Zone 1- Asia Summary- Week # 123

Week # 132, Dated 5^th-11^th June 2010

TURKEY

Political Front:

Opposition parties have criticized government’s stance at the UNSC regarding Iranian nuclear program and emphasized that nuclear weapons should be eliminated from the world.

Turkish Parliament has passed a protection law for the safety of coal miners. The Constitutional Court has accepted an indictment filed by the main opposition Republican People's Party (CHP) against the government's referendum package passed in May.

Meanwhile Turkish military launched air strikes against bases of the terrorist Kurdistan Workers’ Party (PKK) in northern Iraq.

Geo-strategic Front:

Russian PM has pledged to support Turkey in raising the issue of the May 31 Israeli attack on a Gaza-bound humanitarian aid convoy which led to the deaths of nine activists. Turkey has also asked Arab countries to get united in order to respond to the Israeli attack in an effective manner.

A Turkish ‘no’ vote over the issue of sanctions against Iran has brought a new dynamics to US-Turkey-Iran ties. Meanwhile a group of Israelis have announced to visit Cyprus in order to protest ‘Turkish occupation’ of the region.

Turkish energy Minister said that they would willingly sign nuclear energy agreement with South Korea. Turkey has signed various agreements of cooperation with Thailand at various fronts as well.

Economic Front:

Lebanese Prime Minister Saad Hariri while addressing the opening of Turkish-Arab Cooperation Forum said that Turkey and Arab countries might establish an integrated economic structure which will foster power of Arabs and Turkey at the economic and political platforms as well as the international arena.

The government has recently decided to resume livestock and red meat imports through the state-owned Meat and Fish Institution (EBK). Previously these institutions had been banned for eight-years following the mad cow disease scare.

Turkey and Russia signed a nuclear cooperation deal during the third summit of the Conference on Interaction and Confidence-Building Measures in Asia (CICA).

GCC

Geo-strategic Front:

GCC has been trying to diversify its relations with key international actors. They have entered in dialogue with Europe and US on one hand and with China, Russia, ASEAN and other Asian countries on the other hand. Meanwhile all GCC members have been engaged in further strengthening their mutual collaboration.

Meanwhile UAE has requested UN to carry impartial investigation of Israeli aggression against Palestine and release full report then. Qatar too is pushing to take Israel to the International Court of Justice. GCC held an Arab Parliament's urgent session and decided to send a delegation to Gaza in yet another attempt to break the four-year-old siege on the Strip. They also called for lifting the siege imposed on Gaza by Israel without conditions or limitations.

Economic Front:

Arab countries have been attracting important investors for the region following recovery from the global economic crisis.

Social Front:

The Abu Dhabi Education Council has unveiled its Higher Education Strategic Plan to achieve the aims of the emirate’s plan of economic diversification and establishing a knowledge-based economy. Meanwhile the Kuwaiti government recently approved a well received amendment in labor law.

CENTRAL ASIA

Political Front:

The Azerbaijani Parliament with participation of MPs and local and international experts held hearings on the Constitutional Law "On normative legal acts".

At least four people were injured when a grenade exploded in northern city of Kyrgyzstan. Meanwhile at least 50 people have died and more than 600 have been injured in clashes between ethnic Kyrgyz and Uzbek youth versus security forces in the southern city of Osh.

The US has called for sensitivity to ethnic issues and the inclusion of all ethnic groups in the development in Azerbaijan.

More than 20 journalists protested outside the Uzbek Embassy in the Tajik capital and asked Uzbekistan to open the economic blockade against Tajikistan. Also at least 20 Tajik students gathered on June 4^th near Uzbekistan’s embassy in Washington urging the Uzbek government to remove the transport blockade.

Meanwhile Tajik independent journalists and analysts have condemned Liberal Democratic Party Leader for calling Tajikistan to be a failed state.

The Majilis of Turkmenistan has passed a resolution setting the date of elections to the regional, district and city people's councils. President of Uzbekistan Islam Karimov signed the law on legal expertise on 1 June. The document regulates relations in the field of legal expertise in the country.

