Bangladesh ties serve China's global strategy

2016 ◽  
Keyword(s):  
South Asia ◽  
Global Strategy ◽  
Content Type ◽  
China And India ◽  
Religious Extremism ◽  
Maritime Silk Road ◽  
Chinese Trade ◽  
The Impact ◽  
Trade And Investment ◽  
Opening Up

Subject China-Bangladesh ties. Significance Bangladesh sits at a strategic juncture in South Asia, bordering China's main rival for power in the region, India. It is also located along the route of the Maritime Silk Road, China's project for global connectivity reaching out to Africa and Europe. Its economy is growing, opening up opportunities for Chinese trade and investment. Impacts Religious extremism within Bangladesh will be a concern for China's firms. Bangladesh will benefit from Chinese interest and rivalry between China and India. Primarily of regional concern, security flare-ups would fuel global tensions, especially regarding the impact of China's rise.

scholarly journals The drivers of economic growth in China and India: globalization or financial development?

2017 ◽  
Vol 16 (1) ◽  
pp. 54-84 ◽  
Author(s):  
Magda Kandil ◽  
Muhammad Shahbaz ◽  
Mantu Kumar Mahalik ◽  
Duc Khuong Nguyen
Keyword(s):  
Economic Growth ◽  
Financial Development ◽  
Emerging Market ◽  
Annual Data ◽  
Test Results ◽  
Causality Test ◽  
Content Type ◽  
China And India ◽  
Integration Test ◽  
The Impact

Purpose Using annual data from 1970 to 2013 for China and India, this paper aims to examine the impact of globalization and financial development on economic growth by endogenizing capital and inflation and drawing comparisons between the two fastest growing emerging market economies. Design/methodology/approach In the long run, co-integration test results indicate that financial development increases economic growth in China and India. Findings The results also reveal that globalization accelerates economic growth in India but, surprisingly, impairs economic growth in China, as it increases competition for exports. The results furthermore disclose that acceleration in capitalization and inflation, as a proxy for aggregate demand, are positively linked to economic growth in China and India. Originality/value Causality test results indicate that both financial development and economic growth are interdependent. In contrast, causality runs from higher economic growth to increased globalization in India, while the results do not support long-term causality between globalization and economic growth in China.

Impact of remittances on economic performance in consideration of institutional quality

2020 ◽  
Vol 47 (3) ◽  
pp. 479-507
Author(s):  
Surya Nepal ◽  
Sae Woon Park ◽  
Sunhae Lee
Keyword(s):  
Economic Growth ◽  
Developing Countries ◽  
South Asia ◽  
Central Asia ◽  
Financial Development ◽  
Economic Performance ◽  
Institutional Quality ◽  
Content Type ◽  
The Impact ◽  
Asian Developing Countries

PurposeThe purpose of this paper is to empirically assess the impact of remittances on the economic performance of the 16 Asian developing countries, taking account of their institutional qualities.Design/methodology/approachA panel of 16 Asian developing countries (Central Asia, South Asia, and ASEAN) over the period of 2002–2016 is employed in the analysis. To assess the impact of remittances on economic performance in consideration of institutional quality, OLS estimates as well as GMM are used.FindingsThe effect of remittances on economic growth is statistically significant. In addition, they also impact economic growth when they interact with institutional or financial development variables. For the long-run growth process of Central Asian, South Asian, and ASEAN countries, a sound and smooth institutional framework appears to be indispensable. Also, it was found that more fragile economies tend to achieve bigger growth than less fragile economies, as this kind of growth is triggered by more remittances flowing into fragile economies. However, the impact of remittances on growth does not depend on the level of ICT. FDI and financial development have positive impact on growth.Research limitations/implicationsThere are limitations to this research as well. Due to the unavailability of data, several countries had to be removed from this study. The cost of sending money might be an important variable for this study. However, the data on this variable from reliable sources are almost impossible to gather. Therefore, this variable is also not included in this research. The savings from remittances when intermediated through formal financial channels will, in fact, produce a positive allocation and distribution of resources that may eventually become an important source of growth. However, one precondition for larger and greater growth is that remittances need to be well and properly utilized by the financial sector. Therefore, quality institutions should be formed first, which can facilitate investment activities and make the flow of remittances more convenient.Originality/valueThis paper exclusively considers the case of Asian developing countries (Central Asia, South Asia, and ASEAN) to assess the impact of remittances on the economic performance of these countries, with special consideration of the interaction effects of remittances and institutional quality in these emerging Asian economies. The previous studies on the effect of remittances on growth do not conform to one concrete conclusion. This study is undertaken in a bid to get the best possible result on the impact of remittances on the growth of the selected countries, majority of which attract substantial chunk of remittances into their economies.

