Sunday, May 23, 2010

South East Asia Summary # 120

At political Front

  • Malaysia

Malaysia’s opposition won a key by-election in Sarawak state on Borneo island yesterday, albeit with a narrow majority, that showed the government had failed to win back ethnic Chinese voters.

The opposition took the Sibu seat with a majority of 398 from the National Front coalition that has ruled Malaysia for 52 years in a boost that came after a wave of defections and as its leader Anwar Ibrahim stood trial for sodomy.

Sibu is around 60% ethnic Chinese in a Southeast Asian country where they account for 25% of the 28mn population that is mainly ethnic Malay and Muslim.

  • Philippine

The Philippine deputy mayor, whose wife, two sisters and four other relatives were among 57 people killed in an election-related massacre last year, was yesterday declared winner of the governorship of his troubled province.

Philippine politics will never be the same after the country's first automated ballot electrified voters long used to cheating, violence and disputes over delayed results.

Senator Benigno Aquino, 50, whose parents led the struggle to restore Philippine democracy, will soon become the country's first digitally elected president after a rapid vote count showed him winning by a landslide.

Despite daunting logistic challenges in a sprawling Southeast Asian archipelago with 50 million voters, ballot-counting machines were activated just in time for Monday's elections for 17,000 positions.

The saying that "guns, goons and gold" lord it over Philippine elections may no longer be totally true after a new weapon, the microchip, entered the scene.

After the death of his national heroine mother, Benigno Aquino rode a wave of public emotion all the way to the Philippine presidency. Now he needs to show that politically at least, he is not his mother's son. He has a strong mandate to fight graft and investigate his unpopular predecessor, but must show leadership and assertiveness so far absent in his career to ensure his market-friendly agenda is not derailed by vested interests, internal and external. He has to focus of more significantly of following line along with many others:

  1. He cannot avoid the relatives and the people who campaigned for him
  2. Fiscal problem is a key requirement if the Philippines wants a ratings upgrade from junk status
  3. He has to plan double defence spending to 2 percent of GDP, which should help initial relations, and his large margin of victory should also give him authority.

The conduct of the May 2010 elections has forced the National Statistics Office (NSO) to delay the start of the 2010 Census of Population and Housing. The 2010 census will be conducted through interviews and self-adminsitered questionnaires. This year's census will ask for new data like functional disabillity--like visual impairment, difficulty in walking, among others--and housing rentals. The latter will be among the data to be used by the Housing and Urban Development Coordinating Council in regulating rental rates, as prescribed by Republic Act 9653 or the Rent Control Act of 2009.Batas Pambansa Blg. 72 states that integrated census should be conducted every 10 years beginning 1980, and that public school teachers should be employed for enumeration work.Incidentally, public school teachers are also mandated by law to serve as board of election inspectors during elections.

  • Cambodia

The Cambodian government Monday urged all parties concerned in Thailand to resume peaceful talks in order to achieve a political settlement to the current stand- off.In a statement released on Monday, the Ministry of Foreign Affairs and International Cooperation said that Cambodia, as a neighbouring country and a member state of ASEAN "is very concerned by the increasingly severe violence in Thailand."

Cambodia's ruling party has set up local committees nationwide to work out the political preferences of each citizen ahead of national elections in 2013, national media reported Wednesday.A document seen by the Cambodia Daily newspaper said people would be classified as white, gray or black, depending on their affinity to the Cambodian People's Party (CPP), with the party's strongest supporters categorized as white.

The object is to work out what motivates people who fall into the gray or black categories, then 'transform the black and gray to become white,' the document said.

It said another purpose is to prioritize help for ruling party supporters while CPP officials claimed information gathered on political affiliations would be used solely for internal purposes

  • Thailand

Thousands of Red Shirt supporters in a fortified camp appeared calm as Thai troops staged a bloody operation to disperse anti-government protesters today. Some were eating or sleeping. Others prepared for battle.

The United Nations urged Thailand to "step back from the brink" to avoid further loss of life as troops and protestors Tuesday remained locked in a tense confrontation after deadly street clashes.

Leaders of the "Red Shirt" protestors offered the government a truce Monday after five days of violence in central Bangkok that have left 38 people dead and more than 270 wounded.UN High Commissioner for Human Rights Navi Pillay called on both sides to negotiate an end to the violence, which has turned parts of the Thai capital into no-go zones.

Thailand's government rejected protesters' unconditional offer to negotiate Tuesday and insisted there would be no talks until the dwindling anti-government movement abandoned the ritzy areas of central Bangkok it has occupied for weeks.

Protest leaders argued over whether they should continue to resist a crackdown that has left 39 people dead over six days. The government estimated that only 3,000 people remain in the downtown encampment, down from 5,000 on Sunday and 10,000 last week.

Scattered clashes continued Tuesday outside the main protest area, but they appeared to be less intense than in previous days. Since the army surrounded the fortified entrances to the protest zone last Thursday, fiery battles have raged between soldiers firing live ammunition and hundreds of rioters with homemade weapons.

Thailand’s government must engage former premier Thaksin Shinawatra in reconciliation efforts after a bloody crackdown on his Red Shirts supporters, or risk inflaming the nation’s crisis, analysts said.

The government has accused Thaksin, a billionaire tycoon ousted in a 2006 coup, of bankrolling and masterminding Thailand’s worst political violence in decades which has left 83 dead since Reds rallies erupted in March.

Thaksin lives in exile to avoid a jail sentence for corruption, but the government has exerted pressure on countries he has visited, moved to freeze his finances and sought a warrant for his arrest on terrorism charges.

Foreign Relation

  • Singapore

Minister Mentor Lee Kuan Yew says Singapore's links with China will strengthen as China's economy continues to grow. Mr Lim said China is the top investment destination for Singapore companies.

The investments are well-diversified across many sectors, like manufacturing and retail. Singapore companies are also exploring opportunities in less developed areas in Western and Central China. On whether Singapore businesses are affected by the current upswing in China property prices, Mr Lim said that is mainly concentrated in the residential property segment.

US military presence remains crucial to the balance of power in Asia, says Singapore's Minister Mentor Lee Kuan Yew. East Asian security still needs the presence of American forces, so the region can continue its economic growth and balance the emergence of China, a country that is also important for this balance as there is no one country that should dominate Asia

  • Indonesia

Indonesian President Susilo Bambang Yudhoyono is in Singapore for a retreat with Singapore's Prime Minister Lee Hsien Loong. This is the Indonesian leader's second visit to Singapore within a span of eight months.

  • Philippine

Apparent president-elect Sen. Benigno “Noynoy” Aquino 3rd and US Ambassador to the Philippines Harry Thomas Jr. discussed “potentials for increased cooperation” between Manila and Washington during a meeting on Friday.

Calling on Aquino in what could be the first for a foreign ambassador in the country, Thomas practically declared his host as the next president of the Philippines although the votes from the May 10 elections still have to be counted officially.“We want to [talk] with the incoming administration, work very closely with them, and . . . it is up to them to decide how they will like to talk with the US,” the ambassador said during an interview after his meeting with Aquino.

At economic Front

  • Indonesia

Indonesia is committed to have a nuclear power plant soon as new source of energy, officials said here on Monday.For the purpose, Indonesia has allocated 7 billion rupiah (about 769,633 U.S. dollars) for nuclear power plant socialization to curb fear among people.

"The government has allocated the fund in 2009. That is a clear indication that the government is ready to move to seize the opportunity," Minister for Research and Technology Suharna Suryapranata told a parliamentary hearing.He said that his ministry is given limited authority for the project, just for preparation of the power plant construction.

MalaysiaHe also said that in the economically point of view, the reactor must provide benefit for a country."As the operators would be private parties, surely they know calculation in bringing profitability," he said.However, members of parliament said that the government must regulate it very carefully so people would not be burdened by the power cost

The biggest one-day drop in more than a year on Wall Street on Thursday hit the Indonesian market on Friday, as fresh doubts about the strength of the US economy added to worries about European debt, causing jittery investors to flee riskier assets such as developing market stocks.

The Jakarta Composite Index dove 4 percent in morning trade before trimming its losses to 2.6 percent, and capping its worst week since the height of the global financial crisis in November 2008. The index tumbled 8.2 percent over the week, and has fallen 12 percent from a record high set in early May. A drop of more than 10 percent is considered a correction by some analysts.

  • Thailand

The Thai stock exchange said on Wednesday that it would be closed for the last two trading days of the week due to violence that has gripped the capital Bangkok. The news was announced on the bourse’s website. Dow Jones Newswires said a fire broke out on the ground floor of the Stock Exchange of Thailand’s headquarters. The index was open for half a day before closing up 0.71 percent, or 5.43 points at 765.54.

The Thai government has extended an overnight curfew to 21 provinces as unrest spread from the capital to seven provinces, with town halls burnt in three northern area

Central World shopping centre burns after troops evicted anti-government “Red Shirt” protesters from Bangkok’s shopping district yesterday. Protesters torched at least 17 buildings, including the Thai stock exchange and Central World, Southeast Asia’s second-biggest department store complex. Thailand’s benchmark stock index ended up 0.71% at 765.54 yesterday. Analysts said some investors bought on news the military had moved in to disperse protesters who have paralysed a central commercial district for more than six weeks. “For investors, it is going to take years to bring credibility back to the country,”

Thai seafood exports have received minimal impact from the riots in Bangkok with only a small volume of cargoes being delayed at the capital's ports.The protests that forced the government to announce national holidays for the entire week interrupted export procedures and delayed some shipments, said Panisuan Jamnarnwej, president of the Thai Frozen Foods Association.

