Friday, July 30, 2010

Zone 1- Asia Summary- Week # 128

Week # 128, Dated 10th-16th July 2010

TURKEY

Political Front:

More than 5,000 demonstrators clashed with police in the southeastern Turkish city of Diyarbakir after a rally in support of the outlawed Kurdistan Workers' Party.

Geo-strategic Front:

Greece has complained to Ankara about a Turkish naval research ship monitored between the eastern Greek islands of Rhodes and Kastelorizo.

Slovenia has extended enthusiastic support to Turkey in its European Union membership bid. Turkey and Serbia have signed a number of agreements, including one on lifting visa requirements, expanding cooperation between the two countries despite past tensions.

Meanwhile US Secretary of State Hillary Clinton, in a phone conversation with Foreign Minister Ahmet Davutoglu, has urged Turkey to maintain dialogue with Israel.

Economic Front:

Turkey's exports of white meat have increased by 30 % in the first half of 2010 when compared to the same term last year. Also the unemployment rate in Turkey has declined from 14.9 % a year ago and 12.5 % in March. Turkey's current account deficit has increased 84.5 % to 2.9 billion USD in May, 2010 when compared to May, 2009. Istanbul has attracted 4.6 % fewer tourists in the first half of the year compared to one year ago.

Social Front:

New principles determined by a consensus of all national television channels have been proposed for broadcasting news on terror-related incidents and extraordinary events. According to that fear provoking news would be avoided. The State Meteorology Bureau has issued a high temperature alert for the entire country this week. According to the bureau, temperatures are expected to rise by one to three degrees Celsius in most parts of Turkey.

SOUTH ASIA

Political Front:

Most prominent issue in Bangladeshi politics seems to be ongoing debates regarding religious politics. The chairman of the Chittagong Hill Tracts Regional Council called on activities and volunteers to monitor the political situation in Bangladesh and blamed the government for the lack of improvements in the situation of the CHT Leading vernacular daily newspaper in Bangladesh.

Major political parties in Nepal have failed to reach at a consensus regarding transfer of power to the new government. People from Terai region went to the centre in order to get power share in making of the new government.

Sri Lankan police has filed a new case against former army chief and defeated presidential candidate for allegedly employing military deserters.

Geo-strategic Front:

Three East-Asian nations namely, Japan, China and South Korea, have expressed keenness to improve their ties with Bangladesh.

Nepal has criticized UN for supporting Maoists in their demand for integration of rebels in Royal Army. UN however denounced these charges. Bangladesh and Nepal have revived a deal signed more than three decades ago to work out a transit route through which landlocked Nepal can access the Mongla port.

India and China have sealed two separate contracts to build railway lines and communication links in Sri Lanka.

Economic Front:

Nepali Finance Minister has presented the advance budget of Rs.110.21 billion for the fiscal year 2010/11. Nepal has asked New Delhi to lift the ban on the transaction of Indian Rs. 1,000 and Rs. 500 currency notes in the country so as to boost business and easy the hardship of travelers from India.

Social Front:

Bangladesh's highest court has banned punishments handed down by fatwa, or religious edict, after a series of cases of Muslim women who were beaten or caned for religious offenses.

UN rights agency OHCHR-Nepal has expressed concern over threats by Maoists to human rights defenders. A Sri Lankan minister has ended his fast aimed at forcing the UN to abandon a probe into crimes allegedly committed during the final months of the country's civil war.

Sri Lankan government has announced that it would take strict measures to control the spreading of dengue epidemic.

INDIA

Political Front:

Some of the reports have indicated the involvement of senior RSS leaders in a number of blasts. Keeping those reports in mind Congress spokesman has asked BJP to keep distance from such outfits otherwise it would have to pay price. SP supremo Mulayam Singh Yadav has regretted taking support of those responsible for the Babri mosque demolition in the last election and sought pardon of the Indian Muslim community.

Home Minister has claimed that casualties because of Naxals have been more than those because of terrorist activities. He said between 2004 and 2008, the Naxalites had killed about 500 civilians every year. This number rose to 591 in 2009. In just the first six months of this year, 325 civilians have been killed in Naxal violence.

Garment exports from India dropped 2.64 % to $ 10.64 billion in 2009-10 compared to $10.93 billion in the previous financial year. India’s Industrial output rose by 11.5 % in May, growing in double digits for the eighth straight month, on good showing by manufacturing, particularly capital and consumer goods.

As tension still exists in Kashmir hence the Indian government has re-imposed curfew to ease the situation.

Geo-strategic Front:

China has urged India to abide by its commitments to restrict political activities of exiled Tibetans in India.

France has reiterated its support for India's bid for a permanent seat in the United Nations Security Council. Meanwhile the foreign ministers' meetings between India and Pakistan ended without any result mainly because of the blame game.

Social front:

26 years after the 1984 anti-Sikh riots in India, five Sikh high priests have declared it as genocide carried out to eliminate Sikhs from the country.

A recently published survey has indicated that amidst acute poverty across South Asia, the five Indian states of Delhi, Kerala, Goa, Punjab and Himachal Pradesh have the least number of poor people in India.

