Human Rights, Credit Downgrading, and Hong Kong Elections
Dec 12, 2023
auto_awesome
Shane Leary discusses the 75th Anniversary of the Universal Declaration of Human Rights in China, Moody's downgrading of China's sovereign credit rating, and the recent district council elections in Hong Kong and the political apathy of voters.
The international community needs to address the fundamental sources of human rights abuses in China, such as labor camps and religious suppression, and tie economic engagement to improvements in human rights.
Moody's downgrade of China's credit rating from stable to negative reflects the country's crippling debts, local government debt issues, and the current property crises, signaling a more realistic assessment of the Chinese economy's challenges and risks.
Deep dives
Legacy of Human Rights Abuses in China
China's poor human rights record is in stark contrast to the Universal Declaration of Human Rights, which China does not acknowledge or prioritize. China consistently ranks among the worst in human rights rankings, with low scores in freedom, economic freedom, and press freedom. China also collaborates with other human rights violators like North Korea and Iran. The international community must focus on addressing the fundamental sources of human rights abuses in China, such as labor camps, religious suppression, and institutionalized control. Economic engagement with China should be tied to improvements in human rights.
Moody's Downgrade of China's Sovereign Credit Rating
Moody's downgrade of China's credit rating from stable to negative indicates a shift towards more realistic assessments of the Chinese economy's challenges and risks. This move is significant because it ends the reliance on unreliable Chinese statistics and forces credit rating agencies to rely on their own research. The downgrade reflects the country's crippling debts, local government debt issues, and the current property crises. Capital flight from China has been increasing, highlighting concerns about the economic situation. Moody's downgrade affects not only China's sovereign credit, but also includes downgrades for regions like Macau and Hong Kong, as well as major state-owned banks, insurance companies, and notable Chinese companies.
State of Democracy in Hong Kong
The recent district council elections in Hong Kong were characterized as a mockery of the democratic process. The previous 2019 election results, where pro-democracy candidates won overwhelmingly, led to the enactment of the national security law, reducing the number of directly elected council members. The so-called patriots-only system now vets candidates approved by pro-Beijing authorities, preventing any pro-democracy candidates from running. Political disengagement and pessimism among Hong Kongers are growing due to the encroachments on freedoms and the manipulations of the democratic process. The CCP's aim is to suppress freedoms while maintaining a democratic facade, but Hong Kong's relevance as a financial center is diminishing as freedom of religion and democratic institutions fade.
Shane Leary joins Miles Yu to discuss the 75th Anniversary of the Universal Declaration of Human Rights and reflect on the legacy of human rights abuses in the People’s Republic of China. They then discuss Moody’s downgrading of China’s sovereign credit rating from stable to negative, and what this portends for the Chinese economy. Finally, they discuss the recent district council elections in Hong Kong and the political apathy of voters in the region.
Get the Snipd podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share & Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode