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Ed Webb

The impact of the global energy transition on MENA oil and gas producers - ScienceDirect - 0 views

  • MENA hydrocarbon producers' socio-economic structures continue to heavily rely on oil rent.•The low-carbon transition may imply sustained pressure on their development models.•Since the 2014 oil price drop, they adopted new, ambitious, economic diversification plans.•Such diversification plans never worked in the past, due to a lack of real incentives.•Job creation needs and low-carbon transition could foster diversification plans' implementation.
Ed Webb

Putin visits Saudi Arabia in sign of growing ties | News | Al Jazeera - 0 views

  • Vladimir Putin has visited Saudi Arabia in his first trip to the kingdom in over a decade, signing oil agreements and discussing regional security, in particular, Saudi Arabia's ongoing rivalry with Iran
  • strengthening relations between the two countries, who have worked together in recent years to keep oil supplies low, and thus keep prices high, but have been on opposite sides of regional conflicts
  • Putin previously offered to provide Russian defence systems to Saudi Arabia after the September 14 attacks on its state-owned oil facilities. 
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  • Any movement in a defence system deal would likely cause disquiet in Washington, which is sending 3,000 troops and additional air defence systems to Saudi Arabia following the attacks.
  • "We don't believe that having close ties with Russia has any negative impact on our relationship with the United States," he told reporters on Sunday. "We believe that we can have strategic and strong ties with the United States while we develop our ties with Russia."
Ed Webb

Peter Schwartzstein | Climate Change and Water Woes Drove ISIS Recruiting in Iraq - 2 views

  • With every flood or bout of extreme heat or cold, the jihadists would reappear, often supplementing their sales pitches with gifts. When a particularly vicious drought struck in 2010, the fifth in seven years, they doled out food baskets. When fierce winds eviscerated hundreds of eggplant fields near Kirkuk in the spring of 2012, they distributed cash. As farming communities limped from one debilitating crisis to another, the recruiters—all members of what soon became the Islamic State—began to see a return on their investment.
  • By the time the Islamic State (also known as ISIS) seized this swath of Iraq—along with most of the country’s west and north—in a brutal summer-long blitzkrieg in 2014, few locals were surprised to see dozens of former fertilizer market regulars among its ranks.
  • Across rural Iraq and Syria, farmers, officials, and village elders tell similar stories of desperate farmhands swapping backhoes for assault rifles. Already battered by decades of shoddy environmental policies, which had hobbled agriculture and impoverished its dependents, these men were in no state to navigate the extra challenges of climate change. And so when ISIS came along, propelled in large part by sectarian grievances and religious fanaticism, many of the most environmentally damaged Sunni Arab villages quickly emerged as some of the deep-pocketed jihadists’ foremost recruiting grounds.
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  • ISIS appears to have attracted much more support from water-deprived communities than from their better-resourced peers
  • Hussein torched some of southern Iraq’s most bountiful date plantations for fear that Iranian saboteurs might use them as cover to attack oil facilities around Basra. Where once 12 million palm trees stood, there’s now just miles of dusty scrubland laced with oil spills
  • Years of below average rains in the Kurdish region and Nineveh governorate, the only parts of Iraq where rain-fed agriculture was historically possible, had increased the country’s dependence on the Euphrates and Tigris, the Fertile Crescent’s two great rivers. At the same time, upstream Turkey and Iran were relentlessly damming them and their tributaries. Turkey has built over 600 large dams, including dozens of major ones near the Iraqi and Syrian borders. The Tigris and Euphrates’ combined flow in southern Iraq has subsequently shrunk so much that the Persian Gulf now barrels up to 45 miles upriver at high tide (the rivers used to project freshwater up to 3 miles out to sea).
  • the jihadists expertly exploited the desperation in Iraq’s agricultural heartland by rationalizing its inhabitants’ woes. They spread rumors that the Shia-dominated government was delaying crop payments and cutting off water to Sunni farmers. In fact, the lack of rain wasn’t due to climate change, but really a man-made ploy designed to drive Sunni landowners from their rich fertile fields, their emissaries suggested. Broke and unable to deal with their fast changing environment, many farmers ate it up.
  • By 2011, much of the Iraqi countryside was in desperate financial straits. Some 39 percent of people in rural areas were living in poverty, according to the World Bank. That’s two and a half times the country’s urban rate. Almost half lacked safe drinking water. The problems were so devastating in 2012-13 that tens of thousands of villagers ditched their fields altogether, preferring to try their luck in the slum districts of nearby cities instead.
  • water was becoming a resource that in some parts of Iraq only wealthier landowners could afford
  • When severe water shortages killed off countless livestock in 2011-12, jihadists descended on the animal markets to size up the frantic farmers, many of whom were trying to sell off their remaining cows and sheep before they too succumbed to drought. “They just watched us. We were like food on the table to them,”
  • After several years of energetic groundwater extraction near the oil refining town of Baiji, Samir Saed’s two wells ran dry in early 2014, forcing him to lay off the two young men he employed as farm laborers. Jobless and angry, he suspects they soon joined ISIS
  • Some 39 percent of those polled in Salahaddin cited drought as a reason for their displacement. Studies from neighboring Syria, large parts of which enjoy similar conditions to northern and western Iraq, suggest that anthropogenic climate change has tripled the probability of long, debilitating droughts.
  • The jihadists adopted scorched earth tactics as they were beaten back, laying waste to hundreds of thousands of acres of prime farmland. And so for returning farmers, climate change and shoddy governance are now among the least of their worries. ISIS fighters ripped up buried irrigation pipes to mold makeshift mortars. They poisoned wells, blew up water canals, and carted off everything that was of any value, notably generators, tractors, and water pump parts.
  • More or less broke after the oil price crash, the Iraqi state can’t afford to pay farmers for crops they’ve delivered to state silos, let alone cover the multi-billion dollar agricultural clean up bill
  • Turkey has almost finished building the Ilisu Dam, which threatens to further cut the Tigris’ flow when it comes online, probably next year. Hotter temperatures are evaporating more and more surface water—up to six feet worth in Iraq’s lakes every year, according to Nature Iraq, a local NGO. As Baghdad’s relations with the upstream Kurdish region deteriorate, farmers might once more bear the brunt of the dispute. Kurdish authorities have cut off water to mostly Arab areas on several occasions in the past
  • If Iraq can’t get a grip on its crumbling environment, the next war might not be far off.
Ed Webb

