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Biz Analysis 21:39, 26-Oct-2020 Ray Dalio: Don't be blind to China's rise in a changing world CGTN Share Raymond Dalio, co-chairman and co-chief investment officer, Bridgewater Associates, speaks at the 2019 Milken Institute Global Conference in Beverly Hills, California, U.S., May 1, 2019. /VCG People with persistent anti-China bias should clear their minds and not be blind to China's rise in a changing world, Ray Dalio, founder of the largest hedge fund in the world, Bridgewater Associates, wrote in an opinion piece for the Financial Times on Friday. "Prejudice and bias always blind people to opportunity," he argued, before suggesting China skeptics keep their minds clear to see what is actually happening in the country. China's economy grew in 2019 without monetizing debt, Dalio noted, adding that it also produces more than it consumes and achieves a balance of payments surplus. When almost all countries are still struggling against the pandemic, China has achieved some of the world's lowest COVID-19 case rates, the Bridgewater founder wrote, noting that "nearly half the world's initial public offerings will be in China this year, including Ant Financial's $30bn listing, the world's biggest ever. Even Tesla's best-selling Model 3 car may soon be made entirely in China." Dalio opined that many are missing China's extraordinary performance, including its remarkable economic changes over the past four decades, due to a persistent anti-China bias. "Since 1984, (China's) per capita incomes have risen more than 30 times, life expectancy has increased by a decade and poverty rates have fallen nearly to zero," he wrote. He argued Chinese stocks and bonds are undervalued. "China's fundamentals are strong, its assets relatively attractively priced ... These currently account for 3 percent or less of foreign portfolio holdings; a neutral weighting would be closer to 15 percent." In his view, the discrepancy is "at least in part due to anti-Chinese bias" and is going to change. "Chinese markets are opening up to foreigners, who can now access at least 60 percent of them compared with 1 percent in 2015. Benchmark weights in major indices are rising." And Dalio projected that China will "enjoy favorable capital inflows that will support the currency, already at a two-year high, and financial markets too." Meanwhile, he held that the world will inevitably be affected by China-U.S. relations and contended that "time is on China's side." "China's economy is roughly the same size as the U.S.'s and expanding at a faster pace. It has a growing population of well-educated people, with around a third of the world's science and technology university majors, three times the U.S. share," Dalio explained. China rivals the U.S. in advanced technologies, he added, and will probably take the lead in five years. Source

https://asia.nikkei.com/Spotlight/Asia-Insight/Singapore-s-democratic-dawn-Parties-adapt-to-new-landscape?del_type=1&pub_date=20200728190000&seq_num=2&si=%%user_id%% Singaporean Prime Minister Lee Hsien Loong, left, has named Workers' Party Secretary-General Pritam Singh, right, the "leader of the opposition" in a first for the city-state. © Nikkei montage/Source photos by Getty Images Singapore's 'democratic dawn'? Parties adapt to new landscape Ruling PAP under pressure to save economy while opposition faces test of ideas KENTARO IWAMOTO, Nikkei staff writerJuly 28, 2020 04:26 JST SINGAPORE -- The Progress Singapore Party failed to win a single seat in the city-state's general election on July 10. Nevertheless, the year-old party says that it has received about 1,000 membership applications since the election period. The continued inflow arguably supports the narrative that emerged after the polls: The 10 opposition parties lost, yet in some ways they succeeded. And Singapore might never be quite the same. Leong Mun Wai, the PSP's assistant secretary-general, told the Nikkei Asian Review that the vote was the "dawn of Singapore's democratic politics." A little over two weeks after the election, and less than two weeks before the country marks its 55th anniversary on Aug. 9, it is anyone's guess whether this new era will bring real or only superficial changes. After all, the People's Action Party -- in power since independence in 1965 -- took 83 of 93 available seats, comfortably clear of the two-thirds supermajority needed for constitutional amendments. Only the Workers' Party, led by Secretary-General Pritam Singh, made a tangible dent, grabbing a record 10 seats for the