whole-year-old morsi's rule, we can tell the difference between democracy and dictatorship. people were in different places for so many times in so long, they were unable to attend.

those were people i love so much, people working for peaceful transition. why should i lose my friends when they are working for democracy? it is a tragic day. i>> there was build up to this event. there were warnings. violence seemed to be anticipated as there were warnings that the protesters would be moved. why do you think the protesters would remain there? that would be -- the country isn't any closer to democracy now than it was before. >> you are right. what led us to this moment? it is the coup that removed the president, the first really elected democratically elected president and a suspension of

the institution that was upheld by 64%. and removing the upper house of the parliament. that is what led to everything you we didn't have an option. either we would put in jail or we would live as slaves in a police state that we all revolted against during the move barrick years -- during the mubarak years. i until today and tomorrow and after tomorrow, we will stay in the streets. we can never give up on democracy. violence is not the solution. we will never, never near to violence. our message is peaceful. we would like to live as free people, like so many people on the face of the earth. why does the army have to intervene in politics. it is a political problem. lyrical parties come together and agree and disagree and work for the betterment of egypt.

i am sad that the united states's stand is not strong enough. it needs to and in this crew. it -- this coup. those who support become enemies of the -- of innocent egyptian people. >> we appreciate your time. just ahead, billions of dollars in international aid are earmarked for mali, but it is by no means a blank check. and a deadly explosion in india. will have why it happened and the search for victims.

>> we are cctv america. >> welcome back. in mumbai, india sailors are

feared dead. when blasts left a vessel engulfed in flames. a senior officer would not rule out sabotage. at this point in time, we know that for some time, ms. would be coming from the indian navy. behind me is where the accident happened. at this point in time, no one [indiscernible] but the 18 sailors that were on board, there has been no contact with them and the government will be declaring -- [indiscernible]

a report will coming out two weeks from now. for now, the government is not ruling out anything. we know one blast happened outside the submarine followed by multiple blasts that engulf the entire submarine and it sunk in the next two hours. wednesday morning saw a massive explosion that left clouds of fumes behind. the explosion left the indian simmering sinking. 18 sailors are feared dead and the navy is asking families of of the sailors to prepare for the worst. a board of inquiry will look at all possible explanations that could have led to the blast. >> the basic question is what caused the fire.

we do not have an answer to that question as of now. on any warship and more pronounced on a submarine, there are several ingredients that can contribute or cause a fire. >> [indiscernible] >> even as divers tried to reach what is left of the submarine, no sign of life is believed to have been found. over a dozen firetrucks rushed to the spot after the massive explosion. but that it was not enough. it had recently returned to india after an operation in russia.

perts say the accident follows other recent aircraft carrier. >> there was a lot of satisfaction and pride in the country that these were modest steps, launching an aircraft carrier is a big deal for a country. 10 years ago, it was never making a scooter, not to mention a car. >> there had been an explosion in 2010 due to a hydrogen leakage. the latest disaster is one of the worst experienced by the indian navy. india has one less simmering that is trickle for their -- one less submarine that is critical to their country. it is a dire situation where many are questioning.

at this point, everyone seems to be asking. this tragedy has certainly taken everything out of the celebrations that were expected to happen today. >> turning now to the relationship between russia and china. the security consultation is taking place right now in moscow. for more on what they will discuss, i am joined by the china institute i national studies. >> as you know, every time we talk about a wide range of issues. i suppose the topic dominating this dialogue is the strategic partnership between china and russia. this is the fourth -- this is

the first dialogue after they first initially finished the power transition. so it is important for the two sides to set up the tone for the future development of the strategic partnership. and for international issues, one thing that will be popular is cybersecurity. as edward snowden has aroused concern and china has common views and common interest on this point. for the [indiscernible] as you may know, china and russian parties are part of the six-party talks. china and russia have wanted -- we will talk about the future of this country. >> you mentioned the snowden case. recently, both countries were involved in that. a were also holding joint anti- terror drills. they also had a china-russia culture festival as well.

what does it say about the collaboration and these recent joint events? what does it say about the relationship between these two? >> there's nothing surprising that they would be sharing a very stable and good relationship with each other. but as you mentioned, the communication in the military field and the exchange are two symbols for a good relationship between two countries. so i believe that the two countries are trying to make more development in the bilateral relationship. >> we appreciate your time. thank you for joining us live from beijing. israeli and palestinian negotiators have been meeting in jerusalem for the first round of direct peace talks in five years. the meetings are being held behind closed doors at an undisclosed location hours before the talks israel released

