Browse content similar to 18/08/2014. Check below for episodes and series from the same categories and more!
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unrest following the shooting of the teenager, reportedly unarmed, | :00:00. | :00:00. | |
Michael Brown. We will keep you up`to`date. | :00:00. | :00:19. | |
Two more airlines has suspended flights to different African | :00:20. | :00:22. | |
destinations in the wake of the Ebola outbreak. If more airlines | :00:23. | :00:28. | |
begin to follow suit, what impact will that have on the broader | :00:29. | :00:33. | |
African economy? And in Switzerland, cheesemakers and | :00:34. | :00:35. | |
other businesses get ready to cash in on the EU and US sanctions on | :00:36. | :00:38. | |
Russia. Welcome to World Business Report. | :00:39. | :00:56. | |
I'm Aron Heslehurst. Let's have a look at the latest business news. We | :00:57. | :01:02. | |
will talk about Switzerland and we have the latest growth figures from | :01:03. | :01:05. | |
Thailand. First, Kenya Airways has suspended all commercial flight | :01:06. | :01:07. | |
operations to Liberia and Sierra Leone from midnight Tuesday. The | :01:08. | :01:11. | |
suspension comes after Korean Air announced last week it. All flights | :01:12. | :01:14. | |
to and from Kenya from Wednesday this week. That underlines the | :01:15. | :01:19. | |
growing fears outside of Africa about the spread of Ebola, however, | :01:20. | :01:22. | |
so far there have been no cases in East Africa, let alone Kenya. If | :01:23. | :01:30. | |
more airlines begin to follow suit, what impact will that have on the | :01:31. | :01:39. | |
broader African economy? Razia Khan, Regional Head of | :01:40. | :01:41. | |
Research for Africa at Standard Chartered, joins us. Looking at this | :01:42. | :01:51. | |
story, you think there are mixed messages coming from the World | :01:52. | :01:55. | |
Health Organization. On one hand they say the outbreak has been | :01:56. | :01:59. | |
farcically underestimated and requires extraordinary measures on a | :02:00. | :02:05. | |
massive scale. `` drastically. But they say they aren't urging | :02:06. | :02:07. | |
organisations to put a blanket ban on travel. It's a hard decision. | :02:08. | :02:12. | |
Unfortunately this is adding to some degree of confusion in the `` in | :02:13. | :02:18. | |
relation to the response required. The Kenyan economy isn't yet | :02:19. | :02:22. | |
impacting but of course it is important as a travel hub. It has | :02:23. | :02:27. | |
the kind of infrastructure that Africa needs more of, in terms of | :02:28. | :02:33. | |
boosting trade. Yet we've had the guidance from the World Health | :02:34. | :02:35. | |
Organization that Kenya might be considered at high risk, precisely | :02:36. | :02:43. | |
because it's a hub. It's also a big hub for cargo. For a lot of that | :02:44. | :02:47. | |
region, it is the gateway to East Africa. A lot of the region's | :02:48. | :02:52. | |
perishables, the produce we consume, go through Nairobi and have to go on | :02:53. | :02:58. | |
planes. Absolutely. Economically, there have been concerns about | :02:59. | :03:01. | |
travel warnings and security issues in Kenya, which have led to a | :03:02. | :03:05. | |
falloff in tourism numbers. Because Kenya is such a big hub for culture | :03:06. | :03:12. | |
and horticulture exporter, it does need this frequency of air traffic | :03:13. | :03:15. | |
into the country to be able to keep cargo costs down. If we see any more | :03:16. | :03:20. | |
cancellations that can potentially have more in `` more than in fact on | :03:21. | :03:27. | |
exports. Is this the start to that? I spoke to experts over economic | :03:28. | :03:30. | |
worries about Ebola and the wider impact on Africa, is busy start to | :03:31. | :03:36. | |
the content and worries? Not of the virus but economic contagion what | :03:37. | :03:46. | |
about Nigeria? `` contagion worries? This is the situation around Nigeria | :03:47. | :03:52. | |
that we have to focus on closely. There was a Liberian traveller going | :03:53. | :03:56. | |
into Lagos. That's the economic hub of the entire sub region. Nigeria is | :03:57. | :04:01. | |
the largest economy in Nigeria, Lagos the centre of a lot of the | :04:02. | :04:04. | |
commercial activity that takes place. So far the impact has been | :04:05. | :04:10. | |
relatively contained and it's hard to pinpoint a clear economic | :04:11. | :04:13. | |
impact. But, should be getting is that this is, greater severity, of | :04:14. | :04:17. | |
Ebola, this could all change and change rapidly. Clearly the risks | :04:18. | :04:23. | |
are there. Risks and worries. Is there a worry that Korean air could | :04:24. | :04:28. | |
be setting the precedent for other airlines to follow? For the moment | :04:29. | :04:35. | |
that kind of reaction is seen as fairly limited. We haven't crucially | :04:36. | :04:39. | |
seen the same for many European airlines, but are more crucial to | :04:40. | :04:44. | |
those ex` other routes. For the moment, this is a developing | :04:45. | :04:47. | |
situation and we will have to monitor it carefully. `` other | :04:48. | :04:58. | |
