a law that would allow extraditions to mainland china they worried about the kind of influence beijing will have on hong kong an erosion of guarantees given by a beijing concerning independent judiciary and individual freedoms could undermine investor confidence and threaten hong kong's place as a middle ground between china and the business world. look at some of the us is in a moment but 1st a quick refresher over the special status of hong kong one of the world's most important financial centers and busiest ports it's an enclave within china and has a special rights that diverged from chinese communist doctrine in $1898.00 britain up to him to 99 year lease on the territory from the chinese that lease expired in 1970 britain transferred the colony back to china they didn't promise to uphold western style civil liberties in hong kong go into it in free speech and the freedom of the press territory was to remain a separate customs entity and operated under

a free trade regime so it could retain the status of an international banking center so on call it became an important gateway to china for western multinationals but following the recent unrest over the extradition law international corporations with offices in hong kong fear that china's going back on the $184.00 agreement and that rule of law one of the cornerstones of any market economy will be eroded. to discuss that i have with me in the studio our resident china expert clifford conan and from singapore we are joined by andreea haying our. financial correspondent where we start with you. what are you hearing there are bankers really clearing their desks and packing their bags. well the picture is showing signs of cracking although their banks are not pegged just yet investors moving their money out of auto hong kong you know is going to

be giving banks something to worry about because it's home to it one trillion dollar wealth management industry now as a 2018 hole call is home to many billionaires is the 2nd highest number of billionaires in the will 2nd only to new york that includes 3 billionaires and 200000 millionaires now these tycoons and super tycoons are going to have been worried about hong kong about moving their money out of hong kong since the 2014 umbrella of movement so this particular rally could be the big push that they're making because they're starting to see the realest of the encroachments that china has on hong kong so lots of cash and humility is that as we hear how important it is hong kong for china what it's extremely important i think hong kong's openness and its freedom is something that china needs its own capital markets are still heavily restricted we've seen since 2012 the chinese companies

have raised 156000000000 from i.b.m. in hong kong where they've raised 143000000000 in their own mainland exchanges so it's really very important to them all of this of course takes on a different character as well with the u.s. china trade conflict at the moment china is being squeezed and it needs what hong kong has to offer in terms of international exposure more than ever and. that squeeze on home calm of the moment that we have kind of feeling of other financial centers in asia benefiting from this singapore for example where you are. well you know i mentioned there has that you know the issue with the extradition lock was a threat to china's democracy but it also symptomatic threats all of that is you is singapore as a top financial center rival it stands to gain a lot from these runaway billionaires insight singapore already has overtaken hong

kong with the number of investments being me particularly in cross border investment in commercial property the numbers i'm reading here they have spent singapore has spent $21800000000.00 u.s. dollars in this quarter a new one and that's a 7 to 23 percent jump from last year. compared to last year and that's already overtaking hong kong that's been going on for quite some time but at this say we should not be quick to jump the gun singapore may not necessarily get a whole piece of the pie is investors in hong kong choose not to remain in asia and have their money moved to outside asia they're already starting to invest in the us and already i europe is europe is at the top of that list. cliff and you've just explained how important it is for china is that the real danger of beijing sort of returning in control as well but they gain from that well i remember in 2017 she

jim being visited to mark the anniversary of the handover and he said that hong kong would have its freedoms but there was a red line across it which it should never cross and there was a sense then that beijing was trying to impose control but now i think with the trade war i think it's very difficult position for beijing because as we said it really needs hong kong and it needs its openness and its freedoms socom squeezed too hard because if hong kong if everyone does move to zurich as you just heard or to singapore if the money starts going there it's a big problem for hong kong so i think i think i think we're going to see a slow reaction to this i don't we're going to see anything happening especially quickly. conan thank you very much and you hang in singapore thank you. germany's comics minister peter is in china today to conduct high level talks with key officials he reiterated calls for china to open its markets and create

a level playing field for foreign companies while underscoring in the 4 multinationals china for its part has long pursued acquisitions in europe it's on a particular taste for so-called hidden champion small and relatively unknown companies that are very successful and very often leaders in the market niche. prey on is a material commonly found in high performance tires one of its key properties is that it's highly resistant to heat and stress. based in southern germany has been producing way on for decades works council member of peta mantic classes the firm as a so-called hidden champion of german industry the company has a global market share of over 50 percent not swallow but i've noticed that nearly all major tire makers use our product it's use especially in high speed tires where there's a big emphasis on safety on schools in the last year quit denko was acquired by

