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Thursday, 31 July 2014

The Coming US-Africa Summit

The Coming US-Africa Summit

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In the coming week, America’s president Barrack Obama will be hosting African heads of state and leaders in Washington, DC. Obama is the first African-American to be elected president of the United States. This is his second and final term in office and he has been able to visit only about four countries in Africa since becoming president. Thus, the US-Africa Summit this week will afford him the opportunity to interact with as many African leaders from as many countries as possible. In this regard, America is copying Japan, China, India and other emerging powers who have since institutionalized their engagements with Africa as a whole periodically.
Africa has played key roles throughout history. African resources helped to build most European countries through the outright theft of these resources during colonialism. African slaves helped to build the new world, the Americas. Today, Africa is the last frontier where all established and emerging powers are running to for development. Over 60 per cent of the total arable land in the world is in Africa. African mineral resources are helping to keep the industries of the world moving. But Africa, the richest continent, is paradoxically also the poorest.
For Africa, this US Summit is coming against the background of mass poverty, proliferation of small arms and light weapons, ethnic and religious hostilities as well as leadership crisis in the three major African countries – Nigeria, South Africa and Egypt – among others. For the US, the summit is coming against the background of US failure to stabilize Iraq, Syria and Afghanistan, among others, which has discredited American leadership, has shattered the concept of an expanding Europe as a major global player, and has reignited Russian geopolitical aspirations in especially central Europe.
Complicating official perceptions and tempering public expectations at the end of the Cold War was the fact that the world America inherited as its ward on the eve of the 21st century was neither historically at ease nor truly at peace. Since then, experiences have taught us that even the world’s paramount superpower can go badly astray and endanger its own primacy if its strategy is misguided and its understanding of the world is faulty, as discerned by many careful analysts.
In reality, historical speculation cannot be the basis for specific policy recommendations given changed circumstances, unexpected events and novel challenges. And the Bush II administration, just before Obama, had chosen to propagate an atmosphere of national and even global fear in the face of an inherently unclear and unpredictable threat. America embarked upon what it called war against terrorism even though terrorism is not an enemy but a technique of warfare – political intimidation through the killing of unarmed non-combatants.
The a-historical character of America’s misadventure in Iraq further highlighted the limitations of a strategy primarily dependent on force. Compounding the dilemmas of a war waged by an administration lacking historical perspective is the psychological and even visual identification of American conduct with Israeli practices. The American actions in Iraq, Afghanistan, Pakistan, Syria and around the world have so far divided its allies, united its enemies and created opportunities for its rivals and ill- wishers as many discerning analysts have concluded.
Moreover, America has turned democracy into a subversive tool for destabilizing the status quo. It has subscribed to the wrong notion that electoral democracy could be imposed from outside. The American policymakers have failed to understand that American political tutelage is not only unwelcome to most but bitterly resented by many. Greater coherence in national policy calls for correcting this widespread bad impression. America must remember that loss of soft power reduces “hard power”. As a result of this misunderstanding and misreading of many global events by the US, America is losing friends and losing credibility all over the world.
The foundation of the US power is the dollar. That was why former American president Richard Nixon said “The dollar is our currency and your problem”, because of the primacy of the dollar in international trade. Consequently, the developing countries in general and Africa in particular are exporting capital to the developed countries. Thus, if Africa is to develop, the Lucas paradox — “capital flow from South to North” — has to be arrested and discouraged. In the other words, capital flight has to stop and all African resources should remain in Africa to help develop the continent with its own resources and not grants and aid.
The IMF and World Bank have pushed for deregulation, for free market economies, for free movement of capital or what is collectively called the Washington consensus. We now know that these are the reasons for the global financial crisis and for it affecting the world economy. The impact has been enormous and has contributed to the de-industrialization of Africa. In any case, the Washington consensus is not applied in Washington. And, in a global economy, there is need for institutions to help manage the process of globalization because, after all, markets do not regulate themselves.
The financial, environmental, food and energy crisis require new institutional mechanism or framework to manage. This is a crisis we cannot get out of by leaving it to market forces. Intervention by governments is necessary because there is need for political decisions. Nowadays, there is a consensus that government has to play a more strategic role in economic management, because markets are not only imperfect but require regulation to function well regardless of how powerful the invisible hands of the market may be.
We, as Africans, must not shy away from arriving at the obvious conclusion that, regardless of his African roots, Obama has an American mandate. Thus, we must not expect much from the US because of Obama, if we are to be realistic. And if the US under Obama is to really help, the best way is to help Africa recover its resources looted over the years by corrupt leaders and their external collaborators and repatriate these to Africa for development. If these resources were repatriated to this continent, Africa would not need any help from outside.
In fact, most of the aid from the developed world to Africa is targeted at the social sector, not production. Similarly, growth is not mentioned in the Millennium Development Goals (MDGs); only social issues. Thus, the MDG is not a comprehensive development agenda as there is no mention of technology transfer, employment generation, investments and value addition. These are what will spur growth and development which are the issues the ordinary people of Africa want addressed during the Africa-US Summit in Washington next week if Obama is serious about African peace, prosperity and sustainable development. History is on the side of the oppressed.



[AfricaRealities] Fw: Institutional racism in the UK banking sector

 





It is all about discrimination on ground of race. Institutional racism in the UK is everywhere.It is part of British culture.


