According to Western media, the “struggle for the Arctic” is becoming ever more fierce. Moreover, this confrontation is unfolding much faster than expected.
In its recent publication the Swedish Aftonbladet wrote that since “climate change” has made the Arctic “more accessible, countries taking advantage of it to produce more fossil fuels.” Der Spiegel cites American experts as saying that “temperatures [in the Arctic region] are rising twice as fast compared to average statistics”, while permafrost melting in some regions began “70 years earlier” than predicted. Meanwhile, the US Geological Service estimates the Arctic energy reserves at more than 400 billion barrels of the oil equivalent. The Arctic is home to at least 10% of the world’s yet-to-be-discovered oil reserves, “and as much as 25% of gas,” Aftonbladet reports. In addition, in the medium and long-term perspective, the melting of polar ice makes routes through the Northwest Passage and the Russian Northern Sea Route (NSR) more attractive for commercial navigation, as these routes are , in some cases, are 1.5 – 2 times shorter than the currently used ones. As the number of mineral exploration and development projects grows, along with prospects for increasing shipping volumes, there is a need to strengthen security in the region. Therefore, many observers predict a further “militarization of the Arctic”. “The Arctic is a region whose significance is changing the geoeconomic and geopolitical situation in the whole world,” -Bloomberg reports.
The current strategic situation in the region is determined by three main trends. The “return” of Russia, the “re-evaluation” of strategy by the United States and the growing interest in China. In the opinion of some Western commentators, the natural from the geographic point of view dependence of the Arctic region on Russia is a geopolitical problem for Europe, Canada and the United States. Nearly half of the coast and the coastal zone of the Arctic belong to the territory of the Russian Federation and its special economic zone, which yields the country up to 15 percent of GDP. In March 2018, Vladimir Putin described the NSR as “key to the development of the Russian Arctic and the regions of the Far East.” Given that the Russian leadership is fully aware of the challenges associated with such an agenda, Russia’s Decree of May 2018 sets realistic goals: to increase the cargo flow through the NSR by 2024 to 80 million tons. At present, traffic through the Northern Sea Route is considerably less intensive than that through the Suez Canal.
What western commentators are particularly worried about is (quite natural and geographically justified) Russia’s efforts to strengthen its northern borders. Restoration of military infrastructure in the region is being presented as a “return to the Cold War practices.” Moreover, there are open warnings that can be interpreted as threats. The June report of Chatham House says that “Russia should not assume that it can continue to freely develop the Arctic …. At present, Russia is determining the future of military activity in the Arctic. However, it’s time for the West and NATO to secure parity of potential in this region.” “We should not allow Moscow to continue to consider its military activity on the vast expanses of the region decisive”.
In May, the German Frankfurter Allgemeine Zeitung reported that Russia “was already far ahead” of other countries not only in the military, but also in the economic development of the Arctic. Nevertheless, the West believes that the current sanctions that restrict Russian access to oil exploration and production technologies in the severe conditions of the North force Russia to partially change its priorities and focus on developing LNG projects and transport corridors instead. And Russia has been successful at that, they say: the Russian icebreaking fleet is the world’s most numerous and most powerful. Three new ships have already been put into operation, “capable of breaking ice up to three meters thick.” Such icebreakers will allow Russia to redirect part of the world’s transport routes to the NSR in the foreseeable future. And by using ice-class LNG tankers, which are currently under construction, Russia gets the opportunity to “deliver gas to customers around the world”, without being dependent on the existing pipeline systems, Stern writes.
The United States is also showing interest in the economic opportunities which spring up as the polar ice melts. The incumbent administration has reversed Obama’s decision, banning the drilling of test wells off the coast of Alaska. Donald Trump “pays a lot of attention to the Arctic in words but take little action to this effect,” Bloomberg says, describing the Bering Strait as “a potential Persian Gulf of the future.” Meanwhile, the US practical potential in the Arctic is still limited: it has 1-2 icebreakers, while Russia has 14. So far, there is no program for the development of the region: recently, Trump gave up on his initial plans to build new icebreakers.