After the flood claimed 33 lives in Punjab and Haryana and caused an estimated loss of nearly Rs 1,400 crore, a blame game has started between the two agrarian states over the floods.

EAST ASIA

Political Front:

In Malaysia an anti-graft activist who had been investigating some top police officials for their involvement in corruption was attacked and injured.

Malaysian PM has urged the leaders in the Malaysian Indian Congress (MIC), which is a component of the ruling coalition of Barisan Nasional, to stop the internal bickering and change with the times. He also asked them not to create instability.

After surviving Thailand’s 10-week red shirts anti-government protest in May and vote of no confidence last month, the Abhisit administration is currently facing another wave of political uncertainty as his government seems to be challenged by the constitutional court.

Geo-strategic Front:

The United States and Laos have pledged to step up cooperation after their highest-level talks since the Vietnam War.

Economic Front:

Indonesian Finance Minister said that the government would boost food supply to reduce rising pressure from inflation.

Malaysia has been paying special attention to attract investments. Meanwhile Vietnam and EU have expressed interest in boosting economic ties.

Social front:

The Islamic Authority in Indonesia has recently declared that Muslims in the country have been praying in the wrong direction and hence they should change the direction.

Alleging discrimination, a group of 20 ethnic Indians in Malaysia have approached the country’s royal constitutional head for more scholarships and loans to help deserving students pursue higher studies.

CENTRAL ASIA

Political Front:

Another official in Kyrgyzstan's interim government has announced his resignation in order to take part in upcoming parliamentary elections.

Geo-strategic Front:

The presidents of Armenia and Azerbaijan avoided face-to-face talks on the sidelines of an informal summit of seven former Soviet republics held in Yalta.

Two Kyrgyz shepherds were killed and a Kazakh border guard wounded in a shoot-out on the Kazakh-Kyrgyz border. Senior US Advisor held meeting with Kyrgyz President and discussed various issues. UN country team in Uzbekistan has highly evaluated the effective efforts of Uzbekistan in response to the humanitarian crisis, which became a result of the violence in Kyrgyzstan in June and led to mass flow of refugees to eastern regions of Uzbekistan.

Economic Front:

Russia has announced to lend Kazakhstan $700 million to build the third unit of the Ekibastuz GRES-2 power plant. The Federation Council approved the Federal Law "On Ratification of Agreement between the Government of the Russian Federation and the Government of Turkmenistan for the Promotion and Mutual Protection of Investments".

Social Front:

Azerbaijani media reported that several people, including two police officers were injured on July 6 during a large-scale brawl in the village of Shotlanly between local residents and internally displaced persons (IDPs) recently relocated there.

The office of Kyrgyzstan's prosecutor-general has sent a complaint to Kazakh authorities about two journalists from regional Internet sites. The complaint says journalist Asror Muminov and website owner Valery Khlyupin were inciting ethnic hatred by writing and posting an article on centrasia.ru on July 3 that claimed "Kyrgyz were killing Uzbeks even in mosques" in the southern city of Osh last month, when there were clashes between the Kyrgyz and Uzbeks resulting in hundreds of deaths.

The Red Cross has warned that the fate of missing people has renewed tensions in southern Kyrgyzstan. Turkmen President has voiced support for the creation of new political parties as well as private media.

GCC

Political Front:

Various political parties seem to be keen to contest upcoming parliamentary elections in Bahrain.

Geo-strategic Front:

Saudi civil airliner touched down in the main southern Iraqi city of Basra on the first such flight between the neighboring countries since Iraq’s 1990 invasion of Kuwait. Situation at Iraq-Kuwait border remained normal as Iraq has assured to abide by the UN Resolution.

Oman has expressed keenness to enhance ties with India. The European Union (EU) and the Gulf Cooperation Council (GCC) have agreed to hold an "economic dialogue" every year to boost and expand economic and trade cooperation and relations between the two major regional blocs.

Economic Front:

Saudi Arabia’s Shura Council has approved the 9th Development Plan with a margin of just one vote after 75 members voted for the plan while 41 others opposed it. The plan, prepared by the Ministry of Economy and Planning, includes priorities to continue improving citizens’ standard of living, develop national manpower, achieve balanced development in different regions, develop the national economic structure and upgrade the competitiveness of national products in national and international markets.

EU has been enhancing economic ties with different countries of GCC mainly Saudi Arabia and UAE. Oman and India have signed agreements to enhance economic cooperation. Saudi Arabia, Qatar and Iraq have also enhanced cooperation in economic sector.

Social Front:

The six-nation Gulf Cooperation Council (GCC) has finalized a plan to set up a human rights panel in the region.

AFGHANISTAN

Political Front:

As many as 111 candidates have been disqualified from contesting the second parliamentary election in Afghanistan since the overthrow of the Taliban regime.

Seven International Security Assistance Force (ISAF) soldiers were killed in separate attacks in southern and eastern Afghanistan. Amidst tensions NATO supported the idea of the establishment of a supportive force tasked with maintaining security in areas regular security forces could not access.

