Zone #1 Asia 89-90 - Gilani Foundation

Transcription

Zone #1 Asia 89-90 - Gilani Foundation
BPM- Zone 1- Asia Reports
Week # 89-90
1
SOUTH ASIA
No.89
BUSINESS AND POLITICS IN THE MUSLIM WORLD
South Asia
Ghashia Kayani
Weekly Report: from 11 October 17 October 2009
Presentation: 21 October 2009.
Summary:
In bangladesh at political front Prime Minister and ruling Awami League president
Sheikh Hasina, and leader of the opposition and BNP Chairperson Khaleda Zia have
agreed to attend the anti-poverty rally at Bangabandhu International Conference Centre.
Amid huge table-thumping, parliamen passed a bill in about five minutes on lifetime
security for independence architect Sheikh Mujubur Rahman's surviving family
members, which includes Prime Minister Sheikh Hasina, her sister Sheikh Rehana and
their children. At social front Prime Minister Sheikh Hasina asked the Ministry of
Education to work on forming a trust fund in an effort to ensure free education in the
primary and secondary level. At economic front Chairman of the Power Development
Board (PDB) ASM Alamgir Kabir said the government has no option but to raise the
electricity tariff to avert bankruptcy of the public companies in the business." Asian
Development Bank (ADB) will provide Ban-gladesh with a credit of US$744 million to
help the country overcome the impact of global economic crisis and implement public
policy reforms. At geo-strategic front Government alert on Myanmar border troop
buildup. In Srilanka at political front The proposed Vote on Account has been approved
by the Sri Lanka’s Cabinet, Mass Media and Information Minister Anura Priyadarshana
Yapa revealed, at the weekly press briefing which was held at the Government
Information Department to reveal the Cabinet decisions. Sri Lanka has been unanimously
elected for the Chairmanship of the Asian region at the 55th Annual General Conference
of the Commonwealth Parliamentary Association which held from 28th September to
06th October in the City of Arusha in Tanzania. Sri Lanka President Mahinda Rajapaksa
being greeted by covering with silk shawl Tamil Nadu MPs expressed satisfaction over
the measures taken by Sri Lanka to resettle the IDPs in the Northern province. At social
front The Texus Linen Private Limited was granted investment approval by the Board of
Investment (BOI) Sri Lanka to commence operations immediately. At economic front
The World Bank’s Investment Climate Advisory Service ranks the Board of Investment
(BOI) of Sri Lanka, as the best in South Asia for investor promotion and facilitation, BOI
Chairman Dhammika Perera told the media yesterday at the Government Information.At
geo-strategic front The Democratic Party of Japan assures continuous support to Sri
Lanka. In Nepal at political front President hopes that new constitution will help build a
just society, vows to fight against poverty. The three major political parties - the Unified
CPN (Maoist), Nepali Congress (NC) and CPN-UML- on Thursday agreed to form a
committee to prepare a common resolution motion to bail the country out of the current
political deadlock. At social front Eight more cases of pandemic influenza H1N1 (A)
known as swine flu have been detected in Nepal. At economic front A government drive
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to increase the number of poor Nepalis with legal identity documents, which are required
to gain access to essential benefits and services, is to receive support from the Asian
Development Bank (ADB).A $2 million grant from the ADB-administered Japan Fund
for Poverty Reduction (JFPR) will fund awareness raising programs and intensive
registration campaigns, states a press statement released by ADB. At geo-strategic front
Chinese top political advisor vows to enhance ties with Nepal, dubs Dahal's visit 'positive
and far-reaching'. In Bhutan at political front In the rush to endorse the bill,
contradictions have emerged, further delaying LG electionsLocal Government Act 2009
19 October, 2009 - The election commission of Bhutan (ECB) has said that the current
problem with the local government act 2009 could have been avoided if lawmakers and
the government had heeded their concerns over flaws in the act before it was endorsed.
At social front Three people were killed and two critically injured when the truck they
were traveling in went off the road on the way to Phuentsholing from Thimphu. At
economic front The economic affairs ministry has initiated a series of regulatory reforms
to create a more enabling environment for business. One of them is drawing up an
Enterprise Act that will require all types of businesses, where micro or large, to register
and give recognition to various types of enterprises. In Myanmar at political front
Myanmar’s prime minister, General Thein Sein, will attend the annual Association of
Southeast Asian Nations summit in Thailand this week Detained Burmese democracy
icon Aung San Suu Kyi met her legal counsels and went over plans to appeal at the High
Court. At economic front China and Myanmar agreed to work together to ensure
stability along their border, state media said, after violence erupted on the Myanmar side
in August that pushed thousands of refugees into China. At geo-strategic front The
Indian Ministry of Home Affairs has directed the Assam Rifles, a paramilitary force
based in the North-eastern region, to move closer to the India-Burma border and to
intensify operations in curbing illegal activities, including insurgency along the
borderIndian.
Detailed news report:
Bangladesh:
Political:
• Hasina, Khaleda to be on the same dias tomorrow
• Father of Nation Family Members Security Bill passed by Parliament
Social:
• PM asks ministry to form trust fund to make education free
Economic:
•
•
•
•
BD to send 5 lakh job-seekers abroad by yearend
Power sector needs $ 10 b investment to get rid of load shedding: PDB
DSE turnover hits Tk 11b mark in three months
ADB approves $744m credit to Bangladesh
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Geo-strategic:
•
Government alert on Myanmar border troop buildup: Tuku
Hasina, Khaleda to be on the same dias tomorrow
Prime Minister and ruling Awami League president Sheikh Hasina, and leader of the
opposition and BNP Chairperson Khaleda Zia have agreed to attend the anti-poverty rally
at Bangabandhu International Conference Centre (transcending their usual bitter political
animosities.A 3-day countrywide programme has been chalked out, including the Antipoverty Rally, first of its kind, to stage the orchestrated campaign from Friday to Sunday
(Oct 16-18) to mark the International Poverty Alleviation Day on Saturday.Bangladesh
Parliament, All-Party Parliamentary Group (APPG), the Govern-ment of Bangladesh, and
People's Empowerment Trust (PET) with the support of the United Nations Millennium
Campaign (UNMC) have organized the mega-event. Speaker Abdul Hamid, also
chairperson of the newly formed Anti-Poverty Campaign National Committee (APCNC),
said synchronized calls would be made to the countrymen by the two top leaders of the
two main political parties of the country Saturday from a same dais for fighting against
poverty. The theme of the Anti-Poverty Rally is "Jatiya Oikya Rukhbe Daridra (National
Unity will Face Poverty)"Speaker Abdul Hamid, who will preside over the event, will
administer oath at the national-unity meet at BICC when all in the assembly, including
PM Sheik Hasina and ex-PM Khaleda Zia, will pronounce the oath all together, the
reporters were told. Chief Whip Abdus Shahid and Opposition Chief Whip Zainul Abdin
Farroque, both co-chairpersons of the national committee, also spoke at the press
conference.Replying to a question, Speaker Hamid said his initiatives and efforts to bring
back the boycotting opposition BNP in parliament were on and would continue until they
come back to the House.
Father of Nation Family Members Security Bill passed by Parliament
Amid huge table-thumping, parliamen passed a bill in about five minutes on lifetime
security for independence architect Sheikh Mujubur Rahman's surviving family
members, which includes prime minister Sheikh Hasina, her sister Sheikh Rehana and
their children. State minister for home Shamsul Haq Tuku proposed adoption of the bill
at around 5:15pm. It was passed by voice at around 5:20pm after adoption as Tuku urged
the House to clear the bill. Hasina, also leader of the parliament, was present during the
passage. Home minister Sahara Khatun tabled the controversial Father of the Nation
Family Members Security Bill 2009 in parliament on Oct 5, and the House sent it to the
standing committee for further scrutiny. The standing committee on Oct 11 okayed its
recommendations in 10 minutes. The law will stipulate the government to provide them
with protection by Special Security Force and accommodation wherever they want.
Rehana along with her children live in London. The Awami League government has said
the law is needed as Hasina, Rehana and their family members face threats to their
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security. The main opposition BNP, now boycotting parliament, has termed the bill
"unprecedented" anywhere in the world.Hasina's father and Bangladesh's founding father
Sheikh Mujibur Rahman along with most of his immediate family were assassinated in a
military putsch on Aug 15, 1975. The previous Awami League administration passed a
similar bill in June 2001 giving Hasina and her sister special security. The subsequent
BNP government coming to power in Oct 2001 repealed the bill in December of that
year.
PM asks ministry to form trust fund to make education free
Prime Minister Sheikh Hasina asked the Ministry of Education to work on forming a trust
fund in an effort to ensure free education in the primary and secondary level. "I want to
make education free to ensure that nobody is deprived of education," she was quoted to
have told a meeting of the Executive Committee of the National Economic Council
(ECNEC) at the NEC conference room.The ECNEC chairperson, Sheikh Hasina,
presided over the meeting that approved five development projects of Tk 1,486 crore,
including a Tk 688 crore secondary education stipend project (SESP). Two other stipend
projects are already in operation. Replying to a question at a press briefing after the
meeting, Planning Secretary Habibullah Majumder said the Prime Minister has asked the
Education ministry of making stipend for school students a permanent arrangement
instead of the existing temporary ones.He said that the Prime Minister advised to pool all
the funds from different projects dedicated to stipend for school students and form the
trust fund so that the primary and secondary education could be made free.Of the threeyear (2009-12) stipend project approved Tuesday, Tk 237.59 crore would be spent during
the current fiscal year for poor students of 305 upazillas in 56 districts.
"Both the amount of stipend and the number of beneficiaries have been increased under
the project," said the Planning Secretary. He said the meeting also approved a project of
Tk 241 crore to construct 139 new food godowns at 76 upazillas in 15 districts of
Rajshahi Division during the 2009-11 periods to increase food storage capacity and
facilitate emergency stock.Of the godowns, 81 will be of 1,000 ton capacity and the rest
58 will be of 500 tons each, making a total storage capacity of 110,000 metric tons.
Around 70 percent of the country's annual food procurement target comes from the
northern region of the country, according to a document placed at the meeting.
BD to send 5 lakh job-seekers abroad by yearend
Bangladesh is going to send some 5 lakh job-seekers abr-oad by this yearend, as new
overseas job markets are being found out by the government. Expatriate Welfare and
Overseas Employment Min-ister Engr Khandaker Mos-harraf Hossain said on Thursday,
sounding a note of warning against any fraud on part of the manpower exporters."Of
them, Saudi Arab will take some two lakh Bangl-adeshis after the beginning of their six
mega-city projects and Iraq take more than 1 lakh," the Minister told a meeting at the
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city's Bureau of Manpower, Employment and Training (BMET) building.Labour and
Employment and Expatriate Welfare and Overseas Employment Mi-nistry organized the
view-exchange meeting with Sramik-Karmachari Oikya Parishad (SKOP) leaders.State
Minister for Labour and Employment Munnujan Sufian, BMET Director-General
Khurshed Alam and SKOP leaders Shah Abu Zafar, Abdul Matin Master and Roy
Ramesh were among others present at the meeting. Khandaker Mosharraf Hossain, also
Labour and Employment Minister, said the government has taken a move to formulate a
complete lobour-migration framework to curb illegal migration.He said in the last ten
months, some 42 thousand labourers returned from abr-oad after completing their
approved job tenures."Not a single labourer was made to return forcibly during the last 10
months," Mosh-arraf Hossain added. Terming manpower export a boom-sector, the
Expatriate Welfare and Overseas Employment Minister said the government would take
stern action against manpower businessmen if they tried to spoil the sector by doing any
malpractice or illegal competition. "The government has made a move to sign an
agreement with its labour-market countries to settle a minimum plane fare and other
facilities with Bangladesh," the Minister told the leaders of the labour coalition.The
Minister said Ban-gladesh will export its green vegetables to the expatriates under
government-declared 'One Home, One Farm' project to promote local production on the
international market. About the Bangladesh Labour Act 2006, the he said the law will be
passed within six months after consulting stakeholders to ensure the proper labour rights
and minimum wages.
Power sector needs $ 10 b investment to get rid of load shedding: PDB
Chairman of the Power Development Board (PDB) ASM Alamgir Kabir said the
government has no option but to raise the electricity tariff to avert bankruptcy of the
public companies in the business."We have no option but to rationalizing the tariff, or
else, our companies will become bankrupt," he told a workshop organized for journalists
at the PDB headquarters.A petition of the PDB seeking permission to raise the electricity
price by 24.31 percent at the retail-consumer level remains pending with the Bangladesh
Energy Regulatory Commission (BERC).However, BERC will announce its decision by
January next as it already held a public hearing on the issue. All the stakeholders,
including business bodies, vehemently opposed the move. Alamgir Kabir said the stateowned body has to suffer a loss by Tk 0.24 per unit at the distribution level and Tk 1 per
unit at the generation level. He told the journalists that the government moved to install a
number of power plants with 530 MW-capacity each on rental basis by the private
sponsors. The move was undertaken as an immediate measure to minimize the chronic
power crisis.The PDB will purchase electricity from the plants at a relatively higher rate
which will ultimately lead to increased losses. "To come to a breakeven point, we have to
increase electricity tariff at least." He said the government has moved to add some 3,547
MW of electricity to the national grid by 2014 to bring the country to a zero loadshedding level.A good number of power plants will be set up in both the private and
public sectors, and it will need about US$ 10 billion to invest in the power sector under
short, medium and long-term plans. Of the amount, $ 7 billion will require to be invested
in generation segment while the rest $ 3 billion in transmission and distribution segments.
Speaking on the occasion, State Minister for Power and Energy Enamul Haque said the
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government will maintain transparency in the power plant installation process.Power
secretary Abul Kalam Azad said the media should play a positive role in motivating the
people about the necessity of power tariff rationalization.
DSE turnover hits Tk 11b mark in three months
The turnover at Dhaka Stock Exchange (DSE) crossed Tk 11 billion on Tuesday,
reaching the level of high transactions in over three months.It stood at Tk 11.03 billion
during the day's trading, making the bourse's second highest level after Tk 11.49 billion
recorded on July 2 this year. Stockbrokers said the investors had to pay higher prices for
shares, causing increased turnover. Most shares registered gains on the day as investors
took position on profit expectation as the market went through price correction Monday,
they added. Of the total 239 issues traded on the day, 190 registered gains and only 49
incurred losses, dragging the DSE benchmark index (DGEN) to its new high of 3,280
points, with a gain of 43 points or 1.34 percent over previous day's 3,237 points.The All
Share Price Index (DSI) rose 39 points or 1.43 percent to close at 2,750 and the DSE-20
of selective shares increased 44 points or 1.93 percent to close at 2,305 points. Bextex,
Beximco, Jamuna Oil, Navana CNG, Titas Gas, Makson Spinning, Beximco Pharma,
Meghna Petroleum, S Alam CRST, and Intech Online were the turnover leaders in terms
of value. The day's volume leaders were Bextex, Aims 1st Mutual Fund, Makson
Spinning, Intech Online, Beximco, Goldenson, Beach Hatchery, Quasem Dry Cell,
Navana CNG and Jamuna Oil. Legacy Footwear, Intech Online, Miracle Industries,
Dulamia Cotton, Desh Garm-ents, Quasem Dry Cell, Al-Haj Textiles, Sino Bangla, Gulf
Foods and BD Welding were the top gainers of the day.
ADB approves $744m credit to Bangladesh
Asian Development Bank (ADB) will provide Ban-gladesh with a credit of US$744
million to help the country overcome the impact of global economic crisis and implement
public policy reforms. ADB's Board of Directors at its meeting in Manila on Tuesday
approved a credit of US$500 million under the "countercyclical support facility (CSF)"
and three separate loans totaling US$244 million under the public expenditure support
facility (PESF), according to a message received here on Tuesday. The $500 million CSF
loan is to support the efforts to mitigate the worst effects of the global economic crisis in
the short term and to continue the country's development programs. The three PESF loans
($244 million) are to support measures to introduce economic and social policy reforms
essential for achieving higher and more inclusive long-term growth and strengthening
social safety net programs. "The CSF loan will provide crucial support to the
Government as it acts to stimulate Bangladesh's economic recovery and push ahead with
its social safety net programs to cushion the impact of the crisis on the poor and
vulnerable while maintaining macroeconomic stability," said Kunio Senga, Director
General of ADB's South Asia Department. "The PESF is equally vital to help the
Government deliver key public policy reforms to improve service delivery, enhance the
efficiency of social safety net programs, especially for the poorest and most vulnerable,
including women, promote public-private partnerships and improve the investment
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climate, and strengthen management of scarce public resources." Sound economic
management has enabled Bangladesh to weather major external shocks and sustain its
growth momentum, even if it has not been spared from the adverse effects of rising
petroleum and commodity prices, and natural disasters such as floods and cyclones, said
a statement.
Government alert on Myanmar border troop buildup: Tuku
State Minister for Home Affairs Shamsul Huq Tuku ruled out reasons for getting worried
but said there must be alert in place over the reported Myanmar security buildup on the
frontier with Bangladesh.Talking to reporters at his ministry on Wednesday, he observed
it is the duty of the government to protect the nation's sovereignty and maintain law and
order in the country."The government is taking measures cautiously in this respect," said
the State Minister for Home Affairs about the neighbor's reported military movements,
apparently over the maritime-boundary disputes. The contentions compounded when
Bangladesh is leasing out offshore hydrocarbon blocks to two foreign companies-one US
and another Irish, for gas exploration within the country's territorial waters in the Bay of
Bengal.On an intelligence report that some Myanmar Rohingyas sneaked into the country
and might stage unwarranted incidents, he said the government would deal with the
matter lawfully.
Sri lanka:
Political:
• Sri Lanka: Cabinet Approval Sought for the Vote on Account
• Commonwealth Parliamentary Association: Sri Lanka unanimously elected to
hold next Asian Region Chairmanship
• President Rajapaksa to inaugurate the 8th Asia Cooperation Dialogue
Ministerial Meeting in Colombo
• Tamil Nadu MPs expressed satisfaction over measures taken by Sri Lanka to
resettle IDPs
Social:
• Sri Lanka to Manufacture Terry Towels and Bed Linen for Hospitality and
Health Care Sectors
Economic:
• Sri Lanka’s BOI Ranks as the Best in South Asia
Geo-strategic:
•
The Democratic Party of Japan assures continuous support to Sri Lanka
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Sri Lanka: Cabinet Approval Sought for the Vote on Account
The proposed Vote on Account has been approved by the Sri Lanka’s Cabinet, Mass
Media and Information Minister Anura Priyadarshana Yapa revealed, at the weekly press
briefing which was held at the Government Information Department to reveal the Cabinet
decisions.President Mahinda Rajapaksa as the Finance and Planning Minister of the
United People’s Freedom Alliance government submitted the cabinet paper. The Cabinet
spokesman Anura Yapa said that the Vote on Account will be tabled in Parliament by the
middle of November.The Vote on Account is brought to finance the ongoing government
expenditure for a period of four months commencing from the first day of January 2010,
until the passing of the 2010 Appropriation Bill by a new government which succeeds
after a parliamentary general election. The Vote on Account is brought to finance
ongoing government expenditure for a period of four months commencing from the first
day of January 2010, until the passing of the 2010 Appropriation Bill. Minister Yapa also
said that the Vote on Account comprised of Recurrent Expenditure Rs.197, 478,109,000,
Capital Expenditure Rs.158, 987,398,000 and advanced account activities of Rs.6,
222,467,000.
Commonwealth Parliamentary Association: Sri Lanka unanimously elected to hold
next Asian Region Chairmanship
Sri Lanka has been unanimously elected for the Chairmanship of the Asian region at the
55th Annual General Conference of the Commonwealth Parliamentary Association which
held from 28th September to 06th October in the City of Arusha in Tanzania.A
delegation headed by the Minister of Power and Energy, John Seneviratne attended this
conference held in Arusha, Tanzania. The Deputy Speaker Priyankara Jayaratne, Minister
of Housing and Common Infrastructure Facilities Farial Ashroff, Edward Gunasekara
MP, Namal Karunaratne, and Samansiri Herath were the other members of this
delegation.The Chairmanship of the Commonwealth Parliamentary Conference is
changed once in 3 year’s duration and Pakistan was functioning as the Chairman of this
Association during the recent past. The explanations made by the Minister of Power &
Energy, John Seneviratne and Minister of Housing and Common Infrastructure Facilities,
Farial Ashroff that no considerable active programme was being implemented in the
Asian Region Parliamentary Association during the recent past, Sri Lanka was awarded
the Chairmanship at this 55th Annual General Conference of the Commonwealth
Parliamentary Association” said Dhammika Dissanayake, Parliamentary Secretary of the
Asian Region.Approximately 850 parliamentary representatives from 53 countries
participated at this 55th Annual General Conference of the Commonwealth Parliamentary
Association.The explanations made by the Minister of Power and Energy John
Seneviratne on the success of the plans and strategies adopted by Sri Lanka in the recent
past to combat terrorism, received much recognition at this Conference.Focus of this
conference has been on violence against women, youth leadership, the future democracy
and the prevention of terrorism. The Commonwealth Parliamentary Conference had its
special admiration on the successful measures adopted by Sri Lanka to overcome
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terrorism during the recent past.According to Dhammika Dissanayake, Parliamentary
Secretary of the Commonwealth Parliamentary Association, it has brought a special glory
to Sri Lanka when Housing and Common Infrastructure Facilities Minister, Farial
Ashroff was appointed to represent the Women Empowerment of the Asian Region in
this Conference and the appointment of the Speaker of Sri Lanka Parliament to the
Executive Board of the South Asian Region added much grandeur.
President Rajapaksa to inaugurate the 8th Asia Cooperation Dialogue Ministerial
Meeting in Colombo
Sri Lanka President Mahinda Rajapaksa will today inaugurate the 8th Asia Cooperation
Dialogue (ACD) Ministerial Meeting in Colombo at the BMICH.Sri Lanka President
Mahinda RajapaksaThe theme of this year’s meeting is ‘Spirit of Asia: Global Economic
Recovery and Development Prospects’. Foreign Minister Rohitha Bogollagama will chair
the Ministerial Meeting.A large number of Foreign Ministers, Deputy and State Ministers
of Foreign Affairs from the 31 member countries are scheduled to attend this Meeting.
Sri Lanka offered to host this prestigious grouping at the 6th ACD Ministerial Meeting
held in Seoul, Republic of Korea and accordingly, at the 7th ACD Ministerial Meeting
held in Astana in Kazakhstan, the member countries decided to hand over the Chair to Sri
Lanka and to host the next Ministerial Meeting.Assumption of the Chair of the ACD is in
addition to Sri Lanka holding the position of the Chair of the SAARC. Sri Lanka is also
scheduled to chair the next G-15 meeting. It is perhaps the first time that Sri Lanka is
holding the Chairmanship of three important international and regional organizations
simultaneously. The Senior Officials Meeting of the ACD was held on 14th October
2009.
Tamil Nadu MPs expressed satisfaction over measures taken by Sri Lanka to
resettle IDPs
Sri Lanka President Mahinda Rajapaksa being greeted by covering with silk shawl Tamil
Nadu MPs expressed satisfaction over the measures taken by Sri Lanka to resettle the
IDPs in the Northern province.The Tamil Nadu Parliamentarians, a total of 10 of them,
who came to Sri Lanka on a fact finding mission, mostly about the Internally Displaced
Persons, presently quartered in the welfare centres in Vavuniya, met yesterday Sri Lanka
President Mahinda Rajapaksa and urged for the speedy resettlement of the IDPs, but they
were also appreciative of the actions taken by the government so far, in this direction. Sri
Lanka President emphasized that de-mining must be done first before any resettlement.
The Tamil Nadu delegation thanked the Sri Lankan President for the invitation extended
to them to visit Sri Lanka and appreciated the arrangements made for their visit and also
the meeting with the President. With regard to discussions on a political settlement to the
ethnic question, the President Mahinda Rajapaksa said that any settlement must be one
that is accepted by all communities and by Sri Lanka's neighbor. This was the first time
Sri Lankan President has openly said that the political solution has also to be satisfactory
to ‘Sri Lanka's neighbor’ – which means India. The President emphasized the multiethnic
nature of the Sri Lankan society referring to the 65% of Tamils who live in Colombo.The
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delegation expressed fears about oncoming monsoon rains but they were assured that
required steps have been taken to ensure that no hardships are caused to the IDPs.Senior
advisor to the President, Mr. Basil Rajapaksa, MP, explained that within two days the
crowding in the centres will begin to be reduced with increased resettlement. President
also said that he is glad that the MPs came because it is important for people to assess the
situation themselves as there were many misconceptions and false information being
spread regarding Sri Lanka's IDPs.
Sri Lanka to Manufacture Terry Towels and Bed Linen for Hospitality and Health
Care Sectors
The Texus Linen Private Limited was granted investment approval by the Board of
Investment (BOI) Sri Lanka to commence operations immediately. The company is in the
process of commencing operations in their plant in Panadura just 30 kilo meters away
from Colombo.BOI Chairman Dhammika Perera at the agreement signing ceremony said
that the Government of Sri Lanka has taken a policy decision to assist private sector
companies which come forward to strengthen the country’s economy. The investment
agreement signed with Texus Linen is a project to produce towels and bed linen for the
local hospitality and healthcare industry and the BOI Chairman said that the project
would cut the import cost of local hospitality and healthcare industry linen in a big
way.The new business venture will be kicked off with an initial investment of Rs 35
million providing employment opportunities for 50 employees at the first stage. The
Texus Linen hopes to double the number soon and they have also planned to offer value
added services such as printing and embroidery of names, logos and designs as per the
requirements of their clients.
Sri Lanka’s BOI Ranks as the Best in South Asia
The World Bank’s Investment Climate Advisory Service ranks the Board of Investment
(BOI) of Sri Lanka, as the best in South Asia for investor promotion and facilitation, BOI
Chairman Dhammika Perera told the media yesterday at the Government Information
Department.The Chairman said that the BOI has been described as the only “Good”
performing Investment Promotion Intermediary (IPI) in South Asia in the latest issue of
Global Investment Promotion Benchmarking 2009.BOI having received a score of 64 out
of 100 and has shown a remarkable progress out of 181 countries surveyed for the report.
“Middle-income countries are showing immense progress in competing for mobile
investment, particularly in Brazil, Botswana, Colombia, Lithuania and Turkey. Lowerincome countries like Honduras and Sri Lanka, which offer strong facilitation services,
are evidence that a country’s income is not linked to performance,” the BOI head
added.Enterprise Development and Investment Promotion Minister Anura Priyadarshana
Yapa speaking at the same press briefing said that Sri Lanka provides maximum facilities
for the investment and they continue it as a government policy for the uplift of the
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country’s economy. He also added that the World Bank’s ranking is a testimony to the
various improvements made in recent years for expeditious and courteous investor
facilitation and it is a major boost to Sri Lanka’s profile globally.BOI Chairman proudly
said that the amount which the BOI has attracted in the last four years’ under the United
People’s Freedom Alliance Government and President Mahinda Rajapaksa’s leadership
exceeds the amount which the BOI had attracted in the past 27 years’ period from its
inception. The BOI has succeeded in attracting US$ 2.8 billion in Foreign Direct
Investment since 2006, as opposed to US$ 2.7 billion only, between 1997 and 2005. The
report, Global Investment Promotion Benchmarking 2009, surveys the performance of
national and sub-national IPIs in 181 countries, presenting one of the most
comprehensive benchmarking tools ever. BOI’s Chairman Perera also pledged that he
would study the present failures in the BOI facilitation system and by 2010 he would
score 100 percent from the World Bank rankings.
The Democratic Party of Japan assures continuous support to Sri Lanka
Resettlement of Internally Displaced Persons (IDPs) is foremost on the Government of
Sri Lanka’s agenda in the post-conflict phase, Foreign Minister Rohitha Bogollama said
when he met with members of the All Party Parliamentary Delegation from Japan on 13th
October 2009 at the Ministry.The delegation of Rules and Administration Committee of
the House of Councillors, the National Parliament of Japan are currently in Sri Lanka on
a two day good will visit, on an invitation extended by the Speaker of the Sri Lanka
Parliament.Welcoming the Parliamentary delegation from Japan, the Foreign Minister
recalled the historical links between Sri Lanka and Japan which date back to over a
millennium and stated that these traditional bonds were developed have developed to be
more valued political and economic ties during the latter part of the last century.
Referring to the political process, Foreign Minister Bogollagama stated that the
Government of Sri Lanka is fully committed to a political process that will lead to a
lasting solution and devolution of power in a wider context. The Foreign Minister stated
that the friendship with Japan was a “special one” and acknowledged that Japan
continues to be a strong partner in Sri Lanka’s development process throughout the years.
Foreign Minister stated that Sri Lanka is looking forward to engage with Japan in a more
constructive manner with a view to enhancing the existing relations in areas of common
interests, particularly in the field of investment.Referring to the longstanding relationship
which exists between Sri Lanka and Japan, the Head of the Parliamentary delegation Mr.
Shuji Ikeguchi, Member of Parliament representing the Democratic Party of Japan, stated
that Sri Lanka has been included as a new focal point for Asia under the new
government’s Foreign Policy and assured the continuation of development assistance. A
representative from the Japan’s main opposition party, Liberal Democratic Party hailed
Sri Lanka’s victory over terrorism after more than two decades and assured the Liberal
Democratic Party’s support for Sri Lanka. While noting the concerns of some countries
on human rights issues in Sri Lanka, the representative of the Liberal Democratic Party
reiterated the party’s commitment to extend the same level of cooperation and support to
Sri Lanka.
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Nepal:
Political:
• Prez hopes new constitution will help build a just society, vows to fight
against poverty
• Big three form taskforce to give way out to political deadlock
• Parties agree on flexible constitutional amendment procedures, but differ on
national symbols
Social:
• Eight more cases of swine flu detected
Economic:
•
•
Govt to amend industrial, foreign investment policy
ADB pledges $ 2 million to give legal identity to poor Nepalis
Geo-strategic:
• Chinese top political advisor vows to enhance ties with Nepal, dubs Dahal's
visit 'positive and far-reaching'
Prez hopes new constitution will help build a just society, vows to fight against
poverty
Chief of Army Staff (CoAS) Chhatra Man Singh Gurung (left) and immediate past
president of Non-Resident Nepali Association Upendra Mahato jointly inaugurating a
baily bridge constructed over Karra stream in Hetauda, Makwanpur, on Friday, October
16, 2009. Photo courtesy: DPR society through a new constitution while pledging
commitment to achieve the millennium development goals chief among which is ending
poverty."We are committed to build a just society through a new constitution. Let's all
commit to achieve the millennium development goals not only for today but for every
day," Dr Yadav said addressing a gathering of more than four hundred people including
ministers, Constituent Assembly members, the diplomatic corps, UN Agency heads,
media and civil society at Shital Niwas, the President's office.Those gathered at Shital
Niwas were asked to stand up while the President read the pledge against poverty, "We
are standing up today to express solidarity with people all over the world to fight against
poverty and inequality. We want an end to poverty and inequality."He further said, "We
want to create a society where mothers don't die while giving birth. Children will have
the right to quality education. No one will die due to diseases. Overall environment
justice and sustainable development will be ensured by conservation and proper use of
natural resources. The decisions made by the policy makers will not be for their personal
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13
gain but for the benefit of the poor and marginalized people as well."Speaking on behalf
of the government of Nepal, Dr. Yubaraj Khatiwada, vice-chairperson of the National
Planning Commission reiterated the government's commitment to end poverty in the
country.He said that the government has taken efforts to streamline poverty alleviation in
the national development planning process to meet the Millennium Development
Goals.On the same occasion, the Resident and Humanitarian Coordinator of the UN
System in Nepal, Robert Piper, addressed the gathering and highlighted the conscientious
efforts of the UN system in adding value to Nepalis government's efforts in meeting the
MDGs.
Big three form taskforce to give way out to political deadlock
The three major political parties - the Unified CPN (Maoist), Nepali Congress (NC) and
CPN-UML- on Thursday agreed to form a committee to prepare a common resolution
motion to bail the country out of the current political deadlock.The decision to draft the
motion to be tabled at the legislature parliament was taken at the meeting between the
three parties at the Parliamentary Party office of the UCPN (Maoist).The committee
comprises Dev Gurung from UCPN (Maoist) and Yuvaraj Gyawali from CPN-UML
while the NC is yet to select its member.Talking to media-persons after the meeting,
Arjun Narsingh KC, who is also NC's spokesperson, said that the three parties are now
closer to reaching a consensus on jointly addressing the present political
deadlock.However, vice-chairman of UCPN (Maoist) Dr Baburam Bhattarai, who also
participated in the meeting, said that the draft of the common resolution motion should
mention as "unconstitutional" the President's move of reinstating former Army chief
Rookmangud Katawal by overturning the decision of the erstwhile Maoist-led
government to sack him.But the NC and UML are thoroughly against the Maoist demand,
saying that it will be a disrespect of both the President and the Army if they include such
language in the proposal.
Parties agree on flexible constitutional amendment procedures, but differ on
national symbols
Lawmakers at the meeting of the Constitutional Committee (CC) of the CA demanded
"easy and flexible provisions" to make amendments in the new constitution except those
concerning its basic tenet and spirit. At the discussion on the constitutional amendment in
the CC Thursday, lawmakers said that the flexible provisions will ease amendment
procedure in the constitution except clauses pertaining to fundamental rights and press
freedom.The lawmakers representing the spectrum of political parties said that a
referendum can be held if any amendments needs to be made in the constitution regarding
those two issues (fundamental rights and press freedom).Speaking at the meeting, Unified
CPN (Maoist) leader Dev Gurung argued that the new constitution should not be drafted
"very loosely" assuming that it should be flexible and not "very rigorously" also
maintaining that it should be a precise document and hence unalterable.However, Nepali
Congress vice-President and Parliamentary Party leader Ram Chandra Poudel said that
his party won't tolerate provisions for amendments on the issue of republicanism, rule of
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14
law and independent judiciary in the constitution.But we are in favor of easy provisions
to make amendments in other issues pertaining the constitution excepts these three, he
said.On the other hand, CPN-UML's leader Bhim Rawal said that the rights of the people
should not be strictly regimented and that it needs to be defined anew with the changes of
time.He further warned that the constitution might be a victim of 'status-quo' if a rigorous
procedure is put in place for making constitutional amendments.On Wednesday, political
parties differed over the issue of whether to retain or change the national flag, national
song and national emblem.
Eight more cases of swine flu detected
Eight more cases of pandemic influenza H1N1 (A) known as swine flu have been
detected in Nepal, the Health Ministry said Thursday.Ministry officials told journalists at
a press conference organised in the capital that the flu has been detected in eight persons
undergoing treatment in Kathmandu. Five of them are residents of Kathmandu, while
three are from Chitwan.The samples were collected from patients undergoing treatment
for flu in Bir Hospital, Patan Hospital, and Kanti Children’s Hospital.This is the first time
swine flu has been seen within the community.Although, 36 swine flu cases were
detected earlier, all of them were found in persons returning from foreign country and all
of them have recovered fully.
Govt to amend industrial, foreign investment policy
With an aim to create investment-friendly atmosphere for Non-Resident Nepalis (NRNs)
the government has decided to amend the Industrial as well as Foreign Investment and
Technology Transfer Act.The draft of industrial policy was forwarded to cabinet on
February 14 and the Foreign Investment and Technology Transfer Act was prepared on
June 17.According to officials at the Ministry for Industry and Commerce, the industrial
policy will be amended by giving priority to such provisions which will facilitate NRNs
to invest in Nepal.Even though the ministry has not constituted a separate task force to
amend the two different policies, it has assigned some officials to look after the
amendment issue.The ministry has also initiated necessary discussion with stakeholders
to determine the amendment module. It is understood while modifying the industrial
policy, subjects like investment-friendly environment for NRNs, labour problem and
small and medium scale industries will be accentuated.
ADB pledges $ 2 million to give legal identity to poor Nepalis
A government drive to increase the number of poor Nepalis with legal identity
documents, which are required to gain access to essential benefits and services, is to
receive support from the Asian Development Bank (ADB).A $2 million grant from the
ADB-administered Japan Fund for Poverty Reduction (JFPR) will fund awareness raising
programs and intensive registration campaigns, states a press statement released by ADB
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15
on Wednesday. "The poor and vulnerable in Nepal have very little access to goods,
resources, and opportunities such as social welfare benefits or free school textbooks, and
one of the reasons for this is they don't have legal identity documents, such as birth,
citizenship, migration, marriage, and death certificates," the statement quoted Jogendra
Ghimire, counsel at ADB's Office of the General Counsel as saying. It is estimated that at
least 75% of Nepal's population do not have a birth certificate, and that between 3 million
and 5 million people eligible citizens have not acquired citizenship.An outdated and
complex legislative framework, burdensome procedures, low awareness among
government officials and the general public, high registration costs, discrimination, and
low capacity have all contributed to the lack of legal documentation among the poor,
according to the press statement.The ADB project will be implemented over four years in
the districts of Kathmandu, Jhapa, Ilam, Bhaktapur, Latitpur, Palpa, Rupandehi, Mustang,
Kailali, and Dang. It will aim to provide birth certificates and other identity documents to
at least 80% of residents in the target areas, and ensure individual details are logged in a
computerized civil registration system able to be accessed by relevant government
departments. Registration training for civil servants and a public awareness campaign
will also be conducted.
Chinese top political advisor vows to enhance ties with Nepal, dubs Dahal's visit
'positive and far-reaching'
The visit by Chairman of Unified Communist Party of Nepal (Maoist) Pushpa Kamal
Dahal ' Prachanda' to China will have "positive and far-reaching" impact on relations
between Nepal and China, said China's top political advisor on Monday. Jia Qinglin (R),
chairman of the National Committee of the Chinese People's Political Consultative
Conference (CPPCC), shakes hands with Chairman of Unified Communist Party of Nepal
(Maoist) Pushpa Kamal Dahal 'Prachanda' in Beijing, capital of China, on Monday. Photo
courtesy: Xinhua "Your visit to China will have positive and far-reaching impact on
relations between the two countries as well as relations between the two parties," Jia
Qinglin, chairman of the National Committee of the Chinese People's Political
Consultative Conference (CPPCC) was quoted as telling Dahal at a meeting in the
Chinese capital Beijing.Jia, who is also member of the Standing Committee of the
Communist Party of China (CPC) Central Committee Political Bureau, further vowed to
boost ties with Nepal, according to China's official news agency Xinhua.Jia said the
relationship between China and Nepal has developed healthily with joint efforts of both
sides since they established diplomatic ties."The two countries set an example for treating
each other on an equal foot, friendly co-existence and mutually-beneficiary cooperation,"
he said.Jia also appreciated Nepal's firm support on issues concerning China's "core
interests", saying China hopes relevant parties in Nepal could advance peace
process."China is willing to work with Nepal in deepening substantial cooperation,
enhancing party-to-party communication and pushing forward China-Nepal neighborly
partnership," Jia said, adding that the UCPN-M will learn from the CPC's experience in
governance through "inter-party exchanges to make joint contribution to our traditional
friendship."
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16
Bhutan:
Political:
• Passed but flawed
Social:
• Three killed in accident
•
Bold plan to address nursing shortage
Economic:
• Reforms to create a more enabling environment for business
Geo-strategic:
Passed but flawed
In the rush to endorse the bill, contradictions have emerged, further delaying LG
electionsLocal Government Act 2009 19 October, 2009 - The election commission of
Bhutan (ECB) has said that the current problem with the local government act 2009 could
have been avoided if lawmakers and the government had heeded their concerns over
flaws in the act before it was endorsed. Recently the LG bill has come under scrutiny
with the ECB saying that it is not in line with the Constitution and other electoral
laws.Contrary to popular thinking that LG elections could be held after the Act was
passed, it now emerges that one more session of Parliament is required to get approval for
changing boundaries of LG government and a list of thromdes before the elections can be
held.“In 2007 when the old local government bill 2007 was being drafted, we pointed out
that there were inconsistencies between the bill and the draft Constitution, but they
weren’t addressed and passed as the LG Act 2007,” said the chief election commissioner,
Dasho Kunzang Wangdi. “Later it was mainly due to differences between the bill and the
Constitution that lead to a new LG Bill being drafted.”While the drafting of the LG Bill,
2009 was going on by the ministry of home and cultural affairs (MoHCA), with
consultations and input from MPs, Dasho Kunzang said that the ECB again pointed out
constitutional problems in the bill to the committee.In a consultative session in Paro,
ECB sent two election commissioners and two lawyers, who again pointed out the flaws
in the bill to MoHCA officials and MPs from the Assembly’s legislative committee.
“ECB also proposed that for the LG election to be held on time, Parliament, as a ‘one
time measure,’ should include a proposal in the LG Bill that will enable the executive
arm of the government to declare the boundaries of local governments,” said Dasho
Kunzang.The reason was that only the Parliament through a three fourth majority could
change the boundaries of local governments, which would mean a second session of
Parliament to do so after the LG Bill is passed, delaying LG elections.ECB officials held
one more sensitisation program for MPs just before the last Parliament session where the
LG Bill, 2009 was presented in detail, the flaws pointed out and the ‘one time measure’
proposal made again to have LG elections on time.The LG Bill 2009 failed to secure
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17
majority vote in the joint sitting, mainly on the constitutional issue of having 20
dzongkhag thromdes against the government argument that it was not practical having
them. To avoid more delays in the LG elections, an extraordinary session of Parliament
was convened to pass the LG Bill, 2009.However just before the special session, ECB, on
September 8, sent a letter to the speaker Tshogpon Jigme Tshulthim, highlighting
sections of the Constitution inconsistent with the LG Bill and proposing the ‘one time
measure’ of Parliament empowering the executive to declare the boundaries of local
governments in order that LG elections are not delayed.ECB’s concerns were again not
addressed and instead a provision was included in the bill that declaration of thromdes
rested with Parliament, since it would involve changing of boundaries.Acting director of
the local government department under MOHCA, Karma Geley said, “ECB said that 20
dzongkhag thromde tshogdes were necessary as per the Constitution, but the government
was of a different view”. Head of the Assembly’s legislative committee MP Ugyen
Wangdi said, “Initially, when the LG bill was introduced it had a provision that the
executive would declare thromdes, but this was changed after objections from
NC.”Member of the joint legislative committee on the LG Bill MP Ugyen Tenzin said,
“The delay in LG elections is affecting the people at the grassroots level.”
Three killed in accident
Three people were killed and two critically injured when the truck they were traveling in
went off the road on the way to Phuentsholing from Thimphu on the evening of October
16 around 5.00 pm. The truck driver, Sonam Jamtsho, 30, died on the spot while Dawa,
23, and her three-year old girl succumbed to injuries on the way to the hospital. The 21year old driver’s assistant and a 49-year old woman were referred to Thimphu’s referral
hospital, said police.The assistant driver’s condition is said to be stable after undergoing
surgery on October 17, according to hospital staff and the woman has been admitted with
the Lungtenphu Military hospital.According to police, the accident occurred when the
truck reached Makaibari, about 33 Km from Tsimasham towards Gedu, falling about 50
metres below the road.
Bold plan to address nursing shortage
After five years, the chronic shortage of nurses finally gets some attention
19 October, 2009 - By the beginning of 2013, the health ministry will have 90 more
nurses working across the country. These 90, class XII students who left for India to be
trained as general nurse midwives (GNM), auxiliary nurse midwife (ANM) and health
assistants (HA) last month, were recruited as nurse assistants last year under the
accelerated nursing program.This program, which is perhaps the first step initiated to
address the chronic shortage of nurses in the country, was introduced only last year
although Bhutan’s been facing this problem for more than five years.Bhutan today has
538 nurses and needs at least 1,538 nurses by 2013.But by 2013, even with the additional
90 nurses, Bhutan will still be short by 682 nurses. “We’ve felt the shortage of nurses
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18
ever since we started increasing hospital beds and extending the capacity of hospitals
around the country,” said the ministry’s officiating chief human resources officer, Mindu
Dorji.He said that the ministry has been tying to address this issue by opening a nursing
college, because the number of nurses graduating from the royal institute of health
sciences (RIHS) was not enough. “The annual turnover is only about 30 nurses from
RIHS and it’s very difficult to meet the requirement of nurses in the country with that,”
he said.Mindu Dorji added that, without a nursing college in the country, it became even
more difficult to get slots for nursing courses abroad.The first batch of nurses, who are
now in India, comprise 36 males and 54 females. They were given a four-month crash
course in basic health care before they were sent to the field and now studies. The
ministry had initially recruited 100, but ten of them dropped while the crash course was
underway.“We didn’t replace the ten nurses because by then the crash course had already
begun,” said Mindu Dorji.They are studying at the royal educational institution and
Cheraan’s institute of health sciences, in Coimbatore and at Sri Venkateswara school of
nursing in Chittoor, Andhra Pradesh.
Reforms to create a more enabling environment for business
At the two-day workshop, entrepreneurs were reassured of the government’s best
intentions Enterprise Act 18 October, 2009 - The economic affairs ministry has initiated
a series of regulatory reforms to create a more enabling environment for business. One of
them is drawing up an Enterprise Act that will require all types of businesses, where
micro or large, to register and give recognition to various types of enterprises. “Existing
rules and regulations does not recognise all types of enterprises,” said the ministry’s
registrar of companies, Ugyen Dorji, who made a presentation at a two-day workshop in
Thimphu yesterday. “For example, recognition of sole proprietorships and partnerships
are missing in the existing regulations.”Such enterprises, at the moment, cannot exercise
their rights and obligations because there is no legal basis to recognise its existence.
“That is why there is a need for such an act,” he said. According to Ugyen Dorji, the act
will also reduce the procedure of entry into business, a central database on businesses can
be created and clear procedure, and roles and responsibility of different organisations can
be established. “The basic idea is to simplify the process of starting up a business and
move away from the licensing regime,” said Ugyen Dorji, who added that, in the process
of drawing up the act, which would be done in consultation with the private sector and
other relevant agencies, what is not necessary would be removed. At present, it takes 46
business days to obtain a license. Micro-business licenses take a day. Dr Marc Reichel,
who presented an outline on how to go about drafting an enterprise registration act, said
that it was important to consider the capacity of both the government and the private
sector when drawing up the act. “There’s no point in drawing up a complex act that
neither the government can implement nor the private sector follow,” he said, adding that
Bhutan was the first country he had come across so far where businesses did not have to
register. Representatives of the private sector who participated in the two-day workshop
expressed concerns that, if the act reduces the administrative burden for starting up
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19
business, it was well and good, otherwise it could just add to the never ending paperwork
businesses have to go through. “While drafting the law, we must approach it with the
axiom of facilitating businesses, especially for the cottage and small scale enterprises,
and not create another regulatory impediment,” said the industry director, Sangay
Wangdi. “Enabling more businesses to register will allow for the creation of a more
organised sector that will result in institutionalising formal structures and globally
accepted best practises in the management of business.”
Myanmar:
Political:
•
•
•
•
Social:
Myanmar PM to attend ASEAN summit
Detained Burmese democracy icon Aung San Suu Kyi met her legal counsels
and went over plans to appeal at the High Court.
Burmese civil society groups have urged ASEAN Peoples’ Forum
Economic:
• Myanmar builds more resorts to boost tourism industry
Geo-strategic:
• China, Myanmar agree to work for border stability
• Indian directed the Assam Rifles, a paramilitary force based in the Northeastern region
ss
Myanmar PM to attend ASEAN summit
Myanmar’s prime minister, General Thein Sein, will attend the annual Association of
Southeast Asian Nations summit in Thailand this week, an official announced
Monday.The official confirmed a state media report that Thein Sein would visit this
weekend’s summit of regional leaders in the Gulf of Thailand.“General Thein Sein will
attend the ASEAN summit,” said the official on condition of anonymity.His trip to
Thailand comes as the junta appears to be opening up diplomatic channels abroad, with
Thein Sein last month becoming the highest-ranking Myanmar official to attend the
United Nations General Assembly in 14 years.The prime minister made a speech before
the assembly on September 28, condemning Western economic sanctions against his
country as the United States mulls greater engagement with the reclusive government.In
2007, Thein Sein caused a diplomatic furore at an ASEAN summit by forcing host
Singapore to revoke an invitation to UN envoy Ibrahim Gambari.Gambari had been due
to brief regional leaders after a bloody crackdown on street protests in Myanmar that
caused international revulsion.Myanmar’s human rights record has caused constant
problems for ASEAN since it joined the bloc in 1997. This year’s summit is due to
officially launch a new body to help prevent rights abuses in the region.Leaders attending
the 15th annual summit, being held in Hua Hin, where Thailand’s revered king often
resides, are due to discuss closer economic ties and ways of coping with natural
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disasters.The summit will be followed by talks between the 10 members of ASEAN and
the leaders of China, South Korea, Japan, Australia, India and New Zealand.Thailand is
mobilising an 18,000-strong security force and invoking a harsh internal security act to
prevent protests at the meetings, which have been cancelled twice before because of antigovernment demonstrationsASEAN groups Brunei, Cambodia, Indonesia, Laos,
Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam.
Detained Burmese democracy icon Aung San Suu Kyi met her legal counsels and
went over plans to appeal at the High Court.
Nyan Win and Khin Htay Kywe, two of Aung San Suu Kyi’s lawyers, who are drafting
an appeal letter to be submitted to the High court, on Friday, visited her for one and-ahalf hours at her lakeside villa on Rangoon’s University Avenue and discussed the appeal
against the verdict of a district court. “I went along with Daw Khin Htay Kywe. Initially
we discussed the appeal,” Nyan Win, who is also the spokesperson for her political party,
told Mizzima. On August 11, the district court in Rangoon’s notorious Insein prison
handed down a three year sentence to the Nobel Peace Laureate on charges of violating
her previous detention regulations, by allowing an American into her house. But an
executive order by the Burmese junta’s military supremo Snr Gen Than Shwe halved the
sentence and allowed her to serve time at her home. Following the verdict, the Burmese
pro-democracy leader’s legal team filed a petition at the divisional court. But the court
decided that the verdict was in keeping with the law and found no reasons for it to be
revised. Nyan Win said he and the National League for Democracy party leader held
further discussions on the recent developments, including her meeting with diplomats
from the United States, United Kingdom and Australia and also the meeting between the
NLD leaders and European Union delegation on Wednesday. “Later we discussed her
meetings with the government’s Liaison Minister Aung Kyi and her meeting with the
three western diplomats. But she said so far there is no news to be released,” Nyan Win
added. In an unexpected gesture, Burma’s military strongman Snr Gen Than Shwe
responded toAung San Suu Kyi’s proposal last month offering to cooperate in working
for sanctions to be lifted and gave in to her request to meet diplomats from US, UK and
Australia. Following the meeting the diplomats also met NLD central executive
committee members and briefed them on their meeting with Aung San Suu Kyi. In
response to the Burmese democracy icon’s proposal the junta arranged meetings with the
Liaison Minister Aung Kyi. On Wednesday, European Union delegates visited the NLD
headquarters in Rangoon’s Shwegondine Street and asked them about their opinion on
Aung San Suu Kyi’s talks with the regime and her offer to help lift sanctions and also the
party’s reason behind demanding a revision of the 2008 constitution. In response, the
NLD leaders said, they are not seeking power-sharing with the government but are asking
for a revision of the 2008 constitution, which was drafted in a one-sided manner by the
junta and their hand-picked representatives and approved in a referendum, which
opposition groups said was ‘rigged’.
Burmese civil society groups have urged ASEAN Peoples’ Forum
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21
Burmese civil society groups have urged Thailand to put a stop to dam projects in
neighbouring Burma, while other groups at the ASEAN Peoples’ Forum called on the
regional bloc to address the Burmese regime’s breaching the newly drafted Charter,
amidst confusion in finding a delegation to meet ASEAN leaders.Fifty one civil society
organizations from Burma today called on the Thai government at the Association of
Southeast Asian Nations (ASEAN) People’s Forum, demanding an immediate halt to
dam projects on the Salween River to avoid being sucked into Burma’s escalating civil
warThe groups, in their statement released on Monday, said military operations and
human rights abuses by the Burmese regime have recently increased around the sites of
the planned Hat Gyi dam in Karen State and Ta Sang dam in Shan State. It warned that
the projects would never provide guaranteed energy security for Thailand.“The Salween
dams will only mean more fighting and more refugees fleeing to Thailand,” said Sai Sai,
Coordinator of the Salween Watch Coalition.“Building dams in Burma’s war zones
makes no sense if Thailand wants stable power supply,” said Montree Chantawong of the
Thai-based environmental group TERRA.Renewed fighting has also erupted in Shan
State, as the regime attempts to bring the ceasefire armies under its control as “Border
Guard Forces.” Imminent attacks on the United Wa State Army, which controls the
access routes between the planned 7,110 megawatt Ta Sang dam and the Thai border,
would lead to a massive fresh refugee influx into northern Thailand.Pianporn Deetes, an
environmentalist from Living River Siam Project, who participated in the forum, told
Mizzima that there is no representative from the Thai government at the forum; even
though organizers have invited officials from the Ministry of Energy.However, the group
will make a submission to ASEAN leaders through their representatives, who are
scheduled to meet the leaders on October 23.Five large dams are being planned on the
Salween River in Burma, four to export power to Thailand, and one to China. The
regime’s military offensive on the Kokang in northern Shan State, which drove over
37,000 refugees into China in August, secured control of areas around the Upper Salween
Dam, being planned by Chinese companies in Kunlong.Meanwhile, a delegation of
Burmese civil society groups organized by the Task Force on ASEAN and Burma
(TFAB) are calling on ASEAN to address the SPDC’s violations of the regional body’s
Charter, according to their statement released on Monday.“The regime’s volatile
approach to consolidating power in the run up to the 2010 elections, including attacks on
ethnic groups and the democratic opposition, is a clear threat to regional peace and
security. At the ensuing summit, ASEAN must address the junta’s serious breaches of the
Charter. It can start by engaging in critical political dialogue with the regime and
supporting the Burmese people’s efforts towards national reconciliation,” said Khin
Ohmar, Coordinator of Burma Partnership and a member of TFAB.The Task Force on
ASEAN and Burma is a network of Burma's civil society actors working to promote a
people-centered ASEAN that is supportive of the cause of democracy, human rights, and
peace in Burma.
Myanmar builds more resorts to boost tourism industry
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Myanmar has witnessed the development of more international resort hotels to attract
foreign travellers to the country and boost tourism development.The Andaman Club, a
travel and tour company, is expected to develop a US$3.5 million resort hotel, named St
Luke’s Beach Resort Hotel, in New Palau Ganchar Beach on St Luke’s Island in the
Andaman Sea.Another company, Amata Hotel Group, is also expected to develop an
upscale hotel located in Myeik Archipelago, the southernmost part of Myanmar.
Additionally, accessibility to Ngwe Saung Beach located at Myanmar’s southwestern
Ayeyawaddy division is anticipated to be facilitated by a proposed airport project.This is
envisaged to shorten the travelling time from Yangon, the former capital of Myanmar, to
a short flight compared to a three-hour drive from Yangon.Upon completion of the
airport, Ngwe Saung Beach will become the second beach to be accessible by air after
Ngapali. According to tourism statistics, Myanmar’s tourist arrivals for the fiscal year
2008–09, which ended in March, exceeded approximately 255,000.
China, Myanmar agree to work for border stability
China and Myanmar agreed to work together to ensure stability along their border, state
media said, after violence erupted on the Myanmar side in August that pushed thousands
of refugees into China. “China and Myanmar should make efforts together to strengthen
exchanges and cooperation, as well as safeguard stability on the border areas for the sake
of the fundamental interests of the two peoples,” Xinhua news agency quoted Chinese
Vice-Premier Li Keqiang as telling a visiting Myanmar minister. Li added that China
“would keep supporting Myanmar’s economic construction and sustainable
development”. In August, Myanmar’s army overran Kokang, a territory that lies along
the border with the southwestern Chinese province of Yunnan and was controlled for
years by an ethnic Chinese militia that paid little heed to the central government. Many of
the refugees were ethnic Chinese, some of them Chinese citizens, who complained their
houses and businesses had been sacked and looted during the violence. Last month,
China rapped the former Burma over the violence, demanding the government protect
Chinese citizens and make sure such incidents did not happen again. But relations appear
to be improving again. Xinhua said vice premier Li met the visiting Myanmar minister,
Tin Aung Myint Oo, during a meeting in the southwestern Chinese city of Nanning. “Tin
Aung Myint Oo extended thanks for China’s support during the meeting, saying that
Myanmar appreciated its friendly relations with China,” the report said. Myanmar was
willing to deepen the mutually beneficial cooperation and stabilise the border areas,
Xinhua reported the minister as saying. The August crisis tested ties between two
countries who view each other as strategic friends. Energy-hungry China is one of the
few powers willing to do business with military-run Myanmar, and has invested more
than $1 billion to get access to natural resources such as oil and gas. Resource-rich
Myanmar has parried Western sanctions and pressure from its Southeast Asian
neighbours over its shoddy human rights record by courting China.
Indian directed the Assam Rifles, a paramilitary force based in the North-eastern
region
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The Indian Ministry of Home Affairs has directed the Assam Rifles, a paramilitary force
based in the North-eastern region, to move closer to the India-Burma border and to
intensify operations in curbing illegal activities, including insurgency along the
borderIndian media reported on Sunday. In a report on Sunday, the Press Trust of India
(PTI), said the Assam Rifles, which was recently stationed about 40 kilometres from the
international boundary of India and Burma, has been directed by the Home Ministry to
move closer to the porous 1,631 km-long border with Burma to prevent cross-border
activities including militancy, drugs and arms trafficking. “We have directed the Assam
Rifles to deploy forces closer to the border to stop militants and smugglers having a free
run,” the report said quoting a Home Ministry official. The orders to India’s paramilitary
force to move closer to the border came following Indian Army Chief General Deepak
Kapoor’s three-day visit, October 11 to 14, to Burma, where he met junta supremo
Senior General Than Shwe and Vice Senior General Maung Aye and discussed
cooperation between the two armies. Before Kapoor’s visit to Burma, a meeting between
Home Secretaries and Directors General of Police of India’s North Eastern states was
held in Assam’s capital Guwahati, where it was agreed to formulate effective counterinsurgency operations. Meanwhile, sources on the border said, though there are no signs
of increased military activity, Assam Rifles battalions have begun moving closer to the
Burma border in Manipur and Mizoram states. They have repositioned themselves about
five miles from the border. “Earlier, there were only about 20 soldiers in a camp near the
border but now we notice there are at least 50 soldiers in one outpost,” the source said.
“They have also increased patrols along the border,” he added. On Monday, the Assam
Rifles, in a statement said, the troops detained a rebel belonging to the United National
Liberated Front (UNLF) during a mobile operation on October 17, near Waikhong in
Chandel district in Manipur near the border. The Indian government has frequently
sought help from the Burmese Army to flush out North-east rebels from its soil. As a part
of the two countries cooperation, both Indian and Burmese military also hold regular
discussions on border security management including northeast insurgents. The 37th
biannual military meeting between the two countries was held in Kalemyo in Sagaing
Division, Burma in late August.
BUSINESS AND POLITICS IN THE MUSLIM WORLD
South Asia
Ghashia Kayani
Weekly Report: from 18 October to 31 October 2009
Presentation: 4 November 2009
Summary:
In Bangladesh at political front BNP secretary general Khandaker Delwar Hossain
alleged country's parliament has become a character assassination centre where several
sorts of fake and imaginary allegations are being lodged against opposition leaders and
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24
activists intentionally. On social front WFP Bangladesh Representative John Aylieff
drew attention to the challenge that the government and others have in addressing the
affects of malnutrition in the country."Three million children are acutely malnourished
and 41 percent of children under five are underweight. At a time when Bangladesh has
experienced high levels of economic growth, the acute malnutrition rate has risen
progressively and is now above the WHO emergency threshold. At economic front
German investors are keen to invest in Bangladesh's gas exploration, renewable energy,
bio-gas, coal mining and photovoltaic sectors. The interest was shown when a visiting
German Business and Investment delegation led by Peter Clasen. At geo-strategic front
As tension continues to mount on the Bangladesh-Myanmar border, Asian giant China, a
common friend of the two neighbours has come forward with the suggestion for resolving
the dispute between the two countries through negotiations saying ‘War or attack is no
solution of any problem. In Srilanka at political front Resettlement and rehabilitation of
IDPS will remain top priority of the Government of Sri Lanka. At economic front
Deputy Finance Minister Ranjith Siymbalapitiya Loan interest rates of state banks was
reduced with immediate effect under the directives of President Mahinda Rajapaksa.
Rates have been reduced to a minimum of eight percent and a maximum of 12 percent.
At geo-strategic front Sri Lanka Renews 51 Year Old Diplomatic Relationship with
Russia TheRussian Foreign Minister pledged that the Russian Federation will be always
on the side of Sri Lanka, if in case the international community initiate any covertious
move to charge Sri Lanka on any war related crimes.The Russian Foreign Affairs
Minister’s visit was expressed as a historic moment, as it was the first ever diplomatic
level visit of a Russian Foreign Minister to Sri Lanka. In Maldives at political front The
current government’s policies were daunting women’s rights says the main political
opposition, Dhivehi Rayyithunge Party (DRP)This was revealed at a press conference
held by the president of women’s wing. At economic front Minister of Family and
Health Aminath Jameel has said that more than Mrf 13 million has been spent on IGMH
development.Minister Aminath Jameel said during Question hour at People’s Majlis. She
said that a lot has to be spent from this year’s budget to pay previous years’ unpaid bills.
At geo-strategic front In his weekly radio address President Mohamed Nasheed has said
Indian companies have expressed interest investing in the Maldives, more specifically in
the northern region of the country. President Mohamed Nasheed has met with Prime
Minister Manmohan Singh of India, in New Delhi..Discussions were focused on a range
of issues, including climate change, economy, and security. Both leaders discussed the
importance of a common regional approach on climate change. In Nepal at political
front Minister for Irrigation Bal Krishna Khand on Friday said that the government
would not remain mute if the Unified CPN (Maoist) continued to proceed with their
unlawful and anarchical behaviour. At social front In conjunction with other
stakeholders including the Nepal Tourism Board (NTB), the Pacific Asia Travel
Association (PATA) is hosting an international conference on adventure travel and
tourism on Feb. 1-5, 2010. The conference will feature multiple sessions with
deliberations on adventure travel, responsible tourism, adventure sports tourism, zero
waste challenge and other issues of sustainable tourism. At economic front The
ministerial level meeting of the South Asian Free Trade Area (SAFTA) decided to
incorporate service sector in SAFTA and facilitate intra-regional trade. Commerce
Minister Rajendra Mahato said that the discussions were zeroed in on the removal of non-
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25
tariff barriers. At geo-strategic front The Chinese government expressed commitment to
increase its grant assistance to Nepal by 50 percent. "The current annual grant assistance
to Nepal will be increased to Rs 1.5 billion," Chinese ambassador to Nepal Qiu Guohong
said while speaking at programme entitled "The Role of China in Nepal's Economic
Development" organized in the capital. In Bhutan at political front Bhutan hosted the
three day international conference on “Deepening and Sustaining democracy” (12-14
Oct), jointly organized by the Center for Bhutan studies and UNDP. At geo-strategic
front Bhutan is constructing over a dozen hydropower plants with targets to generate
some 11,000 MW of power by 2020, all to be absorbed in Indian markets. To all these
projects, it is only Indian companies who are investing. In Myanmar at political front A
delegation of senior U.S. officials arrived in Myanmar for Washington's highest-level
talks with the reclusive military regime in 14 years.The Obama administration's move to
engage the junta appears focussed on pushing for free and fair elections next year,
although analysts say the rapprochement is as much about geopolitics and the growing
regional influence of China. At social front The Union of Myanmar Federation of
Chambers of Commerce and Industry (UMFCCI) has honored persons who contributed
to the winning of some exhibition-related awards in the recent China-ASEAN Expo held
in Nanning, capital of Southwest China' Guangxi Zhuang Autonomous Region, sources
with the UMFCCI. At geo-strategic front South Korea's Hyundai Heavy Industries, the
world's largest shipbuilder, it has won a US$1.4 billion deal to build an offshore gas
platform in Myanmar. It said it secured the order from Daewoo International, a South
Korean trading company which is leading a consortium to develop the gasfield off
Rakhine state near the border with Bangladesh.
Detailed news report:
Bangladesh:
Political:
•
•
Social:
Parliament has become character assassination centre: Delwar
Arrange roundtable of political parties for consensus
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•
•
26
30,000 children born each year in BD with congenital heart disease
61 million people living in poverty
Economic:
• Inflation likely to be double digits by summer: IMF
Geo-strategic:
•
•
•
EU to provide increased fund for CHT development programme
China for resolving Bangladesh-Myanmar dispute through talks
German investors keen to invest in gas, energy and coal sectors
Parliament has become character assassination centre: Delwar
BNP secretary general Khandaker Delwar Hossain alleged country's parliament has
become a character assassination centre where several sorts of fake and imaginary
allegations are being lodged against opposition leaders and activists intentionally. He
made this allegation while talking to reporters at his Armanitola residence in the capital
on Friday.Khandaker Delwar Hossain said country's parliament has already been made
dysfunctional by the ruling party due to the illegal interference on its usual procedure
conducted. In order to oust Shaheed president Zia's family members from politics as well
as from the country, the government is still hatching conspiracy and it is their main
agenda. And thus, Zia's family members have become a target of bitter criticism in the
parliament session. Basically, country's parliament has become a centre of character
assassination of opposition leaders. He said the government is engaged in destroying the
democratic practices in the country. As part of its destruction scheme, interference on
country's transparent judiciary system is being made. The ruling party law makers
through their speeches during the parliament session are trying to implicate BNP
Chairperson and her family members in several sorts of allegations including attack on
Awami League law maker Taposh.Khandaker Delwar quoted Awami League law maker
Sheikh Fazlul Karim Selim, as saying in the parliament BNP Chairperson Begum
Khaleda Zia is yet to make any comment protesting the attack on Taposh as she is
involved with the incident. Conspiracy to destroy BNP and Zia's family members is still
being hatched which has been proved through the remarks of the ruling party law maker.
He said the ruling party has no trust in democracy. When Ershad had come to power
through autocracy, the ruling party president Sheikh Hasina said at that time she was not
unhappy. The ruling party is believer of dictatorship, whether it is BAKSAL or military
backed.Replying to a query, he said BNP is still prepared to extend its helping hands to
the ruling party if it stops its repression and oppression on opposition leaders and activists
and making fake, baseless and imaginary allegation. "We do politics for the betterment of
the countrymen as we believe in democracy," Delwar Hossain added.
Arrange roundtable of political parties for consensus
BNP secretary general Khandaker Delwar Hossain has urged President Zillur Rahman to
arrange a roundtable talks with the participation of all political parties to reach a political
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27
consensus that can resolve all sorts of crises in the country.He made the call while
addressing a discussion meeting on "scrapping of the 5th amendment and caretaker
government system: prospect of Bangladesh" organized by Nagorik Forum at the national
Press Club on Wednesday."We are welcoming President Zillur Rahman's calls for
consensus on national issues. For the greater interest of the countrymen, unity and
consensus among all political parties in the country will have to be forged as it is a must
to resolve country's various kinds of crises. If the President takes step to arrange a
roundtable discussion openly with the participation of all parties only then a political
consensus might be formed," Delwar Hossain expressed his hope. About the caretaker
government system, he said the ruling party was very sincere to the system of caretaker
government once but why its attitude about the system has been changed. With a view to
enjoying state power for long, the ruling party is seeking foreign cooperation which will
be resisted by the nationalist forces. He urged the government to stop corruption
throughout the country and minimize the gap between rich and poor people, otherwise
steps to eradicate poverty will not bring any good result for the nation.Former chairman
of Transparency International Bangladesh Trustee Board Professor Mozaffar Ahmed said
the 5th amendment of the constitution will never be erased as country's President and
Prime Minister and all ministers are still saying Bismillahir Rahmaner Rahim before
starting their speeches which are also being published through newspaper. UNB adds:
Defending the 5th constitutional amendment, BNP leader said it was done to restore
multi-party system and rule of law. If the amendment is annulled now, 4th amendment
will be restored automatically to take the nation 38 years back to one-party system.The
people will not accept restoration of the 72 constitution with secularism as state principle,
he added.
30,000 children born each year in BD with congenital heart disease
Prime Minister Sheikh Hasina is scheduled to open an international conference on child
heart ailment in the city today (Saturday), in an attempt to focus more on ensuring child
survival in achieving millennium development goal (MDG)-4.The conference, first of its
kind in Bangladesh, is expected to bring together 650 pediatricians and cardiologists from
the United Kingdom, Singapore, Saudi Arabia, Pakistan, India and China to discuss the
existing treatment practices, innovations in the filed over the last few years and devise
effective ways to cut child mortality and morbidity from birth defects.Pediatric Cardiac
Society of Bangladesh (PCSB), the organizer of the three-day event, said an estimated
30,000 children born each year in Bangladesh with congenital heart diseases, 90 percent
of them die, mainly due to low level of awareness among doctors and parents as well as
lack of proper treatment in Bangladesh.He said the children of pregnant mothers, who
have smoking habits, uncontrolled diabetes and are exposed to radiation and x- ray, were
more susceptible to congenital heart disease, also a leading cause of heart problems when
children become adults. Prof Manzoor Hos-sain, secretary general of PCSB, told BSS on
Friday that 40 percent of perinatal deaths occur within one week of childbirth due to
congenital heart disease, also a leading cause of the highest number of child deaths born
with birth defects."Taking drugs from pharmacies or quacks at will during pregnancy is
also jeopardizing the lives of many newborns in Bangladesh," added Prof Manzoor, who
is also the head of Pediatric Cardiology Department of Dhaka Shishu Hospital (DSH), the
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28
lone specialized child hospital in South Asia where only 10 beds are kept for heart
treatment.Prof Manzoor said the cardiac treatment has progressed a lot in the country
over the last two decades, but the facilities for childhood cardiac problem has remained
almost the same. He said he himself could not do much for children with congenital heart
ailment at Shishu Hospital as patients have to refer to the National Institute of Cardiovascular Diseases (NI-CVD) for any surgery.According to available sources, the
NICVD and the Heart Foundation are the only places for treatment of such children in the
public sector, while expensive services are available at some big hospitals in the private
sector like Apollo. The surgery of a child requires a few hundred thousand Taka.BCSB
sources, however, said the situation is likely to change in a couple of years as Prime
Minister Sheikh Hasina has already instructed to introduce pediatric heart surgery
facilities at all public medical colleges and medical university. Sheikh Hasina is likely to
make a few more announcements on it today (Saturday), it hoped.
Inflation likely to be double digits by summer: IMF
The prices of essentials would continue to rise throughout the current fiscal year with a
possibility to push up the inflation to double digits by the summer.The concern came
from a preliminary assessment of a visiting mission from the International Monetary
Fund on the country's economy. The mission concluded on Thursday. The mission, led
by IMF Advisor for Asia and Pacific Department Masato Miyazaki, raised the concern in
the wake of "ample availability of liquidity" in the money market.They also expressed
concern over increased subsidy on energy and fertilizer, slowed down investment and
poor ADP implementation. The mission appreciated the country's success in
"remarkably" weathering the global economic recession due to strong exports and
remittance, but apprehended that the GDP growth is likely to decelerate to around 5
percent at the end of the current fiscal year."We'll manage the inflation (as predicted by
the IMF)," Finance Minister AMA Muhith told reporters after a meeting with the mission
at the Finance Ministry. He expressed confidence that the GDP would strike a 6 percent
growth or more. Prime Minister's Adviser on Economic Affairs Dr Mosihur Rahman,
Bangladesh Bank Governor Dr Atiur Rahman and Finance Secretary Dr Mohammed
Tareq were present. "Subsidy will continue where it's necessary. We'll not provide
subsidy where it is not necessary," Muhith said. He added that investments have been
slow, but would pick up soon. Replying to a question over subsidy on energy and power,
he said: "It' s a problem. It'll have to be there on the table."Addressing a press briefing at
the Bangladesh Bank after "Preliminary Conclusion of the IMF Mission" under the
Article IV Consultation, IMF Advisor Miyazaki said the recovery trend of the global
recession would not be too strong, which would slow down private sector credit and
decelerate GDP to around 5 percent. He, however, said the Bangladesh economy would
pick up and continue to grow better than other countries, particularly the regional ones.
61 million people living in poverty
Staffan de Misture, deputy executive director of the United Nations World Food
programme (WFP) will arrive on a three-day official visit.The purpose of de Mistura's
visit is to meet the government and the donor community and discuss how best the WFP
can support the government's efforts to meet the Millennium Development Goals and
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29
address the most pressing development challenges, including the effects of climate
change and high levels of malnutrition. Both the issues are having a crippling affect on
the estimated 61 million people living in poverty and which struggle to meet their basic
food requirements on a daily basis, said a press release on Friday.In announcing the visit,
WFP Bangladesh Representative John Aylieff drew attention to the challenge that the
government and others have in addressing the affects of malnutrition in the
country."Three million children are acutely malnourished and 41 percent of children
under five are underweight. At a time when Bangladesh has experienced high levels of
economic growth, the acute malnutrition rate has risen progressively and is now above
the WHO emergency threshold. Working with the government and other partners, WFP
will contribute to bringing both acute, chronic and micronutrient malnutrition down for
good". Said Aylieff. "De Mistura visits Bangladesh at a significant time in WFP's 35 year
history in country, as the UN agency embarks on a process to develop a new country
strategy to address the effects food insecurity in the country," he added.It is expected that
WFP will build its new strategy around a vision that includes, a focus on livelihoods, an
expanded school feeding programme, a high emphasis on nutrition focused programmes
as well as assisting the population prepare and cope with the effects of climate change.
"Bangladesh is widely recognised as one of the countries most susceptible to the effects
of climate change. WFP has been assisting the government in climate change adaptation
activities long before the term was even coined, making us natural adaptation partners.
Over the last 35 years this partnership has built 43,000 km of roads and embankments,
excavated 4,000 km irrigation canals and planted in excess of 38 million trees," said
Aylieff.
EU to provide increased fund for CHT development programme
European Union will increase funding in Promotion of Development and Confidence
Building including an additional 15.5 million euro in support of further improvements in
health and education sector in the Chittagong Hill Tracts. According EU sources the EU
has also committed 7.5 million euros for food security and agricultural support.The
sources said the project has led the EU to increase the funding for the development of
CHT. The development of confidence building in CHT was initiated four years back to
help underpin the CHT peace accord by supporting the government and local institutions.
The United Nations Development Programme (UNDP) is implementing the programme
in all three hill districts with overall aim of promoting self reliance, decentralization and
sustained peace. The EU, largest donor of the project, is contributing 23.5 million euro
towards the project. The project completed its first [phase in December 2006 and
expected to complete it second phase in November 2009. With successful implementation
of the last five years of the programme basing on the upcoming evaluation it is expected
that the programme will continue during the period of 2011 to 2015 through a
contribution of 25 million euros by the EU.The sources said in addition to this the EU is
also funding development work by local and international non government organisations
in the CHT region including tribal children's education contributing 7,50,000 euros,
vocational training for indigenous people 2,50,000 euros and a community-managed
water supply and sanitation programme for the rural poor .
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China for resolving Bangladesh-Myanmar dispute through talks
As tension continues to mount on the Bangladesh-Myanmar border, Asian giant China, a
common friend of the two neighbours has come forward with the suggestion for resolving
the dispute between the two countries through negotiations saying ‘War or attack is no
solution of any problem.’The Chinese views were expressed by its Ambassador in Dhaka
Zhang Xianyi at a programme in the capital on Thursday. The envoy also assured
Bangladesh of Chinese assistance for developing road and communications. He said
China is looking to import tea to reduce trade gap.According to UNB: China wants
Bangladesh to resolve its disputes and disagreements with Myanmar on issues such as
maritime boundary through peaceful negotiations, new Chinese Ambassador Zhang
Xianyi said here on Thursday."It's quite natural having disputes and disagreements with
neighbours. We hope you will solve your problems through bilateral negotiations at the
negotiation table," he said at Meet-the-Reporters program at Dhaka Reporters Unity
(DRU).He said his observation is that Bangladesh and Myanmar did have negotiations on
the issues this year. "I am confident that with good attitude from both the sides, all
problems will be resolved." The Chinese envoy replied to a volley of questions on current
developments in regional and international arenas as well as bilateral political and
economic cooperation between Dhaka and Beijing during an hour-long interaction. DRU
President Shamim Ahmad was in the chair while general secretary Pathik Saha made
introductory remarks.
German investors keen to invest in gas, energy and coal sectors
German investors are keen to invest in Bangladesh's gas exploration, renewable energy,
bio-gas, coal mining and photovoltaic sectors. The interest was shown when a visiting
German Business and Investment delegation led by Peter Clasen, Head of the Bangladesh
section of the OVA-Asia-Pacific Business Association, paid a courtesy call on Prime
Minister Sheikh Hasina at her office here on Wednesday.During the meeting, the German
delegation apprised the Prime Minister that they have special interests to invest in
Bangladesh as favourable investment environment is presently prevailing in the country
under the present democratic government. "Our interest to invest in Bangladesh is
increasing day by day as there exists excellent business opportunity. We are ready to start
business in Dhaka and Chittagong," they added. Briefing newsmen after the meeting,
Prime Minister's Press Secretary Abul Kalam Azad described the meeting as "fruitful"
where expansion of trade and business between the two countries was widely discussed.
The German business delegation also expressed their willingness to impart training to the
Bangladeshi farmers and agriculture experts on producing organic food, providing their
support in communications and solar power generation. During the meeting, they lauded
the Prime Minister's visionary leadership and her bold and prudent representation in
different international fora. Reciprocating to German delegation's gesture, the Prime
Minister urged the German entrepreneurs to invest more in Bangladesh, assuring them of
providing all out support to this end.She urged Germany to import pharmaceuticals and
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31
ceramics goods from Bangladesh saying these are quality Bangladeshi products with
international standards.
Srilanka:
Political:
• Resettlement and rehabilitation of IDPS will remain top priority of the
Government of Sri Lanka
Social:
•
Northern Province Receives 41 IT Laboratories
Economic:
• State Banks Reduced Loan Interest Rates with Immediate Effect
Geo-strategic:
• Nepal Prez gets invite for Sri Lanka visit
• UNHCR in Sri Lanka to work towards promoting Children’s future
• Sri Lanka Renews 51 Year Old Diplomatic Relationship with Russia
• India experts to help speed up demining in Lanka
Resettlement and rehabilitation of IDPS will remain top priority of the Government
of Sri Lanka
Children in Lumbini welcome President Mahinda Rajapaksa and First lady Shiranthi
Rajapaksa when they visited the birth place of lord Buddha at Lumbini on 30thThe
Nepalese leaders congratulated President Rajapaksa on the defeat of the LTTE and
elimination of terrorism in Sri Lanka and re-affirmed their solidarity with the
Government and People of Sri Lanka.Sri Lanka President Mahinda Rajapaksa undertook
a 3 day Official Visit to Nepal from 29th – 31st, October 2009 at the invitation of his
Nepalese counterpart Dr. Ram Baran Yadav. Sri Lankan leader appraised the Nepalese
leaders the current developments in the country in particular on the ongoing rehabilitation
and re-construction process.President said that the ongoing rehabilitation and reconstruction process and has been and will be the priority of the Government of Sri
Lanka. Mahinda Rajapaksa said that the number of IDP’s has been brought down to 180,
000 as of 27 October, 2009 from the original figure of 280,000 as a result of the
commitment and the well coordinated resettlement programmes undertaken by the
Government in collaboration with the UN according to international standards.President
Mahinda Rajapaksa with Dr.Ram Baran Yadav President of Nepal Earlier, on arrival
President Rajapaksa and the delegation were accorded an official welcome and received
by the Deputy Prime Minister and Minister for Foreign Affairs of Nepal Sujata Koirala,
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Minister for Constituent Assembly, Federal Affairs, Parliamentary affairs and Culture Dr.
Minendra Rijal and the Nepalese Ambassador to Sri Lanka His Excellency Durga Prasad
Bhattarai at the Tribhuwan International Airport.During the visit, President Rajapaksa
held discussions with President Ram Baran Yadav and Prime Minister Madhav Kumar
Nepal. Former Prime Minister and Chairman of Unified Communist Party-Maoist Puspha
Kamal Dahal [Prachanda] and Deputy Prime Minister and Minister for Foreign Affairs of
Nepal Sujata Koirala called on the President.
Northern Province Receives 41 IT Laboratories
Social Services and Social Welfare Minister Douglas Devananda and Northern Province
Governor Major General (retired) G.A. Chandrasiri handing over a computer to a
principal at the functionForty one computer laboratories have been set up in the Northern
Province under the government’s accelerated infrastructure development process.These
Information Technology laboratories were received under a project to set up 1000 IT
Laboratories Island wide as President Mahinda Rajapaksa pledged in his Mahinda
Chinthanaya. Further, the government has also named the year 2009 as the year of
English and Information Technology.Thirty three IT laboratories out of 41 have been set
up in the Jaffna district, whilst the rest are to be set up in the Vavuniya and Mannar
districts, an official from the Education Ministry revealed.
State Banks Reduced Loan Interest Rates with Immediate Effect
Deputy Finance Minister Ranjith Siymbalapitiya Loan interest rates of state banks was
reduced with immediate effect under the directives of President Mahinda Rajapaksa.
Rates have been reduced to a minimum of eight percent and a maximum of 12 percent
with effect from today.The previous interest rates applied was a minimum of 15 percent
and a maximum of 22 percent.Deputy Finance Minister Ranjith Siymbalapitiya speaking
to the Asian Tribune said that the Government’s aim is to make more opportunities for
general public to attend to their day to-day activities with confidence, with the assistance
of the state banks. “While people began to continue their transactions with the state
banks, such banks could directly join in the process of strengthening the country’s
economy, “ the Deputy Minister added. He said that the President has directed all state
bank heads to cut down the interest rates applying the new rule even for the loans already
issued. Also penalty payments imposed by state banks for non-payment of loan
installments have also been cut with immediate effect.
Nepal Prez gets invite for Sri Lanka visit
and officials at Lumbini Development Trust had reached to Lumbini to welcome the Sri
Sri Lanka President Mahinda Rajapaksa met Dr.Ram Baran Yadav President of Nepal at
Rastrapathi BhavanThe visiting Sri Lankan President Mahinda Rajapaksa has invited his
Nepali counterpart Dr Ram Baran Yadav to visit Sri Lanka.President Rajapaksa extended
the invitation during his meeting with Dr Yadav on Friday afternoon. “President
Rajapaksa has invited Dr Yadav to come to Sri Lanka at the time of convenience,” said
his press advisor Rajendra Dahal.Mahinda Rajapaksa and the Sri Lanka delegation was
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33
received by Nepal Prime Minister Madhav kumar President Dr Yadav has not gone for
foreign visit yet even as he received invitation from neighboring India shortly after he
was elected as president last year.Prior to the meeting with his Nepali counterpart,
President Rajapaksa visited Lumbini, the birth place of Lord Buddha. He had reached
Lumbini at National Standard Time 10:45 am through a Nepal Army helicopter and
stayed there till NST 2:15 pm.Besides offering prayers in Maya Devi Temple, President
Rajapaksa inaugurated a Vihar built by Sri Lankan government. The president also
inspected Sri Lankan Pilgrims Rest House built there for visiting Sri Lankan pilgrims and
planted a tree sapling in the temple premise.Talking briefly to media persons, President
Rajapaksa said he had a long cherished desire to visit Lumbini since his childhood and
that the desire had come true with the visit.President Rajapaksa said the responsibility for
the development of Lumbini area was not of Nepal alone but also of other countries
including Sri Lanka. He said that the number of Sri Lankan pilgrims visiting Lumbini
will see sharp increase from the annual average of 40,000 now.On the occasion, the
president donated USD 1 million for the developmentof Lumbini area.Local
administration had made special security arrangement in and around the temple keeping
in view of the president’s visit. Hundreds of Nepal Army (NA), Armed Police Force and
Nepal Police personnel were mobilized in the area.Minister for Culture and Constituent
Assembly Affairs Dr Minendra Rijal, senior government officials Lankan
President.President Rajapaksa also held meeting with Prime Minister Madhav Kumar
Nepal and attended a dinner hosted by the prime minister in his honor on Friday evening.
UNHCR in Sri Lanka to work towards promoting Children’s future
The new UNHCR representative to Sri Lanka assured to work towards promoting the
welfare of the children.Mr. Michael James Zwack who recently assumed duties as the
Representative for the UNHCR in Colombo called on Foreign Minister Rohitha
Bogollagama at the Ministry of Foreign Affairs on 28th October 2009 and presented his
letter of appointment. During the call on Minister Bogollagama, Mr. Zwack reiterated the
commitment of the UNHCR to work in close coordination with the Government of Sri
Lanka.Responding to Mr. Zwack, Foreign Minister Bogollagama stated that though it has
only been a few months since the conflict came to a close, the Government of Sri Lanka
first began the resettlement process of the IDPs within three months. The Minister also
stated that the number of the IDPs had reduced to about 188,535 as at 27th October 2009
and pointed out that those being resettled were also provided with various assistance such
as dry rations and cash benefits, in order to ease this process.He also mentioned the
assistance provided by the Government of Sri Lanka to the children who were being
resettled at the welfare villages to continue their education. Endorsing the views
expressed by Minister Bogollagama, Mr. Zwack stated that children were the future and
that the UNHCR would work towards such goals.
Sri Lanka Renews 51 Year Old Diplomatic Relationship with Russia
TheRussian Foreign Minister pledged that the Russian Federation will be always on the
side of Sri Lanka, if in case the international community initiate any covertious move to
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charge Sri Lanka on any war related crimes.The Russian Foreign Affairs Minister’s visit
was expressed as a historic moment, as it was the first ever diplomatic level visit of a
Russian Foreign Minister to Sri Lanka. The Russian Foreign Minister held discussions
with President Mahinda Rajapaksa and his counterpart - Sri Lanka’s Foreign Minister
Rohitha Bogollagama, before his departure last night.During the discussions, Foreign
Minister Bogollagama conveyed the appreciation of the Government of Sri Lanka to the
Russian Federation for the unstinted support during Sri Lanka’s fight against
terrorism.The Foreign Minister stated that the Russian Federation had, throughout Sri
Lanka’s challenge against terrorism, been one of the closest allies by being consistent
with its support politically on the need to interdict and neutralize terrorist activities in Sri
Lanka. He said this support was reflected not only in the condemnation of heinous
terrorist acts by the LTTE but also through policy support and tangible measures. Foreign
Minister Bogollagama pointed out that this was done despite the informal pressures
which may have been exerted by some misguided entities in the international community
against provision of such support to Sri Lanka. He also noted with thanks the Russian
Federation’s assistance in addressing the post conflict challenges which includes the
provision of relief items and US$500,000 through UNHCR. Foreign Minister
Bogollagama also stated that in view of the importance human rights issues have gained
in the international arena, Sri Lanka and the Russian Federation had a frank exchange of
views and it was recognized that all countries were not equal players in the field of
human rights, since the dictates of some countries get overriding positions to the point of
creating double standards. This, the Foreign Minister said, could be a culmination of
some members of the international community unwittingly becoming pawns of groups
with misplaced vested interests. Foreign Minister Bogollagama further stated that the two
countries were of the view that the international community should alleviate themselves
from such machinations and act in accordance with ground realities.The two Ministers
also addressed issues concerning the global economic downturn which has affected all
the countries. In this context, the discussion of the two Foreign Ministers focused on the
necessity for concerted coordinated partnerships, across regions, to overcome the current
hiatus and to place structures in place to prevent a future repetition of what we have been
experiencing for the past year. Foreign Minister Bogollagama also placed on record Sri
Lanka’s appreciation to the offer made by the Russian Federation for the state credit line
of US$.300 Million. The two Foreign Ministers also discussed ways and means of
furthering economic cooperation and the possibilities of enhancing trade and economic
relations while potential for the trade of products such as rubber and rubber based
products, gems and jewellery, carbon, coconut and coconut based products, tea, steel,
graphite, fisheries, wood based products and pharmaceutical products were
recognised.Yesterday two agreements were also signed between Sri Lanka and the
Russian Federation - one was on the ‘Cooperation to Suppress Illicit Traffic in and Abuse
of Narcotic Drugs and Psychotropic Substances”, and the second one (MoU) on the
“Prevention of Natural Disasters and Mitigation of their Consequences. ” The first one
was signed by the two Foreign Ministers, while the second agreement was signed by the
Russian Ambassador in Sri Lanka Vladimir P. Mikhailov and Acting Secretary of the
Disaster Management and Human Rights Ministry G.D.K. Amarawardena. Foreign
Minister Lavrov addressing the Sri Lankan media said that approximately 20 Russian
based companies are established in Sri Lanka. He also said that Russia’s interest in oil
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35
exploration in the Mannar bay and the rehabilitation of the Sapugaskanda oil refinery in
the immediate future. The expansion of economic ties between two countries with several
identified trade and investment fields were also noted by the Foreign Minister.Two
Foreign Ministers also discussed ways and means of implementing and improving the Air
services and tourist programs between two countries. Further, they have also discussed on
the aspect of economic cooperation and the possibilities of enhancing trade and economic
relations while potential for the trade of products such as rubber and rubber based
products, gems and jewellery, carbon, coconut and coconut based products, tea, steel,
graphite, fisheries, wood based products and pharmaceutical products.
India experts to help speed up demining in Lanka
Indian Prime Minister Manmohan SinghPrime Minister Manmohan Singh has directed
the Defence Minister to send a team of experts to Sri Lanka to help in speeding up
removal of mines in the war-ravaged Mannar, Killinochi and Mullaitivu districts to pave
the way for speedy resettlement of uprooted Tamils now living in make-shift camps in
Vavunia.This was stated here on Saturday by Tamil Nadu Congress Committee president
K V Thangabalu who accompanied the team of DMk and Congress MPs from Tamil
Nadu when they went to New Delhi last week to brief the Prime Minister and Congress
president Sonia Gandhi about the outcome of their visit to Sri Lanka.Mr Thangabalu said
that the team submitted a detailed report on Friday to Dr Singh and Mrs Gandhi, seeking
India's help for the rehabilitation and resettlement of the displaced Tamils.Following the
team's visit, Sri Lankan President Mahinda Rajapaksa agreed to send home 58,000
displaced Tamils in a fortnight. Already over 40,000 have been sent back. Mr Thangabalu
said that soon after the team's meeting with him, Dr Singh asked the Defence Minister to
send a team of demining experts to Sri Lanka. The Indian government also spoke to Basil
Rajapaksa, advisor to President Rajapaksa, to send a team to India to discuss how to
utilise the assistance given by India for the resettlement of internally displaced persons,
he said.
Maldives:
Political:
• Government policies daunting women’s rights – DRP
• MDP passes a resolution against DRP actions
Social:
• Over Mrf 13 million spent on IGMH development
Economic:
• Law to be made on agricultural land
• Indian companies to invest in Maldives – President
Geo-strategic:
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•
•
•
36
President meets diplomats from Uganda, Egypt
Egypt to assist Maldives in education sector
President Nasheed meets Indian PM
Maldives supports recommendation in Goldstone’s report on Gaza Conflict
Government policies daunting women’s rights – DRP
The current government’s policies were daunting women’s rights says the main political
opposition, Dhivehi Rayyithunge Party (DRP)This was revealed at a press conference
held by the president of women’s wing of DRP Ms Azima Shukoor. Azima said that in
the past a lot of successful work had been undertaken to protect and promote women’s
rights in the country. She added that now, women’s rights were going backwards.She said
that women’s position in the society and women’s rights was going backwards when a lot
of work was done to promote women’s rights, and when a lot of developments were
achieved in this direction in the past.Giving her reasons for saying this, Azima said that
since present government came to power, Ministry of Gender was terminated. Besides
this, she said that working women faced a lot of problem because working hours of civil
service employees was changed and also increasing the visa fees of foreign maids created
problems for women. In addition to this she pointed out the termination of 210 women
employees of women’s mosques in the country was not about 210 women, but 210
families who were associated with these women would be affected by this decision.
Azima said that this showed that women were not included in the priority list of the
government.
MDP passes a resolution against DRP actions
Maldives Democratic Party’s (MDP) national council has passed a resolution on Tuesday
to undertake a nationwide protest against the main opposition, Dhivehi Rayyithunge
Party (DRP).The resolution was passed to undertake a nation wide protest against DRP
and its political allies, who, MDP says, was abusing DRP’s power in the People’s Majlis
and also was trying to threaten a cabinet minister by initiating a no- confidence motion
against him in the Majlis. The purpose of this proposed nation wide protest, according to
the resolution, was also to protect and maintain the government which was lawfully
elected by the people of the country.In the emergency council meeting held on Tuesday
evening, this resolution was submitted to the council by Madaveli constituency member
of Majlis Mohamed Nazim. The resolution was passed with the unanimous support of all
the members who attended the meeting.DRP/PA had submitted for a no confidence
motion against Minister of Foreign Affairs Dr Ahmed Shaheed on Tuesday. According to
the opposition alliance the main reason they were doing this was because Dr Shaheed was
responsible for the government’s decision to normalize relations with Israel.
Over Mrf 13 million spent on IGMH development
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Minister of Family and Health Aminath Jameel has said that more than Mrf 13 million
has been spent on IGMH development.Minister Aminath Jameel said during Question
hour at People’s Majlis. She said that a lot has to be spent from this year’s budget to pay
previous years’ unpaid bills.“More than Mrf 13 million has been spent for machinery.
Last month we installed a CT scan machine. We have paid 50% of the payment for this
machine which costs Mrf 9 million.”she said.Health Minister said that besides a CT scan
machine, a machine for testing H1N1 virus has been brought to Maldives and because of
this, test for H1N1 virus can be done in the country.Minister Aminath Jameel further
noted that the Ministry was facing difficulties and obstacles due to inefficient policies
practiced previously. She said that even now an anesthetic machine is sitting in a storage
facility since 2006 and that a lot of many was spend for this machine as well.
Law to be made on agricultural land
Minister of Fisheries and Agriculture Dr Ibrahim Didi has said that work is in progress to
compile a law on agricultural land.Speaking at a press conference held yesterday
Agriculture minister Dr Didi said that to conduct this work, an expert from Food and
Agriculture Organization (FAO) came to Maldives last week and had prepared a
questionnaire for this purpose. In addition to this, discussions had been held with farmers,
organizations and office officials of islands where agricultural activity is undertaken
extensively. Minister Didi said that in order to acquire additional information on this
matter, 4 teams from his ministry had been sent to 4 regions of the country, that is, Seenu,
Alif Alif, Haa Alif and Haa Dhaal Atolls.
Indian companies to invest in Maldives – President
In his weekly radio address President Mohamed Nasheed has said Indian companies have
expressed interest investing in the Maldives, more specifically in the northern region of
the country.The President said he was very confident of one of those companies would
invest in the work of upgrading Hanimaadhoo airport to an international airport. The
President also revealed that another company was also interested in investing in a
transshipment port in the northern region.The government was hopeful of reaching
agreements with the interested companies in the near future.In his radio address, the
President highlighted the excellent bilateral relationship between India and the
Maldives.The President said: “Since the new government assumed office, we have been
strengthening the relationship to the utmost benefit of the Maldivian people.”The
President, in his radio address, said India was also ready to assist the Maldivian
government in alleviating its dollar shortage.Earlier this year, the Indian government
provided US$100 million credit facility to assist the Maldives meet budget
difficulties.Prime Minister Manmohan Singh has also earlier assured Indian assistance in
the Maldives’ effort to seek funds from the International Monetary Fund and the World
Bank to address budget deficit and restructuring the public sector.The President also
underscored India was ready to assist in the democratic consolidation process in the
Maldives and that India has always given the assurance of protecting democracy in the
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Maldives.Continuing his radio address, the President also spoke on the Indo-Maldives
border-surveillance cooperation.He said Indian assistance in border patrolling and
surveillance was crucial to free its waters of illegal fishers.“The government’s goal was
to ensure that it is Maldivian fishermen who fish in its waters, and benefit from them,”
said the President.This news comes at a crucial time when Somalian pirates hijacked a
Chinese carrier between Seychelles and Maldives and also when two illegal Iranian
fishing boats were seized in the Maldivian EEZ last week. Minister of State for Defense
and National Security Mohamed Muiz Adnan said in an interview given to Miadhu Daily
that these two illegal fishing boats were seized so easily because Maldivian Coast Guards
had the assistance of Indian Navy.
President meets diplomats from Uganda, Egypt
The new High Commissioner of Uganda to the Maldives, Ms Nimisha Jayant Madhwani
and the new Eyptian Ambassador to the Maldives, Mr Fawzi Mohammed El Said Gohar
presented their credentials to President Mohamed Nasheed yesterday. The presentation of
their Letters of Credentials was held this morning at the President’s Office.After the
presentations, the President met with the two diplomats separately and discussed ways of
strengthening bilateral ties between the Maldives and the respective countries.The
diplomats noted and applauded the important role that President Nasheed has played in
promoting awareness on environmental issues in the global arena.The Ugandan High
Commissioner discussed with the President on ways of strengthening the relations
between the Maldives and Uganda through enhanced cooperation in fields of trade and
tourism.
Egypt to assist Maldives in education sector
Eyptian Ambassador to the Maldives, Mr Fawzi Mohammed El Said Gohar has said that
Egypt will grant assistance to Maldives in providing education not only in Islamic studies
but also in other educational fields.He said this speaking at a meeting held in Ministry of
Islamic Affairs yesterday. Egytian Ambassador Gohar said that Egypt is not a country
that teaches only Islamic education. That besides that Egypt offered study programs in
engineering, medicine and agriculture as well. He said he will work to get placements for
Maldivian students in Egyptian educational institutions.“I have spoken to President
Nasheed today. I hope even the government of Maldives will try to use these
opportunities provided in Egypt.”said the Egyptian Ambassador.Minister of State for
Islamic Affairs Mohamed Shaheem Ali Saeed said that as usual Maldives has been given
6 placements in Azhar University even this year. Shaheem said that this was a small
number and hoped that this will increase in the coming years.
President Nasheed meets Indian PM
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President Mohamed Nasheed has met with Prime Minister Manmohan Singh of India, in
New Delhi..Discussions were focused on a range of issues, including climate change,
economy, and security. Both leaders discussed the importance of a common regional
approach on climate change.Earlier today Prime Minister Singh and President Nasheed
addressed a climate conference in New Delhi.In the meeting, Dr Singh commended
President Nasheed’s speech at the conference.The Prime Minister described President
Nasheed as an “untiring champion of global cooperation to address the formidable
challenge of climate change”.They also discussed the global economic recession and its
impact on the Maldives. Prime Minister assured of Indian assistance for the Maldives’
budgetary and economic difficulties.India provided US$100 million to alleviate budget
difficulties in the Maldives.During the meeting, Prime Minister Singh also assured the
President of Indian support to consolidate democracy in the Maldives.President Nasheed
underscored the importance of Indian assistance in coastal security and surveillance in the
Maldives.He said piracy posed a threat to the Maldives and that the Maldives needed to
free its waters from illegal fishing.India has already provided radars to the Maldives.After
the talks, President Nasheed participated in a lunch hosted by the Prime Minister of India.
Maldives supports recommendation in Goldstone’s report on Gaza Conflict
Ms. Shazra Abdul Sattar, Chargé d’Affaires a.i. at the Maldives Mission to the UN in
Geneva has welcomed the report compiled by Justice Richard Goldstone on recent Gaza
Conflict and its findings. She also noted that the Maldives “supports the recommendation,
contained in the Goldstone report, that all alleged violations by both sides in the conflict
be independently investigated and that those investigations together with any subsequent
prosecutions, be monitored by the Security Council”.The Maldives also used its
statement during the Special Session to express concern at the rapid expansion in Israeli
settlement activity in the West Bank and at reports of settler violence against the
Palestinian population – violence which usually takes place with impunity. “The
Maldives believes that settler activity in the Occupied Palestinian Territory not only
represents a flagrant violation of international humanitarian and human rights law, but
also represents a key obstacle to the achievement of long-term peace and security in the
region. The Maldives therefore takes this opportunity to call for an immediate freeze in
all settlement activity, as a vital precursor to the resumption of comprehensive peace
talks” concluded Ms. Abdul Sattar.The United Nations Human Rights Council on Friday
ended a Special Session on the situation of human rights in Palestine by adopting a
Resolution welcoming the recent report of the UN Fact Finding Mission on the Gaza
Conflict, and fully endorsing the recommendations contained therein including that all
alleged violations by both sides in the conflict be independently investigated and that
those investigations together with any subsequent prosecutions, be monitored by the
Security Council.The United Nations Fact Finding Mission on the Gaza Conflict, led by
Justice Richard Goldstone, was tasked by the Council “to investigate all violations of
international human rights law and international humanitarian law that might have been
committed at any time in the context of the military operations that were conducted in
Gaza during the period from 27 December 2008 and 18 January 2009, whether before,
during or after”. The conflict led to over 1,400 deaths – mainly civilian.The Goldstone
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report concluded that serious violations of international human rights and humanitarian
law were committed by both Israel and Palestinian armed groups during the Gaza conflict
and that there is also evidence that both parties committed war crimes, as well as possibly
crimes against humanity.Responding to the report, Palestine, with the support of the
Organisation of Islamic Conference, and the Non-Aligned Movement, both of which
include the Maldives as a member, convened a Special Session in order to agree next
steps. The resolution tabled: “condemns the non-cooperation by the occupying power,
Israel, with the independent international fact-finding mission; welcomes the report of the
Independent International Fact-Finding Mission; fully endorses the recommendations
contained in the report, and calls upon all concerned parties including UN bodies, to
ensure their immediate implementation in accordance with their respective mandates”.
The resolution was adopted by the Council with 25 in favour, 6 against and 11
abstentions.
Nepal:
Political:
• Govt ready to counter Maoists: Khand
Social:
• Nepal to host int'l conference on travel and tourism
Economic:
• NC CC fails to finalise statute draft before Mahasamiti meeting
• SAFTA to incorporate service trade
• NEPSE bans 19 companies
• Finance Minister hopeful about budget getting approved from parliament
Geo-strategic:
•
China to increase its assistance to Nepal by 50 pc
Govt ready to counter Maoists: Khand
Minister for Irrigation Bal Krishna Khand on Friday said that the government would not
remain mute if the Unified CPN (Maoist) continued to proceed with their unlawful and
anarchical behaviour.While talking to reporters, Khand, who is from the Nepali
Congress, warned, "The government will launch stringent actions against the Maoists if
they try to spread anarchy and act violently."Defence Minister Bidhya Bhandari has also
already warned of army mobilisation to counter the Maoist protests if they grew violent
during their protests beginning Sunday.Khand also warned that the Maoists would be
wiped out if they were harbouring desire to impose totalitarianism through violence.
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Nepal to host int'l conference on travel and tourism
In conjunction with other stakeholders including the Nepal Tourism Board (NTB), the
Pacific Asia Travel Association (PATA) is hosting an international conference on
adventure travel and tourism on Feb. 1-5, 2010. The conference will feature multiple
sessions with deliberations on adventure travel, responsible tourism, adventure sports
tourism, zero waste challenge and other issues of sustainable tourism.PATA is said to
have received important backing from two influential organisations - Adventure Travel
Trade Association (ATTA) and the International Union for Conservation of Nature
(IUCN) - for its 2010 Adventure Travel Mart.According to Prachanda Man Shrestha,
CEO of NTB, the conference would act as an important platform for tourism stakeholders
to discuss and promote environmental protection and social sustainability.
NC CC fails to finalise statute draft before Mahasamiti meeting
Nepali Congress (NC) Central Working Committee (CWC) did not finalise the
amendment draft of the party statute before the Mahasamiti meeting, slated to begin
Sunday, after CWC members failed to reach consensus.The CWC has decided to table
the dispute at the Mahasamiti meeting for discussion. A CWC meeting held Saturday,
one day before the beginning of the Mahasamiti meeting, failed to finalise the draft after
some CWC members including acting president Sushil Koirala were adamant on their
stance that the party President should be given authority to appoint some of the office
bearers in the new statute.Most CWC members are for electing all the office bearers
through election and making the president a ceremonial figure.NC Mahasamiti meeting is
beginning Sunday in Kathmandu. The Mahasamiti meeting was called despite vehement
opposition from party president Girija Prasad Koirala, to finalise the party's amended
statute and clarify its position on some key issues of the new constitution.NC is preparing
to transform itself to a multi-post leadership model scrapping the presidential model it
had been following since decades ever since its inception more than fifty years ago. The
statute will be tabled at the general convention next year for final approval.
SAFTA to incorporate service trade
The ministerial level meeting of the South Asian Free Trade Area (SAFTA) decided to
incorporate service sector in SAFTA and facilitate intra-regional trade. Commerce
Minister Rajendra Mahato said that the discussions were zeroed in on the removal of nontariff barriers. The meeting has also fixed the timetable to shorten the list of sensitive
products, reduction of customs duty and enforcement of service trade.The service sector
will be officially included in SAFTA during the 16th SAARC summit to be held in
Bhutan in April 2010. The experts group will finalise the preamble of the agreement on
service trade, mode of services and the schedule of commitments before 16th SAARC
summit. In a linear fashion, the meeting has also decided to cut the list of sensitive
products banned by member nations for import by 20 percent. A temporary committee
has been formed to monitor the reduction of the list and it will submit its report in
September 2010. Member nations have banned the import of 20-25 percent of exportable
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items terming them sensitive products. Trade between SAFTA members is less than 5
percent of their total trade.
NEPSE bans 19 companies
Nepal Stock Exchange Limited(NEPSE) has decided to de-list some 19 of its listed
companies due to their failure to meet the requirement of paying annual renewal charge
within the first three months of the current fiscal year."As these companies violated the
concerned provision of the Stock Listing Regulation, 2053 (Second Amendment), we
have decided to prohibit them from carrying out stock transaction by way of delisting,"
read a press release issued by NEPSE on Wednesday.The releases further stated that the
de-listed companies will again be allowed to operate in the capital market if they adhere
themselves to the related provision by paying annual renewal charge.The de-listed
companies include Nepal Electricity Authority (Bond-2069), Nabil Bank Limited (Bond
2075), Raghupati Jute Mills, Jyoti Spinning Mill, Nepal Finance Limited, Yak and Yeti
Hotels Ltd and Nepal Welfare Company Limited, among others.
Finance Minister hopeful about budget getting approved from parliament
Even as the continued disruption of the House proceedings by the Maoist lawmakers has
shelved major legislative works including endorsement of the budget bill, Finance
Minister Surendra Pandey on Friday claimed that the budget will be passed within the
next seven days in the parliament.The Finance Minister was clearly hinting that the
government ordinance is not required to see the budget through, as some leaders are
saying.Talking to media-persons in Bhadrapur of Jhapa where he reached today to
inspect the flood-affected areas of the district, Minister Pandey said that the budget has
already entered the parliamentary process and that there is no other option left but to have
it approved from the parliament.He said the Maoist demands are political and not at all
related with budget and assured that this is why the controversy on the issue will be
resolved in the next seven days.Minister Pandey also said that the constitution will be
prepared by the stipulated time and that there is no alternative left for the political parties
but to reach a consensus to end the prevailing political deadlock.
China to increase its assistance to Nepal by 50 pc
The Chinese government expressed commitment to increase its grant assistance to Nepal
by 50 percent. "The current annual grant assistance to Nepal will be increased to Rs 1.5
billion," Chinese ambassador to Nepal Qiu Guohong said while speaking at programme
entitled "The Role of China in Nepal's Economic Development" organized in the
capital.China had been contributing Rs. 1 billion annually as aid to Nepal's
development."In order to consolidate trade and economic ties between the two countries,
we will release soft loans to such projects that are contributing to uplift the living
conditions of poor people," he said.According to him, China is always willing extend
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assistance to Nepal's hydropower, road and tourism sector."China will gradually grant
more assistance to Nepal and in the future too we will give assistance and will encourage
Chinese enterprises to make investment in Nepal," he added.Ambassador Guohong also
focused on Nepal-China relations and urged both countries to work for mutual benefit
and stronger bilateral relations.