Will MBS Bankrupt Saudi Arabia? - Middle East News - Haaretz.com - 0 views

  • five years in and with little progress in sight, cracks are appearing in Crown Prince Mohammed bin Salman’s flagship project to diversify the oil-driven Saudi economy. Neom’s former employees raised concerns that bringing the giga-project out of the realm of science fiction might never happen. Architecture experts have called it “insane.” Sources inside the royal circle no longer shy away from lashing out at MBS’ ever-changing ideas, “mood swings,” “terrible tempers” and fear-based leadership.
  • “The general concern is this will turn out like for the Shah of Iran, developing schemes that become incredibly detached from reality and no one will tell him to refocus,” a source familiar with the dynamics of Saudi Arabia’s royal family told me, on condition of anonymity
  • the risk of the Crown Prince ending up in an echo chamber cemented by yes-men. Power consolidation under MBS is unprecedented in Saudi Arabia’s recent history, moving the kingdom’s system from “one of consensus within the family to one-man rule.”
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  • Leaks reveal insiders’ growing uneasiness, which points to the elephant-in-the-room question: Will MBS’ grandiose venture bankrupt the kingdom?
  • Saudi private investors will also be encouraged to pitch in during a potential public listing of Neom in 2024. That raises questions about how consensual this private investment will be. Indeed, Saudi Arabia reportedly “bullied” several of the kingdom’s wealthiest families to become cornerstone investors out of “patriotic duty” in the IPO of Saudi energy firm Aramco in 2019.
  • a large chunk of Saudi money carefully set aside for decades to fund the transition to a post-oil era will pay for Neom's astronomical price tag. A bet on an unproven vision
  • “Infrastructure spending is like doing lines of cocaine; you have to do bigger and bigger and bigger lines just to feel high,”
  • Neom’s initial burst of economic activity, if unsustainable at a similar pace, would simply be "stealing" future economic benefits to create an illusion of growth right now
  • perhaps the motive is not sustainable growth at all, but creating what Pettis calls a "pyramid effect." This would be an attempt to copy monarchs of ancient Egypt who redistributed wealth to the population through jobs – paid laborers built Egyptian pyramids, not slaves. Although Saudi Arabia’s oil wealth is already redistributed to ordinary Saudis through public-sector jobs and subsidies, a large tranche is retained and stored in its sovereign wealth funds and U.S. Treasuries. In theory, flushing Saudi citizens with cash would stimulate the local non-oil economy. But in practice, the pyramid effect is likely to first and foremost cause economic leakages, as the kingdom imports most of what it consumes locally, including labor, despite the “Saudification” of the labor market being one of Vision 2030’s key priorities. Migrant workers account for about 77 percent of private sector jobs. At Neom, highly paid Western consultants are toiling to match MBS’ demands, and Asian low-income workers are building it, remitting Saudi money home.
  • Riyadh sweetened the project’s launch party with a flurry of social reforms, such as lifting the ban on women driving. (Saudi Arabia was the last country in the world to lift this kind of ban, and it didn’t do so as a principled stand on behalf of women’s rights.) The idea was not only creating a buzz among investors and the global public, but whipping up aspirational momentum among Saudis.
  • 60 skyscrapers that were built in Riyadh’s financial center are still standing largely empty.
  • MBS, high on his visionary self-branding and his concentration of power, may have to pay the costs of bankruptcy – whether by admitting full responsibility or via a renewed deployment of decidedly imperious and despotic tactics to crush dissent. The latter path is, of course, what the late Shah of Iran chose, with notorious results.
Ed Webb

Why Saudis Don't Want to Pivot From the US to China - 0 views

  • an increasingly close economic and security relationship. Saudi Arabia supplies China with 18 percent of its energy needs, and it is expanding orders for petrochemical, industrial, and military equipment, much of which it previously obtained from the United States
  • Beijing is offering Riyadh a deal: Sell us your oil and help us stabilize global energy markets; choose whatever military equipment you want from our catalogue; and benefit as you like from cooperation with us in defense, aerospace, the automotive industry, health, and technology. In other words, the Chinese are offering the Saudis a bargain that appears to be modeled on the U.S-Saudi deal that stabilized the Middle East for 70 years.
  • many young Saudis naively tout the idea of replacing the United States with China. As graduates of U.S. universities and voracious consumers of U.S. pop culture and consumer technology, most educated Saudis feel close to the United States—close enough to feel bullied by what we see as unfair attacks by U.S. media and policymakers against us, our country, our leaders, and our culture. The alternative, for many, is to learn Mandarin and imagine future careers promoting Chinese industry and trade.
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  • Taken together, the Biden administration’s strategy appears to Saudis and other observers as an attempt to wrest the power to set oil prices away from OPEC+. If the move is successful, then it would make it impossible for Saudi Arabia to have the revenues to achieve its own development goals.
  • it should be abundantly clear why many Saudis are beginning to shift their gaze eastward. But I would counsel them that their hopes of China replacing the United States as a partner for Saudi Arabia are naive
  • Imagine the Ghost of Christmas Yet to Come showing us our region without U.S. technology, innovation, defense cooperation, and security relations. Imagine a region where the benefits and limits of personal freedom are not subjects to be debated by the people and their rulers—as Saudis are increasingly doing as our country reforms—but things dictated by a centralized one-party state that sees God as its enemy.
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    I don't agree with all of the analysis or even the characterization of some events, but the perspective is helpful
Ed Webb

