with measures to contain food prices, but are they working? this is the w business. i'm janelle dumas on. welcome. a warning for turkey. the european bank for reconstruction and development says the recent earthquake there could hit the country's economy by up to one percent of its g d p. hampering recovery efforts and our report out today. it also warns there's misplaced optimism in the economic recovery of developing regions in europe. the middle east and north africa, the e b r. d says it's focus regions, saw 3.2 percent growth between january and september of last year. but that was still slower than growth. the output of all of 2021. looking at country growth, specifically the biggest decline came from ukraine, which posted a 30 percent drop in the study period. while turkey grew 6 point one percent during that january to september period, the e b r d says the earthquake has significantly dampened those prospects. we're

joined now by e. b r d chief economist b at a for a chic welcome be outta. so let's start with turkey. you views the experience of a previous earthquake in 1999 as a model to assess the economic damage that turkey may expect from last week's earthquake. tell us, what are your findings? well, the earthquake has been a huge human strategy, but also it has economic costs. however, even though this years earthquake was stronger in magnitude than the one in 1099, we hope that it's economic impacts will not be greater. and that's because the previous earthquake affected part of the country with very strong input output linkages to other regions. so the impact of the earthquake was felt why beyond the region directly affected the part of turkey that was hit by the cataclysm this

year is focusing mostly on light manufacturing and agriculture. so the hope is that the agricultural season can still be saved. and because of weaker linkages to other parts of the country, the impact will be more limited. now, i would like to ask, what is the b r d going to do? will you be making any emergency funds available for turkey and syria in order to help them rebuild? my colleagues in ankara are looking into ways we can help. now, it's very clear that in end the reconstruction effort, public funding is never enough. therefore, it's critical to mobilize private investment and that's exactly where we can come in. we invest in private sector. last year we invested 1600000000 euros in turkey. and we hope that through the, our knowledge of the country,

through our links to the private sector, we can bring additional private investors from abroad. and in this way help the reconstruction effort. many hands to help them, but zooming out more generally on your report. so the title is not out of the woods yet. you mentioned a whole range of factors affecting growth expectations. what do you stands out as the biggest challenge of all? inflation is clearly the challenge that standing out, even though we are expecting a lower inflation this year. we are still talking about double digits for m aging for emerging europe and looking at historical experience. even these current projections may be somewhat optimistic, and of course inflation is harder for people in emerging europe to cope with simply because their incomes are lower. so a larger chunk of their income is spent on basic necessities. now you've

also said that markets are expecting higher gas prices in europe, and they're expecting them to remain high, sorry for the next several years. why is that? well, that's because the global supply of l n. g is limited by physical infrastructure and it's very costly and it takes time to increase the ability to of the world to, to sell more. ellen g. moreover with china opening the demand for gas imports is going to be higher. and even though the prices are lower than what we saw a few months ago, they are still in europe 5 times as high as the prices in the us. and that's going to have a negative impact on european competitiveness. thank u e b r d chief economist b r t at java chic. therefore us, thank you for your insights. thank you. now to some of the other global

business stories making news. there you worse experienced an unexpected balance and retail spending in january sales. john 3 percent from december as auto dealers, department stores and restaurants all recorded strong turnover. it's the largest month to month gain since 2021. and is expected to add to pressure on the fad to keep raising interest rates as it fights inflation. world bank chief a david mal past says he will step down as head of the development lender nearly a year early. he was appointed to the role in 2019. when donald trump was president, recently mel past has come up against calls to step down for is inadequate approach to the climate crisis. next up are reality check. an augmented reality check that is german start up. the excel says it's using a new technology to make augmented reality. reality feel like

a real encounter. we take a look through their so called one doc data glasses. to southern german city of calls rule a young start up with a lot of money. and 3 founders with big plans there are 2 so called holiday acts here. they connect colleagues as if they were in one room with the green party that glows like that has an infrared tracker at the top and can recognize the via glasses in the room. and then when i move, the image is corrected up here with software, giving the illusion that the person is in the same space. i didn't want to did this works because the glasses reflect to the eye. what is on the screen above the person has come to me for it's quite a lot is going on here at the same time and there's a display in there. we have the whole human fact in white different dimensions. and the brightness is a big point because we're looking through it and fighting against ambient light.

