China super-sized 70th anniversary
Three Chinese military officials laid out plans for China’s super-sized 70th anniversary parade to be held next week. There will be more generals, more planes, more Chinese-made rockets and advanced military equipment showcasing Chinese know-how than ever before.
The parade has a serious objective, not only to project China’s might as a rising military power, but also to project Xi Jinping’s consolidation of power within the Communist Party, 18 months after he ushered in a move to remove presidential term limits that means he can rule for life. The parade aims to drum up a sense of unity, energy and political purpose at a time when China faces multiple domestic and global challenges: a slowing economy, the trade war, a multi-pronged U.S. attack on its champion tech giant Huawei, a political crisis in Hong Kong,
Newly adopted Foreign Investment Law
The Chinese government has launched a series of measures for further reform and opening-up, such as the newly adopted Foreign Investment Law. The Foreign Investment Law is of great significance, as it indicates China’s commitment to open up its market wider. One is certainly insuring infrastructure developments in the Belt and Road Initiative. There is the development of the health system in China, in particular the private health system.
Taking new steps to further open up China’s financial sectors, the China Banking and Insurance Regulatory Commission approved the establishment of the first foreign-funded pension insurance company in the country. To encourage a larger number of foreign banks and insurers that meet regulatory requirements to participate in the Chinese financial market, the commission said it will continuously push ahead with the opening-up of China’s banking and insurance sectors and keep improving the business environment.
Disposable income surges 60 times in past 70 years
Chinese residents saw their per capita disposable income surge by nearly 60 times during the past seven decades thanks to the country’s steady economic expansion.
The per capita disposable income stood at about 49.7 yuan in 1949, and topped 28,200 yuan ($4,030) in 2018, registering a growth of over 59 times factoring in inflation, a report from the National Bureau of Statistics (NBS) showed. The steady income growth also led to continuous increases in consumption spending. Chinese residents’ per capita consumption spending surged from 88.2 yuan in 1956 to 19,853 yuan in 2018, growing 28.5 times in real terms, NBS data showed.
China remains main market, ASEAN region improves rapidly: Australian survey
Asia continues to present a solid outlook for Australian companies with China remaining the number one individual market in which to do business, while collectively the ASEAN region is showing great promise.
ANZ’s fifth annual Opportunity Asia Report surveyed over 1,000 Australian business decision makers across a range of industries and showed that of the companies active in Asia, 70 percent are engaged in the ASEAN.
Over the past five years, Asia continued to be a powerhouse of economic growth when compared with traditional markets of the United States, United Kingdom and the European Union.
ANZ’s survey of Australian business leaders showed that 64 percent of companies currently active in Asia expect to expand their operations within the next three years and that 51 percent generate a higher profit margin from their Asian operations than their Australian based activities.
There seems to be plenty of room for newcomers also, with 47 percent of businesses generating a positive return on their investment in Asian operations within three years.
China Pakistan Economic Corridor pivotal to the success of Belt and Road Initiative
Belt and Road Initiative offers an excellent opportunity to the slowing economies amid overshadowing of political forces over economics ones. The completion of BRI projects would not be possible without China Pakistan Economic Corridor. In this scenario, Pakistan has got a tremendous opportunity to benefit from the industrial relocation and investment diversification being carried out under the umbrella of BRI.
With the initiation of the second phase of CPEC and completion of energy projects, Pakistan has the option to overhaul its industrial and railroad infrastructure. It must realize the importance of its strategic location on the world map and take charge of the projects of regional connectivity.
It can achieve success in this aspect after solving policy issues and creating a pull mechanism for the products. The government, in this regard, is taking excellent initiatives to encourage public-private partnership in all sectors.
Belt and Road Initiative seeks to forge a common destiny for Asia Pacific and beyond
With strong integration of globalization and economic forces, the Belt and Road Initiative (BRI) seeks to forge a common destiny for Asia Pacific and beyond. At this critical juncture when economies are slowing down and regional politics is overtaking regional economics, the BRI offers a beacon of hope for the participating states. It is projected that the BRI, when fully realized, will reduce travel times by up to 12 percent, reducing trade costs amongst its partner countries.
