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Putin visits Vietnam aiming to renew Cold War ties

Russian President Vladimir Putin was given a grand welcome with a 21-gun salute on Thursday after arriving in old ally Vietnam on a trip that is likely to be promoted by Moscow as more evidence of the West’s failure to isolate him over the invasion of Ukraine. Presiding over the ceremony was Vietnam’s new president, To Lam, and not the Communist Party chief Nguyen Phu Trong, due to the latter’s ailing health.  The two presidents saluted their countries’ flags before inspecting the guard of honor, who cheered “We wish the president good health!” In later talks, Lam congratulated Putin on his re-election and praised Russia’s achievements, including “domestic political stability,” Reuters reported.  The Vietnamese president told a press briefing that both Vietnam and Russia were committed to the principle of “not forming alliances nor agreements with third parties to take actions that harm each other’s independence, sovereignty, territorial integrity and fundamental interests.” Putin arrived in Hanoi in the early hours from Pyongyang, where he and North Korean leader Kim Jong Un signed an agreement that pledges “mutual assistance in the event of aggression” against one of them. He was met at Hanoi’s airport by the head of Communist Party’s external affairs commission and a deputy prime minister in a much more low-key reception compared with the lavish fanfare laid on for him in North Korea. Russia’s President Vladimir Putin and Vietnam’s President To Lam at the welcome ceremony hosted at the Presidential Palace in Hanoi, Vietnam, June 20, 2024. (Athit Perawongmetha/Reuters) No major agreement is expected during the Russian president’s 24 hours in Hanoi but he’s scheduled to meet with, besides President To Lam, the general secretary of the Communist Party, the prime minister and the National Assembly’s chairman. Putin, who has been on a U.S. sanction list since 2022 for ordering the invasion of Ukraine, is also wanted by the International Criminal Court, or ICC. Vietnam is not a member of the ICC and so is under no obligation to act on its arrest warrant.  “Few countries now welcome Mr. Putin,” Australian Ambassador to Vietnam Andrew Goledzinowski wrote on social media platform X in a rare post by a foreign envoy. “But he needs to demonstrate that he is still a ‘world leader’. So Vietnam is doing him a huge favour and may expect favours in return.” No nuclear power, for now Ahead of his arrival in Hanoi, Putin praised the close ties between the two countries, who he said share “the same, or similar approaches” to current issues on the international agenda. “We are grateful to our Vietnamese friends for their balanced position on the Ukrainian crisis and for their desire to help find tangible ways to resolve it peacefully,” he wrote in an article on Vietnamese Communist Party’s mouthpiece Nhan Dan. Hanoi has declined to denounce the Russian invasion of Ukraine and did not take part in last weekend’s Ukraine peace summit in Switzerland, to which Russia was not invited. The Russian president said that trade and investment, especially in the energy industry sectors, were the two governments’ priorities.  Russia’s State Atomic Energy Corporation Rosatom is “ready to help Vietnamese partners develop their national nuclear power industry,” he said. Russia maintains a strong global influence in nuclear power and is the world’s leading exporter of nuclear power plants. Yet Vietnamese Prime Minister Pham Minh Chinh told Rosatom’s Director General Alexey Likhachev on Wednesday that his country “has not had any policy to return to developing nuclear power but will continue to research and consider nuclear energy as an important solution to achieve net zero emissions by 2050,” according to the Vietnam News Agency. Hanoi shelved a plan to build its first nuclear power plant  in 2016, citing lack of resources and concerns of safety. Vietnam’s President To Lam welcomes Russia’s President Vladimir Putin at the Presidential Palace in Hanoi, Vietnam, June 20, 2024. (Athit Perawongmetha/Reuters) Rosatom, however, is helping construct a nuclear science and technology research center in the southern province of Đồng Nai. Putin’s visit is generally seen as symbolic and could help strengthening interactions in traditional areas such as economy and investment, science and technology, education and training, culture and tourism, and also defense and security. Vietnam is one of the largest buyers of Russian arms and still relies on Moscow to maintain and upgrade its arsenal but no contract signing is envisaged during the visit. Russia is a traditional ally and supported Vietnam throughout the Cold War but the dynamics of the relationship have changed as Vietnam adopts a new multilateral, diversified foreign policy that enabled it to forge new partners such as the U.S. and Japan. “Russia will never again be a strategic partner for Vietnam. Moscow has chosen a different partner and a different strategic destiny,” the Australian Ambassador Goledzinowski wrote, apparently referring to Vietnam’s neighbor China. Hanoi and Beijing are at odds over their sovereignty claims in the South China Sea, an important waterway shared by several countries but China claims  having historic rights to more than 80% of it. Russia has maintained a neutral position in the South China Sea and is involved in many oil and gas projects in the region but it has recently voiced support for China’s rejection of “external interference”, or in other words, the role of the U.S. and its allies, in the region’s maritime disputes. Edited by Taejun Kang. 

