tv Newsline LINKTV November 18, 2014 5:00am-5:31am PST
5:00 am
welcome to nhk world "newsline." i'm gene otani in tokyo. japanese prime minister shinzo abe has announced that he will dissolve the lower house of the diet this week. he says he wants to seek a public mandate for his decision to put off the consumption tax hike which is scheduled for next october by law. the general election would be held in mid-december. >> translator: since i am making a grave, grave decision for people's lives and economy, i
5:01 am
have decided that i must swiftly seek the mandate of the people. i'm going to dissolve the lower house on the 21st this week. >> abe said he made the decision to postpone the tax hike after he studied economic indexes and opinions of representatives from various sectors. he says the preliminary gdp figures for the july to september period show the economy is not back on the growth trend. abe said it is pointless to raise the tax if it were to slow down the economy, burden people's lives, and decrease the tax revenue. >> translator: i would like to seek the public's judgment on whether the consumption tax hike should be postponed for 18 months, whether it should be with certainty increased to 10% in april, 2017.
5:02 am
and whether we should further advance the economic policies and growth strategy that we have been working on. >> abe said he needs to call a general election at this time to avoid any delay in the process pertaining to the budget for the next fiscal year that starts in april. abe started his second term as prime minister with a list of things he wanted to accomplish. in dissolving the lower house, he seems to be seeking firmer ground on which to tackle, the important items on his agenda. >> reporter: abe returned to power for the second time in december 2012. his liberal democratic party won back the majority in the lower house, defeating the then-ruling
5:03 am
democratic party of japan. >> translator: let's do our best to return to a strong economy. by abenomics. >> reporter: abe pushed through a collection of revitalization plans called abenomics, aimed at ending decades of deflation. seven months after he took office, abe and lpd coalition partner komeito swept to victory again in the upper house election. with both houses under his control, abe gained momentum to proceed with a long-standing defense policy goal. abe and his cabinet agreed to change the way the constitution had been interpreted. that included allowing the country to exercise its right to collective self-defense. they want japan to be able to defend closely related countries
5:04 am
under attack on certain conditions. but that desire has yet to become law. in september, abe reshuffled his cabinet for the first time since he took office in 2012. he wanted to build fresh support for his policies, including strengthening japan's ability to protect itself. he appointed five female ministers in an effort to promote the role of women in society. but two of them resigned within two months of assuming their new positions, over allegations of political funding irregularities and violation of the election rules. >> translator: as prime minister, i am responsible for appointing the two ministers. i apologize to the public for creating this situation. >> reporter: recent sluggish consumer spending is likely adding to the prime minister's concerns. and a recent nhk poll suggests
5:05 am
over 40% of respondents think a proposed consumption tax increase from 8% to 10% next october should be delayed. the survey also indicated that popular support for abe's cabinet has dropped to 44%. the lowest level since abe took office. but, the tax hike became law in august 2012 based on an agreement between the ldp, komeito and the then-ruling democratic party. delaying the hike would require amending the law. even some ruling party lawmakers are cautious about delaying the tax hike. but abe is now turning to another source of support for his decision. the voters. >> our senior political commentator masayo nakajima joins us with his analysis. prime minister abe's liberal democratic party has, we're talking, a substantial majority in the lower house. >> right. >> why dissolve things now?
5:06 am
>> well, technically speaking, abe didn't have to call a general election until december 2016. but he's reaching out to voters as his administration prepares to tackle some difficult challenges next year. one concerns the restart of a nuclear plant in southwestern japan. another is the adoption of several bills related to japan's new security policy on the right to exercise collective self-defense. then there's the issue of the u.s. military presence in okinawa. the abe administration wants to move ahead with a plan to relocate u.s. military facility within the prefecture. but many people in okinawa oppose it. >> now, prime minister will also be up for re-election as the leader of the ldp in the autumn of next year. >> that's right. abe wants to go in to that vote with a strong mandate from the japanese public. unless he remains leader of the party, he cannot continue on as
5:07 am
prime minister. abe's not just thinking a couple years ahead. he's looking four or five years down the road. another key factor in abe's timing is the economy, i think. maybe was elected in 2012 on a pledge to turn japan around, and he's been trying to achieve that through the economic policies known as abenomics. but, figures out this week show that japan's gdp is shrinking, and an increase in the consumption tax in april is one of the reasons. abe seems to be looking for approval from voters about his decision to put off a second planned sales tax hike. the prime minister may also be trying to get ahead of epic scandals that have shaken up his cabinet. and the election would help him to get a fresh start. >> so, how much do -- or how much support do abe and his cabinet have from voters heading into this campaign?
