the bomber who kept a bit of a distance but was still involved after the fall of gadhafi i think they're going to be very reluctant to admit that what they didn't do was bring about democracy in the country. russia's the presidential envoy to africa has recently visited libya he says that all sides have to sit down for talks to bring order to the country and avoid civil war you can watch the full interview next hour but here's a preview. it has to take goodwill from all the sides which were involved in a very long lasting conflict which to my personal opinion was a real civil war and in some areas of libya this civil war is not over in the south there is the whole desert area as an area of the certain extent no man's land it's out of control of new governmental forces its own of tribes it's a zone of controlled arms trafficking so i think that the difficult time for libya

will last for quite a significant period of time if. political elite is not ready to sit at the round table. today marks one the air since the deadly bombing of moscow's dome of the airport thirty seven people were killed in the blast carried out by suicide bomber at the international arrivals hall vesa gate is later identified the suicide bomber as a twenty year old from russia's reported having to shut it train by is the missed terrorists this is reaching seventeen militants linked to the attack with killed in special operations last year four have been detained but one of the world's most wanted terrorists morell who claimed responsibility for masterminding the bombing is still on the run the attack was followed by an increase in security levels at major transport links across the country. firemen there standing

while houses burn and police watching people drown a spate of real life incidents in the united states has sparked concern of what kind of society it's becoming is going to trigger going to ports sticking to the rules and fear of that a geisha appear to be trumping care and compassion. jeanne chronics house burned down to ashes as firefighters stood by and just watched they refused to save mr chronics home because he hadn't paid a seventy five dollars fire fee that the county requires i thought they'd come out and put. him if he hadn't but i decided in the five hours but i was thrown as the house went up in flames the cryonics were begging the firefighters to make an exception saying they were ready to pay whatever it took to put out the blaze but they were told it was too late thanks my mother and my mothers my grandmothers my great grandmother's well they're in the house same happened to vicki belle from tennessee firefighters stood by and idly watched her trailer home burn because she too hadn't paid the seventy five dollars fee no one said they were in fact this

fact that they so they were all safe. in the us foreign policy varies from state to state from county to county in south fulton tennessee if you don't pay you're out of luck anybody that's not inside the city limits of self interest service that we offer it about except it will go down behind numerous similar incidents lies a problem rigid local rules versus the responsibility of the government to help its citizens when they're in trouble or rather versus basic human compassion we're really poor in terms of humanity i mean when it's seventy five dollars that is the more important thing and they get in a situation like this it just shows you that we've become far too concerned about about every single dollar and you know and also that it just shows it's really kind of it's an all about me you know we just don't live in the community anymore than like there's no sense of this like shared responsibility for the individuals in

that community in california police and firemen watch the man drown saying they didn't have proper certifications for water rescue which would leave them open to possible lawsuits if they attempted to save him city officials blamed the incident on budget cuts so as the more. and then an hour long tragedy unfolded authorities stood there and did nothing and this is the part where rules and regulations defy logic that was the end result of body washing up to the shore. so you think about it well it's horrible how can we allow that to happen in the us is a very litigious society we have more lawyers per capita per capita than any other country and i think the world and so you know when you have to worry when you're a rescuer and you have to worry about a lawsuit and you cannot rescue a person as a result i mean that's that's really a problem if the firefighters had rescued the man even saved his life but somehow maybe broke a rib or hurt him in some other way you know they stand to be sued and in court and

that's just the way our system works even after the serve brought raymond zack's body closer to the shore firefighters refused to get in the water and retrieve the corpse so they waited until a passer by volunteered to do the job the logic you don't get anything unless you pay makes sense to a lot of americans but when you have money and rules on one side of the scale and humanity the human urge to help on the other and money wins this is when one gets the says that something is wrong with the way the system works i'm going to check on reporting from washington our team. well some world news in brief for the south first to italy's west coast the bodies of two women have been recovered from the capsized costa concordia cruise ship in the confirmed death toll to the rescue teams a continuous search for seventeen people still missing experts are expected to begin pumping you in the next twenty four hours to avoid

