The yuan became the most widely-used currency for cross-border transactions in China in March, overtaking the dollar for the first time, official data showed, reflecting efforts by Beijing to internationalise use of the yuan.
Cross-border payments and receipts in yuan rose to a record $549.9 billion in March from $434.5 billion a month earlier, according to Reuters calculation based on data from the State Administration of Foreign Exchange.
The yuan was used in 48.4% of all cross-border transactions, Reuters calculated, while the dollar’s share declined to 46.7% from 48.6% a month earlier.
The volume of cross-border transactions covers both the current and capital accounts.
China has long been promoting the use of yuan to settle cross-border trades as part of an efforts to internationalise the use of its currency.
The yuan’s use in global trade finance remains low, though it has shown steady increases.
Being tucked between two Pacific giants, the Philippines has historically had to tread carefully when managing the clashing interests of Beijing and Washington, an intricate juggling act that has been vividly on show in recent weeks.
In addition to staging the largest joint military exercises with the US to date, the Philippines has had a very busy diplomatic month in April. China, which has grown increasingly alarmed and vocal about the archipelago’s defense ties, sent a top envoy to the country.
There was a sensitive period in US-Philippine relations only a few years ago.
The country’s then leader, Rodrigo Duterte, routinely launched obscenity laden rants against US counterpart Barack Obama while downplaying longstanding territorial disputes with Beijing and seeking to attract investment from its giant neighbor to the north.
But the election of his successor, Ferdinand Marcos Jr, last year has returned relations to a more even keel, in part because Manila has become wary of a more assertive China.
Marcos Jr, who has been on a charm offensive to mend ties with Manila’s historical ally, is set to fly to the United States to meet with President Joe Biden in Washington next week.
He visit caps a month of frenetic exchanges with the United States.
More than 12,000 American troops joined some 5,000 soldiers from the Philippines over the last three weeks to take part in the largest “Balikatan” joint military exercises to date, an event Beijing’s state-run media has labeled an “attempt to target China.”
The climax of the war games came Wednesday when US and Philippine forces fired on a mock enemy warship in the West Philippine Sea, the part of the South China Sea that encompasses the Philippines Exclusive Economic Zone.
Just as those drills kicked off, the US also hosted two top diplomats from the Philippines, for talks during which both sides agreed to complete a roadmap for the US to provide security assistance to its regional ally the next five to 10 years, US Defense Secretary Lloyd Austin said in a “2+2 meeting” in Washington.
Last year the US granted $100 million to boost the Southeast Asian country’s defense capabilities and military modernization. It also plans to allocate $100 million for the improvement of military bases to which the US has access under the Enhanced Defense Cooperation Agreement (EDCA).
In February, the Philippines granted new rights to the US military to add four bases to the five originally covered under the EDCA. The new facilities include three on the main island of Luzon, close to Taiwan, and one in Palawan province in the South China Sea (SCS).
That appears to have alarmed China.
Earlier this month Beijing’s ambassador in Manila, Huang Xilian, accused the Philippines of “stoking the fire” of regional tensions by offering expanded military base access to the US, saying that the goal was to interfere in China’s affairs with Taiwan.
China’s ruling Communist Party has never controlled Taiwan but claims the self-ruled island democracy as its own and has repeatedly refused to rule out taking it by force, a threat which Manila perceives as reason to ramp up its guard with help from Washington.
Huang also appeared to threaten overseas Filipino workers (OFWs) in Taiwan, which prompted a backlash in the Philippines.
“The Philippines is advised to unequivocally oppose ‘Taiwan independence’ rather than stoking the fire by offering the US access to the military bases near the Taiwan Strait, if you care genuinely about the 150,000 OFWs,” Huang said.
National Security Council spokesperson Jonathan Malaya responded to the Chinese ambassador’s remarks by saying that “the Philippines has no intention of interfering in the Taiwan issue,” and added that the EDCA sites were “not meant for offensive operations against China or for interference in the Taiwan issue.”
With tensions high over the Beijing ambassador’s comments, Chinese Foreign Minister Qin Gang arrived last Friday for a three-day visit to Manila, where he met with Marcos Jr and Foreign Secretary Enrique Manalo.
The readouts suggested both sides were keen to calm the waters with Marcos Jr announcing “more lines of communications” to resolve conflicts between the two countries over the West Philippine Sea and Manalo also pledging to “overcome difficulties and interference.”
Qin said Beijing hoped the Philippine side would “properly handle Taiwan-related and maritime issues in line with the overall interests of regional peace and stability.”
Analysts say the positioning of the Philippines makes the archipelago vital for anyone wanting to project power across the Pacific.
“The Philippines is crucial in safeguarding the national security interests of both China, as well as the security or strategic interests of the United States in the Pacific,” said Aries Arugay, a visiting fellow at Singapore’s ISEAS-Yusof Ishak Institute.
“And this is why both superpowers are very sensitive every time the Philippines is being perceived as leaning more towards one or the other,” he added.
What the last month has shown, added Anna Malindog-Uy, vice president of the Asian Century Philippines Strategic Studies Institute (ACPSSI), is that Filipinos “do not want to be compromised for the geopolitical interests and agenda of the United States in the region.”
Manila may be thousands of miles away from Washington, but their defense alliance dates back to the end of World War II, as America sought to protect its interests in the Pacific.
The Philippines was a former US territory and used to be home to two of the US military’s largest overseas installations, Clark Air Base and Subic Bay Naval Base, which were transferred to Philippine control in the 1990s.
A mutual defense treaty signed in 1951 remains in force, stipulating that both sides would help defend each other if either were attacked by a third party.
Moderninzing the Philippines’ military capabilities by working with the US, and establishing well-connected regional defense cooperation with players like Japan, South Korea and Australia, is a priority for Marcos Jr, according to Richard Heydarian, senior lecturer in international relations at the University of the Philippines Asian Center.
Heydarian describes the approach as a “multi-vector foreign policy of maximizing ties with all major powers without excessively relying on any one of them.”
“He’s doubling down in the Philippines’ alliance with the United States so that we deal with China from a position of strength,” Heydarian said.
Heydarian added that China has to rethink its strategy towards the Philippines, as the Marcos Jr administration is openly more aligned with the US.
China remains one of the top trade partners of the Philippines, while Marcos Jr also continues to negotiate energy and agriculture investments from Beijing.
But Manila’s growing caution towards Beijing in recent years has been furthered by recent maritime aggressions – including accusations China used a high-powered laser against a Philippine Coast Guard vessel in February – Beijing’s increased drills around Taiwan as well as maritime patrols in the South China Sea, said Chong Ja Ian, an associate professor at the National University of Singapore.
“These give the Philippines a lot of reason for caution towards Beijing. But at the same time, they do want to keep relations with Beijing on an even keel,” Chong said.
Supportfor the expanded defense ties with Washington is far from unanimous.
Some worry Marcos Jr might be giving too much access to the US, especially when it comes to bases and facilities close to Taiwan, Heydarian said.
The president’s own sister, Sen. Imee Marcos, has publicly questioned why the Philippine government should rely on foreigners for its external defense, urging for defined limitations on the EDCA pact should the country be dragged into regional conflict.
As the US-China rivalry intensifies the Indo-Pacific, their competition for influence has been localized within the Philippines, particularly in the provinces where American bases are located, Arugay added.
There were pockets of protest in Cagayan province, the northern mountainous region where three out of the four new EDCA sites are to be built.
At least 5,000 people in Cagayan held demonstrations and prayer rallies, as they believed that America’s self-interest were prioritized before the native residents, according to the Cagayan Provincial Information Office.
The defense minister of India warned his Chinese counterpart on Thursday that incursions into their shared border threaten the “entirely basis” of their bilateral relations.
Before a regional security forum on Friday, Indian Defense Minister Rajnath Singh made the remarks during a meeting with the recently appointed Chinese Defense Minister Li Shangfu in New Delhi.
The two military chiefs had “frank discussions about the developments in the India-China border areas as well as bilateral relations,” the Indian military Ministry stated in a statement after their meeting.
In apparent reference to deadly border clashes that claimed the lives of multiple soldiers on both sides three years ago, Singh “categorically conveyed that development of relations between India and China is premised on prevalence of peace and tranquility at the borders,” the statement said.
“He reiterated that violation of existing agreements has eroded the entire basis of bilateral relations and disengagement at the border will logically be followed with de-escalation,” the statement added.
It is the first such encounter on Indian soil between the two defense chiefs since deadly clashes along their disputed border in Aksai Chin-Ladakh in 2020. Tensions between the two countries have been simmering ever since, and escalated in December when a brawl between troops from both sides in the Tawang Sector of India’s northeastern territory of Arunachal Pradesh resulted in minor injuries.
The lengthy disputed border has long been a source of friction between New Delhi and Beijing, with the agitation spilling into war before. In 1962 a month-long conflict ended in a Chinese victory and India losing thousands of square miles of territory.
In a readout of the meeting released by China’s Defense Ministry, Li said that “as of now,” the situation on the border is stable. “Both sides should take a long-term view, place the border issue at an appropriate position in our bilateral relations, and promote the normalization of the border situation as soon as possible,” said the statement.
Li is visiting New Delhi alongside counterparts from Russia and several Central Asian countries to attend the security summit of Shanghai Cooperation Organization’s (SCO) defense ministers in New Delhi on Friday. His visit comes four days after India and China concluded the 18th round of talks to attempt to resolve the border issue.
Ahead of his visit, China’s Ministry of Defense said Li will “communicate and exchange views on issues of the international and regional situations as well as defense and security cooperation,” at the SCO gathering.
Earlier this month, he met Russian President Vladimir Putin in Moscow in his first overseas trip since assuming the role, as China and Russia continue to bolster ties while Western countries ramp up pressure on Beijing to push Putin to end his war against Ukraine.
Li, a general and veteran of China’s military modernization drive, was sanctioned by the United States in 2018 over transactions with Russia’s state-controlled arms exporter Rosoboronexport, when he led the Chinese military’s Equipment Development Department.
India, which is moving closer to the US as it tries to counter the rise of an increasingly assertive China, also relies heavily on Russian arms to equip its military.
India assumed the chair of the SCO summit in 2023. The grouping’s foreign ministers are expected to meet in the western Indian coastal state of Goa on May 4-5.
Pakistan’s Foreign Minister Bilawal Bhutto Zardari’s visit to the country will be the most senior-level one in seven years.
Ya the giant panda arrived in Shanghai on Thursday after spending the previous 20 years on loan at the Memphis Zoo in Tennessee.
The journey of the well-known panda was extensively monitored online.
Screenshots of Ya Ya’s flight path into Shanghai were published online.
“Finally back at home!” cheered one user in response to the news.
Others asked for a live broadcast of the arrival, which was reported by Chinese state media and claimed four of the top 10 trending topics on the social media platform Weibo.
An image from Chinese broadcaster Phoenix News was particularly popular among Chinese social media users. It showed Ya Ya relieving herself before the trip and leaving the poop as a present for the zoo.
The zoo held a farewell party for Ya Ya earlier in April and said it would miss the panda. Her departure marks the end of a 20-year loan agreement with the Chinese Association of Zoological Gardens.
Ya Ya was born Aug. 3, 2000, in Beijing. She lived at the Memphis Zoo along with Le Le, a male panda who was born July 18, 1998. Le Le died in February.
The life expectancy of a giant panda in the wild is about 15 years, but in captivity they have lived to be as old as 38.
Earlier in 2023, after the 20-year loan agreement ended without renewal, allegations of neglect and abuse circulated on Chinese social media alongside pictures of Ya Ya with her fur discolored and patchy.
The Memphis Zoo said in a statement the panda’s quality of life was not affected by her fur condition, noting that they reported monthly to the Chinese Association of Zoological Gardens about the panda’s health.
According to the statement, “Ya Ya also lives with a chronic skin and fur condition which is inherently related to her immune system and directly impacted by hormonal fluctuations.”
A veterinarian accompanied Ya Ya to care for her health needs on the way to Shanghai, the zoo said.
President Zelensky of Ukraine has been informed by Chinese President Xi Jinping that China will send a special representative to his country.
Following Beijing’s declaration that it wished to serve as a peace mediator in Russia’s war against Ukraine, Mr. Xi spoke by phone with Volodymyr Zelenskyy on Wednesday, according to state media. This action was long overdue.
The phone call’s contents were not immediately made public.
Zelensky tweeted after the call, “I had a long and meaningful phone call with President Xi Jinping.”
‘I believe that this call, as well as the appointment of Ukraine’s ambassador to China, will give a powerful impetus to the development of our bilateral relations.’
China has tried to appear neutral in the war but refused to criticize Moscow’s invasion of Ukraine.
The Chinese government released a peace proposal in February and called for a cease-fire and peace talks.
Mr Xi and Russian President Vladimir Putin issued a joint statement before the February 2020 invasion saying their governments had a ‘no limits friendship.’
‘Negotiation is the only viable way out,’ state TV said in a report on Mr Xi’s comments to Zelenskyy.
‘There is no winner in a nuclear war,’ the report said. ‘All parties concerned should remain calm and restrained in dealing with the nuclear issue and truly look at the future and destiny of themselves and humanity as a whole and work together to manage the crisis.’
China has ‘always stood on the side of peace’, state media reported following the call.
‘On the issue of the Ukraine crisis, China has always stood on the side of peace and its core position is to promote peace talks,’ CCTV reported Xi as saying during the conversation.
According to mission designer Zhang Rongqiao, China’s Zhurong rover on Mars has been in slumber since last May because of a “unpredictable accumulation” of dust, according to Chinese state broadcaster CCTV.
Zhurong, a solar-powered spacecraft, landed on Mars’ northern hemisphere’s Utopia Planitia on May 15, 2021, and went into hibernation there last May for the winter.
Since then, the rover has been dormant. “According to our analysis, the biggest possibility is that because of unpredictable accumulation of Martian dust, its power generation capacity was reduced and it was too low to wake itself up,” Rongqiao said.
He said the rover is expected to automatically wake up when the light and weather conditions improve with temperatures inside the cabin surpassing -15 degrees Celsius (5 degrees Fahrenheit) and when there is enough sunlight to charge the battery to at least 140 watts.
While he acknowledged there is a possibility the rover may never exit hibernation if dust accumulation exceeds 40%, he stressed the rover’s dormancy is “within our expectation.”
The rover’s primary mission, which lasted for three months, was to search for signs of ancient life. It investigated the minerals, environment and distribution of water and ice in the plain, which is all part of the largest impact basin in the Martian northern lowlands.
The data collected by the rover has found evidence suggesting water persisted on Mars for much longer than expected, findings that were published last year in a study in the journal Science Advances.
Rongqiao said the rover was designed to have a working duration of 90 days on Mars, but has so far worked 358 days and traveled 1,921 meters (6,302 feet) on Mars.
Martian winters can be tough on any spacecraft exploring the red planet, when more dust becomes lofted in the air, which obscures sunlight from reaching solar panels, and the planet’s already frigid temperatures drop even lower. NASA’s Ingenuity helicopter experienced issues during the same Martian winter that caused Zhurong to go into hibernation, although the chopper weathered the season and just completed its 50th flight on Mars.
Rovers and landers are no strangers to the risks that the Martian environment poses. The NASA InSight lander’s mission came to an end in December after spending nearly 1,500 days on Mars. Mission managers declared the program’s end after the lander failed to respond to two messages from mission control at NASA’s Jet Propulsion Laboratory in Pasadena, California.
The mission ended more than four years after it first landed on November 26, 2018, revealing new information about the interior of Mars. Designed to last for only two years, InSight’s mission was extended twice. But a heavy accumulation of dust on its solar panels caused a steady drop in the lander’s power source.
More than eight months after being detained amid heightened tensions across the Taiwan Strait, a political activist from Taiwan has officially been taken into custody on suspicion of “secession” in China.