Saudi Arabia's Energy Crisis | Arabia, the Gulf, and the GCC Blog - 0 views

  • consuming more and more of its precious petroleum resources, and within a decade may have to begin cutting back on its oil exports to the rest of the world
  • In a recent report entitled, “Burning to Keep Cool: The Hidden Energy Crisis in Saudi Arabia,” Chatham House researchers Glada Lahn and Prof. Paul Stevens said unchecked growth in energy consumption in Saudi Arabia was a “cause for international concern.” If it continues at its present rate, this would threaten the Kingdom’s ability to stabilize world oil markets.
  • Saudi crude export capacity would fall by about 3 million bpd to under 7 million bpd by 2028 unless domestic energy demand growth is checked
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  • Saudi Arabia hopes to buy itself some time with major energy conservation efforts. Saudi Aramco is pursuing an initiative in cooperation with the Kingdom’s utilities and business sector to generate massive energy savings on as rapid a timetable as possible. This initiative includes moves into renewable power sources like solar and wind, plus efforts to slash energy waste and duplication and create a business culture sensitive to energy efficiency
  • Plans to add renewable power would help maintain fiscal balance for another two or three years, but that’s all
  • Saudi Arabia currently relies on oil revenues for about 80 percent of its government spending
  • Chatham House believes “huge economic, social and environmental gains from energy conservation are possible in Saudi Arabia” but it cautions that the longstanding Saudi tradition of low energy prices and the Kingdom’s sluggish bureaucracy pose “challenges” to implementing needed pricing and regulatory reforms.
  • Saudi Arabia is aiming to generate about 10 percent of its power needs from solar energy by the year 2020
Ed Webb

Food crisis looms as Ukrainian wheat shipments grind to halt | Financial Times - 0 views

  • Russia and Ukraine supply almost a third of the world’s wheat exports and since the Russian assault on its neighbour, ports on the Black Sea have come to a virtual standstill. As a result, wheat prices have soared to record highs, overtaking levels seen during the food crisis of 2007-08.
  • agricultural experts and policymakers have warned of the impact of delayed shipments on countries reliant on the region for wheat, grain, sunflower oil and barley
  • The surge in prices will fuel soaring food inflation — already at a seven-year high of 7.8 per cent in January — and the biggest impact will be on the food security of poorer grain importers, warned analysts and food aid organisations
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  • Ukraine accounts for 90 per cent of Lebanon’s wheat imports and is a leading supplier for countries including Somalia, Syria and Libya. Lebanon is “really struggling with an already high import bill and this is only going to make things worse,”
  • Russia also provides its Black Sea neighbour Turkey with more than 70 per cent of its wheat imports
  • Even before the Russian invasion of Ukraine, inflation in Turkey had had hit a 20-year high of 54.4 per cent in February. “The war is only going to exacerbate the cost of food,”
  • “What’s critical here is that the Black Sea offers a logistical and price advantage . . . Costs will rise significantly when [Turkey] buys from the US or Australia,” he said. “Even if the war ends tomorrow, Ukraine’s planting season has already been disrupted and it will impact the 2022 harvest regardless.”
  • The UN World Food Programme, which procures grains and food to distribute to poorer countries, bought just under 1.4m tonnes of wheat last year of which 70 per cent came from Ukraine and Russia.
  • The last time wheat prices spiked to these levels in 2007 and 2008 because of severe production declines in leading producing countries such as Australia and Russia, protests spread through nearly 40 countries from Haiti to the Ivory Coast, while a jump in grain prices in 2009-10 is regarded as one of the triggers of the Arab Spring uprisings in the Middle East.
  • Egyptian authorities say their wheat inventories will last until mid June and the Egyptian local harvest should start coming in by mid April. Any rise in subsidised bread prices and further increase in food inflation in Egypt “increases the threat of social unrest,”
  • Wheat inventories are tight everywhere and as Chinese and South Korean buyers of Ukrainian corn, used to feed livestock, sought sellers elsewhere, EU agricultural ministers on Wednesday discussed allowing farmers to boost production using the 10 per cent of land they usually leave fallow in response to the war in Ukraine.
  • “The supply chain is broken,”
Ed Webb

Iran's economy: Sanctions begin to bite | The Economist - 0 views

  • ordinary Iranians are increasingly worried and indeed hurt by sanctions
  • Even taken together, the sanctions are unlikely to bring the world’s fifth-biggest crude-oil exporter to its knees. The loopholes remain big enough, and the attraction of Iran’s 75m-strong market strong enough, to keep goods and money flowing. Although South Korea joined Japan last month in slapping sanctions on a range of Iranian banks and firms, bringing it into line with other American allies, it remains keen to protect trade with Iran that topped $10 billion last year, so it quickly signed a deal to let Korean and Iranian traders settle accounts via special facilities in two Korean banks and in Korean currency. The Asian powerhouse, China, sees no need for such sleight of hand, and has rapidly expanded its share of Iran’s market, as has neighbouring Turkey.
  • Almost all the biggest international traders in refined petroleum products, for instance, have stopped dealing with Iran, forcing the country to rely on costlier small-scale overland shipments for much of the petrol that it still has to import because of underinvestment in refining.
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  • oil output is likely to fall by 15% and exports by as much as 25%
  • After crushing its reformist opponents, his conservative faction has broken out in increasingly rancorous internal wrangling. The biggest looming issue is Mr Ahmadinejad’s plan to slash consumer subsidies that cost his government $70 billion-100 billion a year, a quarter of GDP. Already lumbered with feeble economic growth and high unemployment, Iranians now face the prospect of sharp rises in prices of food, fuel and transport. The coming winter looks set to be harsh.
Ed Webb

It's Time to Put Climate Change at the Center of U.S. Foreign Policy - 0 views

  • If the Iran nuclear deal boosted carbon emissions because the easing of sanctions brought an additional 2 million barrels per day of Iranian oil onto the market, that was a price well worth paying to prevent Iran from acquiring a nuclear weapon
    • Ed Webb
       
      Do you concur with this calculation?
  • climate change obviously needs to be at the center of U.S. energy diplomacy. For example, dialogue with OPEC nations or cooperation on strategic oil stocks to address global supply shocks should include discussion of how to prepare for an uncertain and potentially volatile period of transition away from oil
  • Expanding energy access for the 840 million people who lack access to electricity, the majority of whom live in sub-Saharan Africa, is critical for global health and development, yet support for efforts to achieve this goal must avoid following the carbon-intensive paths of other emerging economies such as India
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  • issues such as securing electricity grids around the world against cyberattacks, since a decarbonized world will depend even more on electrical power as many additional sectors—such as buildings, cars, and trucks—are electrified
  • access to rare earths and other critical minerals such as lithium and cobalt will be even more important as raw materials for batteries, solar panels, and other renewable energy technologies.
  • defense leaders should work with their counterparts in other governments and within international institutions, such in the United Nations Security Council and NATO, to integrate climate change into their security agendas. Defense planning must increasingly consider the impacts of climate change, such as the threats of extreme weather to military installations, the stresses increased disaster assistance may pose to military readiness, and the risks food or water scarcity may pose to security in fragile states
  • From the standpoint of foreign policy, stronger domestic action can also lay the groundwork for cooperation instead of conflict with the European Union, which is planning to impose carbon border tariffs on imports from countries taking inadequate climate actions.
  • foreign policy must go beyond climate and energy diplomacy to make mainstream the consideration of climate change in all foreign-policy decisions. It may not always prevail when weighed against all other national security goals, but it is too important to be ignored.
Ed Webb