airline routes. Indeed. Thank you. Now, is it a nice little opportunity | :04:59. | :05:03. | |
or an awkward dilemma? Non EU member Switzerland is in a quandary over | :05:04. | :05:08. | |
Russian sanctions. It hasn't imposed them and so its own goods, like the | :05:09. | :05:12. | |
cheese you can see here, aren't subject to that tit for tat spat and | :05:13. | :05:15. | |
those Russian food banks, a situation that doesn't please | :05:16. | :05:17. | |
Switzerland's biggest trading partner, the European Union. | :05:18. | :05:31. | |
Switzerland has something the Russians crave. Cheese. Here, they | :05:32. | :05:37. | |
have been exporting to Russia for 20 years and now the Russians want | :05:38. | :05:44. | |
more. Much more. Since last Wednesday we received maybe 15 calls | :05:45. | :05:50. | |
from Russia every day. A lot of queries about cheese or dairy | :05:51. | :05:55. | |
products. Russia's bands from EU countries on dairy products means | :05:56. | :05:59. | |
its supermarkets will soon be empty of French camembert or Dutch food. | :06:00. | :06:05. | |
So, the Russians are turning to Switzerland. `` Dutch gouda. But the | :06:06. | :06:11. | |
Swiss want to take `` stay neutral. The government won't adopt | :06:12. | :06:16. | |
sanctions. They say Switzerland would be the place to break them. | :06:17. | :06:20. | |
The policy has highlighted many close ties the Swiss have with | :06:21. | :06:24. | |
Russia. Geneva in particular has strong business ties with Russia. | :06:25. | :06:29. | |
The city is a global hub for commodities trading and 75% of | :06:30. | :06:37. | |
Russian oil is traded here. 66% of Russian green. Sanctions on Russian | :06:38. | :06:40. | |
banks and on Russian individuals could affect this business. `` | :06:41. | :06:46. | |
grain. Geneva traders say they will be forced to comply, whatever | :06:47. | :06:51. | |
Switzerland's policy. Traders are active everywhere in the world. They | :06:52. | :06:54. | |
are already subject to US and EU sanctions, it was of the present in | :06:55. | :07:01. | |
this market. They have to care about that and they have to care for their | :07:02. | :07:04. | |
reputation, also because of the financing, which is transactional | :07:05. | :07:09. | |
financing. This means they have to be careful, so counterparties don't | :07:10. | :07:16. | |
come up against someone who has sections. The opportunity for Swiss | :07:17. | :07:20. | |
cheese makers may not be so great. Unlike the French or Dutch, they are | :07:21. | :07:24. | |
too small to produce the industrial quantities Russia now wants. Its | :07:25. | :07:29. | |
efforts not to take sides in the sanctions may cause Switzerland more | :07:30. | :07:31. | |
pain than gain. We will keep across that story. A | :07:32. | :07:43. | |
sigh of relief in Thailand, as the country narrowly avoided recession. | :07:44. | :07:46. | |
The economy grew 0.9% in the second quarter from the previous three | :07:47. | :07:49. | |
months and 0.4% from a year earlier. Saranjit Leyl is in our Asia | :07:50. | :07:57. | |
Business hub in Singapore. Not bad, given all the worries we had after | :07:58. | :08:03. | |
the last government upheaval. That's right. The growth of just .4% from | :08:04. | :08:10. | |
the previous year, ever so slightly. It does mean Thailand | :08:11. | :08:14. | |
avoids that technical recession everyone feared. The first three | :08:15. | :08:17. | |
months of this year we saw that political chaos, thousands | :08:18. | :08:21. | |
protesting in Bangkok. That's when the economy shrank nearly 2%. | :08:22. | :08:26. | |
Despite the political uncertainty, they are actually seeming to have | :08:27. | :08:32. | |
helped the economy slightly. They have ended the political and | :08:33. | :08:36. | |
economic impasse and this growth basically shows an uptake in | :08:37. | :08:39. | |
consumer confidence, investor confidence as well to summit stand | :08:40. | :08:42. | |
and busily courage the military government, which is said to impose | :08:43. | :08:47. | |
an $80 million budget today to date is delayed the economy. They have | :08:48. | :08:53. | |
renewed payments to farmers, restarted in `` infrastructure | :08:54. | :08:56. | |
plans. They have cut fuel prices. They hope all of this will get the | :08:57. | :09:00. | |
economy going again until some sense of political stability is restored. | :09:01. | :09:06. | |
We know other elements of the economy haven't been doing well, | :09:07. | :09:09. | |
reticular literalism, which is a key part of the Thai economy and counts | :09:10. | :09:14. | |
for some 10% of the total. `` especially tourism. The number of | :09:15. | :09:19. | |
visitors has fallen nearly 12% in the first couple of months of this | :09:20. | :09:23. | |
year from the previous year. Thank you for the update. You can tweak me | :09:24. | :09:30. | |
as well. I will be back shortly to have a look at the headlines from | :09:31. | :09:31. | |
around the world. `` tweet me. We will go to the papers in a | :09:32. | :09:46. | |
moment. First, courts in England | :09:47. | :09:47. |