the swiss voted to change the law to make it easier to deport foreigners. for nine years, people have been able to move back and forth to work. they want all of the new arrivals -- they say the new arrivals are causing problems. >> the focus is on rent, land prices, a town planning, the shortage of land, infrastructure, streets and to the railways. >> what does that mean, exactly? they need more buses and more roads because 80,000 immigrants are coming into the country every year. >> the question is, how big should switzerland get in terms of the number of people? it carries on like this, there will be a population explosion. >> scaremongers say the population is set to rise from 7 million-10 million. this is a big concern for over half the electorate. they're capitalizing on that. >> because switzerland this mall -- is small, a lot of people are worried about this in terms of the environment, multiculturalism, and other issues. >> take land prices. they are up 50%, but some suisse are doing very well out of that. >> maybe some people will make a profit, bu

most swiss firms hire workers abroad. the engineering industries say they could not cope with a swiss workers alone. >> not everyone in switzerland things like that, certainly not the business community. we see it differently. the initiative got through, it would be a problem. it would make the labor shortage even worse. >> many so-called foreigners are very popular in switzerland. the under-21 soccer team has players with names from nigeria, eastern europe and tunisia, although most of them were born in the country. >> our under-21 team embodies an open switzerland, one that is successful precisely because of its tolerance. >> the campaign is already eating away at that image of switzerland. he has achieved one of his aims. immigration is an election issue that no party can afford to overlook. >> most of the residents in the small town in one of the poorest regions of italy live from fishing, but overfishing in the mediterranean means that these days their nets are often empty. this part is famous for what is known as po

vere bank which is a community currency and it was a three million dollar loan and half a million swiss francs worth which is valued at more than a dollar was in fear interest free this is actually a community currency and that currency is so well accepted in switzerland that they could actually pay workers materials half a million swiss francs in viewer and it worked out so are you saying you saying beer as in the stuff you drink you know it's w.i. are here i think it's been around here ok what is fair vere is a community currency it's the most largest established well established european community currency so just to follow up on the various telstar work so there's a swiss franc and there's a fear right so the fear is that countercyclical in other words when that when that . national currency shrinks as it has been doing lately relative to goods and services. then the local currency comes in and fills fills in the gap in the local currency is issued by the very bank now issues both the local currency beer and the swiss franc but it when time they were on the issuing beer but this spa

the local currency is issued by the fear bank now it is she's both the local currency beer and the swiss franc but at one time they were on issuing beer but this spa that we went to was very elaborate i mean there's nothing like that in the u.s. in fact it's you can get a loan from its unity transfer bank. to do to do a large infrastructure project that was quite remarkable so now. it was zero percent interest and then half a million year and then it was one percent interest on the next million swiss francs and then the rest is at three percent so the whole thing was a very low interest ok well sell the there is a currency chosen by other people so other people get to pick a car and say they have a plan to their currencies to choose from that's the market why not let the market decide and that's what you're seeing in europe but i guess it's growing throughout europe alan brown is that your perception yeah well they definitely need some alternatives there because they don't have a safety valve we have the federal reserve which can print money and guys print money and expands money supply

so well accepted in switzerland that they could actually pay workers and materials half a million swiss francs in viewer and it worked out so are you saying you saying beer as in the stuff you drink you know it's w i are here i think it's ok what is beer beer is it community currency it's there the most largest established well established european community currency so just to follow up on the beer tells our work so there's a swiss franc and there's a fear right so the fear is it countercyclical in other words when they when that. national currency shrinks as it has been doing now lately relative to those in services. then that the local currency comes in and fills fills in the gap and the local currency is issued by the fear bank now it is she's both the local currency beer and the swiss franc but it one time they were on the issue in beer but the spa that we went to was very elaborate i mean there's nothing like that in the u.s. in fact that you could get a loan from unity permits a bank. to do to do a large infrastructure project like that it was quite remarkable so it was zero perc