Geo-strategic Front:

The Afghan government and some political analysts have strongly condemned a former US diplomat's remarks in which he said a de facto partition of Afghanistan was the best option for the United States and its allies.

Economic Front:

The minister of agriculture, irrigation and livestock has announced an ambitious program worth $3 billion to improve the living conditions of rural families and farmers. Meanwhile the Afghanistan Chamber of Commerce and Industries (ACCI) called upon Pakistan to sign the Afghanistan-Pakistan Transit Trade Agreement (APTTA) at Kabul conference, held last week, July 20.

Increased demand for Afghan currency has seen it rise against the US dollar and Pakistani rupee leading to a reduction in price of commodities.

Social Front

Various human rights groups as well as the US have stressed that ‘women issues’ would be a priority in any political deal with the Taliban.

Logar province in central Afghanistan was declared poppy-free five years ago, but since then the number of drug addicts has shot up.

Meanwhile Japan has agreed to spend one million US dollars on various development projects in Afghanistan.

KOREA

Political Front:

In South Korea the court has laid down guilty verdicts to people indicted for spreading messages in support of their favorite election candidates through the micro-blogging service Twitter.

Geo-strategic Front:

North Korea has expressed readiness to rejoin the six-party negotiations on its denuclearization. A working-level meeting scheduled between the United Nations Command and North Korea was postponed at Pyongyang's request. Officers from the U.S.-led United Nations Command (UNC) and North Korea had to discuss matters regarding the holding of generals' talks on the sinking of the South Korean Navy ship Cheonan but North Korea cancelled the meeting.

A group of scholars have called for the South Korean government to push through an amendment to the Constitution, aimed at reducing presidential power.

Economic Front:

South Korea’s 30 major industrial groups have announced their plan to invest 22.4 trillion won ($18.5 billion) by 2013 in clean energy, including batteries and solar power. Posco, Asia’s third-largest steelmaker, posted its third straight gain in quarterly profit after increasing prices and production on revived demand from automobile and appliance makers.

South Korea’s unemployment rate rose for the first time in five months in June as government employment programs began to wind down. The jobless rate climbed to 3.5 % from 3.2 % in May, which was the lowest level since October 2008.

Social Front:

A total of 232 people attempted suicide in Seoul's Han River in the first half of the year.

JAPAN

Political Front:

Political leaders made last-minute efforts to drum up voter support in some of the most hotly contested constituencies in recently held Upper House election in Japan. The Democratic Party of Japan-led ruling coalition lost its Upper House majority as Prime Minister Naoto Kan's sudden emphasis on tax reform pushed voters back to the Liberal Democratic Party. Of the 121 seats up for grabs, the DPJ secured 44, compared with 51 for the LDP. Despite defeat of the ruling party; 73% of the people being surveyed have asked PM not to resign from his position.

Economic Front:

Election results have directly affected various economic sectors of Japan. Toyota Motor Corp. and Nissan Motor Co. have decided to invest a combined $1.2 billion to expand production in Latin America amid growing regional and export demand.

Social Front:

Increasing numbers of counterfeit Japanese goods such as watches and cosmetics have been spread on Chinese online shopping sites.

Hundreds of thousands of people in western and southern Japan have been urged to evacuate their homes as heavy rains caused mudslides and flooded houses, killing two and leaving some missing.

CHINA

Political Front:

A recently made regulation extends the list declarable assets for officials and introduces dismissal as the maximum penalty for failing to report assets honestly and promptly. Nowadays thousands of Chinese have joined a heated discussion about new rules that are designed to curb corruption and increase transparency about the assets of government officials.

Geo-strategic Front:

China has denounced US allegations regarding human rights issues over there. Meanwhile China has also emphasized on the need to resume six-party talks. China has urged India to honor its commitments and cautiously handle issues related to the exiled Tibetans in India.

The Chinese have been paying attention to enhance ties with various countries including Serbia, Argentina, Canada, Iceland, Ukraine, Singapore, Germany, Ecuador, Qatar and ASEAN.

Economic Front:

Growth of China's foreign exchange reserves has been slow as the total reached 2.4543 trillion U.S. dollars by the end of June. The value of welfare lottery sales in China as of the end of this May has reached almost 450 billion Yuan (66 billion U.S. dollars), since the welfare program was first launched 23 years ago, helping to raise about 149 million Yuan for the public welfare fund. China's exports for June hit a record high since July 2008 and the trade surplus also surged to the highest this year. China has said its economic growth slowed in the second quarter of the year, as massive stimulus spending was scaled back and moves to rein in soaring property prices started to bite. Its GDP however maintained double-digit growth for the third quarter in a row, expanding at an annual rate of 10.3% in the three months to June. China's consumer price index (CPI), the main gauge of inflation, rose 2.9 % year on year in June. China's fiscal revenue rose 27.6 % in the first six months of 2010 from a year earlier to 4.34 trillion Yuan.

At the same time increase in the stock exchange of Hong Kong and Macau has been observed.

