SCO pushing past US dominance

Russian President Vladimir Putin, from left, Indian Prime Minister Narendra Modi and Chinese President Xi Jinping talk ahead of the Shanghai Cooperation Organization (SCO) summit at the Meijiang Convention and Exhibition Center in Tianjin, China, Monday, Sept. 1, 2025. (Suo Takekuma/Pool Photo via AP)

Xi and Putin rally Global South at Tianjin summit for a multipolar world order

 Chinese President Xi Jinping and Russian President Vladimir Putin pressed their vision at a regional summit for a new global security and economic order that prioritises the “Global South”, in a direct challenge to the United States.

Xi was hosting more than 20 leaders of non-Western countries at a two-day summit in the nor­thern Chinese port city of Tianjin of the Shanghai Cooperation Organisation (SCO).

The SCO must “promote the democratisation of international relations and enhance representation of developing countries,” Xi said in a speech yesterday, adding that at a time of turbulence, “global governance has reached a new crossroads”.

“We must continue to take a clear stand against hegemonism and power politics, and practise true multilateralism,” he said in a veiled attack on the current US-dominated world order.

However, Xi did not set out any concrete policies in what he called his “Global Governance Initiative” – the latest in a series of policy frameworks from Beijing that analysts say are mainly geared to promoting China’s global leadership role.

Earlier, Xi pushed for more inclusive economic globalisation amid the upheaval caused by US President Donald Trump’s tariff policies, touting the SCO’s “mega-scale market” and vast economic opportunities in fields including energy and science.

Trump’s tariff war has disproportionately affected developing economies such as India, whose exports were hit with a 50% levy last week.

Putin, whose country has forged even closer economic and security ties with China amid the fallout from the Ukraine war, said the SCO had revived “genuine multilateralism”, with national currencies increasingly used in mutual settlements.

“This, in turn, lays the political and socio-economic groundwork for the formation of a new system of stability and security in Eurasia,” Putin said.

“This security system, unlike Euro-centric and Euro-Atlantic models, would genuinely consider the interests of a broad range of countries, be truly balanced, and would not allow one country to ensure its own security at the expense of others.”

Xi called for the creation of a new SCO development bank, in what would be a major step towards the bloc’s long-held aspiration of developing an alternative payment system or common currency that circumvents the US dollar.

Beijing will provide two billion yuan (RM1.18bil) of free aid to member states this year and a further 10 billion yuan (RM5.9bil) of loans to an SCO banking consortium, the Chinese leader said.

China will also build an artificial intelligence cooperation centre for SCO nations, which are also invited to participate in China’s lunar research station, Xi added.

Speaking on the sidelines of the meeting on Sunday, United Nations secretary-­general Anto­nio Guterres said China played a “fundamental” role in upholding global multilateralism.

Others attending the Tianjin summit include Indian Prime Minister Narendra Modi and leaders from Central Asia, the Middle East, South Asia and South-East Asia.

The security-focused SCO, which began as a group of six Eurasian nations, has expanded to 10 permanent members and 16 dialogue and observer countries in recent years.

Modi was among the leaders from southern and central Asia and the Middle East attending the Tianjin summit.

Beijing has used the summit as an opportunity to mend ties with New Delhi.

Modi, visiting China for the first time in seven years, and Xi both agreed on Sunday that their countries are development partners, not rivals, and discussed ways to improve trade ties. — Reuter

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Global power converge in Tianjin: SCO summit 

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Russian President Vladimir Putin, from left, Indian Prime Minister Narendra Modi and Chinese President Xi Jinping talk ahead of the Shanghai Cooperation Organization (SCO) summit at the Meijiang Convention and Exhibition Center in Tianjin, China, Monday, Sept. 1, 2025. (Suo Takekuma/Pool Photo via AP)

 Chinese President Xi Jinping and Russian President Vladimir Putin pressed their vision at a regional summit for a new global security and economic order that prioritises the “Global South”, in a direct challenge to the United States.

Xi was hosting more than 20 leaders of non-Western countries at a two-day summit in the nor­thern Chinese port city of Tianjin of the Shanghai Cooperation Organisation (SCO).

The SCO must “promote the democratisation of international relations and enhance representation of developing countries,” Xi said in a speech yesterday, adding that at a time of turbulence, “global governance has reached a new crossroads”.

