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[Joseph S. Nye. Do Morals Matter? Presidents and Foreign Policy from FDR to Trump. Oxford University Press. New York, 2020. 254 pp.]

review / Emili J. Blasco

Do Morals Matter? Presidents and Foreign Policy from FDR to TrumpThe question that serves as degree scroll for the new book by Jospeh Nye, known to the public at large for having coined the term "the question of the future". soft powerThe author's argument is not so much a concession to secularist thinking as a lack of boldness in asserting from entrance the desirability of ethical reflection in foreign policy decisions, an importance that, despite the question mark, one senses is defended by the author.

In fact, the question itself is a question core topic at discipline of International Office. A common approach is to see the world scenario as a conjunction of competing states, in an anarchic dynamic where the law of the strongest prevails. Internally, the state can be driven by criteria of the common good, addressing the different needs of its inhabitants and making decisions at the national or local level through democratic processes. But beyond one's own borders, does the legitimacy granted by one's own electorate not require the ruler above all to guarantee the security of his citizens against external threats and to safeguard the national interest against that of other states?

The fact that the state is the basic subject in the International Office of course marks a dividing line between the two spheres. And so the question of whether the ethical discernment that is demanded of the mandatary in the internal sphere should also be demanded of him in the external sphere is fully relevant.

Only from extreme positions that consider the state to be a wolf for the state, applying the Hobbesian principle to international order (disorder) (and here there would be no supra-state to discipline this tendency of the state-individual), can it be argued that amorality rules all against all. On a lower rung is so-called offensive realism, and on a lower rung, defensive realism.

Nye, a scholar of International Office, believes that realist theory is a good starting point for any president when it comes to defining a country's foreign policy, given that he must be guided especially by the ethics of responsibility, as he fulfils a 'fiduciary role'. "A president's first moral duty is that of a trustee, and this begins with ensuring the survival and security of the democracy that elected him. But from here it should also be explored what possibilities exist for partnership and international mutual benefit, not closing the door on entrance to approaches of liberalism or cosmopolitanism.

"When survival is at stake, realism is a necessary but not sufficient basis for a moral foreign policy," says Nye, for whom it is a "question of Degree". "Given that there is never perfect security, the moral question is what Degree security should be assured before other values such as welfare, identity or rights are part of a president's foreign policy". He adds: "Many of the most difficult moral decisions are not all-or-nothing [...] The difficult moral decisions are in the middle. While it is important to be cautious about the dangers of a slippery slope, moral decisions rest on matching ends and means with each other'. He concludes that "the maintenance of international institutions and regimes is part of moral leadership".

From the very beginning of the book, Nye uses the three conditions that have traditionally been used in moral treatises to judge an action as ethically good: that the intention, the means and the consequences are good at the same time.

Using these three yardsticks, the author analyses the foreign policy of each of the US presidents since World War II and establishes a final ranking that combines both the morality of their actions on the international stage and the effectiveness of their policy (because an ethical foreign policy can be the case, but one that does little to further a country's national interests).

Thus, of the fourteen presidents, he considers that the four with the best grade in that combination are Roosevelt, Truman, Eisenhower and Bush I. In the middle he places Reagan, Kennedy, Ford, Carter, Clinton and Obama. And as the four worst he lists Johnson, Nixon, Bush II and ("tentatively incomplete") Trump. Having done the ranking, Nye warns that he may have given precedence to the Democratic administrations he worked for.

The book is a quick overview of the foreign policy of each presidency, highlighting the presidents' doctrines, their successes and failures (as well as examining the ethical component), so it is also interesting as a succinct history of the US International Office of the last eighty years.

The aspect of morality perhaps lacks a more academic foundation, as it is an discipline especially studied since the scholastic era. But Nye's purpose was not intended to delve into this subject, but to offer a brief study of applied morality.

Reading Nye is always thought-provoking. Among his other reflections might be the idea of the new prospects that would have opened up for the world if particularly propitious times had coincided in the calendar. In particular, he suggests that if Brezhnev and his gerontocratic generation had left earlier and the USSR had been beset by severe economic problems earlier, Gorbachev might have come to power at the same time as Carter's presidency; what they would have achieved together is, however, a matter for speculation.

Categories Global Affairs: North America World order, diplomacy and governance Book reviews

[George Friedman. The Storm Before the Calm. America's Discord, the Coming Crisis of the 2020s, and the Triumph Beyond. Doubleday. New York, 2020. 235 pp.]

review / E. Villa Corta, E. J. Blasco

The Storm Before the Calm. America's Discord, the Coming Crisis of the 2020s, and the Triumph Beyond.The degree scroll of the new book by George Friedman, the driving force behind the geopolitical analysis and intelligence agency Stratfor and later creator of Geopolitical Futures, does not refer reference letter to the global crisis created by the Covid-19 pandemic. When he speaks of the crises of the 2020s, which Friedman has been anticipating for some time in his commentaries and now explains at length in this book, he is referring to deep and long-lasting historical movements, in this case confined to the United States.

Beyond the current pandemic, therefore, which is somewhat circumstantial and not addressed in the text (its composition is previous), Friedman predicts that the US will reinvent itself at the end of this decade. Like a machine that, almost automatically, incorporates substantial changes and corrections every certain period of time, the US is preparing for a new leap. There will be a prolonged crisis, but the US will emerge triumphant, Friedman predicts. US decline? Quite the opposite.

Unlike Friedman's previous books, such as The Next Hundred Years or Flashpoints, this time Friedman moves away from Friedman's global geopolitical analysis to focus on the US. In his reflection on American history, Friedman sees a succession of cycles of roughly equal length. The current ones are already in their final stages, and the reinstatement of both will coincide in the late 2020s, in a process of crisis and subsequent resurgence of the country. In the institutional field, the 80-year cycle that began after the end of World War II is coming to an end (the previous one had lasted since the end of the Civil War in 1865); in the socio-economic field, the 50-year cycle that began with Ronald Reagan in 1980 is coming to an end (the previous one had lasted since the end of the Great Recession and the arrival of Franklin D. Roosevelt in the White House).

Friedman does not see Donald Trump as the catalyst for change (his effort has simply been to recover the status created by Reagan for the class average working class, affected by unemployment and loss of purchasing power), nor does he believe that whoever replaces him in the coming years will be the catalyst. Rather, he places the turnaround around 2028. The change, which is taking place in a time of great turmoil, will have to do with the end of the technocracy that dominates American political and institutional life and with the creative disruption of new technologies. The author wants to denote the US's skill ability to overcome adversity and take advantage of "chaos" in order to achieve fruitful growth.

Friedman divides the book into three parts: the creation of the nation as we know it, the cycles we have gone through, and the prognosis for the one to come. In this last part he presents the challenges or adversities that the country will have to face.

As for the creation of the country, the author reasons about the subject government created in the United States, the territory in which the country is located and the American people. This last aspect is perhaps the most interesting. He defines the American people as a purely artificial construct. This leads him to see the US as a machine that automatically fine-tunes its functioning from time to time. As an "invented" country, the US reinvents itself when its cycles run out of steam.

Friedman presents the training of the American people through three overlapping types: the cowboy, the inventor and the warrior. To the cowboy, who seeks to start something completely new and in an "American" way, we owe especially America's unique social construct. To the inventor belongs the drive for technological progress and economic prosperity. And the warrior condition has been present from the beginning.

The second part of the book deals with the aforementioned question of cycles. Friedman considers that US growth has been cyclical, a process in which the country reinvents itself from time to time in order to continue progressing. After reviewing the periods so far, he locates the next big change in the US in the decade that has just begun. He warns that the gestation of the next stage will be complicated by the accumulation of events from past cycles. One of the issues that the country will have to resolve concerns the paradox between the desire to internationalise democracy and human rights and that of maintaining its national security: "liberating the world" or securing its position in the international sphere.

The present moment of change, in which agreement with the author the institutional and the socio-economic cycle will collide, is a time of deep crisis, but will be followed by a long period of calm. Friedman believes that the first "tremors" of the crisis were felt in the 2016 elections, which showed a radical polarisation of US society. The country will have to reform not only its complex institutional system, but also various socio-economic aspects.

This last part of the book - devoted to solving problems such as the student debt crisis, the use of social networks, new social constructions or the difficulty in the sector educational- is probably the most important. If the mechanicity and automatism in the succession of cycles determined by Friedman, or even their very existence, are questionable (other analyses could lead other authors to consider different stages), the real problems that the country is currently facing are easily observable. So the presentation of proposals for their resolution is of undoubted value.

Categories Global Affairs: North America World order, diplomacy and governance Book reviews

Tourist town in Gjirokastër district, southern Albania [Pixabay].

Tourist population in Gjirokastër district, southern Albania [Pixabay].

ESSAYJan Gallemí

On 24 November 2019, the French government of Enmanuel Macron led the veto, together with other states such as Denmark and the Netherlands, of the accession of the Balkan nations of Albania and North Macedonia to the European Union. According to the president of the French Fifth Republic, this is due to the fact that the largest issue of economic refugees entering France are from the Balkans, specifically from the aforementioned Albania. The latter country applied to join the European Union on 28 April 2009, and on 24 June 2014 it was unanimously agreed by the 28 EU countries to grant Albania the status of a country candidate for accession. The reasons for this rejection are mainly economic and financial.[1]. There is also a slight concern about the diversity that exists in the ethnographic structure of the country and the conflicts that this could cause in the future, not only within the country itself but also in its relationship with its neighbours, especially with the Kosovo issue and relations with Greece and North Macedonia.[2]. However, another aspect that has also been explored is the fact that Albania's accession would mean the EU membership of the first state in which the religion with the largest number of followers is Islamic, specifically the Sunni branch, issue . This essay will proceed to analyse the impact of this aspect and observe how, or to what extent, Albanian values, mainly because they are primarily Islamic in religion, may combine or diverge from those on which the common European project is based.

Evolution of Islam in Albania

One has to go back in history to consider the reasons why a European country like Albania has developed a social structure in which the religion most professed by part of the population is Sunni. Because of the geographical region in which it is located, it would theoretically be more common to think that Albania would have a higher percentage of Orthodox than Sunni population.[3]. The same is true for Kosovo and Bosnia and Herzegovina. This region was originally largely Orthodox Christian in the south (like most Balkan states today) due to the fact that it was one of the many territories that made up the Byzantine Empire until the 13th century, when the nation gained its independence. However, the reason why Islam is so present in Albania, unlike its neighbouring states, is that it was more religiously influenced by the Ottoman Empire, the successor to the Byzantine Empire. The Byzantine Empire fell in 1453 and its territories were occupied by the Ottomans, a Turkish people established at that time on the Anatolian peninsula. According to historians such as Vickers, it was between the 17th and 18th centuries that a large part of the Albanian population converted to Islam.[4]The reason for this, as John L. Esposito points out, was that for the Albanian population, changing their religion meant getting rid of the higher taxes that Christians had to pay in the Ottoman Empire.[5].

Religion in Albania has since been shaped by events. As far as we know from programs of study such as those of Gawrych in the 19th century, Albanian society was then divided mainly into three groups: Catholics, Orthodox and Sunnis (the latter represented 70% of the population). The same century saw the birth of many of the well-known European nationalisms and the beginning of the so-called Eastern crisis in the Balkans. During this period many Balkan peoples revolted against the Ottomans, but the Albanians, identifying with the Ottomans through their religion, initially remained loyal to the Sultan.[6]. Because of this support, Muslim Albanians began to be pejoratively referred to as "Turks".[7]. This caused Albanian nationalism to distance itself from the emerging Ottoman pan-Islamism of Sultan Abdualhmid II. This gave rise, according to Endresen, to an Albanian national revival called Rilindja, which sought the support of Western European powers.[8].

The Balkan independence movements that emerged in the 19th century generally reinforced Christian as opposed to Muslim sentiment, but in Albania this was not the case; as Stoppel points out, both Albanian Christians and Muslims cooperated in a common national goal .[9]. This encouraged the coexistence of both beliefs (already present in earlier times) and allowed the differentiation of this movement from Hellenism.[10]. It is worth noting that at that time in Albania Muslims and Christians were peculiarly distributed territorially: in the north there were more Catholic Christians who were not so influenced by the Ottoman Empire, and in the south Orthodox also predominated because of the border with Greece. On 28 November 1912 the Albanians, led by Ismail Qemali, finally declared independence.

The international recognition of Albania by the Treaty of London meant the imposition of a Christian monarchy, which led to the outrage of Muslim Albanians, estimated at 80% of the population, and sparked the so-called Islamic revolt. The revolt was led by Essad Pasha Toptani, who declared himself the "saviour of Albania and Islam" and surrounded himself with disgruntled clerics. However, during the period of World War I, Albanian nationalists soon realised that religious differences could lead to the fracturing of the country itself and decided to break ties with the Muslim world in order to have "a common Albania", which led to Albania declaring itself a country without an official religion; this allowed for a government with representation from the four main religious faiths: Sunni, Bektashi, Catholic and Orthodox, training . Albanian secularist elites planned a reform of Islam that was more in line with Albania's traditions in order to further differentiate the country from Turkey, and religious institutions were nationalised. From 1923 onwards, the Albanian National congress eventually implemented the changes from a perspective very similar to that of Western liberalism. The most important reforms were the abolition of the hijab and the outlawing of polygamy, and a different form of prayer was implemented to replace the Salat ritual. But the biggest change was the replacement of Sharia law with Western-style laws.

During World War II Albania was occupied by fascist Italy and in 1944 a communist regime was imposed under the leadership of Enver Hoxha. This communist regime saw the various religious beliefs in the country as a danger to the security of the authoritarian government, and therefore declared Albania the first officially atheist state and proposed the persecution of various religious practices. Thus repressive laws were imposed that prevented people from professing the Catholic or Orthodox faiths, and forbade Muslims from reading or possessing the Koran. In 1967 the government demolished as many as 2,169 religious buildings and converted the rest into public buildings. Of 1,127 buildings that had any connection to Islam at the time, only about 50 remain today, and in very poor condition.[11]. It is believed that the impact of this persecution subject was reflected in the increase of non-believers within the Albanian population. Between 1991 and 1992 a series of protests brought the regime to an end. In this new democratic Albania, Islam was once again the predominant religion, but the preference was to maintain the non-denominational nature of the state in order to ensure harmony between different faiths.

Influences from the international arena

Taking into account this reality of Albania as a country with a majority Islamic population, we turn to the impact of its accession to the EU and the extent to which the values of the two contradict each other.

To begin with, if all this is analysed from a perspective based on the theory of "constructivism", such as that of Helen Bull's proposal , it can be seen how Albania from the beginning of its history has been a territory whose social structure has been strongly influenced by the interaction of different international actors. During the years when it was part of the Byzantine Empire, it largely absorbed Orthodox values; when it was occupied by the Ottomans, most of its population adopted the Islamic religion. Similarly, during the de-Ottomanisation of the Balkans, the country adopted currents of political thought such as liberalism due to the influence of Western European powers. This led to a desire to create a constitutionalist and parliamentary government whose vision of politics was not based on any religious morality.[12]. It can also be seen that the communist regime was imposed in a context common to that of the other Eastern European states. At the same time, it also returned to a democratic path after the collapse of the USSR, even though Albania had not maintained good relations with the Warsaw Pact since 1961.

Since Albania's EU candidacy, these liberal values have been strengthened again. In particular, Albania is striving to improve its infrastructure and to eradicate corruption and organised crime. So it can be seen that Albanian society is always adapting to being part of a supra-governmental organisation. This is an important aspect because it means that the country is most likely to actively participate in the proposals made by the European Commission, without being driven by domestic social values. However, this in turn gives a point in favour of those MEPs who argued that the veto decision was a historic mistake. For if it does not alienate the EU, Albania could alienate other international actors. According to MEPs themselves, these could be Russia or China.

However, there are two limitations to this assertion. The first is that since 2012 Albania has been a member of NATO, so it is already partly alienated from the West in military terms. But a second aspect is more important, namely that Albania already tried during the Cold War to alienate itself from Russia and China, but found that this had negative effects as it made it a satellite state. On the other hand, and this is where Islamic values come into play, Albania today is a member of Islamic organisations such as the OIC (Organisation of Islamic Cooperation). Rejection by the EU could therefore mean Albania's realignment with other Islamic states, such as the Arabs or Turkey. Turkey's own government, currently led by Erdogan's party, has a neo-Ottomanist nature: it seeks to bring the states that formerly constituted the Ottoman Empire under its influence. Albania is being influenced by this neo-Ottomanism and a European rejection could bring it back into the fold of this conception.[13]. Moreover, by moving closer to Middle Eastern Arab countries such as Saudi Arabia, Albania would run the risk of assimilating the Islamic values of these territories.[14]These are incompatible with those of the EU because they do not comply with many of the articles signed up to in the 1952 Universal Declaration of Rights.

Islam and the European Union

Another aspect would be to ask in what respects do Islamic values contradict those of the EU? The EU generally claims to be against polygamy, homophobia or religious practices that oppose the dignity of the person. This has generated, among other things, a powerful internal discussion as to whether the hijab can be considered as a internship staff that should not be legally prevented. Many feminist groups are against this aspect as they relate it to family patriarchalism.[15]However, other EU groups claim that this is only a fully respectable individual internship staff and that its abolition would be a gesture of an Islamophobic nature. In any case, as mentioned above, Albania abolished both polygamy and the wearing of the hijab in 1923 as not reflecting the values of Islam in Albania.[16]. In this respect, it can be observed that although Albania is a country with an Islamic majority, this Islam is much more influenced by Europeanist currents than by Eastern ones: that is, an Islam adapted to European customs and whose values are currently more similar to those of the neighbouring Balkan states.

Some MEPs, usually from far-right groups such as Ressamblement National or Alternativ für Deutschland, claim that Islamic values will never be compatible with European values because they are expansionist and radical. Dutchman Geert Wilders claims that the Koran "is more anti-Semitic than Mein Kampf".[17]. In other words, they claim that those who profess Islam are incapable of maintaining good relations with other faiths because the Koran itself speaks of waging war against the infidel through Jihad. As an example, they cite the terrorist attacks that the Islamist group DAESH has provoked over the last decade, such as those perpetrated in Paris and Barcelona.[18]. But these groups should be reminded that a sacred text such as the Koran can be interpreted in many ways and that although some Muslim groups believe in this incompatibility of good relations with those who think differently, the majority of Muslims interpret the Koran in a very different way, just as they do the Bible, even if some very specific groups become irrational.

