AllSBNews: 02/24/16

Wednesday, February 24, 2016

The Irrawaddy Magazine

The Million Dollar Mismanagement of Mrauk U
88 Generation Activist Detained For Role in Protest One Year Ago
Rice Exports Down as Fiscal Year Nears End
Mon National Day Marked with Renewed Hope for Genuine Federalism
With Prudent Policies, World Bank Forecasts Rapid Growth in Burma
State Media: ‘Combined Operations’ Launched in Shan State
Rangoon’s Best Breakfast Dim Sum
Silence May Not Be Golden as India’s Modi Lays Low During Unrest
US-China Tensions Persist Despite Progress on NKorea
Former Thai PM Thaksin Warns on Economy, Says No Deal with Military

The Million Dollar Mismanagement of Mrauk U

Posted: 24 Feb 2016 05:07 AM PST

MRAUK U, Arakan State — Throughout outgoing President Thein Sein's term, the Arakan State government spent 1.5 billion kyats (over US$1.2 million) to preserve the remnants of the ancient Arakanese Mrauk U kingdom, according to the state's annual audit report.

Yet some officials connected with the project allege that it has been fraught with mismanagement. Khin Than, chairperson of Mrauk U-based Heritage Trust, claims that halls within two famous temple complexes—the Ko-thaung and Shite-thaung pagodas—were damaged by government contractors' negligence. New shrines were built alongside originals, she added—constructed out of concrete and sandstone.

Archaeologists and scholars of Mrauk U, which boasts more than 1,500 documented temples, have advocated for its classification as a UNESCO World Heritage Site, but fear that unscrupulous renovation of the ancient locale will put such an achievement further from reach.

'The Conservation Was Wrong'

Nyein Lwin, director of the Mrauk U Department of Archaeology and Cultural Heritage Conservation, admitted that reconstruction at Mrauk U had been carried out instead of maintenance. This often involves the use of concrete and new stones, rather than brickwork more authentic to the original structures.

Contractors lack experience to properly preserve the temples and pagodas, he explained, clarifying that much of the work was carried out before he stepped into the directorial role three months ago.

"I saw a pagoda… the conservation was wrong—it was reconstructed," Nyein Lwin said, describing a site within the Shite-thaung complex. "[It] was reconstructed with bricks, sand and stone. It is a 2015 model. It can't be a Mrauk U model anymore. I can't feel it [is an original]."

Some original Shite-thaung pagodas had echo chambers and an air circulation system built into the architecture, but after the preservation, both had been disabled.

Arakan State's Statistical Department Chief Tun Aung San also admitted that local contractors had proven "unskillful" in working on the ancient Mrauk U temples.

Exponential Budget Increase

The deputy director of the Sittwe Department of Archaeology and the National Museum provided The Irrawaddy with an annual report revealing that the regional government budget for Mrauk U maintenance had increased exponentially, from 8.4 million kyats (US$6,800) in 2011 to 639 million kyats (US$515,800) at present.

Over the last five years, a total of 1.5 billion kyats (US$1.2 million) has been poured into the ancient ruins.

Nyein Lwin claims he was kept in the dark about the funds allocated by the state before his tenure. This reportedly topped 665 million kyats (US$536,800) during 2014-15, while the project was managed by the Sittwe Department of Archaeology in the Arakan State capital.

When he became the Mrauk U archaeology department's director, Nyein Lwin said that he identified discrepancies in the project's audit report, which led him to file a complaint with the Arakan State chief minister. He noticed that five renovations which had not yet been completed were marked as done, and the local companies responsible had prematurely collected payment for the projects.

Nyein Lwin said he requested that the contractors provide cost estimates for the undertaking and a performance guarantee—which most failed to present.

If a contractor does not complete a project satisfactorily, authorities are supposed to take action, Tun Aung San explained. Yet he declined to say whether the state government follows through on this responsibility, simply adding that they "manage" any problems that arise.

Despite allegations of poor work performance, Tun Aung San revealed that, to his knowledge, the statistical department had not yet scrutinized the 2015-16 budget for the Mrauk U project.

Open or Closed Tender?

