Chinese media ups the ante, asks India to withdraw with dignity

Agencies
July 5, 2017

Beijing, Jul 5: The Chinese official media today stepped up its attack on India with editorials asking Indian troops to move out of Dokalam area in Sikkim sector "with dignity or be kicked out" and describing the situation as "worryingly tense".chinese

While China's nationalistic tabloid Global Times said India should be taught a "bitter lesson", another official newspaper, China Daily, said India should look in the mirror.

The Global Times said in its editorial that India will suffer "greater losses" than in 1962 if it "incites" border clashes with China.

As the standoff in the Dokalam area continued for the third week, it said India should be taught a "bitter lesson".

It also claimed that the Chinese public was infuriated by India's "provocation".

"We believe the Chinese People's Liberation Army (PLA) is powerful enough to expel Indian troops out of Chinese territory. The Indian military can choose to return to its territory with dignity, or be kicked out of the area by Chinese soldiers," it said.

"We need to give diplomatic and military authorities full power to handle the issue. We call on Chinese society to maintain high-level unity on the issue. The more unified the Chinese people are, the more sufficient conditions the professionals will have to fight against India and safeguard our interests. This time, we must teach New Delhi a bitter lesson," it said.

The editorial said it "firmly" believes that the face-off in what it calls the Donglang area will end with the Indian troops in "retreat".

"If New Delhi believes that its military might can be used as leverage in the Donglang area (referred to as Dokalam or Dok La), and it is ready for a two-and-a-half front war, we have to tell India that the Chinese look down on their military power," it said.

The paper was referring Indian Army Chief General Bipin Rawat saying that India 'was ready for a two-and-a-half front war'.

"Jaitley (Defence Minister Arun Jaitley) is right that the India of 2017 is different from that of 1962 - India will suffer greater losses than in 1962 if it incites military conflicts," it added.

Jaitley on June 30 said India of 2017 is different from what it was in 1962, hitting out at China for asking the Indian Army to learn from "historical lessons".

According to the editorial in China Daily, India's defeat in the 1962 war was perhaps too "humiliating" for some in the Indian military and that is why they are talking "belligerently" this time.

Since the standoff on June 6, when the PLA destroyed bunkers of the Indian Army, claiming the area belonged to China, Chinese media have carried several pieces warning India against escalating border tensions.

"India should look in the mirror. It was not able to refute the evidence of illegal border-trespassing and coerced its small neighbour Bhutan to shoulder the blame," the China Daily said.

The Global Times also asserted that China attaches great importance to domestic stability and doesn't want to be mired in a mess with India.

"But New Delhi would be too naive to think that Beijing would make concessions to its unruly demands," it said.

"New Delhi's real purpose is to turn the Donglang area of China into a disputed region and block China's road construction there," the editorial said.

"Cold war-obsessed India is suspicious" that China is building the road to cut off the Siliguri Corridor, an area held by Indians as strategically important for India to control its turbulent northeast area. India is taking the risk to betray the historical agreement and wants to force China to "swallow" the result, it said.

The China Daily added that India should respect border agreement and withdraw troops, linking India's move to stop the Chinese military from building a strategic road in Dokalam area in June 16 to its concern over China's Belt and Road Initiative (BRI), which includes the USD 50 billion China Pakistan Economic Corridor (CPEC).

"India may be trying to make a point. It is reportedly worried that the Chinese road construction may represent a significant change in the status quo with serious security implications for India, according to its foreign ministry."

Such worries, the paper added, could have been allayed through dialogue and consultation using the mechanisms that are already in place and "which have long helped the two sides maintain peace and tranquillity in the region since their short border war in 1962".

The editorial said the situation in Dokalam remains "worryingly tense, with a stand-off between soldiers of the two countries still ongoing".

"That the situation has not flared out of control is thanks to the great restraint exercised by the Chinese troops. But the tensions resulting from the intrusion will surely grow if there is not a total withdrawal of the Indian troops."

