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Economics & Policy

Lebanon officially corrupt and lawless

by Executive Editors January 13, 2013
written by Executive Editors

Lebanon won a rather inglorious ranking of 128 out of 176 countries in Transparency International’s 2012 Corruption Perception Index (CPI). The data collected from independent institutions specializing in governance and business climate analysis reflects the perceived degree of corruption in the public sector. In comparison to its regional neighbors, Lebanon was 14th out of 20 Arab countries, and with regards to its economic strata placed 35th among 41 upper-middle-income countries. The poor CPI ranking came on the back of another bad show in The World Justice Project’s Rule of Law Index 2012, in which Lebanon came 44th out of 97 countries. The gauge measures the implementation of the rule of law by aggregating 48 sub-factors into eight factors; limited government powers, open government, absence of corruption, regulatory enforcement, order and security, fundamental rights, civil justice and criminal justice. Perhaps the most disconcerting result was Lebanon’s ranking of 85th place in the regulatory enforcement factor, which measures the extent of fair and effective enforcement of regulations.

Remittances flat-line

Expatriate remittances to Lebanon amounted to 18 percent of gross domestic product in 2012 according to World Bank estimates. That is the ninth highest such ratio in the world behind Tajikstan, Liberia, Kyrgyz Republic, Lesotho, Moldova, Nepal, Samoa and Haiti. The nominal value of the estimated remittances for the year totaled $7.8 billion, which amounted to a marginal increase of only 0.4 percent on 2011. In comparison, remittances inflows to Arab countries are projected to have increased 8.3 percent (Egypt is the only Arab country to receive more in expatriate remittances than Lebanon). The amounts sent home from the Lebanese diaspora have been roughly flat since 2009 compared to an annual growth rate of 13.4 percent during the 2005 to 2008 period. Looking forward to 2013, the World Bank forecasts the flow of remittances to the Middle East and North Africa region to increase 5.5 percent to $50 billion, constituting the slowest growth rate among all developing regions.

Income disparity growing globally

The gap between the top and bottom earners within the global workforce is widening according to the International Labor Organization’s 2012/2013 Global Wage Report. Wage earners may also be disheartened to read that the gap between wage growth and labor productivity growth is expanding and the labor income share (as opposed to capital income) is declining. Real average wage growth has remained far below pre-financial crisis levels globally, going into the red in developed economies, although it has remained significant in emerging economies. The impact of the economic crisis has varied considerably between regions, with wages having suffered a double dip in developed economies whereas they continued to rise in Latin America and the Caribbean, and even more so in Asia. In the Middle East real average wages appear to have declined since 2008. The study found that the economic crisis has instigated widespread changes in working practices, such as shorter working weeks, work sharing and frozen or reduced hourly rates.

Inflation over 10% in October

The  Consumer Price Index (CPI) increased 11.1 percent in October 2012 from October 2011, according to the most recent statistics from The Central Administration of Statistics. The increase is mainly attributed to a 44 percent adjustment of the cost of housing in July 2012, which had remained unchanged in the CPI for the previous three years. Other sectors recorded significant price increases over the past year, such as education (14.5 percent), alcoholic beverages and tobacco (9 percent), water, electricity, gas and other fuels (7.7 percent), recreation and entertainment (7.1 percent) and food & non-alcoholic beverages (6.3 percent).

Oil gets gassed

More than 330 people from 17 countries took part in the Lebanon International Oil and Gas Summit in early December. Lebanon’s fledgling hydrocarbons industry has come back into the spotlight after the long-awaited appointment of the board for the Petroleum Administration in November. A political deadlock had delayed the assignment of the six-member board, which effectively stalled development in the sector. The government can now proceed to invite companies to tender bids on exploration blocks. A ministry representative told delegates they could expect the first licensing round early in the new year. Specialists from both the government and the private sector gave speeches on a range of topics from tax regimes to international gas market dynamics. Lebanon has extensive 2D and 3D seismic surveys that indicate a high chance that there are offshore hydrocarbons to be tapped and the recent discoveries of major fields in Israeli and Cypriot waters also increase Lebanon’s prospects for recoverable finds. If Lebanon proceeds on a standard course it is unlikely that it will be producing commercial hydrocarbons in less than six to eight years. Royal Dutch Shell, Cairn Energy and Cove Energy are among firms expressing interest in bidding for a license.

The C.D.R.’s epoch of building

The Council for Development and Reconstruction (CDR) sealed contracts for a total value of $10.7 billion from 1992 to 2011, and $7.4 billion worth of the projects have been completed while $3.3 billion of them are still to be implemented. The CDR was created in 1977 and is engaged in all phases of project implementation on most public facilities on behalf of the government. The solid waste sector attracted $1.6 billion of signed contracts during the covered period, followed by the electricity sector with $1.4 billion, education with $1.1 billion, potable water with $832.6 million, post and telecommunications with $789.5 million, sanitary water systems with $604 million and public health with $313.1 million. The lion’s share of the realized financing over this period was external, which amounted to $9.4 billion; $6.6 billion in soft loans and $2.8 billion in grants. The biggest sources of financing for CDR projects were the Arab Fund for Economic and Social Development (14 percent), the Facility for Euro-Mediterranean Investment and Partnership (11 percent) and the Kuwait Fund for Arab Economic Development and the Kuwaiti government (11 percent each).

Strikes in absence of wage hike

Teachers and public sector employees continued to stage strikes and street protests into late December as the government stalled on referring a public sector wage pay scale to the Parliament. In September the cabinet agreed on the wage hike without first determining how it would cover the anticipated $1.5 billion extra burden on the treasury [see page 54]. The cabinet has considered a number of different tax schemes but has been met with fierce criticism from the banking and private sector on the presumption that the new scale would push up inflation and the tax hikes would hobble an already embattled economy. The proposed pay scale would see category one employees (such as general directors of public departments) receive an increase of LL2.9 million ($1,933) a month; category two employees will get a LL1.7 million ($1,133) hike; category three employees will get a LL940,000 ($626) increase; and the state’s lowest-ranking clerks will receive a LL210,000 ($140) hike. Public highschool teachers, the main advocates of the new scale, will receive around LL1 million ($667) in raises, while public elementary school teachers will receive LL789,000 ($526). 