HSBC closes some Muslim groups' accounts


HSBC bank has written to Finsbury Park Mosque and other Muslim organisations in the UK to tell them that their accounts will be closed.
The reason given in some cases was that to continue providing services would be outside the bank's "risk appetite".
The wife and teenage children of a man who runs a London based Islamic think tank have also been contacted.
HSBC said decisions to close accounts were "absolutely not based on race or religion".
"We do not discuss relationships we may or may not have with a customer, nor confirm whether an individual or business is, or has been a customer.
"Discrimination against customers on grounds of race or religion is immoral, unacceptable and illegal, and HSBC has comprehensive rules and policies in place to ensure race or religion are never factors in banking decisions."
The bank said it was "applying a programme of strategic assessments to all of its businesses" after a $1.9bn fine in 2012 over poor money-laundering controls.
"As a result of these ongoing reviews, we have exited relationships with business and personal customers in over 70 countries.
"The services we provide to charities are no exception to this global review," the bank added.
No chance
Continue reading the main story

"Start Quote

They have put us now in a very, very difficult situation - this is the only account we have"
Mohammed Kozbar
Finsbury Park Mosque in north London was written to by HSBC on 22 July.
The only reason given for the intention to close its account was that "the provision of banking services… now falls outside of our risk appetite".
In the letter, the bank notifies the treasurer of the mosque that it will close the account on 22 September.
Khalid Oumar, one of the trustees of the mosque, questioned the motives behind the letters.
"The letters that have been sent and the letters that we received do not give any reason why the accounts were closed in the first place," he said.
"That has led us to believe that the only reason this has happened is because of an Islamophobic campaign targeting Muslim charities in the UK."
'Astonishing'
The mosque's chairman Mohammed Kozbar told the BBC: "The bank didn't even contact us beforehand. Didn't give us a chance even to address [their] concerns.
"For us it is astonishing - we are a charity operating in the UK, all our operations are here in the UK and we don't transfer any money out of the UK. All our operations are funded from funds within the UK."
Until 2005, the mosque was run by Abu Hamza, who in May this year was convicted of terrorism offences in the United States.
"The positive work we have done since taking over over from Abu Hamza to change the image of the mosque, there is nothing really that can explain [HSBC's decision]," says Mr Kozbar.
Continue reading the main story

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It is unsettling. I am not used to being addressed in those terms. It's like I have done something wrong"
Anas Al Tikriti
"They have put us now in a very, very difficult situation - this is the only account we have."
Mr Kozbar says HSBC's decision could have negative repercussions for the bank.
"We are sure that our community will be frustrated, and might consider closing their accounts themselves with HSBC if the bank doesn't reopen our account, or at least give us an explanation."
Jeremy Corbyn, the local MP for Finsbury Park, says he has worked with the mosque ever since it was built.
"Over the past 10 years, it has developed into a superb example of a community mosque supporting local people and providing facilities for all faiths if they need it.
"I am shocked and appalled at the decision of HSBC."
'Unsettling'
Anas Al TikritiMr Al Tikriti says his children are "confused" by HSBC's decision
Anas Al Tikriti was born in Baghdad but has lived in the UK for several decades. His family has also received letters. He runs the Cordoba Foundation, a think tank on Islamic issues set up in 2005 in order to address, he says, the relationship between Europe and the Middle East.
He, his wife and his sons aged 16 and 12 all received separate letters this week from HSBC informing them that their accounts would be closed in September. This time, no reason was given.
Mr Al Tikriti says he has banked with HSBC since the 1980s and has rarely been overdrawn.
"It is unsettling. I am not used to being addressed in those terms. It's like I have done something wrong. The involvement of my family disturbs me. Why the entire family?"
"I can only speculate - and I wish someone from the bank could explain [why the accounts were closed]. The organisations are mainly charities and the link is that many of them if not all of them are vocal on the issue of Palestine."
"It would be a great shame if that was true. As I'm left to speculate, that's the only reason I can come to."
His think tank, the Cordoba Foundation, which also banks with HSBC, was also told that its account will close, with an almost identical letter to that sent to the Finsbury Park Mosque, and dated the same day.
'Alternative arrangements'
Ummah Welfare trust, based in Bolton, has distributed £70m to projects in 20 countries. It has had a presence in Gaza for 10 years.
In a letter, also dated 22 July, HSBC gave Ummah the same reason for closing its account that it had given to the Finsbury Park Mosque - that "provision of banking services now falls outside our risk appetite".
It then gave the charity two months' notice of its decision to close the trust's accounts.
"You will need to make alternative banking arrangements, as we are not prepared to open another account for you," the letter continues.
Mohammed Ahmad, who runs Ummah, says it is a dream customer for a bank and always in credit.
He asked HSBC in a meeting why the accounts were closing, but says the bank's representative gave them no answer.
Mr Ahmad says that they "have always tried to work within a legal framework and accommodate banks, if, for example, there was an issue with sanctions".
Mr Ahmad says he thinks HSBC has made its decision because of its work in Gaza, where he says Ummah provides "ambulances, food aid, medical aid, and grants."
"We make sure we go out of the way to work with organisations that are non-partisan. What we do now is we do a check on Thomson Reuters and make sure that there is no link whatsoever with blacklisted organisations. We don't want to damage our relief efforts. We have tried our best to be non-partisan as much as possible."
A government official the BBC spoke to said they did not believe this was the result of government action but reflected a decision the bank had taken itself based on its own risk analysis.
In December 2012, HSBC had to pay US authorities $1.9bn (£1.2bn) in a settlement over money laundering, the largest paid in such a case. It was alleged to have helped launder money belonging to drug cartels and states under US sanctions.
In August last year, it was reported that HSBC asked more than 40 embassies, consulates and High Commissions in the UK to close their accounts. At the time, the bank said "HSBC has been applying a rolling programme of "five filter" assessments to all its businesses since May 2011, and our services for embassies are no exception."
The Charities Commission has confirmed that it is not investigating any of the organisations involved and says that if the charities don't have a relationship with a bank it could harm public trust in their work.
http://www.bbc.co.uk/news/business-28553921



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