Tag Archives: deal

Russia-China deal: Even energy pivots East

By Patrick L Young

The thing about globalization is that it involves the whole world. Hence Russia exercises its option to pivot East when faced with an obdurate West.

Bubbles share a core attitude of mind: complete incapacity to recognize that the real world may not correspond to your immediate surroundings. Thus investors become absorbed by manias from tulip bulbs to the South Sea, the internet et al, and fail to realize that ‘asset’ values have fundamentally decoupled from reality.

Read more » http://rt.com/op-edge/160212-russia-china-gas-deal-east/

Will the Japan trade deal revive globalization?

Japan Trade Deal May Revive Globalization

By the Editors

The U.S. and Japan agreed to terms last week allowing Japan to join talks on the Trans-Pacific Partnership, another step toward creating the world’s most important free-trade initiative. The emerging pact has far- reaching implications for domestic policy in Japan and elsewhere, and could offer a new approach to global as well as regional trade liberalization.

Japan’s participation would widen the TPP to 12 members, accounting for 40 percent of global gross domestic product. The Japanese economy is bigger than all the other non-U.S. members combined. By taking part, Japan is making a commitment to long- overdue domestic economic change. Supply-side reform is one of the “three arrows” Prime Minister Shinzo Abe has promised will revive Japan’s stagnant economy (the others are monetary stimulus and fiscal expansion). In the long term, it’s the one that matters most — and it’s the one that the TPP can provide.

Abe deserves much credit for pressing this part of his program so determinedly. Special interests, especially farming, have supported protectionism in Japan for years. (Rice farmers are shielded by tariffs approaching 800 percent.) The TPP will mobilize Japan’s manufacturing exporters, which will gain directly from the deal, as a countervailing political force.

Farmer Resistance

According to the government’s estimate, annual farm and marine production might decline by 3 trillion yen ($30.3 billion) under the TPP, though other sectors would expand more than twice as much, raising aggregate GDP by 3.2 trillion yen. That’s probably an underestimate, because the benefits would build over time. One independent study puts Japan’s potential gain at more than $100 billion a year (2 percent of GDP) by 2025. ….

Read more » Bloomberg
http://www.bloomberg.com/news/2013-04-14/japan-trade-deal-may-revive-globalization.html?alcmpid=view

US withdraws negotiators from Pakistan, no supply deal

WASHINGTON: The United States has withdrawn negotiators from Pakistan after talks failed to produce an agreement on reopening Nato supply routes into Afghanistan, the Pentagon said Monday. ….

Read more » DAWN.COM

NATO Reaches Transit Deal With Kazakhstan, Kyrgyzstan, Uzbekistan

NATO reached an agreement with Kazakhstan, Kyrgyzstan and Uzbekistan to ship military equipment out of Afghanistan through Central Asia, NATO Secretary General Anders Fogh Rasmussen reported today:

We also reached agreement on reverse transit from Afghanistan with three Central Asian partners: Kazakhstan, Kyrgyzstan and Uzbekistan. These agreements will give us a range of new options and the robust and flexible transport network we need….

With Russia we have a transit arrangement, a reverse transit arrangement already, and the fact that we have now concluded a transit arrangement, three concrete transit arrangements with Central Asian countries at the Chicago Summit, will make the use of the Russian transit arrangement even more effective.

Read more » http://www.eurasianet.org/node/65494

Extension in DG ISI tenure

Extension in DG ISI tenure would be a deal with government, says Nisar

ISLAMABAD: If the Pakistan Peoples Party-led government extends the contract of Inter-Services Intelligence (ISI) chief Lt General Ahmad Shuja Pasha for a third term, then it would be considered as a “deal” with the government, said Leader of Opposition in the National Assembly Chaudhry Nisar Ali Khan on Friday.

Speaking at a press conference in Islamabad, Nisar said a possible extension would also make a case for government’s indictment.

In a press conference earlier, Nisar had said there are a lot of competent generals who are capable of filling this post, “and I hope that the army itself will devise a strategy to replace Pasha.”

