Saturday, November 28, 2009

Is Malmströms chance Sweden's?

Sweden's European Union presidency is nearing its end this December and it appears that Prime Minister Fredrik Reinfeldt has done his best to work on the priority issues during the last five months. The most important was to secure the cooperation of major countries like the United States, China and India in the forthcoming Summit Meeting on Climate Changes in Copenhagen. Although no iron-clad assurances were made by these countries during the prime minister's recent state visits, Reinfeldt has stated that he was hopeful the meeting will result in an agreement that meets the economic and environmental considerations of countries concerned.

The European Union has now entered a new phase whereby an EU president and a foreign minister have been chosen. The choice, when the names were announced created a ripple of surprises because they were unknown personalities in the EU galaxy of politicians. For months now, there were popular choices speculated for the presidency and the foreign minister posts. The final vote came as a total surprise.

Sweden will have a new EU commissioner, Cecilia Malmström, who is coming from the Liberal Party but who in her own right is an EU veteran. She will handle one of the toughest questions confronting the EU, that of asylum and migration as well as crime prevention. Dagens Nyheter stressed that tough policies are required today in the form of laws to curtail trafficking, organised crime and sexual exploitation of children as well as illegal immigration.

The asylum and migration issues continue to be a main thorn in the European Union's effort to accommodate refugees and asylum-seekers from countries in conflict. It is common knowledge that Sweden has taken more asylum-seekers than its economy can sustain, while other EU countries have turned a blind eye and a deaf ear to pleas for greater humanity and solidarity in the burden-sharing of refugee intakes.

Sweden is a small country with a big heart. It is a welcome development that the next Swedish commisioner after Margot Wallström is a woman, who will hopefully deal with all these tough issues with both heart and mind. Europe is far from being a united union with common purposes and interests. The national interests of many EU member-states remain strong even if the national borders have become more porous.#

Sunday, June 14, 2009

Truth missing in party leaders' talks

Shortly after the Eu parliamentary elections last Sunday, June 7 this year - the leaders of Sweden's two biggest parties gave glowing views on the result of the elections. Mona Sahlin, leader of the opposition Social Democratic Party stated that "it was blowing red-green winds" while Moderate Party leader and current Prime Minister Fredrik Reinfeldt spoke of "success" made in the elections.

DN Columnist Peter Wolodarski questioned such statements as lacking truth and pointed out that both parties were losers as they lost supporters to the Liberal and Green Parties. Such lack of candidness contributes to falsity in the public debate, and if both party leaders cannot admit the truth of losing, then who else would?

Those who made big inroad into the EU elections were smaller parties, even one new upstart whose pro-EU views were better understood by voters. For one, the Social Democratic Party prominently placed as its first candidate a known anti-EU politician. The Green Party which made a dramatic switch towards EU membership drew strong votes and went up from 6 to 11 percent. For most Swedes, membership in the EU is a certainty which makes anti-EU politicians less palatable to the voters.

The Swedish EU election had a low electoral turnout which indicated a lack of interest among voters, if not a lack of good knowledge on how exactly the politics in Brussels affect the individual lives of every Swedish citizen. The success of the newly-started Pirat Party and the Sverigedemokraterna is an indication of discontent among a majority of the Swedish electorate, creating a state of apprehension not just for the forthcoming national elections in 2010, but in how Sweden will cope with a deepening economic crisis.#

Tuesday, June 2, 2009

Swedish Moderate Party leaders criticise EU's growth strategy

Sweden's Prime Minister Fredrik Reinfeldt and Minister of Finance Anders Borg presented today in Dagens Nyheter's Debate, the Moderate Party's job manifesto five days before the EU parliamentary elections on Sunday, June 7th. A sustainable public sector finance should be the cornerstone in a new EU strategy for growth, they stated. The Lisbon strategy should have made the EU the world's most competitive economy in 2010, but even if some progress were made the strategy was a failure, they said. An overhaul and re-start is necessary already by autumn 2009 when Sweden takes over the EU Presidency, thus making the issue a priority question in the coming 5-year period, Reinfeldt and Borg wrote.

