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>> at shell, we believe the world needs a broader mix of energies. thats why were supplying cleaner burning natural gas to generate electricity. and its also why, with our partner in brazil, shell is producing ethanol, a biofuel made from renewable sugar cane. >> a minute, mom! >> lets broaden the worlds energy mix. lets go. >> and now, bbc world news. >> markets around the world surge in response to the bailout of spain's beleaguered banks. former prime minister gordon brown faces questions about his relationship with news international at the inquiry into u.s. press standards. after decades of turmoil, somalia strikes peace and stability inside the war-torn country to see what progress has been made. welcome to "bbc world news." i'm geeta guru-murthy. also in this program -- norway's top forensic

psychiatrist appears as a witness in the trial of anders breivik. and the musical "once" scoops not one, but eight of the theater world's top awards. >> stock markets in europe have responded positively to the bailout of spain's beleaguered banks, which was agreed over the weekend. the leading asian markets were also up after spain became the fourth eurozone country to be offered a rescue deal. spain's prime minister said the loan package, which could be worth up to 100 billion euros, will secure the future of the european single says currency. mike wooldridge has more. >> after the long, downward slide, spanish stocks rose sharply when the new week of

trade -- trading began. shares in the troubled lender bankia, which are requested 19 billion euros to cover bad loans and assets, rose by 16%. the increasing confidence by investors was also reflected elsewhere in europe. frankfurt's dax index rallying by around 2% in the opening deal, the sort of rise seen on several other european stock markets. the trends had been heralded in asia. the markets had also been anxious about spain's financial position and its impact on the wider eurozone. the euro itself was also rising on global markets. so, the weekend deal under which eurozone ministers agreed to then spain up to 100 billion euros bringing relief for now, but how far are these rescues addressing europe's underlying economic problems? greece had two bailouts of 110

to 130 billion euros. portugal received nearly 80 billion euros towards debt it could not pay back. ireland had a property clush, which plunged the economy into recession, and it had a loan of 85 billion euros. now up to 100 billion euros to spain, the total cost is already more than 500 billion euros. this doesn't solve the underlying problem, rather than the symptom, of the euro itself. so, still back to the euro issue. how do you get that currency to operate properly? that means a movement toward a proper union and a proper road map for better control. all of this remaining then, a huge challenge for european policy makers. the stability of individual eurozone economies crucial, global markets pleased that spain was thrown this lifeline, but still a big question mark over whether greece stays in the euro with fresh elections imminent there. the crisis is clearly by no means over. mike wooldridge, bbc news. >> our correspondent in madrid

says that many people in spain believe the loan is unavoidable. >> most people you speak to at the moment really feel that although this is regrettable, it's not what spain and spanish people wanted ideally. they do think that it was the only option, really, that spain's problems had reached the point where it needed to go abroad and ask for help, and that's ultimately what happened. in terms of the papers, this is the most read newspaper in spain. brussels putting a price on the rescue and saying that the european union is warning that the help that spain will get will have fiscal conditions, not only financial. so interesting there, really,because the government in spain has been telling us all along really that this rescue deal about only carry financial conditions, because ultimately this rescue fund of up to 100 billion euros, will be destined for spanish banks. and the newspaper to the right, the spaniards are really taking

the government line there. of course, we do have a center right government here in spain saying that basically we have avoided the full intervention in spain. that was a quote from the press conference he gave yesterday afternoon. and then a financial paper here in spain, really reflecting the fact -- basically the bailout, or the help that spain will get and will oblige spain to have a really strong discipline in terms of its economic policy going ahead. >> top burridge there in madrid. jamie is right here. what is this money going to be used specifically for? how will it affect consumers and customers in spain? >> it's very doyle work out exactly how the money is going to be used, whether it's going to be used to recapitalize the banks, actually just lend to the banks, whether the government is going to buy in -- actually nationalize some of the banks or whether they're going to take some of the bad assets off them. all these questions remain to be answered.

