Category: Top Stories

Una nueva recesión en España pone en duda la austeridad

MADRID—España engrosó la lista de economías europeas en recesión y ofreció nuevos indicios de que las políticas de austeridad no han logrado restaurar la confianza en la región. El mal desempeño también intensifica la presión sobre el gobierno de Mariano Rajoy en momentos en que el país se prepara para una semana de manifestaciones contra los recortes del gasto fiscal.

Casi todas las cifras económicas divulgadas en las últimas semanas refuerzan la impresión de que una gran parte de la economía europea está en contracción. Entre los 17 países que conforman la zona euro, ocho están en recesión: España, Bélgica, Grecia, Irlanda, Italia, Holanda, Portugal y Eslovenia. A ellos se suman tres países que no integran la zona euro: Gran Bretaña, Dinamarca y la República Checa.

El deterioro económico ha aumentado las tensiones políticas. Se espera que los actuales gobiernos sean castigados en las elecciones que se realizarán este fin de semana en Francia y Grecia.

Reuters

Una mueblería en Madrid.

España se prepara para una serie de protestas contra las medidas de austeridad y la reforma del mercado laboral, incluyendo una manifestación prevista para hoy primero de mayo y posibles marchas en Barcelona programadas para el jueves, cuando se reúna el consejo del Banco Central Europeo en la segunda ciudad de España. El gobierno instaló una zona de seguridad con el fin de prevenir que los manifestantes interrumpan el encuentro.

Alemania, el gran artífice de la estrategia de austeridad impuesta en Europa, no ha dado señales de ceder y algunos analistas creen que los mercados castigarán cualquier repliegue. Los políticos alemanes han hablado más abiertamente de estrategias que estimulen la economía europea, pero no han indicado que se dispongan a recurrir a las arcas del gobierno alemán ni han atenuado su oposición a otras ideas, como la emisión de bonos de la zona euro como una manera de apuntalar a las economías más débiles.

“Ahora es el momento del estímulo económico”, dijo el lunes Wolfgang Schäuble, el estricto ministro alemán de Finanzas después de una reunión con el ministro de Economía español, Luis de Guindos. Schäuble agregó que los líderes europeos analizarán planes de crecimiento durante una reunión fijada para junio. Pero insistió en que el margen de maniobra es “limitado”.

De Guindos, por su parte, reiteró el compromiso de España con las políticas de austeridad. “No existe una contradicción entre equilibrio presupuestario y crecimiento”, sentenció. “La consolidación fiscal no es un fin en sí mismo, sino la condición para conseguir un crecimiento sostenible”.

El sombrío panorama de la economía española se agravó luego de que su alicaído sistema bancario sufriera el lunes una rebaja generalizada de su calificación de crédito. La mala noticia se produce luego de que la agencia calificadora Standard & Poor’s redujera en dos peldaños la nota de la deuda soberana española.

El instituto de estadísticas de España anunció el lunes que el Producto Interno Bruto (PIB) se contrajo 0,3% en el primer trimestre respecto al cuarto trimestre, tras un retroceso de igual magnitud en los últimos tres meses del año pasado. “La economía española vuelve a entrar en recesión”, manifestó Martin van Vliet, economista de ING. Se trata de la segunda recesión desde 2009. “Mirando hacia delante, tememos que es más probable que la situación empeore antes de mejorar”, escribió en un informe dirigido a los inversionistas.

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Algunos economistas señalan que las políticas de austeridad son contraproducentes en economías donde la demanda ya es anémica y las tasas de interés son muy bajas.

Sony Kapor, director ejecutivo del centro de estudios Re-Define, dice que la baja confianza económica y la debilidad de los bancos significa que los recortes en el gasto fiscal no son compensados por un mayor gasto de las empresas y los consumidores. En lugar de ellos, la austeridad genera una contracción. “Una vez que se eche a andar este mecanismo en España, una reducción de 1% en el gasto público puede desembocar en un deterioro de la actividad económica de entre 2% y 3%”, aseveró.

© 2011 Wall Street Journal (www.wsj.com)

Iowa On Same-Sex Marriage: It’s Complicated

Story By: by Don Gonyea

Iowans attend a marriage rally sponsored by The Family Leader on Tuesday at the Statehouse in Des Moines. The head of the organization says President Obama’s endorsement of gay marriage could cost him the election.

