Morning business round-up: Greek deal hailed


What made the business news in Asia and Europe this morning? Here's our daily business round-up:

Stock markets in Europe have risen after Thursday's agreement by European leaders to give Greece another 120bn euros ($170bn; £105bn) of support.

The money will come from the 17 eurozone countries and the International Monetary Fund (IMF).

There will be contributions from other lenders and fund-raising and cuts within Greece.

The Bank of England's new financial policy committee (FPC) has called for an audit of UK banks' exposure to the eurozone debt crisis.

The Bank's governor Sir Mervyn King said the debt problems of Greece and other countries posed "the most serious and immediate risk" to UK banks.

The FPC also called for banks to divert their profits towards building up their reserves against future losses.

All but three UK Habitat stores are being put into administration in a deal to sell the indebted furniture chain.

Home Retail Group, owner of Argos and Homebase, will buy the Habitat brand and three central London stores for £24.5m in cash.

Habitat said that Hilco was also in advanced talks with another party to sell the furniture company's profitable international business.

Media caption,
Biz Heads

EU leaders have voted for Italy's Mario Draghi to follow Jean-Claude Trichet as the head of the European Central Bank.

The European Parliament and the ECB board had already given their approval to Mr Draghi's appointment.

US federal regulators are preparing to issue court orders to Google and other companies as part of a probe into practices in Google's search engine business, US media report.

The Federal Trade Commission (FTC) is expected to open a formal inquiry within the next several days, the Wall Street Journal said.

Chubu Electric, Japan's third biggest utility, will receive an emergency loan to purchase alternative sources of power, as the country continues to face a shortage.

The company will get a 100bn-yen loan ($1.24bn; £775m) , it confirmed.

Chubu was forced to shut down its Hamaoka power station amid fears of nuclear accidents.

To hear about some of the wider trends in the world of business, listen to our Business Daily podcast which looks at whether the IMF can make a real difference to the problems of the world economy.

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