Industrial exports down, planning up

Industrial exports, which are the most reliable indicator of the vitality of the sector, totaled $2.2 billion in the first nine months of 2012, amounting to a 11.3 percent decrease on the same period in 2011. Machinery and mechanical appliances accounted for $364.4 million, or 16.6 percent of total industrial exports in the first nine months of last year, followed by pearls and precious or semi-precious stones with $351.6 million (16 percent), and base metals and articles of base metals with $326.1 million (14.8 percent). While the sector’s exports have fallen on 2011’s performance, the value of industrial imports increased over the same period by 25 percent, totaling $220.2 million. However, the value of imports of industrial equipment and machinery, which can be seen as an indicator of planning for industrial activity, reached $18.8 million in September, an increase of 12.3 percent year on year.

E.U. aid for economic, social development

The European Commission has extended 32 million euros worth of grants to the Lebanese government to fund three programs focusing on improving the quality of the public sector, vocational training and education and the promotion of social justice. The Annual Action Program 2012 Part II for Lebanon builds on past commitments, with the new projects complementing existing European Union-supported initiatives. Some 12 million euros will go toward programs intended to stimulate sustainable job growth, the same amount again has been earmarked for projects promoting social justice through democracy, human rights and social dialogue, while 8 million will be spent on education reform programs targeting community and labor orientated schemes.

Lebanese privacy partially maintained

The cabinet refused a request by the Internal  Security Forces (ISF) to access all telecoms data for the entire population, but it approved access to data from “suspicious telephone numbers”. It is reported that as part of the compromise the intelligence bureau will be handed text message data over two stages. At the first stage they will provide the movement of the text messages in Beirut and Mount Lebanon, but not the content of the texts, whereas in the second stage the ministry will provide the content of text messages between “suspicious” numbers. The ISF had also requested the passwords for Lebanese email accounts and other social media sites, but this request was both rejected by Minister of Telecommunications Nicolas Sehnaoui and likely unfeasible anyway, given that it would require the cooperation of Facebook, Google and other multinational Internet companies. The dispute over the level of access to be accorded to intelligence services has pitted the rival March 14 and March 8 coalitions against each other since the assassination of intelligence chief Brigadier General Wissam al-Hassan. The opposition March 14 has broadly supported the ISF requests while leading members of the ruling March 8 have resisted the calls; Sehnaoui has rallied against them, saying they are a violation of privacy and constitutional rights. Minister of Interior Marwan Charbel has been at the heart of the negotiations between the ISF and the Ministry of Telecommunications.

January 13, 2013 0 comments
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Banking & Finance

Economic stimulus en route

by Executive Editors January 13, 2013
written by Executive Editors

Banque du Liban (BDL), Lebanon’s central bank, is preparing an economic stimulus to help the struggling Lebanese economy, which is under pressure from the ongoing unrest in Syria, BDL Governor Riad Salameh said. Incentives for loans directed at the housing, productive and renewable energy sectors were on the agenda with further details to be announced at the end of the year. Salameh says he expects gross domestic product growth in Lebanon to stand at 2 percent, above Finance Minister Mohammad Safadi’s forecast of a 1 to 1.5 percent growth. The governor expects inflation to reach 6 percent in 2012 and deposit growth to stand at 7 percent, mainly driven by domestic deposits. For the first nine months of 2012, total deposits in the banking sector grew by 5.4 percent.

First Iraqi IPO since Saddam

The first initial public offering of an Iraqi company on the country’s stock exchange since the reign of Saddam Hussein is due to take place at the start of 2013. Asiacell, with 9.5 million users, will start trading on the Iraqi Stock Exchange (ISX) by listing one quarter of its shares between January 3 and February 2 with the share price to be determined by December 25, news agencies reported on December 2, after the ISX placed a brief announcement on its website. Qatar Telecommunications owns 60 percent of Asiacell, after deploying $1.47 billion to double its stake in 2012, and the listing is expected to raise about $1 billion. Asiacell is one of the three Iraqi telecom operators — the other two being Zain Iraq, a unit of Kuwait’s Mobile Telecommunications Company, and France Telecom-affiliate Korek — required to list 25 percent of their stock as part of their 2007 awarding of operator licenses, but all three companies missed the initial deadline of August 2011. Once achieved, the listing of the telecom companies is expected to double the market capitalization of the stock exchange that stood at approximately $4 billion in December 2012.

$1.5 billion Eurobond swap

All Eurobonds maturing in 2013, totaling $1.52 billion, were exchanged for new and longer-dated bonds by the Lebanese Republic. An $875 million bond with a coupon of 9.125 percent, maturing in March 2013, and a $650 million bond with a coupon of 8.25 percent, maturing in June 2013, were both renewed through the issuance of three Eurobonds: a $525 million Eurobond maturing in November 2018 with a 5.15 percent coupon, a $500 million Eurobond maturing in January 2023 with a coupon of 6 percent — the lowest rate ever on a Lebanese Eurobond for a maturity exceeding 10 years — and finally a $500 million Eurobond maturing in November 2027 with a coupon of 6.75 percent. The Eurobond exchange was led by Byblos Bank, Blom Bank and Credit Suisse.

Shipping giant restructures debt

The world’s third-largest container shipping group, CMA CGM, headed by Lebanese Jacques Saade, reached a deal to restructure debt worth $4.6 billion. According to Michel Sirat, chief financial officer of the French shipping company, an agreement was reached with 72 banks whereby a $400 million tranche of debt maturing February 2013 was extended by two years. The group’s covenants were also amended, tying them to the company’s gearing instead of its profitability. CMA CGM has also agreed to get rid of some of its assets, mainly the sale and leaseback of 100 vessels among the 394 it operates, as well as the sale of a 49 percent stake in Terminal Link, its terminal operating business with operations worldwide. The Saade family owns 70 percent of the container shipping giant. Earlier in October, the family gave up 10 percent of the group for a $250 million injection, shedding 6 percent to Fonds Stratégique d’Investissement, a French state-owned fund, and 4 percent to Turkish-based Yildirim Group.

H.S.B.C and Standard Chartered pay heavy fines to settle U.S. investigation

UK-based banking behemoth HSBC has agreed to pay a record $1.92 billion to United States authorities to settle a money-laundering case that accuses the bank of transferring billions of dollars on behalf of nations under sanction, such as Iran, and on behalf of Mexican drug cartels. The $1.92 billion penalty includes $1.25 billion in forfeiture — a record fee — and $655 million in civil penalties. “We have said we are profoundly sorry for them, and we do so again,” said Stuart Gulliver, the bank’s CEO. HSBC’s settlement follows on the heels of that of another UK-based bank, Standard Chartered, which agreed to pay $327 million to settle accusations of money laundering on behalf of four countries subject to US economic sanctions, including Iran and Sudan. This charge came on top of the $340 million fine Standard Chartered paid in August 2012 to New York’s state banking regulator over Iranian sanctions.

