Friday, May 21, 2010

Zone 3- Euro-Americas Summary Week # 117

Week # 117 – Dated 24-30 April 2010

WESTERN EUROPE

Hundreds of thousands of people joined May Day rallies across Europe last week, many protesting against government austerity policies in the wake of the global financial crisis. In Greece, where the debt-stricken government has pledged budget cuts to secure a European Union and IMF rescue, protesters burned garbage cans and set a TV van on fire.

In France, an estimated 300,000 people took to the streets in various cities as part of the traditional May Day demonstrations held by trade unions amid President Nicolas Sarkozy's plans to reform the country's costly pension system, as well as general fears over job security due to the financial crisis.

In Sofia, Bulgaria more than 5,000 Bulgarians protested against high unemployment and what they called an inadequate response to the economic crisis of the center-right government.

A fierce global equities sell-off was sparked last week after ratings agency Standard & Poor's cut Greek debt to junk status, while a downgrade to Portugal also stoked concerns about a widening Euro zone crisis.

Shares of BP - a leading energy provider, continued falling last week as the company felt the impact of the massive oil spill from an exploratory well in the Gulf of Mexico.

Belgium’s Premier Yves Leterme, whose government collapsed last week, has stepped aside, paving the way for Marianne Thyssen, 53, the first woman who could become Belgium's next prime minister. Early elections are likely in June. Until then Leterme's five-party alliance of Christian Democrats, Liberals and Socialists from both sides of Belgium's linguistic divide stays on a caretaker role.

Meanwhile Italian Prime Minister Silvio Berlusconi insisted last week that his government would serve out the remaining three years of its term, despite mounting infighting and trouble within his coalition.

Belgium's lower house of parliament has banned burqa-type Islamic dress in public, but the measure faces a challenge in the Senate which will delay early enactment of the law. The law holds that no one can appear in public "with the face fully or partly covered so as to render them no longer recognizable."

A study by the US-based watchdog Freedom House, released last week has revealed a decline in press freedom for the eighth year in a row.

CENTRAL AND EASTERN EUROPE

Syrian Prime Minister Boyko Borisov announced last week that Syria will repay $17m of its debt to Bulgaria within 30 days.

Last week Croatia’s government approved amendments to the constitution and forwarded them to the parliament for passage. The amendments involve issues related to minorities, fighting crime and completing Croatia's EU accession negotiations.

Kosovo Border Police officially took over control of the country's border with Albania from KFOR last week (April 28th).

Meanwhile Prime Minister Hashim Thaci confirmed in a cabinet meeting last week that the Montenegrin community will be added to the list of minority communities in Kosovo and will be legally recognized and equal to other minorities there.

The United States and Poland plan to resume a strategic dialogue designed to address issues mutually shared by both countries, the nations' top diplomats announced last week.

The Polish opposition Law and Justice (PiS) has appointed Jaroslaw Kaczynskithe, twin brother of Poland's late president Lech Kaczynski, as the party's presidential candidate.

The Czech Republic is scheduled to hold a general election on May 28-29 that looks likely to bring the centre-left Social Democrats to power after a four-year hiatus, handing them the task of slashing a crisis-inflated budget gap.

According to the Czech Republic's vice premier the government has approved an agreement with the United States on scientific cooperation in defense research.

Greenpeace denounced the Czech Environment Ministry’s decision last week to accept a seriously flawed environmental impact assessment (EIA) for the expansion of the Czech Republic’s largest coal-fired power plant as a shamefully manipulated political decision, which does not respect expert analysis.

The Slovak parliament last week buried a controversial patriotism act, which had sparked public outrage in Slovakia months before the June general election. Under the failed law, state-run schools would have been forced to play the national anthem before class each Monday and fit classrooms with an array of state symbols.

On the economic front data released by the Slovak Statistics Office shows that Slovakia's budget deficit swelled to 6.77 % of the country's gross domestic product (GDP) in 2009.

Hungary’s centre-right party Fidesz secured the unprecedented two-thirds majority that it had hoped for on April 25, when it secured 263 of 386 seats in the country’s next parliament with 98 % of second round votes counted. The centre-right party won the elections by a landslide, which will enable it to pass deep state reforms. Meanwhile Gypsies in the nation fear that big gains made by an extreme-right party in national elections could further feed the climate of hatred that spawned an unprecedented string of serial killings of gypsies last year.

Iran will inaugurate copper wire factory in Belarus in the presence of Iranian Minister of Industries and Mines Ali-Akbar Mehrabian this week. Iranian private sector has invested eight million U.S. dollars on the project. Meanwhile the first tanker carrying Belarus-bound Venezuelan oil arrived at Ukraine's Odessa seaport last week.

Belarusian leader Alexander Lukashenko warned citizens last week to be on guard against Kyrgyz-style turmoil, suggesting that outside forces were bent on pushing him from power as a 2011 presidential election approaches. Meanwhile voters began going to the polls in communal elections in Belarus last week in the first voting under new election laws adopted under pressure from the European Union.

Members of the National Congress of Armenians of Ukraine and Analitika.at.ua information and analytical center called on the Ukrainian President and Supreme Rada last week to recognize the Armenian Genocide. Ukrainian public figures, politicians and representatives of national communities have put signatures to the statement.

Eggs were hurled during a rowdy Ukrainian parliamentary debate during the ratification of the controversial Russian-Ukrainian naval base deal that extends the lease by another 25 years. Meanwhile last week Ukraine's state prosecutor opened a criminal case relating to what it said was misuse by the government of Yulia Tymoshenko of about $290 million cash received for selling carbon quotas.

Lithuanian Prime Minister Andrius Kubilius expressed concern last week over plans by Russia and Belarus to build nuclear power plants close to his country's borders, while insisting that Lithuania's own plans for a nuclear facility will go ahead. '

Lithuania's economy shrank in the first quarter, after growing for the last two quarters of 2009, but the fall on an annual basis was less than expected.

RUSSIA

Kyrgyzstan’s provisional government revealed last week that Russian Special Forces had seized and extradited Kyrgyzstan’s former interior minister, who had been convalescing in Moscow after being severely beaten during bloody antigovernment riots last month. The move further signals Moscow’s support for the new Kyrgyz government.

NATO secretary general Anders Rasmussen has opined that bringing Russia into the plans will help to allay its concerns about the project and contribute to further arms control measures. Meanwhile according to Russia's envoy to NATO Russia will seek direct opportunities to sell weapons to NATO member states In return, it is hoped, the Alliance might lift all barriers for free military trade between Moscow and NATO member states.

On the geo strategic front there seems to be some hope regarding Poland and Russia taking a step toward possible reconciliation, drawn together by the death of Poland's President Lech Kaczynski, who was killed last month in a plane crash in Russia along with 95 other high-level Poles. In this stead Russia has published documents related to the 1940 massacre of thousands of Polish officers in Katyń, in a gesture of solidarity with Warsaw after the recent tragic incident. Also a decision has been taken by Moscow’s local government to remove posters of Stalin is a gesture heralding the recent thaw in Russian-Polish relations.

The 15th assembly of governors from Russia and Japan met in Moscow on May 3 to discuss developing relations at a regional level. Observers hope that such contacts may contribute to the development of political, cultural and economic ties, still marred by the territorial dispute over the South Kuril Islands.

On the economic front Russia's economy grew 0.6 % in the first quarter this year, extending the recovery to three consecutive quarters. Meanwhile the administration of Prime Minister Vladimir Putin has been powerless to stem gains in the ruble, which has surged 15 % against the dollar in the past 12 months, tracking a 75 % rise in Urals crude in the same period.

Russian Prime Minister Vladimir Putin’s spokesman, Dmitry Peskov has said that Russia’s proposal to merge OAO Gazprom and Ukraine’s national energy company NAK Naftogaz Ukrainy won’t affect plans to build the South Stream gas pipeline to Europe, bypassing the neighboring country.

On the social front Moscow saw a traditional May Day gathering by the Communist Party, Russia's second biggest -- as well as a rare, officially-sanctioned opposition demonstration.

Russian women's gymnastics team has won gold in the team competition of the European Gymnastics Championships this year.

The bombing in the Russian North Caucasus republic of Kabardino-Balkaria on May Day has claimed one life while the number of injured has been reported at 30.

Russian President Dmitry Medvedev has signed a law ratifying an agreement that extends Russia's lease on naval bases in Ukraine for 25 years after the previous lease agreement's expiration date in 2017.

According to the Russian Interior Ministry a $9 billion money-laundering operation partly run by several Russian bank employees has been broken up by police.

US/CANADA

US Defense Secretary Robert M. Gates has opened an inquiry into whether a top Defense Department official violated Pentagon rules by setting up a network of private contractors to gather intelligence in Pakistan and Afghanistan.

President Barack Obama said last week that there "may not be an appetite" in Congress to deal with immigration immediately after going through a tough legislative year. Meanwhile Former Alaska GOP Gov. Sarah Palin has criticized Obama’s reservations regarding a new Arizona immigration law perpetuating racial tensions.

US Secretary of State Hillary Rodham Clinton has said that any attempt by Iranian President Mahmoud Ahmadinejad to undermine what the U.S. sees as the central purpose of next month's nuclear conference at the United Nations will meet with failure. Meanwhile the Obama administration has warned Iran and Syria that America's commitment to Israel's security is unshakable and that they should understand the consequences of threats to the Jewish state. In a speech, Secretary of State Hillary Clinton said that Syrian transfers of increasingly sophisticated weaponry including rockets to militants in southern Lebanon and Gaza could spark new conflict in the Middle East.

A recent Harris-Decima survey for the Canadian Press has put the Conservatives at 29 % popular support -- down three points from earlier this month -- while the Liberals were at 27 %, down two points. The New Democrats were up three points at 20%.

Meanwhile the Canadian speaker of the House of Commons, charged with settling a power struggle between opposition legislators and the Conservative government, has given both sides two weeks to sort out their differences.

LATIN AMERICA

In a recent scandal a complaint has been made by ex Argentinean Ambassador to Venezuela Eduardo Sadous, who stated that during his tenure as ambassador a number of Argentine businessmen told him that they were asked to pay bribes to do business with Caracas, under former President Néstor Kirchner (2003-2007).

A World Court's ruling on April 20 faulted Uruguay for failing to consult with Argentina before building a eucalyptus pulp mill with Finnish help, but rejected Buenos Aires' demand for relocating the plant away from the river on the Uruguay-Argentina border. However, protesting pickets blockading a bridge that links the countries refused to accept a summary end to their cause and are carrying on with their protests.

Meanwhile Dozens of Argentine anarchists attacked Greece's embassy with sticks, Molotov cocktails and paint bombs to demand the freedom of an imprisoned activist. The anarchists were answering calls on the Internet for demonstrations against Greek embassies worldwide ahead of last week’s appellate court hearing in the case of Yiannis Dimitrakis, an anarchist convicted of participating in a bank robbery in Athens.

Indigenous activists threatened a clash with Brazil's government last week as they dispatched boats carrying 150 men to occupy the planned site of a controversial hydro-electric dam in the Amazon, after environmentalists, indigenous groups and local residents lost a protracted court battle to halt the bidding process for the giant Belo Monte dam, projected to be the world's third-largest. Meanwhile Brazilian President Luiz Inacio Lula da Silva has thrown his weight behind the controversial project deeming it a necessity for the nations Energy needs.

The Brazilian President Lula da Silva is scheduled to visit Iran this month (May 2010) during the course of which he hopes to encourage an agreement on the nuclear dispute between Teheran and the international community.

At the environmental front Environment ministers of the BASIC bloc -- Brazil, South Africa, India and China -- have voiced the need for a legally binding global agreement to limit climate change by 2011, noting that the world could not wait indefinitely for the US to finalize its legislation on the issue.

Meanwhile heads of state and government, of Brazil and 14 Caribbean countries signed the Brasilia Declaration last week at the end of the first Brazil-CARICOM Summit, expressing their mutual desire for further integration and cooperation.

Also Venezuelan President Hugo Chávez arrived in Brazil for a new quarterly meeting with his Brazilian counterpart Lula da Silva.

Last week, amid a growing sex abuse scandal the church in Chile formally apologized to abuse victims, saying nothing could justify it.

Visiting Chilean Foreign Minister in Japan has said that his quake-hit nation intends to make technological exchange with Japan a high priority and establish an effective early quake warning system.

The Canadian government has warned its citizens against traveling to Mexico, especially to Ciudad Juarez where three people linked to the U.S. consulate were killed over the weekend. Meanwhile gunmen armed with high-caliber weapons ambushed the top security official in Mexican President Felipe Calderon's home state last week, wounding her and killing at least four other people.

According to the Mexican government, a strict new anti-immigration law enacted by the US state of Arizona is 'an obstacle to the solution of common problems' in North America. In reciprocation Mexico's Foreign Ministry issued a travel alert for Arizona after the law was signed, warning that its passage shows "an adverse political atmosphere for migrant communities and for all Mexican visitors."

Colombia's President Alvaro Uribe rejected last week the installation of a bust of Manuel Marulanda, the late founder of the Revolutionary Armed Forces of Colombia (FARC), in a Venezuelan border town and asked people "to defeat terrorists wherever they are."

Meanwhile Venezuela’s Chavez dismissed a retired general's warnings about a growing Cuban presence in Venezuela's military, accusing the officer of helping opponents portray his government a pawn of Fidel Castro.

Venezuela's energy minister said last week that the government of plans to pay off a $20 billion loan from China with daily shipments of 100,000 barrels of oil over a 10-year period. Also Brazil’s Lula has commented that the upcoming purchase of oil from Venezuela will balance the trade between the two countries.

Meanwhile the interior minister has said that Venezuelan authorities raided eight drug laboratories near the Colombian border this past week, seizing 4.5 tons of cocaine in one of the largest hauls in recent times.

President Chavez said last week that he wants to repair strained relations with Colombia, saying he hopes a breakthrough is possible regardless of which candidate wins the neighboring nation's presidential ballot next month. However in a contradictory statement he warned of worse ties, and even possible military hostilities, if Bogota’s ex-defense chief Juan Manuel Santos wins the presidency. Meanwhile President Alvaro Uribe accused his Venezuelan counterpart, Hugo Chavez, of meddling in Colombia's presidential election campaign by trying to influence the outcome of the vote.

Minister of State for the Red Crescent Affairs Bashar al-Sha'ar conveyed a verbal message from President Bashar al-Assad last week for President Chavez seeking to enhance Syrian-Venezuelan relations in all fields.

Chavez last week termed the US report regarding Iranian Special Forces having an increasing presence in the country as “absolutely false”. He warned that the USA could be looking for an excuse to attack Venezuela.

Russian Ambassador to Venezuela Vladimir Zaemsky has denied claims that both countries signed an agreement under which Caracas would purchase weapons from Moscow, as reported following Prime Minister Vladimir Putin's visit to Venezuela.

Chavez threatened to nationalize gold mining concessions, adding them to the oil, utility and metal assets he’s taken control of in the country. The president said on state television last week that the government may end the grants because of “capitalist mafias” comprising national and multinational companies that destroy the environment and exploit workers.

Meanwhile Chavez, who already writes a weekly newspaper column, created a radio program and speaks for as many as seven hours every Sunday, has now added a Twitter Inc. account to his media arsenal. Chavez, who has been in power since 1998, said last week that he did not know when he would hand power, adding that no successor was in sight for now.

AUSTRALASIA

Last week Australia shelved plans for a carbon trading scheme to cut greenhouse gas emissions until at least 2013, blaming the slow pace of global action and an obstructive opposition for the delay. §

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Business and Politics in the Muslim World (BPM)refers to the project entitled, "Globalized Business and Politics: A View from the Muslim World.' The blog development project has been undertaken and jointly developed by the Gilani Research Foundation and BPM as a free resource and social discussion tool.
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