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South Asia Preview of 2010

The opening year of the millennium's second decade brings all of the region's main countries to a moment of reckoning. Will President Obama's surge defeat the Taliban insurgency? Will Pakistan crush its own Islamic rebellion and move on al-Qaeda's safe havens in its tribal frontiers? Will India prove it has finally cast off its Third World image and become a true global power? Can Sri Lanka win the "peace" after its military victory against the Tamil Tigers? This time next year, we may know the answers.

1. In Afghanistan, the frontline in the war on terror, the year will begin with a blitz as at least 9,000 soldiers from President Obama's surge join British troops in a major January offensive against Taliban strongholds in Helmand. Their target is opium growing territory west of the Helmand River, which funds the insurgency and Marjeh city, the production centre of the roadside Improvised Exlosive Devices which are killing growing numbers of Nato troops.

2. January 1 2010 will be the first day of a new civil disobedience campaign by leaders of the Gorkha movement, who want a separate Darjeeling hill state within the Indian Union. Their revolt will paralyse much of West Bengal state and fuel the push to create new states throughout India following New Delhi's support for a Telangana state in Andhra Pradesh. New separatist movements will emerge to press for the division of Uttar Pradesh, Maharashtra, Rajasthan, Bihar and Jharkhand.

3. Pakistan, too, will find itself facing its own moment of truth: its Pakistan People's Party government, weakened by the reopening of corruption cases against several of its leaders, will come under growing pressure to expand its offensive against Taliban militants in South Waziristan to those militants it has long regarded as allies in its regional conflict with India. Washington is intensifying its campaign to force Islamabad to attack the North Waziristan forces of Taliban commander Jalaluddin Haqqani, which regular cross the border to kill Nato troops in Afghanistan. The government will also face an escalation of America's "drone war" against Afghan Taliban leader Mullah Omar's ruling Shura in Balochistan, while anti-Pakistan Taliban militants are likely to step up their suicide bombing and assassination campaign on its main cities. Will Islamabad accept there are no "good" Taliban?

4. The deciding factor in how this plays out will be who is in power in Islamabad. The Supreme Court's decision to reopen corruption cases against senior ministers and its request for Swiss cases against President Zardari to be revived could force new elections in which former Prime Minister Nawaz Sharif would be the likely victor. Mr Sharif owes Britain and the United States nothing and may restrict covert drone attacks on Pakistan's soil.

5. Bangladesh is likely to execute five army soldiers convicted of the murder of founding president Mujibur Rahman, the father of current Prime Minister Sheikh Hasina. If it does carry out the death sentences, it will reopen the generational feud between the prime minister's supporters and those of her long-standing bitter rival Begum Khalida, whose late husband Ziaur Rahman was accused of protecting the assassins. The feud has blighted the country's development.

6. Sri Lanka goes to the polls to decide who won the war: President Mahinda Rajapaksa or his former Army chief and now presidential rival General Sarath Fonseka? Rajapaksa believes in one Sri Lanka without ethnic or communal divisions, Fonseka says he believes in reconciliation for lasting peace with the Tamil minority. The election on January 26th could also determine the government's attitude towards investigations into war crimes during the 26 year civil war with the Liberation Tigers of Tamil Elaam.

7. The conflict in Nepal between the Maoists and the coalition government is likely to intensify as Prachandra's forces escalate their regional rebellion and implement announcements of autonomous states in 13 districts. The dispute centres on army resistance to admitting Maoist guerrillas into its ranks.

8. India's claim to be a modern, growing global power will be put to the test in October when it stages the Commonwealth Games as a showcase for its progress. Preparations are alarmingly behind schedule, and officials fear New Delhi will fail to complete its preparations, confirming to doubters that India is more developing than developed. 9. In December President Obama will launch a 'thorough review' of whether his surge of 30,000 new troops in Afghanistan has been a success. By then the world will know if it will ever be free of Taliban and al-Qaeda terrorism, or if it will have find a way to talk to its leaders.

From http://www.telegraph.co.uk/ 12/26/2009

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Asia's Decade Reoriented the World: Analysts

HONG KONG (AFP) - Explosive growth in economic and political power ensured that the past 10 years set the foundations for what many analysts predict will be the Asian Century as the world tilts firmly eastwards. Many dangers lie ahead, but observers say the world's two most populous countries - China and India - appear on course to define the decades to come after the American Century and the British Century before that. "Yes, absolutely, I think this decade demonstrates the real promise of Asia," said Alan Dupont, director of the Centre for International Security Studies at the University of Sydney. "The last two years in particular have seen a sea shift in real power and I think that's been highlighted by the travails the Americans and the Europeans have had after the global economic and financial crisis.

"It has really focused everybody on the fact that China has now arrived and India is not that far behind, and power really has shifted to the East and away from Europe and North America." China had been "a rock of stability", Dupont told AFP. Time magazine chose "The Chinese Worker" as a runner-up for its annual Person of the Year award in 2009. Robert Broadfoot, managing director of the Hong Kong-based Political and Economic Risk Consultancy, agreed that the past decade belonged to Asia. "There is a shift of the assets and, with that, political power towards China in particular and Asia in general," he said. But if the tilt from West to East was sustained in the decades ahead, it would be more appropriate to call it the Chinese Century, not the Asian Century, Broadfoot said.

The statistics speak for themselves - blistering economic growth rates of more than 8.0 percent in China - while Western countries slumped into recession. The United States now counts China as its biggest creditor nation. But the economic figures - India also achieved growth rates of more than 7.0 percent - are only part of Asia's rise. The political power that goes hand-in-hand with economic power means that no global agreements can be viable without the approval of China and India, as this month's climate talks in Copenhagen showed. And beyond that lies "soft power" - the sort of cultural influence wielded last century by the United States in particular, from Hollywood through pop culture to fast food. As an example, Dupont pointed to China's Confucius Institutes set up around the world to compete with other organizations that project national cultural influence, such as the British Council or France's Alliance Francaise.

Chinese-born actors such as Gong Li, Jet Li and Zhang Ziyi now have Hollywood star power. Writers Ha Jin and Yu Hua are acclaimed internationally. The Chinese government has reportedly set up a 6.5-billion-dollar fund to expand the global footprint of state-controlled media companies like Xinhua, China Central Television and China Radio International. Hosting the Olympics last year was an emphatic declaration of China's global arrival and some of its sportsmen - such as basketballer Yao Ming and former world-record hurdler Liu Xiang - have celebrity status.

Chinese scientists are becoming more prominent, with the nation's space programme leading the way. China was the world's third nation to put a man in space and has ambitions to send a man to the moon. India has also enjoyed success in space with the announcement in September that its first lunar mission, Chandrayaan-1, had found evidence of large quantities of water on the moon's surface. The path to Asian dominance is strewn with obstacles, however, with weaknesses in democratic and social institutions and widening wealth gaps seen as potentially dangerous roadblocks. Minxin Pei of the Carnegie Endowment for International Peace says Asian leaders lack the "visionary ideas" that were a hallmark of US dominance, and that China-style autocracies are inherently unstable.

"Although Asia today may have the world's most dynamic economies, it does not seem to play an equally inspiring role as a thought leader," he wrote in Foreign Policy magazine. Dupont at the University of Sydney also questioned whether Asia's racing start to the century will be sustainable over the next 50 to 100 years, given the environmental havoc caused by rapid development. But if Hollywood is a guide, Asia is set to triumph. In early 20th century movies, the Chinese were represented by mustachioed evil genius Fu Manchu. In this year's big-budget disaster flick "2012", China helps to save mankind from apocalypse.

From http://news.yahoo.com/ 12/27/2009

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UN Chief Vows to Make 2010 Year of Development

"UN Secretary General Ban Ki Moon said Monday he has designated 2010 as the year of development and urged member states to press forward to achieve the UN Millennium Development Goals (MD Gs) by the 2015 deadline. 'My message is simple. The MD Gs are too big to fail,'' Ban told reporters. 'We can make 2010 a year of action.'..." [Kyodo/Factiva] AFP adds that "...Ban said he would convene a special MD Gs summit in September on the sidelines of the General Assembly session to speed up the lagging process to achieve those targets by the 2015 deadline. The September meeting will take stock of what has been achieved in the past nine years and participants will reaffirm their commitment to achieve the eight MD Gs set in 2000, Ban said..." [Agency France Press/Factiva]UZ Report writes that "...the Secretary-General also called for empowering women...and pointed to the need to work towards setting up the new gender entity to be established within the UN, and step up efforts to prevent violence against women. The appointment of a Special Representative on the prevention of sexual violence in armed conflict will be announced soon, he added..." [UZ Report (Uzbekistan)/Factiva]

From http://web.worldbank.org/ 01/12/2010

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Asia Poised for Growth but Policy Shifts, ADB

Asian economies are poised for accelerated growth as the global economic crisis recedes, but recovery remains fragile, according to experts attending a forum of the Asian Development Bank (ADB) on Thursday. Therefore, carefully calibrated policy adjustments along with increased integration efforts will be needed to sustain growth and cushion the region against future shocks, participants agreed. A new ADB study, entitled Policy Changes for Asia after the Global Recession, notes that growth in the region is set to quicken this year as the global economy regains strength. But it also cautioned that recovery in Asia is still overly dependent on policy support from developed economies, while a turnaround in the region's largest market, the United States, has yet to gain traction.

The study, prepared by the Centennial Group International, is one of a series of reports that will be presented at a two-day regional forum on the Impact of the Global Economic and Financial Crisis organized by the ADB at its headquarters in Manila starting Thursday. Top officials including policymakers, finance ministers, heads of central banks, business leaders and development experts from nearly 20 countries from developing Asia are taking part in the forum. Addressing the opening ceremony, ADB President Haruhiko Kuroda said, "The region is now showing signs of a V-shaped recovery, with a 6.6 percent growth outlook for this year. While we believe developing Asia is leading the global economic recovery," he said. However, he added, it is still too early to relax vigorous efforts to restore demand and stabilize financial systems. In particular, exit strategies for fiscal stimulus must be carefully timed."

At a press conference held after the opening ceremony, ADB President Haruhiko Kuroda said, "We must keep in mind that there remains an underlying fragility to the recovery. While China, India, Indonesia and some of the smaller economies are doing quite well, others are still struggling." This forum provides an important opportunity for developing Asian countries to learn from one another and identify positive solutions for a faster and sustained recovery, he added. Established in 1966, the ADB has 67 members, 48 from the region. In 2008, it approved 10.5 billion U.S. dollars of loans, 811.4 million U.S. dollars of grant projects, and technical assistance amounting to 274.5 million U.S. dollars.

From http://english.people.com.cn/ 01/14/2010

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Developing Asia Can Achieve MDGs: ADB Chief

MANILA, Philippines - The president of the Asian Development Bank (ADB) expressed confidence that most developing countries, including the Philippines, will achieve its Millennium Development Goals (MDGs) as initially targeted .According to Haruhiko Kuroda, almost all developing countries in Asia are "currently making progress" when it comes to MDGs, particularly those economies hat managed to post positive growth amid the global slowdown. "Most developing countries may achieve the MDGs by their target year," Kuroda told reporters on Thursday. The MDGs, an international agreement which spans from 2004 to 2015, are aimed at assessing social problems and promoting growth in basic sectors. The goals touch on hunger, education, gender equality, and health care, among others.

Despite his optimism, Kuroda urged governments to spur economic growth and promote social welfare to increase the chances of achieving the MDGs on time. Earlier, a research group warned that the Philippines' declining tax effort may be a major roadblock to achieving the MDGs by 2015.According to the Philippine Institute for Development Studies (PIDS), the country's tax effort has been slipping since 2006 at 14.3% of gross domestic product (GDP). Tax effort refers to the ratio of tax collections to a country's GDP. If government efforts to raise revenues for infrastructures and social services are not working, all the more will it be unable to finance initiatives to achieve the MDGs, PIDS said. Due to the impact of recent storms, the Philippines' tax effort is seen to have reached 11% last year, lagging behind most of its Asian neighbors.

From http://www.abs-cbnnews.com/ 01/14/2010

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Reconfiguring the Asia-Pacific Region: Transnational Challenges

Last December 2-6, upon invitation of Australian Prime Minister Kevin Rudd, I attended an international conference in Sydney with the main agenda, "The Asia-Pacific: A Community for the 21st Century. " This meeting was preceded by high-level consultations - with ASEAN, ASEAN Regional Forum (ARF), APEC, East Asia Summit (EAS), and Asia-Europe Meeting (ASEM) members - undertaken by PM Rudd himself and his special envoy, Richard Woolcott, former Ambassador to the Philippines and the UN. The event was attended by 150 current and former high government officials, academics, journalists, analysts, and other Asian "eminents" focusing on the entire range of existing/emerging challenges.

As requested by PM Rudd, I chaired the session "ASEAN's Role in Asia-Pacific Multilateralism" (one of six themes) and authored the discussion paper thereon. My views were sought, I gathered, having been active in earlier ASEAN and APEC summits, as well as being a member of ASEAN's Eminent Persons Group that provided the framework for the ASEAN Charter (adopted in 2008), and long-time Chairman of the Boao Forum for Asia (BFA) founded by 28 Asia-Pacific countries. "Asia-Pacific Community" for the 21st Century. The principle to which I have constantly adhered is that regional security and people's well-being are the overarching interests that bind the Asia-Pacific and serve to underpin its peace and stability. In the Sydney confab, I articulated the same as the paramount imperative for an enduring Asia-Pacific community starting in the 2010 decade.

This Australian initiative launched a "regional conversation" to develop a heightened sense of commonality and institutionalize an "Asia-Pacific Community" (APc). As an expanded mechanism for cooperation and collective action, this aggrupation aims to meet pressures generated by major global shifts which APEC, ASEAN, ASEAN+X, ARF, or EAS are not able to deal with comprehensively by themselves. PM Rudd explains: "In the 20th century, the world's center of strategic weight moved from Europe to the US; but in the 21st century it is moving to the Asia-Pacific region whose economies are already 54 percent of global production and 44 percent of global trade. This transfer of wealth will continue into the foreseeable future. I believe we cannot afford to sit idly by while the region simply evolved - without any sense of strategic purpose." South Korea's former PM Han Seung-soo and Australia's Foreign Minister Stephen Smith also provided valuable inputs regarding the need for responsiveness and sustainability of "APc." An Idea Whose Time Is Coming

According to Chairman/Ambassador Woolcott, APc is "an idea whose time is coming. This major shift in economic, political and security influence will produce new challenges, such as competition for scarce resources. There are also important transnational issues: nuclear proliferation, territorial claims, climate change, illegal migration, and stateless terrorism which all require multilateral countermeasures." In Sydney, there was wide consensus that it is necessary to define the meaning of "community" - which could be an integrated economic system or a loose-knit grouping within which common identity, shared interests, and security cooperation develop into institutional arrangements. Though not unanimous, there was also the broad view that APEC and EAS could be the primary building blocks for "APc." Should this approach prosper, in the case of APEC, it would be necessary to admit India and develop a security agenda; in the case of EAS, it is essential to consider admitting the US and Russia. Existing Driving Factors

As identified in Sydney, the incremental build-up towards a wider, inter-governmental Asia-Pacific organization is driven by important factors: * Ethnic values/colonial influence; * Growing security threats; * Economic imperatives; and * Converging strategic interests. In addition, any successful "APc" must: include principles of equality and transparency; consider members' security and development needs; and involve close collaboration among the principal powers - the US, China, Japan, India, and Russia. Modernizing Global Institutions Although some participants felt that "in-place institutions" were adequate, Woolcott reported that policy-makers widely believed that present regional entities had neither the mandates nor the membership to deal comprehensively, at the Head of Government level, with the major security/political issues the Asia-Pacific must confront as 2010 unfolds.

The case is evidently strong for modernizing inter-governmental institutions so that they can respond more effectively to future situations. The greater gap in the present Asia-Pacific set-up is the absence of a "driving center" to manage effectively changing social, economic, political, and security equations. As proven in April, 2009, the G20 nations are seeking to fill this gap to insure coordinated approaches to the on-going global economic crisis. The Powers, Mid-Sized Players, and Developing Countries Co-chairman Dr. Michael Wesley, Executive Director of the Lowy Institute for International Policy, said the most compelling Asia-Pacific challenge is the realignment of the regional powers. The dynamic repositioning and intersecting interests of the US, China, Japan, India, and Russia is potentially a combustible mix in which all stakeholders desire its harmonious management. He also acknowledged that ASEAN evolved as the response to regional rivalries; APEC became the outcome of emerging trade blocs; ARF developed as the conflict resolution framework for territorial disputes; and ASEAN+X and EAS were formed to mitigate the Asian financial crisis. Current institutions, however, have not shown a capacity to deal with the rapidly changing geopolitical landscape, thus compelling the Asia-Pacific to rethink a new regional architecture.

The "APc core," Wesley observed, should be an annual Leaders' Meeting with the mandate to engage the security, economic, and political challenges facing East Asia and the West Pacific, including Australia and New Zealand. Madame (Dr.) Ton Nu Thi Ninh, Founding Committee President of Tri Viet University, highlighted the gaps of inequality, as well as prosperity, posed by globalization; and increasing competition for energy and water resources. She asserted ASEAN was an indispensable grouping within the "APc," but precisely what it could contribute beyond 2010 was an open question. In her view, membership in the G20 of an ASEAN country (most probably Indonesia) would not detract from and, in fact, be a plus for ASEAN.

Madame Ninh noted that the inclusion of the US and Russia within EAS made realpolitik sense, but opined that some countries would be uncomfortable with the inclusion of these heavyweights - because of Asia's growing sense of shared identity. From APEC to Community To Security Although APEC's role as the premier forum for economic growth and trade/investment cooperation is widely recognized, its practical achievements are thought by many "knowledgeables" to be difficult to measure. Most conferees believed APEC is not robust enough to tackle threatening mega-challenges like climate change, energy, and food security.

Given the current favorable Philippines relations within APEC, I do believe it timely for leaders to engineer a new security structure built upon the larger principle of "human security" advocated by the UN Because of the constant threats of endemic diseases, natural calamities, environmental degradation, and international terrorism, not just "human development" but, indeed, "human security" has become mankind's higher ambition. In its home-region, APEC has a key role to play in creating a Pax Asia-Pacifica as the logical successor to the Pax Americana that has enforced regional peace and stability since World War II. Unlike the "American Peace" - which, at bottom, is guaranteed by US military force - an "Asia-Pacific Peace" will be the peace of virtuous equals based on the concept of burden-sharing among member-countries, big or small.

Clearly, Pax Asia-Pacifica must be built on unswerving commitments to peace not just by the most affluent/powerful but also the mid-sized players and developing countries. For instance, a constructive Chinese role in organizing Pax Asia-Pacifica would demonstrate China's commitment to becoming the "responsible global citizen" that it has pledged to become. Japan, too, must assume more open and active participatory roles in security and peace-making because of its primacy in technology, if our home-region is to enjoy lasting periods of peace, stability, and harmony.

From http://www.mb.com.ph/ 01/16/2010

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The North Asia Security Split

Asia marks two important anniversaries this year: the 50th anniversary of the U.S.-Japan Security Treaty and 60 years since the beginning of the Korean War. That makes this an opportune time to examine just how divergent security policy in Tokyo and Seoul has become.
The global economic downturn and competing domestic priorities have left both capitals facing budget constraints. But budget austerity measures have not deterred South Korea from maintaining its commitment to its National Defense Reform 2020 plan, put in place in 2005 and revised last year by President Lee Myung-bak to enhance military capabilities, improve efficiency and build a military force prepared to meet 21st-century global challenges. Meanwhile, Japan's National Defense Program Guidelines-its basic security policy outline which is updated every five years, and due to be completed last December-have been delayed until the end of 2010. Yet the new Democratic Party of Japan-led government still felt safe enough to cut the defense budget for an eighth consecutive year.

There are stark differences between Seoul and Tokyo's approaches to defense infrastructure, too. The former exported nearly $1.2 billion dollars in defense equipment last year and is on target to meet its goal of becoming a top 10 global exporter of defense equipment in 2012. By contrast, conditions in Japan's defense industry remain bleak: The industry is shrinking rapidly because of decreased domestic demand, and the situation is unlikely to improve as long as Japan's self-imposed Cold War-era arms export ban remains. Japanese Defense Minister Toshimi Kitazawa suggested reviewing Japan's primitive policy on arms exports last Tuesday. But Prime Minister Yukio Hatoyama quickly rebuked him for being "loose-tongued," and reaffirmed that the ban would remain in place.

The variance in approaches to international diplomacy, particularly Afghanistan, is noteworthy too. Last Friday Japan's refueling mission in support of U.S.-led operations in Afghanistan expired. Rather than continue the logistical support, the Japanese government pledged $5 billion in financial assistance to the country over the next five years. This financial commitment is significant, but it will be of limited benefit if the security situation in Afghanistan remains precarious for aid workers. There is a growing sense that Tokyo's financial commitment in lieu of boots-on-the-ground indicates a Japanese retreat to the 1990s era of "checkbook diplomacy." While it remains to be seen whether this assessment is merited, Japan's Afghanistan policy suggests Tokyo is inclined to resist robust international engagement in the coming years.

The situation is markedly different in Seoul, where President Lee has eagerly embraced a leadership role for South Korea in world affairs. In his New Year's address, President Lee highlighted "global diplomacy" as one of the three main pillars of his government's agenda for 2010. And South Korea is moving to fulfill this vision by undertaking a substantive role in Afghanistan, where it plans to send a 360-member combined civilian and military Provincial Reconstruction Team this summer. The Lee government has made the courageous decision to re-engage directly in Afghanistan only two years after the previous government withdrew South Korean forces following the killing of two nationals by the Taliban.

The two countries' alliance relationships with the United States are also sharply diverging. President Lee boasted recently that ties with the U.S. are "stronger than ever." And South Korea is working to demonstrate the strength of this partnership, including through active efforts to assume wartime control of its troops on the Korean peninsula from the U.S. in 2012. During his October 2009 visit to Seoul, U.S. Secretary of Defense Robert Gates praised Seoul's efforts to transform its military and heralded the growing "active strategic partnership" between the two partners.

The U.S. and Japan use similarly upbeat rhetoric to describe their alliance, but there's little to show for it. The biggest rift in the relationship is the dispute over the U.S. Marine Corps base on Okinawa, which has become a major domestic political issue in Japan. Rather than honor a commitment on troop relocation that took over a decade to negotiate, the DPJ-led government wants to ditch it and start over again. On Tuesday, Prime Minister Yukio Hatoyama marked the 50th anniversary of the alliance by promising to mend the rift by "year-end." The clock is ticking.

In the year of the tiger, Seoul is proudly displaying its stripes in Asia and around the world. In contrast, Japan appears to be cowering like a wounded tiger cub, unsure of its global role and the benefits of aligning itself with the world's most powerful democracy-which has guaranteed its security for over half a century. The stability and security of both countries-and North Asia as a whole-depends on Seoul's courage and Tokyo's ability to overcome its cowardice.

(Ms. Leddy, a Council on Foreign Relations-Hitachi Ltd. international affairs fellow at the National Institute for Defense Studies in Japan, was director for counter proliferation strategy at the U.S. National Security Council from 2006 to 2007. This article appears in full on CFR.org by permission of its original publisher.)

From http://www.cfr.org/ 01/21/2010

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CHINA: Law to Boost Renewable Energy Industry Adopted

China's national assembly Saturday signalled the country's commitment to reducing greenhouse gas emissions by adopting a law supporting its renewable energy industry. The new law, an amendment to one on renewable energy adopted by the National People's Congress standing committee, obliges electricity grid companies to buy all the power produced by renewable sources. It also empowers the State Council's energy department, the electricity regulatory agency and its finance departments to determine the amount of renewable energy available in the country's overall power generating capacity. Power companies will be obliged to take up all of that capacity, and those refusing to do so will be fined an amount up to double that of the economic loss of the renewable energy company, Ni Yuefeng, vice-president of the assembly's environmental affairs commission, told reporters. The law was adopted after China was criticized for obstructing the adoption of a treaty on climate change during last week's international summit in Copenhagen. The new law in fact showed China's commitment to reducing greenhouse gas emissions, Ni said. "The new law will help China reduce its emission of greenhouse gases in a voluntary manner," Ni told a briefing.

From http://news.yahoo.com/ 12/26/2009

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China Passes Law to Better Protect Islands

China's top legislature adopted a new law Saturday to better promote development and protection of the nation's sea islands. The National People's Congress (NPC) Standing Committee endorsed the law of island protection at the end of a five-day legislative session after several revisions since it was submitted for the first reading in June this year. According to the law, China will strengthen protection of eco-system, rational utilization of natural resources and sustainable development on the country's sea islands. The law bans coastal reclamation to quarry stone or sand in both inhabited and uninhabited sea islands, and bans all construction projects, tree felling and tourism activities on uninhabited sea islands. It also prohibits activities that could damage coral and coral reefs in the sea. All development projects on inhabited islands will be subject to strict environmental impact assessments, and vegetation and indigenous species will be strictly protected, said the law. The State Oceanic Administration and its branches would be responsible for inspecting work concerning islands protection, according to the law. China has more than 6,900 islands that each has an exposed area out of water larger than 500 square meters and more than 10,000 smaller isles.

From Xinhua News Agency 12/27/2009

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China's Top Legislature Adopts Tort Law

Adjust font size: China's top legislature ended its five-day bimonthly session Saturday, approving tort liability and island protection laws and an amendment to the renewable energy law. Wu Bangguo, chairman of the Standing Committee of the National People's Congress (NPC), told the closing meeting that the Tort Law was significant in "protecting civil rights and people's interests, preventing and punishing infringement acts, reducing conflicts and promoting social harmony and stability." The top legislator said the amendment to the renewable energy law would "greatly promote a healthy and rapid development of the renewable energy sector and adjust energy structure to strengthen the building of an environment-friendly and resource-saving society."

The island protection law would play a key role in protecting islands' eco-system, rationally utilizing natural resources and safeguarding the country's marine rights, Wu said. The session also examined two reports from the State Council on employment and boosting development of small and medium-sized enterprises. It also voted to ratify a United Nations protocol to combat human trafficking - the Protocol to Prevent, Suppress and Punish Trafficking in Persons, Especially Women and Children, supplementing the UN Convention against Transnational Organized Crime. The session also approved a pact on criminal judicial assistance between China and Malta. It voted to appoint Han Changfu, former governor of northeastern Jilin Province, as agricultural minister. The meeting also decided to open the annual plenary session of the NPC on March 5 next year.

From Xinhua News Agency 12/27/2009

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Pension Transfer Rules Take Effect Jan. 1

New rules from the central government taking effect January 1 will allow migrant and urban workers to transfer funds from their pension accounts to different provinces if they move, according to draft guidelines of the rule issued following an executive meeting of China's State Council last week. At present, workers who leave their jobs and move to work in another province have their pension fund, which grows in accordance with the number of years worked, revert to zero. "This is a milestone for the country's pension insurance history, and will help to boost the country's economy by encouraging cross-regional flow of workers," Chu Fuling, a professor with the China University of Finance and Economics, said Monday. Migrant workers praised the new guidelines. "If the pension fund could not be transferred, the funds that I submitted in the previous three years would be wasted, "a worker named Wang Minghui, who came back to Beijing after working in Guangzhou for three years, was quoted by the China Times as saying.

"Although I don't care too much about this because I am still young, some of my senior colleagues have had to give up job opportunities in other cities for fear of losing the funds they have paid for," Wang said. But Chu said some technical issues must be resolved and detailed guidelines in different provinces need to be perfected in the future. And analysts were quoted by the China Times as saying that the shifting of funds in and out of pension accounts needed to be made more convenient. The guidelines released by the State Council also said a small part of the pension funds won't be returned to employees who leave for new jobs in other regions. That sparked anger in some online forums and blogs, with posters wondering why all of the funds would not be returned to them. But Chu said the move was already a big boost for workers from the central government. "Some local pension management departments would not be happy if the funds paid by companies or units in their areas are totally transferred to other provinces or departments, and we need reform gradually," he said. Chu added that the guidelines have been in the works for several years and were already a big achievement.

From Global Times 12/29/2009

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China Announces Rules on Management of Major State Enterprises' Executives

China Wednesday announced a regulation on management of senior executives of the 136 large centrally-administered enterprises. The regulation included the executives' performance in protecting environment, saving energy and resources in the assessment to guarantee an all-around, harmonious and sustainable development of the state-owned enterprises. Jointly issued by the General Office of the CPC Central Committee and the General Office of the State Council, the regulation stipulates the qualifications of being a SOE executive should include outstanding achievements in their work, professionalism and high political quality. Corporate social responsibility will also be evaluated for the managers.

From Xinhua News Agency 12/31/2009

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Hu Underlines Efforts to Support Agriculture

President Hu Jintao on Friday urged Party committees and governments at all levels to make issues related to agriculture, rural areas and farmers top priority of their agenda and called for increased investment in these areas. During a visit to villages in China's northern Hebei Province Friday, Hu called for efforts to develop modern agriculture by relying on the progress of science and technology and make sure that farmers have increasing incomes. The president said this year's No. 1 document of the CPC Central Committee will include a batch of new policies to support agricultural development. Hu spent time inquiring about the livelihood of local farmers and conveyed New Year greetings to them. At a vegetable greenhouse of Liqizhuang Township of Sanhe City, which is close to Beijing, Hu inquired about sales and market price of vegetables and incomes of local farmers. Hu urged local farmers to give full play to the area's geographic advantage and contribute to the development of local economy by raising the quantity and quality of vegetables. At a grain and oil enterprise, Hu called for intensified efforts to improve product quality and lower production cost so as to provide consumers with more quality edible oil with a low price. In another village of Liqizhuang Township, Hu encouraged village authorities to improve villagers' life quality by improving infrastructure and providing local people with more services. After being told that 74-year-old villager Zhang Futai and his wife had moved into a two-storey building from a house made of mud and stone, Hu said he was happy to see the farmers' living conditions being improved.

From Xinhua News Agency 01/02/2010

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New Law Proposed for Drunken Drivers

Two senior judges have proposed a new law that would include possible death sentences for drunken drivers found guilty of causing fatal road accidents and then trying to flee the crime scene, the Jinan Daily reported Tuesday. Gao Guijun, presiding judge at the Fifth Criminal Court of the Supreme People's Court, and his deputy, Han Weizhong, suggested in an article published in Law Science Magazine that drunken drivers who resist arrest or cause severe losses while trying to flee the scene of a serious accident should be prosecuted under a new criminal law called dangerous driving, punishable with up to the death penalty. The suggestion came out amid China's ongoing crackdown on drunken driving, which caused many fatalities last year and triggered an urgent public call for harsher punishments for all traffic accident crimes.

Before last year's crackdown, drunken drivers in China were seldom sentenced to death even if they caused significant property damage or loss of life. However, the judges specified that the death sentence should only be applied to drunken drivers who are responsible for fatal accidents and then cause further damage or loss of life while trying to flee the scene. The judges say the proposed law would help rein in soaring drunken driving cases. Under the current system, fleeing drunken drivers who cause serious losses are tried on charges of endangering public security, which is also punishable with the death penalty.

From CRI 01/05/2010

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Chinese Vice Premier Stresses Positive Fiscal Policies

Chinese Vice Premier Li Keqiang stressed that China would continue to implement positive fiscal policies and improve fiscal and tax systems for scientific development. More efforts should be made to expand domestic demand, improve people's livelihood and promote the change of economic growth pattern, said Li at a national fiscal work meeting in Beijing on Monday. China had taken active fiscal measures in the past year to cope with impacts from the global financial crisis and the measures had been proven effective and helped promote economic restructuring and boost reforms in key fields, Li said. Faced with most complicated economic situation this year, China should ensure the continuity and stability of macro-economic policies and balance the relations of stable and relatively fast economic growth, economic restructuring and managing inflationary expectations, Li said. Expanding domestic demand should be made the main point of positive fiscal policies and the fiscal expenditure structure should be optimized to prevent potential risks, Li said. To ensure and improve people's life was the ultimate goal for economic growth and more efforts should be made to improve social security net, Li said.

From http://www.chinaview.cn/ 01/12/2010

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China Amends Rules over Domestic Inventions for Foreign Patents

An amendment to the implementation rules of the Patent Law, made public Monday, detailed the procedure of government scrutiny over domestic inventions before they are submitted for foreign patent application. The rules were amended to be in line with the latest amendment to the Patent Law, said a statement from the State Council Legislative Affairs Office. The law amendment, adopted in December, 2008 and taking effect in last October, allows inventors to apply for foreign patents before obtaining a domestic one but asks them to go through government scrutiny to find out if such innovations should be made national secrets. The amendment was considered a move to encourage innovations and improve international competitiveness as, previously, the Patent Law stipulated that people, whose inventions were completed in China, must apply for domestic patents first before applying for a foreign one. According to the newly amended rules, the inventions, produced in the Chinese mainland, are considered domestic inventions. And inventors should submit them to the Chinese patent authorities for scrutiny before applying for a foreign patent. The authorities are required to inform inventors, within four months after they apply for scrutiny, if the inventions are related to state security and should be put in a special scrutiny procedure. The special procedure should finish within another two months and the authorities would inform the inventors whether their inventions are kept secret for national interests or not. The inventions, related to the defense sector, will be handed over by the government patent authorities to the military patent authorities, the rules said. But the rules did not include definitions of state security or national interests. The new rules also added an item to regulate the patent application of inventions that are based on genetic resources of human, animal, plant and microbe. Inventors are asked to elaborate the genetic resources in the application papers. China's Patent Law, enacted in 1985, has been revised for three times.

From Xinhua News Agency 01/19/2010

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Gov't Purchasing Laws to Tighten

Procurers for government projects must avoid transactions if the cases are linked to potential suppliers from up to three generations of the procurer's family members, a newly released draft on regulations under the government procurement law has stated. The latest draft is aimed at specifying the law, including details over domestic goods in government procurement, to further fight any corruption in the purchasing process. "The new draft addresses fairness within the government purchasing procedure, even as the implementation of the regulation can be quite complicated during any investigation of three generations of related staff," Zheng Bin, a senior officer of the department in charge of the procurement center in Wenzhou, Zhejiang province, said in an interview. "It still depends on the self-awareness of those who are involved in the purchasing."

The Procurement Law of 2003 stipulates that buyers for the government should avoid any transactions if they are linked to suppliers, without specifying the details. The government purchasing system involves three parties including the purchaser (government), the buying center (State-owned purchasing agent) and the supplier. The purchaser sets up the budget and detailed plans on the required goods for the buying center, which then opens the public bidding among suppliers. A few random specialists from a group of procurement specialists selected by the government have to make the final decision on the suppliers used. Every city has a buying center that has a database of procurement specialists and a list of authorized suppliers in all areas related to the purchasing goods requested by all departments of the municipal government.

The buying center is currently a State-owned sector in charge of regulating a group of procurement specialists and a list of authorized suppliers for the government. In the near future, the center is expected to become a private enterprise. Those in the sector welcomed the latest move by the authorities toward transparency in transactions. "We're in favor of the draft that avoids any benefit-based relationship between the purchaser and supplier It will help set up a fair and transparent platform among suppliers," said Zhang Zhijie, the manager of Zhejiang Young Forever Information Industry Company, which is an authorized IT supplier to the Zhejiang government. "We don't have to worry about other suppliers taking shortcuts when we don't have any such contacts," Zhang said. "Any corruption in the purchasing process can be avoided if the overall purchasing procedure is ensured as open and public with detailed lists of required products, budgets and specifications," said Liu Xiaochuan, a professor specializing in purchasing policy from the Shanghai University of Finance and Economics. "The actual solution to the problem is to design an appropriate policy to restrict the government purchasing system. For example, suppliers shouldn't have access to information on randomly selected specialists before final purchasing results are out," Liu said.

From China Daily 01/20/2010

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JAPAN: Updated Family Laws Proposed

Japan's justice minister says she plans to begin introducing bills in January against discriminatory marriage- and family-related laws in the civil code. Justice Minister Keiko Chiba said she would submit a bill to the National Diet of Japan so that married couples can choose to have the same family name or keep their unmarried surnames, Kyodo News reported Sunday. Under the proposed amendment, children of married couples may take the surname of either parent, Kyodo News said. The amendment also would mean women would no longer be barred from remarriage for six months after a divorce, but rather will be required to wait only about 100 days, the newspaper said. It is likely that under the new amendment children born to unmarried parents would no longer be entitled to receive only half the inheritance permitted to legitimate children, but could inherit equally under the amendment.

From http://www.upi.com/ 12/27/2009

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Hatoyama Unveils Policy for Growth Strategy Through 2020

The government unveiled Wednesday a basic policy for its growth strategy through 2020, aiming to achieve an average economic growth of 3% in nominal terms by boosting demand in the environmental, health and tourism fields and creating a total of 4.76 million jobs in related industries. Under the New Growth Strategy whose basic policy was approved by an extraordinary cabinet meeting in the morning, the government will strive to lift the nation's nominal gross domestic product to around 650 trillion yen in 2020 from the expected 473 trillion yen in fiscal 2009 through next March. The Democratic Party of Japan-led government, which took office in September, said its growth strategy focuses on generating demand and jobs by implementing measures to improve the lives of households, and is different from the previous government's emphasis on expanding business activities to boost the economy.

"What is lacking in Japan now is confidence, hope and a sense of feeling that things will be all right if we pursue a certain path,'' Prime Minister Yukio Hatoyama said at a separate meeting with cabinet members. ''A growth strategy is necessary in Japan, and we want to reshape the nation into one where the government firmly and proficiently supports (growth).'' Hatoyama said past strategies launched by previous governments depended on growth led by public works or a focus on market capitalism, and did not necessarily lead to growth for the entire nation. "We changed the past idea that was biased toward encouraging the supply side, and we intend to firmly generate demand,'' he said. The nominal economic growth target is a jump from a record 4.3% contraction the government projects for fiscal 2009. On a price-adjusted real basis, the government will aim to post a 2% annual expansion in the nation's economy on average over the next decade. Designating the environment, health and tourism as key areas for growth, the government plans to generate more than 100 trillion yen in new demand in the three industries by 2020. But it has yet to show a clear picture for its fiscal spending plan to achieve these targets.

Details of the growth strategy, including a time schedule for achieving the targets, are expected to be decided around June next year, the government said. According to the strategy's outline, the government targets reducing the nation's unemployment rate from the current 5% level to the 3% level in four years. In addition to the environment, health and tourism, it has also pledged to place priority on development in science and technology, employment and human resources, and efforts to create demand from fast-growing Asian economies. To help achieve the economic targets, the government plans to support technology development for next-generation cars and rechargeable batteries, and encourage the diffusion of sustainable energy through other policies. By doing so, it aims to generate 1.4 million jobs in environment-related businesses and to cut 1.3 billion tons in global greenhouse gas emissions by 2020 from the current 28 billion tons.