and until we get some kind of carriage on that, i don't think we can take -- we can't be too optimistic about the situation, really, at the moment. before the weekend, the i.m.f. was saying that the spanish banking sector needed about 40 billion in terms of recapitalization. they've got 100 billion. why the disparity? this could be what david cameron described as the big bazooka. we need a big sum in order to make a big impression on the market. yes, i can say that, i think. but on the other hand, there's obviously a lot of worries that more needs to be done. and the spanish government has said that it's going to finalize exactly how much money it needs when it gets an i understand incident -- had it gets an independent audit. >> we don't know what's going to happen in spain. what are other things people will be looking out for now and how soon will we see anything? >> one of the interesting things about this bailout is

that where it actually comes from and how the yours has got together to actually provide this money. the eurozone countries obviously want some kind of security on this. now, if they lend the money through what's known as the european stability mechanism, which is a new big fund which has been brought together, then they will get -- the debt will be known as senior debt. they'll get paid back if anything goes wrong in spain. however, if it comes through the european financial stability mechanic -- the efff -- sorry, a whole lot of acronyms -- then of course they will be the same with everybody else, but they won't get the kind of security they need. the government won't get the security that they desperately demand from spain. >> jamie, thanks very much indeed for that. greek elections coming up as well at the weekend. some big names in british politics are due to appear before the ongoing inquiry into press standards. a former prime minister, gordon brown, just arrived at the inquiry to give evidence.

later we hear from the chancellor, george osborne, and the current prime minister, david cameron, and his deputy, neck clegg, also appear this week. let's go to central lone done. our correspondent, naomi grimley is with us. gordon brown famous for cultivating rupert murdoch and newscorp over the years and then had a pretty spectacular falling-out. >> they had a mixed relationship. rupert murdoch quite admired gordon brown's presbyterian scottish background, and they seemed to get on, their wives in particular seemed to get on. however, in 2009, "the sun" switched its allegiance from the labour party to the conservatives, and rupert murdoch, when he appeared before this inquiry, told a story about gordon brown ringing him up in "an unbalanced state of mind," and basically ranting at him for

the switching of the allegiance of the newspaper. and he claims gordon brown actually declared war on rupert murdoch's media empire. now, that is a story which gordon brown denies, but it's obviously an area where the lawyer who cross questioned mr. brown will want to probe him on. >> and also, naomi, we are going to hear from george osborne. this is going to be interesting in terms of his links with the culture secretary here and the bskyb bid. quite a lot of detail, but george osborne is interesting. he's seen as someone who doesn't come out in public unless he really needs to. >> that's right. george osborne is not only chancellor, but also the government strategist. he does have a finger in many of the pies of government, and his name and text messages have arisen during this inquiry to do with that bskyb bid, which is now proving to be a very controversial area for this inquiry.

original originally george osborne wasn't intending to give evidence to this inquiry, but precisely because his name keeps cropping up, they've actually decided to call him. so this afternoon, he, too, will be giving testimony as to what went on when the murdoch entire was trying to bid for the satellite broadcaster, bskyb. >> key figure in the government, of course. naomi, thanks very much. after more than two decades of lawlessness and turmoil, somalia is close to forming a new government. african union troops have fought hard battles to drive the militant group from the capital, mogadishu, and restore some normality to the country. the bbc's gabriel gatehouse is reporting live from mogadishu. tell us where you are at the moment. >> i'm in the ruins of a hotel. it looks like a

post-apocalyptic scene, kind of like 1945 after the allies rolled in. i've just driven across this city, and let me tell you what i've seen. i've seen groups of men sitting out in cafes, women and children out on the streets, shops open, stores open. at one point, we were driving past some buildings. there were men busy filling in the bullet holes that dot almost every building in this city. and at the same time, a group of other people putting up some solar-powered street lighting. so there really is a sense here in mogadishu that things are moving, and since the ouster of al-shabab forces last year, that there is some sort of progress. >> so, huge international effort going into what's happening in somalia, because the threat from al-shabab seen as quite critical. >> yes, and it's a two-pronged effort. there's the military and the political. the military is being

spearheaded by the african union. it's largely paid for by the e.u. and the u.s. but it is african soldiers here, and they say african soldiers solving african problems. we've got in the center of somalia, where we are around mogadishu, the ugandans and burindians. in the west, an ethiopian force. they're not officially part of the african union force, but there they are. this is a three-headed spear movement trying to push al-shabab out. but they recognize there are no simple military solutions to somalia. they need a political track as well. that is going on now, at a very fast rate as well. a group of elders who are at the moment choosing a constituent assembly. that assembly will approve a new constitutional and appoint a new parliament, and the parliament will then appoint a new president who will appoint a new cabinet, and that's all

