The last few weeks have turned our world upside down. It seems like a lifetime ago that we were going about our everyday business. But by now, some of you reading will have had symptoms, many of you will know someone who is sick and every single one of us are worried about our loved ones.
But what is unique about the situation we are in is that all of us are part of the solution: all of us as citizens, but also companies, cities, regions, nations and the whole world over. Yes, it is true: Europe was initially partly blindsided by an unknown enemy and a crisis of unprecedented scale and speed. This false start is still hurting us today.
But Europe is now standing tall together. And that is being driven by a surge of compassion across our Union. In the last weeks, we have seen retired doctors and nurses answer the call of duty and millions more volunteer to do anything they can to help. We have seen restaurants deliver food to exhausted medical staff, designer labels make hospital gowns and car makers turn into ventilator producers.
That solidarity is infectious – and it is at the heart of our Union. Thanks to that impulse the real Europe is back. The one that works together to do what none of us could do alone. The EU is now delivering and is working flat out every day to save every life we can, to protect livelihoods and kickstart our economies.
In the last weeks, we have taken measures which would have been unthinkable only recently. We have made our state aid rules more flexible than ever before so that businesses big and small can get the support they need. We have relaxed our budgetary rules more than ever before to allow national and EU spending to go quickly to those that need it. This has helped EU institutions and Member States put up €2.8 trillion to fight the crisis – the strongest response anywhere in the world.
And this week the European Union went one step further. We have proposed a new scheme called SURE to make sure that people can keep their jobs and their incomes, as well as ensure that businesses can stay afloat while we hibernate. The scheme will provide €100 billion to help governments make up the difference if your company has had to reduce your hours – and it can support the self-employed too. This will help those in need to pay their rent, bills or food and keep other businesses alive in the process.
And to step up the fight to save lives, we have also decided to put every cent of the remaining money in this year’s budget into an emergency instrument to help secure vital medical equipment and scale up testing.
This reflects the fact that in this crisis there can be no half-measures. And that will be the case for years to come as we seek to lift our economy out of the crisis valley. To do this, we will need massive investment in the form of a Marshall Plan for Europe. And at the heart of it should lie a powerful new EU budget. The advantages of this are obvious: the EU budget is a proven instrument of solidarity and modernisation. And with its seven-year term, it creates certainty for investors and reliability for all parties involved.
But just as the world looks very different from the way it did just a few weeks ago – so must our budget. It must be there for the time when economies weakened by the current crisis will need to spark their engines and get our unique internal market going again.
The billions and trillions being spent today to avert a greater disaster are an investment in our future protection and they will bind generations. This is why the money in our next budget must be invested in a smart and sustainable manner. It must help preserve what is dear to us and renew the sense of belonging amongst Europe’s nations.
And crucially we need to invest strategically in our future, for example for innovative research, for digital infrastructure, for clean energy, for a smart circular economy, for transport systems of the future. A Marshall Plan of this nature will help build a more modern, sustainable and resilient Europe. This is the Union that I believe can emerge from this – just as it did after we every crisis in our history.
And this enormous effort, this new Europe, will need one thing more than any else: The people of Europe must want a common future where we stand up for each other.
What I see around Europe today shows the way and it fills me with pride. The future of Europe is the Polish doctors going to Italy. It is Czechs sending 10,000 masks to Spain and elsewhere. It is the airplanes that fly sick people from northern Italy to eastern Germany or the trains that bring people across borders to be treated in free intensive care beds. It is the Bulgarians who send protective equipment to Austrians, and Austrians who send masks to Italy. It is the first common European stock of medical equipment, or the respirators and test kits purchased together by almost every country, from Romania to Portugal, to be sent to Spain, Italy and elsewhere. The power and solidarity of this Union was also felt by thousands of Europeans who were stranded in Vietnam, South Africa or Argentina and were flown back home on a European ticket.
With each one of these acts of solidarity, Europe rises back up that little bit more. And I am in no doubt that before long Europe will be back up on its feet. Together.
This article was also published in several European media.
Europe’s relations with Africa and Asia are on the brink of collapse, and Russia is benefiting
More than one year since the beginning of the war in Ukraine, the world remains caught in the middle. Against a backdrop of high energy and food prices, ravaging inflation, social unrest and fears of another global recession, Western and Russian blocs are once again vying for support from nations of the developing world.
Emmanuel Macron, Olaf Scholz, Sergei Lavrov, Qin Gang, and Anthony Blinken are just some of the names that have made high-profile visits to Africa in the last 12 months. All have largely focused on cooperation and trade, yet each has done so with a discourse reflecting a kind of Cold War reboot, with Ukraine as one of its most prominent symptoms.
Each in their own way, armed with their respective propaganda, these superpowers wish for nations of Africa and Asia to pick a side. Yet, unlike the previous century, those nations cannot so easily be made to choose, nor should they have to. Russia understands this. The West does not.
It’s no secret that Africa has been reluctant to overtly condemn Russia’s actions in Ukraine, or to participate in Western efforts to sanction and isolate the warring country. Instead, African and Asian nations have continued to welcome these longstanding partners with open arms – widely condemning the war, but not Russia.
In Malawi, for instance, Russia’s deliveries of tens of thousands of tonnes of fertiliser amidst global shortages are seen as a gift from heaven by struggling farmers. Malawi’s minister of agriculture shook hands with the Russian ambassador, describing Russia gratefully as “a true friend”. Russia’s announced plans to send 260,000 tonnes of fertiliser to countries across Africa, is certain to spread similar sentiments.
In my country Congo-Brazzaville, the government signed five major cooperation agreements with Russia in the midst of its war with Ukraine, including for the construction of a new oil pipeline and to enhance military cooperation.
This charm offensive, prominently led by Russian foreign minister Sergei Lavrov, who has visited South Africa, Eswatini, Angola, Eritrea, Mali, Sudan and Mauritania just since January, is already nourishing pro-Russian sentiment throughout the continent, and stands in sharp contrast to the damp squib that was President Emmanuel Macron’s recent African adventure.
In his press conference with Democratic Republic of Congo (DRC) President, Felix Tshisekedi, in what was perhaps the most deaf-tone faux pas of his entire trip, President Macron was repeatedly asked to condemn Rwanda’s support for M23 rebels causing havoc in eastern DRC – a situation that closely resembles Russia’s covert support for Donbass separatists in recent years. For all intents and purposes, he failed to do so.
Instead, when a French journalist quizzed him on former Defence Minister Jean-Yves Le Drian’s disparaging mention of an “African-style compromise” in relation to President Tshisekedi election in 2019, Macron proceeded to lecture the Congolese President on freedom of the press – much to the disbelief of those witnessing the scene.
Despite President Macron’s effusive rhetoric about ‘new relationships’ and ‘new starts’, his outburst was yet another bitter reminder of Europe’s longstanding paternalistic and dissonant attitude towards the continent. This is the same attitude whereby decades of European political and military influence on the continent have failed to generate meaningful progress when they did not actively undermine those efforts. Africans are wise to this and refuse to take it anymore, as evidenced by the growth in anti-French sentiment in West Africa. Russia, China and others, though far from being without reproach, are merely seizing the presented opportunities.
Just as the share of EU aid going to Africa has declined significantly, similar problems are afoot with Europe’s relations in Asia. Its share of Southeast Asian merchandise trade, excluding China, fell by over a third over the last two decades. Western Europe was the destination for less than a tenth of Malaysian, Singaporean, South Korean and Taiwanese exports in 2021. Russia is again moving fast to fill the gap, adopting China as its main trading partner, and consistently exporting oil and gas to eager Asian buyers, rather than to the West. When Russia suspended its double taxation treaties with “unfriendly” countries around the world in mid-March, most Southeast Asian countries were exempted from this measure.
Moreover, Russia has over the last decade become the largest arms supplier to the region, recently running joint naval exercises with the Association of South-East Asian Nations (ASEAN). Indonesia, the Philippines and Malaysia have all rejected imposing sanctions on Moscow, whilst Malaysia signed a memorandum of understanding with Russia to improve agricultural trade earlier this year.
One cannot fault these nations for engaging in partnerships and cooperation with international partners, in the interest of addressing their most urgent societal priorities. Nor can one fault African and Asian countries for taking with a pinch of salt a discourse on international values and change, when this supposed change stems not from recognition of current flaws, but from the impositions of emergent global trends.
What lessons can be given about territorial integrity and justice, when the events of 2011 in Libya, as well as their enduring consequences, remain traumatically fresh in African minds, or when the posture of African countries relative to the war in Ukraine is almost identical to that of Europe relative to the conflict in the eastern provinces of the DRC?
What lessons should be drawn from European courts proceeding to the seizure of Malaysian assets and properties worth $15 billion – including lucrative oil and gas assets – based on a questionable arbitration authorised by a Spanish arbitrator facing criminal prosecution from the Spanish authorities? And who will really benefit, given that this claim on sovereign territories, derived from a mid-nineteenth agreement between a long-vanished Sultanate and a colonial-era British company, is funded by unknown third-party investors?