Social Front:

Chinese President has urged the Communist Party of China and the whole country to give priority to education in their work, in order to build a moderately prosperous society, push forward socialist modernization, and achieve the great rejuvenation of the Chinese nation. Chinese Foreign Minister has called on all countries not to provide stage for Tibetan separatists, saying Tibet-related issues are purely China's internal affairs.

China and the European Union have strengthened their cooperation in space technology to better monitor climate change and improve the ability to prevent and control natural disasters. China has approved renewing the operation license of Google's China web site. §


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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.
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Saturday, July 24, 2010

Zone 1- Asia Summary- Week # 127

Week # 127, Dated 3rd – 9th July 2010

TURKEY

Political Front:

In Turkey government officials have declared negotiations to be the prime means of dealing with the PKK terrorist issue. Meanwhile, the ruling AK Party has referred Mayor Halil Bakırcı to the party's disciplinary committee for expulsion for remarks that he made regarding ways to solve Kurdish issue at the end of June.

The leader of Republican People’s Party has announced the rejection of the upcoming referendum on the constitutional amendment law. Three opposition parties have already disagreed with the government’s plan.

The ‘terrorist’ Kurdistan Workers' Party (PKK), in eastern Siirt province attacked Turkish security forces in which two soldiers and three village guards died. Meanwhile, violence erupted in a district of the southeastern province of Hakkari between police and pro-Kurdish groups.

Geo-strategic Front:

The European Union has welcomed the decision of the Turkish Constitutional Court, which annulled several minor articles. Meanwhile, earlier this month the Turkish President and his Iranian counterpart were in Nigeria to attend the Developing Eight, or D-8, summit.

US Secretary of State Hillary Clinton has praised the Armenian government for its willingness to move toward normalization with Turkey and suggested that the ball was in Turkey's court for revitalizing the rapprochement process. She urged Turkey to overcome its reluctance to reopen the border between the two countries, closed because of the Nagorno-Karabakh dispute. The Israeli aid organization Magen David Adom (MDA) has sent a letter to the Turkish Red Crescent thanking the group for its help in the transportation of injured activists who were on board a passenger ship which was part of a Gaza-bound aid flotilla which was attacked by the Israeli navy.

Meanwhile, Turkey has sent 10 tons of relief equipment to Bosnia and Herzegovina where heavy rains have caused floods. Turkey has also extended a 21 million USD financial aid package to Kyrgyzstan.

Economic Front:

Investment in Organized Industrial Zones (OSBs) across Turkey has been on the rise in these recent months. This indicates Turkey’s high growth rate in the first quarter of this year. Turkish tourism sector has boasted a 10% growth rate per annum, which is above the global average. Also, Turkey's industrial production index has increased by 15.6 % from May 2009 to May 2010.

GCC

Geo-strategic Front:

The second meeting of the GCC security media committee drew up a list of recommendations in order to keep the GCC Secretariat up to date with the awareness activities taking place throughout the year.

The recent visit of King Abdullah to the United States has further cemented the existing relations between the two countries. During the meeting in Washington, the two leaders agreed upon the need to press for peace in the Middle East, and also the establishment of a Palestinian homeland. The signing of a number of bilateral agreements and memorandum of understanding between the two countries has broadened the areas of bilateral cooperation by creating 357 joint ventures in the Kingdom worth SR82 billion. The United States is the Kingdom’s largest trade partner and the biggest investor too.

GCC Secretary-General has strongly praised Kuwait's commitment to and support for the Arab World Institute (IMA).

The UK has been actively involved in Bahrain with increased investment in arts and education. British officials have expressed hope in almost doubling the number of schools in Bahrain that are linked with those in the UK. Growing ties with the Sultanate of Oman have also remained significant.

During the recently held talks in Tokyo; Kuwait and Japan reaffirmed their commitment to conclude the bilateral investment deal as soon as possible in order to further promote economic ties between the two countries. The two sides also agreed to further discussion on the deal to resolve their outstanding issues.

Economic Front:

King of Saudi Arabia has ordered a halt to oil exploration operations to save the hydrocarbon wealth of the country for future generations.

The UAE has recently signed an agreement on double taxation avoidance on income with the Republic of Ireland in an order to strengthen its ties and for developing a partnership in areas of common interest with Ireland. According to a report released by Arab Organization for Industrial Development and Mining, Oman’s economic growth rate in 2010 may rise by about 7.3 % compared to 3 % in 2009 and the rate of inflation may reach 5.2 % against 5.3 % in 2008.

Qatar expects to become third largest economy in Gulf region by 2012. Beyond an 18.5% real GDP growth forecast for Qatar in 2010, the highest worldwide, the International Monetary Fund (IMF) forecasts 14.3% in 2011 and 9.2% for the country in 2012.

Social Front:

In a renewed move to cut reliance on foreign workers, the Human Resources Development Fund (HRDF) has trained 139,461 Saudis for employment in different areas. The HRDF has spent more than SR584 million on training and employing Saudis during the first half of this year.

Dubai has denounced the use of full-body scanners at airports due to its customs and ethics.

