Beyond Free Trade Arrangements
The Financial Express
April 28, 2005
the wake of Prime Minister Wen Jiabao’s historic visit, the
media has been agog with discussions on the pros and cons of a free
trade agreement between India and China. Similar discussions, in
all likelihood by the same set of erudite pundits, will take place
in anticipation of Prime Minister Koizumi’s visit. In my view,
they are narrow in focus and miss the point. They should, instead,
help shape India’s external economic policy in Asia on more
of trade, technology and investment flows will come as a natural
corollary of a stronger understanding among the three countries.
More important, this will provide a robust framework for greater
economic dynamism across Asia and an impetus for expanded economic
cooperation that could lead to the emergence of an Asian economic
community—an idea supported by senior leadership from all
three countries. The establishment of a special regional economic
cooperation unit, earlier this month by the Asian Development Bank
(ADB), underscores this idea’s strategic importance. The unit
is to be headed by a former World Bank chief economist for East
Asia, who has also had a stint in the powerful finance ministry
in Tokyo. Pan-Asian economic cooperation seems to be a timely idea,
and India should strongly support it.
here to read further: http://www.financialexpress.com/fe_full_story.php?content_id=89188
to Promote intra-Asian Capital Flows
The Hindu Business Line
April 27, 2005
all the financial brains around — after all Asians too have
made it big on Wall Street — it should not be difficult to
build adequate safety and liquidity nets to promote intra-Asian
capital flows offering much better returns than US Government securities
and cutting intermediation costs. Our investment needs in infrastructure,
both of the physical and social kinds, are massive. There is no
place like home but Asian Governments, savers and fund managers
must be convinced of that. Also, among ourselves, we are bedevilled
by suspicions and jealousies, leaving little scope for cooperation.
All this has to change
here to read further: http://www.thehindubusinessline.com/2005/04/27/stories/2005042700990600.htm
and the Asian Balance of Power
Daily Times, Pakistan
April 27, 2005
which welcomed the Chinese premier, Wen Jiabao, in New Delhi earlier
this month is now getting ready to receive the Japanese prime minister,
Koizumi. In order to meet the enormous challenges of domestic development,
it needs good relations with all the Asian nations — including
China and Japan — as well as cooperation with the United States.
than emphasise balance of power in Asia, it is likely, therefore,
to focus on a multi-directional engagement with all the major powers
and a deeper integration with the Asian economies.
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Greater Asian Economic Integration
The Financial Express
April 26, 2005
their recent meeting in Cebu, Asean foreign ministers paved the
way for India’s participation in the first East Asia Summit
(EAS) to be held in Malaysia by the year end. Although India’s
role in the broader (East) Asian regionalism is well-known, a few
countries were trying to limit the participation to the Asean+3
countries. The Cebu meeting established a three-point criteria for
participation. As India fulfills these, it can now hope to participate.
EAS is likely to initiate the formation of an East Asian Community
(EAC). Combining 14 eco-nomies (and possibly Australia and New Zealand),
EAC can evolve into a trade bloc comparable to EU or Nafta, and
become the third pole of the global economy.
here to read further: http://www.financialexpress.com/fe_full_story.php?content_id=89010
Asian Currency Key to Stability
Hong Kong Information Services Website
April 23, 2005
case for a single Asian currency, in my view, is overwhelming from
the points of view of regional economic stability and growth in
Asia. It is particularly critical in warding off painful ruptures
of national currency systems across the region as we saw in 1997
and 1998. In this regard, I do not have rosy dreams to offer today,
but only concrete and tentative steps forward.
in Asia, we understand very well that the journey of a thousand
miles begins with the first step
here to read further: http://news.gov.hk/en/category/ontherecord/050423/html/050423en11002.htm
Marches to Drum of Economic Integration
April 22, 2005
ongoing emergence of Asia in the world economy is being fuelled
to a large degree by its expanding intra-regional trade, according
to the Annual Report 2005 released at the Boao Forum for Asia (BFA)
in South China's Hainan Province on Friday.