the message from the right-wing swiss people party clear. immigration in switzerland is out of control. with a foreign population of almost 25%, many swiss are worried their country is becoming too crowded. but the campaign by the people's party suggesting foreigners are taking swiss jobs and committing more crimes, didn't bring in the hoped-for votes. switzerland's unemployment level, at less than 3%, is among the lowest in europe. the swiss know that many of their businesses and their health service depend on foreign workers. and so, voters denied the people's party the breakthrough its leaders had hoped for, turning instead to the greens and to a new center right party. the people's party remains the largest in parliament with fewer votes and seats than in elections four years ago. it's hoped that negotiating more power in switzerland's coalition government are greatly reduced, and it's calls for strict limits on immigration are likely to be quietly ignored for the time being, at least. >> 10 days of mourning have been announced after the

a billion swiss francs. they are really shaking off the effects of that rogue trading scandal. they now say they are going focus on their core business, which is managing the money and wealth. the former chief executive quit in the wake of this scandal. they have already announced 3,500 job cuts to save about 2 billion swiss francs. very surprising. they didn't expect to report a big profit. >> pretty small fry compared to today's other business story. >> b.p. we spent a lot of time talking about b.p., that huge oil spill in the gulf of mexico last year. telling us that their q 3 profits are up. coming in at 5.1 billion dollars. that is up from the same period last year. many expected them to foul quite sharply. -- fall quite sharply. despite that, they say they are now trying to draw a line. they are putting money aside to pay compensation. they are selling off a lot of assets. it was around $30 million and now it is up to $45 million. >> thanks very much. you are watching bbc world news. coming up, we have

the interest is variable and tied to the swiss franc. at one time, the interest rates even soared to 24%. the town owes the bank over 1 million euros this year alone. >> what are we going to have to pay in 2012 and 2013? the loan agreement runs until 2035. >> you will not find an answer on any dexia bank brochure. they made loans in swiss francs despite fluctuating rates. now the clients are paying for this. the unieux town council thought they were borrowing at a fixed interest rate. >> basically, this amounts to fraud. it is how the banks operate. >> unieux is not the only place that got blindsided. thousands of cities and towns are in the same boat. france has a robust economy. it thought it was immune to the debt crisis. unieux used to be a thriving steel town where corporate time -- taxes kept the city coffers full. but the steel industry went into a kind -- into decline in the 1970's. the municipality after the banks for help in preserving its assets. experts say the local politicians were naive. >> a municipal government should ne

russia and georgia ever since then and the w t o has always been a major cause of a conflict and the swiss mediators than the stepped in and offered plans which georgia has now accepted paving the way for russia to join the w russia has been trying for seventeen years to join the organization and it's still the largest economy outside not a member and of course it's not willing to accept just any proposal to become a member it should be no it's a bad russia could still join it if it got a majority vote which would effectively deny georgia a veto the decision is scheduled to be taken on december the fifteenth in geneva and if russia does become a member world bank experts say the russian economy could grow by eleven percent staying with the story russia says it will need some time to consider the swiss proposals as from business new europe magazine says russia is likely to join the w t o even if it rejects new. i think russia gratefully accepted poses with us face and even if they turns it's still possible for us it's joined with outs george's votes in so much as you can do it by simple maj

georgia the only country which still opposes russia's access and has agreed to new proposals from swiss mediators in the negotiations. curator was seen as the last hurdle blocking russia from joining the w t o the main problem wall street moments are in all of the breakaway republics of south the setia an apostle which of course won their independence after a brief conflict in two thousand and eight and sentient it was hard between russia and georgia ever since then and the w t o has always been a major cause of a conflict and the swiss mediators on the stepped in and offered plans which georgia has now accepted paving the way for russia to join the w t o russia has been trying for seventeen years to join the organization and it's still the largest economy outside it not a member and of course it's not willing to accept just any proposal to become a member it should be no it's a russia could still join if it got a majority vote which would effectively deny georgia a veto the decision is scheduled to be taken on december the fifteenth in geneva and if russia does become a member world ba