26 palestinian prisoners. that israel's recent announcement about plans to build hundreds of new homes in jewish settlements fueled palestinian anger ahead of talks. it comes after months of mediation. in the west african nation of mali, the new president-elect will have to rebuild a broken nation. having democratic elections is a condition in locking $4 billion in foreign aid for stabilization and recovery. it's money the people of mali desperately need. >> mali is one of the poorest countries in the world. according to the world bank, almost 80% of the population lives on less than two dollars usd a day. mali is heavily dependent on foreign aid.

but the flow of international cash was suspended following last years coup. >> the principal and any of the economy is in security and its first ally is trust. those two elements failed when the crisis in the north erected. -- in the north errupted. investments stopped, hotels closed, and the country installed itself in an acute economic crisis. >> years of mismanagement and misappropriation of funds have taken its toll on the economy of mali. with billions of dollars of foreign aid lawyers for release, -- aid poised for release, people want to see change. >> we need transparency. we need the authority of the states. we need morals. what we have had for the past 20 years is then just taking their piece of the pie. there was no opposition in mali

so there was no democracy. we can't be full of. now even uneducated people are aware of the reality so the new president knows what to expect. >> mali desperately needs the international aid, but it won't be a blank check. international donors will be strictly monitoring how it implements reforms. >> doctors without borders says it is closing all of its operations in somalia after 20 years because of the threat to its staff. armed groups in the war-torn east african nation were killing and abducting aid workers. over the last 20 years, 16 of its workers have been killed. the charity warned its decision could leave hundreds of thousands of somali citizens about the minute hearing aids. it is the only provider of basic

health care in many parts of the country ranging from medical supplies to major surgery. coming up, the u.s. soldier who gave thousands of u.s. documents to wikileaks speaks out for the first time. the dprk says it is now manufacturing a popular high- tech device. >> bis asia. asia means business.

>> we are cctv america. >> u.s. soldier bradley manning is speaking out publicly for the first time since he was convicted of releasing hundreds of thousands of classified and top-secret documents to the wiki leaks website. he began with an apology. >> it has been three and a half years since u.s. soldier bradley manning sent the first classified file to the wiki

leaks website. on wednesday, the humble and apologetically five reald spoke during his trial -- tony five euros boat during his trial. -- 25-year-old spoke during his trial. he said he did not know it would cause any harm. during the sentencing phase coming new picture of manning is the managing -- is emerging. one of his former leaders in iraq accounted several incidents where he displayed erratic hater, including times when he went silent while talking. or a time when he flipped over a table for being scolded for being late to work. he also curled up in a ball on the floor with a knife. then there was a time he sent a picture of himself dressed as a woman to a supervisor. according to his lawyers, these are all examples of why the army should have removed him from duty and revoked his access to those files in the first place. manning has his supporters, both

outside the military base where the trial is taking place in and around the world. hundred thousand people have signed a petition calling for him to be awarded the nobel peace prize. they point to a video that he leaked showing a u.s. apache helicopter killing citizens in iraq in 2007. >> it's an injustice. they were criminals that he reported on were killing women, children, journalists. they didn't even go to trial. >> a military trial found manning guilty on dozens of counts last month coming putting six federal espionage act violations. the hearing going on now is to determine his sentencing, which could be up to 90 years behind bars. >> the dprk claims that it is manufacturing a popular high- tech device. the kind to best the country's

leader visited a factory that has started making smartphones. that is according to state media. the line of phones is called irang and has a touchscreen and a camera that some have -- but some may have been imported from china and shipped to the factory. the video only shows the workers inspecting them, but not manufacturing them. that doesn't for for world news. back over to fill. -- to phil. >> the economic outlook in europe is beginning to look better. it showed his first-quarter growth since the recession that began in 2011. germany was one of the main drivers. but the european commission is warning against expecting a full recovery soon. in the uk, the employment rate held steady at 7.8% for the last quarter. but that is still well above the seven percent target set last

week by the bank of england. mark carney says he will keep interest rates low until the target is reached. a reaction from the british business community. >> they have welcomed the certainty given them by the bank of england dramatic break with tradition. the producer of pumps and motors and oil installation around the world is investing this your one and a half million dollars, much of it through loans knowing the cost of cash is critical. >> businesses plan years ahead. we have the knowledge that interest rates will remain low for 2-3 years then we have the opportunity to look at what we can afford and that all helps in terms of the certainty for the business. >> they probably -- the problem with unemployment is that it is a moving target. the slack in the economy, these

people will need to borrow and they need the confidence to borrow. one of the workers hear simply do more overtime. that won't bring down an employment rate. which could throw bank of england estimates on when the economy strong enough for an interest-rate hike. mark carney says he wants to see an employment fall from its current 7.8% to 7% before raising rates. some analysts say that it can happen as early as next years. others say they may not happen for another three years. clarity to encourage uk companies like hayward tyler to borrow, spend, and increase productivity. correct>> we are recruiting peon the certainty that the bank of england's announcement made helps business.