Poverty in Iraq grows as budgets squeezed by war with IS | Middle East Eye - 4 views

  • The paralysis of the Iraqi economy, the sharp decline in oil prices, the unlimited spending on the war against IS, in addition to the absence of strategic planning and the rampant financial and administrative corruption since 2003, has left the Iraqi treasury nearly empty. The county, officials say, has poverty levels that are unseen since a poverty reduction plan was put in place five years ago
  • On a weekly basis, demonstrators have protested to highlight not only the serious lack of the basic services in the country, but also the financial and administrative corruption widespread across government departments and ministries which they believe has caused the problems.
  • The impact of the oil prices' falling will affect the 2016 annual budget and the government plans to cover the country’s operational budget only, stopping all investments and spending on infrastructure projects
Ed Webb

The Ukraine War: A Global Crisis? | Crisis Group - 0 views

  • The Ukraine conflict may be a matter of global concern, but states’ responses to it continue to be conditioned by internal political debates and foreign policy priorities.
  • China has hewed to a non-position on Russian aggression – neither condemning nor supporting the act, and declining to label it as an invasion – while lamenting the current situation as “something we do not want to see”. With an eye to the West, Beijing abstained on rather than vetoing a Security Council resolution calling on Russia to withdraw from Ukraine, and reports indicate that two major Chinese state banks are restricting financing for Russian commodities. Beijing now emphasises the principles of territorial integrity and sovereignty in its statements, a point that had either been absent from earlier statements or more ambiguously discussed as “principles of the UN Charter”.
  • the worldview that major powers can and do occasionally break the rules
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  • Beijing’s opposition to U.S. coalition building and expansion of military cooperation with Indo-Pacific countries. Overall, Beijing’s instinct is to understand the Ukraine crisis largely through the lens of its confrontation with Washington.
  • Beijing will want to ensure its position is not overly exposed to Western criticism and to safeguard its moral standing in the eyes of developing countries
  • When Russia invaded Ukraine, India immediately came under the spotlight as at once a consequential friend of Moscow and a country traditionally keen to portray itself as the world’s largest democracy and a champion of peace. The U.S. and European countries pressured India not to side with Moscow and the Ukrainian ambassador in New Delhi pleaded for India to halt its political support for Russia. Yet under Prime Minister Narendra Modi, India has responded to the invasion with the blunt realism of a rising, aspirational power that does not want to get caught between Russia and what Modi calls the “NATO group”. India chose the well-trodden non-alignment path and hid behind diplomatic language with a not-so-subtle tilt toward Russia.
  • “military-technical cooperation”, which has resulted in more than 60 per cent of India’s arms and defence systems being of Russian origin
  • India also depends on Russia to counterbalance China, which has become its primary security and foreign policy concern, especially given its unresolved border tensions with Beijing. With Pakistan, India’s main rival, already close to China and cosying up to Russia, India’s worst fear is that China, Pakistan and Russia will come together
  • Relations with Washington are already strained largely because of Islamabad’s seemingly unconditional support for the Afghan Taliban. To give his government diplomatic space, Khan has sought to forge closer ties with Moscow. Those efforts could not have come at a less opportune time.
  • Khan returned home with little to show from the trip, the first by a Pakistani prime minister in over two decades. He signed no agreements or memoranda of understanding with his Russian counterpart. Widening Western sanctions on Russia have also sunk Pakistani hopes of energy cooperation with Moscow, casting particular doubt on the fate of a proposed multi-billion-dollar gas pipeline project.
  • In contrast to Russia, with which Pakistan’s commerce is miniscule, the U.S. and EU states are its main trading partners. The war in Ukraine could further undermine Pakistan’s economy. The rise in global fuel prices is already fuelling record-high inflation and putting food security at risk, since before the invasion Ukraine provided Pakistan with more than 39 per cent of its wheat imports. With a trade deficit estimated by one analyst at around $40 billion, Islamabad’s reliance on external sources of funding will inevitably grow. A Russia under heavy sanctions will be in no position to assist. In such a scenario, Pakistan’s powerful military, which Khan depends on for his own political survival, could question his foreign posture.
  • The Gulf Arab countries have so far adopted an ambiguous position on the Russian aggression in Ukraine. As close U.S. partners that also have increasing ties to Russia, they sit between a rock and a hard place, unwilling to openly antagonise either side. They have landed in this conundrum because of what they perceive as a growing U.S. withdrawal from the Middle East. In response, they embarked on an effort to diversify their security relations, moving away from sole reliance on Washington. Russia is one of these new partners.
  • No Gulf power wants to give the impression of siding with the Kremlin, for fear of aggravating the U.S. – their primary security guarantor. But as international support for Ukraine and anger at those seen to support (or at least not publicly oppose) Russia grows, the damage may already have been done: the U.S. and its European allies were appalled at the Gulf states’ reticence to get in line with immediate condemnations of the Russian invasion
  • despite Iran’s own experience of losing large swaths of territory to Czarist Russia in the nineteenth century and facing Soviet occupation during and immediately after World War II, the Islamic Republic today can claim few major allies beyond Russia. Tehran sees few upsides in breaking ranks with Moscow. In comparison to the possible results of provoking the Kremlin with anything less than fulsome support, the diplomatic opprobrium it may receive from the U.S. and Europe is of little consequence.
  • Israel has substantive relations with both Russia and Ukraine: Israeli Prime Minister Naftali Bennett has spoken to both Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskyy since the war began, and has offered to act as mediator; Israel sees itself as, in effect, sharing a border with Russia to its north east in Syria, relying on Putin’s continued tacit approval of its airstrikes on Iranian targets there; large Jewish and Israeli populations reside in both Russia and Ukraine and over 1.5 million Russian and Ukrainian expatriates live in Israel; and Israel is a major U.S. ally and beneficiary that identifies with the Western “liberal democratic order”.
  • concerned that the fallout from the war could lead Putin to increase arms sales to anti-Western proxies along its borders, chiefly Syria and Hizbollah in Lebanon, or step up electronic measures to disrupt NATO operations in the Mediterranean Sea, affecting Israel’s own navigation systems. Thus far, Russia has assured Israel that it will continue coordination on Syria, though reiterating that it does not recognise Israeli sovereignty in the Golan Heights, which Israel occupied in 1967 and later annexed
  • Israel has offered humanitarian aid to Ukraine but has refused to sell it arms or provide it with military assistance.
