Australia and New Zealand normalized relations with Fiji July 30 by agreeing to exchange high commissioners. Yet despite the Australian and New Zealand governments’ claims in the press that the normalization is the result of successful steps toward democracy, in reality it is more an admission of the failure of their previous hard-line policies. Isolation had long proved ineffective in securing their goal of pressing Fiji’s military regime to reinstate democracy, and a softer approach to Fiji has become the best route available to influence change.

On December 5, 2006, a coup lead by Commodore Voreqe Bainimarama toppled Fiji’s democratically elected government only to receive resounding condemnation from the international community. Fiji’s bilateral relations with Australia and New Zealand soured rapidly with the implementation of targeted sanctions against the military regime, including a travel ban against the regime’s officials, suspension of seasonal worker schemes, a ban on munitions trade, and the cessation of military–to-military interaction. Regional isolation intensified in 2009 after Bainimarama failed to hold the elections he had promised or, indeed, to open any discussion about the return to democracy. In response, the Pacific Islands Forum (PIF) and the Commonwealth suspended Fiji. Fiji expelled Australia’s high commissioner in November 2009 and New Zealand’s high commissioner in 2010, cutting diplomatic communications to the bare minimum.

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The Week That Was

• Philippine Senate approves military forces agreement with Australia
• New Zealand government investigates Fiji assassination plot
• Former Fijian prime minister Qarase found guilty of corruption

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Looking Ahead

• Pacific Islands Forum in the Cook Islands
• Banyan Tree Leadership Forum with Kurt Campbell
• Luncheon discussion on U.S. military policies in Australia

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BRINGING FIJI BACK INTO THE FOLD: A U.S. PERSPECTIVE

By Elke Larsen, Research Assistant, Pacific Partners Initiative, CSIS

Australia and New Zealand normalized relations with Fiji July 30 by agreeing to exchange high commissioners. Yet despite the Australian and New Zealand governments’ claims in the press that the normalization is the result of successful steps toward democracy, in reality it is more an admission of the failure of their previous hard-line policies. Isolation had long proved ineffective in securing their goal of pressing Fiji’s military regime to reinstate democracy, and a softer approach to Fiji has become the best route available to influence change.

On December 5, 2006, a coup lead by Commodore Voreqe Bainimarama toppled Fiji’s democratically elected government only to receive resounding condemnation from the international community. Fiji’s bilateral relations with Australia and New Zealand soured rapidly with the implementation of targeted sanctions against the military regime, including a travel ban against the regime’s officials, suspension of seasonal worker schemes, a ban on munitions trade, and the cessation of military–to-military interaction. Regional isolation intensified in 2009 after Bainimarama failed to hold the elections he had promised or, indeed, to open any discussion about the return to democracy. In response, the Pacific Islands Forum (PIF) and the Commonwealth suspended Fiji. Fiji expelled Australia’s high commissioner in November 2009 and New Zealand’s high commissioner in 2010, cutting diplomatic communications to the bare minimum.

The regional credibility and reputation of Australia and New Zealand have been damaged by the fact that Fiji’s military rulers did not give in to their pressure but, rather, successfully pushed back. Three aspects of this push back are noteworthy. First, the key reason for the regime’s survival has been internal stability. Despite the isolation tactics of Fiji’s neighbors and the bleak economic situation caused by the global financial crisis, the Bainimarama regime has a high approval rating of 66 percent among Fijians, who believe that he has done either a good or a very good job in running the country. Some reasons for this include Bainimarama’s policies to help the poor, a reduction in the ethnic conflict that was prevalent under Fiji’s democracy, and the fact that the military is a respected institution that looms large in Fiji and touches the lives of most Fijian families.

Second, Fiji was able to break its isolation by seeking new powerful friends to help replace the loss of traditional support. Fiji undertook a ”look north” policy with China becoming an important aid donor, Russia strengthening its ties through visiting officials, and, most recently, the opening of Fiji’s new embassy in South Korea in July 2012. The strengthening of these relationships, particularly with China, has undeniably been hastened by Fiji having nowhere else to turn.

Finally, Fiji broke its regional isolation from the PIF by strengthening the Melanesian Spearhead Group (MSG), whose exclusive membership is made up of the most populous and resource-rich islands in Oceania. Since Fiji’s suspension by the PIF, the MSG has taken the PIF’s place in facilitating trade between Fiji and other Pacific Islands, firmly establishing itself as a competing intergovernmental organization. This development has damaged the prestige and effectiveness of the PIF. Fiji has always acted as an economic and logistical hub for the PIF countries, and therefore negotiating trade agreements—such as PACER plus, an Australian-led push for regional economic integration—without Fiji will be ineffective. Given that Australia and New Zealand are not welcome as members of the MSG, not only has Fiji broken its isolation, but it has also turned the tables on its two largest neighbors.