According to the official audit list, contractors who were selected to lead the Mrauk U restoration include well-connected Union Solidarity and Development Party (USDP) members, a Sittwe hotel owner, and construction companies like Nilar Myint Myat, Myanmar Ariyan and Roma Mandaing.

How certain local contractors obtained key positions on the project remains ambiguous. Burmese government protocol states that if a proposal is valued at above five million kyats (US$4,000), a "tender competition" is announced; if a project is appraised at 50 million kyats (US$40,300) or more, the public is informed through state-owned newspapers to facilitate competitive bidding.

The Irrawaddy was unable to clarify whether the Arakan State government had called for an open tender for Mrauk U's temple maintenance.

"I don't know whether the tender was open or closed. And even at the Mrauk U branch, we don't know how many contractors are operating here," Nyein Lwin said, the latter claim also echoed by the Sittwe Department of Archaeology's deputy director.

Arakan State's audit chief told The Irrawaddy that such decisions are left up to regional authorities, and it was unclear if they adhered to a transparent bidding procedure.

"It's difficult to say whether the majority of tender cases are open or closed. It depends on the state government's plan," he said.

When contacted by The Irrawaddy, Moe Hein, a director within the Arakan State government, denied that the state privately handled tenders for such projects.

'Intentional Violation of Laws'

Further controversy has been courted by state government plans to construct a museum in a colonial era building which was once a Mrauk U palace.

Arakan State authorities have reportedly offered 300 million kyats (US$242,200) to a local businessman to complete the project during the 2016-17 financial year.

The Mrauk U Heritage Trust objects to the project on the grounds that it violates a 1998 law prohibiting both the reconstruction of ancient structures and the construction of new buildings at heritage sites.

"The state government and the Department of Archaeology and Cultural Heritage Conservation are intentionally violating the existing laws. The projects are shared with their close [relations] and after that, our heritage is destroyed," said Khin Than, chairperson of the Trust.

She lamented that some business contractors had already received official permits to construct guesthouses and hotels nearby.

Nyein Lwin speculated that some government officials might be unaware of laws banning on-site construction, but added that the responsibility to enforce the rules remained with the manager of the project.

"If Snr-Gen Min Aung Hlaing gave a command to fight, it is the frontline commander, and not Min Aung Hlaing [that has to do it]," said Nyein Lwin, referring to the Burma Army chief. "Whether they win or are defeated depends on the commander's qualifications."

"It is the same here," he concluded, stressing the importance of lower level leaders in Mrauk U's chain of authority. "The operation manager is key."

The post The Million Dollar Mismanagement of Mrauk U appeared first on The Irrawaddy.

88 Generation Activist Detained For Role in Protest One Year Ago

Posted: 24 Feb 2016 03:29 AM PST

Nilar Thein [front, center] is arrested at the 88 Generation Peace and Open Society office in Rangoon on Wednesday. (Photo: Kyaw Kyaw Htwe / Facebook)

RANGOON — Nilar Thein, a leading member of the 88 Generation Peace and Open Society, was arrested on Wednesday under the Peaceful Assembly Law for allegedly participating in a protest a year ago in support of students advocating for education reform.

The prominent activist made a brief court appearance in Rangoon Division's Mayangone Township on Wednesday and is currently incarcerated at Insein Prison.

Nilar Thein's husband Jimmy, who is also a member of the 88 Generation group, told The Irrawaddy that the activist was charged under Article 18 of the Peaceful Assembly Law for involvement in a protest in Rangoon held in support of students demanding amendments to the National Education Law.

He said police were acting on an arrest warrant and that the former political prisoner had waived the right to appeal for bail.

"We will not seek bail or pay a fine. But we will respond against the police warrant in accordance with the law since they accused her of being a fugitive, though she didn't run away," he said.

Frequently used to imprison peaceful activists, Article 18 of the Peaceful Assembly Law prescribes sentences of up to six months for individuals found guilty of participating in an unlawful protest.

The post 88 Generation Activist Detained For Role in Protest One Year Ago appeared first on The Irrawaddy.