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Ecuador ends visa-free entry for Chinese nationals fleeing country

Authorities in Ecuador have suspended visa-free entry to Chinese nationals starting July 1, citing a jump in arrivals, half of whom either overstay the terms of their entry or leave the country via “irregular routes” to other destinations, making them vulnerable to human traffickers. Ecuador’s capital Quito has become a well-known jumping off point for Chinese nationals planning to make the dangerous journey overland to Mexico prior to claiming political asylum in the United States, a grueling journey known as “walking the line.” The move, which was announced ahead of World Refugee Day on June 20, is a heavy blow for the “run” movement — a buzzword describing the mass exodus of people from China following the lifting of pandemic restrictions in late 2022. The meme took off during the grueling lockdowns, mass incarceration in quarantine camps and compulsory testing of Xi Jinping’s zero-COVID policy, which the government ended abruptly, following nationwide protests, in December 2022. Ecuador’s Ministry of Foreign Affairs and Human Mobility said it was suspending visa-free entry to Chinese nationals due to “an unusual increase in irregular migratory flows of Chinese citizens … who would be using Ecuador as a starting point to reach other destinations.” Chinese migrants navigate thick brush after being smuggled into the U.S. from Mexico in Fronton, Texas, April 5, 2023. (Reuters) “In recent months, there has been a worrying increase in migratory flows from China,” the Ministry said in a June 18 statement posted to its official X account.  “50% of these entries have not left through regular routes and within the times established by law,” it said, adding that the ban will “[prevent] them from being victims of human trafficking or migrant smuggling.” Chinese border crossings Since last year, a total of 66,000 Chinese citizens have entered Ecuador, but only 34,000 have left the country through official routes, according to the ministry. The U.S. government has also reported a huge increase in the number of Chinese citizens seeking political asylum last year. More than 37,000 Chinese nationals were arrested at the U.S. southern land border in 2023, 10 times the number of the previous year. There was a small dip in the first three months of 2024, but numbers rebounded to 3,282 in April, according to U.S. government statistics. Chinese foreign ministry spokesperson Lin Jian said the visa-free arrangement had been in place since August 2016, and had “played an important and positive role in promoting cross-border travel and practical cooperation in various fields between the two countries.” While he didn’t directly address the mass exodus of Chinese nationals via Ecuador since the lifting of COVID-19 travel bans in 2022, he said the Chinese government continues to “work with relevant countries to jointly tackle human smuggling activities.” Chinese foreign ministry spokesperson Lin Jian speaks on June 18, 2024, in Beijing. (Ministry of Foreign Affairs, PRC) “The Chinese government firmly opposes all forms of human smuggling,” Lin told a news briefing in Beijing on Tuesday. “Chinese law enforcement departments are working with relevant countries to jointly tackle human smuggling activities, repatriate illegal immigrants and maintain a good order in cross-border travel,” he said. Trekking through the rainforest Performance artist and social media personality Chen Shaotian, also known as Brother Tian, documented his hazardous trek through the Central American rainforest after touching down in Quito in May 2023, via a video sharing platform. Chen, who has previously served a 14-month jail term for criticizing the Communist Party on social media, said his trip took him and a party of 200 other Chinese citizens through bus stations, border checkpoints, refugee camps and other facilities that have sprung up to serve the constant stream of people heading for the United States through Central America. Along the way, they were fleeced by corrupt police, paid fees to the “snakehead” people smuggling gangs, who charged extra for a more comfortable trek involving tents and horses, and robbed repeatedly along the way, Chen told RFA Mandarin after arriving in the United States. Chen said he flew to Turkey, then to Ecuador, before making his way northwards along the coast through Peru and Venezuela. Translated by Luisetta Mudie.

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Putin to visit Vietnam to affirm traditional partnership

