hello there and welcome to "newsline." its 57s friday, june 26th. i'm catherine kobayashi in tokyo. finance ministers from eurozone countries are walked away from the bargaining table on the greek financial crisis. they have failed to strike a deal that would satisfy creditors but they resume negotiations on saturday. negotiations in brussels broke down on thursday one day after they began. the participants discussed greece's fiscal reform proposals to activate the release of a frozen bailout fund. but the talks failed to close gaps between greece and its creditors including the european
union. they were reluctant to accept reform proposals that include cuts in pension payouts and an increase in the value added tax. >> our document and their own. there will be discussions with the greek government and will continue until we find a solution. >> the door is still open for the greek sides to come with new proposals or to accept what is on the table. but we are very on a number of issues very far apart. >> greece has received bailouts from international creditors over the past five years worth roughly $270 billion. it now has to honor massive monthly repayments. even if greece receives the current bailout, loans that exceed the amount will come due this summer. the creditors insist they will not hold negotiations on extra aid until the present talks produce an agreement. the new china-led asia infrastructure investment bank or aiib is almost ready to join the world of international finance.
chinese government officials announced that founding members will conclude an establishment agreement next week. >> translator: the signing ceremony to seal the deal on the asia infrastructure investment bank will be held on monday, june 29th, in beijing. president xi jinping will meet the heads of delegations from founding member nations. >> officials from the 57 member countries agreed on the bank's articles of incorporation at their fifth meeting last month in singapore. sources close to the bank say the agreement stipulates that china will take the largest stake, nearly 30%, in the aiib's $100 billion capital base. with the stake, china is expected to have a greater than 25% share of the aiib board's voting power. this effectively gives beijing veto power over major decisions such as which applicants to admit as members and capital increases. such decisions will require more
than 75% of the vote for approval. kurdish forces are locked in a battle against islamic state militants for control of a strategic city on syria's northern border with turkey. kurdish fighters captured this week the key town of ayn isa. and they're moving closer to raqqa. they conducted one suicide car bombing in the city of ayn al arab. they then entered the downtown area in five cars and opened fire on resident. a human rights group says at least 35 people were killed. the city was briefly at risk of falling into the hands of the extremists in january, but kurdish forces launched a fierce battle and drove the militants out. the islamic state group has recently been losing ground. kurdish fighters recaptured ain issa and it's a major supply
route between turkey and raqqa. but they launched an offensive in northeastern syria. now that muslims are observing the holy month of ramadan, the extremists are calling for more attacks against people it regards as infidels. the death toll from the heat wave in southern pakistan has reached 1100 according to local health authorities. in karachi, pakistan's largest city and economic center, the mercury hit 45 degrees celsius over the weekend. temperatures have cooled a little thanks to the sea wind, but people continue to pour into hospitals. many residents cannot use air conditioners and fans because of frequent power outages. water supplies are also being disrupted. people in karachi have expressed their anger against the government by burning wood and tires. >> translator: people are living in very poor conditions. 500 to 700 people are being
forced to spend the nights on open ground where donkeys and dogs are roaming around. their possessions are being stolen. what is the government doing? is it waiting for hundreds of people to die? >> the number of heat stroke cases is soaring as the hot weather came during ramadan when muslims do not eat or drink during the day. leaders in japan have just released a handful of economic indicators. ai uchida joins us from the business desk. good morning. so ai what are you seeing? >> good morning, catherine. we get a look at people's spending habits how much the things they're buying cost. also their job situation. the data all adds up to give us a better picture of the economy. so let's start with the consumer trends, and it looks like shoppers are finally loosening their purse strings. officials at the internal affairs ministry say household spending in may was up 4.8% in yen term from a year ago. the figure marks the first up
turn in over a year. households with two or more members spent an average of more than 280,000 yen, that's around $2,300. they splashed out on new cars and home appliances. the officials also report a rise in the consumer price index. that's for the 24th consecutive month. the index, which is a leading gauge of inflation was up slightly by 0.1% from the same month last year. the index doesn't factor in fresh food because their prices tend to be volatile. the government has also released job figures. the ministry officials say the unemployment rate in may was unchanged from the previous month at 3.3%. it remained at its 18-year low. job seekers also had more openings to choose from. officials at the labor ministry say the ratio of offers to people looking for work was up from april at 1.19. that means there were 119 positions for every 100 job