To boost tourism and regional economies, the government plans to introduce a new holiday system and make it easier for people from other Asian countries to obtain tourist visas. It plans to nearly triple the number of overseas visitors to Japan from 8.35 million in fiscal 2008 to 25 million by 2020. In the field of medical and nursing care services, the government will help companies cultivate overseas markets, especially in Asia. By also promoting the spread of barrier-free housing among other steps, the government plans to create 2.8 million jobs in the sector. In addition, it intends to set up a Free Trade Area in the Asia-Pacific region by 2020 and turn Tokyo's Haneda airport into a hub airport operating around the clock. On employment issues, the government vowed to halve the number of so-called ''freeters,'' or non-student part-time workers excluding housewives, and enable any woman who has given birth to return to work if she wishes. The growth strategy also stated that Japan's public and private sectors together should spend the equivalent of 4% of GDP or more in science and technology-related research and development projects to help support the nation's growth.

From http://www.japantoday.com/ 12/30/2009

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Policy for Economic Growth

The government on Wednesday announced a basic policy for its economic growth strategy through fiscal 2020. Envisioned is average economic growth of 3 percent in nominal terms and 2 percent in real terms in the coming decade, plus a reduction in the unemployment rate from the current 5 percent level to around 3 percent in four years. However, the economic reality is harsh. In November, the unemployment rate went up for the first time in four months, to 5.2 percent. The government's economic outlook for fiscal 2010 shows that unemployment will remain at 5.3 percent and deflation will continue, although the economy is forecast to grow 1.4 percent in real terms, the first positive growth in three years. A recent government survey shows that ordinary citizens such as taxi drivers and shop managers feel that the economy has been rapidly deteriorating in the past three months due to small winter bonuses and the bad employment situation. The basic policy for growth attaches importance to creating new demand by assisting the energy, environmental protection, medicine and nursing care sectors.

This suggests a government view that supply-side economics of the past centered on assistance to the manufacturing sector has failed to bring economic rewards to people. The government plans to develop a new index to gauge people's happiness. The policy aims to create 1.4 million new jobs in the environmental and energy sectors, 2.8 million new jobs in the medical, nursing care and health sectors, and 560,000 new jobs in tourism and regional revitalization; and to raise Japan's food self-sufficiency to 50 percent. The policy also calls for Japan's stepped-up assistance in infrastructure improvement in other Asian countries, creation of an Asia-Pacific free trade area and cuts in the world's greenhouse-gas emissions by more than 1.3 billion tons - equivalent to Japan's emissions - through the application of Japanese technologies. This approach will likely help increase Japanese exports at a time when rapid expansion of domestic demand is unlikely due to the dwindling population. The government should flesh out the basic policy with the backing of funds as soon as possible.

From http://search.japantimes.co.jp/ 01/04/2010

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Japan's Fiscal Policy Harder to Predict under Kan

Japan's fiscal strategy under the government led by the Democratic Party of Japan has become more difficult to predict with the appointment last week of Naoto Kan as new finance minister, Moody's Investors Service said Tuesday. Moody's said the "unknowns" on Japan's fiscal strategy have deepened as Deputy Prime Minister Kan replaced "the seasoned" Hirohisa Fujii - who stepped down for health reasons last Wednesday. The U.S. credit-rating agency said the replacement "does not engender confidence that Japan will put together a credible, fiscal strategy that will convincingly reduce deficits and stabilize the massive government debt overhang over the medium term." But the agency said the current rating on yen-denominated Japanese government bonds, Aa2, has been kept unchanged. It said, "Support to the rating over the medium term is predicated on stronger economic growth and a return to a gradual course of deficit reduction and debt containment."

From http://www.breitbart.com/ 01/12/2010

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Gov't to Submit 61 Bills to Upcoming Diet Session

The government plans to submit 61 bills to parliament during the regular session from Monday, including those which would realize some of the Democratic Party of Japan's major campaign pledges, ruling lawmakers said Wednesday. The bills include one that would provide monthly allowances to child-rearing families, another that would make public high school education effectively free, and another that would increase the number of lawmakers serving in senior government posts - all of them spelled out in the party's election manifesto.

From http://www.japantoday.com/ 01/14/2010

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Law Revision Eyed to Help Consumers File Suits Against Foreign Firms

An advisory panel to the justice minister compiled Friday a draft outline of legal revisions to enable Japanese consumers and workers to file lawsuits against foreign business corporations in Japan more easily. A subcommittee of the Legislative Council worked out the outline as part of efforts to cope with an increasing number of problems involving transactions through the Internet and employment contracts between people in Japan and foreign firms. The outline will be formally approved at the council's general meeting in early February and submitted to Justice Minister Keiko Chiba so the government will be able to present revision bills for the Code of Civil Procedure and the Civil Preservation Law to the upcoming Diet session. Currently, there is no domestic law governing the jurisdiction of a legal battle involving parties belonging to two countries, thus Japanese courts have so far handled those suits on a case-by-case basis, based on precedents. The draft outline clearly states that Japanese consumers can file suits with Japanese courts if defendant foreign firms have their main offices in Japan or if they designate bank accounts in Japan as those for payment for goods and services provided.

The outline also states consumers can file suits with Japanese courts against foreign firms if their current residence addresses or previous address at the time of contract are in Japan. In the event of foreign firms taking legal action against consumers in Japan, they will be required to file suits only with Japanese courts, not with foreign courts, if the consumers' addresses are registered in Japan, according to the outline. On labor contracts, workers can file suits against foreign employers with courts in Japan if they provide labor service in Japan. In the case of foreign employers taking legal action against workers in Japan, the outline proposes that they be required to file suits with courts in Japan if the workers' residence addresses are in Japan. The advisory body has since 2008 studied legal revisions on the jurisdiction of international disputes, the officials said.

From http://www.japantoday.com/ 01/16/2010

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SOUTH KOREA: Expand Cultural Investments in 2010

Korea announced next year's plans for the culture and tourism sectors on Tuesday, saying tens of millions of dollars will be spent on creating new exportable cultural content and bringing in 8.5 million foreign visitors, according to Yonhap News. Coinciding with its 2010-2012 "Visit Korea" campaign, the government will host large events featuring Korean food and culture next year, aiming to increase the annual number of foreign visitors from the current 7.8 million, according to the plans reported to the president Tuesday. The culture ministry is also planning to increase financing for the promotion of local films, games, broadcast materials and other cultural content overseas with a goal of reaching an export volume of $3.8 billion next year. It also plans to spend at least 100 billion won ($84 million) next year in supporting those who help create new cultural content.

The Korean government will begin construction next year in central Seoul on the state-run Korean alphabet museum, which is slated for completion in 2012. The culture ministry is also discussing ways of coming up with a coordinated plan that would pay media firms for news material they provide to government Web sites. The plan is part of efforts to change the public's perception of copyrighted on-line content, which many argue should be free. Details of the plan will be announced after further research, ministry officials said. To bridge the cultural gap separating different social classes, the government plans to provide newspaper subscription fees to some 33,000 low-income households, set up 45 state-run gyms nationwide and publish 2,000 audio books for the visually impaired. The ministry has also lined up plans focusing on promoting Korean tradition and culture during the May 25-28 UNESCO World Conference on Arts Education hosted by Seoul next year. The second such conference, considered the largest global event in the arts education sector, will draw some 2,000 culture experts and government officials from 193 UNESCO member states, nongovernmental organization representatives and artists, according to Seoul's culture ministry.

From http://www.koreaherald.co.kr/ 12/22/2009

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Minister Pressures DP on Labor Union Bill

With talks on a new labor union bill deadlocked at the National Assembly, Labor Minister Yim Tae-hee yesterday pressured the main opposition Democratic Party to agree on a compromise proposal, which he said has been "almost" reached. The controversial bill, which will permit a multiple-unions system at a single workplace and ban wage payment to full-time union officials, is scheduled to be implemented from Jan. 1. After representatives of labor, management and the government failed to reach an agreement over the past year, the revision talks on the bill were underway at the parliamentary committee on labor and environment. "I think a tentative compromise has been reached at the National Assembly on most key issues. However, DP yesterday newly raised the issue of allowing bargaining rights of individual industrial unions, making the talks difficult again," said Yim at a press conference. "The Labor Ministry and the ruling Grand National Party made concessions within the range that a basic principle is secured. If the DP sticks to give the special favor to industrial unions, it seems unlikely for the talks to be agreed on within the year." The Ministry of Labor has maintained its firm stance to push ahead the implementation of the bill next year as originally planned. As the talks on the revision have been prolonged, the ministry has prepared some protective measures in its administrative notice of the bill issued Monday.

According to the new regulations, employees working full-time for labor union can be partly subject to a paid time-off when their union activities are considered related to the improvement of labor-management relationship. In order to protect small labor unions under the multiple-unions system, the ministry also put a grace period for the bill to be enforced at small businesses with less than 300 employees. The regulation that allows only one single negotiation channel at a workplace can be conducted flexibly through labor-management consensus. Reaffirming his firm stance, the minister saw a low possibility that the bill could be passed unilaterally by the GNP at the National Assembly. "Because the interests of various stakeholders are involved in the issue, I think enough discussions should be made prior to the law's enforcement," he said. However, he made it clear that there will be no more compromise on the bill, which was originally passed back in 1997. "There's nothing left to be discussed. We won't be able to find a common ground if (the DP and labor groups) demand to reexamine the issue from the starting point."

From http://www.koreaherald.co.kr/ 12/30/2009

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Basic Law on International Development Cooperation Passed

The following is a press release dated Dec. 30. The basic law on international development cooperation, a comprehensive law concerning Korea's international development cooperation, was passed during the plenary session of the National Assembly on December 29. The law prescribes the definition, purpose, and basic concepts of Korea's international development cooperation. It also contains provisions on operating the Committee for International Development Cooperation, chaired by the Prime Minister, and designating a coordinating agency in order to make Korea's dual aid system of grants and concessional loans more comprehensive and systematic. The law has been created after consultation with civic organizations and relevant ministries, including the Office of the Prime Minister, the Ministry of Foreign Affairs and Trade, and the Ministry of Strategy and Finance, regarding an alternative bill which the Foreign Affairs,

Trade and Unification Committee has prepared by combining and adjusting the bills on ODA basic law, proposed by five Representatives Song Min-soon, Jin Young, Kim Boo-kyum, Bae Young-shik, and Lee Mi-kyung respectively in the 18th National Assembly. The enactment of the basic law on international development cooperation provides a comprehensive legal basis in addressing the inefficiency and fragmentation of Korea's ODA system, in which about 30 agencies handle ODA matters individually. Therefore, the law is expected to contribute to enhancing consistency and efficiency of Korea's aid policy. The Ministry of Foreign Affairs and Trade handles grants, and the Ministry of Strategy and Finance is responsible for concessional loans.

The Committee for International Development Cooperation deliberates and coordinates both grants and concessional loans as a whole. Also, the enactment of the basic law on international development cooperation, together with Korea's accession to the OECD Development Assistance Committee (DAC) in last November, will provide momentum to improve our ODA system. The law will enter into force six months after the date of its promulgation, and the government will prepare a presidential decree on the law in the first half of next year.

From http://www.korea.net/ 01/04/2010

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Law & Order to Be Stepped Up to Boost Nat'l Standing

[Focus 2010] is Korea.net's policy series detailing the Korean government's main goals for the year 2010. The national judicial system will be significantly renovated to become more user-friendly and live up to the country's enhanced international standing as G20 summit host nation. Korea's reputation is much higher than most Korean people assume and the country's law and order should be strengthened to reflect that status, President Lee Myung-bak said in a policy briefing held in December. In this regard, the Ministry of Justice will pursue policies in the New Year to root out violence, especially crimes against children. It will step up punishment of child sex offenders by extending maximum jail terms from 20 to 30 years. Also, DNA information on murderers, sex offenders and drug traffickers will be digitalized to be used for quicker apprehension of suspects.

Strikes and demonstrations which are politically motivated or involve violence will face stricter punishment, while efforts to improve labor-management relations will be boosted, according to the ministry. Legal measures to better serve expatriates and tourists here will be beefed up as well. The Justice Ministry plans to enhance immigration service at major airports by promoting "three S" work attitudes - Speed, Smile and Smart - to live up to the internationally recognized status of Korean airports. Incheon International Airport, for example, has been named the best airport by the Airports Council International for a fifth straight year since 2005. Immigration procedures for those invited by Korean companies and long-time residents here will be shortened through measures such as an online visa issuance system. The ministry will also increase support for immigrant families already in the country. It plans to build more social welfare centers and provide more job opportunities for non-Korean family members. Also, in collaboration with the International Organization for Migration, the ministry will establish a research institute charged with developing immigration policies this year. (Korea became a member of the 127 member strong IOM in 1988.)

The Ministry of Government Legislation also mapped out plans to better serve non-Korean residents in the country. For foreign investors and businessmen, the Legislation Ministry will provide an English translation service on Korean laws and regulations. Relevant promotional books and CD ROMs will be distributed at the venues of the G20 summit to be held in November. The ministry also plans to make lives of non-Koreans here more comfortable by expanding legal information related to their daily lives in English. The government will engage in international collaboration, through which Korea will export its legislation-related experiences to developing countries. Through this work, the Legislation Ministry plans to share with other countries knowhow on Korea's economic development, which was supported by legislation on investment, industrial development and the opening up of capital markets. The Anti-corruption and Civil Rights Commission will become involved in driving out corruption from the public sector and heightening transparency in society as a whole.

The commission plans to launch evaluation of the transparency of high-ranking government officials, and to expand such evaluation to include public sector organizations. Currently, a total of 470 entities are subject to such tests and the number will increase to 650, according to the commission. The evaluation will be conducted jointly with the Ministry of Public Administration and Security and the Ministry of Strategy and Finance. The commission will continue to dispatch a special task force to listen to people's problems and distress caused in districts nationwide. In 2009, about 700 complaints were received by the committee, 60 percent of which were settled. The task force plans to visit 36 locations around the country this year to deal with problems mainly related to underprivileged people and "public vs. private" conflicts. It will also devote its energy to solving social problems related to the construction or renovation of major social infrastructure, such as railways, apartment complexes and riverbanks. The commission will also take steps to improve the human rights of migrant workers and launch a joint research project with the OECD to heighten the status of Korea's anti-corruption and transparency performance.

From http://www.korea.net/ 01/07/2010

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Gov't Policies to Stimulate Green Growth, Rural Economy

[Focus 2010] is Korea.net's policy series detailing the Korean government's main goals for the year 2010. Yeongdeok Windpower Generation Complex in North Gyeongsang Province (left) and Sinan Solar Power Plant in South Jeolla ProvinceThe government this year will exert all-out efforts to pursue sustainable and eco-friendly economic development by lowering the emission of greenhouse gases and promoting the national river restoration project. These endeavors are expected to create more jobs in the public and private sectors, thereby greatly contributing to national economic growth. It also plans to finish about 60 percent of the four rivers restoration project within this year, while high-end housing, tourism and leisure spots will be constructed around the main course of the Han, Geum, Nakdong and Yeongsan rivers. Cities around the major watercourses are expected to enjoy economic and industrial development along the way. Long-distance transportation will be restructured, the ministry says, in ways to maximize the efficiency of public transit, and railways and the KTX high-speed train will be at the center of the scheme.

New highway construction will be avoided while the KTX will be linked to the Incheon International Airport by 2012. The ministry will also introduce a transportation pass which can be used without regard to provinces all around the nation. Also, for new building construction, insulation standards will be tightened for efficient energy use. The Ministry for Food, Agriculture, Forestry and Fisheries will create 29,000 new jobs by nurturing bio-industries in an earnest bid to grow profits from related fields. A total of 60 billion won will be spent in 2010 to develop genetic varieties, whereas operating costs needed to purchase fertilizers and fuels will be cut to a minimal level. In order to ensure a safe supply of food, the ministry will disallow the use of toxic agricultural chemicals, strengthen quality screening on beef imports, and identify all agricultural products including rice and kimchi by their place of origin. The ministry will also lead the Korean food globalization campaign by launching a "Hansik (Korean food) Foundation" which will be in charge of commercializing traditional Korean foods, as well as makgeolli (rice wine) and sea salt overseas. The ministry says that around the renovated areas of the four rivers will be built a variety of observatories, ecological lands and forests, which will contribute to regional economy stimulation.

The Ministry of Public Administration and Security set out an ambitious plan to create 60,000 jobs in the public sector, through recruiting administrative interns, IT experts, disaster relief workers and many more in 2010. In an effort to boost the regional economy, the ministry will loan low income earners and credit delinquents a total of 200 billion won without collateral and surety. Tax benefits for startup businesses, families with many children and people returning to farming will also be expanded. The ministry will assist the construction of bicycle paths along the four rivers and nurture 10 bike-strong cities in ways to promote the government's river restoration project and green growth strategy. Facing an era of "low birth and aging workforce," the ministry will give benefits to pregnant women and working mothers and redeploy retired government officials as consultants and senior advisors at different public offices.

In the run-up to the November G20 summit in Seoul, the ministry will promote various campaigns on fair pricing for foreigners, no rip-off taxi drivers, English menus at restaurants, safe and clean roads and elimination of eyesore signs. Language and vocational support for multicultural families will also be boosted. The Ministry of Environment will establish the "Four Rivers Water Quality Control Center" in June, and will this year restore a total of 104 streams, major water resources for the four major rivers. The water center will constantly monitor, analyze and evaluate level, quality and underwater ecological systems of major water courses around the nation. Water distribution and sewer networks for farming and fishing villages will be drastically improved through governmental support as well.

Efforts to make the best use of natural resources will be pursued. For one, green roads will be paved around the Bukhan Mountain National Park in Seoul and similar spots in Daegu in North Gyeongsang Province and Gangneung in Gangwon Province. Saemangeum Reclamation Land area in North Jeolla Province will be reborn as a zero-carbon tourism attraction, and Upo Swamp and nearby Junam Reservoir in South Gyeongsang Province will be linked to develop them as an ecological tour route. Also, next generation vehicles, such as hybrid cars, will be heavily promoted and Korea's knowhow on environmental protection will be shared with developing countries, such as Uzbekistan and Tanzania through overseas development assistance and R&D projects.

From http://www.korea.net/ 01/08/2010

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Labor Minister Urges Strict Law Enforcement

A labor strike demanding corporate payment for full-time union officials can be considered illegal even before the implementation of a related law in July, Labor Minister Yim Tae-hee said yesterday. A revised bill to the labor union law prevents companies from paying wages of employees working full-time for a union, along with permitting a multiple-union system at a single workplace. Amid fierce resistance both from labor and management, the compromise bill was passed in the National Assembly on Jan. 1. However, the law allows companies to pay full-time union officials until the expiration date of their labor-management agreement signed before the law's enforcement. And some labor unions were demanding a revision on their previously-signed collective agreement, threatening to stage a strike. "It is a clear violation of their duty of peace that labor unions ask for renegotiation on the corporate payment of full-time union officials. Companies are not obliged to respond to such a proposal and won't be punished for unfair labor practice," said the minister, who marked his 100th day in office yesterday. "A new agreement can be reached through labor-management talks.

Even in that case, regulations related to the wages of full-time union officials should be discussed in consideration of the pending law." Over the paid time-off system that partly allows corporate payment of full-time union officials, the ministry is considering including scholars in a special review committee, he said. According to the revised bill, a total of 15 representatives of labor, management and the government are to participate in the committee to set guidelines for the paid time-off system. "If the committee members are composed of representatives of specific stakeholder groups, it will be difficult to reach an agreement. For smoother discussions, some members of the committee need to be recommended among experts who don't have direct interests in the issue," said Yim. He also reaffirmed the ministry's name change to "Ministry of Employment and Labor," saying that the organization and their jobs will be reshuffled soon with a focus on job-creation policies. The ministry plans to submit a related revision bill to the National Assembly next month.

From http://www.koreaherald.co.kr/ 01/08/2010

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INDONESIA: Govt to Solve Overlapping Regulations

The government is to issue a new regulation next February to help solve the classic problem of overlapping regulations between central government and regional and provincial administrations. Director general for forest planning at the Forestry Ministry, Soetrisno said Wednesday the ministry was finalizing a draft regulation on forest conversion and functional change to be presented to the state secretary for approval in January. "We're finalizing the draft regulation. We've been conducting a series of meetings with regents and governors to discuss a plan to solve the problem of overlapping regulations between the central government and the regional administrations," he said. "We'll present the draft to the state secretary in January. Hopefully, it can be approved later in January and we'll make it effective as of February."

He said the new regulation will be more or less the same as the previous one, but the difference will be in the harmonization of overlapping regulations between central government and regional administrations. "There are overlapping regulations due mainly to differences in forest zone mapping and planning between the central government and regencies," he said. Many investors have complained about the overlapping regulations, causing their investments, mostly in mining and energy, to be delayed or even cancelled.

The director general of forest protection and natural conservation, Daruri, confirmed the difference in the new regulation will be on the integration of overlapping regulations. "More or less it'll be the same. Only that it harmonizes the differences between us the central government and the regional administrations," he said. He noted the regulation was expected to create legal certainty for forestry-related investments, particularly for developing geothermal power plants, mining, and plantations.  "We have to admit that about 70 percent of geothermal sites are located in our protected forests. And so are our mining locations. Currently, there are a total of 300,000 hectares of protected forest which have been used for mining.

From http://www.thejakartapost.com/ 12/31/2009

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Government Issues New Double Taxation Regulation

The government has introduced a new set of regulations regarding double taxation agreements (DTA), aimed at tackling misuse of such agreements. The Directorate General of Taxation has made changes to the regulations and administrative procedures for taxpayers who apply for double taxation. These measures are aimed at tackling the misuse of DTA, for example treaty shopping, as well as to enhance transparency and increase tax revenue. The regulations are valid as of Jan.1, 2010, for private and foreign taxpayers as well as banks.

From http://www.thejakartapost.com/ 01/22/2010

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LAOS: Vice-Premier Advises on Accelerated Agricultural Production for Export

(KPL) Standing Deputy Prime Minister Somsavat Lengsavad has stressed core cadres of Xiengkhouang province on agricultural production for export by determining the agricultural products that is current market demand. The application of new technique needs to be put on agricultural production and livestock raising in order to increase the output of product, he advised the executive board of Xiengkhouang province administration during working visit to Xiengkhouang province on 17 January. The advice has been come out after listening to the provincial general situations from Mr Viengthamone Phommachanh, Deputy Secretary General of Xiengkhouang province.

Taking part in the meeting were Mr Khamsing Dasaophoun, Party Secretary of Xiengkhouang province and other provincial core cadres. In particularly, last year's outstanding conditions of socio-economic development in the province saw its gross domestic product reached 1,176.29 billion kip. Out of this figure, 53% was agricultural sector, 34% was industrial sector and 13% was service sector. The average of per capita income was 4.7 million or was equivalent to US$554.

From http://www.kplnet.net/ 01/20/2010

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PHILIPPINES: PGMA Signs Climate Change Implementing Rules

MANILA - President Gloria Macapagal-Arroyo signed Friday the implementing rules and regulations (IRR) of Republic Act 9729, otherwise known as the Philippine Climate Change Act of 2009. The law was enacted to institutionalize government efforts to prepare the country for the worst effects of climate change. On hand in the signing ceremony in Malacanang this morning were Presidential Adviser on Climate Change Heherson Alvarez and Environment Secretary Eleazar Quinto. President Arroyo signed RA 9729 into law on October 23 last year. The first of its kind in the Association of Southeast Asian Nations (ASEAN), RA 9729 formulates a strategy of climate change mitigation and adaptation for implementation from the national to provincial, city/town, and down to barangay level.

The law created the Climate Change Commission, headed by the President herself, the sole policy making body of the government tasked to coordinate, monitor and evaluate the programs and action plans on climate change. The IRR outlines the powers and functions of the Commission and all duties and responsibilities of all concerned agencies, including local government units (LGUs).

Among these powers and functions is the formulation of an action plan for implementation down to the barangay level, with emphasis on risk management and reduction. The Philippines, being vulnerable to climate change, called for deep and early cuts in greenhouse gas emissions particularly, directing the appeal to highly industrialized countries during the 15th Conference of Parties (COP-15) in Copenhagen in December last year. (PNA)

From http://balita.ph/ 01/22/2010
　

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THAILAND: Cabinet Approves Revised Environmental, Health Impact Assessment Regulations

BANGKOK (TNA) - Thailand's Cabinet on Tuesday approved the revision of ministerial regulations on environmental and health impact assessments of industrial projects, deputy government spokesman Phumin Leetheeraprasert said. The Cabinet agreed to revise regulations of the Ministry of Natural Resources and Environment, requiring industries to conduct Environment Impact Assessment (EIA) and Heath Impact Assessment (HIA). Prime Minister Abhisit Vejjajiva expected the revision of the regulations to be promulgated in the Royal Gazette on Wednesday. After the Cabinet's approval, Minister of Natural Resources and Environment Suwit Khunkitti clarified the matter with the operators of 65 Map Ta Phut industrial projects suspended by the court over environmental concerns.

After promulgation in the Royal Gazette, 65 projects will conduct the required assessments as specified in the 2007 Constitution. Public hearings will be also conducted under the 105-day timeframe before forwarding a report to an independent body to set up by four-party committee in charge of resolving the environmental regulations affecting the Map Ta Phut projects. The minister also said the revised regulations were approved by the four-party committee and were aimed at screening industrial projects and reducing their impact on the environment.

From http://enews.mcot.net/ 12/29/2009

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PM Stresses Farm and Food Sector-based Economic Development

BANGKOK (TNA) - Prime Minister Abhisit Vejjajiva on Thursday stressed the government would count more on the agricultural and food processing sectors than the industrial sector for the country's economic development. Delivering a keynote speech on "Future of Industry in Eyes of the Prime Minister" at a seminar on "Green GDP: Future of Thailand," he said the Thai economy is expected to expand more than 3.5 per cent this year against last year's contraction of 3 per cent, although there remain many key economic risk factors. To ensure the strong and sustainable economic growth, the government would still adhere to the sufficiency economy philosophy for the national economic development. He said although the industrial sector plays a key role in economic development, the agriculture and food sectors, which remain the backbone of the country, should not be ignored.

So, the government would give a priority to counting more on the farming and food sectors than the industry sector and other sectors to develop the country's economy. This could be witnessed by the government's efforts to accelerate improving the living conditions of farmers by helping address their debts through the farm product price guarantee scheme, developing the irrigation system to reduce farming costs, and increasing productivity and competitiveness. He said the government would also pay more attention to developing the alternative energy industry as fuel prices are likely to go up further. Regarding the Map Ta Phut Industrial Estate case, he said the government had made much progress in resolving the problem, which should help restore investor confidence. The government has issued a ministerial announcement on its study of the environment impact assessment and the health impact assessment, considered a great stride for its efforts to solve the Map Ta Phut problem.

From http://enews.mcot.net/ 01/15/2010

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VIETNAM: Nation Aims to Make Population Sustainable

VietNamNet Bridge - Viet Nam needs to keep population growth at replacement level in order to improve the quality of its people and develop sustainability, said National Assembly vice chairman Uong Chu Luu yesterday. Luu was speaking at a meeting in the northern city of Thai Nguyen to mark Viet Nam's Population Day that falls today. Population quality referred to the fact that the height and weight of Vietnamese youngsters were modest and there were high rates of disabled children and those with inborn or genetic diseases. "We are facing challenges such as the fact that the population replacement level isn't steady, especially in mountainous and remote areas and populous regions," Luu said. "Each of us should be aware that population and family planning activities are vital to improving the quality of our human resource - a key to sustainable development."

He urged each couple to have only one or two children to maintain the replacement level so as to not surpass 100 million population by 2020. Luu said various sectors and localities had been advised to adopt vigorous measures to curb population growth and improve family planning. This year's census statistics show Viet Nam's population is 85.8 million with an average population growth rate over the past 10 years of 1.2 per cent. The statistics show Viet Nam's population has increased by nearly 1 million people a year, equal to the population of a medium size province like Ba Ria-Vung Tau or Thua Thien-Hue. Gender imbalance is high with 112 boys being born to every 100 girls. People of working age and the elderly have increased quickly. Luu said gender imbalance was a big problem and led to an increased number of batchelor males and a female shortage that could threaten social and even political security. Luu said he expected the Government would soon declare its Strategy on Population and Reproductive Health which would target the improvement of population quality.

Health Minister Nguyen Quoc Trieu also said the country should focus on population scale, structure and quality. "We should be aware that birth control and family planning are an important part of the country's socio-economic development," said Trieu. "All efforts should be given to reducing the birth rate," Trieu said. Population activities would focus on mountainous, remote and coastal areas with improved information and communication activities to encourage behaviour change and boost reproductive health and family planning services.

From http://english.vietnamnet.vn/ 12/26/2009

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PM Sets New Year Goals

VietNamNet Bridge - Stabilising the country's macro economy, boosting economic growth and curbing inflation are the priorities for this year, said Prime Minister Nguyen Tan Dung yesterday, January 5, at a two-day monthly cabinet meeting. He said the Government would focus on stabilising the macro-economy, boosting investment, while increasing production, trade and economic restructuring. Under the plan, the Government would introduce a flexible monetary and financial policy, while controlling trade deficit and curbing inflation. He also said the Government would boost social welfare, education and training standards and environmental protection, and concentrate on minimising the effects of natural disasters and climate change.

Dung ordered ministries, sectors and localities to take more responsibility for implementing their entrusted tasks to realise Party, National Assembly and Government directives, resolutions and policies. He said leaders should base decisions on local needs, while making accurate socio-economic development forecasts and also asked ministries and sectors to co-operate more closely. At the meeting, officials also heard reports on the achievements and shortcomings in the implementation of the 2009 socio-economic plan. From the first quarter of the year, the Government proposed that the Politburo and the National Assembly approve adjustments in policies from curbing inflation to preventing economic recession and maintaining reasonable growth, while attaching greater importance to macro-economic stabilisation and social security. Officials heard that the Government had implemented a timely economic stimulus package, which had helped to create jobs and secure growth. The Government also delayed revoking the advance capital programme and funnelled money from the State budget into urgent projects. In coping with fast development changes, in the final months of the year the Government focused on supporting lower-interest rates. During the global economic downturn, the Prime Minister authorised interest rate subsidies of 4 per cent for medium-and long-term loans to encourage investment. As a result, the CPI for the whole year was only 6.88 per cent. While the world economy contracted, Viet Nam was one of the few countries to report positive growth of 5.32 per cent.

Industrial production and construction increased by 5.32 per cent, services by 6.63 per cent and agriculture-forestry-fishery production, by 1.83 per cent. Coupled with curbing a recession, the Government ensured it maintained support for the social welfare system, while implementing a number of hunger-eradication and poverty-reduction programmes. Total financial support for the country's 62 poorest districts reached VND10.7 trillion (US$590 million), 1.8 times higher than that for the previous year. The number of poor households decreased to 12.3 per cent. The Government also invested in national defence and security, as well as social order. It also implemented administrative reforms and boosted its fight against corruption. The Prime Minister said he highly appreciated the great contribution made by the mass media, particularly the Vietnam News Agency, Viet Nam Television, Radio Voice of Viet Nam and Nhan Dan newspaper.
However, the Government also acknowledged the Government's shortcomings when it came to giving guidance on socio-economic policies and protecting the environment.

From http://english.vietnamnet.vn/ 01/06/2010

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New Law to Levy Environment Tax on Five Groups of Products

VietNamNet Bridge - Any enterprise or individual who exploits, produces or imports five groups of products classified as hazardous to the environment will be imposed with an environment tax in the coming time, according to the Draft Law on Environment Tax. Under the draft law being prepared by the Finance Ministry and the National Assembly's Financial and Budgetary Committee, products to be subject to the new tax are petrol and oil, coal, freezing substances containing hydro-cloro-fluoro-carbon (HCFC), plastic bags and substances for plant protection. Vu Van Truong, head of the Finance Ministry's Department of Tax Policy, told a seminar on contributing suggestions for the new draft law held here on Tuesday that if the law was passed and enforced by the National Assembly in October 2011, it would become effective on January 1, 2012.

According to the draft law, the main products to be taxed are petrol, diesel oil, coal (except peat), HCFC substances, plastic bags (except biological bags), mosquito-repellent, chemicals for agricultural cultivation and decontaminating substances. According to the draft law, the environment tax is between VND1,000 and VND4,000 on each liter of petrol, between VND500 and VND2,000 on each liter of diesel oil, between VND6,000 and VND30,000 on each ton of coal, between VND20,000 and VND30,000 on each kilogram of plastic bags and between VND1,000 and VND5,000 on each kilogram of plant protection substances. Truong of the tax policy department says it is necessary to promulgate the environment tax law because the country lacks essential financial means to protect the environment as pollution mounts day by day. "The law will help create more positive awareness of environment protection, reduce harmful effects on public health and generate budget for the activity of environment protection," Truong told the seminar.

Vietnam each year spends some VND4 trillion from the state budget for environment protection, but the fees on environment protection collected annually is only VND1.2 trillion. Truong said levying the tax on the five groups of products would help the country collect some VND50 trillion each year. The money will be re-invested into environment protection activities. Many environmental experts at the seminar said the law makers should carefully consider each level of environment tax on particular products in accordance with the degree of harm to the environment. Most of the scientists and environmental experts at the seminar agreed on the need for enforcing the law on environment tax. But they suggested the environment fee be dropped when the new law takes effect.

Nguyen Dinh Tuan, rector of the HCMC College of Natural Resources and Environment, said it would be illogical for enterprises or individuals to pay both environment protection fees and environment tax for producing one product. "In my opinion, we don't need fees for environment protection when the environment tax is levied. It's also important to expand the tax to producers and importers of tobacco and batteries," Tuan said. Tuan added that producers would increase their prices and that in the end the environment tax would fall on the consumers.

From http://english.vietnamnet.vn/ 01/21/2010

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ASEAN to Develop All Links

VietNamNet Bridge - ASEAN member nations will focus on increasing the bloc's internal connectivity and deepening its linkages with external partners, concluded the ASEAN Foreign Ministers' Retreat yesterday, January 14. Held in the central city of Da Nang, ministers stressed the need to prioritise connectivity on a wide range of issues including infrastructure, telecommunications, information technology, migration and trade. Connectivity has been promoted as a way to help ASEAN nations cope better with global challenges like natural disasters, climate change and economic recovery. "These are also central issues for ASEAN moves over the next five years as the bloc pursues the goal of community building," said Deputy Prime Minister and Foreign Minister Pham Gia Khiem.

Measures were also agreed on to formulate concrete projects and mobilise resources to narrow development gaps in the lead-up to ASEAN integration. Ministers endorsed the ASEAN Protocol on Dispute Settlement Mechanism in principle and urged the ASEAN Inter-governmental Commission on Human Rights to develop a five-year plan. They affirmed that co-operation in responding to climate change remained a key priority of the bloc. To expand the bloc's external relations, preparations were made for upcoming summits with the US, China, Russia, Japan, South Korea and India. It was also agreed that ASEAN's representation at the G-20 Summit would be promoted.

ASEAN accreditation was granted to Germany, Slovakia, Hungary, Switzerland, Pakistan and Morocco during the meeting. In parallel with the Foreign Ministers' Retreat, the ASEAN Political Security Community Council Meeting was also held yesterday in Da Nang. Representatives agreed to improve information sharing and co-ordination among the council's sectoral members and tasked officials to effectively implement the Declaration on the Conduct of Parties in the East Sea.

The meeting was briefed by Viet Nam which presented its plan to hold the first ASEAN Defence Ministers' Meeting with ASEAN's external partners. The representative from Viet Nam also proposed the establishment of a forum where ASEAN chiefs of public security could meet. Ministers tasked ASEAN senior officials to finalise guidelines for accession and amend the Treaty of Amity and Co-operation in Southeast Asia to facilitate the European Union accession to the treaty. Officials were also urged to continue efforts to negotiate with nuclear-power states on their possible accession to the Southeast Asian Nuclear-Weapon-Free Zone Treaty. Khiem said he believed the meetings yesterday set an important precedence for ASEAN co-operation during 2010. "The country will make its best effort to closely co-operate with other ASEAN nations to successfully implement the goals set for the year."

From http://english.vietnamnet.vn/ 01/15/2010

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BANGLADESH: Govt to Amend Stamp Law to Boost Revenue

The government will amend the Stamp Act 1899 in a bid to increase revenue collections from the sales of revenue stamp and stamp paper. The amendment is also aimed at reducing hassles of the customers who often face problems because of a scarcity of stamp and stamp paper in the market. A proposal in this regard was approved in an inter-ministerial meeting last week and now awaits approval from the law ministry. In the proposed system, people will pay duty through bank draft (chalan) and pay order while making deals especially for company registration and transfer of shares in the stock market, said Nasiruddin Ahmed, chairman of the National Board of Revenue (NBR). "This is another step we are taking to strengthen the revenue collection drive. If we can simplify the existing system, it will help enhance transparency of the system and encourage people to pay duties properly." "Now people often face difficulties while making important deals, mainly due to a scarcity of revenue stamp and stamp paper in the market. So we are trying to find alternative solutions to handle the issue and modernise the 'Stamp Act 1899'," he said. In the new system, one can submit duties above Tk 300 in cash, and if the amount is more, one can pay through bank draft and pay order while making new deals, registering a new company or transferring shares, he said. The modernisation will reduce cost of the government, remove anomalies in distribution and forgery of stamp papers and ease the bureaucratic load on sub-registry offices, said Ahmed. He also said the government loses revenue from this sector due to circulation of counterfeit stamps every year. Brokers often sell revenue paper and stamps at higher prices when there is a dearth in the market, the NBR chief said. A revenue stamp, tax stamp or fiscal stamp is used to collect taxes or fees from registration of land and companies, tobacco, alcoholic drinks, medicines and firearms. These are some of the major sources of revenue income for the government. At present, the government earns around Tk 5,000 crore from selling revenue stamp and stamp paper a year.

From http://www.thedailystar.net/ 01/10/2010

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INDIA: Government Formulates Draft Consumer Policy for Customer Benefit

New Delhi: To ensure quality goods, services and technology to customers at reasonable prices, the government has put together a draft national consumer policy. A decision was taken on the concerned matter by all stakeholders before the Department of Consumer Affairs arrived at a final decision. Taking note of India integrating with the global market gradually, the draft policy claims that trade practices need to be acknowledged and synchronized to avert exploitation of gullible customers. The laws and codes need to be re-engineered to make them compatible with consumer empowerment, said an official statement. The proposed policy should cover empowering consumers through education and awareness, besides providing rights to consumers and mechanism for resolution of disputes, the official statement added.

