Boost records strong growth in 2024, sets sight on becoming a regional digital banking group  

  • Raise achieved a GTV of over US$ 1. 2 billion in 2024
  • Boost Bank secured over US$ 157M in payments within 6 months of its launch 

Boost's senior leadership highlights key milestones and upcoming plans during the Boost Year in Review 2024 media event

Boost, a leading provincial finance person, closed 2024 on a high word, achieving major milestones that cement its position as a transformational leader in the modern economic landscape. With a strong focus on innovation, convenience, and economic participation, the business has continued to evolve its choices, creating a seamless habitat that inspires individuals and small businesses everywhere.

Looking to the future, Boost highlights its passion to transition into a local online banking group, aiming to design the next frontier of online banking and financial services in Southeast Asia.

Riding the speed of a flourishing digital business

According to the e-Conomy SEA 2024 report, Southeast Asia’s digital financial services ( DFS ) sector is expected to generate US$ 33 billion ( RM146. 8 billion ) in income, driven by popular adoption of QR bills and online banking. Boost has capitalised on this growth, with Boost Bank securing over US$ 157 million ( RM700 million ) in deposits within six months of its launch and Boost PayFlex disbursing more than US$ 54 million ( RM240 million ) since its introduction.

[RM1 = US$ 0. 224]

These successes reflect Boost’s ability to deliver impressive financial options that resonate with consumers. Demonstrating its robust performance, the company recorded a Gross Transaction Value ( GTV ) exceeding RM5. 6 billion for the year.

Sheyantha Abeykoon, party CEO of Boost, said: “2024 was a landmark year for Boost, solidifying our position as a leading finance person with an expanded set of companies, including banks items. Our growth reflects the trust our users and partners have placed in us and the increasing demand for innovative digital financial solutions. ”

“With our expanding services, including lending, payment gateway offerings, deposits, and investment products via embedded finance, we are uniquely positioned to drive meaningful impact for small businesses and consumers. As Southeast Asia’s digital economy thrives, Boost remains committed to delivering accessible and transformative financial solutions,” he added.

Pioneering digital banking and embedded finance solutions

In June 2024, Boost Bank, Malaysia’s first homegrown digital bank, launched with the mission of revolutionising financial access for underserved and unbanked communities. With features like RM1 account openings, competitive daily interest rates, and Savings Jars, the bank has gained significant traction, empowering users to better manage their finances. Seamless onboarding has made Boost Bank a leader in embedded banking, with 80 % of its users coming through the Boost app.

Strategic partnerships with major players, including MYDIN, CKS Retail, Servay, Bataras, Farley, and CelcomDigi, have contributed to the bank’s success, with these collaborations accounting for 40 % of overall deposits since launch.

Fozia Amanulla, CEO of Boost Bank, remarked: “The launch of Boost Bank is a significant milestone, not just for us but for Malaysia. It’s about more than deposits; it ’s about creating a platform that empowers individuals and businesses to thrive. ”

She added: “Our strategic partnerships have been key to reaching underserved communities and empowering them to bank digitally. Through innovative digital banking solutions, we aim to unlock greater economic opportunities nationwide, ensuring no one is left behind. ”

Empowering businesses and consumers through lending and seamless transactions

Boost continues to drive financial inclusion across Southeast Asia, offering innovative solutions for businesses and consumers. Its lending portfolio has surpassed RM5 billion in loans disbursed to thousands of micro, small, and medium enterprises ( MSMEs ) in Malaysia and Indonesia, helping them bridge funding gaps and achieve sustainable growth.

Boost PayFlex, a Shariah-compliant Buy Now, Pay Later ( BNPL) product, has onboarded over 121,000 customers and disbursed more than RM240 million since its launch. As Southeast Asia’s BNPL market is forecast to reach US$ 53. 2 billion by 2027, Boost PayFlex is well-positioned to capitalise on this trend, advancing financial inclusion while promoting responsible financing.  

Expanding regional presence: Indonesia and Cambodia

Boost is expanding its Southeast Asian footprint with tailored financial solutions for each market. In Indonesia, it has extended its strong support for MSMEs by venturing into consumer lending through strategic ecosystem partnerships. In Cambodia, Boost has partnered with Smart Axiata to introduce a consumer lending programme, leveraging Smart Axiata’s extensive network to address financial access gaps and empower underserved communities.  

These regional expansions align with projections that digital lending in Southeast Asia will continue to grow significantly through 2025, further driving economic growth and financial inclusion.

Looking ahead: Boost’s vision for 2025

With Southeast Asia’s digital financial services sector projected to grow at a compound annual rate of 31 % through 2025, Boost is poised to lead the next wave of innovation by integrating embedded banking solutions and making financial services more accessible and impactful.

