:00:00. > :00:00.charges including the killing of a policeman. Those are the latest
:00:00. > :00:00.headlines from BBC News. Now for the latest financial news with Sally
:00:00. > :00:20.Bundock and World Business Report. Russia's economy grinds to a halt as
:00:21. > :00:28.the Ukraine crisis takes a heavy toll. Capital outflows are expected
:00:29. > :00:31.to soar to $70 billion. Chinese President Xi Jinping travels
:00:32. > :00:32.to France to try to revive flagging trade ties and sign potentially
:00:33. > :00:45.blockbuster deals. Welcome to World Business Report.
:00:46. > :00:48.I'm Sally Bundock. Also in the programme, we head to Istanbul to
:00:49. > :00:55.hear from Greeks who moved there in search of work.
:00:56. > :01:00.Russia says it expects investors to have moved up to $70 billion worth
:01:01. > :01:03.of assets out of the country in the first three months of this year.
:01:04. > :01:06.It's the clearest sign yet that investors are nervous as fears grow
:01:07. > :01:12.of the impact tighter sanctions will have on the Russian economy. There
:01:13. > :01:18.are also warnings of stagnant growth and rising inflation. The economy
:01:19. > :01:21.grew by just 1.3% last year. Ilya Ponomarev was the only one of 445
:01:22. > :01:28.Russian deputies in the State Duma who voted against Crimea joining
:01:29. > :01:35.Russia. He says the crisis provides an excuse for poor economic
:01:36. > :01:40.policies. They think that for Russia it is a big mistake what we have
:01:41. > :01:44.done. One of the reasons why President Putin went so far and so
:01:45. > :01:52.quickly was to disguise the problems that we have in our economy. Now
:01:53. > :02:00.economic growth is virtually stalled in Russia. With this huge patriotic
:02:01. > :02:08.uprising, people 's attention is shifted from the internal problems
:02:09. > :02:08.and now we are thinking about Crimea and greater Russia and retaining
:02:09. > :02:22.pieces of land and so on. With me is Otilia Dhand, Vice
:02:23. > :02:25.President of Teneo intelligence. Everybody is starting to comment on
:02:26. > :02:30.the impact that the sanctions will have on Russia, if they brought out
:02:31. > :02:36.further. What is your take on how the Russian economy is doing? The
:02:37. > :02:38.growth of the economy has been slowing down for several months,
:02:39. > :02:46.especially in the last quarter of 2013. There is a single reason why,
:02:47. > :02:51.but a combination of weak domestic demand and the completion of the
:02:52. > :02:54.project in Sochi that had been driving investment in the country.
:02:55. > :03:06.The crisis does provide a good excuse for Vladimir Putin's economic
:03:07. > :03:11.performance. It will be used for several quarters to come. Russian
:03:12. > :03:16.officials were saying yesterday that within this month it is more than
:03:17. > :03:20.likely that $70 billion worth of capital will have left Russia. That
:03:21. > :03:26.is more than the whole of last year. Should we be concerned about what
:03:27. > :03:32.impact that will have? That documents a loss of confidence of
:03:33. > :03:37.foreign investors in Russia. That is in terms of the financial system as
:03:38. > :03:40.well as direct investment. These investments would have come from
:03:41. > :03:46.either Germany or Italy or the country is now opposing Russia's
:03:47. > :03:53.expansion into Crimea. This is likely to have a further effect on
:03:54. > :04:01.the investment part of the GDP for Russia. It is hard to restore the
:04:02. > :04:07.confidence of foreign investors once you have lost it. Now it looks that
:04:08. > :04:10.there is nothing to restore confidence in terms of how
:04:11. > :04:15.negotiations are going on between Russia, the US, and the EU,
:04:16. > :04:22.especially with this sort of G`7 gathering going on. The next meeting
:04:23. > :04:27.will definitely exclude Russia and it will not be in Russia but it will
:04:28. > :04:36.be in Brussels in June. There is the argument that sanctions against
:04:37. > :04:40.individual sectors, mining or gas for example, are not needed in order
:04:41. > :04:45.to hit Russia hard in terms of economic growth or performance in
:04:46. > :04:51.general. Our exclusion from international institutions, the
:04:52. > :04:57.magnitude of political risk that is now associated with Russia, all hits
:04:58. > :05:04.our investment in the economy. We have seen three months Russia going
:05:05. > :05:08.from an emerging market that was very resilient and insulated from
:05:09. > :05:19.the effects of what was expected to be the largest effect `tapering in
:05:20. > :05:32.the US. It has gone to a poor performing economy. He's the leader
:05:33. > :05:35.of the economy many believe will dominate the world in the coming
:05:36. > :05:38.years. So when Chinese President Xi Jinping arrived in Europe at the
:05:39. > :05:41.weekend the world paid attention. The man who runs the globe's second
:05:42. > :05:44.biggest economy is mainly here to talk about trade. The EU is China's
:05:45. > :05:47.most important trading partner, with imports and exports now worth well
:05:48. > :05:50.over a billion euros a day. On Tuesday the tour moves to France and
:05:51. > :05:52.our correspondent there, Hugh Schofield, looks ahead to the
:05:53. > :05:56.Chinese presidents travel diary this week.