A 0.6% growth forecast

Lebanon’s economy is forecast to grow just 0.6 percent in 2012, down from 1.8 percent in 2011 and 7 percent in 2010, due to clashes and political disputes linked to Syria’s ongoing unrest, according to the Institute of International Finance (IIF), the world’s global association of financial institutions. “If Lebanese politicians were to reach a consensus on effective government, improve domestic security and implement fiscal and structural reforms, then the 2013 GDP forecast could reach 3.5 percent at best,” said Garbis Iradian, deputy director of the IIF’s Africa and Middle East department. The IIF also expects Syria’s economy to shrink by 20 percent in 2012 and to see its foreign reserves depleted by the end of 2013. Since the start of the strife in March 2011, inflation has risen by 40 percent and the Syrian pound’s official exchange rate against the dollar is down 51 percent, according to the IIF.

N.C.B. GOES IRISH

Saudi Arabia’s largest asset manager, NCB Capital, is launching a range of Islamic mutual funds domiciled in Ireland in an effort to widen its investor base and appeal to emerging market investors. The firm has established two funds, which invest in Saudi Arabian and GCC equities and they have plans to launch other funds, including one that will invest in sukuk, or Islamic bonds. NCB Capital, part of unlisted National Commercial Bank, which already manages $12.1 billion in assets, is targeting each fund to have between $50 million to $100 million in assets. The funds, which have institutional and retail share classes, will be distributed to investors in Turkey, Malaysia and Indonesia as well as European and Gulf regions and will be registered as UCITS (Undertakings for Collective Investment in Transferable Securities), a European regulatory framework that allows funds to be sold in any European Union country after approval from a single member state. UCITS can also be sold outside of Europe, with NCB Capital planning to market the funds internationally in conjunction with global asset manager Amundi, with whom it entered into a strategic alliance in March.

January 13, 2013 0 comments
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Economics & Policy

Battling cyber crime in the Gulf

by Nicole Walter January 11, 2013
written by Nicole Walter

Moving into cyberspace has done wonders for increasing the speed and ease of many work and communication processes. Yet it has done nothing for changing basic patterns of human behavior — wealth and success attract online crime like mead attracts flies; and the Middle East’s high profile as a rare hub for economic boom in a world full of gloom speaks to both qualities: wealth and success.

“The Gulf represents a prime target for individuals, organizations and nations conducting cyber espionage. Now is an opportune time for [governments of the Gulf Cooperation Council] and the companies operating in the region to take pre-emptive measures against a new and growing threat,” warns Roger Cressey, a senior vice president at consultants Booz Allen Hamilton (BAH) and a noted expert on counterterrorism and cyber security.

The region’s vibrant economic environment means that there are many company formations and expansion projects along with the rapidly growing embrace of social media by companies and individuals. This translates into huge demand for information and communications technology (ICT) in the GCC. According to a five-year research by Markaz, the Kuwaiti Financial Centre, the GCC will spend on average $64 billion every year on ICT products and services until 2015.

Such a rate of growth and overall ICT investment create a double “downstream market opportunity” for the cyber sphere’s powers of light and darkness, where on the one hand security experts can sell their solutions but on the other hand cyber criminals are drawn to assault governmental and corporate networks with increasing attempts to steal their secrets.

“Across the Gulf, the cyber espionage threat poses serious long-term consequences to company profitability and competitiveness, and national security,” Cressey says. “The region’s strong energy and financial sectors are particularly vulnerable, as witnessed by recent cyber-attacks in the GCC.”
Regional companies’ desirability and vulnerability to cyber criminals has been exposed in high-profile hacking attacks on oil and gas majors Aramco in Saudi Arabia and RasGas in Qatar that caused many millions of dollars in damages this summer. These incidents, coupled with other cases, such as the hijacking at Al-Jazeera news network and the alleged attempt to take over the Saudi and United Arab Emirates stock exchanges, are a wake-up call, industry experts say.

Cyber-security

Investments in security software and appliances have been on the rise globally, with one assessment, by research firm RNCOS, putting the increase at 25 percent compounded annual growth rate (CAGR) for the period of 2010 to 2013. Research by consulting firm Frost & Sullivan (F&S) sees the CAGR of spending in the network security market at 18.31 percent for 2012-2018. For the GCC-wide expenditure in this sector, the implication is an increase from currently around $340 million to nearly $1 billion in 2018.

Cyber attacks, and damage incurred from these intrusions to companies in the Middle East and North Africa (MENA), are not always reported. “The high profile attacks have made people here more aware of the risk to your image and costs if customer [information] is lost, for example. However, a lot of attacks are not being reported for the same reason,” F&S Director — ICT Practice MENA Andy Baul-Lewis tells Executive.

Organized crime, motivated by the prospect of illicit financial gain, is a main source of cyber attacks, according to F&S. The stakes to be gained from stealing valuable data or from harming companies are so high that threats to Arab companies can include foreign governments, unscrupulous competitors or disgruntled employees and even ideologically driven enemies within.

The use of malware has become a more pertinent issue, as today’s hackers share their knowledge in web forums. According to F&S, criminals go for corporate secrets as much as private data, mainly banking related, when planning an attack. F&S projects the use of malware will grow tenfold over the next three years to just under 2.5 million incidents. This would lead to the cost of detection, containment and recovery of advanced persistent threats increasing 20 percent annually to $9.2 billion in 2014.

“Until you’ve been attacked you don’t know what damage it causes,” says Baul-Lewis. “The truth is that even when an attempted attack is thwarted, criminals persevere until they achieve their goal. Many organizations are investing in the front-line of protection but there isn’t enough awareness at the back-end; more employee education is required.

BAH’s Cressey points out that publicized cyber attacks originating in the Middle East and targeting Western organizations can create a false impression that governments and organizations in the Middle East are not a target.

“This could not be further from the truth. Key targets include the information-technology, oil and gas, defense and pharmaceutical industries. Virtually every organization inside and outside government with valuable intellectual property is now a likely target for cyber-attack,” he explains.

 

On top of that, the price of even normal growth can entail punishing risks to companies in a region where public and private sectors are racing ahead in adopting new ICT at uneven speeds. “Technological infrastructure doesn’t always keep pace with change. Internet outages and power supply, along with security threats, can be a problem in the GCC,” says Pierre Havenga, managing director for Emerson Network Power Systems MENA.

