The first is that Asias need for infrastructure is vast and press ing The

The first is that asias need for infrastructure is

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The first is that Asia’s need for infrastructure is vast and press-ing. The continent’s relentless urbanisation requires at least $8trillion of infrastructure spending in this decade, according tothe ADB. The AIIBwill not finance this splurge on its own: itlooks likely to end up with a capital base of between $50 bil-lion and $100 billion. Butitwill help.Second, the best way to deal with concerns about Chineselending standards is to join the bank and improve it from in-side, not to throw brickbats from outside. Chinese leadersknowperfectlywell thatthe newinstitution will come underalotofscrutiny. Theyhave an incentive to be open and transpar-ent, at least at first. Having more nations outside its orbit onboard should help keep thingsmore honest. Third, although it might have been better to expand and re-form existing institutions (the ADB, World Bank and so on),America itself has made that impossible. Even a modest pro-posal to increase the resources ofthe IMF (givingslightly morevotes to China and other big emerging markets) has been sty-mied for years in Congress. America has frustrated efforts toboost China’s clout in the World Bank. Nor is China includedin itsplanned Trans-PacificPartnership free-trade deal.Rather than try to thwart the AIIB, America ought to em-brace it. China should invite it to join, and America should ac-cept. That would be the best way to accommodate Asia’s mas-sive infrastructure plans—to saynothingofa risingChina.7China on the world stageA bridge not far enoughAmerica is wrong to obstructChina’s Asian-infrastructure bankTHE Greek crisis is not just aneconomic mess. Increasing-ly, it is becoming a geopoliticalmess too. Alexis Tsipras, thecountry’sprime minister,whose radical-left Syriza partyswept into government afterJanuary’s general election, hastaken to tugging at crude political levers—from cosying up toVladimir Putin to demanding war reparations from Ger-many—in the belief that this will somehow prompt conces-sionsfrom the restofthe euro zone. The whiff of blackmail has incensed Europe’s politicians.Mr Tsipras has a chance to calm things down in two meetingswith Angela Merkel, Germany’schancellor—the firstthis weekon the fringes of a European summit in Brussels, and the sec-ond in Berlin on March 23rd forwhatshould be some hard talk-ing between the European Union’s most powerful leader andits biggest troublemaker. Instead ofstirring up resentment, MrTsiprasshould focuson the urgenttaskathand: forging a deal.Just now the Greekgovernment seems to prefer lobbing in-cendiary political gibes instead. The defence minister hasthreatened to flood Europe with migrants, including jihadists.The justice minister has demanded that Germany pay €160billion ($170 billion) in war reparations and warned Greecemightseize the buildingsofthe Goethe Institute and even Ger-Greece v GermanyDangerous liaisonsReferences to reparations and threats to seize German assets will notsolve Greece’s economicwoesWorldMags.net
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