Zone 3- Euro-Americas Summary Week # 130

Week # 130 – Dated 25^th- 30^th July, 2010

WESTERN EUROPE

EU

The EU will be making lives tougher for Iran as the bloc rolled out stricter sanctions on Tehran’s oil industry. Russia’s reaction to the sanctions was not welcoming, arguing that such sanctions could further irritate Iran from negotiation. Meanwhile, India hopes to cement its ties with the EU through the Indo-EU FTA, a trade pact at it completion stage.

Owing to recent financial trauma, Eurozone is yet to confidently regain its stamina as unemployment and inflation remain in the zone.

Ethnic Roma are widely discriminated across Europe and recent expulsion order by the French president to get Roma out of France was highly criticized by Human Right groups. The unanswered question is where does the acceptance of this group lie, they are neither treated well at home nor in diaspora.

Political Issues

Immaturity, lack of political insightfulness, straight talker and a different prime minister having the will to act independent from external influence are all features attached to UK Prime Minister David Cameron, whose recent statements raised political and diplomatic eyebrows from U.S, Israel, and Pakistan, but remarked pleasantly to Turkey. It is highly imperative to understand and continuously watch if such independent assertion is a possibility for shift in British foreign policy.

Giving the political tension in Prime Minister Silvio Berlusconi’s coalition government, ranging from infighting and resignation of top officials, the prospect of an early election will not be implausible. The socialist opposition party is closely watching the problems in the centre-right party and could be advantageous for the opposition in case of an early election.

In the Netherlands, VVD- Pro-Free market party, CDA-the right-leaning Christian Democrats and anti-Islam Geert Wilders' Freedom Party-PVV, are yet to agree on a minority coalition government, a situation attached to policy disagreement.

Economic Issues

EADS NV, Paris-based European Aeronautic Defence & Space Co that produces Airbus is geared at increasing it production with the aim of accruing more profits.

Celebrating an un-forecasted profit behooves Total SA, the French oil company The company records euro3.1 billion as compared to previous euro2.17 billion, the profit delineates that Total has recovered from global recession and untouched by the fallout of oil spill at the Gulf of Mexico.

If Total celebrates profits, British Airways would have no cause doing same as the company has been severely hit by industrial strikes and ash cloud that hampered aviation across Europe. BA is expected to merge with Spain's Iberia following financial problems.

It will be a business success if ownership of the French electricity giant EDF, the largest electricity supplier in Britain falls into the hand of a Hong Kong consortium. British energy firm and Canadian-Australian-Abu Dhabi consortium all tails behind the Hong Kong consortium in securing the ownership EDF, that is on sale due to debt.

German inflation rose to 1.1 % this month, higher than the June figure of 0.9 % but slightly below analyst forecasts. The expected forecast had been expected at 1.2 %.

Greek economy remains under the watchful eye of the EU and IMF, both monitors how Athens is progressing with bailout package and its anti-crisis measures. Good performance will definitely aid Athens to receiving more funds for its wounded economy. Meanwhile, the Greek government is decided to close down many of its consulates abroad in bid to cut cost, an indication that the economy is still wanting.

Social/Humanitarian Issue

The coalition British government recently announced freeing public sector from tight government grip, a measure tailored at cutting spending. The government has added decentralization to its policies in the pipeline. Decentralization is aimed at reducing the huge bureaucracy of NHS, granting local health practitioner autonomy and expediting medical service.

Internet giant, Google has been under investigation for violation of privacy law during its Street View data collection but the new British Information Commissioner's Office’s report says Google has not captured "significant" private details, hence that could evade Google from facing further litigation.

Correcting human right violation both at home and aboard has been one serious concern of the British government in recent times. Despite the support by Human Right groups, there is yet a complain that the head of an inquiry into allegations the U.K. colluded in the torture of terrorism suspects overseas will be partial because of his association with the British Intelligence Services.

British Court of Appeal has also ordered the government to compensate all those put under house arrest without trial as no evidence stands against them and their detention violate European human rights laws.

Hans Blix, former chief U.N. weapons inspector reiterates and shares the view held of Eliza Manningham-Buller, ex-director of Britain's domestic spy agency MI5, that the British and American government under Blair and Bush were simply bent at going to war and unseating Saddam without concrete proof. Hans holds that UK and US simply clinched to flawed intelligence and showed dubious judgment in the buildup to war.

The Eurostat statistics reports that European Union's population has crossed the half-billion mark and the growth has come mostly from immigration. The report is a clear indication of the socio-economic implications of immigration on continental Europe.

The US will not be alone grappling with issue of immigration; French President Nicolas Sarkozy has ordered the expulsion of Roma Gypsy believed to be illegal immigrants for their contribution to proscribed public behaviors. Similarly, President Sarkozy said France could soon have a law to renounce the citizenship of immigrants involving in delinquency, following a brawl between French police and residents of a French neighborhood,

Food, Environment and Energy Issue

Despite the tougher sanctions EU has initiated against Iran’s economy, European Union foreign policy chief Catherine Ashton still believes talks with Tehran is important at the earliest. Could winning the heart of Iran come through carrot and strike, will be a question the EU has to answer.