Still, despite Fiji’s military regime not budging under Australian and New Zealand pressure, there are some hopeful internal signs that democracy could reemerge close to the 2014 deadline for Fijian elections. As was highlighted in a 2011 Lowy Institute poll, the Fijian belief in the importance of fundamental human rights is particularly strong and should contribute to internal concern about the success of the constitutional consultation, ending racial inequality in politics, and the coup culture.

With the normalization of diplomatic relations, Australia and New Zealand will likely be able to once again add their voices during Fiji’s democratic transition. This is important because, for the Fijian population, Australia and New Zealand still hold considerable sway. Fijian public perceptions of Australia and New Zealand remain good despite the political differences over the past few years. According to the Lowy poll, Australia is viewed warmly by the people of Fiji, receiving an average of 74 out of 100 on a 100-point scale, the highest rating of any foreign country with which Fiji has ties. New Zealand is perceived almost as warmly, receiving 72 out of 100. It is also probable that Australia and New Zealand will ease their sanctions against Fiji. In particular, reinstituting military–to-military contact would expose a new generation of Fijian military officers to Australian and New Zealand values and promote future cooperation, which is particularly vital considering the prominence of the military in Fijian society

From the viewpoint of the United States, the normalization of relations is a step in the right direction. It is in the United States’ interests to promote stability and prosperity in the Pacific, and Fiji’s lackluster economy and its isolation from its regional partners are not in line with those goals. It may be argued that welcoming Fiji back into the fold flies in the face of the United States’ interest in human rights; freedom and democratization under the Bainimarama regime remains questionable, particularly in light of the August 3 jailing of ousted prime minister and political opponent Laisenia Qarase. However, with the apparent failure of their hard-line approach and by keeping communications open,, Australia and New Zealand now have a better chance to affect the quality of the Fijian regime that will emerge in 2014.

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The Week That Was

Australia

Philippine Senate approves military forces agreement with Australia. The Philippine Senate July 24 ratified a Status of Visiting Forces Agreement with Australia. The agreement will allow Australian troops to engage in training and joint exercises with their Filipino counterparts inside the country, whose constitution prohibits the permanent basing of foreign troops. Philippine president Benigno Aquino welcomed the agreement’s passage, describing it as an important step in strengthening Philippine security. The agreement was originally signed in Canberra in May 2007, but implementation has been pending ratification by the Philippine Senate.

Lynas Corp fails to get court order preventing Malaysia criticism. Malaysia’s High Court refused July 26 to silence a coalition of villagers that plan to publish statements criticizing Lynas Corporation’s rare earths processing plant in the eastern state of Kuantan. Lynas Corp’s $800 million rare earth processing plant has faced delays due to opposition from villagers and environmental organizations that fear the plant will leak radioactive waste. A parliamentary committee June 25 ruled the project safe, but Lynas Corp has not yet received a full operating license.

Indonesia and Australia to negotiate deal allowing Australian patrol ships to enter Indonesian waters. Australia and Indonesia are expected to negotiate a pact in early September that will allow Australian border patrol ships to enter a “search and rescue zone” in Indonesian waters without permission. The agreement comes in response to the rising death toll among asylum seekers attempting the dangerous journey by boat from Indonesia to Australia’s Christmas Island.

Australian mining companies prepare for tough times. Two Australian mining giants are being squeezed by increasing U.S. coal production, softening Chinese economic growth, and rising production costs caused by a high Australian dollar and new federal taxes. Rio Tinto announced August 1 that it will close its Sydney office and cut support staff in Melbourne. Similarly, BHP Billiton is considering cutting back its plans to expand operations in Western Australia’s Pilbara region. The price for iron ore has fallen $50–$60 per metric ton.

American Australian Leadership Dialogue held in Washington, D.C. The American Australian Leadership Dialogue held its 20th anniversary conference in Washington, D.C., July 15 to 18. The meeting convened both public and private sectors in an effort to boost understanding and cooperation between the United States and Australia. The Australian government’s defense budget cuts on May 8 reportedly came under fire from the U.S. delegation, prompting opposition leader Tony Abbott to denounce the budget in a July 17 speech at the Heritage Foundation, a conservative Washington-based think tank.

Queensland to host G20 meetings in 2014. Australian prime minister Julia Gillard announced August 5 that the 2014 G20 finance ministers’ meeting will be held in Cairns followed by the leaders’ meeting in Brisbane. The announcement was welcomed by North Queensland business and tourism leaders who believe the expected 2,000 attendees will give the region international publicity and a much needed economic boost.

New Zealand

New Zealand and Samoa celebrate Treaty of Friendship anniversary. New Zealand prime minister John Key led a delegation to Samoa August 1 to celebrate the 50th anniversary of the Treaty of Friendship between the two countries. The 1962 treaty brought to an end 48 years of New Zealand colonial rule and began a positive era in bilateral relations. Key met with Samoan prime minister Tuilaepa Aiono Sailele Malielegaoi to discuss bilateral relations, regional issues, and the upcoming Pacific Islands Forum in late August.

New Zealand government investigates Fiji assassination plot. Twenty houses in Auckland connected to an alleged plot to assassinate Fiji’s prime minister, Josaia Voreqe Bainimarama, were raided by police July 18. The alleged conspirators were members of Coalition for Democracy, a Fijian pro-democracy group, and were connected to Colonel Tevita Uluilakeba Mara, who fled Fiji in May after being charged with plotting to overthrow the regime.

New Zealand fishing company faces pollution charges in U.S. court. One of New Zealand’s largest fishing companies, Sanford Ltd., is facing U.S. federal court charges for seven violations of U.S. antipollution laws. Tuna vessel San Nikunau allegedly violated the Act to Prevent Pollution from Ships by dumping oily waste in American Samoan waters in 2011. The trial began July 30 and is expected to last two weeks. If found guilty, Sanford could lose the fishing vessel and $25 million in earnings, and pay fines of up to $500,000 for each violation.

pacific Islands

Former Fijian prime minister Qarase found guilty of corruption. Fiji’s ousted prime minister, Laisenia Qarase, was found guilty of corruption and abuse of office July 30. He allegedly failed to disclose his facilitation of three private investment companies acquiring shares in Fijian Holdings Ltd. while he served as director of the holding company, financial adviser to the Fijian Affairs Board, and adviser to the Great Council of Chiefs. Qarase was sentenced August 3 to 12 months in prison.

Peter O’Neill returns as Papua New Guinea’s prime minister. Papua New Guinea’s parliament August 3 voted 94–12 in favor of Peter O’Neill returning as prime minister. O’Neill’s People’s National Congress (PNC) party formed a coalition by wooing smaller political parties to support O’Neill as prime minister. A coalition led by former deputy prime minister Belden Namah had opposed the vote because the election results for several provinces had not yet been returned. A Papua New Guinea court ruled the vote should go ahead regardless.

Pacific Islands prepare for Pacific Islands Forum. In preparation for the 43rd Pacific Islands Forum (PIF), to be held August 27 to 31, high-level meetings have been organized across the region. A U.S. delegation led by Kurt Campbell, assistant secretary of state for the Asia Pacific, visited several Pacific Islands August 1–7 to prepare for the visit of Secretary of State Hillary Clinton, who is slated to attend the PIF. Separately, the PIF Smaller Island States, including the Cook Islands, Kiribati, Marshall Islands, Nauru, Niue, Palau, and Tuvalu, issued a joint statement August 2 saying that they support the formation of a development fund to direct foreign aid from multiple sources to important projects.

Vanuatu ratifies World Trade Organization accession package. The World Trade Organization (WTO) said July 25 that Vanuatu has ratified its accession agreement to join the global trade grouping. Vanuatu will officially become a member on August 25, making it the sixth Pacific Island nation to join the WTO. Accession to the WTO is controversial for some Vanuatu civil society organizations, which believe that Vanuatu has foregone protections in its accession package that its “least-developed country” status should have granted. It is expected that WTO membership will become an issue in the country’s elections in October.

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Looking Ahead

Pacific Islands Forum in the Cook Islands. The 43rd Pacific Islands Forum will be held in Rarotonga, the Cook Islands, from August 27 to 31. Leaders from across the Asia-Pacific region, including U.S. secretary of state Hillary Clinton, will meet to discuss issues including security, trade, and the environment. For more information and the latest press releases, please visit the Pacific Islands Forum website.

Australian modern art exhibit: Shifting Geometries. The Australian Embassy in Washington, D.C., is hosting “Shifting Geometries,” an exhibit of new and recent abstract contemporary artworks by 10 prominent Australian artists. The collection can be viewed by the public at the Australian Embassy, 1601 Massachusetts Ave., N.W. The exhibit is open weekdays until September 14 from 10:00 a.m. to 2:00 p.m. For more information, please click here.

Banyan Tree Leadership Forum with Kurt Campbell. The CSIS Pacific Partners Initiative will host Assistant Secretary of State Kurt Campbell September 5 for a Banyan Tree Leadership Forum. Campbell will discuss the outcomes of the Pacific Islands Forum and U.S. engagement in the region. The event will take place from 2:00 p.m. to 3:00 p.m. More details will follow.

Luncheon discussion on U.S. military policies in Australia. Georgetown University’s Center for Australian and New Zealand Studies, and the Women’s National Democratic Club will jointly host a luncheon discussion September 11 on U.S. military policies in Australia. The luncheon will feature Sue Wareham, a recipient of the Medal of the Order of Australia for “service to the community and the peace movement,” who will discuss her thoughts on the United States as part of a wider global community. The event will take place from 11:30 a.m. to 2:00 p.m. Please RSVP here.

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