Mazars in Singapore appoints new Southeast Asian leaders | FinanceAsia

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Paris-headquartered audit, tax and advisory firm, Mazars, announced earlier this month the appointment of new leaders across its regional capital markets, risk management, and outsourcing businesses.

Chee Keong Ooi, Shireen Tan and Justin Lim have each been appointed as head of capital markets, head of risk management and head of outsourcing respectively, effective September 1.

“Effective leadership involves making timely strategic decisions that align with both the current macro challenges and our long-term vision,” Rick Chan, managing partner in Singapore and head of audit and assurance in Apac, told FinanceAsia.

The new leaders will provide regular updates on the progress and development of their respective teams to the Mazars’ executive committee, he added.

With over 20 years of experience in accounting, Ooi brings to his new role significant experience advising clients seeking initial public offerings (IPOs) and reverse takeovers via the Singapore and Hong Kong exchanges. Having been with Mazars for over 11 years, he most recently served as audit partner based in Singapore, according to his LinkedIn profile.

Chan explained that Ooi’s senior role is newly created. Among his priorities will be solidifying Mazar’s regional reputation and shaping the firm’s strategic direction in the capital markets sector.

“Ooi’s responsibilities span vital areas, including business development, client relationship management, team growth and development within Mazars’ capital market sector, and overseeing risk assessments for capital market projects,” Chan noted.

Mazars was the second most active firm in IPO audit services in Singapore last year, supporting two out of nine offerings and representing 36% of the S$17.9 million ($13.1 million) in funds raised in the market.

“Listing on the international market continues to hold strong appeal for investors and companies alike,” Ooi told FA, citing recent IPOs from Arm and Instacart in the US, both of which bolstered market sentiment and investor confidence.

Meanwhile, he identified market volatility and regulatory hurdles as some of the greatest challenges for Asia’s current IPO market.

“Factors like uncertainty, geopolitical tensions, and economic instability can affect market volatility,” he explained.

“Navigating regulations, compliance, and reporting standards can also be complex for companies seeking to go public.”

He added that concerns around valuation, liquidity, and exit strategies can also affect capital raising and share prices.

“For venture-backed companies, the ability to offer exit opportunities to early-stage investors and founders through IPOs is crucial,” he explained.

Risk awareness

Shireen Tan joins Mazars from PricewaterhouseCoopers (PwC), where her most recent role involved serving as senior manager, according to her LinkedIn profile.

In her new capacity, Tan will aim to foster a risk-aware culture, enhance risk identification, and implement robust risk mitigation strategies, Chan outlined.

“Effective risk management is not just about minimising potential risks or losses but also about seizing opportunities in an ever-evolving business landscape,” Tan shared in the press release.

“I’m committed to working closely with cross-functional teams to align risk management strategies with the firm’s objectives, enabling us to make informed decisions that drive sustainable growth.”

Also forming one of the key changes is Justin Lim’s appointment to lead Mazars Singapore’s outsourcing team. In his new role, Lim will be responsible for further strengthening the outsourcing capability, which is the firm’s third largest service line after audit and assurance services. Alongside his new remit, he will continue to lead the Asia-based Corporate Secretarial segment.

Additionally, Tan Shen Way and Victor Ouyang were promoted as local partner in audit and assurance, effective September 7.

¬ Haymarket Media Limited. All rights reserved.

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DBS, UOB become latest banks to restrict app access if sideloaded apps detected on customers’ phones

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NO MONITORING OF PHONE ACTIVITIES

OCBC was the first to roll out new anti-malware security measures last month, followed by Citibank on Sep 15.

The new moves aimed at nullifying the threat of malware scams have received mixed responses from banking users here, with OCBC customers taking to the local bank’s social media to express their concerns about privacy.

Asked why DBS is pursuing this security measure despite customer concerns, Mr Lam stressed that the latest security features do not monitor phone activities, collect or store any personal data.

“We are detecting the signatures of known malware or the signatures of sideloaded applications.”

DBS has done “a lot of testing” to strike a balance between security and user experience “as well as possible”, he added in an interview with CNA ahead of the announcement.

“For now, it appears (that) scam vulnerability by malware is a major issue and therefore, it is appropriate to strike the balance in favour of protection for now. If this changes over time, then we may be willing to revisit the situation,” he said.

In a press release, DBS Singapore Country Head Han Kwee Juan said: “We recognise that certain measures may add some friction to the customer journey and seek their understanding that they are necessary to ensure that they can perform digital transactions on a secured platform with peace of mind.”

UOB also sought to assure customers that its new security features do not monitor phone activities, nor collect or store any personal data. 

“These features are necessary for enhanced security to mitigate the risks and protect customers’ exposure to malware scams,” said Mr Ng.

“We also seek our customers’ understanding that deployment of the features may lead to some inconvenience.”

Meanwhile, DBS also rolled out a new security check-up dashboard, which hopes to get customers into “the habit of regularly reviewing” their security settings on the banking app.

Users can already access the new feature via the app’s homepage, based on a check by CNA.

Currently, the dashboard will focus on “getting customers to strengthen their core security accesses” before being expanded to include more security features in the coming months, DBS said.

With an increasing number of customers becoming more informed and looking to safeguard their own online security, the bank has been rolling out more of such self-managed security controls.

For example, the payment control features launched in 2021 allow customers to set monthly card spending limits, and indicate their preferences for cash advances and overseas in-store transactions.

Nearly half a million DBS and POSB customers have used these payment control features.

DBS said it has been continuously sharpening its security measures in line with evolving scam and fraud typologies. Together, the new measures announced on Tuesday will add to existing safeguards, including surveillance and monitoring systems.

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China, US deescalate with talks, metals concession

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The newly-announced establishment of two economic and financial working groups between China and the United States is expected to help push forward a possible meeting between the two nations’ leaders in November. 

The US Treasury Department said on September 22 that it will set up an economic working group with the Chinese Ministry of Finance and a financial working group with the People’s Bank of China (PBoC). It said the two groups will meet at the vice-minister level at regular intervals and report to US Treasury Secretary Yellen and Chinese Vice Premier He Lifeng.

This came after the two economic officials met in Beijing on July 8 and agreed to boost communication on economic matters.

A 2-inch gallium oxide wafer for R&D. Photo: Novel Crystal

Beijing also showed friendly gestures to the US by issuing export licenses to the China-based units of AXT, a California-based semiconductor manufacturing company, so they can export their products that contain China’s gallium and germanium, Reuters reported.

The why 

“Why did the two countries set up working groups? It’s simple – they felt the pain caused by their fight, and now they are trying to ease their pain,” a Shanghai-based columnist says in an article published on Monday.

“After several years of conflicts, both sides feel that they cannot win against one another in the short run while they are facing huge risks in their own economy,” he says. “If both sides insist on challenging each other, they will be severely injured.” 

He says that, although some compromises can ease pain, the hostile Sino-US relations won’t be changed easily. He says the US will continue to try to suppress China’s high technology sectors but China refuses to remain a low-end manufacturing country forever.

Compromising with each other is necessary in the short term while “beating each other is a final goal,” he says.

Not easy to change course

“Both China and the US hope to push forward a meeting between their leaders during the APEC Summit” to be held November 12-18 in San Francisco, Wang Yong, a professor with the School of International Studies at Peking University, told Chinareports, a media unit of the state-owned CICG Asia-Pacific. “The establishment of the two working groups increased the expectation that top leaders of both sides will meet again after the last meeting a year ago.”

“It’s not easy to turn around the strategic competition between China and the US in the short run. But having dialogues is better than nothing as it can help both sides to understand each other’s policy direction,” Wang said. “This also shows that rational and pragmatic voices are now on higher ground.” 

“Since the US-China trade war broke out in 2018, both sides have lagged in developing a mechanism to resolve problems,” said Zhou Mi, a senior research fellow at the Chinese Academy of International Trade and Economic Cooperation. Reducing damage caused by US sanctions to the global economy “will be one of the most important tasks of the economic working group.”

Zhou also said it is necessary for both countries to discuss their macro and fiscal policies, which have been inconsistent for some time.

CHIPS Act guardrails final rule

Meanwhile, the US Commerce Department on September 22 released the final rule implementing the national security “guardrails” of the bipartisan CHIPS and Science Act, which was passed by the Congress in August last year.

The rule prohibits CHIPS funds recipients from expanding material chip-making capacity in foreign countries of concern – mainly China and Russia – for ten years, and from entering into certain sorts of joint research or technology licensing efforts with foreign entities of concern. 

In August last year, the US announced a subsidy package of US$52.7 billion to boost its chip sector. South Korean and Taiwanese firms can apply for the subsidies but in exchange they would have to limit their expansion in China.  

Xi-Biden meeting

Last November, Chinese President Xi Jinping and US President Joe Biden met on the sidelines of the G20 summit in Bali, Indonesia. The two countries agreed to improve their bilateral relations but their political tensions then increased in early 2023 after a Chinese spy balloon was seen flying across North American airspace.

The chip war also escalated as the US on August 9 this year unveiled new rules to restrict American funds and firms from investing in China’s high-technology sectors from 2024. Beijing also started requiring companies to apply for licenses to export gallium and germanium, raw materials of high-end semiconductors, from August 1. 

In a meeting in Malta on September 16-17, China’s Foreign Minister Wang Yi and US National Security Advisor Jake Sullivan discussed key issues in the US-China bilateral relationship, global and regional security issues, Russia’s war against Ukraine and cross-Strait issues, among other topics.

Wang Yi and Jake Sullivan. Photo: CNN

The meeting was followed by the establishment of the two new working groups between China and the US last Friday.

US hawks

After a four-hour meeting between Raimondo and Chinese Commerce Minister Wang Wentao on August 28, the US and China agreed to set up working groups to handle their trade and investment disputes. It appears that Beijing wanted to set aside the chip war and focus on resolving other economic issues with the US. 

This came after the US compromised on several things in August: unveiling softer-than-expected investment curbs against China’s high-technology sector; agreeing that the Netherlands can continue to ship high-end DUV lithography to China until the end of this year; and removing 27 Chinese entities from its “unverified list.”

But Washington refused to make more compromises, especially after the sanctioned Huawei Technologies launched its flagship smartphone Mate60 Pro on August 29 to show off its chip-making ability.  

Representative Michael McCaul, the chairman of the House Foreign Affairs Committee, last Friday said that the requirement that US firms notify the government about their investments in China’s high-technology sectors is not sufficient. 

“I’m tired of seeing our technology ripped off and being used in their weapons,” McCaul told Bloomberg News in an interview, adding that sale of high-end chips, AI and quantum computing products from US to China should be banned. 

Read: China sets aside chip war, moves on with US

Follow Jeff Pao on Twitter at @jeffpao3

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'Mapping' recent developments in South China Sea

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Outlining its (new) territorial claims in the South China Sea, China issued new maps on August 28. This act has, once again, led to a series of diplomatic storms in the region, and is also in sync with China’s age-old practice of launching sensitive and provocative steps just days before a bilateral/multilateral meeting – this time the ASEAN Summit and meetings in Jakarta, followed by the Group of Twenty Summit in India.

Often termed “cartographic invasion” by analysts and critics, China’s issuance of new maps will have far-reaching direct implications on claimant states, with ramifications for the international community – especially countries such as Japan, Australia and India, as well as the European Union and its member states and the US, which have huge economic and strategic stakes in the region. 

China’s territorial claims in the South China Sea are revised and upgraded with these new maps, which transcend the traditional “Nine-Dash Line” that Beijing has been using to demarcate its (unilateral) claims, with comprehensive details that include rocks and islets.

For countries that share maritime boundaries with China, the new maps drive home new concerns and consequent anxieties. The mapping of smaller islets directly conflicts with Vietnam’s and the Philippines’ UNCLOS-compliant rights in these waters, raising the possibility of greater hostilities.

China’s new maps seem to challenge the existing legal norms, potentially undermining the United Nations Convention on the Law of the Sea (UNCLOS) and further complicating dispute resolution processes. 

Malaysian and Philippine responses

Malaysia has traditionally employed a soft diplomatic approach with the goal of balancing its strategic relationship with China and defending its territorial claims. In contrast to some of its neighbors, Malaysia often refrains from direct confrontations – diplomatic or otherwise – relying instead on multilateral discussions that are embedded in ASEAN-centric mechanisms. 

Malaysia’s predicament has frequently been termed a “diplomatic tightrope.” On the one hand, it has overlapping claims with China and other Southeast Asian countries, while on the other, China is a major source of commerce and investment for Malaysia, and as of 2023, it continues to be Malaysia’s biggest trade partner.

Belt and Road Initiative (BRI) investments have further cemented this relationship, making the economic ties a significant factor in shaping Malaysia-China relations.

During a recent meeting between Malaysian Prime Minister Anwar Ibrahim and Chinese Premier Li Qiang in Nanning, the two parties agreed to have open and uninterrupted communication over the South China Sea issue to maintain peace and stability. This “diplomatic firefight” occurred right after Malaysia officially criticized China for coming up with new maps.

Clearly, Malaysia is still trying to make use of “quiet diplomacy,” the efficacy of which seems to be depleting fast.

The Philippine stance on the South China Sea has seen numerous twists and turns over the past few years, depending on the wishes of the leader at the time.

In 2016, the Philippines won the arbitration case it lodged against China after the Permanent Court of Arbitration (PCA) in The Hague invalidated Beijing’s Nine-Dash Line claim that covers nearly the entire South China Sea.

The Philippines took a harsh stance through those legal proceedings. However, in Rodrigo Duterte’s unilateral bid to improve ties with China, his administration completely disregarded the International Court of Justice ruling.

