Search | Poverty Spotlight | Past Editions | Print
TOP HEADLINES 19 May 2008
1. PRC: Lack of clean water adds to woes in quake-hit area
2. INDONESIA: Why are state universities so expensive?
3. PHILIPPINES: Improve social security services for informal sector
4. VIET NAM: Catfish farmers hit by double blow
5. BANGLADESH: Water supply system in disarray
6. FIJI: Economy struck by 'stagflation'
7. PRC: Earthquake to effect monetary policy
8. MYANMAR: Cyclone leaves local rice market devastated
9. SRI LANKA: Feasible agricultural policy needed
10. ASIA: The rising of the region
IN DEPTH
1. PRC: Lack of clean water adds to woes in quake-hit area
Source: Reuters

"Rain is hampering rescue efforts in quake-ravaged Sichuan province and reservoirs are pressing against weakened dams. But for some people there is not a drop to drink. As rescuers try to find people trapped in the rubble of last Monday's earthquake, officials are also worried about supplying water to millions of people living in damaged towns or tent camps. In Yingxiu, accessible only by foot in the days after the quake, the only available bottled water appeared to be that scavenged from wrecked homes and hotels.

In badly-hit, mid-sized cities like Mianzhu or Dujiangyan, pipe damage means that water supply for the short term will be irregular and pressure abnormal. The public water system has been completely destroyed in Beichuan and Wenchuan, near the epicenter. The destruction of factories, small workshops and cars could add to the water problem, if spilled chemicals and motor fuel make their way into streams and rivers."



 ADBI What's New

News & Events
LAEBA 2008 Conference: Trade Costs and Regional Cooperation (17-18 June)

Research Publications
Managing Capital Flows: The Case of Viet Nam



2. INDONESIA OP/ED: Why are state universities so expensive?
Source: Jakarta Post

"A recent survey showed that state universities in Indonesia are still too expensive for most students. The entrance and tuition fees of Indonesian state universities could reach $10,802 and $7,561, respectively. State universities have little choice but to charge high fees to university entrants since their government subsidies were withdrawn in 2000. Still, these fees are too expensive for most Indonesian families to bear.

It is difficult to understand why Indonesian state universities are so expensive. Unlike their wealthy peers, poor but bright students now find it difficult to enter state universities because they cannot afford the expensive entrance and tuition fees. Even the scholarships provided by the government and the private sector only cover 2.4 percent of all university students."



3. PHILIPPINES OP/ED: Improve social security services for informal sector
Source: Manila Times

"There is currently very little formal production in the previously robust Philippine economy. From four years ago, many enterprises have even started their slow demise, cutting down production as each year unfolds. Yet small workshops and production units thrive in the country. At least 60 percent of the economy is estimated to be founded on the informal sector, and this is sending chilling messages to development workers who know that this sector is also perennially marginalized from many government programs.

This sector that has facilitated many economic exchanges is also among the least served. Its self-employed owners are not registered with the Social Security System and are not eligible to benefit from formal social security schemes mandated by law since they have not made any contributions. The more socially insensitive have even insisted that since informal workers have not paid any tax, they should not avail of any kind of social service at all."



4. VIET NAM: Catfish farmers hit by double blow
Source: Thanh Nien News

"In recent months, catfish farmers in Viet Nam have found it hard to sell their products as processors are reluctant to buy. Aquaculture processors and exporters in the Mekong Delta blame the tight credit policy that makes it difficult for them to borrow working capital from banks. Small- and medium-sized businesses in particular lament their dire shortage of funds after banks began to toughen up on loans, even dollar loans which used to be relatively easy to secure.

Many businesses are hesitating to sign new export contracts with foreign partners for fear they will not be able to make good on them. Most catfish exporters are also bound to a $3 per kilogram cap in existing contracts and cannot increase prices to offset their financial difficulties. Farmers harvest around 100,000 tons every month. But processing plants are only buying small quantities."



5. BANGLADESH OP/ED: Water supply system in disarray
Source: Financial Express

"Water supply-related problems in Dhaka have reached crisis point. There is a scarcity of supply of water in many areas. Added to the insufficiency of supply is unclean water coming through pipes. Residents complain that tap water stinks and cannot even be used for cleaning. All kinds of diseases, specially intestinal infestations causing diarrhea, hepatitis, etc., are rising from using such unclean water or drinking impure water from other sources.

Dhaka's water supply now preponderantly comes from underground sources and this is very risky. The hollowing nature of the layers of soil from pumping out underground water is adding to greater earthquake risks for the high-rise buildings."



