Economy and Finance

Image credit. Peterson Institute for International Economics.

Trump Fighting the Wrong Battle in A Tit-For-Tat Confrontation with China

Viewpoint by Jonathan Power

LUND, Sweden (IDN) – In Sir Arthur Conan Doyle’s “The Hound of the Baskervilles”, Sherlock Holmes lectures Watson on the unlikely subject of free trade.

Holmes: “Capital article this on free trade. Permit me to read you an extract from The Times: ‘You may be cajoled into imagining that your own special trade or your own industry will be encouraged by a protective tariff, but it stands to reason that such legislation must in the long run keep wealth from the country, diminish the value of our imports, and lower the general condition of life in this island.’”

: Jonathan Power; OPINION; 31 December 2019

‘The Eco’ Replaces West Africa’s Colonial Era Currency

By Lisa Vives, Global Information Network

NEW YORK (IDN) – A decades-old reminder of the years of colonial French rule finally ended this month with the renaming of the colonial era currency – the CFA franc – to a name of independence – the Eco.

The announcement was made in Cote d’Ivoire (Ivory Coast) by Ivorian President Alassane Ouattara. It was seen as an effort by France to reshape its relations with its former African colonies.

: Global Information Network; Africs; 25 December 2019

Image courtesy of Stephff | The Korea Times

The China-India Double Helix in the Reemergence of Asia as World’s Dominant Power

Viewpoint by Manish Uprety F.R.A.S. and Jainendra Karn *

NEW DELHI (IDN) – It has been posited that in the 19th century, the world was Europeanized. In the 20th century, it was Americanized. Now, it is being Asianized. But is the story of the Asian success as blossoming as it looks.

There are immense challenges across the contemporary world. Merkelisation has caused a social crisis in the European Union which has been exacerbated by BREXIT, and Francis Fukuyama, the noted author of The End of History expresses his fears for a U.S.-China war.

: Kalinga Seneviratne; OPINION; 27 November 2019

Photo credit: Roscongress | Vyacheslav Viktorov

Russia and Africa Resolved on Concrete Actions in Trade and Investment

By Kester Kenn Klomegah

MOSCOW (IDN) – After the first Russia-Africa Summit in the Black Sea city Sochi on October 23-24, Russia and Africa have resolved to move from mere intentions to concrete actions in raising the current bilateral trade and investment to appreciably higher levels in the coming years.

As a first step, Russia plans to offer trade subsidies and investment guarantees as an emergency support for Russian companies to penetrate into African market, part of the strategy for strengthening economic ties between Russia and Africa, according to a report by the Ministry of Foreign Affairs.

: Kester Kenn Klomegah; THE WORLD; Russia; 07 November 2019

UN Warns of Damage US-China Trade War Is Wreaking

By Jamshed Baruah

GENEVA (IDN | UNCTAD) – The ongoing U.S.-China trade war is not only hurting both countries but also affecting the stability of the global economy and jeopardizing future growth prospects, warns the UN in a new paper and adds that while China is losing, other economies – such as Taiwan, Mexico, the European Union and Viet Nam – are gaining.

The study, Trade and trade diversion effects of United States tariffs on China, shows that the trade war has resulted in a sharp decline in bilateral trade, higher prices for consumers and trade diversion effects such as increased imports from countries not directly involved in the trade war.

: Jamshed Baruah; UN INSIDER; 05 November 2019

Trump’s Absence at ASEAN Summit Shifts the Focus to Asian Giants

By Kalinga Seneviratne

SINGAPORE (IDN) – Ever since the U.S. was invited to join the East Asia summit that is held in conjunction with the annual ASEAN (Association of Southeast Asian Nations) Summit, media and conference attention has been focused on what the President of the U.S. says.

But this year, President Trump boycotting the Summit and sending a low-level delegation led by its newly appointed national security adviser Robert O'Brien has helped to focus attention on the role of the two Asian giants – India and China – in developing a regional trade and security architecture.

: Kalinga Seneviratne; THE WORLD; Asia-Pacific; 04 November 2019

Opportunity Beckons as Asia Reemerges as the World’s Dominant Economic Power

Viewpoint by Dr Palitha Kohona

The writer is former Ambassador and Permanent Representative of Sri Lanka to the United Nations, and former Foreign Secretary.

It has been said that in the 19th century, the world was Europeanized. In the 20th century, it was Americanized. Now, it is being Asianized. Sri Lanka has another opportunity, through the astute management of its policies, both internal and external, to be part of the blossoming Asian success story.

: Dr. Palitha Kohona; OPINION; 03 November 2019

Photo: Seme Border between Nigeria and Benin. Source: Vanguard.

Nigeria and Neighbouring Benin Caught in Trade War

By Hans-Joachim Preuss *

COTONOU (IDN-INPS) – Trade wars are currently in vogue. The most prominent – and most dangerous for the world economy – is undoubtedly between the U.S. and China. But there are more and more protectionist countries, while neighbours are increasingly at odds with each other. This is no different on the African continent. In August, for example, Nigeria closed its external borders for many goods from neighbouring Benin – overnight and without notice.

: Africa & ME Editor; Afrca; 09 October 2019

Photo: Tackling vulnerabilities, building resilience. Credit: UNCTAD.

UN Calls for A Global Green New Deal and Radical Reforms

By Jaya Ramachandran

GENEVA (IDN) – In a bold move, new UN report has proposed a series of reform measures to make debt, capital and banks work for development and finance a Global Green New Deal generating a net increase in global employment of at least 170 million jobs, with cleaner industrialization in the South and an overall reduction in carbon emissions by the target year of the 2030 Agenda for Sustainable Development.

“We can meet the UN Sustainable Development Goals (SDGs) by 2030, but only if we find the political will to change the rules of the international economic game and adopt policies that scale up the resources needed for a big investment push led by the public sector and set the global economy on an expansionary course, says UNCTAD’s Trade and Development Report 2019.

: Jaya Ramachandran; SUSTAINABILITY; Peace & Justice; 27 September 2019

Photo: President Vladimir Putin with Prime Minister of India Narendra Modi at the Zvezda Shipyard on 4 September 2019. Source: en.kremlin.ru

India, Russia Synergize and Leverage Mutual Strengths

By Shastri Ramachandaran*

NEW DELHI (IDN) –The Modi-Putin relationship is, perhaps, the most fascinating of India’s external “affairs”. The reasons for their diplomatic bonding and evolving personal chemistry may be many. And, the dazzle of events and optics, as is the wont in any political romance, take the focus away from tangible outcomes.

This is what happened during the two-day visit of Prime Minister Narendra Modi to the Russian port city of Vladivostok on September 4-5 for a summit meeting with President Vladimir Putin.