opposition. But even PAP heavyweights sound a lot like Leong these days. It is as if they feel the ground shifting beneath their feet as the government attempts to overcome the devastating economic effects of COVID-19, craft a new growth model and transfer power to the next generation of leaders. Singaporean politics have "changed permanently," the PAP's Tharman Shanmugaratnam, a senior minister and former deputy prime minister, said in a Facebook post on July 19. "We have to make this new balance work well for Singapore." There are several other signs that this is not the Singapore of yore, when the PAP could count on strong public support fueled by a brisk economy, coupled with an election system that democracy advocates have long described as unfair. One signal is the ruling party's share of the popular vote, which plunged to 61.2% from 69.9% in the previous 2015 election -- perilously close to its worst result of 60.1% in 2011. Even the fledgling PSP, which came up empty in terms of seats, challenged the PAP and won 40.8% of the vote in the constituencies it contested. A survey of 1,500 voters conducted just before the election, but released afterward, underscores that Singaporeans of all ages want alternative voices in politics. Blackbox Research found that 75% of citizens aged 21 to 24 felt that "more choice for voters was good for Singapore's democracy even though some [new politicians] have no real experience in the government." The ratio was 67% for the 25 to 39 age bracket; 64% for voters in their 40s and 50s; and 58% for those over 60. Supporters of the Workers' Party celebrate its election night performance in the early hours of July 11. © Getty Images Lawrence Wong, hitherto the national development minister and now education minister in the new cabinet announced on Saturday, reckons the days when the PAP could expect to surpass 65% of the vote are probably over. "The desire for diversity in the parliament, for checks and balances, is permanent," Wong told reporters on July 18. "It is here to stay. We must prepare for this new reality." Prime Minister Lee Hsien Loong seemed to be facing up to this shortly after the election when he formally named the Workers' Party's Singh "leader of the opposition" -- a first for the city-state. What this entails remains to be seen, but some expect Singh could be granted more access to government information and support staff. Lee on Saturday said he hopes the opposition will "play a more constructive and more substantive role, not just asking questions of the government, but also putting up alternatives, putting out proposals and being scrutinized so that Singaporeans can understand what the trade-offs are, what the issues are, what the choices are, and we can have a better quality of debate." The government expects Singapore's economy to contract 4% to 7% for the full year due to the coronavirus pandemic. © Getty Images Politics watchers like Donald Low, professor of practice and director of the Institute of Emerging Market Studies at Hong Kong University of Science and Technology, see a rebalancing that could serve the nation well as it confronts the coronavirus. "With a stronger presence of the opposition to demand accountability, Singapore is in a stronger position [to recover from the crisis]," Low told Nikkei. "This sort of democratization is very healthy for Singapore, and this is exactly what Singapore needs in this period -- careful consideration of alternatives, diversity of ideas of how to adapt to the post-pandemic, disruptive future." Even so, critics say the political playing field remains far from level. Singapore ranked 75th in the Economist Intelligence Unit's global democracy index for 2019, behind regional peers Malaysia (43rd), Indonesia (64th) and Thailand (68th). The city-state performed especially poorly in the category of "electoral process and pluralism." This reflects frequent electoral boundary changes and a unique "group representation constituency" system that have helped the PAP maintain its grip. Opposition parties typically struggle to find enough candidates and cobble together thousands of dollars in registration fees to compete in the GRCs, where parties field teams of up to five and the winner takes all seats. But this year, the system did not benefit the PAP quite as much as it used to. The Workers' Party won two GRCs for the first time, including one district that had just been created in the latest electoral boundary renewal. The Progress Singapore Party, led by Tan Cheng Bock, also came within 2 percentage points of taking a third GRC for the opposition. The PAP had slipped up before, as seen in the 2011 general election. Yet, there are deeper trends that suggest this time is different. Before the pandemic sent Singapore's economy plunging to a 12.6% year-on-year contraction and a technical recession in the second quarter of 2020, headwinds were already blowing. Rising protectionism and U.S.