Rice Exports Down as Fiscal Year Nears End

Posted: 24 Feb 2016 02:42 AM PST

A worker unloads rice from a boat a jetty on the Rangoon river, October 23, 2015. (Photo: Soe Zeya Tun / Reuters)

RANGOON — Due to the lingering effects of torrential flooding and El Niño, Burma's rice export volume is expected to dip in the 2015-16 fiscal year, industry experts said.

With just one month left in the fiscal year, which began in April 2015, rice export volume has reached only 1 million tons, according to figures from the Ministry of Commerce.

Myint Cho, director of the Ministry of Commerce, said that he expects rice exports to fall short by more than 200,000 tons, with the exact figure currently at 1.037 million tons, compared to the 1.255 tons that had been exported over the same period last year.

"We won't match last year's record, with the major reasons being the floods last year [in July and August] and the fact that some rice exporters and traders are concerned about not having rice for the summer [because of El Niño], so they're storing rice," Myint Cho said.

"Rice prices increased last year because of these floods, so traders are preparing for prices to remain the same this time. There's also less production here," he added.

By the end of the 2014-15 fiscal year, Burma exported a total of 1.84 million tons of rice, including broken rice. Of this, 1.3 million tons went to China. Besides China, Burma also exports rice to Germany, Indonesia, Poland, Singapore and Thailand.

In recent weeks the Myanmar Rice Federation (MRF) has been urging the government to prepare rice reserves for a potentially extreme El Niño period in the months ahead.

Ye Min Aung, MRF secretary, said that the public sector should also prepare rice reserves because of the potentially severe weather on the horizon.

"I'm not concerned about summer paddies but about rain paddies, because it [El Niño] may delay rain for the harvest season later. We should keep an eye on this," Ye Min Aung said.

"We'll also have to be careful about market speculation, because if some traders try to speculate how the market will move, the price of rice could increase."

Despite an official Chinese ban on Burmese rice imports, traders in Burma have recently been focusing on trade across the Sino-Burmese border. Moreover, domestic prices have increased compared to normal trade prices in the world market, Myint Cho explained.

"The world price is less than US$400 per ton, while the Chinese price is over $400, so most [of Burma's] rice is going to China," he said.

Ministry figures estimate that Burma produced more than 13 million tons of rice over 23 million acres of paddy during the fiscal year 2014-15. At least 9 million tons were used for local consumption, while about 1.8 million tons went to the export market.

The post Rice Exports Down as Fiscal Year Nears End appeared first on The Irrawaddy.

Mon National Day Marked with Renewed Hope for Genuine Federalism

Posted: 24 Feb 2016 02:07 AM PST

Ethnic Mon celebrate Mon National Day in Chaungzon Township on Feb. 24, 2016. (Photo: Lawi Weng / The Irrawaddy)

CHAUNGZON TOWNSHIP, Mon State — Dressed in traditional white shirts with red longyis, thousands of ethnic Mon celebrated the anniversary of their national day on Wednesday with songs, marches and dancing.

In matching uniforms, marchers on Bilu Island in Mon State's Chaungzon Township, where this year's main ceremony was held, paraded with drums and Mon flags.

"We hold this celebration as we intend to fight for our self-determination," said Ah Deepa Wansa, an ethnic Mon senior Buddhist monk, in an address to the crowd.

"We can celebrate our national day peacefully now. But those who celebrated it in the past, they were arrested by the regime. We need to pay respects to persons who maintained our national day."

Mon National Day, which is marked annually one day after the full moon day of the lunar month of Thabodwe, commemorates the establishment of the first Mon kingdom, Hongsawadee, in 573 AD.

Ah Deepa Wansa drew on this rich history in his speech on Wednesday.

"We had a kingdom in the past, but not anymore. We should all be concerned for our ethnic peoples' culture and literature, [or it] will disappear," he said.

With the National League for Democracy (NLD) set to lead government from April 1, many Mon leaders are hopeful that a more federal system will be instituted granting Mon and other ethnic nationalities more autonomy over their own affairs.

Ethnic Mon parties performed disappointingly in last November's election. The Mon National Party claimed two state and one Upper House seat while the All Mon Region Democracy Party won a solitary seat—a constituency in Chaungzon Township for the state parliament.

Some voters blamed the two major parties failure to merge into a single entity as a key reason for their dismal electoral showing.

