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The Contemporary Value of Marx’s Practice of Civilisation

By Bao Zonghao

Karl Marx’s practice of civilisation was used as a reference to this article. However, this is not the full and systematic explanation like the original one authored by him. Rather it is about the judgment that “civilisation is a practical thing,” which supports the logical reason: why the building of culturally advanced cities has been long going on extensively nationwide over the past ten years. Furthermore, has become a cornerstone theory in China in the new era.

 

I. The Practical Nature of Civilisation

Marx made a systematic and complete analysis of civilisation. According to incomplete statistics, the term “civilisation” was used more than 2,600 times in volumes one to thirty of the Collected Works of Marx and Engels.3  His research on the origin of civilisation was based on the results of Lewis Henry Morgan’s research on differentiating civilisation and barbarity,4  but it is not limited to the history of the origin and evolution of civilisation. On the contrary, it exposed the origin of the human social civilisation by integrating history and logic based on the practice of human labor. It was believed that human civilisation originated in the biggest division of two kinds of labor—the division of material and intellectual labor; and that the division of labor was an important symbol of the era of civilisation and represented the exploitation of one class by another. Marx studied civilisation as part of the practice of it and based on the connection between the development of civilisation and certain production modes and between its development and the resulting class relations.5

1. In essence, civilisation is a practical thing.

Marx said, “Civilisation is a practical thing.” This means civilisation falls under the category of practice and is practical in nature. Practice is the material activity through which people transform the objective world. Labor is the fundamental form of practice. Without labor, there would be neither labor practice nor humanity and human social civilisation. Practice did not only enable humanity to create civilsation but also promoted the development of social civilisation. In their (labor) practice, there exists a dual – relationship interaction between subjects (humans engaged in practice) and objects (the objective world in the field of practice): The objects constantly turn into subjects, and the nature at ease becomes a humanised nature while the subjects keep becoming objects, leaving their prints on nature and turning into materialised objective targets. This dialectical unity between subjects and objects in practice shows that while transforming the objective world and creating the material world, people are also changing the objective world and creating a material world. The combination of these positive material and intellectual results are civilisation—a state of progress at certain stages of the development of human society. In this sense, civilisation is essentially the material and intellectual result of people’s essential strength becoming the target in the process of practice (labor practice, interaction practice and creation practice). This result reflects the state and tendency of civilisation. This is why in this sense; civilisation is essentially a practical thing.

 

2. Civilisation is the practice of everyday life based on different time and space.

Marx’s statement about civilisation and practice shows that:

First, as a concept of practical value, civilisation proves the turning of the essential human strength into the target and the value of practice. Humanity created civilisation in practice, and in turn, it proved the value of the practice of humanity and raised the level of civilisation. Civilisation also led humanity to evolve from the barbarous state of living, and improved the quality of human survival. Moreover, it paved the development through the process of constantly creating new production tools and promoting the progress of productive forces.

Second, civilisation is a concept of practical time and space. Civilisation is both diachronic and synchronic, that is, it has conspicuous regional characteristics—geographical civilisation. This is precisely because the time and space of the practice of civilisation differ from the East to the West; they have different civilisations and different cultures for different races and ethnicities.

Third, civilisation is a concept of practice of everyday life. Civilisation is a positive, progressive, and human way of living people have in a certain era and a given society. It includes specific living conditions, norms, customs, relations, content, concepts and other factors for civilised lives. These civilised lives distinguish humans from animals and tell the different levels, quality and degrees of development humanity has had in different times. Different practical living needs that result from different regions and historical conditions to give rise to the different needs of people for development and enable them to create different civilisations and cultures. The differences, conflicts and rivalries between different civilisations in the world reflect the long – term practice of lives in different regions.

Different civilisations and cultures developed by one generation after another based on their long-term living practice naturally exclude each other. It is natural for different civilisations to enter into rivalry. When rivalry involves the interests of peoples and nations and is affected by the needs of capital, it will reach an unprecedented level of acuteness. Therefore, when economic globalisation deepens, it is necessary to build a global community of shared future that would serve as the target and means for promoting the contact, exchange, and integration of different civilisations. In addition, this could minimise the negative impact that the rivalry and conflict of different civilisations may have.

 

Different practical living needs that result from different regions and historical conditions give rise to the different needs of people for development and enable them to create different civilisations and cultures.

II. The Fundamental Characteristics of the Practice of Civilisation

Marx’s statement on the practice of civilisation not only reveals the nature of civilisation but also shows that the practice of it is geographical and explains the logic of the evolution of the practice of different civilisations. This logic exemplifies the cultural genes of the civilisations from different localities and common cultural genes determine the choice of the practice of civilisation and the logic of its evolution.

 

1. The geographical nature of the practice of civilisation

Practice is historical and regional, which determines that the practice of civilisation is geographical and varied. This is a fundamental characteristic of the practice of civilisation. The argument that practice of civilisation is geographical means a combination of specific geographical conditions and natural environments, including not only landforms and terrains but also climate and mineral resources. Just as French historian Fernand Braudel said, “Discussing civilisation means discussing space, land, terrain, climate, crops, animal species, and the advantages of nature and others.” Discussing civilisation means discussing how humanity makes use of these basic conditions. The values, way of thinking, customs and habits in a civilisation are all determined by geographical – natural conditions.6

This does not at all mean that the geographical environment determines everything; this is meant to stress:

First, civilisations in different localities generally originated in the same geographical world, or started from an intuitive space that is there for you to see and feel. For example, people from the Indian civilisation mostly lived in the South Asian Subcontinent. People from the Western civilisation lived in central and western Europe 1,500 years ago and started to move to the Americas, Australia, New Zealand and southern Africa after 16th century. People from the Islamic civilisation mostly lived in a narrow yet large area from North Africa, the Middle East, Afghanistan to Indonesia. People from the Orthodox civilisation mostly lived in east Europe and north Asia east of the Ural Mountains.

Second, civilisations resulting from the same geographical world are deeply affected by their common cultural genes. For example, Jewish civilisations (which are controversial) all originated in Palestine. In the first half of the 2nd century, the Jews lost their home in and around today’s Palestine. This led to the diaspora of Jewish civilisations to all over the world. On the one hand, the Jews living scattered in different countries share the same genes of the Jewish civilisation. In addition, while integrating themselves with the culture of their host countries and assimilating themselves with local culture and civilisation, they also developed Jewish civilisations with the cultural characteristics of their host countries. For example, the French and US Jews had a better sense of belonging with French and US cultures than they did with their own culture in the 18th century. This led to the differences between Jews in Ethiopia, Morocco, Germany, Poland, Russia and the United States. On the other hand, Jewish civilisations scattered across the world share the same cultural genes and beliefs of the Jews. As a result, the Jews away from Palestine pray toward Jerusalem every day and founded the state of Israel belonging to the Jewish civilisation in 1948.7

Obviously, the cultural genes reflected in the geographical nature of the practice of civilisation very much determine and affect the path of the practice of civilisation and affect the historical and present choice of the practice of civilisation. The process of choice of different civilisations is full of conflict, integration, transformation, and generation. The choice of paths for the evolution of the Chinese, Indian, Islamic, and Jewish civilisations was a natural and historical choice made by people living under different geographical conditions based on the cultural genes of their countries’ history. In the 5,000-year history of the Chinese civilisation, choices were also made based on its cultural genes that had been developed in the practice of civilisation over the same period. The choices based on the Chinese cultural genes took different forms and had different spirit in ancient and modern times. It is of particular note that the moving national spirit and culture that have been developed by the Chinese nation since modern times in its resistance to foreign aggression and enslavement have shaped the form and spirit of the Chinese civilisation in modern times that is different the ancient Chinese civilisation.

The Chinese civilisation in different times absorbed advanced foreign civilisations and generated different new forms of civilisation. In the present new era, millions of Chinese people are pursuing urban civilisation, which is developed based on the common choice made by these people based on the practice of civilisation in this era. It is a conscious choice made based on the historical logic of the practice of civilisation of the Chinese nation over the past millennia.

 

Discussing civilisation means discussing space, land, terrain, climate, crops, animal species, and the advantages of nature and others.

2. The consciousness of the practice of civilisation

Another fundamental characteristic of the practice of civilisation is that the human practice of civilisation is a reflection of people’s free and conscious activity and is the humanity’s free pursuit of the practice of civilisation. The common pursuit of culturally advanced cities by millions of people in the new era under socialism with Chinese characteristics is the new need of the Chinese practice of civilisation in the new era as well as the conscious choice and idealistic pursuit of focusing the practice of civilisation on urban civilisation in the new era.

First, The conscious choice and creation of civilisation

The conscious practice of civilisation means the conscious choice and creation of civilisation made by humanity in certain historical conditions.

It is justifiable to say that cultural and ethical progress in the axial period was not there until after humanity had free and conscious practice of civilisation. In other words, the practice of civilisation was the driving force behind humanity entering the axial period and a cornerstone marking the difference between civilisation in the axial period and civilisation in the non-axial period. The different practice of civilisation in the East and the West led to cultural and ethical progress with Eastern and Western historical and cultural characteristics. The development of Eastern and Western civilisations today is still conditioned by the consciousness of the practice of civilisation. The features of this are: whether the practice of civilisation can be guided with the people and humanity as the center and guide determines the nature of the practice of civilisation under different systems. Under the capitalist system, the practice of civilisation with capital at the core and orientation will naturally conflict with the practice of civilisation with the people and humanity at the core and guide and will definitely be eliminated by the history of civilisation with the people and humanity at the core.

Second, The conscious pursuit of urban civilisation

From the perspective of the practice of civilisation of the people and humanity, researching the practical creation of culturally advanced cities in contemporary China is a theoretical reflection over the conscious pursuit and practice of the creation of such cities by millions of people in contemporary China. It is also an introspection and criticism of different kinds of inappropriate and unharmonious ways of urban development — a realistic choice made to abandon the misconceptions that lead to inappropriate and unharmonious urbanisation, and a realistic choice made to embrace a sustainable mode of urbanisation.

The practical means of urban development in contemporary China suggests that misconceptions leading to unsustainable urbanisation still exist to varying degrees. For example, urban transformation and expansion are taken as urban development. This results in the visual pollution in cities, and the loss of characteristics, cultural awareness, and cultural spirit of cities. This deviates from the value orientation of the practice of civilisation and the purpose and means for appropriate and harmonious development that put people first. During recent years, the unsustainable urban development in China, the different varieties of urban maladies, unexpected floods and other natural disasters have repeatedly warned that urban development must be based on the practice of civilisation.

Cities are the combined results of civilisation in different stages of the history of human society and the products of a certain stage of human civilisation. For the first time the civilisation era makes cities significant as such and enables them to start the chapter of urban civilisation. In the Urban model, people are at the center of the new era making them the target of the conscious practice and pursuit by millions of people. Culturally advanced cities are also an urban model because they are based on the practice of civilisation and are guided by the new development philosophy, as well as the worldview and methodology that features appropriate development. These are the values chosen by China in the said era to take up the challenges affecting the urbanisation. Moreover, these values are said to be strategic choices that would have major impacts on the urban lives in China.

 

Another fundamental characteristic of the practice of civilisation is that the human practice of civilisation is a reflection of people’s free and conscious activity and is the humanity’s free pursuit of the practice of civilisation.

III. The Value of Urban Civilisation Based on the Practice of Civilisation

On two occasions in 2015 on 2017, General Secretary Xi Jinping met with representatives of culturally advanced cities, villages, towns, and organizations from all over China and delivered major speeches. He chartered the course for creating culturally advanced cities in China. This has led to an unprecedented rise in the enthusiasm of China’s 31 provinces, autonomous regions and municipalities directly under the central government for building such cities and more cities and municipal districts have begun to work for the value of urban civilisation.

