the biggest challenge to us is how to build a strong, efficient and defensive financial system that can deter American institutional funds that speculate on other country's financial volatility.
these kind of battles are mostly unknown to most people, but more lethal than a direct conflict. Economically, technologically and industrially weak countries are very vulnerable to American institutional funds. As they do not have any economical or industrial leverages to fight off those greedy predator's market making.
take the primitive country India for example, you would be surprised to find out that Indian Government has to spend nearly 26% of its annual budget to pay-off its foreign debt's interests alone, and mostly are Dollar debt. and the interests rate India is paying is amount the highest of all borrowers, which is well of 5% of interests rate.
One of the reasons are that India's daily activities are very much dependent on the supply of foreign goods, moneys and technologies. It has failed to develop a competitive industry to meet its internal demand, and to diversify its economy structure hence to embrace the robustness of the country's economy. They need billions of Dollars every month in order to pay for all of these imported goods (from the very basic like flags and toys to the sophisticated ones like capital appliances and data processing equipment), so this leaves them no option rather then keep buying and borrowing Dollars from the U.S.
But someone may ask how can the U.S is making money, when the obviose trade is done between countries, like say, a trading between India and China, or India and Germany? It is very simple, India needs to borrow or buy Dollars to pay-off Chinese or German goods, the U.S governmant or its institutional funds can simply earn the profit by manipulate the market to have a strong Dollar against weak Rupee in the case of buying, and it comes even more simpler when borrow is concerned, as India has to pay interests rate at lender's desired level.
Do you know why the West are very frustrated by the fact that the Central Bank of China pegged RMB's exchange rate to the Dollar, and at meantime still has some room to maneuver? anyone has an educated brain can work this out, as we China as the late comer and potential challenger to the existing world order, we need strong and smart ways to make sure we wont lose too much in dealing with them in such unfaverable world order. As China develops day by day, the "attacks" from international money funds are getting more and more frenzy. Because they know, if China has completed its planned industrial and technological transformation, there would be very little room left to the West to continue exploring the world in the order they have created by which defended with nasty and bloody wars.
Some people would laugh at me that no such things as international institutional fund attack can bring down a country or even weakening it, and it serves as national interests by doing that. Honestly I wouldnt believe this, and would think it is kind of movie plot, but I had started to think about that after attended one seminar by George Soros at LSE London 2004. As an internationally renowed investor and businessman, during his hour long speach, I was very surprised to note that, every bit of his business and investment philosophy had very strong touch of political ideology, and serves very clear purpose of promoting and defending the American way of value and order. That was the point when I started to look at things differently from different perspectives.
That is why I strongly believe that at the current level of human civilization, the world isnt built by "righteous powers" or even human "consciousness" but strength in the most boldest way. That is also why I am not very into how many $2 trillion provinces we are going to have, but the level of technologcial advancement, extent of cultural influences and diversity of our industry are the areas that I am very interested.
Give us another 20 years, we will deliver you a brand new China```天佑中华！