same with that story russia says it will need some time to consider the swiss proposals when aras frombusiness new europe magazine says russia is likely to join the w t o even if it rejects the new terms. i think russia grossly except for poses with visitors who must face and even if they turns them it's still possible for us it's a joy without george's votes and so much as you can do it by simple majority the thing is every country that's joined so far is joined with unanimous words and so would be another black mark on russia's p.r. which they'd rather avoid it however i think is which i also have a nice christmas present a membership or a bike by christmas if not shortly thereafter but it's also important in so much as there's no rush but at the same time you know trade is becoming an increasingly important part of the global economy if you support by station and the fastest growing routes between emerging asia and europe russia sits right in the middle and the point of having the beauty is the trade is already going on but it will just level the playing field and make everything wo

as georgia says yes it's a new proposal by swiss mediators. hello britain even when i was kevin only watching r.t. from moscow it's now eight pm and first no more war planes or air strikes in libya the un security council unanimously voted to lift the no fly zone next monday but libya's new leaders want the mission extended to the end of the year has gone if you can reports from washington d.c. . us your council voted unanimously to lift the no fly zone over libya effectively meaning to and nato operations there nato has been operating all this time under the un security council mandate from march now with russia's initiative the council has voted to and the mandate and complete all nato after operations by the thirty first of october and as we heard from russia and which of the united nations. nato is expected to comply with iraq resolution it's important to note that the vote comes that is when leaders in flames leader asks nato to prolong its air missions through december and head military advisers on the ground the nato ministers had been

and same with the story russia says it will need some time to consider the new swiss proposals well to discuss this i'm joined by ben ara senator in chief at business new europe magazine ben good to see you so do you think a breakthrough has been made or not what you're reading on this well it's taken a long time for them to get to this point and they desperately wanted to win russia's the last major economy in the world that's not a member of the w.t. and in that sense this is i mean they've been fighting and fighting and pushing and pushing and not getting anywhere and looks like it's going to happen so you think russia will actually accept these these new terms which still include apparently a monitoring of trade between russia and georgia by international observers yeah russia. has to decide but i think they can accept the terms on the table with these instruments face and so you know they want to get in i mean georgia's been blocking it completely and now they have conceded you know the mother says at the end of the day these guys are your customers offices stand papers this is no

the swiss do not have diplomatic are relations.wer. in other words, ambassador loy is really the channel between two countries that don't talk to each other. the iranians called in your -- what is it like? what happens when they call you? >> well, they call you, the embassy. they ask us to come to the foreign ministry, which we do rather quickly normally and we have received by the person responsible for american affairs who gives us whatever he wants to give us to pass on. >> is it verbal or a letter? yell if they're not happy. >> it can be either way. normally, they don't yell at us. >> what's it like to be in the middle because you are the swiss ambassador, but also representing the interest of the united states? >> well, as you said, first and foremost, i am the swiss ambassador and have to come with this. that makes it only possible to represent the american interest, a country that does not have diplomatic relations. >> now, being in the middle, do you ever feel any type of tension between your role as the swiss ambassador an

is it about taking money from people that make such as happened last time i would put the money in swiss banks did not create jobs or not job creators these are jobs they're not reinvesting in anything but their own bottom line so you're saying that if the government doesn't take their money it's going to go to a swiss bank you know this i am saying that in fact i can tell you from my own experience back in that back in the one nine hundred seventy s. before the bush tax cuts or before the reagan tax reforms we could blame things on bush before the reagan tax cuts i was making enough money that i was hitting well. into the forty percent tax range and my c.p.a. sat me down with my small business of eighteen employees and said stop taking money out of your own company you need to reinvest that money in your company which i did and we grew up business and people and bats the time that was the time when c.e.o.'s took thirty times what their employees take now the taking five hundred times what their employees can take because they can gamble with that hot money because they can put that mone

speaking of earnings reports, we had an earnings report from ubs, one of the big swiss banks. this is the first earnings report for this business since we had that rogue trader scandal. they came out with a surprise $1 billion swiss franc profit, because it's because of loss of items. >> the front page of the "wall street journal" reads fresh worries of recession grip europe. thank you very much. >>> still ahead a big game five in the world series. the cardinals jump out to an early lead but some strange twists and a big miscommunication in the st. louis bullpen turns the series. highlights ahead in sports. >>> and jon huntsman dropped some mandarin while talking last night to steven colbert. will that get him above 2% in the polls? that and a check of weather when "way too early" comes back. >>> last night mr. reagan called congressional leaders to the white house to say he approved the action. this morning the president told the world, explaining why he ordered troops to grenada. >> the united states objectives are clear, to protect our own citizens, to facilitate the evacua