  • President Zelenskyy is the only elected Jewish head of state outside Israel. He lost family in the Holocaust. As such, Israel’s silence on Putin’s antisemitic rhetoric, such as his claim to be “denazifying” Ukraine with the invasion, is noteworthy. That said, Israel has some track record – vis-à-vis Hungary and Poland, for example – of placing what its leaders view as national security or foreign relations concerns above taking a strong stand against antisemitism.
  • Since the invasion began, Bolsonaro’s affinities with Moscow have exposed the divisions within his hard-right government. From the outset, Brazil’s foreign ministry has vowed to maintain a position of neutrality, urging a diplomatic solution. But a day after the invasion, Hamilton Mourão, the vice president and a retired army general, said “there must be a real use of force to support Ukraine”, arguing that “if the Western countries let Ukraine fall, then it will be Bulgaria, then the Baltic states and so on”, drawing an analogy to the conquests of Nazi Germany. Hours later, Bolsonaro said only he could speak about the crisis, declaring that Mourão had no authority to comment on the issue.
  • Since 2014, Turkish defence companies have been increasingly engaged in Ukraine, and in 2019 they sold the country drones that Ukrainians see as significant in slowing the Russian advance.
  • On 27 February, Ankara announced that it would block warships from Russia and other littoral states from entering the Black Sea via the Bosporus and Dardanelles Straits as long as the war continues, in line with the Montreux Convention (though Russian vessels normally based in Black Sea ports are exempt from the restriction, under the convention’s terms). But it also requested other states, implicitly including NATO members, to avoid sending their ships through the straits, in an apparent effort to limit the risks of escalation and maintain a balanced approach to the conflict.
  • Some fear, for instance, that Russia and its Syrian regime ally will ratchet up pressure on Idlib, the rebel-held enclave in Syria’s north west, forcing large numbers of refugees into Turkey, from where they might try to proceed to Europe. This worry persists though it is unclear that Russia would want to heat up the Syrian front while facing resilient Ukrainian resistance.
  • A prolonged war will only exacerbate Turkey’s security and economic concerns, and if Russia consolidates control of Ukraine’s coastline, it will also deal a significant blow to Turkey in terms of the naval balance of power in the Black Sea. It is likely that Turkey will draw closer to NATO as a result of this war, and less likely that Turkey will buy a second batch of S-400 surface-to-air missiles from Russia
  • Kenya, currently a non-permanent member of the UN Security Council, has taken a more strident stance in opposition to Russia’s invasion than most non-NATO members of the Council. This position springs in part from the country’s history. Nairobi was one of the strongest supporters of a founding principle of the Organisation of African Unity (OAU) prescribing respect for territorial integrity and the inviolability of member states’ colonial-era borders.
  • As in many African countries, a deep current of public opinion is critical of Western behaviour in the post-Cold War era, emphasising the disastrous interventions in Iraq and Libya, as well as the double standards that many Kenyans perceive in Washington’s democracy promotion on the continent.
  • What Nairobi saw as Washington’s endorsement of the 2013 coup in Egypt particularly rankled Kenyan authorities, who took an especially vocal public position against that putsch
  • Kenya will also push for the strengthening of multilateralism in Africa to confront what many expect to be difficult days ahead in the international arena. “We are entering an age of global disorder”, Peter Kagwanja, a political scientist and adviser to successive Kenyan presidents, told Crisis Group. “The African Union must band together or we will all hang separately”.
  • longstanding solidarity between South Africa and Russia. In the Soviet era, Moscow offered South Africans support in the anti-apartheid struggle and actively backed liberation movements across southern Africa.
  • Although just over half of African states backed the UN General Assembly resolution on Ukraine, many governments in the region have responded to the war with caution. Few have voiced open support for Russia, with the exception of Eritrea. But many have avoided taking strong public positions on the crisis, and some have explicitly declared themselves neutral.
  • Ghana, which joined the UN Security Council in January, has consistently backed the government in Kyiv. The West African bloc, the Economic Community of West African States (ECOWAS), released a statement condemning Russia’s actions. Nonetheless, not all ECOWAS members voted for the General Assembly resolution. Mali, which has drawn closer to Russia as France pulled its military forces out of the country, abstained. Burkina Faso did not vote, perhaps reflecting the fact that Russia watered down a Security Council statement condemning the January coup in Ouagadougou.
  • Russia has many friends in Africa due in part to the Soviet Union’s support for liberation movements during the anti-colonial and anti-apartheid struggles. Many also appreciated Moscow’s strident opposition to the more recent disastrous Western interventions in Iraq and Libya. Furthermore, a number of African leaders studied in the Soviet Union or Eastern Bloc countries and Moscow has done a good job of maintaining these ties over the years. Numerous African security figures also received their training in Russia.
  • African leaders and elites generally oppose sanctions, seeing them as blunt tools that tend to punish the general population more than national leaders. In the meantime, African officials are concerned that the war will have a deleterious impact on the continent’s economies and food security, both by driving up energy prices and by restricting grain supplies from Russia and Ukraine (a particular concern after a period of poor rainfall and weak harvests in parts of the continent). These shocks are liable to be severe in African countries that are still only beginning to recover from the downturn prompted by COVID-19, although oil producers such as Nigeria, Congo and Equatorial Guinea may benefit from a hike in energy prices.
  • The Ukraine conflict is a major problem for Turkey. It threatens not only to damage Ankara’s relations with Moscow, but also to hurt the Turkish economy, pushing up energy costs and stopping Russian and Ukrainian tourists from visiting Turkey. Some analysts estimate that a decline in tourism could mean up to $6 billion in lost revenue.
  • Calls for neutrality nevertheless enjoy traction in Brazil. Within the government, there is concern that Western sanctions against Moscow will harm the economy, in particular its agricultural sector, which relies heavily on imports of Russian-made fertilisers. Brazil’s soya production, one of the country’s main sources of income, would suffer considerably from a sanctioned Russia.
  • Mexico depends on the U.S for its natural gas supply, and the prospect of rising prices is spurring the government to consider other means of generating electricity
  • Relations between Russia and Venezuela flourished under the late president, Hugo Chávez, who set the relationship with Washington on an antagonistic course. Under Maduro, Venezuela’s links to Russia have intensified, especially through the provision of technical military assistance as well as diplomatic backing from Moscow after Maduro faced a major challenge from the U.S.-linked opposition in early 2019.
Ed Webb

