:00:00. > :00:00.Now for the latest financial news with Sally
:00:00. > :00:21.After last week's massive cabinet reshuffle, President Zuma may face
:00:22. > :00:28.We talk you through what's at stake.
:00:29. > :00:34.Toshiba shares plunge in Tokyo again on reports it may miss it's results
:00:35. > :00:57.In a moment we will look at the property market in Beijing as well.
:00:58. > :01:00.We begin in South Africa where the parliament's speaker
:01:01. > :01:02.is considering a no-confidence vote request from the opposition
:01:03. > :01:07.This comes after the country's finance minster, Pravin Gordhan,
:01:08. > :01:09.and many other cabinet members, were sacked last week
:01:10. > :01:12.by the President which has had a big impact.
:01:13. > :01:21.Within hours of Mr Gordhan's removal, the South African currency,
:01:22. > :01:24.the rand, fell sharply and was down over 5% against the dollar
:01:25. > :01:30.The share markets were also impacted seeing their biggest drop since 2015
:01:31. > :01:37.with government bonds and banking stocks falling hardest.
:01:38. > :01:42.Mr Gordhan's successor, Malusi Gigaba, has called
:01:43. > :01:44.for a radical transformation of the economy
:01:45. > :01:47.but as yet there are few details of what his plans are.
:01:48. > :01:51.However it is likely the cost of borrowing will increase further.
:01:52. > :01:55.And that is because of a likely downgrade by the credit
:01:56. > :01:59.It is due to deliver its verdict on Friday.
:02:00. > :02:04.Many analysts now predict South Africa to be downgraded
:02:05. > :02:10.William Attwell, Senior Analyst - Sub-Saharan Africa at
:02:11. > :02:26.Good morning. You are from Cape Town so you know this economy extremely
:02:27. > :02:33.well. How is that doing? We have shifted to a low growth trajectory.
:02:34. > :02:37.Last year analyst were looking at whether the economy could enter
:02:38. > :02:42.recession but some indicators have turned around. We have been moving
:02:43. > :02:51.to slightly more positive growth, still below 1% but nevertheless
:02:52. > :02:58.positive. With Pravin Gordhan at the helm, he had put in some good
:02:59. > :03:05.elements to get the economy going? He had placed to meet credit ratings
:03:06. > :03:16.and this improved sentiment was South Africa. Pravin the currency is
:03:17. > :03:26.one of the strongest. A dramatic cabinet reshuffle by President Zuma,
:03:27. > :03:33.why? It is a leader the ANC, the ruling party, leadership election
:03:34. > :03:40.and what this represents is a power grab by President Jacob Zuma to try
:03:41. > :03:46.to control access to financial resources of the State which is
:03:47. > :03:50.important to the machine which is brought into office and kept him
:03:51. > :03:56.that, as well as silencing and sidelining some of his critics in
:03:57. > :04:04.the Cabinet. What do we know about Malusi Gigaba? No financial
:04:05. > :04:16.experience. He was the former home affairs Minister. He is a supporter
:04:17. > :04:22.of President Zuma? Absolutely. What people are worried about is that he
:04:23. > :04:26.will turn a blind eye to some of the corruption which character rises
:04:27. > :04:32.this administration. Will the vote of no-confidence happen? Not
:04:33. > :04:37.immediately, Parliament is not sitting at the moment and the
:04:38. > :04:43.Speaker is a close ally of President Zuma. We will watch this space and
:04:44. > :04:45.any news we will update you. Toshiba shares fell as much as 9.4
:04:46. > :04:48.percent this morning, before recovering somewhat,
:04:49. > :04:50.on reports that it may miss its earnings deadline
:04:51. > :04:57.for the third time. It's now expected that its shares
:04:58. > :05:00.will be demoted to the second section of the Tokyo
:05:01. > :05:05.Stock Exchange in August. Mriko Oi is in our Asia
:05:06. > :05:19.Business Hub in Singapore. The third time it is missing the
:05:20. > :05:23.earnings report that what does it mean? Surely it will get into
:05:24. > :05:30.trouble with the authorities? It basically means its shares of will
:05:31. > :05:37.likely be demoted to the second section or even face delisting later
:05:38. > :05:42.this year. We were supposed to find out its earnings next week that
:05:43. > :05:48.there have been reports the company is likely to miss it yet again, for
:05:49. > :05:52.the third time and that is my shares have been falling sharply in Tokyo
:05:53. > :05:58.this morning. Interesting news is well on Toshiba, it's memory chip
:05:59. > :06:04.unit, shareholders reluctantly agreed to sell it, and over the
:06:05. > :06:11.weekend one newspaper reported the names including Apple, Amazon on,
:06:12. > :06:16.and Google, are interested in joining ten other potential readers
:06:17. > :06:22.say that will be an interesting bidding war and it is an important
:06:23. > :06:27.dimension that in Tokyo there is quite a lot of pressure to keep
:06:28. > :06:33.practically these crown jewel of Toshiba instead of selling to a
:06:34. > :06:34.foreign buyer. Thank you very much indeed.
:06:35. > :06:37.Now, lets take a look at the property sector in Asia.
:06:38. > :06:41.Are we experiencing a boom, a bust or a bubble?
:06:42. > :06:44.Our collegues in the region have been busy looking at the property
:06:45. > :06:48.market all over Asia, and we begin today
:06:49. > :06:51.in China, where housing has become unaffordable for many young adults.
:06:52. > :07:12.Stephen McDonnell sent this report from Beijing.
:07:13. > :07:22.It starts off the evening, rush-hour in Beijing and the young workers are
:07:23. > :07:28.pouring out into the massive subway are low. They will join the commute
:07:29. > :07:35.to the outer suburbs. There is no way most people young people here
:07:36. > :07:39.can afford to buy a flat downtown in fact it is hard to imagine how most
:07:40. > :08:03.of them could afford to buy a property anywhere in the city.
:08:04. > :08:11.It is true, there are plenty of cities in the world where property
:08:12. > :08:18.is expensive, is it me, Paris, Singapore, you name it. Here people
:08:19. > :08:51.'s salaries could be half or even less..
:08:52. > :09:02.So who is buying property here? Investors. The government is trying
:09:03. > :09:07.to rein in this explosion by limiting access to credit in the
:09:08. > :09:10.hope that China is young workers may one day be able to buy a place of
:09:11. > :09:17.their own.. It has been a record quarter for
:09:18. > :09:26.Tesla.. The electric car maker said
:09:27. > :09:29.that was a 70% rise on the same It is a rebound for the US company
:09:30. > :09:34.after production problems late last year resulted in a 9% fall
:09:35. > :09:45.in deliveries in the fourth quarter. Let's quickly show you financial
:09:46. > :09:52.markets that the start of the trading week. We mention Toshiba top
:09:53. > :09:59.a survey gauges business sentiment and it has gone up again. So
:10:00. > :10:04.business sentiment is improving in Japan and that has boosted the
:10:05. > :10:06.Nikkei slightly. I will see you soon.