FERTILE CRESCENT

Political Front:

Former IAEA head El Beradi has filed a petition demanding seven amendments in 3 different articles of the constitution. The Muslim Brotherhood (MB), Egypt’s largest opposition group, has launched a campaign on its website for collection of signatures in support of the National Association for Change’s petition calling for constitutional amendments. Meanwhile the MB is still debating upon whether to participate in the upcoming People’s Assembly (PA) elections or to opt for a boycott, something ElBaradei has called for. Many other opposition groups have also been considering a boycott of the upcoming elections.

In his speech at the Council of Foreign Relations in New York, the Prime Minister of Israel Benjamin Netanyahu said that a peace deal with the Palestinians could be signed by next year. He stressed his own willingness to engage in dialogue, and repeated his call for direct negotiations with the Palestinians though he added that a partner was needed in order to make this happen. He later on met the US President and discussed various issues with him. A recent survey conducted in Gaza and the West Bank showed that only a slim majority supports direct talks with Israel and that most Palestinians want Marwan Barghouti to succeed current president Mahmoud Abbas.

Geo-strategic Front:

Ethiopia, Kenya, Rwanda, Tanzania and Uganda signed the Nile Basin Cooperative Framework that is meant to replace a 1959 accord between Egypt and Sudan that gave them control of more than 90 % of the water flow. Ethiopia however has reassured Egypt that the new pact it signed with four other countries on the sharing of water from the River Nile would not affect Egypt.

Economic Front:

Procter & Gamble has announced its plan to invest over LE 780 million ($140 million) over the next three years for expanding its operations in Egypt. The Institute of International Finance (IIF) indicated that Lebanese authorities missed an opportunity to implement significant fiscal measures during the current favorable economic conditions, since the 2010 budget does not aim for a significant primary surplus through the implementation of long-delayed reforms.

Social Front:

Progressive Socialist Party leader questioned the reason behind granting Arab nationals the right to own property in Lebanon while denying it to Palestinian refugees. A group of democratic Palestinian organizations joined forces in a bid to pressurize the government into passing civil rights amendments to laws restricting the right to work and own property. Gathering outside of the UN headquarters in Downtown Beirut; Palestinian groups issued a memorandum calling for the right to work and own property, as well as for the increase in camp size and the reconstruction of Nahr al-Bared. The memorandum also called for an improvement in relations between the Palestinian and Lebanese people.

CENTRAL ASIA

Political Front:

Tajikistan's Supreme Court has reportedly sentenced two sons of slain Emergency Situations Minister to prison terms of up to 30 years over a charge of ‘anti-government plot’.

Geo-strategic Front:

U.S. Secretary of State Hillary Clinton has visited Azerbaijan to seek a restart of peace talks over Nagorno-Karabakh, to repair frayed bilateral ties, and to press the oil-rich Caucasus nation on human rights. Azerbaijan has denied Armenian claims that Russian President presented his Armenian and Azerbaijani counterparts with a new international plan last month to resolve the conflict over the breakaway Azerbaijani region of Nagorno-Karabakh. Russian President announced that a customs union joining Russia, Kazakhstan, and Belarus has come into effect after the presidents of the three countries signed documents. A delegation of specialists of the European Training Foundation (ETF) has expanded cooperation with Turkmenistan.

Economic Front:

Russia and Kazakhstan have signed agreements on cooperation in civilian nuclear power and hydropower projects in the Kazakh capital, Astana. According to Kyrgyz officials, recent ethnic violence in the south of the country caused some $71 million worth of damage. Russian Duma has ratified agreement on Mutual Protection of Investments with Turkmenistan.

Social Front:

Some 200 protesters in the southern Kyrgyz city of Osh held a protest calling for the "internationalization" of the Kyrgyz army and law enforcement agencies.

IRAN

Political Front:

Iran has accused the US CIA for abducting an Iranian academic. They provided documents to the Swiss Embassy and asked them to hand them over to the US. A senior Iranian legislator has warned that any effort by the foreign countries to inspect Iran's vessels and cargos would be reciprocated. A senior parliamentarian has denied any claims regarding Iran’s interference in the Lebanese domestic affairs. He made the remarks in response to allegations made by certain French diplomatic sources claiming that Iran was involved in recent conflicts between people of South Lebanon and the United Nations Interim Force in Lebanon (UNIFIL).

Geo-strategic Front:

UAE’s envoy to the US has recently claimed that in case of failure of sanctions, force should be used to halt Iranian nuclear program. Iran’s MP condemned his stance and asked the government of UAE to elaborate whether that was his personal view point or he represented his country’s official policy.

A Canadian court found a Toronto man guilty of attempting to export nuclear-related materials to Iran in violation of sanctions. Ayatollah Ahmad Jannati, chairman of the Guardian Council, held meeting with Hezbollah Secretary General Syed Hassan Nassrollah in Beirut. A senior Iranian commander cautioned Moscow to be watchful of Washington's moves, warning that the plots hatched by the U.S. in the region would harm Russia's long-term interests.