Geo-strategic Front:

U.S. President has promised Azerbaijan in a letter that Washington would treat its dispute with Armenia as a top priority. The US Secretary of State has also a paid visit to Azerbaijan.

A British humanitarian organization assured that it has cleared land mines and unexploded ordnance from the bulk of Nagorno-Karabakh's war-affected territory.

Meanwhile despite Azeri criticism the new parliament in Nagorno-Karabakh held its first session and appointed their leadership.

The Azeri President held meeting with his Turkish counterpart and appreciated friendly ties between the two countries. Azerbaijan has agreed to ship more gas to Europe via Turkey. Meanwhile the United States has started talks with Azerbaijan about fuel supplies for its operations at Manas air base.

Turkmen President was in Uzbekistan earlier this month for participation as a guest in the session of the Council of heads of states of the Shanghai Cooperation Organization, hosted by Tashkent along with Presidents from Russia, Afghanistan, Pakistan and other Central Asian Republics.

Economic Front:

China and Azerbaijan have decided to create a joint venture in July to build the Beyneu-Bozoy-Akbulak gas pipeline.

The Kyrgyz GDP has increased by 9.7% according to recent figures.

Gazprom-Neft-Tajikistan, which controls some 60% of the gasoline market in Tajikistan, has announced a retail price hike of over 25%. Meanwhile farmers and businessmen in Tajikistan's northern province of Sughd have been desperately seeking new markets following a ban by Russia on the import of dried fruit and nuts from Tajikistan.

Social Front:

The US has signed a narcotics control agreement with Turkmenistan.

EAST ASIA

Political Front:

Indonesia’s Golkar Party has said that it would continue to fight for higher parliamentary threshold of 5% to reduce the number of political parties at the House of Representatives. Ruling Party's leader has denied allegation that the higher parliamentary threshold aimed to bar small parties from getting seats at the House. He further added that even the current big political parties might not be able to pass the 5% threshold.

In the Philippines several groups have urged president-elect Benigno Aquino III to certify as urgent the Freedom of Information (FOI) Act after members of the 14th Congress failed to ratify the measure due to infighting and lack of quorum.

Rights group Amnesty International has called on Thailand's prime minister to ensure an independent and impartial investigation into recent unrest and to lift a state of emergency immediately. In response Premier Abhisit Vejjajiva has commissioned an inquiry led by a former attorney general into the loss of 90 lives after recent clashes between armed troops and anti-government "Red Shirt" demonstrators.

Geo-strategic Front:

Indonesia has announced its plan to increase the number of its submarines over the next two years to defend its territory as well as protecting international shipping lanes. The country has further planned to boost its defense spending up to 1.5% of the country's gross domestic product by 2014 from about 0.7-0.8 % in 2010, among the lowest in the region.

Economic Front:

Finance ministers from the Group of 20 countries ended a two-day meeting to review progress on a string of initiatives agreed last year to make the financial system safer and protect taxpayers from having to pay for bank rescues again.

Meanwhile the Malaysian Prime Minister has set out a five-year plan to cut subsidies and accelerate investment but outlined few measures to boost competitiveness, reinforcing doubts about his reform agenda.

A new survey has found that Singapore and Hong Kong have the least complex, most consistent and predictable tax policies in the region. Japanese investors have started focusing on Philippines as an alternative to China and Vietnam. Donors have pledged US$1.1 billion in aid for this year - up from last year’s $950 million - during a two-day conference earlier this month.

Twelve global companies have joined with the Government of Vietnam to launch a public-private task force to advance sustainable agricultural growth in the country.

Social Front:

Government troops have mounted an offensive in Basilan, a predominantly Muslim island province of the Philippines amid intelligence reports that a number of militants allied with the Southeast Asian militant network Jemaah Islamiyah have taken refuge in Abu Sayyaf encampments.

INDIA

Political Front:

BJP and Leftist parties have asked government to reconsider the nuclear legislation. BJP has dismissed reports of differences in the party on the inclusion of caste in census; despite the fact that few of the leaders have expressed support for inclusion on the basis of caste however some others have come up with opposite opinion. During latest meeting between the Ministry of Home Affairs (MHA) and MPs representing the worst Naxal-affected regions, MPs claimed that military operation should not be launched to counter Maoist insurgency.