Geo-strategic Issues

Is Afghan war winnable, are things going the right direction and should British troops still remain in the war torn country are questions the new British government hopes to find answers to as it opens an inquiry into the Afghan war. Public opinion has not been well with the war indicating why the British government is tailing a new foreign policy.

In a bid to create the way for a Palestinian state, France is setting the pace in Europe to upgrading the status of Palestinian diplomatic presence in Europe from delegation to mission headed, by an ambassador. The move is welcomed by the Palestinian authority and could have neighborhood effect among EU members.

The French government said a war on al-Qaeda has started but fighting such war in far away Africa could only be feasible if Paris allied with her former colonies, wherein al-Qaeda is believed to be networking. The declaration of war follows the killing of an abducted old humanitarian French worker in Africa.

Fighting terrorism, maritime piracy and the Afghanistan crisis are common ground upon which NATO and Russia military are co-operating and relations is expected to further deepens.

CENTRAL & EASTERN EUROPE

Political Issues

If the proposal by the Albanian government to introduce electronic voting system in local election works out that could eventually ease the tension between the ruling and opposition party over election irregularities.

The rejection by a British court to extradite former Bosnian Vice President Ejup Ganic to Serbia for prosecution over war crime could be another political and diplomatic setback for Belgrade after losing a fight on the legality of Kosovo at the ICJ last week.

Meanwhile, Serbian parliament passed a resolution that rejects the sovereignty of Kosovo and further seeking UN support for renew talks with Kosovo.

EU though reiterates that Serbia’s road to EU lies in the bloc's fundamental principles of good neighborly relations, regional co-operation and dialogue. Serbia hopes to stop countries that have not recognized Kosovo from doing so, a task that is more likely uneasy.

Croatia continues to make headway towards completing its EU required chapters. 22 out of 33 chapters are completed, signaling the progress of Croatia-EU accession.

EU hopes to facilitate talks between Serbia and Kosovo following the ICJ ruling that exonerated Kosovo from violation of international law. Hence, Kosovo is urging the five EU member states yet to recognize Pristina to join the 69 countries that have recognized its sovereignty. With the ICJ’s ruling, Prime Minister Hashim Thaci holds that Kosovo's supervised independence is about to end and urged the international community to now shift from move supervising to supporting his country.

Reform process in Macedonia has been lauded by the EU, but the bloc urges the country to address some shortcomings in order to accelerate the integration process. Macedonia like others in the neighborhood faces political crisis polarizing the country.

Social/Humanitarian Issue

Serbia Constitutional court has smacked down the parliamentary laws that violated freedom of speech and media freedom, that could be good news for media practitioners but the fear remains as general environment for media is not expected to turn good. Similarly, OSCE’s report of the region (Balkan) shows that media is under the siege of government, upon which media freedom gets hindered.

Bosnian authorities are worried over the increasing strength of radical Muslim group in the country. The worry is attached to the country’s EU integration, meanwhile economic problems, ethno-religious division in the country is believed to be aiding radicalization of the Bosniak youth.

Belgium is expected to extradite Albanian prisoners to Albania as part of the agreement reached between the two countries. Accepting the prisoners will further enhance Albania’s visa liberalization prospect.

It was another sad story for Roma as Roma living in France were expelled by President Sarkozy on the ground that they are part of anti-social behaviors. Bulgarian and Romanian governments are geared at resettling them respectively.

As part of the process of cleansing Kosovo from ill-administration and creating viable institutions for the new country, EULEX has been investigating organized crimes and other related issues involving top Kosovo officials.

Accusation of mass grave was debunked by the Montenegrin government following a no evidence report by forensic experts at the identified sites.

A 23-year old Slovenian known by his hacker handle Iserdo was reported apprehended by the police, Iserdo is suspected of creating a virus that has infected more than 12 million computers around the world.

Food, Environment and Energy Issue

As energy concern heightens among countries, Bulgaria and Greece are on the verge of reaching agreement over Burgas-Alexandroupolis gas pipeline project, which will connect the Black Sea with the Aegean, avoiding expensive transit fees through the Bosporus.

Geo-strategic Issues

Albania has sent 44 troops to Kabul, its first fighting mission in Afghanistan. Albanian commandos will be deployed alongside US and British troops

RUSSIA & ITS NEIGHBORS

Economic Issues

Facing the wrath of drought and heat, Russian farmers are daunted by low productivity especially in grains production. An economic emergency is declared by the Russian government to address the weather and food problem.

The influence of globalization has not exempted Russia, and the move by Moscow to open its ambitious privatization programme since the 1990s to foreign investors is not only an indication for economic growth but also to further push Russia closer to the global business.

The Russian Gold Producers Union recorded a decline in gold output including by-product. The fall was 3.5 % to 74.66 metric tons. Meanwhile, Severstal, Russia’s largest steelmaker recorded a rise in output by 11%.