The willingness of European courts to confiscate the resources and assets of a sovereign Asian nation on such flimsy grounds is not lost on observers in Africa and across the developing world.
Whatever the answer to these questions may be, it is evident that relations between the old and new worlds will continue to strain as long as underlying assumptions and beliefs do not evolve. Specifically, change is needed in those attitudes that continue to consider developing nations as oblivious to the many contradictions of rhetoric and practice that characterise the world as we know it – whether in terms of: a system of aid and trade that nourishes the imbalances and ills it purports to address; a discourse on international law and values that crumbles in the face of past transgressions and current drives for reforms; or even negotiations on climate finance in which urgency stops when economic interests begin.
The Western world can only reverse this trajectory by seeking out a genuinely new footing in its relations with the countries of Africa and Asia – challenging its own assumptions and understandings about what a respectful partnership between equally legitimate nations truly means. This is not about paying lip-service to ideals struggling to remain convincing, nor is it about entirely conceding these ideals on the altar of economic pragmatism.
Rather this means accepting a due share of responsibility for the current state of affairs, understanding expectations for the future, being willing to make real concessions, and aligning discourse with dollars and deeds. In doing so, the Western world will reassure those of us that continue to believe in the promises of the UN Charter and Universal Declaration of Human Rights, that these were not merely pretences to maintain hegemony in the face of existential threats, but rather an enduring vision for a better world that remains worth fighting for today.
A Muscular U.S. Foreign Policy and Changing Alliances
Imagine a country rich in fossil fuels and another nearby that is Europe’s premier industrial power in dire need of those resources — is that a match made in heaven?
Not according to Joe Biden who quashed it as if it was a match made in hell. Biden was so much against any such rapprochement that to end all prospects of a deal, he ordered the bombing of the Nord Stream pipelines. Two out of four lines were severely damaged, about 50 meters of them and Russia chose not to conduct repairs. Instead,it is pumping its gas up through Turkey.
So far, Russia has not responded to this act of war but a leader can not afford to lose face domestically or internationally, and one may not be surprised if an American facility or ship suffers an adverse event in the future.
In the meantime, Russia has become fast friends with China — the latter having its own bone to pick with Biden. China, a growing industrial giant, has almost insatiable energy needs and Russia stands ready to supply them. An informal deal has been agreed upon with a formal signing ceremony on March 20, 2023.
So who won this fracas? Russia gets to export its gas anyway and China, already generating the world’s highest GDP on a purchasing-power-parity basis, has guaranteed itself an energy source.
Of course there is Ukraine where Biden (like the US in Vietnam) is ready to fight to the last Ukrainian. Despite a valiant resistance, they are not winning, for Russia continues to solidify its hold on Ukraine’s east, most recently by taking Soledar and capturing parts of the transport hub Bakhmut itself.
And then there is Saudi Arabia: hitherto a staunch U.S. ally, it is now extending a hand of friendship to Iran, which its previous king used to call the snake in the Middle East. But Saudi Arabia is keenly aware of the vassal-like manner in which the U.S. has treated Germany, its ally with the largest economy in Europe, over its desire to buy cheap gas from Russia. The deal was nixed and observers estimate it cost Germany a couple of points of GDP growth. Such a loss in the U.S. would translate to almost zero growth.
India used to be a neutral country between the great powers. In fact, its first leader after independence, Jawaharlal Nehru, was a leading figure in the non-aligned movement. It is now being tugged towards the US.
The latest tug is ICET or the initiative on Critical and Emerging Technologies. Its purpose is to find ways to engage through “innovation bridges” over the key areas of focus. This coordination between the two countries is to cover industry, academia and government.
On the other hand, India’s arch rival Pakistan used to be in the US orbit for decades. Now it is virtually a Chinese client state even though for a time, particularly during the Afghan war, it was a source of much help for the US.
Such are the vagaries of alignments in a multi-polar world, particularly when under pressure from major powers.
Adoption of the controversial pension reform bill in France
On Thursday, 16th March 2023, the senate adopted the pension reform bill with 193 senators voting for the project and 114 senators voting against it. A few hours later, after many meetings of key figures of the government and the Renaissance party –the governing party – , it was decided that the National Assembly was not going to vote for the bill but rather the government would use the famous 49.3, an article of the 1958 constitution which allows the prime minister to have a bill adopted into law without a vote. The Senate and the National Assembly – through a joint committee – had agreed on a compromise text of the bill the day before the crucial vote in the Parliament. The project was so important to President Macron that he threatened to dissolve the National Assembly if the project did not go through. Some analysts saw this threat as way of inducing members of the National Assembly to adopt the project rather than put into jeopardy their political careers. Politicians like Christian Estrosi, mayor of Nice, a staunch republican, claims members of the National Assembly had to vote the bill because they should be convinced that it is the best thing to do right now for a sustainable pension system in France.
When President Macron was elected in 2017, he pledged to change the pension system in France for he believed that it was unjust and that it would be difficult to sponsor it in the years to come since more people will be going into retirement. It is believed that those aged 65 will be more than the under 20 come the year 2030. Macron did not carry out the reform in his first term in office after meeting with different resistance like the one of the Gilets Jaunes; he probably feared it may cost him the second term. Once the first term was over, he was most probably determined to carry on simply because he is not scared to lose, his second term being the last one. The pension reform has been heavily contested, with polls in February 2023 suggesting that 65% of the French people are against it.
The reform moves the retirement age from 62 to 64 years. The change will be carried out progressively with 3 months added each year to make it two years in total in 2030. To have fully contributed to the retirement insurance one will have worked 43 years. People working in relatively hard industries like the police, firefighters, garbage collection will still be able to retire early. However, those who entered the career late like those who had long studies will have to work until 67 years. Disabled people could still go on retirement at the age of 55 while those who have suffered disability along the way could retire at the age of 60.
With the new bill having become a law, those who will have a complete career (43 years) will not receive less than 85% of minimum wage (i.e. 1200 Euros gross salary). Furthermore, the government believes it will be able to save 17.7 billion Euros by 2030 with the new pension system. According to the government, increasing the retirement age was the fairer way than increasing taxes especially that people are believed to live longer than in the past.
The left parties (La France Insoumise LFI, Les Socialistes, Europe Ecologie-les Verts) have made it difficult for the bill discussion especially in the National Assembly by proposing thousands of amendments to delay the voting process and even derail it. This is probably why the government feared to lose the vote and decided to invoke 49.3. The government doesn’t have the outright majority and has had to rely on the right party (les Républicains LR) to have the reform bill voted in the Senate but some of Renaissance members of the National Assembly were reluctant to vote for the bill and some LR members had said they would abstain, leaving the ruling party with no other choice than to use 49.3. The Prime Minister suggested that “the reform is necessary” and she was taking responsibility by invoking 49.3.
The reform bill was so unpopular that there have been protests for months spearheaded by the Union of workers who mobilized workers across many industries (i.e. energy, transport) and public institutions (e.g. education). Millions of people have been on the street, a reminiscence of 1968, when students spearheaded strikes in which 10 million of people took to the street to make request which resulted, inter alia, in the 35% increase of minimum wage. The objective of protestors against pension reform bill had been to make the government withdraw the entire project because they believe it is unjust to ask people to work two years more, considering that their career is long enough. President Macron seemed not interested to receive the Unions and had no intention to withdraw the project.
As a result of strikes, the city of Paris and some other cities in France have seen the bins fill up along the streets and residents are said to hold their noses as they pass by. For some this is not the image to show to the world for a city that is hosting Olympic games in 2024 let alone for health reasons but for others this is the price to pay for the actions of a government that does not hid the voices of the people. Transport on the road as well as in the air has been heavily disrupted. Those who don’t participate in strikes are generally said to support the actions of the protesters. However, it is unclear if they will keep supporting them if the movement lasts long.
Using 49.3 always comes with the risk that the opposition would present a censure motion, in which the government itself runs the risk of being forced to resign and the text of the bill being rejected if the censure motion is adopted. Before the Prime Minister announced that the government had chosen to use 49.3 to adopt the pension reform bill, she was not allowed to speak for a few minutes. Ivan Rioufol, a journalist at CNews believes that this moment is not just a big moment for the 5th Republic but also a historical moment. For now, the government has triumphed and one of the most contested reforms of French modern politics has become a law– at least if the censure motion does not bring down the government and along with it, the newly-adopted law.
Nonetheless, despite the bill being adopted into law by the Senate and through 49.3, unions have vowed to keep protesting until the law is suspended. In a recent BFMTV poll, 62% French people would want the strikes to continue if the bill passes. Now that it has passed, it is not clear whether the resistance will make the government change anything. Neither is it clear whether the movement itself will be able to resist long since the longer workers strike the more money they lose from the salary. With the inflation and conditions of life that have been hard due to Covid-19 and the war in Ukraine it will be hard to sustain the strikes. What is clear is that the repercussions of this reform will linger on for many years to come. One anonymous political scientist even claimed that this could open the narrow door to the extreme right to come into power.
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