On the afternoon of March 2, 2001, the packed hall at Hanoi’s Vietnam-Russia Friendship Palace erupted in cheers and applause as President Vladimir Putin walked in. The energetic 49-year-old shook hands and chatted with members of the audience before delivering a warm address.  A similar gathering of alumni of Russian universities and institutes is planned in Hanoi on Wednesday for Putin, who is in his fifth term as Russia’s president, and will be on his fifth visit to Vietnam.  Yet it’s hard to expect an equally enthusiastic welcome for the Russian leader this time in a country where, though fondness for Russia remains strong, its invasion of Ukraine has eroded some support, analysts say. A crowd of Hanoi’s residents try to reach visiting Russian President (L) for a hand-shake as the Russian leader leaves the temple of the Literature in Hanoi on March 2, 2001. (Hoang Dinh Nam/AFP) Russia has a close, long-standing relationship with Vietnam and is one of Hanoi’s few comprehensive strategic partners. However, after more than 20 years, the relationship between the old allies has changed substantially. Vietnam has adopted an open-door policy since the mid-1980s and has since normalized relations with countries it fought in the past, including China and the United States.   Hanoi takes great pride in its so-called bamboo diplomacy, that enables it to befriend  former foes while maintaining old friendships. “Putin’s visit is highly symbolic,” said Nguyen Ngoc Truong, a senior Vietnamese diplomat turned foreign affairs analyst. “It reflects Vietnam’s independent, self-reliant and multilateral foreign policy.” RELATED STORIES North Korea’s Kim promises Putin full support for Russia’s Ukraine war Vietnam’s fraternal ties with Russ are put to the test Bear East: RFA Special report on Russia’s influence in Asia “Vietnam invited U.S. and Chinese top leaders to visit last year so this visit shows once again that Hanoi is pursuing its foreign affairs principles without exception,” Truong told RFA. “There is still a part of Vietnam’s society that is deeply Russophile, but it is shrinking. The Ukraine war has also led to a shift in the way the Vietnamese public view Russia, and Putin personally,” the analyst added. ‘Low expectations’ Putin is set to arrive in Hanoi from Pyongyang where he held talks with North Korean leader Kim Jong Un to boost the ties of two countries both at odds with the West. The Russian president is expected to spend about 24 hours in Hanoi and to meet the four most senior Vietnamese leaders – the general secretary of the Communist Party, the state president, the prime minister and the National Assembly’s chairman. Putin’s delegation will discuss cooperation projects in various areas, including energy and defense, but no major agreements are expected. Vietnamese police officers stand guard near the Opera House in preparation for the security rehearsal ahead of Russian President Vladimir Putin’s visit to Vietnam, in Hanoi, Vietnam, June 19, 2024. (Athit Perawongmetha/Reuters) Trade between Vietnam and Russia stands at just US$3.7 billion, lagging far behind that with the United States — to the tune of US$97 billion — and with China — US$131 billion. Russia is still Vietnam’s biggest supplier of weapons but purchases have decreased markedly over the past five years and Hanoi did not place any new orders last year.  U.S. sanctions have also made payment to Russia difficult so the two sides would have to “discuss a new financial mechanism,” according to Nguyen The Phuong, a Vietnamese political scientist at the University of New South Wales in Australia. “It is impossible for Vietnam to wean off Russia’s weapons overnight,” Phuong said. “It still has to rely on Russia for a long time to come as it’s very hard to find alternative sources.” Russian experts said Vietnam will also be mindful not to irk the United States too much with Putin’s trip. “Vietnam as an export-oriented economy depends much more on the U.S. so it will act with an eye on Washington, and Beijing as those countries are much more important for Vietnam than Russia these days,” Kirill Kotkov, head of the Center for Far Eastern Countries Studies in St. Petersburg, told Russian media. “If there is a conflict with China, for instance, Russia will not be able to support Vietnam like we did in 1979 and the Vietnamese know that,” Kotkov added, referring to a brief but bloody Sino-Vietnam border war. Valuable partner Vietnam is not a member of the International Criminal Court, or ICC,  and so has no obligation to act on an arrest warrant it issued for in 2023 over alleged war crimes in Ukraine. Still, a spokesperson for the U.S. embassy in Hanoi, voiced disapproval of Putin’s visit. “No country should give Putin a platform to promote his war of aggression and otherwise allow him to normalize his atrocities,” the spokesperson told Reuters when asked about the impact of the visit on ties with the U.S. “If he is able to travel freely, it could normalize Russia’s blatant violations of international law.” Despite such U.S. misgivings, Hanoi remains a steadfast friend and partner to Moscow, analysts say. “Vietnam has never joined any anti-Russian forces and blocs, nor has it supported any embargoes or sanctions aimed at isolating Russia,” Russian analyst Grigory Trophymchuk, told the Vietnam News Agency. “For the Russian Federation, this is particularly valuable from a geopolitical point of view.” Vietnamese children play near Lenin statue in Hanoi, Vietnam, June 29, 2023. (Tran Viet Duc/RFA) Putin’s visit comes as Vietnam is going through an unprecedented upheaval in its domestic politics, largely because of an anti-corruption campaign, called “blazing furnace”, initiated by Communist Party chief Nguyen Phu Trong. The campaign, and the infighting it has generated, has led to the departure of six members of the party’s Politburo and the ascent of To Lam, a former minister of public security, to state president. General Secretary Trong – and not Vietnam’s president – is the host of Putin’s trip, as well as of the previous trips by U.S. President Joe Biden and Chinese President Xi…

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Thai Senate adopts historic bill legalizing same-sex marriage