Bhutan:
Political:
• Depening democracy: paradoxical Paro conference
Social:
Economic:
Geo-strategic:
•
•
India to connect Bhutan projects with roads
Nepal-Bhutan talks on the card
Depening democracy: paradoxical Paro conference
Bhutan hosted the three day international conference on “Deepening and Sustaining
democracy” (12-14 Oct), jointly organized by the Center for Bhutan studies and UNDP.
It should be a matter of pride for the government of Bhutan to hold such magnanimous
conference with a bit of experience on democracy. But for the SAARC region it is quite a
surprise. UNDP’s regional director for Asia-pacific, Ajay Chhibber and Bhutan’s Prime
Minister Jigmi Thinley should have shared even greater happiness to have realized their
idea conceived far-off in New York a year back.Certainly enough, Bhutan is not a
champion of democracy which is gifted by the palace to politicians-turned- bureaucrats to
try. Another cautious step to transition, Bhutanese democracy is a top-down approach
carefully planned and handled by the former royalists who pretended and advocated
democracy to be an ill form of governance, at least in Bhutan. Although the conference
aimed to initiate sufficient dialogue on the models and components of democracy;
failures and success of democracy in the region, it did so very little for the Bhutanese
people themselves.
India to connect Bhutan projects with roads
Bhutan is constructing over a dozen hydropower plants with targets to generate some
11,000 MW of power by 2020, all to be absorbed in Indian markets. To all these projects,
it is only Indian companies who are investing.Bhutan plans to generate 11,000 MW by
2020.India stopped some mega projects in Assam and Sikkim to drill Bhutan’s hyro
potentials. For this to happen, a smoother transport is necessary connecting all project
sites.The projects in Bhutan are to start their construction from early 2010. However,
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considering Bhutan’s road network, it would be very tough time for Indian constructors
to deliver human resources and material resources to the project sites.To ease the
situation, the two governments have signed an agreement to build more roads connecting
all these project sites, to ensure works are not interrupted due to transport problem.Top
on the list is to improve the Gelephu –Santabari (Assam) road, which links mega projects
like Punatshangchu I and II, Chamkarchhu I and Mangdechu plants.Two governments
during the second annual consultation of the Bhutan – India Development Talks held in
Thimphu on October 28 – 30 finalized the road construction plans.The government of
India agreed for timely release of the fund for the construction.Besides, both the
governments agreed to hold the first Small Development Projects Committee meeting by
the first week of November. The committee will consider and approve the projects,
relating to rural development proposed by local governments.The agreement on this
effect was signed by foreign secretary Daw Penjo and the Joint Secretary, (North) of the
ministry of external affairs, India, Satish C Metha.
Nepal-Bhutan talks on the card
For the first time in two years the democratically elected government of Bhutan is
opening its mouth on the refugee issue, for long labeled as the issue of the “people in the
camps in Nepal”. There has been sequence of heavy pressures on the new government
from various sides. Will there be revised hope of repatriation?The pressure started with
the start of resettlement of ‘people from camps’ to different first world countries and visit
to Bhutan by the Senator John McCain’s delegation, last year. The high level US
delegation had given an assignment to the then recently elected government in Bhutan.
The assignment included three major and six minor deeds Bhutan was expected to carry
out within a given time frame. They were preparation for the repatriation of the people in
camp who are willing to return to Bhutan, establishment of the US Embassy in Bhutan,
transparency in the use of grants from the donors, improvement in the diplomatic relation
with Nepal to solve the refugee crisis bilaterally, guarantee of freedom and security of the
people in the opposition, change in the law to accommodate all section of the population,
no more eviction on whatever reasons, etc.Last month Foreign Minister Ugyen Tshering
traveled to Washington to hand over the assignment which carried the bulk but a little
content. The long report had one thing half positive. That was willingness of Bhutan to
open an educational and cultural consulate in Thimphu instead of a full fledged US
embassy. The shy FM met with Senator John Mc Cain and requested him to forward the
assignment to White House. It was refused. The ultimatum must have been renewed or
extended, or even warning must have been issued, Ugyen delegation returned with heat
strong enough to make the leaders go rest less.They sought help of south block in Delhi,
India, to crack new ideas to fool US and prolong the tact. Indian Home Minister P.
Chidambaram had to rush to assist Bhutan’s ministers in the new chase move. On his way
to Bhutan he used the transit time in Tribhuwan International Airport in Kathmandu by
calling an emergency meeting with Nepal’s Home Minister Bhim Rawal and cautioning
him to prepare for an immediate bilateral talk with Bhutan on the issue of the exiled
Bhutanese. This unusual meeting of two home ministers during the usual transit of Druk
Air in TIA was sufficient indicator of heat in the rulers.Not a coincidence Prime Minister
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Jigme Y Thinley rushed to Japan to meet Sadako Ogata, one of the former heads of
UNHCR. During her leadership in the refugee organization, Jigme Thinly as a minister
under the former Monarch Jigme Singye Wangchuck had developed a warm rapport with
her. She was even invited to Bhutan to strengthen the intimacy. Now she is one of the
most powerful figures who can be a right third person to suggest and influence on the
issue of exiled Bhutanese and possible say to the pressurizing parties what Bhutan rulers
want to say. It is noteworthy to recall that immediately after her visit to Bhutan; she
visited the refugees in camps in Nepal and assured them that she would see all the
refugees back in Bhutan during her tenure. What next? Now, out of many strategic moves
designed, one would be to call for a positive dialogue with Nepal on the issue of exiled
Bhutanese. The government in Nepal is right for the Bhutan to deal with, as Nepalese
Prime Mnister Madhav Kumar Nepal is as good a friend of Bhutan’s rulers as Sher
Bahadur Deuba who had agreed for Bhutan’s proposal to categorize exiled Bhutanese
into four groups.If anything is possible, bendable, melt-able and strike-able, it is now. So
let’s expect Bhutan and Nepal will sit for a new round of talk and give pretext to the
world to say that the work is going on for repatriation of the citizens expelled two
decades back. However, for the exiled Bhutanese, there is not much to get excited right
now.
Myanmar:
Political:
• U.S. delegation in Myanmar for rare junta talks
Social:
• Contributors to winning best exhibitor award in China-ASEAN expo
honored in Myanmar
Economic:
Geo-strategic:
• S. Korean shipbuilder wins US$1.4 bil. Myanmar order
U.S. delegation in Myanmar for rare junta talks
A delegation of senior U.S. officials arrived in Myanmar for Washington's highest-level
talks with the reclusive military regime in 14 years.The Obama administration's move to
engage the junta appears focussed on pushing for free and fair elections next year,
although analysts say the rapprochement is as much about geopolitics and the growing
regional influence of China.Assistant Secretary of State Kurt Campbell leads the
delegation meeting the junta in its new capital Naypyidaw before travelling to Yangon
for talks with detained Nobel laureate Aung San Suu Kyi and her National League for
Democracy (NLD) party.The United States has said little ahead of the two-day visit,
widely seen as exploratory dialogue to see how sincere the notoriously distrustful
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generals are about democratic reforms."The U.S. wants to suss out whether or not they
have a genuine dialogue partner," said Sean Turnell, a Myanmar analyst at Australia's
Macquarie University."The overtures towards warming ties with the U.S. have come
from officials lower down and the U.S. is trying to get a feel for how committed the
generals are."Campbell met Myanmar's minister of science, technology and labour in
New York in September after Washington announced it would pursue deeper engagement
to try to spur democratic reform.Burma, insisting dialogue would "supplement rather than
replace the sanctions regime."A government source in Naypyidaw said Campbell, the
highest-ranking U.S. official to visit Myanmar since Madeleine Albright in 1995, was
expected to meet with government ministers and senior junta figures, including Prime
Minister Thein Sein."But he's not likely to meet the senior general," said the source,
referring to Than Shwe, the junta supremo who has led the country for the last 17
years.Critics of the regime say it could be using the U.S. visit for its own gain, to try to
give legitimacy to its democratic "road map" and show key ally China, its economic
lifeline, that it is not its only friend.Than Shwe's snub is being seen as an indicator of the
generals' commitment towards reforms and a sign of whether the U.S. engagement can
really be effective."Avoiding Campbell means the senior general is not ready to
compromise. I think he will fall short of the expectations of the new U.S. administration,"
said a retired civil servant in Yangon.Thakhin Chan Tun, a retired diplomat, added: "We
can't expect any tangible immediate results...Than Shwe is the one who makes all the
decisions on all important policy issues."Some analysts say that with ties strained
between China andMyanmar - over instability along their border - the generals are keen
to reduce their reliance on Beijing and have sought to shore up ties with India, Russia and
their Southeast Asian allies."Burma's ties with China may have been exaggerated and it
might want to show that it can function independently," said Christopher Roberts at the
University of Canberra.Campbell is due to meet Suu Kyi, who has spent 14 of the last 20
years in some form of detention, on Wednesday. The junta last month allowed her to
meet Western diplomats to discuss sanctions on the country.
Contributors to winning best exhibitor award in China-ASEAN expo honored in
Myanmar
The Union of Myanmar Federation of Chambers of Commerce and Industry (UMFCCI)
has honored persons who contributed to the winning of some exhibition-related awards in
the recent China-ASEAN Expo held in Nanning, capital of Southwest China' Guangxi
Zhuang Autonomous Region, sources with the UMFCCI said on Monday. UMFCCI is
Myanmar's biggest private business organization. Myanmar won the best exhibitor award
and best trade visitor organizer award in the 6th China-ASEAN Expo held from Oct. 20
to 24, attended by over 200 businessmen of 83 companies from the country. Persons
honored on Sunday are those who contributed and drew designs for the national pavilion
and the commodity pavilion, the sources said. According to the UMFCCI, Myanmar won
some investment memorandums of understanding from Chinese companies during the
recent China-ASEAN Expo held in Nanning. These prospective investments include
those in the sectors of mining, hydropower, agriculture, value-added wood processing
and gem production. Myanmar entrepreneurs, who attended the expo, were from such
sectors as agriculture, fishery, industry, manufacturing, gems, traditional handicrafts,
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47
forestry and hotel and tourism. Myanmar booth on display at the just-ended expo
highlighted the Muse border town as a town of facilitating trade and cooperation in
levying tariff. Since joining the China-ASEAN trade fair in 2004, Myanmar booth
featured the commercial hub of Mandalay in the second trade fair, tourism site of ancient
city of Bagan in the third fair, port city of the former capital Yangon in 4th fair and cyber
city of Yadanarpon in the 5th fair. The country won the best booth, best design and best
creativity awards in the 4th China-ASEAN trade fair in 2007 and best booth award again
in the 5th China-ASEAN trade fair. Meanwhile, Myanmar will open a business
representative office in Nanning, next year in a bid to promote business links between the
two countries especially with the region. The Myanmar representative office, to be jointly
set up by the Ministry of Commerce and the UMFCCI, will display gems and gem
products, forest and marine products and agricultural produces. China's Nanning and
Myanmar's Yangon established friendship city relationship in July this year. According to
Chinese official statistics, China-Myanmar bilateral trade amounted to 2.626 billion
dollars in 2008, up 26.4 percent. Of the total, China's export to Myanmar took 1.978
billion dollars.
S. Korean shipbuilder wins US$1.4 bil. Myanmar order
South Korea's Hyundai Heavy Industries, the world's largest shipbuilder, it has won a
US$1.4 billion deal to build an offshore gas platform in Myanmar. It said it secured the
order from Daewoo International, a South Korean trading company which is leading a
consortium to develop the gasfield off Rakhine state near the border with Bangladesh.
EAST ASIA
Business and Politics in Muslim World
South East Asia
Tatheer Zahra Sherazi
16 October to 23 October 2009
(Outline)
Summary
Indonesia
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Political front:
Indonesia’s Yudhoyono sworn in
Yudhoyono unveils cabinet
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BPM- Zone 1- Asia Reports
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Malaysia
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Geo-strategic Front
Indonesians "Threaten" To Close Border
Vessels in Malaysian and Indonesian waters in distress
Economic Front
Indonesia targets 7% growth
Five Indonesian banks set to launch Islamic units
Social front
Going down the road to meet South Asia?
Indonesia: Earthquake Situation Report No. 16
Environmental Front
48
10
11
12
Political Front
15
No Reason For Opposition To Disrupt State Assembly Sitting - Najib
Malaysia's ruling party has out-Islamized the opposition
Malaysia's Judiciary Should Look Beyond Own Borders, Says Raja Nazrin
Shah
PAS Faces Serious Leadership Problem, Says Muhyiddin
Foreign Relations
Economic Front
19
ASEAN Leaders Says Free Trade Area Is On Track
Malaysian PM unveils budget with vow to cut deficit
Social Front
22
Beyoncé postpones Malaysia show targeted by Islamic party
Recovery of economy expected next year, says Deputy Finance Minister
Malaysia hails Kuwait''s role in solving Muslim food shortage
Sodomy Case: Court Rejects Anwar's Objection(pol,social)
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Philippine
• Political Front
• Foreign Relations
• US role in talks double-edged .
• Economic Front
• World Bank sees economy picking up in Philippines
• Social Front
• Philippines calls for help to address disease outbreak in storms' aftermath
• Lupit weakens, keeps Philippines on edge
• Disease threatens survivors of floods
• Separatist groups seeks help in reaching peace deal .
• Environmental front
Thailand
• Political Front .
• Cambodia denies offering Thaksin home
• PM tries to ease Democrat rifts
• Foreign Relations
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Myanmar Won't Allow Thailand's Foe To Use
PM(social,polirical)
Economic Front
Why the Thai king's health can panic markets
Promoting Peace Through Organic Farming in Thailand
ASEAN-Korean trade rises 23.4 per cent ahead of pact
Asian summit to tackle economic crisis
Thai cabinet approves investment projects worth $7 bln
SC Bank: GDP to rebound in 2010
At Social Front
Despite Outreach, Violence Is Up In Southern Thailand
49
Its
Soil,
Says
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Singapore
• Political Front
• Foreign Relations
41
• S'pore ready to resume talks with Indonesia on defence agreement
• Economic Front
42
• MM Lee says China and India growth will result in new world order
• Analysts say office rental slide a necessary correction
• S'pore today is a result of effort put into building country: MM Lee
• opportunities for more S'pore firms in Tianjin Eco-city projects
• Social enterprises no different from normal businesses & must be viable
• SBF says recent Iran business mission will attract sales of S$85m
• Economic crisis an opportunity to push for green tech: Dutch minister
• Environmental Front
• At Social Front
Vietnam
• Political Front
45
• Vietnam PM assures full cooperation
• Foreign Relations
• Geo-strategic front
• Economic Front
47
• Survey shows govt, FIs need to boost efforts to help SMEs
• Vietnam Targets Economy to Grow by 6.5% Next Year
• Lawmakers want lower budget deficit target next year
• Social Front
49
• Situation Report Vietnam – Typhoon Ketsana Oct 2009
• Vietnam to import additional 10,000 tons of sugar this year
• Environmental Front
Cambodia
• Political Front
50
• Cambodia parliament votes to limit mass demonstrations
• Foreign Relations
51
• Cambodia will not extradite Thaksin on Thailand’s request
• Economic Front
51
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50
Chinese loans to Cambodia
Social Front
52
Hungry in Cambodia: Flood affected communities are still waiting for food
assistance
Environmental Front
53
Cambodian PM blames wealth countries for climate change
Laos
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Political Front
Foreign Relations
53
Laos, China pledge deeper relationship
Economic Front
54
Vietnam?s firm to explore copper ores in northern Laos
Laos, Thailand to double trade by 2010
Savannakhet expects GDP rise by 13 %
At Social Front
55
Laos just reports 17 dead victims from Ketsana, while welcoming emergency
aid
USAID gives US$320,000 to disabled people in Laos.
Japan grants relief aid to flood victims in southern Laos
Brunei
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At political Front
Employment Order 2009 Passed
‘Connectivity For An Asean Community'
At Economic Front
Privatization Plan To Be Ready In A Year
Goal To Increase Awareness In Energy Efficiency & Conservation
At Social Front
Ostrich meat gains popularity in Brunei(social, co)
58
Summary
At political Front
• Indonesia
Susilo Bambang Yudhoyono has become the first Indonesian president to be
sworn in for a second term, consolidating political stability in the sprawling southeast
Asian archipelago.
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He was re-elected in July on a platform of reform and economic growth, and this could
mean that his new cabinet would comprise more business professionals and fewer career
politicians.
Indonesian President Susilo Bambang Yudhoyono unveiled his new Cabinet on late
Wednesday night with much fanfare but few surprises.Many of the names had leaked out
over the past few days, and have been summed up by analysts as a mixed bag .
• Malaysia
In Malaysia’s current political climate, it is no longer possible to distinguish Islamic
radicals from Islamic moderates. Despite official boasting about the country’s diverse
population and commitment to pluralism, Islam and the government have essentially
merged. For two decades, the ruling United Malays National Organization (UMNO)
government invested enormous public resources in building up a network of Islamic
institutions. The government’s initial intention was to deflect radical demands for an
extreme version of Islamic governance. Over time, however, the effort to out-do its critics
led the UMNO to over-Islamicize the state.
The proposal by PAS Spiritual Leader Datuk Nik Aziz Nik Mat for a PAS special
general assembly to cleanse the party of pro-unity government leaders shows that PAS is
facing a serious leadership problem, Deputy Prime Minister Tan Sri Muhyiddin Yassin
said on Saturday.
Acknowledging that the Nik Aziz proposal was a PAS domestic affair, he said it
nevertheless showed an obvious clash of opinions in the opposition party.
• Thailand
A senior Cambodian official yesterday denied that Cambodian Prime Minister Hun
Sen offered Thailand’s former prime minister Thaksin Shinawatra a home in Cambodia.
Cambodian Information Minister Khieu Kanharith said Hun Sen had been misquoted by
the media. “He didn’t say that,” Khieu Kanharith said. “Some people have said we would
allow Thaksin to have a permanent home in Cambodia - it’s not true.”
Prime Minister Abhisit Vejjajiva has been called on to repair a potential rift over
charter amendments threatening to cause chaos in his ruling Democrat Party.Mr Abhisit
yesterday spoke to party MPs at a meeting called after several publicly voiced
disagreement with the party's move to support the six-point constitution rewrite proposed
by the government, opposition and senate whips.
At Foreign Relations Front
The declaring bitter truth is that Moro Islamic Liberation Front (MILF) leaders
want to establish an independent state made up of the majority of the Filipino Muslims
(who see the Philippine Republic as their country) and the minority of militant Muslims
here who, like the MILF leaders, despise our Republic. A less painful resolution of the
conflict between the government and the various MILF bands and the MILF leaders (who
seem incapable of enforcing discipline among their commanders and followers) is the
formation of an autonomous Bangsamoro state, or two or several Bangsamoro states,
within a new federal system of the Philippine Republic.
At Economic Front
• Indonesia
INDONESIAN President Susilo Bambang Yudhoyono said on Friday his new
economic team was aiming to achieve seven percent growth by the end of his final term
in office.
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On the first full day at the helm of his new cabinet, which was sworn in Thursday after
July presidential polls, Mr Yudhoyono promised to return Southeast Asia's biggest
economy to pre-crisis growth levels by 2014.
He also promised 'growth that is inclusive and fair' and reduces poverty in the mainly
Muslim archipelago of 234 million people.
Five Indonesian banks including Bank Central Asia (BBCA.JK), the No. 3 lender,
expect to launch standalone sharia units next year, boosting the sharia market in the
world's most populous Muslim nation, officials said.
Industry officials said the revised law on value added tax, which removed double taxation
in the Islamic market, would encourage more banks to set up Islamic banking
subsidiaries. The double taxation had made Islamic transactions more expensive than
comparable conventional deals.
• Malaysia
The 10 South East Asian countries have reiterated that the realisation of the Asean
Free Trade Area (AFTA) on Jan 1, 2010 is well on track, despite scepticism over some
members' commitment in cutting tariff for major agricultural products.
Malaysia’s prime minister unveiled his maiden budget yesterday, promising to
slash the 2010 deficit from its highest level in more than 20 years, although he provided
few clues as to how the cuts would be realised.
Najib Razak, who is also finance minister, told parliament the budget deficit would fall to
5.6 percent of gross domestic product in 2010 from a forecast 7.4 percent this year in a
move that is seen boosting domestic bonds as issuance slows.
The country’s economy is expected to recover next year by recording a positive
growth that will create employment opportunities, said Deputy Finance Minister Datuk
Dr Awang Adek Hussin.
He said the confidence and projection hinged on the growth of the world economy as it
was heading towards recovery.“In the first and second quarters, the country’s economy
had registered negative growth like the world’s economy.
“However, the contraction of the country’s economy at the end of the second quarter was
smaller at 3.9% against between 6% and 7% in the previous quarter,” he told reporters
after opening the Islamic College of Science and Technology’s second convocation here
on Sunday.Awang Adek said for Malaysia, the retrenchment experienced during the
economic slowdown was a temporary experience.
“As the economy picks up, the investment will increase, definitely more jobs will be
created. Retrenched workers will be rehired.
• Philippine
The World Bank said it no longer expected the Philippines to sink into recession in
2009, noting that the country’s macroeconomic fundamentals proved to be better than
earlier anticipated.Bert Hofman, the bank’s country director for the Philippines, said in a
speech before members of the business community yesterday that the multilateral lending
institution was taking back its earlier pronouncements that the domestic economy would
contract in 2009. Hofman said the World Bank saw the Philippines registering a minimal
growth.
• Thailand
Asian leaders meet in Thailand amid tight security this weekend to discuss ways to
deepen economic ties and sustain the region’s rebound from the recent global downturn,
BPM- Zone 1- Asia Reports
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53
officials said.A long-awaited but controversial rights body is also set for its official
launch, while leaders are expected to grapple with climate change and how to improve
the way they deal with natural disasters.
Thailand's cabinet approved on Tuesday more projects worth about 230 billion
baht ($6.9 billion) under a three-year government investment plan to revive the economy,
Finance Minister Korn Chatikavanij said.
• Singapore
Singapore Minister Mentor Lee Kuan Yew said that the growth of twin giants China
and India will result in a new world order, even if in the absence of a global financial
crisis.
• Vietnam
Vietnam is targeting economic growth of 6.5% in 2010 against expected growth of
5.2% this year, aided by a flexible monetary policy that will also help contain inflation,
Prime Minister Nguyen Tan Dung said.Gross domestic product is projected to be 1,931
trillion dong ($106 billion) in 2010,
• Cambodia
China will provide 853 million US dollars in loans to Cambodia for infrastructure,
irrigation and dam projects to boost its economy and reduce poverty.Cambodia's foreign
minister says the agreement was clinched on Friday when Chinese Premier Wen Jiabao
met Cambodia's Prime Minister Hun Sen on the sidelines of an economy and trade fair in
Sichuan.
• Laos
Laos and Thailand have reached a consensus to double the volume of the two-way trade
by 2010 as compared with this year?s figure, requiring Laos?s exports to Thailand to
triple the current value.
The two sides are preparing to draw up a plan to boost trade by 2010, which is seen to be
feasible as Thailand has taken the lead among foreign investors in Laos over the past nine
years. Thailand is currently investing in 216 projects representing USD 2.5 billion in
Laos. China ranks second, with over USD 2.1 billion in 303 projects, followed by
Vietnam with over USD 1.9 billion in 189 projects.
At Social front
• Malaysia
US singer Beyoncé Knowles has postponed her concert in Malaysia planned for this
weekend, organizers said, denying that the move was linked to threats of protests by
Muslim groups.
A Malaysian official on Sunday extolled Kuwait's role in the alleviation of food
shortage in the Muslim world by creating a financial fund for the purpose.
The fund was announced by Kuwait during the 4th World Islamic Economic Forum
(WIFE) held in Kuwait in 2008.
Datuk Seri Anwar Ibrahim on Friday failed to prevent the Court of Appeal from
hearing the prosecution's appeal against the High Court's order for the prosecution to
supply documents to him.This follows the Court of Appeal's dismissal of Anwar's
preliminary objection to strike out the prosecution's appeal. Mohamed Yusof, in the
prosecution's appeal, submitted that the High Court judge was wrong in his decision
when he said Anwar had the right to know everything, prior to his sodomy trial.
BPM- Zone 1- Asia Reports
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54
He said Section 51 of the CPC did not allow Anwar access to the evidence in possession
of the prosecution until the trial."Section 51 refers to the documents which the applicant
(Anwar) already knows of, not for the purpose of a fishing trip," he said.The hearing
continues on Oct 30.
• Philippine
The WHO on Thursday said the Philippines is requesting "international help to fight a
deadly outbreak of an infectious disease following two devastating tropical storms,"
Agence France-Presse reports. Parts of Manila, which are still flooded almost four weeks
after Tropical Storm Ketsana hit, are experiencing an outbreak of the bacterial infection,
leptospirosis
BPM- Zone 1- Asia Reports
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55
Detailed News Monitoring Report
Indonesia
• Political front:
• Indonesia’s Yudhoyono sworn in
Susilo Bambang Yudhoyono has become the first Indonesian president to be sworn in for
a second term, consolidating political stability in the sprawling southeast Asian
archipelago.
He was re-elected in July on a platform of reform and economic growth, and this could
mean that his new cabinet would comprise more business professionals and fewer career
politicians.
•
Yudhoyono unveils cabinet
Indonesian President Susilo Bambang Yudhoyono unveiled his new Cabinet on late
Wednesday night with much fanfare but few surprises.Many of the names had leaked out
over the past few days, and have been summed up by analysts as a mixed bag.
The line-up ranges from respected, hand-picked technocrats to political appointees from
the President's six-party coalition who do not have the track record he will need to push
much-needed reforms.Dr Yudhoyono called the 34-member team Kabinet Indonesia
Bersatu Kedua (Second United Indonesia Cabinet). 'This is the team who will work hard
in the next five years to enhance prosperity in the country,' he said at a press conference
at the Istana Negara.
One surprise was the new health minister, Dr Endang Sri Rahayu Sedyaningsih, the head
of research and development at the Health Ministry. Prominent eye surgeon Nila
Moeloek was widely reported earlier to have been slated for the post.
• Geo-strategic Front
• Indonesians "Threaten" To Close Border
Timor-Leste born Indonesian citizens living in Atambua-Kupang-Indonesia, have
threatened to set up checkpoints or sweeps vehicles with Timor-Leste white registration
number plates because of the detention of the former Laksaur Militia Commander,
Maternus Bere who is still detained at the Indonesian Embassy in Dili.
"We will undertake sweeps (checkpoints) of cars belonging to Timorese who travel in
and out of Indonesia. This action will be taken especially against the sons and daughters
of FRETILIN leaders including FRETILIN cadres who live near the border," Francisco
Soares Pereira told STL by telephone Friday (15/10).
• Vessels in Malaysian and Indonesian waters in distress
The Australian Maritime Safety Authority (AMSA) is helping Malaysian and Indonesian
agencies after two boats were reported being in distress, the Australian Associated Press
(AAP) reports.
Hundreds of people believed to be heading to Australia are reportedly aboard the vessels,
but there is no confirmation at this stage that they are asylum seekers.Australia's Deputy
Prime Minister Julia Gillard said on Sunday that the government was trying to strike a
balance between deterring people smugglers and treating asylum seekers humanely.The
AMSA is involved in the operation to assist about 270 people on board the two boats in
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Indonesian and Malaysian waters. The operation is being led by search and rescue
authorities from Malaysia and Indonesia.A spokesperson for Australia's Home Affairs
Minister Brendan O'Connor said Canberra had been briefed on the situation."The
Australian government is aware of reports of two vessels possibly in distress in waters
close to Indonesia and Malaysia," AAP quoted the spokesperson as saying.
"The Indonesian and Malaysian search and rescue authorities are the lead agencies.
However, the Australian government through AMSA is providing assistance to these
agencies."At the request of AMSA, HMAS Armidale has made contact with the vessel
296 nautical miles northwest of Christmas Island and 120 nautical miles from
Sumatra."All the people on board the vessel are safe and no major medical problems have
been identified. The intention of this group is not known at this point,' he said.
One of the boats was reportedly sinking in Malaysian waters, the TV Nine Network
reported Saturday. The second boat was spotted off the coast of Indonesia.
The situation unfolds as a group of Sri Lankan asylum seekers in Indonesia ended a
hunger strike.The boat, carrying more than 250 ethnic Tamils, was intercepted last
weekend by the Indonesian navy en route to Australia and taken to the Javanese city of
Merak.
Prime Minister Kevin Rudd is reportedly seeking a new strategic agreement with Jakarta
to halt the transit of asylum seekers through the Indonesian archipelago to Australia.
• Economic Front
• Indonesia targets 7% growth
INDONESIAN President Susilo Bambang Yudhoyono said on Friday his new economic
team was aiming to achieve seven percent growth by the end of his final term in office.
On the first full day at the helm of his new cabinet, which was sworn in Thursday after
July presidential polls, Mr Yudhoyono promised to return Southeast Asia's biggest
economy to pre-crisis growth levels by 2014.
He also promised 'growth that is inclusive and fair' and reduces poverty in the mainly
Muslim archipelago of 234 million people.
The government has predicted growth of 4.0-4.5 per cent this year, third only to China
and India in the G-20 club of rich and major developing countries. The economy grew
6.1 per cent in 2008.Addressing the inaugural session of the new cabinet, Mr Yudhoyono
said seven per cent growth could have been reached this year but for the impact of the
global downturn on the domestic economy.
Mr Yudhoyono's new coordinating minister for the economy, Hatta Rajasa, earlier said
that while the government was aiming for seven per cent growth by 2014, a longer-term
eight per cent target was 'achievable'.
• Five Indonesian banks set to launch Islamic units
Five Indonesian banks including Bank Central Asia (BBCA.JK), the No. 3 lender, expect
to launch standalone sharia units next year, boosting the sharia market in the world's most
populous Muslim nation, officials said.
Industry officials said the revised law on value added tax, which removed double taxation
in the Islamic market, would encourage more banks to set up Islamic banking
subsidiaries. The double taxation had made Islamic transactions more expensive than
comparable conventional deals.
"We hope that it would be easier for us to expand business and seek strategic partners.
We also hope to grow faster and attract investors from Middle East," said Barno
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Sudarwanto, head of planning and development at the sharia unit of Bank Negara
Indonesia (BBNI.JK), the No. 4 bank, which will be spun off.
Others due to set up separate sharia banking units include mid-sized lenders Bank Panin
(PNBN.JK), Bank Victoria (BVIC.JK) and unlisted Bank Jabar Banten.Investor Daily
newspaper on Friday reported that a U.S. insurance firm had met with central bank
officials this week to discuss the possibility of
• Social front
• Going down the road to meet South Asia?
On a weekend evening in Bangkok’s upmarket Nanauna area, a few Pakistani expatriates
toasting scotch in a corner of Akbar Restaurant fiercely debate the future of their native
country.
A long bearded Pakistani supporting a skullcap – who could have been dismissed as a
‘maulana’ or a rector of a ‘madrassa’ but for the choicest whisky on his table – blames
former president Pervez Musharraf for Pakistan’s ills. The debate gets shriller, with some
siding with Musharraf, others charging President Asif Ali Zardari and some even going
further into the past to target Gen Yahya Khan. But the owner of the restaurant –
Muhammad Akbar, now a Thai national who recently visited his native city of Sialkot –
ends the fiercely contested argument, blaming the Americans for the tribulations. All,
highly inebriated heads nod in agreement.
Asked if Muslims face discrimination, Akbar Ahmed – a resident of Bangkok for the last
40 years – says the 2002 Bali bombings in nearby Indonesia and the 9/11 attacks in
America have changed their lives. “We feel piercing eyes looking at us with suspicion
even after having spent the major part of our lives here,” he says.
Another expatriate, Shahid, also agrees that things have changed for Muslims and
Pakistanis the world over. However, he says that news of instability and terrorist attacks
back home are even more disturbing.
In the other, far end corner of the city, more than 30 Muslim activists and representatives
from Thailand, Indonesia, Malaysia, Myanmar, the Philippines and Cambodia have
gathered at the Bangkok Islamic Centre to discuss “military campaigns” against Muslims
in Southeast Asia.
The region may seem composed in comparison to Afghanistan, Pakistan, Kashmir and
Iraq, but Muslim-dominated provinces in three countries – Arakan in Myanmar,
Mindanao in the Philippines and the southern provinces of Yala, Narathiwat, Patani and
Satun in Thailand – are reeling from insurgencies and daily rounds of gunbattles and
bombings.
In all three conflict zones, millions have been killed, displaced and made refugees either
in their own countries or other countries. Generations of Rohingyas, Moros and South
Thai Malays have been witness to violence, deprivation and tragedy.
Like India, these governments – exploiting the war on terror – have, of late, sold these
conflicts as part of terrorism and hardline Islamism, seeking sympathies and aid from the
West. Speaker after speaker at the Bangkok Islamic Centre conference dismiss this
analogy, saying all three conflicts stem from local grievances embedded in social,
economic, political and civic dimensions.
The executive director of Penag-based Citizens’ International, Mohideen Abdul Kader,
told Daily Times that these conflicts – raging on for several years without any resolution
– involve the right of self-determination to indigenous communities. He also pointed out
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that unless the conflicts are tackled and redressed effectively and justly, the worsening
spread of their impact could spill over national borders.
These groups at the conference, in a “Bangkok Declaration”, called on ASEAN
governments to engage with the governments of Myanmar, Thailand and the Philippines
to end human rights abuses and find peaceful solutions to the problems.
Last Monday, 200 Thai security personnel raided an Islamic school in the southern part
of the country, detaining 60 students and religious teachers for questioning. At least 4,000
killings have been reported in the region since 2004. The emergency laws imposed in the
region in July 2005 authorise military to detain suspects for interrogation for 30 days
without charge. The raid came two days after a group of suspected Muslim insurgents
opened fire on a high-ranking civil servant’s motorcade in the area. But in these areas
too, insurgents have killed more fellow Muslims than rival Buddhists or security forces.
They killed a 49-year-old Muslim cattle raiser and a butcher on suspicion of being
informers. A tailor’s shop was bombed for selling police uniforms.
Recently, insurgents killed a former 60-year old guerrilla leader, Waedolah Wae-u-Seng,
along with his daughter, son-in-law and two grandchildren. The teacher-turned-leader had
abandoned guns and mellowed down as a politician. As I leave Thailand, reports from
Southern Yala provinces say soldiers have take up position in a marsh in a joint operation
with police to flush out suspected insurgent leader Nurisan Wani along with his group
hiding near Batan Mountain in Muang district. The news sounds familiar. We have it in
abundance in Kashmir, Afghanistan and now in Pakistan.
•
Indonesia: Earthquake Situation Report No. 16
This report was issued by OCHA New York, with inputs from OCHA Indonesia. It
covers the period from 16 October 2009 to 20 October 2009. The next report will be
issued on or around 23 October 2009.
• HIGHLIGHTS/KEY PRIORITIES Shelter remains the biggest unmet need.
• Only 20 percent of the population in Padang city is connected to water
distribution network.
• Latest official figures on the impact of the earthquake and the landslides to be
released on 21 October.
• UNDP's Human Recovery Needs Assessment (HRNA) to be presented to the
National Disaster Management Agency (BNPB) on 21 October.
• Education sector still requires further funding to carry out emergency operations.
II. Situation Overview
The Government of Indonesia is expected to release village-level impact data on 21
October which will provide a detailed baseline for reviewing needs, priorities and the
geographic distribution of relief agencies and activities. There are more than 2.5 million
people living in the six most affected districts, although damage will be most severe in
areas close to the epicentre, as shown in the map above. OCHA has prepared an extensive
set of baseline village information to make full use of the damage data as soon as it is
available.
The National Disaster Management Agency (BNPB) reports that all isolated areas have
now been reached but humanitarian organizations are still responding to reports from
remote communities who say they have not received any assistance. Shelter remains the
biggest need in affected areas. Distribution of emergency shelter continues to be the focus
of the majority of agencies. The current lull in shelter distributions is due to pipeline
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delays which are expected to be resolved next week. The upcoming rainy season could
raise the risk of further landslides in some of the affected areas.
The Government of Indonesia plans to commence recovery activities from 1 November,
but as detailed in the Humanitarian Response Plan (HRP) emergency activities will
continue for another two months. Once the recovery phase begins, all NGOs will need to
be registered with the government to continue their operations.
• Environmental Front
Malaysia
• Political Front
• No Reason For Opposition To Disrupt State Assembly Sitting - Najib
Opposition State Assemblymen in Perak have no reason to disrupt the Perak State
Legislative Assembly sitting scheduled for Oct 28, said Prime Minister Datuk Seri Najib
Tun Razak.
He said this was because the State Assembly sitting was being held by the Barisan
Nasional (BN) state government in accordance with the law."Although there is a (legal)
process which has yet to be completed, we must respect the sanctity of our
constitution."So, there is no reason why there should be any disruption or any act that can
create a negative situation in terms of the public perception on politics in Perak," he told
reporters after having a closed-door meeting with the Perak Umno leaders at the Perak
Umno building, here Sunday.He reminded opposition leaders in Perak that the change in
the Perak state government in February was due to the 'game' played by the opposition
themselves."Don't forget the starting point was when they stole one of our ADUN (State
Assemblymen). That is their starting point, so they played the game actually... not us," he
said.Najib, who is also the Umno president, explained that the closed-door meeting with
the Perak Umno leaders today was a follow-up to the Umno general assembly which
concluded on Friday where he had emphasised on several matters in the form of action
that could be translated at the state, division and branch levels.
He said he also launched the Perak Umno song at the closed-door meeting which he felt
would inspire all Umno members in Perak.
•
Malaysia's ruling party has out-Islamized the opposition
In Malaysia’s current political climate, it is no longer possible to distinguish Islamic
radicals from Islamic moderates. Despite official boasting about the country’s diverse
population and commitment to pluralism, Islam and the government have essentially
merged. For two decades, the ruling United Malays National Organization (UMNO)
government invested enormous public resources in building up a network of Islamic
institutions. The government’s initial intention was to deflect radical demands for an
extreme version of Islamic governance. Over time, however, the effort to out-do its critics
led the UMNO to over-Islamicize the state.
The UMNO’s program has put Sharia law, Sharia courts, and an extensive Islamic
bureaucracy in place, a collective effort that has taken on a life of its own. The number of
Islamic laws instituted has quadrupled in just over 10 years. After Iran or Saudi Arabia,
Malaysia’s Sharia court system is probably the most extensive in the Muslim world, and
the accompanying bureaucracy is not only big but has more bite than the national
Parliament.
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Islamic laws in Malaysia are based on religious doctrine but codified and passed as
statutes by state parliaments. Not much debate attends their enactment, because a fear of
heresy keeps most critics from questioning anything deemed Islamic.
While the UMNO still trumpets its Islamic advocacy, the party is facing difficult choices,
particularly as it wishes to maintain foreign investment in an increasingly polarized
environment.
For example, Minister of Home Affairs Hishamuddin Hussein recently held a press
conference to support Muslims who demonstrated against the construction of a Hindu
temple in their neighborhood. The protestors paraded a severed, bloodied cow’s head in
the street, then spat and stomped on it. This was an offense to Malaysia’s Hindus, who
consider the cow a sacred animal.
Just a week earlier, a young mother by the name of Kartika was sentenced by Malaysia’s
Sharia court to six lashes by cane and fined $1,500 after she was caught drinking beer at a
hotel. Although the sentence is still in limbo, Hussein publicized his acceptance of the
punishment by inviting the official floggers to his office to demonstrate how an Islamic
caning would be carried out. They used a chair as a mock target, leaving him satisfied
that Islamic caning can be appropriately used as a punishment for women.
Ironically, Hishamuddin Hussein is far from an Islamic hardliner. The son of Malaysia’s
third prime minister and a cousin of the current prime minister, Hussein is widely
considered modern, moderate, and cosmopolitan.
A true hardliner is Nik Aziz, the chief minister of Kelantan state, who is also the spiritual
leader of Malaysia’s largest Islamic party, PAS, which now controls two state
governments. However, Aziz opposed the anti-Hindu protest, even calling a group of
anti-Muslim protestors in the United Kingdom more civilized in their approach. Hence, it
is no longer accurate to think of the PAS as a fundamentalist party and the UMNO as
moderate. Party strategies are leading them in unexpected directions. The UMNO’s more
radical turn is being matched by the PAS’s attempts at moderation. The PAS is aiming
for the most unlikely of voters: non-Muslims, who account for 40 percent of Malaysia’s
population and are increasingly alienated from the UMNO.
•
Malaysia's Judiciary Should Look Beyond Own Borders, Says Raja
Nazrin Shah
Malaysia's judiciary should look beyond the national borders and adopt more
international human rights thinking and standards in arriving at legal decisions, the Raja
Muda of Perak, Raja Dr Nazrin Shah, said on Saturday.
It was not about imitating others, he said when addressing scores of Malaysia's senior
jurists and judicial administrators when opening the Judicial Colloquium on Human
Rights, here."It is about seeking solutions to local problems by consulting universally
accepted standards. It is about drawing on the experience of others who have faced
similar problems," he said.
Raja Dr Nazrin Shah said this was the normal practice in most advanced countries now
and there should be no reason for Malaysia not do so as well.He said human rights
commissions in other countries had undertaken the role of "amicus curie" or friends of
the courts and offered expert opinions on human rights issues.
When it came to upholding human rights, the buck stopped squarely on the steps of the
Palace of Justice, he said, adding that there was no more important body than the
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judiciary which, by virtue of its role and functions, upheld the constitution and the rights
accorded to the citizens.
However, he said, this was both an enviable and unenviable position to be in.On the
positive side, he said the courts had the power to shape society by elevating social
standards of behaviour and practice but on the negative side, the courts were quite often
criticised for either not enforcing human rights or only doing so superficially."In my
view, there is no more important body than the judiciary. Its role and function as the
upholder of justice means that it can render new and continually relevant meanings to the
fundamental liberties embodied in the constitution," he said.
He said the issues of justice could only be resolved with a fair hearing and impartial and
consistent application of the law and it required great boldness."People will not always
take kindly to decisions; and there will be opposing views, based, I suppose, on where
one's interests lie."As a result, we have today quite a number of social and political issues
that, for one reason or another, become deadlocked and rendered virtually intractable," he
said.
The Raja Muda said human rights could not be a reality until all Malaysians respected
and observed them.
Raja Dr Nazrin Shah said that in the new environment today, governments were
influenced by the global interconnectedness, by more educated and empowered citizens,
and the need to be more responsive to their electorate.
In regard to this, he said, new forms of human rights engagement within the governments
should be made, such as between the executive and judiciary; between the government
and the public; and between the country and the international community.
He also said that those in government need to be made to understand and internalise
fundamental human rights principles.
He also said that it was critical for the courts, in interpreting the constitution, to try and
uncover the original intent behind its articles.He added that the integrity, independence
and impartiality of the courts were an absolute must, if they were to discharge their duties
faithfully.He said the Human Rights Commission of Malaysia (Suhakam) should be coopted in a much more vital and constructive manner."There is a growing list of human
rights matters that require attention and Suhakam can play a proactive role in engaging
with parliamentarians and government agencies in the formulation or review of laws and
procedures," he said.
The UMNO, meanwhile, is intent on dividing the opposition coalition, of which the PAS
is a member. The coalition is currently led by former Deputy Prime Minister Anwar
Ibrahim, and has picked up political momentum from real gains in last year’s general
election.
Concerned by its losses, the UMNO has staked a claim to the defense of Islam in
Malaysia. The “cow head” protest, which was led by UMNO members, quickly fuelled
racially-charged manipulation of public sentiment. The formula is simple: portray Islam
as being threatened by infidels, and then have the UMNO ride to the rescue of the
besieged Muslim community.
The caning of Kartika, on the other hand, is not an example of political manipulation, and
for this reason is perhaps even more worrisome. Her sentence was roundly supported by
modernist Muslim intellectuals, who insisted that the punishment was justly applied and
cannot be questioned because it has divine sanction. These are not politicians, but former
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idealists who are happy that their goals of Islamicizing the state are being realized. Most
are anti-UMNO and support the PAS.
As a result, the UMNO finds itself squeezed between an Islamic lobby that presses for
greater “Talibanization” of the country and the rising voices of international critics, who
cannot be ignored, because the party needs both radical supporters and foreign investors
to stay in power.
Balancing these two constituencies is becoming increasingly difficult for the UMNO.
Islamic politics has now taken on a life of its own. But the opposition will also be forced
to figure out the role of religion in Malaysia, if ever they get an opportunity to form a
government. As a young Islamic radical, Anwar Ibrahim used to ask: How does one
Islamicize government? Now he has to figure out how one governs it.
• PAS Faces Serious Leadership Problem, Says Muhyiddin
The proposal by PAS Spiritual Leader Datuk Nik Aziz Nik Mat for a PAS special general
assembly to cleanse the party of pro-unity government leaders shows that PAS is facing a
serious leadership problem, Deputy Prime Minister Tan Sri Muhyiddin Yassin said on
Saturday.
Acknowledging that the Nik Aziz proposal was a PAS domestic affair, he said it
nevertheless showed an obvious clash of opinions in the opposition party.
Muhyiddin, who is also Education Minister, was asked to comment on the proposal by
Nik Aziz, who is the Kelantan menteri besar, in his blog http://www.blogtokguru.com
calling for the special assembly to change "two or three" problematic party leaders.
Nik Aziz had named the three leaders as PAS deputy president Nasharuddin Mat Isa,
secretary-general Datuk Mustafa Ali and Selangor PAS commissioner Datuk Dr Hassan
Ali, and said he was saddened that they did not heed the decision of the PAS general
assembly in Ipoh last year which had rejected cooperation with Umno.
Muhyiddin said PAS seemed to be united but it was actually not because of the two sides
for and against the proposal for a unity government by PAS and Umno.
Muhyiddin said Umno, as party president Datuk Seri Najib Tun Razak had said in his
policy speech at the party's general assembly earlier this month, was concerned over the
disunity of Muslims in the country but many in PAS did not heed Umno's efforts for a
unity government.
The deputy prime minister dismissed the statement by Opposition Leader Datuk Seri
Anwar Ibrahim that the 2010 Budget was not comprehensive, saying the budget had
taken into account all groups
• Foreign Relations
• Economic Front
• ASEAN Leaders Says Free Trade Area Is On Track
The 10 South East Asian countries have reiterated that the realisation of the Asean Free
Trade Area (AFTA) on Jan 1, 2010 is well on track, despite scepticism over some
members' commitment in cutting tariff for major agricultural products.
In a chairman's statement released at the 15th Asean Summit here on Saturday, the
leaders said that by Jan 1, all tariffs for products in the CEPT Inclusion List of the six
original signatories to the CEPT Agreement would be eliminated for intra-ASEAN
trade.These account for 87.2 per cent of total intra-Asean imports while the remaining
Asean members would also not be far behind as 98.86 per cent of their products have
tariffs within zero to five per cent.
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" The effective implementation of this major milestone in AFTA brings Asean closer to
the Asean Economic Community where free flow of goods is one of its major
objectives," the statement said.Prime Minister Datuk Seri Najib Tun Razak is leading the
Malaysian delegation to the Summit.
Thailand, the world's largest rice exporter, had threathened that it would not sign the Afta
liberalisation for the rice trade next year if the Philippines does not import at least
360,000 tonnes of rice, tariff-free, annually from Thailand.
Manila, which classifies rice as a "highly sensitive good", has committed to reduce its
import duty from 40 per cent to 35 per cent by 2015, and was only willing to import
50,000 tonnes at zero-free tariff.
Malaysia and Indonesia will reduce tariff to 20 per cent and 25 per cent respectively.The
leaders also said that they are looking forward to the implementation of the Asean Trade
in Goods Agreement and urged member states to resolve the differences at the earliest
opportunity.
The issue of Myanmar was also raised in the statement, but unlike in previous meetings
where the country's democracy and human rights issues were always the main focus, only
one paragraph was mentioned.
The leaders underscored the importance of achieving national reconciliation and that the
general elections to be next year must be conducted in a fair, free, inclusive and
transparent manner in order to be credible to the international community.
In another statement on Asean connectivity, the leaders said as the region was located at
the crossroads of an economically vibrant and growing region, it has the potential to
physically anchor itself as the transportation, information and communication
technology, and tourism hub of this region.They said it was vital to complete road, rail,
air, and sea linkages within Asean, adding that the development of infrastructure and
multi-modal transport projects such as the Asean Highway Network and the SingaporeKunming Rail Link should be expedited.
• Malaysian PM unveils budget with vow to cut deficit
Malaysia’s prime minister unveiled his maiden budget yesterday, promising to slash the
2010 deficit from its highest level in more than 20 years, although he provided few clues
as to how the cuts would be realised.
Najib Razak, who is also finance minister, told parliament the budget deficit would fall to
5.6 percent of gross domestic product in 2010 from a forecast 7.4 percent this year in a
move that is seen boosting domestic bonds as issuance slows.
The main spending cuts came from reduced “operating expenditure”, lower food and fuel
subsidies, a sensitive political issue for an unpopular government, and less money for
development spending. Najib became premier in April to try to rescue the fortunes of the
National Front government that in 2008 stumbled to its worst ever losses in over 50 years
of rule in national and state elections and alongside promises to privatise state companies,
his budget also showed political pressures.
It allocated 11 percent more money for state workers’ salaries in 2010, nearly one million
people accounting for almost 10 percent of voters and a mainstay of government support.
“The most controversial issue is likely to be the government’s method of achieving the
target without significant cuts in government headcount or salaries,” said David Kiu, an
analyst with Eurasia Group, a political risk consultancy.
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Economists warned that while the targets appeared ambitious, Malaysia’s recent history
of budget overshoots since 2007, during the global economic boom in which the country
benefitted from high oil and commodities prices, meant delivery on the promised cuts
would be watched closely.
“It is good that we see now the government seems serious to address the budget deficit
issue,” said Azrul Anwar Ahmad Tajudin, senior economist at Bank Islam. “But the
problem is whether we can achieve it or not. It’s too huge a reduction.” The budget plans
drew a mixed reaction from credit ratings agencies, although they boosted both the
ringgit currency and Malaysian bonds.
The ringgit gained 0.6 percent to 3.38 per dollar while the yield on the 3-yr debt fell 1
basis point (bps) to 2.90 percent and the 5-yr yield dropped 3 bps to 3.83 percent.
While Moody’s Investors Service said it had a “strong degree of confidence” in the
government’s ability to deliver on its budget promises, rival Fitch said that the planned
deficit would merely “stem the deterioration” seen in recent years. While Malaysia’s
banks have remained strong during the economic crisis that brought many of the world’s
giants to their knees, its export dependent economy has been hit hard.
The government forecasts that exports in Asia’s third most trade dependent economy will
fall 20 percent this year and grow by just 5.3 percent in 2010.
That means the economy will grow by just 2-3 percent in 2010 after an expected
contraction of 3 percent this year, a far cry from the 6 percent growth that Najib wants to
achieve.
The government has tried to boost domestic demand with extra spending and loan
guarantees worth 67 billion ringgit spread over 2009 and 2010. Najib said recently that
additional government spending was running at a billion ringgit a month.
• Social Front
• Beyoncé postpones Malaysia show targeted by Islamic party
US singer Beyoncé Knowles has postponed her concert in Malaysia planned for this
weekend, organizers said, denying that the move was linked to threats of protests by
Muslim groups.
The R&B star was scheduled to perform on Sunday at a stadium on the outskirts of
Kuala Lumpur, two years after she cancelled her debut concert here amid fears of protests
by conservative Muslim groups."The postponement is solely the decision of the artiste
and has nothing to do with other external reasons," the event organizer Marctensia said in
a statement.It said a new date for the concert will be announced "shortly" and more
details will be released this week.
The conservative Pan-Malaysian Islamic party (PAS), which has called for a ban on
Beyoncé’s performance, said the event should be cancelled outright rather than merely be
postponed."We are not against entertainment, but it's the way she performs — her
gyrating moves on stage and her sexy outfits. It will erode the moral values of our young
people," PAS youth chief Nasruddin Hassan Tantawi told AFP.
The concert was part of Beyoncé’s "I am..." world tour, which has seen her perform in
North America and Europe.
Marctensia had indicated the singer would tone down her dress for the Malaysian
performance, saying earlier that "all parties have come to an amicable understanding on
the matter".
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Performances by foreign bands frequently come under fire in Malaysia — a multicultural
country with a Muslim Malay majority and ethnic Chinese and Indian minorities — with
PAS typically leading the charge.
US hip-hop band the Black Eyed Peas played in front of a multiracial audience last
month after a ban on Muslims was lifted, although front-woman Fergie was forced to
cover up.PAS called for Danish band Michael Learns to Rock to be banned from
performing in September, saying it was an insult to Muslims during the fasting month of
Ramadan.
It also held protests against Canadian rocker Avril Lavigne's concert last year after failing
to have it banned, while a performance by Gwen Stefani went ahead despite allegations it
would weaken youth "morally and mentally".
• Recovery of economy expected next year, says Deputy Finance Minister
The country’s economy is expected to recover next year by recording a positive growth
that will create employment opportunities, said Deputy Finance Minister Datuk Dr
Awang Adek Hussin.
He said the confidence and projection hinged on the growth of the world economy as it
was heading towards recovery.“In the first and second quarters, the country’s economy
had registered negative growth like the world’s economy.
“However, the contraction of the country’s economy at the end of the second quarter was
smaller at 3.9% against between 6% and 7% in the previous quarter,” he told reporters
after opening the Islamic College of Science and Technology’s second convocation here
on Sunday.Awang Adek said for Malaysia, the retrenchment experienced during the
economic slowdown was a temporary experience.
“As the economy picks up, the investment will increase, definitely more jobs will be
created. Retrenched workers will be rehired.
“The export earnings had declined by 20% but with factories resuming operations, they
will re-employ the retrenched workers,” he said.Awang Adek said most of the retrenched
workers attended skill courses conducted by the Human Resources Ministry during the
period of their unemployment.
A total of 568 students received diplomas in medical assistance, nursing, diagnostic
radiography, psychology and syariah studies at the convocation.
•
Malaysia hails Kuwait''s role in solving Muslim food shortage
A Malaysian official on Sunday extolled Kuwait's role in the alleviation of food shortage
in the Muslim world by creating a financial fund for the purpose.
The fund was announced by Kuwait during the 4th World Islamic Economic Forum
(WIFE) held in Kuwait in 2008.
Speaking to KUNA, WIFE Secretary-General Ahmad Fawzi said His Highness the Amir
of Kuwait Sheikh Sabah Al-Ahmad Al-Jaber Al-Sabah had put an unforgettable mark for
overcoming economic crises, including the recent food shortage, by donating USD 100
million for the fund.
This generous initiative reflected Kuwait's spirit of solidarity and cooperation, especially
in humanitarian and social fields, he said, noting that Kuwait was the only Arab country
to play host to the forum.The joint international program for guiding young leaders,
which was launched during the Kuwait-hosted forum, is now bearing fruit, Fawzi said,
pointing to the funding of small and medium-sized projects in the Muslim world.
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Kazakhstan and Oman are going to play host to the seventh and eighth forum in 2011 and
2012 respectively, he noted.
The World Islamic Economic Forum is a global conference that acts as an international
business platform where the business sectors of the Muslim world meet for business
opportunities and together with the government leaders, act as a hub where policy
proposals on economic development can be formulated. (end)
•
Sodomy Case: Court Rejects Anwar's Objection(pol,social)
Datuk Seri Anwar Ibrahim on Friday failed to prevent the Court of Appeal from hearing
the prosecution's appeal against the High Court's order for the prosecution to supply
documents to him.This follows the Court of Appeal's dismissal of Anwar's preliminary
objection to strike out the prosecution's appeal.
Justice Datuk Hasan Lah, who led the panel comprising Justices Datuk Wira Abu Samah
Nordin and Datuk Sulaiman Daud, unanimously dismissed Anwar's objection after ruling
that the High Court's order in relating to document application, was final and therefore,
appealable.
The court, however, rejected Anwar's application through his counsel Karpal Singh, for a
stay of the appeal proceedings, pending his appeal against today's decision (preliminary
objection) at the Federal Court.Karpal is the new counsel in Anwar's defence team in his
second sodomy case, replacing prominent lawyer Sulaiman Abdullah, who had excused
himself on July 15, due to health reasons.Today, the court is scheduled to hear the
prosecution appeal and Anwar's cross-appeal against the same High Court which rejected
his application to get a sample of the specimen taken from the complainant, Mohd Saiful
Bukhari Azlan.
Hasan then proceeded to hear the prosecution appeal.
After the decision, Karpal informed the media that he would file an appeal against the
court's decision at the Federal Court on Monday.On July 16, High Court judge Datuk
Mohamad Zabidin Mohd Diah granted the opposition leader's application to compel the
prosecution to supply him with the recorded witness statements of Mohd Saiful, Dr
Osman Abdul Hamid from Pusrawi, condominium owner Hassanuddin Abdul Hamid, the
statements of three other witnesses and other documents.
However, Anwar failed to get Mohamad Saiful's specimen sample after the High Court
rejected his application.
The court, on July 24, granted the prosecution's stay of execution of the order, pending
the disposal of its appeal to the Court of Appeal.Anwar, 62, is charged with sodomising
Mohd Saiful, 24, his former aide, at a condominium in Bukit Damansara, Kuala Lumpur,
on June 26, last year.Karpal, in his preliminary objection's submission, said that the court
had no jurisdiction to hear both the appeals (the prosecution's appeal and Anwar's crossappeal) as it was not final and therefore, it was not appealable.
Karpal said, after the amendment of Section 51 of Criminal Procedure Code (CPC) in
July 31, 1998, the ruling made by the court in any application was not final but the final
ruling would came after the final disposal of the trial.
Solicitor-General II Datuk Mohamed Yusof Zainal Abiden, who led the prosecution
team, submitted that the High Court order was final in the context of documents
application.
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Mohamed Yusof, in the prosecution's appeal, submitted that the High Court judge was
wrong in his decision when he said Anwar had the right to know everything, prior to his
sodomy trial.
He said Section 51 of the CPC did not allow Anwar access to the evidence in possession
of the prosecution until the trial."Section 51 refers to the documents which the applicant
(Anwar) already knows of, not for the purpose of a fishing trip," he said.The hearing
continues on Oct 30.
Philippine
• Political Front
• Foreign Relations
• US role in talks double-edged
The declaring bitter truth is that Moro Islamic Liberation Front (MILF) leaders want to
establish an independent state made up of the majority of the Filipino Muslims (who see
the Philippine Republic as their country) and the minority of militant Muslims here who,
like the MILF leaders, despise our Republic. A less painful resolution of the conflict
between the government and the various MILF bands and the MILF leaders (who seem
incapable of enforcing discipline among their commanders and followers) is the
formation of an autonomous Bangsamoro state, or two or several Bangsamoro states,
within a new federal system of the Philippine Republic. These Bangsamoro states will
have allegiance to the Philippine Republic as the mother juridical entity and to the
Constitution of the Philippines. They and their Muslim populations will have all the
freedoms, rights and responsibilities to achieve their highest political, civic, economic
and spiritual potential—short of declaring themselves independent of the Philippine
Republic.
Every non-Muslim Filipino that we have spoken to, even those in the military who have
engaged in battles with MILF armies and have lost comrades in arms in these battles,
agree to see the Moros happily and prosperously given their autonomous states within a
Philippine federal republic.
And many of the Muslim Filipinos, some of whom may not actually want to become
“citizens” of the future Bangsamoro state or states, also wish to see that arrangement
become a reality.
The GRP and MILF panels in July signed an agreement to resume peace negotiations.
They also agreed to have the talks, the Mindanao peace process, and the actual peace
situation, monitored by an International Contact Group (ICG) to be made up of
diplomatic representatives of Muslim countries assigned by the Organization of the
Islamic Conference. The ICG is also to have non-Muslim countries that have been
actively involved in Philippine government efforts to promote the economic and social
development of Mindanao’s Muslim provinces. Foremost of these are the United States,
the United Kingdom and Japan.
All of a sudden, news broke on Monday that the MILF had called on America to be
involved in the peace talks. That MILF’s Chairman Ebrahim Murad, the Vice Chairman
Ghazali Jaafar, chief of the panel dealing with the Philippine government’s negotiators
Mohagher Iqbal, and five others had met secretly with the US Embassy’s Charge
d’Affaires Leslie Bassett in the Moro rebels’ Camp Darapanan in Sultan Kudarat.
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The US Embassy spokesman, Rebecca Thompson, texted The Manila Times on Monday
with the message that Washington continues to support a negotiated settlement between
the Philippines and the MILF.
But there is reason to wonder what the Americans are up to. One suspects that, although
the latest news is that the Philippine government, Malacañang in particular, is supposed
to “welcome the American participation in the Mindanao peace process,” the government
was not privy to the preparations of the MILF-US Embassy meeting and is not really
privy to the reason for the meeting.
One can glean this from the words of Foreign Affairs Department Undersecretary Rafael
Seguis, who is the government’s chief negotiator vis-à-vis the MILF (and Commander
Mohagher Iqbal’s counterpart). He claimed to have been told of the meeting before it was
held. We suspect he was told indeed but not consulted about it. In other words, the US
diplomats had decided to give the MILF rebel group the status of equals of the Philippine
Republic by having a meeting with the MILF leaders without asking the host
government’s permission.
The US Embassy spokesman told Agence France-Presse that Charge d’Affaires Basset
“met with various leaders and officials in Cotabato as part of a familiarization visit.” Of
course, the MILF chairman, vice chairman and cadres of the separatist rebel group are
“leaders.” Even the Philippine military forces in charge of Cotabato did not know who
the American diplomats were meeting.
Undersceretary Seguis is still asking questions. What exactly do the MILF leaders want
America’s role to be? Do they want the Americans to support their (the MILF’s)
Malaysian friends in acting as peace broker?
With considerable opinion in Philippine circles now seeing Malaysia’s role as
questionable, does the MILF feel adding America’s weight behind that of the Malaysians
will buttress their favored position in the peace talks.
One cannot help but remember that the United States, in a way, betrayed the Philippines
in Sabah, which belongs to the Philippines and which was leased from the Sultan of Sulu
by the British and was transferred to Malaysia after a US and British-supported
referendum that the Philippines bitterly objected to.
Mindanao is not just an important and large piece of real estate. To us Filipinos it is an
integral part of our homeland. But it is also an internationally strategic location in our
region—from which the safety of the seas can be assured for international shipping and
trade and for the geopolitical strength of the big powers, including our old friend, former
colonial master and current source of aid, loans aid and jobs for overseas Filipino
workers.
Here’s a legitimate fear:
If American interests will be advanced by having our Mindanao promised land
fragmented through the creation of new Muslim states more dependably pro-American
than the Philippine Republic—with its fractious and noisy democrats in the media, the
legislature and youth organizations and its corrupt would-be dictators—Washington is
most likely not going to think twice about balkanizing southern Philippines.If our
government officials had been more worthy of respect, less known to be venal and more
seen to be patriotic men and women who care for their own people’s good, maybe
powerful friends like the Americans will go out of their way to preserve the Philippine
Republic. But we have for the past many years exhibited all the weaknesses and the vices
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of a failed state. And foreign countries, like cruel animals of the jungle, will not bother to
save the dying. Internationalizing our domestic problems, like peace and development in
Mindanao, can be a goods thing.
If the officials of our republic were credible and awesome towers of moral strength and
brilliance. With the inferior moral and intellectual qualities of our leaders, having the
Mindanao peace process controlled by foreign friends who don’t have good reasons to
respect our leaders, we should brace ourselves for the balkanization of Mindanao.
• Economic Front
•
World Bank sees economy picking up in Philippines
The World Bank said it no longer expected the Philippines to sink into recession in 2009,
noting that the country’s macroeconomic fundamentals proved to be better than earlier
anticipated.Bert Hofman, the bank’s country director for the Philippines, said in a speech
before members of the business community yesterday that the multilateral lending
institution was taking back its earlier pronouncements that the domestic economy would
contract in 2009. Hofman said the World Bank saw the Philippines registering a minimal
growth.
“The Philippines performed much better than expected (in the first half). Many people in
the Philippines (including officials from the central bank and other government economic
managers) believed that the country would not fall into recession, and they were right,”
Hofman said during the Philippine Business Conference 2009 held at the Manila Hotel.
The event was organised by the Philippine Chamber of Commerce and Industry.
Originally, the World Bank said the Philippines would likely post a 0.5% contraction in
2009, due to the ill-effects of the global economic turmoil. The bank said the worldwide
crisis would likely lead to lower remittances due to layoffs in recession-afflicted
countries, led by industrialised nations.
The bank was earlier projecting a 4% to 5% contraction in remittances.However, Hofman
said that major positive developments happened since the World Bank released its
original forecast earlier in 2009.
He cited remittances, which actually have still been growing by at least 3% in year-onyear terms.Economic managers said remittances continued to grow because many
Filipinos abroad were working in sectors that were not badly hit by the recession in the
developed world. These sectors include education and healthcare.
They also said Filipinos who were laid off were outnumbered by the ones newly
deployed to work in alternative labour markets.Remittances sent by the estimated 9mn
overseas Filipino workers largely fuel the Philippines’ growth because these support
household consumption.Besides the continued growth in remittances, Hofman said
Filipino consumers have become more confident to spend in the second half of the year
than in the first six months.
Earlier, many Filipino households, despite receiving higher remittances, would not spend
too much because of fear that their family members offshore may lose their jobs.
However, in the recent months, Hofman said, more households were spending more amid
the consensus that the worst of the global economic turmoil was over.
Hofman also said the slight pick-up in exports would help the Philippines avoid a
recession in 2009, although this year’s growth would be much slower than that in 2008.
• Social Front
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70
Philippines calls for help to address disease outbreak in storms'
aftermath
The WHO on Thursday said the Philippines is requesting "international help to fight a
deadly outbreak of an infectious disease following two devastating tropical storms,"
Agence France-Presse reports. Parts of Manila, which are still flooded almost four weeks
after Tropical Storm Ketsana hit, are experiencing an outbreak of the bacterial infection,
leptospirosis (10/22).
The infection, which is "spread by water contaminated with the urine of rats, dogs and
other animals," has added to "the problems faced by the Philippines after back-to-back
storms since late last month killed more than 900 people and devastated northern
regions," according to the Associated Press/GMANews.TV (10/22). So far, 1,963 cases
of leptospirosis have been reported and 148 people have died, said Francisco Duque, the
Philippines health secretary, Sky News reports (10/22).
"A three-member team was flying into Manila 'in the next day or so' after the government
sought help from the 140-nation Global Outbreak Alert and Response Network to fight
the outbreak, Adam Craig, an official of the WHO Western Pacific regional office in
Manila," said, AFP reports (10/22).
To prevent the infection from further spreading, government health workers have given
antibiotics to 1.3 million people, the AP/GMANews.TV writes. Leptospirosis is spread
"through exposed cuts and bruises. The disease can cause high fever, headache, sore
muscles and vomiting. In extreme cases, it can lead to kidney failure and internal
bleeding that can cause death."
"Peter Cordingley, WHO spokesman for the Western Pacific region, said many
communities remain flooded and the number of infections could continue to grow,
though number of fresh cases reported in government hospitals has begun to drop as
waters recede in some communities," the news service reports (10/22).
According to Sky News, "The country is now bracing itself for more bad weather as
forecasters predict Typhoon Lupit is set to bring winds gusting at more than 120 miles.
Soldiers and paramedics have been deployed with rescue boats, trucks and emergency
supplies and over 100 government buildings are on standby as possible evacuation
camps" (10/22).ABS-CBN News examines the government's response to the outbreak.
"Health authorities earlier advised the public not to wade in flood waters and to use
protective clothing in order to prevent flood-borne diseases like leptospirosis, typhoid
fever, cholera, and hepatitis" (10/22).
In related news, Reuters AlertNet examines relief efforts in response to natural disasters.
"When a disaster strikes, international relief agencies receive the bulk of media attention
and donor funding but experts say it is actually the people living in the damaged areas
who save the most lives and help survivors long after foreign aid workers leave,"
according to the news service. The article includes interviews with people who provide
aid during disasters. It also discusses findings from a Britain Overseas Development
Institute report (Dmitracova, 10/23).
• Lupit weakens, keeps Philippines on edge
Typhoon Lupit weakened into a tropical storm yesterday after zigzagging around the
rain-soaked northern Philippines and living up to its name _ meaning cruel in Filipino -by keeping weary residents on edge and forecasters guessing. The third successive storm
in a month has been hovering for several days near the coast and inland mountains,
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sending thousands to seek shelter following two back-to-back typhoons that killed nearly
1,000 people, most of them buried in dozens of mudslides. Lupit's err
atic direction baffled forecasters and frustrated the local media who kept predicting its
landfall every day.
The weather bureau said in a nationally televised briefing Thursday evening that Lupit
would ram into northeastern Cagayan province early yesterday. But as of late Friday, the
tropical storm was almost stationary northeast off Cagayan, packing winds of up to 105
km per hour and gusts of up to 130 kph.
Prisco Nilo, the head of the weather bureau, said Lupit was expected to remain almost
stationary for the next 12 hours, causing rains, strong winds and possible storm surges
along the Philippines' northern tip. Authorities said it was slowly drifting northward and
may even spare the country.
It may instead hit Taiwan, or it may not hit Taiwan and go straight to Japan, but its too
early to say," chief forecaster Nathaniel Cruz said. After crawling for the last two days,
Lupit barreled on course to hit shore, then stalled again Friday due to two high-pressure
areas that sandwiched it from the South China Sea in the west and the Pacific Ocean in
the east, each pulling the storm in its direction, Cruz added. Typhoons usually slice
through the northern Philippines from the Pacific and exit throug
h the South China Sea. The archipelago nation, known as the welcome mat for typhoons,
gets about 20 a year during the rainy season from June to December.Despite losing
strength, Lupit was still a dangerous system that could drench the north of the main island
of Luzon on the heels of the worst flooding in the Philippines in 40 years. Tropical Storm
Ketsana on Sept. 26 inundated much of the capital, Manila, and nearby areas, including
the country's largest Lake Laguna, killing 464 people. It was followed by Typhoon
Parma, which unleashed mudslides along the Cordillera mountain range Oct. 3, leaving
465 dead. For the past week, army troops and disaster-reli
ef officials have ferried tons of canned food and clothes and moved rubber boats and
helicopters along the coast and the interior.
At least 1,500 residents living along the Cagayan River and its tributaries were moved to
high ground, said provincial Gov. Alvaro Antonio. Another 1,000 people left their homes
in Appari township, including some 200 after a wave surge collapsed a 20-meter high sea
wall in San Antonio village early this week.
• Disease threatens survivors of floods
More than a million flood survivors are getting antibiotics to help them resist a deadly
bacterial outbreak, one of several diseases menacing crowded evacuation centres,
Philippine officials said yesterday.
After tropical storms Ketsana and Parma, which together killed 818 people according to
the latest official count, the immediate threat is leptospirosis, caused by exposure to water
contaminated with rat urine. The government said the disease has claimed an additional
89 lives.The health department has declared an outbreak of the bacterial disease in the
Marikina section of Manila, one of the areas hardest hit by Ketsana, which flooded 80%
of the capital on September 26.
Health Secretary Francisco Duque has ordered drugs given to 1.3mn people as added
protection against the disease, which if untreated could lead to kidney failure.
“Even our staff have been ordered to take antibiotics,” said Bing Ramos, a doctor at the
state-run Amang Rodriguez Medical Centre in the Marikina district.
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Two of the hospital’s 68 leptospirosis patients are in serious condition, including one
with symptoms of renal failure, Ramos said.
The hospital, which the government said suffered 380mn pesos ($8.2mn) in damage from
the floods, has converted its lobby into an extra ward to house the leptospirosis cases.The
health department said in a statement that it has vaccinated children for measles in areas
affected by the Ketsana floods, and given tetanus toxoid vaccines for all injured victims
of the storm.Tap water supplied to evacuation centres, which still house more than
206,000 people, are being tested and five sites have tested positive for the E. coli
bacteria, it said.Water disinfectants are being supplied to these facilities, it added.
The department said it is also supplying vitamins to children at these centres.Respiratory
tract infections, fevers, skin diseases, infected wounds and diarrhoea are among the most
common ailments at the evacuation centres, it added.
• Separatist groups seeks help in reaching peace deal
Leaders of the Philippines’ largest Muslim separatist group said yesterday they had met
US diplomats and called for Washington’s involvement to help broker a peace deal.
The meeting between Moro Islamic Liberation Front (MILF) chief Murad Ebrahim and
US charge d’affaires Leslie Bassett took place on Friday at Darapanan, the rebel group’s
main training camp on Mindanao island, an MILF statement said.
US embassy spokeswoman Rebecca Thompson said: “Ms Bassett met with various
leaders and officials in Cotabato as part of a routine familiarisation visit.”
Darapanan is located in the Cotabato region of Mindanao, but the spokeswoman would
not specifically say if these meetings included MILF representatives.Lieutenant-General
Raymundo Ferrer, commander of Philippine military forces in Mindanao, said he
instructed an army division in the area to provide security to the American diplomats,
who had requested a military escort ahead of a visit to the region.
But he added: “We were not informed about the meeting.”
Lieutenant-Colonel Jonathan Ponce, spokesman for the Philippine Army’s Sixth Infantry
Division, said: “We provided security, but we all know that they (soldiers) could not
enter the MILF camp and join them (US diplomats).”
He added: “We learned afterwards from intelligence reports about the meeting (with the
MILF). We learned that they discussed development projects and probably also the peace
process.”
The MILF said the meeting was also attended by its vice chairman Ghazali Jaafar, chief
negotiator Mohagher Iqbal and five other senior cadres, while the US side included three
Manila-based US diplomats besides Bassett.
During Friday’s meeting, according to the MILF statement, Jaafar told the US delegation:
“We believe that the US can greatly help toward the peaceful resolution of the conflict.”
Washington is a key aid donor to impoverished Muslim areas of Mindanao, and US
Special Forces based on the island provide training and intelligence to Philippine troops
fighting Islamist militants.
The MILF statement said its chief Murad stressed the movement’s commitment to
reaching a peace deal with the government of President Gloria Arroyo “through a
negotiated political settlement”.
The Arroyo government and the 12,000-member MILF have been taking tentative steps
towards resuming formal negotiations in recent months.
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Peace talks were halted last year after the MILF attacked Christian communities across
the southern Philippines, killing more than 300 people and displacing around 750,000.
The fighting came after the Supreme Court threw out a government proposal to give the
rebels control over their so-called “ancestral domain,” which covers more than 700 towns
and villages.
Philippine authorities and church officials yesterday launched fresh appeals for the safety
of an elderly Irish priest they fear may be in dire need of medical attention, a week after
his abduction.
Thousands of flyers were being handed out on the troubled southern island of Mindanao
seeking help for Father Michael Sinnott, 79, whose abduction by gunmen was also
highlighted by the Vatican.
“We appeal to your kind heart that the medicines will be delivered to Father Sinnott, who
currently has a serious heart ailment,” read one flyer released by the provincial
government of Zamboanga del Sur.
No group has claimed responsibility for the October 11 abduction of the Roman Catholic
missionary and his superiors have had no contact with his abductors, said Patrick
O’Donoghue, country head of the Irishman’s religious order, the Missionary Society of
Saint Columban.
During a service at the Vatican yesterday, Pope Benedict XVI praised Sinnott for his
missionary work, and that of an Italian priest shot dead in Brazil last month.
“I want us to remember the missionaries, priests, members of religious orders and those
who are not religious who dedicate their lives to spread the gospel in the world,” the pope
said during his weekly Angelus service.
“I am thinking, among others, of Ruggero Ruvoletto, killed recently in Brazil and
Michael Sinnott... kidnapped several days ago in the Philippines.”
The Philippine military said a pirate had transferred Sinnott by boat to the Lanao coast
east of Pagadian city, and may have turned him over to a leader of the Moro Islamic
Liberation Front (MILF), a Muslim separatist group.
The MILF leadership has denied any of its commanders were involved and says it is
helping to secure Sinnott’s release.
Allan Molde, spokesman for a government taskforce handling the Irishman’s case, said
about 10,000 flyers had been distributed around Pagadian and nearby and more would be
sent to coastal areas in the region.
“We all know that the kidnappers used boats, and we hope somebody in these areas may
know where they are,” he told reporters by telephone.
• Environmental front
Thailand
• Political Front .
• Cambodia denies offering Thaksin home
A senior Cambodian official yesterday denied that Cambodian Prime Minister Hun Sen
offered Thailand’s former prime minister Thaksin Shinawatra a home in Cambodia.
Cambodian Information Minister Khieu Kanharith said Hun Sen had been misquoted by
the media. “He didn’t say that,” Khieu Kanharith said. “Some people have said we would
allow Thaksin to have a permanent home in Cambodia - it’s not true.” The comments
attributed to Hun Sen had earlier drawn a frosty response from Thailand with Deputy
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Prime Minister Suthep Thaugsuban warning yesterday that Thaksin risked being
extradited back to Thailand if he took up the reported offer of a home in Cambodia.
• PM tries to ease Democrat rifts
Prime Minister Abhisit Vejjajiva has been called on to repair a potential rift over charter
amendments threatening to cause chaos in his ruling Democrat Party.Mr Abhisit
yesterday spoke to party MPs at a meeting called after several publicly voiced
disagreement with the party's move to support the six-point constitution rewrite proposed
by the government, opposition and senate whips.
Mr Abhisit refused comment to reporters after the closed meeting.A Democrat source
said the prime minister spent about 25 minutes talking to fellow Democrat MPs. It was
thought to be his longest speech to party MPs since he was appointed prime minister.
Deputy Prime Minister Suthep Thaugsuban, the Democrats' secretary-general, said after
the meeting the MPs had understood the prime minister very well and any disagreements
had been settled.
Mr Suthep said it was normal for some MPs to view the process differently.Democrat
spokesman Buranat Samutharak confirmed at a news briefing after the meeting that the
party would abide by the resolution of the whips.
However, the whips would meet again tomorrow as the opposition Puea Thai Party had
decided not to support the amendment bid and demanded the resurrection of the 1997
constitution instead.The Democrats called the meeting yesterday after Nakhon Nayok MP
Charnchai Issarasenarak held a news conference in the afternoon to oppose the party's
move to support the amendment.He said the party had decided to support charter review
in response to the demands of its coalition partners.
He blamed Mr Suthep for trying to please the coalition parties and threatened to seek the
party's support to dismiss the deputy prime minister as secretary-general.The source said
Banyat Bantadtan, a former Democrat leader and a member of the party's advisory
committee, warned Mr Charnchai and Mr Watchara at the meeting that their move would
have a negative impact on the party.
• Foreign Relations
• Myanmar Won't Allow Thailand's Foe To Use Its Soil, Says
PM(social,polirical)
Myanmar Prime Minister General Thein Sein has assured his Thai counterpart Abhisit
Vejjajiva that his country would not allow anyone opposing Thailand to use its soil as a
springboard to attack the kingdom, according to the Thai News Agency (TNA).
Thein Sein, who is now attending the 15th Association of Southeast Asian Nations
(ASEAN) summit being held in the Thai resorts of Hua Hin and Cha-am, reportedly told
Abhisit on the sidelines of the summit Friday, that Myanmar upheld the principle of
living in harmony and that it would not allow anyone opposing Thailand wishing to use
his country as springboard in attacking this country.
Expressing his confidence that Southeast Asian countries, including Thailand, could sail
through obstacles and negative challenges, Thein Sein told Abhisit that both Myanmar
and Thailand share a long border and both countries have to depend with each other and
good neighbourliness is, therefore, significant.
Thein Sein's remarks were made after Abhisit and Cambodian Prime Minister Hun Sen
traded words after the Khmer leader reasserted Friday on arriving for the ASEAN summit
that his government would reject any Thai request to extradite former Thai prime
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minister Thaksin Shinawatra if the self-exiled ex-premier accepts an invitation for refuge
in Cambodia.
Hun Sen told journalists to read the extradition treaty thoroughly to understand why the
former Thai premier, whom he described as his friend, can stay in Cambodia as a guest of
the Cambodian government.
Ousted in a bloodless coup in September 2006, Thaksin jumped bail and fled sentencing
to a two-year jail term for malfeasance in the controversial Bangkok's Ratchadapisek land
purchase case.The toppled Thai premier now spends most of his time in the United Arab
Emirates after his status as a visitor was rejected by a number of countries including both
the United Kingdom and Germany.Thanking Myanmar for its support given to Thailand
as chairman of ASEAN, Abhisit told Thein Sein that his government supports Japan's
financial assistance bestowed to Myanmar on various projects, including developing
hospitals and schools.
Abhisit said his government, as a close neighbour to Myanmar and host of ASEAN, had
told every country to strengthen ties with Myanmar and had requested the Myanmar
government leader to "unofficially report" on progress on development projects in his
country during the ASEAN summit on Saturday.
Wishing Myanmar to successfully hold its general election next year, Abhisit also told
Thein Sein that he hopes to officially visit Myanmar when he has the opportunity and to
also meet Myanmar's opposition leader Aung San Suu Kyi to boost democracy for the
world community.The leaders of ASEAN's 10 member countries--Brunei, Cambodia,
Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam- are holding their three-day summit in the Thai resorts with their six dialogue partners-China, South Korea, Japan, India, Australia and New Zealand.
• Economic Front
• Why the Thai king's health can panic markets
It is taboo for Thais to publicly voice their fears about what might happen when the reign
of their ailing 81-year-old King Bhumibol Adulyadej ends. But the reaction of Thai
markets this week spoke louder than words. Thailand's bourse tumbled on Wednesday
and Thursday and the baht slid on concerns about the king's health. There was a recovery
on Friday, but the fact that even vague rumours could spark a sharp sell-off showed just
how worried Thais are about a change of monarch, and how badly Thailand's ma
rkets will be hit.
Don't believe the market rumours. Only believe the palace's statements," said a Royal
Household Bureau spokesman. It is clear, though, that even if this health scare passes,
investors are deeply concerned about what might lie ahead. The dangers are never
discussed in public because Thailand has strict lese majeste laws that forbid talk of the
monarchy's role and possible problems on the horizon. Frank analysis of the political
outlook is a rarity, and so many foreign investors have only a hazy idea of the
risks they face. But analysts say privately that there could be a prolonged period of
turmoil and even significant civil unrest, and this is why markets are so vulnerable to
rumours about his health.
What makes the succession issue so dangerous now is that Thailand has been locked for
years in a political and social conflict between supporters and opponents of populist
former prime minister Thaksin Shinawatra, who was ousted in a military coup three years
ago and now lives in self-imposed exile. Thaksin swept to power in 2001, promising a
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raft of policies aimed at the poor, and won a second term with an even stronger majority
in 2005. Thaksin's huge support from the rural poor meant he had a big enoughmajority
to govern without the usual backroom deals and concessions to the bureaucracy and
military.
Thaksin's growing power and impregnable electoral base, plus accusations of corruption,
alarmed the elite groups who have traditionally run Thailand, and the military launched a
coup. Thailand is now divided into two bitterly opposed camps: the pro-Thaksin "red
shirts" who are furious that successive governments they voted for were toppled by the
military or judiciary; and the "yellow shirts" - royalists, the military and urban Thais, who
back Prime Minister Abhisit Vejjajiva.
The conflict has sparked several bouts of unrest that have damaged Thailand's economy
and investment attractiveness. Last year, anti-Thaksin protesters blockaded Bangkok's
two main airports, and in April "red shirt" protesters stormed an Asian summit in Pattaya,
forcing its cancellation. A country once regarded as a haven of regional stability is
increasingly viewed as a basket case. In 2002, the World Bank's World Governance
Indicators rated Thai political stability at 59.1out of 100. By 2008, that rating had dived
to 12.9.
In theory, Thailand's monarchy is above the country's political divisions. Bhumibol is a
constitutional monarch, with no formal political powers, and he is widely respected by
Thais who regard him as a unifying force in a fractured country. Yet during his six
decades on the throne, Bhumibol expanded his influence on politics, and explicitly
intervened three times during periods of conflict between the military and elected
officials. Furthermore, the palace is seen by many Thais as having taken sides against
Thaksin over the past three years.
The king's chief adviser, Privy Councillor Prem Tinsulanonda, was very close to many of
the coup plotters, and is regarded as a key ally of the "yellow shirts". Bhumibol's wife,
Queen Sirikit, also signalled support for the anti-Thaksin movement last year by
attending the funeral of a female "yellow shirt" protester. So the palace has been drawn
into the conflict, and in turn the conflict has become partly about the appropriate role of
the monarchy. Thaksin's supporters want the ballot box to prevail, so governments they
elect can rule without meddling by the elites.
Many monarchists argue that the rural population are not well enough educated for
democracy to work, so the military, bureaucracy and elites should have wide control over
policy. Because Bhumibol is so widely respected in Thailand, most Thais are comfortable
with the influence he wields, and all sides in the conflict stress their loyalty to the crown.
But Bhumibol's son and presumed heir, Crown Prince Maha Vajiralongkorn, is regarded
far less favourably by most Thais.
The result will be a huge shift in the balance of power - the "red shirts" are likely to be
bolder in their rejection of the monarchy's political influence, which could in turn
provoke a crackdown by elites worried the monarchy is losing influence. The conflict that
has already done so much damage would escalate. And the long-term stability that
investors want to see would be further away than ever.
• Promoting Peace Through Organic Farming in Thailand
The gourds grow heavy on the vine, and the catfish splash merrily in their ponds. At the
Learning Center of Sufficiency Economy in Southern Thailand's Yala province, the
vision of Thai agriculture as set out by the country's King Bhumibol Adulyadej has
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reached its fecund best. Like many other parts of Thailand, villagers come to this
agricultural laboratory to learn from the monarch's Sufficiency Economy philosophy,
which bundles together concepts of sustainable development, rural self-reliance and
equitable income distribution. But there's a difference to this vast botanical project:
unlike others in the rest of Thailand, this one is located in the country's Muslim-majority
south, where suspicion of the Buddhist-dominated state has spawned a bloody insurgency
that has claimed more than 3,700 lives, both Muslim and Buddhist, since 2004.
• ASEAN-Korean trade rises 23.4 per cent ahead of pact
Trade between the Association of South-East Asian Nations (ASEAN) and South Korea
increased 23.4 per cent in 2008, even before a free trade agreement goes into effect next
year, ASEAN leaders said Saturday.
An ASEAN summit in Cha-am, 130 kilometres south-west of Bangkok, reconfirmed that
an ASEAN-South Korean free trade agreement would be implemented January 1.
A final statement issued at the end of the ASEAN summit Saturday noted the already
impressive growth in trade between South-East Asia and South Korea. 'In 2008,
ASEAN-Korea trade grew by 23.4 per cent compared with 9.5 per cent in 2007,' the
statement said. 'ASEAN is now the third-largest trading partner of Korea and Korea is
ASEAN's fifth-largest trading partner.' Although the summit among the 10 ASEAN
leaders has wound up, bilateral summits between the group and its major regional trading
partners - Australia, China, India, Japan, New Zealand and South Korea - are to be held at
the Cha-am beach resort until Sunday. ASEAN has signed partial free trade agreements
with all six partners. An ASEAN Free Trade Area, which is to slash import tariffs on
regional trade to zero to 5 per cent in ASEAN's six most developed economies, is to go
into full effect on January 1. 'We are pleased to note that the realization of the ASEANFree Trade Area on January 1, 2010, is well on track,' the ASEAN statement said. The
free trade area is to cover 99.65 per cent of all tariff lines in the six original ASEAN
countries - Brunei, Indonesia, Malaysia, the Philippines, Singapore and Thailand.
Newer members Cambodia, Laos, Myanmar and Vietnam are to be included in 2015
• Asian summit to tackle economic crisis
Asian leaders meet in Thailand amid tight security this weekend to discuss ways to
deepen economic ties and sustain the region’s rebound from the recent global downturn,
officials said.A long-awaited but controversial rights body is also set for its official
launch, while leaders are expected to grapple with climate change and how to improve
the way they deal with natural disasters.
Officials from the Association of Southeast Asian Nations (ASEAN) summit and key
regional partners began to gather on Thursday at the elite beach resort of Hua Hin, with
the leaders due to arrive on Friday.
Dozens of armoured vehicles were stationed at key points in the town Thursday, backing
up around 18,000 security personnel deployed under harsh laws invoked by the
government.
The meeting was originally due to be held in Pattaya in April but was called off after
anti-government protesters stormed the venue and forced foreign leaders to flee.
This weekend’s summit involving Brunei, Cambodia, Indonesia, Laos, Malaysia,
Myanmar, the Philippines, Singapore, Thailand and Vietnam will be followed by talks
with China, Japan, South Korea, India, Australia and New Zealand.Asia’s quick rebound
from the global recession compared with the United States and other Western economies
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is expected to set the mood for talks on further freeing up the flow of trade, investment
and people across the region.
“Asia is poised to take on a bigger role on the global stage after the dust from the
economic crisis has settled,” a senior Southeast Asian trade official told AFP. The official
said that integration was the “key to unlocking Asia’s full potential”. Central to the
integration efforts is ASEAN’s goal to establish an EU-style community by 2015 and
expand trade and economic links to include regional giants such as China and India.
A draft of a statement to be signed by leaders this weekend reaffirms their “commitment
to support the establishment of an ASEAN community comprising three pillars, namely
political and security cooperation, economic cooperation and socio-cultural cooperation.”
The United Nations on Thursday urged leaders to make the new ASEAN
Intergovernmental Commission on Human Rights ‘credible’. The body has been
criticised for focusing on the promotion of rights rather than protection and for having no
power to punish member nations. ASEAN and its partner nations are also expected to
issue statements on food security cooperation and disaster management
• Thai cabinet approves investment projects worth $7 bln
Thailand's cabinet approved on Tuesday more projects worth about 230 billion baht ($6.9
billion) under a three-year government investment plan to revive the economy, Finance
Minister Korn Chatikavanij said.
The government earlier approved 1.06 trillion baht ($32 billion) of projects as part of its
1.43 trillion baht, three-year 'Investment Strength' stimulus programme, of which 800
billion baht will be borrowed from the domestic debt market.
Korn told reporters the cabinet also allowed the Finance Ministry to take 50 billion baht
from the programme budget previously allocated for the ministry's treasury reserves.
'With the economic recovery, tax revenue has improved. So there is less need for
boosting treasury reserves,' he said after a weekly cabinet meeting.
Thailand's $260 billion economy emerged from its first recession in 11 years in the
second quarter, growing 2.3 percent from the first quarter.
Last month, Korn told Reuters he expected the economy to growth about 2 percent in the
third quarter and pick up the pace in the final three months of the year as stimulus
measures kicked in..
• SC Bank: GDP to rebound in 2010
Thailand's economy will likely expand by 2.8 per cent next year and 4.5 per cent in 2011,
according to Standard Chartered Bank senior economist Usara Wilaipich.The bank's
projection for the country's gross domestic product this year remained unchanged at
negative 3.5 per cent, Ms Usara said on Tuesday.
The global economy was gradually improving but the Thai economy would continue to
be dependent on state investment, she said."The risk factors of the Thai economy are
political instability and investment and export difficulties.''Liquidity in the financial
system will likely decrease due to the state sector's capital mobilisation and the private
sector's increasing loan demands," the economist said.
She said the Administrative Court order suspending ne projects at Rayong's Map Ta Phut
industrial estate would lower investor confidence and halt investment. The government
should resolve the Map Ta Phut case quickly.
• At Social Front
• Despite Outreach, Violence Is Up In Southern Thailand
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The patch of garden in troubled Yala is the brainchild of the Fourth Army Region
Commander Lieut. General Pichet Wisaijorn, who is the military officer in charge of
Thailand's far south. The area was once a Malay Muslim sultanate, but Thailand, then
known as Siam, annexed the region in the early 20th century. Since then some Muslim
residents, who make up roughly 80% of the local population, have complained of feeling
like second-class citizens in what elsewhere is a predominantly Buddhist land. Sporadic
violence in the deep south bloomed into a full-scale insurgency in 2004. Overtly Buddhist
targets like monks and teachers have been murdered by shadowy perpetrators, while
Muslims thought to be collaborators with the government have been killed as well. In
recent months, the Thai government has unleashed a troop surge to try to quell the
violence, which has, in turn, spawned criticism of the military's heavy-handed tactics like
torture and arbitrary detentions of Muslims, according to human-rights watchdog
Amnesty International.
But even as some 60,000 soldiers, police, paramilitaries and other government-backed
militias patrol Thailand's three insurgency-wracked southern provinces, Lieut. General
Pichet is focusing much of his personal effort on winning hearts and minds through the
King's Sufficiency Economy project. The south is one of Thailand's poorest regions, and
the Thai military says that thousands of villagers have willingly come to the center,
mostly for one-day trainings on the merits of organic agriculture using a bio-fertilizer
promoted by King Bhumibol. "Even within the military, some people believe I am
wasting my time because they do not understand Sufficiency Economy," says Pichet,
after showing off the benefits of composting to a group of local businesspeople. "But I
believe that once villagers here understand that we are trying to help them help
themselves, more and more will come over to our side."
But will lessons in crop yields truly ease tensions in Thailand's south? In the year since
the gardening project was unveiled, the number of violent incidents in Thailand's deep
south has only increased, despite army protests that this is a last-ditch, desperate
campaign of terrorism from the insurgents. And while any overtly Buddhist undertones of
the King's Sufficiency Economy theory have been stripped away in the south, there's no
question that the royal economic philosophy draws succor from the Buddhist concept of
the Middle Path. (Indeed, one fish-breeding program at the center was recently suspended
because a Buddhist monk had opined that killing catfish for their sperm was unspiritual.)
Says a Muslim academic who declined to be named for fear of offending the government:
"We need justice for abuses committed by the state against our people, not Buddhist
teachings on agriculture."
Unlike some of his more iron-fisted colleagues, Pichet has won grudging respect from
some locals for attempting to promote sectarian harmony through military overtures. As
he gave a rambling slide-show lecture on Sufficiency Economy to members of a local
chamber of commerce (some of whom snoozed in the tropical heat), there was no
doubting the commander's sincere belief that the project would promote the Thai nation's
cause in the south. Meanwhile, elsewhere in the complex, young Buddhist army officers
earnestly gave lessons on proper fertilizer use to groups of veiled Muslim women, some
of whom were completely covered but for their eyes. (The area of Malaysia bordering
Thailand's Yala province is among the most conservative in that Southeast Asian nation,
and the local Kelantan state government draws inspiration from Islamic Shari'a law.) In
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another area, under the shade of some trees, a group of young Muslim drug addicts
underwent a Koranic-inspired rehabilitation program while Thai soldiers looked on.
Pichet dismisses allegations that his men might be part of the problem in Thailand's
south. When asked about the Amnesty International report released earlier this year
documenting systematic military abuse of local civilians, the Fourth Army commander
first says he has never heard of the report, then switches tactics and claims that the
group's researchers didn't spend much time in the south collecting their information.
Pichet acknowledges that the hearts and minds of suspicious Muslim villagers can't be
won overnight. But the country still faces a tough battle in its bloody south, no matter
how impressively the papaya and rubber trees grow.
Singapore
• Political Front
43
• Foreign Relations
•
S'pore ready to resume talks with Indonesia on defence
agreement
Singapore's Prime Minister Lee Hsien Loong was one of several leaders at Indonesian
President Susilo Bambang Yudhoyono's inauguration in Jakarta on Tuesday.
Mr Lee said Indonesia has seen stability, predictability and growth under President
Yudhoyono and he hopes the country will continue along this path. The prime minister
said: "I'm very happy to be here to congratulate him on his second term, (and to) witness
his inauguration. "We look forward to cooperating with Indonesia bilaterally... and also
within ASEAN because Indonesia is a key player in ASEAN, and in wider forums like
APEC, which is about to take place in Singapore next month." Mr Lee added that
Singapore is ready to resume talks on the stalled Defence Cooperation Agreement and
Extradition Treaty between the two countries. However, Indonesia will have to determine
when that would take place.
• Economic Front
•
MM Lee says China and India growth will result in new world order
Singapore Minister Mentor Lee Kuan Yew said that the growth of twin giants China and
India will result in a new world order, even if in the absence of a global financial crisis.
Speaking on Monday at a dialogue held at the National University of Singapore on the
topic - "What will the next 50 years have in store for Singapore?" - Mr Lee said that the
recent financial turmoil had possibly accelerated the pace of growth for the two countries.
He pointed out that China was growing at between 8 and 11 per cent a year, while the
United States was growing a mere 2 to 3 per cent. However, he stressed that it does not
mean the US will take a back seat in the new world order.
"I do not think the Americans are finished. I think they are still a dynamic economy. If
we look at the past records, they are the most flexible, most entrepreneurial and willing to
re-emerge in new forms," Mr Lee said. A special on the dialogue, called "Singapore - the
next 50 years", will be aired on Channel NewsAsia at 8.30pm on Wednesday, October
21.
• Analysts say office rental slide a necessary correction
Prime office rents may be on a downward trend, but analysts say there is nothing much to
worry about as the decline is a necessary correction.
An oversupply of office space and low demand has knocked down prime office rentals in
the central business district (CBD). Rents have fallen as much as 40 per cent since the
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beginning of 2008 but observers said that rents are not in a free fall. They said the
slowdown in rental rates is a correction that was going to happen due to the unusually
high prices resulting from the boom in 2007. "We could see office rentals return to a
2005 level. Office rentals have risen to such a high rate, so we must not take it that the
2007 rates are the norm," said Nicholas Mak, Independent Property Consultant. "For
example, it was quite common before 2005 to find that Raffles Place rentals could be
under S$6 (per square foot per month) in some places," he added.
Experts said that prices should level out at between S$6 and S$10 per square foot per
month in the CBD over the next year. This is down from an average of S$15 in 2007 and
2008.
The oversupply of office space has also stalled the developments in the city. However,
interest in affordable non-central locations for companies which do not need to be housed
in the CBD, has resulted in new project interests outside of town. Thor Kerr, managing
director, BCI Asian Construction Information, said: "If you talk about huge projects like
the Marina Bay area, probably not as many, there is just an over supply right now.
"But if you look at smaller projects, especially along the new MRT lines, that is going to
be interesting because they have good infrastructure and have a competitive advantage
because of pricing."
Such projects include the new Fusionopolis Tower near Buona Vista, and mixed
developments along South Beach Road. According to observers, this interest in nonprime properties is likely to keep rents down for prime office space until the global
economy recovers and big tenants are once again interested in the CBD.
• S'pore today is a result of effort put into building country: MM Lee
Singapore is where it is today because of the effort that was put into building the country,
said Minister Mentor Lee Kuan Yew. Mr Lee made this point at a recently concluded
dialogue with tertiary students at the National University of Singapore.
He said without people with ruggedness and a do or die attitude, there will not be the
Singapore that exists today. Mr Lee noted that unlike the older generation, most young
Singaporeans do not know what it is like to be poor.
But he said young Singaporeans can emotionally and intellectually understand that if one
does not make the same effort, Singapore will regress.
To illustrate the value of hard work, Mr Lee gave a personal insight into how he raised
his children to become self-reliant and why the family decided not to live at the official
residence at the Istana.
Mr Lee said: "As Prime Minister, I was given a house at Sri Temasek. So I took them
(our children) there one day to play and Sri Temasek was on high ground. They were
playing with a ball, the ball rolled down, and the butler ran about 50 to 60 yards to pick
up the ball and bring it back. "My wife and I watched and said if we stay here for five
years, our children will grow up believing that life is like that - that somebody will
always be there to be pick up balls for them, (so) we stayed at home."
• opportunities for more S'pore firms in Tianjin Eco-city projects
More Singapore companies, including small and medium enterprises (SMEs), may soon
have opportunities to be involved in projects in the Sino-Singapore Tianjin Eco-city in
China. Senior Minister of State for National Development, Grace Fu, was replying to a
question by Dr Ong Seh Hong in Parliament on Monday.
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Ms Fu said the ministry has been working with IE Singapore and the Building and
Construction Authority to organise awareness seminars and business missions to the ecocity. "These include architectural consultants, developers, contractors, education
providers, solutions providers and service providers. Surbana International Consultants,
for example, was involved in drawing up the masterplan as well as the design for the first
public housing project for the eco-city," said Ms Fu. She also told Parliament that the
development of the eco-city had made good progress despite the global financial crisis.
Land reclamation works in the four-square-kilometre startup area have been completed,
while other works such as landscaping and utility works are progressing well.
Ms Fu said the startup area is on track to be completed by late 2013.
• Social enterprises no different from normal businesses & must be viable
A new association was launched on Tuesday evening to support businesses that help the
disadvantaged and needy. At the ceremony, the Minister for Community Development,
Youth and Sports, Vivian Balakrishnan, said the Social Enterprise Association will
provide opportunities for networking and mentorship to develop the sector. Dr
Balakrishnan said this is important to help it succeed.
His ministry has committed S$5.5 million to fund 73 social enterprises since 2003. But of
these, one-third are no longer active. Dr Balakrishnan said social enterprises must be
viable businesses and urged the public not to treat them as charities.
He added: "We're not asking for special favours. Don't give the contract simply because
it's a social enterprise. But be open-minded, look at what they're offering, if they offer
good value for money, give them a chance. That's all we're asking." Some 130
businesses, entrepreneurs and organisations have joined the new association. The
association was formed following recommendations made by a government-appointed
Social Enterprise committee in 2007.
Social enterprise Bridge Learning runs an education centre for children with learning
disabilities. It sets aside funds to subsidise the programme fees of children from lowincome families. Bridge Learning executive director, Areena Loo, said: "It can be a pretty
lonely journey as a social entrepreneur. It's the less-travelled path, whereby people don't
understand why you are so crazy. What makes you want to do that? Why do you earn
money and then you give it away? It's not something everybody can understand."
The business was started in 2003 with seed funding from the government. But it was selfsustaining after its first year and has grown at an average rate of 150 per cent yearly.
It currently enrols about 220 students a year and has assessed more than 3,000 students
since inception in 2003.
• SBF says recent Iran business mission will attract sales of S$85m
The Singapore Business Federation (SBF) has said a recent business mission that it led to
Iran will attract sales of about S$85 million over the next 12 months. Most of the
business sales will be from the oil and gas industry.
An 18-member delegation, including firms from the oil and gas, engineering,
construction and IT solutions sectors, went on the mission earlier this month. The
business delegation was also joined by Non-Resident Ambassador of Singapore to Iran,
Mr Ong Keng Yong, and representatives from the Ministry of Trade and Industry. SBF
said that business communities from both sides noted challenges concerning trade
financing and visa issues. Moreover, both sides underscored their commitment to seek
help from the relevant authorities to resolve the issues in a timely manner.
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•
Economic crisis an opportunity to push for green tech: Dutch minister
The Dutch Minister of Economic Affairs, Maria Van Der Hoeven, who is in Singapore on
a business visit, noted that there has been a change in attitude amid the global downturn with a greater push now towards environmentally-friendly technology and practices.
According to Ms Van Der Hoeven, this presents opportunities for economies with a hitech base like Singapore and the Netherlands.
"This is an opportunity to rethink our way of life, to alter our production methods as well
as our patterns of consumption," said Ms Van Der Hoeven. "We must aim for sustainable
development - green investments, green technology and green jobs. We must turn this
crisis into an opportunity for radical change," she added.
The minister was speaking at a luncheon between Dutch and Singaporean business
leaders.
She said the two economies could work together in areas of shared expertise like
membrane filtration technology to develop a green agenda, citing collaboration between a
Dutch firm and local membrane maker Hyflux. "There is an immediate need and huge
market potential for membrane separation technologies, in replacing very costly and high
energy consuming distillation processes in petrochemical industries. In other words,
collaborative projects significantly boost innovation and contribute to a low carbon
economy," said Ms Van Der Hoeven. Dutch Prime Minister, Dr Jan Peter Balkenende,
was also in Singapore to deliver a speech at the annual Singapore Lectures, organised by
the Institute of Southeast Asian Studies.
• Environmental Front
• At Social Front
Vietnam
• Political Front
•
Vietnam PM assures full cooperation
President Mahinda Rajapaksa and the Sri Lankan delegation met Prime Minister of the
Socialist Republic of Vietnam, Nguyen Tan Dung last evening during the three day state
visit to Vietnam.
Vietnamese Prime Minister, Dung during his discussions with the President and the
delegation expressed Vietnam's keen interest for oil and gas exploration in Sri Lanka.
President Rajapaksa told Prime Minister Dung that the proposal laid by the Government
to engage in oil exploration will be taken into consideration and further examined.
Prime Minister Dung also stressed that the Government of Vietnam will not allow any
remnants of LTTE terrorism to raise its head again in the region and assured that Vietnam
will always continue to stand by the Sri Lankan Government. The Vietnam Government
expressed hope that the demining process would soon be completed for the early
resettlement of the displaced persons and asserted willingness to help in the demining
process claiming that Vietnam had much experience and expertise in that field.
Following bilateral discussions the two sides signed five agreements on 'Protection and
Promotion of Investments signed by Enterprise Development and Investment Promotion
Minister, Anura Priyadarshana Yapa and Vietnam's Planning and Investment Minister Vo
Hon Phuc, a Memorandum of Understanding on Cultural Cooperation between the
Ministry of Culture, Sports and Tourism of Vietnam and the Ministry of Cultural Affairs
and National Heritage of Sri Lanka signed by Minister of Foreign Affairs, Rohitha
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Bogollagama and the Permanent Deputy Minister of Culture, Sports and Tourism,
Nguyen Danh Thai.
A work plan for the year 2010-2011 on Agriculture Development Cooperation between
the Ministry of Agricultural Development and Agrarian Services of Sri Lanka and the
Ministry of Agriculture and Rural Development of Vietnam was signed by Minister
Bogollagama and Deputy Minister of Agriculture and Rural Development, Vu Van Tam.
They also signed an agreement on 'Work Plan for the year 2010-2013 agreement
pertaining to 'Technical Assistance from the Government of Vietnam for Aquaculture
between the Ministry of Fisheries and Aquatic Resources of Sri Lanka and the Ministry
of Fisheries of Vietnam.
Both parties entered into an agreement on 'Cooperation Agreement on Prevention and
Combating Crime' between the Ministry of Public Security of Vietnam and Ministry of
Defence, Law and Order of Sri Lanka signed by Gamini Senerath, Additional Secretary
and Chief of Staff to President and Permanent Deputy Minister of Public Security,
Nguyen Khanh Toan. President Rajapaksa and his Vietnamese counterpart witnessed the
signing of the agreements for cooperation between the two countries
• Foreign Relations
• Geo-strategic front
• Economic Front
• Survey shows govt, FIs need to boost efforts to help SMEs
The ability for companies to get access to funding has been affected in recent months by
the global financial crisis.
But a recent survey has shown that some 62 per cent of small and medium-sized
enterprises around the world have managed to survive the downturn by boosting cash
flow through internal financing.
The Access to Finance for the Small and Medium Enterprise report was commissioned by
three major global accounting bodies - CPA Australia, CGA Canada and the ACCA.
The research, conducted by the Economist Intelligence Unit, highlighted the needs of
SMEs as the global economic climate begins to improve.
SMEs represent roughly 99 per cent of enterprises around the world, produce 40 to 50 per
cent of the economic output of affluent countries, and account for more than half of all
private sector employment in the OECD. It is of no surprise that a sustained global
economic recovery will depend heavily on the growth of the SME sector, which has
struggled amid the current recession. The recent SME survey has indicated that SMEs
need a helping hand in order to restart investing and hiring activities.
Neil Stevenson, executive director, Brand, ACCA, said: "I think we've come to a critical
juncture and I think our survey does illustrate that conditions have improved, and
certainly if you look at the survey, SMEs are seeing good growth opportunities for the
future. "We've seen in the survey that investment has been postponed (by SMEs), that
SMEs are facing cost-cutting and saving, so now is the time for governments to look at
where we have got to (help) and what will be required to take us to the next stage of
development that we need." Some 82 per cent of SMEs surveyed believed that banks
were not doing enough to pass on interest rate cuts. Experts said when it comes to access
to funding, banks need to be less formulaic in their approach to SMEs, assess risk on an
individual basis and reduce the risk of incorrect rejections.
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While 44 per cent of SME respondents stated that the financial crisis had dented their
ability to expand into new markets, many were optimistic about growth potential in the
year ahead. . SMEs in the Asia Pacific, as well as in Africa and the Middle East, are
expected to outperform the rest of the world as the global economic recovery unfolds.