In the meantime, many American experts believe that security remains Washington’s top priority in the Arctic. The Arctic joins together North America, Asia and Europe. Through this region, military experts fear, lies the shortest route for potential missile and air strikes against America from the Northern Hemisphere. Thus, Washington plans to strengthen missile defense and aviation forces. And this is not a new strategy. Back in January 2007, the United States adopted Directive No. 66 on National Security, which declared the presence of “broad and fundamental” interests in the Arctic region. It signals readiness “to act either independently or jointly with other states in order to protect these interests.” In 2012, the US Secretary of State described her country as “a leading state in the high latitudes of the planet,” and Norway, a NATO ally, as “the capital of the Arctic”. Last October, Norway hosted the largest NATO military exercises since the end of the Cold War, called Trident Juncture, with the participation of up to 40 thousand servicemen from all countries of the alliance, as well as military personnel from two northern countries that are not members of NATO – Sweden and Finland. US Secretary of State, Mike Pompeo, recently described the Arctic as an “arena of rivalry between world powers.” Pompeo did not forget to blame Russia for planning to “use force”, and China – for demonstrating a “model of aggressive behavior.” All this dispels any doubts that for NATO, the Arctic is becoming a strategic scene of military activity.
In addition to the United States, NATO maintains its presence in the Arctic region through its two other members, Canada and Norway. The latter owns the strategically important Svalbard archipelago. At the same time, there is mutual understanding among countries that are members of the Arctic Council regarding the importance of resolving security issues “solely between them.” Nevertheless, “Russia in Global Politics” remarks, the presence of an extensive and well-developed legal framework for regulating the Arctic does not prevent “an increasing number of countries” from trying to provide cooperation in the region with a wide “international dimension”.
In particular, the European Union has not been giving up on attempts to obtain the status of observer with the Arctic Council. While doing so, the EU has consistently cast doubt on the legal status of the NSR as a Russian national transport artery. The EU is also advocating an exceptional priority of norms of international law in the Arctic, primarily the 1982 UN Convention on the Law of the Sea, while “deliberately forgetting” about the country level of regulation. In contrast to Russia, the EU is pursuing ambitious plans for the development of a transport hub in Kirkenes, which is seen as an alternative to the ports of the Russian NSR. In 2018, the Norwegian city became the terminating point of a railway route from Europe to the Arctic. According to the Arctic Corridor Project, the route is to be built from the northern coast of Norway to the planned tunnel under the Gulf of Finland to Estonia, and then across Europe to Berlin. By connecting the Arctic Corridor with a transit route through the NSR, the EU hopes to transform Kirkenes into a major logistics hub for Chinese goods which are planned to be transported to Europe as part of the Polar Silk Road Project. But critics of this project rightfully fear that if the EU becomes an observer of the Arctic Council, it could provoke similar claims on the part of NATO.
China declared its interests in the Arctic in 2013, when it joined the Arctic Council as an observer. Such a move sent the West into bewilderment. According to the Pentagon, Beijing artificially “appropriated” the status of an “Arctic state”. However, China has already opened research stations in Iceland and Svalbard with a view to explore the Arctic. In January 2018, Beijing unveiled the White Paper titled China’s Arctic Policy. An analysis of the text gives grounds to consider Beijing’s approach a multi-faceted one. On the one hand, the document contains passages that suggest China’s readiness to recognize the legal priority of the Arctic countries, their national level of regulation in the Arctic. However, some passages echo the point of view of the United States.
At present, China is promoting the above mentioned concept of the “Polar Silk Road”, which aims to provide it with natural resources and alternative shipping routes for export purposes. According to estimates by the Chinese Institute for Polar Research, Arctic routes will account for 5 to 15 percent of China’s foreign trade by 2020. Western experts are keeping a close eye on the progressive development of cooperation between China and Russia. Investors from China own shares in a number of large-scale industrial and infrastructure projects implemented by Russia beyond the Arctic Circle. One of such projects is Yamal-LNG, the gas reserves of which are estimated in the West higher than at “all US gasfields.” According to Frankfurter Allgemeine Zeitung, “China’s ambitions in the region do not seem to disturb Moscow yet.” Moreover, Russia is counting on Chinese investment in the NSR.
