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Lao central bank governor removed amid economic crisis

National Assembly lawmakers on Tuesday removed the governor of Laos’ central bank at the end of its legislative session as top officials search for ways to address the country’s inflation and economic woes. The assembly approved a proposal from Prime Minister Sonexay Siphandone to transfer Bounleua Sinxayvolavong, the governor of the Bank of Lao P.D.R., to a position in Luang Prabang province, according to the assembly’s vice-chairwoman, Sounthone Xayachack. Laos’ economy hasn’t recovered much from blows brought on by the COVID-19 pandemic. International tourist numbers remain low, jobs are scarce and many younger workers have sought higher-paying jobs in Thailand or elsewhere in the region. Also, higher fuel prices and the steady depreciation of the Lao currency, the kip, have fueled inflation, according to a report from the Lao Statistics Bureau in May.   Laos’ economic problems are now affecting “the future of its food security and nutrition” in the country, according to the Asian Development Bank, or ADB. Inflation has had a big impact on food prices, which has reduced people’s purchasing power and has forced many households “to devise food-coping strategies, such as reducing food consumption and meal frequency to bridge their nutritional needs,” the ADB said in a report last month. The kip weakened by 31% against the dollar last year – a trend that was expected to continue this year, the World Bank has said.  Laos’ high debt service obligations have constrained the government’s ability to respond “to immediate issues of high inflation, which has placed pressure on people’s incomes and living standards, as well as long-term labor productivity issues,” the report said. Minister of Finance Santiphab Phomvihanh told lawmakers last month that the government will need at least US$10 billion this year to cover all debt-related expenses, but the central bank – had so far only brought in US$3 billion. ‘Talk and talk’ Lawmakers on Tuesday also approved a resolution that recommended the government address a teacher shortage, the increasing numbers of student drop-outs, the national debt and uncontrolled mining operations. The Assembly also passed or amended 13 different laws, including laws on property rights, investment promotion, environmental protection and anti-corruption. “Our country has two national priorities – solving economic-financial woes and cracking down on drugs,” lawmaker Sinava Souphannouvong said at a meeting last week.  “I’m urging the government to set cracking down on corruption as the third national priority,” he said, pointing out that neighboring Vietnam adopted a campaign against corruption. The reality, though, is that corruption “happens from the top,” according to a former government official in southern Laos who asked to remain anonymous to speak freely about the workings of government. “The inspection agency dares not inspect the top and other high-ranking officials,” he told Radio Free Asia. “Only low-ranking officials have been punished.” A businessman also believed that there will be no real impact from the government’s campaign against corruption. “Oh, they just talk and talk, but nothing will happen,” he told RFA . “They also have two other national priorities: solving economic-financial problems and cracking down on drugs. But they have failed to implement these two priorities. I think they’re going to fail on the third one as well.”  Translated by Max Avary. Edited by Matt Reed.

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Philippines ‘ready’ to discuss continental shelf with Vietnam

The Philippines says it is willing to hold talks with Vietnam after it called for consultations on a Philippine submission on an extended continental shelf claim in the South China Sea. “We are ready to engage Vietnam on possible ways forward that would help achieve a mutually beneficial solution to South China Sea issues in accordance with international law, particularly the U.N. Convention on the Law of the Sea [UNCLOS],” the Philippine department of foreign affairs said. The Philippines also welcomed Vietnam’s recognition of the submission, filed on June 14 with the U.N. Commission on the Limits of the Continental Shelf, or CLCS, to register the Philippines’ entitlement to an extended continental shelf in the West Palawan region of the South China Sea. On June 20, responding to Manila’s submission, Hanoi did not protest outright but instead said that while coastal states had the right to determine their outer continental shelf boundaries under UNCLOS, when submitting their claims “they must respect the legal and legitimate rights and interests of other relevant coastal nations with opposite or adjacent coasts.” A spokesperson for Vietnam said it stayed ready to hold talks with the Philippines to seek a solution that was mutually beneficial for both countries. Meanwhile, China has rejected the Philippine submission, saying it infringed upon China’s sovereign rights and jurisdiction and violated international law.  Beijing says it holds “historic rights” over most of the South China Sea but an arbitral tribunal under UNCLOS in 2016 rejected all of its claims. The Philippine submission, reinforcing the tribunal ruling, has not named China as a party for negotiations on the continental shelf. China and the Philippines have recently been involved in tense confrontations over some reefs that both claim but lie within Philippine waters in the South China Sea.  US officials on Vietnam visit warns of ‘irresponsible’ China Philippines ‘monitoring’ Vietnam’s South China Sea island building South China Sea dispatch: Excitement, fear fill Scarborough Shoal voyage Acceptable solution Nguyen Hong Thao, professor of international law at the Diplomatic Academy of Vietnam, or DAV, noted Manila’s willingness to discuss the delimitation of maritime boundaries with the relevant countries. “Vietnam and the Philippines have been maintaining solidarity and cooperation for the common good,” he told RFA. It is unclear when the consultation is expected to begin. The CLCS said it would look at the Philippine submission in a session between January and March next year. The continental shelf can extend beyond 200nm to a maximum of 350nm from the shore, or baseline. (The U.N. Convention on the Law of the Sea) The extended continental shelf is the stretch of seabed that extends to a maximum of 350 nautical miles (648 km) from the shore of a coastal state, which has exclusive rights to explore it or exploit its natural resources. However, the Philippine submission may overlap with previous submissions by Vietnam and Malaysia, as well as with a Vietnam-Malaysia joint submission in 2009, against which the Philippines protested. In a recent opinion piece, DAV’s Thao argued that maritime limits, including the overlapping outer limits of the continental shelf in the South China Sea, need to be agreed upon by the countries involved. He warned of a new “battle of note verbales,” or diplomatic notes sent to the U.N. secretary-general to express concern, from neighbors of the Philippines. The CLCS cannot make a determination if another party objects, and that is why in the immediate future, “the Philippines may consider withdrawing from its objection to the Vietnam-Malaysia joint submission and negotiating with these two countries to find an acceptable solution,” the legal expert suggested. RFA contacted the Philippine foreign ministry for comment but did not receive a response by time of publication. Edited by Mike Firn.