Working capital management and firms’ profitability: evidence from emerging Asian countries

2017 ◽  
Vol 6 (1) ◽  
pp. 80-97 ◽  
Author(s):  
Monica Singhania ◽  
Piyush Mehta
Keyword(s):  
East Asia ◽  
South Asia ◽  
Generalized Method Of Moments ◽  
Asia Pacific ◽  
South East Asia ◽  
Capital Management ◽  
Working Capital ◽  
Working Capital Management ◽  
Content Type ◽  
The Impact

Purpose Excessive working capital or paucity of the same can impair the profits and health of an organization. The purpose of this paper is to analyze the impact of working capital management (WCM) on the profitability of firms for a sample comprising of non-financial companies in countries of South East Asia, South Asia and East Asia. Design/methodology/approach Analytical modeling has been used to estimate the impact of WCM on profitability with the help of financial data of the companies listed in major indices of the target countries (India, Pakistan, Myanmar, Sri Lanka, Bangladesh, Singapore, Thailand, Malaysia, Indonesia, Vietnam, Hong Kong, Japan, China, South Korea and Taiwan). The mathematical model presented in the paper has been tested using two-step-generalized method of moments. Findings The study reveals a non-linear relationship between profitability of a firm and WCM for 11 economies of the Asia Pacific region. Research limitations/implications The results are subject to the differences in the market dynamics of different economies (countries). Moreover, the limitations of the specific statistical method used to verify the model apply to the model too. Practical implications The research can be used as a tool by the firms (global as well as local) to ameliorate their performance by understanding the effects of WCM on profitability in different global markets and adjusting their working capital accordingly. Originality/value The research on the impact of WCM on profitability of the firms of South East Asia, South Asia and East Asia is a new effort and tries to make the importance of WCM more luciferous.

scholarly journals Understanding the Belt and Road Initiative

2019 ◽  
Vol 2 (1) ◽  
pp. 103-117
Author(s):  
Dinesh Bhattarai
Keyword(s):  
South Asia ◽  
International Standards ◽  
Infrastructure Development ◽  
Belt And Road Initiative ◽  
Framework Agreement ◽  
Maritime Silk Road ◽  
Belt And Road ◽  
Work Done ◽  
Trade And Investment ◽  
The Belt And Road

China’s project of the century- Belt and Road Initiative - is a signature foreign policy project of President Xi Jinping. Launched in 2013, BRI contains two components- overland belt connecting China with Central Asia, Russia, South Asia and Europe, and Maritime Silk Road for enhancing connectivity, and maritime cooperation linking Chinese ports with Southeast Asia, South Asia, Africa, the Middle East and Europe. BRI wraps up these two initiatives in it and intends to cover the number of countries along the route that happens to be the biggest market in the world with enormous potentials for trade and investment cooperation. BRI has both economic and strategic messages behind a massive infrastructure plan covering a vast network of connectivity linking 60 countries. BRI has sparked a variety of responses, some welcoming and supporting it, some expressing reservations, some willing to participate “for shaping the outcome from within”, and some wanting it to firmly match the international standards of transparency, openness, and the fiscal soundness of the country. Nepal formally became a part of BRI by signing a Memorandum of Understanding on Framework Agreement in May 2017 for enhancing more connectivity and integration, though Nepal is not included in any of the six economic corridors unveiled by China. China recently suggesting Nepal to trim projects from 35 to 9 reflects the standard of the work done by the Nepali government and its lack of preparedness and seriousness. Infrastructure development is key to progress and prosperity. As China remains engaged in improving connectivity in the neighborhood, there is a great optimism about BRI in Nepal. Against this background, this article looks at the significance of BRI, examines past attempts made at connectivity, responses to BRI and Nepal's participation in it.

Do the international economic endeavors affect CO2 emissions in open economies of South Asia? An empirical examination under nonlinearity

2020 ◽  
Vol 31 (1) ◽  
pp. 89-110 ◽  
Author(s):  
Rajesh Sharma ◽  
Pradeep Kautish ◽  
Gazi Salah Uddin
Keyword(s):  
Financial Crisis ◽  
Environmental Pollution ◽  
South Asia ◽  
Carbon Emissions ◽  
Open Economies ◽  
Pollution Level ◽  
Content Type ◽  
Positive Economic ◽  
Long Run ◽  
The Impact

Purpose The purpose of this paper to investigate whether trade liberalization and the financial crisis have contributed to altering the pollution level in selected open economies of South Asia in the long run. Design/methodology/approach The study has adopted the panel data framework where results are tested using the generalized method of moments (GMM). The data of five South Asian countries from 1980–2015 have been used for computing results. Findings Owing to the globalization endeavors, the scope of energy consumption and foreign direct investment (FDI) inflows has increased significantly. The outcomes of the study reveal that globalization has significantly intensified the level of carbon emissions in the selected countries. However, the impact of financial crisis on carbon emission is found insignificant in the long run. Therefore, the study reveals that the level of environmental pollution in South Asia economies is more sensitive to positive economic variations than negative. Originality/value Earlier studies have ignored the parallel effect of globalization and financial meltdown on carbon emissions in a country or region. Stating differently, the present study intends to capture the impact of positive (globalization) and negative (financial crisis) global economic movements on carbon emissions in the five open economies. The majority of studies in the past have focused on the relationship between positive economic endeavors and environmental pollution. Furthermore, the study recommends that while framing a trade policy, its possible impact on environmental pollution also needs to be considered.

