they have downgraded slovenia's debt to junk status. moody's has cut the debt by two notches to ba 1, down from baa 2. the agency leaves the rating with a negative outlook suggesting a further downgrade. >>> after the global credit crunch, slovenia experienced a corporate failures mainly in the construction agency and left the banks with a huge amount of bad loans prompting the state to put these institutions under state control. moody's said it made the downgrade because slovenia may have to pay more public funds to disposition of the growing lns and fear the government itself may need a bailout from the eu and other international organizations. >>> still in europe, the yo eurozone's unemployment rate hit another record high. the 17 member countries continue to struggle with recession. the jobless rate hit 12.1% in march. this was up from 12% the previous month, according to official figures from euro stat. spain had the highest rate at 26.7% followed by portugal and cypr cyprus. the latest available rate for greece in january is 27.2%

now so come where the sour action against the bailout slovenia's heinie a package of measures to avert a financial meltdown amid fears about falls cyprus foreign debt in just a moment. we speak your language as anyone might be or not a new. program says documentaries and spanish what matters to you. it will turn to bangalore stories. here. spanish to find out more visit i to our. welcome back now slovenia is rushing to reform its economy amid mounting concern it's next in line for an e.u. bailout the action plan includes the sale of fifteen state companies tax hikes and public sector wage cuts coming out of a european commission report due at the end of the month and you know nerves over the situation in slovenia well it's a economy with a g.d.p. of about forty five billion euros and and dead a banking system burdened with about. a seven billion euros of bad loans slovenia is now trying a profit out by transferring the non-performing loans of its largest banks to a new established bad bank meanwhile its credit rating was recently cut to junk by moody's one of the lowest investment grad

it is looking more and more like slovenia will be the next day lactase in the eurozone. its government is trying to sell bonds on the market right now, just days after they were downgraded to junk status. >> that downgrade based the prospect that the country will need help from neighbors. they have been watching closely for months as the tiny nation has been dragged down by six lead banks. >> the core of the problem for the small alpine country is its banks. slovenia's lending institutions are mainly state-owned, and many are staggering under bad loans. they have become a major burden. this year's deficit is forecast at 5% ofofofdp. the prime minister wants to keep her country from sharing the fate of greece and cyprus. them as lavinia is no bad apple, but we are in a difficult position at the moment -- >> slovenia is no bad apple, but we are in a difficult position at the moment. there are two key projects we want to enact this year and in the coming years. the recovery of our economy and consolidation of our finances. van at a key reason for the slovenian economy's slu

welcome back you're watching our team now one of the newest members slovenia is set to implement a package of tough economic reforms in order to avoid needing a bailout themselves the measures include the sale of fifteen state companies tax hikes and public sector wage cuts slovenia is a relatively tiny economy with a g.d.p. of about forty five billion euros and indebted banking system burdened with around seven billion euros of bad loans slovenia's now trying to prop itself up by transferring of the non-performing loans of its largest banks to a newly established bad bank meanwhile its credit rating was recently cut to junk status one of the lowest investment grades possible the same thing happened to cyprus in two thousand and twelve a year before it faced punishing the bailout terms however slovenia's government is trying to persuade everyone it's better off without brussels money johan van overtveldt from the economic trends magazine says it is a familiar story. everybody who has been in trouble in the eurozone in the last years as in the first phase of the crisis always refused to adm

slovenia's rushing to reform its economy mid mounting concern it's next in line for an e.u. bailout the action plan includes the sale of fifteen state companies tax hikes on public sector wage cuts it comes to have a european commission report due at the end of the month and even arabs over the situation and slovenia well it's tiny economy with a g.d.p. of about forty five billion euros and debt a banking system burdened with about seven billion euros of bad loans. so many is now trying to prop it up by transferring the non-performing loans of its largest banks to a newly established bad bank meanwhile its credit rating was recently cut to junk by moody's one of the lowest investment greats in the same thing happened to cyprus in a twenty twelve a year before it faced punishing bailout terms however slovenia has been insisting it doesn't need help from international lenders you know and then overfilled from economic trends magazine says that sounds very familiar everybody who has been in trouble in the eurozone in the last year is as in the first phase of the crisis always r

