Transcripts For BBCNEWS World Business Report 20240710

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Hello and a very warm welcome. Itsjust under a month to go before germany goes to the Polls in the first election for over 15 years in which chancellor Angela Merkel will not be standing. Last night, the leaders of the main parties who hope to succeed her took part in a televised debate. Germany faces huge economic issues not least its recovery from the pandemic so what did we learn about the candidates and their plans . Joining me now is christian schulz, economist at citi. Good to have you with us. Morning. Good to have you with us. Morning good to have you with us. Morninu. ~. ,. , ~ morning. What do you think we learn from morning. What do you think we learn from the morning. What do you think we learn from the debate morning. What do you think we learn from the debate on morning. What do you think we learn from the debate on the i learn from the debate on the economic agendas . In learn from the debate on the economic agendas . Economic agendas . In the debates they economic agendas . In the debates they went economic agendas . In the | debates they went through economic agendas . In the debates they went through the various topics and i think its very clear the one thing that everyone agrees on in germany is Climate Change is the big Challenge And Something needs to be urgently done. They did not reveal is how they will pay for it while people will be involved financially which is of course a very big economic topic but its one thing where i think everybody agrees, Climate Change. They also debated tax policies. One side, the centre left, of course, wants to raise taxes to pay for the damage of the Corona Crisis and recovery and the other sides want to cut taxes in order to get the economy going more quickly, it Is A typical left right divide. I have to go to coalition in The End so everything they say, what we want to know is of course the red lines which were not too clear after the debate. find red lines which were not too clear after the debate. And is there any clear after the debate. And is there any sense clear after the debate. And is there any sense yet clear after the debate. And is there any sense yet about. Clear after the debate. And is i there any sense yet about which issue or issues will be the deciding factor in who emerges as victorious . I deciding factor in who emerges as victorious . As victorious . I think unfortunately as victorious . I think unfortunately None L as victorious . I think| unfortunately none of as victorious . I think unfortunately none of the economic or even of the Climate Change policies are going to be decisive. I think there Is A lot of overlap with the parties but its really the candidates which unusually in german politics really dominate but not in a good sense, especially candidates of the greens, Annalena Baerbock and the cdc� s use of the party that Angela Merkel has been running armin laschet. They have had a terrible campaign, both of them, and have been dragging their parties which, at various leading various stages of the campaign, were leading, and they have been dragging them down and the spd, total democrats for whom the Finance Minister Olaf Scholz is running, doing relatively well because of that and i think if you look at the debate yesterday, he did not change there, he did relatively well, according to the Polls. According to the Polls. Polls at the moment according to the Polls. Polls at the moment are according to the Polls. Polls i at the moment are forecasting no clear winner so i suppose likely we will see a coalition formed. Is It Something that economy watchers, analysts, markets prefer because it enforces compromise and no kind of sudden, sharp changes in terms of what the government does about the economy . Indeed. If ou does about the economy . Indeed. If you think does about the economy . Indeed. If you think about does about the economy . Indeed. If you think about it, does about the economy . Indeed. If you think about it, after does about the economy . Indeed. If you think about it, after 16 if you think about it, after 16 years of Angela Merkel, who has been a very dominant figure not just here in Germany But Europe and even to some degree in the world, there is uncertainty of course at home here in germany but also in the markets about where things are going so the more continuity we have, less extreme divergences the path we have been on, were going to have, you know, the less dangerous if you like it is because germany matters for many reasons and i think a coalition in that sense is good. At the same time of course it prevents a big change, something that people have been waiting for for a long time to happen, such as germany really opening their coffers for the eurozone and stabling the eurozone, but unfortunately is not going to happen either. Unfortunately is not going to happen either. Thank you very much, christian schulz. The taliban are in control of afghanistan for the first time in 20 years but they now face an economy on the brink of collapse which threatens to worsen an already devastating humanitarian crisis. When the group seized power on 15 august, afghanistans internal Banking System froze up. However, on saturday, officials ordered banks to re open and imposed a weekly limit on withdrawals of 200, so long lines formed outside banks and atms in kabul. And atms in kabul. The crowds gathered amid concerns over the implementation of new restrictions on Cash Withdrawal by the Central Bank of afghanistan. Taliban Spokesperson Zabiullah Mujahid said officials had already been appointed to run key institutions, including the ministries of public Health And Education and the Central Bank. He also said he