Last August, just hours after former US House Speaker Nancy Pelosi concluded her crucial trip to Taipei, Yang Chih-yuan, a lawmaker and democracy advocate, was seized by Chinese state security in Wenzhou, Zhejiang province.
The visit enraged Beijing, which responded by holding days of extensive military maneuvers and launching missiles over the autonomous island, raising tensions to their worst level in decades.
Yang’s fate remained unknown for months.
But on Tuesday, China’s Supreme People’s Procuratorate announced on social media that prosecutors in Wenzhou had approved the arrest of Yang on secession charges, after the city’s state security bureau concluded its investigation and handed the case to the prosecutors for “review and prosecution.”
The statement did not mention when Yang will appear in court.
Taiwan’s Mainland Affairs Council said they had repeatedly reached out to mainland authorities about Yang’s detention but had not received a direct response.
“The government reiterates that Yang is innocent and calls on the Chinese Communist Party to release Yang and allow him to return to Taiwan as soon as possible,” the council said in a statement to CNN Tuesday.
Yang, 33, has been active in Taiwan’s social movements for more than a decade and once contested for a seat in Taiwan’s legislature, which he did not win.
In 2019, he became the vice chairman of the Taiwan National Party, a fringe political party advocating Taiwan independence. The party is now defunct, according to Taiwan’s Ministry of the Interior.
China’s state broadcaster CCTV reported on August 3 last year that Yang was taken into custody by the state security bureau in Wenzhou for engaging in “separatist activities” supporting Taiwan independence and endangering national security.
China’s ruling Communist Party claims Taiwan as its own territory, despite having never controlled it, and has refused to rule out the use of force to “unify” the island with mainland China.
Under leader Xi Jinping, China has stepped up crackdown against perceived threats from both within and outside the country, arresting Chinese and foreign nationals for endangering “national security” – a broadly and vaguely defined concept under Chinese law.
Non-mainland Chinese citizens have also been imprisoned for national security crimes. Taiwanese human rights activist Lee Ming-che, for example, was sentenced in 2017 to five years in prison for “subverting state power.” Lee was released last year after serving his full sentence.
CCTV said Yang had long advocated the idea of “Taiwan independence” and founded the Taiwan National Party to push for Taiwan to become an independent, sovereign country and a member state of the United Nations.
The broadcaster aired footage showing a handcuffed man purported to be Yang being held by two officers, as the police went through his phone, wallet and other personal belongings.
In a subsequent report, CCTV said Yang had been placed under “residential surveillance at a designated location” from August 4 – a form of secrete detention frequently applied to national security cases in China that United Nations human rights experts say tantamount to enforced disappearance.
Authorities in Beijing and Taipei have not given any explanation as to why Yang had traveled to the mainland.
However, Taiwan’s Mainland Affairs Council reminded Taiwan citizens to evaluate the risks before traveling to mainland China, citing the “repeated occurrence of similar cases recently,” without elaborating on the incidents.
“When the epidemic on both sides of the strait is gradually slowing down and people on both sides are hoping to resume normal exchanges, the mainland arbitrarily arrested Taiwanese people, seriously harming the rights and interests of our people and creating fear,” it said in a statement to CNN. “This is bound to be detrimental to the exchanges and interactions across the strait.”
News of Yang’s formal arrest comes as concerns are mounting for a Taiwan-based book publisher, who reportedly has been detained in China since March, according to Taiwan’s Central News Agency (CNA).
Li Yanhe, better known by his pen-name Fu Cha, was reportedly detained by police in Shanghai in March, shortly after he arrived in China to visit his family and deal with residency-related issues, the CNA reported.
Last week, an official with Taiwan’s Mainland Affairs Council said Li was “safe,” but declined to provide further details citing the wishes of his family.
A group of 40 Taiwan and international writers, scholars and media workers have issued a joint statement calling for Li’s release, according to the CNA.
Li’s company Gusa Publishing said in a statement Monday on Facebook that it will stop commenting on the case out of respect for Li’s family’s positions but thanked the public’s support for Li.
It declined to comment when contacted by CNN Tuesday.
In the trial of Pras Michel, a former member of the Fugees who the Justice Department claims is the central figure in a multimillion-dollar international conspiracy, jurors will start deliberating on Monday morning.
Leonardo DiCaprio and the former Attorney General Jeff Sessions both testified during the three-week trial, which led the jury through a long seven-year story of alleged corruption, greed, and foiled schemes.
Prosecutors contend that Michel was paid millions by Low to secure access to both the Obama and Trump administrations and that he attempted to use those connections to advocate on Low and China’s behalf.
In 2012, Low paid Michel $20 million to help Low get a picture with then-President Barack Obama, Michel testified last week. Michel funneled over $800,000 of that money to the Obama Victory Fund through various straw donors at several events attended by the President, prosecutors say.
Years later, according to prosecutors, Michel would receive over $100 million from Low to help advocate for the release of Chinese dissident Guo Wengui from the US to China and for the US government to stop its investigation into Low.
Michel – after learning of the Justice Department’s investigation, prosecutors say – sent letters in 2019 to the straw donors he passed money through, telling them the money was a loan they needed to pay back or face legal action.
Michel faces 10 charges including conspiracy, witness tampering and failing to register as an agent of China.
If convicted on each charge, Michel could face over a decade in prison. He has denied the accusations and pleaded not guilty.
Others that prosecutors say were involved with Michel in the alleged conspiracy have pleaded guilty, including George Higginbotham, who was employed at the time as a senior congressional affairs specialist at the Justice Department, and Elliott Broidy, a top Republican fundraiser.
Higginbotham pleaded guilty in 2018 to conspiring to make false statements to a bank. The former DOJ employee, according to the agreement, helped transfer tens of millions of dollars meant for lobbying efforts to stop US investigations into Low’s alleged role in embezzling billions of dollars from Malaysia’s sovereign wealth fund, 1MDB.
For his part, Broidy pleaded guilty in 2020 to conspiring to act as an unregistered agent in the secret lobbying campaign to try and influence then-President Donald Trump to drop the investigation into Low and 1MDB. Trump pardoned Broidy in January 2021.
Low, Michel’s co-defendant, is believed to be in China.
Michel testified during the weeks-long trial that he viewed the funds given to him by Low as “free money” and chose to spend it how he wanted, not at the direction of Low.
The former rapper testified he wanted to support Obama, who he called a historic candidate, and didn’t know he was breaking any laws by giving money to others for them to, in turn, donate to the campaign.
Again and again, Michel contested that money given to him by Low and other foreign nationals was either for his help in trying to get Low a picture with Obama or for investments into a media business he was building.
Michel also told the jury he was simply a connector, helping Low find counsel for civil charges brought by the US government and by letting government officials, including FBI agents, know that China wanted Guo extradited.
Defense attorney David Kenner stressed in closing arguments that there was no evidence Michel had willfully or deliberately violated any laws in taking the money and was acting largely on the advice of his financial manager and attorneys at the time.
The Federal Government of Nigeria’s federal government did not fall behind on interest payments to China for loans, according to the Debt Management Office (DMO) of Nigeria.
According to local media, Nigeria incurred a $90 million (£81 million) penalty after its debt to China increased to $240 million (£217 million) over the previous two years.
The country’s railway lines were supposedly renovated thanks to the financing.
The DMO referred to the accusations as untrue in a statement on Wednesday, asserting that Nigeria was completely committed to honoring its debt obligations and had not missed any deadlines for debt service.
“Nigeria remains unwaveringly committed to fulfilling its debt obligations in a responsible and timely manner,” the statement added.
It urged the public to ignore the reports. As of December 2021, the DMO said, Nigeria’s debt to China stood at $4.1bn. It was, however, silent on the current status of the Chinese loans to Nigeria.
Nigeria has in recent years suffered revenue losses following a spate of attacks on rail tracks and the kidnap of train passengers that resulted in the stoppage of train services on some routes for a while.
After a lengthy break in construction, China is now making “significant progress” on its fifth research center in Antarctica, according to a report by the Center for Strategic and International Studies (CSIS).
After several years of stagnation following the start of construction in 2018, the site now has new support facilities and the foundation for a larger structure, according to a report released on Tuesday by the Washington-based think group.
The conclusions were based on Maxar’s most recent satellite photos.
The site – a research station China has hailed as a means to expand its scientific investigation in the Antarctic – could also be used to enhance the country’s intelligence collection, according to CSIS.
China is far from alone in bolstering its presence and research activities in the frozen continent, where a number of countries including the United States, Britain, and South Korea all operate research stations.
But attention has turned to potential dual-use of China’s facilities amid increasing power competition with the United States and Western concerns about Beijing’s assertive foreign policy and surveillance capabilities.
The new station’s position, on Inexpressible Island near the Ross Sea, is triangulated with China’s other coastal stations on Antarctica to “fill in a major gap in China’s coverage” of the continent, and could support intelligence collection given its inclusion of a satellite ground station, according to the CSIS report.
The station’s position may enable China to “collect signals intelligence from US-allied Australia and New Zealand” and “collect telemetry data on rockets launching from newly established space facilities in both countries,” it said.
Once completed, the 5,000-square-meter (53,820-square-foot) station is expected to include a scientific research and observation area, an energy facility, a main building, a logistics facility and a wharf for China’s Xuelong icebreakers, according to CSIS.
In February 2020, a team of US inspectors visited the station, where they were hosted by station leader Wang Zhechao of the Polar Research Institute of China.
They found no military equipment or military support personnel at the site, according to a report of the inspection published by the United States State Department.
Once completed the scientific research at the station would focus on physical and biological oceanography, glaciology, marine ecology, zoology, atmospheric and space physics and geology, the account said, citing a 2018 draft Comprehensive Environmental Evaluation about the project submitted by China to an Antarctic Treaty Consultative Meeting.
China has established four scientific research bases in Antarctica since 1984, according to the Chinese Academy of Sciences.
A 2022 Department of Defense report on China’s military notes that “(China’s) strategy for Antarctica includes the use of dual-use technologies, facilities, and scientific research, which are likely intended, at least in part, to improve PLA (People’s Liberation Army) capabilities.”
China, however has stressed the scientific nature of its ambitions in the region.
In an address to researchers based in polar regions at the start of this year, then-Vice Premier Han Zheng hailed the teams’ contributions to “humanity’s scientific understanding and peaceful use of polar and ocean regions.” Han has since been appointed China’s vice president.
Under the 1959 treaty Antarctic Treaty, to which China is party, activities on the continent are restricted to “peaceful purposes.”
Military personnel are allowed to conduct scientific research, but may not set up bases, test weapons of carry out maneuvers.
As a terrible April heat wave continues to engulf much of the continent, with no sign of relief in sight, temperature records are being broken in nations all around Asia.
This week saw record-breaking high temperatures in various Southeast Asian nations, while the Indian subcontinent’s scorching heat has claimed the lives of more than a dozen individuals.
According to weather historian Maximiliano Herrera, Laos is the most recent nation to break a record after Luang Prabang hit 42.7°C (109°F) on Tuesday.
Over the weekend, Thailand topped 45°C (113°F) for the first time in its history, according to Herrera, using data from the Thai Meteorological Department. The northwest city of Tak reached 45.4°C Saturday, but large portions of the country have been in the upper 30s to low 40s since late March.
Earlier this month, Thai authorities issued a health alert for several provinces as the heat index was forecast to reach 50.2°C in the Bang Na district of the capital Bangkok. The heat index is what the temperature “feels like” and considers both air temperature and humidity to measure its impact.
On Tuesday, Thai Prime Minister Prayut Chan-o-cha expressed concern over “dangerously high temperatures in various parts of Thailand” and said in Bangkok’s Bang Na area, temperatures “could reach 52.3°C,” according to a statement from the prime ministers office.
Neighboring Myanmar set an April temperature record on Monday as Kalewa, in central Sagaing region, reached 44°C (111°F), Herrera tweeted.
April and May are typically the hottest months of the year for South and Southeast Asia as temperatures rise before monsoon rains begin and bring some relief.
But the heat in Thailand has been compounded by an intense smoggy season that has caused pollution levels to spike.
The tourist hotspot of Chiang Mai in the north ranked as the world’s most polluted city for seven straight days as smoke from forest fires and widespread crop burning deteriorated the air quality. At least one hospital in the city said it had reached “full ward capacity” as patients sought medical treatment for respiratory issues.
The scorching temperatures have also been widespread across China.
On Tuesday, the country saw temperatures as high as 42.4°C (108°F) in Yuanyang, in the southeast – only 0.3°C from the country-wide record for April, according to Herrera.
On Monday, more than 100 weather stations in 12 provinces broke their April temperature record, according to climatologist Jim Yang.
Although not record-breaking in most cases, the heat has also been prevalent – and deadly – across South Asia. Pakistan, India, Nepal and Bangladesh have all seen temperatures topping 40°C (104°F) for many days.
In India’s western Maharashtra state, at least 13 people died from heatstroke after attending a state award ceremony on Sunday. More than 1 million people attended the event in Navi Mumbai and between 50 to 60 people were hospitalized, according to a city police official.
Meanwhile, at least two states, Tripura in the northeast and West Bengal in the east, ordered schools to shut this week, as temperatures rose more than 5 degrees Celsius above normal, state governments said, Reuters reported.
Heat waves in India usually take place between March and July, but in recent years these hot spells have become more intense, more frequent and longer.
Last year, India experienced a searing heatwave, where parts of the country reached more than 49°C (120°F). As the impacts of the human-caused climate crisis accelerate and global temperatures continue to rise, scientists say heat waves will only become more common.
A 2022 study found that dangerous heat waves will be between three and 10 times more often by the turn of the century.
In the tropics, which encompasses much of Asia, people could be exposed to dangerous heat most days of the year, the study found. Days of “extremely dangerous heat” – which is defined as 51°C (124°F) – could double and experts say those levels of heat push the limits of human survivability.
Extremely hot temperatures across South and Southeast Asia are expected to continue. Meanwhile, cooler conditions are on the way for much of China as temperatures are forecast to fall from around 10°C (18°F) above average to 10°C (18° F) below average this weekend.
According to state-run CCTV, a hospital fire in Beijing, China’s capital, claimed at least 21 lives on Tuesday.
In an effort to escape the fire, which started in what Chinese state media described as the inpatient ward of Changfeng Hospital at around 1 p.m. local time (1 a.m. ET), people are seen in amateur video hanging from the building’s façade.
According to CCTV, 21 persons had sadly passed away as of 6 p.m. local time (6 a.m. EST). 71 other patients had to be evacuated.
This fire has killed more people in Beijing in recent years than the one that claimed 19 lives in a crowded two-story building in Daxing district, a southern suburb of the city, in 2017.
That tragedy prompted authorities to demolish large swathes of buildings deemed illegal or unsafe in the neighborhood and forced thousands of migrant workers out of their homes and businesses.
In videos shared on social media Tuesday, smoke can be seen billowing out of several hospital windows as people attempt to escape the blaze. At least one person appears to use a rope made from bedsheets to descend from a window to a lower level terrace.
Others people are seen either sitting on air conditioning units positioned on the exterior of the building, or trying to use the units to maneuver from one level to the next. One person is seen jumping from one level of the building to the lower terrace.
It is unclear if all those seen outside the building escaped the fire or not.
At least two ladders are seen leaning against the building amid rescue efforts.
Several other clips that showed the exterior of the building and were posted on Weibo have since been removed.
CCTV state media reports that the cause of the fire is under investigation.
A Sydney court denied bail to an Australian man who was accused of engaging in foreign interference by collecting money from alleged Chinese intelligence officers, citing the individual’s close ties to China as a flight risk.
Alexander Csergo, according to Magistrate Michael Barko, was a “sophisticated, worldly businessperson” who, prior to his Friday arrest, had been on Australian intelligence’s radar for some time.
Considering that Csergo had spent a considerable amount of time in China, Barko felt that the prosecution’s case against him was solid.