The main “battles” around the status of the Arctic are unravelling in the legal sphere. The debate is centered on two issues: the external borders of the continental shelf and its delimitation in the central part of the Arctic Ocean, and freedom of navigation. The legal position of the Russian Federation, backed by geography, gives a “broad” definition of the boundaries of the NSR, explaining that this route follows more than one way and is not fixed. Russia’s main foes on this issue are the United States and the EU. They do not recognize the priority rights of the Arctic states, primarily Russia and Canada, to regulate shipping in Arctic waters. Moscow’s decisions to introduce a permit procedure for the passage of foreign ships and, in particular, warships, as well as a mandatory use of Russian icebreaking and piloted convoys, are considered as a loose interpretation of Art. 234 of the 1982 Convention.
In general, despite the fact that Russia and the United States have potentially common interests related to the desire of the polar countries to avoid “internationalization” of regional regulation issues, the Arctic is becoming another point of discord in a series of geopolitical differences around the globe. In May this year, the Arctic Council “for the first time in its history” failed to agree on a declaration on the results of its meeting. According to one report, the US opposed the clause on “the need to comply with the Paris Climate Agreement”. According to other reports, this was because the US accused China of promoting its economic and military interests in the region in an “inappropriate way”.
Moscow is fully aware of the gains from the development of the Arctic at a qualitatively new level. The Russian leadership is also aware of the fact that this will require multibillion investments over many years. Not to mention efforts that will be required for the protection of national interests in one of the least developed regions of the planet. Russia’s consistent position on this issue will undoubtedly yield economic fruit over time, but this fruit will have to be fought for.
From our partner International Affairs
Meet Mikhail Mishustin, Russia’s new Prime Minister
Plucked from obscurity and little known in wide national political scene, the Head of the Federal Tax Service, Mikhail Mishustin, to become the new Prime Minister was a complete surprise, but not the first time in Russia’s politics. President Vladimir Putin was pulled upto the top political field, in a similar way, by Boris Yeltsin. In August 1999, Putin was appointed one of three First Deputy Prime Ministers, and later on, was appointed acting Prime Minister of the Government of the Russian Federation by Yeltsin.
Yeltsin announced that he wanted to see Putin as his successor. Readily, Putin agreed to run for the presidency and later approved by State Duma with 233 votes in favor (vs. 84 against, 17 abstained), while a simple majority of 226 was required, making him Russia’s fifth PM in fewer than eighteen months.
On his appointment, few expected Putin, virtually unknown to the general public, to last any longer than his predecessors. He was initially regarded as a Yeltsin loyalist, like other prime ministers of Boris Yeltsin, Putin did not choose ministers himself, his cabinet was determined by the presidential administration.
Now, with a new chapter opening, Mikhail Mishustin eventually replaces Dmitry Medvedev who served as Prime Minister until mid-January 2020. Putin and Medvedev worked together and even switched positions between President and Prime Minister. This switch was termed by many in the media as “Rokirovka”, the Russian term for the chess move “casting” and later Medvedev said he himself would be ready to perform “practical work in the government” with under Putin.
On January 15, in his address to the Federal Assembly, Putin explicitly explained: “Our society is clearly calling for change. People want development, where they live and work, that is, in cities, districts, villages and all across the nation. The pace of change must be expedited every year and produce tangible results in attaining worthy living standards that would be clearly perceived by the people. And, I repeat, they must be actively involved in this process.”
Meeting with the Cabinet thereafter, Putin said: “For my part, I also want to thank you for everything that has been done so far in our joint work. I am satisfied with the results of your work. Of course, not everything was accomplished, but things never work out in full.” He thanked the government and added that Medvedev served as President and for almost eight years now he has been the Prime Minister, which is probably the longest stint in this post in Russia’s recent history.
Further, Putin held a separate working meeting with Head of the Federal Taxation Service Mikhail Mishustin and proposed him to take the post of Prime Minister. Having received his consent, the President submitted the candidacy of Mikhail Mishustin for consideration to the State Duma.
On January 16, the State Duma (lower house) endorsed Mishustin, as the new Prime Minister of the Russian Federation. As many as 383 lawmakers supported Putin’s choice, none were against, and 41 parliamentarians abstained. “Colleagues, the decision has been taken. We have given consent to the appointment of Mishustin Mikhail Vladimirovich as Prime Minister by the president of the Russian Federation,” Duma Speaker Vyacheslav Volodin said, summing up the results of the vote.