15 people were injured in clashes between the police and stone-throwing youths protesting against an alleged blasphemous depiction of the holy city of Madina on some products, which disrupted life in parts of Srinagar and Baramulla in north Kashmir.

Geo-strategic Front:

India has strongly condemned Israeli inhuman attack against Freedom Flotilla.

Economic Front:

Gold prices have remarkably increased in Indian markets. Meanwhile industrial production has also grown.

Social Front:

Ministry of Minority Affairs has recently released figures that indicate a 3% increase in job opportunities for minority communities in the last three years. Meanwhile India has been ranked at 128th position on this year’s Global Peace Index (GPI), having slipped six positions.

Most parts of north India received moderate to heavy rainfall, causing the mercury to dip sharply as flash floods triggered by Cyclone Phet inundated low-level areas of Rajasthan. Almost 35 lakh people live below poverty line in Kerala. Meanwhile State energy minister Saurabh Patel has strongly objected to Planning Commission member’s remarks about the plight of minorities in Gujarat, saying Muslims here were in a better position than anywhere else in the country.

SOUTH ASIA

Political Front:

Bangladeshi key opposition parties have decided to launch a joint movement against ruling party because of its anti-national policies. Meanwhile the Nepali PM has agreed to resign on a condition that Maoists should give up arms. The condition was accepted along with a 5 day ultimatum for the PM to resign. Political deadlock however continues in the country.

Geo-strategic Front:

Growing Chinese relations with Bangladesh remained significant.

Economic Front:

Bangladesh is to sign a Free Trade Agreement with India in order to narrow the huge trade gap between the two countries. Meanwhile the Sri Lankan economy has improved, recording better results and showing 6% economic growth in the first quarter.

Social Front:

Government of Bangladesh has been criticized for curbing freedom of expression.

AFGHANISTAN

Political Front:

Afghanistan’s President Hamid Karzai has ordered a review of all suspected Taliban fighters imprisoned in Afghan jails and said those held for dubious reasons should be freed.

Afghanistan's interior minister and the head of the National Directorate of Security have both resigned over attacks that marred the opening day of the peace jirga. Hamid Karzai however faced criticism for accepting resignation of these two officials. Meanwhile Taliban have rejected the three days peace jirga on the ground that it did not come up with any new proposal. An Afghan and international operation to clear Taliban from two districts of southern Ghazni province has begun.

Geo-strategic Front:

Afghan President has called for greater coordination between regional countries in the war on terror. Russia has rolled out a global initiative to stem Afghan drug trafficking to include a comprehensive crackdown on opium poppy growth, but the United States gave a cool reception to the plan.

The British Prime Minister has ruled out sending any more troops to Afghanistan, emphasizing the need to bolster Afghan forces to pave the way for the withdrawal of foreign troops. Meanwhile Japan has announced to provide $422 million to Afghanistan over next six months through United Nations agencies.

Economic Front:

Afghanistan has been making efforts to draw up a law to regulate Islamic banking in the country.

Social Front:

According to a top health official about 3,000 people lose their lives every year in Kabul due to pollution-related diseases.

JAPAN

Political Front:

Japan’s new PM Kan has helped his party get people’s favorability. Various surveys have indicated growing popularity of his party among the public.

Geo-strategic Front:

A Senior US security official has appreciated Japan’s PM’s opinion to honor the latest bilateral agreement on the Futenma airfield relocation within Okinawa Prefecture.

Economic Front:

Economists have expressed positive hopes about Japan’s economic growth during Kan’s era. Japanese corporate bankruptcies fell for a 10th month in May, extending the longest streak of declines in five years, as the nation’s economic recovery helped more firms stay afloat.

Meanwhile Aluminum buyers in Japan have won a reduction in the fee charged by producers for a second straight quarter as Asian supplies increased on shipments from China and the Middle East.

Social Front:

Japanese Health minister has dropped the idea of increasing the child allowance to 26,000 yen (about $280) per month in fiscal year 2011. The total cost at that rate would be about 5.4 trillion yen a year.

KOREA

Political Front:

United States has started considering new options to punish North Korea beyond UN over the issue of allegedly sinking a South Korean ship.

