Comments

I would be very interested to see a political economy analysis of the factors behind these boom/bust cycles coupled with an assessment of the relevance of DFAT’s anti corruption programs.

Regarding wholesale and retail investments in PNG as mentioned above (Chinese selling Australian goods) it relates to risk profile and business costs (such as the Costs of Goods Sold and Gross and Net Profit as the most easy to grasp). I have been here in POM PNG for a week and am advised not to leave the hotel without the company of locals and a secure transport arrangement. I would like to go to a bank, buy coffee and fruit, eat outside the hotel without searching for days for a secure transport company with recognised service record. This indicates that there are retail management and operating costs post - wharf delivery of goods which make return on investment not interesting beyond bulk delivery. Frankly carping about brand name investment or lack thereof needs more thinking before publishing.

Thank you Terence Wood. This is by far one of the best assessments I've read on the Issue of the Solomon Islands China Security Pact. I am in Cambodia and the country has faced very similar situations after the Khmer Rouge were defeated. Now the US and AUS draw red lines but what about the current War in Ukraine. Russia drew a RED LINE but US Pres. Joe Biden called it a No-Brainer that Ukraine should NOT join NATO. Now Solomon Islands seem to fall in a different category altogether?? I'd call it Hypocrisy by the Elephant in the Room. And YES, it's us white superior people that now have our Gov. censor media like RT and CGTN and therefore blind their citizens on one eye. We're on the way to a more authoritarian regime than most of us like to admit. Germany for 77 years had a policy not to deliver weapons in conflict zones. Now they deliver anti aircraft and other heavy weapons to Ukraine. That policy shift came over night and I wonder how much arm twisting of by the Elephant was involved to get the entire, currently German led EU under the same hood. All past wars by the US, beginning with the Vietnam war, Iraq and Afghanistan left thousands dead and their countries destroyed but none of them ever got the attention Ukraine gets, today. WHY??

Thanks Tony, I agree: a more constructive course of action from Australia on Climate Change would be both the right thing to do for the planet, and good for Australia's soft power in the Pacific. Terence

And don't forget Australia's stand on climate change: increasing global warming by selling yet more coal in face of Pacific leaders' calls for stronger action to combat this existential threat (see: Boe Declaration).

Welcome Terence.

Thanks Peter!

Excellent article, Terence! As with the French Revolution it's too early to tell what the real consequences will be, but the squawking from some Australian politicians tells us a lot about their paranoia and ignorance, and about this country's loss of skill and capacity in diplomacy, particularly in relation to the Pacific.

I think that it's very important to the South Asia and Pacific Region the stability of Sri Lanka 'cause the strategic position of the country. India, United Kingdom (former colonial power), Australia and so on (other ones) have interest in Sri Lanka and the geopolitical equilibrium may need a neutral Sri Lanka in political subjects for Asia. These countries above (I should include Japan and South Korea and Taiwan too) may help Sri Lanka for helping to maintain its political stability .

Never mind what he wants - the most important thing is what he needs, and he needs China's economy to keep growing. That's the crucial part of the political settlement that keeps him in power. And, for the economy to keep growing, he needs trade, not empire. I will concede, however, that his interests are neo-imperial in a specific sense: that is, he wants Chinese business interests in countries like Solomons to do well. And he wants those business interests to be safe. That's what's in the security agreement for China. For what it's worth, this isn't good news, as some of those business interests, particularly loggers, are not good for Solomons. But it's all a rather different story from the one painted by our security pundits: that the security agreement poses a major threat to Australia and NZ's safety. It doesn't.

Thanks Andy!

Thank you Bernard, that's a fascinating reflection on the economics of international engagement as felt in countries like Solomons and PNG. Thanks again. I appreciate your insights. Terence