Under the current administration of President Ferdinand Marcos Jr, the Philippines is seemingly reviving the position Manila had during the presidency of Benigno Aquino III, and which is a direct consequence of China’s swiftly growing island reclamation, island militarization, and gray-zone tactics.

Last month, the China Coast Guard used water cannons on a Philippine Coast Guard resupply vessel en route to the Second Thomas Shoal in the Spratly Islands, which China also claims. The Philippine government summoned the Chinese envoy in Manila, Huang Xilian, to lodge a diplomatic complaint and concerns over China’s illegal conduct and dangerous maneuvers.

As China develops and modernizes its military and exhibits greater aggression in its claims over the South China Sea and Taiwan, there is growing concern around the world about its naval actions. The Mutual Defense Treaty between the Philippines and the US and revival of the Visiting Forces Agreement serve as a strategic counterbalance to China’s increasing militarization in the area.

Malaysia and the Philippines have each navigated the complexities of the South China Sea dispute in their own unique ways. While both parties use UNCLOS to substantiate their claims, their contrastive diplomatic behavior is shaped by domestic priorities, geopolitical risk assessments, and (real and perceived) nature of relationship with/influence of China.

That said, as members of the Association of Southeast Asian Nations, Malaysia and the Philippines seek to resolve the issue on a regional level, although the effectiveness of ASEAN in mitigating the dispute remains questionable. 

Conduct of Parties and Code of Conduct

To manage outstanding territorial disputes and promote stability, ASEAN and China initiated the Declaration on the Conduct of Parties in the South China Sea (DoC) in 2002, with ongoing discussions about a more binding Code of Conduct (CoC). However, nearly two decades have passed since the DoC, and the finalization of the CoC remains elusive. 

While establishing the DoC was a significant diplomatic move, its efficacy has been limited for several reasons such as its lack of being legally binding. The consultative tone marked by a subtle ambivalence in the document leads to open interpretation, which allows differing views on what constitutes “good behavior.”

Also, in terms of encouraging unilateral measures, China has continued to reclaim islands and engage in military operations, frequently justifying these moves under the pretext of “sovereign rights.”

The much-anticipated CoC is expected to be a legally binding agreement that will supersede the DoC. However, there are a number of challenges that impede its completion, including the ASEAN nations’ differing agendas and connections with China, which make it difficult to present a cohesive front.

Other factors include the strategic balancing of relations with the US by such countries as Vietnam and the Philippines, as well as the complexity of problems such as fishing rights, freedom of navigation, and legal jurisdictions that need to be resolved.

The recent adoption of guidelines to accelerate negotiations for the COC in the South China Sea, signed between ASEAN and China on July 13 in Jakarta, opens up new possibilities. Whether it will be a credible mechanism or just a rhetoric, only time will tell.

Conclusion

As the situation in the South China Sea continues to evolve, the new maps issued by China are likely to be a point of debate in future diplomatic rendezvous. It remains to be seen whether they will result in conflict resolution or escalate already existing disputes.

It also shows the inability of ASEAN to find consensus to deal with China’s increasing intrusions in the South China Sea. While one can only speculate on the long-term implications of China’s recent moves, including the issuance of new maps, its actions have no doubt the ability to rock ASEAN’s CoC boat.

If these developments are any sign, it is clear that the region is in for a long haul with Beijing on the South China Sea front, with the issue remaining the one with managed tensions rather than one of resolved dispute.

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Metal-mining pollution impacts 23 million people worldwide

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Aerial view of a tailings dam - embankment used to store by-products of mining operations, in this case of the extraction of copper- of the Minera Valle Central mining company, in Rancagua, ChileGetty Images
By Victoria Gill
Science correspondent, BBC News

At least 23 million people around the world live on flood-plains contaminated by potentially harmful concentrations of toxic waste from metal-mining activity, according to a study.

UK scientists mapped the world’s 22,609 active and 159,735 abandoned metal mines and calculated the extent of pollution from them.

Chemicals can leach from mining operations into soil and waterways.

The researchers say future mines have to be planned “very carefully”.

This is particularly critical as the demand surges for metals that will support battery technology and electrification, including lithium and copper, says Prof Mark Macklin from the University of Lincoln, who led the research.

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“We’ve known about this for a long time,” he told BBC News. “What’s alarming for me is the legacy – [pollution from abandoned mines] is still affecting millions of people.”

The findings, published in the journal Science, build on the team’s previous studies of exactly how pollution from mining activity moves and accumulates in the environment.

The scientists compiled data on mining activity around the world, which was published by governments, mining companies and organisations like the US Geological Survey. This included the location of each mine, what metal it was extracting and whether it was active or abandoned.

Prof Macklin explained that the majority of metals from metal mining is bound up in sediment in the ground. “It’s this material – eroded from mine waste tips, or in contaminated soil – that ends up in river channels or [can be] deposited over a flood-plain.”

A map of south eastern Australia showing where active and inactive metal mines are located. There is a large cluster around Melbourne in the state of Victoria and also south west of Sydney in New South Wales. The majority of them are inactive.

Prof Macklin and his colleagues used previously published field and laboratory analyses to work out how far this metal-contaminated sediment moves down river systems.

That data allowed the scientists to produce a computer model that could calculate the extent of river channels and flood-plains around the world that are polluted by mining waste – both from current and historical mining activity.

“We mapped the area that’s likely to be affected, which, when you combine that with population data, shows that 23 million people in the world are living on ground that would be considered ‘contaminated’,” said Chris Thomas, who is professor of water and planetary health at the University of Lincoln.

“Whether those people will be affected by that contamination, we simply can’t tell with this research, and there are many ways that people may be exposed,” he stressed. “But there is agriculture and irrigation in many of those areas.”

Crops grown on contaminated soils, or irrigated by water contaminated by mine waste, have been shown to contain high concentrations of metals.

Waste leaks downstream after a dam partially fails at a mine in Romania

PAul Brewer/University of Aberystwyth

“Animals grazing on flood-plains may also eat contaminated plant material and sediment, especially after flooding, when fresh metal-rich sediment is deposited,” the scientists explained in their paper.

“With climate change and more frequent floods,” Prof Macklin added, “this legacy [pollution] is going to extend and expand.”

Prof Jamie Woodward from the University of Manchester, who was not involved in the study, said the research highlighted the threat posed by “silent pollution” stored in flood-plains.

“A good deal of river monitoring is focused on water when the real ‘nasties’ are often associated with river sediments,” he told BBC News.

“We need to better understand how contaminants are transported in the environment and where they are stored. This allows us to assess hazards and to mitigate against them. Heavily contaminated flood-plain grasslands should not be used for livestock grazing, for example.”

The researchers point out in their study that metal mining represents “humankind’s earliest and most persistent form of environmental contamination”. Waste from mining began to contaminate river systems as early as 7,000 years ago.

Data visualisations by Kate Gaynor and Mike Hills

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BOJ’s policy calls are being made in Washington and Beijing

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TOKYO- The Bank of Japan’s decision to leave interest rates constant was actually made in Washington, despite the information being announced by government Kazuo Ueda last Friday.