1. The consensus on pursuing the value of urban civilisation

Having entered the new era under socialism with Chinese characteristics, China is faced with deep economic and social transformation, reform is deepening, major adjustments are being made in interests, an array of views are coming up, and risks and challenges are cropping up. All these has helped bring about consensus on the value of urban civilisation from the practice of civilisation. This came in a tough course roughly divided into three main stages:

First stage: the development of the value of urban civilisation from 1996 to late 2004. In 1996, the Resolution on Certain Major Issues concerning Strengthening Social Culture and Ethics was adopted at the Sixth Plenary Session of the 14th Central Committee of the Communist Party of China. This kicked off efforts to create culturally advanced cities nationwide. In addition, this helped curb the expansion of self – centered behavior and narrow the gap between collective awareness and individual awareness that resulted from the incomplete market economy, and as public awareness of urban development, the awareness of urban civilisation began to be fostered and developed.

Second stage: the formation of the consensus on the value of urban civilisation from 2005 to 2011. In 2002, work began to formulate the System for Evaluating China’s Culturally Advanced Cities (hereinafter referred to as the Evaluation System). In 2005, the first group of China’s culturally advanced cities were elected and 118 cities (urban districts) in China’s 31 provinces, autonomous regions and municipalities directly under the central government began to create culturally advanced cities in accordance with the standards and measures specified in the Evaluation System for evaluating urban civilisation. In the evaluation of the second and third groups of culturally advanced cities in China in 2008 and 2011 respectively, requirements were raised for improving the cultural environment, the market environment, and other soft environments and strengthening people’s wellbeing projects. The initiative to promote civilisation and wellbeing made it possible for the force for promoting civilisation to strengthen public powers that were weakened at a point.

Third stage: the improvement of the consensus on the value of urban civilisation from 2012 to 2017. In 2013, in the campaign to heighten awareness of and implement the mass line of the CPC, criticisms and comments were made on some cities that were merely keen on being elected a culturally advanced city to save face without really working to get the job done. Criticisms and comments were also made on other cities that worked to please leaders to the neglect of the public, had a lop – sided approach to their performances, and merely went through the motions by building vanity projects.

From late 2013 to March 2014, leaders of the Civilisation Office of the CPC Central Committee made research in 35 cities in 12 provinces, autonomous regions and municipalities directly under the central government including Shanghai, Shandong, Hubei, and Sichuan. They found all the leaders and lower – level officials of these areas agreed: The initiative to create culturally advanced cities gave cities targets and a direction. During the initiative, practical work was done for the good of the people and the initiative really had value and was cultural. Creating culturally advanced cities was the most important part of the initiative to promote cultural and ethical progress. It had the highest approval rating from the public and received the most attention from local CPC committees and governments. It was the leading project in promoting cultural and ethical progress. It significantly improved the urban and rural environment and public mentality. It made cities more intellectually, ethically sound, and develop a healthier culture. Through practice, the consensus on the value of urban civilisation became a value increasingly pursued by millions of people in cities of all sizes all over China in the new era.

 

Cities are the combined results of civilisation in different stages of the history of human society and the products of a certain stage of human civilisation.

2. The building of the consensus on the value of urban civilisation

The consensus on the value of culturally advanced cities reached based on the practice of civilisation over the past more than ten years is becoming the common value pursued by millions of people in the capital cities of provinces, prefectural and county cities, and districts of municipalities directly under the central government. The consensus on the value of urban civilisation in China in the new era is being built and improved in the following four respects.

First, The consensus on the convictions of urban civilisation

Conviction means belief and respect. One’s convictions determine all of his or her behavior; a nation’s convictions determine the future of the people and their country. The country’s prosperity cannot be achieved without intellectual support; a nation’s progress depends on the development of civilisation. Since ancient times, the notion “backwardness leaves the country vulnerable” has become the unbreakable truth of all countries and their people. However, what is worse to a country and its people is the people’s intellectual decadence and voidness. The 5,000-year history of China shows that a country and its people cannot afford not to have convictions. Xi Jinping stressed, “When the people have convictions, their country will have strength, and their nation will have a bright future.” “Ideals and convictions are as essential to Communists as calcium is to bone. Without them, or with them only in weak measure, we would be without the stuff of our strength and develop fragility of the bone.” Xi added, “This is already the case for some Party members and officials who have acted improperly due to weak convictions and uncertain faith.” This means it is necessary to work to foster and live by core socialist values, raise public ethical standards, enhance work ethics, family virtues, and personal integrity, and develop a social environment encourage people to esteem virtue and perform good deeds. To ensure that the people have convictions, every family and household should start to make an effort, you and I begin to make an effort, and it is necessary to start by improving Party conduct, government conduct, social conduct, and conduct in the home. To ensure that the people have convictions, everyone should become aware of the need to become culturally advanced and work to become model citizens. More importantly, you people should be encouraged to promote the traditional cultural genes of the Chinese nation and convictions should be made to become in full blossom from generation to generation.

Second, The consensus on the ethics of urban civilisation

The consensus on the ethics of urban civilisation is generally referred to the moral consensus reached on how to make cities more culturally advanced and the civility of their residents. In the course of building culturally advanced cities all over China in the new era, the consensus on the ethics of urban civilisation has cultivated and rebuilt three types of spirit and three types of awareness:

The rebuilt of three types of spirit: (1) The rebuilt of cultural spirit. In accordance with the Evaluation System, cities have made in-depth efforts to carry out the program “Our Festival.” They have conducted education in core socialist values based on patriotic education centers and moral lecture rooms. They launched the initiative to improve everyone’s awareness of science. They also worked to ensure that intangible cultural heritage was passed on and strengthened the protection of sites of historical and cultural interest, artifacts, and traditional villages. (2) The rebuilt of moral spirit. The cities did the following in accordance with the Evaluation System. Carry out through the media — Moral China program to publicize moral paragons, work to develop fine conduct, home education, ensure that officials promote family integrity (as well as improve party spirit), hold exhibitions about the deeds of moral paragons, and lastly, have these paragons give lectures at the community level.  Since 2008, the government has elected and commended 173 national moral paragons on a yearly basis, and listed 6,819 people as Morally Advanced People in China. (3) The rebuilt of volunteer spirit. The Evaluation System requires not only that to become a culturally advanced city, the number of its registered volunteers must account for 13 percent or more of the permanent residents in its districts, but also that 70 percent of its total registered volunteers must have provided in volunteer services. In addition to that, these registered volunteers must provide 25 hours or more of volunteer services a year per capita.

The cultivation of three types of awareness: (1) The cultivation of awareness of rules. In accordance with the Evaluation System, the cities not only extensively conducted education in the residents’ conventions, industrial norms, and occupational rules, but also strengthened education in villagers’ conventions, students’ rules, and articles of association for organisations. All this was designed to improve everyone’s awareness of rules. (2) The cultivation of awareness of integrity. In accordance with the Evaluation System, the cities extensively implemented the “Integrity for All in the City” initiative, developed integrity demonstration streets, integrity demonstration shops, integrity organisations, and integrity industries, and promoted every aspect of China’s integrity ethics. (3) The cultivation of awareness of the need to be culturally advanced. In accordance with the Evaluation System, the cities worked to create culturally advanced communities, organisations, families, villages, towns, and websites to ensure that families, communities, villages, towns, and organisations are well aware of the need to be culturally advanced, and disseminate this awareness online. In addition, the cities organised the campaigns to improve social conduct in light of the CPC and the Chinese government’s major work and activities and China’s major festivals and celebrations. Based on newspapers, broadcasting stations, TV stations, smart phones, the internet, and other media, great efforts were made to publicise and universalise etiquettes and encourage everyone to live by them.

The cultivation of these three types of spirit and three types of awareness is designed to turn intellectual and cultural content into unified norms, requirements, and evaluation standards and integrate them with the day – to – day work of every city across the country and the everyday life of their residents. In the activities to rebuild cultural and ethical progress that millions of people can feel, participate, repeat, revise and improve, city residents will gradually become aware of the need to reshape themselves intellectually and culturally and do so in their everyday life. Thus, the institutional arrangements will be made under which the government and these residents work together to promote cultural and ethical progress and share the results.8

The process of cultivating and rebuilding these three types of spirit and three types of awareness is also a process of rebuilding the city spirit of a city. For example, during the process of promoting cultural and ethical progress, Beijing developed the city spirit of patriotism, dedication, justice, and inclusiveness, while Shanghai developed the city spirit of inclusiveness, excellence, wisdom, and generosity. The spirit of different cities is an epitome of the contemporary spirit of China and reflects different aspects of the city dream and the Chinese Dream. The city spirit is the intellectual strength sustaining residents’ value orientation, ways of behavior, and psychological orientation and is the soul of a city.

 

In the course of building culturally advanced cities all over China in the new era, the consensus on the ethics of urban civilisation has cultivated and rebuilt three types of spirit and three types of awareness.

3. The consensus on the institutions for urban civilisation

Today, there is an outbreak of urban maladies in large numbers. Traffic jams, high property prices, ecological degradation and environmental pollution, soaring social risks, and aggravated disparity between rich and poor are all inexplicit or explicit manifestations of the incivility of cities. The root causes of them are often a lack of institutions and their improper implementation. Historical experiences show that a transition society is often exposed to risk and conflict. During their nearly 200 years of urbanisation, Western countries were also laden with crises and risks. China has been urbanising quickly for only a little more than 30 years and is faced with the pressure from the goal of reaching the urbanisation rate of 60% by 2020, so it is necessary to take an urbanisation path with Chinese characteristics and institutions must be used to resolve conflicts. The consensus on urban civilisation that was achieved in creating culturally advanced cities contains complete and systematic institutional arrangements and is an institutional arrangement that promotes the sustainable urbanisation with Chinese characteristics.

The institutional arrangements for the evaluation items, indexes and measures of the Evaluation System completely and systematically reflect and integrate the cultural progress in the cities’ appearances, functions, and qualities. By completely and systematically reviewing and evaluating the level of sustainability of urbanisation based on the evaluation of more than 380 items including the city’s software and hardware, facilities and management, people and activities, standard and guidance, education and development. It is of particular note that the evaluation of the soft environments for developing urban civilisation including the three modules as well as the twelve evaluation items guide cities in creating a social and living environment for people’s lives and work. Thus, promoting the civilisation and harmony of cities in the process of changing and improving the soft environments such as political affairs, rule of law, market, culture, security, and stability. Therefore, about 95 percent of the more than 500 cities that had run for nationwide culturally advanced cities since 2005 enjoyed their support of their residents.

 

The spirit of different cities is an epitome of the contemporary spirit of China and reflects different aspects of the city dream and the Chinese Dream. The city spirit is the intellectual strength sustaining residents’ value orientation, ways of behavior, and psychological orientation and is the soul of a city.

The Evaluation System makes soft indexes compulsory requirements, reinforces the social foundation for modernising urban governance systems and capacity, provides something that can be held on to for meticulous urban management and points the direction for the practice of civilisation. For example, the community – level cultural facility index in the Evaluation System has specific requirements for building a modern public cultural service system, that is, “every neighborhood must has at least five fitness centers for morning and evening exercise and the per capita sports area must be more than 1.08 square meters.” These institutional constraints get the government to put finds, space, and resources into the programs of immediate interest to the people. In addition, the environment management and environmental quality index in the Evaluation System has quantitative requirements for improving polluted waters, disposing household garbage, and improving urban air quality. These required institutional arrangements, which were formerly optional requirements, not only give government the targets, driving forces, and direction for its social governance, but also work with the urban management systems. This is further achieved through the administrative assessment, public evaluation, getting the institutional arrangements, improvisation of the urban governance system (and its capacity), and lastly, creation of social environment in which residents live by the core socialist.