“We must continue to take a clear stand against hegemonism and power politics, and practise true multilateralism,” he said in a veiled attack on the current US-dominated world order.

However, Xi did not set out any concrete policies in what he called his “Global Governance Initiative” – the latest in a series of policy frameworks from Beijing that analysts say are mainly geared to promoting China’s global leadership role.

Earlier, Xi pushed for more inclusive economic globalisation amid the upheaval caused by US President Donald Trump’s tariff policies, touting the SCO’s “mega-scale market” and vast economic opportunities in fields including energy and science.

Trump’s tariff war has disproportionately affected developing economies such as India, whose exports were hit with a 50% levy last week.

Putin, whose country has forged even closer economic and security ties with China amid the fallout from the Ukraine war, said the SCO had revived “genuine multilateralism”, with national currencies increasingly used in mutual settlements.

“This, in turn, lays the political and socio-economic groundwork for the formation of a new system of stability and security in Eurasia,” Putin said.

“This security system, unlike Euro-centric and Euro-Atlantic models, would genuinely consider the interests of a broad range of countries, be truly balanced, and would not allow one country to ensure its own security at the expense of others.”

Xi called for the creation of a new SCO development bank, in what would be a major step towards the bloc’s long-held aspiration of developing an alternative payment system or common currency that circumvents the US dollar.

Beijing will provide two billion yuan (RM1.18bil) of free aid to member states this year and a further 10 billion yuan (RM5.9bil) of loans to an SCO banking consortium, the Chinese leader said.

China will also build an artificial intelligence cooperation centre for SCO nations, which are also invited to participate in China’s lunar research station, Xi added.

Speaking on the sidelines of the meeting on Sunday, United Nations secretary-­general Anto­nio Guterres said China played a “fundamental” role in upholding global multilateralism.

Others attending the Tianjin summit include Indian Prime Minister Narendra Modi and leaders from Central Asia, the Middle East, South Asia and South-East Asia.

The security-focused SCO, which began as a group of six Eurasian nations, has expanded to 10 permanent members and 16 dialogue and observer countries in recent years.

Modi was among the leaders from southern and central Asia and the Middle East attending the Tianjin summit.

Beijing has used the summit as an opportunity to mend ties with New Delhi.

Modi, visiting China for the first time in seven years, and Xi both agreed on Sunday that their countries are development partners, not rivals, and discussed ways to improve trade ties. — Reuter

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Global power converge in Tianjin: SCO summit 

Global power converge in Tianjin: SCO summit

 

Rehearsal footage released by China Central Television (CCTV) of the upcoming V-Day military parade. Photo: screenshot of CCTV

The Tiananmen Square and Chang'an Avenue in Beijing are ready to host the grand ceremony on September 3 to commemorate the 80th anniversary of the victory in the Chinese People's War of Resistance Against Japanese Aggression and the World Anti-Fascist War. On Monday, China Central Television (CCTV) revealed the specific arrangements for this event. 

The grand event includes a 70-minute military parade. The parade is an institutionalized arrangements for national commemorative parades, and key component of the commemorative activities, carrying significant political and historical importance, per the CCTV report. 

The military parade is conducted in two steps: a military review and a march-past. 

In the military review part, the troops will line up along the Chang'an Avenue, to receive review from President Xi Jinping, also general secretary of the Communist Party of China (CPC) Central Committee and chairman of the Central Military Commission. During the parade march-past, airborne flag-guarding echelons, foot formations, battle flag formations, armament columns and aerial echelons will pass through or fly across Tiananmen Square in order. 

A total of 45 formations and echelons will be involved in the parade.

The airborne flag-guarding echelons, composed of multiple helicopter types in various formations, will lead the parade. By escorting the flags, forming symbolic characters, and displaying banners, the echelons will reflect the nation's growing prosperity and the military's continuous development under the leadership of the Communist Party of China, proclaiming to the world the great truth of the inevitable victory of justice, peace, and the people, according to the CCTV report.

