Professional Documents
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EDITOR-IN-CHIEF
DR. SHAHID WAZIR KHAN
DEPUTY EDITOR-IN-CHIEF
SARAH SHAHID WAZIR
EXECUTIVE EDITOR
M. SHAHRUKH
CO-EDITOR (CSS)
ALI INAN
GM MARKETING
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Lahore, Pakistan
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CORRESPONDENTS
NISAR UL HAQ (UK)
AKBAR PASHA (USA)
T he World Health Organization has labelled the novel
coronavirus a pandemic, after it became clear that
Covid-19 was spreading freely across the globe. Novel
virus such as coronavirus usher novel ages. It shakes up
human lives in every sphere: economy, culture, demography,
wrongdoers. The Jews were accused of poisoning the wells in
the Black Plague and labelled as the ‘Enemies of Civilization.’
In Strasbourg 2,000 Jews were killed and entire communities
were wiped out. Today, it won’t be long to hear a priest, a rabi, a
mulla, a pundit or another to blame it on “the people” who do
BELINDA ROBERTSON (AUSTRALIA) environment and religion. The challenge arises when it not observe their religion properly, or a variety of apocalyptic
ASAD RASHEED (MIDDLE EAST) deteriorates morals, depreciates ethics, and spew chaos in explanations would be put forward for the coronavirus. Unfor-
society. Even history is not immune to the mess created by tunately, scientific challenges are often compromised by
LAYOUT & DESIGN epidemics and pandemics. Unexpectedly, humans stop being fundamentalist interpretations and fanatic rhetoric.
agents of history. They become, rather, subservient to other Simultaneously, the unbridled pride over the scientific
KIPS DESIGN DEPARTMENT forces. William H. McNeill implied in his ground-breaking and medical advancement in the 21st century often blindfold
work “Plagues and Peoples,” (1976) that human history us to the desire of modern imperialism for conquest through
ADDRESS proceeds along paths of balance and imbalance between medical ascendancy. The medical advancement in the 19th
12 AIBAK BLOCK, GARDEN TOWN, micro-organisms (like bacteria) and macro-organisms century was a weapon for gaining supremacy over the African
LAHORE, PAKISTAN (human beings). Hence, we might be at the crossroads of population. The advancement in medicines proceeded
civilization – quarantined in oblivion of what is to follow. swiftly–along with the brutal conquest of the entire African
PHONE: +92-42-35941921
Ages ago, the mighty Roman Empire surrendered to continent. On the other hand, black slaves in Haiti succeeded
03-111-999-101 imported viruses. It, consequently, paved the way for the in their rebellion against France because of immunity to yel-
ascendance of a new religion – Christianity – which offered an low fever while the French were not. In the contemporary era,
EMAIL explanation and an opportunity to find reassurance in the face trade war and an attempt to gain ascendancy to create a hege-
editor.globalage@kipscss.net of the uncertainty of a disease. Mongol invasion created the monic balance amidst the newly resurging multi-polarity
backdrop for Black Death. The consequent demographic-drop could be associated to such pandemics. An ailing Europe, post-
lowered land prices and raised the value of individual farmers. Brexit, faces a Cold War like dilemma to depend either on a
FACEBOOK Tenant farming disappeared and the development of technol- natural ally USA or bend towards the resurging east and per-
GLOBAL AGE MAGAZINE ogies reduced the need for manpower, while improving the haps fall into a divisive chaos. Chinese and American trade-
standards of living. It is even argued that Renaissance would war in the backdrop of a pandemic might as well raise ques-
PRINTED BY have been impossible without the Black Death. Not only the tions of the issues of biological warfare and moral obligations
CONVENTIONAL PAPER PRINTERS, economic and intellectual landscape, but also the environ- of major powers. A pandemic in the 21st century, therefore,
mental backdrop was altered by it because the forest bare raises new issues of political realism and corporate wars.
LAHORE Europe of the 13th Century was converted into a forest rich Significantly, the globalized world order faces an
continent in the 14th Century. Post Corona age might usher an impending danger of creating a rather protectionist world
era of a new age of virtual reality. An era of E- Commerce, order. Quarantined in small pockets with a hope to avert a
distance learning, robotic emotions, technological innova- major catastrophe, the world might continue to hope for an
tions, novel industries, and medical pursuits to find a genetic unlikely solution of protecting a borderless world order. More-
formula for a superior macro organism combating mysteri- over, a failure to develop an approach to comprehend the virus
DISCLAIMER ously fatal microorganisms. Nature has its weird ways and would raise concerns over the power of science to unite the
All the articles, conceived by inconceivable means to create opportunities out of adversity. world. Even more alarming is the apathetic response of masses
different writers and staff, are However, adversities are accompanied by fears and consequent of lack of awareness and social responsibility. That
published in monthly ‘Global Age’ suspicion. Fear of death, poverty, squalor, and suspicion of brings to fore a challenge of practicing a global responsibility
in good faith. Monthly ‘Global Age’ conspiracies, sinful lifestyle, war tactics and apocalyptic as well. It is not a national crisis of putting a country or a nation
has taken all reasonable care to schemes are appendages to a pandemic. The biggest appre- first; it is all about understanding that even in isolation it is
ensure that the information hension during a pandemic is of social and moral disintegra- about putting the collective humanity first.
contained in the articles is correct tion. The ensuing social and moral chaos is often not dissimilar Indeed, these are times of unprecedented concern when
and does not hurt anybody. to what Thucydides described in his “History of the man himself is proving to be his own nemesis. The social
However, no warranty or Peloponnesian War” (Book 2, 48-53). The last paragraph of animal needs to adopt unsocial ways to preserve the society.
representation is given by monthly that description opens with a striking sentence, “Fear of gods The governments face the challenge of keeping economies
‘Global Age’ that the information or law of man there was none to restrain them.” Hoarding afloat and ensuring employment support, as an inflationary
surgical masks, gloves, sanitizers, edibles, medicines, tissue crisis peeks through. Canada, New Zealand and Denmark were
contained in the articles is free from
papers and wipes is an attitude unrestrained by social and swift in action; Would others be as well? Even morality is at
errors or inaccuracies. Hence,
moral codes. This might create both an economic and social stake. While the dark shadows of the past loom over a chaotic
monthly ‘Global Age’ accepts no present, a new normal must be established to survive this era
crisis with humungous challenges of governance and political
liability for any direct, indirect or stability. Increased crime rate with an appalling economic of quarantined oblivion to protect an unchartered future from
consequential damages. collapse might create a social chasm difficult to bridge. Fur- a viral misery.
thermore, fear and suspicion generate a need to find the
4 Editorial
Quarantined – A viral oblivion of an epidemiological civilization
AFGHAN PEACE
NATIONAL STRENGTH
34 Why Afghanistan Is America’s Greatest Strategic Disaster
8 Sultans on Wings: The Symbolism of Weapon Names in India and Pakistan
Religion and history are central to how both sides name some of their key platforms and equipment.
Pompeo’s plan to make peace with the resurgent Taliban is a sad reminder of all that went wrong in Afghanistan and how it could have been otherwise.
ENERGY
WOMEN IN PAKISTAN
36 No End in Sight to the Oil Price War Between Russia and Saudi Arabia
10 Pakistani Women Are Ready for Another Aurat March. Is Pakistan?
Since 2018, the march has attracted fierce criticism, especially online. But the organizers and participants are undaunted.
Riyadh and Moscow are both betting they can win a global game of chicken over production.
ANALYSIS
PAKISTAN POLITICS
35 Mapping Pakistan’s Legal Compliance with FATF’s Recommendations
12 Pakistan: How ‘Accountability’ Became a Tool for Political Oppression
Pakistan’s judiciary acknowledges the political victimization of the opposition, backed by military agencies.
OPINION
ARTIFICIAL INTELLIGENCE
36 This decade belonged to China. So will the next one
16 The Future of AI Depends on Asia
Recent geopolitical, economic and epidemic shocks in Asia reveal the real value of the region in the global economy and its future impact on
The west is still finding it extraordinarily difficult to come to terms with China’s remarkable ascent
world’s technological development. 36 What’s CPEC, and How Does the Future of the Multipolar World Depend on It?
THE INFLUENCER
COUNTERTERRORISM
20 Liberalism - According to The Economist
Founded in 1843 to spread the doctrine of laissez-faire, the magazine has wielded influence like no other. But at what cost? 41 The Anti-Terror Fight
Grief-stricken parents and families wanted accountability and an investigation.
ECONOMY
ECONOMY CRISIS
26 Huawei Doubles Down on Europe With New Factory
The France-based plant will be the company’s first manufacturing plant outside of China. 52 A Pandemic of Fear
The two seemingly unrelated developments — the COVID-19 pandemic and the oil price war — are not as unrelated as they may seem at first.
ENVIRONMENT
ENERGY SECTOR
28 How Nepal Is Protecting Its Wildlife
Nepal makes progress in wildlife conservation but it risks becoming a transit hub. 54 The renewable revolution
There is far too much negativity in the air, and some feedback I have received from those who follow my articles says they are keen to hear what
suggestions I might have for the government, rather than just relentless criticism. It is a fair challenge and I accept — so here goes.
FLASHPOINTS
30 Will Climate Change Derail the ‘Asian Century’? POWER POLITICS
Climate change could bring an untimely end to the story of a rising Asia.