He added: “During Pasha’s service, Pakistan witnessed massive intelligence failures such as the raid in Abbottabad; the Mumbai tragedy; the attack on Mehran Base Karachi; the Memogate scandal and Nato air strike on the Salala check post. It was unfortunate that despite all this, Pasha claims that the Chief of Army Staff (COAS) General Ashfaq Parvez Kayani stopped him from resigning his post, which is strange for us.”

The Opposition Leader had earlier in a press conference on Thursday said that other, competent Generals, ought to be given a chance to run the agency.

Courtesy: The Express Tribune

Going abroad under a deal by Nawaz Shrif was also NRO, says Malik

Malik makes Nawaz-Musharraf deal public

ISLAMABAD: Interior Minister Rehman Malik on Tuesday distributed the copies of pardon agreement between former President Pervez Musharraf and PML-N chief Nawaz Sharif, DawnNews reported. The agreement was signed by Nawaz Sharif, Shahbaz Sharif, Abbas Sharif and Husain Nawaz.

Speaking to media representatives, the minister said that political parties other than Pakistan Peoples Party (PPP) took more advantage of the National Reconciliation Ordinance (NRO). “Only five people of PPP benefitted from NRO,” he added.

He said that the ordinance was cleared by the cabinet of former prime minister Shaukat Aziz and was approved by the army. Malik asked the PML-N chief to explain his links with the central character of memeogate scandal Mansoor Ijaz.

The minister indicated that his life was in danger and he was playing with fire. “Contact my son Barrister Ali to get all proofs and documents if I am killed,” he added. Malik said that he has handed over evidences against so many people including Nawaz Sharif to his son.

Courtesy: DAWN.COM

India Vietnam Sea oil exploration deal

Time to teach those around South China Sea a lesson

By Long Tao

No South China Sea issue existed before the 1970s. The problems only occured after North and South Vietnam were reunified in 1976 and China’s Nansha and Xisha Islands then became the new country’s target.

Unfortunately, though hammered by China in the 1974 Xisha Island Battle and later the Sino-Vietnamese War in 1979, Vietnam’s insults in the South China Sea remained unpunished today. It encouraged nearby countries to try their hands in the “disputed” area and attracted the attention of the US so that a regional conflict gradually turned international.

China, concentrating on interior development and harmony, has been ultimately merciful in preventing such issue turning into a global affair so that regional peace and prosperity can be secured.

But it is probably the right time for us to reason, think ahead and strike first before things gradually run out of hands.

It seems all the countries around the area are preparing for an arms race.

Singapore brings home high-end stealth aircraft while Australia, India and Japan are all stockpiling arms for a possible “world-class” battle. ….

Read more » Global Times

China Pullout Deals Blow to Pakistan

Mining Company Abandons $19 Billion Pact; Move Is Setback to Islamabad’s Effort to Establish Beijing as Foil to U.S.

By TOM WRIGHT in New Delhi and JEREMY PAGE in Beijing

A Chinese mining company pulled out of what was to be Pakistan’s largest foreign-investment deal because of security concerns, complicating Islamabad’s effort to position its giant neighbor as an alternative to the U.S. as its main ally.

An official at China Kingho Group, one of China’s largest private coal miners, said on Thursday it had backed out in August from a $19 billion deal in southern Sindh province because of concerns for its personnel after recent bombings in Pakistan’s major cities. …

Read more » The Wall Street Journal

North Korea paid Pak generals for nuclear secrets

Pakistan’s nuclear-bomb maker says North Korea paid bribes for know-how

By R. Jeffrey Smith

The founder of Pakistan’s nuclear bomb program asserts that the government of North Korea bribed top military officials in Islamabad to obtain access to sensitive nuclear technology in the late 1990s.

Abdul Qadeer Khan has made available documents that he says support his claim that he personally transferred more than $3 million in payments by North Korea to senior officers in the Pakistani military, which he says subsequently approved his sharing of technical know-how and equipment with North Korean scientists.

Khan also has released what he says is a copy of a North Korean official’s 1998 letter to him, written in English, that spells out details of the clandestine deal.

