The ASEAN Miracle observes that Southeast Asia is the world’s most diverse region. Although obvious once mentioned, it still seems novel. Southeast Asia’s history is a mix of Chinese, Indian and Islamic influences, with sizable populations of several of the world’s major religions. Yet despite this and its complicated colonial and postcolonial history, Southeast Asian countries have fought no major wars between them over the past half-century. The most significant war in Southeast Asia, the Vietnam War, involved an extra regional power: namely, the United States.

“Finance is the lifeblood of the modern economy” has become something of a stock phrase for Chinese policymakers over recent years, uttered most recently by Xi Jinping as part of his speech to the Belt and Road Forum in Beijing in mid May. Although this sounds like a capitalist mantra, what precisely might be meant by this phrase requires more in-depth understanding of China’s economy and its financial system. At the heart of that system still lie China’s banks, in spite of the rapid emergence of other financial institutions and instruments over the last decade.

The changing balance between Asia and the West is a function not just of the relative rise of the Asian economies but also of the apparent withdrawal of the United States from a multi-decade commitment to global leadership, a development which if anything seems to be accelerating under the only recently-installed Trump administration. One place where these two factors coincide dramatically is Latin America, a region that the United States has long considered—somewhat patronizingly, perhaps—as its backyard.