Opinion – Daily News Egypt https://dnsvvvvvdnsx17539dnscf.wsjme.com Egypt’s Only Daily Independent Newspaper In English Mon, 25 Nov 2019 06:00:58 +0000 en-US hourly 1 https://wordpress.org/?v=4.9.1 Black Americans castigate Capitalism https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/17/black-americans-castigate-capitalism/ Sun, 17 Nov 2019 16:42:37 +0000 https://wwww.dailynewssegypt.com/?p=714193 Capitalism only feels safe when it is ruled by whoever owns capital, whereas democracy, on the contrary, is the rule of the majorities who have neither capital nor reasons to identify with the needs of capitalism

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The marriage between  liberal democracy as  a political system and capitalism as an economic system is the telos which all states worldwide are moving towards all the time. We’ve long been told that  capitalism and  democracy are the twin ideological pillars capable of bringing unprecedented prosperity and freedom to the world. However, the relation between democracy and capitalism has always been a tense one, of even total contradiction. Obviously  democracy is egalitarian, while capitalism is inegalitairian, at least in terms of outcomes.

Capitalism only feels safe when it is ruled by whoever owns capital, whereas democracy, on the contrary, is the rule of the majorities who have neither capital nor reasons to identify with the needs of capitalism. Moreover, it is evident that capitalism has failed as a social system. Today, the majority of people view capitalism as an inhumane, anti-democratic, unsustainable, and deeply exploitative system that must be dismantled. They blame capitalism for the  crises in housing, healthcare,  and falling wages. Less than two decades into the twenty- first century, it is evident that capitalism is held responsible for variety of major societal ills. Apparently, the world has become mired in economic stagnation, financialisation, and the most extreme inequality in human history, accompanied by mass unemployment and underemployment, precariousness, poverty, hunger, wasted output,  and lives.

In the meantime, there is a large gap between the aspirations of the broad masses of people and the reality of the world’s economies. Their aspirations are for better and more secure jobs, while the private sector needs less restriction on its hiring and firing.

They want a system that is fairer but their notions of fairness are at odds with those that prevail in capitalist societies. In fact, there have always been critics of capitalism, but there is now a sense that the displeasure is spreading. Capitalism has become markedly less popular among the younger generations. The modern idea of socialism, which has roots in Greek philosopher Plato but emerged as a popular political idea in the early 19th century among German radicals like Karl Marx and Friedrich Engels, has become increasingly popular among young people in the past several years, especially  following Democratic Socialist Bernie Sanders’s underdog run for president, and the authoritarian creep  of the ultra-capitalist, anti- socialist Trump regime.          

      American playwright Arthur Miller’s Death of Salesman, currently on the Piccadilly Theatre in  London, is one of the early plays in which Capitalism is criticised and rejected, and an alternative, socialist community and system of values are pointed to. The play tells the tragedy of Willy Loman, the  protagonist of the play, who served more than thirty six years for a company named Wagner Firm. The firm  was a smaller, unknown one, but due to the hard work of Willy Loman, going state to state representing his firm, brought the firm a great reputation and lifted it to its present position.  Now, Willy is sixty four years old  and cannot drive much.  He plans  to work at the corporate office in New York, but the owner of the company denies him his right on the pretext that  he is no longer productive. The play hit the American stage in 1949 and won the New York Drama Critics award and the Pulitzer Prize, the highest literary award in the world, sening  Arthur Miller to the status of the greats of American dramatists. However, the play is more relevant now than at its first staging in 1949. When it premiered, victory from the second world war was still fresh, and people had no worries about their jobs being sucked away by a rising superpower, chewed up by changing technology, or wiped out by economic collapse. Remarkably, Miller proved to be prophetic in his dark view of the future facing the common man under the capitalist system. A lot of things that Miller was concerned about have gotten a lot worse today.

Seventy  years ago,  he forecasted today’s tragedy, in which workers are treated as something  disposable, and loyalty  between  employers and employees have become a thing of the past. He smartly linked two major entities in human life: economy and society, introducing modern capitalism as being corrupt and anti- social. He introduced capitalism as a failure system that is unable to spread happiness among individuals in society, uncovering the illusions of this ideology.                                                                                                                                           

           Nonetheless, what is new about the present revival of this timeless play is approaching the capitalist system in connection with the Afro-Americans. This current performance of  “Death of  a Salesman”, starring Wendell Pierce, is noteworthy because the four members of the Loman family are all played by black actors, while the other key roles are played by white performers. In point of fact, the African American relationship to capitalism has been central to the system since its earliest stages of growth. From its earliest establishment in America, capitalism has been guilty of enriching its private fortunes out of the most savage robbery of the   people, and their most ruthless exploitation of the labour power both during the era of chattel slavery, and throughout the span of the century since emancipation. Doubtlessly, the casting gives a new dimension to the 1949 play, accusing capitalism of promoting racism, classism, and oppression.

Marwa El-Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for Contemporary and Experimental Theatre

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Bridging the skills gap in Africa https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/17/bridging-the-skills-gap-in-africa/ Sun, 17 Nov 2019 16:30:45 +0000 https://wwww.dailynewssegypt.com/?p=714194 In Africa, unemployment remains a core issue, affecting even those with tertiary qualifications in some parts of the continent. Many of our educational institutions are keen to teach students the skills required to operate in the digital economy

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Empowering Africa’s youth to leapfrog towards a better future

The Fourth Industrial Revolution is underway, and it is shaping up some of the most significant opportunities and challenges of our lifetime. The surging high-tech sharing economy is transforming jobs, policies, industries, and entire economies as we witness our digital and physical worlds continue to merge.

At the core of this digital transformation is the ongoing adoption of new emerging technologies. It is imperative for technology companies not only to bring these technologies safely to the world, but also equip societies and the workforce with the essential skills for this disruptive era.

