In the EM equity space as measured by MSCI, Colombia (+4.1%), Hong Kong (+3.9%), and China (+3.6%) have outperformed this week, while Thailand (-4.4%), Qatar (-3.3%), and the Philippines (-2.7%) have underperformed. To put this in better context, MSCI EM rose 1.2% this week while MSCI DM fell -0.5%.
Indonesia has consistently underperformed in the Program for International Student Assessment test — a standardised test administered by the OECD to measure the academic performance of 15 year olds.
More recently, the OECD also administered the Programme for the International Assessment of Adult Competencies (PIAAC) tests for individuals aged 15–65. The results for Indonesia were similarly underwhelming.
South Korean President Park Geun-hye’s unilateral decision to deploy a Terminal High Altitude Area Defence (THAAD) missile defence system has sparked serious backlash and protests at home. Many South Korean voters argue that the THAAD’s powerful radar system would make the country a key military target.
In addition, the South Korean defence ministry, in vowing to minimise any impact from THAAD on citizens and the environment, has validated these concerns.
The Philippines has scaled up its war on drugs with devastating consequences. President Rodrigo Duterte’s tough talk and anti-drug platform has led to a staggering number of vigilante killings and the mass incarceration of people associated with drug use and its trade. However, we’ve seen this before. 12 years ago, Thailand launched a bloody and ultimately futile war on drugs.
Urjit Patel took over as Governor of the Reserve Bank of India (RBI) on 4 September 2016. At 52 years of age, he is among the youngest to be appointed to the position. Hopefully this is indicative of a broader trend of appointing younger Indians to senior policymaking positions — in line with the nation’s youthful demographic profile.
One of the distinctive features of the Chinese Communist Party (CCP) in the Mao era was its commitment to women’s liberation. In April 1949, six months before the declaration of the People’s Republic, the first national women’s conference was held and the All-China Federation of Women was established.
China is gearing up to hold the G20 summit in its eastern city of Hangzhou. It’s a fitting location for the leaders of the world’s 20 leading economies (19 countries and the EU) to meet. Famed for its beauty, Hangzhou is also a key part of one of China’s most entrepreneurial areas, Zhejiang province and a vital contributor to the country’s exports and GDP. Suffice to say, Hangzhou and Zhejiang count for a lot in China.
Implementing Joko Widodo’s (Jokowi) vague ambition to become the maritime power connecting the Pacific and India Oceans — a so-called ‘global maritime fulcrum’ (GMF) — will be an enormous challenge for Indonesia. Making matters worse, since the announcement of the GMF, there has been no detailed policy blueprint, even though efforts to realise the vision have been underway.
Since 2013, the ‘One Belt, One Road’ (OBOR) initiative has become the centrepiece of China’s economic diplomacy. The essence of OBOR is to promote regional and cross-continental connectivity between China and Eurasia. The ‘One Belt’ and ‘One Road’ refer to China’s proposed ‘Silk Road Economic Belt’ and ‘Maritime Silk Road’.
Australia should look at examples from the US in finding private funding for urban rail development because the present model depends on government providing the capital, which it mostly doesn’t have.
