>> hello everyone. we're broadcasting live from paris. here are the headlines. spain's ruling people's party suffers its worst election result in more than 20 years, as the leftist period of time rises. the conservatives will now have to form coalitions in 13 of the country's 17 regions. >> 139 mass graves have been found in malaysia right next to a thai border. human trafficking is rampant in the region with smugglers allegedly keeping migrant in jungle camps. many are thought to have died from disease or starvation. >> and dheepan the french film,

has triumphed at the cannes film festival, france wins the award for the first time in seven years. >> also this hour in business, we'll be reporting from shanghai on the rise of china's startup scene and fears of a bubble in the technology sector there and as yet, another bank holiday for the french today, but some people have decided to work to help the elderly and the disabled. >> radical left wing parties have made significant gains in spain's local and regional elections. many voters punished the ruling conservative party angry over soaring unemployment, corruption scandals and cuts in public spending.

>> celebrating dramatic gains in local elections, spain's newcomers the leftist group, it's a punishing blow to the country's ruling popular party and its main rival and been dubbed a magical night by pablo iglasius. >> the major party's have had one of the worst results in their history. today, we can confirm that the people of this nation have put an end to the two-party system in spain. this is the spring of change and it has come here to stay. >> and in the right wing party in valencia, the party lost its absolute majority, meaning it could be forced into opposition by left wing parties. in spain's second city of barcelona a blow to the nationalists, although the p.p.

emerged ration the biggest party, nine of the regional contests on sunday, this is still its worst result since 1991. >> as the president of the people's party of madrid, i've taken it upon myself to announce that the p.p. has become the most voted party in the election that have taken place today. >> alongside the left wing groups. the liberal centrist party also made inroads with voters. spain's political landscape traditionally split between the socialist and the p.p. have been shattered by the upstart parties. grim news for the traditional powers as the general election approaches at the end of the year. >> more about what's likely to hoop next, from -- to happen next from madrid. >> the p.p., the leftist sense of the traditional socialist party will be forced into some rather unholy alliances with parties who until yesterday were vocal critics of the biparty system.

the death of the two-party system that's existed since the death of general franko western europe's dictator more than 40 years. how that will unfold will manifest itself over the coming days, even though the p.p. the governing party across the nation has got the most votes in many, many town halls in many regions the left of center can muster more votes and will be klafka to put people into power as mayors. >> now, in barcelona, for example, an anti-poverty activist has been elected mayor, and the candidate could win in madrid. how will that affect daily life in spain? >> well the big issue here is is the national government which is still controlled by the party popular going to do its daily business with the regions and the municipalities when they're actually controlled by podamos.

the 41-year-old anti-poverty, anti-eviction activists looks as though she's going to become mayor in barcelona, although it's a very very fractured landscape in barcelona. her party only has 11 of the 41 seats that she's known to perhaps get into some sort of alliances. in madrid we've got the 71-year-old grandmother, ex-communist, manuel car mano we represents podamos. she looks as though with the help of the socialists, she's going to bring in a left of center government in madrid for the first time in 24 years. it's going to be a very, very interesting few days in a country which isn't used to coalitions. >> who will get a say in the u.k. referendum on europe, the freshly reelected prime minister david cameron promised a vote by the end of 2017. and the government says most other europeans living in the u.k. will not be able to vote. however citizens from the commonwealth cypress and iran

and are illegible. cameron is due to start a tour of five european capitols later this week. >> poland has a new president, the conservative andrej duda won the election. the outgoing leader conceded defeat. in poland, the president holds a largely ceremonial role but this election is seen as a test for the upcoming parliamentary elections. >> many poles wouldn't have recognized his face a year ago. but now, he's their president. andre duda is from the opposition justice party and in an unexpected victories he's defeated poland's ruling party candidate. >> those who voted for me have chose enchange and i am grateful for that. i have received support also from those who voted for other candidates in the first round of elections.