expected the serious economic turbulence which has hit the afghani currency to ease soon. Joining me now is fung sui, afghanistan analyst at The Economist intelligence unit. Fung sui, what do you make of this reopening of the banks and the things we saw with people lining up because of the limits on how much they can withdraw . I think its something that the taliban has been working towards, they are going to try very hard to make sure the economy runs again. But in terms of cash limits, that was definitely necessary. But in terms of easing the economic conditions, i think that is slightly optimistic. Because the taliban will have difficulties getting hold of cash, especially international. It Is A highly dollarised economy so us dollars are not floating in right now and though therefore they are actually going to have difficulties making sure everybody gets all of the money that they actually want to withdraw and the economic conditions dont look as if they are going to get any better. The afghani, the currency, has actually depreciated and i think it will carry on depreciating for the next couple of weeks and were looking at inflation running pretty high over the next couple of months and, you know, if the sort of sanctions that are going to be put in place against the taliban and also if the Development Aid and that sort of Aid Flow does not come in at some point, then we will get into a situation where the economy could actually crush. I economy could actually crush. I mean, crash. I mean, the country is so dependent on foreign aid and a lot of it will be seizing up. What does that mean, in practical terms, for people in afghanistan on a day to Day Basis . For people in afghanistan on a daytoDay Basis . DaytoDay Basis . Well, on a daytoday daytoDay Basis . Well, on a daytoDay Basis, daytoDay Basis . Well, on a daytoDay Basis, some daytoDay Basis . Well, on a daytoDay Basis, some of i daytoDay Basis . Well, on a. DaytoDay Basis, some of the day to Day Basis, some of the foreign aid came in and it helped contributing to Government Spending. If Government Spending. If Government Spending. If Government Spending contracts, we are looking at no more money left to pay the central for the Essential Services and huge unemployment in the cities and not necessarily in the rural areas but definitely in the cities. So it will definitely create even more hardship than there Is Already. But i think you married to humanitarian aid right now, given that crisis that it is going through is really important and i think moves are under way to try and untangle or make it slightly easierfor humanitarian untangle or make it slightly easier for humanitarian aid to flow through into the country because there has been a recent drought, it Is Actually reduced crop yields. We do have coronavirus in afghanistan. Donations of vaccines have been made but much, much greater efforts need to be made to actually put those vaccines into arms, otherwise youre going to have another outbreak and the outbreak will be hard to control. So, you know, the aid itself is beneficial in supporting Government Spending and if it remains frozen, then we are looking at even more disastrous situation we currently face with the afghani currency dropping in its value. And in terms of the afghani economy, a lot of it is very cash based signalling to the point about the banks being told to reopen, if people dont actually have a bank account, what impact have in terms of the levers that the authorities have in terms of getting the economy up and running, if they can at all . I economy up and running, if they can at all . Can at all . I think the taliban Will Struggle can at all . I think the taliban Will Struggle to can at all . I think the taliban Will Struggle to get can at all . I think the taliban Will Struggle to get the Will Struggle to get the economy running currently. Maybe over the medium term. Deals will be done, negotiations will be had. But in the immediate future, i think it being a cash economy, i think all the local people will experience really great difficulties, and thats what makes humanitarian Aid Flowing through to the country but much more important. Because youve got lots of people who are displaced, youve got people who Will Struggle to get hold of food because of the drought sorrow, you know, its good that the banks have opened up but a lot more needs to be done now on the humanitarian Aid Side to make sure that the calamities that face the public dont actually get even more than they already are. Dont actually get even more than they already are. Fung sui from The Economist than they already are. Fung sui | from The Economist intelligence unit, afghanistan analyst, thank you very much indeed. A year late, the tokyo 2020 paralympics are off to a flying start. More than a dozen athletes are sporting the cheetah blade, which has revolutionised many of the events in the games. The company that makes them is ossur, and its chief Executivejon Sigurdsson told my Colleague Aaron Heslehurst that Supply Chain problems and in particular the shortage of Shipping Containers has become a huge problem for the business. Yes, absolutely. We are feeling it, and the biggest impact, monetary impact, Is A trade is freight. We are in a situation where you cant get containers, its incredible. And if somebody wanted something half a year ago, you would probably laugh at them. Everyone would be a laughingstock. We are chartering planes, flying Around The World to pick up pieces and fly them to our manufacturing facilities. Hora manufacturing facilities. How do Ou Manufacturing facilities. How do you handle manufacturing facilities. How do you handle those manufacturing facilities. How do you handle those extra costs . Are they passed on . He. Costs . Are they