Filipinos in South Korea

Thailand: China threats (ASEAN Countries) unacceptable

A frontal view of Brunei's new Prime Minister's Office, the venue for the 22nd ASEAN Summit, in Bandar Seri Begawan. (Photo: Reuters / Bazuki Muhammad)

Chinese officials began their meeting with Asean foreign ministers in Brunei this week by accusing their 10 neighbors of an anti-Beijing conspiracy over disputed South China Sea territory. China singled out the Philippines, calling Manila a provocateur and threatening war.

It was hardly a display of Chinese diplomacy at its best. Now, China has agreed to discuss a code of conduct with Asean, but Beijing clearly is going to take a hard line in the talks.

Brunei is playing host this week to a string of meetings of foreign ministers from Asean, and from the group's partners and neighbors. There is no denying the political and historical issues at work at the meeting.

China has conflicting claims over the China Sea with Japan, South Korea and four Asean members _ the Philippines, Malaysia, Vietnam and conference host Brunei. Reasonable people would agree such a meeting of senior diplomats would provide a golden opportunity for discussions seeking solutions to vexing problems.

China's startling threats, made through the top mouthpiece of the ruling Communist Party, are worrisome.

Starting a discussion with a threat of violence seems unhelpful to any solution, and Beijing knows full well that abject surrender by its six disputing fellow members of the world community is no option.

The People's Daily, however, sent a different message on the eve of the Brunei meetings. It began with an attack on the Philippines for asserting its claim over parts of the Spratly Islands. The Communist Party's official journal then moved on to an attack on Asean as an "accomplice" to the Philippines, saying the 10-member group was trying to gang up on China by sticking together. Finally, it threatened: "If the Philippines continues to provoke China ... a counterstrike will be hard to avoid.

On the face of it, China's accusations range from exaggerated to false. It is ludicrous for Beijing, after its decades of stunning diplomatic successes and acceptance in every Asean country to now claim there is a conspiracy against China, on this or any issue.

Only one explanation seems logical. It is that China, once again, is attempting to gin up xenophobic nationalism as a national issue. The old, cold-war attempt by China to claim it is being isolated by all its neighbours will certainly fool no one outside the country's borders.

Beijing refuses to accept that any other country can feel as strongly or as righteously over China Sea territory as China itself. The attempt to belittle and denigrate other countries is beneath China. Yet Beijing officials continue to do just that. Now they are including all Asean countries, including Thailand, in their attacks and threats. This is unacceptable.

Brunei was hoping to lead a discussion of the great and dangerous problem of the China Sea disputes. Certainly, neither the host nor other Asean members was preparing for a threat of violence from one of the other guests. And here is the fact Beijing should be addressing _ China, Vietnam and the Philippines have all resorted to violence among themselves in the Spratly Islands in recent years. It achieved nothing,

Thailand and its Asean partners should spend this week counselling and urging each other to remain calm, as well as China, South Korea and Japan. There is no scenario to justify war in the Spratlys or the East China Sea. China in particular should tone down the anger, approach the code-of-conduct talks with an open mind, and vow to solve problems peacefully.

Editorial from Bangkok Post

Philippines Central Bank: Liquidity widens 16.3% to ₱5.3Trillion in May 2013

Liquidity or money circulating in the financial system expanded by 16.3 percent to 5.3 trillion in May from 4.6 trillion, fueled largely by domestic lending activities by banks, Bangko Sentral ng Pilipinas reported Friday.

"This growth was faster relative to the 13.3-percent expansion recorded in the previous month," the central bank noted. Money supply reached $5.188 trillion in April from $4.6 trillion year-on-year.

"The continued expansion in domestic liquidity during the month indicates sufficient liquidity to sustain the economy's growth momentum," Bangko Sentral said.

Net domestic assets increased by 28.2 percent in May from 19.4 percent in April, largely on credits to the private sector that reflected the robust lending activity of commercial banks.

Claims on the public sector grew by 8.3 percent in May after rising by 12 percent in April, reflecting an increase in credits to the national government.