Asian economies accounted for 38 per cent of world output in 2003.
they maintain their relatively strong performance compared to the
rest of the world at the average annual growth rates achieved during
the past decade, it can be expected that all of Asia will contribute
a major part to world output, the report predicted.
report, the first of its kind, was a result of collaboration between
the BFA and the World Bank.
interesting conclusion of the report is that free trade has become
a major driving force behind economic integration in Asia,"
said Long Yongtu, secretary general of the BFA, at the event.
here to read further: http://www.chinadaily.com.cn/english/doc/2005-04/22/content_436715.htm
Helps Deliver Asian Dreams
April 23, 2005
Annual Report 2005, released yesterday at Boao Forum for Asia in
South China's Hainan Province, depicts a phenomenal trend to which
not only Asian nations but also the rest of the world must adapt.
evident than ever, the economic integration is promoting the upgrading
of Asia into an increasingly important player in the world economy.
It is a remarkable achievement that developing Asian economies have
increased their share in the world aggregate GDP from 15 per cent
in 1990 to 23.8 per cent in 2003. The continent produced 38 per
cent of world output that year.
amazing is the prospect that, if the growth momentum continues,
Asia as a whole will soon contribute nearly half of the world output.
here to read further: http://www.chinadaily.com.cn/english/doc/2005-04/23/content_436838.htm
Asia Looking for Bigger Role
April 22, 2005
the hustle and bustle of the world stage, Chinese Premier Wen Jiabao's
visit to India earlier this month had some special significance
for geopolitics observers.
partnership between the two most populous nations, two rapidly growing
economies and two of the oldest civilizations in the world is an
historic issue by anyone's standards.
amiable atmosphere has already surrounded much of East Asia and
something similar is gradually brewing in South Asia.
a warm handshake between the two biggest countries in the region
naturally leads to the anticipation of more co-operative steps.
the imagination further still, the eventual formation of Asia's
answer to the European Union could be on the cards in the future.
the moment, the partnership between China and India is not only
important for the two countries, but also "adds weight to the
role of the entire continent," said Zhai Kun, a senior fellow
with the China Institute of Contemporary International Relations
here to read further:
China Wasting Time
The Japan Times
April 18, 2005
December, an East Asian summit will be held in Malaysia. Sino-Japanese
partnership is crucial if regional cooperation is to advance. Now
is the time for Japanese and Chinese leaders to begin strategic
dialogue on issues that will be of mutual concern a decade from
now. Japan and China greeted the 30th anniversary of their diplomatic
normalization in 2002. They should be enjoying mature relations,
but instead face serious trouble.
here to read further:
April 14, 2005
Africa, and the Americas all have regular summits of their leaders.
But what of Asia, home to half of humanity?
region has long been divided by war, racism, and oceans. But come
this December, the first summit is planned for at least 13 Asian
nations. The hope is to emulate the European Union by setting up
a similar, more powerful entity. But even before getting to the
difficult details of economic integration, the effort has been slowed
by this simple question: What is Asia?
here to read further: http://www.csmonitor.com/2005/0414/p08s01-comv.html
Roar of a New Asia is on the Global Horizon
International Herald Tribune
April 13, 2005
war on terror has obscured the fundamental strategic shift of the
past decade: the emergence of China and India as rapidly growing
powers that have thrown off their complexes, patched up their own
relations, embarked on a buying spree and made talk of the Asian
At the same time, the nascent EAC should be inclusive. One thing
about India, Australia and New Zealand is they will balance China.
Another thing is that they are all democracies. The EU has served
to spread democracy. Over decades, an EAC including these countries
may even do the same.
here to read further: http://www.iht.com/articles/2005/04/12/news/globalist.html
Towards a Strategic Partnership
The Financial Express, India
April 12, 2005
and India need to work together for broader regional economic integration
in Asia, and help in making the 20th century Asia’s in reality.
At the recently concluded Asean Summit in Laos, important steps
were taken. Besides deepening of economic integration of Asean as
a grouping, it was agreed to organise an East Asian Summit (EAS)
in November 2005 in Malaysia to launch the process of broader East
Asian integration. Discussions are still on, whether the participation
in the EAS will be limited to Asean+3 (Japan, China and South Korea)
or Asean +3+India. Clearly, there are merits in a more inclusive
here to read further: http://www.financialexpress.com/fe_full_story.php?content_id=87638
Peace to Sino-Indian Prosperity
Daily Times, Pakistan
April 11. 2004
a global perspective, India and China are in the process of more
tightly linking the innermost regions of Asia to global as well
as their national markets. This involves re-establishing their historical
connectivity and trading routes. The interior regions of Asia —
in India and China — have become remote not and because of
their physical location. Once they were on the highways of international
commerce. They have become inaccessible because of the border tensions
between India and China. As the two countries embark on intensive
economic and political cooperation, these regions can be re-connected
to their natural economic environment
will also gain access to the booming markets in southwestern China.
