the international community i've taken into account, but the concerns of the fact well for the peace of god is done out. also taken into account singleton is at least 25000000 people are struggling with hunger, male nutrition because of the civil warrants. who don, that's according to you in the world food program, thousands of families of falls from their homes every week. many of them fling to neighboring chad themselves to don. malcolm webb has this report. 10 months of fighting has made many parts of suit on, on livable. that's why every weeks, thousands of people arriving here in the town of rank in south sea, done. many say what little they had is being taken by fighters. a check points along the way. you know, been, well, we came by bus, it took us 2 days to reach here. we came from saddam because of the want to hear what we need to suit the immediate support we need just the age of to be able to survive the world food program which published this video says maquida and have

family are among about half a 1000000 people he's arrived here in the last year. this is what they've left behind in april last year, fighting abruptly between c don's army and the power military rapids support forces . attempts at mediation have failed the sites and the risk of being caught in the cross fire. millions of people has been cut off from essential supplies. some of those arriving in sounds to don, ready, severely, malnourished. many more become malnourished as the weights in the transit senses. food russians have been slashed because of a lack of funding. the rates of mail never sent all high. we are finding that the most impacted the women and children. and that's why a range of services are available at the border immediately when they cross in, but also when they move to the transit center. some people stay in the transit senses for months. others who originate from south see don eventually pulled bodies

on their way to communities say struggling with years of flooding and conflict between the hundreds of thousands of fled to south sea, done and chad and the millions displaced with ensued on itself. the un says the conflict has created the world's largest displacement crisis and shows no sign of ending malcolm web outages era. and that's it for me to clog up any more of course, and website out 0 dot com all the news recovery meant for new comments and analysis to kind of the cost to me right up the, the white, sandy beaches and clear to close voltage. this is the multi, it's the world knows and loves the island of an ungodly, smaller waist. next to the capital, one of the most densely populated citizen,

the world. just off the coast, a new project to try and remedies, pillows sunk into the sea for highway, leading to woods now, just assemble will be and you call get pulled in residential blocks. judging sam bits kills micro organisms find sustaining marine environments. it's a tricky balancing act for the government of the country that's 99 percent of the water vulnerable to rising sea level. the dive is head say the judging has already had a devastating impact rates in this area of law 70 percent of the carl coverage. the residents of building gaily are already taking action to protect the reef carl's company to promote groups and replanted off the coast. it's fun for me, i do, but the only thing they can do to protect their environment in the race. to expand the

alarm, adrian said again of this is counting the cost on al jazeera. you'll ricky, look at the world of business and economics. this week is rails for us to have a credit rating down. great. a negative outlook for the economy. the war on cost is straining the nation's finance cost of this week, commercial real estate and the u. s. as faltering the unfolding crisis is in regional banks as far away as japan and germany plus nations across the world of testing a full day work week. that doesn't really increase productivity and improve worked life balance, the massive ministry spending a drop in revenues and a depleted workforce. israel is borrowing heavily to fund it will on gaza. and it's now intractable. and one of its white is budget deficits the century worried about the fiscal and political risks. moody's as low as well as credit raising for the 1st time. now that will likely make it more expensive for the nation to borrow

money. the agencies also full cost of negative outlook for the economy, opening the door for a further downgrade, as well as finance minister slammed the decision as a political manifesto. is it really challenges reports from occupied east jerusalem? within a stone's throw of jerusalem's old city, the jerusalem hotel, his interior. 3 good times and bad. since the 1940s. it's old. well palestinian chum appeals to the tourists who usually flocked to experience this ancient cities unique history. yet since october, the 7th, most rooms have lain empty, is cancellations, rolled in ends to mon plummeted. we immediately lost 50 percent. and as time passes, losing more now we are running at 30 percent of what we used to have before the end of the kind of situation continues. it might become even even worse. right?