According to the Hungarian Prime Minister Viktor Orban, the new bank tax approved by the parliament is fair and necessary as it will exhibit the contribution of banks in overcoming the nation’s economic crisis. The new banks tax is however not getting the approval of International Monetary Fund (IMF) and the European Union (EU), the law is seen as a breach of agreement and thus they will not be releasing part of an emergency finance package totaling €20 billion agreed two years ago. This means that Hungary is deprived access to approximately €5.5 billion.

Like every other government, the Polish government unveiled the plans to raise the value-added tax by one %age point to 23 % as part of efforts to tackle the country's budget deficit. Meanwhile, it is also expected to be part of Eurozone by 2015 upon satisfying Maastricht Criteria.

Setting a target for Eurozone membership will not be true for the Czech prime minister, whose government is also embarked on cutting budget deficit to 5.3 % of gross domestic product in 2010

Ukraine’s credit ratings were raised by Standard & Poor’s after International Monetary Fund approved a new $15.2 billion loan programme for Kiev.

Ukraine's trade unions have warned that an abrupt price hike for natural gas will stoke social unrest and uncontrolled inflation. Increasing gas prices was a key demand of the International Monetary Fund in exchange for this week's approval of a US$15 billion loan over 2 1/2 years to help Ukraine with economic reforms.

Similarly, Slovakia’s government has opened the way for the European safety net for governments that end up trapped by debt. It was a tough decision that came after pressure from European partners to put aside its opposition to the plan.

In Belarus, the finance ministry is proposing profit tax, value-added tax (VAT) and social security charges should be reduced in stages up to 2015.

Estonian economy was upgraded last week by the international ratings agency. Fitch raised the Estonia's long-term currency rating to A from the previous BBB+, on the backdrop of European Union's green light for the Baltic state to adopt the Euro in 2011

Both the EU and IMF are geared at enhancing Latvian economy with loan worth of billion of dollars as measure for economic recovery after its worst recession.

Social/Humanitarian Issue

Russian government is promising swapped agents good lives in Russia, an indication that Russia is not ready to pretend over their identity or forsake them. Meanwhile, Russia could found itself in another spy soup, as issue of Russian spy resonates in Czech Republic.

Russian President Dmitry Medvedev might be positioning himself as reformer but such progressive direction is not welcomed by all and not measured enough by few. Ella Pamfilova, Medvedev’s chief human rights advisor has resigned claiming Russia is not changing from its undemocratic direction and lacking engagement with civil society.

Polish government plans to begin a tradition by placing the picture of President Bronislaw Komorowski in all Polish embassies abroad.

Food, Environment and Energy Issue

Accessibility to cheap, environmental friendly energy is making debate in Poland, where the powerful coal industry will be facing a competition from nuclear energy advocates. Nuclear energy has been a forgotten project, but the new Polish leadership, the public and support of the United States is reshaping the demand for a nuclear Poland.

As Ukraine-Russia relations get tight, Kiev aims to raise more than $6 billion to help modernize a Soviet-era natural gas pipeline for Europe, aimed at facilitating its status as energy transit route to Europe.

Geo-strategic Issues

Despite Russia’s objection of recent EU’s sanctions on Iran, relation between the two friends is not as smooth as expected. Iranian president accuses Russia of dancing to western tune against Tehran, a statement rejected by Moscow as loudmouthed. The open question is whether both countries could risk maintaining a strained relation. In the same way, cordial relation between Russia and Europe is undoubtedly imperative owing to the need for Russia’s further modernization, which on it own cannot be achieved.

Giving the new diplomatic clout Russia wants to maintain in its neighborhood, it is yet unknown how well Russia would be able to stomach the joint animosity of Georgia and Belarus. Both countries have repeatedly urge Moscow to desist from hegemonic muscle flexing in the region and particularly in their domestic affairs. Russia and Belarus are part of same Custom Union, but media tension between the two countries is turning hyper.

The Russian government has approved a 65 % increase in the country's defence budget over the next three years as it rushes to upgrade its ageing Soviet-era military machine.

Having a missile defense system in Czech is an unclosed discussion. Czech Prime Minister Petr Necas restates that he is ready to accept a joint missile defense centre on Czech soil next year.

Despite the new decree that drops Ukraine’s bid for NATO, NATO Secretary General Anders Fogh Rasmussen nonetheless has accepted the invitation to pay an official visit to Ukraine in the near future.

US/CANADA

Political Issues

The U.S midterm election is around the corner and parties are politicizing issues as much as they could as tool to woo voters during the election. Recent stake for the democrat party evolves around several ethics charges against democrat House members, which according to President Obama is troubling.

Economic Issues

The U.S economic landscape is punctuated by many issues and tax cut takes hold as one of the issues that will be placed before electorates in the midterm elections. The tussle between the republicans and democrats is whether to discontinue with the tax cuts for the wealthy and continue with the low incomer, tagged by the democrats as middle class. Meanwhile Obama administration is counting on the recovery of the automobile industry projecting the success of his bailout to the industry.

