Friday, December 7, 2007

Strident words between Sweden and Zimbabwe

The Swedish Ambassador in Harare, Sten Rylander is under attack by the Zimbabwean state-owned newspaper The Herald for pursuing a crusade against the Mugabe regime before the forthcoming EU-African Union summit meeting in Lisbon, reported Africa-based DN reporter Anna Koblanck. The local media campaign against Sweden and Rylander started in October. Zimbabwe alleges that Sweden wants Zimbabwe's human rights record taken up during the summit meeting in Lisbon this weekend.

The Lisbon summit meeting faced several controversies and conflicts surrounding Robert Mugabe's attendance, which in particular led to British Prime Minister Gordon Brown's boycott of the conference. Mugabe criticised Brown's action as imperialistic while at the same time thanking the other EU-member states and his neighboring African countries for supporting him.

Swedish Foreign Minister Carl Bildt in his political blog stated that Sten Rylander's criticism against Zimbabwe "was correct and in the right way, and in line with what the Swedish government and parliament thinks." It remains unclear whether the crisis in Zimbabwe will be taken up or not. This is the first summit between the EU and AU since 2000. Mugabe's inclusion in the meeting was sanctioned by the AU, where his African colleagues openly extended their support to his participation. Some African leaders, such as Zambia's president Levy Mwanawasa are more cautious.

Several African and European journalists and writers protested against the summit leaders' cowardice to tackle the situation in Zimbabwe or the conflict in Darfur- "two of the world's worst human rights catastrophes." Zimbabwe's economic downfall is characterised by an inflation of 2,000 percent, a collapse in agricultural production and shortage of consumer goods and petrol.

The 83-year old Mugabe took over power in Zimbabwe since its independence in 1980. Earlier hailed as a national hero, he turned later into a power-hungry dictator responsible for crushing his political opponents and driving his country into economic decay. He blames the West for the economic sanctions against his regime.

Wednesday, November 28, 2007

EU-Africa Summit: Who wins, who loses

Everything appears set for Zimbabwe dictator Robert Mugabe to make his red carpet entrance to EU's Africa summit meeting in Lisbon on December 8. UK Prime Minister Gordon Brown's boycott has not affected the other EU-member states decision to attend. For seven years of postponed meetings between EU and Africa because of Mugabe is finally over, wrote Svenska Dagbladet Africa specialist Ola Säll (SvD, 07.11.24).

It was hardly the EU's intention, but already in the beginning the summit meeting was a triumph for Mugabe. Gordon Brown stays home and is therefore accused of being petty and intolerant. On the other hand, Mugabe has succeeded to drum up support from other African presidents whose almost 50 unanimous voice declared: No Mugabe, none of us. Therefore EU succumbed. The prohibition against Mugabe and his government to make the trip to EU was lifted.

The biggest stain in the Africa Union's face is not because there is a dictator in Africa. That has always existed. No, AU has destroyed its good name through solidarity with known dictators. Who can trust AU's loud declarations of an African renaissance grounded on democracy and human rights?

Sweden, the Netherlands and Germany states that the Lisbon summit would be " an opportunity to discuss human rights". EU member states' foreign ministers are unanimous at being "clear and tough" against Mugabe. But if Mugabe has not listened to EU in the last decade, why should he suddenly do so in Lisbon where he is backed by several other African presidents?

It just seems that EU would have no chance. Mugabe excels in the limelight, the latest of which was at the UN where he compared Bush and Blair to Hitler and Mussolini. The other unforgettable event was the UN environmental conference in Johannesburg in 2002, where a state-organised violence ended in Zimbabwe. The African presidents gave its support and applauded Mugabe more than any other speaker.

It would be a spectacle in Lisbon. Mugabe has already the leading role where he would call Europeans both racist's and imperialists, while other African leaders applaud that he dares. He may embarrass himself before the Europeans' eye but in the African presidents' eye he has once again proven his greatness.

