11/01/2017 World Business Report

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As Donald Trump gets ever closer to the White House,


will he heed calls to step down from his vast business empire once


and put his assets in a blind trust?


And where in the world will there be growth in 2017?


The World Bank says Brazil and Russia will prosper


despite the shadow of uncertainty from the United States.


VW is on the verge of parking the emissions scandal in the United


States. Details in just a moment. In the last few hours we've heard


President Obama's farewell speech with just over a week left in charge


of the world's biggest economy. Later today his successor


Donald Trump will give a long-awaited press conference,


his first since winning And there are still questions


about how he will separate himself In his latest disclosure,


the President-elect revealed These have had dealings


in least 25 countries in Asia, Europe, Africa,


South America and North America. Democratic Party politicians


are amongst those to express concerns this could influence his


policies towards some He derives much of his income


from developing real estate and operating


golf courses in the US, Britain, Ireland and


the United Arab Emirates. But he also makes money


licensing the Trump name to property developers


around the world. Some of those projects have been


engulfed in controversy. However, it should be


noted that as president he is legally allowed to continue


to run his businesses. But previous presidents have


put their businesses into blind trusts to prevent


conflict of interests I'm outside 40 Wall St in front of a


building that is managed by the Trump Organisation, effectively


making Mr Trump the landlord. Trouble is, several of the tenants


inside this building are being investigated by government


regulators, and if they're found guilty of any wrongdoing, they could


stop operating, which means they would no longer be paying rent to Mr


Trump. But as president, Mr Trump could push for more lenient


sentences or make the charges go away, effectively ensuring he


continues to make money. If we make our way further uptown, we find


ourselves at Deutsche Bank, one of Mr Trump's biggest lenders. The


German bank continued to work with him even as several of his


businesses went bankrupt. Deutsche Bank is also facing billions of


dollars in fines from the US government, stemming from the


financial crisis. Regulators could rule with a softer touch given the


bank's history with the President-elect. We need to make one


more stop on our New York tour. I've shown you two examples of potential


conflicts but move over just a few blocks and you end up at Ground Zero


for the Trump business empire, with the potential conflicts of interest


multiplied many times over. The company's massive global Holdings


and international ties mean opportunities for corruption go far


beyond New York City. Foreign countries could question how their


treatment of the President-elect's business interests will impact


diplomatic relations. This is truly unprecedented territory for an


American President. Democrats are proposing legislation that would


force Mr Trump and his family to sell any assets that could pose any


conflicts. But without Republican support it is unlikely to pass.


Samira Hussain, BBC News, New York. With me is Allyson Stewart-Allen,


Chief Executive of International Marketing Partners who help


companies develop in overseas markets and in the US


in particular. Nice to see you. We've outlined some


of the issues, it is what everyone wants to know in the press


conference, what he will do about his business empire. What do you


think he will say? I think he's going to be a bit vague because he


was asked in the campaign about his tax returns and there wasn't a


concrete answer given. Legally he can continue to run his businesses,


but perception is everything and when you are trying to engender the


trust of the American people from day one, as a new president, you


probably want to go into that office not on the back foot but from a


position of strength with a mandate that people say... You have our


mandate and our vote, we trust you and trust is the key word here. He's


going to have to do something more than just a token gesture. It's not


just about him but about his daughter and his son-in-law and the


various family members who have been involved in running his businesses


with him for years. They would also have to step back? If you want to


be... If you want to get the perception that you're doing things


by the book and ethically then a conflict of interest means that you


are... You don't have your own family members in the next. By


having your family members in the mix your obviously compromised, you


have an interest. -- members in the mix. It's about not having an


interest fundamentally. What are you advising companies that approach you


about dealing with the US from here on in? Of course it's difficult to


know what a Trump presidency will be like when it comes to trade and


protectionism, all those issues. Absolutely. In the case of my


clients, I'm recommending it is business as usual until we know


whether there will be import tariffs, what taxation regime we are


looking at once he's in. The ambiguity is high and therefore


companies can't sit and wait. They still need to go for the


opportunities that the US afford them and during this time that we


are still trying to figure out where he's coming from, used to have to go


after and build your business in the country, so it shouldn't put people


off or stop them. We will watch this space and I will talk to you about


it in the future. Thank you for coming in this morning.


So that's what's ahead for Donald Trump but what about the rest


The World Bank is predicting 2017 is going to be a difficult year


for achieving one of its main aims of cutting extreme poverty.


But it expects the global economy to grow by two point 7% mainly


thanks to improvements in emerging markets such as Brazil and Russia.


But what about the world's two biggest economies,


where the new president's policies remain unclear.


We know one thing, it could be one way or another, some kind of tax


reduction on the corporate income side and personal income side as


well. If we just simply focus on those tax cuts, that will translate


into high growth in the United States as well as higher growth in


the global economy. Having said that there are many caveats, China is


going to continue its slowdown, we expect growth to be around 6.5%.


Authorities have done a remarkable job taking this economy, growing at


De double-digit rates to the rates we see now.


Let's cross to our Asia business correspondent Karishma Vaswani.


Tell us more about the World Bank report. As you were saying and as we


heard from the World Bank a few minutes ago, the key focus in this


part of the world is China, the second largest economy and the World


Bank says it will make that gradual slowdown to 6.5% this year, keeping


in line with the broad estimates we have seen from the Chinese


government. The government expects the economy to slow down to around


6.7% this year. The King and the rest of Asia, the World Bank says


emerging economies will do better than last year, pointing to above 4%


for the region excluding China. -- looking at. That's better than what


we saw in 2016. That's largely on the back of commodity prices, we


seen a pickup there over the last few months. That is helping emerging


market economies like Indonesia and Malaysia. Thanks very much indeed,


Karishma Vaswani, in our bureau in Singapore. That is it from WBR.


Prosecutors in the US have charged three UK based former currency


traders with trying to rig foreign exchange rates, they worked at


Morgan, Citigroup and Barclays. You can see more on that online and you


can read about Volkswagen's advisory board said to me today to sign of an


agreement with the US Department of Justice and customs. As soon as we


get news on that we will update you. Thanks for watching and I will see


you in a moment to review the press.