Growth in Canada's economy edged up in May after stalling unexpectedly in April, helped by strength in the goods-producing sectors led by oil and gas extraction, while the service sector faltered for a second straight month.

Social/Humanitarian Issue

It is true that many Americans will not condone the violation of their privacy whatever the security law attached to it. American intelligence agency (FBI) is accused of accessing Internet and phone data of American discriminatorily, causing offence to the public.

The battle is definitely not over even as Judge Susan Bolton of Federal District Court ruled against Arizona police officers to harass immigrants with the suspicion of being illegal. Although the court demands of state to cooperate with federal immigration agents, Arizona government is bent at appealing the ruling as debate rises over the issue of immigration across the country.

The debate over the construction of a mosque new Ground Zero, New York took a new dimension as the Anti-Defamation League rejected the plan. Opinion polls show the dissatisfaction of Americans for the mosques construction, even though New York officials have consented to the edifice. The point is that people are saying built the mosque a distance away from Ground Zero, doing that will be respecting the emotions of relatives of victims.

Food, Environment and Energy Issue

The leak at the Gulf of Mexico is reported to have been stopped but the environmental hazard the leak has caused the gulf and eco-system remains a troubling issue, which BP would have to solve in order to regain the confidence of the people.

Geo-strategic Issues

Finding possible ways of solving and shouldering the burden of the war on the Afghan government has been the preoccupation of the Obama administration but the new intelligence and war leak by Wikileaks is more likely to cause havoc than “harm minimization” process the leak is expected to achieve. US strategy and partnership with Pakistan and Afghan informants comes under jeopardy. The case for the nine year wars became tenser as U.S House got divided on revamp the war fund or address the weak economy at home. The host of Wikileaks is bent at publishing more documents regardless of the havoc it will cause.

LATIN AMERICA

Political Issues

In an election run-up, Brazil’s political landscape remains heated with debate on how best to govern the country in post-Lula. Social welfare, tax, environment and foreign relations are top issues of debate.

Economic Issues

Brazil’s economic viability is one among other reasons why nations are affectionate with it. It has been drawing countries, upon which MoU and trade partnership were signed. Brazil in recent times is signing agreements with Middle East countries of which Syria and Kuwait are the latest.

In the same way, Argentina intends to strengthen ties with Kuwait and Pakistan in areas of interest. This will also be true for Chile-Kuwait relation.

The level of Brazil-China trade relations turns China into Brazil’s number one business partner as investment between them has cross into $20 billion in 2010. While for Mexico, China is a big trade partner and the second exporter of goods to Mexico

Looking at the trade imbalance between Mercosur and Central American Integration System (SICA), President Lula urges his Nicaragua counterpart to increase trade as measure to stabilize the Central American economy.

Political stability is said to be instrumental for economic stability, as Mexico faces political problems, hence the accuracy of 4% economic growth announced by the Mexico’s economy minister needed to be watched.

Social/Humanitarian Issue

The increasingly globalization of the world necessitate the imperative that people of the world needed awareness of other’s culture. November will be the month of Chinese culture in Brazil as both countries hope to foster better understand of cultures.

The plea of the Chilean Roman Catholic Church to pardon military officers during the country’s dictatorial rule was rejected by the victims’ families. Although Chileans are predominantly Catholic, the case shows the extent church can spur feelings.

Battle between Mexican government and drug lord remains unabated as killing continues across the country. Random killing has undoubtedly threatened existence of many Mexicans.

Food, Environment and Energy Issue

As Colombia and Venezuela severe diplomatic ties, Venezuela continues to drag Washington into the conflict accusing it of supporting Colombia and using it for proxy war against Venezuela. President Chavez has threatened to cut oil if its Colombia attacks Venezuela.

Geo-strategic Issues

Argentine, Brazil and Peru Presidents are hopeful and ready to mediate over the differences between Colombia and Venezuela during the next Unasur meeting in Buenos Aires. Diplomatic relation between Bogotá and Caracas is tensed; the latter is accused of offering sanctuary to FARC rebel. Meanwhile, Lula of Brazil sent a strong signal to the U.S not to unnecessary meddles in the affairs of the two bordering states.

Latin America would no more condone military coup, hence for Honduras to regain its OAS’s membership, the June 28^th military coup must be condemned and ex-President president Manuel Zelaya favored in the country.

Mexico’s former president Vicente Fox has joined the band of those labeling the Arizona’s immigration law as illegal. Ejecting immigrants or Mexicans from the U.S according to Fox will be detrimental to the U.S economy.

Venezuelan and Ugandan governments executed two cooperation agreements during the 15th Summit of the African Union held in Kampala. Venezuela also hosted leaders of Abkhazia and South Ossetia, during the visit Venezuela reiterates its recognition of the two separatist republics of Georgia.

