they faced it this is not a provocation but warmed up. before it and we shall see just everybody assured us a pretty trace because they have no idea about the hardships the face. they wanted for this is it of them tunis and for any army the life of abusing them is the most precious thing in the world. is of self-sacrifice and heroism but those who understand it fully you have to live a. real life stories from world war two books of victory

nineteen forty five dot r.t. dot com. hungry for the full story we've got it first hand the biggest issues get a human voice face to face with the news makers on r.t. . if. russia would be soon which brightened if you knew about someone from funniest impressions. moves from stunts on t.v. dot com. we're

here in moscow breaking news on t.v. at least sixteen people have been killed in a car bombing at a market in russia's volatile north caucasus region around one hundred all those were injured in the attack in the republic of north of santiago security has been stepped up in fear of lawsuits. while our correspondent on the live reports

from the scene of the explosion here she comes. right now we are at the scene of the explosion just over there if you look you can see a building this is the market and in front of this market in logic of cars a car was packed filled with explosives the amount of explosives eaves approximately forty kilos off t.n.t. they explosion was so powerful that the locals say bed even the back windows in their houses were smashed out when this happened people were crying sjodin of course calling their parents and their family as they were trying to find out what has happened we've talked with some locals and one guy said his wife called him just a couple of minutes after the explosion he could only understand she was crying please do not come to the market there was a bomb here and she was one of their lucky ones she survived this car that goes back to are at the low end turns off the market and if you can just look over there you would see that investigators are still there they're trying to are see what's

was inside the car the whole area is blocked and the moment the people who are still there they are the ones who want to find out more details the local house minister says that at least sixteen people were killed one of them was a kid and want a half year old toddler and up to one hundred people were injured ten of them were soon feeley in to the russian emergences ministry has send an airplane here to use all the necessary aid and they're also planning to take their severely injured to moscow to the hospitals they had of necessity air came to the scene and he said that the blast was again eyes and was carried out by a suicide bomb or are some reports say that this man was identified by the police a criminal case has been launched and the investigators qualify that last as an act of terror to morrow in logic of grass is declared

a day of mourning. we will be keeping you up to date with the situation and of lot of tough cust throughout the day but now let's get the business news with current. my. fellow welcome to have business russia ranks sixty third as a competitive nation according to the world economic forum that places the country roughly in the middle of one hundred thirty nine countries on the list the davus based for a measure of competitiveness in twelve different ways including education labor markets efficiency and innovation social and took first place followed by sweden and singapore. politicians at least in some countries have given up the pretense of economic recovery president obama this week called for another round of public spending to prevent a slide into depression for the debate it's finally balanced with others in europe determined to cut spending and been down deficits is that it has more. direct

about muons to keep another one hundred eighty billion dollars into the u.s. economy after a data suggesting the economy from house prices to jobs is shrinking again given his mood is that debating whether more spending will end a decade of contraction in the land of the rising sun the russians to face a choice for the next few years we seem pretty sure and if. we see a combination of private increase spending which we believe. i believe to be private capital will return to russia over the next twelve months in a meaningful manner secondly we do seem to be spending from the government as well the combination of two should be the basis for we believe to be five to six percent growth over the medium term the government plans to borrow more for the money this year but also spend the means of this to build zeeshan fund domestic borrowing is already accounts will receive fifty million dollars and russia will be ready to use

your ribbons in november including to pay. that's ministry which will do it all will be boring a lot in any case a deficit of three point six percent is anticipated next year we also focus the twenty twelve deficit will be three point one and two point nine to twenty thirteen the current situation has forced us to borrow and we will be spending from the reserve fund next year. the reserve funds have shrunk to a third of their former size one that runs own little hole in the russian budget unless the government can pump up goods more wings or one by. companies legs a bit drunk with presidential elections less than two years away on alyse politicians we need spending cuts off limits you need to do a business or two you must. check out the markets now shares in europe are top and mid day trading banks are gaining after positive comments on the economy by the european central bank policymaker lloyds bank shares are gaining over three percent

also heading up our sources and credit card we call it here in moscow we are ts analyze exam high and evening trading with all the major blue chips in the black leading the gains on both the board says israel's telecom that's up more than four percent banking and energy shares are also gaining woods where bank and local both trading over two point four percent of the r.t.s. and up over three percent of my six. russian oil companies are increasingly looking east several producers want to expand or establish operations in china within several years after representatives told the conference they could build new refineries with the chinese. more oil products in china vice president said priority is to expand to asia as the fastest growing region. and russia's credit rating outlook has been upgraded to positive from stable by fitch ratings