-China tensions were taking a toll on the trade-reliant city-state. And although the PAP had built one of Asia's richest nations, there was growing concern about high living costs and unequal distribution of that wealth. As the economic pressure mounts, opposition groups will be aiming to capitalize further, while the PAP will be seeking solutions to turn back the tide. Younger ruling party members, in particular, will be under the gun to prove themselves. This election was supposed to be a major milestone in a transition to "fourth generation" or "4G" PAP leaders. The biggest name of the bunch is Heng Swee Keat, 59, the finance minister and deputy prime minister tipped to succeed the 68-year-old Lee sometime this term. But the shaky election showings of some 4G candidates -- including Heng, whose team won its GRC with just 53.4% of the vote -- has stirred speculation about a succession rethink. Lee kept Heng and other core ministers in his new cabinet. But on Saturday he did nothing to stop the chatter about whether he would retire by age 70 as planned, vowing to see the coronavirus crisis through. Garry Rodan, honorary professor at Australia's University of Queensland, told Nikkei that the 4G politicians will have to work to "win back some of the popular vote." Rodan said they can start by establishing some "product differentiation from past PAP leaders on major policy issues of concern to alienated voters." The first step, in his view, would be to show the Workers' Party "and its ideas some genuine respect and engagement in parliament, especially where this involves issues of inequality and the rights of Singaporeans -- inside and outside parliament -- to scrutinize the processes of state governance institutions." The election results cranked up the heat on Deputy Prime Minister Heng Swee Keat, seen as Lee's heir apparent, and other next-generation leaders. © Getty Images If 4G leaders respond positively to calls for more democratic transparency and accountability, Rodan said it would "help to signal a positive shift in PAP political culture." The opposition, meanwhile, will need to show it is up to playing a larger role. "This term, our efforts in parliament are centered on key bread-and-butter concerns; jobs for Singaporeans, health care for our seniors and more generally, cost of living concerns," Singh, who was not available for an interview, said in a Facebook post on July 20. The Workers' Party leader, however, placed some of the onus on the PAP. "What remains to be seen is whether the approach of the PAP government towards greater information sharing will turn in favor of greater openness," he said. "The extent to which realistic policy alternatives can be advanced both in public and in parliament is also a function of the PAP's approach to democratic politics." The PSP's Leong told Nikkei that his party would strive to cooperate with the Workers' Party, amplifying opposition voices in parliament and promoting transparency. Although the PSP did not win any seats at the polls, it gained two thanks to another quirk of Singapore's election system, which rewards the "best loser" with "non-constituency member of parliament" seats. Leong said the party would also suggest specific policies on key issues, such as a future economic growth model. The Progress Singapore Party -- led by Tan Cheng Bock, right -- continues to attract interest and aims to help the Workers' Party amplify the opposition's voice. © Getty Images Policymaking aside, both the ruling and opposition parties will be keeping at least one eye on the next election during parliament's five-year term, which commences Aug. 24. Rodan said that "there may be value in greater rationalization of the number of opposition parties so that there are fewer but better-resourced and better-coordinated parties contending with the PAP." Opposition groups' ideological and policy positions, he added, "are not diverse enough to warrant 10 parties." At the same time, Rodan warned that the PAP might attempt more gerrymandering to contain its rivals. Leong agreed that the battle is only just beginning, and that the opposition cannot afford to ease up now. "It's still a 'dawn,'" Leong said. "We might go back to 'dark' again."