Meanwhile North Korea's rubber-stamp parliament named leader Kim Jong-il's brother-in-law to the post of vice chairman of the National Defense Commission.

Geo-strategic Front:

A South Korean space rocket carrying a scientific satellite exploded two minutes into its flight in the second failure in two tries to put a payload in orbit.

North Korea has assured China that it would punish those responsible for shooting dead three Chinese nationals near the two countries' border and vowed to prevent any repeat.

Meanwhile South Korea and the US have confirmed that North Korea supplied Iran with submarines several years ago, showing that military exchanges between the two countries have reached a higher level.

Economic Front:

South Korea’s unemployment rate declined in May to the lowest level since October 2008 as the nation’s strengthening economy prompted companies to hire. Production at Hyundai Motor's (005380.KS) Indian plant was halted by a workers' strike for three days. Meanwhile, Indian carmakers asked government to intervene in order to resolve this issue. As a result strike ended and normal operations got resumed.

Social Front:

South Korea approved two shipments of baby formula for North Korean infants despite rising tensions between the neighbors after Seoul accused the North of sinking one of its naval vessels.

CHINA

Political Front:

Recently published White Paper on Chinese government’s Internet Policy has created suitable conditions for public to assess government’s performance.

Geo-strategic Front:

United States has asked China to release those being arrested at Tiananmen Square. In response China has asked US to abandon ‘rude interference’ in internal matters of China as it would spoil relations between the two countries. Meanwhile US arms sale to Taiwan has also been regarded as hindrance in the way of growing Sino-US ties.

Chinese collaboration with Egypt, Vietnam, Uzbekistan, Kazakhstan, Russia, Myanmar, Sri Lanka, Turkey, Cyprus, Pakistan, Iceland and New Zealand also remained significant.

China seems to be quite optimistic about growth of Sino-Japan relations. Meanwhile the nation has also urged the international community to resolve the Iranian nuclear issue through negotiations.

Economic Front:

Investors’ confidence in Chinese markets has remarkably increased. Chinese exports have also witnessed considerable growth. In the meantime stock exchange remained fluctuating.

Employees at Honda Factory launched a protest for increase in wages. Meanwhile World Bank has approved loans for sustainable development of Chinese rural areas.

Social Front:

China's central authorities have set down a more open policy to attract top-notch foreign talents to help promote the economic and social development and global competitiveness of the nation. Meanwhile an increase in Chinese labor strikes against companies being owned by foreigners has been observed.

Infectious diseases have widely spread in Mainland China.

Senior Chinese leader Zhou Yongkang has stated the need for sound and fast economic growth as well as social harmony and stability in China's ethnic minority areas.

Also Chinese cabinet has approved guidelines to enhance forest protection and to curb river pollution. Chinese government has announced its plan to make internet accessible to 45% of its population within next five years. Meanwhile computer crimes have remarkably increased in China. §

________________________________________________________

Business and Politics in the Muslim World (BPM)refers to the project entitled, "Globalized Business and Politics: A View from the Muslim World.' The blog development project has been undertaken and developed jointly by the Gilani Research Foundation and BPM as a free resource and social discussion tool.

Please Preview your comments before posting.

Zone 1- Asia Summary- Week # 122

Week # 122, Dated 29^th May- 4^th June 2010

TURKEY

Political Front:

Despite government’s efforts to resolve Kurdish issue tension still prevails between Kurdistan Workers’ Party and security officials. Meanwhile in Southeastern region 6 soldiers were killed and a few others were injured as a result of armed clash between PKK and Turkish soldiers.

Geo-strategic Front:

As a reaction to the recent attach by the Israeli forces on Freedom Flotilla carrying humanitarian aid for Gaza, Turkey called back its senior diplomat from Israel and warned to cut off all sort of diplomatic ties unless the later apologizes. However some defense related projects with Israel haven’t been cancelled yet but all water and energy projects have been suspended. The Civil society has announced to launch a rally in the Golan Heights that would continue till aid reaches the Palestinians.