the reasons for the boost accelerating growth stabilizing banking industry and a flexible exchange rate policy from the central back pitch said it may further raise russia's credit rating if the government reduces countries vulnerability to swings and or prices. plunging interest rates have led to a threefold rise in borrowing on the syndicated loans market by russian companies corporate loans have jumped to twenty twenty billion dollars from just under seven billion dollars from here before for example look all took an unsecured loan this year at about one percent about interbank great last year a similar but secured loan by same company had an interest rate four times higher. the russian kamarck it could return to pre-crisis levels in three years' time that's according to new research from after stuff russia would then be on the road with other top cow markets like germany's however many market watchers warn growth

won't be quick after stop predicts russian sales will be less than two million vehicles this year. and russian economy has a long way to go before the ruble becomes an international reserve currency that's the dominant view from a conference focused on the prospects for the russian currency key steps according to analysts should be to boost the government bond market stabilize and oversupplied of us economy and lower the inflation rate however the president of the mars it's exchange says russia is making progress. using ruble to be accepted in settlers and she says in accordance to them this is the first step towards the ball making rulers of cars. and daryl hook up from i kept says the world is already attracting international interest the trading that we're seeing on the b.s. platform is growing month by month with all sort of three to six months we've seen

huge increases in volumes and we would expect those volumes to double over the next six months so there's massive uptake we see in counter parties in hong kong and singapore in new york and chicago in particular all looking at the ruble so most of my inquiries now about brutal are actually coming from north america and asia. and staying with the ruble the lies extends to start trading the u.n. by the end of this year analysts say the trade will boost the profile of both currencies by six says the initiative came from russia central bank and the people's bank of china is expected to launch the same trade. well look at the rest of thursday's company news as to nominate its chief leg dupasquier to the board of noise mikhail the extraordinary election is old for a twenty eight the votes being repeated after accusations accusations of cheating during an earlier vote the two principal shareholders of interests have competed

for control of the board a list of candidates will be submitted on september twenty first at the latest. eldorado russia's electronics retailer says it will exceed its profits forecast this year helped by the opening of more stores the group's vice president of marketing says the company wants to become a leader and we'll. go all over the next three years is to become the best in europe in the next couple of years we're going to rebrand the whole chain we've managed to recover and regain the confidence of both consumers and banks were quite profitable and we've announced four percent ebit dollar year to date but we still have a lot to do we began the year with one target profit but it looks like we'll exceeded least one and. returning to solve the bear bank could offer a four point six billion dollars loan to the company this month bank chief herman kraft told reporters in the us love of the other million giant to solve these to

refinance its debt to vanessa k'naan bank has also announced that the privatization of one point three percent stake in this burbank won't happen this year turning to its operations he added that spare bank expects its retail loan portfolio to grow ten fifteen percent in two thousand and ten. and that's all i have please and all but you can always find most stories on our website that's r t dot com. wealthy british style the sunday. times in the free. market why not. find out what's really happening to the global economy

with mike stronger for a no holds barred look at the global financial headlines tune into cars a report on our. morning news today violence is once again flared up. these are the images cold world has been seeing from the streets of canada. china operation to rule the day.

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when the news is not enough. when it's something really crucial when you want to get down to brass tacks. want to bring in special coverage. this time the latest news from the global policy forum line broadcasts special guests discussions on the in the modern state in providing security and stability on the present day world. question more on the

hungry for the full story we've got it for. the biggest issues get a human voice face to face with the news makers on. the. first. the breaking news here on our t.v. at least sixteen people have been killed in a car bombing in a market in russia volatile north caucuses region around one hundred others were injured in the time in the republic of north assess the security has been stepped up in fear of more books. and i'll be back with our breaking news story shortly terrorist act in a lot of us costs and more news from just under twenty minutes time.

is the award winning british historian and economist robert skidelsky he talks about the economic crisis and why austerity measures will only make things worse he also tells us why russia and europe should form a military alliance that's now on r.t. . lord skidelsky member of the british house of lords award winning historian and corniest and an expert on russia is here with us today thank you very much for joining us group of. your recent book keynes the return of the must step out philosopher and economist john maynard keynes received several awards how relevant the economists feel today i would say they were very relevant in three respects first of all he explained how we got into this mess this crisis in two thousand and

eight two thousand and nine secondly he tells us what we ought to do about it how to get out of it and thirdly he tells us how to avoid how we can minimize our chances of getting into another one and i think no other economist does that he was the greatest economist of the last century in one of the articles you said that europe was declining economically and politically why is this happening and what are the signs of the crisis well of course europe's been very badly hit by the recession and it's got very high unemployment but beyond that i think europe is in decline it's it's weaker than it was. population is is not expanding and the others are it's been affected by the rise of asia and particularly the rise of china so if you think back to one hundred years ago europe was the center of the world now of course it's not and it's much much weaker

