China's "peaceful rise" is giving way to a more muscular approach as Beijing broadens its "core interests" and exhibits a growing readiness to take risks.
As if to highlight its new multi-directional assertiveness, China's recent occupation of a 19-kilometre-deep Indian border area, close to where the frontiers of India, Pakistan and China converge, has coincided with its escalating challenge to Japan's decades-old control of the Senkaku Islands.
China is aggressively conducting regular patrols to support its sovereignty claims in the South and East China seas, while furtively enlarging its footprint in the Himalayan borderlands. While naval and air force units focus on asserting sovereignty claims on the seas, the army stays active in the Himalayas, nibbling at territory.
China is employing novel methods to alter its line of control with India in the mountains and valleys bit by bit - without having to fire a shot. For example, the Chinese army has brought ethnic Han pastoralists to the frontier and given them cover to range across the line. This tactic is designed to drive native herdsmen out of their pasturelands and assert Chinese control over those places.
Such subversion of the status quo, along with China's ever-expanding "core interests" - which have grown from Tibet and Taiwan to include Xinjiang and now the South China Sea and the Senkakus - is at the root of instability in Asia. This pattern of increasing Chinese assertiveness began when China revived its long-dormant claim to the large, north-eastern Indian state of Arunachal Pradesh just before the 2006 visit to India of China's then-president, Hu Jintao.
The resurrection of that claim was followed by territorial spats China provoked with several other neighbours. Together these signalled that China was staking out a more domineering role in Asia. It was as if China had decided that its moment had finally arrived.
For example, playing a game of chicken, China has been posing major new challenges to India, ratcheting up strategic pressure on multiple fronts, including stepping up cross-border military forays and questioning India's territorial sovereignty in key sectors.
China has repeatedly tried to breach the Himalayan border by taking advantage of the fact that this long, forbidding frontier is difficult for India to patrol effectively, since in many sections Indian troops are based at lower elevations. When an incursion is discovered, Beijing's refrain is that its troops are on "Chinese land."
Yet India remains focused on the process rather than on the substance of diplomacy. Process is important only if it buys time to build countervailing leverage. Unfortunately, a rudderless India has made little effort to craft such leverage.
India's defensive mindset has been on full display in the latest episode. It initially blacked out the April 15 incursion, just as it has suppressed its own figures showing a rising pattern of Chinese military forays across the border.
A whole week went by before New Delhi said a word on the record about the furtive Chinese ingress. The first official Indian comment came only after Beijing issued a bland denial of the incursion, in response to Indian media reports quoting army sources.
India's cautious, conciliatory response to the deepest Chinese incursion in more than a quarter of a century was revealed in its decision not to scrap its foreign minister's scheduled trip to Beijing this Thursday and to welcome Li Keqiang, the new Chinese premier on May 20.
This approach has invited rebuke from critics, who portray the intrusion as premeditated, muscle-flexing provocation backed by China's new leadership.
The immediate crisis eased on Sunday when the Chinese government agreed to end the three-week-old standoff, in return for India's acceptance of some Chinese demands, including the dismantling of some border-defence structures. China, meanwhile, conceded nothing, in a triumph for its coercive diplomacy.
As China's coercive power grows, it is beginning to use its capabilities against several neighbours to alter the status quo in its favour, without having to wage open war.
In light of this, India can maintain border peace only by leaving China in no doubt that it has the capability and political will to defend itself. If the Chinese see an opportunity to nibble at Indian land, they will seize it. It is for India to ensure that such opportunities do not arise.
India thus needs a counter-strategy to tame Chinese aggressiveness. Tibet remains at the core of the Sino-Indian divide. And India's growing strategic ties with the US increasingly rankle China.
To build countervailing leverage, India has little choice but to slowly reopen the central issue of Tibet - a card New Delhi surrendered at the altar of diplomacy. India's recognition of full Chinese sovereignty over Tibet was based on Beijing's acknowledgement that Tibet is an "autonomous region" in China. The fact that China has squashed Tibet's autonomy creates an opening for India to take a more nuanced position.
More broadly, China's strategy to assemble a "string of pearls" - ports, staging posts and hubs for expanding its interests and presence from East Africa to the Pacific - can be countered by India forming a "string of rapiers" with like-minded Asian-Pacific countries.
At the root of Asia's growing tensions and insecurity is China's strategic subversion of the status quo. Only cooperation can shield peace and economic growth; muscle-flexing will not accomplish it.
