In China, if you want to be a leader, you have to start from the grassroots level to accumulate rich government work experiences after ascending nine levels of posts (section chief, deputy division chief, division chief, deputy director of general office, director of general office, vice-minister, minister, deputy-state leader, state leader). With such experiences, you may have the opportunity to become one of the candidates for leadership.

Step 1: Become a member of the Communist Party of China

There are 85 million CPC members in China.

If you want to run for election of the leadership, first of all, you must become a CPC member. In China, the majority of new Party members are fostered in universities. And the minimum standards of becoming a Party member are: excellent academic scores, outstanding daily performance, and certain class management experience are preferred. Of course, if you are in other occupations, as long as your performance is excellent, and you are dedicated, there are opportunities to become a Party member.

Step 2: Become a civil servant

After becoming a Party member, you need to become China's public officials, that is, civil servants.

Nearly two million applicants participate in the annual civil servant’s exam to compete for around 10,000 positions. Congratulations, you are now a civil servant if you stand out in fierce competition of one out of 200. But, don’t get too optimistic. You are just at the starting line, since there are over 7 million civil servants nationwide.

The smartest two-million of China's eleven-million university graduates will take Guokao (Chinese Civil Service Examination, traditionally called Keju) this summer. The written examinations are much harder than the stiff high school gaokao, the orals are exhausting, and the competition ten times stronger - because geniuses are ten times more common. Chinese youngsters need an IQ of 140 - enough for a PhD in theoretical physics - to get a job interview with the country's most prestigious institution. The smartest two-million kids take the exam, but just 27,000 (or 0.35%) will be invited to join the 'priesthood, whose vows of selfless service are stricter than the Jesuits.

Step 3: Start from grassroots level, get promoted step-by-step in nine post levels

When in the civil service, you start from the grassroots level, equivalent to community work in Europe and United States, then you climb the ladder of nine levels from county to city, then to provincial level, and then head for the central level. When you finally make your way into the Standing Committee of the Political Bureau of the CPC Central Committee, congratulations again! You now have a chance to be the next state leader of China.

In the case of Chinese leader Xi Jinping, he completed nine levels after assuming 16 major positions with government work experiences in two provinces and one municipality (Fujian, Zhejiang and Shanghai) with a total population amounted to 150 million. It was a 40 + years’ journey: From a Party Secretary of a production brigade, to No. 1 leader of Fujian and Zhejiang provinces and Shanghai, and then to Vice-president of China, to CPC General Secretary, President of China, and finally top leader of China.

Then here comes the question: What are the criteria for getting promoted?

To evaluate the candidate for a higher level, a combination of methods including ‘polls and votes’ and ‘recommendations and inspections by organization’ are used. Morality stands of fundamental importance, so the key point here is to appraise one’s ethical character and work competence.

The economic growth rate is not the only benchmark to evaluate competence, the improvement of livelihoods, income index of residents, spirit of pragmatic work are all taken into consideration. Officials who crave lucrative positions or solicit votes will be removed from the list of potential candidates for promotion.

What are the standards to become a Chinese leader?

Let's again take the example of Xi. While working in Ningde, Fujian as local Party secretary, his footprints covered nine counties. After getting transferred to Zhejiang, he spent about 50 percent of his work time to research local people's living conditions. He usually got up at six to seven in the morning and worked late until midnight. He traveled around 90 cities and towns of the province in less than two years. While in Shanghai, he also toured all 19 districts and counties.

His fast pace and vigorous efforts were rewarded with fruitful achievements. Taking Ningde as an example, during his term of one and a half years, the rate of poverty alleviation had reached a record high - 96%. While he was in Zhejiang, the GDP (gross domestic product) of the province witnessed a drastic increase from 767 billion yuan in 2002 to one trillion and 863.84 billion yuan in 2007.

Facts have proven China’s rapid development, 66 million Chinese escaped from poverty; contributing more than 30% to world economic growth, which ranks No. 1 worldwide, in the past five years under Xi’s leadership can be attributed to his solid government work experience at various levels.