• Vietnam Targets Economy to Grow by 6.5% Next Year
Vietnam is targeting economic growth of 6.5% in 2010 against expected growth of 5.2%
this year, aided by a flexible monetary policy that will also help contain inflation, Prime
Minister Nguyen Tan Dung said.Gross domestic product is projected to be 1,931 trillion
dong ($106 billion) in 2010,
•
Lawmakers want lower budget deficit target next year
House members discuss budget deficit at a session in Hanoi Friday Vietnamese
legislators said the 2010 budget deficit should be kept at 6 percent of gross domestic
product instead of 6.5 percent as projected by the government.
Fiscal policies need to be tightened, Ho Chi Minh City representative Tran Du Lich said
on Friday at a meeting of the National Assembly, the country’s highest lawmaking body.
If public capital spending was not monitored closely, there would be a high risk of
inflation, he said. Many lawmakers said it was necessary to tackle the growing deficit,
which the National Assembly Finance and Budget Committee has forecast to stand at 6.9
percent of GDP this year, up from 4.1 percent in 2008. They wanted the government to
cut the deficit to 6 percent next year.
But Finance Minister Vu Van Ninh said the government was aiming to keep the budget
deficit at 6.5 percent of GDP in 2010 because revenue sources were not expected to grow
next year. Many tariff lines would be cut next year, reducing government revenue by
around VND3 trillion, Ninh said. As a result, if the budget deficit next year had to be cut
to 6 percent, the government would need to ask localities to contribute more, or
investment, social welfare and salaries would need to be reduced, he said. “The important
thing is government debt is still in the safe zone,” Ninh said, noting that many other
countries also have budget deficits as they want to spend money for economic
development. Vietnam’s government debt is forecast to stand at 40 percent of its gross
domestic product this year, up from 36.5 percent in 2007, the National Assembly Finance
and Budget Committee said earlier this month. The debt may continue to surge to 44
percent of GDP next year.
However, Lich said Vietnam’s authorities were not excellent forecasters, implying that
government revenue sources may not fall next year as expected by the government.
The government set the 2009 budget deficit target at 7 percent of GDP after there were
forecasts that government revenue would fall by as much as VND60 trillion this year,
Lich said.
But revenue has been on the rise so far this year, he said, asking why the full-year budget
deficit was still expected to reach only 6.9 percent of GDP despite sharp revenue hikes.
Lich said although the government had not successfully raised funds through bond sales
but “there was still enough money for investment.”.
Vietnam’s government reportedly aimed to raise up to US$1 billion from bond issuances
on the domestic market in 2009, Standard & Poor’s said in a report last month.
“However, the weak demand for its offerings in late August suggests that this target is
unlikely to be met. The low interest rate that the government was willing to pay did little
to attract investor interest.” Standard & Poor’s forecast government budget deficit to rise
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to 6.7 percent of GDP this year. “This reflects both an expectation of weaker economic
performance in the year as well as countercyclical measures the government is
undertaking,” said the US-based provider of independent investment research.
The forecast compares with an estimate of 10.3 percent of GDP by the Asian
Development Bank last month.
Vietnam’s GDP growth this year is projected to hit a decade-low of 5.2 percent, in line
with a target of around 5 percent set by legislators, Prime Minister Nguyen Tan Dung
said on Tuesday.
• Social Front
• Situation Report Vietnam – Typhoon Ketsana Oct 2009
As it did with the Philippines and Cambodia, Typhoon Ketsana struck Vietnam in late
September, causing serious damage. The storm hit on September 29, 2009 and killed 163
persons in 14 provinces in central Vietnam. More than 258,000 houses were destroyed or
damaged; flooding affected nearly 295,000 others, more than 100,000 of them in the
central province of Thua Thien Hue.
Other infrastructure damage included roads, schools, health clinics, agricultural land,
irrigation systems and dykes. Nonharvested crops and livestock were lost, and fruit trees
and commercial forests were damaged. Another major concern is sand and salt damage to
fragile rice and vegetable fields.
PDA Response
Presbyterian Disaster Assistance is responding in cooperation with our ecumenical
partner and as a member of Action by Churches Together (ACT). The response effort,
primarily in the central province of Thua Thien Hue, focuses on assisting 5,000
households in 10 villages and includes upgrading shelters; improving food security
through strengthened livelihoods, including seed distribution; construction of wells and
education on health and sanitation; and emergency preparedness training.
Specific Response
A priority of the response is disaster mitigation with the following objectives:
Repair and/or upgrade of shelters to better protect families from annual floods and
storms.
• Strengthening and restoring livelihoods to provide families access to and/or the
ability to purchase sufficient quantities of food.
• Improvement of water and sanitation facilities and the practice of good hygiene
to improve overall health.
• Improvement of local physical environment for increased resiliency to storms
and floods, thus reducing risk of damage to livelihoods.
• Improvement of local emergency preparedness and response to recurring natural
disasters, to reduce the number of deaths/injuries and the loss of property.
• Strengthening of community organization and action to help villages become
more resilient to natural disasters.
What you can do
You can stand in the gap for disaster survivors and help the church in this response.
GIVE. The generous sharing of your financial blessings through the One Great Hour of
Sharing offering and special designated giving provides resources to assist with
emergency needs, clean up provisions and long-term and unmet needs .
• Vietnam to import additional 10,000 tons of sugar this year
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Vietnam’s government allowed companies to import an additional 10,000 tons of sugar
this year because of increasing demand, according to a statement on the government’s
website, citing the Ministry of Industry and Trade. The decision was made after demand
for sugar during the mid-autumn festival last month boosted prices to as much as
VND16,000 (90 US cents) per kilogram, the statement said, without giving further
details.
• Environmental Front
Cambodia
• Political Front
•
Cambodia parliament votes to limit mass demonstrations
The Cambodian National Assembly [official website] approved legislation Wednesday
banning demonstrations of more than 200 people. The bill, which passed [Phnom Penh
Post report] Cambodia's lower house by a vote of 76-25, would also ban any gathering
inside or outside the gates of factories or government buildings, and would require groups
to obtain permission for planned demonstrations a minimum of 12 hours in advance.
Officials from the ruling Cambodian People's Party (CPP) [party website] described the
bill as an initiative to enhance security and public order. The opposition Sam Rainsy
Party [party website] said that the legislation is a pretext to limit free speech [AFP report]
and stifle dissent. The bill must be approved by the Cambodian Senate and King
Norodom Sihamoni [official websites] before becoming law.
Earlier this month, the National Assembly approved [Phnom Penh Post report] a measure
criminalizing defamation and insult, which was also opposed on free speech grounds. In
August, UN Special Rapporteur for Human Rights in Cambodia Surya Subedi [official
profile] said that Cambodian restrictions on free speech were inconsistent [press release,
PDF] with international standards. Subedi's comments came after the conviction [JURIST
report] of opposition lawmaker Mu Sochua on charges that he defamed Prime Minister
Hun Sen [official profile]. By way of contrast, the South Korean Constitutional Court
[official website, in Korean] overturned a ban on nighttime assemblies last month, ruling
it to be an unconstitutional [JURIST] violation of the right to free assembly. South
Korea's Assembly and Demonstration law was enacted in 1962, also under the auspices
of protecting national security and public order.
• Foreign Relations
•
Cambodia will not extradite Thaksin on Thailand’s request
Cambodia will not extradite former Thai Prime Minister Thaksin Sinawatra based on a
request made by the Thai government, the Cambodian government has said.
“The Royal Government of Cambodia likes to make it clear about its position that
Cambodia will not extradite Thaksin on any request made by the Thai government if he
decides to stay in the kingdom of Cambodia,” said a government statement issued on
October 23.The Cambodian government’s statement comes a day after Thailand warned
that it would request Cambodia to send Thaksin back to Thailand to serve his two-year
jail term if he visits the country.
Thailand had made the cautionary note after Cambodian Prime Minister Hun Sen said
that Cambodia would warmly welcome Thaksin if he expresses his wish to stay in the
country.Hun Sen had also said: "I consider Thaksin as my eternal friend. Cambodia will
welcome him to stay here anytime. I will make a house available for him if he decides to
visit Cambodia.”His statement had created a stir in Thailand, especially among pro-
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government factions, prompting the government to play the ‘extradition’ card.The
extradition treaty between the two country states that any party can refuse the extradition
request if it considers the demand to be politically motivated, the Cambodian government
statement said.
The requested party also has a ground for the mandatory refusal if the requested party has
well-founded reasons to suppose that the request for extradition made by the requesting
party aims to institute criminal proceedings against or execute punishment upon the
person, or that the position of the person sought in judicial proceedings will be prejudiced
for any of the reasons mentioned above.
The statement added that based on the two reasons the Cambodian government has a
right to make an interpretation on whether the case against former Prime Minister
Thaksin Shinawatra is politically motivated or not.
However, the Cambodian government has said Cambodia will maintain its friendly
relation and continue to cooperate in all fields with Thailand.
• Economic Front
• Chinese loans to Cambodia
China will provide 853 million US dollars in loans to Cambodia for infrastructure,
irrigation and dam projects to boost its economy and reduce poverty.Cambodia's foreign
minister says the agreement was clinched on Friday when Chinese Premier Wen Jiabao
met Cambodia's Prime Minister Hun Sen on the sidelines of an economy and trade fair in
Sichuan.
Hor Namhong says China continues to help Cambodia's infrastructure development, even
though China itself faces problems from the global economic crisis. Reuters reports the
money will be invested in new roads near the borders of Thailand and Vietnam and the
expansion of existing links to the capital of Phnom Penh.At least 30 million dollars will
go towards expanding the capacity of the Phnom Penh port to meet the increasing
demand of cargo ships docked on Tonle Sap River.Cambodia is eager to develop new
dams and irrigation projects to boost its agriculture sector, followed by the tourism and
garment manufacturing sectors.
• Social Front
• Hungry in Cambodia: Flood affected communities are still waiting for
food assistance
The hunger period has been prolonged, and people in flood affected communities cannot
wait any longer, international aid agency Oxfam warns. Food assistance is not being
delivered quickly enough to the affected communities, and thousands of families who are
in need of urgent food assistance are still marooned in floodwaters.
Oxfam estimates that 15,000 households are waiting for immediate food assistance, and
the number is increasing rapidly as floodwaters continue to recede slowly and many more
families have used up their food stocks. Some households who received food assistance
earlier were also running out of food for weeks.
'People in the flood affected regions needed food a month ago, and they are still waiting
for food,' said Francis Perez, Country Lead of Oxfam International in Cambodia. 'Food
insecurity is getting worse in the affected communities. Government bodies and
international aid agencies concerned with the current situation must start delivering food
assistance now.' About 100,000 people are affected by typhoon Ketsana which coincided
with annual floods in late September and early October. The storm affected both farmers
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who own farmlands and those who sell their labour to work on those farms, thus
depriving both groups of their livelihoods.
Normally people facing disruptions in their livelihoods in the provinces would have
family members migrate to Phnom Penh and other provinces to look for work. But the
cities are already flooded with unemployed workers due to the global financial storm that
has ravaged the country's economy. So, that kind of coping strategy to stave off hunger
may no longer be available as an option to those displaced by the floods.
Oxfam has been distributing non-food items to about 5,000 families in three hard-hit
provinces: Kampong Thom, Kratie and Stung Treng. Recognizing an eminent danger of
food shortages among the affected communities, Oxfam has decided to urgently
distribute food items to 1,000 families in addition to its non-food assistance. Oxfam
continues to coordinate relief assistance with government authorities and other agencies
at the national and local levels.
• Environmental Front
• Cambodian PM blames wealth countries for climate change
Cambodian Prime Minister Hun Sen on Monday blamed the wealth and advanced
countries for climatechange and global warming that pushed the planet to have weather
change, irregular rainfall, flooding, disasters and storms. "The wealthy and developed
countries produced too much greenhouse gases and carbon dioxide and they pushed this
world into danger, have climate change and global warming," Hun Sen madethe remarks
at the First National Forum on Climate Change opened here Monday afternoon.
Calling those acts as "sins", the premier urged the wealthy countries to take more
responsibility, to transfer modern technology and offer more aids to help poor countries
who are veryvulnerable to climate change in order to cope with the climate change.
However, the premier said that "we still have to have international cooperation to prevent
and deal with the climate change and global warming." Cambodia is doing everything
that contributes to reduce carbon dioxide emission and set up the policies to protect,
conserve the forestry and replant the forestry in the country, he said, adding that
currently, Cambodia had stopped exporting the woods to foreign countries even though it
is the national income resource. He, meantime, asked wealth countries and developed
countries to pour more fund to help poor countries and least developed countries. Hun
Sen also said that Cambodia will continue to stand on own help in saving the climate
without waiting the assistance from the wealthy and developed countries. Cambodia will
respect the U.N. convention of climate change and Kyoto Protocols and will make its
effort to follow these legal tools, he noted. "We also supported to use solar energy
system for people and also support to use renewal of energy for local people," he added.
"This event will help to share experience and expand the cooperation with other partners
in climate change projects."
Laos
• Political Front
• Foreign Relations
•
Laos, China pledge deeper relationship
Prime Minister Bouasone Bouphavanh and Chinese Vice-Premier Li Keqiang pledged on
Monday to strengthen economic exchanges and deepen the strategic relationship between
the two nations, according to Xinhua report on 19 October.
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They made the remarks during their meeting in Nanning, capital of the Guangxi Zhuang
Autonomous Region, ahead of the 6th China-ASEAN Expo to be held from 20 to 24
October.Vice-Premier Li Keqiang said China and Laos enjoyed good-neighbourliness
with mutual political trust, deep economic cooperation and mutual support in terms of
international and regional affairs.China is willing to consolidate friendship with Laos and
expand cooperation on such areas as agriculture, mining and infrastructure, Li said,
adding China will seek new channels of cooperation for mutual benefits. Premier
Bouasone hailed the achievements China has made in the process of modernisation,
noting the comprehensive strategic partnership between Laos and China is conducive to
the reform and opening up of both sides.
Laos is willing to continue high-level visits, step up economic ties with China, and lift the
relationship to a higher level, Mr Bouasone said.
• Economic Front
•
Vietnam?s firm to explore copper ores in northern Laos
The Green Indochina Development Joint Stock Company (GID) will cooperate with its
Lao partner to explore for copper ores in Xiengkhouang and Houaphanh provinces,
northern Laos.
A contract to this effect was signed in Vientiane on Oct. 16 between the Lao
Government, GID and the That Luang Development Joint Stock Company (TDC).Under
the contract, GID will contribute 95 percent of the project?s preliminary investment of 20
million USD, while the TDC will cover the rest.
The exploration will be conducted on a 500 sq.km area during 54 months.
The two investors will set up a joint venture named the Indochina Mining Company to
execute the project.
•
Laos, Thailand to double trade by 2010
Laos and Thailand have reached a consensus to double the volume of the two-way trade
by 2010 as compared with this year?s figure, requiring Laos?s exports to Thailand to
triple the current value.
The two sides are preparing to draw up a plan to boost trade by 2010, which is seen to be
feasible as Thailand has taken the lead among foreign investors in Laos over the past nine
years. Thailand is currently investing in 216 projects representing USD 2.5 billion in
Laos. China ranks second, with over USD 2.1 billion in 303 projects, followed by
Vietnam with over USD 1.9 billion in 189 projects.
The trade between Laos and Thailand has grown considerably in recent years. Last year,
the two-way trade reached nearly USD 2.4 billion, up by 34 percent as compared with
2007. Laos?s imports from Thailand increased by 30 percent last year to nearly USD 1.8
billion while its exports to the latter reached USD 613.7 million.Laos imported
petroleum, motorbikes, spare parts and iron and steel from Thailand and exported
minerals, garments, textile and wood-based products to its neighbouring country.
• Savannakhet expects GDP rise by 13 %
Although facing unfavourable condition, Savannakhet province believes its economy and
gross domestic product (GDP) will increase from 12.9 to 13.5 per cent this fiscal year,
according to Deputy Head of the Planning and Investment Service of this central
province, Ms. Khampin Phengmany.
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Ms. Khampin made the statement at a meeting held locally between the service and its
finance counterpart to discuss the socio-economic development in Savannakhet for the
2009-2010 fiscal year.
She said the province would pay much attention to realising its plan to strive for 7.6
million kip GDP or (US$891) for this fiscal year. The province recorded US$799 GDP
for the 2008-2009 fiscal year. The agriculture and forestry sector plans to share 41.8 per
cent of the entire GDP of the province, up by 8 per cent, while the industry sector
projects its share of 30.5 per cent of the province?s entire GDP, up by 18.76 per cent in
the 2009-2010 period. The service sector aims a rise of 16.6 per cent and to share 27.6
per cent of the GDP of the province.
Savannakhet plans to rake in 646.3 billion kip for the state coffer, up by 8.28 per cent
over that of last year.
The value of export is expected to exceed US$619 million while import is set at US$506
million. Ms. Khampin urged the participants to implement the province?s socio-economic
development plan, mostly by addressing barriers of revenue collection and the
shortcomings on budget expenditure. In addition, Ms. Khampin urged the provincial
authorities to pay more attention to promoting the agricultural production of local farmers
to meet the consumption demand in the province and for export.
•
•
At Social Front
Laos just reports 17 dead victims from Ketsana, while welcoming
emergency aid
The latest report from the Ministry of Labour and Social Welfare disclosed yesterday that
Ketsana had killed 17 people, caused one missing, injured 91 others and affected at least
178,000 people. Meanwhile hundred thousands of victims of the tropical storm Ketsana
need more emergency assistance such as rice, drinking water, medicine, temporary
shelter, schools, household utensils and others.
The Lao government?s poverty reduction strategy plans, which are projected to be
basically achieved by 2015, seem to face prolongation by the recent tropical storm
Ketsana Typhoon.
In collaboration with the UN, foreign embassies, representatives of international
organisations, non-government organisations( NGOs), state and private organisations, the
Ministry of Labour and Social Welfare held an emergency meeting on 22 October at
Vientiane?s Novotel Hotel to give information on the damage of the tropical storm,
which hit five southern provinces from 29 September to 5 October 2009. The meeting
was a venue to discuss possibilities of relief and mobilisation of funds for victims of
Ketsana.
During the meeting, Prasith Detphommatheth, Director General of the Social Welfare
Department, Ministry of Labour and Social Welfare, reported that after the destructive
sweep of the storm in five southern provinces of Laos, namely Attapeu, Saravane,
Sekong , Savannakhet and Champassak provinces, at least 17 people died, 91 injured, one
has gone missing, 27,836 household affected, 9,602 displaced. The damage has also been
made to 4,085 hectares of rice fields,, 19,506 hectares of crop fields, killed 551 buffaloes,
1,948 cows, 2,032 pigs and 11,748 poultry. Besides, 32 schools, three local hospitals, 14
irrigation facilities and roads were damaged completely.
Now the Lao government has provided at least 100 billion kip for victims of Ketsana.
Meanwhile the Ministry of Labour and Social Welfare have mobilised more than 3
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billion kip from companies, international and private organisations. However, the damage
of the storm may need hundred thousands of billions kip to restore the basic
infrastructure, schools, agriculture, hospitals as well as treatment of injured people, said
Mr Prasith.
A press release disclosed yesterday during the meeting that on 16 October 2009 the UN
Disaster Management Team issued a Central Emergency Response Fund (CERF) appeal,
under the rapid response window, for over US$ 3 million to help victims of Ketsana, 19
October the Inter-Agency Standing Committee (IASC) issued a Flash Appeal for US$ 10
million.
On the same day, the Ministry of Labour and Social Welfare disclosed that out of
178,647 people affected, 115,000 or 64%, need more food. Their food stock is estimated
to tide over for three months. 15,000 households need rice seeds. Now 21,300 primary
school pupils and 579 teachers have been affected because their schools, education
materials have been destroyed and clothes lost.
Laos is one of least developed countries in the world, with a population of over 6 million.
The majority of land is mountainous. Throughout the country, there are 47 poor districts.
• USAID gives US$320,000 to disabled people in Laos
The Handicap International Belgium Programme would be giving 1,700 people with
disabilities in Vientiane, Savannakhet and Vientiane provinces, increasing access to
education and employment opportunities and this was made possible by a USD 325,600
grant from the United States Agency for International Development (USAID) to this
body. The Handicap International Belgium (HIB) would be working with the Lao
government on the Economic Inclusion of People with Disabilities (EID) project, which
was designed by the Lao Disabled People?s Association (LDPA), albeit with technical
assistance from HIB.
A memorandum of understanding was signed last Friday in the premises of the Ministry
of Labour and Social Welfare. The two signatories of this MOU were Country Director
of HIB in Laos, Mr Luc Delneuville, and Director General of the Department of Pension,
Invalids and Disabilities of the Lao Ministry of Labour and Social Welfare, Ms
Bouaphanh Likaya.
Ms Bouaphanh said that the new project would provide people with disabilities with
expanded education, employment and other opportunities.
The programme will run until March 2012 and would be operational in 16 districts: 7
districts in Vientiane Capital, 6 districts in Savannakhet and 3 districts in Vientiane
province.Ms Bouaphanh said that under this project, the LDPA would get people with
disabilities to acquire certain skills so that they can seek employment from state and
private companies. This new project will empower people with disabilities to use
community resources to get education and find work.
The LDPA will develop small district offices where people with disabilities can get
information and guidance about jobs, matching their interests and skills with employment
opportunities.The U.S government, through USAID?s grant to HIB, will support the
LDPA by providing technical advice on micro-finance and micro-enterprise training, as
well as the provision of loans.
Deputy Chief of Mission, U.S. Embassy to Laos, PeterM. Hamond, Acting Mission
director of USAID?s Regional Development Mission for Asia, Ms Barbara, and LDPA
President, Mr Bounvieng Luangyot witness the signing ceremony.
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•
Japan grants relief aid to flood victims in southern Laos
The Japanese government has provided relief assistance worth USD 111,800 to flood
victims in the southern provinces of Laos.
Attapeu, Saravane and Sekong were hit by tropical storm Ketsana. The typhoon also hit
some parts of Savannakhet.The hand-over of the relief took place at the Ministry of
Labour and Social Welfare last Friday and was performed by Minister of Labour and
Social Welfare, Ms. Onechanh Thammavong, and the Japanese Ambassador to Laos, Mr.
Masaaki Miyashita. The relief package included blankets, plastic sheets, water tanks and
water purifiers. Flood triggered by Typhoon Ketsana destroyed more than 15,000
households, damaged farmland and basic infrastructures including schools and hospitals
in the southern provinces.
Assistance from various sectors keeps flowing to the flood victims. Up to last Friday, the
assistance to the victims amounted to over 2,771 billion kip totally.
Brunei
• At political Front
• Employment Order 2009 Passed
His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam, has consented to
approve the Employment Order 2009 and Employment (Domestic Workers) Regulations
2009, said the Ministry of Home Affairs (MoHA).
The new law has come into effect on Sept 3, 2009, replacing the previous Labour Act
(Chapter 93) that was introduced on Feb 1, 1955. The Employment Order 2009 consists
of numerous renewals in regulation, outlining rights and responsibilities of employers and
employees in the public sector.
These include security for employees' rights, upgrade in authority and investigation for
the controlling enforcement officers, the introduction of sanctioned compounds for labour
offences (under the Order), and the introduction of new provisions (under the Order)
which include rights to annual leave, sick leave, beneficial payments, resignation and
retirement benefits and security rights for part-time employees.
Meanwhile, sterner punishment for labour offences under the law states that employers
failing to pay their employees' wages can be fined an amount not exceeding $3,000 for
each offence or imprisoned to not more than a year or both.For the offence of employing
(with salary) a foreign worker without a licence is punishable by law to a fine not less
than $6,000 and not exceeding $10,000 for each offence, or imprisoned not less than six
months and not exceeding three years or both.
MoHA said the Employment Order 2009 is His Majesty's initiative and endeavour to
place the sultanate as one of the leading Asian nations in terms of employment stability
and modernisation while at the same time, to promote corresponding relations in a
conducive working environment.
It added that the Order is expected to create reconciliation and security for an employee's
rights to a higher level of standard in accordance with `good practices' acknowledged by
the International Labour Organization (ILO).
• ‘Connectivity For An Asean Community'
His Majesty the Sultan and Yang Di-Pertuan of Brunei Darussalam, yesterday attended a
battery of meetings that included the 15th Asean Summit Retreat; Asean Summits with
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Dialogue Partners namely the People's Republic of China, Japan, Republic of Korea
(ROK), and India; and the Asean Plus Three Summit. The summits were chaired by Thai
PM Abhisit Vejjajiva, at a leading hotel in Cha-am.
Yesterday's events started with the Retreat of the 15th Asean Summit, which in a titah,
His Majesty noted the importance of enhancing Asean "connectivity", where greater
efforts to link the countries in the region together could play a vital role in building the
Asean Community.
His Majesty viewed that such connectivity would facilitate the movement of goods,
services, capital and skilled labour, thus promoting economic growth and creates other
opportunities. His Majesty believed .that this could become more evident as Asean
moved further towards achieving its Economic Community, particularly when it
substantially eliminates almost all tariffs in January 2010.
His Majesty also stated that these linkages would continue to strengthen Asean's efforts
in addressing global challenges such as climate change, natural disasters, and food and
energy security.
His Majesty highlighted the need to improve coordination and accessibility during
emergency situations, and was -pleased to note that the Asean agreement on disaster
management would come into effect soon.
His Majesty further encourage Asean to cooperate with its dialogue partners in ensuring a
mutually meaningful outcome of the 15th Conference of Parties to the United Nations
Framework Convention on Climate Change (UNFCC) to be held in Copenhagen in
December 2009.
At the end of the session, the leaders adopted the "Chaam Hua Hin Declaration on
Strengthening Cooperation on Education to Achieve an Asean Caring and Sharing
Community", "Asean Joint Statement on Climate Change to the 15th session of the
Conference of the Parties on the United Nations Framework Convention on Climate
Change and the 5th session of the Conference of Parties serving as the meeting of Parties
to the Kyoto Protocol", and "Asean Leader's Statement on Asean Connectivity".
At the 12th Asean-China Summit, His Majesty highlighted the significant progress made
in the dialogue relations, and expressed appreciation to China for its new initiatives to
enhance cooperation in the areas of energy and law enforcement.
His Majesty underscored the need for closer collaboration, particularly in the areas of
maritime security and transnational crime. His Majesty welcomed the first formal AseanChina Ministerial Meeting on Transnational Crime, which would be held in Cambodia
this November, and suggested that both sides enhance maritime cooperation to ensure the
safety of regional trade.
On the economic front, His Majesty stated that the global economic situation continued to
threaten efforts in sustaining economic growth in the region and commented that the
recent signing of the Investment Agreement would strengthen cooperation and bring
prosperity.
His Majesty added that the Memorandum of Understanding (MOU) on Intellectual
Property and Standards would enhance the quality of Asean and China's goods and
services. His Majesty expressed appreciation to China for its contribution to the region,
particularly in establishing the Fund for Investment Cooperation, the Credit Facility, and
for China's participation as a development partner in BIMP-EAGA.
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With regard to social-cultural cooperation, His Majesty welcomed the on-going efforts in
strengthening people-to-people contacts, and looked forward to signing the MOU on the
Establishment of the Asean-China Centre to promote cultural, tourism, trade and
investment ties between both sides.
His Majesty concluded his titah by expressing appreciation to China for its cooperation
and support throughout Brunei Darussalam's tenure as the country-coordinator for AseanChina dialogue relations.At the 12th Asean-Japan Summit, His Majesty welcomed Prime
Minister Yukio Hatoyama who joined the summit for the very first time. In his titah, His
Majesty encouraged Asean and Japan to continue efforts in implementing the bilateral
and regional economic partnership agreements.
His Majesty acknowledged Japan's leading role in energy efficiency and environmental
management. In this regard, he expressed appreciation to Japan for the assistance to
developing countries in addressing climate change.He underscored the importance of
ensuring sufficient food reserves in the region. In light of this, His Majesty encouraged
more investments in the field of agricultural industries, and the sharing of information
and technology, as well as capacity building programmes to enhance sustainable food
production.
His Majesty observed that people-to-people exchanges were a distinct feature of AseanJapan relations, and commended Japan's efforts in youth exchanges through the Youth
Ship and the East Asia Youth Exchange Programmes.In conclusion, His Majesty stated
the Asean attached importance to the dialogue relations, and looked forward to working
closely with Japan in further strengthening the partnership.
At the 12th Asean-ROK Summit, His Majesty stated that Asean and Korea celebrated its
20th anniversary last June in Jeju Island, where new ideas were introduced to further
broadened and deepened the dialogue relations. His Majesty, in particular, recalled
Korea's efforts to address climate change through its Green Growth Strategy and
welcomed the recommendations of the Asean-TOK Eminent Persons Group (EPG) to
enhance partnership on climate change through the sharing of expertise and
technologies.His Majesty also acknowledged the EPG's recommendation to promote
people-to-people exchanges, especially initiatives that involved youth exchange
programmes, scholarship schemes, and activities that showcased the diverse culture and
heritage.
His Majesty then joined the Asean and Northeast Asian colleagues for the Asean Plus
Three Working Lunch, hosted by the Prime Minister of Thailand. At the Working Lunch,
leaders exchanged views on regional and international matters.In the afternoon, the
leaders- of Asean, China, Japan and Korea proceeded to attend the 12th Asean Plus Three
Summit. In that session, His Majesty expressed satisfaction on the progress of the Asean
Plus Three process, in particular their involvement in the Chiang Mai Initiative as well as
the Asean FTAS.
His Majesty stated that climate change, natural disasters, pandemic diseases and the
economic slowdown were issues of common concern, and reiterated the need to work
together in addressing these challenges. His Majesty thanked the Plus
Three countries for assistance in dealing with the outbreak of A H1N1 Influenza. His
Majesty also expressed the view that climate change could affect every aspect of human
life. In this regard, he encouraged Asean plus Three to ensure the meaningful outcomes
of the 15th Conference of Parties to the UNFCC.
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His Majesty viewed that Asean and Plus Three would continue to promote greater
sharing of information, technology transfer and capacity building on climate change. He
was pleased that disaster management and emergency response remained a priority area
for the Asean Plus Three process. His Majesty was satisfied with efforts made to
strengthen cooperation on food security, and looked forward to the establishment of the
Asean Plus Three Emergency Rice Reserve.
At the end of the Summit, the leaders issued the "Cha-am Hua Hin Statement on Asean
Plus Three Cooperation on Food Security and Bio-Energy Development."
At the 7th Asean-India Summit, His Majesty praised India for its achievements in all
fields of development, and was particularly impressed with the vibrancy of its economy.
His Majesty stressed the importance of working together to respond effectively to the
current economic situation, and supported the efforts of emerging economies at the recent
G20 Summit in Pitfsburgh to restore the global economy, market confidence and further
growth in the region. His Majesty was pleased that Asean and India had concluded the
Agreement on Trade in Goods. His Majesty thanked India for its contribution and
assistance to Asean's community building activities, in particular the establishment of the
Asean-India Green Fund to promote the sharing of technology and best practices on
climate change.His Majesty concluded his titah by acknowledging India's contribution to
the political and security cooperation such as through Asean Regional Forum, and
emphasised the need for cooperation in counter-terrorism and transnational crime.In the
evening, His Majesty attended a gala dinner hosted by the Prime Minister of Thailand
and his spouse, in honour of leaders attending the 15th Asean Summit, at one of the
leading hotels in Cha-am
• At Economic Front
• Privatization Plan To Be Ready In A Year
A Master plan that will provide the blueprint and details on implementing privatisation
policy in Brunei is scheduled to be completed in 12-month's time, said a senior
government official yesterday.
Acting Director-General of the Department of Economic Planning and Development
(JPKE) Shahrom Hj Suhaimi said that this master plan will outline a clear vision, policies
and strategies for building the foundation, as well as charting the strategic direction of
Brunei's privatisation programme for the next 20 years.
"Privatisation is recognized as an important government strategy particularly as the
private sector has been perceived as the engine of growth for the future development of
the Sultanate," he said during a signing ceremony between the department and
PricewaterhouseCoopers (PwC) who will undertake the consultancy work in preparing a
privatization plan for Brunei. He said that the initiative was in line with the Outline of
Strategies and Policies for Development (OSPD) for Brunei Vision 2035 to see the
private sector plays a larger role in the development of the economy.Shahrom stated that
privatisation serves as a platform to realise the objectives of several economic and social
policies such as improving efficiency and productivity of the public services and stateowned enterprises, to stimulate the development of entrepreneurs and the private sector,
to encourage investment and streamline the public sector workforce.
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The plan will also provide recommendations on regulatory framework, financial
infrastructure, institutional set-up, human resources issues and legal framework required
to execute the planning, coordination, implementation and monitoring of the privatisation
programme in Brunei.
"Therefore a privatisation master plan is pivotal for successful privatisation in the
country," he said, adding that the corporatisation of the Telecommunications Department
to Telekom Brunei Berhad (TelBru) in 2006 is seen as the "flagship" of the privatisation
programme.
Since the early 1990s, the government has taken several initiatives as part of the
privatisation drive in the country including the establishment of the Special Committee
on Privatisation in 1993, whose role is to guide and supervise the privatisation
programme.For the Privatisation Master Plan, PwC has teamed up with both international
and local legal advisers to ensure their advice incorporates international best practice with
relevant, valuable local expertise.
PwC has been providing leading-edge advice on privatisation to governments and the
private sector for over 15-year, from steel and heavy manufacturing to utilities, public
transport, health and education services.Signing the contract on behalf of Brunei's
government was the acting director-general while PwC was represented by its partner,
Mark Rathbone.Present to witness the signing was Permanent Secretary at the Prime
Minister's Office Hj Murni Hj Mohamed
• Goal To Increase Awareness In Energy Efficiency & Conservation
Energy situations surrounding Asean countries and Japan have been extremely tough
with energy price now going upward again accompanied with the global economic crisis,
said the representative of ACE in his opening statement at the seminar.
Global warming is a continuing issue worldwide and its prevention is one of the most
difficult challenges in this century and there is a need to preserve the limited energy for
future generations.
The representative of ACE also stated that, "Japan's decades of experiences have testified
that Energy Efficiency Conservation is proven to be the most practical and effective
means in terms of economical aspects. Therefore, we understand that it is very important
to build common basis to implement and disseminate Energy Efficiency & Conservation
measures through the multilateral cooperation in addition to the efforts by individual
countries".
The PROMEEC project realises this philosophy completely and the project activities
share the benefit of the achievements while taking mutual responsibility for energy
conservation and environmental protection.
The current activities conducted by the PROMEEC project in Brunei Darussalam are
very important towards future successes in Energy Conservation promotion. Since
petroleum and gases are the most valuable natural resources in the sultanate, energy
efficiency and conservation contribute greatly to conserving the petroleum and gases.
Understanding that the Brunei Darussalam's government has been making great effort in
promoting energy efficiency and conservation in the country, in particular they believe
that the Prime Minister's Office continues to play an important role in implementing the
promotion of energy efficiency and conservation in the country.
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"We would like to report that the energy audit made in Brunei Shell Refinery & Seria
Crude Oil Terminal has been conducted by local participants under the leadership of the
Prime Minister's Office and successful results have come out", he further pointed.
Meanwhile, Executive Director of ACE, Nguyen Manh Hungn, in his opening statement
pointed out that since Asean is showing great increase in economic performance and
growth, an increasing - ratio of high utilisation of energy is very visible.He also said, "It
has been the goal of the governments of Asean members to promote energy efficiency
and conservation awareness and we are very happy to see that people are starting to
recognise that energy resources are fast depleting and extreme conditions of climate
change are manifesting."
Thus, he added, the continued pursuit to implement energy efficiency and conservation
activities are of top priority and have been one ofthe ways forward to boost cooperation
between Asean countries and Japan.
He further pointed out that with the existence of the Asean Plan of Action for Energy
Cooperation (APAEC) 2004-2009, Asean is continuously strengthening its cooperation to
ensure energy security, adding that the APAEC is the blueprint of cooperation between
the member countries to achieve the region's pursuit of sustainable energy development.
One area of cooperation in the field of EE&C also aims to strengthen technical capacities
and disseminate information.
• At Social Front
• Ostrich meat gains popularity in Brunei(social,eco)
RESTAURANTS serving orchid meat are noting its rising popularity even as a
Malaysian lecturer cast doubt whether the meat is halal.
"Our meat is in fact halal, because we get it from the Brunei Meat Company in Brunei
and it was certified by two religious department officers," said Mohd Nova Akbar,
Rizqun Coffeehouse chef. The restaurant has an ongoing promotion for ostrich meat
imported from Saudi Arabia. He said the birds were processed under the strict
supervision of the Brunei Religious Department. "A lot of people who come in to try the
ostrich meat, inquire about whether it is halal or not, but we tell them that it is because it
has been certified by Brunei," he said.
Mohd Nova said that on average, depending on the part of the ostrich, a kilo of ostrich
meat costs about $17.
In a recent report, Professor Dr Abdul Salam Babji from the Department of Chemical
Science and Technology, Universiti Kebangsaan Malaysia, said an ostrich is considered a
"bird of prey" and that under the Islamic context, "birds of prey" are not halal.
Bi Yi, assistant supervisor at the Emperor's Court restaurant, said, "Before it wasn't so
popular, and then we did not have stock of the ostrich meat but now that we have stock
we are getting a lot of customers asking us about the ostrich meat." She added that
customers who like ostrich meat like the taste because it is mostly meat without fat. Bi Yi
said their supply of ostrich meat is halal.
She said even with the pricing, ostrich meat is gaining popularity. "We charge the ostrich
meat to be the same as venison and beef. It is about $18 for a small portion, $25 for a
medium portion and $35 for a large portion," she said.
Teo Poi Hoon Foodstall, one of the more popular restaurants serving ostrich meat, said
they buy the meat from a local supplier and the meat has been certified halal. "We are
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popular for our ostrich meat dishes ... I think it is popular because of its taste. It is like
beef," said a restaurant assistant, who wished to remain anonymous. She said their ostrich
meat side dishes are considered more reasonably priced, as a small dish is about $15.
"We also have just ostrich meat and rice for one person and that will be about $8. For
noodles with ostrich meat, it can go between $6 and $8," she said.She added that it is a
popular meat in Brunei and that there will be more people who enjoy it.
Business and Politics in Muslim World
South East Asia
Tatheer Zahra Sherazi
23 October to 30 October 2009
(Outline)
Summary
Indonesia
•
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•
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•
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Malaysia
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•
•
•
•
•
•
•
•
Political front:
SBY and the future of the presidency
Geo-strategic Front
Economic Front
Indonesian consumers more optimistic about the future
economic policy
Indonesia sees rebound in 2010 worker remittances
Social front
Questions over Indonesia asylum deal
Environmental Front
Indonesia may get $400 million from Japan to combat warming
9
11
15
15
Political Front
15
Najib: We’re still ready to talk with PAS
Malaysia's Pakatan Rakyat faces problems
Foreign Relations
Economic Front
17
Malaysia hopes that Muslim countries can agree on which goods and products
are halal,
Malaysia Refrains From Rate Increase to Spur Recovery
Najib hopes FTA signing will encourage investments
Social Front
21
The government has been spending measly amounts on flood control
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Philippine
• Political Front
• Foreign Relations
• Economic Front
• Philippines Says Talking with Thailand on Rice Deal
• Social Front
• Church in Philippines ready to negotiate for kidnapped priest's release
• Thai police may make arrests over stock rumours
100
22
23
• Environmental front
24
• 4 Luzon areas placed under storm alert.
Thailand
• Political Front
25
• Thai Political Crisis Drags In Asean Neighbours
• Abhisit backs south's autonomy
• Geo Strategic Front.
26
• Thai ship hijacked by pirates
• Thailand-Cambodia Dispute Overshadows Summit
• Foreign Relations
• Economic Front
• At Social Front
Singapore
• Political Front
• Foreign Relations
• Economic Front
28
• PM Lee warns of marginalised ASEAN if it does not stay relevant
• S'pore & India to launch second round of free trade review
• Singapore's manufacturing output falls 7.7% on-year in September
• S'pore firms should create better balance in pay structures: study
• S'pore firms invest in new economic zone in China's Fujian province
• Customer satisfaction levels still declining in various sectors
• Some firms in Asian markets still face lagging demand
• Some firms in Asian markets still face lagging demand
• Clinton meets MM Lee, says Singapore is a valued partner
• KPE ranked among best managed tunnels in Europe in design, safety
• Experts say Singapore's economic landscape must evolve
• APEC summit likely to open many trade doors
• Experts say carbon trading markets are picking up
• Singapore improves overall score on gender equality
• Survey ranks S'pore as world's No.2 best place to do business
• Business sentiment among manufacturers improves for next 6 months: EDB
• Environmental Front
• At Social Front
38
• 1,500 more places allocated to Singapore for Haj season
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• Singapore to receive first batch of H1N1 vaccine in 2 weeks
Vietnam
• Political Front
• Foreign Relations
39
• Vietnam, Cambodia discuss security, extradition pacts
• Geo-strategic front
• Economic Front
39
• Sri Lanka, Vietnam boost trade
• Vietnam launches biofuel crop project boost
• Pace of Vietnamese inflation slackens
• Social Front
42
• Dengue outbreaks affecting the Philippines, Vietnam and India
• US helps Vietnamese disaster victims
• Environmental Front
Cambodia
• Political Front
44
• Thailand-Cambodia Dispute Overshadows Summit
• Foreign Relations
45
• FM: Cambodia, India to strengthen defense, anti-terrorism co-op
• Cambodia will not extradite Thaksin on Thailand’s request
• Cambodia becomes permanent member of World Heritage Committee
• Economic Front
47
• Expanding Economic Horizons
• Korea offers Cambodia more development aid
• Social Front
• Environmental Front
49
• Cambodia vows to crack down on safety violations by factory owners.
• Typhoon warning for Cambodia and Vietnam
Laos
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•
•
•
•
•
•
•
•
Political Front
51
Development of ASEAN civil service agreement expects to be signed
Foreign Relations
51
Laos and China cooperates on human resource development
Laos, Vietnam achieve in Nam Kanh border demarcation
Economic Front
52
China-ASEAN Free Trade Area to Set Example for Global Co-operation
At Social Front
private company further donates relief fund to flood victims
Brunei
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•
At political Front
At Economic Front
53
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Brunei Meat Exports Via Halal Brand Probable
Banks to publish true cost of financing
Greater transparency sought from TAP
At Social Front
At environmental Front
Economics Of Climate Change Forum
102
57
Summary
At political Front
• Indonesia
Ben Anderson's The Idea of Power in Javanese Culture once was a very popular
analytical tool to explain modern Indonesian politics. In this regard, Soeharto's New
Order government often served as the most favorite text and context. This is perhaps due
to the fact that Soeharto was a politician who preserved and developed his power
through, among other thing, spiritual endeavors. He was known to perform a certain
spiritual purification ritual which affected his dealing with power. Power was therefore
seen not only as a mundane or profane matter, but something which contained spiritual
elements.
• Malaysia
The split in PAS is very serious but Umno is still open to possible Malay and Muslim
unity talks with the party.Prime Minister Datuk Seri Najib Tun Razak however said it
would be difficult to have formal talks if PAS was split.
“So as long as PAS is not able to reach consensus, it will be difficult to hold talks with
the party,” Najib told Malaysian journalists after attending the East Asia Summit here
yesterday.PAS spiritual leader Datuk Nik Abdul Aziz Nik Mat had called for a special
muktamar to rid the party of several problematic leaders including deputy president
Nasharuddin Mat Isa and secretary-general Datuk Mustafa Ali.
• Thailand
The prolonged domestic political crisis in Thailand is now taking on a new shape, with
neighbouring countries being sucked into the conflict between rival parties.
Just days after the leaders of Cambodia and Thailand clashed over treatment of ousted
Prime Minister Thaksin Shinawatra that overshadowed the 15th Asean Summit in Hua
Hin, other developments connected to Thaksin had somewhat brought Thailand's
neighbours into the spotlight.
An uncharacteristically edgy summit of the Association of Southeast Asian
Nations (Asean) threatened to boil over yesterday as Thai-Cambodian relations took
another turn for the worse. A visibly exasperated Thai Prime Minister Abhisit Vejjjiva hit
back at his Cambodian counterpart Hun Sen, calling him “seriously misinformed” over
the latter’s remarks comparing fugitive former Thai PM Thaksin Shinawatra with
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Burmese pro-democracy leader Aung San Suu Kyi.Hun Sen had earlier offered Thaksin,
who was deposed in a 2006 coup, a job as an economics advisor and said that if the
exiled media mogul chose to come to Cambodia, he would not face extradition to
Thailand to face corruption charges.
• Cambodia
An uncharacteristically edgy summit of the Association of Southeast Asian Nations
(Asean) threatened to boil over yesterday as Thai-Cambodian relations took another turn
for the worse. A visibly exasperated Thai Prime Minister Abhisit Vejjjiva hit back at his
Cambodian counterpart Hun Sen, calling him “seriously misinformed” over the latter’s
remarks comparing fugitive former Thai PM Thaksin Shinawatra with Burmese prodemocracy leader Aung San Suu Kyi.Hun Sen had earlier offered Thaksin, who was
deposed in a 2006 coup, a job as an economics advisor and said that if the exiled media
mogul chose to come to Cambodia, he would not face extradition to Thailand to face
corruption charges.
Cambodia will not extradite former Thai Prime Minister Thaksin Sinawatra based
on a request made by the Thai government, the Cambodian government has said.
“The Royal Government of Cambodia likes to make it clear about its position that
Cambodia will not extradite Thaksin on any request made by the Thai government if he
decides to stay in the kingdom of Cambodia,” said a government statement issued on
October 23.The Cambodian government’s statement comes a day after Thailand warned
that it would request Cambodia to send Thaksin back to Thailand to serve his two-year
jail term if he visits the country.
At Foreign Relations Front
At Geo Strategic
Somali pirates on two skiffs have attacked and boarded a Thai-flagged fishing vessel
north of the Seychelles and off the coast of Somalia, the European Union Naval Force
says.The pirates were seen aboard the Thai Union 3 yesterday from a patrol aircraft when
it was 370 kilometres north of the Seychelles, a statement on the force's website said.
At Economic Front
• Indonesia
Indonesian consumer confidence has seen a steady increase over the last six months.
Fuelled by optimism about the future, the Consumer Confidence Index by InsightAsia
increased 8 points from 97 to 105, rising above the neutral point of 100. InsightAsia, one
of Asia Pacific's leading market research groups - specializing in quantitative, qualitative
research, brand development, business analytics and consultancy - surveys 9,200 people
across five Asian countries on a yearly basis to produce.
Indonesia's President picked a strong team of technocrats to handle economic policy
in his new cabinet but could have placed more professionals in other posts to accelerate
reform, investors said on Thursday.
President Susilo Bambang Yudhoyono, sworn in for a second, five-year term this week,
appointed a mix of pro-reform technocrats as well as several political allies who lack
reform credentials to his cabinet, announced late on Wednesday night.
Indonesia expects remittances from its overseas workers to rise to around $10
billion next year as the global economy improves, the head of a state agency in charge of
migrant workers told Reuters on Friday.
• Malaysia
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Malaysia hopes that Muslim countries can agree on which goods and products are
halal, or acceptable to Muslims, a move that would boost the $2 trillion industry,
although politics and interpretation of islamic law may complicate the task.
The Organisation of the Islamic Conference (OIC) is working on a single standard to be
applied in its 57 member countries.
Agreement to regulate the halal industry, which ranges from financial institutions to
cosmetics and meat, would help trade and speed up the certification for makers of halal
products."Malaysia's halal certification is recognised worldwide so perhaps we can play
an important role in creating a global standard," Malaysia's religious affairs minister
Jamil Khir Baharom said in an interview on Thursday. "We need a halal certification that
everyone can use easily."
Malaysia’s central bank refrained from raising interest rates, opting to keep
borrowing costs at a record low to support a nascent economic recovery as the
government prepares to cut spending to trim its budget deficit. Bank Negara Malaysia
maintained its overnight policy rate at 2 percent for a fifth straight meeting yesterday, it
said in a statement in Kuala Lumpur. The decision was predicted by all 21 economists
surveyed by Bloomberg News. The benchmark is at its lowest level since it was
introduced in April 2004.
Malaysia hopes the signing of the Free Trade Agreement (FTA) with New
Zealand will encourage more companies there to view Malaysia as a suitable investment
hub and gateway to the Asean market, said Prime Minister Datuk Seri Najib Tun Razak.
He said the signing yesterday was the highlight of New Zealand Prime Minister John
Key’s short visit to Malaysia, marking a significant milestone in the trade links between
the two countries.
HUA HIN, Thailand: Prime Minister Lee Hsien Loong has warned that ASEAN
risks becoming marginalised if it does not stay relevant.
Speaking during the ASEAN leaders retreat on Saturday morning, he said it was vital for
the grouping to strengthen cooperation, deepen integration and enable all its member
countries to develop and prosper.
• Singapore
As the global economy recovers, Singapore's economic landscape must continue to
evolve if it wants to stay ahead of the competition. Academics and private sector
economists at the Singapore Policy Forum on Tuesday said that this should include
building a stronger base of local enterprises, as well as focusing more on the services
sector rather than manufacturing.
The Economic Development Board (EDB) said business sentiment among
manufacturers here has improved. Data from its latest Business Expectations Survey
showed a weighted 22 per cent of firms predict an improvement in the business
conditions in the next six months compared with 16 per cent last quarter.
• Vietnam
US$ 100 m target set for two-way trade volume by 2012: President Mahinda Rajapaksa
and Vietnamese President Nguyen agreed to encourage bilateral trade and set the target
of US$ 100 million for two-way trade volume by 2012.
President Rajapaksa who was on a State visit to the Socialist Republic of Vietnam from
October 22 to 24 also discussed a range of matters of mutual interest which included
trade and investment promotion, agriculture, cultural cooperation, air services and
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defence and transnational crime prevention with President Nguyen. President Rajapaksa
undertook the State visit at the invitation of Vietnamese President Nguyen Minh Triet.
Lanka-Vietnam agreements
•
Laos
The China-ASEAN Free Trade Area (CAFTA), to be established on Jan. 1, 2010, will set
a good example for global cooperation, Lao Prime Minister Bouasone Bouphavanh said
on Tuesday, 20 October.China and ASEAN have established strategic partnership, and it
will attract much attention from the whole world, Bouasone said on the sideline of the 6th
China-ASEAN Expo held from Oct. 20 to 24 in Nanning, capital of south Chinas
Guangxi Zhuang Autonomous Region.ASEAN - the Association of Southeast Asian
Nations, is a regional cooperation group founded in 1967. It groups Brunei, Cambodia,
Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam,
with a total area of 4.5 million square kilometres.
•
Brunei
Ghanim International Food Corp Sdn Bhd is keeping its doors open to the possibility of
helping domestic poultry producers export their goods to Singapore using the premium
Brunei Halal brand.
In an interview with The Brunei Times yesterday, Noel Shield, Ghanim interim chief
executive, said: "Poultry and fresh meat products are definitely a part of the products on
the list of products to be included in the Brunei Halal brand for sure; however it will
depend on what the market wants and needs." Ghanim International is the company
appointed by His Majesty's Government to oversee the Brunei Halal brand.
At Social front
• Singapore
The Saudi Haj Authority has allocated an additional 1,500 places to Singapore for the
coming Haj season. This brings the total number of places available for Singapore this
year to 2,180 – the same as last year.
The Islamic Religious Council of Singapore (MUIS) had earlier requested for 4,000
places for Singaporean Muslims to go on a pilgrimage to the holy city of Mecca, which is
part of a religious tradition.
• Philippine
Police may charge four or five people suspected of spreading rumours about the health of
the country's 81-year-old king that triggered a slide in Thailand's stock market, a senior
police officer said on Thursday.
Thai stocks .SETI plunged a combined 7.2 percent on Oct. 14-15 as rumours circulated
over the health of King Bhumibol Adulyadej, although they rebounded 3.5 percent the
following day.
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Detailed News Monitoring Report
Summary
Indonesia
• Political front:
• SBY and the future of the presidency
Ben Anderson's The Idea of Power in Javanese Culture once was a very popular
analytical tool to explain modern Indonesian politics. In this regard, Soeharto's New
Order government often served as the most favorite text and context. This is perhaps due
to the fact that Soeharto was a politician who preserved and developed his power
through, among other thing, spiritual endeavors. He was known to perform a certain
spiritual purification ritual which affected his dealing with power. Power was therefore
seen not only as a mundane or profane matter, but something which contained spiritual
elements.
Today, Anderson's analysis may no longer be relevant. Observers rarely use it as an
analytical armory. But the chaotic transfers of power in 1998-2001 - reminiscent of the
sorrowful events surrounding the transfer of power from Sukarno to Soeharto in 1966 encouraged many to take into account the intangible or immaterial aspects of politics that
may steer the course of Indonesia's political development. Many may not realize it, but
when Megawati Soekarnoputri lost her bid for another presidential term to Susilo
Bambang Yudhoyono in the 2004 elections, some observers could not restrain themselves
from raising the question why was it that in the end, the fate of all presidents was always
surrounded by unpleasant circumstances? Of course, as all the available scholarly works
have indicated, this is something that can be explained rationally. Interplay between the
economy and politics, which may involve domestic as well as international actors, is
sufficient to provide an explanation of some kind.
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Still, however, one can be easily intrigued by questions such as, why all? Were they all
that bad when entrusted with the enormous power to manage the country? The answer is,
of course, no. Sukarno was a person who spent all his adult life in the service of
Indonesia's wellbeing. Not only that, he was the country's first president, but long before
that, he was the most notable of the avant-garde to wage the archipelago's sense of
nationalism to fight colonialism and bring Indonesia to independence. But in the end,
only bitterness colored his life, even as a common citizen: He was implicated, directly or
otherwise, with the 1965 failed coup, his power was stripped off him by the People's
Consultative Assembly (MPR), he was put under house arrest - unable to communicate
with the outside world. His successor, Soeharto, was more or less the same. That is, in the
sense that, like Sukarno, Soeharto also dedicated his adult life for the betterment of
Indonesia. For years he was in the military service, responsible, among other things, in
making West Irian part of Indonesia' unitary state. For more than three decades he served
as Indonesia's longest president, which enabled him to develop the country's economy.
And yet his final years were severely unpleasant: being charged with corruption, tried,
and, sadly, only his declining health saved him from undergoing further trials.
B.J. Habibie did not suffer the humiliation experienced by Sukarno and Soeharto. But in
the end, his devotion to Indonesia's technological and industrial development, his
obsession to make the country a modern state in its truest sense, was met by the fact that
his leadership was politically unwanted. His very short term in office was a relative
success, but in the MPR meeting in 1999, his accountability speech was narrowly
rejected. Abdurrahman Wahid's presidency was full of controversies. At the beginning of
his presidency, hopes ran high - regardless of his physical limitations. He was considered
as the only person who could heal the country and unite the fragmented elites. Poor
political judgment on his part made him the second president ever to be impeached by the
MPR. After less than two full years in office his presidency was nullified and handed
over by the MPR to Megawati.
Megawati did not experience political bitterness like Sukarno, Soeharto, or Wahid. But
she was defeated twice, once by her minister, Yudhoyono. The latter beat her fairly and
squarely in the 2004 and 2009 presidential elections - something that is normal in
politics. But for some reason, and only the two know exactly why, since then their
relationship has gone sour.
These sad realities, especially in the course of the transfer of power from one president to
the other, has encouraged many to see the power interplay in the light of the intangible
aspect of politics. One speculation was that perhaps the timing of the birth of an
independent Indonesia was not correct. Therefore, the country is in great need of being
spiritually healed (ruwat).
Of course, one need not take such speculation seriously. Muslims in particular would
have a different perception with regard to the date of birth of the Republic of Indonesia.
The country's independence was proclaimed on Friday, Aug. 17, 1945. This coincided
with the holy month of Ramadan - a period when Muslims are obliged to fast. How could
such time be considered as inappropriate for the declaration of independence of the
Republic? What needs to be emphasized here is not whether the country requires some
kind of spiritual energizing so that it will move in tandem with the cosmic law of nature.
What is important is that the cycle of unpleasant circumstances, or perhaps even political
destinies, experienced by all of our former presidents, be broken.
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Yudhoyono has the chance to break that cycle. He has been able to avoid the cycle during
his first term in office. Nobody knows what will happen to the second term of his
presidency - something that resembled the experiences of both Sukarno and Soeharto
where they could not predict what might happen, after the former being crowned as the
president for life and the latter being the father of development. I think Yudhoyono will
be able to break the cycle provided that he works solely for the interests of the people. In
that respect, he should prioritize his agenda for the next five years. Three of his top
agenda items seem to match with the public demands - economic development;
democratic politics and law enforcement.
What remains to be seen is whether his Cabinet members are able to understand those
issues and put them in the context of policies that serve the interests of the people.
Otherwise, history is waiting to repeat itself. The writer is the dean of the Faculty of
Social and Political Sciences, State Islamic University (UIN) Jakarta
• Geo-strategic Front
• Economic Front
•
Indonesian consumers more optimistic about the future
Indonesian consumer confidence has seen a steady increase over the last six months.
Fuelled by optimism about the future, the Consumer Confidence Index by InsightAsia
increased 8 points from 97 to 105, rising above the neutral point of 100. InsightAsia, one
of Asia Pacific's leading market research groups - specializing in quantitative, qualitative
research, brand development, business analytics and consultancy - surveys 9,200 people
across five Asian countries on a yearly basis to produce The Asian Consumer Confidence
Index. Consumers in Indonesia are very optimistic about the future of both the economy
and their financial well-being. This optimism has become stronger since the second
quarter. Nevertheless the feeling about the current state of the economy and current
financial well-being is somewhat negative; consumers still think that this is a bad time to
purchase major household products, although the perception of financial well-being is
less negative than earlier in the year.
The GDP growth of 4 percent in the second quarter was the lowest in six years and the
government expects a similar number for the third quarter. Consumers are slightly
negative about the current state of the economy. The perception of current financial wellbeing has improved, though the overall feeling is still somewhat negative. The index of
current financial well-being has increased over the last three quarters from 71 to 78 to 89,
a steady upward trend. Despite the less positive view of the current economy, consumers
have become increasingly optimistic about the future of the economy. Most are confident
that the economy will recover throughout the next 12 months. The index that reflects the
outlook of the economy has moved up from 108 in the first quarter to 128 in the second
and 142 in the third quarter. A more optimistic outlook is also found in recent predictions
by the Ministry of Finance and Bank Indonesia. Both increased their full year growth
forecast from 3.5-4.0 percent to 4.0-4.5 percent. The World Bank shares this optimism,
naming their recent report about the Indonesian economy *Clearing Skies'.
The positive news has boosted consumer morale. 67 percent of the surveyed Indonesians
think that unemployment will decrease in the next 12 months.
The outlook of financial well-being has also increased. The index increased from 126 to
154. 67 percent of surveyed consumers believe their financial well-being will get better in
the next 12 months. In the first half of the year the confidence of Indonesian workers in
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their ability to keep their job and increase their income has remained strong. Now that the
signs of economic recovery have become stronger, this confidence has increased further.
Despite the increased optimism about the future, consumers are still reluctant to do major
purchases. The index that expresses this decreased from 52 to 45. 67 percent of the
respondents indicated that this is a bad time to buy major household products. The
Indonesian economy relies heavily on domestic consumption. This makes consumer
confidence a key factor in economic development. Therefore the continued increase of
the Consumer Confidence Index is a positive sign for the Indonesian economy, which is
expected by the government to grow by 5.5 percent in 2010. But even though consumer
confidence rose above the neutral level, satisfaction with current financial-well being and
particularly the willingness to do major purchases is still low. If these aspects will
improve in the coming months, economic growth could be accelerated.
The third quarter measurement of consumer confidence in Indonesia took place in the
first two weeks of September. The survey asks questions to 500 consumers in Jakarta,
Surabaya and Medan regarding the economy and their financial well-being.
The Consumer Confidence Index is based on consumers' opinions about the present state
of the economy, the outlook of the economy, the current status of their financial wellbeing, the outlook of their financial well-being and willingness to buy major household
items.
• economic policy
Indonesia's President picked a strong team of technocrats to handle economic policy in
his new cabinet but could have placed more professionals in other posts to accelerate
reform, investors said on Thursday.
President Susilo Bambang Yudhoyono, sworn in for a second, five-year term this week,
appointed a mix of pro-reform technocrats as well as several political allies who lack
reform credentials to his cabinet, announced late on Wednesday night.
But many had hoped the president would take advantage of a strong mandate in this
year's election to appoint more young professionals and technocrats who could inject
fresh blood into policy-making.
Although Yudhoyono needs support from other parties for a parliamentary majority,
critics noted appointing senior politicians from coalition members in his first term had
not always guaranteed legislative support, while some of the ministers had proved to be
loose cannons.Yudhoyono "has avoided taking too many risks and in doing so, has
disappointingly missed some obvious opportunities for institutional reform," said James
Bryson, who runs investment firm HB Capital.
"However the macro-economic direction will remain on course, and that is clearly a
necessary condition for foreign investors."
In Thursday morning trade the rupiah currency, which has steadily strengthened against
the dollar this year, inched lower to 9,465 per dollar, while Indonesian stocks, which have
climbed more than 80 percent since January, lost 1 percent.
However, that was largely in line with regional trends rather than disappointment over the
economic team, which was in line with expectations and includes Finance Minister Sri
Mulyani Indrawati and Trade Minister Mari Pangestu, two economists who have raised
the profile of Indonesia, a Group of 20 (G20) member.
OBSTACLES TO GROWTH
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Both have worked closely in the past with Yudhoyono's new vice president, Boediono,
whose focus is on fixing the main obstacles to faster growth including poor infrastructure
and bloated bureaucracy.
However, even the economic team is something of a mixed bag. For example,
Yudhoyono named a little-known politician from his own party, Darwin Saleh, as energy
and mining minister.
Investors had hoped for a big shake-up of this key ministry given Indonesia's failure to
attract billions of dollars in investment for the oil, gas and mining sectors in recent years.
Hatta Rajasa, one of the president's trusted aides and a politician with little economic
experience, was appointed Co-ordinating Minister for the Economy.
M.S. Hidayat, who heads the Indonesian Chamber of Commerce and Industry which
represents the country's powerful tycoons and business interests, will be Industry
Minister. Hidayat is a member of the Golkar Party, led by controversial businessman and
politician Aburizal Bakrie.
On the plus side, widely respected technocrat Kuntoro Mangkusubroto will head a new,
presidential delivery unit to drive reform of the civil service and the judiciary, and push
through infrastructure projects.
Investors frequently cite corruption, red tape, legal uncertainty and shoddy infrastructure
as the main deterrents to investment in Indonesia.
But those are areas where cabinet members other than the economic team have
considerable influence, and where analysts say more technocrats as ministers could have
helped ensure changes.
"(Kuntoro's) type of unit is highly promising in that it is precisely what the government
needs to break through the deadlock that hampers investment, specifically bureaucratic
structures, but it has no power in and of itself," said Kevin O'Rourke, a political risk
analyst.
"The idea is that everyone has to follow what the head of the unit says, but without the
backing of the president, the various ministers and the department heads and agency
heads can afford to ignore it," he said.
Marcus Mietzner, an expert on Indonesian politics and lecturer at the Australian National
University, saw hope for the new cabinet despite some shortcomings.
"It's not a spectacular cabinet, there's lots of familiar faces from the political elite and
from the political parties that he had to accommodate," he said."Yudhoyono has
appointed his friends, people he trusts. He will have (Vice President) Boediono defining
and hammering out economic policies and hand them over to (Co-Ordinating Minister)
Hatta for implementation. That will work reasonably well because Hatta doesn't have
economic ambitions himself so he will just implement them."
• Indonesia sees rebound in 2010 worker remittances
Indonesia expects remittances from its overseas workers to rise to around $10 billion next
year as the global economy improves, the head of a state agency in charge of migrant
workers told Reuters on Friday.
The head of the agency, Jumhur Hidayat, had said in February 2009 remittances could
drop by 5-10 percent from an estimated $8.2 billion in 2008 due to the global crisis,
"We expect remittances from about six million Indonesian worker to reach around $10
billion next year," Hidayat said.
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He did not provide a figure for this year's remittances, although based on his estimate in
February the figure could be $7.4-$7.8 billion.
A recovery in the global economy should increase the number of migrant workers going
to other countries, said Hidayat.
The official said that the number of Indonesian workers going to South Korea, for
example, had fallen to 3,000 this year from 12,000 in 2008, but that figure could rebound
to around last year's figure in 2010.
Some analysts and policy makers argue that the government should seek to increase the
number of Indonesian workers earning abroad so that their currency remittances help
reduce the volatility in the Indonesian rupiah.
• Social front
• Questions over Indonesia asylum deal
The opposition will use the resumption of parliament today to press Labor about a deal
with the Indonesian government on asylum seekers.The coalition claims the government
has outsourced its border protection "policy failure" to the Indonesians.
Deputy opposition leader Julie Bishop says taxpayers have the right to know how
much the government's bid to stave off illegal people smuggling is costing.
Prime Minister Kevin Rudd, who had discussions with other regional leaders at the East
Asia Summit in Thailand at the weekend, is expected to be the focus of opposition
attention during question time.
• Environmental Front
• Indonesia may get $400 million from Japan to combat warming
HUA HIN, Thailand (Kyodo) Prime Minister Yukio Hatoyama said Sunday his
administration is considering offering Indonesia a yen loan worth $400 million to help it
address climate change, a senior Japanese official said.If implemented, it would be the
first such arrangement as part of the "Hatoyama Initiative," under which Japan will
provide financial and technical assistance to developing countries in fighting climate
change.
"I would like the yen loan to be used for measures to tackle climate change, and
hopefully it would be used in a measurable and verifiable manner," Hatoyama was
quoted as telling Indonesian President Susilo Bambang Yudhoyono when they met on the
sidelines of ASEAN-related summits.Hatoyama also said Japan will "spare no effort to
offer technical support," such as assistance for improving energy efficiency.Yudhoyono
thanked Hatoyama for the offer while noting that Indonesia is working to reduce carbon
dioxide emissions and would also like to address deforestation.Hatoyama revealed his
initiative at a U.N. climate change summit in September.
Malaysia
• Political Front
• Najib: We’re still ready to talk with PAS
The split in PAS is very serious but Umno is still open to possible Malay and Muslim
unity talks with the party.Prime Minister Datuk Seri Najib Tun Razak however said it
would be difficult to have formal talks if PAS was split.
“So as long as PAS is not able to reach consensus, it will be difficult to hold talks with
the party,” Najib told Malaysian journalists after attending the East Asia Summit here
yesterday.PAS spiritual leader Datuk Nik Abdul Aziz Nik Mat had called for a special
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muktamar to rid the party of several problematic leaders including deputy president
Nasharuddin Mat Isa and secretary-general Datuk Mustafa Ali.
Asked if he was hurt at Nik Aziz’s refusal to have anything to do with Umno, Najib who
is Umno president replied: “There are two groups in the party — one that is more
political while the other is more sincere to work for the ummah.”He said there were some
in PAS who acknowledged Umno’s contribution towards the Malays and Muslims and
there were also others who were only interested in politics and ignored what Umno had
done.“We are grateful that there are people who appreciate that Umno represents the
Malays and Muslims. Umno has done a lot in terms of Islam and fighting for the rights of
Malays and other races,” he added.In Putrajaya, Umno deputy president Tan Sri
Muhyiddin Yassin said Nik Aziz’s call for the special muktamar was less about his
objection to the proposed unity talks but more about ousting leaders who he felt were not
aligned to him.
“I think there is more to it than the issue of unity talks. There are differences of opinions
among their leaders possibly due to other factors so there seems to be a clear split.
“When Nik Abdul Aziz made the call for an EGM which is a clear step to remove
sections that are not aligned to him, is that on the basis to reject the unity talks?” he said
after attending the finals and prize giving ceremony of the RHB-The Star Mighty Minds
2009 competition here yesterday.Umno, he said, never dictated terms and was willing to
work together with any party, not just PAS as its main concern was always the religion,
the race and the country.
“Umno is a party for all. That is why we have amended the constitution to make it easier
for anyone to become members,” he added.In Kota Kinabalu, Umno vice-president Datuk
Mohd Shafie Apdal said whatever problems facing PAS at the moment was due to the
attitude of PAS leaders themselves.
Umno, he said, had nothing to do with the latest leadership rift in PAS.“Umno is not
bothered whether the EGM takes place or not. Our focus is working for the people.“The
leadership problems in PAS shows the party is not even near ready to lead the country.
How can they unite the people when there is disunity among themselves.”
• Malaysia's Pakatan Rakyat faces problems
Prime Minister Najib Razak has been grappling with problems faced by parties in his
ruling Barisan Nasional coalition. But he is not alone, as the opposition Pakatan Rakyat
alliance is not faring any better. Its leader, Anwar Ibrahim, and his party PKR, are seen to
be losing control. One of his lawmakers in the opposition-controlled state of Selangor left
the alliance, citing loss of faith in his leadership. In addition, there was a revolt over the
appointment of a new PKR leader in the East Malaysian state of Sabah. Some blame the
ruling party, UMNO, for Pakatan's rising problems. "There's an attempt by UMNO to
destabalise Pakatan Rakyat. This is one way to achieve their objective," said Azmin Ali,
vice-president, PKR. Others dismiss the recent events as nothing more than growing
pains. "There is always problem whenever we want to grow. We are now managing our
success," said Tian Chua, information chief, PKR. The more cohesive opposition Islamist
party, PAS, has not been spared from strife. Infighting has prompted the party's spiritual
leader to call for an EGM to rid those in favour of forging a unity government with
UMNO. At a central committee meeting, the PAS president said talks with UMNO will
end, and the party will instead focus on strengthening the opposition alliance. "We have
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decided to put an end to all talks on unity government and remain with the opposition
alliance," said Abdul Hadi Awang, president, PAS.
PAS vowed to take disciplinary action against problematic leaders, but not everyone is
deterred by that threat. "I have been appointed or elected as deputy president with an
overwhelming majority, the members speak for themselves, the results of the muktamar
speaks for themselves," said Nasharuddin Mat Isa, deputy president, PAS. Many feel that
the infighting and the politicking are not going to go away anytime soon. But party
veterans are calling on all sides to look beyond their differences, and reach for the
common goal of capturing Putrajaya. "The election could be held as early as 2011.
Otherwise, we will not be ready for it. Pakatan is still intact. There are differences even in
DAP itself. I hope these differences will be ironed out before the election," said Karpal
Singh, chairman, DAP.
Malaysians will be watching with keen interest as both sides of the political divide race
against time to win their trust and support before the next general election that must be
held before 2013.
• Foreign Relations
• Economic Front
•
Malaysia hopes that Muslim countries can agree on which goods and
products are halal,
Malaysia hopes that Muslim countries can agree on which goods and products are halal,
or acceptable to Muslims, a move that would boost the $2 trillion industry, although
politics and interpretation of islamic law may complicate the task.
The Organisation of the Islamic Conference (OIC) is working on a single standard to be
applied in its 57 member countries.
Agreement to regulate the halal industry, which ranges from financial institutions to
cosmetics and meat, would help trade and speed up the certification for makers of halal
products."Malaysia's halal certification is recognised worldwide so perhaps we can play
an important role in creating a global standard," Malaysia's religious affairs minister
Jamil Khir Baharom said in an interview on Thursday. "We need a halal certification that
everyone can use easily."
The halal industry is based on a belief that Muslims should eat food and use goods such
as cosmetics that are 'halalan toyibban', which means permissible and wholesome.But
Muslim jurists do not always agree on what is halal. Islam prohibits the consumption of
pork and prescribes how animals must be slaughtered, but there has been debate on the
acceptability of non-alcoholic beer, collagen and vinegar.Rules are interpreted and
enforced more strictly in some countries. Sudanese authorities have hauled up women for
wearing trousers and a Malaysian woman has been sentenced to a beating for drinking
beer, practices which are acceptable in some Muslim countries.Jamil said Muslims
generally agree on what is halal although some issues should be left to countries to
decide. "In general, we don't have many differences in terms of products and food."
Some see politics as an obstacle as OIC members range from wealthy Saudi Arabia to
poor countries like Somalia."Disagreement within the OIC is due to certain interests of
certain countries," said Mohamad Akram Laldin, a religious scholar and legal expert.
"Some people might have their own agenda and that might be the hindrance. They might
want to push certain things from their view and not agree with others' views."
• Malaysia Refrains From Rate Increase to Spur Recovery
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Malaysia’s central bank refrained from raising interest rates, opting to keep borrowing
costs at a record low to support a nascent economic recovery as the government prepares
to cut spending to trim its budget deficit. Bank Negara Malaysia maintained its overnight
policy rate at 2 percent for a fifth straight meeting yesterday, it said in a statement in
Kuala Lumpur. The decision was predicted by all 21 economists surveyed by Bloomberg
News. The benchmark is at its lowest level since it was introduced in April 2004.
“The international economic and financial conditions have improved further,” the central
bank said. “Notwithstanding these improvements, the outlook for the global economy
continues to be uncertain, with recovery likely to be slow and uneven in view of the
ongoing adjustments.” Asian policy makers from India to South Korea have begun to
signal they may be prepared to raise interest rates as inflation returns with economic
recovery. Malaysia has less reason to follow Australia’s Oct. 6 move to increase
borrowing costs anytime soon because consumer prices are declining and the nation is
still in a recession, economists say. “Malaysia could be amongst the last to raise rates in
Asia,” said Kit Wei Zheng, a Singapore-based economist at Citigroup Inc. who expects
Bank Negara to increase borrowing costs in the fourth quarter of next year. “With policy
needing to stay accommodative to offset the fiscal tightening implied by a smaller deficit,
the risk is that rates are kept low for longer.”
Policy ‘Appropriate’
The central bank said yesterday its current monetary policy stance is “appropriate” to
support growth because price pressures should remain “contained” as the economy
improves.
The ringgit fell for a third day to 3.4450 a dollar as at 9:01 a.m. today, its lowest level in
more than three weeks, and Malaysia’s benchmark stock index slid a second day as
concern a global economic recovery is faltering hurt demand for emerging- market assets.
Confidence among U.S. consumers declined for a second month in October, a report
showed earlier this week.
“Bank Negara still views growth concerns as the greater risk to macroeconomic
stability,” said Matt Hildebrandt, an economist at JPMorgan Chase & Co. in Singapore.
Inflation is “muted” and “uncertainties about the growth outlook are still high,” he said.
The government expects Malaysia’s $195 billion economy to expand between 2 percent
and 3 percent in 2010 after shrinking 3 percent this year, helped by a recovery in demand
for Malaysian Pacific Industries Bhd. semiconductors, IOI Corp. palm oil and other
exports.
Budget Deficit
Prime Minister Najib Razak plans to narrow the budget shortfall to 5.6 percent of gross
domestic product next year, reducing spending after stimulus measures to revive
economic growth pushed the deficit to a 22-year high of 7.4 percent of GDP in 2009.
Malaysia will probably lag behind South Korea and India in raising interest rates because
the Southeast Asian nation’s economic recovery isn’t as strong as the other two
countries’, said Vishnu Varathan, an economist at Forecast Singapore Pte. India’s central
bank, which expects Asia’s third-largest economy to expand 6 percent in the year through
March 31, on Oct. 27 ordered lenders to keep more cash in government bonds as it raised
its inflation forecast. The move followed Australia’s decision on Oct. 6 to raise its
benchmark rate to 3.25 percent from a 49-year low of 3 percent.
South Korea, India
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South Korea’s economy expanded 2.9 percent in the third quarter from three months
earlier, the fastest pace in seven years, and Bank of Korea Governor Lee Seong Tae said
Oct. 23 that keeping rates at a record low may not be healthy. Malaysia’s economy,
Southeast Asia’s third largest, shrank in the first two quarters of this year and the
government doesn’t expect growth to resume until the final three months. Neighboring
Singapore emerged from its recession in the second quarter and Indonesia and the
Philippines have avoided economic contraction altogether.
Governor Zeti Akhtar Aziz refrained from following other policy makers in raising
interest rates last year when Malaysia’s inflation surged to as high as 8.5 percent amid
soaring commodity costs, predicting that price gains would ease as world economic
growth slowed.
Consumer prices in Malaysia fell for a fourth straight month in September. The decline is
expected to be “temporary,” the central bank said yesterday.
‘Subdued’ Inflation
“Excluding further unanticipated price adjustments and external influences, inflation in
2010 is projected to be positive but remain subdued,” Bank Negara said.
Interest-rate swaps signal the market is pricing in an eventual increase in borrowing costs
in Malaysia in the second half of 2010, according to DBS Group Holdings Ltd., which
cited the widening difference in yield, or spread, between the one- year swap rate and the
Kuala Lumpur three-month interbank offered rate, or the Klibor.
The one-year swap rate of 2.44 percent offered 28 basis points more than Klibor
yesterday from 10 basis points on April 29, when Bank Negara ended its interest-rate
cuts, according to data compiled by Bloomberg.
•
Najib hopes FTA signing will encourage investments
Malaysia hopes the signing of the Free Trade Agreement (FTA) with New Zealand will
encourage more companies there to view Malaysia as a suitable investment hub and
gateway to the Asean market, said Prime Minister Datuk Seri Najib Tun Razak.
He said the signing yesterday was the highlight of New Zealand Prime Minister John
Key’s short visit to Malaysia, marking a significant milestone in the trade links between
the two countries.
He said his discussions with Key touched on where the two countries stood in terms of
economic relations, especially as trade between them had almost doubled between 2006
and 2008.Warm welcome: Najib greeting Key at his office in Putrajaya yesterday. —
Bernama“Our bilateral trade in 2008 stood at RM6.15bil and although this year the
numbers have fallen, we both believe it is a short-term phenomenon.“With the current
global economic recovery, the total trade should be in an upswing in 2010 and beyond,”
he said at a joint press conference with Key after their meeting at the Prime Minister’s
office here yesterday.Najib said the two countries also had strong educational links and
this was expected to be a key area to explore, along with tourism, which remained
encouraging despite the economic downturn.Some 56,000 New Zealanders visited
Malaysia last year.Meanwhile, Najib received a courtesy call yesterday from the first
Malaysian to be awarded a scholarship by Harvard University.Tunku Dr Sharifah Elizah
Cornelia Jamalullail, 29, was offered the scholarship under the auspices of the
Mahadevan Travelling Fellowship at Harvard University, to undertake a study in
psychiatry for one month.This will enable her to continue her studies at the Psychiatry
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Department of the Massachusetts Hospital, recognised as the world’s best for 13
consecutive years.
• Social Front
•
The government has been spending measly amounts on flood
control(Philippian)
The government has been spending measly amounts on flood control despite the fact that
it more than doubled the public works budget since 2002, which experts have described
as a failure to invest in infrastructure that could have at least mitigated the worst flooding
in Metro Manila in 40 years.
Analysis by a watchdog group showed that while the Department of Public Works and
Highways (DPWH) budget ballooned to P129.89 billion this year from just P48 billion in
2002, funds for flood control were barely augmented and in fact went down in proportion
to the total outlay.In 2002 the nationwide flood control budget was P5.34 billion, 11% of
the total. This year it stood at P6.21 billion, not even 5% of the entire DPWH budget,
figures from the Center for National Budget Legislation showed.
This was even reduced by a tenth to just P4.5 billion in 2004 from P5.05 billion in 2003;
by nearly 5% to P5.9 billion in 2006 from P6.2 billion in 2005, and by a fifth to P6.6
billion in 2008 from P8.2 billion in 2007.From 2002-2009, an aggregate P48 billion was
allocated for flood control and drainage projects as well as various structures and
facilities — including expenses for salaries, operations, and actual capital investment.
"We’ve spent nearly P50 billion on flood control and the problem has even worsened. If
in a matter of six hours flood waters have gone up, can you justify your performance?
When you look around and see that drainage systems are clogged, we have to ask ’what
happened to rehabilitation?’," said Joseph A. Rañola, president of the budget watchdog.
The center’s analysis also showed a slowdown in foreign-funded flood control projects.
After reaching a peak of P6.1 billion in 2007 from only P3.5 billion in 2002, these went
back to P3.5 billion in 2008 and P3.4 billion this year.
Even Metro Manila’s flood control budget — control of which was transferred by
Malacañang to the Metropolitan Manila Development Authority (MMDA) from the
DPWH in 2007 — has barely been augmented. The total went up by 4% to P329.6
million this year from P316.8 million, but money for "urgent disaster flood control works
under the Pasig-San Juan-Marikina River System" was kept at just P50 million, while
funds for flood control and drainage projects for Metro Manila were pared to P58 million
from P61 million in 2008.
The city of Manila has a yearly share of P12 million out of that budget, while that for
other cities is much smaller: Marikina has P4 million while Pasig, Taguig, and
Muntinlupa have just P2 million each."Everybody is talking about the problem but
nobody is pointing to the solution to the problem, which is the budget," Mr. Rañola said.
Sought for comment, MMDA Chairman Bayani F. Fernando claimed his agency’s
appeals had been ignored. "Every year we ask for a higher budget for flood control
projects. The problem is it is never given. We have to work with whatever amount is
given to us."
"For 2010, we are asking for around P2 billion for flood control projects in Metro Manila.
We think that should be enough for the pumping stations needed in the area."The Arroyo
administration did not really invest as much in public infrastructure despite repeated
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policy pronouncements, said UP economist Benjamin E. Diokno, budget chief under the
Estrada administration.
"A big chunk of that measly budget for flood control went to the [Japanese-funded
Caloocan-Malabon-Navotas-Valenzuela flood control and drainage system improvement
project]. But that project was initiated and funded by the Estrada administration under the
Obuchi Plan," he added, referring to the Japanese economic package for east Asia
following the 1997 Asian financial crisis.Asked if the amounts allocated over the years
meant that the government did not prioritize flood control, House appropriations
committee chairman and Quirino Rep. Junie E. Cua said, "Not exactly."
The focus, however, was on implementing President Gloria Macapagal-Arroyo’s roads,
bridges and ports project.Mr. Cua added that the budget for capital outlay in 2010 had
also decreased due to a need to maintain the deficit at a manageable level.
Under the DPWH’s proposed flood control budget for 2010, money for actual projects
was trimmed to P2.68 billion from this year’s P2.71 billion, although the agency’s total
flood control project will go up by a tenth to P6.9 billion.
Philippine
• Political Front
• Foreign Relations
• Economic Front
•
Philippines Says Talking with Thailand on Rice Deal
The Philippines, the world's biggest rice buyer, is currently in talks to purchase 200,000
tonnes rice from Thailand under a government-to-government (G-to-G) deal, a senior
state official said on Monday.
"The Philippines and Thailand are negotiating a certain volume for G-to-G," Agriculture
Secretary Arthur Yap told reporters, adding the initial volume Manila was willing to
grant Bangkok is 200,000 tonnes.On Sunday, Thai Commerce Minister Porntiva Nakasai
said an agreement between Manila and Bangkok on rice import tariffs would be delayed
by a month or two as negotiations continued.
• Social Front
• Church in Philippines ready to negotiate for kidnapped priest's release
Church officials in the Philippines report that they expect to open negotiations
immediately with the kidnappers who now hold Father Michael Sinnott, the Irish
missionary who was seized on October 11. The kidnappers have made contact with
Church officials, and Father Sinnott has been seen alive. But the health of the captive
priest is a major concern, because Father Sinnott suffers from a heard condition and
efforts to send his medication to the kidnappers have been unsuccessful.
• Thai police may make arrests over stock rumours
Police may charge four or five people suspected of spreading rumours about the health of
the country's 81-year-old king that triggered a slide in Thailand's stock market, a senior
police officer said on Thursday.
Thai stocks .SETI plunged a combined 7.2 percent on Oct. 14-15 as rumours circulated
over the health of King Bhumibol Adulyadej, although they rebounded 3.5 percent the
following day.
Police Major General Panya Mamen, a deputy chief at the Central Investigation Bureau,
told Reuters the police were focusing on four or five people who may have spread the
rumours, which caused the biggest two-day drop this year on the bourse.
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"We're now gathering all the evidence and next week the police will be applying for
warrants from the Criminal Court," Panya said.The court could issue arrest warrants or
may order the individuals to turn themselves in for questioning."These people will be
charged with violating Article 14 of the 2007 Computer Offence Act covering the posting
of false computerised information that causes harm to national security and the general
public," he said.The health of the king is a sensitive topic in financial markets because he
is seen as the sole unifying figure in a politically polarised country with a long history of
coups and upheaval.Thai Prime Minister Abhisit Vejjajiva said he understood four people
were involved. "Police have information on this issue and if the evidence is clear, they
would likely have to proceed with the case," he told reporters.The king was admitted to
hospital on Sept. 19 with a lung infection and fever and has been seen only once in public
since then, on Friday, Oct. 23, when he visited royal monuments in the hospital.The
Department of Special Investigation (DSI), which comes under the Justice Ministry, is
also conducting an inquiry into possible stock trading irregularities, which it expects to
complete in late November.
DSI Secretary-General Tarit Pengdit told Reuters it had received information involving
trading irregularities from the stock regulator on Monday and its Bureau of Financial and
Banking Crime was now investigating."We're trying to get to the bottom of it. We hope
we can conclude this case within 30 days. We want it to be fast because investors and the
public are interested," he said.Finance Minister Korn Chatikavanij said on Wednesday he
would meet with the Securities and Exchange Commission (SEC) and the Stock
Exchange of Thailand (SET) on Nov. 2 to look at ways of managing volatility on the
stock market.
SET President Patareeya Benjapolchai said it was possible that the "circuit breaker" that
triggers a half-hour halt in trading could kick in when the index falls 5 percent rather than
10 percent as at present.The SEC has said it was seeking trading information on two
accounts from two foreign brokers, Credit Suisse in Hong Kong (CSGN.VX) and UBS in
Singapore (UBSN.VX), in connection with this month's market plunge and was also
looking at one domestic account. [
• Environmental front
•
4 Luzon areas placed under storm alert
Four areas were placed under storm signal No. 1 as typhoon Santi (international name
Mirinae) intensified as it continued its movement towards Central Luzon on Thursday,
the Philippine Atmospheric, Geophysical and Astronomical Services Administration
(PAGASA) reported.PAGASA said the storm was located 1,080 kilometers east of
Casiguran, Aurora, packing center winds of 150 kilometers per hour and gusts of up to
185 kph.
The storm was moving west toward Central Luzon at a speed of 26 kph, the bureau
said.Storm signal No. 1 has been hoisted over Isabela, Aurora, northern part of Quezon
and Polilio Islands."Santi" entered the Philippine territory on Wednesday night as a
typhoon. It was expected to strengthen further as it moves closer to Luzon.
The National Disaster Coordinating Council (NDCC) has placed all units in the central
and northern parts of Luzon ahead of the typhoon's expected landfall on Saturday night..
Defense Secretary Gilberto Teodoro Jr., concurrent NDCC chairman, has advised the
public to go to cemeteries a day before or after the storm passes for the annual
observance of All Saints’ and All Souls’ Days.
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Thailand
• Political Front
• Thai Political Crisis Drags In Asean Neighbours
The prolonged domestic political crisis in Thailand is now taking on a new shape, with
neighbouring countries being sucked into the conflict between rival parties.
Just days after the leaders of Cambodia and Thailand clashed over treatment of ousted
Prime Minister Thaksin Shinawatra that overshadowed the 15th Asean Summit in Hua
Hin, other developments connected to Thaksin had somewhat brought Thailand's
neighbours into the spotlight.
Surapong Towijakchaikul,a Pheu Thai member of parliament linked to Thaksin, made a
claim that one of the Asean leaders had stayed in a house belonging to Thaksin while
attending the summit.
The Thai government did not deny or confirm the allegation. But government spokesman
Panithan Watanayakorn told the local media that the host had prepared accommodation
for all leaders, but it was up to them to decide on their private arrangements.The same
leader was also said to have skipped the opening ceremony of the summit and the
launching of the region's first human rights body, despite arriving in the seaside resort a
day earlier.Foreign Minister Kasit Piromya had played down the particular leader's
absence from the opening ceremony, saying that he needed to rest after his long visits to
far away countries prior to the Hua Hin summit.Newly-elected Pheu Thai chairman and
former prime minister Chavalit Yongchaiyudh also announced that he would visit
Malaysia soon and planned to meet Malaysian leaders as well as travel to Myanmar.
Last week, Chavalit's visit to Phonm Penh and his subsequent meeting with Cambodian
Prime Minister Hun Sen caused consternation in Thailand when the latter alleged that
Thaksin had been treated unfairly.Hun Sen also shocked the media here when he said that
he would offer Thaksin the post of economic advisor to Cambodia.
The infamous pro-government yellow shirt movement in Thailand has vowed to
demonstrate in front of the Cambodian embassy here next week.Nattawut Saikua, a
leader of the red-shirted anti-government United Front for Democracy against
Dictatorship (UDD), said Chavalit's visit would help forge closer ties between Malaysia
and Thailand."This visit is good for Thailand, especially in finding solutions to the
southern Thai problem," he said.
Thai Foreign Ministry's deputy spokesman, Thani Thongpakdi, said he believed that the
Malaysian government would know that Chavalit's trip was a private one.Pheu Thai,
formed late last year by Thaksin supporters after their previous People'sPower Party
(PPP) was dissolved by the court for election fraud, has intensified its campaign to oust
Prime Minister Abhisit Vejjajiva or at least force him to call for fresh elections.
The red-shirted UDD plans to hold another rally in the capital probably next month after
its planned concert in Khao Yai to raise funds for the movement.
• Abhisit backs south's autonomy
THAILAND'S prime minister backed on Tuesday a suggestion by his Malaysian
counterpart to grant autonomy to the insurgency-hit Thai south, as five more people were
killed in the Muslim-majority region.
Abhisit Vejjajiva said he would discuss the plan for the restive southern provinces on the
Malaysian border when Malaysia's Prime Minister Najib Razak visits Thailand in
December.Mr Razak said in a newspaper interview published on Monday that Thailand
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should offer 'some form' of autonomy to the region, where more than 3,900 people have
been killed since separatist violence erupted in January 2004.In response, Mr Abhisit
said: 'That's the right approach. My government is working to make it materialise and in
early December I and my Malaysian counterpart will visit the southern region.'
Malaysia's Mr Razak told Thai English-language daily The Nation that 'you may not want
to call it autonomy but there could at least be some form of involvement'.
'It is Thailand's decision to consider how far such autonomy in the deep south should go,
and Malaysia, as a neighbour, would not intervene in the matter,' he was quoted as saying
• Geo Strategic Front.
• Thai ship hijacked by pirates
Somali pirates on two skiffs have attacked and boarded a Thai-flagged fishing vessel
north of the Seychelles and off the coast of Somalia, the European Union Naval Force
says.The pirates were seen aboard the Thai Union 3 yesterday from a patrol aircraft when
it was 370 kilometres north of the Seychelles, a statement on the force's website said.
The fishing vessel appeared to be headed for the Somali coast.An EU naval force plane
spotted the fishing boat and confirmed the pirates were on board.
"Skiffs used by pirates have been sighted on board the fishing vessel," the force said in a
statement. Thiraphong Chansiri, president of Thai Union Frozen Products Plc, the
country's largest producer and exporter of canned and frozen seafood products, confirmed
yesterday the Thai Union 3 seized by the Somali pirates was one of four vessels in its
fleet north of the Seychelles.The four vessels account for only 5% of the group's total
shipping capacity.
Mr Thiraphong said damage was likely to be marginal, and an insurance firm would
handle negotiations with the pirates and take care of any losses incurred. However, he
was most concerned about the safety of the 25 crew members, none of whom are Thais.
The Thai Union 3 is the third ship from Thailand seized in the area. Last year a Thai
fishing vessel flying the Kiribati flag and the MV Thor Star owned by Thoresen Thai
Agencies Plc were hijacked.The hijacking of the Thai vessel takes the number of ships
now being held by pirates off the Somali coastline to eight, the EU force said.
Pirates have plagued busy shipping lanes off the coast of Somalia for several years.
Foreign warships from 16 nations are in the area to try and prevent hijacks, but the sea
gangs now hunt for ships far into the Indian Ocean.
• Thailand-Cambodia Dispute Overshadows Summit
An uncharacteristically edgy summit of the Association of Southeast Asian Nations
(Asean) threatened to boil over yesterday as Thai-Cambodian relations took another turn
for the worse. A visibly exasperated Thai Prime Minister Abhisit Vejjjiva hit back at his
Cambodian counterpart Hun Sen, calling him “seriously misinformed” over the latter’s
remarks comparing fugitive former Thai PM Thaksin Shinawatra with Burmese prodemocracy leader Aung San Suu Kyi.Hun Sen had earlier offered Thaksin, who was
deposed in a 2006 coup, a job as an economics advisor and said that if the exiled media
mogul chose to come to Cambodia, he would not face extradition to Thailand to face
corruption charges.
“Thaksin can stay in Cambodia as the guest of Cambodia and also be my guest as my
adviser on our economy,” said Hun Sen.
His remarks comparing the former Thai prime minister with Aung San Suu Kyi raised
many eyebrows among summit delegates, as he attempted to capitalize on the
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international media attention on Asean this weekend to highlight his view that Thaksin’s
plight is politically driven.
“Hun Sen’s comments are being seen as an attempt to intervene in Thailand’s precarious
domestic political situation,” said Thitinan Pongsudhirak, the director of the Institute of
Security and International Studies (Thailand) at Chulalongkorn University in Bangkok.
Last week, Hun Sen gave a pointedly high-profile reception to former Thai prime
minister and Thaksin ally Gen Chavalit Yongchaiyuth. Chavalit said “Mr Hun Sen is my
old friend and I am visiting him at his invitation.” Last month, Cambodian opposition
leader Sam Rainsy was in Bangkok, where he addressed the Foreign Correspondents’
Club of Thailand on press freedom in Cambodia. Rainsy slammed the Hun Sen
administration, saying that it gives token assent to freedom of speech but uses state
resources to hit critics with defamation suits, backed by a pro-government judiciary.
Thitinan said he thinks that Hun Sen has taken umbrage at Rainsy using his time in
Thailand to attack the Cambodian government.
Speaking to The Irrawaddy on the sidelines of the Asean summit, Cambodian opposition
MP San Cchay said that Hun Sen’s reaction shows that he does not understand how a
liberal democracy works.
“Just because Sam Rainsy talks in critical terms while in Thailand does not mean it has
anything to do with the Thai government. Hun Sen merely betrays his own antidemocratic leanings with such an assumption,” he said. Yesterday, the anti-government
and pro-Thaksin United Front for Democracy against Dictatorship (UDD) called on
Asean to withdraw support for Abhisit as the bloc’s chairman. The UDD is seeking a
royal pardon to enable Thaksin return to Thailand without having to face jail time on
corruption charges. The UDD is also seeking a general election and deems the Abhisit
government as illegitimate.
Thaksin is regarded as the most popular yet divisive head of government in recent Thai
history, implementing pro-poor policies and developing the northeastern Isaan region, but
periodically clamping down on media, launching a draconian war on drugs and seeking a
military solution to the southern Thailand Muslim rebellion.
Interestingly, Hun Sen’s comparison of Thaksin’s situation to that of Suu Kyi comes as
the Nobel Peace Prize laureate marks a total of 14 years in detention today. She was first
arrested in July 1989, ahead of a landslide electoral victory by her party, the National
League for Democracy, in May 1990. The comparison was made even as five Asean
member states, including Cambodia, refused to allow NGO representatives other than
those handpicked by the governments to attend a scheduled “civil society” meeting with
regional heads of government.
Nay Vanda of the Cambodian Human Rights and Development Association—selected by
the Asean People’s Forum as his country’s representative at the meeting—said he was
disappointed with the outcome.
• Foreign Relations
• Economic Front
• At Social Front
Singapore
• Political Front
• Foreign Relations
• Economic Front
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•
PM Lee warns of marginalized ASEAN if it does not stay relevant
HUA HIN, Thailand: Prime Minister Lee Hsien Loong has warned that ASEAN risks
becoming marginalised if it does not stay relevant.
Speaking during the ASEAN leaders retreat on Saturday morning, he said it was vital for
the grouping to strengthen cooperation, deepen integration and enable all its member
countries to develop and prosper.
This is why ASEAN is pursuing the Connectivity Masterplan to enhance trade,
investment and tourism development. Mr Lee added that ASEAN should also act in a
coordinated manner internationally.
He noted that it is good that the ASEAN Chair and the Secretary General were invited for
the G20 meeting in addition to Indonesia as this gave ASEAN a precious seat at the
deliberations.
Mr Lee added that ASEAN must take part actively and constructively at the G20 to
ensure that the grouping's interests are safeguarded.
• S'pore & India to launch second round of free trade review
Singapore's free trade agreement with India, the Comprehensive Economic Cooperation
Agreement, will undergo a second review.
This was agreed upon by the prime ministers of the two countries, Singapore's Lee Hsien
Loong and India's Manmohan Singh, during their bilateral meeting in Hua Hin on the
sidelines of the East Asia summit. Mr Lee said the trade ministers of both countries had
discussed the matter earlier and Dr Manmohan Singh supports the review of the
agreement as this would further enhance ties between the two nations.
The Singapore premier said the republic's relations with India are very good as both sides
have close cooperation bilaterally. Singapore has also played a small part in helping India
to become a dialogue partner with the ten-member ASEAN grouping.
• Singapore's manufacturing output falls 7.7% on-year in September
Singapore's manufacturing output declined by 7.7 per cent on-year in September,
snapping two straight months of growth.
The pharmaceutical sector had worked like a magic pill, driving up Singapore's economy
in the last two quarters. However, economists said the fourth quarter could be a different
story given the volatility of the sector. Latest numbers showed that biomedical output fell
13.9 per cent in September, after almost doubling the previous month – making it one key
reason for the decline in Singapore's manufacturing output. In the electronics sector,
output declined by a marginal 1.1 per cent, and the total manufacturing output in the first
nine months of this year contracted by 6.9 per cent from 2008.
However, observers said the data is unlikely to set off a bearish outlook for Asian
economies going forward.
Mr Tai Hui, regional economist, Standard Chartered Bank said: "If you look at the data
for Korea, China, Japan, etc, they are all on a gradually recovering path. So inventory
restocking may have some influence over the coming months. "But don't forget the base
effect from last year - where output and exports just collapsed in November and
December. That is going to give Asian data a very huge boost in terms of year-on-year
comparison. Economists added that the decline in Singapore's biomedical cluster masks
the underlying improvement in other manufacturing sectors, like electronics and
precision engineering segments. But it does not mean that there are no downside risks
ahead.
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"Another key issue to watch out for is the currency market - where comments from China
as well as market speculation on the role of the US dollar going forward, continues to
create a lot of volatility. So, that in itself will have an impact on Asian financial markets."
Barring any major shocks, experts believe the outlook for the Singapore manufacturing
sector in 2010 is good - due to new plant capacity and more foreign direct investments.
• S'pore firms should create better balance in pay structures: study
Singapore firms should move towards having more long-term incentives in their pay
practices. Ernst & Young, which has just released its first study on executive pay in
Singapore, said on Tuesday that this will create better balance in pay structures.
It added that it is important that rewards are geared towards encouraging prudent risktaking, especially as the economy emerges from the financial crisis.
The study also noted that with signs of an economic recovery, many companies are
expecting upward pay revisions in the next financial year.
CEOs were among those whose salaries were hardest hit by the global financial crisis.
According to Ernst & Young's study on senior management salary in Singapore, the
number of chief executives with salaries above S$5 million last year fell to 15 per cent of
the total, compared to 23 per cent in 2007. CEOs and business unit heads also took home
lower bonuses. However, the trend was different for chief financial officers who appeared
to be earning more, with no CFOs earning less than S$250,000 for FY2008, compared to
15 per cent in 2007.
Julia Smith, practice leader, Performance and Reward, Ernst & Young, said: "The CFO
role has taken on a much bigger profile during the economic crisis and we've even seen
cases within the organisation where the CFOs were sort of the unsung heroes of this
whole economic crisis. "By anticipating the shortage of cash... they were able to secure
credit lines. Some even put their companies in position to acquire and grow during these
difficult times, and that was very much rewarded in terms of what we saw in the data."
Pay practices in Singapore were also observed to be less dependent on bonuses awarded
for a company's performance, compared to the United States. Ernst & Young estimated
that pay practices here lean heavily towards short-term incentives, with only about 15 per
cent in long-term incentives. Pay practices in the US are believed to comprise about 90
per cent in terms of long-term incentives. According to Ernst & Young, pay practices
around the world should emulate those in Britain and Australia, and move towards a
more balanced model.
"(It should be) done in a way that is actually going to drive the right behaviour for the
executive, making sure that... you're providing the amount of pay that is in line with the
shareholder interest. "Whether or not that's done through equity plans or stock, or done
through cash, remains to be seen. But the idea is that you can't take all your money this
year and have your company fall apart two or three years down the road," said Smith.
The study also noted that the pay levels for senior executives in Singapore are
comparable to those in Hong Kong, although they are marginally behind those in the
West.
• S'pore firms invest in new economic zone in China's Fujian province
China is developing a new economic zone to transform southern Fujian province.
Together with the Pearl River Delta and the Yangtze River Delta, the hub will form an
economic powerhouse in the region.
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Tourism plays an important role in Fujian's economy and the government is hoping to tap
into this with the recent development of a new economic zone in the province. Some
Singapore companies are capitalising on this and have started projects in Fujian. One of
these firms is Straco Corporation, developer of tourism attractions.
Earlier, the senior minister was briefed on current and future expansion plans of YCH, a
logistics and supply company, which was one of the first few Singapore firms to enter the
China market in 1992. Bilateral trade between Singapore and Fujian hit US$1.37 billion
last year, making Singapore the 4th largest foreign investor in Fujian and top investor
among Southeast Asian countries.
Fujian is hoping that this figure will continue to rise and more investors will be attracted
to start projects in the province, with the development of the new economic zone.
• Customer satisfaction levels still declining in various sectors
Customer satisfaction levels here have continued to drop despite efforts to boost service
standards. The latest customer satisfaction survey conducted by the Singapore
Management University's Institute of Service Excellence, showed on Tuesday that five
out of six sectors covered in the survey saw a decline in satisfaction scores. Customers'
satisfaction in the retail sector suffered the biggest drop this year. The tourism, hotel and
accommodation services sector was the next worst-performing sector, but its decline was
not as bad as last year's.
Satisfaction scores in the education, info-communication and food & beverage sectors
also dipped, while the transport and logistics sector was the only one which remained
unchanged. The institute said findings since 2007 have shown that customers, at least
within the retail and F&B sectors, are now placing more importance on service over
product quality. In response to the results, the Singapore Tourism Board (STB) said on
Tuesday that the bulk of Singapore-based SMEs were not represented in the survey.
STB, which was responding on behalf of the GEMS Up movement, said all businesses
face the challenge of attracting new customers and keeping current ones. The challenge is
greater now as consumers have higher expectations.
It added that customers can also play their part by showing their appreciation for service
providers who have delivered good service. Developing a culture of service excellence is
what the GEMS Up movement aims to achieve over the next three years.
Close to 10,500 households and some 3,500 tourists took part in the survey, which also
showed that when it comes to tipping in the F&B industry, some 40 per cent of tourists
practised it, while only about half as many locals did so.
• Some firms in Asian markets still face lagging demand
The global credit crunch appears to be easing, with many banks becoming more willing
to lend again. But experts said on Tuesday that companies in Asian markets, such as
Singapore, may face a new challenge in slow demand growth.
Speaking at a CPA Australia congress, some said many firms are still grappling with
over-capacity, even as the economy shows signs of improvement. Economies in Asia
have not been as badly hit as their Western counterparts by toxic assets, which were
among the root causes of the global financial crisis.
Experts said this will help firms in countries like Singapore to focus on streamlining their
businesses and restructuring for a rebound as the world economy recovers.
Chaly Mah, CEO of Deloitte, said: "Clearly, things seemed to have bottomed out and
business confidence has come, but the real demand hasn't gone back to pre-crisis levels.
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If you look at some of the manufacturing levels in this part of the world, they are getting
some new orders, but the orders are not at the pre-crisis level yet.
"And if you look at those manufacturing companies that are manufacturing for the
Christmas sales, most of the orders typically come in during September in order to ship
them for the Christmas season, but the level of orders have not come back to pre-crisis
levels, so it is still a challenge and still pretty fragile." Going forward, experts said
companies need to prepare for the withdrawal of government stimulus packages which
will reveal the true state of global, regional and local economies.
Richard Petty, president and chairman of CPA Australia, said: "I don't think it's going to
be across the board that we are going to see a pick-up in demand, we are going to see it in
particular industries in the near term. I think that we can see certain sectors of the
economy that will likely do better in the short term than others."
The financial sector, for example, is expected to do relatively well as companies are
likely to need advice on financial, business and tax issues, as well as core banking
services as they make their way out of the recession.
• Some firms in Asian markets still face lagging demand
The global credit crunch appears to be easing, with many banks becoming more willing
to lend again. But experts said on Tuesday that companies in Asian markets, such as
Singapore, may face a new challenge in slow demand growth. Speaking at a CPA
Australia congress, some said many firms are still grappling with over-capacity, even as
the economy shows signs of improvement.
Economies in Asia have not been as badly hit as their Western counterparts by toxic
assets, which were among the root causes of the global financial crisis.
Experts said this will help firms in countries like Singapore to focus on streamlining their
businesses and restructuring for a rebound as the world economy recovers.
Chaly Mah, CEO of Deloitte, said: "Clearly, things seemed to have bottomed out and
business confidence has come, but the real demand hasn't gone back to pre-crisis levels.
If you look at some of the manufacturing levels in this part of the world, they are getting
some new orders, but the orders are not at the pre-crisis level yet. "And if you look at
those manufacturing companies that are manufacturing for the Christmas sales, most of
the orders typically come in during September in order to ship them for the Christmas
season, but the level of orders have not come back to pre-crisis levels, so it is still a
challenge and still pretty fragile."
Going forward, experts said companies need to prepare for the withdrawal of government
stimulus packages which will reveal the true state of global, regional and local
economies. Richard Petty, president and chairman of CPA Australia, said: "I don't think
it's going to be across the board that we are going to see a pick-up in demand, we are
going to see it in particular industries in the near term. I think that we can see certain
sectors of the economy that will likely do better in the short term than others."
The financial sector, for example, is expected to do relatively well as companies are
likely to need advice on financial, business and tax issues, as well as core banking
services as they make their way out of the recession.
• Clinton meets MM Lee, says Singapore is a valued partner
Singapore's Minister Mentor Lee Kuan Yew on Monday met US Secretary of State
Hillary Clinton in Washington. During the meeting at the state department, Mrs Clinton
said Singapore is a long and valued partner of the US on many important issues. Mr Lee
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said it is time America renews and resumes engagement with Southeast Asia and East
Asia, as Asia will alter the shape of the 21st century.
The minister mentor is on a visit to New York and Washington DC. On Tuesday evening,
Mr Lee will deliver a speech and receive the inaugural Lifetime Achievement Award
from the US-ASEAN Business Council during the Council's 25th Anniversary Gala
Dinner.
• KPE ranked among best managed tunnels in Europe in design, safety
Singapore's Kallang-Paya Lebar Expressway is ranked among the best managed tunnels
in Europe both in design and safety, according to the prestigious European Tunnel
Assessment Programme, EuroTap. EuroTAP examines the preventative, detection,
mitigating and self-rescue features of a tunnel as well as its risk and safety potentials.
An independent benchmarking exercise conducted in July this year, ranked the KPE in
the band of "very good". That is the top rating under the European Union Directive on
Safety Requirements for Road Tunnels in Europe. There is no mandatory requirement for
tunnels in Singapore to benchmark against any international safety standards.
But the Land Transport Authority said it has undertaken this assessment to ensure that the
design and operations of KPE are able to meet the same rigorous international standards
that are required of European tunnels.
• Experts say Singapore's economic landscape must evolve
As the global economy recovers, Singapore's economic landscape must continue to
evolve if it wants to stay ahead of the competition. Academics and private sector
economists at the Singapore Policy Forum on Tuesday said that this should include
building a stronger base of local enterprises, as well as focusing more on the services
sector rather than manufacturing.