nerves over the situation in slovenia it's a tiny economy with a g.d.p. of about forty five billion euros and any debted banking system with about a seven billion. in year of bad luck fur in the non-performing loans of its largest banks to establish bad bank made time is tried it rating was recently cut to junk by moody's as one of the lowest investment grades as it sounds the same thing the cost to cyprus back in twenty twelve the year before it faced punishing bailout terms now slovenia for now saying it insists it doesn't need help from international lenders you're on but other than the economic trends magazine though says that sounds very familiar everybody who has been in trouble in the eurozone in the last years as in the first phase of the grass is always refused to admit that they are really in trouble and that of course is first of all some kind of psychological game they're trying to play with the markets and with the public at large. they're. being set. there's also been quite clear they're all the countries that came into the danger zone event

slovenia has been struggling to overcome a banking system teetering on the edge. >> moody's downgraded bonds to junk status. now, they have announced a plan they hope will help it stabilize finances without having to turn to brussels. >> slovenia is teetering on the edge. it's mostly state-owned banking sector has been crippled by billions of euros worth of bad loans, but the government does not have the money to rescue them. the government needs at least 4 billion euros and has come up with a new plan. >> we need to consolidate our finances. there are three ways we can do this. we can increase revenues. we can cut back on expenditures. or we can pursue a combination of the two. what we have decided to do is take the third option. >> 15 state-owned enterprises will be sold, including the country's second-largest bank in the capital's airport. value-added tax will rise from 20% to 22%, and a new property tax will be introduced in january. the government is also in talks with trade unions to make significant cuts to the public sector. the plant is now to be sent to brussels in the hope t

and action against the bailout slovenia's i packaged of measures to avert a financial meltdown and it fears about a follow cyprus for that in just a moment. with . technology innovation all the developments around russia we. covered. you know sometimes you see a story and it seems so you think you understand it and then you glimpse something else you hear or see some other part of it and realized everything you thought you knew you don't know i'm target market is a big issue. download the official publication yourself choose your language stream quality and enjoy your favorite. if you're away from your television well it just doesn't matter how would your mobile device you can watch your t.v. any time anyway. welcome back you're watching our tina israel has given the green light for the construction of a further three hundred homes in a west bank settlement it's fear of the move could ward recent attempts by u.s. secretary of state john kerry to rekindle peace talks between palestinian authorities and israel so far this here israel's army has a victim almost four hundred palestinians

hello again slovenia is rushing to reform its economy amid mounting concern is next in line from a bailout the action plan includes the sale of fifteen state companies tax hikes and public sector wage cuts if it comes ahead of a european commission report though due at the end of the month and the nerves over the situation in slovenia it's to time the economy with a g.d.p. of about forty five billion euros and indebted banking system to burden with about seven billion euros of bad loans so when is no time to prop it up by transferring the non-performing parts of the loans two of its largest banks to a newly established bad bank but its credit rating was recently cut to to junk by moody's that's one of the lowest investment grade same thing happened to my record of cyprus in twenty twelve a year before it faced punishing bailout but slovenia but insisting on the less it doesn't need help from international lenders. from economic trends magazine told us that kind of sounds from any other everybody who has been in trouble in the eurozone in the last year is as in the first phase of the grass

s most recent member slovenia was once the rising star of the blocks economic success but its years in the euro have seen its slump into recession unemployment double since two thousand and eight at its banks are on the verge of going under slovenia's trying to sort itself out without brussels help but that's proving to be tough the editor in chief of the financial magazine trans told us that all the indebted countries went through the same stage everybody who has been in trouble in the eurozone in the last year is as in the first phase of the crisis always refused to admit that they are really in trouble and that of course is first of all some kind of psychological game they're trying to play with the markets and we could probably get large. that. being said. that's also been quite clear that all the countries that came into the danger zone eventually had to ask for help which is something national governments don't like because then obviously to at least a certain degree they have two hands or two and two or a two foreign powers be the european central bank or europe the european com

. >>> still to come on the program, a crucial parliamentary vote delayed in slovenia. more when we come back. >>> brazilian diplomat will be named the new head of the world trade organization beating eight other hopefuls to the role after a selection process that took six months. the first latin american to take on the new role. >>> the eu must tackle disparities between the north and south to achieve convergence through fiscal transfers according to the european commissioner responsible for employment, social affairs and inclusion. he also said investing in human capital is essential to europe's employment outlook. i caught up with the commissioner after his speech and asked him to explain what fiscal transfers entail. >> they are not going to be sustainable if the price of fiscal conversions is social divergence if the deficit countries need to pay the high unemployment and rising poverty outward migration of the young generation for delivering on the various fiscal rules and there's only one way to maintain these convergence of the fiscal rules and it's a discipline

discuss developments in several euro zone countries struggling to cope with the debt crisis, including slovenia. that country is trying to avert an international bailout through a new austerity plan. greece is also on the agenda. the finance ministers now approving the release of the next tranche of much-needed rescue cash. cyprus also receiving its first installment of an international bailout. >> time for a look at how the markets kicked off the week. our correspondent sent us this report from frankfurt. >> for three weeks now, shares only knew one direction. that's headed for an all-time high -- the dax headed for an all-time high, mainly driven by the very low interest rates in the euro area. after three weeks in gains around 10% for the dax, some profit taking started off this monday. investors said that it would be good to take a break after this rally. in the end, there has been new economic data coming in from the u.s.. retail sales have been higher than expected. this led to the fact that the dax ended up in positive territory, which means another record. >> let's get a closer look at

recommend for belgiums, the netherlands and portugal, an extension by one year and for france, poland, slovenia and spain, an extension by two years. >> the commission noted that france, the eurozone's second largest economy after germany, is in recession. that mean it is will struggle to meet an eu target for bringing down its deficit to below 3% of the country's gdp. europe's debt crisis in late 2009 triggered tax rises and massive spending cuts, as governments sought to rein in the debt. but austerity came with pain. the commission now accepts that struggling countries need more time, but it's also urging policy overhauls to accelerate labor and pension reform to create more jobs. >>> analysts with the organization for economic cooperation and development like what they're seeing from the japanese economy. they say stimulus measures have sparked a rebound and they have raised their projections for growth. >> the japanese economy is picking up and looking better. >> the analysts raised their outlook for gross domestic product in 2013 from 0.7% to 1.6%. and they have revised their forecast for

to ensure that the euro continues because bailouts are going to keep coming of course we know that slovenia is now in serious trouble spain has on employment which is a youth unemployment which is around sixty percent in greece we have soup kitchens on the streets of athens we have people leaving children on the steps of churches because they can't afford to live so they will be more bailouts in the pipeline and obviously the european union has to look at different ways of raising that revenue . and how far will this go in improving the economic fortunes that. well the whole thing is a mess and the problem that they have at the moment is that they have a series of countries in particular in the mediterranean states italy greece cyprus and spain and portugal who quite frankly are trapped inside the currency that they shouldn't be in and if they really wanted to get their economies kick started they would leave the european currency the euro they would set their own xchange rates and get their exports moving because that's the only way that these countries will break out of recession and it's

nerves over the situation in slovenia it's got a tiny economy with a g.d.p. of about forty five billion euros and debts of banking system burden with around seven billion euros of bad loans no. doubt by transferring the non-performing loans of its largest banks to a newly established bad bank meanwhile its credit rating was recently cut to junk by moody's that's one of the lowest investment grades as it sounds the same thing happened to cyprus in two thousand and twelve a year before it faced punishing bailout terms but insisting it doesn't need help from international lenders but your moldova from economic trends magazine says that kind of sounds very familiar. everybody who has been in trouble in the eurozone in the last years as in the first phase of the grass is always refused to admit that they are really in trouble and that of course is first of all some kind of psychological game they're trying to play with the markets and with the public at large. but that. being said. it's also been quite clear there all the countries that came into the danger zone e