He calls the water arrangement between Hong Kong and Guangdong an "unequal" deal. Chapman To (Du Wen Ze, 杜汶澤) is a Hong Kong actor and comedian known for his roles in the Infernal Affairs trilogy and the Initial D movie. Known for anti-mainland China views He is also known for his anti-government views, and for supporting the pro-democracy movements in both Taiwan and Hong Kong, as well as his anti-mainland China sentiments. As a result, he has been banned from the Chinese market, and has since ventured into the film markets in Malaysia and Singapore, setting up a movie production firm in Malaysia and collaborating with Singaporean comedian Mark Lee in the movie King of Mahjong. To called out unfair water contract between Hong Kong and Guangdong In an episode of his regular talk show Chapman To’s Late Show that aired on Jan. 15, To talked about that the water agreement signed between Hong Kong Special Administrative Region (SAR) government and the Guangdong local government in 2006. The episode was titled, “A big gift from the Chinese Communist Party”. In the show, To referred to the agreement as the “minimum price contract” and the “2006 Hong Kong inequality contract”. Guangdong province is situated at the southernmost tip of mainland China adjacent to Hong Kong. Here’s the segment from the episode: To explained that under the contract, Hong Kong had to buy 820 million cubic metres of water from mainland China. The volume was increased from 22.7 million cubic metres to 820 million cubic metres, he said. He further said the cost of importing water from Guangdong was HK$4.8 billion (S$832 million) in 2019 alone. However, even if Hong Kong does not use all the water they are entitled to under the contract, the SAR is still required to pay the price. “That was the contract, it’s minimum payment,” To said. He likened the contract to paying HK$8,000 (S$1,387) at a club for bottle service even if a customer just ordered a single glass of juice. To: Beijing should thank Hongkongers instead To added that Hong Kong residents could not use up all 820 million cubic metres of water they are entitled to annually, which meant that the city “overpaid” Guangdong by HK4.5 billion (S$781 million) in 10 years. Lastly, in response to the narrative among some mainland Chinese that Hongkongers should thank mainland China for providing them with water, To said it is the mainland Chinese who should thank Hongkongers instead for the huge amount of money the mainland Chinese got from the deal. The live audience in the studio then erupted in applause. Mainland China supplies 70 to 80 percent of Hong Kong’s water Hong Kong has been importing water from the Dong River, or Dongjiang, since 1965. According to the SAR government’s Water Supplies Department, the Dong River is Hong Kong’s main source of water. Water pipes from Dongjiang in Sheung Shui. (Image via Wikipedia Commons) About 70 to 80 percent of the city’s water supply comes from the river. The city gets its remaining 20 to 30 percent of water from the rainfall captured in natural catchments. Lump sum package deal criticised for inflexbility The details surrounding the water agreement that To criticised appear to be accurate. Hong Kong pays HK$4.22 billion (S$732 million) annually for water from the Dong River, regardless of how much it actually uses, South China Morning Post (SCMP) reported. And according to an article published by the Lee Kuan Yew School of Public Policy (LKYSPP), the agreement cost the SAR HK$4.5 billion (S$781 million) for “water it did not consume”. Hong Kong has been “getting the shorter end of the stick” under the lump sum package deal approach, it added. SCMP reported that while the annual supply ceiling is fixed at 820 million cubic metres, the import amount is adjusted monthly according to the needs of Hong Kong resident and rainfall in the city. Such a lump sum deal has been criticised for its inflexibility. Hong Kong consumes nearly a billion cubic metres of freshwater every year. Hong Kong and Guangdong have agreed to review the current price package this year. You can watch the entire episode here: Source