According to research cited by him, an outage can cost an organization an average of about $5,000 per minute, or $300,000 in just an hour. “For a business under pressure in this region, that could be the difference between survival and extinction,” he adds. Network Power is one of five business divisions of United States-based engineering and technology company Emerson, which is investing $33 million into an ongoing expansion of its regional hub in Dubai’s Jebel Ali Free Zone, or JAFZA. The corporation sees the Middle East as a growth driver and Network Power just signed an agreement with a regional distributor to boost its reach to small and medium-sized businesses in MENA.

But within the menagerie of their many ICT trials, regional companies have to contend more than ever with security challenges that range from confrontation with the never-before-seen to the dangers of complacency. Fortinet, a US-based network security company that serves Arab markets from a Dubai office, warns that certification according the International Standards Organization can lull companies into false perceptions of doing enough.

“Awareness has grown but a significant amount of customers in all economic sectors think they are covered when they are not because security is a continuous cycle. They don’t do the necessary check ups throughout the year and when the ISO renewal comes around they go into panic mode when [the check ups] should be a way of life,” says Bashar Bashaireh, regional director, Middle East, at Fortinet.

Head in the cloud

In dealing with their ICT needs, the cloud has been presented to the corporate world, and increasingly to small and medium businesses, as the best-ever advancement for improving their ICT performance and lowering costs. Optimists and companies providing services that are grouped under cloud computing in the Middle East have also argued that the cloud is a new rampart available in the defense against cyber criminals, because clients who concentrate data in the highly specialized hands of the cloud operators benefit from their constant security efforts.

However, the cloud has already seen its big security breaches and new cloud applications with wider integration options spell new risks. Increased security concerns loom for companies who follow the trend of empowering staff to “bring your own device” (BYOD). Under the BYOD approach, employees use their smartphones and tablets in work environments, but the larger number of devices and diverse usages constitute a risk that was highlighted by 14 percent of users in the Middle East admitting that their knowledge of online threats is only “in general terms”.

A BYOD policy could help a company optimize investment in hardware, but with a trade-off in higher technical cost to control security of devices and data, says Nicolai Solling, director of technology services at help AG, an IT security consultancy that is active in the GCC since 2004.

“I meet too many organizations that think that a simple investment in hardware and software will be the silver bullet for keeping them secure,” he says. “Of course the right technology is important, but you also need to have the governance for control of your users; without it you will never be able to create a secure information environment no matter how much money you spend.”

According to F&S research, corporations’ focus in terms of securing themselves is mostly on buying IT technologies (36 percent) to cover their backs, followed by compliance (27 percent) and business continuity (21 percent); only 6 percent of their attention is given to creating more awareness about security.

But it is not only corporations that need to be more alert. Cressey holds vendors equally responsible for weaknesses in the protective umbrellas. “Effective cyber strength is critical to the growth and sustainable prosperity of the UAE and the GCC countries. Most GCC-based organizations do take the cyber security threat seriously, but spending on protection can often be driven by what the vendor promises, not what the organization really needs,” he says.

January 11, 2013 0 comments
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The Buzz

Morning briefing: 11 Jan 2013

by Executive Staff January 11, 2013
written by Executive Staff

Economy

In a push to assert its authority over Iraq's fractious oil sector, the federal Oil Ministry has stated its intention to seize crude, natural gas and fuel shipped outside the country without its approval and to prosecute offending companies.

More from Iraq Oil Report

 

Egypt’s central bank said Thursday that a $2 billion loan from Qatar arrived in December, suggesting that the money had already been eaten up defending the currency before the foreign reserves crisis became public late last year.

More from Reuters

 

Lebanon's Telecommunications Minister Nicolas Sehnaoui has announced that the Cabinet had finally agreed to release the $1.2 billion of cash to the municipalities to help them carry out crucial development projects.

More from The Daily Star

 

Saudi Arabia has cut oil production substantially, moving to fend off a growing overhang in world oil supply and defend prices well above $100 a barrel.

More from Reuters

 

Companies

French President Francois Hollande will lead a charm offensive in the UAE next week to try and help oil major Total win a $10bn deal to operate the strategically important Bab sour gas field.

More from Reuters

 

French-based hotelier Accor has signed a management contract to develop the first Novotel hotel in Jeddah, Saudi Arabia.

More from Arabian Business

 

Etihad Cargo, the freight division of Etihad Airways, will inaugurate a new direct weekly operation from Abu Dhabi to the southern Chinese city of Guangzhou from January 17.

More from Arabian Business

January 11, 2013 0 comments
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Comment

The Lebanese empire

by Executive Staff January 11, 2013
written by Executive Staff

Earlier this week the Lebanese were struck by the news that only 6,733 members of the country’s estimated 15 million diaspora had registered to vote in the general elections, scheduled to take place this summer.

For many this was a genuine surprise — long had we assumed that those Lebanese outside the country felt close ties to their homeland but were simply waiting for the opportunity to rebuild the country. The thought that the invitation to vote would be snubbed barely crossed our minds.

The government reacted by blaming everyone but themselves, with Foreign Minister Adnan Mansour criticizing the “sluggishness” of the expats. But perhaps the problem is more fundamental – a growing disconnect between Lebanon and its diaspora.

As the years have passed and the country has bounced from crisis to crisis, maybe the country’s sons and daughters have become frustrated with Lebanon. Perhaps they visited the country and no longer felt at home, aliens in the land of their ancestors. Maybe, just maybe, they have given up on Lebanon.

But that does not mean that we should give up on them. The people of Lebanon long ago outgrew the small stretch of land that bears its name. Those in Sao Paulo, Toronto or Boston are no less Lebanese than those in Saida, Tripoli or Beirut.

As we go through 2013, Executive will seek out Lebanon’s merchants all over the world. Whether it be farmers in Latin America, diamond traders in West Africa or financial experts in London and New York – the Lebanese have left lasting impressions across the world, and we intend to show them to you.

Such a process has two aims. Firstly we want to inspire Lebanon’s youth by showing them the successes of their people – how hard work, ingenuity and a sense of adventure have always been the Lebanese toolkit.

Secondly, and more optimistically, we want to start the process of building a Global Lebanon – a community based on the recognition of worldwide success. Then perhaps they will want to vote.

 

January 11, 2013 0 comments
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Economics & Policy

Rebuilding Nokia

by Nicole Walter January 10, 2013
written by Nicole Walter

Handset fortunes of global phone maker Nokia have been tested severely in the smartphone era, and the third quarter in 2012 meant another drop; a report by information technology research firm Gartner put Nokia’s global sales of mobiles at 82.3 million in Q3, down 21.9 percent year-on-year, but still better than expected. In a new push to promote its latest high-end handset, the Lumia, Nokia has chosen the Middle East as one of the markets where it wants to fight its way back into the hearts of smartphone lovers. Executive sat down with Tom Farrell, vice-president of Nokia Corporation Middle East, to find out how. 

