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Top 5 at 5: The $2 Billion Aid Gap in Southeast Asia

Grace Stanhope, Research Associate, Lowy Institute

04-Aug-25 17:00

Top 5 at 5: The $2 Billion Aid Gap in Southeast Asia

A new report by the Lowy Institute warns that development aid to Southeast Asia will drop from USD 29 billion to 26 billion in 2025, largely due to cuts by Western governments. We speak to Grace Stanhope, Research Associate at the Lowy Institute and co-author of the report, to unpack what this means for the region and the growing influence of countries like China in development financing.

Other stories we covered:

• Thai-Cambodian peace talks resume in KL: Peace negotiations continue in Kuala Lumpur as both nations meet under the General Border Committee, following last week’s ceasefire. We spoke to Bunn Nagara, Director and Senior Fellow at the BRI Caucus, Asia-Pacific, about what these talks could achieve, why Malaysia was chosen as the host, and whether ASEAN can play a constructive role in long-term peacebuilding.
• Malaysia’s Boeing deal and US tariffs: Malaysia’s USD 9.5 billion aircraft deal with Boeing is being seen by some as a way to ease tariff pressures from the United States. Shantanu Gangakhedkar, Senior Aviation Consultant at Frost & Sullivan, shares what this acquisition means for Malaysia Airlines Berhad’s financial health and whether it signals a deeper economic strategy at play.
• Artists call for better, fairer funding: At a recent Merdeka Award forum, arts leaders called out fragmented, ad hoc grant systems that keep the creative sector in survival mode. We hear from June Tan, Representative of ReformARTsi, and Miriam Devaprasana, Co-founder of Dabble Dabble Jer Collective, about the inequities in arts funding and what needs to change to ensure creative sustainability across the country.
• Coconut theft sparks class debate: A viral video of a woman berating migrant workers over coconuts has sparked outrage—and deeper reflection on class, entitlement, and how we treat essential workers. We get into it.

Image Credit: Shutterstock

Produced by: Sudais Ferhard, Alia Zefri, Sneha Harikannan, Tee Shiao Eek, Juliet Jacobs

Presented by: Sharaad Kuttan, Dashran Yohan


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Categories:  Law/Activismcontroversiesgovernmentperforming artsvisual artsinternationalpoliticseconomy

Tags:  lowycoconutmigrant workerlawparti sosialis malaysia (psm)artsfundingustradeboeingthailandcambodianegotiationsforeign aidsoutheast asia





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