As far as sanctions are concerned, China has strongly criticized recently imposed sanctions against Iran and called negotiations to be the only way to engage Iranians. Meanwhile India has also expressed serious concern regarding recently imposed sanctions against Iran. Iran has warned to quit talks if sanctions against it would be strictly implemented.

Economic Front:

The volume of trade between the Islamic Republic of Iran and Uzbekistan would reach from last year’s 600 million dollars to one billion dollars by the end of current Iranian year (ending March 20, 2011). A member of the Iranian parliament warned the West about the heavy costs of the UN anti-Iran sanctions for the western firms. The Islamic Republic of Iran imported above 814,000 tons of wheat from Russia from July 2009 to May 2010. India and Iran held Joint Economic Commission last week to expand economic ties. The chairman of the Iran-UAE Joint Chamber of Commerce stated that in reprisal for freezing 41 bank accounts of Iranian businessmen in the UAE, Iran would limit trade with the United Arab Emirates. The financial exchange between the Islamic Republic of Iran and eight South Asian countries stood at 5.6 billion dollars in the first half of 2010.

Social Front:

The Department of Labor and Employment of the Philippines has signed a bilateral agreement with Iran that provides for the Iranian recognition of the Filipino seafarers’ certificates of competencies. Iran’s Ministry of Culture and Islamic Guidance has released the “Journal of Iranian Hairstyles Approved by the Ministry” to assist discerning Iranian men in appropriate Islamic grooming.

AFGHANISTAN

Political Front:

Fragile security situation has impeded the process of election campaigns in Afghanistan. A number of Wolesi Jirga candidates have violated a regulation of the Independent Election Commission (IEC) regarding the display of campaign posters, billboards and materials.

A Hazara parliamentarian from Kabul has accused the president of lying to the Hazara community during his election campaign. Speaking at a gathering in Pul-i-Surkh locality, a predominated area of Hazara minority Shiite Muslims, Haji Muhammad Mohaqiq said Karzai had promised him during his last presidential campaign to appoint five ministers from the tribe in his new cabinet. He added the president had promised to give two Hazara districts the status of province.

The Afghan government has received no information so far from Pakistan regarding the capture of Talibans supreme leader, Mullah Muhammad Omar. NATO and Afghan forces have captured a Haqqani network militant, responsible for supplying material for roadside bombs.

A NATO air strike killed three civilians, including a woman, in southern Kandahar province. Meanwhile nine foreign soldiers were killed and wounded when Taliban insurgents attacked their base in eastern Kunar province. Six Afghan soldiers were killed when their post came under fire from NATO aircraft in central Afghanistan.

Geo-strategic Front:

NATO has urged Muslim countries to put in more efforts to achieve stability in Afghanistan and help the war-torn country move forward in the reconstruction process. Expressing solidarity with the people of Afghanistan, the Libyan leader, Moammar Gaddafi, has supported the Karzai government's effort at a political solution to the ongoing conflict in that country. Afghan and Japanese officials have discussed various development plans prioritized by the Afghan government for funds being donated by the Japanese government.

Economic Front:

Government revenue has increased 22 % in the first three months of Afghanistan's New Year in comparison to the same period last year. Afghanistan and Pakistan have agreed to expand bilateral trade and signed a Memorandum of Understanding (MoU) for laying a railways track between the two countries. The revenue of Herat customs surpassed 2.8 billion afghanis for three months ending June 21, an increase of more than 24 % over the same period last year.

Social Front:

Farmers in southern Helmand province claimed that foreign troops sprayed chemical on their fields, destroying up to 90 % of this years poppy crops. The provincial authorities in central province have directed people to keep their shops and markets shut during prayers timing. Unemployment has remarkably increased in the country.

Meanwhile the number of girls taking part in sports in the provincial capital of northern Balkh province seems to be on the rise. A total of 48 internally-displaced families, consisting of 264 individuals, have returned from the Mukhtar IDP camp in southern Helmand province to their places of origin in Jawzjan. Hundreds of protesting textile workers ended the blockade of a main highway in northern Baghlan province after an assurance from the authorities to consider their demands favorably. The Afghan government has planed to propose health, education and social projects worth $2 billion at the Kabul Conference on July 20.

SOUTH ASIA

Political Front:

After two years of relative peace under the Awami League (AL) government, Nepal has again witnessed violent street protests in the last few days. Ruling regime and opposition party seem to be at the verge of collision which many analysts assume to be prompted from across the border. As soon as Nepali PM stepped down from his seat, the President gave a deadline to the political parties to form a “national consensus” government. Nepal's political leaders however announced that they would seek to extend the deadline to form a new unity government set by the country's president. Amid the deadlock over government formation in Nepal, Terai-based Madhesi parties have claimed the right to lead a new coalition in a bid to meet the new deadline set by President. Meanwhile Nepal's communist former rebels reached out to other political parties to form a new coalition government. In Srilanka, getting the budget passed was an easy task for the ruling UPFA, having two third majority in Parliament, but the committee stage debate was somewhat a stormy affair with a barrage of opposition criticism leveled at the government for mishandling the economy, curbing media freedom and bungling the country’s foreign relations.

