in examining political difficult, exposing societies, doctor award winning intense investigations, compelling insights into humanity, open untold stories from asia or in the pacific one. 0 one east on now, which is the hello i'm adrian's. and again, this is counting the cost on elders ariel. we can look at the world of business and economics this week. they've long been the ears powerhouses, but france and germany facing political economic tubs. but that's no trouble for the rest of europe. a wreck on $100000000000.00 replenishment of the world banks

funds for the poorest nations. but is it enough or is the banks failing the pool? and the price of coffee is extremely high right now. the highest of all of us talk essentially. why is the being so expensive and how does that affect the industry and us consumers, the fonts and germany have long been deemed the main acts as a pallet in the european union? the 2 nations may couple is half of the euro's on economy driving the 27 been the blocks agenda, and it's g d p growth. but both now facing serious political and economic to him while it comes at a critical moment with us president elect donald trump reckoning terrace. as soon as he takes office in january, the european economy is already lagging behind. the us in china, a political paralysis in france and germany could de rail it's competitive ness even further. sorry, gill reports at once praised its being your,

its engines of economic growth based bronson, germany, a serious political crises last week, french prime minister, michelle bonnie, a list of no confidence votes impala me. in that off the he pushed through an affair to budget by decrease a decision, he vehemently defended plus the $60000000.00 an interest. that's what the french will have to pay every year. it's more than our budget for defense or higher education and it will be even higher tomorrow if we did not do anything. since bonnie a's resignation. president emmanuel mate crone has denied any responsibility for the events that i'm folded. some say his lack of accountability is contribution to the country, instability, and also the level we today no longer have a government. it is not the french who are responsible that he who governs us, who is responsible for the situation in focus. meanwhile, neighboring germany face has similar political problems and an even worse economic

situation. the it's economy is predicted to grow by just moot point, 7 percent next year. and last month, the german chancellor moved to the countries finance minister is the fiscal disagreements in that should be able to get involved and, and then became more and more difficult to reach decisions. that's why it was right to end this government by firing finance, minister lender thomas, germany of front of the power houses of the e u. together they may couple myself, it's g d p and provide a 3rd of its total budgets. but analysts say the political instability could result in major changes for the blog. what we will see perhaps is kind of a shift of power within the you can union, going to the eastern european parts to the eastern europeans, the states. so while germany and frauds may be regarded as the leaders of the blog, it's clear that in the coming months they will both be distracted by that internal affairs. leaving the use economic future on saucen. sorry,

give out to 0, the counting the cost. joining us not from brussels, the tie us by law, who is the director and senior economist of the european center for international political economy. good to have you. but as much as i advised, let's start with upfront then what's going wrong? why was bonnie is budget so contentious? yeah, think um, bronze has spilt on too many uh, physical deficits in the past. uh. edu. look at the country from the brookside perspective. from the biggest johnson day is its oversized government. public spending accounts formulated 60 percent off to the p $60.00. 5. i turned in by one of the highest techs birds in europe. at the same time, many frenchmen, amongst them, made business owners. they criticized that for them to be turned on. this enormous

amount of government spending is on the roaming, including essential services like health care education, big infrastructure, but also have paid off unemployment, which is similar to highest in the you and they, you've unemployment rate of some 18 percent also amongst the highest in euro. so by many emetrius, france operates, and it's operated for many years now as what i will describe a socialist economy with a dysfunctional stage. deeply embedded in pretty much every aspect of economic life . now, michelle bonnie and his government, they dared to attempt to address these issues, rightfully so. we've however, ro tiffany motor rate hisco reforms. but even though these reforms with just as being a very tiny trouble and increasingly what's don't, there was politically resistance to whatever 2 measures on the one hand,

but also new texas, that's the way of these efforts. so right, let's move to germany, then it's economy expected to grow one percent next year. what's going wrong there was in germany economy is still doing better to put it that way. let me stress that things still look good for germany. when you compare the country to cross. so generally, we made one of the most, at one economies off the rules. we selected by a strong and very diverse manufacturing sector and increasingly diverse services sector economy with high exports steel. and i would also say an old cage if you per cabbage i read compared to about you countries, especially frost. and yet my heart country, i'm german by passport, is also facing what i would describe the crisis off this function of the government services plus high energy costs plus economic stagnation if you like. and that is also threatened by global developments. a continuous relative economic decline when

