Brookfield raises .4bn for catalytic transition fund, names four new investors | FinanceAsia

Brookfield Asset Management has closed $2.4 billion for its Catalytic Transition Fund (CTF), as it seeks to raise up to $5 billion for deployment towards clean energy and transition assets in emerging markets. These include funds from CDPQ, GIC, Prudential and Temasek.

CTF was previously launched at COP28 with up to $1 billion of catalytic capital provided by Alterra, the world’s largest private investment vehicle for climate finance based in the United Arab Emirates, with the purpose of mobilising investment at scale to finance a new climate economy.

Alterra’s fund commitment has been designed to receive a capped return, thereby improving risk-adjusted returns for other investors in the fund, according to a statement. 

Brookfield has committed to provide 10% of the fund’s target to align itself with investment partners and investors.

The partnership is designed to help drive clean energy investment into emerging markets, where investment needs to increase sixfold over current levels to reach the $1.6 trillion required annually by the early 2030s in line with global net zero targets.

CTF is focused on deploying capital into clean energy and transition assets in emerging markets in South and Central America, South and Southeast Asia, the Middle East, and Eastern Europe.

In Asia, FinanceAsia understands that target markets will include Vietnam, Thailand, Indonesia, Malaysia and the Philippines.

The fund expects to announce its initial investments later in 2024, and a traditional first close – with additional capital from Brookfield’s ongoing fundraising efforts through its extensive network of institutional investors – is expected by early 2025.

H.E Majid Al-Suwaidi, CEO of Alterra, said in a statement: “CTF demonstrates Alterra’s catalytic capital as a powerful multiplier of climate finance to the Global South. This early momentum around CTF shows strong global demand not just for climate strategies, but for opportunities to invest in climate solutions in emerging markets.”

Al-Suwaidi said: “Alterra looks forward to working with CDPQ, GIC, Prudential and Temasek and other partners who share our ambitions to redefine how the world invests in climate solutions and go beyond business-as-usual to deliver positive impact for both people and planet.”

Mark Carney, chair and head of transition investing at Brookfield Asset Management, said: “These anchor commitments from CDPQ, GIC, Prudential and Temasek demonstrate significant momentum for the CTF.”

Carney added: “The support from the world’s most sophisticated investors for the CTF strategy underscores the unique combination of the major commercial opportunity and the climate imperative. We look forward to working with other like-minded investment partners to accelerate the transition in these critical and vastly underserved markets.”

Marc-André Blanchard, executive vice-president and head of CDPQ global and global head of sustainability, said: “Globally, around $6.5 trillion will be needed yearly for the energy transition over the next 15 years. It’s a staggering figure, and various partnerships and investments are necessary to accelerate the path forward.”

Don Guo, chief investment officer, Prudential, said: “We believe there is an opportunity to drive scalable positive change in emerging markets through investing in the climate transition. Prudential’s investment in Brookfield’s CTF underscores our belief that responsible investment is not only an environmental imperative but also a significant opportunity for growth in emerging markets.”


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Resurgent Quad puts China on a new defensive edge – Asia Times

For the fifth Quad Leaders ‘ Summit, US President Joe Biden hosted for the last moment his peers from Japan, Australia, and India in Manila this year.

The US head focused on institutionalizing participation and the alleged threats posed by China in remarks made by Australia’s Prime Minister Anthony Albanese, Japan’s Prime Minister Kishida Fumio, and India’s Prime Minister Narendra Modi in his home state of Delaware.

” China continues to behave violently, testing us all across the place, and it’s true in the South China Sea, the East China Sea, South China, South Asia and the Taiwan Straits”, Biden told his brother Quad officials. &nbsp,

” At least from our perspective, we believe Xi Jinping is looking to focus on domestic economic problems and minimize the volatility in China diplomatic ties, and he’s also looking to buy himself some diplomatic place, in my view, to forcefully pursue China’s attention”, Biden said during the high-level meet in a hot-mic time.

Although more measured in their joint statement, the four strong political leaders announced a series of innovative initiatives with a growing emphasis on quality system growth, security, semiconductors and, most crucially, coastal security.

In particular, they announced the launch of mutual coast guard procedures for 2025 regardless of who wins the White House following the November election, and made a promise to improve military logistics cooperation by expanding the previous Indo-Pacific Partnership for Maritime Domain Awareness.

Beijing was quick to criticize and even denounce aspects of the meeting, despite Quad leaders ‘ attempts to portray the event as a more comprehensive and constructive gathering. The grouping was too “loose” and informal to have any impact on the global and regional balance of power, according to the state-backed Global Times.

Chinese experts who claimed the Quad was inciting “bloc confrontation” and adopting a Cold War-style mindset at the expense of regional security in Asia were also featured in the same nationalist newspaper.

In a press conference earlier this year, Chinese Foreign Ministry spokesperson Lin Jian was reported as accusing the four partner nations of “scaremongering, inciting antagonism and confrontation, and holding back other countries’ development”.

China’s growing interest in maritime security and its increasingly harsh criticism of the Asian power’s actions in neighboring waters seem to have been particularly piqued by Quad’s growing focus on maritime security.

The leaders of the US, Japan, Australia, and India” serious concern about the situation in the East and South China Seas,” according to a thinly veiled criticism of Beijing.

The risky “new normal” of constant clashes and near-clashes between Manila and Beijing in the South China Sea in recent months raises concerns for the US and its allies especially.

