Skip to main content

AIIB, China's push for Asia-Pacific economic development

... while China's ultimate future will depend on its ability to compete with economies in Europe, North America and the rest of Asia, today it faces the process of managing the transition. Part of this involves utilizing the current production capability and assets which keep factories open and people working; another part involves strengthening the logistical and development infrastructure of its neighbors, so that they have a stable base to grow their economies and societies. This has been one of the main drivers pushing the series of international and regional infrastructure development initiatives introduced by China's leadership. These include the BRICS Bank, the "One Belt and One Road" initiative, the expansion of the Shanghai Cooperation Agreement into infrastructure, numerous signed and negotiated bilateral and multilateral trade agreements and the Asian Infrastructure Investment Bank (AIIB).”

Despite recommendations from within the IMF and World Bank, the US has steadfastly stalled any reforms which would provide a larger role for China. The other part of this equation, which does not fit the Chinese international development model, is the inclusion of political and economic requirements, beyond the simple repayment of funds. As China's policy emphasizes trade and development and non-interventionism, China tends to clash with the political and economic requirements that come with the loans from these institutions. The third issue is that these institutions have become very unwieldy, bureaucratic and politically dominated. The combination of these three factors has pushed China to think outside the box set up by Bretton Woods and look at developing financing mechanisms that fit China's desire for more sustainable regional and international development.”

The goal of the AIIB is to provide infrastructure investment funds that help Asia-Pacific countries develop their internal and regional economies. In 2010 the ADB, which is dominated by Japan and the US, estimated that the Asia-Pacific region would need 8 trillion US dollars in infrastructure improvements before 2020. The ADB has less than 200 billion US dollars in total capital and is able to lend only about 10 billion a year. To address this need China has given an open invitation to all interested countries to become founding members of the 50-billion-dollar AIIB. To date 33 countries have voiced an interest.”

The greatest surprise to date has been the interest by European and southern Pacific countries and the open and cloaked opposition by the US, which has gone so far as to publicly scold Great Britain for indicating an interest. When France and Italy indicated a desire to be included, additional negative statements were issued by the Obama administration. In the background, the US has been lobbying South Korea, Japan and anyone who will listen about the dangers of such a bank. Unfortunately, it comes at a time when the US is offering no substantial alternative alongside the unhappiness of a number of traditional EU allies with the US on the Ukraine and Middle East issues.”

The opposition to the China-proposed AIIB comes mostly from the US and Japan who see any alternative structures to the Bretton Woods scheme as an erosion of their interests. Some of the countries cite the emphasis from the US, EU, Japanese and Australia on standards of governance, environmental and social safeguards and transparency. But in the end, the AIIB cannot and should not be a copy of the ADB, IMF or World Bank. These institutions have been in place for the last 70 years, but the world has moved on; it is time for institutions which reflect the needs and realities of today. It is highly probable that this means that loans will be based on need and ability to repay rather than political or economic ideology.”

The larger issues involved in the opposition to the AIIB are the result of distrust and cultural differences between the US and China. The distrust is based on the US's concern about China's growing political, economic and cultural influence, which Washington sees as a zero sum game. The cultural differences stem from the US view of American Exceptionalism, which assumes that only a country that accepts capitalism, democracy and Christianity can be legitimate and lasting. It is reflected in the US approach to Asia which emphasizes trade and security, as opposed to China's trade and development. Unfortunately with a 'lame duck' president and a hostile congress there is even less chance of reaching a mutual understanding on such an issue.”

For China, the challenge is whether an increasingly isolated US becomes more intractable and less of a global player. With its massive resources, advanced technology and military power, the US is an essential partner in maintaining world order at a time when separatism and extremism has become rampant. The real issue is how China and the US can cooperate well in today's multi-polar world.”

Comments

Popular posts from this blog

Oct. 7 Reports Implode: Beheaded Babies, NY Times Scandal, & More

Glenn Greenwald    

Israel’s Descent Into Madness & the Holocaust Comparison

BreakThrough News   Rania Khalek was joined by Tarik Cyril Amar, a historian from Germany and associate professor at Koc University in Istanbul, to discuss Israel’s descent into genocidal fascism. Prof. Amar addresses whether it’s useful to make Holocaust and Nazi comparisons and the real reason behind the West’s unshakeable loyalty attitude when it comes to Israel’s barbarism.   

Zionist and US imperialist criminals are about to grab the natural gas off shore Gaza

globinfo freexchange   As the genocide against Palestinians of Gaza is about to be completed with an act of unprecedented brutality by the Zionists and butcher Netanyahu through the bombardment of about 1.4 million civilians in Rafah, it seems that they have already set their next primary goal. Which, in short, is to grab the natural gas resources off shore Gaza, together with their US imperialist buddies whose contribution to the genocide has been undoubtedly critical.     As already reported , in 2007, Hamas came to power and Israel launched an offensive on Gaza Strip, leaving behind 1,400 dead Palestinians, but taking with it the gas fields. Within a year, Israel announced the discovery of the Leviathan natural gas field, which did include Gaza's riches, valued at 453 billion dollars. But Gazans have been denied around 47 billion dollars in revenue. As for Tel Aviv, it's gunning to become a new hub. At that moment in time, that is 2022, Russian oil and gas were sanctioned.