From http://www.newkerala.com/ 12/31/2009

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Special Steps Being Taken to Counter 'Anti-India' Broadcasts

New Delhi: Stating that 'anti-India' propaganda broadcast from across the border was being received in the country, particularly in Jammu and Kashmir, the Government has said that public broadcasters, All India Radio and Doordarshan had taken several steps to counter this propaganda. AIR and Doordarshan had launched a plan for expansion of their network, under which several proposals for setting up new high power and low power AIR and DD and FM transmitters in the border areas were under various stages of implementation. A special package for expansion of AIR and DD services in Jammu and Kashmir and Northeast has been approved, the Information and Broadcasting Ministry recently said replying to queries from Members of Parliament. Multi-channel AIR and TV coverage has been ensured in all parts of the country through the launch of the free-to-air DTH service 'DD Direct Plus'. It is now possible to receive signals of this service with the help of small sized receiver units, the Ministry told the MPs. The Government would, in fact, be investing at around Rs 100 crore this financial year along the borders to strengthen communication towers and terrestrial infrastructure. The Home Ministry had recently held a meeting with the authorities of Prasar Bharati and the Information and Broadcasting Ministry on the issue. It is understood to have asked them to ensure that programmes, especially those broadcast by AIR and DD stations in the border areas were interesting so as to catch the attention of the people and divert their attention from the 'anti-India' programme broadcast some neighbouring countries.

From http://www.newkerala.com/ 01/02/2010

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Paradigm Shift in Education Policies in 2010

New Delhi: Human Resource Development Minister Kapil Sibal Monday announced that there would be a vast change in education policy making of the government in 2010. "You will see a paradigm shift in education policies. It will be an epochal year," he said. Describing the year 2010 as very important for his ministry, Sibal said that researchers and faculty would be given a stake in the system to boost higher education and research which are vital for a nation's development. Releasing the book "Engineering Education in India" authored by Prof. Rangan Banerjee and Vinayak P. Muley of IIT-Bombay at Observer Research Foundation, a public policy think tank headquartered in Delhi, the minister noted that while India and China were almost at the same level nearly 15 years back, China has now surged much ahead of India. "China could do it because of its national effort. But we have not done that. And the result is we are much behind China now," the minister said. Underlining the important role of private players in the development of education in the US as in the case of Stanford University and Harvard University, Sibal said the government would create "an appropriate environment" to attract public private partnership (PPP) and private players to education sector. The minister agreed with author Banerjee that the only way to boost higher education and research is through joint efforts by the academic-industry-government tie-ups. Sibal said India needs to raise its strength of PhD scholars from a mere 1,000 per year to at least 23,000 to catch up with China and other countries. "We have a very long way to go," he said.

From http://www.newkerala.com/ 01/11/2010

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Company Law to Be Amended in Budget Session

New Delhi: The government plans to introduce a bill to amend the Companies Act in the budget session of parliament to enable convergence of Indian accounting standards with the International Financial Reporting Standards (IFRS). "The ministry will carry out the exercise for necessary amendments in the Companies Act in the forthcoming budget session of parliament," said a statement from the corporate affairs ministry. "The required amendments to the schedule-VI and XIV as well as accounting standards rules would be carried out simultaneously so that necessary legislative changes are in place to facilitate convergence," it added. The government plans to migrate to an internationally accepted accounting standard by April 2011. A core group of officials from the ministry of corporate affairs and finance, the Reserve Bank of India and regulators from various related fields met Tuesday to finalise the roadmap to adopt the new standards.

From http://www.newkerala.com/ 01/13/2010

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MALDIVES: Government Withdraws Bill on Decentralisation

The Government has decided to withdraw the Bill on Decentralization, President Mohamed Nasheed has said while speaking at a function to inaugurate Malé Area of the Maldives National Defence Forces. In a letter sent to the People's Majlis on Wednesday, the President's Office said that the Government took the decision in order to resolve the deadlock at the People's Majlis over the bill. According to the letter the Government will re-submit the bill to the People's Majlis for its first session in 2010, after consultation with political parties and other concerned parties. In his speech at the MNDF function, President Nasheed defended Government's policy on decentralization. The President said that the concentration of powers in Male' had led to extreme congestion, while it also made life very difficult for the rest of the country because of lack of basic services. "Unless we devolve these powers and distribute economic prosperity throughout the country, we cannot escape from the hardships of life both in Male' and in the islands," President Nasheed said. He said it was the responsibility of the government to pursue decentralization in accordance with a manner agreed by all parties. While he respected the main proposal by DRP, the Government's position was that electoral constituencies should be grouped for regional administration, he said. President said 54% of the people who voted in the Presidential election had backed MDP Manifesto which states the country will be decentralized through creating seven regions. As the main reason for this policy, the President said economies of scale would only be possible through regionalization. "It was impossible for a single island or atoll to develop in the manner in which a province could develop exploiting 40% of its income and natural resources," the President said. "Decentralized governance through regionalization will not be a win for any specific political party. In reality it will be a victory for the Maldives". In the Bill, the Government proposed to allocate up to 40% of the income earned at the provinces for its purposes.

From http://www.haveeru.com.mv/ 12/31/2009

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NEPAL: Constitutional Committee Finalises Key Provisions in New Constitution Through Voting

The Constitutional Committee (CC), considered the most important among the eleven thematic committees of the Constituent Assembly (CA), has finalised some key provisions to be incorporated in the new constitution through voting, Friday. The committee voted on 98 provisions in the new constitution during a meeting that ran more than seven hours yesterday. It had decided to go for voting on all provisions after the political parties failed to forge consensus on some key provisions including name of the new constitution, wordings in the preamble and whether or not to change the national flag and the emblems. Glimpses of the Constitutional Committee (CC) meeting that finalized some key provisions to be incorporated in the new constitution through voting. Most of the provisions put forward by the Unified CPN (Maoist) including the name, changing the national flag and using the word 'people's war' in the preamble of the constitution have been voted out by the committee. The committee voted for the name "The Constitution of Nepal - 2067" proposed by Nepali Congress and CPN (UML) for the new constitution against "The Constitution of the People's Federal Republic Nepal - 2067" proposed by the Maoists. The selected name received 31 votes for and 22 votes against it. NC, UML, Terai Madhes Loktantrik Party (TMLP), Madhesi Janadhikar Forum - Loktantrik (MJF-L) CA members voted for it, while the Maoist CA members voted against it. Although, eight other names were proposed for the new constitution, they received negligible votes. Likewise, the Maoist proposal to include the word "people´s war" in the preamble of the new constitution was voted out as it could not receive majority. But the proposal to include "Madhes movement" in the preamble received a majority. Another Maoist proposal to change the national flag was also rejected as it received only 27 votes.

A proposal to change only the colour of the national flag keeping the emblems same put forward by Madhes-based political parties also got defeated as it could not garner a majority. The committee has decided, no national emblems will be mentioned in the new constitution. The present constitution has mentioned cow as the national animal, lopophorus as the national bird and rhododendron as the national flower. The proposal to keep press freedom and pluralism as unchangeable provisions in the new constitution received majority, while the proposals to keep federalism, preference for indigenous communities, secularism and inclusiveness as unchangeable provisions received minority. The provision to appoint ambassadors and special envoys of the country on the basis of the principle of proportional inclusiveness got a majority with 32 votes. The committee will now prepare a report with preliminary draft and concept for the new constitution and submit it to the CA, which will have a final say on the provisions. 58 members of the 64-member committee had participated in the voting. Heads of three largest political parties Pushpa Kamal Dahal of UCPN (Maoist), Girija Prasad Koirala of NC and Jhala Nath Khanal of CPN (UML) abstained from voting as per an agreement forged at the beginning of the meeting. Likewise, committee member Suprabha Ghimire of NC is abroad, Ek Nath Dhakal did not vote as his ballot was already used in another thematic committee and the committee chairman did not vote.

From http://www.nepalnews.com/ 12/26/2009

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New Industrial Policy Explicit on 'No Work, No Pay'

Industry Minister Mahendra Prasad Yadav on Wednesday said that the government was determined to implement the provision of 'no work, no pay' as included in the new industrial policy. The Ministry of Industry on Monday had tabled the much-awaited new industrial policy at the cabinet. The government finalised the policy that was prepared after a series of talks with various trade unions. Minister Yadav justified the need of the provision of 'no work, no pay' by saying that it would enhance the industrial performance amidst frequent protests and strikes at industries by the labourers. The industrial policy has been revised after 17 years. It has specially conceptualised provisions for women entrepreneurs, micro, small and cottage industries, special economic zones, 24-hour electricity for industrial areas, low custom duties for industries buying generators, bonded warehouse for export-oriented industries, foreign direct investment, 40 percent income tax waiver for industries employing more than 25 women and an investment board for making investments above Rs. 10 billion, among others.

From http://www.nepalnews.com/ 12/31/2009

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PAKISTAN: 'Government Implementing Strategy to Promote Investment': Punjab Chief Minister

LAHORE: Punjab Chief Minister Shahbaz Sharif has said that Punjab is rich in natural resources and there are vast opportunities of investment in different sectors; the government is implementing a comprehensive strategy for promotion of local and foreign investment and all out facilities are being offered to investors. He was addressing a meeting held to review the prospects of co-operation in different sectors between Punjab and Turkey here on Saturday, disclosed an official. Vice Chairman Punjab Investment Board, Secretary Industries and senior officers concerned were present. Shahbaz said special attention is also being paid to the promotion of public-private partnership in the province. He also said the government is taking solid steps for creating a favourable investment climate and provision of facilities to the investors in the province and Punjab Investment Board has also been set up for this purpose. "There are vast opportunities of foreign investment in agriculture, livestock, energy, education and other sectors, and agreements have been signed with China, Malaysia and Iran in this regard," he added. According to him, Punjab could earn huge foreign exchange by exporting halal meat and agri-products to Middle East and other countries, and a modern meat processing plant could be set up by utilising latest technology. The goal of rapid progress of the country could be achieved through equipping the youth with the modern skills and Tevta has been re-activated for this purpose. Syllabus of vocational institutions has been harmonised with the demands of the modern age. All projects of investment would be completed in a transparent manner on the pattern of IT labs project, which has been executed with the co-operation of international companies. He said security situation in the country has adversely affected the process of foreign investment but there is a need for developing local resources and increasing exports through promotion of public-private partnership. "Turkey is a brotherly country of Pakistan and there are deep-rooted historical and cultural relations between the two counties. It has made remarkable progress in various sectors and Punjab could benefit from its expertise for the uplift of various sectors in the province," he added. Shahbaz directed the Vice Chairman of Investment Board to submit comprehensive recommendations for co-operation between Punjab and Turkey in various sectors.

From http://www.brecorder.com/ 12/27/2009

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ARMENIA: Former President to Unveil New Political Program

Former Armenian President Levon Ter-Petrossian told some 2,000 supporters in Yerevan today that he will unveil a "clearer and more comprehensive political program" on March 1, RFE/RL's Armenian Service reports. Ter-Petrossian was campaigning in the capital on behalf of Nikol Pashinian, an imprisoned member of his Armenian National Congress and a candidate in a Yerevan by-election for parliament on January 10. Pashinian went into hiding after the violence that broke out in Yerevan on March 1, 2008, as police clashed with Ter-Petrossian supporters protesting the perceived rigging of the presidential election on February 19. According to official results, then-Prime Minister Serzh Sarkisian defeated Ter-Petrossian to win that ballot with almost 53 percent of the vote. Pashinian turned himself in to police last year. He is currently on trial on charges of organizing violence after the protests. Ter-Petrossian did not spell out details of his new political program, but said it "cannot fail to have an impact in the course of this year."

From http://www.rferl.org/ 01/08/2010

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IRAQ: Cabinet Approves Bill to Protect Doctors

BAGHDAD - The Iraqi cabinet has approved a bill designed to protect doctors against terror attacks and other dangerous assaults, RFE/RL's Radio Free Iraq (RFI) reports. Government spokesman Ali al-Dabbagh said the bill sent by the cabinet to parliament for a vote allows doctors to carry small weapons with a license from the Interior Ministry for their personal protection. Deputy Health Minister Amir al-Khuzae told RFI that apart from securing a safe working environment for doctors void of attacks by insurgent groups or criminals, "the bill also offers protection against assaults by tribesmen and relatives of patients who die in clinics and hospitals for a variety of causes." Khuzae pointed out that "such assaults were especially frequent before the marked improvement in security" in recent years.

But it is still not uncommon in Iraq for a patient's clansmen to accuse a doctor of being responsible for the death of a relative and then demanding blood money as compensation. Doctors are also assaulted by a patient's relatives for keeping them waiting or some other alleged negligence. The bill would punish people who make baseless claims against a doctor's work or a diagnosis stemming from conservative tribal traditions and conventions with a fine of some $8,670 and no less than three years in prison. Al-Khuzae said the bill is also designed to encourage Iraqi doctors who have fled the country to return by offering them a host of incentives, including houses near their workplace. Mustafa al-Hiti, a member of the parliament's Health and Environment Committee, said that more than 7,000 doctors have left Iraq since 2003, including virtually all of the most-experienced physicians. Security spokesman Major General Qassim Atta has said that about 500 of those doctors have so far returned as a result of improved security.

From http://www.rferl.org/ 01/20/2010

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IRAN: Cut Popular Economic Subsidies Despite Political Risk

Iran's top legislative body has approved a plan to phase out billions of dollars in state subsidies that currently keep the costs of energy and food low in the country's inflation-struck economy. The Guardians Council on January 13 approved President Mahmud Ahmadinejad's "Economic Reform Plan" intended to allow the prices of now-subsidized goods to reach normal market prices over the course of the next three to four years. The body's spokesman, Abbas-Ali Kadkhodaei, said the bill complies with Islamic laws and the Iranian Constitution. The approval comes just a week after the Iranian parliament, the Majlis, ratified the bill after much controversy over how the government will carry out the changes. It's not immediately clear when the bill will be implemented. Through the cuts, Ahmadinejad hopes to save some $100 billion now spent to control the prices of petroleum products, electricity, water, wheat, milk, rice, and fertilizer, to name just some of the goods.

Funding those subsidies currently eats up 30 percent of the country's annual state budget. But RFE/RL's Radio Farda economics correspondent Javad Kooroshy says eliminating them could prove a high-stakes gamble for the government. "The subsidies, which have been in place for three decades, keep the cost of gasoline to one of the lowest prices in the world: some 10 U.S. cents a liter," Kooroshy notes. "Ordinary Iranians have grown used to relying upon the low cost of fuel and staples both at home and in business." During parliamentary discussion of the bill, the Majlis Research Center, the parliament's research arm, warned that removing price supports would quadruple the price of gasoline and could result in similar increases for basic goods, creating an inflation rate of 60 percent of more. A number of gas stations were torched in 2007 when gasoline prices rose 25 percent. Perhaps most dangerously for Ahmadinejad, the phase-out comes at a time when his government already faces the worst political unrest in Iran since the Islamic Revolution. If the subsidy cuts stoke economic discontent they could give new life to the opposition protests which still continue seven months after his disputed reelection in June.

Unpopular Action
Kooroshy says that previous Iranian governments which have had trying to reduce subsidies have run into trouble. To date, all of them have had to reverse their efforts for fear of unrest. "In 2007, during Ahmadinejad's first term, rioters torched at least 19 gas stations in nationwide antigovernment protests after the price of gasoline was raised by 25 percent," he says. "Ahmadinejad later withdrew the measure." Still, governments have repeatedly tried to eliminate the popular subsidy program because leaders across the political spectrum agree that it is harmful for the country. The subsidies encourage overconsumption of gasoline and other products, make Iran more dependent on imports, and encourage smuggling of the subsidized goods across the border for resale in neighboring states. In the case of gasoline, the public's demand for low-cost fuel is met by importing most of it from abroad because Iran's own domestic refining capacity is too small to supply the market. Phasing out the state funding carries high risks, chief among them being stoking inflation at a time when it's already high. The official inflation rate currently stands at 13 to 15 percent, down from a 2008 peak of nearly 25 percent. But independent observers say Iran's inflation rate is higher than official figures and always in double digits. At the same time, most Iranians have little prospect of earning more income in the country's stagnant and heavily state-dominated economy.

Social 'Justice'
But if many former Iranian governments have wanted to eliminate subsidies for economic reasons, Ahmadinejad has brought an additional ideological dimension to his effort. He has called phasing them out a matter of social justice to protect the rights of the poor against abuses by the rich. President Ahmadinejad has previously distributed funds to cities and towns he visits personally. Ahmadinejad pushed the bill through parliament by arguing that blanket subsidies unfairly reduce the living costs of the rich as much as they benefit the poor. Initially, Ahmadinejad's government had demanded the authority to spend the money in any area it sees fit. But the parliament insisted on a compromise position that was finalized last week. The two sides agreed to setting up a government agency that will redirect to Iran's poorest households 50 percent of the money the government saves by eliminating the subsidies. It will direct another 20 percent to infrastructure projects to promote the industrial and agricultural sectors and to programs strengthening the country's weak social-security system. The new agency's operation will be overseen by the Majlis as part of the normal government budget process.

Will Subsidies Hit Target?
But the Majlis gave Ahmadinejad a free hand to use the remaining 20 percent of the money saved for projects of its own choosing, outside the usual parliamentary budget-approval process. Whether the government can successfully manage such a complex restructuring of the economy is an open question. Kooroshy says that Ahmadinejad's government lacks the information needed to change the subsidy system without causing economic pain and unrest. "The government aims to support households which earn under $300 to $350 a month. But Iran does not have accurate tax records or census information that identifies precisely which families have what incomes," Kooroshy says. "So there is really no way for the government to guarantee that it can find needy homes and deliver help to them, as it promises." State media have said the government will open bank accounts for 36 million people to give them cash to compensate for the higher food and energy prices. Few other details of the program are publicly available. The government's efforts to go ahead with minimal parliamentary supervision lead some to suspect Ahmadinejad will seek to use the money to further expand his own patronage system among the poor. In his first term, he often directly dispersed money to towns and villages he visited, calling the handouts in line with his policy of "bringing the oil money to the people's dinner table." The big questions now are whether the people will accept Ahmadinejad's argument that his subsidy cuts are indeed in their best interest, and whether they will stay off the streets if they bring economic pain instead.

From http://www.rferl.org/ 01/14/2010

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KAZAKHSTAN: Parliament in 2009 Passed 121 Laws

The Parliament of Kazakhstan in 2009 passed 121 laws. The head of Staff of Senate of Kazakhstan, Murat Nurtleuov, informed at a briefing in the Parliament of Senate, the agency reports. Since January 2009, the Parliament of the Senate has held 31 plenary sessions during which it considered 123 bills approved by Majilis. 121 laws have been passed, 10 of them were independent. The Parliament passed Code on Health and Public Health Services, the Laws on Budget for 2010 - 2012, Commodity Exchanges, National Welfare Fund, Use of Alternative Energy Sources, Preventive Measures against Legalization of Incomes Received in an Illegal Way, and Counteraction to Terrorism Financing, Guaranteed Transfer from National Fund, Preventive Measures against Domestic Violence, Refugees, Equal Rights of Women and Men, Judicial-Expert Activity.

From http://www.kt.kz/ 12/28/2009

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AUSTRALIA: Govt Aims to Cut Smog

The federal government aims to cut smog caused by diesel- and petrol-fuelled vehicles by adopting tougher emissions standards. It proposes new standards that would cut diesel-powered vehicles' pollution by between 50 and 90 per cent per vehicle. The stricter rules would apply to new diesel vehicles in 2012-13. The government also wants to cut the amount of smog-causing nitrogen oxides that can be emitted by cars which run on petrol. The tougher rules would help clear the smog over major cities and avoid some health problems, the government says. It considered bringing in the rules earlier but opted for a delay. The smog-busting rules are separate from plans to introduce mandatory standards for greenhouse gas emissions from cars. Draft regulations have been issued for public comment, which must be lodged by March 1.

From http://au.news.yahoo.com/ 01/08/2010

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Australia Must Cut Foreign Investor Taxes, Group Says

(Bloomberg) - Australia should reduce regulations and ease taxes on overseas investors and financial institutions to facilitate the nation's efforts to become a global financial hub, a government-sponsored panel has said. Australia must remove some taxes on foreign investments, clarify how overseas transactions are treated, and reduce rules for the issuance of corporate debt, the Australian Financial Centre Forum said in a report of its recommendations to Minister for Financial ServicesChris Bowen today. The changes will need "a bold and imaginative response on the part of the financial sector, as well as ongoing policy reviews and changes in future years as financial markets continue to evolve and as other financial centers compete with us to attract business," the panel wrote in the report.

The report aims to boost Australia's A$1.3 trillion ($1.2 trillion) managed funds industry and enable it to take advantage of its position in the world's fastest growing region. The panel of experts includes AMP Ltd. Chief Executive Officer Craig Dunn, the Australian Bankers' Association, and is chaired by Mark Johnson, retired deputy chairman of Macquarie Bank. "The report concludes that Australia has arguably the most efficient and competitive financial sector in the Asia-Pacific region, but that there are opportunities to expand our exports and imports of financial services and hence maximize the benefits flowing to the Australian workforce and Australian consumers of financial products," Bowen said in a statement in response to the report.

Recommendations
The finance and insurance industry makes up about 10 percent of the economy, according to government data. The group suggested changes to the law that would clarify the tax treatment of offshore transactions undertaken through Australia in a bid to encourage more foreign investors to use local companies to manage their global business. It also wants the government to scrap its tax on the interest paid by financial institutions to offshore investors, including interest paid on foreign raised funding by Australian banks. That would "boost foreign investment in Australian financial institutions, and enhance diversity in offshore sources of funding." Among other recommendations, the government should reduce regulatory requirements in the issue of corporate debt securities to encourage more issuance and a more vibrant retail bond market, the forum said in its report.

Bond Sales
Australia has already implemented some measures to promote the country as a financial hub, Bowen said. Last month, the Australian Securities and Investments Commission allowed companies with a good continuous disclosure record to file shorter prospectuses for bond sales, making it easier for them to sell securities to individual investors. The government will cut the withholding tax rate on some distributions of income to non-residents by Australian managed funds to 7.5 percent in July, after an initial cut to 15 percent last year, Bowen said. It is also consulting on a repeal of some rules applying to foreign investment funds, he said today.

From http://www.bloomberg.com/ 01/15/2010

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Australia's Helping Hand Is What Makes Us Great: Peter Cosgrove

AUSTRALIA'S response to emergencies like the 2004 Asian tsunami is an example of what makes Australians great, General Peter Cosgrove says. But dark incidents such as the recent attacks on Indian students and the 2005 Cronulla riots diminish us in our own eyes and those of the world, General Cosgrove told a Sydney audience today during his Australia Day address to the nation. In a speech titled Sunshine and Shade: The triumphs and tribulations of Australia in our time, the former Australia Defence Force chief and 2001 Australian of the Year said despite undoubted pockets of racism in Australia, the nation's national character was one of compassion and generosity. He drew on efforts to assist neighbouring countries in times of need, including Solomon Islands in 2003 and again in 2004 following the devastation of the Asian tsunami.

And there was also sunshine, he said, in 1999 when Australia played a central role East Timor's rocky road to independence. "In all the cases I have described, Australians behaved wholeheartedly and equitably, kindly and compassionately. Observing those Australians dealing with the people they set out to help and indeed their fellow Australians and non-Australian co-workers, would that darkest of labels, racist, have seemed justified? No and no again." General Cosgrove also acknowledged our past errors in relation to indigenous Australians, and more recently, the ongoing estrangement between broader society and the Muslim population. "It is a reality that indigenous Australians have been hugely disadvantaged in seeking to retain the integrity and dignity of their ancient culture," he said.

But there are no easy solutions or perfect answers, he added. "Every well-intentioned, strong initiative to try and do the right thing faces the problem of the humiliation of intrusiveness versus the effectiveness of the intent." In closing his address, General Cosgrove reminded the people of Australia that our nation is one of good fortune and a good future. "It is in our nature to be optimists, not because we are shallow or lazy, living the 'she'll be right' dream, but because we are a highly moral, inclusive and stable society with the precious gifts of democracy, affluence and security," he said. "Our challenges are not beyond us."

From AAP 01/19/2010

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Nation Building Plan to Offset Ageing Population: Kevin Rudd

KEVIN Rudd has warned of economic disaster from a looming wave of retirees unless Australia embraces a decade of nation building and workforce reforms. The Prime Minister yesterday foreshadowed a shake-up to remove workforce barriers and lift workforce participation - themes likely to be central to a planned overhaul of the taxation system. Revealing findings of the third Intergenerational Report, Mr Rudd said that, by 2050, there would be only 2.7 people of working age for each person aged 65 years and older, compared with 7.5 people in 1970 and five-to-one this year. Within 40 years, the proportion of the population aged 65 years and older would almost double to 23 per cent. "Unless we make big changes, we will either generate large, unsustainable budget deficits into the second quarter of the century or else we'll need to reduce government services - including health services - as the needs of an ageing population become greater," Mr Rudd said.

"At a national level, public finances will be burdened with the increased costs of looking after the needs of older Australians in health, aged care and age pensions. But with a smaller proportion of Australians in the workforce, tax revenues won't keep pace with those rising costs." The Prime Minister warned that working families would feel the impact, with slower economic growth holding back increases in wages. "Average family incomes will grow at a slower rate than we've become accustomed to." The Prime Minister said that removing work barriers for women, getting the unemployed into work and introducing paid parental leave would help minimise the impact of the nation's ageing population, but it would not be enough to reverse an economic crisis. "Even with all these measures, workforce participation will fall over the next 40 years, from its peak of around 65 per cent now to around 60 per cent by 2050," he said.

Despite Australia's resilience to the global financial crisis, Mr Rudd said Australia's productivity growth could not match the 2 per cent recorded during the Hawke-Keating governments. Last decade, it fell to 1.4 per cent. "If we let this trend of lower productivity growth continue, Australia will struggle to meet the major challenges facing our economy in decades ahead," Mr Rudd said. He said raising productivity growth to 2 per cent would mean every Australian would be $16,000 a year better off. Mr Rudd, speaking at an Australia Day function, did not give specific examples of new policy, but said productivity would be boosted by current programs, including pumping $18 billion in roads, rail and ports; doubling investments in schools over five years; building a national broadband network and cutting red tape for business.

From The Courier-Mail 01/19/2010

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Greens Propose Temporary Climate Scheme

There's a new climate change plan before federal parliament - an earlybird, temporary carbon tax to make a start on reducing greenhouse gas emissions. The Australian Greens have proposed the hybrid scheme, which would start earlier than the government wants, in July this year. The two-year scheme would impose a carbon price of $23 a tonne on greenhouse polluters. The Greens say the scheme is not perfect but will be a crucial first step in starting to reduce Australia's greenhouse gas emissions. "The alternative is to do nothing," Greens leader Bob Brown told reporters in parliament house. "Our job is to help get this bus going again." The government wants to start its emissions trading scheme (ETS) next year, but the scheme has been voted down by parliament twice. Prime Minister Kevin Rudd plans to try again next month but it appears the ETS could struggle to pass the Senate. The Greens' new proposal represents something of a compromise from the party. It does not include a target for reducing emissions by 2020, which is a contentious issue.

From http://news.smh.com.au/ 01/21/2010

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AUSTRALIA: Government's Plan to Keep Economy Pumping

PRIME Minister Kevin Rudd said it was important to 'radically invest" in world-class infrastructure that increased the productivity of the workforce. He cited multi-million dollar investments in a national broadband network, road and rail construction, education and health as examples where the federal government would spend heavily over the next few years. "It's not just talking about infrastructure, it's not just talking about skills, it's doing stuff about infrastructure, it's doing stuff about skills," Mr Rudd said. "This therefore is what must be the underpinnings of our strategy for the future. If we can lift our productivity growth, we can generate better living standards for Australians in the future and generate additional tax revenue we need to support the future needs of an ageing population." Mr Rudd said the Australian economy did not dip into recession during the global financial crisis due to the government's economic stimulus.

"But none of this would've been possible if the nation didn't pull together," he added. "Australia - in facing the economic abyss in 2009 - made a difference together. For the year and decade ahead, that does not give us licence to be complacent." He said a Treasury report due soon projected Australia's population would explode to 36 million by 2050. The participation rate in the workforce would decline from 65 per cent to 60 per cent, producing huge pressure on government spending as there would be less tax generated and more expenditure on aged pensions, Mr Rudd said.

From http://www.news.com.au/ 01/23/2010

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FIJI: Govt Cuts Payments to Dissenting Pensioners

Fiji's interim Prime Minister Commodore Frank Bainimarama has announced that pensioners who criticise his coup-installed interim government will have their pensions stopped. Commodore Bainimarama made the announcement on Radio Fiji Wednesday morning. He says a decree to stop the payments to regime critics was passed last week, and payments to old age pensioners who have spoken against the government have already ceased. The General Secretary of the Fiji Islands Confederation of Trade Unions, Attar Singh, has condemned the move. "It was quite shocking, pension which has been earned over time, to loyalty and service is under attack, and that is always a very serious issue and I would like to think that the government is really thought this one through," he said. "It basically means it will cut off the food line, starve those who may be against the government that is what we basically mean."

From http://www.radioaustralianews.net.au/ 01/14/2010

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Fiji to Review Pension Fund Legislation

A major review of the Fiji National Provident Fund (FNPF) Act is imminent to accommodate a spate of significant changes taking place at the pension fund. This was confirmed by FNPF chief executive officer Aisake Taito, in an update on the reform that the organization is currently undertaking. "Public notices on the review of the Act will be published soon," he said. The Fiji National Provident Fund (FNPF) operates Fiji's only public savings scheme through compulsory contribution from workers and employers on behalf of their employees. It has constantly struggled with being Fiji's major financial player, with total assets of over FJ$3 billion [US$1.6 billion] and regulatory restrictions preventing it from investing offshore, it is challenged by a small domestic investment market.

Prime Minister and Minister of Finance Voreqe Bainimarama had announced a major reform of the fund in his 2010 national budget delivered last November, which has already begun with a visit here of experts from Singapore last week. "Consultants from the Singapore Cooperation Enterprise (SCE) were in the country to undertake the first phase of the review. The team was led by the former Deputy General Manager of the Central Provident Fund (CPF), Mr. Chay Yee," Taito said. "The SCE consultants also met with the FNPF Board, the Governor of the Reserve Bank of Fiji (RBF), the Permanent Secretaries for the Prime Minister's Office, Finance and Public Service Commission; and other external stakeholders. A preliminary report on their findings will be submitted next month," he added.

As part of this review, a follow-up meeting with senior management of the RBF and the Fund will be held in Singapore next month to study how CPF works. "CPF is a leading superannuation provider, and we hope to gain valuable insights from them, to enable the Fund to benchmark facets of our work. We recognize that we will need to tailor-make our processes to meet our business needs and the local environment, which would be conducive to the Fund's objective as a pension savings scheme" Taito said.

From http://pidp.eastwestcenter.org/ 01/21/2010

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Year Ender: Government Changes, Generational Shifts in Asia

Tokyo - The end of the five-decade rule of Japan's Liberal Democratic Party could significantly change the country, but the jury is still out on changes in other Asian nations such as Malaysia, Indonesia and Thailand. The historic landslide victory of the opposition Democratic Party of Japan (DPJ) in the August 31 general elections brought about the end of more than a half century of almost unbroken LDP-rule. In addition to anger over political inertia and a two-decade economic slump, the DPJ's populist agenda including aid for families with children led voters to opt for a change in government. DPJ leaders also pledged to end the dominant role of Japan's bureaucracy. Prime Minister Yukio Hatoyama said he wanted to make the government more accountable, placing more responsibility in the hands of lawmakers, rather than bureaucrats.

While Japanese politics is still unapologetically male-dominated, a generational shift is taking place with more younger lawmakers being elected at local and national levels. The public is more sceptical of "hereditary politicians" such as former prime ministers Shinzo Abe and Taro Aso, both scions of political dynasties tainted by scandals. The new government must deal with an aging population, low birthrates, pension reform, unemployment and the lagging economy. In mid-November the world's second-largest economy again slid into deflation, causing fears of a double-dip recession before Upper House elections in July. But critics such as Minoru Morita, a Tokyo-based political analyst, said the DPJ government lacks "principle and long-term policy goals."

"Prime Minister Hatoyama is still popular, but an ailing economy and political scandals could make his popularity dwindle," he warned. In Indonesia, the world's most populous Muslim country, the ruling party held on to power as it held peaceful parliamentary and presidential elections in April and July, cementing democracy after the end of the Suharto dictatorship in 1998. President Susilo Bambang Yudhoyono won a second five-year term by a landslide on the back of political stability as well as some success in fighting endemic corruption. But the honeymoon was short-lived as public disillusionment grew over his handling of a corruption scandal. He has been widely criticized for failing to sack the national police chief and the attorney general, after wiretapped recordings revealed an apparent conspiracy by police and state prosecutors to undermine the independent Corruption Eradication Commission.

One of the speakers in the recordings suggested that Yudhoyono supported the plot. The president denied any involvement. Parliament also launched an inquiry into the bailout of a troubled small bank last year, after critics alleged that some of the money was used to bail out politically well-connected people. The government insisted that the bailout was necessary to protect the economy from a crisis in the banking system. In Malaysia, many analysts said democracy was alive and well after the general elections in March 2008, as the opposition gained control of five out of the country's 13 states. For the first time in more than 50 years, the ruling National Front coalition failed to command a two-thirds majority in Parliament. Anwar Ibrahim heads a three-party alliance that is perhaps the strongest opposition forces the country has ever had, and looks forward to the next elections, which must be called by 2013.

Najib Razak was appointed the country's sixth prime minister, replacing Abdullah Ahmad Badawi who was largely blamed for the ruling front's humiliating showing. Najib took office with one of the lowest-ever approval ratings, at a time global financial meltdown. His personal scandals also dogged him, especially allegations of involvement in the 2006 murder of a Mongolian woman. Despite Najib's continued denial, public perception of him has remained low throughout his seven months in office and analysts say he faces a tough task of gaining public acceptance. The picture is equally mixed in Thailand's ongoing battle between the political establishment and the new forces of democracy, where the military emerged as the only clear winner in 2009, signalling a step backwards for political reform.

Their September 2006 coup put an end to Thailand's strongest civilian-led government since the absolute monarchy was abolished in 1932, the starting point for the country's erratic path to democracy. Then-premier Thaksin Shinawatra, a former policeman turned billionaire, rode to power on the back of the liberal 1997 constitution and a host of populist policies that won him a strong majority in parliament, which he tried to turn into a political monopoly. The reaction of the Bangkok middle class and political elite to the Thaksin phenomenon culminated in the 2006 coup, and a new pro-establishment constitution in 2007. In 2008, the military proved pivotal in toppling the pro-Thaksin regime by refusing to crack down on anti-government protests, and also played a crucial behind-the-scenes role in setting up the anti-Thaksin government in December, led by the Democrat Party.

This year it year provided Prime Minister Abhisit Vejjajiva with the muscle to suppress any serious opposition with the imposition of the Internal Security Act five times in Bangkok. Given his dependence on military support, many have questioned Abhisit's control over the army. "2009 has been a year of military autonomy from civilian control," said visiting scholar Paul Chambers, a political scientist from Ruprecht-Karls University in Heidelberg. "The armed forces today have found their perfect niche to become Thailand's crucial, clandestine political player," Chambers said.

From http://www.earthtimes.org/ 12/26/2009

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ASEAN Is Foundation of East-Asia Pacific

JAKARTA (Bernama) - The Indonesian government considered the concept of East Asian community or the Asia Pacific region can not be realized without the ASEAN Community as its main foundation, Antara news agency reported. This was stated by the Foreign Minister in his annual press statement in Nusantara Room, Ministry of Foreign Affairs in Jakarta on Friday. "Therefore, the ASEAN Community and the various processes of 'ASEAN ', ARF, APEC and the East Asia Summit, became the road to East Asia, where ASEAN continues to play a major role," said the foreign minister. He added that it is the vision that will continue to guide Indonesia in carrying out its foreign policy in the region in 2010.

However, the foreign minister said, it must also be stressed that the government needs to ensure that Indonesian is ready for national connectivity to make full use of community development efforts in the region. The Foreign Minister further said that the democratic transformation of Indonesia since 2003 in line with the evolution of ASEAN towards an ASEAN Community is not a coincidence. "To Indonesia the evolution of ASEAN towards a more open community based on the democratic principles and good governance, is needed to ensure there is no discontinuity between Indonesia and the regional transformation," said Natalegawa. Therefore Minister Natalegawa expected that the ASEAN Community 2015 is expected to be realized on time with the ASEAN charter implementation in 2010.

From http://www.bernama.com/ 01/09/2010

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ADB Unveils New Whistleblower Provisions to Fight Corruption and Misconduct

MANILA, PHILIPPINES - The Asian Development Bank (ADB) has implemented improvements to internal rules protecting those who report integrity violations or misconduct in ADB or in ADB-related activities. The "ADB Whistleblower and Witness Protection" provisions improve access to information about how both ADB staff and those outside ADB can respond to retaliation that is due to their reports of violations or misconduct. The new internal regulations also specify the measures that ADB will take to avoid or to counter any threats to those who have provided information on misconduct and require ADB to keep the identity of the whistleblower confidential, unless the whistleblower opts for a waiver.

"ADB does not tolerate corruption in any form. By improving the information and protections available to whistleblowers and others who also provide evidence of misconduct, ADB is strengthening its ongoing efforts to combat fraud and corruption," said Peter E. Pedersen, head of ADB's Office of Anticorruption and Integrity. "At the same time, individuals who come forward with information will receive protection from any retaliation due to their decision to report that information," said Robert Siy, Director of the human resources division of ADB's Budget, Personnel, and Management Systems Department. The new provisions were finalized following extensive consultations with experts within and outside ADB and after draft provisions were made available for public comment for a three-month period last year. The new provisions are available on the ADB website.

From http://www.adb.org/ 01/11/2010

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ASEAN Continues to Strengthen Its Cooperation on Social Welfare and Development

ASEAN will soon see a new initiative being institutionalized to promote effective and responsive regional collaboration in social work education. This development came with the adoption of the Terms of Reference of the ASEAN Consortium on Social Work (ACSW).

ASEAN will also have a new Strategic Framework and Plan of Action for Social Welfare, Family and Children (2011-2015). It will incorporate relevant priorities under the current Strategic Framework and Plan of Action, the ASEAN Socio-Cultural Community (ASCC) Blueprint and the new priorities concerning children under the ASEAN-UNICEF cooperation framework.

The two developments comes in the wake of a series of meetings that took place in Singapore from 11 to 14 January 2010: the 6th ASEAN Senior Officials Meeting on Social Welfare and Development (6th SOMSWD), the 4th ASEAN GO-NGO Forum and the 5th ASEAN Plus Three Senior Officials Meeting on Social Welfare and Development (5th SOMSWD+3). At the meetings, the TOR for the ASEAN Government and Non Government Organizations Forum, which aims to enhance closer cooperation between both parties through dialogue, was also adopted. The officials at the meetings also discussed a number of projects for 2010, such as the 1st ASEAN Children's Forum to be held in the fourth quarter of this year in Manila.