President Vladimir Putin has signed a decree appointing Mikhail Mishustin as the country’s Prime Minister. “In accordance with Article 83(a) of the Russian Constitution, Mikhail Vladimirovich Mishustin is appointed as Russia’s Prime Minister,” says the decree published on the Kremlin’s website. The decree comes into force on the day of its signing.
Mikhail Mishustin was born on March 3, 1966 in Moscow to a father of Russian-Jewish origin and a mother of Russian origin. He completed postgraduate studies in 1992. He is married and has three sons. His interest is in sport, playing ice hockey. He is a member of the supervisory board of HC CSKA Moscow.
In 2003, he defended a thesis, headlined “Mechanism of state fiscal management in Russia” and received a PhD in economics. In 2010, he received a doctoral degree in economics at the Academy of National Economy under the Government of the Russian Federation (currently Russian Presidential Academy of National Economy and Public Administration).
Since graduation, he has worked in several enterprises. In February 2009, he joined the personnel reserve of the President of Russia. In 2010, Mikhail Mishustin was appointed as the Head of the Federal Tax Service (FTS). From 2011-2018, he was a member of the Presidential Council for Financial Market Development.
During this period, the tax service was criticized for its overly strict approach to business, and Mishustin rejected this accusation, citing a significant reduction in the number of inspections. So, with the arrival of Mishustin in 2010, the Federal tax service changed its approach to the organization of control events, focusing on analytical work.
As a result, the number of on-site tax audits has sharply decreased, while their efficiency has increased. If earlier every tenth taxpayer was checked, in 2018, the tax authorities checked only one small business company out of 4,000. The number of inspections of large and medium-sized businesses has also decreased significantly.
“This candidacy comes absolutely unexpectedly, but that does not mean he is a figure who brings about repulsion. Perhaps even the contrary. Not all fiscal heads are likeable and agreeable. In my view, Mishustin is largely seen by the public as agreeable,” Federation Council Deputy Speaker Ilyas Umakhanov told Interfax News Agency.
“This is yet more proof that our president relies on professionals at this difficult, critical moment when the country needs a qualitative leap, primarily in the economic sphere. This is down to new technology, digitalization; this is precisely where Mishustin made a mark as the Russian tax chief. He has huge experience under his belt, which has been embedded into the system,” added Umakhanov.
First Deputy Head of the Federation Council Committee for the Budget and Financial Markets Sergei Ryabukhin, for his part, described Mishustin as a very successful public administrator. “A top professional, a very big statesman and individual who has achieved great successes within the system of public administration in the tax and financial sphere. I think his is a good candidacy,” according to Ryabukhin.
According to experts, the surprise shake-up could have been triggered by launching a reset of the Russian political system and the upcoming power shift. Political Analyst Konstantin Kalachev believes that Putin’s decision to pick Mishustin as the new premier is related to his political neutrality, and he is also known in the business and corporate community. However, the new head of the government is unlikely to become Putin’s successor.
All officials interviewed by Vedomosti have described the choice as a surprise but a good one. Taxation is the only sector that has demonstrated a breakthrough in Russia’s state administration. The Russian Tax Service is one of the best in the world in terms of collecting taxes and developing technologies, an official linked to the financial system said. Mishustin is well-known in the government as a good administrator and his service was a lifesaver during the crisis, according to several media reports.
Mishustin is tasked with fulfilling Putin’s economic program, namely the National Projects to the tune of 26 trillion rubles ($424 billion) up to 2024. The program’s slow implementation and weak economic growth were among the reasons Medvedev’s government came under fire, the paper says. Mishustin’s major achievement is turning the tax-collecting agency into a service tool, said Partner at Taxology Alexei Artyukh.
He reformed the administration of major taxpayers and businesses can coordinate deals in advance in exchange for the Federal Tax Service’s access to companies’ accounting systems. If these approaches are extended to other services, this would result in huge progress, Alexei Artyukh said.
Kommersant, a local Russian newspaper, reported that Russia would remain as a strong presidential republic, and all the upcoming changes are linked to the the upcoming presidential election in 2024. Unreservedly, Mishustin stated during a plenary session of the State Duma that Russia has sufficient funds to achieve all goals set by President Vladimir Putin. Implementation of all the social obligations the president enumerated in his State of the Nation Address would require $64.8 billion.
Russia, with the largest territory in the world, has a wide natural resource base, including major deposits of timber, petroleum, natural gas, coal, ores and other mineral resources that can be used to support the expected economic development and raise the overall living standards of the population.