  • Malaysia

Malaysia’s minister of plantation industries and commodities, Tan Sri Bernard Dompok, has claimed that the EU’s Renewable Energy Directive unfairly excludes palm oil from the European market. The minister made the statement at 3 May meeting that also saw the launch of the Indonesia-Malaysia Palm Oil Group, a coalition of six Malaysian and Indonesian palm oil producer associations. The group aims to address concerns over the sustainability of palm oil production.

  • Singapore

Despite the economic uncertainties in Europe, many Singaporeans are still keen to invest in a new property. A recent survey by PropertyGuru, an online property site, found that seven in 10 home hunters will buy a property in the next 24 months.

The private residential market remains resilient with a bumper sale of 2,207 new units in April. Private apartments are hot property, and public housing flats are also enjoying good demand since the second half of 2009.

The Singapore Environment Council (SEC) and the Singapore Institute of Manufacturing Technology (SIMTech) have inked an agreement to launch Southeast Asia's first carbon label. The label quantifies and declares the carbon footprint of products and services. SEC's executive director, Howard Shaw, said the label will encourage businesses to take steps to reduce the carbon content of their products and services

Senior finance executives worldwide have reported growing optimism about economic recovery. But the executives are proceeding with caution investing in categories that will boost growth such as sales and product development while selectively increasing discretionary spending in areas like marketing and technology; In Singapore, eight in ten respondents expect to see economic growth in the year ahead.

Some 21 per cent of the respondents said their companies have already experienced an increase in demand for their products and 51 per cent expect an increase in the second or third quarters of this year. Also, about 84 per cent said their companies plan to increase headcount this year. Meanwhile, respondents from Singapore are also expecting their companies to increase business travel spending in the next year.

Singapore's economy grew by a better-than-expected 15.5 per cent year on year in the first quarter, spurred mainly by strong global demand for electronics, official data showed Thursday. On a seasonally adjusted quarter-on-quarter basis, gross domestic product (GDP) surged 38.6 per cent in the three months to March, the Ministry of Trade and Industry (MTI) said.

Initial government estimates released in April showed the economy expanded an annual 13.1 per cent and 32.1 per cent on a quarter-on-quarter basis. The MTI said the first quarter display was driven by the manufacturing sector's annual 32.9 per cent surge amid buoyant global demand for electronics products, especially semiconductor chips.

"The strong momentum seen in the first quarter was broad-based, led by the manufacturing sector. The electronics cluster enjoyed the strongest growth, underpinned by strong global demand for semiconductor chips," the MTI said.

  • Cambodia

Cambodia is devastating its coast by dredging vast quantities of sand to sell to tiny Singapore for expansion projects, with multimillion-dollar profits going to tycoons close to the Cambodian prime minister, a watchdog group said last week.

Impoverished Cambodia has become the new prime source of the masses of sand used for projects to artificially enlarge Singapore's island territory now that several other Southeast Asian nations, including Malaysia, Indonesia and Vietnam, have banned sand exports because of environmental concerns.

Singapore has increased its surface area by 20% in recent decades by filling in coastal seabeds to create valuable waterfront ground, a process known as land reclamation.

London-based environmental watchdog Global Witness criticized Singapore for the practice, pointing out that the wealthy island city-state at the same time "presents itself as a regional leader on environmental issues.

  • Vietnam

Vietnam raised this year’s inflation goal to 8 percent amid signs it will miss the current forecast of 7 percent as strengthening economic growth pushes up prices.

The Southeast Asian nation’s inflation expectations need to be “consistent” with its 2010 economic growth target of 6.5 percent, according to a statement on the government’s website Monday.

The Vietnam government’s top priorities are to implement measures to stabilize the economy, control inflation and to ensure a return to “solid economic growth,” Deputy Prime Minister Nguyen Sinh Hung said Thursday.

“General socioeconomic conditions in the first months of 2010 continued to improve and inflation is still under control,” Hung said in the opening speech of the National Assembly meeting in Hanoi. “The macroeconomic situation is not really stable as it is facing new difficulties and challenges.”

At Social Front

  • Indonesia

Amid bilateral negotiations, Indonesia and Malaysia remain committed to signing a new labor agreement to provide legal protection, which will reopen the supply of Indonesian migrant workers to the neighboring country.Manpower and Transmigration Minister Muhaimin Iskandar said upon his return from Kuala Lumpur Thursday that the agreement was expected to be signed during President Susilo Bambang Yudhoyono's official visit to the Malaysian capital on May 18.

  • Cambodia

TEARFUL Cambodians marked an annual 'Day of Anger' with a re-enactment of Khmer Rouge crimes at a notorious 'killing field' on Thursday to commemorate relatives killed by the regime.Some 3,000 people, including Buddhist monks, watched as students mimed raping, bludgeoning, strangling and eviscerating bound victims to remember those who died at Choeung Ek, a field outside the capital Phnom Penh.