The Belt and Road Initiative mainly focuses on connectivity of policies for unimpeded trade which will resultantly increasing trade up to three to eight percent. As predicted by economic experts the next decade will witness new supply chains and new regional trade lines despite the hovering clouds of the US-China trade war.
Along with relocation of Chinese industries, there will be diversification in investment coming from the West with industries shifting to new destinations like Laos, Indonesia Cambodia, Vietnam and other South East Asian countries.
Pakistan too can become a preferred destination for foreign industry relocation – provided that it does well on the targets set by the prime minister on the ease of doing business, and crafts the right match of incentives.
Many rightly term the China-Pakistan Economic Corridor (CPEC) as the game-changer project for Pakistan and the icon project of the Belt and Road Initiative.
BRI is incomplete without CPEC
It is widely understood that the BRI is incomplete without CPEC, which has manifested its real strength as a comprehensive transportation corridor thereby stimulating economic, trade, and industry cooperation for socioeconomic development.
Pakistan, therefore, must seize favorable opportunities in the second phase of CPEC through opening-up of the BRI and mutual gains in collaboration with Chinese hi-tech industrial and capital advantage. In doing so, Pakistan needs to expand and rebuild existing industrial infrastructure, modernize railroad infrastructure through the Mainline (ML-1) project and develop the Gwadar Port as a smart and safe port city.
The US-China trade war may be a beginning of the opening up of China in the field of advance sciences and technologies which in itself may be an opportunity for Pakistan if carefully factored in the cooperation mechanism under CPEC.
While the bottleneck of energy has largely been removed in the early harvest phase, completion of work on the western corridor and all-weather yearlong connectivity through the Karakoram Highway should be done in the ongoing phase. The time is ripe for Pakistan to benefit from the regionalization of Asia and assume a leading role as the transshipment hub for the region.
In the second phase of CPEC, the government is gearing up to uplift less developed areas of Pakistan, and promising greater regional integration. However, the biggest dividend can only be earned through the industrial cooperation phase by exploring new policy reforms and incentive packages to maximize the pull factor.
The government is also taking steps to encourage private-sector participation and creating an enabling environment by reducing risks and promoting complementary policies to strengthen trade, logistics and business cooperation and improve business-to-business (B2B) links.
What China can do for Asia?
Historically we all know that after World War-II all major wars like Korea (North & South), Vietnam, (North & South), India-China 1962, Pak-India 1965. Pak-India 1971, Arab-Israel 1967, Afghanistan-Russia, Iraq-Iran, Gulf war against Iraq, Iraq-Kuwait conflict,war against terrorism in Afghanistan ,China-Taiwan, were fought almost in Asia. Millions of people died during these wars, billions of dollars of collateral damages were done there. Right now the world’s major conflicts and proxy wars are witnessed in Asia as well like Kashmir, Afghanistan, Iran, Israel, Myanmar, Iran-Arab,Yemen, Syria, Turkey-Cyprus and Kurdistan issue belong to Asia also.
Arab Spring was started in Africa,which is also post-colonial continent and Bosnian issue belonged to Europe but European Union have not relations with only Bosnia we all know, and Turkey is waiting since long to get its membership and its inclusion in EU seems not possible.
The damage done in World War-I and World War-II in Asia, was of huge nature. Most of the area was under British rule; they recruited soldiers on cheap terms and conditions rather forcibly, so Asia paid a huge price in search for peace during last hundred years.
During World War-I, the Ottoman Empire was abolished and the whole kingdom was turned into small and medium territories. Surprisingly, Arab kingdoms were established by the blessings of democratic USA and their allies UK and Russia.
When we look into political conflicts in Asia like Kashmir, Afghanistan, Myanmar, Iraq, Iran, Yemen, Syria and Palestine, the forces behind it belonged to the so-called First Word. After attack with atomic bombs in Asia, Hiroshima and Nagasaki (Japan) by USA with theconsent of United Kingdom, atomic race started and billions of dollars were spent by several nations to protect themselves.