From http://www.aseansec.org/ 01/14/2010

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Central Asia: Security Council Lauds UN's Efforts

The Security Council today voiced appreciation for the efforts of the United Nations body tasked with facilitating dialogue among Central Asian countries and assisting them in responding to common challenges. This came after the 15-member body heard a closed-door briefing from the Secretary-General's Special Representative, Miroslav Jenca, on the recent activities of the Regional Centre for Preventive Diplomacy for Central Asia, located in the capital of Turkmenistan, Ashgabat. The Council "encouraged further cooperation and coordination between the Regional Centre and the Governments of the region and relevant regional organizations," in a statement read to the press by Ambassador Zhang Yesui of China, which holds the rotating presidency for January. The members of the Council also reaffirmed their support for the Center's efforts to facilitate dialogue and assist regional governments on issues of common concern. Established in 2007, the Centre helps the countries of the region - Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan - better respond to cross-border challenges and threats, such as terrorism, drug trafficking, organized crime and environmental degradation.

From http://www.scoop.co.nz/ 01/15/2010

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Anti-Corruption at the World Economic Forum

Transparency International (TI), the global anti-corruption organization, is participating in a wide-range of discussions at this year's World Economic Forum, underlining the importance of keeping corruption at the top of the agenda as the economic crises turns into a recovery. TI Chair Huguette Labelle and Managing Director Cob us de Sward will propose practical approaches for inclusive ways to address systemic risks and governance gaps, such as the lack of transparency and accountability exposed by the global crisis. The anti-corruption leaders will also address ways to increase business ethics, stop illicit trade, and press for zero tolerance when it comes to corruption.

What: Anti-corruption at the World Economic Forum Annual Meeting
When: 27-31 January 2010
Where: Davos, Switzerland

From http://www.transparency.org/ 01/20/2010

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CHINA: Chinese VP Calls for Deepened Medical Reform

Chinese Vice Premier Li Keqiang on Tuesday called for stepped-up efforts to deepen medical reform in order to make the country's medical service more accessible and affordable. At a meeting of the leading group for medical reform under the State Council, Li urged to accelerate the building of an essential drug system and the reform of public hospitals. Noting that the essential drug system had met wide public support since its launch, Li urged authorities to take measures to reduce the prices of overpriced medicines, and to help grassroots health institutions retain sustainable development. He said 60 percent of grassroots health institutions should use medicines on the essential drug list and sell them at controlled low prices by the end of next year. The Vice Premier also pointed out that public hospital reform was an important as well as difficult part of the reform. Efforts must be made to improve public hospitals' services, management and efficiency, he said, adding that the non-governmental sectors should also be encouraged to run hospitals in order to meet the needs of the people. Li also called on government departments to strengthen leadership and provide financial support for the medical reform.

From Xinhua News Agency 12/23/2009

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Steadily Reform Household Registration System

Chinese Premier Wen Jiabao said Sunday the country would steadily reform its decades-long household registration system, in a bid to ensure migrant workers to have equal rights as city dwellers. Such policies are also key to speeding up urbanization and boosting domestic consumption, Wen said in an exclusive interview with Xinhua News Agency. Specific measures were still being studied, but the government had figured out two priorities, said Wen. "Farmer-turned workers who have been living in cities with a stable income are a priority," Wen said. "The government will create policies to encourage migrant workers to settle down in small and medium-sized towns and cities, as big cities have limited capacities," Wen said.

Started in the 1950s, the household registration system categorizes Chinese citizens into urbanites and non-urbanites and has prevented rural residents from migrating freely to cities. Chinese migrant workers have made great contributions, and even "sacrifices", to the country's development over the past few years, Wen said. Wen said he had a lot of compassion for migrant workers. He mentioned he received a letter a few days ago from a migrant worker named Xiong Deming in Chongqing Municipality, who once got her wages back with Wen's help in 2003. "The government has started studying the deep-seated issues concerning migrant workers," Wen said. The two-hour interview was held at Ziguangge building inside Zhongnanhai, an office compound of the central authorities at the heart of Beijing.

From Xinhua News Agency 12/27/2009

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China to Establish Emergency Environmental Management System

China is speeding up construction of a system for environmental management to handle emergent environmental incidents, an official said on Tuesday. It was revealed by Zhang Lijun, Vice Minister of Environmental Protection, when he addressed a meeting on the ministry's priorities in the upcoming year. In the year of 2010, environmental protection authorities at all levels should focus on the handling of mass disturbances triggered by environmental pollution such as water and soil pollution, and reduce the harm that pollution bring to people as much as possible. The environmental protection authorities will also conduct a two-year nationwide campaign to investigate all pollution source threats, which will gradually form a dinamic environmental management system, according to Zhang. Finally, the authorities will strengthen monitor and surveillance on environmental security in Shanghai and Guangzhou to ensure that China could hold a clean World Expo and Asian Gamesin 2010.

From http://www.chinaview.cn/ 12/29/2009

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Chinese VP Urges Improving People's Livelihood

Chinese Vice Premier Li Keqiang has stressed that more efforts should be made to improve the people's livelihood while promoting economic growth. Li made the remarks during a recent visit to north China's Shanxi Province, where he chatted with village cadres and laid-off workers. He said it is an important duty for the Party and government to solve the basic livelihood problems of the people. The goal of the nation's economic growth is to improve the people's well-being, he said. Li also said the government should help meet the basic needs of disadvantaged people and further promote employment, compulsory education, basic medical care, public health and affordable housing projects to ensure the people's well-being. The efforts would not only let more people share the fruits of development, but promote the country's domestic demand and economic restructuring, according to Li.

From Xinhua News Agency 12/30/2009

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China Steps Up Corruption Monitoring

China will ramp up the monitoring of high-level public officials' family members to keep them from hiding profits from corruption, state media reported Thursday. The government will increase monitoring of officials' spouses and children who've emigrated, China Daily newspaper reported. Rampant corruption in China has fueled domestic crime - including the spread of gangs involved in human and drug trafficking - as well as questionable business practices that have led to tainted Chinese products being exported around the world. The announcement was part of a package of anti-corruption measures issued by Communist Party leaders following a three-day meeting, China Daily said. The fight against corruption is "persistent, complicated and arduous," leaders of the Central Commission for Discipline Inspection said in a communiqué. Well-publicized government efforts against corruption have made limited headway. Last year, nine high-level officials, including heads of state-owned enterprises, were referred for prosecution on corruption allegations, the newspaper said, citing the Commission for Discipline Inspection. Those cases represent a sliver of corruption in China, where bribes, kickbacks and other illegal gains are paid to officials in small villages, as well as big cities.

Some big fish send their ill-gotten gains and family members abroad, often to live on what's commonly known as "Grandfather's money" - money embezzled or otherwise illegally gained through the Communist Party. Under a 2006 directive, high-level public officials already had to report their real estate interests and other investments and the employment of their spouses and children, China Daily said. The communiqué said monitoring of such declarations would increase. It also warned officials to not accept cash gifts, securities and payment documents, or hold wedding or funeral services in an effort to collect the cash presents that are traditional in Chinese culture. In 2009, China ranked 79 out of 180 countries on Transparency International's Corruption Perceptions Index. The index, widely considered a credible measure of global corruption, reserves its lowest rankings for countries with the least perceived corruption. China fell between Burkina Faso and Swaziland on the index.

From http://www.cnn.com/ 01/14/2010

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Honesty, Uprightness Stressed in Enhancing Clean Governance

Chinese central authorities have stressed the promotion of honesty and uprightness among the public, especially government officials, in enhancing clean governance and anti-corruption drive. It is imperative to foster and carry forward the merit of honesty and uprightness, and officials should have the awareness of using power justly and pursue clean-fingered work style, according to suggestions on clean governance put forward by six central government departments. The six departments also urged to strengthen education on the public about the value of honesty and cleanness combining social morality, professional ethics, family virtues and personal moral character. It is stressed that anti-corruption should be a subject that is reflected in literature works, films and TV dramas, as well as newspapers and magazines, books, and electronic products. The suggestions were jointly issued by the Communist Party of China (CPC) Central Commission for Discipline Inspection, the Ministry of Supervision, Publicity Department of the CPC Central Committee, the Ministry of Culture, State Administration of Radio, Film and Television and the General Administration of Press and Publication.

From Xinhua News Agency 01/05/2010

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JAPAN: ¥561 Billion Set Aside for Rice Farmers

The government plans to spend more than ¥560 billion next year to compensate rice farmers for possible losses from falling price, officials said Tuesday. The Finance Ministry agreed to include ¥561.8 billion for the program in a draft budget for fiscal 2010, as requested by the Agriculture, Forestry and Fisheries Ministry. The government will first implement the program for rice growers, aiming to cover possible losses if production costs overshoot market prices. Farmers can choose whether to join the program. The government plans to expand the program in the future to cover livestock farmers and fishery workers. For rice farmers, the ministries agreed to pay each farming household joining the program a fixed amount of ¥15,000 per 100 sq. meters of paddy.

From http://www.japanontoday.com/ 12/22/2009

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Local Gov'ts to Lease 500 Rooms for Homeless People During Year-end

Tokyo and nine other prefectural governments have decided to lease about 500 rooms from places like inns and company dormitories to accommodate homeless persons during the year-end and new year holidays, Kyodo News learned Wednesday. But the number falls significantly below the welfare ministry's initial target of securing 2,700 rooms nationwide, apparently because local governments feared too many rooms might lure jobless or homeless persons from surrounding areas, ministry sources said. The rooms will be paid for with state money as part of unemployment measures.

In addition to the leased rooms, some 160 municipal governments will operate temporary consultation counters for the poor and needy from Sunday through Jan 3. The Tokyo metropolitan government will lease 170 rooms, in addition to operating a public shelter using facilities at the National Olympics Memorial Youth Center in Shibuya Ward which can accommodate several hundred people. The other prefectures are Aichi, which will lease about 200 rooms, Fukui, Fukuoka, Kumamoto, Kyoto, Niigata, Okayama, Okinawa and Osaka. While the Ministry of Health, Labor and Welfare said it has no exact figure of how many will require assistance during the year-end and new year holidays, it is estimated that of some 247,000 temporary workers who have lost their jobs since fall last year, about 7,500, or 3%, became homeless.

From http://www.japantoday.com/ 12/24/2009

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136 Local Authorities Offer Counseling Services for Jobless

A total of 136 municipalities and 78 "Hello Work" job placement centers in 23 prefectures across the nation launched special year-end counseling services Tuesday for unemployed people at the request of the central government. While Japanese government offices are usually closed between Dec 29 and Jan 3, these local governments responded to the request from the central government's task force to assist poor and needy people, with some of the municipalities also offering lodging facilities for people without jobs and homes. Most of the emergency counseling services will run for two days until Wednesday, but the cities of Morioka, Miyazaki and Tokyo will continue their services through Jan 3. At the National Olympics Memorial Youth Center in Shibuya Ward which the Tokyo Metropolitan Government is currently using as a temporary shelter for a maximum 500 unemployed people without a place to stay, 418 people have already checked in as of 5 p.m. Tuesday. Physicians, lawyers and other professionals are providing advisory services regarding various issues such as welfare benefits, health and debts at the center.

From http://www.japantoday.com/ 12/30/2009

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Japan to Model 'Child Fund' on French System

The government will explore setting up a children's fund modeled after France's family allocations system, which finances many of its child-rearing support measures, Mizuho Fukushima, minister in charge of measures to deal with the low birthrate, said Monday. Fukushima floated the idea during a visit to France, where the system is credited with contributing to a recovery in the birthrate, after talks with her French counterpart, Xavier Darcos. Fukushima said that after formalizing existing government policies such as the planned child allowances, she "would like to pursue whether creating a children's fund as an overall package is possible." She said she hopes to discuss inviting the business sector to take part in the envisaged fund, alluding to the French system financed 45 percent by companies. In France in 2008, about 30 million beneficiaries received 68.5 billion euro (about ¥9.15 trillion) for housing aid, child care centers and other assistance. The Cabinet Office will release its vision for children and child-raising at the end of this month, Fukushima said.

From http://search.japantimes.co.jp/ 01/06/2010

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Gov't Eyes Y100 Bil Loan Program for Low-emission Technologies

The industry ministry is considering legislation that would establish a 100 billion yen loan program for companies to develop and manufacture environmentally friendly products such as electric vehicles and solar power generation systems. The Economy, Trade and Industry Ministry plans to submit a related bill to the regular Diet session starting Monday as part of its efforts to fight climate change. It is also hoping to encourage smaller firms to lease low-emission equipment and is considering offering government compensation to leasing companies in the event that their customers go bankrupt.

From http://www.japantoday.com/ 01/17/2010

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SOUTH KOREA: Civil Servants to Face Tougher Discipline in 2010

The government will tighten discipline in the public sector and step up efforts to stamp out corruption in the New Year, the public administration ministry said Wednesday, according to Yonhap News. In a report on its key 2010 policies to President Lee Myung-bak, the ministry said government employees will be subject to stricter discipline in the new year, as a series of corruption scandals involving public officials have undermined public confidence in the government. Under the new rules, any government employee, if sentenced to a fine of over 3 million won ($2,566) for embezzlement charges, will be forced to retire and barred from being hired by other state-run organizations, a ministry officials said. The government will also seek to enhance transparency in state-sponsored construction projects and revoke all contracts awarded in an illicit manner, they said, adding electronic monitoring of state-issued permits and approvals will be strengthened. To combat cyber crimes, the authorities will introduce a system offering a reward of up to 20 million won to anyone who reports cyber criminals. A "cyber investigation working group" will be created with the United States to swiftly deal with any international cyber terrorism, the ministry said.

From http://www.koreaherald.co.kr/ 12/30/2009

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Employment Agency for Disabled Unveils New CI

The Korea Employment Agency for the Disabled yesterday held a ceremony to introduce its corporate image, as part of its restart with a new name this year. The new logo, which portrays two people holding their hands, resembles a letter of a Korean word meaning "employment." The new CI indicates that people join hands with the vision of creating more jobs for the disabled, according to the public corporation. In using colors, blue represents building trust as competitive and professional organization, while orange stands for its energy and intimacy to advance into the future. "If the company has worn new clothes with a name change, the introduction of a new CI is aimed at rebuilding its identity," said Kim Sun-kyoo, president of KEAD. "I hope people will observe our future changes."

After the CI declaration, the company also announced a new management strategy that will realize the vision of becoming a trusted organization specialized in services for disabled people. Established in 1990, the government-funded agency started with the name "Korea Employment Promotion Agency for the Disabled." Since its foundation, KEAD has created jobs suitable for people with disabilities and provided incentives to companies that employ the handicapped. Other than creating new jobs, KEAD also continues to improve related government policy and highlight social responsibility in the employment of disabled people.

From http://www.koreaherald.co.kr/ 01/01/2010

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Land Ministry Supplies Rental Housings for Low Income Earners

The following is a press release dated Jan. 13. The Ministry of Land, Transport and Maritime Affairs supplied 21,724 houses (including multifamily houses) to low income earners in 2009. The houses were 10-year public rental houses customized for low income citizens living in urban areas that were purchased or rented by the LH Corp. and local governments who repaired and remodeled the houses with finance of the government and the Housing Fund. Candidates such as basic livelihood security recipients, newly weds and child- headed families could select the house size and location as well as rent payment method on their own when applying for houses and could rent them at a 30% lower rental cost than the average.

(1) Houses for rent (less than 60 square meters): 7,579 The houses were purchased and re-supplied by the government to be provided to basic livelihood security recipients and single parent families so that they can save cost and support themselves.

(2) Houses for lease (less than 85 square meters): 7,820 Basic livelihood security recipients and low income workers selected the houses they could afford, applied for the houses and signed a lease contract with the LH Corp. and local corporations. The houses were leased at a lower cost and the cost for hanging new wall papers and repairing linoleums as well as real estate commission and insurance fee for lease deposit were all covered by the government.

(3) Rental houses for Newly Weds: 5,260 Low income couples who have been married for less than 5 years could apply for houses for rent. Among candidates, homeless heads of families who have been married for less than 3 years and have children with the income level less than 50% of the average mostly got the houses.

(4) Rental houses for Child-headed Families: 1,065 The houses were rented to child-headed families to help their financial support. Especially, 20-year-old or younger family heads could rent the houses for free.

(5) Houses for Homeless people: 576 The houses were supplied to homeless people.

The housing welfare foundation, social welfare agencies, etc. selected candidates for houses and the Ministry of Health and Welfare and the Ministry of Public Administration and Security decided beneficiaries. In addition, the Ministries provided them with other welfare services and self-support programs. The Ministry of Land, Transport and Maritime Affairs says that it will supply 20 thousand customized rental houses in 2010. It plans to supply houses to people in urgent need of residence who live in an inn or a Gosiwon or victims of crimes. Furthermore, it will supply the rental houses not only in cities with less than 200 thousand population but all cities in greater Seoul area where there is high demand. The public notice for the 2010 rental houses will be announced by the LH Corp. and local corporations around February or March. People can apply for the houses in their district offices.

From http://www.korea.net/ 01/19/2010

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MONGOLIA: Elbegdorj Seeking to Continue Child Money Program

The Child Benefits program should continue, the President of Mongolia Ts.Elbegdorj told the top legislator of the country on December 22. Elbegdorj received Parliament Speaker D.Demberel after his presidential veto on the budget expenditure plan, Budget Law for 2010, which was disapproved by a majority vote. The President put a veto on the entirety of the law that enabled the government to stop the funding of the Child Money Program, the popular social cash allowance program. The law was also strongly criticized by the masses and the media, due to its so-called "pocket-money" for each of the members of parliament. Tg1 billion was estimated to be spent under direct guidance of each parliament member for their respectful electoral constituencies.

"Let's please work to prevent proposals by the members of Parliament to earmark budgets for their electoral constituencies. The phenomenon should not be repeated next year, nor should there be any talks or intentions to repeat similar earmarkings at the local legislative bodies. Budget "earmarks" are a wrong practice," said President Elbegdorj. The president said that the Child Money Program was the most effective out of all the social welfare programs in recent years. "This is the fairest division of income and is a real investment into our future. Therefore, I request the Parliament to resolve to continue with the provision of Child Benefits," he said. On the same day, Elbegdorj called leaders of the two major political parties to cooperate in continuing the provisions of the child money program.

From http://ubpost.mongolnews.mn/ 12/29/2009

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INDONESIA: KPK Working to Eradicate Internal Corruption

The Corruption Eradication Commission (KPK) says it is currently investigating case brokers reportedly operating within the commission itself, with renewed efforts to rid the judicial system of ingrained corruption. KPK interim chief Tumpak Hatorangan Panggabean said here Thursday his office would improve its internal supervision following reports that case brokers worked among its investigators and had offered bribes to them. "Until now we have yet to find any indication [of case brokers operating within the KPK], and have yet to find any solid links between brokers and our investigators," Tumpak said.

He said there had apparently been a misunderstanding because most people believed the KPK case brokers had come from outside the commission and had exploited its name for their own benefit. "A lot of people who we have detained have told us that prior to their arrest they have met several case brokers claiming they could provide them with protection from our arrest," Tumpak said. "However, as it turns out, the brokers' claims were never proven, because we always manage to detain those people in the end," he said. The possibility of case brokers operating within the KPK had been suggested by Constitutional Court chief justice Mahfud MD on Wednesday. On Thursday, Mahfud said case brokering practices at the KPK had involved a number of individuals of various rank. "The people involved are those of deputy levels and below them. However, no connections have been found with the top leadership," he said.

Mahfud also said the data on KPK case brokering he had submitted to President Susilo Bambang Yudho-yono's judicial corruption task force was solid. Mahfud, however, refused to reveal any names, citing that his deal with the task force prevented him from going public. Corruption within the country's judicial system has taken the political stage recently, particularly since November last year when the Constitutional Court publicly played tapes revealing blatant corruption among top police and AGO officials. The wiretapped recordings contained conversations between several high-ranking officials of the National Police and the Attorney General's Office (AGO), and Anggodo Widjojo, the younger brother of Anggoro Widjojo, one of the KPK's main targets. During the conversations, Anggodo was understoood to have been the mastermind coordinating the high-ranking officials in the framing of two KPK deputy chairmen, Chandra M. Hamzah and Bibit Samad Riyanto.

As a consequence of the case, public protests grew, accusing the National Police and AGO of foul play. Chandra and Bibit were eventually released, and two high-ranking officials from the police and the AGO were then removed from their posts. Anggodo, who was questioned and named a suspect by the KPK on Thursday, said he had no knowledge of whether case brokers had existed at the KPK or not. Separately, a recent surprise inspection conducted by the task force at Pondok Bambu Penitentiary revealed that corruption within the justice system also takes place behind bars. During the inspection, the task force found several high-profile inmates had been receiving special treatment, for example with private rooms, offices and even their own karaoke lounge.

From http://www.thejakartapost.com/ 01/15/2010

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LAOS: Nationwide Conference on Public Prosecution Opened

(KPL) A nationwide conference meeting on people's prosecution for 2008-2009 was officially opened in Vientiane on 13 January under the chairmanship of Mr. Somphanh Phengkhammy, President of the Public Prosecutor General Office. Amongst the guests were Mr. Thongsing Thammavong, LPRP CC Politburo member and President of the National Assembly, ministers, deputy-ministers, and senior officials from line ministries and organisations. The meeting reviewed the activities relating to the people's prosecution works made in the year 2009, especially its plans adopted at the annual meeting for 2009.

The meeting also discussed a number of issues concerning the activities to be implemented in 2010. In the morning of the same day, a ceremony was also held to mark the 20th anniversary of the establishment of the People's Prosecution Institute. Speaking about the significance of the day, Prosecutor General Mr. Somphanh Phengkhammy talked about the role of the Institute in monitoring and ensuring uniform observance of the constitution and other laws of the country. Therefore its role is to ensure the efficiency of the legal system in the protection of the state institution and individual citizens. He also talked about some weaknesses and shortcomings, and ways in which the prosecution should seek to improve future performances.

From http://www.kplnet.net/ 01/14/2010

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MALAYSIA: MACC - Policy Good for Port

PETALING JAYA: The Malaysian Anti-Corruption Commission (MACC) has welcomed the Transport Ministry's whistle-blowing policy for Port Klang Authority, saying it was one way for informers to relay details about fraud, misconduct or corruption. Referring to Transport Minister Datuk Seri Ong Tee Keat's proposal to extend the policy to other agencies in the ministry, the MACC, in a statement, said: "We hope any internal corruption would be referred to the MACC so that appropriate action can be taken under Section 25(1) and 25(3) of MACC Act."

The whistle-blowing policy was announced on Thursday by Ong, who said he hoped the public would feel free to provide information about abuse of power or corruption without fear of reprisals. Various groups have also lauded the ministry's new practice to stop issuing letters of support to lobbyists tendering for projects, in another move to promote good corporate governance. DAP veteran leader Lim Kit Siang said he would comment on the whistle-blowing policy once he was better informed about it. However, it was reported that he supported the ministry's plan to stop issuing letters of support, saying it was a step in the right direction. Informants are encouraged to lodge complaints or offer details on fraud to the Whistle-Blower Committee set up by the PKA or via www.wbs.pka.gov.my.

From http://thestar.com.my/ 01/23/2010

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PHILIPPINES: Agenda for 15th Congress Drafted

A six-pronged agenda for the 15th Congress was completed on Friday in a bid to guide incoming legislators on which bills and tasks should be prioritized to boost the country's competitiveness. The list was drawn up by more than 100 participants from executive and legislative state offices, the private sector, and the academe in a two-day event organized by the University of the Philippines Open University (UPOU) and the British Embassy. Policies proposed there seek to improve the following areas: the Philippines' economic stability, governance, infrastructure, environment, trade and human capital. "We will then hold a culminating activity in March where candidates for the presidency and the Senate will be invited," UPOU Dean Maria Fe V. Mendoza told Business World at the sidelines of the event. "We will give them a copy. We're also working with the Congressional Planning and Budget Department which will be orienting the incoming legislators. They will incorporate this [list]," Ms. Mendoza said.

Filipinos troop to the polls on May 10 to choose the country's next set of leaders from the president down to municipal councilors. Legislators who will comprise the 15th Congress will take office on July 26. The list of priorities was formed following presentations from the National Economic and Development Authority, Department of Trade and Industry, Philippine Chamber of Commerce and Industry, and the Asian Development Bank, among others. The effort comes as the Philippines' competitiveness rank fell in three reports released last year. The country was down 16 places to 87th among 133 in the World Economic Forum's Global Competitiveness report and down three notches to 43rd out of 578 in the Institute for Management Development's World Competitiveness Yearbook. In terms of the ease of doing business measured by the International Finance Corp., the Philippines fell three places to 144th in a list of 183 economies.

The output from the event somewhat echoes earlier priority lists prepared by business groups and even Malacañang which have not been completely fulfilled by the current Congress. Rationalizing fiscal incentives - long urged to legislators - again made the list, particularly for the portion seeking to stabilize the economy. Participants tagged the budget deficit as unsustainable and thus recommended that the next Congress pass revenue-enhancing policies. These also include keeping a tighter watch on debt-ridden government corporations - current policies on state support to these firms should be reviewed to limit the bourse's exposure to their losses and a law ordering the right-sizing of their employees should be passed. Bills to improve tax collection by making payment procedures easier and harder to evade should also be passed, they said.

For infrastructure, the group recommended the passage of laws that will amend the build-operate-transfer law, create the Department of Information and Communication Technology (DICT), and increase road usage taxes, among others. The DICT will likewise be important in spearheading the computerization of government processes. This, in turn, will reduce corruption, the participants said with respect to improving governance. Human capital, meanwhile, can be enriched if Congress increases the budget for health and education, they said. For trade, Congress would do well to funnel funds to export sectors that need technical support such as testing laboratories. A competition law should likewise be passed to encourage innovation, they said. Climate change also figured as a concern in the list, with participants recommending tighter congressional oversight on the implementation of existing environmental laws, and hiking the budget for research and climate change adaptation programs.

From http://bworld.com.ph/ 01/22/2010

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PGMA Focused on 3Es Until End of Term

MANILA - In the remaining five months of her term, President Gloria Macapagal-Arroyo will keep her attention focused on the economy, education, and environment (3Es). Her goal, the president told Joe Taruc in an interview on radio station DZRH this morning, is to uplift the lives of Filipinos and earn First World status for the country in 20 years. The President said that her tax reforms, unpopular as they may be, has enabled the government to raise funds, which were invested on human and physical infrastructure. It is these funds that made it possible for the government to build vital road networks, air and sea ports, and provide education and other social services, all designed to create a healthy and globally competitive workforce. She said she doesn't mind seeing her popularity rating go down as long as the country's credit rating improves.

As a result of the high credit rating, she said, creditors have lowered interest rates they charge the Philippines to 5.6 percent. In contrast, Indonesia, one of the top 20 economies of the world, has to pay a 6 percent interest rate. The President said the income generated from the value-added tax and internal investments went into investments that enabled the country attain growth even at the height of the global economic crisis last year. According to her, the economy has grown significantly since 2001, the year she assumed the presidency. All these years, she pointed out, large and middle-size corporations such as Ayala, San Miguel Corp. (SMC), Gokongwei, Jollibee, and SM have expanded their operations. She said her administration has created a strong middle class, which is responsible for the increase in the demand for consumer goods.

The stock market, she also said, has doubled under her administration and the top 1,000 corporations upped their income from P100 billion to P700 billion. Her administration, she added, has laid out 50,000 kilometers of road networks compared to the 34,000 kilometers built by the past three administrations. And the figure is apart from 18,000 kilometers of farm-to-market roads. Aside from roads, the President said the roll-on roll-off ferry (RO-RO) network has been established connecting Luzon and Mindanao, thus lowering the cost of transporting goods and people. During the global crisis, the government, through the Pantawid Pamilyang Pilipino Program (4Ps), has distributed cash assistance to one million families. It has also created short-term jobs, given out food and education subsidies, built potable water projects and extended electrification even to the farthest barangays. It has also established Tindahan Natin and Botika ng Bayan, which offer low priced commodities and medicines.

Health insurance coverage under Philhealth were also provided to 82 million Filipinos, compared to the 29 million in 2001. The President said the government has invested heavily in education. It conducts English-proficiency and skills trainings under the Technical Education and Skills Development Authority (TESDA). To create more jobs, the President said government promoted and invested in labor intensive industries such as information and communications technology (ICT), tourism, and housing construction. With more than P500 billion invested in hospitality trade, the number of tourist arrivals a year has tripled. The administration also provided low cost housing to 300,000 families and relocated 90,000 families from railways, riverbanks, and other danger areas. rail lines and water tributaries.
From a virtual unknown, the President said, the business process outsourcing (BPO) became a $7 billion industry now employing 500,000 from the 2,000 recorded in 2001. The President said the next administration will inherit a strong foundation and should continue the necessary programs for the continuing benefit of the people. (PNA)

From http://balita.ph/ 01/22/2010

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Provincial Chiefs Support Teodoro's Economic Plans

MANILA - Majority of the country's provincial executives have expressed their support for Lakas-Kampi-CMD standard bearer Gilberto "Gibo" Teodoro Jr. due to his clear cut programs for economic development in the rural areas. Under Teodoro's platform of governance, more infrastructure projects and aid will be provided to the provinces in order to spur their engines of growth that will uplift the living standard of Filipinos who are yet to enjoy the modernity and benefits of their compatriots in urban areas in Luzon. "Under a Teodoro administration, people in Visayas and Mindanao will no longer complain they feel they are second class citizens in their own country because they don't experience the economic stability enjoyed by Filipinos living in Metro Manila and other urban areas in Luzon," Saranggani governor and Lakas-Kampi-CMD national president Rene Miguel "Migz" Dominguez said.

He said Teodoro's popularity in the Visayas and Mindanao can be attested by the fact the majority of the governors in the said provinces have recently signed a manifesto expressing support for the Lakas-Kampi-CMD standard bearer's presidential bid. Dominguez said Teodoro can launch programs and projects to make poor areas in Visayas and Mindanao more attuned to business, politically stable and relatively peaceful for local and foreign investors to come in. "Take the Maguindanao massacre crisis, if we cut the vicious cycle of poverty-illiteracy-violence-and-terrorism, we would not have had this problem with the Ampatuans and the hundreds of millions we spend for the police and the army to keep peace there could have been spend in the building of vital roads and bridges to make the place accessible to investors," he said. Dominguez said Teodoro's deep concern for the poor provinces has endeared him to the Visayan governors who recently pledged to support Teodoro's candidacy "sink or swim."

Those who recently signed a manifesto of support for Teodoro's candidacy were Cebu Gov. Gwen Garcia, followed by Gov. Sally Perez of Antique, Gov. Felipe Nava of Guimaras, Gov. Carlito Marguez of Aklan, Gov. Orlando Fua of Siquiqor, Eastern Samar Gov. Domingo Evardone, Saranggani Gov. Rene Miguel "Migz" Dominguez, Negros Occidental Gov. Isidro Sayco and Bohol Gov. Erico Aumentado. Dominguez said many more Lakas-Kampi-CMD stalwarts are sticking it out with Teodoro, mindful that while he is presently trailing in the surveys, the administration's party machinery will deliver the votes for Teodoro. "During our recently concluded (Lakas-Kampi-CMD) executive committee meeting, we tabbed up all our controlled areas, and we pleased to find out that 70 percent of the electoral positions out for grabs in the May 2010 elections are readily winnable by our party mates," Dominguez stressed. Bohol Gov. Enrico Aumentado shared this view, stressing that 80 to 90 percent of the officials seeking a new term in office in their province are members of Lakas. "Lakas is the most dominant party in our province and our influence will soon be brought to bear in these coming elections," he said. As this developed, Dominguez shrugged off survey results where Teodoro continues to fare poorly. "We had a late start (in the political advertising race). We are hoping to correct this once the official campaign period starts this February," the Saranggani governor stated. (PNA)

From http://balita.ph/ 01/24/2010

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THAILAND: Anti-graft Agency Proceeding With Ex-TAT Governor's Bribery Case: DSI

BANGKOK (TNA, AP) - Thailand's Department of Special Investigation (DSI) on Thursday said the National Counter-Corruption Commission (NACC) will decide on how to proceed with the bribery case of the former governor of Tourism Authority of Thailand (TAT) following the US court indictment on bribery charges. DSI director-general Tharit Pengdit commented as a Los Angeles court on Tuesday charged ex-TAT governor Juthama Siriwan and her daughter Jittisopa Siriwan for receiving $1.8 million in bribes from film producers Gerald and Patricia Green between 2002 and 2007 in an exchange for running the Bangkok International Film Festival and other tourism-related deals.

Mr. Green, 78, and his wife, 55, were arrested and convicted of involvement in an overseas corruption scam. Both were scheduled to be sentenced on Thursday. The Associated Press quoted the US federal prosecutors as saying that Mrs Juthamas and her daughter were charged with conspiracy and eight other counts. Both can face up to 20 years jail term if convicted. The US prosecutors also said the bribes Mrs Juthamas accepted were given both in form of cash and disguised as sales commissions of between 10 and 20 per cent, according to the report. Prosecutors added that Juthamas and Jittisopa opened bank accounts in Singapore and the United Kingdom to receive the corrupt payments.

Mr Tharit said the DSI investigated the case, then forwarded evidence and documents related to the case to the NACC as the accusations were made at a time when Mrs Juthamas still served as a Thai state official. The DSI chief the NACC must consider how to proceed with the case. Col Piyawat Kingkate, who headed the investigation team probing Mrs Juthamas case in 2007, said the DSI coordinated with the US Federal Bureau of Investigation (FBI) in collecting the evidence. In its investigation, Col Piyawat said, the DSI concluded that two offences were committed: bid rigging and the malfeasance of state official. In consequence the department forwarded the case to the NACC in 2008 and the anti-graft commission appointed Commissioner Methee Krongkaew chairman of a committee investigating the alleged bribery scam involving the Bangkok Film Festival.

From http://enews.mcot.net/ 01/21/2010

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VIETNAM: Praise for Anti-corruption Efforts

VietNamNet Bridge - The municipal administration and agencies should enhance anti-corruption efforts by speeding up investigations, prosecutions and trials of corruption cases in the new year, Government inspectors said during a year-end conference yesterday. Vo Van Dong, an official from the Government Inspectors Department, who was assigned to monitor the task of corruption prevention in HCM City, said: "The international community has praised the country's efforts in fighting corruption, especially after we signed the UN Convention Against Corruption." This year, the city's inspectors conducted 329 inspections of 960 agencies. Of that number, 280 inspections have been completed and another 49 are still under investigation.

The city's inspectors have found violations at 136 agencies. Estimated losses included VND623 billion (US$34.6 million) and 100,076sq.m of land. Money involved in corruption cases last year amounted to VND55 billion. About 20 organisations and 210 people, triple the number last year, were charged with corruption. Some 160 people were tried in court on corruption charges this year. Most of the violations were discovered in construction, infrastructure development and land clearance activities. Dong said the increase in the number of cases proved that the city had stepped up its efforts to fight corruption. He said the inspections followed the Government's implementation of the national strategy for preventing and combating corruption, which began last year and was conducted at the grassroots level.

Nguyen Huu Nhan, HCM City's chief inspector, said he had asked the municipal administration to establish on anti-corruption strategy by 2020. He said eight other corruption cases were reported and were awaiting prosecution. Nhan said most State agencies and offices had implemented anti-corruption regulations and rules of conduct for State employees. The implementation of Government Decree No 37 on the declaration of possessions by public servants resulted in 48,000 civil service employees declaring their income and possessions. Although many State offices had actively got involved in the anti-corruption effort, other areas needed to be more closely monitored, officials said. The city has asked related authorities to inspect the five main projects being built in the city, including Thu Thiem New Urban Area, Hiep Phuoc Port Urban Area, Hi-tech Park, History Culture Park and Ben Thanh - Suoi Tien Metro Project.

From http://english.vietnamnet.vn/ 12/26/2009

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More Effort Urged to Stamp out Corruption

VietNamNet Bridge - Although close co-ordination between relevant agencies has resulted in some initial progress in the fight against corruption, the activities have not been strong enough, according to Deputy Prime Minister Truong Vinh Trong. Trong made the statement at a conference held to review co-ordination efforts between the Central Steering Committee on Anti-Corruption, the Viet Nam Fatherland Front Central Committee and other member organisations regarding activities in the fight against corruption in Ha Noi yesterday, December 28. The Deputy Prime Minister, who is also deputy director of the Central Steering Committee on Anti-Corruption, said the achievements had contributed to the country's success in preventing corruption. However, he noted that the efficiency of corruption prevention had yet to match the determination of the Party, Government and people. "Corruption remains grave and is becoming more sophisticated," Trong told conference participants.

He said more drastic measures against corruption needed to be implemented next year to further affirm the political determination of the Party, State and people. He asked ministries, industries and local governments in cities and provinces to disseminate information about corruption prevention in combination with the movement of learning and following the morality of President Ho Chi Minh. To achieve high efficiency in corruption prevention, Trong said it was essential to continuously implement administrative reform, solve people's complaints, develop policies on corruption prevention and strive to implement democracy at the grassroots level.

Viet Nam Fatherland Front Central Committee Chairman Huynh Dam pledged to co-ordinate more with the Central Steering Committee on Anti-Corruption and member organisations to create positive changes in corruption prevention. Participants reached a consensus about plans to strengthen co-ordination between relevant agencies through the implementation of specific measures, such as information exchange and awareness raising on corruption prevention, among others.

From http://english.vietnamnet.vn/ 12/29/2009

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National Assembly Rejects Setting Up of Food Safety Committee

VietNamNet Bridge - Minister of Health Nguyen Quoc Trieu's proposal to set up the National Committee for Food Safety was rejected by the National Assembly Standing Committee on January 19. Trieu said that with 9.4 million farmer households directly producing agricultural products and with traders selling foods at small markets, not to mention a long border which enables a large volume of food imports, now is the time to be setting up a national committee on food security. The Minister suggested that this committee would belong to the government and its members would be officials from related ministries. "This committee will help reduce overlaps and clearly define responsibility. If anything happens, the National Assembly will only need to question this committee, not several ministries. At present, at least three ministries of Health, Agriculture and Industry-Trade are involved in this task," he analysed.

However, this idea was not supported by the National Assembly Standing Committee. Chairman of the NA Office Tran Dinh Dan said: "I've participated in the Committee for Population and Family Planning and Committee for Protection of Children but they operate ineffectively". Chairman of the NA Committee for Defense and Security Le Quang Binh added: "Many officials complained that they have to join many committees and steering boards. They don't have time to attend all meetings of these committees and boards. Minister Trieu himself said at a question and answer sessions that members of committees are deputy ministers but they rarely attended these committees' meeting but instead sent their assistants meetings." NA Vice Chairman Uong Chu Luu said the legal status of national committees is unclear. The government apparatus previously included ministries, ministry-level agencies and committees.

Since the Constitution was amended in 1992, only the Committee for Ethnic Groups, Government Inspectorate and the State Bank of Vietnam are maintained as ministry-level agencies. Other committees were added to ministries. Existing committees under the government mainly work as advisory agencies. "The establishment of the National Committee for Food Safety is contrary to the current policy. On the other hand, food control is the mission of many ministries and sector. If this committee is set up, it will make disorder," Luu said. The NA Standing Committee, therefore, agreed with the draft bill on food safety, which gives the responsibility of controlling food hygiene and safety to the Ministry of Health, Ministry of Agriculture and Rural Development and the Ministry of Industry and Trade. The government will make clear the job of the three ministries related to food hygiene. This bill will be finalized for approval in the NA session this May. In the last three months, many unsafe food cases have been detected in Hanoi, HCM City, Da Nang, etc.

From http://english.vietnamnet.vn/ 01/20/2010

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Establishment of Economic Development Ministry Proposed

VietNamNet Bridge - The Ministry of Planning and Investment (MoPI) has submitted to the government an economic restructuring scheme, including a proposal to set up an Economic Development Ministry. Nguyen Dinh Cung, vice director of the Central Institute for Economic Management (CIEM), which compiled the scheme, talked about the scheme. According to Cung, after analyzing problems in the current economic structure, among many solutions, the compiling board proposes to establish a Committee for Development Renovation or a Ministry of Economic Development. The first is the more favored.

Why does CIEM suggest establishing a Committee for Development Renovation or a Ministry of Economic Development?
We offered this suggestion several years ago. Why? We have talked about institutional reform but the institution is broad. Where should we make the breakthrough? We think that we should concentrate on the quality of economic policies. The establishment of the above committee or ministry must serve as the goal. We need a central agency which acts like "general staff" in terms of policy. When ministries submit draft policies, this agency will verify or give guidance for their compilation. Currently, before policies are sent to the government, they are only verified by the Ministry of Justice for their legality. The content is not verified by any agency. The Committee for Development Renovation or the Ministry of Economic Development would independently watch over the implementation of policies or ask for immediate amendments to ensure all policies serve the national interests.

It was suggested that the Ministry of Finance and the MoIP merge into the Economic Ministry. What would this achieve?
We think that it is better to set up a new committee, rather than merging two ministries into one. This committee would not be responsible for administrative management but will focus on policies including ensuring their quality and implementation. This institution wouldn't need many staff and grassroots branches, only qualified personnel at a central level.

Does the board anticipate that it would be difficult for this proposal to be approved?
Japan and South Korea have such an institution. China also had a committee for renovation. International experts who research East Asia and Southeast Asia are very surprised that Vietnam doesn't have one. As a result, a large number of policies, frequent change of policies, conflict between laws, and ineffective implementation of policies are normal occurrences in Vietnam. International experts have also said that without such an agency, it is difficult to demonstrate "State promoting development", especially in a period of industrialization.

The scheme also suggests setting up a General Department for Assisting the Development of Private Enterprises. Why has CIEM made that proposal?
This proposal also originates from institutional and development history. The private sector's contribution to the economy has become more important. However, despite our own economic renovation, that sector is still in a disadvantageous position. Administrative management agencies, despite how the laws, are always in a superior position. The relations between the two sides, therefore, are unequal. This fact is not the fault of anyone, but a result of history. So we need a strong enough body to balance this - another state agency that would protect the private sector. The role of the administrative court and associations are not powerful enough so it is better to have a general department to work out the problems of private firms with other state agencies.

But we have had associations and state agencies to support private enterprises but in the end private companies have to run themselves. Should general departments be a provider of such services?
This agency must be a state run agency to be able to be balance and protect the private sector. We have the Agency for Assisting the Development of Small and Medium Enterprises but this agency is weak politically. The new general department should be under the government, like the Vietnam National Administration of Tourism. It can supply public services to really assist enterprises. This general department must work under the principle of solving emerging problems for private enterprises and suggest policies accordingly.

Why does the CIEM propose to force credit institutions to lend at least 30 percent of credit available to the private sector?
This suggestion aims to deal with the market's shortcoming in their approach to the private sector. This ratio in other countries is between 20 and 30 percent so we propose 30 percent. In Vietnam, if banks are free to distribute capital, they would always give priority to big businesses, state-owned enterprises and familiar clients to ensure safety and low costs. It is good for banks but not good for the common interest. The private economic sector is using capital more effectively and they create many jobs. If they can't have access to more capital, it will be difficult for them to develop, update technology, expand production and, in general, our economy will suffer.

From http://english.vietnamnet.vn/ 01/22/2010

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INDIA: Four New Governors Take Office

New Delhi: Four of the eight newly appointed governors - Shivraj Patil (Punjab), K. Sankaranarayanan (Maharashtra), E.S.L. Narasimhan (Andhra Pradesh) and M.O.H. Farook (Jharkhand - took their oath Friday at ceremonies held in respective state capitals. Patil, a former union home minister and ex-Lok Sabha speaker, was administered the oath of office by Punjab and Haryana High Court Chief Justice Mukul Mudgal at the Punjab Raj Bhavan in Chandigarh. He will also hold the charge of administrator of the union territory of Chandigarh. Patil replaces S.F. Rodrigues, a former Army chief, who completed his tenure. He is the first political personality in two decades to become Punjab governor. The post was mostly held by retired army chiefs. K. Sankaranarayanan was sworn in as the new governor of Maharashtra at a simple ceremony in Mumbai by acting Chief Justice of Bombay High Court J.N. Patel. Sankaranarayanan, a former minister in Kerala, was appointed governor of Nagaland in February 2007 and was moved to Jharkhand in July 2009. Farook was administered oath of office and secrecy by Jharkhand High Court Chief Justice Gyan Sudha Mishra at the Raj Bhavan in Ranchi. A former chief minister of Puducherry, he was appointed ambassador to Saudi Arabia in 2004. Chief Justice of the Andhra Pradesh High Court A.R. Dave administered the oath of office to E.S.L. Narasimhan at Raj Bhavan in Hyderabad. Narasimhan, governor of Chhattisgarh, was sworn in Dec 27 after being given additional charge of Andhra Pradesh, following the resignation of N.D. Tiwari over allegations of his involvement in a sex scandal. After being appointed full-time governor last week, Narasimhan was sworn in again in accordance with constitutional requirements. President Pratibha Patil had appointed the new governors Jan 16. The new governors of Chhattisgarh, Rajasthan, Himachal Pradesh and West Bengal are expected to assume charge of their offices before Republic Day.

From http://www.newkerala.com/ 01/22/2010

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SRI LANKA: Behind Pakistan in Regulatory Transparency

(LBO) - Sri Lanka is the most uncertain market among South Asian countries for new telcos, while Pakistan has the most transparent process for entry and spectrum, despite high fees, a study has found. "Pakistan is the most expensive to enter in South Asia, but it's the most transparent," Helani Galpaya, chief operating officer at LIRNEasia - a Sri Lankan-based think-tank, said. "Operators are willing to pay the price to enter the market if the certainty factor is intact." According to the study carried out by LIRNEasia, Pakistan scored 3.9 points out of 5.0 for mobile licensing conditions, while Sri Lanka scored 2.7 points. India scored 3.1 points and Bangladesh 3.0 points. Maldives was not included in the study due to its tiny population of 300,000 people and heavy government ownership of the telco sector. In the Association of South-East Asian Nations (ASEAN) region, Philippines scored 3.2 points, Indonesia 3.0 points and Thailand 2.7 points. A fresh mobile license including the spectrum is very expensive in Pakistan, Galpaya said. Sri Lanka's Telecom Regulatory Commission last issued a license for five million dollars but spectrum was sold separately, lengthening the rollout process. Pakistan's regulator says a transparent regulatory regime encourages healthy competition. The Pakistan Telecommunications Authority (PTA) in 1992 spelt out very clearly how the spectrum would be sold, its chairman Muhammed Yaseen said. "We announced publicly that the licenses were going to go at an auction," Yaseen said. "The best price gets the licenses." Pakistan, at 291 million dollars per license, is one of the most expensive in the region. Half the fee is paid upfront and the rest in equal annual installments. Celco's have to pay another 291 million dollars to renew their contracts, usually every 15 years. Service providers don't mind the high investment, if risks like rollout delays and uncertainty are removed, Yaseen said. Bharti Airtel, Sri Lanka's fifth celco entrant, had to wait 21 months to rollout their operations. It should have taken six months, Galpaya said.

Sri Lanka's licensing process is not as transparent as Pakistan, with deals done behind closed doors, Galpaya said. Dialog Telekom, a unit of Axiata Malayasia, Tigo, a unit of Etisalat of the United Arab Emirates, Bharti Airtel, Hutch and Mobitel, a unit of Sri Lanka Telecom (SLT) are the other celco operators in the country. SLT, Lanka Bell, Dialog CDMA and Suntel provide wired and wireless fixed line telephony services to Sri Lanka's 19.5 million population. "The last operator (Bharti Airtel) came in (to Sri Lanka) through a weird beauty contest," Galpaya said. Clear policies in Pakistan however, brought down tariffs without hurting the industry, Yaseen said. "Mobile tariffs were 6.0 to 7.0 rupees per minute, now it has come down 60 cents," Yaseen said. Following the entry of the fifth operator a price war erupted between existing Sri Lankan operators, pushing most operators into the red. Weak financial performance has cut down investments, Duminda Ratnayake, chief executive of Tigo, a celco said. Excessive taxation by the state is another problem. Sri Lanka's operators says about 30 percent of telco spend by subscribers ends up in government coffers. The telco sector is also taxed very heavily in other developing economies such as South America where mobile penetration is high and usage is low, Hernan Galperin of DIRSI Argentina, an academic at regional information technology research centre said. "What really matters is not tariffs but affordability," Galperin said. "It is not hard to see why no one is using their mobile phones to take calls or take SMS's (short message service) when it will take 70 percent of their incomes." But new licensing in any form could help push telecom services wider. "The critical success factors are spectrum and licenses," Rohan Samarajeewa head of LIRNEasia and former director general of the Telecom Regulatory Commission said. "Dirty licenses are better than no licenses."

From http://www.lankabusinessonline.com/ 12/29/2009

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PAKISTAN: LB System to Stay in Sindh

KARACHI: Sindh Local Government (LG) Minister Agha Siraj Durrani said the Sindh people want the restoration of old Local Bodies system and Pakistan People's Party (PPP) will take decision in this regard in accordance with the public sentiments, Geo News reported Wednesday. A decision regarding the future of Local Bodies system would be taken up in a couple of days. Durrani said the Local Bodies elections would be held within 90 days after appointing administrator for the purpose. Talking to journalists on the occasion of his hearing in Accountability Reference case, he said, 'The NAB reference against me is the gift of Saifur Rehman.' Earlier, the court adjourned the Accountability Reference case against Agha Siraj Durrani till January 16. The Sindh minister has been charged for corruption in purchase of government furniture. The national accountability court directed Imran Soomro, Director Technical of Pak-Swiss Institute to appear before the court in the next hearing.

From http://pakistanlink.org/ 01/06/2010

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'PML-N Will Be First to Fight Conspiracy Against System': People's Party Key to Democracy

* PML-N chief says PPP national asset, political force that should remain in existence
* PML-N respects mandate of all political rivals, expects others to reciprocate

KARACHI: The Pakistan Muslim League-Nawaz (PML-N) would be the first to resist any conspiracy against democracy, party chief Nawaz Sharif said on Wednesday. He was referring to President Asif Ali Zardari's recent speeches and the concerns he had raised that certain quarters were trying to derail the existing democratic set-up. Talking to reporters at the Sindh Chief Minister's House, Nawaz said the Pakistan People's Party (PPP) was an important player in ensuring the continuation of the country's democratic system. National asset: Calling it a national asset and political force, the PML-N chief said the PPP should remain in existence. He said dictators who had ruled the country over the last 10 years, were responsible for the problems currently facing the country. Nawaz said 50 percent of the problems could have been avoided had those leaders "managed things properly". "All parties will have to get together and make collective efforts to solve the problems inflicted on Pakistan by the dictatorial regime," APP quoted him as saying. Mandate: The PML-N chief said his party respected the mandate of all publicly represented political rivals, adding that the PML-N expected that others would respect its mandate as well. Nawaz reiterated his desire for the implementation of the Charter of Democracy (CoD) and the repeal of the 17th Amendment. "We [political parties] should work together to ensure that no dictator usurps power from the democratically-elected governments that will then help our nation to move ahead," he added. He said he would like the 1991 Water Accord to be implemented in letter and spirit, adding that he was proud that the accord was signed during his first tenure as the country's prime minister. Nawaz said all political parties should sit down and work together to stop incidents of violence such as the attacks on the Youm-e-Ashur procession in Karachi, volleyball game in Lakki Marwat and the arson at Bolton Market. Sindh Chief Minister Qaim Ali Shah praised Nawaz's efforts to help the government in the war on terror. He said the leaders of the PPP and the PML-N would work together to eradicate the menace of terrorism from the country. Senior Minister Pir Mazharul Haq, Federal Minister for Ports and Shipping Babar Ghauri, PML-N leader Ghous Ali Shah and other leaders of the two parties were also present. Earlier, accompanied by the Sindh chief minister, the PML-N chief visited the gutted markets on MA Jinnah Road, and said all out measures were being taken to help the affected traders. He told reporters that the incident was a great national tragedy. "We share the grief and sorrow of the people affected in the Karachi tragedy," he said.

From http://pakistanlink.org/ 01/07/2010

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Reshuffle in Sindh Cabinet

KARACHI: Chief Minister Sindh Qaim Ali Shah made changes in Sindh cabinet.Shazia Murree will be tourism minister now. She was serving as provincial information minister. A notification of replacement of Shazia Murree has been issued. Earlier, Sassi Palejo was Minister of Tourism and Culture. She will be served as culture minister only. According to sources, Chief Minister will hold the information ministry.

From http://pakistanlink.org/ 01/15/2010

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New Section Opened to Facilitate Tax Defaulters

LAHORE: Customs and Sales Tax Department has constituted a new section for Lahore, comprising of four senior officers, to facilitate the tax defaulters. The department has moved its office to Nabha Road and a new section has been opened, where all issues of new tax defaulters will be heard.

From http://pakistanlink.org/ 01/18/2010

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AFGHANISTAN: President Unveils New List of Cabinet Picks

Afghan President Hamid Karzai has submitted a new list of cabinet nominees to parliament in his second bid to form a government, RFE/RL's Radio Free Afghanistan reports. No prominent former guerrilla chiefs and fewer from Karzai's inner circle appear to be among the picks, which might be expected to please both the West and many of Karzai's critics at home. But early indications were that the list of largely unknown figures would face considerable hurdles. Deputies last week rejected most of Karzai's initial 24 picks, dealing a major blow to the man who has led Afghanistan since U.S.-backed Afghan forces toppled the Taliban in late 2001. In an apparent concession to lawmakers, the new list omits all 17 candidates previously rejected by parliament.

The Latest Nominees at a Glance
It contains 16 names, including Karzai's longtime security adviser Zalmay Rasul, nominated to the previously unfilled post of foreign minister. Karzai did not submit a candidate to replace Ismail Khan, a Herat-based warlord who is currently the powerful minister of Water and Energy, and whose nomination had been rejected in the first vote. The telecommunications portfolio, too, has yet to be filled. Second Vice President Mohammad Karim Khalili, who read out the list to parliament, said nominees for those two ministries would be announced shortly. "With your permission, the Telecommunication Minister will be introduced very soon, in a few days, maybe [on January 10] or the day after," Khalili said. "The candidate for the Ministry of Energy and Water will also be announced very soon."

Not Household Names
The new list also includes three women, up from just one in both the outgoing cabinet and Karzai's initial list. Afghan political analyst Zia Rafat told RFE/RL's Afghan service that many of the new nominees are little known. "On the first list, we had candidates mostly affiliated with the traditional political parties allied with Hamid Karzai, which supported him during the presidential elections," Rafat said. "Now we have candidates who may be loyal to certain political parties but are not activists or prominent figures of traditional parties - at any rate, they are not official members of the traditional parties." Rafat noted that the new list included just to activists or leading figures from among the so-called mujahedin parties whose origins lie in the two decades of anti-Soviet or internecine warfare. "It looks like Karzai has picked them up from the street," Reuters quotes one parliament member, Sayed Dawood Hashimi, as saying. The lawmaker went on to predict that only a small handful of the appointees would be approved. The agency also quotes an international diplomat as saying that "one could hardly describe the new list as an improvement over the last list," adding that some appeared to be either "completely unknown" or "known politicians who were removed in the past for corruption."

Lawmakers must question candidates before voting can take place, a process that took more than a week for the original list of 24 nominees. Parliament speaker Mohammad Yonus Qanuni said lawmakers should be able to hold a vote of confidence on the full list by January 14, Radio Free Afghanistan reports. The fraud-plagued presidential elections in August and the rejection of the first cabinet list have been a severe political setback for Karzai. The Afghan president is now eager to get his administration assembled before an international conference on Afghanistan is held on January 28 in London. On January 4, Karzai ordered the legislature to cancel its winter recess so it could consider the new cabinet list. Ordinary Afghans hope for a cabinet that will both stand up for them and heal ethnic and political rifts that emerged during the election campaign. The United States and other foreign donors have been calling for a cabinet overhaul that will signal Karzai's dedication to fighting corruption and introducing badly needed reforms.

From http://www.rferl.org/ 01/09/2010

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Afghan Parliament to Recess Without Confirming Cabinet

The Afghan parliament prolonged months of political uncertainty today by shutting for its winter recess without waiting for President Hamid Karzai to fill nearly half of his cabinet. The announcement means Karzai will appear at an international conference on his country's future on January 28 with 11 of 25 cabinet seats vacant. Confirming his cabinet is the first big test for Karzai since his reelection in a vote last August marred by fraud. He has promised to name competent ministers but also owes favors to regional bosses who helped get him elected. But parliament has twice rejected his pick. Western countries with troops serving in Afghanistan are anxious for Karzai to put his new government in place and to build the institutions needed to withstand a Taliban insurgency fiercer than at any time in the 8-year-old war. Before breaking, lawmakers also demanded reforms for parliamentary elections due this year, setting the country back on a path toward political confrontation after the botched presidential poll last year. Parliament spokesman Haseeb Noori said lawmakers would now leave for a recess until February 20. They had postponed their leave earlier this month to allow Karzai to pick new names after rejecting more than two thirds of his initial picks, and vetoed more than half of his proposed replacements on January 16.

Karzai's spokesman, Waheed Omer, said the president would nominate new candidates for the vacant seats when lawmakers return. Until then, Karzai would direct deputy ministers or other caretaker figures to run their ministries, Omer said. Karzai's reelection, in a fraud-marred vote that took months to resolve, has damaged his standing at home and abroad, and led to months of drift. He and his allies are hoping to turn the page on that uncertainty in 2010, but a fresh political crisis looms with another election, this time for parliament, due in May. The United Nations has millions of dollars in an account earmarked to hold that vote, but Western officials say they want to see election reforms enacted before the funds are released, to prevent a repeat of last year's fraud. Omer said Karzai had told visiting U.S. envoy Richard Holbrooke on January 16 that the parliamentary election must be held on time on May 22 this year, a date many Western officials fear is too soon to enact needed reforms in time.

Reforms Sought
Parliamentarians discussed the election in their final debate today, backing the May 22 date but calling for reforms to the election commission, which Karzai's opponents blame for fraud. "They said the poll must be fair and transparent and for that there should be changes in the election commission, for it is under question," said Mir Ahmad Joyenda. "Delegates said the heads of the lower and upper house of the parliament along with the chief justice should consult on this with the president." Diplomats say they hope to avoid a clash over the date by persuading Afghans to allow the vote to be pushed back. Holbrooke told Reuters that Washington and its allies supported holding the election some time this year. "The exact date is far less important than the fact that international community has come together and coalesced together around a date in this calendar year. We've crossed that bridge," Holbrooke said. "They're going to have to do some electoral reforms in order to prevent a repetition of what happened last year," he said.

From http://www.rferl.org/ 01/17/2010

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UN: Afghan Corruption Matches Scale of Opium Trade

The United Nations Office on Drugs and Crime (UNODC) says that Afghans paid out $2.5 billion in bribes over a 12-month period. In a report issued today, titled "Corruption in Afghanistan," UNODC says the figure is equivalent to almost one-quarter of Afghanistan's gross domestic product (GDP), and is similar in size to the estimated $2.8 billion in revenues from the opium trade in 2009. One Kabul resident tells RFE/RL's Radio Free Afghanistan that graft is part of everyday life. "I think there is no one in Afghanistan who has not experienced the bad phenomenon of corruption. Everybody has faced corruption in government institutions, in court, and in the prosecutor's office," he says. "You can see corruption everywhere. About 20 minutes ago, in front of my eyes, police stopped a loaded truck and then let it go after the driver gave him 50 Afghanis. This is corruption, the bribe. People face it and see it everyday, including me."

The UN survey tells a similar story. Based on interviews with 7,600 people in 12 provincial capitals and more than 1,600 villages around Afghanistan between autumn 2008 and autumn 2009, the survey shows that Afghans consider rampant corruption as their biggest problem. Fifty-nine percent of the respondents felt that "public dishonesty is a bigger concern than insecurity (54 percent) or unemployment (52 percent)."

Explicit Demands
One Afghan out of two had to pay at least one kickback to a public official during the survey period. More than half of the time, the request for illicit payment was an explicit demand by the service provider. The report says citizens were asked for bribes when they needed a document or a license, to have their rights protected in courts, or to receive medical treatment. In most instances, the bribes were paid in cash. The average bribe was $160, in a country where GDP per capita is $425 per year. A spokesperson for UNODC in Vienna, Walter Kemp, tells RFE/RL that corruption is a major impediment to improving security, development, and governance in Afghanistan. "Corruption is not only a crime in itself, it's a lubricant for other forms of organized crime, like drug trafficking," Kemp says. "But not only that, it is a major impediment to development.

"If money which is designed to help the country disappears in a big, black hole, then that certainly hinders the ability for the country to rebuild itself. Also, it's a hindrance to security and, of course, the implementation of the rule of law." UNODC found that the biggest culprits were police and local officials, followed by judges, prosecutors, and members of the government. The international community does not escape criticism. The report says more than half of Afghans believe that international organizations and nongovernmental organizations "are corrupt and are in the country just to get rich." It says this perception risks undermining aid effectiveness and discrediting those trying to help the country.

Set Clear Benchmarks
Meanwhile, lack of confidence in the ability of public institutions to deliver public goods is pushing Afghans to look for alternative providers of security and welfare, including antigovernment elements. For all these reasons, UNODC urges the new Afghan government to make fighting corruption its highest priority. Kemp says an international conference on Afghanistan in London later this month should set clear benchmarks for the Afghan government on corruption. "We're calling for the international community to use the UN convention against corruption as the benchmark for measuring progress in Afghanistan," Kemp says. "And there's plenty of very concrete measures in there about how to prevent corruption, about how to criminalize corruption, how to recover stolen assets, and so on. So we're saying: There's no need to start from scratch."

The UNODC is also calling on President Hamid Karzai to turn the country's anticorruption agency, the High Office of Oversight and Anticorruption, into an independent, fearless and well-funded authority. Since Karzai began a new term in November after an election marred by massive fraud, his Western allies have put him under mounting pressure to crack down on corruption.

From http://www.rferl.org/ 01/19/2010

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Afghan Election Commission Postpones Parliamentary Vote

(RFE/RL) - In a move likely to be welcomed in Western capitals, election authorities in Afghanistan have postponed that country's parliamentary elections until mid-September. Officials said the voting, which had been due to take place in May, was delayed due to security concerns, logistical problems, and insufficient funds. "Considering deficiencies in the budget, uncertainty about election security, logistical obstacles, and in order to better organize the process, we have decided to delay the polls in accordance with Afghanistan's election legislation," Fazal Ahmad Manawy, a senior official on Afghanistan's Independent Election Commission, told a press conference in Kabul, according to RFE/RL's Radio Free Afghanistan. "Parliamentary elections will now take place on September 18, 2010."

Reports from Kabul say the decision is already being met with relief by foreign diplomats. President Hamid Karzai had pressed for the parliamentary poll to be held in May. But most foreign officials favored a delay, eager to avoid a repeat of the fraud-tainted presidential election in August. The presidential vote turned into a major embarrassment for Karzai and the international community, which had promoted the poll as a democracy test for the war-torn country. Following weeks of electoral fraud claims and counterclaims, and the annulment of more than 1 million tainted ballots, Karzai and his main challenger, former Foreign Minister Abdullah Abdullah, headed for a second round. But the runoff was canceled when Abdullah withdrew from the race in protest, clearing the way for Karzai to embark on a second term, albeit under a cloud.

There were concerns both inside and outside Afghanistan that another flawed vote could have further eroded support for Karzai's government as it tries to rally the country against a Taliban insurgency. Many governments had expressed concerns that guarding polling stations in May would have detracted from the military surge involving more than 30,000 U.S. and foreign troops aimed at countering recent Taliban advances. The Independent Election Commission gave no indication on whether its chairman, Azizullah Ludin, whose term expired on January 23, would be reappointed by Karzai. Meanwhile, the Afghan president left Kabul today for a week of travel that will take him to Turkey and Germany ahead of an international conference in London scheduled for January 28. At that event, Afghan officials and international backers are due to discuss plans for bringing elements of the Taliban into the political process.

From http://www.guardian.co.uk/ 01/24/2010

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ARMENIA: Premier Vows to Expose Corrupt Officials

Armenian Prime Minister Tigran Sarkisian has pledged to crack down on wealthy and corrupt state officials in order to strengthen the rule of law, RFE/RL's Armenian Service reports. Sarkisian said in a year-end press conference on December 25 that he stands by his reform agenda that emphasizes tackling tax evasion, improving the country's business environment, and, in particular, breaking up oligopolies that monopolize key sectors of the economy. The de facto monopolies are widely believed to be controlled not only by wealthy businessmen but also high-ranking government and security officials. Local antigraft campaigners say this is the root cause of government corruption in Armenia. "I think we can conclude, together with you, that officials engage in business nowadays," Sarkisian said. He complained that current laws make it all but impossible for officials to expose and punish officials with extensive business interests of dubious origin, and said that's why the government does not "publicize names and prompts us to create and introduce...[legal] mechanisms that would address this problem." Sarkisian added that "we are going to fight against oligopolies rather than oligarchs." The International Monetary Fund and the World Bank also increasingly stress the importance of tackling the oligopolistic structures. Officials from both institutions have warned in recent months that Armenia cannot return to the path of robust growth without combating government corruption and creating a level playing field for all businesses. Sarkisian again defended the government's response to the global economic crisis that has plunged Armenia into its worst recession since the 1990s. The Armenian economy is on track to contract by at least 15 percent this year. But the government has predicted that economic growth will resume in Armenia in 2010.

From http://www.rferl.org/ 12/28/2009

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GEORGIA: Parliament Elects New Election Commission Chairman

In a move that will only fuel the antagonism between the authorities and the embattled and embittered opposition, Georgian President Mikheil Saakashvili has engineered the election as chairman of the Central Election Commission of a professional number-cruncher whom opposition parties suspect of answering to powerful Interior Minister Vano Merabishvili. Zurab Kharatishvili, 42, former head of a firm of auditors and since 2008 a member of the board of trustees of the Georgian Public Broadcaster, received 98 votes, compared with 19 for Constitutional Court judge Otar Sichinava and 36 for outgoing chairman Levan Tarkhnishvili. Tarkhnishvili reportedly withdrew his candidacy prior to the vote on the grounds that he found it impossible to work with opposition party representatives on the commission. Independent parliamentarian Gia Tsagareishvili termed Saakashvili's nomination of Tarkhnishvili for a second term as chairman "a slap in the face for the whole of Georgian society." He went on to brand Sichinava and Kharatishvili clones of Tarkhnishvili. Opposition parties for their part cast doubts on Tarkhnishvili's honesty and objectivity in light of his handling of the disputed pre-term presidential ballot in January 2008 and the parliamentary election in May of that year. In both cases, the vote was judged less than wholly free and fair. Over half the 31 deputies elected from opposition parties chose to surrender their mandates rather than participate in the working of what they termed an illegitimate parliament.

The selection of a new CEC chairman devolved upon the parliament after the opposition parties represented on the CEC failed to agree on any of the three candidates whom Saakashvili proposed. The new chairman required the endorsement of no fewer than four of the six opposition parties represented in parliament. But the Republican, Labor, and Conservative parties rejected all three candidates on January 13; the Christian Democratic Movement, We Ourselves, and the Industrialists rejected Tarkhnishvili, but withheld judgment with regard to Sichinava and Kharatishvili. Eka Siradze, the French-trained election specialist who heads the NGO For Fair Elections, declined to comment on her exclusion from Saakashvili's shortlist of three candidates to head the CEC. She told Caucasus Knot it would be "incorrect and inappropriate" for her to do so, given that she and the organization she heads would have to work with whoever was finally selected to fill that position.

From http://www.rferl.org/ 01/18/2010

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IRAQ: Parliamentary Campaign Raises Fears of Sectarian Strife

(RFE/RL) - The list of nearly 500 candidates barred from running in Iraq's upcoming parliamentary poll has yet to be finalized, but it is already fanning sectarian tensions. Many Sunnis are among those banned last week by an Iraqi electoral committee from participating in the March 7 poll due to their purported ties to the banned Ba'ath Party. Disqualified candidates have the right to appeal and several have already done so ahead of the Committee for Integrity and Accountability's final ruling, expected on January 19. The ban highlights the alienation felt by many Sunnis going into the election, as well as the lingering resentment Shi'ite leaders harbor against those with ties to Saddam Hussein's former regime. That situation has led to fears that the tensions could spark sectarian violence like that seen before the last parliamentary elections, in 2005, which Sunni groups boycotted. Any new outbreaks of violence in Iraq could, in turn, postpone the departure of U.S. troops planned for the end of 2011

There are growing signs that those fears could become reality. In the central province of Najaf today, local officials warned Saddam loyalists to move out within 24 hours or face an "iron fist," according to AFP. The news agency cited a statement in which the officials said: "The Ba'ath gang of Saddam has one day to leave the province or we will use an iron fist against those who have failed to distance themselves from the Ba'ath and Al-Qaeda." Ba'athists have been accused carrying out a deadly triple bomb attack in Najaf Province last week. "The council's next measure will be to purge local government institutions of Ba'athists," the statement said. On January 17, key Hussein ally and cousin Ali Hassan al-Majid, better known as Chemical Ali, was sentenced to death for ordering the gas attacks on the Kurdish town of Halabja. The death sentence, his fourth, was seen by observers as a sign that Iraq's Shi'ite-dominated government is not about to forget the crimes committed by the former Sunni regime.

'Stop Interfering'
The United Nations has asked the Committee for Integrity and Accountability to overturn its decision to ban the nearly 500 candidates from running in the March poll. UN special envoy Ad Melkert met with members of the electoral commission on January 16, but no details of those talks were released. The Committee for Integrity and accountability, however, called on the UN representative to "stop interfering in the affairs of Iraq, a sovereign country governed by laws, which have been voted by the people." The electoral committee, which is tasked with approving candidates and removing unsuitable candidates, announced the ban on January 14. Iraq's chief electoral official Hamdia al-Husseini told RFE/RL's Iraqi Service last week that the candidates were banned in accordance with laws designed to keep Ba'athists from power.

"Today, we received a memo from the Integrity and Accountability Commission," she said. "In accordance with this memo, the electoral commission council decided to exclude 500 candidates in keeping with the accountability and justice [de-Ba'athification] law. The decision was taken and will be published in the press." The Ba'athist Party is outlawed by the constitution, but some Sunnis believe that ban is being used by the majority Shi'ite government to exclude Sunnis from state posts. Among the disqualified candidates are Iraq's current Defense Minister Jassem al-Obeidi, a Sunni member of Shi'ite Prime Minister Nuri al-Maliki's State of Law Coalition, and prominent Sunni lawmaker Saleh al-Mutlak, an outspoken critic of the government who has allied himself with former Prime Minister Ayad Allawi.

From http://www.globalsecurity.org/ 01/18/2010

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Officials Say More Shi'ites than Sunnis Barred from Iraqi Election

More Shi'ite candidates than Sunnis have been barred from Iraq's election because of links to Saddam Hussein's Ba'ath party, politicians said today, potentially defusing a row that threatened to reopen sectarian wounds. A decision by a panel to ban 511 candidates under a law outlawing the Ba'ath party outraged many Sunnis, who dominated Iraq for more than two decades under Saddam, and raised fears the legitimacy of the March 7 election could be undermined. The parliamentary election is a test of Iraq's growing stability as violence starts to fade and U.S. troops prepare to end combat operations in August and withdraw by the end of 2011. Sunni resentment could potentially fuel a lingering insurgency. But two-thirds of the list handed to electoral authorities by the Justice and Accountability Commission was composed of Shi'ites, according to a copy received by Reuters. The list appeared weighted more against secular alliances than Sunnis. "This is just a general massacre of democracy," said Hashim al-Habubi, a member of Interior Minister Jawad al-Bolani's Iraq Unity coalition, which includes prominent Sunni tribal leaders.

"The lists are indiscriminate, not sectarian or secular or Islamist. It's just a message for the Ba'athists that this is not the time to return. Tensions eased after everyone saw these lists," he said. The Ba'ath party is illegal under Iraq's constitution. The panel that drew up the lists of banned candidates replaced a "de-Ba'athification" committee set up by U.S. administrators to purge Saddam loyalists after the 2003 invasion. But two of the panel's most prominent members are also candidates in the election for the Iraqi National Alliance, a coalition dominated by the Supreme Islamic Iraqi Council (ISCI), an openly religious Shi'ite party formed in Iran. That gave rise to suspicions it was being used by factions in Prime Minister Nuri al-Maliki's government to marginalize Sunnis ahead of the vote. Others believe it deliberately targeted secular rivals who had been expected to perform well against the overtly Islamist parties that have dominated Iraq since the invasion. "They used this as part of their electoral campaign. This is not a wise decision," said Maison al-Damiloji, a secular lawmaker from the Iraqiya alliance of former Prime Minister Iyad Allawi, a secular Shi'ite. The list included 30 or so candidates from Maliki's State of Law coalition and around 20 from ISCI's Iraqi National Alliance.The secular coalitions fared worse. Allawi's Iraqi Unity had 72 candidates on the list while Bolani's coalition had 67 of its candidates excluded. Banned candidates can appeal to a special seven-judge panel.

From http://www.rferl.org/ 01/20/2010

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KYRGYZSTAN: Son of Jailed Politician Vows to Challenge Government

WASHINGTON - Ruslan Isakov, the son of jailed former Kyrgyz Defense Minister Ismail Isakov, says he plans to start an opposition campaign against Kyrgyzstan's government, RFE/RL's Kyrgyz Service reports. A former Kyrgyz army officer, Ruslan Isakov has been living in self-imposed exile in the United States since his father's arrest in late 2008. He told RFE/RL his goal is to create a political movement abroad to challenge "the antidemocratic regime of President Kurmanbek Bakiev." Isakov said that under Bakiev's leadership, Kyrgyzstan is coming closer to "a catastrophic downfall" as "journalists are being killed, the population is getting poorer, and opposition leaders are declared 'enemies of the nation.'"

On January 11, Ismail Isakov was found guilty of corruption and sentenced to eight years in jail. He pleaded not guilty to the charges and said the verdict against him was a "political order" made by top Kyrgyz officials. Rights activists say the case against Isakov was politically motivated because the politician broke with Bakiev's government in 2008 and joined the opposition.

From http://www.rferl.org/ 01/18/2010

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Kyrgyz High Court Rejects Bakiev's Presidential Council Idea

BISHKEK - The Kyrgyz Constitutional Court has rejected President Kurmanbek Bakiev's proposal for a still-to-be-created Presidential Council to appoint an interim president in emergencies, RFE/RL's Kyrgyz Service reports. Court Chairwoman Svetlana Sydykova said today that the Presidential Council would not be able to appoint an interim president because it is proposed to be an advisory body whose measures only enter into force after they are signed by the president. The court asked for more information about the Presidential Council. Sydykova said the court approved other amendments to the constitution proposed by Bakiev that will eliminate several government bodies, including the state secretary post and the Security Council.

The Kyrgyz opposition criticized the court ruling. It wants changes to the constitution to be put to a referendum and it believes Bakiev is making changes that would allow a relative or close associate of his to be named interim president. According to Bakiev's proposal - which was made in October as part of a package of reforms - several new government institutions in addition to the Presidential Council will be formed. Bakiev proposed that the Presidential Council - to be made up of the president, his chief of staff, the parliament speaker, prime minister, and the head of the Central Development Agency, currently the president's son, Maksim Bakiev - would have the power to appoint an interim president from among its staff if the president is ill or otherwise unable to perform his duties.

The constitution currently dictates that the parliament speaker and then the prime minister would become interim president in case the president is unable to serve. Opposition Ata Meken party leader Omurbek Tekebaev told RFE/RL that Bakiev's reforms are aimed at "strengthening his personal power" and violate the constitution. The President's Office said the amendments do not violate the law because, according to the constitution, the president can "form, eliminate, and restructure" subordinate state institutions.

From http://www.einnews.com/ 01/21/2010

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KAZAKHSTAN: Convicted Former Official Gets Senior Job

ASTANA - The convicted former head of Kazakhstan's national railway company has been appointed to a senior position with the state-owned oil and gas company KazMunaiGaz, RFE/RL's Kazakh Service reports. Zhaksybek Kulekeev, who was sacked in April 2008 as head of the rail carrier for taking bribes and sentenced on November 13, 2008 to three years in prison on bribery charges, began working today as KazMunaiGaz's managing director of corporate development. His conviction barred him from holding any public post for several years. Kulekeev's lawyer, Salimzhan Musin, told RFE/RL that Kulekeev's new post does not violate the court ruling, since the institute is a joint-stock company and does not fit into the public-service category.

Kazakh opposition member Alikhan Ramazanov told RFE/RL that Kulekeev's loyalty to the government allowed him to gain his new appointment in a public company. Ramazanov said that during the 2008 trial Kulekeev withheld details and names during testimony when he was charged with corruption, and "the government understood that [Kulekeev] will never betray them." Opposition Ak Zhol party leader Alikhan Baymenov told RFE/RL that by appointing Kulekeev to this new job, the Kazakh government is admitting the case against him was phony. Serik Abdrakhmanov, the deputy chairman of the pro-presidential party Nur-Otan, told RFE/RL he believes Kulekeev was the victim of an unfair judicial proceeding. Kulekeev has worked previously for KazMunaiGaz and also served as Kazakhstan's education minister and the economy and trade minister.