you compare germany, but also operate you countries including for us to of a cost, okay, off the road. how, how will front some germany's economic problems impact the rest of the you could we see economic power shifting elsewhere within the you to what extent is that already happening? they obviously have a lot of people know, make power given that their industries are deeply intertwined in you. well, you chase so if their economies perform a weekly or increasingly that it will of course also disrupt, really chase ellsbury and euro as concerns the political power. very hard to say um i want another call uh it's a crisis. uh but it, it, it wise is that we could be c in bronze and,

and. busy so germany, i think it is normal, that's a government spray got there will be a new elections and so and so forth. but this will obviously have an impact on how both countries engage and then you repeat and console. um, so these countries as to where he'd be in the, in the driver's seat when it comes to e policy making and there are i work countries like told that it was the next concert presidency that might want to step in. but they still didn't have to fix their agenda for an a 4 you bullet to make it because just, just briefly, the already likes behind the us in china in terms of competitive knows with the president select trump threatening to impose terrace on on inputs from both china and the you, i mean, how is that going to exacerbate the problems of france and germany? you are right, there is this huge investment technological and, you know, produce being competitiveness get that has been rising for more than

a decade now. and it's very, very difficult to address this game she's go said without meaningful structural reforms that however need to take place at the national level of in, do you remember stage? not so much of the you'd have a here, we need to talk about the gold text reform, signification of text or getting rid of subsidies that may go to a sectors that we would consider dysfunctional or unproductive. and this is a starting difference when you compare what is happening in the united states, where the economy is generally much less reliance on, on, uh, government spending, direct subsidies and a government that is not so much inclined to apply and do is just the approach you know kind of come on and control regulation that we see in launch. quads of new ups is mentioned in france, but also increasing the in germany because it's been great to talk to you on comes

in the costs manufacturing day for being with us. yeah. right. com, thank you. a comic as a battery. projects are under severe pressure as europe struggles to beat its 2035 deadline to end the production of combustion engines. the concept likes fall behind china, which dominates both battery production and electric vehicles. sales globally full rece reports now from sweeping on how the confidence efforts to catch up with asia of sold or if you're going to test a new type of electric vehicle, the worst places to do it, then stop. the car is not king here. and the traffic is lights. sweden is also a focal point for europe. screen transmission. but the road to sustainable transport has been a bump. the one, this car is the future of cars. it's $400.00 kilos. lights. it utilizes very small batteries. very small motors, the average electric car has 300 cube also batteries inside this has started to q as a virus inside and batteries is the biggest problem. with the electric cars,

that's only the call with a tiny battery could be one solution to a host of problems such as the industry. the design is the best color hoping they can help take the electric vehicle market in a new direction. as for additional manufacturers in europe had been struggling in germany, there's been industrial action for which blades cuts in that to europe and workforce partly on a lack of government health. and the electric transition. volkswagen is also being hit by strikes as it threatens, but 3 causes for the 1st time and it's 87 year history to approach mon escalation, we are prepared for both prophets of slumped up b. m. w with a knock on effect for europe. spot free making abilities swedish, brought to join north fault is the confidence great hon as a homegrown supplier. but the loss of a 2000000000 dollar contract with b and w has been just one problem to hit no fault on its way to bankruptcy in the us. although it still making batteries in sweden, china though it has an 85 percent share of global battery cell production,

danish transport company dfcs believes europe's failure to challenge that is hindering the electric transition, the trucks and fairies as well as cause the strong battery industry in a year it would mean for all the transport operators, of course, economy for security, for what kind of technology they're going to invest and into the future. so if you have the anxiety of batteries not being available in us, because that's the source from somewhere else. and it was because we have to flight and constraints or political tensions. it is, of course, a bit of a risk in investing in the back to trucks. access to the right brought trees means chinese companies like gentlemen, you can offer cheap because in europe. postal a chinese swedish brand increased at sales in a declining market this year. although you regulations could make like caught up for chinese make has well donald trump's threats of tariffs may cause even bigger problems for the electric vehicle industry. when he becomes us president in january pull, reese out, is there a stock car?