"We need to fight for our federal system," Ah Deepa Wansa said on Wednesday. "But we need a real Mon government as only Mon understand our [affairs]."

In a speech to attendees on Wednesday, Min Kyi Win, a state lawmaker with the Mon National Party, cited ongoing conflict despite the years-long peace process as a sign there was much work left to be done to safeguard the rights of the country's ethnic nationalities.

NLD leader Aung San Suu Kyi sent a statement to the event's organizers, recognizing the unique Mon history and culture and expressing support for a "genuine federal system in Burma, with equal rights and self-determination" for all.

The post Mon National Day Marked with Renewed Hope for Genuine Federalism appeared first on The Irrawaddy.

With Prudent Policies, World Bank Forecasts Rapid Growth in Burma

Posted: 24 Feb 2016 01:43 AM PST

People walk by a construction site of new apartment buildings in Rangoon, November 4, 2015. (Photo: Jorge Silva / Reuters)

RANGOON — In a new report, the World Bank said Burma's economy has the potential to grow rapidly, by up to some 8 percent per year in real terms over the next five years, if the new government is able to put the right policies in place.

The report, released on Tuesday and called "All Aboard: Policies for Shared Prosperity in Myanmar," teases out development opportunities and reform options for Burma in the years ahead under a new government.

Ulrich Zachau, the World Bank's country director for Southeast Asia, said, "Myanmar is at a historic milestone in its political and economic transition. The great opportunity for Myanmar is to turn continued strong economic growth into better lives for all the people of Myanmar."

Zachau identified three policy directions that would be key to spurring such growth: "The further opening and diversification of the economy, with a level playing field for the private sector and structural shifts to more productive and labor intensive activities; nationwide programs to achieve, over time, universal access to basic education, health, and energy services of reliable quality; and transparency and accountability in the public sector."

Some among the local business community in Burma have expressed optimism that a new government led by the National League for Democracy (NLD) can spur growth in the country and entice more foreign investment.

"Myanmar has the potential to follow a similar path of inclusive growth as other Asian countries that enjoyed long periods of rapid income growth," said Abdoulaye Seck, the World Bank's country manager for Burma.

"The country faces a long road ahead in addressing continued challenges to close disparities across Myanmar's geography, ethnic communities and income groups. The World Bank Group looks forward to continuing to support the people of Myanmar in overcoming these challenges."

But despite many observers' widespread optimism, Chit Khine, chairman of the Eden Group of Companies, is approaching the situation with caution, saying that though he agrees with the World Bank's prediction for growth in Burma, he is concerned about how the new government will handle the damage left behind by President Thein Sein's administration.

"[I worry about the] weak financial management of the previous government, and I'm concerned weather change might harm the country's agriculture sector," Chit Khine said.

"The country's economy can grow as fast as the World Bank said, but the new government will need to better manage everything."

The post With Prudent Policies, World Bank Forecasts Rapid Growth in Burma appeared first on The Irrawaddy.

State Media: ‘Combined Operations’ Launched in Shan State

Posted: 23 Feb 2016 10:44 PM PST

The Shan National Flag is seen as soldiers from the Shan State Army-South march in formation during a military parade celebrating the 69th Shan State National Day at Loi Tai Leng, the group's headquarters, on the Thai-Burma border, February 7, 2016. (Photo: Soe Zeya Tun / Reuters)

An article in state-run media proclaimed on Wednesday that the Burma Army was conducting "combined operations in Shan State," the scene of recent hostilities between two ethnic armed groups.

However, the article in the state-run Global New Light of Myanmar, based on an announcement from the defense ministry on Tuesday, did not explain what "combined operations" involved, nor explicitly which armed group was targeted, though the Shan State Army-South was singled out for operating outside its "designated" territory.

Fighting between the Ta'ang National Liberation Army (TNLA) and the Shan State Army-South (SSA-S) first flared in November last year but intensified earlier this month. Clashes were reported in at least two townships in northern Shan State, Kyaukme and Namkham, leading to the displacement of thousands of civilians.

