Form of us president had this the say, these are the most corrupt people. We have a great company, i build a great company. Its got to got some of the greatest real estate assets in the world. And now i have to go before a row as a continuation of russia, russia, russia, as a continuation of the greatest of all time. And i dont think the people of this country are going to stand for. If i werent leading and all the polls or by word running, i wouldnt have any of these cases. I wouldnt be seeing you this morning to you and says central violence is being used as a weapon of war. In sedan, rape and Sexual Assault has become widespread, is the army and permits a Rapid Support forces baffled for control. More than a 130 cases have been officially reported. But rights activists say the real number is much higher. Yeah means Prime Minister tells, ill just say right, hes hopeful of finding a political solution to the conflict. 9 of the matic represents the internationally recognized government. His comments come off to a new report released by the u. K. Charts. The aux fine ones, the ones the vm and hes facing stream hunger scientists, katelyn kind of go and drew vice man thats been awarded the 2023 nobel prize medicine. They received the award for the research that led directly to the 1st m r renee vaccines to find co with 19 least 13000000000 doses of corona vaccines have been administered around the world. Does a headlines is oh, is this out . Is there a dot com for you to stay on top of all the major stories . County, the cost is up next. From intimate moments to major social change, the witness Award Winning films from around on alexs era, the hello im serial venue. This is counting the cost analysis era, your weekly look at the world of business and economics. This week, one of china is biggest shadow banks is in trouble. So what are those Financial Firms and what risks do they pose to the chinese economy . Also this week the syrian president wants to end his nations isolation, as many blame him for the free following economy. Plus, its called zillow, as demand for uranium continues to increase the price of this commodity use, the Nuclear Power is soaring. The that includes gigantic Financial Institutions. China is secretive shadow Banking Industry is worth more than 3 trillion dollars for perspective. That is roughly the size of britains economy. But after years of exponential growth, several firms have defaulted on billions of dollars of payments to investors. In recent years, the Chinese Government has clipped down on a risky lending to limit the risk of contagion to the wider economy. And now concern is growing again about the Financial Stability of shadow lenders. Its on your own. One of the countrys largest trusts mister payments, the clients in august, a pretty big warning sign. And the company then signed an agreement with 2 state owned firms to help solve those problems. That was 2 weeks ago. Sean young managed more than 87000000000. 00 worth of funds for corporate clients and wealthy individuals. As of the end of 2022, it says at least 11 percent of its assets are invested in the property sector. So just before we go to our guest and try and figure all this out, let me brief you on what are shadow banks . Exactly. The term was coined in the us a little more than 15 years ago. It refers to Financial Services that are offered outside the formal banking system. Unlike Traditional Bank shadow lenders, including trust lights on young. Well, theyre loosely regulated and that means that they can lend more easily to more people, but their loans arts guaranteed as were finding out and theres less transparency. So its also hard to know how much debt there actually is. Now for decades, the Chinese Government has bailed out many shadow firms when theyve been in trouble, and they were seen as a safe place for wealthy chinese to park their money. You say, trusts mere investors by offering significantly higher returns on their savings than banks do that brings in a lot of cash shadow banks, then lend that cash the Companies Across various sectors of the chinese economy, including the property sector that includes real estate developers. But china is real, estate market is now in crisis, so the borrowers are struggling to repay the money that they borrowed. Alright, redmond one joins me from hong kong store. Youre the Greater China market, strategist, that sax. So we have now reached the point where some shadow banks have not been able to pay their customers because they themselves are not being repaid by the people to pay less money to. How concerned are you by all of this is a concern, and i think the problem at the moment east to a certain extent is the content that one of the reason is that these im gonna see is 32017. China has launched a campaign to the last person that you call them. The 1st is on the charlotte balcony, says start and then have poverty sector and then the com, inside that part of the se, d leverage the economy. Educate us. What is that basically is one to limit that the financing, and this is not the gross so much and used to meet the financing for those channels. And um, i mean, they have not been very successful with to limit that financing for up with the sector. And also the local government, those have still been growing, but they happy i make some success actually even reducing the size of the share of the banking sector. So the number one, number 2, and this a, quite a big difference between the us started okay. System and the china one, the china, one actually most of the e. So do you use that . Those money coming from the back all packing sector is the banking start target commercial band. They want to do that good. A trade off the truck basically to try to be used to have the loophole so that they can have high Interest Rate. They can also make some money. I charging these all those management Wealth Management product to help day to cut to keep the costs of the least money at the bank, but not already in the deposit, but you pay very low Interest Rate is the method in those of managed pro management product end of the bank has to make some money and so they are actually and most of them. So now i think the Chinese Government try the process to lose my car because these, these lending in the show the battery system act to the bundle package as well. So uh yes it is, my package deal is not our control yet. Okay. And that goes back to what youre saying at the beginning. That right now the risk is contained again, and im kind of asking you the same question here is how much risk is near Systemic Risk to the entire chinese economy . I ask this because obviously the, the bill most of the 2008 financial crisis is still with us. And we all remember that if one bank fails, if its a big enough bank, then theres going to be a domino effect. And so many other Financial Institutions are going to fail and its going to put many ordinary people in trouble. Whats the risk of that here . I want to back if size of the shuttle back into somebody not 1. 00 and 5. 00 treaty and youre talking about the co, the co a month. Oh good. Thats true to non Financial Sector in china as a copier. Just sort of the treaty. And so based on the, the shuttle paintings on getting knocked around 12 i 77 percent of that muscle band. And so i come for 65 percent sort of a muscle band, or se, i, as i said, we did the chinese finding solar system. So some of those we get something also slate on back to the full impact to the commercial banks. Its not this, they are actually are the customer on himself either land, those actually go back actually the shadow bang through the through the window. I try to get you uh to the local and then uh, financing uh we call it and so to solve, those are the prices you know that the credit so. So um, so i understand so directly paul. Uh, paul uh, size of the separately system to. Ready the system so um, basically that they possibly can, i saw a, uh, and the chinese comedies and like need to pay them off, but they pop it. Oh, okay. What those south and so on the restructuring. So on time to what so about that, i wanna ask you because you said the word mailout. Um sean young, the trust that were talking about recently about 2 weeks ago, signed an agreement with 2 Financial Firms that are a link to state owned companies. Is that a government bailout, the hidden government bailout a partial government bailout. What is it . We dont know yet, but at the moment both im both posted to pick trust. And also the cd trust is hed be trusted with data weve been trying to contact him back. Also across company they have pop the shuttle packing system and create a part of their my, the phone will back on the exact codes. And so take the, according to that, we might be able to go into a tool and then use that, you know, people for an operational both and so to control and that they are not pick a ticket goal for the s s. I think the i may be acting on behalf of government and directed ages. Thats pretty much for sure. But its not at all yet because i think the knowledge, the lift gate. Redmond stay with me because i want to run our viewers through a brief statement by showing young earlier this month. It said that some Investment Products were unable to be paid on schedule, direct quote, theyre unable to be paid on schedule because of multiple internal and external factors. It did not mention whether investors would be getting their money back. The dozens of angry clients held, were protest outside the companys offices engaging in august. Redmond, just as a reminder, were talking about people, you know, who bought some financial products, expecting a financial return. And last month in august, they did not get their return. So they are justifiably pretty angry. How do you read that statement, internal external factors . I mean, is it in terms of the fact that basic spaces the course happy thing. So i think hes not the probably this conversation much as the Story Information and thats what im seeing now seek, take and see, see the truck uh, going into the company to be in the boat. And i have to go through the assets. But i think to try and see because these go to uh, to the kinda what was the record i had to come up with some comp restructuring pad full. I doing wrong so he still remains to be seen. But uh, but all right, great. Can we take something we have to do something last, i think how much of this is tied to the property sector . I ask you this because i think even casual, observe is of the chinese economy. I am among them who will understand that the profit, the sector drive so much of the economy over the last 2 decades, people had been investing real estate developers. And you know, private individuals have been investing in prophecy because the price is going up. But now prices are falling really cheap parts. We did the frontage, really. And redmond, the, i, i even have those alone to the wireless. And among those i, things that are nice on the estimate is not already. I mean, ill be sol already. I create number 18 percent of them. Ill probably use im on the 2023 then. So is that all people, 5 people in security is from the shadow banking system. The Trust Company has a lot for different products or so. Yeah, i mean its a foot property but and they are you not . And these are the for the stress, the fact our payment, we payment to those a investment product and the shuttle banking system. Redman wong. Thank you so much for joining us on the program today. You are the Greater ChinaMarket Strategist at sax, so thank you. I think give it to the syrian president , bashar assad has regained control of the majority of his