Many economists believe that the global economic landscape will look very different in
the aftermath of the economic crisis. External demand may not return to pre-crisis levels
anytime soon, due to unresolved financial issues in Europe and the US, coupled with
potential asset bubbles.
And so, experts said Singapore needs to develop a more diversified corporate eco-system.
"Currently we have a very strong presence of multi-national companies and governmentlinked companies, which I think is good and has been very positive for Singapore. But
what we lack is sufficiently strong private local enterprise, and I think we need to do a lot
more to try and help develop this," said Manu Bhaskaran, CEO, Centennial Asia
Advisors.
"The government through SPRING Singapore and other agencies are already doing quite
a bit. But I think one of the problems we have for local enterprise is the capacity to grow
quickly by accessing larger markets, gaining economies of scale and the like," he added.
According to other experts, another way to gain access to a larger market is to leverage
on technology and carve out a niche by offering unique services.
Jimmy Koh, treasury economist, UOB said: "It is no longer about products, it is about
services. It is no longer about just services, but it is the unique services that no one can
duplicate.
"We (Singapore) moved from electronics to bio sciences. We are moving from the
traditional services to tourism, in terms of educational tourism, medical tourism and the
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two Integrated Resorts that will kick in next year. So it is trying to create something - the
niche that in the short term will be difficult to be duplicated by any country."
Singapore is already a "service economy" with two thirds of the nation's total output
generated through services.
"Many types of services are well known to be recession-proof in the sense that they are
not so much affected during bad times - for example, education and even healthcare,"
said Choy Keen Meng, professor, Economic Growth Centre, NTU.
Going forward, experts are hopeful that the Economic Strategies Committee, announced
by Prime Minister Lee Hsien Loong earlier this year, will look at Singapore's growth
model and review its viability in a post-crisis world.
• APEC summit likely to open many trade doors
Leaders from the Asia-Pacific Economic Cooperation (APEC) will be meeting in
Singapore for a summit in two weeks, and the spotlight will be on US President Barack
Obama, as he spearheads US efforts to promote trade with the region.
According to former Deputy US Trade Representative Peter Allgeier, APEC is an
important forum for the US.
"First of all, there has been a lot of work within APEC to promote regional economic
integration and good policies. It has been able to continue and build on that work. The
other thing is that it is a very collaborative kind of organisation, it is not a confrontational
one," said Mr Allgeier. Speaking at a seminar in Singapore, he singled out the services
sector as one key area of cooperation, especially in sectors such as financial services,
telecoms, energy, environment and information technology. The US is in the process of
working out a free trade pact with South Korea, and when passed by Congress, it is likely
to signal the beginning of stronger US involvement in the Asia Pacific.
"The next step really, is for ratification by both governments. Carrying that final step
would be a sign that the United States is going to be increasingly engaged in Asia, and I
think frankly, it is very much in our economic interests to approve that agreement," Mr
Allgeier said. Looking ahead to the APEC summit, Mr Allgeier said that the meeting
between President Obama and ten ASEAN leaders would likely open many trade doors.
However, it would be premature to expect any talk about an FTA between the US and
this region at the summit.
• Experts say carbon trading markets are picking up
Experts have said that as global financial markets begin to pick up, so are carbon trading
markets.
Carbon trading allows countries to buy carbon credits from green initiatives to balance
out global carbon emissions. While such carbon trading projects may have been put on
hold as a result of the financial crisis, experts said things are starting to look up.
In the past 12 months, carbon projects have taken a hit as financials tightened investment
into the market due to the global credit crunch. This caused prices of carbon to drop by
some 75 per cent in the eight months leading up to February this year.
Carbon credits are mainly traded via clean development mechanism (CDM) projects, a
certification under the Kyoto Protocol aimed at global emission reduction.
With signs that the global economy is picking up, life is returning to the carbon trading
market.
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"So prices are coming up again, more projects are also being put on the market... China is
(still) the biggest project offerer - about 60 per cent of the entire CDM market is taking
place in China at the moment."
CDM's typically hold themes of sustainability such as clean energy generation projects.
For businesses coming out of the crisis, experts added that carbon trading is a great
alternative source of finance for clean energy-related projects.
Mr Dreyer said: "CDM is offering an alternative way and an additional way to get
funding to realise projects. "You can use future savings in emissions to basically pay for
the investment you are going to do, and of course that is a very good mechanism which is
helping to bring projects on the ground a bit faster then traditional financing methods."
Experts said that going forward, while there may be concerns over shifts in the carbon
trading market post-2012 when the Koyoto Protocol comes to an end, now is still an
opportune time to gain first mover experience as carbon emissions and climate change
will continue to be top issues in the years to come.
• Singapore improves overall score on gender equality
It has improved on its overall score on equality between the sexes, but Singapore has
slipped again in the world gender gap index by the World Economic Forum.
The Lion City ranks 85th out of 134 countries, down a spot from last year. Its score,
however, improved marginally to 0.666 (on a scale where 1 indicates full equality).
Topping the list again were Iceland (0.827 high score), Finland, Norway and Sweden.
Near the bottom were Iran, Saudi Arabia and Pakistan, while Yemen (0.46) took last
place. In terms of women's economic participation and opportunities relative to men's,
Singapore did all right, ranking 58th. The proportion of women to men in the ranks of
professional and technical workers was close to equal, at 0.82. But estimated earned
income was far below parity (0.52) while the female-to-male ratio of those who worked
as legislators, senior officials and managers was 0.44.
In the "political empowerment" category, Singapore scored a mere 0.1 - but this failed to
register that there is now a female Cabinet minister, Mrs Lim Hwee Hua. As for literacy
rates and educational enrolment, female Singaporeans were nearly on par with their male
counterparts. In terms of healthy life expectancy, they fared better.
When contacted, parliamentarian Madam Halimah Yacob said the results would have to
be analysed carefully. "From our perspective, there seems to be no widening of the
gender gap ... But we will always be mindful of gaps. For example, the lack of women
representation in top echelon of companies needs to be addressed." Meanwhile on
Wednesday, the NTUC Women's Development Secretariat launched a new publication to
inspire more local firms to look at work-life innovations based on some companies'
experiences.
Mdm Halimah, the secretariat's director, said this could help boost the female workforce
participation rate from 56 per cent, which is well below the Scandinavian countries' 76
per cent.
• Survey ranks S'pore as world's No.2 best place to do business
Singapore overtook London as the investors' preferred place for doing business in a
Bloomberg Global survey. Singapore was chosen by 17 per cent of respondents who said
it was the second best place for financial services two years from now.
New York, despite being battered by the financial crisis, remained the world's leading
financial centre, with 29 per cent of the votes. London was in third place, garnering 16
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per cent of the votes. Analysts said Singapore is growing in popularity as companies look
for ways to tap the wealth accumulated in China and the rest of Asia. Respondents also
favoured Singapore because it is well organised and efficient. Private wealth
management, in particular, is growing in Singapore - which has no capital-gains tax.
Shanghai was also popular, with 11 per cent of the votes, largely due to China's huge
growth potential. Meanwhile, Tokyo - which was once considered a global hub - received
the nod from only one per cent of respondents.
The quarterly survey, which was conducted in early October, polled over 1,400
Bloomberg subscribers in six continents.
• Business sentiment among manufacturers improves for next 6 months: EDB
The Economic Development Board (EDB) said business sentiment among manufacturers
here has improved. Data from its latest Business Expectations Survey showed a weighted
22 per cent of firms predict an improvement in the business conditions in the next six
months compared with 16 per cent last quarter.
A weighted 13 per cent of companies foresee worse business conditions over the next six
months, lower than 18 per cent a quarter ago. Meanwhile, a weighted 65 per cent expect
the situation to remain the same.
Almost all clusters within the manufacturing sector expect an improved business
environment as the global economy shows signs of recovery.
The electronics cluster is the most optimistic with a net weighted balance of 22 per cent
of firms expecting business conditions to improve. This is followed by the general
manufacturing industries with a net weighted balance of 20 per cent. Business
expectations for the precision engineering and chemical clusters have turned positive for
the first time since the onset of the financial crisis last year.
However, the chemicals cluster is still concerned about excess supply of petrochemicals
and petroleum refined products in the region. EDB said the transport engineering cluster
is the least upbeat about business conditions for the period October 2009 to March 2010,
compared to a quarter ago.
Despite an improvement in business sentiments in the next six months, a net weighted
three per cent of manufacturers expect output to decline in the fourth quarter of this year,
compared to the third quarter.
The improved outlook has had a knock-on effect on recruitment. A weighted 92 per cent
of manufacturers project a similar or higher level of employment in the fourth quarter.
This compared to a weighted 87 per cent recorded in the survey conducted a quarter ago.
Meanwhile, business sentiment has also improved in the services sector. The Statistics
Department said an overall weighted balance of 28 per cent of firms in the services sector
forecast a favourable business outlook for the next six months. This is higher than the 21
per cent of firms who recorded a positive outlook in the previous Business Expectations
Survey a quarter ago.
In particular, hoteliers and firms in the catering industry were the most optimistic in the
hope of better business in view of the year-end festive period and school holidays.
Department stores as well as retailers of clothing and footwear and jewellery and watches
also foresee higher sales in anticipation of the festive shopping season in the coming
months. Banks & finance companies, brokerages, fund managers and insurance
companies are also expecting higher levels of business activity during this period.
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However, firms in the real estate industry expect the demand for services to remain the
same in the next six months.
• Environmental Front
• At Social Front
• 1,500 more places allocated to Singapore for Haj season
The Saudi Haj Authority has allocated an additional 1,500 places to Singapore for the
coming Haj season. This brings the total number of places available for Singapore this
year to 2,180 – the same as last year.
The Islamic Religious Council of Singapore (MUIS) had earlier requested for 4,000
places for Singaporean Muslims to go on a pilgrimage to the holy city of Mecca, which is
part of a religious tradition.
The request is based on demands this year which number around 3,700, including 820
Muslims who were unable to go on their pilgrimages last year. This group of Muslims
will be given priority for this year's Haj. Singaporean Muslims have to apply to the
religious council to be short-listed for their pilgrimages.
MUIS has advised successful applicants to select their Haj package early from approved
travel agencies so as to settle the necessary arrangements and documentations without
problems.
•
Singapore to receive first batch of H1N1 vaccine in 2 weeks
Singapore will receive its first batch of the H1N1 flu vaccine in two weeks, with one
million doses due to arrive by Christmas, Health Minister Khaw Boon Wan said on
Sunday. This will be enough to satisfy the country's immediate needs, Mr Khaw told
reporters at a community event. He also advised travellers to get vaccinated against the
new flu strain, and urged those who want to have the jab before Christmas to notify their
general practitioner as soon as possible. "I'll keep about 20 per cent for my frontline staff,
and the rest will be distributed to the general practitioners," said Mr Khaw. "That's why
we need to get from them what are their expected orders."
Vietnam
• Political Front
• Foreign Relations
• Vietnam, Cambodia discuss security, extradition pacts
Vietnam and Cambodia on Thursday discussed an agreement to strengthen public
security ties as well as an extradition treaty to deal with crimes along their border areas.
Police said border crimes have become more complex and serious than previous years.
Since the beginning of last year, more than 1,890 smuggling cases were detected
involving goods worth US$6.2 million.
Other crimes, including drugs, arms and human trafficking, have also thrived along the
Vietnam-Cambodia border, which stretches for nearly 1,200 kilometers. Vietnam has 10
provinces bordering Cambodia with a total population of 12.65 million.
• Geo-strategic front
• Economic Front
•
Sri Lanka, Vietnam boost trade
US$ 100 m target set for two-way trade volume by 2012: President Mahinda Rajapaksa
and Vietnamese President Nguyen agreed to encourage bilateral trade and set the target
of US$ 100 million for two-way trade volume by 2012.
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President Rajapaksa who was on a State visit to the Socialist Republic of Vietnam from
October 22 to 24 also discussed a range of matters of mutual interest which included
trade and investment promotion, agriculture, cultural cooperation, air services and
defence and transnational crime prevention with President Nguyen. President Rajapaksa
undertook the State visit at the invitation of Vietnamese President Nguyen Minh Triet.
Lanka-Vietnam agreements
At the conclusion of the official talks between the two Presidents, a number of
agreements were signed between the two countries. They included:
* Agreement between the Democratic Socialist Republic of Sri Lanka and the Socialist
Republic of Vietnam on Protection and Promotion of Investments
* Cooperation Agreement between the Sri Lankan Defence, Public Security, Law and
Order Ministry and Vietnam’s Public Security Ministry on Preventing and Combating
Crimes;
* Work Plan for 2010-2011 on Agriculture Development Cooperation between the
Agricultural Development and Agrarian Services Ministry and VietnamAgriculture and
Rural Development Ministry.
* Agreement on the Work plan for 2010-2013 between the Fisheries and Aquatic
Resources Ministry and Vietnam’s Agriculture and RuralDevelopment Ministry on the
field of Fisheries Cooperation;
* Memorandum of Understanding on Cultural Cooperation between the Cultural Affairs
and National Heritage Ministry and Vietnam’s Culture, Sport and Tourism Ministry.
The President was accompanied by Foreign Minister Rohitha Bogollagama, Export
Development and International Trade Minister Prof. G. L. Peiris, Enterprise Development
and Investment Promotion Minister Anura Priyadarshana Yapa, Western Province
Governor Alavi Mowlana and senior officials and a group of business personnel.
President Rajapaksa was accorded an official welcome at the Presidential Palace in Hanoi
on October 22. President Nguyen Minh Triet held official discussions and hosted a State
Banquet in his honour. President Rajapaksa also met Secretary General Communist Party
of Vietnam Nong Duc Manh and Vietnamese Prime Minister Nguyen Tan Dung.
During his stay in Hanoi, President Rajapaksa placed a wreath at the Ho Chi Minh
Mausoleum in honour of the leader of Vietnam.
The bilateral discussions were held in an atmosphere of friendship, warmth and close
understanding. The Heads of State noted the excellent state of the relations between
Vietnam and Sri Lanka. The Vietnamese President congratulated President Rajapaksa on
the defeat of the LTTE in Sri Lanka and reaffirmed Vietnam’s support for the sovereignty
and territorial integrity of Sri Lanka.
President Nguyen Minh Triet expressed support for President Rajapaksa’s efforts to build
a peaceful and prosperous nation. In response President’s request for assistance in
clearing mined areas in the Northern province, the Vietnamese side agreed to consider
cooperation with Sri Lanka in demining process. President Rajapaksa thanked the
President and the Government of Vietnam for their steadfast support to combat the LTTE
in Sri Lanka, and in this context, for extending support to Sri Lanka at the UN Security
Council and the Human Rights Council. The two leaders also exchanged views on a
number of regional and multilateral issues of mutual concern and agreed to continue to
work together for the mutual benefit of the two countries based on the principle of non
interference.
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President Rajapaksa congratulated Vietnam for her impressive economic development
recorded during the renovation process and expressed Sri Lanka’s felicitations for
Vietnam’s achievements in foreign affairs, including its successful assumption of the role
as a non permanent member of the UN Security Council and its forthcoming ascend to
the Chairmanship of ASEAN in 2010. The President of Vietnam felicitated President
Rajapaksa for the important contribution made by Sri Lanka as Chair of the South Asian
Association for Regional Cooperation (SAARC), Asia Cooperation Dialogue (ACD) and
G-15, and as a member of ASEAN Regional Forum (ARF).
The discussions covered a wide range of matters of mutual interest which included trade
and investment promotion, agriculture, cultural cooperation, air services and defence and
transnational crime prevention. Both leaders agreed to encourage bilateral trade and set
the target of 100 million US$ for two-way trade volume by 2012.
The two leaders welcomed the successful conclusion of the Second Session of the Joint
Commission between the two countries which was held in August 2009 in Sri Lanka.
The Joint Commission was recognized as an effective mechanism to further enhance
bilateral relations between the two countries in many spheres of cooperation. The
Vietnamese President nnounced his country’s decision to reopen a resident Embassy in
Colombo. President Rajapaksa welcomed this announcement and expressed confidence
that a resident Vietnamese Mission in Colombo would help to further strengthen the
friendship between the two countries in developing a comprehensive partnership with
Vietnam. The President and the delegation also visited Ho Chi Minh City, the main
commercial centre of Vietnam and were received by Chairman of the People’s
Committee of Ho Chi Minh City Le Hoang Quan.
President Rajapaksa inaugurated the Vietnam - Sri Lanka Business Forum which was
jointly organized by the Vietnam Chamber of Commerce and Industry and the Foreign
Investment Agency of the Ministry of Planning and Investments together with Foreign
Ministry and the Board of Investment of Sri Lanka in Ho Chi Minh City. The Business
Forum was attended by business leaders of the two countries together with dignitaries of
the two Governments.
The Forum acknowledged the increase of the trade volume between the two countries.
President Rajapaksa extended an invitation to Vietnamese President Nguyen Minh Triet,
to undertake a State visit to Sri Lanka in a convenient time. President Nguyen Minh Triet
accepted the invitation. The specific dates for the visit would be discussed through
diplomatic channels.
• Vietnam launches biofuel crop project boost
The first stage of a project focusing on vegetable and biofuel crops has kicked off with
the inauguration of a Vegetable Component Office at Vietnam's Fruit and Vegetable
Research Institute (FAVRI).
• Pace of Vietnamese inflation slackens
Vietnam's consumer price index rose 0.37 per cent in October from the month before,
down from September's 0.62 per cent, the General Statistics Office said Tuesday. Prices
were up 7.2 per cent year-on-year, agency official Pham Tien Nam said. Credit growth
stemming from Vietnam's billion-dollar, anti-recessionary stimulus package has led to
fears of rising inflation, but the new figures showed little sign of it. The statistics office
said the rise in the index was led by transportation, telecommunications, education and
construction prices. Food prices fell 0.32 per cent month-on-month and 2.54 per cent
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year-on-year. Exports rose 1.5 per cent in October to 4.7 billion dollars while imports
were up 7.25 per cent to 6.7 billion dollars. Vietnam's trade deficit in the first 10 months
of the year hit 8.8 billion dollars, down from 16.4 billion dollars over the same period last
year.
• Social Front
•
Dengue outbreaks affecting the Philippines, Vietnam and India
CDCThe mosquito borne virus, dengue fever, is being seen in increased numbers in many
parts of Southeast Asia and India.
In the Philippines, an Iloilo City newspaper reports 190 cases so far this year in the Capiz
province alone. According to the Provincial Health Office in Capiz the majority of those
infected are children, 97 boys and 93 girls. In addition there have been 3 deaths.The
Prime Minister of Vietnam,Nguyen Tan Dung issued instructions on measures to be
taken promptly against dengue fever in the wake of a surge in infections from the disease
which is likely to evolve into a large-scale outbreak.
Localities nationwide have reported 72,155 dengue fever cases so far this year -- a 7.1
percent rise from the same period last year. The disease took the lives of 58 people.
And finally in the Indian capital of New Delhi, twenty four fresh cases of dengue fever
were reported from the capital Tuesday in an outbreak that has killed two and infected
280 people.Although the sudden surge in positive cases is a cause for concern, the civic
authorities state that the situation is under control and there is no need for panic.
According to them, the figures are much lower than the previous year when the capital
recorded 1,321 cases and two fatalities from the ailment. However, precautionary
measures are being put into place to prevent escalation.Dengue fever is an infectious
disease carried by mosquitoes and caused by any of four related dengue viruses. This
disease used to be called “break-bone fever” because it sometimes causes severe joint and
muscle pain that feels like bones are breaking.
Dengue fever of multiple types is found in most countries of the tropics and subtropics
particularly during and after rainy season.There are four types of dengue virus: DEN-1,
DEN-2, DEN-3 and DEN-4.
People get the dengue virus from the bite of an infected Aedes mosquito. It is not
contagious from person to person.There are three types of dengue fever in order of less
severe to most: the typical uncomplicated dengue fever, dengue hemorrhagic fever (DHS)
and dengue shock syndrome (DSS).
• US helps Vietnamese disaster victims
US Ambassador to Vietnam Michael Michalak on October 29 handed over US$500,000
to the Vietnam Red Cross (VRC) to support victims of storm Ketsana in the four
provinces of Quang Nam, Quang Ngai, Gia Lai and Kon Tum.
The money which was donated by the US government, the US Red Cross and the US
Agency for Cooperation and Development is under a supporting project to help 35,000
people in the four provinces overcome the damage and handle their economic situation.
The project, launched from October 29 this year to January 20, 2010, will provide
assistance for households in the storm-hit areas to buy safe water, food, medicine,
agricultural equipment, repair their houses and pay children's tuition fees. VRC Chairman
Tran Ngoc Tang said the emergency aid project is part of the association's prioritised
activities to support the storm victims and is a practical activity in response to the appeal
of the International Federation of Red Cross and Red Crescent Societies.
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For many years, the US has helped the VRC to launch many support programmes and
projects in 22 Vietnamese provinces and cities such as those on sanitation education and
school nutrition in northern mountainous and central provinces, a flu prevention project
and an HIV/AIDS treatment project.
To respond the appeal of the International Federation of Red Cross and Red Crescent
Societies, many international Red Crosses, foreign governments and international
organisations in Vietnam have donated around VND82 billion to disaster victims.
• Environmental Front
Cambodia
• Political Front
• Thailand-Cambodia Dispute Overshadows Summit
An uncharacteristically edgy summit of the Association of Southeast Asian Nations
(Asean) threatened to boil over yesterday as Thai-Cambodian relations took another turn
for the worse. A visibly exasperated Thai Prime Minister Abhisit Vejjjiva hit back at his
Cambodian counterpart Hun Sen, calling him “seriously misinformed” over the latter’s
remarks comparing fugitive former Thai PM Thaksin Shinawatra with Burmese prodemocracy leader Aung San Suu Kyi.Hun Sen had earlier offered Thaksin, who was
deposed in a 2006 coup, a job as an economics advisor and said that if the exiled media
mogul chose to come to Cambodia, he would not face extradition to Thailand to face
corruption charges.
“Thaksin can stay in Cambodia as the guest of Cambodia and also be my guest as my
adviser on our economy,” said Hun Sen.
His remarks comparing the former Thai prime minister with Aung San Suu Kyi raised
many eyebrows among summit delegates, as he attempted to capitalize on the
international media attention on Asean this weekend to highlight his view that Thaksin’s
plight is politically driven.
“Hun Sen’s comments are being seen as an attempt to intervene in Thailand’s precarious
domestic political situation,” said Thitinan Pongsudhirak, the director of the Institute of
Security and International Studies (Thailand) at Chulalongkorn University in Bangkok.
Last week, Hun Sen gave a pointedly high-profile reception to former Thai prime
minister and Thaksin ally Gen Chavalit Yongchaiyuth. Chavalit said “Mr Hun Sen is my
old friend and I am visiting him at his invitation.” Last month, Cambodian opposition
leader Sam Rainsy was in Bangkok, where he addressed the Foreign Correspondents’
Club of Thailand on press freedom in Cambodia. Rainsy slammed the Hun Sen
administration, saying that it gives token assent to freedom of speech but uses state
resources to hit critics with defamation suits, backed by a pro-government judiciary.
Thitinan said he thinks that Hun Sen has taken umbrage at Rainsy using his time in
Thailand to attack the Cambodian government.
Speaking to The Irrawaddy on the sidelines of the Asean summit, Cambodian opposition
MP San Cchay said that Hun Sen’s reaction shows that he does not understand how a
liberal democracy works.
“Just because Sam Rainsy talks in critical terms while in Thailand does not mean it has
anything to do with the Thai government. Hun Sen merely betrays his own antidemocratic leanings with such an assumption,” he said. Yesterday, the anti-government
and pro-Thaksin United Front for Democracy against Dictatorship (UDD) called on
Asean to withdraw support for Abhisit as the bloc’s chairman. The UDD is seeking a
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royal pardon to enable Thaksin return to Thailand without having to face jail time on
corruption charges. The UDD is also seeking a general election and deems the Abhisit
government as illegitimate.
Thaksin is regarded as the most popular yet divisive head of government in recent Thai
history, implementing pro-poor policies and developing the northeastern Isaan region, but
periodically clamping down on media, launching a draconian war on drugs and seeking a
military solution to the southern Thailand Muslim rebellion.
Interestingly, Hun Sen’s comparison of Thaksin’s situation to that of Suu Kyi comes as
the Nobel Peace Prize laureate marks a total of 14 years in detention today. She was first
arrested in July 1989, ahead of a landslide electoral victory by her party, the National
League for Democracy, in May 1990. The comparison was made even as five Asean
member states, including Cambodia, refused to allow NGO representatives other than
those handpicked by the governments to attend a scheduled “civil society” meeting with
regional heads of government.
Nay Vanda of the Cambodian Human Rights and Development Association—selected by
the Asean People’s Forum as his country’s representative at the meeting—said he was
disappointed with the outcome.
• Foreign Relations
•
FM: Cambodia, India to strengthen defense, anti-terrorism co-op
Cambodian Foreign Minister Hor Namhong said on Sunday that India and Cambodia
will strengthen the cooperation on the fields of national defense and anti-terrorism
between the two countries. Cambodian Prime Minister Hun Sen and his Indian
counterpart, Manmohan Singh, held bilateral talks on a sideline of ASEAN summit in
Thailand and their talks focused on working together to strengthen the defense and antiterrorism cooperation between the two countries, Hor told reporters at a press conference
at Phnom Penh airport after Cambodian delegation arrived from ASEAN Summit in
Thailand. India agreed to provide 15 million U.S. dollars concessional loan for
building electricity power networks from Kratie and Steung Treng provinces in
Cambodia, Hor added. Moreover, Hor Namhong said that Indian Prime Minister will
visit Cambodia in an appropriate time at the invitation of Hun Sen. Hun Sen, at the same,
also requested the Indian side to help restore and maintain other Cambodian temples
because Indian side used to assist Cambodia in the past, Hor said.
• Cambodia will not extradite Thaksin on Thailand’s request
Cambodia will not extradite former Thai Prime Minister Thaksin Sinawatra based on a
request made by the Thai government, the Cambodian government has said.
“The Royal Government of Cambodia likes to make it clear about its position that
Cambodia will not extradite Thaksin on any request made by the Thai government if he
decides to stay in the kingdom of Cambodia,” said a government statement issued on
October 23.The Cambodian government’s statement comes a day after Thailand warned
that it would request Cambodia to send Thaksin back to Thailand to serve his two-year
jail term if he visits the country.Thailand had made the cautionary note after Cambodian
Prime Minister Hun Sen said that Cambodia would warmly welcome Thaksin if he
expresses his wish to stay in the country.Hun Sen had also said: "I consider Thaksin as
my eternal friend. Cambodia will welcome him to stay here anytime. I will make a house
available for him if he decides to visit Cambodia.”
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His statement had created a stir in Thailand, especially among pro-government factions,
prompting the government to play the ‘extradition’ card.
The extradition treaty between the two country states that any party can refuse the
extradition request if it considers the demand to be politically motivated, the Cambodian
government statement said.
The requested party also has a ground for the mandatory refusal if the requested party has
well-founded reasons to suppose that the request for extradition made by the requesting
party aims to institute criminal proceedings against or execute punishment upon the
person, or that the position of the person sought in judicial proceedings will be prejudiced
for any of the reasons mentioned above.The statement added that based on the two
reasons the Cambodian government has a right to make an interpretation on whether the
case against former Prime Minister Thaksin Shinawatra is politically motivated or not.
However, the Cambodian government has said Cambodia will maintain its friendly
relation and continue to cooperate in all fields with Thailand.
•
Cambodia becomes permanent member of World Heritage Committee
Cambodian Prime Minister on Tuesday expressed his warmly welcome as Cambodia
becomes the permanent member of the World Heritage Committee (WHC) of UNESCO
in 17th general assembly in France. "It is a new pride for our country that became fully
permanent member of the world heritage committee," Hun Sen told over 2,000 students
in graduation ceremony of a university in Phnom Penh. "Itwill promote the image and
prestige of the Kingdom of Cambodia on the world arena," he added. On behalf of new
permanent member of the WHC, Cambodia will implement its mission with high
responsibility and will strengthen the cooperation with other countries, he said. "We
will enhance capacity building and study multi experiences with the world heritage
committee, UNESCO, and other international forums," he stressed. Moreover, Hun
Sen said that Cambodia will do more to follow the common purposes in the WHC that
has been working on conservation, culture and heritage development. "We have to
enhance more international cooperation to move forward of conservation and heritage
development." The Kingdom of Cambodia was elected as a member of the WHC
thanks to her richness in cultural properties and history including intangible cultural
properties, several of which were inscribed on the World Heritage List, namely the Royal
Ballet, the Shadow Theater, Angkor area, and the Temple of Preah Vihear, the premier
said. Cambodia becomes one of 21 permanent members which represent 186 countries
in the world in the 17th general assembly of world heritage committee that is held from
Oct. 23 to 28, 2009 in Paris, France at UNESCO Headquarters. Cambodia became a
member of UNESCO in 1951.
• Economic Front
• Expanding Economic Horizons
President Lee Myung-bak in his Southeast Asia tour upgraded bilateral ties with Vietnam
to a “strategic cooperative partnership” and got assurance from Hanoi to allow South
Korean participation in infrastructure construction projects. In Phnom Penh, President
Lee and Cambodian Prime Minister Hun Sen agreed to expand two-way cooperation to
include areas such as mineral resources and broadcast content production and extend the
business visa period for South Koreans. At the summit of the Association of Southeast
Asian Nations, President Lee and ASEAN leaders reaffirmed close cooperation on the
financial crisis, climate change, cultural exchanges and food security and concurred to
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upgrade bilateral relations to a strategic partnership. In his weeklong tour of Southeast
Asia, the president has paved the way for further cooperation with nations in the region.
Vietnamese Prime Minister Nguyen Tan Dung called President Lee “brother” and Hun
Sen showed him the ancient Cambodian temple of Angkor Wat. These actions were
affirmations of Seoul’s strengthened ties with the two countries. In March, President Lee
announced a “new Asia initiative” to transform his country into a regional leader. The
plan seeks to have Seoul speak for Asian countries on the international stage by looking
at the continent from a new perspective and raising Asian awareness of Korea. His
Southeast Asia tour has helped South Korea take the first step toward this goal by
improving ties with nations in the region.
With China and Japan maintaining their influence on the region, South Korea might find
it tough to emerge as an Asian leader and face setbacks in achieving its goal. The
country’s diplomacy, however, should pursue a plus-sum game instead of a zero-sum
game. While strengthening trust-based cooperative relations with Beijing and Tokyo,
Seoul needs to employ a win-win strategy with other governments in Asia. The
International Herald Tribune said yesterday that South Korea has enough confidence and
money to exert influence in Asia.
South Korean diplomacy has focused on the United States, China and Russia due to its
territorial division and the geopolitical situation of being surrounded by powerful
countries. In the 21st century, countries face the same challenges such as the global
economic crisis and climate change, so a shift in diplomacy to embrace diverse issues and
interests is directly linked to South Korea’s survival. The diversification of diplomacy is
also critical to resolve the North Korean nuclear program and human rights abuses, which
have been dealt with by the United Nations, and for Seoul to raise its voice in the
international community.
With abundant natural resources, 52 percent of the world’s population, 21 percent of
global GDP and 26 percent of world trade, Asia is comparable to North America and the
European Union in economic power. For further economic development, South Korea
must make the most of Asia’s potential. To make President Lee’s new Asia initiative a
success, Seoul must devise sophisticated strategies and pull wisdom from all sectors. This
goal cannot be achieved by government efforts alone. Active participation from the
private sector is also necessary.
• Korea offers Cambodia more development aid
Korea will provide a further $9.25 million to Cambodia in new development assistance in
2010 and 2011 to fund a road construction project in Siem Reap, best known for its
proximity to Angkor Wat, according to the Blue House.Korea gave $5.9 million between
2005 and 2009 to build the road in an effort to help conserve the cultural heritage site.
The Korea Ring Road will help disperse traffic in the area, contributing to protecting the
800-year-old temples, the Blue House said in a press release. Following a visit to Angkor
Wat to discuss the road project and cultural preservation, Lee departed for Hua Hin,
Thailand, yesterday to attend a series of regional summits.
Today and tomorrow, Lee will attend the Korea-Asean summit and the Asean Plus Three
summit where leaders of 10 Southeast Asian nations, China and Japan will join him.
In the regional summits, Lee will seek the participating leaders¡¯ support to resolve North
Korea¡¯s nuclear crisis, the Blue House said. Measures to fight climate change and
promote green growth will also be addressed. After the Asean Plus Three summit, the
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leaders are expected to adopt a statement on food security and bio energy development
cooperation.
Tomorrow, the South Korean president will also attend the annual East Asia summit, in
which the leaders of the Asean Plus Three and India, Australia and New Zealand will sit
down to discuss regional and global issues.According to the Blue House, the Lee
administration will concentrate its efforts on cementing trust between Korea and Asean.
During a cabinet workshop last Sunday, Foreign Minister Yu Myung-hwan said Korea
will use the Group of 20 summit that it will host in November next year as an opportunity
to promote Lee¡¯s New Asia Initiative, the Blue House has said.
Lee announced a new diplomatic initiative to engage Asia-Pacific nations in March,
marking a shift in focus for Seoul¡¯s foreign policy, from the four global powers to
relations with its regional neighbors. Lee said Seoul¡¯s foreign policy concentration on
Washington, Tokyo, Beijing and Moscow last year was successful and that the time had
come to reach out to countries in the region.
Under his ¡°New Asia Initiative,¡± Lee¡¯s goal is to speak for Asian nations in the
international community. According to the Blue House, Korea seeks to cooperate with
Asia-Pacific neighbors while playing a leading role in resolving transnational tasks such
as the financial crisis and climate change. Seoul will focus on diplomacy to encourage
free trade and investment within the region.
According to the Blue House, Lee¡¯s initiative gained momentum over the past seven
months after he attended the Asean Plus Three summit in Thailand in April, visited
Central Asia in May and hosted the Korea-Asean special summit in June.
For stronger ties with Asean, Lee has also promised to increase the Korea-Asean
cooperative fund from the annual $3 million to $5 million after 2010.
Korea¡¯s official development assistance toward Asean nations will be increased from
$155 million of last year to $395 million by 2015.
The Asean summits in Thailand later this week and the APEC summit in Singapore next
month will be used as key opportunities to promote Lee¡¯s vision, the Blue House said
• Social Front
• Environmental Front
•
Cambodia vows to crack down on safety violations by factory owners.
Officials have vowed to crack down on safety violations that endanger factory workers
after toxic fumes in a garment factory in Cambodia’s capital sickened hundreds of
workers.The Cambodian Ministry of Labor & Vocational Training allowed World Best
Cambodia Co. Ltd. Garment Factory to reopen at its Phnom Penh factory Oct. 14 after
more than 400 workers fainted days earlier from inhaling a pesticide.But Uk Vantha of
the Department of Health, Ministry of Labor & Vocational Training, said that the
continued operation of the factory depends upon a substantial overhaul of working
conditions.
“The factory used a chemical substance in the cloth warehouses, workplace, on the
exterior of the factory, workers’ residences, and bathrooms,” Uk Vantha
said.“Additionally, the working environment is inadequate. Water containers are not
clean. Toilets at the back of the complex give off a bad smell and the wind blows it into
the factory,” he said.Uk Vantha said factory management must clean the building’s
interior, upgrade toilet facilities, ensure no deductions from workers’ salaries, and allow
workers who have not fully recovered from the poisoning to rest.
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He said the factory will be subject to inspections from the Ministry of Health, Ministry of
Labor, Ministry of Environment, and local authorities going forward, adding that any
factory that disregards Ministry of Labor regulations on the use of toxic substances will
be fined.
Fainting from fumes
On Oct. 12, more than 400 workers, mostly women, lost consciousness after inhaling the
pesticide at the World Best garment factory in Phnom Penh’s suburban subdistrict of
Chaom Chau, in Dangkao district.
The two-year-old factory, which says it employs around 1,500 garment workers, was
forced to suspend operations for one day after the incident to rid the premises of
remaining chemical vapors.
Factory worker Nou Mom, 36, who received emergency treatment at a hospital in Phnom
Penh, said she had recovered.
Unknown substance
Workers from the World Best Cambodia Co. Ltd. Garment Factory are treated at a
Phnom Penh hospital after inhaling toxic fumes, Oct. 12, 2009. Credit: RFA Another
worker who identified herself as Nary, 21, said that even while she was recovering, she
still experienced side effects.
•
Typhoon warning for Cambodia and Vietnam
The UK Foreign Office is warning travellers in South East Asia of weather forecasts
stating that Typhoon Mirinae is likely to hit Vietnam and central and northern Cambodia
around 1 – 2 November 2009. The typhoon is currently approaching westwards across
the South China Sea.
Current projections show that the area it could hit includes Siem Reap, one of Cambodia's
main tourist destinations, and the main base for visiting the nearby temple complex of
Angkor Wat.
The FCO advises travellers visiting the area to continue to monitor the FCO Cambodia
travel advice and follow their advice on the tropical cyclones page and at
www.tropicalstormrisk.com.
Laos
• Political Front
•
Development of ASEAN civil service agreement expects to be signed
An agreement on the development of ASEAN civil service is expected to be signed today
at the end of the 15th ASEAN Conference on Civil Service Matters in Laos.Second day
of the 15th ASEAN Conference on Civil Service under the theme of �Public Sector
Capacity Development: towards Improved Service Delivery has been seen the
progress.The second day meeting had two main events. The first meeting involves the
Heads of ASEAN delegations of 10 countries including Brunei, Cambodia, Indonesia,
Laos, Malaysia, Myanmar, the Philippines, Singapore Thailand and Vietnam, which was
chaired by Mr. Khammoune Viphongxay, Deputy Head of the Public Administration and
Civil Service Authority, and ASEAN Head of Lao Civil Service.The objective of this
meeting was to exchange comments and view regarding cooperation on civil service
management in the future and to discuss and approve the ACCSM work plan 20082015.Furthermore, the meeting discussed a means of developing cooperation between
ASEAN and +3, namely China, Japan and Republic of Korea, in civil service
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management and human resource development. This is the first occasion the +3 countries
are involved in the ACCSM and the inaugural meeting will take place on 30 October
2009. The proposed cooperation will focus on three areas: E-governance, Human
Resources Management (HRM) and Human Resources Development (HRD) and
Productivity improvement in the civil service.The second meeting was the technical
meeting which was held at the same time. The meeting was chaired by Mr. Nisith
Keopanya, Director General of the Civil Service Management Department.The objectives
of this meeting are to exchange and report on the progress of civil service activities from
each of the ASEAN member countries. The Lao delegation delivery a report on
Strengthening Capacity of local Executive Management. The Lao delegation also shared
the achievements of training programmes on public administration and civil service
management which were delivered to managers and technical staff at local level in 20082009.The result of these two meetings will lead to an agreement and the signing of a
letter of transmittal at the closing ceremony of the 15th ACCSM conference, according to
yesterday press release.
•
Foreign Relations
•
Laos and China cooperates on human resource development
The Personnel Organization Department of Prime Ministers Office and the Kunming
University of Science and Technology, Yunnan province, China signed an agreement on
a joint effort to fine tune human resource development in Laos.An aspect of this
agreement was that this Chinese university would be teaching the Chinese language to
the officers of the Personnel Organization Departments of Prime Ministers Office of
Laos, from March 2010.
The Chinese government also said it would provide 15 scholarships to selected officers of
the Personnel Organization Department for masterate and doctorate courses.The two
sides also agreed to exchange experiences on matters relating social-economic and
personnel development.The agreement was signed in Vientiane by representatives of the
two bodies, Mr Khamphone Keosavanh, Director General of the Personnel Organization
Department of Prime Ministers Office and Professor Dr Gang Deng,
Director of Division of International Cooperation of Kunming University of Science and
Technology.The other people at this signing event on 22 October were Dr Boviengkham
Vongdara, Head of Office of the Prime Minister�s Office and concerned officials of the
two sides.
•
Laos, Vietnam achieve in Nam Kanh border demarcation
The leading officials of Lao and Vietnamese Border Demarcation Committee last week
gathered at the Nam Kanh 405 border mark between Xiengkhouang province of Laos and
Nghe An province of Vietnam to express satisfaction with the success of boundary
demarcation.Taking part in the event were Mr Phoukhao Phommsavongsa, Head Office
of Lao National Border Committee of the Ministry of Foreign Affairs, Mr
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Viengthamoum Phommachanh, Xiengkhouang Acting Governor, leading officials of
Vietnam and Laos Border Committee and Nghe An province core officials.
They have celebrated the achievement of 405/1 and 405/2 boundaries at the Nam Kanh
border checkpoint.Leading officials of Xiengkhouang province of Laos and Nghe An
province of Vietnam have exchanged delivering remarks at the rally, which hosted by
Laos.
Mr Phoukhao said that the two national leaders have wished to build peace and friendship
border lines between Laos and Vietnam under the convention of border demarcation
signed by two countries in 1977 and additional convention on border demarcation in
1986.Two sides were able to succeed in border demarcation with a total length of 2,067
km.Presently, Laos and Vietnam have established 605 border marks, which is located at
the Densavanh crossing border checkpoint. The demarcation at the Densavanh crossing
border checkpoint was in coincides with the celebration of 46th anniversary of diplomatic
relation between Laos and Vietnam
•
•
Economic Front
China-ASEAN Free Trade Area to Set Example for Global Co-operation
The China-ASEAN Free Trade Area (CAFTA), to be established on Jan. 1, 2010, will set
a good example for global cooperation, Lao Prime Minister Bouasone Bouphavanh said
on Tuesday, 20 October.
China and ASEAN have established strategic partnership, and it will attract much
attention from the whole world, Bouasone said on the sideline of the 6th China-ASEAN
Expo held from Oct. 20 to 24 in Nanning, capital of south Chinas Guangxi Zhuang
Autonomous Region.ASEAN - the Association of Southeast Asian Nations, is a regional
cooperation group founded in 1967. It groups Brunei, Cambodia, Indonesia, Laos,
Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam, with a total area
of 4.5 million square kilometres.CAFTA is the first free trade area agreement signed by
China, which will provide zero tariff on 90 percent of products traded between China and
the ASEAN and other favourable policies on trade and investment. The establishment of
CAFTA is both an opportunity and a challenge for China and ASEAN countries. In the
future, a lot more issues concerning all aspects will need discussion, Bouasone said.
CAFTA is expected to create a combined GDP of nearly 6 trillion US dollars to become
the third largest FTA in the world, only next to the North American FTA and European
FTA.Laos is on its way to improve infrastructure and kick off construction projects, such
as building railways and highways between Laos and China and other ASEAN countries,
to jump into the China-ASEAN trade and investments cooperation as soon as possible,
Bouasone said.
He also mentioned China, as the worlds largest developing country, was a key player in
the regional development and that China was of much help to ASEAN countries. From
the Asian financial storm in 1997 to the global financial crisis starting in 2008, China has
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offered 10 billion US dollars worth of financial aid to ASEAN countries, Bouasone said.
PM Bouasone Bouphavanh and his delegation returned home on 21 October.
•
•
At Social Front
private company further donates relief fund to flood victims
The Sengvixay Construction Road-Bridge and Irrigation Company yesterday provided 50
million kip to relieve the flood victims in three southern provinces of Sekong, Attapeu
and Saravane.The hand-over was held at the Ministry of National Defence, on 27
October.The money was given by the President of Sengvixay Construction Road-Bridge
and Irrigation Company, Mr. Thongla Sengvixay to the Supreme Commander of the
People�s Security Defence Force, Lieutenant General Douangchay Phichit, who is also
Deputy Prime Minister and Minister of National Defence.On this occasion, Mr.
Douangchay expressed thanks to the Sengvixay Construction Road-Bridge and Irrigation
Company for assisting the flood victims
Brunei
•
•
At political Front
At Economic Front
• Brunei Meat Exports Via Halal Brand Probable
Ghanim International Food Corp Sdn Bhd is keeping its doors open to the possibility of
helping domestic poultry producers export their goods to Singapore using the premium
Brunei Halal brand.
In an interview with The Brunei Times yesterday, Noel Shield, Ghanim interim chief
executive, said: "Poultry and fresh meat products are definitely a part of the products on
the list of products to be included in the Brunei Halal brand for sure; however it will
depend on what the market wants and needs." Ghanim International is the company
appointed by His Majesty's Government to oversee the Brunei Halal brand.
Recently, the Agriculture Department said it was looking forward to facilitating poultry
exports by private growers via the premium brand. Mulaut Abattoir is also confident it
could get licence to use the brand to case its entry in export markets for its processed
meat products.
Should their studies show that there is an opportunity in foreign markets, like the Middle
East, Shield said they will definitely consider the intention of interested companies who
wish to be represented by the brand.
"The whole thing is market driven, even if we see an opportunity to export to Singapore
or Hong Kong, then we will do it, however, there is no specific date on when this will
happen," he told The Brunei Times.
Shield emphasised that the reason Ghanim is particular about overseas market potential is
because it is not eyeing the domestic market for distribution of products bearing the
premium brand. Aiming for the Brunei market will only add competition to the local
small and medium enterprises (SMEs), he said
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"We do not want to compete with the local SMEs because that is not part of our plan,"
said Shield.In an earlier interview, Dr Dabeding Hj Dullah, assistant director of the
Agriculture Department, said his office is positive domestic poultry producers will be
able to ship to Singapore next year. hopefully under theBrunei Halal brand, as Brunei is
currently 100 per cent self-sufficient in poultry.
Dr Dabeding said exporters will be making use of the Brunei Halal brand and that this
will hopefully lead to exports to the Middle East and other markets with high demand for
poultry."The Brunei Halal brand should come not only as a halal product, but a product
of quality," he said.
Islamic markets for beef products, said the company's acting deputy general manager.
"Mulaut Abattoir has been trying to export Mulaut-Haoyue beef to Islamic countries
under the Brunei Halal brand," Pg Imran Pg Hj Sabli said.
"We are confident that the Brunei Halal brand is a strong brand, and given time and
publicity, the Halal brand will penetrate the global halal market," he said of the recently
launched seal, which the Sultanate deems will make a splash in Islamic markets chiefly
due to its reputation for strict adherence to principles governing food preparation under
Islamic teachings.However, at the moment, Ghanim International Food Corp Sdn Bhd
has yet to consider Bruneian companies in the initial batches that will carry the seal.We
are not concentrating on local production and nearly all of the companies we are working
with now are all international companies, about 90 per cent," said Shield, in a previous
interview.Once the brand's marketing strategies get on stream though, it should be easier
for high-cost SMEs to get on board.
Ghanim is the Brunei firm that handles and manages the marketing of the Sultanate's
premium halal brand which takes advantage of the country's reputation in selling goods to
a growing Muslim market.
The firm is looking at major retailers such as Tesco and Carrefour to help sell products
registered under the Brunei Halal brand to its target markets.
Among some of the objectives for the Brunei Halal brand are giving local firms a
platform at gaining a slice of the global halal market, which is estimated at US$580.9
billion and growing rapidly.
• Banks to publish true cost of financing
ALL banks will publish annual percentage rates when advertising rates for any financing
products and in all financing quotations and agreements in a move to be more
transparent, a press statement from the Brunei Association of Banks yesterday said.
The annual percentage rate or the effective rate is the true cost of financing to the
customer, reflecting all financing costs, including any fees charged by a bank for the
financing.
Costs incurred for payment of third-party services such as actual legal costs for preparing
the documentation or valuation fees payable for professional valuation of properties are
excluded from this calculation, the industry group said.
The move is aimed at helping banking customers compare the actual cost of financing
from one institution to another, thereby enhancing transparency and encourage fair
competition, the industry group said."We are also committed to ensure all banking
advertising and promotional literature is clear and not misleading and that customers are
given clear information about banking products and services," said Javed Ahmad, acting
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chairman of the industry group and also the acting managing director of Bank Islam
Brunei Darussalam.
The objective is to allow competition and market forces to work and encourage higher
standard of banking products and services for the benefit of all banking customers, the
group added.The statement said the move is in line with the Ministry of Finance and the
Brunei Association of Banks's drive for greater transparency to encourage
competition."The Financial Institution Division of the Ministry of Finance and the Brunei
Association of Banks are committed to set standards of good banking practice when
dealing with customers in Negara Brunei Darussalam," the statement read.
• Greater transparency sought from TAP
THE Employees Trust Fund (Tabung Amanah Pekerja or TAP) should exercise greater
transparency in the way it conducts business to assure contributors their money is safe,
said some financial planners and business executives.
Contributors have the right to know the details on TAP's investments and retention policy
because these affect their retirement fund, said one financial planner who is familiar with
the pension fund concept.
TAP also owes it to contributors to disclose their operations cost to prevent speculations
that monthly contributions are being used to pay for the salaries of the fund's employees,
he said.An executive from an information technology (IT) firm said that TAP's
transparency on its investments are also important so the public will understand the
reasons for any drop or non-distribution of dividends.
A TAP representative, requesting not to be named, said: "We have been holding financial
roadshows and basically, we have been sharing with our contributors in terms of where
we invest our money."Another financial planner said most people think they should have
a retention policy, which includes how much they make and disclose it, so when
everything is stated, the public will know how much will be re-distributed."There could
be a (TAP) retention policy for all we know, but they have never mentioned one, so how
would the public know about it?" he asked.
He said TAP's investments are "rather unknown" because nothing specific has ever been
disclosed.Another matter is how TAP does not disclose their operations costs.A business
executive, who wished not to be named, agreed that the pension fund should be more
transparent. Contributors are taking risks with TAP by allowing it to invest their money,
but when it makes losses people don't get dividends and when profits are reaped, people
don't get extra dividends, the financial planner said.
The TAP representative said that the funds will still be intact even though there are no
dividends for the fiscal years 2008 and 2009."Decrease in returns is basically due to the
global financial crisis experienced by everyone. It's not a normal crisis, but faced by all
global enterprises," the official said, adding that on their website they have the rate of
dividends that were increased since the trust fund's inception in 1993.
He said data shows a growth of dividends over the years and there are no fixed dividends.
In 1993 it was 1.5 per cent and it increased to 4.25 per cent in 2007/8."What happens
next year depends on the performance of markets, it could be higher or lower than the
previous dividends. We won't know," said the TAP representative.
The financial planner added that the representation of the annual statement shows that
contributors are not getting dividends from monthly contributions but only from the
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previous year."Representation of the statement is unclear, we are contributing monthly
and even if we were getting dividends, the statement does not show," he explained.TAP
encourages anyone who has questions about the statements to approach their counters,
where staff will be more than willing to help.During TAP's appreciation night 2009 on
October 3, the Minister of Energy at the Prime Minister's Office, in his capacity as the
chairman of the TAP Board, said that they made the decision to not issue any dividends
after taking into account the financial crisis and the global recession which have affected
the performance of the fund's investments
• At Social Front
• At environmental Front
• Economics Of Climate Change Forum
Efforts to increase the level of public awareness of climate change are likely to bear fruit
if economic incentives are put in place and policies that condone wasteful consumption
are reexamined, Dato Paduka Timothy Ong, acting chairman of the Brunei Economic
Development Board (BEDB), said yesterday.
In a speech on the economics of climate change, Dato Paduka Ong said the key to
meeting climate change challenges is to have economic incentives that may or may not be
socially acceptable.He noted that it is clear there are many positive things happening in
Brunei with different organisations in the country doing their part in responding to
climate change.
But in order to efficiently respond to climate change issues, everyone including private
individuals and government executives must play their part, he told The Brunei Times.
He suggested that creative incentives would help because at public fora, everyone
expresses his support but soon forgets it."If there are incentives in place, it can give a
higher level of awareness," he said, noting that if there were incentives to re-use plastic
bags while shopping it would reduce its usage.
Dato Ong said he believed that all human beings are the same and that should there be
incentives it would lead to change."Water and electricity are cheap and to move to the
next level, there needs to be some form of encouragement to get a more responsible
behaviour," he said.He also talked about the possibility of Brunei playing a unique role in
exploring hydrocarbon energy because of our forest conversation."It is all up to policy
choices, we have plans for self-sufficiency in rice or to build houses for every Bruneian.
There needs to be a framework for this (climate change) and the first step is to understand
the issue," he said.
Dato Ong said it is cheaper to act today than tomorrow."Unfortunately human nature will
cause delays which lead back to the point why today, incentives need to come in and give
them a push," he added. Investment spent now will lead to more savings in the future and
"economy plays a very important part in this", he said.
In his speech at the forum entitled "The Economics of Climate Change in Southeast Asia:
What is at stake?" organized byBEDB at The Empire Hotel & Country Club, he said: "As
long as cars are easy to own and public transportation is inefficient. electricity is cheap
and only plastic bags are available at supermarkets," it is unlikely that there will be any
change in this area.It all comes down to choices people make government and personal
policy choices where each choice involve costs and benefits, he added
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CHINA
Business and Politics in Muslim World
China
Fareeha Sarwar
1st to 17th October 2009
Presentation Date: 21ST October 2009
Outline:
China’s 60th anniversary (1st October)
• Chinese president addresses grand rally
• Grand national day military parade
•
French friends under spell of China's red letter day
•
Pakistani president greets Chinese all over the world
•
Premier of Ontario hosts reception marking China's National Day
•
Chinese, Brazilian officials celebrate PRC's 60th anniversary, reiterate
strategic alliance
•
Castro gives thumbs up to China's national day celebrations
•
•
Worldwide media hail China's National Day celebration
Nuclear-capable intercontinental missiles bring climax to China parade
Political front
• China's central government to recruit 15,000 staff
• Senior CPC leader visits Harvard University
• China reacts to Al-Qaida threat
Foreign relations
• Chinese PM Meets DPRK Counterpart (4th October)
• China ready to contribute more to United Nations (7th October)
• Chinese vice president Xi Jinping visit 5 European nations October 7-21
• China, Belgium vow to seek stronger ties (8th October)
• China’s Vice president Jinping meets European Commission President(8th
October)
•
•
China urges neighbors, US to talk to DPRK(10th October)
Trade, climate top US-China agenda (10th October)
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•
•
Chinese vice president arrives in Germany(10th October)
•
•
China voices "strong dissatisfaction" over Indian leader's visit to disputed
region.(13th October)
China's premier calls for closer co-op within SCO members (14th October)
•
Premier: China to maintain high-level exchanges with Iran (15th October)
•
China, Pakistan pledge to strengthen ties(15th October)
•
Bloc looks to boost cross-border trade (15th October)
•
Chinese vice president pledges to further bilateral ties with Bulgaria(15th October)
•
•
Beijing urged to do more to help with terror fight(16th October)
Chinese vice president, Hungarian PM meet on bilateral ties(17th October)
•
Neighbors vow to settle border issues(17th October)
Chinese top political advisor pledges closer ties with Nepal(13th October)
Economic front
•
China retail sales boom in National Day Holiday (1st october)
•
China attracts $853 billion FDI in three decades
•
China's largest oil producer vows to maintain prominence for 50 more years
•
•
Tourism industry income during National Day holiday forecast to grow 25%
China to develop Iraq's super-giant oilfield (9th October)
•
•
Chinese, Japanese optimistic about China's economic prospect
Chinese premier stresses autumn, winter grain production (13th October)
•
Chinese, Russian PMs urge G20's role in tackling global financial crisis(14th
October)
•
Zhu elevation step toward top role at IMF(14th October)
•
Hong Kong, China shares rise amid strength in oil(15th October)
•
US says China not currency manipulator(16th October)
•
U.S. Criticizes China for Lack of Yuan ‘Flexibility’(16th October)
•
China's US-debt holdings drop (17th October)
•
Fiscal revenue rises 33%(17th October)
•
Iron ore talks get off to a bad start (17th October)
•
China to launch its Nasdaq-style GEM on Oct 23(17th October)
Social front
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•
Float demonstrates Chinese cultural prosperity
•
•
•
President of ACWF Chen Zhili visits Jordan
Premier's candor on rock error rocks China(14th October)
China reports first death of A(H1N1) flu
• Chinese, African women pledge cooperation in addressing challenges
Ethnic issues
• Chinese wish for national unity, reunification in festive parade(1st October)
• Al-Qaida threatens to attack China (8th October)
Environmental front
• Solar panels at National Day parade highlight changes in China's energy use
Regional report
North
Politics
•
President Hu calls for further efforts to protect public stability in Beijing
Social front
•
Chinese State Councilor urges university faculty, students to embrace
•
innovation (October 14)
China urges int'l co-op, dialogue for "green" development
Economic front
• Hydroelectric project (7th October)
•
Old business street gets a new makeup in Beijing(15th October)
Northwest
Politics
•
Politics108 stand accused in Urumqi riot
(9th October)
• China sentences six to death over Xinjiang riot (Urumqi) 15th October
Social front
• Xinjiang to strengthen education on national unity among youth (12th
October)
Economic front
Northeast
Politics
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Social front
Economic front
Southwest
Politics
Social front
Economic front
South central
Politics
Social front
• 15,000 living near lead smelters will be relocated soon(17th October)
• VIP classes halted in Hubei(17th October)
Economic front
• Subway line to traverse Yangtze River in central China(17th October)
Environmental front
• Drought leaves 250 ships stranded in south China
East
Politics
Social front
• Seniors' home must move, govt says(15th October)
• 11th Chinese National Games opens in Jinan(16th October)
Economic front
• Shanghai marks 200-day countdown to World Expo
HONGKONG AND MACAU
Politics
•
•
Hong Kong celebrates national anniversary(2nd October)
HK chief delivers 2009-10 policy address (14th October)
Social front
• HK report 28th death of A(H1N1) flu (5th October)
• HK to enhance regional education hub status: CE(14th October)
Economic front
• Macao eyes curbs on its booming gambling industry
• HK to enhance competitiveness as global financial center(14th O
149
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National report
China’s 60th anniversary (1st October 2009)
• Chinese president addresses grand rally
Chinese President Hu Jintao on Thursday called on the Chinese people to unite more
closely to build a "rich, strong, democratic, civilized, harmonious and modernized
socialist country."
History reveals that China's development has never been a plain sailing, Hu said,
adding, "But the people who have their destiny in their own hands and are united will
overcome all difficulties and obstacles and continuously make great historic
achievements."
Looking into the future, China has "infinitely bright prospects," he told a rally
celebrating the 60th anniversary of the founding of the People's Republic of China.
He called on the whole Party, the armed forces and people of all ethnic groups to unite
more closely and make unremitting efforts for the grandiose goal of building a rich,
strong, democratic, civilized, harmonious and modernized socialist country, realizing the
great rejuvenation of the Chinese nation and making new contributions to mankind.
•
Grand national day military parade
Chinese army presented the nation and the world its latest armaments and establishments
at the heart of Beijing Thursday morning in a grand military parade marking the 60th
founding anniversary of the People's Republic of China (PRC). Military personnel and
equipment of the Army, Navy, Air Force and the Second Artillery Corps (SAC), or
strategic missile corps, which make up of the People's Liberation Army (PLA), joined the
parade on Tian'anmen Square.
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Dressed in the PLA's 2007 Style Uniforms, most of the parading personnel in 56
phalanxes belong to generations born in the 1980sand 1990s, symbolizing the country's
56 ethnic groups marching along the road of socialism with Chinese characteristics. The
one-hour great show televised live worldwide gave the world a chance to watch the
ongoing transformation of the PLA from a labor-intensive force to technology-intensive
might capable of joint operations in modern warfare.
•
French friends under spell of China's red letter day
The tour de force parade to mark the 60th anniversary of the founding of the People's
Republic of China has impressed many watching it in France.
The parade was "magnificent in that so many people were celebrating," said Yannick
Benichou, a member of the France-China Friendship Association at ParisTech, told
Xinhua.
"Since New China was founded in 1949, so many great events have taken place in the
land," Benichou said.
Benichou studied at China's Tsinghua University for two years, and witnessed great
changes in Beijing before returning to France in 2008.
"During the Beijing Olympic Games in 2008, the world noted spectacular changes in
China. But they don't know the country has been undergoing changes for years," he said
in fluent Chinese.
"Oct. 1 is a grand festival for China," Dr. Pierre Picquart, a professor of geopolitics
and a specialist on the Chinese diaspora at Paris University, told France 24 radio.
The past 60 years in China were a record of six decades' economic development,
Picquart said.
The Chinese society was becoming more and more harmonious, democracy and social
reform had advanced, and the environment had improved during these years, he added.
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In an editorial on Saturday, French daily Le Monde said the spectacular military parade
on Tiananmen Square provided the Chinese people with reasons to be proud.
During the military parade, fifty kinds of China's homemade weapons were displayed
for the first time, the editorial said.
The modernization of the People's Liberation Army was based on the concept of
"active defense" for now, it noted.
China, no longer restrained within the traditional fronts, was participating in
multinational operations to maintain world peace under the leadership of the United
Nations, the editorial said.
•
Pakistani president greets Chinese all over the world
Pakistani President Asif Ali Zardari said here Friday that he is proud of Pakistan's
brotherly relationship with China and wishes the Chinese around the world well.
Zardari was the chief guest at the National Day reception hosted by Chinese
Ambassador Luo Zhaohui at the Chinese embassy.
Replying a question by Xinhua on his arrival, Zardari said, "For the Chinese around
the world, I wish them well. I wish them their independence and I applaud the success."
He also said, "I'm proud of the friendship which we have with China. And I'm proud of
our brotherly relationship. And I'm with them in this moment of happiness. The people of
Pakistan share the moments of happiness with the people of China."
Chairman Joint Chiefs of Staff Committee General Tariq Majid, Chief of Army Staff
General Ashfaq Parvez Kayani, Chief of Naval Staff Admiral Noman Bashir, Chief of
Air Staff, Air Chief Marshal Rao Qamar Suleman, government officials and senior
diplomats from other embassies based in Islamabad were present at the reception.
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The guests watched dances, songs and acrobatics performed by Chinese troops. At the
end of the performance, chief guests and the Chinese ambassador went on the stage to
greet the performers and had a group photo with them.
•
Premier of Ontario hosts reception marking China's National Day
Premier of Ontario, Canada Dalton McGuinty on Thursday hosted a flag raising
ceremony and a reception to celebrate the 60th anniversary of the founding of the
People's Republic of China.
"It is a pleasure to welcome all of you to Queen's Park for this historical occasion, the
60th anniversary of the founding of the people's republic of China," McGuinty said at the
ceremony. "Congratulations to everyone!"
Ontario and Jiangsu Province of China are sister provinces. Mcguinty has been to
China for three times.
•
Chinese, Brazilian officials celebrate PRC's 60th anniversary, reiterate
strategic alliance
Chinese and Brazilian officials celebrated the 60th anniversary of the People's Republic
of China (PRC) on Wednesday and Thursday, and repeated their willingness to further
strengthen cooperation between the two nations.
Chinese Ambassador to Brazil Qiu Xiaoqi told Xinhua Thursday that at a ceremony on
Wednesday night to celebrate the PRC's diamond jubilee, he and Roberto Jaguaribe,
Brazilian Deputy Foreign Minister, discussed ways to further reinforce the cooperation
between the two countries.
The friendly bilateral ties serve to uphold world peace and guarantee a fair
international order, Qiu said.
Representatives of Brazil's government, congressmen, military officials as well as
civilians attended the ceremony to celebrate China's red-letter day, he added.
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Jaguaribe said the current cooperation between Brazil and China has exceeded the
trade level, and has now reached an international level. Brazil and China share many
concerns on major international issues, including climate change, the establishment of a
multi-polar world, and earning more respect for developing countries.
Brazil and China have also intensified cooperation in scientific and energy areas,
including the China-Brazil Earth Resources Satellite program (CBERS) and the stateowned Petrobras' exploitation mission for oil reserves under the pre-salt layer, he said.
•
Castro gives thumbs up to China's national day celebrations
Former Cuban leader Fidel Castro gave the thumbs up to the 60th National Day
celebrations in Beijing in an article entitled "History Cannot Be Ignored," which appeared
in the Cuban daily Juventud Rebelde on Wednesday.
Castro, who left office in 2006 due to an extended illness, cheered the enormous
progress achieved by China in the past 60 years.
He spoke highly of the National Day military parade at Tiananmen Square in China's
capital Beijing, saying the armored vehicles and civilian floats that paraded at Tiananmen
Square were extremely impressive.
Castro also said President Hu Jintao's speech had clearly revealed that during the last
60 years of development and progress, "only reform and openness can allow China to
develop."
•
Worldwide media hail China's National Day celebration
Worldwide media have lauded the massive celebration on Tiananmen Square
commemorating the 60th anniversary of the founding of the People's Republic of China
(PRC).
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Singapore's leading newspaper, the Straits Times, said on Friday that China's 60th
anniversary was a shining moment and an act which marked China's transformation into a
global power.
The newspaper said in its front page story that China rolled out its sophisticated
weaponry, backed by 8,000 goose-stepping soldiers and an eye-catching formation of
sub-machine gun toting women volunteer troops in pink uniforms set off by white berets
and boots.
"The weapons showed China's dramatic progress in the last 10 years. The People's
Liberation Army is a modernized force now," BoZhiyue, analyst of Singapore's East
Asian Institute was quoted as saying in the report.
Vietnamese newspaper Labor commented on Friday that the unprecedented large-scale
military parade, part of China's grand National Day celebration, confirmed the position of
China as a global power and the world's third largest economy.
The newspaper said the speech of Chinese President Hu Jintao delivered at the
ceremony had shown that Chinese people were confident about a bright future and the
country's strong development.
Vietnamese newspaper People's Army reported that the modern weapons China
displayed at the parade had drawn wide attention. The newspaper The Youth said China
showed it had a large and powerful army.
Greek newspapers printed extensive stories on the 60th anniversary of the founding of
the PRC on Thursday, showing the intense interest in China and the "new position of
Beijing as a world superpower."
The daily Eleftherotypia noted that "China demands a stronger international role,"
which was expressed in the Beijing Olympics and was boosted by its role in tackling the
global financial crisis.
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The Greek newspaper Vima added that "the celebrations surpass the spectacular
ceremonies in 2008 for the opening and closing of the Olympic Games... and in a way
prove the 'formula' for the Chinese Communist Party state and rapid development."
Quoting a line from the editorial of the People's Daily, "stepping from poverty to the
general prosperity, China has never been so strong", Greek daily Ethnos underlined that
the military parade attracted great interest by foreign military analysts.
French daily Le Figaro said on Thursday the massive parade in China had shown an
image of a country that was rising and had decided to play a more significant role in the
international community.
Romanian daily Adevarul said "this is a perfect military parade," saying that every
detail was impeccable.
China had shown its most modern weapons to the world through the grand, ordered
and perfect parade, the paper said.
The Togolese newspaper Togo-Presse Thursday said China and its leaders had realized
great progress in every field in the past six decades.
The historic reform in the fields of economy, society, science and technology, and
culture has made China become an influential power, which has attracted global
attention, it said.
Saudi Arabian media said the unprecedented parade had fully shown that China was
returning to the international scene as a world power.
As a country of abundant resources, China's strength was growing, the media said,
adding that the People's Liberation Army had become a high-tech and modern military.
Publishing a Xinhua picture of the celebration, the official Syrian daily as-Saoura
described the celebration as "unprecedented," saying "it aroused Chinese people's
patriotism."
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The whole celebration highlighted China's strength in the new century, the paper
added.
The media in Cuba, Finland, Russia, Cambodia and the Philippines also reported and
hailed the celebration and achievements made by China during the past 60 years.
•
Nuclear-capable intercontinental missiles bring climax to China parade
China's National Day military parade culminated in the final staging of giant nuclearcapable intercontinental ballistic missiles. The camouflaged nuclear weapon rode on 18
launch vehicles. Each vehicle had 20 wheels, carrying the "remarkable symbol" of
China's defense muscle.
Political front
• China's central government to recruit 15,000 staff
The Chinese central government will start its annual recruitment of new staff in mid
October, offering about 15,000 positions, said the Ministry of Human Resources and
Social
Security
here
Monday.
About 130 departments of the central government and affiliated institutions will recruit
new
staff,
said
a
statement
issued
by
the
ministry.
The ministry will start taking in applications from Oct. 15 to 24 and an examination will
be held on Nov. 29 at the capitals of provinces, autonomous regions, municipalities and
several
big
cities,
the
statement
said.
The departments prefer people with grassroots working experience, it said. "About 70
percent of the positions will be taken by people with at least two years of working
experience
at
the
grassroots
level."
A quota will be provided for young people who finish their service in the government
programs of working at remote and less developed regions and villages after college
graduation, it said. But the statement did not release how much it will be.
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"We hope high quality talents with adequate grassroots experience will work for the
central government," said a ministry official in charge of the recruitment.
The application will be done on Internet.
•
Senior CPC leader visits Harvard University
Li Yuanchao(L), head of the Organization Department of the Central Committee of the
Communist Party of China (CPC), also a member of the Political Bureau and Secretariat
of the CPC Central Committee, meets with President of Harvard University Drew Gilpin
Faust in Boston of the U.S., on Oct. 16, 2009.
• China reacts to Al-Qaida threat (10th October)
China rejected Saturday Al-Qaida accusations of the suppressing of the Muslims in the
country and vowed to work with other countries to deal with terror threat.
"Xinjiang has fully implemented the policies of equality of all ethnic minorities and
religious freedom," said foreign ministry spokesperson Ma Chaoxu in a written
statement.
Xinjiang's economy has realized sustainable, rapid and healthy development, and people
of all ethnic groups in the region have shared the achievements in the social and
economic development, said Ma.
The remarks came after Abu Yahya al-Libi, a prominent Al-Qaida militant, threatened to
attack Chinese targets in "reprisal" for the July 5 riots in Urumqi, Xinjiang Uygur
autonomous region and for the suppressing of Muslims.
"China has the confidence and capability to secure national security, and protect the
safety of people's lives and properties," said the statement.
China will continue to cooperate with international community to deal with the threat of
terrorism, said the spokesperson.
Foreign relations
•
Chinese PM Meets DPRK Counterpart
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Chinese Premier Wen Jiabao held talks with his Democratic People''s Republic of Korea
(DPRK) counterpart Kim Yong Il here Sunday. The Chinese Premier arrived here Sunday
on a three-day "anticipated state" visit at the invitation of the Workers'' Party of Korea
Central Committee and the DPRK government, China''s News Agency (Xinhua) stated.
During the visit, Jiabao is scheduled to discuss with his North Korean counterpart the
possibility of resuming six-party talks on North Korean nuclear issue in addition to views
on furthering China-DPRK ties, including Chinese support for North Korea. China is the
most important source of economic aid and diplomatic support for the reclusive
communist regime in Pyongyang, and has hosted stalled six-nation nuclear disarmament
talks that also involve the U.S., Japan, South Korea and Russia. Under the six-nation
framework, North Korea pledged in September 2005 to dismantle its nuclear programs in
exchange for pledges of energy assistance and diplomatic concessions. Washington has
earlier said it is prepared to talk directly with Pyongyang in order to bring it back to the
six-nation talks, which are hosted by China.
"The two sides will sign a number of cooperative documents during Premier Wen's visit,"
Foreign Ministry spokeswoman Jiang Yu said at a regular briefing on Tuesday.
Wen will pay an official goodwill visit to the DPRK from October 4 to 6 at the invitation
of the DPRK Workers' Party Central Committee and the government.
Wen is set to meet with DPRK leaders on bilateral relations and other issues of common
concern. He will also attend commemorative events for the China-DPRK Friendship
Year, which coincides this year with the 60th anniversary of the two countries' bilateral
diplomatic relations.
"Premier Wen's visit is an important part of the programs marking the 60th anniversary of
bilateral relations and it is also a return visit following DPRK Premier Kim Yong Il's
Beijing tour in March," Jiang said.
She said the aims of Wen's visit are "summarizing the past and mapping out the future."
The DPRK was among the first countries to establish diplomatic relations with China -on Oct 6, 1949, only days after the People's Republic of China was founded.
Jiang said China has always provided assistance to the DPRK to help the country with its
economy and peoples' livelihoods.
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On the Korean Peninsula situation, Jiang said it is in the shared interest of relevant parties
to achieve a denuclearized Korean Peninsula.
China, as always, maintains the issue be resolved through dialogue and negotiation, Jiang
said.
"The six-party talks are an effective and practical way to realize the denuclearization of
the Peninsula," Jiang said, calling for positive efforts from all concerned parties.
Initiated in 2003, the talks involve China, the DPRK, the United States, the Republic of
Korea, Russia and Japan. The last round took place in Beijing last December.
•
China ready to contribute more to United Nations (7th October)
China has stressed the importance of following a "capacity to pay" principle, amid
considerations by the United Nations (UN) to determine member states' dues to its
budget.
Liu Zhenmin, China's deputy permanent representative to the UN, made the statement at
the meeting of the Fifth Committee of the 64th Session of the UN General Assembly for
determining member states' dues to the organization's budget in 2010-12.
"China stands ready to make an even greater contribution to the UN on the basis of the
capacity to pay, as our economy continues to grow," Liu said.
China's contribution to the UN has risen from 0.995 percent before 2000 to 2.667 percent
in the 2007-09 period. According to current methods of calculation, that figure may rise
to 3.189 percent in the 2010-12 period, which is about a 20-percent increase over the
previous three-year period.
Still, despite its rapid economic development and impressive gross domestic product
figures, China has the world's largest population and faces enormous challenges at home,
Liu said.
In 2008, China's per capita gross domestic product stood at $3,000, ranked about 100th in
the world and still far from the average per capita gross national income of $7,119 (the
threshold), he said.
"By the standard of the World Bank, which considers those living on less than $1.25 a
day as poor, the Chinese population living at the poverty level will total 250 million, the
second largest number in the world," he said.
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"Economic development, poverty eradication and the realization of modernization remain
daunting challenges for China," Liu said.
"The evaluation of China's capacity to pay should not be conducted without taking into
account China's specificities."
On Monday, China's UN Ambassador Zhang Yesui also underscored the importance of
women's participation in the peace-building process of their own post-conflict countries.
"Peace in post-conflict countries is often fragile. Without the effective participation of
women, there cannot be lasting peace and long-term social stability," Zhang told an open
debate of the UN Security Council.
"Women should fully enjoy the right to decision-making and participation in post-conflict
peace-building and development of their countries," he said.
"They can provide staunch support for hard-earned peace."
Post-conflict countries are often faced with numerous tasks and difficulties, Zhang said,
urging the international community to provide "generous financial and technical support
and help enhance capacity-building".
"While providing external support, the international community and donors should
respect the will of the recipient countries, rely on local governments, fully tap the
enthusiasm of local women and girls and encourage them to engage in the peace-building
process as masters of their countries," the ambassador said.
At Monday's meeting, the Security Council also unanimously adopted resolution 1889,
urging all countries and international bodies to take further steps to ensure the full
participation of women in conflict resolution and peace-building
•
Chinese vice president Xi Jinping visit 5 European nations October
7-21
Chinese Vice President Xi Jinping on Wednesday departed for tours to five European
nations. The fortnight visit will take Xi to Belgium, Germany, Bulgaria, Hungary and
Romania, according to China''s News Agency (Xinhua). During his stay in Belgium, Xi
will attend a "Europalia-China" art festival. He will also be present at China''s guest of
honor events at 2009 Frankfurt Book Fair when he visits Germany. During his tours,
Chinese Vice President will hold talks with senior officials in the countries he will visit
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on bilateral relations and a number of international issues of common concern. Xi is
making the visit at the invitations of Belgian Prime Minister Herman Van Rompuy,
German Chancellor Angela Merkel, Bulgarian Vice President Angel Marin, Hungarian
President Solyom Laszlo and Romanian President Traian Basescu.
• China, Belgium vow to seek stronger ties
China will work with Belgium to improve political trust and substantial cooperation to
make new progress in bilateral ties, Chinese Vice President Xi Jinping said in Brussels
Wednesday.
During talks with Belgian Prime Minister Herman Van Rompuy, Xi put forward a fourpoint
proposal
to
cement
bilateral
ties:
-- To maintain high-level contacts and political dialogues. China welcomes King Albert
II to participate in the 2010 Shanghai Expo and hopes the governments, parliaments and
political parties of the two countries to increase exchanges for more understanding and
trust;
-- To consider the core interests and concerns of each other. China hopes the two sides
would deal with the bilateral relations from a strategic and long-term perspective,
properly handle disputes based on principles of mutual respect, equal treatment and
noninterference in each other's internal affairs, to enhance the development of the
bilateral
ties
in
a
healthy
and
stable
way;
-- To actively boost tangible cooperation, including investment and technological
cooperation. China welcomes Belgian companies to invest in China and encourages its
own
entrepreneurs
to
do
business
in
Belgium;
-- To increase human and culture exchanges. China will further promote exchanges with
Belgium in various sectors including culture, education and tourism. Van Rompuy said
Belgium would work with China to push forward exchanges and cooperation in all areas.
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163
He spoke highly of China's stance in handling the current global financial crisis and the
climate change, and pledged to strengthen coordination with China on regional and
international
issues.
He reaffirmed that Belgium would always adhere to the one-China policy and the
principle of noninterference in other country's internal affairs, and would not support any
separatist
activities.
Following the talks, Xi and Van Rompuy attended the signing ceremony of a number of
agreements
on
science,
finance
and
trade
cooperation.
Xi arrived here Wednesday afternoon for an official visit to Belgium, the first leg of his
European tour. He will also visit Germany, Bulgaria, Hungary and Romania.
•
China’s Vice president Jinping meets European Commission President(8th
October)
Chinese Vice President Xi Jinping met Thursday with European Commission President
Jose Manuel Barroso on bilateral ties, vowing to enhance cooperation between the two
sides. Xi, who congratulated Barroso for his reelection, said China appreciated his efforts
in the past five years on boosting development of the comprehensive and strategic
partnership between China and the European Union. China believes, too, that the bilateral
ties would advance further in a healthy and stable way within the new term of Barroso,
Xi said.
Xi said China and the EU, who have formed a pattern of comprehensive, wide-range and
multilevel cooperation, have become two important forces to help shape the future
international structure into a multipolar world.
Xi put forward a three-point proposal to further strengthen bilateral relations between
China and the EU.
First, to firmly stick to the strategic direction of their bilateral ties. Xi said that to promote
the growth of China and the EU’s comprehensive and strategic partnership accords with
the common interests of both sides and is a right choice benefiting the peoples of China
and the EU and the international community as a whole.
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Second, to always adhere to the belief of mutual benefit and win-win cooperation. The
two sides should mull over tangible ways to properly handle disagreements, to foster new
cooperation and to firmly stem the torrent of trade and investment protectionism, Xi said.
Third, to always adhere to the principle of equality and mutual trust. The Sino-EU
relations will remove various obstacles and make progress as long as both sides stick to
the principle of “mutual respect and mutual trust, consultation on an equal footing, and
seeking common ground while shelving differences,” Xi said. It will also be important to
bear in mind the overall interests of bilateral relations and respect each other’s major
concerns, Xi said.
China is ready to work with the EU to build Sino-EU relations into a model of peaceful
coexistence and friendly exchanges between countries that transcend civilizations, social
systems and development models, Xi said.
Barroso offered congratulations on the success of China’s impressive National Day
celebrations on October 1, speaking highly of the great achievements of China in the last
60 years.
Sino-EU relations have seen remarkable achievements, he said, adding that the past five
years have witnessed frequent top-level exchanges, fruitful personnel and cultural
exchanges, and rapid development of economic and trade cooperation.
China and the EU have seen increasing common ground on global issues, including the
international financial crisis and climate change, and both sides oppose protectionism and
champion a just international order, Barroso said.
In the next five years, the EU will continue developing and promoting the EU and
China’s comprehensive and strategic partnership and strive to handle disagreements in a
mature and responsible spirit so as to further develop bilateral ties, he said.
Barroso also wished the forthcoming Europalia Chinese Art Festival a great success.
Xi arrived in Brussels Wednesday for an official visit to Belgium, the first leg of his fivenation European tour. He will also visit Germany, Bulgaria, Hungary and Romania.
•
China urges neighbors, US to talk to DPRK(10th October)
The Democratic People's Republic of Korea (DPRK) wants to ease a standoff with the
United States, Japan and the Republic of Korea (ROK), Chinese Premier Wen Jiabao told
East Asian neighbours at a summit focused on Peninsula nuke issue and on regional
integration.
At the meeting on Saturday, China, Japan and the ROK vowed to seek an early restart to
six-party talks aimed at ending the DPRK's nuclear weapons ambitions, and to push an
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165
ambitious idea to eventually create an "East Asian community", promoted by Japan's new
prime minister, Yukio Hatoyama.
Wen, who was in the DPRK last Sunday to Tuesday, said Pyongyang wanted to ease
strains, following sanctions and months of contention sparked by its second ever nuclear
test in May.
"The DPRK does not only hope to improve relations with the United States, it also hopes
to do so with the ROK and Japan," Wen told a news conference after the meeting in
Beijing with Hatoyama and the ROK's President Lee Myung-bak.
Wen said the chance to revive six-party nuclear disarmament talks including Pyongyang
would not last.
"If we miss this opportunity, then we may have to make even more efforts further down
the road," he said.
The three East Asian leaders also vowed to work together for closer regional economic
integration, aiming eventually for a bloc something like the European Union.
"The three countries remain committed to the development of an East Asian community
based on the principles of openness, transparency and inclusiveness as a long term goal,"
said a joint statement the leaders issued at the meeting's end.
They underscored the growing pull for the three Asian powers to set aside some of their
friction and rivalry as they struggle to surmount the global economic slump.
The joint show of unity may also increase pressure on DPRK to restart nuclear
negotiations.
Wen said the three nations would "join hands to address the international financial crisis,
climate change and other global challenges".
The combined GDP of Japan, China and the ROK accounts for 16 percent of the world's
total output, with Japan and China respectively the world's second- and third-biggest
economies.
In April, a month before its second nuclear test, the DPRK said the six-party talks
between the two Koreas, China, Japan, Russia and the United States were defunct. It
walked away from the talks last December.
•
Trade, climate top US-China agenda (10th October)
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The White House announced on Thursday that President Barack Obama's first trip to
Asia as president will begin in Japan and take him to Singapore, China and the Republic
of Korea. But the US president will not visit Indonesia, his home for four years when he
was a child.
Obama will be in Beijing and Shanghai between Nov 15 and 18.
During the China leg, President Hu Jintao will likely urge his US counterpart to abandon
trade protectionism, said Chinese experts yesterday. Obama is expected to push China to
reach a bilateral climate change agreement.
Obama's four-country Asian tour will include the third round of talks between the
Chinese and US presidents. The pair met in London in April and in New York in
September.
In the wake of an increasing number of anti-dumping cases against China in the US,
"anti-protectionism is a priority that Hu would like to talk about with Obama," said Yuan
Peng, head of the institute of US studies affiliated to China Institute of Contemporary
International Relations.
During his recent meeting with Obama in New York, Hu warned the US that "similar
cases should not happen again", referring to Obama's approval of a 35 percent tax on
Chinese tire exports to the US.
The US is understood to be seeking other punitive measures against China's exports.
"Beijing will voice clearly its concerns at this time," said Yuan, adding that Washington
and Beijing will probably also address such topics as nuclear nonproliferation, regional
security and the global financial crisis.
Zhou Qi, a senior US expert with the Chinese Academy of Social Sciences, said the US
will continue to prod China toward a bilateral agreement on climate change.
"The US will push China to set a carbon-emissions cap, but it's hard for the Chinese
government to do so as a developing country," Zhou said.
But Zhou predicted China and the US may reach a consensus on a more ambitious carbon
emission schedule and cooperation mechanism with the international community.
"That will help Obama persuade politicians and opposition parties in the US to announce
even more radical emission-cut plans," said Zhou. "The US is hoping for a concrete
emission-cut goal from China."
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"At this historic juncture, the world is expecting China and the US to take the lead," said
Zhou, adding that the international community will reach a deal after the world's two
biggest greenhouse emitting nations have forged an agreement of their own.
She said China can clearly identify its national interests in any agreement.
Pang Zhongying, a professor with Renmin University of China, expects climate change
will top the agenda when Obama meets Hu.
"So, during the coming weeks, their colleagues should work around the clock to iron out
any differences. Then, I think, the two sides will be able to announce a consensus on
climate change," said Pang.
He said the scheduled four-country Asia tour in November will showcase Obama's Asian
policy after months of consideration since he took power.
Pang said Obama does not want too much focus placed on the fact that he lived in
Indonesia as a child, so skipping that country makes sense.
Obama and his mother moved from Hawaii to Jakarta, Indonesia, when he was 6. They
returned to the US when he was 10.
Obama's tour kicks off in Japan on Nov 12 and 13, where he will meet twice with new
Prime Minister Yukio Hatoyama. The White House said the visit with "this key ally" will
cover economic, security and other issues.
After Tokyo, Obama will fly to Singapore to attend the annual Asia-Pacific Economic
Cooperation meeting, between Nov 13 and 15.
Following Singapore, Obama will travel to China, where he will visit both Beijing and
Shanghai between Nov 15 and 18.
Obama's final stop will be in the Republic of Korea on Nov 18-19 where he will meet
President Lee Myung-bak for the third time. The Democratic People's Republic of Korea
will be among items on the agenda, said the White House.
•
Chinese vice president arrives in Germany(10th October)
Chinese Vice President Xi Jinping arrived in the eastern German city of Dresden
Saturday morning to continue his Europe tour. In a written statement released upon his
arrival at the airport, Xi said China and Germany have enjoyed long-term friendship, and
the relations have made new progress in recent years with fruitful cooperation in the
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168
fields of politics, trade and education as well as coordination on international and
regional issues. He said Sino-Germany relations are facing new opportunity for further
development.
"I am looking forward to exchanging views with German leaders on bilateral ties and
other issues of common concern, and trying to have a better understanding of Germany
and pushing forward the relationship," he said.
Xi will arrive in Berlin later in the day. In the German capital, he will hold talks with
Chancellor Angela Merkel and meet with President Horst Koehler.
He will also attend the opening ceremony of the Frankfurt Book Fair.
Germany is the second leg of Xi's tour. He will also visit Bulgaria, Hungary and
Romania.
• Chinese top political advisor pledges closer ties with Nepal
(13th October)
China's top political advisor Jia Qinglin on Monday vowed to boost ties with its neighbor
Nepal as Nepal's opposition party chief visits Beijing. Your visit to China will have
positive and far-reaching impact on relations between the two countries as well as
relations between the two parties," said Jia, chairman of the National Committee of the
Chinese
People's
Political
Consultative
Conference
(CPPCC).
Jia made the remarks while meeting with Prachanda, chairman of the Unified Communist
Party of Nepal (Maoist) (UCPN-M). Jia is also member of the Standing Committee of the
Communist
Party
of
China
(CPC)
Central
Committee
Political
Bureau.
The relationship between China and Nepal has developed healthily with joint efforts of
both sides since they established diplomatic ties, said Jia, adding that the two countries
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169
set an example for treating each other on an equal foot, friendly co-existence and
mutually-beneficiary
cooperation.
Jia appreciated Nepal's firm support on issues concerning China's core interests, saying
China
hopes
relevant
parties
in
Nepal
could
advance
peace
process.
China is willing to work with Nepal in deepening substantial cooperation, enhancing
party-to-party communication and pushing forward China-Nepal neighborly partnership,
Jia
said.
Prachanda spoke highly of China's foreign policy of independence and peace, saying his
party would support the efforts China has made to safeguard sovereignty and territorial
integrity.
The UCPN-M will learn from the CPC's experience in governance through inter-party
exchanges to make joint contribution to our traditional friendship, he said.
•
China voices "strong dissatisfaction" over Indian leader's visit to
disputed region.(13th October)
China on Tuesday expressed its "strong dissatisfaction" over an Indian leader's visit to a
disputed
border
region.
"China is strongly dissatisfied with the visit to the disputed region by the Indian leader
disregarding China's serious concerns," said Chinese Foreign Ministry spokesman Ma
Zhaoxu.
Ma said China and India had never officially settled demarcation of their border, and
China's stance on the eastern section of the China-India border was consistent and clearcut.
"We demand the Indian side address China's serious concerns and not trigger disturbance
in the disputed region so as to facilitate the healthy development of China-India
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relations,"
170
Ma
said.
Indian media reports said Prime Minister Manmohan Singh toured and addressed an
election rally in the so-called "Arunachal Pradesh".
•
China's Hu meets Russia's Putin, painting rosy future(14th October)
Chinese President Hu Jintao on Wednesday met with visiting Russian Prime Minister
Vladimir Putin, hailing fresh development of bilateral relationship and vowing closer
collaboration. "Russia is one of the top agenda on China's diplomacy as we pay much
attention to relations with Russia," Hu told Putin in their half an hour meeting in
Diaoyutai State Guesthouse.
Hu said this year was significant for China-Russia relations as both countries
celebrated their 60th anniversary of the establishment of diplomatic ties.
Russia was the first country to establish diplomatic relations with China, days after the
People's Republic of China was founded on Oct. 1, 1949.
As an important milestone in deepening relations, both countries established strategic
partnership of coordination in 1996.
Hu said this partnership had reaped substantive benefits to both peoples and worked
for the world peace, stability and prosperity.
He underscored the mutual support both countries offered to each other on issues
concerning their core interest and close coordination and cooperation on international and
regional affairs.
"China would like to work more closely with Russia to enhance political trust and
strategic coordination," Hu said.
Chinese President particularly called for both countries to boost cooperation in energy,
high-tech and culture.
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"Let's work together to take strategic partnership of coordination to a higher level," Hu
said.
Putin said his China visit was very successful, marking "an important step forward" in
bilateral cooperation.
He said close exchanges between leaders of both nations contributed a lot to bilateral
relations, which witnessed rapid progress in trade, energy and culture.
Putin said the "Year of Russian Language" went on well in China and looked forward
to the "Year of Chinese language" in Russia next year.
During the "Year of Russian Language" in China, the two nations held more than 200
cultural exchange activities in about 20 provinces, autonomous regions and
municipalities in China.
Putin said he was satisfied with Russia's ties with China and would like to advance the
relations.
On Tuesday, Chinese Premier Wen Jiabao hosted a red-carpet welcome ceremony for
Putin, who is on his first official visit to China since taking office in May 2008. They
held closed-door talks and witnessed the signing of 12 agreements, including the
agreements on natural gas and oil.
•
China's premier calls for closer co-op within SCO members (14th
October)
Chinese Premier Wen Jiabao said here Wednesday China is ready to work with other
member states of the Shanghai Cooperation Organization (SCO) to address challenges
and share opportunities to advance regional peace and stability in a sustained way. Wen
made the remark at the eighth prime ministers' meeting of the SCO, which groups China,
Russia, Uzbekistan, Tajikistan, Kyrgyzstan and Kazakhstan. Mongolia, India, Iran and
Pakistan are observers to the regional organization.
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In his speech at the meeting, Wen spoke highly about the positive results the SCO
members achieved in their joint response to the international financial crisis. Wen pointed
out the world is currently undergoing enormous development, changes and readjustment.
The international financial crisis, the "three forces" of separatism, terrorism and
extremism, drugs and cross-border crimes were threatening peace, stability and
development of the region, Wen said. He said in face of these challenges, countries in the
region had shown greater impetus to deepen cooperation and unite for self development.
"The Shanghai Cooperation Organization should play an even bigger role in enhancing
solidarity and mutual support of its member states and advancing regional cooperation,"
Wen said.
Wen emphasized that China will adhere to the policy of treating its neighbors as partners.
China will stick to the open-up strategy based on mutual benefit and win-win and
continue to contribute to regional development through its own growth.
Wen said China attaches high priority to the development of the SCO and regards other
member states as good neighbors, good friends and good partners.
The eighth SCO prime ministers' meeting was held in the Great Hall of the People in
Beijing Wednesday. Prime ministers from the six SCO member states and representatives
from the observers states attended the meeting. Representatives from Afghanistan also
attended as guests of the host country, China.
The meeting reviewed the progress SCO had made in economic and cultural cooperation
over the past year. The leaders exchanged views on implementing the treaty of long-term,
good-neighborly friendship and cooperation of the SCO member states and the
Yekaterinburg summit consensus. They also exchanged views on deepening practical
cooperation in various areas and jointly addressing the international financial crisis.
Wen said the leaders of SCO member states had reached broad consensus at the meeting,
which he called a total success.
•
Premier: China to maintain high-level exchanges with Iran (15th
October)
China would maintain high-level exchanges with Iran, said Premier Wen Jiabao Thursday
in a meeting with visiting Iranian First Vice President Mohammad Reza Rahimi in
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Beijing after the eighth prime ministers' meeting of Shanghai Cooperation Organization
(SCO).
"The Sino-Iran relationship has witnessed rapid development, as the two countries'
leaders have had frequent exchanges, and cooperation in trade and energy has widened
and deepened," Wen said at the Great Hall of the People.
Wen said China would maintain high-level exchanges with Iran, enhance mutual
understanding and trust, promote bilateral pragmatic cooperation and coordinate closely
in international affairs.
China would continue playing a constructive role in seeking a peaceful solution to the
Iranian nuclear issue, Wen said.
Rahimi said developing the bilateral relationship was the will of both the Iran
leadership and people.
Iran hoped to further deepen the cooperation in trade and energy, strengthen
coordination with China in international affairs and promote healthy and steady bilateral
relations, he said.
•
China, Pakistan pledge to strengthen ties (15th October)
Chinese Premier Wen Jiabao and Pakistani Prime Minister Yousuf Raza Gilani met
Thursday in Beijing and pledged further efforts to enhance bilateral ties.
Wen said the China-Pakistan friendship had weathered the changes on the world stage
and the strategic cooperative partnership was maintaining a good momentum.
China understood and supported the Pakistani government in framing and carrying out
security and development strategies in line with its state interests and circumstances, said
Wen.
China was willing to boost cooperation in finance, hydro-electricity, education, culture,
railway, road transport and the fishing industry.
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China considered ties with Pakistan one of the priorities in foreign relations and it
hoped to continue high-level exchanges and increase coordination on major international
and regional issues of common concern, such as terrorism.
Gilani said China was Pakistan's most reliable friend and strategic cooperative partner.
Pakistan was willing to work with China to boost cooperation in economy and trade,
agriculture, rail and road transportation, he said.
Gilani reiterated Pakistan's firm stand in supporting China on issues relating to Taiwan,
Tibet and Xinjiang.
At the invitation of Wen, Gilani arrived in China Monday 13th October for a four-day
official visit. This is Gilani's first visit to China as Pakistani prime minister.
•
Bloc looks to boost cross-border trade (October 15th)
A bloc of nations that includes China and five Eurasian countries pledged to boost crossborder trade yesterday and explore the shared use of each other's currencies.
At the 8th annual prime ministers' summit in Beijing, the Shanghai Cooperation
Organization (SCO) member states - China, Russia, Kazakhstan, Kyrgyzstan, Tajikistan
and Uzbekistan - broadly discussed enhancing economic ties.
Though the summit included representatives from observer nations Mongolia, Pakistan
and Iran as well as guest country Afghanistan, Premier Wen Jiabao did not mention the
ongoing wars in Afghanistan and Pakistan. Chaired by Wen, the meeting created "a
unique opportunity for exchanging opinions and working out a specific plan", he said.
He said all member states agreed to open a "special SCO bank account to resolve the
financing problem of cooperation on large projects".
The agreement also called for finance ministers and central bank governors from the
countries to meet later this year in Kazakhstan to explore the use of each member states'
currencies in intergroup trade.
"All parties agreed to make trade easier, complete infrastructure at each country's borders
and improve work efficiency at customs to facilitate commodity flow within the region,"
Wen said.
Russian Prime Minister Vladimir Putin urged the SCO, established in 2001, to "use the
potential of our cooperation for post-crisis development".
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Experts said one key aspect that needs to be improved for an efficient cross-border trade
within the bloc is the "bottleneck in transportation".
China's trade volume with Tajikistan, for example, reached $470 million in the first half
of 2009. It was only about $69 million five years ago, according to the Ministry of
Commerce.
But the figure could rise if the two countries were connected by a rail-line, said Zhang
Ning, an analyst at the Institute of Russian, East European & Central Asian Studies of the
Chinese Academy of Social Sciences. Zhang added that China has one railway link with
Kazakhstan, the only connection to all SCO Eurasian member states.
One footnote to the summit was a letter posted on www.alemarah.info by the Taliban that
urged the SCO to help the radical Islamic movement "liberate" the country from US
troops.
It called on summit participants "to render assistance ... (for) the liberation of the people
(Afghans) and countries of the region from the claws of the colonialists and take a
decisive stand regarding the West's invasion of Afghanistan," Reuters reported.
Masood Khan, Pakistan's ambassador to China, on Friday also called for the SCO to "stay
engaged" in the issue of Afghanistan.
Experts have said the SCO would never become a military alliance, though combating
terrorism was one of its original missions. They said pursuing economic development is
the organization's top issue.
Chen Yurong, director of the SCO Research Center of the Institute of International
Studies, said economics was the "major issue" for the organization, although she had
previously predicted that yesterday's summit would discuss regional peace.
Meng Xiangqing, a professor of the Beijing-based National Defense University, said:
"Anti-terror is one of the most important topics."
But he also pointed out that it is "impossible to establish a military alliance like NATO".
•
Chinese vice president pledges to further bilateral ties with Bulgaria(15th October)
Visting Chinese Vice President Xi Jinping said here Thursday that China values its
friendship with Bulgaria and wishes to build bilateral ties.
Xi made the comments during a meeting with Bulgarian President Georgi Parvanov.
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Noting that Bulgaria was the second country in the world to forge diplomatic ties with
China, Xi spoke highly of China-Bulgaria relations over the past six decades. Xi said
reasons why the two countries could share a long-term friendship included maintaining
mutual respect and mutual benefit, non-interference in each other's internal affairs, and
bridging differences through consultation and dialogue.
He also said both leaders viewed the bilateral relationship from a strategic and longterm perspective and exchanges were promoted between parties, local provinces and
peoples.
Regarding relations between China and the European Union, Xi said it benefited the
both peoples and helped safeguard world peace and development.
"As long as the two sides take a strategic and long-term perspective and keep an
objective and inclusive attitude, the relationship would reach new heights," he added.
Parvanov agreed with Xi and pledged to work with China to enhance cooperation and
further the relations between the two sides.
He reaffirmed that Bulgaria would adhere to a one-China policy.
The president also confirmed his participation in the opening ceremony of the
Bulgarian Hall during 2010 Shanghai Expo'.
On the same day, Xi met with Bulgarian Prime Minister Boiko Borisov.
During their meeting, Xi said the two countries have seen expanded cooperation in
recent years and enhanced coordination in regional affairs.
Xi expressed gratitude to Bulgaria for its adherence to a one-China policy and its
support for China on issues concerning Taiwan, Tibet and Xinjiang.
He also thanked the Bulgarian side for its invitation last year to Chinese children from the
earthquake-stricken Sichuan province for recuperation.
"China takes Bulgaria as a sincere and reliable partner, and this stance will never
change whatever the international situation," Xi said.
He encouraged the enterprises of the two countries to increase contacts and investment,
and explore new channels and areas for further cooperation.
Hailing the 60th anniversary of bilateral diplomatic ties, Borisov said Bulgaria and
China shared traditional friendship, and no matter which party in Bulgaria took power,
the country would not change its friendly policy on China.
It was a good time for cooperation with China and Chinese entrepreneurs should be
encouraged to invest in Bulgaria, he said.
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The Chinese vice president arrived here on Wednesday for the third leg of his fivenation European tour. He has visited Belgium and Germany, and will also visit Hungary
and Romania
•
Beijing urged to do more to help with terror fight(16th October)
Afghanistan and Pakistan yesterday appealed for more help from China and the
Shanghai.Cooperation Organization (SCO) to support their ongoing struggle against
terrorism.
Capacity building, reconstruction, poverty-relief and intelligence exchange are the areas
in which China and the SCO can help, Afghan Second Vice-President Mohammad Karim
Khalili and Pakistani Prime Minister Yousuf Raza Gilani told China Daily.
Experts agreed that China should offer more support in those areas but urged Beijing to
keep away from military engagement, because dispatching more troops will not resolve
the problem.
"The western countries are working to train the security forces in Afghanistan and help
the Afghans have the ability to help themselves. The SCO can play a role in building
capacities" in training national police and national security forces, Khalili said.
He added that fighting terrorism in Afghanistan "has always been" a shared responsibility
and task of the world, because, without the effort, the "whole region (Central Asia) will
be affected".
Khalili, 59, said ensuring peace and security depends most on building civilian
infrastructure and increasing military and civil reconstruction efforts.
The vice-president said Afghanistan needs the SCO to help eliminate poverty, the "root
cause of rampant terrorism".
Gilani, who became the Pakistani prime minister in March 2008, also called for more
help from China in intelligence work.
"There should be more exchange of intelligence and information between the two
countries," the 57-year-old said.
Islamabad started a major anti-terror mission in the Swat Valley region in northern
Pakistan in May.
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Even though the mission claimed some significant achievements, such as the killing of
former Taliban leader Baitullah Mehsud in August, some major cities in the area have
seen a rise in terror attacks.
Militants yesterday launched several attacks on police, in Lahore in the Pakistani
heartland and in the troubled northwest, killing 24 people.
"One thing I will show you (that) we have the ability, we have the will to fight against
terrorism," Gilani said. He stressed anti-terrorism was his "priority number one".
Gilani said the death of Mehsud signaled a "new thrust" for his government's effort.
"The SCO can play an extremely important role in combating terrorism and extremism,"
Gilani added.
The SCO - whose members include China, Russia, Tajikistan, Kyrgyzstan, Kazakhstan
and Uzbekistan - had its eighth prime ministers' meeting in Beijing on Wednesday. Both
Gilani and Khalili attended - as representatives from an observing country and a guest
nation.
Chinese experts said China should have a comprehensive plan to help neighboring
countries combat terror.
Dong Manyuan, an anti-terror expert at China Institute of International Studies, said
Beijing could help Pakistan improve the armament of government forces and strengthen
collaboration in intelligence exchange.
"The Chinese government should offer help to settle war refugees in Pakistan," Dong
said, noting Islamabad's anti-terror mission had displaced about three million people.
He said Beijing should discuss the issue with SCO member states.
But he too cautioned against China getting involved militarily in Afghanistan.
"Relying solely on sending more troops to the region won't work because the key is to
resolve the problem of development," Dong said.
The top US and NATO commander in Afghanistan, General Stanley McChrystal, has
recommended sending at least 40,000 additional troops and trainers as part of a beefed-up
counterinsurgency strategy.
Washington already has 65,000 troops there, a figure expected to reach 68,000 later this
year. Other nations, mainly NATO allies, have some 39,000 troops in the country,
Reuters reported.
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Wang Shida, an expert on Afghanistan studies at China Institute of Contemporary
International Relations, said the SCO "has no consensus on sending troops" to Kabul.
The SCO is a regional mechanism framework, which offers mainly non-military help to
Afghanistan, he said, although fighting terrorism was originally the prime mission of the
SCO.
China is engaged in reconstruction efforts in Afghanistan, but has no military
involvement.
•
Chinese vice president, Hungarian PM meet on bilateral ties(17th October)
Visiting Chinese Vice President Xi Jinping met here Friday with Hungarian Prime
Minister Gordon Bajnai on bilateral ties.
Xi said the year 2009 is of great significance for both China and the ChineseHungarian relations, as it marks the 60th anniversary of the founding of the People's
Republic of China as well as the establishment of diplomatic ties between the two
countries.
Xi expressed the hope that his visit would further strengthen the traditional friendship,
upgrade mutually beneficial cooperation and push forward the friendly and cooperative
partnership between the two countries.
Since the establishment of the friendly and cooperative partnership between China and
Hungary in 2004, bilateral ties have turned to a new page, marked with frequent highlevel contacts, enhanced mutual political trust, fruitful economic and trade cooperation,
strengthened personnel and cultural exchanges, and close coordination on international
and regional issues, said the vice president.
The friendship between China and Hungary has stood the tests oftime and the two
countries are good friends and partners joined together in sincere cooperation, Xi added.
The Chinese side appreciates the fact that the new Hungarian government treasures its
ties with China and makes developing these ties one of the priorities in its foreign policy,
he continued.
Xi said China also values its relations with Hungary, and is willing to take the
opportunity of the 60th anniversary of bilateral diplomatic relations, to push forward the
bilateral mutually beneficial cooperation in various fields so as to bring benefit to the
people of both countries.
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The Chinese government will continue encouraging Chinese enterprises to invest in
Hungary and welcomes Hungarian companies to exploit the Chinese market, so as to
further promote the mutually beneficial cooperation in fields like finance, tourism,
agricultural technology and infrastructure construction, he said.
The Chinese side welcomes Hungary's decision to set up a consulate general in
southwest China's Chongqing city and Hungarian companies to take part in the China
High-Tech Fair scheduled for November in Shenzhen. China also appreciates Hungary's
support for and active participation in the Shanghai World Expo 2010, he said.
Xi also voiced China's appreciation to Hungary's efforts to enhance the relations
between China and the European Union, and expressed hope that the Hungarian side
would continue to play an active role within the European Union to push forward the
China-EUrelations.
Bajnai said the two countries have enjoyed good relations in the past 60 years, which
he said has laid a solid foundation for further development of bilateral ties.
The prime minister said China is currently Hungary's most important economic partner
in Asia, and that amid the current complicated global financial and economic situation,
Hungary is ready to become a firm partner of China and to join hands with China in
opposing trade and investment protectionism.
The Hungarian government is willing to provide conveniences for Chinese companies
which intend to invest in Hungary and Europe, he said.
Following the talks, the two leaders attended the signing ceremony for documents on
bilateral cooperation.
Xi, who arrived in Budapest on an official visit to Hungary on Thursday, also met
Friday with former Hungarian Prime Minister Medgyessy Peter.
Hungary is the fourth leg of Xi's Europe tour. He has already visited Belgium,
Germany, Bulgaria and will also visit Romania.
•
Neighbors vow to settle border issues
Premier Wen Jiabao and Vietnamese Prime Minister Nguyen Tan Dung on Friday
promised to properly handle the border and South China Sea issues. China attaches great
importance to its ties with Vietnam, Wen said.
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Economic front
•
China retail sales boom in National Day Holiday
China's retail sales hit 14 billion yuan (about 2 billion U.S. dollars) during the first three
days of the National Day Holiday, up 15 percent from the same period of last year, the
Ministry of Commerce said Sunday.
The country's National Day Holiday this year, eight days long, starts on Oct. 1.
From Oct. 1 through Oct. 3, China's 1,000 key retailers reported a total of 14 billion
yuan in sales revenues, with household electrical appliances, jewelry, autumn and winter
clothing, and cars leading the consumption.
Suning Appliance, a leading chain retailer of home appliances, reported a 91.7 percent
increase in sales revenues on Oct. 2 year on year, and up 25.8 percent for the first three
days of the Holiday.
This was partly due to a policy approved by the State Council, the Cabinet, in June this
year, aiming to spur domestic consumption by subsidizing buyers of cars and household
appliances, according to the ministry.
For example, consumers can first sell their old household appliances to recycling
companies and obtain a certification card from the recyclers. Card holders then can
purchase new appliances with a 10 percent cut in prices when showing retailers the card.
Meanwhile, sales of unpacked moon cakes of more flavors, such as coffee, chocolate,
and even icecream are selling well, and at lower prices, when Chinese enjoy their MidAutumn Festival on Oct.3, which overlapped with the holiday, according to the ministry.
•
China attracts $853 billion FDI in three decades
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China attracted a total amount of 852.6 billion U.S. dollars of foreign direct investment
(FDI) from1979 to 2008, making it the number one target for FDI among developing
countries, according to latest figures released by the National Bureau of Statistics.
The FDI flowing to China stood at merely 80,000 U.S. dollars in1979. The country has
endeavored to improve the foreign investment environment since the reform and opening
up three decades ago and the FDI began to surge into the world's most populous nation,
said the bureau.
The annual FDI increased to 40.7 billion U.S. dollars in 2000 and to 92.4 billion U.S.
dollars in 2008.
•
China's largest oil producer vows to maintain prominence for 50 more years
Daqing Oilfield, China's largest oil producer wants to retain its prominence in the
country's petroleum industry for another 50 years.