People rejoiced in the streets of Bangkok and other Thai cities on Tuesday after the Senate passed a bill that puts Thailand on the cusp of becoming the first Southeast Asian nation to legalize same-sex marriage. With the two houses of the Thai legislature having now adopted legislation that provides equal marriage rights to LGBTQ people, the bill will become law within 120 days after the king signs it and it is published in the Royal Gazette. The legislation is expected to unlock previously denied legal rights for Thai same-sex and non-traditional couples, such as adoption or the ability to make health care decisions for their partners’ behalf, human rights activists said.  A majority of senators attending the session voted in favor of its passage. About 100 of the 250-member Senate were not present for the vote. Out of 152 voters, 130 approved, four disapproved and 18 abstained, said Gov. Singsuk Singprai, the first vice president of the Senate, who chaired Tuesday’s session. The scene outside Government House in Bangkok was filled with rainbow colors of the Pride flag as gay people and others gathered to celebrate this landmark moment for Thailand’s LGBTQ community.      “As an LGBTQ person who is in love and wants to marry another woman, we have long hoped that we would have equal rights and dignity, just like the heterosexual couples who can marry and start families,” Ann “Waaddao” Chumaporn, an LGBTQ organizer and community spokesperson, said during Tuesday’s Senate deliberations on the Marriage Equality Bill.    _________________________________RELATED STORYTogether three decades, Thai same-sex couple hopes for legal recognition _________________________________ The bill proposes replacing terms such as “husband” and “wife” with “spouse” in Section 1448 of Thailand’s Civil and Commercial Code.  “We hope that changes in Thailand will ignite a spark for other countries in Asia. Although this law is not 100% perfect, from an international human rights organization’s perspective, it makes Thai law more aligned with international standards,” Mookdapa Yangyuenpradorn, a Southeast Asian human rights associate at Fortify Rights, told BenarNews, an affiliate of Radio Free Asia. If and when the bill becomes law, Thailand would join Taiwan and Nepal as the only countries in Asia to recognize the rights of same-sex couples to wed. Members of the LGBTQ+ community celebrate after Thailand’s Senate passed a marriage equality bill to legalize same-sex unions, outside Government House in Bangkok, June 18, 2024. (Patipat Janthong/Reuters) Isa Gharti, a public policy researcher at Chiang Mai University, said the vote demonstrates progress in accepting sexual diversity. “This shows the societal advancement in Thailand in terms of accepting sexual diversity and safeguarding the rights of the LGBTQ community to equality both legally and in human dignity. This is a positive sign that will make Thai society more open, although there are still some voices of opposition,” Isa said. “Going forward, Thailand must also address deeply entrenched gender discrimination and biases in education, employment, and public health,” Isa said. “It’s essential to educate the public to foster understanding and reduce stigmatization of sexual diversity.” ‘Beautiful and powerful’ In Thailand, a Buddhist-majority politically conservative country, legislation around same-sex marriage has been more than two decades in the making.  An earlier marriage equality bill, introduced by opposition lawmakers from the progressive Move Forward Party, reached its second reading in November 2022, but didn’t move beyond that because of a series of legislative delays. It died when Parliament dissolved in March 2023 ahead of the general election two months later.  This year, the House of Representatives overwhelmingly approved the current bill, with 400 of 415 lawmakers present endorsing it at its final reading in March. Prime Minister Srettha Thavisin, who is a backer of marriage equality, has said his government was working toward Bangkok hosting World Pride 2028. “We have fought a long time because we believe in all equal rights,” Srettha wrote on his X account after the vote. “Today is our day. We celebrate to ‘diverse’ love, not ‘different’ [love]. Love is beautiful and powerful.’ Supporters of LGBTQ+ rights march toward Government House in Bangkok as they celebrate the Senate’s approval of a same-sex marriage bill, June 18, 2024. (James Wilson-Thai News Pix/BenarNews) The movement for legal recognition of same-sex marriage began during the Thaksin Shinawatra government in 2001. At the time, the Ministry of Interior proposed amendments to the marriage law, but dropped them because of public opposition. A military coup forced Thaksin from the prime minister’s office in 2006. In 2012, the government of Thaksin’s sister, Yingluck Shinawatra, introduced the Civil Partnership Bill for consideration. While this bill did not grant full marriage rights to same-sex couples, its progress was halted by another military coup in 2014 that drove her from the same office. The Move Forward Party proposed the Marriage Equality Bill in the lower House in 2022. Simultaneously, the administration of then-Prime Minister Prayuth Chan-o-cha submitted the Civil Partnership Bill for consideration.  While the two bills shared similarities, the Civil Partnership Bill would have established a “life partnership” status for same-sex couples, granting them fewer legal rights than “marriage.” The House term ended before either bill could be passed. After Tuesday’s Senate vote, Plaifah Kyoka Shodladd, an 18-year-old who identifies as non-binary, took the floor and thanked everyone who supported the legislation, calling it a “force of hope” that will help Thailand become more accepting of diversity, the Associated Press reported. “Today, love trumps prejudice,” Plaifah said. BenarNews is an online news outlet affiliated with Radio Free Asia.

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Former top Tibet official under probe for corruption