AUSTRALASIA

Political Issues

Should opinion polls be relied upon then the fate of Australian labour party under its new female prime minister in forthcoming general election is on the hang, and could once again pave way for another conservative government. Prime Minister Julia Gillard is losing her political honeymoon days after ousting ex-PM Kevin Rudd. Gillard policies are said to be responsible for the setback in opinion poll though she appears to be a fighter. §

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Zone 3- Euro-Americas Summary Week # 129

Week # 129 – Dated 17^th- 24^th July, 2010

WESTERN EUROPE

Iceland is set to start accession negotiations with the European Union.

UNSC members along with other UNGA members are geared at working out a global “norms of accepted behavior in cyberspace, under the auspices of the United Nations.

At the financial front The British Prime Minister David Cameron’s policy has shown that despite being a Euro-skeptic, British attitude to financial management will not be different from the trend across Europe. Cameron is geared at cutting deficit and reducing the hand of government in the overall running of things, a stark differential position from Obama’s big government policy.

Lord Eliza Manningham-Buller, former director of the MI5 agency between 2002 and 2007 revealed to the Iraq Inquiry team that Saddam Hussein had no connection with 9/11 and all intelligence shows Iraq was neither a medium or short term threat, instead implicitly she argues American leadership should be blamed for the havoc in Iraq and how Iraq war diverted attention away from fighting terrorism. Her view tallies with scholarly view that Iraq war boosted terrorism and anti-western sentiments across Europe.

British Justice Secretary Kenneth Clarke said the ministry of justice is prepared to tighten up the universal jurisdiction rules acknowledged by Britain, but foreigner will ceased to be prosecuted under the rule saved with substantive evidence, so as not to jeopardize Britain’s image.

The Spanish parliament rejected a ban on the burqa or niqab in the public sphere though prefer not to be worn in government building. Spanish Muslim organization believes the veil issue in Spain has no ground but only for political goal scoring.

IMF’s recent assessment report shows considerable progress in Greece’s public finances although clear risks are still visible in the healthcare and social security system.

Substantive global representation and greater role in world system can make Africa lead global recovery. This was the position aired by the former British Prime Minister Gordon Brown for African leaders’ summit in Kampala, Brown’s submission centers around the more untapped potential and unrealized talents in Africa.

Israel has investigated the Gaza flotilla crisis but the result believe to lack transparency. An independent inquiry is set to begin under the U.N. Human Rights Council for the same purpose.

Criticism of BP is yet to be over even after the block of the spill at the Gulf of Mexico. The oil company is being accused of attempting to hide information from the public and trying to safe its face from further public outcry, therefore asking scientist not to disclose their research until the government gives final approval for the company's restoration plan for the whole of the Gulf.

Ivorians would definitely laud the ruling of an Amsterdam district court that fined Trafigura a Swiss-based company one million euros for dumping health hazard substance on Abidjan city. The ruling also received praises from the Greens but Trafigura sees it unworthy and plans to appeal.

CENTRAL AND EASTERN EUROPE

Report has it that Albanian ruling Democratic Party (DP) is ready to compromise with Socialist Party's (SP) on certain issues and only if the latter will not boycott the parliament. Hence possibility of having a joint committee to investigate the June 2009 general elections which is the main cause of the political stalemate will be possible.

Meanwhile, members of Albanian parliament approved of budget change hoping to spur development but rejected by the opposition as reform that will deepen, rather than end the economic crisis.

On July 22, 2010, the International Court of Justice (ICJ), the principal judicial organ of the United Nations seated in The Hague (The Netherlands), ruled that Kosovo's 2008 declaration of independence and secession from the Republic of Serbia over the latter's objection did not violate international law. The ICJ ruling, adopted by 10 votes to four, was issued in the form of a non-binding Advisory Opinion following a request from the UN General Assembly initiated by Serbia in late 2008. Upon the ICJ’s declaration that Kosovo’s independence does not violate international law, the streets of Kosovo became replete with celebrations and hope of strong statehood hangs in the air. Meanwhile, the ruling is expected to pave way for more recognition of Kosovo even though Serbia and Russia retain their non-recognition stances. Oppositions in Serbia have asked the prime minister to resign due to the ICJ ruling. Meanwhile, both EU and the UN have agreed to co-ordinate future talks between Kosovo and Serbia,

Albanian judiciary system is tagged by European Commission (EC) expert as one-sided, concerned about lower level corruption while higher up corruption gets little or no attention. Albanian authorities welcomed the ICJ rulings on the legitimacy of Kosovo’s independence.

After months of heated debate, the Federation of Bosnia and Herzegovina (FBiH) parliament has approved a law on determining the salaries of public servants and a law on the salaries of police officers. The law is expected to expedite new IMF loan for the country.

Elections in Kosovo newly created Serb-dominated municipality of Partesh/Partes was a success as political power gets down on Serbs in the region to govern themselves.

