The Investment Climate in Southeast Asia

One normally does not find sudden and dramatic changes in the investment climate, barring the unexpected outbreak of-wars or revolutions. Asia has seen a fair amount of military action and revolt during the past year, not all of it unexpected There was the fighting in Laos, which resulted in the as yet unconcluded negotiations which will probably lead to the establishment of a neutralist regime. In April of 1961 another revolution occurred in South Korea, and the elected government was replaced by a military dictatorship.. Communist guerrilla activity in South Vietnam was stepped up, and uncertainty about the future of that area increased. Relations between Pakistan and Afghanistan became more strained, and while no fighting has broken out, diplomatic relations between the two countries were broken off. India was both the victim of further incursions of her territory by communist China and the perpetrator of the forcible seizure of territory from Portugal. Indonesia has been making preparations for an armed attack on the Dutch in New Guinea.