Widespread Iraqi anger threatens Saudi ties - Al-Monitor: the Pulse of the Middle East - 0 views

  • In light of this commotion on the streets, the Iraqi government has distanced itself from the strained Saudi-Iranian ties following the execution of Nimr and other developments, such as the storming of the Saudi Embassy in Tehran on Jan. 2 and the rupture of ties between the two countries. The government also turned a deaf ear to Iraqi Shiite forces close to Iran that demanded that ties be cut with Saudi Arabia.
  • The official Iraqi position was incomprehensible to some extremist circles. Although it has condemned the execution of Nimr, Iraq also supported the Saudi position against Iran in the closing statement of the Arab League meeting on Jan. 10. This statement condemned the attack against the Saudi Embassy in Tehran and supported the Saudi position against Iran, demanding that Iran stop interfering in Saudi affairs.
  • Iraq’s situation is currently complicated by the war against IS and the economic crisis caused by declining oil prices. Abadi seems to be looking to preserve any potential support in the fight against IS, which challenges the existence of the Iraqi state itself.
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    The three-way game between Riyadh, Tehran, and Baghdad begins to reassert itself?
Ed Webb

Saudi Arabia Crown Prince Mohammad bin Salman denies ordering Jamal Khashoggi murder, b... - 0 views

  • Norah O'Donnell: Did you order the murder of Jamal Khashoggi?Crown Prince Mohammad bin Salman (Translation): Absolutely not. This was a heinous crime. But I take full responsibility as a leader in Saudi Arabia, especially since it was committed by individuals working for the Saudi government.Norah O'Donnell: What does that mean that you take responsibility?Crown Prince Mohammad bin Salman (Translation): When a crime is committed against a Saudi citizen by officials, working for the Saudi government, as a leader I must take responsibility. This was a mistake. And I must take all actions to avoid such a thing in the future.
  • Crown Prince Mohammad bin Salman (Translation): If the world does not take a strong and firm action to deter Iran, we will see further escalations that will threaten world interests. Oil supplies will be disrupted and oil prices will jump to unimaginably high numbers that we haven't seen in our lifetimes.Norah O'Donnell: Does it have to be a military response?Crown Prince Mohammad bin Salman (Translation): I hope not.Norah O'Donnell: Why not?Crown Prince Mohammad bin Salman (Translation): Because the political and peaceful solution is much better than the military one.
  • One of the most prominent female activists who fought for the right to drive is Loujain al-Hathloul. She has been held in a Saudi prison for over a year.Norah O'Donnell: Is it time to let her go?Crown Prince Mohammad bin Salman (Translation): This decision is not up to me. It's up to the public prosecutor, and it's an independent public prosecutor.Norah O'Donnell: Her family says that she has been tortured in prison. Is that right?Crown Prince Mohammad bin Salman (Translation): If this is correct, it is very heinous. Islam forbids torture. The Saudi laws forbid torture. Human conscience forbids torture. And I will personally follow up on this matter.Norah O'Donnell: You will personally follow up on it?Crown Prince Mohammad bin Salman (Translation): Without a doubt.
Ed Webb

The Turbulent World of Middle East Soccer: Saudi Arabia rolls the dice with bid for New... - 0 views

  • Saudi Crown Prince Mohammed bin Salman has rolled the dice with a US$ 374 million bid to acquire storied British soccer club Newcastle United. If approved by Britain’s Premier League that nominally maintains a high bar for the qualification of aspiring club owners, Prince Mohammed would have demonstrated that he has put behind him an image tarnished by Saudi conduct of a five-year long war in Yemen, the 2018 killing of journalist Jamal Khashoggi, systematic abuse of human rights and, more recently, the kingdom’s badly-timed oil price war with Russia.
  • the kind of financial muscle that allows it to acquire trophies that enable it to project itself in a different light and garner soft power rather than financial gain at a time of a pandemic and global economic collapse.
  • Aramco, the Saudi national oil company, was reported to be talking to banks about a US$10 billion loan to help finance its acquisition of a 70% stake in Saudi Basic Industries Corp (SABIC). The deal would pour money into the Public Investment Fund (PIF), the kingdom’s sovereign wealth fund.
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  • The acquisition would mimic the 2017 purchase of celebrated soccer star Neymar by Qatar-owned Paris St. Germain for US$277 million intended to demonstrate that the Gulf state was unaffected by the then several months-old Saudi-UAE-led economic and diplomatic boycott.
  • a decision by the Premier League to reject the acquisition of Newcastle would be perceived as yet another of Prince Mohammed’s self-inflicted public relations fiascos that include multiple failed attempts to position the kingdom as a powerhouse in international soccer governance
  • Prince Mohammed is betting that the Premier League at a time of economic crisis and with Britain needing to forge new trade relationships in the wake of its departure from the European Union may not want to slam the door on a wealthy investor and/or jeopardize British relations with the kingdom.
  • Saudi Arabia responded in 2018 to Canadian criticism of the kingdom’s human rights record by withdrawing its ambassador and freezing all new trade and investment transactions. German criticism of a failed Saudi attempt to force the resignation of Lebanon’s prime minister led that same year to a de facto downgrading of diplomatic relations and reduced trade.
  • The League has tightened its criteria to test potential club owners on their integrity and reputation. The criteria include ensuring that a potential owner has not committed an act in a foreign jurisdiction that would be a criminal offence in Britain, even if not illegal in their own country.
  • Supporters of the acquisition argue that it bolsters Prince Mohammed’s reforms in a soccer-crazy country and reaffirms his push to break with the kingdom’s austere, inward-looking past. They reason further that it will bolster investment in Newcastle and surroundings at a time of impending economic hardship.
  • Supporters only need to look at Manchester where the United Arab Emirates’ acquisition of Manchester City more than a decade ago has benefitted not only the club but the city too.
  • supporters of Newcastle are likely to welcome the financial injection and departure of the club’s unpopular current owner, Mike Ashley, and ignore condemnation of the deal by human rights activists, including Amnesty International, as “sportswashing, plain and simple.”
Ed Webb