5:08 am
>> well, a recent nhk poll showed that abe's support has fallen. but the result seems to reflect people's dissatisfaction with the state of the economy. more than two-thirds of respondents said that abe should delay or scrap plans for another hike in the consumption tax. so, politically, the prime minister's decision to delay the tax increase could work in his favor, and the political opposition is weak. i don't think abe will face much of a challenge. abe knows that strategically now is a good time to hold a nationwide vote. the election could deliver the vote of confidence he needs to push forward with his policies. >> masayo thanks, as always. on the business and economic side of abe's past years, ron madison joins us from the business team. >> gene, let's start by taking a look back on what's happened in
5:09 am
the markets during the last two years of abe's administration. since he took office in december 2012 he's emphasized that revitalizing the economy is one of his administration's top priorities. >> reporter: in order to revitalize the economy, abe implemented a set of policy that came to be dubbed abenomics. the three pillars of the policy are monetary easing, fiscal spending, and a growth strategy. the aim is to pull japan out of deflation. at the time, the continued strength of the yen was a burden on japanese companies. but the trend shifted when abe took office. he appointed kuroda as governor of the bank of japan. kuroda began a program of so-called quantitative and qualitative easing. the target was to achieve 2% inflation within two years.
5:10 am
this caused market sentiment to shift. investors regained their appetite for risk. they bought the dollar, and sold the yen. in november, 2014, the dollar climbed back to the 117 yen level for the first time in more than seven years. the weakening yen gave a boost to major japanese exporting companies, such as auto and electronicsmakers. their earnings drastically improved. and their share prices surged. the benchmark nikkei index rose 56% in 2013. and in 2014, it regained the 17,000 level for the first time in seven years. while the boj is expanding easy money policy the u.s. federal reserve decided to end its bond buying program. so many analysts say a weakening
5:11 am
yen, and rising share prices, may continue. >> well, the focus now on whether abenomics can really make any difference to ordinary people's lives. and the prime minister has instructed his cabinet ministers to swiftly draw up new measures to bolster the economy. he issued the directive at a meeting of the government's council on economic and fiscal policy. >> translator: we must ensure the virtuous economic cycle will continue steadily, and the effects of abenomics will be felt in regional economies. we have to quickly make preparations to take the necessary steps. we need to focus on supporting small and midsize businesses hit by high energy cost, and on revitalizing regional economies, by creating jobs, and through other means. >> abe and the council members were briefed on experts' views
5:12 am
about raising the consumption tax to 10% as scheduled next october. in the five rounds of meetings, economists, business leaders and other experts offered divided opinions on the tax hike. some said the tax should be raised as planned to rebuild the nation's fiscal structure. others, though, called for delaying the hike to focus on pulling the country out of deflation. some experts pointed to the need to support low-income families and smaller businesses. well for more insight on the new economic policy, we spoke with two experts that are based in tokyo. >> translator: the government should introduce stimulus measures as soon as possible. the tax hike in april caused a decline in household spending, and that was a factor that tipped the economy into recession. so, the government has to do something to lift people's incomes, and get them spending again. >> translator: i think the government should carefully
5:13 am
select public works that will have big, economic, flow-on effects. that will create benefits for people's day-to-day lives. >> well, market players certainly reacting to the political developments in japan. they sold off the yen against other major currencies, after initial reports about abe's decision. now the dollar briefly touched 117 yen about an hour ago. you can see it's pulling back right now at 116.66. in european trading hours right now, the yen briefly hit its lowest level against the single currency in more than six years, euro/yen right now at 146.03. investors are hoping for more economic stimulus measures in europe, as well. they reacted positively to comments by european central bank president mario draghi. he said on monday policymakers are ready to go further to support the eurozone economy. key european stock markets are also higher. london is up by 0.4%. frankfurt leading the region
5:14 am
right now up by more than 1%. gains of nearly 0.7% for the cac 40 in paris. now in asia, tokyo stocks bounced back from monday's losses. they ended up more than 2%. hong kong and mainland china did close lower, though. investors booked profits a day after the launch of that landmark hong kong shanghai trading link. okay that is going to wrap it up for biz tonight. i'll leave you with the markets.