Foot formations will reflect "an old and a new," the report said. The "old" refers to veteran units from the War of Resistance Against Japanese Aggression, with personnel primarily drawn from units descended from the Eighth Route Army, New Fourth Army, Northeast Anti-Japanese United Army, South China guerrilla forces, and militias from provinces with wartime revolutionary bases. The "new" reflects the modern structure of military forces, including the "three-in-one" system of armed forces.

The battle flag formations represent the heroic legacy forged in the flames of the War of Resistance Against Japanese Aggression. From countless heroes and numerous meritorious flags, a selection of representative flags from different periods, regions, and units has been chosen. These flags, carried by personnel from their respective units, symbolize the enduring spirit of the war, reflecting the people's armed forces' fearless resolve and forward momentum in the face of challenges, per the report.

The armament columns are organized into combat groups based on real combat scenarios, including ground combat, maritime combat, air and missile defense, information warfare, unmanned combat, logistics support, and strategic strike groups. Many of these feature cutting-edge equipment representing the evolution of modern warfare, including some critical national assets, fully demonstrating the People's Liberation Army's formidable capabilities to triumph in modern conflicts.

The aerial echelons, organized in a modular and systematic manner, will consist of advanced early warning and command aircraft, fighters, bombers, transport planes, and more, covering nearly all active main combat aircraft types of the People's Liberation Army (PLA). Many are high-profile "star" equipment, with some making their public debut, fully showcasing the leapfrog development of the PLA's air combat capabilities.

What's more, over 1,000 personnel will form the largest joint military band in the history of parades of the People's Republic of China, performing in front of the Monument to the People's Heroes on Tiananmen Square, per the CCTV report. 

The band will play well-known classic songs from the War of Resistance Against Japanese Aggression, evoking memories of that arduous era and honoring the heroes and martyrs who sacrificed their lives for national independence and freedom. New compositions reflecting contemporary themes and the vigor of a strong military will also be performed for the first time in Tiananmen Square.

Global Times

China achieves key digital breakthroughs in 14th Five-Year Plan, ranks global second in computing power: official

 

AI Photo: VCG

China has made remarkable strides in digital infrastructure and technological innovation during the 14th Five-Year Plan period (2021-25) with its total computing power ranking second worldwide and technology breakthroughs in key digital sectors, Liu Liehong, head of the National Data Administration (NDA), told a press conference on Thursday.

In terms of digital infrastructure, by the end of June, the country had 4.55 million 5G base stations and 226 million gigabit broadband users, with its total computing power ranking second worldwide. These advancements have strongly driven economic and social development, Liu said.

Technological breakthroughs also shine in key digital sectors. The integrated circuit industry has formed a complete industrial chain covering design, manufacturing, packaging, testing, equipment and materials. Domestic operating systems are thriving, with China's self-developed HarmonyOS powering over 1.19 billion devices across over 1,200 product categories like smartphones, cars and home appliances. China's overall AI strength has seen systemic growth, holding 60 percent of global AI patents, according to the NDA.

The data industry has emerged as a new growth driver. In 2024, the number of data enterprises in China exceeded 400,000, and the scale of the data industry reached 5.86 trillion yuan ($817.24 billion), an increase of 117 percent compared with the end of the 13th Five-Year Plan period (2016-20). Digital economy growth has also created over 100 new occupations, generating fresh employment opportunities, according to the NDA.

By the end of 2024, China's software revenue had grown by 80 percent compared with 2020, while the added value of above-scale electronic information manufacturing had increased by over 70 percent. Meanwhile, intelligent transformation and digital upgrading are advancing at an accelerated pace. More than 10,000 smart factories have been established, covering over 80 percent of major manufacturing industry categories. Smart home appliances and smart wearables have emerged as new consumption trends. -  Global Times

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US national debt hits record $37 trillion amid mounting fiscal concerns

Photo taken on March 17, 2020 shows U.S. dollar banknotes in Washington, DC, the United States. Photo:XinhuaThe US government's gross national debt has surpassed $37 trillion, a record number that highlights the accelerating debt on America's balance sheet and increased cost pressures on taxpayers, the AP reported. The $37 trillion update is found in the latest Treasury Department report issued on Tuesday, which logs the nation's daily finances, according to the AP report.

Experts said that as the debt scale grows larger, future interest payment costs will continue to rise, posing risks to fiscal sustainability, while global investors may grow wary of US Treasury bonds amid credit downgrades and uncertainty.