In Africa, unemployment remains a core issue, affecting even those with tertiary qualifications in some parts of the continent. Many of our educational institutions are keen to teach students the skills required to operate in the digital economy. This is where the private sector must step in. After all, helping Africa’s 1.2 billion people prepare for the fourth Industrial Revolution is good for society and Africa’s youth.

CEOs rank investment in people as the number one way to accelerate performance

In the next three years, as many as 120 million workers in the world’s 12 largest economies may need to be retrained or reskilled as a result of Artificial Intelligence (AI) and intelligent automation. This is according to the latest IBM Institute for Business Value (IBV) study titled The Enterprise Guide to Closing the Skills Gap. According to the research, the time it takes to close a skills gap through training has increased by more than 10 times in just four years.

In 2014, it took three days on average to close a capability gap through training in the enterprise, while in 2018, it took 36 days. In addition, only 41% of CEOs surveyed say that they have the people, skills, and resources required to execute their business strategies.

In 2016, executives ranked technical core capabilities for Science, Technology, Engineering, and Mathematics (STEM), basic computer and software/application skills as the top two most critical skills for employees. Looking at that statement now, it’s obvious “basic computer skills” just aren’t going to cut it any longer.  A recent survey of business leaders by the World Economic Forum on Africa says around 42% of the core job skills required today are set to change substantially by 2022.

We know the challenge, but what are we going to do about it?

It is imperative to have a holistic approach to close the digital skills gap. We need to focus on reskilling our workforce through development that is personalised, multi-modal, and built on data. Educational journeys that are tailored to experience level, skills, and career aspirations will be the key to success. To fuel those journeys, private companies should take a cue from the emerging knowledge economy – they should take advantage of an ecosystem of partners to expand their access to content and leverage innovative learning technologies for their existing and future markets.

The IBV study recommends that those journeys be delivered through experiential learning. The course material must come to life within organisations through new ways of working, agile teams, and hands-on practice served up in the flow of work. But it’s not just employees who should benefit. Maintaining a dynamic and diverse workforce involves upskilling potential employees too – women, youth, recent graduates, and school leavers.

When we share our knowledge freely, we create both corporate and public good.

Around half of Africans are under the age of 25. This presents an enormous opportunity for tech companies to equip young Africans with the digital skills necessary and prepare them for today’s job market. Empowering people means growing economies, as well as a healthier and more productive population.

IBM’s online learning platform, Digital-Nation Africa is one example of how big corporates can help close the skills gap across the continent. The cloud-based online self-paced learning and innovation platform is designed to empower Africa’s youth to develop their technology and innovation skills and address three major gaps: Skills, innovation, and jobs.

That said, no one company can tackle upskilling African youth on its own. Partnerships are the fuel that will drive the continent’s development forward. The IBM Skills Academy, part of the IBM’s university programme, is an example of collaboration with more than 340 universities across Middle East and Africa to focus on skills and careers that are in high demand in today’s market.

IBM has already used its learning platform to power public-sector efforts in upskilling the workforce. IBM has also collaborated with both Egypt and Morocco’s Pathways in Technology (P-TECH), to empower African youth with new skills for today’s sought-after jobs. That includes “new collar” jobs, where having the right skills matters more than having a specific degree.

Africa’s greatest resource is its youth and the continent’s entrepreneurial spirit – born of necessity – is now ready to leapfrog towards a better future.

Takreem El Tohamy is the General Manager of IBM Middle East and Africa

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Swiss play solves Trump’s riddle https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/08/swiss-play-solves-trumps-riddle/ Fri, 08 Nov 2019 15:30:44 +0000 https://wwww.dailynewssegypt.com/?p=713370 This was always the way with the most controversial president in the American history, who represents a political riddle for both Democrats and Republicans. Ironically, till the present moment, the Democrats have little understanding of how he won the elections of 2016

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Somehow it always comes differently than you expect when dealing with Donald Trump. A few days ago, the US House of Representatives voted to formalise its impeachment inquiry against President Trump after his infamous call with the Ukrainian President Volodymyr Zelensky, the popular former television comedian who took office in May. During that phone call, Trump perhaps improperly used his position to try to coerce Zelensky into investigating Trump’s 2020 political opponent, former vice president Joe Biden, by withholding military aid to the Eastern European country. This vote is a historic event as it is only the third time in modern history for the House of Representatives to take a vote on an impeachment inquiry into a sitting president. However, this vote revealed that there is an obvious divide in opinion, although there were 232 to 196 in favour of the inquiry. Surprisingly, almost half of the House of Representatives did not support the impeachment inquiry against Trump. In fact, the “support” category does not mean that the member supports impeachment; it only means that he or she has indicated support for a formal investigation into the president’s actions. Thus, 43% views that there is no need to investigate the president despite all the evidence and all his erratic, unpredictable, and irrational actions, recognising the whole issue as a “political witch hunt”.

This was always the way with the most controversial president in the American history, who represents a political riddle for both Democrats and Republicans. Ironically, till the present moment, the Democrats have little understanding of how he won the elections of 2016. He insulted major voting groups like Latinos, when most Republicans were trying to gain their support. He wanted to deport 11 million immigrants. He wanted to stop all Muslims from entering the country.  He is not religious and scorns religious practices, yet the Evangelicals love him. He gave rise to various manifestations of racism more suited to a colonial society than a modern democratic state. He was even against his own party. Despite being the Republican Party’s nominee, Trump campaigned as a political outsider on a platform of eclectic policy ideas. Although the Republicans hate eminent domain, which refers to the power of the government to take private property and convert it into public use, and love the Trans-Pacific Partnership (the TPP trade deal); he declared the opposite views on both. In fact, many Republicans don’t see him as a Republican and are trying to stop him, but don’t know how.

