Morning business round-up: Greek vote awaited

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

The eyes of the business world are once again focused on Greece, where Greek MPs are set for a key crisis vote.

Politicians are expected to narrowly vote through a 28bn-euro (£25bn, $40bn) austerity plan by a narrow margin, but correspondents say it is unlikely to bring an end to the unrest.

If the austerity package it is not approved, Greece could run out of money within weeks.

In the UK, figures showed that service sector output dropped in April.

Data showed that the service sector contracted by 1.2% during April. But the statistics body that released the data, the ONS, said April was "unusual" because of the extra public holiday for the royal wedding, and the warmest weather for the month since records began.

Other UK economic news showed mortgage approvals were still subdued.

New mortgages approved for house purchase, but not yet lent, rose to 45,940 in May from 45,447 in April, the Bank of England said.

In Japan, figures showed that factory output rebounded more quickly than expected in May, as the economy continued to recover from March's earthquake and tsunami.

Industrial output jumped by 5.7% in May, compared with the previous month, according to the latest government data.

The visit to Europe by China's Premier, Wen Jiabao, continues to drum up business between the two regions. His trip to Germany resulted in the signing of $15bn worth of deals between China and Germany.

The Chinese Premier and German Chancellor Angela Merkel also targeted an increase of bilateral trade to 200bn euros over the next five years.

Media caption,

Biz Heads

US Treasury Secretary Timothy Geithner has been meeting India's Finance Minister Pranab Mukherjee at the second India-US Economic and Financial Partnership.

Mr Geithner said that the US sees India as key trade ally and added that the US wanted India to become one of its top 10 trading partners.

Finally, our Business Daily podcast is reporting on the latest developments in Greece, and is also in Washington to hear from one of the IMF's board members who was part of the decision to appoint Christine Lagarde as its new managing director.

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