got to be done by the 20th of august. there are plenty of fit pit falls, but certainly progress and momentum is on the side of stability at the moment. >> gabriel gate house in mogadishu, thank you. the new president of syria's opposition national council is urging people to defect from the current regime. meanwhile, there have been more clashes between rebels and government troops with at least 35 people reported killed in the province of homs. our correspondent is in the syrian city of homs. paul, just tell us what you know about what's been happening there in recent hours and days. >> well, i've been standing on the roof of the u.n. headquarters in homs, watching mortar rounds land into the old city at the rate of one every couple of minutes. there are big, black plumes of smoke hanging over the old part of the town. they seem to be concentrated in one area, and it's been going on now regularly for the last half an hour. before then, there were sporadic sounds of gunfire. there was another explosion

just then, and the occasional round. but in the last half an hour, it's been pretty intense. >> paul, listening to your report in recent days, it's been clear that the situation is increasingly complex and difficult in syria. >> yes, it is. i mean, i think what's happening now in homs is straight forwardly a military operation. i've been told by someone that the syrians are using unmanned droughns. you can hear the buzz in the air to search for targets, and then they're firing mortar rounds. so this is very much a military style operation. what we've seen in other parts of the country, it tends to be largely where the military have withdrawn in some numbers to go and put down other flareups. the militias that the government are accused of creating are taking the law into their own hands, and i think that's where we've seen the sectarian murders begin to emerge. >> ok, paul in homs, thanks very much. you're watching "bbc world news." still to come -- the unlikely love story that's packing them in and picking up the awards in

broadway. excitement building as england gets ready to take on france later in the euro 2012 football tournament. the opening on sunday saw a gripping game between spain and italy ending in a 1-1 draw. it actually took place in front of 40,000 fans inside the stadium. our reporter was there. >> the spiles have been shared by these two southern european rivals in the opening action of group c here in the stadium behind me. again, watched by sporting superstars, a pop star was here, shakira. the prime minister and president of the competing countries, it was a terrific game, and this tournament had delivered plenty of entertainment. wonderful atmosphere as well in the stadium. a match that has shown spain, the defending champions, are fallible. they went behind in this match in the second half.

it was equalized shortly afterwards. there were chances at both ends for either side to force a victory. but if spain thought they were going to have everything their own way in this championship, then they'll have to think again. >> alex. representatives of the international criminal court are in the libyan capital of tripoli to try to secure the release of four men detained in a town. the libyan authorities say one of the detained delegation attempts to give the son of muammar gaddafi documents pertaining to the safety of libya. he's been indicted for crimes against humanity. at least five people have been killed and 13 injured when a small plane crashed near the ukrainian capital of kiev. the plane was attempting to land during a severe storm. police in chile have used tear gas and water cannons to try to give a breakup of protests against the screening of a documentary praising the former military government of general augusto pinochet. the screening of the film in the capital also led to one of

the biggest gatherings of pinochet supporters since he died in 2006. this is "bbc world news." i'm geeta guru-murthy. the headlines -- markets around the world rise sharply in response to the bailout of spain's beleaguered banks. and the former prime minister, gordon brown, faces questions about his relationship with news international, the inquiry into u.k. press standards. >> coming up in sport today in half an hour -- england kicks off the last set of matches at euro 2012. ukraine is also in action against sweden. history on healed for the day. rain stops play with the french open final between nadal and djokovic. and formula one's magnificent seven, lewis hamilton's turn to win a race at the canadian grand prix. >> two earthquakes have hit the northeast of afghanistan. there are reports that a number

of houses have been destroyed in a remote village of badland province. first quake a magnitude of 5.4, the seconds struck close by about 30 minutes later. the bbc's correspondent is in kabul. we know some people have been injured. >> i've been speaking to a member of the capital in the province, and according to him, at least 22 houses have been buried, seven of them totally destroyed. he says that the villages are located at the end of a very mountainous valley, extremely mountainous and remote. it's also an area where taliban are active. so a rescue team is on its way from the province yal capital to the village to see what can they do. what we do know from tribal elders and the province yal councilmember that a number of people, including woman and children, are missing.