56 Dynasties and cults
In developed states, policies largely attract votes. In developing ones, electables gain vote banks by promising patronage goodies directly to
OPINION local clans. These banks, being based on social links, transfer within families, which produces dynastic politics. Patronage pyramids run from
the local to national, linking local electables to national ones, often via family links. Parties have their own vote banks also. However, these too
31 Pakistan’s Uniform Curriculum May Fall Short
The Imran Khan government sees uniformity as a way to address issues of equity
are mostly not based on their policies but on cultist hero worship of top leaders. So, most parties win polls via a mix of top leaders' political
dynasties and cults.
Pakistani Women Are Ready for participants and their unapologetic atti-
tude toward the backlash. This time, a
placard read “Apna Moza Khud Dhond
ards tells the issues women face.
“It’s not easy to know what kind of
backlash to expect. However like last
ity.
“This is not struggle of an individ-
ual,” she said. “It is a collective struggle
O
n International Women’s Day, Auratain dictate that the march could cleric has circulated on social media over
herself pasted in different areas of Global Gender Gap report, which gauges forced into prostitution. That’s why we
while women around the world not be funded by NGOs or corporations. the past year. The cleric is visibly furious
Lahore. These posters pay homage to economic opportunity, education, say ‘Mera Jism, Meri Marzi’ [my body,
celebrate freedom, inde- Instead, the organizers arrange fund- over a placard at the Aurat March read-
brown women and celebrate their wom- health, and political empowerment. The my choice]. Do they have an issue with
pendence, and womanhood, Pakistani raising events to collect funds. The ing “Mera jism meri marzi” (my body,
anhood. The organizers found the post- report also highlights that Pakistan is the it?”
women will come out of their houses to marches, designed to be anonymous and my choice). He threatened women with
ers torn down in some areas of the city. worst of all the countries in South Asia. She also said that this movement
demand their right to march. Over the diverse, are held in all major cities of rape, saying that if they claim the right to
The Aurat March Lahore chapter The region’s highest scorer was Bangla- does not belong to any specific group or
past two years, the Aurat [women] Pakistan, including Lahore, Islamabad, their bodies, men can also claim the right
tweeted that this is the reason they desh, which separated from Pakistan in class.
march has turned into a massive Karachi, Peshawar, and Quetta. to rape women.
march. 1971. Bangladesh ranked 50th, Pakistan “It is not a movement of any specific
resistance movement against the Each year, the organizers release an The Khyber Pakhtunkhwa provin-
Makeup artist Leena Ghani is one of 151st. class; instead it is our collective struggle
patriarchal structures of society, Aurat March manifesto that demands cial assembly unanimously passed a reso-
the main organizers of the Aurat March Ghani sees the backlash as a testi- against patriarchy. Women from differ-
resulting in a strong backlash against the accountability and restorative justice lution condemning the Aurat March.
in Lahore. While talking about the prep- mony of the success of the Aurat March. ent backgrounds are part of this move-
participants and organizers of the against violence targeted at women at The resolution was moved by a woman
arations, she said the beauty of the She says the response has made the ment. If an issue is not real for me, it
march. the workplace, at home, and in public parliament, Rehana Ismail, who said
march lies in its diversity. It involves marchers stronger. could be real for some other women.”
The Aurat March is organized under spaces. It also pushes for economic jus- that the demands made at the march
women from a range of backgrounds “We had support from senior femi- Ghani said those who think the
the banner of “Hum Auratain” (we tice, inclusion, and access to public about women empowerment were “un-
who put their efforts toward making this nists who have experienced such back- Aurat March does not highlight the real
women), an umbrella term for a collec- spaces for all. The Aurat March gave new Islamic and shameful.”
event happen. lash during their struggle for women’s issues of Pakistani women have probably
tive of feminist women, transgender momentum to the feminist movement in The backlash largely targets the
“The theme for this Aurat March is rights in Pakistan. In all honestly, the missed out on the event. She invites
individuals, nonbinary persons, and Pakistan – but with that it put the orga- placards women bring with them. At the
Khudmukhtari [autonomy] and vio- backlash made us all so much stronger them to attend this year’s march.
gender and sexual minorities who stand nizers and participants at risk. first Aurat March, in 2018, a placard
lence, both sexual and economic, that and united.” “I would like to extend an invitation
against the patriarchal structures that Last year, the march organizers reading “Apna Khana Khud Garam Kar
women suffer because of patriarchy. We Tehreem Hassan is a designer and to them so they can come see for them-
result in the sexual, economic, and struc- complained that they received threats Lo” [heat up your own food], intended to
have planned some performances visual artist based in Islamabad. Last selves that the Aurat March platform is
tural exploitation of women. and were harassed online. highlight the imposed gender roles in
around these themes hoping those will year, she was one of the marchers but for those who have been forgotten, by
It all started two years ago when a They were labelled as “bad women” society, was criticized in online plat-
send a clear message,” she explained. this year she is volunteering in the com- this state and this country — the voice-
couple of feminist groups from Karachi and Western agents who want to damage forms. A private television channel aired
Ghani says that it is participants’ munications department of the Aurat less and the helpless. And that is some-
decided to hold a march on International the culture of Pakistan. Some men even a drama television series with the same
right to express their anger and concern March, Islamabad organizing team. She thing one doesn’t see in the media or
Women’s Day, March 8. threatened them with rape. title to ridicule the placard and the idea
through their placards. She also said that says the Aurat March is a collective online.”
The core principles of Hum A video of a well-known Islamic behind it.
Became a Tool for Political Court concluded that the only motive
was to pressure the Sharif family. In
another case against Shehbaz Sharif of
against unwanted opposition leaders.
Many political figures in the country
have slammed the NAB for political vic-
removed from the office of prime minis-
ter and then was arrested before the last
general elections.
Oppression
same family, the Lahore High Court also timization and there is a general consen- Alongside him, his daughter
observed that it was selectively picked up sus that the opposition is being targeted. Maryam Nawaz has also faced multiple
by the NAB with the intention of target- Nawaz Sharif has repeatedly said that it charges and jail terms since the last elec-
ing him. is victimization in the guise of account- tions. While currently out on bail, she
Pakistan’s judiciary acknowledges the political victimization of the opposition, Additionally, the major courts have ability. His brother Shehbaz Sharif, who was arrested by the NAB in early August
also been showing concern over the had been more cautious in his word on account of graft charges. Nawaz
backed by military agencies. NAB’s biased attitude in general. About a selection earlier, now blasts this recent Sharif’s brother Shehbaz, who has
s Shehbaz Sharif, center, brother of Pakistani former Prime Minister Nawaz Sharif leaves from Lahore High court after the hearing of a petition, in Lahore, s PPP co-chairperson Asif Ali Zardari leaving PIMS after the Islamabad High Court granted bail to him on medical grounds.
Pakistan, Saturday, Nov. 16, 2019.
year back, Supreme Court judges campaign as emerging from an “unholy served multiple terms as chief minister
Abdul Rehman admonished the NAB for having double- alliance“ between the ruling party and of Punjab, has also faced legal charges
Islamabad, Pakistan. standards and being politicized in its the NAB, who seem to be working in tan- through the years. In the recent cam-
treatment of cases, where some are pur- dem. paign he was arrested in a housing
I n a recent verdict regarding the bail gence agency of Pakistan, to give a ver- military directly. sued forcefully and others are very con- Bilawal Bhutto Zardari from the scheme case; he is on bail with the case
plea of a Pakistani opposition dict against Nawaz Sharif and keep him Most cases against the opposition veniently delayed. In another comment a Pakistan People’s Party (PPP), whose ongoing.
leader, Justice Chaudhry Mushtaq in jail on graft charges. Siddiqui also are prepared by National Accountability couple of years back, the Supreme Court father and aunt have been jailed for This volley of NAB cases during the
Ahamad of the Lahore High Court alleged that those officials pushed the Bureau (NAB), the powerful anti-graft had censured the NAB and blamed it for many months, is more expressive. He current regime of Imran Khan’s Pakistan
acknowledged that “Political chief justice to make favorable court agency constituted by General Pervez destroying the country through its poli- openly declares that the institution of the Tehreek-e-Insaf (PTI) is not limited to
victimization in our country is an open benches for the cases of their interest. He Musharraf and still dominated by the cies. NAB was formulated by Musharraf with the Sharif family. It has also involved
secret.” The case saw Rana Sanaullah was later removed from his post by a military. The control of the powerful Some disturbing evidence of the purpose of “political engineering“ or cases against most of the active leaders of
Khan, a leader of ex-Prime Minister high-level reference. military establishment over the NAB is accountability judges being pressured to manipulation by the military establish- the major opposition parties, namely the
Nawaz Sharif’s party who often criticizes Last year, Justice Qazi Faez Isa of evident from the fact that, although it is obtain verdicts against opposition fig- ment. Attributing all these recent cases PML-N and PPP. Ex-president of Paki-
government policies, accused of drug the Supreme Court criticized the role of seemingly headed by a retired judge, ures has also surfaced. Maryam Nawaz to behind-the-scene military masters, stan and co-chairman of the PPP Asif Ali
trafficking and was filed by the military- ISI in his verdict on an earlier political most of its key positions remain occu- Sharif, the daughter of Nawaz Sharif, Zardari and Maryam Nawaz are very Zardari has been accused of money laun-
controlled Anti Narcotics Force, which is sit-in, which crippled the capital for 21 pied by retired army or intelligence offi- recently released a video evidence show- vocal in calling Prime Minister Imran dering in a fake accounts case by the NAB
headed by a serving general. Khan had days and caused acute troubles for the cers, thus enabling the military to selec- ing the judge who convicted Sharif Khan as a “selected PM” or a mere “pup- and recently got bail after waiting for six
denied the charges and maintained that government of Sharif’s Pakistan Muslim tively chase politicians. One of the earlier apparently admitting that he had been pet.” Though not as blunt, most opposi- months in jail without being convicted.
the case was a targeted attack against League-Nawaz (PML-N). The charges chairmen of the NAB, who was also a blackmailed to give a guilty verdict tion leaders feel similarly. The only son of Zardari and former
him due to his vocal political stances. given in the verdict were denied and the close affiliate of Musharraf, openly against the accused. Even with such evi- The focus of the NAB and the Prime Minister Benazir Bhutto, PPP
In 2018, Justice Shaukat Siddiqui of judge had to face a reference for “mis- admitted that the general used to manip- dence, Nawaz Sharif was not given any accountability process on the opposition chairman Bilawal Bhutto Zardari, is also
the Islamabad High Court openly gave conduct.” Understandably, such back- ulate the cases being investigated, as per relief from the conviction. leaders alone is clearly evident. Nawaz a co-accused in the same case and has
his account of being pressured by offi- lash marks the reason why normally his (or the military’s) desires. Recently, another case of judiciary Sharif is serving a seven-year jail term on been called by the NAB multiple times.
cials from ISI, the main military intelli- judges avoid criticizing the powerful In spite of the NAB’s claims of unbi- manipulation surfaced when judges on graft charges with his appeal pending, On the other hand, the NAB’s treat-
the same Rana Sanaullah narcotics case while his conviction in another case has ment of those affiliated with the ruling
PTI is much different and most of the such charges, which were dropped about the opposition’s corruption, some
case files against them are closed. Criti- around the time she joined PTI. More do open up otherwise. Current Interior
cal cases against the PTI, including alle- visible is the Nandipur Power Plant case Minister Brigadier General (ret.) Ijaz
gations of the party receiving illegal for- filed against some of the PPP leaders — Shah, having the earlier fame of being
eign funding and maintaining secret the recent verdict absolved the main pointed out by the late Benazir Bhutto
bank accounts, have effectively been accused, Babar Awan, who is now in the herself as her potential killer, has admit-
pushed under the carpet. A case against PTI, but indicted his other fellows. ted the “benefits” of arresting the opposi-
Imran Khan himself for the alleged mis- Another disturbing reality in both of tion leaders for getting rid of unwanted
use of official helicopters has also been Nawaz Sharif’s convictions by the dissent and any ensuing demonstra-
silenced. Proof of undisclosed properties Accountability Court is that no corrup- tions. At the same time, this transforma-
owned by Imran’s sister Aleema Khan tion against him could be established. tion of accountability into a more famil-
surfaced and were accepted by her too, The punishment was based on “assets iar oppressive campaign against the
but she was allowed to go free. Similarly, beyond means,” a preposterous charge opposition has also been noticed by the
probes against some other major PTI in the case of a long-time wealthy indus- international community and has been
players like Pervez Khattak lie conve- trialist. Due to this, the verdicts have pointed out as such too.
niently suspended. been duly condemned from within the A rather disturbing irony of this
This recent accountability drive legal fraternity too, including from some accountability drive is its contrast with
against the Sharif family was sparked by eminent lawyers and a Supreme Court the internationally compiled on-the-
the Panama Leaks, which listed the judge admitting disparity in different ground data. Global watchdog Transpar-
names of Nawaz’s sons as owners of off- accountability decisions. Also important ency International, in its report on the
shore companies. But the great irony in to note is that Interpol, when asked for three previous regimes, has concluded
the Panama case is that the leaks con- the repatriation of Nawaz’s sons to Paki- that Musharraf’s era was the worst in
tained names of more than 400 Paki- stan this year, declared the proofs in the terms of corruption and Nawaz’s was the
stanis, yet none have been pursued by case to be “insufficient” and refused to best, and also that corruption normally
the NAB other than Nawaz Sharif. Some act on them. drops when the PML-N comes to power.
of them, including Zulfi Bukhari and The one-sided nature of account- But here, in total disregard to all this, the
Aleem Khan, are among the close affili- ability is even admitted by the chairman maximum thrust of accountability is
ates of Imran Khan himself, but they are of the NAB who, in a May 2019 interview focused on the same PMLN. Musharraf’s
seemingly enjoying complete immunity to eminent journalist Javed Chaudhry; close affiliates are not only immune to
from the so-called on-going accountabil- himself admitted to not arresting gov- this, but many are enjoying government
ity drive. ernment affiliates in order to avoid insta- positions once again.
Another irritating fact about this bility. After an uproar about it from the Considering all the hidden painful
accountability push is its alleged use to opposition, an NAB spokesman later facts behind the much-touted slogans of
incentive horse-trading or switching denied it. But the chairman was not unbiased accountability, the political
loyalties, as the opposition often com- alone in that comment. Recently Senior victimization of opposition is evident —
plains. Apparently, some cases are vigor- Minister Fawad Chaudhry has also as acknowledged by the higher courts
ously pursued against certain figures, boastingly admitted that it is the PTI, also. It can only be hoped that this unjus-
but are put to pending status if the and not the NAB, who is in control of this tified campaign does get the attention it
accused join, or agree to join, the “favor- accountability drive. deserves from international human
ite” PTI. Information Minister Fidous Although most of the ruling cabinet rights and justice organizations.
Aashiq Awan from the PPP was facing members keep repeating their rant
s China’s AI dominance reaches across multiple industries compared to the majority of nations only concentrating on a few.
T he coronavirus outbreak has nated polyimide and photoresists. The made of Chinese raw materials, more intelligence (AI), Blockchain and the
entirely. Commenting on the current ments are making their first steps in sup-
driven a lot of attention to China official pretext for the decision lay in a precisely rare earth metals. Internet of Things (IoT). While artificial
tensions between Japan and South porting AI developers it is clear that the
and the greater northeast Asian long-standing dispute between Korea As of now, China holds a leading intelligence is commonly perceived as a
Korea experts note that Japan developed strategies and tactics are to be adjusted
region, and sparked discussions on its and Japan on the use of Korean labor by position both in deposits and in produc- complex software, the physical device
the processing technology for decades according to the market needs and
potential impact on global economies. In Japanese during the Second World War. tion of rare earth metals. When Deng which incorporates it is equally impor-
and it will take several years to replicate requirements and most likely will
late February, global tech giants Apple, The issue, still very sensitive in Korea, Xiaoping visited the Inner Mongolian tant. The new generation of hardware
it. include more practical measures to
Google, and Microsoft announced plans also caused other controversies like a rare earth production area of Baotou in required by AI developers possesses
From Japan, the value chain moves ensure access to AI hardware.
to move manufacturing of new products boycott of the Japanese clothing brand 1987, he made a shrewd prediction: “The several key characteristics including
to the world largest semiconductor and The current situation is shaped by
from China to Southeast Asia. Uniqlo over a promotional video, which Middle East has its oil, China has rare greater computational power and energy
chipmakers – South Korean Samsung decades of technology developments,
This was not the only event that unintentionally brought back wartime earths.” Despite the efforts by some coun- efficiency. According to a recent Deloitte
and Sk Hynix, which are both designers but seem quite fragile and easily trem-
shook the technology market in the past memories to some Koreans. tries, led by the United States in 2017, to report, AI chips will enjoy explosive
and manufacturers, and China and Tai- bled by myriad external factors. Some
year. In May 2019, the U.S.-China trade These three events — all evoked by increase domestic production of these growth. The AI chip market is expected
wan, which host semiconductor found- countries, pushed by these factors, have
war peaked with U.S. President Donald different reasons and lying in different materials, in 2019 China was still to account for over 12 percent of the total
ries for global producers, such as NVidia already started to take some steps to
Trump banning American companies dimensions of political and economic responsible for about 60 percent of AI market by 2022, with a compound
or Qualcomm. Historically, semiconduc- loosen their dependency on the supplies
from buying technologies or equipment relations — impact, among other impor- global production, outperforming by annual growth rate of 54 percent.
tor production is divided into two main of this or that particular good, like the
from Huawei, the company being con- tant things, one single process: the pro- about five to six times its competitors, Today, startups and SMEs contrib-
stages, meaning that R&D and design is United States, which is planning new
sidered a threat to the national interests duction chain of semiconductors and such as United States, Australia and ute to global technology development
happening in one company — a fabless domestic rare earth mines, or South
and security of the United States. The microchips. Every crucial link of that Myanmar. Thus, China remains the almost as much as big corporations,
manufacturer — while physical assem- Korea seeking to diversify imports of
U.S. government also imposed tariffs on process, which supplies the whole world major supplier of these valuable materi- which is equally true for AI developers. A
bling in another — a foundry. For chemicals necessary for the semiconduc-
many Chinese goods including raw mate- with microchips for almost all smart als for all the countries in the world, recent CB Insights report noted 635 AI
instance, Apple, NVIDIA and Qualcomm tors production. These plans however
rials, excluding, however, rare earth met- electronic equipment, is located in the including, naturally, Japan which uses it acquisitions since 2010, topped by Apple
rely on Taiwan Semiconductor Manufac- will take a lot of time, while other did not
als the dependency rate on which goes as northeast Asian region: starting with for production of semiconductor chemi- with 20 acquisitions. It is important to
turing Company to manufacture the even start.