passed on . No. Generally We Costs . Are they passed on . No. Generally we have costs . Are they passed on . No. Generally we have to costs . Are they passed on . Firm generally we have to swallow them and of course there Is Another, a huge saving in travel, for example. And i dont think that will come back again. And we have officially, within the companies, we will travel only half as much as we did pre covid i9. Lets get some of the days other news. British retailer Marks Spencer will stop selling suits for men at half of its 254 bigger stores across the uk. Wes taylor, the companys menswear director, says covid has accelerated the trend for casual wear as more people work from home or remotely. M s� Mens Suit sales fell 80 in the first two months of the pandemic. Japans Health Minister says he will investigate the deaths of two people who got coronavirus shots from a batch of Moderna Vaccine which is suspected to be contaminated. He says its still unclear if the deaths are linked to the vaccine, but that this will complicate the lifting of Tokyos State of emergency, which is meant to end on the 12th of september. Chevrolets parent General Motors has recalled every Bolt Electric Car ever made to fix a problem with the vehicles batteries, which has been linked to causing fires. Owners are being told not to charge their ev indoors overnight and not charge them beyond 90 . Gm Is Also cautioning Bolt Owners not to drive so far on one charge that the battery drops below 70 miles of range. In the first in our series looking at female leaders in asia, we speak to a serial entrepreneur who founded her first company in New York at the age of 28. After returning to singapore, she started a new business homage, which helps the elderly in the region find Healthcare Assistance more easily. She explains why it hasnt always been an easy journey for her. I was practising how to pitch and how to communicate my ideas across and i remember someone, you know, who was reviewing my pitch, it was an older gentleman, and he was saying you will never be a ceo. We are living longer but unfortunately, in more sickness. This is one of the most important socio economic issues to solve. You know, i think its also been called out ljy think its also been called out by the world health organization. And its very key because the impact goes beyond the person who needs to receive care. Most of my career has beenin care. Most of my career has been in sort of male dominated settings, in tech and in the us as well, starting my first company, so im really passionate about Empowering Women and also debunking the stereotype that only women can be caregivers. Experiences in starting ventures and some obviously that went really well and some but failed. You carry with you a lot of lessons learned. And i would say one of the biggest ones that ive kind of carried with me is that you really need to connect with what youre working on. Because an entrepreneurship, you know, when you are starting a company or building a company, and there is such strong ownership, bahaIs Are very high and the low e low, right . Someone mantra i take with me is when things, when good things happen, dont let it get to your head but when bad things happen, but let it get to your heart. Foryou happen, but let it get to your heart. For you to be able to have that resilience and grit, you need to find the cause and the purpose and its really, really key because when no one is looking it is just you and your core and your core is what keeps you going. Stay with us on bbc news. Still to come we look at the bookshop boon. Boom. We join a woman who was made redundant during the pandemic and decided to follow her dream take this is bbc world news. The latest headlines five rockets have reportedly been fired at Kabul Airport us Military Sources say they have been intercepted by an anti missile system. The entire us City Of New Orleans is without power as Hurricane Ida batters louisiana. Thousands of people had already left the region. Workers in england and wales are being fobbed off with a stingy number of Holidays'>Bank Holidays, say trades unions. They get eight Public Holidays a year, which is four fewer than the Eu Average and half the number injapan. The Umbrella Body for unions, the tuc, is calling for a new Public Holiday between september and christmas. Joining me now is marc ostwald, Chief Economist global strategist, adm isi. What do you make of this idea . I suppose it would be popular with workers. It idea . I suppose it would be popular with workers. It would certainly be popular with workers. It would certainly be popular popular with workers. It would certainly be popular with certainly be popular with workers and to be honest in this day and age, there Is A flexibility which is probably more needed and Holidays'>Bank Holidays bring people together so in a certain sense it is not surprising that there is this call particularly relative to everyone else. The uk has very few Public Holidays. Few Public Holidays. There are winners and few Public Holidays. There are winners and losers few Public Holidays. There are i winners and losers economically to more Holidays because there are some that would see less profits on that day and other people going out and spending, leisure, tourist places, shops even. ,. , leisure, tourist places, shops even. , even. On the shop side, obviously even. On the shop side, obviously the even. On the shop side, obviously the uk even. On the shop side, obviously the uk is even. On the shop side, obviously the uk Is A. Even. On the shop side, i obviously the uk Is A seven days a Week Country so i dont think it makes a huge amount of Difference. Other companies, particularly in the services area, up would probably not benefit quite so