hello and welcome to the business program that this week my colleague katie pilbeam and i will be hosting from this beautiful swiss skiing resort town of davros the home of the world economic forum wednesday is the official start of the event and russia's prime minister dmitri medvedev will be one of the three heads of state along with germany's chancellor angela merkel and italy's prime minister mario monti to address the audience they'll share their ideas of how to move the global economy forward how to shifted out of its current crisis mode and one of the actually pretty hot topics this week is the currency wars we're talking about the various countries central banks actively managing their exchange rates meaning of course devaluing their currencies why would they want to do that because it makes their products more competitive on the international markets china has been keeping its currency artificially low for quite a while and i got plenty of competitive advantages from this now the japanese are trying to take advantage of the. ok an economy may see the negative affects of this poli

really understand the rules of the game in the w t o so russia is bound to lose he says and here's katie pilbeam to talk all about it so katie do you think we're about to lose well i think mr grappa makes a convincing case actually having listened to and they assume what he's going to say and he's saying that these ministers to particularize she accused him of not knowing the rule broke in the case of the w.t. iran and the accession of what can really mean for russia and the advantages that it can bring and he was referring to it as being almost like a hockey team who don't know the rules and they don't know the rules he can't play the games this isn't his accusations now. switch to the city you're talking about w.t. your accession in future tense can i use the ministers how many hours that they spent studying w t always i can answer not a single one if you tell me that you have it then i'll ask you a simple question because i did this for seven years what is regulated by w.t. all rules so the problem is we haven't realized we are part of w t o and we still don't know the rules of the game used

elite who have converged on the swiss ski resort of davos for the annual financial forum artie's katie pilbeam has more on what came out of the second day of the gathering wrap up of today's proceedings in davos switzerland those plenty on the agenda and most anticipated the day they had to come from british prime minister david cameron of the he announced a referendum on membership of the e.u. and his desire to win a new system and the year at any rate he demanded confessions from brussels as well but when he came face to face of the leaders interestingly he lacks track flight he was so that in his approach knees that he was no way turning his back on year zero although he was one of the annuity of away from the top eight because based. he says that she focused on tax transparency the compound and avoided some of what he wanted to talk about but a raft of the financial ministers err in davos that is what it's all about they refer and we always had angle and i think the german chancellor sheets it to the mike and she was talking about structural reforms and she spoke about her concern as well

devaluation actually could affect the russian ruble or so some experts say here with me i have katie pilbeam who had an opportunity to speak with an expert on this today so what did he say while it was david gray from pricewaterhouse coopers russia and i really wanted to address a topic with him because he's taken the world by storm and he says that's the interesting enough but for the ruble i'm for russia it may. i'm a straight saw resilience. looking for the real to be relatively stable in the i think i don't see big drops in energy prices and i think a flat to moderate energy price and gives us a stable ruble so i think the ruble will tend to attract sideways this year and b if you think about the level of volatility we've experienced in the past even two thousand and twelve was a relatively stable year by historic standards and i think we'll have an and pricewaterhouse coopers they've also just released that business of a full roster and it's actually quite optimistic just looking through it why more upbeat than last year i would say for me to say but i wanted to ask david gray as well h

sort of doubles this week to discuss ways of driving europe out of the crisis because artie's katie pilbeam reports there were many promises made at the world economic forum but no clear solutions offered. double's twenty thirty is now and as the world's most influential policymakers pack up their design a suit and head home at least me here with my ring the beauty of the swiss as you can see but also trying to look beyond them to work out what exactly was achieved well first we had russian prime minister dmitry medvedev he spoke about the need to diversify the economy away from oil and crack on with structural reforms but you know we've heard that before that was something. we also had british leader david cameron he came here he had some tough words to say for tax avoiders but really the only topic people wanted to press him on here was the father he will be calling an e.u. referendum for the british public in twenty seventy the business community here they felt that that was a grammar announcement and that it would do the economy no good or ready challenged and in a fragile situation wit

that it needs to go from a really investment led climate to a consumption one thank you very much katie pilbeam and moving on and less than a decade russia may overtake germany as the world's fifth largest economy that's according to pricewaterhouse coopers predictably of course is the demand for the country's abundant natural resources that will really drive this growth but the report also claims russia's aging population and its strength in war force will mean that its growth will slow after the year two thousand and twenty and in meal ferguson of harvard university tells business r.t. he agrees with this assessment and he also expects a global economic paradigm shift. the fiscal situation is far superior to any west european country there is falling inflation the move to a flexible exchange where it's been successful and then of course we're in the midst of one of the world's great energy boom then indeed commodity boom and russia of course is perfectly positioned to benefit the russian prosperity in light of the struggling europe while i do think the situation in europe and particularly in

artie's katie pilbeam there she is reporting from devon throughout the day and as you mentioned the british economy soon may find itself in the doldrums official figures have shown that g.d.p. shrank more than expected recently in the country's on the verge of a triple dip recession this is raise fears that the u.k. aaa rating could be downgraded well not little but i spoke with the lowly he's director of the institute of economic affairs in london and he believes the coalition governments shortsightedness is to blame well certainly what the coalition government here in the u.k. are doing isn't working if the aim is to produce growth rates or two or three percent and indeed the government's independent forecasters suggested two years ago that we would be experiencing those sort of levels and growth of the u.k. economy about now i'm afraid that was turned out. but let's be clear about this austerity target that you saw a lot does saying that the u.k. government has persuaded itself and most of the media and all of their political opponents that there is some savage program of spending cuts b

debt ceiling looming katie building pilbeam brings us a preview on the road to davos. so here i am right now traveling deep into the sweet found two dollars off us the ski resort get set to the wall of economic forums and you know a sane topic on a mess thank his politicians and celebrities will head here this week to discuss global financial topics and perhaps even steal a multi billion dollar deal behind a private road to south over forty years now the world economic forum has set the agenda for shaping the global economy and this is the reason resilient dynamism in the words of the founder of the forum all of the schmucks the future great in this you can take your minds dynamism bold vision and bold the. european debt crisis center beat dominating the once again along with this spiraling. down of course china is very strong as well so while i'm stunned take in the economy the laugh i'm still the devil's lisa flying above me by now in private jets mr b. just really doesn't present the difference between them. as we mentioned to the forums theme is resilient dynamism

bill but pilbeam katie i'm getting a name wrong there and they're the wrong day of the market so tell me oh yeah there's a mission there's a financial mission that marco is trying to what's going on what they want to be one of the big financial centers of the world and the government they've gone on about this for a long time and particularly prime minister medvedev he's really keen on the idea he wants to be out there with london hong kong wall street but they they do have to work like i say there's lots of work to be done in order to achieve that and that's why i'm going to be talking about the business boating coming up just in a moment's time to it sounds exciting will be watching. download. the application so. stream quality and enjoy your favorite. if you're away from your television well it just doesn't matter with your mobile device you can watch your t.v. anytime anywhere. you know sometimes you see a story and it seems so you think you understand it and then you glimpse something else you hear or see some other part of it and realized everything you thought you knew. charge