This is clearly the case in Albania, where since its democratisation in 1991 there has been a national project integrating all citizens, regardless of their different beliefs. Rather, throughout its history as an independent country there has been only one period of religious persecution in Albania, and that was due to the repression of communist authoritarianism. One limitation in this respect might be the Islamic revolution that took place in Albania in 1912. But it is worth noting that this revolution, despite its strong Islamic sentiment, served to overthrow a puppet government; no law was enforced after it to impose Islamic values on the rest. So it is worth noting that Albania's political model is very similar to that of Rawls in his book "Political Liberalism", because it configures a state with multiple values (although there is a predominant one), but its laws are not written on the basis of any of them, but on the basis of common values among all of them based on reason.[19]. This model proposed by Rawls is one of the founding instructions of the European Union and Albania would be a state that would exemplify these same values.[20]. This is what the Supreme Pontiff Francis I said at his visit in Tirana in 2014: "Albania demonstrates that peaceful coexistence between citizens belonging to different religions is a path that can be followed in a concrete way and that produces harmony and liberates the best forces and creativity of an entire people, transforming simple coexistence into true partnership and fraternity".[21]

Conclusions

It can be concluded that Albania's values as an Islamic-majority state do not appear to be divergent from those of Western Europe and thus the European Union. Albania is a non-denominational state that respects all religious beliefs and encourages all individuals, regardless of their faith, to participate in the political life of the country (which has much merit given the significant religious diversity that has distinguished Albania throughout its history). Moreover, Islam in Albania is very different from other regions due to the impact of European influence in the region. Not only that, but the country also seems very willing to collaborate on common projects. The only thing that, in terms of values, would make Albania unsuitable for EU membership would be if, just as it has been influenced by the actors that have interacted with it throughout its history, it were to be influenced again by Muslim states with values divergent from European ones. But this is more likely to be the case if the EU were to reject Albania, as it would seek the support of other allies in the international arena.

The implications of the accession of the first Muslim-majority state to the EU would certainly be advantageous, as it would encourage a variety of religious thought within the Union and this could lead to greater understanding between the different faiths within it. There would be the possibility of a greater presence of Sunni MEPs in the European Parliament and it would help to enhance coexistence within other EU states on the basis of what has been done in Albania, such as in France, where 10 per cent of the population is Muslim. It should also be said that Albania's exemplary multi-religious behaviour would seriously weaken Euroscepticism and also help to foster harmony within the Balkan region. As Donald Tusk has argued, the Balkans must be given a European perspective and it is in the EU's best interest that Albania becomes part of it.


[1] Lazaro, Ana; European Parliament adopts resolution against veto on North Macedonia and Albania; euronews. ; last update: 24/10/2019

[2] Sputnik World; The West's attitude to the spectre of 'Greater Albania' worries Moscow; Sputnik World, 22/02/2018. grade Sputnik World: Care should be taken when analysing this source as it is often used as a method of Russian propaganda.

[3] "Third Opinion on Albania adopted on 23 November 2011". Strasbourg. 4 June 2012.

[4] Vickers, Miranda (2011). The Albanians: a modern history. London: IB Tauris.

[5] Esposito, John; Yavuz, M. Hakan (2003). Turkish Islam and the secular state: The Gülen movement. Syracuse: Syracuse University Press

[6] Gawrych, George (2006). The crescent and the eagle: Ottoman rule, Islam and the Albanians, 1874-1913. London: IB Tauris.

[7] Karpat, Kemal (2001). The politicization of Islam: reconstructing identity, state, faith, and community in the late Ottoman state. Oxford: Oxford University Press.

[8] Endresen, Cecilie (2011). "Diverging images of the Ottoman legacy in Albania". Berlin: Lit Verlag. pp. 37-52.

[9] Stoppel, Wolfgang (2001). Minderheitenschutz im östlichen Europa (Albanien). Cologne: Universität Köln.

[10] Gawrych, George (2006). The crescent and the eagle: Ottoman rule, Islam and the Albanians, 1874-1913. London: IB Tauris.

[11] Nurja, Ermal (2012). "The rise and destruction of Ottoman Architecture in Albania: A brief history focused on the mosques". Cambridge: Cambridge Scholars Publishing.

[12] Albanian Constituition of 1998.

[13] Return to Instability: How migration and great power politics threaten the Western Balkans. European Council on Foreign Relations. 2015.

[14] Bishku, Michael (2013). "Albania and the Middle East.

[15] García Aller, Marta; Feminists against the hijab: "Europe is falling into the Islamist trap with the veil".

[16] Jazexhi, Olsi (2014)."Albania." In Nielsen, Jørgen; Akgönül, Samim; Alibašić, Ahmet; Racius, Egdunas (eds.) Yearbook of Muslims in Europe: Volume 6. Leiden: Brill.

[17] EFE; The Dutch MP who compared the Koran to 'Mein Kampf' does not withdraw his words. La Vanguardia; 04/10/2010

[18] Khader, Bichara; Muslims in Europe, the construction of a "problem"; OpenMind BBVA

[19] Rawls, John; Political Liberalism; Columbia University Press, New York.

[20] Kristeva, Julia; Homo europaeus: is there a European culture; OpenMind BBVA.

[21] Vera, Jarlison; Albania: Pope highlights the partnership between Catholics, Orthodox and Muslims; Acaprensa

Categories Global Affairs: European Union World order, diplomacy and governance Essays

Albania and North Macedonia are forced to accept tougher negotiating rules, while Serbia and Montenegro reassess their options.

Brexit has been absorbing the EU's negotiating attention for many months and now Covid-19 has slowed down non-priority decision-making processes. In October 2019, the EU decided to cool down talks with the Western Balkans, under pressure from France and some other countries. Albania and North Macedonia, which had made the work that Brussels had requested in order to formally open negotiations, have seen the rules of the game changed just before the start of the game.

meeting of the Western Balkans with EU countries, held in London in 2018 [European Commission].

▲ meeting of the Western Balkans with EU countries, held in London in 2018 [European Commission].

article / Elena López-Doriga

Since its origins, the European Community has been evolving and expanding its competences through treaties structuring its functioning and aims. issue The membership of the organisation has also expanded considerably: it started with 6 countries (France, Belgium, the Federal Republic of Germany, Italy, Luxembourg and the Netherlands) and now consists of 27 (following the recent departure of the United Kingdom).

The most notable year of this enlargement was 2004, when the EU committed itself to integrating 10 new countries, which was a major milestone challenge, given that these countries were mainly from Central and Eastern Europe, coming from the "iron curtain", with less developed economies emerging from communist systems and Soviet influence.

The next enlargement round goal is the possible EU membership of the countries of the Western Balkans (Albania, Bosnia and Herzegovina, Kosovo, North Macedonia, Montenegro and Serbia). However, at a summit held in Brussels at the end of 2019 to open accession negotiations for new members, some EU countries were against continuing the process, so for the time being the accession of the candidate countries will have to wait. Some EU leaders have called this postponement a "historic mistake".

Enlargement towards Central and Eastern Europe

In May 1999 the EU launched the Stabilisation Process and association. The Union undertook to develop new contractual relations with Central and Eastern European countries that expressed a desire to join the Union through stabilisation agreements and association, in exchange for commitments on political, economic, trade or human rights reform. As a result, in 2004 the EU integrated the Czech Republic, Cyprus, Estonia, Hungary, Latvia, Lithuania, Malta, Poland, Slovakia, and Slovenia (the first member from the Western Balkans). In 2007 Bulgaria and Romania also joined the Union and in 2013 Croatia, the second Western Balkan country to join.

The integration of the Western Balkans

Since the end of the Yugoslav wars in late 2001, the EU has played a very prominent role in the Balkans, not only as an economic power in subject reconstruction, but also as a guarantor of stability and security in the region. The EU's goal is in part to prevent the Western Balkans from becoming a security black hole, given the rise of rising nationalism, growing tension between Moscow and Washington, which fuels tensions between ethnic groups in the region, and China's economic penetration of the area. Clearer progress towards Balkan integration was reaffirmed in the Commission's Western Balkans strategy of February 2018 and in the Sofia Declaration following the EU-Western Balkans Summit held in the Bulgarian capital on 17 May 2018. At the Summit, EU leaders reiterated their unequivocal support for the European perspective of the Western Balkans. "I see no future for the Western Balkans other than the EU. There is no alternative, there is no plan B. The Western Balkans are part of Europe and belong to our community," said the then president of the European committee , Donald Tusk.

Official candidates: Albania and Macedonia

Albania applied for EU membership on 28 April 2009. In 2012, the Commission noted significant progress and recommended that Albania be granted the status of candidate, subject to the implementation of a number of outstanding reforms. In October 2013, the Commission unequivocally recommended that Albania be granted membership status candidate . visit Angela Merkel visited Tirana on 8 July 2015 and stated that the prospect of the Balkan region's accession to the European Union (EU) was important for peace and stability. He stressed that in the case of Albania the pace of the accession process depended on the completion of reforms in the judicial system and the fight against corruption and organised crime. In view of the country's progress, the Commission recommended the opening of accession negotiations with Albania in its 2016 and 2018 reports.

