French government felled in no-confidence vote, deepening political crisis

Far-right and left-wing lawmakers joined forces to back a no-confidence motion against Prime Minister Michel Barnier and his government on December 4, 2024. (Reuters)
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Updated 05 December 2024
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French government felled in no-confidence vote, deepening political crisis

  • Far-right and left-wing lawmakers joined forces to back a no-confidence motion against Prime Minister Michel Barnier and his government
  • Barnier was expected to tender his resignation and that of his government to President Emmanuel Macron shortly

PARIS: French opposition lawmakers brought the government down on Wednesday, throwing the European Union’s second-biggest economic power deeper into a political crisis that threatens its capacity to legislate and rein in a massive budget deficit.
Far-right and left-wing lawmakers joined forces to back a no-confidence motion against Prime Minister Michel Barnier and his government, with a majority 331 votes in support of the motion.
Barnier was expected to tender his resignation and that of his government to President Emmanuel Macron shortly.
The hard left and far right punished Barnier for opting to use special constitutional powers to adopt part of an unpopular budget without a final vote in parliament, where it lacked majority support. The draft budget had sought 60 billion euros ($63.07 billion) in savings in a drive to shrink a gaping deficit.
“This (deficit) reality will not disappear by the magic of a motion of censure,” Barnier told lawmakers ahead of the vote, adding the budget deficit would come back to haunt whichever government comes next.
No French government had lost a confidence vote since Georges Pompidou’s in 1962. Macron ushered in the crisis by calling a snap election in June that delivered a polarized parliament.
With its president diminished, France now risks ending the year without a stable government or a 2025 budget, although the constitution allows special measures that would avert a US-style government shutdown.
France’s political turmoil will further weaken a European Union already reeling from the implosion of Germany’s coalition government, and weeks before US President-elect Donald Trump returns to the White House.
“We have arrived at the moment of truth,” far-right National Rally leader Marine Le Pen said, adding that Barnier’s austerity budget plans had been dangerous and unfair and would have meant chaos for France.
The hard left France Unbowed (LFI) party demanded Macron’s resignation.
“With the no-confidence motion, all of the politics of Emmanuel Macron have been defeated and we demand that he goes,” said LFI member Mathilde Panot.
No easy exit from French political crisis
France now faces a period of deep political uncertainty that is already unnerving investors in French sovereign bonds and stocks. Earlier this week, France’s borrowing costs briefly exceeded those of Greece, generally considered far more risky.
Macron must now make a choice.
Three sources told Reuters that Macron aimed to install a new prime minister swiftly, with one saying he wanted to name a premier before a ceremony to reopen the Notre-Dame Cathedral on Saturday, which Trump is due to attend.
Any new prime minister would face the same challenges as Barnier in getting bills, including the 2025 budget, adopted by a divided parliament. There can be no new parliamentary election before July.
Macron could alternatively ask Barnier and his ministers to stay on in a caretaker capacity while he takes time to identify a prime minister able to attract sufficient cross-party support to pass legislation.
A caretaker government could either propose emergency legislation to roll the tax-and-spend provisions in the 2024 budget into next year, or invoke special powers to pass the draft 2025 budget by decree — though jurists say this is a legal grey area and the political cost would be huge.
Macron’s opponents also could vote down one prime minister after the next.
His rivals say the only meaningful way to end the protracted political crisis is for him to resign, something he has hitherto shown little inclination to do.
Economic pain
The upheaval is not without risk for Le Pen, who has for years sought to convince voters that her party offers a stable government in waiting.
“The French will harshly judge the choice you are going to make,” Laurent Wauquiez, a lawmaker from the conservative Les Republicains party who backs Macron, told Le Pen in parliament.
Since Macron called the summer snap election, France’s CAC 40 benchmark stock market index has dropped nearly 10 percent and is the heaviest loser among top EU economies. The euro single currency is down nearly 4 percent.
“The positive signals ... that were seen over the summer, partly due to the Olympics, are now a thing of the past,” Hamburg Commercial Bank economist Tariq Kamal Chaudhry said.
Barnier’s draft budget had sought to cut the fiscal deficit from a projected 6 percent of national output this year to 5 percent in 2025. Voting down his government would be catastrophic for state finances, he said. Le Pen shrugged off the warning. She said her party would support any eventual emergency law that rolls over the 2024 budget’s tax-and-spend provisions into next year to ensure there is stopgap financing.


