action. But | :02:45. | :02:49. | |
analysts worried that the country may not have sufficient reserves in | :02:50. | :02:58. | |
order to do so. Just how bad is the situation? It is pretty bad. | :02:59. | :03:05. | |
Slovenia has had a banking crisis for the last five years. It does | :03:06. | :03:10. | |
have some real strengths. The banking it self, although the | :03:11. | :03:17. | |
problems are big, the sector it self is small in relation to the economy. | :03:18. | :03:22. | |
The government's debt levels are fairly low. Why has it got to the | :03:23. | :03:33. | |
stage? Is it a failure of government policy? Definitely so. They join the | :03:34. | :03:38. | |
euro in 2007, there was a conversion process. They went on a lending | :03:39. | :03:42. | |
boom, particularly to the construction set. All of those | :03:43. | :03:47. | |
things went badly during the financial crisis and they have not | :03:48. | :03:53. | |
really dealt with it. The economy has been and a slump. Now the IMF | :03:54. | :03:59. | |
has told the bank that they have to recapitalise, but can it afford to | :04:00. | :04:05. | |
do that? It has to put aside 1.2 billion euros in order to | :04:06. | :04:08. | |
recapitalise the banks. The consensus is that the hole in the | :04:09. | :04:12. | |
bank balance sheets will be substantial glee bigger than that. | :04:13. | :04:23. | |
`` substantial glee. If it acts aggressively, it will be able to | :04:24. | :04:28. | |
raise capital on the markets. It has a good chance that it will do. There | :04:29. | :04:35. | |
is also the question of timing. How do you transfer the bad loans from | :04:36. | :04:41. | |
the banks? It is quite complex. You can decide to recognise losses now | :04:42. | :04:46. | |
or later. The timing of it can be quite flexible. | :04:47. | :04:58. | |
Africa's biggest privatisation will be completed on Friday, with the | :04:59. | :05:03. | |
handover of the former Power Holding Company of Nigeria to a series of | :05:04. | :05:08. | |
private consortia. But the $3 billion sell`off has upset many of | :05:09. | :05:12. | |
the country's electricity workers. They are threatening to plunge | :05:13. | :05:17. | |
Nigeria into darkness on Friday, in a strike of the unpaid redundancy. | :05:18. | :05:24. | |
The droning of generators is a sound that you have to get used to when | :05:25. | :05:29. | |
you live in Nigeria. The State provides very few hours of | :05:30. | :05:34. | |
electricity every day, Sir Nigerians are forced to rely on these noisy | :05:35. | :05:39. | |
machines to get back `` to get by every day. 60 million Nigerians rely | :05:40. | :05:43. | |
on generators, both at home and at work. They are run by fuel, which | :05:44. | :05:47. | |
makes running business very expensive. Nigeria produces one | :05:48. | :05:54. | |
tenth of the electricity that South Africa produces. And its population | :05:55. | :05:59. | |
is three times larger. It is a pop `` problem that has gone on for | :06:00. | :06:04. | |
decades. There has been little to show for the government's reform. | :06:05. | :06:09. | |
Money has gone down the drain with corruption. In the past few years, | :06:10. | :06:14. | |
after a lot of deliberation, the government is now privatising the | :06:15. | :06:19. | |
powers that. The assets belonging to the state are being handed over to | :06:20. | :06:24. | |
private investors, both local and international, who will take over a | :06:25. | :06:27. | |
generation and distribution of electricity. Economists say that if | :06:28. | :06:33. | |
this is successful, it could bring down the cost of business by 40%. It | :06:34. | :06:38. | |
could be attractive to big businesses, particularly | :06:39. | :06:41. | |
manufacturers, who will be able to provide jobs and it will create a | :06:42. | :06:46. | |
boost for the economy. Labour unions are saying before the state`run | :06:47. | :06:50. | |
agency becomes defunct and the workers are laid off, these workers | :06:51. | :06:54. | |
have to be paid their allowances. The unions are threatening to go on | :06:55. | :06:59. | |
strike if these workers do not let their pay. | :07:00. | :07:07. | |
China's near `` manufacturing activity grew at its fastest paced | :07:08. | :07:12. | |
in 18 months. It is leading to signs of recovery. | :07:13. | :07:23. | |
Some good Dato coming out of China. Economic fundamentals, if you take a | :07:24. | :07:27. | |
look at the numbers, they are improving on the mainland. The | :07:28. | :07:36. | |
official index rose to 51.4 in the month of October. That is compare to | :07:37. | :07:44. | |
51.1 the month before. A reading above 50 indicates an expansion. But | :07:45. | :07:48. | |
their row still some sceptics who were cautioning that the underlying | :07:49. | :07:52. | |
Dato suggests a strong economic rebound. `` there were still. | :07:53. | :07:58. | |
Monetary policy tightening will likely continue. Also today, HSBC's | :07:59. | :08:12. | |
index is being released. It surged to a seven`month high in October. | :08:13. | :08:16. | |
China is on track for a gradual growth of recovery. The stronger | :08:17. | :08:22. | |
manufacturing growth momentum has helped employment expand for the | :08:23. | :08:28. | |
first time since March. They believe it will support private consumption | :08:29. | :08:31. | |
growth in the coming months. Despite the positive news, this is welcomed | :08:32. | :08:47. | |
cautiously by the markets. A bit of our venues. The UK's Royal | :08:48. | :08:54. | |
Bank of Scotland has suspended two trade is in connection to a growing | :08:55. | :08:58. | |
investigation into the possible mutilation of foreign exchange | :08:59. | :09:03. | |
rates. The news follows reports that London based executives at three | :09:04. | :09:08. | |
other major banks have been placed... Regulators in the UK, the | :09:09. | :09:13. | |
US and Switzerland, are looking at whether the banks colluded to set | :09:14. | :09:17. | |
exchange rates. Let's have a look at the Asian | :09:18. | :09:21. | |
markets. They are quite mixed on Friday. Tokyo was hit by an 11% | :09:22. | :09:31. | |
slump in Sony. It's cut its profit forecast by 40%. Shanghai and Hong | :09:32. | :09:37. | |
Kong were being lifted by those better than expect Chinese | :09:38. | :09:41. | |
manufacturing data, but they are down across the board. | :09:42. | :09:58. | |
A big story in the UK is the exams regulator for England has announced | :09:59. | :10:02. | |
changes to the GCSE, which it says are the most mythic and for a | :10:03. | :10:07. | |
generation. The first subjects to be affected are English literature, | :10:08. | :10:11. | |
English language and maths. Assessment will be by exam only. | :10:12. | :10:15. | |
Instead of grade a star | :10:16. | :10:16. |