Some Western intelligence officials and other experts have said that they think the letter is authentic and that it offers confirmation of a transaction they have long suspected but could never prove. Pakistani officials, including those named as recipients of the cash, have called the letter a fake. Khan, whom some in his country have hailed as a national hero, is at odds with many Pakistani officials, who have said he acted alone in selling nuclear secrets.

Nevertheless, if the letter is genuine, it would reveal a remarkable instance of corruption related to nuclear weapons. U.S. officials have worried for decades about the potential involvement of elements of Pakistan’s military in illicit nuclear proliferation, partly because terrorist groups in the region and governments of other countries are eager to acquire an atomic bomb or the capacity to build one.

Read more → THE WASHINGTON POST

[See → letter from North Korean official to A.Q. Khan]

Israeli hardliners have started a massive campaign to undermine Obama’s stand that peace can only come with a truly independent Palestinian state

Obama Sees ’67 Borders as Starting Point for Peace Deal

By MARK LANDLER and STEVEN LEE MYERS

WASHINGTON — President Obama, seeking to capture a moment of epochal change in the Arab world, began a new effort on Thursday to break the stalemate in the Israeli-Palestinian conflict, setting out a new starting point for negotiations on the region’s most intractable problem.

A day before the arrival in Washington of Prime Minister Benjamin Netanyahu of Israel, Mr. Obama declared that the prevailing borders before the 1967 Arab-Israeli war — adjusted to some degree to account for Israeli settlements in the West Bank — should be the basis of a deal. While the 1967 borders have long been viewed as the foundation for a peace agreement, Mr. Obama’s formula of land swaps to compensate for disputed territory created a new benchmark for a diplomatic solution.

Mr. Obama’s statement represented a subtle, but significant shift, in American policy. And it thrust him back into the region’s most nettlesome dispute at a time when conditions would seem to make reaching a deal especially difficult.

The Israeli government immediately protested, saying that for Israel to return to its pre-1967 borders would leave it “indefensible.” Mr. Netanyahu held an angry phone conversation with Secretary of State Hillary Rodham Clinton on Thursday before the speech, officials said, in which he demanded that the president’s reference to 1967 borders be cut.

Israeli officials continued to lobby the administration until right before Mr. Obama arrived at the State Department for the address. White House officials said he did not alter anything under Israeli pressure ….

Read more : The New York Times

Not much is going to change in Pakistan – same hopelessness, where only mighty will prevail and prosper

Stback on HEC devolution is a sign that not much is going to change in Pakistan

By Khalid Hashmani

It quite disappointing that the present Government surrendered to the pressure from vested interests and decided not to implement an important provisions of Pakistan’s constitution.  As I explained in my last e-mail on this subject, the constitution does not allow the central government to have any role in education (Higher or lower) matters except to be involved in standards for higher education, research and technical institutions and foreign ministry related matters pertaining to foreign students in Pakistan and Pakistani students in foreign countries. 

I had thought that there was a chance that return of democracy and parliamentary rule will lead to a negotiated end of denial of rights of Sindh, Balochistan and others. But, this is not to be and I am sure many of us who fought for the return of democracy are wondering what should be done next? The undue pressure from the un-elected and those who benefited from the current faulty Higher Education Commission (HEC) system joined hands to force the Pakistani government in making this terrible decision. I have no doubt in my mind that this short sighted step is going to have long term repercussions as many would conclude that the vested interests are too strong to defeat no matter what.

I find an element of truth in what a friend said few years ago when I argued that Sindhis could get a fair deal. He said “There is no use to expect much good from an arrangement that has failed Sindhis for so many times.

Incidentally, it was claimed that Higher Education Commission (HEC) only gives scholarships to those who secure admission to world’s top 50 institutions. I took the list of 61 candidates who were approved for scholarships around November 10, 2010 http://www.hec.gov.pk/InsideHEC/Divisions/HRD/Scholarships/ForeignScholarships/ISSIP/Pages/results_16_meeting.aspx) and compared it to top 100 schools listed on (http://www.timeshighereducation.co.uk/world-university-rankings/). I found that a substantial majority of those approved did not have admission in any of the top 100 universities/colleges. Only the intended universities of 17 out of 60 (the intended university of one student is not listed) were on the top 100 list.