high as 80 percent. raw material extraction and ending with cals. Back in 2010, a territorial dispute note that while corporations mainly use
graphics chips it designs. At the end of All this means that the future of AI
Meanwhile Asia witnessed another the manufacturing of high value-added led to a cut of Chinese rare materials their own hardware, like Google which
the day, it means that no matter where and other modern technologies on both
drama unveiling between South Korea microchips to be installed in consumer exports to Japan, but eventually it was produced its own Tensor Processing
technology intensive processes are being the national and global scale will not only
and Japan. In July 2019, Japan placed devices. resolved and the supplies were restored Unit (TPU) not available in retail,
performed the product is being physi- depend on the ability of IT specialist to
restrictions on exporting to Korea three The photoresists and hydrogen fluo- in full volume. startups rely on what is available on the
cally fabricated in Asian. develop new solutions but also on the
elements crucial for production of semi- ride — the elements touched by the In turn, Japan uses China’s rare market. Startups, therefore, remain very
Why is this so important? Semicon- stability in the northeast Asian region,
conductors: hydrogen fluoride, fluori- South Korea-Japan trade dispute — are earths to produce the three chemicals vulnerable to market shocks. Global
ductors and their availability on the at least in the short term.
access to AI hardware, microchips and
China, ASEAN Band Together in the China in the Laotian capital. In their
joint statement, the 11 countries agreed
to step up cooperation in sharing medi-
partner and inbound tourist market.
Tourism is a big contributor to local econ-
omies with holidays like the Lunar New
Chinese digital commerce, the
coronavirus may likewise transform
Southeast Asian e-commerce. Both sides
cal and health information and best prac- Year, the time the virus hit, considered a also agreed to maintain trade, invest-
Fight Against Coronavirus tices to enhance emergency prepared-
ness and response. They also under-
scored the importance of cooperation in
peak season. Thailand, which received
around 11 million arrivals from China
last year, already cut economic growth
ment and people-to-people exchanges
and to enhance such interaction contin-
gent on the progress in the fight against
The ASEAN-China special session on COVID-19 may mark the start of China offering risk communication and community forecasts for this year owing to the crisis. COVID-19.
assistance and expertise to other countries battling the outbreak. engagement to ensure people are Singapore likewise downgraded its As the outbreak enters its third
s China’s Foreign Minister Wang Yi, center, poses for a group photo with some of the Foreign ministers of The Association of Southeast Asian Nations
Lucio Blanco Pitlo (ASEAN) from left, Thailand’s Foreign Minister Don Pramudwinai, Vietnam’s Deputy Prime Minister and Foreign Minister Phạm Binh Minh, Philippines’
Washington D.C. Foreign Affaires Secretary Teodoro Locsin Jr., and Laos Foreign Minister Saleumxay Kommasith, ahead of the Special ASEAN-China Foreign Ministers’
meeting on the Novel Coronavirus Pneumonia in Vientiane, Laos, Feb. 20, 2020.
expressed that Huawei can bid for their ows of their former selves,” Kugelman with which they have longstanding ties
5G development, but that all firms would said. that some analysts say could prove diffi-
be subject to EU and national regula- Amir Rana, executive director of the cult to sever.
tions. Islamabad-based Pakistan Institute for Links still bind the militant groups
In addition to extensive advertising Peace Studies, one of the groups that operating between Pakistan and Afghan-
campaigns in Europe, Huawei partici- released a report on the decreasing istan, according to Abdullah Khan, of the
pated in a public, live-streamed debate attacks, said the decline was indicative of Pakistan Institute for Conflict and Secu-
in October 2019 in the European Parlia- the long-haul nature of fighting terror rity Studies, which also released a report
ment to boost transparency and con- and those who perpetrate it. He said it documenting the declining attacks in
vince member states. Still, the EU issued involves years of surveillance, military Pakistan.
Eleanor Albert details earlier this year about its tools to counterterrorism offensives, and a Al-Qaeda in the Indian Subconti-
@eleanor_ma secure 5G networks to protect its econ- counterterrorism strategy that seeks to nent, which emerged in 2014 as a rival to
omy and citizens, signaling to member identify and curb funding. the Islamic State affiliate that set up shop
states they should better coordinate Still, Pakistan has a way to go in mak- in Afghanistan the same year, might be
O
ver the past few months, it has standi on issues pertaining to India’s Delhi are not acceptable. We do not
become increasingly clear that sovereignty.” expect such comments from a country
India’s domestic issues are Iran is another recent critic, and like Iran.” Apparently, it was made clear
increasingly threatening to impact another surprising one too, and it was to the Iranian ambassador that this was
India’s foreign policy. Issues such as the vocal in condemning the communal vio- an internal issue of India and that Ira-
Citizenship Amendment Act (CAA) and lence in Delhi, especially the targeting of nian comments were not appreciated.
India’s actions in Kashmir are beginning India’s Muslim citizens. Iranian Foreign It is strange that the Iranian foreign
to affect India’s relations with its Minister Javad Zarif had a tough tweet minister’s particularly harsh tweet came s Hindu mob sets Delhi mosque on fire, places Hanuman flag on top. Shops within and around the mosque’s compound also looted by extremists.
neighbors, major Islamic countries such on the Delhi violence, saying, “Iran con- just a few days after India joined hands
as Iran and Indonesia, and strategic demns the wave of organized violence with Iran to speed up the Chabahar port statement saying that “The Government Jammu and Kashmir, but India’s if these problems are not resolved, espe-
partners such as the United States. Last against Indian Muslims. For centuries, development. While Iran is known to of Indonesia has complete confidence approach after the CAA has been quite cially because New Delhi will be wasting
week’s violence in Delhi, in particular, is Iran has been a friend of India. We urge champion the rights of Muslim minori- that the Government of India will be able poor. For instance, Indian Foreign Min- effort in explaining itself and creating
drawing negative attention to India’s Indian authorities to ensure the well- ties in other countries, it was a bit incon- to manage the situation and ensure the ister Jaishankar’s cancellation of meet- unnecessary tensions and discomfort in
internal matters and could possibly being of ALL Indians & not let senseless gruous considering that Iran has said harmonious relations among its reli- ings with U.S. House Foreign Affairs critical relationships. Of course, the
affect its reputation. thuggery prevail. Path forward lies in little about China’s behavior towards its gious communities. Moreover, both Committee (HFAC) because Pramila most important reason for resolving
In an exceptional move, and a first peaceful dialogue and rule of law.” Muslim Uyghur minority, large numbers countries share similar characteristics, Jayapal was part of the delegation possi- these problems is that India should be a
for India, the Geneva-based Office of the New Delhi did not respond kindly to of whom have been placed in concentra- as pluralistic countries that uphold dem- bly did not help. In fact, the resolution in society in which no section feels perse-
High Commissioner for Human Rights the foreign minister’s comments. tion camps simply because of their ocratic values and tolerance.” The Indo- the Congress, seeking a return to nor- cuted and differences are resolved
(OHCHR) has said that it was planning Responding to a question on the Iranian Islamic faith. Of course, nations are not nesian foreign ministry also called in the malcy in Kashmir, sponsored by Jayapal peacefully, which it is difficult to say
to file an application on the CAA in the foreign minister’s tweet, the MEA always consistent in their policies, and Indian Ambassador to Jakarta, Pradeep found 10 additional legislators ready to right now.
Indian Supreme Court. The UN Higher spokesperson stated that India had sum- Iran fears China far more than it fears Rawat, seeking details on the Delhi vio- co-sponsor it right after the cancellation
Commissioner for Human Rights moned Iranian Ambassador Ali Chegeni India. lence. of the meeting.
Michelle Bachelet subsequently filed an and “a strong protest was lodged against While Iran is not a particularly stra- Of course, this pales in comparison Last week’s violence in the capital
Intervention Application against the the unwarranted remarks made by the tegic partner for India and can possibly to any damage that may be caused to sparked new concerns in the United
CAA. The MEA responded to this by say- Iranian Foreign Minister. It was con- be ignored, others are more difficult to India’s ties to the United States, its most States with several leading names from
ing that the CAA is an internal issue of veyed that his selective and tendentious dismiss. Indonesia, an important part- important strategic partner. Despite the the House Foreign Affairs Committee, l Dr. Rajeswari Pillai Rajagopalan is Distinguished Fellow and Head of the Nuclear
and Space Policy Initiative at the Observer Research Foundation (ORF), one of
India and “no foreign party has any locus characterization of recent events in ner in India’s Act East and Indo-Pacific successful Trump visit to India, this the U.S. Commission on International India’s leading think tanks.