Neocon Queen Victoria Nuland Ends Her Reign: Exposing a Catastrophic Career

Glenn Greenwald    

Τυχαία γεγονότα στην τριτοκοσμική μπανανία των Βαλκανίων

failed evolution   1) Συμβαίνει το μεγαλύτερο σιδηροδρομικό δυστύχημα στην ιστορία της χώρας. 2) Γίνεται αστραπιαία επιχείρηση μοντάζ των συνομιλιών του σταθμάρχη από μηχανισμό του καθεστώτος, πριν ακόμα φτάσει στα χέρια των αρχών, προκειμένου να αποδοθεί η τραγωδία αποκλειστικά σε ανθρώπινο λάθος και να βγουν από το κάδρο οι πολιτικές ευθύνες ανώτατων κυβερνητικών αξιωματούχων. 3) Αναπαράγεται το παραποιημένο υλικό αστραπιαία από ναυαρχίδα της καθεστωτικής προπαγάνδας. 4) Τοποθετείται επικεφαλής στην επιτροπή-παρωδία πρωτοπαλίκαρο του καθεστώτος Μητσοτάκη που εργάζονταν παλιά στην ίδια αυτή ναυαρχίδα. 5) Η επιτροπή κλείνει άρον-άρον την υπόθεση αποκλείοντας ουσιώδεις μάρτυρες που είχαν προειδοποιήσει επανειλημμένα τον αρμόδιο υπουργό για τον κίνδυνο μεγάλου δυστυχήματος. Σταματάει έτσι και η όποια σε βάθος διερεύνηση για την τσιμεντοποίηση του χώρου και την απόπειρα συγκάλυψης της τραγωδίας.  

Το σκάσιμο της φούσκας Μητσοτάκη με νέα επίσημη χρεοκοπία και οριστικό τέλος της μεταπολίτευσης

του system failure   Τα αποτελέσματα των εκλογών της 25ης Ιουνίου ήταν λίγο-πολύ αναμενόμενα όσον αφορά τις πρώτες θέσεις με βάση και τα αποτελέσματα της πρώτης κάλπης του Μαίου. Αν συμπεριλάβουμε και το ποσοστό της αναμενόμενης αποχής, δεν μας έδωσαν κάποια ιδιαίτερη έκπληξη. Αυτό όμως που φαίνεται να αιφνιδίασε ακόμα και το συστημικό κατεστημένο, είναι η είσοδος των δύο υπερσυντηρητικών, ακροδεξιών κομμάτων Νίκη και Σπαρτιάτες, με το τελευταίο να έχει ξεκάθαρες διασυνδέσεις με τον πρώην Χρυσαυγίτη, Ηλία Κασιδιάρη. Παρά τη μεγάλη νίκη Μητσοτάκη, οι μιντιακοί ινστρούχτορες της καθεστωτικής προπαγάνδας εμφανίστηκαν σε γενικές γραμμές "μουδιασμένοι" και αυτό οφείλεται στο γεγονός ότι το συστημικό κατεστημένο (δηλαδή τα μεγάλα οικονομικά συμφέροντα που ελέγχουν και το σύνολο των μεγάλων ΜΜΕ πανελλαδικής εμβέλειας), πέτυχε μόνο έναν από τους τέσσερις μεγάλους στόχους που είχε θέσει εξ'αρχής. Μιλώντας με ποδοσφαιρικούς όρους, ουσιαστικά έχασε με σκορ 3-1.   Ο μεγάλος στόχος πο

The Shadowy, Intelligence-Linked Group Driving the US Towards War With Iran

"United Against Nuclear Iran does not miss an opportunity to try to bring the United States closer to a military conflict with Iran. And on the other side of the equation, they also have worked very hard to oppose efforts to de-escalate the U.S.-Iran relationship."   by Alan Macleod   Part 7 - A Lesson From History   The history of Iran has been intimately intertwined with the United States since at least 1953 when Washington orchestrated a successful coup against Prime Minister Mohammad Mosaddegh. Mosaddegh had refused U.S. demands to stamp out Communist influences in his country and had nationalized the nation’s oil. The U.S. installed Shah Mohammad Reza Pahlavi as a puppet ruler. An unpopular and authoritarian ruler, the Shah was overthrown in the Revolution of 1979. Since then, it has become a target for regime change, and its nuclear program is something of an obsession in the West. Often orchestrated by UANI officials while they were in government, the U.S. has carried

How the CIA oversees the Ukraine proxy war on Russia

Geopolitical Economy Report   Several reports in mainstream US media outlets show how the CIA has helped to direct the proxy war against Russia in Ukraine, and played a role in causing the conflict in the first place. Ben Norton examines the evidence.   Related: Confirmed: US imperialists wanted to drag Russia into a war with Ukraine since at least 2019

Israel Carries Out Most Sadistic Massacre, Opens Fire On Gaza Aid Convoy

Richard Medhurst  

The real reason behind TikTok ban

Glenn Greenwald /  Richard Medhurst