(Translated from Ola Säll's analysis of the summit meeting, SvD, 24 Nov. 2007)

Friday, November 9, 2007

Nordic Battlegroup: A good Start for Swedish Defence Policy

A Nordic Battle group shall have completed seven weeks of intensive training in Sweden's northernmost forests before it is deployed in real war zones. It will be Sweden's contribution to the European Union's rapid deployment force and the start of a new defence policy. Sweden's security will depend upon cooperation with other democracies, Dagens Nyheter reported Thursday, Nov. 8th.

An earlier report states that the Nordic battle group consists of 2,350 Swedish soldiers, 220 Finnish, 150 Norwegian, 80 Irish and 50 Estonian. The battle group will be used for conflict prevention or for humanitarian assistance during catastrophes. Sweden will foot the bill for 345 million crowns, or more when actually deployed.

According to DN's Thursday editorial, Sweden's national security situation is good, thanks to the EU and the Eastern NATO's expansion. "The likelihood for an armed attack of any form is therefore remote. The defence powers have a clearer focus towards the international efforts."

Such assumption is however being questioned. The world has in many ways become more dangerous these later years. Some examples:
- An authoritarian Russia gears up and shows a higher profile in foreign politics.
- USA has become more isolationist after its setback in Iraq, less inclined to outside intervention.
- Unstable states with elements of militant Islam such as Iran and Pakistan are acquiring nuclear capacity.
- Terrorism, refugee outflow, large-scale criminality and environmental catastrophes create a new diffused
threat.
The adjustments in the Swedish defence goes slow and rests on the uncertain commitment that EU can offer collective security. After the fall of the Berlin wall, the world was temporarily safe, "the end of history" as American political scientist Francis Fukuyama wrote.

After this however came the civil war in the Balkan, genocide in Africa, Islamic terror killings, USA's problematic setback in Afghanistan and Iraq, a new big power competition with element of arms race and rivalry over limited resources.

Instead of the liberal democracy's triumph, we have a potential dangerous combination of old and new threats. Traditional geopolitical contradictions remain-India vs Pakistan, the Arab world against Israel, Russia against Western Europe, Islam vs West - at the same time that other dimensions appeared.

The Nordic battle group's military exercise is equipped with the latest material gadgets. Its final exercise is a simulated training in a foreign land, with eye on democratic elections. It is a realistic framework for future foreign contribution, at the same time that the group is prepared for actual war and therefore relevant for Sweden's defence. Most important of all is the international connection. Norway, Finland, Irland and Estonia are a part and Sweden cooperates with United Kingdom on strategic leadership.

Of all the money we (taxpapers) have invested in defence since 1989, this has been the best use, concluded DN.

(Translated/Edited from Dagens Nyheter, 7-8/11/07)

Monday, October 29, 2007

Translating aid slogans into action

Thirty Swedish newspaper editors published a collective editorial last Sat., 27th of October 2007, urging the government to use its development aid muscle against Eritrea's oppressive treatment of political dissidents. In this particular issue, the release of 43-year old Swedish-Eritrean journalist Dawit Isaak from prison. He was arrested along with several other political dissidents six years ago and has been held without any formal charges.

Swedish newspapers reported that the Reinfeldt non-Socialist alliance is responding "with quiet diplomacy" to the growing collective call to free Dawit Isaak. What this strategy implies is that, Reinfeldt is sending a special envoy to negotiate the release of Isaak, or probably has asked the Eritrean diplomatic head of mission in Stockholm to come to the Swedish Foreign Ministry for an audience with Foreign Minister Carl Bildt.

But what the Swedish editors are asking, is for Reinfeldt to translate development aid slogans on respect for human rights in aid-recipient countries into action, especially in glaringly oppressive situations involving press freedom. Why indeed, is it taking six years to act against this violation that can never be tolerated in a democratic society? And why can't Sweden use its tremendous development aid influence to bring about a democratic change in Eritrea? To continue giving aid to repressive undemocratic regimes is a betrayal of people's trust, here in Sweden, as well as in aid-receiving countries. After all, the reasoning that it is only the poor people who suffer most when aid is cut no longer holds water.