Boost Bank is set to build upon its existing offerings and roll out new, financially inclusive products to be at the forefront of financial empowerment. This product expansion roadmap will include consumer loans as well as other innovative products to financially empower MSMEs. The company will expand its partnership ecosystem and prioritise serving underserved and unbanked populations. On the lending front, Boost PayFlex will strengthen its position in the BNPL segment by promoting responsible lending and enabling financial freedom for consumers.

By delivering innovative digital solutions tailored to real-world challenges, Boost aims to unlock lasting economic opportunities and cement its leadership in Southeast Asia’s financial landscape.

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‘We are very worried’: Vietnamese firms watch out for Trump’s potential tariffs

HANOI: Asian firms are bracing for a tough 2025, with major socioeconomic challenges brought on by Donald Trump’s second term in office.

Trump, who was sworn in as the United States’ 47th president on Monday ( Jan 20 ), has repeatedly called tariffs “the most beautiful word in the dictionary”.

In his opening handle, he said he would probably implement them on America’s trading partners – a cornerstone of his vote strategy. As a member, he proposed up to 20 per cent common tariffs on goods from all nations.

This has led some to wonder if Vietnam may be second, and has become a major cause of concern for firms that are heavily rely on the US market for profits.

Among them is Sao Mai Trading, which exports 60 per share of its items– including clothes for health workers at clinics and hospitals – to the US.

“We experienced a surge in our company during the COVID-19 epidemic with desire for our products … skyrocketing in the US. We exported millions of products every month, ” said the company ’s international sales manager Pham Thi Thanh Hang.

The cloth factory – located in the South Asian nation’s north Hai Phong city – has since expanded to provide its American clients.

But when Trump secured his political victory next November, trust dropped at the stock of about 1,200 employees.

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iMotorbike completes Series A funding with USD million to drive regional growth

  • Round led by Headline, with contribution from 500 Global, Gobi Partners etc
  • Funding will grow iMotorbike with facilities and shops in Penang & Johor

(From left to right: Gil Carmo and Sharmeen Looi, co-founders of iMotorbike, Akihiko Okamoto, partner of Headline Asia and Brian Yen of Headline Asia principal)

iMotorbike, Southeast Asia’s leading motorcycle platform for buying and selling pre-owned motorcycles, has announced the completion of a US$ 10 million ( RM44. 6 million ) Series A funding large. The round was led by Headline, a worldwide venture capital firm renowned for backing revolutionary B2B and B2C projects, with contribution from other popular investors, including Ondine, 500 Global, Gobi Partners, Astor Management, and Endeavor Catalyst. The Series A revenue was completed in two tranches: the first in June 2023, and the most recent large led by Headline.

Akihiko Okamoto, companion at Headline Asia, said: “iMotorbike has demonstrated extraordinary vision and murder in addressing cracks in the pre-owned scooter business. Their emphasis on quality, accountability, and customer satisfaction has established them as the head in this growing industry. As they prepare to provide new lands and develop across Southeast Asia, we are excited to help their trip and see them continue to innovate. ”

This financing will help iMotorbike’s rise in Malaysia, where the business plans to open new examination centres and shops in important locations, including Penang and Johor. Also, the funding will allow workforce development, with plans to hire competent mechanics and operations staff. Beyond Malaysia, iMotorbike is also planning to establish a new unit in Taiwan.

“We initially invested in iMotorbike in 2017 and remain confident that the world used motorcycle market may be adaptable as riders seek economical and reliable solutions amid financial uncertainties. As early movers, Carmo and his team have spent the past eight years creating a blueprint for trust and comfort in the motorcycle industry, positioning them to lead this freedom pattern far beyond Southeast Asia, ” said Khailee Ng, managing companion at 500 Global.

Fast growth and expansion

iMotorbike’s growth in Malaysia has been accelerating, bolstered by the launch of its Glenmarie showroom in 2024, a three-storey, 46,806-square-foot facility in Selangor. Co-founded by Gil Carmo and Sharmeen Looi, iMotorbike reached a significant milestone in 2024, serving 10,000 customers and becoming the go-to platform for motorcycle enthusiasts across Southeast Asia. Its growing online presence, particularly on TikTok, where content has garnered up to 1. 6 million views, has further cemented its popularity among digital-savvy users. By seamlessly integrating online and offline experiences, iMotorbike ensures a smooth trading journey, offering a trusted platform for buying, selling, and trading motorcycles.

Randolph Hsu, co-founder of Ondine Capital, commented: “As the lead investor in iMotorbike’s previous funding round, we are proud to support them with a super pro-rata investment in this new round. We have witnessed their remarkable growth and unwavering commitment to transforming the motorcycle market in Asia. We are confident in their vision, leadership, and ability to deliver value to clients. We foresee iMotorbike further strengthening its presence locally and internationally, and Ondine Capital will continue supporting them by bridging resources across Asia. ”

Since its founding in 2016, iMotorbike has established a strong presence in Malaysia and Vietnam by prioritising customer trust and convenience. Features such as a comprehensive 170-point inspection, a six-day return policy, and a six-month warranty have solidified its reputation as a reliable, customer-focused platform.