Net domestic assets refers to a country's commercial bank and central bank lending to private or government borrowers.

Net foreign assets, however, slowed down to 0.9 percent in May from 2.9 percent in April. Bangko Sentral's position on this account rose by 4.4 percent in the same comparable period, helped overseas Filipinos' remittances and business process outsourcing receipts.

According to Bangko Sentral, net foreign assets of banks declined with a corresponding increase in foreign liabilities that reflect deposits by foreign banks with other banks while their foreign assets continued to decrease as their loan receivables from and deposits with foreign banks declined.

Bangko Sentral said it is monitoring monetary conditions to ensure that liquidity levels support economic activity without stoking too much of inflation.  

Yahoo News / GMA News

Philippines Slams China's Threatening of War as "Uncivilized Provocative Language" instead of PEACE

New recruits of the Chinese Navy march with their guns during the parade marking the end of their first training session in Qingdao, Shandong province. Reuters/Stringer

PH slams China for retaliation threat

Philippines scored China's "provocative" threat of retaliation in the West Philippine Sea (South China Sea) on Saturday, urging Beijing to defer instead to peaceful means of resolving maritime disputes under the United Nations Convention on the Law of the Sea.

In a statement, the Department of Foreign Affairs reminded China of its obligation under international law to settle disputes without the use of threat or force.

"China has an obligation under international law, especially the UN Charter, to pursue a peaceful resolution of disputes, meaning without the use of force, the threat to use force such as this recent provocative statement of a counterstrike," said DFA spokesperson Raul Hernandez.

"There is no place in the relations of civilized nations to use such provocative language," he added.

Hernandez made the statement in response to the Chinese People's Daily's scathing commentary on the Philippines on Saturday, which warned of a "counterstrike" as it accused Manila of "seven sins" in the disputed West Philippine Sea, which is how the Philippine government calls part of the South China Sea that is within in exclusive economic zone.

Among other things, the paper, a mouthpiece of the Chinese Communist Party, accused the Philippines of "illegal occupation" of the Spratly Islands, part of which Manila contends to be within its exclusive economic zone.

The commentary also blasted the Philippines for advocating the "internationalization" of the waters, a critical international sea lane that has been under the close watch of Philippine allies, the United States in particular.

Navy trainees show their capability during a log-handling exercise in Sangley Point in Cavite City on Tuesday. Danny Pata - Manila Standard Today

China issued its criticism amid war games between the Philippines and the US Navy off the Panatag (Scarborough) Shoal, a territory in the West Philippine Sea that saw a tense standoff between Philippine and Chinese ships last year. At least three Chinese patrol vessels are known to still be in the area.

The commentary also came out as leaders of the Association of Southeast Asian Nations met in Brunei in hopes of drafting a legally binding Code of Conduct that is aimed at ensuring peace in the disputed waters.

Despite Beijing's sharp statements, the DFA called for sobriety and invoked peace in hopes of averting further escalation of tensions.

"We call on China to be a responsible member in the community of nations. The way towards a peaceful resolution of disputes is through the dispute resolution mechanism under the UN Charter, which is rules-based, transparent, binding and non-provocative," said Hernandez.

"A peaceful and rules-based resolution to the disputes in the West Philippine Sea is durable and beneficial to all and will ensure peace and stability in the region," he added.

The Philippines haled China to arbitral proceedings in the United Nations in January in a bid to peacefully settle the maritime dispute. The move has gained the support of the United States, the European Parliament and Japan, which also has a dispute  with China in the East China Sea.

Now pending before a five-member arbitral tribunal, the legal action seeks to prevent further Chinese incursions into established Philippine maritime boundaries in the West Philippine Sea and to invalidate Beijing's "excessive" nine-dash line claim encompassing almost all of the South China Sea.

China has rejected the proceedings, asserting "indisputable sovereignty" over the West Philippine Sea. It has been calling for a bilateral solution to its territorial disputes with the Philippines, Vietnam, Brunei, Malaysia, and Taiwan. The Philippines has meanwhile been pushing for a multilateral approach.

With report from Inquirer

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