In China, only through tests and practices at various levels can one become a state leader of the nation with a population of almost 1.4 billion.

So over the years, all aspects of China's policy could maintain basic stability, economic growth has been on a steady rise, while the Chinese are enjoying better lives. The strict selection mechanism ensures excellency of the CPC, which is one of the secrets of the country's sustainable and growing economy.

(Facts given by Shou'en Li who lives in China)

Sept. 15, 2023 (EIRNS)—Today was the first of the two-day Summit of the G77+China, meeting in Havana, chaired for 2023 by Cuba, whose Foreign Minister said in advance of the gathering that there will be “a call for a new economic world order.” Minister Bruno Rodriguez said on Sept. 15 to reporters that the Summit statement will underscore “the right to development in an increasingly exclusive, unfair, unjust and plundering international order.”

There are reports that some 30 heads of state and government are among the delegations, and that from most, if not all of the 130 member nations of the G77+China sent delegations. This Havana Summit of the G77, which was founded in the 1960s, now serves as a platform to add to the momentum of the Global Majority for a new world economic order, which means conditions for security for all. It is noteworthy that one of the world’s most pressing problems is the “deficit of development,” in the view expressed today to CGTN by UN General Assembly President Dennis Francis (Trinidad and Tobago), speaking about the upcoming General Debate that starts on Sept. 19.

There is a telling irony that the current G77+China Summit is in Cuba, which has been under sanctions since 1962 from the United States, which has not deviated in 60 years from its foreign policy of coercion and punishment. Sanctions, military threats, economic warfare and other aggressions have come to be the defining behavior of the Global NATO alignment against the world’s nations in recent decades.

In the last 24 hours, the United States has issued dozens of new sanctions against entities and individuals in Iran, Türkiye, Georgia and the U.A.E., as well as new sanctions against Russia. Barely a day after President Putin’s speech at the plenary of the Eastern Economic Forum in Vladivostok on Sept. 12, where he said that developing the Far East and North of Russia were his nation’s priority for the 21st century, U.S. Secretary of State Tony Blinken issued a statement, along with 150 sanctions, which included targeting of individuals and entities involved in this region’s economy. Blinken stated, “As part of today’s action, the U.S. government is targeting individuals and entities engaged in sanctions evasion and circumvention … and those responsible for bolstering Russia’s future energy production.”

However, there is no turning back the tide of humanity coming in for economic development and progress. Whatever its specific deliberations this weekend, the Group of 77+China represents 80% of the world’s population.

The present danger comes from the cornered Global NATO nations bent on more and more provocative actions, to the point of triggering nuclear annihilation. One expression of the escalating danger is the fact that so many European nations have lined up to acquire the U.S.-manufactured F-35 stealth jet, a nuclear-capable fighter craft. This means that all these nations will at some near point be “nuclear capable”—with trained pilots and support systems for nuclear arms. This will be unlike before, when there were different aircraft, and only five European nations with nuclear arms. One deluded description of this is that it will provide enhanced “nuclear credibility” for deterrence, when in fact, it will provide enhanced likelihood for nuclear obliteration.

These prospects must be stopped. The world needs volunteer, self-appointed ambassadors for the new world economic and security framework now under discussion in Havana. Join up with the Schiller Institute.

Introduction

At the moment global economy is facing massive inflation. This has forced US Federal Reserve to raise interest rate to stem in inflation inside USA. This in turn has lured private lenders away from Emerging Economies (EMEs), Least Developing Countries (LDCs) and even Developed Economies (DEs) like EU and Japan and China to USA. The lenders will go where they will get maximum interest income. As a result many EMEs and LDCs are facing lack of foreign credit in global market and hence they are running short of foreign exchange. Often their foreign exchange reserves are so low that they cannot cover more than 3 months imports. Continuous flowing out of foreign exchange mainly US Dollars result in devaluation of domestic currencies against US Dollar. This inflates the bills of necessary imports. High oil-food-fertilizer prices have increased their import bills further aggravating the shortage of foreign exchange crisis. Now this article will discuss how EMEs and LDCs can mitigate this problem by using prudent currency exchange between themselves and by bargaining with private lenders of global market.

Problem Is Not Temporary 

This problem of high inflation and costly credit in global market is not a temporary phenomenon. The problem is much more systemic and there is no short term remedy. We must remember that in 1970s global economy started to face stagflation i.e. low economic growth with high inflation. Many economists pointed out that oil price hike by OPEC under leadership of Saudi Arabia from 1973 to 1979 was the main reason for stagflation. From 1980s inflation started going down and global economy started to grow. The main cause of end of stagflation was actually introduction of China in global market in 1980s. China with its massive scale of productive cheap workers entered the global market and started to produce at cheaper price. Thus inflation began to cool down and supply rose significantly in the global market. Low inflation helped all central banks including US Federal Reserve to keep interest rate low. Thus low inflation resulted in rise of cheap credit in the global market. This cheap credit financed many economic activities including unproductive ones in EMEs, LDCs and DEs. This cheap credit helped many EMEs and LDCs to consume beyond their ability to produce and also helped DEs to invest in profitable yet unproductive asset trading.

But after four decades of record growth China's workers are no longer cheap. Wage rate has grown 5 times in four decades. China is now a Developed Economy and its total economy has expanded its growth rate has moderated compared to last decade. Naturally China's ability to keep inflation low in global market has been reduced significantly by 2020s. Thus source of cheap credit is drying up as well. Geopolitical clash between declining USA and rising China (two largest economies in the world), has distorted global chain adding to inefficiency and hence global inflation. Russian military operation in Ukraine and USA's decision to help Ukraine has further raised global inflation as Russia despite being 2% of global GDP is an important supplier of daily necessities like oil, gas, fertilizer and grain. Pelosi's Taiwan visit clearly shows geopolitical clashes between USA and China-Russia will only rise. So high inflation and costly credit are now permanent reality with which world has to live with.

Use Of Multi Currencies Is The Way To Go

Since inflation and high interest are here to stay, EMEs and LDCs will keep facing shortage of US Dollar as private global creditors will keep pulling out US Dollars from EMEs and move to USA and other DEs. So EMEs and LDCs have to chalk out a long term strategy to counter this. They have to tackle this in three ways simultaneously. One is through current account, second is through capital account and third is by raising productivity of the economy.

Current Account Solution

EMEs and LDCs must deal bilateral trade with currencies other than US Dollar. China is largest bilateral trading partner or second largest bilateral trading partner for almost all EMEs and LDCs. So they must trade with China more in Chinese currency Yuan. Many EMEs and LDCs may also start trading among themselves with Yuan too. Similarly they can use currency of other important partner countries who usually have trade surplus with the former ones. Selective use of other big economies like EU's Euro and Japan's Yuan can be used too. In this way, EMEs and LDCs can maintain their minimum import level without any use of US Dollar. It must be remembered that USA is most important bilateral trading partner of most countries. So remittances inflow must be encouraged in US Dollar. Moreover, big economies who have no shortage of US Dollar must be asked to pay partly in US Dollar. For example, Sri Lanka must trade with China partly in Yuan and partly in US Dollar. Sri Lanka must trade with other EMEs in mostly Yuan and also partly in Rubles, Yen, Euro and partner country's currency. Gold and other valuable metals can be used too. This is best way to continue imports for most of EMEs and LDCs. Russia is already working on this model where it is dealing with Yuan and many of partners' currencies instead of US Dollar and Euro. Turkiye too is seeming to follow Russia's path. Brazil and India also are partly following the same rule.