Geo-strategic Front:

Three East Asian countries - Japan, South Korea and China - have expressed their intent to enhance relations with Bangladesh.

Economic Front:

Policy makers in Bangladesh have been reiterating their goal about accelerating the growth rate of the economy from nearly 6% to 8% at the fastest. The government has pledged Rs 800 million to Nepal Oil Corporation (NOC) to finance the import of liquefied petroleum gas (LPG).of plugging the loss coming from LPG by revising its price. Meanwhile the Government of Nepal has launched a tourism promotion campaign called the "Nepal Tourism Year 2011" to revitalize its tourism industry.

Meanwhile according to media reports the Sri Lankan government has failed to understand the serious repercussions of its decision to not to accept the EU conditions that would have extended the GSP+ duty-free trade scheme for another six months.

Social Front:

The International Fund for Agricultural Development (IFAD) and the government of Nepal have signed a loan agreement of 7.6 million U.S. dollars and a grant agreement of 7.6 million dollars aiming to reduce poverty and vulnerability of people living in the hills and mountains through agricultural diversification. Hundreds of Sri Lankan activists led by a Cabinet minister protested at the UN office against a world body panel set up to probe allegations of human rights abuses during the LTTE war.

INDIA

Political Front:

BJP has declared all-India strike called by opposition parties against rising fuel prices. In response, the Union finance minister said that the Centre would not roll back the fuel price hike as demanded by the Opposition and the UPA's key ally, the Trinamool Congress.

Himanshu Kumar, a social activist who is on cycle yatra from Delhi to spread awareness about the struggle of tribals in Chhattisgarh, regarded Naxal fight to be a reaction against government's injustice and discrimination with the community. Meanwhile Central government denounced to deploy army to fight the Naxals and said that Air Force would be used to provide non-combat assistance to Para-military and police personnel operating in the Maoist-hit regions.

Since the killing of civilians by Indian Security forces, protests have erupted in the valley of Kashmir and brought stalemate to normal activities of life. Army has been sent by Central regime at the request of the government of Kashmir. Kashmiri government has imposed restrictions against media and journalist to restore ‘law and order’.

Normal life got disrupted in West Bengal as road and rail services were affected and government offices were closed following a 12-hour shutdown called by non-Congress parties in the country.

Geo-strategic Front:

The Shiv Sena has condemned Union Agriculture Minister and newly elected International Cricket Council (ICC) chief for favoring cricket matches with Pakistan on Indian soil. The Sena referred to Pawar’s comment after becoming ICC chief that the visit of the Indian Home Minister to Pakistan was a good sign for improving Indo-Pak relations and subject to approval of governments of both countries, the ICC would revive Indo-Pak cricket matches.

India has expressed "concern" over China's plans to have a rail link with Pakistan through the Karakoram ranges. India has signed six agreements, including air services and energy pacts, with Iran and both sides have also decided to cooperate closely in stabilizing the violence-torn Afghanistan.

Economic Front:

The Reserve Bank of India (RBI) has hiked the short-term indicative interest rates by 25 basis points to mitigate rising inflation and inflationary pressures. The Central Government has been suffering an annual loss of Rs 1,800 crore on account of thousands of coal mafia, which involve themselves in illegal mining across different states. Indian Food and Agriculture Minister has expressed optimism regarding increase in crops production because of favorable weather conditions and rise in area under cultivation.

Social Front:

BJP has reiterated its stance on inclusion of caste counting in census despite the opposition of RSS on the issue. A recent study carried by the government has indicated that the largest number of NGOs have been working in India.

CHINA

Political Front:

A senior Chinese leader in charge of disciplinary and supervision work has stressed the need for higher-caliber anti-graft officials in the country's fight against corruption.

Geo-strategic Front:

A senior official of the Communist Party of China (CPC) held meeting with a delegation from the Christian Democratic Union (CDU) of Germany and Party of European Socialists respectively. The CPC official vowed to enhance inter-party communication and cooperation with CDU and discussed ways to strengthen ties with Europe.

China has expressed serious concern regarding restoration of stability in Sudan. Meanwhile China has extended full support to Kyrgyzstan in its efforts to maintain law and order in the country. In the meantime China has regarded India as one the key strategic partner. China has also condemned sanctions against Iran.

China seems to be seriously concerned about a scheduled joint naval drill between the United States and the Republic of Korea (ROK) in the Yellow Sea. China has called on the UN Security Council to address the root cause of the armed conflicts in order to better protect civilians in such conflicts. Also China has reaffirmed its stance on the sinking of the Republic of Korea's frigate "Cheonan," saying it will keep communicating with the parties concerned.

The U.S. Treasury Department has declined to label China a currency manipulator.

China’s growing relations with Pakistan, Newzeland, Britain, Canada, Russia, Myanmar, Tonga, Argentina and South Korea in various sectors remained significant.

Economic Front:

Chinese economists seem to be keen on developing various marketing strategies to boost countries’ economy. The central parity of the China's currency Yuan weakened to 6.7733 per U.S. dollar. China's coal imports surged 114.3 % year on year to 68.98 million tons in the Jan.-May period on the back of strong industrial demand. China's automobile sales surged 30.45 % year on year to 7.18 million in the first half of the year.

