Asia & the Pacific

Frank O'Donnell describes how the strategic gains are even more enticing than the economic ones.

For a summary of Prof. Juma's Twitter Q&A on this topic, click here. #AskCJuma

"Much of Africa's diplomatic agency in its relations with China is mediated through development learning. One obvious area of interest for Africa is the role of state capacity in promoting economic development. African governments are learning how to engage with China through FOFAC and other collaborative ventures. These lessons are being deployed when negotiating with other countries."

"Along with punishment and denial, entanglement is an important means of making an actor perceive that the costs of an action will exceed the benefits.  Entanglement refers to the existence of  interdependences which makes a successful attack simultaneously impose serious costs on the attacker as well as the victim. This is not unique to cyber. For example, in 2009, when the People's Liberation Army urged the Chinese government to dump some of China's massive holdings of dollar reserves to punish the United States for selling arms to Taiwan, the Central Bank pointed out that this would impose large costs on China as well and the government decided against it."

"...[I]t was important to reassure India that America is sensitive to New Delhi's role in the world and respects India's traditions and achievements. At a time of bilateral engagement, the president's visit has further contributed to creating a more productive working environment for negotiators from both sides. In addition, the inclination of Indian decision makers to take countermeasures, if they deem their pride to be hurt, should have lessened, which might prevent future setbacks."

"For US regulators, 2014 was a banner year for collecting fines against sanctions violators, according to The Economist. In June, BNP Paribas—France’s largest bank, and one of the largest in the world—agreed to shell out $9 billion to the US Department of Justice for violating sanctions against Cuba, Iran, and Sudan. This past month, US regulators slapped Germany’s Commerzbank—the country’s second-largest bank, with a similar global presence—with a $1 billion fine, after launching an investigation into its dealings with sanctioned countries. The increases in fines have signaled an aggressive, zero-tolerance policy toward violators, as well as a willingness to use the extraterritorial provisions of sanctions, which allow regulators to punish foreign-based banks..."

"...[T]he key difference between the secular Congress Party-led coalition and the one led by the Hindu nationalist BJP lies in their public-relations management of the bilateral relationship. The former publicly downplays strategic ties between India and Israel, while the latter loudly champions its defense and strategic cooperation with Tel Aviv. Beyond these semantics, however, the Congress Party and the BJP maintain largely similar ties with the Jewish state."