 Capital Account Solution

The main strength of US Dollar is not its role in product market but in asset market. US asset market is considered most lucrative by private global lenders. So higher inflation and hence higher interest rate by US Federal Reserve attracts private global lenders to USA in a great way. These private lenders have their head offices mostly in New York and London. They are most important instrument of foreign exchange flow in the global economy. EMEs and LDCs have to force these private global lenders to accept non US Dollars as payment. IMF and World Bank must be asked for accepting interest in multiple currencies. IMF itself has raised weight of Yuan in its SDR basket significantly. EMEs and LDCs must make private lenders accept multiple currencies in weight given by IMF's SDR. These private lenders can be lured to accept non US Dollars if EMEs and LDCs are ready to raise their interest rate in a big way. But this will hamper their economic development as high interest rate will imply lower growth. So most EMEs and LDCs will try to avoid this path.  

Productivity Solution

The countries of EMEs and LDCs must deal with private creditors in a united way to make impact. A recession or low growth in USA will surely force these lenders to come to terms with EMEs and LDCs. The higher the growth EMEs and LDCs can achieve compared to USA, the more private creditors will lured towards the former group of countries. Since higher interest rate will ensure lower growth in USA, the rest of the world will surely have higher bargaining power with private lenders in future as growth differential will work in their favor. So EMEs and LDCs must be ready to raise their economies' productivity such that at same interest rate, their growth rate must rise significantly. Keeping interest rate same these countries must invest more by raising propensity to invest and from same amount of investment they must produce more output by raising workers' efficiency and productivity.

Conclusion

If significant portion of imports are covered by non US Dollar transactions and using higher growth EMEs and LDCs can force private global lenders to accept non US Dollar payments then these countries can save themselves from foreign exchange shortage crisis in the coming years. The more attractive Chinese asset market becomes, the more likely global lenders will start accepting Yuan which will mean more advantage to EMEs and LDCs. So the two most important policies are cooperation among non Western countries and unleashing productive potential in each of these countries.

Biden was not allowed to land at Saudi Arabia capital, Riyadh; he landed in Jeddah , near the Red Seas coast; that’s alone is an insult. There wasn’t any American flag , he was not received by the king nor the crown prince . He was met by the Mayor of Jeddah, another slap on the face.

Crown prince met him and bump fists, with a stonefly face. During the meeting Biden raised the issue of the death reporter and human rights; the crown prince shot back: America is guilty of killing thousands of civilian civilians in Iraq and Afghanistan ; and a very large photo displayed at the meeting venue showing man felling from US military C5 transport in Afghanistan. A total humiliation for a US president . The king nor the crown prince attended the state dinner, the humiliation is complete.

Crown Prince directly said diferent countries have different values and those difference in values must be respected. This is clearly the language of China and Russia. China and Russia repeatedly said different countries have different value systems and West has no right to impose its own values on like electoral democracy and liberalism feminism etc. on others. Ideologically Saudi is in Multi Polar camp. In economic and military issues, Saudi will keep bargaining between USA and China-Russia. This is clear from Saudi Foreign Minister's words which say Saudi do not think relations between USA and China have to be mututally exclusive and that Saudi wants better relations with both the countries. 

Saudi and China are the two most important reasons why the Western sanctions could not destroy Russia. Saudi kept oil price high in global market and thus sanctions on Russia simply resulted in inflation in Western world never seen since 1970s. China gave Russia market for its oil which kept Russian export earnings intact. India and Brazil too continued to buy cheaper (than global price oil) from Russia. Many other countries are buying Russian cheaper oil too. Saudi promised to Biden that the former will raise production by mere 1.5 million barrel per day and that also by 2023. So oil price to remain high in global market in 2022.    

The end of American hegemony is almost complete now. From Russia to Turkey from ASEAN to Saudi from Iran to Latin America, from South Africa to India nobody is ready to be in US led camp. Only India nourishes anti China views and hence wants to move with both USA and Russia which is an absurd idea and will obviously fail. Even Australia is showing signs of reconciliation with China. European Union has lot to gain from China but being politically subservient to USA, it is failing to follow its desirable relations with China. But from Ukraine episode it is clear that European leaders are recognizing the fact that their interests may not match US interests. Japan like India will continue to follow anti China policies.