Unlike previous incidents that have occurred along other parts of the 3,500-kilometre border between China and India, the latest incident happened at a section that has long been demarcated by an 1890 historical convention and reaffirmed in documents exchanged between the successive Chinese and Indian governments since then.

Both dailies, however, referred to India's concerns over the road in Dokalam close to the narrow chicken neck area in the tri-junction of India, China and Bhutan border as it could cut off a vital link with India's north-eastern region.

China and India have been engaged in a standoff in the Dokalam area near the Bhutan trijunction since June 6 after a Chinese Army construction party came to build a road.

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News Network
June 24,2020

Jun 24: The coronavirus tally in Pakistan reached 188,926 with the detection of 3,892 new cases in the last 24 hours, the health ministry said on Wednesday.

Sixty more people died due to the viral infection, taking the death toll to 3,755.

As many as 3,337 patients are in critical condition across the country, the ministry said.

With the detection of 3,892 new cases in the last 24 hours, the coronavirus tally in the country now stands at 188,926, it said.

Sindh reported the maximum number of 72,656 cases, followed by 69,536 in Punjab, 23,388 in Khyber-Pakhtunkhwa, 11,483 in Islamabad, 9,634 in Balochistan, 1,337 in Gilgit-Baltistan and 892 in Pakistan-occupied Kashmir (Pok).

Health authorities have so far conducted 1,150,141 coronavirus tests, including 23,380 in the last 24 hours.

A total of 77,754 patients have recovered so far from the disease.

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Agencies
July 3,2020

The dollar's dominance will slowly melt away over the coming year on weakening global demand and a sombre U.S. economic outlook, according to a Reuters poll of currency forecasters whose views depend on there being no second coronavirus shock.

Despite fears a surge in new Covid-19 cases would delay economies reopening and stymie a tentative recovery, world stocks have rallied - with the S&P 500 finishing higher in June, marking its biggest quarterly percentage gain since the height of the technology boom in 1998.

Caught between bets in favour of riskier investments, weak U.S. economic prospects as well as an easing in the thirst for dollars after the Federal Reserve flooded markets with liquidity, the greenback fell nearly 1.0 per cent last month. It was its worst monthly performance since December.

While there was a dire prognosis from the top U.S. medical expert on the coronavirus' spread, the June 25-July 1 poll of over 70 analysts showed weak dollar projections as Fed Chair Jerome Powell on Monday reiterated the economic outlook for the world's largest economy was uncertain.

"The dollar rises in two instances: when you see risk off or when there is a situation where the U.S. is leading the global recovery, and we don't think that's going to be the case anytime soon," said Gavin Friend, senior FX strategist at NAB Group in London.

"The U.S. is playing fast and loose with the virus, and chronologically they're behind the rest of the world."

Currency speculators, who had built up trades against the dollar to the highest in two years during May, increased their out-of-favour dollar bets further last week, the latest positioning data showed.

About 80 per cent of analysts, 53 of 66, said the likely path for the dollar over the next six months was to trade around current levels, alternating between slight gains and losses in a range. That suggests the greenback may be at a crucial crossroad as more currency strategists have turned bearish.

But more than 90 per cent, or 63 of 68, said a second shock from the pandemic would push the dollar higher. Five said it would push the U.S. currency lower.

Much will also depend on debt servicing and repayments by Asian, European and other international borrowers in U.S. dollars.

While an early shortage of dollars in March from the pandemic's first shock pushed the Fed to open currency swap lines with major central banks, international funding strains have eased significantly since. In recent weeks, usage of the facility has reduced dramatically.

That trend is expected to continue over the next six months with major central banks' usage of swap lines to "stay around current levels", according to 32 of 46 analysts. While 13 predicted a sharp drop, only one respondent said use of them would "rise sharply".

The dollar index, which measures the greenback's strength against six other major currencies, has slipped over 5 per cent since touching a more than three-year high in March.

When asked which currencies would perform better against the dollar by end-December, a touch over half of 49 respondents said major developed market ones, with the remaining almost split between commodity-linked and emerging market currencies.