INCORVUZ-XXI: Past, Present and Future
In the Soviet days, many foreign countries especially in Asia, Africa and Latin America trained their professional and specialists in the Soviet Union. It contributed to human resource development for these countries. According to information made available, the higher educational institutions of Russia and the former USSR trained over 700,000 foreign specialists (excluding graduates of military educational institutions).
The creation of associations of foreign graduates began in the second half of the 1960s, when the first national associations were formed in Sri Lanka (1966) and Nepal (1967). In the 70s, this process accelerated, associations were established in Lebanon, Mongolia, Ghana, Morocco, Finland and other countries.
Currently, national associations of graduates exist in nearly 70 countries, including the Commonwealth of Independent States (CIS), for example in Azerbaijan, Armenia, Belarus, Georgia and Kazakhstan), so also in Asia, Africa and Latin America.
The need to coordinate the activities of graduate associations, therefore started in the late 1980s and was realized as a result of the creation in 1989 of the International Corporation of Graduates of Soviet Educational Institutions, simply referred to as Incorvuz. Decree of the Council of Ministers of the USSR No. 483 of May 17, 1990. The regulation on the Corporation’s activities in the USSR was approved and its status as an international non-governmental organization was consolidated.
Corporation laid the foundations for interaction with national associations of
graduates and developed the main forms of work. In February 2001, in accordance
with the Law of the Russian Federation “On Non-Profit Organizations”, the
non-profit partnership “International Coordinating Council of Graduates of
Educational Institutions (INCORVUZ-XXI)” was established instead of Incorvuz
Currently, the partnership includes national associations of graduates from 38 countries of Asia, Africa, the Middle East, Europe, and Latin America. Chairman – Academician Kostomarov V.G., Deputy Chairman – Ex-Deputy Minister of Education of the PRC Liu Limin. The leadership of the Council since 2015 includes the Alumni Associations of Vietnam, the Dominican Republic, the Arab Republic of Egypt, Jordan, China, Lebanon, Poland and Ethiopia.
in official consultative relations with UNESCO, has special consultative status
of the UN Economic and Social Council, it cooperates and has contractual
relations with international, foreign and Russian state and public bodies.
Over the years, the key focus has been the examination of documents on education, academic degrees and advanced training courses received by foreign citizens in universities of the Russian Federation and the issuance on their basis of relevant certificates of international recognition in accordance with the provisions of the UNESCO Conventions.
INCORVUZ-XXI regularly organizes and holds cross exhibitions of higher education in Hubei Province (China), in Moscow (2014) and exhibitions of Russian universities in Wuhan (China) in 2015. It participated in the unveiling of a monument to A.S. Pushkin, the famous Russian poet, in the city of Agadir (Morocco) in 2015, participated in organizing and conducting regional meetings of graduates in Ulan Bator and Amman (2016), the Forum of People’s Diplomacy in Belgorod (2016).
The global movement of foreign graduates of Russian universities is expanding due to new participants. In recent years, members of the organization have become national associations of graduates of Algeria, Israel, Uganda, Belgorod State University Alumni Club. The number of individual partners participating in the INCORVUZ-XXI Alumni World League Program is growing. Events dedicated to the 50th anniversary of the Nepal Alumni Association (Mitra Kunj) were held in a festive atmosphere.
Despite its achievements, there are challenges that face the organization.
As always, the planning and
implementation of new projects are strictly limited by the financial
capabilities of an organization that exists on the basis of self-sufficiency.
Unfortunately, national associations of graduates in all regions of the world
are experiencing an increasing shortage of personnel, because a new generation
of graduates prefers virtual communication, which in turn leads to a loss of
continuity in work and damages the activities of public organizations.
The strategic vision for organization’s further development, among others, is the Partnership Board hopes for success in the ambitious task of creating an African Regional Union of National Alumni Associations. The problem has remained very relevant for many years, because previous attempts to organize and hold such a forum, first in the Congo and then in Ethiopia, have remained unrealized. INCORVUZ-XXI would very much like to see as many representatives of the African region, as possible, among the participants in various on-going projects, so also Soviet and Russian graduates in regions of Asia and Latin America.
Will Russia become the brother in arms with Iran?