to ensure that the euro continues because bailouts are going to keep coming of course we know that slovenia is now in serious trouble spain has on employment which is youth unemployment which is around sixty percent in greece we have soup kitchens on the streets of athens we have people leaving children on the steps of churches because they can't afford to live so there will be more bailouts in the pipeline and obviously the european union has to look at different ways of raising that revenue. elsewhere bitcoin an online currency is set up to get around the bank's comes under siege by the u.s. government sending ripples through the internet community that he uses the fledgling monetary system and raising fears that it will be fluffed out before it really gets going that's coming up in around ten minutes. to launch direct negotiations between the conflicting finds in syria is now receiving support from the united nations secretary-general ban ki moon has become the latest in a string of high profile figures visiting russia to discuss this they were in civil war and has given the green light

to ensure that the euro continues because bailouts are going to keep coming of course we know that slovenia is now in serious trouble spain has only which is a youth unemployment which is sixty percent in greece we have soup kitchens on the streets of athens we have people leaving children on the steps of churches because they can't afford to live so there will be more bailouts in the pipeline and obviously the european union has to look at different ways of raising that revenue . the independent currency big corners had a serious snag after u.s. authorities blocked the account a dollar it's a business that allows users to convert u.s. dollars into coin and back again the department of homeland security says the peer to peer currency runs roughshod over new laws that require online transfer systems to identify its uses. explains the move as a warning shot for the fledgling currency the u.s. government has made no secret of the fact that it is keeping a close eye on that point but now it appears that the crackdown on the decentralized digital currency the department of homeland security sees

liz: slovenia just got downgraded by moody's. >> we will see more surprises, but it really doesn't make any difference. i will not sell my apartment because of some news that may happen next month. you can get a lot out of me, but you cannot get that out of me. liz: i can try, right? 26 million shares, but the stock has started to go up, one of the things that has got a lot of chatter and attraction is warren buffett just wrote an article for fortune, brand-new fortune edition and talks about women propelling themselves in this economy most importantly. >> wants to get out to messages, women have been held back in a major way by exterior factors in the first century, but also by interior factors. i use my sisters as example of the exterior factors when they were born around the time i was born in 1930 they did not have the same chances i had, and somebody who really was held back to some extent although she overcame it, but by interior forces and i really wanted to encourage all women to quit looking at themselves in any fun house mirrors and see themselves as they really are, every bit

fiscal monitory, but early reports have also suggested the commission will criticize france, spain and slovenia for their slow pace of structural reforms. ironically, belgium could become the first eurozone company to be fined for breaking the bloc's fiscal rules. >>> well, the latest in france and spain have urged eu companies have tapped for youth unemployment projects. they outlined a number of measures, including a youth guarantee scheme. the promise to everyone under the age of 25 for a job, further education or training. mario area hoy, meanwhile, said subsidies for youth unemployment should be exempt from deficit measures. 23.5% of young people are jobless in the eu. in greece and spain, it is over 50%. >>> well, the wto in conjunction with the eocb will release their biannual economic outlook for all major world economies in under an hour's time and pascal lamy is director general at the world trade organization. nice to have you back on board with us. let me first of all ask you about the big story across european markets, whether we will see deficit leniency for the likes of france, s

guarantee to be in the world cup finals they didn't qualify last time they lost in the playoffs to slovenia for three thousand and ten the nation was in mourning for several days it does affect the economy and when everyone goes into a slump like that people don't turn up for work we've got hanging over the drowning their sorrows as a host nation russia is guaranteed to be that. it could really sort of kick on the level of professionalism of football in russia just money generates money you know the game because more professional more top players come in more sponsors that it's really just not the kindling that that likes the fire for professional football and money making and as well. thank you very much you know harvey thanks for the update . and let's now see where we currently stand when it comes to the markets on wall street where trade is active the sour the negative sentiment rules the day friday's losses mark the first three day drop of the year for the dow industrials still cannot really get over their concerns about what's going to happen when the stimulus program comes to an end