eradicating poverty isn't the call of the world banks goals yet the financial institution says that it would take more than 3 decades to lift almost 700000000 people out of extreme policy. that means anyone currently living on less than $2.15 a day, developing nations, pay to rec, or $1.00 trillion dollars to service the debt in 2023. and on top of that, many of struggling with climate disasters, inflation and conflicts. now donor countries have recently provided a lifeline pledging a record of $100000000000.00 replenishment of the world banks funds for the poorer stations. the announcement was made last week in south korea's capital sol at a pledging conference for the international development association. the id a provides grants, a very low interest loans to $78.00 low income countries. and it happens once every 3 years, richer nations will contribute to 23700000000 directly to the id, but the fund will use this money to borrow on financial markets to one loc,

the targeted 100 $1000000.00 in grants and loans through to mid 2028 among the band donors of the us, japan and several european nations including norway, spain and the u. k. the idea is the largest source of multilateral development finance for low income nations. since 1960, it is provided $533000000000.00 to $115.00 nations around $35.00 countries of graduated from the funds to become donors themselves, including china, south korea, julie jordan, and tuck yet. but one out of 3 idea nations is now poor. i thought it was before the start of the code at 19 pandemic. it late 2019 nations eligible to borrow from the funds pay to record $96200000000.00 to service the debt in 2023. joining us not from gone is capital across. is they this wish to guarantee who's

the president and ceo of the african center for economic transformation? good to have you with us. maybe. what does securing money from dona nations actually mean in practice? as we heard the, the money is going to be used to borrow again in order to reach that $100000000000.00 mark to the world bank says, but it's secure. that's right. that's right. age and thank you very much for having me today. so i think what either of this country is actually concessional long term loans of boston. what countries in africa, countries in africa need little tim investments for structural change. so if you are going to borrow a full infrastructure investment, for example, for the cation, you really will not see the 10 for 20 to 30 years. so what you want to be able to do is access concessional finance, and that you will not be required to pay for a long time. you'll never buy to pay. and so the root tens um you realize of it

says i am your country. that's what makes either such a precious results of full and not have low income countries. okay. $100000000.00. sounds a heck of a lot of money. but is it going to be enough to tackle the multiple crises, the developing nations, mainly in africa facing right now the crushing depth of poverty. uh the, uh, dishonest is climate related disaster conflict or so it will contribute to it. so it's not enough. i mean, to be honest, when the process started, african governments and african institutions set a target of 122000000 a 122000000000. sorry, i submitted a month. so it's a 100000000000. is $20000000000.00 sure of the minimum pocket that we had hoped for . so given the challenges that we are facing on the constant end. no,

it's not going to be not. we have currently spending no on that service. and then we on the, you know, critical areas, my health education infrastructure development, and we tend to lead me this conversational finance. so the short answer is no, but a 100000000000 is better than nothing. all the world bank and other global financial institutions failing the poorest nations who's to blame for the watering levels of debt. but many nations, the face of the above the global financial system, or perhaps domestic economic mismanagement. i think it's a mixture of both. to be honest with you, adrian, one of the things that we have seen at asset in our knowledge is, is that, you know, we have challenges around effective use of that. so some of the analysis but we have done, has shown that countries spent in as little as 10 percent in every

dollar borrowed effectively and efficiently. so as high as a 100 percent. so we have a responsibility to ensure that we spend the money effectively. the 2nd issue is around the solstice of finance that you know, when we borrowed on the capital markets you've had over and over again. but we have a row in, at a higher rate of interest. then a countries around the world rates in agencies to rates in out of african countries at a higher risk than the rest of the well as a result, as a result with today and have higher rates of interest and so on. of these issues have compounded to add to the challenges we have on the confidence right now. but the mental challenge that i said keeps saying a keeps raising weight on the desk is that development is not going to come from

the outside. well, we need to take responsibility for our own development, which means that we have to invest in transforming our economies. we get very excited whenever we talk about roach road is nothing that we need to transform. i call them is we need to stop the husband dependence on robots, tv of for our main source of revenue. we need to add a, so i need to those 4 materials. we need to industrialize, we need to click need to as for them to create jobs, are optically where we use population. almost that is, i was on stability at continental pub med, can contribute to it. however, if we don't take a strong leadership role in driving this edge and then, you know, we're not going to see the progress that we want to see on the constant. at the end

of the day, every countries will be looking out for your own interest. so i have a concern that we need to start by looking out for our own interest, prioritizing our development, our people. then our voice will become a lot stronger on the global stage. maybe this has been really good to talk to your own content across many sites. indeed for being with us. thank you. it is one of the most traded commodities in the world. the month for coffee has been on the rise, but its price is also rocketed by almost 70 percent. the highest level since 1977 for coffee level has a morning comp is set to get very costly, but will that trickle down to farm us? we'll discuss that with our guest in just a moment, but 1st assembled around fancy reports from typically top in west, in columbia. delete those steep mountains, coffee pickers are sifting through the plains. i didn't even brisk or paste these days for making the most

a record high global crisis. the bigger profits being made from colombia sign, eradicate beans are percolating into their pay packets. and they said that the and my buy now we are getting 1700 paces. akila is very good at that. it's just great. you know, i'd already left some of these prices. i have to come back and take advantage of it . and so i'm hoping that they got by it's, it's an unexpected. and what has already been the good harvest get a relief for a long time farmer, orlando, by the, by, after difficult years the left to many producers drowning. and then back on the 2023 harvest was greeted with used by climate change and very low prices and much you are left hanging by a thread because we had to break the bank. you sell stuff to be back. that is and tried to remain in the business and like the industrial heavily mechanized coffee funds. another major producing countries like for sales columbia is the rug in the

rain is maintained. the large network of small to medium family run finds the remaining dependent on intensive labor and are inherently fragile. hey, that's going to be as coffee national federation who represents more than half a 1000000 coffee producing families, says the price hike is a blue line must be made. and so far in the 1st 2 months of this, close to the value of the harvest increased 108 percent. that means a 4th quarter of the cd pay or having coffee, plus the protecting us of the national economic to cover me. well favorable weather conditions and high global prices brought a profitable season too many producers, many fear the gains will be short lived. the high cost of labor fertilizers and inflation means in margins will remain tight. and the high market volatility is driving, anxious farmers to sell quickly before prices drop again, getting to some unexpected consequences. and there's

a negative impact in terms of quality because quality goes on the back of it. and if the price is suspended, coffee is the same as the speciality coffee's been. why go through more demanding and expensive processes? back at the find me elanda says it's inflation short term gains are also trumping the urgent need to address long term issues like climate change key another for the is there's a buying land to a forest and protect water. dwindling sources. i think that's we need to keep our level of head and feet on the ground is to be able to handle on certain times. and so this will not last forever. and instead, we need to be very intelligent and skills to be able to sustain ourselves in the future of the now columbia farmers are saved during today's high prices. but with all the time markets in certain climate, both literal and financial, they know the current winful mean last for long. obviously we're going to get the data for counting the costs that lead to joining us not from london as david oxley

. he's the chief climate and commodities economist of capital economics. good to have you with us that david, as we saw in that report, drawing coffee is getting hotter and more expensive. how much of the rise in prices will trickle back down to the farmers that we sold, that when will they be any better off? well, but potentially in the number run. but i think the, the key thing to stress is that the coffee supply chain is quite a no one. so there's lots of people involved in getting coffee, things from the field to the cops. so i think, yeah, typically coming from is we're selling those coffee things to local buyers who would then get them instead of production owing to the markets. and typically a large coffee farm is already paid once a year on the back of the holidays. so it will start in the condition of the link between revise and copy prices in global markets and what forms that i immediately and, but it's processed through style ready for