Immediately after President Obama announced his support this week for same-sex marriage, attention turned to politics. The outcome of this year’s election will be determined by a handful of states — one of them is Iowa, where the politics of same-sex marriage are complicated.

Same-sex marriage is legal here, but three of the state Supreme Court justices upholding that 2009 decision were removed from office by voters a year later.

Still, the most recent polling shows that a solid majority of Iowans oppose changing the state constitution to ban gay marriage. Pollster Ann Selzer says despite the heated battles over the issue, the economy and jobs are what Iowa voters care about most.

Take Mary Wells and her husband Norman of Johnston, Iowa. She’s 75. He’s 76. They consider themselves independents.

She voted for Obama; he didn’t. They won’t say how they’ll vote this year, but they say Obama’s endorsement of gay marriage won’t have an impact on that decision.

“I think there’s more important things than talking about that,” Norman Wells says.

He says he has no opinion on the matter either way.

Mike Hoover, 39, is a county employee in Altoona. He’s an independent voter who leans Republican. He’s still undecided this year, but he’s not pleased with this week’s news.

“Same-sex marriage … I just think that it’s wrong,” he says. “I guess … the Bible says marriage is supposed to be a man and a woman.”

Hoover said this could make him more likely to vote for Mitt Romney.

Nationally, polls show that Americans over the years have become more accepting of same-sex marriage. That describes Des Moines resident Jim Polking, a retired salesman and Obama supporter.

“If you’d have asked me that question 10 years ago, I’d said I don’t believe in that at all. But today I’ve changed my thoughts on it, and I think, why not?” he says. “I don’t know if I would get up and applaud for it … but I’m not going to object to it.”

Activists disagree over whether the issue will have any real impact on the presidential contest in Iowa. Bob Vander Plaats heads a conservative Christian organization called The Family Leader. He’s a major player in Iowa politics.

“I believe this is a bad political risk for Obama. I think it’s going to hurt him in Iowa,” Vander Plaats says. “I actually think this could be the issue that could cost him the presidency.”

On the other side is Des Moines attorney Sharon Malheiro, a founder of the group One Iowa, an organization working to keep gay marriage legal in Iowa.

“I don’t think that this is going to cost Obama the election, this one issue. He’s standing in favor of civil rights. There are plenty of people who will see that that’s the right thing to do,” she says. “But there’s more to the president than my being able to get married. And there’s more to the president than this statement.”

Vander Plaats, however, promises to use the issue to motivate Christian conservative voters. But he says Romney needs to make it an issue as well.

“Mitt Romney is going to determine how this plays for Mitt Romney. But now that Obama’s made it an issue, is Romney going to show clear leadership here?” he says. “Or is he going to start waffling? … If he does that, the base will get demoralized.”

Four years ago, candidate Obama carried Iowa easily. This year, it’s expected to be much closer. That means getting out the base is especially critical for both campaigns. Same-sex marriage could play a role in that, even if most voters rank it well down their list of priorities.

Consultation on how to label food

Food manufacturers, supermarkets and health experts are to be asked their views on the best way to label the nutritional content of food.

He said he was aiming for a system which "incorporates not only what Europe requires in terms of recommended daily allowance for calories and sugar and salt and saturated fats, but in addition to that to give a means by which consumers can look at a glance, for example, using things like colour coding."

Dr Vivienne Nathanson, head of science and ethics at the British Medical Association, told the BBC: "We're great fans of traffic lights, the simpler the better."

But she said the ideal would be to have the colour coding as well as the more detailed GDAs.

Dr Nathanson said everyone using the same system would be "enormously" helpful as people were put off by "having to adjust to a different label every time you look at a different food".

Julia Waltham, from the British Heart Foundation, said: "This isn't about telling people what should or shouldn't be in their baskets.

"The government should strongly recommend that food companies and supermarkets use a consistent food labelling scheme that includes traffic light colours. They all have a responsibility to provide a system that helps shoppers compare products and then easily pick the healthiest option if they want to."

© 2011 BBC News (www.bbc.co.uk)

Cientistas alertam: ser banqueiro faz mal à saúde

Scott Youtsey for The Wall Street Journal

Acrescente ser banqueiro de investimentos à lista das coisas que podem fazer mal à saúde.

Uma pesquisadora da Universidade do Sul da Califórnia encontrou insônia, alcoolismo, palpitações cardíacas, distúrbios alimentares e temperamento explosivo em alguns dos cerca de 25 profissionais iniciantes do setor de banco de investimentos que ela monitorou, assim que eles saíram da faculdade de administração.

Todos os indivíduos que ela observou durante dez anos desenvolveram uma doença física ou emocional relacionada a estresse, diz ela num estudo a ser publicado este mês.

Há muito o setor de banco de investimentos exerce grande atração sobre pessoas ambiciosas que anseiam por competição, muito dinheiro, jantares extravagantes e transporte de limusine pago pela empresa. A semana de trabalho de cem horas é apenas a primeira mão em um jogo de altas apostas.

Mas banqueiros de investimento, operadores e traders são apenas seres humanos. Sob o imenso estresse do trabalho, muitos sofrem problemas pessoais e emocionais que se transformam em crises graves, e alguns contraem doenças que persistem por muito tempo depois que eles abandonam o setor.

Lindley DeGarmo, de 58 anos, ex-conselheiro da Salomon Brothers, que deixou a indústria financeira em 1995 para tornar-se pastor protestante, recorda como os gerentes muitas vezes faziam os jovens contratados trabalharem até a exaustão. “A cultura lá era que esses eram corpos de cachorros”, diz ele.

John Chrin, ex-diretor-gerente da JP Morgan Chase & Co., que deixou a firma em junho de 2009 para tornar-se executivo-residente da Universidade de Lehigh, lembra-se de ver novos funcionários engordarem 15 ou 20 quilos dentro de um par de anos no cargo. Quando trabalhou na Merrill Lynch & Co., agora uma divisão do Bank of America Corp., Chrin se lembra de que um diretor-gerente mandou um motorista ligar o ar-condicionado apesar de ele estar quebrado, o que fez o carro pegar fogo. Esse diretor ameaçou então despedir o motorista. O Bank of America não quis comentar o assunto.

“Talvez o trabalho aumente algumas tendências que já existem”, diz ele.

O estudo da USC começou há uma década em dois bancos de Wall Street que deram acesso à pesquisa, sob a condição de permanecerem anônimos.

Alexandra Michel, professora assistente de gestão na Faculdade de Administração Marshall, da USC, seguiu de perto os banqueiros de investimento nos seus escritórios — sentando-se perto deles, acompanhando-os às reuniões, imitando a sua jornada de trabalho e até mesmo varando noites — por mais de 100 horas por semana durante o primeiro ano, cerca de 80 horas por semana no segundo ano, e então deu sequência com entrevistas pessoais.

O estudo será publicado na próxima edição da “Administrative Science Quarterly”, que deve sair ainda este mês.

Durante os dois primeiros anos, os jovens executivos trabalharam em média 80 a 120 horas por semana, mas se mantiveram animados e cheios de energia, diz ela. Normalmente, chegavam às 6 da manhã e saíam por volta de meia-noite.

Ao chegar o quarto ano, porém, muitos deles estavam em péssimas condições, segundo o estudo. Alguns tinham muita carência de sono e culpavam seu organismo por impedi-los de terminar seu trabalho. Outros desenvolveram alergias e dependência de substâncias químicas. Outros, ainda, foram diagnosticados com problemas de saúde de longo prazo, tais como doença de Crohn, psoríase, artrite reumatóide e doenças da tiróide.

Enquanto isso, as “vantagens” oferecidas pela empresa, tais como refeições trazidas ao local de trabalho e motoristas, também aos poucos apagaram a divisão entre o trabalho e a vida pessoal.

Um vice-presidente descreveu o trabalho como um pesadelo eterno, acordando todas as manhãs e desejando que o dia anterior tivesse sido “apenas um sonho mau”. Outro vice-presidente disse que ele estava com tanto medo que os outros notassem o seu alcoolismo que “vivia perdendo metade do que diziam”.

Ao chegar ao sexto ano de trabalho, os participantes, agora na faixa dos 30 e poucos anos, se dividiam em dois grupos: 60% continuavam “em guerra” contra seu próprio corpo, e os outros 40% haviam decidido dar prioridade à saúde, ou seja, davam mais atenção ao exercício, sono e alimentação e só permitiam que o trabalho os consumisse até certo ponto.

© 2011 Wall Street Journal (www.wsj.com)

Greece faces final coalition push

Greek President Karolos Papoulias is preparing to hold talks with party leaders in an attempt to create an emergency government.

The move comes after the country's socialists became the third party to fail to form a coalition.

