Indonesia's Finance Minister Sri Mulyani has highlighted Japan's experience in dealing with the US trade war in the 1980s as a valuable reference for shaping future steps. She noted that Indonesia received a positive response from the US government, having been one of the first countries to proactively negotiate tariffs. As part of negotiations, Indonesia has prepared a comprehensive policy package addressing tariff and non-tariff barriers, including tracking the US trade deficit. Sri Mulyani emphasized Indonesia's neutral position in tensions between the US and China over reciprocal tariffs, citing its stable economic performance as a bargaining power that must be maintained. The Indonesian government and the Office of the US Trade Representatives have signed a non-disclosure agreement, marking the start of technical discussions set to take place in two weeks.
https://en.antaranews.com/news/354117/indonesia-japan-discuss-us-tariff-policy-challenges?utm_source=antaranews&utm_medium=desktop&utm_campaign=popular_rightDr Shamshad Akhtar, former Finance Minister, emphasized China's model for scalable global growth, urging alignment of the Belt and Road Initiative with national strategies. She praised China's poverty alleviation efforts, advancements in solar and AI technologies, and peaceful foreign policy. Dr Akhtar noted that BRI is the world's largest international development platform with over $1 trillion invested across 149 countries. Former Senator Mushahid Hussain Syed highlighted China's support for Pakistan during crises, while Prof Gao Jian argued that China's vision of a Community of Shared Future offers an alternative to Western modernization models rooted in harmony and inclusiveness.
https://www.thenews.com.pk/print/1309375-bri-alignment-with-national-strategies-crucial-for-inclusive-growthZafar Iqbal, Vice President of the Pakistan China Joint Chamber of Commerce and Industry (PCJCCI), believes that China's digital yuan and its Cross-Border Interbank Payment System (CIPS 2.0) are fundamentally challenging the US dollar's dominance in international trade. The first international transaction using CIPS 2.0, a 120 million yuan payment for auto parts from Shenzhen to Kuala Lumpur, was completed in just 7.2 seconds, bypassing traditional banking lags. Iqbal sees this as a financial breakthrough that could redefine global economies' trade and settlement processes. He notes that China's digital financial systems offer emerging economies like Pakistan the chance to reduce dependence on dollar-dominated systems and engage in more equitable and transparent trade.
https://www.brecorder.com/news/40361608/us-dollar-dominance-being-fundamentally-challengedChina's decision to retaliate against US tariffs is driven by a narrative of national resilience, likening the move to China's "century of humiliation" under foreign pressure. President Xi Jinping seeks to avoid appearing weak in the face of US pressure. China wields significant influence over global supply chains, controlling exports of consumer products and critical minerals that have already disrupted US markets and industries.
https://cfr.org/blog/presidents-inbox-recap-us-china-trade-warNew Delhi's actions in the Indus Waters Treaty are violating Pakistan with impunity, causing river flows to be slashed and reservoirs filled without notification. This has led to Pakistan's irrigation canals running dry, endangering early Kharif crops, and exacerbating hydrological sabotage and airstrikes. The country is facing a crisis amid an unforgiving environment, with climate vulnerability at existential levels and IMF-mandated austerity limiting fiscal space. Over 42% of Pakistan's population lives below the poverty line, and the agricultural sector is strained by erratic monsoons and flash droughts. Pakistan must respond proportionally, uphold international law, and document treaty violations to avoid a total cost of miscalculation, including economic collapse, mass displacement, and environmental catastrophe.
https://www.brecorder.com/news/40361570/confrontation-without-custodiansPakistan's economy is vulnerable to conflict due to its reliance on external capital inflow, with under three months of import cover compared to India's nine months. The country's asset prices are sensitive to any conflict, unlike India's. Pakistan's finance ministry has held an emergency meeting to review market resilience and national financial security, while the IMF executive board is set to sign off on a staff-level agreement that would trigger a $1 billion payout. Economists have mixed views on the impact of escalating tensions between India and Pakistan, with some warning of a fragile economic recovery and others suggesting Pakistan's economy can weather the fallout due to recent reforms.
https://www.brecorder.com/news/40361627/pakistan-bonds-gyrateUS President Donald Trump announced a news conference on Thursday at 10:00 ET about a major trade deal with representatives of a highly respected country, which will be the first of many such announcements. The news comes after Trump's top officials have been meeting with trading partners since imposing tariffs on various countries, including Canada and China.
https://www.thestar.com.my/news/world/2025/05/08/trump-says-news-conference-on-thursday-about-major-trade-dealUN experts have demanded action to prevent the "annihilation" of Palestinians in Gaza amid escalating violence, with over 20 independent UN experts warning of a humanitarian catastrophe. The situation has drawn international condemnation, with France's President Emmanuel Macron calling it "the most critical we have ever seen". Israel's planned expanded offensive would displace most residents, and rescuers reported 59 deaths, including 48 in Gaza City, with many more injured. EU foreign policy chief Kaja Kallas offered to distribute humanitarian aid if Israel doesn't trust other actors. The US President Donald Trump is set to visit the region next week, amid desperate attempts to force a partial deal, while Saudi Arabia has rejected Israel's plan to expand its offensive.
https://www.malaymail.com/news/world/2025/05/08/un-experts-warn-of-annihilation-in-gaza-urge-world-to-intervene/175958The US dollar is trading within a range, with some strength against Asian currencies after a brief weakness earlier in the week. Senior global market strategist Marvin Loh expects no significant impact from today's Federal Reserve meeting due to ongoing uncertainty over trade tensions between the US and China. US Treasury Secretary Scott Bessent and chief trade negotiator Jamieson Greer will meet China's economic tsar He Lifeng in Switzerland this weekend, potentially paving the way for a resolution to the trade war. The greenback rose 0.69% against the yen, while falling 0.04% against the Swiss franc. The Swiss National Bank is prepared to intervene and cut rates if necessary to maintain price stability.
https://www.brecorder.com/news/40361549/dollar-higher-against-yen-euro