Turkey has expressed keenness to accelerate its economic activity in Iraq. Meanwhile Turkish close collaboration with Saudi Arabia, Egypt and Azerbaijan in various sectors remained significant.

Economic Front:

Turkey has earned $1.1 billion from hazelnut exports in the first nine months of the export season that began in September 2009. Meanwhile Turkish exports increased by 24.8 % to 9 billion U.S. dollars in May 2010 compared to May 2009.

Social Front:

Amnesty International (AI) has noted little progress made on enhancing human rights protections in Turkey.

GCC

Geo-strategic Front:

The Gulf Cooperation Council (GCC) too has strongly condemned Israeli "criminal aggression" against the freedom Flotilla which was destined to deliver humanitarian aid to the Palestinians in Gaza Strip. GCC has also asked international community particularly UNO to take serious action against Israel.

Officials from the UAE and the GCC nations assembled last week in a seminar to discuss issues relating to the implementation of legislation regarding nuclear security, safety and safeguards.

Economic Front:

China has expressed serious interest in making a Free Trade Agreement with GCC. Two-way trade between China and the Middle East has tripled in the last five years to $ 107 billion in 2009. Chinese companies have also become more active in the Middle East, especially in the infrastructure sector, winning $ 2.1 billion worth of the construction deals in the UAE alone in 2008.

Islamic loan volume has exceeded $ 5.66 billion (Dh20.78bn) in Saudi Arabia during the May 2009 to May 2010 period. The Economic Development Board (EDB) and Greater Paris Investment Agency have signed a deal to promote Bahrain and France as business hubs and boost investments.

Social Front:

Gulf countries mainly Oman made preparations last week to counter expected cyclone. Meanwhile heavy rains have also hit some areas of Oman.

Oman’s labor official has urged private companies in the country to reduce dependence on expatriate manpower. He further asked them to concentrate more on workers’ safety and occupational health. Meanwhile the number of illegal workers in Bahrain has dropped by 5,000 in the last three months.

FERTILE CRESCENT

Political Front:

In Egypt the ruling National Democratic Party (NDP) candidates got a sweeping majority by winning 60 out of 74 seats in the Shura Council mid-term elections. However the Muslim Brotherhood (MB) ran 15 candidates but could not win any seats. Human Rights Groups have claimed that irregularities have been observed in the elections.

Meanwhile proposed Reforms in Lebanese Electoral laws have yet to be enforced.

Geo-strategic Front:

GCC, Turkey, Palestine, Egypt, Lebanon, Pakistan and Iran are the main Muslim countries that strongly condemned Israel following the brutal attack against Freedom Flotilla. Meanwhile US, UK, EU, China, Africa and UNO have also criticized Israel’s use of force.

Nearly 190 nations have agreed to a declaration that pressures Israel to join the nuclear Non-proliferation Treaty (NPT) and calls for a 2012 conference on nuclear weapons in the Middle East.

A war of words over control of the Nile has broken out between Egypt and countries upstream complaining they are denied a fair share of the river's water. Opposite political parties have entered into negotiations in order make coalition government however haven’t reached at conclusion till now. Meanwhile Iraqi Supreme Court has approved final results of March 7 elections.

Economic Front:

Climate change in Egypt seems threatened to cut key agricultural crops, force millions to migrate, flood or alter tourism destinations, and dramatically cut water supplies.

Iraqi Oil Minister has started talks with Syria on the possibility of resuming oil exports via the pipeline and the construction of new lines to ferry Iraqi oil and gas via Syria.

Meanwhile the Lebanese Finance Minister has urged investors to explore the great investment opportunities in Lebanon.

Social Front:

An Egyptian court has ordered the government to consider revoking the citizenship of Egyptians married to Israelis if the marriage posed a threat to Egypt's national security.

Egyptian Minister of Communications has announced that Arabic, spoken by about 280-million people worldwide, would soon appear in domain names and Web addresses.

CENTRAL ASIA

Political Front:

The Azerbaijani draft military doctrine has been discussed at a meeting of a relevant committee of the Parliament.

Kazakh President Nursultan Nazarbaev has rejected a draft law to make him "Leader of the Nation" and grant him special powers for life if he resigned.

Seven residents of a northern city in Kyrgyzstan have launched a hunger strike to demand that all associates of ousted former President Bakiev be dismissed from official posts in the region. In the meantime supporters of the former Mayor in the northern region launched demonstration against his dismissal.

Turkmen President has been ranked among the heads of the most repressive countries.

Geo-strategic Front:

Azerbaijan has strongly condemned Israeli act of aggression against Freedom Flotilla.

While discussing close Russian-Azeri ties speaker of Azerbaijan emphasized that both the countries do not have any unresolved issue. Despite the fact that Azerbaijan denies any news regarding US intention to open military base in the country, some of the newspapers including New York Times have reported US interest in doing so. Meanwhile the U.S. military has stopped refueling tanker planes at its Manas air base in Kyrgyzstan due to the issue of fuel prices.

A human rights organization has indicated that a Tajik citizen wanted by the Uzbek authorities for terrorism has been detained in southern Kazakhstan.

Economic Front:

Azerbaijan’s President has announced his plan to produce some 52 tons of oil and 30 billion cubic meters of gas this year.

A senior U.S. envoy urged Azerbaijan and Turkey to sign a long-awaited gas-transit deal.

Meanwhile the Kyrgyz political condition has started affecting the country’s economy.

Social Front:

A jailed Azeri journalist has announced hunger strike to demand authorities comply with a ruling by the European Court for Human Rights to release him from jail.

Meanwhile the Karabakh Freedom Organization held a protest outside the Israeli embassy in Baku.

A regional leader of Tajikistan's Islamic Renaissance Party has been charged with human trafficking.

An art exhibit in Ashgabat for a well-known Turkmen artist has been canceled by Turkmen authorities without explanation.

The independent Tashkent-based human rights activist Tatiana has been invited for interrogation with one of the district investigator in Uzbekistan.

IRAN

Geo-strategic Front:

Iran has strongly condemned Israel for launching an inhuman attack against Freedom Flotilla and asked the Muslim world to support Palestinians.

Former Secretary of State Colin Powell has said that proposed stricter United Nations sanctions won’t bring an end to Iran’s nuclear program.

Meanwhile the Head of Japan-Iran Friendship Group Masahiko Komura in a meeting with visiting Foreign Minister Manouchehr Mottaki in Tokyo stressed the right of all signatories to the Non-Proliferation Treaty (NPT) to acquire and use nuclear technology for peaceful purposes.

Economic Front:

The total value of Iran’s exports to Turkey would soon reach 8.8 Billion dollars. Meanwhile Iran and Lebanon have signed an economic cooperation act. Also Iran’s growing ties with African countries remained significant.

Iran has expressed readiness to export natural gas and electricity to Pakistan. Meanwhile Iranian Minister of Commerce has declared western world’s sanctions against shipping industries to be futile.

Social Front:

Iran and Iraq have agreed to fight against dust pollution.

According to reports only 3% of Iranians living abroad have criminal record however rest of 97% hold high profile economic positions.

EAST ASIA

Political Front:

Indonesian President has asked his countrymen to put their country before race and religion.

Dr. Mahatir Mohammad has requested Malaysians to provided undivided support to PM Najib that would enable him to boost country’s economic development. He also asked Malays to get united in order to regain their political power.

In response to various offers made by the international community to help Thai government to over come ongoing political crisis Foreign Minister claimed that his government would cope with these issues without foreign intervention.

Geo-strategic Front:

Close Sino-Cambodian ties seem to be significant at geo-strategic front. Apart from various aid packages, China has recently promised to provide more than 250 new military trucks to Cambodia.

Economic Front:

On one hand energy exports have been contributing a lot in Indonesian economic growth. However energy demand has been increasing rapidly in the country because of increase in population and change in their living standards. Besides that environmental campaigners have been raising their voice against country’s trade policy.

Malaysia has been planning to increase investment in Indonesia for mutual benefit.

Thailand has refrained from joining Malaysia, India and Australia in raising borrowing costs this year even as a rebound in exports helped the economy expand the most in 15 years last quarter. Inflation in Thailand accelerated for the eighth consecutive month in May, driven by higher food and fuel prices.

