:00:00. > :00:00.lightning struck the coast of southern California. Those are the
:00:00. > :00:19.headlines. Now for the latest financial news.
:00:20. > :00:26.The Argentine debt default looming as time runs out for a deal later
:00:27. > :00:31.this week. Will there be a last`minute agreement? Latin America
:00:32. > :00:36.plays host to another leader from the east. This week, the Japanese
:00:37. > :00:48.Prime Minister, who has already struck a series of energy deals in
:00:49. > :00:52.Mexico. Welcome to the programme. Also in the programme, we focus on
:00:53. > :00:58.how the internet is radically changing the way we work. But is it
:00:59. > :01:03.always lucrative? It is an important week for Argentina. It must either
:01:04. > :01:09.pay up or default on money owed to a group of hedge fund investors due on
:01:10. > :01:14.Wednesday. It harks back to 2001, when Argentina found itself in
:01:15. > :01:20.financial turmoil. A majority of bondholders agreed to a debt swap
:01:21. > :01:32.deal at the time but some held out Andy `` and if Argentina fails to
:01:33. > :01:35.pay up... Argentina is rich in resources, has a well`educated
:01:36. > :01:41.workforce and is one of South America's largest economy is full of
:01:42. > :01:45.it has also fallen prey to a boom and bust cycle. In 2001, more than
:01:46. > :01:50.half of the possible `` population were living in poverty, triggering
:01:51. > :01:55.unrest. The country struggled with debt default and currency
:01:56. > :01:59.devaluation. By 2003, a recovery was under way and the IMF agreed to a
:02:00. > :02:03.vital new loan. Since then, Argentina has restructured most of
:02:04. > :02:09.its massive debt, offering creditors new bonds for the defaulted ones and
:02:10. > :02:12.has repaid the IMF. But some investors have not been willing to
:02:13. > :02:17.accept the debt swap offer and are instead insisting that they are paid
:02:18. > :02:23.in full. Argentina has until the 30th of July to find a solution or
:02:24. > :02:27.possibly default again. It also fears that a settlement would prompt
:02:28. > :02:31.claims from other investors, who felt shortchanged by the original
:02:32. > :02:36.debt restructuring. In the meantime, the economy is still struggling,
:02:37. > :02:40.poverty remains rife and unemployment high, with many
:02:41. > :02:51.Argentines still awaiting the benefits of the economic upturn.
:02:52. > :03:00.Thank you for joining us. Who are these so`called vulture investors?
:03:01. > :03:08.What is the likely outcome of this? This is a group of mainly hedge
:03:09. > :03:13.funds who have bought up the debt since the economic turmoil of 2001.
:03:14. > :03:19.They refused to participate in previous debt exchanges that place
:03:20. > :03:23.in 2005 and in 2010, when investors took a 65% loss on their holdings.
:03:24. > :03:31.And they have pursued Argentina in the courts for the last ten years,
:03:32. > :03:38.almost. This long`running saga has now come to an end. The US Supreme
:03:39. > :03:41.Court declined to hear Argentina's appeal and now Argentina faces
:03:42. > :03:47.possible default as soon as this Wednesday. Wednesday, they could
:03:48. > :03:54.default if they do not strike a deal with a small number of holdout
:03:55. > :03:58.lenders. Why would they choose to default when actually, it is a small
:03:59. > :04:03.number of people... The bill they would have to pay to them is not
:04:04. > :04:09.that large. Argentina is reluctant to make the payment because of a
:04:10. > :04:12.clause that was part of something that was written into the original
:04:13. > :04:17.debt exchange. This basically entitles the restructured
:04:18. > :04:22.bondholders to better terms if Argentina voluntarily makes a better
:04:23. > :04:30.offer to the holdouts. The definition of voluntarily is up for
:04:31. > :04:36.grabs, really, but Argentina said it could be open to a series of other
:04:37. > :04:39.demands and further litigation, which would be extremely costly, and
:04:40. > :04:42.it simply does not have the resources to pay everyone else who
:04:43. > :04:48.would cascade on from this holdout campaign. Briefly, if Argentina
:04:49. > :04:55.chooses to default on Wednesday, what then? The main impact would be
:04:56. > :05:00.domestic. This would deepen a recession that is already under way
:05:01. > :05:04.in Argentina, exacerbating some of the existing economic imbalances in
:05:05. > :05:09.the country such as inflation. It would put pressure on the currency,
:05:10. > :05:14.the reserve. The risk of economic contagion is actually fairly
:05:15. > :05:18.limited. There would probably be an impact on Brazil because it is an
:05:19. > :05:21.important trading partner for Argentina but really, this has
:05:22. > :05:27.already been priced in. Some form of default has been priced in by the
:05:28. > :05:32.markets already. Thank you. Very clear analysis. Something we are