Wang Yongchun, general manager of Daqing Oilfield Co. Ltd, said Tuesday the
oilfield would remain an important energy base and continue to contribute a large
proportion of China's energy supplies up to 2060.
Wang said factors such as adequate underground fossil resources, scientific progress
and well-trained personnel would help achieve this end.
In accordance with the overall sustainable development plan for the oilfield, it will be
capable of producing crude and gas equivalent to between 20 million tonnes and 25
million tonnes from its wells annually by 2060.
This future output will be supplemented by extra crude and gas equivalent totaling
between 15 million tonnes and 20 million tonnes from international trade and cooperative
development.
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Discovered in 1959, development of Daqing Oilfield began in the next year. It has so
far produced more than 2 billion tonnes of crude, accounting for 40 percent of the
national total for the same period.
The oilfield produced 40.2 million tonnes of crude oil and 2.76billion cubic meters of
gas (equivalent to 2.76 million tonnes of oil) last year. The oilfield's accumulated proven
oil reserves total 6.36 billion tonnes.
An important subsidiary of China National Petroleum Corporation(CNPC), Daqing
Oilfield Co. Ltd. is one of the world's rare large sandstone oilfields and consists of 52
separate oil and gas fields, with the oil-bearing area extending 6,000 sq km. The current
oil recovery rate of major oilfields at Daqing exceeds 50 percent.
In addition to oil and natural gas exploration and development, Daqing Oilfield Co.
Ltd' s other businesses include engineering services and equipment manufacture. Its gross
assets total 207.2 billion yuan (30.47 billion U.S. dollars).
Fast expansion of the oilfield, which celebrated its 50th anniversary of discovery
Tuesday, during past years led to the founding of a totally new city bearing the same
name as the oilfield in Heilongjiang Province.
Daqing Oilfield stabilized an annual crude output of greater than 50 million tonnes
from 1976 to 2002, which was heralded as "a miracle" in the world history of oilfield
development, said Wang.
Along with other old oilfields, Daqing Oilfield has faced shrinking oil resources in
recent years, and was forced to adjust its oil and gas production goal early last year by
planning to stabilize its output of crude and gas equivalent at 40 million tonnes in years to
come, said Wang.
Wang is, however, upbeat about Daqing's oil resource potential. "Apart from the fossil
reserves at its headquarters in Songliao Basin, western Heilongjiang, Daqing Oilfield has
expanded its prospecting domain to other areas, including Hailar Basin in Inner
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Mongolia, and has been blessed with an additional 200 million tonnes in proven
petroleum reserves in the basin alone since 2002.
"I hope that Daqing Oilfield Co. Ltd will have an extra 80 million to 100 million
tonnes added to its proven petroleum reserve total annually before 2060," said Wang.
"That is the most important resource foundation for Daqing to realize a sustainable
development."
Sun Zhi, chief of the technological development department of Daqing Oilfield Co.
Ltd, echoed Wang's opinion and emphasized the role of scientific progress.
"In the next 50 years, Daqing Oilfield will largely rely on scientific achievements to
realize pre-set targets for sustainable development," he said. "I believe triple oil
extraction technology based on polymers and microbe-based oil extraction technology
which is still being researched will help raise the current oil recovery rate to 60 percent,"
said Sun.
Given Daqing Oilfield's proven oil reserves, the increase of a percentage point in
recovery rate will mean an additional output of 50 million to 60 million tonnes of crude,
said Sun.
"Alongside improved oil recovery rate, it is also imperative for us to speed up the
tapping of deep reserves of natural gas and other non-conventional gases such as methane
in order to meet the pre-set target for sustainable development," said Sun.
A meeting was held in Daqing city Tuesday in commemorating the 50th anniversary of
the discovery of the oilfield. While addressing the meeting, Chinese Vice President Xi
Jinping called for increased efforts to tap China's oil resources to meet rising energy
demands.
He said the spirit of patriotism and dedication, which had nourished the development
of Daqing oilfield in the past five decades, must be followed in the oil production sector
generally.
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185
Tourism industry income during National Day holiday forecast to grow 25%
China's tourism sector is expected to reap a golden harvest during the upcoming National
Day holiday in early October.
Industry income for the holiday is forecast to increase 25 percent year on year.
Figures from China Tourism Academy (CTA) said Tuesday the sector's income is
expected to top 100 billion yuan (14.64 billion U.S. dollars) during the eight-day holiday
starting Oct. 1.
Domestic tourist population this year is expected to top 200 million, representing an
increase of 13 percent over the same period last year.
The tourists' average consumption is expected to be about 500 yuan, up from 448 yuan
in 2008, said the CTA.
The gradual recovery of China's economy coupled with government efforts to expand
domestic consumption has boosted the development of the sector.
China's tourism industry on average makes up 4 percent of the country's gross
domestic product, said the National Tourism Administration.
•
China to develop Iraq's super-giant oilfield (9th October)
Iraq had signed a deal in Baghdad with British Petroleum (BP) and China National
Petroleum Corp (CNPC) to develop its super-giant Rumaila oilfield, according to Iraq's
oil
ministry
on
Thursday.
The program, worth more than 15 billion U.S. dollars of investment, is a milestone in
Iraq's efforts to renew its struggling oil sector, said Asim Jihad, a ministry spokesman.
According to the 20-year contract, BP holds a 38 per cent stake in the venture, while
CNPC has a 37 per cent share. Iraq's State Oil Marketing Organisation controls the rest.
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Currently, Rumaila has a capacity of 1.1 million barrels per day, almost half Iraq's total
output of 2.4m bpd. BP and CNPC aim to boost output to 2.85m barrels per day.
•
Chinese, Japanese optimistic about China's economic prospect
Chinese and Japanese are optimistic about China's economic prospect in spite of the
financial crisis, according to a survey released here on Wednesday.
The survey showed that over half of the participants of the poll expected to see China's
further economic growth.
Jointly sponsored by China Daily and Genron NPO, a Japanese think tank, the survey
asked 1,589 lay people from China's five major cities and 1,008 Chinese university
students about issues concerning China-Japan relations. A thousand Japanese lay people
and 500 academics also took part.
The survey found perceptions of economic and trade relations between the two
countries had improved. About 47.5 percent of ordinary Japanese said China had been
"helpful" this year in fighting the global financial crisis. The percentage of Japanese
intellectuals who said Chinese economic growth was beneficial to Japan increased to 81.4
percent this year.
Cooperation on trade, investment and energy top the list of common concerns that
people in China and Japan want their leaders to discuss in the bilateral meetings.
Most respondents from each country said China-Japan relations were "important".
Among ordinary Chinese polled, 32.6 percent said they had "very good" or "relatively
good" impressions of Japan, and 45.3 percent of Chinese students had a positive
impression of Japan.
An overwhelming majority of the participants attached great importance to
governmental and non-governmental exchanges to improve bilateral relations.
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Non-official exchanges were regarded by most people from both countries as an
essential way to strengthen relations. About 90.7 percent of the students and 86.2 percent
of the ordinary people in China as well as 95.8 percent of Japanese intellectuals and 74.8
percent of the Japanese ordinary citizens viewed it as "important" or "relatively
important".
Chinese and Japanese both learned about each other's country mostly through
television news and newspapers, the survey found.
The China-Japan joint opinion poll, launched in 2005 and conducted each year, aims to
facilitate communication and understanding between the two countries.
Chinese premier stresses autumn, winter grain production (13th October)
•
Chinese Premier Wen Jiabao on Monday stressed the growing of autumn and winter
crops
at
an
executive
meeting
of
the
State
Council.
The Central Committee of the Communist Party of China and the State Council would
continue to strengthen the fundamental status of agriculture and boost the support for
agriculture
and
grain
output,
according
to
the
meeting.
All provincial areas and departments should put into practice the central government's
policies, especially policies for the benefits of farmers, according to the meeting.
Despite uncommon droughts and the global economic recession, China was expected to
have a big harvest this year, underpinning the country's stable and fast economic growth,
according
to
the
meeting.
Although China reported grain output increase for continuous years, the relationship
between grain demand and supply would be strained in the long run as China's
infrastructure for grain output was not stable, the grain planting efficiency was relatively
low
and
natural
disasters
were
frequent,
according
to
the
meeting.
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Autumn and winter planting was key to next summer's harvest and even next year's
harvest and measures should be taken to promote grain output, according to the meeting.
The measures should include promoting subsidy policies and stabilizing autumn and
winter planting acreage, stabilizing market prices to protect farmers' interests and
promoting technology services for farmers, according to the meeting.
•
China welcomes foreign investment in publishing
Foreign publishing groups are welcome to invest in the Chinese publication industry,
China's General Administration of Press and Publication minister, Liu Binjie, said at the
Frankford book fair on Thursday, the People's Daily reported.
As of the end of 2008, the Chinese government has approved over 2,500 joint ventures
and foreign-invested companies in the country's print industry.
China has also started experiments to cooperate with foreign companies on book
publishing, and on newspaper and magazine production, in part because domestic
publishers are being corporatized and need more capital and business expertise.
•
Chinese, Russian PMs urge G20's role in tackling global financial crisis(14th
October)
Chinese Premier Wen Jiabao and his Russian counterpart Vladimir Putin Wednesday
urged the role of the Group of 20 summit in tackling the global financial crisis and
improving world economic management.
They said in a joint communique inked following a regular meeting on Tuesday that
the G20 summit should support international cooperation and promote the reform of the
international financial system.
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189
China, Russia pledge to strengthen finance and banking cooperation
China and Russia pledged to enhance communication and cooperation concerning
finance, taxation and banking to deal with the global financial crisis, said a joint
communiqué released Wednesday by the two countries.
The communique was a fruit of the 14th regular meeting the prime ministers of the two
countries in Beijing on Tuesday. During the meeting, Chinese Premier Wen Jiabao and
his Russian counterpart Vladimir Putin witnessed the signing of 12 agreements, including
agreements on natural gas and oil.
•
Zhu elevation step toward top role at IMF(14th October)
Bank of China Vice-President Zhu Min may soon take up a senior position at the nation's
central bank, in a move that will eventually prepare him for a crucial post at the
International Monetary Fund (IMF), people with knowledge of the matter said.
Though Zhu personally denied knowledge of his appointment as the vice-president of the
nation's top monetary authority - the People's Bank of China - the source confirmed that
the central bank had been officially informed about Zhu's new position.
The 56-year-old Zhu, a senior banker with ample international experience, might just
become the second person after Justin Lin, the current World Bank chief economist, to
play a key role at an international financial institution.
If it happens, his elevation as the deputy managing director at the IMF is expected to help
China have a bigger say in the process of reshaping the post-crisis global financial order.
Conventionally, officials recommended by the Chinese government to the IMF should
first take up a transitional position at the central bank, while the ones suggested for a role
at the World Bank usually assume a post at the Ministry of Finance at first, the source,
who declined to be named, told China Daily.
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The likely appointment comes as China, together with other emerging markets, is calling
for a better hearing at international financial institutions so as to better reflect their
growing economic power.
"Zhu's appointment at the IMF will be a significant step toward breaking up the US and
Europe's dominant position in the international financial stage," said Pang Zhongying,
professor of international relations at Renmin University of China.
In response to mounting calls for reforming the governance structure at these multilateral
institutions, world leaders have reached a consensus that the emerging markets deserve a
louder voice that would match their growing clout.
At the IMF-World Bank annual meeting held in Turkey earlier this month, the IMF
promised to shift its quota shares toward dynamic emerging markets and developing
countries by at least 5 percent, from the over-represented to the under-represented
countries, before January 2011.
"Zhu taking up the post as the IMF deputy managing director on behalf of the Chinese
monetary authority will no doubt be a significant progress for the international financial
institutions' reform effort, and will play an active role in enhancing developing countries'
status in the global order," Fu Lichun, an analyst with Southwest Securities, said.
•
Hong Kong, China shares rise amid strength in oil(15th October)
Shares in Hong Kong and China headed higher in early trading Friday, with oil-related
shares adding support to the market as crude prices climbed past $78 per barrel on
Globex. Hong Kong's Hang Seng Index was up 0.3% at 22,063.16. Shares of Cnooc Ltd.
•
US says China not currency manipulator(16th October)
The U.S. government said on Thursday that China did not manipulate its currency against
the U.S. dollar and has made significant contribution to the world economic recovery
during the first half of 2009.
"No major trading partner of the United States" met the standards identified by a U.S. act
of manipulating their rates of exchange against the U.S. dollar to gain unfair competitive
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advantage in international trade, the Treasury Department said in its Semi-Annual Report
to Congress on International Economic and Exchange Rate Policies.
Based on a 1988 law, the Treasury is required to submit to Congress twice a year a report
identifying whether its major trade partners manipulate their currencies to boost their
exports to the United States or make U.S. products more expensive in overseas markets.
"Since the end of the dollar peg in July 2005, the renminbi has appreciated a cumulative
21.2 percent against the dollar and 15.7 percent on a real effective basis, based on the BIS
(Bank for International Settlements) measure, said the report.
According to the BIS index, China's real effective exchange rate appreciated 13.3 percent
between June 2008 and February 2009, it said.
The report also said China has made notable contributions to the world economic
recovery.
China's "timely and aggressive fiscal and monetary policy stimulus has resulted in a
strong domestic economic recovery and a decline in its current account surplus, and as a
result contributed significantly to the recovery in global demand," it said.
China's real GDP rose by 7.1 percent on a year-over-year basis in the first half of 2009, as
fixed investment and consumption contributed 6.2 percentage points and 3.8 percentage
points to growth, respectively, said the report.
Reflecting the decline in China's trade surplus, net exports in the first half of 2009
subtracted 2.9 percentage points from growth, the report added.
In October, the International Monetary Fund (IMF) forecasted that China's real GDP
would increase by 8.5 percent in 2009, up from its April forecast of 6.5 percent growth.
The IMF predicted that in 2010 China's economy will grow 9.0 percent and account for
28 percent of the anticipated 3.1 percent global growth.
China has managed an economic growth amid dwindling export. The report said China's
exports fell by 31 percent between the third quarter of 2008 and the first quarter of 2009,
while imports fell 30 percent.
The report observed that in the second quarter of 2009, the country's imports recovered
strongly over its stimulus measures. However, exports increased only slightly.
"As a result, China's trade surplus narrowed to a three-year low of 35 billion dollars (3.2
percent of the GDP) in the second quarter. China's current account surplus narrowed to
6.7 percent of the GDP in the first half of 2009, from an 11 percent high in 2007."
Notably, China's trade surplus with the United States in the first half of 2009 fell 13
percent from the same period of 2008, said the report.
As one of the most important countries in the world, China provides a key force in the
worldwide coordinated actions against the worst recession since the Great Depression of
the 1930s, it said.
"China's overall policies played an important role in anchoring the global economy in
2009 and promoting a reduction in its current account surplus," it added.
It said that the U.S. government will continue to work with China both in the Group of 20
(G20) and their bilateral Strategic and Economic Dialogue to pursue policies that permit
greater flexibility of the exchange rate and lead to more sustainable and balanced trade
and growth.
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China's US-debt holdings drop (17th October)
China cut its US Treasury-bill reserve by $3.4 billion to $797.1 billion in August, though
it remained the largest foreign holder of US T-bills. Japan, the second largest holder of
the US government debt, however, has boosted its Treasury securities from $724.5 billion
in July to $731 billion. The overall demand for long-term US financial assets rose in
August, with foreigners buying $28.6 billion more in assets than they sold.
•
Fiscal revenue rises 33%(17th October)
China's fiscal revenue in September increased by a whopping 33 percent year-on-year,
but officials and economists are still cautious about the full year's fiscal balance as the
country raises expenditure to boost the economy.
The country's fiscal revenue rose to 560.9 billion yuan ($82.1 billion) last month, while
its expenditure increased by 32.9 percent year-on-year to reach 657.7 billion yuan, the
Ministry of Finance said on Friday.
September saw the second consecutive monthly revenue hike of more than 30 percent
year-on-year.
"It's a bit surprising given the relatively weak economy," said Liu Shangxi, senior
researcher with the Research Institute for Fiscal Science, affiliated to the ministry.
This is the fifth consecutive month that the fiscal revenue has registered a year-on-year
growth since rising 4.8 percent in May and reflects that the economy has recovered from
the global economic recession, analysts said.
"The relatively low base of last year is also a factor (in the revenue increase)," said
Zhuang Jian, senior economist of the Asian Development Bank in Beijing.
The Ministry of Finance said increase in fuel and tobacco taxes was a major contributor,
too, while Liu contended that proceeds from land sales for property development could
be another important source of the increased revenue.
But Reuters cited a ministry official as having said that uncertainties remain. "The
economy is still recovering it's impossible to have new tax sources and (some) one-time
tax revenues are not to continue."
In March, the ministry submitted to the National People's Congress a fiscal revenue target
of 6.623 trillion yuan for 2009, or an annual increase of 8 percent. The projected fiscal
expenditure is 7.624 trillion yuan, or 22.1 percent more than last year.
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The country's fiscal revenue reached 5.152 trillion yuan in the first three quarters,
accounting for about 77.8 percent of the yearly target. "It's possible that the target will be
met this year," Liu said.
Based on the ministry's data, the fiscal expenditure in the first three quarters accounted
for about 60 percent of the target, but experts said expenditure in the second half would
far exceed that in the first.
Liu said the fiscal expenditure could jump sharply in the coming months to pinch the
fiscal balance as the country continues its economic recovery, carries out medical reform,
raises subsidies for the poor and farmers, creates more jobs and enhances environmental
protection.
•
Iron ore talks get off to a bad start (17th October)
The debate over the next year's iron ore benchmark prices has got off to an acrimonious
start with China seeking to separate its negotiations from other countries while global
giant miners refuse to budge downwards on prices.
Shan Shanghua, secretary-general of China's top iron ore negotiator China Iron and Steel
Association (CISA), said on Friday that iron ore contracts should run for a calendar year
instead of beginning on April 1, according to the Japanese financial year.
"We will not insist on other countries taking China's iron ore price as a reference," he
said at an iron ore conference in the coastal city of Qingdao
The iron ore conference is usually regarded as the unofficial start of benchmark price
negotiations for the next contract year.
"There may be another failure in agreeing a benchmark price next year, as happened this
year, if CISA sticks to its position," a mining executive familiar with the negotiations told
China Daily on the sidelines of the conference on Friday.
"BHP prefers to use spot prices, which are market-oriented and index-linked," he said. "If
both sides are not happy with the benchmark price negotiation, the next year ore trading
might again be based on spot rates."
Iron ore is the only commodity that is negotiated with a benchmark price system. Other
commodities such as copper and oil are linked to an index.
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This year's iron ore price negotiations became deadlocked in June when China insisted on
a 45-percent discount on 2008-09 prices after a 33-percent cut in benchmark iron ore
prices had been set with other Asia steel mills.
Shan said Chinese steel mills would not be able to make money at the current price that
iron ore producers are demanding because an oversupply is causing steel prices to fall
sharply.
"If the demand side is always losing money while the supply side is always making huge
profits, can that relationship survive long?" he asked, insisting that global miners should
offer better terms.
Chinese iron ore imports rose 36 percent to 469.4 million tons in the first nine months
from a year earlier, the Customs said on Oct 14. Shipments have exceeded real demand
by 50 million tons, the steel association said on Oct 12.
But mining executives from iron ore producers said the iron ore price was driven by
demand, even if the demand side suffers lower profits. As long as the demand is there,
there will always be possibility of rising prices.
Miners are optimistic because the economic recovery is leading to increased demand for
steel.
Samarco Mineracao, an iron ore pellet joint venture between miners BHP Billiton and
Vale, expects to produce at full capacity next year as demand recovers, its chief
commercial officer, Roberto Lucio Nunes de Carvalho, said on Friday.
"Our expectation is to produce at full capacity of 22 million tons in the next year," he
said. "Industry demand is improving. Next year will be much better than this year."
However, some Chinese steel mills are not optimistic about next year's steel demand.
China's steel industry may end up losing money next year as oversupply weighs on
prices. That might force steel companies to cut production next year, said Han Weidong,
deputy chief of the market section of Hebei Iron and Steel Group Co Ltd.
"China's domestic steel demand is unlikely to reach 600 million tons next year, while
tight bank lending next year could hurt both demand for steel and expansion at steel
mills, restraining growth in iron ore consumption," he said.
A sales representative from a Hebei-based private steel company also said his company
felt times were hard now because steel prices have fallen sharply since August and the
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iron ore spot prices remained at a high level. If the situation continues for a month, they
may make cutbacks, he said.
•
China to launch its Nasdaq-style GEM on Oct 23(17th October)
The Chinese securities regulator said in Beijing Saturday that trading on the Nasdaq-style
Growth Enterprises Market (GEM) will be launched on Oct 23.
Shang Fulin, chairman of the Chinese Securities Regulatory Commission, released the
above information at a forum on GEM Saturday morning.
That means, the first batch of 28 companies will get listed and be open for trading next
Friday, a timing earlier than expected.
Overly high IPO prices expose investors to higher risks because near future value of the
stocks are unpredictable based on little historical data of the companies, analysts say.
Though beneficial to both economic development and employment creation, the GEM
companies are more likely exposed to market manipulation, Shang warned, adding these
companies are still less capable in face of market risks as they are relatively small
compared with the main board companies.
Social front
•
Float demonstrates Chinese cultural prosperity(1st October)
A float with a shining fan-shaped picture of traditional Peking opera performer on a
civilian parade formation showcased Chinese cultural prosperity since the founding of the
People's Republic of China six decades ago.
Paraders dressed in long-sleeved shirts and white pants marched past the Tian'anmen
Rostrum. A banner on the float reads "promoting the socialist cultural development and
prosperity".
•
China reports first death of A(H1N1) flu
China has reported its first death of A/H1N1 influenza on Tuesday, according to a Health
Ministry statement on its website.
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An 18-year-old woman in Maizhokunggar County, Lhasa City died of the A/H1N1 virus
at about 3:20 a.m. on Sunday at the county hospital. She was taken to the hospital on
Saturday for coughing, sore throat and muscular stiffness. Her body temperature was as
high as 40 degrees, a Tibetan regional health department official said Tuesday.
The case has been confirmed by the Chinese Center for Disease Control and Prevention,
he said.
The Health Ministry sent 200,000 doses of vaccine to Lhasa by air on Tuesday to help
contain the virus from spreading in the region. More vaccines will be sent to the western
and plateau provinces soon.
The national capital Beijing reported its first A/H1N1 case with heavy sysptoms on
Tuesday, a municipal health bureau official said.
The 72-year-old man is receiving treatment with breathing machine at the Beijing Ditan
Hospital. He had suffered the chronic obstructive lung diseases for about 20 years. He
was confirmed to be infected with the A/H1N1 on Friday with a body temperature as
high as 38.5 degrees, he said.
Beijing had reported 2,181 confirmed cases of A/H1N1 influenza by Monday afternoon,
about 83.6 percent of which had recovered, according to the municipal health bureau.
The Chinese mainland had reported 21,453 confirmed cases of A/H1N1 influenza by
Tuesday, about 78.7 percent of which had recovered, according to a notice on the website
of the Ministry of Health.
A total of 13 cases with heavy symptoms had been reported, of whom eight has
recovered, the notice showed.
The ministry held a tele-conference on Tuesday, asking the local health authorities to
strengthen the monitoring and control of the virus outbreak, especially in the remote and
border areas.
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President of ACWF Chen Zhili visits Jordan
Chen Zhili (R), vice chairwoman of the Standing Committee of the National People's
Congress and president of All-China Women's Federation, meets with Jordan Queen
Rania al-Yassin in Amman, capital of Jordan, Oct. 11, 2009. Chen, who headed a
Chinese women delegation, made a three-day visit to Jordan from Oct. 10 to 12.
•
Premier's candor on rock error rocks China(14th October)
It was a small mistake that many people would never have noticed, but Chinese Premier
Wen Jiabao felt the need to atone with a public apology.
In a Xinhua story featuring his comments after inspecting lessons at a middle school,
Wen, who has a postgraduate degree in geological structure, mixed up his rock types.
Wen was quoted as saying, "Teachers should give positive feedback to students' answers
even if they are not relevant to the lesson -- instead of just ignoring them and focusing on
the class agenda."
In one lesson, the teacher had raised a discussion on "what makes a perfect classroom."
However, a student wandered off topic and said, "I like rocks and want to study rocks in
the future."
Wen suggested the teacher should have responded by asking how many kinds of rocks
the boy knew and inspired his passion by talking about the types of rocks: "sedimentary,
magmatic and volcanic."
However, the third type should have been metamorphic rocks and Wen spotted the error
in the story released by Xinhua on Sunday.
In a letter written Monday evening to Xinhua's editor-in-chief office, Wen said: "The
three main types of rocks should be sedimentary rocks, magmatic rocks (also called
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igneous rocks) and metamorphic rocks. Please correct my mistake and send my apology
to all readers."
Wen's move prompted a mass of comments on the Internet and most expressed respect
for the 67-year-old premier's attention to detail and honesty.
"Our premier's serious attitude towards science set an example for scholars; his sense of
responsibility set an example for officials; his sincerity set an example for all of us," said
a comment by "tjljzh" on Sohu.com.
"Everybody makes mistakes. My respect for our premier is stronger after this," said
Professor Wang Wei, of the National School of Administration.
"It shows Chinese public figures are paying more attention to communication with the
media, which is really a good thing for society. It also reflects how social and
government organizations are responding quickly to the public," Professor Zhang Yiwu,
of Peking University, told Xinhua.
"Facing problems with an honest attitude will only help solve them. What Premier Wen
did should inspire both government officials and ordinary people," Zhang said.
Wen has gained a reputation as a man of the people over the years.
•
Chinese, African women pledge cooperation in addressing challenges (15th
October)
A declaration stressing cooperation between Chinese and African women in addressing
challenges of economic crisis and gender equality in political life was passed Wednesday
when the China-Africa Women's Forum closed in Cairo.
As an activity affiliated with the Forum on China-Africa Cooperation, the Women's
Forum is jointly sponsored by the All-China Women's Federation (ACWF) and Egyptian
National Council for Women with the aim of enhancing the role of women in
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consolidating the Sino-African ties and the cooperation between the two continents of
Asia and Africa.
Given the theme of "Chinese and African women working together to address
challenges and seek common development," more than 110 representatives from some 29
African states and China, including female governmental officials in charge of women's
development and heads of women organizations joined the forum to explore new
approaches to deepen friendship and cooperation and share the progress and experience
of each country concerning gender equality and women's development.
During the forum, the discussion was separated into three panels, discussing topics on
women's role in promoting Sino-African political and social dialogues, cooperation in
response to the current global economic crisis, as well as women and the Millennium
Development Goals.
The draft declaration went through a heated discussion among women delegates in
Wednesday's meeting before it was approved by acclamation. The forum decided to
submit the final declaration to the Fourth Ministerial Conference of the Forum on ChinaAfrica Cooperation, which is scheduled for Nov. 6 to 9 in Egypt, with the expectation
that the voices of women can be fully listened to.
The final declaration notes with satisfaction that China has maintained a friendly and
cooperative relationship with the women and women's organizations in African countries
for over half a century. Women are playing a vital role in deepening the friendly ties
between China and African countries.
It emphasizes the importance of women's equal participation in legislation, decisionmaking and public life, noting the under-representation of women in public and political
life as well as decision-making institutions. It also recognizes that women are more
affected by the global financial crisis, with their job opportunities and labor rights
challenged more than ever.
The declaration recommends that special measures should be implemented to create a
favorable environment where women can be better engaged in political life, while
providing them with more leadership training, to gradually narrow the gender gap in
political participation.
In response to the financial crisis, the declaration states that governments should give
full consideration to the interests of both men and women with regard to developing
economic recovery plans, and avoid the risk of aggravating the gender gap and gender
inequality by applying a gender perspective.
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The declaration also condemns the aggression and the hostile actions women face in
armed conflicts especially in Africa and stresses women's vital role in achieving peace
and security.
The Chinese delegation to the forum is led by Chen Zhili, president of the All-China
Women's Federation (ACWF) and vice chairwoman of the Standing Committee of the
11th National People's Congress.
During her meeting with Speaker of the People's Assembly of Egypt Ahmed Fathi
Sorour on the sidelines of the forum, Chen said the forum set up a new platform for
women's cooperation between China and Africa.
While Sorour said African countries and China should discuss how to raise women's
status through social and political reform, and only real reform can prevent women's
development from falling into empty talk.
Ethnic issues
• Chinese wish for national unity, reunification in festive parade(1st October)
Chinese people expressed their desire for national unity and reunification Thursday
morning in a mass procession celebrating the 60th founding anniversary of the People's
Republic of China.
Following a grand military parade, the mass procession, in 35 formations with different
themes, began at around 11:20 am in front of the famous Tian'anmen Rostrum at the
heart of Beijing.
About 8,500 people joined the formations unfolding achievements of the country, turning
Tian'anmen Square into a stage for a great show of their floats' catwalk.
A gorgeous float with colossal Chinese characters "tuan jie fen jin", or "March in Unity",
marched from east to west along the Chang'an Avenue, leading the parade into the theme
of national unity.
The 34 floats forming the array "Splendid China" eulogized the great changes in the
country during the past 60 years and expressed the desire for national unity and
reunification of the country.
Decorated with landmarks of the 31 provinces, autonomous regions, municipalities, and
Hong Kong, Macao and Taiwan, the 34 floats focused on economic achievements while
highlighting local characteristics.
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The five floats from the automous regions of Inner Mongolia, Xinjiang Uygur, Ningxia
Hui, Tibet and Guangxi Zhuang offered a distinctive flavor of ethnic minority groups
with dancers dressed in ethnic costumes toeing and heeling it to the music.
It took about 18 days for nine art designers of Han, Uygur, Tajik and Hui ethnic groups to
decorate the Xinjiang float.
"It feels good to draw all the float paints by ourselves," said Arsin, a Tajik ethnic art
designer. "From the bottom of my heart, I hope all brothers and sisters of different ethnic
groups in our country can live together in solidarity and prosperity."
Special floats featuring Hong Kong and Macao special administrative regions highlighted
their city landmarks and their return to the motherland.
China resumed the exercise of sovereignty over Hong Kong in 1997 and Macao in 1999.
The float representing Taiwan drew applause and cheers when it pulled into Tian'anmen
Square.
It featured the Taipei 101 Tower model, colorful local fruits and other landmarks.
"My feelings were mixed," said Lin Cheng Weng, chairman of the Taiwan-based China
Association of Planning. "It took about 60 years for me to turn the black-and-white image
of the mainland in my mind to a color one."
It was the first time for Weng to watch such a parade in the mainland.
"We have the same skin color and the same bloodline, thus let us lay aside our historical
grudge and look forward together," said Weng, who has been engaged in mainlandTaiwan exchanges for 20 years and was among the Taiwan compatriots invited to watch
the parade.
Weng said he wished for a greater unity of the Chinese people across the Taiwan Straits
based on mutual understanding.
The mainland and Taiwan, with a long feud after the civil war 60 years ago, have been
cementing ties in recent years, seeing financial cooperation, disaster relief donations and
exchanges between the Communist Party of China and the Kuomintang and other
political parties on the island, in addition to the breakthroughs in transport links.
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Al-Qaida threatens to attack China(8th October)
A prominent Al-Qaida militant on Wednesday threatened to attack Chinese targets in
"reprisal" for the July 5 riots in Urumqi, capital of the Xinjiang Uygur autonomous
region.
He urged Uygurs in Xinjiang to "make serious preparations" for a "holy war" against the
Chinese government and called on fellow Muslims for support.
Abu Yahya al-Libi, in a video posted on an Islamist website yesterday, called for "a true
return to their (Uygurs) religion and ... serious preparation for jihad in the path of God the
Almighty and to carry weapons ..."
He urged the Muslim world to "support them (the Uygurs) with all they can".
It was not the first time a terrorist group has threatened to attack Chinese targets after the
July 5 riots, in which nearly 200 civilians, most of them Han Chinese, were killed.
In mid-July, Al-Qaida's Algerian-based offshoot, Al-Qaida in the Islamic Maghreb
(AQIM), issued a call for "reprisals".
AQIM pledged to target the 50,000 Chinese workers in Algeria as well as Chinese
projects and workers across northwest Africa, said the London-based international
consultancy Stirling Assynt.
The Chinese embassy in Algeria then issued a statement on its website urging Chinese
organizations and citizens in Algeria to be on alert.
Justin Crump, head of terrorism and country risk with Stirling Assynt, told China Daily:
"Although AQIM appears to be the first arm of Al-Qaida to officially state they will
target Chinese interests, others are likely to follow".
In August, the leader of a group calling itself the Turkistan Islamic Party (TIP) urged
Muslims to attack Chinese interests worldwide.
TIP has claimed violent attacks in the past, including the bombing of two public buses in
Shanghai in May last year.
Environmental front
• Solar panels at National Day parade highlight changes in China's energy use
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Solar panels held by a formation of energy workers at the National Day parade on
Thursday demonstrated China's determination to shift to renewable energy in handling
climate change.
Surrounded by energy workers, a float carrying the sculptures of windmills and oil
reserve containers, as well as a banner reading "Striving to develop clean energy,"
moving past Tian'anmen Square at the magnificent pageant marking New China's 60th
anniversary of founding.
Regional report
North
Politics
•
President Hu calls for further efforts to protect public stability in Beijing
Chinese President Hu Jintao on Wednesday called on police in Beijing to continue efforts
in protecting public stability in the capital city, especially in areas near the Tian'anmen
Square.
Hu, also general secretary of the Communist Party of China (CPC) Central Committee,
made the remarks when meeting with representatives from Beijing's special police forces,
traffic police, and armed police who were stationed in the Tian'anmen Square. The
president noted the police had made outstanding contributions to the success of the
country's National Day celebrations, which included a military parade, a grandiose
pageant and an evening gala in the Tian'anmen Square, by maintaining public order in
Beijing.
The police should further improve their working capabilities as well as their equipment
in order to better protect public stability in Beijing and in areas near the Tian'anmen
Square, he said.
President Hu also took the city's newly completed subway to the Summer Palace in
northwestern Beijing.
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Social front
•
Chinese State Councilor urges university faculty, students to embrace
innovation (October 14)
Chinese State Councilor Liu Yandong on Wednesday called for teaching faculty and
students of a mining university to promote its fine traditions and embrace innovation.
In a meeting with teachers and students of the China University of Mining and
Technology upon its 100th founding anniversary, Liu said the university has made
outstanding contribution in personnel training, scientific research and social services.
She called for efforts to build the university into a world-class institution of higher
learning, deepen its educational reform, embrace innovation in its mode of personnel
training so as to provide support for national development of energy industry and
environmental protection.
She also stressed the importance of make breakthrough in important theories and key
technologies of the mining industry and promotes technologies that are highly energyefficient, have low carbon emission levels and are conducive to the prevention of
accidents.
Efforts should also be made to facilitate the construction of a natural resourcesefficient and environmental friendly society, she said.
•
China urges int'l co-op, dialogue for "green" development
Chinese top political advisor Jia Qinglin Friday called for international cooperation,
shared responsibility and dialogue to promote sustainable development worldwide.
"Green development should be a common cause for the world," said Jia, chairman
of the National Committee of the Chinese People's Political Consultative Conference
(CPPCC) at the opening ceremony of the first Caofeidian Forum held in Tangshan,
northern Hebei Province.
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He suggested that the government of all countries should develop their own roadmap
of green development based on the reality of their countries and adopt effective
policies.
"It is a shared responsibility for the world to improve energy efficiency and reduce
greenhouse gas emission," he said.
He called for developed countries to lead the cause and provide financial and
technical support for developing countries to cope with climate change.
New technologies in energy saving, environmental protection and new energy
application should be widely used, he said. "The international society and
governments of all countries should strive to set up a new mechanism that smoothes
international technological exchange while protecting intellectual rights."
Jia also suggested that the world should explore sustainable development through
dialogue.
"China will stick to the sustainable development," he said. "We will work to build a
resource-saving, environmentally-friendly and innovative country."
The three-day forum was the first permanent international forum themed on the
sustainable development initiated by China. It will be held every two years.
Economic front
• Hydroelectric project (7th October)
Ecuadorian President Rafael Correa on Monday signed a contract with representatives of
China's Sinohydro Corporation to build a $2-billion hydroelectric plant in the country.
The Coca-Codo-Sinclair hydroelectric project, to be built along the Ecuadorian Amazon
River, about 75 km from the capital of Quito, will have a total capacity of 1,500
megawatts and an annual output of 8.8 billion kilowatts. The project will reportedly
create about 4,000 direct jobs and 15,000 indirect jobs.
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Old business street gets a new makeup in Beijing(15th October)
People walk on the renovated Dashilaxijie Street in Dashila, Beijing's old business
district in Qianmen, October 15, 2009. The 323-meter-long traditional business
thoroughfare reopens to customers and tourists after a seven-month preservation project.
•
Automobile numbers could be capped (19th October)
As many as 5.5 million cars will be on Beijing's roads by 2015, although the growth rate
will stabilize in the next five years, a senior local transport official said.
Beijing's car community will hit 4 million by the beginning of next year and will then
grow by an average of 300,000 cars a year, compared to the present rate of 400,000, to
reach 5.5 million in 2015, Liu Xiaoming, director of the Beijing municipal committee of
communications, said.
Liu said the municipal government would not restrict the number of cars on the road at
the moment, but would not rule out doing so in the future.
"But efforts would be made to reduce public needs for cars and restrict their use and
parking through overall traffic planning and related policies," he said.
By next year, Beijing's car community will have grown by 1 million in only two-and-ahalf years. It took cities like Tokyo 12 years to reach that rate of growth.
Authorities have tried to ease persistent traffic jams and reduce emissions with an ongoing car ban in the city, which stops motorists from driving one day every week based
on their license plate number.
They have also attempted to enlarge and enhance the city's public transport system.
Official estimates show public transport would make up to 50 percent of the total
passenger trips in the central urban areas by 2015, while 20 percent of journeys will be
made on bicycles.
Liu said that less reliance on private cars would ensure that vehicle emissions do not
exceed that of 2008, despite increasing vehicles.
But Jia Yuanhua, a transportation professor at Beijing Jiaotong University who is a
proponent for car controls, said the government should control the number of vehicles
since the road resources are limited.
"The government would not restrict the purchase of cars because they need to support the
growth of the industry and increase GDP during the financial crisis," he said.
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"But that is not sustainable and we have to take into consideration the traffic capacity."
Lu Huapu, director of the institute of transportation engineering, Tsinghua University,
also expressed concern over the city's infrastructure capacity.
"The Chinese people like to use their cars frequently once they have one and I really
doubt whether we can support such an enormous need," Lu said.
Northwest
Politics
th
• 108 stand accused in Urumqi riot (9 October)
Accusations have been brought against 108 suspects allegedly involved in the riot in
Urumqi in July, the capital of the Xinjiang Uygur autonomous region, the city's deputy
chief procurator said.
Among accused suspects connected with 55 cases, only 21 suspects involved in six cases
were charged with homicide, arson and robbery and will be prosecuted in the
Intermediate People's Court of Urumqi.
The 21 will be the first batch of riot suspects to stand trial, Liu Bo, the city's deputy chief
procurator, told Xinhua.
"The police and procuratorate have made a lot of effort to collect solid and legitimate
evidence against each suspect allegedly involved in criminal activities in the riot. The
effort includes crime scene investigation, collection and analyzing evidence as well as
identifying victims," Liu said.
"It's a time-consuming task for the police force due to the number of people and the
amount of evidence involved," Liu said. "That's why we have only instituted public
prosecutions against 21 suspects so far, but the procuratorate will speed up the process of
public prosecution for the rest of the suspects."
In response to the July 5 riot, which left 197 people dead and more than 1,600 injured,
local police have so far requested the procuratorate approve the arrests of 575 suspects
thought to have been involved in 366 cases. Among the 575 requests, 430 have been
granted, Liu said.
Police have previously said that 825 people have been detained so far in connection with
the riot.
The procuratorate also published brief details of the first six prosecuted cases, which left
25 people dead. All 21 suspects involved are charged with intentional homicide, which
could lead to death sentences.
In one case, Abdukerim Abduwayit is charged with intentional homicide and arson for
kicking and stabbing five people to death at Tuanjie Road and torching several buildings.
In another case, four suspects, led by Gheni Yusup, were alleged to have beaten five
people to death in four different locations. The group also torched a grain and oil
distribution center, which caused five people who were trapped inside to burn to death.
They are charged with intentional homicide, arson and robbery.
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Liu also cleared the rumor that suspect Han Junbo's wife was brutally killed in the riot
and that was why Han killed one person as revenge.
"Han's wife and three children are safe and sound," said Liu. Han is charged with
intentional homicide.
Police have also confirmed the arrest of the suspect who killed armed police Wan Jingang
during the riot. The suspect was detained on Sept 19 and will be prosecuted as soon as
possible, said Su Yanbing, the vice-chief of Urumqi public security bureau.
Meng Jianzhu, state councilor and public security minister, has urged no leniency in the
punishment of those who took part in the Urumqi riot.
•
China sentences six to death over Xinjiang riot (Urumqi) 15th October
Six people were sentenced Thursday to death for murder and other crimes in three court
cases regarding the deadly July 5 riot in Urumqi, capital of the far western Xinjiang
region.
In the first case, Ahmatjan Moming and Tohti Pazil were given the death penalty while
Ainiwa'er Aikepa'er and Xi'erzhati Maimaititusong were sentenced to death with a twoyear reprieve.
Moming and Pazil were found to have beaten two people to death and were convicted
of murder at the Urumqi Intermediate People's Court, said a statement from the court.
Moming also stole mobile phones and bracelets. Four defendants -- Pazil, Aikepa'er,
Ruzi Imam and Aikebai'er Aishan -- with others set fire to and smashed more than 40
cars in a dealer shop, incurring losses of 1.6 million yuan (234,400 U.S. dollars), the
court found.
Ruzi Imam, Tusongjiang Maimaiti and Tu'ersong Abulizi were sentenced to life
imprisonment for their involvement in attacks on members of the public and setting fire
to and smashing private property.
The statement said the remaining four of the 11 in the case were given jail terms
ranging from five to 18 years for arson and assaulting people with stones, bricks and
clubs.
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In the second case, Aizezijiang Yasin was sentenced to death with a two-year reprieve
on a charge of murder after he was found guilty of beating an innocent person to death
with others and stealing a mobile phone.
Yasin was given the lesser punishment as his confession helped uncover the criminal
case, the statement said.
In the third case, Han Junbo and Liu Bo were found guilty of attacking Rouzhahong
Ahmad and Kurban Ahmad "on rumors," the statement said, without elaborating.
Rouzhahong Ahmad died of injuries and Kurban Ahmad was slightly injured after
jumping from a building to escape.
Han was sentenced to death while Liu was jailed for 10 years.
The court also deprived the nine defendants who were given death penalty or jailed for
life of their political rights.
The statement gave no other details of the three cases.
On Monday, six defendants also were given death penalty for murder, arson and
robbery, the first to be sentenced in relation to the July 5 Urumqi riot that left almost 200
dead.
Social front
• Xinjiang to strengthen education on national unity among youth (12th
October)
Xinjiang Uygur Autonomous Region, whose capital suffered a deadly riot three months
ago, plans to enhance education on ethnic solidarity among youngsters, local officials
said here Monday.
New curricula about China's national unity will be added to all primary and middle
schools and universities in the region, said Ashat Kerimbay, chairman of the Regional
Committee of the Chinese People's Political Consultative Conference.
In addition, grassroots cadres are required to pay more attention to people's daily life and
guide people to go out of scare from horrible scenes in the riot, said Kerimbay.
The top political adviser of Xinjiang made the remarks at a Party conference held
Monday to commend 41 organizations and 52 individuals that were conferred awards on
September 29 in Beijing for their role in promoting ethnic harmony.
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A total of 739 organizations and 749 individuals from across the country won awards
from the State Council at a ceremony for major contributions to ethnic harmony.
At Monday's conference, Wang Lequan, secretary of CPC Xinjiang regional committee,
called for implementation of the government decision and concrete measures taken as
soon as possible.
The July riot left 197 people dead and more than 1,600 injured in Urumqi, badly hurt
people's feelings and undermined social stability.
The municipal government of Urumqi decided to exempt taxi drivers from road tolls for
three months beginning from mid-October, a move to compensate their economic losses
from the riot, said Mei Haibo, an officer with the city's passenger transportation
administration office.
More than 7,000 qualified local cab drivers will benefit from the measure, earning 305
yuan ($44.7) more each.
Economic front
Northeast
Southwest
South central
Economic front
• Subway line to traverse Yangtze River in central China(17th October)
China's first subway tunnel traversing the Yangtze River is expected to begin
construction this month in Wuhan, capital of central China's Hubei province, local
officials said Saturday.
The 3,100-meter-long tunnel is located between the country's first bridge on the river, the
Wuhan Yangtze River Bridge, and its first road tunnel beneath the river, officials said.
The subway tunnel is expected to undertake 50 percent of the city's traffic flow across the
river. And it is designed to withstand a 6.0-magnitude earthquake and a flood that occurs
once every 300 years, they said.
The tunnel is part of the city's No 2 metro line with a length of 27.98 km, which is
expected to be completed in 2012.
About 14.9 billion yuan ($2.2 billion) will be invested in the construction of the metro
line, officials said.
The first road tunnel was built in Wuhan, and opened for traffic since last December.
Another two road tunnels under the Yangtze River in Shanghai and Nanjing, captial of
East China's Jiangsu Province, are expected to open for traffic respectively at the end of
this year and in July, 2010.
The 6,300-km-long Yangtze River, which originates in Northwest China's Qinghai
province and flows through 10 provinces and municipalities before emptying into the
East China Sea, is a major transport link between the west and east China. More than 100
bridges across the river are in use.
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Social front
• 15,000 living near lead smelters will be relocated soon(17th October)
About 15,000 residents in 10 villages around lead smelters in Jiyuan, China's biggest lead
smelting base, are going to move away from the threat of lead poisoning, after more than
1,000 children were found to have excessive lead in their blood, officials said yesterday.
Zhao Suping, mayor of the city in central Henan province, said on Friday the mass
relocation would cost 1 billion yuan ($146 million). About 70 percent of the cost will be
paid by the government and the smelters, and the other 30 percent will be funded by local
residents.
The government is now looking for sites for the new settlements, he said.
The health bureau of Jiyuan initiated blood tests for children on Aug 20 in the wake of a
lead poisoning scandal in neighboring Shaanxi province.
The mass lead poisonings in Henan, and earlier this year in Shaanxi, Hunan and Yunnan,
sickened thousands of children. The poisonings shed light once again on the dilemma
facing many parts of China as industrial development poses threats to the environment
and people's health.
• VIP classes halted in Hubei(17th October)
Primary schools in a city of Hubei province that have been offering VIP classes for extra
tuition payments have been ordered to stop the classes and return the tuition, so as to
ensure equal compulsory education for all, officials in the city said.
In Huangshi, an industrial city in central China's Hubei province, many primary schools
had created two kinds of classes for students.
The fee for an "experimental class" is much higher than the cost for an ordinary class.
These experimental classes cost from 4,000 yuan to 14,000 yuan ($2,050), China
National Radio (CNR) reported.
In Zhongshan Primary School and Yanhulu Primary School, experimental classes have
about 20 students, and are equipped with air conditioners, TV sets, water dispensers,
newly painted walls and good-quality desks and chairs. These classes also have the best
teachers, the report said.
The ordinary classes do not have all these luxuries, and they often have as many as 50
students - more than twice the enrollment of the VIP classes.
"Senior officials of Huangshi government have ordered relevant schools to stop
organizing experimental classes immediately," Ding Yuanshi, an official with the city's
Party committee's publicity department, told China Daily yesterday.
Zhongshan Primary School and Yanhulu Primary School were asked yesterday to return
the tuition fee to parents, and school officials are under investigation, he said.
The local education bureau also has organized a special team to crack down on the
"luxury" classes in citywide public primary schools.
China's nine-year compulsory education law, launched in 1986, enables students older
than 6 nationwide to have free education at both primary and secondary schools. The
schools operate with government funds.
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The law stipulates that primary and secondary schools cannot charge students tuition and
incidental expenses, Gao Xuegui, a senior official with basic education department of the
Ministry of Education, was quoted by CNR.
"Primary schools in Huangshi provide better education conditions to students who pay
more, which apparently goes against the compulsory education law," he said.
According to the law, schools should ensure students' equal access to compulsory
education, and those schools that do not should be punished, he said, without elaborating
how the schools' officials would be punished.
"What the schools did with the VIP classes is improper and might hinder some children's
growth," Zhao Guanghua, an expert with the education administration branch of the
Chinese Association of Education, told China Daily yesterday.
Environmental front
• Drought leaves 250 ships stranded in south China
Ships are seen stranded at a section of Bei Jiang (North River) in Qingyuan, in south
China's Guangdong province, October 15, 2009. The local government has organized an
emergency management team to ensure the safety of 250 ships stranded due to the low
water level amid continuous drought, Xinhua reported.
East
Economic front
Shanghai
• Shanghai marks 200-day countdown to World Expo
The itinerant exhibition on history of World Expos came back to Shanghai Tuesday with
new updates to mark the 200-day countdown to the 2010 Expo, which is set to open on
May
1,
2010
in
the
largest
metropolis
of
China.
The exhibition, which made its debut 26 months ago in Shanghai, has been held in 26
provinces, autonomous regions and municipalities across China, attracting over 2.3
million
visitors.
The newly updated exhibition features progress in ongoing preparations for the 2010
Shanghai Expo, including infrastructures being built and services to be provided during
the
impending
six-month
event.
In comparison with the 600-day countdown, Shanghai made remarkable progress towards
a
'better
city'
over
the
past
400
days.
The city has finished a project to modify a total space of more than 48 million square
meters of slope roofs and more than 91 million sq. m of external walls of buildings redecorated.
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During the 400 days, Shanghai increased green plots, including gardens, by 3,582
hectares, 20 percent larger than the plan, 18,700 public parking areas for motor vehicles
and another 143,000 for non-motor vehicles, 172 percent and 372 percent, respectively,
more
than
those
planned.
The removal of illegal facilities is also well under way. Nearly 30,000 illegal ad boards
and 80,000 commercial signs have been removed. A total of 2.8 million sq. m of illegal
structures
have
been
dismantled.
Despite the inconvenience from the construction and removal efforts, a survey conducted
recently by the city government showed 93 percent of 5,700 citizens surveyed thought the
public management and city environment have been improved. About 94.6 percent are
satisfied with the public services in the preparations for the expo and 96.9 percent
thought
it's
beneficial
to
the
civilization
of
the
city.
Approximately 88 percent of 345 environmentally-friendly toilets planned for the expo
have been newly built, and 1,220 toilets were upgraded for the handicapped over the past
three
months.
Bilingual hot-line services have been launched for 47,000 taxi cabs in the city.
So far, 242 countries, regions and organizations have signed contracts to participate in the
Shanghai
Expo.
Construction work has begun on 40 out of the 42 pavilions to be built by participants
themselves, and half of the 42 rented pavilions have handed over to participants.
Construction on 3 of the 11 joint pavilions have finished. All the construction work will
be completed by the end of this year.
Social front:
• Seniors' home must move, govt says(17th October)
Nearly 300 senior citizens face an uncertain future after government officials mandated
that their home will be relocated within a month, apparently to make way for a property
development.
Zhang Minsheng, director of Shanghai Minsheng Home for the Elderly, told China Daily
that Zhabei district government officials told him on Friday afternoon the home must be
relocated.
He said officials told him the order was based on a court ruling that said Zhang's lease
was invalid and that the government plans to use the land for development.
"I was told, if we relocate within one month, we will be compensated with 6 million yuan
($882,000). Otherwise, they will force the relocation of the home and we have to pay all
the relocation fees," he said.
Zhang fears that the 6 million yuan compensation will be insufficient to rent another
building. Typically, buildings of the size needed in that area rent for around 33 million
yuan for 15 years, said Zhang.
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Zhang believed his lease was valid for 15 more years. It was signed in 1993 at 40,000
yuan a year with a 10 percent increase every three years.
According to the verdict from the district court, the land that the building is on is
collectively owned by local villagers and should not have been rented out in the first
place. Therefore, the contract is illegal.
Two local government-run companies, Tangnan Warehouse Company Ltd and Tangnan
Industry Company, now own the land and will compensate Zhang, the verdict said.
Du Yueping, a lawyer who has helped deal with property disputes for 20 years, said the
rental agreement is likely illegal, just as the court ruled.
"According to Chinese law, a lease cannot be longer than 20 years," he said.
"But the compensation should be at least close to the market price."
Hu Changchun, deputy director of the district justice bureau, is in charge of the relocation
talks. He confirmed that talks were ongoing but declined to give details.
Calls to the publicity department of the local government were not answered.
According to a notice on Zhabei district's official website, the home for the elderly is part
of a 75,400 sq m parcel slated for development. No further details were offered.
By Friday, the two buildings comprising the seniors home were the only units left
standing in the area.
Apartments in the north of Shanghai sell for between 18,000 yuan and 20,000 yuan per sq
m.
Dao Shuqin, 53, whose 93-year-old mother lives at the home, wishes she could be left
alone.
"We all work and she is paralyzed and needs care all the time," she said. "She came here
three years ago and has finally adapted to the place. I don't think she will be able to adapt
to another change because she is so old and weak."
Dao said people started to scramble to find new homes after the village government
provided residents with a list of alternate retirement facilities.
"But they are all expensive and many of them don't take old people who are so sick and
in need of 24-hour care," said Dao.
By the end of last year, Shanghai had 3 million people aged 60 or older, accounting for
more than 20 percent of the city's population.
•
11th Chinese National Games opens in Jinan(16th October)
One year after the hosting of the exceptional Beijing Olympic Games, the 11th National
Games, billed as China's mini-Olympics, opened amid a splendid ceremony here Friday
evening.
Chinese President Hu Jintao officially opened the Games at the ceremony held in the
newly built Olympic Sports Complex in this capital city of east China's Shandong
province. With 55 of all 63 Chinese Beijing Olympic champions expected to compete,
the quadrennial national meet is set to stage another sports gala for the country which just
celebrated its 60th birthday.
Among those present at the ceremony are President of International Olympic
Committee (IOC) Jacques Rogge, who was re-elected at the 121st IOC Session held in
Copenhagen just one week ago, and a dozen of IOC members.
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When addressing the full capacity of 60,000 at the ceremony, Liu Peng, directorgeneral of State General Administration of Sports and President of the Organizing
Committee of the 11th National Games, said a successful staging of the National Games
will be a perfect gift dedicated to the country's 60th birthday.
"The National Games has contributed a lot to the development of Chinese sport in the
past 50 years. We must build on what we have achieved since the Beijing Olympics,
make our country much stronger in sport and promote the national fitness program as
well," Liu added.
• Industrial salt in food poisons 26 in Shanghai(18th October)
Shanghai authorities said Sunday that they found industrial salt in food that sickened 26
people at a local delicatessen. One of the poisoned patients died in the Pudong District
People's Hospital and 10 were still receiving treatment there. Those with light symptoms
have left hospital, according to a health department official in Pudong District, on
Saturday.
The patients were diagnosed with nitrite poisoning, according to the hospital.
The people showed symptoms of nausea, vomiting and rapid heartbeat, after eating food
at "Zhibin Delicatessen" in Pudong.
The local administration for industry and commerce has shut down the shop, which was
found to operate without valid business license, and confiscated more than 26 kg of
processed food and processing facilities.
The administration said that they will send the food sample for further test, and traced the
sales links that sold the industrial salt to the food shop.
The owner of the delicatessen has been detained by police
HONGKONG AND MACAU
Politics
• Hong Kong celebrates national anniversary(2nd October)
It started out looking much like any other day in Hong Kong, except that the city that
usually sleeps late is sleeping later, because it's a holiday. Another thing that was
different was all the colored banners rippling in the morning breeze.
There were already thousands of early birds in Golden Bauhinia Square at 8 am, who
came to watch the flag-raising ceremony, joining in celebration of the 60th birthday of
the People's Republic of China.
"I was born on October 1, 1949, the founding day of our motherland. I am very proud
that I am celebrating my birthday with our country all along, and I regard the national
anthem my birthday song as well," a woman in the crowd said.
Some students from the mainland came to watch. They're in Hong Kong taking part in
some cultural exchange programs. To them Hong Kong's observance of National Day had
a Western flavor.
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"It's my third day in Hong Kong, and I love the city. I've been to the flag-raising
ceremony in Beijing. The ceremony in Hong Kong is so different. It's a bit westernized,
just like the city itself," a student said.
One spectator brought his 5-year-old son. The boy would not understand the meaning of
the ceremony, but the dad wanted him to see it anyway. Father and son were going to
witness something important this day, the raise of the flag.
Brian Frier, a physician professor from the UK, said he was in Hong Kong for a
conference and deliberately got up early to attend the flag-raising ceremony yesterday
morning.
"It is very impressive. The ceremony is well-organized and people seem enthusiastic
about it. China developed rather quickly these years. After the handover, Hong Kong
remains the present system and it works very well," said Frier.
Some of the plasma TV screens in Causeway Bay were not showing the live broadcast of
the 60th anniversary celebrations in Tian'anmen Square, starting at 10 am. Grumbling
about that, the spectators moved on to find a screen that was carrying the live broadcast.
Then they stood rooted in place, joining millions upon millions all over China watching
the spectacular show.
Luo Yanzhen, a woman who was a naval officer in the South China Sea Fleet back in the
1950s and 1960s, said that the parade brought back a lot of memories from half a century
ago.
"It's hard to describe the feelings that arose when watching the magnificent procession. I
was a soldier but never got the chance to march in the National Day parade. But I don't
want to miss the chances to watch the parade," she said.
"The past can not be compared with the present," she sighed as she watched the men and
women in their naval uniforms passing by.
Miniature flags were given out and spectators waved them at the big screen. Tourists
from overseas joined the crowd. Shannon Kerry and Robert Hart are from the US, with
their two kids settled down in Hong Kong just a few months ago. Attracted by the
military parade, they stopped to watch the ceremony in front of the big plasma screen.
"The parade is amazing! I've never seen this before in the States," said Kerry.
Crowds started gathering around Victoria Harbor at noon hours before the annual
fireworks display at 8 pm. Families, couples, and groups of friends crowded tightly along
both shores, waiting to be dazzled by the explosions and the galaxy at lights that lit up the
night sky. The 23-minute fireworks show to the accompaniment of familiar background
music seemed to ignite a passion in everyone. At the finale, the characters "China Sixty"
were illuminated sixty times, evoking exclamations of joy among the spectators.
One woman recalled the uncertainties she felt back in 1997 when the handover took
place.
"We had doubts about life after 1997 at the beginning. Luckily the doubts proved to be
wrong. Hong Kong is still a free and developed society. Beijing has always been very
supportive of Hong Kong when we were in trouble. I believe the mainland will always
back Hong Kong," she said.
•
HK chief delivers 2009-10 policy address (14th October)
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217
Hong Kong Special Administrative Region (HKSAR) Chief Executive Donald Tsang
delivered on Wednesday a policy address at the Legislative Council, outlining the policy
direction in the coming year. In the annual policy address titled "Breaking New Ground
Together," Tsang said Hong Kong was hit hard by the global financial turmoil and the
economic downturn but the Hong Kong people "has done a great job in keeping the ship
afloat."
"I am confident that, for the rest of the year, our economy will improve further and
gradually recover," he said.
Hong Kong, one of the world's freest economy, recorded sharp declines in its GDP and
external trade during the downturn. The economy reversed four quarters of contraction in
the second quarter to record a quarter-on-quarter growth of 3.3 percent, boosted by
forceful stimulus measures and benefiting from the strength of the mainland economy.
Tsang said challenges remained ahead for Hong Kong to maintain its status as a global
financial center and increase its competitiveness as a trade center.
"Hong Kong must constantly enhance its competitiveness and continue to evolve into a
high value-added, knowledge-based economy to maintain its leading edge over global
competitors and create more quality jobs," he said.
Tsang outlined plans to promote the innovation and knowledge-based industries,
including the six industries recommended earlier by a task force, such as education
services, medical services, testing and certification, environmental industries, innovation
and technology, and cultural and creative industries.
Tsang said the innovation and knowledge-based industries also included the traditional
pillar industries such as financial services, tourism, trading and logistics, and professional
services.
"In order to sustain their development, we must try every means to enhance the flow of
people, goods, capital and information that are related to the four pillar industries," he
said.
Economic front
• Macao eyes curbs on its booming gambling industry
Macao may curb the growth of its booming casino industry with limits on the number of
gambling tables and other restrictions, the government said.
The southern Chinese city's government met Monday with executives of six casino
operators, including the local units of Las Vegas Sands and Wynn Resorts, to discuss a
review of the industry, according to a government statement.
The companies all agreed the city's gambling sector shouldn't expand unlimitedly, the
statement said.
The government said it would examine the local industry's scale, including the number of
gambling tables, as well as move to bar slot machines from residential areas and raise the
age limit to enter casinos from 18 to 21.
Macao has boomed in recent years, surpassing the Las Vegas Strip as the world's more
lucrative gambling market.
Growth fell with the onset of the economic crisis, but recovered thanks to a robust
Chinese economy and the relaxing of visa restrictions on Chinese mainland tourists.
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Macao's growth has helped provide a cushion for Las Vegas Sands and Wynn at a time
when the US gambling market is down sharply. In August, the enclave had its best month
ever, raking in almost 11.4 billion patacas ($1.4 billion).
• HK to enhance competitiveness as global financial center(14th October)
Hong Kong Special Administrative Region (HKSAR) Chief Executive Donald Tsang on
Wednesday pledged to take a series of measures to enhance Hong Kong's
competitiveness as a global financial center.
"We should fully grasp the opportunities presented by 'One Country, Two Systems'," said
Tsang when delivering his annual policy address at the Legislative Council.
"We will continue to develop Hong Kong as a global financial center, asset management
center and offshore RMB business center attracting capital and talent from within and
outside the country," he said.
In the process, Hong Kong will endeavor to meet the overall development needs of the
country and achieve a win-win situation, and contribute to the country's financial
security.
As a prime global financial center in the Asian time zone, Hong Kong enjoys many
advantages, including a highly open and internationalized market, a regulatory regime
aligned with major overseas markets, the rule of law, and the free flow of information
and capital.
Tsang said that the Financial Secretary of the HKSAR government will formulate
specific plans along the following direction:
-- To build on Hong Kong's strength as an international market and enhance the quality
and competitiveness of its market to attract international talent, capital, financial
institutions and products;
--To strengthen Hong Kong's role as the testing ground for the liberalization of China's
capital account and the regionalisation and internationalization of the RMB, and to build
a market offering a broad range of RMB products and services;
--To leverage on the "early and pilot implementation" policy to enhance the two-way
flow of financial institutions, financial products, capital and talent between Hong Kong
and the Pearl River Delta (PRD) region;
-- To serve as Mainland enterprises' preferred capital raising center outside the Mainland,
providing equity listing, bond issuance, international asset management and hedging
services. In this regard, Hong Kong can act as the bridgehead for Mainland enterprises to
go international; and
--To strengthen the links between the Mainland and Hong Kong financial markets in the
areas of financial market infrastructure, information sharing, and regulatory co-operation
to enhance the financial security of cross-border capital flows.
Social front
•
HK report 28th death of A(H1N1) flu (5th October)
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A 52-year-old man who tested positive for the A (H1N1) influenza died Sunday in Hong
Kong, bringing the death toll of the disease in the city to 28, Hong Kong's Hospital
Authority announced Monday. The man, who was diagnosed with diabetes mellitus and
hypertension, developed flu symptoms on September 25 and attended the Accident and
Emergency Department of Kwong Wah Hospital on September 29. The patient was
admitted for clinical treatment.
Positive result of HSI was confirmed on the same day and he was prescribed with
Tamiflu and antibiotics.
The condition of the patient deteriorated on September 30 and he died Sunday.
The case has been reported to the Hospital Authority Head Office and the Centre for
Health Protection.
• HK to enhance regional education hub status: CE(14th October)
Authorities will enhance Hong Kong's status as a regional education hub, Hong Kong
Special Administrative Region (HKSAR) Chief Executive Donald Tsang said in the
policy address on Wednesday. "Our objective is to enhance Hong Kong's status as a
regional education hub," he said, adding that efforts will be made to further boost Hong
Kong's competitiveness and complement the future development of the Chinese
mainland.
Tsang noted that developing Hong Kong's education services will bolster the pluralistic,
international and professional outlook of Hong Kong, and make the best use of social
resources in the non-government sector to provide more opportunities for local students
to pursue degree education.
In recent years, the HKSAR government has introduced a series of measures to
internationalize local schools and institutions. The number of non-local students in Hong
Kong reached 9,200 in the 2008-09 school year, representing a rise of 16 percent over the
previous year.
The education authority will explore the possibility of allowing Chinese mainland's
senior secondary students to study in Hong Kong. They may be allowed to take shortterm courses offered by Hong Kong's degree-awarding tertiary institutions, or pursue
senior secondary education at non-public schools in Hong Kong.
Apart from targeting Chinese Mainland students, the local education authority will also
encourage local higher education institutions to step up exchange and promotion in Asia.
The government also considers that the self-financing higher education sector has room
for further expansion and is an important component of education services. At present,
there are three self-financing degree-awarding tertiary institutions in Hong Kong,
providing some 9,000 places in total.
CHINA REPORT # 2
Outline
National report:
Political front
• CPC, KMT signal goodwill as Ma takes chairmanship(18th October)
BPM- Zone 1- Asia Reports
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220
•
Election Law to be amended next week (19th october)
•
Taiwan leader won't rule out Hu meeting(20th October)
•
Hijacked Chinese bulk carrier heading northwest (20th October)
•
EU naval force says Chinese hostages taken by Somali pirates seem to be
•
•
fine(20th october
China voices opposition to Dalai Lama's visit to so-called "Arunachal Pradesh"
(20th October)
China vows to save crew held by Somali pirates(21st October)
Foreign relations
•
Chinese vice president arrives in Bucharest to start visit to Romania(18th October)
•
Chinese vice president puts forward four-point proposal to further China-Romania
ties(19th October)
•
Trade between China, Russia down 34.9% in first nine months(20th October)
•
Chinese vice president meets leaders of Romanian parliament(20th October)
•
Chinese vice president back to Beijing after European visit (21ST October)
•
China looking to use stake in PoK as bargaining chip?(21st October)
•
US envoy on DPRK sanction visits Beijing(21st October)
•
Chinese, U.S. presidents in phone link on ties, climate change(21st October)
•
Economic front
•
Follow-up Supply to Determine Growth Potential for Chinese Real
Estate Companies (18th October)
•
Cooperation to help lure tourists back(19th October)
•
Chinese airline set to fly in by year-end (19th October)
•
China's economic recovery to pick up momentum in 2010(19th
October)
•
The Three Gorges Project Months From Completion (19th October)
•
China to Comply with WTO Auto Parts Ruling(19th October)
•
China's GDP growth to top 7% in first three quarters(19th October)
•
ADB grants $500,000 for China's rural pension system (20th
October)
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•
221
BOC Vice-President Zhu Min leaves post for job change(20th
October)
•
China's larger IMF role poses questions(20th October)
•
SOEs see Jan-Sept profits down 17.6%(20th October)
•
Hanlong Mining invests $200m in Australian firm(20th October)
•
Promotion of Shanghai World Expo 2010 held in New York(20th
October)
•
Construction of Taipei pavilion for Shanghai Expo to start next
month (20th October)
•
China's water aircraft to take off in 2013 (20th October)
•
China's automotive output hits 10 mln mark(20th October)
•
China Rare Earth, Siemens to set up joint venture (20th October)
•
Baidu, China Unicom in wireless search pact(20th October)
•
China Mobile Q3 net increases 2.6%(21st October)
•
Chinese shares down 0.17 pct at midday(21st October)
•
Copper vaults to new high(21st October)
•
Equities soar on robust indicators(21st October)
•
Experts beware Yuan rise as hot money risk brews(21st October)
•
FACTBOX: China's investment in ASEAN countries(21st October)
•
Gold producer eyes fresh overseas deals(21st October)
•
Allianz, Amex retain ICBC stake(21st October)
•
Auto industry drives past major milestone(21st October)
•
Central govt T-bonds see triple subscription in Hong Kong(21st
October)
•
China's first 'overseas' bond attracts strong demand(21ST October)
•
Trade fair sends strong signal of export upturn(21st October)
•
Minsheng sees Jan-Sept net profit up 18%(21st October)
•
China to scrutinize state-owned firms' hedging deals(21st October)
•
New-type explosive detectors used for Shanghai World Expo(22nd
October)
BPM- Zone 1- Asia Reports
Week # 89-90
Social front
•
President, premier stress energy resource tech education(18th
October)
'Experience China in Israel' cultural event kicks off (18th October)
•
Surge in returning Chinese experts(19th October)
•
Relic hunters descend on US, European museums (19th October)
•
China, EU focus on social security schemes (19th October)
•
•
PRC 60th anniversary film becomes best seller(19TH October)
Second wave of H1N1 infections hits China(20th October)
•
•
A Copyright Complaint From China(21st october)
Chinglish to get the axe in Shanghai for World Expo (23rd october)
•
Ethnic front
•
China "dissatisfied" with Uygur separatist's Japan visit(20th October)
Environmental front
•
222
Experts map out low carbon city strategy(20th October)
Regional report
North
Politics
Social front
Economic front
•
World's top urban planners envision new Beijing CBD (19th
October)
Northwest
Politics
Social front
Economic front
• Xinjiang imports coal from Mongolia (21st October)
BPM- Zone 1- Asia Reports
Week # 89-90
223
Northeast
Politics
Social front
Economic front
Southwest
Politics
Social front
•
China courts sentence six to death over organized crimes(21st October)
Economic front
South central
Politics
Social front
• China jails 8 for protests over mystery death(18th October)
• China's biggest ever lottery win shrouded by mystery, suspicion(20th October)
• Chinese city holds trade fair in Vietnam(20th October)
• Stunt keeps 91-year-old man young(20th October)
Economic front
Environmental front
East
Politics
• President Hu makes inspection tour in Shandong Province(19th October)
Social front
Economic front
•
Chinese president stresses development of renewable energy(19th
October)
•
China's Minsheng net profit up 18% in first 9 months (20th
October)
HONGKONG AND MACAU
Politics
Social front
• 1,000-m-long painting kicks off HK wetland events(18th October)
• Macao kicks off music festival with gala concert
Economic front
• Hong Kong stocks close higher(20th October)
BPM- Zone 1- Asia Reports
Week # 89-90
•
•
•
224
HK's total export volume down 14.1% on year in August(20th October)
HK unemployment rate records first drop(20th October)
Minsheng bank to be listed in HK within 2009(23rd October)
NATIONAL REPORT
Political front
• CPC, KMT signal goodwill as Ma takes chairmanship(18th October)
The Communist Party of China (CPC) and Kuomintang (KMT) both expressed wish to
promote cross-Strait trust and common understanding as Ma Ying-jeou took the position
as the KMT chairman on Saturday.
The CPC Central Committee Saturday congratulated the Kuomintang(KMT) on the
convocation of its18th congress, expecting the two parties to deepen mutual trust,
increase exchanges and expand common understanding.
In a reply, the KMT Central Committee said they will work with the CPC for improving
trust and mutual benefits, in a bid to improve the welfare of people on both sides.
BPM- Zone 1- Asia Reports
Week # 89-90
225
At the congress, the KMT again included the "common aspirations and prospects for
peace and development across the Taiwan Strait, "reached between the CPC and KMT in
2005, in its political guideline.
Wu Yongping, deputy director of the Institute of Taiwan Studies, Tsinghua University,
told Xinhua that this gave a positive signal that the KMT pledged again to further
development of cross-Strait relations , which is helpful for further dialogues between the
CPC and the KMT.
At the congress, Ma appointed Lien Chan and Wu Poh-hsiung as KMT honorary
chairmen. They would assist Ma on cross-Strait affairs and external exchanges, according
to Ma.
Hu Jintao, general secretary of the CPC Central Committee, congratulated Lien Chan on
continuing to be KMT honorary chairman and Wu Poh-hsiung on taking the position as
honorary chairman.
The two responded with commitments to peaceful development of cross-Strait relations.
Lien said in a statement that since the two sides resumed systematic talks based on the
1992 Consensus, peace and stability across the Strait have been greatly enhanced and
people's welfare improved.
"We should work even harder to consolidate the five-point common aspirations and
prospects," Lien said.
Wu also noted that the two parties should work together for peace and development with
"sincerity and goodwill."
Zhu Weidong, deputy director fo the Institute of Taiwan Studies, Chinese Academy of
Social Sciences, said, "Through the congress, we can see the KMT will not change its
stance on easing cross-Strait relations, promoting exchanges with the CPC and carrying
on the platform between the two parties."
•
Election Law to be amended next week (19th october)
China's top legislature, the National People’s Congress Standing Committee, will
consider amending China's Election Law at a bi-monthly legislative session from Oct 2731.The amendment is expected to grant equal election rights to people in the rural and
BPM- Zone 1- Asia Reports
Week # 89-90
226
urban areas.The session will also conduct the third review of the draft amendment of the
State Compensation Law.
•
Taiwan leader won't rule out Hu meeting(20th October)
Taiwan leader Ma Ying-jeou said Monday he will not rule out meeting mainland leaders
such as Communist Party of China chief Hu Jintao. "I won't exclude that possibility, but
there's no timetable for that yet," Ma said when asked if he would meet Hu. "At the
moment, we have our hands full with economic issues."
Ma, 59, became chairman of the ruling Kuomintang over the weekend.
Hu previously met Ma's two predecessors, Lien Chan and Wu Poh-hsiung, a major sign
of closer ties across the Taiwan Straits.
Analysts said the most appropriate time could be 2012 or 2013, if Ma gets re-elected.
"There is a lot of uncertainty as to when leaders on both sides can meet. I would say the
best time is in 2012 if Ma gets re-elected," said Lin Cheng-yi, research fellow at the
Academia Sinica's Institute of European and American Studies.
"It looks like cross-Straits relations are the most important of Ma policies," Lin said.
Despite political differences, commercial ties have flourished. The mainland is Taiwan's
largest trading partner with two-way trade worth more than $130 billion, while Taiwan
businesses have poured more than $100 billion into the mainland.
Taiwan's economy has begun depending so much on the mainland that some Taiwan
politicians and analysts worry the mainland could take over the island through economic
means.
Ma said the island needs to diversify its exports to stay competitive and he forecast 4
percent economic growth next year. He also said the island expects to sign a deal similar
to a free trade agreement with the mainland next year that would cut tariffs.
Ma hopes more of the exports to the mainland will be sold in the domestic market,
instead of being re-exported to economies such as the United States and Europe, which
have been harder hit by the steep global downturn.
"It's not possible for us to change the economy based on exports, but we could diversify
the export market, not focusing entirely on the United States or Europe," Ma said.
He said Taiwan will no longer treat the mainland as a factory, but rather as a market.
•
Hijacked Chinese bulk carrier heading northwest (20th October)
BPM- Zone 1- Asia Reports
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227
The seajacked Chinese bulk carrier DE XIN HAI is heading northwest and is now 650
nautical miles off the east coast of Somalia, the EU anti-piracy military organization EU
NAVFOR said on Tuesday.
Daniel Auwermann, an official of the organization's media center, said the ship is
expected to head toward pirate strongholds based in Somalia.
The pirates are likely to contact the owner of the ship after they arrived in Somalia and
obtained supply, Auwermann said.
The ship, carrying about 76,000 tonnes of coal from South Africa to India, was
hijacked in the Indian Ocean on Monday, 350 nautical miles northeast of the Seychelles
and 700 nautical miles off the east coast of Somalia.
British media reported that pirates threatened on Tuesday to kill the 25 Chinese crew
members on board if any rescue operation was attempted.
•
EU naval force says Chinese hostages taken by Somali pirates seem to be
fine(20th October)
Spokesman of the European Union (EU)naval force John Harbour confirmed on Monday
that 25 Chinese people were taken hostages by Somali pirates in the Indian Ocean and
they seem to be fine.
Harbour said "the total number held hostages along Somali coastis 146. I can confirm
on board the carrier, there are 25 Chinese personnel."
He said: "I know that the UK Maritime Trade Office has spoken to the owner of the
ship, to confirm the figure and they are trying to get in touch with the pirates, at the
moment to see what their next intentions are. As far as I am aware the ship is heading to
the northwest, which would be towards the Somali coast."
Harbour said they send a helicopter to investigate the event. It has detected the bulk
carrier and has taken photographs that "there were a number of other people seeing on the
dock, and these were clearly crew and they seem to be fine."
A bulk carrier "De Xin Hai" from China was hijacked in the Indian Ocean around noon
local time, the EU anti-piracy military organization EU NAVFOR said in a statement on
Monday.
EU NAVFOE said in a statement that the ship was hijacked 550 nautical miles North
East of the Seychelles and 700 nautical miles off the East coast of Somalia.
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228
"On indication of an attack an EU NAVFOR Maritime Patrol Aircraft, operating from
the Seychelles was launched to investigate the incident," the statement said.
The aircraft located the ship and has reported that there are four pirates visible and 2
small pirate craft being towed by the ship.
The statement also said that the bulk carrier was not registered with the Maritime
Security Center Horn of Africa.
•
China voices opposition to Dalai Lama's visit to so-called "Arunachal Pradesh"
(20th October)
China was firmly opposed to the Dalai Lama's visit to the so-called "Arunachal Pradesh",
a Foreign Ministry spokesman said here on Tuesday.
China was gravely concerned with reports on the Dalai Lama's visit to the region, Ma
Zhaoxu told a regular news briefing.
"We believe that this further exposes the Dalai Lama clique's anti-China and separatist
nature," said Ma.
He reiterated that China's stance on the so-called "Arunachal Pradesh" was consistent
and China firmly opposed the Dalai Lama's visit to the region.
•
China vows to save crew held by Somali pirates(21st October)
China said on Tuesday it will "make every effort" to free the crew of a cargo ship held by
Somali pirates in the Indian Ocean, something experts said will be best done through
bargaining and diplomatic efforts.
The De Xin Hai ship and its 25-member crew was carrying about 76,000 tons of coal on
its way from South Africa to the port of Mundra, in Gujarat, India, when it was seized by
pirates about 700 nautical miles off the Somali coastline on Monday.
It was the first time a Chinese ship had fallen into the hands of pirates in the Indian
Ocean.
The hijacking happened about 1,000 nautical miles away from a fleet of Chinese
warships escorting merchant vessels through the waters.
Foreign Ministry spokesman Ma Zhaoxu said Tuesday the government had launched an
"emergency response procedure" in the wake of the hijacking and instructed Chinese
embassies and consulates to gather and review information about the incident.
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229
It has also issued warnings to Chinese ships to stay away from the area.
Ma said China will "watch closely developments and make every effort to rescue the
crew and carrier".
On Monday, the European Union's counter-piracy force said an EU maritime patrol
aircraft had located the vessel and counted at least four pirates on the deck. The ship is
now heading northwest and is now 650 nautical miles off the east coast of Somalia.
Daniel Auwermann, an official of the organization's media center, said the ship is
expected to head toward pirate strongholds based in Somalia.
China's Central Television reported that phone calls the ship owner made to the ship and
faxes were not responded to.
The pirates are likely to contact the owner of the ship after they arrived in Somalia and
obtained supply, Auwermann said.
Experts estimate that a reponse from the hijackers will probably come in two days' time
when the pirates have taken the ship to a place where they fell in control.
China's maritime safety administration said it was coordinating with international
maritime agencies to send the escorting fleet into the region to be ready to mount a rescue
operation.
The company that owns the De Xin Hai, which is based in eastern Shandong province,
said on Tuesday it had notified the relatives of the 25 crew about the hijacking.
Twenty-two members of the crew were from Shandong and the other three were from
Liaoning, Hebei and Jiangsu provinces, a company spokesman told Xinhua.
The last time a Chinese ship was attacked by pirates was in December. So far, no
casualties have been reported from the latest incident.
The pirates threatened Tuesday to execute the 25 Chinese crew members if a rescue
operation was mounted.
"We tell China not to endanger the lives of their people with any rescue operation,"
Hassan, an associate of the gang, told Reuters by phone from the pirate stronghold
Haradheere.
De Xin Hai could be brought to Haradheere, or Hobyo, both in the central portion of
Somalia's coastline, Reuters was told.
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Foreign relations
•
Chinese vice president arrives in Bucharest to start visit to Romania(18th October)
Chinese Vice President Xi Jinping arrived here on Sunday to start his official visit to
Romania after he concluded a visit to Hungary.
In a written statement upon his arrival at the airport, Xi said China and Romania have
enjoyed long-term friendship, and they have enhanced political trust, cooperation in
various areas, and coordination in dealing with international affairs since they forged
diplomatic ties six decades ago.
Noting that the Chinese government values relations with Romania, Xi said his visit
was to cement traditional friendship and reciprocal cooperation by taking the chance of
60th anniversary of bilateral ties.
"I expect to exchange views with the Hungarian leaders on bilateral relations and
international and regional issues of common concern," he said.
He also voiced his belief that the visit would promote traditional friendship and push
forward the comprehensive, friendly and cooperative partnership with Romania.
Romania is the last leg of Xi's five-nation European tour. He already visited Belgium,
Germany, Bulgaria and Hungary.
•
Chinese vice president puts forward four-point proposal to further China-Romania
ties(19th October)
Visiting Chinese Vice President Xi Jinping put forward a four-point proposal to boost
China-Romania relations when meeting with Romanian President Traian Basescu here on
Monday.
The proposal includes maintaining the consistency of high-level exchanges, promoting
economic and trade cooperation, increasing exchanges in the areas of education, science,
culture and health, and enhancing coordination and cooperation on the international
arena.
Xi said the Chinese government encouraged Chinese enterprises to invest in Romania's
infrastructure and explore cooperation opportunities in tourism and agriculture.
Romania is welcome to establish a cultural center in China and participate in the 2010
Shanghai World Expo, he said.
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Romania was the third nation in the world to forge diplomatic ties with the People's
Republic of China following the Soviet Union and Bulgaria.
China-Romania relations have developed steadily over the past six decades despite
drastic changes in the international situation, Xi said.
Chinese President Hu Jintao's visit to Romania in 2004 lifted the bilateral relations to a
comprehensive, friendly and cooperative partnership, he emphasized.
"Looking back at the past 60 years, friendship and cooperation have been the
mainstream of China-Romania ties all the time," said Xi.
He said China-Romania relations were able to stand the test of time because the two
countries had stuck to the principle of mutual respect, equity and mutual benefit, their
leaders viewed and developed the relations from a long-term and strategic perspective,
and the deep-rooted friendship between the two peoples constituted a solid foundation for
friendly cooperation.
For his part, Basescu said Xi's visit, which coincided with the60th anniversary of the
establishment of Romania-China diplomatic relations, attested the Chinese government
and people attaching importance to the development of Romania-China relations.
Under the new circumstances, Romania is ready to enhance relations with China and
expand economic and trade cooperation with China, he said, reiterating that Romania's
president would attend the Shanghai World Expo no matter what political changes could
occur in Romania by that time.
He reaffirmed that Romania would continue to adhere to the one-China policy and
support China's stance on issues relating to Taiwan, Tibet and Xinjiang.
•
Chinese vice president meets leaders of Romanian parliament(20th October)
Visiting Chinese Vice President Xi Jinping on Monday held separate talks with Mircea
Geoana, speaker of Romania's Senate, and Roberta Anastase, speaker of the Chamber of
Deputies of Romania.
During his meeting with Geoana, Xi said the establishment of diplomatic ties between
China and Romania 60 years ago was a milestone in the development of bilateral
relations.
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Despite the changing international situation the two peoples have always respected
each other, treated each other equally and valued each other's interests and concerns
during the past six decades, Xi said.
The history of the friendly exchanges between the two countries in the past 60 years
indicates that the two peoples are reliable all-weather friends and all-around partners, he
said.
Xi said his visit is aimed at taking the 60th anniversary of the establishment of
diplomatic ties between China and Romania as a new starting point to consolidate
friendship, deepen cooperation and push forward China-Romania relations in the next 60
years.
Geoana said that Xi's visit to Romania on the occasion of the 60th anniversary of
Romania-China relations is of great importance and will definitely promote the
development of the all-round friendly cooperative partnership between the two countries
and lift the bilateral ties to a new height.
All Romanian political factions are highly consistent in developing Romania-China
relations and are willing to strengthen the all-round pragmatic cooperation with China, he
said, noting that the Romanian parliament is ready to make contributions in this respect.
During his meeting with Anastase, Xi said China-Romania relations have maintained
steady development since the two countries forged diplomatic ties 60 years ago.
China highly appreciates Romania's support on major issues relating to Taiwan, Tibet
and Xinjiang which concerns China's sovereignty and territorial integrity, he said.
The recent years have witnessed frequent exchanges of high-level visits, growing
political mutual trust, fruitful economic and trade cooperation, and various cultural and
educational exchanges, he added.
China highly values the bilateral friendly relations with Romania and expects to work
with Romania to expand their pragmatic cooperation and push the bilateral ties to a new
height, Xi said.
Anastase said that the past 60 years have seen frequent exchanges between the two
countries' parliaments.
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233
The Romanian parliament hopes to further strengthen exchanges with China's National
People's Congress and is ready to help promote economic and trade cooperation between
the two countries, she said.
Both Geoana and Anastase reaffirmed that the Romanian parliament would never
change its stand on the one-China policy.
The Chinese vice president arrived here on Sunday on an official visit to Romania,
which was the last leg of his five-nation European tour.
•
Trade between China, Russia down 34.9% in first nine months(20th October)
Trade between China and Russia in the first three quarters topped $28.04 billion, down
34.9 percent from the same period last year, said a report from the General
Administration of Customs of China Monday.
Chinese exports to Russia in the first nine months stood at $12.01 billion, down 48.9
percent year-on-year, and imports stood at $16.03 billion, down 17.9 percent year-onyear.
Trade between the two countries topped $4.07 billion in September, down 25.8 percent
from the same period last year, but up 19.9 percent from August.
Chinese exports last month stood at $1.77 billion, down 45.6 percent year-on-year, and
imports stood at $2.3 billion, up 3.2 percent year-on-year.
"The month-on-month trade increase in September indicates trade between China and
Russia has finished an adjustment period and is ready for recovery," said Zheng
Yuesheng, director of the administration's Department of Statistics.
Trade between China and Russia topped $56.83 billion in 2008, up 18 percent from the
previous year, according to the administration.
•
Chinese vice president back to Beijing after European visit (21ST October)
Chinese Vice President Xi Jinping concluded his trip to five European nations and
returned to Beijing Wednesday morning.
The fortnight visit had taken Xi to Belgium, Germany, Bulgaria, Hungary and
Romania.
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234
During his stay in Belgium, Xi attended an "Europalia-China" art festival. He was also
present at China's guest of honor events at 2009 Frankfurt Book Fair when he was
visiting Germany.
Xi made the visit at the invitation of Belgian Prime Minister Herman Van Rompuy,
German Chancellor Angela Merkel, Bulgarian Vice President Angel Marin, Hungarian
President Solyom Laszlo and Romanian President Traian Basescu.
•
China looking to use stake in PoK as bargaining chip?(21st October)
The Chinese foreign ministry on Tuesday did nothing to justify its decision to invest in
the Neelam-Jhelum hydroelectric project in Pakistan Occupied Kashmir, which has
drawn
India's
ire.
The Chinese foreign ministry spokesman Ma Zhaoxu evaded a directly reply to questions
on why China was investing in the disputed area. Indications are that China does not want
the issue to come in the way of a smooth dialogue when the foreign ministers of the two
countries
meet
in
Bangalore
on
October
27.
"The Kashmir issue has been left over from history. Pakistan and India should properly
handle it. We hope there will be peace and stability in South Asia," Ma said responding
to a question about India's protest over the proposed Chinese investment.
Ma was asked by another reporter how Chinese investment will help India and Pakistan
to resolve the Kashmir problem. He repeated more or less the same words without trying
to
explain
Beijing's
decision.
The ministry spokesman's refusal to justify a decision taken during the recent meeting
between Chinese president Hu Jintao and Pakistan prime minister Yousuf Raza Gilani
may suggest that Beijing is taking a second look at its move to invest in POK.
India had earlier reacted to the move saying: "The Chinese side is fully aware of India's
position and our concerns about Chinese activities in Pakistan-occupied Kashmir. We
hope that the Chinese side will take a long term view of the India-China relations, and
cease
such
activities
in
areas
illegally
occupied
by
Pakistan."
The issue is expected to come up when Indian foreign minister S.M.Krishna meets his
Chinese counterpart Yang Jiechi on October 27. The Chinese foreign ministry today
confirmed that Yang will attend the trilateral meeting between the foreign ministers of
India, Russia and China in Bangalore. Yang and Krishna will will hold a separate
meeting to exchange views on bilateral ties and regional and international issues of
common
concern,
Ma
said.
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235
China is also putting pressure on India to stop the proposed visit of the Dalai Lama to
Arunachal Pradesh ahead of the forthcoming meeting between the Indian and Chinese
foreign
ministers.
China was firmly opposed to the Dalai Lama's visit to what he described as "the so-called
Arunachal Pradesh". Beijing claims that Arunachal Pradesh is part of its own territory
and
describes
it
as
"South
Tibet".
"We believe that this further exposes the Dalai Lama clique's anti-China and separatist
nature," Ma said. China seems to suggest that Dalai Lama's visit to Arunachal Pradesh
will further the cause of separatists seeking an independent Tibet.
He said India and China have agreed to further advance their strategic cooperative
partnership by holding a series of commemorative activities, including a "country
festival" to mark the 60th anniversary of establishing official diplomatic ties in 2010.
•
US envoy on DPRK sanction visits Beijing(21st October)
A United States envoy charged with sanctions on the Democratic People's Republic of
Korea (DPRK) is visiting Beijing from Monday to Tuesday, a Chinese Foreign Ministry
spokesman said here Tuesday.
"During his stay in Beijing, Philip Goldberg, the U.S. coordinator for United Nation
Security Council Resolution 1874, met with Chinese officials and they exchanged views
on the implementation of the UN resolution," spokesman Ma Zhaoxu told a press
briefing.
The resolution, adopted in June, imposed a broad range of strict financial and trade
sanctions on the DPRK.
Ma said it was in the fundamental interests of all parties to press denuclearization on
the Korean Peninsula, safeguard peace and stability in northeast Asia and resume the sixparty talks.
"China will keep close consultation and contacts with all parties to fulfill the goals,"
Ma said.
•
Chinese, U.S. presidents in phone link on ties, climate change(21st October)
Chinese President Hu Jintao and his U.S. counterpart, Barack Obama, exchanged views
on bilateral ties and climate change during a phone conversation Wednesday morning.
Obama expressed appreciation over China's contribution to the success of the G20
Pittsburgh summit in September, saying that he looked forward to visiting China in
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November and discussing with Hu issues of mutual concern. Looking forward to
exchanging views on their bilateral relations and important regional and international
issues with Obama, Hu said, "China is ready to work with the U.S. side to ensure a
successful visit by President Obama and further promote the positive, cooperative and
comprehensive relationship between the two countries."
On climate change, Hu said the Copenhagen Conference to be held in December would
be an important meeting of the international community in efforts to tackle climate
change.
It conforms to the interests of all parties concerned, including China and the United
States, to strive for a wide consensus and a successful Copenhagen Conference on the
basis of the U.N. Framework Convention on Climate Change and the Kyoto Protocol,
under the principle of "common but differentiated responsibilities" among developed and
developing countries, and in line with the Bali Roadmap, Hu said.
"Although problems remain in talks for a final deal, there are hopes for a positive
result at the Copenhagen Conference as long as the convening parties work together
closely," he said.
It is essential that any result of the conference should embody the basic principles of
the U.N. Framework Convention on Climate Change and the Kyoto Protocol, and lock on
the achievements of the Bali Roadmap, he added.
"With shared challenges and interests in dealing with climate change, cooperation
between China and the United States not only benefits collective global efforts against
the problem, but also is highly significant for the progress of their relations," said the
Chinese president.
China was ready to work with all sides concerned, including the United States, to
enhance coordination and cooperation for a positive result at the Copenhagen
Conference, a better collective fight against climate change and a greater contribution to
sustainable development worldwide, he said.
For his part, Obama said as the Copenhagen Conference is imminent, the United States
is willing to work with all parties concerned to push for achievements of the meeting.
Both the Untied States and China have taken important measures in dealing with climate
change. The two sides should make concerted efforts to push for the adoption of concrete
and meaningful steps in facing up to the challenges of climate change at the Copenhagen
Conference, and to make the conference a success, he said.
•
Chinese VP's Europe tour of great significance: senior diplomat(21st October)
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A senior foreign ministry official on Wednesday described Chinese Vice President Xi
Jinping's visit to five European countries as one that not only promotes country-tocountry relations, but also pushes for cooperation in dealing with the global economic
crisis.
Xi paid a visit to Belgium, Germany, Bulgaria, Hungary and Romania between Oct. 7
and Oct. 21.
Deputy Foreign Minister Zhang Zhijun summed up the significance of the visit to
reporters who went on the trip to Europe.
PROMOTING BILATERAL, SINO-EU RELATIONS FOR STEADY, HEALTHY
DEVELOPMENT
Zhang said that during talks with leaders of the five European countries, Xi reiterated
the willingness and preparedness of the Chinese government and people to further
relations with these five countries on the basis of mutual respect, equal treatment and
non-interference in each other's internal affairs.
Xi exchanged views with these leaders on the status quo and future of bilateral and
Sino-EU relations which China aspires to further develop.
One of the topics raised during Xi's meetings with these leaders was to look further
into the future and see where China and these countries could strike cooperation for
sustainable development.
He also pointed out areas of cooperation that could bring tangible benefits to people
from cooperation in their respective countries.
PROMOTING ECONOMIC COOPERATION IN FACE OF GLOBAL
FINANCIAL CRISIS
Zhang said leaders of the five European nations paid much attention to the measures
China had adopted to fight the global financial crisis and its effects, and spoke highly of
the good momentum of China's economic growth, which would boost global economic
recovery.
During his meetings with political and business leaders of the five countries, Xi
reiterated China's firm opposition against protectionism and its willingness to jointly
tackle the global financial crisis with Europe, calling on countries to strengthen
cooperation and expand trade.
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Xi attended the signing ceremonies of five economic and trade agreements and six
exchange activities with business communities, including economic and trade forums and
symposiums with local entrepreneurs. These indicated a great desire for cooperation
between Chinese and European businesses.
In addition to the five intergovernmental agreements, Chinese entrepreneurs in the
delegation and the business communities of the five European nations signed 93
cooperation agreements and agreements of intent worth 7.4 billion U.S. dollars. These
highlighted the great potential and prospects of mutually beneficial cooperation between
China and Europe.
PROMOTING
CULTURAL
EXCHANGES
TO
ENRICH
CHINA-EU
RELATIONS
Zhang said to encourage cultural exchanges was the highlight of Xi's visit. During his
visit, Xi attended two grand cultural events, the "Europalia- China" art festival in
Belgium and the 2009 Frankfurt Book Fair in Germany.
China, being the guest of honor at the two cultural events, actively participated in the
activities to introduce traditional Chinese culture and China's great cultural achievements
since the founding of the People's Republic of China in 1949, Zhang said.
This was another opportunity for China to showcase the splendid, subtle power of the
Chinese culture following the 2008 Beijing Olympic Games, Zhang added.
Xi's presence at the two events indicated that China attached great importance to
encouraging cultural exchanges, promoting Chinese culture on the world stage and
building soft power, Zhang continued.
While speaking at the opening ceremony of the Frankfurt Book Fair, Xi said China
was willing to take part in international cultural exchanges and to work together for
building a harmonious world of lasting peace and common prosperity.
Building a harmonious world meant enhancing cultural exchanges among countries
across the world and promoting communication among peoples from different cultural
backgrounds, Xi said in the speech.
Cultural exchanges needed mutual understanding, respect, and overcoming biases, Xi
explained, adding that differences between ideologies, social systems and development
models should not become hurdles for cultural exchanges.
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Xi added that China was willing to learn from various cultures and civilizations in the
world while carrying forward the country's own splendid national culture to further
enrich the spirit of the Chinese people.
German media observed that Xi's speech, which won warm applause at the ceremony,
reflected China's self-confidence.
Zhang said Xi, who visited a number of institutes related to Chinese culture and
bilateral cultural exchanges during his trip, also paid much attention to the future
development of China-EU cultural exchanges.
Xi's visit was a great contribution to the development of China-EU relations, bilateral
cultural exchanges and mutual understanding, Zhang concluded.
Economic front
•
Follow-up Supply to Determine Growth Potential for Chinese Real
Estate Companies (18th October)
The "Sales Rankings of Chinese Real Estate Companies for Q3 2009" report released on
October 9 by CRIC (China) Information Technology Co., Ltd. in cooperation with the
China Real Estate Appraisal and Shanghai E-house R&D Institute shows that both the
"No.1"Chinese real estate company in terms of Q3 sales and the "No.1" Chinese real
estate company in terms of other results for the quarter have changed. Privately owned
Chinese developers, best represented by Evergrande Real Estate Group, are posing
challenges for their traditionally advantageous public rivals by rapidly expanding their
market share while the "traditional No.1"Chinese real estate company is faced with great
challenges. Sina Leju was the first media source to announce the release of this report.
What the new rankings reveal is not merely the quantitative growth, said Dr.
Shengping Long, director of China Real Estate Appraisal.
As follow-up supply
determines potential for a company's growth, huge reserves of land that meets market
requirements are expected to give a strong push to real estate developers' growth or even
reshape the Chinese property market.
The CRIC (China) report indicates that with low-priced land reserves of more than 51
million sqm, Evergrande deservedly became China's largest "landlord". Evergrande was
followed by Country Garden Holdings Company Limited, the previous largest Chinese
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"landlord". Country Garden's land reserves were maintained at 43.6 million sqm. Agile
Property ranked third with land reserves of 29.5 million sqm.
The CRIC (China) Research Center believes the capacity of selling fast and high levels
of land reserves at Evergrande, Country Garden and Agile Property will be conducive to
their development, allowing these major real estate companies to enjoy huge potential for
long-term growth.
Analysts note that land reserves are a major measurement for real estate developers.
As one focusing on provincial capitals with the highest potential for growth, Evergrande
entered major Chinese provincial capitals each with a population of at five million plus
and their suburbs early, acquiring a huge amount of cost-effective, quality land reserves.
Currently, Evergrande is conducting property development in 17 Chinese provincial
capitals andmunicipalities across China, including Tianjin, Chongqing, Guangzhou,
Shenyang, Chengdu and Wuhan. In these cities, Evergrande operates 44 projects, or
more than 80 percent of its total number of development projects.
Last year, when its IPO plan was suspended, Evergrande was criticized for its
excessive land reserves. However, value of the huge reserves has now beenrecognized
by the market and these low-priced reserves are making Evergrandethe envy of its rivals
that once again have to scramble for high-priced landat any cost.
In addition, as the Chinese property market has widely recovered since Q22009, real
estate developers across China are aggressively acceleratingdevelopment of new projects.
Among them, Evergrande's floor space underconstruction totals 17 million sqm, the
highest of its kind in China, while Vanke has raised its development target for the fullyear 2009 from 4.03million sqm to 5.85 million sqm, representing a rise of up to 45
percent.
Inthe short term, newly started projects and floor space under
constructionperfectly reflect those real estate companies' short-term growth potential.
Continued increases in newly started projects and floor area underconstruction are
bound to drive up real estate companies' results in the shortrun, and rankings of Chinese
real estate companies for the full year of 2009will be even more worth looking forward
to, Long added.
•
Cooperation to help lure tourists back(19th October)
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Slowly rebounding from a plunge in tourist numbers in the wake of the global economic
crisis and the H1N1 flu, the tourism industries of China and the United States are hoping
that collaboration will bring many happy returns.
Through joint efforts, the two countries can embark on a "win-win" journey because
they are major sources of tourists to each other, Shao Qiwei, head of the China National
Tourism Administration (CNTA), said in an interview with China Daily.
The United States is China's fourth largest tourist source market, and the biggest
among distant countries.
China is forecast to be the world's fourth-largest source of outbound tourists by 2020,
with 100 million Chinese tourists traveling abroad, according to the United Nations
World Tourism Organization.
Since Chinese tour groups were allowed to travel in the U.S. in June last year - thanks
to an easing of U.S. visa policy - the number of mainland tourists to the U.S. has grown
quickly.
According to the statistics released by the U.S. Department of Commerce, the number
of tourists from the Chinese mainland and Hong Kong Special Administrative Region
soared by nearly 28 percent, year on year. In January, 70,987 mainland tourists visited the
U.S., becoming the only international group to register growth that month.
But since last year, both countries' tourism industries have suffered from the financial
recession and the H1N1 flu.
According to the CNTA, the number of foreign visitors to China dropped 6.8 percent,
to 24 million last year compared to 2007. Among them, the number of US visitors to
China has dropped by 6.04 percent to 1.79 million last year.
Growth did not resume until July. The number of American tourists to China grew by
10.3 percent over the same period last year, partly due to a low base because of the 2008
Beijing Olympic Games.
Struck by rampant fears about the flu, the U.S. also saw fewer Chinese tourists since
May, when many Chinese tourists abandoned U.S.-bound tour plans. Those
disadvantages make bilateral cooperation in tourism critical, Shao said.
"China has not changed its policy of encouraging Chinese citizens to travel abroad
even during the global economic recession," he said.
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On Thursday, a third meeting between China's 26 provincial tourism chiefs and their
counterparts from 50 U.S. states will be held in Orlando, Florida. Both sides will discuss
increased cooperation to promote tourism and sign cooperation agreements, he said.
The extended cooperation would not only help build stable, longstanding relations
between the two countries, but also balance and further explore cooperation in trade and
culture, he said.
"Looking ahead, the two countries' tourism cooperation will have broad prospects and
a profound influence," he said.
Shao will attend a gala dinner in New York on Oct. 19 promoting the Shanghai 2010
World Expo. The event, which opens next May and will run for six months, will give
China's tourism industry a strong boost amid the effects of the economic slowdown, he
said.
More than 70 million tourists, exhibitors and media representatives are expected to
attend the expo. The CNTA has named the year 2010 as the Year of World Expo and has
organized a series of promotions in China's major source markets, including Japan, the
Republic of Korea, the US, Russia and Southeast Asia.
Major media and large travel services in these markets will be invited to China for the
fair promotions.
•
Chinese airline set to fly in by year-end (19th October)
With Kolkata airport on the verge of being modernized, several international airlines are
showing interest to start new flights from the city. Air China is all set to start direct
services by the end of this year. It will be the seventh international carrier to start
operation in the city in the last two years.
Kolkata airport director R Srinivasan said Air China delegates are expected to chalk out
the details of their schedule and announce the launch of their new flights on Monday.
At present, Air China operates from Delhi to three Chinese destinations Bejing, Shanghai
and Chengdu. Low-cost Chinese carrier China Eastern already connects Kolkata with
Kumling
four
days
a
week.
Last week, Air Asia announced its direct flight from Kolkata to Kuala Lumpur from
November 19. The other airlines that started operations in the last two years are
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Kingfisher,
Jet,
Air
243
India
Express,
Best
Airline
and
United
Airways.
Two major airlines British Airways and Gulf Airline withdrew their operations and others
reduced their frequencies three years ago. After this lull, travel agents say its encouraging
to see that international airlines are showing interest in the city again. Even Etihad
Airways and Qatar Airways are planning to restart some flights.
"We held talks with the officials of these two airlines last year. Hopefully before the new
airport is constructed, few other airlines will start services from the city," said Travel
Agents'
Federation
of
India
regional
chairman
Anil
Punjabi.
The good response received by China Eastern motivated Air China to show interest in
Kolkata, said a senior airline official. Figures indicate more than 90% bookings on an
average. The aircraft remains chock-a-block during the peak seasons.
China's economic recovery to pick up momentum in 2010(19th
October)
China's economy has passed the worst and recovery will pick up momentum next year,
according to a prominent Chinese economist.
Yao Jingyuan, chief economist at the National Bureau of Statistics, identified November
2008 to February 2009 as the trough for the recession. But he believed that China's
current economic recovery is gaining speed, which will set the stage for faster growth in
2010.
China's GDP is expected to grow by about 8.3 percent year on year for 2009, according
to a report released earlier by the Chinese Academy of Social Sciences.
China's premium income in the first nine months rose 8.1 percent from a year earlier to
$125.63 billion, fiscal revenue rose 33 percent from a year earlier to $82.13 billion in
September, new yuan-denominated loans in September rose to $75.68 billion from
August's $60.1, and foreign exchange reserve hit a new high of $2.27 trillion by the end
of September, up 19.26 percent year on year, according to statistics released by the
government last week.
•
• The Three Gorges Project Months From Completion (19th October)
The last stage of the Three Gorges Project will be finished at the end of 2009 after 17
years of work. Upon the completion of construction, the power plant will be able to
generate 100 billion kWh annually. Up to the end of June 2009, RMB 184.9 billion had
been invested in it, generating more than 320 billion kWh. Ocean-going vessels had
traversed the shiplock nearly 50,000 times, transporting over 300 million tons of cargo.
Its initial design called for the installation of 26 generators with an annual capacity
equivalent to 50 million tons of raw coal. Cheap and clean energy generated by the
project has fueled central, eastern and southern China. To date, about 1.27 million
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people have been relocated to make way for the project, and the relocation work for the
final stage has been basically completed.
• China to Comply with WTO Auto Parts Ruling(19th October)
According to the Ministry of Industry and Information Technology (MIIT), China will
revise its tariffs on imported auto parts. As a result, beginning September 1 China
reduces its auto part duties from 25 percent to 10 percent. China had argued that its
original high tariffs on auto parts imports were needed to prevent automakers in China
from evading vehicle import duties, which can be done by importing cars in componentby-component shipments. At the end of last year the WTO made its ruling that China
should revise the tariffs within a certain period. Officials of the MIIT have announced
the tariff has been revised and published by the relevant department.
•
China's GDP growth to top 7% in first three quarters(19th October)
China's gross domestic product (GDP) growth in the first three quarters should exceed 7
percent, Xiong Bilin, deputy director general of the Industry Department of the National
Development and Reform Commission (NDRC), said Monday.
The specific GDP growth figure in the first three quarters is scheduled to be released
Thursday.
Few difficulties stood in the way of China realizing its annual target -- made early this
year -- of 8 percent GDP growth year on year, said Xiong at a press conference
highlighting production overcapacity.
The government's 4-trillion-yuan ($586 billion) stimulus package, rolled out in
November last year, contributed much to China's economic recovery, Xiong said.
China's GDP growth was 7.1 percent in the first half over the same period last year with
6.1 percent in the first quarter and 7.9 percent in the second.
The NDRC would mainly redress production overcapacity in six sectors, including steel,
cement, plate glass, the coal-chemical industry, polycrystalline silicon and wind power
equipment, said Xiong.
The NDRC also warned of obvious production overcapacity in sectors like electrolytic
aluminum, ship manufacturing and soybean oil extraction.
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•
245
ADB grants $500,000 for China's rural pension system (20th
October)
The Asian Development Bank (ADB) is providing a technical assistance grant of
$500,000 to help China establish an effective rural pension scheme that can help the
country meet its goal of universal coverage by 2020.
In a press release, the Manila-based ADB said the grant will be used to improve the
policy and regulatory framework for a government-run pilot pension scheme to be carried
out this year in 200 rural counties across the country.
The government is targeting full participation in urban and rural pension systems by
2020.
The need for comprehensive pension coverage has been heightened by the rising age of
the rural population, the sharp slump in the number of farmers, and the return of millions
of migrant workers to their rural hometowns due to the financial crisis, the ADB said, and
a universal social security system is crucial for bridging the urban-rural divide.
The pilot scheme will apply a new formula that combines a basic government-funded
'subsistence' pension with individual account contributions, which has shown signs of
promise as the government sets to overhaul the lagging rural pension system.