Apparently, Trump’s key to success lays in his Trumponomics, or his economic policies,  which were outlined in his campaign pledges, including trade protectionism, individual and corporate tax reform, and the repeal of the Patient Protection and Affordable Care Act.  According to a very recent economic report issued in September 2019 by the White House, the Americans of all backgrounds are experiencing economic success in the Trump economy. The report also emphasises that the strong Trump economy has created an environment where job opportunities are plenty and Americans are lifted out of poverty. These statements are also emphasised by both local and international media. According to the Associated Press, the poverty rate fell to 11.8%, the lowest annual level since 2001. Similarly, Washington Examiner asserts that the unemployment rate among black Americans hit a record low in August, narrowing the gap in unemployment rates between white and black Americans. Trump himself was also keen to brag about his economic achievements on his Twitter account on 9 September 2018. He tweeted, “Trump has set Economic Growth on fire. During his time in office, the economy has achieved feats most experts thought impossible. GDP is growing at a +3% rate. The unemployment rate is near a 50-year-low. Also, the stock market is up almost 50% since election!” Hence, it became clear that why he has lots of supporters despite of the fact that Trump has led the “most unethical presidency” in the US history, according to a scathing report by Citizens for Responsibility and Ethics in Washington (CREW). Obviously, in the age of Trump, people decided to sacrifice the principals of democracy and the Rule of law for the immediate financial gains, overlooking the destructive effects of their choice on the long run.

It is exactly this utilitarian view point that started to dominate our choices and our way of thinking in general that makes of Dürrenmatt’s most famous Swiss comedy The Visit (1956), the best choice or the next theatrical season. The play tells the story of Claire Zachanassian, an impenetrably terrifying woman, who returns to her hometown as the world’s richest woman. The locals hope her arrival signals a change in their fortunes, but they soon realise that prosperity will only come at a terrible price. The village has fallen on hard times, and the townspeople hope that Claire will provide them with much-needed funds. However, she offers the villagers the sum of one billion Swiss francs under the condition that someone kills the owner of the village shop. Of course, the comedy discusses big questions of justice and morality, but as we watch, it mainly makes us laugh, judge, and draw parallels to the current political scene. The main theme of the tragicomedy is also the utilitarianism, which is an ethical theory that distinguishes right from wrong with respect to outcomes. The school of thought believes that the most ethical choice is one which benefits the majority. In fact, thinking about difficult moral questions with the help of literature is more playful, and dissolves all limitations. In February 2020, Pulitzer-winning playwright Tony Kushner will debut on the National Theatre, London, a new adaptation of Friedrich Dürrenmatt’s The Visit, offering a post-war American context for his new version of the blackly comic masterpiece.

Marwa El-Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for Contemporary and Experimental Theatre

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China’s booming economy will propel world economy with strong momentum https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/08/chinas-booming-economy-will-propel-world-economy-with-strong-momentum/ Fri, 08 Nov 2019 15:00:52 +0000 https://wwww.dailynewssegypt.com/?p=713368 China remains the world’s biggest trader in goods, achieving a 2.8% increase in the first three quarters and more than RMB 22.91trn in total value

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In the latest biannual World Economic Outlook, the International Monetary Fund (IMF) downgraded its economic growth forecast and expects global growth to be 3% in 2019 – the slowest pace since the 2008 financial crisis. Nevertheless, China’s economy in the first three quarters maintained a strong momentum and has enjoyed an increase GDP of 6.2%. The IMF expected China’s contribution to world economic growth to be more than 39% this year. Against the gloomy backdrop of a weak world economy, China’s economy has shown remarkable resilience and will become the main force in stabilising world economic development. In the first three quarters, we have witnessed many highlights in China’s economic performance.

First, China’s main economic indicators were kept within an appropriate range. In the first three quarters, China’s GDP has topped RMB 69.78trn with a growth rate of 6.2%, which is well within the anticipated range. China remains the world’s biggest trader in goods, achieving a 2.8% increase in the first three quarters and more than RMB 22.91trn in total value. Against the worldwide shrinking international capital flow, China has utilised RMB 683.21bn foreign investment in the first three quarters with a remarkable increase of 6.5%, and remains the most attractive developing economy for foreign investors. 

Second, the shift from high-speed to high-quality growth has greatly improved the efficiency of economic growth in China. The figures in the first three quarters showed an optimising economic structure: consumption continued to play an increasingly important role in driving economic growth. With an increase of 8.2% in overall consumption expenditure, domestic demand has contributed 80.3% to China’s economic growth. Industry structure is upgrading with service sector’s contribution to GDP approached 54%. Growth in high-tech industries and equipment manufacturing reached 8.7% and outstripped other industries. New growth engines represented by new industries, products and business models keep emerging, with an average of more than 19,900 new enterprises established every day. New growth drivers such as modern supply chain, e-commerce, online finance, are now profoundly changing our mode of production and way of life, creating new strengths for China’s development.

Third, China’s economic success has greatly improved people’s livelihood. A further 10.97m new urban jobs were added, and the surveyed unemployment rate remained stable at a comparatively low level of around 5.2%. Per capita, disposable personal income grew by 6.1% in real terms, which kept up with the pace of economic growth. The share of consumption of clean energy such as natural gas, hydropower, nuclear power, and wind power in total energy consumption in the first three quarters was 1.2 percentage points higher than that of the same period last year. The energy consumption per unit GDP went down by 2.7% year-over-year.

China is pursuing development at home while embracing the world. In the future, we have reason to believe that China’s economy will remain a strong engine for world economic growth. We sincerely invite global partners to share the benefit of China’s economic success through the platform Belt and Road Initiative (BRI) by improving infrastructure, boosting trade and investment, improving people’s livelihood, and creating jobs. By the end of 2018, China had invested $28.9bn in countries along the BRI routes, paid $2bn in taxes to host countries, and created 244,000 jobs locally. In the first three quarters of 2019, the total trade volume between China and countries along the BRI routes has increased by 9.5%.