Looking ahead

Commenting on the funding, Gil Carmo, co-founder and CEO of iMotorbike, said: “ From day one, our goal has been to create a platform that people can trust, whether buying or selling motorcycles. This funding validates the work we’ve done and the potential of pre-owned motorcycles in Southeast Asia. With this investment, we are excited to take iMotorbike to the next level. ”

He continued: “Beyond expanding our footprint in Malaysia and launching in Taiwan, we will continue improving our platform and scaling our operations to meet growing demand. We are deeply grateful for the trust our investors and customers have placed in us and remain committed to setting new standards within the industry, making pre-owned motorcycles more accessible and hassle-free for everyone. ”

Looking towards 2025, iMotorbike is steadfast in its mission to provide a trusted, seamless platform for motorcycle transactions. With new markets on the horizon and an expanded team, the company is poised to sustain its impressive growth and solidify its leadership across Southeast Asia and beyond.

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Why Thailand became a haven for LGBT couples

Getty Images This photo taken on January 10, 2025 shows Thai actors Apiwat "Porsch" Apiwatsayree (L) and Sappanyoo "Arm" Panatkool in beige tuxedos sharing a kiss at their unofficial wedding ceremony in Bangkok. They are surrounded by family and friends taking photos of them under a tree decorated with twinkling lights. Getty Images

” It has been a long struggle full of tears for us. “

That is how Ann” Waaddao” Chumaporn describes the years that led to this time – on Thursday, when same-sex relationship becomes legitimate in Thailand, and more than a hundred people will tie the knot in one of Bangkok’s biggest purchasing shops, in a riot of colour and party.

And the same question which has been heard throughout the long campaign to get the equal marriage law passed will be asked again: why Thailand? Why nowhere else, aside from Taiwan and Nepal, in Asia?

Individuals think they know the truth. Thailand is reportedly opened to and accepting of gay, lesbian, bisexual and transgender people. They have long been obvious in all walks of life. Thai citizens are easy-going about pretty much everything. ” Mai ink ray” – no big deal – is a federal catch-phrase. Buddhist ideas, followed by more than 90 % of Thais, don’t stop LGBT habits. Surely, then, equivalent marriage was expected.

Except it wasn’t. ” It was not quick,” says Ms Waaddao, who organises Bangkok Pride March.

The first Pleasure protest in Thailand took place just 25 years ago. Again then it was hard to get approval from the authorities, and the march was a chaotic, aimless function. After 2006 just two rallies took position until 2022. In 2009 one prepared Pride march in Chiang Mai had to be abandoned because of the threat of violence.

” We were never accepted, by our own people and by world,” Ms Waaddao adds. ” There were days when we did not think marriage equality had actually happen, but we never gave up. “

‘ We did not fight, we negotiated’

For all of Thailand’s common compassion of LGBT individuals, getting equal rights, including relationship, required a determined plan to change attitudes in Thai government and culture. And views have changed.

When Chakkrit” Ink” Vadhanavira started dating his companion in 2001, they were both stars playing leading roles in TV set. At that time sexuality was still officially described by the Thai Ministry of Health as a mental condition.

” Again then society was not acknowledge leading female roles being played by a gay person. There was plenty of talk about us in the internet, much of it untrue, which actually stressed us,” Mr Chakkrit recalls.

” We decided therefore that if we were going to meeting each other, we had to leave celebrity. “

They are still together but they have stayed out of the limelight for more than 20 times, running a successful manufacturing company.

A lot has changed in that time– and their economy gets some credit for that.

The method LGBT figures are portrayed in Thai TV dramas, from funny anomalies to mainstream jobs, made a big difference, according to Tinnaphop Sinsomboonthong, an associate professor at Thammasat University who self-identifies as gay.

” Nowadays they represent us as normal characters, like you see in real life,” he says. ” The kind of LGBTQ colleague you might have in the office, or your LGBTQ neighbour. This really helped change perceptions and values in all generations. “

The so-called Boy Love dramas have helped bring the rest of society round to the idea of not just tolerance, but full acceptance and equal rights for the community.

Getty Images This photo taken on April 23, 2024 shows Thai fans hold photographs of popular "Boys' Love" drama actors Naravit "Pond" Lertratkosum and Phuwin Tangsakyuen during a GMMTV promotional event in Bangkok. Getty Images

These romantic television dramas featuring love affairs between beautiful young men have grown enormously in popularity over the past decade, especially during the Covid pandemic.