and according to one tribal elder, we need bulldozers and heavy machinery to help with the rescue, because part of the mountain has pulled out, destroying all of the mud houses, which were located right beneath the mountain. >> difficult for people to actually get there in order to help those injured or killed. >> this is an area where taliban insurgents and members of the islamic movement of uzbekistan are active. it's an area where the afghan government is simply not present in any effective manner other than in terms of a security presence inside a district headquarters, which is still several hours away. so what the local people want the government to do is to help with that recovery operation,

which the locals have started doing themselves right now. >> ok, we will have to leave it there. many thanks. right in norway, the country's most senior forensic psychiatrist is appearing as an expert witness in the trial of anders breivik. psychiatrists are now -- they initially supporting the insanity report, but changed his minds after seeing brev knick court. this is day 34 in the trial of breivik, charged with killing 77 people in oslo and the utoya island last fall. let's go to our correspondent in oslo. what happened in court today? what has been the tone and content of the evidence? >> well, now here in oslo, everything is about the psychiatrist. the big question is whether breivik is so sick that he can't go to jim or whether he just has a personal disorder.

and today the witnesses from the people who had been following him inside where they have been following him to find out whether there's paranoia or just personal distorted person. >> have we heard yet why this eminent psychiatrist has changed his view on the question of whether breivik is insane or not? >> now, it started getting news into the court here. in oslo you get the explanation. he was out very early, saying that he was short at the first report, and that they had -- but after he has been following the first day in court, he changed his mind, and he based that on what his way, the way breivik was behaving in court, and now he says that it's no

doubt that he's not a psychotic, he's a person who has personal disorder, and he's solving his instruction and he will be sentenced to jail. everything is upside-down because it's prosecuted by police who are all the time asking questions, which seems to reflect that the police and the prosecutor is convinced that brive i think is sane. >> thank you for joining us live from oslo. french president francois hollande's socialist party looks to win a majority in the country's parliament, along with its green party allies after the elections this weekend. results in the first round of parliamentary contests show strong support for his party, which needs a first hold on

parliament to push through a reform package. there will be a second round of voting next week. our correspondent in paris, christian fraser, has the details. >> it wasn't an overwhelming triumph for francois hollande last night. i think the low turnout paid to that, but pretty satisfactory nonetheless. final figures from the interior minister show his party was on 29% ahead of the nicolas sarkozy of 27%. when you put them together, they have around 46% of the vote. that will give them enough seats in the parliament to have the majority they need, the working majority to push through this ambitious tax and spend program that francois hollande has set out. >> and it's been perceived in europe that his election, the voting power of french has significantly changed the debate and moved it away from pushing just simply for austerity, but he's got an incredibly difficult task to fulfill if he's going to cut the deficit and fulfill all his

pledges. >> yes, you're absolutely right. the left has consolidated its grip on power here in france. they have control of the senate. they have control of key administrations, and now it looks like they will have control of the lower house, the national assembly. so that gives him power to push through what he wants. and, of course, we talked about it a lot since the presidential elections. it is a tax and spend policy for growth strategy, very much in contrast to the more austere measures that right-wing governments are following. so it's a direct challenge to them. people will watch very closely what happens here and how successful he is. the big question, as you say, is where the cuts come. there has to be pain, because he pledged to reduce the budget by 3% next year. highway do you do that if you don't cut spending? that will be the difficulty, keeping particularly the far left outside as they push through some of the pain. when you look at that result last night, the two mainstream parties, my feeling is that the middle class is still not

convinced by francois hollande's policies. they fear they will carry a lot of his pain with higher taxes. it will be interesting to see what happens to the vote next week. >> christian fraser there in paris. the british actor, james corden, has won a tony in nork for best leading actor in a drama for his hit show, "one man, two guvnors." >> and the american theory tony goes to james corden. >> james corden was up against some formidable competition, philip seymour hoffman and james earl jones were two of the heavyweights also dominated for best leading actor of a play. >> i have to say john lithgow, james ill jones, frank, and my favorite actor in the world, philip seymour hoffman, to be on a list with you was enough, and holding this, honestly, it just reminds me that there is no such thing as best. honestly, i am overwhelmed.

>> me? yeah you! don't you call me a messup, you messup! >> but slapstick and british humor stole the show and corden won with his performance, struggling to serve two underworld bosses in the west end import, "one man, two guvnors." >> get off! come here! >> already an established tv star of the bbc comedy series "gavin and stacy," corden's tony award confirms his place on the international stage. >> funding was made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newmans own foundation. union bank. and shell. >> at shell, we believe the world needs a broader mix of energies. thats why were supplying cleaner burning natural gas to

generate electricity. and its also why, with our partner in brazil, shell is producing ethanol, a biofuel made from renewable sugar cane. >> a minute, mom! >> lets broaden the worlds energy mix. lets go. >> bbc world news was presented by kcet los angeles.