Weekly Global Newscast | September 23 - October 1, 2018

Asia

India and Pakistan confront each other at the UN; Rhetorical Aggression Continues

Pakistani and Indian foreign ministers engaged in yet another blame game at the United Nations General Assembly (UNGA) the past week. Following the cancellation of scheduled meetings between Shah Mahmood Qureshi and Sushma Swaraj just a week prior to the UNGA session, the speeches made by both counterparts were marked by a series of allegations and accusations against each other.

Analysis

‘India’s foreign minister accused neighbouring Pakistan of harbouring terrorists in an angry speech Saturday before the U.N. General Assembly and rejected the notion that India is sabotaging peace talks with Pakistan, calling it “a complete lie.” Hours later, Pakistan shot back in its own speech, accusing India of financing terrorists and declaring that New Delhi “preferred politics over peace.”.’ Maria Sanminiatelli writes for The Washington Post.

‘Shah Mahmood Qureshi claimed Pakistan had undertaken the “largest and most effective” counterterrorism campaign in the world and praised China’s Belt and Road initiative as a means of preventing terrorism through development. Qureshi also said his country had shown a “fundamental shift in paradigm of governance” by electing Imran Khan as Prime Minister in July and are focused on pursuing a policy of “peace, partnerships and prosperity” in the region and internationality’ Reported the Tehran Times.

‘The two South Asian nations, always uneasy neighbours, face off under particularly tense conditions in that region at a “line of control” that cuts through a rugged mountain range. The announcement of the planned meeting had been considered an encouraging sign for restarting stalled talks between the nuclear-armed neighbours. New Delhi had agreed to hold the meeting in response to a letter from newly-elected Pakistan Prime Minister Imran Khan, who has written his Indian counterpart, Narendra Modi, stressing the need for positive change, a mutual desire for peace and a readiness to discuss terrorism.’ Reported The New York Times.

Trump Expresses the Intent to Hold a ‘Second’ Summit with Kim

Donald Trump following his meeting with Kim and just prior to another meeting with the South Korean leader Moon expressed his intent to organize another meeting with Kim in near future. The unexpected expression to conduct further meetings by the US president who has otherwise engaged in name-calling with his North Korean counterpart has been well-received as a ray of hope to strengthen the ties between the two countries, facilitating the course of meaningfully negotiating the nuclearization issue.

Analysis

‘Donald Trump, the US president, has praised Kim Jong-un for being “very open and terrific” and said he expects to hold a second summit with the North Korean leader “in the not too distant future.” His comments were in stark contrast to his debut address at last year’s general assembly when he threatened to “totally destroy” North Korea and denounced Kim as “rocket man.” Pyongyang responded by calling the US president “mentally deranged.”’ Nicola Smith writes for The Telegraph.

‘Talk of a second Trump-Kim summit comes only weeks after Trump nixed a planned trip to North Korea by Secretary of State Mike Pompeo and declared in a tweet “we are not making sufficient progress with respect to the denuclearization.” But skeptics have said those steps will not significantly alter North Korea’s existing nuclear capabilities. And State Department officials have acknowledged that Kim has not taken what they see as a vital first step toward denuclearization: offering a detailed list of the country’s nuclear arsenal.’  Deirdre Shesgreen and John Fritze write USA Today.

Middle East & North Africa

A Call to Kick-start the Peace Talks for Yemen at the UNGA

Martin Griffiths called for renewed peace-ensuring efforts in Yemen to prevent a potential human disaster. The fighting in Yemen has gotten worse in the past few months. The veteran surfaced the call for peace efforts stating it as the ultimate and eventual solution to subdue any humanitarian crisis.

Analysis

‘The scheme would introduce a set of confidence-building measures within a week, including reopening Sana’a airport, prisoner swaps and payment of civil service salaries. UN special envoy Martin Griffiths said: “There is a huge appetite for this. Both sides reconfirmed to me their desire to be reconvened, and they both recognise that there is no other solution to this war apart from through this process. We are now working on ways to get them back together as soon as possible’ Patrick Wintour writes for The Guardian.

‘The road to peace is lined with obstacles, but it begins with confidence-building measures supported by the coalition and Mr Hadi’s government. UN Resolution 2216, which demands an end to the violence, must be urgently respected. And in the meantime, vital aid must be brought to the people of Yemen, who are suffocating under the weight of Houthi rule. Hodeidah port, through which 70 per cent Yemen’s imports pass, is still under Houthi control after the coalition paused its offensive there to facilitate the peace talks.’ Reported The National .

Sub Saharan Africa

Potential Economic Collapse; Hard Times hit Zimbabwe

Zimbabwe, following its contentious elections held back in July, 2018 faces a potential economic collapse. The scope for private investments has narrowed ever since the elections and coupled with the outbreak of ailments such as cholera, in the country, Zimbabwe suffers with the fear of an economic collapse unless it receives a life-saving aid package.