They are now one of Thailand’s most successful cultural exports, with huge audiences in places like China. Series like My School President and Love Sick have got hundreds of millions of views on streaming networks.

At the same time, activists became more focused and united in their bid to get the law changed. The many different LGBT groups came together in the Change 1448 campaign – 1448 is the clause in the Thai Civil Code covering the definition of marriage – and later under the Rainbow Coalition for Marriage Equality.

They linked up with other groups fighting for greater rights and freedoms in Thailand, and they learned to work with political parties in parliament to persuade them to change their stance on the law.

The resumption of Pride marches in 2022, and getting the government to recognise and promote the appeal of Thailand as an attractive destination for LGBT travellers also helped change public perceptions.

” We did not fight, we negotiated,” Mr Tinnaphop says. ” We knew we had to talk to Thai society, and little by little, we shifted attitudes. “

The right political moment

Getting the equal marriage law through parliament was also helped by political developments in Thailand.

For five years following a coup in 2014, the country was ruled by a conservative military government, which was willing only to consider recognising civil partnerships for LGBT couples, without full rights like inheritance.

But in the 2019 election which returned Thailand to civilian rule, a new, youthful reformist party called Future Forward, which fully supported equal marriage, did unexpectedly well. They won the third-largest share of seats, revealing a growing hunger for change in Thailand.

Getty Images Thailand's Prime Minister Paetongtarn Shinawatra (L) and former PM Srettha Thavisin (centre) are smiling alongisde an activist at the Bangkok Pride Festival last year. Getty Images

When a year later Future Forward was dissolved by a controversial court verdict, it set off months of student-led protests calling for sweeping reforms, including curbs to the monarchy’s power.

LGBT campaigners were prominent in those protests, giving them greater national prominence. The protests eventually died down, with many of the leaders arrested for questioning the monarchy’s role.

But in the 2023 election the successor to Future Forward, calling itself Move Forward, performed even better than in 2019, winning more seats than any other party. Again, it was clear that the desire for change was felt across Thai people of all ages.

Move Forward was blocked from forming a government by conservatives who objected to its call for wholesale political reforms.

But by this time, equal marriage was less contentious. Few opposed it. And passing it gave the unwieldy and unpopular coalition government which had been formed without Move Forward a quick accomplishment with which to please most of the country.

Pioneering move may boost tourism

Thailand, though, is an outlier in Asia. Few other countries in the region are likely to follow suit.

The influence of Islam in Malaysia, Indonesia and Brunei makes the notion of equal marriage a non-starter. LGBT communities there face discrimination and prosecution; in Brunei sex between men carries the death penalty.

Getty Images A woman with her face painted and rainbow-coloured eye shadow sports the letters LGBTQ  in red below her closed eyes. The photo was taken in 2024 during the Pattaya Community Pride Parade in Thailand.Getty Images

In the Philippines, there is growing acceptance of LGBT couples living together openly. But the Roman Catholic Church vehemently opposes same-sex marriage.

In Vietnam, like Thailand, there are no religious or ideological obstacles, but campaigning to change the law, as happened in Thailand, is difficult under a repressive regime. Much the same is true in China. Until the ruling communist party endorses equal marriage, which it shows no signs of doing, it cannot happen.

Even in democracies like Japan and South Korea– where political parties are largely conservative and dominated by older men- the prospects look bleak.

” It is largely conservative Christians who are blocking it,” says Chae-yoon Han, executive director of the Beyond the Rainbow Foundation in South Korea.

” Most, if not all, politicians in the conservative party of President Yoon are devout Christians, and they have framed marriage equality as a’leftist agenda’, which could potentially open society to a’leftist, communist takeover’. “

India appeared close to legalising same-sex marriage in 2023, when the decision fell to its Supreme Court – but the judges declined, saying it was up to parliament.

So Thailand hopes to benefit from being a pioneer. Tourism is one of the few areas of the Thai economy doing well in the post-pandemic recovery, and the country is seen as a safe and welcoming destination for LGBT holiday-makers.

Growing numbers of same-sex couples from other Asian countries are choosing to live here now.

The legal recognition they can get for their marriages will allow them to raise children and grow old together with nearly all the rights and protections given to heterosexual couples.

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IN FOCUS: Rise in JB property prices due to foreign buyers – are locals priced out of their ‘dream homes’?

“So much staying below has triggered good feelings, I get a nice lake view and it’s very comfortable, ” said Ong, who also owns a private apartment system on Singapore’s Farrer Road.  

“ I think there is a chance we get earnings- from both capital understanding and hire yield- but I’m hardly too stressed about that, ” he added.  

Nevertheless, buying Johor home is not without its challenges for Taiwanese buyers.  

