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 AIIB, ...the "new" world order?

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wag
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PostSubject: AIIB, ...the "new" world order?   Sat Mar 28, 2015 2:58 pm

U.S. Getting Left Behind As More Allies Join China's Infrastructure Bank

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Another one bites the dust.  South Korea is seeking to be a founding member of Beijing’s latest globalization push, the Asian Infrastructure Investment Bank (AIIB). 
South Korea marks yet another Washington ally that has expressed a desire to join the bank despite U.S. misgivings about it.  China has basically been left out of having any say within the large Bretton Woods institutions — International Monetary Fund and the World Bank. In creating the AIIB, China is basically saying that they are willing to go it alone in helping to fund southeast Asia’s massive infrastructure needs.
South Korea’s finance ministry said in a statement on Friday the AIIB would help fund large scale infrastructure projects and compliment existing projects like highway construction in India and water treatment in Vietnam being funded by the World Bank.
The AIIB is the first international financial institution Korea joins as a major member country from its inception. Korea’s growing economic role in the world requires Korea to take on more responsibilities, and the AIIB will be an important venue for Korea to that end,” the government said in the statement. The Finance Ministry said that the government elected to join the AIIB after certain changes to corporate governance were made. It did not specify those changes.

The future. Chinese President Xi Jinping (C) poses at a meeting of representatives at the signing ceremony for the Asian Infrastructure Investment Bank at the Great Hall of the People on October 24, 2014 in Beijing, China. Twenty-one countries including China, India, Pakistan and Singapore signed the agreement. But South Korea, Indonesia and Australia declined to sign on in back then  thanks to the lobbying efforts of the U.S. government. (Photo by Takaki Yajima-Pool/Getty Images)
The U.S. said it welcomed the AIIB, but essentially doubted China’s dedication to labor and human rights in large scale projects, let alone environmental standards that are factored into World Bank loans. Japan remains in the U.S.’s corner on this one and has refrained from joining.

On Thursday, NATO member Turkey applied to join the AIIB too. Becoming a founding member depends on other members approving their membership. If approved, both Turkey and South Korea will be part of the growing AIIB family next month.
The application deadline for prospective founding members is March 31.

Twenty-one countries agreed to fund the $100 billion bank in a memorandum of understanding last October. All members were from Asia. Shortly after, European friends of the U.S. hopped on the bandwagon. Britain opened the flood gates. Then in came France, Germany, Luxembourg, Switzerland and Italy. Australia is considering it.
Chin’s AIIB is another way for Beijing to lobby for its currency’s global significance. Part of that process includes opening their capital accounts to foreign investors and having their renminbi become part of the IMF's special drawing rights, which is the Fund’s currency basket.  The IMF will decide on that in December. China has already taken steps to open its capital account to foreigners, allowing investors to buy mainland fixed income for the first time last year.

The AIIB is a glimpse into the future. The U.S. will likely push against including the renminbi in the IMF’s currency basket as that would open the door to it becoming a global reserve currency.  Right now, the dollar dominates the foreign currency reserves of the world’s central banks, followed by the euro and the yen. But if the renminbi were included, it could potentially take a few trillion out of the U.S. Treasury market as emerging market central banks will have the currency of the world’s No. 2 economy and biggest trading partner to add to their government’s rainy day fund.
“Emerging market central banks essentially help fund U.S. debt,” says Jan Dehn, an economist with the Ashmore Group in London. “When the renmimbi becomes a global reserve currency, it will threaten the U.S. position as the dominant currency at these central banks. It could be a blow to the dollar.”
The AIIB is the second development bank China launched in the last year.  In July 2014, China, Russia, Brazil, India and South Africa signed an agreement to create another $100 billion bank. The so-called New Development Bank will be a dollar-denominated lender to infrastructure and other projects in each of the five member nations’ economies.

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PostSubject: Re: AIIB, ...the "new" world order?   Sat Mar 28, 2015 2:58 pm

http://en.wikipedia.org/wiki/Asian_Infrastructure_Investment_Bank

Worth a visit.

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PostSubject: Re: AIIB, ...the "new" world order?   Sat Mar 28, 2015 3:08 pm

Abe being whisked in to speak to Congress next month.  Hmmm, last time an Abe spoke to Congress he had an unfortunate thing happen in a theater.

So what messages will be or have been sent with this?