The Evaluation System has been proved by practice to be an institutional design and framework that can promote the appropriate and harmonious development of cities.

First, the Evaluation System not only has evaluation items and content concerning the political, economic, cultural and social development of cities, but also contains quantitative evaluation standards for the level and quality of economic and social development of cities. It not only specifies clear targets for evaluation in terms of the cultural progress in the cities’ appearances, functions, and qualities, but also holds government bodies accountable for these targets. The 2005–2017 Evaluation System of the Central Guiding Committee for the Promotion of Cultural and Ethical Progress incorporates the indexes of the general offices of 40 ministries and commissions including the General Office of the Central Guiding Committee for the Promotion of Cultural and Ethical Progress, the Central Committee for Improving Every Aspect of Law and Order, the Central Commission for Discipline Inspection, the Ministry of Public Security, the Ministry of Housing and Construction, the Ministry of Education, the Ministry of Culture, and the Ministry of Civil Affairs. This ensures that the index requirements of these general offices for the appropriate, harmonious, and sustainable development of cities are met by the relevant committees, general offices, and bureaus of cities. This is an institutional design that has the evaluation indexes as a bridge and integrates national and local resources in a joint effort to create culturally advanced cities and promote sustainable urbanization.

Second, as an institutional design, the Evaluation System is identical with the administrative management model of the Chinese government. As I said above, the index system and model has been formulated and revised to incorporate the indexes of the general offices of China’s 40 ministries and commissions and the revised indexes have all been approved by the general offices of relevant ministries and commissions. The evaluation indexes require that the government must do solid and effective work to promote the creation of culturally advanced cities and sustainable development urbanisation. They are an effective test of how well the government promoted the creation of culturally advanced cities and sustainable development urbanisation; they are also the best test of the performance of the government in urban construction and management. More importantly, they provide an all-around oversight of how the government promotes the building of a moderately prosperous society in all respects and a harmonious society.

 

By showing concern and evaluating public space, demand, morals, services, management, and security, the Evaluation System materialised the consensus on the value of urban civilisation in order to raise the level of urban civilisation and the civility of residents.

4. The consensus on the evaluation of urban civilisation

From 2005 through 2017, the Evaluation System was expanded from the original eight evaluation dimensions (items) to three modules with 12 evaluation items. Reductions and additions were made to the Evaluation System’s evaluation items, content, indexes, and standards to keep up with the Party and government’s requirements for the development of urban civilisation and reflect the latest demands and results in urbanisation in China and elsewhere. However, an evaluation consensus was reached on the fundamental framework and structure and the measures and path for comprehensively evaluating urban civilisation in cities based on collecting data through field investigations, questionnaires and material reviews. By showing concern and evaluating public space, demand, morals, services, management, and security, the Evaluation System materialised the consensus on the value of urban civilisation in order to raise the level of urban civilisation and the civility of residents.

First, the evaluation of public space. If urban public space is given more cultural sentiments and concern, then the city will make everyone feel better. How to solve the lack of space in the process of urbanisation and modernisation and give more cultural concern to public space? The Evaluation System evaluates the public space for the residents of a city or a municipal district through the quantitative evaluation of the city’s public space such as parks, squares, scenic spots, and community sports facilities.

Second, the evaluation of public needs. To be sustainable development, urbanisation and modernisation must be based on meeting public needs. One is the need of a living environment. The Evaluation System determines how well residents’ public needs are met by evaluating public services such as the neighborhood facilities and community living environments. The other is the need of public cultural services. The Evaluation System evaluates how well culture centers, libraries, and museums meet the needs of the residents by evaluating the supply of public services.

 

A city’s public service capacity and level is the key to attracting and keeping human resources and becoming the livable city; it is the symbol of the city’s urbanisation and modernisation.

Third, the evaluation of public morals. The cultural and moral quantities the residents have in the public areas in a city constitute that city’s public morals. Public morals are the common cultural and ethical qualities residents progressively develop through their activities and exchanges in urban public areas and are the requirements for the cultural and ethical quantities that residents must have in their activities and exchanges in public areas. They are also an important symbol of the civility of a city and a country.

The concern for and the evaluation of public morals are fundamentally designed to develop the public morals of the residents of a city and the citizens of a country. The Evaluation System examines the morals a city’s residents have in public areas by evaluating appropriate conduct, observance of traffic rules, and comity. The process of ensuring the people of a city and a country develop their public morals is both a process of improving the residents’ cultural and ethical qualities and the level of urban civilisation and the process of improving the soft power of a city and a country. More importantly, it is a process for improve the soft environment for the development of a city and a country.

Fourth, the evaluation of public services. A city’s public service capacity and level is the key to attracting and keeping human resources and becoming the livable city; it is the symbol of the city’s urbanisation and modernisation. The Evaluation System evaluates the 38 service industries of a city to see if it meets the standard for “Proper and Honest Services” in order to promote its public services.

Fifth, the evaluation of public management. Thanks to the development of economic globalisation and the application of information technology, traditional social management is being replaced by new urban public management and social governance. Public management stresses public affairs at society and seeks to realise public management of the public affairs of cities by advocating public spirit and achieving public leadership. Therefore, the concern for and evaluation of public management reflect the good governance of society with multiple entities (the government and the market, governmental and nongovernmental organizations, etc.) interacting with each other, and reflects the good governance of urban public affairs by public leaders with public spirit.

Therefore, in the institutionalisation of volunteer services and volunteer service activities, the Evaluation System evaluates how well volunteer service culture and community volunteer service culture are cultivated to guide residents to participate in urban governance. It also evaluates the cities’ public management level by reviewing their food and drug security administration and response to public emergencies.

Sixth, the evaluation of public security. Public security is an important social issue of great concern to both the government and the public. It is one of the major functions of the government. By evaluating public security guarantee, drinking water safety, and law and order management, the Evaluation System integrates the urban social public service system with the public security system, in order to mobilize all positive factors to participate in urban social public security services, safeguard law and order in society, and protect public security.

 

The Chinese people have a sense of belonging in the development of urban civilisation, in the people’s wellbeing, in the CPC – led path of urbanisation and modernisation with Chinese characteristics, and in the 5,000 – year history of the development of the Chinese nation’s civilisation as well as their nation and country.

The consensus on convictions, ethics, institutions and evaluation mentioned above constitute the four – pronged value system for urban civilisation. The application and improvement of this system means that the conscious awareness of the ethics of urban civilisation in the new era has been formed. It also means that the Chinese people have a sense of belonging in the development of urban civilisation, in the people’s wellbeing, in the CPC – led path of urbanisation and modernisation with Chinese characteristics, and in the 5,000 – year history of the development of the Chinese nation’s civilisation as well as their nation and country. All this is based on the practice of urban civilisation with Chinese characteristics and the practice of China’s sustainable urban civilisation. It is also the creative practice for the city dream based on the notion “better city, better life” and for the Chinese Dream, made by millions of people. It will also continue improve and develop as the practice of urban civilisation deepens. 

About the Author

Bao Zonghao is professor of philosophy at the School of Humanities, East China University of Science and Technology; president of Shanghai Academy of Huaxia Social Development Research; distinguished research fellow at Urban Culture E-institute of Shanghai Higher Education.

References

1. The mid-term result of the major project “Research on Promoting the Balanced Development of Material Progress and Cultural and Ethical Progress: The Theory, Practice, and System of Culturally Advanced Cities over the Past Ten Years” (Approval Document No. 15ZDC007) funded through NSSFC.

2. About Author: Bao Zonghao, Professor of East China University of Science and Technology,  President of Shanghai  Academy of Huaxia Social Development Research

3. Collected Works of Marx and Engels, Chinese ed., People’s Publishing House, Beijing, vol. 1, 2009, p. 97.

4. Lewis Henry Morgan, Ancient Society, Chinese ed., The Commercial Press, Shanghai, 1977, p. 28.

5. Collected Works of Marx and Engels, Chinese ed., People’s Publishing House, Beijing, vol. 3, 2009, p. 258.

6. Bao Zonghao, “Research on Civilization in Contemporary China from a New Perspective,” Academic Monthly, No. 5, 2011.

7. Bao Zonghao and Xiang Kun, A New Model of Urban Civilization in Contemporary China, Xuelin Press, Shanghai, 2015, pp. 40–41.

8. Bao Zonghao and Xiang Kun, The Civilization Index of Chinese Cities, Xuelin Press, Shanghai, 2015, p. 31.

Philippine Peso Stability Relies on Duterte’s Infrastructure Success

construction site

By Dan Steinbock                                      

Recent concerns about peso’s depreciation have been exaggerated. In the most dangerous international environment since the postwar era, there is no room for complacency, however.

In the past, international and domestic critics of the Duterte government have complained that the Philippine peso has fallen “six straight years,” which is seen as a sign of the failure of Duterte agenda.

In March 2017, Bloomberg reported that “Asia’s ugly duckling of 2017 is the peso, thanks to Duterte.” At the time, peso’s weakening was explained, oddly enough, by investors who had been spooked by allegations of “unlawful killings and corruption.”

More recently, the peso is said to face an additional threat, “a mid-term election that may compound concerns about its economy.” This time Bloomberg believes that “political uncertainties” pose an added source of pressure.” Yet, recent surveys do not seem to support such speculation.

Still other reports see “political risks” where such do not necessarily exist, while approaching the peso’s weakening as if it was fueled by mainly internal forces.

In reality, most currencies in emerging markets have depreciated since first expectations that the U.S. will start rate normalization and when the actual rate hikes began – about “six straight years” ago, well before Duterte (Figure).

 

Figure

Since the Fed’s signaling of normalization and rate hikes, Philippine peso has depreciated almost in parallel.

 

Forces behind peso movements

A series of well-known forces have fueled recent peso depreciation. In the fall, inflation reached an intolerable high of 6.7%. It was boosted by a price effect associated with tax reforms (TRAIN), rising oil prices and a failure to manage rice prices. Accordingly, Philippine peso depreciated until early October.

Yet, the pressures that have been associated with overheating are likely to weaken in 2019 as the TRAIN-related price pressures should ease in the coming months.

Also, the slowing international economy has penalized oil. Crude oil exceeded $75 in early October but is now around $55 (a U.S.-Sino trade compromise could contribute to rising prices again, however).

In the past, the quota system failed to keep rice price in control; the new import tariff system should stabilize it.

Moreover, high loan growth has made some observers uneasy. While it is associated with the infrastructure drive, it has to be monitored.

Most importantly perhaps, some observers feel uncomfortable with current account deficit (CAD). Yet, the widening CAD is the effect of the infrastructure drive. It has been expanding as a result of imports, which support infrastructure development.

Furthermore, the slowdown of electronic exports, which account for more than half of Philippine exports, is hardly a domestic challenge. U.S. trade wars have undermined the recovery of world trade. However, there are some possible new shifts in the international horizon.

Last year, the tighter dollar, boosted by the Fed’s rate hikes, went hand in hand with tighter financial conditions. That is no longer the case. Also, last year Trump’s tax cuts gave a one-time high for the U.S. economy. But now U.S. growth may have peaked.

Accordingly, the prospects of slower growth and lower inflation may have made the Fed less hawkish.

 

Risky international environment, budget passage

Nevertheless, the international environment, including U.S. trade wars, poses more threats than ever since the postwar era.

If the U.S.-Sino trade truce paves way to a compromise by March 1, world demand may improve. But if the tensions spread as they did last year; world demand is likely to further deteriorate. And even if trade compromise can be found, tensions are likely to linger in the technology sector.

Moreover, the White House may target the ASEAN in its trade wars, as it has suggested since mid-2018.