The Ta'ang armed group has accused government troops of cooperating with the SSA-S—allegations repeatedly denied by the latter force. The Global New Light of Myanmar article on Wednesday indicated that the Shan force had in fact been rebuked by the Burma Army over the recent fighting.

The article states that the commander of North Eastern Command, which is based in Lashio, "sent a letter of complaint denouncing the acts of [the SSA-S]" and requested the group return to its "designated" territory—a request that was reportedly refuted.

Hla Maung Shwe, a senior leader of the Myanmar Peace Center, denied on Wednesday that any combined military operation had been launched but did confirm that a letter had been sent to the SSA-S reminding them to respect the nationwide ceasefire agreement (NCA).

The SSA-S, also referred to by its political wing, the Restoration Council of Shan State (RCSS), was one of eight armed groups that inked the pact in October last year, while the TNLA did not.

"The Tatmadaw [Burma Army] wants the RCSS and TNLA to return to their respective territories. Otherwise, the Tatmadaw will clear them out. It is not a joint operation," Hla Maung Shwe said.

He speculated that the Shan armed group's reply to the Burma Army's original letter may have been misinterpreted.

On Monday, representatives of the Myanmar Peace Center, including chief peace negotiator Aung Min, alongside former lieutenant general Khin Zaw Oo, met with RCSS leaders in Chiang Mai, Thailand, to discuss the ongoing clashes.

The post State Media: 'Combined Operations' Launched in Shan State appeared first on The Irrawaddy.

Rangoon’s Best Breakfast Dim Sum

Posted: 23 Feb 2016 09:25 PM PST

Dim sum in Rangoon. (Photo: Foodie Myanmar / Facebook)

RANGOON — In the past, Rangoon offered few breakfast choices—fried snacks and mohingya at teashops were the trusted staples. An addition to the local palate is dim sum, a collection of Cantonese dumplings, buns and rolled noodles stuffed with various savory fillings, traditionally delivered to customers' tables on a wheeled cart. If this assortment of bite-sized dishes appeals as a hearty breakfast, here are some of Rangoon's most promising dim sum eateries, recommended by Foodie Guide.

Fook Mun Lau: This restaurant is conveniently located for those who live near 8 Mile Road and the Kabar Aye neighborhood. It is a seafood restaurant, but it also offers some of the best ocean fare in Rangoon. But take note—dim sum is only available on weekends.

Royal Garden: This waterside restaurant lies on the shores of Kandawgyi Lake. Though the restaurant is usually reserved for wedding receptions at night, dim sum is available in the mornings. Regarded as premium fare, the dumplings are generously sized, soft and delicious—but they are as expensive as they look.

The Garden Bistro: Another Kandawgyi Lake eatery, the Garden Bistro, is located next to Signature Fine Dining Restaurant. It has spacious car parking and a playground for children. Considered to be one of the best dim sum restaurants in Rangoon, here one can enjoy breakfast with pleasant lakeside views.

Imperial Garden: Situated on the third floor of Myanma Plaza, one of Rangoon's newest shopping centers, the Imperial Garden opens later than other restaurants due to its mall location. The variety of available dim sum is slim and it is pricy, but what is on offer is one of the best Cantonese breakfasts in town.

Crystal Jade: Crystal Jade has opened popular dim sum restaurants at Excel Tower and New University Avenue Street.

Oriental House: This is one of Rangoon's original dim sum houses. The ever-present crowds reflect its popularity, though customers might face the occasional inconvenience placing orders in this bustling environment. Low prices and high food quality have contributed to its expansion—there are now five branches of Oriental House throughout the city, the newest being on Inya Street in the Rangoon University compound.

Because dim sum restaurants usually open in the wee hours of the morning, it should be noted that the quality of their offerings usually declines after 10 am. Therefore, Foodie Myanmar would suggest that patrons enjoy their dim sum as early as possible.

This article was written by Foodie Myanmar. Available for download in the Google Play Store, the Foodie Myanmar app will help you discover great places to eat and ways to share your foodie moments. Available at: http://bit.ly/InstallFoodieMyanmarOnAndroid

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Silence May Not Be Golden as India’s Modi Lays Low During Unrest

Posted: 23 Feb 2016 09:23 PM PST

India's Prime Minister Narendra Modi speaks during the inauguration ceremony of the "Make in India" week in Mumbai, India, February 13, 2016. (Photo: Danish Siddiqui / Reuters)

WASHINGTON — Amid the clamor of unrest sweeping university campuses and the state of Haryana near New Delhi, Indian Prime Minister Narendra Modi has decided on a strategy that risks emboldening political opponents: silence is golden.