The Chinese Communist Party’s former top boss in Tibet is being investigated for “severe violations of discipline and law,” according to a statement from China’s anti-corruption body, using a euphemism commonly used to describe corruption.  Wu Yingjie, former party secretary of the Tibet Autonomous Region, is one of several top officials recently dismissed from the Chinese Communist Party amid a crackdown on officials past and present who have engaged in graft.  The move was praised by Tibetans on Chinese social media in a rare display of public opinion about such measures in China. “It is very good that this man has been arrested,” said one person. “This is good news for Tibetans,” said another.  “This enemy of the Tibetans has been captured and it will eliminate harm from the Tibetan people,” said a third. In 2022, the U.S. Treasury Department imposed sanctions on Wu, 67, for his policies in Tibet that “involved serious human rights abuse, including extrajudicial killings, physical abuse, arbitrary arrests, and mass detentions” in the far-western region. Additional abuses cited included forced sterilization, coerced abortion, restrictions on religious and political freedoms, and the torture of prisoners. Wu, who now serves on the Chinese People’s Political Consultative Conference, is the first former party secretary of the Tibetan Autonomous Region, or TAR, to be placed under investigation and the eighth ministerial-level official to face a probe since the Communist Party’s National Congress in 2022.  The Central Commission for Discipline Inspection and the National Supervisory Commission announced the investigation on June 16.    Other officials under investigation include Dong Yunhu, chief of the Shanghai legislature; Sun Zhigang, a former medical reform official; Han Yong, former chairman of the Shaanxi Provincial Committee of the Chinese People’s Political Consultative Conference; Gou Zhongwen, former sports minister; Tang Yijun, former justice minister; Tang Renjian, agriculture minister; and Li Yuefeng,  executive vice-chairman of the Central Committee of the Taiwan Democratic Self-Government League. Tibetans react Tibetans inside Tibet took to Chinese social media to express their scorn for Wu Yingjie, known for his crackdowns and repressive policies, a source inside Tibet told Radio Free Asia on the condition of anonymity for fear of reprisal.  More than 760 comments appeared on a WeChat channel in response to a story about Wu’s investigation, all expressing support for the probe. Members of the Tibetan community in Belgium hold a demonstration to mark the celebration of the 57th Tibetan Uprising Day in front of the EU headquarters in Brussels on March 10, 2016. (Emmanuel Dunand/AFP) But at least one activist predicted the investigation would do nothing to change the plight of Tibetans. “Despite Chinese leader Xi Jinping’s investigation of  Wu Yingjie and other officials as part of the nation’s anti-corruption campaign, there will be no positive impact on Tibet and its related issues,” said Sangay Kyap, a Tibetan rights analyst. Shortly after Wu was promoted to party secretary in 2016, he issued a statement stressing the need for officials to “expand positive propaganda” and to “thoroughly expose and criticize” the Dalai Lama, the spiritual leader of Tibetan Buddhism. Wu also urged officials to “eliminate the negative influence” of the Dalai Lama’s use of religion and to guide believers to treat religion rationally. Under President Xi Jinping, Wu also intensified repressive measures in Tibet, including the establishment of Chinese-run boarding schools with a curriculum focused on the Chinese language that undermines Tibetan culture and language, said Bawa Kelsang Gyaltsen, representative of the Office of Tibet in Taiwan. “Wu Yingjie had been the CCP party secretary for the region, implementing severe and oppressive policies in Tibet for over 20 years,” he said, referring to the Chinese Communist Party. Another official, Jiang Jie, 58, a former senior political advisor in the TAR, was also indicted on charges of taking bribes by the Supreme People’s Procuratorate following an investigation, the body announced on June 14. Jiang Jie is shown in a Jan. 17, 2024 post on X. (@globaltimesnews via X) Prosecutors in Tianjin allege that Jiang, who is also a former vice chairman of the TAR’s Regional Committee of the Chinese People’s Political Consultative Conference, misused his various positions, including serving as mayor of Dongying in Shandong province and deputy head of the regional government, to unlawfully gain advantages for others in exchange for significant sums of money and valuables. Xinjiang official expelled In a related development, Li Pengxin, a former deputy secretary of the Xinjiang Uyghur Autonomous Region, the region north of Tibet, has been expelled from the Communist Party and dismissed from public office for “serious violations of Party discipline and laws,” official Chinese media reported Monday. An investigation found that Li, 63, had lost his ideals and convictions, was dishonest about his problems, accepted money and valuables, took advantage of his former position to seek benefits for others, and was suspected of accepting bribes, according to a statement issued Monday by China’s anti-corruption body and the National Commission of Supervision. Li Pengxin is shown in a June 17, 2024 post on X. (@PD China via X) When Li was deputy secretary in Xinjiang from September 2016 to July 2021, he oversaw a crackdown on Uyghur educators, sending them to prison  At a meeting of party cadres in 2017, Li announced that prominent Uyghur scholar Tashpolat Teyip had been removed and replaced as president of Xinjiang University.  Afterwards, Teyip disappeared from public view, leading Uyghurs to believe he had been detained. Uyghurs interviewed by RFA in 2018, after news about his disappearance came to light, said they believed Teyip was removed amid an unprecedented ideological purge in Xinjiang against so-called “two-faced” Uyghur officials. The term is used by authorities to describe Uyghurs who do not willingly follow directives and exhibit signs of disloyalty. Additional reporting and translation by Tenzin Dickyi for RFA Tibetan and Alim Seyoff for RFA Uyghur. Edited by Tenzin Pema, Roseanne Gerin and Malcolm Foster.

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Myanmar’s junta takes desperate measures to stem capital flight