seekers. that is the highest figure in 23 years. household spending and the cpi beat analysts' expectations and the jobless rate was in line with market consensus. let's see how tokyo shares are reacting to all this. we go to ramin mellegard who is standing by at the tokyo stock exchange. how are markets trading this morning? >> very good morning to you, ai. markets trying to digest the data. we'll see how that develops during the morning but also looks like investors seem to be a lot more concerned about developments in greece and the new bailout being extended into the weekend. still some concerns there. that's being reflected in the price action we're seeing. both indexes in the negative in the first few minutes of trading. let's not forget the nikkei fell back yesterday from 18 1/2-year highs set on wednesday on uncertainties about greece's debt negotiations. that's dominating global markets. at the beginning of the week global investors thought this greek drama was about to wrap
up, but it looks like we have yet another act to play out. that's really having a bit of a negative sentiment on global equities, as we mentioned, and also so far here for the nikkei and the topix. looking at europe london's ftse 100 lost more than 100%. cac 40 edged lower. the dax was trading lower but ended slightly higher pretty much flat. the dow jones industrial average and the tech-heavy nasdaq ended lower as well despite strong economic data in the u.s. with personal spending in may rising actually to the most in almost six years. but trading in the dollar a little bit muted. although weekly jobless claims also beat market expectations and the dollar/yen 123.57 right now. the euro keeping in a bit of a tight range actually traders are staying on the sidelines to see the outcome of the greek debt problems. >> and the nikkei has been a bit choppy after hitting 18-year highs this week. what are some of the concerns out there? >> exactly.
we did hit those highs. but again some concerns playing through the market the volatile china markets, for instance we need to check the effect of the recent wild swings. yesterday the shanghai composite fell more than 3% to wipe out the previous two days of gains. lots of swings there. analysts were warning of a possible equity bubble as beijing cracking down on the so-called shadow banking where loans are made with pretty much little or no regulations or limits. back to japanese markets, most of the gains of the nikkei let's not forget have been made from overseas investors and large funds here in japan. the concern is for smaller retail investors and they're being squeezed out, according to analysts, as they say the minimum trading lots are just too big for retail investors. during this week nikkei 225 companies are holding their annual general meetings and a lot of focus there on how to attract retail investors. let's not forget only 17% of japanese stock markets are made of individual investors.
so we'll keep track of all of that, but right now the nikkei and thep topix still trending lower. >> thanks a lot for that update. the number of general shareholders meetings for listed japanese companies is reaching a peak. many firms are adding independent directors to their boards an raising dividends for investor investors. the tokyo stock exchange says 40% of the listed firms closing their books in march will hold their annual gatherings on friday. nikko securities projects that it will swell to a record high of $105 billion. it's believed that more than 80% of the firms listed on the tse's first section have introduced independent directors or plan to. the move follows a corporate governance code formulated by the tse. it requires the companies listed on the bors to enhance
profitability. the head of japanese auto parts maker at the center of a defect scandal has made his first public apology. takata's faulty air bags are linked to deaths injuries and the biggest auto recall in history. the company has posted a huge financial loss. nhk world kuhn na heato yamamoto reports. >> reporter: he's stayed in the shadow since the deadly air bag effect was revealed. but today he stepped into the spotlight. >> translator: we would like to offer our condolences to the people who have died due to defects in our company's air bags. we'd also like to offer our apologies to anyone who has been affected. >> reporter: takada said he's aware that eight people have died and 130 people have been injured. he said the firm may pay compensation to people affected. takata supplies toyota honda
and other leading carmakers. the faulty air bags have forced these companies to recall tens of millions of vehicles. before speaking to reporters, he offered another apology to about 200 shareholders gather in tokyo. takata booked a net loss of $240 million for fiscal year that ended in march. as a result they had nothing to pay out to shareholders. >> translator: the cause of the problems has not been totally identified. i'm afraid the situation will continue. >> translator: i want the company to disclose more information on how to solve the problem. >> reporter: the company says it has yet to fully identify the cause of the defect. but they will suspend part of the production and speed up work