Jerome Powell, chairman of the US Federal Reserve, let some people down two days prior by claiming that the longest US tightening pattern in 30 years is still ongoing. In many ways, that news left Ueda’s staff at the BOJ standing pat now with nowhere to go.

Almost everyone is in agreement that the BOJ needs to start normalizing attention charges right away. Credit markets have been distorted by quantitative easing( QE ) over the past 23 years, which have also killed the” animal spirits” required to revive Japanese innovation and competitiveness.

Although neither Ueda nor Prime Minister Fumio Kishida is officially stating this, both are pleased to see the yen damp further. However, it’s difficult to imagine that process starting with the threat of additional Fed price rises hovering over Japan Inc.

This year’s 12.9 % decline in the yen puts it just 150 cents below the US dollar. Imports are less expensive and Tokyo is better able to offset the negative effects of US business punishment thanks to a weaker exchange rate. President Joe Biden’s software plans, while directed at China, are also causing a lot of problems for Japan and South Korea.

The US-China trade war is reducing the potential of relatives to boost exports, especially makers of high-tech technology, yet as Biden works to pull Japan and Korea further into America’s circle. Materials that Chinese businesses may typically buy are still mostly in limbo for export.

For instance, Korea had been betting on the post-Covid backlash by China, its principal trade partner. An 8.4 % drop in North Korean exports year over year in August, the 11th consecutive quarterly drop, was caused by poor demand for electronics.

According to Chung Min Lee, senior colleague at the Carnegie Endowment for International Peace, being caught between Washington and Beijing” creates a two-sided reality” causing” extraordinary pressure” as the” US-China competition intensifies and spills over to influence business and technology plan.”

A weaker renminbi relative to the money might also be better for Kishida’s state. It might be advantageous for both China and Japan to align the hankering and fuan more closely. More products from Japan must be exported to the West. A weaker renminbi might help China’s economy brace and attract more business to Japan.

Prime Minister of Japan Fumio Kishida. Screengrab / ABC News image

As China slows down and fallout from 11 Fed price hikes in 17 months casts doubt on the US perspective, Ueda is left with a sluggish private business and an extremely tumultuous international scene.

According to economist Stefan Angrick at Moody’s Analytics,” private need is struggling, and work conditions are softening” in Japan. Additionally,” wage increases keep up with cpi.”

Since he started the job in April, prices has complicated Ueda’s decision-making. This week’s two-day plan meeting at the BOJ was marked by a strong desire to declare recession to be officially defeated.

On the nine-member BOJ plan table, Naoki Tamura, a pessimistic speech, has been claiming that Tokyo’s 2 % goal” has come into view.”

However, it is a Decisive triumph. Being certain that he has” gathered sufficient proof of a noble wage-price period” is Ueda’s main concern, according to Commonwealth Bank of Australia money strategist Carol Kong.

Chinese consumer prices are increasing by 3.1 % annually. Inflation has now increased for 17 consecutive weeks, down from a 41-year deep of 4.2 % in January.

The problem is that it’s the” bad” kind, imported as a result of rising food and energy costs rather than domestic organic pressures.

Ultra-loose BOJ policies sought to produce” need pull” inflation over the past two decades of QE, and particularly the last ten years, as strong usage drove businesses to raise prices and fat paychecks.

Otherwise, Japan’s inflation is more of a” cost force” type. It owes Vladimir Putin’s invasion of Ukraine much more than the loosening of the BOJ. Between 2013 and 2023, Ueda’s herald Haruhiko Kuroda had exactly the opposite goal. The BOJ’s stability plate was inflated by Kuroda to the point where it surpassed the US$ 5 trillion market of Japan.

Bank of Japan (BoJ) Governor Haruhiko Kuroda is pictured at the bank's headquarters in Tokyo on April 27, 2017. Photo: Asia Times files / Reuters / Kim Kyung-Hoon
Haruhiko Kuroda, chancellor of the Bank of Japan, in 2017. Photo: Kim Kyung-Hoon, Reuters, Asia Times records

At the same time, studies indicate that Japan’s sector, which has 126 million people, isn’t benefiting from this” victory” over inflation. Unexpected dynamics such as price increases over wages are harming home confidence.

This pressure explains why Kishida’s acceptance ratings are, at best, in the low 40s. Kishida said the economy is” already however not completely secure” while speaking at the UN General Assembly this week. He stated that Tokyo would unveil” measures to counter prices” and” cultural measures to combat declining population” the following week.

It’s difficult for Ueda to deal with the social climate. Despite the BOJ’s technical independence, the Tokyo administration frequently rebuffs any action that is deemed to be detrimental to the priorities of the government.

That currently includes the balance of Tokyo companies, which recently reached 30-year highs. Yet Berkshire Hathaway, owned by Warren Buffett, has been betting heavily on Japan Inc., giving the country’s equity bourses the attention of the world for the right reasons.

According to strategist John Vail at Nikko Asset Management Co., this story explains why” the BOJ isn’t going to slow the business too much or delayed things too quickly.”

After all, Kuroda’s ten years in power were coming to an end, and he had enough political clout to start normalizing levels. The” bazooka” storms from Kuroda were widely credited with setting report corporate profits in the middle to late 2010s. The Nikkei Stock Average increased by 57 % in 2013.

The Kuroda BOJ put the financial waters to the test in late December by allowing 10-year bond yields to increase by as much as 0.5 %. As the hankering soared, international markets trembled. The BOJ spent the final weeks of 2022 making significant unplanned bond purchases in an effort to control businesses and signal that QE is still present.

When the BOJ suggested that 10-year yields may increase as high as 1 % in late July, Ueda tried his personal frequency test. International markets trembled once more.

Global funds markets were rapidly affected by worries about rising Japanese government bond yields. For starters, Japan became the world’s top bank country after 23 years of prices that were zero to bad. These funds are then used to invest in higher-yielding assets from Brazil to South Africa to Indonesia, a practice known as the” yen carry trade” by punters. Sharp hankering goes therefore frequently slam businesses everywhere.

Due to ultra-low interest rates, yield-hungry Chinese buyers rose to become the largest foreign holders of US government loan. Additionally, among royal investors, the Japanese government is the largest holder of US Treasury stocks.

Furthermore, Powell’s actions in Washington are the subject of such intense focus. The Fed stated this week that its economists believe it won’t be until 2026 that the average annual inflation returns to 2 %.

We’re entering this with an business that appears to have considerable velocity, as Powell put it. We do, however, run a few challenges.

Jerome Powell, chairman of the Federal Reserve, gives a testimony on March 3, 2022, at the Senate Banking Committee hearing titled” The Semiannual Monetary Policy Report to the Congress.” Tom Williams / Pool

A possible government closing as US lawmakers argue over spending cuts and extra money for Ukraine is one of the immediate challenges. A hit by United Auto Workers may slow down the country’s economy and raise inflationary pressures.

Powell’s team will eventually have to consider what it will do to get that 2 %. Because the majority of US prices after Covid-19 comes from the supply side, Biden’s White House actions to boost productivity and innovation are the best way to address high costs.

However, the Fed is even making up for earlier errors and time lost. Bowing to then-president Donald Trump, who demanded lower US costs, was Powell’s second major mistake. Therefore, the Fed increased economic stimulus in 2019 that the US business didn’t require.

Powell made a mistake once more in 2021 when he claimed that inflation was” transitory.” The Fed rushed to play catch up when it became obvious that it wasn’t.

According to economist Mohamed El-Erian at Allianz, the Fed is currently at a fork in the road as it works to reduce inflation from currently around 3 % to 2 %. The Fed will have to decide whether to support 3 % or higher prices at the end of the year or risk ruining the business, he claims.

El-Erian is concerned that the Fed’s strengthening routine has just recently started to fall off. He issues a warning that by 2024, higher prices will be extremely painful for many companies.

According to El-Erian,” there will be enormous refinancing needs next season if you look at great yield and commercial real estate.” That is the point at which discomfort begins to occur.

There are points in this economy that need to be refinanced but cannot be done so in an orderly manner at these costs, according to El-Erian. Additionally,” some people will tell you that there are numerous disturbed record funds with a large amount of cash on hand.” A match of meat will be played between the two of us.

Fidelity International is also concerned that the US may enter a recession in 2024 due to ongoing debts mortgage issues.

US politicians are an additional wild card for Ueda’s staff in Tokyo. Fitch Ratings deprives the US of AAA status in August, citing rising debt and” regular impairment in standards of management.”

The former allusion was made in reference to Republicans in Congress tinkering with raising the US loan limit. S & amp, P Global Ratings downgraded Washington in 2011 using a similar strategy. Then let’s Fitch.

Ueda’s staff is having visibility issues due to the threat of rising US rates. New economic pressure factors will undoubtedly appear if the BOJ continues to support QE as US yields rise. That may compel the BOJ to use exchange-traded resources to compile yet more Japanese Government Bonds and stocks.

The japanese was, however, surge if the Ueda BOJ turns toward easing, opening a Pandora’s package that Kuroda doesn’t. That could severely reduce Nikkei stock prices and dark Chinese growth prospects.

Ueda made a suggestion this quarter that he is considering entering that field. The BOJ’s focus is on” a quiet exit” that doesn’t slam markets, he told the Yomiuri & nbsp newspaper. He said,” It’s not impossible that we will have enough by the end of the year to anticipate” wage increases in the future.

Ueda claims that” there are some things we can’t view” for the time being. That includes US activities, which may have a greater impact on the timing and course of the BOJ than Ueda in Tokyo. & nbsp,

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China VP Han Zheng warns at UN of 'strong will' on Taiwan

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UN NATIONS: China warned the UN on Thursday( Sept 21 ) not to undervalue its” strong will” toward Taiwan, claiming Beijing preferred peaceful means to seize the self-governing democracy. Vice President Han Zheng reiterated Beijing’s position that Taiwan, around which the mainland has staged numerous military exercises & nbsp, constitutesContinue Reading

Philippines on cusp of new South China Sea cold war

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The offices of Japan and China in Manila engaged in a possibly extraordinary linguistic fight over the most recent developments in the South China Sea as evidence of the Philippines’ growing value as an important tactical front range for big powers.

Koshikawa Kazuhiko, the Chinese ambassador to the Philippines, raised red flags over reports that Chinese forces had caused significant economic harm across disputed waters.

Numerous Chinese militia ships, according to Spanish authorities, caused” extensive” and” serious damage” to coral reefs and the marine environment in the ocean of the Rozul and Escoda dunes on the Spratly group of islands.

The accusations were made just days after the Philippines accused China of” dangerous tactics” against its supplies expeditions to the Second Thomas Shoal, where a Filipino marine detachment is stationed on the Sierra Madre, which is grounded. & nbsp,

The Chinese minister to Manila said: On the software then renamed X( previously known as Twitter )

alarming reports all around. Our planet’s essence is our oceans, and coral reefs are its vibrant breaths. This protect and safeguard these essential communities for future generations.

The Chinese Embassy quickly responded, accusing Tokyo of” disinformation” while focusing on the author’s recent launch of contaminated water into the Pacific Ocean from the Fukushima nuclear plant. In addition, & nbsp,

But, Manila and its supporters are looking into more drastic steps in the South China Sea in addition to verbal conflicts with Beijing. The Philippines, building on its earlier mediation success against the Eastern powerhouse, is on the verge of bringing legal action against China before relevant international organizations. & nbsp,

potential US implementation

While this is going on, some American authorities are pushing for even more drastic measures, such as sending US troops to Thitu Island, which is occupied by the Philippines, and setting up joint Philippine-US ahead operating bases over contentious terrain like the Second Thomas Shoal. & nbsp,

The South China Sea sea tensions have only gotten worse since Philippine President Ferdinand Marcos Jr. ‘ s state visit to Beijing in January, with both factors adopting an exceedingly unyielding position. & nbsp,

In January, Marcos and Xi. Asia Times images

Manila has aggressively scaled back its defense cooperation with Western allies, while Beijing has tightened the noose around Philippine vessels and Philippine-held land features in the disputed areas, most recently releasing a new” 10 – dash-line” map. & nbsp,

Importantly, Manila even adopted a forceful people politics strategy by, among other things, actively exposing alleged Chinese forces harassment and violations of international law in Philippine waters. & nbsp,

The Philippine Coast Guard ( PCG ), which has diligently made footage of its most recent encounters with Chinese counterparts public, reported on Monday that 33 ( August 9 ) and 15 ( September 11 ) Chinese Maritime Militia vessels had been spotted during patrols to the area near Rozul Reef and Escoda Shoal. In addition, & nbsp,

Following guards to the disputed places by the Coast Guard’s BRP Sindangan and CRP Cabra, PCG official Commodore Jay Tarriela stated in a speech that” the surveys conducted in Escoda Shoal revealed visible color of its ocean, strongly indicating that deliberate activities may have been undertaken to change its natural geography.”

The maintenance of the maritime ecosystem in the area showed little to no signs of life, he continued, adding that the presence of crushed corals clearly suggests a possible action of dumping, perhaps involving the same dead coral that were recently processed and cleaned before being returned to the seafloor.

The Bureau of Fisheries and Aquatic Resources, the UP Marine Science Institute, and other pertinent organizations gathered in response to integrate the Philippines’ response, along with the Department of National Defense and the departments of Environment and Natural Resources. & nbsp,

The first to announce the news was the Armed Forces of the Philippines Western Command, under the command of Vice-Admiral Albert Carlos, who issued a warning that” we saw that there were no more coral.” In the & nbsp, there was debris and damaged corals.

Legitimate action is taken into account

The prospects of international arbitration against China were seriously discussed by the Department of Justice and the Office of the Solicitor General ( OSG ) in a significant move. & nbsp,

According to Solicitor General Menardo Guevarra,” The OSG is currently conducting a thorough investigation into our lawful options with regard to the West Philippine Sea, including the registration of new complaints with the Permanent Court of Arbitration.” In addition, & nbsp,

In response to widespread public anger over China’s activities in Spanish waters, Justice Secretary Jesus Crispin Remulla adopted an even more forceful position. & nbsp,

” We are advocating the processing of such lawsuits against those responsible for this heinous act, which is environmental death.” We think it’s possible. These situations against China will be pursued because it is no longer appropriate. We have a ton of facts, Remulla said, calling the actions of the Chinese army forces” a evil against humanity” and promising to bring the matter up as soon as possible with the presidential palace.

The updated map of China( 2023 ) displays a 10-dashed line. JAPAN Forward Map

When Beijing’s expansive” nine-dash-line” claims in nearby waters were rejected by an arbitral tribunal at The Hague established by the United Nations Convention on the Law of the Sea( UNCLOS ), the Philippines defeated China in court in 2016. The Asian power was even criticized for its environmentally harmful reclamation efforts in the South China Sea. & nbsp,

Three years later, top Chinese leaders were accused of routinely violating the fundamental rights and livelihoods of Filipino fishermen in the South China Sea in a communication before the International Criminal Court ( ICC) by two former top officials, former Department of Foreign Affairs ( DFA ) secretary Albert del Rosario and former ombudsman and Supreme Court justice Conchita Carpio-Morales. & nbsp,

The two former officials described the” crimes against humanity” China allegedly committed against the Spanish people through” environmentally harmful and improper reclamations and artificial island creating activities” in their 17-page communication.

Authorities in Manila are once again considering new constitutional measures to denounce China’s activities, despite the ICC withdrawing from the situation and its ongoing dispute with the Marcos management over drug-related extrajudicial murders in the Philippines. & nbsp,

However, a number of American watchers have pushed for more drastic action under the US-Philippines Mutual Defense Treaty. & nbsp,

In order to stop further Chinese assertiveness, Ray Powell, the director of a recently established maritime transparency imitative at Stanford University, proposed combined Philippine-US operations in disputed land features, apparently” civic actions.” & nbsp,

According to Blake Herzinger, another American defense analyst, the Enhanced Defense Cooperation Agreement ( EDCA) calls for the Philippines to create a new” permanent structure” over the contentious Second Thomas Shoal and, more importantly, to have it” manned by combined rotational forces from both the Philippine Navy and the US Marine Corps.” & nbsp,

Powell told this author that” the US was caught flat-footed by China’s aggression against its treaty ally [ Philippines ] at Scarborough Shoal in 2012, and then again by the audacious South China Sea artificial-island-building campaign that followed.” Powell agreed that the two allies should seriously consider making significant moves in the disputed areas, particularly over the Second Thomas Schoal. & nbsp,

Before the clock on the Sierra Madre ticks down to zero, Washington and Manila may be heavy in discussions to build their own strategy to raise or circumvent China’s blockade, he continued, alluding to the continuous decline of the based ship. & nbsp,

Philippine officials appear to be ambivalent about like proposals so much. On the one hand, China may have more justification for using more aggressive tactics with untold unintended consequences if there is a risk of & nbsp, unwelcome escalation. Others, on the other hand, are wary of ideas that might give the impression of a” lord advanced” or tactical paternalism. & nbsp,

Greg Poling, a senior fellow at the Center for Strategic and International Studies( CSIS ), advised this author that we should respect the Philippines’ strategic agency as well.

He said, referring to potential refurbishment and manning of new structures in features it already controls across the South China Sea,” Sure, allies should be helpful, but let’s not forget that Manila is more than capable of taking care of[ many of ] its own needs.” & nbsp,

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Chinese stock drop a wakeup call for Xi’s reformers

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As the “avoid China” theme gains currency with foreign investors, a daunting question confronts President Xi Jinping: What can Beijing do to change a narrative that risks taking on a life of its own?

As Bank of America reports based on its latest global fund manager survey, this sell-China dynamic has morphed into a leading one among respondents controlling roughly US$616 billion in assets under management. What’s more, the exodus seems to be accelerating even as data suggest Asia’s biggest economy may be stabilizing.

On Monday, the CSI 300 Index dropped to its lowest level of 2023 as selling driven by global funds extended into a fifth straight day. The exodus is now well into a sixth straight week despite Xi’s team either introducing or telegraphing fresh moves to buoy confidence. In other words, a losing streak too long in duration to dismiss.

The challenge for Xi is that explanations for China’s stock rout come from a number of angles. One is a mainland property market showing increased signs of distress. Another is weak consumer confidence following Xi’s draconian Covid-era lockdowns. Rising tensions with the West and with key Asian economies including Japan, South Korea and Southeast Asia are unsettling investors, too.

Concerns about Chinese deflation aren’t helping. They’re colliding with uncertainty about how China can escape efforts by Saudi Arabia to jack up oil prices already elevated by Russia’s Ukraine invasion. Ostensibly aimed at damaging US President Joe Biden’s re-election prospects, Riyadh’s antics could undermine Chinese growth as export markets slow.

The solution is for Xi and Premier Li Qiang to accelerate efforts to build deeper, more transparent and globally trusted capital markets.

Li Qiang and Xi Jinping in a file photo. Image: Twitter / Screengrab

“China faces a prolonged and painful downswing as Beijing battles debt deflation,” says Diana Choyleva, chief economist at Enodo Economics. “While further stimulus is coming, simply throwing more money at the problem will no longer make it go away. China needs to secure markets abroad and retain investment to find its feet amid ideological obstacles to consumer spending.”

On Monday, central bank Governor Pan Gongsheng pledged to accelerate moves to stabilize trade and strengthen the business environment for foreign companies and investors. Pan made his remarks about putting out a bigger welcome mat for foreign capital at a forum attended by executives from BNP Paribas, Deutsche Bank AG, HSBC Holdings Plc., JPMorgan Chase & Co., Tesla Inc. and UBS Group AG, among others.

Pan signaled that Beijing is mulling steps to level the playing field and strengthen the operating environment for overseas companies.

Last month, the China Securities Regulatory Commission rolled out a series of steps to “boost capital market investor confidence” in bonds and stocks. They include cutting stamp duties on securities transactions and a more selective process for executing initial public offerings. 

Beijing slashed the levies on trades to 0.05% from 0.1%, the first such reduction since 2008. The step is meant to, as the Ministry of Finance explains, “invigorate capital markets and boost investor confidence.” So might the CSRC’s decision to slow the pace of IPOs amid “recent market conditions” characterized by extreme price volatility.

Xi’s regulators are moving to limit share sales by top stakeholders when prices drop below IPO levels or net asset levels. They also cut margin ratios for leveraged trades.