•
BOC Vice-President Zhu Min leaves post for job change(20th
October)
Zhu Min, vice-president of the Bank of China (BOC), one of the country's top four
lenders, has resigned because of job change, BOC announced in a statement to the
Shanghai Stock Exchange Monday.
The Beijing-based lender said it received the letter of resignation from Zhu on Oct 16.
The lender did not mention Zhu's new post in the statement.
•
China's larger IMF role poses questions(20th October)
New rights often bring new responsibilities and, with China set to take on a larger
decision-making role at the International Monetary Fund (IMF), experts warn it may be
pressured to shoulder a heavier burden.
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Daisuke Kotegawa, IMF senior resident representative in Japan, said on Friday the
organization was bringing in reforms that would mean China's voting power at the IMF
table would be second only to that of the United States.
Some countries have said that with the additional power, China should take on more
"responsibilities" and "duties".
"China must know what are the duties it should have and what are not," replied Zhao
Xijun, a finance professor at Renmin University of China. "It should not shoulder
responsibilities that are unaffordable for it."
Neither Kotegawa nor Zhao could be sure when China's share of voting power might
increase.
"It's something to be discussed and decided at the negotiating table," said Zhao. "A deal
could be struck soon, but it could also take a very long time everything is possible."
Currently, at the IMF table, the US holds about 17 percent of votes and, consequently,
has the de facto veto on decisions because, to make a decision, the organization requires
85 percent of overall votes.
At the moment, Japan, with more than 6 percent of votes, is the second-most influential
voting block, with China holding just 3.72 percent. EU member states as a whole have 32
percent of voting rights.
Experts have also warned that even if China gets a larger share of the votes, it may not
necessarily get more say around the IMF board table.
Zuo Xialei, chief economist with China Galaxy Securities, said that as a developing
country, China must continue to enhance its overall national standing and learn to explain
its position in a more effective way if it hopes to persuade other countries to support it.
China has taken on a larger role on the world stage since the start of the world financial
crisis, in part because the country has continued to enjoy relatively strong economic
growth and maintained an unscathed financial system. Some in the international
community have pinned hope on China helping to construct an improved global
economic order through major international organizations, such as the World Bank and
IMF.
China agreed to buy a new type of bond issued by the IMF, investing about $50 billion,
in a bid to help the organization tackle financial challenges.
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And Bank of China Executive Vice-President Zhu Min, a former World Bank economist,
is reportedly being tipped as a future vice-president of the IMF.
Joining the call for reforming the voting mechanism of the IMF, Yi Gang, China's central
bank vice-governor, said early this month that China supports a "reasonable automatic
quota adjustment process" to "reflect changes in the relative economic positions of its
members and avoid serious quota share misalignment".
•
SOEs see Jan-Sept profits down 17.6%(20th October)
Profits of China's State-owned enterprises (SOEs) continued to fall in the first nine
months from a year earlier, but the decline was smaller than those of the first eight
months.
Profits in the country's SOEs fell 17.6 percent year-on-year in the first nine months to
936.61 billion yuan ($137.13 billion), two percentage points lower compared with the
Jan-Aug period, the Ministry of Finance (MOF) announced Monday.
The MOF statement did not give the September figure alone but said it was 12 percent
lower than the August profits.
Profits of central SOEs totaled 679.68 billion yuan from January to September, down 13
percent from a year earlier. Central SOEs covered 133 centrally-administered SOEs and
82 SOEs affiliated to central departments.
Business revenue of SOEs fell 1.7 percent year-on-year to 15.84 trillion yuan in the first
nine months.
•
Hanlong Mining invests $200m in Australian firm(20th October)
Hanlong Mining Investment Pty Limited signed in Hong Kong Monday a subscription
agreement with Australia's Moly Mines Limited to become the controlling shareholder of
the Australian company.
Hanlong Mining Investment Pty Limited is an Australian subsidiary company wholly
owned by a privately run Chinese corporation -- Sichuan Hanlong Group Ltd.
Following a $200-million investment into Moly Mines' stock, Hanlong will become the
controlling shareholder with a 55.3 percent shareholding in the company.
Hanlong will also provide $500 million in the form of project finance for the
development of the world class SpinifexRidge Molybdenum Copper mine, which is
wholly owned by Moly Mines.
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The investment will require final approval from the Australian Foreign Investment
Review Board and relevant Chinese authorities prior to completion.
This acquisition is the second major overseas acquisition for Hanlong Group, which
previously invested in mining development in Africa.
Hanlong Group Board of Directors Representative Liu Han said it is extremely
meaningful for a privately held Chinese company to have gained authority to develop a
mine in Australia.
Liu said that they have already communicated with Australian government and he is
confident that the project will be carried out successfully.
Moly Mines's Chief Operating Officer Collis Thorp said the project is ready to develop as
most of the engineering and budget work have been done.
"It would take us 18 months to 21 months to construct the mine and this agreement will
facilitate that," Thorp said that in two years the project should be in full production.
Sichuan Hanlong Group Limited has a wide portfolio of investments including electricity
production, infrastructure development, mining resources development, pharmaceutical
production, food and alcoholic beverages and some other ones.
The Chinese private enterprise has got more than 12,000 employees and the current assets
of the company are in excess of several tens of billions yuan.
Moly Mines Limited is dual listed on the Australian Stock Exchange and the Toronto
Stock Exchange and wholly owns the Spinifex Ridge Molybdenum Project located in
Western Australia.
The project is the only large-scale molybdenum and copper resource to be discovered
worldwide since 1982. Currently confirmed reserves are 350,000 tons of molybdenum
and 500,000 tons of copper with further potential for increasing these figures.
•
Promotion of Shanghai World Expo 2010 held in New York(20th
October)
•
Construction of Taipei pavilion for Shanghai Expo to start next
month (20th October)
Construction of the Taipei Pavilion at the 2010 Shanghai World Expo will start next
month, the Taipei city government announced Tuesday.
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The exhibition venue was expected to showcase the city to global visitors during the
expo from May to October, Taipei Mayor Hau Lung-pin said at a press conference.
The Taipei pavilion was divided into several areas, including ahuge three-dimensional
theater where visitors can have a virtual tour of tomorrow's Taipei via short movies and
light-and-sound shows.
Two projects, Wireless Taipei and Taipei Infinity, will be demonstrated at the Taipei
pavilion. They are among some 50 "urban best practices area" expo projects, which are
designed to display solutions to urban issues, including energy efficiency to waste
treatment, under the theme of "Better City, Better Life."
Visitors would see Taipei as an international metropolis defined by advanced
technology, cultural diversity and a high quality of life, Hau said.
The construction of the Taipei Pavilion was scheduled to be completed in March, next
year.
The 2010 Shanghai World Expo will remain open from May 1 to Oct.31. It is expected
to attract 70 million visitors, of whom 95 percent will be domestic visitors.
A total of 242 countries and international organizations had confirmed participation as
of last month, according to the official Expo website.
•
China's water aircraft to take off in 2013 (20th October)
The first Chinese-made large amphibious aircraft is scheduled to take off in 2013, and
ready for mass production in 2015, China Daily reported Tuesday.
The amphibious aircraft, about the size of an Airbus 320, will handle emergency
services and military tasks that are difficult or impossible with current aircraft in China
today, the newspaper quoted a senior engineer of the manufacturer as saying.
Previously, China has developed large hydroplanes and small amphibious aircraft, said
Chen Zhengguo, the project's chief engineer.
But large amphibious aircraft will be more useful in putting out forest fires, carrying
out long-range air-sea rescues, and taking on anti-submarine missions, according to the
news release by the Aviation Industry Corporation of China (AVIC).
The Chinese-made amphibious aircraft can take off on both land and water.
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As it flies at a height of 30 to 50 m over the treetops, the success rate of spreading
water over a fire could reach 98 percent.
According to the State Forestry Administration, at least 10,000wildfires occur in the
country's forests each year.
Engineers also aimed to develop the amphibious aircraft into one that can help rescue
more people on the sea.
Equipped with turboprop engines, it has a maximum take-off weight of 49 tonnes, able
to carry up to 50 people at one time. Its longest range is 5,150 km, and its highest speed is
560 kph. Emergency medical equipment will be available on board.
Russia, Japan, Canada and the United States already have developed their own
amphibious aircraft.
•
China's automotive output hits 10 million mark(20th October)
-- China's production of automobiles since the beginning of this year hit 10 million units
on Tuesday, making it the third country in the world to surpass the annual output mark,
according to the China Association of Automobile Manufacturers (CAAM).
Only the United States and Japan have previously passed the annual production figure
of 10 million.
Chinese Vice Premier Zhang Dejiang referred the achievement as a "milestone in the
Chinese history of auto industry development" in a congratulatory letter to industry
representatives at a celebration sponsored by the CAAM and China Society of
Automotive Engineering at the First Automobile Works (FAW) Group Corp.
headquarters in Changchun, capital of northeast China's Jilin Province.
Participants watched the 10 millionth vehicle -- a new model Jiefang (or Liberation)
truck -- roll off from the assembly line in FAW, China's oldest automotive group founded
in 1953. The company produced China's first domestic model under the Jiefang brand in
1956.
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Zhang said in the letter that by meeting the production mark, China had become one of
the world's largest auto manufacturing countries. The achievement was important in
bolstering the country's overall economic growth.
Miao Yu, vice minister of Industry and Information Technology, said at the ceremony
that China was still marching towards its goal of becoming a heavyweight player in the
world's auto market.
"A heavyweight auto manufacturing country has to meet three requirements:
internationally competitive auto brands, considerable global market share and a grasp of
core and new technology development trends in the industry," he said.
China's automotive industry has sustained a robust growth despite the global economic
slowdown this year, thanks to the government support package for the sector at the
beginning of the year.
Under the package, the government lowered the purchase tax on cars with engines
under 1.6 liters from 10 percent to 5 percent, allocated allowances to farmers to upgrade
farm vehicles and to mini-truck and mini-van owners to upgrade their vehicles.
As a result, the country's auto output surged 78.85 percent year-on-year to 1.36 million
units in September, while total sales hit a new monthly high of 1.33 million units, up
77.88 percent from a year earlier, the CAAM announced in a release on Oct. 13.
Dong Yang, vice chairman of the CAAM, said China was under far more pressure
from the global auto emissions control than the circumstances faced by the U.S. and
Japan, when their manufacturers hit the 10-million mark.
"The Chinese government is encouraging the sales of vehicles with small engine
displacements and using new alternative energies to reduce auto emissions," he said.
He said "We expect the government to keep the stimulus policies in effect next year.
"Policies like promoting auto sales in the rural sector are effective in sustaining the
growth momentum of auto sales in China," he said.
He forecast China's auto output this year would surpass 12 million units.
•
China Rare Earth, Siemens to set up joint venture (20th October)
China Rare Earth Holdings Ltd. will set up a joint venture in China with Siemen's
OSRAM to produce and sell phosphor products for the lighting industry, China Daily
reported Tuesday.
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The joint venture involving an investment of 43.5 million euros(about 64.8 million
U.S. dollars) will be 49.9 percent owned by Silver Mile Holdings Limited, an indirect
wholly-owned subsidiary of China Rare Earth, and 50.1 percent by OSRAM, China Rare
Earth said in a statement.
The joint venture will have an annual production capacity of up to 2,000 tonnes of triband phosphor when it is in full operation, with the products to be sold in China and the
international market.
The investment of approximately 83.2 million Hong Kong dollars (about 10.7 million
U.S. dollars) will be funded by internal resources and bank financing, China Rare Earth
said in the statement.
•
Baidu, China Unicom in wireless search pact(20th October)
Chinese search engine Baidu Inc said yesterday that it has signed a partnership with
China Unicom to provide wireless search for the carrier's 3G mobile subscribers, in a
move to fend off Google Inc's increasing presence in the world's largest mobile
population.
Baidu will preinstall its services, including text, image, MP3 and news search, in China
Unicom's 3G mobile phones, according to the agreement. It will also provide search
services for mobile Internet websites run by the carrier, which plans to launch the iPhone
in China this month.
"We hope that Baidu's cooperation with major telecom providers in China will
accelerate the development of 3G services and allow us to provide the rapidly growing
population of mobile search users better access to information," said Ren Xuyang,
Baidu's vice-president, in a statement yesterday.
But a China Unicom spokesman said the deal with Baidu was not exclusive. He said
Google's services preinstalled in the iPhone would not be impacted by the partnership.
As China launched its 3G service, which enables cell phone users to surf the Internet
via mobile phones, mobile search has become one of the most promising markets for
search engines to expand their service beyond personal computers.
Google has been striving to promote its mobile search service such as Google Maps to
Chinese mobile phone users in recent years.
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In 2007, the company announced a partnership with China Mobile to provide mobile
search for the country's largest cell phone carrier. It also said last week that it plans to
launch Chinese-language voice search service to Chinese smart-phone users in the next
several weeks.
According to figures from domestic research firm Analysys International, Google is
still lagging behind market leader Baidu, which takes over 60 percent of the search
market share. But in China's mobile search market, Google's share reached 26.6 percent
in the second quarter of this year, higher than the 26 percent that Baidu clinched.
In May, Baidu reached a deal to provide search service in a value-added service
platform run by China Telecom. The company also announced last month it would launch
mobile search services in Japan, where the 3G market is more mature.
Compared to its deal with China Telecom, which only had 41.73 million mobile phone
users by July, Baidu's partnership with China Unicom seems to be more likely to help the
search engine to ride China's 3G market boom.
China Unicom is the country's second largest cell phone operator, with mobile users
reaching 141 million by July. Although the number is not comparable to the 450-million
cell phone users of China Mobile, the company is believed to be getting wider support
from mobile phone vendors including Nokia, which dominates about 35 percent of
China's handset market.
Zhou Liqian, an analyst from Everbright Securities, said in an earlier research note that
China Unicom might take up over half of China's 3G market by 2011.
According to CNNIC, China's Internet users totaled 338 million by the end of June, of
which mobile Internet users increased 32.1 percent to 155 million
•
China Mobile Q3 net increases 2.6%(21st October)
China Mobile Ltd, the world's biggest phone company by market value, posted a 2.6percent increase in quarterly profit after reduced prices helped the company attract
customers.
Third-quarter net income rose to 28.6 billion yuan ($4.19 billion) from 27.9 billion yuan
a year earlier, according to figures derived from nine-month earnings reported by the
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Beijing-based company yesterday. The carrier was expected to post profit of 29 billion
yuan, the median of seven analysts' estimates in a Bloomberg survey.
China Mobile, the third-worst performing stock on Hong Kong's benchmark index this
year, cut call fees and raised handset subsidies to stem the 29-percent drop in user
additions.
Chairman Wang Jianzhou plans to sustain the company's expansion in lower-income
rural areas as China Telecom Corp and China Unicom (Hong Kong) Ltd focus on highspeed services in cities.
"For the company's profit to grow, it has to really work on keeping operating costs down
because revenue growth will be slower," Steven Liu, who rates China Mobile shares
"buy" at DBS Vickers Ltd in Hong Kong, said before the earnings announcement.
China Mobile fell 0.7 percent to close at HK$78.75 in Hong Kong yesterday before the
earnings announcement. The stock has advanced 1.2 percent this year, compared with a
56-increase in the Hang Seng Index.
Profit at China Mobile declined for the first time since 1999 in the second quarter as the
economic slowdown weighed on demand and the government reorganized the industry to
raise competition.
Fixed-line operator China Telecom acquired a network from Unicom to enter the wireless
market, while China Unicom bought a landline business.
China Mobile is the worst performing stock among the three Chinese phone companies
this year.
Shares of China Telecom, the country's biggest fixed-line carrier, have climbed 32
percent, while Unicom, the country's second-largest mobile-phone company, has gained
19 percent.
China Mobile's third-quarter sales rose 9 percent to 114.1 billion yuan, according to
derived figures.
Earnings before interest, tax, depreciation and amortization, a measure of operating
profit, increased 5 percent to 57.8 billion yuan, compared with the 58.1-billion-yuan
median estimate of four analysts in the Bloomberg survey.
China Mobile added 15.24 million users in the third quarter for a total of 508.4 million at
the end of September, according to its website.
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Chinese shares down 0.17 pct at midday(21st October)
Chinese shares edged down 0.17 percent by midday Wednesday on profit-taking, fuelled
by losses on Wall Street overnight, dealers said.
The Shanghai Composite Index, which covers both A and B shares, was down 5.24
points at 3,079.22.
"Quick gains in the last two sessions technically need some correction and investors are
cautious before China releases major economic data Thursday, Capital Securities" analyst
Jacky Zhang told Dow Jones Newswires.
Among the economic data to be released by China on Thursday is industrial output and
third-quarter gross domestic product.
The Shanghai A-share index shed 5.60 points, or 0.17 percent, to 3,231.59, while the
Shenzhen A-share index rose 2.59 points, or 0.23 percent, to 1,130.36.
•
Copper vaults to new high(21st October)
Shanghai copper rose to near six-week highs yesterday as the dollar fell to its weakest
level in 14 months, boosting the appeal of commodities.
The dollar index, a gauge of its performance versus six major currencies, fell as low as
75.103 yesterday on the view rising unemployment will keep US interest rates near zero,
making dollar-based commodities cheaper for local currency holders.
The greenback's slide lifted oil above $80 a barrel and gold to near record levels, while
global stocks climbed to one-year highs after strong sales numbers from Apple Inc
suggested US consumers are spending more.
"The dollar will continue to move lower in the short term, and that's going to support the
whole commodity market in terms of the price outlook," said Bonnie Liu, analyst at
Macquarie.
While the greenback remains the main catalyst, a slew of US data due later yesterday,
including housing starts and building permits for September and weekly retail sales could
provide some trading cues.
Shanghai's benchmark third month copper SCFc3 climbed 710 yuan ($103.99) to 50,210
yuan a ton at the close, after rising as high as 50,570 yuan earlier, its loftiest since Sept 9.
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Three-month copper on the London Metal Exchange MCU3 rose $12 to $6,477 a ton in
early trade, adding to Monday's $225 gain.
The market mood after the LME was generally optimistic with low consumer stocks, a
weaker dollar and Chinese demand seen supporting industrial metals prices into the next
year.
"The Chinese seemed to be most bullish, as they see little evidence that demand for metal
in the country is slowing, while supply is also becoming a problem," MF Global analyst
Edward Meir said in a note. Meir said many of the Western producers were "cautiously
optimistic" given the economic uncertainties.
"The merchants and trading companies were, on balance, more negative on the outlook,
viewing prices to be quite overbought short-term and overly reliant on Chinese buying
instigated mainly by the government," he said.
•
Equities soar on robust indicators(21st October)
Chinese stocks rose yesterday, driving the Shanghai Composite Index to a two-month
high, after Vice-Premier Li Keqiang said the nation's economic growth is rebounding.
The benchmark index gained 46.18, or 1.5 percent, to 3,084.45, the highest close since
Aug 13. The CSI 300 Index added 1.5 percent to 3,377.57.
"Exports are likely to recover slightly in the next six months and this should be able to
sustain economic growth," Peter So, head of research at CCB International Securities Ltd,
said in a Bloomberg Television interview in Hong Kong. "We expect consumption in
China to continue to maintain at a higher level."
The Shanghai index is up 69 percent this year as a $586-billion stimulus package and
record lending drove China's rebound from the deepest economic slump in almost a
decade. Data due Oct 22 will show the economy expanded 9 percent in the third quarter,
the fastest pace since September 2008, according to the median estimate of economists
surveyed by Bloomberg.
Economic growth is rebounding month by month, Vice-Premier Li told a conference of
the Association of South East Asian Nations yesterday in Nanning, Guangxi Zhuang
autonomous region.
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"Stable government policy and the September economic numbers should boost the
market," said Citic Securities Co analysts led by Yu Jun, in a report. The brokerage
recommended insurers, banks and property developers.
Jiangxi Copper Co, the nation's biggest producer of the metal, climbed 1.3 percent to
41.73 yuan ($6.11). Yunnan Copper Industry Co added 3.2 percent to 31.80 yuan.
China Merchants, the nation's fifth-biggest bank by value, gained 4.7 percent to 16.73
yuan. The bank won approval to raise as much as 22 billion yuan in a right offer. More
than 99 percent of investors voted for the proposed sale at a shareholder meeting on
Monday, Merchants Bank said.
Hang Seng up
Hong Kong stocks rose as higher commodity prices and better-than-estimated earnings
from Apple Inc boosted confidence in the global economic recovery.
Rising commodity prices and earnings that beat estimates should boost confidence in the
economy and the market," said Castor Pang, a research director at CINDA International
Holdings Ltd, a Hong Kong-listed brokerage. "A continued rise in commodity prices
could trigger inflation and prompt some monetary tightening. That may hinder the
market."
The Hang Seng Index rose 0.8 percent to 22,384.96 at the close, with the city's biggest
developers.
The Hang Seng China Enterprises Index, which tracks so-called H shares of mainland
companies, rose 0.7 percent to 13,039.96.
•
Experts beware Yuan rise as hot money risk brews(21st October)
Chinese exporters should brace themselves for a steady rise in the value of the yuan while
the steep hiking of asset prices looks set to continue, say analysts studying the
movements of "hot money."
Although the value of the yuan, China's currency, has hovered at around 6.83 to the US
dollar for the past several months, analysts say the rush of international short-term
speculative funds has already begun with China's economy showing signs of
improvement.
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The country saw a massive exodus of hot money because of the global financial crisis in
the fourth quarter of last year and the first quarter of this year, said Zhang Ming, an
economist with the Institute of World Economics and Politics under the Chinese
Academy of Social Sciences.
From the second quarter, the situation reversed with an influx of hot money, he said.
No official figures concerning hot money have been released, but analysts have compiled
a scratchy picture from the unusual coincidence of China's increasing foreign exchange
reserves and declining trade surplus and reduced expenditure of foreign investment in
China.
Zhang estimated the amount of hot money inflow at US$88 billion from the second
quarter.
Analysts normally calculate hot money by deducting foreign direct investment and a
trade surplus from the country's foreign exchange reserve increase.
"The shrinking trade surplus and expanding forex reserves in the third quarter this year
indicate hot money influx is rising again," said Sun Mingchun, chief China economist of
Nomura Securities.
"The inflow will not only put further appreciation pressure on the currency, but also
create more liquidity and fuel inflation of the country's asset prices," he said.
"With a large hot money inflow, China will have no choice but to let the yuan appreciate
or to create more liquidity in order to maintain a stable foreign exchange rate," said
Zhuang Jian, a senior economist with the Asian Development Bank.
Once the yuan appreciated, profit margins of China's exporters, already suffering from
falling orders, would be further squeezed as their products would become more expensive
and less competitive, Zhuang said.
Hot money flows into China through multiple channels, including falsified international
trade with over-invoiced exports and underground private banks.
Zhang said hot money would continue flowing into China this year and in the first half of
2010 as the attractions remained: strong liquidity, soaring asset prices, increasing
anticipation of yuan appreciation and recovery of the US economy.
•
FACTBOX: China's investment in ASEAN countries(21st October)
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China and the member states of the Association of Southeast Asian Nations (ASEAN)
pledged here Wednesday to enhance economic ties at a forum of the ongoing 6th ChinaASEAN Expo held from Oct. 20 to 24.
The following are facts about China's investment in some of the ASEAN members:
Direct investment from China to ASEAN countries in 2008 totaled 2.18 billion U.S.
dollars, up 125 percent from 2007.
By the end of 2008, Chinese enterprises had invested 2.75 billion U.S. dollars in
Singapore, and almost 300 Chinese enterprises had been established there.
By the end of 2008, China had directly invested 590 million U.S. dollars in Vietnam,
of which 200 million was newly invested in2008.
By the end of June, 2009, contracted investment from Chinese enterprises to Laos had
amounted to 2.14 billion U.S. dollars over the years and went into 303 projects.
Currently, China is the third biggest foreign investor in Laos, and Chinese enterprises
have mainly invested in hydroelectric exploitation, mining and agriculture.
By the end of 2008, China had invested a total of 1.33 billion U.S. dollars in Myanmar
and become the fourth biggest foreign investor of the country.
•
Gold producer eyes fresh overseas deals(21st October)
State-controlled China National Gold Group Corporation is planning to step up presence
in Central Asia, Russia and Africa as part of its plan to scout for new investment
destinations.
"We are considering two new precious metals projects in these regions and expect to
finalize the deals early next year," said Tong Junhu, overseas business manager of China
Gold.
The nation's largest gold producer also said it has achieved breakthroughs in Russia and
Mongolia but declined to divulge any details.
Traditionally Chinese mining companies prefer investing in Australia and Canada.
According to figures from Ernst & Young (China) Advisory Ltd, nearly 60 percent of
China's outbound transactions this has been in Australia, while Canada accounted for 32
percent.
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Though resource-rich developed economies like Australia and Canada enjoy
sophisticated infrastructure and legal systems, the volatile prices and rising protectionism
have made it difficult for Chinese investors to clinch deals in these regions.
"There is still a valuation gap between buyers and sellers, and good deposits are
impossible to find," said Mike Elliott, global mining & metals sector leader of Ernst &
Young.
"With regard to investment, the acceptable risk level has also changed. The screening
processes has now become more rigorous and most of the projects are being discarded at
the due diligence stage."
In October, Baosteel Group Co, China's largest steelmaker, was asked by the Australian
government to resubmit its application to invest $240 million for a 15-percent stake in
iron ore explorer Aquila Resources Ltd.
In September, the Australian Foreign Investment Review Board (FIRB) asked Yanzhou
Coal Mining Co Ltd to resubmit its takeover application for Felix Resources. In the same
month, China Nonferrous Metal Mining Group was blocked from investing $222 million
in rare earth miner Lynas Corp.
Australian media cited a senior FIRB official as saying that the board preferred not to see
foreign majority stakes in new mining projects.
About half of the 30 mergers in Australia's mining and metals sector failed in 2009.
Elliott said: "Foreign regulatory restrictions on Chinese buyers of assets require greater
flexibility."
He suggested that Chinese companies should shorten the decision-making procedure and
opt for minority stakes instead of looking to control the target company to clinch the
deals in a timely manner.
"If companies do not purchase at a good price in the short term, then they will lose the
opportunity and the door will not remain open forever."
Outbound investment often accompanies higher risks and only full control of the project
will help minimize risks, said a domestic mining executive who declined to be named.
•
Allianz, Amex retain ICBC stake(21st October)
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Allianz SE and American Express Co plan to keep their Industrial & Commercial Bank
of China Ltd stakes, which have a combined value of about $3.1 billion, past a lockup on
the holdings that expired yesterday.
Allianz and American Express have no immediate plans to sell, the companies and
Beijing-based ICBC said in statements. Allianz has 3.22 billion Hong Kong-traded ICBC
shares, worth HK$19.9 billion ($2.57 billion), while American Express owns 638 million
shares with a value of HK$3.95 billion.
The agreement "is an indication that key shareholders are optimistic about ICBC's
business and growth potential and will lend some support to its shares", said Victor
Wang, an analyst at UBS AG in Hong Kong who rates ICBC a "buy".
ICBC is the world's biggest bank by market value and profit. It has more than 16,000
outlets nationwide, 112 branches overseas, and 190 million individual customers -equivalent to the combined populations of Japan and France.
The Beijing-based bank's profit may rise 16 percent to a record 128.4 billion yuan
($18.81 billion) this year, according to analysts surveyed by Bloomberg.
ICBC shares advanced 2.4 percent to HK$6.34 yesterday in Hong Kong trading, taking
this year's gain to 55 percent.
Reevaluating holdings
"In case of a potential disposal in the future, Allianz will explore all potential methods of
sale that would maximize value and minimize market impact, with a preference for a
private sale to investors," the companies said.
American Express "will reevaluate its shareholding from time to time depending on
market conditions" and "has no current plans to sell its shares", ICBC and the New Yorkbased company said in a separate statement.
Allianz would have a profit of $2 billion and American Express a $400-million profit if
they sold their stakes, bought in April 2006, at the current market price.
Goldman Sachs Group Inc, Allianz and American Express purchased a total of 24.2
billion shares in ICBC at that time for about $3.8 billion, six months before the Chinese
bank's initial public offering. They agreed to hold half their shares for three years, and the
remainder for six months more.
Previous sale
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Munich-based Allianz, Europe's second-biggest insurer by market value, and American
Express immediately sold half their original investments in ICBC after the first lockup
period ended on April 28. Goldman Sachs extended the period it must hold 80 percent of
its stake to April 2010 under a revised agreement. The New York-based bank sold some
of its ICBC shares in June.
Allianz, which booked a gain of 658 million euros on the sale of the first half of its stake
in ICBC in the second quarter, has provided the bank with expertise in asset and risk
management, while American Express issued co- branded credit cards with the Chinese
lender.
Our partnership with ICBC offers a platform for expansion in our strategic growth market
China and gives us access to a huge number of Chinese customers," said Christoph John,
a Singapore-based spokesman at Allianz.
Chinese banks "offer probably the clearest earnings visibility" for 2010 among the
nation's major industries, JPMorgan Chase & Co analysts led by Samuel Chen wrote in
an Oct 11 report. They forecast 32 percent average earnings growth for Chinese lenders
next year, driven by loan expansion and a recovery in lending profitability.
•
Auto industry drives past major milestone(21st October)
China's auto industry yesterday sped past an impressive milestone as the 10-millionth
vehicle - a heavy-duty "Jiefang" truck - rolled off the production line.
The unit, which was produced at FAW Group Corp's factory in Changchun, made China
the third country - after the United States and Japan - to produce 10 million vehicles this
year. Auto output in both the US and Japan has geared down this year because of the
global economic slowdown but, in China, the industry is booming.
Industry officials and executives attending the ceremony marking the milestone predicted
that China will produce more than 12 million units in 2009, up from 9.35 million last
year.
Miao Wei, vice-minister of Industry and Information Technology, said the production of
10 million vehicles means China is becoming a global player in the auto industry.
"To be a strong player, China has to meet three requirements - it must have
internationally competitive automakers and brands that use resources at home and abroad,
it must grab significant market share abroad, and it must grasp core and new technology,"
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said Miao, who was previously president of the Dongfeng Motor Corp, one of China's
largest auto makers.
Foreign brands, including Volkswagen, General Motors and Toyota, currently account
for two-thirds of China's passenger car market.
Despite the global financial crisis, China's vehicle market has been growing rapidly this
year, being driven forward by the government's stimulus spending.
Sales in China surged by 34.24 percent year-on-year to 9.66 million units in the first nine
months, according to the China Association of Automobile Manufacturers.
In January, China halved the purchasing tax - to 5 percent - on vehicles with an engine
capacity less than 1.6 liters. The central government also earmarked a total of 5 billion
yuan ($735 million) this year to subsidize rural buyers of minibuses and trucks.
Dong Yang, vice-chairman of the auto association, said the industry is "strongly" hoping
the government will keep the incentives in place next year to continue to promote auto
sales.
•
Central govt T-bonds see triple subscription in Hong Kong(21st
October)
The Ministry of Finance (MOF) said Tuesday the 6 billion yuan ($879 million) of
treasury bonds issued in Hong Kong has got a subscription of 18 billion yuan since Sept
28.
The total subscription amount is three times of the 6 billion yuan, a great success for the
treasury bonds issuance, said the MOF on its website.
It is the first time that the central government has issued yuan-denominated treasury
bonds outside the Chinese mainland, which also marks China's further efforts in
internationalizing yuan, or renminbi.
The sales period of the bonds runs from Sept 28 to Oct 20. An annual interest rate of 2.25
percent will be paid for the two-year bonds, 2.7 percent for the three-year ones, and 3.3
percent for the five-year ones.
•
China's first 'overseas' bond attracts strong demand(21ST October)
LOS ANGELES (MarketWatch) -- The Chinese Foreign Ministry said late Tuesday that
its first-ever yuan-denominated bond sale outside mainland China was three times
oversubscribed.
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The sale in Hong Kong amounted to 6 billion yuan ($880 million) worth of two-, threeand five-year issues, the ministry said in a statement.
It attracted about 18 billion yuan worth of orders, including close to 150,000 applications
from individual investors, it said.
Bank of Communications senior fixed-income dealer Midas Chu was quoted in a Dow
Jones Newswires report as saying the "very satisfactory" results demonstrate yuan bonds'
popularity in Hong Kong.
"This would encourage [mainland] China to issue more on a regular basis in the future,"
Chu was quoted as saying.
Chu said previous corporate yuan-bond issues were usually two-times subscribed or less,
according to the report, though those sales aren't necessarily comparable to this inaugural
sovereign issue.
The coupons on the issues were 2.25% for the two-year, 2.7% for the three-year and
3.3% for the five-year, the ministry said. Secondary trading levels weren't immediately
available.
•
Trade fair sends strong signal of export upturn(21st October)
An important barometer of China's foreign trade, the Canton Fair reported late Tuesday a
strong rebound in foreign purchase and buyers compared with the last session in April, an
encouraging sign of the country's export amid the continuing global recession.
The first phase of the biannual 106th China Import and Export Fair from October 15 to
19 saw an export volume of about 15.6 billion U.S. dollars. That's up by 19.6 percent
over the last session, said Chen Chaoren, spokesman of the fair in the southern
Guangzhou City.
More than 90,000 buyers participated in the fair, an increase of 11.4 percent against the
last session. Those from the United States and Europe grew by 18 percent and 38 percent
despite the shrinking markets in the two regions, Chen said.
Orders in home appliances, electronics, hardware, tools, transporting vehicles and
building materials, which took up at least 60 percent in China's export every year,
reported an increase of 20 percent.
The numbers indicate that some international buyers are not holding their purses as
tight as before, and China's export industry is showing signs of an upturn after suffering
the negative impact of the financial crisis for a year, Chen said.
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Du Yuanyuan, board chairman of the Leiyang Electronics Technology Co., Ltd , said
the company mainly producing liquid crystal TV received large long-term orders at the
fair. "The situation is expected to be better next year."
While some booths were vacant in April, the autumn fair's 50,000 booths fell short of
more than 80,000 applicants. Buyers carrying suitcases crowded exhibition halls. They
wanted to collect as many company brochures as possible for information before setting
deals.
Wang Zhiping, vice director of the fair, said there was an "obvious" increase of orders
that were each worth more than 10 million U.S. dollars.
"Some companies even set deals worth 70 million dollars at the fair. This is a sharp
contrast with the small and short-term orders in April," he said.
Yao Wenping, vice president of the China Chamber of Commerce for Import and
Export of Machinery and Electronic Products, said she is confident of the international
market for Chinese products, although the demands have tumbled due to lowering buying
capabilities and remaining stocks in the western markets.
"The demands, including those from the U.S. and Europe, are expected to increase
largely next year," she said.
"I am glad to see that many companies have found the root of their problems and tried
to improve," she said.
"Instead of competing with low prices, lots of companies are adopting a strategy of
creating new products and own brands to defend against the financial maelstrom," she
said.
Tao Jianxing, board chairman of the Chunlan (Group) Company, a major producer of
home appliances, said the company has been making efforts to attract buyers with
innovation instead of a low price.
"The large orders we have received at the fair show our strategy is a success," Tao
said.
Despite the signs of recovery, Chinese exporters and officials remain cautious. They
said they do not expect the global trade to reach the level in 2007 in the near future as the
trend of the world economy is still uncertain.
Zhu Baorong, an official in charge of export in east China's Jiangsu Province, said the
sharp rise of trade volumes was based on the drop in the recent year and the sustainability
of the growth is still unsure.
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The export recovery still depends on the government's stimulus measures, and the
tentative rebound will be affected if the favorable policies are due, said Xiao Yaofei,
professor with the Guangdong University of Foreign Studies.
China's export industry is also under huge pressure of protectionism.
The Weihai-based Triangle Tyre Co. Ltd is one of the victims of an up-to-35-percent
tariff levied on the made-in-China tyres by the U.S. government.
Its exports to the United States were slashed by two thirds to 100,000 units a month
after the punitive tax was added.
Yi Xiaozhun, deputy minister of the Ministry of Commerce warned exporters to be
alert of the tough conditions and urged them to prepare for the difficulties.
But he also assured exporters that the government's stimulus policies will remain
"consistent" in the days ahead as they are "very important" to a solid recovery.
• Minsheng sees Jan-Sept net profit up 18%(21st October)
China Minsheng Banking Corp, the nation's first listed non-State-owned lender,
announced Tuesday that it posted a net profit of 10.2 billion yuan ($1.49 billion) in the
first three quarters, up 18.11 percent year-on-year.
The net profit in the third quarter alone stood at 2.83 billion yuan, up 8.9 percent from a
year earlier, the lender said in a statement to the Shanghai Stock Exchange, the first thirdquarter report from banks listed in China's A-share market.
The lender attributed the net profit rise to the increasing income from net interest margin.
The non-performing loan rate of the bank dropped to 0.82 percent at the end of
September from 0.86 percent at the end of June, according to the Beijing-based lender.
Equities of the Shanghai-listed bank rose 2.42 percent to 7.63 yuan per share on Tuesday.
• China to scrutinize state-owned firms' hedging deals(21st October)
China's state-owned firms looking to hedge their losses from rising crude oil prices will
be supervised more stringently, China Daily reported Wednesday.
The State-owned Assets Supervision and Administration Commission (SASAC) has
required companies under its control to scrutinize hedging deals more closely while
signing financial derivatives contracts.
The move follows rising book losses from hedging contracts suffered by such stateowned firms as China Eastern Airlines and Air China, who have only recently begun to
narrow down such losses-on-paper from former hedging deals.
SASAC tightened the rules during a recent budget meeting convened by state-owned
enterprises.
The futures trading volume should not exceed 90 percent of the spot volume. The
percentage for those who are inexperienced in such trades or those who have reported
significant losses previously will be no higher than 50, the newspaper said, citing Shen
Ying, director-general of the SASAC Statistics Evaluation Bureau.
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SASAC also clarified that it would defend the legal interests of hedging firms through
negotiations with investment institutions in case there are misleading clauses in
previously signed deals.
New-type explosive detectors used for Shanghai World Expo(22nd
October)
New-type explosives detectors have begun to serve at some major stations of the urban
rail transport system in Shanghai to help ensure security for the World Expo scheduled
for May 1 next year, developers said on Thursday.
The detectors, dubbed SIM 07 and SIM 08, have passed tests by the Ministry of Public
Security.
The new products were produced on the basis of the fluorescent polymer sensing
technology that was jointly developed by the Shanghai Institute of Microsystem and
Information Technology under the Chinese Academy of Sciences and Shanghai Sanco
Instrument Co.,Ltd.
The new detectors are more sensitive than experienced police dogs, and would do no
harm to operators and those being investigated and produce no pollutants, according to
the developers.
•
SOCIAL FRONT
•
President, premier stress energy resource tech education(18th
October)
President Hu Jintao congratulates Sunday on the 100th founding anniversary of the China
University of Mining and Technology (CUMT) in a letter, urging more talents in the
country's energy resource industries.
Hu said in the letter that energy resources are the basis and guarantee of the country's
economic and social development.
As a key base for the country's education on the science and technology of energy
resources, the university shoulders great responsibilities and has a bright future, Hu said.
Hu called upon the university to stick to the Scientific Outlook on Development and
foster more talents to achieve more research fruits and contribute to the sound and fast
development of the country.
In his reply to a letter from the university's new graduates who are working in the
country's western regions, Premier Wen Jiabao encouraged them to devote themselves to
the development of the regions where they work.
State Councilor Liu Yandong Sunday attended the celebration that marked the
university's founding anniversary. She noted that the scientific exploitation and clean use
of energy resources is a major issue for countries across the world and is also a key factor
that is restricting China's modernization.
She called on teachers and students to attach individual values to the country's
construction and go to the places where they are most needed.
The CUMT, one of the key national universities under the direct administration of the
Ministry of Education, is based in Xuzhou of east China's Jiangsu Province.
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In 1997, the university's second campus was established in Beijing.
•
'Experience China in Israel' cultural event kicks off (18th October)
Experience China in Israel" cultural event formally kicked off Saturday evening in Tel
Aviv Opera House, in the presence of Israeli President Shimon Peres and a senior
Chinese official. The event, jointly held by the State Council Information Office of China
and Israeli Foreign Ministry, is dedicated to the 60th anniversary of the founding of the
People's Republic of China and the 17th anniversary of the establishment of diplomatic
relations between the two countries.
Composed of a series of activities including performances, photo exhibitions, a film week
and a symposium on China, Israel and the world economy, the event, which began earlier
this week and will conclude at the end of this month, is expected to allow the Israelis to
see Chinese culture and China's development and achievements over the past 60 years
and promote Sino-Israeli friendship.
Following the opening ceremony, the performance "My Dream" was staged by China
Disabled Peoples' Art Troupe, which was well received by Israelis.
At the opening ceremony, Peres said in his speech that "your dream is our dream," and
that he had watched the performance on TV, which has unbelievable beauty.
The president continued that China is a large country, and Israel is a small one, but in
terms of dream, "we are of the same size."
Shortly after Peres' speech, Wang Chen, Minister of the State Council Information Office
of China, told the audience that since China and Israel established diplomatic relations in
1992, which turned over a new leaf in the bilateral ties, Sino-Israeli relations have been
developing fast and sound, including in the field of culture.
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"It is reported that more and more Israelis begin to admire the Chinese culture, start to
learn Chinese, and want to learn more about the Chinese development," said the senior
Chinese official.
"Therefore, this great event 'Experience China in Israel' not only reflects the two
governments' concerted efforts in promoting China-Israel relations, but also reflects the
two peoples' earnest aspiration to increase understanding and deepen friendship," he
noted.
The event will open a new window for Israelis to get a closer look at China and perceive
China from different angles and perspectives, he said.
Wang expressed his hope that the event will present an old and new, a traditional and
open China more vividly to Israelis.
"It is also our hope that the Israeli people will feel the profound friendship among the
Chinese people for the Israeli people, and the Chinese people's sincere wishes to build a
harmonious world with lasting peace and common prosperity together with peoples all
over the world." he said.
Since 1999, China has held the event of "Experience China" in many countries including
Germany, the US, Russia and South Korea to promote cultural exchanges. These events
have been well received by overseas governments, news media and the general public.
•
Surge in returning Chinese experts(19th October)
China's booming economy, favorable policies and excellent research environments are
resulting in a surge in talent returning from the West, helping the nation to compete in
global innovation, a top education specialist said yesterday.
"They are being attracted by the policies aimed at enticing skilled overseas Chinese to
return home to develop their careers and build an innovative country," said Lu Yucheng,
chairman of the China Overseas-Educated Scholars Development Foundation.
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He was speaking at the launch of the Western-Return Scholar Entrepreneur "Teng Fei"
Award, which he added aims to "encourage returned elites to share successful
experiences with more overseas Chinese".
The foundation has allocated more than 1 million yuan ($140,000) to the prize fund,
which will be shared between 10 elite entrepreneurs and 50 corporations on Dec 18.
Around 1.4 million Chinese have studied abroad since China's opening-up policy in
1978, with 390,000 already returned, said Lu.
•
Relic hunters descend on US, European museums (19th October)
China will send an expert team to trace and document relics taken from the Old Summer
Palace that are now in foreign countries, a park official said Sunday.
The team of experts will visit museums, libraries and private collectors next year in the
United States, the United Kingdom, France, Japan and other countries for photos,
documents and archives of relics plundered from the Old Summer Palace, according to
Chen Mingjie, director of the park's management office.
"We hope to build a complete database of the Old Summer Palace's lost relics so we can
have a clearer view of the historical royal garden, then known as the 'Garden of Gardens'
before it was looted and burned down in 1860 by invading British and French armies,"
said Chen.
"We don't really know how many relics have been plundered since the catalogue of
treasures stored in the garden was burned during the catastrophe. But based on our rough
calculations, about 1.5 million relics are housed in more than 2,000 museums in 47
countries."
Some of them are being showcased in the British Museum and the Fontainebleau Art
Museum in France, Chen added.
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The expert team has contacted several museums and libraries so far without encountering
resistance, according to Chen.
"We have clarified that this is an attempt to document rather than to seek a return of those
relics," said Chen, "even though we do hope some previously unknown relics might
surface and some might be returned to our country during our tracing effort."
A camera crew from China Central Television will follow and document the team's effort
to keep the domestic audience posted about their progress, but possibilities exist that
video or photography might not be allowed.
"We will get as much as we can," said Chen.
Like other ancient civilizations, China saw many cultural relics taken overseas when the
country was subjected to wars and occupation.
According to the Chinese Cultural Relics Association, more than 10 million Chinese
cultural relics were taken from the country between 1840 and 1949, a large number of
which are now stored at major public museums in Europe and the US.
China has been actively seeking the return of overseas relics during the past decade
through purchases at international auctions, donations by private collectors or overseas
Chinese and increasingly through diplomatic means based on international conventions.
Last February, two looted fountainheads from the Old Summer Palace were sold at
auction giant Christie's for 14 million euros ($17.9 million), which roused opposition
from the Chinese and international communities.
•
China, EU focus on social security schemes (19th October)
Establishing a multi-tier pension system may be better at reducing investment risks of
pensioners, especially during a financial crisis, experts at the two-day European UnionChina high-level roundtable on social security concluded on Friday. The roundtable,
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organized by the EU-China Social Security Project, is one of the flagship cooperation
projects between the two sides.
At the fourth roundtable talks in Stockholm last week, officials and experts discussed
how to manage social security in periods of economic uncertainty, especially the impact
of the global economic downturn on the labor markets and on individual pension
accounts.
"Social polices should be seen as a productive factor, not as a luxury we can afford only
during the good years," said Xavier Prats Monne, Director for Employment, Lisbon
Strategy and International Affairs, European Commission.
"The current financial crisis has seriously hit the global social society system and the
total loss of various pension funds is about $ 5.5 trillion," Hu Xiaoyi, vice minister of the
Ministry of Human Resources and Social Security (MHRSS) said at the meeting.China
started to establish a social security system in 1996. It is expected to cover all Urban and
rural residents by 2020.
• PRC 60th anniversary film becomes best seller(19TH October)
The star-studded film, "The Founding of a Republic," has become the box office
champion of China's domestically-made films after taking 406 million yuan ($58.4
million) since its premiere on September 16.
"It has far exceeded our expectations," Weng Li, spokesman with the state-owned China
Film Group Corporation (CFGC), said Monday.
"We initially expected the box office to hit 200 million," he said.
The movie recounts Chinese history from 1945 to 1949. About 200 established Chinese
actors and directors, including Jet Li and Chen Kaige, participated in the film.
It was made to commemorate the 60th anniversary of the founding of the People's
Republic of China (PRC), said director Han Sanping, also the chairman of the CFGC.
"We are planning to bring the prints of the film to poor and mountainous areas to
accommodate people there," Weng said. "And they will enjoy it free of charge."
The previous champion in the Chinese film box office is "If You are the One" directed by
Feng Xiaogang, released on December 18, 2008, which took in about 340 million yuan as
of January 24.
Weng attributed the success of the epic film to the blend of mainstream political values
and marketing.
"The gathering of stars played the historical roles vividly," he said.
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Prof Yin Hong, of the School of Journalism and Communication of Tsinghua University,
said the film could be considered an example of a politically-themed movies attempting
to reach a wider audience through marketing.
"More stars mean more attention, which will attract the public, " he said.
• Second wave of H1N1 infections hits China(20TH October)
China is experiencing a second round of H1N1 flu infection.
Recent infections are more widespread and are increasing rapidly, said Zeng Guang, chief
epidemiologist at the Chinese Center for Disease Control and Prevention.
China has reported two deaths from H1N1 influenza - an 18-year-old woman in Tibet
who died on Oct 4 and a 43-year-old woman who died last Friday in Xining, capital of
Northwest China's Qinghai province.
Zeng said as seasons change, H1N1 infections slow in the southern hemisphere, while
they rocket in the northern hemisphere.
The number of H1N1 cases reported daily now equals the number of cases reported
during 10 days of last month, he said.
The Chinese mainland had reported more than 26,300 cases of H1N1 influenza as of last
Friday. About 86 percent have already recovered.
More than 17,000 of the cases were reported in September alone. H1N1 infections are
spreading to small and medium-sized cities, as well as central and west China, Zeng said.
He said the fight against H1N1 should shift from preventing imported H1N1 cases to
strengthening the response capabilities of small cities in less-developed regions. Zeng is
concerned that if there are too many critical cases in one region, hospitals will not be able
to provide sufficient care.
An epidemiological study directed by Zeng shows airborne particles of saliva are the
prime suspect for H1N1 infection, while no evidence exists to show the air itself can
spread the virus.
He said people do not need to wear thick masks or sterilize the air. They should wash
their hands and change clothes frequently, cover their mouth and nose when sneezing,
and avoid close face-to-face conversations (the safe distance is two meters between two
people).
So far, more than 300,000 people have been vaccinated against H1N1, with 150 showing
adverse reactions, including local swelling and pain, fever, vomiting and fatigue.
The Beijing Health Bureau said free vaccination of all the primary and middle school
students will begin today.
"Most of the reported adverse drug reactions were mild," said Health Ministry spokesman
Deng Haihua. "Generally speaking, our inoculations have been successful."
As of Friday, 17.6 million doses of the vaccine had been approved for release, the State
Food and Drug Administration said. The administration has issued vaccine production
licenses to eight domestic firms.
• A Copyright Complaint From China(21st october)
Chinese writers are planning group action aginst Google for digitizing their books
without paying them. A Chinese writers' society accused Google of infringing on the
copyrights of at least 570 Chinese authors by scanning and uploading their books into
Google's digital library without seeking consent. The society is soliciting all Chinese
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writers to voice their opposition before a U.S. court finalizes a settlement at a hearing
scheduled for Nov 9.
In a notice posted on chinawriter.com.cn, China Written Works Copyright Society
(CWWCS), advised Chinese writers to search for their own writings on the Google
eBooks web site and to be prepared to take further action to protect their legal rights.
Infuriated by Google's apparent copyright infringement, the copy right society pledged it
would fight on behalf of individual authors in potential legal action. Zhang Hongbo,
deputy director-general of the China Written Works Copyright Society, said the National
Copyright Administration and other Chinese authorities should push the U.S. government
to handle the issue properly, China Daily reported Wednesday.
According to the figures from China Written Works Copyright Society, nearly 18,000
books from 570 Chinese writers have been scanned and included in Google's eBooks
archive. So far, Google has not informed or paid most of these Chinese writers, China
Daily added.
This was the first time Chinese writers joined western authors in a movement against
Google's abuse of their copy rights.
German Chancellor Angela Merkel said earlier this month that copyrights have to be
protected both in the real world and on the Internet. Before the opening of Frankfurt
Book Fair, Merkel appealed for more international cooperation on copyright protection
and said her government opposed Google's plan to scan libraries full of books.
•
Chinglish to get the axe in Shanghai for World Expo (23rd october)
Shanghai is looking to get rid of poorly translated English signs as it readies to welcome
4 million foreign visitors to next year's World Expo.
Shanghai Media Group's International Channel Shanghai (ICS) earlier this week
launched a campaign called "Write It Right" to help correct improperly translated English
signs in the city's public areas.
High school student volunteers would take pictures of wrongly translated English signs
and billboards in the Expo Park, as well as in the city's downtown areas, ICS told Xinhua.
Experts will then discuss such mistakes and make recommendations.
Earlier this month, the municipal government released a new series of guidelines and
more than 300 English translations based on international standards. In the coming
months, these will replace existing public signs that are inadvertently humorous or
insensitive.
The correction moves follow a similar action taken by Beijing prior to its hosting of
the Olympic Games last year.
The efforts were good, especially coming from a place in China like Shanghai, which
is interacting with the rest of the world, Musebu Sichula from Zambia, a 33-year-old
doctorate student who studies at the University of Shanghai Finance and Economics, was
quoted as saying by Friday's China Daily.
She remembers coming across a large rock in Shanghai with a sign below it that read
"Caution, overhead hazard". She could not help but let out a laugh over what should have
been translated as "Watch your head".
Mardapittas, the creative director of a Shanghai-based media marketing firm,
characterized the city's attempt to correct improper English signs as a natural progression
in is modernization.
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"The way the city is choosing to change reflects the behavior of Chinese people," he
said. "With more and more Chinese making the effort to learn English and shaping
themselves toward a more international way of life, so is the city."
ETHNIC FRONT
• China "dissatisfied" with Uygur separatist's Japan visit(20th October)
China on Tuesday expressed "strong dissatisfaction" with Japan for its allowing a visit by
Uygur separatist Rebiya Kadeer.
"Some forces in Japan have planned for and facilitated Kadeer go to Japan to engage in
separatist activities against China," Foreign Ministry spokesman Ma Zhaoxu said at a
press briefing.
"Despite China's resolute opposition, Japan still allows Rebiya in. China expresses
strong dissatisfaction," Ma said.
Ma reiterated that the Chinese government stands firmly against national separatism
and is firm in safeguarding China's national unity. "Any attempt to separate China will be
doomed to fail."
Rebiya Kadeer is leader of the World Uygur Congress, which was widely blamed for
the deadly riot killing nearly 200 people in Urumqi, capital of northwest China's Xinjiang
Uygur Autonomous Region, on July 5.
ENVIRONMENTAL FRONT
• Experts map out low carbon city strategy(20th October)
China's urban planning experts Monday called for a substantial implementation of low
carbon concept in city development strategy to avoid environmental crisis amid rapid
urbanization.
It will be hard for the country to achieve its goal of sustainable development if measures
were not taken to improve energy efficiency and to cut carbon emission, the experts
warned, citing the fact that a 75 percent of urbanization by 2050 means much more
energy consumption and carbon dioxide emission.
They sounded the alarm in a report, China's Low Carbon Eco-city Development Strategy,
which was launched in Beijing Monday based on a research by the Chinese Society for
Urban Studies (CSUS).
The report predicted that even in the best "low-carbon development" scenario, the rise of
the emission of carbon dioxide, a major greenhouse gas (GHG), would likely be halted
only by 2035. Cities will be the dominant energy consumer and GHG emitter.
By 2050, between 70 percent and 75 percent of the Chinese will live in cities, while the
urban economy contributes 90 percent of the national economy, according to the report.
Li Xun, CSUS's senior urban planner, said the fast urbanization put great strain on
China's sustainable development.
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"Even though China adopts the strict emission standard, the situation is still not
optimistic," Li said.
The "low-carbon development" scenario requires China, now the world's third largest
economy, to raise the use of renewable energy from about 9 percent of total energy use at
present to 30 percent in the next 20 years. The efficiency of energy use in power plants
must be improved by 20 percent in the same period and "strict" energy-saving policies
must be adopted.
The report cited undated United Nations figures as saying that urban residents currently
accounted for only half of the world's population, but cities emit 75 percent of the world's
total CO2.
Yang Fuqiang, director of Global Climate Solutions, a program sponsored by World
Wide Fund for Nature (WWF), said the low carbone co-city development strategy is a
must-do option for China, a country facing multiple challenges of city sprawling, energy
strain and fast economic growth.
"Lacks of clear goal and evaluation criteria also hinder the building of low carbon ecocities," Yang said.
The report listed the vision of policy makers, technology support and fiscal stimulation as
major solutions. It will be eventually provided to lawmakers and government officials in
some 600 Chinese cities.
According to the report, city planners should set clear vision on urban functions in light
with the city's capacity for environmental sustainability. Integrated public transport
systems, green building technology and clean production technology are among options
to promote low-carbon cities.
Besides calling for developing and applying energy-efficiency technology, it also
suggests greater fiscal stimulation to local governments in the development of clean
energy programs.
"The goal is a tough task to achieve, but it gives constructive suggestions," Li said.
"China's urbanization will have a defining impact on this century's human development,"
Li said. "It is inevitable to embrace low-carbon concept if we want the urbanization more
sustainable."
Regional report
North
Politics
Social front
Economic front
World's top urban planners envision new Beijing CBD (19th
October)
Ten years after Beijing's famed Central Business District (CBD) was founded, the 4-sqkm cluster of modern highrises and international office buildings is set for an expansion
eastward that will almost double its size after the Beijing municipal government approved
the move in May.
•
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The public got its first view of possible plans for the new area at the opening ceremony of
the 10th Beijing CBD International Business Festival on October 12, when seven urban
planning and design firms unveiled their visions.
The municipal blueprint calls for the boundaries of the CBD be extended to the East
Fourth Ring Road, an expansion of about 3 sq km. The existing business zone is bordered
by Jianguomenwai Street on the south, Chaoyang Road on the north, Dongdaqiao Road
in the east and West Dawang Road in the west.
Developed for industries such as finance and media, the expanded area is intended to
further consolidate Beijing CBD's position as a leading international business hub in
China.
Firms and partnerships whose plans made it to the finals of the selection process included
Skidmore, Owings and Merrill LLP (SOM) from the US, Foster & Partners from Britain,
a joint team comprised of US-based Kohn Pedersen Fox Associates (KPF), Beijing
Institute of Architectural Design and Zhonghong Design, ADP-i from France, as well as a
joint team of China Academy of Urban Planning and Design and Space Syntax from
Britain, the Tsinghua Urban Planning and Design Institute and Guangzhou City Planning
and Design Institute.
A panel of experts from home and abroad announced their decision on October 16, when
SOM took first place honors, followed by the team of KPF, Beijing Institute of
Architectural Design and Zhonghong Design. Third-place went to the team of China
Academy of Urban Planning & Design and Space Syntax Ltd.
"The competition marks the start of Beijing CBD's eastward expansion," said Cheng
Lianyuan, head of the Chaoyang district where the CBD is located.
"We will make a final blueprint based on proposals from the seven participants while
considering suggestions from other experts and the concerns of the public," he added.
Experts said they were "very impressed with the wisdom and innovative ideas in the
proposals"
Northwest
Politics
Social front
Economic front
• Xinjiang imports coal from Mongolia (21st October)
Northwest China's Xinjiang Uygur Autonomous Region has for the first time imported
about 260 tonnes of coal from Mongolia, according to local frontier station authority
Wednesday.
Xinjiang is expected to annually import more than 2 million tonnes of resources,
mainly coal, from Mongolia through the Takixken port, which will help promote the
border trade and the region's economic development, local officials said.
In 2008, the import and export volume through the port, which is located in
northeastern Xinjiang's Altay area, reached 250 million yuan (36.6 million U.S. dollars).
The 260 tonnes of coal arrived in Xinjiang Monday
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Northeast
Politics
Social front
Economic front
Southwest
Politics
Social front
•
China courts sentence six to death over organized crimes(21st October)
Six people convicted in connection with organized crime gangs were sentenced Tuesday
to death at two courts in southwest China's Chongqing Municipality.
The No. 1 Intermediate People's Court handed down death sentences to Yang Tianqing
and Liu Chenghu, who were convicted of organizing a nine-member criminal gang and
murder, a court statement said.
Yang, the 35-year-old gang leader, was also fined 500,000 yuan, it said.
Two other members of the gang, Jian Shaokun and Zeng Chuan, were sentenced to
death with a two-year reprieve, the document said.
The other five members received jail terms from 11 years to life.
The court statement said the gang's crimes spanned the past eight years and involved
killings of four people and intentionally injuring at least six.
They were also convicted of illegally possessing guns or ammunition, false
imprisonment, robbery and extortion and forging resident identity cards, it said.
Meanwhile, Chongqing's No. 3 Intermediate People's Court handed down death penalty
to Liu Zhongyong on charges of organizing criminal gangs and murder.
Liu was also accused of running illegal coal mines in the suburbs of Chongqing and
was held responsible for two cave-ins in 2006 and 2008 that together killed three
workers.
His 22-member gang was responsible for the killing of one person and the injuring of
at least four others in Chongqing last year, a court statement said.
Liu's right-hand man Zheng Xin received death penalty with a two-year reprieve.
The other 20 members were jailed for one to 17 years.
Courts in Chongqing began hearing the cases last week.
Another 23 suspects were on trial on similar charges Monday and Tuesday at the
Chongqing No. 2 Intermediate People's Court. The court will hand down sentences on a
separate occasion.
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Twin brothers Zhang Bo and Zhang Tao, aged 23, were accused of running the 24member gang that ran an illegal casino in Wanzhou District, injured six people over the
past two years and illegally detained a man for more than 24 hours.
Gang member Deng Dexiang, the casino manager, is still at large
Economic front
South central
Politics
Social front
• China jails 8 for protests over mystery death(18th October)
A local court Saturday sentenced eight people to jail terms ranging from five years to two
years and a half for disrupting public order in Shishou City, central China's Hubei
Province, in June after the death of a chef.
Ten people stood on trial at the People's Court in Shishou Saturday. The court announced
leniency to two of the accused by exempting them from criminal punishment.
The eight sentenced people included cousin and brothers of 24-year-old Tu Yuangao, a
chef whose body was found lying at the gate of the Yonglong Hotel in Shishou in the
evening of June 17.
An autopsy and X-rays and tests for poisons carried out by experts from the Ministry of
Public Security and Tongji Medical Institute showed Tu committed suicide.
The court found that Tu's cousin Tu Xiaoyu and brothers seeked compensation from the
hotel, and stirred up the unrest by blocking traffic, which left 62 security guards and
policemen injured, and 16 police vehicles damaged.
Tu Xiaoyu was held as principal in the unrest. She was sentenced to five years in prison.
• China's biggest ever lottery win shrouded by mystery, suspicion(20th October)
First came shock and envy. Then speculation on the identity of China's biggest-ever
lottery prize winner. And finally came suspicion over the credibility of the country's
lottery industry. Public sentiment had made a dramatic turn two weeks after lottery
officials announced on October 8 that the winning ticket worth almost 360 million yuan
($52.7 million) was bought in Anyang City, central China's Henan Province.
The unidentified buyer has yet to come forward to claim the gigantic "Dual-colored Ball"
jackpot of the China Welfare Lottery.
Calls from the public and the media have poured into the Henan provincial Welfare
Lottery center, asking for the identity of the winner.
When lottery officials released the address of the outlet that sold the winning ticket in
Anyang's Yindu District, reporters from across the country swarmed into the small store,
trying to dig up details of the winner.
"I vaguely remembered that a man in his 30s or 40s bought that ticket," recalled the
vendor, Chen Guixia. "He spoke with a local accent.
"The player is not a regular customer in my shop. I can't remember exactly how he
looked and dressed," she said.
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Before selling the record jackpot winning ticket, Chen had sold second prizes in the
Welfare Lottery twice since opening for business in 2001.
Rumors circulating among the media and local community pointed to different versions
on the winner's identity, including a truck driver, a security guard, a steel products store
owner and a pool of four people.
According to the provincial Welfare Lottery center, the buyer chose two lines of the same
seven numbers, printed on a single ticket with a 44-draw spread, at a cost of 176 yuan
($25.8) at 2:55 p.m. on October 8. The ticket's total number of top prize stakes came to
88.
The Dual-colored Ball lottery consists of six red ball numbers from 1 to 33 plus one blue
ball number from 1 to 16. A maximum of five bets can be printed on one ticket and
players can spread the bet over multiple draws using the same set of numbers.
The jackpot numbers drawn that evening were 05, 12, 16, 25, 26, 27 and 31.
The winner must pay 20 percent of the win in a personal windfall income tax, or about 72
million yuan ($10.5 million).
The previous single-ticket lottery record was held by a player in Jiayuguan, in northwest
China's Gansu Province, who won 113.8 million yuan ($16.7 million) in the Dual-colored
Ball in November 2007 by spreading a set of numbers over 20 draws.
Members of the public used the popular website, Baidu.com, to allege the record win
could be the result of manipulation of the draw. They cited a post dated September 21 on
the website showing how to win a lottery jackpot of 300 million yuan by playing in an
identical way.
The IP address of the anonymous person who lodged the post was also from Henan
Province, a coincidence that fueled suspicions of fraud.
Another post by an unidentified "insider of China's lottery industry" alleged on the
Tianya BBS website on October 12 that the "Dual-colored Ball" lottery was used by
lottery issuing institutions to "cheat money out of lottery players" as the video of the
draw was pre-recorded.
The "insider" said the lottery issuing agencies could use the two-hour time gap between
last-minute sales and the draw to manipulate the results.
The Welfare Lottery's Dual-colored Ball is drawn three times a week: on Sunday,
Tuesday and Thursday. The insider said the lottery issuing agency used a super computer
to analyze sales data and the draw team pre-taped several versions of each high-jackpot
draw. Higher officials of the lottery issuing agencies then allegedly decided which set to
broadcast.
Lottery officials, however, have not commented on the allegation.
Lottery frauds and scandals have been reported in different cities in China over the past
five years.
A software-design engineer surnamed Cheng broke into a database of the Welfare Lottery
center in Shenzhen, Guangdong Province, on June 9 this year in an attempt to win 33
million yuan ($4.83 million) on the "Dual-colored Ball" lottery.
Employed by a high-tech company contracted with the lottery management center to
work on a system upgrade, Cheng hacked into the system and falsified entries for five
winning tickets.
Those tickets were among nine that won the top prize in the "Dual-colored Ball" lottery
on June 9. Each ticket was worth roughly 6.6 million yuan ($1 million).
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The management center detected the fraud shortly after it was announced there were nine
winning tickets. After an investigation, they concluded the computerized sales system
had been hacked and data changed. They contacted police at 2 a.m. on June 10.
Police assigned specialist on-line crime investigators, who staked out the prize collection
center and arrested Cheng on June 12.
• Chinese city holds trade fair in Vietnam(20th October)
A trade fair to showcase products made in the Zhongshan city of South China's
Guangdong province was held in Hanoi, capital of Vietnam, on Monday.
The fair aims to promote trade links between Zhongshan, a booming city known for
manufacturing, and Vietnam, said Li Qihong, mayor of Zhongshan city at the opening
ceremony on Monday.
More than 100 Zhongshan companies selling home appliances, electronics, toys, food,
chemical products and machinery participated in the trade fair, said Li.
Le Danh Vinh, deputy industry and trade minister of Vietnam, said the fair is expected to
provide a good opportunity for Zhongshan and Vietnamese businessmen to meet and
discuss cooperation.
Bilateral trade between China and Vietnam has seen fast growth in recent years with
intensified trade promotion activities at different levels, said Vinh.
The fair, running till Wednesday, is expected to see the signing of more than 200
contracts with the value of $1.8 billion, according to the organizer.
•
Stunt keeps 91-year-old man young(20th October)
The 91-year-old Xiao Qinglian performs his stunt show of handstand with both legs over
shoulder while picking up a coin with mouth by lowering his head to the ground, in a
park of Wuhan, central China's Hubei Province, Oct. 19, 2009. The nonagenarian man
has kept on the extraordinary physical exercises over the past 27 years to keep body fit.
Economic front
Environmental front
East
Politics
• President Hu makes inspection tour in Shandong Province(19th October)
Chinese President Hu Jintao (C), who is also general secretary of the Central Committee
of the Communist Party of China and chairman of the Central Military Commission, talks
with staff members of Shandong Dongyue Chemical Co. Ltd (SDC) in east China's
Shandong Province, Oct. 17, 2009. Hu Jintao made an inspection tour in Shandong
Province from Oct. 16 to 19.
Social front
Economic front
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Chinese president stresses development of renewable energy(19th
October)
Chinese President Hu Jintao has urged the country's companies to reduce operation costs
by speeding up the development of renewable energy and help improve the country's
energy structure. "Developing renewable energy vigorously is necessary for taking up
the front line in the new round of global energy revolution," said Hu while visiting a wind
energy project besides the Bohai Sea during his inspection tour in Shandong Province
from Oct. 16 to 19.
The project, when finished, will produce more than 95 million kw of electricity every
year and will play an important part in improving the local energy structure.
After attending the opening ceremony of the 11th Chinese National Games in Jinan,
capital city of Shandong, Hu inspected the province on local economic development and
Communist Party building.
Hu called upon companies to focus on technical innovation and scientific management
to improve their sustainable development.
While visiting the country's large oil base Shengli Oilfield, Hu climbed onto a well
drilling platform to meet with the workers. He praised the workers for their hard work
and outstanding professional skills.
During an inspection in a paper making company, Hu asked about the methods for
emission reduction and encouraged the company to continue to improve recycling
economy and put more efforts in environmental protection.
Hu also visited a village called Liujihou in the city of Dongying. The village set up its
Communist Party branch in 1925 --one of the four oldest Party branches in the province.
Hu urged Party members in the village to seek benefits for villagers, solve their
problems and encourage them to develop modern agriculture in a scientific way.
•
China's Minsheng net profit up 18% in first 9 months (20th
October)
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China Minsheng Banking Corp., the nation's first listed non-State lender, announced
Tuesday that it posted a net profit of 10.2 billion yuan (1.49 billion U.S. dollars) in the
first three quarters, up 18.11 percent year on year.
The net profit in the third quarter alone stood at 2.83 billion yuan, up 8.9 percent from
a year earlier, the lender said in a statement to the Shanghai Stock Exchange, the first
third-quarter report from banks listed in China's A-share market.
The lender attributed the net profit rise to the increasing income from net interest
margin.
The non-performing loan rate of the bank dropped to 0.82 percent at the end of
September from 0.86 percent at the end of June, according to the Beijing-based lender.
Equities of the Shanghai-listed bank added 2.42 percent to 7.63yuan per share on
Tuesday.
HONGKONG AND MACAU
Politics
Social front
• 1,000-m-long painting kicks off HK wetland events(18th October)
More than 2,000 people created a 1,000-meter-long painting with the theme of birds and
wetlands in Hong Kong on Saturday, in a bid to set a Guinness world record and kick off
an event series for World Wetlands Day 2010. Hong Kong's World Wetlands Day events
for 2010 would be in the form of a bird-watching festival that runs from October to
February next year, said sources with the Hong Kong Wetland Park, which co-organized
the events with local authorities and organizations.
From October 2009 to February 2010, a series of events would be rolled out to raise
public awareness of wetland ecology and the effects of climate change on the biodiversity of wetlands, according to the Park sources.
Highlights of the events series would include bird-watching guided tours, thematic
exhibitions, the premiere of a short film on the black-faced spoonbill, the launch of a
guide to birds of Hong Kong, public lectures, among others.
The World Wetlands Day has been celebrated internationally each year on February 2
since 1997 to commemorate the signing of the Convention on Wetlands of International
Importance in Ramsar, Iran, on February 2, 1971. The international theme for World
Wetlands Day 2010 is "Wetlands, Bio-diversity and Climate Change."
Many migratory birds fly to Hong Kong from mid-October to the following February.
The Hong Kong Wetland Park, located in northern Hong Kong, has recorded over 230
bird species, accounting for about 50 percent of those found in Hong Kong.
•
Macao kicks off music festival with gala concert
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The 23rd Macao International Music Festival (MIMF) started here on Friday night, as the
Macao Orchestra staged the month-long event's first performance.
This year's festival embraces opera, symphonic, choral and chamber music, as well as
contemporary, folk, pop, fusion and jazz music, which will be presented by artists from
the United Kingdom, Germany, Austria, Italy, Portugal, the United States, Chinese
mainland, Macao, etc.
Being the festival's opening program, the Butterfly Lovers Violin Concerto was presented
by the Macao Orchestra, which was joined by Chinese violinist Yu Lina, at the Macao
Cultural Centre Grand Auditorium Friday night.
The concerto, drawing on themes from the ancient Chinese tragic romance "The Butterfly
Lovers," remains until now China's most representative national symphonic work,
enjoying a great reputation both at home and aboard. Violinist Yu Lina, who was the
premiere performer of this symphonic work, was invited to play it in Macao 50 years
after the concerto was firstly performed in China.
Following Friday night's program, the Academy of Ancient Music (AAM), an orchestra
of world-class excellence from the United Kingdom, will stage their performance
Saturday with their instruments that were constructed or in use during the very historical
period when the music itself was composed.
Organized by Macao's Cultural Affairs Bureau, the festival will last from October 9 to
November 8, which will be accompanied by workshops and conferences with the aim of
stimulating public interest in the arts.
Economic front
• Hong Kong stocks close higher(20th October)
Hong Kong stocks gained 184.50 points, or 0.83 percent, to close at 22,384.96 on
Tuesday.
Turnover rose to HK$74.18 billion ($9.58 billion) from Monday's HK$60.63 billion ($7.8
billion).
• HK's total export volume down 14.1% on year in August(20th October)
Hong Kong's total exports volume fell 14.1 percent in August compared with the same
month last year, the Census and Statistics Department of Hong Kong Special
Administrative Region government said on Tuesday.
The Census and Statistics Department said the volume of imports dropped 7.4 percent,
while domestic exports dropped 33.5 percent and Hong Kong's re-exports fell 13.5
percent.
Comparing the first eight months this year with the same period last year, the volume
of Hong Kong's re-exports fell 15.6 percent, while that of domestic exports dropped 39.2
percent. The volume of total exports of goods decreased 16.4 percent and the volume of
imports fell 15.5 percent.
Prices of re-exports of goods rose 1.3 percent in this year's first eight months compared
with the same period last year, while those of domestic exports rose 0.2 percent.
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Compared with the same month last year, double-digit decreases were recorded for the
total export volume in August to Germany at 23.8 percent, the UK at 21.6 percent, the
United States at 12.8 percent and the Chinese mainland at 12.1 percent but the decrease
for Japan was only 4.8 percent.
The import volume from all main suppliers decreased, such as the United States at 17.9
percent, Japan at 15.1 percent, the Chinese mainland at 8.9 percent, China's Taiwan at 5.2
percent and Singapore at 2.2 percent.
• HK unemployment rate records first drop(20th October)
Hong Kong's labor market has begun to improve as the latest seasonally adjusted
unemployment rate recorded its first drop since the outbreak of the global financial
turmoil last year, said the Hong Kong Special Administrative Region government on
Monday.
Hong Kong's seasonally adjusted unemployment rate fell from 5.4 percent in the JuneAugust period to 5.3 percent in July-September. The underemployment rate remained
unchanged at 2.4 percent, the Census and Statistics Department said on Monday.
Secretary for Labor and Welfare Matthew Cheung said as business conditions gradually
improve and the labor market stabilizes, employers may adopt a more positive attitude
towards recruitment.
"This is expected to ease the pressure on the unemployment rate in the near term,"
Cheung said.
Total employment in July-September was 3,495,500, about the same as June-August
which stood at 3,495,300. The labor force fell 7, 400 to 3,704,700 in July-September.
The number of unemployed fell 7,700 to 209,100 in July- September while the number of
underemployed rose 1,700 to 89,900.
Falls in the unemployment rate were mainly observed in the construction, information
and communications, arts, entertainment and recreation sectors.
The unemployment rate of people aged 15 to 19 fell 2.7 percent to 25.7 percent, showing
that the local government's efforts to boost youth employment have begun to take effect.
Cheung also noted that the recovery path may still be uneven as overseas markets have
yet to show visible improvement.
He said the government will promote employment on all fronts through training,
retraining and skills upgrading.
• Minsheng bank to be listed in HK within 2009(23rd October)
China Minsheng Banking Corp, the nation's first privately owned lender, won the
overwhelming approval vote by its shareholders Monday to revive an initial H-share sale
after shelving the plan for four years and is likely to be listed in Hong Kong by the end of
the year.
"Minsheng's initial public offering on the H-share market has done with important
technical obstacles and the move will be completed by the end of the year if...
The full text is available in the June Issue of China Banking.
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CENTRAL ASIA
Business & Politics in the Muslim World
Weekly Report
Central Asia
October 10, 2009 to October 16, 2009
Uzma Siraj
Table of Contents
Azerbaijan
Political Front………………………………………………………………...4
Geo Strategic Front…………………………………………………………..5
Economic /Energy Front……………………………………………………..5
Social Front…………………………………………………………………..6
Kazakastan
Political Front………………………………………………………………..6
Geo Strategic Front…………………………………………………………..7
Economic /Energy Front……………………………………………………..7
Social Front…………………………………………………………………..7
Kyrgyzstan
Political Front………………………………………………………………...8
Geo Strategic Front…………………………………………………………..8
Economic /Energy Front……………………………………………………..8
Social Front…………………………………………………………………..9
Tajikistan
Political Front………………………………………………………………...9
Geo Strategic Front………………………………………………………….10
Economic /Energy Front…………………………………………………….10
Social Front………………………………………………………………….10
Turkmenistan
Political Front………………………………………………………………..10
Geo Strategic Front…………………………………………………………..11
Economic /Energy Front……………………………………………………..11
Social Front…………………………………………………………………..12
Uzbekistan
Political Front………………………………………………………………..12
Geo Strategic Front…………………………………………………………..12
Economic /Energy Front……………………………………………………..12
Social Front…………………………………………………………………..13
Outline
Azerbaijan
Political Front
• Azerbaijani Opposition Under Attack As Campaigning Begins
• Azerbaijani opposition parties to hold next Karabakh forum
• OSCE holds workshop on election monitoring in Baku
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OSCE Baku office comments on Azerbaijan's Electoral Code
Azerbaijani left party proposes to discuss Turkey-Armenia protocols in
parliament
Geo Strategic Front
• Azerbaijan Rejects Armenia-Turkey Deal
• Turkey will never do anything that will dissatisfy Azerbaijan: Turkish minister
• Turkish foreign minister to visit Azerbaijan
• Protest action held in front of Turkish embassy in Azerbaijan
• Cooperation between Turkey, Armenia encourages continuation of Armenian
occupation: Azerbaijani deputy FM
Economic /Energy Front
• Azerbaijan and Russia should continue efforts to create stable and diversified
relations: deputy minister
• Azerbaijan will always be reliable gas supplier to Europe: Hungary's Special
Envoy for Nabucco
• EBRD announces amount of investments in Azerbaijani economy in 2010
• World crisis slightly affected Azerbaijan: CIS executive committee chief
• Azerbaijani, Uzbek Auditor Chambers sign cooperation agreement
• SOCAR, Gazprom sign gas deal
Social Front
• Only Caucasus Muslims Office to organize pilgrimage from Azerbaijan: Sheik-ulIslam
• Azerbaijani president sends a message to participants of VI Conference of Culture
Ministers of Islamic countries
Kazakhstan
Political Front
• Kazakh Opposition Parties Announce Merger
• Kazakhs not yet ready to see Nazarbayev president for life – poll
• United opposition has chances to get into parliament – experts
Geo Strategic Front
• Kazakh delegation departs for Athens to participate in OSCE Parliamentary
Assembly Fall Meetings
• Kazakh president expected at Global Nuclear Security Summit in Washington
Economic /Energy Front
• OSCE organizes workshop in Kazakhstan on oil spills response
• Halyk Bank places 67.5 million common shares
• Areva and Kazatomprom established joint venture
• Kazakhstan invites France to invest $6.5 billion in power generation sector
• Kazakhstan, USA sign joint action plan in energy sphere
Social Front
• Kazakh Police Search Jewelry Firm On Smuggling Suspicions
• Margulan Mukhambetov, pictured at a refugee camp in the Czech Republic.
• Regional TV Director Alleges Kazakh Pressure
• Kazakhs parliament concerned with long working hours of Kazakh state officials
Kyrgyzstan
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Political Front
• At least 12 Hizb ut-Tahrir members detained in Kyrgyzstan
• MP: Political persecutions could end up with religious opposition
Geo Strategic Front
• Kyrgyz PM flies to China for SCO summit
• Kyrgyzstan to host next SCO Council meeting
• Kyrgyz, Kazakh premiers to talk security at SCO Council meeting
• CSTO: Russia to establish united military base in Kyrgyzstan
Economic /Energy Front
• Kyrgyzstan’s tax debt hits 1,293bln.
• Kyrgyzstan faring well in economic crisis, IMF says
• Kyrgyzstan pays out $3.5M of its gas debt to Uzbekistan
• K Kyrgyz PM, Chinese Railways Minister to discuss construction of ChinaEurope railway
• Uzbekistan resumes full gas supply to Kyrgyzstan
• Uzbekistan demands Kyrgyz PM to sign gas debt repayment schedule
• Kyrgyz MPs endorse draft agreement on renting pasture areas to Tajikistan
Social Front
• Kyrgyz Supporters Of Jailed Kazakh Rights Activist Get Warning
• Pension’s insurance component to increase by 15 percent in 2010
• Rightists nabbed near Kazakh Embassy in Bishkek
• Kyrgyzstan raises family income supplements
• Bishkek to hold anti-global warming campaign
Tajikistan
Political Front
• Political parties in Sughd discuss ways how to make parliamentary elections
democratic
• Parliament passes new criminal procedural code
Geo Strategic Front
• CIS summit in Chisinau ends with signing of documents, chairmanship transfer
• Rahmon invites Berdymukhamedov to pay official visit to Tajikistan in 2010
• President Rahmon departs for Kazakhstan to attend 3rd stage of military exercise
for COFR
Economic /Energy Front
• Central Asian trade ministers look to boost ties with U.S.
• Tajikistan’s external trade turnover amounts to $2.4701 bln in Jan-Sept 09
• CSTO interstate commission for military and economic cooperation meets in
Dushanbe on Oct 16
Social Front
• Tajik president, Aga Khan inaugurate The Ismaili Center in Dushanbe
• US$14.15 mln worth of humanitarian aid delivered to Tajikistan in Jan-Sept 09
Turkmenistan
Political Front
• Minister of Health and Medical Industry of Turkmenistan severely reprimanded
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• President of Turkmenistan replaces heads of several ministries and departments
Geo Strategic Front
• Turkmenistan Denies Entry To Peace Corps Volunteers
• Rahmon invites Berdymukhamedov to pay official visit to Tajikistan in 2010
• Presidents of Turkmenistan and Tajikistan hold talks in Caspian resort Avaza
Economic /Energy Front
• Turkmen President Reshuffles Key Energy Officials
• Turkmenistan to continue developing oil and gas industry despite global crisis
• Turkmenistan reports 2,4 time increase in trade turnover with Russia's Astrakhan
• Turkmenistan's GDP up 10.8 per cent in first nine months of 2009
• First International Investment Forum begins in Ashgabat
• Turkmen fuel and energy sector undergoes major personnel reshuffle
Social Front
• Citizens of Turkmenistan propose awarding title of national hero to head of state
• Foundations of green park zones of future Caspian Sea resort laid
Uzbekistan
Political Front
• The leader of Birdamlik movement goes back to Uzbekistan
Geo Strategic Front
• Activists Urge EU Not To Lift Uzbekistan Arms Embargo
• President of Uzbekistan receives US Assistant State Secretary
Economic /Energy Front
• Azerbaijani, Uzbek Auditor Chambers sign cooperation agreement
• Uzbekistan resumes full gas supply to Kyrgyzstan
• Uzbekistan not going to quit Central Asia’s power system, Uzbek officials say
Social Front
• Uzbekistan: Film Industry Flourishes After a Decade of Post-Soviet Decline
• Uzbekistan: The Bukhara Students are forced to work at cotton fields
Summery
Azerbaijan
Political Front
• Azerbaijani Opposition Under Attack As Campaigning Begins
Two high-ranking officials from the Musavat opposition party have been attacked after
force was used to disperse a party meeting in the central city of Barda, RFE/RL's
Azerbaijani Service reports.
• Azerbaijani opposition parties to hold next Karabakh forum
The union including Azerbaijani opposition parties will hold next Karabakh forum.
"There is necessity in next broad discussions taking into account that the protocols signed
between Turkey and Armenia will delay settlement of Nagorno-Karabakh conflict," said
Ahmad Oruj, chairman of Azadlig party represented in the Union for Democracy.
• OSCE holds workshop on election monitoring in Baku
The OSCE Office in Baku launched workshops on election monitoring for political
parties on Oct. 13. Representatives of 12 political parties represented in the Milli Mejlis
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(Parliament) will participate in workshops to be held in Baku and ten regions of
Azerbaijan till Nov. 1.
• OSCE Baku office comments on Azerbaijan's Electoral Code
Azerbaijan's electoral legislation allows conducting democratic elections, head of OSCE
office in Baku, ambassador Ali Bilge Jankorel told reporters. Azerbaijan will hold
municipal elections Dec. 23.
• Azerbaijani left party proposes to discuss Turkey-Armenia protocols in
parliament
Azerbaijani People's Socialist Party sent a proposal to Milli Majlis (parliament) to hold
discussions on signing of the protocols on normalization of relations between Turkey and
Armenia.
Geo Strategic Front
• Azerbaijan Rejects Armenia-Turkey Deal
Azerbaijan has sharply criticized Turkey for agreeing to normalize ties with Armenia.
AFP news agency quotes the Azerbaijani Foreign Ministry as saying in a statement that
the normalization of relations between Turkey and Armenia before the withdrawal of
Armenian forces from occupied Azerbaijani territory would be "in direct contradiction
with the interests of Azerbaijan
• Turkey will never do anything that will dissatisfy Azerbaijan: Turkish minister
"We believe peace in the region will benefit everyone." "Turkey is one of the powerful
countries of the region. The peace atmosphere in the region is interesting for Azerbaijan
and Armenia mostly because peace and stability leads to the economic development, but
tensions between the countries forces them to spend their resources to the armament,"
Turkish Culture and Tourism Minister Ertugrul Gunay said.
• Turkish foreign minister to visit Azerbaijan
Turkish Foreign Minister Ahmet Davutoglu will visit Azerbaijan next week, said
Spokesman for the Turkish government Cemil Chichek.
• Protest action held in front of Turkish embassy in Azerbaijan
Azerbaijan National Democratic Party staged a protest action in front of Turkish embassy
in Azerbaijan on Oct. 14 in a protest against the protocols on normalization of relations
signed between Turkey and Armenia
• Cooperation between Turkey, Armenia encourages continuation of Armenian
occupation: Azerbaijani deputy FM
“Azerbaijan has already announced position on the signing of Turkish-Armenian
protocols in the statements issued by the Ministry of Foreign Affairs of Azerbaijan on
August 30 and October 10, 2009 and President Ilham Aliyev’s interview to Azerbaijan
Television in Chisinau on October 9, 2009”,
Economic /Energy Front
• Azerbaijan and Russia should continue efforts to create stable and diversified
relations: deputy minister
Russia still remains one of the major trade partners of Azerbaijan, and exports to
Azerbaijan occupies a leading position with a percentage of 17.5 percent, said the trade
representative of Russia in Azerbaijan Yuri Shedrin at the meeting of Azerbaijan-Russia
Chamber of Business Cooperation on Oct 2.
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Azerbaijan will always be reliable gas supplier to Europe: Hungary's Special
Envoy for Nabucco
Partners on the implementation of the European pipeline project doubt in Iran's readiness
to start exporting its gas through Nabucco. Hungary's Special Envoy for Nabucco Mihály
Bayer said that "in principle" Nabucco may transport [...] Iranian gas, but the question is:
May Iran transport its gas and if it has any power to become a gas supplier for this
project."
• EBRD announces amount of investments in Azerbaijani economy in 2010
The European Bank for Reconstruction and Development (EBRD) plans to invest over
$200 million in Azerbaijani economy in 2010, head of EBRD office in Azerbaijan
Francis Daley said.
• World crisis slightly affected Azerbaijan: CIS executive committee chief
The plan of joint action to overcome consequences of the global financial and economic
crisis is planned to be approved at the council of CIS participant countries' heads in Yalta
on November 20, chairman of the CIS Executive Committee Sergey Lebedev said at II
International Banking Conference of the Commonwealth of Independent States (CIS)
• Azerbaijani, Uzbek Auditor Chambers sign cooperation agreement
Head of the Azerbaijan Chamber of Auditors Vahid Novruzov and his Uzbek counterpart
Ravshan Haydarov signed a cooperation agreement on Oct. 13. Speaking to the signing
ceremony, the chief of the Azerbaijan Chamber of Auditors spoke of President Ilham
Aliyev`s attention towards developing audit in the country.
• SOCAR, Gazprom sign gas deal
On Oct. 14, the State Oil Company of Azerbaijan Republic (SOCAR) and Russia's
Gazprom signed a medium-term contract to supply of Azerbaijani gas to Russia. From
Azerbaijan, the contract was signed by SOCAR President Rovnag Abdullayev and from
Russia by Gazprom CEO Aleksei Miller.
Social Front
• Only Caucasus Muslims Office to organize pilgrimage from Azerbaijan: Sheik-ulIslam
The pilgrimage from Azerbaijan will be organized only by the Caucasus Muslims Office
(CMO), Chairman of the CMO Sheik-ul-Islam Haji Allahshukur Pashazade told
reporters.
• Azerbaijani president sends a message to participants of VI Conference of Culture
Ministers of Islamic countries
Azerbaijan is ready to continue efforts to promote intercultural dialogue, said the
welcome letter from President Ilham Aliyev to the participants of VI Conference of
Culture Ministers of the Organization of the Islamic Conference member states that
began in Baku on Oct. 13.
Kazakhstan
Political Front
• Kazakh Opposition Parties Announce Merger
The leaders of two major opposition parties in Kazakhstan have announced a merger
between their parties, RFE/RL's Kazakh Service reports.
• Kazakhs not yet ready to see Nazarbayev president for life – poll
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Around 42% of Kazakh citizens interviewed as part of a recent survey have named
President Nursultan Nazarbayev their nation's leader. "Kazakh citizens of all ethnicities,
genders and age groups view Nazarbayev as their leader," said Gulmira Ileulova, director
of the Strategy center of social and political studies
• United opposition has chances to get into parliament – experts
Almaty. October 15. Interfax-Kazakhstan – The Kazakh political analysts are actively
discussing the merger of the two opposition parties and believe that the united opposition
has all chances to get into the parliament .
Geo Strategic Front
• Kazakh delegation departs for Athens to participate in OSCE Parliamentary
Assembly Fall Meetings
Kazakh delegation led by the Senate Speaker Kasymzhomart Tokayev departed for
Athens on Thursday to take part in OSCE Parliamentary Assembly Fall Meetings to
discuss “Energy Security and Environment from 9 to 12 October.
• Kazakh president expected at Global Nuclear Security Summit in Washington
Kazakhstan president Nursultan Nazarbayev is expected to take part in the Global
Nuclear Security Summit in the USA in spring 2010.
Economic /Energy Front
• OSCE organizes workshop in Kazakhstan on oil spills response
Experts from countries on the Caspian Sea shore, international organizations, private
sector and civil society will discuss how to best deal with oil spills during an OSCE
workshop that starts in Atyrau, western Kazakhstan, today.
• Halyk Bank places 67.5 million common shares
Almaty. October 9. Interfax-Kazakhstan – Kazakhstan-based Halyk Bank is placing
67,533,545 authorized but unplaced common shares (the Shares), the bank says in a
statement.
• Areva and Kazatomprom established joint venture
Àstana. October 6. Interfax-Kazakhstan - French Areva and Kazakhstan’s national
nuclear company Kazatomprom has established a joint venture for fuel marketing,
Integrated Fuel Asia Star (IFASTAR).
• Kazakhstan invites France to invest $6.5 billion in power generation sector
Astana. October 6. Interfax-Kazakhstan – Power generating facilities in Kazakhstan
require $6.5 billion in investments, managing director of Samruk-Kazyna, Aidan
Karibzhanov, said inviting the French companies to join the power generating projects in
Kazakhstan."In order to meet the rising demand for electricity, Kazakhstan needs new
generating facilities and modernization of the operating ones.
• Kazakhstan, USA sign joint action plan in energy sphere
Kazakhstan and the United States have signed the joint action plan in energy sector
during the session of joint Kazakh-USA energy partnership commission on Thursday
Social Front
• Kazakh Police Search Jewelry Firm On Smuggling Suspicions
Kazakh financial police have searched the offices and shops of the Altyn Jewelry
company, RFE/RL's Kazakh Service reports. Murat Zhumabay, a spokesman for the
financial police, told journalists in Astana that all of Altyn's shops and offices in
Kazakhstan are being searched because the company is suspected of jewel smuggling
• Margulan Mukhambetov, pictured at a refugee camp in the Czech Republic
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Relatives of a Kazakh man deported from the Czech Republic to Kazakhstan over the
weekend are concerned about his whereabouts, RFE/RL's Kazakh Service reports.
• Regional TV Director Alleges Kazakh Pressure
The director of a Central Asian satellite TV channel says Kazakh authorities began
pressuring his company after it interviewed a former presidential son-in-law who'd fallen
out of favor with President Nursultan Nazarbaev, RFE/RL's Kazakh Service reports.
• Kazakhs parliament concerned with long working hours of Kazakh state officials
Majilis members, Zhakip Asanov and Bakhyt Syzdykova expressed their deep concern
with the lifestyle and work environment of Kazakh state officials.
Kyrgyzstan
Political Front
• At least 12 Hizb ut-Tahrir members detained in Kyrgyzstan
At least 12 active members of the extremist organization Hizb ut-Tahrir have been
detained in course of the joint operation of the National Security Committee and the
Interior Ministry in Kyrgyzstan
• MP: Political persecutions could end up with religious opposition
Continuing political persecutions could result in establishment of a religious opposition
in five years in Kyrgyzstan, Roza Otunbaeva, a parliament member from the Social
Democratic fraction told reporters in Bishkek, Tuesday.
Geo Strategic Front
• Kyrgyz PM flies to China for SCO summit
The Prime Minister of Kyrgyzstan has left for China to take part in summit of the
Shanghai Cooperation Organization’s Heads of Government Council to run in Beijing
• Kyrgyzstan to host next SCO Council meeting
Next meeting of the Shanghai Cooperation Organization Council of Heads of
Government will take place in Kyrgyzstan in 2010, the Prime Minister Igor Chudinov
said in Beijing Wednsday. “I will be glad to welcome all participants of the current
session on the hospitable Kyrgyz land in 2010
• Kyrgyz, Kazakh premiers to talk security at SCO Council meeting
Prime Ministers of Kyrgyzstan and Kazakhstan will hold bilateral discussion over energy
security. Igor Chudinov and Karim Masimov will meet in Beijing later Wednesday after
official meetings of the SCO Heads of Governments Council.
• CSTO: Russia to establish united military base in Kyrgyzstan
A military base to unite all Russian military objects in Kyrgyzstan, including Kant
airbase, will be established in the republic, Nikolai Bordyuzha, Secretary General for the
Collective Security Treaty Organization told Russian mass media on October 14.
Economic /Energy Front
• Kyrgyzstan’s tax debt hits 1,293bln
State Committee for Taxes and Dues said Monday the tax payable has hit 1,293 billion
soms in Kyrgyzstan. As of January 1, 2009 the amount made up to 3,487 billion soms.
• Kyrgyzstan faring well in economic crisis, IMF says
Kyrgyzstan, Tajikistan and Georgia are reportedly faring better in the global recession
than other Central Asian countries, Regional economic outlook: Middle East and Central
Asia-2009, by the International Monetary Fund said
• Kyrgyzstan pays out $3.5M of its gas debt to Uzbekistan
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Kyrgyzstan has paid out $3.5 million of its gas debt to Uzbekistan, Kyrgyzgas company
informed the news agency 24.kg Monday.
• K Kyrgyz PM, Chinese Railways Minister to discuss construction of ChinaEurope railway
Igor Chudinov the Prime Minister of Kyrgyzstan and Liu Zhijun the Railways Minister of
China will discuss construction of China-Europe railway in Beijing later Wednesday.
• Uzbekistan resumes full gas supply to Kyrgyzstan
Uzbekistan resumes full gas supply to all regions of Kyrgyzstan, director of the
Kyrgyzgas Company Salamat Aitikeev told 24.kg Thursday morning. Aitikeev left for
Tashkent Wednesday to bargain with the neighbors about possible continuation of gas
relations between the two countries.
• Uzbekistan demands Kyrgyz PM to sign gas debt repayment schedule
Uzbekistan to resume gas supply to Kyrgyzstan only on a condition that the Prime
Minister, Igor Chudinov, signs a debt repayment schedule, informal sources in
government informed 24.kg.
• Kyrgyz MPs endorse draft agreement on renting pasture areas to Tajikistan
On Tuesday October 13, the Zhogorku Kenesh (Kyrgyzstan’s parliament) Committee on
Regional Development and Local Government considered and endorsed a draft
agreement on renting pasture areas in the Batken region to Tajikistan, Kyrgyzstan’s news
agency AKIPress reported.
Social Front
• Kyrgyz Supporters Of Jailed Kazakh Rights Activist Get Warning
Three Kyrgyz activists have been detained for supporting jailed Kazakh human rights
activist Yevgeny Zhovtis, RFE/RL's Kyrgyz Service reports.
• Pension’s insurance component to increase by 15 percent in 2010
It is planned to increase insurance component of pensions by 15 percent in Kyrgyzstan
starting from March 1, 2010, Tajikan Kalimbetova, Chairwoman of the Social Fund said
at the Migration, Labor, Social Policy and Health Care Committee’s session on Monday
• Rightists nabbed near Kazakh Embassy in Bishkek
A group of local human rights activists was held near the Kazakh Embassy in Bishkek,
Monday morning.
• Kyrgyzstan raises family income supplements
Kyrgyz government will raise family income supplements for unemployed citizens with
no right for retirement benefits from 200 to 240 soms, press service of the Kyrgyz
Finance Ministry reported.
• Bishkek to hold anti-global warming campaign
Peaceful ecologic anti-global warming campaign with a symbolic name "350" will be
held at the central Ala-Too Square in Bishkek on October 24, organizers of the event told
the news agency 24.kg
Tajikistan
Political Front
• Political parties in Sughd discuss ways how to make parliamentary elections
democratic
On Wednesday October 14, representatives of political parties and public associations
functioning in the Sughd province gathered in Khujand to discuss ways how to make the
parliamentary elections due in February 2010 more democratic.
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• Parliament passes new criminal procedural code
Deputies of the Majlisi Namoyandagon (Tajikistan’s lower chamber of parliament) have
endorsed a draft law on adoption of a new criminal-procedural code of the country.
Geo Strategic Front
• CIS summit in Chisinau ends with signing of documents, chairmanship transfer
The CIS summit in the Moldavian capital Chisinau ended with the signing of several
documents and the CIS chairmanship transfer from Moldova to Russia. According to
Russia’s Itar-Tass, CIS Executive Committee Chairman Sergey Lebedev said, “
• Rahmon invites Berdymukhamedov to pay official visit to Tajikistan in 2010
During his visit to Turkmenistan on October 9-10, President Emomali Rahmon invited
his Turkmen counterpart, President Gurbanguly Berdymukhamedov, to pay an official
visit to Tajikistan in 2010, according to presidential press service.
• President Rahmon departs for Kazakhstan to attend 3rd stage of military exercise
for COFR
President Emomali Rahmon departed for Kazakhstan today afternoon. Tomorrow, along
with other heads of member nations of the Collective Security Treaty Organization
(CSTO) President Emomali Rahmon will attend the third stage of the military exercise
for the new Collective Operation Reaction Forces (COFR) created within the framework
of the CSTO
Economic /Energy Front
• Central Asian trade ministers look to boost ties with U.S.
Trade ministers from five Central Asia countries and Afghanistan are in Washington this
week for talks on expanding trade and investment, Raio Liberty reported on October 9.
• Tajikistan’s external trade turnover amounts to $2.4701 bln in Jan-Sept 09
-- Over the first nine months of this year, Tajikistan’s external trade turnover including
electrical power and natural gas, has amounted to 2.4701 billion U.S. dollars, which was
71.9 percent of the January-September 2008 level or 966..5 million dollars fewer, the
head of the Customs Service Nemat Rahmatov told reporters in Dushanbe today.
According to him, Tajikistan had trade relations with 96 countries of the world, including
11 CIS states over the report period.
• CSTO interstate commission for military and economic cooperation meets in
Dushanbe on Oct 16
The seventh session of the Interstate Commission for Military and Economic Cooperation
of the Collective Security Treaty Organization (CSTO) will be held in Dushanbe on
October 16.
Social Front
• Tajik president, Aga Khan inaugurate The Ismaili Center in Dushanbe
President Emomali Rahmon and His Highness the Aga Khan, the Spiritual Leader of the
Shia Ismaili Muslims, officially opened The Ismaili Center in Dushanbe today afternoon.
• US$14.15 mln worth of humanitarian aid delivered to Tajikistan in Jan-Sept 09
In January-September 2009, 14.16 million U.S. dollars worth of humanitarian aid has
been delivered to the Sughd province, which is 2.99 million U.S. dollars more than in the
same period of last year, the first deputy head of the Sughd customs service,
Turkmenistan
Political Front
• Minister of Health and Medical Industry of Turkmenistan severely reprimanded
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During the October 14 expanded government meeting, Turkmen President Gurbanguly
Berdimuhamedov criticized the activities of the Ministry of Health and Medical Industry
of the country.
• President of Turkmenistan replaces heads of several ministries and departments
On October 14, at the enlarged meeting of the Cabinet of Ministers of Turkmenistan,
President Gurbanguly Berdimuhamedov relieved Environment Minister Magtymguly
Akmyradov of his duties "in connection with his transfer to another job."
Geo Strategic Front
• Turkmenistan Denies Entry To Peace Corps Volunteers
Turkmenistan has denied entry to dozens of U.S. Peace Corps volunteers, RFE/RL's
Turkmen Service reports. Acting Country Director Christopher Leal told RFE/RL that 47
Peace Corps volunteers scheduled to come to Turkmenistan on September 30 were told
the day before boarding a plane in Philadelphia that they would not be allowed to enter
Turkmenistan if they traveled there.
• Rahmon invites Berdymukhamedov to pay official visit to Tajikistan in 2010
During his visit to Turkmenistan on October 9-10, President Emomali Rahmon invited
his Turkmen counterpart, President Gurbanguly Berdymukhamedov, to pay an official
visit to Tajikistan in 2010, according to presidential press service.
• Presidents of Turkmenistan and Tajikistan hold talks in Caspian resort Avaza
President of Turkmenistan Gurbanguly Berdimuhamedov and President of Tajikistan
Emomali Rakhmon held talks in the Caspian Sea resort "Avaza". A number of bilateral
documents were signed as a result of talks.
Economic /Energy Front
• Turkmen President Reshuffles Key Energy Officials
Turkmenistan's President Gurbanguly Berdymukhammedov has reshuffled the gasproducing Central Asian country's senior energy officials, accusing some of negligence
and inefficiency, state media said. Berdymukhammedov demoted Oil and Gas Minister
Annaguly Deryaev, naming him the head of state oil firm Turkmenneft.
• Turkmenistan to continue developing oil and gas industry despite global crisis
During the October 12 field meeting on the issue of further development of the fuel and
energy sector of Turkmenistan, President Gurbanguly Berdimuhamedov urged the
industry managers to be more active in further modernizing the infrastructure, developing
and strengthening the raw material base of the oil and gas industry,
• Turkmenistan reports 2,4 time increase in trade turnover with Russia's Astrakhan
In 2009, trade turnover between Turkmenistan and Astrakhan region of Russia increased
2,4 times year-on-year. This was reported by the press-service department and
information policy of the administration the Governor of Astrakhan region.
• Turkmenistan's GDP up 10.8 per cent in first nine months of 2009
All branches of the national economy of Turkmenistan reported high growth for the
period of January-September 2009, Chairman of the State Committee on Statistics
Ashirguly Gurbangulyev said at a government meeting on 14 October.
• First International Investment Forum begins in Ashgabat
An International Investment Forum kicked off at the Exhibition Center in Ashgabat on
October 15. The forum brought together over 600 heads of major foreign companies,
stock exchanges, commercial banks, representatives of consulting and rating agencies
from more than 50 countries.
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• Turkmen fuel and energy sector undergoes major personnel reshuffle
On September 12, President of Turkmenistan Gurbanguly Berdimuhamedov held a field
meeting on the issues related to development of the fuel and energy sector and the state of
affairs in the industry.
Social Front
• Citizens of Turkmenistan propose awarding title of national hero to head of state
Speaking at a government meeting on October 14, chairman of the Central Commission
on Elections and Referenda of Turkmenistan Murad Karryev reported on "numerous
requests from citizens and labor collectives of enterprises, institutions and public
organizations from all over the country to confer the title of Hero of Turkmenistan on
President Gurbanguly Berdimuhamedov.
• Foundations of green park zones of future Caspian Sea resort laid
A tree planting campaign was held on October 9 in the Caspian Sea coast with the
participation of President of Turkmenistan Gurbanguly Berdimuhamedov. During the
action, future park zones were laid in the territory of the national tourist zone Avaza.
Uzbekistan
Political Front
• The leader of Birdamlik movement goes back to Uzbekistan
Bakhodir Choriev, Uzbek political emigrant and the leader of Birdamlik (Solidarity)
movement, decided to go back to Uzbekistan and continue his political activity at home.
This is indicated in his letter, directed to Ferghana.Ru.
Geo Strategic Front
• Activists Urge EU Not To Lift Uzbekistan Arms Embargo
Rights activists from the Independent Civil Society of Uzbekistan in Germany are calling
on the European Union not to lift its last sanction against Tashkent, RFE/RL's Uzbek
Service reports.
• President of Uzbekistan receives US Assistant State Secretary
President of Uzbekistan Islam Karimov received US Assistant State Secretary for South
and Central Asian Affairs Robert Blake on 12 October in Tashkent.
Uzbekistan and the US had been developing relations in various spheres, which, among
others, cover a wide range of issues of international policy, Islam Karimov stated. Among
them are combating transnational threats and strengthening regional security and
stability, President's press service reported.
Economic /Energy Front
• Azerbaijani, Uzbek Auditor Chambers sign cooperation agreement
Head of the Azerbaijan Chamber of Auditors Vahid Novruzov and his Uzbek counterpart
Ravshan Haydarov signed a cooperation agreement on Oct. 13. Speaking to the signing
ceremony, the chief of the Azerbaijan Chamber of Auditors spoke of President Ilham
Aliyev`s attention towards developing audit in the country.
• Kyrgyzstan pays out $3.5M of its gas debt to Uzbekistan
Kyrgyzstan has paid out $3.5 million of its gas debt to Uzbekistan, Kyrgyzgas company
informed the news agency 24.kg Monday.
• Uzbekistan resumes full gas supply to Kyrgyzstan
Uzbekistan resumes full gas supply to all regions of Kyrgyzstan, director of the
Kyrgyzgas Company Salamat Aitikeev told 24.kg
• Uzbekistan not going to quit Central Asia’s power system, Uzbek officials say
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Uzbekistan is not going to quit Central Asia’s power system, Uzbek state-run joint-stock
company Uzbekenergo stated yesterday, according to Kazakhstan’s news agency Kaz
TAG.
Social Front
• Uzbekistan: Film Industry Flourishes After a Decade of Post-Soviet Decline
Film industry is flourishing in Uzbekistan as low-budget movies starring famous singers
and utilizing heart-wrenching plots are gaining popularity with the Uzbek audiences.
However, widespread copyright piracy and shortage of investment remain major
roadblocks for the industry’s development.
• Uzbekistan: The Bukhara Students are forced to work at cotton fields
Over a thousand students of the Bukhara State University were sent to cotton fields.
Ferghana.Ru found the document, proving the fact of blackmail and threat that force
students to work at cotton fields.
Detailed Report
Azerbaijan
Political Front
• Azerbaijani Opposition Under Attack As Campaigning Begins
BAKU -- Two high-ranking officials from the Musavat opposition party have been
attacked after force was used to disperse a party meeting in the central city of Barda,
RFE/RL's Azerbaijani Service reports. Musavat Deputy Chairman and parliamentarian
Arif Hajili told RFE/RL that he and parliament deputy Ikram Israfilov were attacked by
local members of the ruling Yeni Azerbaijani Party on October 8 during a campaign
event. The local branch of Yeni Azerbaijani denied participating in any attack. The
incident occurred two days after the beginning of campaigning for local elections. Barda
city official Mazahir Gasimov described the incident as a "mob's reaction," saying that
the Musavat party "irritated the population" when they were in power from 1992-1993.
Because "we live in a democratic society," Gasimov said, people wonder why it is
necessary for opposition parties to continue their activities. After the attack, Musavat
tried to move its meeting to the nearby town of Yevlakh but its supporters were
confronted by a road blockade set up by police.
Mustafa Hajibeyli, a journalist who witnessed the confrontation with police, said there
were 10 police cars surrounding the group. He said one police car followed them all the
way back to Barda. In Baku, Internal Affairs Ministry spokesman Ehsan Zahidov told
RFE/RL that he was unaware of the incident and said that even if the event took place it
would be "absolutely legal." He added that Musavat tried to hold an "unsanctioned
meeting" in Yevlakh and "it is a duty of law-enforcement agencies to prevent illegal
actions."
• Azerbaijani opposition parties to hold next Karabakh forum
The union including Azerbaijani opposition parties will hold next Karabakh forum.