Its connectivity to South East Asia, too, is bound to improve. More
fundamentally, it will allow the development of a variety of trans-Asian
rail and road networks that will benefit all the nations in the
here to read further: http://www.dailytimes.com.pk/default.asp?page=story_11-4-2005_pg3_5
and India: Cooperation or Conflict
Harsh V Pant
April 11, 2005
to observers, the global political architecture is undergoing a
transformation with power increasingly shifting from the West to
the East. The two most populous nations on the earth, China and
India, are on their way to becoming economic powerhouses and are
shedding their reticence in asserting their global profiles. Japan
is gradually flexing its military muscle and the South-east Asian
economies are back in business after the setbacks of the 1997 financial
crisis. Whether it is such hopeful prospects or the challenges ahead
in the Korean peninsula, Taiwan, and Kashmir, it is clear that this
will, in all likelihood, be an Asian century.
future will to a large extent depend on the relationship between
China and India. According to the United States National Intelligence
Council Report on emerging global trends, by 2020 the international
community will have to confront the military, political and economic
dimensions of the rise of China and India. Bilateral relations between
China and India will define the contours of the new international
political architecture in Asia and the world at large. This importance
of their relationship is not lost on China and India. In one of
his meetings with the Indian Prime Minister, the Chinese Premier,
Wen Jiabao is reported to have remarked: “When we shake hands,
the whole world will be watching”.
here to read further: http://www.thestatesman.net/page.news.php?clid
the Silk Route
The Economic Times
April 4, 2005
Chinese rarely speak their mind. But when they do, they leave very
little room for ambiguity. Chinese Premier Wen Jiabao, who is to
visit India for four days starting 9 April, has made two significant
statements from Beijing.
“there is every reason to believe that India-China relations
are in the best shape in history”. And two, “a broader
and deeper relationship in trade and economy between the two countries
would not only serve them but also accelerate the process of ”.
second part of the Chinese prime minister’s statement carries
a far deeper message, the real import of which cannot be fully comprehended
today. He could possibly be dreaming about a larger economic integration
among Asian sovereign states.
as an idea, this could take various forms and shapes. There is little
doubt that the future of trade and investment is in Asia. And this
future doesn’t seem very distant.
here to read further: http://economictimes.indiatimes.com/articleshow/1068739.cms
The Korea Times
April 4, 2005
It is very possible that in just a few years the financial shape
and structure of Asia will evolve in dramatically different ways.
If handled properly, the emergence of a more tightly woven region
able to work together in the face of currency and economic turbulence
should prove a blessing for everyone.
factors are working behind the scenes to make this happen. For starters,
you have the huge U.S. federal budget deficit and the correspondent
weakening of the value of the American currency against many others.
Swimming in a sea of denial, the Bush administration bills the weak
dollar as good for U.S. exports (because they become cheap abroad)
and explains away the current deficit as a temporary blip that will
be soon be eviscerated by growth.
here to read further: http://times.hankooki.com/lpage/opinion/200504/kt2005040419464054240.htm
Sunanda K. Datta Ray
April 2, 2005
may be on the threshold of a new proposal to break the deadlock
over the border dispute; Japan supports India’s case for permanent
membership of the Security Council; and Japan’s ambassador
in New Delhi, Yasukuni Enoki, has spoken several times of a new
India-Japan-China partnership. There is also always India’s
faithful friend, Singapore, to facilitate entry into the 13-member
East Asian Community.
is also seen as a counterweight to the growing economic and military
power of China whose conduct across the Taiwan Straits and in the
disputed Spratly Islands does not suggest much time for conciliation.
India’s expected gains are beyond dispute. Tiny Singapore’s
$1.2 billion investment is already the third largest in this country,
after the US and Mauritius. India is developing similar linkages
with Thailand, Indonesia and Malaysia.
here to read further: http://www.business-standard.com/common/storypage.php?storyflag=y&leftnm=lmnu5&leftindx=5&lselect=2&chklogin=N&autono=185069