In 2010-2012, we thought speculation of a Greek exit were over the top. Some bookmakers suggested the odds that Greece would leave were as high as 70%. As the crisis flared up again in late 2014, and here in 2015, we again argued that a Greek exit is not the most likely scenario. It was a ploy to add pressure on the Syriza government to capitulate to the demands of the official creditors.
Indonesia’s experience within ASEAN has been that leadership in a world of sovereign states must be earned and nurtured, not imposed at will.
Japanese policymakers received a shock when they heard in late March that 57 countries, including some of the United States’ closest allies, had applied to join the China-led Asian Infrastructure Investment Bank (AIIB). While China has steadily been on the rise, since the 2008 global financial crisis, the United States has found itself less able to engage with Asia as it once did. The resulting power vacuum has left the region more vulnerable to destabilisation.
The South China Sea has become a flashpoint for conflict between China and some of its ASEAN neighbours, particularly the Philippines and Vietnam. China’s recent land reclamation around the Mischief Reef in the Spratly Islands has also strained relations between China and the United States. While, as a non-claimant, the South China Sea is not of direct concern for Cambodia, it holds great relevance to Cambodia as a member in ASEAN.
It is easy to become quite cavalier when analyzing economic performance of various countries to think of them as existing in bubbles. However, as anyone with a moderate level of economic understanding and experience reading markets knows, trade is a major factor of almost every healthy economy in the world. That means that every nation’s fortunes are interconnected. When that nation happens to be one with an economy as large as China’s, it can have ripple effects around the world.
According to a new report from the Institute for Economics and Peace (IEP), violence not only cost the world economy trillions of dollars but also carved out 13 percent of the world’s GDP in 2014. The IEP adds that political turbulence and refugee migrations destabilize economies worldwide and left many nations with heavy financial burdens in 2015.
The Greek drama is approaching the long awaited climax. An emergency heads of state summit will be held on Monday, followed by the regularly scheduled summit later in the week. At the same time, the banking crisis threatens to eclipse the sovereign crisis in terms of urgency.
The accelerated flight of deposits from Greek banks, and the two extensions of ELA lending last week warn of the untenable status quo. Without that extension of ELA lending before the weekend, an ECB official expressed concern that Greek banks might not be able to open on Monday
Republican leaders and President Obama appear to have aborted a plan to put off a “final” vote on a fast-track trade bill until the end of July and may bring it before the House as soon as today.
The China-Australia free trade agreement is not just another FTA. In the coming decade, it will make a unique contribution to stability and prosperity in the Asia Pacific.
After almost a decade of talks, China and Australia recently signed a Free Trade Agreement (FTA). After more than 20 rounds of talks spanning across three governments and five prime ministers, the two key negotiators, China’s Commerce Minister Gao Hucheng and Australia’s Minister for Trade and Investment Andrew Robb, eventually inked the deal.
We are witnessing another round of China-bashing — this time because of its reclamation activities on islands and submerged reefs in the South China Sea. The US Department of Defense has accused China of undermining the status quo and generating instability, being out of step with international rules and norms, and ‘militarising’ these features.