On the other hand, the Republic of North Macedonia (former Yugoslav Republic of Macedonia) applied for EU membership in March 2004 and was granted country status candidate in December 2005. However, the country did not start accession negotiations because of the dispute with Greece over the use of the name "Macedonia". When this was successfully resolved by the agreement of Prespa under the country's new name - Northern Macedonia - the committee agreed on the possibility of opening accession negotiations with this country in June 2019, assuming the necessary conditions were met.

Potential candidates: Bosnia and Herzegovina and Kosovo

Bosnia and Herzegovina is a potential candidate country. Although it negotiated and signed a Stabilisationagreement and association with the EU in 2008, the entrance entry into force of this agreement remained at Fail mainly due to the country's failure to implement a judgement core topic of the European Court of Human Rights. In the meantime, the Parliament of Bosnia and Herzegovina has not reached a agreement concerning the rules of procedure governing its meetings with the European Parliament (twice a year), as these meetings have not been held since November 2015, and this status constitutes a breach of agreement by Bosnia and Herzegovina. 

Kosovo is a potential candidate candidate for EU membership. It declared its independence unilaterally in February 2008. All but five Member States (Cyprus, Greece, Romania, Slovakia, Spain and Cyprus) have recognised Kosovo's independence. Among the countries in the region, Serbia and Bosnia and Herzegovina have also failed to recognise Kosovo as an independent state. In September 2018, the European Parliament went a step further and decided to open inter-institutional negotiations, which are currently underway. However, the fact that not all member states currently recognise its independence is a major stumbling block.

Negotiating accession: Montenegro and Serbia

Montenegro, one of the smallest states on the European continent, has been part of different empires and states over the past centuries, finally gaining independence peacefully in 2006. It applied to join the Union in December 2008; it was granted the status of a country candidate in December 2010, and accession negotiations started in June 2012. By the end of 2018, 32 negotiating chapters had been opened, out of a total of 35.

Serbia 's process began in December 2009 when former president Boris Tadić officially submitted application for membership and also handed over to justice war criminal Ratko Mladić, manager of the Srebrenica massacre during the Bosnian War, who was hiding on Serbian territory. However, the conflict with Kosovo is one of Serbia's main obstacles to EU accession. It was granted country status candidate in March 2012, after Belgrade and Pristina reached an agreement agreement on Kosovo's regional representation. The official opening of accession negotiations took place on 21 January 2014. In February 2018, the Commission published a new strategy for the Western Balkans stating that Serbia (as well as Montenegro) could join the EU by 2025, while acknowledging the "extremely ambitious" nature of this prospect. Serbia's future EU membership, like that of Kosovo, remains closely linked to the high-level dialogue between Serbia and Kosovo under EU auspices, which should lead to a legally binding comprehensive agreement on the normalisation of their relations.

A step back in the negotiations

In October 2019, a summit was held in Brussels, goal to structure the negotiations of the official candidates for EU membership. Both North Macedonia and Albania were convinced that a date would be set to start the long process of negotiations. However, the process reached a stalemate after seven hours of wrangling, with France rejecting both countries' entrance . France led the campaign against enlargement, but Denmark and the Netherlands also joined the veto. They argue that the EU is not ready to take on new members. "It doesn't work too well at 28, it doesn't work too well at 27, and I'm not sure it will work any better with another enlargement. So we have to be realistic. Before enlarging, we need to reform ourselves," said French President Emmanuel Macron.

The then president of the European Commission, Jean-Claude Juncker, considered the suspension to be a major historic mistake and hoped that it would only be temporary. For his part, Donald Tusk said he was "ashamed" of the decision, and concluded that North Macedonia and Albania were not to blame for the status created, as the European Commission's reports were clear that both had done what was necessary to start negotiations with the EU.

In Albania, Prime Minister Edi Rama said that the lack of consensus among European leaders would not change Albania's future EU membership aspirations. He asserted that his government was determined to push ahead with the reforms initiated in the electoral, judicial and administrative spheres because it considered them necessary for the country's development , not just because Brussels demanded it.

In North Macedonia, on the other hand, the European rejection was deeply disappointing, as the country had proceeded to reform its institutions and judicial system and fight corruption; it had also changed its constitution, its name and its national identity. The rejection left the country, candidate official status for the past 14 years, in a state of great uncertainty, and Prime Minister Zoran Zaev decided to dissolve parliament and call elections for 12 April 2020 (later postponed due to the Covid-19 emergency). "We have fulfilled our obligations, but the EU has not. We are the victims of a historic mistake that has led to a huge disappointment," Zaev said.

A new, stricter process

Despite the fact that, according to the Commission, North Macedonia and Albania fulfilled the requirements criteria to become accession candidates, Macron proposed to tighten the accession process. In order to unblock status and continue with the process, which the EU claims to be a priority goal , Brussels has given in to the French president's request by establishing a new methodology for integrating new countries.

The new process envisages the possibility of reopening chapters of the negotiations that were considered closed or of fail the talks underway in one of the chapters; it even envisages paralysing the negotiations as a whole. It aims to give more weight to governments and to facilitate the suspension of pre-accession funds or the freezing of the process if candidate countries freeze or reverse committed reforms. The new method will apply to Albania and North Macedonia, whose negotiations with the EU have not yet begun, while Serbia and Montenegro will be able to choose whether to join, without having to change their established negotiating framework , according to the Commission.

Categories Global Affairs: European Union World order, diplomacy and governance Articles

Apart from China, Italy has received aid from Russia and Cuba, making a risky geopolitical move in the European context.

The global spreading of the virus is putting under stress the big ally of the Union, the United States, which is demonstrating its lack of an efficient social health care system. Furthermore, the initial refusal of Washington to send help to the EU was seen as an opportunity for countries like Russia, China and Cuba to send medical and technical support to those countries of the EU that are most affected by the virus. Italy has taken aid send by Beijing, Moscow and Havana, shaking the geopolitical understandings of the EU's foreign policy.

Russia's aid arrived in Italy in the middle of the pandemic crisis [Russian Defense Ministry].

▲ Russia's aid arrived in Italy in the middle of the pandemic crisis [Russian Defense Ministry].

ARTICLEMatilde Romito

The World Health Organisation (WHO) declared Corona Virus (Covid-19) a pandemic on the 11th of March, 2020. The fast widespread of the virus pushed numerous countries around the world and especially in Europe where there is the highest number of confirmed cases, to call for a lockdown. This extreme measure is not only leading the EU and the entire world towards an unprecedented economic crisis, but it is also redefining geopolitics and the system of alliances we were used to.

The pandemic. On January 30, 2020, the World Health Organisation (WHO) declared the first outbreak of novel coronavirus a 'public health emergency of international concern'. In mid-February, numerous cases of corona virus began to be reported in northern Italy and in several European countries. Initially, the spread of the virus mainly hit Italy, which reported the biggest number of cases among the EU states. In March, Italy started with the implementation of social-distancing measures and the consequent lockdown of the country, followed by Spain, France and other European countries. On March 11, 2020, the WHO declared covid-19 a global pandemic. Currently, Europe is the region of the world with the highest number of confirmed cases. According to the WHO, on April 6, Europe reached 621,407 cases compared to the 352,600 cases in America and the 112,524 in Western Asia.

The global lockdown. At first, several major airlines suspended their flights from and to China, in order to avoid further contaminations. Now, the majority of flights in Europe and in other regions have been cancelled. The biggest areas of world are under lockdown and the economic consequences of this are becoming more and more evident. A forced social distancing seems to be the only way to contain the spread of the virus and the closing of national borders is currently at the center of states' policies to combat the virus. However, some European countries, such as Sweden, do not seem to agree on this.

Lack of solidarity

We are assisting to a global situation of 'everybody for oneself,' and this has become highly evident within the EU itself. Individual countries within the Union have shown high levels of egoism on different occasions. The North-South divide within the EU is clearer than ever, particularly between the Netherlands and Austria on the one side, and Italy, Spain, France and Greece on the other side. The former group of countries is asking for compromise and conditions to lend money to the most afflicted ones for countering the crisis, while the latter group is asking the EU to share the debts accumulated in order to save European economies (eurobonds).

The different spread-intensity of the virus in different European countries has shown more than once the fragility of the Union, which demonstrated to be led by the arrogance of the rich. On different occasions European leaders have shown a lack of European identity, solidarity and common vision. For instance, at the beginning of the crisis France and Germany attempted to 'cover with the European flag' medical products directed to Italy, by declaring them 'European products', trying to compensate the initial inaction of the EU. Another example, could be the seizure by the Czech Republic of 110,000 Chinese masks and thousands of breathing supports, which were destined to Italy (March the 21st). Moreover, the lack of unity also came from an unjustified action of protectionism undertaken by Poland, which closed its market to agricultural products coming from Italy on March 18, despite it was already known that the virus could not be spread through such products.

Nevertheless, there are some good and unexpected examples of solidarity. For instance, a good lesson on European solidarity came from the small state of Albania. The Albanian prime minister Edi Rama taught European leaders what it means to be part of the EU by sending a medical unit to the Italian region of Lombardy, despite the numerous difficulties Albania is facing, thus showing that the fight against the virus has no nationality and it cannot leave room for egoistic calculations. Moreover, more recently Germany has accepted to receive and take care of numerous patients coming from Italy, where the majority of health infrastructures are saturated.