Advisers describe a leader who is on top of events, but who prefers not to get sucked into rowdy debate on India's public square.

In recent weeks, thousands of students have protested across the country over the arrest of a student leader for alleged sedition, while anger among the powerful Jat community over caste-based job quotas spilled into deadly clashes in Haryana.

"He [Modi] believes that his popularity comes from being seen as a serious politician who gets on with his work," said a leader of Modi's ruling party, who spoke on condition of anonymity. "He does not believe in giving a running commentary."

An adviser said that Modi, 65, would instead give a sober assessment of recent unrest to parliament, which convened this week for its budget session in a climate of confrontation that is likely to further stall his ambitious economic reform agenda.

Modi's reticence, also evident during floods last year and a high profile attack by militants in early 2016, has undermined the image of a decisive leader who swept to power in May, 2014, defeating a Congress government led by the taciturn Manmohan Singh.

"The silence raises questions about being on top of your brief," said Milan Vaishnav, an associate at the Carnegie Endowment for International Peace.

"That conversation has begun: Modi is a person who we thought was a decider; a CEO-like leader. But if we are now getting signals that he is not necessarily the effective administrator we thought he was, that is becoming a problem."

A new opinion poll showed Modi's popularity holding up, while Congress has bounced back from its dire election showing of 2014, validating a strategy of blocking reforms and latching on to protests as they flare up.

If a general election were held now, Modi's nationalist alliance would win, but with a sharply reduced majority. Congress would double its seat share, according to the poll for India Today magazine published last week.

Leadership Vacuum?

Modi's silence on unforeseen events contrasts with his reputation as an effective communicator, through rousing speeches and social media, when broadcasting his vision of inclusive growth and development for India's 1.3 billion people.

When he does retreat from public view, aides have been known to step in, not always with happy consequences.

After the arrest for sedition of Kanhaiya Kumar, a student leader in New Delhi, Home Minister Rajnath Singh circulated a fake tweet that falsely suggested a campus protest had the support of a notorious Pakistani militant.

Delhi's police chief showed no remorse when officers failed to prevent lawyers manhandling Kumar in court, while education minister Smriti Irani backed a decision to fly Indian flags, from 207-foot (63-metre) flagpoles, on campuses across the country as a reminder to "anti-national" elements.

Meanwhile, the unrest has revived Congress' leader-in-waiting, Rahul Gandhi, who has joined students on the barricades and shows no signs of ending opposition to a key tax reform that has been blocked in parliament.

In Haryana, its chief minister fell foul of the powerful Jat caste, which turned to violence when he failed to meet their demands for affirmative action on jobs and education.

More than a week of protests killed 19 people, injured 170, destroyed businesses, paralyzed transport and cut water supplies to metropolitan Delhi.

A spokesman for Chief Minister Manohar Lal Khattar, who is from Modi's Bharatiya Janata Party, said he was determined to address the legitimate demands of the Jat community, while those responsible for the violence would be punished.

"He will carry on. He enjoys the full faith and confidence of party leaders," spokesman Amit Arya said.

At the weekend, rather than intervening, Modi blamed unnamed outside conspirators for "hatching conspiracies every day to finish and defame me".

Leaders have echoed his rhetoric, with Parliamentary Affairs Minister Venkaiah Naidu on Tuesday criticizing "false propaganda, anti-government propaganda".

"When Modi starts seeing a conspiracy in everything I think he is in serious trouble," said Nilanjan Mukhopadhyay, author of "The Man, The Times", a biography of Modi.

"It is an admission that he is not able to manage the thrust of his government. So he has to apportion the blame to someone."

The post Silence May Not Be Golden as India's Modi Lays Low During Unrest appeared first on The Irrawaddy.