Analysis

‘Zimbabwe faces a deepening economic crisis as hopes fade of a new wave of international investment and aid following historic elections in July. Mnangagwa’s campaign slogan was “Zimbabwe is open for business”, but people in the former British colony say conditions have deteriorated since the election. Mnangagwa faces very significant challenges. The country ran up massive debts during Mugabe’s 37-year rule which need to be repaid or rescheduled. Government revenues barely pay the wages of large numbers of public sector workers. Few people in Zimbabwe have jobs, and infrastructure is crumbling.’ Jason Burke writes for The Guardian.

‘According to a 2017 CZI Manufacturing Sector Survey, Zimbabwe is losing in excess of US$2 billion annually through the use of antiquated machinery. Attempts by President Emmerson Mnangagwa government to secure a US$2 billion credit facility from China recently hit a snag after with the Asian giant cited failure by government to repay US$300 million arrears from previous loans. The government needs a credible economic revival plan to attract fresh funding. Government is yet to craft a comprehensive economic plan, with Finance minister Mthuli Ncube whose ministry would unveil a transitional economic stabilisation programme next month. Zimbabwe has been failing to attract fresh lines of credit so far because of the country’s high credit risk.’ Nyasha Chingono writes for The Zimbabwe Mail.

Europe

Italy’s Budget Plans Haunt European Markets

The populist government in Italy has proposed an end to its previously practiced course of economic austerity with a marked raise in the public debt. The proposition has received severe backlash from the European Commission.

Analysis

‘Italy’s new populist leaders appear to be sticking to the program that brought them to power: In their budget plans, they’re charting a course that could ultimately put the entire European project at risk. One can only hope that they will see reason. Now comes a moment of truth, as the coalition sets out its budget for 2019. It’s not looking good. After much deliberation, the government is aiming for a deficit of 2.4 per cent of gross domestic product, up from a projected target of 0.8 per cent under the previous administration. Although that stays within the EU’s 3 per cent limit, it violates the further requirement that highly indebted nations make a genuine effort to shrink their burden — which in Italy’s case would require a deficit significantly smaller than 2 per cent. Minor as the difference might seem, it could have big consequences for Europe.’ Reported The Bloomberg.

‘Fears that Italy is on a collision course with the EU over its spending plans triggered sharp falls in European markets after the new government in Rome unveiled a deficit-widening budget. The coalition of the Five Star Movement and the League announced 2019 budget plans that would push the deficit – the gap between income from taxes and expenditure – to three times the size of the spending gap under the previous administration. There are fears that problems in the Italian banking sector could spread to other EU countries, including France, Spain and Portugal, with the potential to reignite a financial crisis across the eurozone. Richard Partington writes for The Guardian.

Oceania

The Australian Premiere Expresses Concern and an Offer of Help to the Indonesian Government

The Australian Prime Minister Scott Morrison expressed his concern for the Indonesian people suffering the wrath of the de devastating earthquake and tsunami that hit Indonesia and has killed around eight hundred people so far. As the death toll is expected to raise, the Australian PM communicated his government’s generous support for the survivors, if and whenever asked by the Indonesian government.

Analysis

‘Australia stands ready to help Indonesia during the aftermath of the “horrific” earthquake and tsunami that has killed more than 800 people so far. Prime Minister Scott Morrison says if there is a request to help then Australia will step in. He said that “This is just a terrible tragedy. I think it’s important that all of our empathy and our thoughts are with them in what must be a most horrific time.”’ Reported The Daily Telegraph.

Americas

Canada Agrees to Join Hands with the USA and Mexico in a New Trade Deal

Canada agreed to join hands with the USA and Mexico in a new trade deal that is expected to replace the NAFTA. The deal is expected to reap economic benefits for the entire North American region.

Analysis

‘Canada has agreed to join the United States and Mexico in a trade deal that will replace the North American Free Trade Agreement. The last-minute deal will provide U.S. with greater access to Canada’s dairy market, an issue that had been considered vital for U.S. dairy manufacturers. Under the new rules, cars must be built with at least 75 per cent of parts made in North America, up from 62.5 percent under NAFTA. Also, 40 to 45 per cent of an auto will have to be made by workers earning at least $16 an hour. The new trade deal also includes standards designed to protect intellectual property and trade secrets, tougher labour requirements for Mexico and environmental obligations designed to combat trafficking in wildlife, timber and fish.’ Michael Collins writes for USA Today.

‘President Trump’s administration had said Canada must sign on to the text of the updated NAFTA by deadline or face exclusion from the pact. Washington had already reached a bilateral deal with Mexico, the third NAFTA member. If Canada did not sign a new deal, Trump had threatened to impose steep tariffs on all automotive imports.’ Megan Henney and Ken Martin report for The Fox Business.

‘The deal will preserve a trade dispute settlement mechanism that Canada fought hard to maintain to protect its lumber industry and other sectors from US anti-dumping tariffs. But this came at a cost. Canada had agreed to provide US dairy farmers access to about 3.5% of its approximately $16bn annual domestic dairy market, the sources said, adding that the Canadian government was prepared to offer compensation to dairy farmers hurt by the deal.’ Reuters report for The Guardian.

Login

Welcome! Login in to your account

Remember me Lost your password?

Lost Password