R ussia and Saudi Arabia, two of down the price of oil that was already tral bank officer. Alfa-Bank in Moscow.
the numbers and data, it makes no Though prices have collapsed and Saudi
the world’s biggest oil plunging due to the disease outbreak and “It will be tough, but they have A weaker ruble will offset some of
sense,” said Sergei Guriev, a professor of Arabia is ramping up production and
producers, are each making a its toll on the global economy. Oil trades enough resources to pull through.” the budgetary support lost due to low oil
economics at Sciences Po in Paris and exports dramatically, that may not be a
bet that they are better placed than the today around $33 a barrel. Russia has spent the last five years prices, but if oil prices stay low, the Rus-
the former chief economist of the Euro- net loss for the kingdom, said
other to bear the pain of the oil price war For Russia and Saudi Arabia, both tightening its budget and building up sian government will need to cut spend-
pean Bank for Reconstruction and AnasAlhajji, an expert on the Saudi oil
that they set off over the past week—and more or less dependent on oil sales to $550 billion in reserves that officials say ing or raise taxes, possibly both—neither
Development. “The only explanation is sector. Oil prices were already cratering
that they can get what they want as a fund their national budgets, it was—and will let it cope with oil prices between of which is politically appealing.
that it's a miscalculation by people who due to the virus and Russian intransi-
result. still is—a dangerous game of chicken. $25 and $30 a barrel for up to a decade, if “The national wealth fund is for use
don't have a comprehensive analysis of gence. By raising exports from 7-plus
That raises two big questions: Are Russia figured that it could afford to need be. On Monday, Russia's finance in emergency cases. If things look bad,
the markets and don't grasp how the million barrels a day to 9-plus million
they able to stand the pain? And what walk away from its informal cooperation ministry said that it would draw from its they will have to tighten the budget or
American oil industry works.” barrels a day, or even more, Saudi Arabia
exactly do they want? with Saudi Arabia and other OPEC coun- $150 billion national wealth fund in increase tax collection,” Orlova said. “In
Many are equally puzzled by the can make the same amount of money as
One week ago, as Saudi Arabia and tries, even if that meant crashing the order to supplement the budget even if a way, this would be paid by Russian con-
Saudi decision not only to forgo produc- it would have in a world without Russian
other big OPEC countries and Russia price of oil, for a few simple reasons. oil prices stay low. If crude sells for an sumers.”
tion cuts but also to slash prices and cooperation, but snatching more market
gathered in Vienna to plan production First, it has tucked lots of money away in average of $27 a barrel—it was in the What Russia wanted when it made
boost production to drive prices even share, Alhajji noted.
cuts that could put a floor under falling the years since the last oil-price crash, low-$30s most of this week—Russia this gamble was to kill off U.S. shale oil
further down. If Russia threw the first In the end, both Russia and Saudi
prices due to the outbreak of giving it a big financial cushion. Second, would need to draw $20 billion a year production once and for all. Igor Sechin,
punch, Riyadh, like U.S. baseball legend Arabia are gambling that the other will
coronavirus, crude was trading at more the biggest losers in any oil-price war, from the fund to balance the budget. the head of Russia's state-controlled oil
Billy Martin, threw the second four. blink first. Both have reasons to think
than $50 a barrel. That’s when Moscow Russia figures, will be high-cost U.S. That war chest is the result of Mos- giant Rosneft and a close confidant of
It seemed a risky move by a young they're right. There are reasons both, or
decided to blow up a three-year-old pact shale producers; driving the price down cow's decision to restructure its econ- Putin, has argued that efforts to keep oil
and inexperienced Saudi crown prince, either, could be wrong. Both are plan-
to manage global oil supplies, refusing to would both inflict economic harm on the omy after it was pushed into recession in prices high by limiting output only
Mohammed bin Salman, who has over- ning for short-term pain to compel the
sign on to Saudi Arabia’s proposed cuts, United States and undermine its ability 2015—following the last big one-two boosted shale oil production in the
seen bold yet catastrophic moves since other to submit on their terms.
sending the price of oil sharply down. to wield its favorite tool of international punch of Western sanctions over the United States; clawing back that market
taking de facto control of the kingdom, “It reminds me of the First World
Riyadh responded not with unilat- coercion: sanctions. annexation of Crimea and OPEC's deci- share was the Kremlin's main objective
from the disastrous war in Yemen to a War, when France and Germany went to
eral cuts of its own but in the opposite “Russia is better positioned to sur- sion to open the spigots the year before. by pulling out of the Saudi deal.
bonesaw approach to dealing with dissi- war thinking they'd be home by Christ-
direction: It slashed selling prices for its vive this crisis,” said Sofya Donets, the While efforts to diversify away from With the shale patch facing high
dents like Washington Post columnist mas, and spent four years in the
oil and later announced plans to mas- chief Russia economist at Renaissance hydrocarbons have largely fallen flat, production costs and loads of debt, Rus-
Jamal Khashoggi. On paper, Saudi Ara- trenches,” Seznec said. “That’s why this
sively increase oil output, further driving Capital and a former senior Russian cen- Moscow has emphasized stability over sia figures cheap oil will push many U.S.
bia—which needs oil to be roughly twice is so dangerous—it’s a mirror image.”
firms into bankruptcy or restructuring.
Foreign Exchange
Regulation Act
increased from 1 million rupees to 5 mil-
lion rupees, and sentences would be
increased from two years to ten years
imprisonment (Article 4). The amended
of the FATF’s
recommendations
arrangements; and if both do not exist,
five million rupee fine. Additionally, if a
‘legal person’ commits an offence, the
accused would be liable to pay fifty mil-
lion rupees on conviction. Any negli-
tools. FATF instructed Pakistan to abide AMLA also equips the investigating offi- gence on part of public officials would
FATF primarily works to set standards then the provisions of the MLA Act will
by the Action Plan, and improve legisla- (Amendment) Bill 2020 cer with the authority to hold a person in
prevail.
also be sanctioned with relevant admin-
and guidelines that promote the imple- tive frameworks so as to align with inter- remand for up to 180 days, up from 90 istrative action.
mentation of legal, regulatory and oper- As per the bill, Pakistan would
national standards. By October 2019, days previously (Article 8, subsection 1), As per the objectives of the amend-
ational measures for Countering Financ- The FERA Act (1947) governs the move- receive and act upon requests relating to
Pakistan’s progress in overhauling and and further does not require the need to ment, it is explicitly mentioned that this
ing of Terrorism Financing and Anti- ment of foreign currency and other a criminal offence either committed or
amending its existing laws was acknowl- obtain arrest warrants (Article 16, sub- section aims for compliance under the
Money Laundering, (CFT/AML) in order forms of monetary instruments such as suspected to have been committed in a
edged by the global community, but it section 1). UNSCR 1267 and 1373 regime to facili-
to preserve the security and integrity of securities and bullion. The purpose foreign country when notified. After an
was still kept on the grey list as it had The Senate Standing Committee on tate countering of terrorism financing.
the global financial system. In light of behind the amendment in 2013 was to MLA request has been sought by Paki-
fully complied with only 5 targets on a Finance, however proposed certain sug- These resolutions enact sanctions via
this, FATF has issued 40 Recommenda- create a standardised regime allowing stan, the central authority may authorize
27-target plan, with varying levels of gestions regarding the penalties powers of asset freeze, travel ban and
tions and nine special recommendations the State Bank of Pakistan to act as a regu- temporary detention in Pakistan of the
implementation on the remaining tar- imposed. The Ministry of Finance sug- arms embargo, and promote the restruc-
to countries as the legal framework to lator in this field and to implement offender, if he has been in detention in
gets. gested that imprisonment terms for vio- turing of the domestic legal framework
target Terrorism Financing /Money stricter punishments. the sending state. Section 17 also stipu-
With the FATF Week underway in lations should range from “one to ten that will allow these sanctions measures
Laundering, (TF/ML) and offers techni- Amendments to Section 8 of FERA lates that Pakistan may refuse the
Paris, a final decision is expected on Paki- years” instead of ten years, and the to get effectively implemented Hence.
cal guidance that would enhance techni- Act stipulate that limits ought to be request of assistance to a foreign govern-
stan’s status on the 21st of February amount of fine range should extend from The insertion of 11OOO was an attempt
cal compliance and effective implemen- introduced to the movement of money ment if it jeopardizes its national secu-
2020. In light of these developments, “one million to five million rupees.” It at further entrench the UNSCRs in Paki-
tation of laws to member countries. within Pakistan. According to Section rity interests or if the request made is
this article factually highlights the legis- was also cited within the debate that this stan’s domestic legal framework.
In 2018, FATF placed Pakistan on 8A, foreign currency or other physical contrary to the laws of Pakistan.