In 2018, the Philippines expansion amounted to 6.2%. Although inflation did penalize the government’s downwardly-revised goal of 6.5 to 6.9%, the country is one of the fastest growing economies in Asia and relatively well-positioned to absorb shocks. Moreover, the Bangko Sentral ng Filipinas

(BSP) hiked policy rates several times in 2018, which makes further tightening less likely in 2019.

Yet, the status quo permits no complacency. The inflation-induced reduction of the country’s economic growth in the fourth quarter of 2018, which penalized the annual figure, should serve as a warning sign for a belated 2019 budget passage.

Even if a re-enacted budget were to be passed now, the infrastructure programs that are of critical national importance cannot proceed until after the mid-year. That, in turn, has potential to harm the current year’s economic growth, once again. Time is money. Consequently, a rapid 2019 budget passage is vital.

The Duterte fiscal expansion has potential to continue well into the early 2020s, which bodes well for economic growth – as long as political impasse does not penalize economic progress.

The original commentary was released by The Manila Times on January 28, 2018.

About the Author

Dr. Dan Steinbock is the founder of Difference Group and has served at the India, China and America Institute (US), Shanghai Institute for International Studies (China) and the EU Center (Singapore). For more, see http://www.differencegroup.net/

Understanding Overdraft Protection and Other Banking Fees

Page of paper with words Overdraft and glasses.

Anyone with a bank account has most likely heard of overdraft protection — and most of these people have dealt with it as well. Overdraft protection can come in handy at times, like when you have to pay for something as soon as possible but you lack the necessary funds in your account. However, it’s not all sunshine and roses because nothing comes without pitfalls.

What Is Overdraft Protection?

Overdraft protection funds a bank account that has been overdrawn. In other words, it is a protection against having your transaction declined. Although there are usually hefty fees to pay whenever the account is overdrawn, you can at least rest assured that your check will go through in case of a big withdrawal.

How Does It Work?

When it comes to overdraft protection, there are three types, all of which transfer money to your overdrawn checking account but have different fees:

1. Overdraft Protection Line of Credit

How much you overdraw is subject to a variable interest and a fee.

If you overdraw from your bank account, the line of credit sends some funds to cover the amount that was overdrawn while the fees are charged too. How much you overdraw is subject to a variable interest and a fee.

2. Link Your Checking Account to a Money Market Account, Secondary Checking, Eligible Savings, or Line of Credit Like a Credit Card

If you find yourself in the situation where your account is overdrawn, there will be cash transferred from the account you linked. There may also be an overdraft protection fee, but it’s usually smaller.

3. Opting in for Overdraft Coverage for One-Time Debit Card and ATM Transactions

If you decide to opt for this version, you allow the bank to pay the overdrafts from one-time debit card and ATM transactions. However, the downfall is that banks usually charge very high fees for this service.

How Much Does It Cost?

As you can expect, this service isn’t offered for free. Usually fees are charged in order to prevent people from abusing the service, but it’s also a way to provide the bank with some revenue.

Not all overdraft protection charges are the same, but most big banks get away with massive charges. For example, Bank of America banking fees can really burn a hole in your wallet.

Usually fees are charged in order to prevent people from abusing the service, but it’s also a way to provide the bank with some revenue.

Interest costs may be included as well, and depending on the plan for your overdraft protection, the amount of cash of the plan might be considered a loan. If this is the case, you should be aware that the bank will charge interest until you pay it off. At the same time, it’s a much cheaper option than paying the flat fee for each overdraft.

Furthermore, if the overdraft protection it used too often, the bank might use it as a strike against you and drive down your credit score. It depends on the overdraft protection you use, but make sure to only use it for absolute emergencies.

Overdraft protection can be really helpful in certain situations. At the same time, it has pitfalls, so it’s better to be aware of them before you sign up for this popular banking feature!

 

BVI FINANCE: Your partner of choice for crossborder trade, investment and business

An exclusive interview with Mrs. Lorna Smith, OBE, Interim Executive Director at BVI Finance

 

Recognised as the top offshore jurisdiction in the world, for the eighth consecutive year based on the 2018 edition of the Vistra 2020 Report, the British Virgin Islands (BVI) continue to prove its competitiveness in helping companies, institutions and individuals to safely and efficiently carry out their business and make investments across international borders. Recently, we had the pleasure of speaking with Mrs. Lorna Smith, OBE, Interim Executive Director at BVI Finance, a premier offshore financial centre catering to companies that wish to establish or expand their business in BVI. We talked about the Territory’s highly-regarded business landscape as well as BVI Finance’s role in helping companies succeed across multiple markets even at a time of economic uncertainty.

 

Good day, Mrs. Smith! Thank you so much for taking the time to talk to us today. To start, we would like to know what’s the average day in the life of a senior C-level executive like you?

Pleasure! It’s difficult to say as I work seven days a week – except for the odd vacation or day sail, or something fun with family and friends. But I would say my average day is 14 hours. Of course, during the hurricanes and other near catastrophic events like the “Panama Papers”, sleep was a precious commodity – during those difficult times it was as little as three to four hours per day.

 

How did your decades of experience at the highest levels of the public service in the British Virgin Islands (BVI) help you transition into your current post as Interim Executive Director of BVI Finance?

I had the good fortune during my thirty-plus years of public service of always working on the international scene. My Masters in International Relations from Fletcher School of Law and Diplomacy also prepared me.

I was Chief Advisor to the Minister during the negotiations for the BVI to become associated with regional and international bodies such as the Organization of Eastern Caribbean States (OECS), the Caribbean Community (CARICOM) and the UN. The Premier’s Office (then called Chief Minister’s Office) was responsible for all international relations, so as far back as the late 90’s when “Harmful Tax” reared its head, I was a part of the team that put the Organisation for Economic Co-operation and Development (OECD) on the back foot so to speak with the seminal work, Towards A Level Playing Field, prepared at our request by the law firm Stikeman Elliott. Be that as it may, I am pleased that today BVI has an excellent relationship with the OECD Global Forum – in fact serving as a member of the steering group. So, I developed that international business experience from then.

I was also the first Head of BVI International Finance Centre (now BVI Finance), developing the direct relationships with the island’s financial industry. I also led the tax treaty negotiations with most of the 28 countries as head of the International Finance Centre. Then, two and a half years ago I was running my own business – LGS and Associates – and BVI Finance had found itself in a bit of crisis, I answered the call to take charge once again as Interim Executive Director for six months, which has now turned into two and a half years at the helm.

 

BVI is recognised as the world’s leading jurisdiction for company incorporations as reflected in your latest quarterly results showing an annual increase of 20% in new company incorporations. What is it that enables the BVI to attract such a significant proportion of foreign direct investment on an international level?

The BVI provides companies, institutions and individuals with the legal structures to safely and efficiently carry out their business and make investments across international borders.

The BVI’s popularity is a reflection of a growing preference for tried-and-tested service at a time of economic uncertainty. This was proved this year by our ranking as the top offshore jurisdiction in the world, for the eighth consecutive year, in the 2018 edition of the Vistra 2020 Report.

The BVI provides companies, institutions and individuals with the legal structures to safely and efficiently carry out their business and make investments across international borders. We offer legal and commercial certainty, cost effectiveness and flexibility, backed by a highly qualified, well respected and experienced private sector offering first class expertise.

This, combined with our continued compliance with global standards and tax neutrality, makes the BVI one of the most popular jurisdictions for cross-border trade and investment and sets us apart from our competitors.

 

BVI is highly-regarded by investors because of its “political stability, efficient and reliable legal system and experienced industry practitioners on the ground”. What else sets the territory apart from other international financial centres and why?

The strength of the BVI’s relationship with businesses in Asia is a key differentiator and advantage for the jurisdiction. Often seen as the partner of choice for international business and investment in Asia, the BVI plays a key role in the facilitation of international investment and, given the speed of development in the region, there is considerable scope for the BVI to further build on this relationship moving forward.

Chinese companies in particular are responsible for more than 40% of funds mediated through the BVI. The Belt and Road Initiative is a prime example of a key global programme being supported by the BVI through the strength of our international capabilities and trusted reputation.

Also, with Latin America being our closest neighbour, we pride ourselves on our relationship with the region. Over US$114 billion of outward investment stock is mediated through the BVI in the LatAm region. We intend to build on our relationship further with Latin America in 2019.

 

What are the key growth sectors in the Territory?

The Territory’s economy is based on the twin pillars of tourism and financial services – the former normally employs one in four people on-island. Although our hotels were severely impacted by the hurricanes, our shoreline businesses and activities were up and running in a matter of months and continues to contribute significantly to our economy – the BVI has always been and continues to be the yachting capital of the world. Also, with the recent signing of a Memorandum of Understanding (MOU) between the BVI and Airbnb, we are able to collaborate more with the company to give visitors more accommodation options in the Territory.

The BVI’s popularity is a reflection of a growing preference for tried-and-tested service at a time of economic uncertainty. This was proved this year by our ranking as the top offshore jurisdiction in the world, for the eighth consecutive year, in the 2018 edition of the Vistra 2020 Report.

In addition to our ongoing work with the Asian and Latin American business community, a key focus for the BVI going forward is the fast-growing, emerging economies of Africa. With six of the ten fastest growing economies in the world located on the African continent, the region is attracting investor interest at a global level. BVI companies have already engaged in direct investment relationships with numerous African countries, including Nigeria, Mozambique, Kenya, Tanzania, Zambia and Botswana. But we believe there is significant opportunity to work more closely with the international business and finance community to facilitate and encourage growth across Africa. Similar to our yearly Asia trade mission trips, the BVI will be visiting several key regions in Africa in 2019 as we look to strengthen ties with businesses in the region.

 

How does the BVI address the ever-changing demands and behaviours of international businesses and ensure that it continues to meet their needs to the highest standard?

The BVI has demonstrated its ongoing dedication to developing new and innovative financial services products to aid international businesses at all levels. We are committed to ensuring that our business legislation is modern and fits market needs, reflecting the real commercial landscape in which companies operate.

For example, over the last year the BVI has worked on our Micro Business Company Act (MBC) which allows small businesses to operate and structure themselves akin to larger businesses operating on an international level. The MBC is designed to be transparent, affordable and easy to use, and will automate both simple and complex multi-party business transactions for small businesses.

We also launched our innovative new Limited Partnership Act (LPA) earlier in the year which provides all the typical benefits of limiting liability, as well as a number of unique features to the benefit of investment funds, private equity funds and joint venture structures.

 

Q: What initiatives are the BVI focussing on at the moment with regard to continuing to foster a business-friendly environment and what should your present and future business partners look forward to in this respect?

Locally we are ensuring that we become a more “business friendly” and welcoming jurisdiction by working directly with leaders in the departments of Immigration and Labour.

In a time of political and economic uncertainty across multiple markets, the BVI is currently focussed on promoting our role within the global economy. Specifically, we are looking at how the BVI can support UK businesses in a post-Brexit world by leveraging our international relationships with key strategic partners in Asia and Africa. More widely, we are also looking for our own opportunities in new markets to further strengthen our global economic position.

Locally we are ensuring that we become a more “business friendly” and welcoming jurisdiction by working directly with leaders in the departments of Immigration and Labour. This initiative is ongoing, and we are already beginning to experience greater ease of doing business in the Territory.

As a respected centre for business and financial services adhering to the highest global standards, we are dedicated to serving the needs of our own people, as well as the international community, and our existing and future business partners can look forward to receiving more of the same going into 2019.

 

What’s the most significant impact your services have to companies across industries? Can you provide an overview of some of the most remarkable achievements you have accomplished?

According to a recent report by Capital Economics, an independent economics consultancy, the BVI mediates over US$1.5 trillion of investment globally and contributes over US$15 billion in tax annually to governments around the world.

As a leading facilitator of cross-border trade, investment and business, the BVI, alongside other International Finance Centres (IFC), is at the heart of the globalisation success story.