A recently released study in Vietnam indicates that Singapore has been ranked the best place to do business in the world, but barriers remain for the rest of ASEAN. Vietnam’s PM has asked the central bank to implement measures to reduce interest rates and help the country achieve economic growth of 6.5 % this year.

Princess of Brunei has stressed the importance for Small and Medium Enterprises (SMEs) to seek strategic alliances and enter into viable partnerships with foreign companies, to further succeed in promoting halal products and Brunei's Halal Brand.

Social Front:

The Philippines government and Muslim rebels have pledged to continue working towards a peace deal as they ended a final round of talks under President Gloria Arroyo's outgoing administration.

Meanwhile Floods have stalled traffic in some areas of Philippines.

SOUTH ASIA

Political Front:

A court in Bangladesh has thrown out a corruption case that accused Prime Minister Sheikh Hasina of unnecessary spending.

Bangladeshi authorities have jailed 54 activists of the largest Islamist party Jamaat that had planed a rally to oppose the trial of those accused of genocide during the 1971 'Liberation War'.

In Nepal the CPN-UML has recently claimed that Prime Minister would step down only after the guarantee of past agreements on peace process and Constitution-writing.

Geo-strategic Front:

Bangladesh, Maldives and Sri Lanka have strongly condemned Israeli aggressive attack against Freedom Flotilla.

Many analysts have claimed that in order to balance the effect of China in the region India has been pressurizing Sri Lanka to sign trade deal with her.

Economic Front:

The Asian Development Bank (ADB) has signed an agreement with the government of Bangladesh to provide $266 million in loans to help the country address its natural gas supply constraints, and thus spur economic growth and reduce poverty.

China has announced to grant an aid of US$ 7.3 million to Maldives. Australia has also expressed interest in enhancing economic ties with Maldives.

Gold prices have increased in Nepal. The Nepali government has proposed special programs worth 3.71 billion Nepali rupees (some 50 million U.S. dollars) for the coming fiscal year to boost agriculture production to deal with widening food deficit in the country. India has expressed readiness to improve access for Sri Lankan goods and services to its markets by creating mechanisms like common standards and recognizing professional certifications.

Social Front:

Bangladeshi government blocked face book in order to protest against blasphemy. Meanwhile a pro-opposition newspaper was shut down and its editor got arrested over fraud charges.

An explosion in a transformer resulted in death 100 people while leaving many others injured in the capital of Bangladesh.

The Bangladeshi government has approved legislation mandating eight years of compulsory free schooling for all children, replacing the current five-year minimum. All the while Science, English and Computers have been made compulsory even in Religious Islamic schools.

Nepali government has decided to ban smoking in restaurants, bars and other public places. Meanwhile tourist arrivals in Nepal by air in May have increased by 6 % to 26,634 compared to the same month last year. The Sri Lankan government has issued a new deadline to resettle tens of thousands of internally displaced people (IDPs) who are still living in camps.

INDIA

Political Front:

The Left parties have strongly condemned Israeli attack against flotilla of six ships carrying humanitarian aid to Gaza. The CPI (M) has also asked the Government of India to officially condemn this brutal and inhuman act. The party further asked the government to work actively with other countries from the non-aligned nations in the United Nations and other bodies to force Israel to lift the illegal siege.

Indian Parliamentary Affairs Minister has extended full support to the inclusion of cast in census and negated any apprehension that the demand would lead to a division in society. RSS seem seriously concerned about their escalating image as a terrorist outfit in media and masses. The proved link of its personnel in various bomb blasts and terrorist activities has worried the party and it has decided not to support any of its member involved in such activities.

Meanwhile Maoists blew up a panchayat office building and a godown in Malkangiri district in a bid to prevent security personnel from camping there. Meanwhile government has asked concerned states to enhance their police training capabilities in order to cope up with Maoist threat.

Regional Front:

Shibu Soren has resigned as Jharkhand Chief Minister after failing to get the support of Congress and its ally JVM (P) ahead of trust vote in the Jharkhand assembly. As a result Jharkhand came under Central rule with President Pratibha Patil accepting a recommendation of the Union Cabinet after the Congress and the BJP gave up efforts to form an alternative government following the resignation of Chief Minister Shibu Soren.