Csergo is alleged to have arrived back in Australia this year with a “shopping list” of intelligence priorities he had been asked for by two people he had suspected since 2021 to be agents for China’s Ministry of State Security, the court heard.
The pair, named in court only as “Ken” and “Evelyn,” first made contact with Csergo through LinkedIn.
This shopping list had been discovered by Australian intelligence authorities three weeks after Csergo returned to Sydney, the court was told.
Csergo had been allegedly asked to handwrite reports about Australia’s AUKUS defense technology partnership with the United States and Britain, the QUAD diplomatic partnership, iron ore and lithium mining, Barko said.
A marketing executive, Csergo, 55, was arrested in the beachside suburb of Bondi on Friday.
He is the second person charged under Australia’s foreign interference law, which criminalizes activity that helps a foreign power interfere with Australia’s sovereignty or national interest. It carries a maximum 15 year prison sentence.
Csergo appeared in court via video link from Parklea Prison where he is being held as a high security prisoner. His mother and brother were in court.
Csergo had told Australian intelligence agents in an interview that when he met Ken and Evelyn in Shanghai cafes and restaurants, the establishments had been empty and he suspected they had been cleared, Barko said.
He developed a high level of anxiety and was in “survival mode,” he had told the Australian authorities.
Csergo had exchanged around 3,300 WeChat messages with the pair, and had accepted cash payments in envelopes, Barko said.
Barko raised concerns for Csergo’s safety, saying some people may not want him to give evidence against China.
Csergo’s lawyer, Bernard Collaery, had sought bail, saying the reports Csergo had written were based on publicly sourced information and the case against his client was “shallow and unsubstantiated.”
Prosecutor Conor McCraith disputed this, saying it was not all open source because he had engaged covertly with two others to prepare reports. He also said Csergo had not come to Australian authorities with his concerns about Ken and Evelyn, and had instead invited Ken to come to Australia.
Collaery said making cash payments was a common business practice in China, and Csergo undertook the consulting work during the COVID-19 lockdown in Shanghai as a source of income.
“Of course he believed Ken and Evelyn were keeping tabs on him. That’s how it works in China, he became very worried about it,” Collaery said.
Csergo had worked in China since 2002 in data marketing, including for a major international advertising agency.
Collaery said Csergo’s career had come “tumbling down” since his arrest and he had no intention to return to China and instead planned to pursue the Australian government for damages for ruining his career.
Collaery told media outside the court the case was a “civil liberties” issue and raised concerns about the scope of the foreign interference law introduced in 2018.
“If you work as a consultant in any foreign country… and you undertake consulting work that may relate to Australia’s foreign influences or national security… you can be guilty of foreign interference,” he told reporters.
A Chinese acrobat has died after falling to her death during a performance on Saturday.
The woman, surnamed Sun, fell during a flying-trapeze performance in the city of Suzhou in central Anhui province.
Footage shared widely online shows the gymnast falling onto a hard stage after a routine went wrong with her acrobatic partner, who is also her husband.
Ms Sun fell from a significant height after he failed to catch her with his legs during a stunt.
She was taken to hospital where efforts by doctors to save her life failed. The popular news website The Paper reported that she leaves behind two children.
Officials say an investigation is underway into the incident.
According to The Paper, Ms Sun and her husband, surnamed Zhang, had worked together for many years and had often performed without safety belts “for the sake of looking good”.
The footage has horrified people in China, and although social media users in the country have acknowledged that acrobatics carry a high level of risk, they have also voiced their concerns about the industry’s lax safety measures.
Some on the Weibo social network have commented that they have seen similar performances take place in the country without a safety mat or net, and are calling for better regulation in the industry.
There has also been significant debate in the media over who is to blame.
The local Culture and Tourism Department says that the performance troupe behind the act had not gained sufficient approval to carry out the act in the first place, and that they would be “dealt with accordingly”.
The Paper shared archive footage of the couple, who are often seen performing stunts at high altitudes and simply relying on each other’s strength for survival.
It says that the decision not to use safety belts spanned from working in a “highly competitive” industry, with them earning “relatively more money” by performing riskier acts.
A nomadic kingdom that traded on the Silk Road, constructed elaborate graves for its dead, and conquered far-off areas on horseback ruled the Asian steppes for three centuries starting in 200 BC.
Known as the Xiongnu, the empire experienced conflict with its powerful adversary, imperial China, which led to the building of the Great Wall, some of which still exist today.
The empire and its inhabitants, however, have long been forgotten by history due to the lack of written records, with the exception of those created by Chinese chroniclers who considered the Xiongnu to be barbarians. A significant political force from that time is now coming to light thanks to ancient DNA data and the findings of recent archaeological digs.
An international team of scientists have completed a genetic investigation of two cemeteries along the western frontier of the Xiongnu empire in what’s now Mongolia: an aristocratic elite cemetery at Takhiltyn Khotgor and a local elite cemetery at Shombuuzyn Belchir.
The scientists sequenced the genomes of 17 individuals buried in the two cemeteries and found an “extremely high” level of genetic diversity, making it likely that the empire was multiethnic, multicultural and multilingual, according to the new study published Friday in the journal Science Advances.
The genetic diversity was found within individual communities, suggesting that the empire wasn’t just a patchwork of homogenous groups united by a common cause.
“We now have a better idea of how the Xiongnu expanded their empire by incorporating disparate groups and leveraging marriage and kinship into empire building,” said senior author Choongwon Jeong, an associate professor of biological sciences at Seoul National University,in a news release.
Of the individual graves studied, the ones with the highest status belonged to women, suggesting that they played a particularly powerful role in Xiongnu society. Elaborate coffins featured golden sun and moon emblems that were Xiongnu symbols of power. One tomb contained the remains of six horses and a chariot.
“These elite women possessed the materials not only for displaying their status (e.g., belts and necklaces) but also for enacting power, such as prestigious wares for hosting politicized feasts,” said Bryan Miller, project archaeologist for the study and assistant professor of Central Asian art and archaeology at the University of Michigan.
“They were highly venerated with ample offerings from all those who attended their funerals, demonstrating their continued social importance within their communities throughout their lives,” he said via email.
The study also revealed information about the lives of Xiongnu children. Adolescent boys, like men, were buried with bows and arrows. Boys younger than 11 were not.
“Children received differential mortuary treatment depending upon age and sex, giving clues to the ages at which gender and status were ascribed in Xiongnu society,” said study senior author Christina Warinner, associate professor of anthropology at Harvard University and group leader at the Max Planck Institute for Evolutionary Anthropology, in a statement.
Ursula Brosseder, prehistorical archaeologist at the University of Bonn, said the research provided deeper insight into the social fabric and society of the Xiongnu using genetics as a tool.
“I am excited to see more studies of this kind in the future,” said Brosseder, who was not involved in the latest study. “Since I was one of the people who pointed out that mature women were buried withthe most prestigious items, I am excited to see that genetics corroborates this view.”
Brosseder added that the Xiongnu had often been misunderstood because most of the information about the regime, and others that originated on the Eurasian steppe, comes from texts from imperial China and ancient Greece, where largely nomadic herders were viewed as inferior.
The Xiongu left a powerful legacy that inspired later nomadic regimes that originated on the Eurasian steppes such as the Mongols and Genghis Khan, Miller said.
“‘Xiongnu’was the name of a dynasty not a people, per se; but that dynastic regime greatly impacted the peoples within its realms and left a powerful legacy in Eurasia,” he said via email.
“Many subsequent groups appropriated the potent name of Xiongnu (or Hunnu) as they established their own regimes, leading to the perpetuation of so-called ‘Hunnic’ entities even as far as that of Attila and the Huns at the edge of Europe centuries after the demise of the Xiongnu in Inner Asia.
“And it was this potent legacy…that the Mongols took up when they created their own empire many more centuries later.”
Luxury brand Dior has been accused of racism on Chinese social media over an advertisement showing an Asian model pulling up the corner of her eye.
The French label posted the picture on its Instagram account earlier this week, before swiftly taking it down.
Dior has not made any public comment. The BBC has asked them for a response.
Chinese netizens have become increasingly sensitive to the depiction of Chinese people amid rising nationalist sentiment online.
The controversial picture was posted six days ago to promote Dior’s new makeup collection. It shows the model pulling up her eye with the caption “Channel your feline fierceness”.
It was later reposted by netizens on Chinese social media platforms, where it received criticism and sparked the viral hashtag “Dior makeup advertisement accused of discriminating against Asians” on Weibo.
The picture was posted on Dior’s Instagram account but has since been taken down
Angry comments have also flooded the label’s Instagram account. “It’s racial discrimination,” a top-liked comment reads.
“Are you trying to make money and play racism at the same time?” a Chinese user posted.
State-owned newspaper Global Times published an editorial calling on the brand to apologise.
“‘Pulling your eyes back’… makes fun of the appearance of Asians, especially East Asians,” it said. “We hope that Dior can face up to its mistakes, make a sincere apology and response to Asian society, and make clear statements on how to prevent similar problems from happening in the future.”
Some netizens have also called on Chinese celebrities who model for Dior to end their association with the brand.
But there are also some who think the discussion is over the top.
“An extreme unconfident person won’t be able to take any level of humour,” one Weibo user wrote.
“Those who buy Dior never think it insults China, it’s always those who don’t buy that are concerned by it,” another one said.
This is not the first time Dior has been caught up in controversy in China, one of its biggest markets.
A Chinese fashion photographer’s picture for the brand sparked outrage in 2021 after some netizens said it perpetuated Western stereotypes of Asian faces. The photographer later apologised and Dior said it “respects the sentiments of the Chinese people”.
In 2022, Dior was accused of “culturally appropriating” a Chinese traditional design for one of its skirts.
A Chinese snack brand was also previously accused of racism for using a model with narrow eyes in its advertisements.
French President Emmanuel Macron might have wanted to concentrate this week on what could end up being the largest domestic test of his leadership, as France’s Constitutional Council gets ready to decide on Friday whether or not he can move through with contentious pension reforms.
Instead, he is now dealing with the international fallout from his recent goodwill visit to China, particularly from remarks that have made him unpopular in both Washington, DC, and with some of his European friends.
Macron spoke with POLITICO Europe on the plane back from Beijing. In it, he responded to a question concerning the possibility of China occupying Taiwan by saying that Europe must not turn into “just America’s followers.”
“The question Europeans need to answer … is it in our interest to accelerate [a crisis] on Taiwan? No. The worse thing would be to think that we Europeans must become followers on this topic and take our cue from the US agenda and a Chinese overreaction,” Macron said, adding that Europe must not get “caught up in crises that are not ours, which prevents it from building its strategic autonomy.”
Strategic autonomy is a Brussels term that refers to the EU having an independent geopolitical policy, which relies in part on the bloc being able to become a third power and not get squashed between the US and China. However, the China hawks, typically in Eastern Europe, have always been skeptical of anything that puts clear water between Europe and the US, who they see as the ultimate protectors of European territory through NATO.
Macron has since attempted to downplay his comments, saying on Wednesday that France was “for the status quo in Taiwan” and that position “has not changed.” But the hawks have already hit back.
Polish Prime Minister Mateusz Morawiecki said: “Instead of building strategic autonomy from the United States, I propose a strategic partnership with the United States.” Lithuania’s foreign minister tweeted “We are capable of defending Europe without Chinese help. Instead of requesting assistance we should be projecting our strengths.”
Eastern European diplomats have been less subtle. One said that Macron is “simply tone deaf to everything happening in the world. No wonder Macroning has become a synonym of bullshitting without any result.” Another said they “cannot understand” Macron, that his visit to Beijing and remarks on Taiwan were “not helpful” and that Europe should engage with countries that “value democracy and the rule of law” over China.
Macron’s trip was further undermined when Beijing performed military rehearses encircling Taiwan the day after he left China.
European diplomats and officials say that while Macron doesn’t speak for Europe and that the 27 EU member states have all agreed on an approach to China, they are aware that his comments – and, they believe, attempts to present himself as the EU’s leader – could cause Europe real problems with the US, particularly in terms of European security.
And they’d be correct. Multiple US government sources told CNN that while they are aware that Macron indeed doesn’t speak for all of Europe, they are concerned that his words make it much harder to make the case for a strong transatlantic alliance to lawmakers in DC.
Case in point: Florida Senator Marco Rubio posted on Twitter shortly after Macron’s comments were published, suggesting that if Macron “speaks for Europe” then maybe the US should focus on its objectives and let “you guys handle Ukraine and Europe.”
The US government sources said Macron’s comments would only add to the skepticism some Republican lawmakers have about open-ended financial support to Ukraine, and fear the remarks could even contribute to a decision to block or curtail such funding. Worse, the sources also fear it could disrupt NATO unity – which has been remarkably strong since the start of the Ukraine crisis – if countries start unilaterally undermining the priorities of others.
A European government official who was at NATO headquarters for a meeting last week said there was broad agreement among the allies, including France, that Taiwan and security in the Indo-Pacific region was of crucial importance to the alliance. They were surprised to see Macron’s comments so soon after that meeting.
For all that Macron’s comments could be put down to a president under pressure at home doing things on the world stage to create a distraction, his comments on Taiwan have done real damage to the fragile transatlantic relationship.
It might not have been his intention, but Macron’s comments have come at a yet unknown cost. And meanwhile, at home, he still faces a serious political crisis.
His proposal to raise the retirement age from 62 to 64, which was pushed through parliament without a vote, caused violent protests and nationwide strikes.
The reforms include other cost-cutting measures and are, Macron’s government says, essential in preventing the pension system from collapsing. Social reforms like this were central to his 2022 re-election campaign. If they are blocked by the Constitutional Council, it will be a huge embarrassment for Macron.
“Even if he gets his way, even if he sacks his prime minister, Macron has taken a huge political hit and it’s hard to see how there won’t be even more protests,” says Aurelien Mondon, senior lecturer in politics at the University of Bath. “He has always wanted to lead as the all-powerful, sole leader of France. Whatever goes wrong, it’s on him.”
It was a Chinese dream propelled by the same kind of desire that saw this nation emerge from poverty to become the second-largest economy in the world within a relatively short period of time.
A year or so before taking office, in 2011, Xi Jinping unveiled a plan to transform China from a soccer underdog to a superpower. He devised a three-stage strategy for the men’s national team that included qualifying for another World Cup, hosting a World Cup, and winning a World Cup as his ultimate goal.
For a country who at the time ranked outside the top 70 in the world and had qualified for soccer’s biggest competition only once since its first attempt in 1957, the scale of that task was immense.
Yet few could have doubted Xi’s determination when the Chinese Football Association in 2016 unveiled a plan to make the country a “world football superpower” by 2050.
Backing up those words was a surge in spending that turned the heads of players and fans around the world. State-affiliated conglomerates and developers flush from a property boom flooded the country’s premier domestic competition with cash.
The Chinese Super League (CSL) became a hotbed for foreign superstars seeking lucrative pay days, every big-name signing more eyecatching than the last.Brazilian Alex Teixeira signed to Jiangsu Suning for $54 million; his compatriot Hulk to Shanghai SIPG for $60 million; Oscar, also to Shanghai, for $65 million.
Soon the CSL was rivaling the biggest leagues of Europe in terms of money spent. In the boom year of 2015-16, US$451 million was spent on transfers, taking it into the top five spending leagues in the world.
But more than a decade on from when Xi first outlined his dream, China’s soccer fortunes have fallen as quickly as they once rose. Poor financial decisions and alleged high-level corruption coupled with a three-year pandemic have left the sport in tatters.
When Covid hit the economy and the property market stalled, the funds from state-affiliated firms and developers dried up. Strict pandemic rules meant fewer fans watching live games, and in turn fewer sponsors. Clubs struggled to pay wages; many of the foreign players and coaches brought in to raise the standard of the domestic game upped sticks and quit, many of them citing the government’s onerous zero-Covid stance that had made seeing their families all but impossible.