a potential spill vessel is holding around point nine billion liters of fuel it's thirty tanks. two kenyan presidential candidates will stand trial at the hague on charges of crimes against humanity commandos are among four prominent kenyans accused of orchestrating a deadly wave of violence during the country's two thousand is certainly the action over twelve hundred people were killed in the country's post-election clashes. forced to flee their homes no date has been set for trial. and fifteen people have been killed and three others wounded after a gunman opened fire on several boats in the southern philippines military officials believe the men may have been attacked by rival fishermen after they strayed into the fishing grounds the region is a stronghold for the most rebels although authorities have ruled out militant involvement. let's cross over to the business desk now and join kareen.

thank you carrie hello and welcome to our business update here on r.t. all continues on monday's gains following decision to adopt an embargo against iran over its nuclear program over imports from iran to europe should stop as a first of july as a response to the sanctions tehran is threatening to close the strait of hormuz through which twenty percent of the world's oil exports pass however jorge along the path from plants believes that warning the embargo a more of a negotiating point. the wording also says that they'll be a review in may so that almost means that i am ready to do something in july but i can change my mind in may i don't think anybody wants these things to happen because europe right now is very weak. financially economically the last thing that

you're really wants is a confrontation because that would be even more disruptive for the economy here the oil that was supposed to come to europe from iran will go to a shell oil that was going to look like west africa or even russia will now go to europe so europe can always replace the oil that's not the issue the issue is the level of pain. that's look at the numbers now fluctuating below one hundred dollars a barrel in new york and speculation the us again last week out of concern that iran may respond to the world market when bland is close to one hundred and eleven dollars the value. is trading at over one thousand nine and a half dollars about. asian shares advance modestly with energy from following that european him are going to run you know well to paris impacts corp up two point eight percent in the consumer electronics sector sony is losing almost three

percent of reports about its tie up with the troubled limbo hong kong and several other asian stock markets are closed for the move on your holiday. that's less than one hour ahead of the opening bell here in moscow let's look at monday's trading session. and on a bargain of note for the r.t.s. adding i want to have a side here's michael stein from a quick at the upcoming economic forum. and u.s. corporate results will. be all week long. given the improved outlook for the oil price because of the iran news that we saw yesterday and given the very low valuations for russia generally and the fact that many of our clients continue to see fund flows into the russian dedicated funds we think that the market will gradually melt higher and that's it investors will pay attention to our global events and this week there are a lot of them investors will look at the f one c. meeting coming up. president barack obama's speech in his state of the nation's

address in addition we've got the world economic forum and more than one hundred twenty companies in the united states are releasing their fourth quarter financial results so will be quite a busy week on the external side and then here at home in russia investors and pick close attention from macro data most notably the unemployment report in russia for december in addition to industrial production figures on the corporate side will also see operating updates from metals and mining companies including natural and m.k. the thought was of european banks are affecting their business abroad one of germany's biggest lenders commerzbank is leaving the russian market a forty percent stake in one of the top fifty local lenders that. hold it up or ations in russia several months ago the sale as part of its efforts effort to increase capital by roughly five billion euros in order to comply with the legislation. that's all for now but stay with us for headline news with kerry coming up right after this.

hello time for a look at our main headlines now damascus rejects arab league calls for president assad to step down and form a new government with the opposition it has decided to extend its observer mission to the country as a ten month long unrest in syria rages on. iran stands defiant as the e.u. imposes its toughest sanctions yet banning the import of crude oil from iran sponsors to its disputed nuclear program new oil contracts have been moved out on

existing deals are now to run to die by which time the e.u. is hoping to secure alternative sources of fuel supplies. last derided for being one sided extradition or which when u.s. and u.k. designed to help bring terror suspects to justice faces fresh calls from view it's been criticized as a one way street to american jails sometimes for offenses not even considered crimes in britain. when next our interview with one of europe's most prominent economists and a former advisor to the russian government to nine hundred ninety s. and this us and talks about what we can expect from the upcoming world economic forum in davos spotlight next.

hello again the welcome couth spotlight the interview show on our team i'm out here now and today my guest on the show and there's also. the world economic forum is kicking off and dr during the next few days leading businessmen economists and politicians will be discussing the world's economies most pressing issues and the issues are quite a few specially after nine years the countries had their credit rating cuts earlier this month so what should we expect to happen to the world economy and the new people david the forum in davos will be helpful so we're asking one of europe's most prominent economists former advisor to the russian government anders office.

on january thirteenth standard and poor's downgraded nine european countries including the stronger ones like france and austria both received a negative outlook considering the european leaders inability to cope with the debt crisis the weaker spain and italy were downgraded to an economist say they are one step closer to the greeks and the rio being part of europe russia has to come up against the global challenges but as for now it's managed to cope and recon amaze still growing. playing. host to austin the walk into the show thank you very much for coming my pleasure well. the eve of this year is that of us world economic forum the organizers warned that i quote the world is facing significant and urgent challenges that we have

only on prospects for future growth and the cohesion of societies and quote while it's struck me that exactly the same words we used last year during the forum well it is just a repetition of the same very good phrase but does that mean that the world politician the world policymakers proved unable during a year to do anything to tackle the crisis except ride war it's. a pretty accurate analysis it's discipula european politicians have not done the work you should have done and we are now coming to an end game of the euro crisis. there is a solution or euro zone breaks out personally i think that there will be a solution to the euro crisis and the human next quarter also we will see both of your economies bottoming out and that the solution is fine so what would have

a solution be. more money is needed to provide confidence and personally i believe the fiscal adjustments that are undertaking are pretty much of a right once the banking situation is probably becoming somewhat more stable now but we have seen substantial day leveraging and then we have a greek default that has to be completed so these are the big issues that i think will dominate but discussions in doubles this year you sound pretty optimistic speaking about the solution that you thiel or you trust will be found during the next couple of months the the forum's global issues group as he calls it calls on the world leaders to deliver concrete and. actions to find the solution what what are these actions that could prevent the wave of the new wave of recession but well i think that we are seeing a recession in europe already and probably we are seeing a decline in g.d.p.

or one percent or so in the european union this year but that's not a catastrophe because if we get a real financial meltdown and it. really needs to be done now it is if the i.m.f. can mobilize the more money it's trying now to get five to six hundred billion dollars more funding and i think that is a critical issue and indeed that of a greek default is properly handled so that it's a sorted out to be subject to big issues that need to be resolved and european politicians simply need to undertake proper. decisions about we don't get the start off way and are losing credibility evermore all the time the unifying theme the unifying motto of this year's dallas forum is the great transformation above this

this is the sort of the the subject of the gathering around well what kind of a transformation is the world economy facing in your opinion. of course there are several transformations here one is about the bric countries brazil russia india and china or rising. the big emerging markets are now becoming as large a part of the world economy as. the developed economies and it's also a question of the particularly in europe that we're seeing substantial reform of the public sector. labor markets are being deregulated public administration is becoming more efficient and. finally education and health care are being reformed and we're seeing the reforms very much moving from the north and east of the european union towards the sound that is the big problem what else are

in the question of transformation you mentioned the brics countries well actually today when the when the with advanced economies are facing sluggish economic growth does it mean that we are facing or we are we are ready to to witness a transformation shift of economic power from the east to the west or rather maybe from the the west to the. in newly emerging economies to the brics we have seen very very strongly for the last decade and the question is rather for whole long it will continue and i think that you are seen to use coming up the one is that your up finally is reforming itself and increasing productivity and dealing with problems better should have been handled much or. more optimistic on europe than most people are and the other is than the. number of