I feel that this setback on the HEC devolution is a sign that not much is going to change in Pakistan – same hopelessness, where only mighty will prevail and prosper and the weaker will continue to come on loosing end.

Pakistan has been playing us all for suckers

Britain is spending millions bolstering Pakistan, but it is a nation in thrall to radical Islam and is using its instability to blackmail the West

by Christina Lamb

When David Cameron announced £650m in education aid for Pakistan last week, I guess the same thought occurred to many British people as it did to me: why are we doing this?

While we are slashing our social services and making our children pay hefty university fees, why should we be giving all this money to a country that has reduced its education budget to 1.5% of GDP while spending several times as much on defence? A country where only 1.7m of a population of 180m pay tax? A country that is stepping up its production of nuclear weapons so much that its arsenal will soon outnumber Britain’s? A country so corrupt that when its embassy in Washington held an auction to raise money for flood victims, and a phone rang, one Pakistani said loudly: “That’s the president calling for his cut”? A country which has so alienated powerful friends in America that they now want to abandon it?

As someone who has spent almost as much time in Pakistan as in Britain over the past 24 years, I feel particularly conflicted, as I have long argued we should be investing more in education there.

That there is a crisis in Pakistan’s education system is beyond doubt. A report out last month by the Pakistan education taskforce, a non-partisan body, shows that at least 7m children are not in school. Indeed, one-tenth of the world’s children not in school are in Pakistan. The first time I went to Pakistan in 1987 I was astonished to see that while billions of pounds’ worth of weapons from the West were going to Pakistan’s intelligence service to distribute to the Afghan mujaheddin, there was nothing for schools.

The Saudis filled the gap by opening religious schools, some of which became breeding grounds for militants and trained the Taliban. Cameron hopes that investing in secular education will provide Pakistan’s children with an alternative to radicalism and reduce the flow of young men who want to come and bomb the West.

“I would struggle to find a country that it is more in Britain’s interests to see progress and succeed than Pakistan,” he said. “If Pakistan is a success, we will have a good friend to trade with and deal with in the future … If we fail, we will have all the problems of migration and extremism that we don’t want to see.”

As the sixth most populous country, with an arsenal of between 100 and 120 nuclear weapons, as the base of both Osama Bin Laden and the Taliban leadership, and as homeland to a large population in Britain, Pakistan is far more important to our security than Afghanistan. But after spending two weeks travelling in Pakistan last month, I feel the situation has gone far beyond anything that a long-term strategy of building schools and training teachers can hope to restrain.

The Pakistani crisis has reached the point where Washington — its paymaster to the tune of billions of dollars over the past 10 years — is being urged to tear up the strategic alliance underpinning the war in Afghanistan.

Dana Rohrabacher, a Republican congressman from California who sits on the House foreign affairs committee and has been dealing with Pakistan since working in the Reagan White House, says he now realises “they were playing us for suckers all along”.

“I used to be Pakistan’s best friend on the Hill but I now consider Pakistan to be an unfriendly country to the US,” he said. “Pakistan has literally been getting away with murder and when you tie that with the realisation that they went ahead and used their scarce resources to build nuclear weapons, it is perhaps the most frightening of all the things that have been going on over the last few years.

“We were snookered. For a long time we bought into this vision that Pakistan’s military was a moderate force and we were supporting moderates by supporting the military. In fact the military is in alliance with radical militants. Just because they shave their beards and look western they fooled a lot of people.”

Christine Fair, assistant professor at the centre for peace and security studies at Georgetown University in Washington, is equally scathing. “Pakistan’s development strategy is to rent out its strategic scariness and not pay taxes itself,” she said. “We should let them fail.”The Pakistani crisis has reached the point where Washington is being urged to tear up the strategic alliance underpinning the war in Afghanistan

Pakistan’s prime minister, Yousuf Gilani, comes from one of Punjab’s largest land-owning families. Watching Cameron sign over the £650m, he said: “I think the root cause of terrorism and extremism is illiteracy. Therefore we are giving a lot of importance to education.”