much but i dont really think in an era of great working time flexibility that it actually makes that much Difference. That it actually makes that much Difference. ,. , much Difference. From a Company Oint of much Difference. From a Company Point of view. Much Difference. From a Company Point of view, doesnt much Difference. From a Company Point of view, doesnt any point of view, doesnt any Difference whether, say, its a mandated Public Holiday for everyone or if theyjust choose to give their particular staff an extra day of leave . Does that make any Difference . From a leual that make any Difference . From a legal perspective that make any Difference . From a legal perspective and that make any Difference . From a legal perspective and an a legal perspective and an actual perspective, it does make a Difference. There is no question about that. So thats come particularly in the manufacturing sector, it makes quite a lot of Difference but at The End of the day all it really requires Is A little bit more flexibility. Really requires Is A little bit more flexibility. And why do ou more flexibility. And why do you think more flexibility. And why do you think it more flexibility. And why do you think it is more flexibility. And why do you think it is that more flexibility. And why do you think it is that england i you think it is that england and wales, you can get so many fewer Public Holidays than counterparts in the European Union orjapan, for example . I think in the uk, a lot of it Is Actually due to the fact that most Public Holidays are not religion related whereas in Continental Europe and in most parts of the world, aside from the usa, a lot of the Holidays are not actually outside of christmas and easter, are not actually religion related. In europe they are. Actually religion related. In europe they are. Ok. Mark, thank you europe they are. Ok. Mark, thank you very europe they are. Ok. Mark, thank you very much. Europe they are. Ok. Mark, thank you very much. We i europe they are. Ok. Mark, i thank you very much. We will wait and see what happens on that one, mark ostwald. More than 60 bookshops launched in the uk and ireland in the past 18 months, making the highest number of independent bookshops in nearly a decade. But with a mix of covid, rising rates, dying High Streets, not to mention the rise of online shopping why would anyone open a bookshop . Well, Leisure Company Executive Amanda Truman was made redundant and turned to her dream doing just that. It looks like you are in the bookstore now, amanda. How Big A Gamble was it for you . It bookstore now, amanda. How Big A Gamble was it for you . A gamble was it for you . It was a gamble was it for you . It was a gamble a gamble was it for you . It was a gamble but a gamble was it for you . It was a gamble but it a gamble was it for you . It was a gamble but it felt a gamble was it for you . It was a gamble but it felt like a gamble was it for you . It was a gamble but it felt like the a gamble but it felt like the year to make a gamble. I dont know, it was such a crazy year last year. It made me kind of look at how i wanted my life should be and it felt like the year to take a leap. I should be and it felt like the year to take a leap. I suppose more People Year to take a leap. I suppose more people had year to take a leap. I suppose more people had time year to take a leap. I suppose more people had time during | more people had time during lock down to read for leisure in a way they didnt before if they were going out for dinner or travelling and so on. But a lot of that would be done on e readers, Digitalversions Lot of that would be done on e readers, digital versions of books. Do you still think there Is An appetite, enough demand for physical books to sustain as many bookstores that have now sprung up . As many bookstores that have now sprung up . Yeah, 10096 as i think people now sprung up . Yeah, 10096 as i think people did now sprung up . Yeah, 10096 as i think people did go now sprung up . Yeah, 10096 as i think people did go online now sprung up . Yeah, 10096 as i think people did go online last i think people did go online last year because bookshops were closed but coming into a bookshop, browsing, chatting to the people about books, discovering something new you perhaps hadnt heard of, it Is A different experience than buying online and having an e reader. Certainly i found people loved being in the shop and are really happy to support and are really happy to support an independent business on their High Street as well. I think the last year has made people conscious of their local community and also where they spend their money and they want their local community to be great and having things like independent bookshops make it great so they want to support us. It great so they want to support us. , y. , great so they want to support us. , ,. ,. , us. It is interesting, you go to an independent us. It is interesting, you go. To an Independent Bookstore us. It is interesting, you go to an Independent Bookstore and from each one to the next it has its own distinct identity. If you are a regular you get to know the characters who work there. From a business perspective, the difficulty is that unlike a big chain it is harder to be able to afford to do offers to entice people in and promotions to sell books more cheaply. Are you finding that people are still willing to support the Independent Bookstores even if they cant compete necessarily on price . Definitely. We have had a lot of people saying i could have bought this somewhere else, i could have bought this online, but i want to support you. And they know they are getting something extra. They are getting, people can come here, have a coffee, have a chat and meet their friends and is