US-China Tensions Persist Despite Progress on NKorea

Posted: 23 Feb 2016 09:02 PM PST

US Secretary of State John Kerry (R) and Chinese Foreign Minister Wang Yi hold a joint news conference after their meeting at the State Department in Washington, February 23, 2016. (Photo: Yuri Gripas / Reuters)

WASHINGTON — The US and China showed no sign of quelling tension in the disputed South China Sea as their top diplomats met in Washington on Tuesday. A leading US military officer told Congress that China was seeking to control East Asia.

But there was progress on another front. Secretary of State John Kerry and Chinese Foreign Minister Wang Yi said they were close to agreement on a UN resolution to punish North Korea after its recent nuclear test and rocket launch.

China has been reluctant to impose the kind of tough sanctions on its neighbor and traditional ally North Korea that the US has been seeking. But an even more pervasive source of strain in the relationship between the two world powers has been over accusations over militarization in the South China Sea, an important thoroughfare for world trade.

China claims it has a historical right to most of those strategic waters, and has undertaken a massive land reclamation and construction effort on land features although five other Asian governments have territorial claims in the area. The US is not a claimant but says it has an interest in maintaining peace and stability, and freedom of navigation and commerce.

The rhetoric has heated up since it emerged last week that China had Beijing deployed anti-aircraft missiles on a disputed island in the Paracels chain. Then on Monday, a US think tank reported that China has built new radar facilities in the Spratly Islands, which lie further south.

The commander of US forces in the Pacific, Adm. Harry Harris, confirmed Tuesday new radar on Cuarteron Reef in the Spratlys. He told the Senate Armed Services Committee that China's construction and military facilities are changing the operational landscape in the South China Sea.

Harris said that China is militarizing the South China Sea, "and you have to believe in a flat Earth to think otherwise."

After meeting Chinese Foreign Minister Wang Yi, Secretary of State John Kerry said that steps by China, Vietnam and others have created an escalatory cycle.

"Regrettably there are missiles, fighter aircraft, guns, artillery and other things that have been placed in the South China Sea, and this of great concern to everyone who transits and relies on the South China Sea for peaceful trade, commerce and use," Kerry told a joint news conference. He did not elaborate on who had moved fighter aircraft to the region.

Fox News reported Tuesday that China had deployed fighter jets to Woody Island—the location in the Paracels where it had deployed anti-aircraft missiles. Capt. Darryn James, US Pacific Command, did not confirm the report but said China has deployed some of its most advanced fighter aircraft to that island over the last couple of years.

China denies it has aggressive intent. Wang contended that Beijing had shown restraint. He accused other countries of military construction on what he asserted were Chinese reefs and atols.

In a poke at recent US freedom of navigation operations in the region, Wang said China does not want to see, "more close-up military reconnaissance, or the dispatch of missile destroyers or strategic bombers to the South China Sea."

Harris, however, said he supported regular freedom of navigation operations by the U.S.

Asked what about the strategic goal of China's military buildup in the region, Harris told lawmakers: "I believe China seeks hegemony in East Asia." When asked if that meant regional control, Harris concurred.

However, Wang and Kerry both stressed the importance of cooperation between the US and China, and expressed hope of reaching agreement soon on a UN Security Council resolution that is expected to stiffen international sanctions against North Korea.

Kerry said a draft was being evaluated in both Washington and Beijing, and if approved it would go beyond previous resolutions against North Korea over its nuclear and missile programs. Wang said a resolution could be passed in the "near future."

It's been seven weeks since the North's Jan. 6 nuclear test, which was followed by a Feb. 7 rocket launch. While China has joined in the international criticism, it has balked at imposing sanctions that could threaten the stability of North Korea.

Wang said a resolution alone cannot resolve the North Korean nuclear issue and that dialogue was needed.

He said China was urging a "parallel track" in which there were both talks on denuclearization—the top priority of the United States—and replacing the armistice that ended the 1950-53 Korean War with a formal peace treaty—a key demand of Pyongyang.

The long-standing US position has been that North Korea needs to disarm first, but the Obama administration has recently indicated some flexibility on this point, although it says Pyongyang remains reluctant to resume talks on its nuclear arsenal.

Kerry said Tuesday that North Korea can ultimately have a peace agreement with the US if it will come to the table and negotiate denuclearization.