If the president's bid fails, fresh elections will have to be held, probably next month.

Last Sunday, voters backed parties opposed to Greece's bailout deal that requires deep budget cuts.

Greece's political turmoil has raised the possibility that it could default on its debts and be forced out of the eurozone.

The president is expected to try to pressure parties into a government of national salvation – but the BBC's Mark Lowen in Athens says he is unlikely to succeed.

The process could take days.

Evangelos Venizelos, leader of the socialist Pasok party, abandoned efforts to form a new government on Friday and said he would meet the president on Saturday morning.

He had held talks with centre-right New Democracy leader Antonis Samaras, whose party came first in the election, but could not find a third partner to give them a majority in parliament.

"I hope that during the negotiations chaired by Mr Papoulias everyone will be more mature and responsible in their thinking," Mr Venizelos said.

New Democracy also failed to form a coalition earlier in the week, as did the left-wing bloc Syriza, which came second in the election.

Syriza firmly rejects the terms of the EU-IMF bailout, which requires tough austerity measures in return for loans worth a total of 240bn euros (£192bn; $310bn).

Its leader, Alexis Tsipras, said on Friday he could not join any coalition that intended to implement the bailout deal.

"The rejection of this plan does not come from Syriza but was given by the Greek people on the night of the election," he said.

"The bailout austerity has already been denounced by the Greek people with its vote, and no government has the right to enforce it."

Analysts say Syriza could be hoping for fresh elections after one opinion poll put them in first position in any new ballot, albeit without an overall majority.

Sunday's election saw a backlash against Pasok and New Democracy, which had formed the outgoing coalition and had agreed the terms of the bailout.

The once-dominant Pasok, which was seen as the architect of austerity, came third with just 41 seats in the 300-seat parliament.

The Greek crisis is continuing to create unease is global financial circles.

The Fitch ratings agency warned that if Greece did leave the euro, it would probably place all 16 remaining euro nations' sovereign ratings on "rating watch negative" – meaning they would be in danger of being downgraded.

"A Greek exit would break a fundamental tenet underpinning the euro – that membership of EMU (Economic and Monetary Union) is irrevocable," Fitch said.

EU monetary affairs chief Olli Rehn said Greece had to abide by its bailout terms.

"Greece systemically lived beyond its means for a decade… It is simply not sustainable and therefore Greece has had to take firm action to restore its economic competitiveness and sustainable public finances," he said.

© 2011 BBC News (www.bbc.co.uk)

Hope rises for repatriation of accident-hit stranded Filipino

By ABDUL HANNAN TAGO

Published: May 12, 2012 01:00
Updated: May 12, 2012 01:00

Riyadh: The possibility of a speedy repatriation of Alfredo Salmos, a Filipino who suffered a serious accident in Jeddah last year, was discussed between SPMUDA Director General for the Middle East and African Affairs Alsheikh Mohamed Alkhalaf and Philippine Ambassador Ezzedin H. Tago.

Alkhalaf, who is also a goodwill ambassador of the international NGO Southern Philippines Muslim and Non-Muslim Unity and Development Association (SPMUDA), came from the Eastern Province to meet the ambassador. The latter informed him that the consulate general in Jeddah is closely coordinating with the parties involved, and efforts are under way to obtain a final exit visa and have Salmos repatriated back home.

SPMUDA last week launched a humanitarian mission for Salmos through various channels with Alkhalaf’s assistance.  He is now in contact with the parties concerned. Yesterday, Alkhalaf also spoke to the Philippine consul general in Jeddah, Uriel Norman Garibay, on the issue.

Garibay informed Alkhalaf that Salmos’ case with the Saudi traffic department had been cleared and that his sponsor would provide the return ticket.

Garibay confirmed that the victim would be repatriated very soon, maybe within a week, as his expired passport had also been renewed.

According to an appeal launched on social networking sites, 52-year-old Salmos suffered an electrical shock while at work two years ago. He had been in a coma until last month. The appeal said the victim had no family to take care of him in Jeddah and no job to sustain him.

Salmos’ plight caught the attention of human rights associations when his photo appeared on major social networks, including various channels in the Philippines. The report was also published in Arab News.

“I share with everyone the sympathies expressed for Salmos. We are, of course, happy and thank the Almighty that his condition has improved compared to two years ago when he was in a coma,” Tago said. He continued: “I have asked the Philippine Consulate in Jeddah to work closely with the employer and the authorities concerned to help Salmos, so he could be granted the required clearance and final exit.”

