they are expecting that to improve wants covert restrictions are lifted. but they are also exposed to russia and they have the cost of living crisis in their other main centre, which is the uk. so all in all, it adds up to lots of problems all over the place. that said, it is a little bit better than we thought it might be. there are a few points to note. they appear to have wrong footed themselves on some of their equity hedges, so they lost a bit of money on that, and they say that volatility means that could be an ongoing story. they are saying for that reason no more buy backs for the moment, which is a bit of a disappointment to some people. they are also experiencing higher credit losses, which they say, they kind of called normalised, but thatjust means it s going to be more, which i think reflects the impact of the cost of living crisis in the cost of living crisis in the uk at higher expected
interest rates. 0bviously, the uk at higher expected interest rates. obviously, if interest rates. obviously, if interest rates. obviously, if interest rates are higher than they make more money on loans but they also potentially have higher credit losses.- higher credit losses. indeed, and i was higher credit losses. indeed, and i was going higher credit losses. indeed, and i was going to higher credit losses. indeed, and i was going to ask- higher credit losses. indeed, and i was going to ask you i and i was going to ask you about the cost of living pressures. i mean, especially with the high inflation, and looking at a rate rises, how much will that be impacting their business? their business? well, as i said, their business? well, as i said. they their business? well, as i said, they will their business? well, as i said, they will benefit - their business? well, as i said, they will benefit on | their business? well, as i i said, they will benefit on the lending side fro
them. but like i said, with higher credit losses. find them. but like i said, with higher credit losses. and how robustly placed higher credit losses. and how robustly placed is higher credit losses. and how robustly placed is hsbc - higher credit losses. and how robustly placed is hsbc to - higher credit losses. and how| robustly placed is hsbc to sort of whether the headwinds that you have outlined there? i would have said from a balance sheet point of view, looks fairly resilient. it has a good level of capital and it is managing to get its costs under control, which is very good news. so if it continues on its present path, then it should be able to weather the storm. it is exposed to russia but it says it is managing that. we will have to see what that. we will have to see what that means in practice. so the real question for them will be how robust a recovery in hong kong is, because that is such a key area for them, and activity does need to pick up there. francis coppola,
from russia will cost the company up to $5 billion dollars in writedowns. the oil giant made the update ahead of its earnings announcement due next month. the figure is higher than its previous estimate of around $3 billion, due to severalfactors including credit losses in russia and potential impacts around contracts. fruit suppliers are feeling the effect of logistical disruptions because of the war in ukraine. the association of african producers of bananas and otherfruits, afruibana, has expressed its concern regarding the impact of the war on the european banana market where nearly 90% of its members bananas are exported to. joining me now is george kporye, ghanan fruit exporter and member of afruibana. thank you very much forjoining me today, george. just explain
billion dollar buyback programme. joining me now it s francis coppola, an independent banking analyst to chew over those figures. what you make of what we ve heard coming out of hsbc? , ., ., 4 what we ve heard coming out of hsbc? , , , hsbc? they look pretty good. obviously hsbc? they look pretty good. obviously the hsbc? they look pretty good. obviously the property - hsbc? they look pretty good. i obviously the property increase is mainly due to rebounding from the pandemic and actually having done rather better in the pandemic than they had originally acted. so the credit losses are much less bad than they might have been. so they ve been able now to release a lot of the money that they set aside to cover those of affected losses, and that is the cause of the enormous increase in profit. now, is it going to be repeated next year? there is a slight disappointment in revenue, and overall, the results show a bank that is doing well, is able to return a bit of money