it is fall from the only one to have noticed that the war is bad for business here . so last we can move to is one of the 3 international credit. racing agencies downgraded is rails credit rating from a $1.00 to $82.00. now that still invested great is not junk, but it shows the strain to this voice putting on as far as the economy justifying the move, moody sites, the ongoing military conflicts with how much it's off them off and why the consequences materially res. political risk for israel, as well as we can, its executive and legislative institutions, and its fiscal strength for the foreseeable future. israel has never experience writing down grades before the moodies decision was a double whammy. not just a reduced rate thing, but a negative outlook 2, which means another downgrade could be coming. is around the central bank estimates the will cost at $69000000000.00. i have a 2023. 2025. borrowing is going up to the a record levels. the countries 2020

full punch. it comes with a deficit of 6.6 percent of g d p only. the current video to 2020 was higher. still, the market response sofa is being told her in the interest rate for is rarely bones have increased. ok, even before the rating we're going down. and this is netra. but isabel, because it's a bit industrially very, very strong country. the fundamentals themselves haven't been hurt much, far right financed. many said bets it outs much. rich slammed moody's downgrade is politicized. prime minister benjamin netanyahu in system is rouse credit, racing will bounce back with the was and but no one knows when that will be or what will follow to a better time. some invest is like riots, tourist might choose to stay away, roll retrans, houses, era for counting the cost occupied east jerusalem. joining us not from london, danielle beyond k. daniel is associate professor of finance at queen mary

university of london. welcome to dante, what do you make of this decision by movies to downgrade is really officials to say that is not consistent with micro economical fiscal figures to the primary, the primary reasons why moody dominated the uh, these really uh, these are 80 uh ranking is due to political risks and you're wanting to cut rates, which are likely to persist even after the conflict ends up. so the fiscal situation is projected to be the to do they think uh, in fact, almost a god bless the how the, how the comp that goes. so what are the, the financial repercussions of moody's decision, especially on invest as well as the investment grade. so usually you see a substantial increase in interest rates when, when, you know, gets, gets out of the investment trade investment, grades, and ranges. uh so uh,

certainly the borrowing cost would increase but not dramatically. but really what is most easiest to pronounce that the, the, the fiscal situation, the, the, the budget, the budget is such that the setup 6.6 percent the g d p moving forward. and this is compared to a 2.5 percent the was projected to be pre conflict. so is really the 1st consideration and that includes the borrowing that worries, movies, and can and, and the market street, you say that the borrowing costs are going to rise, but not dramatically, but they'll be a drag on the economy. went the especially if the war goes on is as well. a risk of default in any way. no default, i think is a stretch, but certainly if he's got the nation, the direct uh, and then gotten a cost is being estimated by the bank reserve to be around 13 percent of the gdp. that's a huge cost and is going to definitely take control on the economy moving forward. in fact, mode is talks about persistent freaks that are gonna drive the economy uh well

before. what? even after the conflict of us we heard is really government officials of, of to food bodies downgrade. but all of the credit ratings agency is gonna follow suit. oh, that's usually the case, but it's not a given. uh, it really depends. uh typically does these raping agency, they have similar models within the motto. so uh there is there is that, you know, the idea that, that the items would follow, but it's not necessarily give them the as rarely federation of business organizations. and the tennessee based micro center for political economics of joint plate for cost of the war is going to contribute to the pleasure of what some $30000.00 small and medium sized businesses and in various sectors of do you think there's going to be increasing internal pressure on the government to, to, to sort this out to the end. this will, as businesses go, boss, people lose the jobs their incomes definitely that we'd be internet price or any fact if you look at the modest decisions a lot of the political risk is,

is actually what is going to be of the government, top of the complex and that's possible, clear. uh, so definitely that would be into the pressure bar. you know, if you look at the pools, this seems to be that, you know, huge support from the population to devote out front at the moment. so i'm not seeing the pressure for the foreseeable future as a key factor here. first of all, what's your end anytime soon? how quickly what as well as economy recover in the past, it's recovered, but it's relied heavily on it's on its tech sector, but that has taken a hit of late to absolutely absolutely thought him is to be seeing how the conflict ends when the contract ends and under which single status is because there's always a chest that there's going to be escalation up north with the has the law these, what was the, you know, the didn't is always they known 0 trust is going to be able to get a call today. uh so um is fox to clear how the economy kind of call the ethical but,