Supply chains and COVID-19: impacts, countermeasures and post-COVID-19 era

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Atif Saleem Butt
Keyword(s):  
Supply Chain ◽  
Structured Interviews ◽  
Senior Managers ◽  
Supply Chain Disruptions ◽  
Case Study Methodology ◽  
Content Type ◽  
Study Methodology ◽  
The Impact ◽  
Opening Up

PurposeThis paper explores the steps/countermeasures taken by firms to address supply chain disruptions in the wake of COVID-19.Design/methodology/approachThis study employs a case study methodology and employs 46 semi-structured interviews with senior managers of the three buying firms, four distribution centres and four supplying firms based in four countries (Pakistan, Sri Lanka, China and India).FindingsResults reveal that manufacturers are refining production schedules to meet the production challenges. Distributors are working with secondary suppliers to meet the inventory shortage. Finally, supplying firms are evaluating the impact of demand, focusing on short-term demand-supply strategy, preparing for channel shifts, opening up additional channels of communication with key customers, understanding immediate customer’s demand and priorities and finally becoming more agile.Research limitations/implicationsThere are some limitations to this study. First, the results of this study cannot be generalized to a wider population. Second, this study explores the interpretations of senior managers based in four Asian countries only.Practical implicationsSupply chain firms can use these findings to understand how COVID-19 is affecting firms. Firms can also use the suggestions provided in this study to mitigate the impact of COVID-19 and make the best out of this pandemic.Originality/valueThis study contributes to the supply chain disruption literature by exploring the robust countermeasure taken by supply chain firms amid COVID-19 outbreak. In particular, it explores such countermeasures from the perspective of three different entities (buyer, supplier and distributor) based in four different countries in the South Asian region.

Cognitive Explanations of Indian Perceptions of China

Asian Survey ◽  
2021 ◽  
Vol 61 (2) ◽  
pp. 324-355
Author(s):  
Yongrong Cao ◽  
Hsin-Che Wu ◽  
Min-Hua Huang
Keyword(s):  
Economic Development ◽  
South Asia ◽  
International Society ◽  
The State ◽  
The Other ◽  
Cognitive Schema ◽  
China And India ◽  
Strategic Competition ◽  
Negative Orientation ◽  
The Impact

In recent years, the economic development of China and India and their border confrontations have intensified bilateral strategic competition. This study used the State of Democracy in South Asia survey to identify dual mindsets of competition and contingency that drive how Indians perceive China’s influence in Asia. These two mindsets are based on a cognitive schema characterized by a political predisposition against China. However, this negative orientation is moderated as more information is acquired regarding the impact of China on India. The competition mindset does not always manifest itself, and is only cognitively activated when a change is perceived in India’s power status. On the other hand, the contingent principle appears whenever competition seems to have abated, or disadvantage seems unavoidable. The mindsets of competition and contingency are not only relevant to the evolution of Sino–Indian relations, but also explain how Indian policymakers behave and respond in international society.

Does BRICS partnership really matter in price competitiveness and external sector growth?

2020 ◽  
Vol 30 (5) ◽  
pp. 577-594 ◽  
Author(s):  
Saji Thazhugal Govindan Nair
Keyword(s):  
Investment Performance ◽  
Economic Space ◽  
Content Type ◽  
Systematic Assessment ◽  
Strategic Orientations ◽  
Trade Competitiveness ◽  
Economic Partnership ◽  
External Sector ◽  
The Impact ◽  
Trade And Investment

Purpose This paper aims to identify the impact of economic integration on trade competitiveness and demonstrate its effects on trade and investment performance of member nations. Design/methodology/approach The study compiles some price indices to provide a systematic assessment of competitiveness in the BRICS region. The panel regression framework estimates the impact of integration on trade competitiveness and the external sector performance of BRICS nations. Findings The findings of the research highlight the prospects for strong, closer and sustained integration in BRICS and, more importantly, the contribution of competitiveness to FDI receipts and export growth. Research limitations/implications The assessment of exports and investment experiences of BRICS nations, particularly China and India, provides further evidence in support of the logical design and strategic use of their foreign trade policies. Originality/value The economic partnership that wants to sustain this high road to global economic space needs strategic orientations to promote their partnership in other interest areas to make the cooperation more competitive in price terms.

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