 

 

According to IDC Mobile Phone Tracker, Nokia has dropped out of the top five mobile phone manufacturers in the third quarter. Gartner said Nokia dropped to seventh place among global smartphone producers quarter-on-quarter and your overall market share for mobiles slumped to 19.2 percent, down from 23.9 percent in the third quarter of 2011. Can you comment?

 

I can’t talk about market share right now. We’re in transition and have been very open about that. What I can say is that Nokia is 147 years old and this is not the first time Nokia has started a new journey. We’ve had about six different journeys. The current one started in February 2011, the day we announced to the world that Nokia decided to team up with Microsoft to regain market share and ultimately leadership in the smartphone market.

 

How do you intend to catch up with your competition in the region?  

 

In our industry a lot of people would say, “okay it’s over — Android, iPhone or whatever is the way the smartphone is going to be.” But we beg to differ. Innovation in smartphones is just starting and we have not forgotten how to make beautiful products people want to have on the table and touch. 

 

We’ve launched the [new Lumia Smartphone] in seven markets globally: France, Germany, Russia, the United States, [United Kingdom] and in the Middle East here in the [United Arab Emirates] and Saudi Arabia. We are one of the few markets where the new Lumia with Windows 8 has launched, which is a measure of the massive priority this market has for us in terms of smartphones. 

 

Why did you choose Microsoft as partner and provider of the operating platform?

 

We think Microsoft is the best opportunity for differentiation. It’s a partnership in which both parties have a lot at stake. There are 1.3 billion Windows machines installed today and over time they will migrate to Windows 8; it is the biggest launch for Microsoft since 1995. Even a modest number of that upgrading is a huge opportunity for applications. 

 

Anyone can build on a Windows platform and the more [applications that] are based on the Windows eco-system, the better. There is a profound shift that has happened in our industry. Instead of it being product against product or company versus company, the glorious word now is ‘eco-system’, which means operating system, software, hardware etc. Arguably, the Android eco-system has had a lot of growth, Apple has its own eco-system and in our mind the industry wants a third — Nokia-Microsoft. 

 

You’ve launched the Lumia 920 here in the UAE and ran out of stock. How many phones were on sale?

 

We don’t share numbers at this point. We are ramping up the factory lines for new supply in December.

 

So why in your opinion would I want to have one or switch from the competition?

 

Because it is the world’s most innovative smartphone — a pretty bold statement to make for three reasons: Firstly, we have the best camera with super mega pixels and multiple frame shooting, allowing for someone to be deleted from a photo for example, optical image stabilization, no blur in the video and the biggest aperture for low light in the market. The fact is that 50 percent of all photos are taken when people are out and about at night. 

 

Secondly, it is the only device with a convenient wireless charging pad and third, we have the best mapping technology in the world because we acquired Navtech about six years ago. We launched an application on this platform called Cityland, which functions as an electronic ‘travel’ guide and pedestrian and car navigator.

 

Why is mapping so important? 

 

There is a lot of talk in the industry about maps right now. Google created a whole topic around searching. The ‘what’ was the first huge innovation that drew people to the web 10 years ago. Then Facebook created the ‘who’ social networking and it is our belief that the ‘where’, [that is] the location, will drive the next wave of innovation on the web. We pack them with more and more sensors and data [for] where you are going; the opportunity to create amazing applications around this are just fantastic. 

 

What is your marketing strategy for Lumia in the Middle East?

 

It is a global brand with consistency but sprinkles of localization. We tailored our message to multi-cultural feedback: camera, Cityland and no scratching. The phone is great value on par with the starting price for high-end smartphones in the market. 

 

People here love to personalize and we believe bringing color back, [when] most smartphones these days are black, will do well here. And of course we have full support for Arabic with 5,000 free applications. Social connectivity is what defines this region. 

 

The Lumia was doing well for Nokia but sales have not overwhelmed the competition. How do you aim to maintain your market share and stem further slides or even turn the growth back on?

 

The great thing about this industry is the pace, the things we already have in the lab that don’t exist, its non-stop innovation. People will copy but by that time we already have something else. Planning up to five years in advance to develop the leading edge of innovation is normal; location, social media and sensors are the next big thing in innovation. Pack the phone with sensors and create a platform in the cloud, pull it all together and they will come. 

 

Are you betting on research and development? Bernstein Research data from last year says you spent $3.9 billion on R&D.

 

Yes, it is in the billions. Patents are a great indicator of investment [and] in the first half of this year we have filed more patents as a company than since 2007. That gives you an idea of Nokia’s innovation machine. Over the last 20 years we developed and today manage an [Intellectual Property Rights] portfolio of 10,000 patent families.   

 

One patent family is an individual invention, for which we may file patents in more than one country. Our portfolio holds around 30,000 granted patents and patent applications, meaning that on average, we file three patent applications for    each invention.

 

What are your growth expectations for the Middle East and Africa, and why focus on a region where many countries are regarded internationally as developing or poorly developed?

 

We’ve been here for 20 years. The investment in the Middle East region as one of seven markets for the most sophisticated smartphone tells you something, whilst Africa is our last frontier. Our affordable Asha brand — everyone deserves a smartphone — leads there.  

 

We have the miscorrelation in our heads that income equals your technological mobility. Frankly, some of the most savvy consumers and services are in Africa, as there are few fixed lines. Kenya’s mobile payment system is more advanced than [any such system in] Europe. 

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Chemical overreaction

by Benjamin Redd January 10, 2013
written by Benjamin Redd

Last month, a key American legislator again sounded the alarm over Syria’s chemical weapons. These so-called ‘weapons of mass destruction’ “could be used at a moment’s notice,” House Intelligence Committee Chair Mike Rogers told Reuters. Rogers’ claim came hot on the heels of escalating warnings over the weapons by international leaders, including United States President Barack Obama and United Nations Secretary-General Ban Ki-moon.

The flurry of admonitions has accompanied American media reports, citing anonymous US government officials, that the Syrian government recently prepared part of its chemical agent stockpile for use on the battlefield. If true, the development would be worrying, however the practical challenges and limitations of actually using chemical weapons are many and complex.

See also: The quick guide to chemical weapons

Interactive map of Weapons of Mass Destruction in the Middle East

Alarmist pronouncements such as Rogers’ often ignore the steep technical barriers to the use of chemical weapons, their limited effectiveness in urban combat and the high political costs of such a move. Because of these hurdles, experts Executive spoke to said the likelihood of the Syrian government using chemical weapons remains small, with the same holding true for the rebels should they acquire chemical weapons capacities.

