tv Asia Business Report BBC News January 2, 2017 1:30am-1:46am GMT
the first funerals have taken place for some of the 39 victims. most of those killed were foreign nationals, from countries including israel, tunisia, france, belgium and saudi arabia. at least 23 people have died after a ferry caught fire off the coast of indonesia. another 17 are missing. and this story is trending on bbc.com: pranksters have tampered with the iconic "hollywood" sign overlooking los angeles. it comes as california enters its first year with marijuana legal for adult recreational use. that's all from me now. stay with bbc world news. and the top story here in the uk: police investigating the death of a 12—year—old girl who was knocked down by a car on new year's eve in oldham have arrested five men. now on bbc news all the latest
business news live from singapore. with india still reeling from the government's demonetisation drive, prime minister narendra modi has plans for a new india. and slowing the flow, as cuts take effect in production, we ask if it will take oil prices out of the year—long slump. good morning, and happy new year. welcome to asia business report live from singapore. in a new year is addressed to the nation the indian prime minister narendra modi announced measures to help those ha rd est announced measures to help those hardest hit by the cash ban he imposed a month ago. it is his first televised address since he announced the controversial decision. the move
caused panic across india and many atms and banks are still short of new cash. more than 50 days after the government withdrew 86% of currency notes in circulation, india is still reeling under the impact of that decision. new notes had been introduced but the pace at which they are coming to the system is low and the shortage is affecting the informal sector which generates 80% of employment in india. and sojob losses have been mounting, farmers have been finding it difficult to access money to pay for seeds and labourers and so in an attempt to soften the blow and help those worst affected, the prime minister announced a number of measures in a televised speech in new year's eve, offering discounts on interest rates for small home loans, incentives for small businesses, waivers for farmers who took loans to sow crops
and incentives for pregnant women and incentives for pregnant women and the elderly, and measures to encourage people to make digital payments rather than use cash. he defended the government decision to withdraw currency notes and said it would root out corruption and illegal cash holdings called black money in india. in his speech there we re money in india. in his speech there were no details of how much black money has been unearthed so far. analysts have been asking how the government wants to pay for the handouts. this year india has committed to narrowing the gap between how much it spends and how much it earns. in less than a month from now the national budget will be announced and maybe they will have some idea of how the government is managing india's finances. well, the rupee may have stolen the spotlight at the end of 2016 but through the year almost all major currencies were on a rollercoaster ride of their own. 0ur correspondent looks at where they will be starting
off in 2017. at the start of 2016 it was all about the japanese yen. the hardest working central banker in asia did everything to weaken the yen but nothing, not even negative interest rates, worked. 2016 everyone said would be tough for the yen and as it was going on the chinese one was falling. as the economy became uncertain chinese companies and rich individuals sent more cash overseas. then came the first big shock, the vote for brexit. the sterling slumped against the us dollar after the uk and expected leave voted to leave the eu injune. it has lost about 15% of its value. all that uncertainty led to more money flowing into the safe havenjapanese yen which kept rising and all he could do was wring his hands. all this while the chinese yuan kept
falling. and then trumped inflation hit, winning the white house, so the us dollar soared, which was good for the us dollar but bad for emerging market currencies like the malaysian ringgit which hit lowest level since 1998's financial crisis. through it all the chinese yuan kept falling even as the government pumped cash to prop it up. so, where are we at the beginning of 2017? well, the us dollar is that it strongest level in yea rs dollar is that it strongest level in years and looks set to stay that way. the british pound has lost a fifth of the value since brexit, which might be a new normal, and the japanese yen, what negative interest rates couldn't do mr trump did and finally the yen is weakening. what about the chinese yuan? it is continuing a slow march downwards against the us dollar, for now at least. because of the falling yuan, china has increased scrutiny of people buying foreign money. the foreign
exchange regulator said as of one january people converting yuan into foreign currencies will have to provide more information on why they are doing so. currently people can exchange the equivalent of $50,000 a year. authorities are stepping up punishment for any illegal money outflows. the new year also marks the start of production cuts by the world's biggest oil producers in an unusual move. members of 0pec and other oil producing countries are slashing crude oil output by nearly 1.8 million barrels per day. will the agreement stick, and what impact will it have on oil prices? i put that question to a resource analyst from sydney. certainly when you look at the commercial decision that 0pec made late last year there was one difference we have seen compared to all the other decisions they have
made and never followed through with and that is that they bought in outside non— 0pec members, so we think that gives this opportunity for 0pec and non— 0pec members to ensure that going forward we will see the production cuts of about 1.8 million barrels stick more so than we have seen in any other time than in opec we have seen in any other time than in 0pec history. we have seen in any other time than in opec history. what about russia? some seem sceptical it will stick to the cuts, at which it hasn't agreed to in15 the cuts, at which it hasn't agreed to in 15 years. they will pull out 300,000 barrels per day. if you look at the broader production of a are significantly a big producer, in the ten millionplus arena, so 300,000 barrels is fairly small. given they have the advantage of higher prices on the massive amount of production they would still be producing, we think they will certainly cap 300,000 barrels. if you look