We are committed to ensuring that our business legislation is modern and fits market needs, reflecting the real commercial landscape in which companies operate.

Thanks to our unique hub of specialist financial, legal and accounting firms we have enabled numerous emerging markets nations, including Africa, Latin America and Asia, to attract increased international investment which, in turn, has led to infrastructure development and economic improvement in these regions.

According to a recent report by Capital Economics, an independent economics consultancy, the BVI mediates over US$1.5 trillion of investment globally and contributes over US$15 billion in tax annually to governments around the world. What’s more, the investment and trade facilitated by the jurisdiction supports more than two million jobs worldwide demonstrating the tangible benefits the BVI brings to the lives of employees, voters, families and businesspeople around the world.

In terms of the latter part of your question, we are pleased to point you to another recent study by a leading international Institution, where BVI structures were shown to be used in infrastructure projects that support economic growth in countries that have high levels of poverty.

For example, the International Finance Corporation made investments through loans from a company domiciled here in the BVI into Pakistan, choosing to do so as our structures provide better protection in relation to creditor rights than those available to onshore investment vehicles in that part of the world. This particular infrastructure investment created 4,000 jobs in 45 cities across Pakistan. That’s just one of many examples of how BVI vehicles facilitate economic growth across the world.

 

Are there any areas that the BVI could strengthen in order to continue to position the region as an attractive place to do business?

 BVI remains committed to working closely and in partnership with the UK and a number of other international bodies to tackle problems of tax evasion and illegal use of the global financial system.

There have been a number of political and regulatory developments over the last year which have posed a threat to the BVI’s business model, including the passage of the Sanctions and Anti-Money Laundering (SAML) Act by the UK government, and the upcoming publication of the EU’s list of non-cooperative jurisdictions for tax purposes.

Nonetheless, despite the challenges these political and regulatory developments may create moving forward, we remain committed to working closely and in partnership with the UK and a number of other international bodies to tackle problems of tax evasion and illegal use of the global financial system. We are an active participant in a number of international initiatives, often exceeding global standards, and operate within a stringent regulatory framework and respected legal system.

 

Is there a key message that you want to get across to businesses that are wondering about the status quo of BVI’s investment opportunities and business environment in today’s environment of political and economic uncertainty and volatility?

In today’s environment of political and economic uncertainty, the BVI provides a tried-and-tested service for international businesses looking for secure and reliable investment channels.

The BVI’s attributes – a legal system based on English common law, internationally compliant regulations and tax neutrality – make it absolutely crucial in making global business happen and will continue to position us as an integral part of the international business and finance community in the coming year.

 

On a lighter note, leaders atop a company naturally have a lot on their plate. What are your favourite routines to keep yourself focussed and healthy at and off work?

Exercise is critical to my well-being and to keeping my energy high, so a three-mile jog three days a week supported by a hike in the hills when I can is a must. Additionally, a daily smoothie of kale and green apples goes a long way. Friday evenings are sacrosanct for a couple of glasses of wine with friends at a favourite bar as all work and no play makes Jill a dull girl.

 

One of the global advocacies we have nowadays is to empower women for leadership roles across all industries. As a female leader yourself, what do you think makes female-led leadership significant?

I have always been a believer in the best person for the job – male or female. I accept that women have to work harder to get noticed but that makes us more resilient in the workplace.

 

What are the three things you will not leave home without?

My phone, my iPad and my smoothie.

 

Thank you very much, Mrs. Smith. It was a real pleasure speaking with you.

About the Interviewee

Lorna Smith is currently the Interim Executive Director of BVI Finance, having previously held the position between 2002 and 2004, and 2005 and 2013. Mrs Smith is responsible for establishing and maintaining sound relationships with the industry and engaging collaborations when appropriate on marketing and promotional strategies for the British Virgin Islands. Other responsibilities include the organisation of promotional tours in key markets, including the US, Hong Kong, Europe, Latin America and other emerging markets to promote the industry’s key messages to potential clients and international investors.

Mrs Smith has more than 30 years of experience at the highest levels of public service in the BVI. Over the course of her senior-level service, she has developed extensive relationships with leaders from the business community, international non-governmental organisations and government leaders from around the world.

She previously served as the founding director of the BVI London Office and BVI House Asia. Currently, amongst other areas, she serves as the Chairman of the Financial Services Business Development Committee, which provides government with strategic advice on Financial Services policies.

She was honoured with an Order of the British Empire (OBE) for her ‘outstanding public services’ to the Government of the British Virgin Islands in 2011.

Venezuela – An Appeal to Russia, China and all Unaligned Countries for Support of Sovereign Venezuela

By Peter Koenig

On 23 January 2018, the United States has initiated a coup against President Nicolás Maduro and his Government, by encouraging and fully supporting the “self-proclaimed” opposition leader, Juan Guaido, as interim President. Already days ago he had received the full support of President Trump, and today, in a special televised speech, US Vice-president Mike Pence declared that Venezuela’s Freedom begins with the new interim president, Juan Guaído https://www.foxbusiness.com/politics/venezuela-established-its-freedom-with-new-interim-president-juan-guaido-vice-president-mike-pence.

RT reports that “the Venezuelan military will not accept a president imposed by ‘dark interests’, Defense Minister Vladimir Padrino said after Washington and a number of its allies recognized a lawmaker [Juan Guaído] as the new leader in Caracas.”

“The army will continue to defend the constitution and national sovereignty, Padrino said on Wednesday afternoon, hours after opposition lawmaker Juan Guaido was proclaimed interim president by the National Assembly, in a direct challenge to President Nicolas Maduro.”

Washington’s immediate recognition of Guaido as Venezuelan’s legitimate leader, was instantly followed by the Organization of American States (OAS), as well as Canada and France. Mexico apparently has declines to do so “for now”. Is the “for now” an indication that Lopez Obrador’s actions are already being controlled by Washington?

 

This is an appeal to Russia and China and to all unaligned nations that love their freedom and sovereignty – to stand up in defense of Venezuela’s freedom and sovereignty.

May they use their diplomatic leverage, and if that does not work on Washington’s ‘savages’ – use other means that the empire understands. Keeping Venezuela free from the yoke of the US and its vassal allies – is essential for all the people in Latin America who have already been subjected to US implanted subjugating and abusing dictators, who not only have ruined their countries’ economies, but created extreme poverty where there was prosperity before, i.e. Argentina, Brazil, Ecuador, Peru, Colombia, Paraguay, Uruguay – and Chile, which is well on her way to an economic and social demise.

Venezuela must stay and remain tall.

President Putin and Jinping – please do whatever you can and whatever you must, to stop the US bulldozer from overtaking Venezuela!

Ongoing unrest in the streets of Caracas and major Venezuelan cities, all inspired and fueled on by the United States, and also the OAS (Organization of American States), the Club of Lima (except for Mexico), its European puppet allies, is confusing and dividing the people and has already killed at least 16. It is not clear who is responsible for the killing, but undoubtedly opposition forces funded by outside sources and / or the Fifth Column (inside Venezuela) have a bloody hand in the Venezuelan violence. A western instigated civil war is a real risk.

This coup attempt is an abject illegal interference in another country’s sovereignty, with the ultimate violent and vicious goal that Washington has been practicing over the past 100 years around the globe – and ever with more impunity – of “regime change” to steel a non-conform, non-submissive government’s resources, and of course, to reach eventually the ultimate goal of full spectrum world dominance. Venezuela has by far the world’s largest known hydrocarbon (petrol and gas) reserves which is two days of shipping time away from Texas oil refineries, versus the Arabian Gulf from where today the US imports 60% of its petrol – a shipping time of 40-45 days, higher shipping costs, plus the risk of having to sail through the Iran-controlled Gulf of Hormuz.

In addition, Washington cannot tolerate any socialist country, let alone, one that is located in what Washington considers its backyard, like Venezuela, or, for that matter Cuba, Nicaragua and Bolivia. The other left-leaning South American country, Ecuador, has recently been “converted” with an internal “soft” coup, aka fake or manipulated elections. Those are usually operated through strong Fifth Columns funded from abroad – and with substantial menaces, including death threats.

The other left-leaning South American country, Ecuador, has recently been “converted” with an internal “soft” coup, aka fake or manipulated elections.

So, Washington is dead set, especially with Trump and Pompeo at the apparent helm, who openly propagate a US (and allied, including NATO) invasion of Venezuela to “free” their “oppressed” people; to bring them from one of the only true democracies in the world (quote by Chomsky and the international election supervising US Carter Institute, among others) under the usurping dictatorship protection of the United States of America. Venezuelans will not tolerate such a farce. The 6 million Venezuelans who stood solidly behind Nicolas Maduro when they voted for him in May 2018, have already stood up – and will continue defending their freely and democratically elected President, despite the western media’s fake images of “tens of thousands” in the streets of Caracas demonstrating against legitimate President Maduro and for the self-proclaimed “interim president”, Juan Guaído.

He is, in fact, a criminal who acts totally against Venezuela’s Constitution on which he swore his allegiance to the country when he took up a seat in the Venezuelan parliament. It is clear that this “mass-movement”, as depicted by western media, was organized from outside, possibly paid for by US sponsored “NGOs” – and Venezuelan “insiders”, covert or openly from the opposition, trained by the CIA and other infiltrated US secret service groups. Clearly the Fifth Column is and was at work in Venezuela for years, bringing about the downfall of the economy by monetary and oil price manipulation from outside and from within; and by diverting food and medicine shipments from being delivered to supermarkets and instead being transferred as contraband into Colombia, where they are sold at dollar-manipulated inflated local currencies.

This coup attempt reminds so much of another US State Department instigated but failed overthrow in April 2002 against President Hugo Chavez. The coup was botched by the Venezuelan military and the people of Venezuela. President Chavez was reinstated within 2 days. And the present coup so far has also failed.

Clearly the Fifth Column is and was at work in Venezuela for years, bringing about the downfall of the economy by monetary and oil price manipulation from outside and from within.

President Maduro’s decision to break diplomatic relations with the US is therefore, not only logical, but totally legal. He has given all US diplomats 72 hours to leave the country. Now comes the other ‘coup’ – the US refuses to accept the legal expulsion of their diplomats from Caracas, because the self-proclaimed and US recognized “interim president” has called for all diplomats, first of all those from Washington, to stay in the country. Pompeo is threating Venezuela for any harm that may happen to US citizens, including diplomats during this upraising and what they consider “change of government”.

Here is Pompeo’s statement with regard to diplomatic relations with Venezuela.

Stay tuned to how this crisis will unfold.

May Venezuela’s friends and allies put all their might, diplomatic and other, at the support of Venezuela’s freedom and sovereignty.

About the Author

Peter Koenig is an economist and geopolitical analyst. He is also a water resources and environmental specialist. He worked for over 30 years with the World Bank and the World Health Organization around the world in the fields of environment and water. He lectures at universities in the US, Europe and South America. He writes regularly for Global Research; ICH; RT; Sputnik; PressTV; The 21st Century; TeleSUR; The Vineyard of The Saker Blog, the New Eastern Outlook (NEO); and other internet sites. He is the author of Implosion – An Economic Thriller about War, Environmental Destruction and Corporate Greed – fiction based on facts and on 30 years of World Bank experience around the globe. He is also a co-author of The World Order and Revolution! – Essays from the Resistance.

Featured image courtesy of: EURACTIV

From ASEAN Economic Development to Militarization

By Dan Steinbock              

In Africa, the Trump administration is setting a precedent by replacing economic development with militarization. In Asia, it seeks to couple “rebalancing” in trade with a rearmament drive.

In a recent editorial, The Manila Times expressed concern that relatively benign economic conditions may lead to a false sense of security as “the United States-China trade war may be starting to inflict collateral damage on the economy.”