Syria’s chemical romance

Until this point in the Syrian uprising, Washington and its allies have appeared to prefer that President Bashar al-Assad’s forces continue to secure the nation’s chemical weapons, despite losing control over large parts of the country. However, with dozens of suspected chemical weapons-related facilities scattered across Syria, losing territory will inevitably mean losing control of chemical weapons facilities.

This was the case in December when Jubhat Al Nusra, a jihadist rebel group ideologically similar to Al Qaeda, took over a chlorine factory near Aleppo. Chlorine is one of the oldest but least effective chemical warfare agents; during World War I, chlorine and other early agents (including mustard gas) caused just 4 percent of casualties, only 3 percent of which resulted in death.  Because of chlorine’s quick dispersal, and thus limited usefulness on the battlefield, Jubhat Al Nusra’s move in itself may not be overly significant; however, it raised concerns due to the factory’s proximity to a suspected major chemical weapons production and storage facility at Safira.

The Safira site is allegedly a key part of Syria’s chemical warfare infrastructure. Due to Syrian government opacity, the extent of its chemical weapons program has been impossible for outsiders to confirm. Experts Executive spoke to said that while there are generally believed to be four large production sites in the country — at Safira and near Homs, Hama and Latakia — there could be dozens of storage facilities, which are more difficult to identify.

These facilities are thought to produce and store mustard, sarin and possibly VX agents — all more effective, and in the case of sarin and VX, deadly, than chlorine.  According to experts, the Syrian government is thought to possess hundreds of tons of chemical agents — enough to pose a militarily viable threat — that can be delivered by aerial bombs, artillery and surface-to-surface missiles like SCUDs.

Syria’s alleged stockpile stands out by current global standards: it is one of just eight nations that are not party to the Chemical Weapons Convention (CWC), which mandates the complete destruction of chemical agent stockpiles that have no peaceful uses, and places severe restrictions on so-called ‘precursor’ chemicals — substances that can be used to manufacture chemical agents. Damascus maintains a strategic ambiguity over whether the program exists or not.

Observers often link the rationale for Syria’s chemical weapons program to Israel’s nuclear arsenal. As analyst and former Syrian diplomat Zuhair Diab argued in 1997, “Syria’s primary motivation in pursuing chemical weapons is to acquire a mass-destruction capability that could serve as a means of retaliation in the event of Israeli use of nuclear weapons against Syria.” (Israel has signed, but not ratified the CWC.) But while chemical weapons have been described as “the poor man’s atomic bomb,” experts note that the two are hardly comparable. Greg Thielmann, a proliferation expert at the Washington-based Arms Control Association (ACA), told Executive chemical weaponry “is not, strictly speaking, a weapon of mass destruction. It is a pariah weapon, of possible tactical but not strategic significance.”

Thielmann’s comments stem from the difficulties of effectively using chemical weapons. Sarin, an agent that works by disrupting the function of neurons, quickly disperses into the atmosphere, so an effective attack must involve bombarding the same area with overwhelming quantities of the chemical. The most deadly known agent, VX, is lethal from even a drop on the skin; however, providing you do not touch it there is little danger from inhalation as it evaporates too slowly. Mustard, on the other hand, is rarely lethal, but can cause painful blistering of the skin several hours after exposure, latently incapacitating a victim.

Further complicating matters, not all chemical agents are created equal. The US produced sarin in the 1950s that reportedly stayed more than 90 percent pure for decades. During the Iran-Iraq war, however, Iraqi sarin was of such low quality that by the time international weapons inspectors came to document its destruction in the 1990s, it had degraded to less than 10 percent purity, markedly reducing its effectiveness.

Noting reports that Syria is dependent on other nations for its technology, Jean Pascal Zanders, a proliferation and chemical weapons expert at the European Union Institute for Security Studies (EUISS), says that the government’s chemical agent stocks “do not come close to anything the US or Soviet Union had.” On the other hand, Leonard Spector, deputy director of the James Martin Center for Nonproliferation Studies (CNS), says, “[Assad] is 20 years later, and he’s had a lot of time to perfect these weapons and a lot of help. We don’t know, but it’s quite possible his product is superior” to Iraq’s.

Adding even more complexity to agent efficacy is how it is stored: in bulk or in filled munitions. If the Syrian government has stockpiled filled chemical munitions, “one would expect a very advanced program because some of those agents, notably sarin, are highly unstable and will deteriorate very fast,” according to Zanders. Thus, last month’s report by NBC News in the US, again citing anonymous US government officials, that the Syrian regime had recently filled munitions with agent from bulk storage might suggest a less-advanced chemical program.

But bulk storage presents its own problems. “If the agent is in bulk storage,” says Zanders, “then it takes a complex and extensive process to fill the munitions.” Such a process would be time consuming — even a fully automated system takes at least two minutes to fill each separate munition — and requires skilled technicians, whether ideal safety precautions were taken or not. Hardly death at a “moment’s notice.”

Given these complexities and the nature of the current conflict, the regime’s use of chemical weapons is “highly unlikely,” argues Zanders. This is especially true for mustard and VX, which both evaporate slowly and thus are better suited to denying an enemy the use of terrain or buildings — not an effective tactic in street-to-street fighting. Similarly, the need for sarin to be employed in high concentrations would require saturating an area with a sustained barrage of agent — again, a less effective fighting tactic within a city.

Of course, such an attack could be effective against a rebel-held area where government forces are not involved in close combat. However, in this case political calculations may also come into play. These would certainly include the unspecified “consequences” Obama threatened last month.

“The United States and other nations have issued strong statements to deter the Assad regime from using chemical weapons. It is hard to think of how the Assad regime could use chemical weapons where the benefits outweigh the costs,” says Gregory Koblentz, a proliferation and terrorism expert at the Council on Foreign Relations (CFR). Indeed, the use of chemical weapons has become understood as the “red line” that would prompt western military intervention in the Syrian conflict. One possible situation for chemical weapons use, however, is if the regime is on the verge of collapse, says Koblentz. In such a scenario, “these rational cost-benefit calculations may not apply.” But then again, “the issue becomes whether [Assad’s] order can be transmitted to chemical weapons-armed units in the field and if those orders would be obeyed.”

As the New York Times reported this week, the US has allegedly sent private warnings to some Syrian commanders, threatening to hold them personally responsible for any use of chemical weapons. On the flip side, the US “seem[s] to be signaling that the guards of these facilities will be protected from retribution if they continue to successfully maintain vigilance over the sites,” says the ACA’s Thielmann.

