Asian Insider July 15: China’s growth, Malaysia’s sex scandal, Taiwan’s presidential hopeful

Asian Insider brings you insights into a fast-changing region from our network of correspondents.

WHAT TO MAKE OF CHINA'S NUMBERS

China's economic growth in the second quarter of this year slowed to 6.2 per cent - making it the country's worst performing quarter since Q1 of 1992. The numbers are in line with predictions from analysts who had said that first quarter growth of 6.4 per cent was not sustainable.

Why it matters: Coming a week after Singapore announced worse-than-expected second quarter figures, the Chinese numbers reaffirms concerns than the drawn out US-China trade war will start to really take its toll.

Bright spots: There are signs that the Chinese government stimulus may be working. Initial statistics from June suggests that Q3 may be cheerier than Q2 with industrial production, retail sales and fixed-asset investment all performing better than expected. Output for crude steel and aluminium are also rising. Still, a lot remains unknown about the outlook for both the global and Chinese economy for the rest of the year. The biggest question is whether the current ceasefire on tariffs might actually lead to US-China trade deal.

The full report: China economy grows at slowest pace in 27 years as trade war drags on, more stimulus expected

MAN WHO IMPLICATED MINISTER IN SEX VIDEO SCANDAL ARRESTED

A month after he shocked the country by implicating a high-profile political leader, Economic Affairs Minister Azmin Ali, in a gay sex video scandal, Haziq Aziz has been arrested. He was arrested along with five others. The identities of the others arrested were not immediately clear nor were the charges against Haziq announced. The police said last week that they were closing in on an "alliance" who spread the videos. Authorities also say they have yet to determine the authenticity of the video.

The big picture: Since implicating Mr Azmin Ali, Haziq was fired from his position as a staffer and then expelled from the party. Mr Azmin has, in turn, survived relatively unscathed and it remains to be seen if the episode has any impact on his longer-term political viability.

Further reading:

Haziq among six arrested over gay sex clip linked to Malaysian minister Azmin Ali

KL police chief says an 'alliance' masterminded gay sex video

TAIWAN'S OPPOSITION PICKS ITS PRESIDENTIAL CANDIDATE

Taiwan's main opposition party, the Kuomintang, has picked Kaohsiung mayor Han Kuo-yu as its presidential candidate for the 2020 election. Mr Han, who won the mayoral election last November in a town considered to be a stronghold of current president Tsai Ing-wen, won 45 per cent of votes cast in the primary. He defeated four others including the billionaire founder of Apple supplier Foxconn, Terry Gou.

Taiwan's Trump? The 62-year-old political outsider's meteoric rise has been dubbed the"Han tide" with some comparing him to US Donald Trump. Mr Han was a nobody in Taiwan politics a year ago when he was running for the mayoral seat in a race no one gave him a chance of winning. One of his more recent jobs was as general manager of the Taipei Agricultural Products Marketing Corporation. He drew admirers with plain-talking style and he positioned himself as a maverick set on shaking up the staid politics in Taiwan.

The story: Kaohsiung mayor wins opposition party's nomination for Taiwan's 2020 presidential election

ST EXCLUSIVE: HOW LAVISH DESTINATION WEDDINGS ARE HURTING THE ENVIRONMENT

Uttarakhand in northern India is known for its natural beauty, set amid a Himalayan mountain range. No surprise then, that the wealthy see it as an ideal wedding venue. However, as India Bureau Chief Nirmala Ganapathy reports, the recent opulent weddings of two children of Indian-born South African tycoons have drawn the ire of activists.

The opulent details: The Gupta brothers, Ajay and Atul, had their sons marry at the ski resort of Auli in Uttarakhand two days apart. Temporary helipads were built so that 10 helicopters could transport guests there; thirty tents were put up and a large glass house with a front porch was constructed as the key staging area for the weddings. Guests of the weddings left behind 32,600kg of rubbish - in addition to human waste - at the ski resort, which has basic sewage facilities and no waste disposal plant.

Read the full report: The dirty side of a lavish Indian wedding

AND FINALLY, PREVENTING A PROPERTY BUBBLE -THE CHINA WAY

If a government sees a property bubble forming, what can it do to rein in the market? Well most, like Singapore, Australia and the US, resort to policies like additional taxes or tightened loan-to-value limits. As this new Bloomberg report outlines, in China, authorities can get very much more creative. Here are some groups that have at some point been banned from buying property somewhere in China:

- Foreigners

- Anyone not born in a particular city

- Local residents that already have two properties

- Anyone single or getting a divorce

- Non-local residents who have not paid five years of tax

IN OTHER DEVELOPMENTS

Embattled Hong Kong leader Carrie Lam broke her silence on Monday afternoon (July 15) to condemn "rioters" and praise police after violent clashes on Sunday night that left two people in critical condition and four in a serious state.

India on Monday (July 15) dramatically scrapped the launch of a rocket that was aiming to land a probe on the Moon less than one hour before blast-off because of a "technical" problem.

A sleeper box office hit, now screening in Japanese theatres, has rankled the ruling Liberal Democratic Party (LDP) establishment though it will unlikely derail the party's odds of a resounding victory at the Upper House poll this Sunday (July 21).

Amaravati city, which is being developed with Singapore's help, appears to have run into trouble, with a new government reviewing all ongoing works and cutting finances - triggering uncertainty over the future of the state capital project.

Malaysia's Finance Minister Lim Guan Eng said on Monday (July 15) his ministry did not issue any instructions to seize more than RM 1 billion (S$328 million) in funds from state-owned China Petroleum Pipeline Engineering (CPP) after a report by The Straits Times over the weekend that cited sources saying the government had ordered the seizure. "So, if there are any instructions of seizure, you should refer to the enforcement agencies. That's all I want to say."

That's it for today. Thanks for reading and see you tomorrow,

- Jeremy

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