The two Moderate Party leaders claim that the strong measures adopted to cushion the impact of the financial crises lead to stable state finances, in comparison to those taken by countries like Great Britain, Ireland and Lithuania which resulted in severe cutbacks in state welfare budgets and increased public debts. " We want Sweden to be an example in the work against the crisis and a driving force for EU's becoming a strong force for common traffic rules in the finance markets, responsibility and long-sightedness when it comes to economic policies, as well as correct response for recovery. "It is for this reason that we in Sweden and in EU will look closely at short-term policies that risk making economic recovery harder and enabling unemployment to get deep-seated", they stated.

"It is important to remember that EU, even before the crisis already battled with bad growth conditions, a serious situation of immigrants standing outside the labour market and several member-countries inability to show sustainable public finances. Along with an aging population and the growing needs for welfare services which are old unsolved issues, there are new ones that need to be addressed. It is therefore necessary to have a long-term reform policy for more jobs and economic growth", Reinfeldt and Borg wrote.# (Translations made from DN, Debate June 2, 2009)


Saturday, January 10, 2009

Carl Bildt on challenges facing the Swedish EU Presidency

Sweden's most important agenda for 2009 is the European Union Presidency in the second half of this year. Foreign Minister Carl Bildt outlined the tasks, challenges and problems facing the Swedish presidency in an article he wrote for Dagens Nyheter's Debatt page, in the beginning of this month.

Bildt wrote that, the climate issue - which is closest to the heart of the Swedish agenda, will face difficulties because of the economic crisis. "Weak states and destroyed areas will need bigger support from EU than what Iceland and Lithuania got," he stated. " During 2009, the various consequences of the crisis must be dealt with in Sweden and in our own sorrounding. Not in the least, the global warming crisis must be prevented, which is more difficult as a result of the recessionary downtrend and the financial crisis. Populistic driven protectionism risks making the economic crisis doubly worse, in particular if the negotiations on world trade is not successfully done."

Sweden has now entered the "European year" - participating as member of the EU troika in the first half year; the EU parliamentary elections this coming June and later, the EU presidency. Bildt said that, "we live in a world that is less safe and stable than what we thought a year ago." After a long period of exceptional economic growth, world trade will contract and global growth will go down to a zero level as more advanced countries sink into a recession. The situation could get even worse if the world trade negotiation fails.

Outside of the worst economic scenario, the urgent challenge is the global warming crisis that must be prevented from rapidly deteriorating. The decision made in 2008 has made Europe the main green force in the global dialogue. This task is facing dramatic dialogues between major actors like the USA, China, India, Brazil among others.

Bildt stressed that, a major partnership between USA - under newly-elected President Barack Obama, and the EU is of utmost importance, "if we will have the possibility to tackle the major global challenges as well as engaging other countries in the undertakings."#

Sunday, December 14, 2008

Swedish car rescue plan in a dilemma

Swedish Industry Minister Maud Olofsson will be facing a tough parliamentary question session on Tuesday, Dec. 16, when the opposition Socialist Party demands to hear a clearer verdict on the bailout of SEK28 billion earlier promised to the car manufacturing industry. It is a question of whether the coalition government is going to pursue said bailout or is simply misleading the industry and the Swedish people.

"If it shows that the government's crisis package is not actually SEK28 billion as promised, then it is serious", says Tomas Eneroth, spokesman for the Socialist Party Industry Committee. He wants to see the bailout papers on Olofsson's table.

Last Thursday, Dec. 11 the coalition government through Finance Minister Anders Borg and Industry Minister Olofsson, presented the rescue package for the car industry which consists of a SEK28 billion financial injection.
The billions from the European Investment Bank (EIB) can not be loaned directly to either SaaB or Volvo since they are both owned by the American company Ford or GM, and not either to Opel in Germany. The problem is that they are under a common financial system with their respective US owners.

"It would mean that if (these car companies) were given the rescue money at this time and GM or Ford declares bankruptcy, the money would simply disappear into a black hole, without a cent left. This is a huge amount for Europe and even if both US companies were to survive, they could announce that they will develop new car technologies in Detroit, for which European taxpayers will not be too happy to get involved in, much less pay for," said Lars Holmquist, European car sub-contractor.

Holmquist believes that the Swedish government would want to build a new company, something of a Swedish car development type, with the state as primary owner and thereafter place the multi-billion rescue money into this new organisation designed to develop new technologies such as petrol-saving engines and hybrids. Then later, Saab and Volvo could be allowed to use these technologies to meet the present demand for environment-friendly vehicles. In this way, the Americans could not lay hands on the rescue money but could later avail of the results of the research.