BRI cooperation between China and Egypt has been the flagship among African countries. Egypt is among the earliest in supporting BRI and is actively bridging Egypt Vision 2030 to BRI in strategies, plans, and mechanisms. Through joint efforts, major infrastructure projects like State Grid Upgrading, CBD in New Capital, 10th of Ramadan Railway were completed, and important platforms for investment cooperation such as TEDA-Suez Economic and Trade Cooperation Zone were established. Up until now, China’s investment to Egypt has reached $7bn and created more than 30,000 jobs locally. The harvest has shown that BRI has no political strings attached or economic risks caused. The sole goal of BRI is to release the development potential of China’s partners in pursuing common interest. It is a road of peace and cooperation, a road of openness and inclusiveness, a road of mutual learning, and a road of mutual benefit.

The Chinese people believe that to establish ourselves, we should help others establish themselves since the world is one community. Amid surging protectionism, unilateralism, and populism, the world economy is faced with many uncertainties. But the more difficulties we encounter, the more important it is that we should shore up confidence, take the courage to shoulder our responsibilities and join hands to overcome the difficulties. China will embrace the world with open arms and join hands with global partners to build an open world economy. In celebrating the 70th anniversary of the founding of the People’s Republic of China, President Xi Jinping said, “we will hold high the banner of peace, development, cooperation and mutual benefit, and keep firmly to the path of peaceful development. We will stay committed to opening-up and work with people in all countries to build a community with a shared future for mankind, and to create a world bathed in peace and development.” Guided by Xi Jinping’s Thought on Socialism with Chinese Characteristics for a New Era, China will forge ahead in its own development and endeavours to make more contributions to the world.

Xiao Jun Zheng is the deputy chief of mission at the Chinese embassy to Egypt

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Democracy, Economy, and “Brexit” https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/08/democracy-economy-and-brexit/ Fri, 08 Nov 2019 14:30:02 +0000 https://wwww.dailynewssegypt.com/?p=713360 What has quite apparently thus far so considerably delayed the implementation of the 23 June 2016 referendum’s results, are of course its economic implications over which no consensus seems to be reachable

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If it is ever done at all to begin with, it will at least still take some time until Britain has finally concluded its bidding farewell to the EU. January 2020 as a final date for the Brits to leave, which we have on the table right now, is far from certain, especially given the upcoming snap elections on 12 December, to which the kingdom’s parliamentary opposition has finally agreed only about a week or so ago. They triggered cynical remarks like “Nobody wants Jeremy Corbyn as PM, not even Jeremy Corbyn wants Jeremy Corbyn”. The Labours initial fierce resistance to come out of the “Brexit” deadlock by calling for new elections was short only of a Samuel Beckett play.

What has quite apparently thus far so considerably delayed the implementation of the 23 June 2016 referendum’s results, are of course its economic implications over which no consensus seems to be reachable. Some openly proclaim the outbreak of the British economy’s doomsday the moment the world’s most significant island leaves the continental block. Others do actually believe that it will do much better and flourish without too close of a cooperation with its European partners, even if that should mean a transitional period of suffering for the ordinary citizen as well as for smaller companies. The big guys already have safely deposited their funds offshore or are at least prepared to shift their investments to somewhere else. Let aside for the moment the general sense of cultural and national isolationism it would bring about. Someone here must have learned a lot from what the White House is doing recently.

Contrary to most economists, I personally tend to believe that every single additional day of delaying “Brexit” will eventually have a devastating effect on Britain and its economy. This is not necessarily because of such economy’s sovereign nature or for it being unusually strong on its own (actually it is neither), but because undermining the credibility and dignity of Britain’s longstanding democratic tradition will not at all promote investments or help redefining its role on the global economic stage.

Coming to think about it, it’s quite simple really: Almost a year and a half ago, the British people have given a vote through a democratic instrument asking their government to leave the EU. Full stop. That vote has to be respected and Britain just will have to go, with or without a deal. Nothing on earth can be naiver than arguing now that in the meanwhile the British voter has changed his mind or that at the time of the referendum, he wasn’t fully aware of his decision’s further reaching implications. First of all, because we don’t really know that – even better: We don’t know it at all – and secondly because by saying so, one automatically insinuates that at least half of the British population is not emancipated enough to take an educated decision. Nothing much encouraging also for companies and individuals who are looking for sensible ways to use their funds in the right place. That might not shy away investments in dictatorships where citizens are not involved in the decision. But in a democracy where the people decide, saying that they lack proper awareness is not the smartest thing to do if you want to attract fresh capital or retain as much as possible from the one you have.

Of course, scratching the “Brexit” plans now can also only be the result of a possible new referendum, hence a democratic process as well as some might claim. Now that sort of statement is not simply naive anymore, but rather “plain stupid”. Why? Because in a healthy democracy you cannot simply go on voting again and again over one and the same issue until you get the result your political and societal intelligentsia deems as suitable. That sort of elitist thinking does not at all work in the favour of democracy, nor in the best interest of the economy. Britons need to seriously ask themselves what kind of message they are conveying to the world here. Is it not that they are posing serious questions regarding the stability of their own legislature? A decision taken by the people has to be implemented no matter what or the international business community will think twice and thrice before booking a ticket to Heathrow or Gatwick. How secure, many will ask, is my investment or business in a country where even the most serious kind of democratically taken decision can be revoked with relative ease because it is not to the liking of “X”, “Y” or “Z”? Real stability sounds different, doesn’t it? Yes, I know, democracy can be a real pain in the neck, but well, that’s just how it is.