If that were the case one might expect Lahore University of Management Sciences, one of the most elite universities in the country, to be a bastion of liberalism. Yet in the physics department Pervez Hoodbhoy, professor of nuclear physics, sits with his head in his hands staring out at a sea of burqas. “People used to imagine there was only a lunatic fringe in Pakistan society of these ultra-religious people,” he said. “Now we’re learning that this is not a fringe but a majority.”

What brought this home to him was the murder earlier this year of Salman Taseer, the half-British governor of Punjab who had called for the pardoning of a Christian woman sentenced to death under the blasphemy law. The woman, Aasia Bibi, had been convicted after a mullah had accused her of impugning Islam when she shouted at two girls who refused to drink water after she had touched it because they said it was unclean.

Taseer had been a key figure in Pakistan’s politics for decades and had suffered prison and torture, yet when he said the Aasia case showed the law needed reforming, he was vilified by the mullahs and the media. In January he was shot 27 times by one of his own guards. His murderer, Mumtaz Qadri, became a hero, showered with rose petals by lawyers when he appeared in public.

After the killing, Hoodbhoy was asked to take part in a televised debate at the Islamabad Press Club in front of students. His fellow panellists were Farid Piracha, spokesman for the country’s biggest religious party, Jamaat-e-Islami, and Maulana Sialvi, a supposed moderate mullah from the Barelvi sect. Both began by saying that the governor brought the killing on himself, as “he who blasphemes his prophet shall be killed”. The students clapped.

Hoodbhoy then took the microphone. “Even as the mullahs frothed and screamed I managed to say that the culture of religious extremism was resulting in a bloodbath in which the majority of victims were Muslims; that non-Muslims were fleeing Pakistan. I said I’m not an Islamic scholar but I know there are Muslim countries that don’t think the Koran says blasphemy carries the death sentence, such as Indonesia, Malaysia and Egypt.

“I didn’t get a single clap. When I directly addressed Sialvi and said you have Salman Taseer’s blood on your hands, he looked at them and exclaimed: how I wish I had done it! He got thunderous applause.”

Afterwards, “I came back and wanted to dig a hole in the ground,” he said. “I can’t figure out why this country has gone so mad. I’ve seen my department change and change and change. There wasn’t one burqa-clad woman in the 1980s but today the non-hijabi, non-burqa student is an exception. As for the male students, they all come in turbans and beards with these fierce looks on their faces.”

Yet, he points out, these students are the super-elite, paying high fees to attend the university: “It’s nothing to do with causes normally associated with radicalism; it’s that the mullah is allowed complete freedom to spread the message of hate and liberals are bunkering down. Those who speak out are gone and the government has abdicated its responsibility and doesn’t even pretend to protect life and property.”

Raza Rumi, a young development worker and artist who blogs regularly, agrees. As we sat in a lively coffee bar in Lahore that could have been in the West until the lights went off in one of the frequent power cuts, he said: “Radicalism in Pakistan isn’t equated with poverty and backwardness — we’re seeing more radicalisation of the urban middle and upper class. I look at my own extended family. When I was growing up, maybe one or two people had a beard. Last time I went to a family wedding I was shell-shocked. All these uncles and aunts who were regular Pakistanis watching cricket and Indian movies now all have beards or are in hijabs.

“I think we’re in an existential crisis. The moderate political parties have taken a back seat and chickened out as they just want to protect their positions. What is Pakistan’s identity? Is it an Islamist identity as defined by Salman Taseer’s murder, ISI [the intelligence service], the jihadists? Is that really what we want to be?”

He does not know how much longer he will write about such things. “I’ve been getting repeated emails that I should leave the country or shut up,” he said.

When I left the cafe I was followed for the rest of the day by a small yellow car.

Courtesy: thesundaytimes.co.uk

The gains by ISI / Pakistan seem to be too much to digest. A retired Brig is all praise for Kiyani.

Admiral Mullen’s Secret Deal

How the Pentagon Supervised Raymond Davis’ Release and How the CIA Took Its Revenge

By SHAUKAT QADIR

[Please note : The writer is a retired brigadier and a former president of the Islamabad Policy Research Institute.]

On February 23, at a beach resort, Gen Ashfaq Kiyani, Pakistan army’s chief assisted by a two star officer met with Admiral Mike Mullen, US Chairman, Joint Chiefs of Staff, assisted by Gen. David Petraeus, and three other high ranking officials, to find a military-diplomatic solution to untangle this web that CIA operatives had spun around both governments. This has been a fairly consistent tradition. On every occasion when relations between Pakistan and the United States have soured (a not infrequent occurrence) the militaries have remained in contact and, invariably, have found a way forward.

The day after this meeting, a military officer posted at the US Embassy in Islamabad travelled to Lahore and met Davis in Kot Lakpat jail. Within 48 hours of this meeting, almost 50 individuals associated with the Tehreek-eTaliban Pakistan (TTP), including Pashtuns, Punjabis, and some foreigners (nationalities unknown, though one of them is said to be an Aryan) who had been in contact with Davis were arrested. Presumably, Davis ‘sang’, though probably to only a limited degree, on instructions.

Within the same period, a large number of Americans, estimated at between 30 to 45, who had been residing in rented accommodations (like Davis and his associates who had killed a motorcyclist while unsuccessfully attempting to rescue Davis) outside the Embassy/Consulate premises in Islamabad, Peshawar, Lahore, Karachi, and Quetta left for the US. It is safe to conclude that these were either CIA, Black ops, or associated personnel from security agencies like Xe.

The intelligence business is broadly divided into two categories: human intelligence, known as HUMINT and electronic intelligence, known as ELINT. The latter has numerous subdivisions: SIGINT (Signals intelligence, also known as COMINT; communication intelligence), Imagery intelligence etc. It appears, therefore, that the deal struck between the military leadership included a shut down of CIA’s HUMINT operations in Pakistan, retaining only ELINT, Davis would ‘sing’, within limits, of course, and only then could Blood Money be negotiated for his release. And the US would be bled in that final deal also so as to ensure the safety and the future of the immediate families of both Davis’s victims.

At the height of the debate on the question of Raymond Davis’ immunity from trial for murder, this writer emphasized that Pakistan could not release him without a trial. A trial took duly place and, in accordance with prevalent law in Pakistan, the next of kin of the deceased young men, pardoned Davis in return for ‘Blood Money’. However outlandish this law might seem to those peoples whose countries have their based on Anglo-Saxon principles, such is the law in Pakistan and so there was nothing underhand in what transpired.

Amongst analysts and journalists there were basically two opposing responses to his release, though there was (and is) an occasional sane voice to be heard, throughout the saga. One category of people had been arguing since Davis’ arrest that he should be granted immunity since Pakistan, given its precarious economy, weak government, and the prevalent security situation, could not afford to fall afoul of the US. For this factionhis release through the judicial system was the next best outcome of the disastrous mistake that had been committed in arresting him!

The opposing view was that it is time and more, that Pakistan asserts its sovereignty and national pride to ensure that Davis is awarded no less than his due: the death penalty. It is ironic that the bulk of those who held this view are all supporters of the imposition of Islamic laws including those on blasphemy, Blood Money (the law that ensured Davis’ pardon), and a host of other issues and, even after Davis’ release under these laws, any attempt to get rid of such laws would be opposed by them, tooth and nail.

While the accusations leveled by the prosecution that the families of Faizan and Faheem, the two men killed by Davis, were coerced into accepting the deal offered to them in exchange for their pardoning Davis, is a pack of nonsense, since the entire family was under the active protection of the Pakistan’s Inter-Services Intelligence, there is absolutely no doubt that the ISI (and, therefore, GHQ) assisted in brokering the deal. In fact, I would be very surprised if both families had not been continuously advised by fairly senior-level representatives of the ISI as to what and how much they should ask for. ….

Read more : Counterpunch

India : General convicted

India army court convicts general over Sukhna land scam

An army court in India has found a senior officer guilty of involvement in an illegal land deal, officials say. Lt Gen PK Rath is the highest ranking serving officer ever to be convicted in a court martial in India. The court found him guilty on three counts but cleared him on four others. Sentencing is due on Sunday. …

Read more : BBC