Some buyers are already in a legal dispute with a Johor property designer over their possession position, while others are suing Chinese creator Country Garden for fraud and misrepresentation.  

Some Singapore investors who bought Johor properties earlier have formerly even spoken about their regrets, saying that they did not achieve money gains for numerous reasons, such as an surplus of homes, difficulty in renting out their units and the continuing strengthening of the dinars against the Singapore buck.

Meanwhile, financial influencer Loo Cheng Chuan, a Singaporean who recently purchased a RM2 million semi-detached home in Mount Austin, has a different take on the issue.  

The former chief executive of Singtel Digital Media is of the view that Singaporeans who wish to buy property across the Causeway should be wary of treating the purchase as an investment and that they must be ready to write off capital depreciation from the property value.

“For one simple reason, the powerful Singapore dollar will appreciate against ( most ) of these currencies and over time you’ll find that even if the house value has gone up, the appreciation is somewhat discounted by the Sing dollar strengthening, ” said Loo.

On the other hand, he sees value being derived from improving “quality of life”. Living in JB has allowed him to purchase a landed property of a significant size for him, his wife and his three children to enjoy as a weekend home.

The property analyst Tan outlined that the high housing costs in Singapore have become a push factor for some to purchase homes across the Causeway.  

“ In Singapore, the ( monthly ) rental for a ( two-room ) HDB flat could cost ( more than ) S$ 1,000 ( US$ 732 ). This is equivalent to about RM3,500. For RM3,500 they can easily afford ( a monthly mortgage ) for a landed residential house in Johor and they will have a more leisurely lifestyle, larger space, ” said Tan.

Ong added that a key reason why he has chosen to buy property in JB is because of cost of living pressures in Singapore.

He explained that he cannot afford to buy a retirement home given Singapore’s “significantly higher ” property prices and he even buys his groceries in JB.

Loo echoed similar sentiments, pointing out that the tide of rising asset prices is a global phenomenon, and that both Singaporeans and Johoreans should do their best to adapt.

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A Korean-style armistice for Ukraine? – Asia Times

​The New York Times reports that US officials are planning to propose an “armistice ” for Ukraine, allegedly similar to how the Korean War ended in 1953. Nevertheless, an Armistice Partnership like the Asian one does not coincide with Russia’s targets and perhaps can’t be achieved if limited to a ceasefire.

The 1953 agreement was reached after hard discussions that involved the United States, North Korea, South Korea, China, the former Soviet Union and United Nations troops. Its key rules were:

  1. ​suspending opened conflicts;
  2. withdrawing all military forces and products from a 4,000-meter-wide area, establishing the Demilitarized Area as a cushion between the troops;
  3. ​ ​ both sides ​w​ill not enter the air, ground or sea areas under control of the other;
  4. ​a​n design for the release and resettlement of prisoners of war and displaced persons; and
  5. ​a​ Military Armistice Commission ( MAC ) and other agencies to discuss any violations and to ensure adherence to the truce terms.

T​he Asian ceasefire is then 72 years older. For the most part, it has prevented opened conflict involving North and South Korea.

​The demilitarized area, or DMZ, in Korea is around 160 km long and 2. 5 yards broad. Running through the DMZ is a Military Demarcation Line ( MDL ) which is where the opposing forces were when an armistice was reached.

The DMZ does not expand to the Yellow Sea which was not included in the ceasefire. The DMZ itself does not follow the 38th parallel northeast which was the limit agreed by the US and the USSR at the end of World War II, although sections of the DMZ follow the 38 horizontal.

Other than the Yellow Sea issue ( including a number of islands that are heavily militarized ), the DMZ is reasonably close to a final border should North and South Korea ever normalize their relations and sign a peace treaty.

The North Koreans have hinted, from time to time, that they are seeking a peace agreement ( and especially US recognition and US security assurances ), while the issue in South Korea is far more divisive and uncertain, fearing that normalization could undermine stability in South Korea and lead to a deal where US and allied forces would be withdrawn.

President Donald Trump and North Korean leader Kim Jong Un walk on the North Korean part in the Demilitarized Zone, June 30, 2019, at Panmunjom.

The Ukraine problem is regional, military and political. Russia annexed Donetsk, Luhansk, Zaporizhzhia and Kherson regions in September 2022 and Crimea in 2014. While the edges of Crimea are usually well recognized, the edges of the four regions are not so obvious.

Based on the official Ukrainian Oblast names, Russia does not completely handle any of these lands and battle is going on as the Russian army appears to be aiming at occupying as many place as possible before negotiations start. Assuming that a deal may be made on territories, there are a number of concerns that are more complicated.

