:00:00. > :00:00.window ` which has now closed ` setting a new record. The transfer
:00:00. > :00:07.window will reopen in January. Those are the latest headlines from
:00:08. > :00:08.BBC News. Now for the latest financial news with Ben Thompson and
:00:09. > :00:21.World Business Report. Detroit goes to court. As bankruptcy
:00:22. > :00:32.proceedings begin, the city's residents battle to get access to
:00:33. > :00:35.basic services. Easing the burden: Greece starts
:00:36. > :00:40.talks in Paris over cutting its debts as its six`year recession
:00:41. > :00:54.looks set to end. Welcome to World Business Report. I'm Ben Thompson.
:00:55. > :00:57.Also in the programme, we head live to Singapore and ask if ` as the
:00:58. > :01:03.latest round of Trans pacific trade talks kick off ` a deal in November
:01:04. > :01:06.is really likely. But first, after decades of
:01:07. > :01:08.mismanagement, Detroit has finally hit financial rock bottom. The trial
:01:09. > :01:12.for the largest municipal bankruptcy in US history is scheduled to start
:01:13. > :01:15.on Tuesday. The city hopes to cut its current debt bill of $12 billion
:01:16. > :01:18.to a more manageble $5 billion. But with thousands of creditors and
:01:19. > :01:21.complex union and pension issues to resolve, Detroit's bankruptcy could
:01:22. > :01:24.well take over a year to sort out. In the meantime, nearly half of the
:01:25. > :01:27.city's residents are struggling to maintain even basic services as
:01:28. > :01:32.Samira Hussain reports from the city.
:01:33. > :01:39.This is a scene that is beginning to play out on many streets in Detroit.
:01:40. > :01:47.Workers are turning people 's water back on. This woman is 38 weeks
:01:48. > :01:54.pregnant. She and her five`year`old daughter have spent days without
:01:55. > :02:01.water. It was devastating, not having water. It was limited to
:02:02. > :02:08.taking a bath, cooking, cleaning. It was nerve wracking. Her days without
:02:09. > :02:12.water are behind her. Yes, the what is on. It is not the
:02:13. > :02:19.case for many residents of Detroit. `` the water. Many are waiting to
:02:20. > :02:28.pay bills saw their tabs can be turned on. `` saw their taps. The
:02:29. > :02:35.water department is owed more than $80 million. For a city that has
:02:36. > :02:39.tried to dig itself out of crushing debt, it cannot afford that many
:02:40. > :02:47.unpaid bills. We are standing up and saying mall. No one expects to be
:02:48. > :02:51.talking about the lack of water in a major American city, especially one
:02:52. > :02:57.that sits next to a large source of freshwater. Such a beehive times in
:02:58. > :03:00.Detroit, the once prosperous home to the auto industry in America is now
:03:01. > :03:09.known to be the largest city to live file for bankruptcy. Abandoned homes
:03:10. > :03:16.litter many neighbourhoods. At its peak in the 1950s, 1.8 million
:03:17. > :03:21.people lived there. Now, only around 700,000 men and around 50% of them
:03:22. > :03:28.live in poverty. Many are struggling for what. Jobs are gone. We are
:03:29. > :03:33.barely making it as it is. He checks have been cut. Now you take the one
:03:34. > :03:38.thing that we need to sustain life. This woman is giving away water from
:03:39. > :03:43.her home saw people without can get some for free. It is a sign that
:03:44. > :03:48.even as the infrastructure crumbles, the sense of community in Detroit
:03:49. > :03:53.has not. Now the city is waiting for the courts to do their part and
:03:54. > :03:55.approve a new financial plan. That will mean Detroit can begin to
:03:56. > :04:04.rebuild. We will have more and that
:04:05. > :04:08.throughout the day. Now, let's turn our attention to other stories.
:04:09. > :04:11.A year ago this month, these were the scenes in cities around Greece.
:04:12. > :04:20.Thousands of workers hit the streets to protest against further austerity
:04:21. > :04:24.measures and public sector layoffs. Now, seven years on, and the country
:04:25. > :04:26.is finally on track to report economic growth. To mark this
:04:27. > :04:29.turning point, the Greek Finance Minister and other senior figures
:04:30. > :04:31.will arrive in Paris for talks on Tuesday aimed at restructuring
:04:32. > :04:35.Greece's debt burden. The meeting with the Troika of creditors ` the
:04:36. > :04:38.ECB, the EU and the IMF ` will look at how interest rates on the
:04:39. > :04:41.outstanding debt can be reduced and whether the repayment schedule can
:04:42. > :04:44.be extended. While many Greek people claim they have suffered enough,
:04:45. > :04:52.some lenders question whether Greece has really done enough to deserve
:04:53. > :04:55.such leniency over its debts? Let's speak to a senior fellow at the
:04:56. > :05:17.European think tank and author of the report, , The Greek debt trap:
:05:18. > :05:22.an Escape Plan'. What sort of reforms are we looking at? A tax on
:05:23. > :05:30.incomes and heating oil. It indicates that something may come
:05:31. > :05:35.from the recession. It is interesting that some want to grant
:05:36. > :05:44.the tax cuts but savings must be made elsewhere. It is difficult to
:05:45. > :05:49.see that they could come from. Greece may need a primary balance in
:05:50. > :05:56.the central budget but it should increase to approximately 4%. The
:05:57. > :06:00.Greek public in that situation should see significant improvement
:06:01. > :06:07.in coming years. What does it tell us about the state of the economy
:06:08. > :06:11.when you touch on things like modest growth being expected? There are
:06:12. > :06:18.many different features. It suggests that the economy is on the mend but
:06:19. > :06:24.it is not yet they are, clearly. The Greek economy collapsed by almost
:06:25. > :06:30.25% in the last six years. It is starting to grow. For this year, a
:06:31. > :06:35.small growth of 0.6% is forecast. The big question will be, how will
:06:36. > :06:42.the economy picked up in the medium term? Will they be able to meet this
:06:43. > :06:49.4.5% nominal growth in coming years, as was the plan by the troika.
:06:50. > :06:57.Greeks have faced a number of years of severe austerity. Clearly there
:06:58. > :07:01.is a need for a respite for these people who have been suffering.
:07:02. > :07:06.Looking at stronger economies like Germany, France, Northern European
:07:07. > :07:09.economies, they will wonder why they must ease the terms for people who
:07:10. > :07:13.are paying the price after having it so good for so long. The
:07:14. > :07:22.unemployment rate increase is more than 27%. People who would like to
:07:23. > :07:26.work cannot work. The economy collapsed by 25%. It was a dramatic
:07:27. > :07:36.price that the Greek economy and the Greek people had to pay. I think
:07:37. > :07:40.that some Europeans have clearly justified this. They need to emerge
:07:41. > :07:46.from this deep mass that they are currently in. More to follow. Thank
:07:47. > :07:53.you very much indeed. We will have more on those talks as we get it.
:07:54. > :08:02.Kidd trade deal finally be signed at the years of negotiations between
:08:03. > :08:05.the US and Asia? On Tuesday, the 12 nations involved in the Pacific Rim
:08:06. > :08:08.free trade initiative will meet in Vietnam to resolve the issues that
:08:09. > :08:11.have ` until now ` blocked progress. And pressure is on for progress
:08:12. > :08:16.before US President Obama travels to the region in two months time. So
:08:17. > :08:21.can a deal be done by November? Rico Hizon is following this story for us
:08:22. > :08:27.from our business news hub in Asia. Good to see you. What is still
:08:28. > :08:31.holding up progress here? There are issues like international
:08:32. > :08:33.property rights protection, preferential treatment of
:08:34. > :08:38.state`owned enterprises and the environment. What intellectual
:08:39. > :08:45.property, there are issues over the protection period of new medicines.
:08:46. > :08:48.It could affect the availability of generic medicines. Also, there
:08:49. > :08:54.competition. Vietnam has opposed to this. Setting up unified rules is
:08:55. > :08:59.not good for them because the economy is dominated by such
:09:00. > :09:02.companies. Japan and the US must talk about aligning differences on
:09:03. > :09:07.automobiles and agricultural products. In the next ten days, a
:09:08. > :09:10.lot of hard work, feeling and dealing, finding solutions to
:09:11. > :09:16.differences. A lot of hard work to make sure it
:09:17. > :09:21.is done. Is it reasonable to expect the deal can be done by November?
:09:22. > :09:26.There is a lot of pressure right now on the participating countries. At
:09:27. > :09:34.the moment, it is nine years and counting. There are accounts for
:09:35. > :09:38.around 40% of global GDP and 1% of world trade. The Americans want a
:09:39. > :09:47.significant outcome in time for the trip. I spoke to Deborah from the
:09:48. > :09:53.Asian trade system earlier. It is important. If it is not done, it
:09:54. > :09:57.gets caught up. It may not be able to be finished. After all these
:09:58. > :10:02.years of negotiating, it is a very important deal for Asia, I would
:10:03. > :10:07.argue, to get stuck in electoral politics in the US if they do not
:10:08. > :10:11.close the deal in November. A blueprint could be achieved, giving
:10:12. > :10:13.the mid`term elections, that would make it difficult for Washington to
:10:14. > :10:17.make these tricky political divisions.
:10:18. > :10:25.Thank you for talking to us, because he's on. You're up`to`date with the
:10:26. > :10:34.business. I will say you shortly to take a look at the newspapers.
:10:35. > :10:43.Thank you for that, Ben. The papers are coming up shortly. First, from
:10:44. > :10:48.Tuesday, every child in their first two years of primary school in
:10:49. > :10:49.England should receive free school meals. 98% of schools will provide