From http://www.timesca.com/ 01/18/2010

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Former Head of Kazakh Antidrug Agency Arrested

ASTANA - Former Kazakh antidrug agency head Askar Isagaliev, who was charged with abuse of power while in office, has been arrested in Turkey, RFE/RL's Kazakh Service reports. Kazakh Interior Ministry spokesman Kuanyshbek Jumanov said in Astana today that Isagaliev was arrested on January 9 in the resort town of Antalya. Jumanov said the ministry is discussing with Turkish officials the question of extraditing Isagaliev. Jumanov said the Interior Ministry's investigation committee initiated a criminal case against Isagaliev in October and had issued an international warrant for his arrest. Isagaliev was the head of Kazakhstan's antidrug agency from August 2008 until February 2009.

From http://www.rferl.org/ 01/20/2010

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Kostanay Deputies Established Gender Affairs Committee

A special committee of the regional Maslikhat on implementation of gender and demographic policy was created in Kostanay region for the first time. Earlier, such a committee was created under the Mayor of Kostanay region and now the members of these institutions will hold a joint activity. Chairman of the Business Women's Association of Rudny town Sara Gumirova was elected the Chairman of the Permanent Deputy Committee. According to her the joint activity of both committees will advance the solution of problems of the demographic policy as well as improve state of women and children.

From http://www.inform.kz/ 01/21/2010

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AUSTRALIA: Victorian Public Transport Minister Lynne Kosky Resigns

VICTORIAN Public Transport Minister Lynne Kosky has announced her intention to resign as minister and as a Member of Parliament. Ms Kosky announced her resignation at a press conference at 11am (AEDT) today in Melbourne. She was first elected to the Victorian Parliament in 1996 to represent the people of Altona in Melbourne's rapidly expanding western suburbs where she was raised. She served as a minister in the Bracks Labor government since it was elected to office in late 1999. Ms Kosky held the position of minister for education and training from February 2002 to December 2006, and before that served as the minister for finance and the minister for post compulsory education, training and employment. Ms Kosky said she was resigning due to significant health issues within her family. She said Premier John Brumby he was not completely surprised when she told him the news and told her that family comes first.

When questioned about the troubled Myki ticketing system that was late and over budget, she said there was always work to be done in public transport, but she had overseen new projects and helped reform the public transport system. "I don't have any regrets, I have a fantastic portfolio and was able to achieve an incredible amount along with other people," she said. "The time is right for me because of issues within my family to say goodbye to this part of my public life." Following Labor's victory at the last election in November 2006, Ms Kosky was made minister for the tough portfolio of public transport and also became Arts Minister.

In recent months, Ms Kosky's performance has been under scrutiny as the beleaguered Myki system failed to deliver a new ticketing system for commuters on time. However, the outgoing minister had been handed a dud with Myki, the Public Transport Users Associated president Daniel Bowen said. He said despite the flak aimed at Ms Kosky during her time as transport minister, she did oversee unprecedented investment in Melbourne's rail network. "I expect over the next 12 to 18 months we will start to see a lot of the problems disappear as improved maintenance and infrastructure come on line," Mr Bowen said. "She was handed Myki by (former Transport Minister) Peter Batchelor - she was handed a dud with myki - and she will be remembered for it because she happened to be the one holding on to myki as it came in. "It is an unfortunate time for her to be leaving, because she leaves on a sour note just as we have all these problems and before they get fixed."

Initially due to be in place by 2007 for a cost of $300 million, Myki has blown out to reportedly cost more than $1 billion and its timeline delayed by more than two years. The rollout of the system on Melbourne's train network began in December last year. And both this summer and last there were scenes of mayhem at train stations, when hundreds of train cancellations left thousands of commuters stranded in extreme heat.

Mr Brumby joined the press conference 20 minutes after it started to give support to Ms Kosky whose voice at times was quivering. Putting his arm around her, he said that Ms Kosky had made the right decision to step aside. "I put to her in this position you must always put your family first and not look back in five or 10 years time and say I should have done it at the time and I didn't," Mr Brumby said. "You only get one chance to get it right. "It was the right decision and a decision I support fully." Ms Kosky, who is married with two children, lives in the western suburbs. A biography on a Labor website said her ambition in public life was to leave a positive legacy "to her local community in Altona and the west, to the state and the nation".

From AAP 01/18/2010

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Schools Levy for Kevin Rudd's Laptop Plan

A PUBLIC school is asking parents to pay up to $1460 to lease computers provided under Kevin Rudd's digital schools plan, while another is urging parents to buy the Apple Mac laptops their child has used for $1200. After Labor promised to provide access to a computer for every child from Year 9 to Year 12 at the last election, it has emerged that a public school in South Australia, Seaford 6-12 School, is charging a $365-a-year fee to allow students to take the taxpayer-funded computers home. Another South Australian school, Willunga High School, is urging parents to spend $1200 upfront to lease Apple Mac computers. Parents are being told that, although the offer is "absolutely voluntary", being able to use computers is "as important in today's society as being able to read and write".

Willunga principal Janelle Reimann said in a letter to school parents: "It is not compulsory that parents take up any of the offers, but we believe that students will benefit if they own their own computer." The revelations come as unions launch a campaign for the Rudd government to deliver better funding to public schools. A study commissioned by the Australian Education Union has found non-government schools will receive $47 billion from the commonwealth in the five years to 2012, compared with public schools receiving $35bn. Seaford principal Mary Asikas explained her school's decision to charge for out-of-hours use of computers in a letter to parents. While students could use the taxpayer-funded computers at school for free, she said, "Following payment of a yearly levy of $365, the student may take the MacBook home to use after hours, on the weekends and during the holidays".

The annual fee would continue from Year 9 to Year 12, with parents charged $1460 over four years for their children taking the computers home. Federal Education Minister Julia Gillard said yesterday schools were free to make arrangements for the home use of computers. "The Rudd government is investing more than $2 billion to make sure all senior secondary students can access a computer at school without their parents having to put their hand in their pocket," Ms Gillard said. "Individual schools can obviously make arrangements to assist parents with the provision of computers at home. The Rudd government's education tax refund is available to help parents with education costs like the purchase of a home computer for their child."

Opposition education spokesman Chris Pyne, whose electorate is in South Australia, said it appeared state schools were trying to skim a profit from the scheme. "Public school students in NSW are able to take their laptops home without any additional cost," Mr Pyne said. "It seems the SA government is selling computers on to parents or encouraging parents to purchase the laptop from a reseller in an attempt to meet the federal government's targets." Research by University of Sydney associate professor Jim McMorrow has found that public schools, despite educating two-thirds of the nation's children, will receive 25 per cent less taxpayer funding than non-government schools over the five years to 2012.

Net public school funding will fall to 36 per cent of total federal schools funding at the end of the current funding period in December 2012, whereas it totalled 43 per cent under the Keating government. Public schools receive the bulk of their funding from state governments. The Australian Education Union, which commissioned Associate Professor McMorrow's report, will use the findings to pressure Ms Gillard to scrap the current funding model in her review of education funding, which will start this year. AEU federal president Angelo Gavrielatos said: "This system is so flawed that private schools are given huge increases every year regardless of their wealth or income, while public schools are being denied the chance to expand education opportunities." Ms Gillard said that as state governments provided most of the funding for government schools, making any direct comparison with commonwealth funding for non-government schools was disingenuous. "As promised, an open and transparent review of school funding will occur in the lead-up to 2013, when the next four-year funding deal is due to commence," she said.

From http://www.theaustralian.com.au/ 01/18/2010

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COOK ISLANDS: Parties Seek Political Shakeup

The Cook Islands' two main political parties have petitioned the Queen's representative to recall Parliament so a no-confidence motion can be made against Prime Minister Jim Marurai. The move follows the sacking of Deputy Prime Minister, Sir Terepai Moate, just before Christmas and the resignation of three other ministers. In a statement, the Presidents of the Democratic Party and the Cook Islands Party said 19 of the country's 24 MPs have signed a letter to the Speaker, petitioning the Queen's representative to call an urgent sitting of Parliament. The statement describes the five-member cabinet as as unconstitutional and illegitimate. It says the 19 MPs want to put a caretaker in place in the lead-up to new elections.

From http://www.radioaustralianews.net.au/ 01/11/2010

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FIJI: Corruption Commission Denies Role in Judge Sackings

The Fiji Independent Commission against Corruption says it had nothing to do with the recent sacking of three magistrates. The President of the Fiji law Society, Dorsami Naidu, says the sackings undermine the rule of law and judicial independence. One of the sacked magistrates, Mary Muir, had criticised the commission during a court hearing dealing with the prosecution of a prominent critic of Fiji's military government. Ms Muir was sacked two days after making those comments - but the Fiji Independent Commission against Corruption's (FICAC) Public Affairs Officer Erica Lee told Radio Australia's Pacific Beat program the commission had nothing to do with it. "FICAC is no way linked to the sacking of the magistrate," she said. "As for the comments that were made by the magistrate in court as stated by a few individuals...her comments were actually prejudged, she did this not fully understanding the facts of the matter."

From http://www.radioaustralianews.net.au/ 01/12/2010

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Fiji Threats No Reason to Drop Diplomatic Efforts: NZ

New Zealand's Foreign Minister says efforts by Fiji's military leader to stamp out criticism of his administration are no reason to drop efforts to boost diplomatic ties between the two countries. Last week Commodore Frank Bainimarama threatened to suspend pensions for retired public servants who criticized the administration and he banned the influential Methodist church from holding its annual conference until 2014, the same year he's promised to hold elections. It comes after New Zealand and Fiji agreed to each post an extra counselor to their high commissions. New Zealand's Foreign Minister Murray McCully says while the latest threats to stamp out dissent went against democracy and the rule of law, they weren't a reason not to try and improve diplomatic relations.

From http://www.radioaustralianews.net.au/ 01/18/2010

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NEW ZEALAND: PM Rules Out $15 an Hour Minimum Wage This Year

Prime Minister John Key has ruled out a minimum wage increase to $15 this year despite 61 percent of New Zealanders supporting the hike in a recent survey. The New Zealand Herald surveyed 2300 people on the issue: 3.5 percent of respondents said the minimum should be lower than the current $12.50 an hour, 30.5 percent thought it should remain unchanged, 61 percent thought it should go up and 5 percent did not have an opinion. About 100,000 workers receive the minimum wage, which is reviewed every year and Cabinet is expected to make a decision shortly whether to increase it. Mr Key said the issue was not on tomorrow's Cabinet agenda but would be discussed "fairly soon".

"The Government has always tried to be fair. We recognise there are about 100,000 people who earn the minimum wage, I think it's important they are able to make ends meet as best possible, but also there's got to be a recognition that where there are increases in wages that they have to be paid for - we don't want to be threatening people's jobs so there's a balancing act here and that's what the Cabinet will consider," he told Newstalk ZB. "It won't be $15 in this particular round, that would be an increase of $2.50. . . and that would just be too significant a hike." In the midst of a recession last year businesses lobbied against an increase. Employers and Manufacturers' Association (Northern) chief executive Alasdair Thompson suggested to the Herald an increase of between 25c and 50c an hour.

Unite union is currently campaigning to get an immediate rise of the minimum wage to $15 with plans to collect over 300,000 signatures before May 7 on a referendum. Campaign organiser Joe Carolan said if a fraction of the 61 per cent of people who support the hike signed the petition, Unite was confident it would achieve its goal. "Kiwi workers are struggling to make ends meet on less than $15 per hour, and the concept of a living wage for those who are working hard 40 hours a week is an idea whose time has come." "But these people are on the bottom of the food chain and should be supported to get an increment." The Maori, Green and Labour parties all support the $15 level. Labour MP Trevor Mallard said a rise to $13.75 this year would pave the way for the $15 goal next year. He was concerned the Government may opt for a nil increase. Mr Mallard said he was pleased to see public support for the increase to $15.

"It is heartening to see that most New Zealanders recognise the struggles faced by those on the minimum wage and support a better standard of living for them," he said in a statement. "After all, it has been telling us for some time now that the recession is over, it wants to lift productivity and wants to close the wage gap with Australia. Raising the minimum wage to $15 an hour, either in one step if it is prepared to be bold, or over two years, would show it is serious about wanting to close the wage gap as well as sending a strong signal that it wants all New Zealanders, not just those at the top, to share in the fruits of the economic recovery."

From http://www.stuff.co.nz/ 01/18/2010

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NEW ZEALAND: Tax Reform Set to Be Radical but 'Fairer'

Property investors face higher taxes and company taxes could fall as the Government considers radical options for reform. A tax working group, led by Victoria University professor Bob Buckle, will today issue its 70-page report outlining options for change. They include aligning the top personal, trust and business rate at 30 per cent, cutting the company rate below 30 per cent to remain competitive with Australia, introducing a broad-based land tax and a possible increase to GST. Prime Minister John Key said yesterday the Government was looking at ways to reward effort, encourage savings and help families get ahead. Mr Buckle said the group would set out a fairer tax system that minimised the costs of collecting taxes and reduced impediments to productivity and growth. The Government has left all options open except a capital gains tax on the family home.

But it has said the changes must be roughly cost neutral, meaning cuts in one area would need to be funded by extra income in others. The Government was forced to drop plans for personal tax cuts last year after the global crisis plunged its books into the red. Mr Key again refused yesterday to rule out an increase in GST, but signalled a move was likely on the tax paid by property investors as the Government looks to boost the incentives to invest in productive areas of the economy. Under current rules, investors can offset losses on rental properties against other income. About $200 billion is invested in the sector, but last year it cost the Government half a billion dollars in tax credits. Mr Key said he was keen to close loopholes and redistribute that money through lower personal taxes. But it was "the $64,000 question" as to how bold the Government would be. Its response would be outlined in the May Budget. Not all of the working group's recommendations would be accepted.

Options for taxing investment property, considered by the group, included an assumed return of 6 per cent on the value of all investment properties, which would raise a net $850 million a year; investment properties ring-fenced, so losses could not be offset against income elsewhere, and scrapping the depreciation allowance on buildings. The Australian Government's response to a parallel tax review is expected to be made public in March, and is likely to include cuts to the company tax rate. Stock Exchange chief executive Mark Weldon has warned New Zealand must be ready to lower its corporate tax rate below 30 per cent or risk a big flight of capital to Australia. But Mr Key said a decision on tax reform could be made in New Zealand without waiting to see what happened across the Tasman. Though the "headline rate" was important, businesses in Australia also faced other taxes.

From The Dominion Post 01/20/2010

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PAPAU NEW GUINEA: Organized Crime Concerns

Police in Papua New Guinea are worried about alleged Chinese triad operatives in PNG following the attempted murder of a Malaysian businessman. Assistant Police Commissioner Awan Sete says two Chinese gun men allegedly shot and wounded businessman Jason Tan on the weekend. He says Chinese triad methods were believed to have been used in the attempted murder. Two Chinese nationals from the Fujian province have been arrested and charged and police have also confiscated two firearms and a large quantity of live ammunitions. They say the owner of the one of the firearms is known to them and will be questioned. The latest incident comes after the attempted murder of PNG's Chief Ombudsman Chronox Manek by unknown gunmen in December last year.

From http://www.radioaustralianews.net.au/ 01/04/2010

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SOLOMON ISLANDS: Politicians Launch 'OUR' Party

Eight Opposition and Independent MPs in Solomon Islands have created a new political party ahead of this year's national elections. The Ownership, Unity and Responsibility - or "OUR" Party - was registered in December and had its official launch in Honiara at the weekend. Its interim president is the country's former Prime Minister - and now leader of the opposition, Manasseh Sogavare. Former foreign minister Patterson Oti, who is the new party's interim general secretary, has told Radio Australia's Pacific Beat program the party needs to strengthen trust both between government and voters, and with the business and industry sectors. "Service delivery has not been up to the expectation, I guess," he said. "From the general populace, a lot of the emphasis that has been placed on rural development has not been matched with the technical support that is given to rural development.

"In ethical leadership we would like to look at - and I think our leader, the interim president, mentioned the issue - of tackling corruption as one of the causes of both holding up and diversion of resources from where it should be." The special secretary to Prime Minister Derek Sikua, John Keniapisia, admits public trust in the government has suffered, but says some of the damage was done when Manasseh Sogavare was running the country. "What is coming heavily on the minds of the people is economic development, because they have not been able to actively participate in economic activities and that is because of a relevant and conducive environment not being created by the government," he said. "So when you talk about trust in the government, it's really because people are not seeing the benefits coming out from the government right to where the people live, and that is in the rural areas."

From http://www.radioaustralianews.net.au/ 01/20/2010

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East Asia Needs Breakthroughs in Cooperation

The marketing and information technology revolutions that have mushroomed over the past 20 years have sped up the flow of worldwide manpower and wealth as well as the globalization of economic activities. The accelerated integration, development and reforms that countries have undergone have boosted the world's total gross domestic product (GDP) from $20 trillion in 1989 to last year's $60 trillion. Following the historic fall of the Berlin Wall was the reunification of East and West Germany in Europe. The series of events that ensued, from the establishment of the European Union in 1993, to the creation of the euro, a unified regional currency in 1999, and the bloc's eastward expansion in 2004, signaled that a new type of political and economic entity has taken shape.

In the US, lax regulation of its capital market and the adoption of a strong dollar policy have resulted in a ceaseless inflow of speculative capital from abroad, which, together with a flood of financial products and high-flying speculative crazes, have turned Wall Street into a sheer haven of gamblers. The omnipresent games with capital have also contributed to the explosive development of the IT industry in the US. Blossoming IT technology, new concepts and new commercial models were used as an important tool to snatch more wealth. However, the world had to pay the bill for speculation in Silicon Valley as the IT bubble burst in the US in 2000. The increasingly fierce speculation in Wall Street finally triggered the outbreak of the worst global financial crisis in decades.

Radical changes in the world's political landscape have offered rare opportunities for China to push ahead its historical reform and opening-up initiative. With two decades of booming development, the country's GDP has expanded 11-fold and China is the world's top country contributing to global economic growth. The US abandoning its Japan policy from containment to support during the Cold War period resulted in decades-long high-paced economic development in Japan and its No 1 economic status in Asia. However, Tokyo's failure to follow the trend of globalization and make innovative reforms in a timely manner after the end of the Cold War has hampered the country's further development. In the past two decades, Japan's GDP has only maintained a 1.4 percent growth rate, much lower than the world's average of 5.8 percent. Its GDP share in the world's total has also drastically declined from 15 percent in 1989 to 8 percent in 2007. Frequent spats in Japan's political arena and frequent leadership transitions have also resulted in its failure to work out a national plan to adapt to globalization.

Public eagerness for bolder reforms amid the global crisis contributed to the election of the first black president in the US and the first power transition in a real sense in Japan. However, Wall Street, the epicenter of the global financial crisis, has failed to push forward some fundamental reforms following the outbreak of the crisis, as reflected by some Wall Street financial bodies receiving government subsidies on the one hand and distributing bonuses to management on the other. The US government's failure to reform the rules of the game and put in place effective financial supervisory mechanisms make possible a new round of financial storms. Under the double impact of a shrinking US market and the appreciation of the yen, the staggering Japanese economy has been in a difficult predicament, as reflected by salary cuts and the bankruptcy of a growing number of enterprises. At the Beijing-Tokyo Forum held in Dalian, China in early November, Japanese financial elites still believed that the US dollar would be the world's currency of payment in the future, although they thought new financial storms will occur and the dollar would continue to devalue. Such a belief has hampered their pursuit of a regional financial system in East Asia.

At the forum, participants from both countries had heated debates about the concept of the East Asia community, an idea advocated by Japanese Prime Minister Yukio Hatoyama not long ago. However, Hatoyama neither made substantive clarifications about the community nor put forward a concrete timetable for its construction. According to International Monetary Fund estimates, the GDP of East Asia, including ASEAN, China, Japan and the ROK, is expected to exceed that of the euro-zone countries next year and match that of the US in 2014. Thus, the establishment of a cohesive community in the region will serve the interests of all regional members. To this end, East Asia should first set up a free trade agreement within the region and try to dismantle barriers that hamper the free movement of talent and wealth between members. Viable measures should be taken to strengthen coordination among members on economic and monetary policies for the final construction of an EU-like bloc. (The author is a professor with Tokyo Keizai University)

From China Daily 12/28/2009

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Clean-Energy Investment in Asia Exceeds Americas for First Year

(Bloomberg) - Clean-energy investment in Asia rose during the global recession in 2009, surpassing the Americas for the first time as China installed wind turbines and solar panels to replace coal-burning power plants. Energy systems using the sun, wind and biofuels in the Asia-Pacific region attracted $37.3 billion, up 25 percent from 2008, data from Bloomberg New Energy Finance show. Spending fell by the same rate in North and South America to $32 billion. "China's big appetite for green energy to swiftly reduce its heavy dependence on coal was a major driving force," said Hidetoshi Shioda, a senior energy analyst at Mizuho Securities Co. in Tokyo. "Looking ahead, China's appetite for alternative- energy investment will probably remain strong this year."

Hampered by the worst economic slump since the Great Depression, European and U.S. investment fell as banks held back financing for the biggest projects. That direction needs to be reversed to lower oil use and limit greenhouse-gas discharges, according to the International Energy Agency, the energy-policy adviser to developed nations including the U.S. and Britain. The Paris-based IEA forecast in November an average $1.1 trillion in spending, or 1.4 percent of global economic output, is needed annually through 2030 to meet projected energy demand. On top that, $430 billion must be spent on infrastructure, power plants and biofuels to limit greenhouse gases, the IEA said. Economic growth and less exposure to subprime-related financial products compared with Europe and the U.S. helped several Asian nations increase investment, Shioda said. Overall global clean-energy investment dropped 6.5 percent to $145 billion from a record $155 billion in 2008, the data show.

Stimulus Spending
China's $586 billion stimulus program and record bank lending boosted industrial output and energy demand. China may report 8.5 percent economic growth for 2009, a senior official said this week. Chinese asset-finance investment in wind turbines rose 27 percent to $21.8 billion and in solar almost doubled to $1.9 billion, according to Bloomberg New Energy Finance. The biggest producer of greenhouse gases from burning fossil fuels hosted the largest renewable-energy initial public offering last year as China Longyuan Power Group Corp. raised more than $2 billion. The most populous nation has enough wind-energy potential to generate seven times its current power consumption, according to a study by Michael McElroy, a researcher at Harvard University, published in the journal Science in September. Though much of that will be difficult to harness, developing all the capacity to meet rising demand would cost about $900 billion, he wrote at the time.

"The Chinese government is genuinely concerned about air pollution in its cities," said Barbara Hon, energy analyst at Everbright Securities Co. in Hong Kong, who expects a 20 percent increase in China's wind-generating capacity this year. The third-largest economy was also the third-biggest producer of electricity from wind in 2009. The country's windpower capacity was about 20,000 megawatts in 2009 compared with 764 megawatts in 2004, said Shi Lishan, deputy director of new energy at the National Energy Administration.

From http://www.bloomberg.com/ 01/08/2010

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Asia Pacific Internet-Builders to Gather at KL Summit

KUALA LUMPUR: A technical summit on the Internet and operational technologies will take place here next month. This 10-day forum targets Internet builders, including backbone and regional network operators and engineers. It will feature training activities, workshops, conferences, social events, plenaries and more. The Asia Pacific Regional Internet Conference on Operational Technologies (Apricot) 2010 is hosted by the Association of the Computer and Multimedia Industry of Malaysia (Pikom). It is scheduled to run from Feb 23 to March 5 at the Kuala Lumpur Convention Centre, and is expected to draw about 600 participants from 40 countries. Among the many topics to be discussed are security issues, network management, and Voice-Over-Internet Protocol which is technology that enables phone calls via the Web. Pikom president C.J. Ang said Apricot's objective is to provide a forum for Internet service providers, telcos and other key players in the information and communications technology (ICT) industry to learn from their peers in the Internet building community.

"With the proliferation of broadband services and close to 50% Internet penetration in this country, Apricot's agenda will help enhance the knowledge of our ICT professionals," he said. Ang said the conference would also benefit professionals in the Asia Pacific, where Internet services, regional networks, web-hosting facilities, firewalls and corporate intranets are being created and deployed at a staggering pace. "ICT engineers are under tremendous pressure to master the skills needed to build and operate these increasingly complex systems," he said. Apricot is organized by the Asia & Pacific Internet Association (APIA), which is a non-profit trade association whose aim is to promote the common business interests of the Internet-related service industry in the Asia Pacific region. APIA was established in 1997.The event here is is supported by the Science, Technology and Innovation Ministry, Information, Communications and Culture Ministry, and the Multimedia Development Corporation, guardian of the MSC Malaysia initiative.

From http://star-techcentral.com/ 01/14/2010

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ASEAN to Develop All Links

VietNamNet Bridge - ASEAN member nations will focus on increasing the bloc's internal connectivity and deepening its linkages with external partners, concluded the ASEAN Foreign Ministers' Retreat yesterday, January 14. Held in the central city of Da Nang, ministers stressed the need to prioritise connectivity on a wide range of issues including infrastructure, telecommunications, information technology, migration and trade. Connectivity has been promoted as a way to help ASEAN nations cope better with global challenges like natural disasters, climate change and economic recovery. "These are also central issues for ASEAN moves over the next five years as the bloc pursues the goal of community building," said Deputy Prime Minister and Foreign Minister Pham Gia Khiem.

Measures were also agreed on to formulate concrete projects and mobilise resources to narrow development gaps in the lead-up to ASEAN integration. Ministers endorsed the ASEAN Protocol on Dispute Settlement Mechanism in principle and urged the ASEAN Inter-governmental Commission on Human Rights to develop a five-year plan. They affirmed that co-operation in responding to climate change remained a key priority of the bloc. To expand the bloc's external relations, preparations were made for upcoming summits with the US, China, Russia, Japan, South Korea and India. It was also agreed that ASEAN's representation at the G-20 Summit would be promoted.

ASEAN accreditation was granted to Germany, Slovakia, Hungary, Switzerland, Pakistan and Morocco during the meeting. In parallel with the Foreign Ministers' Retreat, the ASEAN Political Security Community Council Meeting was also held yesterday in Da Nang. Representatives agreed to improve information sharing and co-ordination among the council's sectoral members and tasked officials to effectively implement the Declaration on the Conduct of Parties in the East Sea. The meeting was briefed by Viet Nam which presented its plan to hold the first ASEAN Defence Ministers' Meeting with ASEAN's external partners. The representative from Viet Nam also proposed the establishment of a forum where ASEAN chiefs of public security could meet.

Ministers tasked ASEAN senior officials to finalise guidelines for accession and amend the Treaty of Amity and Co-operation in Southeast Asia to facilitate the European Union accession to the treaty. Officials were also urged to continue efforts to negotiate with nuclear-power states on their possible accession to the Southeast Asian Nuclear-Weapon-Free Zone Treaty. Khiem said he believed the meetings yesterday set an important precedence for ASEAN co-operation during 2010. "The country will make its best effort to closely co-operate with other ASEAN nations to successfully implement the goals set for the year."

From http://english.vietnamnet.vn/ 01/15/2010

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Lessons to Learn from Emerging Market Success

Emerging market equities returned 75 per cent in dollars in 2009, outperforming developed market equities by around 50 per cent. Over the past decade they have returned more than 100 per cent in dollars with dividends reinvested, versus negative returns for developed market equities. At Morgan Stanley, we estimate that emerging market economies will grow their gross domestic product by 6.5 per cent in 2010 against just 2 per cent for the advanced economies. But that is not the reason why we expect further outperformance of emerging equity markets. In a recent Insight column in the Financial Times ("Busting the myth of Brics"), Peter Tasker argued that strong GDP growth in emerging markets was not a reason to invest in their stock markets. He cited academic work showing the lack of positive correlation between GDP growth and stock market returns. Long term bulls of emerging stock markets are also aware of this work. Rather, we have focused on the ability of companies in emerging markets to outperform their developed peers, selling both globally and into local markets.

Currently, the trailing return on equity (ROE) for the MSCI EM benchmark is 12 per cent versus 7 per cent for the developed markets MSCI World benchmark. On our estimates, 2010 is likely to be the 10th year in a row when the ROE of emerging market companies is superior to developed market firms. In fact, ROE in emerging markets has already troughed well above the prior cycle low, while developed markets may now be troughing at a level which is well below. For this track record one is asked to pay a 2.1 times price to book multiple and a trailing price/earnings (p/e) multiple of 18 times which is a 35 per cent discount to developed markets. The forward p/e multiple on consensus earnings is 14 times. These valuations are hardly in bubble territory and well below prior peaks in 2007, 1999 and 1993.

Our analysis of data for 650 non-financial companies in emerging markets shows that the main driver of superior return on equity is operating efficiency. Corporate leverage has remained low after the deleveraging of the 1997/98 cycle. This is important because, in true bubbles, like Japan in the late 1980s, not only were equity valuations far higher than in EM today, but higher levels of corporate leverage flattered ROE in the upswing. They also reinforced the economic and stock market downswing once the bubble burst. A further resort of the bears is the argument that the economic growth of China, the largest index constituent in MSCI EM, is characterised by over-investment and under-consumption. Official data indicates that Chinese households consumed just 36 per cent of GDP in 2008, whilst gross fixed capital formation amounted to 47 per cent of GDP. Our analysis suggests that Chinese household consumption spending, properly counted, is probably much larger both in absolute terms and as a share of GDP (perhaps $2,800bn or 50 per cent of 2008 GDP).

A key area of understatement of both consumption and GDP is in relation to the income generation of those working in the services sector, especially in small companies. Its counterpart is under-estimation of services spending by households. China's official statistics currently suggest that while the dollar value of Chinese household consumption of tradeable goods amounts to 38 per cent of the US total, consumption of services amounts to just 6 per cent of the US total. The ratio of consumption of housing services is lower still at just 3 per cent of the US total. Hence, in per capita terms, the data indicates that the average Chinese person consumes $38 per annum of housing services versus over $5,000 per capita in the US ($500 per capita in Brazil). It is most unlikely that this reflects reality on the ground, in particular, given the transition to private rental markets and owner occupancy since the late 1990s housing reforms. China's statisticians also continue to struggle to account for the burgeoning development of consumer services in areas such as financial services and insurance, communications, private medical provision and recreation.

Consumption clearly played a key role in China's rapid exit from recession in 2009. China ended 2009 as the world's largest market (in unit terms) in cars and mobile phone handsets and seems likely to overtake the US as the largest flat screen television market in 2010. There was also a far more rapid take up of property market inventory than most analysts expected, given the ratio of prices to official household income data. There is every reason to believe the secular bull market in emerging market equities is more robust than the sceptics suggest. The burden of proof is on developed market companies to deliver the structural improvement in return on equity achieved by their EM peers after the crisis of 1997/98. (Jonathan Garner is a Managing Director and Chief Asian and Emerging Market Strategist at Morgan Stanley)

From http://www.ft.com/ 01/20/2010

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Academic Calls for Asia Pacific Emergency Plan

A Charles Darwin University researcher says the Federal Government needs to have designated resources to quickly respond to natural emergencies in the Asia Pacific. Dan Baschiera says Australia would be facing a huge influx of refugees if a crisis similar to the Haiti earthquake happened in Asia. He says an aircraft carrier should be re-fitted specifically to respond to humanitarian disasters in the Asia region. "We have the capacity to lift it and move it straight away and to get it into the country of crisis immediately," he said. "We've got some massive populations to the north of us and a catastrophe similar to what's happened in Port-au-Prince could have dire consequences just in our immediate neighborhood."

Mr Baschiera says Australia would not cope with the influx of refugees. "What I'm talking about is pro-actively and strategically manoeuvring in preparation for the catastrophic environmental crises that are going to be coming," he said. "What do we do when we suddenly have 4,000 refugee boats off the coast? And that is only a conservative figure."

From http://au.news.yahoo.com/ 01/23/2010

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CHINA: First Environmental Industry Fund Established

China's first fund for environmental industry was launched Monday in Beijing, aiming to promote investment in the country's environment-related sectors. The Environment Industry Fund, run by China General Technology Investment Fund Management Corp., is expected to raise 2 billion yuan (292.8 million U.S. dollars) in the first stage. The company will also set up a parallel 300-million-U.S. dollar overseas fund. The money-raising will be finished by the second quarter in 2010 and the money will be invested in water industry, solid waste disposal, renewable energy, energy conservation and emission cuts sectors, said Liu Debing, chairman of the company.

The project came after the Chinese government announced to reduce carbon dioxide emission per unit of gross domestic product by 40 percent to 45 percent by 2020 compared with the level of 2005. Li Dang, general manager of China General Technology Group (Genertec), major stakeholder of the fund management company, said that the investment conformed to adjustment in China's industrial investment policy and is expected to reap good returns. Chinese Premier Wen Jiabao told Xinhua in an exclusive interview Sunday that the government would gear more investment to energy conservation and emission cuts sectors in 2010. The China General Technology Investment Fund Management Corp. was founded jointly Monday by Genertec and investment agencies with a registered capital of 50 million yuan.

From http://www.chinaview.cn/ 12/28/2009

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China to Enhance Financial Support to Foreign-funded Businesses

The Chinese government said on Wednesday financial institutions would be encouraged to step up credit support to foreign-funded businesses as they have become an important part of the world's third largest economy. Foreign-funded companies should have more access to financing and would be encouraged to take part in the mergers, acquisitions and reshuffling of Chinese enterprises, according to a statement issued after an executive meeting of the State Council, or the Cabinet, chaired by Premier Wen Jiabao. The government would do its utmost to simplify the approval procedures and strengthen administrative transparency, said the statement. As the global economy is gradually recovering, foreign direct investment (FDI) in China rose for the fourth consecutive month in November after months of declines. The statement said the government also encouraged overseas investors to become involved in new energy development, environmental protection, high-tech and modern service industries, as well as the advanced manufacturing sector.

Policy and funding support will also be given to overseas investment in under-developed western and central region. The government approved the establishment of 20,600 overseas-funded enterprises in the first 11 months this year, down17.44 percent from the same period a year ago. Some 53 percent of the total FDI went to the manufacturing sector, a spokesman of the Ministry of Commerce Yao Jian said on Dec. 16. The statement also urged relevant government bodies and local governments to continue their efforts to bring the vulnerable-to-flooding Huaihe River under control. It called for the practice of a strict water resource management system to guarantee safe drinking water for the people and vowed to provide Chinese rural residents with access to safe drinking water by 2013. The meeting passed a draft decision to amend the rules for the implementation of China's patent law. The draft will be announced later by the State Council after further amendment.

From http://www.chinaview.cn/ 12/31/2009

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China to Recruit Farmers and Workers as Civil Servants

China will substantially improve its civil servant system by opening up its recruitment pool to candidates from farmers and workers nationwide, according to a latest National Work Conference on Administration of Civil Servants held by the Ministry of Human Resources and Social Security on Jan. 5th, 2010. China recruited more than 120,000 civil servants in 2009, among which 60 percent recruited by provincial government offices have had grassroots work experience, and 70 percent recruited by central government departments have got work background at grassroot levels, the China Youth Daily reports.

Yin Weimin, Minister of human resources and social security, announced at the conference that to further improve its civil service selection mechanism, China will explore a new policy for recruiting excellent workers and farmers. It will recruit more talent from rural areas and local communities. In a cutthroat job market, civil servant positions have become one of the most desired in the country for their stability, good welfare benefits and high social status, making the exam extremely competitive. Last November, more than 1 million people sat the state-level civil servants exam to compete for 15,000 government jobs opening up for 2010. At least 50 percent of the positions in central government departments and their provincial-level affiliated organizations were for university grads who have worked at the grassroots level for more than two years.

From CRI 01/06/2010

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Innovation Zone to Be Set Up in Central China

Donghu New Technology Development Zone in central China's Hubei Province will be developed into a national innovation demonstration zone, local officials announced Wednesday. The goal is to trial policies aimed at preventing talent loss in state-owned enterprises and financing difficulties, said Wang Jianqun, vice president of the zone's Strategic Research Institute. The State Council approved Donghu Development Zone in Wuhan, capital of Hubei, last month as the second national innovation demonstration zone after Zhongguancun Science Park in Beijing, said Wang. Donghu Development Zone, covering 80 square kilometers, has attracted 748 million U.S. dollars of foreign investment and 15.63billion yuan (2.29 billion U.S. dollars) of domestic investment since it opened in 1988. Despite the budding success of many companies in Donghu Development Zone, others were crippled by a lack of funding, said Qin Zunwen, of Hubei Provincial Academy of Social Sciences. "We will try to get the approval of the China Securities Regulatory Commission to set up a system in which unlisted companies can transfer shares," said Wang Jianqun. "We will also encourage commercial banks to open branches in Wuhan," Wang said.

From http://www.chinaview.cn/ 01/06/2010

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China to Open First Three Pilot Consumer Financing Firms

China's banking regulator Wednesday approved the establishment of the country's first three consumer financing companies, which are scheduled to be started in Shanghai, Beijing and Chengdu, according to the financial services authority in Shanghai Wednesday. The Bank of China, Bank of Beijing, and Bank of Chengdu are the promoters of the three pilot consumer financing companies, which are expected to offer personal loans to finance purchases of durables without taking deposits, said sources from the financial service authority of Pudong New Area, Shanghai. China Banking Regulatory Commission (CBRC) issued in May, 2009, a draft rule on the establishment of consumer financing firms, in an attempt to further spur the country's domestic consumption.

From Xinhua News Agency 01/07/2010

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China Names Another 20 Innovation Bases to Boost Foreign Trade

China's government Tuesday designated another 20 industrial bases as export-oriented innovation bases to boost exports of technology products and improve global competitiveness. Jointly authorized by the Ministry of Commerce (MOC) and the Ministry of Science and Technology (MOST), the innovation bases will receive help from the ministries in research and development funding, personnel training and business information, an official with the MOC told Xinhua. The new bases bring to 58 the number designated since 2006 as part of an effort to boost foreign trade through technology and innovation. The bases, mostly hi-tech development zones and industrial parks, have covered emerging industries like information technology, biopharmaceuticals, equipment manufacturing, new materials, new energy resources and optical-mechatronics engineering. Customs statistics show exports of mechanical and electrical products last month soared 26.9 percent year on year to 78.05 billion U.S. dollars. Exports of those products last year amounted to 713.1 billion U.S. dollars, accounting for 59.3 percent of the nation's total foreign trade volume.

From http://www.chinaview.cn/ 01/12/2010

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JAPAN: Govt Targets at Least 20% Renewable Energy by 2020

The government aims to have solar power and other forms of renewable energy account for at least 20 percent of the nation's total energy generation by 2020, Environment Minister Sakihito Ozawa said. During an interview with The Yomiuri Shimbun on Saturday, Ozawa said the government would specify this goal in a basic bill on measures to tackle global warming that is scheduled to be submitted to the ordinary Diet session next year. This ambitious target is aimed at promoting the new energy industry, he said. The 20 percent target is twice as high as the one touted in the Democratic Party of Japan's campaign manifesto for the House of Representatives election. "I'm having my ministry work toward setting a target of at least 20 percent for the proportion of renewable energy [in domestic power generation]," Ozawa said. Renewable energies include solar power, hydropower, wind power and biomass.