The $37 trillion debt milestone comes less than eight months after the nation hit the $36 trillion threshold for the first time in late November 2024, and a little over one year after the $35 trillion mark was reached in late July 2024, Fox Business reported.

The $37 trillion debt amounts to about $280,000 per household or $108,000 per person, according to the Peter G. Peterson Foundation.
 
The national debt soaring past $37 trillion sends yet another clear message about America's unsustainable fiscal path, Chair and CEO of the Peter G. Peterson Foundation Michael Peterson said in a statement on its website.

"Our growing debt slowly damages our economy and the prospects of the next generation. As the government borrows trillion after trillion, it puts upward pressure on interest rates, adding costs for everyone and reducing private sector investment. Within the federal budget, the debt crowds out important priorities and creates a damaging cycle of more borrowing, more interest costs, and even more borrowing," Peterson said.
 
The Government Accountability Office outlines some of the impacts of rising government debt on Americans — including higher borrowing costs for things like mortgages and cars, lower wages from businesses having less money available to invest, and more expensive goods and services, according to the AP.
 
The Joint Economic Committee estimates at the current average daily rate of growth, an increase of another trillion dollars in the debt would be reached in approximately 173 days, according to the AP.

Peterson warned that "As our debt continues to rise, at some point the financial markets will lose confidence in our ability to overcome the politics to solve this problem."
 
To repay maturing debt, the US government has been issuing new debts to repay old ones, leading to the continuous expansion of the overall debt load. As the debt scale grows larger, it means that the future interest payment costs will continue to rise, posing risks to fiscal sustainability, Zhou Mi, a senior research fellow at the Chinese Academy of International Trade and Economic Cooperation, told the Global Times on Wednesday.

If maturing debts cannot be repaid, US debt will become unsustainable, and its credit ratings may be downgraded, creating significant risks for global investors, Zhou added.

The expansion of the US government's debt scale has brought more uncertain risks to investments in US Treasury bonds, making global investors more cautious, Zhou said.

"Factors such as rating agencies' changes in sovereign credit ratings and sharp swings in US tariff policies at the real-economy level have added to this uncertainty," Zhou added.

Yang Changjiang, a professor at Fudan University, told the Global Times on Wednesday that the expanding US government debt has also brought greater uncertainty to the global financial market and the stable operation of the international monetary system.

In May, Moody's downgraded the US sovereign credit rating. It is expected that US large-scale fiscal deficits will further increase the burden of government debt and interest payments, and the fiscal situation is likely to deteriorate, Yang said.

Moody's Ratings in May cut the US' sovereign credit rating by one notch to Aa1 from Aaa.

"This one-notch downgrade on our 21-notch rating scale reflects the increase over more than a decade in government debt and interest payment ratios to levels that are significantly higher than similarly rated sovereigns," said a release by Moody's Ratings. 

The US fiscal performance is likely to deteriorate relative to its own past and compared with other highly rated sovereigns, according to the credit rating agency.

The downgrade means the US has lost its last triple-A credit rating from a major ratings firm, following cuts by Fitch Ratings in 2023 and S&P Global Ratings in 2011, according to Xinhua.Related:

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Getting MyKads in order

 

 Many visit NRD ahead of R100 assistance

Aid on the cards: Malaysians rushing to replace their identity card at the Petaling Jaya NRD branch. — IZZRAFIQ ALIAS/The Star

PETALING JAYA: As the government prepares to roll out the RM100 aid for all adult citizens, many are heading to National Registration Department (NRD) offices to update their MyKad.

This is because the one-off RM100 assistance for Malaysians aged 18 and above will be credited directly to their MyKad under the Sumbangan Asas Rahmah (Sara) initiative from September.

Among those eager to renew their identification card was Chua from SS2, who has not renewed his MyKad for over 20 years.

“It was high time for a change,” he said at the NRD office here yesterday where he came to pick up his new MyKad, following a system glitch on Wednesday. 

Retiree K. Gunaseelan, 71, said he lost his MyKad recently.

“But I have a replacement and it is just in time for the government’s aid,” he said.

Gunaseelan said he is keen to find out more about how to use the RM100 aid.