to replace parts procuring from other manufacturers. takata said the company will continue its investigation and work to resolve this issue. but the company says it can't estimate how much the recall will end up costing, leaving concern they'll be dealt a further blow. kunihiro yamamoto nhk world. and that's the latest in business news. i'll leave you with a check on markets. japanese and south korean officials have failed to find common ground on an import ban
on seafood from fukushima and nearby prefectures. they gathered in switzerland to try to negotiate a deal under the world trade organization's dispute settlement procedures. the two sides wrapped up their talks on thursday in geneva. leaders in seoul are prohibiting the import of marine products from eight prefectures. the measure follows the fukushima daiichi accident. japanese officials say the ban is unjustified due to its lack of scientific basis and violates wto rules. they say their south korean counterparts argued the measure would ensure public safety. and they've asked them to submit their expert opinions about on-site inspections in fukushima and other areas. officials in tokyo say they'll continue to press for the ban to be lifted and they'll be able to bring their complaint before a wto trade settlement dispute panel if an agreement isn't reached by late next month. japan's prime minister has been deliberating on a statement that's attracting global attention. shinzo abe is preparing to mark
the 70th anniversary of the end of world war ii. and his close aides say he will not consult with neighboring countries on the matter. shinzo abe has enlisted a panel of experts to advise him on his message. they're looking into what lessons japan can learn from the past and its future global contributions. the top government spokesperson offered hints to reporters about the statement's progress. >> translator: i don't think so. prime minister abe will make an appropriate decision after he's had the panel discuss the matter from various viewpoints and heard their views. >> abe is expected to issue the statement later this summer. pro-democracy protesters in hong kong are weighing out their next move in the standoff with
beijing. many are reluctant to get excited about a victory over china's efforts to influence their elections. they know they face a drawn-out struggle. nhk world has more. hong kong's council voted down a bill that would have given the mainland power to screen skand dates for the territory's top job. pro-democracy groups in hong kong are relieved by the outcome. but they're not celebrating. they say they have a long way to go to achieve true universal suffrage. citizen groups stage a rally ahead of the vote. they wanted to display a united front against beijing's decision.
organizers called for 50,000 people to take part, but they got fewer than 4,000. many students stayed away. it was a far cry from last year when student-led demonstrations drew tens of thousands of people on to the streets night after night. people from all walks of life joined forces in a show of defiance. they demanded the hong kong government withdraw the plan. protesters clogged main roads across hong kong for two months but they failed to get what they wanted. students began to bicker among themselves. they disagreed over what to do next. some called for more drastic action. others resisted. a few voted to pull their unions out of the main student federation in protest.
this is the leader of one union that left. he's been calling for more aggressive approach. >> translator: we all have different ideas about where to go from here. but i think if we keep doing the same thing, we won't change china's position. sometimes we need to take radical action. >> reporter: residents have been put off by these strident calls to action. >> translator: i oppose violence. we should deal with this issue peacefully and calmly. >> reporter: this man has been following the student protests from the outset. he's a teacher at the junior high school. all along he joined his students after work to take part in sit-ins. he said he could understand their resentment, and he was impressed by the way they
peacefully pursued their goals. but he's become disillusioned. he said pro-democracy groups are no closer to achieving their goals. >> translator: i do feel relief that the bill was rejected, but i don't think that means i have cause to be happy. there's been no progress in hong kong's democracy movement. the future of our political system is very much uncertain. >> reporter: leaders in beijing say they won't back down. so people in hong kong know their fight won't be over anytime soon. reporting for nhk world from hong kong. people who practice one of japan's oldest art forms are taking their work to a wider audience. they're promoting kabuki theater
to visitors from all over the world in the lead-up to the tokyo 2020 olympics. nhk world reports. >> reporter: actors tread the boards at the national theater in tokyo for an event called discover kabuki. they're hoepting to capitalize on a surge in tourists taking advantage of the relaxed visa rules and exchange rates. organizers of the show have provided free audio guides in english. and for the first time in korean and chinese. spectators from around the world pack the theater filling all 1500 seats. a tv personality and kabuki actor take a moment before the show to address the crowd. she explains how the 400-year-old theatrical art form works.