A further possibility that has been trumpeted in the West is that the Syrian government could give a portion of its chemical stocks to its Lebanese ally Hezbollah, but experts question this, citing the inherent difficulties of dealing with chemical weapons. In addition, notes Zanders, Lebanon is party to the CWC. “Any country that is party to the convention would have to take actions to secure chemical weapons present on its territory.”

For its part, Hezbollah has unequivocally ruled out the use of chemical weapons. “We do not possess chemical weapons and we will not use chemical weapons,” Secretary-General Sayed Hasan Nasrallah told Al Mayadeen TV in September.

 

Under new ownership

However the government is no longer the only game in town when it comes to Syrian chemical weapons. As the rebels expand the areas under their control, chemical weapons facilities — like the suspected one at Safira — will likely fall into their hands. (Although it is unclear whether these facilities will have any chemical agent: last month, the Russian foreign minister claimed Syria had moved its stocks to more secure locations.)

To mitigate the danger of accidents and pilfering, CNN has reported that western governments have been training Free Syrian Army (FSA) fighters to secure and handle them. Reports even surfaced that the FSA had created a specialized chemical weapons handling unit.

There are many reasons for the FSA not to want to use chemical weapons. Not only would rebels face the steep technical difficulties handling and employing these arms, but also severe political consequences. “Why the rebels would take any risk that would put them into a bad light and perhaps eliminate the assistance they are getting — it just doesn’t seem like a realistic prospect,” says the CNS’s Spector.

However, the armed opposition consists of a wide range of various groups and ideologies. While the CFR’s Koblentz considers rebel use of chemical weapons to be among the least likely outcomes in the conflict, he makes an exception for Jubhat Al Nusra, the jihadi group that took control of the chlorine factory near Safira last month.

See also: The quick guide to chemical weapons

nteractive map of Weapons of Mass Destruction in the Middle East

Since Jubhat Al Nusra first became widely known in January 2012, it has set about a strikingly different strategy from most other rebels. While the FSA leadership has sought to attract international support and tone down internal sectarianism, Jubhat Al Nusra has scorned Western accommodation, and spoken in overtly sectarian language. According to an October report from the International Crisis Group, for the group “overthrowing Assad represent[s] only half the battle; success would come only once the entire regime was replaced with an Islamic state following Salafi principles.”

Jubhat Al Nusra’s allegedly strong links to al-Qaeda in Iraq (AQI) — with many of its fighters reportedly veterans of the Iraq War — were used as justification for the US to recently designate the group a terrorist organization. If these links to AQI prove true, Jubhat Al Nusra might not have the same reticence to use chemical weapons as other rebel groups. In 2007, AQI attempted to use chlorine in attacks in Baghdad. The effort was unsuccessful, owing largely to chlorine’s properties as a relatively mild and quickly dispersing agent — especially when heated by an explosion.

Even if they may have the intent, however, Jubhat Al Nusra or any similar group would face the same technical obstacles to using chemical weapons as the government. Here, experts draw a clear distinction between possessing chemical weapons and being able to use them. If rebels took over a stockpile, “it would be quite a leap to conclude that they would be able to use such weapons against Syrian forces or for terrorist purposes,” says the EUISS’s Zanders, noting the added difficulty and required expertise if the agent is in bulk storage. “The people involved [in filling munitions] would need to be highly trained.”

Rogue agents

So while concerns about the use of chemical weapons have perhaps been overplayed, there are still large concerns over losing track of chemical stocks if the government falls. This issue may be magnified depending on the number of chemical sites, how the government is currently securing its chemical stockpiles, and the accuracy of foreign and rebel intelligence. As the CFR’s Koblentz explains, “the collapse of Iraqi security following the 2003 US invasion, which led to the looting of large stocks of radioactive material, conventional weapons, and explosives from unguarded government sites, is a worrisome precedent for this scenario.”

And as Moammar Qaddafi’s rule collapsed in Libya last year, an untold number of weapons flowed into underground stockpiles and black markets. In all, some 20,000 specialized weapons capable of shooting down commercial jets went missing, among other conventional weapons, according to the Stimson Center — an American think tank that specializes in security and transnational threats.

Speaking to Executive, Stimson’s Rachel Stohl observed, “as we learned in Iraq and Libya, it is very clear that when a country is in crisis or transition and loses control over a stockpile of weapons — be they conventional or chemical — there’s an inherent danger to the population. Loose weapons in a destabilized region leads to problems for the country involved and for its neighbors.”

Experts are cautious about predicting the future of the conflict, but hint that the chemical warfare question may not end, but become even more complicated if the rebels are successful in toppling the government. In that case, rebels could become locked in a power struggle between rival factions. Depending on who gains chemical expertise, who controls chemical weapons and how they are secured, the risk of proliferation may continue.

But the threat of their use must be examined against the hard truths of chemical warfare, including the tens of millions of dollars needed for even a small program, the difficulty of exports, the limited effectiveness of most chemical agents and international hostility towards their use.

These barriers greatly diminish the likelihood of chemical weapons use by any party in Syria. However, in general, “holding any weapon inherently means power because you can threaten to use it,” says Stohl. It is this ability to threaten that most likely motivates anyone seeking or possessing chemical weapons. But, as the case of chemical warfare illustrates, threatening can be quite far removed from acting.

January 10, 2013 1 comment
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Morning briefing: 10 Jan 2013

by Executive Staff January 10, 2013
written by Executive Staff

Economics

The United Arab Emirates (UAE) produced around 2.6 million barrels per day (bpd) of crude in December, its oil minister Mohammed al-Hamli has said.

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Bahraini works minister Essam Khalaf has said the government will spend more than $2.5bn on infrastructure projects in the next 10 years.

More from AME Info

 

Egypt's bourse hit a fresh 10-week high on Wednesday after a $2.5 billion financial lifeline from Qatar spurred Cairo investors to buy equities, as most Gulf markets continued their rise on the back of strong fourth-quarter earnings expectations.

More from Reuters

 

Libya's oil ministry has reached agreement with the country's army chief and defence and interior ministries to secure exporting terminals, Oil Minister Abdelbari Al-Arusi said, after several protests have caused shipping disruptions.

More from Reuters

 

Companies

Middle East Airlines has signed a final agreement with leading aircraft manufacturer Airbus to acquire 10 planes for $1 billion in a move aimed at boosting the fleet of the national carrier.

More from The Daily Star

 

The Islamic unit of Emirates NBD, Dubai's largest listed bank, intends to begin a AED1.5bn ($408m) rights issue this month.

More from Arabian Business

 

Etihad Airways has announced that it set a new record for the number of passengers carried across its worldwide network in a single day on January 5.