Overall, little comprehension and solidarity has been shown between European member states, thus being criticised by the European Commission president, Ursula Von Der Leyen.

Geopolitical tensions

The EU is going through numerous changes in the relations between its members. The closing up of individual countries poses a big challenge to the EU itself, which is founded on freedom of movement of people and goods.

Currently, sending masks and medicines seems to have become the main means for countries to exert influence in global affairs. The global spreading of the virus is putting under stress the big ally of the Union, the United States (US), which is demonstrating its lack of an efficient social health care system. Furthermore, the initial refusal of Washington to send help to the EU was seen as an opportunity for countries like Russia, China and Cuba to send medical and technical support to those countries of the EU that are most affected by the virus, like Italy and Spain. After having seen its hegemonic position in Europe under threat, the US decided to send monetary help to some European countries, such as 100 million dollars to Italy, in order to help in countering the emergency.

At the end, the EU seems to start standing all together. But, did the European countries take action on time? Generally, countries, like human beings, are more likely to remember one bad impression better than numerous good ones. Therefore, are countries like Italy going to 'forgive' the EU and its initial inactivity? Or are they going to fall back on countries like Russia and China, which have shown their solidarity since the beginning?

Furthermore, did the EU take action because of an inherent identity and solidarity? Or was it just a counteraction to the Chinese and Russian help? It seemed that specifically Germany's mobilisation followed the exhortation of the former president of the European Central Bank (ECB), Mario Draghi. He accused Germany and other countries of taking advantage of the virus for imposing a 'conditionality' to the countries that were asking for help. Moreover, in an interview on the Financial Times he called for an exceptional investment in the economies and for a guarantee of the debts, in order to jointly face the crisis, because no country can face this unprecedented threat alone. Now, anti-virus economic action turned into a matter of urgency for Europe and the European Commission is working on a common European response to the crisis.

Future perspectives

Probably, after the end of the virus spread, the world will assist to important changes in the global dynamics of alliances. Russia and China will most likely have one or more European allies to advance their interests in the EU. On the one side, this could lead to a further weakening of the EU governance and to the re-emergence of nationalism on states' behaviour within the Union. And on the other side, it could lead to the development of further mechanisms of cooperation among the EU members, which will go beyond the eurobonds and will probably extend to the sanitary dimension.

To preserve its unity, the European political-economic-cultural area will need to be strengthened, by fighting inequalities with a new model of solidarity. Its future prosperity will most likely depend on its internal market.

Nevertheless, for now the only thing we can be sure about is that the first impression on the EU was very bad and that this situation is going to lead all of us towards an unprecedented economic crisis, which most probably will redefine the political relationships between the world's biggest regions.

Categories Global Affairs: European Union World order, diplomacy and governance Articles

The Trump Administration's Newest Migration Policies and Shifting Immigrant Demographics in the USA

New Trump administration migration policies including the "Safe Third Country" agreements signed by the USA, Guatemala, El Salvador, and Honduras have reduced the number of migrants from the Northern Triangle countries at the southwest US border. As a consequence of this phenomenon and other factors, Mexicans have become once again the main national group of people deemed inadmissible for asylum or apprehended by the US Customs and Border Protection.

An US Border Patrol agent at the southwest US border [cbp.gov].

▲ An US Border Patrol agent at the southwest US border [cbp.gov].

ARTICLE / Alexandria Casarano Christofellis

On March 31, 2018, the Trump administration cut off aid to the Northern Triangle countries in order to coerce them into implementing new policies to curb illegal migration to the United States. El Salvador, Honduras, and Guatemala all rely heavily on USAid, and had received 118, 181, and 257 million USD in USAid respectively in the 2017 fiscal year.

The US resumed financial aid to the Northern Triangle countries on October 17 of 2019, in the context of the establishment of bilateral negotiations of Safe Third Country agreements with each of the countries, and the implementation of the US Supreme Court's de facto asylum ban on September 11 of 2019. The Safe Third Country agreements will allow the US to 'return' asylum seekers to the countries which they traveled through on their way to the US border (provided that the asylum seekers are not returned to their home countries). The US Supreme Court's asylum ban similarly requires refugees to apply for and be denied asylum in each of the countries which they pass through before arriving at the US border to apply for asylum. This means that Honduran and Salvadoran refugees would need to apply for and be denied asylum in both Guatemala and Mexico before applying for asylum in the US, and Guatemalan refugees would need to apply for and be denied asylum in Mexico before applying for asylum in the US. This also means that refugees fleeing one of the Northern Triangle countries can be returned to another Northern Triangle country suffering many of the same issues they were fleeing in the first place.

Combined with the Trump administration's longer-standing "metering" or "Remain in Mexico" policy (Migrant Protection Protocols/MPP), these political developments serve to effectively "push back" the US border. The "Remain in Mexico" policy requires US asylum seekers from Latin America to remain on the Mexican side of the US-Mexico border to wait their turn to be accepted into US territory. Within the past year, the US government has planted significant obstacles in the way of the path of Central American refugees to US asylum, and for better or worse has shifted the burden of the Central American refugee crisis to Mexico and the Central American countries themselves, which are ill-prepared to handle the influx, even in the light of resumed US foreign aid. The new arrangements resemble the EU's refugee deal with Turkey.

These policy changes are coupled with a shift in US immigration demographics. In August of 2019, Mexico reclaimed its position as the single largest source of unauthorised immigration to the US, having been temporarily surpassed by Guatemala and Honduras in 2018.

 

 

 

US Customs and Border Protection data indicates a net increase of 21% in the number of Unaccompanied Alien Children from Mexico, Guatemala, Honduras, and El Salvador deemed inadmissible for asylum at the Southwest US Border by the US field office between fiscal year 2019 (through February) and fiscal year 2020 (through February). All other inadmissible groups (Family Units, Single Adults, etc.) experienced a net decrease of 18-24% over the same time period. For both the entirety of fiscal year 2019 and fiscal year 2020 through February, Mexicans accounted for 69 and 61% of Unaccompanied Alien Children Inadmissible at the Southwest US border respectively, whereas previously in fiscal years 2017 and 2018 Mexicans accounted for only 21 and 26% of these same figures, respectively. The percentages of Family Unit Inadmisibles from the Northern Triangle countries have been decreasing since 2018, while the percentage of Family Unit Inadmisibles from Mexico since 2018 has been on the rise.

With asylum made far less accessible to Central Americans in the wake of the Trump administration's new migration policies, the number of Central American inadmisibles is in sharp decline. Conversely, the number of Mexican inadmisibles is on the rise, having nearly tripled over the past three years.

Chain migration factors at play in Mexico may be contributing to this demographic shift. On September 10, 2019, prominent Mexican newspaper El discussion published an article titled "Immigrants Can Avoid Deportation with these Five Documents." Additionally, The Washington Post cites the testimony of a city official from Michoacan, Mexico, claiming that a local Mexican travel company has begun running a weekly "door-to-door" service line to several US border points of entry, and that hundreds of Mexican citizens have been coming to the municipal offices daily requesting documentation to help them apply for asylum in the US. Word of mouth, press coverage like that found in El discussion, and the commercial exploitation of the Mexican migrant situation have perhaps made migration, and especially the claiming of asylum, more accessible to the Mexican population.

US Customs and Border Protection data also indicates that total apprehensions of migrants from Mexico, Guatemala, Honduras, and El Salvador attempting illegal crossings at the Southwest US border declined 44% for Unaccompanied Alien Children and 73% for Family Units between fiscal year 2019 (through February) and fiscal year 2020 (through February), while increasing for Single Adults by 4%. The same data trends show that while Mexicans have consistently accounted for the overwhelming majority of Single Adult Apprehensions since 2016, Family Unit and Unaccompanied Alien Children Apprehensions until the past year were dominated by Central Americans. However, in fiscal year 2020-February, the percentages of Central American Family Unit and Unaccompanied Alien Children Apprehensions have declined while the Mexican percentage has increased significantly. This could be attributed to the Northern Triangle countries' and especially Mexico's recent crackdown on the flow of illegal immigration within their own states in response to the same US sanctions and suspension of USAid which led to the Safe Third Country bilateral agreements with Guatemala, Honduras, and El Salvador.

While the Trump administration's crackdown on immigration from the Northern Triangle countries has effectively worked to limit both the legal and illegal access of Central Americans to US entry, the Trump administration's crackdown on immigration from Mexico in the past few years has focused on arresting and deporting illegal Mexican immigrants already living and working within the US borders. Between 2017 and 2018, ICE increased workplace raids to arrest undocumented immigrants by over 400% according to The Independent in the UK. The trend seemed to continue into 2019. President Trump tweeted on June 17, 2019 that "Next week ICE will begin the process of removing the millions of illegal aliens who have illicitly found their way into the United States. They will be removed as fast as they come in." More deportations could be leading to more attempts at reentry, increasing Mexican migration to the US, and more Mexican Single Adult apprehensions at the Southwest border. The Washington Post alleges that the majority of the Mexican single adults apprehended at the border are previous deportees trying to reenter the country.

 

 

 

Lastly, the steadily increasing violence within the state of Mexico should not be overlooked as a cause for continued migration. Within the past year, violence between the various Mexican cartels has intensified, and murder rates have continued to rise. While the increase in violence alone is not intense enough to solely account for the spike that has recently been seen in Mexican migration to the US, internal violence nethertheless remains an important factor in the Mexican migrant situation. Similarly, widespread poverty in Mexico, recently worsened by a decline in foreign investment in the light of threatened tariffs from the USA, also plays a key role.

In conclusion, the Trump administration's new migration policies mark an intensification of long-standing nativist tendencies in the US, and pose a potential threat to the human rights of asylum seekers at the US-Mexico border. The corresponding present demographic shift back to Mexican predominance in US immigration is driven not only by the Trump administration's new migration policies, but also by many other diverse factors within both Mexico and the US, from press coverage to increased deportations to long-standing cartel violence and poverty. In the face of these recent developments, one thing remains clear: the situation south of the Rio Grande is just as complex, nuanced, and constantly evolving as is the situation to the north on Capitol Hill in the USA.

Categories Global Affairs: North America World order, diplomacy and governance Articles

27% of Latin America's total private wealth is held in territories that offer favourable tax treatment.

Latin America is the world region with the highest percentage of private offshore wealth. The proximity of tax havens, in various countries or island dependencies in the Caribbean, can facilitate the arrival of this capital, some of which is generated illicitly (drug trafficking, corruption) and all of which evades national tax institutions with little supervisory and coercive force. Latin America lost 335 billion dollars in taxes in 2017, which represented 6.3% of its GDP.

Caribbean beach [Pixabay].

▲ Caribbean beach [Pixabay].

article / Jokin de Carlos Sola

The natural wealth of Latin American countries contrasts with the precariousness of the economic status of a large part of their societies. Lands rich in oil, minerals and primary goods sometimes fail to feed all their citizens. One of the reasons for this deficiency is the frequency with which companies and leaders tend to evade taxes, driving capital away from their countries.

One of the reasons for the tendency to evade taxes is the large size of the Economics underground and the shortcomings of states in implementing tax systems. Another is the nearby presence of tax havens in the Caribbean, which have historically been linked to the UK. These territories with beneficial tax characteristics have attracted capital from the continent.

History

The history of tax evasion is a long one. Its relationship with Latin America and the British Caribbean archipelagos, however, has its origins in the fall of the British Empire.

From 1945 onwards, Britain gradually began to lose its colonial possessions around the world. The financial effect was clear: millions of pounds were lost or taken out of operations across the empire. To cope with this status and to be able to maintain their global financial power, the bankers in the City of London thought of creating fields of action outside the jurisdiction of the Bank of England, from where bankers from all over the world (especially Americans) could also operate in order to avoid their respective national regulations. A new opportunity then arose in the British overseas territories, some of which did not become independent, but maintained their links, albeit loose, with the United Kingdom. This was the case in the Caribbean.

In 1969 the Cayman Islands created the first banking secrecy legislation. It was the first overseas territory to become a tax haven. From offices established there, City banks built up networks of operations unregulated by the Bank of England and with little local oversight. Soon other Caribbean jurisdictions followed suit.

Tax havens

The main tax havens in the Caribbean are British Overseas Territories such as the Cayman Islands, the Virgin Islands and Montserrat, or some former British colonies that became independent, such as the Bahamas. These are islands with small populations and a small Economics . Many of the politicians and legislators in these places work for the British financial sector and ensure secrecy within their territories.

Unlike other locations that can also be considered tax havens, the British-influenced islands in the Caribbean offer a second level of secrecy in addition to the legal one: the trust. Most of those who hold assets in companies established in these territories do so through trusts. Under this system, the beneficiary holds his assets (shares, property, companies, etc.) in a trust which is administered by a trustee. These elements (trust, beneficiary, trustee, shell companies, etc.) are distributed in various Structures linked to different Caribbean jurisdictions. Thus, a trust may be established in one jurisdiction, but its beneficiaries may be in another, the trustee in a third, and the shell companies in a fourth. This is a subject of Structures that is almost impossible for governments to dismantle. This is why when overseas governments agree to share banking information, under pressure from Washington or Brussels, it is of little use because of the secrecy structure itself.

Impact in Latin America

Bank secrecy legislation emerged in Latin America with the goal aim of attracting legally obtained capital. However, during the 1970s and 1980s, this protection on data of current accounts also attracted capital obtained through illicit means, such as drug trafficking and corruption.

During those years, drug lords such as Pablo Escobar used the benefits of the Cayman Islands and other territories to hide their fortunes and properties. On the other hand, several Latin American dictatorships also used these mechanisms to hide the enrichment of their leaders through corruption or even drugs, as was the case with Panama's Manuel Noriega.

Over time, the international community has increased its pressure on tax havens. In recent years the authorities in the Cayman Islands and the Bahamas have made efforts to ensure that their secrecy Structures is not used to launder money for organised crime, but not all territories considered tax havens have done the same.

These opaque networks are used by a considerable part of Latin America's large fortunes. Twenty-seven per cent of Latin America's total private wealth is deposited in countries that offer favourable tax treatment, making it the region with the highest proportion of private capital in these places in the world, according to a 2017 study by the Boston Consulting Group ( agreement ). According to this consultancy firm, this diversion of private wealth is greater in Latin America than in the Middle East and Africa (23%), Eastern Europe (20%), Western Europe (7%), Asia-Pacific (6%) and the United States and Canada (1%). 

Tax havens are the destination of a part that is difficult to pinpoint of the total of 335 billion dollars subject to tax evasion or avoidance in the region in 2017, a figure that constituted 6.3% of Latin American GDP (4% lost in personal income tax and 2.3% in VAT), as specified in ECLAC's report Fiscal Panorama of Latin America and the Caribbean 2019. This UN economic commission for the region highlights that on average Latin American countries lose more than 50% of their income tax revenues.

 

 

The London connection

There have been various theories about the role played by London in relation to tax havens. These theories coincide in presenting a connection of interests between the opaque companies and the City of London, in a network of complicity in which even the Bank of England and the British government could have been involved.

The most important one was expressed by British author Nicholas Shaxson in the book Treasure Island. The thesis was later developed by the documentary film Spiders Web, produced by the Tax Justice Network, whose founder, John Christiansen, worked as advisor for the government of Jersey, which is a special jurisdiction.

The City of London has a separate administration, elected by the still-existing guilds, which represent the City's commercial and banking class . This allows financial operations in this area of the British capital to partially escape the control of the Bank of England and government regulations. A City that is attractive to foreign capital and prosperous is of great benefit to the UK's Economics , as its activity accounts for 2.4% of the country's GDP.

British sovereignty over the overseas territories that serve as tax havens sometimes leads to accusations that the UK is complicit with these financial networks. Downing Street responds that these are territories that operate with a great deal of autonomy, even though London sets the governor, controls foreign policy and has veto power over legislation passed in these places.

Moreover, it is true that the UK government has in the last decade supported greater international coordination to increase scrutiny of tax havens, forcing the authorities there to submit relevant tax information, although the structure of the trusts still works against transparency.

Correct the status

Latin America's problems with tax evasion may be more related to the fragility of its own tax institutions than to the presence of tax havens close to the American continent. At the same time, some tax havens have benefited from political instability and corruption in Latin America.

The effects of domestic capital flight to these places of special tax regimes are clearly negative for the countries of the region, depriving them of increased economic activity and revenue-raising possibilities, and hampering the state's ability to undertake the necessary improvement of public services.

It is therefore imperative that certain corrective policies are put in place. At the national policy level, mechanisms should be put in place to prevent tax evasion and avoidance. At the same time, at the international level, diplomatic initiatives should be shaped to put an end to the Structures of trusts. The OAS offers, in this sense, an important negotiating framework not only with certain overseas territories, but also with its own metropolises, since these, as is the case of the United Kingdom, are permanent observer members of the hemispheric organisation.

Categories Global Affairs: World order, diplomacy and governance Articles Latin America

The always difficult negotiations are made more difficult by the 75 billion euros the UK is giving up.

ANALYSIS / Pablo Gurbindo Palomo

The negotiations for the European budget for the period 2021-2027 are crucial for the future of the Union. After the failure of the extraordinary summit on 20-21 February, time is running out and the member states must put aside their differences in order to reach an agreement on agreement before 31 December 2020.

framework The negotiation of a new European Multiannual Financial Framework (MFF) is always complicated and crucial, as the ambition of the Union depends on the amount of money that member states are willing to contribute. But the negotiation of this new budget line, for the period 2021-2027, has an added complication: it is the first without the United Kingdom after Brexit. This complication does not lie in the absence of the British in the negotiations (for some that is more of a relief) but in the 75 billion euros they have stopped contributing.

What is the MFP?

framework The Multiannual Financial Framework (MFF ) is the EU's long-term budgetary framework deadline and sets the limits for expense of the Union, both as a whole and in its different areas of activity, for a deadline period of no less than 5 years. In addition, the MFF includes a number of provisions and "special instruments" beyond that, so that even in unforeseen circumstances such as crises or emergencies, funds can be used to address the problem. This is why the MFF is crucial, as it sets the political priorities and objectives for the coming years.

This framework is initially proposed by the Commission and, on this basis, the committee (composed of all Member States) negotiates and has to come to a unanimous agreement . After this the proposal is sent to the European Parliament for approval.

The amount that goes to the MFF is calculated from the Gross National Income (GNI) of the Member States, i.e. the sum of the remuneration of the factors of production of all members. But customs duties, agricultural and sugar levies and other revenues such as VAT are also part of it.

Alliances for war

In the EU there are countries that are "net contributors" and others that are "net receivers". Some pay more to the Union than they receive in return, while others receive more than they contribute. This is why countries' positions are flawed when they face these negotiations: some want to pay less money and others do not want to receive less.

Like any self-respecting European war, alliances and coalitions have been formed beforehand.

The Commission 's proposal for the MFF 2021-2027 on 2 May 2018 already made many European capitals nervous. The proposal was 1.11 % of GNI (already excluding the UK). It envisaged budget increases for border control, defence, migration, internal and external security, cooperation with development and research, among other areas. On the other hand, cuts were foreseen in Cohesion Policy (aid to help the most disadvantaged regions of the Union) and the Common Agricultural Policy (CAP).

The Parliament submitted a report provisional on this proposal in which it called for an increase to 1.3% of GNI (corresponding to a 16.7% increase from the previous proposal ). In addition, MEPs called, among other things, for cohesion and agriculture funding to be maintained as in the previous budget framework .

On 2 February 2019 the Finnish Presidency of committee proposed a negotiation framework starting at 1.07% of GNI.

This succession of events led to the emergence of two antagonistic blocs: the frugal club and the friends of cohesion.

The frugal club consists of four northern European countries: Sweden, Denmark, the Netherlands and Austria. These countries are all net contributors and advocate a budget of no more than 1 % of GNI. On the other hand, they call for cuts to be made in what they consider to be "outdated" areas such as cohesion funds or the CAP, and want to increase the budget in other areas such as research and development, defence and the fight against immigration or climate change.

Austrian Chancellor Sebastian Kurz has already announced that he will veto on committee any proposal that exceeds 1 % of GNI.

The Friends of Cohesion comprise fifteen countries from the south and east of the Union: Spain, Bulgaria, the Czech Republic, Cyprus, Estonia, Greece, Hungary, Latvia, Lithuania, Malta, Poland, Portugal, Romania, Slovakia and Slovenia. All these countries are net recipients and demand that CAP and cohesion policy funding be maintained, and that the EU's budget be based on between 1.16 and 1.3 % of GNI.

This large group met on 1 February in the Portuguese town of Beja. There they tried to show an image of unity ahead of the first days of the MFP's discussion , which would take place in Brussels on the 20th and 21st of the same month. They also announced that they would block any subject cuts.

It will be curious to see whether, as the negotiations progress, the blocs will remain strong or whether each country will pull in its own direction.

Outside of these two groups, the two big net contributors stand out, pulling the strings of what happens in the EU: Germany and France.

Germany is closer to the frugals in wanting a more austere budget and more money for more modern items such as digitalisation or the fight against climate change. But first and foremost it wants a quick agreement .

France, for its part, is closer to the friends of cohesion in wanting to maintain a strong CAP, but also wants a stronger expense in defence.

The problem of "rebates

And if all these variables were not enough, we have to add the figure of the compensatory cheques or "rebates. These are discounts to a country's contribution to budget. This figure was created in 1984 for the United Kingdom, during the presidency of the conservative Margaret Thatcher. For the "Iron Lady", the amount that her country contributed to budget was excessive, as most of the amount (70%) went to the CAP and the Cohesion Funds, from which the UK hardly benefited. It was therefore agreed that the UK would have certain discounts on its budgetary contribution on a permanent and full basis.

These compensatory cheques have since been given to other net contributor countries, but these had to be negotiated with each MFF and were partial on a specific area such as VAT or contributions. An unsuccessful attempt was already made to eliminate this in 2005.

For the frugal and Germany these cheques should be kept, on civil service examination to the friends of cohesion and especially France, who want them to disappear.

Sánchez seeks his first victory in Brussels

Spanish Prime Minister Pedro Sánchez is staking much of his credibility in both Europe and Spain on these negotiations.

In Europe, for many he failed in the negotiations for the new Commission. Sánchez started from a position of strength as the leader of Europe's fourth Economics after the UK's exit. He was also the strongest member of the Socialist group parliamentary , which has been in the doldrums in recent years at the European level, but was the second strongest force in the European Parliament elections. For many, therefore, the election of the Spaniard Josep Borrell as High Representative of the Union for Foreign Affairs and Security Policy, with no other socialist in key positions, was seen as a failure.

Sánchez has the opportunity in the negotiations to show himself as a strong and reliable leader so that the Franco-German axis can count on Spain to carry out the important changes that the Union has to make in the coming years.

On the other hand, in Spain, Sánchez has the countryside up in arms over the prospects of reducing the CAP. And much of his credibility is at stake after his victory in last year's elections and the training of the "progressive coalition" with the support of Podemos and the independentistas. The Spanish government has already taken a stand with farmers, and cannot afford a defeat.

Spanish farmers are highly dependent on the CAP. According to the Ministry of Agriculture, Fisheries and Food: "in 2017, a total of 775,000 recipients received 6,678 million euros through this channel. In the period 2021-2027 we are gambling more than 44,000 million euros."

There are two different types of CAP support:

  • Direct aids: some are granted per volume of production, per crop (so called "coupled"), and the others, the "decoupled" ones, are granted per hectare, not per production or yield and have been criticised by some sectors.

  • Indirect support: this does not go directly to the farmer, but is used for the development of rural areas.

The amount of aid received varies depending on the sector, but can amount to up to 30 % of a farmer's income. Without this aid, a large part of the Spanish countryside and that of other European countries cannot compete with products coming from outside the Union.

Failure of the first budget summit

On 20 and 21 February an extraordinary summit of the European committee took place in order to reach a agreement. It did not start well with the proposal of the president of the committee, Charles Michel, for a budget based on 1.074% of GNI. This proposal convinced nobody, neither the frugal as excessive, nor the friends of cohesion as insufficient.

Michel's proposal included the added complication of linking the submission of aid to compliance with the rule of law. This measure put the so-called Visegrad group (Hungary, Poland, Czech Republic and Slovakia) on guard, as the rule of law in some of these countries is being called into question from the west of the Union. So, another group is taking centre stage.

The Commission's technical services made several proposals to try to make everyone happy. The final one was 1.069% of GNI. Closer to 1%, and including an increase in rebates for Germany, the Netherlands, Sweden, Austria and Denmark, to please the frugal and attract the Germans. But also an increase in the CAP to please the friends of cohesion and France, at the cost of reducing other budget items such as funding for research, defence and foreign affairs.

But the blocs did not budge. The frugal ones remain entrenched at 1%, and the friends of cohesion in response have decided to do the same, but at the 1.3% proposed by the European Parliament (even if they know it is unrealistic).

In the absence of agreement Michel dissolved the meeting; it is expected that talks will take place in the coming weeks and another summit will be convened.

Conclusion

The EU has a problem: its ambition is not matched by the commitment of its member states. The Union needs to reinvent itself and be more ambitious, say its members, but when it comes down to it, few are truly willing to contribute and deliver what is needed.

The Von der Leyen Commission arrived with three star plans: the European Green Pact to make Europe the first carbon-neutral continent; digitalisation; and, under Josep Borrell, greater international involvement on the part of the Union. However, as soon as the budget negotiations began and it became clear that this would lead to an increase in the expense, each country pulled in its own direction, and it was these subject proposals that were the first to fall victim to cuts due to the impossibility of reaching an understanding.

A agreement has to be reached by 31 December 2020, if there is to be no money at all: neither for CAP, nor for rebates, nor even for Erasmus.

Member States need to understand that for the EU to be more ambitious they themselves need to be more ambitious and willing to be more involved, with the increase in budget that this entails.

Categories Global Affairs: European Union World order, diplomacy and governance Analysis

[Angela Stent, Putin's World: Russia Against the West and with the Rest. Twelve. New York, 2019. 433 p.]

review / Ángel Martos

Putin's World: Russia Against the West and with the RestAngela Stent, director of Georgetown University's Center for Eurasia, Russia and Eastern Europe programs of study , presents in this book an in-depth analysis of the nature of Russia at the beginning of the 21st century. In order to understand what is happening today, we sample first look at the historical outlines that shaped the massive heartland that Russian statesmen have consolidated over time.

Russia took advantage of the global showcase of the 2018 World Cup to present a renewed image. The operation to sell Russia's national brand had some success, as reflected in surveys: many foreign (especially American) spectators who visited the country for the football tournament came away with an improved image of the Russian people, and vice versa. However, what was presented as an opening to the world has not manifested itself in the Kremlin's domestic or international policy: Putin's grip on the hybrid regime that has ruled Russia since the collapse of the Soviet Union has not been loosened in the slightest.

Many experts could not predict the fate of this nation in the 1990s. After the collapse of the communist regime, many thought Russia would begin a long and painful road to democracy. The United States would maintain its unique superpower status and shape a New World Order that would embrace Russia as a minor power, equal to other European states. But these considerations did not take into account the will of the Russian people, who understood Gorbachev's and Yeltsin's management as "historical mistakes" that needed to be corrected. And this perspective can be seen in Vladimir Putin's main speeches: a nostalgic feeling for Russia's imperial past, a refusal to be part of a world ruled by the United States, and the need to bend the sovereignty of the once Soviet republics. The latter is a crucial aspect of Russia's foreign policy that, to varying degrees, it has already applied to Ukraine, Belarus, Georgia and others.