The rumors were everywhere: A politically connected crony, U Thein Wai, better known as Serge Pun, was called in for questioning.  While he was not arrested, the military’s questioning of the CEO of Yoma Bank and eight directors of other subsidiaries under his control is another indicator of just how dire Myanmar’s economic situation is.  The 71-year old Sino-Burmese tycoon sits atop a massive business empire of some 50 different interrelated companies. The most important of these are First Myanmar Investment Company (FMI), Serge Pun and Associates (SPA), and, of course, Yoma Bank.  While largely invested in real estate through Yoma Land, SPA is one of the largest conglomerates in the country, with investments in real estate, construction, banking and financial services, Suzuki automobile assembly, the KFC franchise and healthcare.  Yoma Bank is one of the largest private banks in Myanmar and has been in important overseas conduit, especially after the US government sanctioned two state banks in June 2023. Yoma Bank has ties to the military, lending to both the military-owned Mytel and Pinnacle Asia, which is owned by Min Aung Hlaing’s daughter, Khin Thiri Thet Mon. Yoma Bank CEO U Thein Wai, also known as Serge Pun, smiles as electronic trading commences during the opening day of trading at Yangon Stock Exchange, March 25, 2016. (Gemunu Amarasinghe/AP) In November 2022, the State Administrative Council, as the junta is formally called, bestowed on him the honorific Thiri Pyanchi, granted for outstanding performance.  Pun’s ties to the military are deep enough that the World Bank’s International Finance Corporation divested their 4.55% equity stake in Yoma Bank in December 2022, selling it to FMI. This is not to say that Pun has been completely pro-military. Compared to other cronies, he’s been much less so. He’s hedged his bets and incorporated holdings in Singapore and Hong Kong. Arguably he would be a lot wealthier were it not for the coup, but he’s worked within the reality of the coup. So what prompted the Office of the Chief of Military Security Affairs, the feared military intelligence service, to come calling? In short, facilitating capital flight.  Real estate roadshow In late May, a group of five executives of a real estate firm, Minn Thu Co., held an unauthorized roadshow, selling Bangkok condominiums. Minn Thu had allegedly established unauthorized bank accounts in Thailand to facilitate the sales.  Thai real estate is being pitched to Burmese as a safe investment at a time when the kyat has fallen to a record low of over 5,000 kyat per dollar, while soaring inflation eats into the currency’s purchasing power.  Gold has reached record rates: 5.8 million kyat per tical (15.2 grams, .54 oz) – 4.5 times the pre-coup rate of 1.3 million kyat. Over 20 gold dealers have been arrested recently, accused of engaging in speculation.  The beleaguered middle class is desperately searching for a place to park what’s left of their assets after more than three years of conflict. Four of the five businessmen who staged the roadshow have been arrested, and one other executive is at large.  A customer waits to withdraw money at Yoma Bank in Yangon, June 17, 2013. (Soe Zeya Tun/Reuters) To serve as a deterrent to others, the junta arrested three people who purchased the condos, having illegally transferred assets overseas. Yoma Bank is believed to have assisted in financing the purchases by  transferring assets to Bangkok in violation of the junta’s currency controls. Military intelligence officials are also investigating whether Yoma Bank is offering what are de facto mortgages for overseas real estate, as an investment vehicle, in contravention of Myanmar law. In recent days, the junta has expanded their investigation into over 100,000 private bank transfers. Capital flight began immediately after the coup. Radio Free Asia reported the purchase of THB2.5 billion (US$69 million) and THB 3.7 billion (US$100 million) in Thai real estate in 2022 and 2023, respectively.  In the first quarter of 2024, Burmese were the second largest group of foreign nationals to invest in Thai real estate, according to the Bangkok Post, having purchased at least 384 units, worth THB2.2 billion ($60 million). Estimates, though, are far higher, as many properties are believed to have been purchased using Thai nominees.  Focus on funds And of course, the revelation that junta leader Min Aung Hlaing’s own children have moved their own assets to Thailand was a huge embarrassment for the regime. Aung Pyae Sone owns a condominium worth around $1 million in Bangkok, while Khin Thiri Thet Mon has two accounts at Siam Commercial Bank.  Reports are emerging that Khin Sri Thet Mon purchased a condo in the ultra swank SCOPE Langsuan, which was completed in May 2023, and where a three bedroom unit sells for $4.2 million to over $15 million. The SAC has deployed uniformed personnel to both public and private banks since mid-2021 to block transfers to the civil disobedience movement, the National Unity Government, and ethnic resistance organizations. But soon after that, they also began monitoring capital flight. The junta is increasingly cracking down on the informal banking sector, known as hundi, that is used by at least 40 percent of overseas workers. In early June, the regime froze the accounts of 39 additional hundi dealers, following the crackdown on 20 others in January.  The hundi system keeps desperately needed foreign exchange out of the formal banking system, where people and companies are forced to convert it to kyat at artificially low exchange rates. Given the state of the economy, capital flight is the rational choice for Burmese with the means.. Myanmar junta chief Senior Gen. Min Aung Hlaing and his wife, Kyu Kyu Hla, visit a Buddhist monastery in Thailand in February 2018. (Myanmar military) The World Bank has reported on the dire state of the economy, which has shrunk by nearly 20% since the coup. The poverty rate is now 32%, while 2024 GDP growth estimates have been halved to 1%.  The NUG estimates that the junta has printed 30 trillion kyat…

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China’s dependency on potash imports could give tiny Laos rare leverage