The Philippine Consulate in Jeddah issued a statement on May 3, communicating that Salmos was brought to King Abdulaziz Hospital in October 2010 to have his injuries treated. However, his name appears in the Saudi immigration database as the owner of a Honda Accord 1981 model impounded 12 years ago. This record must be rectified, according to the statement. He is also said to have left Siemens Ltd. six months before he met with the accident. Hence, the issuance of his final visa is further complicated by the need to have his expired residence card renewed and immigration fines settled by his former employer.

SPMUDA’s founding president, Datu Camad Ali, said Salmos was in need of financial assistance so he could rejoin his family back home. He also wrote a letter to the Philippine President Benigno Aquino on the matter.

SPMUDA International is a registered nonprofit, nonstock and non-partisan NGO for peace, unity and development. It has branches in more than 193 countries represented by its volunteer goodwill ambassadors to link and promote understanding, friendship and cooperation on matters of mutual interest for the welfare and benefit of the poor and the needy.

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© 2011 Arab News (www.arabnews.com)

Santander planeja abertura de capital recorde no México

O banco espanhol Santander está planejando vender dentro de um ano uma fatia de sua filial de forte crescimento do México, disseram ontem pessoas a par do assunto, no que pode se tornar a maior oferta pública inicial da história do país.

A operação levantaria bilhões de dólares para o banco espanhol, e seria a mais recente de uma série de vendas pelo Santander de participações em diversas filiais latino-americanas. Não se sabe o tamanho da fatia do Banco Santander (México) SA que seria vendida, ou a que preço, mas duas pessoas a par do assunto disseram que uma avaliação entre US$ 15 bilhões e US$ 20 bilhões seria “realista”.

Bloomberg News

No limite inferior dessa faixa, uma venda de 10% da subsidiária traria US$ 1,5 bilhão. Em junho de 2010, o próprio Santander comprou, por US$ 2,5 bilhões, os 24,9% que ele ainda não tinha na divisão mexicana do Bank of America Corp., um negócio que avaliou a filial em US$ 10 bilhões.

O Santander está usando os recursos obtidos nessas vendas para reforçar seu caixa, num momento em que os prejuízos com empréstimos inadimplentes estão chegando a níveis recordes nas suas operações no sul da Europa.

O México foi responsável por 10% dos lucros totais do Santander no ano passado, informou o banco no seu mais recente relatório de resultados. O banco, que lucrou 5,35 bilhões de euros (US$ 7,07 bilhões) em 2011, deve divulgar quinta-feira o seu resultado no primeiro trimestre.

O Santander, o maior banco da zona do euro em valor de mercado, convidou bancos de investimento a apresentar propostas de como estruturar a abertura de capital da divisão mexicana nos próximos 6 a 12 meses, disseram as pessoas a par do assunto. A partir dessas ofertas, o Santander vai definir quem coordenará a venda de ações, que pode ou não acontecer.

Um executivo do Santander em Madri não quis comentar.

Para o Santander, uma listagem no México tem como base uma antiga estratégia de negociar as ações de suas filiais em bolsas locais. Em 2007, o gigante bancário captou cerca de US$ 8 bilhões com a venda de 15% do Banco Santander Brasil SA. Ele também cogitou abrir o capital da divisão britânica no ano passado, mas teve de adiar seus planos, pelo menos até o ano que vem, devido às difíceis condições de mercado. Ele também desistiu há pouco tempo de vender uma participação da sua filial na Argentina.

Os executivos do banco geralmente exaltam as virtudes das aberturas locais de capital, ressaltando como elas tornam a marca mais conhecida, pois investidores locais viram acionistas. As ofertas de ação também fornecem uma medida do desempenho de cada filial, uma ferramenta útil no caso de um banco grande como o Santander.

Além do Brasil, as divisões do Santander no Chile, Polônia e Peru já têm ações negociadas em bolsas locais. Os reguladores dos países gostam das aberturas de capital porque elas permitem a eles supervisionar melhor bancos grandes que operam nos seus mercados.

Uma abertura local de capital traz outras vantagens. Quando o Santander comprou recentemente um pequeno banco na Polônia, ele usou a sua filial no país como veículo para a aquisição, pagando pelo novo banco com ações da filial.

A tática possibilita aos bancos aproveitar os picos de valorização em certos mercados: o banco vendeu ações da divisão brasileira quando a economia estava crescendo, mas desistiu de outros negócios quando não conseguiu o valor que desejava.

As listagens locais também provaram ser um recurso oportuno quando o Santander precisou de dinheiro nos últimos meses, permitindo a ele vender pequenas parcelas das suas subsidiárias de capital aberto no Chile e no Brasil, sem que perdesse o controle dessas filiais. Enquanto alguns concorrentes europeus tiveram que emitir ações novas com descontos pesados para satisfazer exigências mais altas de capital, o Santander atendeu a essas exigências vendendo ativos nos mercados emergentes que ainda obtiveram avaliações atrativas.

As preocupações dos investidores sobre a saúde da economia da Espanha e dos seus bancos empurraram a ação do Santander e do mercado espanhol como um todo para seus níveis mais baixos em três anos. Ontem, as ações do Santander fecharam em queda de 1,9%, a 4,66 euros cada.

O Santander começou no ano passado a considerar a abertura de capital da filial do México, a terceira maior do banco em ativos, e estava esperando o momento certo. Marcos Martínez, presidente do conselho de administração do banco no México, disse em fevereiro a uma emissora de rádio mexicana que o Santander estava esperando por “boas condições” para abrir seu capital.

Esse momento parece estar se aproximando. Os resultados da subsidiária estão melhorando, sendo que o lucro subiu 46% no ano passado, para US$ 1,3 bilhão. A carteira de crédito também está crescendo a uma taxa anual de cerca de 30%, e as provisões para inadimplência estão caindo.

A maior abertura de capital já registrada no México ocorreu em fevereiro de 2006, quando o Grupo Aeroportuario del Pacífico SA vendeu 91,6% das suas ações e captou US$ 1 bilhão, de acordo com a firma de dados Dealogic. A construtora espanhola Obrascón Huarte Lain SA levantou US$ 798 milhões com a venda de 26,3% de sua filial mexicana, em 2010.

© 2011 Wall Street Journal (www.wsj.com)

US targets Mexico drug lord sons

The US treasury department has put two sons of Mexico's most wanted man Joaquin "El Chapo" Guzman on its drugs kingpin blacklist.

The move bars all people in the US from doing business with Ivan Archivaldo Guzman Salazar and Ovidio Guzman Lopez, and freezes any US assets they have.

Joaquin Guzman, on the list since 2001, runs the powerful Sinaloa drug cartel.

Mexico has seen an explosion of violence in recent years as gangs fight for control of trafficking routes.

The US administration "will aggressively target those individuals who facilitate Chapo Guzman's drug trafficking operations, including family members," said Adam Szubin, director of the department's Office of Foreign Assets Control .

"With the Mexican government, we are firm in our resolve to dismantle Chapo Guzman's drug trafficking organisation."

Ovidio Guzman plays a significant role in his father's drug-trafficking activities, the treasury department said.

Ivan Archivaldo Guzman was arrested in 2005 in Mexico on money-laundering charges but subsequently released.

As well as the Guzman brothers, two other alleged key cartel members, Noel Salgueiro Nevarez and Ovidio Limon Sanchez, were listed under the Foreign Narcotics Kingpin Designation Act.

They were both arrested in Mexico in 2011 and are still in custody.

Under the Kingpin Act, US firms, banks and individuals are prevented from doing business with them and any assets the men may have under US jurisdiction are frozen.

More than 1,000 companies and individuals linked to 94 drug kingpins have been placed on the blacklist since 2000.

Penalties for violating the act range include up to 30 years in prison and fines up to $10m (£6m).

The US has offered a reward of up to $5m a for information leading to the arrest of Joaquin Guzman, who escaped from a Mexican prison in 2001.

© 2011 BBC News (www.bbc.co.uk)

Netanyahu’s power play pays off

Having created one surprise in pushing for an early general election, Israeli Prime Minister Benjamin Netanyahu has now delivered an even greater bomb-shell.

Israeli prime ministers have tended to be prisoners of the more extreme elements in their own coalition governments, with small ultra-orthodox parties or the more hawkish elements of the settler lobby having an altogether disproportionate influence on policy.

Now with a large coalition behind him, Mr Netanyahu has at least a chance to change some of this. But success is not certain. Institutional reform in the past has led nowhere. But above all else it is going to depend upon Mr Netanyahu himself.