. >>> moody, meanwhile, downgrading slovenia's credit rating to junk and adding concern the small eurozone nation may be next in line for a bailout. they cited the weak banking sector, uncertain funding prospects and deteriorating public finances as reasons for the cut. and words of further downgrade could be on the way. so, just how much concern is this really causing? let's get back to madrut. let's start with cyprus and whether there's any sort of contagion concern here? i guess i'm struggling to ask the question because markets largely seem to be shrugging it off. >> yes, i think markets have taken cyprus to be a unique situation, and clearly, as you can see from spain and italy, there's a lot of comfort at this point in time in the ecb's promise that they will go and activate omt, if required. more importantly, i think there has been a subtle shift in position across g-20 countries, but in particular in the eurozone towards this emphasis on austerity. a lot more time being given implicitly to countries, spain, portugal, all of these countries being given more time to meet their defici

it's also made the borrowing costs less in slovenia. yesterday their abandoned an issuing of debt. at the same time they were downgraded by moody's. that may play out as we move forward. 80 countries around europe is internationaler workers day. a remembering the establishment of the eight-hour working day. it's been a chance for the labor movement to campaign. they were trouble on the streets of istanbul as well. the rest of europe commemorates the day, actually what they're commemorating is the day market affair in chicago in 1886. and that was the beginning of the establishment of the eight-hour working day. you celebrate it. you mark labor day at the end of the summer. so what she saw as a socialist event. >> classic thavper. that's a great tip. and you earned your point. today is a good one. >> that will mask the data release. >> thank you, simon. bob pisani is looking at what else is moving at the big board. hey, bob. >> deflation is the issue here. take a look at the sectors. april manufacturing. march construction spending, all disappointing. the risk on sectors to the down

following senator durbin's line i think of my own relatives and my dads family coming from slovenia working in the mines in northern minnesota and my mothers family starting a cheese factory in wisconsin. these are our relatives and everyone in this hearing today has their own story and we must continue that american greatness by getting this bill done. this is also a test of bipartisanship in this congress a group that has courageously come together to work on this bill and a number of us on the committee including senator hatch and myself have worked together on a number of very important pieces of this bill and amendments. we are a country of immigrants. 90 of our fortune 500 companies were formed by immigrants. 200 of our fortune 500 companies were started by immigrants or the kids of immigrants. 30% of u.s. nobel laureates were immigrants. think of those numbers and think of our future as we make sure we keep the door open. that is what this bill does. it has the much-needed security measures. it establishes a pathway to earn citizenship. it contains the d.r.e.a.m. act. it has provisio

i think of my own relatives, my dad's family coming from slovenia looking -- working in the mines in northern minnesota. i'm liz bernstein from switzerland, starting a cheese factory in wisconsin. these are our relatives. everyone watching this hearing today has their own stories, and we must continue that america's greatness by getting this bill done. this is also testing bipartisanship and the congress. a group pastor is the come together to work on this bill, and a number of us on this committee, including senator hatch and myself, have worked together on a number of very important pieces of this bill and amendments. we are a country of immigrants. ninety of our fortune 500 companies were formed by entrance. 200 of our fortune 500 companies were started by immigrants or kids of immigrants. 30 percent of u.s. nobel laureates were immigrants. think of those numbers and think of our future as we make sure that we keep the door open. that is what this bill does. it has much needed security measures, establishes a pathway to earn the citizenship. it contains the dream act. it has provi

all the important when everybody in the world was worrying about slovenia was going to do. they have to improve this fund and if their parliament could not prove that who knows knows what could have resulted so we were all waiting on slovenia. if you think having a u.s. congress and having to see what they do is a system imagine if you had 17 of them to deal with. that has been the consistent challenge of europe over the last few years and one that i tell about in the book. so you know in europe you have a situation where there are a number of governments that had large deficits and markets were turning on them so the question is what do you do if your central bank? in the u.s. you can have monetary policy. the problem in europe is the greek and spanish economies are different from the spanish or french economies. these imbalances that have been building up over a decade he didn't have a way for those, you didn't have a pressure valve that allowed this to escape. the adjustments that in the past would have happened by evaluating currency and stagflation and people are less