and how. so all of those are you just said with these, which is part of the reason why mode is gave gave a downgrade. what are you making for language? step mode is yours as well. it, it highlights of the lack of, of a long term solution to, to the war. and it specifically emphasized these ready governments rejection of diplomatic proposal spearheaded by, by the us, of dealing with the, the, off the mouth of the what i mean. what do you make of, of the fact that mr. bodies as being that political, if you like. and it's in its statement i don't see that as a political statement. i see that as you know, saves me based on facts and political risk plays a huge role for the economy. i mean that's, that's true for everyone. and especially if you are not in a conflict, so it's not, it's not a political statement is really just stating the fact that these huge political risk that is going to take a full on the economy for a variety of reasons that acting on that i. and that seems to be a little way out. so i don't see that as political statement is,

is just stating facts as far as i'm concerned, the countries dealing at the moment with a depletion workforce to farm workers have left us define on palestinian workers and it is costing a heck of a lot just to keep things taking a long at the moment. economy wise, isn't it? absolutely. if you look at the government, deb rachel, is thinking it's 67 percent. and that was, you know, compared to 55 percent projected before. so we're really talking about 1215 percent of the gdc into years. so that's the huge cost and is as much as possible theater. how that can recover from this. certainly in the short term. uh, even assuming that the conflict, the conflict ends and so good to talk to you, profess so many things being done, you know, for being with us. i'm not counting the cost. thanks for having me. well, this real sage relentless bombing at ground operations of offended old manner of life in gaza. international monetary fund, one of the palestinian economy, is facing a green few chips. the organization says the economic activity and the strip has

dropped 80 percent from october through december. and it's the di, humanitarian situation of the limited deliveries and the occupied westbank is in sped eva activity. that is down some 22 percent. a number of factors are contributing to this, including israel's withdrawal of what permits on the withholding of palestinian tax revenues. they have all fast food job, but donald says that it's missed its course of the sales target for the 1st time in any 4 years. the company's blaming the decline on israel's war in gaza at a boy called by customers in the middle east sales growth in the region. china and india felt fall short of expectations reaching only not point 7 percent of the us brands, including starbucks and k of see it also slash the annual sales, full cost of the kind of the time that it may be over the remote workers haven't fully returned offices buildings across the u. s. a

. m t, and the value of commercial real estate is fully well borrowing costs increasing. that's causing problems for landlords who rely heavily on debt. now that lenders, the banks of worried about the impact of bank loans on the balance sheets, the past week is bought, concerns of amounting losses on lending to the commercial property sect up revived memories of last year's banking crisis. when 3 american regional lenders collapsed . but how much of banks in other countries, a risk? let's explain it all in the us, banks have approximately $2.00 trillion dollars in commercial real estate loans. and according to goldman sachs, small and mid sized banks are responsible for around 80 percent of these loans. analysts say that building $2.00 trillion dollars that is due to mature in the next 5 years. and that's raising concerns about the banks ability to recruit funds. so last week,

new york community bank co reported an unexpected loss of $252000000.00 in the 4th quarter. that's a significant downtown from its performance in 2022. but the prices isn't confined just to the us banks in japan and switzerland a feeling the strain. well, real estate land up p d b in germany says that it's preparing for the most severe dropping commercial property values. in 15 years. the situation embarrassed the 2008 financial crisis and there are concerns, but it could spiral out of control bus us officials say the problem is manageable. what are you hoping believe it will not end up being a systemic risk because of the banking system. the exposure of the largest banks is, is quite low, but there may be smaller banks that are stressed by these developments. joining us now from london, which i think i'll richard, is a senior investment analyst avalon, the based financial institution ambrose,

the capital. good time you with this richard. so are we in a crisis or not? right now, almost a year ago we saw the collapse of s b b is, is this a different situation? it is much different. um, the regulators have been march cover the past year. and it's regarding the medium sized bank. if you'd call them your commercial bank, the this service go back to the medium sized bank with assets all over 100 billions . and this is one of the reasons for the crisis of confidence and asset to take measures to sharp is capital. and that's all to split the investors along with the unexpected loss. but i would say that while we need to monitor the exposures of commercial banks to commercial real estate, particularly in the large cities, we're not nearly a point where we should be protecting a crisis dressing yet certainly nothing like last year. okay, but is it a problem with a short term fix or is this something that's going to keep bubbling away? not getting away for some time yet it will continue powerfully because the us