HONG KONG: An international panel of experts hired to advise Hong Kong's police watchdog over its handling of huge anti-government protests announced Wednesday (Dec 11) they were quitting, in a major setback for the government. The move came a month after a leaked statement from the group revealed they felt the city's police watchdog was not equipped to carry out a proper investigation. Instead they suggested a fully independent inquiry would be better suited for such a large task. One of the core demands of protesters - alongside fully free elections - is an inquiry into the police, who have been left to battle black-clad activists for six months and are now loathed by significant chunks of the deeply polarised population. READ: Hong Kong protests in pictures: 6 months of anger, tear gas and clashes But the city's pro-Beijing leader Carrie Lam and the police have repeatedly rejected those calls. In a statement released on Wednesday, the panel said talks with the Independent Police Complaints Commission had made no headway in the last month. "As a result, the IEP (Independent Expert Panel) has taken the decision to formally stand aside from its role," the statement said. The experts also restated the criticisms it had of the police watchdog it was hired to assess. "We ultimately concluded that a crucial shortfall was evident in the powers, capacity and independent investigative capability of IPCC," the experts said. READ: Hong Kong leader rules out protest concessions ahead of Beijing visit The panel was announced back in September and was chaired by Sir Dennis O'Connor, who was tasked by the British government to write a report on the police after the 2011 London riots. It included current or former police watchdog chiefs from Canada, Australia and New Zealand and a British specialist on crowd behaviour. Earlier this month the chair of the IPCC gave an interview to a mainland Chinese media outlet rebuking the panel, saying they "do not understand Hong Kong's situation". Critics say the IPCC lacks adequate investigatory powers, is stacked with pro-establishment figures and has been toothless when it comes to holding the police to account. Monday marked the six month anniversary of the protests, which were initially sparked by a now-abandoned attempt to allow extraditions to mainland China but have since morphed into a popular revolt against Beijing's rule. EXPLORE: Voices of Hong Kong, an interactive special The last three weeks have seen a rare lull in the violence and vandalism after pro-democracy parties won a landslide in local council elections. On Sunday, an estimated 800,000 people marched peacefully through the city's streets Sunday. An end to violence is something Lam has insisted must be a precursor to meaningful dialogue. But Lam has shown no sign she is willing to budge, leading to fears clashes could resume. In her weekly press conference on Tuesday she dismissed protesters' demands once more as she announced plans to go to Beijing this weekend where she is expected to meet with Chinese leader Xi Jinping. Read more at https://www.channelnewsasia.com/news/asia/hong-kong-protests-international-experts-quit-police-probe-12174596

Taiwan says China fails to pay up on US$8.6 billion in aid pledges to former allies TAIPEI: Taiwan's foreign minister said on Friday (Nov 22) that China had failed to deliver aid promises worth US$8.6 billion and instead "exported corruption" to nations that had switched allegiance to Beijing from Taipei, amid a tug-of-war for diplomatic recognition. China has in recent months stepped up a campaign to peel away more allies from self-ruled Taiwan, which Beijing considers its territory and so ineligible for state-to-state relations, ahead of a January presidential election in Taiwan. Taiwan's Foreign Minister Joseph Wu said Beijing had made "false" aid promises totalling US$8.6 billion to several of Taiwan's former allies, for various projects from sea ports to highways. "To lure Taiwan's allies to build ties with them, China often makes promises with huge amounts of money. But we realise those promises were not fulfilled," Wu told reporters in Taipei. "We have been telling our allies that don't think you can hugely benefit from China just because of these false promises," he said, citing a long list of projects he said China had failed to deliver to Taiwan's former allies including the Dominican Republic, Sao Tome, Burkina Faso and El Salvador. In Beijing, China said this was a smear. Chinese Foreign Ministry spokesman Geng Shuang said Beijing started "cooperation with many countries on the basis of a win-win" and they were "not only in China's interest but are in the other country's interests". "These real benefits are something the citizens of these other countries can truly feel. These types of cooperation cannot be effaced by anyone's attacks or smear attempts." Beijing has redoubled it efforts to "reunify" Taiwan, flying regular bomber patrols around it and seeking to isolate it diplomatically. That has presented a challenge to Taiwan President Tsai Ing-wen, who is seeking re-election and has seen seven countries drop Taiwan as an ally since she