Ukrainian drone attack underway before Azerbaijani plane crash, Russian aviation chief says

A passenger of the Azerbaijan Airlines plane that crashed near the Kazakh city of Aktau, is transported into an ambulance after
Updated 55 min 48 sec ago
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Ukrainian drone attack underway before Azerbaijani plane crash, Russian aviation chief says

  • Azerbaijani lawmaker and aviation experts blame Azerbaijan Airlines crash on Russian air defenses
  • Crash killed 38 people and left all 29 survivors injured

Russia’s aviation chief said Friday that a Ukrainian drone attack was underway in the Russian region that an airliner was destined for before it diverted and crashed earlier this week.
Dmitry Yadrov, of Rosaviatsia, didn’t comment on statements by an Azerbaijani lawmaker and some aviation experts who blamed Wednesday’s Azerbaijan Airlines crash on Russian air defenses responding to a Ukrainian attack.
The plane was flying from Azerbaijan’s capital of Baku to Grozny, the regional capital of the Russian republic of Chechnya, when it turned toward Kazakhstan and crashed while making an attempt to land there. The crash killed 38 people and left all 29 survivors injured.
Azerbaijan Airlines on Friday blamed the crash on unspecified “physical and technical interference” and announced the suspension of flights to several Russian airports. It didn’t say where the interference came from or provide any further details.
Authorities in Azerbaijan, Kazakhstan and Russia have been tight-lipped about a possible cause pending an official probe. But a member of Azerbaijan’s parliament, Rasim Musabekov, told the Azerbaijani news agency Turan on Thursday that the plane was fired on while in the skies over Grozny and urged Russia to offer an official apology.
Asked about Musabekov’s statement, Kremlin spokesman Dmitry Peskov declined to comment, saying that it will be up to investigators to determine the cause of the crash.
“The air incident is being investigated, and we don’t believe we have the right to make any assessments until the conclusions are made as a result of the investigation,” Peskov said in a conference call with reporters.
Yadrov, the Russian aviation chief, said that as the plane was preparing to land in Grozny in deep fog, Ukrainian drones were targeting the city, prompting authorities to close the area to air traffic.
Yadrov said that after the captain made two unsuccessful attempts to land in Grozny, he was offered other airports but decided to fly to Aktau in Kazakhstan, across the Caspian Sea.
“The situation in the area of Grozny airport was quite difficult,” he said in a statement. “There are many circumstances that it’s necessary to investigate jointly.”
Investigators from Azerbaijan are working in Grozny as part of the crash probe, the Azerbaijani Prosecutor General’s office said in a statement.
As the probe began, some aviation experts pointed out that holes seen in the plane’s tail section suggested that it could have come under fire from Russian air defense systems fending off a Ukrainian drone attack.
Ukrainian drones have previously attacked Grozny and other areas in the country’s North Caucasus.
FlightRadar24 said in an online post that the aircraft faced “strong GPS jamming” that interfered with flight tracking data. Russia has extensively used sophisticated jamming equipment to fend off drone attacks.
Following Wednesday’s suspension of flights from Baku to Grozy and Makhachkala, Azerbaijan Airlines announced Friday that it would also halt service to eight more Russian cities.
The company will continue to operate flights to six Russian cities, including Moscow and St. Petersburg. Those cities also have been repeatedly targeted by Ukrainian drone strikes in the past.
Kazakhstan’s Qazaq Air also announced Friday that it was suspending flights from Astana to the Russian city of Yekaterinburg in the Ural Mountains for a month.
FlyDubai also halted flights to Sochi and Mineralnye Vody in southern Russian until Jan. 5.
The day before, Israel’s El Al carrier suspended flights from Tel Aviv to Moscow citing “developments in Russia’s airspace.” The airline said it would reassess the situation next week.