this whole experience here which i think people are willing to pay a little bit more to enjoy and support. A little bit more to Enoy And Su ort. ~ ,. , a little bit more to Enoy And Suort. ~ support. When you open the Book Sho , support. When you open the Book Shop. How support. When you open the Book Shop. How did support. When you open the Book Shop, how did you support. When you open the Book Shop, how did you decide support. When you open the Book Shop, how did you decide where l shop, how did you decide where to open it . At the moment there is so much empty retail space. A prime chance for somebody who is in a position to start their own retail business. How did you pick the right place . I own retail business. How did you pick the right place . I was clear from you pick the right place . I was clear from the you pick the right place . I was clear from the beginning you pick the right place . I was clear from the beginning that. You pick the right place . I was clear from the beginning that i did not want to be in the city centre. They wanted it to be a local community shop. I was looking at villages around the city. I picked this village because it already has a lot of great independent businesses on the High Street. It has a vibrant creative community and it has a community that really supports the local High Street and supports local businesses and supports local businesses and wants the place to be great. It had a great vibe to it and that has been born out of the local community which has been so supportive and welcoming. It has been amazing. Almost out of time amanda but i cant let a Bookstore Owner without asking you what you are reading at the moment. That without asking you what you are reading at the moment. Reading at the moment. At the moment i reading at the moment. At the moment i am reading at the moment. At the moment i am reading reading at the moment. At the moment i am reading Magpiel Reading at the moment. At the I Moment i am reading magpie so, it comes out next week. I am reading it so that i can get a preview and recommend it next week. �. Preview and recommend it next week. �. ,. ,. , preview and recommend it next week. ,. ,. ,. , ~ preview and recommend it next week. ~. ,. ,. ,. , ~ week. Amanda truman. Thank you. Thank ou week. Amanda truman. Thank you. Thank you for week. Amanda truman. Thank you. Thank you for watching week. Amanda truman. Thank you. Thank you for watching the week. Amanda truman. Thank you. Thank you for watching the top thank you for watching the top you can reach me and the team on social media. You can reach me on twitter im benmboulos. This is bbc news. I will see you soon, bye bye. Hello there. Sunday was a day of Contrast Cool in The Cloud, warm in the sunshine and in actual fact, across south west england, we saw temperatures into the mid 20s. A beautiful Sunday Afternoon for many. The next few days look likely to stay quite quiet across the whole of the country. Quite a lot of dry weather around as well, but it will be mostly cloudy, and i suspect the temperatures easing away just a touch, around average if were very lucky. High pressure still dominates the story. Its a Blocking High thats preventing Weather Fronts from moving in off the atlantic. But a little bit more of a breeze always down towards the south, and thats going to continue to push this cloud in off the North Sea, which could be thick enough on Monday Morning for a spot or two of drizzle. Favoured western areas, perhaps as we go through the afternoon, seeing some sunny spells, but i suspect not as much as recent days. So, the temperatures not as high. Cool in The Cloud and drizzle, 15 17 celsius, maximum values of 21, possibly 22. Now, that cloud will continue to push back in off the North Sea through the night. Thats going to act like a blanket. Its not going to be a cold night, with overnight lows perhaps staying into Mid Teens for some. It will be a quiet start to tuesday, but once again, a rather grey and gloomy one. The High Pressure keeping things very quiet, but again, that breeze just coming in off the North Sea, and a few more isobars, so the breeze picking up, and The Cloud will continue to sit across the country for much of the day. Favoured spots for any brighter, sunnier spells perhaps into northern Ireland And Western Fringes of scotland once again, but those temperatures are going to be a little bit more subdued. Again, were looking at maybe around 15 19 celsius at the very best. Wednesday is the beginning of september. The High Pressure is still with us, little in the way of significant change to the weather story. So, i suppose the good news is you will be able to plan ahead. Theres going to be a lot of dry weather to look out for. And maybe on wednesday, more sunshine coming through scotland, Northern England and northern ireland. Top temperatures in the sunnier moments maybe of 21 22 celsius. It looks likely that that dry theme is set to continue as well thursday into friday. No significant rain in the forecast of the next few days to come. Enjoy. Good morning. Welcome to breakfast with rogerjohnson and louise minchin. Our Headlines Today british troops from kabul land back on Uk Soil as the government seeks international support to ensure the taliban allow people to leave afghanistan. Rockets are fired towards Kabul Airport where the us Evacuation Operation is drawing to a close they are intercepted by an american anti missile system. President biden declares a major disaster in louisiana as powerful Hurricane Ida makes landfall wiping out all power in new orleans. A new law to make School Uniforms cheaper for families across england and wales will not be in place in time for the start of thIs Academic year

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