took office in 2016. Wu said China was exporting "corruption and authoritarianism" to those countries and "putting money directly into the pockets of corrupt politicians". "Either China has limited capacity to deliver those promises, or they were just unwilling to deliver those promises," Wu said. "This could be a cautionary tale for our allies." Taiwan now has only 15 diplomatic allies, many of them smaller, less developed nations in Central America and the Pacific like Belize and Nauru. Tuvalu, one of Taiwan's remaining allies in the Pacific, told Reuters this week the nation had rejected offers from Chinese companies to build artificial islands to help it cope with rising sea levels, giving some relief for Tsai. China believes Tsai wishes to push for Taiwan's formal independence, a red line for Beijing which has threatened to attack if this happens. Tsai has repeatedly said she wishes to maintain the status with China, but will defend Taiwan's democracy and security. Source

Empty auto showrooms may be the most obvious economic indicator. © Reuters China's economic slowdown just got real. The world is well aware that Asia's biggest economy is growing at its slowest pace since 1992. The 6% growth in gross domestic product recorded for July to September reflects a rapid weakening of demand from abroad as the trade war damages production. Yet three developments last week suggest China may be in more trouble than President Xi Jinping's government admits. First, warning signs are flashing over corporate profits. Beijing's official data on GDP, inflation and production often generate doubt, but China Inc.'s deterioration is unmistakable. Last week, the Nikkei Asian Review detected cratering profits in the first nine months of 2019 across a broad range of pivotal industries. Carmakers, commodity producers, bricks-and-mortar retailers and some property developers are in the red -- dramatically, in certain cases. These are all the sectors any government would target to support growth, yet each is caught between U.S. President Donald Trump's trade war and Xi Jinping's attack on financial excess. Along with the trade fallout, industries including autos are smarting as the government cuts subsidies. Empty auto showrooms may be the most obvious economic indicator: Nikkei reported a year-on-year drop in net profits of almost a third at 161 auto-related domestically listed companies in the first nine months of 2019. More broadly, said research company Shanghai DZH, aggregate net profits of more than 3,600 nonfinancial names fell 2.2% during that period. This is not an epic decline, but it belies the conventional wisdom that growth is stabilizing. Instead, Xi's team has a traction problem. Traditional pump-priming -- public works spending, tax cuts, local-government debt issuance -- is not working its magic. This has the central bank springing into action, our second indication China Inc. is reeling. In recent months, the People's Bank of China stayed largely in the background as GDP dipped toward 5% territory. That changed last week when Governor Yi Gang cut interest rates on one-year loans. That was not a massive easing -- from 3.3% to 3.25%. Yet PBOC watchers are now wagering on reductions in the benchmark lending rate. So far, says analyst Andrew Batson of Gavekal Research, the PBOC has been focused on "selective easing," or incremental rate moves to reduce strains in credit markets. "It is almost as if their plan is to kill economic pessimism by inflicting the infamous death by a thousand cuts," he says. The five-basis-point cut in one-year rates hints at a more assertive posture. It is a balancing act, though. Since taking the helm in March 2018, Yi has sought to wean state-owned enterprises and banks off excessive stimulus. The concern is that banks would resume lending to their riskiest borrowers; bad loans jumped 4.3% in the third quarter. The concern is banks would resume lending to their riskiest borrowers. © Reuters The trade war is forcing Yi's hand. Factory prices are veering toward outright deflation. Not Japan-like "lost decade" stuff, but the 1.2% drop in producer prices in September year-on-year is more alarming than the fall in corporate profits. The third indicator of trouble is that Xi wants to make a deal. In recent months, Trump tried to claim Washington and Beijing were on the verge of a giant trade pact -- only to see Beijing deny it. Last week, it was Xi's team moving markets with talk of detente. On November 7, both sides confirmed tariffs may be rolled back in a "phase one" trade deal. It is far from the comprehensive redesign of Sino-U.S. dynamics Trump promised -- more like a face-saving strategy than the realignment of advantages or incentives. Yet it would be a boon for export-dependent Asia and trade-battle-weary markets. Like Trump, Xi is keen to rack up his own wins on the global stage. A clear one last week was French leader Emmanuel Macron jetting to Beijing. In decades past, European leaders would raise global concerns on trade, climate change and Iran with the American president. Macron seeking an audience with Xi instead had plenty of geostrategic symbolism. Emmanuel Macron seeking an audience with Xi Jinping had plenty of geostrategic symbolism. © AP Ending outright trade hostilities would buttress China's trustworthiness as a more stable partner than Trump Nation and would set China aside from the anti-free trade crowd. That crowd includes Indian Prime Minister Narendra Modi, who last week wrecked India's standing in this regard by rejecting the Regional Comprehensive Economic Partnership trade deal. Japan's Shinzo Abe is squandering Tokyo's capitalist street cred in his bilateral brawl with South Korea. In the short run, a truce with Trump relieves pressure on China's all-important export sector so that Beijing can keep growth north of 6%. Longer term, it allows Xi's team to prepare China Inc. to dominate the future of automation, renewable energy, biotechnology and self-driving vehicles. Neither outcome is likely, though, if Xi limps into the new year. Warning signs emanating from corporate China demand immediate attention. The good news is that the PBOC seems to be on the case, as does Xi's trade negotiation team. It is no sure bet, though, that Xi and Trump will suspend the hostilities. Trump's policies are a study in chaos and incoherence. One thing is clear: China must act assertively to get ahead of mounting risks to its economic trajectory. Source

Daughter of Maxim’s founder hits out again at Hong Kong protesters, saying she has lost hope in the next two generations Annie Wu doubles down on earlier remarks at a UN meeting in September, this time in an interview with pro-Beijing Global Times Her views have led to protesters targeting Maxim’s businesses in a campaign of vandalism Kimmy Chung Published: 6:18pm, 4 Nov, 2019 Updated: 11:06pm, 4 Nov, 2019 The daughter of the founder of restaurant chain Maxim’s has doubled down on earlier remarks against Hong Kong’s protesters, saying she has lost hope in the city’s next two generations and that young people have no idea what they are doing. Annie Wu Suk-ching, 71, made the remarks in a hard-hitting interview with the pro-Beijing Global Times, as Hong Kong nears five months of anti-government protests which were sparked by the now-withdrawn extradition bill. In September, Wu had denounced the campaign at the UN Human Rights Council in Geneva, saying “the views of a small group of radical protesters do not represent the views of all 7.5 million Hongkongers”. Her comments enraged protesters, fuelling a campaign of vandalism against Maxim’s outlets and franchises it operates, such as Starbucks Coffee, Jade Garden, Genki Sushi and Simplylife. Maxim’s distances itself from ‘rioters’ comments by founder’s daughter In her latest interview published on Monday, Wu said: “I think we have lost two entire young generations. “I have given up hope [on these youngsters] and will not waste my time talking to them, as they have no idea what they are doing and what they should do ... Their brains have been occupied by other ideas and that is irrevocable.” Anti-government protesters vandalise a Simplylife outlet belonging to the Maxim’s Group. Photo: Felix Wong In September, students from the Chinese Foundation Secondary School in Hong Kong launched a protest saying Wu had made verbal threats to expel and fire striking students and staff in a meeting with them. She is a former supervisor and a serving member of the school’s sponsoring body. The school later clarified that students with parents’ permission to boycott classes would not be punished. Hong Kong’s protests have frequently spilled into malls and in some instances, turned violent with restaurants and shops trashed. Photo: Reuters In the Global Times interview, Wu also slammed civil servants in the city, saying there were flaws in the system. “They do not know how to deal with a crisis, having no capability or experience,” she said, adding that civil servants were among those arrested by police amid protests. “Are these civil servants supposed to be working for the government or taking to the streets?” Wu said she expected Hong Kong’s economic downturn to last at least three years, with tourism the worst hit. A Starbucks outlet in