Driver who killed 35 in China car ramming sentenced to death

Updated 27 December 2024
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Driver who killed 35 in China car ramming sentenced to death

  • On November 11, 62-year-old Fan Weiqiu deliberately drove through people exercising outside a sports complex in his small SUV, the worst attack in China since 2014

BEIJING: A man who killed 35 people in a car attack in the southern Chinese city of Zhuhai last month was sentenced to death on Friday, state media reported.
On November 11, 62-year-old Fan Weiqiu deliberately drove through people exercising outside a sports complex in his small SUV, the worst attack in China since 2014.
He was detained at the scene with self-inflicted knife injuries and fell into a coma, police said at the time.
His case was publicly tried on Friday, state broadcaster CCTV reported, with the verdict reached on the same day.
The court said the defendant’s motives “were extremely vile, the nature of the crime extremely egregious, the methods particularly cruel, and the consequences particularly severe, posing significant harm to society,” state media said.
In front of some of the victims’ families, officials and members of the public, Fan pleaded guilty, it added.
The court found Fan had “decided to vent his anger” over “a broken marriage, personal frustrations, and dissatisfaction with the division of property after divorce,” the report said.
China has this year seen a string of mass casualty incidents — from stabbings to car attacks — challenging its reputation for good public security.
Some analysts have linked the incidents to growing anger and desperation at the country’s slowing economy and a sense that society is becoming more stratified.


Philippine companies secure $100m in deals at Saudi Halal Expo

Updated 27 December 2024
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Philippine companies secure $100m in deals at Saudi Halal Expo

  • Filipino expats in Saudi Arabia were among main drivers of success
  • Seafood, precooked meals are Philippines’ top halal export products

MANILA: Philippine companies have secured $100 million in deals at this year’s Saudi Halal Expo in Riyadh, the Department of Trade and Industry said on Friday, marking a milestone in the country’s efforts to tap into the global halal market.

The annual Saudi International Halal Expo was held in Riyadh from Oct. 28 to 30, providing a platform for stakeholders from across the world to see and showcase the latest innovations, research and developments in the global halal market.

The Philippine delegation to the fair was led by the DTI, with exhibitors presenting products that including fruit, food and beverages, as well as supplement sectors to tourism, travel and finance.

The $100 million in deals was achieved from the “participation of Philippine exporters at the Saudi Halal Expo 2024 and B2B (business-to-business) meetings,” Aleem Guiapal, who leads the DTI’s halal industry taskforce, told Arab News.

“Seafood, pre-cooked halal (meals) were the top products.”

One of the main drivers of the success were the more than a million Filipino expats living and working in Saudi Arabia.

“The presence of the overseas Filipino workers in the Middle East is a captured market for Filipino halal products,” he said. “Institutional buyers such as supermarkets and industries also see the value of Filipino ingenuity in our products and cuisine.”

The 64-member Philippine delegation that took part in the expo and business meetings included 12 Filipino companies. They showcased their products under “Halal-friendly Philippines” – a government umbrella brand promoting the country as a halal market hub in the Asia-Pacific region.

The Philippine government welcomed the achievement as proof of the country’s growing international reputation as a provider of halal-certified products and services.

“This success reflects the Philippines’ strategic vision under Bagong Pilipinas to establish a strong and sustainable halal ecosystem that meets global demand,” the DTI’s Secretary Cristina A. Roque said in a statement.

“It is also a testament to the collective efforts of our industries and the government to drive business growth, attract international investments, and create meaningful job opportunities for Filipinos and the global halal community.”

The predominantly Catholic Philippines – where Muslims constitute about 10 percent of the almost 120 million population – has been making efforts to tap into the global halal market, which is estimated to be worth more than $7 trillion.

By increasing its presence and doubling the number of its halal-certified products and services, the Philippine government plans to raise $4 billion in investments and generate about 120,000 jobs by 2028.


India declares week of mourning for former PM Manmohan Singh

Updated 27 December 2024
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India declares week of mourning for former PM Manmohan Singh

  • Singh led the country from 2004 to 2014, and was credited with saving India from a financial crisis
  • Former leader, the first Sikh to lead the nation, died on Thursday, aged 92

NEW DELHI: Government offices in India lowered the national flag on Friday for a week of mourning for former prime minister Manmohan Singh, whose economic reforms helped transform the country into one of the world’s fastest-growing economies.

The first Sikh to lead the nation, Singh served a rare two terms as prime minister from 2004 to 2014. He died on Thursday at the age of 92.

The government declared a period of mourning until Jan. 1.

“During this period the national flag will be flown at half-mast throughout India where it is regularly flown and there will be no official entertainment during the period of state mourning,” the Ministry of Home Affairs said.

“It has also been decided that the state funeral will be accorded to late Dr. Manmohan Singh.”