Realising such a simple truth shouldn’t have needed a guy who uses the same hairdresser like Donald Trump and currently lives in 10 Downing Street without actually having been elected. That in itself is harmful enough. Topping it now by instigating an essentially entirely undemocratic process – that at the end of day will only play into the hands of other top European politicians like Merkel and Macron – is suicidal.

Mohamed Shirin El Hawary is a Political Economist

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How can Egypt benefit from the roll-out of the 5G network? https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/02/how-can-egypt-benefit-from-the-roll-out-of-the-5g-network/ Sat, 02 Nov 2019 07:30:27 +0000 https://wwww.dailynewssegypt.com/?p=712725 Relative to gaining regional influence, the country’s prioritized instrument has and will continue to be the tourism sector as tourist’s arrivals increased by 30% in 2019

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Egyptian consumers and businesses have long anticipated the arrival of the 5G era in the country after the race of roll-out has created conversations around the world on its impact on various industries like healthcare, tourism, and much more. How will Egypt benefit from this specifically? It is expected to compose user experience through smart education, smart transportation to remote entertainment, and everything in between, for improved levels of performance, efficiency, and cost. It is additionally aimed to empower new user experiences and connect new industries utilizing automatic driving, holographic conferences, cloud VR.

Huawei, the global provider of ICT infrastructure and smart devices, has had a leading role in the 5G area worldwide. They issued a white paper indoor 5G scenario which provides richer services and further extends industry boundaries, proving that it can assist enterprises to improve production efficiency and build smart production systems, such as smart factories, smart mines, and smart hospitals.

Relative to gaining regional influence, the country’s prioritized instrument has and will continue to be the tourism sector as tourist’s arrivals increased by 30% in 2019. The technological advances in attracting tourists will be sufficiently improved through services that are technically empowered. Imagine visiting the great pyramids of Giza and understanding the rich history through listening to tourist guides on 5G phones, or virtual audio guides, and enhancing this experience further through sophisticated applications with augmented reality. This digitalized experience is set to change the setting for tourists globally, providing a different level of quality.

Huawei has further developed a full range of 5G solutions and continuously innovates to achieve large-scale 5G commercialization by transmitting 4k 360 degrees real-time footage to be transmitted to VR Glasses. Transmitting such heavy content would not be doable except with 5G technology. This technology can be used for surveillance and touristic purposes. This new technology was showcased during their participation in the World Radio Communication Conference (WRC) held in Sharm ElSheikh, Egypt from October 28th to November 22nd.

As Egypt continues its journey of digital transformation, revolutionizing healthcare and medical services is imperative for the country to continue competing against other emerging markets in the region. 5G wireless networks will revolutionize healthcare providing more effective and lower-cost medical services. Through wireless communications, smart medical data collection will be more efficient and timely. 5G will provide access to the cloud, enabling the robot to communicate with patients and medical staff. When a patient boards a 5G connected ambulance, the doctor can use the in-vehicle medical equipment to complete medical examination like a blood test, ECG test, or a B-mode scan. This will save more time for rescuing the wounded and increasing the rate of treatment success.

As the government continues to place consistent effort to develop infrastructure through smart cities, 5G intends to play an important role in this evolution. The enactment of the network through smart building property infrastructure is just as important as water, electricity, and gas services. It will become the core of smart city evolution, meaning more possibilities for creating a digitalized industry. 5G will, in turn, provide a reliable, predictable network, enabling industry-centred applications to keep up with differentiated and deterministic requirements for various sectors.

To sustain the continuity of 5G in emerging markets, it is important to consider environmental sustainability in the process. With this set into consideration, we created solutions via 5G networks coordinating energy conservation. The innovative PowerStar solution enables coordinated energy consumption on multiple bands for various radio access technologies, which reduces site energy consumption by 15% or above, promoting sustainable and green 5G development.

Vincent Sun is the CEO of Huawei Egypt

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Politics of Brexit negotiations in Ten Times Table https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/02/politics-of-brexit-negotiations-in-ten-times-table/ Sat, 02 Nov 2019 06:00:43 +0000 https://wwww.dailynewssegypt.com/?p=712722 Those advocating for staying in the EU, on the other hand, emphasized that the financial advantages of EU membership, such as free trade and inward investment, far outweighed the costs of the membership

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The Brexit negotiations present a puzzle for scholars of international bargaining. Talks on Britain’s withdrawal from the European Union (EU) may be the most complicated negotiation of all time as from the very beginning there were 180-degree opposite opinions on the same table. On the one hand, the brexiteers argued that leaving the EU would result in an immediate cost saving, as the country would no longer contribute to the EU budget, emphasising that the UK could compensate for any expected losses by establishing its own trade agreements. They also highlighted the principal of the national sovereignty and argued that Britain should “regain control” of its borders, because under EU law Britain could not prevent a citizen of another member state from coming to live in the UK. This policy resulted in a huge increase in immigration into Britain, particularly from eastern and southern Europe. Hence, most wanted a substantial cut in immigration because reducing the number of people coming to the country would mean less competition for jobs among those who remained and, potentially, higher wages. Most of them also emphasised the importance of leaving the EU for protecting the security of the state. Former work and pensions secretary, Iain Duncan Smith, said that Britain was leaving the “door open” to terrorist attacks by remaining in the EU, asserting that “this open border does not allow us to check and control people”

Those advocating for staying in the EU, on the other hand, emphasized that the financial advantages of EU membership, such as free trade and inward investment, far outweighed the costs of the membership. They also asserted that reducing immigration and limiting freedom of movement would dampen demand for goods and services, and it would also cause damaging skills shortages in the UK workforce. Even concerning the security issues, they argued quite the opposite, emphasizing that the EU was an increasingly important pillar of UK’s security, especially at a time of instability in the Middle East and in the face of Russian aggression.