During the cold war between the capitalism and socialism,world was divided into two blocs headed by USA and Russia respectively,and most of the disputes were converted into wars and conflicts.
When we look into the weapon trade figures, the western world is on the manufacturing side and the eastern world (Asia) is the huge buyer from traditional to fatal weapons.
According to the International Peace Research Institute (SIPRI) from 2010 to 2014, the five biggest importers of the weapons were India, Saudi Arabia, China, United Arab Emirates and Pakistan; surprisingly all belong to Asian Continent. According to the Poverty Index of the world (CIA world fact book) accurate in January, 2018 population below poverty line, country compression, Index Mundi).
In the first fifty countries only ‘Greece’ is from Europe. It is the alarming situation for the Third World countries that they had to spend more money in their security needs than on their citizens. The human development index shows the worse conditions of their populations.
Although, the Far-East countries had set the wonderful example on the economic development platform SEAN (Association of South-East Asian Nations) during last three decades, now they are called the Asian Tigers. But even then there are a lot of other issues and difficulties which Asia is facing. That’s why huge military bases of US are established in this region like Japan, South Korea, Philippines, Singapore, etc.
Although Asia was blessed during the 20thcentury, one of the top leadership born and developed to get rid of colonialera and rescue their nations from the affects of the world wars and cold warand conflicts. They were Mao Zedong, Chu En-Lai, Hathiman, Kim Ill Sung, Quaid-i-Azam Muhammad Ali Jinnah, Mahatma Gandhi, Imam Khomeini, Dr. Liquan Liu, Dr. Mahathir Mohamed and Din Yiao-Pong, etc.
The vision of the Asian leadership was marvelous, but they faced domestic challenges at the huge level. It was difficult for them to work on international issues. Many of them faced colonial might and set the agenda to liberate and literate their nations. After libration, the second part was the economic development. If we look into the Growth index, Asian Nations, getting huge progress because of their economic leadership
Although they have to work under political and military influence, because security is still a main issue on every nation’s future Agenda. If we look into the all Asian nations, China is the most independent, vibrant and sovereign country right now. It’s as hard as Himalaya and as soft as sea. China’s political economy is the most power tool to attract the modern world and other nations. That’s why the China’s Belt and Road project is the real game changer for developing nations.
The Chinese narrative to include many world nations in their economic growth and share the benefits is in favor of under-developed countries. I think this narrative should be beyond the economic benefits, and extended to the political,ethical and strategic benefits as well.
The Third World (under & developing nations) are looking towards China to solve the political conflicts of this Asian continent. Although China wants to work in the field of business and economics with every nation of the world but the conflict zones in Asia need China’s attention politically, ethically and strategically. If the 21stcentury will end with Asia, then it will be China, none of other in Asia.
So Communist Party of China (CPC) and State Council are the most effective institutions to turn the table in Asia. All western leadership always tries to be part of the solution in Asian conflicts but now the Chinese leadership should take a step forward for mediation and conflict resolution. Chinese leadership have future vision, this is the high time for them to take the lead in Asia.
The Present President of China Xi Jinping is the most powerful leader of the world. He has a vision to lead the Asia, economically, politically and strategically. Chinese nation believe on him, so it would be worth mentioning that he is leading china to develop Belt & Road project marvelously. China is the only country in Asia have Veto power in UN Security Council and this power could be capitalized for resolution of political conflicts in Asia.
Pakistan and China have long history of strategic partnership and two major conflicts belong to Pakistan, Afghanistan and Kashmir. China supported Pakistan’s point of view for conflict resolution in South Asia and likewise Pakistan supported “One China policy” since long; so, both could be more effective when the CPEC will be fully operational.
Its need of the hour, China should interact widely with Asian Nations at every level China is the big country; if the initiative will be from her side then the communication gap will be bridged rapidly.
China should give political leadership to Asia with the help of her long-lasting and true friends. Pakistan has credit to introduce USA & China with each other and now again its Pakistan’s duty to get close China politically with Asian nations.