countries emerging economies or approaching the middle income. trap as it's called and if we discuss russia concretely russia has had wonderful growth for seven percent a year. for ten years until two thousand and eight and then a much lower growth rates a knobby expect asians are three to four percent that's a grove instead and the question is if russia and other countries that are reaching this need the income level if they manage to reform further and reach a growth for eight or five to six percent i should be possible lead. or if they will stay at a three to four percent growth rate you know i've talked to my personal bank regis to couple weeks ago before the new year and she said that you'd rather. keep your

money in euros rather than in the u.s. dollars that's why she said so look at all those troubles she said it's a good sign when europe was saying hey we're winning we're all together i knew you knew when we were really to be the united states well it was so so but now when europe starts talking about severe economic problems admitting those problems and trying to solve these problems which are actually problems of growth this is a better sign than saying everything's fine do believe so it's extremely difficult to predict exchange rates in the short term but if we discuss it in broader terms you can say about europe has an immediate crisis of them which is acute it has lived in europe is the step in the right direction as. i thought was same in russia in the summer of ninety eight but russia had problems that had to be resolved and instead we saw a default which i don't think was necessary but. the united states has

more long term fiscal problems and for us it's not likely to have a crisis any time so the. fiscal situation that is long term sustainable nine european countries including france which was a a rated u.s. had their ratings downgrade how does this affect the situation on the european market situation with the euro because of it it has to do with face one is that it's a wake up call to beas countries. should not be. relaxed particular for france. aaa. rating and a loss there and we gather. if it is banned the european financial. stability facility lost its standing. the situation

in europe becomes moot difficult from a financial point of view to handle all s. and p. another reaching rating agencies they are often blamed for for for organizing for the global economic and canonic meltdown for for actually being the drivers of problems in world economy there's this reputation that they're losing doesn't still mean they still have a say in the world economic issues will they will they be listened to in dallas by the world leaders that we certainly have a big role because they are mainly institutions surance companies and pension funds which are large to have. assets of the sort of. rate and therefore if borne aaa rating it means

that it looses a certain part of of the market in pyrrhic really. the rating agencies or tend to be behind but they are acting too late and if you take the more securities better gave aaa or raking. the problem was about they thought. mortgage securities mortgage basic you're it is we're better than they were so when the rating agencies are downgrading we should rather see better means where it's a really bad if even the rating agencies say that if this is a difficult situation what's your opinion of the efforts of the european authorities to create their own rating bodies is there is it just means that they're angry on the rating agencies or is it a step in the right direction. the problem is wrong there are only three big rating

agencies is in the words of at best a little competition among them and it's also a problem hall they are being financed better they are being financed by the parties that the there are being raked. to to have a state border doing the raking would robbing introduces in addition and by as when we want to get rid of the biases ok thank you and we will say goodbye just for a couple of minutes just reminded of we talking to anders aslund one of the europe's most prominent economist and once an advisor to the russian government spotlight will be back to man in minutes after we take a short break so don't go do it. wealthy

british style sun. that's not on the tightly. market why not come to. find out what's really happening to the global economy with max cons or for a no holds barred look at the global financial headlines tune into cars a report. on . more news today violence is once again flared up the film these are the images the world has been seeing from the streets of canada. china operations are old today.

a walkabout a spotlight on argue nabhan just a reminder that my guest on the show today is mr astley and one of the europe's most prominent economists and former advisor to the russian government mr austin and most of the countries today are are starting to implement severe austerity measures to tackle their debt problems would you say that this is the best the politicians can do or you would expect something something more imaginative. where you can't imagine. really beyond a very limited means to be as it is today the euro zone has an average public tipped over ninety percent of g.d.p.

and. my colleague in washington come in rinehart and the harvard professor can draw golf they have. made it in the period to study which shows van if you can get over ninety percent of g.d.p. in public depth then the growth rate tends to fall by one percent but if you can you have to limit it when you come to that leap well i would agree to that but when when the story to measures and taken on such a large scale and i used to tackle such such big problems they mainly penalize the the ordinary people the people that we see in the streets next day why are people have to be penalized while the banks are feeling pretty relaxed during the. periods when the governments are trying to tackle the crisis shouldn't be.