Following 2016 referendum, in which 51.9% voted to leave, the UK government formally announced the country’s withdrawal in March 2017, starting a new and harsh phase of the negotiations, in which they began to discuss a withdrawal agreement. In fact, Both the UK government and the EU governing bodies clearly prefer to split with a deal and a more gradual separation process. To this aim, the two sides have spent nearly two years in the painstaking negotiation of the withdrawal agreement, which is now known as the  “Brexit deal”. Like in an actual divorce, the agreement sets the terms for splitting the assets, liabilities, and people shared across the two sides, leaving aside the numerous legal resolutions especially affecting commerce. However, on 5 January, Britain’s House of Commons rejected the Brexit deal by a stunning and unprecedented majority of 230. More than one third of Theresa May’s majority parliament members joined the opposition parties against the Brexit deal. Eventually, May’s Brexit defeats led to her political downfall, and she resigned her premiership in June. Presently, Boris Johnson, the bombastic outspoken champion of Brexit,  promised that he would deliver Brexit for the United Kingdom, “do or die,” by the current deadline of 31 October, asserting that he’ll achieve what May failed to do, muting the opposition by suspending the parliament , and opening the door for the sense of resentment and opposition to sweep away the forthcoming decision.

Obviously, Ten Times Table, written by multi-award-winning writer Alan Ayckbourn, currently on Newcastle Theatre Royal, tackles the Brexit dilemma with every detail in an insightful; hilarious way, revealing the politics of people sitting on a roundtable to negotiate. Although it’s over 40 years old as Ayckbourn premiered the play in 1977, but it’s strikingly topical in this difficult political time. The play revolves around a group of local members of the Pendon community who are brought together to organize a town pageant based on a lost piece of local history, the massacre of the Pendon Twelve. The committee comprises disparate characters with very different views. As the meetings progress, the group becomes ideologically divided with the left-wing side, led by a Marxist teacher, building it up as a political rally, and the right-wing side of the committee, formulating plans for a violent confrontation in response.  Finally, the pageant ends in a state of chaos due to their disputes.  In fact, the political wrangling and the chaotic climate of the play help in creating an incredible miniature model of the British parliament. 

In one of his interviews, Ayckborns says, “As we were rehearsing it, we were all turning to each other and saying, “My goodness me, it’s just like Brexit!” I think you can see how human nature doesn’t really change. Whether it’s on a committee or on an international scale, the weaknesses and faults of human beings still come through.”                                                                

Marwa El-Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for Contemporary and Experimental Theatre

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The Service sector of high value motivates the Egyptian economy https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/11/01/the-service-sector-of-high-value-motivates-the-egyptian-economy/ Fri, 01 Nov 2019 20:45:27 +0000 https://wwww.dailynewssegypt.com/?p=712719 Since then, the form of international economy has been effective in development plans. In 2016, the list of the ten largest companies in the world included nine companies working in the field of technology, although the energy companies were at the top of the list in 2006

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American sociologist, writer, editor, and professor at Harvard University, Daniel Bell, introduced his economic vision for the services economy sector by refuting the coordinates of the post-industrial society. Economic development is materialized in the form of a services institution, a prosperous, and civilised society. A developed and fairer society.

The classical forms of economies are industrial, agricultural, and services forms. The general belief is that only industrial economy is the engine of economic development. But the international coordinates led to development tracks which gave the services and agricultural economies more privileges of economic stability and the capability of exporting competitiveness.

Since then, the form of international economy has been effective in development plans. In 2016, the list of the ten largest companies in the world included nine companies working in the field of technology, although the energy companies were at the top of the list in 2006.

Thus, that would change the international investment map in the midst of the coordinates of globalization, the artificial intelligence, and the fourth internet revolution, which depends on the internet and the fifth Internet generation, and not on traditional factories.

It is also noteworthy that China gained its status as the world factory because it achieves cheap manpower, industrial incentives, and the great production which is difficult to compete with in the midst of free market coordinates.

Some criticize the Egyptian’s government attention towards the services economy. But 80% of the US economy depends on services economy, and also 66% of India’s economy. In addition, 78% of the UAE, Singapore, and Hong Kong economies depend on the service economy. Also, 44% of Chinese economy depends on services economy, while 45% of its economy depends on the industrial economy. Thus, experts consider the Chinese economy imperfect for development because the services economy sector such as tourism, health, education, financial sector, construction, and communication sectors are considered the greatest providers of job opportunities, as the opportunities in the factories depending on technology would diminish in the future and the cost of its job opportunities would increase contrary to the services economy.

The recreation sector is considered one of the most profitable sectors worldwide, but it is classically classified in category of tourism, housing or after-sales services. Sometimes, it is classified in software or design category, and sometimes in illegal categories such the narcotics or pornography. The revolution of Steve Jobs, the founder of the US Company Apple depended on the I-Pod. Then the company acquired the cartoon film company, Pixar, which became the largest company in the Walt Disney Group.

The services economy has recently become the most important supporter of the development of the industrial sector that includes the after sales, maintenance, qualification, development services and software.

Concerning the Egyptian economy, the services economy creates 72% and assimilates 54.4% of the job opportunity total. While the industrial sector creates 17.7% and assimilates 30% of the job opportunities, but they would diminish in the future due to the fourth industrial revolution, which depended on robots and artificial intelligences as alternatives for manpower.

The best examples of successful sustainable development experiences, which achieve high-value economic development were carried out by USA and India. They include software designing and recreation depending on qualified human capital in order to provide services in accordance with international standards. The qualification of the human capital is achieved through health and education (services economy). The Egyptian economy depended for the previous decades on the services sector such as tourism, the Suez Canal, and the transfers of the Egyptians abroad. Thus, the human capital, represented in the Egyptian capabilities and expertise would form a high-value developmental model, which would make the services sector an engine for economic growth.

