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tv   Business - News  Deutsche Welle  January 28, 2019 9:30am-9:46am CET

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she really did become a world famous. moment out there not. mine to. start with you never hate on t.w. . the u.s. government is finally back open after a partial shutdown but experts say the damage is significant amounting to billions of dollars in lost economic activity. and nations are taking sides in a power struggle in venezuela will shed some light on how the country's failed economic policies helped bring it to this point i'm stephen theirs in berlin thanks for joining us. hundreds of thousands of american workers should be back on the job this week after the end of
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a thirty five day government shutdown that kept them out of work and on paid fortunately those workers will receive back pay but economists say there's no making up for the last spending of the past month and the price tag is quite steep have a look. it might have been trafficked chaos at the airports that brought an end to the u.s. government shutdown after more than a month with air traffic controllers calling in sick flights were delayed or canceled at new york's la guardia and other national hubs then washington came through with a deal. an agreement between president trump and democrats in congress with no money paid for a border wall and sure things will go back to normal federal offices will reopen as well national parks workers will get paid and their relief to. the shutdown was really dramatic for a lot of people and i think it put a lot of american workers in a really challenging financial situation and i think that in the future i hope that
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shutdowns like this are avoided the family will be able to pay our bills will be able to hear anything you know be off the street and out begging for through but the economic damage is done the shutdown came over the white house's demand for five point seven billion dollars for a border wall now analysts to standard and poor say the shutdown cost six billion dollars mostly due to lost productivity and weakened economic activity the council of economic advisers within the white house picks the costs even higher estimating a weekly loss of point one three percentage points of quarterly gross domestic product according to their numbers the month long dispute could cost the economy about twenty six billion dollars. and it could all get even more expensive the current agreement will last for three weeks it is unclear what happens then. and staying in washington u.s.
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president donald trump has lifted sanctions on a number of companies linked to russian oligarch oleg deripaska the firms in question include the j.s.c. power company and aluminum giant resolve their pastas an ally of russian president vladimir putin and is currently being investigated as part of robert miller's probe into alleged collusion between moscow and trump's twenty sixteen presidential campaign u.s. treasury department said the decision to remove sanctions was made because their past could no longer controls the company's critics including sun some republican lawmakers contest that assessment now let's zoom in on this of our correspondent in frankfurt stock exchange paul christian brit's he's standing by live paul going to reduce all this lifting of the sanctions does this add any more certainty to global metals markets the global commodity markets. well steve it's a weight of people's shoulders actually it's a three hundred thousand tons of weight off people's shoulders that's the amount of
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metal estimated by citigroup currently in european storage produced by roussel so that is about a quarter of the london metal exchange stockpile that's a lot of metal a lot of aluminum the price went down this morning one point six percent in london on the news good news there the interesting thing is the explanation really that delivered on and lifting these sanctions or not not imply applying the sanctions because it was worried over the effect on global on the global aluminum industry interestingly in twenty eighteen china really profited from those supposed sanctions and had an aluminum export record. on other sanctions news a news report today that europe's the e.u. is preparing the announcement of a special vehicle for european businesses to get around iran sanctions what would that mean for european businesses. it's unlikely to have
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a major effect because first of all we're not there yet only until last week politicians still said even if we have been if it started this month it would take several more months because the technical details still needed to be figured out so we don't have that vehicle yet and on the other hand the barter system that that is intended to to keep financial institutions mostly out of the picture and out of secondary sanctions from the u.s. could just as well be targeted by the u.s. with new sanctions and thereby make it pretty much useless so a very little impact. probably so far very little wait see what happens paul christiane brit's there for us in frankfurt thank you paul. and staying with both business and politics in the united states former starbucks boss howard schultz has surprised many by announcing his intention to run as an independent candidate in the two thousand and twenty u.s.