5:15 am
protesters in hong kong have been staging pro-democracy rallies for more than seven weeks, but now their barricades are starting to come down. workers began removing them at the order of the territory's highest court. more than 20 court employees helped take down the steel fences near the government's offices. they warned protesters not to interfere. no major disturbances took place. the area is about 100 meters from the main road that passes in front of the offices. most of the protesters had already relocated and some helped remove the barricades themselves. student-led demonstrators first took to the streets in september. they want the election of hong kong's chief executive to be more democratic. the vote will take place in 2017. protesters have been blocking main roads in central areas. last week justices on the hong kong high court banned some of the sit-ins. they were responding to complaints by bus and taxi operators. local media have reported that
5:16 am
the court order covers the busy district of kowloon. workers are expected to start removing barricades there soon. but the students have vowed to continue their protests until their voices are heard. representatives of iran and six world powers, including the u.s., will return to the bargaining table to try to reach an agreement on the future of tehran's nuclear program. they'll meet face for face in vienna with a deadline looming. they're now working to strike a deal by november 24th. more from nhk world's chie yamagishi. >> reporter: delegates from iran and six world powers met last week in oman ahead of this round of talks. they initially set late july as the deadline of reaching an agreement. but they later agreed to push it back by about four months. iranian leaders say they won't give up their rights to produce enriched uranium.
5:17 am
iran has about 20,000 centrifuges that they use to enrich uranium. they say it's mainly used for nuclear power generation, and they say they need to have more. but six world powers are urging iran to sharply cut the number. they hope to extend the time needed for iran to make an atomic bomb by up to one year by restricting its enrichment capabilities. this expert says narrowing the differences between the two sides won't be easy. >> basic reason that both parties cannot agree to a certain number is based on the lack of trust against each other. and for the iranians, they consider that enriching uranium is part of their right, to do so under npt, and the other side, meaning the five-plus-one would consider that that would give iranians sort of a ability to develop a nuclear weapons.
5:18 am
>> reporter: they also discussed how to lift economic sanctions on iran. the u.n. security council adopted four resolutions against iran. since then, several world leaders have stepped up their sanctions on the country. as a result, iran's crude oil exports have dropped significantly. ordinary iranians have been hit hard. commodity prices have surged, after the country's currency, the real, tumbled. iranian officials have been calling for the lifting of all sanctions on its crude oil exports. but the west wants to phase out its sanctions over the next few years. based on iran's move. >> p5 plus 1 is not really to trust iran so they consider confidence building measures would be sort of a step by step process rather than having it all at the same time. they would want to keep some
5:19 am
sort of a pressure against iran that they would -- that the iranians would further move towards removing the sort of threat. >> reporter: tanaka said negotiations are basically deadlocked. but he said there are signs of hope. >> so i think it's going to be rather, say, logical to have a midterm agreement, basically coming from three to seven years at the most. and then the iranians under that sort of a certain period of time, they could agree to limitations to their enrichment program, as well as the p5 plus 1 or the europeans and americans being able to relieve some of these sanctions that are still in place. >> reporter: delegates will continue to meet face-to-face in an effort to hammer out a deal. chie yamagishi, nhk world.
5:20 am
japan's fisheries minister says whaling fleets will resume their research hunts in the antarctic ocean next year. but he says the program will be drastically downsized following a ruling by an international court. fisheries minister koya nishikawa said the fleet will only hunt minke whales. researchers will also conduct studies that do not involve killing whales. officials revised the plan after a ruling in march by the international court of justice. the court said the program does not serve scientific purposes in its current form. the ruling led japanese whalers to cancel this year's expedition. >> translator: we'll provide each country with a thorough explanation and try to win understanding for our research whaling in the antarctic ocean. >> members of the international whaling commission will discuss the matter next may.