chinese private equity firm beautiful mind capital or b m c we reached out to both b m c and core dankers german management board for an interview both turned us down the mc's europe fund has its headquarters in shanghai and london to do a location was billed as a reflection of close sino u.k. cooperation in the financial sector and came as british prime minister to resign may was seeking a new partnerships in preparation for a future outside the e.u. . germany's battles month foundation has been studying chinese acquisitions of german companies the purchase of court danka appears to be a textbook case. so i get this time it is pursuing a political strategy called china 2025 which has the aim of turning the country into a leading industrial nation purchasing high tech companies from abroad is a clearly stated part of that strategy b m c is backed by shanghai international

group multi-billion euro chinese state owned sovereign wealth fund germany's p.d.i. business lobby group is sending the alarm. as well as the messiah chinese companies should not be able to use state subsidies and government loans to acquire companies here at above market value thus meaning european competitors lose out or force the mc purchase core tanker for 240000000 euros in return employee representatives are counting on battery market access in china and the guarantee that jobs will stay in germany. we haven't yet had any contact with them which is what i can say though is that we continue to have contact where old management the same people are still there there be no present all changes. but the sheer speed of chinese buy ups has left many on edge late last year the e.u.

proposed a new law to scrutinize foreign investments more closely china wasn't named but analysts say the focus was firmly on beijing. plans by facebook to introduce its own virtual currency are facing immediate and strong backlash and it's not just anyone voicing concerns the g 7 that's the group of the serve living economies in the world have given the plan's a thumbs down french finance minister. insists that only governments can issue sovereign currencies a high level g 7 working group will be set up to examine the risks of crypto currency is to the global financial system facebook unveiled its mushroom its currency called libra on tuesday and said it would work with partners such as these are master card and pay pal. could this be the governor of the world's next central bank when libor becomes usable across facebook's apps including instagram and whatsapp possibly as soon as next year it could well become

a rifle for traditional currencies mark zuckerberg is promising money for the modern world i believe that it should be as easy to send money to someone as it is to send a photo. so we're already touching this in india we've got a 1000000 people it's been used a lot in the feedback so far is great and we're already working on rolling this out in a number of other countries later this year but the feedback from key financial figures in europe hasn't been so great french finance minister bruno lemaire says it's out of the question that libor should become a sovereign currency the governor of the bank of england mark carney has said it will need to be subject to the highest standards of regulation security is one of the biggest concerns but with facebook's record on protecting data analysts point out it's not the most obvious organization to trust with your money facebook has to convince us that not only should we not worry about privacy concerns when we share stories or we browse the internet through the social networking but financial

transactions are now safe as well that's a big that's a very tall order. this rather humble looking office block in switzerland is the official registered home of libra facebook has promised to keep its house in order and avoid the volatility of other cryptocurrency is by pegging libra to realize sets and a number of government backed currencies they'll need to convince users and financial leaders around the world the lever is backed by more than just luck. and that's it from me and the business team thanks for watching stay tuned news is next right after this break as global markets.

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emissions are hatami. and al supporters of nuclear power are speaking up. space of a nuclear power in a c o 2 neutral nuclear power a safe. nuclear power is the right solution. we're going to find out whether all of that is true. made in germany and 13 in dublin. much of it. joining us from africa the world or link to exceptional stories and discussions. of easy town i would say the devil to come smash the tree come join us on facebook at g.w. africa.

we are watching of all the tiptree knowledge in the water the forest of the border and words. intrigues started really and education they are demanding good quality education for their children because what it wanted all to realize that they have to have good quality programs some good quality consumers their needs were quality skilled workforce i'm very confident that includes holds on 50 no child or no i go through them and illiterate that is the fundamental human rights that is the divine right which the nature of the board has given to us and goals ruled on this legend of it that i had to look good was pledging of it i had the freedom against nature of that against god.

this is you know i mean it was live from berlin a staggering new figure from the un's refugee agency the number of displaced people has reached a record high of more than 17000000 we asked the un's high commissioner for refugees what's behind the increase and what world leaders can do to reverse this trend also coming up international investigators name for murder suspects in the downing of malaysia airlines flight m h 17 nearly 300 people were killed when the passenger jet was shot down over ukraine nearly 5 years ago.