:05:57. > :06:02.(INAUDIBLE) France, is preparing a sumptuous
:06:03. > :06:07.welcome. The President will be in New York and then Paris for a state
:06:08. > :06:12.dinner on Wednesday. Nothing is confirmed but it is hoped that
:06:13. > :06:18.Airbus may clinch a major deal to sell 150 passenger jets to China, a
:06:19. > :06:21.deal linked possibly with a new Airbus factory there. Other
:06:22. > :06:37.contracts are also being looked at by Paris. The carmaker Peugeot will
:06:38. > :06:44.sign a long forecast steel. The Premier will travel to Brussels by
:06:45. > :06:52.the first visit by a Chinese premier to EU institutions. Anti`dumping
:06:53. > :06:53.legislation will be on the agenda. When we have announcements of deals
:06:54. > :07:03.will update you. The people of Greece are celebrating
:07:04. > :07:06.185 years since independence from the Turkish Ottoman Empire. But for
:07:07. > :07:09.some Greek people, it will not be a holiday. During the turbulent
:07:10. > :07:12.economic times in recent years, many people from Greece opted to move
:07:13. > :07:15.abroad in their hunt for work. And, despite a negative history between
:07:16. > :07:21.the two nations, many set their sights on Turkey. But was it a good
:07:22. > :07:28.move? Selin Girit sent this report from Istanbul.
:07:29. > :07:34.This is one of the symbols of the booming Turkish economy. Turkish
:07:35. > :07:38.Airlines now flies to over 100 countries and has an annual growth
:07:39. > :07:44.of 20%. Its success is attracting pilots from all over the world.
:07:45. > :07:51.Especially from Greece. There is a recession in my country. It has had
:07:52. > :07:54.a serious effect on aviation. A previous company could not sustain
:07:55. > :08:00.an acceptable level of salaries and a major decision to leave my
:08:01. > :08:05.country. I settled with my wife here and will have a career here in
:08:06. > :08:08.Istanbul. More Greeks are leaving their country to settle abroad.
:08:09. > :08:12.Istanbul is becoming one of the most popular destinations for these
:08:13. > :08:16.people. It is estimated that in the last couple of years almost 1000
:08:17. > :08:22.Greeks have come to settle in the city. It is not only the booming
:08:23. > :08:28.Turkish economy that attracts these people. The family groups play a
:08:29. > :08:32.part in their decision as well. My grandmother was from the Asian side
:08:33. > :08:42.of Istanbul. Two years ago I lost my job in Athens. I was a secretary in
:08:43. > :08:53.a big company. I thought that it was a big opportunity for me to leave
:08:54. > :08:56.Athens and come to stumble. The Turkish `Greek business Council says
:08:57. > :09:05.there are Greeks working in every sector here. There are many Greeks
:09:06. > :09:10.working in tourism, hospitals, banking. To Turkish banks are owned
:09:11. > :09:18.by Greece. Greeks are coming to open restaurants, bars, and even
:09:19. > :09:22.musicians of Greece. Once a year, the Greek community in Istanbul pour
:09:23. > :09:29.out onto the streets to celebrate an ancient tradition. This young Greek
:09:30. > :09:33.student of sociology joins the carnival. There are more
:09:34. > :09:39.opportunities. You can find scholarships, you can easily find a
:09:40. > :09:47.job. I thought it would be a better place for me to settle. With the
:09:48. > :09:54.economic crisis back home, it seems that the number of Greeks living in
:09:55. > :09:55.Istanbul is set to increase. Let's look at the financial markets in
:09:56. > :10:10.Asia. A lot of this news from the US and
:10:11. > :10:13.slowing manufacturing output has had an effect here. There are reports on
:10:14. > :10:22.consumer confidence and housing data later today. Markets were hit in the
:10:23. > :10:48.US. We will talk through the papers in a moment. Stay with us.
:10:49. > :10:55.There are plans to expand shale gas fracking in the UK. Research suggest
:10:56. > :10:56.they should learn from mistakes overseas. Some have already been