Wan Chai is vandalised by protesters. Photo: Yujing Liu Her remarks did not sit well with students such as Chan, 22, from the University of Hong Kong, who suggested Wu was overestimating her authority. “I don’t think she has done much for youngsters. I wonder if she is eligible to say she has given up hope on us,” he said. “She has been enjoying the protection of her elder generation, and the support of Hongkongers who have spent much on her brand, in climbing up to that social status.” He said the vandalism on Maxim’s outlets happened only because protesters had failed to move the government despite exhausting all peaceful means. Separately, businessman Christopher Chuang Tze-cheung launched a HKD$10 million reward for any Hongkonger who could offer a solution for the ongoing unrest. The head of TGM Group, which owns extensive financial technology businesses on the mainland, said he would only entertain livelihood issues and not political ones, and applicants could submit their proposals for a vote. Source

Mahathir says Singapore refuses to build new bridge although Malaysia ‘willing to sacrifice’ for it to ‘buy cheap water’ Jessica Lin Malaysia’s Prime Minister is bewildered. On Thursday (Oct 31), PM Mahathir Mohamad officially announced the going ahead of a cross-border system with Singapore called RTS Link, but he made clear that he did not see the RM3.16 billion (S$1 billion) as a complete solution to the congestion problem. Instead, he believes a new bridge would give Malaysians travelling to Singapore on motorcycles greater ease of access, since bikes are not allowed on the RTS. “The RTS will only solve part of the congestion issue because many motorists from Johor, in particular motorcyclists, cannot bring their motorcycles into the RTS and they would find it hard to travel to work,” The Star quoted him as saying. “We want to build a bridge but Singapore does not want to agree,” he added. Malaysia’s state news agency Bernama said in its report that the PM had expressed “bewilderment” over Singapore’s rejection of the idea of a bridge, which he said would solve the causeway congestion issue especially during weekends and holiday seasons such as Hari Raya. According to Bernama, the 94-year-old premier also said: “In the year 3000, I will not be around. By that time, there will be 100 million people in Johor wanting to go to Singapore…still there will be no new bridge..so I don’t see how we can be so accommodating to Singapore without Singapore not accommodating us.” “We may improve efficiency but as long as there is no bridge, we will not be able to solve the problems at the Johor Causeway,” he said. It its report, Bernama stated that around 70,000 motorcycles pass through the Bangunan Sultan Iskandar Customs, Immigration and Quarantine Complex – which is linked to Singapore’s Woodlands via the Causeway – every day. “You just see, we are willing to sacrifice money to support Singapore so that they can buy cheap water for themselves but when we want to build a bridge to solve traffic problem, they refuse to have the bridge…I don’t know why,” he was quoted as saying. According to The Star, Mahathir also said the state of Johor was being more generous with Singapore than it was with Melaka. “We are subsidising the people and the government of Singapore but Johor sells Melaka water at 50 sen. It is treating the other state in Malaysia with less generosity compared with Singapore,” he reportedly said. Mahathir also expressed interest to continue negotiations in its long-time dispute with Singapore over water price, saying: “One day of delay in discussing this matter means we lose millions, in fact it can even reach a billion ringgit.” Under the 1962 Water Agreement, Singapore is entitled to draw 250 mgd of raw water from Johor at three sen per 1,000 gallons, while Johor is entitled to buy 5 mgd of treated water from Singapore at 50 sen per 1,000 gallons. However, Singapore has been supplying Johor with a much larger volume of treated water – 16 mgd – at the same price, which Singapore has said is heavily subsidised, and just a fraction of the cost of the water treatment. In April, The Straits Times quoted Singapore’s PM Lee Hsien Loong as saying at a joint press conference held with Mahathir that he understood the Malaysian leader’s perspective, but that he hoped Mahathir would also be able to see why the agreement was “such a sacrosanct item” to Singapore. In a joint statement released after their meeting, the prime ministers said: “Both sides will seek amicable solutions, including the possibility of dispute resolution through arbitration on a mutually agreed basis.” Source