Wednesday, 28 September 2011

Japan's Outlook for the United Arab Emirates (UAE) and the Middle East

Map of United Arab Emirates (UAE), the leading countries in the Gulf Cooperation Council.

Aerial shot of The Palm with interchange construction in the foreground, UAE The Axis of politics and economy is shifted to the Gulf countries.

As everyone knows, Middle East is rich in oil deposit and gas and is also the main oil exporter of the world in which two-third of oil consumption has been supplied from Middle-East. This region has strategically been important in trade and world politics since the period of Silk Road, at least for the Arab world. Located at the center of Middle East, United Arab Emirates (UAE) has a strong economic growth and diversified economy, not just based on oil. Presently, Japan and UAE have achieved a solid economic partnership and good diplomatic relation.

Friday, 23 September 2011

Nuclear Strategy and "A World without Nuclear Weapon"?

President Barrack Obama gave a press release at the Nuclear Security Summit 2012 in Seoul, South Korea.  In Prague in 2009, he promised to have "a world withouth nuclear weapon".

Trident Missile 

Cold war between United States (US) and the former Soviet Union has gone but the some critical problems have been left unsolved. Huge stockpile of nuclear weapons held by both sides is one of the major problems left by Cold War and arm race. Not like conventional weapon, if just one of those nuclear warheads is used, it would take millions of life. More or less, we can say the world is facing the nightmare of nuclear weapons. However, nuclear arm reduction efforts has taken place since the mid of Cold War to save the world from being plunged endlessly into nuclear arm race. Now, not only the five nuclear powers (US, Russia, China, United Kingdom, and France) in the UN Security Council, who possess these Weapon of Mass Destruction (WMD), but India, Pakistan, Israel, Iran, and North Korea are now also trying to get into the nuclear club.

Sunday, 18 September 2011

Japan and its Foreign Policies since World War II

Emperor Akihito

After World War II, Japan have followed a changing foreign policy as follows:

First is the policy of Realism. According to Yoshida doctrine, Japan must concentrate on economic reconstruction and development while giving minimal interest in defence policy, which is based on the security umbrella of the US (Japan-US Security Treaty). So, after World War II, Japan has been pursuing the policy of realism based on Yoshida doctrine in conducting foreign relations with other countries in the world. This doctrine was established by Prime Minister Yoshida (1946-54) by claiming that while depending on the security umbrella of the US, Japan must only focus on economic development. In this policy, Japan was an realist country by paying little interest in world politics.

Monday, 12 September 2011

Stock Market and Asset Bubble: Lessons learned for Cambodia

Finance Minister Keat Chhon at the official launching of stock trading at Cambodia Stock Exchange in April 2012 at Canadia Center, Phnom Pneh

Everyone can easily answer the two following questions, but we often encounter different answers and perspectives about Cambodia’s economic development. “Will the establishment of “Cambodian Stock Exchange” in July 2011 benefit the whole economy?” and “What policy measure the Government and Central Bank need to enforce to prevent asset bubbles and stock market crash after its opening?” In answering the questions, first we look into the relationship between stock market and asset bubble, Japan’s experience in its economic and financial development and how this will apply to economic and financial sector in Cambodia.

Tuesday, 6 September 2011

ASEAN Centrality Under Pressure

The ASEAN Foreign Ministers' Meeting (AMM) in Phnom Penh, on 2 April 2012

Map of South China Sea

The possible negative impact on ASEAN centrality in the emerging regional architecture, East Asian Community, is inevitable with the recent development in ASEAN+3 framework.  The establishment of East Asian Community (EAC) looms large in the long-term future after the coming into effect of Chiang Mai Initiative Multilateralization (CMIM) with total funding of 120 billion USD as announced by ASEAN Secretariat on 24 March 2010.  At least, the first step of monetary and financial integration in ASEAN+3 countries has been achieved through the entry into force of the CMIM. Then, the idea of common currency basket in East Asia, Asian Currency Unit, become a hot topic for discussion as the next move for economic integration in the future for East Asia by the private sector and the academia (Kawai, 2009, p. 74). In this context, with the new regionalism in place, it is certain that the new institutional dynamics and reforms will emerge and the existing norms and values may decline or might be adapted during the process of institution-building for EAC.  Then, ASEAN centrality is under pressure and reaches the crossroad whether it may be weakened with the recent dynamics or be strengthened during institutional discourse of EAC: