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Carnegie Endowment for International Peace

A New Approach to Problem-solving in the South China Sea

 

China's rebuff of U.S. Secretary of State Kerry's proposal that it freeze "provocative" acts in the South China Sea, made at the recent Asean Regional Forum meeting in Naypyidaw, Myanmar, was both predictable and predicted. In the face of an unyielding and recalcitrant China, Kerry's quixotic effort laid bare the bankruptcy of America's approach toward reducing regional tensions in the South China Sea. Clearly, the U.S. and its Asian partners -- not least the protagonists of the Association of Southeast Asian Nations -- need a better strategy.

The BRICS Bank: Now Comes the Hard Part

 

No sooner had the dust settled from the World Cup than Brazil played host to the five leaders of the BRICS countries—Brazil, Russia, India, China, and South Africa. An immediate outcome of the Fortaleza summit was the formation of the New Development Bank, a development finance institution to rival the World Bank. The group also announced a currency reserve pool as an alternative to the IMF. Done right, both initiatives could change the institutional landscape for multilateral development financing.

 

How Will Indonesia’s Next President Bend the Arc of History?

Indonesia is at a crucial moment in its history. Stretching behind it are 16 years of a post-Suharto era that saw the country quit authoritarianism, cold-turkey style, and plunge headlong into democracy and decentralization. The last decade has been under outgoing President Susilo Bambang Yudhoyono, who will reach his constitutionally mandated two-term limit in October. On July 9, he will hand the reins to one of two candidates standing in the country's presidential election.

U.S. Foreign Policy on Syria and Iraq: Between Words and Actions

Failed US policy toward the Syrian conflict plays a large role in the current Iraq crisis. As the advance of the Islamic State of Iraq and the Levant (ISIL) has shown, the Iraq problem cannot be understood in isolation from Syria. This means that the United States cannot be effective in its engagement in Iraq unless it addresses both crises simultaneously.

Moscow’s Task is to Build a Nation Not an Empire

If the Maidan protests and their aftermath did not disabuse Russia of the hope of a Eurasian Union that includes Ukraine, the signing last week of EU association agreements on economics and trade with Ukraine, Georgia and Moldova should have done so. Three former Soviet republics are now linked, however loosely, to the EU.

The Egyptian Muslim Brotherhood’s Failures

To understand Egypt’s current political situation, it is crucial to examine how and why the Muslim Brotherhood—a leading political actor just over a year ago—met its demise so suddenly and forcefully. Though it had to operate in a hostile political environment, the Brotherhood ultimately fell because of its own political, ideological, and organizational failures.

Choosing Security and Freedom in Egypt

 

Egyptians, it seems, are being asked once again to exchange their political freedoms for stability and security. However, the expanding clampdown on fundamental rights overlooks the fact that security and stability cannot be attained in the absence of freedom.

Corruption: The Unrecognized Threat to International Security

Systemic corruption has an unrecognized bearing on international security. Policymakers and private companies often pay insufficient attention to corruption when deciding what foreign and defense policies to pursue or where to invest. Greater understanding of the nature of acute corruption and its impact on global security would contribute to a better assessment of costs and benefits and therefore to improved policy and practice.

 

Banking on Myanmar: A Strategy for Financial Sector Reform

Once the envy of Asia, Myanmar’s financial sector is now a shadow of its former self. After decades of misguided junta-led strategies, state ownership, and policy shocks, confidence in cash as a safe asset and banks as trustworthy institutions has evaporated. Finance is a binding constraint on Myanmar’s future development. The government needs a reform strategy that supports the financial sector’s rapid development while ensuring its stability, efficiency, and accessibility.

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