A warlord in trouble - Khalifa Haftar is losing ground and lashing out in Libya | Middl... - 0 views

  • friends of General Haftar say he is doubling down on the civil war he started six years ago. His year-long siege of Tripoli, seat of the UN-backed Government of National Accord (GNA), has intensified of late. Groups loyal to him have messed with the city’s power and water supplies. The LNA’s shells have hit hospitals. “It’s hard to believe it’s not deliberate,” says a diplomat. In the east General Haftar is trying to consolidate his power. On April 27th he claimed a “popular mandate” for his LNA and placed the region under military rule.
  • for the first time in a while, General Haftar is on the back foot. Militias aligned with the GNA and backed by Turkey have regained a string of cities connecting Tripoli to the Tunisian border. They have hemmed the LNA inside al-Watiya air base, its headquarters for western operations, and are besieging Tarhuna, one of its strongholds (see map). The loss of these positions could doom General Haftar’s campaign in the west and lead to Libya’s partition.
  • Until recently General Haftar had the edge, thanks to covert backing from Egypt, France, Russia and the United Arab Emirates
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  • The militias that support the GNA are too quarrelsome and undisciplined to mount a sustained campaign. Misrata, home to some of the most powerful armed groups, supports the GNA but is a separate centre of power
  • In the east General Haftar stokes fear of a Turkish-backed Islamist threat. But Tripoli is 1,000km away. Many of the east’s 2m or so people, though hungry for more autonomy, grumble about the high cost of the war. The LNA consumes a third of the east’s budget. Some 7,000 of its men have been killed in the past year.
  • “We do not approve the statement that Field-Marshal Haftar will now single-handedly decide how the Libyan people should live,” said Sergei Lavrov, Russia’s foreign minister. Russia and others are preoccupied with covid-19 and may be questioning whether access to Libya’s oil is worth all the trouble given lower prices. Still, Russia has sent mercenaries to fight the GNA, and the UAE’s support for General Haftar is increasing.
  • Erdogan, the president of Turkey, is challenging their influence in the eastern Mediterranean. In November he signed a pact with the GNA’s prime minister, Fayez al-Serraj, committing to defend Tripoli in exchange for gas-exploration rights in Libya’s waters. Since then Turkish arms and intelligence, as well as 4,000 fighters from Turkish-controlled parts of Syria, have shifted the balance on the ground in Libya. From the sky Turkish drones have been striking General Haftar’s long supply lines.
  • the head of the UN mission in Libya, Ghassan Salame, bowed out in March. “I can no longer continue with this level of stress,” he said. His successor, as yet unnamed, will be the fourth person to hold the job since 2014. Trying to put Libya back together is an exhausting task
Ed Webb

Cash and contradictions: On the limits of Middle Eastern influence in Sudan - African A... - 1 views

  • In Sudan, the revolutionaries who overthrew President Omar al-Bashir and who continue to organise are well aware of the threat posed by neighbouring Arab countries. Protesters’ murals show the people rejecting the interfering hands of Saudi Arabia and the United Arab Emirates (UAE). One of the most popular chants is “Victory or Egypt”, voicing activists’ determination not to succumb to a military counter-revolution as happened in their northern neighbour.
  • many Sudanese believe that the 3 June crackdown in which scores of protesters were killed only came after the green light from Saudi Arabia, the UAE and Egypt
  • In this struggle between the “Pax Africana” and Arab authoritarians, there’s no doubt that the democrats have the weaker hand. But not everything is going the Arab troika’s way.
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  • Sudan wasn’t following the script of Bahrain, where the demonstrators dispersed after a single crackdown, or Egypt, where the army took control through co-option and repression.
  • A major split between Saudi Arabia and the UAE was on show in July when the latter abruptly withdrew most of its forces from Yemen. No official explanation was given, but the decision was evidently not coordinated with Saudi Arabia, which remains bogged down in an intractable war. The UAE’s decision also shows it can be mercurial and that its policies towards the Horn of Africa may be less strategic and more opportunistic than commentators have assumed.
  • Egypt prides itself on understanding Sudan and sees Saudi Arabia and UAE as newcomers seeking influence solely by dispensing money. Egypt limited its demands on Sudan to handing over Egyptian Islamists in exile, suspending the deal for Turkey to develop a naval base, and ceding its territorial claim to the Halaib Triangle.
  • As Arab countries find themselves pulled in to the internal negotiations among the Sudanese, they will face another potential point of contention. Sudan doesn’t just need democracy, but peace. This means a role for the Islamists both in Khartoum and the provinces. For a decade, the custodian of the Darfur peace process has been Qatar, the troika’s arch rival, and it will be impossible to ignore Qatar’s role or that of Sudan’s diverse constituency of Islamists. Some of these dynamics are already playing out and reveal the lack of a common strategy among the Arab troika
  • After the secession of South Sudan in 2011, Sudan lost 75% of its oilfields and an even greater proportion of its hard currency earnings. The following year, it literally struck gold and within a few years, gold was providing 40% of Sudan’s exports. As much as a third of it, however, came to be smuggled to Libya, Chad or directly by plane to the region’s biggest gold market in Dubai. The government in Khartoum, desperate to control the commodity, responded by using the Central Bank of Sudan as its sole buying agent, paying above the market price to gold traders and printing money to cover this outlay. Buying gold to convert to hard currency became the engine of Sudan’s inflation, which skyrocketed. By 2018, the price of essential commodities such as bread and fuel was so high relative to stagnant wages that the people across the country took to the streets to protest.
  • Hemedti. His RSF militia controls the gold mines and he personally owns a number of concessions. Through Sudan’s monetary policy, vast resources were transferred from wage earners in the centre of the country to militiamen and gold traders in the peripheries
  • Hemedti has also benefited massively from providing mercenaries, which may be Sudan’s second biggest source of foreign exchange today. A few months after the Saudis launched their war in Yemen in March 2015, Sudan volunteered to send troops. The first contingent was a battalion of the regular army, but then Hemedti struck a parallel deal to dispatch several brigades of RSF fighters. Within a year, the RSF comprised by far the biggest foreign contingent fighting in Yemen with at least 7,000 militiamen. Hemedti was paid directly by Saudi Arabia and the UAE for this service. He says he deposited $350 million in the Central Bank, but has not said how much he kept to himself for his own enrichment or political spending.
  • the Central Bank of Sudan has become an instrument for Hemedti’s political finance. And since becoming the central actor in Sudan’s ruling cabal in April, he has exerted an even tighter grip on gold production and exports while moving aggressively into other commercial areas. He has increased the RSF’s deployment in Yemen and sent a brigade to fight in Libya alongside General Khalifa Haftar, who is backed by Egypt and the UAE, almost certainly in return for Emirati financial rewards. Hemedti is also expanding his family business conglomerate, the Al-Junaid companies, and running his political business on the basis of personally handing out cash to key constituents such as tribal chiefs, the police, and electricity workers.
  • none of this addresses Sudan’s macroeconomic crisis: its rampant inflation, rapidly increasing arrears on international debt, and ostracism from the dollar-based international financial system
  • Sudan’s Gulf patrons are bailing out the country with a $200 million monthly subsidy in cash and commodities, but the bailout amounts needed will quickly become too big even for the oil-rich Gulf States’ deep pockets
  • a clash between Hemedti’s political market logic and Sudan’s macroeconomy is looming.  The Sudanese technocrats associated with the FFC are well aware of this, which is why the economists called upon to put themselves forward for cabinet positions have been reluctant to agree. There is a race between Hemedti’s consolidation of power and a re-run of the economic crisis and protests that led to al-Bashir’s downfall.
  • as Sudan’s economic crisis deepens, they will have to turn to the IMF and western creditors for assistance
Ed Webb