>> it means that, for the first time in decades, unemployment has become mission critical data. and it will be watched closely by businesses, banks and world markets. >> peter shift john lewis from connecticut. let me start with these numbers out of your. -- out of europe. what does it tell us about the economy? >> if the goal is to create jobs, they won't do it i creating inflation. -- wanted by creating inflation -- won't do it by creating inflation. it is laws that restrict employers ability with respect to hiring and firing and all the various taxes that they encounter and the lawsuits that they potentially encounter when they hire people.

so that is what the government should be focused on, removing all of these barriers to let the free market create jobs. but if they think they will crate jobs by creating inflation and keeping interest rates low, they are wrong. >> you and i have had a lot of conversations about different issues, but we haven't talked about youth unemployment, not just in the uk, but the rest of europe. they embrace capitalism. for the most part, they have free markets. what are they doing wrong and why is this such a crazy problem when you try to explain it to somebody who lives outside of europe? >> the minimum wage law is particularly problematic for young unskilled people. the british have some kind of apprentice training wage. but by the time he gets and 19, the full minimum wage applies which i think is close to u.s. terms.

but a lot of people are not worth that much. they don't have the skills. the minimum wage is just the beginning. you have to pay a lot of taxes on top of that. there are payroll taxes. so the cost of firing people is higher than just the minimum wage payment. so for a lot of people, that is a barrier they can't overcome. >> what about this issue of firing people? i hear that a lot from economists. it is hard to fire people. it is hard to eliminate headcount. is that a problem? >> if businessmen know that, if they hire somebody, it will be difficult to fire them, then they will be reluctant to hire them in the first place. the easier it is to fire, the more likely you are to 5 -- to higher. you are taking a chance. he did not know if they will work out or not. maybe you want to get rid of them. but if that is going to be a

problem from gap to pay a fee or a lawyer in order to fire somebody, you're not going to hire them. they have a very lucrative social welfare state. they make a very enticing for people not to work, to live on the dole instead. so you have the double whammy, the government eking apart to get a job and then making it very lucrative not to work during so when you take the two in combination, you create a situation of high unemployment. and to think that the central bank can do anything about that by manipulating interest rates, the only thing they will do is make the situation worse. >> i was a little worried that you might talk politics with me but i will give you a shot at it and there is a lot of criticism in the uk about the immigration situation. you hear that different parts of the world come including hear the u.s. if the immigration policy is that people can come from all of the world and take my job, on the factory floor are -- floor or an office building, does a hold in the uk?

>> it doesn't hold any merit anywhere. throughout history, people have always tried to scapegoat immigrants because they are usually an easy scapegoat because sometimes they don't look like the native population, they don't sound like them, and they are easy to say to scapegoat. nobody takes any but his job because nobody's entitled to a job. just because people come in and are willing to work tom a doesn't take away any opportunities. it doesn't take away any jobs. it actually improves the situation because people working and helping society to create new products, provide new services makes everybody better. but, gap, it is easy to say that is because of the immigrants that are coming in. look at all the benefits and there are a lot of jobs performed by. you take the immigrants out of the equation and the jobs are not performed at all and people have to do without a lot of the services that we take for granted. >> this is a discussion we could

have over a cup of coffee. are you saying that because the social welfare system -- let me put it a different way. because of all of the social benefits of these countries have , that is basically making people so, hey, you know what, i have this great life and i can do whatever i want to do and i get money from the government. why should i go to work? is that what you're saying? >> that happens a lot in the uk particular. it is not just the benefits you get for not working. but the minute you start to work, not only do you lose those benefits, but now you have to pay taxes. so the actual marginal tax rate for people who go off welfare or the dole, whatever they want to call it over there, and start working, that is some of the highest marginal tax rates that anybody faces. in many cases, it is just too big an obstacle. people don't want to do it. so they will stay on government

support and they will never get that first job. they will never climb up the job letter to get to the point where they can make a lot of money because they never take that low-paying job because of the enormous tax that they have to pay when it is a combination of a loss of a benefit and then having to pay a tax. and working is a lot more working than -- and working is a lot more difficult than working -- working is a lot more difficult than not working. >> it is always fascinating to hear your opinion. we will see you hear in washington soon hopefully. thank you. we will stick with the uk. mark carney is facing some dissent on some of his central- bank policies. in a recent note, martin wheeled voted against mark carney's decision to keep the rates low. he said he is committed to keeping interest rates where they are until the unemployed

rate falls below 7%. coming up next on the show, we will talk about samsung as they run into trouble in brazil. and mortgaging mongolia's future , how to get their middle-class a better chance for a better life.

>> welcome back. brazil is taking aim at samsung. the brazilian government is suing the electronic giant for damages for violating labor laws. officials say that employees are subjected to long hours without breaks and unsafe working conditions. 6000 people are employed at that

plant. samsung has responded saying that the company is committed to providing a safe work environment and is fully cooperating with the brazilian authorities. and in mexico's america mobile flans to buy kpn and it may be on hold. the foundation says they are concerned about the $9.5 billion takeover bid. under dutch law, the foundation has the right to prevent what it can send -- would condense to be a hostile takeover. the dutch company wants mobile to reveal more information about what the future plans are. mexico's richest man carlos slim owns america mobile. and mongolia's government says it is committed to making homeownership more affordable for more people. it is expanding a program that sees mortgage loans dropped from 20% to just 8% and that is good news for mongolia's new middle class.

>> can you residential neighborhood in the south part of mongolia's capital that cater specifically to young families. like this accountant and her children thanks to a new government program that has slashed morbid straits -- mortgage rates by more than half. she was one of the first to move in. >> i always dreamed so much about having my own apartment, about moving hear. i couldn't believe that my dream had come true. it always seemed impossible and then he came suddenly. it is still very hard to believe it. >> they began offering 8% raises for the country's middle income earners they hope the scheme will help more mongolians by and come in doing so, strengthen the middle class. the petitions for loans have arty doubled. this is good news all around.

>> people who are getting the low interest loans can spend more money on consumption and many herman jobs will be created. -- many permanent jobs will be created. >> politicians hear have increasingly come under pressure for not using the newfound riches critics say to better support those who need help. historically and mongolia, default on loans have been remarkably low so there appears to be little risk. they have made 10,000 loans available but they are confident it will work and/or do have plans to expand it. >> housing -- will work and they already have plans to expand it. >> but growth and supply may not be able to match this growth and demand than some fear that it will drive property prices up. so the race is on, not just to buy, but also to build.

>> we are taking a quick break. but coming up, we will have the latest market numbers out of asia. plus virtual education, why online schools are genuine moneymakers for entrepreneurs in china. and we will also look into why competition is increasing in that industry. before that, u.s. stock markets closed in the red today gave the dow was the worst performer, down 0.7%. hear the closing numbers. we will be back soon. stay tuned.

>> china has decided to make domestic technology another engine for growth. what is this about?

>> the government says it will boost public and household spending on the i.t. industry by more than 20% through 2015. the move is aimed to make the sector a new growth sector for the economy and involves the promotion of e-commerce business and the upgrade of the telecommunication infrastructure. the commerce sector, for example, is already booming in china and they target is by 2015 . in terms of infrastructure upgrades, the government will release four g mobile licenses later the sheer. -- 4g mobile licenses later this year.

this is a very comprehensive guideline issued by the state council. it is a lot to take in. it will also be forced to limit government interference and break the monopoly by state owned companies in the industry. it also calls to strengthen the protection of information security. so expect a lot of actions in the i.t. industry going forward. >> big numbers and big plans. we will stay with this theme. the technology industry is also booming in another sector, internet companies. they are now expanding into education. profits are getting squeezed as well. >> this search engine helps middle schools students learn math, physics and biology and it's free. >> china's education is based so much on the test-oriented system.

many parents are willing to play a lot of money to educate their kids. online education has become popular in china because it is more economical. customers can catch -- can get education materials more easily from online platforms. it saves time and money. the scale of china's online education business reached new revenue last your. -- last year. >> three companies in china where the education for all around development are working skills. china's education is more about exams. >> but some companies are trying new ways to help students and not just for their school exam. take videos, for example, some with experiments to help students understand things better.

or for math, some education resources are now without knowledge for an exam, i'd have more stories about math history. >> the head of 1 -- but have more stories about matt history. >> online education will eventually account for 40% of the market. >> joining us to talk more about this is the chairman of the national family engagement alliance and also the author of the book the abcs of life. let me start by asking you, in the package, we talked about the online education and what a big deal it is. how did those numbers compare to the united states? online education is big everywhere around the world share. >> there is a drastic and sustained increase on online education.

you see people going back to gain new tools. you see these companies doing very well and you see the same thing happening across the world. >> are used to be this stigmatism to doing things online -- there used to be this stigmatism to doing things online. it has come down a lot. how did this all changed in the last two years alone? >> what you see is that, the part of the stigmatism in the outset was correct. then you see organizations like the apollo group and the university of phoenix who spent a lot of time saying how do we restructure guys and rebranding package art for achille to ensure it has a same -- package and curricula to ensure that it has the same value and what are the specific needs for your employee they sent us attempt to

design a program and be flexible to meet the needs of the student schedule and the employers who are looking for individuals to go to work. >> one of the criticisms of online education is that you don't get the interaction with the classroom or the teacher. is that still an important part of the education process, the personal network that you have in that physical space? >> i think the personal network is critical to success in business. i would not limit that are confined that just the education discussion. with that said, we find in this day and age is corporations looking for employees able to work virtually and remote. it is shifting in many cases to a social platform. so what you see now are institutions saying how do we also provide an environment that meets the need of the student but also prepares them in many cases for what the real world looks like and you will continue to see companies allowing

individuals to work remote in any location around the world regardless of where the home office is an eight under the same thing from an education for specs and -- and now you can do the same thing from an education perspective. >> are there limits to what you can do online? let's say you are learning to be a dentistry dr. you obviously, there are expect -- dentist or a doctor. >> the two examples you pointed out, when you look to being a doctor or somebody who is in the healthcare profession, it requires a technical practical application of the skill set. you still see organizations and looking to provide those practical journeys so they can have a practicum and get onto the -- on-the-job training that

aligns with the academic curriculum. that is not necessarily new. what would you see in this day and age is that organizations are saying how do we ensure that a student that is enrolled in our program that is traveling globally no matter where they are in the world, how do we ensure that they have the skill set to also be effective? how do you match the economic content with the practical work experience that you need in the environment? so the notion of a healthcare profession, don't you think you will see residencies go away. if you have an m.d., you're still spending time in the surgery room and doing your clinical labs to be sure you are doing -- to be sure you know you what you are doing. >> in your book, you talk about engagement in education. so if you and i were looking at going to school and i wanted to be an anchor and you wanted to be an author, what school would we go to and how would we do it? >> we would have gone through a traditional program.

you would have enrolled in a journalism program that would take four years. do a couple of internships during the summer, maybe working on the radio station on campus and maybe a couple of hours in the studio. you look at it from that perspective. i think the tenets of that still holds through -- still hold true. years ago, the opportunities were not as vast. but in this day and age them individuals can create companies overnight and join organizations and become directly involved. there are a whole host of student organizations. >> all right, we are out of time. thank you very much for your time. let's get a look at the markets. earnings from a big asian company. >> hong kong is back trading

today after a suspension due to inclement weather and investors have a lot of catching up to do. a day after mainland markets posted its first loss in four days after reports that beijing will move to cut overcapacity in industries much earlier than planned. zd mining shares in focus asked -- in focus after dismal earnings. a 54% slide in net profit from a year-earlier your now -- earlier. now they are gaining after shares fell 1.4% on wednesday. china's largest internet company by revenue reported wednesday with an 18.4% rise in profit. higher marketing costs for its reach a social messaging service hit the company's earnings/ -- earnings. shares in tents and have risen

about 40% so far this your, making the company the best performer on the hang seng index. shares in hong kong are now down as much as 4%. big big china mobile reports after the market closes. thanks to cost-cutting and stronger service, that is a big improvement after a loss of nearly $120 million in the first half of last year. cathy pacific shares in hong kong are down now more than 1%. in the nikkei close on a one- week high on wednesday a positive economic data in europe and the united states. in the first hour of trading, the benchmark index is off by over half of 1% in tokyo. >> thank you. 300 people have been killed and 2000 injured across egypt.

cctv america will continue to watch this develop a story and give you updates throughout each hour. we will see you tomorrow.