banking system is already on consolidated. there are course, the top 4 or 5 banks which dominate the country system. but there are literally hundreds of large regional community bank spread. track divided states were very calling the role just because of the nature of the banking bottles, their assets being very large relative to the capital. and that's a confidence crisis occurred as the deposit. if we write quickly by today, i think the regulators have done a good job of preventing why scale panic, which could have happened after the so what kind of belly bank prices to last year with shop quite on timely and started with the credit suisse crisis. just as you say, well banking these days, i mean it is a, it's banking is a global affair that they're all interconnected. as we said, there are banks in japan, in switzerland, in germany that, but of that of feeling the strain. but you, you say that there's no risk of contagion. you don't think this isn't. that applies

to control a reckless. this is one of the blessings on to skies. if we could say this about the troubles for the new york bank and that it's set while they're large. um, it's very heavily connected to the new york police on market. but it's not very involved in the also bias market, and it's not connected to naturally or internationally. by contrast to the bank, such as bank of america is a very broad natural presence across a broad international presence. so if there were this type of unexpected loss of more significant rise and expectations about the loss, is that a bank which is internet internationally connected? i think we would have to be very, we're not in this case, at least not yet. or i do interest rates, play any pos and, and what, and what's happening right now to some extent, but it's much different. last year the effective interest rates was to cost bosses on the polio. and bank such as silicon valley bank or s b b,

or as at present it is more of a traditional impact of rising interest rates. meaning it's more difficult for the bars to a back of loans. but i would also stress that data losses on n y, c, b colors have been quite small. by contrast that warning about the possibility of large choices in the future. should investors be worried about about what's happening right now? i don't think trust yet, largely because the market concerned has been limited to one bank. i think in a time like this investment would be for an over the balance sheets of every bank and it's pampered. and to the extent that this is probably a underwriting agency, sometimes as well, and they haven't found any falls elsewhere. in addition, it's real estate and what has become for the a commercial real estate advisors of the banks and non de,

an extra institutions that do seem to be pockets of risk. but they largely tend to be in the separate business districts of the mattress cities. and while that doesn't work for them, the rest of it seems to be at the levels which should encourage investors to be worth more broadly in the us. but lower the rest of the world, but i would also that, that there are these risk elsewhere jiggling type research is leaving germany. and it's possible that those risks away to contention. although i don't think we're there yet either. okay, richard, stay with the 2nd. i just wanna ask you a question about something related but completely different really? 16 percent of american millennials lived with the parents in 2022, about trend just been on the rise for the past 2 decades. one of the reasons not to move out is finding rent a lot more expensive, but it was a few years ago. but the us still lacks far behind countries like malta, where 70 percent of adults younger than $35.00. still live at home with the parents,

at least they did in 2022. so richard, while millennial was staying at home and not moving out a how is that going to impact property market? it will have a material impact. there was a lot of trauma. as you said, and my youngest congress is quite traditional, it's also quite traditional southern europe for children to live with the parents for quite a long time. i think it will have a big impact on a change and the relationship model and how the economy falls over time in terms of the house for me and residents for me and things like that. i think though it is inevitable, those prices have risen overtime and interest rates as well when interest rates were lower than what it was, we're able to look for houses. but with the combination, both the pi interest rates in house and guys it's just becoming possible. but over time they will, they trust they will raise their savings and they will be able to. ready join the house and laterals is called the new k. i think it's for the most part, just

a matter of investment. richard, it's been raining, good to talk to you on catching the cost many thanks. indeed for being with us. i can not bosses want their employees to work hard to cost somewhere because they, they can actually achieve more by working spots. but how about working fuel days with the same workload and getting paid the same salary? well, advocates of the full day work weeks, a could increase, work up productivity and improve work life balance. that principle has been put to the test in different countries around the world. germany, for example, is the latest nation to explore it in an experiment that will last for 6 months. the country already has one of the shortest average working weeks in europe. but companies have been struggling with a shortage of skilled labor of the nations of embrace the idea with belgium, the 1st country in europe to legislate for a full day week. joining us from oakland and usually lives andrew bonds. he's the founder of the full day week global, which is conducting the largest ever trials in different countries,