male actors play all the roles. a performer demonstrates how the change between genders takes place. >> this is more difficult than i thought for a man to play a female role. >> reporter: and then it is show time. the troupe performs a classic tale. the miracle at the temple is about the blind man and his devoted wife. the husband can no longer bear to be a burden. so he throws himself into a ring. his wife follows him in despair and jumps off a cliff. suddenly, the goddess of mercy appears and saves the couple.
she rewards their devotion by returning the husband's eyesight. the audience is delighted by their first kabuki experience. >> translator: i thought kabuki was difficult to understand, but the audio guide made it very clear. i really enjoyed it. >> translator: they acted wonderfully. they moved me and made me laugh. the story was fascinating. >> it was the first time. and i really enjoyed it. it was really amazing. i'll come again. >> translator: we want to be ready to introduce traditional cultures to foreign guests at the tokyo olympics and paralympics. so we need to get as much experience as possible before 2020. >> reporter: officials at the national theater say this event was the first in a series promoting traditional japanese art forms. they plan to stage senior
productions in the puppet theater. reporting for nhk world. it is time now for a check of the weather. people in southern japan are dealing with heavy rain. flooding is also a concern. mai shoji joins us with more in world weather. >> it is the rainy season so it is obviously going to be bringing lots of rainfall but it's too heavy in kagoshima. we look at the picture coming out from here. it's just too much. in the past 24 hours alone there has been, of course, over 330 millimeters of rainfall in kagoshima. while in the past month, the area has seen 1,500 millimeters, that's three times the average for june. landslides have occurred blocking roadways. one covered a train line in kagoshima on thursday. the line has now been cleared, but jma is warning of landslides that could still take place.
this could result in continued travel delays and another landslide here ripped through a construction area carrying a wave of mud downstream, damaging several home and submerging vehicles in the dirt. lots happening here. unfortunately, catherine, we're likely to see more rain coming through the area. the rainy season is still lingering in similar locations. and we're actually going to be seeing about 200 millimeters of additional rainfall in parts of kyushu and even the lesser areas would see amounts of about 150 millimeters. and about 120 millimeters across parts of shikoku and see it engulfing much of honshu. so by the evening hours, we're starting to see the weather deteriorate in tokyo as well. low pressure system is active here over south korea. this could be some beneficial rain because you haven't seen the extreme drought conditions across the locations. but, of course, more and a lot is going to make it for the risk of flooding and landslides.
there is also going to be that risk here across southeastern china because we have seen about 200 millimeters in the past 24 hours. 70 millimeters is likely. the monsoon will be slamming the west coast of the indo china peninsula. thailand has been seeing a lot of rain recently and that will continue. you see the patches. so bangkok at 34, chance of thunderstorms along with that. and beijing also at 30 which has the thunderstorms. down to 23 in seoul from the 30s. a bit of a cool down that could be lessening the risk for heat stroke there. here across the americas, we're still looking at a surge of moisture, pulling into this cold front. it's a stationary boundary, i should say. and that's going to be creating the two air masses of air that is going to collide and clash into similar locations. anywhere along that front we're likely to see the enhanced chance of severe weather. and that includes frequent lightning as well as large
hailstorms and that's going to be stretching into richmond. you see the eastern two-thirds with chances of very wet rain and also some thunderstorms which could be on the severe side. and take a look at these digits here. medford at 43 degrees. we don't really see that in parts of oregon for this time of the year. or not even in july or august. so we're going to see those record shattering temperatures that will continue, please watch out for heat stroke. across europe, a quick look, high pressure system predominant in the central locations, but this is the area where we are concerned of. flooding has been occurring in russia and parts of ukraine and that's likely to continue with threats of even tornadoes as well. there is going to be some widespread showers pulling into uk with a cold front. so do enjoy this weather while you can in london at 21 degrees for your friday. i'll leave you now for an extended forecast.
stacey thunder: on this edition of "native report" we attend the northern plains indian art market in sioux falls, south dakota. while in sioux falls, we also learn about the south dakota urban indian health center. and from the "native report" archives we look back at our visit to the journey museum in rapid city we also learn something new about indian country and hear from our elders on this "native report." narrator: production of "native report"