Democratic.net: [RED DEMOCRATICA] CFR.org Daily Brief, July 16, 2009

Thursday, July 16, 2009

[RED DEMOCRATICA] CFR.org Daily Brief, July 16, 2009

July 16, 2009

View this newsletter as a web page on CFR's website.

Executive Summary

-China’s economy grows.

-Clinton urges Iran dialogue.

-India chooses sites for U.S. to build nuclear reactors.

-Honduran interim leader willing to step down.

Top of the Agenda: China Shows Surprising Economic Growth

China’s economy grew by 7.9 percent (NYT) in the second quarter of 2009, the Chinese government said Thursday, making it one of the few major economies showing significant growth. China’s economic stimulus initiatives have helped propel growth—new lending was up 201 percent (BusinessWeek) during the first half of 2009. Retail sales in China were up 15 percent (Xinhua) from a year earlier.

Background:

The Financial Times looks at the factors contributing to China’s growth.

Analysis:
Writing on CFR’s Brad Setser’s Follow the Money blog, RGE Monitor’s Rachel Ziemba warns that China’s reserves may be too high.

A recent Reuters article speculates on the impact of China’s growth on the global auto market.

A CFR Crisis Guide offers an in-depth, multimedia look at the causes and consequences of the global economic crisis.

MIDEAST: Clinton on Iran

Speaking at CFR on Wednesday, U.S. Secretary of State Hillary Clinton called on Iran to engage directly with the United States in talks on its nuclear program. She emphasized that the United States will only be open to such dialogue for a limited time.

Video of Clinton’s remarks is available here.

A transcript is available here.

Hezbollah: The UN peacekeeping force in Lebanon said Wednesday that a cache of Hezbollah weapons recently discovered in southern Lebanon represents a “serious violation” of the UN brokered cease-fire between Israel and Lebanon Hezbollah that ended their the 2006 war (Jerusalem Post).

PACIFIC RIM: China Alerts Algeria

China advised Chinese citizens living in Algeria to be on alert (CS Monitor), after reports that North Africa’s al-Qaeda in the Islamic Maghreb is plotting revenge for the deaths of Uighurs in riots in Xinjiang province earlier this month. China also said on Thursday that it will soon issue arrest warrants (AP) for those responsible for the riots.

A Backgrounder profiles al-Qaeda in the Islamic Maghreb.

SOUTH AND CENTRAL ASIA: Indian Nuclear Power Sites

India chose two sites where the United States will build civilian nuclear power reactors (WSJ). The move is part of last fall’s the U.S.-India nuclear deal that was signed last year.

A CFR looks at the U.S.-India nuclear deal.

Pakistan: Pakistan requested about $4 billion in funding from the International Monetary Fund on Wednesday as “insurance” against the global recession (Dawn). Pakistan already has a $7.6 billion loan from the IMF.

AFRICA: S. Africa Strike Ends

A labor strike in South Africa that stopped the building of the stadiums to be used in the 2010 World Cup will end on Thursday (The Times). The workers were demanding a 13 percent pay raise, but have settled for 12 percent, a union spokesman said.

Uganda: The UN Security Council pressed Uganda’s Lord’s Resistance Army to sign a peace agreement (BBC) that would end its prolonged war with the Ugandan government.

LRA leader Joseph Kony has been hesitant to sign the accord, noting the lack of a guarantee against International Criminal Court arrests and indictments.

AMERICAS: Micheletti May Step Down

Honduran interim leader Roberto Micheletti, who came to power following a military coup in June, told reporters on Wednesday he would be willing to step down with a guarantee that ousted President Manuel Zelaya does not return (AP).

EUROPE: Russian Human Rights Activist Slain

Prominent human rights activist Natalia Estemirova was found shot to death (BBC) on Wednesday in the region of Ingushetia, after being abducted in the Chechen capital of Grozny, where she lived. Estemirova was investigating possible human rights violations by government-backed militias in Chechnya for Russian human rights group Memorial. Russian President Dmitry Medvedev condemned the killing and called for an inquiry into her death (Ria Novosti).

UK: UK energy and climate change secretary Ed Miliband laid out a plan to green Britain’s power grid (Guardian) and reduce the country’s carbon emissions. Miliband said the United Kingdom will get 40 percent of its electricity from wind, tidal, and nuclear sources by 2020.

TRANSNATIONAL: Non-Aligned Summit in Egypt

In Egypt, discussions at the fifteenth summit of the 118-nation Non-Aligned Movement this week have so far surrounded the global recession (Hindu). In his opening remarks, Cuban President Raul Castro called for a new international economic framework (AP) that “doesn't depend solely on the economic stability and the political decision of only one country.”

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