What has changed in the Russian soul since the collapse of the Soviet Union? Have relations with Europe suffered ups and downs throughout the history of the Russian Empire? What are these relations like now that Russia is no longer an empire, having lost almost all its power in a matter of years? The author takes us by the hand through these questions. The Russian Federation as we know it today has been ruled by only three autocrats: Boris Yeltsin, Dmitry Medvedev and Vladimir Putin, although one could argue that Medvedev does not even properly count as president, since during his tenure Putin was the intellectual leader behind every step taken in the international arena.

Russia's complicated relations with European countries are notoriously exemplified in the case of Germany, which the book compares to a roller coaster (an expression that is particularly eloquent at Spanish ). Germany is the Federation's door to Europe, a metaphorical door that, throughout contemporary history, has been ajar, wide open or closed, as it is now. After the seizure of Crimea, Merkel's Germany's relations with Moscow have been strictly limited to trade issues. It is worth highlighting the huge differences that can be found between Willy Brandty's Ostpolitik and Angela Merkel's current Frostpolitik. Although Merkel grew up in East Germany, where Putin worked as a KGB agent for five years, and the two can understand each other in both Russian and German, this biographical link has not been reflected in their political relationship.

Germany went from being Russia's biggest European ally (to the extent that Chancellor Gerhard Schröder, after leaving position, was appointed after leaving position chairman of Rosneft's management committee ), to being a threat to Russian interests. After sanctions were imposed on Russia in 2014 with the support of the German government, relations between Putin and Merkel are at their worst. However, some might argue that Germany is acting hypocritically given that it has accepted and financed the Nordstream pipeline, which heavily damages Ukraine's Economics .

Besides the EU, the other main opponent for Russian interests is NATO. At every point on the map where the Kremlin wishes to exert pressure, NATO has strengthened its presence. Under US command, the organisation follows the US strategy of trying to keep Russia at bay. And Moscow perceives NATO and the US as the biggest obstacle to regaining its sphere of influence in "near abroad" (Eastern Europe, Central Asia) and the Middle East.

Putin's fixation with the former Soviet republics has by no means faded over time. If anything, it has increased after the successful annexation of the Crimean peninsula and the civil war that flared up in the Donbass. Russia's nostalgia for what was once part of its territory is nothing more than a pretext to try to neutralise any dissident governments in the region and subjugate as much as possible the countries that make up its buffer zone, for security and financial reasons.

The Middle East also plays an important role in Russian international affairs diary . Russia's main goal is to promote stability and combat terrorist threats that may arise in places that are poorly controlled by the region's governments. Putin has been fighting Islamic terrorism since the separatist threat in Chechnya. However, his possible good intentions in the area are often misinterpreted because of his support in every possible way (including aerial bombardment) for some authoritarian regimes, such as Assad's in Syria. In this particular civil war, Russia is repeating the Cold War proxy war game against the US, which for its part has been supporting the Syrian Democratic Forces (SDF) and the Kurds. Putin's interest is to keep his ally Assad in power, along with the Islamic Republic of Iran's financial aid .

Angela Stent draws an accurate picture of Russia's recent past and its relationship with the outside world. Without being biased, she succeeds in critically summarising what anyone interested in security should bear in mind when addressing topic Russia's threats and opportunities. For, as Vladimir Putin himself declared in 2018, 'no one has succeeded in stopping Russia'. Not yet.

Categories Global Affairs: Central Europe and Russia World order, diplomacy and governance Book reviews

Criticism of Maduro, the resizing of the Chinese embrace and greater migration control mark the harmony with Washington after ten years of FMLN rule.

The surprising use of the military to pressure the Salvadoran Legislative Assembly in early February to approve a security appropriation has raised international alarm about what the presidency of Nayib Bukele, who came to power in June 2019, may hold. Bukele's first half-year of closer relations with the United States, after two decades of rule by the former FMLN guerrillas, may have led Bukele to believe that his authoritarian gesture would be excused by Washington. The unanimous reaction in the region made him correct the shot, at least for the time being.

Inauguration of Nayib Bukele as president in June 2019, with his wife, Gabriela Rodríguez [Presidency of El Salvador].

▲ Swearing in of Nayib Bukele as president, in June 2019, with his wife, Gabriela Rodríguez [Presidency of El Salvador].

article / Jimena Villacorta

El Salvador and the United States had a close relationship during the long political dominance of the right-wing ARENA party, but the coming to power in 2009 of the Farabundo Martí National Liberation Front (FMLN) brought El Salvador into alignment with the ALBA countries (mainly Venezuela, Nicaragua and Cuba), which led to occasional tension with Washington. Furthermore, in 2018, in the final stretch of Salvador Sánchez Cerén's presidency, diplomatic relations with Taiwan were severed and the possibility of strategic investments by China was opened up, which were viewed with suspicion by the United States (especially the option of controlling the Pacific port of La Unión, due to the risk of its military use in a crisis). status .

Nayib Bukele won the early 2019 elections presenting himself as an alternative to the traditional parties, despite the fact that he was mayor of San Salvador (2015-2018) leading a coalition with the FMLN and that for the presidential elections he stayed with the acronym GANA, created a few years earlier as a split from ARENA. His denunciation of the corruption of the political system, in any case, was credible for the majority of an electorate that was certainly tired of the Bolivarian tone of recent governments.

During his electoral campaign, Bukele had already advocated improving relations with the United States, as it is a partner more economically interesting for El Salvador than the ALBA nations. "Any financial aid that comes is welcome, and better if it is from the United States", said one of his advisors. These messages were immediately received in Washington, and in July the US Secretary of State, Mike Pompeo, visited El Salvador: it was the first time in ten years, precisely the time of the FMLN's two consecutive presidencies, that the head of US diplomacy had visited the Central American country. This trip served to accentuate the partnership at subject in the fight against drug trafficking and the gang problem, two shared problems. "We have to fight the MS-13 gang, which has sown destruction in El Salvador and also in the United States, because we have its presence in almost 40 of the 50 states in our country," Pompeo said.

In line with the change of orientation it was undergoing, El Salvador began to align itself in regional forums against the regime of Nicolás Maduro. Thus, on 12 September, the Salvadoran representation in the Organisation of American States (OAS) supported the activation of the Inter-American Reciprocal Treaty of attendance (TIAR), after years of abstaining or voting in favour of resolutions supporting Chávez's Venezuela. On 3 December Bukele announced the expulsion from El Salvador of Maduro's government diplomats, an action immediately replicated by Caracas.

In the same months, El Salvador accepted the terms of the new migration approach that the Trump administration was outlining. During the summer, the White House negotiated with the countries of the Central American Northern Triangle agreements similar to the safe third country mechanism, whereby Guatemala, Honduras and El Salvador agreed to process as asylum seekers those who had passed through their territory and ended up in the US by formalising this application. Bukele met with Trump in September at the United Nations General Assembly framework and signed the agreement, which was presented as an instrument to combat organised crime, strengthen border security, reduce smuggling and human trafficking. 

The signature of agreement proved to be controversial, as many authorities questioned the guarantees of security and protection of rights that El Salvador can offer, when it is the lack of such guarantees that is driving the emigration of Salvadorans. Rubén Zamora, El Salvador's former ambassador to the UN, criticised the fact that Bukele was conceding a great deal to the United States, with hardly anything in return.

Bukele, however, was able to showcase a US counterpart in October: the extension for one year, until January 2021, of the Temporary Protected Status (TPS) that provides legal cover for the presence of 250,000 Salvadorans and their families in the US. The total number of Salvadorans residing in the US is at least 1.4 million, the largest number of Latin American migrants after Mexicans. This sample shows the strong link between the Central American nation, home to 6.5 million people, and the great power of the North, which is also the destination of 80% of its exports and whose dollar is the currency used in El Salvador.

The new Salvadoran president appeared to cut short this harmony with Washington in December, when he made an official trip to Beijing and met with the Chinese leader, Xi Jinping. The US had warned of the risk of China taking strategic advantage of the door that was opening in Central America with the successive establishment of diplomatic relations with the countries of the American isthmus, which until a few years ago were a stronghold of support for Taiwan. In particular, the US embassy in El Salvador had been particularly active in denouncing the Sánchez Cerén government's alleged efforts to grant China the management of the Port of La Unión, in the Gulf of Fonseca, which could be joined by a special economic zone.

However, what Bukele did on this trip was to resize, at least for the time being, this relationship with China, limiting expectations and calming US suspicions. Not only does the question of the port of La Unión seem to have been shelved, but the Salvadoran president also confined China's attendance to the realm of financial aid at development and not to the granting of credits which, in the event of non-payment, condition national sovereignty. Bukele specified that the "gigantic cooperation" promised by China was "non-refundable" and referred to typical international cooperation projects, such as the construction of a Library Services, a sports stadium and a sewage treatment plant to clean the sewage discharged into Lake Ilopango, near the capital.

Categories Global Affairs: World order, diplomacy and governance Articles Latin America