Posts Tagged 'economy'

POLICY ALERT: Rising Powers Converge in China for G-20 Summit

 

g20-2016-china

From September 4-5, China hosted this year’s G-20 Summit in Hangzhou, a city known for beautiful scenery and its historical West Lake. Launched in response to the 2008 global recession, the forum was an opportunity for the world’s 20 largest economies to convene and discuss major challenges. Although commentary in China and Russia was quite positive about the Summit’s results, others in India, Japan, and South Korea were less enthusiastic. The gathering was also part of Barack Obama’s last trip to Asia as president and was closely watched by rising powers for signs of what the future might have in store for the international political and economic order. In this Policy Alert, we examine commentary from China, Russia, India, Brazil, Japan, and South Korea on the G-20 Summit.

CHINA

China’s theme for the Summit was “Toward an Innovative, Invigorated, Interconnected and Inclusive World Economy.” As the host leader, Chinese President Xi Jinping urged leaders to avoid “empty talk” and instead seek “concrete actions to implement joint plans on sustainable development, green financing, and anti-corruption.” At a business focused event on the sidelines of the Summit, Xi promised China does “not seek to rewrite the international rulebooks” but instead wanted to “refine the existing mechanisms to facilitate global win-win cooperation.”

Most commentary in China hailed the Summit as a success and a clear sign of China’s rising economic and political strength on the world stage.

  • Wang Peng, associate researcher at Fudan University, identified a “Hangzhou Consensus” emerge from the Summit with leaders recognizing the need to “revitalize globalization” in a “more comprehensive, innovative, and inclusive manner.”
  • China Daily thought the host country left “its stamp on the G-20” by demonstrating “unswerving commitment to globalization,” expanding the existing global market system, fighting off protectionism, and aligning the G-20 agenda with UN development goals.
  • Global Times declared “multiple victories” for China at the Summit, including recognition of Chinese soft power in spite of Western criticisms.
  • Global Times blamed Western media outlets for making a “fuss over trifling issues” such as an awkward confrontation between Chinese officials and U.S. journalists/White House staff as Air Force One arrived in China.
  • China Daily praised Hangzhou’s tour as host city and proving “how China has become a leader of growth, as the city is home to many new businesses and new management models.”

(more…)

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Indo-Afghan Partnership Adds Fuel to Afghan-Pakistani Hostility

Torkham crossing along Afghanistan-Pakistan border. (Source: USAID)

Torkham crossing along Afghanistan-Pakistan border. (Source: USAID)

Indo-Afghan relations grew stronger as India’s prime minister, Narendra Modi, traveled to Afghanistan on June 3rd to inaugurate the Afghan-Indian Friendship Dam. The 42 megawatt hydroelectric dam is the result of a $273 million investment by the Indian Government to promote agriculture in Afghanistan’s Herat province. It is estimated that the dam will be able to soon irrigate 75,000 hectares of farmland.

Construction of the dam, originally named Salma Dam, had actually begun in 1976, but was halted when the Soviets occupied Afghanistan in 1979. The rebellion against Soviet occupation and the subsequent civil war greatly damaged the dam’s infrastructure. However, after the overthrow of the Taliban, India renewed its commitment to building the dam. Thus, although forty years after initially starting, construction of the dam is now complete.

The inauguration of the dam is only one of many recent steps towards stronger Indo-Afghan economic and political relations. Recently, the two powers – along with Iran – signed a regional corridor trade agreement. The key feature of the agreement is India’s pledge to finance the development of the Chabahar port, Iran’s only port with direct access to the ocean. In return, Iran agrees to a sea-land trade route to India via Afghanistan’s road networks. (more…)

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Policy Alert: After Brexit – Rising Powers React to Surprise British Vote to Leave EU

brexit 3

On June 23, the United Kingdom voted in favor of a referendum for the country to leave the European Union (EU). The 52-48 split vote in support of “Leave” panicked global financial markets and prompted a wave of largely negative reactions from world leaders who had previously urged British voters to “Remain.” Once the British Parliament ratifies the referendum, the country would exit the EU in two years. With U.K. Prime Minister David Cameron resigning in October after leading the effort to stay in the EU, the world watches how these events unfold and whether others, including Scotland and Northern Ireland, now pursue their own independence from Britain.

In this Policy Alert, we examine commentary from India, China, Japan, South Korea, and Russia (who reveled in the vote’s outcome) examining what the vote means for the future of Britain and the EU.

INDIA

Given the historical linkages between India and the United Kingdom, the “Brexit” – or British Exit – referendum vote was closely followed by leaders in New Delhi and the Indian public. There are 800 Indian companies across multiple sectors like pharmaceuticals, financial services, and IT operating in the U.K. and employing over a million people. (more…)

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Policy Report: Perspectives on U.S.-India Relations

Expanding ties between the U.S. and India now span the entire spectrum of foreign policy, inevitably giving rise to convergences and divergences. What are some of the biggest challenges and greatest opportunities in U.S.-India relations? The “Perspectives on U.S.-India Relations” panel, held at the George Washington University on October 5, outlined the contours of the U.S.-India relationship and prospects for its future. The session, sponsored by the Federation of Indian Chambers of Commerce and Industry (FICCI) and hosted by the Sigur Center for Asian Studies, was part of a broader daylong FICCI-GWU Foreign Policy Leadership Workshop introducing a leading group of Indian parliamentarians to U.S. foreign policy on current issues that are of major importance to India. Members of the Indian delegation included: (more…)

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China’s Economic “Soft Landing”? Views from China and the United States

This month, the International Monetary Fund published a report projecting that China’s economy is heading toward a “soft landing.” Although growth is expected to remain around 8% at least this year, the report created a stir. Today’s post summarizes recent Chinese and American commentary on China’s economic prospects.

CHINA

The main message in the officially-sanctioned press is that China’s economic slowdown is a normal result of ongoing efforts to restructure the Chinese economy and stimulate domestic demand.

  • There is “no need to panic about slowdown in China,” ran the headline of a People’s Dailyeditorial, while the more Hard Nationalist Global Times prescribed the following: “China’s economy must create more jobs, boost consumption by increasing individual incomes, and improve social harmony my reducing income disparity.”

UNITED STATES

U.S. opinion on the Chinese economy varied, with some predicting a fall of “apocalyptic” proportions, while others took a more optimistic stance. (more…)

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