India has become more active in regional maritime disputes by publicly supporting and arming the Philippines with advanced weapons, including its potent supersonic BrahMos missiles, despite not being a claimant state or a US ally.

Indian officials have occasionally used the phrase” West Philippine Sea” to describe Manila’s claims in the disputed South China Sea waters.

In the East China Sea, Japan is directly involved in maritime disputes with China over the Senkaku/Diaoyu islands. In addition to expanding its security cooperation with Manila, Tokyo recently signed a Reciprocal Access Agreement (RAA ), which places a greater emphasis on emergencies in the Taiwan Strait and the South China Sea.

It has close security cooperation with both Japan and the Philippines under a Status of Forces Agreement and is an Australian ally of the US. In recent quadrilateral naval patrols with the Philippines and the US in the South China Sea, both Japan and Australia have participated.

However, Washington, which has a Mutual Defense Treaty ( MDT ) with the Philippines and is concerned about the escalated situation, which many fear could soon put to the test against China.

The US Indo-Pacific Command ( INDOPACOM) provided, in a first, direct assistance in joint resupply missions to hotly disputed features like the Second Thomas Shoal, which is a de facto Philippine military base, following numerous near-clashes and direct collisions between Chinese and Filipino maritime forces in recent months.

The Philippines and China were successful in reducing tensions over the Second Thomas and Sabina shoals following several rounds of bilateral negotiations, including the recently concluded Bilateral Consultation Mechanism high-level meeting in Beijing.

Upon closer examination, however, there is every indication that the South China Sea disputes have entered an unstable and dangerous “new normal”.

Tensions have resumed over the Second Thomas Shoal in recent days following weeks of relative calm and no significant incidents involving Chinese and Philippine maritime forces.

According to Philippine authorities, between September 17-23, China deployed as many as 251 vessels, representing a new milestone in China’s “gray zone” swarming tactics in the disputed maritime area.

” This time, this is the biggest increase we’ve seen”, Rear Admiral Roy Vincent Trinidad, the Philippine Navy spokesperson for the South China Sea, told reporters this week.

According to him, “if we notice, the total number of maritime militia vessels in the entire South China Sea could be between 350 and 400.” He also warned of a dangerous increase in China’s presence across disputed waters at the expense of smaller claimant states.

China has largely adhered to its non-lethal gray zone tactics, including frequent ramming and water cannoning of smaller Philippine vessels. Under the mutual defense treaty between the two countries, any “armed attack” against Philippine troops or vessels would automatically lead to American military intervention.

China has, however, successfully used its enormous fleet, which is currently the largest on earth, to determine the speed and coordinates of maritime conflict across the South China Sea.

From Beijing’s perspective, its true rivals are not smaller claimant states such as the Philippines, which has a modernizing yet still limited fleet of warships, but rather the US and the broader Quad.

China believes it is facing nothing less than a Washington-orchestrated” containment” strategy in tandem with a network of regional treaty allies and strategic partners, most notably India.

For Chinese analysts, the Quad is playing a “detrimental role of fomenting confrontation and inciting geopolitical tensions in]the ] Asia-Pacific”.

Ding Duo, deputy director of the Institute of Maritime Law and Policy at the National Institute for South China Sea Studies, stated to the Global Times that “targeting China” is done at a strategic level as well as tactical arrangements and specific plans.

According to Li Haidong, a professor at the China Foreign Affairs University, the Quad is” US-led and serves as a strategic tool in its competition with China at both regional and global levels.”

Even senior Chinese officials are starting to criticize the Quad with similarly harsh words, reflecting growing concerns in Beijing over the formation of a new Cold War with the West.

” Quad keeps chanting the slogan of a free and open Indo-Pacific, and all the while, it has been scaremongering, inciting antagonism and confrontation, and holding back other countries’ development”, underscoring Beijing’s threat perceptions towards the quadrilateral grouping.

“]The Quad ] runs counter to the overwhelming trend of pursuing peace, development, cooperation, and prosperity in the Asia-Pacific and will by no means gain any support”, Chinese spokesperson Lin said at a press conference earlier this year. China “firmly opposes the bloc confrontation they incite in the name of “anti-coercion,” and the enforcing of house rules in the name of maintaining order.

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Quad to survive and thrive after Biden, Kishida – Asia Times

The third in-person Triple officials ‘ summit was held in Wilmington, Delaware, the town of US President Joe Biden, on September 21, 2024 amid confusion about the grouping’s potential.

The conference marked the end of a certain time because it was the next meeting to feature retiring US President Biden and Japanese Prime Minister Fumio Kishida.

In order to host the summit in his last year as president, Biden and India agreed that the US and India had exchange host years, giving Prime Minister Narendra Modi the opportunity to do so.

Another real reason for holding the Quad in the US was that it gave Kishida one more chance to participate before the governing Liberal Democratic Party’s ( LDP ) presidential election on September 27, 2013.

Kishida, who is not running for re-election, is attending his past political function as prime minister, along with Modi and Australian Prime Minister Anthony Albanese, at the United Nations General Assembly.

Functional outcomes

The Indo-Pacific Quad’s incarceration efforts and reputation as a service of public goods are further strengthened by the Wilmington Declaration. The charter introduced six new activities:

  • The Indo-Pacific country’s cancer death rate is being reduced by the Quad Cancer Moonshot Initiative. The Quad states will expand treatment options and care, improve access to tests, and encourage more HPV vaccines to combat cervical cancer, possibly saving the lives of millions of women. They will do this thanks to innovations developed in Queensland, Australia.
  • Increasing training and enhancing existing capacities to ensure that regional partners can continue to strengthen their ability to thwart illegal marine operations through the expansion of the Quad Indo-Pacific Partnership for Marine Domain Awareness ( IPMDA ).
  • By bringing together Triple partners to create a joint Triple aircraft power, the Indo-Pacific Logistics Network Pilot aims to increase the performance, performance, and timeliness of humanitarian aid and the response to natural disasters in the Indo-Pacific region.
  • In order to improve maritime security and interoperability among Quad coast guard units, the second Quad-at-Sea send spectator goal will be launched in 2025 as part of the Quad Coast Guard Cooperation.
  • However, in collaboration with governments in Southeast and South Asia as well as Pacific area states, the Quad will create an Indo-Pacific sea training program – MAITRI, which means “friendship” in Sanskrit. Now, Quad member states provide individual instruction for these nations, including exercises in sea rescue and improper fishing monitoring. The planned initiative aims to increase their performance by synchronizing the exercises to minimize clash. The first MAITRI workshop may be held in India in 2025.
  • A quadratic coastal legal dialogue will help to advance the Indo-Pacific’s rules-based sea order.

The Delaware Summit commemorated the Quad’s 20th celebration. The Quad was established in 2004 as an ad hoc system to coordinate disaster reaction in the midst of the storm in the Indian Ocean.

Shinzo Abe, the then-prime minister of Japan, suggested calling the gathering the Quadrilateral Security Dialogue in 2007. The file did not succeed, however, because many individuals were concerned about upsetting China.

Abe, yet, always gave up on the Quad. The four original Quad places reaffirmed their commitment to the Quad model in soon 2017, on the eve of the ASEAN Summit in Manila.

The Quad gained momentum despite the release of independent push releases outlining specific local objectives. In 2019, they held their second ministerial-level gathering on the outside of the UN General Assembly.

During the Biden-Kishida time, the Quad more institutionalized itself. In March 2021, the Quad officials held their first digital Leaders ‘ Summit. This introduced a move from merely speaking to speaking. They established working organizations on climate change and crucial systems, and they pledged to provide one billion Covid-19 immunizations to the Indo-Pacific.

Although the future US and Japan elections may result in new leadership interactions, the Quad style will most likely survive. The gathering of the main sea governments is not representative of any one management or set of views, according to Mira Rapp-Hooper, senior producer for East Asia and Oceania at the White House, but rather a set of enduring objectives shared by all four countries.

In Japan, the Quad carries both Abe’s and Kishida’s legacy. The LDP is largely supportive of the Quad Agenda and Free and Open Indo-Pacific Strategy.

In the US, it is likely, if elected president, that Kamala Harris will remain the Biden administration’s method to the Quad. If Donald Trump wins, it is also possible that his administration will continue to support the strategy he supported as chairman in 2017.

Next, in recognition of the growing connection between the Indian and Pacific oceans, his administration changed the name of the US Pacific Command to the US Indo-Pacific Command in 2018. The US Strategic Framework for the Indo-Pacific was eventually released by the Trump presidency in 2018.

Erik Lenhart is a former Deputy Chief of the Mission of the Slovak Republic in Tokyo and graduated from Charles University with an MA in social research.

Michael Tkacik holds a JD from Duke University and a PhD from the University of Maryland. Tkacik’s current research interests include the relevance of China’s fall, China’s actions in the South China Sea, and atomic weapons plan across Asia. He is the head of the School of Honors at Stephen F. Austin State University in Texas and a professor of authorities there.

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India-US: Modi meets top US tech leaders amid semicounder push

Major technology companies in the US have been urged by Indian Prime Minister Narendra Modi to look into India as a place to work and innovate.

A moment after attending the annual conference of Quad states, which also includes the US, Australia, and Japan, he met Directors of software companies in New York.

India has been positioning itself as a viable option to China to draw in foreign companies looking to expand their supply stores.

The nation has put a particular emphasis on semiconductor manufacturing in the last few years, but it still leaves big players like China and Taiwan far behind.

Modi’s meet with the technical officials on Monday was attended by 15 leading Executives, including Google’s Sundar Pichai, Adobe’s Shantanu Narayen, IBM’s Arvind Krishna and NVIDIA’s Jensen Huang.

Addressing the meeting, Modi said,” they may co-develop, co-design, and co-produce in India for the earth”.

India’s international department said in a statement that the roundtable meeting touched upon humankind’s use in inventions,” which have the ability to revolutionise the global market and people development”.

Modi also addressed a rally of Indian-Americans whom he called “brand ambassadors” of the country and told the crowd of 15,000 in New York that India was key to “global development, global peace, global climate action, global innovations, global supply chains”.

On the outside of the Quad conference on Saturday, Modi and US President Joe Biden met and signed numerous partnerships.

The India-US semiconductor pact – which they have described as a “watershed arrangement” – aims to establish a fabrication plant which will produce chips for national security, next-generation telecommunications and green energy applications, said a joint release.

This is India’s first such project with the US in which the country will provide chips to the US armed forces, allied militaries and Indian military.

Previous attempts at building homegrown semiconductor manufacturing industry in India have not seen desired results. But as the US aims to build resilience against China’s semiconductor industry – vital for modern technology – the deal gives a renewed fillip to India.

The Indian Express newspaper reported that the plant will focus on “three essential pillars for modern war fighting: advanced sensing, advanced communications and high voltage power electronics”.

This was Modi’s first US visit since he won his third term in June, and it came just weeks before the Democrats are contesting re-election from the Republican party.

Trump had previously stated that he would meet Modi and that he was” a fantastic man.” However, this meeting has n’t taken place because Indian diplomats have n’t been in touch with them.

The Quad leaders released a joint statement on Saturday that was primarily focused on maritime security in the Indo-Pacific region.

“We strongly oppose any destabilising or unilateral actions that seek to change the status quo by force or coercion…We seek a region where no country dominates and no country is dominated – one where all countries are free from coercion, and can exercise their agency to determine their futures,” the statement read.

According to analysts, the statement did n’t mention China, but it did say that a large portion of the message was directed at the nation. Additionally, they noticed a much stronger language-feeling.

The language in the joint statement on provocations in the South China Sea is stronger than it has ever been, despite not directly referring to China. And that’s because all four Quad states are becoming more concerned about the rising Chinese activity there, according to Michael Kugelman, director of the South Asia Institute at the Wilson Center think-tank in Washington.

The Quad partners also announced the expansion of maritime surveillance, a pilot logistics network for natural disasters and a project to combat cervical cancer.

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Hiring at Citigroup Singapore to pick up, says global firm’s head of wealth

Hiring DBS ‘ Yeo Wenxian, who did begin her position as Citi’s mind of wealth for South Asia on Nov 1, is a” sign that we’re out in the business, looking for solid talent”, Mr Sieg said.

” We can engage in progress with tremendous confidence, because we’re seeing a level of productivity across our team, which is the output that you need to encourage investment”, he said. &nbsp,

Pointing to the selecting of Ms Wen, he said Citi Singapore has been a “magnet” for unusual skills.

She “represents what we hope and anticipate seeing a lot more of,” he said,” which is directly grown ability playing functions that are accessible here.”

“EPICENTRE” OF GLOBAL WEALTH CREATION

Mr. Sieg’s optimistic outlook on the Singaporean money business is influenced by its rapid growth.

The city-state is the “epicentre” of global wealth creation alongside Hong Kong, said Mr Sieg, who is in the state for F1 customer events and internal organization sessions.

One of the pillars of Citi CEO Jane Fraser’s ambitious change strategy, which was made public last year, is money control.

Mr Sieg noted that Singapore’s main responsibility largely comes from its position as a site of home offices, which he called a “major contribution” to the firm’s business.

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Tessa Dann to lead SocGen’s Apac sustainable finance team | FinanceAsia

Tessa Dann has been appointed head of sustainable finance, Asia Pacific ( Apac ), effective September 14, according to a Société Générale ( SocGen ) Corporate and Investment Banking spokesperson.

Based in Sydney, Dann ( pictured ) most recently held the role as head of sustainable finance for Australia and New Zealand at SocGen, since 2023. She has experience at the Queensland Treasury Corporation as well as working in the sustainable finance department at Australia and New Zealand Banking Group ( ANZ ) for almost four years prior to joining the French bank.

In her new position, Dann reports to Paul-Antoine Thiebot, head of lasting and positive effects financing, Apac. In March, Thiebot, who has a base in Singapore, joined the French institution.

The team has recently acted as bookrunners in the Commonwealth Bank of Australia’s €1 billion ($ 1.1 billion ) 10NC5 green Tier 2 notes issuance in May 2024. It also acted as a sustainability coordinator on the conversion of Australian property firm Cromwell’s multi-bank A$ 1.2 billion ($ 811 million ) lending facility to a green and sustainability-linked loan in June 2024.

By 2025, SocGen intends to donate €300 billion to sustainable funding.

In Apac, SocGen has headquarters in mainland China, Hong Kong, Australia, Japan, India, South Korea, Singapore, Taiwan, Indonesia, Malaysia and Vietnam, according to its site.

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Imran Khan and the power struggle for Pakistan

Getty Images An emotional man is restrainedGetty Images

The roads in Islamabad have been lined with shipping vessels, road blocks ready for deployment right away in the event of any opposition for weeks.

Every time the authorities sense that there may be unrest in Pakistan’s capital, full regions are being sealed off. It serves as a regular reminder to the state’s residents that anything could possibly point at any time.

Next Sunday, the vessels were out in force, blocking 29 routes around the area.

In a much-publicised and anticipated political rally, Imran Khan’s Pakistan Tehreek-e-Insaf ( PTI ) supporters made their way in their thousands towards Islamabad. A poster of the former prime minister, which had balloons in the air, was gently floated behind as the audience waved flags and banners. Others wore strange veils of Imran Khan’s experience. Slogans of” Imran Khan Zindabad” ( long survive Omar Khan ) echoed around the place.

Although the containers were not inside, supporters ‘ video posted on social media shows them kicking the corrugated metal away before scurrying through the facility to the rally’s place.

The man whose face was outside was not in enrollment. Imran Khan has been acquitted of corruption and facing charges of leaking position techniques for more than a year.