Let’s start with the good news – potentially great news, in fact – for Southeast Asia: Laos could be sitting on 10 billion tons of potash, one of the three main fertilizers used in global agriculture.  In 2022, a subsidiary of the Chinese company Asia-Potash International announced a $4.3 billion investment in a potash mining venture in Khammouane province. This deal grants exploration rights to 48 square kilometers for potassium ore.  The company reckons it can start with producing 1 million metric tons of potash annually, scale up to 5 million tons by 2025 and eventually reach 7 to 10 million tons. For a comparison, Canada, the world’s largest potash producer, exported around 23 million metric tons, valued at approximately $6.6 billion, in 2023. In 2022, Laos’s potash exports were valued at approximately $580 million, representing about 1.7 percent of global supply. It isn’t inconceivable that Laos will become a global player.  Location helps Laos Geography is key. Next door is China, the world’s largest importer of food and food inputs, and the world’s third-biggest purchaser of potash. China imports around 8 million metric tons each year, about half of its demand, although that is increasing.  China is the world’s biggest producer of potatoes, which are very reliant on potassium. China’s potato heartlands – Yunnan, Guizhou and Sichuan provinces – are on Laos’ doorstep. Guangdong province, China’s main banana producer, isn’t too far away.  There’s ample room for Laos to expand potash exports in Southeast Asia, too. Indonesia, the world’s fourth-largest potash importer, bought around $2.1 billion worth in 2022, with Laos holding a 6 percent market share.  Malaysia, the sixth-largest importer, spent around $1 billion on potash, with Laos having a 2 percent share. Laos is already the largest supplier of potash to Vietnam, with exports worth about $82 million in 2022. Officials with Sino-Agri International Potash Co., Ltd. and the Lao government sign a memorandum of understanding March 24, 2023, to build a smart eco-industrial city in Khammouane province. (Pathedlao) If, for instance, Laos was to replace suppliers like Jordan and Israel and capture a 20% share of China’s potash import market, its exports could rise to around US$750-800 million, making potash Laos’ second-largest export product, after energy.  Right now, the spot price for potassium chloride is US$307 per metric ton. So, loosely, 10 million tons exported a year would bring in around US$3 billion.  Expectations shouldn’t be that high, though. It’s one thing for a Chinese investor to promise to produce 10 million tons a year and it’s another thing for it to actually deliver it.  And because it’s a Chinese firm selling the goods, most of the money won’t stay in Laos. And there are already the same complaints as with every Chinese investment: Asia-Potash International isn’t hiring local workers.  Geopolitics Nonetheless, estimates vary, but there still could be between $30 million and $300 million in annual revenue for the Lao state. Almost certainly it will be towards the lower end, but it’s not to be sniffed at by the badly-indebted government.  However, consider the geostrategic implications.  Up until now, China hasn’t really needed Laos. It lacks the strategic importance of Cambodia, with its naval base on the Gulf of Thailand, or the trade routes offered by Myanmar, where China is developing a $7 billion port to access the Indian Ocean for oil and LNG imports from the Gulf.  In 2022, Laos accounted for a mere 0.1 percent of China’s total imports; food makes up less than a tenth of that, so Laos isn’t a solution to China’s future food insecurity. A bulldozer works on a large hill of potash at the Dead Sea Works in Israel’s Sodom area, Feb. 16, 2016. (Menahem Kahana/AFP) China’s primary import from Laos is pulped paper, not energy. Instead, China constructs hydropower dams and coal-fired stations in Laos, which generate electricity sold to Thailand and Vietnam.  Geostrategically, Laos is a useful ally for Beijing to have because of its ASEAN membership, but Vientiane holds little weight in the regional bloc.  Should something drastic occur in Laos – such as the fall of the ruling communist party or the emergence of an anti-China government – Beijing would be displeased and Chinese investments would be at risk, but China’s national security would be unaffected.  That situation changes if Laos becomes a significant supplier of potash. If projections are correct and Laos can produce between 7-10 million tons of potash annually, it could theoretically more than meet China’s entire import demand. That makes Laos a national security interest for Beijing. Food security The Chinese government is preparing itself for military conflict. It knows that in the event it launches an invasion of Taiwan or attacks a rival state in the South China Sea, the West will hammer it with economic sanctions so damaging it would make the retribution reaped on Russia look like a slap on the wrist.  Self-sufficiency and diversification are the buzzwords. But it’s doubtful that China – arguably the country most dependent on world trade and on U.S. protection of shipping routes – could survive such sanctions.  Even short of war, food security has long been a major concern for China., for reasons too long to go into. According to Xi Jinping, the supreme leader, food security is the “foundation for national security.”  Beijing is also concerned that its reliance on imported fertilizer inputs “could pose a major threat to its food security”. There’s no way China can achieve the food self-sufficiency that Xi wants, as was spelled out in a detailed study by the Center for Strategic and International Studies, a U.S. thinktank. Farmers operate rice seedling transplanters in Taizhou, in eastern China’s Jiangsu province, June 12, 2024. (AFP) China can domestically produce enough nitrogen and phosphate fertilizers, the latter essential for phosphate-hungry rice. But almost all of China’s phosphate is produced in Xinjiang and Tibet, far away from the rice-growing Han heartland and where the local population is largely hostile to rule by Beijing. China will remain…

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Exiled Tibetan political leader honored with democracy medal

The leader of Tibet’s government-in-exile on Thursday won the Democracy Service Medal from the U.S.-based National Endowment for Democracy, recognizing Sikyong Penpa Tsering’s commitment to advancing democracy and promoting the dignity of the Tibetan people.  In his acceptance speech, Tsering dedicated the award to Tibetans inside Tibet and in exile, and to the Dalai Lama, acknowledging the Tibetan Buddhist spiritual leader’s role in defending democracy and human rights for all Tibetans. “I am an ordinary person, but His Holiness the 14th Dalai Lama is the architect and spirit behind everything that we are now or what we have today,” he said. during the award ceremony at the U.S. Chamber of Commerce in Washington.  “This award is for the people I serve,” said Tsering, who is head of the Central Tibetan Administration. The award, which honors people defending democracy worldwide, was also given to former U.S. House Speaker Nancy Pelosi, Senate Republican leader Mitch McConnell, Russian opposition leader Vladimir Kara-Murza and Free Belarus leader Sviatlana Tsikhanouskaya. The Dalai Lama reacts after receiving the National Endowment for Democracy’s Democracy Service Medal during a ceremony at the Library of Congress in Washington, Feb. 19, 2010. (Jason Reed/Reuters) Since taking office after winning the 2021 democratic elections which saw a 77% voter turnout, Sikyong Penpa Tsering has worked to counter Chinese influence and mobilised Tibet’s allies to speak up against the suppression of cultural identity within Tibet, said Castro.  “In recognition of those efforts, it’s my honour to present the 2024 democracy service medal to Sikyong Penpa Tsering on behalf of the National Endowment for Democracy. Also on Thursday, the Tibet Action Institute received the endowment’s Democracy Award for its work in documenting the Chinese Communist Party’s efforts to erase Tibetan children’s identity by forcibly enrolling them in state-run boarding schools in Tibet.  The Regional Center for Human Rights and the Waey Organisation also received the Democracy Award. The National Endowment for Democracy, founded in 1983, promotes democracy worldwide through grants funded primarily by the U.S. Congress. Resolve Tibet Act The ceremony came a day after the U.S. Congress passed the Resolve Tibet Act, urging China to resolve the Tibet-China dispute through dialogue. It now awaits President Joe Biden’s signature to become law. It calls on Beijing to resume dialogue with the Dalai Lama, who is the spiritual leader of Tibet, and other Tibetan leaders about how Tibet is governed. No formal talks have taken place since 2010. The National Endowment for Democracy’s Democracy Service Medal is pictured before being presented to the Dalai Lama at the Library of Congress in Washington, Feb. 19, 2010.  (Jason Reed/Reuters) Tsering welcomed the passage of the bill and expressed hope that Biden would sign it into law soon.  He also confirmed that a congressional bipartisan delegation led by Rep. Michael McCaul and which includes Pelosi, is set to meet with the Dalai Lama and Central Tibetan Administration leaders in India on June 19. Tsering also presented Pelosi — a long-time Tibet supporter and strong China critic — with her award, while lauding her unwavering fight for democracy, and against authoritarianism, everywhere. Pelosi commended the endowment for its efforts to highlight global injustices. “One of the cruelest tactics used by oppressors is to imprison people and make them disappear, hoping they will be forgotten.” she said.  “But we do not forget them,” she said. “Our members of Congress, in a bipartisan manner, consistently raise their names—whether on the House floor, in meetings with heads of state, or during visits to other countries.” Additional reporting by Yeshi Tashi and Tenzin Pema. Edited by Eugene Whong and Malcolm Foster.

