Internet to help overcome nationalism in Asia (fw)

[Bala Pillai <bala@malaysia.net>]

Tuesday, February 29, 2000

http://www.suaramerdeka.com/harian/0002/29/eng5.htm               

 Internet to help overcome nationalism in Asia

 SINGAPORE (AFP): Nationalism may become less of a problem for Asia in
drawing foreign investment thanks to the Internet and a growing familiarity
with foreign ways, a regional think tank has said.

And since the regional economic crisis, almost all Asia has become more
critical of local business groups that were perceived to have abused their
positions, according to the Political and Economic Risk Consultancy Pte.
Ltd. (PERC).

"And the more that foreign companies see that local populations and labor
forces do not react like a bull viewing a red flag, the less intimidated
they are about talk of nationalistic tendencies," said the Hong Kong-based
think tank in a report received here at the weekend.

PERC said preliminary results of its annual survey among expatriates in the
region suggested over the year xenophobia either stayed the same or became
less marked, except for China, Indonesia and the Philippines, whose scores
worsened.

This was despite many developments in the past year that could have fanned
anti-Western nationalism — the US bombing of the Chinese embassy in
Belgrade, the dispatch of foreign troops to restore order in East Timor and
International Monetary Fund-induced financial reforms, it said.

The survey showed anti-foreigner feelings were highest in China, followed —
in this order — by South Korea, Indonesia, India, Malaysia and the
Philippines, Thailand, Taiwan, Japan, Vietnam, Hong Kong and Singapore.

Assuming there is no drumming up of American nationalistic sentiment in the
United States in the run-up to presidential elections, "there is no reason
to think that the problem of nationalism in Asia in 2000 will be any worse
than usual," PERC said. "It could be less." According to the PERC

report, the more nationalistic a country is, the more risks there are
likely to be for foreigners trying to do business there.

This contrasts with patriotism which does not imply xenophobic feelings.

The report noted that the speed with which the Internet was penetrating
Asia, particularly among the region's youth, "is a reflection of a
willingness to learn, communicate and share ideas, not to promote the
building of nationalistic walls.

"In fact, the Internet is helping to fight nationalism by making it more
difficult for governments to manipulate such feelings of the local
population in order to justify certain policies or to divert attention away
from domestic shortcomings," PERC said.

There have been many recent cases in the region, it said, of how the
Internet grapevine has provided a counter view to the official line that,
if left unchallenged, could have fanned fires of nationalism.

PERC said booming trade and investment in the region was another factor
that kept nationalism at bay.

Most Asian nations enjoyed a recovery in export growth last year, the
momentum of which has been sustained so far this year.

This increase in business has benefited foreign and Asian companies alike,
and neither of these groups have much time for nationalism, the report said.

Direct investment has probably been an even more positive force, according
to the PERC survey.

During the regional financial crisis which erupted in mid-1997, distressed
local companies were accused of trying to invoke nationalism as a lever to
protect their positions.

There were fears that local populations, especially labor groups, might be
so incensed by the inrush of foreigners seeking to buy distressed assets
that social instability could result.

"This turned out to be a false fear, however," PERC said.