The path towards the high-value services sector begins by developing the human capital on all social levels, according to the international variables, concerning students and graduates alike just as what India did to develop education in order to achieve prosperity and the desirable development rates. Thus, without developing the human capital, we would face a future crisis, represented in the presence of a group which would a burden for more qualified groups to face the challenges of technology and job market.

The international competition in achieving sustainable development rates has become impossible due to the great competition between the countries. For example, Saudi Arabia aims at developing tourism, the UAE aims at developing industry, and African countries, such as Rwanda and Ethiopia, targets developmental projects, even if they were at the expense of other Nile Basin countries. The awareness and ambition of peoples towards development has become a motivation for governments in order to achieve different development examples. On the other hand, wars between major countries have become economic wars focusing on the technology sector (services sector) instead of traditional wars.

The development opportunity for the Egyptian economy in the services sector is available, and it is also necessary to develop the social capital in order to face the challenges and keep pace with developments, especially the technological ones imposed by the international economy.

Ehab Zakaria is the chairperson of Kasr El Salam – Real estate & Commercial investment

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History of Water in the Middle East on Stage in London https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/10/23/history-of-water-in-the-middle-east-on-stage-in-london/ Wed, 23 Oct 2019 17:12:39 +0000 https://wwww.dailynewssegypt.com/?p=711938   In fact, the Middle East is considered the most water scarce region in the world. The Middle East/North Africa (MENA) region has only 1,100 m3 of renewable water per capita per year. For comparison, Western Europe has 5,400 m3 and North America 20,300 m31.

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  Water is becoming an increasingly scarce and strategic resource. Dwindling water supplies induced by global climate change, over-consumption, displacement and forced migration flows, technological deficiencies, and the absence of specific, long-term water security policies place an extraordinary strain on the world’s ecological resources and systems. It is claimed that water will preoccupy nations, governments, and international organisations in the 21st century. Some people go so far as to claim that it will be the “century of water”. In 1995, for example, former World Bank Vice-President Ismail Serageldin claimed that ‘the wars of the next century will be about water.” However, the water crisis in the Middle East is far more complex with political and historical dimensions.                                                             

 

Marwa El- Shinawy

In fact, the Middle East is considered the most water scarce region in the world. The Middle East/North Africa (MENA) region has only 1,100 m3 of renewable water per capita per year. For comparison, Western Europe has 5,400 m3 and North America 20,300 m31. Hence, the increasing demand upon a limited supply has caused many regional conflicts over water. On top of that, since the evacuation of the British occupation from the Middle East, the region has never achieved stability. The establishment of the state of Israel, that dates back to the British mandate,  has led to further instability and created the political crisis of water in the region as control over the water- supply network has represented, since the very beginning, a national security issue for Israel.

In fact, the hidden reason behind the occupation of both the West Bank and the Golan Heights was to get the upper hand over the natural water supplies.  The conflict over water from the Jordan River and nearby aquifers has long been a tangled affair which has enmeshed Israel, Jordan, Lebanon, Syria, and the West Bank-Gaza Palestinians. Lebanon and Syria are upstream states and have the first chance at using the water, while Israel, Jordan, and the West Bank-Gaza are generally downstream, they must either take the water that is left or act forcibly to acquire the water they want. This conflict has lasted for decades and has been a part of the broader Arab-Israeli conflict. Thereby, water lies at the heart of Israel’s relationship with the Arab states, and poses one of the toughest challenges for peace in the Middle East.                                                                                                                  

   Moreover, one of the most distinguished characteristics of water crisis in the Middle East is using water as a pressure paper to solving other problems. In 1991, for instance, Israel announced that it will not withdraw from Lebanon without pledges to get its share from the water of Al- Litani River. In other words, even though the wars were not fought over water; allocations and agreements were always key issues on the negotiating table and an actual impediment to peace. Obviously, the latest crisis of the Ethiopian dam is a new part of this hidden and complicated strife that uses water as a political weapon to destabilise the region further to achieve political and economic goals, taking advantage of the fact that the water resources in Arab states are controlled by non- Arab states; namely, Ethiopia, Turkey, Uganda, and Ghana.                                                                                                        

This intertwined relationship between the water resources and the policy in the Middle East is the main topic of Sabrina Mahfouz’ “A History of Water in the Middle East,” currently on the Royal Court, London. The play explores how water in the Middle East has enabled British power through the ages; and how Britain still affects landscapes, lives, and legacies in the Middle East today. In a 70-minute show that journeys from Egypt to Dubai, Iraq to Jordan, Mahfouz explains how water has been used by Britain in the Middle East to exert commercial and colonialist control. Using theatre, poetry, and music, Mahfouz, who has dual Egyptian-British nationality, represents various stories of women from across the continent to explore who really has the power in and over the Middle East in the present time. Directed by Stef O’Driscoll, the lecture style play tells the story of how colonialism has carved a path through the Middle East and had managed to divide nations along lines that would cause centuries of conflict.

Marwa El-Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for the Cairo International Festival for Contemporary an Experimental Theatre

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Inequality in the OECD is at a record high – and society is suffering as a result https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/10/11/inequality-in-the-oecd-is-at-a-record-high-and-society-is-suffering-as-a-result/ Fri, 11 Oct 2019 19:21:40 +0000 https://wwww.dailynewssegypt.com/?p=710630 After taking a few months out to write a book on what we know about economic inequalities, I was struck by the enormous amount of research showing how harmful inequality is for people

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The Conversation – When high levels of inequality are pointed out, a common response is that the “politics of envy” are being deployed. I heard the phrase myself when I tweeted recently that the share of income going to the richest 0.01% of adults in the UK was almost at a record high, based on my new analysis of UK tax data.

