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Japan Diary


April 25, 2012

Japan started to act on the world stage from time to time

Japan has been bogged down in incessant domestic fighting over the question: who is to blame for the plight of the Japanese economy (by the way majority of larger companies are expected to have big rises in their profits this term) and who should get how much from whom. The whole nation has become very introvert, therefore there were nothing to talk about Japan's foreign policy. Sure, we had (potential) policies, but our politicians did not have time for outside world.

However, when Japanese bureaucrats prepare something in advance, our politicians can find time to announce new initiatives. Recently there were two examples.

The first is the announcement by the minister of finance on April 17 that Japan will contribute 60 billion Euros to the IMF. This is intended as a firewall against possible emergency of Euro. Japan was the first country outside Europe who made such a decision.

The second is the fourth Japan-Mekong summit, which took place in Tokyo on April 22. Japan pledged 600 billion yen ($7.4 billion) in aid for further development, including construction of two East-West hightways in the region.

Japan has been actively assisting development of the Mekong Delta with construction of dams and other infrastructures. The members are Cambodia, Laos, Myanmar, Thailand and Vietnam. It was striking that Myanmar's President Thein Sein had a seperate meeting with Japan's prime minister Noda, and the latter announced a cancellation of Myanmar's debt to Japan (127.4 billion yen or 1.6 billion dollars), which signaled the resumption of Japan's soft loan to Myanmar.

Japan used to have intense relations with Burma (today Myanmar), and now the ties will be reclaimed. ASEAN is the region where Japan's diplomacy has been most active. Now with Myanmar as a close partner Japan will be able to take even more initiatives in this region. Japan performs the role of a mediator between ASEAN and the U.S. , too.

The buzz-word is: ASEAN in the driver's seat with Japan as engine.

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