Political misunderstanding between ruling and opposition is prevalent across the region and Macedonia is no exemption where there is political tension. Macedonian opposition accuses that on behest of the ruling party; police spied and tried to record their conversation with a group of disgruntled workers. Representatives of both parties however have agreed to set an inquiry into the matter.

Opposition and public in Serbia are irked by the new telecommunications law which requires telephone and internet operators to monitor communications and maintain records, which can be accessed at any time by police and security services, without a court order. Many sees it as unconstitutional, though opposition wants police to request court permission before such law could be used.

At the Economic front EU economic and finance ministers approved a proposal by the European Commission (EC) to launch an excessive deficit procedure for Bulgaria. The country must bring its deficit to below the bloc's 3% of GDP limit by 2011.

Report from Croatia will be instrumental to clarify and ascertain former Bosnian Serb leader Radovan Karadzic’s view that in addition to humanitarian aid, Islamic countries provided Bosnia and Herzegovina with weapons, some of which were smuggled via Croatia.

Despite the favorable ICJ’s ruling for Kosovo, the court nevertheless instructed a re-arrest of former Kosovo Prime Minister Ramush Haradinaj, as his 2008 release was unworthy after further investigation shows intimidation of witness.

EULEX’s corruption investigation in Kosovo is unabated as organized criminals are thrown into the judiciary net. Kosovo Central Bank Governor Hashim Rexhepi was also arrested as part of a corruption investigation.

According Reporters without Borders (RWB) Kosovo journalists are a target of threats from nationalist militants and extremists of all kinds if they try working more professionally.

The European Commission (EC) believes Montenegrin’ strategy to fight corruption and organized crime is weak because it lacks main goals, deadlines and monitoring mechanisms.

The Bulgarian government has finally approved an agreement in support of the Nabucco gas pipeline, an EU-backed project aims to transport up to 31 billion cubic metres of natural gas from the Caspian region to Europe.

Bulgaria and Italy becomes the 3^rd and 4^th EU members after Spain and Malta to ratify the Stabilization and Association Agreement (SAA) with Serbia. Other EU countries are expected to ratify the agreement that will move Serbia closer to the EU.

As Croatia makes rapid inroad on its EU membership, Zagreb is expected to complete a total of 21 conditions in the judiciary chapter of its accession talks with the EU. News has been in the air that Croatia-EU membership could be realized by 2011.

The European Commission (EC) published progress reports on Bulgaria and Romania, praises Bulgaria but criticizes Romania for not curbing the powers of its anti-corruption body. The report was not receptive to the Romanian Constitutional Court that holds the report falls short of the ground reality.

The visit of Croatian President Ivo Josipovic to Belgrade was to boost bilateral co-operation and resolve pending issues, such as the return of refugees in Croatia, the border issue, missing persons, and minority rights.

He lost the last general election and became the head of opposition. Jaroslaw Kaczynski, brother of the former Polish prime minister believes the Polish government is not handling well the inquiry into the death of his brother. Jaroslaw Kaczynski‘s criticism of the government is also criticized as ploy ahead of 2011 parliamentary elections.

The wind was finally cleared as soon as Slovak new Prime Minister Iveta Radičová, agreed to accept the European safety net for indebted economy. Slovakia before then was hesitant joining the 750-billion euro European Financial Stability Facility (EFSF) an issue that became a campaign issue in last Slovakia's June election.

There is a growing change in female electoral participation in east and central Europe particularly in Czech Republic. According to reports female politicians are drawing support and are becoming noticeable like their western counterparts.

At the economic front IMF was instrumental in bailing Hungary out of its financial recession, but Hungarian Prime Minister Viktor Orban is affirmative to discussing his country budget with EU while IMF gets sidelined. Orban rejects austerity measures in favour of a pro-growth policy to woo voters. Separately, Hungarian Parliament passed a controversial tax on banks defying warnings from the country’s international creditors that the levy would hamper growth.

Polish economy continues to show a growing strength as retail sale rose than expected. Meanwhile, the Polish government does not intend to trim spending and the Central bank hopes to increase rate as balancing force for the growing economy.

The new Czech government is championing a tough budget deficit cut, raising credit rating and to implement the severest austerity package in the history of the republic. The measure will not be new but an integral element of austerity measures unfolding across Europe after the Greek financial crisis.

Ukraine’s economy is expected to experience substantive growth as its trade transaction with Russia reaches 50 billion U.S. dollars and an increased export, although Moody's forecast does not expect Ukraine to escape budget deficit likely to stand at 6 percent of GDP in 2010.

Latvian government was gladdened by the recent IMF’s resolve to commence 7.5-billion-euro (9.5-billion-dollar) international loan installment to Latvia. The latter smile was broadened by EU decision to open the door for Latvia to receive a 200-million-euro (260 million dollars) aid.

Although a strongly Catholic country, in Poland gambling is rampant; and gays, lesbians, bisexuals are demanding equal right for sexual minority. The European Commission is concerned about Poland’s gambling law and sexual minorities are doubtful if they can get equal right.