"The dollar is so overvalued, and has been overvalued for a long time, it's time now for it to come back down again, as we head towards the (U.S.) election," added NAB's Friend.

Over the last quarter, the euro has staged a 1.8 per cent comeback after falling by a similar margin during the first three months of the year. For the month of June, the euro was up 1.2 per cent against the dollar.

The single currency was now expected to gain about 2.5 per cent to trade at $1.15 in a year from around $1.12 on Wednesday, slightly stronger than $1.14 predicted last month. While those findings are similar to what analysts have been predicting for nearly two years, there was a clear shift in their outlook for the euro, with the range of forecasts showing higher highs and higher lows from last month.

"In comparison to even a month or two ago, the outlook in Europe has improved significantly," said Lee Hardman, currency strategist at MUFG.

"I think that makes the euro look relatively more attractive and cheap against the likes of the dollar. We're not arguing strongly for the euro to surge higher, we're just saying, after the weakness we have seen in recent years, there is the potential for that weakness to start to reverse."

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Agencies
July 28,2020

Kuala Lumpur, Jul 28: Malaysia's ex-leader Najib Razak was found guilty Tuesday in his first trial over the multi-billion-dollar 1MDB scandal, two years after the fraud contributed to the downfall of his long-ruling government.

The former prime minister could now face decades in jail after being convicted on all charges in the case related to the looting of sovereign wealth fund 1Malaysia Development Berhad.

Billions of dollars were stolen from the investment vehicle and spent on everything from high-end real estate to pricey art, while investment bank Goldman Sachs also became embroiled in the scandal.

Anger at the looting played a large part in the shock loss of Najib's long-ruling coalition in elections in 2018, and he was arrested and hit with dozens of charges following his defeat.

The verdict was a test of Malaysia's rule of law. It comes about five months after Najib's scandal-plagued party returned to power as part of a coalition, development observers had feared could affect the outcome of the case.

About 16 months after it began, the Kuala Lumpur High Court delivered the verdict in Najib's first trial, which centred on the transfer of 42 million ringgit ($9.9 million) from a former 1MDB unit, SRC International, into his accounts.

Najib had vehemently denied wrongdoing.

But Judge Mohamad Nazlan Mohamad Ghazali took apart all the arguments put forward by his defence, and found him guilty on the seven charges he faced.

"In conclusion, after considering all the evidence in this trial, I find the prosecution has successfully proven the case," the judge told the court.

The charges were one of abuse of power, three of criminal breach of trust and three of money-laundering.

The counts of abuse of power and criminal breach of trust are punishable by up to 20 years in jail each, while the money-laundering charges are punishable by up to 15 years each.

Sentencing was not handed down straight away. The 67-year-old will likely appeal and he may not be sent to jail immediately. If his conviction is upheld, he will also be barred from political office for several years.

Najib had insisted he was ignorant of the transactions.

The defence team portrayed Najib as a victim and instead sought to paint financier Low Taek Jho, a key figure in the scandal who has been charged in the US and Malaysia, as the mastermind.

Low, whose whereabouts are unknown, maintains his innocence.

Prosecutors insisted Najib was in control of the 1MDB unit, SRC International.

The return of Najib's party to power as part of a coalition in March followed the collapse of Mahathir Mohamad's reformist administration.

Since then, 1MDB-linked charges were unexpectedly dropped against the ex-leader's stepson Riza Aziz, a producer of Hollywood movie "The Wolf of Wall Street", in exchange for him agreeing to return assets to Malaysia.

Prosecutors also dropped dozens of charges against Najib ally Musa Aman, the former leader of Sabah state.

The amounts involved in Najib's first case are small compared to those in his second and most significant trial, which centres on allegations he illicitly obtained more than $500 million.

Malaysia had charged Goldman Sachs and some current and former staff, claiming large amounts were stolen when the bank arranged bond issues for 1MDB.

But the two sides agreed to a $3.9 billion settlement last week in exchange for charges being dropped.

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