and i think augmented reality is one of the most complicated things you can build right now. well yeah, because i haven't launched a rocket into space yet, but i suppose it's easier. who's making the glasses. the big tech companies are investing billions in the fight for the future market. i need to play of some players have been around for a few years like microsoft and magic leap isn't the big hope is that apple will bring out augmented reality glasses soon. it looks like this won't happen until next year. at a price. there are other companies like in real, for example, who brought 1st marketable consumer ready glasses onto the market, off market a lot of these young founders in called row unfazed by that they technology has so far, only allowed limited fields of vision in defect. m isn't in the end, it's a technical problem still, a few times you thought you'd solstice, you through a lot of money at it and then realized afterwards that you don't get the fields of view that the form factors that you need. so you don't look stupid with it,

and you get that immersive feeling. we're doing something completely new. we're doing. i won't say how is acme 12 i t specialists and engineers work full time for geeks, l, so far, only men. but hopefully that will change soon. say the founders, the glasses will come on the market in 2 to 3 years, and they may open the world's eyes. now, last year, mexico's economy grew 3 percent, but rising food prices continue to weigh on mexicans wallets. this year the government has been taking steps to keep the cost of staple food and check, but they have had limited effect. going to the store is something carmen now dreads . as a single parent, small stores are the best option. she has neither the time nor the means to shop at supermarkets. in the past, her weight is from her job at the gas station could fill the pantry. but inflation

has changed that it is. these are the actual vegetables have become very expensive and other food items i used to get by on 500 pencils a month. me? no, i need 1500 pieces. at least i'll get on. prepare for the lead. amazement as to call mclean. in january, the mexican government adjusted its response to the effects of inflation. for the 3rd time. the number of basic products for which prices will be stabilized, was more than doubled to 50 from $24.00. ricardo sheffield is deering, the government measures. it says the price of a basic shopping basket has remained at $55.00 beating the government target. thanks in part to the time of the year. yes, that's your nelly, that in. ready tolls many products i seasonal in the day years look emphasis and

what we noticed with a 2nd round of measures that emma was that the price change for fertilizer could already be seen back to the low mental it. but as years our laws are bonus, alo therapy, the santas. but basic products have still become more expensive despite the efforts made by supermarket chains and food companies. one of the challenges is the complexity of the mexican market. families tend to shop at smallest doors. more than 200000 of these shops are members of the national alliance of small business owners and peck and its president. quite tech rivera says supermarkets used the subsidies to lou a customers to buy other brands. if they're a little nicole movie, we are so we have a very diverse market, a to truck market because we have a formal industry and a very distinct shadow economy. the qualitatively bad products are not among the

subsidized goods. they are used to leo or customers. they say they cost $1038.00 pixels, but it's less in the assay yami. those are bristles. carmen lives with her 4 children and 2 grand children on the outskirts of mexico city. she needs to feed 7 mouths on 2 wages. an empty fridge is the result of rising prices and an ever hard a choice on what to buy. that gotten is there it is fair that we've reduced eating me to 3 times a week from 5 and fruit to 3 or 4 times a week from 5. given that somebody mustn't let a man inflation is leaving. it's mark, not just a mexican wallets, but also on the eating habits. and finally, carnival fee then is approaching for people around the world. and of course, one of the biggest parties is in the brazilian city of rio de janeiro. they're

carnival is opening on friday and authorities. there's they, they are expecting $1000000000.00 worth of economic activity. a 12 and a half percent increase from the last carnival celebration, which took place in 2020. just before the pandemic shut down much of the world. $2000000.00 tourists are expected to flock to the event. that's our show. thanks for watching. mm. with ah! with

ah! in turkey, people are not only morning there did. there and shock the said fail to prevent the catastrophe. ah, the cause of shoddy construction. everything lies in ruins. for syrian refugees who have come here seeking safety, the future looks equally. li, focus on europe. in 90 minutes on d. w. rusty it's pursued. this is to consequence for 4000 frogs. i'm to find out. conflict in ukraine. the european war and 10 voices rushes war in ukraine in one years since the invasion began in february on d. w. what this is

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ah ah, this is dw news live from berlin, the u. s. defense secretary holds tools with nato ally, estonia. lloyd austin's been meeting with prime minister kaya color address, ongoing support for you, crime. and for nature defense issues for bringing that press conference life also on the program saved after 250 hours buried under rumble. the turkish teenager is pulled alive from the ruins 10 days after earthquakes, flattened parts of turkey.