In the short-term, it is a valid concern for the Philippines and other ASEAN economies that currently benefit relatively benign economic conditions.

But even if the worst excesses of the trade war could be deterred, there are darker clouds in the longer-term horizon. The Trump administration’s new trade protectionism is accompanied by increasingly military stance. The new US Africa strategy heralds changes in other regions as well, particularly Asia.

 

Setting a precedent in Africa

In 2017, the United States had a $39.0 billion in total goods trade with Sub-Saharan African countries and a trade deficit of $10.8 billion. US investment in Africa grew in the Bush years. But in the Obama 2010s, it collapsed.

In the past, US Africa strategy focused mainly on economic cooperation and aid, and secondarily on military cooperation. In the new strategy, the focus is reversed. It downplays economic efforts to boost African prosperity. Second, it sees Africa mainly as a base of Islamic terrorism, which must be defused in the continent. Third, it will no longer support UN peacekeeping missions.

China’s Africa investment significantly exceeds that of the US. And China is a large source of aid and the largest source of construction financing, which supports Africa’s ambitious infrastructure development.

Meanwhile, China’s economic engagement with Africa has soared. In 2016, the value of China-Africa trade was $128 billion, almost three times more than US trade with the continent. Also, China’s Africa investment significantly exceeds that of the US. And China is a large source of aid and the largest source of construction financing, which supports Africa’s ambitious infrastructure development.

Perhaps that’s why US Africa strategy misrepresents China’s One Road and Belt (OBOR) initiative as a plan of “Chinese global dominance.” Since economic facts do not support the White House’s narrative, it relies on ideological trashing.

Unfortunately, similar developments loom ahead in Southeast Asia – a region that is far more important economically and strategically.

 

ASEAN economic development or trade wars

In the past decade or so, US economic engagement in ASEAN has fallen, while that of China has soared. According to US Trade Representative, US trade with ASEAN amounted to $234 billion in 2016; that’s six times more than with Africa. Yet, China trades with ASEAN soared to $515 billion in 2017.

Indeed, China trades with ASEAN (20%) almost as much as ASEAN economies trade with each other (22%). It is the same story with foreign direct investment (FDI). In 2017, China and Hong Kong accounted for some 15% of all FDI to ASEAN. US figure has plunged to less than 5% (Figure).Some observers argue that the US trade war will hurt China but may benefit ASEAN, thanks to redirected trade and investment. That’s a short-sighted view. While some ASEAN countries may benefit in some sectors for some time, continued US-Sino tensions would overshadow the entire region for years to come.

Moreover, US trade with ASEAN is now subject to the ‘America First’ stance. As the Trump administration puts it, “we need ASEAN to do more for us.” The White House seeks “rebalancing” in ASEAN trade ties. It wants to negotiate deals bilaterally with each ASEAN economy – to maximize its leverage.

The US has a combined trade deficit of $92 billion with ASEAN countries; that is higher than its deficit with Mexico ($71bn), Japan ($69bn) or Germany ($65bn) – all of which have already been hit by the Trump administration’s new protectionism.

The US has a combined trade deficit of $92 billion with ASEAN countries; that is higher than its deficit with Mexico ($71bn), Japan ($69bn) or Germany ($65bn) – all of which have already been hit by the Trump administration’s new protectionism.

In ASEAN, the first targets will be those countries with which US has major trade deficit; i.e., Vietnam ($34 billion), Malaysia ($24 billion), Thailand ($20 billion) and Indonesia ($13 billion), followed by the Philippines and Cambodia. Some will seek exemptions, but they require strategic favors that may prove even costlier over time.

 

The drive to militarize ASEAN

U.S. overall stance toward the ASEAN is changing. Ever since Obama’s security pivot to Asia, Pentagon has been aiming to move 60% it’s warships into the region. The White House has revised its stance accordingly. In the new 2017 National Security Strategy, China is portrayed as America’s “adversary” rather than a partner.

An enemy – real or perceived – is vital for arms sales.

In 2017, military expenditure in Africa was $43 billion (SIPRI). In Asia and Oceania, it amounted to $477 billion, which is almost 11 times more. Southeast Asia alone spends on arms almost as much as Africa.

Pentagon already dominates sales to Australia, Japan, South Korea and Taiwan. Among the greatest arms importers in Southeast Asia, Indonesia buys a third of its military imports from the UK and US; Singapore more than two thirds from the US.

Pentagon wants more deals with Vietnam (which favors Russia), Thailand (which relies on Ukraine and China), and Myanmar (which prefers China and Russia). Outside ASEAN, US wants to sell more to India (which relies mainly on Russia).

An enemy – real or perceived – is vital for arms sales.

As US economic engagement has fallen in the region, rearmament would offset the losses – but that can only happen at the expense of ASEAN’s economic future.

 

The way out

Ultimately, the White House’s changing stances toward Africa and Asia stem from the neoconservative Wolfowitz Doctrine, which in the early ‘90s deemed that the US goal must be “to prevent the re-emergence of a new rival, either on the territory of the former Soviet Union or elsewhere that poses a threat.”

Destabilization and rearmament are the best way to undermine the quest for Asian Century. Catch-up growth and rising prosperity are not viable without peace and stability.

That’s why, like US Africa strategy; American ASEAN strategy is likely to seek to militarize Asia Pacific, which has potential to divide the region. In both regions, the White House seeks to drive rearmament, mainly at the expense of economic development that China promotes. And in both regions, the White House shuns peace-keeping activities in which China is the world’s leading actor today.

Yet, what ASEAN needs is economic development. Destabilization and rearmament are the best way to undermine the quest for Asian Century. Catch-up growth and rising prosperity are not viable without peace and stability.

ASEAN does not need to choose between the US and China. Good diplomacy will choose both. Dishonest diplomacy will choose only one and trash the other.

Featured image courtesy of: U.S. Pacific Command / Flickr

About the Author

dan-steinbock-webDr. Dan Steinbock is the founder of Difference Group and has served at the India, China and America Institute (US), Shanghai Institute for International Studies (China) and the EU Center (Singapore). For more, see http://www.differencegroup.net/

Europe on the Brink of Collapse?

flags of the USA and the European Union painted on a cracked wall symbolizing the difficult diplomatic relations between the European Union and the USA

By Peter Koenig

The Empire’s European castle of vassals is crumbling. Right in front of our eyes. But Nobody seems to see it. The European Union (EU), the conglomerate of vassals – Trump calls them irrelevant, and he doesn’t care what they think about him, they deserve to be collapsing. They, the ‘vassalic’ EU, a group of 28 countries, some 500 million people, with a combined economy of a projected 19 trillion US-dollar equivalent, about the same as the US, have submitted themselves to the dictate of Washington in just about every important aspect of life.

The EU has accepted on orders by Washington to sanction Russia, Venezuela, Iran – and a myriad of countries that have never done any harm to any of the 28 EU member states. The EU has accepted the humiliation of military impositions by NATO – threating Russia and China with ever more and ever more advancing military basis towards Moscow and Beijing, to the point that Brussels’ foreign policy is basically led by NATO.

It was clear from the very get-go that the US sanctions regime imposed on Russia and all the countries refusing to submit to the whims and rules of Washington, directly and via the EU, was hurting the EU economically far more than Russia. This is specifically true for some of the southern European countries, whose economy depended more on trading with Russia and Eurasia than it did for other EU countries.

The ‘sanctions’ disaster really hit the fan, when Trump unilaterally decided to abrogate the “Nuclear Deal” with Iran and reimpose heavy sanctions on Iran and on “everybody who would do business with Iran”. European hydrocarbon giants started losing business. That’s when Brussels, led by Germany started mumbling that they would not follow the US and – even – that they would back European corporations, mainly hydrocarbon giants, sticking to their contractual arrangements they had with Iran.

 

Too late. European business had lost all confidence in Brussels EU Administration’s feeble and generally untrustworthy words. Many breached their longstanding and, after the Nuclear Deal, renewed contracts with Iran, out of fear of punishment by Washington and lack of trust in Brussel’s protection. Case in point is the French-British petrol giant, Total, which shifted its supply source from Iran to Russia – no, not to the US, as was of course, Washington’s intent. The damage is done. The vassals are committing slow suicide.

The people have had it. More than half of the European population wants to get out of the fangs from Brussels. But nobody asks them, nor listens to them – and that in the so-called heartland of ‘democracy’ (sic). That’s why people are now up in arms and protesting everywhere – in one way or another in Germany, France, the UK, Belgium, the Netherlands, Italy, Hungary, Poland – the list is almost endless. And it can be called generically the ‘Yellow Vests”, after the new French revolution.

Washington wants Europe to buy US shale gas and oil, and especially keeping Europe economically and financially in the US orbit, avoiding in any way a detachment from Washington and preventing the obvious and logical – an alliance with Russia.

The latest in a series of the US attacking Germany and German business – and German integrity, for that matter – are the US Ambassador’s, Richard Grenell, recent threats to German corporations with sanctions if they work on Nord Stream 2, the 1,200 km pipeline bringing Russian gas to Europe, to be completed by the end of 2019. It will virtually double the capacity of Russian gas supply to Europe. Instead, Washington wants Europe to buy US shale gas and oil, and especially keeping Europe economically and financially in the US orbit, avoiding in any way a detachment from Washington and preventing the obvious and logical – an alliance with Russia. This attempt will fail bitterly, as various German Ministers, including Foreign Minister Heiko Maas, have loudly and with determination protested against such US hegemonic advances. Well, friends, you have bent over backwards to please your Washington Masters for too long. It’s high time to step out of this lock-step of obedience.

In France, this past weekend of 12 / 13 January, the Yellow Vests went into round 9 of protests against dictator Macron, his austerity program and – not least – his abject arrogance vis-à- vis the working class. A recent public statement of Macron’s is testimony of this below-the-belt arrogance: «Trop de français n’ont pas le sens de l’effort, ce qui explique en partie les ’troubles’ que connait le pays» – Translated: “Too many French don’t know the meaning of ‘effort’ which explains at least partially the trouble this country is in.”

The Yellow Vests and a majority of the French population want nothing less than Macron’s resignation. Protesters are consistently and largely under-reported by Christophe Castaner, the French Interior Minister. This past weekend the official figure was 50,000 demonstrators, countrywide, when in reality the figure was at least three times higher. The official French version would like the public at large, inside and outside of France, to believe that the Yellow Vest’s movement is diminishing. It is not. To the contrary, they are demonstrating all over France, and that despite the Macron regime’s increasing violent repression.

RT reports, on Macron’s orders the police are becoming more violent, using military suppression to control protesting French civilians. Thousands have been arrested, and hundreds injured by police brutality. Nevertheless, the movement is gaining massive public support and the ‘Yellow Vests” idea is spreading throughout Europe. This spread is, of course, hardly reported by the mainstream media.

In fact, 80% of the French back the Yellow Vests and their idea of a Citizen Initiated Referendum (RIC for “Référendum d’initiative citoyenne”), under which citizens could propose their own laws that would then be voted on by the general public. The RIC could effectively bypass the French Parliament, and would be enshrined in the French Constitution. A similar law exists since 1848 in Switzerland and is regularly applied by Swiss citizens. It is a way of Direct Democracy that any country calling itself a “democracy” should incorporate in its Constitution.

The UK is in shambles. Thousands are taking to the streets of London, organized by the People’s Assembly Against Austerity”, calling for general elections to replace the failing Tory Government. They are joined by the French Gilets Jaunes (Yellow Vests), out of solidarity. Many of the UK protesters are also wearing high-visibility yellow vests.

Propaganda and counter-propaganda is destined to further confuse the people and confused people usually want to stick to the ‘status quo’.