Among them are the rights of citizens on both sides of any boundary line, deal between Ukraine and Russia, whether important utilities can be restored and utilized such as the Zaporizhzhia Nuclear Power advanced, water supply to Crimea from Ukraine, the status of ports and port and storage facilities on the Black Sea, the status of military ports on the Black Sea and Sea of Azov, the location of long-range weapons and the presence of NATO forces on Ukraine’s soil.

More problems include the position of Ukraine’s military forces, Ukraine’s membership in the EU and NATO, types of security offers, oil and gas transport and associated sanctions on Russia.

An armistice would need to cover the presence of Ukrainian forces in the Kursk area ( Russia has liberated about 50 % of the Kursk incursion, but it could take months before the Ukrainians are finally pushed out if the war continues ).

When the Korean Armistice was signed in 1953, United Nations Forces were stationed in South Korea, and Chinese “volunteers ” were in the North. Ukraine is different: officially there are no NATO forces ( strictly defined ) in Ukraine, although the Russian army is in Ukraine.

Numerous reports say that a number of NATO countries ( UK, France and even Germany ) are preparing to send troops to Ukraine when an Armistice is agreed and to offer Ukraine security guarantees. One concern is that an Armistice tracking pressure and an Armistice military rollout that would provide security guarantees to Ukraine are not the same thing.

Under the original Minsk agreements ( 2014, 2015 ) the OSCE ( Organization for Security and Cooperation in Europe ) was supposed to monitor the Minsk agreements. OSCE sent spectators, hardly an army. OSCE therefore had 57 people including Russia and Ukraine. Essentially the bargain was to finish conflicts and to give freedom to Luhansk and Donetsk ( although both may be lands inside Ukraine ). The package was not implemented.

Russia’s battle objectives, as we understand them, include not only acknowledgment of the conquered areas but the disarmament of Ukraine and an arrangement that Ukraine will not become a NATO part. Whether this includes security guarantees with major NATO countries is not clear. It is hard to see how an Armistice Agreement could be concluded without addressing these issues.

The US view is that Russia is hurting enough economically and its losses in the Ukraine war serious enough to incentivize the Russians to accept an Armistice, that would include some sort of buffer zone, essentially freezing the conflict and conceding some Ukrainian territory on a de facto, but not de jure basis. In this context, such a deal on these broad terms would be similar to the 1953 Korean Armistice.

After signing annexation treaties, Vladimir Putin joined hands with the four men Russia put in charge of the occupied regions.

Obviously, the Russian outlook does not align with the one under development in Washington. Russia is not looking for an armistice but for a comprehensive deal with the US and NATO.

A temporary Armistice Agreement (essentially a ceasefire in place ) might be possible if it was linked to agreed political steps, but it seems unlikely to be accepted as any long-term solution. Biden administration informants have hinted at a 10-year or even 20-year pause, but that idea does not have much traction for Russia as it would allow Ukraine to rebuild its army and its weapon stockpile.

President Trump has some cards to play. He could send more aid to Ukraine to prolong the conflict but it is doubtful this is Trump’s aim. He can offer sanctions relief to the Russians, even some accommodation with NATO.

At the same time, the new administration knows how fragile Ukraine itself is, with its military losing one battle after another, short on manpower, encountering popular resistance to the enforced draft, and suffering high casualties.

It is hard to predict where any of this will go but President Trump has signaled his desire to speak to Russian President Vladimir Putin, starting with a phone call in the days ahead. Trump will table the idea of an Armistice Agreement: the Russians will demand considerably more.

Stephen Bryen is a special correspondent to Asia Times and former US deputy undersecretary of defense for policy. This  article, which originally appeared on his Substack newsletter  Weapons and Strategy, is republished with permission.

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Sri Lanka orders ex-leaders to move out of deluxe mansions

COLOMBO :  Sri Lanka’s leftist government asked former presidents, including the once-powerful Rajapaksa brothers, on Tuesday ( Jan 21 ) to immediately vacate luxury government bungalows as part of a new austerity drive. The government has decided to change the stately homes into upscale boutique hotels or galleries, Information MinisterContinue Reading

Hungary’s demographic exceptionalism – Asia Times

Academic demographers have shown that family-friendly state policies can lessen or even change the fertility reduction that has taken birthrates in the business earth well below alternative. Fertility is extremely resistant to common investing, but targeted spending—for case on youth education and family housing—makes a difference.

Hungary is one of the world’s some statistical success stories, and its Corvinus Institute for Advanced Studies next month hosted a conference with prominent international researchers to examine the fall of world fertility and consider remedies.

There is no easy relationship between overall public spending on home rewards and the total fertility rate among the people of the high-income team, the Organization for Economic Cooperation and Development.

Graphic: Asia Times

Nonetheless, countries with higher fertility mostly spend more to support families, and countries with lower fertility tend to spend less. Shown below are 2019 data from the Organization for Economic Cooperation and Development.