According to the government's white paper on energy, renewable energy accounted for about 1.8 percent of total power generation in 2006, compared with 3.7 percent in the United States and 5.3 percent in Germany. In its manifesto, the DPJ said the generation of renewable energy should be raised to about 10 percent by 2020. "Businesses related to renewable energy are growing in the world...The industry has great potential," said Ozawa, suggesting that setting an ambitious target would help foster the sector. "It's very important for the government to support the promotion of renewable energy and improve the system for purchasing electricity generated through such sources," he added. The government has devised a target of reducing greenhouse gas emissions by 25 percent from 1990 levels by 2020, and this target is likely to become a major pillar of the basic bill. The use of renewable energy is one measure to cut greenhouse gas emissions, but setting a target of at least 20 percent of total power generation may draw opposition from the business sector as well as members of the DPJ.

From http://www.yomiuri.co.jp/ 12/28/2009

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Japan's Fake Economic Reforms

Just before the recently elected Japanese government released its new 10-year growth strategy, two top policymakers locked horns in a sterile economic debate. Heizo Takenaka, economic advisor to former Prime Minister Junichiro Koizumi, said the chief priority should be business-oriented supply-side measures to generate new wealth. Naoto Kan, the new deputy prime minister and finance minister, stressed the need to boost demand and help consumers. Arguing that the Koizumi cohort had failed, Kan said that companies would neither hire new workers nor boost capacity if they couldn't sell their output. In the end, Prime Minister Yukio Hatoyama took Kan's approach, saying, "[The past government] was biased toward the supply side, and we intend firmly to generate demand."

His government set goals of 2 percent GDP growth per year for the next decade and the creation of 4.76 million new jobs in fields like elderly care, health, the environment, tourism, and exports. The problem is that his "growth strategy" includes neither growth nor strategy. It lists targets but offers no means to achieve them. Moreover, the goals themselves are off base. Hatoyama set a target of 2 percent per year GDP growth, starting from a 2009 baseline. But from 2007 through early-2009, the recession slashed GDP by a remarkable 9 percent. If the Japanese government based its goal from the pre-recession GDP levels - as it should have - its GDP target for 2020 works out to just 1 percent growth per year, a truly dismal rate. The targets on the jobs side are equally off. Over the next decade, the country's working-age population will plunge by 7.6 million people, or 10 percent, and the number of retirees will rise by 6.5 million.

How can the Hatoyama administration promise 4.8 million additional jobs when Japan won't have the workers to fill them? No one expects a rush of immigrants or women into the workforce to counter this trend. For Japan to revive, it has to move beyond Kan and Takenaka's false supply-side, demand-side dichotomy. As famed economist Alfred Marshall pointed out more than a century ago, scissors need two blades: supply and demand. Japan has trouble growing because both blades are so banged up that neither cuts very well. Plus, each blade's dullness worsens the other. For 30 years, Japan has been afflicted with a chronic shortfall of demand, a kind of economic anorexia. Consumer spending is too low, mostly because household income is too low.

Over the last decade, real wages per worker have fallen every year but one. The only reason consumption has risen is that households have slashed their once-legendary savings rates: from 17 percent in 1980, to 10 percent in 1997, to 2.3 percent in 2008. If people earned more, they'd spend more. To make up this shortfall, decades of Liberal Democratic Party (LDP) governments used artificial stimulants: mammoth budget deficits, rising trade surpluses, and monetary steroids to gin up often-wasteful business and infrastructure investment. The unsustainability of this strategy came home to roost in the recent recession, when a collapse of exports and accompanying investment sent GDP southward. This collapse abruptly erased 70 percent of the recovery eked out since late 2001. With the economy now operating 7 percent below capacity and economists worried about a relapse in 2010, the newly elected Democratic Party of Japan (DPJ) turned immediately to measures to increase demand.

It proposed a good initial remedy: boosting household disposable income, partly by measures making it cheaper to have children. Instead of building more of the LDP's notorious "bridges to nowhere," the DPJ proposed spending around 21 trillion yen, 4 percent of GDP, on measures such as an annual rebate of $3,250 per child, reimbursement for high-school expenses (which even at public schools can amount to $5,000 per year), free child-age medical care, and tax cuts. Unfortunately, the DPJ evaded the issue of financing its largesse.

Its talk of cutting wasteful spending to come up with the funds proved hollow. As a result, the DPJ has already cut back or postponed some of these measures. Moreover, the DPJ has not offered a remedy for the structural defects in private labor and capital markets that produce such low household income in the first place. The DPJ's difficulty in financing its programs brings up the supply side of the scissors. Japan will never find the resources to boost household income, support the elderly, and address its gigantic government debt unless it accelerates per capita GDP growth, hikes the tax base, and increases returns to investment.

From http://www.foreignpolicy.com/ 01/08/2010

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SOUTH KOREA: New Atomic Disaster Control Center Opened

Korea will open a new atomic disaster control center near the country's major nuclear research reactor this week to enhance the country's ability to prevent and cope with emergencies, the government said Monday, according to the Yonhap News. The Ministry of Education, Science and Technology plans to open the center 5 kilometers from the Hanaro nuclear reactor in the central city of Daejeon on Tuesday and use it to manage the evacuation of people in case of a serious accident. Hanaro, built in 1995 and run by the state-run Korea Atomic Energy research Institute, is one of the two operational research reactors in the country. The second smaller-sized reactor is operated by a local university. The ministry said the new facility will be linked to the country's AtomCARE system that is designed to monitor nuclear power plants and give immediate warning about potential problems in them.

From http://www.koreaherald.co.kr/ 12/21/2009

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Korea Focuses on Technologies to Sustain Farm-industry Growth

The government said yesterday that it will pour 5.9 trillion won ($5 billion) in research and development to advance the country's technological competitiveness in the agricultural, fisheries and food industries by 2014. The Ministry for Food, Agriculture, Forestry and Fisheries estimates that more advanced technologies will help contribute to 20 percent of the nation's per capita income by 2014, compared to the current 6 percent. This means that Korea's technological competitiveness would be meeting 82 percent of the level already secured by advanced countries. Such vision was part of the ministry's preliminary plans for developing the nation's agricultural technologies between 2010 and 2014. The Lee Myung-bak administration has stepped up efforts to build a more commercial-oriented and business-savvy agriculture sector, as well as boosting exports, to overcome the challenges of a weakening and aging industry.

The ministry highlighted that the new R&D policy direction is the first "master plan" to represent a combined plan of all the institutions under its wings. It said the plan reflects the need for fostering the country's agriculture, fisheries and food industries into a technologically competitive "green-bio industry" in response to the current difficulties posed by market liberalization. The master plan features six key strategies and a technology-development roadmap for seven major industries. The six key strategies are: strengthening the overall R&D policies for the agriculture, fisheries and food industries; developing demand-oriented R&D plans and strengthening the management and evaluations system; strengthening research capacity; promote private investments, technology transfers and entrepreneurship; invigorate rural R&D activity; and elevating the technology distribution system.

Some of the seven major industries include logistics; foods, such as Korean traditional foods, globalizing Korean cuisine and food safety; bio industry, such as raw materials for pharmaceuticals and bio-energy; nano-technology and information technology; and culture, such as tourism and recreation. The ministry stressed the urgency for making the R&D system more efficient and introducing strategies that incite technological innovation and encourage more investment. The five-year plan is based on a thorough study of the current conditions of government policies and the technological level of various areas for both Korea and foreign countries.

From http://www.koreaherald.co.kr/ 12/24/2009

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'Korean Firms Need Disruptive Innovation'

The acclaimed author of "The Innovator's Dilemma" yesterday urged Korean companies to refurbish their entrepreneurial spirit and apply the "disruptive innovation model" to pull ahead in their race with China and India. "Leaders of Samsung, Hyundai and LG need to understand the disruptive innovation model and think about what made them so great in the beginning to create the next wave of growth," said Harvard business professor Clayton Christensen. In a speech sponsored by the Institute of Global Management in Seoul, Christensen explained the concept of disruptive innovation - a business model he engineered - as a process by which a company starts producing simple products and then relentlessly moves "up market" to displace established competitors.

Take North America's steel industry as an example. A mini-steel mill, as opposed to a vertically integrated steel mill, was a secondary steel producer which obtained most of its iron from recycled automobiles in the 1970s. Small in scale, mini-steel mills were more cost effective and produced low-quality products such as rebar. They were welcomed by integrated mills' sheet-steel makers at first as profit margins for sheet steels were 25 to 30 percent, when it was only was 4 to 7 percent for rebar makers. But using its low-cost strategy and low-labor cost, mini-mills slowly entered the angle iron and structural steel market and eventually pushed out integrated mills' steel makers.

Today, mini mills control 60 percent of the market. "Giants actually want to drop out rather than fight you - this is when disruptive innovation is happening," Christensen said. He pointed out a problem for Korea in doing this - the lack entrepreneurial culture and spirit. When Japan disrupted the U.S. market in 1980s, America's employees started ventures and the survivors are those who ventured out. However, research has concluded that the majority of start-up ventures in Silicon Valley were not launched by Americans, but by Indians, Chinese and Koreans who went to Stanford University and UC Berkeley. "Silicon Valley was successful not because they had more ideas but because it provided a daring and encouraging environment for ventures to grow," the professor said.

Starting simple in every market is important, Christensen added. He claimed that the rechargeable electronic car capable of speeding up to 330km from BYD Company in China must be a "scam" at its present level, and that electronic cars must start at the golf-cart level first. Experts were generally in agreement with Christensen. "Korean companies brought in state-of-the-art technologies, catered to the Korean customers, and also exported to developing countries. Entrepreneurs here need to practice more these innovation and evolve further, but from the basics," said Shin Cheol-kyun, a research fellow at the IGM.

From http://www.koreaherald.co.kr/ 01/20/2010

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Gov't to Offer Incentives for Job Creation

The government said Thursday that it will provide tax and other benefits to smaller companies to support their recruitment of new workers in a bid to bolster still-sluggish employment conditions despite a fast-rebounding economy, according to Yonhap News. The move is part of a raft of government measures jointly unveiled by economy-related ministries after their first employment strategy meeting this year chaired by President Lee Myung-bak. "Despite the fast recovering economy, employment conditions remain in a slump as they usually lag behind the pace of a rebound," the government said in a joint press release. "We are placing top priority on job creation this year and will push to help provide jobs in the short term while crafting longer-term measures to deal with underlying problems in the labor market." Under the measures, the government said that it will offer tax benefits to small and medium-sized companies that recruit more full-time workers compared with a year earlier. The benefits will remain in place until the first half of next year. The government added that it will provide a network linking companies and job seekers by providing updated recruitment information. Named "Work-net," the network will help smaller companies secure necessary workers, it explained.

From http://www.koreaherald.co.kr/ 01/21/2010

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Indonesia Ready for Binding Targets on Emissions Reduction

State Environment Minister Gusti Muhammad Hatta has insisted that Indonesia will submit an official report on the country's emissions cuts target to the United Nation by the end of this month, which will bind Indonesia to emissions reduction. The Copenhagen accord obliges each country adopting the accord to submit a report outlining emissions cuts targets, including detailed plans to meet the pledged target to the United Nations Framework Convention on Climate Change (UNFCCC) by Jan. 31 at the latest. "We will meet the deadline, although we have not yet finished the details on how to reach the targets," he told The Jakarta Post on Thursday. Hatta admitted that once the report was submitted to the UN secretariat, Indonesia would be bound to slashing its emissions by 26 percent by 2020. "But we are ready for that [obligation]," he said.

Indonesia is one of 26 countries which signed the accord during the Copenhagen meeting last December. 192 countries are members of the UNFCCC. It is not yet clear whether all the countries would submit their emission reports to the UNFCCC because most of them have not signed the accord. President Susilo Bambang Yudhoyono named Hatta's office as responsible for coordinating other departments in slashing their emissions. Indonesia was the first developing country to announce emissions cuts targets of 26 percent by 2020, 41 percent with international support after developed nations refused to put emissions targets on negotiation table. Developing countries are not bound to emissions cuts under the Kyoto Protocol.

The Kyoto Protocol, the only binding treaty on emission reductions, requires only developed nations to cut emissions by 5 percent until 2012, when the Protocol expires. Most countries have failed to meet the target. The Copenhagen meeting failed to reach a new legally-binding treaty on emissions cuts. But a number of countries have announced their emissions cuts targets to be included in the Copenhagen accord. The United States pledged to cut 17 percent of emissions by 2020 from 2005 levels, equal to only about 3 to 4 percent from 1990 bases. In contrast, China has promised to reduce emissions by 40 percent by 2020, while India has offered a 20 percent cut by 2020.

A draft report on emissions targets from the State Environment Ministry showed that with the 26 percent target, Indonesia should cut about 0.7 million tons of carbon dioxide (CO2) with an expected cost of Rp 83.3 trillion. If developed nations provided Rp 168 trillion, Indonesia could slash its emission by another 15 percent to meet the pledged 41 percent.

It said if business runs as usual, Indonesia would emit some 2.95 billion tons of CO2 in 2020, of which 48 percent would come from land conversion and the forestry sector, 21 percent from the energy sector, 12 percent from peat fires, and 11 percent from waste management. The draft said emissions cuts would be focused on those sectors. "We are still formulating the emissions cuts from each sector and where will it take place," he said. He admitted his office had reached an agreement with the Public Works Ministry on how to cut emissions from the waste management sector. Hatta's office said earlier that it would enforce the 2008 law on solid waste that required all districts to change from open dumping to more sanitary landfill systems and to separate methane (CH4) and use it as a source of electricity.

From http://www.thejakartapost.com/ 01/15/2010

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INDONESIA: Government to Pursue Agrarian Reforms

President Susilo Bambang Yudhoyono says the government will speed up land reforms by providing the public with greater access to land, and acquire more agricultural land to improve Indonesia's rice production. "I'd like agrarian reforms with a plus, by which the public can acquire land. I expect this will be carried out by the National Land Agency *BPN* and local administrations," Yudhoyono said Friday in Marunda, near the East Canal Flood area in North Jakarta. The President was launching the government's Strategic Land Program for the People's Justice and Prosperity. During the launch he also handed over 1.53 million land certificates to the public. Yudhoyono said the planned issuance of new government regulations was part of the government's first-100-day program to speed up agrarian reforms launched a few years ago.

According to research conducted by the Agriculture Ministry, Indonesia has 11.6 million hectares of farming land, 7.6 million of which is irrigated. The report suggests Indonesia needs another 11.8 million hectares of farm land by 2030 to meet the projected national demand for 59 million tons of rice. Of the country's total 190 million hectares of land, 101 million hectares is suitable for agriculture without creating a damaging ecological imbalance. At present, 64 million hectares is used for farming, the report says. Former agriculture minister Anton Apriyantono said many farmers did not own their own land, and most worked as casual laborers for larger farm businesses during the harvest season. Anton also said farmers had to spend large amounts to obtain land certificates.

Yudhoyono urged the BPN to act quickly in creating an inventory of unclaimed land, which the BPN said estimates to amount to around 7.3 million hectares. "Manage unclaimed land, settle land disputes and speed up the ongoing land certification process," Yudhoyono instructed the BPN. "Improve the government's service to the people. Larasita *the People's Service for Land Certification* is a primary program. Come to the people, don't wait until the people come to you," he added.

Through the Larasita program, the BPN will provide cars and motorboats to reach residents of remote and isolated areas, such as the Thousand Islands. BPN head Joyo Winoto said the agency would soon be able to resolve more than 3,500 land disputes. Jakarta Governor Fauzi Bowo said 69 percent of the property in Jakarta had no land certification. "Jakarta administration and the BPN plan, over the next three years, to speed up the certification of all property belonging to residents and the government." Yudhoyono said within his first 100 days in office (before Jan. 31) the government would issue a regulation on dormant land. He also said the government would work to stop speculators, who could cause losses to original landowners and the government when land was needed for development. The government plans to speed up its infrastructure projects to spur economic growth to between 6.3 percent and 6.8 percent per year over the next five years. "If the government doesn't stop speculators* when it *needs land for* a project, the government will have difficulty running the program and the people won't receive decent compensation, but speculators will be the ones who profit," Yudhoyono said.

From http://www.thejakartapost.com/ 01/16/2010

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LAOS: Government Officials in Oudomsay to Get Paid Via Banking System

(KPL) Oudomsay province is preparing for the payment of salaries for government officials through the automated teller machine (ATM) system, which is scheduled to commence in the third quarter of the 2009-2010 fiscal year. The province has established a committee to monitor the salary payment through the system. The service is in accordance with an agreement signed by Minister of Finance on 6 October 2008 on paying salary for government officials through the banking system. After the agreement signing, we began our preparation by holding series of training courses on salary payment via the ATM system for government officials in cooperation with the Banque pour le Commerce Exterieur Lao in the province, said Mr. Somchith Panyasack, Head of the Finance Service of this northern province. The new service will cover 15 government services and 25 government organisations.

From http://www.kplnet.net/ 01/01/2010

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Government Asks Sectors and Provincial Administrations to Increase Co-ordination

(KPL) A monthly meeting of the government for December was officially held in Vientiane on 29-30 December under the chairmanship of Prime Minister Bouasone Bouphavanh. The meeting heard a review report on political affairs of the government made in the past one year, especially its leadership in all sectors. The participants at the meeting also proposed a number of methods to solve the problems and to improve the working system of the government and to strengthen the coordination mechanism between central and local authorities. On this occasion, Mr. Bouasone Bouphavanh also informed the meeting of the directions of the Party Secretary General and State President on the activities of the Government made in the past and its future plan. The meeting also heard a report from the ministry of planning and investment on the situation of the socio-economic development in the first quarter of the 2009-2010 fiscal year. It also listened to a report of the ministry of finance on its performance made in 2008-2009 which disclosed that the macro-economy is still stable and has the potential to grow in line with estimates of economic growth in accordance with the plan.

The meeting also heard a report of the ministry of agriculture and forestry on dry season cultivation promotion and improving the agricultural production in the Typhoon Ketsana affected provinces. The government has set the target of rice production on 875,000 ha with an expected yield of 3.3 million tonnes, including 655,000 ha for wet season with an expected yield of 2.52 million tonnes and 120,000 ha for dry season cultivation with an expected yield of 585,000 million tonnes. In order to reach the target, the government asked the banks to consider extending appropriate loan and interest repayment period for farmers affected by recent natural disasters, the tax-customs authorities to exempt the import tax on fertilisers, insecticide, animal medicine and other necessary products for agricultural production. The meeting assigned the industry and commerce sector to inspect and manage the import of fertilisers and consumer prices to prevent vendors from putting up prices inappropriately. The government also told the relevant agencies to continue to reduce the cost of electricity used in irrigation to help farmers cut production costs.

The meeting urged local officials to seek relief assistance from the private and business sectors to help affected families and enable them to resume normal lives. The meeting discussed the drafting of a decree on insecticide management and use. It also considered and commented on a draft decree on the place of origin of imports and exports, presented by the ministry of industry and commerce. The decree stipulates the principles and regulations concerning the place of origin of such goods. The decree will be improved and adjusted in line with cabinet comments before the coming government meeting in January. The meeting also reported on the achievements of the hosting of the 25th SEA Games.

From http://www.kplnet.net/ 01/04/2010

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Asia Foundation Supports Capacity Building for Lao Women's Union

(KPL) The Asia Foundation signed on 11 January a memorandum of understanding (MOU) to provide US$ 585,000 for the Lao Women's Union (LWU) for its 11 projects in the period of 2010-2012. The new agreement will allow the Asia Foundation to expand programmes that ensure women's rights and personal security, increase women's participation in public life, and advance women's economic opportunities. For over two decades, the Asia Foundation has formed valuable, long-standing relationships with Lao government bodies and local organisations. On this important occasion, the Asia Foundation is pleased to reaffirm its commitment to the Lao people and the Lao Women's Union in their dedicated work to improve social and economic opportunities for women and society as a whole, said Ms. Gretchen A. Kunze, Laos Country Director for the Asia Foundation. We look forward to the opportunity to continue our partnership with the Lao Women's Union and the government of the Lao PDR in shared efforts to support development and growth for the entire nation.

For 20 years, the Foundation has partnered with the Lao Women's Union to implement activities promoting gender equality and the prevention of human trafficking and violence toward women. For instance, in 1995, the Asia Foundation provided financial support for LWU representatives to participate in the Women's World Conference held in Beijing. In 2003, the Foundation supported the LWU in drafting the Law on Development and Protection of Women, including carrying out a survey on domestic violence to provide data. More recently, the Foundation contributed funds for the construction of a Counseling and Protection Centre for Women and Children, as well as technical support for training and upgrading legal knowledge of LWU staff. In addition, the Asia Foundation supported leadership skills training for women political leaders.

From http://www.kplnet.net/ 01/13/2010

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Public Investment Management Upgraded for Luang Namtha Officials

(KPL) The Planning and Investment Service of Luang Namtha province organised early this month a seminar on public investment management. The seminar chaired by Dr. Phengphavanh Daophonechaleun, Director General of the Planning and Investment Service, was attended by 100 state officials from different services in this northern province. The seminar aimed to provide to the participants a lot of knowledge on public investment management, and the law on public investment. The participants were also equipped with lessons on writing a progressive report of the project, the submission of the form of the ongoing project, the report writing on ongoing project and the report writing on debt payment. They also learn on how to manage the public investment management at district level, the work plan management and work plan analysis.

From http://www.kplnet.net/ 01/13/2010

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BANGLADESH: Govt Plans Paradigm Shift in Agriculture

Reaz AhmadWith arsenic creeping into farmlands and the water table falling fast due to excessive groundwater mining for irrigation, the government has planned for a paradigm shift in agriculture. Under the new plan irrigated-rice boro will be relegated to the position of secondary crop allowing rain-fed aman to regain its previous status of the main crop. "Arsenic is creeping in and farmers have to dig deeper for irrigating rice [of dry season], as over the years our secondary crop [boro] has become the main crop," said Agriculture Minister Matia Chowdhury. In an exclusive interview to The Daily Star, she revealed her ministry's plan to rejuvenate the rain-fed rice and lessen the over dependency on winter rice, boro - cultivation of which becomes taxing for agro-ecological balance. "Last year, farmers in Barendra area [in the northern region] had to dig wells and then set up their pumps to irrigate boro, as the groundwater table had fallen," said Matia Chowdhury. The agriculture minister said, "We'll rather provide all crop protection measures [that are usually provided for boro] to aman so that we get the maximum output from the rain-fed rice." It has been years, she recollected, since the last major aman rice variety BR-11 was released, saying, "Now the time has come that we develop more productive varieties of aman." "We've already asked our national agricultural research system to go for varietal development of aman," Matia added. "In the upland we'll provide full support to farmers for aman expansion while we'll promote boro in the low lying regions," she said adding that farmers actually can ill-afford 55 days of irrigation and drawing up of 3,000 litres of water for producing one kilogram of boro. She said the government wants to expand boro cultivation in the south rather than in the north, as cropping intensity has already reached to a record high of 300 percent in the north while it is 120 percent in the south. Irrigation and other input (fertilisers, pesticides etc.) intensive boro, which has been a tertiary or secondary rice crop in Bangladesh until the late '90s, now contributes 60 percent to the country's annual staple output, well surpassing the contributions of rain-fed aman and aus varieties. According to official statistics, a boro yield of 8.1 million metric tonne (MT) topped the 8 million MT yield of aman for the first time in 1997-'98, whereas during the period of 1971-'72, the first year of Bangladesh's independence, boro output had been only 1.7 million MT compared to 4.1 million MT of aman's.

Last year farmers in Bangladesh produced over 18 million MT of boro while aman was produced around 12 million MT. While cultivating boro is expensive in terms of irrigation and input cost, growing aman, at times, is risky because of its nature-dependency. In the last aman season, the government had to provide farmers with free electricity for supplementary irrigation due to a delayed monsoon and erratic rainfall. The government's plan of letting the rain-fed rice varieties to have an upper hand over the irrigated one, comes hard on the heels of international research findings showing accumulation of arsenic in croplands due to excessive groundwater irrigation. A study carried out by leading arsenic researchers from home and abroad, and published in the January edition of scientific journal Nature Geoscience, reveals that monsoon flooding of 0.9 metre depth removes up to 62 percent of accumulated arsenic from cultivable lands, but the poisonous metalloids largely remain deposited on non-flooded farmlands posing threat to future crop production. In Bangladesh, only 21 percent lands are annually flooded with depth of 0.9 metre. The agriculture minister laid special emphasis on using surface water for irrigation, rather than over exploiting the depleting groundwater, and spoke of the government's plan to procure dredgers for dredging the rivers to facilitate surface irrigation. Matia also underscored the need for judicious use of irrigation water in the farmlands. She favoured alternate wet and dry (AWD) irrigation instead of keeping the boro lands submerged all the time. Expansion of AWD, said Matia, can effectively reduce water use for growing dry season rice. A study by the Indian Council of Agricultural Research (ICAR) shows, if croplands are kept alternatively wet and dry rather than submerged continuously, it increases grain yield by 20 percent, and reduces water requirements up to 70 percent.

From http://www.thedailystar.net/ 01/16/2010

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INDIA: Govt to Release Manual on Drought Management

New Delhi: The Government will soon release an exhaustive manual for practical management of drought mitigation and relief measures. The manual, which draws upon from past experience of drought management will act as an effective practical guide for administrators, experts and civil society in implementing drought mitigation and relief measures and for alleviating distress of the drought affected people, an Agriculture Ministry statement said today. It will suggest list of procedures and measures required to be taken for alleviating the impact of drought. "India has witnessed 22 major droughts in the past 120 years and seven droughts during the last three decades alone. "Increased climate variability coupled with global warming has made rainfall pattern more inconsistent and unpredictable leading to increase in the recurrence of droughts and drought-like situations," the Ministry said. The manual has been prepared by the National Institute of Disaster Management.

From http://www.newkerala.com/ 01/01/2010

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Biometrics and E-Challans for Capital's Transport and Traffic Management

The Delhi Transport Department will issue public service vehicle (PSV) badges cum biometric cards to the taxi, auto-rickshaw drivers in the Capital. The traffic zonal officers will be issued biometric card readers, to check the authenticity of cards. Y S Dadwal, Delhi Police Commissioner while making this announcement, in the annual press conference of Delhi Police, said that the biometric card would register the violations committed by the auto-taxi drivers and will make available the prosecution history to the cops. In another important announcement, on the same occasion, it was revealed that the e-Challan system would be operational by the mid of this year. According to the Traffic Department official, the archives are cumbersome to manage and so it will change that part of traffic management in short period of time. e-Challan system would require a GPRS enabled hand held electronic device, similar to the size of a BlackBerry phone with a touch screen and stylus. It would be attached to a compact printer to print challans in English and Hindi. The device would be connected to a central database through which the cops can transact business details on the basis of vehicle number, name of driver and driver's license, inter alia.

From http://www.egovonline.net/ 01/05/2010

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India's First Level 3 Data Centre Soon at Karnataka

Karnataka will soon have the country's first level 3 data centre. The data centre will be used to host government applications and related data, and will have a massive storage capacity of over 90 terabytes to meet the digital storage needs of Karnataka. The state government has already prepared a request for proposal for the project and is awaiting approval from the central government. A level 3 data centre typically has advanced storage capacity and has 98.98% availability, making it operational almost 24 hours a day, seven days a week and 365 days a year.

From http://www.egovonline.net/ 01/07/2010

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Cabinet Approves Setting Up of National Knowledge Network

New Delhi: The union cabinet Thursday approved setting up of a national knowledge network (NKN) that will connect all major educational institutions like the Indian Institutes of Technology (IITs), Indian Institutes of Management (IIMs) and top universities for exchange of information and research. "One of the important recommendations of the National Knowledge Commission (NKC) is to inter-connect all knowledge institutions through high speed data communication network. This would encourage sharing of knowledge, specialized resources and collaborative research," the Cabinet Committee on Infrastructure said. The government's decision to set up such a network was announced in 2008-09 and an initial amount of Rs.100 crore was allocated to the department of information technology, ministry of communications and IT for this. The architecture of the NKN will be scalable and the network will consist of an ultra-high speed core (multiples of 10Gbps and upwards), to provide A nation-wide ultra high-speed data-network highway. The network will connect around 1,500 institutions and the setting up of core network is expected to be completed in a span of two years. The cabinet said that the network will enable scientists, researches and students from diverse spheres across the country to work together for advancing human development in critical and emerging areas. "NKN will catalyze knowledge sharing and knowledge transfer between stakeholders seamlessly - that too across the nation and globally. NKN is expected to encourage a larger section of research and educational institutions to create intellectual property." It will allow sharing of high performance computing facilities, e-libraries, virtual classrooms and very large databases. Health, education, grid computing, agriculture and e-Governance are the main applications identified for implementation and delivery on NKN. Applications such as "Countrywide Classrooms" will address the issue of faculty shortage and ensure quality education delivery across the country.

From http://www.newkerala.com/ 01/21/2010

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Kalam Inaugurates India's First E-Cycling Technology

New Delhi: Former President Dr A P J Abdul Kalam has expressed concern over unsafe handling of e-waste. Emphasising the need to conserve mineral resources for future consumption, former President A P J Abdul Kalam inaugurated the country's first e-waste extraction plant, in Oberoi hotel here yesterday. Speaking on the occasion, Nitin Gupta, CEO, Attero Recycling said, "E-waste is an important resource that can be made useful instead of shunning it as a social and environmental burden. Attempts should be made to explore alternate sources of metals." Attero (meaning "waste" in Latin) recycling works consciously towards end-to-end e-waste management. E-waste or the electronic waste constitutes all the electronic appliances such as electric wires, electronic gadgets such as i-pod, transistors, mobile phones and computers left unused or made redundant. All electronic items contain potentially hazardous elements like nickel, cadmium, lead and the like, which when handled unscientifically can cause grave damage to the environment including radioactive pollution, which can have serious implications. The new technology focuses on maximum value extraction from e-waste in its indigenously developed mettalurgical unit. "E-waste in our country is being increased by 10 per cent every year and only five per cent of urban e-waste are recycled in India," Dr Kalam said, inaugurating the event. The event also was also attended by Mr Sachin Pilot, Minister of State for Information Technology.

From http://www.newkerala.com/ 01/21/2010

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MALDIVES: Preparations Underway to Implement Measures to Minimize Damage from Natural Disasters

Discussions are underway to devise and implement measures to minimize damage caused by tsunamis, storms and other natural disasters, State Minister Abdulla Shahid has said. The State Minister said that some of the measures being taken included building mosques on higher foundations in the future, and keeping a large reservoir of drinkable water in each island, and burying water tanks in the foundations of all the new houses that are being built. "All the mosques built from now on would be built on foundations eight-feet high," he said. "The mosque will also have a storeroom where emergency rations can be kept, including first-aid equipment. The minarets will be built in such a way that antennas from the communication companies can be affixed to the top. There will also be space for them to keep their base equipment. Solar panels will be used to store energy so that even communication channels will remain uninterrupted even if there was a tsunami or other kind of natural disaster." He further said that they were also going to include underground water tanks in the plans for all the schools and mosques being built as preparation for emergency conditions. "We found out how important this was from Vilufhushi mosque," he said. "The tanks buried under the mosque can store around 1,400 tonnes of water." He said that if the same idea was applied to all the schools and mosques in the country, it could provide a potential solution to water shortages in the islands. "We are also considering several other precautionary measures," he said.

From http://www.haveeru.com.mv/ 12/27/2009

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IRAQ: Setting Up Economic Zones in Border Regions

BAGHDAD - An Iraqi minister says the government plans to set up special economic zones near the borders of neighboring countries, RFE/RL's Radio Free Iraq (RFI) reports. Iraqi Industry Minister Fawzi al-Hariri told RFI the project will include building industrial projects and business parks, and that agreements have been reached to create special economic zones with Turkey, Iran, Syria, Jordan, and Kuwait. Yunadim Kenna, the deputy chairman of the Iraqi parliament's economic committee, told RFI that four free trade zones and special economic areas will be initially established in the border provinces of Basra, Anbar, and Nineveh, as well as in Baghdad.

Al-Hariri said some $10 million was allocated in the 2009 budget and more is expected in the 2010 budget for the plan, which aims to attract foreign investment but will rely heavily on private Iraqi companies. He said corporate tax holidays and other exemptions will hopefully attract foreign direct investment and stimulate local growth by creating jobs. Economic analyst Basil Jamil Antoine told RFI that many substandard goods are currently being sold in Iraq, but the establishment of special economic zones - including the industrial areas - would provide consumers with higher quality products.

From http://www.rferl.org/ 01/18/2010

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KAZAKHSTAN: Financing of Education Grown by 7 Times

Financing of education in Kazakhstan has, over the last 10 years, grown by 7 times. The Minister of Education and Science of Kazakhstan, Zhanseit Tuymebaev, said at the world forum Training and Technologies, being held in London, the agency reports citing the press service of the Ministry of Education and Science of Kazakhstan. "Financing of education in Kazakhstan, over the last 10 years, has grown by 7 times," Z. Tuymebaev informed. The education budget in 2009, despite the crisis, has grown in comparison with the previous year by 10.7 % and has amounted to 709.9 billion KZT (in 2008 - 627.3 billion KZT).

From http://www.kt.kz/ 01/12/2010

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High-Tech Industrial Zone to Be Established in Ust-Kamenogorsk

Establishment of "High-Tech Industrial Zone" in Ust-Kamenogorsk including "Metallurgy Center" and "Design Engineering Bureau" on the basis of "Altai" technological cluster was discussed in order to increase the Kazakh content in the production of the ore-mining complex. KZT 1 bln was allocated for this purpose from the republican budget. Regional Governor Berdybek Saparbayev said it last week at the enlarged sitting of the regional akimat with participation of Governors of all levels. He also noted that the Regional Industrialization Map was developed as well within the formation of industrial-innovative development of the region. 80 projects to the amount of KZT 740 bln were approved and submitted to corresponding Ministries for mutual approval. 40 projects to the amount of KZT 60 bln will be realized in the nearest future. It was stated at the session that in order to promote the regional production it was presented in 13 regions and 24 memos were signed between the regional enterprises and regions of Kazakhstan to the amount of over KZT 1 bln last year. Besides, 355 enterprises of the region purchased goods and services to the amount of KZT 250 bln last year 80% out of which is of the Kazakh content.

From http://www.inform.kz/ 01/18/2010

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Head of State Created Conditions for Kazakh Language Development: M.Kul-Mukhammed

"Head of the State Nursultan Nazarbayev created all conditions for the development of the Kazakh language", Kazakh Minister of Culture and Information Mukhtar Kul-Mukhammed said at the session of the working group on the development of the State Program of Use and Development of Languages for 2011-2020. Due to the language policy of the Head of the State the Kazakh language rose to earlier inaccessible level during the years of independence.

The Minister also noted that as long as Kazakhstan is a multinational state it is necessary to pay attention to the development of other languages as well. M.Kul-Mukhammed said that he intends to hold two more meetings. First one will be held when the work on the program's development will be half done.

From http://www.inform.kz/ 01/21/2010

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Young Scientists Council Created

The council of young scientists started functioning at the Academy of Sciences of Uzbekistan. The structure unites tens of young people, which work in more than 50 educational and scientific establishments of the country. The aim of the council is to support important scientific research, strengthen the integration among scientific establishments and industrial enterprises, as well as increase young scientists' interaction. Development of science was one of the priorities President Islam Karimov outlined in his recent speech in December. The head of the state said the country's progress depended on the development of science and called for expansion of prospective scientific research. In particular, the President stressed the importance of creation of new laboratories in the system of the Sciences Academy and universities, and establishment of their cooperation with leading foreign centers.

From http://www.gov.uz/ 01/16/2010

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UZBEKISTAN: Legislative Chamber to Hold First Session

The Central Election Commission of Uzbekistan adopted a resolution on calling the first session of the Legislative Chamber of the Oliy Majlis on 22 January. In accordance with the article 81 of the Constitution, Constitutional Law on Legislative Chamber and article 5 of the Law on Central Election Commission, the first session of the parliament's lower house is called by the Central Election Commission. The CEC resolution states that the first session of the Legislative Chamber will be held on 22 January in Tashkent and will consider organizational issues. The CEC members also considered preparation to the elections of the members of the Senate (upper house), scheduled for 18-23 January.

From http://uza.uz/ 01/18/2010

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Australian-ASEAN Free Trade Agreement in Force

Australia's largest free trade agreement with the Association of South East Asian Nations and New Zealand comes into force on Monday. Australia's Trade Minister Simon Crean says under the agreement almost all tariffs on Australian exports to ASEAN will be scrapped by 2020. He says the current agreement includes ending tariffs on some food exports to Malaysia and the Philippines. Mr Crean says it's an historic opportunity for Australian businesses to enter new markets. "It's a major milestone and it opens up significant new opportunities for Australian businesses," he said. "The significance of this agreement is the fact that it covers 12 economies and our two way trade with all of the ASEAN nations is already larger than our two way trade with China."

From http://www.radioaustralianews.net.au/ 01/04/2010

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AUSTRALIA: Second Leg of Digital Auction Ramped Up

MEDIA and telecommunications companies will be forced to make more efficient use of the limited spectrum available to service the rapid growth in data-hungry devices such as smart phones as the federal government prepares for the launch of the second leg of its digital spectrum auction. After announcing last week that it had a identified a large slab of broadcasting spectrum to be auctioned off, the government is expected to follow up with a discussion paper on potential uses of a further block of spectrum that the mobile telecommunications industry argues is crucial to building a complete high-speed 4G network.

Speaking at the Consumer Electronics Show in Las Vegas yesterday, Communications Minister Stephen Conroy indicated the Australian Communications and Media Authority was close to releasing a discussion paper on a slab of 2.5GHz spectrum now used by media companies for electronic news gathering.

This is separate from the 126MHz chunk of spectrum that the government said last week could be freed up following the switch from analog to digital television. Digital technology makes more efficient use of spectrum. The government hopes to auction off this "digital dividend" for more than $1 billion to the nation's three main mobile companies - Telstra, Optus and Vodafone Hutchison - which are keen to build 4G networks allowing much faster mobile broadband download speeds. The mobile industry argues that, to properly build the 4G network, it needs "a mosaic" of spectrum including 2.5GHz, which has a higher frequency and is better suited to transmitting peak loads in built-up areas. The Australian Mobile Telecommunications Association says the 2.5GHz frequency is the only globally harmonised band for mobiles.

But while ACMA is widely expected to make the 2.5GHz frequency available to the mobile industry, it will force other broadcasters that use the band for news services such as outdoor broadcasting to make more efficient use of their spectrum. This comes at a critical time for media and telecoms groups as consumers take up data-hungry smart phones such as the BlackBerry or iPhone in record numbers. Users of mobile broadband services doubled in Australia to two million in the 2009 financial year. Meanwhile, Seven Network executive chairman Kerry Stokes, who has spent more than $100 million on 4G wireless spectrum, is expected to launch a Perth network in the first quarter this year. Mr Stokes said recently: "I suspect that by the end of the next decade, we will simply not have sufficient spectrum to handle the oceans of available data and meet consumer demand for services."