Mr. Khan has made clear that all of the allegations against him are politically motivated. However, despite seeing his words overturned and a working team from the UN declaring that he had been “arbitrarily detained,” there appears little movement toward his discharge. Most experts say that without the obvious say-so from Pakistan’s socially strong government, Mr Khan will not be let out.

That did n’t stop the political commitments made on Sunday by PTI leaders.

” Listen Pakistanis, if in one to two months Imran will not be released legally, then I swear to God we may launch Imran Khan ourselves”, the chief minister of Khyber Pakhtunkhwa, Ali Amin Gandapur, bellowed from the stage. ” Are you ready”?

Getty Images A large crowd waving flags and placards in support of Imran KhanGetty Images

The onslaught

The response came fast.

On the night of the following evening, expression of the assault had begun to spread across TV news channels and social media. The group’s chairman and MP Gohar Ali Khan was spotted by the Pakistani parliament’s surveillance footage being marched out of the building with his arms tightly pressed against him by the police, cameras, and wireless devices.

Shoaib Shaheen, another member of the National Assembly, was reportedly seen being immediately hustled out of the room as people streamed through many doors on CCTV footage that was allegedly captured inside the building.

Uncertainty over who exactly was arrested was rife on WhatsApp parties. The authorities merely confirmed three prosecutions to the BBC by the night, despite the PTI reporting that the amount was higher than ten. Mr Gohar was afterward released, but many people remained in police custody.

The initial assumption was that these prosecutions had been made in accordance with a new law, which was only passed last week and which Amnesty International’s director described as” an additional attack on the right to liberty of peaceful legislature.” The Quiet Assembly and Public Order Act 2024 work restricts public meetings and proposes three-year prison terms for individuals of “illegal” meetings, with 10-year prison for repeat offenders.

The authorities had previously complained that the PTI had already gathered before the designated cut-off time and that this had resulted in a” serious law and order position” because they had already received permission to hold their march.

Cat and mouse

The onslaughts mark the latest phase in a long game of cat and mouse between Imran Khan’s PTI and the authorities. So what does this power struggle mean for Pakistan?

” At best this is a dangerous distraction”, says Michael Kugelman, chairman of the South Asia Institute at the Wilson Centre think reservoir in Washington. ” But at worst, it could be a country-wide destabilizer.” It makes it all the more difficult to address Pakistan’s economic and security issues”.

As more and more violent attacks take place, Pakistan is also trying to stabilise its business.

Mr Kugelman argues that Pakistan’s defense, thought to be the driving force behind the onslaught on PTI, are trying to argue with a changing world.

” Dissent has been a problem for the military for a long time.” It’s been allowed to powder it out through reprisals”, he said. ” But what’s different with Pakistan and the world ]now ] is that this is the social media era. The PTI has a strong grasp of how to use social media to improve political objectives.

Getty Images Imran Khan sitting next to a Pakistan flagGetty Images

Mr Kugelman described this as a “very concerning” growth from the government’s perception, and said it’s not surprising that it would hotels to methods which “might seem like excessive and truly are, not to mention absolutely undemocratic”.

He claimed that this is a military responding to a social risk that it does not currently face.

The Muslim government has also been criticized by modern rights activists for limiting online actions, in addition to the introduction of the unlawful assembly rules and the detention of legislators from parliament.

Since the February votes, social media platform X, formerly known as Twitter, has never worked in Pakistan without a VPN. The government recently claimed to be building an online network, and the government has repeatedly cited the problems of” cyber terrorism.” When questioned about how the network may restrict the right to free speech, a minister responded that “it would hardly restrict anything.”

Some people interpret this as an attempt to restrict PTI’s social media platform, as well as the group’s international followers, who frequently criticize the military online.

A cross program

The longer these confrontations continue, the worse some worry it could be for Pakistan. As Mehmal Sarfraz, a Lahore-based political commentator and blogger, puts it:” When political events fight, a second army takes benefit”.

For many economists, that second force is Pakistan’s government which has long been carefully tied to the country’s elections. The army has stepped up and downgraded its ability to influence civil society. Nowadays many analysts see the government’s hand in some political choices and restrictions.

” Unless social events talk to one another, this hybrid program will continue to gain strength”, says Ms Safraz. ” The combination was then get more long-lasting”.

Getty Images Men, women and children look to the sky and raise their hands while flags wave overheadGetty Images

Imran Khan has made it clear, but, that he and his party had no interest in speaking to the other social events.

The PTI is constantly famous and ready to mobilise, and seems unbowed by the tension. But despite party members ‘ success keeping their leader’s name in the headlines, they ca n’t get him out from behind bars.

Rather than coming to a settlement, the new rally and heated statements suggest that they remain aggressive. Imran Khan is still fighting to avert being tried in a military court, which could have implications for both their political and legal jobs.

The defense remain steadfast, too. The more obstacles the defense appears to find in its way, the more the PTI appears to drive.

Some people are concerned that once these innovative measures are implemented, it will be difficult to move them up, though.

” The risk is that we become less of a republic, more of a combination with every passing day”, says Ms Sarfraz.

For now, the shipping containers also stay on the edges of Islamabad’s roads.