(Join the "Stop development aid to corrupt regimes" movement!)

Wednesday, October 24, 2007

Sweden's 5-point EU presidency agenda

Swedish daily Dagens Nyheter reported today (24 Oct. 2007) Sweden's 5-point agenda during its 2009 European Union presidency, namely: Baltic sea cooperation, climate issues, growth and employment, crime prevention and EU's continued expansion possibilities, says EU Minister Cecilia Malmström. "These are our five main priorities that we will now report to France and Czech Republic," she says.

The French and the Czechs will led the EU during the two half years before Sweden takes over the presidency in the second half of 2009. Together, the three countries will have to decide on a common 18-month program.

Since Sweden assumed the EU presidency for the first time in 2001, conditions have changed radically. EU membership has almost doubled its number, with 27 now as against 15 then. A number of things are brewing in autumn 2009. The EU parliament is newly-elected; the EU Commission will have new commissioners and it means that several of EU's common legal work will be enforced.

At the same time, EU's reformed treaty takes effect. EU will have a new permanent president, as well as a new foreign minister thus in effect limiting the powers of the rotating presidency. According to Malmström, "all these could make things difficult for Sweden to push through its own line." During a six-month presidency, no member country can make fundamental changes in the EU. It was reported earlier that Britain's former PM Tony Blair is a favorite choice for the EU permanent presidency while Swedish Foreign Minister Carl Bildt is seen best as EU's foreign minister.

The preliminary budget for Sweden's half-year presidency is 890 million crowns, which is bigger than 2001 - after all, EU has grown. But lesser than what Finland spent for its presidency.

Thursday, October 18, 2007

Sweden tops in Nordic foreign investment

Global investment frenzy continues to spread. Last year capital investments rose by 38 percent and Sweden stands well with competitors, ranking today as the twelfth biggest investment country, according to UNCTAD's annual report.

Swedish companies ranks well in the development. For instance, it has acted aggressively to become an interesting country for Chinese and Indian investments, says Torbjörn Fredriksson, one of the main authors of the report. During 2006, global investments rose to 8.5 billion Swedish crowns of which 170 billion crowns was placed in Sweden. Old Mutual's acquisition of Swedish insurance company Skandia at the tune of 40 billion crowns rocketed Sweden's position among the top foreign investment countries. The Old Mutual-Skandia affair was the 17th largest deal in 2006.

Sweden is clearly the biggest investment country in the whole Nordic. The overall value of investments in Denmark, Norway and Finland remains 30 percent lower than foreign investments in Sweden. UNCTAD's annual reports shows that China and India are on a vigorous march as foreign investors, followed by United States, Great Britain and France. It is the third year in a row that direct global investments have risen in the world. The reason is the expanding world economy. Corporate profits have increased resulting in higher share prices which in turn raised the value of mergers and acquisitions.

The only dark clouds in the investment horizon that create some uncertainty is how credit worries that shook the world's financial system is going to affect investment enthusiasm." It is partly because no one knows exactly how extensive the credit situation in the USA is, and partly because we don't know how this will affect the investment flow. It will be felt most in mergers and acquisition. It will become harder to finance acquisitions of companies," says Torbjörn Fredriksson."
(Translated from DN Ekonomi, 17 Oct. 2007)

Sunday, October 14, 2007

Mugabe - Sweden and EU's dilemma

Swedish Prime Minister Fredrik Reinfeldt is facing a tough foreign policy choice: to face or boycott Zimbabwe's despot Robert Mugabe in the forthcoming December 8 summit meeting between the European Union and the African Union. The Liberal Party member of the Alliance government, through spokesperson Birgitta Ohlsson is urging Reinfeldt to boycott Mugabe, thereby refusing any legitimacy for his repressive regime. Great Britain's Gordon Brown already announced that he will not come to the summit meeting if Mugabe were to come.