AIIB? Suspect


Anti-Imperialist International Brigade

Noun1.Anti-Imperialist International Brigade - a terrorist group organized in 1970 to overthrow the Japanese government and monarchy and to foment world revolution; is said to have close ties with Palestinian terrorists; "in 1972 the Japanese Red Army was responsible for a massacre at an airport in Israel"

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PostSubject: Re: AIIB, ...the "new" world order?   Sun Mar 29, 2015 1:13 pm

(LEAD) Park encounters Abe in Singapore
2015/03/29 21:17

(ATTN: UPDATES with Park's departure; UPGRADES attribution; Minor edits)
SINGAPORE, March 29 (Yonhap) -- South Korean President Park Geun-hye briefly met with Japanese Prime Minister Shinzo Abe in Singapore, an official said Sunday, a possible sign of a thaw in bilateral relations soured by territorial and other history-related issues.
Park encountered Abe at a reception Singapore's Prime Minister Lee Hsien Loong hosted for dozens of leaders and dignitaries who came to the city state for the funeral ceremony of Lee's father, Lee Kuan Yew, founder of Singapore, who died on Monday at the age of 91.
Park proposed that South Korea, China and Japan take necessary steps as reached by the three nations' top diplomats earlier this month, presidential spokesman Min Kyung-wook told reporters traveling aboard Air Force One to Seoul. Park left for Seoul.
The foreign ministers of the three countries have agreed to continue efforts to hold a trilateral summit of their leaders at their earliest convenience.
A trilateral summit has not been held since May 2012 due to tensions mainly over Tokyo's attempts to whitewash its wartime atrocities and colonial occupation. Japan ruled the Korean Peninsula as a colony from 1910-45 and controlled much of China in the early part of the 20th century.
Abe expressed gratitude to Park for a successful meeting of the foreign ministers, said Min.
The encounter is the first since November when Park briefly met with Abe on the sidelines of the summit of the Group of 20 advanced and emerging economies in Brisbane.
Park has so far shunned bilateral talks with Abe due to Abe's apparent refusal to acknowledge Japan's responsibility for its past atrocities, including sex slavery, during Japan's 1910-1945 colonial rule of the Korean Peninsula.
One of the most knotty issues are the elderly Korean women who were forced to serve as sex slaves for Japan's World War II soldiers.
The issue of sex slaves has gained urgency as the victims are dying off. In 2007, more than 120 South Korean victims were alive, but the number has since dropped to 55, with their average age standing at 88.
Still, Abe called the issue "human trafficking" without specifying the perpetrator in a recent interview with the Washington Post.
The encounter came a month before Abe is set to address a joint session of the U.S. Congress.
Also at the reception, Park met with Chinese Vice President Li Yuanchao and called for close consultation between Seoul and Beijing for the success of the China-led regional development bank.
Park's comments came three days after South Korea agreed to join the Asian Infrastructure Investment Bank (AIIB) as one of its founding members.
Many experts see the bank meant to fund infrastructure projects in Asia as a counterbalance to the Asian Development Bank and the World Bank, which have been dominated by the U.S. and other Western economies.
Park also briefly met with former U.S. President Bill Clinton, who led the U.S. delegation to Lee's funeral ceremony.

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PostSubject: Re: AIIB, ...the "new" world order?   Sun Mar 29, 2015 1:15 pm

US Treasury secretary to visit China, may discuss AIIB

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Jacob Lew, the US Treasury secretary. (Photo/CNS)
Jacob Lew, the US secretary of Treasury, will visit China on behalf of President Obama from March 30-31, raising speculation as to whether the United States may follow its allies to join the China-led Asian Infrastructure Investment Bank (AIIB), reports Huanqiu Net, the website of nationalistic Chinese tabloid Global Times.
Since the visit is scheduled to take place on the deadline for countries to apply for the financial institution's founding membership, multiple news outlets in Japan are speculating that Lew may discuss US participation during the visit.
Japanese news website Nikkei.com said the US has not changed its attitude toward the institution but Lew will definitely discuss it when he meets Lou Jiwei, China's finance minister and soon-to-be head of the AIIB. They will also discuss President Xi Jinping's visit to the US in September and the Sino-US Strategic and Economic Dialogue.
Li Wei, a researcher at Renmin University of China in Beijing, also considers the main goal of Lew's visit to be discussing US participation in AIIB. The visit was arranged in haste and Lew will only visit China, said Li. He believes that despite political opposition within the US, it would be possible for the country to take part in the China-led institution for practical reasons.
Carlos Gutierrez, former US commerce secretary, said the AIIB has huge potential since Asia has tremendous demands for infrastructure. It will also boost the development of free trade zones in China, he added.

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PostSubject: Re: AIIB, ...the "new" world order?   Sun Mar 29, 2015 7:32 pm

It's lights out when China reveals their true gold reserves. China is very patient, 'short term' for the Chinese is 5 to 10 years...but WW3 may arrive before they declare the crown.
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PostSubject: Re: AIIB, ...the "new" world order?   Sun Mar 29, 2015 7:58 pm

Expect US to join by the deadline, and Japan to wake up a bit as a result.

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PostSubject: Re: AIIB, ...the "new" world order?   Sun Mar 29, 2015 10:54 pm

Communist China will be stuck holding worthless paper when Muslims nuke Des Moines
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