With the CSL’s 2023-24 season kicking off on April 15 (in a sign of the chaos, the official start date was announced just one week in advance), most teams are still frantically finding replacements.
Many believe that, in truth, the rot had set in long before Covid arrived on the scene, and that the virus “exacerbated the Chinese Super League’s whole financial scenario, accelerating its downfall and making it almost impossible to gain revenue from league sponsors and broadcasters,” according to William Bi, a Beijing-based sports consultant.
But while, like any good game of soccer, the reasons behind the apparent demise of Xi’s dream remain a matter for debate, few could argue with a scoreline that shows the vast majority of the foreign talent brought in to build that vision have voted with their feet.
Here, the stats say it all: Of the league’s all-time top 100 transfer deals, according to the Transfermarkt database, at least 75 were foreigners. Only three of them remain in China.
Few things illustrate Chinese soccer’s trials and tribulations as neatly as the influx of star players, born and raised overseas, who came to the CSL and acquired Chinese citizenship to become eligible for the men’s national team.
The fast-track naturalization of overseas players with family ties to China was seen as a quick way of elevating standards. The ex-Arsenal prospect Nico Yennaris (now known as Li Ke) and ex-Everton player Tyias Browning (Jiang Guangtai), both of whom have Chinese heritage, were among the first to take the step.
More controversial were the naturalizations of five Brazilians – Fernando (who became Fei Nanduo), Aloisio (Luo Guofu), Elkeson (Ai Kesen), Ricardo Goulart (Gao Late) and Alan Carvalho (A Lan) – none of whom had Chinese heritage.
But skeptics will point out that all these naturalizations came during the boom years, when times were good and the money was flowing. During the pandemic every one of those five Brazilians left China – only two have returned. Goulart, who left in 2021 after claiming his team Guangzhou had failed to pay his wages, has even renounced his Chinese nationality.
He is not alone in doing so. Roberto Siucho, who was born and raised in Peru, is another who has had second thoughts. Siucho renounced his Peruvian citizenship to pursue naturalization through his late Chinese grandfather after he transferred to CSL giants Guangzhou Evergrande in 2019.
“It was a really difficult decision, because I knew that once I became a Chinese national, I would lose my chance to be called up for the Peru senior team,” said Siucho, who formally changed his name to Xiao Taotao.
“But I felt it was a good option. I think if my grandfather was alive, he’d have been overjoyed.”
Fast forward a few years and Siucho has renaturalized as a Peruvian and is back with his old club Universitario. He has ambitions of playing for the Peruvian national team.
No one thing led to the decision, he says, rather “a bit of everything.” Even so, there was a clear turning point.
“2019 was a marvelous year in China. My family was able to visit and experience it. Then Covid happened,” Siucho said. “(At one point) I hadn’t seen my family for a year and the rules were you couldn’t bring them in while the borders were closed. A lot of footballers left because of that.”
World Cup winner Fabio Cannavarro – Siucho’s first coach at Guangzhou – expressed a similar sentiment when he gave up $28 million in salary and bonuses to leave his role in 2021, telling state media that “Covid changed everything.”
Other foreign names synonymous with the CSL’s golden years, such as the Brazilian trio of Hulk, Paulinho and Alex Teixeira – who together cost more than $150 million to bring in – also left via free transfers or mutual termination. Texeira gave up his naturalization application and Paulinho, widely seen as one of the greatest ever CSL players, explicitly cited Covid in his decision to leave.
China’s strict “zero-Covid” policy had meant clubs were required to train and compete in “bio-secure” venues that players were unable to leave for months at a time.
“It was difficult mentally, not being able to leave or do anything. But it was the only way we could continue,” Siucho said.
Amid all the outbreaks and lockdowns, fixtures were often postponed, leading to further frustration. When games were played, they took place in front of empty stadiums devoid of atmosphere. Homesickness set in for many players.
“For three years, I hadn’t enjoyed being a husband or father. I got to see my family after nine, 10 months sometimes. That’s not the life I want,” said John Mary Honi Uzuegbunam, a Cameroonian international who played for the CSL team Shenzhen FC and second tier Meizhou Hakka from 2018 to 2022. He missed the birth of his first child, his twins, and their first two birthdays.
“That feeling was so awful, coming back home from training all alone. You look at pictures of your family on your phone and think, ‘goddamn, I’m a married man, I have kids, what the hell is going on?’”
Mary now plays for Caykur Rizespor in Turkey.
While Covid restrictions were making life a misery for many of the players, the pandemic was creating havoc for the firms bankrolling their salaries.
The Evergrande Group, whose collapse in 2021 sparked the country’s worst property market crisis on record, spiraled from the Chinese government’s crackdown on the sector. Its affiliated men’s soccer team, Guangzhou Evergrande, was unable to fully pay player wages and in 2022, the two-time Asian champions were relegated from the Chinese Super League.
“Chinese football changed, a lot of the teams were in financial crises. Even Guangzhou, one of the best teams in China, was encountering difficult situations. It was complicated,” Siucho said.
Empty stadiums not only hit gate receipts, but sponsorship deals too. And with the country’s economy having taken a hammering, conglomerates and property developers simply had less cash to splash around.
Not all the problems were down to Covid; some were simply bad business decisions. In a bid to foster local talent, the Chinese Football Association (CFA) in 2017 raised taxation on overseas signings – any club that spent more than US$7 million would have to pay an equal amount to the CFA. Clubs responded by drastically tightening their wallets, which in turn hit fan turn-out and sponsorship interest.
The consequences of all these forces combined are hard to overstate. Club after club was forced to shut down as they struggled to balance the books or keep up with their superstar wages.
Among the most high profile failures was Jiangsu Suning, which folded in 2021, citing financial problems just months after being crowned league champions. The following year Chongqing Liangjiang head coach Chang Woe-ryong made an emotional apology that the club was unable to pay staff. In January, Wuhan Yangtze became the first team in 2023 to withdraw from the league, the sixth since the beginning of the pandemic and one of more than 35 across all divisions. In February, seven ex-Shenzhen players and coaches filed appeals to FIFA regarding unpaid wages.
And in March, Guangzhou City failed to meet the financial requirements to play in the new CSL season. Hebei FC, meanwhile, has even conceded itstruggled to pay water and electricity bills, let alone wages.
Bringing foreign talent into the CSL wasn’t just about naturalizing foreign born stars, but raising the level of soccer local players were exposed to in the hope this would in turn filter through to the national team.
The slide through the rankings of the men’s national team shows that hasn’t happened, even if a new head coach in Serbian Aleksandar Jankovic has been appointed in an effort to turn things round.
Meanwhile, the comparatively underfunded women’s team is perhaps Chinese soccer’s only silver lining; the world No. 14 team won last year’s Asian Cup and is considered a dark horse for the Women’s World Cup in July.
Likewise, China’s chances of hosting the World Cup seem similarly far-fetched for the moment, given the various alleged corruption scandals to have emerged in Chinese soccer.
The Communist Party’s anti-graft watchdog is currently investigating a host of CFA figures, including former president Chen Xuyuan, former vice-president Yu Hongchen, former head coach Li Tie, former secretary-general Liu Yi, former CSL general manager Dong Zheng, former CFA disciplinary committee head Wang Xiaoping,and others.
As if that weren’t enough to give FIFA pause for thought when considering any future bid by China, the country’s sole FIFA representative Du Zhaocai recently lost his seat. In April, Du became the latest to be pulled up for investigation for “suspected violations of discipline and law”, with the government assigning a seven-member taskforce to lead the CFA in the meantime.
In a sign that even the fans may have made up their minds, a segment featuring a popular actor lambasting the men’s team on the Chinese social media platform Weibo last year received hundreds of millions of views.
The footage followed a string of losses by the men’s team, including a 3-1 defeat to Vietnam that ended their hopes of qualifying for the 2022 World Cup, and featured Gong Hanlin railing against overpaid entertainers in a rant directed toward China’s rubber stamp parliament, the National People’s Congress.
“A football team with an annual income of 3 million, 5 million or even tens of millions, and they barely see a goal on the pitch,” Gong rants in the clip. “This is a complete embarrassment for Chinese people.”
A senior legislator from the island nation claims that China appears to be preparing to “launch a war” against Taiwan.
Beijing has issued a warning, claiming that recent exercises simulating the island nation’s encirclement were conducted as a “serious warning” to politicians who support independence.
Taiwan’s foreign minister Joseph Wu stated in an interview with CNN: “Look at the military drills, as well as their rhetoric – they seem to be attempting to get ready to start a war against Taiwan.
“The Taiwanese government looks at the Chinese military threat as something that cannot be accepted and we condemn it.”
The three days of large-scale air and sea exercises named Joint Sword that ended on Monday were a response to Taiwanese President Tsai Ing-wen’s meeting with US house speaker Kevin McCarthy in California last week.
China claims Taiwan as its own territory to be brought under its control by force if necessary and regularly sends ships and warplanes into airspace and waters near the island.
Such missions have grown more frequent in recent years, accompanied by increasingly bellicose language from the administration of Communist Party leaderXi Jinping.
Any conflict between the sides could draw in the US, Taiwan’s closest ally, which is required by law to consider all threats to the island as matters of “grave concern”.
China has kept up military pressure against Taiwan despite the formal conclusion of the military drills.
On Wednesday, Taiwan’s ministry of national defence said it tracked 35 flights by People’s Liberation Army warplanes within the previous 24 hours, as well as eight navy vessels in the waters surrounding the island.
While on Tuesday, President Xi inspected China’s Southern Theatre Command, according to state media.
On his visit, Mr Xi reportedly said it was necessary to deepen military training and preparation, speed up transformation and construction, and comprehensively raise the level of modernisation of the armed forces.
Though the People’s Liberation Army’s Eastern Theatre Command would be the lead force in any potential invasion of Taiwan, the Southern Theatre Command would likely have a significant backup role in any such attack.
The vast majority of Taiwan’s population favours maintaining the current de-facto independent status, while the island’s president, Ms Tsai, has said there is no need for a formal declaration since the democracy is already an independent nation.
Despite that, China – which does not recognise Taiwan’s government institutions and has cut off contact with Ms Tsai’s administration – routinely accuses her of plotting formal independence with outside backing.
When China refers to outside help for Taiwan, it is usually thought to mean the US.
“External forces are intensifying their endeavour of containing China with Taiwan as a tool,” Ms Zhu said.
She also repeated China’s assertion that its military threats are “targeted at Taiwan’s independence separatist activities and interference from external forces, and by no means at our compatriots in Taiwan”.
What that means in practical terms is not clear, although Beijing has long exploited political divisions within Taiwanese society, which boasts a robust democracy and strong civil liberties.
The Chinese military issued a threat as it concluded the exercises, saying its troops “can fight at any time to resolutely smash any form of ‘Taiwan independence’ and foreign interference attempts”.
In an effort to fortify its defenses in the face of rising tensions with its neighbor China, Japan on Tuesday unveiled plans to develop and manufacture a variety of sophisticated long-range missiles.
According to the Japanese Defense Ministry, contracts have been inked with Mitsubishi Heavy Industries (MHI) to create and mass-produce the weapons through 2027.
The agreements, totaling more than $2.8 billion, come after Prime Minister Fumio Kishida declared in December that he intended to increase defense spending and give Japan “counterstrike capabilities”—the capacity to attack another country’s territory directly in an emergency and under specific conditions.
In taking the new defense initiatives, Japan is bending the interpretation of its post-World War II constitution, which put constraints on its Self-Defense Forces in that they can only be used for what their name implies, defending the Japanese homeland.
Under the deals, MHI will begin mass production this year on two types of already developed missiles – ground-launched Type 12 guided missiles designed to target ships at sea and hypersonic glide missiles designed for island defense, the ministry said. Deployment of those weapons is scheduled for 2026 and 2027, it said.
The Defense Ministry news release did not say how many of each missile would be acquired.
Meanwhile, MHI will this year begin development of advanced versions of the Type 12 that can also be launched by aircraft and ships. Defense industry news site Janes reported that the updgraded Type 12 will have a range of up to 1,000 kilometers (620 miles), five times the reach of the current version.
At the same time, MHI will begin development of submarine-launched missiles that could be fired by the Japan Maritime Self-Defense Force’s fleet of conventionally powered boats.
In December, Kishida instructed his defense and finance ministers to secure funds to increase Japan’s defense budget to 2% of current GDP in 2027.
Along with the development of Japan’s own missiles, Kishida said in February the country planned to buy as many as 400 Tomahawk cruise missiles from the United States. Tomahawks can hit targets as far as 1,600 kilometers (1,000 miles) away.
Japan’s military buildup comes amid increasing tensions with China, which has been growing its naval and air forces in areas near Japan while claiming the Senkaku Islands, an uninhabited Japanese-controlled chain in the East China Sea, as its sovereign territory.
Meanwhile, China has been upping its military pressure on Taiwan, the self-ruled island whose security Japanese leaders have said is vital to that of Japan.
Just this week, Japan scrambled fighter jets as a Chinese aircraft carrier group came within 230 kilometers (143 miles) of the southern Japanese island of Miyako while it simulated strikes on Taiwan.
Chinese military exercises around Taiwan last August including the launching of ballistic missiles, some of which landed in Japan’s Exclusive Economic Zone.
“Kill the chicken to terrify the monkey,” says an adage from the Chinese language.
Translation: Destroying a smaller adversary is the finest method to intimidate a powerful one.
Nevertheless, what follows? According to reports, one individual in China has just learned.
In a strange court case that has been covered by the nation’s state-run media, a man who only went by the surname Gu was this week sentenced to prison after a jury held him responsible for killing 1,100 chickens that belonged to a neighbour with whom he had a dispute.
The pair had reportedly been squabbling since the neighbor, Zhong, cut down Gu’s trees without permission in April 2022.
The court in Hengyang county of central China’s Hunan province heard that Gu had responded by sneaking onto Zhong’s chicken farm during the night on more than one occasion.
It is unclear what Gu’s intentions were but the flashlight he used caused the flock to panic and as the birds crowded into a corner in fear, hundreds of them died in the ensuing crush.
The first time Gu trespassed onto his neighbor’s property, he caused a crush in which 500 chickens died. He was apprehended by police and forced to pay Zhong compensation of 3,000 yuan ($436).
But he didn’t stop there and returned to Zhong’s property a second time, this time killing 640 chickens.
On Tuesday, the Hengyang court ruled that Gu had intentionally caused “property loss” to Zhong.
Chinese authorities said that the 1,100 dead chickens were estimated to be worth a total of 13,840 yuan ($2,015).
The court ordered Gu to serve six months in prison with one year of probation – a sentence it said took into account the remorse Gu had shown for his crime.
Good Samaritans saved an elderly man after he crashed his mobility scooter into a river just before it submerged.
In Suzhou, Anhui Province, eastern China, a guy who witnessed the collision hurried to remove the man from the water.
After finding the driver trapped inside the car, the young man can be seen swimming knee-deep into the river on the footage. The driver is then dragged outside when he prys open the door.
Soon after, two additional guys join the rescue effort and help the driver, who is obviously unable to stand, climb the rocky embankment.
The man was pulled to safety after his scooter crashed (Picture: 335618740/AsiaWire)Hero passers-by helped rescue him (Picture: 335618740/AsiaWire)A man saw his car crash into the water and ran to help him (Picture: 335618740/AsiaWire)
They place the man down onto a rock as they apparently wait for help to arrive.
According to local witnesses the driver could have used too much throttle and lost control of the vehicle.
A woman said it took just two minutes before the vehicle was completely submerged underwater.
The driver was eventually collected by his family.
Footage of the miraculous rescue was shared on Douyin, China’s version of TikTok.
Douyin user ‘the sea’ said in a comment: ‘The lad is amazing! We should all learn from him.’
And user ‘The world is full of beauty in April’ wrote: ‘He should be given an award for bravery – a certificate, and a big reward of more than CNY 50,000 [GBP 5,800]!’
A decade-long period of peace in the country has been shattered by the war in Ukraine, according to Emmanuel Macron’s message to Chinese President Xi Jinping.
In an effort to exploit Xi’s influence over Russia to advance a peace agreement, the French president is in Beijing along with European Commission President Ursula von der Leyen.
Mr Macron said “Russian aggression in Ukraine has dealt a blow to [international] stability. I know I can count on you … to bring Russia to its senses and bring everyone back to the negotiating table,” Macron told Xi.
“We need to find a lasting peace,” Macron said. “I believe that this is also an important issue for China, as much as it is for France and for Europe.”
The French president would “try to build, and somehow engage China toward a shared responsibility for peace and stability on international issues”, including Ukraine, Iran and North Korea.
Image:Xi Jinping welcomes French President Emmanuel Macron at the Great Hall of the People
The Chinese leader didn’t mention Ukraine or Russia, but welcomed relations with France. He said Beijing and Paris are “staunch promoters of multipolarisation of the world,” a reference to reducing U.S. dominance in economic and political affairs.
Xi and Russian president Vladimir Putin declared a “no-limits friendship” before the February 2022 invasion of Ukraine, and China has refused to directly criticise the Kremlin. Beijing has called for a cease-fire and peace talks.
China has become the biggest buyer of Russian oil and gas, helping to prop up the country’s revenue in the face of Western sanctions. This has made China increasingly influential over Putin, though Xi appears reluctant to jeopardise that partnership.
“China has always adhered to an objective and fair position on the issue of the Ukraine crisis,” said a foreign ministry spokesperson. “We have been an advocate of a political solution to the crisis and a promoter of peace talks.”
Mr Macron said during a meeting with Xi’s number two, Premier Li Qiang, that he wanted to talk about “Ukraine, but also about all the major conflicts and the difficult situations around the world.”
“The ability to share a common analysis and build a common path is essential,” he added.
Li said there was likely to be “broad consensus” between Mr Macron and Xi but did not say whether China would lobby Moscow to make peace.
Image:Relations between the two countries have maintained a positive and steady momentum, Xi said
Xi said that China and France had the ability and responsibility to transcend “differences” and “restraints” as the world undergoes profound historical changes, Chinese state media reported.
Relations between the two countries have maintained a positive and steady momentum, Xi told Macron.
In connection with a Tuesday morning car accident that claimed the lives of two pupils and injured three others, police in central Uganda have apprehended a Chinese national.
Zhao Haizhanga is accused of knocking students at Kamusenene Village along Lubaali-Bukuya Road in Kassanda District as he tried to pass a truck carrying logs, according to a statement from the police.
“He killed two instantly and injured the other three yet to be identified,” the police statement said.
The two bodies were taken to a local mortuary awaiting post-mortem.
Mr Haizhanga was detained by police as investigation on the incident continues.
The BBC was informed by the president of the World Bank that he is worried about some of the loans China has been providing to developing nations in Africa.
The terms and conditions, according to David Malpass, need to be “more transparent.”
Concerns have been raised about how difficult it may be for nations like Ghana and Zambia to pay back their loans to China.
According to China, all such loans follows international regulations.
Developing countries often borrow money from other nations or multilateral bodies to finance sectors that will grow their economies such as infrastructure, education and agriculture.
However steep increases in interest rates in the US and other major economies over the last year are making loan repayments more expensive because lots of that borrowing is done in foreign currencies such as US dollars or euros.
It is a particularly acute problem for developing economies who can struggle to find the extra money that is required as the relative value of their own currency falls.
It is a “double whammy and it means that [economic] growth is going to be slower”, says Mr Malpass.
US-China rivalry
Tackling that challenge and its consequences was one of the main reasons for this week’s visit by US Vice-President Kamala Harris to three African countries. It is a visit that comes with big commitments of financial support to Tanzania and Ghana.
There is a growing rivalry with China for influence in the continent, whose abundance of natural resources include the metals, such as nickel, crucial for the batteries needed for technology such as electric cars.
Speaking in Ghana’s capital, Accra, she said “America will be guided not by what we can do for our African partners, but what we can do with our African partners”.
While highlighting a new nickel processing facility in Tanzania Ms Harris said the project would be supplying the US and other markets by 2026 and that it would “help address the climate crisis, build resilient global supply chains, and create new industries and jobs”.
Image caption,US Vice-President Kamala Harris was warmly welcomed in Ghana’s capital, Accra, by Vice-President Mahamudu Bawumia as she sought to strengthen economic ties
That collaborative approach was praised by Mr Malpass who said the competition between the world’s two biggest economies was “maybe healthy for developing countries” as it provided different options.
“What I encourage strongly is that they be transparent in their contracts. That’s been one of the problems; if you write a contract and say ‘but don’t show it to anybody else’, that’s a minus. So get away from that.”
There was also a warning that “for governments in Africa, they shouldn’t be offering collateral as an inducement to make a loan, because it locks it up for generations. That’s been happening with China.”
Beijing has become one of the biggest sources for loans to developing economies in recent years. A new study led by the Kiel Institute for the World Economy shows that globally China lent $185bn (£150bn) in bailouts to 22 countries between 2016 and 2021.
China writes off 23 debts owed by 17 African countries
IMF reaches $3bn bailout agreement with IMF
Profile: IMF and World Bank
China refutes suggestions that it is exploiting other countries with its financial support.
At a press conference this week Foreign Ministry Spokesperson Mao Ning said China “respects the will of relevant countries, has never forced any party to borrow money, has never forced any country to pay, will not attach any political conditions to loan agreements, and does not seek any political self-interest”.
Image caption,Ghana’s Finance Minister Ken Ofori-Atta travelled to Beijing this month for talks on restructuring its debt repayments. The country also got $3bn from the IMF in December.
Mr Malpass said the problems were not unique to Chinese financing but things were improving.
“If you think of the history of Western lending, sometimes it’s not for the full benefit of the people in the countries [being lent to]. Even World Bank loans haven’t always been for the best that could have been done in a country.”
“So what we’re trying to do, and I think everyone should be trying to do, is improve the quality of the lending.
“One of the techniques is to unbundle the loan, meaning if there’s an investment project, let’s say you’re building a train, describe the project and what the cost will be. And then separately, arrange the financing.
“If you bundle them together, it makes it very hard to know, am I getting a good deal on the train or on the financing.”
Food and energy concerns
The outgoing World Bank president is also concerned that higher food, fertiliser and energy prices, as a result of the war in Ukraine, are sapping government budgets in poorer countries. While that could deepen the economic challenges they face there is relief that price rises are now starting to ease.
“The immediate crisis is over but one thing that’s been left is that countries didn’t use enough fertiliser, so their soil is depleted. So the yields are expected to be lower next year than normal.”
“So a farmer that was just making ends meet, she didn’t get fertiliser, and now her land is not as productive. And so where’s the food going to come from for the family and for the community? That’s the big immediate problem. What we’re trying to do is help countries directly with fertiliser [and] with food.”
Image caption,Many of the world’s poorest economies have been hit hard by higher food prices as a result of the war in Ukraine
The World Bank is concerned that these challenges will worsen a first-ever increase in the global extreme poverty rate – people getting by on less than $1.90 per day. As a result of the coronavirus pandemic it rose from 8.4% to 9.3%.
The planet’s leading development body hopes that its upcoming showpiece joint Spring Meetings with the IMF in Washington will help it raise more money to tackle its key mission.
“The ambition is there,” says Mr Malpass, “but the needs are much bigger than the amount of flows” of money coming in.
According to the BBC, the World Bank’s president is worried about some of the loans China has been providing to developing nations in Africa.
The terms and conditions need to be “more transparent,” according to David Malpass.
It happens amid concerns that some nations, including Ghana and Zambia, are having trouble paying back their debts to China.
According to China, all such lending complies with international laws.
Developing nations frequently take out loans from foreign countries or multilateral organizations to fund economic growth-oriented industries like infrastructure, education, and agriculture.
However steep increases in interest rates in the US and other major economies over the last year are making loan repayments more expensive because lots of that borrowing is done in foreign currencies such as US dollars or euros.
It is a particularly acute problem for developing economies who can struggle to find the extra money that is required as the relative value of their own currency falls.
China refutes suggestions that it is exploiting other countries with its financial support.
At a press conference this week Foreign Ministry Spokesperson Mao Ning said China “respects the will of relevant countries, has never forced any party to borrow money, has never forced any country to pay, will not attach any political conditions to loan agreements, and does not seek any political self-interest”.
Image caption,Ghana’s Finance Minister Ken Ofori-Atta travelled to Beijing this month for talks on restructuring its debt repayments. The country also got $3bn from the IMF in December.
Mr Malpass said the problems were not unique to Chinese financing but things were improving.
“If you think of the history of Western lending, sometimes it’s not for the full benefit of the people in the countries [being lent to]. Even World Bank loans haven’t always been for the best that could have been done in a country.”
“So what we’re trying to do, and I think everyone should be trying to do, is improve the quality of the lending.
“One of the techniques is to unbundle the loan, meaning if there’s an investment project, let’s say you’re building a train, describe the project and what the cost will be. And then separately, arrange the financing.
“If you bundle them together, it makes it very hard to know, am I getting a good deal on the train or on the financing.”
Food and energy concerns
The outgoing World Bank president is also concerned that higher food, fertiliser and energy prices, as a result of the war in Ukraine, are sapping government budgets in poorer countries. While that could deepen the economic challenges they face there is relief that price rises are now starting to ease.
“The immediate crisis is over but one thing that’s been left is that countries didn’t use enough fertiliser, so their soil is depleted. So the yields are expected to be lower next year than normal.”
“So a farmer that was just making ends meet, she didn’t get fertiliser, and now her land is not as productive. And so where’s the food going to come from for the family and for the community? That’s the big immediate problem. What we’re trying to do is help countries directly with fertiliser [and] with food.”
Image caption,Many of the world’s poorest economies have been hit hard by higher food prices as a result of the war in Ukraine
The World Bank is concerned that these challenges will worsen a first-ever increase in the global extreme poverty rate – people getting by on less than $1.90 per day. As a result of the coronavirus pandemic it rose from 8.4% to 9.3%.
The planet’s leading development body hopes that its upcoming showpiece joint Spring Meetings with the IMF in Washington will help it raise more money to tackle its key mission.
“The ambition is there,” says Mr Malpass, “but the needs are much bigger than the amount of flows” of money coming in.
It is a “double whammy and it means that [economic] growth is going to be slower”, says Mr Malpass.
US-China rivalry
Tackling that challenge and its consequences was one of the main reasons for this week’s visit by US Vice-President Kamala Harris to three African countries. It is a visit that comes with big commitments of financial support to Tanzania and Ghana.
There is a growing rivalry with China for influence in the continent, whose abundance of natural resources include the metals, such as nickel, crucial for the batteries needed for technology such as electric cars.
Speaking in Ghana’s capital, Accra, she said “America will be guided not by what we can do for our African partners, but what we can do with our African partners”.
While highlighting a new nickel processing facility in Tanzania Ms Harris said the project would be supplying the US and other markets by 2026 and that it would “help address the climate crisis, build resilient global supply chains, and create new industries and jobs”.
Image caption,US Vice-President Kamala Harris was warmly welcomed in Ghana’s capital, Accra, by Vice-President Mahamudu Bawumia as she sought to strengthen economic ties
That collaborative approach was praised by Mr Malpass who said the competition between the world’s two biggest economies was “maybe healthy for developing countries” as it provided different options.
“What I encourage strongly is that they be transparent in their contracts. That’s been one of the problems; if you write a contract and say ‘but don’t show it to anybody else’, that’s a minus. So get away from that.”
There was also a warning that “for governments in Africa, they shouldn’t be offering collateral as an inducement to make a loan, because it locks it up for generations. That’s been happening with China.”
Beijing has become one of the biggest sources for loans to developing economies in recent years. A new study led by the Kiel Institute for the World Economy shows that globally China lent $185bn (£150bn) in bailouts to 22 countries between 2016 and 2021.
The Japanese government says it intends to impose limits on some exports of components used to make computer chips following similar actions by the US and the Netherlands.
23 different types of semiconductor manufacturing equipment will be affected by the regulations.
The US and China are embroiled in a nasty trade war over semiconductors, which power everything from mobile phones to military weapons.
As a result of export restrictions put in place by Washington, China has frequently referred to the US as a “tech hegemony.”
China or the US were not mentioned in the trade and industry ministry of Japan’s statement from Friday.
“We are fulfilling our responsibility as a technological nation to contribute to international peace and stability,” the ministry said.
The policy will be subject to public comment, with plans to implement it in July.
Japanese trade minister Yasutoshi Nishimura told reporters that the move was not coordinated with US restrictions.
“If our exports are not being reappropriated for military use, we will continue exporting. We believe the impact on companies will be limited,” Mr Nishimura added.
The announcement came as Japanese foreign minister Yoshimasa Hayashi was due to visit Beijing at the weekend.
Mr Hayashi said he will meet his Chinese counterpart Qin Gang for “an honest and frank discussion to create a constructive and stable relationship”.
Japan’s restrictions will apply to equipment supplied by major technology companies including Tokyo Electron and Nikon.
They will affect exports ranging from tools which are used to clean silicon wafers to immersion lithography machines.
Lithography machines use lasers to print miniscule patterns on silicon as part of the manufacturing process of microchips.
In October, Washington announced that it would require licences for companies exporting chips to China using US tools or software, no matter where they are made in the world.
The US had also called on the Netherlands and Japan to adopt similar restrictions.
This month, the Dutch government said it would put restrictions on the country’s “most advanced” microchip technology exports to protect national security.
Dutch trade minister Liesje Schreinemacher said the measures will affect “very specific technologies in the semiconductor production cycle”.
She added that the government had considered “the technological developments and geopolitical context,” without naming China or Dutch chip equipment maker ASML.
ASML is one of the most important firms in the global microchip supply chain. It makes machines that produce the world’s most advanced chips.
First it was the US secretary of state who visited Africa, then the vice president, and later in the year the president is anticipated to go.
This flurry of trips by senior US government officials reflects a growing understanding that the country has to strengthen its ties to Africa.
All of this occurs in the face of escalating opposition from other major world powers, particularly China and Russia.
Vice-President Kamala Harris started her nine-day trip in Ghana on Sunday, where she was greeted by drummers and dancers at Kotoka International Airport. She will later go to Tanzania and Zambia.
Ghana, with its focus on strengthening ties with the African diaspora as well as a record of several peaceful democratic transfers of power, provides an ideal launchpad for Ms Harris.
Her trip, according to an official statement, is intended to “build on” December’s US-Africa summit in Washington where President Joe Biden said the US was “all in on Africa’s future”.
But it is that future, boosted by a youthful and growing population as well as the continent’s immense natural resources, that have attracted a lot of other powerful nations vying for influence.
While Secretary of State Anthony Blinken’s recent visit to Ethiopia and Niger focused on these countries’ security challenges, the vice-president’s tour will take her to nations facing serious economic problems.
Ghana’s once-thriving economy is going through its most difficult financial crisis in decades.
The country is seeking to restructure its debt amid surging inflation of over 50%. Finance Minister Ken Ofori-Atta has just been in Beijing leading negotiations with the Chinese government.
“So far, very positive and encouraging meetings in China,” the finance minister tweeted as he expressed optimism that it would secure external assurances “very soon”.
It needs the assurances to unlock financial support from the International Monetary Fund (IMF).
It is not clear what, if any help, Ms Harris can offer, but it will be under pressure to act like a willing partner in the wake of Mr Ofori-Atta’s China visit.
‘US a friend – like China and Russia’
Economist and professor of finance at the University of Ghana, Godfred Alufar Bokpin, does not think the visit will deliver “an immediate dividend” to help alleviate the country’s financial woes.
“Having China on board is complicated,” he said, while noting that Ms Harris’ visit was “a very important” one for Ghana as it “elevates our relationship with the US to another level”.
He told the BBC the interest the US is showing in the country and its debt crisis “is good” but he is worried about what he described as “unfavourable terms of trade” with creditor nations.
Image caption,First Lady Jill Biden, seen here in Namibia in February, was another US dignitary to have recently visited the continent
Zambia finds itself in a similar position to Ghana.
The copper-rich nation became the first African country to default on its debt when the Covid pandemic hit.
It is in prolonged discussions with China to restructure its debt and has also sought financial support from the IMF.
The Reuters news agency quotes a senior US official as saying Ms Harris “would discuss the best ways for the international community to address debt challenges faced by Ghana and Zambia”.
Like Prof Bokpin, Zambian analyst Dr Sishuwa Sishuwa thinks China holds more influence when it comes to restructuring debt. But the US wants to be seen as the more reliable partner.
There is a growing sentiment on the continent that Africa should have a free choice in its relationships with the rest of the world.
“Zambia sees the United States in the same way as it sees China and Russia – a friend,” Dr Sishuwa told the BBC.
“When a country turns to China, or Russia, or the US for support, this should not be seen as snubbing one major power bloc or the other.”
He said attempts to seek exclusive relationships with African countries may be counterproductive and unsustainable.
This echoed South African President Cyril Ramaphosa’s comments during a visit to Washington last year when he said: “We should not be told by anyone who we associate with.”
Senior US officials have told the BBC it is not their intention to tell African countries who they can be friends with.
The US has however been keen to emphasise its focus on democracy in its relationships with African countries, something the vice-president is also expected to discuss during her visit.
President Hakainde Hichilema of Zambia is due to co-host a virtual Summit for Democracy, along with four other heads of state including President Biden, shortly before receiving Ms Harris in the country.
It is one of the values, along with human rights and good governance, that the US government says underpins its relationships with the continent – and sets it apart from China and Russia.
Scepticism in Africa
China has a non-interference policy in countries’ internal political affairs – something that has smoothed its engagement with autocratic leaders.
And Russia’s presence in African countries that have experienced coups recently – Burkina Faso and Mali – has led to a souring of relations between them and the West, especially France, the former colonial power which had maintained close ties to both countries.
Russia’s invasion of Ukraine has no doubt given Western nations an added sense of urgency in winning over more African countries. UN votes to condemn it divided African nations which accounted for half of all abstentions, including Tanzania which is also on Ms Harris’ itinerary.
Image caption,Tanzania’s President Samia Suluhu Hassan first met Vice-President Harris in Washington nearly a year ago
The US vice-president – the first woman to hold that position – will meet President Samia Suluhu Hassan, her country’s first female head of state.
This shared experience of being pioneering women is creating a buzz in Tanzania.
Many are also touting the visit as an endorsement of the progress the country is making and its growing visibility on the global map.
It was not that long ago that Tanzania was something of an outcast under the presidency of John Magufuli, who was seen as having autocratic tendencies, curtailing the activities of the opposition and independent media.
Ms Harris is the most senior US official from the Biden administration to visit Africa and the fifth since December’s US-Africa summit.
Others have been the Treasury Secretary Janet Yellen, US ambassador to the UN Linda Thomas-Greenfield, First Lady Jill Biden and Mr Blinken.
But with the renewed interest comes a demand from the continent to be treated fairly.
Ghana’s Prof Bokpin said there was a level of scepticism about the heightened interest in Africa.
“There’s a belief that a new Scramble for Africa is in play,” referring to the subdivision of the continent by European nations in the late 19th Century which led to decades of colonialism and exploitation.
“This engagement needs to emphasise mutual respect,” he added.
Founder of Alibaba, Jack Ma, has reportedly reappeared at a school in Hangzhou after disappearing for three years.
Since 2020, when the 58-year-old began to criticise China’s financial regulators, he has maintained a low profile.
The most well-known Chinese billionaire to vanish during a crackdown on tech entrepreneurs was Mr. Ma.
According to the South China Morning Post, he recently made his way back to China after spending more than a year abroad.
He made a brief stopover in Hong Kong, where he met friends and also briefly visited Art Basel, an international art fair, according to the Alibaba-owned newspaper.
It added that Mr Ma has been travelling to different countries to learn about agricultural technology, but made no reference as to why he had disappeared from public view in recent years.
Mr Ma, a former English teacher, met staff and toured classrooms at the Yungu School in Hangzhou, the city in which Alibaba is headquartered.
He talked about the potential challenges of artificial intelligence to education, according to the school’s social media page.
“ChatGPT and similar technologies are just the beginning of the AI era. We should use artificial intelligence to solve problems instead of being controlled by it,” he said.
Once the richest man in China, Mr Ma gave up control of financial technology giant Ant Group in January this year.
It was seen by some commentators as further evidence that he had fallen foul of the Chinese Communist Party for becoming outspoken and too powerful.
The following month, Ant’s planned £26bn stock market flotation, which would have been the world’s largest, was cancelled at the last minute by Chinese authorities, who cited “major issues” over regulating the firm.
Since then, there have been reported sightings of him in various countries including Spain, the Netherlands, Thailand and Australia.
Last November, the Financial Times newspaper reported that Mr Ma had been living in Tokyo, Japan for six months.
When Mr Ma first stopped making public appearances, it was rumoured that he had been placed under house arrest or had been otherwise detained.
The Cedi gained against the dollar, climbing to 12.25 from 12.41 at last week’s close as FX demand eased amid a decline in oil prices.
Ghanaian Finance MinisterKen Ofori-Atta said that talks are continuing with China about restructuring its debt following a successful domestic debt exchange programme.
China is Ghana’s biggest bilateral lender, with about $1.7bn in loans outstanding. Ghana needs to reach a deal with all its creditors to unlock a $3bn bailout from the IMF. We expect the Cedi to continue trading around current levels in the short term, absent further progress in the restructuring talks.
The Naira depreciated against the dollar, sliding to 741 from 731 at last week’s close as FX demand increased and the central bank allowed old 500- and 1000-Naira notes to recirculate. Nigeria’s annual inflation edged higher in February, with prices rising 21.91% compared to 21.82% a month earlier. That prompted the central bank to raise interest rates by 50bps to 18%. The cash scarcity in recent weeks forced Nigerians to turn to e-payment channels, where transactions in February jumped 121.6% compared to a year earlier. We expect the Naira to continue weakening against the dollar in the near term as FX demand gathers steam.
Rand edges towards 17 handle amid Fed pause signal
The Rand strengthened against the dollar, trading at 18.15 from 18.40 at last week’s close, after the US Federal Reserve signaled a pause in interest rate hikes to allow the banking system to recover.
South Africa had its first full day in 141 days without a rotational power cut this week. An opposition-led march caused little disruption after the government deployed the army to avoid a repeat of the unrest that erupted in July 2021 protests. We expect the Rand to continue edging towards the 18 level, potentially trading with a 17 handle if recent positive international momentum is maintained.
Egypt Pound weakens as imports drive dollar shortage
The Pound declined against the dollar, trading at 30.89 from 30.48 at last week’s close. Egypt agreed to a new framework with the World Bank this week that will enable access to as much as $7bn in financing between now and 2027 to support economic reforms, including privatisation, job growth, and the development of sustainable projects.
The Suez Canal Authority reported a 40% increase in first-quarter revenue compared with the same period a year ago due to increased transit rates and shipping traffic, providing much-needed FX inflows. Overall, we expect the Pound to continue weakening in the short-to-medium term as the economy remains largely reliant on imports and faces a net dollar shortage.
Kenyan Shilling hits new low after 5% decline this year
The Shilling slumped to a fresh low against the dollar, trading at 130.80/131.00 from 127.10/127.30 at last week’s close due to sustained FX demand from energy importers and manufacturers. The Shilling has lost more than 5% of its value against the dollar since the start of this year.
Kenya held its first meeting with the UK as part of a bilateral Economic Partnership Agreement signed in 2021. The agreement saves Kenyan businesses KES1.5bn a year in duties on popular exports such as cut flowers and green beans. We expect the Shilling to continue weakening towards month-end as importers close transactions, with support from central bank FX reserves dwindling at $6.56bn, sufficient for only 3.66 months of import cover.
Ugandan Shilling under pressure from imports
The Shilling weakened against the dollar, trading at 3763 from 3733 at last week’s close, adding to losses of more than 4% over the past year. Imports have been rising, with Uganda fulfilling less than 30% of domestic demand for oilseeds for cooking, despite efforts to increase the production of palm oil, including the Kalangala project. Dollar demand for imports will continue to weigh on the Shilling in the near term.
Inflows steady Tanzania Shilling amid Marburg virus outbreak
The Shilling advanced from a four-year low against the dollar, strengthening to 2338 from a close last week at 2341, the weakest level since March 2019. Tanzania confirmed its first deaths from the deadly and highly virulent Marburg virus. Public health authorities are working with the World Health Organization to limit the spread of the virus, which has so far claimed five lives in the country.
Investment into Tanzania has grown to $8.64bn from $3.16bn over the past two years, according to the Tanzania Investment Centre. That investor confidence should help support the Shilling from any dramatic declines as markets react to the Marburg outbreak. While we expect the currency will slip back to the 2341 level, it is unlikely to weaken beyond 2343.
West African banks urged to ensure capital cushions
The West African central bank warned commercial banks in the region to be prudent about dividend distributions for the 2022 financial year, given the recent weakness in the global banking system. It encouraged banks to ensure mandatory regulatory capital levels that have been in place since the start of the year. The call to scale back dividends is likely to impact the share prices of listed banks.
Bank of Central African States FX reserves jump
The Bank of Central African States said the region’s FX reserves reached XAF7bn at the end of last year, up from XAF4.6bn at the end of 2021. The reserves, sufficient for 4½ months of import cover, increased due to regulations that force oil and mining companies to retrocede 35% of FX earned to the central bank.
With the rate expected to gradually increase to 75%, this should help to sustain higher reserve levels in coming years.
At the 2023 Oxford Center for the Study of African Economies Conference at St. Catherine’s College, Oxford, Abebe Aemro Selassie, Director of the African Department of the IMF, said: “For cases where debt is unsustainable, it goes without saying that it needs to be restructured.”
In such cases, he said, “the burden of making repayments should not fall unduly on debtor countries”.
“But this is easier said than done”, he admitted, saying: “Debt restructurings have always been difficult, and even more so now in the context of a more diversified creditor base and more complex structure of public debt.
“Take domestic debt, which now accounts for about half of all public debt in sub-Saharan Africa.
“In cases where public debt is unsustainable, and this exposure needs to be included in the restructuring perimeter, careful consideration needs to be given to the effects on the domestic banking sector, how quickly market access can be regained etc.”, he advised.
“And with respect to external creditors, countries, of course, have even less sway over the pace at which restructuring can happen, as clearly shown by the ongoing challenges with the Common Framework”.
This, he noted, “is even more frustrating in unsustainable cases where the official creditors’ inability to agree on a needed debt treatment prevents the IMF from providing timely support to countries during periods of acute distress”.
Ghana restructured its domestic debt a few weeks ago and is currently in talks with China and the Paris Club to restructure the gold-producing West African country’s external debt of about $5.3 billion, of which $1.7 billion is owed to China alone.
Read Abebe Aemro Selassie’s full remarks below:
Prospects remains undiminished. As difficult as conditions are at the moment, I strongly believe that the vast majority of countries have reached a threshold where even in the face of the many challenges they face, they will get by; indeed, go on to prosper. Rather, what is frustrating is that with a modicum of increased support, the region could be helped to reach its full potential sooner and the global economy could be much better for it.
While countries have a clear role to play, what is required of the international community going forward are the following:
Much higher volumes of countercyclical flows, particularly from International Financial Institutions (IFIs), to neutralize the highly procyclical nature of private capital flows. At the Fund, for example, right now our ability to sustain our recent high levels of support is increasingly being constrained by the limited availability of concessional resources. A challenge that we are working very hard to address via pledges from our wealthier members.
A more agile and effective sovereign debt resolution framework. The G20’s Common Framework is an important innovation, and we would be in a much worse place without it. At the same time, it has not been able to provide the required financing assurances and debt relief in a timely manner. This needs to change, and quickly. Again, as an institution, we are working relentlessly to improve this process and, with the World Bank and the G20, launched a new Global Sovereign Debt Roundtable in February to bring together key stakeholders involved in sovereign debt restructuring to address the current shortcomings in debt restructurings.
Finally, more support from advanced countries is needed. As one British mandarin once put it to me, the “authorizing environment” for this is not exactly favorable. Indeed, we are seeing significant cuts in such flows, and a significant share of what is not being cut is instead being directed elsewhere. Two quick points on this. First, as the preceding discussion has, I hope, convinced you, this cut in aid, particularly its diversion away from budgets, is having the very significant effect of proportionally reducing development spending. Second, if it is perhaps too much to ask for higher aid, then one change that could at least be made is to ensure that there is much more progressivity in aid flows to the poorest and more fragile countries.
Again, absent making sure that we devote the resources needed now to build human capital and help integrate Africa into the global economy, it is not just slower growth and development progress in the region that is in store, but also a much weaker and less resilient global economy.
China would like to enhance communications with Ghana to seek proper resolution of Ghana’s debt issue, its foreign ministry said on Thursday,
Spokesperson Wang Wenbin made the remark in response to a question on Ghana’s finance minister visiting Beijing for a proposed restructuring of Ghana’s debt.
The Chinese-ownedsocial media app TikTok will be blocked from devices and networks in the latest ban imposed on it.
The House of Commons and House of Lords commissions have announced that they will follow the government’s lead on official devices, citing the importance of cyber security.
TikTok, according to a parliament spokesman, “will be blocked from all parliamentary devices and the wider parliamentary network.”
“Cyber security is a top priority for parliament, however we do not comment on specific details of our cyber or physical security controls, policies or incidents.” they said.
A similar decision has also been taken in Scotland, with TikTok banned from government phones and other devices.
It comes as the TikTok chief faces questions on security at the US Congress.
China wants to improve communication with Ghana in order to find a proper solution to the country’s debt problem, according to the Foreign Ministry.
Spokesperson Wang Wenbin made the remark in response to a question on Ghana’s finance minister visiting Beijing for a proposed restructuring of Ghana’s debt.
Ghana’s finance minister Ken Ofori-Atta has travelled to Beijing to meet Chinese officials to discuss a proposed restructuring of Ghana’s debt.
“The talks are expected to focus on ways to reduce Ghana’s debt burden and secure additional financing assurances for the country’s economic programme,” a source said, asking not to be named because the talks are private.
Ghana is facing a severe economic crisis and seeking a $3 billion credit facility from the International Monetary Fund (IMF) to avoid a potential collapse.
However, securing the support of its creditors is essential to obtain the IMF loan, and China is a significant creditor of Ghana.
As a result, Ghana’s President Akufo-Addo has appealed to Germany’s Finance Minister Christian Lindner to encourage China’s participation in the country’s economic recovery programmes.
Germany’s Finance Minister Christian Lindner
“We have good relations with China. We would like you to encourage China to participate in these programmes as quickly as possible,” President Akufo-Addo said.
In response, German Ambassador to Ghana, Daniel Krull, advised that Ghana reduces the size of her government to reflect the current economic challenges.
“I can only compare with the other countries like mine and I can come to the conclusion that there is a huge number, the number is much higher than in my country, so that may bring me to the conclusion that there is room for improvement,” he said.
Ghana’s Finance Minister Ken Ofori-Atta also initiated talks with China in February 2023 to discuss the former’s debt situation and explore possible solutions.
Finance Minister Ken Ofori-Atta
However, some experts are sceptical that Ghana’s engagement with China will be productive due to the country’s unique debt circumstances.