This is in direct correlation with the ever-growing louder debacle over BREXIT – yes, or no and how. At this point nobody knows what Britain’s future is going to be. Propaganda and counter-propaganda is destined to further confuse the people and confused people usually want to stick to the ‘status quo’. There is even a movement of pro “remain” propaganda, organized by some members of the European Parliament. Imagine! – Talking about sovereignty, if Brussels cannot even leave the Brits alone decide whether they want to continue under their dictate or not.

Hélas, the Brits are largely divided, but also past the stage of being swayed by foreign propaganda, especially in this delicate question of leaving the EU – which a majority of Brits clearly decided in June 2016. Prime Minister, Theresa May, has screwed-up the BREXIT process royally, to the point where many Brits feel that what she negotiated is worse than “no deal”. This has likely happened in close connivance with the unelected EU ‘leadership’ which does not want the UK to leave and under strict orders from Washington which needs the UK in its crucial role as a US mole in the European Union.

On 15 January 2019, the UK Parliament will vote on whether they accept the negotiated BREXIT conditions, or whether they prefer a ‘no deal’ BREXIT, or will request an extension for further negotiations under Article 50 of the “Treaty of Lisbon” (which was imposed by the heads of state of the 28 members, without any public vote, and is a false stand-in for a EU Constitution). Other options include a general election – and let the new leadership decide; or a second referendum which after two years is legally possible. The latter would likely cause severe public unrest, followed by atrocious police oppression – as already often witnessed in the UK – in which case, let’s just hope civil war can be avoided.

For weeks, the Yellow Vest movement has spread to Belgium and The Netherlands. For similar reasons – public discontent over austerity, EU dictatorship over Belgian and Dutch sovereignty. Last Friday, one of the Belgian Yellow Vests was overrun by a truck and killed. Authorities reported it as an accident.

Reality is completely different, as about two thirds of the Greek population are still hovering around or below the survival level.

Greece – The MS-media report all is ‘donkey-dory’, Greece is recovering, has for the first time in many years a positive growth rate and is able to refinance herself on the open capital market. Greece is no longer dependent on the irate and infamous troika (European Central Bank – ECB, European Commission and IMF). Reality is completely different, as about two thirds of the Greek population are still hovering around or below the survival level – no access to public health care, affordable medication, public schools – umpteen times reduced pensions, most public assets and services privatized for a pittance. Nothing has fundamentally changed in the last years, at least not for the better and for the majority of the people. The troika has allowed the Greek to go to the private capital markets – to boost falsely their, the Greek’s, image among the international public at large, basically telling the brainwashed populace, “It worked, we, the troika, did a good job”.

Nothing worked. People are unhappy; more than unhappy, they are indignant. They demonstrated against Angela Merkel’s recent visit to Athens, and their protests were violently oppressed by police forces. What do you expect – this is what has become of Europe, a highly repressive state of spineless vassals.

On Wednesday, 16 January, the Greek Parliament may hold a Vote of Confidence against or for Prime Minister Alexis Tsipras. The official and make-believe reason is supposedly the controversy over the name of Macedonia, which in fact has long been settled. The real reason is the public’s discontent about the continuous and increasing blood-letting by never-ending austerity, sucking the last pennies from the poor. According to Lancet, the renowned British health journal, the Greek suicide rate is soaring. Nobody talks about it. – Will Tsipras survive a possible Vote of Confidence? -If not – early elections? – Who will follow Tsipras? – Don’t be fooled by the term ‘democracy’. – The elite from within and without Greece will not allow any policy changes. That’s when people à la Gilets Jaunes (Yellow Vests) may come in. Civil unrest. Enough is enough.

Macron, France’s Rothschild implant, has special privileges, as far as budget overrun margins are concerned.

In Italy the coalition of the 5-Star Movement and the small right-wing brother, Lega Norte, is pulled to the far right by Lega’s Matteo Salvini, Deputy Prime Minister and Interior Minister. Mr. Salvini is clearly calling the shots – and his alliance is firing strongly against Brussels and with good reason, as Brussels is attempting to impose rules on Italy’s budget, while the same rules do not apply equally to all EU member states. For example, Macron, France’s Rothschild implant, has special privileges, as far as budget overrun margins are concerned. Mr. Salvini’s anti-Brussels, anti-EU stance is no secret, and he has a lot of Italians behind him. An Italian Yellow Vest movement cannot be excluded.

The empire’s vassal castle is crumbling – and not even silently.

Then there are the former Soviet satellites, Hungary and Poland, turned right wing – don’t appreciate Brussels meddling with Hungary’s anti-immigration policy and in Poland over a controversial overhaul of the Judiciary system. Never mind whether you agree or not with individual country actions, both cases are clear interferences in these nations’ sovereignty. Though upon the European Court of Justice’s strong warning, Poland indeed blinked and reinstated the judges fired in the judiciary reform process. Poland’s love for NATO, and Brussels use of the NATO leverage, may have played a role in Poland’s reversal of decision. Nevertheless, discontent in Poland as in Hungary among the public at large remains strong. Migration and the Judiciary are just the visible pretexts. The legendary tip of the iceberg. Reality is on a deeper level, much deeper. These countries are both reminded of what they considered the Soviet Union’s handcuffs. “Freedom” is not being dictated by Brussels.

—–
The triad of systematic and willful destabilization and destruction of what we know as the Greater Middle East and western world is what we have to be aware of. The east, mostly Russia and China, is a challenge being tackled simultaneously, impressively for the brainwashed westerner, but rather meekly for those who are informed about Russia’s and China’s military might and intelligence capacity.

This drive of destabilization cum destruction comes in three phases. It started with the Middle East which for the most part has become a hopeless hell-hole, a source of indiscriminate killing by the western allies, say, the emperor’s puppets and mercenaries, resulting in millions killed and in an endless flood of refugees destabilizing Europe – which is the second phase of the triad. It’s in full swing. It happens right in front of our eyes – but we don’t see it.

The more chaos the better. People in chaos are easily controlled.

It’s the Yellow Vests, austerity, increasing inequality, unemployment, social sector’s being milked to zilch by the financial system, popular uprisings’ oppression by police and military forces; it’s reflected by the dismal powerlessness of the people – that leads to “enough is enough” in the streets. That’s the way it’s all wanted. The more chaos the better. People in chaos are easily controlled.

Now comes phase three of the triad – Latin America. It has already started three or four years back. Countries that have struggled for decades to eventually break loose with some form of ‘democracy’ from the fangs of empire, are gradually being subdued with fake elections and ‘internal’ parliamentary coups, back into the emperor’s backyard. The Southern Cone – Argentina, Chile, Brazil, Uruguay, Paraguay – is ‘gone’, except for Bolivia. Peru, Colombia, Ecuador all the way to Guyana are governed by neoliberal, even neonazi-shaded Lords of Washington. But there is still Venezuela, Cuba, Nicaragua and now also Mexico that have not caved in and will not cave in.

In an extraordinary analysis, Thierry Meyssan describes in “The Terrible Forthcoming Destruction of the Caribbean Basin” – http://www.informationclearinghouse.info/50911.htm, how the Pentagon is still pursuing the implementation of the Rumsfeld-Cebrowski plan. This time, aiming at the destruction of the “Caribbean Basin” States. There is no consideration for friends or political enemies, Thierry Meyssan observes. He goes on predicting that after the period of economic destabilization and that of military preparation, the actual operation should begin in the years to come by an attack on Venezuela by Brazil (supported by Israel), Colombia (an ally of the United States) and Guyana (in other words, the United Kingdom). It will be followed by others, beginning with Cuba and Nicaragua, the ‘troika of tyranny’, as per John Bolton.

Only the future will say to what extent this plan will be implemented. At the outset, its ambitions exceed the crumbling empire’s actual capacity.
—–

People are sick and tired of being milked no end by a fraudulent pyramid system – constructed by the US and her dollar hegemony and maintained by globalized private banking.

When it comes all down to one single denominator, it’s the current western financial system that must go. It is private banking gone berserk. We are living in a financial system that has gone wild and running havoc, uncontrolled – a train of endless greed that is loosely speeding ahead and doesn’t know when it will hit an unyielding steel-enforced brick wall – but hit it will. It is a mere question of time. People are sick and tired of being milked no end by a fraudulent pyramid system – constructed by the US and her dollar hegemony and maintained by globalized private banking.

We are living in a private banking system that has nothing to do with economic development, but everything with a greed-driven domination of us, consumers, sold on debt and on money that we don’t control, despite the fact that we earned it with our hard labor; despite the fact that it is our added value to what we call the economy. No – this system is totally disrespectful of the individual, it is even ready to steal our money, if it needs to survive – our banking system. It takes the liberty of “administering” it and basically appropriating it. Once our money is in a private bank, we have lost control over it. And mind you and get it into your brains, private banks do not work for you and me, but for their shareholders. But through hundreds of years of indoctrination, we have become so used to it, that being charged interest for borrowing our own money, through an intermediary who does nothing, absolutely nothing but wait for profit to fall into its lap – has become the ‘normality’.

It isn’t. This system has to be abolished, the faster the better. Private banking needs to be eradicated and replaced by local public banking that works with local currencies, based on local economic output, way removed from globalized concepts that help steel resources, empty local social safety nets – all under the guise of austerity for progress. We should know better by now. There is no austerity for progress – has never been. This fraudulent IMF-World Bank concept has never worked, anywhere.

The BND has helped the US State of North Dakota through the 2008 and following years crisis, with economic growth instead of economic decline.

We have to de-dollarize our money, de-digitize our money and pool it through a public banking system for the purpose of people’s growth, hence a society’s or nation’s growth. There is currently one good example, the Bank of North Dakota. The BND has helped the US State of North Dakota through the 2008 and following years crisis, with economic growth instead of economic decline, with almost full employment, versus skyrocketing unemployment in the rest of the US and the western world. We need to build our common wealth with sovereign money, backed by our sovereign economies.

As the empire and its vassals are crumbling badly, they are shaking in their foundations, it is time to rethink what we have been taking for granted and for ‘normal’ – a fraudulent and deceptive monetary system, backed by nothing, no economy, not even gold – we are living on sheer fiat money, made by private banking by a mouse-click – and by letting us be enslaved by debt.

Enough is enough. The Yellow Vests have understood. They want to get rid of their “Macron” who keeps propagating the fraud. It is time to rethink and restart, as the crumbling is getting louder and louder. Empire’s European vassal state is falling apart and will pull Washington and its hegemonic war and money machine along into the abyss.

About the Author

Peter Koenig is an economist and geopolitical analyst. He is also a water resources and environmental specialist. He worked for over 30 years with the World Bank and the World Health Organization around the world in the fields of environment and water. He lectures at universities in the US, Europe and South America. He writes regularly for Global Research; ICH; RT; Sputnik; PressTV; The 21st Century; TeleSUR; The Vineyard of The Saker Blog, the New Eastern Outlook (NEO); and other internet sites. He is the author of Implosion – An Economic Thriller about War, Environmental Destruction and Corporate Greed – fiction based on facts and on 30 years of World Bank experience around the globe. He is also a co-author of The World Order and Revolution! – Essays from the Resistance.

Peter Koenig is a Research Associate of the Centre for Research on Globalization.

First published by the New Eastern Outlook – NEO

Never Try to Make a Profit on All Trades

A man counting money, UAE Dirham banknotes, and calculating the total value with a calculator before signing an agreement.

When you are trading, the most common thing you will try to do is get the profit from every trend. This is common because every trader wants to get rich. They want to squeeze the money out of the trend and they want to profit from every movement. This is not the way how you should trade in Forex. This article will tell you why it is not good for you to take the money from the pips that you see on the chart. Though they may look attractive, they are not good for your career.

Leading your dream life based on currency trading profession is very hard. People don’t really understand why they should trade the market with managed risk. They simply execute trades with high-risk exposure and lose a significant portion of their investment.