“I’ve heard about the purchase scheme using the MyKad, but I’m not entirely sure how or where I can use it,” he added.

A civil servant, who identified herself as Atiqah, came to renew her MyKad which was damaged.

The 32-year-old said she appreciated the RM100 aid.

ALSO READ: Don't belittle RM100 cash aid under Sara, says Anwar

“Middle-income earners usually don’t receive much from the government,” she added.

She urged the government to do more to help those in need, such as tax rebates.

Business development manager GK Lim, 55, said he was happy with the process of replacing his MyKad.

“The crowd was manageable and the queue not long as many counters were opened. Everything was done in under 45 minutes,” he said.

Lim said he took leave from work to sort things out after realising the chip in his MyKad was faulty last week.

Nurul Najwa, a 29-year-old freelance graphic designer from Ampang, said everyone should take good care of their MyKad.

“I’m happy about the RM100 government aid.

“As a freelancer, every bit helps. I hope the government will consider long-term solutions for freelancers and small-scale business owners,” she added.

Rela

The Star

https://www.thestar.com.my › nation › 2025/07/25 › sta..

Stakeholders await details on RON95 targeted subsidy

Just a matter of political optics

   

The Star

https://www.thestar.com.my › comment › 2025/07/25

Malaysia PM announces cash handout for all adult citizen, Govt offering much-needed relief measures to ease living cost of rakyat

 

 

KUALA LUMPUR — Malaysia’s Prime Minister (PM) Anwar Ibrahim on Wednesday announced new measures to address growing public disquiet about the rising cost of living, including a cash handout for all adult citizens and a promise to lower fuel prices.

The announcement came ahead of a planned protest to be held in Malaysia’s capital Kuala Lumpur on Saturday, calling for Anwar to step down over escalating prices and a failure to deliver on promised reforms, among other concerns.

Anwar’s administration has carried out a number of measures to boost revenue and productivity this year, including a minimum wage hike, increased electricity tariffs on heavy power users, and new sales taxes on some imported fruits and luxury goods.

Anwar has said the moves were mainly targeted at large businesses and the wealthy, but critics have voiced fears that higher costs would eventually be passed down to consumers, including lower and middle income earners.

On Wednesday, Anwar said all adult Malaysians above 18 years old will receive a 100 ringgit ($23.67) one-off cash aid to be disbursed from Aug. 31.

The government will spend a total 15 billion ringgit ($3.55 billion) in cash aid in 2025, up from 13 billion ringgit originally allocated for the year, he said.

Police have said they expect between 10,000 and 15,000 people to attend the Saturday protest, which has been organized by opposition parties.

“I acknowledge the complaints and accept that the cost of living remains a challenge that must be addressed, even though we have announced various measures thus far,” Anwar said.

He added that further initiatives to aid those in poverty will be launched on Thursday.

Anwar said the government will also announce details on a long-awaited plan to remove blanket subsidies on the widely used RON95 transport fuel before the end of September.

Once the subsidy changes are implemented, Malaysians will see fuel prices at the pump drop to 1.99 ringgit per liter, compared to the current price of 2.05 ringgit, Anwar said.

Foreign nationals however will have to pay unsubsidized market prices for the fuel, he added.

Anwar also announced additional allocations for a government program aimed at increasing access to affordable goods and necessities, and vowed to improve other existing aid measures.

Malaysia has seen inflation fall this year, but worries persist over increasing prices of basic necessities like food.

Data released this week showed consumer prices rising 1.1% from a year earlier last month, but the costs of food and beverages were up at a faster pace of 2.1%.

Govt offering much-needed relief measures to ease living cost of rakyat

PETALING JAYA: Malaysians can look forward to a series of measures aimed at easing cost of living, including a one-off RM100 cash aid for those 18 years and above, and cheaper RON95 soon.

The cash assistance will be credited directly into their MyKad under the Sumbangan Asas Rahmah (Sara) initiative.

Prime Minister Datuk Seri Anwar Ibrahim announced these measures in a special announcement aired live on his social media platforms yesterday.

Offered in conjunction with National Day on Aug 31, he said the incentives were aimed at easing the rising cost of living and a token of appreciation for the people.

“With this announcement, the combined allocation for Sumbangan Tunai Rahmah (STR) and Sara rises from RM13bil to RM15bil this year, marking the first time in history that cash aid is extended to all adult Malaysians,” he said.