"We want a negotiated outcome," he said.

Already this month, the US has taken tougher steps of its own against North Korea, tightening sanctions and announcing it will hold formal talks with its close ally South Korea on deploying a missile defense system that China fears could be used against it as well North Korea.

Kerry said that both Russia and China have expressed concern over the missile defense system. He said the system would not be needed "if we can get to denuclearization."

The post US-China Tensions Persist Despite Progress on NKorea appeared first on The Irrawaddy.

Former Thai PM Thaksin Warns on Economy, Says No Deal with Military

Posted: 23 Feb 2016 08:53 PM PST

Former Thai Prime Minister Thaksin Shinawatra looks on as he speaks to Reuters during an interview in Singapore, February 23, 2016. (Photo: Edgar Su / Reuters)

SINGAPORE — Fugitive former Thai Prime Minister Thaksin Shinawatra warned Thailand's ruling generals on Tuesday that a prolonged stay in power will only worsen economic hardship in Southeast Asia's second-largest economy.

The junta, which took power following a May 2014 coup, has struggled to revive Southeast Asia's second-largest economy amid falling exports and high household debt and critics say economic mismanagement is the biggest threat to its hold on power.

Speaking to Reuters in Singapore, Thaksin, 66, said the junta lacked the vision and talent to fix an economy in disarray.

"It is a government with no freedom and no pool of talent to drive the economy," Thaksin told Reuters. "The longer they stay, the longer economic hardship is going to be there."

A decade of turbulent politics has pitted Thaksin and his sister, former Prime Minister Yingluck Shinawatra, whose government was ousted in the 2014 coup, against a royalist-military establishment that sees the Shinawatras as a threat.

Thaksin on Tuesday denied long-standing reports he had struck a backroom deal with the military to leave his personal and family interests untouched in exchange for a retreat from politics.

"We are not talking. I have never telephoned anyone. I don't know why I would get in touch with them and I have no need to," Thaksin said.

Thaksin has lived in self-imposed exile for nearly eight years, mainly in Dubai.

In 2010, he urged his "red shirt" followers to mobilize protests calling for elections that ended in a bloody confrontation with the military in which more than 90 people died. His legacy of village welfare and cheap rural loans made him a hero in red shirt country in the rural north and northeast where he still commands huge respect.

But critics, including the urban elite, accuse Thaksin, a former police colonel turned telecoms tycoon, of widespread corruption. He was sentenced to two years in prison in 2008 for graft in a land purchase case, which he says was politically-motivated.

The May 2014 coup was the latest installment in more than a decade of bitter power struggle that has weakened an economy that was once a shining beacon of progress in Southeast Asia.

Thailand has gone through six prime ministers since Thaksin was removed in a 2006 coup and finds itself once again at a crucial political juncture.

The junta has promised elections next year. But some critics are skeptical, saying the military's objective is to block Thaksin's allies from returning to power and to consolidate the military's own powers by writing them into a new constitution.

Another undercurrent of the crisis is a deep anxiety over the issue of royal succession. Ailing King Bhumibol Adulyadej, 88, the world's longest reigning monarch, has been in hospital since May and has been treated for various illnesses.

His heir, Crown Prince Vajiralongkorn, does not command the same respect as his father. Ensuring a smooth succession will be a daunting task for whoever is in power.

Thaksin was reputed to be close to the prince but said he has not seen him since 2007.

"There is no relationship with him, only that I respect him," he said.

Thaksin's decision to speak to media this week has riled the junta.

"He remains a person without credibility who thinks he is above the law," government spokesman Major General Sansern Kaewkamnerd told reporters.

The government has rejected Thaksin's offer to hold formal talks on the country's political future.

"They said they can't talk to me because of the cases against me but a coup is a bigger crime," Thaksin said.

Thaksin, who said he spends his time meeting up with old friends including former heads of state, said he has adjusted to his nomadic life and makes, on average, 120 landings a year in his private jet.

He believes he will return to Thailand one day but won't go back to face charges or live under house arrest because of previous assassination attempts.

"I am confident I can return," he said. "I am not the bad person I am accused of being."

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