Prime Minister Narendra Modi paid tribute to Singh, saying the former leader would be remembered as a “kind-hearted individual, a scholarly economist,” and a leader dedicated to reforms.

“He steered the country out of a financial crisis and paved the way for a new economic direction,” Modi said in a video message.

“His contributions as the prime minister toward the country’s development and progress will always be cherished.”

Singh was born in Gah, now in Pakistan, but his family migrated to India during the partition of the subcontinent in 1947.

He completed his economics degree at the University of Cambridge and earned a doctorate at Oxford with a thesis on the role of exports in India’s economy.

After teaching economics at the University of Punjab, he went to work for the UN Conference on Trade and Development, and later served as economic adviser to the Indian government until he was appointed to head India’s central bank in 1982, and served finance minister from 1991 to 1996.

In the early 1990s, India faced a deep economic crisis, and Singh played a pivotal role in transitioning the country from a closed economy to a more open, liberalized system. This shift set India on a path of sustained growth for decades.

It was also during his term that India signed a landmark civil nuclear deal with the US, despite not being a signatory to the Nuclear Non-Proliferation Treaty. The deal granted India access to advanced American nuclear technology.

“Manmohan Singh will be remembered for initiating economic reforms and aligning the country with the West. The foreign policy crafted during that phase has been pursued vigorously by Narendra Modi,” Sanjay Kapoor, analyst and political editor, told Arab News.

“Among his major achievements are the raising millions of those living below the poverty line and strengthening democratic institutions.”

Singh was asked to take on the prime minister’s job by Sonia Gandhi, who had led the center-left Congress party to a surprise victory in 2004.

“Manmohan Singh Ji led India with immense wisdom and integrity. His humility and deep understanding of economics inspired the nation,” Congress leader Rahul Gandhi said.

“I have lost a mentor and guide. Millions of us who admired him will remember him with the utmost pride.”


China sanctions 7 companies over US military assistance to Taiwan

Updated 27 December 2024
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China sanctions 7 companies over US military assistance to Taiwan

  • The sanctions also come in response to the recent approval of the US government’s annual defense spending bill
  • Any assets they have in China will be frozen, and organizations and individuals in China are prohibited from engaging in any activity with them

BEIJING: The Chinese government placed sanctions on seven companies on Friday in response to recent US announcements of military sales and aid to Taiwan, the self-governing island that China claims as part of its territory.
The sanctions also come in response to the recent approval of the US government’s annual defense spending bill, which a Chinese Foreign Ministry statement said “includes multiple negative sections on China.”
China objects to American military assistance for Taiwan and often imposes sanctions on related companies after a sale or aid package is announced. The sanctions generally have a limited impact, because American defense companies don’t sell arms or other military goods to China. The US is the main supplier of weapons to Taiwan for its defense.
The seven companies being sanctioned are Insitu Inc., Hudson Technologies Co., Saronic Technologies, Inc., Raytheon Canada, Raytheon Australia, Aerkomm Inc. and Oceaneering International Inc., the Foreign Ministry statement said. It said that “relevant senior executives” of the companies are also sanctioned, without naming any.
Any assets they have in China will be frozen, and organizations and individuals in China are prohibited from engaging in any activity with them, it said.
US President Joe Biden last week authorized up to $571 million in Defense Department material and services and military education and training for Taiwan. Separately, the Defense Department announced that $295 million in military sales had been approved.
The US defense bill boosts military spending to $895 billion and directs resources toward a more confrontational approach to China. It establishes a fund that could be used to send military resources to Taiwan in much the same way that the US has backed Ukraine. It also expands a ban on US military purchases of Chinese products ranging from drone technology to garlic for military commissaries.
Zhang Xiaogang, a Chinese Defense Ministry spokesperson, said earlier this week that the US is hyping up the “so-called” threat from China to justify increased military spending.
“US military spending has topped the world and keeps increasing every year,” he said at a press conference. “This fully exposes the belligerent nature of the US and its obsession with hegemony and expansion.”
The Foreign Ministry statement said the US moves violate agreements between the two countries on Taiwan, interfere in China’s domestic affairs and undermine the nation’s sovereignty and territorial integrity.
Taiwan’s government said earlier this month that China had sent dozens of ships into nearby seas to practice a blockade of the island, a move that Taiwan said undermined peace and stability and disrupted international shipping and trade. China has not confirmed or commented on the reported military activity.