"There is necessity in next broad discussions taking into account that the protocols signed
between Turkey and Armenia will delay settlement of Nagorno-Karabakh conflict," said
Ahmad Oruj, chairman of Azadlig party represented in the Union for Democracy.
Armenian and Turkish Foreign Ministers Edward Nalbandyan and Ahmet Davutoglu
signed Ankara-Yerevan protocols in Zurich on Oct. 10. Turkey and Armenia achieved the
agreement to launch 'internal political consultations' concerning signing of 'Protocol on
establishment of diplomatic relations' and 'Protocol on development of bilateral relations'
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during the talks under Switzerland's mediation late August. Oruj said that major topic of
discussions at the forum to be held on Oct. 19 will be the way of these protocols'
conformity with Azerbaijani interests. "We think that in case the border is opened and
intensified efforts by Turkey, there will be no serous changes in solving NagornoKarabakh problem within Azerbaijani territorial integrity," chairman of the party said.
The Nagorno-Karabakh conflict is a national problem. Thus, they want representatives of
all opposition parties, as well as ruling party and the government to participate in this
forum, Oruj said. "So, we will send invitations to the Azerbaijani foreign ministry and
presidential administration," he said. The Union for Democracy was established by
opposition parties the Classic People's Front, Azadliq and the National Democracy, the
Great Azerbaijani Party and the Party of National Salvation. The union is an body of
cooperation and consultation.
• OSCE holds workshop on election monitoring in Baku
The OSCE Office in Baku launched workshops on election monitoring for political
parties on Oct. 13. Representatives of 12 political parties represented in the Milli Mejlis
(Parliament) will participate in workshops to be held in Baku and ten regions of
Azerbaijan till Nov. 1. The event aims to inform the representatives of political parties on
the key OSCE commitments for democratic elections, study methodology, international
experience in this area and instructions to prevent interference of observers from political
parties in the electoral process. Municipal elections in Azerbaijan will be held on Dec.
23. In previous elections, there were some problems, said the head of OSCE Office in
Baku, Ambassador Ali Bilge Cankorel. "Basically, the problems were related to the lack
of dialogue between political parties, issues such as the formation of election
commissions, voting of military personnel, intervention of the heads and bodies of
executive power in the electoral process, intervention of the executive bodies in the press
during the election campaign and during the elections, the participation of independent
observers, and observers from political parties," said the ambassador. Such seminars will
enhance credibility of the electoral process for all parties, as well as relations between the
representatives of political organizations in the regions. The OSCE Office in Baku will
also hold training sessions for long-term and short-term independent observers.
Workshops will be held on the basis of OSCE commitments for democratic elections and
the electoral legislation of Azerbaijan. Volunteer observers can use hotline services and
legal
• OSCE Baku office comments on Azerbaijan's Electoral Code
Azerbaijan's electoral legislation allows conducting democratic elections, head of OSCE
office in Baku, ambassador Ali Bilge Jankorel told reporters. Azerbaijan will hold
municipal elections Dec. 23. Electoral Code of the Azerbaijani Republic was adopted in
2003. It was designed together with the Venice Commission of the Council of Europe, as
well as the OSCE Office for Democratic Institutions and Human Rights. Jankorel said
that it is possible to make amendments in electoral legislation on several issues. OSCE
office in Baku plans to discuss electoral legislation with heads of political parties during
'round table' on the eve of elections, he said.
• Azerbaijani left party proposes to discuss Turkey-Armenia protocols in
parliament
Azerbaijani People's Socialist Party sent a proposal to Milli Majlis (parliament) to hold
discussions on signing of the protocols on normalization of relations between Turkey and
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Armenia. Turkish and Armenian foreign ministers Ahmet Davutoglu and Edward
Nalbandian signed the Ankara-Yerevan protocols in Zurich on Oct. 10. Diplomatic
relations between Armenia and Azerbaijan have been severed since 1993 due to
occupation of Azerbaijani lands by Armenia and Armenia's claims of so-called
"genocide."Azerbaijani People's Socialist Party proposes to hold discussions in the
parliament before ratification of the protocols in the Turkish legislative body, chairman
of the party Rovshan Huseynov told reporters. The party also proposes to recall
Azerbaijani ambassador to Turkey and reconsider participation of the country in the
international projects with Ankara's participation. Huseynov said that signing of the
protocols was advantageous for neither Azerbaijan nor Armenia which lost such an ally
as Russia. Only Turkey gained in this issue, he said
Geo Strategic Front
• Azerbaijan Rejects Armenia-Turkey Deal
U.S. Secretary of State Hillary Clinton speaks with Armenian Foreign Minister Eduard
Nalbandian after the signing ceremony on October 10
BAKU -- Azerbaijan has sharply criticized Turkey for agreeing to normalize ties with
Armenia. AFP news agency quotes the Azerbaijani Foreign Ministry as saying in a
statement that the normalization of relations between Turkey and Armenia before the
withdrawal of Armenian forces from occupied Azerbaijani territory would be "in direct
contradiction with the interests of Azerbaijan. The statement continues to say that this
action "casts a shadow over the spirit of brotherly relations" between Azerbaijan and
Turkey, which it says are built on deep historical roots. It says Azerbaijan believes that
the unilateral opening of the Turkish-Armenian border would call into question the
architecture of peace and stability in the region. The Azerbaijani reaction comes after
Turkey and Armenia on October 10 signed accords to restore diplomatic ties and open
borders after almost a century of enmity. Officials said Armenian Foreign Minister
Edouard Nalbandian and his Turkish counterpart Ahmet Davutoglu inked the two
protocols in a ceremony in Switzerland. The bitterness between Turkey and Armenia has
centered on the deaths of more than 1 million Armenians under the Ottoman Turks during
World War I. Armenia says the deaths were genocide, which Turkey denies.
• Turkey will never do anything that will dissatisfy Azerbaijan: Turkish minister
"We believe peace in the region will benefit everyone." "Turkey is one of the powerful
countries of the region. The peace atmosphere in the region is interesting for Azerbaijan
and Armenia mostly because peace and stability leads to the economic development, but
tensions between the countries forces them to spend their resources to the armament,"
Turkish Culture and Tourism Minister Ertugrul Gunay said. "Azerbaijan is a state of
same nation with us. We respect the independence of Azerbaijan, but we don’t see
Azerbaijan disintegrated from us. We say “One nation and two states” in Kazakhstan and
Kyrgyzstan too, but we feel it better in Azerbaijan and Turkey. I see warm welcoming in
Baku and Azerbaijani minister of culture is also welcomed in Turkey warmly. We are
two states with same language, same ethnic roots and same religions. It is impossible for
us to do something not paying attention to the Azerbaijan’s sensibility," he said. "We
want our every action to bring benefits to Azerbaijan. Armenia has occupied part of
Azerbaijani lands. We are making Armenia to understand it and to withdraw its forces.
Our prime minister immediately visited Baku when he saw Azerbaijan’s concern and
addressed the Azerbaijani parliament. Prime Minister Erdogan said that we would never
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make a step making Azerbaijan to hesitate. We are keeping our promise. But it needs to
realize that there is no solution of problem without discussing it at the negotiation table,"
he said. "The protocol of goodwill signed between Turkey and Armenia will bring benefit
to the region, particularly to Azerbaijan. If Armenia wants to overcome poverty, it must
to work to normalize its relations with us and with Azerbaijan. Let everyone not to worry,
we will never do anything that will dissatisfy Azerbaijan," he said.
• Turkish foreign minister to visit Azerbaijan
Turkish Foreign Minister Ahmet Davutoglu will visit Azerbaijan next week, said
Spokesman for the Turkish government Cemil Chichek. On Oct. 21, Davutoglu is
expected to brief the Turkish parliament about the protocols signed with Armenia. Ahmet
Davutoglu will attend the meeting of foreign ministers of the Black Sea Economic
Cooperation Organization in Baku on Oct. 21-22.
• Protest action held in front of Turkish embassy in Azerbaijan
Azerbaijan National Democratic Party staged a protest action in front of Turkish
embassy in Azerbaijan on Oct. 14 in a protest against the protocols on normalization of
relations signed between Turkey and Armenia. ANDP members raised the Turkish and
Azerbaijani flags and chanted “AKP, Armenian, the enemy of Turk”, “Bozkurtlar are
immortal, Motherland is indivisible”, Down with Armenia”, “Forever Turkic Union”.
A resolution was read out at the end of 10-minute protest action, which condemned the
Turkish government’s stance. The party called on the Turkish parliament not to ratify the
protocols. After the resolution read out, police dispersed the protesters. Six ANDP
activists were detained and taken to police office
• Cooperation between Turkey, Armenia encourages continuation of Armenian
occupation: Azerbaijani deputy FM
“Azerbaijan has already announced position on the signing of Turkish-Armenian
protocols in the statements issued by the Ministry of Foreign Affairs of Azerbaijan on
August 30 and October 10, 2009 and President Ilham Aliyev’s interview to Azerbaijan
Television in Chisinau on October 9, 2009”, Deputy Minister of Foreign Affairs of
Azerbaijan Araz Azimov said. The deputy minister said Azerbaijan understood the
importance of Turkey’s efforts to solve its historical problems and to normalize relations
with Armenia. “Establishing of relations is a sovereign right of each country. Turkey
closed its borders with Armenia in a response to the occupation of Azerbaijani lands by
Armenia. The decision was made in this context and it couldn’t be disaffirmed out of
relevant context. We are sure that while the situation remains unchanged and the lands
are under the occupation, the opening of the Turkish-Armenian borders will negatively
impact not only Azerbaijan and solution to Nagorno Karabakh conflict, but whole South
Caucasus as well," Azimov said. "It will deal a strong blow to international efforts to
force Armenia to fulfill norms and principles of international law, to respect territorial
integrity and inviolability of borders of Azerbaijan, to withdraw troops from Nagorno
Karabakh and other occupied territories and to create necessary conditions for internally
displaced persons to return home. We have witnessed in the past two months that the
opening of borders stimulated Armenia’s non-constructive position in the peace talks.
Even one statement by Turkey, Armenia and Switzerland on the prospects of TurkishArmenian talks enabled Armenia to toughen its position in the negotiations with
Azerbaijan. “We can surely say that opening of borders and starting of Turkish-Armenian
economic cooperation will help Armenia to continue occupation. It will prevent
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Azerbaijani people, including the Azerbaijani community of Nagorno Karabakh to return
to their homeland”, Azimov said. The deputy minister said the normalization of TurkeyArmenia relations will not produce positive results for the region if Armenia does not
withdraw its forces from the occupied Azerbaijani territories. “The reopening of TurkeyArmenia border can play an important role as an element of the settlement, in case the
withdrawal of Armenian forces from the Azerbaijani territories and reopening of Lachin
corridor for the use of all sides happen within the same time frame. After all this, Turkey,
Armenia and Azerbaijan may have more favorable opportunities for economic
cooperation. Such an approach, as a part of the settlement of the conflict, will be in line
with the concept on reopening of all borders and communications in the region.
Otherwise, peace and security will hardly be established in the region,” he said. Azimov
said Azerbaijan will not review any economic cooperation with Armenia unless
Armenian troops free Azerbaijan’s occupied territories, including Nagorno Karabakh. “If
Armenia is ready to recognize Turkey’s territorial integrity, we also have a right to
demand similar attitude towards other states of the region, including Azerbaijan,” he said.
Economic /Energy Front
• Azerbaijan and Russia should continue efforts to create stable and diversified
relations: deputy minister
Russia still remains one of the major trade partners of Azerbaijan, and exports to
Azerbaijan occupies a leading position with a percentage of 17.5 percent, said the trade
representative of Russia in Azerbaijan Yuri Shedrin at the meeting of Azerbaijan-Russia
Chamber of Business Cooperation on Oct 2. "Azerbaijan-Russia trade turnover continues
to include a wide range of commodities," Shedrin said. "But the global financial crisis
was the main reason for the reduction of indicators of Azerbaijan-Russia trade turnover
since it affected the economies of both countries."According to statistical data of Russia,
in January-August, the trade turnover between Russia and Azerbaijan fell 21.7 percent to
$967.5 million compared to the same period of last year, he said. According to the
statistics of Azerbaijan, the trade turnover between the countries amounted to 91 percent
from last year's volume. Deputy Minister of Economic Development of Azerbaijan
Niyazi Safarov said the crisis affected the trade turnover between the two countries, but
at the moment it is important to use the potential, which is large enough."Efforts should
be made to create stable and diversified relations between Russia and Azerbaijan,"
Safarov said. As noted at the meeting, the trade turnover between the countries began to
grow, and there are plans to bring it up to $2 billion during the year. The agenda of the
meeting included issues such as discussing the current situation and prospects of trade
and economic cooperation between the two countries, measures taken in Azerbaijan in
the field of state regulation of foreign economic activity, investment policies, including
state-private partnership, forming a favorable environment for entrepreneurship. The
agenda also included meeting of business circles of Azerbaijan and Russia, which will be
held in the first half of 2010 in Moscow.
• Azerbaijan will always be reliable gas supplier to Europe: Hungary's Special
Envoy for Nabucco
Partners on the implementation of the European pipeline project doubt in Iran's readiness
to start exporting its gas through Nabucco. Hungary's Special Envoy for Nabucco Mihály
Bayer said that "in principle" Nabucco may transport [...] Iranian gas, but the question is:
May Iran transport its gas and if it has any power to become a gas supplier for this
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project." Bayer said Iran faces the difficulties to meet gas demand in the domestic
market, not mentioning the export. According to BP, in 2008 the Iranian gas consumption
reached 117.6 billion cubic meters (per year) compared to 51.8 billion cubic meters in
1998. "Now, the situation in Iran is that the political situation does not allow international
companies to participate in the development of the fields in this country," Bayer said at
the Center for Strategic Studies under the Azerbaijani President in Baku on Oct.6.
According to the Envoy, Azerbaijan and Iraq are expected to supply the first gas for the
Nabucco pipeline. The Turkmen gas will be connected at the second stage. Azerbaijan
will become an important partner for the EU and will always be a reliable gas supplier to
Europe. The Nabucco project will bring significant benefits to Azerbaijan, Bayer added.
The Nabucco project worth 7.9 billion euro will deliver Azerbaijani and Central Asian
gas to the EU. Nabucco shareholders are the Austrian OMV, Hungarian MOL, Bulgarian
Bulgargaz, Romanian Transgaz, Turkish Botas and German RWE with 16.67 percent
each. Construction of the pipeline is expected to begin in 2011 and the first supplies - in
2014. Its maximum capacity will be 31 billion cubic meters per year. An investment
solution on the project will be made in the first quarter of 2010. The Nabucco Gas
Pipeline International will invest 30 percent of the project on basis of its share. The
remaining 70 percent will be provided by international institutions.
• EBRD announces amount of investments in Azerbaijani economy in 2010
The European Bank for Reconstruction and Development (EBRD) plans to invest over
$200 million in Azerbaijani economy in 2010, head of EBRD office in Azerbaijan
Francis Daley said. "The bank plans to finance a large project in corporative sector and
10 projects in finance sector in 2010," Daley said. He said that about 50 percent of the
bank's projects cover energy sector, 25 percent - financial, 9 percent is connected with
banks, 6 percent - with micro-financial institutes, 3 percent - non-bank loan organizations
and 5 percent - corporative sector. "This year the bank will invest over $200 million in
Azerbaijani economy and the same amount is envisaged for 2010," Daley said. Presently,
the bank's portfolio is $911 million. The bank invested about $114 million in realization
of 19 Azerbaijani projects in 2008. EBRD implemented 90 projects in Azerbaijan by
investing $1.5 billion given financing from other commercial banks.
• World crisis slightly affected Azerbaijan: CIS executive committee chief
The plan of joint action to overcome consequences of the global financial and economic
crisis is planned to be approved at the council of CIS participant countries' heads in Yalta
on November 20, chairman of the CIS Executive Committee Sergey Lebedev said at II
International Banking Conference of the Commonwealth of Independent States (CIS)
"Enhancing the stability of the financial and banking systems of the Commonwealth" in
Baku on Oct. 14. He said that preparation of the plan was result of three meetings of CIS
finance ministers held in 2009. The Executive Committee also participated in
preparation."We think that the plan will be effective instrument to overcome
consequences of crisis," Lebedev said. The plan envisages specific proposals and signing
of agreements regulating financial and banking relations and use of several countries'
experience in other CIS countries. "Each country has good examples how to act during
crisis. One of them is Azerbaijan which was slightly affected by crisis," Lebedev said.
The plan envisages the agreement on legal regime of mutual admission to CIS countries'
banking systems, regulation of currency control, common principles among the Central
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Banks and measures in monetary policy. The working group of CIS experts is planned to
be established to create mutual calculations in national currency in CIS.
• Azerbaijani, Uzbek Auditor Chambers sign cooperation agreement
Head of the Azerbaijan Chamber of Auditors Vahid Novruzov and his Uzbek counterpart
Ravshan Haydarov signed a cooperation agreement on Oct. 13. Speaking to the signing
ceremony, the chief of the Azerbaijan Chamber of Auditors spoke of President Ilham
Aliyev`s attention towards developing audit in the country. He also noted the Azerbaijan
Chamber of Auditors signed 17 agreements and protocols of intentions with 13 foreign
counterparts over the last 10 years. Novruzov said the two countries enjoy high level
cooperation in various fields, including politics, economics and culture. He underlined
“Uzbekistan has always supported Azerbaijan`s fair position on the settlement of
Armenia-Azerbaijan conflict over Nagorno-Karabakh”.The Uzbek chairman stressed
relations between Azerbaijan and Uzbekistan were “rapidly developing”. Haydarov also
spoke of his organization`s activities.
• SOCAR, Gazprom sign gas deal
On Oct. 14, the State Oil Company of Azerbaijan Republic (SOCAR) and Russia's
Gazprom signed a medium-term contract to supply of Azerbaijani gas to Russia. From
Azerbaijan, the contract was signed by SOCAR President Rovnag Abdullayev and from
Russia by Gazprom CEO Aleksei Miller. The contract envisages supplying at least 500
million cubic meters of own gas of SOCAR per year beginning from 2010. Medium-term
contract signed between SOCAR and Gazprom envisages prolongation as well, the head
of Gazprom Alexei Miller said after signing the document in Baku. "That's why, we call
it [contract] long-term," said Miller. During the signing ceremony, SOCAR President
Rovnag Abdullayev said that signing the contract provides great opportunities to develop
relations between Azerbaijan and Russia in this sphere, deepen cooperation both in their
own markets and the markets of Europe and Asia. Abdullayev said the contract involves
the sale of "any gas produced in Azerbaijan." "There are plans to transport 500 million
cubic meters of gas in 2010, but "this figure could be higher," said Abdullayev.
Azerbaijan has four directions of gas transport - Turkey, Georgia, Iran (swap), and after
the signing of a contract between SOCAR and Gazprom today, SOCAR will be able to
quickly export the excess volumes of gas to Russia, said Abdullayev. He said that gas
exports to Russia will create a possibility for SOCAR to expand its own gas program, as
well as develop gas infrastructure. "The cost of gas [for Gazprom] is determined on the
basis of a formula that is available for SOCAR," said Abdullayev. Miller said the
cooperation between the sides will contribute to the economic development of
Azerbaijan.
Social Front
• Only Caucasus Muslims Office to organize pilgrimage from Azerbaijan: Sheik-ulIslam
The pilgrimage from Azerbaijan will be organized only by the Caucasus Muslims Office
(CMO), Chairman of the CMO Sheik-ul-Islam Haji Allahshukur Pashazade told
reporters. Those who applied to travel agencies will not make hajj to Mecca. "While it is
not too late, the people should contact the CMO till Oct. 25," Pashazade added. About
1,400 people have already passed registration. A total of 600 pilgrims will travel to Hajj
by air and 800 by buses. The quota for Azerbaijan is 2,000 pilgrims.
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Azerbaijani president sends a message to participants of VI Conference of Culture
Ministers of Islamic countries
Azerbaijan is ready to continue efforts to promote intercultural dialogue, said the
welcome letter from President Ilham Aliyev to the participants of VI Conference of
Culture Ministers of the Organization of the Islamic Conference member states that
began in Baku on Oct. 13. "Azerbaijani society is highly tolerant. We are ready to
continue constructive dialogue, which is a tradition for Azerbaijan today,” the message
says. The President noted that as Baku has been declared capital of Islamic culture in
2009, events at various levels are held here and the Head of State appreciates this
conference as an event that promotes development in the cultural sphere. The message
says "well-known fact of occupation of Azerbaijani territories by Armenia led to the
destruction of mosques and other cultural and historical monuments in the occupied
territories."The president expressed hope that the conference will identify ways of
cultural cooperation among Islamic countries. In turn, ISESCO Secretary General
Abdulaziz Othman Altwaijri appreciated the attention of the President of Azerbaijan to
the conference and the activities of his organization as a whole. Noting that earlier the
organization discussed program of development of cultural sphere for 2010-2012, he
stressed strengthening of the tourism in the Organization of Islamic Conference member
states. "This sphere is maintained by the governments of our countries. We will take a
strategy for tourism development,” Altwaijri said. He is convinced that cooperation
between countries in the cultural sector will provide an impetus for economic
development.
Kazakhstan
Political Front
• Kazakh Opposition Parties Announce Merger
ALMATY -- The leaders of two major opposition parties in Kazakhstan have announced
a merger between their parties, RFE/RL's Kazakh Service reports. Azat party leader Bolat
Abilov and Social Democratic Party chairman Zharmakhan Tuyaqbay said at press
conference in Almaty that the new united opposition party will be called the All-National
Social Democratic Azat Party. They said the founding congress of the new party will be
held in Almaty on October 24. The two parties merged in 2007 but decided to split later
the same year after they failed to win seats in parliament.
• Kazakhs not yet ready to see Nazarbayev president for life – poll
Around 42% of Kazakh citizens interviewed as part of a recent survey have named
President Nursultan Nazarbayev their nation's leader. "Kazakh citizens of all ethnicities,
genders and age groups view Nazarbayev as their leader," said Gulmira Ileulova, director
of the Strategy center of social and political studies. The results of the poll were
published in the Liter newspaper on Wednesday. Thirty-two percent of respondents said
they regard Nazarbayev as "the founder of their state", and over 30% as "an internationallevel leader". A total of 23.4% of those polled referred to Nazarbayev simply as
Kazakhstan's "first president", 17% as "a democrat", and about 10% as "a reformer". The
idea of making Nazarbayev Kazakhstan's president for life has drawn a mixed reaction
from the country's citizens. Depending on the republic's region, this initiative received
support from 20.7% to 63% of respondents. Forty percent of those polled were
undecided.
• United opposition has chances to get into parliament – experts
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Almaty. October 15. Interfax-Kazakhstan – The Kazakh political analysts are actively
discussing the merger of the two opposition parties and believe that the united opposition
has all chances to get into the parliament .
As reported, on October 13 the National Social and Democratic Party (NSDP) and the
Azat Party (Freedom) announced their intent to merge. The leader of NSDP called on the
other opposition parties to join the new organization. The Kazakh President’s Political
Advisor Yermukhamet Yertysbayev believes that NSDP Azat may win about 11-12% of
the votes in the parliamentary elections. “If the other opposition parties, such as the
unregistered Alga! Party, the two communist parties with all their resources and
electorate, join the united party they will form a real force, which may win as much as
20% of the votes,” he told in an interview with the weekly Svoboda Slova published on
Thursday. In this case, he thinks, Kazakhstan will have a two-party parliament. “A twoparty parliament is a cherished dream of the president. He has visited a lot of countries,
got familiarized with their political systems and arrived at a conclusion that a two-party
parliament is very efficient,” Mr Yertysbayev said. According to him, the central
authorities would very much like to have a two-party parliament. “Everything depends on
the opposition parties. We can’t do their work for them,” he said. The president’s
political advisor is sure that the united opposition will not be able to become a real rival
for the ruling party Nur Otan. The director of the Risk Assessment Group, Dosym
Satpayev, reckons that “the merger of the opposition parties at a time of economic crisis
should give an impetus to the consolidation of the protest electorate.” He believes that the
united opposition party may win about 30-40% of the votes, provided that the elections
are fair and impartial. “Here is another question: will the state authorities allow a
hooligan to join the noble family of the Nur Otan parliament? Of course, the president
may be talking about the necessity of creating a two-party parliament. However, given
the existing political technologies the parliament may be turned into a two-party one
without the opposition. Here our state authorities are consistently unpredictable,” Mr
Satpayev summed up. Nikolai Kuzmin, a political analyst, also thinks that fair elections
would enable the united opposition “to compete with the ruling party as the community
always needs alternative options.” He expressed a hope that the unregistered Alga! Party
and the Communist Party of Kazakhstan would support NSDP Azat and that the united
party would become a strong rival for the Nur Otan Party. However, he doubts that the
state authorities will let the opposition parties enter the parliament. “I am sure that today
the parliament will not let in anyone from outside,” Mr Kuzmin said. In case of
parliamentary elections, he thinks, the Nur Otan Party will get about 50% of the votes.
“The other 50% will be split between the parties which will run for the parliament and the
united opposition, in my opinion, may win 20-30% of the votes,” he reckons. In
Kazakhstan, the population of which is about 16 million people, there are 10 political
parties and half of them are in opposition. The Nur Otan Party led by Kazakh President
Nursultan Nazarbayev won all 98 seats in the Majilis (the lower chamber of the Kazakh
parliament) in 2007. In September last year Nursultan Nazarbayev said that there would
not be early parliamentary elections but only in 2012 as required by the law. However,
the opposition think that there will be early parliament elections in connection with
Kazakhstan’s forthcoming chairmanship in OSCE next year, the main argument being
that the one-party parliament of the Republic of Kazakhstan will hardly help improve the
image of the country.
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Geo Strategic Front
• Kazakh delegation departs for Athens to participate in OSCE Parliamentary
Assembly Fall Meetings
Kazakh delegation led by the Senate Speaker Kasymzhomart Tokayev departed for
Athens on Thursday to take part in OSCE Parliamentary Assembly Fall Meetings to
discuss “Energy Security and Environment from 9 to 12 October. In three focused
sessions, the parliamentary conference will address Regional Co-operation in Energy
Security; Climate and Environmental Policy – the Road to Copenhagen; and Optimal
Utilization of Natural Resources for Human Security. Tokayev will be delivering a
speech at the third session on Saturday. The Fall Meetings also include a Mediterranean
Forum, which will consider prospects and challenges for the OSCE Mediterranean
dimension, as well as a meeting of the Assembly’s Standing Committee. OSCE PA
President Joao Soares will be closing the OSCE Parliamentary Assembly Fall Meetings
Tokayev is expected to have talks with Carlos Papoulias, President of Greece, President
of the Greek Parliament, Dimitrios G. Sioufas. Greece has been chairing the OSCE since
2009.
• Kazakh president expected at Global Nuclear Security Summit in Washington
Kazakhstan president Nursultan Nazarbayev is expected to take part in the Global
Nuclear Security Summit in the USA in spring 2010.
The issue of preparing Nazarbayev’s participation in the summit was discussed by
Kazakhstan's Secretary of State and Foreign Minister, Kanat Saudabayev, and U.S.
Deputy Secretary of Energy Daniel B. Poneman on Wednesday in Astana. "Talking about
the cooperation in the energy sector, the sides were pleased to confirm positive dynamics
and a huge potential in developing alternative energy sources,” Kazakh Foreign Affairs
Ministry says. Saudabayev met with Swiss Foreign Minister Micheline Calmy-Rey to
discuss prospects of bilateral cooperation, review the status of the joint legal basis,
collaboration within the world organizations and exchange opinions on the situation in
Central Asia.
Economic /Energy Front
• OSCE organizes workshop in Kazakhstan on oil spills response
Experts from countries on the Caspian Sea shore, international organizations, private
sector and civil society will discuss how to best deal with oil spills during an OSCE
workshop that starts in Atyrau, western Kazakhstan, today. Oil and gas. Wood Mackenzie
says Kazakhstan Pipeline Decisions Imperative to Secure expanded Oil Production."This
workshop aims to help countries around the Caspian co-operate in their responses to oil
spills," said Marc Baltes, Senior Adviser in the OSCE Office for Economic and
Environmental Activities. The three-day event is organized by the OSCE Centre in
Astana, the Office of the Co-ordinator of OSCE Economic and Environmental Activities
and Kazakhstan's Ministry of Emergency Situations with financial support from Finland.
The workshop aims to identify key areas related to oil spill preparedness, response and
co-operation to strengthen Caspian countries' national response systems and to help them
interact within the regional framework for the Caspian Sea. "The Caspian Sea is an
ecologically sensitive area and its enviornmental security is under threat due to the
expansion of oil drilling operations," said Nurslyam Dusekenov, Deputy Chair of
Committee on State Control for Emergency Situations and Industrial Safety of the
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Ministry of Emergency Situations. "Therefore, we have to pay close attention to oil-spill
response mechanisms, and we must use reliable equipment and technologies, reduce
man-caused pollution of the marine ecosystem and enforce the legislative base to ensure
Caspian Sea security." The workshop follows earlier OSCE work to help the Caspian
region deal with oil spills conducted following the 2008 OSCE Economic and
Environmental Forum that focused on maritime waterways.
• Halyk Bank places 67.5 million common shares
Almaty. October 9. Interfax-Kazakhstan – Kazakhstan-based Halyk Bank is placing
67,533,545 authorized but unplaced common shares (the Shares), the bank says in a
statement. “The Shares were authorized by an Extraordinary General Shareholders
Meeting of the Bank on 19 December 2008 pursuant to the Memorandum of
Understanding signed among the Government of Kazakhstan, the Agency for Regulation
and Supervision of Financial Market and Financial Organizations, the National Bank of
Kazakhstan, JSC Sovereign Wealth Fund Samruk-Kazyna ("Samruk-Kazyna"), JSC
Holding Group ALMEX, and the Bank on 1 December 2008,” the statement says.
The Shares were offered for purchase on a pre-emptive basis to existing shareholders,
including holders of global depository receipts representing the bank's common shares
(GDRs), as part of the global offering of 326,673,000 common shares (equivalent to
81,668,250 GDRs) (Global Offer) from 20 February to 24 March 2009 (the Pre-emption
Period) at a price of KZT 102.02 per share (equivalent to USD 2.75 per GDR at the then
current exchange rate), according to the bank. After the Pre-emption Period, 259,064,909
common shares (equivalent to 64,766,227 GDRs) from the Global Offer were placed with
Samruk-Kazyna at a price of KZT 104.03 per share (equivalent to USD 2.75 per GDR at
the then current exchange rate) (the "Placement Price") for a total consideration of KZT
26.9 billion. “The Shares represent authorized but unplaced common shares from the
Global Offer which the existing shareholders, including holders of GDRs, waived their
rights to purchase on a pre-emptive basis during the Pre-emption Period,” the bank says.
As part of the Bank's capitalization program launched at the beginning of 2009 the Shares
will be placed at the Placement Price in Kazakhstan in accordance with the legislation of
the Republic of Kazakhstan and the internal procedures of the Bank. The placement of
the Shares will complete the 2009 capitalization program for the Bank and will also
satisfy the requirements of Kazakhstan law with regard to authorized but unplaced shares.
As at September 1, 2009 the number of placed common shares was 1,239,159,502, of
placed preference shares 390,084,652. The major shareholder of Halyk Bank is JSC
Holding Group Almex, which owns 41.35% of the common and preference shares, and
the National Welfare Fund Samruk-Kazyna, which holds a 27.85% stake. In 2008 Halyk
Bank was ranked 15th by assets among the CIS banks and 3rd among the Kazakh banks
according to the Interfax-1000: CIS Banks ranking prepared by the Interfax Center of
Economic Analysis.
• Areva and Kazatomprom established joint venture
Àstana. October 6. Interfax-Kazakhstan - French Areva and Kazakhstan’s national
nuclear company Kazatomprom has established a joint venture for fuel marketing,
Integrated Fuel Asia Star (IFASTAR). Areva chief executive officer Anna Lauvergeon
and Kazatomprom president Vladimir Shkolnik signed the agreement on Tuesday in
Astana. Under the terms of the agreement, the newly created Paris-based IFASTAR will
be owned jointly by Areva (51%) and Kazatomprom (49%). "This agreement follows the
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signature of a Framework Agreement in September 2009, and reinforce the partnership
between both companies in the front-end cycle. It confirms AREVA and Kazatomprom
strategy to develop their positions in Asia, producing together the most important
uranium production in the world: almost 30% produced in 2008 came from both
companies,” according to a joint press release. “The mission of IFASTAR is to perform a
Feasibility Study consisting of two parts: The assessment of the Asian market in view of
selling integrated fuel packages (including all front-end segments and combining
Kazatomprom’s uranium resources and AREVA’s fuel technology) to electric utilities
operating in Asia. The assessment of the technical and economical feasibility of the
construction of a dedicated fuel manufacturing line (400 tU/year) located at
Kazatomprom‘s Ulba Metallurgical Plant (UMP) site in Ust-Kamenogorsk
(Kazakhstan),” reads the press release. Depending on the results of the assessment, and
after decision of the partners, IFASTAR would run the sales of the products from this line
while the fuel manufacturing itself would be performed by another joint venture, owned
jointly by KAZATOMPROM (51%) and Areva (49%). Kazatomprom President Vladimir
Shkolnik told the journalists that the dedicated fuel manufacturing line would produce
fuel assemblies for the Areva-made reactors. “The value of the project is about $100
million. The feasibility study will be completed in six months and then the design will be
prepared,” Vladimir Shkolnik said.
“The fuel manufacturing line will be able to produce fuel for at least 20 reactors,” he said.
The building, which will house the line, will be designed and constructed so that the
manufacturing capacity can be increased in the future, Shkolnik added. According to the
head of Kazatomprom the partners will be investing in the project proportionally to their
holdings in the JV. Areva is a global largest manufacturer of equipment for the nuclear
power stations. The company also produces enriched uranium.
Kazatomprom is the national operator of the Republic of Kazakhstan for export of
uranium and its compounds, rare metals, nuclear fuel for nuclear power plants, special
equipment, technologies and double-use materials. The main activities of the company
are: geological exploration, uranium production, manufacture of nuclear fuel cycle
products, reactor construction, nuclear power plants, non-ferrous metallurgy and
production of construction materials, electric energy sector, science, social welfare and
staff training. Kazatomprom is among the leading uranium production companies of the
world.
• Kazakhstan invites France to invest $6.5 billion in power generation sector
Astana. October 6. Interfax-Kazakhstan – Power generating facilities in Kazakhstan
require $6.5 billion in investments, managing director of Samruk-Kazyna, Aidan
Karibzhanov, said inviting the French companies to join the power generating projects in
Kazakhstan."In order to meet the rising demand for electricity, Kazakhstan needs new
generating facilities and modernization of the operating ones. Kazakhstan needs to raise
nearly $6.5 billion in investments for those projects," Karibzhanov, said at the
Kazakhstan and France business forum in Astana on Tuesday. Karibzhanov addressed
the potential business partners in French. "We see big prospects for cooperation in this
sector, moreover Samruk-Kazyna has the operating facilities, sufficient resources and
affiliates such as Samruk-Energy and KEGOC,” Karibzhanov said at the business forum.
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He also said that the Kazakh government has made a few steps towards liberalization of
the local market and creating favorable conditions for investors. He also named a few
competitive advantages Kazakhstan enjoys in the power generation sector: an access to
energy resources due to abundance of coal, oil and gas and the availability of sufficient
renewable energy sources.
• Kazakhstan, USA sign joint action plan in energy sphere
Kazakhstan and the United States have signed the joint action plan in energy sector
during the session of joint Kazakh-USA energy partnership commission on Thursday.
According to the joint statement of the commission, the joint action plan outlines
cooperation of two countries in sphere of nuclear security, atomic energy, oil and gas,
renewable energy, energy efficiency and electric energy. " In sphere of nuclear security
and atomic energy countries are willing to cooperate on the prevention of the danger of
the nuclear weapon proliferation, provision of physical security of sensitive nuclear
materials, minimization the usage of highly enriched uranium, prevention of illegal
transportation of nuclear materials, strengthening of the control over the export of nuclear
materials and implementation of international regimes of guaranties," said in the joint
statement."We will exchange the experience between our national laboratories and
scientific organizations, which would boost development of commercial and nuclear
technologies in Kazakhstan," said in the document. According to the statement,
cooperation in oil and gas sphere will include development of the partnership among
Kazakh international companies in exploration, development and transportation of
hydrocarbon resources of the republic. "We agreed to foster joint efforts aimed to
increase world energy supply and support of the willingness of Kazakhstan to find
alternative ways of delivery of energy resources to international markets," said in the
document.
Social Front
• Kazakh Police Search Jewelry Firm On Smuggling Suspicions
ASTANA -- Kazakh financial police have searched the offices and shops of the Altyn
Jewelry company, RFE/RL's Kazakh Service reports. Murat Zhumabay, a spokesman for
the financial police, told journalists in Astana that all of Altyn's shops and offices in
Kazakhstan are being searched because the company is suspected of jewel smuggling.
The Altyn Holding Company was established in 1990 and has jewelry factories and gold
vendors in Kazakhstan, Kyrgyzstan, Russia, Turkey, China, and the United Arab
Emirates. Its stores are known for selling jewelry at discount prices. Russia's Federal
Security Service (FSB) launched investigations into Altyn's activities last week. Its
offices in Moscow, St. Petersburg, Novosibirsk, and Omsk were searched by police, their
employees interrogated, and several of its top managers were arrested.
Deported Kazakh’s Relatives Concerned About His Whereabouts
• Margulan Mukhambetov, pictured at a refugee camp in the Czech Republic
Relatives of a Kazakh man deported from the Czech Republic to Kazakhstan over the
weekend are concerned about his whereabouts, RFE/RL's Kazakh Service reports. Czech
authorities brought Margulan Mukhambetov, 26, to Almaty by plane and handed him to
Kazakh border guards at the airport in Almaty on October 12. Mukhambetov is originally
from Atyrau in western Kazakhstan. His mother, Kalima Mukhambetova, told RFE/RL
that her son has not contacted her yet. She said she is very concerned about his safety.
Margulan's brother, Erkulaban, says that he was living outside of Kazakhstan for many
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years and therefore has no friends or relatives in Almaty with whom he could stay. The
deported man is one of some 200 Kazakhs who have been trying to receive asylum in the
Czech Republic since 2006. They say they are followers of the "pure faith" branch of
Islam, also known as Salafism. The group in the Czech Republic says its members will
face persecution if they are returned to Kazakhstan. Czech authorities are hesitant to give
them refugee status, saying that Kazakhstan will chair the Organization for Security and
Cooperation in Europe (OSCE) soon and, as such, the country would not persecute its
citizens for their religious views. Mukhambetov was the first Kazakh asylum seeker
deported to Kazakhstan.
• Regional TV Director Alleges Kazakh Pressure
PRAGUE -- The director of a Central Asian satellite TV channel says Kazakh authorities
began pressuring his company after it interviewed a former presidential son-in-law who'd
fallen out of favor with President Nursultan Nazarbaev, RFE/RL's Kazakh Service
reports. Bakhytzhan Ketebaev heads the "K+" television company, which broadcasts
news about Central Asia. During a visit to Prague, Ketebaev told RFE/RL that he thinks
recent Kazakh government pressure on K+ stems from a series of interviews with Rakhat
Aliev, Nazarbaev's former son-in-law, who also served as Kazakh ambassador to Austria.
Ketebaev said Aliev's case made "many rich Kazakhs" realize the dangers of the current
political system in Kazakhstan, which "protects neither rich nor poor, but one particular
person in the government."
Ketebaev claimed that some people within Nazarbaev's policy-making circles want to
establish the rule of law supported by a free media and an independent judiciary.
Ketebaev -- a former director of the independent Kazakh television and radio
broadcasting company Tan -- added that Nazarbaev's government would be surprised to
find out who sponsors his channel and how freedom of expression is developing in
Central Asia. In 2002, Tan was sold to a pro-governmental media holding company and
turned into an entertainment channel. Ketebaev established K+, which combines Internet
and satellite broadcasting, in 2007. Aliev has lived in Austrian exile since 2007, when
investigations were launched into his alleged involvement in the kidnapping of two bank
managers in Almaty.
In 2008, he was tried in absentia by a Kazakh court and sentenced to 40 years in jail for
kidnapping, extortion, and treason.
• Kazakhs parliament concerned with long working hours of Kazakh state officials
Astana. October 14. Interfax-Kazakhstan – Majilis members, Zhakip Asanov and Bakhyt
Syzdykova expressed their deep concern with the lifestyle and work environment of
Kazakh state officials. Presenting the letter to the Prime Minister at the Majilis on
Wednesday, Asanov compared the working schedules of three young office employees
who work for the Kazakh Ministry of Economy, Shell office in Astana and a state service
establishment in Beijing. "An employee of the Energy Ministry stays in office from 9 a.m
to 9 p.m and sometimes works extra hours until midnight. Such working schedule is
unlikely to allow for any gym exercises, as a young man lacks both time and stamina.
Paying for the gym seems an impossible task either, as the clerk spends half of its
monthly salary at the Ministry’s canteen,” Asanov said. At the same time a Shell
employee, the Majilis member said, leaves the office at 6 p.m sharp and can afford to go
to a gym, due to a prepaid annul membership fee provided by the company.
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"A Chinese state official works in office from 8 a.m. till 5 p.m and twice a day has a 10minute break for invigorating exercises in a conference hall with his collogues,” Asanov
said. A sedentary lifestyle contributes to cardiovascular disease, diabetes and high blood
pressure, he said, while asking the Prime Minister “to find ways to ensure a healthier life
style” for 10,000 of Astana state officials.
Kyrgyzstan
Political Front
• At least 12 Hizb ut-Tahrir members detained in Kyrgyzstan
At least 12 active members of the extremist organization Hizb ut-Tahrir have been
detained in course of the joint operation of the National Security Committee and the
Interior Ministry in Kyrgyzstan. A computer, copy machines, large number of electronic
media, religious literature and booklets have been confiscated from the activists.
Security officers have also terminated activity of an illegal printing office of the
organization. At least eight criminal cases have been initiated on Public calls to forced
change of the constitutional order, Article 297 and Fueling of national, racial, religious
and interregional conflicts, Article 299 of the Kyrgyz Criminal Code. At least eight of the
detained have been charged and taken prisoners, while the others have been officially
cautioned.
• MP: Political persecutions could end up with religious opposition
Continuing political persecutions could result in establishment of a religious opposition
in five years in Kyrgyzstan, Roza Otunbaeva, a parliament member from the Social
Democratic fraction told reporters in Bishkek, Tuesday. The authority creates conditions
for dissolution of the Kyrgyz parliament. “There is no doubt that SDPK fraction grows
weaker and social democrats get all the blows. Nevertheless, the Kyrgyz opposition will
survive,” Otunbaeva said. “A multiparty parliament in Kyrgyzstan is a total fiction. In
fact, none of the parties, except Ak-Zhol, has seats in the parliament. All chairmen and
their assistants are from the governing party. We are not going to vacate our seats, as it is
the easiest way out of the situation. We have an aim to strive for,” the parliament member
said.
Geo Strategic Front
• Kyrgyz PM flies to China for SCO summit
The Prime Minister of Kyrgyzstan has left for China to take part in summit of the
Shanghai Cooperation Organization’s Heads of Government Council to run in Beijing.
In course of his official visit Igor Chudinov plans to meet with Hu Jintao, the Chairman
of China, Wen Jiabao, the Premier of the State Council and Wu Bangguo, Chairman of
the Standing Committee of the National People’s Congress.
• Kyrgyzstan to host next SCO Council meeting
Next meeting of the Shanghai Cooperation Organization Council of Heads of
Government will take place in Kyrgyzstan in 2010, the Prime Minister Igor Chudinov
said in Beijing Wednsday. “I will be glad to welcome all participants of the current
session on the hospitable Kyrgyz land in 2010. The Shanghai Cooperation Organization
unites countries with huge economic, natural and human potential, large and prospective
markets. Membership in the SCO gives its members good opportunities for mutually
profitable cooperation and strengthening of its authority in the world. Usage of available
opportunities and competitive benefits of the SCO is our main task and an important step
in joint counteraction to the world financial and economic crisis effects,” Chudinov said.
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• Kyrgyz, Kazakh premiers to talk security at SCO Council meeting
Prime Ministers of Kyrgyzstan and Kazakhstan will hold bilateral discussion over energy
security. Igor Chudinov and Karim Masimov will meet in Beijing later Wednesday after
official meetings of the SCO Heads of Governments Council. Kyrgyzstan and
Kazakhstan consider parallel operation of both republics’ energy systems with regard to
Uzbekistan’s step-out form the unified system, prospects for water consumption and
energy security cooperation.
• CSTO: Russia to establish united military base in Kyrgyzstan
A military base to unite all Russian military objects in Kyrgyzstan, including Kant
airbase, will be established in the republic, Nikolai Bordyuzha, Secretary General for the
Collective Security Treaty Organization told Russian mass media on October 14.
“Memorandum signed between the Kyrgyz and Russian presidents provides for
establishment of a single united airbase of the Russian Armed Forces to unite all the
units, including the military base in Kant,” mass media quoted as Bordyzha said.
Regulations for the base presence in the republic will be worked out in the nearest future,
while duration of its deployment comes to 49 years, the memorandum details. “Besides,
the document provides for possible establishment of educational training center in
Kyrgyzstan,” the CSTO secretary general added.
Economic /Energy Front
• Kyrgyzstan’s tax debt hits 1,293bln
State Committee for Taxes and Dues said Monday the tax payable has hit 1,293 billion
soms in Kyrgyzstan. As of January 1, 2009 the amount made up to 3,487 billion soms.
“Territorial administrations of the State Committee for Taxes and Dues carried out work
on collection and reduction of entrepreneurs’ tax debts in January-September 2009. So,
the debt reduced by 2,193 billion soms for the period,” the committee reported.
• Kyrgyzstan faring well in economic crisis, IMF says
Kyrgyzstan, Tajikistan and Georgia are reportedly faring better in the global recession
than other Central Asian countries, Regional economic outlook: Middle East and Central
Asia-2009, by the International Monetary Fund said. The global crisis has severely
impacted the Caucasus and Central Asia (CCA), with growth for the region projected to
drop from 6.6 percent in 2008 to 1.5 percent in 2009. Most CCA energy exporters are
projected to record solid growth in 2009, given limited linkages to international markets,
long-term energy export contracts, and supportive policies. The energy importers,
however, are facing a marked slowdown in growth and deteriorating living standards as a
result of a sharp drop in remittances from Russia. A modest recovery for the region as a
whole is expected in 2010. Kazakhstan, however, is in the midst of a banking crisis and is
likely to see negative growth of about 2 percent in 2009. With global energy demand
increasing again, the energy exporters should continue to see solid growth rates in 2010.
CCA energy importers are being hit to varying degrees. The recovery in 2010 is projected
to be slow and gradual. “Policymakers have responded to the downturn by easing fiscal
and monetary policies and strengthening social safety nets. In the energy importers,
where governments have little space to implement such measures, donors, including the
neighboring states of Russia and China,” the IMF experts said.
In 2010, where possible, fiscal policy should continue to be supportive of growth and
prioritize social protection. Additional donor support on concessional terms will be
needed for the energy importers to prevent a buildup of unsustainable debt levels. The
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energy exporters should use part of their anticipated increase in revenue from rising
energy prices to push ahead with structural reforms.
• Kyrgyzstan pays out $3.5M of its gas debt to Uzbekistan
Kyrgyzstan has paid out $3.5 million of its gas debt to Uzbekistan, Kyrgyzgas company
informed the news agency 24.kg Monday. Other $2 million will be reportedly transferred
to Uzbekistan this week. Salamat Aitikeev, the Director General of Kyrgyzgas will leave
for Tashkent on October 13 to resume talks over gas supply to Kyrgyzstan in 2010.
Exclusively of the repaid sum, Kyrgyzstan’s gas debt amounts to $15.5 million.
• Kyrgyz PM, Chinese Railways Minister to discuss construction of China-Europe
railway
Igor Chudinov the Prime Minister of Kyrgyzstan and Liu Zhijun the Railways Minister of
China will discuss construction of China-Europe railway in Beijing later Wednesday.
Possible construction of the railway from China through Kyrgyzstan to Europe has been
discussed for the past ten years. The project seems to be profitable as for China,
Kyrgyzstan so for other countries. Previously, Akylbek Japarov, the Economic
Development and Trade Minister of Kyrgyzstan outlined that construction of the railway
could be financed by the Shanghai Cooperation Organization. The parties will supposedly
proceed to building of the railway in the nearest future.
• Uzbekistan resumes full gas supply to Kyrgyzstan
Uzbekistan resumes full gas supply to all regions of Kyrgyzstan, director of the
Kyrgyzgas Company Salamat Aitikeev told 24.kg Thursday morning. Aitikeev left for
Tashkent Wednesday to bargain with the neighbors about possible continuation of gas
relations between the two countries. Earlier, official Tashkent had refused any talks with
Kyrgyzstan and cut off supplies to the South Kyrgyzstan. As of October 14 2009,
Kyrgyzstan paid off only $4.6 million of its $19 million debt, but Aitikeev reportedly
persuaded the Uzbeks to resume gas supply to Kyrgyzstan and lift all the restrictions.
• Uzbekistan demands Kyrgyz PM to sign gas debt repayment schedule
Uzbekistan to resume gas supply to Kyrgyzstan only on a condition that the Prime
Minister, Igor Chudinov, signs a debt repayment schedule, informal sources in
government informed 24.kg. Friday. Kyrgyzstan reportedly has the means to pay the debt
off. However, the Uzbeks set a number of impossible conditions. Therefore, the Prime
Minister has no say in the matter of a commercial entity and can not sign a debt
repayment schedule. Uzbek authorities recommend repaying the debt by means of a
Russian loan or Kazakhstan’s electricity fee. Kyrgyzstan, in turn, does not agree to such
terms as that would break other international obligations.
• Kyrgyz MPs endorse draft agreement on renting pasture areas to Tajikistan
DUSHANBE, October 13, 2009, Asia-Plus -- On Tuesday October 13, the Zhogorku
Kenesh (Kyrgyzstan’s parliament) Committee on Regional Development and Local
Government considered and endorsed a draft agreement on renting pasture areas in the
Batken region to Tajikistan, Kyrgyzstan’s news agency AKIPress reported. Under this
document, Kyrgyzstan rents 17,800 hectares of summer-autumn pastures on the
territories of the Batken and Leilek districts of the Batken region to Tajikistan. Speaking
at the meeting, the Minister of Agriculture Iskenderbek Aydaraliyev noted that regional
administrations of the Batken, Osh and Jalal-Abad regions proposed to rent the pasture
areas to Tajikistan for the period of one year. Under the agreement, the cost for one
conventional animal – sheep – is US$3.00 per year and a total pasture rental is 267,000
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U.S. dollars, the minister said. It is possible to extend a rent term with reviewing the
rental, Aydaraliyev noted.
Social Front
• Kyrgyz Supporters Of Jailed Kazakh Rights Activist Get Warning
BISHKEK -- Three Kyrgyz activists have been detained for supporting jailed Kazakh
human rights activist Yevgeny Zhovtis, RFE/RL's Kyrgyz Service reports.
Sardar Bagishbekov of the Voice of Liberty Foundation, Nadira Eshamtova of the Youth
Rights Group, and Almaz Esengeldiev of the Human Rights Defenders Council organized
a protest in front the Kazakh Embassy in Bishkek, demanding Zhovtis's immediate
release. Zhovtis, the head of Kazakhstan's Bureau for Human Rights, was sentenced to
four years in jail for his role in a deadly traffic accident last month. His colleagues
consider his case to be politically motivated and Western organizations and governments
have called for his case to be reviewed. The verdict in his case has been appealed. The
three Kyrgyz activists were detained in front of the Kazakh Embassy and brought to
Bishkek's Lenin District police department. They told RFE/RL they were warned about
holding an "unsanctioned protest action" and later released.
• Pension’s insurance component to increase by 15 percent in 2010
It is planned to increase insurance component of pensions by 15 percent in Kyrgyzstan
starting from March 1, 2010, Tajikan Kalimbetova, Chairwoman of the Social Fund said
at the Migration, Labor, Social Policy and Health Care Committee’s session on Monday.
“As for basic component of pension, it is traditionally raised at the beginning of each
year,” Kalimbetova added. The chairwoman pointed, if electricity tariffs were to grow in
2010, the retirement benefits would increase consequently12/10-2009 16:05, Bishkek –
News Agency “24.kg”, By Aizada KUTUEVA It is planned to increase insurance
component of pensions by 15 percent in Kyrgyzstan starting from March 1, 2010, Tajikan
Kalimbetova, Chairwoman of the Social Fund said at the Migration, Labor, Social Policy
and Health Care Committee’s session on Monday. “As for basic component of pension, it
is traditionally raised at the beginning of each year,” Kalimbetova added. The
chairwoman pointed, if electricity tariffs were to grow in 2010, the retirement benefits
would increase consequently
• Rightists nabbed near Kazakh Embassy in Bishkek
A group of local human rights activists was held near the Kazakh Embassy in Bishkek,
Monday morning. “Sardar Bagishbekov, Nadira Eshmatova and Almaz Esengeldiev were
reportedly getting ready to stage a picket in support of a known human rights advocate –
Eugeny Zhovtis, when were detained by the Lenin district police officers and took to the
department for questioning,” one of the activists informed 24.kg on the phone. The
situation is developing.
• Kyrgyzstan raises family income supplements
Kyrgyz government will raise family income supplements for unemployed citizens with
no right for retirement benefits from 200 to 240 soms, press service of the Kyrgyz
Finance Ministry reported. Today the guaranteed consumption level of Kyrgyzstan is a
social minimum calculated out of the state budget in view of the current economical
situation. The previous raise of the family income supplement occurred in 2008, when the
amount was raised from 175 to 200 soms.
• Bishkek to hold anti-global warming campaign
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Peaceful ecologic anti-global warming campaign with a symbolic name "350" will be
held at the central Ala-Too Square in Bishkek on October 24, organizers of the event told
the news agency 24.kg. Timed to the International Day of Climate Action, the campaign
will include exhibition of decorative trash bins, screening of The Age of Stupid film.
Environmental specialists plan to inlay with apples the inscription 350 at the National
Historical Museum for a photo to be placed at www.350.org website.
Tajikistan
Political Front
• Political parties in Sughd discuss ways how to make parliamentary elections
democratic
KHUJAND, October 14, 2009, Asia-Plus -- On Wednesday October 14, representatives
of political parties and public associations functioning in the Sughd province gathered in
Khujand to discuss ways how to make the parliamentary elections due in February 2010
more democratic. The meeting brought together senior representatives from local
authorities and 50 representatives from organizations of political parties in the province
and public associations functioning here. Mr. Frank Johansen, Political Officer, OSCE
Office in Tajikistan, also attended the meeting. Issues related to a role of political parties
in the parliamentary elections and improvement of election mechanisms were among
major topics of the meeting. Ghufron Rustamov, the head of the organization of the
Communist Party (CPT) for Sughd, noted that candidates of political parties should
seriously prepare themselves for work with parliament. The deputy head of the Islamic
Revival Party (IRPT) for Sughd Mirzoqul Hojimatov raised the issue of criticism and
perception of it. “If we criticize something, it does not mean that we are enemies of
people,” said Hojimatov, “We just want our country and our people to live better.”
The chairperson of the organization of the Social-Democratic Party (SDPT), Ms. Dilbar
Samadova, noted that during the previous parliamentary elections their party had had
problems with access to the final protocol of the elections. “At some polling stations, we
had been feeling pressure of administrative levers,” Ms. Samadova said, noting all
political parties should have equal access to media, including the state-run ones.
• Parliament passes new criminal procedural code
DUSHANBE, October 14, 2009, Asia-Plus -- Deputies of the Majlisi Namoyandagon
(Tajikistan’s lower chamber of parliament) have endorsed a draft law on adoption of a
new criminal-procedural code of the country. A regular sitting of the sixth session of the
Majlisi Namoyandagon of the third convocation, presided over by its speaker, Saydullo
Khairulloyev, was held o October 14. Presenting the bill, Minister of Justice Bakhtiyor
Khudoyorov noted that the new criminal-procedural code provided for raising a role of
judicial system in protecting constitutional rights of citizens. The minister stressed that
“international conventions on human rights ratified by Tajikistan’s and the country’s
Constitution “bind us to adopt this law.”Under the new criminal-procedural code,
warrants for house arrest, sequestration, bank account attachment and telephone tapping
will be issued by courts. Speaking at the meeting, MP Shodi Shabdolov said that the law
was of crucial significance for the country and called on parliamentarians and media to
take adequate measures to explain its essence to the public. MP Yusufjon Ahmadov also
underlined the significance of the law, noting that it was one the most important laws
adopted by the parliament over the past ten years. Parliamentarians unanimously
approved the bill that will be sent for consideration to the upper house of the parliament.
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We will recall that the current criminal-procedural code was adopted in 1961 already. If
the upper house of the parliament seconds the law, the new criminal-procedural code will
come into effect on April 1, 2010.
Geo Strategic Front
• CIS summit in Chisinau ends with signing of documents, chairmanship transfer
DUSHANBE, October 10, 2009, Asia-Plus -- The CIS summit in the Moldavian capital
Chisinau ended with the signing of several documents and the CIS chairmanship transfer
from Moldova to Russia. According to Russia’s Itar-Tass, CIS Executive Committee
Chairman Sergey Lebedev said, “A key document signed by delegation heads is a joint
action plan of anti-crisis measures presented by Russian Vice-Premier and Finance
Minister Aleksey Kudrin.” The chiefs of state also decided the pronounce 2010 the Year
of Veterans and to prepare for celebrations of the 65th anniversary of VE-Day.
In all, 22 documents were summit at the Chisinau summit. “The signed documents aim
to enlarge multifaceted cooperation in the CIS and to promote practical results of the
decisions made in the economy, migration, energy and other spheres,” Lebedev said. The
CIS leaders agreed to deepen humanitarian integration and security cooperation and to
continue optimization of CIS activity. They approved additional measures for
strengthening border security and signed some other documents. Prime Minister Oqil
Oqilov represented Tajikistan at the CIS summit that was held in Chisinau on October 9.
We will recall that the leaders of Kazakhstan, Turkmenistan and Uzbekistan have also
sent their regrets and these countries will be represented by lower-level delegations. In
the meantime, the October 9 October "RFE/RL News" article “Russia Facing Resistance
with Allies on CIS’s Southern Flank” by Bruce Pannier noted that Russia's relations with
the three states that make up the southern flank of the Commonwealth Of Independent
States -- Uzbekistan, Tajikistan, and Turkmenistan -- have suffered severe setbacks of
late. Uzbekistan has annoyed the Kremlin by scaling back its participation in Russian-led
security organizations, and by passing a customs law that promises to heavily tax Russian
companies involved in production-sharing agreements that deal with the export of Uzbek
natural gas. According to the article, Tajikistan allegedly wants Russia to pay rent on
military bases Kremlin forces have used since the closing days of World War II and
recent incidents involving some of those Russian troops have angered Tajik communities.
Turkmenistan is unhappy with the state of its natural-gas dealings with Moscow and is
awaiting the reopening of a key gas pipeline that exploded in early April and for which it
blames Russia's Gazprom. The decision not to attend by Kazakh President Nursultan
Nazarbayev -- who is perhaps the biggest booster of the CIS, after Russia -- came as a
complete surprise in Astana and his office offered no explanation for the move.
• Rahmon invites Berdymukhamedov to pay official visit to Tajikistan in 2010
DUSHANBE, October 12, 2009, Asia-Plus -- During his visit to Turkmenistan on
October 9-10, President Emomali Rahmon invited his Turkmen counterpart, President
Gurbanguly Berdymukhamedov, to pay an official visit to Tajikistan in 2010, according
to presidential press service. In the course of bilateral talks in the Turkmen city of
Turkmenbashi on October 9, the two leaders pointed to the necessity of opening of aerial
and rail communications between the two countries. According to Russian media, Tajik
leader stated during the negotiations that Tajikistan invited Russia and Central Asia’s
states to join an international consortium on completing the construction of the Roghun
hydroelectric power station (HPS). Hydroelectricity projects in Tajikistan were reportedly
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among major topics of the talks. President Rahmon, in particular, noted that the
hydroelectricity projects being implemented in Tajikistan have become “a subject
misunderstanding and incorrect interpretation.” “Construction of hydropower plants in
Tajikistan does not pose threat to interests of the downstream countries,” said Rahmon,
“Moreover, they are being constructed on the inner rivers.”According to him, the
reservoir of the Roghun HPS and the Kambarata reservoir in Kyrgyzstan will allow
mitigating effects of low-water seasons in the region. Regulation of volumes of waters at
the Roghun reservoir will allow providing more than 90 percent of the irrigated lands on
an area of more than 4.5 million hectares in the Amudarya basin with water. Tajik leader
expressed confidence that construction of the Roghun HPS is of significance for
providing Turkmenistan, Uzbekistan and southern parts of Kazakhstan with energy and
water resources during low-flow periods.
• President Rahmon departs for Kazakhstan to attend 3rd stage of military exercise
for COFR
DUSHANBE, October 15, 2009, Asia-Plus -- President Emomali Rahmon departed for
Kazakhstan today afternoon. Tomorrow, along with other heads of member nations of the
Collective Security Treaty Organization (CSTO) President Emomali Rahmon will attend
the third stage of the military exercise for the new Collective Operation Reaction Forces
(COFR) created within the framework of the CSTO that is currently going on at the
Matybulak training ground, presidential press secretary Abdufattoh Sharifzoda said.
According to him, Tajik leader will return to Dushanbe Friday evening. We will recall
that the initial stage of the military exercise marking the first official testing of COFR
was held in Moscow on August 26-28. The first stage involved command-staff planning
linked to the military-political aspects of coalition interaction. The second stage was held
in Belarus in late September and the third stage was launched in Kazakhstan this month.
Military units joined the second and third stages. According to the Ministry of Defense
(MoD), the main purpose of third phase, involving some 7,000 military personnel, is in
rehearsing preparation and joint use of COFR and the operational command troops Yug
(South) in the region of the collective security. The MoD operational group is
representing Tajikistan in the third stage of the exercise in Kazakhstan. The CORF was
initiated by the Russian Federation in order to transform and expand by three to four
times the existing CSTO rapid reaction dimension into a permanently ready, combatcapable force designed for intervention in crisis situations on the territory of CSTO
member states.
Economic /Energy Front
• Central Asian trade ministers look to boost ties with U.S.
DUSHANBE, October 10, 2009, Asia-Plus – Trade ministers from five Central Asia
countries and Afghanistan are in Washington this week for talks on expanding trade and
investment, Raio Liberty reported on October 9. Deputy U.S. Trade Representative
Demetrios Marantis said the United States is drafting a plan for Kyrgyzstan, Kazakhstan,
Turkmenistan, Uzbekistan, and Tajikistan to supply more goods and services to
operations in Afghanistan as a way of boosting their economies. In a speech at a
conference on October 7 in Washington on U.S. trade with Central Asia, Marantis said
the region's logistical support for U.S. and NATO forces is helping to build a stable
Afghanistan. But he said more can be done. Marantis said his office is working with the
Department of Defense and other U.S. agencies on a new initiative "aimed at increasing
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opportunities for the [Central Asian countries] to supply goods and services to U.S.
operations." He said the effort could create new opportunities for investment and job
creation in the region, as well as help the United States and its NATO allies attain their
security objectives. The United States signed a Trade and Investment Framework
Agreement (TIFA) with all five Central Asian republics in 2004. The partners meet at
annual meetings to find ways of promoting trade and investment between the United
States and Central Asia. Marantis said the Obama administration is strengthening that
agreement in two new ways. First, by adding a mid-year working-group meeting that will
follow up on the issues and initiatives raised during the annual meeting. And second, by
establishing bilateral channels for dialogue to complement the regional approach. Senior
U.S. Defense Department officials briefed the Central Asian ministers at a TIFA meeting
on October 8.
• Tajikistan’s external trade turnover amounts to $2.4701 bln in Jan-Sept 09
DUSHANBE, October 12, 2009, Asia-Plus -- Over the first nine months of this year,
Tajikistan’s external trade turnover including electrical power and natural gas, has
amounted to 2.4701 billion U.S. dollars, which was 71.9 percent of the JanuarySeptember 2008 level or 966..5 million dollars fewer, the head of the Customs Service
Nemat Rahmatov told reporters in Dushanbe today. According to him, Tajikistan had
trade relations with 96 countries of the world, including 11 CIS states over the report
period.
The main trading partners for Tajikistan’s imports were Russia (553 million U.S. dollars),
Kazakhstan (187 million U.S. dollars) and China (186.3 million U.S. dollars), the
customs service chief said Rahmatov noted that primary aluminum and cotton fiber
remained the main items of Tajikistan’s exports and China (US$265 million), Turkey
(US95 million) and Russia (US$67 million) were the main trading partners for
Tajikistan’s exports. Over the same nine-month period, customs service has transferred
1.0392 billion somoni to the country’s budget, he added.
• CSTO interstate commission for military and economic cooperation meets in
Dushanbe on Oct 16
DUSHANBE, October 13, 2009, Asia-Plus -- The seventh session of the Interstate
Commission for Military and Economic Cooperation of the Collective Security Treaty
Organization (CSTO) will be held in Dushanbe on October 16. The session, presided
over by Russian Deputy Minister of Industry and Trade, Ivan Materov, will discuss
measures to stimulate military-economic cooperation, press release issued by the CSTO
Secretariat said. The session will consider draft proposals on development of the militaryeconomic cooperation program for the period till 2015, draft agreement on cooperation in
elaborating, producing, exploiting, modernizing and utilizing military products. Besides,
the session participants will also consider agreements on the procedure of providing the
CSTO states with Russian technical standard-legal acts and cooperation on military
traffic management and carriage of special cargos and military products, as well as
regulations on interstate system of cataloging items of military logistics for armed forces
of the CSTO member nations, press release said. The session in Dushanbe will also
discuss the concept and regulations on advertising and exhibition activities of the CSTO
states in the field of the military-economic cooperation. The CSTO Interstate
Commission for Military and Economic Cooperation was founded in line with the
decision of the CSTO Collective Security Council on June 23, 2005. The major goals of
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the commission are the development of recommendations to secure all-round military and
economic cooperation between the CSTO member nations, development and
implementation of long-term programs on military and economic cooperation,
preparation of proposals on joint R&D activity in the military area and others.
Social Front
• Tajik president, Aga Khan inaugurate The Ismaili Center in Dushanbe
DUSHANBE, October 12, 2009, Asia-Plus -- President Emomali Rahmon and His
Highness the Aga Khan, the Spiritual Leader of the Shia Ismaili Muslims, officially
opened The Ismaili Center in Dushanbe today afternoon. The opening ceremony was
attended by high-ranking Tajik state officials. Speaking at the opening ceremony,
President Rahmon expressed hope that the Center would promote further mutually
beneficial cooperation between the Government of Tajikistan and the Aga Khan
Development Network (AKD). His Highness the Aga Khan, for his part, hailed policy of
Tajik leader aimed at strengthening of religious pluralism in the country. Opening of The
Ismaili Center that is built in the center of the Tajik capital is evidence of that, His
Highness the Aga Khan noted. The Ismaili Center Dushanbe is the sixth such institution
in the world and the first in the Central Asian region. Beginning in 1984, major Ismaili
Centers have been established in London, Vancouver, Lisbon, Toronto and Dubai. Like
other Ismaili Centers, The Ismaili Center in Dushanbe is dedicated to enhance the process
of understanding and exchange. We will recall that the groundbreaking ceremony for
construction of the Ismaili Center in Dushanbe was held on August 30, 2003. Calling it
"a place where people will come together to share their creativity and their wisdom," the
Aga Khan said on August 30, 2003 that through the facilities, which they offer for
lectures, presentations, conferences, recitals and exhibitions, alone or in collaboration
with other national or international entities, the Ismaili Centers have become important
cultural institutions. His Highness the Aga Khan arrived in Tajikistan on October 9 and is
leaving the country today evening.
• US$14.15 mln worth of humanitarian aid delivered to Tajikistan in Jan-Sept 09
KHUJAND, October 14, 2009, Asia-Plus -- In January-September 2009, 14.16 million
U.S. dollars worth of humanitarian aid has been delivered to the Sughd province, which
is 2.99 million U.S. dollars more than in the same period of last year, the first deputy
head of the Sughd customs service, Sulton Erboyev, told reporters in Khujand today.
According to him, the aid has been delivered to the province mainly through the Sughd
health directorate (medicines), UNDP CO in Tajikistan (food products), international
organization Save the Children (wheat flour), and Dushanbe’s Children Protection
Association (foodstuffs).
Turkmenistan
Political Front
• Minister of Health and Medical Industry of Turkmenistan severely reprimanded
During the October 14 expanded government meeting, Turkmen President Gurbanguly
Berdimuhamedov criticized the activities of the Ministry of Health and Medical Industry
of the country. The head of state severely reprimanded Minister Ata Serdarov for
shortcomings in the work, weakening of control over the course of construction of health
facilities and omissions in the personnel matters. The president also "criticized rector of
the Institute of International Relations Baba Zahyrov for unethical behavior which is
inappropriate for a senior executive of the high-rank state agency, the State News Agency
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of Turkmenistan (TDH) said. By the decree of the President, deputy governor of the city
of Ashgabat Atamyrat Seyitgulyev was reprimanded for poor performance of official
duties, weakening of monitoring the construction works in the capital.
• President of Turkmenistan replaces heads of several ministries and departments
On October 14, at the enlarged meeting of the Cabinet of Ministers of Turkmenistan,
President Gurbanguly Berdimuhamedov relieved Environment Minister Magtymguly
Akmyradov of his duties "in connection with his transfer to another job." Babageldi
Annabayramov, formerly head of the department of agricultural branch of the Cabinet of
Ministers of Turkmenistan, was appointed to this post. Chairman of the Association of
Bread Products "Turkmengallaonumleri" Atamyrat Altybaev was also relieved from his
post in connection with the transfer to another job. Under the decree of the President, he
was appointed deputy governor of Balkan province. Yeldash Ashyrov, who held the post
of Deputy Minister of Water Resources of Turkmenistan, was appointed chairman the
Association, the State News Agency of Turkmenistan (TDH) said. President Gurbanguly
Berdimuhamedov dismissed the chairman of the State Commodity and Raw Materials
Exchange of Turkmenistan, Myrat Berdimyradov, for inaptitude. Shaberdi Meredov was
appointed new chairman of the exchange.
Geo Strategic Front
• Turkmenistan Denies Entry To Peace Corps Volunteers
ASHGABAT -- Turkmenistan has denied entry to dozens of U.S. Peace Corps
volunteers, RFE/RL's Turkmen Service reports. Acting Country Director Christopher
Leal told RFE/RL that 47 Peace Corps volunteers scheduled to come to Turkmenistan on
September 30 were told the day before boarding a plane in Philadelphia that they would
not be allowed to enter Turkmenistan if they traveled there. Leal said the organization did
not receive an official explanation from the Turkmen government about the decision. He
said all of the volunteers had letters of invitation, visas, and plane tickets. Leal said the
volunteers have been invited by the Turkmen government to come next year, but that
Turkmen officials were reportedly "not able to accommodate [them]" this year. The
Peace Corps has been operating in Turkmenistan since 1993 and currently has 70
volunteers in the country. The decision to bar the Peace Corps workers from entering
Turkmenistan comes after Turkmen students were prevented from traveling to U.S.linked universities in Kyrgyzstan and Bulgaria last week. Leal said a meeting between
officials from the Peace Corps and Turkmen officials in Turkmenistan was canceled. But
he said he hopes corps officials will be able to meet next week.
• Rahmon invites Berdymukhamedov to pay official visit to Tajikistan in 2010
DUSHANBE, October 12, 2009, Asia-Plus -- During his visit to Turkmenistan on
October 9-10, President Emomali Rahmon invited his Turkmen counterpart, President
Gurbanguly Berdymukhamedov, to pay an official visit to Tajikistan in 2010, according
to presidential press service. In the course of bilateral talks in the Turkmen city of
Turkmenbashi on October 9, the two leaders pointed to the necessity of opening of aerial
and rail communications between the two countries. According to Russian media, Tajik
leader stated during the negotiations that Tajikistan invited Russia and Central Asia’s
states to join an international consortium on completing the construction of the Roghun
hydroelectric power station (HPS). Hydroelectricity projects in Tajikistan were reportedly
among major topics of the talks. President Rahmon, in particular, noted that the
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hydroelectricity projects being implemented in Tajikistan have become “a subject
misunderstanding and incorrect interpretation.” “Construction of hydropower plants in
Tajikistan does not pose threat to interests of the downstream countries,” said Rahmon,
“Moreover, they are being constructed on the inner rivers.” According to him, the
reservoir of the Roghun HPS and the Kambarata reservoir in Kyrgyzstan will allow
mitigating effects of low-water seasons in the region. Regulation of volumes of waters at
the Roghun reservoir will allow providing more than 90 percent of the irrigated lands on
an area of more than 4.5 million hectares in the Amudarya basin with water. Tajik leader
expressed confidence that construction of the Roghun HPS is of significance for
providing Turkmenistan, Uzbekistan and southern parts of Kazakhstan with energy and
water resources during low-flow periods.
• Presidents of Turkmenistan and Tajikistan hold talks in Caspian resort Avaza
President of Turkmenistan Gurbanguly Berdimuhamedov and President of Tajikistan
Emomali Rakhmon held talks in the Caspian Sea resort "Avaza". A number of bilateral
documents were signed as a result of talks. During the meeting, the sides confirmed their
intention to continue cooperation on regional security and stability, especially in the field
of efficient use of hydropower resources of Tajikistan and the Central Asian region as a
whole. Emomali Rakhmon also noted that the Tajik side considers it appropriate to take
further measures to expand the range of traded goods and increase trade turnover in order
to more fully utilize the economic potential of neighboring countries. On their part,
Tajikistan expressed willingness to increase imports of products of Turkmen construction
and agriculture industries
Economic /Energy Front
• Turkmen President Reshuffles Key Energy Officials
ASHGABAT (Reuters) -- Turkmenistan's President Gurbanguly Berdymukhammedov
has reshuffled the gas-producing Central Asian country's senior energy officials, accusing
some of negligence and inefficiency, state media said. Berdymukhammedov demoted Oil
and Gas Minister Annaguly Deryaev, naming him the head of state oil firm Turkmenneft.
Engineer and geologist Oraznur Nurmyradov, 50, has become the new minister. Analysts
say Turkmenistan has lost billions of dollars this year due to a row with Russia which
used to be the main buyer of its gas. Moscow halted imports in April after a pipeline
explosion and demanded a review of supply terms. The two sides have said they are close
to an agreement but supplies have yet to restart. Berdymukhamedov also sacked the head
of state gas company Turkmengaz, Dovlet Mommaev, "due to health concerns" and fired
the head of another state firm, Turkmenneftegazstroy, which focuses on construction in
the oil and gas sector. Commenting on the reshuffle on state television,
Berdymukhamedov accused the officials of "total negligence." "One should not ask: Why
boost oil and gas output when demand is falling due to the global recession?" he said.
"Quick recovery will follow the downturn...Energy will be in great demand." Following
the row with Russia, Turkmenistan has stepped up efforts to diversify gas exports. It will
boost export capacities to Iran and launch a pipeline to China in December. But analysts
say the former Soviet republic needs to open up its potentially huge onshore gas fields to
foreign investors if it wants to significantly increase output and secure access to the
European market.
• Turkmenistan to continue developing oil and gas industry despite global crisis
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During the October 12 field meeting on the issue of further development of the fuel and
energy sector of Turkmenistan, President Gurbanguly Berdimuhamedov urged the
industry managers to be more active in further modernizing the infrastructure, developing
and strengthening the raw material base of the oil and gas industry, increasing
exploration, reducing the number of inactive wells and production losses. As the press
service of the head of state, reports the president stressed that the industry leaders bear
personally responsibility for a full-fledged solution to the tasks posed for them and will
report regularly on the progress made. "Turkmenistan is planning to increase gas
production to 250 billion cubic meters, and oil - up to 100 million tons per year. There is
no reason to look back at the world economic crisis. The period of recession in the global
economy is invariably followed by a period of rapid expansion, which is usually
associated with an increase in energy consumption. Given this factor, we now need to
create reserve funds for the future, attract more foreign investment, stake on the
development of industrial science, introduce the most advanced technologies, including
nanotechnology in the energy sector," the president said.
• Turkmenistan reports 2,4 time increase in trade turnover with Russia's Astrakhan
In 2009, trade turnover between Turkmenistan and Astrakhan region of Russia increased
2,4 times year-on-year. This was reported by the press-service department and
information policy of the administration the Governor of Astrakhan region.
It is noted that a range of commodity product supplied from Astrakhan region to
Turkmenistan expanded greatly. The list of exported goods includes complex steel
structures, machinery, power cables, glass, and food.
The Turkmen community residing in the territory of Astrakhan region is the third largest
in Russia and this fact defines a particular interest in cooperation with Turkmenistan and
sustained action to promote such cooperation, the press service said.
• Turkmenistan's GDP up 10.8 per cent in first nine months of 2009
All branches of the national economy of Turkmenistan reported high growth for the
period of January-September 2009, Chairman of the State Committee on Statistics
Ashirguly Gurbangulyev said at a government meeting on 14 October. "In particular,
good growth was achieved in processing industry, including power generation, chemical
and food industries, as well as construction materials industry," the State News Agency
of Turkmenistan (TDH) quoted him as saying. In his turn, Deputy Chairman of the
Cabinet of Ministers Tuvakmammet Djaparov said that Turkmenistan's GDP growth for
the first nine months of the year amounted to 10,8 per cent. According to him, high GDP
growth accounted largely "for rapid development in the spheres of construction,
agriculture and service industries. Thus, the grain harvest this year rose 1,5 times yearon-year, while investment in construction grew by 300 percent compared to the same
period last year. According to the official statement, after hearing the reports, Turkmen
President Gurbanguly Berdimuhamedov "expressed general satisfaction with the pace of
socio-economic development of Turkmenistan." "Life has shown how correct and timely
were the decisions to diversify the economy, to create the Stabilization Fund that made it
possible to achieve good results as a whole," the head of state stressed.
• First International Investment Forum begins in Ashgabat
An International Investment Forum kicked off at the Exhibition Center in Ashgabat on
October 15. The forum brought together over 600 heads of major foreign companies,
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stock exchanges, commercial banks, representatives of consulting and rating agencies
from more than 50 countries. The forum was organized by the Chamber of Commerce
and Industry of Turkmenistan jointly with British company "IC Energy Limited." The
forum participants will discuss a strategy and investment opportunities in the oil and gas
and chemical industries of Turkmenistan, as well as prospects for investment projects in a
wide range of areas. These include real estate, construction, social sphere, engineering
and transport infrastructure, textiles, banking, healthcare and pharmaceutical industry,
agribusiness, telecommunications and advanced information technology, electricity, and
alternative energy sources.
According to the official press release, there will be also held presentation of the National
Tourist Zone Avaza and Exhibition of Economic Achievements of Turkmenistan on the
final day of the forum to mark the 18th anniversary of Turkmenistan's independence.
President of Turkmenistan Gurbanguly Berdimuhamedov sent a welcome message to the
participants of the International Investment Forum. The text of the messages was
published in the central press of the country, the Turkmenistan.ru correspondent reports
from Ashgabat. "Viewing the economic context an essential component of international
cooperation, we are building and strengthening mutually beneficial partnerships with big
companies, and conducting an active dialogue with investors," the head of state stressed.
The President expressed confidence that "such a high-level forum will demonstrate
investment opportunities in Turkmenistan and contribute to enhancing cooperation
between business circles of different countries
• Turkmen fuel and energy sector undergoes major personnel reshuffle
On September 12, President of Turkmenistan Gurbanguly Berdimuhamedov held a field
meeting on the issues related to development of the fuel and energy sector and the state of
affairs in the industry. As the Turkmenistan.ru correspondent reports from Ashgabat
quoting the press service of the head of state, during the meeting the President expressed
serious concerns with the performance of certain managers of the fuel and energy sector,
noting a number of shortcomings and deficiencies caused by their irresponsible attitude to
official duties. The Turkmen leader sharply criticized the State Concern
"Turkmennebitgazgurlushik", noting the lack of labor discipline in the State Concern's
subsidiary organizations and poor quality of facilities under construction. "If last year the
task under the Programme of gasification of settlements throughout the country was
fulfilled by 30%, this year it hardly reached 25%," the head of state said. He dismissed
the chairman of the State Concern "Turkmennebitgazgurlushik", Atamyrad Durdiyev, and
appointed Akmyrat Egeleyev in his place. According to the president, the State Concern
"Turkmennebit" also failed to meet the requirements. "The State Concern has not taken
necessary measures to increase oil production, while its subsidiary organizations do not
pay proper attention to the introduction of innovative technologies and modern
equipment, and failed to fulfill the plan for drilling oil exploration wells," the president
said. Gurbanguly Berdimuhamedov dismissed the head of the State Concern
"Turkmennebit", Orazdurdy Hadzhimyradov, due to the transfer to another job. Annaguly
Deryaev was appointed new chairman of the concern. He was relieved of the post of
minister of oil and gas industry and mineral resources of Turkmenistan. Oraznur
Nurmyradov succeeded him as new minister. President of Turkmenistan appointed Nury
Muhammedov chairman of the State Concern "Turkmengaz". The President relieved
Dovlet Mommayev of the post of acting chairman of the concern.
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Apart from this, Batyr Tekayev was relieved from the post of chairman of the State
Committee for Fisheries of Turkmenistan. Amanmyrad Sahadov was appointed in his
place. Gurbanguly Berdimuhamedov relieved Charygeldy Movlamov of his post as
director of "Tedzhenkarbamid" plant of the State Concern "Turkmenhimiya" for serious
shortcomings in the work, and appointed deputy director, Charyyar Tushiev, acting
director of the plant. "Turkmenistan pays much attention to modernization of the oil and
gas industry. Investing heavily in the development of the industry, we expect adequate
efficiency," the Turkmen leader noted.
Social Front
• Citizens of Turkmenistan propose awarding title of national hero to head of state
Speaking at a government meeting on October 14, chairman of the Central Commission
on Elections and Referenda of Turkmenistan Murad Karryev reported on "numerous
requests from citizens and labor collectives of enterprises, institutions and public
organizations from all over the country to confer the title of Hero of Turkmenistan on
President Gurbanguly Berdimuhamedov. As the State News Agency of Turkmenistan
(TDH) said, the chairman of the Central Election Commission made a proposal to support
a nationwide initiative to award the high title to the Turkmen leader. The proposal was
welcomed with the standing applause. Thanking for the high evaluation of his work and
concluding the meeting, Gurbanguly Berdimuhamedov wished those present great
success in their work for the good of the motherland, the official statement says.
• Foundations of green park zones of future Caspian Sea resort laid
A tree planting campaign was held on October 9 in the Caspian Sea coast with the
participation of President of Turkmenistan Gurbanguly Berdimuhamedov. During the
action, future park zones were laid in the territory of the national tourist zone Avaza.
As the State News Agency of Turkmenistan (TDH) said, the Turkmen leader planted a
young pine in a specially prepared section. Deputy Chairmen of the Cabinet of Ministers
of Turkmenistan, the leaders of the Mejlis, ministries and departments, heads of
diplomatic missions accredited to Turkmenistan and international organizations, guests
from abroad, as well as young people of Turkmenistan took part in the action together
with the president. It should be recalled that under a decision of the head of state, a total
of 145,640 trees will be planted in Avaza by the end of this year as part of the planting
campaign
Uzbekistan
Political Front
• The leader of Birdamlik movement goes back to Uzbekistan
Bakhodir Choriev, Uzbek political emigrant and the leader of Birdamlik (Solidarity)
movement, decided to go back to Uzbekistan and continue his political activity at home.
This is indicated in his letter, directed to Ferghana.Ru. Reminding that Birdamlik
movement started its activity in Uzbekistan on October 10, 2004 Choriev says that
"today, the organization is officially registered in USA, Norway, Sweden as well as
functions in Russia, Kazakhstan, Kyrgyzstan, Turkey, Ukraine and Uzbekistan, including
autonomous Republic of Karakalpakstan".
The political emigrant is complaining that Birdamlik was not able to organize the
congress, scheduled to December of 2008. The congress of the active members was
cancelled due to the fact that, according to Mr. Choriev, the leaders of the movement
received threatening messages from authorities. It has to be mentioned that the attempt of
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Birdamlik to organize mass demonstrative of people in white dresses in several cities of
Uzbekistan also failed. The authorities never stopped persecuting the Birdamlik members
and "in this challenging time", Choriev, the leader of Birdamlik, "made a decision to
continue struggle abreast his comrades in Uzbekistan".The news about the return of
Choriev reminds the recent story with well-known Turkmen dissident Gulgeldy
Ananniyazov, which decided to come back home last year in order to help newly elected
President improve the life in the country. His best endeavors failed: entering the country
he was immediately arrested by Turkmen special services and sentenced to 11 years of
prison. Nonetheless, it seems like Bakhodir Choriev is not lost in this situation.
"Today, prior to my return home I have clear action plan, but I have no clue about the
reaction of the government. It may come out that I will be accused of something. On the
other hand, I may also safely arrive home, start executing my rights and political activity
under the current law", says Birdamlik leader. "Having the air ticket for October 16, I
realized that not only I am missing it so much but I must support my partners".
The conflict between Choriev and the government of Uzbekistan started once the
authorities took his business away. Bakhodir Choriev left Uzbekistan after feeling that his
family is threatened: on June 1, 2004 interior ministry officers kidnapped his son in order
to force the dissident stop his activity and, specifically, to prevent the meeting,
demanding the resignation of President Islam Karimov. In May of the same year, Choriev
was seized and assaulted. He was dropped off in the remote region and the assaulters took
away his Daewoo Nexi, the only source of income. "It took me long time to make a
decision to leave the country, where I felt as a slave, but believed this would be unfair in
relation to my partners, friends and Motherland. However, when it got really touch and
dangerous for my family to stay in the country, I made uneasy decision to leave", he
shared in the interview to Ferghana.Ru. Today, Bakhodir Choriev resides in USA where
he got political asylum.
Geo Strategic Front
• Activists Urge EU Not To Lift Uzbekistan Arms Embargo
Rights activists from the Independent Civil Society of Uzbekistan in Germany are calling
on the European Union not to lift its last sanction against Tashkent, RFE/RL's Uzbek
Service reports. The activists, members of the Uzbek diaspora, and Andijon refugees
issued an open letter to the EU in advance of the decision about the arms embargo against
Uzbekistan. The EU is expected to make the decision later this month. Lejla
Medanhodzic, an Uzbek-German Forum for Human Rights official, told RFE/RL that the
EU's decision to lift the last remaining sanction against Uzbekistan's government "would
be a big mistake." The activists' open letter stresses that suspending the last of the
sanctions -- which were made following the 2005 mass killings of protesters in the
southern Uzbek city of Andijon -- would signal to the Uzbek authorities that the EU is
prepared to accept the country's "atrocious human rights record." The letter also draws
attention to the fact that the Uzbek authorities did not fulfill their obligations by refusing
to conduct an independent international investigation into Andijon, denying entry to
Human Rights Watch researchers, and convicting human rights activists "on trumped up
charges" because of their civic activity.
The EU imposed an arms embargo on Uzbekistan and a travel ban on 12 high-ranking
Uzbek officials in November, 2005, in the aftermath of the Andijon events. In October
2008, the EU and Uzbekistan appeared to have normalized their relationship after the EU
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dropped its visa ban on top Uzbek officials. In exchange, Uzbekistan agreed to hold some
human rights meetings every year and to allow the United Nations, the Organization for
Security and Cooperation in Europe (OSCE), and selected nongovernmental
organizations greater access to the country. The rescinding of the travel ban came as EU
officials said Tashkent had made progress in human rights, including abolishing the death
penalty, releasing some political prisoners, and instituting habeas corpus. Rights
organizations said that the human rights situation in the country has not improved and
protested the EU decision.
• President of Uzbekistan receives US Assistant State Secretary
President of Uzbekistan Islam Karimov received US Assistant State Secretary for South
and Central Asian Affairs Robert Blake on 12 October in Tashkent.
Uzbekistan and the US had been developing relations in various spheres, which, among
others, cover a wide range of issues of international policy, Islam Karimov stated. Among
them are combating transnational threats and strengthening regional security and
stability, President's press service reported.
The two states cooperate in establishing peace and stability in Afghanistan and the
economic renewal of this country. Delivery of non-military and humanitarian cargo to
Afghanistan is carried out through the territory of Uzbekistan.
Robert Blake said the US administration was interested in further development of
mutually beneficial relations with Uzbekistan.
The sides considered issues of expansion of Uzbek-American relations and other topics
of mutual interest.
Economic /Energy Front
• Azerbaijani, Uzbek Auditor Chambers sign cooperation agreement
Head of the Azerbaijan Chamber of Auditors Vahid Novruzov and his Uzbek counterpart
Ravshan Haydarov signed a cooperation agreement on Oct. 13. Speaking to the signing
ceremony, the chief of the Azerbaijan Chamber of Auditors spoke of President Ilham
Aliyev`s attention towards developing audit in the country. He also noted the Azerbaijan
Chamber of Auditors signed 17 agreements and protocols of intentions with 13 foreign
counterparts over the last 10 years. Novruzov said the two countries enjoy high level
cooperation in various fields, including politics, economics and culture. He underlined
“Uzbekistan has always supported Azerbaijan`s fair position on the settlement of
Armenia-Azerbaijan conflict over Nagorno-Karabakh”.The Uzbek chairman stressed
relations between Azerbaijan and Uzbekistan were “rapidly developing”.
Haydarov also spoke of his organization`s activities.
• Kyrgyzstan pays out $3.5M of its gas debt to Uzbekistan
Kyrgyzstan has paid out $3.5 million of its gas debt to Uzbekistan, Kyrgyzgas company
informed the news agency 24.kg Monday. Other $2 million will be reportedly transferred
to Uzbekistan this week. Salamat Aitikeev, the Director General of Kyrgyzgas will leave
for Tashkent on October 13 to resume talks over gas supply to Kyrgyzstan in 2010.
Exclusively of the repaid sum, Kyrgyzstan’s gas debt amounts to $15.5 million.
• Uzbekistan resumes full gas supply to Kyrgyzstan
Uzbekistan resumes full gas supply to all regions of Kyrgyzstan, director of the
Kyrgyzgas Company Salamat Aitikeev told 24.kg Thursday morning. Aitikeev left for
Tashkent Wednesday to bargain with the neighbors about possible continuation of gas
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relations between the two countries. Earlier, official Tashkent had refused any talks with
Kyrgyzstan and cut off supplies to the South Kyrgyzstan. As of October 14 2009,
Kyrgyzstan paid off only $4.6 million of its $19 million debt, but Aitikeev reportedly
persuaded the Uzbeks to resume gas supply to Kyrgyzstan and lift all the restrictions.
• Uzbekistan not going to quit Central Asia’s power system, Uzbek officials say
DUSHANBE, October 13, 2009, Asia-Plus -- Uzbekistan is not going to quit Central
Asia’s power system, Uzbek state-run joint-stock company Uzbekenergo stated
yesterday, according to Kazakhstan’s news agency Kaz TAG. The Uzbekenergo
representative said that the Uzbek side had notified relevant bodies of Kazakhstan and
Kyrgyzstan that it intended to discuss changes to the terms of transit of electricity to
Kyrgyzstan via Uzbek power systems. “We want to impose payment for transit of
electricity to Kyrgyzstan; earlier, power deliveries to Kyrgyzstan [via Uzbek power
systems] had been considered power interchange and had been free,” the Uzbekenergo
representative said.
We will recall that some media in late September reported that Uzbekistan allegedly
intend to quit the Central Asian common power system.
Speaking in an interview with Asia-Plus, Tajik MP Shodi Shabdolov, who is power
engineering specialist, said on October 1 that Uzbekistan’s intention to quit the Central
Asian common power system is unrealizable. According to him, this is unrealizable for
technical and economic reasons. “Most likely, Uzbekistan has made this statement for
the purpose of raising rates of its electricity and transit fees for supplying electricity via
its power systems,” Shabdolov said.
He also added that it could not be ruled that the statement was also politically motivated.
“All know Uzbekistan’s attitude to construction of large hydropower facilities in
Tajikistan and Uzbekistan, and most likely, this statement released through media is
another instrument of Uzbeks to make pressure n their neighbors,” the expert said.
Social Front
• Uzbekistan: Film Industry Flourishes After a Decade of Post-Soviet Decline
Film industry is flourishing in Uzbekistan as low-budget movies starring famous singers
and utilizing heart-wrenching plots are gaining popularity with the Uzbek audiences.
However, widespread copyright piracy and shortage of investment remain major
roadblocks for the industry’s development. According to the 2008 statistics of
UzbekKino, the state agency overseeing the Uzbek film industry, there are close to fifty
private film studios in the country. In 2008 they produced 48 films, compared with 30 in
2006, 20 in 2005, and a dozen produced between 1991 and 2000.
Uzbek TV soap operas modeled after Latin American and Korean ones are also becoming
popular across Uzbekistan. In November 2008, Uzbek filmmakers instituted an annual
ceremony to award best films and actors. The current trend marks a stark contrast to the
early 1990s, a period when the Uzbek film industry was on the verge of collapse as lavish
Soviet state subsidies abruptly ended.
Most Uzbek films rely on low budgets and heart wrenching plots to attract viewers. The
2005 box-office hit, "An American Groom," fits this genre. A young Uzbek-American
visits his grandfather’s village in a remote part of Uzbekistan only to fall in love with an
Uzbek girl from a conservative family. The girl rejects his charms and refuses to marry
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him. The American wins her over only after he masters nuances of Uzbek traditions and
his affluent grandfather generously gifts one million dollars to her family.
“Super Kelinchak,” (Super Daughter-in-Law), a 2008 box office hit, tells the story of a
posh city woman who falls for and marries a man from a family where conservative
values run strong and wives are subordinated to their in-laws. In the course of the ensuing
power struggle with her feisty mother-in-law, the city woman learns how to wear
traditional clothes, milk cows and respect family traditions.
Sobirjon Rahimov, an assistant film producer based in Tashkent, told Ferghana.ru that
film directors often pay out-of-pocket to produce such movies. “It costs about 30 to 50
thousand [US] dollars to make [a film], but the return can be three time bigger.”
According to Rahimov, it takes less then three months to complete a film in Uzbekistan.
Rahimov said that directors often invite famous pop singers, comedians and TV
personalities to star in major roles because their popularity attracts viewers. An A-list
actor is paid $3000 for a major role, while people who have acting aspirations pay cash
themselves to play supporting roles.
Uzbek film critics say that in seeking quick profits, most films lack quality. In February
2009, Jahongir Kasymov, deputy director of UzbekKino, told Uzbek state newspaper
Xalk Suzi journalists: “Not all films deserve high awards. Sometimes, the authors pay
attention to the form, but not to the content… Unfortunately, the level of their art and
professionalism is quite low.”According to Rahimov, one reason for low quality is that
large investments in good quality movies do not pay. Rahimov suggested that movie
producers lose a large share of their profits to movie piracy – an endemic problem in
Uzbekistan. Across Uzbekistan, bootleg stands selling pirated movies abound. According
to Rahimov, Uzbek film producers appeals to the state to crack down on movie piracy
have been largely unsuccessful. The Uzbek government has shown some willingness to
support film industry. Each year, the government provides UzbekKino funds for six
feature films and several documentaries. However, according to Rahimov, these funds do
not reach private studios. Instead, UzbekKino tends to spend these funds for costly
projects that promote Uzbek state ideology. For example, “Tamerlane,” a 2003
UzbekKino production depicting a medieval conqueror – Uzbekistan’s current flavor for
national hero - flopped at the box office despite its big budget. In 2002, several film
directors sent a letter to Uzbek government, accusing the UzbekKino leadership of
mismanagement and corruption. The change in UzbekKino leadership did not resolve
problems of the film industry. Movie theaters too are inaccessible for the country’s
primarily rural population.“They used to play Indian movies in our theater in the Soviet
days. But nobody goes to see movies. People watch movies at home,” a resident in the
central city of Jizzah told Ferghana.ru. Many Uzbek viewers seem to prefer watching
films at homes on TV or on DVD players to save costs. One can buy a pirated DVD disk
containing 10 films for less than two dollars at any street newspaper stand. A movie
ticket for a theater in Tashkent costs four thousand sums. Cheap Chinese DVD players
fill bazaars. But there is some hope that things may change. Small makeshift movie
theaters for ten or fifteen people are popping up in some Uzbek towns. Some of these
theaters feature Dolby Surround systems and popcorn stands. Although still playing
pirated movies, they are attracting young viewers.
• Uzbekistan: The Bukhara Students are forced to work at cotton fields
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On September 27, 2009. Over a thousand students of the Bukhara State University were
sent to cotton fields. Ferghana.Ru found the document, proving the fact of blackmail and
threat that force students to work at cotton fields. According to the presidential decree on
August 20, 2008 «On organization and implementation of cotton harvesting campaign»
and appropriate decrees of local authorities, the student participation in cotton harvesting
considered as «field internship». The students, missing the field work without reasons,
are dropped from university. In this concern, I kindly ask you to urgently show up for
field work. Other, we inform that you might be dismissed. Raupov S.S., the Dean of
Humanities, Bukhara State University. The students, missing the cotton campaign,
received such notifications with seal and signature of dean. Those, missing the field work
due to poor health conditions, were carefully examined by doctors. Nonetheless, that does
not mean that only sick students missed the cotton campaign. Some were able to buy off
for 200 US dollars while others preferred to send mardikor (hired workers), paying them
100-200 thousand sums (about $70-140 according to official rate).
The students, missing the cotton works due to reasonable excuses, had to daily show up
in the schools, where they are «trusted» to dig the ground in the campus area or clean the
rooms.
Business and Politics in the Muslim World
Weekly Report
Central Asia
October 16, 2009 to October 23, 2009
Uzma Siraj
Table of Contents
Azerbaijan
Political Front………………………………………………………………………….4
Geo Strategic Front……………………………………………………………………5
Economic/Energy Front……………………………………………………………….5
Social Front……………………………………………………………………………6
Kazakhstan
Political Front………………………………………………………………………….6
Geo Strategic Front…………………………………………………………………….6
Economic/Energy Front………………………………………………………………..6
Social Front…………………………………………………………………………….7
Kyrgyzstan
Political Front………………………………………………………………………….7
Geo Strategic Front…………………………………………………………………….8
Economic/Energy Front………………………………………………………………..8
Social Front…………………………………………………………………………….8
Tajikistan
Political Front…………………………………………………………………………..8
Geo Strategic Front…………………………………………………………………….8
Economic/Energy Front………………………………………………………………..9
Social Front……………………………………………………………………………10
Turkmenistan
Political Front………………………………………………………………………….10
BPM- Zone 1- Asia Reports
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Geo Strategic Front…………………………………………………………………….10
Economic/Energy Front………………………………………………………………..10
Social Front…………………………………………………………………………….11
Uzbekistan
Political Front…………………………………………………………………………..11
Geo Strategic Front……………………………………………………………………..12
Economic/Energy Front………………………………………………………………...12
Social Front……………………………………………………………………………..12
Out Line
Azerbaijan
Political Front
• Azerbaijan Democratic Party refuses to participate in municipal elections
• Azerbaijan’s opposition party nominates candidates for municipal
• A total of 915 people nominated for municipal elections in Azerbaijan
• Azerbaijani parliament to debate Turkey-Armenia protocols
• Azerbaijani opposition faces difficult situation: leader of opposition movement
Geo Strategic Front
• Azerbaijan president receives chief of Iranian presidential office
• Azerbaijan's growing role in region and world will never enable Armenia to move
away from isolation: Azerbaijani president
• U.S. Deputy Assistant Secretary of State for European and Eurasian Affairs to pay
first visit to Azerbaijan
Economic/Energy Front
• World Bank managing director will trip to Azerbaijan
• Interconnection of Azerbaijani, Iranian and Russian energy systems is under a
design stage: Azerenergy chief
• Assets of State Oil Fund of Azerbaijan increases almost 20 percent in 2009
• Azerbaijani Central Bank director announces inflation forecast for 2010
Social Front
• Azerbaijani 9-year pupils to take centralized exams: education minister
• Azerbaijani president decrees to establish Science Development Fund
• Azerbaijani president decrees to establish Science Development Fund
Kazakhstan
Political Front
• President of Kyrgyzstan names new prime minister
• Kazakhstan Court rejects Jailed Journalist's Appeal
• Kazakhstan opposition calls for social justice at a meeting in Astana
Geo Strategic Front
• Khalifa on visit to Kazakhstan
• Kazakhstan not a nuclear threat, official says
• President of Romania to pay official visit to Kazakhstan
Economic/Energy Front
• Kazakhstan willing to pump Oil into Pipeline via Turkey
BPM- Zone 1- Asia Reports
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•
Japan wants to expedite Agreement with Kazakhstan on Peaceful use of Atomic
Energy
• Chinese investments in Kazakh energy worry Europeans
• Kazakhstan’s economy to decline 1.3 percent in 2009 - EBRD
• Nazarbayev says he is eager to supply oil for BTC pipeline
• Russia, Kazakhstan, Belarus to start customs union on Jan. 1
• Kazakhstan ready for BTC
• Kazakhstan and Russia to seal agreement on parallel operation of the energy
systems by yearend
Social Front
• Kazakh court rejects jailed activist's appeal
Kyrgyzstan
Political Front
• Bakiyev reshapes Kyrgyzstan's Government to suit His Interests
• Kyrgyzstan launches large-scale government reform
• Social Democrats support new PM’s structure of government
• New cabinet to respect opposition views, new PM says
Geo Strategic Front
• Kyrgyzstan partially seals border with Tajikistan
• Two alleged Hizb ut-Tahrir activists held in Kyrgyzstan
Economic/Energy Front
• Swiss government invests in trade promotion in Kyrgyzstan
Social Front
Tajikistan
Political Front
• Majlisi Namoyandagon board considers amendments constitutional law on the
government of Tajikistan
• President signs number of laws adopted by parliament this year
Geo Strategic Front
• Zarifi receives Russian deputy foreign minister
• Tajik speaker, Kazakh envoy discuss cooperation issues
• Tajik FM, France’s envoy for Afghanistan and Pakistan discuss the present
situation in Afghanistan
• President Rahmon departs for Moscow for three-day visit tomorrow
• Tajik speaker, U.S. ambassador discuss cooperation issues
• Medvedev, Rahmon adopt joint statement
• No problems with Russian military base in Tajikistan, says Russian defense
minister
Economic/Energy Front
• Iranian vice-governor holds talks in Dushanbe to establish cooperation with Tajik
enterprises
• Tajikistan tops CA states in economic use of water, says minister
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333
Tajikistan exports 3.763 bln kWh of electricity in Jan-Sept 09
Social Front
• Tajikistan begins Central Asia's Biggest Mosque
• Corruption costs Tajikistan at some 56 mln somoni in Jan-Sept 09
• Third international human rights documentary festival comes to Khujand
Turkmenistan
Political Front
Geo Strategic Front
• Turkmenistan denies entry to Peace Corps
• New border crossing checkpoint opens on Turkmen-Uzbek border in Farap
district
• Turkmen president receives Russian interior minister
• Russian Minister of Internal Affairs Rashid Nurgaliyev arrives in Turkmenistan
• Ministers of Internal Affairs of Turkmenistan and Russia sign protocol on
cooperation for 2010-2011
Economic/Energy Front
• Turkmenistan: New Pipeline to start Pumping Gas to Iran on December 20
• Turkmen president sacks several energy chiefs
• Turkmenistan and Astrakhan region to continue expansion of trade and economic
ties
• Turkmen President, head of Gazprom hold talks
• Ministry of Trade and Industry of Tatarstan discusses cooperation with
Turkmenistan
• Turkmenistan completes construction of its section of pipeline to China
Social Front
• Traditional exhibition of economic achievements of Turkmenistan kicks off in
Ashgabat
Uzbekistan
Political Front
• Preparations for the elections: consistent work is carried out
• Parties approved for participation in elections
• Election Commission holds session
Geo Strategic Front
• Uzbekistan: European Union looks Likely to lift Arms Embargo
• New border crossing checkpoint opens on Turkmen-Uzbek border in Farap
district
• President of Uzbekistan receives Indian Foreign Minister
• Council of SCO Anti-Terrorist Structure holds session
Economic/Energy Front
• International industrial fair and cooperation exchange continues in Tashkent
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• IMF commends economic policy of Uzbekistan
• Uzbekistan’s GDP grows 8% in Jan-Sep
Social Front
• Week of beauty and elegance
Summery
Azerbaijan
Political Front
• Azerbaijan Democratic Party refuses to participate in municipal elections
Azerbaijan Democratic Party refused to participate in the municipal elections to be
held on on Dec. 23. The party’s press office said the decision was passed at the
extraordinary meeting of the ADP Management Board. ADP issued a statement about
it.
• Azerbaijan’s opposition party nominates candidates for municipal
Azerbaijan Liberal Democratic Party (ALDP) has held its next meeting, ALDP
chairman Fuad Aliyev said. He said the meeting discussed the participation of LDPA
in the upcoming municipal elections to be held on Dec. 23.
• A total of 915 people nominated for municipal elections in Azerbaijan
The district election commissions have approved 915 candidates for municipal
elections so far in Azerbaijan
• Azerbaijani parliament to debate Turkey-Armenia protocols
The Azerbaijani parliament will debate the Turkey-Armenia protocols. "I and my
counterparts who have just returned from Turkey will put forward proposals to
prevent discussion of the protocols signed at the Turkish parliament,"
• Azerbaijani opposition faces difficult situation: leader of opposition movement
Leader of the Azerbaijani opposition movement admits that the opposition faces a
very difficult situation. "It is necessary to maintain the unity in a situation when our
resources are extremely limited,"
Geo Strategic Front
• Azerbaijan president receives chief of Iranian presidential office
President of Azerbaijan Ilham Aliyev received head of the Iranian Presidential Office
Esfandiar Rahim Mashaie on Oct. 15. President Ilham Aliyev stressed the importance
of the visit for discussing current state and prospects of bilateral relations between the
two countries
• Azerbaijan's growing role in region and world will never enable Armenia to move
away from isolation: Azerbaijani president
President of Azerbaijan Ilham Aliyev on Friday presided over a meeting of the
Cabinet of Ministers on the outcomes of socio-economic development for nine
months of 2009. In his opening remarks, the President said Azerbaijan’s economy had
developed successfully through nine months of the current year
• U.S. Deputy Assistant Secretary of State for European and Eurasian Affairs to pay
first visit to Azerbaijan
U.S. Deputy Assistant Secretary of State for European and Eurasian Affairs Tina S.
Kaidanow will pay the first visit to Azerbaijan on Oct.22 -23, the U.S. embassy in
Baku said.
Economic/Energy Front
• World Bank managing director will trip to Azerbaijan
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335
The World Bank Managing Director, Ms. Ngozi Okonjo-Iweala, will arrive in Baku
on Oct. 20 as part of her tour to the region, said the World Bank’s Office in Baku.
She has already held meetings in Armenia and Georgia and since October 17
• Interconnection of Azerbaijani, Iranian and Russian energy systems is under a
design stage: Azerenergy chief
Overhaul of 500 kV electricity transmission line between Azerbaijan and Georgia
will complete in 2010-2011, head of Azerenergy Etibar Pirverdiyev said on Oct. 20.
"At present, there is a 330 KV transmission line between the two countries, which
does not ensure export-import operations sufficiently," said Pirverdiyev
• Assets of State Oil Fund of Azerbaijan increases almost 20 percent in 2009
Budget revenues of the State Oil Fund of the Republic of Azerbaijan (SOFAZ)
reached 5 465.2 million manats in January-September, 2009, while budget
expenditures constituted 3 954.1 mln. manats, SOFAZ executive director Shahmar
Movsumov said to press conference on outcomes of the nine months.
• Azerbaijani Central Bank director announces inflation forecast for 2010
Anticipated rate of inflation for 2010 is 3 to 5 percent in Azerbaijan. It is not ruled out
that this figure will fall to even lower levels, Central Bank Director Elman Rustamov
said on Oct. 21."
Social Front
• Azerbaijani 9-year pupils to take centralized exams: education minister
-year pupils will take the centralized examinations in Azerbaijan. "This year, for the
first time, the Education Minister will organize centralized examinations for 9-year
pupils,"
• Azerbaijani president decrees to establish Science Development Fund
President Ilham Aliyev decreed on establishment of Science Development Fund
under the President of the Republic of Azerbaijan to ensure stimulation of
fundamental scientific researches in Azerbaijan, strengthen exploration of the
country`s natural resources and cultural and historical heritage,
Kazakhstan
Political Front
• President of Kyrgyzstan names new prime minister
President of Kyrgyzstan Kurmanbek Bakiev has signed a decree to appoint Daniyar
Usenov to the prime minister's post, after a solid vote of the major parliament fraction
supported his candidacy, "24.kg" news agency reported.
• Kazakhstan Court rejects Jailed Journalist's Appeal
A Kazakhstani court on Thursday upheld a three-year prison sentence for a journalist
in a case that has sparked international criticism from rights groups, ahead of
Kazakhstan's chairmanship of a European human rights body.
• Kazakhstan opposition calls for social justice at a meeting in Astana
A block of opposition forces For a Just Kazakhstan (FJK) held an authorized meeting
demanding social justice."This protest campaign iss held to draw attention to the
crisis in the social sphere that adversely affect the health of the nation and income of
every resident,” head of Astana branch of the Communist Party of Kazakhstan in
Astana Tota Yelyubayeva said at the meeting.
Geo Strategic Front
• Khalifa on visit to Kazakhstan
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Sheikh Khalifa bin Zayed, President of the UAE and Ruler of Abu Dhabi, this week
began a private visit to Kazakhstan that will last several days.
• Kazakhstan not a nuclear threat, official says
A US intelligence report on concerns about Kazakhstan's nuclear deals is misleading,
said the Kazakh government Monday. A Kazakhstan government official says that,
contrary to recent reports, his country is not looking to do nuclear deals with
countries that have a mixed record on proliferation.
• President of Romania to pay official visit to Kazakhstan
The President of Romania, Trajan Basesku, will pay an official visit to Kazakhstan
next week. The official representative of the Ministry of Foreign Affairs of
Kazakhstan, Yerzhan Ashikbayev, informed at a weekly briefing in the Ministry for
Foreign Affairs of Kazakhstan, the agency reports.
Economic/Energy Front
• Kazakhstan willing to pump Oil into Pipeline via Turkey
Kazakhstan's president confirmed Thursday that his country is willing to pump crude
into a planned $1.5-billion pipeline, to bring Caspian oil to the Mediterranean via
Turkey. Addressing Turkey's parliament, Nursultan Nazarbayev said:
• Japan wants to expedite Agreement with Kazakhstan on Peaceful use of Atomic
Energy
Japan ‘s Vice Minister of Economy, Trade and Industry Hiroyuki Ishige has
announced Japan wants to speed up the signing of an agreement on the peaceful use
of atomic energy with Kazakhstan.
• Chinese investments in Kazakh energy worry Europeans
China Investment Corporation’s acquisition of a stake in KazMunaiGas Exploration
Production and the opening of a pipeline linking oil-rich western Kazakhstan to the
Chinese border meant it was inevitable that China’s grasp of Kazakh natural
resources would be the hot topic at this year’s Kazakhstan International Oil and Gas
Exhibition
• Kazakhstan’s economy to decline 1.3 percent in 2009 – EBRD
The European Bank for Reconstruction and Development (EBRD) has revised its
economic growth forecast for Kazakhstan in 2009-2010, the bank said in a statement. “In
2009, Kazakhstan’s economy is expected to decline by 1.3 percent, while in 2008 it
recorded a 3.2-percent increase. The economy will show positive growth of 1.6 percent in
2010,” the statement said.
• Nazarbayev says he is eager to supply oil for BTC pipeline
Kazakh President Nursultan Nazarbayev gathered with a small group of Turkish
journalists last week in Astana ahead of his upcoming official visit to Turkey.
• Russia, Kazakhstan, Belarus to start customs union on Jan. 1
Russia, Kazakhstan and Belarus will launch their Customs Union on January 1, 2010,
Russian Foreign Minister Sergei Lavrov said on Friday.
• Kazakhstan ready for BTC
Kazakhstan positioned itself as a potential supplier to the Baku-Tbilisi-Ceyhan oil
pipeline ahead of a meeting in Ankara with Turkish officials. Kazakh President
Nursultan Nazarbayev hailed the bilateral ties between his country and Turkey,
saying he would like to expand cooperation in the energy sector, Turkish daily
Today's Zaman reports.
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337
Kazakhstan and Russia to seal agreement on parallel operation of the energy
systems by yearend
By the end of this year Kazakhstan and Russia will have signed an agreement on
parallel operation of their energy systems, Kazakh Minister of Energy and Mineral
Resources Sauat Mynbayev told last Friday press conference in Astana after the 13th
meeting of the Kazakh-Russia governmental commission.
Social Front
• Kazakh court rejects jailed activist's appeal
A Kazakh court on Tuesday rejected an appeal by a human rights activist who was
jailed last month over a road accident in a trial criticised by rights campaigners as
politically motivated."Leave the sentence... unchanged," judge Yerkhan Totybai-tegi
said in court
Kyrgyzstan
Political Front
• Bakiyev reshapes Kyrgyzstan's Government to suit His Interests
The resignation of the Kyrgyz Prime Minister Igor Chudinov on October 19 and,
consequently the entire government should not be confused with any attempt to
reform the country’s political system
• Kyrgyzstan launches large-scale government reform
Kyrgyzstan launches a large-scale reform of all governmental bodies. As the news
agency 24.kg earlier reported, the republican meeting of leaders of all ranges under
chairmanship of the Kyrgyz president will take place in the White House on Tuesday
• Social Democrats support new PM’s structure of government
Social Democratic fraction of Kyrgyzstan supported structure of the government,
suggested by the new prime minister of the republic on Wednesday. The fraction
congratulated Daniyar Usenov on his appointment to the post, voiced approval of his
candidacy and wished success.
• New cabinet to respect opposition views, new PM says
The newly-appointed Prime Minister of Kyrgyzstan, Daniyar Usenov, said the new
cabinet would respect the opposition’s views.
Geo Strategic Front
• Kyrgyzstan partially seals border with Tajikistan
Separate parts of Kyrgyz-Tajik border have been sealed, public relations department
of the Kyrgyz Border Service reported. Batken border unit tightened security on the
state border following penetration of armed criminals from the territory of Tajikistan.
• Two alleged Hizb ut-Tahrir activists held in Kyrgyzstan
Two alleged activists of the banned extremist party of Hizb ut-Tahrir were held in the
Chui oblast of Kyrgyzstan, press service of the Kyrgyz Interior ministry reported.
Economic/Energy Front
• Swiss government invests in trade promotion in Kyrgyzstan
The government of Switzerland allocates funds for promotion of trade in Kyrgyzstan,
the Swiss Agency for Development and Cooperation reported.
Social Front
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Tajikistan
Political Front
• Majlisi Namoyandagon board considers amendments constitutional law on the
government of Tajikistan
The board (Shuro) of Tajikistan’s lower chamber (Majlisi Namoyandagon) of
parliament considered a bill requiring amendments to the Constitutional Law “On the
Government of the Republic of Tajikistan” at an October 19 meeting presided over by
its speaker
• President signs number of laws adopted by parliament this year
On Saturday October 17, President Emomali Rahmon signed a number of laws
adopted by the parliament over the past several months, according to presidential
press service.
Geo Strategic Front
• Zarifi receives Russian deputy foreign minister
Saydullo Khairulloyev, Chairman of the Majlisi Namoyandagon (Tajikistan’s lower
chamber of parliament), today received Kazakhs Ambassador to Tajikistan Abutalibp
Akhmetov.
• Tajik speaker, Kazakh envoy discuss cooperation issues
On Monday October 19, Foreign Minister Hamrokhon Zarifi met here with Mr.
Thierry Mariani, Special Envoy of France for Afghanistan, Pakistan and Central Asia
• Tajik FM, France’s envoy for Afghanistan and Pakistan discuss the present
situation in Afghanistan
President Emomali Rahmon is departing for Moscow for a three-day visit tomorrow,
according to presidential press service. Tajik leader will visit Moscow and St.
Petersburg and hold talks with high-ranking Russian state officials to discuss
cooperation issues.
• President Rahmon departs for Moscow for three-day visit tomorrow
Saydullo Khairulloyev, Chairman of the Majlisi Namoyandagon (Tajikistan’s lower
chamber of parliament) today met with the U.S. Ambassador to Tajikistan, Kenneth
E. Gross.
• Tajik speaker, U.S. ambassador discuss cooperation issues
Resident of Russia Dmitry Medvedev and the President of Tajikistan Emomali
Rahmon signed a joint statement in Moscow, Itar-Tass reports
• Medvedev, Rahmon adopt joint statement
On Thursday October 22, the Resident of Russia Dmitry Medvedev and the President
of Tajikistan Emomali Rahmon signed a joint statement in Moscow, Itar-Tass reports.
The two leaders have charged co-chairmen of the Tajik-Russian intergovernmental
commission for economic cooperation
• No problems with Russian military base in Tajikistan, says Russian defense
minister
There are no problems with Russian military base deployed in Tajikistan and the
sides are currently discussing the issue of payment for the use of a military in
Tajikistan only starting from 2014, Russian Minister Anatoly Serdyukov told
reporters in Moscow on October 22.
Economic/Energy Front
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Week # 89-90
339
•
Iranian vice-governor holds talks in Dushanbe to establish cooperation with Tajik
enterprises
On Friday October 16, the first deputy head of Tajikistan’s Chamber of Commerce
and Industry, Odil Sangov, met with visiting Iranian delegation, led Hamid Ali
Mobaraki, vice-governor of Iran’s Sistan-Beluchistan province, and Mohammad
Nishati, the head of the Chamber of Commerce and Industry of this province,
according to the CCI press service.
• Tajikistan tops CA states in economic use of water, says minister
Tajikistan tops Central Asia’s states in terms of economic use of water, Minister of
Land Reclamation and Water Resources Said Yoqubzod announced at a news
conference in Dushanbe on October 16.
• Tajikistan exports 3.763 bln kWh of electricity in Jan-Sept 09
Electricity and cotton fiber remain main items of Tajikistan’s exports. In JanuarySeptember this year, Tajikistan has exported 3.763 billion kWh of electricity for 55.9
million U.S. dollars, according to the State Committee for Statistics.
Social Front
• Tajikistan begins Central Asia's Biggest Mosque
The mosque will hold 150,000 worshippers when completed On what now looks like
an enormous car park in Tajikistan's capital, Dushanbe, work has begun on a gigantic
new mosque.
• Corruption costs Tajikistan at some 56 mln somoni in Jan-Sept 09
In a report released at a press conference in Dushanbe, Director of the Agency for
State Financial Control and Combating Corruption Fattoh Saidov revealed on October
15 that according to findings by the anticorruption agency, corruption has cost
Tajikistan at some 56 million somoni over the first nine months of this year.
• Third international human rights documentary festival comes to Khujand
The Third International Human Rights Documentary Festival started at the Faculty of
Art of Khujand State University on October 16
Turkmenistan
Political Front
Geo Strategic Front
• Turkmenistan denies entry to Peace Corps
The reclusive Central Asian nation of Turkmenistan has denied entry to dozens of Peace
Corps volunteers, the organization’s country director said Friday. Turkmenistan denies
entry to Peace Corps Isolated Turkmenistan denies entry to Peace Corps volunteers
• New border crossing checkpoint opens on Turkmen-Uzbek border in Farap
district
A new Turkmen border crossing checkpoint called Farap, which is located in the
territory of Farap district on the border with Uzbekistan, was ceremonially opened in
the city of Turkmenabat. This state-of-the-art facility meets international standards
and has all necessary conditions for the efficient work of staff and quality of bordercrossing operations, including luggage and vehicles examination.
• Turkmen president receives Russian interior minister
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On October 19, President Gurbanguly Berdimuhamedov received Minister of Internal
Affairs of Russia Rashid Nurgaliyev, who is in Turkmenistan on a working visit.
"The meeting was very constructive.
• Russian Minister of Internal Affairs Rashid Nurgaliyev arrives in Turkmenistan
Minister of Internal Affairs of Russia Rashid Nurgaliyev arrived in Turkmenistan on
a visit. During the visit, the head of the Russian Interior Ministry will hold bilateral
talks with his Turkmen counterpart Isgender Mulikov.
• Ministers of Internal Affairs of Turkmenistan and Russia sign protocol on
cooperation for 2010-2011
Minister of Internal Affairs of Turkmenistan Isgender Mulikov and his Russian
counterpart Rashid Nurgaliyev, who arrived in Ashgabat on a working visit, signed a
Protocol on Cooperation between the two ministries for 2010-2011.
Economic/Energy Front
• Turkmenistan: New Pipeline to start Pumping Gas to Iran on December 20
Turkmen gas exports to Iran via a new pipeline are slated to begin on December 20.
According to Iranian news sources, northern Iran will receive gas supplies originally
earmarked for purchase by the Russian energy giant Gazprom."
• Turkmen president sacks several energy chiefs
- The president of resources-rich Turkmenistan has sacked several top officials in the
energy sector, denouncing their “irresponsible approach” to their jobs, the official
news agency reported.
• Turkmenistan and Astrakhan region to continue expansion of trade and economic
ties
Astrakhan Region is interested in purchasing agricultural products from
Turkmenistan and products of its processing, as well as increasing purchases of
various construction materials, said Governor of Astrakhan Region Alexander Zhilkin
during a meeting with Turkmen President Gurbanguly Berdimuhamedov on October
15.
• Turkmen President, head of Gazprom hold talks
Turkmen President Gurbanguly Berdimuhamedov received Chief Executive of OAO
Gazprom Alexei Miller in Ashgabat on October 19. During the meeting, they
discussed issues of long-term strategic cooperation in the gas sphere.
• Ministry of Trade and Industry of Tatarstan discusses cooperation with
Turkmenistan
Promising areas of cooperation with Turkmenistan were discussed yesterday during a
meeting with Plenipotentiary Representative of Tatarstan to Turkmenistan Kamil
Galiyev at the Ministry of Trade and Industry of the Republic of Tatarstan.
Turkmen President Gurbanguly Berdimuhamedov received Chief Executive of OAO
Gazprom Alexei Miller in Ashgabat on October 19.
• Turkmenistan completes construction of its section of pipeline to China
According to the state concern Turkmengaz, Turkmenistan has completed building its
secion of the international gas pipeline Turkmenistan - Uzbekistan - Kazakhstan China with a total length of more than 7000 km. The new 188-km gas artery with a
diameter of 1420 mm connected the Malay gas field with the beginning of the
TransAsian gas pipeline on the Turkmenistan-Uzbekistan border, creating a unified
gas transportation corridor..
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341
Social Front
• Traditional exhibition of economic achievements of Turkmenistan kicks off in
Ashgabat
The Exhibition of Economic Achievements of Turkmenistan dedicated to the 18th
anniversary of Turkmenistan's independence started at Sergi Kosgi Exhibition Center in
Ashgabat.
Uzbekistan
Political Front
• Preparations for the elections: consistent work is carried out
On October 20, the press center of the Central Election Commission of Uzbekistan
held a regular press conference for domestic and foreign journalists. Chairman of the
Central Election Commission M. Abdusalomov informed journalists about the work
on the formation of electoral districts, the formation of district electoral commissions
for the elections of deputies of Legislative Chamber of Oliy Majlis of the Republic of
Uzbekistan and the admission of political parties to participate in the forthcoming
elections.
• Parties approved for participation in elections
The Central Election Commission of Uzbekistan considered the applications and
other documents of the country’s political parties regarding their participation in the
December elections to the Legislative Chamber of the Oliy Majlis of Uzbekistan.
• Election Commission holds session
The Central Election Commission of Uzbekistan held a session on 16 October,
chaired by the head of the commission Mirzo-Ulugbek Abdusalomov.
Geo Strategic Front
• Uzbekistan: European Union looks Likely to lift Arms Embargo
The European Union appears poised to lift its four-year arms embargo against
Uzbekistan. EU officials say strategic necessity is exerting pressure on Brussels to
fully engage Tashkent.
• New border crossing checkpoint opens on Turkmen-Uzbek border in Farap
district
A new Turkmen border crossing checkpoint called Farap, which is located in the
territory of Farap district on the border with Uzbekistan, was ceremonially opened in
the city of Turkmenabat.
• President of Uzbekistan receives Indian Foreign Minister
President of Uzbekistan Islam Karimov received Indian Foreign Minister
Somanahalli Krishna in Tashkent on 23 October.
• Council of SCO Anti-Terrorist Structure holds session
The Council of the Regional Anti-Terrorist Structure (RATS) of the Shanghai
Cooperation Organization (SCO) held its 15th session in Tashkent on 16 October.
The representatives of Kazakhstan, China, Kyrgyzstan, Russia, Tajikistan and
Uzbekistan participated in the session
Economic/Energy Front
• International industrial fair and cooperation exchange continues in Tashkent
Uzbekistan Industrialists Forum, carried out at the initiative of President Islam Karimov,
aims to promote the real sector enterprises to provide free access to necessary raw
BPM- Zone 1- Asia Reports
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342
materials and credit resources, facilitate the creation of market infrastructure to build and
expand long-term business relationships based on intra and inter-sectoral cooperation.
• IMF commends economic policy of Uzbekistan
The mission of the Executive Directors of the International Monetary Fund (IMF),
which consisted of Meg Landseyger, Agee Bakker, Amboise Faiola, Ho Jian Xiong,
Thomas Moser and Klaus D. Stein, following the visit to Uzbekistan, held a press
conference for local and foreign journalists,
• Uzbekistan’s GDP grows 8% in Jan-Sep
The gross domestic product of Uzbekistan showed an 8% growth in the first nine
months of 2009, it was announced at the session of the Cabinet of Ministers on 16
October.
Social Front
• Week of beauty and elegance
During Independence years under the leadership of President Islam Karimov
extensive work on the development of national culture and art, creating the necessary
conditions to familiarize them with the best samples, the effective activity of
representatives of these areas is conducted.
Detailed Report
Azerbaijan
Political Front
• Azerbaijan Democratic Party refuses to participate in municipal elections
Azerbaijan Democratic Party refused to participate in the municipal elections to be held
on on Dec. 23. The party’s press office said the decision was passed at the extraordinary
meeting of the ADP Management Board. ADP issued a statement about it. According to
the statement, the party members will put forward their candidacy on their own
initiatives. The statement says that the official status of the municipalities is not line with
the European Charter of Local Self-Government, the role and authorities of
municipalities is restricted, citizens are not interested in the local elections because of the
imperfect election experience.“ADP expresses its regret that it will not participate in the
local elections together with the other political parties because of the crisis in the
Movement for Karabakh and Republic. ADP does not consider it expedient to participate
in the elections as a party, as there are serious technical difficulties in the Electoral Code
concerning the participation as a party," the party said. So, to increase political activeness
in the country, involve the citizens in the political life of the society the party passes a
decision on individual participation in the local elections and calls on its members and
supporters to take active part in the forthcoming local elections,” the party said.
• Azerbaijan’s opposition party nominates candidates for municipal elections
Azerbaijan Liberal Democratic Party (ALDP) has held its next meeting, ALDP chairman
Fuad Aliyev said. He said the meeting discussed the participation of LDPA in the
upcoming municipal elections to be held on Dec. 23."LDPA at a high level preparing to
participate in municipal elections and is currently conducting educational work among
the candidates. Party has identified a list of candidates. It is envisaged that the elections
will involve 1,000 candidates from the party,” he said. LDPA chairman also said the
party plans to hold meetings in country’s regions soon.
• A total of 915 people nominated for municipal elections in Azerbaijan
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The district election commissions have approved 915 candidates for municipal elections
so far in Azerbaijan. The lists for the collection of signatures were provided to 765 of
them, the Central Election Commission said. Azerbaijan will hold municipal elections on
Oct. 23.
• Azerbaijani parliament to debate Turkey-Armenia protocols
The Azerbaijani parliament will debate the Turkey-Armenia protocols. "I and my
counterparts who have just returned from Turkey will put forward proposals to prevent
discussion of the protocols signed at the Turkish parliament," Member of the Azerbaijani
Parliamentary Security and Defense Committee Zahid Oruj said.Oruj said appeal to the
Turkish parliament will depend on the discussions."Azerbaijan takes certain diplomatic
actions. I believe we can use different influence tools," the parliamentarian said. Oruj
added that they should not only discuss the policy pursued to normalize relations between
Turkey and Armenia, but also regional issues."We should determine profit and losses of
Azerbaijan in these processes, because Azerbaijan's future is too important as a result of a
change in a power balance in the region. Exchange of views should be held on this issue,
as the parliament as a legislative body is a branch of the government," Oruj added.
• Azerbaijani opposition faces difficult situation: leader of opposition movement
Leader of the Azerbaijani opposition movement admits that the opposition faces a very
difficult situation. "It is necessary to maintain the unity in a situation when our resources
are extremely limited," Leader of the National Unity Movement (NUM) Lala Shovkat
said. Musavat Party, represented in the Movement for Karabakh and Republic, has put
condition before the Umid Party that the latter must withdraw its representatives from the
election commissions. Umid Party stated that it will fulfill this requirement if members of
Musavat group of MPs give up their mandates. The difference between the two parties
caused serious crisis within the movement. Shovkat said it is not right time for the parties
represented in the Civil Movement for Karabakh and the Republic to set conditions to
each other."When establishing the movement, we took as a basis the fact that the
situation developed around the Nagorno-Karabakh conflict is not in Azerbaijan's favor.
Karabakh is our national problem and in the current period, I'm against the collapse of the
movement connected with Karabakh," Shovkat added. The position of the government
and opposition on the Karabakh problem should be the same, she added."In such situation
the movement should collapse. I strongly appealed Musavat party and Umid party to
refrain from conditions and to compromise each other," Shovkat said. Shovkat expressed
regret that unions established by the Azerbaijani opposition are short-term in nature. "I do
not want to bring an accusation against any particular party, which played a role in the
decay of these unions. But we cannot allow the movement connected with Karabakh to
collapse in the current period. I once more appeal Musavat and Umid to come to a
compromise. Otherwise, the activity of the movement will be suspended. There is no
need to keep the movement if the two parties, which are the founders of the movement,
cannot find a common language," Shovkat added.
Geo Strategic Front
• Azerbaijan president receives chief of Iranian presidential office
President of Azerbaijan Ilham Aliyev received head of the Iranian Presidential Office
Esfandiar Rahim Mashaie on Oct. 15. President Ilham Aliyev stressed the importance of
the visit for discussing current state and prospects of bilateral relations between the two
countries. The President stressed Azerbaijan and Iran enjoy successful cooperation in
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various fields. President Ilham Aliyev said he believes “the visit and meetings you will
hold during it will contribute to strengthening cooperation between our countries”.
Mashaie conveyed Iranian President Mahmoud Ahmadinejad `s greetings to the Head of
State. He also presented Mahmoud Ahmadinejad `s letter to President Ilham Aliyev.
President Ilham Aliyev asked Mashaie to deliver his greetings to the Iranian leader.
Azerbaijan's growing role in the region and world will never enable Armenia to withdraw
from the isolated situation.
• Azerbaijan's growing role in region and world will never enable Armenia to move
away from isolation: Azerbaijani president
President of Azerbaijan Ilham Aliyev on Friday presided over a meeting of the Cabinet
of Ministers on the outcomes of socio-economic development for nine months of 2009. In
his opening remarks, the President said Azerbaijan’s economy had developed
successfully through nine months of the current year. Despite the global financial crisis
and economic regression in many world countries, our national economy did not face the
crisis seriously, on the contrary, we watch positive tendencies in rise of economy, the
President noted. The President pointed out gross domestic product (GDP) increased by 6,
1 percent, while industrial production grew 5 percent in the country through nine months
of the year. He stressed the agricultural sector in the country saw 3 percent increase. The
President also noted “this year for the first time three million tons of grain have been
produced in Azerbaijan”, and described this figure as a record. The Head of State linked
this to the ongoing reforms in the country`s agricultural sector. President Ilham Aliyev
said the population`s incomes have raised approximately by 10 percent while monthly
wages increased by 15 percent.
“We are completely sure that our policy serves the Azerbaijani people`s interest”.
According to the President, 824 thousand work places have been created in the country
since 2003. He underscored through the period, works on army building had been
continued. He said Azerbaijan`s army is the most powerful one in the region and has the
greatest military potential. “Because our country has been under the war conditions, the
Nagorno-Karabakh conflict still remains unresolved and the only reason for this is
Armenia`s unconstructive position”.The President said “now Armenia uses the tactics of
extending time in the negotiation process,” adding “Azerbaijan does not intend to step
back from its principal stance”. “The status-quo in the region must change in favor of
Azerbaijan, otherwise the country will not reconcile with the situation. Because without
Azerbaijan's participation, no initiative can be realized in the region,” the President said.
"Azerbaijan's growing role in the region and world will never enable Armenia to
withdraw from the isolated situation. The Armenian leadership is itself guilty for this.
Azerbaijan will fight for its national interests till the end. Because this is a fight for
justice," he said. The President`s remarks followed by reports of Minister of Economic
Development Shahin Mustafayev, Minister of Education Misir Mardanov, Minister of
Transport Ziya Mammadov and Minister of Industry and Energy Natig Aliyev who
covered social and economic works done by their departments through nine months of
2009. In his final remarks, President Ilham Aliyev stressed the necessity of keeping the
speedy economic growth in the coming months. He added the economic development in
2003-2008 creates good opportunities for the future. He expressed assurance that
economic successes in the country will continue in 2010. “Our works are assessed by
international organizations, as well”, the President underlined.
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He pointed out the state budget for the next year had been defined in according with wellbalanced economic policy with $45 per barrel oil price forecast. The Head of State also
gave certain instructions on intensification of construction in the republic. He said next
year ecological measures will be strengthened. The President initiated declaring 2010 the
year of ecology. The Head of State expressed satisfaction with the outcomes of nine
months and stressed the necessity of continuation of the work “to ensure national
interests of our people”.
• U.S. Deputy Assistant Secretary of State for European and Eurasian Affairs to pay
first visit to Azerbaijan
U.S. Deputy Assistant Secretary of State for European and Eurasian Affairs Tina S.
Kaidanow will pay the first visit to Azerbaijan on Oct.22 -23, the U.S. embassy in Baku
said. Currently Kaidanow is on visit in Yerevan where she meets with Armenian Foreign
Minister Edward Nalbandian. Diplomat Tina Kaidanow replaced Matthew Bryza as U.S.
Deputy Assistant Secretary of State in Aug. 2009.
Economic/Energy Front
• World Bank managing director will trip to Azerbaijan
The World Bank Managing Director, Ms. Ngozi Okonjo-Iweala, will arrive in Baku on
Oct. 20 as part of her tour to the region, said the World Bank’s Office in Baku. She has
already held meetings in Armenia and Georgia and since October 17. The aim of her visit
is to discuss with the respective governments, development partners and civil society the
impact of the financial crisis in the South Caucasus and to find ways to help ease the
crisis and enable sustainable economic growth. The World Bank is actively engaged in
helping these countries address the challenges facing them.
In all three countries Ms. Okonjo-Iweala will meet with the country leadership, senior
government officials, civil society and private sector representatives, and visit World
Bank supported project sites. She will make a field trip to IDA Fast-Track Operation sites
and meet with project beneficiaries in Armenia. As part of her program in Georgia, she
will visit an IDP settlement, a road construction site and a primary healthcare facility. In
Azerbaijan, she will co-chair a high level Economic Policy Forum, visit a cultural
heritage site and meet with women leaders.
• Interconnection of Azerbaijani, Iranian and Russian energy systems is under a
design stage: Azerenergy chief
Overhaul of 500 kV electricity transmission line between Azerbaijan and Georgia will
complete in 2010-2011, head of Azerenergy Etibar Pirverdiyev said on Oct. 20. "At
present, there is a 330 KV transmission line between the two countries, which does not
ensure export-import operations sufficiently," said Pirverdiyev.He said a number of
projects should be implemented in the territory of Georgia, after which it will be possible
to export electricity produced in Azerbaijan to Turkey. Pirverdiyev said the process of
interconnection of energy systems of Azerbaijan, Iran and Russia is under a design stage.
"The issue of a united power system among the three countries is technically difficult. It
is not difficult to create a system with Iran. The difficult is a united power system of the
three countries," he said. Electricity transmission system in Russia - in the territory of
Dagestan is weak, there is only one 330 KV power transmission line. At present, the
energy exchange between Azerbaijan and Russia continues."The surplus is on the side of
Azerbaijan," said the head of Azerenergy. He said the construction of the electricity
transmission lines between Azerbaijan and Iran should finish soon.
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• Assets of State Oil Fund of Azerbaijan increases almost 20 percent in 2009
Budget revenues of the State Oil Fund of the Republic of Azerbaijan (SOFAZ) reached 5
465.2 million manats in January-September, 2009, while budget expenditures constituted
3 954.1 mln. manats, SOFAZ executive director Shahmar Movsumov said to press
conference on outcomes of the nine months. Revenue of 5 191.6 mln. manats was
received from implementation of oil and gas agreements, including 5 107.2 mln. manats
from the sale of profitable oil and gas, 6.8 mln. manats as transit payments, 75.6 mln.
manats from state share in the Heydar Aliyev Baku-Tbilisi-Ceyhan (BTC) Main Export
Pipeline, 1.1 mln. manats as acreage payments, 0.8 million manats as bonus payments
and 0.1 mln. manats from sale of assets received from foreign companies. The revenues
from managing assets of the Fund for the reporting period amounted to 273.6 mln.
manats. The Fund's extra-budgetary revenues related to the revaluation of foreign
exchange totalled 218.4 million manats. As per 2009 budget of the Fund, 3 685.0 mln.
manats were transferred to the state budget. The expenditures in the amount of 69.6 mln.
manats were directed to financing of improvement of social condition of refugees and
internally displaced persons, 92.4 mln. manats and 94.1 mln. manats were accordingly
used for financing the reconstruction of the Samur-Absheron irrigation system and
financing construction of the Oghuz-Gabala-Baku water supply system. 4.1 mln. manats
were directed to financing Baku-Tbilisi-Kars railway and 3.2 mln. manats to financing
"The state program on the education of Azerbaijan youth abroad in the years 2007-2015".
The Fund's administrative and operational expenses in this period were 5.7 mln. manats.
According to Movsumov, the assets of SOFAZ as at October 1, 2009 has grown by 19.24
% compared to the beginning of the year and stood at 10 716.2 mln. manats (USD 13
337.5 mln.).
• Azerbaijani Central Bank director announces inflation forecast for 2010
Anticipated rate of inflation for 2010 is 3 to 5 percent in Azerbaijan. It is not ruled out
that this figure will fall to even lower levels, Central Bank Director Elman Rustamov said
on Oct. 21."There will be stable inflation at low level in Azerbaijan in 2010, that is, 3-5
percent or lower level is possible as we will continue discussions on this forecast,"
Rustamov said. He said according to WB forecasts, inflation will total 2-2.5 percent in
Azerbaijan by late 2009. "We will maintain inflation at the same level in future,"
Rustamov added.
Social Front
• Azerbaijani 9-year pupils to take centralized exams: education minister
9-year pupils will take the centralized examinations in Azerbaijan. "This year, for the first
time, the Education Minister will organize centralized examinations for 9-year pupils,"
Education Minister Misir Mardanov told reporters. In 2008, the centralized exams will be
held at secondary schools of Baku, Sumgayit, Ganja, Shirvan and Mingachevir cities of
Azerbaijan, as well as, in Ujar, Imishli and Ismayilli regions of the country.
• Azerbaijani president decrees to establish Science Development Fund
President Ilham Aliyev decreed on establishment of Science Development Fund under
the President of the Republic of Azerbaijan to ensure stimulation of fundamental
scientific researches in Azerbaijan, strengthen exploration of the country`s natural
resources and cultural and historical heritage, increase effectiveness of researches in
various spheres of science and represent Azerbaijan`s science worthily among the world
scientific community. On another Presidential Decree, Elchin Safaralı Babayev was
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appointed executive director of the Science Development Fund under the President of the
Republic of Azerbaijan.
Kazakhstan
Political Front
• President of Kyrgyzstan names new prime minister
President of Kyrgyzstan Kurmanbek Bakiev has signed a decree to appoint Daniyar
Usenov to the prime minister's post, after a solid vote of the major parliament fraction
supported his candidacy, "24.kg" news agency reported. The new prime minister is
expected to form a new government later today.
• Kazakhstan Court rejects Jailed Journalist's Appeal
A Kazakhstani court on Thursday upheld a three-year prison sentence for a journalist in a
case that has sparked international criticism from rights groups, ahead of Kazakhstan's
chairmanship of a European human rights body. Ramazan Yesergepov, the owner and
editor of the Alma Ata Info newspaper, was arrested in January for divulging state
secrets, after publishing a letter he said revealed links between a businessman and the
country's National Security Committee (KNB). Rights campaigners are questioning the
credibility of the Central Asian state as next year's chairman of the Organisation for
Security and Cooperation in Europe (OSCE), a security and human rights body. Earlier
on Thursday, the United States criticised a tough sentence for a Kazakhstani human rights
activist. Yesergepov had challenged an August verdict sentencing him to three years in
jail."Unfortunately, the court has upheld an earlier verdict," his wife Raushan
Yesergepova told Reuters by telephone from the city of Taraz, 500 km (300 miles)
southwest of Kazakhstan's financial capital Almaty, where the trial had taken place.
Following Yesergepov's initial conviction, the OSCE representative on freedom of the
media urged Kazakhstan to overturn the sentence, saying it violated international
standards and OSCE commitments on media freedom. Kazakhstan has also come under
fire for jailing prominent human rights activist Yevgeny Zhovtis, who killed a pedestrian
on a highway in July. Zhovtis' supporters say the trial, which led to a four-year prison
sentence, was politically motivated, and had not allowed Zhovtis to mount a proper
defense and prove he was unable to prevent the accident, according to Reuters.
• Kazakhstan opposition calls for social justice at a meeting in Astana
Astana. October 19. Interfax-Kazakhstan – A block of opposition forces For a Just
Kazakhstan (FJK) held an authorized meeting demanding social justice."This protest
campaign iss held to draw attention to the crisis in the social sphere that adversely affect
the health of the nation and income of every resident,” head of Astana branch of the
Communist Party of Kazakhstan in Astana Tota Yelyubayeva said at the meeting. The
protesters, a total of 300 people, bearing slogans “Fight for social justice ” and “No to
social genocide!" urged Kazakhstan residents to fight against corruption and disregard of
the law by state officials and courts, and demand the authorities to take steps to enhance
social protection and welfare of residents. The meeting joined by the National Social and
Democratic Party (NSDP), the Azat Party (Freedom) and the Alga! Party (Go Ahead!)
spoke about the problems of co-investors in housing construction, utility prices and
public transport fees. FJK announced plans to organize a series of such meetings in all
regions of the republic.
As reported, in June the National Social and Democratic Party (NSDP) and the Azat
Party (Freedom) announced their intent to revive the bloc “For a Just Kazakhstan” on the
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terms of co-chairing the organization. The Alga! Party (Go Ahead!) stepped aside.
Recently NSDP and Azat announced their plans to merge into a single party. The leader
of NSDP called on the other opposition parties to join the new organization
Geo Strategic Front
• Khalifa on visit to Kazakhstan
Sheikh Khalifa bin Zayed, President of the UAE and Ruler of Abu Dhabi, this week
began a private visit to Kazakhstan that will last several days. He was seen off by Sheikh
Mohammed bin Rashid, Vice President of the UAE and Ruler of Dubai, Sheikh Sultan
bin Zayed, Representative of the President, Sheikh Mohammed bin Zayed, Crown Prince
of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, and several
sheikhs and senior officials.
• Kazakhstan not a nuclear threat, official says
A US intelligence report on concerns about Kazakhstan's nuclear deals is misleading, said
the Kazakh government Monday. A Kazakhstan government official says that, contrary
to recent reports, his country is not looking to do nuclear deals with countries that have a
mixed record on proliferation. Roman Vassilenko, chairman of the Committee for
International Information at Kazakhstan's Ministry of Foreign Affairs, says that his
country does see itself as a potential nuclear power – but a "peaceful and responsible" one
that has no interest in nuclear weapons or nuclear commerce with potential proliferators.
On October 15, The Christian Science Monitor published an article on a US intelligence
report that expressed concerns about the geopolitical implications of some of
Kazakhstan's nuclear deals. Both the article and the report "seem utterly misleading",
says Mr. Vassilenko. Kazakhstan, formerly part of the Soviet Union, returned 1,000
nuclear weapons soil to Russia following the dissolution of the USSR. It shut down a
former weapons test site where the Soviets detonated 650 nuclear bombs, points out Mr.
Vassilenko in an e-mailed response.
"Kazakhstan has clearly seen enough of nuclear horrors to be firmly committed to
peaceful nuclear energy," he says. Under a US government covert operation named
"Project Sapphire," Kazakhstan handed over half a ton of weapons-grade uranium to the
US, for down-blending it into a form useful for civilian purposes. Kazakhstan
"politically stable" and "dynamically developing", says Vassilenko. It is indeed planning
to build more nuclear power plants, but all will be fully under International Atomic
Energy Agency (IAEA) safeguards, he adds. President Nursultan Nazarbayev has offered
to host an international nuclear fuel bank under IAEA auspices – an offer the US has
officially welcomed. "If all that is not a vote of confidence, then I don't know what is,"
says Vassilenko.
• President of Romania to pay official visit to Kazakhstan
Astana. October 19. Kazakhstan Today - The President of Romania, Trajan Basesku,
will pay an official visit to Kazakhstan next week. The official representative of the
Ministry of Foreign Affairs of Kazakhstan, Yerzhan Ashikbayev, informed at a weekly
briefing in the Ministry for Foreign Affairs of Kazakhstan, the agency reports. "The
President of Romania, Trajan Basesku, will pay an official visit to Kazakhstan on
October 26 - 27, 2009," Y. Ashikbayev informed.
"During the visit, the Romanian leader will hold meetings with the leadership of
Kazakhstan to discuss a wide range of questions of bilateral cooperation within the
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international organizations and associations." "Following the results of the negotiations,
the officials are expected to sign some bilateral documents."
Economic/Energy Front
• Kazakhstan willing to pump Oil into Pipeline via Turkey
Kazakhstan's president confirmed Thursday that his country is willing to pump crude into
a planned $1.5-billion pipeline, to bring Caspian oil to the Mediterranean via Turkey.
Addressing Turkey's parliament, Nursultan Nazarbayev said: "We along with Russia are
ready to join the Samsun-Ceyhan oil pipeline project." His statement came after a video
conference between St. Petersburg and Ankara earlier on Thursday, when Russian Prime
Minister Vladimir Putin told his Turkish counterpart, Tayyip Erdogan, of Kazakhstan's
possible role." Our Kazakh colleagues have expressed readiness for joint work to fill this
oil pipeline system," Putin said at the conference, also involving Italian Prime Minister
Silvio Berlusconi, who met with his Russian counterpart in St. Petersburg for talks
focusing on cooperation in car manufacture and agriculture. Three Russian oil companies
- state-run Rosneft, oil pipeline monopoly Transneft and shipping firm Sovcomflot signed a deal in Milan on Monday with Turkey's Calik Enerji and Italy's Eni S.p.A. on
the pipeline with projected capacity of 60-70 million metric tons a year (1.2-1.4 million
bbl/d) Russian Deputy Prime Minister and Rosneft chairman Igor Sechin said other
producers, including LUKoil, have also shown an interest in supplying oil via the
pipeline. The pipeline is designed to reduce the oil transportation load on the Bosporus
Strait liking the Black and Mediterranean and the Dardanelles on the Marmara Sea,
which handles some 150 million tons (1.1 billion bbl) annually.
The Kazakh leader said his country is willing to contribute to Turkey's drive to strengthen
its role as a transit hub for oil and gas. Turkey, which sits at the energy crossroads of
Russia, Europe, Central Asia and the Middle East, signed two more energy deals with
Russia and the EU earlier this year, fueling concerns in Moscow and Brussels of growing
dependence on Ankara. In August, Turkey allowed Russia's Gazprom to use its sector of
the Black Sea for the South Stream gas pipeline to Europe, bypassing Ukraine. In July,
the country signed a deal on the EU-backed rival pipeline Nabucco. Speaking to Putin
and Berlusconi on Thursday, Erdogan thanked them for contribution to energy security in
Turkey and Europe, according to Ria Novosti.
• Japan wants to expedite Agreement with Kazakhstan on Peaceful use of Atomic
Energy
Japan ‘s Vice Minister of Economy, Trade and Industry Hiroyuki Ishige has announced
Japan wants to speed up the signing of an agreement on the peaceful use of atomic energy
with Kazakhstan. "Kazakhstan and Japan have negotiated on the agreement for
cooperation in atomic energy. We started talks in July 2007, and we want to agree on it in
the near future," said Ishige during the first session of the Joint Commission of the
Private and State Sectors of Kazakhstan and Japan. The Japanese Ambassador added that
the Convention on the Prevention of Double Taxation and the Agreement on the Mutual
Protection of Investments are being discussed and are awaiting ratification on part of
Kazakhstan, according to
• Chinese investments in Kazakh energy worry Europeans
China Investment Corporation’s acquisition of a stake in KazMunaiGas Exploration
Production and the opening of a pipeline linking oil-rich western Kazakhstan to the
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Chinese border meant it was inevitable that China’s grasp of Kazakh natural resources
would be the hot topic at this year’s Kazakhstan International Oil and Gas Exhibition
Kioge week, as it is known in Almaty, also saw major deals being concluded with French
and Azeri companies that will help open up western export routes. But the spotlight was
on Kazakhstan’s relations with China. The previous week, on September 30, China’s
sovereign wealth fund, the CIC, bought an 11% stake in London-listed KazMunaiGas EP
through the purchase of around $939m of its global depositary receipts. In another
important development, commercial operation of the Kenkiyak-Kumkol pipeline, part of
the Kazakhstan-China Pipeline, started commercial operations ahead of schedule. The
pipeline, with initial capacity of 10m tonnes of oil a year, connects the eastern and
western part of Kazakhstan’s oil transport network, allowing oil to flow from the Caspian
Sea to China.
With oil prices hovering around $70 per barrel, speakers at the conference were already
looking ahead to when demand will resume its strong upward trend as the world emerges
from the crisis. In Kazakhstan, where the economy is heavily dependent on energy prices,
a mood of cautious optimism has returned. The country is expected to become one of the
top three non-Opec oil producers by 2030. Some 110 years since the birth of the oil
industry in Kazakhstan, mega-projects such as Tengiz and Kashagan are set to boost
production. State oil and gas company KazMunaiGas this year adopted an ambitious
expansion programme spanning exploration, production, pipeline construction and related
activities, as outlined by the company’s president, Kairgeldy Kabyldin. However,
questions of how and where the oil will be exported have yet to be answered. In 2009,
around 80% of total oil exports are expected to go through Russia. By 2030, the volume
of oil being transported to Russia is expected to rise, but its share of total exports is
expected to drop below 60%, according to research from Wood Mackenzie presented at
the conference. Europe, and in particular China, are expected to increase their imports of
Kazakh oil and gas. While none of the major Chinese oil companies had speakers at the
conference, the Europeans were vocal in their pleas for access to Kazakh energy
resources. Vaclav Bartushka, the Czech Republic’s ambassador for energy security,
forcefully put the case for Central Asia to cooperate with the EU on the Southern
Corridor and other energy export projects. “We have plenty to offer you and you have
nothing to fear from us,” he told delegates. Asking rhetorically what the EU can offer to
Central Asia when diversification has already been offered by China, Bartushka
continued: “Europe has something precious to offer, that goes beyond being rich and
paying our bills on time: we don’t threaten anyone, we don’t scare anyone.” Bartushka
stressed that the EU is “firmly behind the Southern Corridor project,” which was echoed
by Angus Miller, Caspian energy adviser at the UK’s Foreign and Commonwealth
Office. Miller also advocated the idea, currently being mulled in Brussels, of creating the
Caspian Development Corporation - a single company that would be mandated to buy gas
on behalf of the EU member states. “This would put Europe as a buyer on the footing as
CNPC or Gazprom. It’s a response to the China dilemma,” Miller said.
Europe has scored some successes in Kazakhstan recently. A €1bn deal signed during
French President Nicolas Sarkozy’s visit to Astana on October 2 gives Total and GDF
Suez a 50% stake in the Khvalynskoye project. KazMunaiGas has also signed a set of
deals with Azerbaijan’s state oil company Socar that will facilitate transport of oil across
the Caspian and indicates the two companies long-term aim of linking Kazakhstan’s oil
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to Azerbaijan’s oil transport systems. But China got there first. As Bartushka admitted,
China started building pipelines while the Europeans were still debating routes. Julia
Nanay, senior director at advisory firm PFC Energy, pointed out that China started
building relationships with Central Asia’s oil-rich republics in the late 1990s. Since then,
Chinese companies have taken a monopoly board approach to Kazakhstan, buying up
assets when they become available. CNPC first took control of the 100,000 barrel per day
Uzen oilfield back in 1997, and later completed the $4.5bn acquisition of
PetroKazakhstan. In addition to these and other mega-deals by CNPC, CITIC, Sinopec
and a number of smaller Chinese companies have also invested into Kazakhstan.
“Chinese companies are not adverse to heavy oil fields, or put off by a lack of
infrastructure. They are just building whatever is needed,” Nanay said. The most recent
deal, CIC’s investment into KazMunaiGas EP, Nanay says, is a way of building its
relationship with the Kazakh company and ensuring sufficient supplies to fill the new
pipeline. “We think enough oil will be supplied by Gazprom and TNK-BP to fill the
pipeline this year, but from 2010 it may be filled with Kazakh oil. Once they complete
the MangistauMunaiGas acquisition, China will have access to more than 300,000 barrels
per day.” Kazakhstan is just starting to emerge as an important player on world energy
markets. For all the talk from Europe about the importance of its relation with the
Caspian Sea region countries, most of the action has been from China. With Russia set to
remain the primary exporter of Kazakh oil and gas, and China shooting into second place,
as European representatives made abundantly clear, they will have to fight hard for a
slice of Kazakhstan’s resources.
• Kazakhstan’s economy to decline 1.3 percent in 2009 - EBRD
The European Bank for Reconstruction and Development (EBRD) has revised its
economic growth forecast for Kazakhstan in 2009-2010, the bank said in a statement. “In
2009, Kazakhstan’s economy is expected to decline by 1.3 percent, while in 2008 it
recorded a 3.2-percent increase. The economy will show positive growth of 1.6 percent in
2010,” the statement said.
Earlier, EBRD predicted a decline of 2 percent.“Although this is already the third year of
the banking crisis for Kazakhstan, there is light at the end of the tunnel. Some major
banks have successfully restructured their debt, and we expect that growth will once
again be positive next year or even later this year,” EBRD’s senior economist Ralph de
Haas was quoted in the statement. Nonetheless, Kazakhstan’s financial system will need
to undergo rapid development in order to reduce its dependence on foreign financing and
expand its financial sector through the development of fixed income and derivative
markets and private equity, according to de Haas.
• Nazarbayev says he is eager to supply oil for BTC pipeline
Kazakh President Nursultan Nazarbayev gathered with a small group of Turkish
journalists last week in Astana ahead of his upcoming official visit to Turkey. While
hailing the current course of affairs in bilateral relations between Kazakhstan and Turkey,
Kazakh President Nursultan Nazarbayev has expressed his country's willingness to
supply oil to a pipeline transporting Caspian crude oil to Western markets through
Turkey's Mediterranean port of Ceyhan. Nazarbayev's remarks came in Astana where he
gathered with a small group of Turkish journalists last week ahead of his upcoming
official visit to Turkey later this week at the invitation of his Turkish counterpart,
Abdullah Gül.“Even before one hour passed after we declared our independence, your
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then-president, late Turgut Özal, had directly called and congratulated me,” Nazarbayev
told Turkish reporters, without being able to hide his strong emotions, speaking with a
shaky voice when talking of Özal. Turkey recognized Kazakhstan on Dec. 16, 1991, on
the same day Kazakhstan declared its independence. Diplomatic relations between the
two countries were established in March 1992. The two sides have constantly expanded
the areas for cooperation and achieved satisfactory results since the independence of
Kazakhstan. Common historical and cultural ties significantly contributed to rapid
development of bilateral relations and cooperation between the two countries.“Overall,
Turkey and Kazakhstan are engaged in strategic cooperation both in international and
regional arenas. In other words, the two countries have been supporting the policies of
each other. I believe that this relationship will further increase to a higher level upon my
visit,” Nazarbayev said, citing Turkish construction companies' investments in
Kazakhstan, 28 Kazakh-Turkish high schools in his country and the Conference on
Interaction and Confidence-Building Measures in Asia (or CICA), to which Kazakhstan
and Turkey are members, as some of the concrete examples of bilateral cooperation
between Astana and Ankara. “In the near future, we want to lend support to the BakuTbilisi-Ceyhan [BTC] pipeline,” Nazarbayev added, referring to the pipeline that
currently brings crude oil from Azerbaijan's Caspian fields to Turkey's Ceyhan port via
Georgia. Upon these remarks, Nazarbayev was reminded of French President Nicolas
Sarkozy's visit to Astana, which took place in the first week of October. During the visit,
Kazakhstan awarded a consortium of French companies a deal to take part in building a
crucial $2 billion oil pipeline linking the vast Kashagan field to the Caspian. Energy
supplies through the route will be transported across the inland sea by tankers to
Azerbaijan and pumped by the pipeline westward to Europe, circumventing Russia.
Kashagan has been hit by delays and soaring development costs and is not expected to
begin production until 2012.
“This is an extremely important project that will become the main artery to transport
Kazakh oil to Europe,” Nazarbayev told reporters at the time. When asked by Turkish
journalists whether the deal between Kazakhstan and France was retribution at the
probable supply of Kazakh oil to the BTC pipeline, Nazarbayev said: “As you know,
when the BTC was not yet prepared, Kazakh oil was being transferred to the Black Sea
via the north Caucasus, being sent to the global market from there. But now the BTC
pipeline is completed and agreements are signed between Azerbaijan and Turkey. We
have made a decision to transport 10 million tons of oil to the BTC from our port-city of
Aktau.” In order to transport the vast amount of oil in Kashagan field, Kazakhstan will
need alternative routes, Nazarbayev added, noting that the deal with the consortium of
French companies stemmed from such a need. “Five years later, the BTC pipeline itself
will expose its own strategic agenda. However, there is a point that should be taken into
consideration here, which is the fact that the Baku oil will be diminished five years later.
And in this situation, there will be more need for Kazakh oil in the BTC pipeline,” he
said. Critics say the BTC pipeline, launched in 2005, would lose its economic
profitability if it is not supplied with oil from Kazakhstan. “We will start drilling oil in
Kashagan in 2013, and the total amount of annual reserve of this oil will reach 120 tons.
That's why we need new corridors and new routes. One of these routes is the SamsunCeyhan route via the Black Sea and the oil refinery to be built in Ceyhan; we want to take
part in the construction of this refinery,” Nazarbayev said. In response to a question, the
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Kazakh president said a resolution of the Nagorno-Karabakh conflict would shorten the
distance through which Kazakh oil would be transported to the BTC pipeline.
Nazarbayev is scheduled to arrive in Turkey on Wednesday for a four-day official visit.
While in Ankara, in addition to holding talks with Gül, Nazarbayev will also address
Parliament. The Kazakh president, who will be accompanied by 200 businesspersons,
will discuss bilateral relations and cooperation in tourism, education, trade and industry
with Turkish officials. He will also attend the Turkish-Kazakh Business Forum, which
will be held in İstanbul. Kazakhstan is an important economic partner of Turkey, and
cooperation between the Turkish and Kazakh authorities has played a major role in the
development of Kazakhstan. Earlier this month, a memorial for the founder of the
Turkish Republic, Mustafa Kemal Atatürk, was inaugurated in Astana at a ceremony with
the participation of Nazarbayev. “The inauguration ceremony of the Atatürk Memorial in
Astana is considered to be a sign of the satisfactory level of cooperation and the friendly
and brotherly relations between Turkey and Kazakhstan emanating from our common
history, and all the efforts of the Kazakh side in this respect are greatly appreciated by the
Turkish side at all levels,” the Foreign Ministry said at the time in a written statement.
• Russia, Kazakhstan, Belarus to start customs union on Jan. 1
MOSCOW, October 16 (RIA Novosti) - Russia, Kazakhstan and Belarus will launch their
Customs Union on January 1, 2010, Russian Foreign Minister Sergei Lavrov said on
Friday. The three post-Soviet countries agreed in early June to form a customs bloc. Its
Customs Code will be presented for approval to the heads of the three states in
November. Unified customs regulations are due to come into effect at the start of 2010.
"The customs union is ready to begin its work, and is due to be launched on January 1,"
the minister said during an interview with RIA Novosti, the Russia Today TV channel
and The Voice of Russia radio station. "The Customs Union is here to stay and we will
soon benefit from it," Lavrov said. The three countries earlier announced that they would
seek to join the World Trade Organization simultaneously, with a joint bid through their
Customs Union. Russia's chief WTO negotiator, Maxim Medvedkov, said the date of the
next round of talks on joining the global trade body would be made by chairmen of the
three countries' working groups following consultations with the WTO members. "We
expect the decision to be made by the end of this year. The necessary materials will be
submitted to the WTO in the next two or three weeks," he said.
Kyrgyzstan has said it would also like to join the union.
• Kazakhstan ready for BTC
Kazakhstan positioned itself as a potential supplier to the Baku-Tbilisi-Ceyhan oil
pipeline ahead of a meeting in Ankara with Turkish officials. Kazakh President Nursultan
Nazarbayev hailed the bilateral ties between his country and Turkey, saying he would
like to expand cooperation in the energy sector, Turkish daily Today's Zaman reports. "In
the near future, we want to lend support to the Baku-Tbilisi-Ceyhan pipeline," he said. A
conflict between Russia and Georgia over the breakaway republics of South Ossetia and
Abkhazia in August 2008 complicated transits through BTC. The current capacity is 1
million bpd. Observers point to Kazakh oil as a vital resource for the viability of BTC.
Nazarbayev said his country would start production at its massive Kashagan field in
2013. "That's why we need new corridors and new routes," he said. He pointed to a recent
deal with French companies to build a $2 billion oil pipeline to link his country to the
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Caspian Sea. Development is expected on that project in 2012, though Nazarbayev said
it was an "extremely important" project to transport Kazakh oil to European markets.
Nazarbayev is expected in Ankara later this week.
• Kazakhstan and Russia to seal agreement on parallel operation of the energy
systems by yearend
Astana. October 19. Interfax-Kazakhstan – By the end of this year Kazakhstan and
Russia will have signed an agreement on parallel operation of their energy systems,
Kazakh Minister of Energy and Mineral Resources Sauat Mynbayev told last Friday press
conference in Astana after the 13th meeting of the Kazakh-Russia governmental
commission. The agreement will also deal with such issues as power redundancy of the
two countries’ grids, payments and electricity transmission, he remarked. As reported, in
September this year Russian President Dmitry Medvedev told the regional cooperation
forum in Orenburg that Russia and Kazakhstan should speed up preparation of
agreements to ensure parallel operation of their power grid. "The tragic accident that
occurred at the Sayano-Shushenskaya hydropower plant made it particularly urgent to
ensure parallel operation of the power grids, and I believe it would be right for us to
prepare documents approving these positions on a compromise basis as quickly as
possible. I think all matters could be solved within a one-month period," said Medvedev
at the forum. Kazakh President Nursultan Nazarbayev said in Orenburg that Kazakhstan
could provide electricity supplies to regions in Siberia affected by the August 17 accident
at the Sayano-Shushenskaya Hydroelectric Power Plant. "It is possible to provide aid in
power supplies in connection with the accident at the Sayano-Shushenskaya HPP, not
only coal but electricity. As I've been told, about 500 megawatts of electricity,"
Nazarbayev said. The accident at the Sayano-Shushenskaya HPP on August 17 led to the
complete or partial destruction of nine hydropower units out of ten and more than 70
human casualties. Currently, Russia's biggest hydropower plant is shut down. Restoring it
could take three or five years and could cost 40 billion rubles.
Social Front
• Kazakh court rejects jailed activist's appeal
ALMATY (Reuters) - A Kazakh court on Tuesday rejected an appeal by a human rights
activist who was jailed last month over a road accident in a trial criticised by rights
campaigners as politically motivated."Leave the sentence... unchanged," judge Yerkhan
Totybai-tegi said in court. Activist Yevgeny Zhovtis was sentenced to four years in
prison last month after his car hit a pedestrian who then died. Rights groups said he was
denied the right to present a proper defence at the trial. Kazakhstan's human rights record
has come under close scrutiny this year because the ex-Soviet nation will take over the
rotating chairmanship of the Organisation for Security and Cooperation in Europe
(OSCE) in 2010.
Kyrgyzstan
Political Front
• Bakiyev reshapes Kyrgyzstan's Government to suit His Interests
The resignation of the Kyrgyz Prime Minister Igor Chudinov on October 19 and,
consequently the entire government should not be confused with any attempt to reform
the country’s political system. President Kurmanbek Bakiyev has indeed promised to
change the way Kyrgyzstan’s government functions in order to eliminate corruption and
promote more efficient decision-making. Nonetheless, recent changes indicate his wish to
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maximize his power over the government. The collective resignation was masterminded
beforehand, with members of parliament ordered to support the new Prime Minister
Daniyar Usenov, who had previously served as the chief of the presidential staff. Bakiyev
wants to reduce the number of ministries and government committees. He explains this as
a necessity aimed at increasing governmental efficiency and purging incompetent
officials (www.24.kg, October 21). But judging from Usenov’s appointment, this will
represent a mere cadre reshuffle. The maneuver will further centralize the president’s
control, who has shown that he is the only one able to sack and appoint government
officials. Usenov promised to consider opposition leaders to fill government positions
(www.akipress.kg, October 21). Although the new prime minister is trying to show his
willingness to collaborate with the opposition, this will only mean that both the
opposition and the regime have found a basis for cooperation despite their political
differences. The reshuffle allows both the president and his allies to benefit politically
and financially from redistributing government posts, while the opposition leaders
continue functioning as political and business actors. In short, whoever is allowed to
enter the government from the opposition camp will likely have business interests
coinciding with his or her political ambition. The situation may allow the most ardent
opponents of Bakiyev and even contenders in the presidential election on July 23 to
obtain important government posts.
Indeed, for Kyrgyz opposition leaders it is important to be part of the larger political
process, especially since most are pressured by the government. Since Bakiyev came to
power an unexpected number of politicians and journalists have either been killed or
threatened with being violently removed. To survive in such conditions one must be
either willing to compromise on personal political views and join the regime or escape
Kyrgyzstan altogether. Indeed, the number of Kyrgyz political dissidents has grown in
recent years.Interestingly, however, the views of local politicians are remarkably fluid.
Some former political dissidents are willing to return home and try their luck once again
with the new government. Yesterday’s anti-government activists abroad are now eager to
become the key promoters of Bakiyev’s regime. “To me this all is just very confusing,”
one Kyrgyz dissident told Jamestown regarding his former friends who now want to
return to Kyrgyz politics. For all the supporters of the Bakiyev regime residing in
Kyrgyzstan or abroad, it became convenient to argue that he is actually pursuing genuine
political reform and not exercising political authoritarianism.“Maybe we underestimated
the influence of the Russian and Kazakhstani political systems on Kyrgyzstan. As long as
the government controls the media and is able to support political rent-seekers –
authoritarianism encounters little objection,” one Kyrgyz scholar explained to
Jamestown. In the political environment that Bakiyev has created in Kyrgyzstan, it is
very easy for the president to dissolve the parliament and government whenever he
chooses (www.parus.kg, October 21). Bakiyev’s more direct control of the security and
military structures promoted by his “reforms” will further allow the president to stamp
out any political dissent. Meanwhile, like its display of immediate support towards
Usenov, the parliament will back any directive from the president. Former Prime Minister
Chudinov is likely to earn another high-level post within the government or private
sector. Usenov is among the most well known and successful entrepreneurs and
politicians in Kyrgyzstan. He occupied various posts since the early 1990’s. His political
impunity allegedly helped him to promote his business interests. During the early 2000’s
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he was pressured by the former president Askar Akayev’s regime, but his political and
entrepreneurial activity has gathered momentum under Bakiyev since 2005. He has also
occupied the posts of deputy prime minister and Mayor of Bishkek (www.centrasia.ru,
October 21). According to Kyrgyz observers, Usenov might have been the mastermind
behind Bakiyev’s bargaining with the United States on the status of the US Manas airbase
earlier this year. Thanks to its geopolitical maneuvering from February to July this year,
the Kyrgyz government was able to increase US rent for the base and obtain 25 percent of
Russia’s $2 billion credit, according to The Jamestown Foundation
• Kyrgyzstan launches large-scale government reform
Kyrgyzstan launches a large-scale reform of all governmental bodies. As the news
agency 24.kg earlier reported, the republican meeting of leaders of all ranges under
chairmanship of the Kyrgyz president will take place in the White House on Tuesday.
Kurmanbek Bakiev will voice the program of the state administration system reform.
Presidential chiefs-of-staff, secretariat, parliamentary deputies, chairmen of the
Constitutional and the Supreme Courts, members of the Kyrgyz government , chiefs of
the central and local government agencies, administrative departments, state enterprises
and other institutions have been invited to the meeting, the presidential press service
reported. The meeting will be broadcasted live on the National TV and Radio stations.
• Social Democrats support new PM’s structure of government
Social Democratic fraction of Kyrgyzstan supported structure of the government,
suggested by the new prime minister of the republic on Wednesday. The fraction
congratulated Daniyar Usenov on his appointment to the post, voiced approval of his
candidacy and wished success. Usenov, in his turn, informed the deputies that the new
government has ambitious plans on cardinal enlargement of the budget. He outlined that
the new ministers’ cabinet would be formed later Thursday.
“Majority of the former government’s staff will form the new cabinet. We will take the
best,” the prime minister said.
• New cabinet to respect opposition views, new PM says
The newly-appointed Prime Minister of Kyrgyzstan, Daniyar Usenov, said the new
cabinet would respect the opposition’s views. “We will definitely support any ideas of the
opposition if they are favorable for the country and its economy,” Usenov said visiting
the session of Social-Democratic fraction of Parliament, and stressed that he had never
actually divided the Parliament into Ak Zhol or SDPK representatives.
Usenov has also promised to take any criticism positively.
Geo Strategic Front
• Kyrgyzstan partially seals border with Tajikistan
Separate parts of Kyrgyz-Tajik border have been sealed, public relations department of
the Kyrgyz Border Service reported. Batken border unit tightened security on the state
border following penetration of armed criminals from the territory of Tajikistan. The
Kyrgyz Border Service jointly with the Interior and Defense Ministries, the National
Security Committee are carrying out sweep operation at the time. The criminals
supposedly went into hiding in Tajik enclave of Vorukh. Meanwhile, a fight broke out in
the city of Isfana (Tajikistan) last night. Security officers have revealed six armed
members of an organized criminal group approximately at 7:00 PM, who maintained
active resistance. At least four criminals were killed in course of hours-long shout-out.
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According to preliminary information of the Kyrgyz Border Service, four suspect
associates of the criminal group have been detained on the territory on enclave
• Two alleged Hizb ut-Tahrir activists held in Kyrgyzstan
Two alleged activists of the banned extremist party of Hizb ut-Tahrir were held in the
Chui oblast of Kyrgyzstan, press service of the Kyrgyz Interior ministry reported. The
extremists have been noticed near the Don-Aryk village, outside the town of Tokmok
with 14 thematic DVDs, books, brochures and handwritings in different languages. The
investigation is on going.
Economic/Energy Front
• Swiss government invests in trade promotion in Kyrgyzstan
The government of Switzerland allocates funds for promotion of trade in Kyrgyzstan, the
Swiss Agency for Development and Cooperation reported. The Industry, Energy and Fuel
Resources Ministry and the International Trade Center officially announced beginning of
the third stage of the trade promotion project in Kyrgyzstan. Its main aim is support and
development of export sectors of the Kyrgyz economy, in particular textile and sewing
industry. The Swiss government finances the third stage of the projects which is meant
for 3.5 years with the total budget of $1.8 million. The project will be implemented by
the International Trade Center (ITC) in cooperation with the Kyrgyz Industry, Energy
and Fuel Resources Ministry.
Social Front
Tajikistan
Political Front
• Majlisi Namoyandagon board considers amendments constitutional law on the
government of Tajikistan
The board (Shuro) of Tajikistan’s lower chamber (Majlisi Namoyandagon) of parliament
considered a bill requiring amendments to the Constitutional Law “On the Government of
the Republic of Tajikistan” at an October 19 meeting presided over by its speaker
Saydullo Khairulloyev. Muhammadato Sultonov, a spokesman for the Majlisi
Namoyandagon, said that the board also considered amendments to the laws on scientific
and scientific-technical examination, Tajikistan’s Red Crescent Society (RCS),
environmental protection, and some other laws.
Some of these issues will be considered at the next sitting of the sixth session of the
Majlisi Namoyandagon of the third convocation, Sultonov said.
• President signs number of laws adopted by parliament this year
DUSHANBE, October 19, 2009, Asia-Plus -- On Saturday October 17, President
Emomali Rahmon signed a number of laws adopted by the parliament over the past
several months, according to presidential press service. The president, in particular,
signed the laws on preservation of soil, and amendments to the laws on the national
budget for 2009, protection of the atmosphere, energy and state symbols of the country.
The main purpose of the amendments proposed to the law on energy is in supporting
local and foreign investments in development and use of electric power resources, the
press service said.
Geo Strategic Front
• Zarifi receives Russian deputy foreign minister
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DUSHANBE, October 16, 2009, Asia-Plus -- Preparation of the upcoming visit of
President Emomali Rahmon to Russia was a major topic of a meeting of Tajik Foreign
Minister Hamrokhon Zarifi with visiting Russian Deputy Foreign Minister Grigory
Karasin that was held here on October 15, according to the MFA information department.
In the course of the talks, the two also discussed a broad range of issues related to state
and prospects of further expansion of bilateral cooperation between Tajikistan and the
Russian Federation as well as the situation in the region.
We will recall that Grigory Karasin is attending the third two-day regional conference of
Russian fellow-countrymen living in Central Asia’s that is concluding in Dushanbe
today.
• Tajik speaker, Kazakh envoy discuss cooperation issues
DUSHANBE, October 19, 2009, Asia-Plus -- Saydullo Khairulloyev, Chairman of the
Majlisi Namoyandagon (Tajikistan’s lower chamber of parliament), today received
Kazakhs Ambassador to Tajikistan Abutalibp Akhmetov. According to Muhammadato
Sultonov, a spokesman for the Majlisi Namoyandagon, the two discussed prospects of
further expansion of parliamentary cooperation between Tajikistan and Kazakhstan,
noting that expansion of cooperation between the parliaments would promote
strengthening of friendly relations between the two countries. Ambassador Akhmetov, in
particular, noted that he will do all in his power to promote expansion of bilateral
mutually beneficial cooperation between the two fraternal states in all directions, the
spokesman said.
• Tajik FM, France’s envoy for Afghanistan and Pakistan discuss the present
situation in Afghanistan
DUSHANBE, October 20, 2009, Asia-Plus - On Monday October 19, Foreign Minister
Hamrokhon Zarifi met here with Mr. Thierry Mariani, Special Envoy of France for
Afghanistan, Pakistan and Central Asia. According to the MFA information department,
the two discussed a broad range of issues related to bilateral cooperation between
Tajikistan and France, providing regional security, water-and-energy problems, and the
present situation in Afghanistan. They also discussed a number of international issues
being of mutual interest. The sides underlined the necessity of political stabilization and
economic rehabilitation of Afghanistan, especially through implementation of regional
projects aimed at construction of highways, railways, hydropower plants, power
transmission lines, etc. In this connection, Mr. Mariani noted that Tajikistan played a key
role in providing support for reconstructing Afghanistan’s economy and providing
stability in Afghanistan.
• President Rahmon departs for Moscow for three-day visit tomorrow
DUSHANBE, October 2009, 2009, Asia-Plus - President Emomali Rahmon is departing
for Moscow for a three-day visit tomorrow, according to presidential press service. Tajik
leader will visit Moscow and St. Petersburg and hold talks with high-ranking Russian
state officials to discuss cooperation issues. A number of cooperation documents are
expected to be signed during Rahmon’s visit to Moscow. According to local experts, the
Russian military base in Tajikistan and the level of participation of Russia in completion
of construction of the Roghun hydroelectric power station (HPS) will be among major
topics of Rahmon’s discussions with Russian officials.
• Tajik speaker, U.S. ambassador discuss cooperation issues
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DUSHANBE, October 23, 2009, Asia-Plus - Saydullo Khairulloyev, Chairman of the
Majlisi Namoyandagon (Tajikistan’s lower chamber of parliament) today met with the
U.S. Ambassador to Tajikistan, Kenneth E. Gross. Muhammadato Sultonov, a spokesman
for the Majlisi Namoyandagon, said that in the course of the talks, Tajik speaker had
expressed satisfaction with the present level of cooperation between the parliaments of
the two countries, noting that Tajik MPs had visited the United States Senate twice and
got acquainted with work of their U.S. collages. For his part, Mr. Gross noted that his
country highly appraised Tajikistan’s role in combating modern challenges and threats
such as terrorism, extremism and drug trafficking and would do all in its power to help
Tajikistan tackle those problems. The sides also discussed the current situation in
Afghanistan and ways to solve the Afghan problems, the spokesman said.
• Medvedev, Rahmon adopt joint statement
DUSHANBE, October 23, 2009, Asia-Plus – - On Thursday October 22, the Resident of
Russia Dmitry Medvedev and the President of Tajikistan Emomali Rahmon signed a joint
statement in Moscow, Itar-Tass reports. The two leaders have charged co-chairmen of the
Tajik-Russian intergovernmental commission for economic cooperation – Russia’s
Energy Minister Sergey Shamtko and Tajikistan’s Vice-Premier Asadullo Ghulomov – to
develop a draft program of economic cooperation between Russia and Tajikistan for
2010-2012. Medvedev and Rahmon noted that the present stage of development of
relations between the two countries offered prospects for further expansion of
cooperation between the two countries in all fields. They charged their relevant ministries
to speed up a joint work on exploration and development of oil-and-gas fields in
Tajikistan. The sides intend to implement projects in the fuel-energy sector in the future
as well.
The two leaders spoke for speedy singing of a government-to-government agreement
between Russia and Tajikistan on interaction in exporting military goods to the third
countries. They also declared for expansion of military and military-technical
cooperation for providing national and regional security. Medvedev and Rahmon also
spoke for taking measures to expand bilateral cooperation in regulating the labor
migration processes in terms of protection of rights of Tajik labor migrants in Russia and
protection of rights of Russian labor migrants in Tajikistan. Both presidents expressed
satisfaction with the results of the negotiations and decided to continue conducting them
“on the regular basis of bilateral meetings at the highest level.” President of Tajikistan
invited President of the Russian Federation to pay a sate visit to Tajikistan at any time of
convenience. The invitation was accepted with gratitude and the dates for the visit will
be decided through diplomatic channels.
Speaking at a news conference following the negations, President Medvedev stressed that
both sides had agreed to expand cooperation in the oil-and-gas sector. He added that
relations between the two countries in other sectors were also good. “Even under the
conditions of the crisis, we are continuing to cooperate in such important directions as
hydropower engineering,” he said, noting that substantial results were reached. Now,
preparations are made for construction of small hydropower plants on the inner rivers of
Tajikistan. According to him, in the course of the talks they also discussed priorities of
work for the next year and other integration events.“We have agreed to develop
interaction within the framework of the Shanghai Cooperation Organization (SCO) and
consider it as an effective mechanism of providing stability and security in Central Asia,”
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Medvedev said. He added that they had also discussed the current situation in
Afghanistan and ways to normalize the situation in that country.
• No problems with Russian military base in Tajikistan, says Russian defense
minister
DUSHANBE, October 23, 2009, Asia-Plus – There are no problems with Russian
military base deployed in Tajikistan and the sides are currently discussing the issue of
payment for the use of a military in Tajikistan only starting from 2014, Russian Minister
Anatoly Serdyukov told reporters in Moscow on October 22. “In our opinion, there are no
any difficulties with the deployment and presence of base to this day,” Serdyukov told
reporter following the negotiations between the delegations of Russia and
Tajikistan.According to Russian media, the Russian minister noted that the issue of
paying for the use of the military base on the territory of Tajikistan before the expiration
of the current agreement was not discussed during the negotiations. “We considered two
issues – whether the base will function in a regime, in which it functions now or it will
function on the basis of payment. It is still premature to say about any specific figures.
We do not yet know how to calculate them,” he said.
Economic/Energy Front
• Iranian vice-governor holds talks in Dushanbe to establish cooperation with Tajik
enterprises
DUSHANBE, October 17, 2009, Asia-Plus -- On Friday October 16, the first deputy head
of Tajikistan’s Chamber of Commerce and Industry, Odil Sangov, met with visiting
Iranian delegation, led Hamid Ali Mobaraki, vice-governor of Iran’s Sistan-Beluchistan
province, and Mohammad Nishati, the head of the Chamber of Commerce and Industry
of this province, according to the CCI press service. The purpose of the visit is for the
Iranian delegation to establish cooperation with Tajik enterprises, seek business partners
for investment in joint projects and launch of joint ventures. The sides, in particular,
discussed opportunities of expansion of cooperation, especially in sectors like
hydropower engineering, road building and food industry. They also discussed
cooperation in processing farm produce and semi-precious stones. Sangov noted that
construction of new highways in Tajikistan gave Iranian entrepreneurs an opportunity to
export their products to China, Kyrgyzstan and Afghanistan via Tajikistan. He added that
the bridge across the Panj River joining Tajikistan and Afghanistan built in Nizhny Panj
could be used for exporting goods to Iran. The same day, members of the Iranian
delegation met with a number of Tajik entrepreneurs. Tajik side at the meeting was
represented by top managers of the following enterprises: Sultoni Kabir; Gahlla;
Rukhom; Tojikcement; Zioyratsho Corp; Dushanbetext; Khurokvori; Vakhsh HPPs
Cascade; and Kulob diary factory.
• Tajikistan tops CA states in economic use of water, says minister
DUSHANBE, October 17, 2009, Asia-Plus - Tajikistan tops Central Asia’s states in
terms of economic use of water, Minister of Land Reclamation and Water Resources Said
Yoqubzod announced at a news conference in Dushanbe on October 16. According to
him, Tajikistan’s annual quota in the Amudarya River amounts to 9.5 billion cubic
kilometers of waters, while the country actually uses up to 5.5 billion cubic kilometers of
the Amudarya waters per year and “only during the dry years, Tajikistan uses up to 6
billion cubic meters of waters from this river.” The minister noted that since Tajikistan
does not have reservoirs for unused water, it flows to neighboring Uzbekistan and from
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there to Turkmenistan and only after that it reaches the Aral Sea. “Unfortunately, the
unused 4 billion cubic kilometer of waters of our quota do not reach the Aral Sea, while
the interstate coordinating commission determined that 6 billion cubic kilometers of
water should come to the Aral Sea from each of the Central Asian states every year.” It
happens because the neighboring countries use water in excess of the determined rate, he
noted. “International organizations had recommended our neighbors long ago that they
should plant and cultivate crops that do not require much moisture, use water in
accordance with the rates determined and economize water in order to rehabilitate the
Aral Sea,” the minister stated.
• Tajikistan exports 3.763 bln kWh of electricity in Jan-Sept 09
DUSHANBE, October 19, 2009, Asia-Plus -- Electricity and cotton fiber remain main
items of Tajikistan’s exports. In January-September this year, Tajikistan has exported
3.763 billion kWh of electricity for 55.9 million U.S. dollars, according to the State
Committee for Statistics. Over the report period, Tajikistan has imported 3.653 billion
kWh of electricity for 66.2 million U.S. dollars, which is 109.4 million kWh fewer in the
overall volume of the imported electricity but 10.3 million U.S. dollars more in terms of
the amount paid. Over the same nine-month period, Tajikistan has purchased 177.1
million cubic meters of natural gas for 42.5 million from Uzbekistan, which is 23.2
percent fewer than in the same period of last year. Over the report period, Tajikistan has
exported 54.5 tons of cotton fiber 57.5 million U.S. dollars, which is 6,400 tons fewer
than in January-September 2008. The main trading partners of Tajikistan in regard to its
cotton fiber were: Russia – 40.7 percent; Iran – 26.3 percent; Belarus – 5.8 percent;
Uzbekistan – 5.7; and Latvia – 5.1 percent. An average price of one ton of cotton fiber
for January-September 2009 amounted to $1,057.
Social Front
• Tajikistan begins Central Asia's Biggest Mosque
The mosque will hold 150,000 worshippers when completed On what now looks like an
enormous car park in Tajikistan's capital, Dushanbe, work has begun on a gigantic new
mosque. One square block of stone has been laid by President Emomali Rakhmon to
signal the start of construction. When completed in five years, Central Asia's poorest state
will be home to the region's largest mosque, dwarfing the Turkmenbashi mosque in
neighbouring Turkmenistan, which can hold 10,000 people It will include tall minarets
and painted columns that are to symbolise the world and the seven gates to paradise.
There will be fountains to represent Tajikistan's large water reserves as well as a
museum, library and conference halls. But with the capacity to hold 150,000 worshippers
in a city of just over 700,000 people, critics are saying the mosque is an extravagance and
that the money would be better spent on poverty reduction. Tajik state media say that the
multi-million dollar project will not cost the cash-strapped country anything, because the
government of Qatar has agreed to foot the bill as part of what it calls its commitment to
Islam. So many people are homeless and barely making ends meet. Why don't they build
several houses for those needy people?
On the streets of Dushanbe, one resident said he liked the idea of having the biggest
mosque in the region, especially if it is free. Sobit Valiev, 70, says the country may as
well be a record breaker in some field. "Why shouldn't we", he says. "At the end of the
day, it's not our money, is it? If I am alive in five years time, sure I will go there and
pray." Ismail, a driver, thinks the mosque is a good idea, but he is worried that there will
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be corruption. "I am sure there will be a few officials who are going to get richer. It is a
big project and big money." While some Tajiks seem to welcome the plan, others are
more critical. Salohiddin, a 34-year-old from Dushanbe says helping the many poor
would be a better way to spend the money. "It's one of the biggest values of Islam, isn't
it? So many people are homeless and barely making ends meet. Why don't they build
several houses for those needy people?" Some analysts say the aim of the mosque is to
give the government more control over the way people practise their faith. The Tajik
authorities admit that they are hoping to build more than a beautiful mosque. They want it
to be seen as part of their effort to tackle extremism in a region which is struggling to
contain the rise of radical groups such as Hizb-ut Tahrir or Wahabbi sects which have
been gaining popularity in the Central Asian nation.
The government has accused radical sects and renegade Islamic opposition groups of
planting several bombs in Dushanbe in recent years. On 19 October the authorities
confirmed that four suspected members of the banned Islamic Movement of Uzbekistan
(IMU) were killed in a shootout with police in the north of the country and one person
was arrested. The IMU is a militant group with links to the Taliban. Security forces have
also been fighting militants in the east, close to the Afghan border, raising fears that the
instability in Afghanistan could be spilling over into Tajikistan. The authorities have also
closed down dozens of what they call "unauthorised" mosques and have begun
registering all places of worship. Speaking at the start of construction of the mosque,
President Rakhmon said "this must be a place that unites people in the service of God and
clean ideas. "It should not be a platform for non-traditional and alien ideas."
• Corruption costs Tajikistan at some 56 mln somoni in Jan-Sept 09
DUSHANBE, October 16, 2009, Asia-Plus -- In a report released at a press conference
in Dushanbe, Director of the Agency for State Financial Control and Combating
Corruption Fattoh Saidov revealed on October 15 that according to findings by the
anticorruption agency, corruption has cost Tajikistan at some 56 million somoni over the
first nine months of this year. Over the report period, the agency has conducted 892
inspections at state-run economic entities and other federally funded organizations.
Overall, 666 officials and managers have been implicated in wrongdoing, and
disciplinary and administrative actions have been imposed upon them; 28 of them have
been sacked. Besides, inspections of activities of 69 private companies have revealed tax
evasion cases for a total amount of more than 11.8 million somoni, Saidov added.
• Third international human rights documentary festival comes to Khujand
KHUJAND, October 17, 2009, Asia-Plus -- The Third International Human Rights
Documentary Festival started at the Faculty of Art of Khujand State University on
October 16. Organized by the Human Rights Center “Citizens against Corruption” and
Bir Duyne (Common World), both Kyrgyz organizations, under financial support of the
European Union and international organization Hivos International, the festival seeks to
promote to promote the ideals of open society, democracy, rule-of-law, tolerance,
political and cultural pluralism. The festival coordinator, Ms. Diana Mekembayeva, told
Asia-Plus on October 16 that festival will last in Khujand for three days. Twenty
documentaries on rights of children, women, sexual minorities as well as environmental
protection problems, made by representatives of Great Britain, Kazakhstan, the United
States, Mongolia, India, Russia, Germany, China, Kyrgyzstan and Tajikistan, are being
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screened in Khujand. According to Mekembayeva, the festival was launched in Bishkek
on September 22 and then continued in Naryn, Osh, Isfara and now it came to Khujand.
Turkmenistan
Political Front
Geo Strategic Front
• Turkmenistan denies entry to Peace Corps
(AP) - The reclusive Central Asian nation of Turkmenistan has denied entry to dozens of
Peace Corps volunteers, the organization’s country director said Friday. Turkmenistan
denies entry to Peace Corps Isolated Turkmenistan denies entry to Peace Corps
volunteers
The reclusive Central Asian nation of Turkmenistan has denied entry to dozens of Peace
Corps volunteers, the organization's country director said Friday. The decision to bar 47
volunteers from the U.S. government-run program from the former Soviet state comes
amid fears energy-rich Turkmenistan is reneging on commitments to open up after years
of isolation under an eccentric autocrat. "We had the paperwork in place, and they were
approved to come, but the day before they were due to leave the U.S., we received a
diplomatic note from the embassy saying that they would be invited next year, but not for
this year," Leal said by telephone from the Turkmen capital, Ashgabat. Leal said it was
unclear what provoked the decision, but that his organization is waiting to meet with
government officials for an explanation on the matter.
The Peace Corps, whose operations in Turkmenistan are devoted to teaching English and
health education, is often viewed with suspicion by governments in former Soviet states.
In 2002, Russia expelled the organization and accused some of its volunteers of spying.
The next scheduled group of Peace Corps volunteers is not slated to travel to
Turkmenistan until late next year, which Leal said could hamper the organization's
operations. "It is going to have a big effect. Many of the volunteers are completing their
service here, so in late December, we will be about half what we currently have," Leal
said. He said the group's numbers would drop to about 35 volunteers, as opposed to the
usual 70 or 80. The Peace Corps has sent around 700 volunteers to serve in Turkmenistan
since starting operations there in the early 1990s. Turkmenistan's leadership has made
tentative moves to open up the country since the December 2006 death of Saparmurat
Niyazov, the autocract who had ruled since before the 1991 Soviet collapse. His
successor, President Gurbanguli Berdymukhamedov, has repealed some of Niyazov's
most idiosyncratic policies, including banning opera and the circus for being
insufficiently Turkmen. In education, Berdymukhamedov's government has increased
basic education to 10 years from to nine years, and higher education has been extended
from two years to five. He has also increased contacts with the West, which is eager for
access to Turkenmnistan's natural gas riches.
But fears are mounting that the government is reverting to Niyazov's draconian style of
rule. Last week, the United States criticized efforts by Turkmenistan to prevent students
from traveling to U.S.-linked universities. Over the past few months, Turkmenistan has
stopped hundreds of students from leaving the country to take up courses at the American
University of Central Asia, in Kyrgyzstan, and the American University in Bulgaria. U.S.
criticism of Turkmen government policy came just weeks after a high-profile meeting in
the United States between Berdymukhamedov and U.S. Secretary of State Hillary
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Rodham Clinton. Turkmenistan has long been subject over intense rivalry between the
West and Russia for access to its vast natural gas reserves, which the government
estimates may total more than 700 trillion cubic feet (20 trillion cubic meters).
• New border crossing checkpoint opens on Turkmen-Uzbek border in Farap
district
A new Turkmen border crossing checkpoint called Farap, which is located in the territory
of Farap district on the border with Uzbekistan, was ceremonially opened in the city of
Turkmenabat. This state-of-the-art facility meets international standards and has all
necessary conditions for the efficient work of staff and quality of border-crossing
operations, including luggage and vehicles examination. This will raise the level of
services of traffic passing through the Turkmen-Uzbek border, and put a firm barrier to
trafficking in contraband, including drugs. According to Public Affairs Section of the US
Embassy in Turkmenistan, Farap border crossing checkpoint is the third checkpoint the
construction and equipment of which was funded by the United States Government. The
first border checkpoint "Altyn Asyr" was opened in 2006 on the border with Iran and the
second border checkpoint "Imamnazar" was opened in 2007 on the border with
Afghanistan. In her opening remarks, the U.S. Charg d'Affaires, a.i., Sylvia Curran
emphasized that "these checkpoints represent the continuing efforts between the United
States and Turkmenistan to work together to battle against those forces which threaten
the peace and stability of our countries." The ceremony was also attended by the Director
of the Central Asia Office, Bureau of South and Central Asian Affairs at the U.S. State
Department Mr. Tom Hushek, Rear Admiral Michael Franken representing the United
States Central Command and Colonel Wroblewski representing the Nevada National
Guard.
• Turkmen president receives Russian interior minister
On October 19, President Gurbanguly Berdimuhamedov received Minister of Internal
Affairs of Russia Rashid Nurgaliyev, who is in Turkmenistan on a working visit. "The
meeting was very constructive. The president of Turkmenistan is interested in problems
of law enforcement agencies, and feels their concerns," Rashid Nurgaliyev said after the
meeting, ITAR-TASS reported "We have discussed at length issues related to the fight
against transnational organized crime, drug trafficking, cybercrime and illegal
migration." According to the Russian minister, issues of training and retraining of staff
were also touched on at the meeting with the Turkmen leader. Rashid Nurgaliyev shared
with President Gurbanguly Berdimuhamedov his impressions of the visit to an automated
motordrome, where candidates pass driving examinations, as well as the duty unit of the
Turkmen Ministry of Internal Affairs.
• Russian Minister of Internal Affairs Rashid Nurgaliyev arrives in Turkmenistan
Minister of Internal Affairs of Russia Rashid Nurgaliyev arrived in Turkmenistan on a
visit. During the visit, the head of the Russian Interior Ministry will hold bilateral talks
with his Turkmen counterpart Isgender Mulikov. "The heads of law enforcement
agencies are going to discuss topical issues of interaction, and identify priorities for joint
action for the near future," the press-center of the Russian Interior Ministry said. The
ministers will also raise the issue of joint training and retraining, and discuss measures
aimed at curbing the illegal migration channels. On the results of talks, the sides are
expected to sign a protocol on the interaction of the Interior Ministries of Russia and
Turkmenistan for 2010-2011. As the press center reported, under this document, the
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ministries will continue the practice of coordinated joint action for the prevention,
detection, suppression and exposure of transnational crimes, elimination of channels of
illegal migration, as well as joint countering of international terrorism. The sides will also
continue to work together to strengthen the legal base of cooperation, including in the
sphere of equipment and research.
• Ministers of Internal Affairs of Turkmenistan and Russia sign protocol on
cooperation for 2010-2011
Minister of Internal Affairs of Turkmenistan Isgender Mulikov and his Russian
counterpart Rashid Nurgaliyev, who arrived in Ashgabat on a working visit, signed a
Protocol on Cooperation between the two ministries for 2010-2011. The document
envisages strengthening cooperation in several areas, including combating transnational
crime, illegal migration, international terrorism, ITAR-TASS reported. In addition, the
protocol provides for conducting joint investigation and search operations and prevention
activities, as well as joint work as part of active criminal cases. "Today, we have
common threats, and they are global in nature, and therefore we have to fight them
together," Rashid Nurgaliyev said after the talks. He noted that "there is a relevant legal
basis in place." The Russian minister expressed hope that the protocol will give new
impetus to cooperation between the law enforcement agencies of Russia and
Turkmenistan. According to him, it is also necessary to intensify the exchange of
information between the two ministries.
It is also reported that the Interior Minister of Russia invited his Turkmen counterpart to
take part in several events to be held in Russia such as the anti-terrorist exercises in
Krasnodar region late October and the First International Ministerial Conference on Road
Safety "Act Now" to be held November in Moscow 19-20.
Economic/Energy Front
• Turkmenistan: New Pipeline to start Pumping Gas to Iran on December 20
Turkmen gas exports to Iran via a new pipeline are slated to begin on December 20.
According to Iranian news sources, northern Iran will receive gas supplies originally
earmarked for purchase by the Russian energy giant Gazprom."The decision to turn the
gas flow south was taken in April 2009 after Gazprom halted gas imports from
Turkmenistan because of the gas pipeline explosion the CAC-4 (pipeline) on the border
with Uzbekistan," news site Iran.ru reported on October 22. The new export pipeline will
carry fuel from the Dovletabat gas field to Iran. Iranian officials say consumers could
need up to 20 billion cubic meters of Turkmen gas a year. "The two sides made
considerable efforts to ensure that gas from Turkmenistan, using the new pipeline, could
flow to Iran before winter," Reza Kasaeizadeh, the managing director of National Iranian
Gas Export Company, is quoted as saying, according to Eurasianet
• Turkmen president sacks several energy chiefs
(AFP) - The president of resources-rich Turkmenistan has sacked several top officials in
the energy sector, denouncing their “irresponsible approach” to their jobs, the official
news agency reported.
• Turkmen president sacks several energy chiefs
The president of resources-rich Turkmenistan has sacked several top officials in the
energy sector, denouncing their "irresponsible approach" to their jobs, the official news
agency reported. At a meeting with the central Asian republic's heads of oil and gas
companies, President Gurbanguly Berdymukhamedov "noted with regret that an
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irresponsible approach by certain leaders to their jobs caused a number of deficiencies
and negligences" in their work, the agency said Monday. Berdymukhamedov dismissed
the head of public company Turkmenneftegazstroy along with the chiefs of the country's
state gas and oil enterprises, Turkmenneft and Turkmengaz. The president criticised the
"poor construction quality" of Turkmenistan's energy installations, delays in providing
gas to towns and villages, and the absence of "needed measures to increase oil
production." Turkmenistan, a reclusive country on the Caspian Sea which has huge gas
reserves, has been wooed by Western nations, China and Russia in their race for new
resources.
• Turkmenistan and Astrakhan region to continue expansion of trade and economic
ties
Astrakhan Region is interested in purchasing agricultural products from Turkmenistan
and products of its processing, as well as increasing purchases of various construction
materials, said Governor of Astrakhan Region Alexander Zhilkin during a meeting with
Turkmen President Gurbanguly Berdimuhamedov on October 15. Alexander Zhilkin
arrived in the Turkmen capital at the head of the delegation of government and business
structures of the region. As the Turkmenistan.ru correspondent reports from Ashgabat
quoting the press service of the Turkmen leader, Alexander Zhilkin informed the
President of Turkmenistan about Astrakhan shipbuilders' interest in taking orders for
construction of bulk carriers and tankers, as well as Astrakhan region willingness to
render assistance to Turkmenistan in training of staff for the national fleet and key sectors
of the national economy on the basis of specialized educational institutions of Astrakhan.
The Governor also spoke about intention of Russian companies to take active part in
projects on construction of bridges, subways, overpasses implemented throughout the
territory of Turkmenistan, as well as modernization of the seaport. "Turkmenistan is
always open to reliable partners with whom it maintained not only long-term fruitful
cooperation but also the relations of sincere friendship rooted deep into centuries,"
Gurbanguly Berdimuhamedov said. The president also announced the country's intention
"to continue building up direct links with the regions and major industrial, educational
and cultural centers of Russia, including Astrakhan region.
• Turkmen President, head of Gazprom hold talks
Turkmen President Gurbanguly Berdimuhamedov received Chief Executive of OAO
Gazprom Alexei Miller in Ashgabat on October 19. During the meeting, they discussed
issues of long-term strategic cooperation in the gas sphere. According to the press center
of Russia's holding company, Alexei Miller was on a working visit to the Turkmen
capital leading a delegation of Gazprom.
• Ministry of Trade and Industry of Tatarstan discusses cooperation with
Turkmenistan
Promising areas of cooperation with Turkmenistan were discussed yesterday during a
meeting with Plenipotentiary Representative of Tatarstan to Turkmenistan Kamil Galiyev
at the Ministry of Trade and Industry of the Republic of Tatarstan. The meeting discussed
prospects for bilateral cooperation, the press service of the Ministry said. In particular,
there were discussed proposals made by OAO "PO ELAZ", OAO "UK KER-Holding"
and OOO "Mendeleevskazot", whose representatives attended the meeting. The meeting
also looked at organizational issues of the forthcoming visit of a high-profile delegation
of Tatarstan to Turkmenistan.
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• Turkmenistan completes construction of its section of pipeline to China
According to the state concern Turkmengaz, Turkmenistan has completed building its
secion of the international gas pipeline Turkmenistan - Uzbekistan - Kazakhstan - China
with a total length of more than 7000 km. The new 188-km gas artery with a diameter of
1420 mm connected the Malay gas field with the beginning of the TransAsian gas
pipeline on the Turkmenistan-Uzbekistan border, creating a unified gas transportation
corridor. The project is implemented by Russia's Stroytransgaz. Much of the Turkmen
section of the pipeline Malay - Bagtyyarlyk passes through the Karakum Desert,
Turkmengaz said. The most difficult part of it was the construction of an underground
passage across the Amudarya River, which was carried out for the first time. The official
commissioning of the pipeline, which will transport up to 40 billion cubic meters of
natural gas to China for 30 years annually, is scheduled for mid-December. At present,
gas workers are preparing for the pipeline testing.
Social Front
• Traditional exhibition of economic achievements of Turkmenistan kicks off in
Ashgabat
The Exhibition of Economic Achievements of Turkmenistan dedicated to the 18th
anniversary of Turkmenistan's independence started at Sergi Kosgi Exhibition Center in
Ashgabat. The forum was organized by the Ministry of Economy and Development of
Turkmenistan, the Chamber of Commerce and Industry of Turkmenistan and the
Ashgabat city administration. Over one hundred representatives of economic entities
operating in all sectors of the national economy demonstrate their capacities at the
exhibition. Turkmen businessmen and private companies also participate. President of
Turkmenistan Gurbanguly Berdimuhamedov sent a welcome message to the forum
participants. The head of state expressed confidence that the festive exhibition will allow
the world community and foreign partners to get acquainted with the multifaceted
potential of Turkmenistan and large-scale socio-economic programs and international
projects being implemented in the country. "The exhibition will also provide an
opportunity for representatives of enterprises and organizations to exchange views and
experiences, discuss issues of interest, establish long term business relationship," he
stressed.
Uzbekistan
Political Front
• Preparations for the elections: consistent work is carried out
On October 20, the press center of the Central Election Commission of Uzbekistan held a
regular press conference for domestic and foreign journalists. Chairman of the Central
Election Commission M. Abdusalomov informed journalists about the work on the
formation of electoral districts, the formation of district electoral commissions for the
elections of deputies of Legislative Chamber of Oliy Majlis of the Republic of
Uzbekistan and the admission of political parties to participate in the forthcoming
elections. CEC Chairman reported that in accordance with Article 7 of the Law “On
elections to the Oliy Majlis”, the elections for the Legislative Chamber of Parliament
shall be held by one hundred and thirty-five geographical constituencies. The Central
Electoral Commission, considered the proposals of public authorities in the field, at its
meeting on 9 October and agreed on the formation of constituencies for the elections to
the Legislative Chamber of Oliy Majlis. List of constituencies, including their names,
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serial numbers, boundaries and the number of voters published in the press. At a press
conference, the CEC Chairman M. Abdusalomov told reporters that at its meeting on 16
October in accordance with Article 11 of the Law “On elections to the Oliy Majlis of the
Republic of Uzbekistan” the Central Election Commission agreed on the formation of
district electoral commissions on elections of deputies of Legislative Chamber of Oliy
Majlis. It was noted that under Article 12 of the Act the district election commission
formed by the Central Election Commission consist of a chairman, deputy chairman,
secretary and at least six other members of the commission. In approving the personal
staff of district election commissions of the Central Election Commission, special
attention was drawn to the fact that, in accordance with Article 16 of the law, the district
commissions includes respected members of the public. Lists of members of district
commissions, indicating addresses and telephone numbers of committees are published in
the press. For members of the newly formed election commission CEC organized a series
of seminars and training sessions on the fundamentals of the electoral law.
At the press conference It was also informed that under Article 21 of the Law of the
Republic of Uzbekistan “On elections to the Oliy Majlis of the Republic of Uzbekistan”
for the nomination of candidates, each of the four of the country’s operating political
parties need to submit to the Central Election Commission necessary documents for the
nomination of candidates – a declaration of participation in elections, signed by the head
of the Party, a certificate of the Ministry of Justice that the political parties registered not
later than four months prior to the announcement of the beginning of the campaign, and
the subscription lists of voters in support of its participation in the elections for the lower
house of parliament. In accordance with Article 231 of the Law “On elections to the Oliy
Majlis of the Republic of Uzbekistan” working group was formed in Central Election
Commission to verify the compilation of subscription lists submitted by political parties.
authorized representatives of political parties attended during the consideration of the
subscription lists. This is – a new institution introduced by the national electoral law,
which aims to ensure even greater transparency and democratic electoral process.
At a press conference, the CEC Chairman M. Abdusalomov said that the results of
examination of materials by the political parties indicate that the collection of voter
signatures was conducted in full accordance with the requirements of electoral law. In
this regard, the Central Election Commission adopted a resolution on admission to
participate in the elections for the Legislative Chamber of Oliy Majlis of the People’s
Democratic Party of Uzbekistan, Social-Democratic Party of Uzbekistan Adolat, the
Movement of Entrepreneurs and Businessmen – Liberal Democratic Party of Uzbekistan
and the Democratic Party of Uzbekistan “Milliy Tiklanish” at a meeting October 17 and
18. It was noted the decision of the Environmental Movement of Uzbekistan to
participate in elections to the Legislative Chamber of Parliament. At a press conference
the Chairman of the Central Election Commission, M. Abdusalomov answered all
questions of domestic and foreign media concerning the organization of elections in
Uzbekistan.
• Parties approved for participation in elections
The Central Election Commission of Uzbekistan considered the applications and other
documents of the country’s political parties regarding their participation in the December
elections to the Legislative Chamber of the Oliy Majlis of Uzbekistan. The commission
has issued permissions for the participation in the elections of the People’s Democratic
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Party, “Adolat” (“Justice”) Social Democratic Party, Liberal Democratic Party
(Movement of Entrepreneurs and Businessmen) and the “Milliy Tiklanish” (“National
Revival”) Democratic Party. The Central Election Commission also received the decision
of the Environmental Movement of Uzbekistan about its participation in the December
elections to the lower chamber of the parliament.
• Election Commission holds session
The Central Election Commission of Uzbekistan held a session on 16 October, chaired by
the head of the commission Mirzo-Ulugbek Abdusalomov. The commission considered
the issue of forming the district electoral commissions for the elections of the deputies of
the Legislative Chamber. The number of the district electoral commissions is 135, which
is equal to the number of the electoral districts in the country. The commissions consist of
the representatives of the public, whose candidacies were recommended by the regional
councils of people’s deputies. The Central Election Commission adopted a resolution on
the forming of the district electoral commissions and approved the list of the members of
these commissions, which will be published in the local press.
Geo Strategic Front
• Uzbekistan: European Union looks Likely to lift Arms Embargo
The European Union appears poised to lift its four-year arms embargo against
Uzbekistan. EU officials say strategic necessity is exerting pressure on Brussels to fully
engage Tashkent. Critics, however, contend that by compromising on principles, the
European Union is sacrificing long-term interests for immediate, but likely fleeting gains.
According to a report appearing October 22 in the EU Observer, a draft statement has
been prepared concerning the lifting of the arms embargo, the last sanction still in place
from among several imposed on Tashkent shortly after the Andijan massacre of 2005.
The draft, which appears headed for approval at the next meeting of the EU’s General
Affairs and External Relations Council on October 26, states; "With a view to
encouraging the Uzbek authorities to take further substantive steps to improve the rule of
law and human rights situation on the ground, and taking into consideration their
commitments, the Council decides not to renew the remaining restrictive measures set out
in the Council Common Position (of 2008)." Some human rights advocates deride the
draft statement as cynical. The EU is not so concerned about democratization in
Uzbekistan as it is with advancing economic interests and improving security
cooperation, they say. Any belief that lifting the sanctions will provide a boost for civil
rights in Uzbekistan is delusional, rights advocates add. "Uzbekistan has not done
anything at all to deserve the sanctions to be lifted," said Veronika Szente Goldston,
Human Rights Watch’s Advocacy Director for Europe and Central Asia.
The EU never seemed interested in the sanctions strategy since its inception in 2005,
Goldston added. Germany and other EU members, she noted, undermined the intended
effect of the sanctions via bilateral diplomacy.
"There’s been a lot of mixed messaging during high level meetings over the past four
years," she said. "It’s the final blow to a longstanding and disappointing trend of the EU
not giving the sanctions the political backing that they deserved."
Observers warn by letting the sanctions expire the EU risks sending the wrong message
not only to Uzbekistan, but to other countries in the region with dubious human rights
records. When it imposed the sanctions in 2005, the EU set conditions for their removal.
Tashkent has not met those requirements. Thus, EU credibility throughout Central Asia
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could be severely damaged by the unconditional lifting of the Uzbek arms embargo. Such
action would tacitly encourage authoritarian-minded regimes in the region, including
President Islam Karimov’s administration in Tashkent, to continue acting with a sense of
impunity, some rights advocates contend."After Andijan, there were conditions attached
to the sanctions calling for an independent and international investigation, and that has
not happened," said Jacqueline Hale, policy officer responsible for Central Asia and the
Caucasus at the Open Society Institute (OSI) in Brussels. "We would urge the EU to stick
to its principles." (Editor’s note: OSI Brussels is part of the Soros Foundations Network.
EurasiaNet operates under the auspices of OSI in New York, another component of the
network). "The Uzbek government’s record in international relations is not good, interregionally or internationally. Their relations with their neighbors swing all over the place.
You can buy favor for a short time but is that worth selling out on your principles?" Hale
continued. "It’s not only about what Uzbekistan thinks of the EU, it’s about what
Kyrgyzstan, Turkmenistan and Russia sees the EU doing, and what messages it sends."
In practical terms, the arms embargo is not seriously squeezing Tashkent, which obtains
the bulk of its arms from Russia and Ukraine. The EU sanction that stung the most was a
travel ban that was imposed on top Uzbek officials, a restriction that was lifted in 2007.
(For background see the Eurasia Insight archive). Nevertheless, the arms embargo carries
with it a lot of "symbolic" weight, according to a Tashkent-based rights activist, who
spoke to EurasiaNet on condition of anonymity. Hale noted that Germany seems to have
"an ideological problem with sanctions," with Berlin convinced that economic
punishments are not effective in bringing about desired political change. Hale, however,
defended sanctions in the Uzbek case as the best available option for achieving desired
results. "The Uzbek regime is unreformed and unresponsive, so in the short term neither
engagement nor lifting sanctions will make a difference to them," Hale said. "While
people often question sanctions and ask ’do they work?’ no one ever turns the question
around and asks ’what has 18 months of engagement brought us?’" she said, according to
Eurasianet.org.
• New border crossing checkpoint opens on Turkmen-Uzbek border in Farap
district
A new Turkmen border crossing checkpoint called Farap, which is located in the territory
of Farap district on the border with Uzbekistan, was ceremonially opened in the city of
Turkmenabat. This state-of-the-art facility meets international standards and has all
necessary conditions for the efficient work of staff and quality of border-crossing
operations, including luggage and vehicles examination. This will raise the level of
services of traffic passing through the Turkmen-Uzbek border, and put a firm barrier to
trafficking in contraband, including drugs. According to Public Affairs Section of the US
Embassy in Turkmenistan, Farap border crossing checkpoint is the third checkpoint the
construction and equipment of which was funded by the United States Government. The
first border checkpoint "Altyn Asyr" was opened in 2006 on the border with Iran and the
second border checkpoint "Imamnazar" was opened in 2007 on the border with
Afghanistan. In her opening remarks, the U.S. Charg d'Affaires, a.i., Sylvia Curran
emphasized that "these checkpoints represent the continuing efforts between the United
States and Turkmenistan to work together to battle against those forces which threaten
the peace and stability of our countries." The ceremony was also attended by the Director
of the Central Asia Office, Bureau of South and Central Asian Affairs at the U.S. State
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Department Mr. Tom Hushek, Rear Admiral Michael Franken representing the United
States Central Command and Colonel Wroblewski representing the Nevada National
Guard.
• President of Uzbekistan receives Indian Foreign Minister
President of Uzbekistan Islam Karimov received Indian Foreign Minister Somanahalli
Krishna in Tashkent on 23 October. Welcoming the guest, the head of Uzbekistan said
that the relations between the two states were developing successfully. They are based on
historical, cultural and spiritual closeness of the people of the two countries. The UzbekIndian relations are based on the principles of mutual trust and respect. The two states
have established close and constructive contacts on the highest level. Uzbekistan and
India support each other on the international arena and are developing cooperation in the
framework of such regional and international organizations like the UN and the SCO.
At the meeting in Tashkent, Somanahalli Krishna expressed India’s interest in further
development of the mutually beneficial bilateral cooperation with Uzbekistan. The sides
exchanged views on the further expansion of cooperation between the countries, as well
as on other issues of mutual interest.
• Council of SCO Anti-Terrorist Structure holds session
The Council of the Regional Anti-Terrorist Structure (RATS) of the Shanghai
Cooperation Organization (SCO) held its 15th session in Tashkent on 16 October. The
representatives of Kazakhstan, China, Kyrgyzstan, Russia, Tajikistan and Uzbekistan
participated in the session. The meeting participants considered the report of the RATS
Executive Committee director M.Subanov on the implementation of the decisions of the
SCO RATS Council and the Program of cooperation of SCO member states in fighting
terrorism, separatism and extremism for 2007-2009. Other issues on the agenda were
improvement of cooperation in the field of combating terrorism, separatism and
extremism. The participants noted that the RATS activity corresponded to the modern
threats and challenges. In the framework of the implementation of the above-mentioned
program, the participants supported the proposal of China about holding the SCO
meeting on exchange of information in the field of terrorism, separatism and extremism
in this country in December. The complex measures of the SCO states in assisting China
and Kazakhstan in ensuring security of the international exhibition EXPO 2010 in
Shanghai, Guangzhou Asian Games of 2010 and Kazakhstan Asian Winter Games in
2011 were approved. The activity of the SCO RATS Executive Committee was positively
evaluated and the plan of this body’s work in 2010 was approved. The council adopted a
number of decisions on the organizational issues, financial provision of the Executive
Committee’s activity and further development of the legal basis of SCO states’
cooperation in fighting terrorism, separatism and extremism. The representative of
Kazakhstan – the first vice chairman of the Kazakh National Security Committee Adil
Shayakhmetov – was elected chairman of the SCO RATS Council. The sides agreed to
hold the next session of the SCO RATS Council in April 2010 in Tashkent.
Economic/Energy Front
• International industrial fair and cooperation exchange continues in Tashkent
Uzbekistan Industrialists Forum, carried out at the initiative of President Islam Karimov,
aims to promote the real sector enterprises to provide free access to necessary raw
materials and credit resources, facilitate the