>> duda promised tax breaks and benefits to a frustrated population that has seen its economy grow but employment stalled. his win is a sign of what's to come in the parliamentary elections later this year. something his rival knows all too well. >> there will be other battles, there will be other challenges. and we must be ready to meet them. >> >> poland's neighbors may be readying themselves too. duda would be mainly in charge of defense and foreign affairs and his party is openly skeptic, as representatives of the e.u. sixth largest economy, this new president may soon be taking on another political rival, ex-polish prime minister and president of the european council, donald tusk. a tunisian soldier has opened fire on other trips in a military barracks. according to a military

spokesman eight soldiers were wounded, shooter also thought to have been killed during the attack. he had previously been forbidden from carrying a weapon and allegedly seized somebody else's weapon. the interior ministry says this was not a terrorist attack. tunisian authorities had boosted security since a deadly attack against foreign tourists. at the bordeaux national museum two months ago. >> bracing for more protests on monday, this after the funeral of an opposition leader who was gunned down in the capitol over the weekend. protesters have taken to the streets for more than a month now, angry over the president's bid to seek a third term. our team on the ground has interviewed some of them. take a listen. >> the head of the opposition party union for peace in the government has suffered an awful attack.

today, we have gathered to contest the presidency of. >> if the police don't try and stop us, this demonstration is going to continue until we reach our final destination. the city center. >> 139 mass graves have been recovered in malaysia. authorities believe that the bodies have been found in suspected human trafficking. incidents in burma and bangladesh. the region has been a major route for smugglers. we report from bangkok. >> what we have known for some time is that this human trafficking trade is huge, it's something that involves multiple countries, and clearly across all of these countries, there are state officials involved as far as we know. police military, local politicians and the local kind of governors also involved in this trade around really, what

we're looking at here is the fact that these -- this trade has been allowed to flourish over many years, just because of this crackdown recently that is starting to come to the surface and we expect a lot more details to come out over the coming weeks and months and has to be said that this crackdown has really begun following pressure from the united states on human trafficking. both malaysia and thailand were reduced tougher three on the human trafficking as the worst offenders of human trafficking and under that tier three, they could face economic sanctions and other penalties from the united states, also from the e.u. and others. they're trying to clamp down on the trade, but a lot of officials involved and also a desperate situation, where we're finding, hundreds of thousands of people that have died there and no residents no government has asked questions about where they ended up. >> iraqi forces say they've recaptured a town 10 kilometers away from ramadi. the city was recently felled into the hands of the islamic

state militants. for the united states, this was the worst defeat since the international coalition launched airstrikes against the islamists last or. the u.s. defense secretary slammed iraqi troops saying they showed no will to fight. for now, washington provides training and logistical support, but it could be forced to change its strategy on the ground. fleeing from the city of ramadi after it fell to islamic state fighters last weekend. this put iraqi forces in full retreat has furthered international concerns about the country's military. speaking on sunday, u.s. defense secretary ashton carter offered a stinging assessment of their failed defense of the provincial capitol. >> what apparently happened is the iraqi forces showed no will to fight. they were not outnumbered. in fact they vastly outnumbered the opposing force and yet failed to fight. they withdrew from the site. >> the head of iraq's parliamentary defense and security committee dismissed criticism as unrealistic and

baseless. he blamed washington for failing to provide the necessary equipment weapons, and aerial support to iraqi soldiers. but carter defended nine months of u.s.-led airstrikes against i.s. targets in iraq saying there were effective, though not enough to substitute for iraqi determination. >> we can give them training, equipment, we obviously can't give them the will to fight. >> the american strategy in both iraq and syria has come increasingly under fire and has led regional allies to call for more help in fighting islamic militants. >> the earth campaign is not enough. there is so many steps which we have to cooperate coordinate together to make the campaign against effective. >> supporters of the u.s. strategy have argued that creasing involvement won't solve iraq's fundamental sectarian and political problems. they say the air campaign has prevented jihaddists from taking

over several key cities like baghdad. critics say they've done little to slow the militants' advance. 68th cannes film festival was a triumph for french cinema. the refugee drama dheepan won. the last time france won that award was in 2008. we go to the highlights of the closing ceremony. >> it was a victorious night for french cinema. director jacques odela took home the award for his film "dheepan," seducing the jury with his story of a sri lanka tiger who tries to rebuild his life in the french suburb. the filmmaker dedicating the award from his father. >> to receive a prize from the cohen brothers is extraordinary, thank you, i owe you a lot. the son of alexander dumas,