The killing of Iranian leader of famous Quds force Gen.Qasem Soleimani in Bagdad seems to have made an apocalyptic move in the beginning of this new decade as some critics have already viewed this incident similar to the the assassination of Austrian crown prince Duke Franz Ferdinand in Sarajevo which paved the path to the First World War in 1914. Perhaps, the assumption could be an exaggeration with the balance of power in the world in early 20th century and now, but certainly the aftermath consequences of death of Soleimani could escalate severe political turmoil that might lead to a grave crisis. The deteriorating relations between Iran and the US in past months have clearly suggested that the killing of Soleimani was not entirely an abrupt situation, but a culminating act of a serious of disturbing events between the two countries. The statement issued by Iranian supreme leader vowing to revenge indicates the wounded pride of a nation, yet the it is disputable whether Iran would retaliate without concerning the strength of the US war machinery that could bring catastrophic effects to the whole country. However, it is a fact beyond doubt, Iran is a regional power with a strong war machinery which has been trained for any military encounter for years and this military and technological sophistication have made Iran a unique example from any country that the US had gone to war since the end of Second World War. But, it seems to indicate that Iran is likely to choose asymmetrical escalation through using proxies or small group attack on American targets to deter Washington.
On the other hand, the main assumption that has fascinated many armchair critics is that Russia will unconditionally assist Iran in any military campaign against the USA. This argument can be bolstered by examining the political affinity between Teheran and Moscow in the recent past. In particular, when Iran was threatened by Trump in last May, it was Moscow who made an official statement in supporting Teheran and also Russia is clearly aware of the importance of keeping Iranian regime without allowing external forces to cripple it, because Iranian stability is a paramount factor of deterring the US and its involvement in the middle east. More importantly both Moscow and Tehran have strengthened their ties for common cause of protecting Assad’s regime in Syria. Furthermore, Russia’s recent involvement in global politics from its relative passivism during Yeltsin’s era have given a signal to its ultimate ambition becoming a global player. This agenda was brought by president Putin in 2007 in his Munich speech showing his antipathy over a “unipolar” world, in other words his denial of US domination in word politics. The audacious conduct of Iran and its military mechanism as a strong state is Russia’s major knight in the Middle East that Moscow does not want to lose. In fact, it was just several days before the killing of Soleimani Iranian, Russian and Chinese naval forces conducted a joint naval exercise in Gulf of Oman. Also deceased general Soleimani was regarded by Moscow as an astute strategist who played a cardinal role in making Russian military presence when Syrian army was in a decaying stage in 2015. Russia’s air strikes finally changed the game and Soleimani made one more visit to Moscow in 2017, this reportedly was to discuss Russia’s bilateral cooperation with Sunni monarchies in Persian Gulf. This background is a good evidence to suggest the dismay of Iranian general to a major blow to Moscow as a loss of a shrewd strategic thinker who could have been further used as a proxy for Russian involvement in the middle east.
However, still it is bit of a hyperbolic assumption to think that Moscow would directly lead her armies to support Iran or encouraging such a military confrontation between the US and Iran. Regardless Moscow has been vociferous in criticising the macho gesture of Trump administration for killing Soleimani, so far it has maintained its silence of what Russia will really do about it. Unconditional military pact with Tehran seems to be a fancy idea to revive old Soviet super power status as how it protected Cuba, yet the political reality piercing Moscow is something bitter. It convinces that any military confrontation Teheran world launch against the US will be devastating blow that would simply weaken the Iranian regime and this will lead to undermine Iran’s role in supporting Assad’s regime. Furthermore, the rapport built by Moscow in the Middle East with Iranian rivals such as Saudi Arabia, UAE and even Israel can become adversaries again leading to an unmitigated disaster of Putin’s grand strategy of keeping ties with American allies in the middle east. These circumstances will create twilight scenario to assess any possible moves by Moscow. Another notable factor emerged after the death of Soleimani is the rapid increase of the oil price as the price of a barrel jumped from 2 US dollars to 69 US dollars and being one of prime oil producers this situation has created a sudden financial benefit for Russia. All in all, Russia’s next move would not definitely be a blatant military assistance to Teheran as a brother in arms. But, Russia is likely to play a key role through its diplomatic means to impede any crisis that would be detrimental to its ally Iran.
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