:05:33. > :05:37.keeping a close eye on as this week progresses. We will update you on
:05:38. > :05:40.any deal done. This week, we are taking a look at the working lives
:05:41. > :05:46.of the Next generation, especially the ones who have been able to put
:05:47. > :05:49.their passions into paid work and are creating entirely new careers as
:05:50. > :05:54.a consequence. In India, the internet is changing the way many
:05:55. > :05:58.people work. While millions of people write blogs for fun, some can
:05:59. > :06:03.make a living for it, as long as they choose the right topic with a
:06:04. > :06:07.large audience. And in India, Bollywood blogging is a pretty
:06:08. > :06:19.popular activity. We report from Mumbai. Every week, this woman chats
:06:20. > :06:24.with Bollywood celebrities and asks them anything she likes. She is not
:06:25. > :06:28.a television presenter and this is not a television show. It is a
:06:29. > :06:33.Google hangout, a live event broadcast across the internet and a
:06:34. > :06:39.spin`off from her job as one of India's most famous bloggers. Her
:06:40. > :06:43.blog covers news and gossip mainly about the world of show business,
:06:44. > :06:50.especially Bollywood. Started as a hobby six years ago, she decided to
:06:51. > :06:54.go full`time in 2011. Now, there is so much web traffic that she has a
:06:55. > :06:57.small team of people working for her. If you want to be a good
:06:58. > :07:03.blogger, your passion should be for your art and your blog. You cannot
:07:04. > :07:09.decide to choose any topic and just get money from it. There has to be
:07:10. > :07:11.depth and content. There are millions of bloggers around the
:07:12. > :07:17.world, writing on anything you can imagine on the latest fashion trends
:07:18. > :07:23.to technology and tattoos. Some try to make money by accepting
:07:24. > :07:25.advertisements on their blog or by offering paid reviews. But the
:07:26. > :07:30.reality is that relatively few people make good money out of it.
:07:31. > :07:35.Not that it stops people from trying. Every week, you will find
:07:36. > :07:38.this 24`year`old woman in the colourful streets of Mumbai, getting
:07:39. > :07:43.her photograph taken in different outfits for her fashion blog. She
:07:44. > :07:46.has been doing this for almost one year and even though her blog
:07:47. > :07:55.receives 10,000 visits per month, she cannot make a living from it.
:07:56. > :07:59.They tend to think that I do not have enough comments on my blog
:08:00. > :08:05.sections, so they would not pay me for my opinions. I have been working
:08:06. > :08:10.for free. I have not made any money. Back in the office, we are
:08:11. > :08:17.discussing ideas with the team. Right now, only about 20% of Indians
:08:18. > :08:20.use the internet but that is increasing all of the time. While
:08:21. > :08:25.online trends are always changing, you can expect plenty more people
:08:26. > :08:30.will launch blogs about subjects they are passionate about, even if
:08:31. > :08:35.turning that hobby into a flourishing career remains a
:08:36. > :08:39.struggle. If you are watching us, you will
:08:40. > :08:50.know that last week, Japanese President `` you would know that
:08:51. > :08:54.last week, Chinese Premier Xi Jinping was in Latin America. And
:08:55. > :09:00.this week, it is the turn of Japanese Prime Minister Shinzo Abe.
:09:01. > :09:03.There is no Argentina on this itinerary but Shinzo Abe has been
:09:04. > :09:08.very busy nonetheless. He arrived in Mexico on Friday, signing a whole
:09:09. > :09:13.series of deals including in the energy sector. Since the shutdown of
:09:14. > :09:17.the country's nuclear reactors, energy has been very high on the
:09:18. > :09:25.agenda or Japan. And it comes very hot on the heels of a visit to the
:09:26. > :09:29.region by Chinese Premier Xi Jinping. They are wondering whether
:09:30. > :09:32.the billions of dollars of agreements signed by China can be
:09:33. > :09:38.matched by Japan. I do think it is more coincidental than anything else
:09:39. > :09:41.because Japan, while it is interested in the resources of Latin
:09:42. > :09:45.America, it is looking for a number of different things than China is.
:09:46. > :09:50.Certainly Shinzo Abe is after oil and gas deals but he is also looking
:09:51. > :09:52.for investment opportunities, new markets and Japanese exports,
:09:53. > :09:58.remembering that Latin America is home to some 600 million potential
:09:59. > :10:02.consumers, and it is also about diplomacy. Shinzo Abe is expected to
:10:03. > :10:06.try and rally support for Japan's bid to gain a permanent seat on the
:10:07. > :10:14.UN Security Council. Lots of areas for Shinzo Abe to cover. That is all
:10:15. > :10:29.for now. I will see you soon for the newspaper review.
:10:30. > :10:30.Thank you. And we will get to that review in a moment. First,