than it was and partly it has no unity there's a european union but there's no european government and till they get european government they're not going to play or be able to play a major part in the world the world of. the collapse of the greek economy has impacted the whole of the european union. and does this mean that the e.u. is vulnerable as a groupie well of course it is because it was based on the idea that everyone is progresses at the same rate well if there are some weaknesses. in some parts of it it affects the whole lot because it means that the exchange rate is weaken and it also means that some countries like germany have to bail out other companies so if anything goes wrong in one part of the union it's the responsibility of other countries and they didn't think they were going to have to assume those

responsibilities so i think the greek the greek crisis has impacted the whole of the union immediately immediately it. created a crisis of confidence in the euro germany and france want there to be consequences for the countries which run up excessive deficits like greece is this a necessary step well of course i think people have to countries have to be have to live within their means so to speak and not spending extravagantly but when they talk about consequences for greece they also have to consider the consequences for greece and other weak countries will have consequences for them i mean if if if they cut down on government spending in the mediterranean countries that will mean less demand for german exports and so it will impact them it's not just consequences for the for the weak countries it's consequences for everyone so i

think they have to be very very careful in wanting greece to pay the price of its extravagance because in paying that price the germans will also have to pay a price they're the strongest country in the your opinion and from such as well and what are the countries which could be potentially some. it to these matches greece italy spain ireland. england. portugal they're all they have all adopted what's called fiscal consolidation policies they have all said that they're going to have their spending in the next over the next four or five years to balance their budgets again and i think that's going to have a very bad effect because i think it's going to slow down the growth of recovery will slow down the recovery it might even lead to a double double dip recession as it's called so you actually go down again so they're very dangerous times for the world economy over the next six months the german finance minister suggests introducing

a european want to treat font is this necessary is this a necessary edition to the current system i think it would help yes i think that's the one good suggestion that's actually emerged from the crisis i think most of the suggestions have been terrible but this is a good one. because it mobilizes some resources that can be brought to help we come trees in an emergency it's rather likely you are it's a regional version of the i.m.f. you know the i.m.f. countries can borrow from the i.m.f. on conditions but of course it depends whether they can mobilize the required resources on a permanent basis they have done it on a temporary basis so far on a permanent basis and what conditions they attach to lending the money if the conditions are too hard then i think they can actually make matters worse but it is a good it is a good step towards a government of europe you believe that expenditure reduction is the key danger of

the current economic situation why is that and if so what kind of result well i think expenditure reduction is a huge danger because it's cutting down spending the government in a recession the government is really kompany. sating for a decline in private spending overall the spending in the economy is less than it was and then private sector spending less government has to spend more that's the only way of keeping economies going and i don't know who exactly are some politicians that there is a crisis like the current one you have to pay people the money make them work even if you if you make them take the money and take them out well cain said cain said you know that you'll you'll you'll you'll get rid of unemployment if you if you dig dig holes in the ground and get people to fill them up again or if the treasury filled the old bottles with banknotes and milton friedman said the same thing

helicopter money would just scatter money over over the country and that will get rid of unemployment you know between serious the german economy is a very strong economy but it is an export economy and its exports have been growing why because basically because china has been growing very fast in the last year or so if china's growth. stops but gets less if european if european growth falters as a result of these cops everywhere if american growth slows down then the germans will not be doing so well and i don't think they'll be doing as well as they are now in over the next year i think they're going to face a moment of truth when everyone slowing down is going to be very bad for the german economy the german economy will slow down to you criticize the decision of the european leaders to withdraw all fiscal stimulation programs which have been

operating over the last two years could this cause a slump in logic. i think i think it can i think the the with the withdrawal of the fiscal stimulus is very is very risky because it's been like a lifeline it's been a life support. them and everyone said oh really the big big problem is the hole in the government finances that they're that they're spending much more than they're raising in revenue it's not the hole in the government finances that's the problem it's the hole in the economy that's the problem and you know if you if you deal with the hole in the economy that the finances will get better automatically because revenues of the revenues of the government will increase and their expenditure on unemployment will fall so you deal with the economy and the budget will look after itself more or less i'm that's an exaggeration all leaving the economy to one side in one of your interviews you set that russia could provide

military defense to the european union under what conditions could this happen. well what i meant by saying that russia could support europe in security matters was that russia should become part of the european security system and i think the simplest way to have done that would have been for russia to become a member of nato which is i think something that putin wanted when he was president but they did they didn't want russia in but that would have been the simplest way but as it is russia should become a much more effective part of the european security system and not be outside because the european actually european military is very very weak the two military power in europe the french and the british the rest have to do anything already but this small and there's no unity. sort of

nato agreement to create something with gen russia has a has a has has good military forces and they have become increasingly modernize and specialized to the kind of work. that military forces have to do today which isn't to fight huge rules but to be part of a conference operations peacekeeping operations and so on so russia could be a great asset for european security system and president medvedev has suggested a new security concept of that would include russia and we should we should take him up on that and really see we'll walk we can do with it because all through russia is part of europe it shouldn't be outside it. thank you very much for your time.