“The scale, force and speed of the measures all beat expectations,” says analyst Pu Han at China International Capital Corp. “The increasing force of the policy tools will lift market confidence, amplifying the positive signal for the market.”

But not positive enough, it seems, as stocks extend losses. In the nearly five weeks since giant developer China Evergrande Group filed for bankruptcy, an even brighter spotlight has been trained on a troubled sector that can generate as much as 30% of China’s gross domestic product. It’s raised fresh questions about China’s growth-at-all-costs development model.

Foreign holdings of China’s equities and debt dropped by nearly US$189 billion from a December 2021 high through the end of the first six months of 2023. Beijing regulators recently telegraphed new steps to deepen capital markets, even soliciting advice from investors including BlackRock Inc. and Bridgewater Associates.

“The weak growth picture is now causing markets to position once again for a yuan devaluation, even though the historical record argues strongly against this possibility and trade-weighted yuan has actually been rising,” says economist Robin Brooks at the Institute of International Economics.

For now, Brooks doubts that’ll happen. “China tried repeatedly to devalue its currency against the dollar in the course of 2015 and 2016. Those attempts proved deeply counterproductive, because capital flight sharply tightened financial conditions, the opposite of what devaluation is supposed to accomplish.”

Given abundant liquidity and sizable debt overhang, Brooks says, “the potential for capital flight is still very much alive, so that devaluation – almost a decade later – still isn’t an option as a cyclical stimulus tool. That said, markets’ growth worries are overdone.”

China, Brooks notes, does face medium-term growth challenges, but recent weakness – especially on the export side – reflects a shift in global demand away from goods and back to services, a cyclical unwind of Covid distortions. “As such,” he concluded, “domestic policy easing – not devaluation – should be sufficient.”

In recent days, the PBOC has shown a greater willingness to cut the amounts of cash banks must hold as reserves. On September 14, it cut the reserve requirement ratio by another 25 basis points. It is injecting liquidity into the banking system to support growth. On Monday alone, the PBOC conducted about US$26 billion of seven-day reverse repos at an interest rate of 1.8%.

The headquarters of the People’s Bank of China, China’s central bank. Photo: Asia Times files / AFP

Economist Carlos Casanova at Union Bancaire Privée thinks the PBOC will likely leave its 1-year and 5-year loan prime rates on hold pending news from Washington. “We believe that PBOC may want to wait until after the Federal Reserve’s September meeting to deliver stimulus,” Casanova explains.

For now, the consensus view is for the Fed to leave rates on hold. But underlying data have been stronger than expected, so “we can’t exclude the risk of a potential 25 basis-point surprise in September,” Casanova says.

“Irrespective of what the Fed votes for,” Casanova says, “US rates should remain higher for longer and the PBOC will have better visibility after this week, enabling it to better calibrate the policy balance to effectively spur aggregate demand without exacerbating depreciatory pressures and stoking capital outflows.”

In general, though, the PBOC is reluctant to ease aggressively, worried it might just incentivize more bad behavior. That bet might now be paying off as Chinese data start to come in firmer than expected.

“All in all, this latest set of key economic data suggests that the risk of a deflationary spiral in China has abated by another notch,” says analyst Kelvin Wong at OANDA.

Analysts at Barclays Bank write that “we look for some downside to USD/CNY in the short run, given a slew of upside economic surprises and the PBOC’s continued effort to cap dollar/yuan upside.” They add that “daily fixings still record large deviations from the market consensus in favor of Chinese yuan strength, suggesting current spot levels still remain uncomfortable for the central bank.”

Still, Xi’s team must step up the pace of reforms to restore overseas investors’ trust in Chinese markets. Since 2013, Xi has pledged to let market forces play a “decisive” role in Beijing decision making. For all China’s promises, it’s still a buyer-beware market as opacity reigns.

In March, Xi entrusted the reform process to Premier Li, who’s since promised to accelerate the moves to diversify growth engines. One key priority is creating deeper and trusted capital markets so that households invest in stocks and bonds in addition to property.

Such retooling is needed to change the narrative that Chinese markets are underpinned by a developing economy with limited liquidity and hedging tools, a giant and opaque state sector and an immature credit-rating system that obscures risk and enables the chronic misallocation of capital.

An immediate challenge for Xi and Li is getting a handle on local governments. Namely, containing risks in the local government financing vehicles (LGFV) space. Beijing must balance defusing a potential liquidity crisis involving some US$9 trillion of off balance-sheet municipal debt with supporting growth. So far, Xi and Li have tried to do so without major public bailouts that might squander progress on reducing financial leverage.

A sudden rash of LGFV defaults could make today’s worries about developer Country Garden seem trivial. That could tip China’s $60 trillion financial system into ever greater turmoil.

In recent years, foreign investors wondered whether China might be facing a Lehman Brothers-like reckoning. Or, given the extreme opacity surrounding off-balance-sheet dealing, some have tried to view China’s risks through the lens of Enron Corp. A better frame of reference may be the 1997 Asian financial crisis.

A small investor watches share prices inside a bank in Hong Kong on December 1, 1998. The 1997-98 Asian financial crisis triggered a market sell-off. Photo: Reuters/Larry Chan
A small investor watches share prices inside a bank in Hong Kong on December 1, 1998. The 1997-98 Asian financial crisis triggered a market sell-off. Photo: Asia Times files / Reuters / Larry Chan

In some ways, the property-overhang dynamic plaguing China’s 2023 echoes Southeast Asia’s predicament 26 years ago. As top-heavy economies from Bangkok to Jakarta to Seoul hit a wall, investors fled, crashing currencies. That made dollar-denominated debt impossible to manage. Default rates exploded across the region.

China’s provinces face a similar problem as property markets that long drove local GDP and tax revenues crater. All this risks setting off any number of chain reactions that Xi and Li must act faster to avoid.

“A collapse in local government investment would be comparable to the economic impact of the crisis in the property market,” says Logan Wright, director of China markets research at Rhodium Group. As such, he adds, the “most important variable impacting” the second-biggest economy “will be the success or failure of local government debt restructuring.”

Clear progress could go a long way to restoring confidence among international money managers.

Since July, Xi and Li have been prodding municipal leaders to curb financial risks and leverage. Steps include allowing local government leaders to raise about $137 billion from bond sales to pay down LGFV debt levels. Beijing is also mulling having the PBOC channel liquidity to the most-at-risk LGFVs.

The trick is doing so without a return to the boom-and-bust cycles China has been trying to end. 

“Massive new spending and/or lending now would make those asset price bubbles even worse,” explains William Hurst, a China development expert at the University of Cambridge. It might just “continue to crowd out consumption and more productive investments. And it would make it more difficult and costly down the road – maybe even prohibitively so – to do this again.”

The trouble with such “inflection points and critical junctures,” Hurst adds, is that “any really big macro-level change will be slower in coming and harder to see in real-time.”

Bo Chen, deputy managing partner at the Deloitte China Corporate Governance Center, says that “the effectiveness of the plan hinges on the government’s ability to balance political and professional interests and retain financial regulatory talent.”

Going forward, Chen adds, “all domestic and foreign financial institutions in China will face a comprehensive and increasingly stringent regulatory environment. It is essential for financial institutions to follow the lead of the regulatory regime reform, reshape and strengthen their corporate governance and be ready for the future.”

That’s why it’s vital for Xi and Li to do a better job of explaining the strategy and the timeline for modernizing the financial system – transparently and credibly. Such openness hasn’t been a hallmark of the Xi era. As Beijing pivots toward big-picture reforms, it’s high time it ensured that skittish global investors get the memo.

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Chandrayaan-3: How important are India's Moon mission findings?

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A photo of the Vikram lander taken by Pragyaan rover on WednesdayIsro
Geeta Pandey
Delhi-based BBC News

India made history last month when it was the first nation to launch a celestial objective close to the north pole of the Moon.

The lander and rover of Chandrayaan – 3 — known as Vikram and PragyaAN — stayed in the area for about 10 days, gathering information and images that were then sent back to Earth for analysis.

Experts put them to sleep earlier this month as the Sun started to set on the Moon. The lander-rover needs sunlight to recharge its batteries in order to operate. Isro, the nation’s area research organization, expressed the hope that they would awaken” around 22 September” when the following lunar day begins.

Isro has shared pictures of them as well as regular updates on their whereabouts and studies.

Many Indians are enthusiastic about these updates, but others have been curious about the impact of these findings.

Previous NASA scientist and co-founder of the Delhi-based place education company Stem and Space, Mila Mitra was tasked by the BBC with selecting some of Chandrayaan-3’s key findings and outlining their significance.

The length traveled- and avoided craters

Isro reported that Pragyaan” has traversed over 100m ] 328 feet ] and is continuing” hours before the rover was put to sleep on September 2.

For the six-wheeled vehicle, which travels at a rate of 1 cm per second, that’s quite some distance to travel.

The fact that it has managed to stay healthy and prevent falling into the holes that dot the Moon’s little-explored southern pole region, according to Ms. Mitra, is also important.

She claims that the rover’s unique wheel system, known as the rocker bogie, prevents all of its wheels from moving in unison, allowing it to travel both up and down, but if it falls into a serious crater, it might not be able to exit. Therefore, it’s crucial to force it to circle the holes or even go backwards. And that is carried out by researchers at the command center who are” watching the Moon through the spacecraft’s eyes ,” Ms. Mitra continues.

The command center, which acts on the basis of the images it sends, controls the rover’s activities and it is not automated.

Because of the detour they take, there is a little wait before they arrive at the command center. Pragyaan sends them over to the spacecraft, which then launches them into the spacecraft and passes them on Earth.

The distance covered by the lunar rover

Isro

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Therefore, the risk is a few steps closer by the time the order reaches the rovers.

However, Ms. Mitra adds that the fact that it was able to properly navigate around two craters demonstrates how fast it can communicate with the command center.

hot and cold whipping

A probe on board the Vikram lander’s initial set of data from the lunar topsoil and up to 10 cm( 4 inches ) below the surface revealed a significant temperature difference between the two regions.

It dropped sharply below the surface, dropping to – 10C at 80mm( roughly 3 inches ) below ground, despite the temperature being close to 60C there.

The Moon is renowned for its extremely high temperatures; according to NASA, daytime temperatures near the lunar equator can reach boiling 120C ( 250F ), while nighttime lows can drop to – 130C ( 208F ). Additionally, temperatures of – 250C(- 410F ) have been measured at craters that never experience sunlight and are always covered in shadows.

However, according to Ms. Mitra, this important temperature variation is due to the fact that the solar regolith, or Moon’s soil, is a very effective insulator.

This may imply that it could be used to create place colonies to block out heat, cold, and radiation. She claims that by doing this, it may act as a natural habitat metal.

Additionally, it might be a sign that there is water snow below the floor.

An explanation of the Moon’s development

Numerous chemicals, including aluminum, magnesium, copper, chromium, platinum, titanium, golden, and air, were discovered when a laser detection mounted on the vehicle was used to measure the chemical composition of the lunar surface near the south pole.

But according to experts, the most significant studies are related to sulfur. The instrument’s” first-ever in-situ” measurement in the initial space” explicitly confirms” the presence of sulfur, according to Isro.

Sulfur’s presence on the Moon has been known since the 1970s, but according to scientists, it is” a tremendous success” that the vehicle was able to measure sulfate on its own surface rather than inside a mineral or as part of crystal.

The presence of sulfur in the ground, according to Ms. Mitra, is important on a number of counts.

This will advance our understanding of how the Moon was formed, how it evolved, and its geographical because sulfur typically comes from mountains.

It also suggests that there is water ice on the lunar area, and since sulfur is a good fertilizer, it is great news because it can aid in plant growth if there are habitats there.

Was there actually a moonquake?

The Vikram spacecraft carries a device that measures vibrations coming from both the vehicle and its activities as well as its own research and experiments.

Isro claimed that the Instrument for Lunar Seismic Activity ( Ilsa ) was recording” an event, appearing to be a natural one” and looking into its source while keeping its ear to the ground.

The lander recorded an event "appearing to be a natural one"

Isro

There could be a number of explanations for this, Ms. Mitra adds, adding that this event’s bounty was much greater and consequently significantly stronger.

” Space debris, like a rock or an asteroid, could be hitting the edge.” Or it might be tectonic, making it the first Moonquake to be observed since the 1970s. The landscape and what lies beneath the Moon’s floor could then be explained in that case.

What exactly is celestial blood?

Many people questioned what it meant when Isro announced on X( previously Twitter ) that a probe on the lander had completed the” first – ever measurements of the near-surface lunar plasma environment” in the south polar region and found it to be” relatively sparse.”

According to Ms. Mitra, the term” blood” describes the presence of charged particles in the atmosphere that could obstruct Chandrayaan-3’s radio wave communication.

It is great news that it is extremely limited or skinny because it will significantly lessen radio communication.

The rover hopped when

Isro referred to the Vikram lander’s final act before being put to sleep in early September as a” fly study.”

The lander was” commanded to fire its engines, it rose up by about 40cm ] 16 inches ] and landed at a distance of 30 to 40 cm ,” according to the agency.

On Monday Isro released images of the pre- and post-hop of Vikram lander

The aircraft could be used in the potential for human missions or to return samples to Earth thanks to this” successful trial ,” it was added.

May India’s future space plans benefit greatly from this quick hop, then?

The” hop tested restarting the engine after a lunar landing to make sure it is still operating fine ,” according to Ms. Mitra.

Since the testing and actual lift-off have so far only come from Earth, it also showed that the ship has the” capacity for raise – away in a celestial soil environment ,” she continues.

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Learn more about India’s lunar vision from the BBC:

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