lative changes that Pakistan has intro- Bill along with FERA Amendment Act,
its ‘grey-list’ citing ‘structural deficien- items valued at USD 10,000 can be Concerns arose about the potential
duced since 2019 in light of the initiative were critical in bolstering local NACTA Amendment
misuse of power by the central authority,
B y 2010, China was beginning to is more than twice as big as it was in ymous with cheap manufacturing. The world, probably including most of
$325bn of goods – which would mean all Chinese imports being covered by tariffs. Europe. As US-China relations continue
have an impact on the global 2010. west believed that China would for long
consciousness in a new way. This is the story, as pertaining to the remain essentially defined by imitation, However, talks in November 2019 aimed at easing tensions were welcomed as the begin- to deteriorate, and begin to look like a
Prior to the western financial crisis, it past decade, of the most remarkable eco- unable to match the west’s capacity for ning of a thaw in the trade war between the two nations. new cold war, it will be no replica of the
had been seen as the new but very junior nomic transformation in human history. innovation. But China has proven itself last cold war. Then, the US was on the
Richard Partington and Jasper Jolly rise, the USSR in decline: this time the
kid on the block. The financial crash Unsurprisingly the west is finding the to have a formidably innovative econ-
changed all that. Before 2008 the phenomenon difficult to come to terms omy. Shenzhen has come to rival Silicon US is patently in decline and China very
conventional western wisdom had been with, displaying a kaleidoscope of emo- Valley – while Huawei, Tencent and of China’s growing influence has been of a new order, not in the literal sense, much on the rise. Whereas a singular
that sooner or later China would suffer a tions from denial, dismissal and con- Alibaba can be counted in the same the belt and road initiative – a global but symbolically. First, with the predom- characteristic of the last cold war was
big economic meltdown. It never did. demnation to respect, appreciation and league as Microsoft, Google, Facebook network of Chinese-financed highways, inance of the developing world, repre- military competition, China has histori-
Instead, the crisis happened in the west, admiration; though there is presently and Amazon. Far from this being a prod- railways, ports and energy infrastruc- senting 85% of the world’s population; cally never competed as a military power
with huge consequences for the latter’s much more of the former than the latter. uct of copying, the Chinese are increas- ture, launched in 2013. The ambition is and second, in the overriding priority and its rise – compared with the aggres-
stability and self-confidence. The rise of China has provoked an exis- ingly engaging in groundbreaking inno- no less than the transformation of the given to development, hugely important sive expansionism of the US, UK, France
Every year for the past decade, tential crisis in the US and Europe that vation: China accounted for almost half Eurasian landmass, home to more than to the developing world but which barely and Germany in their equivalent stages
China, not the US, has been the main will last for the rest of this century. The of all patent filings in the world last year. 60% of the world’s population. More features on the west’s agenda. of development – has been remarkably
source of global economic growth. In west is in the process of being displaced But why should we be surprised? People than 140 countries, overwhelmingly For more than four decades the rela- restrained.
2014, according to the World Bank’s and, beyond a point, it can do nothing living in a country growing at 10% per from the developing world, have now tionship between China and the US was The next decade will see a continu-
international comparison program, the about it. China’s rise is one of those annum for 35 years and between 6% and signed up; and the great majority were relatively benign. Donald Trump’s elec- ing fragmentation of the western-centric
Chinese economy overtook that of the world-transforming changes that occur 8% for the past decade are used to rapid represented by their leaders at the belt tion in 2016 marked a turning point. His international system, together with the
US to become the world’s largest, mea- very rarely in history. And only during change and constant innovation. And and road summit held in early 2019, a hostility towards China, however, is far growing influence of Chinese-oriented
sured by purchasing power parity. this past decade has the west begun to don’t forget that China is an extraordi- level of representation no other country from unique. It is bipartisan. And not institutions. The process will be uneven,
Although China’s growth rate over the realise that China’s rise will, indeed, narily rich and intellectually endowed could match, the US included. unpredictable. At root the new US atti- unpredictable and, at times, fraught –
past decade has declined to its present change the world. civilization that has always been hugely With the present international sys- tude is based on a fear that China repre- but ultimately irresistible.
6.2%, it is still one of the world’s fastest- The story keeps moving. Five years, committed to learning and education. tem entering its twilight, the belt and sents a threat to its global hegemony,
growing economies. Today its economy let alone a decade, ago, China was synon- Perhaps the starkest demonstration road initiative can be seen as the embryo something that many Americans regard l Martin Jacques is the author of When China Rules the World
T he world order is going through connectivity which aims to construct a which lies at the heart of structurally asia paradigm. Yaroslav Lissovolik published a thought-
profound changes in series of multipolar transnational con- reforming the unipolar-controlled Concerning the Convergence of provoking policy proposal in February thenceforth the future of the multipolar
transitioning from the Western- nective infrastructure projects designed global system. Civilizations, any company could be titled “Re-Thinking The BRICS: On The world.
controlled unipolar system to the non- to do just that. While China is indeed streamlining interested in relocating their production Concepts Of BRICS+ and BRICS++,” in This makes it all the more curious
Western model of multipolarity, and the other mainland corridors across Eurasia facilities to Pakistan in order to achieve which he elaborated on the most feasible why more people aren’t up to speed
ongoing multifaceted friction between and plans to outfit them with high-speed equidistance between their pan-Eastern prospects for broadening the five- about CPEC and its pertinence in cata-
CPEC Connectivity member BRICS partnerships into a truly lyzing the global transition from
the opposing forces sums up the nature The most important Silk Road project is rail technology, they each run the risk of Hemispheric suppliers and consumers,
of the New Cold War. The US and its being disrupted, controlled, or influ- as well as to cut down on related trans- global multipolar platform. Soon there- unipolarity to multipolarity, but this lack
the China-Pakistan Economic Corridor after, China proposed its own concept of of awareness can likely be attributable to
allies are struggling to retain their (CPEC), which is a $55 billion invest- enced by the externally provoked iden- port and labor costs.
erstwhile dominance over global affairs, tity-driven conflicts of Hybrid Wars. The Manufacturing, assembly, or sales “BRICS-Plus” which it vaguely alluded to the ongoing infowar campaign being
ment (and counting) that seeks to con- as being composed of key OBOR part- waged by China and Pakistan’s rivals and
while Russia, China, and their respective nect East Asia with South Asia by means same can be said for CPEC, too, but it’s outposts in South Asia could make it
partners are working hard to achieve much easier to manage these distur- much easier to balance commercial con- ners, thereby strongly inferring that Paki- which is designed to suppress any objec-
of a non-Malacca mainland trade pas- stan and CPEC (the largest Silk Road tive information about this ambitious
peaceful breakthroughs in undermining sage. Upon full completion, CPEC will be bances in the two transit states of China nectivity between Western Europe and
their rivals’ control. and Pakistan than it is to do so all across East Asia, as well as to in principle investment) would naturally be undertaking. Nevertheless, China seems
a geopolitical game-changer for the sim- involved. ready to bring CPEC to the forefront of
The development of alternative ple reason that it will provide China with the Eurasian landmass. This makes acquire access to SAARC (provided that
governance systems such as BRICS, the CPEC the most solid and dependable political-administrative roadblocks can This immediately drew the ire of the world’s mainstream attention during
an alternative to the South China Sea and India, which has been steadfastly the upcoming BRI and BRICS Summits,
Shanghai Cooperation Organization Strait of Malacca, thereby making it New Silk Road investment from a secu- be surmounted).
(SCO), and the Asian Infrastructure rity standpoint, which is doubly under- CPEC is also importantly located opposed to CPEC on the grounds that it at which time this project is expected to
impossible for the troublesome US Navy allegedly violates New Delhi’s be debuted as the cornerstone of the equi-
Investment Bank (AIIB) are central to to control the People’s Republic’s trade standable if one acknowledges the midway between the booming East Afri-
the multipolar initiatives to reform the geostrategic seriousness of this project. can marketplace and China’s East Asian maximalist claims to Kashmir. I compre- table and just alternative world system
routes via maritime manipulations in hensively explored the various nuances that China and its partners are con-
world system, but what’s needed most of these two aforementioned chokepoints. CPEC doesn’t just connect China to manufacturing coast, so it can addition-
all is to integrate the Afro-Eurasian coun- the Indian Ocean, but also lays the ally be utilized by either of these sides or involved with this in an article that I pub- structing.
This, in turn, will allow China to trade lished for the Islamabad-based Regional In every which way, the future of the
tries of the Eastern Hemisphere into a more freely with its Western European, groundwork for Pakistan to function as interested third-party partners to facili-
win-win network of real-sector eco- the Zipper of Eurasia in linking together tate trade between this emerging eco- Rapport analytical outlet titled “India’s multipolar world depends on CPEC, and
Mideast, and African partners and there- Freaking Out Over China’s ‘BRICS-Plus’ given the strong global support that this
nomic relations. China’s solution to this fore advance its globally transformative a series of Eurasian economic blocs. As I nomic axis.
pressing need is its One Belt, One Road explained in my September 2015 analy- Altogether, the crisscrossing trade Proposal,” and I suggest that any curious initiative is receiving, it’s safe to say that
vision of New Silk Road connectivity readers reference it if they’d like to learn the future lies in good hands.
(OBOR) global vision of New Silk Road sis for the Russian Institute of Strategic networks in the Indian Ocean and
path to peace
trol and is hostile to the global move- ance of nuclear terror. weapons with a plea to the US to return
ment to make nuclear weapons illegal.” The recent testing of a maneuver- to stop the folly of global nuclear domi-
This is not a defensive, but an offen- able hypersonic glider called Avangard is nance. Instead, the US response has
sive vision of enhancing first-strike capa- a part of Putin’s new weapons that Rus- been to go forward and test new missiles
The current US approach to nuclear weapons can only lead to Armageddon bilities and a winnable nuclear war. This sia had developed to defeat missile that were earlier banned under the INF
shields. It follows an earlier hypersonic Treaty.