5:21 am
japanese officials are hoping to resume the program late next year. the plan will likely draw strong criticism from anti-whaling countries. bone-chilling temperatures, and early season heavy snow, are pounding the northeastern u.s. meteorologist sayaka mori joins us for the details. sayaka? >> yes, the coldest air of the season is blanketing much of north america from canada all the way down to the south of the u.s. and we have a winter storm move through the eastern u.s. of heavy snow fell in a wide area, including hamburg, new york. lake-effect snow is turning western new york into a winter wonderland. cold air from canada swept over the great lakes monday, causing snow development into hamburg and buffalo early tuesday morning. a lake-effect snow warning is in place for the area through wednesday. as much as 15 centimeters of snow can be expected during that time. now the winter storm is still
5:22 am
located over eastern part of canada, bringing widespread snowfall, up to 10 centimeter or even 20 centimeters likely for parts of ontario as well as quebec as we go into tuesday morning. and winds are going to be picking up. so you could feel much, much colder than your forecast temperatures. now, the system has pulled away from the eastern u.s., but because of cold air we have widespread freeze warnings, or hard freeze warnings in place for the gulf coast. temperatures overnight could dip below freezing, so bring your pets inside, or bring your sensitive plants inside your room because it's going to be very cold outside at night. temperatures are going to be amazingly low. take a look at 1 to 3 degrees. you should be about 16 degrees during this time of year. only 1 for the high in washington, d.c., and 1 for new york city, as well despite sunny weather, and subzero figures once again in chicago, winnipeg, as well as toronto on your tuesday. the exception is going to be los angeles. your high is going to be mid
5:23 am
summerlike conditions, 27 degrees for the high. all right, across europe, severe weathermaker is still affecting parts of italy and the balkan peninsula. it's still packing lots of energy because of flooding rains, gusty conditions, and even some water spouts and mountain snowfall. and this system will likely whoever the same area into the weekend. so the west a new system is moving into the iberian peninsula. but things are turning wet in lisbon. your high is going to be 16 degrees. double digits in vienna and quite chilly for this time of year in moscow, minus 3 degrees. and zero degrees in kiev with snow on the menu on tuesday. and across asia, heavy rain is pounding areas like southern thailand, and malaysia and singapore. in addition heavy rain is likely to continue for the next several days. however, high pressure systems are bringing sunny weather for most of the korean peninsula and much of china. but skies are going to be gray because of air pollution in several areas like beijing, shanghai and hong kong.
5:24 am
currently the air quality is at unhealthy level and conditions will get worsened in the northern areas as we go into wednesday. now across japan, lake-effect snow -- excuse me, sea-effect snow is falling over the sea of japan side of the country and snow will likely continue at least into tomorrow in parts of hokkaido. temperatures are going to be low for tokyo, only 14 degrees for the high, despite sunshine and across the west, ulan bator your high is going to be 1 degree with snow on the menu. and to the south in the 20s in manila and thunderstorms are likely in singapore with 32 degrees for the high. all right. here's the extended forecast around the globe.
5:26 am
dissolve the lower house of the diet this week. he says he wants to seek a public mandate for his decision to put off a consumption tax hike which is scheduled for next october by law. the general election will be held in mid december. >> translator: since i am making a grave, grave decision for people's lives and economy, i have decided that i must swiftly seek the mandate of the people. i am going to dissolve the lower house on the 21st this week. >> abe said he made the decision to postpone the tax hike after he studied economic indexes and opinions of representatives from various sectors. he says the preliminary gdp figures for the july through september period show the economy's not back on the growth track. abe said it is pointless to raise the tax if it were to slow
5:27 am
down the economy, burden people's lives, and devoice the tax revenue. >> translator: i would like to seek the public's judgment on whether the consumption tax hike should be postponed for 18 months, whether it should be, with certainty, increased to 10% in april, 2017. and whether we should further advance the economic policies and growth strategy that we have been working on. >> abe said he needs to call a general election at this time to avoid any delay in the process pertaining to the budget for the next fiscal year that starts in april. and that's "newsline" for this hour. i'm gene otani in tokyo. from all of us here at nhk world, thanks for joining us. ggç
5:30 am
>> hello and welcome to live from paris. it is 1 p.m. in the french capital. let's take a look at what is making news this hour. islamdy attack in western leaves four people dead and several others injured. tensions in the city are already at a record high over a contested holy site. and japan, heading to the polls as prime minister shinzo abe a announcing an earlier election as the japanese economy continues to shrink. and a military buildup is taking place both inside ukraine and on
97 Views
IN COLLECTIONS
LinkTVUploaded by TV Archive on
![](http://athena.archive.org/0.gif?kind=track_js&track_js_case=control&cache_bust=395531708)