tv Business Briefing BBC News November 16, 2017 5:30am-5:46am GMT
hello. this is business briefing. i'm sally bundock. here are the headlines: the soaring cost of living in zimbabwe — could the dark days of hyperinflation be returning? plus a desert oasis with a difference. the uae plans to colonize mars within a century and grow lettuce. yes, you are hearing me correctly. we'll bring you all the details from the dubai air show. and on the markets despite a downbeat day for wall street the night before, asia is riding higher with japan up by almost a percent. we start in zimbabwe, where as you've been hearing president mugabe remains under house arrest, after what the african union says "seems like a coup" — something denied by
the country's military. the economy is a huge source of unrest in zimbabwe. its currency was scrapped in 2009 after hyperinflation reached several billion percent and replaced with foreign currencies. today it's mostly the us dollar. but that hasn't helped ordinary people. zimba bwe's official inflation rate was 2.24% in october. but some analysts who track the cost of consumer goods in zimbabwe think they're rising at over 65% a year. that's because of a shortage of dollars needed to pay for imported goods. in fact, one economist, steve hanke from john hopkins university, thinks the situation is far worse. he recently wrote in forbes magazine that the actual inflation rate is almost 2a3%. he's warning that hyperinflation is returning to the country. he and other economists put the blame on robert mugabe's
economic policies. the economy is by weight has been in a prolonged state of paralysis spending over ten years. —— economy and zimbabwe. this is done to nehru causes, like the seizing of farms, and much is dependent on rod mcgarvie's political agenda. now it appears he will be reading power and if once gives an opportunity for a fresh start the economy. —— robert mugabe's political. william attwell, senior analyst for sub—saharan africa at frontier strategy group. you are from south africa and have family in zimbabwe. give us your perspective on the economy. family in zimbabwe. give us your perspective on the economym family in zimbabwe. give us your perspective on the economy. it has been recovering very mildly over the past year or so. there has been a bounceback in agricultural production. there has been a rebound
in metals prices well, helping exports. but the real achilles heel is the currency and crash crisis, which, as was mentioned there, is really pushing us back into inflation again, and it means the economy is still starved of cash, inhibiting businesses' ability to function. and he will point the finger, don't they, at the policies of president mugabe as the reason that it of president mugabe as the reason thatitis of president mugabe as the reason that it is floundering so much. yes. i think what is significant, in addition to the firing last week, that the vice president, who might return to power, now, is actually the firing of the relatively moderate finance minister about a month ago. he had been leading reforms. they were happy to stabilise the economy and re—engage zimbabwe with lenders like the imf and world bank, which zimbabwe has
not been able to access money from 4/50 yea rs, not been able to access money from 4/50 years, due to serious debt arrears. the court is that with some change, it provides an opening, as you have said, which could ease cash loa ns you have said, which could ease cash loans and strains of the economy. you have said, which could ease cash loans and strains of the economym is critical what happens next. we have the south african officials looking at this crisis. what you think will happen next? into floor situation. i think that there is a strong supporter of the military. the more popular site, represented by grace mugabe, is he giving the week. there is either going to be some pushback from that. thank you for your analysis. we will discuss that in detail later in the news
briefing. it is all the media, so we will look that event. we are also continuing our coverage of the dubai air show. the united arab emirates are no stranger to ambitous projects, but this latest one is astronomical. they have been laying out plans for a desert always is with a difference, 300 —— 33 million miles away, on mars. tsonga is believed that more than 4 billion years ago, mars used to look similarto earth, in billion years ago, mars used to look similar to earth, in that it had similar to earth, in that it had similar geography. but something went wrong then it turned into a
dead planet. 0ne went wrong then it turned into a dead planet. one reason for that is it is basically losing its atmosphere. to asia now and some warnings about serious risks facing china's economy. sharanjit leyl is following this from our business hub in singapore. good to see you. tell moore. was this warning coming from? is coming from a variety of places. actually, what has ended up happening is that the warnings have resulted in china coming up with some new rules to try and curb some of the risks at its big development banks, and that is as they look to avoid a debt crisis. they are, these rules. they are saying that for the first time, the chinese banking regulator by they will start enforcing specific rules to reduce financial risk at three banks. the new measures will ensure they don't lend more cash than they can afford, and crucial corporate governance rules, as well. the three banks offended at the journeys of