mediators in the negotiations russia says it will need some time to consider the swiss proposals but yourself a symbolic from deutsche bank outlines the benefits the country is likely to get after joining the w t o. one of the key benefits of russia's accession to w would be the ability to diversify its economy by exporting more goods and services abroad better non oil specifically this would refer to. steel such as fertilizers chemicals but would also probably with time refer to a broader scope of sectors including our cultural goods including perhaps. some of the high tech products that russia could offer as part of its modernization drive but another aspect that i think will be very important is russia's capability after w two accession to forge alliances trade alliances across the globe. and it's time to look at the markets now oil is lower following strong gains in the previous session helped by europe's debt deal brant blend is losing forty three cents trading at one hundred and eleven dollars about. is that ninety three dollars a barrel asian markets on the rise for the second

asians and but russia says it will need some time to consider these swiss proposals was discussed this now with the chief economist at deutsche bank russia has left a subject and it's not always a pleasure to have you in the studio so i mean progress or not do you think with or without george's consent russia will join the world trade organization by the end of this year is that this problem just well i think clearly we're seeing progress i think we're seeing efforts on the part of the international community community to advance these talks pick because this is really the last hurdle on the road to russia's. w.t. accession clearly russia can try to bypass georgia on this road towards w t o membership but i think for the sake of the organization itself for the sake of preserving the rules based framework of the w t o i think all sides should work towards an agreement which however should be struck very quickly because time is running out and russia needs to be in the organization to be admitted there by the end of the year otherwise new delays may take place which is something that we

for being exposed in the first place also switzerland the biggest haven for offshore wells or is it swiss banks are reportedly likely to pay billions of dollars and hand over the names of thousands of americans who have secret accounts there it's to settle a u.s. probe of overseas tax evasion is the u.s. getting desperate to fill its dwindling coffers just what's going on here and is the u.s. even going after the right people what about the huge corporations that pay zero taxes and you as president barack obama is expected to announce new terms for a program aiming to help struggling homeowners refinance past president though casting doubt on just how well it will work and how many americans it would reportedly help is uncertain mind you up to thirty percent close to that of homeowners who are underwater on their mortgages and while millions face foreclosure across the country some american alit are shelling out up to two hundred thousand dollars for play houses for their kids we're not kidding we'll show you later in the show let's get to the capital account. all right so after meetings

for instance the swiss anti-islam feeling is stronger in the country side than in the cities. >> rose: that is fascinating, i had no idea. i thought it was all, you know, in certain -- i thought it was in the suburbs of paris is where it was best expressed, most often. >> but france is in a way similar. you are looking a looking at whl areas that are islamic, i didn't know it myself but i started to inquire and became, you know, first fascinated as a private person, but then i started to ask so-called farmers and the first farmer asked me where do you come from? how old are you what is jury background? i am a scientist that resigned from a job in frankfurt, and now doing -- >> rose:hen you first said that i thought it had some kinship to something pastoral, it is not pastoral at all, you e looking at the country side in a place for conflict and a place for change and a place for -- >> a place for change. >> rose: as a place -- >> but, of course, part of change is almost industrial industry for nostalgia and tourism and so pastoral still playsñr a role, but it has a pastoral momentum,

she says that she can see that they're printing do it to mark is you look at what the swiss central bank has done and the canadian central bank statements that they've issued so the swiss central bank we know for a fact has introduced a currency peg immediately after that the canadians also and now it's that all the bad things we thought might happen are now happening so we are going to maintain a highly defensive position so she says they're preparing for the inevitable introduction reintroduction of the deutsche mark and therefore the consequent collapse of the euro in value that's going to be the way which they get out of all these debts in the periphery european nations ladies and gentlemen ensuring the heavyweight ring the door to joe mark in the currency battle of the century it's got everything huge export market low unemployment they've got fantastic benefits for all of them got a surplus and their unemployment benefits and their health benefits a surplus she says i would expect a major on scheduled speech from the president of germany once it is decided to leave the euro you can