Anwar, who is also Finance Minister, said this initiative would benefit 22 million Malaysians with an allocation of RM2bil.

This assistance, said Anwar, can be used from Aug 31 to Dec 31 this year, to buy essentials at over 4,100 outlets nationwide, including major supermarkets such as Mydin, Lotus’s, Econsave, 99Speedmart and participating grocers.

“It will be distributed on individual basis, not by household. So, for example, a household with a husband, wife and two adult children will receive a total of RM400,” he said.

Less is more: The price of RON95 petrol will soon be reduced to RM1.99 per litre under a targeted subsidy scheme with further details to be announced by the end of September. — IZZRAFIQ ALIAS/The Star

Anwar said the cost of living remained a pressing challenge that must be addressed wisely and urgently.

He added that while overall inflation in June 2025 dropped to 1.1%, the lowest in 52 months, food and beverage prices continued to rise above the national average.

“There may be some among us who are financially secure and do not need this aid. The government intends to reallocate any unspent funds by year-end towards assistance programmes for vulnerable groups next year,” he added.

In a separate statement, the Finance Ministry said collectively, households have the potential to receive a higher amount of Sara credit.

“For example, a family comprising a husband, wife, and two children aged 18 and above would receive a total of RM400, instead of just RM100,” it said.

The Sara credit can be used to buy over 90,000 essential items across 14 categories, including rice, egg, household cleaning products, medicine and school supplies.

“The RM100 credit is valid until its expiry date of Dec 31, 2025.

“Any unspent balance will be redistributed to vulnerable groups through a programme to be determined later,” said the ministry.

Sara complemented the Sumbangan Tunai Rahmah (STR) initiative, which provided monthly credits specifically for purchasing basic necessities, it added.

The initiative was introduced by the government in its first Madani Budget in 2023 and currently benefits 5.4 million active recipients.

“Both initiatives are a token of appreciation from the government to all Malaysians who continue to support the nation’s fiscal reform agenda.

“They also reflect the Madani government’s commitment to redistributing the nation’s growing wealth, a result of bold fiscal reforms and more efficient economic management, guided by the Madani Economic Framework.

Anwar also highlighted that the Jualan Rahmah Madani initiative will be enhanced to assist the public in managing living costs.

The government, he added, will double the initiative’s allocation from RM300mil to RM600mil.

This funding will increase the frequency and expand the Jualan Rahmah Madani to include all 600 state constituencies nationwide, said Anwar, who is also Finance Minister.

“The additional allocation will, among others, increase the frequency and expand the number of locations nationwide, covering all 600 state constituencies,” he said.

Anwar also said the price of RON95 petrol will soon be reduced to RM1.99 per litre under a targeted subsidy scheme with further details to be announced by the end of September.

The government, he said, was committed to optimising national subsidy spending by ensuring that ordinary Malaysians continued to benefit from subsidies, while curbing leakage to those not eligible.

“Once the targeted RON95 subsidy is implemented, the government will reduce the price of RON95 petrol to RM1.99 per litre exclusively for Malaysian citizens, while foreign nationals will have to pay the unsubsidised market price.”

The initiative, he said, would benefit about 18 million motorists, including youths as young as 16 and gig economy workers.

“In 2023 and 2024 alone, subsidies for RON95 were estimated to cost nearly RM20bil annually.

“Even this year, despite a drop in global oil prices, the unsubsidised price of RON95 remains around RM2.50 per litre, significantly higher than the subsidised rate Malaysians currently enjoy,” he said.

He explained that the move aims to ensure that ordinary citizens continued receiving fuel subsidy while leakage to ineligible groups, including foreigners, are addressed.

To address the critical need for doctors in hospitals and government healthcare facilities, Anwar also announced that over 4,000 positions for government doctors, including contract medical officers, would be available this year.

He confirmed that 4,352 new doctors, including those on contract, would be hired this year.

According to projections released in 2023 by Dr Hirman Ismail, deputy director of the Health Ministry’s medical development division, the public healthcare sector would require 63,040 doctors by 2025 and 79,931 by 2030.

As of last year, there were nearly 52,000 doctors employed in government service.

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