Graphic: Asia Times

The higher-fertility countries – France, Scandinavia, and Hungary – spend about 3 % of GDP on family subsidies, while the low-fertility countries –Italy, South Korea, Japan, and Spain– spend around 1. 5 % of GDP. There are some standout exceptions: Poland, with its fertility rate of just 1. 3 children per female, is a high spender on families, while the United States, with an above-average fertility rate, spends just 1 % of GDP on families.

These anomalies rule out a simple correlation between family spending and fertility, but they point to important conclusions. Japan and South Korea have n’t tried hard enough to direct public policy to reverse extremely low birth rates. Spain and Italy, with some of the lowest fertility rates in the OECD, should be doing more.

Public spending should be targeted to the factors that determine fertility behavior, Nobel Laureate James Heckman argued in a December lecture at Budapest’s Corvinus University, where he received an honorary doctorate. After the great demographic transition from mainly rural traditional society to industrial economies, the needs of women and families have changed radically. The cost of educating children has soared, while women’s choices have expanded.

Heckman cited five key drivers of fertility decline, including the costs of higher education and career aspirations delaying or discouraging parenthood, shifting social norms reflecting parenthood as a personal choice rather than a societal expectation, economic challenges such as housing costs and job insecurity, cultural and media influences, and environmental concerns like climate change.

Government spending on early childhood education, Heckman observed, tends to increase both female workforce participation as well as the total fertility rate. The chart below is reproduced from Heckman’s presentation.

Lack of housing for young families, Heckman added, depresses family formation and fertility. The highest proportion of young adults living with their parents is found in low-fertility countries, including Korea, Italy, Greece, Spain, Portugal, and Poland, while the lowest proportion is found in Scandinavia, where fertility rates have been among the highest in the industrial world.

Graphic: Asia Times

Hungary’s fertility rate by some measures has had the strongest performance in the world. The Scandinavian countries until recently were the poster children for public policy success, with strong public support for families and fertility rates.

The Nordic Statistics Database reports that “the whole region reported sharp declines in fertility rates in 2022. Finland had the lowest fertility rate of all Nordic countries, 1. 32 children. This is also the lowest Finnish rate since 1776 when monitoring of fertility rates first started. ”

Graphic: Asia Times

Hungary’s fertility rate looks even stronger on a normalized scale ( where data are displayed relative to their past range ).

Graphic: Asia Times

Especially impressive is Hungary’s marriage rate, now the highest in the OECD. That is a strong predictor of future fertility.

Graphic: Asia Times

What explains the sudden drop in Scandinavian fertility? The childbearing behavior of immigrants might play a role. Like France, the Scandinavian countries do not report separately births to immigrants and to native-born Swedes, so demographers have to piece together the puzzle from partial data.

A 2024 study concluded, “For most migrants who arrived in Sweden as adults, we found elevated first birth rates shortly after arrival. First birth rates among the second generation were generally close to but lower than the rates observed among native Swedes. ”

It’s possible that immigrants from countries with high birth rates account in part for the relatively high Scandinavian fertility rates during the 2010s, and that the transition from first-generation to second-generation immigrants explains part of the dropoff in fertility rates during the past several years.

If that is true, Hungary’s fertility performance would be all the more exceptional, since Hungary, unlike Sweden ,  has refused to accept significant numbers of immigrants from Muslim countries.

Hungary’s family support may be more effective because it is direct: Couples to have or pledge to have children are eligible for a grant of 10 million Forints, or about US$ 25,000, equal to five years ’ minimum wage. Couples with three or more children pay virtually no taxes.

And the subsidies are directed to married couples, which helps explain why Hungary has the highest marriage rate in the industrial world. Married couples are more likely to have many children than single parents. Hungary’s approach may succeed because it is not only a fertility policy but also a family policy.

Prime Minister Viktor Orban exhorts his constituents to have children and keep the Hungarian nation alive. But rhetoric alone has n’t proven effective elsewhere. Turkey’s President Recep Erdogan has called on his people to have more children for years, but Turkstat, the country ’s statistics agency, estimates the total fertility rate for 2023 at only 1. 53 children per female.

Total fertility includes assumptions about future childbearing, so estimates may vary. But data at the provincial level show core Turkish provinces like Istanbul and Ankara at around 1. 2 children per female, while the Kurdish southeast of the country has over 2. 5 children per female.

Demographers might pay more attention to Hungary’s exceptional success. For East Asian countries with dangerously low fertility rates, Hungary might offer some important insights.

Follow David P Goldman on X at @davidpgoldman

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US Navy betting big on next-gen DDG(X) destroyer – Asia Times

This month, multiple media outlets reported on the US Navy’s evolving plans for the next-generation DDG( X ) destroyer, emphasizing its advanced capabilities and challenges. But while the US Navy bets on the DDG( X )’s futuristic concept to outpace China ’s naval surge with advanced tech, logistical and industrial hurdles loom large.