a long time. you would expect this to trickle for a couple of years. a couple of years and all the rising costs and coffee production and coffee funding solely to do with climate change or is always something else but work here too. i mean, obviously there's lots of transportation costs involved in a cultural lock. it says a very strong relationship between i feel comfortable price is an oil prices. and that all parties have been soft this year and we as a company, we expect them to continue to form over the coming years as i'm yeah, that's the only a mock is august. it is a 5. so i don't think kind of changes necessarily that the, the key thing presume causes of food, coffee markets. i'm yeah, no, no, i think actually when it comes to having the impacts of these costs onto the actual price of coffee, i mean, if you kind of take a step back is we're always not rising cost is not just something that coffee pictures isn't. that's the consent we have in recent years. obviously we've seen huge pressure on the supply chain costs across the industrial, the got code to serve as well. i mean,

as to how that translates into the cost of and outputs and come true or industrial war depends on how companies may out to these rising costs. whether they, whether they have room or choose to absolve these into that profit margins over the past. and present to consumers so, so what, what does that mean for consumers? people who love coffee like like you and i does this mean will be paying a lot more for our coffee will lapse, reduce demand will high coffee prices be something that all of us have to get used to? i think so. i mean, if it's, i guess the coming to the folder so that that doesn't disruption, we're seeing in the coffee market. and in recent months on the dr. pod, what room video, there's really come on after a number of by rubbing is so yeah, so i was thinking about starting to turn around quickly. you know, copy stops, drive with you. oh, baby daughter. so yeah, i don't say 20 points is pulling sharply any time soon. so those stop. so the finish as to what that means to customers. i mean, the good news,

the people are not that coffee fix is not the price of things is actually a relatively small part of the cost that you pay when you go to the coffee shop. typically around 5 to 10 percent. why don't you take into account the only the other costs, coffee and shops have to pay 90 bucks and is your, your, to the sort of things. so even which thing called the parts itself that i'd be the cost you most of march the for the, for 5 to 10 percent on the cost of coffee. and as i mentioned, the facts, the coffee demands is not incredibly responsive to changes in price. i think, yeah, but what we're gonna say is people are going to have to pay more for coffee, but people put the bu, i'm also coffee to david. it's been great to talk to you on terms of the costs manufacturing piece of a with us a you're welcome. thank you. i'm that's all show for this week. if you'd like to comment on anything that you've seen, i'm at a finnegan on x. try to remember to use the hash tag h a c t c, or you can drop us a line, come from the cost of our 0 dot net is our e mail address. as always,

there's plenty more few online at our 0 dot com slash ctc. that takes you straight to a page, and then you'll find individual reports links at a time additions to these account shopping. that's it for this edition accounting, the cost, i'm a tree instead of going from a team here. and so how, thanks for being with us for news on alpha 0 is next. once you reach this displacement cap and should be in sedans river and i'll state samuel homes of thought it would not only mean breaching safety, but also a re union to are a separated village in the morning and kept firing shots until night came my brother after the theme was hit on his legs, we escaped, but because of his injuries, he couldn't catch up with us. despite those villages being under our self control, local monitors say at least 50 villages were rated with more than 1200 killed. those will have been reported missing are those who have relatives who successfully

escaped. there are entire families who lost each other as they tried to get away from the village, a thing to veto with no one managing to reach safety. people who made it. here's the most of those left behind are the owner of the young, the elderly and those injured in the recept attacks. and no way to know if they manage to get to safety elsewhere or even if they're still alive. over 4 to much was years in fiji, syria's last opposition held territory before the fall of the subdivision. assign driver, reinvent himself re shapes his dreams to preserve the lives of smiles just from the tale of new beginnings and the seeds of optimism, sustained, human perseverance. witness, serious last chapter hope is on a jersey to is there any sign of relief to the millions of palestinians and gaza

for now stopped between an outgoing fighting administration and an incoming trumpet industries. now that americans have decided to put forth back in the white house. what kind of country in the world expect the quizzical look at us politics. the bottom line, the, the, israel's bombardment as syria itself is se, if the heaviest, in more than a decade. the hello, i'm just for washington. this is the oldest, is, is here alive from deluxe. also coming out an area once known as syria's the city of graves is now largely a wasteland facing a huge rebuilding john is really strikes targets, noon and gaza, while the desk told across this.