6. FIJI OP/ED: Economy struck by 'stagflation'
Source: Island Business

"Fiji's economic path through its thicket of difficulties has met with a new challenge -- stagflation. The Fiji economy has declined but inflation is rising. It is tricky to formulate policies in such an environment characterized by stressed foreign exchange reserves as prices of food and oil continue to rise and domestic export output is still below par. Inflation was running at 7.6 percent in February, the highest since 1999.

Local consumer advocates believe Fiji's inflation figure is far too low as its components have not been updated for over a decade. Like its Pacific neighbors, Fiji heavily relies on imports, the bulk of which is mineral fuels. Fiji also imports most food products including high-end vegetables, dairy and meat for its tourism industry, as well as wheat and rice for its now largely flour and rice consuming population."



 DEVBlogs ROUNDUP

IFIwatchnet
The 3rd World View
Screenshots - Thinking Aloud
Corporate Social Responsibility in Asia
China Digital News
Global Voices Online
Chao Vietnam
LIRNE Asia
Bangalore Metblogs

The budget for a five-year support package for farmers on the outskirts of Ho Chi Ming City has been more than tripled from $1.25 million to $4.35 million in response to calls for greater compensation by displaced farmers. The farmers also complained that they have not received the retraining they'd been promised by the government in Viet Nam in order to find alternative forms of work.


7. PRC OP/ED: Earthquake to effect monetary policy
Source: China Economic Blog

"The devastating earthquake in Sichuan will not only impact agricultural production and the ability to deliver products to the market, but its reconstruction will fuel a boom in demand for energy, materials, and a wide variety of related goods and services. Recognition of the impact of the earthquake both on loosening monetary policy and on increasing the demand for a variety of goods seems to have powered the stock market.

The government's automatic response to this potential surge in demand is to clamp down even tighter on price increases, but this will have the most adverse effect. After all it is one thing to freeze prices in order to drive out inflationary expectations, but the earthquake has caused a real increase in demand and a real decrease in supply."



8. MYANMAR: Cyclone leaves local rice market devastated
Source: IRIN

"In the late 1930s, Myanmar was the world's largest rice exporter, sending 3.3 million metric tons a year from the fertile Irrawaddy delta to foreign markets, mainly neighboring India. In recent decades, however, despite vast tracts of land and abundant water, the country has only just managed to produce enough to feed itself -- its output depressed by agricultural restrictions that gave farmers little incentive to invest in boosting yields.

The havoc wrought by Cyclone Nargis on Myanmar's most important rice-growing area has raised new fears about the countryfs food security and potential pressure on global rice prices. Myanmar may not be able to meet its own rice needs through domestic production. Moreover, it may require imports at a time when global rice prices are at an unprecedented high."



9. SRI LANKA: Feasible agricultural policy needed
Source: Daily News

"The Sri Lankan government is implementing huge programs on the development of agriculture. But are these objectives achieved appropriately? Many farming systems require implementation of the right technology. Sometimes traditional systems are the best while other times they are not. Researchers and farmers must work together to identify the existing and potential problems and find solutions.

Scientists must prioritize what to do first and next. There are agriculture faculties and several research institutions in different locations. They must be involved in agriculture sector development in their own province and then for the whole country. Research must be performed according to a national agenda."



10. ASIA: The rising of the region
Source: iafrica.com

"The world has entered a period of massive change. For longer than any of us can remember the global economy has been dominated by the institutions, businesses and consumers of the West. This dominance is now threatened by an unhealthy combination of excessive debt, deflating property bubbles and the credit crunch.

But as the star of the West falls, so that of the East continues to rise, as the likes of China and India strive to restore former economic glories. This seismic shift is a once in a lifetime event that is creating great risk as well as opportunity. China is the key player in the region. To date, their policy has involved mild currency strength combined with rising interest rates and increased reserve requirements for the banks."



Please share this e-newsline with others interested in the development of Asia-Pacific.

For questions, comments, complaints please visit our online contact form

To change your email address or to unsubsribe from ADBI e-newsline please visit:
http://www.adbi.org/e-newsline/subscribe.html

Sign-up for ADBI's free e-notification service to ensure you receive an e-mail when we post new publications and opportunities.

The stories and links selected and the views expressed in e-Newsline are those of the authors and editors and do not necessarily reflect the views or policies of the ADB Institute. The Institute does not endorse them and accepts no responsibility whatsoever for any consequences of their use. Original name usage is retained in quoted articles, although it may not necessarily follow ADB naming conventions.

ASIAN DEVELOPMENT BANK INSTITUTE, TOKYO
3-2-5 Kasumigaseki, Chiyoda-ku, Tokyo 100-6008
Tel (813) 3593-5490 Fax (813) 3593 5571
Website: http://www.adbi.org/