The European Commission has announced its investment of 10 million euros in China's energy efficiency-focused fund. Chinese vice Premier has called foreign trade companies and relevant government agencies to keep a close eye on the international market and take measures to ensure steady growth of China's foreign trade. The International Monetary Fund has lifted China's GDP growth forecast for 2010 to 10.5 % from the earlier projection of 10 %. Taiwan's exports to the Chinese mainland and Hong Kong have grown by 61.9 % year-on-year to a record 56.75 billion U.S. dollars during the first six months of this year. China has urged India to treat Chinese companies fairly in regard to India's ban on purchases of telecom equipment from Chinese vendors. China's trade surplus fell by 42.5 % in the first six months this year from a year earlier to 55.3 billion U.S. dollars. A delegation from south China's Guangxi Zhuang Autonomous Region ended a five-day visit to Taiwan after reaching investment and trade contracts worth 2.23 billion U.S. dollars.

Social Front:

The Ministry of Housing and Urban-Rural Development has blamed agents for first-tier cities' soaring apartment rents amid intensifying public frustration. A senior Chinese official has called on joint and intensified efforts to investigate and remove public security risks and ensure the lasting social stability. Meanwhile The General Office of China's State Council, the Cabinet, and the General Office of the Communist Party of China Central Committee has recently issued a circular, calling for more progress in the nation's poverty alleviation work.

An online survey in China showed that three out of four people would no longer buy a McDonald's product as it reportedly contains two chemical additives that, if taken in excess, may cause nausea and vomiting.

The World Bank has approved loans totaling 260 million U.S. dollars to China for flood control and environmental improvement projects. China has renewed Google's license to operate its website, preserving the search giant's toehold in the world's most populous country after the company gave up an attempt to skirt Beijing's censorship practices. Chinese leaders have called for more efforts to develop the country's vast west regions and raise people's standards of living.

Hong Kong

Hong Kong and the Republic of Korea (ROK) have signed a deal to strengthen collaboration in education and promote educational exchange. The Securities and Futures Commission (SFC) of Hong Kong has suspended Godwin Chu Kwok Shing for 18 months from June 30, 2010 to Dec. 29, 2011 following the determination of the Securities and Futures Appeals Tribunal (SFAT).

KOREA

Political Front:

South Korean President Lee Myung-bak has called for a thorough investigation of an alleged illegal surveillance case involving an official of the Office of the Prime Minister. The opposition, Democratic Party has been facing challenge of split as sharp division has erupted among mainstream leadership and reform-minded young people.

Geo-strategic Front:

UN has condemned an attack leading to the sinking of South Korean ship but avoided blaming North Korea in this regard. China has appreciated UN’s stance and expressed hope that it would diffuse tension between North and South Korea.

Economic Front:

South Korean based Samsung Electronics Co. has posted record earnings in the previous quarter, fueled by a recovery in demand for computer-memory chips that drove up prices. Second-quarter operating income rose 87 % to 5 trillion won ($4.1 billion) from 2.67 trillion won a year earlier as sales surged by 14 %. Hyundai Engineering & Construction Co. has won a $1.13 billion contract to build a port on Kuwait’s Bubiyan Island.

The IMF has raised its 2010 economic growth forecast for South Korea by more than 1% age point, and recommended the country's central bank to gradually raise interest rates.

Social Front:

About one third of middle class families in Seoul suffered a drop in their income in the fallout of the 2008 global financial crisis, and more than half of them have been forced to reduce spending. Five South Korean websites including the website of the presidential office were attacked. Internet attacks on government Websites originated from some of the same zombie computers used in massive hacker attacks a year ago that were automatically reactivated on the same day.

JAPAN

Political Front:

Democratic Party of Japan kingpin Ichiro Ozawa has submitted a statement to an independent judicial panel denying involvement in any irregularities in connection with funding reports.

Japanese Prime Minister Naoto Kan’s approval rating dropped by 5 % points to 45 % ahead of the July 11 upper house election.

Geo-strategic Front:

Russia has conducted a military drill on Etorofu, one of four Russian-held islands off Hokkaido claimed by Japan, despite a request by Tokyo not to do so.

Economic Front:

Bank of Japan Governor has said that exports demand would keep expanding Japanese economy. Toyota Motor Corp. filed with the transport ministry for a domestic recall of more than 90,000 cars spanning eight models, mostly the luxury Lexus brand, due to an engine defect. Along with simultaneous recalls abroad, some 270,000 vehicles would be affected. Sales of new imported vehicles, including those produced at Japanese automakers' overseas plants, increased 11.7 % from a year earlier to 97,282 vehicles in the first half of this year. Toyota Motor Corp. has announced its plan to expand production capacity in China over the next 12 months as rising demand outweighs concerns that labor costs in the nation would increase.

Social Front:

Suicide rate between January and June has dropped by 7.4 % from a year earlier to 15,906. About 57 % of homeless people have expressed a desire to vote in an election. §


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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.
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