Many sobbed during the performance by the black-clad students just metres from mass graves where Khmer Rouge soldiers murdered thousands of people during the rule of the hardline communist movement in the late 1970s.

  • Brunei

THE arrears in electricity for homes and commercial buildings in Brunei keep rising every month and in 2009 alone have reached the $1 billion

So Calling on Bruneians to save electricity, the religious leaders brought out facts and figures to show that the people owed the government a whopping $1 B in electricity bills up to last year 2009 alone. And up to March 2010, hotel owners owed $4Million dollars to the Government.

Trying to make the point that what one can't pay shouldn't be used, the Imams said that it's a colossal waste to use so much more than one needs. They urged Bruneians to be prudent in electricity usage. The government and the private sectors call upon the public to be proactive in answering the call to be wise and prudent in energy usage through three simple ways namely by switching off lamps when not in use, switching off water heaters when not in use, as wellas to setting air conditioners to 24 degrees Celsius or at least, one degree higher than usual

At environmental Front

  • Philippine

Seven people, including the governor of a province in the southern Tagalog region in the Philippines, died in a helicopter crash yesterday afternoon.

Quezon Governor Rafael Nantes, a pilot and two of his security aides were on board the ill-fated private helicopter that crashed in a residential area in the provincial capital of Lucena five minutes after taking off from a state-run school where he had a speaking engagement.

The Philippines’ largest Muslim rebel group wants incoming President Benigno Aquino to offer a clear, long-term solution to the rebellion in the south of the mainly Catholic country, a senior guerilla leader said yesterday.

Since 1997 there have been off-and-on negotiations between the government and the Moro Islamic Liberation Front (MILF) to end a conflict that has run more than 40 years, killing 120,000 people and displacing 2mn in the resource-rich south.

A sustained resolution to the conflict is essential to removing a long-term investment risk in the Philippines, and could improve access to gold and copper deposits on the island of Mindanao, as well as nearby offshore gas and oil fields. Mohaqher Iqbal, the MILF’s chief peace negotiator, said he was optimistic talks would continue under Aquino, who has a commanding lead in unofficial tallies of last week’s vote, but wanted more details of the new government’s plans. Iqbal said the 11,000-strong MILF had dropped demands for a separate and independent Islamic state but wanted more than just an autonomous government, including a greater share of revenues generated by strategic resources, such as oil and gas and metals.

Muslim separatists blamed for years of conflict and displacement on the southern island of Mindanao have agreed to help the government rid the area of unexploded ordnance and landmines. The move is part of an effort to protect thousands of civilians returning to their ruined homes and villages, rebel and government spokesmen confirmed to IRIN.

Heavy fighting broke out between two separate factions of the Moro Islamic Liberation Front in Barangay Kulambog, Sultan sa Barongis in Maguindanao province Friday afternoon allegedly due to a turf war, police and government reports said.

Senior Superintendent Alex Lineses, Maguindanao police provincial director, said fighters from the 105th and 106th MILF Base Commands started an armed confrontation at around 4 p.m, which escalated and continued for several hours. At least 2 houses went up in flames during the fighting, he said

  • Cambodia

The European Union is likely to sign an agreement with Bangladesh, Cambodia and the Maldives to assist the three countries to combat the adverse impact of the climate change.

The agreement is expected to be signed at the two-day regional conference of the Global Climate Change Alliance to be held in Dhaka on May 30-31 in collaboration with the European Union, officials said.Nine countries of Asia - Bangladesh, Afghanistan, Bhutan, Cambodia, Laos, Maldives, Myanmar, Nepal and Yemen - will participate in the conference.

ASEAN

ASEAN countries are developing cooperative programs of defense, Vietnam's official said at an ASEAN defense ministers' meeting wrapped up in Hanoi on Thursday,

Minister of National Defense Phung Quang Thanh was quoted as saying that the cooperative programs will include joint sea and land patrols, and fighting terrorism.

ASEAN countries will also plan rehearsals for rescues and humanitarian missions in case of emergencies caused by natural disasters, Thanh told the meeting on regional security and defense.During the four-day session, the ministers and high-ranking defense officials shared their views about ASEAN current security situation and report on each countries’ defense policy, another news website Vietnamnet said.

Clockwise, friends console a woman looking for a relative, a "red shirt" protester who was not on the train arriving from Bangkok, at the Chiang Mai train station, 700 km north of Bangkok yesterday. An army soldier stands guard over anti-government "red shirt" supporters detained at a Buddhist temple in central Bangkok. Bullets and a picture of former Thai premier Thaksin Shinawatra are found from the encampment of the "red shirt".Reuters

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