All former communist countries have always tried to end their communist-Russia history by either putting out of sight communist legacy or rejecting certain communist history of their country. Lithuania like other Baltic states is being urged by Russia to discontinue with falsification policy geared at deleting certain aspects of historical events of the 20th century.

Moldova will be receiving humanitarian help in form of technical aid and two crisis experts from Estonia. The aid follows the flood that recently hit Moldova.

Lithuania's government has approved the construction of a floating liquefied natural gas plant in the Baltic Sea, an effort to decrease its dependence on Russian energy supplies. Lithuania gets all its natural gas from Russia and has faced the unexpectedly supply cut during the last few months due to rows between Russia and Belarus.

RUSSIA

The good performance of the Russian economy is eye catching but nonetheless, IMF Board of Governors has offered a note of caution to Moscow to cut its budget deficit.

Investors are urged not to be dissuaded by negative media portrayal of Russia but should rather fathom that since 2000 and the end of 2009, Russia’s stock market and economy comparatively has been doing well than western market. This will be true for the new level of relation between Germany and Russia, as companies from the former are set to contribute to Russia development in non-strategic sectors.

Although they have formally signed a Custom Union, but that has not erase the price tussle between Belarus and Russia. The former has no readiness to accept Russia gas rate beyond $150 1,000 cubic meters. Meanwhile, Russian Finance Ministry has hinted tax hike on gas with the aim of bringing in an extra 180 billion rubles over three years.

The recent bombing of the Baksan Hydropower Plant in Kabardino-Balkaria will make Russian law enforcement agencies take serious measures on security at strategic sites, including hydropower plants and other power facilities.

Belarus and Russia are not just members of a common Custom Union but trade partners unsettled on gas price. Tension between the countries is further ignited as media from the two countries portrays each other to be authoritarian.

Heat waves is threatens lives in Russia and not sparing agricultural production. The heat is a record high stealing almost three hundred lives and contributed to the worst drought in 130 years.

Swapped Russian spies are still under state security radar before their fate to live as ordinary citizen will be determineed.

Russian Orthodox Church is saddened by the low level of youth in church activities and their perverse social behaviors hence the church is bent on missionary effort to guarding youth towards faith.

Russian Energy Ministry plans to develop Trebs and Titov oil fields with ($2 billion) with an extraction possibility of 70 million tons of reserves.

The rising heat in Russia and its effect on agricultural production has forced the government to reverse its grains intervention strategy.

Russia is taking a bold step to cement its foreign relation particularly in the north of Europe where Russia has energy and economic interest. Meanwhile, Russia is urging foreign countries not to grant citizenship to persons having criminal record. On a different note, trouble between the US and Russia is yet over as another Russian faces trial in USA for international drug trafficking Russia accuses the USA of violating numerous international rules upon his arrest.

Russian Foreign Ministry is throwing its weight in US neighborhood urging Colombia and Venezuela to restore a dialogue based on mutual trust with an aim to maintain peace and stability in the region.

Russia’s military industry will hit export of $9 billion by end of the year. India and Venezuela are among top nations finding the Russia military market comfortable. Russian armament department will be boosted by trillion of rubles in order to complement the task of strategic nuclear forces and ground forces.

Russia is bidding for French military hardware is now a concern for NATO allies seeing it as transferring of technology to former foe.

START ratification could be delayed by republicans of US Senate on the ground that Russia has been granted too many concessions.

US/CANADA

2 1/2 million jobless Americans will soon get about $300 for being laid off and unable to find work in the aftermath of the recession. The checks became ripe after Congress approved the measure.

With calls to wind up the war the White House and the Congress might be thinking of a budget trim, a proposal unwelcoming to Pentagon bureaucracy. Meanwhile, White House is still trying to reach an understanding with Senate Republicans to approve its new arms control treaty with Russia by committing to modernizing the nuclear arsenal and making additional guarantees about missile defense.

The Arizona immigration law has caused an uproar and divided the American public. Trying to establish the legality of the law, U.S. District Judge Susan Bolton is expected to judge the legitimacy of the law, but she has raised another serious question on the porosity of U.S border, which in fact needed adequate attention.

The accusation of a white blogger in the US led to the firing of Shirley Sherrod, an African American and Georgia State Director of Rural Development for the United States Department of Agriculture. The core member of NAACP, was accused of having for racial discriminatory remarks as posted extracts of Sherrod's address at a March 2010 NAACP event. The decision to fire her was reversed when the full video revealed a different interpretation of her remarks.

British Prime Minister Cameron’s recent visit to the White House was capped by the reiteration of the special areas in US-British relation, whatever the differences both countries are still trustable allies. Relations of both countries got chilled in the wake of the BP oil spill in the Gulf of Mexico, and Americans were still troubled by the release of Abdel Basset Ali al-Megrahi, the Libyan intelligence agent who had served eight years of a life sentence for his role in the December 1988 bombing of Pan Am Flight 103 over Lockerbie, Scotland.