Brahma Chellaney is a strategic-studies scholar based in New Delhi. His most recent book is Water, Peace, and War.
A MINECRAFT MOVIE
Director: Jared Hess
Starring: Jack Black, Jennifer Coolidge, Jason Momoa
Rating: 3/5
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The rules on fostering in the UAE
A foster couple or family must:
- be Muslim, Emirati and be residing in the UAE
- not be younger than 25 years old
- not have been convicted of offences or crimes involving moral turpitude
- be free of infectious diseases or psychological and mental disorders
- have the ability to support its members and the foster child financially
- undertake to treat and raise the child in a proper manner and take care of his or her health and well-being
- A single, divorced or widowed Muslim Emirati female, residing in the UAE may apply to foster a child if she is at least 30 years old and able to support the child financially
NO OTHER LAND
Director: Basel Adra, Yuval Abraham, Rachel Szor, Hamdan Ballal
Stars: Basel Adra, Yuval Abraham
Rating: 3.5/5
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Killing of Qassem Suleimani
The specs
Engine: Dual 180kW and 300kW front and rear motors
Power: 480kW
Torque: 850Nm
Transmission: Single-speed automatic
Price: From Dh359,900 ($98,000)
On sale: Now
In numbers: PKK’s money network in Europe
Germany: PKK collectors typically bring in $18 million in cash a year – amount has trebled since 2010
Revolutionary tax: Investigators say about $2 million a year raised from ‘tax collection’ around Marseille
Extortion: Gunman convicted in 2023 of demanding $10,000 from Kurdish businessman in Stockholm
Drug trade: PKK income claimed by Turkish anti-drugs force in 2024 to be as high as $500 million a year
Denmark: PKK one of two terrorist groups along with Iranian separatists ASMLA to raise “two-digit million amounts”
Contributions: Hundreds of euros expected from typical Kurdish families and thousands from business owners
TV channel: Kurdish Roj TV accounts frozen and went bankrupt after Denmark fined it more than $1 million over PKK links in 2013
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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.
Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.
“Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.
Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.
“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.
Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.
From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.
Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.
BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.
Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.
Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.
“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.
Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.
“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.
“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”
The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”
Brief scoreline:
Wales 1
James 5'
Slovakia 0
Man of the Match: Dan James (Wales)
Indoor cricket in a nutshell
Indoor Cricket World Cup – Sep 16-20, Insportz, Dubai
16 Indoor cricket matches are 16 overs per side
8 There are eight players per team
9 There have been nine Indoor Cricket World Cups for men. Australia have won every one.
5 Five runs are deducted from the score when a wickets falls
4 Batsmen bat in pairs, facing four overs per partnership
Scoring In indoor cricket, runs are scored by way of both physical and bonus runs. Physical runs are scored by both batsmen completing a run from one crease to the other. Bonus runs are scored when the ball hits a net in different zones, but only when at least one physical run is score.
Zones
A Front net, behind the striker and wicketkeeper: 0 runs
B Side nets, between the striker and halfway down the pitch: 1 run
C Side nets between halfway and the bowlers end: 2 runs
D Back net: 4 runs on the bounce, 6 runs on the full
The National Archives, Abu Dhabi
Founded over 50 years ago, the National Archives collects valuable historical material relating to the UAE, and is the oldest and richest archive relating to the Arabian Gulf.
Much of the material can be viewed on line at the Arabian Gulf Digital Archive - https://www.agda.ae/en
ESSENTIALS
The flights
Fly Etihad or Emirates from the UAE to Moscow from 2,763 return per person return including taxes.
Where to stay
Trips on the Golden Eagle Trans-Siberian cost from US$16,995 (Dh62,414) per person, based on two sharing.
Mobile phone packages comparison
Company profile
Date started: 2015
Founder: John Tsioris and Ioanna Angelidaki
Based: Dubai
Sector: Online grocery delivery
Staff: 200
Funding: Undisclosed, but investors include the Jabbar Internet Group and Venture Friends
THE SPECS
Engine: 6.75-litre twin-turbocharged V12 petrol engine
Power: 420kW
Torque: 780Nm
Transmission: 8-speed automatic
Price: From Dh1,350,000
On sale: Available for preorder now
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Tuesday's fixtures
Kyrgyzstan v Qatar, 5.45pm
Fitness problems in men's tennis
Andy Murray - hip
Novak Djokovic - elbow
Roger Federer - back
Stan Wawrinka - knee
Kei Nishikori - wrist
Marin Cilic - adductor