Notable design changes for the DDG( X ) include removing the traditional Mark 45 main gun, which implies integrating directed-energy weapons like lasers and microwaves and a new vertical launch system (VLS ) layout.

Designed to replace the aging Arleigh Burke-class destroyers, the DDG( X ) will incorporate state-of-the-art weapons, radar systems and a powerful Integrated Power System ( IPS) to meet the high-energy demands of next-generation combat. But, steep costs, technical uncertainties and technological limitations present fierce obstacles to the program’s success.

The DDG( X ) will feature hypersonic and directed-energy weapons, the AN/SPY-6 radar, enhanced stealth and increased payload capacity. This technological step is critical for countering evolving challenges like robots, hypersonic weapons and advanced naval platforms. The ship’s IPS, adapted from the Zumwalt-class ships, promises unparalleled power generation essential for supporting its high-powered techniques.

However, these advancements come with a significant price tag: the DDG( X ) is estimated to cost US$ 4. 4 billion per fleet, far exceeding its forebears. Structure will begin in 2032, with a three-year overlap alongside continued Arleigh Burke-class production to maintain business continuity.

Directed-energy weaponry promise infinite magazine level, low-cost engagements and rapid strikes against different threats ranging from drones to fast weapons. Nevertheless, they require significant storage, power and heating. Also, atmospheric disturbances and collection restrictions pose challenges to light tool success.

The US Navy’s aging Ticonderoga-class cruisers and maxed-out Arleigh Burke-class destroyers cannot meet these demands, underscoring the importance of the DDG( X ) in the US Navy’s future surface fleet. Directed-energy weapons may also alleviate the US Navy’s rely on expensive fighter missiles, freeing area for anti-ship missiles essential for high-end conflicts, particularly against China.

China ’s marine development poses a major challenge to US sea dominance. According to the US Department of Defense’s ( DOD ) 2024 China Military Power report, China now fields over 370 ships and submarines, including 140 major surface combatants, outpacing the US fleet numerically.

Moreover, China ’s People’s Liberation Army-Navy ( PLAN ) has achieved over 50 % of the US Navy’s vertical launch system (VLS ) capacity, with nearly 4,300 VLS cells on 84 principal surface combatants, compared to the US Navy’s 8,400 cells on 85 ships.

In an article for the International Institute of Strategic Studies ( IISS), Johannes Fischbach highlights that China ’s construction of high-end platforms, such as Type 052D destroyers and Type 055 cruisers, further narrows the VLS gap.

The Type 052D battleship has 64 Vocabulary, while the Model 055 ship has 112 VLS. In contrast, the Journey IIA and later Arleigh Burke-class warships have 96 Vocabulary, while the Ticonderoga-class ships have 122 VLS.

Despite that power gap, the PLAN’s quick shipbuilding—producing 3. 1 Model 052D ships every compared to the US’s 1. 6 Arleigh Burke destroyers—illustrates the size of China ’s business benefits.

The DDG( X ) is designed to address this disparity, offering greater operational range and reduced logistical needs, vital for countering the “tyranny of distance ” in Pacific operations.

US Navy Secretary Carlos Del Toro has emphasized the critical need for the Transferrable Reload At-Sea Method ( TRAM ), which enables at-sea VLS reloading. Properly tested in October 2024, The War Zone information Metro addresses a major logistical challenge by minimizing the moment warships spend out of action for disarming.

This ability is essential for sustaining a ahead existence during conflicts, especially with China, where rearming at distant foundations like Guam may become impractical and dangerous. By integrating TRAM with the DDG( X )’s design, the US Navy aims to bolster combat readiness and mitigate the presence gap created by extended resupply periods.

Despite its promise, the DDG( X ) program is hampered by systemic challenges hounding US shipbuilding. Post-Cold War expenditure cuts significantly reduced the number of naval architects and engineers, creating obstacles in both design and production.

Over 60 % of US Navy ship repairs are not completed on time, reflecting inadequate infrastructure and outdated practices. Also, US factories cannot match China ’s industrial production.

China ’s civil-military fusion strategy—which combines military and civilian shipbuilding facilities —has enabled unmatched efficiency and surge capacity. In comparison, the US’s scattered approach and selection of big ships over smaller, cost-effective vessels slow development efforts.

US politicians, including Representative John Moolenaar, warn that without striking policy changes and important investments, the US cannot hinder or succeed in a possible conflict with China, as quoted by the Associated Press.

Representative Raja Krishnamoorthi underscores the disparity, noting that China can produce 359 ships for every US ship made annually. He has emphasized the need to revitalize the US defense industrial base to maintain global stability.

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