It remains an open question whether U.S and EU will change their policy towards Cuba, as the communist island released around 52 political prisoners. Both the US and EU have conditioned good ties with Cuba only when political and social reforms take place on the island.

LATIN AMERICA

Brazil could be influenced by neighborhood effect in the region wherein women get certain quota in politics. Brazil’s political landscape is characterized by gender imbalance and the Lula’s government now plans to change the trend by adopting quota system adopted by others in the region.

Mr. Serra, presidential candidate for the Brazilian opposition party’s (PSDB) links the ruling (PT or Workers’ Party) with the Marxist rebel group (FARC) of Colombia, however Serra notes that it does not suggest Workers’ Party is involve in human and drug trafficking. The essence of the allegation is suspicious amid an election run-up, wherein Serra hopes to defeat the Workers’ party.

For Chileans going to monitor Venezuelan elections is a political regional responsibility but Caracas sees it as meddling in domestic political affairs.

Argentina’s economy minister is very hopeful of 6 % economic growth this year. Meanwhile, Argentine president’s visit to China appears to have diffused the recent row between the two countries. The visit spurred China agreeing to extend its transportation technology to Argentina.

The Brazilian economy hangs in competing views. According to Reuter’s poll the forthcoming election would affect the economy, a view unacceptable to the government who sees Brazil’s economy growing by 7% even after the election.

IMF predicts a boosted economy for Colombia if Colombia and Venezuela could shove aside their differences, but economy minister of Colombia believes that a trade obstruction by Venezuela will make no difference because already their level of trade had plunged.

Mexican government predicts a growing economy but unforeseen by the Mexican business community, whose businesses have been hampered by the violence associated with drug cartels.

Not all Venezuelans subscribe to President Chavez’s nationalization project, for some Venezuelan economy is better on private business as it pays 70 % of country’s total tax.

Equal right law for sexual minorities was passed by Argentine Senate pushing the Catholic populated country as the first Latin America to adopt such kind of law. The approval of the law could not be obstructed by the opposition and Catholic Church.

Lula’s governmnet is committed at making the dream of hosting the 2014 FIFA world cup a reality as the government revamps the funds for the project. Brazil has been under attack of lacking the will to host the global sporting event.

Mexican drug violence remains a serious concern for both the governmnet and the public as random killings increases across the country.

Brazil will not be left out from the forthcoming energy summit in Washington, where Sao Paulo will be showcasing its energy clout and technology. Environmentalists argue against Brazil’s plan to constructing giant hydroelectric dams in the Amazon, seen as detrimental to the lives of the natives.

Brazilian oil company Petrobras will be buying 18,000 tones steel from China due to high prices in the domestic markets. The steel is to be utilized in the making of transport vessels in Brazil. Such transaction will further boost their BRIC fraternity.

President Hugo Chavez urges that social networking sites and other hi-tech products are instrumental for good governance, while he favors using these avenues to know public views of his government, technology in his view should not be seen as property of capitalism.

The direction of Brazil’s foreign policy and economy growth is commanding respect for the Latin America giant. President Lula is also lauded for his diplomatic clout hence foreign leaders are making a right choice to strengthening their relations with Sao Paulo.

Tension between Colombia and Venezuela is once again rising over the allegation that the latter is support FARC rebel group, upon which Caracas has called her ambassador from Colombia. The United States seems to be at the centre of contention; Colombia is alleged by Venezuela of dancing to the tune of Washington to wage proxy war on Venezuela. Meanwhile, Ecuador is moving towards an understanding with Colombia after the election of President Santos.

The ALBA summit reiterated is pledge to stand with Iran nuclear programme and condemns the attack on an Iranian mosque as cowardice. Meanwhile, Venezuela is planning to mend difference with the Vatican upon the criticism of Catholic Church community and Vatican on his 21^st century socialism. Netherlands and Venezuela are prepared to respect each other sovereignty after Venezuela accused the Dutch of air space violation.

AUSTRALASIA

Australia’s future lies in Asia hence to downgrade the essence of the region will be fruitless. This is the new message coming from Prime Minister Julia Gillard, who weeks back cast doubt on the feasibility of a new "Asia Pacific community" forum suggested by ex-PM Rudd. Her new view cannot be disconnected from an attempt to make the region accept her new immigration policy aims at having regional refugee centre in East Timor, a policy objected by few in the region.

Ex PM Rudd could still have more on his plate even after being ousted as prime minister. The UN is thinking of inducting him as part of a panel for development assignment, a position that necessarily will not make Rudd leave his parliamentary seat.

David Warren, an Australian scientist who invented the "black box" flight data recorder has expired. His remarkable invention has contributed hugely to flight accident investigation as whatever transpired before flight accident is known through the black box.

The new plan by Australian Prime Minister Julia Gillard to have Citizen Assembly across the country that will decide on global warming and environmental law is being criticized. Critics believe she is succumbing to the demand of the powerful mining industry in the wake of election she hopes to win. Ex-PM Rudd was ousted for policy offensive to the mining sector. §

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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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