He emerges from this re-alignment with his power and prestige significantly enhanced. While much of the driving force for this change stems from domestic considerations, it clearly reinforces his stature in foreign policy as well.

It will give him more authority when tackling the issue of Iran's nuclear programme; it has the potential to allow him to try to get things moving on the peace front with the Palestinians; and it will bolster Israel's government at a time when the familiar politics of the region has been up-ended by the Arab Spring.

Seasoned observers would caution against any great hope of movement with the Palestinians.

Much could depend upon whether the new US administration moves swiftly to try to reinvigorate negotiations. But the same regional uncertainties that confront Israel also face the Palestinians.

Some analysts note the recent death of Benjamin Netanyahu's father as potentially a factor in all of this.

He was undoubtedly a highly conservative influence on his son. Will this be the moment that Mr Netanyahu moves out from beneath his father's ideological shadow?

The prime minister's critics may say that while he has once again proved himself highly adept at political manoeuvring, he is yet to prove himself equally capable as a statesman.

© 2011 BBC News (www.bbc.co.uk)

American amphibious ship Iwo Jima berths at Jeddah port

The Harrier Jump Jet, which is famous for its capability of vertical takeoff, was on display with marine weapons and other tools during the ceremony aboard the ship. (AN photo)

By MOHANNAD SHARAWI

Published: May 10, 2012 23:31
Updated: May 10, 2012 23:31

Around 2,100 sailors, US Marine Corps, US Navy commanders and other onboard crew members participated along with representatives from the Royal Saudi Navy and the Foreign Affairs Ministry in the official reception of American amphibious assault ship “USS Iwo Jima (LHD 7),” which docked at Jeddah Islamic Port on Tuesday.

US Consul General Thomas Duffy received the onboard crew led by commanding officer of the USS Iwo Jima Capt. Grady Banister over a well-attended aboard banquet.

According to Banister, the purpose of the maritime visit to Saudi Arabia was to carry out naval training with members of the Royal Saudi Navy, which is part of the US naval cooperative relationship with regional partners. He told Arab News that regional security and stability were directly linked to enhanced cooperation, understanding and collaboration with partner nations, friends and allies.

“The US and Saudi Arabia have a strong and longstanding comprehensive relationship, which includes commercial, cultural and strategic cooperation.

The US Navy has been a key pillar of this cooperation,” the captain said. “The broad-ranging US-Saudi ties were cemented aboard the USS Quincy during a meeting between King Abdul Aziz Al-Saud and President Franklin Roosevelt,” Banister added.

He noted that US naval presence in the region is the continuation of a six decade-long commitment to stand by the US partners, friends and allies, and protect the free flow of commerce in the region. “It is the cooperation from many nations that makes our mission effective; we cannot do it alone.”

Banister said that this was his second visit to Jeddah and the Kingdom. His previous one was in 1990. “I am really amazed with the tremendous boom and development Saudi Arabia has undergone throughout the past 20 years. In fact, I can see that Jeddah has become much more developed since my last visit here,” Banister said. USS Iwo Jima left the American seashores on March 27. Since then, it made scores of stops until it finally reached Jeddah port. The US Navy staff members will do some maritime exercise with the Saudis under a training operation called “Eager Lion” that will take place along the Red Sea coast and last until May 17. The operation is a regional exercise with many partner nations, including Saudi Arabia.

There were some equipment, marine weapons and other tools on display during the ceremony, in addition to one Harrier Jump Jet, which is famous for its capability of vertical takeoff.

USS Iwo Jima was christened on March 25, 2000. It derives its name from the epic battle of February 1945 near a tiny Japanese island called Iwo Jima. It is the seventh Wasp-class multipurpose amphibious assault ship. The ship also carries an assortment of navy and Marine Corps aircrafts. It has modern medical and dental facilities to provide intensive medical assistance to around 800 patients.

USS Iwo Jima has played a major role in providing humanitarian assistance over the years. In the aftermath of the destruction caused by Hurricane Katrina in New Orleans, the Iwo Jima served as the command ship for relief operations. The ship was also part of Operation Continuing Promise in South America. During that operation, humanitarian assistance teams aboard the Iwo Jima – comprised of US military personnel, partner nations’ forces and civilian relief volunteers – provided medical care and infrastructure improvements in eight countries. They also offered planning and coordination training for military personnel in addition to valuable services to communities in need.

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