Courtesy: Global Trade Observer
President Xi’s speech at the 3rd BRI Forum for International Cooperation in October 2023 has grabbed the headlines in suggesting a vision for a reset BRI, ten years on. Is it a case of ‘old wine in new bottles’ or something radically different? And what does it mean for African development, the poorest continent on the planet?
Courtesy: Forbes India
The announcement of the India-Middle East-Europe Economic Corridor (IMEC) has the potential to make India an Asian hub in global supply chains. India’s renewed emphasis on trade agreements and export-oriented foreign direct investment presents a significant opportunity for the country to promote industrialisation across South Asia and make the region less vulnerable to Chinese enticements.
Courtesy: ETF Stream
The U.S. dollar’s position as the world’s dominant currency has come under pressure as countries and central banks explore alternative currencies and diversify their reserve compositions. While the U.S. continues to dominate global financial markets and the dollar is unlikely to be unseated anytime soon, the challenge to the dollar-dominated uniform currency system has begun.
Courtesy: Economic Times
Sri Lankan President Ranil Wickremesinghe's visit to India last month laid the foundation for a new era of cooperation in key areas like energy, connectivity, trade and tourism. By working together on trade facilitation, central bank cooperation, and IMF capacity-building, market-led regionalism can be the pragmatic way forward for India and Sri Lanka to achieve prosperity.
Courtesy: Observer Research Foundation
In West Asia, nations such as Saudi Arabia and other Gulf countries are starting to understand their pivotal geopolitical positioning in world affairs – and are making calibrated and strategic moves to preserve or recover global stability. It’s welcome at a time when more than two dozen conflicts are ongoing, when geopolitical rivals have hardened their positions, and diplomacy has failed to de-escalate in the primary contests.
Courtesy: EDR Magazine
The Italian Navy sees in its multicultural "Mediterranean" nature, a similarity with the Indian Ocean as a connecting fabric that has enabled civilizations to flourish and prosper through the centuries. The shared concerns and cooperation between the Italian and Indian navies, now renewed, can bring prosperity with contemporary connectivity.
Courtesy: The Wire
India and Sri Lanka recently signed six energy agreements, including plans for an oil pipeline from India to Sri Lanka, electricity grid connectivity, and cooperation in renewable energy. Sri Lanka can benefit from India's cost-effective oil sourcing and processing and pay for it in rupees, easing its balance of payments crisis. Its wider use of the Rupee fulfills a long term objective for Indian policymakers.
Courtesy: Nikkei Asia
China-centric global supply chains are being disrupted by rising geopolitical tensions between the U.S. and China and multiple global shocks, forcing multinational companies to rethink are global sourcing strategies. India can leverage this moment to become a complementary manufacturing hub in Asia by reaping gains from technology transfers and creating value-adding jobs.
Courtesy: The Times of India
On July 21, Sri Lankan President Ranil Wickremesinghe is set to visit for the first time since taking office. India has already provided $5 billion in economic assistance to Sri Lanka, and is now looking to expand its investment in the nation. Sri Lanka is also seeing interest from Indian private investment. The visit presents an opportunity for the two countries extend this relationship in new areas of cooperation, especially energy, infrastructure, and tourism.
Courtesy: Deutsche Welle (DW)
On July 13, the German cabinet approved its Strategy on China after nearly two years of internal discussions. The new strategy simultaneously views China as a “partner, competitor, and systemic rival”, calling for de-risking German economic dependence on China, while also expanding cooperation with other countries in the Indo-Pacific region.