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Body cams prevent North Korean customs agents from living off bribes

To cut down on rampant bribery, North Korean customs agents checking truck shipments coming across the border from China are now required to wear body cameras, a customs official and a truck driver told Radio Free Asia. That’s cut off a lucrative source of income for the customs agents, suddenly making it difficult for them to repay high-interest loans they took out to weather the COVID-19 pandemic, which shut down trade with China, the customs agent said. “They borrowed at 100% annual interest, so their debt doubles every year,” a customs official, from the border city of Hyesan in Ryanggang province, told RFA Korean on condition of anonymity for security reasons. “The reason they cannot receive bribes is because of the tiny cameras attached to their bodies,” he said. A North Korean soldier holds a camera as he looks at the South, April 17, 2017, at the truce village of Panmunjom in the Demilitarized Zone (DMZ) on the border between North and South Korea. (Jung Yeon-Je/AFP) Prior to the pandemic, customs officials were able to pad their paltry government salaries with bribes from smugglers who either imported banned items or lied about the volume of imports to hide profits from the government.  But when COVID hit, North Korea closed its borders to trade and the customs officials lost their livelihoods.  To survive, many borrowed money from donju – North Korea’s wealthy class – promising to pay them back once trade with China resumed, the customs agent said. Many border officials took out high interest loans of 30,000 yuan (US$4,100), and some borrowed as much as 150,000 yuan ($20,500).  They were used to living the high life and did very little to reduce their spending during the time that the border was closed, thinking it would be relatively easy for them to repay, the official said. Unexpected twist In May, trade resumed, but the border officials never foresaw that authorities would require them to wear body cams – making it nearly impossible to collect bribes. “The reason why cameras were installed on custom officials and security agents’ bodies was because there were many cases of illegal Chinese mobile phones and SIM cards being smuggled into the country through customs trade channels,” the customs official said.  These Chinese cell phones allow people living near the border to access Chinese networks and call outside the country, potentially letting people pass along information North Korean authorities want to keep control of. “This is fundamentally to block the path of internal secrets from being leaked outside the country through illegal mobile phones,” the official said. Meanwhile, the loan sharks are pressing the officials to pay up. “Hyesan customs officials and security agents are unable to go home at night,” he said. “This is because the donju come to the homes of customs officials and security agents and abusively demand repayment.” A truck driver who used to drive through the border at Hyesan told RFA that it was easy for customs officials to spot smugglers and their smuggled goods. “Customs truck drivers smuggled televisions from Chinese truck drivers until 2019,” he said. He said that since the border reopened, all imported goods come on the backs of Chinese trucks, which are then unloaded into North Korean warehouses on the border. North Korean workers who load and unload Chinese trucks used to be friendly with the Chinese drivers, sharing cigarettes and having casual conversations with them, but now they are told not to even make any verbal contact.  “If they say a single word with them, they will be immediately taken to the State Security Department for an investigation and be kicked out of their work group,” the driver said. A solider films military officers following a mass dance performance, May 10, 2016, in the capital’s main ceremonial square in Pyongyang, North Korea. (Damir Sagolj/Reuters) In the more unusual cases where North Korean trucks export goods to China, they are allowed to go only 400 meters (yards) into Chinese territory, and once empty back out – and are followed by security guards, he said. With body cams now a requirement, some of the customs officials are doing whatever they can to transfer to other departments where the bribes might be a little smaller but at more easily accepted, he said. “Security agents who monitor trade cargo do not hide the fact that they have small cameras attached to their bodies,” the driver said. “They advise cargo loading and unloading workers not to create any problems, as the whole day’s work is being recorded.”   Translated by Claire S. Lee. Edited by Eugene Whong and Malcolm Foster.