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presidential election the seattle based billionaire first threw his hands of the ring last week but most assumed he'd be running as a democrat schultz made his fortune from turning starbucks which was once a small scale roaster into a global chain under his leadership the company became one of the first in the u.s. to offer part time employees stock options as well as health insurance if you runs for election he'll be the most high profile candidate with no prior political experience. now the backdrop to venezuela's political crisis is a country in economic terms turmoil so let's take a moment to get an overview of the current situation millions of people are literally struggling to survive food and medicine shortages are now part of daily life critics blame president nicolas maduro for ruining domestic production by expropriating farms and factories now the items that are available to buy are no longer affordable inflation has hit well over a million percent and the international monetary fund is predicting that figure to grow ten fold by the end of the year so how did the country get to this point. the
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short answer is government mismanagement corruption of course a major factor is oil it accounts for a massive ninety eight percent of the country's export earnings so when the price of crude collapsed some years ago the country took a major hit the economy is constructed every year since then and this year is likely to be no exception. oil venezuela's greatest natural resource but also its greatest curse oil kit majoris predecessor who got chavez afloat for a decade before the price fell dramatically in twenty zero eight after chavez's death in twenty thirteen nicolas maduro became president he continued the chavez government's economic policies but oil prices fell dramatically again in twenty fourteen for years the low price of oil has put a strain on the venezuelan economy to help it recover material introduced the petro in february twenty eighth a crypto currency pegged to the price of oil but in september twenty eighth the
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petrol tank two in august twenty eight hundred majority announced a three thousand percent hike in the minimum wage to quell unrest over inflation and shortages but by december last year inflation hit a whopping one point seven million percent the bloomberg news agency came up with the coffee index the price of a cup of coffee reached two million both of ours in june of twenty eighteen at the time around fifty u.s. cents but duro revalued the national currency the believe are slashing five zeroes that brought the cost of a cup of coffee down to twenty both of ours but by the start of twenty nineteen the price again soared to one point four million of the new ball of ours that's equal to one hundred forty million old ball of ours people run to buy groceries as soon as they get paid before their salary loses its value and that's if they can even find food that is wayland's or tired of shortages and inflation. more than three
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million of them have left the country in recent years seem mainly to colombia but the anger is growing among those who have stayed. and we're joined now by the news is jennifer camino gonzales she's been following the situation in venezuela closely jennifer you have family there we just heard the numbers about massive inflation can you tell us what it actually looks like to the average venezuelan well it is that is standing i mean we're talking about pensions that have been decimated salaries that are worthless people can't buy the basic things when it is exactly as as as it has been said when people go to the grocery store one day things are costing some certain amount and then the next day they cost something else so they have to every day check with the exchange rate is what it what the prices are and ultimately as it has had an impact of people's daily life people don't do things they used to do they don't go to the movies they don't eat out they just kind of
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live basically on a survival mode. of course many of these problems didn't begin with my daughter but also with his professors and all of it centers around oil tell us how important is oil to the venezuelan economy and to the economic identity. well oiled is into the national consciousness and it has helped this build this country it is associated with all of them as well as development is highs and its lows and people almost always remember the highs so for venezuelans oil is very important they think that oil is the thing that drives the nation that helps the nation go but it is also a curse it has also every time that the oil price goes down the economy goes down of course most venezuelans associate that also with corruption but they don't think that the corruption is said by incentives from the oil economy that the government always once more and more of the revenue and it's basically a cycle that they cannot break you know in an effort to try and brakes in the cycle
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at least to get out of this inflationary cycle there's been some gimmicky measures put in place like this crypto currency that we heard about has that made any difference it hasn't made a difference in fact it's like putting a band-aid on a gaping wound there are structural issues here that are tied to that as well as control exchange rate that go way back to travis and so this has set is and set them in a course that is pretty much difficult to break but ultimately people are not interested in a crypto currency that is not accepted anywhere what people want now are dollars and euros people basically don't find the earlier i don't all currency that they can rely for in the future so now they rely on dollars and euros and the crypto currencies are just kind of a show from the government where the government gets to say well here we're doing something but in the in the day to day it has no impact and now briefly has opposition leader one kwaito suggest that things would be any different under him. well he's not made any promises on the economy because the to fix this economic
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mess it would be a very very very difficult if not mountain of stress for the new ministers in the new administration is not only focused on the political aspect of this trying to get even as far out of the what they see as it exists or regime and so i think the next phase will be he will have to explain how you would fix this mess or something we'll be watching jennifer communal the dollars coming to us from bonn thank you and that's it for us nice to in business with you as always and i hope to see you again.
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a chance to win one of three like our cameras follow us on instagram tag and post your pick using hashtags powerhouse one hundred so get snapping. find all terms and conditions at the w documentary on instagram. i wanted to run away to kill myself. and was married off at the age of eleven and became pregnant soon afterwards she also suffer the puce of the hearns of her mother in law. today even iran is fighting to prevent other indonesian children from suffering a similar fate. even
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ryan is the first woman in her village to talk openly about her experience. to talk openly about the trauma of being hunted over to a strange family as a defenseless child bride of giving birth at the age of thirteen. even now the memories are painful but she's determined to tell her story not least because it helps her work through it. i don't. mind that it only became pregnant when i was still a child myself but i didn't understand what had happened after that i couldn't run away because of the baby.

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