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Allied ethnic forces capture junta-occupied buildings in Myanmar

Five ethnic armed groups have joined forces to fight the junta for a township in Myanmar’s west, a group member told Radio Free Asia on Friday.  Chin Defense Forces, an umbrella term for several allied groups opposing the junta and active in seven of Chin state’s nine townships, captured an administration office and a police station in Matupi township on Tuesday.  Matupi-based junta Infantry Battalion 304 is using heavy weapons and its air force counterparts, said a member of the Chin Defense Forces.  “Now, the [township’s] administration office and police station were captured by our forces, but we are monitoring the situation for more airstrikes,” he said, asking to remain anonymous for fear of reprisals. “We’re continuing to attack the junta’s infantry battalion.” Following clashes over Matupi town in early June, the junta sent reinforcements and tightened the perimeter around the buildings, he added. Chin Defense Forces Brigade 1 is composed of three allied groups, including Zoland’s People’s Defence Force, Mindat Chin Defense Force and Chin National Defense Force.  Other rebel armies, including the Rakhine-based Arakan Army and Magway-based Yaw Army, have also teamed to drive the junta out of Matupi, he said.  He did not disclose the number of casualties for the junta or Chin Defense Forces.  More than 8,000 people live in Matupi town, but nearly all have fled into nearby villages and India’s Mizoram, which neighbors Chin state, since 2023 when conflict began escalating between ethnic insurgent groups and the junta, residents said.  RFA phoned Chin state’s junta spokesperson Aung Cho for more information on the Chin Defense Force’s capture, but calls went unanswered. Joint Chin forces have captured small towns across Chin state, including Thantlang township’s Hnaring village, Hakha township’s Surkhur village, Falam township’s Webula and Rihkhawdar villages, Mindat township’s M’kwiimnu village and Kanpetlet township’s Kyin Dway village. Translated by RFA Burmese. Edited by Kiana Duncan and Taejun Kang. 

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China gives 6 patrol boats to Myanmar’s military junta

China has delivered six patrol boats to Myanmar’s military junta, fulfilling a promise made in 2020 to the country’s previous democratically elected civilian government, the Chinese Embassy said in a statement on Wednesday. The patrol boats that were handed over in Yangon on Tuesday will be used in law enforcement efforts to control gambling and drug trafficking and in rescue and water resources protection activities, the embassy said. But a former army officer, who wished not to be named for security reasons, told RFA that the vessels could also be useful for naval military operations in Rakhine state, which has several well-traveled rivers and an Indian Ocean coastline. Rakhine state has seen intense fighting between military junta troops and the ethnic minority insurgent Arakan Army since last November. “If these boats are modified a little bit, weapons could be installed,” the former army officer said.  A navy patrol boat donated by China is docked at Lanmataw jetty in Yangon, Myanmar, June 12, 2024. (RFA) Four of the patrol boats are 48 meters long (157 feet), and the other two are 28 meters long (91 feet), the embassy said. The civilian government under the National League for Democracy first requested the vessels in 2018. China’s projects in Rakhine An agreement was made in 2020 during Chinese President Xi Jinping’s two-day visit to Myanmar, in which several deals were signed to implement multibillion dollar infrastructure projects under the Belt and Road Initiative. The projects include a US$1.3 billion deep-sea port in Rakhine state’s Kyaukphyu, as well as the China-Myanmar Economic Corridor, a 620 km (1,000 mile) high-speed railway and road network that will run from China’s Kunming city through Myanmar’s major economic hubs and on to the port. The corridor will ultimately give China crucial access to the Indian Ocean at Kyaukphyu. The military junta removed the civilian government and seized power in February 2021. A resident of Kyaukphyu township who closely monitors the Chinese projects told RFA that the Chinese ambassador visited Kyaukphyu on Monday. Human Rights Watch found in 2022 that the Myanmar junta had used Japan-funded passenger ships during military operations in Rakhine state. “The Myanmar junta’s misuse of Japanese development aid for military purposes effectively makes Japan a backer of the junta’s military operations,” Asia program officer Teppei Kasai said at the time. When asked via email on Wednesday if the patrol boats could be used for military purposes, the Chinese Embassy in Myanmar directed RFA to a statement posted on its Facebook page. RFA’s attempts to contact junta spokesman Major Gen. Zaw Min Tun to ask about the patrol boats were unsuccessful on Wednesday. Translated by Aung Naing. Edited by Matt Reed and Malcolm Foster.

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