Birgitta Ohlsson in her debate article in Dagen Nyheter (Oct. 13, 2007) states that in the last Swedish elections, the expectation was high for the non-Socialist Alliance to distance itself from repressive dictatorial regimes. In its foreign policy statement, the Alliance said that, " it is necessary to have a more effective instrument against repressive regimes in many parts of the world. Statements of condemnation are not enough to express dissent against regimes such as Zimbabwe, Burma, Cuba and Sudan.It demands a steadfast strategy, where the spread of democracy and the rule of law are the goals. It also demands a united international action, as well as a regional move against repressive regimes."

It is not clear how Reinfeldt is going to face his biggest foreign policy challenge. Is he joining UK's Brown? Which EU members are following suit, is the main question just now. Mugabe has support from his neighbour- African states, so that some EU countries are playing a safe card. It is expected that Mugabe will attend the summit, hence his presence will overshadow more important issues.

A boycott of Mugabe at the EU-African Union summit will send a strong message even to neighbour states like Zambia and South Africa. Sweden and Europe must have a united position on democracy, the rule of law and human rights in all contacts with African states and other regions, the debate article states. And it is absolutely unacceptable to meet Mugabe with warm applause when he addresses the summit meeting. He should instead be arrested when he leaves his country and be made to face the international crime tribunal ICC for crimes against humanity.
(Source: Dagens Nyheter, Oct. 13, 2007)

Thursday, October 4, 2007

SIDA aid projects strongly criticised

The Swedish National Audit Commission has found serious shortcomings in SIDA's aid projects, reported Dagens Nyheter on Oct. 3rd. Swedish development aid channeled through churches, Caritas, Forum Syd and other non-governmental organisations (NGOs) are full with gross errors and irregularities. Huge sums of taxpayers' money disappear without a trace in the handling process, according to the report of the audit commission.

Development aid Minister Gunilla Carlsson said that this was unacceptable. "One is both saddened and angry." Last year, 370 Swedish NGOs with the inclusion of trade unions LO and TCO, administered around 1.3 billion crowns out of SIDA's 2006 year's 15 billion crown aid money. The lack of control over aid money was shown in the Audit Commission's inspection of 15 out of these projects in South Africa, Namibia, Kenya and Tanzania. During four and a-half months, several inspectors from the Audit Commission were out in the field, meeting with small African village aid-recipients, project leaders, participants and auditors.

None of the inspected projects were found faultless. In two-thirds of the projects were found significant errors in the accounting, while three out of four lacked sufficient basis for the Audit Commission to determine which or what the operation was concerned with. One out of three cases showed falsified receipts and attendance lists. In several other cases, it was unsubstantiated high salaries, local costs and consultancy. Half of the projects had not paid the legally-required taxes and employers' fees.

In spite of these anomalies, all the projects were approved by the local auditors as well as the Swedish donor organisations' audit forces from firms such as KPMG and Price Waterhouse. The African auditors have a dependency position vis-a-vis the project leadership, hence the inability to act independently. The Swedes on the other hand, have taken for granted reading the local auditing reports without asking for the projects' accounting documents such as invoices.

Development aid Minister Carlsson stated that she had earlier asked SIDA to do something about the routines for the aid money channeled through the NGOs. " These organisations should have idealism and local commitment, small-scale and presence in the field. And coming from Swedish popular movements who are expected to understand and show respect for taxpayers' money." She has not mentioned any specific measures she would take with respect to the Audit Commission's devastating findings.#

Friday, September 28, 2007

Corruption imperils development aid

The Swedish development aid initiative recently presented by Prime Minister Fredrik Reinfeldt to the United Nations triggered both enthusiasm and anxiety, not just among donor countries but with taxpayers in general. Shortly after announcement of the new aid initiative where environment, poverty and human rights would form the guidelines, came a report from an organisation called Transparency International. In its latest annual report, it cited Somalia, Burma and Iraq as the most corrupt countries.