Developing first-strike glider, Kinzhal, whose “tests” he said in On the New START negotiations,
his 2018 speech “have been successfully the US has said it could start such talks
capabilities must be seen completed.” He said Kinzhal weapons on the condition that they include China.
along with the US withdrawal had already started “their trial service.” Even US arms-control experts are mysti-
under president George The two other missiles are Sarmat, a fied by this demand for a Chinese inclu-
new intercontinental ballistic missile sion. Currently, the United States and
W Bush from the ABM Treaty (ICBM) that can attack from any direc- Russia have more than 6,000 nuclear
in 2002, and the North tion and therefore defeat the northern warheads each, while China has about
anti-missile batteries that the US has, 300. So any such discussion that brings
Atlantic Treaty Organization’s and a submarine drone that can destroy in China can only increase its voluntary
25-year march to Russia’s aircraft carriers and naval harbors. limit and not reduce it. The Trump
borders, in spite of explicit The one missile that Putin administration’s desire to bring only
announced that seems to have encoun- China into the New START negotiations
assurances to the contrary tered problems is a nuclear-powered is either ignorant or simply
given by the US and other cruise missile. This seems to have grandstanding.
exploded during testing. All of the others Just for the record, France also has
NATO leaders. While the have now been tested or are under test- 300, with the UK at 200, and India and
withdrawal by itself does not ing. Pakistan around 150 each. Israel has
change the balance of After his 2018 speech, US media about 100, and North Korea has up to 30.
ridiculed Putin and deemed Russia inca- The US media and their experts
nuclear terror, the intention pable of developing a new generation of have looked at the arms-control issue
was clear: Now that Russia is weapons. The underlying vision was that through the lens of national interest
down and out, and under in a new era where Pax Americana was while examining the claims of the US and
here to stay, nuclear dominance was the Russian governments. They may
Boris Yeltsin, Russia had feasible as a US strategy, and Putin’s dislike Trump, but when it comes to for-
s Worst case scenario: Are North Korea’s nuclear weapons designed for actual use?
indeed become a basket claims of restoring parity were the eign affairs, that gives way to the
rantings of a vainglorious leader. And let national imperative of rallying behind
Prabir Purkayastha case, the US can re-establish us not think this was just a Trumpian the leader, even while holding one’s
New Delhi, India its nuclear dominance vision; former president Barack Obama nose. If there are critical voices, most of
also contemptuously dismissed Russia them are muted. Russia is guilty unless
We do not have a punishment in order to execute con- verdict in which terrorism has been rede-
national security policy, and victed terrorists. But a decision was fined and its application restricted to the
taken to execute some 5,000 convicts on nature of offences under certain condi-
the internal security policy death row in all categories. Some 600 tions, anti-terrorism courts can be more
remains unimplemented were hanged. Glaring cases of injustice effective with the provision of a day-to-
were highlighted. But it was too late. day trial restricted to a week and the
ism. A recent study reported a 13 per cent Some people went to the gallows as a right to be defended by a lawyer guaran-
decline in terrorist incidents in 2019 result of miscarriage of justice. Did all teed. Even those suspected of terrorism
Tariq Khosa compared to 2018; however, 2019 saw this act as a deterrent? I doubt it. It is the deserve due process.
Lahore, Pakistan 229 incidents, including four suicide certainty and not the severity of punish- Fourthly, CT NAP has the following
assaults, which claimed 357 lives. ment that deters criminality. provisions for a communication strat-
Thirdly, special military courts were egy: countering hate speech and extrem-
A n year ago on March 15, an passed New Zealand’s first far-reaching told Time magazine recently, whose cor- What went wrong? Firstly, there
was no political ownership of CT NAP. established for speedy trial of terrorists. ist material; ban on glorifying terrorism
Australian gunman killed 51 gun control legislation. respondent praised her for moving
Our main recommendation for the During their four-year duration, 344 and terrorist groups through
worshippers in Christchurch. Ardern set the precedent of never “enough chess pieces among the public,
prime minister to lead this war was omit- accused were awarded capital punish- print/electronic media; and tangible
The victims included nationals from taking the shooter’s name, and her moral governments and industry to offer the
ted. Resultantly, the commander of an ment in 650 cases decided by 14 such measures against the abuse of internet
Afghanistan, Bangladesh, Pakistan, leadership forced the media to follow beginnings of a coherent international
armed and strong institution took the courts; 56 were executed. In November and social media for terrorism. Task
Indonesia and Egypt as well as New suit. She enlisted the support of world response to a problem against which
lead and we saw the militarisation of our 2018, the Peshawar High Court acquit- forces under the IT and information min-
Zealand citizens. A rookie political leaders including Emmanuel Macron traditional power structures have
internal security strategy. Apex commit- ted several convicts sentenced by mili- isters were to propose comprehensive
leader of a small nation demonstrated and Angela Merkel. Only two months proved ineffective”.
tees were constituted in the provinces tary courts on grounds of “malice in law strategies but after dilly-dallying for
qualities of ‘strength and sanity’ while after the carnage, they came up with the One must reflect on the 2014 Army
with corps commanders calling the and fact”. The convictions awarded on years, the government recently came up
pursuing an agenda of ‘compassion and Christchurch Call, a meeting of heads of Public School, Peshawar, tragedy that
shots. Political governments and civilian callously recorded routine “confessional with the Citizens Protection (Against
community’. Prime Minister Jacinda state and tech companies “to commit to left 144 people, including 132 children,
agencies simply followed military doc- statements” were held to be in violation Online Harm) Rules 2020. Oddly, the
Ardern stood out as a ‘pragmatic idealist’ preventing the spread of online terrorist dead at the hands of six terrorist gun-
trine. of the right to a fair trial. The matter is cabinet approved these rules framed
in a field dominated by old men. Her deft and violent extremist content”. men. Grief-stricken parents and families
Secondly, the political government now before the Supreme Court. without consultation with concerned
handling of the shootings was noted Some larger social media networks wanted accountability and an investiga-
lifted the six-year moratorium on capital In view of a recent Supreme Court stakeholders.
globally. had already established the Global tion into the security lapses in a garri-
In its manifesto, the PTI had an
Here is what she thought of the vic- Internet Forum to Counter Terrorism son-guarded area. They wanted exem-
ambitious plan for tackling terrorism by
tims: “Regardless of whether someone (GIFCT) to tackle the online influence of plary punishment for those who
enforcing NAP, continuing security oper-
had been in New Zealand for a genera- the militant Islamic State group and to accepted responsibility for the gruesome
ations against militants, winning over
tion or whether or not they moved here a boost coordination between govern- act. But the security establishment failed
‘passive’ militants, and spreading coun-
year ago, this was their home, and they ments and networks “to study, respond to satisfy them. The terrorists’ spokes-
ter-narratives including through
should have been safe and they should to and prevent extremist and terrorist man who was in custody ‘escaped’ from a
madressah reform. Unfortunately, we do
have been able to worship here … they activity on the sharing platforms”. safe house in Peshawar recently. The
not have a national security policy, and
are us.” Her embrace of New Zealand’s Ardern is involved in the expansion military’s silence speaks volumes.
the internal security policy approved by
Muslim community stood out in a global of the scope of this initiative as she feels As a member of a working group of
the previous government remains
environment of divisiveness. Her don- responsible. “That’s not to say this professionals who drafted the
unimplemented.
ning a headscarf while visiting a mosque started from zero, it did not. The work Counterterrorism National Action Plan
Our rookie prime minister needs to
or condoling with bereaved families that Jordan had done was really critical. (CT NAP) on Dec 21, 2014, I believe
adopt Ardern’s leadership traits and
“made a plausible case that kindness was And equally the likes of the UK and policymakers should rethink the strat-
revisit the CT NAP to come up with long-
a strength, compassion was actionable, France. But I do think that the GIFCT egy whose short-term gains through
term solutions to counter violent
and inclusion was possible’’. Within days will be a fundamentally different body kinetic means may not serve the long-
extremism.
of the tragedy, she proposed and got because of the Christchurch Call,” she term goal of countering violent extrem- l The writer is former IG Police and author of ‘The Faltering State and Inconvenient
Truths’.
A Pandemic of Fear
The two seemingly unrelated developments — the COVID-19 pandemic and the oil price
war — are not as unrelated as they may seem at first.
and having lost almost $25 per barrel as financial charges for businesses. tions will also provide headwinds for
of March 11, the import bill can fall by Cheaper imported energy prices will also Pakistan’s exports. The lower demand
over $3.2bn over the next 12 months if potentially translate into lower energy and price of oil could at some stage
current levels are sustained. Since a fall costs for businesses and households via a impact Saudi Arabia’s willingness to
in the international price of oil is linked reduction in electricity and gas tariffs. continue with the generous oil facility it
to other important energy products that This should also ease the pace of accu- has granted to Pakistan. The enormous
Pakistan imports, such as LNG, the mulation of circular debt. impact on the global economy, with the
potential savings are likely to be larger. oil export-dependent Gulf economies
Lower imported energy prices The global economy has hardest hit, could spill over into the coun-
Sakib Sherani should translate into a sharp fall in infla- hit severe turbulence try’s flow of worker remittances.