nations territory. But after more than 12 years of civil war and western sanctions, syria is now in a deep economic crisis. The majority of syrians live in poverty. More than 70 percent of the population needs humanitarian aid. As the cost of living rises, vulnerable, household say that they have had enough. Hundreds of people have protested mainly in the Southern City of sway to demanding president bashar assad step down. Now this provinces, the heartland of syrias drews community, a religious minority which had largely refused to align itself with either side during the nation civil war. The protest of now entered the 2nd month echo for 2011 uprising against assads rule. The Syrian Government believes its economic trouble on western sanctions, but many protesters is way to blame the government. For 12 years, we endured a difficult and disgraceful life. The state has been dropped. I ask you, bashar assad. When will the people of syria be able to live in dignity . Give them im of those living and coastal cities. I tell you, dont fear speaking loud voices. And if you cant, because of the shores dogs come to sway to where you can speak freely, the protests were sparked by government measures aimed at boosting the economy. They include slashing fuel subsidies in raising gasoline prices by nearly 250 percent. The government has doubled salaries for Public Sector employees and raised the minimum wage to help cushion the impact of raising prices. But the res would only be enough to buy a 3rd of the essential food that the World Food Program calculates. A family of 5 requires each month. Critics of the syrian president s blame his measures for accelerating inflation and weakening the syrian pound. The currency plunged to a record low of 15500. 00 pounds to the dollar last month. It had traded at 47. 00 pounds against the dollar before the war. Its joining us from wellington in new zealand is power. Im shar and economist, and a senior fellow at the new lines institute. Sir protests have been mostly in so way that why is that . Is that part of the country more impacted than other provinces . I think when it comes to living conditions, the situation in swayed out is as bad as it is. In other words. Ready health areas, i think what happened in sway that continues to be contained there more for social and political reasons, dan, for economic reasons. The price of oil, the price of fuel has been multiplied by more than 3 recently. But heres a surprising thing about that, which is that syria used to be an Oil Producing country, and now it has to import its oil from mostly iran. How did we get to that point . Well, get to a combination of reasons. So most of the oil fields are currently at the control under the control of this year. And Democratic Forces in the, in the northeast. And the fields that are under the control of theres even have been badly damaged to the conflict. Primarily because of the bombing from the International Coalition against isis. And basically the Syrian Regime is unable to fix these oil fields and continue the level of production. So most of these fields at are operating at the production like a Production Capacity level thats maybe 20 percent of its pre war levels. Whose fault is all this . Because the protesters blame the Assad Government for mismanaging the economy and the Assad Government says its actually all to do with the western sanctions on the economy. Its obviously, its extremely complicated and there are a combination of factors about i think if i had to rank them i would say that the number. Ready one reason why the country is struggling at the moment is that it starts to read of this here and reason. The reason the country reached to this stage is above all because of the level of violence exercised by the Syrian Regime. However, even as the conflict at the level of violence, when what happened was the opposite of what you would expect in other context, the economy deter, rated further still. And that is because of the economic mismanagement of thursday. There he is not allowing either its own cronies to operate in the business sector. Its imposing a fines on them, trying to partner with any remaining business that still generating profit. However, obviously there are other factors that contribute to the current living conditions. Sanctions is one of them, but its definitely not among the key contributors to whats happening right crumb stand by. Stay with this because theres another interesting part of this puzzle that we want to mention, which is that china as president choosing thing has recently offered to help rebuild syria. That she met the charlotte side and the southern chinese city of the hinesville, which is hosting the asian games at the moment. Assads rear visit is in an attempt in more than a decade, a diplomatic isolation. Also note where the, the syrian president has recently re establish ties with arab nations that once backed his enemies, the Syrian Rebels car. And we mentioned all this because it raises the question, could this be a lifeline . I mean, chinese economic re engagement arab economic re engagement with syria. Could that be a lifeline for the syrian a con as well. First, regarding the recent track personal on from regional countries, that seems to be old. But that because this, their energy failed to provide anything in exchange for that, the phlegmatic recognition and the promise of economic aid for china ice and all that china is doing at this stage is basically just waving the syrian card in the face of the west. And saying, hey, thats one of the cards that we can actually use. Theres this region that you despise, that youre trying to isolate, we can rehabilitate that and work with it. I highly doubt china is genuinely interested in investing in syria. A china has a long history of giving promises and not follow