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Optimism builds for Indian stocks after index rebalancing | FinanceAsia

In 2024, American stocks have outperformed their world peers due to a steady economic backdrop that has fueled the rally. After the MSCI rebalanced its main index in August, which maintained India’s land weight above a fifth of the MSCI Emerging Market Index, the market’s confidence increased. &nbsp,

 

The larger fat represents a watershed moment for American companies, said Paul Turner, executive chairman at Capex.com Middle East, an net agent speaking to FinanceAsia. He anticipates that the stock’s restructuring, extra capital from the index’s realignment, and existing interest in solid public investment and tenacious personal consumption will all contribute to improving market sentiment.

 

Initial public offerings ( IPOs ) have exploded in recent weeks, with Bajaj Housing Finance’s$ 782 million listing oversubscribed on Monday, September 9, with the offering scheduled to close on September 11. Both Brainbees Solutions and Ola Electric Mobility recently completed effective Investments. &nbsp,

 

Effective managers are in a tough bind as a result of the realignment, which unintentionally affects a fund’s tracking error. Indian securities may continue to rise, but underweighting an overperforming industry may lead to lower returns. In addition, allowing a higher checking problem may have some negative effects, particularly given the renewed interest in market volatility following the early August sell-off. &nbsp,

 

There are still significant costs associated with closing the thin position. Considering India’s forward several trades at 24 times against the state’s 13 times, utilising a lower priced business to invest into a more expensive one impacts the firm’s performance, an affront to the “buy low, sell large’ ‘ slogan for investment pickers. Those valuations are difficult to ignore, Turner noted”. The potential for a correction is higher, he said, obliging fund managers to generate alpha elsewhere while India’s outlook is still positive.

 

China conundrum

 

When considering Chinese equities as a source of funding, that choice becomes more pronounced. The anticipated increase in passive funds ‘ returns is likely to further reduce China’s market multiple, which is only currently 9 times. China continues to make up the majority of the MSCI EM Index even after the rebalancing. &nbsp,

 

China’s stock market offers numerous opportunities to capitalize on structural shifts in its domestic economy, in addition to the valuation gap between Indian and Chinese stocks. Coupled with technological advancements, these changes should support the market’s growth profile, according to the PineBridge Mid-Year Asia Equity Outlook note. &nbsp,

 

The report further notes that” China may offer alpha-generating return potential for long-term investors despite mixed near-term signals and property market woes” while noting that the ratio of earning misses to beats has decreased. The analysis coincides as more Chinese businesses look for opportunities abroad and establish themselves as multinational corporations. &nbsp,

 

However, despite the stability that is alleviating systemic risks and supporting the banking sector, investors remained sidelined. According to Turner, the MSCI rebalancing may potentially increase relative selling pressure until the central bank of China implements new fiscal stimulus measures and takes more drastic interest rate cuts, which would undermine those alpha-generating opportunities.

 

There is no quick fix for these issues, according to Yi Ping Liao, assistant portfolio manager at Franklin Templeton Emerging Markets Equity, adding that the improvements will take time and result in a decline in economic growth and a rise in tail risks.

 

India’s fundamentals&nbsp,

 

These factors draw attention towards India, where the investment rationale is supported by structural factors such as demographics, the growing middle class, and supply chain diversification.

 

In response to FA, Vivian Lin Thurston, portfolio manager for William Blair’s emerging markets growth strategy, said domestic inflows are more evident in India, where financial product developments are attracting household savings into the equity market. This has provided liquidity for the broad-based market rally, led by small and medium-sized companies which are reporting even faster earnings, supporting the multiple re-ratings.

 

Although Indian equities may seem expensive, its macro and corporate fundamentals outweigh those of some other significant EM nations, including China, which is still facing an uphill battle to overcome an escalating economic downturn and increased structural challenges. ” Thurston added that it would be challenging to justify reversing the trend of importing products from India and moving into China right away. &nbsp, &nbsp,

 

After the VIX index breached 65 in early August, its highest level since the pandemic in 2020, volatility management is gaining importance in the face of uncertainty. The preference for India might be justified given the ease of monetary policies and the upcoming US presidential election, which will cause some of the country’s divided opinion toward China. &nbsp,

 

Active fund managers may be cornered after the announcement, in a fight with domestic investors who are pushing market valuations and compulsion them to buy the more expensive India market, regardless of the cost. &nbsp,

 

Back in July, MSCI announced the launch of MSCI Private Capital Indexes, constructed from a broad universe of private asset funds with over$ 11 trillion in capitalisation.

 

Encompassing private equity, private credit, private real estate, private infrastructure, and private natural resources, these 130 Indexes complement MSCI’s over 80 real asset fund and property indexes, providing investors with a comprehensive view of global private markets and the full risk spectrum of private real asset investing.

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A path to peace and stability in insurgent-riddled Balochistan – Asia Times

The insurgency in Balochistan has intensified, marked by a surge in violent attacks by Baloch insurgents across the region. On August 26, the anniversary of the death of Baloch autonomy leader Nawab Akbar Bugti, the Baloch Liberation Army (BLA) orchestrated a series of deadly assaults in Lasbella, Makran and Gwadar, resulting in significant casualties.

Notably, in Lasbella, the Frontier Corps’ check post was attacked by a female suicide bomber – Maheel Baloch – leading to the death of several security personnel. Maheel Baloch was the third Baloch female, after Shari Baloch and Sumaiya Qalandrani, who have carried out suicide attacks.

For the first time, BLA militants extended their operations into the Pashtun belt of Balochistan, where they intercepted passenger buses and brutally executed 23 individuals from Punjab province after scrutinizing their identity cards. This attack underscores the increasing ferocity of the insurgency.

Balochistan is now grappling with the most intense phase of its fifth insurgency. The first Baloch uprising erupted in 1948, followed by subsequent rebellions in 1958, 1963, and 1973 during the regime of Zulfikar Ali Bhutto.

The current wave is the fifth in this series, which began in 2004. It gained strength after the death of Nawab Akbar Khan Bugti, who was killed on August 26th, 2006, in the district of Kohlu.

The response of Pakistan’s military establishment, often referred to simply as “the Establishment,” has been fundamentally flawed from the outset. What began as a political issue has been mishandled and transformed into a purely security matter by both the federal government and the military.

This heavy-handed approach has aggravated the situation, plunging the entire province into a state of perpetual insecurity and chaos. The failure to grasp the complex socio-political underpinnings of the Balochistan conflict has only fueled resentment, deepened grievances and intensified the cycle of violence.

Balochistan is a province of immense strategic significance for Pakistan, both geopolitically and economically. It is home to Gwadar, a deep-sea port that is poised to become an important economic hub, contingent upon proper management and development.

Gwadar’s pivotal location at the mouth of the Persian Gulf offers direct access to the Arabian Sea, making it a vital node for regional and global trade routes. It is a linchpin of the China-Pakistan Economic Corridor (CPEC), a multi-billion dollar infrastructure and development project aimed at enhancing connectivity between China and the Arabian Sea, thereby providing China with an alternate route for its energy imports.

The CPEC, a flagship project of China’s Belt and Road Initiative (BRI), passes through Balochistan, making the province crucial for its success. China has invested significantly in Gwadar Port’s development and surrounding infrastructure, with plans for extensive highways, railways and energy projects to integrate the economies of China, Pakistan and other regional players.

The CPEC’s completion and operational success would not only elevate Gwadar to the status of a bustling trade and logistics hub but it would also potentially shift the region’s economic balance, enhancing Pakistan’s economic sovereignty and regional influence.

However, Gwadar’s strategic importance and its potential to enhance Sino-Pakistani economic collaboration have made it a target for regional adversaries. Pakistan’s hostile neighbors, wary of China’s growing presence in South Asia and the Arabian Sea, view a fully functional Gwadar as a threat to their strategic interests.

Consequently, these states may resort to sponsoring militant groups, inciting unrest and fostering instability within Balochistan to undermine the CPEC initiative. The use of non-state actors to perpetuate chaos serves as a primary strategy for these adversarial states to sabotage both China-Pakistan relations and the CPEC master plan.

This geopolitical tug-of-war over Balochistan has manifested in a multi-faceted insurgency that has escalated in recent years. Insurgent groups such as the Baloch Liberation Army (BLA), which have previously expressed grievances against Islamabad, are now increasingly perceived as proxies for foreign powers intent on destabilizing the region.

The province’s vast natural resources, including significant reserves of gas, coal and minerals, further complicate the situation as they represent not only a source of wealth but also a point of contention among various local, national and international actors.

To ensure stability and capitalize on Gwadar’s strategic potential, Pakistan must adopt a comprehensive approach guided by a series of pragmatic policy options that address Balochistan’s political and developmental needs while countering external factors seeking to undermine its progress.

First, the federal government must be genuine in its willingness and commitment to address the crisis in Balochistan. The dismissive attitude exemplified by statements like those of Mohsin Naqvi, the interior minister, who trivialized the Baloch insurgency as merely a task fit for a local police officer (SHO), is not only irresponsible but also counterproductive and condemnable. Such remarks reflect a lack of understanding and empathy for the complex dynamics at play in the region.

Second, meaningful development initiatives are urgently needed in Balochistan to create an environment conducive to dialogue. Long-standing grievances rooted in economic deprivation and underdevelopment must be addressed through targeted investments in infrastructure, education, healthcare, and employment opportunities. Economic empowerment is crucial to winning the trust of the local population and laying the groundwork for constructive negotiations.

Third, an empowered committee should be established to initiate dialogue with Baloch insurgents. This committee must be composed of members whose histories show character and credibility from reputable political parties. Including figures perceived as mere puppets of the military would only exacerbate the problem, undermining the legitimacy of the peace process and alienating key stakeholders.

Fourth, reconciliation efforts are essential to appease disgruntled Baloch nationalists and those who have taken up arms. The government should prioritize dialogue and negotiation over force, offering political amnesty and reintegration programs for those willing to abandon violence and work toward peace.

Fifth, human rights violations in Balochistan, which have been rampant and unchecked, must come to a permanent end. Such abuses only serve to reinforce the narrative of the insurgents and fuel the cycle of resentment and conflict.

The government should ensure strict adherence to human rights standards, holding accountable any state actors found guilty of violations. This is crucial for building confidence among the local population and increasing the prospects for a successful peace process.

Finally, political participation in Balochistan must be free from military involvement. The province has long been notorious for electoral manipulations, through which the role of the “Establishment” in determining political outcomes has undermined democratic governance and fueled distrust among the people.

To ensure stability, the military must cease its interference in the political process, allowing for genuinely fair and transparent elections. Only through such a commitment to democratic norms can Islamabad hope to achieve lasting peace and stability in Balochistan.