including the u. k, to us, south africa, and germany. good teddy with a center. so is the full day working week. the future of look what are the advantages of it? oh, good evening. i do. well yes, i think the advantages appointments generally, not only do you get an improvement in productivity in the trial in america, revenues increase by about 30 percent across the co who was going to the truck. but critically, you also get benefits the flow for him to the employees. yeah, so with my boss, but actually translates to actually back to connection with the company engaged in schools for example, seem to go up about 20 percent on average. and companies that introduced to reduce that last week. okay, everything has a balance. so i bo, critics argue that it creates more stress. it impacts creativity. it's difficult to measure productivity, and it's not a clickable to, to all industries

a comp it on every right. what do you make of us? i wish i had a dollar where everybody said, well, you know, it impacts productivity. the answer is most companies don't measure productivity is what they do is they use the times of, sorry for productivity at the hospital. proposition is a thing we call the 100 a 100 percent pay 80 percent time provided we get 100 percent productivity and that also extends to customer service. now what we see on average is companies that excuse fits, that productivity overall goes off of mount $0.25. we also find t look creativity schools go stress levels markedly. draw a match primarily because people are learning how to look smart rather than just the sick leave. andrew cost the german economy, something like $28000000000.20. a does

a 4 day working weekend practically the tool. absolutely it does. we see again across all the products, it's been quite consistent in from south africa to the us to the u. k. to straighten the city, actually draw spine cost in some instances up to 60 percent. so it's not, was translated into the government, the economy, you know, there is a 14000000000 your boost the economy of, it's a similar statistic indeed in the united states. so what we see is the people's stall play taking cloud sick days. now some of that because the sick, the, some of that of course is that they're doing home actually on the excuses. we're sick. all right? so when you can substitute that for plan the next, if you makes a big difference with that or i productivity as you say, is likely to go up or, or that's what they've been experiment show that, does that mean that the,

the bottom line is affected to the prophets rise in line. absolutely it does. we find in our own company we've now been doing this for about 6 years. we are twice as productive one of the capital bases in terms of revenue. as on nearest competitor, it does make a difference. i mean is extremely sustained and values regardless of the industry that you are in. i'm presumably, andrew, all of this mean means that the big the economy overall is much more dynamic. absolutely, because if you think about it, it's not just the economy, just the output, but you're guessing what the trip but you might actually go time to do cycle more time to upscale. use a very critical become the countries that are thinking about how they react to the impact to then i actually you get back to family to each more times than children. that whole so the flows through to back to education while we see this is something

where every when you start to focus on the length of time and productivity rather than just sticking with a 5 day week, which is a construct. oh, you know, the early 20th century repetitive man actually st. fast. the nice thing, andrew manufacturing, they've really enjoyed that. thanks for being with us on counting the cost. 20. and that's, i'll show for this week, if you'd like to comment on anything that you've seen, you can get in touch with us. i'm at a synagogue on x. try to remember to use the hash tag h a c t c. when you to contact us, you could also drop us a line cash and the costs of i'll just say, well don't that is our email address. as always, there's plenty more for you online. out is there a dot com slash dtc? that takes you straight to a page and day you'll find individual reports, links at a time episodes use to capture. but that's it. for this edition of counting the

cost, i'm adrian said again for the whole team. here though, thanks for being with us. the news on al jazeera is next the latest news as it breaks, they've actually came to the civilian medical facility in what seems to be a targeted assassination with detailed coverage. this is not the only school that has been targeted schools in the cause of ship are not only schools, there shelters and graveyards and fearless journalism. allegations of georgia has increased steering as wells will in garza from be things to withholding medication . president biden says one to 2 state solution for palestinians and israelis. what does anybody believe it's doable? what this is real for? i'm gonna say it back to us foreign policy. and what are the long term consequences

for the region and the world? a quizzical look at us politics. the bottom line, the united states is and is really ground defensive in reference, should not proceed. and for the 1st time poses a plan for a temporary cease far in regards to the the clock this is out is here in line from doe who also cut me off desperate palestinians waiting for humanitarian aid. once again come on the is reading fine. i just wrote this clear the pharmacy to the territory integra.