More from Arabian Business

 

Qatar Airways’ chief executive played down safety concerns over Boeing’s new 787 Dreamliner aircraft on Wednesday, dismissing a series of recent incidents involving the plane as “teething problems” and saying he had no plans to cancel orders.

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Hot air in Doha

by Peter Speetjens January 9, 2013
written by Peter Speetjens

Lebanon is presented with the most serious challenges it has faced in the past decade. The economy is struggling, the internal security situation is deteriorating and the country’s neighbors pose real threats. In these circumstances the very fact that the country continues to operate can be seen as a success. And amidst everything, there are opportunities — not just in newfound offshore oil and gas but also within the country’s ingenious population.

As we head into 2013, what can be done to help the country unite, to overcome its challenges and ultimately to grow? Over the course of this week, eight influential figures will address seven important topics, each suggesting one proposal to help the country move forward. In this first article, former Labor Minister Charbel Nahas argues that the country’s economy needs fundamental reform.

There is always something ironic about holding an international conference on climate change, yet certainly when such a summit takes place in Qatar. In late November, some 16,000 delegates, experts and journalists from all corners of the world traveled by plane to the acclimatized hotels and meeting rooms of Doha to discuss how to reduce global greenhouse gas emissions. 

The irony becomes bitter when the summit — dubbed COP18 for being the 18th annual meeting of the ‘Conference of the Parties’ under the auspices of the United Nations Framework Convention on Climate Change — is headed by one of the world’s top former oil men in a country that is regarded as the world’s most polluting per capita, and when an extra, 11th day of talks is needed to grind out an agreement that is worth virtually nothing. 

Now, of course, the hosts did their utmost to give the event a positive spin. The summit’s Executive Secretary Christiana Figueres defined it as “historic”. All that is needed now, according to her, is “a change in political will”. Likewise, the summit’s chairman, Abdullah bin Hamad al-Attiyah, remained upbeat. What he dubbed the “Doha Climate Gateway” marked “the beginning of discussions” on a binding agreement on reducing greenhouse gas emissions.  The beginning? The world has been debating and discussing ever since the first World Climate Conference in 1979 — and with very little to show for it. Perhaps Attiyah — the former president of the Organization of Petroleum Exporting Countries and “Petroleum Executive of the Year 2007” according to Energy Intelligence — has been breathing too much of his own emissions. If anything, the accord inked by nearly 200 nations on December 8 is a “getaway” from any serious commitment to reduce greenhouse gas emissions any time soon. 

The only thing 11 days of talks brought the world was an extension of the Kyoto Protocol (KP), while — hold on to your chair for this one — member states agreed to try to agree on a new agreement by 2015. See here the reason why Andy Atkins, executive director of Friends of the Earth, defined the accord as an “empty deal”.

One should know that the KP ended in 2012, and that the 2010 Durban agreement had already called for a new deal to be agreed by 2015 and to take effect by 2020. What’s more, the KP did not exactly produce heaven on earth. Signed in 1997, it only obliged the European Union and Australia to reduce their greenhouse gas emissions to some 5 percent below their 1990 levels by 2012. The good news is that the some 37 countries involved are to meet the target. Collectively, they are likely to cut their emissions by some 16 percent. The bad news is that they only produce some 15 percent of global emissions, which since 1990 have risen by an estimated 50 percent. Most of the increase comes on the account of China and, to a lesser extent, India. In Doha, they joined the ranks of the United States, Canada and Russia as the loudest opponents to any kind of climate deal. 

Now, Qatar can of course not be blamed for the disappointing outcome. It had hoped that the biggest conference ever to take place on its soil would write history, put Doha on the map of the world and give Qatar some much needed green credentials; as the summit ended in failure, the opposite may happen. 

After all, most people are increasingly aware that global warming is a real threat and that something needs to be done. However, on the back of the continuous summit failures from Bali to Rio, less and less people take climate talks seriously. The same is true for the media. Few journalists bothered to cover the Doha summit in depth. “We expected nothing and got nothing,” said the editor of the Dutch newspaper I write for, defending her choice not to send anyone. 

The latest Doha failure will only fuel this general sense of fatigue and negativism. The cynics will claim that organizing a summit on climate change in a country with the world’s third biggest gas reserves, as well as the world’s highest carbon and ecological footprint per capita, says it all about the level of political will and ability needed to fundamentally change the world economic order.  Worse, there is very little hope that the stalemate will have changed by 2015, or 2020. Hence, the word on the street: “Do you want to reduce the amount of hot air entering the atmosphere? Stop organizing international climate change summits!” 

Peter Speetjens is the Beirut-based correspondent for Netherland’s Trouw newspaper

January 9, 2013 0 comments
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Morning briefing: 9 Jan 2013

by Executive Staff January 9, 2013
written by Executive Staff

Economics

A strike by Electricite du Liban’s workers has further exacerbated the electricity crisis in the country as repairs on aging power plants came to a halt Tuesday.

More from The Daily Star

 

Qatar has said it would lend Egypt's government an additional $2bn and grant it an extra $500m outright, extending a lifeline as the government battles to contain a currency crisis.

More from Al Jazeera

 

Lebanon's Tourism Ministry has launched Tuesday a 50-day campaign of 50 percent discounts in a bid to lure tourists back to the country.

More from The Daily Star

 

Plans for several thousand government employees to move to Abu Dhabi from other emirates will place additional strain on already overloaded private schools, education authorities have cautioned.

More from The National

 

Global Financial Integrity, a Washington-based non-profit, research and advocacy organization, estimated the cumulative illicit financial flows from Lebanon at $21 billion between 2001 and 2010.

More from The Daily Star

 

Companies

More than 80 percent of UAE finance executives will be recruiting in both the first quarter and first half of 2013, according to specialist financial recruiter Robert Half UAE.

More from Arabian Business

 

Italian designer Roberto Cavalli has opened a cafe-lounge along the waterfront in downtown Beirut, with the designer personally attending the launch along with Haifa Wehbe and Nancy Ajram.

More from Arabian Business

 

BMW Group has announced the delivery of more than 20,000 vehicles in the Middle East in 2012 – the most successful year in its history in terms of regional sales and a 14 percent increase on 2011 figures.

More from AME Info

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Since its first edition emerged on the newsstands in 1999, Executive Magazine has been dedicated to providing its readers with the most up-to-date local and regional business news. Executive is a monthly business magazine that offers readers in-depth analyses on the Lebanese world of commerce, covering all the major sectors – from banking, finance, and insurance to technology, tourism, hospitality, media, and retail.

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