According to Dr. Ishmael Hlovor, an international development expert, Ghana’s debt situation is more complicated than the debt of the 27 countries whose debts China cancelled in 2019.
These debts were getting to maturity, and there was something small left on them, whereas Ghana’s debt has more commercial lending components.
“In 2019 for instance, about 27 countries’ debts were cancelled. But if you scrutinise those loans, they were loans that were getting to maturation and there was something small left on them, but our situation is a little bit complicated because of commercial lending,” he told JoyNews.
Therefore, Ghana should lower its expectations about debt cancellation and seek other ways to restructure its debts, such as extending the repayment period, lowering interest rates, or swapping debts with other creditors.
Moreover, there is another school of thought that believes that Ghana’s stance on the Russia-Ukraine war could further complicate its negotiation with China, given China’s friendly relationship with Russia.
On February 24, 2023, Ghana supported a UN General Assembly resolution condemning Russia’s invasion of Ukraine, along with Nigeria, Ivory Coast, Egypt, and Kenya.
UN General Assembly
President Akufo-Addo emphasized that “great powers trampling on small nations is not something that we welcome,” and Ghana would continue to hold its position. However, China has not directly condemned Russia’s invasion of Ukraine or otherwise and called for a cease-fire and peace talks instead.
Prior to this, President Akufo-Addo ratted out Burkina Faso, accusing the neighbouring country inviting in mercenaries from Russian firm Wagner.
“To have them operating on our northern border is particularly distressing for us in Ghana,” he said in December 2022.
China has close ties with Russia, as evidenced by the “no limits” partnership agreement signed between Beijing and Moscow in February 2022. More interesting is Chinese President Xi Jinping’s visit to Russia and their subsequent signage of another partnership agreement that seeks to deepen China-Russia relations.
Xi Jinping and Vladimir Putin
It remains uncertain how China will respond to Ghana’s request for debt relief.
However, Ghana’s engagement with China could provide an opportunity for both countries to strengthen their economic ties and collaborate on infrastructure and development projects.
Ghana could leverage China’s Belt and Road Initiative, which aims to promote trade, investment, and connectivity between China and countries along the ancient Silk Road, to enhance its transport, energy, and communication infrastructure.
Nonetheless, Ghana must balance its engagement with China’s economic interests and its foreign policy objectives and ensure that it pursues sustainable and equitable development.
The Ayawaso East Municipal Assembly (AEMA) in collaboration with the police have carried out a demolishing exercise, destroying about 200 structures, including motor repair shops, containers, and food vending facilities.
The exercise, which took place on Tuesday, March 21, 2023, was conducted between the National Vocational Training Institute (NVTI) and the Nima-Maamobi Community Library.
According to reports, the illegal occupants were located around the Central Mosque at Kawukudi, in the Ayawaso East Municipality.
The demolition exercise, which commenced at dawn, prevented some individuals from salvaging valuable items. Eyewitnesses have reported that the exercise was carried out thoroughly, leaving no structure standing.
“I went to the mosque to pray, and when I finished and came out I saw people running out of their rooms. Some of them had towels around their waist, and others wore only shorts because they were still sleeping when the demolition started,” said Rafik Seidu, an eyewitness, in an interview with Graphic Online.
The Ayawaso East Municipal Assembly has not yet disclosed what the demolished site would be used for in the near future.
However, affected residents are speculating that the piece of land could be used for the construction of a police station or a national mosque. Some have even alleged that the land has been sold to a church.
Hundreds of individuals have been rendered homeless as a result of the demolishing exercise.
The AEMA has assured the public that it will work with the appropriate authorities to ensure that those affected are adequately resettled.
Ghana’s objective to receive a credit facility worth $3 billion from the International Monetary Fund (IMF) by the end of March seems to be on tenterhooks.
This is because, on the IMF Executive Board Calendar, the Fund has not made room for a discussion on Ghana’s request for economic support.
From March 22 to 29, 2023, the IMF will be in Papua New Guinea, Peru and Colombia.
In Papua New Guinea, the IMF Board will be looking at the Request for the Extended Credit Facility/Extended Fund Facility.
The IMF Board will have a 2023 Article IV Consultation Meeting and 2023 Article IV Consultation with Peru and Colombia respectively.
The IMF Board per the calendar has no official business up until March 27, 2023, when it engages Burkina Faso over its Request for Disbursement Under the Rapid Credit Facility.
The Board’s final engagement in March happens on March 29, 2023. It will be providing a World Economic Outlook; Global Financial Stability Report; Fiscal Monitor.
According to the IMF on its website, its calendar is subject to change, however the agenda for each meeting is typically finalized the day before the meeting.
President Akufo-Addo has assured that Ghana would receive support from the IMF by the end of this month.
While presenting the State of the Nation’s Address on March 8, he said “we are on course for the IMF Staff to present to the IMF Executive Board Ghana’s programme request for a $3 billion extended credit facility by the end of the month.”
The Minority Leader, Dr Cassiel Ato Baah Forson, is however, pessimistic about Ghana making headway in its engagement with the Fund.
He argued that Ghana is yet to receive financing assurances from its creditors, hence his posture on the subject.
“We need to get China to give Ghana financing assurance that they are ready to accept a haircut. Aside that, we are also expected as a country to get financing assurance from the Paris club, including Germany, who are telling us to go and cut down the size of our government and reduce government expenditure yet we don’t seem to care,” he said.
It has been eight months since the Akufo-Addo-led government reached out to the IMF – believed to be the seventeenth time Ghana has gone to the Fund.
Meanwhile, Finance minister Ken Ofori-Atta will travel to Beijing on Wednesday to meet Chinese officials to discuss a proposed restructuring of Ghana’s debt.
On February 6, 2023, President Akufo-Addo announced China’s relevance in steps towards the recovery of the Ghanaian economy.
Engaging the Finance Minister of Germany, Christian Lindner, the President asked that he put in a word for Ghana to convince President Xi Xinping to assist the West African country.
“We have good relations with China. We would like you to encourage China to participate in these programmes as quickly as possible,” President Akufo-Addo said.
Fifteen days later, reports emerged that Ghana had personally initiated talks with China.
Finance Minister Ken Ofori-Atta planned to visit China, which it owes about $1.7 billion according to Reuters, and holds $5.7 billion of its external bonds by the end of the week (February 26).
Due to the National People’s Congress of China meeting scheduled for March 5, 2023, the meeting was postponed.
On Monday, March 20, 2023, Mr Ofori-Atta left Ghana for China to resume discussions on a debt cancellation.
Ma, a prominent figure in Taiwan’s opposition Kuomintang (KMT) party, will visit mainland China between March 27 and April 7, according to a statement released by his foundation on Sunday.
According to the foundation, he will pay respects to his ancestors in the southwest Hunan Province and head a group of Taiwanese students who will meet with counterparts from mainland China in several locations.
While the trip is ostensibly a private one it is filled with historic symbolism and comes at a time of deepening tensions over the future of Taiwan.
China’s ruling Communist Party has never controlled Taiwan but claims the self-ruled island democracy as its own and has repeatedly refused to rule out taking it by force.
At the end of the Chinese Civil War, Mao Zedong’s Communist Party took control of mainland China while the Kuomintang under Chiang Kai-shek fled to Taiwan– with both sides claiming to be the legitimate representative of China in the following decades, until Taiwan’s transition into a democracy in the 1990s.
But more recent decades saw increasingly ties warm between Beijing and the KMT, a rapprochement that reached its peak during Ma’s administration.
Ma served as Taiwan’s president between 2008 and 2016 during which he drew stronger economic ties between China and the democratically ruled island but kept Beijing’s push for reunification at bay.
His perceived closeness to Beijing, particularly on the economic front, sparked protests and a major voter backlash.
The KMT have lost the last two elections to the Democratic Progressive Party (DPP), which is much more skeptical toward Beijing and rejects the tacit understanding that both sides acknowledge they belong to “one China,” but with different interpretations of what that entails.
China’s leader Xi Jinping has ramped up economic, diplomatic and military pressure on Taiwan ever since the DPP took power in 2016.
Ma’s historic trip is taking place against that febrile geopolitical backdrop and comes as Taiwan and the United States ramp up efforts to counter China’s growing military capabilities.
His trip will also come at a politically sensitive time. Taiwan’s President Tsai Ing-wen will soon make a stopover in the US en route to diplomatic allies in Latin America, an official with Taiwan’s Overseas Community Affairs Council told lawmakers earlier this month. US House Speaker Kevin McCarthy also said he plans to meet with her when she is in the US.
Taiwan is scheduled to hold its next presidential election in January next year. Tsai is not eligible for re-election.
Fears of a Chinese invasion have loomed over Taiwan for more than seven decades but they have been supercharged by both Xi’s increased assertiveness andRussia’s invasion of Ukraine.
The KMT has long rejected being characterized as a “pro-Beijing” party. But its leadership, including Ma, have often pushed the need to improve ties.
The KMT’s deputy chairman Andrew Hsia visited Beijing last month to meet with senior Communist Party leader Wang Huning.
In contrast, Beijing has severed official communication with Taiwan’s Tsai-led government.
In 2015, Ma and Xi held a historic face-to-face meeting in Singapore – the first meeting between leaders of the Kuomintang and Chinese Communist Party since the end of the Chinese Civil War, although not on either side of the strait.
Ma’s foundation said a meeting between Xi and Ma is not currently being planned for the trip.
Taiwan’s presidential office said in a statement Sunday that Ma will be required to report details of his itinerary to the government before and after his visit to China.
Finance Minister Ken Ofori Atta has left Accra for China to have negotiations on debt restructuring with officials of that country.
Sources say the Minister left over the weekend via Addis Ababa to attend the UNECA High-Level Ministers meeting on Global Financial Architecture.
After that meeting, Mr Ofori-Atta is expected to head to China, possibly on March 22, 2023.
The Minister leading the government delegation is expected to continue bilateral talks with China and seek financial assurances for Ghana’s programme with the International Monetary Fund.
The trip was postponed to the end of March because it coincided with the National People’s Congress of China meeting in early March 2023.
The Minister of Finance has already held meetings with officials of Exim Bank China in Ghana, all in the line of re-profiling the country’s debt to China.
Ken Ofori Atta on China visit
Finance Minister, Ken Ofori-Atta, in an earlier meeting with the German Finance Minister, said China has committed to bilateral negotiation.
In view of that, he is hopeful a deal can be reached to enable Ghana to present its case before the IMF Board.
“The big elephant in the room is China as in how they will comport themselves in the comparability of treatment because China wants to do bilateral. The discussion is on how they [China] can envelop as quickly as possible,” he said.
China visit and Ghana’s programme with IMF
Government sources maintain that the Finance Minister’s visit to China marks a step closer to IMF programme approval by the IMF Board.
In an interview, the Finance Minister told Joy Business the government is working to re-profile the country’s debt with its external creditors including China and subsequently find ways to secure their commitments to cancel Ghana’s debt.
Securing a deal from these creditors will go a long way to getting IMF Board approval for Ghana’s Economic Programme.
Negotiations with Paris Club members
Joy Business understands that there has been some significant progress on negotiations with the Paris Club, with requisite documentation submitted and the expectation of the formation of a creditor committee expeditiously.
Background
Ghana is hoping to restructure $5. 7 billion of its external debt, with China holding a third of it amounting to $1.7 billion.
The structure of Ghana’s external debt shows that the country owes China about $1.7 billion; Eurobonds, $13.1 billion and Multilateral, $ 8.1 dollars.
The rest are Paris Club countries, $1.9 billion and other creditors, $3.2 Billion.
The World Health Organization has warned that China is under-representing the true impact of Covid in the country – in particular deaths.
The removal of most restrictions last month has led to a surge in cases.
But China has stopped publishing daily cases data, and has announced only 22 Covid deaths since December, using its own strict criteria.
“We believe that definition [of a Covid death] is too narrow,” WHO emergencies director Dr Michael Ryan said.
Dr Ryan said China’s figures “under-represent the true impact of the disease in terms of hospital admissions, in terms of ICU admissions, and particularly in terms of deaths”.
China last month changed its criteria for what constitutes a Covid death, meaning only those who die of respiratory illnesses are counted.
This goes against WHO guidance, which encourages countries to count the number of excess deaths – how many more people die than would normally be expected based on death figures before the pandemic hit.
Dr Ryan added that China had increased its engagement with the WHO in recent weeks, and said he looked forward to receiving “more comprehensive data.”
But he also suggested individual health workers could report their own data and experiences.
“We do not discourage doctors and nurses reporting these deaths and these cases,” Dr Ryan said. “We have an open approach to be able to record the actual impact of disease in society.”
The UK science data company Airfinity estimates more than two million Covid cases a day in China, and 14,700 deaths.
Since China abandoned key parts of its “zero-Covid” strategy almost a month ago, there have been reports of hospitals and crematoriums being overwhelmed.
More than a dozen nations have introduced travel restrictions on travellers from China. Beijing has criticised these as politically motivated and threatened to retaliate.
On Wednesday, the European Union issued new guidance “strongly” recommending that all member states introduce the requirement that passengers flying from China provide a negative Covid test before their departure.
No new Covid variants have been detected in China, despite the surge in cases. However, the WHO has warned this could be due to a decrease in testing.
The Chinese authorities have announced they are sending medical supplies to rural hospitals before an expected wave of coronavirus infections in the countryside – where vaccination rates are patchy.
Dr Abdi Rahman Mahamud, director of the WHO’s alert and response coordination department, has warned China may see another wave of infections as families gather for China’s Lunar New Year in a few weeks – one of the country’s busiest travel periods.
In an effort to strengthen ties, Taipei has agreed to resume flights to several cities throughout China.The situation will become more comparable to the pre-coronavirus norm once the flights are resumed.
On Thursday, the Taiwanese government announced that it had agreed to start operating more direct flights to China, which had been suspended following the coronavirus pandemic. It stated that this was done in an effort to promote “healthy and orderly exchanges” with Beijing in light of the ongoing tension in the area.
At the moment, Taiwan only permits air travel to Beijing, Chengdu, Shanghai, and Xiamen in China.
However, there were more nonstop flights from Taiwan to numerous Chinese cities prior to the pandemic.
Lights to improve ‘cooperative interactions’
Taipei’s Mainland Affairs Council has approved regular flights for 10 more cities, including the economic hubs of Guangzhou, Shenzhen, and Nanjing. Charter flights are also to be resumed for 13 Chinese cities.
The latest plan will incorporate 209 flights per week between the two countries. Of those, 99 flights will originate from China, and 110 from Taiwan.
Taiwanese health officials also said that covid testing would not be required at present for passengers arriving in Taiwan from China.
Chan Chih-hung, an official from the Council, told reporters that the move demonstrated Taiwan’s “most sincere goodwill.”
“We also hope to build on the foundation of these resumed flights to gradually increase the exchange of goodwill gestures and cooperative interactions by both sides,” he said.
‘Strained relations’
From 1949 to 2002, no direct flights were in place between Taiwan and China. Passengers had to transit through Hong Kong or Macau.
In 2003, the two began charter flights, after which regular direct flights were introduced in 2009.
When the COVID-19 pandemic struck the world in 2020, flights were again disrupted.
Taipei’s government has been attempting to resume its interactions with Beijing after they lifted the strict quarantine regulations last year. The island’s president Tsai Ing-wen said she hoped that the efforts would help improve China-Taiwan relations.
However, since China considers Taiwan as part of its own territory, Beijing does not hold formal diplomatic relations with Taipei.
Ghana’s Minister of Finance, Ken Ofori-Atta, has implored a delegation from the China Exim Bank to assist Ghana in overcoming its current economic challenges.
China Exim Bank bears more than 40% of Ghana’s debt to China. The Chinese delegation was in Ghana before Ghanaian officials traveled there to negotiate debt reduction.
The Finance Minister made the plea at a farewell dinner for the Chinese delegation from the China Exim Bank, which was in Accra to work with the government on efforts to restructure an estimated $1.9 billion in debt owing to China.