i , the export bank of china, and the agricultural development bank of china. together, they have 3.8 trillion dollars in assets at the end of september. this comes as there is the threat of ballooning debt. this comes as the two senior financial experts are they warned about the chinese financial sector, with the head of research at the chinese central bank, and the committee chair of the national people's congress have been speaking ata people's congress have been speaking at a congress and have warned that the chinese financial sector runs the chinese financial sector runs the risk of becoming a bubble. thank you very much forjoining us sharanjit leyl. now let's brief you some other business stories. barbie maker mattel has rebuffed the latest takeover approach from rival hasbro, according to sources quoted by reuters, casting doubt over the potential merger between the world's two largest toy companies. mattel believes the offer undervalues it and doesn't address potential antitrust concerns, the sources claim. european regulators have warned banks working on post—brexit plans that they will "need to have
substance locally" to serve european clients. the european central bank says some proposals are inadequate and risk creating "empty shells". many banks currently access the european market through uk offices but are working on contingency plans, adding space in cities such as frankfurt and dublin. and the president of angola, joao lourenco, has fired the daughter of his predecessor as head of the country's state oil company, sonangol. isabel dos santos, the billionaire daughter of former presidentjose eduardo dos santos, is africa's richest woman with a net worth of over $3 billion. president lourenco, known asjlo, has promised to tackle corruption let's ta ke let's take a look at what is trending in business. from the wall streetjournal —
how the robot revolution could create 21 millionjobs. experts predict the us will lose 19 millionjobs to automation by 2032. the good news? 21 million new roles will be created it predicts a raft of newjob categories including man—machine teaming managers. the plot thickens. from quartz, demand for gold has dropped to an eight—year low. as stock markets soar, investors have seemingly decided they don't need the precious metal often bought as a hedge during downturns. and among the most read on the bbc website, dyson to sue former chief executive max conze. the electrical firm dyson is suing its former boss for allegedly leaking company secrets and using company resources for his own benefit. of course, as you know, get in touch with us. let's us know what you are spotting online — use the hashtag #bbcthebriefing. that's it for business briefing this
hour, but before we go, here are the markets. the news briefing is coming up next. we will talk you through all the stories making headlines in the global media today. first, though, in the uk, the government is being warned there's an increased risk of guns, drugs and fake goods being smuggled into the uk after brexit, unless it recruits a "significant" number of extra border staff. the house of commons home affairs committee says ministers must draw up contingency plans to prevent long delays at ports and airports if customs controls change when britain leaves the eu.
here's our home affairs correspondent, danny shaw. gridlock on the way to the ports. this was the scene two years ago on a motorway near dover. strike by free workers in france and a surge in an attempt by migrants to get to britain led to choose and delays over here. and that the government has been warned he could happen again, when the uk leads the eu. a home affairs committee report says u nless home affairs committee report says unless customs operations stay as they are after brexit, border checks will increase substantially, because your goods will need screening. the report says extra capacity will be needed to store and search items and vehicles, and it calls for significantly more staff than the 300 extra border force officers posed by the government. the border force officers often do the customs checks. if those cheques increase, there is a real risk that staff will
be pulled off security checks, or illegal immigration checks, and we cannot have failings in brexit in fermentation putting out security risk. -- checks. this is the second time ina risk. -- checks. this is the second time in a week that a cross—party group of mps has warned of possible chaos at borders after brexit. —— maggot. but a spokesman for the government said it would ensure that resources we re government said it would ensure that resources were available to run an effective customs and immigration system. this is the briefing from bbc news. here are the headlines: zimbabwe's bbc news. here are the headlines: zimba bwe's military is bbc news. here are the headlines: zimbabwe's military is in full control of the country while robert mugabe, president for nearly 40 yea rs, mugabe, president for nearly 40 years, remains under house arrest. many in zimbabwe have begrudgingly welcomed the move and there have
been no reports of serious violence. a new study suggests many impacts of climate change are already inevitable, even if the world radically cuts carbon dioxide emissions immediately. a long—lost painting by leonardo da vinci has sold at auction in new york for $400 million. that's the highest price ever paid for a work of art. salvator mundi — or saviour of the world — has been dubbed the ‘male mona lisa'. lots of stories on the bbc website as well. many other stories making the news. we have the latest with regards to be flash floods in greece that have killed 15 people, it could be floods hitting several areas. the day has been declared a day of mourning as greece comes to terms with this latest deadly flood there. more details on the website.
now it is time look at the stories that are making the headlines in media across the world. we begin with the guardian and zimbabwe where ousted leader robert mugabe is under house arrest while he negotiates his future with military officers in the capital harare. the independent looks at the growing humanitarian crisis, in yemen. save the children are warning more than 50,000 children are expected to die by the end of the year as a result of disease and starvation. the gulf news says world stocks have suffered their longest losing streak in more than six months as oil prices slipped and energy and mining stocks suffered losses across asia and europe.