overall, we believe the market is in a surplus of over1 million barrels, so cutting out 1.8 will reduce the market from a surplus to a deficit, and that allows for some creeping of members either cheating or perhaps us production to increase over the course of 2017. oil prices rose since the announcement, double of the load from a year ago. what is your outlook for the price is?“ the load from a year ago. what is your outlook for the price is? if we look at 2017 we think we will see a moderate rise in oil prices probably for wti of $65 — moderate rise in oil prices probably for wti of $65 - $75 moderate rise in oil prices probably for wti of $65 — $75 at the end and four brent crude, $67— $77, so we see modest increases because of tail winds and we believe some strong headwinds. the massive inventory that still hangs in the us of 480
million barrels plus will act as a headwinds and we suggest we will see us production increase in. there is no jetson style flying cars us production increase in. there is nojetson style flying cars or star trek style teleportation yet but this year's consumer electronics show in las vegas will showcase a huge range of new innovations, one of which is a virtual reality booth for people to play videogames without having to a headset. chris fox has a look. iam moving fox has a look. i am moving forward, i fox has a look. iam moving forward, i have fox has a look. i am moving forward, i have to shoot that, how can i do that? oh, wow. this is surprisingly scary. i have walls and pins coming at me. oh, i have to avoid the dogs now. i am really scared of dogs, so this isn't fun. whoever designed this is very sadistic. everyone is talking about virtual reality, why is this version better? this is totally different usage because you are free to move
and you don't have any wire. you can still see your body. it means that you are not unconnected from reality. will people pay to use our game like this at a cinema or entertainment complex when they can do virtually he on their phone? this isa do virtually he on their phone? this is a very different experience because in this set up we re— the player to move, which makes something possible for sports —— require the player to move. we can measure the difference for the people playing. we use this technology where it is more releva nt, technology where it is more relevant, you need to move, you need to play, you need a fast set up, if you have the glasses you just put them on. a centuries-old tradition of sending new years cards into japan gets a modern twist. let's ta ke japan gets a modern twist. let's take a look. we will be back in the next hour. hello, i'm kasia madera.
the top stories this hour. a huge manhunt continues in turkey for a gunman who opened fire on revellers celebrating the new year at an istanbul nightclub, killing at least 39 people. and a fire on board an indonesian ferry has left 23 people dead, with many others still missing. there have been delays in attending to emergency ambulance calls across london after the service's computer system crashed on one of the busiest nights of the year. staff in the london ambulance control room had to log calls using pen and paperfor nearly five hours overnight. richard lister has more. three, two, one! cheering new year's eve, hundreds of thousands of people pour onto the streets of the capital, creating the busiest night of the year for the london ambulance service. its control room keeps watch over more than 600 square miles and seven million people, using a sophisticated computer system. but just after midnight,
that system failed. the computer crash meant that all call details had to be written down. call handlers couldn't see where the ambulances were. they had to use radios to contact paramedics. inevitably, that meant delays. we do deal with the most critically ill and seriously ill patients first, and we continued to do that last night. 0bviously, i'd like to apologise to any patients who did have a slightly extended waiting time while we were dealing with the system on paper. the london ambulance service says because it has no computer record, it doesn't know exactly how many calls it dealt with last night. these were some of the incidents they attended, but there were hundreds more. if the system fails at a time when there is huge pressure on the system, when, for example, there was a major disaster or a terrorist attack, we're going to be in really serious trouble, so we've really got to make sure, the london ambulance service has got to make sure, that this system doesn't collapse again.
emergency call handlers here are trained to dispatch ambulances using a pen and paper. extra staff had already been drafted in for the new year celebrations. but the failure of their multi—million pound computer system on the busiest night of the year is now the subject of an urgent investigation. the system was restored by 5.30am this morning, and is now working normally, but it may be a while before we know how many patients didn't get care when they needed it because ambulances couldn't get there in time. richard lister, bbc news. i will leave you by wishing you a hgppy i will leave you by wishing you a happy new year. time now for all the sports news in sport today. hello, i'm marc edwards and this is sport today,
from the bbc sport centre. coming up on our programme: arsenal move up to third in the english premier league, after a giroud wonder strike against crystal palace. mourinho is not happy. the special one slams the ivory coast for wanting to take one of his players early for the africa cup of nations. and world number one andy murray still rates novak djokovic as the biggest threat this year. hello, and thanks forjoining us here on sport today. we are going to kick off the show in the english premier league, where arsenal are up to third after a 2—0 win over crystal palace at the emirates, 0liver giroud grabbing all the headlines with an outrageous scorpion back—heel to open the scoring in the first half. he will be thinking he has got one of the contenders for goal of the season. alex iwobi added another in the second half, but all the post—match talk centred on giroud's moment of magic. i think i needed god's help to score this goal.