Russia's Middle East Gambit - Carnegie Moscow Center - Carnegie Endowment for Internati... - 1 views

  • Russia is out to raise the stakes for U.S. military intervention, which it sees as destabilizing for the world order; to minimize the impact of Islamist radicalism and extremism born out of the Arab Spring; and to try to find political solutions to a host of issues, from the civil war in Syria to Iran’s nuclear issue to post-American Afghanistan
  • In Russian society, the long and painful experience of Soviet involvement in Afghanistan gave rise to what was called “Afghan syndrome,” i.e., shunning involvement, especially with military forces, in the Muslim world. Focused on itself and its immediate neighborhood, the Russian Federation physically quit and then neglected whole regions of former Soviet influence, including the Middle East. It continued selling arms to some of its ex-allies, including Syria, but now on a commercial rather than ideological or strategic basis.
  • Iran turned out to be a responsible neighbor and a useful partner, staying away from the Chechen conflict and even helping Russia negotiate an end to the bloody civil war in Tajikistan
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  • The Syrian civil war, however, has put Russia’s relations with the West, Turkey, the Gulf States, and Israel to a serious test
  • Unlike Europeans and Americans, Russian officials did not expect Western-style democracy to follow secular authoritarianism: What they began to brace for, early on, was a great Islamist revolution engulfing the entire region
  • In the hope of getting Western support for the Russian economic modernization agenda, Moscow decided in 2011 not to stand in the way of a humanitarian intervention in Libya. It was soon bitterly disappointed, however, when the no-fly zone in Benghazi morphed into a regime change in Tripoli. The experience of being used and then ignored by the West has informed Russia’s subsequent stance on Syria
  • From Moscow’s perspective, Assad may be problematic insofar as his methods are concerned—but his enemies constitute a real threat not just to Syria, but also to other countries, including Russia
  • Russia’s image has suffered in many parts of the Arab world, where it is portrayed as a friend of authoritarian regimes and as an ally of and arms supplier to Bashar al-Assad and therefore as a friend of Iran
  • The amount of heavy lifting required from both Washington and Moscow is stunning, and the odds are heavily against success at the new Geneva conference next month, but the alternative to a political settlement is truly frightening. One obstacle is that Russia has insisted in involving Iran in Syria-related discussions, to which the Gulf Arabs and the United States strongly object. Moscow is frequently referred to as Tehran’s ally and advocate. Indeed, Russia has built a nuclear power reactor in Bushehr and has supplied Iran with a range of weapons systems. Russia, for its part, sees Iran as not so much a theocracy bent on developing nuclear weapons to terrorize the region as a power that has been in the region forever and that is likely to play a more important role in the future.
  • the Iranian theocracy has more checks and balances than the old Soviet system
  • Tehran, they think, is probably aiming for an outcome in which it stops at a relatively small step before reaching a nuclear capability and trades its restraint in exchange for dropping all sanctions against it and respect for its security interests
  • According to U.S. diplomats, Moscow cooperates more with Washington on Iran than it is usually given credit for in the mainstream Western media. Unlike many in the United States, however, Russians believe that pressuring Iran has limits of usefulness: Beyond a certain point, it becomes counterproductive, undercutting the pragmatists and empowering the bad guys that one seeks to isolate
  • Russia’s attitudes toward Israel are overwhelmingly positive. Many Russians admire the social and economic accomplishments of the Jewish state and its technological and military prowess. Intense human contacts under conditions of a visa-free regime and the lack of a language barrier with a significant portion of Israel’s population help enormously
  • Putin knows that denying or withdrawing air-defense cover is the ultimate argument he needs to hold in reserve to make Assad buy into a real power-sharing deal
  • Moscow is beginning to step out of its post-Soviet self-absorption. Its main preoccupation is with security—and Islamist extremism features as a primary threat. This is a big issue. By contrast, Russia’s interests in the Middle East are relatively modest. They are centered on oil and gas exploration deals, pipeline geopolitics, and pricing arrangements; other energy opportunities beckon in the nuclear area. While Russia’s position in the regional arms bazaar has suffered in the last decade as a result of developments in Iraq and Libya (and may yet suffer more in Syria), Moscow is clearly determined to stay in the arms business. Finally, as Russia recasts itself as a defender of traditional Christian values as well as a land of moderate Islam, it is discovering a range of humanitarian causes in the birthplace of both global religions.
  • In the energy sector, Russia has accommodated to Turkey’s new role of a regional energy hub but has worked hard to protect its own share of the European Union’s natural gas market
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