Ghana’s current condition is “difficult,” according to Mr. Ofori-Atta.
“What Ghana needs as we go through our current challenging economic and financial circumstances is strong support from our lasting partners, including China, to restore lasting growth and support the vulnerable,” he said.
A report on the Ministry of Finance website stated that the delegation is in Accra on a three- day mission, ahead of Ghana’s upcoming mission to China, all in line with ongoing negotiations for a sovereign debt treatment.
Ken Ofori Atta will lead a high-powered government delegation to China to plead for the acceptance of the country’s proposal for debt cancellation.
Ghana is hoping to restructure $5. 7 billion with China holding a third of it amounting to $1.7 billion dollars.
Ghana is currently restructuring its debt both domestically and externally in order to access support from the IMF.
China is Ghana’s single biggest bilateral creditor with $1.7 billion of debt, while Ghana owes $1.9 billion to Paris Club members, according to data from the Institute of International Finance (IIF).
As lawmakers gather in Beijing to adopt comprehensive changes, Xi Jinping is expected to further consolidate his hold over China’s government and economy.
Mr. Xi’s third term as president and the selection of his top team will be confirmed by the National People’s Congress (NPC), a rubber-stamp legislature.
In addition, they will choose a new premier to succeed Li Keqiang as Mr. Xi’s successor.
The meetings, referred to as The Two Sessions, take place once a year.
Yet, this year’s meetings are especially noteworthy since delegates are anticipated to reform a number of important Communist Party and government organizations.
They will also tighten control over bodies overseeing the finance sector and scientific and technology work, while “strengthening party-building work” in private businesses, according to state media.
The moves will likely further blur the lines between the Chinese Communist Party and the government, and consolidate the party’s control of the private sector.
This comes amid an ongoing corruption crackdown which has seen a string of high-profile businessmen disappear in recent years. The latest person to go missing was one of China’s top dealmakers in the tech sector.
This week’s NPC meeting will also formalise Mr Xi’s leadership of the country, as he will be elected president of China and head of the armed forces.
He secured his position in the echelons of Chinese power in October last year, when the Communist Party re-elected him as their leader for a third term.
It was a break from decades-long tradition, as no other party leader besides Communist China’s first leader, Mao Zedong, will have served for this long. In the 2018 NPC meeting, lawmakers had approved the removal of term limits on the presidency, effectively allowing Mr Xi to remain leader for life.
Mr Xi’s appointment comes as he faces domestic pressure to turn around an economy battered by his zero-Covid strategy and crackdowns in various business sectors.
At the start of the meeting, it was announced that China will pursue a reduced economic growth target of about 5% this year, while defence spending is to rise by more than 7%.
Abroad, Mr Xi is navigating worsening ties with the US over the Ukraine war and the recent spy balloon saga, even as he warms his embrace of Russian leader Vladimir Putin.
The NPC will also unveil the new Premier, China’s equivalent of a prime minister who traditionally oversees the economy and administrative aspects of governance.
Li Qiang, one of Mr Xi’s most trusted colleagues, is expected to assume the role. As the Shanghai party secretary, he oversaw a prolonged and painful Covid lockdown that angered locals and made international headlines.
Outgoing premier Li Keqiang, who was ousted in the leadership reshuffle at October’s party congress, will deliver his last work report speech.
The political appointments for the rest of the Politburo Standing Committee, the equivalent of Mr Xi’s cabinet, will also be announced.
Many will be watching to see who fills several key positions, such as the commerce minister, head of the national development and reform commission, propaganda chief, and head of state security.
Observers say the team was picked more for their loyalty to Mr Xi and the party, rather than for their expertise.
Following persistent negotiations with Chinese authorities for debt cancellation, President Akufo-Addo is sure Ghana will achieve a final agreement with the International Monetary Fund for a bailout by the end of this month.
He claims that a meeting with the Chinese Exim Bank is going well and suggests that the nation may close a deal with the Paris club.
At the annual gathering of ambassadors and high commissioners yesterday night at the Peduase lodge, he made this statement in a speech.
“Just as we managed to get the staff level agreement in recorded time in December last year, whose terms we’re systematically fulfilling including the difficult but ultimately highly successful process of the domestic debt exchange programme, I’m confident that with the cooperation that we’re receiving from the Paris Club and the People’s Republic of China which has sent a delegation from China’s EXIM Bank to Accra over the weekend to meet with officials of the Ministry of Finance, we shall be able to go to the board of the Fund to conclude finally the agreement by the end of March. This will set the stage for the strong recovery of Ghana’s economy,” he said.
His assurance follows his appeal to Germany to “encourage” China, an ad hoc member of the Paris Club, to support Ghana’s debt restructuring efforts.
In order to support the initiatives that would enable Ghana to resume economic growth, he said it is imperative that the Paris Club quickly creates a creditors committee with the participation of other official creditors.
When the German Finance Minister, Christian Lindner, visited the President at Jubilee House in Accra, the President made the call.
Jia Xin Industrial Mining Corporation has received final consent from the chiefs and residents of Akokoaso, a rural hamlet in the Akyemansa District rich in mineral reserves, to conduct business there.
The community protested to stop the Chinese mining business from utilizing prospecting licenses to dig for gold in the region earlier, and now they have given their approval.
Following receipt of a community petition, the Minerals commission halted the company’s operations in the region.
The Jia Xin industrial mining firm has been awarded permission to start work in the area after obtaining all required mining papers and fulfilling all relevant procedures with community stakeholder participation.
Speaking at a community stakeholders engagement organized by the Minerals Commission, the Queen Mother of Akokoaso Nana Agyeiwaa Kodie II appreciated the mining company for securing all necessary documents.
“We want to appreciate the Minerals commission for intervening in ensuring that the right thing is done and sanctioning them. We thought they were engaging in galamsey but that is not the case because the president despises illegal mining so this company will not be given documents to engage in illegal mining.
“We are grateful to them because we know they will employ community members to work in the company so I want to tell the company that out of the number of workers who will be employed, the community should be given a 70 percent ratio and the 30 percent for foreigners, so all abled members of the community should get ready to work”.
The Manager of the mining company speaking to the media after the community engagement denied claims that the company is into illegal mining
“We are not engaging in galamsey, we are looking forward to employing competent members of the community who are willing and ready to work. Our structures here at the site can never be referred to as galamsey because we are doing legitimate work, we do not use chemicals and you can see from the green around the site.
“As part of our corporate social responsibility to the community we have already dug two boreholes for them with pumping machines, now that we are resuming work here we will put the overhead tanks on it and provide another water system for them”.
“It’s a fact that they have some legitimate concerns and I want to assure you that we are going to sit with them and get it all addressed”.
On his part, the Akim Oda Divisional Police Commander ACP Rev. Dr Adane Ameyaw cautioned the youth of the community to leave in harmony with the workers and desist from creating unnecessary tension in the community.
“I want to caution all of you to stay away from trouble because the law will not shield anyone not even children or women if they come in contact with it”.
In order to end Russia’s invasion of Ukraine, French President Emmanuel Macron has announced that he will travel to China in April.
The declaration was made on Saturday, following the publication by China of a 12-point position paper that demanded an end to the year-long conflict through a “political settlement” and a cease-fire.
At a Paris agricultural expo, Macron announced that he would travel to China in “early April.”
“The fact that China is engaging in peace efforts is a good thing,” the French leader said, stressing that peace was only possible if “Russian aggression was halted, troops withdrawn, and the territorial sovereignty of Ukraine and its people was respected”.
“China must help us put pressure on Russia so that it never uses chemical or nuclear weapons … and that it stops its aggression as a precondition for talks,” he added.
Beijing has sought to position itself as a neutral party on the conflict, even as it has maintained close ties with Russia and helped scuttle a joint statement condemning the war at a G20 gathering in India.
The Chinese position paper, published on the anniversary of the conflict, said war benefits no one and urged all parties to “support Russia and Ukraine in working in the same direction and resuming direct dialogue as quickly as possible”.
Released by the foreign ministry, the plan urges an end to Western sanctions against Russia, the establishment of humanitarian corridors for the evacuation of civilians and steps to ensure the export of grain after disruptions caused global food prices to spike last year.
It also made clear its opposition to the use and threat of deploying nuclear weapons after Russian President Vladimir Putin threatened to use Moscow’s atomic arsenal in the conflict.
To discuss ideas for putting an end to the conflict in Ukraine, Volodymyr Zelensky intends to meet with his counterpart in China.
The Ukrainian president said he was willing to take some of Beijing’s 12-point “peace plan” into consideration when speaking on the first anniversary of Russia’s invasion.
In reference to China’s efforts to mediate peace, he stated at a news conference in Kyiv, “It’s a significant indication that they are preparing to take part in this theme.”
‘So far, I see this as a signal – I don’t know what will happen later.’
Women who belong to the Women Fight 4 UA, a voluntary organization that supports Ukraine, outside the Russian Embassy in London on Friday (Picture: Getty)
Zelensky, who stressed Russia-allied China did not offer a concrete plan but some ‘thoughts’, also warned Beijing against providing Moscow with arms.
‘I very much want to believe that China will not deliver weapons to Russia, and for me this is very important. This is point number one,’ he added, striking a receptive tone.
But any plan that did not include a full withdrawal of Russian troop would not be acceptable to the Ukrainian government.
Zelensky said he planned to meet Chinese President Xi Jinping but did confirm if and when such a meeting has been scheduled for.
Vladimir Putin greets Chinese Communist Party’s foreign policy chief Wang Yi during their meeting at the Kremlin in Moscow (Picture: AP)
‘I plan to meet Xi Jinping and believe this will be beneficial for our countries and for security in the world,’ the leader said.
Meanwhile, he rejected ever holding talks with Russian President Vladimir Putin.
China has refrained from condemning its ally Russia or referring to its intervention in Ukraine as an ‘invasion’.
Chinese officials have also criticised looming Western sanctions on Russia.
‘All parties must stay rational and exercise restraint, avoid fanning the flames and aggravating tensions, and prevent the crisis from deteriorating further or even spiralling out of control,’ the ministry said in its paper.
But NATO secretary-general Jens Stoltenberg told reporters in Tallinn that China does not have ‘much credibility’ as it has failed to condemn the war.
The $3 billion bailout requested by the International Monetary Fund (IMF) may not be authorized, the German ambassador to Ghana,Daniel Krull, has warned, if China refuses to agree to a debt reduction plan.
Addressing the media, Mr Krull said Chinahas so far rejected attempts by officials from Ghana to engage them to commit to the setting up of a creditors’ committee for an agreement on a debt package.
President Nana Addo Dankwa Akufo-Addo on Friday, February 3, urged Germany to “encourage” China, an ad hoc member of the Paris Club, to support Ghana’s debt restructuring efforts.
The President made the call when the visiting German Finance Minister, Christian Lindner called on him at the Jubilee House, Accra.
The Finance Minister, Ken Ofori-Atta, on Thursday, disclosed that the government’s planned high-level meeting with Chinese creditors over Ghana’s debt restructuring has been postponed to late March 2023.
According to him, this is due to the upcoming National People’s Congress of China which is scheduled for early March.
But Mr Krull has disclosed that other creditors will only play their part and help if China – the biggest creditor to Ghana – agrees to the debt relief package.
“We are prepared to live up to our responsibility as one of the major bilateral creditors to Ghana, but we are only ready to implement our solidarity only if certain criteria are met. In this first place, it has to be done in an internationally coordinated fashion, and therefore we have the G20 common framework. The G20 has agreed on how to deal with these kinds of crises, and we feel that it is important that this framework is respected.
“The second condition is that we are ready to take our part when others are ready to do that so all major creditors must be ready to help Ghana. The Big elephant in the room is China. China is the largest creditor to Ghana and so far [China] is not supportive of setting up of a creditors’ committee, where the creditors will sit down and agree on an aid package for Ghana.”
Mr Krull further appealed to MPs and politicians who have business relations with China to encourage their Chinese counterparts to agree to the aid package to help rescue Ghana’s economy.
“The President and the Finance Ministers have appealed to Germany to support Ghana in convincing China to come to the table, and we are ready to do that but at the same time, I want to appeal to all Ghanaians who have strong ties to China, who are doing nice business with China to also engage them and convince them that it is time to sit down with all the creditors and agree on a package. Time is of the essence. Without this agreement, the IMF package is in severe danger.”
Thursday saw the continuation of search and rescue efforts in northern China after a coal mine collapse left at least five people dead and scores trapped.
According to state-run Chinese media, as of Thursday night, 48 individuals were still missing and six were injured.
According to state broadcaster CCTV, the disaster happened on Wednesday in Alxa League, Inner Mongolia, when a 180 metre (590 foot) steep slope gave way above the open-pit mine.
The rescue operation was halted overnight due to a massive landslide near the site Wednesday evening, with efforts still blocked as of early Thursday morning – though state media reported in the afternoon that operations were “ongoing.”
More than 470 rescue workers have been working at the scene, alongside 40 medical workers, team leader Wei Zhiguo told CCTV from the scene. An additional 200-member team has also been mobilized, he said.
Firefighters, rescue dogs and trucks have also been mobilized from across the Inner Mongolia autonomous region.
“I had just started work at 1:15 in the afternoon when I realised that rocks were falling from the mountain,” one hospitalized miner told CCTV on Thursday, as quoted by Reuters.
“I saw that the situation was getting more and more serious, and an evacuation was organized, but it was too late, the mountain just collapsed.”
“We must make every possible effort to rescue the missing persons and treat the injured,” said Chinese leader Xi Jinping on Wednesday.
Chinese Premier Li Keqiang called for an immediate investigation into the cause of the accident, according to the news agency.
The collapsed coal mine is owned by Xinjing Coal Mining Company and is located in the town of Alxa League.
The government of the Federal Republic of Germany says it is willing to assist Ghana push through its proposal with its external creditors, especially China, but first some conditions must be met.
The reaction follows President Akufo-Addo’s call on German Finance Minister, Christian Lindner, to “encourage” China to accept Ghana’s proposal for debt relief with its largest external creditor, China.
The Asian country claims about 1.7 billion of the entire external debt portfolio of 5.7 billion United States dollars which Ghana is seeking to restructure.
German Ambassador to Ghana, Daniel Krull in a yet to be aired interview on Foreign Affairs on the Joy News Chanel told host, Blessed Sogah, that his country is willing to help only if certain conditions are met.
“First of all, we insist that those measures that can be taken here in this country have to be taken. The second condition is that, yes, we are willing to take our share of responsibility as one of the major bilateral donors to Ghana.
“But only if all the others also join in this effort. And there is a multilateral framework that was set up exactly for these kind of crisis and we urge and try to convince all stakeholders in this process to stick to this agreed framework. It’s the G 20 framework,” he said.
When asked to lay out the terms of the domestic conditions to be met by Ghana, Daniel Krull indicated that “Let me let me point to three elements. The biggest loss maker in Ghana is the energy sector. This in this sector alone, each year, 1.5 billion new debt is piled up. So if that is not solved and you can ask the IMF for $10 Billion, you still will not solve the problem in the medium term.
“So there has to be an answer in Ghana to the 50% technical and non-technical losses in the energy sector. If that is not resolved, I don’t see how we can make find a sustainable solution for the financial problems of the country”.
He added “the second part is on the other side of the budget and that is the the revenues. Ghana has the lowest one of the lowest tax to GDP ratios, not even 13%. So we have been cooperating with the local authorities and setting up a very smart system of property tax collection. So I think that is an important way forward and this has to be done and processes and decision making has to faster to meet the goals, to be able to meet the targets that have been agreed with the IMF”.
The Ambassador also noted that he’s “still amazed on the procedures for how the budget is set up and how difficult it is to get an understanding of how this all works. And I think that is something that has to be (Improved) approved. He is however confident that with the necessary political will new opportunities will be created to enhance economic growth.”