Social Front:

Indian Prime Minister has ensured that no untreated waste and industrial effluents would flow into the Ganga River by 2020.

A month after being sentenced to death for the Mumbai terror attacks, Ajmal Kasab has filed an appeal in Bombay High Court challenging the verdict and sought a lawyer from the legal aid panel to argue his case.

Regional Front:

The National Socialist Council of Nagalim has reiterated that Naga-inhabited areas should be integrated just in accordance with the people's aspiration. Government however claimed that integration of Naga-inhabited areas would need consensus among the States concerned, as boundaries would have to be altered. In the meantime Assam, Nagaland and Manipur have strong reservations regarding this issue.

Geo-strategic Front:

China has agreed to take required measures in an effort to resume ties with India.

Canada has regretted the use of the language that “cast false impressions” in the denial of visa to former or serving members of the Indian armed forces and security institutions and assured India that it is reviewing the admissibility policy set forth in the legislation on visa policy. India and the USA have concluded their first Cabinet-level Strategic Dialogue, pledging to deepen ties between two countries for mutual benefit and global stability while committing to work to strengthen global legal regimes against terrorism.

Economic Front:

In India the annual food inflation went up by 0.32 % to reach 16.55 % for the last week. Meanwhile fiscal deficit in the country has increased by 24.89 % to Rs 4, 12,307 crore in 2009-10 compared to the year ago period.

AFGHANISTAN

Political Front

The Afghanistan Independent Human Rights Commission (AIHRC) and members of affected families have called for serious action against NATO-led service-members involved in civilian killings. All the while top Taliban commander has been killed in Kandahar province.

A US military vehicle was partially damaged in a bomb explosion in the restive central province. Besides that a NATO helicopter crashed in southeastern province.

Heads of 28 committees of the Peace Advisory Jirga got elected to officially start and conduct the program. A number of key politicians and jihadi leaders, including President Karzai's principal rival Dr. Abdullah, stayed away from the long-awaited peace jirga in Kabul. Burhanuddin Rabbani, the chairman of the three-day peace jirga urged participants to put aside their political, tribal and ethnic rivalries and seek a sustainable solution to decades of conflict in Afghanistan. Afghanistan's Peace Jirga finally ended after three days with a call for a comprehensive process, including talks with militant groups, to extricate the country from an unrelenting Taliban insurgency and pave the ground for stepped-up reconstruction.

Geo-strategic Front:

US and EU have greatly appreciated Afghanis efforts to hold peace Jirga and also endorsed jirga declaration.

Social Front:

Hundreds of university students launched protest in Kabul demanding the government stop international groups from converting Muslims to Christianity and Judaism. President Karzai has also started paying attention to the allegations that aid groups have been trying to convert Afghan Muslims to Christianity.

CHINA

Geo-strategic Front:

China has urged South Korea and Japan to release tension in the region. Chinese PM during his visit to Japan and South Korea also made a four points proposal to enhance trade with the two countries. Meanwhile Indian President on his official visit to China also emphasized greatly the need to enhance collaboration. At the same time Chinese growing ties with GCC, Tanzania, Mongolia, Myanmar, Kenya, Italy, Uzbekistan, Kazakhstan and Philippines also remained significant.

China and North Korea have strongly condemned Israel for its act of aggression and asked Israel to break blockade against Palestine. China has also urged UN not to take any action that would affect the lives of Iranian people.

Economic Front:

Despite recent gains in China's property stocks, investors remained concerned that uncertain effects of the government's clampdown on property market might lead to further tightening measures.

Manufacturing growth from China to Europe has decreased significantly. Meanwhile China has expressed its intention to stick with opening up of markets.

Social Front:

A senior Chinese official has called for promoting the values of the ‘country's religions’, such as sincerity, harmony, safeguarding the nation and loving the people. §

________________________________________________________

Business and Politics in the Muslim World (BPM)refers to the project entitled, "Globalized Business and Politics: A View from the Muslim World.' The blog development project has been undertaken and developed jointly by the Gilani Research Foundation and BPM as a free resource and social discussion tool.

Please Preview your comments before posting.