As far as the EIB rescue money is concerned, the SEK20 billion is earmarked for the European car industry for 2009. The money will not be paid during a one year term but within a period of four years up to 2012. It is hoped that with several car manufacturers needing financial help, the amount promised by EIB will be increased accordingly.
(Translated and edited from Dagens Nyheter, 14 Dec. 2008)

Thursday, December 11, 2008

Reduced aid can lead to war and terrorism, Ahtisaari warns

Nobel Peace Prize winner for 2008 Martti Ahtisaari of Finland reminded aid donors not to reduce or hold back on their commitment to development assistance because of the current economic crisis because this could lead to war and terrorism. He had a clear message to say after he received his peace award: "All conflicts can be resolved."

"We should not accept excuses from holders of political power. Peace is a question of will," he was quoted as saying. He warned at the same time that peace negotiators like him take too much attention instead of focusing on the parties in conflict. He says that this creates a wrong picture that peace comes from outside instead of inside.

He stressed that poverty and inequality are reasons for war and terrorism, reminding the rich donor countries that the current economic crisis should not be made an excuse for reducing aid to poor countries that are already suffering from hard climate changes and reduced world trade. " Hundreds of young people risk losing their jobs," he said. "If we don't do anything, this could create criminality, instability and war when all these young people lose hope."

To the US President-elect Barack Obama, he admonished prioritizing the resolution of the Middle East conflict.
"The international community's credibility is under challenge. We cannot pretend year after year that something is being done about the situation. We must have results."

Ahtisaari's accomplishments as peace negotiator are particularly significant in the following: In Kosovo, along with Russia and USA, succeeded with a peace agreement in 1999 that ended civil strife; In Aceh province in Indonesia, where a bloody conflict for independence raged for centuries, a peace agreement was signed in 2005; and Namibia in southern Africa, which after years of quiet negotiations got its independence in 1990. # (Translated and edited from Dagens Nyheter, 11 dec. 2008)

Thursday, December 4, 2008

No to clusterbombs, the Swedish dilemma

Over 100 countries - among them Sweden have signed in Oslo yesterday, an international agreement which forbids the use of clusterbombs. The so-called bombs contain minor bombs which explode close to the ground and covers a much larger area.

The convention which forbids the use, development and trading of clusterbombs was taken up in Dublin, Ireland in May last year. However, countries like the USA, Russia, China and Israel have not accepted the ban. Even Finland has not agreed to it.

Sweden has not shown the inclination to accept the prohibition when Norway brought it up two years ago. For one thing, Sweden has a type of clusterbomb, the Bomb Capsule 90, which is part of the Jas Gripen equipment. It weighs 600 kilos, inclusive of 118 kilo of explosive material which has a gliding, flying effect towards the target where around 72 minor bombs detonate when released.

However, in the middle of November Swedish Prime Minister Fredrik Reinfeldt stated that even Sweden will sign the agreement. He said that the decision is in line with Sweden's disarmament ambitions and on ban against anti-personnel mines.

The use of clusterbombs has been criticised for its military strength - that they could effectively strike at troop formations over a large territory - which is also its weakness. They are not precision weapons and they can hit both civilians and military targets. The wars in Kosovo, Iraq and Afghanistan have shown that not only personnel mines but even clusterbombs contributed to a huge humanitarian problem than other conventional weapons. It is also common that some minor boms do not explode when they spread, which leaves blind bombs that are more powerful and deadlier than landmines.

For Sweden, it would mean discontinuity in the use of Bomb capsule 90 and reduced effectivity of the Jas Gripen against any armed attacks against the country. It means that the Swedish defense must replace it with another kind of weapon to complement Jas Gripen's capacity.

In order to become legally binding, the international agreement requires the ratification by 30 countries. " As Chairman of the European Union in Autumn 2009, it is important that Sweden prioritises and with credibility expand the coverage of the agreement. We therefore expect us in the government already in spring 2009, to present a proposal to the parliament for a Swedish ratification," said Anna Ek, chairperson of the Swedish Peace.# (Edited and translated from Dagen Nyheter, 4 dec. 2008)