The ten least corrupt countries named are: Denmark, Finland, New Zealand, Sweden, Singapore, Iceland, Netherlands, Switzerland, Canada and Norway. The most corrupt are: Democratic Republic of Congo, Equatorial Guinea, Laos, Afghanistan, Chad, Sudan, Tonga, Uzbekistan, Haiti, Iraq, Burma and Somalia.

Transparency International cited the role of multinational companies in the form of bribes in very poor countries. "Bribe money often comes from multinational companies based in rich countries. It is not acceptable that these companies should view bribes in their export countries as something legitimate," the report said.

The report mentioned 180 countries and areas. War-torn countries such as Somalia, Sudan, Iraq and Afghanistan are ranked as most corrupt. One reason is the on-going reconstruction of infrastructure in these volatile countries. "The most lucrative contracts that many will win, they are prepared to pay for under the table," said the report. At the same time, improvements in the anti- corruption campaign was noted in Namibia, Swaziland, and South Africa.#
(Translated from DN report, 27 Sept. 2007)

Apropos the Swedish aid initiative

Swedish editorial columnist Peter Wolodarski (DN 26.09.07) urged Development Aid Minister Gunilla Carlsson to take a serious look at the latest Transparency International ranking of over 180 countries, in terms of corruption. The rich countries have less corruption problems with bureaucrats accepting under the table bribe money and other abuses of power for personal gain. But there are deviations. Within European Union, the corruption problem still spreads despite strict demands on every EU member states judicial system. Italy has a worse situation compared to Botswana and the United Emirates and even lower down the list are Slovakia, Latvia, Lithuania, Greece, Poland and Bulgaria.

While Sweden can gladden itself with its fourth placement on the list, it ought to worry itself over which countries are on the "worst" list. One finds there several African aid-recipient countries such as Burkina Faso, Mozambique, Rwanda and Uganda which have deeply-rooted corruption problems. Aid money goes to the state treasury.

The basic question remains: What have decades of Swedish development aid achieved?

Wolodarski urged Gunilla Carlsson to consider the Transparency International report before she allows billions of taxpayers' money to disappear into Swiss accounts.#
(Read "Experiencing Africa" in http://ricenroses.blogspot.com)

Monday, September 24, 2007

New Swedish Initiative to Support Environment

The Swedish government will establish an international commission that will environmentally insure the world's development aid efforts. The work commences this autumn and will finish to coincide with Sweden's presidency of the European Union in the second half of 2009.

Today, Monday, Prime Minister Fredrik Reinfeldt has informed the UN chief on the Swedish initiative. Over 70 heads of state are gathered in New York to lay down the general guidelines fore the big UN climate conference in Bali on December. Shortly before his departure, Reinfeldt told Dagens Nyheter about his initiative. "Sweden lies on the front edge as donor country. But ours and others development aid risk being jeopardised by climatic changes. The Commission's work is to find out how one can use development aid to meet climatic threats," said Reinfeldt.

The Commission, as it will be called for short, stands for "The Commission on climate change development" , will be led by Swedish Aid Minister Gunilla Carlsson and will consist of researchers and representatives from both donor and recipient countries. A secretariat will be created in Stockholm with a budget of 10-15 million SEK. The work will go on stream already this autumn and continue for 18 months. The recommendations to the world's donor countries will be the end result, and later to be presented during Sweden's EU presidency in the second half of 2009.

The New York conference theme is "The Future in our Hands," called by UN chief Ban Ki Moon. Representatives from more than 150 countries are gathered to outline the guidelines for the big climate conference in Bali, Indonesia on Dec. 3-14, 2007. At the forthcoming Bali conference, the world leaders are expected to come to arrive at a new international agreement which will take the place of the Kyoto Protocol when it expires on 2012. According to the time frame, the new agreement will be taken up by autumn 2009, when Sweden has the EU Presidency.
(Translated from Dagens Nyheter, Sept. 24, 2007)


China's European Trade Offensive in Kalmar

All road points in the direction of Kalmar in Sweden, when China opens its multi-billion Cebec (China&Europe Business Exhibition Center) project on Friday, Sept. 28. Around 1000 exhibitors are expected to fill a 21,000 exhibition hall at the cost of 3.6 million Swedish crowns per investor-exhibitor. The cost includes installation, apartment and a Swedish share in the multi-billion project. The initiator of this gigantic trade offensive is the Chinese conglomerate Fanerduns Group.

The Cebec exhibition is mainly for wholesalers and buyers and not for the general public and the goods on exhibit will be consumer-directed such as household products, toys, clothes and gift articles, reported Dagens Nyheter. " The business idea is to create a Chinese business center where exhibitors sell goods to buyers and wholesalers. The main part of the company will be Chinese, but it will also include Swedish exhibitors. It will be an international junction between China and Europe, said Mats Nilsson, Marketing Chief for the Fanerduns Group.

The ambitious China project plans to build 300 apartments within the exhibition center plus an added 800 more. Kalmar county is expecting a huge bonanza not only in terms of revenue from visitors and exhibitors but even more significantly, that it would be placed literally on the world map. The small county has an aging population and diminishing employment possibilities. It has invested 9.5 million crowns in marketing promotion but earned 21.6 million in real estate sale to Fanerduns.

But why Kalmar? " We have a large number of environment technical companies in the county. With the help of Invest in Sweden Agency, we are helping them to get into the Chinese market. It led to a cooperation between a Chinese region, which also led to a Chinese investment company establishing itself in Kalmar. During a matchmaking conference between Kalmar and the Chinese company, Fanerduns was also present," explained Mister Jinxing Luo, in his choice between Amsterdam and a place in the southern Baltic region.

The Cebec project had initially run into problems which included Mister Luo's lack of permit to draw his capital out of China; getting work and residence permits for those who would buy into the project, and lack of work safety measures for the Chinese workmen on site. It was reported that the head of Invest in Sweden Agency, Kai Hammerich was in China to clear problems with the Chinese authorities.#

Sunday, September 23, 2007

Sweden's Non-Socialist Alliance launches new budget

The Swedish non-socialist alliance has just celebrated one year in power and presented a new budget that focused on more jobs, lower taxes to wage earners in the service sector and breaking down outsider barriers. At least 1000 Swedish crowns more in the wallet of low wage earners was promised by Prime Minister Fredrik Reinfeldt and Finance Minister Anders Borg at the formal opening of the Swedish parliament Tuesday, Sept. 18th. This was Reinfeldt's second government address re-echoing the Alliance platform that sent them to power last election.

Aside from job creation and the tearing down of outsider-insider barrier, the Reinfeldt government had earlier stated its policy on environment as it decided to join the anti-global warming bandwagon, which among other things, will raise the taxes on petrol and diesel. More importantly, the Alliance intends to take seriously the welfare state's important pillars of security and prosperity. The Socialists have stated the same concerns on many occasions during their long tenure of power. Reinfeldt, however will not allow such monopoly of claim over Sweden's security and prosperity issues.

At the same time that the Alliance government begun a strenuous effort to strengthen the welfare system, it has also sought to rectify the loopholes in the over-exploited welfare system by introducing several measures. For example, reduction of over-dependence in the social insurance system through shortening of sick leave benefits; reduction in unemployment benefits by cutting down on allowable days and payments. Finance Minister Borg had explained that, through these measures and by introducing new work incentives, unemployed people will find it more attractive to work.

The Alliance government has benefited from a strong Swedish economy when it took over power, as public tax revenues soared to new heights. Despite all the efforts to deliver electoral promises, Reinfeldt suffers from low opinion ratings. Swedish media has accused him of sounding more like a Social Democrat. However, it appears that the strategy of the new moderates is to find the right middle road in order to broaden its electoral base and attract supporters from the socialist bloc.It may not be that easy in comparison to other European countries such as Britain's leftist Labour Party or France' rightist new government under Sarkozy. Swedish politics is under the dominant shadow of several Social Democratic leaders and Reinfeldt's Alliance team will have to work harder to claim credit for improving further the Swedish welfare state system.