Patrick Fresne

I think that is an interesting chart. Just a thought: is it possible the high growth rates in Laos , Myanmar and Cambodia may be more down to the increasing 'electrification' of these countries than it is Chinese investment?. Historically, when countries undergo rapid electrification it tends to boost economic growth, as electricity is a 'force multiplier' (for example, the prosperous 'roaring 20s' coincided with a dramatic increase in the numbers of people with access to electricity in cities in the US, Europe and Japan; likewise the strong economic growth in the Soviet Union in the 50s and 60s coincided with a big drive towards electrification by the Soviet government). Myanmar and Cambodia have the lowest access to electricity in Southern Asia, although this has been rapidly increasing, and I suspect this may be being reflected in those strong economic growth numbers.

Mathan Somasundaram

Sure....I think that has played a decent part in their growth. What we are seeing with China is that they realized that they needed to grow the overall growth pie by helping the infrastructure and industrialization boom in all these countries. We are seeing this in large parts of South America and Africa as well as other Asian countries like Singapore, Malaysia, Indonesia, Sri Lanka and even Pakistan of late. The capital investment driven by China is helping these countries to attract more external investment capital to make the next energy, infrastructure and industrialization steps. As we have seen in the past, when these countries make these steps forward, they create bigger middle class which drives more consumption. China's global strategy has moves to growing the pie than taking a bigger slice of a declining pie.