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Floods in Myanmar force 10,000 from their homes, many trapped

Rivers in northern Myanmar swollen by torrential rain have burst their banks, forcing about 10,000 people, including many displaced by war, to flee, while many others have been trapped on their roofs by the rising waters, relief workers told Radio Free Asia on Monday.  Heavy rain in Kachin state has led to floods in four townships along the banks of the Irrawaddy and N’mai rivers, forcing residents to seek shelter in monasteries and elsewhere on higher ground. “Every neighborhood is flooded. It could be worse than the record set in 2004,” said one relief worker in the state capital, Myitkyina, referring to the last severe flooding in Myanmar’s northernmost state 20 years ago. “There are lots of people affected,” said the aid worker, who declined to be identified in fear of reprisals by the military authorities for speaking to the media. RFA called Kachin state’s junta spokesperson, Moe Min Thein, for information on rescue efforts but calls went unanswered. A junta-backed newspaper, The Global New Light of Myanmar, reported that relief operations were underway and nine evacuation facilities had opened in Kachin state since Sunday. Overflowing rivers forced residents from their homes in Tanai, Waimaw, Chipwi townships, and parts of Myitkyina, which is on the west bank of the Irrawaddy. Collapse at notorious Myanmar rare earth mine kills 15 people At Myanmar camp for displaced hundreds struggle as rainy season looms Five dead, 20 missing in Myanmar landslide Camps for people displaced by weeks of fighting between the autonomy-seeking Kachin Independence Army insurgent group and junta forces in Waingmaw, Chipwi and Myitkyina townships were also flooded, with their inhabitants forced to find higher ground, witnesses said. There were no immediate reports of deaths in the latest flooding but landslides, partly triggered by the heavy rain, have recently killed at least 35 people in rare earth mines in Chipwi township.  By 9:30 a.m. on Monday, the Irrawaddy river had risen four feet (1.2 meters) above its critical level, and was still rising by about three inches every hour, Naing Linn Htwe, chief of the Department of Meteorology and Hydrology, said in a statement. Some residents of Myitkyina have taken refuge from the swirling, murky waters on the roofs of their homes. “We’re trapped,” one resident stuck on a roof told RFA. “The water is almost as deep as the height of a man.” “In my household, there are three kids and two elderly people and rescue hasn’t come yet, but they said they would. They said they’d run into some difficulties on the way.” To the south, residents in river-side communities in the Sagaing, Magway and Ayeyarwady regions, which are also on the Irrawaddy, are fretting that the inundation will soon reach them. Translated by RFA Burmese. Edited by Kiana Duncan and Mike Firn.

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Dalai Lama discharged from hospital after knee surgery

The Dalai Lama was discharged from a New York City hospital Saturday after undergoing successful knee replacement surgery, hospital staff said. The Tibetan spiritual leader, who turns 89 on July 6, has experienced health problems for years. His knee issues required medical attention outside northern India where he has lived in exile for 65 years following a failed uprising against Chinese rule in Tibet. After being discharged, he went to the Park Hyatt Hotel in Manhattan, where he is staying. “He is expected to make a full recovery and was discharged Saturday morning, June 29th,” said Dr. David J. Mayman, chief of the adult reconstruction and joint replacement service at the Hospital for Special Surgery in New York. “His Holiness’s personal medical team and office were in constant communication with the surgical and medical staff at HSS,” Mayman said. “We are grateful for their trust and assistance.” Tibetan spiritual leader, the Dalai Lama, arrives at his hotel in New York on June 23, 2024. (Reuters/Jeenah Moon) The Nobel Prize winner enjoys strong support in the United States, especially among prominent lawmakers who have spoken out about human rights issues in Tibet, despite objections by China which views him as a separatist and bristles at his interactions with foreign officials. Tibetans and well-wishers gathered outside the hospital and the Park Hyatt to greet His Holiness, holding khatas – Tibetan white scarves – and flowers, offering their blessings for his swift recovery. “First of all, I am so happy to hear about the success of His Holiness’s surgery,” said Chemi Youdon, waiting outside the hotel to welcome the Dalai Lama with a bouquet in hand. “Secondly, this is his visit to the United States after such a long time. And thirdly, though I had a glimpse of him at Teterboro Airport in New Jersey when he first arrived, as a Tibetan, you never get enough of his blessings.” Pema Sonam, waiting outside the Park Hyatt in New York, said the surgery highlighted the importance of the Dalai Lama’s health. “It’s a blessing that His Holiness has visited the U.S., allowing us to receive his blessings after so many years. I want to thank the attending doctor and his team, staff, and everyone involved for doing such a wonderful job.” No public engagements are planned for the immediate future, as His Holiness focuses on his health and well-being.

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