From http://www.theaustralian.com.au/ 01/11/2010

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AUSTRALIA: Emergency Alert System to Warn of Bushfires, Cyclones

THE State Government has launched a $1.15million campaign to inform Queenslanders about the new national emergency alert system. Acting Premier Paul Lucas said the EA system would send text messages to mobile phones and automated voice messages to landlines warning people of severe imminent incidents such as bushfires and cyclones. The system will be capable of sending 18,000 text messages and 1000 voice messages per minute. "It is another method in the existing suite of measures we can use to warn people before and during critical incidents," Mr Lucas said. The EA system will cost $1 million a year to maintain and text messages will cost seven cents each.

From The Courier-Mail 01/17/2010

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Australians Cut Greenhouse Gas Emission: Report

A new report shows that greenhouse gas emissions from energy use in Australia's eastern states have fallen by 1.8 per cent compared to the previous year. The Climate Group's annual report measures emissions created by electricity and petrol use. South Australia recorded the largest percentage fall, dropping 4.2 per cent or 730,000 tonnes. New South Wales had the biggest drop in actual quantity with a 3.2 million tonne drop or 3.1 per cent. Queensland reduced its by 1.1 per cent and Victoria by 0.5 per cent. The Climate Group's Rupert Posner says overall demand for electricity has fallen and NSW is producing more electricity from gas fired power stations rather than coal. "There's no doubt we're starting to see some improvement in the way we use energy," he said.

He says if the trend continues, it will mean a 20 per cent drop in greenhouse gas emissions by 2020. "It has been easier for emissions to have gone down in 2009 because we haven't had as much pressure from a strong economy, but saying that, a reduction is a reduction and that's good news," he said. "And if we had the same amount of cut in greenhouse gas emissions as we had last year for the next 10 years then we would be on track for a 20 per cent cut in greenhouse gas emissions from energy. And that's the sort of magnitude that we need to see."

From http://www.radioaustralianews.net.au/ 01/18/2010

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NEW ZEALAND: Cyber-Monitoring Efforts Stepped Up

New Zealand authorities are stepping up cyber-monitoring efforts amid online breaches of name suppression. Last week, the identity of a Kiwi comedian was revealed on a TradeMe message board. The comedian is facing a charge relating to sexual connection with a child under 12. Their name and the TV show they have appeared on was revealed. TradeMe is now cracking down on postings. Trust and safety manager, Chris Budge, says they swiftly removed the posts. Police say they are also keeping a closer eye on the internet. In a separate incident, blogger Cameron Slater has appeared in court for breaking name-suppression orders online.

From http://tvnz.co.nz/ 01/10/2010

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Public Sector Ethics in Question

A support organisation for New Zealanders suffering rare disorders is questioning the public sector's ethics after the Government appealed a Human Rights Review Tribunal decision, which sided with parents caring for severely disabled adult children. The tribunal said this month those parents should be eligible to receive payment for their efforts. The group of nine parents believes it is unfair for the Ministry of Health to pay carers only if they are not related to the patient, and have been fighting in a long-running battle. Solicitor-General David Collins QC today confirmed the Government had lodged an appeal against the tribunal's decision. John Forman, New Zealand Organisation for Rare Disorders executive director and New Zealand Carers Alliance chair, said the appeal was a serious blow to the parents and their children and the case raised a big question about the ethics of decision making in the public sector.

Disability Support Services officials had made policy decisions on these payments for several decades, without endorsement from cabinet or ministers. In the public sector there had been a strong emphasis on budget management for the past 25 years. This was important, but at times it had been given too much weight relative to ethical obligations and human rights, Mr Forman said. Other government agencies, including ACC and Work and Income, had been taken to task by courts in recent times over the balance of ethics, rights and money management, he said. The way rights and ethics were factored into public sector decision making should be urgently examined, he said. The tribunal found, in its decision released on January 8, the ministry had discriminated against the parents because "they are not allowed to be paid for the services they provide to their child (or children) while anyone else providing the very same care to their child (or children) is able to be paid".

It did not accept the support given by parents to their "heavily dependent" children could be considered "natural" support. Mr Collins today said the appeal was "in the public interest given the legal issues involved and the significant implications of the decision, including its likely fiscal impact and its flow on effect to other policy settings". Health Minister Tony Ryall said he respected how challenging it was to care for a disabled relative. "Supporting family carers is an important issue for New Zealanders. However, it's a complex matter balancing the interests of an individual's autonomy, family responsibility and government contribution."

Meanwhile, the Government was considering ways to better support parents who cared for severely disabled adult children. Mr Ryall released a National Health Committee report, How Should We Care for the Carers, Now and into the Future? Manaaki tangata. "While the NHC report does not recommend payment for family carers, it recommends a range of actions to provide better support for them, which the Government will consider. Late last year the Government also began looking at options to expand the individualised funding scheme and to provide better support for family carers."

From http://www.stuff.co.nz/ 01/22/2010

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Asia Remembers Day Ocean Unleashed Its Fury

BANDA ACEH, Indonesia (AFP) - People across Asia will pause Saturday to remember the day five years ago when an undersea earthquake unleashed a devastating wave that killed more than 220,000 people. A solemn day of prayers and remembrance to mark one of the world's worst natural disasters is to be held in Indonesia's Aceh province, which lost almost 170,000 people in the Asian Tsunami of December 26, 2004.Prayers will be said in mosques throughout the staunchly Islamic province, and beside mass graves in the local capital of Banda Aceh. Similar scenes are expected to play out in countries such as India, Sri Lanka and Thailand where more than 50,000 people were killed as the wall of water smashed into coastal communities from Kalutara to Phuket. But as the survivors remember the dead, experts warn that many countries in the region remain ill-prepared to face another killer wave.

The 2004 tsunami was triggered by a 9.3-magnitude earthquake off the coast of Sumatra, and seismologists agree another event of that magnitude is almost certain to strike the quake-prone region again in the future. Sound alert systems have been developed in many countries to forewarn of impending danger, but getting that message out to seaside communities, and to children in particular, is still a challenge. Noeleen Heyzer, the UN's Under-Secretary General, said countries in the region had been working with international partners to strengthen early-warning systems. But 'significant gaps' needed to be addressed. "Disaster warnings save lives only if they reach the people at risk and are acted upon," she said. "An important part of the effort is to improve the knowledge of coastal communities about the risks they face and how to respond to them.

"We won't know when the next major tsunami in the Indian Ocean will strike," she added. "But by learning from disaster response, recovery and preparedness efforts - we can ensure our future is a safer one. "India has spent 32 million dollars on a tsunami warning system designed to detect all earthquakes above a magnitude of six on the Richter scale in the Indian Ocean, apparently within 20 minutes. Sri Lanka is ready to send SMS warning alerts to mobile phones in the event of a disaster, while Thailand has set up 103 towers equipped with loudspeakers along the coast and has increased its radio reach in the six seaside provinces. Indonesia has installed tsunami sirens in Banda Aceh, Bali and Padang, part of an integrated early warning system that relies on seismographs, satellites, tide gauges and deep-sea buoys to measure sudden surges in sea levels. Despite such efforts, Danny Hilman Natawidjaja, an earthquake expert with the Indonesian Institute of Sciences said many Indonesians were "still clueless" about how to identify and escape a tsunami.

"The drills from the Disaster Management Agency are yet to be effective. They have a lot to learn," he said. The agency has carried out about 10 drills since 2004 but "there is still a considerable amount of delay time in the tsunami early warning system," Natawidjaja said. As the reconstruction effort winds down, there are also concerns about corruption related to the distribution of billions of dollars of international aid. Indonesia's tsunami reconstruction agency finished its work in April, having spent almost seven billion dollars on rebuilding including 140,000 new homes, 1,759 school buildings, 363 bridges and 13 airports. The reconstruction effort has generally been hailed as a success, but relief agencies have complained about widespread graft and questions remain about how much of the international aid was actually spent as intended.

In Sri Lanka, the government is under pressure from a leading anti-corruption group to account for nearly half of the 2.2 billion dollars pledged to the country by foreign donors. The country will mark the anniversary with a drill to test the preparedness of people living along the island's coastline, Human Rights and Disaster Management minister Mahinda Samarasinghe said Friday. An estimated 31,000 people were killed in Sri Lanka while a million people were driven out of their homes. "We will also observe two minutes of silence on Saturday morning, at about the same time when the tsunami hit us five years ago, to remember those who lost their lives," Samarasinghe said.

From http://news.yahoo.com/ 12/25/2009

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Asia Has 57 of World's 100 Tallest Buildings

Today at 6.30pm IST, the world will witness the opening ceremony of Burj Dubai, which, apart from being the world's tallest building, will also set several more architectural records. At over 800 meters or 2,625 feet (the exact height is an official secret), the Burj will become the tallest free-standing structure in the world with the highest number of storeys, the highest occupied floor, the highest outdoor observation deck, besides having an elevator with the longest travel distance. The building, which is estimated to have used 330,000 cubic meters of concrete, 39,000 tonnes of steel rebar and 22 million man-hours will be visible from 60 miles away. It is designed in such a way that the residents need never descend below 1,300 feet if they wish, because there are offices, apartments, restaurants, gyms and almost all requirements of daily life above this height. When did its construction start?

On February 24, 2003, Emaar Properties PJSC, a real estate company in Dubai announced the construction of the world's tallest building. The excavation work started in January 2004 and it attained the milestone of being the world's tallest building in July 2007, the tallest free-standing structure in September 2007, and the tallest man-made structure in April 2008. Designed by Adrian Smith, the inspiration is drawn from a regional desert flower, the Hymenocallis. Like the structure of the flower, the tower's wings also extend from its central core. Why is it being criticized?

The building's opening coincides with the fourth anniversary of the accession of Sheikh Mohammed bin Rashid Al Maktoum as the ruler of Dubai and the construction company has claimed that the building is the Arab world's tribute to the art and science of modern engineering and design. However, Dubai is still struggling with the ongoing real estate crisis and was recently bailed out by Abu Dhabi to pay off its debts. Apart from this, the future occupants of the building remain mysterious. Although the construction company claims that most of the 900 apartments have been sold, experts say many apartments were bought three years ago when the market was at its peak, and hence, these could be speculative purchases, which might not materialize in the present scenario. Overbuilding in the boom era and the financial crisis of 2008 has left a lot of real estate unoccupied. The building has 37 floors for office space, while state analysts believe there is virtually no demand for office space in Dubai at present.

Why is the height of tall buildings often debated? It may seem a simple matter of measuring the building from bottom to top, but what is to be included and what is to be excluded in the measurement is often debated. The Council on Tall Buildings and Urban Habitat, which studies and reports on all aspects of the planning, design, and construction of tall buildings, recognizes the heights of tall buildings in three classifications. The most widely used and globally accepted is the height to the architectural top, which measures the height from the lowest level to the architectural top, including spires but excluding antennae, flags and other functional and technical equipment.

In this category, the Burj will be the tallest and Taipei 101 the second tallest. The second classification is based on the highest occupied floor. Here too, Burj will be the tallest but the Shanghai World Financial Centre is the second. The third classification is by height to tip, which measures the height from the lowest level to the tip including antennae and other functional and technical equipment. Even here, the Burj will remain the tallest, but Chicago's Willis Tower comes in second. Are most of the tallest buildings in the West?

No. Asia has 57 of the world's 100 tallest buildings, with China alone (including Hong Kong and Macau) accounting for 32, the same number as the US. The only European buildings on this list are in Moscow, so Western Europe doesn't have a single one. If we look at buildings completed in the last 15 years, the picture becomes even clearer. These account for 61 buildings from the 100 tallest cited above and only seven are not in Asia.

From http://timesofindia.indiatimes.com/ 01/04/2010

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Telecom Thrives in South Asia, Middle East

Economies all over the world have had to deal with recession in recent years, and sectors which were growing by leaps and bounds dried up quickly. The most sought after markets to invest in turned to dust. During these trying times, the only sector which has remained unscathed has been telecom. A recent study done by Frost & Sullivan on Telecom Companies Capital Expenditure for the South Asia and Middle East markets reveals the sector has shown resilience not only in the revenue generated by operators but also in their spending capacity. The sector will see investments in developing markets like India, Sri Lanka, and Bangladesh as well as in mature markets like the UAE and Saudi Arabia.

The study finds that the Indian market with its sheer size will continue to dominate the spending in the region. The total telecom spending in the Indian market was $21,553.1 million in 2008; this is anticipated to grow at a CAGR of 2.2 percent till 2015 to reach $25,128.9 million. The CAPEX will be driven by 3G operations that are expected to start in the next one to two years and the thrust on broadband and carrier services by incumbent larger operators. Girish Trivedi, deputy director, South Asia and Middle East, Frost & Sullivan states "While fixed line services will have lesser investment, mobile services are anticipated to constitute major CAPEX in the South Asia and Middle East region. Technological advancements like 3G will continue to spur the spending pattern. Investments in broadband and carrier networks and multimedia and value-added services will gain significant traction in these regions."

The high competition amongst the Sri Lankan telecom companies market for a relatively small population of 20 million has impacted investments in the country. The spending was led by two big operators while other operators struggle to survive. Frost & Sullivan estimates that the total telecom spending in the Sri Lankan market was around $589.4 million in 2008; this is expected to grow at a CAGR of around 0.08 percent between 2008 and 2015 to reach $592.68 million. The end of the civil war has opened up the northern and eastern parts of the country thereby driving the country's CAPEX levels. The Bangladesh telecom market is plagued with taxation issues and the introduction of SIM tax has adversely affected growth in the sector. Most of the operators are partly owned by global telecom firms and hence spending capacity will be impacted in the next one to two years due to the current economic situation. In line with current trends, Frost & Sullivan estimates that the total telecom spending in the Bangladesh market was $1,744.9 million in 2008; is expected to grow at a CAGR of around 2.4 percent between 2008 and 2015 to reach $2,060.1 million. The growth in spending will be led by the foray into the untapped rural market.

The telecom network in the UAE is one of the most technologically advanced in the world with 3.5G (HSDPA) and 3.75G (HSUPA) networks being deployed. The introduction of a second operator in the UAE has led to some rationalization in tariff levels and also increased spending levels in the market. The country has one of the highest GDP per capita in the world and hence despite penetration levels being around 160 percent, ARPU of the operators will continue to be high. The total telecom spending in the UAE market was estimated by Frost & Sullivan at $1,263.8 million in 2008; is expected to decline with a negative CAGR of around 0.02 percent between 2008 and 2015 to reach $1,261.9 million. Saudi Arabia is the largest country in the Middle East and also has the highest spending levels. The entry of new operators has spurred spending in the market. According to Frost & Sullivan, the total telecom spending in the Saudi market was $6,576.5 million in 2008 and is expected to decline with a negative CAGR of around 1.59 percent between 2008 and 2015 to $5,875.1 million. Broadband penetration is one of the lowest in the region; this segment will constitute a major portion of CAPEX of the operators in the next three to four years.

From http://www.eetasia.com/ 01/11/2010

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Asia Ascending in Science and Engineering

(PhysOrg.com) - This morning, the National Science Foundation in the United States released its regular report on science and engineering indicators. Not surprisingly, Asia appears to be ascending - and quickly - toward the top of the heap with regard to science and engineering development. "In most aspects of S&E the U.S. still has a leadership role," NSF officials told a press briefing on Wednesday, January 13, "but there is erosion in specific areas... In Asia, especially China, there is rapid growth." The National Science Foundation looks at different areas to establish its indicators of science and engineering, including degrees granted in various countries, publications related to S&E, patents applied for and granted, high tech manufacturing, knowledge intensive industries, and other areas of interest. While the U.S. still leads in many areas, Asian countries are catching up, and China is overtaking Japan in key areas of research and development, as well as high tech manufacturing.

The U.S. still leads handily in knowledge intensive fields, including communications and finances. "Asian countries are not yet super active in those industries," the NSF said. However, the U.S. continues to lose ground in high tech manufacturing and is starting to give way to Asia in terms of education, and research and development. China is rapidly approaching the U.S. in terms of S&E doctorates granted each year, and many of the engineering doctoral students in the U.S. are, in fact, citizens of other countries, and not Americans. It certainly will be an interesting few years ahead. If things continue at this rate, with fewer science and engineering students in the United States, it shouldn't take long for the global technological center to shift.

From http://www.physorg.com/ 01/15/2010

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Asia to Grow at 6.6% in 2010, Says ADB Chief

MANILA/NEW DELHI: The Asian Development Bank on Thursday said exit strategies for fiscal stimulus packages in Asia should be carefully timed as economies in the region are leading the global recovery and set to clock accelerated growth. "While we believe developing Asia is leading the global economic recovery, it is still too early to relax vigorous efforts to restore demand and stabilize financial systems. "In particular, exit strategies for fiscal stimulus must be carefully timed," ADB president Haruhiko Kuroda said in a statement. A study, commissioned by ADB and titled "Policy Changes for Asia after the Global Recession: Impact of the Global Economy and Policy Implications", found Asian economies are poised for accelerated growth as the global economic crisis recedes. Kuroda said the region is now showing signs of a V-shaped recovery, with a 6.6% growth outlook for 2010.

Noting that recovery continues to be fragile, the bank said carefully calibrated policy adjustments and collective action would be needed to sustain growth and cushion the region against future shocks. "Mobile capital flows which can cause volatility in exchange rates and domestic liquidity also continue to pose a risk to emerging economies in the region," it added. Many Asian nations, including India, had come up with substantial stimulus measures to bolster their respective economies in the wake of global financial crisis. The agency noted that poverty reduction would not be sustained at the pace of pre-crisis years unless sources of growth are rebalanced toward more domestic and regional demand, and made more inclusive.

Another study commissioned by the agency said Asia should continue to strengthen cooperation in the financial sector as a bulwark against future crises in developed economies. The report also stressed that integration efforts should be modest in size to ensure that real benefits are delivered. "Policy makers should avoid using up scarce bureaucratic resources and limited political goodwill on huge initiatives which do not yield tangible benefits at the ground level but should instead focus on smaller scale efforts," it noted.

From http://timesofindia.indiatimes.com/ 01/15/2010

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Asia's IT Parts Makers Struggle with Demand Boom

TAIPEI (AFP) - Wrong-footed by rocketing consumer demand, Asian technology suppliers are scrambling to expand capacity before inventories run dry of everything from semiconductors to flat-panel screens. Asian components makers, betting on a much longer economic downturn, last year ran down their stockpiles to "very unhealthy levels", according to Nancy Liu, an analyst at Taiwan's Industrial Technology Research Institute. But demand worldwide for gadgetry ranging from computers to smart phones and liquid-crystal displays is zooming ahead, even if the West's retail sales as a whole are still sluggish. And China is a boom market all by itself. Jin Sung-Hye, an analyst with South Korea's Shinhan Investment Corp., said Asian component makers were now rushing to ramp up production after failing to forecast the consumer recovery. "However, higher component prices will not lead to a drastic increase in PC prices, as makers are under pressure to produce upgraded models," she said.

Makers of computers and consumer electronics could instead see their profit margins squeezed, given cut-throat industry competition with consumers used to ever-falling prices on the high street. And consumers themselves might have to get used to delays in procuring the latest must-have gadgets, a problem that has afflicted Apple's iPhone as Taiwanese chip suppliers struggle to keep up. Component shortages will linger, with analysts saying it typically takes 15 months from the time a manufacturer decides to boost capacity until production actually picks up. "Shortages are expected to continue throughout this year and possibly into early next year if the global economy maintains the current pace of recovery," Jin said. US giant Intel, the world's biggest chipmaker, last week reported its net profit soared nearly nine-fold to 2.3 billion dollars in the last quarter of 2009.

Its booming sales came as industry tracker IDC reported that US computer shipments topped 20 million in the fourth quarter, a record figure, while global PC shipments jumped 15.2 percent year-on-year. IDC identified two key factors - abundant deals on low-priced netbook computers, and pent-up demand as consumers upgraded their PCs after the financial crisis. Industry shortages mean the semiconductors needed for an average computer are likely to be 2.8 percent more expensive this year than last, marking the first rise since 2004, according to analyst firm Gartner. The average selling price for one gigabyte of DRAM, or computer memory, will still decline by eight percent this year. But that compares with much steeper falls of 27 percent in 2009 and 53 percent in 2008, Gartner said. "If we look at how bad it was in the first quarter of last year, no one could have predicted that the economy would recover this fast," Taiwan-based Gartner analyst Ben Lee said.

"There was financial turbulence, and companies went bankrupt," he said. "This has changed with government stimulus plans plus a loose monetary situation. Money is flooding into the market. Everyone can borrow. "The Chinese government implemented a stimulus spree worth 586 billion dollars, and consumers in the world's third-largest economy have played a major role in stoking demand, according to observers. "The fast recovery in the Chinese market appears to be the main reason" for the global technology boom, said Shinhan Investment's Jin. Taiwan's Innolux Display Corp. is one technology company being forced into a drastic reappraisal of its plans as it battles to keep up with the demand. The firm recently announced a merger with rival Chi Mei Optoelectronics Corp. as it vies to take on the big Japanese and South Korean suppliers of flat-panel displays. The deal was originally expected to be completed in May, but has now been hastily brought forward to March. "Innolux hopes to integrate the two companies' capacity and ensure a steady supply of panels as soon as possible," said Nancy Liu.

From http://news.yahoo.com/ 01/16/2010

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Asia, Indonesia to Lead Global Economic Recovery: SCB Analysts

With economic growth expected to reach 5.5 percent this year and 7 percent next year, Indonesia, along with some Asian economic growing countries would lead the world's economic recovery, analysts of Standard Chartered Bank (SCB) said here on Monday. Dr. Gerard Lyons, SCB Chief Economist and Group Head of Global Research, said that Indonesia had been a strong performer during the recent global recession, and emerged as the third fastest- growing member of the G20 in 2009.Asia had weathered the global financial regulation due to healthy household and corporate balance sheets and prudent financial regulation, Dr. Lyons said. He added that while exports have been hurt severely in the past 12 to 18 months, a financial meltdown in Asia had been avoided.

"As a result, Asia is expected to lead the global recovery in 2010. Meanwhile, Asia, led by China and India, is expected to expand by 7 percent this year from 4.5 percent last year," Dr. Lyons said in a seminar entitled "A Post Crisis World: Implications for Asia" held here. Meanwhile, SCB Indonesia Economist, Fauzy Ichsan, said that positive Indonesia Gross Domestic Product (GDP) growth in 2009 was helped by infrastructure spending which helped drive investment growth .High commodity prices also added a boost, while international investors were reassured by Indonesia's status as the world's third largest democracy following successful presidential and parliamentary member elections in 2009.Positive economic performance indicators amid the crisis were also demonstrated by the enormous 123 percent growth at the Jakarta composite index and the 16 percent strengthening of Indonesia's Rupiah value against U.S. dollar last year. "We are optimistic with Indonesia's economic outlook in 2010 as we expect that GDP growth to rise to 5.5 percent," Fauzy said, adding that Indonesia's GDP growth fell from 6.1 percent in 2008 to 4.4 percent in 2009.

From http://english.people.com.cn/ 01/18/2010

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Asia Wealth Management Space to Grow by 15 to 20% in 2010

SINGAPORE: Citi Private Bank said the wealth management market in Asia could grow by between 15 and 20 per cent this year barring unforeseen events. This compared with 15 to 16 per cent growth in 2009. The bank also expects more volatility in financial markets this year compared with 2009 as government stimulus packages are removed. Wealth for high net worth individuals is set to grow in China and India to the tune of over US$4 trillion by 2018, according to an industry report by Capgemini and Merrill Lynch. It will be driven by domestic consumption in the two economies. In Asia Pacific, the total wealth of the region's rich may grow at a compound annual rate of 12.8 per cent between 2006 and 2013, the highest among other regions. This means expansion opportunities for private banks.

Aamir R Rahim, CEO, Asia Pacific, Citi Private Bank, said: "We are hiring in markets with significant growth. Obviously, China and India remain a focus in terms of both the development of local markets as well as the creation of wealth. "We also see opportunity in Southeast Asia, Indonesia and Singapore. So we will be hiring into each one of the countries and strengthening our coverage and product platforms. Citi believes many asset classes will no longer see the heady gains of 40-60 per cent achieved in 2009. Returns in Asia are likely to be around 10 per cent this year, mostly front-loaded in the first quarter. Citi prefers equities to bonds, and will put money in emerging markets. It said the Asian real estate sector could lose some steam in 2010 with anti-speculative measures introduced by governments. It also advises caution with commodities.

Norman Villamin, director & head, Investment Analysis, Asia Pacific, Citi Private Bank, said: "Gold and oil is going to flatten out in 2010 because the tail winds that supported them in 2009 are starting to recede. "One, we don't think you are going to see the upside surprises of global growth that carried them in 2009. We don't think you are going to see that magnitude of inventory rebuilding that occurred in the early part of 2009. "While we do expect the dollar to be weak, we don't think it is going to be as broad based and large as the weakness we saw in 2009. So as a result, we think oil bounces around here about 80 dollars a barrel, we think gold similarly bounces around at 1,100 dollars plus or minus per ounce." Citi Private Bank said the healthcare sector is one bright spot going forward. For instance, consumption of healthcare services in China has grown by 20 per cent in the last five years and its drug market is expected to grow more than 20 per cent annually. Citi said the risks ahead include regulatory changes and policy tightening, which may moderate earnings expectations and price-earnings multiples. - CNA/vm

From http://www.channelnewsasia.com/ 01/19/2010

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Asia's 'Golden Age'

The next 10 years might well be a 'golden age' for Asia, and the region could even become a new source of prosperity and stability for the world, Dr Tony Tan, deputy chairman of the Government of Singapore Investment Corporation (GIC), predicted yesterday (January 18).That is because Asian countries - together with other emerging markets such as Brazil and Russia - will power global growth in the coming years, and the world's investors will want to invest more in them. But success will depend on the skill of Asian policymakers in dealing with the economic risks ahead, he warned. Dr Tan was crystal ball-gazing at an economic forum organized by Taiwan's prominent Common Wealth magazine in Taipei. In a keynote speech to 550 businessmen, he outlined how the world was likely to change after the global financial crisis.

The good news, he said, was that a global depression had been avoided. Global growth could hit 3 per cent to 4 per cent this year, up from a contraction of nearly 2 per cent last year.But growth is likely to be uneven, with the strongest showing coming from the emerging economies, especially Asia. He emphasized that the United States and key parts of Europe would take much longer than people think to recover. "The current recovery could be strong, at least in the short-term, but even the most optimistic economist expects the bounce to be much weaker than what has occurred in the past," he said. "In the US, growth could be moderately strong in the first half of 2010 before slowing down to a below-average pace. "This is why Dr Tan expects a 'tipping point' in the next 10 years which would see emerging markets - anchored by the 'Bric' economies of Brazil, Russia, India and China - becoming important, if not dominant, world actors.

Investors, for example, will put more of their money into these economies. "Far from being a risky and perhaps alternative part of their portfolio, emerging markets will become a core and unavoidable asset class," he predicted. GIC is one of the largest sovereign wealth funds (SWFs) in the world. SWFs have emerged in recent years as some of the most powerful institutional investors in financial markets. But there are also geopolitical risks as economies such as China eventually grow larger than their developed counterparts, said Dr Tan, a former Singapore deputy prime minister and defence minister. The Bric economies may want a bigger say on world affairs, he noted. Conflicts and higher commodity prices could also result from greater competition over natural resources such as energy, arable land and key commodities.

And while the US, which is likely to be dominant in military power for decades, will still 'carry out most of the heavy lifting in global trouble spots', it will be itself heavily reliant on some of these emerging economies to finance its large public debt. With banks in Europe and the US weak, Asian financial markets and institutions have a "once in a lifetime" chance to "step into the breach". Emerging markets will become a leading source of investment and credit to supply the massive capital needed to finance Asian growth, and become large players in new and old financial markets, he predicted. But Dr Tan also warned that policymakers in the emerging economies will have to expertly manage risks such as rising inflation and price spikes in the property and stock markets.

"These have not, in general, hit their previous peak, and can be justified by positive fundamentals, but continued low interest rates could push prices higher, and eventually lead to bubbles," he said. Policymakers in Asia may be tempted to intervene and regulate markets, Dr Tan noted. But he urged governments to find a balance between private sector leadership and government intervention when it comes to managing the financial sector. Another key area for balance is in Asian growth models, he said, adding that relying less on exports and more on services and domestic consumption will benefit Asia in many ways, such as reducing income inequality and pressure on the environment.

From http://www.asianewsnet.net/ 01/19/2010

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Asian Users Anxious Over Social Networks

With increasing cyber criminal activities specifically targeting social networks, consumers in the region are now more wary about how these sites identify their users, according to a report released Wednesday. In a survey conducted by security vendor RSA, 67 percent of respondents in Asia indicated the need for social networking sites to strengthen the level of security used to identify users. This number was higher than the United States and Europe, where only 48 percent in each of the two regions indicated likewise. The RSA survey polled 4,500 respondents globally, 1,100 of whom were from five Asian markets: Singapore, Malaysia, India, China and Japan. According to RSA, which is the security arm of EMC, 20 percent of online attacks are now targeted at social networking sites, which have become hotspots for cyber criminals looking to initiate phishing attacks, spread malware and hijack user accounts.

Not surprising then that 86 percent of survey respondents in Asia indicated they were concerned about their personal information being accessed or stolen at such sites. Some 94 percent Asian respondents were also anxious about such security breaches on their online banking site, compared to the global average of 86 percent. This concern also extended to other portals including healthcare, highlighted by 92 percent of Asian respondents, and government (83 percent) sites. Because of these concerns, 88 percent said their banks should apply a stronger form of security to identify users when they log into the banking site. This number is higher than the global average of 80 percent. Some 88 percent of Asian respondents also said they expected their banks to monitor their online banking accounts to identify unusual activities

Despite their anxiety, only 75 percent of consumers in this region said their concerns over security would impact their willingness to provide personal information or interaction with such Web sites. Some 92 percent said they had conducted an online banking transaction in the last month, while 80 percent had made an online purchase. Consumer worry intensified when services move to the mobile platform. Only 51 percent of respondents in Asia said they felt secure using mobile banking services, and 93 percent called for banks to implement stronger security measures for the platform. In fact, 90 of respondents in the region said they were willing to use enhanced security measures if they were implemented at their online banking site.

Drawing a direct correlation between an e-tailer's security well-being and user confidence, RSA said security is most often cited as the primary reason why consumers hesitate to transact online. The IT vendor pointed to a case study of how a U.K. bank clocked a 20 percent increase in online transactions, one month after it implemented a new authentication system. "Consumer onfidence and the willingness to transact online was clearly correlated. In Asia, when consumers were asked how stronger security would impact their confidence in transacting online, 95 percent stated they would be more confident," RSA said. Lowdown on vishing, smishing Consumer anxiety over security breaches, however, remains high.

A whopping 97 percent of Asian respondents said they were concerned about the threat of phishing, with 30 percent admitting that they had fallen victim to phishing e-mail attacks. Half of the respondents in China acknowledged they had been a victim of a phishing attack, compared to 38 percent in India and only 6 percent in Japan. RSA attributed the significant number of phishing victims in the region to the use of more sophisticated and targeted attacks deployed by cyber criminals. "For example, many phishing e-mail [attacks] today directly replicate the design of a legitimate communication from a bank, online retailer or other organization and lack the poor grammar that once made phishing attempts so obvious. Therefore, it is not a surprise that more consumers are falling victim to phishing scams."

In addition, the volume of such attacks has increased significantly, clocking in "record-breaking figures" for three consecutive months. However, while respondents were highly aware of phishing attacks and Trojans, they were less knowledgeable about newer threats such as vishing and smishing, which refer to voice-based phishing and phishing via SMS or text messages, respectively. Just 31 percent of Asian consumers knew what vishing was, while 41 percent were aware of smishing. RSA noted that the growing number of vishing attacks, which climbed fourfold over the past 12 months, alongside the apparent lack of user awareness will prove to be a cause of concern for such attacks in Asia this year.

From http://www.zdnetasia.com/ 01/20/2010

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IT Services Market in AP to Hit US$48.7B

The Asia-Pacific IT services market will rebound to its growth trajectory to reach US$48.7 billion in 2010, notes IDC in a report Wednesday. The research house said recovery will see a rise of 9.3 percent, over 6.5 percent in 2009. This growth will be driven by continued demand for outsourcing as hosted and managed services gain prominence in the Asia-Pacific region, excluding Japan. According to the research firm, cost management will still be the top concern for most organizations. However, as cautious optimism returns to the market, selective investments will be made to take advantage of the potential recovery in 2010. Philip Carter, Asia-Pacific associate research director for IT services at IDC, noted in the report that the financial turmoil in 2009 forced CIOs in the region to evaluate new service and delivery pricing models. The key focus was to "de-capitalize" IT in the face of significant budget constraints.

"As a result, the financial model of the cloud and 'everything-as-a-service' became more attractive. This has set the scene perfectly for the locus of power to shift from traditional enterprise hardware and software vendors to the services players, particularly in cloud services, in 2010," explained Carter. He added that organizations that can successfully integrate these new models into existing technology architectures, and vendors that can develop mindshare with CIOs, will be best placed to "ride the recovery wave" in 2010. Top 10 IDC predictions for the region's IT services sector in 2010:

1. Locus of power will move from the enterprise customer to the provider of services. Private clouds will become increasingly important to enterprises in 2010, and there will be fundamental changes within information, communications and technology (ICT) in the next three years as users consistently adopt externally sourced services.

2. "Chargeback" will "charge back" onto the CIO agenda. According to IDC, the IT world has been considering a capital expenditure (CAPEX) to operating expense (OPEX) migration even before the economic crisis. In 2010, there will be more emphasis on the need to justify the "business value" of IT infrastructure demands.

3. Services "productization" to move up the value chain. Service providers will look to adopt a template-based model for consulting services related to business transformation, compliance, governance and risk management.

4. System integration 3.0: New models = New services. IDC predicts that the adoption of cloud solutions, hosted delivery models and data center transformation will drive the need for a new system integration engagement model.

5. Emergence of Intelligent X: The services opportunity. Driven by a mix of government stimulus packages focused on e-governance initiatives and environment sustainability, where carbon footprint and intelligent infrastructure implementations will be the next big wave for public-private investment in 2010 and beyond.

6. Business process outsourcing (BPO) versus knowledge process outsourcing (KPO). Drivers for divestiture of captive BPOs are the lack of growth opportunities, need for a cash flow influx, focus of management on strategic and core activities. KPO will still be retained by the parent as organizations continue to be wary of outsourcing intellectual property.

7. Business analytics and pricing innovation will collide in the KPO market. IDC predicts that analytics will be incorporated into broader KPO engagements to lower costs, which will include a significantly higher proportion of business outcomes-based type of model.

8. The "Mobius strip" of business continuity will enter the boardroom. Business continuity and disaster recovery will become an integral part of the business strategy planning because of security concerns and business risk mitigation.

9. Connectivity and convergence: Growth in next-generation network services. Flexibility, customization of services, enhanced quality of service and reliability will drive the transformation toward next-generation "all-IP"-based networks.

10. Infrastructure vendors will make the most of the setting Sun. Infrastructure vendors will capitalize on Sun's decline in the market by building competitive strategies such as channel recruitment and target multi-vendor environments.

From http://www.zdnetasia.com/ 01/20/2010

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Asia Pacific CIOs Expect Economic Recovery in 2010

Chief information officers (CIOs) in the Asia Pacific are optimistic of economic recovery this year, according to a recent study. However, reducing expenditures, justifying return on investment and going "green" are some of the top concerns that they know they have to face this year. These results were recently released by Hitachi Data Systems based on a survey of CIOs and senior IT representatives of top enterprises across the region who attended its CIO summit at Kota Kinabalu, Malaysia, in early November 2009. In a report titled 'The CIO Roadmap to Recovery', 86 per cent of CIOs said they believe that the economy will recover this year. However, 68 per cent said they would be more "cautious and conservative" in their business approach as 64 per cent of the respondents said reducing capital expenditures and operating expenditures are equally important to them.

"CIOs are challenged with flat IT budgets while managing the surge of data. As businesses gradually move towards recovery, CIOs need to take a hard and in-depth look at the areas that contribute towards building a resilient IT framework that will deliver results and help organizations to succeed during an upturn," said Ravi Rajendran, vice president and general manager for ASEAN, Hitachi Data Systems. Cost concerns Half of the respondents said reducing operating expenses is of utmost importance for them this year and this should take precedence over any other technology considerations. Other top technology considerations for them are dynamic provisioning (20 per cent of respondents), storage virtualization (13 per cent), archiving and compliance (10 per cent), or developing a storage cloud strategy (seven per cent).

Given this scenario, Rajendran said Hitachi Data Systems can help companies reduce costs through the strategic use of technologies such as virtualization and dynamic provisioning to automate performance and increase utilization. Cost concerns also weigh on the adoption decisions of CIOs. While 73 per cent of the respondents said they would consider themselves as "pioneers" in adopting new technology, almost 50 per cent of them also said the inability to calculate the financial returns on IT investments is stopping them from investing in new infrastructure. Another priority among the CIOs surveyed was sustainability. Ninety-seven per cent of those surveyed said keeping their data centers green is a priority for their companies. Going green is seen as a means to reduce cost and at the same time save the environment. Ten per cent said going green is an environmental priority while seven per cent said it is an operating expenditure priority.

Scenarios for recovery The report concluded with three possible scenarios on how economic recovery will take shape this year: a. "self-sustaining recovery" where employment numbers and income would go up; b. slow recovery as companies remain cautious; and c. double-dip outcome before recovery is sustained. There are different strategies to address these economic scenarios, the report added. "CIOs and IT professionals will need to keep the IT organization and infrastructure lean and well-utilized, while ensuring that everything can be quickly scaled up or scaled out when required," the report read. Despite the challenges, the report added that IT should not be a barrier to move forward. "The name of the game is flexibility," the report concluded.

From http://www.networkworld.com/ 01/21/2010

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CHINA: Sets Up Intellectual Property Right Protection Aid Centers

According to Xinhuanet.com, China's State Intellectual Property Office has approved the establishment of 61 intellectual property rights protection aid centers and launched a special nationwide hotline (12330) dedicated to IPR protection aid in an effort to encourage individuals, lawyers and organizations to actively respond to intellectual property disputes. The IPR protection aid service is available to Chinese citizens and legal persons who can't afford the cost involved in the processing of intellectual property disputes and lawsuits due to financial difficulties or who encounter intellectual property issues beyond their own solving capabilities. The IPR protection aid center mainly provides IPR consulting, IPR analysis, IPR pre-warning and fund support to the eligible parties. These parties shall submit an application for aid in their own domicile or permanent residence area, or the domicile or habitual residence of the violation party.

From ht