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India drifting away from minimum nuclear deterrence – Asia Times

India’s commissioning of a second nuclear-powered submarine marks a bold, if not provocative, step in its nuclear deterrence amid rising geostrategic rivalry with China and ever-present tensions with neighboring Pakistan.

The move raises the nuclear stakes on the subcontinent while raising key new questions about the status of India’s long-standing policy of minimum deterrence amid growing strategic ambitions and risks.

Last month, The War Zone reported that India has commissioned the INS Arighat, marking a significant advancement in its strategic nuclear capabilities.

Commissioned in a low-key event attended by Defense Minister Rajnath Singh in Visakhapatnam, Andhra Pradesh, the submarine is an improved version of its predecessor INS Arihant. Launched in 2017, the INS Arighat has undergone extensive testing and is now fully operational.

It comes equipped with indigenously developed ballistic missiles, including the K-15 submarine-launched ballistic missile (SLBM) with an approximate range of 750 kilometers. This will enhance India’s sea-based nuclear deterrent, a crucial component of its “no first use” nuclear policy.

To be sure, India’s SSBN fleet is still significantly outmatched by China’s in terms of numbers and missile range, The War Zone report notes.

The INS Arighat is part of India’s broader effort to develop a more robust and survivable nuclear triad, with plans for a larger INS Aridhaman and additional SSBNs under the Advanced Technology Vessel (ATV) program.

India’s drive to enhance its SSBN capabilities is driven by the looming threat of China, which is seeking to expand its influence in the Indo-Pacific region and beyond, and the nuclear threat posed by its longtime rival Pakistan.

India’s  new submarine base in the Bay of Bengal, known as Project Varsha, will enable it to implement a bastion strategy, with the Bay of Bengal’s deep waters providing better cover for India’s SSBNs compared to the Arabian Sea and allowing undetected SLBM launches, Asia Times noted in June 2024.

India’s upcoming third aircraft carrier and escorts will safeguard the Bay of Bengal as part of its SSBN bastion strategy. The strategy will create a secure zone from which India can conceivably launch SLBMs unnoticed toward Chinese and Pakistani targets.

However, India’s undersea nuclear deterrent may be handicapped by the short range of its SLBMs, including the K-15, and will arguably lack credibility vis-à-vis China until it fields SLBMs with intercontinental range.

Until then, India’s SSBNs are limited to striking targets in southern Pakistan and would have to sail through the Malacca Strait to potentially hit targets in mainland China.

Asia Times noted in March 2024 that India’s primary nuclear arsenal deficiency is its limited warhead yields. This limitation would not be overcome by merely increasing the number of low-yield warheads in its inventory.

India’s nuclear capabilities are primarily geared toward power generation rather than nuclear weapons production, which is why its fissile material production is relatively slow despite its substantial nuclear infrastructure.

Yogesh Joshi points out in a March 2020 article for The Nonproliferation Review, a peer-reviewed journal, that the command and control of undersea nuclear weapons present several complex challenges for India, not least consistent communications with the surface.

He says this creates a dilemma where nuclear warheads must be pre-mated with missiles before patrols, effectively making the arsenal ready for use.

He points out that this situation complicates the “always-never” challenge of nuclear command, ensuring that authorized launches always happen while preventing unauthorized ones.

While India has developed procedural controls such as permissive action links (PAL) to mitigate risks, these mechanisms require extensive testing to ensure reliability during a crisis, Joshi says.

He notes that the effectiveness of these systems and the decision on whether to adopt a bastion strategy or continuous patrols remain significant issues as India seeks to secure a credible second-strike capability with its nascent SSBN fleet​.

Hans Kristensen and Matt Korda note in a July 2022 article for the Bulletin of Atomic Scientists that aircraft such as the Mirage 2000 and Jaguar serve as India’s primary nuclear delivery platforms as they have been modified to carry nuclear weapons.  

Kristensen and Korda mention that India’s land-based missiles, including the Prithvi and Agni series, are stationed strategically to ensure a credible second-strike capability, covering regional and intercontinental threats.

They say cruise missiles like the Nirbhay are being developed to complement these capabilities, offering a versatile platform India can launch from land, air or sea.

Kristensen and Korda say these platforms enhance India’s nuclear deterrence by ensuring multiple delivery options. They note that India’s multiple nuclear delivery systems complicate adversaries’ strategic calculations and reinforce India’s doctrine of credible minimum deterrence.

However, Zafar Khan argues in a November 2020 article in the peer-reviewed Comparative Strategy journal that India’s commitment to that policy faces challenges as the nation advances its strategic capabilities.

Khan mentions that India’s ambitious pursuit of deterrent force projects, such as the development of a Ballistic Missile Defense (BMD) system, intercontinental ballistic missiles (ICBMs) and Multiple Independently Targetable Reentry Vehicles (MIRVs), suggests a shift away from its stated minimalistic nuclear approach.

He says these changes and India’s growing strategic alliance with the US signify a broader transformation in its nuclear strategy, which is aimed at establishing a reliable deterrent against China and Pakistan, securing dominance in the region.

However, Khan notes these advancements create a paradox where India’s evolving nuclear strategy may no longer align with its original minimum deterrence policy.

He argues that India’s efforts to become a major global power could lead to regional instability, fuel an arms race with Pakistan and create new destabilizing complexities in South Asia’s security dynamics while sparking uncertainties about India’s supposed commitment to minimum nuclear deterrence.

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