Islamabad, Pakistan
tion, with the magnitude depending on In addition, lower oil prices will
how much of the fall in international These are substantial positives. negatively affect the government’s main
prices is passed on to domestic consum- However, the impact is not unambigu- revenue spinner. However, lower reve-
G
lobal financial markets have the oil price war — are not as unrelated as The fact that China was at the epi- ers by the government. The prospect of ously positive. The upside from lower oil nue from the import and sale of petro-
been roiled the past week by they may seem at first. The first develop- centre of this virus is leading to fears sharply lower inflation should spur an prices will be limited to an extent by the leum will be offset to some extent by rais-
extreme panic-induced ment has amplified pre-existing worries about the economic contagion spreading interest rate-cutting cycle by the central growth-diminishing effects of fiscal con- ing the petroleum levy, as well as via
volatility. Lower locks/circuit breakers about the health of the global economy. far and wide. While China absorbs bank, which will ease budgetary pressure solidation. Global recessionary condi- lower debt servicing costs. Finally, con-
have been activated in stock exchanges These concerns have played into oil mar- around 11pc of the world’s exports, on the one hand, and lower the burden of ditions in the global financial markets
around the world, oil prices have ket fears about weak demand. The sec- almost 40pc of its own exports, or nearly have prompted significant outflows from
dropped the most in a single day since ond development (collapse of OPEC+ $1tr, are supplied to global companies as the stock of foreign portfolio investment
1991, while the yield on the US 30-Year agreement) has added a supply shock to part of the latter’s supply chains. (This in government securities. Between
Treasury bond has sunk to below one per the disquiet of oil exporting nations. number is down from around 80pc at its March 9 and 11, around $400 million has
cent for the first time in history. Since the demand for oil — and in a sec- peak in the early 2000s.) The closure of flown out from the ‘hot money’ book, or
An estimated $9 trillion has been ond-hand way, its international price — factories and all means of transportation roughly 12pc of the total invested stock
wiped off the market capitalisation of is an important indicator of the health of between December and end-February in a space of three days. This is possibly
global stocks in the past two weeks, with the global economy, the sharp fall in oil would have imposed colossal losses that the start of the worst case scenario read-
the S&P 500 index plunging 20pc since benchmarks has reinforced the prevail- are unlikely to be recouped with a global ers will recall I have been warning
its peak on Feb19. The Pakistan Stock ing sentiment of gloom and doom. economy tipping into a ‘recession’. against since July last year.
Exchange’s KSE-100 index has fallen The categorisation by WHO of According to an estimate by An even bigger risk that stalks Paki-
10pc since. Not surprisingly, traders COVID-19 as a pandemic will fuel the Bloomberg Economics, the COVID-19 stan’s outlook than all the foregoing
have dubbed the price action on March 9 panic. Given that over 103 countries pandemic can cost as much as $2.7tr to near-term ones, however, is that the eco-
as Black Monday and the recent carnage were reported affected as of March 9, the global economy in the worst case, nomic reprieve from falling oil prices
more generally as a ‘bloodbath’. including hard-hit advanced economies with the loss to China’s economy esti- could engender complacency in the
The two immediate catalysts for the such as Italy, compared to around 26 mated at 2.4pc of GDP. already fairly underwhelming reform
collapse witnessed on global financial each at the time of SARS or MERS, and The more relevant question for us of effort this government is undertaking. If
markets are the rapid, contagious spread the extreme containment measures that course is what will be the economic so, that would take us back to where we
across the world of the novel coronavirus countries around the world are having to impact on Pakistan? The most visible started — square one.
(COVID-19), and the start of an oil price take, the scale of potential economic number that commentators are focused
war between Saudi Arabia and Russia disruption is unprecedented. Huge on is the international price of oil. With
after the dramatic collapse of the OPEC+ losses are being incurred by airlines, every decline of $10 per barrel, Paki-
agreement on production cuts. h o t e l s , a n d t h e w i d e r t o u r- stan’s oil import bill drops by approxi-
The two seemingly unrelated devel- ism/hospitality and recreation indus- mately $1.3 billion. With benchmark
opments — the COVID-19 pandemic and tries, among others. Brent crude trading at $59 on Feb 20, l The writer is a former member of the prime minister’s economic advisory council,
and heads a macroeconomic consultancy based in Islamabad.
when the regulations were announced, ministry simply needs to put some through its monthly bills, telling the con-
the number of net metering license incentives for the power distribution sumers that there is no upfront cost. The
applications actually processed companies to issue more net metering bank will pay the upfront cost, and the
remained near zero. licenses. They can do this by helping cre- loan will be repaid from the savings that
ate a partnership between the distribu- the consumer gets from the installation.
Our challenge is to tion companies, the banks and For the first year or two, the savings are
catalyse this process, not sit authorised suppliers of solar panels used to repay the bank (depending on
whose products have passed quality con- the repayment plan the consumer
and wait for it to arrive on trol guidelines set by the Alternate chooses), and after that the savings
its own Energy Development Board. belong to the consumer.
The banks will provide the capital The distribution companies can be
for each home-based installation, much told that every unit of power that you buy
Today, hundreds of these applica-
Khurram Husain like an auto loan, to be repaid through from rooftop solar entitles you to an
tions have been processed, with the num-
@KhurramHusain the consumer’s power bills. The vendor equal number of units to be purchased
ber rising exponentially and processing
will provide the technology, installation from the grid at a reduced price. They
time coming down significantly.
and after sales service. The distribution can be given benchmarks to reduce their
I have made it clear in the past that I to 10 and eight cents respectively. It is munications that cellular phones ush- How can it be catalysed? The energy
company will advertise the scheme receivables and increasingly told to rely
am a big fan of the renewable energy quite possible these targets have already ered in about a decade and a half ago. In on their own liquidity to run their busi-
revolution that is currently been reached or surpassed. the late 1990s, it was rare to see people ness, with appropriate bonuses for per-
sweeping the world. I am very keen to see In utility-scale, grid connected solar with a mobile phone. Today, it is rare to formance.
this revolution reach its full potential power, they passed the six cents mark by see someone without one. It will be the Bringing the renewal revolution
here in Pakistan and have some ideas on 2017 instead, three years ahead of sched- same with solar panels. By the time the into the homes of millions of people
how it can be catalysed. ule. Now they are targeting to bring it 2020s end, it will be rare to find someone around the country is a visible marker of
First, consider how the industry is down to three cents by 2030. who does not have a solar panel in their progress, and will have a lasting impact
developing. Back in 2010, the Obama Last year, the International Renew- home, office or factory. on power sector development in the
administration launched what they able Energy Agency (IRENA) found that Our challenge here is to catalyse this future.
called the Sunshot Initiative, an ambi- “83 per cent of the utility-scale PV pipe- process, not sit and wait for it to arrive on Our power sector difficulties, such
tious drive to bring down the price of line commissioned for 2020 will boast its own. Unlike the mobile communica- as the continuously rising circular debt,
utility-scale, grid connected solar power prices lower than the cheapest fossil-fuel tions revolution, this one does not rely will not be solved through reforms
to a point where it achieves what they call alternatives.” As per their survey, utility- on large operators, with billions of dol- because the power of the entrenched,
‘grid parity’, or the same price as the elec- scale solar projects will have an average lars in investment. Small traders are now vested interests — whether the bureau-
tricity that is already present in the tariff of 4.8 cents per unit, beating the importing the technology that can bring cracy, the rackets, or the large independ-
power grid. At that time, they figured this target set for the Sunshot Initiative. They an entire home’s power bills down to ent power producers — is too powerful
grid power price was six cents per unit, find that solar and wind will, in this year, zero. for the state to manage without
whereas solar was 28 cents (for utility- beat the 700GW of total operational coal In 2015, the country’s first ‘net upheaval. Ultimately, these chronic prob-
scale grid connected power), and they fired power generation worldwide, mean- metering’ regime was initiated by Nepra, lems will only disappear when technol-
targeted to bring solar down to six cents ing the revolution will hit a tipping point the power sector regulator. This enables ogy makes the entire apparatus anachro-
by the year 2020. in both financial and operational terms a power consumer to generate electricity nistic, much like cellular technology
Likewise, they brought down the in this year. From here, there is no look- on their own premises and sell whatever made large-scale landline telephone
price of residential and commercial solar ing back. they are not using back into the grid. As infrastructure obsolete. Reforms to miti-
power from 52 and 40 cents to 16 and 11 We are in the middle of a profound of 2010, large sections of our power gate the rise of the circular debt are
cents respectively by 2017. By the end of revolution in power generation that is bureaucracy had not heard of such a important, but why not start pushing
this year, they want these numbers down perhaps similar to the revolution in com- thing. For a couple of years after 2015, large-scale solar installations as well?
s NEPRA has issued guidelines for net metering so consumers can now sell excess solar energy
s Political system in Pakistan seems to be driven by the blemished concept of dynastic politics
politics is infeasible. So the brand of cor- ardent fans of bigots. Other pearls of the most selling political brands in Paki-
rupt patronage politics of mostly poor wisdom educated people share involve stan will remain dynastic, cultist and
illiterates at least has a narrow validity. regime tinkering, eg presidentialism, bigoted politics. Dynastic politics is the
However, educated middle-class proportionate representation and even least odious. If one ends it artificially, the
minds hate such politics and want a technocracies and autocracies though void will be filed by cultist, fascist and/or
better one. But then one sees that vast there is no proof these work. So shock- bigoted politics rather than high politics.
sections of such people lack even narrow ingly, the politics of our rich and edu- Thus, one may detest the Bhuttos and
validity. So they often join the political cated is much worse than even that of Sharifs for their misrule and graft. But
cults of charismatic ‘messiahs’ like Altaf poor illiterates. removing them artificially via rigged
Hussain and now Imran Khan more The brand that offers most hope but polls and trials will cause more misrule
broadly. Here, there is no focus on poli- that few follow is the rights-based, leftist and political instability, as is true today.
cies and competence, only on the politics offered by small parties like the
claimed supernatural virtues of messi- Awami Workers Party. The poor don’t
ahs which are magically expected to adopt it given their constraints. The edu-
directly produce progress. cated don’t adopt it due to lack of politi-
Elsewhere, middle classes are even cal sense. So, in the short term at least, l The writer is a Fellow with UC Berkeley and heads INSPIRING Pakistan, a
progressive policy unit.
Dr Niaz Murtaza
@NiazMurtaza2