When you are trading, the most common thing you will try to do is get the profit from every trend.

If you want to survive in the retail trading industry, you must learn to trade the like the Singaporean traders. Forget about short-term gains. Never try to win all the trades by predicting the price of a certain asset with 100% accuracy, as this is nearly impossible.

Becoming a successful trader requires extensive knowledge about the retail trading profession. First of all, try to eliminate the unnecessary variables of the market. Focus on the development of your trading skills instead of making big trades. Open a demo trading account with an elite class broker like Saxo as you can learn lots of new things. Be smart when it comes to retail trading profession. Unless you know the perfect way of trading the currency pairs, never risk a significant portion of their investment.

 

It is called greed and greed takes your money

The first thing that you need to avoid in your career to become successful is greed. If you ever greed in Forex, you will lose your money no matter what you are doing. An example is when the novice traders place their trade and they see they are making a good profit. They become excited but not all the traders close the trade after making the money.

Focus on the development of your trading skills instead of making big trades.

Many people want to see where the trend is going and they keep the trade open. The pip is moving in their favor and they are trying to make money, it results in losing the money when the trend turns against you. Remember, the more you try to get every tiny bit of profit, the harder for you it will be to make a consistent profit. Even if the industry is offering you a small money, you will wait for a big profit and end up losing money. Greed can take you to the end of your career and you should never be greedy in Forex.

 

Every pip of profit is not possible for the traders

Even the professionals do not want to try to squeeze every inch of profit from a trend. We know it sounds fancy but it is very hard for the traders. The trends do not have time when they will change. It is a luck if you have got yourself a good trend and you can make a profit. You do not make your money by winning big trades but with smaller profits consistently. If you aim for every bit of profit form the trend, keep in mind you can lose your investment. You do not know when the pattern will have a new movement and you can lose all your money.

 

The market does not think about you

The industry does not know what you are thinking in your mind.

You do not make your money by winning big trades but with smaller profits consistently.

If you are thinking you will close your trades at the moment when the pip will start falling, you are wrong. It can fall anytime and this fall can take down all your profit. It is better if you close the trades when you can and take the profit you can. Plan for the next trade and make money, this is how you can make bigger profits without squeezing every bit of profit from any single trend in Forex.

 

Japan’s “Comfort Women” Asian Protests and Imperial Japan’s Sexual Slavery

By Dan Steinbock  

Recently, another Philippine statue commemorating Filipino “comfort women” has been removed. As international pressure is rising, it is time for Abe government to acknowledge its wartime history. Most of Japan recognizes it.

In December 2017, a memorial was erected along the Roxas Boulevard facing Manila Bay. It commemorated the Filipino “comfort women”, who were forced to work as sexual slave labor in Japanese military brothels during World War II.

In late April 2018, after Japan’s Ministry of Foreign Affairs said it was “extremely regrettable” such statues were erected, the Department of Public Works removed the statue. As Japan has an important role in infrastructure investment, President Duterte suggested the statue could be placed in a private property.

On December 28, another statue for the former “comfort women” was installed in a Catholic-run shelter for the elderly and the homeless in San Pedro, Laguna. After the Japanese embassy in Manila stated such statues were “extremely disappointing, not compatible with the Japanese government,” the statue was removed two days later.

 

This time the Duterte government noted that the statue was “dedicated to peace and women’s empowerment,” used private funds and was built inside private property. It was freedom of expression. Lila Pilipina, an advocacy group for Filipina comfort women, stressed the Japanese government demands that we “forget its war crime.”

All Holocaust memorials should be taken down, along with other memorials dedicated to historical atrocities because they all are inconvenient reminders about the past.

The removal of the second statue fosters a perception there is a systematic effort by the Shinzo Abe government to eradicate public statues for “comfort women.” By the same logic, all Holocaust memorials should be taken down, along with other memorials dedicated to historical atrocities because they all are inconvenient reminders about the past. Yet, German government has a very different stance toward the Nazi era. Mental lobotomy does not prevent real-life tragedies.

Until 1993, Japanese government had denied that the history of the “comfort women.” But that year, after the government study, Chief Cabinet Secretary Yohei Kono recognized that Japanese Imperial Army had forced “comfort women,” to work in military-run brothels during World War II. In 2015, Kōno re-affirmed the statement.

So why is the Abe administration to revise history? The reasons are historical – and perhaps personal.

 

Sexual slavery, Nobusuke Kishi and Cold War

Today, the number of Japan’s wartime sex slaves is estimated at 200,000 women, although Chinese scholars in Shanghai, where a Japanese “comfort station” was established already in 1932, put the real figure at 360,000-400,000.

The very term “comfort women” is a euphemism for Japanese Imperial Army’s sex slaves.

In revisionist Japanese history, the role of these women has been downplayed. The very term “comfort women” is a euphemism for Japanese Imperial Army’s sex slaves. Most women were from areas occupied by Japan, particularly China and Korea, but also the Philippines. There were “comfort stations” in Myanmar, Thailand, Vietnam, Malaysia, Taiwan, Indonesia, Singapore, East Timor and elsewhere. There were also hundreds of “comfort women” from the Netherlands and Australia.

Unlike his predecessors as Prime Minister and the head of the Liberal Democratic Party, Abe has far-right views about history. He belongs to the ultranationalist Nippon Kaigi, which seeks to re-militarize Japan and to revive Imperial Japan and which, among other things, vehemently denies Japan’s “comfort women” history during World War II. That’s why in the late 1990s, he led the controversial Japanese history textbook reform, which downplayed Japan’s war crimes, including crimes against “comfort women.”

The enslavement of men paved the way to the exploitation of Chinese, Korean and other women as sex slaves in Japan’s occupied colonies in Asia.

But there is also a more personal reason. Abe comes from a political family dynasty. His grandfather Kan Abe and father Shintaro Abe were prominent politicians. His mother is the daughter of the highly controversial former Prime Minister Nobusuke Kishi. Starting in 1933, Kishi praised Nazi Germany as Japan’s model. In 1937, he signed a degree calling for the use of slave labor in Japanese puppet state Manchukuo. The enslavement of men paved the way to the exploitation of Chinese, Korean and other women as sex slaves in Japan’s occupied colonies in Asia.

Due to Kishi’s brutal rule in the Manchukuo and his participation in the Tojo War Cabinet during World War II, he was imprisoned for over three years as a Class A war criminal. In Germany, Nazi leaders were prosecuted, but not in Japan. When Washington launched its Cold War against the Soviet Union, it needed Japan as a key ally in Asia.

That’s when many Japanese war leaders were freed and enlisted by the U.S. to suppress Japanese communists and socialists. The most notable of them was Kishi, “America’s favorite war criminal.” who played a key role in the “1955 System,” which made the Liberal Democratic Party the dominant political force in Japan and America’s key ally until today.

 

Rising stakes in the international debate

Wartime sex slaves are not “just history.” While Abe’s reformers have tried to open the economy to more women, his politics promotes remilitarization that most Japanese oppose. And while Japan is one of the world’s major economies, it ranks only 110th worldwide in the Global Gender Report, far behind Myanmar and India. The lingering imperial fantasies contribute to Japan’s economic decline.

Forced silence about wartime sexual slavery is not acceptable in rest of Asia. In December, 2015, Abe and South Korean President Park Geun-hye, who was later impeached for corruption, agreed to settle the “comfort women” dispute. Tokyo would pay a paltry $8.3 million to a fund supporting remaining victims. South Korea would remain mum about the issue and remove a memorial statue for the victims.

South Koreans criticized the odd pact. After the imprisonment of the corrupt Park, Seoul began to demand recognition for its victims, along with a UN Committee (CEDAW). The UN human rights agency (OHCHR) also called on Japan to acknowledge its violation of the human rights of “comfort women,” take legal responsibility and punish responsible individuals

As international appeals did not work, the debate moved to a new stage. Recently, a South Korean court authorized the seizure of assets belonging to Nippon Steel & Sumitomo Metal, after the Japanese firm failed to comply with an earlier order to compensate victims of forced labor. Last week, Tokyo called the court decision “extremely regrettable,” while South Korean President Moon Jae-in urged Japan not to “politicize the issue” and to take a “more humble” attitude towards the past.”

The issue of the “comfort women” should not be politicized. As the Kono Statement evidences, most of Japan’s political leadership and most Japanese have acknowledged the “comfort women” history since the early 1990s. As polls indicate, only about a fifth of the population doesn’t – and that’s Abe’s core constituency.

The issue of the “comfort women” should not be politicized.

If the Abe administration fails to acknowledge the past, it cannot win the future that overshadows over a prosperous, but heavily indebted and declining nation.

The statues to commemorate the legacy of “comfort women” represent historical veracity and overdue moral right. Efforts to eradicate them will ultimately fail. When one is taken down, another will be erected elsewhere – until the truth prevails.

About the Author

dan-steinbock-webDr. Dan Steinbock is an internationally recognized strategist of the multipolar world. and the founder of Difference Group. He has served at the India, China and America Institute (US), Shanghai Institutes for International Studies (China) and the EU Center (Singapore).

For more, see https://www.differencegroup.net/

The original commentary was published by The Manila Times on January 14, 2019

Featured image courtesy of: Kodao Productions

You Will not Need to Risk too Much for Trades

businessman trading buy sell stock market on digital screen

When you learn about the trading profession for the first time, the business process will be clear to you. Then traders will also learn about investing money into an account using the help of a broker. And the traders will also be able to learn about the possibilities of losing most of the time of trading. This kind of information do not make any good impression to the traders and some of them do not get the right amount of courage for their own business. In this article, we are going to talk about the proper trading business. Using the right kind of approaching strategy to the trades any trader can make the right kind of trading profession. We hope all confused traders can learn from this article and improve their trading performance for the profits.

 

Make profit target from the trades

To make a profit, you will have to imagine it. No, we are not talking about the greed of making a profit from trades. The real thing required for traders is the position sizes.

Using the right kind of approaching strategy to the trades any trader can make the right kind of trading profession.

When the traders will be able to do that for their own businesses, there will hardly be any poor trades. All trades are going to have a proper plan for executions. Then traders are also going to make a proper opening and closing position from the markets. By making we meant that the whole trade will be designed properly by the traders. For that, all the traders will have to make the right kind of profit target from the trades. You will not be able to find out the right swing or trend of the chart if there is no target of making a profit.

 

Trade with low leverage

Though most of the reputed broker is offering high leverage trading account this doesn’t mean you will be placing trades with big lots. Learn to trade with managed risk so that you can easily recover the loss amounts. Online trading Australia is extremely popular and you must be careful with your trade execution. Never think Forex trading is a shortcut way to become a rich person. Just like any other business, you will have to work hard to develop yourself as a successful trader.

 

Find the swings for best position size

After defining the proper targets for the trades like 1:2, traders will be able to find position size. For that, they will have to maintain a proper analogy over the markets and the price charts. We are talking about all the things associated with the change in currency pair’s price change.

Learn to trade with managed risk so that you can easily recover the loss amounts.

At the beginning of your career, you may not be able to keep up with the news and the trading at the same time. There is no need for that. For the position traders, it is needed to maintain the proper track on the condition of financial and political regions. But for a novice trader, the swing analysis is enough to make some proper profit. If there is some more needed, you can accept help of the support and resistance levels of the price charts.

 

The risks must not be too much to handle

Like making plans for everything related to the trading approach, the traders will also have to make a risk management plan. It is important to make the trades right with proper risks. If you do not do it, the tension of the trading business will be a lot onto you. Then the trading process will not be maintained properly. Some of the readers may think about making more money. However, it is not possible to make money and keep it intact without being secure with the trading capital. Managing the risks per trade is the most micro level management for the trading business.

 

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