G20 financial chiefs flag global economic ‘soft landing’, warn of risks from war

Brazil's Economy Minister Fernando Haddad (L) speaks next to US Treasury Secretary Janet Yellen after signing an agreement during the G20 economic ministers' meeting in Rio de Janeiro on July 26, 2024. (AFP)
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Updated 27 July 2024
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G20 financial chiefs flag global economic ‘soft landing’, warn of risks from war

  • Communique avoids mention of wars in Gaza and Ukraine, to sidestep disagreements between Russia and major Western nations
  • Communique avoids mention of wars in Gaza and Ukraine, to sidestep disagreements between Russia and major Western nations

RIO DE JANEIRO: G20 financial leaders said on Friday the global economy was likely heading for a “soft landing,” but warned wars and escalating conflicts could endanger this outlook, while more global cooperation could make growth stronger.
In a joint communique after a two-day meeting in Brazil, finance ministers and central bankers from the Group of 20 major economies also committed to resist protectionism in trade and stressed the need to reduce economic inequalities.
Last month, the World Bank forecast that the global economy would avoid a third consecutive decline in growth since a major post-pandemic jump in 2021, with 2024 growth stabilising at 2.6 percent, in line with 2023, but warned that overall output would remain well below pre-pandemic levels through 2026.
“We are encouraged by the increasing likelihood of a soft landing of the global economy, although multiple challenges remain,” the communique said. “Downside risks include wars and escalating conflicts,” it said.
By avoiding explicit mention of the conflicts in Ukraine and Gaza, diplomats have worked to sidestep the disagreements between Russia and major Western nations that derailed a consensus at the finance chiefs’ gathering in February.
To defuse the disagreement, Brazil drafted a chair statement on geopolitical issues, stressing that these matters will be addressed by G20 leaders in November.
“The G20 made a wise decision to put geopolitical issues in their place to allow the cooperation agenda to move forward,” Brazil Finance Minister Fernando Haddad told a news conference.
Haddad also hailed the group’s first-ever declaration calling for cooperation to effectively tax the world’s largest fortunes, although that separate joint statement papered over disagreements about the right forum to advance the agenda.
The G20 communique said economic activity had proved to be more resilient than expected in many parts of the world, but the recovery had been highly uneven across countries, contributing to the risk of economic divergence.

Balance of risks
The document flagged risks to the economic outlook that remain broadly balanced, with more economic cooperation, faster-than-expected disinflation and technological innovations, like the safe development of Artificial Intelligence (AI), cited among upside risks.
But at the same AI tech could also turn out to be a downside risk to growth, the document said, along with economic fragmentation and persistent inflation keeping interest rates higher for longer, extreme weather events, and excessive debt.
Climate change and significant loss of biodiversity were key topics of concern, the G20 financial leaders agreed, warning that if poorer nations had to shoulder more of the cost of fighting climate change, it would make global inequality worse.
“We reiterate the understanding that the cost of inaction is greater than the cost of action,” the communique said.
The document also stepped-up language calling for a reform of the International Monetary Fund, that would give emerging and developing economies a bigger say in the lender of last resort.
The G20 communique underlined the “urgency and importance of realignment in quota shares to better reflect members’ relative positions in the world economy.” G20


Trump’s Pentagon pick paid woman after sex assault allegation but denies wrongdoing, his lawyer says

Updated 6 sec ago
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Trump’s Pentagon pick paid woman after sex assault allegation but denies wrongdoing, his lawyer says

  • Lawyer Timothy Parlator tries to turn the tables on Hegseth's accuser by portraying her as the "aggressor"
  • While admitting that the Fox News host paid the accuser, the lawyer accused the woman of blackmail and extortion

WASHINGTON: Pete Hegseth, President-elect Donald Trump’s pick for defense secretary, paid a woman who accused him of sexual assault to head off the threat of a baseless lawsuit, according to Hegseth’s lawyer.
Hegseth was accused of sexual assault in 2017 after a speaking appearance at a Republican women’s event in Monterey, California, according to a statement released by the city. No charges were filed.
His lawyer, Timothy Parlatore, told The Associated Press on Sunday that the sexual encounter was consensual and that the woman who made the accusation to police several days later was the “aggressor.” That assertion has not been confirmed in the statement released by the city.
Parlatore said a payment was made to the woman as part of a confidential settlement a few years after the police investigation because Hegseth was concerned that she was prepared to file a lawsuit that he feared could have resulted in him being fired from Fox News, where he was a popular host. Parlatore would not reveal the amount of the payment.
“He was falsely accused and my position is that he was the victim of blackmail,” Parlatore said, calling it a case of “successful extortion.”
The Washington Post earlier reported details of the payment. The newspaper also reported it obtained a copy of a memo sent to Trump’s transition team this past week by a woman who said she is a friend of the accuser that details the sexual assault allegations.
Trump’s transition team had no immediate comment Sunday on the memo.
The person who reported the assault — whose name, age and sex were not released — had bruises on the right thigh, according to the city’s statement. No weapons were involved in the encounter, the person told police.
The incident occurred sometime between 11:59 p.m. on Oct. 7 and 7 a.m. the following morning, according to the city’s statement.
Hegseth was in Monterey at the time to address the California Federation of Republican Women during a banquet dinner held at the group’s biennial convention, according to social media posts and promotional materials from the time.
Monterey officials said they were withholding further details included in the police report because it included analysis and conclusions by law enforcement officials that are exempt from release under state public records law.
At the time of the 2017 accusations, Hegseth, now 44, was going through a divorce with his second wife, with whom he has three children. She filed for divorce after he had a child with a Fox News producer who is now his wife, according to court records and social media posts by Hegseth. His first marriage ended in 2009, also after infidelity by Hegseth, according to court records.
After the accusations first surfaced last week, Steven Cheung, a spokesman for the Trump transition who has been named White House communications director, issued a statement saying the president-elect is “nominating high-caliber and extremely qualified candidates to serve in his Administration.”
“Mr. Hegseth has vigorously denied any and all accusations, and no charges were filed. We look forward to his confirmation as United States Secretary of Defense so he can get started on Day One to Make America Safe and Great Again,” Cheung said.
 


Bangladesh to seek extradition of ousted Sheikh Hasina: govt

Updated 21 min 59 sec ago
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Bangladesh to seek extradition of ousted Sheikh Hasina: govt

  • Hasina has been summoned to appear in court in Dhaka on Monday to face charges of “massacres, killings, and crimes against humanity,” but she remains in exile in India

DHAKA: Bangladesh will seek the extradition of ousted former prime minister Sheikh Hasina who was toppled in a revolution in August and fled to India, interim leader Muhammad Yunus said.
Dhaka has already issued an arrest warrant for 77-year-old Hasina — last seen arriving in neighboring India after fleeing by helicopter as crowds stormed her palace.
Hasina has been summoned to appear in court in Dhaka on Monday to face charges of “massacres, killings, and crimes against humanity,” but she remains in exile in India.
Yunus said his administration was focused on ensuring those guilty of cracking down on the protests to oust Hasina faced justice.
Several of her former government ministers, who were detained and held in custody, are expected in court to face similar charges.
“We have already taken initiatives to try those responsible for enforced disappearances, murders, and the mass killings during the July-August uprising,” Yunus said on Sunday.
The 84-year-old Nobel Peace Prize winner was appointed to lead the government as “chief adviser” on August 9, days after the end of Hasina’s 15 years of iron-fisted rule.
Yunus, in a speech to the nation marking 100 days in power since a student-led revolution, said he had spoken to Karim Khan, chief prosecutor of the International Criminal Court.
“We will seek the extradition of the ousted autocrat from India,” Yunus said, referring to Hasina.
Earlier this month, Bangladesh said it would request an Interpol “red notice” alert for fugitive leaders of Hasina’s regime.
Red notices issued by the global police body alert law enforcement agencies worldwide about fugitives.
India is a member of Interpol, but the red notice does not mean New Delhi must hand Hasina over.
Member countries can “apply their own laws in deciding whether to arrest a person,” according to the group, which organizes police cooperation between 196 member countries.
Yunus, a microfinance pioneer, is leading a temporary administration to tackle what he has called the “extremely tough” challenge of restoring democratic institutions in the South Asian nation of around 170 million people.
He also begged the country’s “patience” to prepare for the much-awaited poll, vowing an election commission would be formed “within a few days.”
But Yunus said he could not give a timeframe for the elections, saying it was dependent on a raft of reforms.
“I promise that we will hold the much-anticipated election once the necessary and essential reforms are complete,” he said in the broadcast.
“I request your patience until then. We aim to build an electoral system that will endure for decades. For this, we need some time.”
Crisis Group analyst Thomas Kean has called the challenge facing Yunus “monumental,” warning of that “cracks are emerging in the fragile alliance” that pushed him into power.
“For now, Yunus and his colleagues have widespread support, but popular expectations are double-edged,” the thinktank said in a report on Thursday.
“If the interim administration falters in making reforms, the outcome is likely to be an early election with little progress; in the worst-case scenario, the military could assume power.”


Senegal ruling party claims ‘large victory’ in elections

Updated 14 min 23 sec ago
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Senegal ruling party claims ‘large victory’ in elections

  • President Bassirou Diomaye Faye’s Pastef party had emerged as the vote winner in most of the first polling stations giving their provisional results, according to media reports, beating the two main opposition parties

DAKAR: Senegal’s ruling party claimed it had won a comfortable victory in Sunday’s legislative elections, paving the way for it to deliver an ambitious reform agenda eight months after sweeping to power.
Voting took place peacefully across the West African country, where the governing Pastef party said 90 to 95 percent of ballots had already been counted.
“I pay homage to the Senegalese people for the large victory that it has given to Pastef,” government spokesman Amadou Moustapha Ndieck Sarre told TFM television.
President Bassirou Diomaye Faye’s Pastef party had emerged as the vote winner in most of the first polling stations giving their provisional results, according to media reports, beating the two main opposition parties.
Faye secured victory in March pledging economic transformation, social justice and a fight against corruption — raising hopes among a largely youthful population facing high inflation and widespread unemployment.
But an opposition-led parliament hampered the government’s first months in power, prompting Faye to dissolve the chamber in September and call snap elections as soon as the constitution allowed him to do so.
“I hope that Pastef will win the elections to gain a majority so that they can better carry out their mandate,” said Pascal Goudiaby, a 56-year-old voter in Dakar.
“The priority is unemployment, young people are facing so much unemployment,” he said.
Faye appointed his firebrand mentor Ousmane Sonko as prime minister. Sonko’s own bid to run for president had been blocked following a three-year deadly standoff with the former authorities.
The pair promised a leftist pan-African agenda, vowing to diversify political and economic partnerships, review hydrocarbon and fishing contracts and re-establish Senegal’s sovereignty, which they claimed had been sold abroad.
Mademba Ndiaye, a 20-year-old student, was voting for the first time.
“It’s one of the only ways we can really have an impact on society, and I think that if we don’t vote, we couldn’t really complain about what happens in society afterwards,” he said.
Various actors reported that the turnout on Sunday was typically lower than in the presidential election.
Senegal’s roughly 7.3 million registered voters were called to elect 165 MPs for five-year terms.
Voters have historically confirmed their presidential choice during parliamentary elections, say analysts.
“I think that whoever you gave your confidence to in the presidential election, you need to renew your confidence in him so that he can achieve what he started,” said 56-year-old voter Toure Aby.
“We want life to be less expensive for the Senegalese,” she added. “Everything’s expensive: water, electricity, food.”
Voters continued a long democratic tradition in Senegal, widely seen as a stable outlier in a coup-plagued region.
Faye and Sonko both called for calm as they cast their ballots.
“Democracy is expressed in peace and stability, and I believe that in a democracy there is no room for violence,” Sonko said in the southern city of Ziguinchor.
Reminiscent of his years as a fiery opposition leader, he had called for vengeance after attacks against his supporters, but later urged restraint.
Clashes were only sporadic in the run-up to the vote. Although some agreements have been reached between coalitions, the opposition remains fragmented.
Former president Macky Sall is leading an opposition grouping from abroad called Takku Wallu Senegal. On Sunday, it claimed the vote was marred by “massive fraud organized by Pastef,” without providing details.
Sall left power in April after triggering one of the worst crises in decades with a last-minute postponement of the presidential election.
Former prime minister and presidential runner-up Amadou Ba and Dakar Mayor Barthelemy Dias are also heading coalitions.
The opposition has accused the new government of inaction, amateurism and a desire to settle scores with the previous administration.
Unemployment stands at more than 20 percent and scores of people continue to risk their lives every month attempting to reach Europe by boat.
The government said an audit of public finances revealed a wider budget deficit than previously announced.
Moody’s downgraded Senegal’s credit rating and placed the country under observation.
The new authorities have lowered the price of household goods such as rice, oil and sugar and launched a series of reviews.
They also launched justice system reform and presented an ambitious 25-year development plan aimed at transforming the economy and public policy.


Ukraine strikes on Russia with US missiles could lead to world war, Russian lawmakers say

Updated 18 November 2024
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Ukraine strikes on Russia with US missiles could lead to world war, Russian lawmakers say

  • “This is a very big step toward the start of World War Three,” lawmaker Vladimir Dzhabarov says
  • Poland, defending Ukraine, said missiles against Russia is “a language Putin understands”

MOSCOW: Washington’s decision to let Kyiv strike deep into Russia with long-range US missiles escalates the conflict in Ukraine and could lead to World War III, senior Russian lawmakers said on Sunday.
Two US officials and a source familiar with the decision revealed the significant reversal of Washington’s policy in the Ukraine-Russia conflict earlier on Sunday.
“The West has decided on such a level of escalation that it could end with the Ukrainian statehood in complete ruins by morning,” Andrei Klishas, a senior member of the Federation Council, Russia’s upper chamber of parliament, said on the Telegram messaging app.
Vladimir Dzhabarov, first deputy head of the Russian upper house’s international affairs committee, said that Moscow’s response will be immediate.
“This is a very big step toward the start of World War Three,” the TASS state news agency quoted Dzhabarov as saying.
President Vladimir Putin said in September that the West would be fighting Russia directly if it allowed Ukraine to strike Russian territory with Western-made long-range missiles, a move he said would alter the nature and scope of the conflict.
Russia would be forced to take what Putin called “appropriate decisions” based on the new threats.
Leonid Slutsky, chairman of the State Duma lower house’s foreign affairs committee, said that US authorization of strikes by Kyiv on Russia with US ATACMS tactical missiles would lead to the toughest response, Russian news agencies reported.
“Strikes with US missiles deep into Russian regions will inevitably entail a serious escalation, which threatens to lead to much more serious consequences,” TASS news agency quoted Slutsky as saying.

NATO member Poland welcomed Biden's decision, saying missiles against Russia is “a language Putin understands.”

“With the entry into the war of North Korea troops and (Sunday’s) massive attack of Russian missiles, President Biden responded in a language that (Russian President) V. Putin understands,” Foreign Minister Radoslaw Sikorski posted on X.
“The victim of aggression has the right to defend himself,” Sikorski added in his post. “Strength deters, weakness provokes.”
Ukrainian President Volodymyr Zelensky has long pushed for authorization from Washington to use the powerful Army Tactical Missile System, known by its initials ATACMS, to hit targets inside Russia.
Russian President Vladimir Putin has warned that approval would mean that NATO was “at war” with his country — a threat he has made previously when Ukraine’s Western backers have escalated their military assistance to Kyiv.
 


Gabon votes yes on new constitution a year after the military seized power

Updated 18 November 2024
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Gabon votes yes on new constitution a year after the military seized power

LIBREVILLE, Gabon: Voters in Gabon overwhelmingly approved a new constitution, authorities said Sunday, more than one year after mutinous soldiers overthrew the country’s longtime president and seized power in the oil-rich Central African nation.
Over 91 percent of voters approved the new constitution in a referendum held on Saturday, Gabon’s Interior Minister Hermann Immongault said in a statement read on state television. Turnout was an estimated 53.5 percent, he added.
The final results will be announced by the Constitutional Court, the interior minister said.
The draft constitution, which proposes sweeping changes that could prevent dynastic rule and transfer of power, needed more than 50 percent of the votes cast to be adopted.
In 2023, soldiers toppled President Ali Bongo Ondimba and put him under house arrest, accusing him of irresponsible governance and massive embezzlement that risked leading the country into chaos. The junta released Ondimba a week later on humanitarian grounds, allowing him travel abroad for medical treatment.
The soldiers proclaimed their Republican Guard chief, Gen. Brice Clotaire Oligui Nguema, as president of a transitional committee to lead the country. Oligui is a cousin of Bongo.
Bongo had served two terms since coming to power in 2009 after the death of his father, who ruled the country for 41 years. His rule was marked by widespread discontent with his reign. A coup attempt in 2019 failed.
The draft constitution imposes a seven-year term, renewable only once, instead of the current charter that allows for five-year terms renewable without limit. It also says family members cannot succeed a president and abolishes the position of prime minister.
The former French colony is a member of OPEC but its oil wealth is concentrated in the hands of a few — and nearly 40 percent of Gabonese aged 15 to 24 were out of work in 2020, according to the World Bank. Its oil export revenue was $6 billion in 2022, according to the US Energy Information Administration.