saying this child i had so early and so tonight, i think of my own father. >> the best actress nod went to two women, french actress emmanuel bako. and american actress rooney mara who co-starred with cate blanchett in the lesbian drama, "carol." meanwhile, french actor praise an unemployed man looking for a job in a working class man working in a factory in the film "measure of man." >> i would like to dedicate this award to all of those people who were marginalized. those citizens who are forgotten. this prize is for you, and all the actors in this film without

whom i would not be here. >> other winners of the night, hungary director who blew the jury away with his film, the son of soul, about the horrors of a nazi concentration camp and legendary french filmmaker vadal who became the first woman to receive an honorary award. and it's time for the day's business news. steven care role is here with us in the studio. let's start with greece because the markets are in disarray because of the situation there. >> fears that greece won't unklafka to pay its next installment to the international monetary funding is hitting trading on the european markets. generally, it is a quiet day because london and frankfurt are closed, but these are the pictures on the other borders. italy milan and madrid, also trading day, the markets in madrid also reacting to the news of those local election results. you can see the madrid is over

2% in trading. this panic was sparked by comments from greece's interior minister, saying the government would be unable to pay the 1.6 billion euros it owes to the international monetary fund in june. they'll keep paying their creditors for as long as they can, but no guarantee of how long that will last. >> it's the clear of the sign yet that greece is out of cash. >> this money will not be given. it isn't there to be given. this is known and we are talking on the basis of the optimism that we have, cautious optimism but optimism nonetheless, but there will be a strong agreement that will allow the country to breathe once again. >> for the past four months now, greece has been stuck in negotiations with its creditors to release 7.2 billion euros, money the country desperately needs to pay $1.6 billion worth of loans to the imf in june.

in an interview on sunday, the finance minister praised his efforts and said now was the time for the country's creditors to make concessions. >> greece has made enormous strides in reaching a deal. it is up to the institutions to do their bit. >> they have done remarkably well for an economy that doesn't have access to the money markets to meet our obligations. at some point, we will not be able to do it and at some point, we are going obviously to have to make this choice. >> greece is under increasing pressure to reform its economy in exchange for the funds an effort the country says it's willing to make, although red lines linked to the labor market and pensions have been drawn. over the weekend, the prime minister said the country was on the final stretch to clinching a debt deal, a deal he added wouldn't be accepted on humiliating terms. >> let's move on to a totally different story now. there's a big change for amazon and the way it pays its taxes in europe. >> that's right. the on-line retailers begin

paying corporation tax on sales in individual european countries. until now, it funneled all european sales through luxembourg. the country made the change on the first of may. amazon is currently under investigation over its tax arrangements in the e.u. so an interesting development there. >> let's turn to technology. and a familiar event in an unfamiliar place. >> yes, this is the consumer electronics show which we know from the annual gathering in las vegas a huge event for the technology industry, but the first asian version of ces opens in shanghai on monday, this as the chinese government is trying to encourage startups with measures like tax breaks. >> every morning, this woman starts the day by checking her mobile device to find out how many people have joined her app. four months ago the young chinese girl quit her job as a financial analyst to start an

app. >> they can reach our app to connect with customers to sell product, so young people get more work in big companies, so they really want to do business on their own. >> in only threements, she was able to get an investor to back her initiative in shanghai. her backers feel she may be able to coming next internet giant dominating the chinese market. >> we provide actually housing and help with accounting, legal setup. we invest also another 30 to $50,000 cash and in return, we get 5% to 7% of the company. >> with some 700 million internet users in china potential is huge. the chinese government has been actively promoting people like her through tax cuts and other incentives. authorities in beijing pumping in 53 billion euros worth of money this past year which some observers are suggesting may be a bit too much. >> if the sector goes on like

that in five years or more there is the risk of a bubble. everybody want to invest in the internet. international prizes atrack money from more hand more investors, but most of these companies will disappear. the risk of a bubble is very real. >> even though the chinese economy overall is on the downturn authorities in shanghai are hoping that 200,000 entrepreneurs will be in the city by 2020. >> and finally, steven, you've looked at the toy market, and which country spends the most on their children? >> it's australia, according to research from euro monitor. they spent an average of around 780 euros per child in 2013, which is the most recent figures that are available. that's followed by the u.k. at just around 700 euros and japan and germany coming after that. now euro monitor expects that funding to rise further as more people join the middle class and emerging economies. this fits in from what we've

heard from companies like disney leggo doing very well at the back of the leggo film but looks like people are expand how much they spend on their kids. >> thanks very much for that steven. i hope you won't be spending 78 who euros per child -- 780 euros per child. >> i hope so too. >> thank you for that. it's time for the international press review and bell upton is here with us in the studio. hi, bell. we'll start with the elections in spain. that's dominating the press. >> dominating the spanish press of course, but they're also dominating across europe. if we start in spain the left leaning broad sheet, sums up the election results in two words -- profound change. so the spanish socialist workers party gained quite a lot of ground as the popular party, ruling party lost a huge amount of seats. the big takeaway for them from these elections is that spain is moving away from a two-state party, because smaller parties,

like podamus, which is an anti-austerity party have gained grounds. although they didn't necessarily win outright in many regions, those two parties did manage to stop the popular party from getting an absolutely majority in any region so there was a strong showing from the leftist coalitions in madrid and barcelona, and that suggests that the agenda going forward in spain and in spanish politics is likely to be one that's led by anti-establishment groups. with roots based in the spanish movement that we saw happening last year. eppais paints a picture of spain being run by coalition governments in the future. this is is sort of a seismic shift it sees all stemming back from the european elections of 2014 and the french paper has exactly the same terminology it talks about a seismic political shift in spain, that's its headline going back again to

spain elmundo, liberal right paper sees things differently. it did manage to get into all the different constituencies, but it didn't do -- it didn't achieve its one goal which was to advance the socialist party enough to provide one competitor to the ruling party. so it says our friendship is wounded, but it's not ded as podamus leaders think so. it has become a victim of its own expectations. they will have to form coalitions with other parties and he's going to have to try to support the socialist party if he is to get anywhere in the elections, the general elections coming up in autumn. >> all right. we've got, i believe a cartoon in the paper that also sums up the current prime minister's situation. >> we do. it's quite a funny cartoon. you have the prime minister being asked by a journalist do

you have any comment on the election results? and as you can see, his response is a vacuum. >> all right. let's move on to greece, because the interior minister has announced that the country wouldn't be able to forward its repayments to the imf next month. >> yeah. we've been hearing a lot about this in the business news. and now, the financial times actually takes it to a political level, it says this has never been about economics it's really about politics. and politics will solve the greek crisis if it is to be solved. greece it says, sits in a very strategic position in the southwest corner -- i'm sorry, southeast corner of europe. it's an entry point for migrants, it's also an entry point for potential islamist jihaddists and sits in an interesting relationship with the balkans, which putin has his eye on. can europe really allow athens to fall into the arms of moscow

and you can see in the cartoon, the e.u. leaders pushing greek finance minister off the edge into vladimir putin's open arms. >> you've checked out greek papers. >> it's completely the other side of the coin, as you can expect. the greek english language paper, they speak of their exasperation that the greek people feel. they're sick of the snide manner they are described in all international papers, treated like children as though all the aisle of -- ills of the country are their fault. the whole thing plays out in the international press like a western movie, in which all the others are good and greece is the bad and the ugly. so going on with that slightly shaky metaphor, the article says a union which solves its differences in high noon style is no longer a union referring of course to the e.u. union. >> let's move on to burma, there

are fears that birth control is going to be used against muslims. >> yes, this is an article from the guardian and it's voicing humanitarian concerns from humanitarian organizations over birth control law that has just been implemented in burma, and it's thought this law will be applied disproportionately to muslims. women's groups have already been worried that the vagueness of the law leaves it very open to abuse and of course, this comes on top of the huge numbers of muslims that we've seen coming over to the countries like indonesia to thailand, malaysia in the last few days. >> all right. there are pictures now all over the front page we've been talking about it all weekend. tell us outright lead the cannes film festival is being covered? >> france, it was a story of victory for the french. this was a real victory for france, they had the three big winners were french, the french

cinema triumphs, the best actor and best actress going to french filmmakers. the guardian looks at the winning film, dheepan, which is a story of a tiger comes to france to try to search for a better life. now, the director of that film said, it does reflect on today's migrant crisis and he's very happy that it does. it sheds light on a situation that he says is very important, if his film can help those migrants in any way or those people who find themselves in europe, he's very happy.ñ