After taking a few months out to write a book on what we know about economic inequalities, I was struck by the enormous amount of research showing how harmful inequality is for people. It’s increasingly clear that high levels of inequality damage our health and well-being, harm social cohesion and levels of trust, and act as a brake on economic performance. And there is increasing evidence that inequalities dramatically tilt the playing field for future generations.

Harming our health

Countries with high levels of inequality are more stressed and anxious, less happy and healthy, and have lower feelings of solidarity or trust across society. The best known research on this is by Richard Wilkinson and Kate Pickett.

Wilkinson and Pickett argue that in societies with high levels of inequality there is an ever-increasing cachet to being rich and it becomes more shameful to be poor. This heightens anxiety over social status. And money – and what one does with it – becomes evermore important to social status.

As a result, inequality worsens aspects of consumerism (“keeping up with the Joneses”), leads to feelings of entitlement for those at the top and shame for those at the bottom, and reduces social mixing, trust and social cohesion.

This may sound like a damning indictment on our 21st century culture of Instagramming our lives to death. But sociologist Thorstein Veblen observed these desires to establish superiority (among the rich) or conform (among the slightly less rich) in the 19th century United States.

Economic performance suffers

Research also indicates that high inequality damages economic performance. It may even have caused the financial crash of 2008 and the subsequent Great Recession.

What surprised me about this recent work is that it is being led by the IMF and the World Bank. They are not exactly well-known hot-beds of radical thought, but Christine Lagarde, IMF chief until recently, said: “Reducing excessive inequality is not just morally and politically correct, but it is good economics.”

The OECD, the organisation representing the world’s wealthiest economies, adds:

The notion that one can enjoy the benefits from one’s own efforts has always been a powerful incentive to invest in human capital, new ideas and new products, as well as to undertake risky commercial ventures. But beyond a certain point, and not least during an economic crisis, growing income inequalities can undermine the foundations of market economies.

A high level of inequality is not a natural, and certainly not a necessary, consequence of a vibrant economy. Instead, key international organisations are worried that inequality is a drag on economic growth.

Opportunity is limited

Inequality also makes it harder to achieve equality of opportunity, and it perpetuates the division between those that have and those that have not. We used to hope that if there were some in society who had a lot less than others, then maybe this would be just a short-term blip. Or that people could improve their lot with hard work and effort.

We now know that, far from living in a world where all young people have equal chance to shine, success in life is heavily influenced by where you start from. Hard data and careful research show that the more unequal society is, the harder it is to achieve equality of opportunity, and the less social mobility there will be.

In the US, so often seen as the land of opportunity, a common route to the top of the income distribution is to be born there, or to marry into it. In which country does a child from a disadvantaged family have the best change of making it to the top? It’s Sweden.

Unfair and undemocratic

There’s a final worrying aspect about high levels of inequality, set out by economists Joseph Stiglitz and Thomas Piketty. If Western governments do not try to redistribute wealth or curb the very rich, and if money is allowed to shape political debates, then the 21st century could see the emergence of a super-wealthy elite akin to that which existed at the dawn of the 20th century. That would be profoundly undemocratic, and most definitely unfair.

Every year of high inequality is another year that strains our sense of fairness and of social justice, and another year where equality of opportunity becomes harder to achieve. It’s up to voters, politicians and other social actors to play their part in shifting the boundaries of what policy responses are politically feasible, and what levels of inequality are socially acceptable.

Mike Brewer is a Professor of Economics and Director of the ESRC Research Centre on Micro-social Change, University of Essex

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Dublin Theatre Festival sends message of solidarity to Palestinian people https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/10/11/dublin-theatre-festival-sends-message-of-solidarity-to-palestinian-people/ Fri, 11 Oct 2019 18:20:07 +0000 https://wwww.dailynewssegypt.com/?p=710627 This year, the festival offers a unique way of addressing the Palestinians' suffering through representing Justin Butchrer's Walking to Jerusalem. The play is a creative, artistic work that condemns Balfour Declaration, which was a public statement issued by the British government in 1917 during the WW1 announcing support for the establishment of a “national home for the Jewish people” in Palestine, which was then an Ottoman region with a small Jewish minority

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Dublin Theatre Festival (from 26 September to 13 October) is Europe’s oldest specialised festival that was established in 1957 to bring together artists, theatre-makers, and audiences from Ireland and around the world. The festival is also one of the key post-WW2 events established to foster tolerance and cultural understanding between nations. However, Dublin Theatre Festival is well-known for its firm and unwavering commitment towards peace and human rights. It has a long list of inspiring artists whose work showed a clear-cut and consistent position on the current regional and international conflicts, and played a decisive role in putting the question of human rights and human dignity in the forefront of the human values that guide all nations regardless of their cultural or historical differences. This year, the festival offers a unique way of addressing the Palestinians’ suffering through representing Justin Butchrer’s Walking to Jerusalem. The play is a creative, artistic work that condemns Balfour Declaration, which was a public statement issued by the British government in 1917 during the WW1 announcing support for the establishment of a “national home for the Jewish people” in Palestine, which was then an Ottoman region with a small Jewish minority.

Walking to Jerusalem is a theatrical narrative that chronicles a six-month walk from London to Jerusalem in the name of Palestinians in 2017. Obviously, 2017 marked three major anniversaries for the Palestinian people: the centenary of the Balfour Declaration, the fiftieth year of Israel’s military occupation of the Palestinian Territories, and the tenth year of the blockade of Gaza. Hence, to show their rejection of all the notorious acts exercised by the Zionist entity, Justin Butcher, along with 10 companions and another hundred joining him at different points along the way, walked from London to Jerusalem as an act of solidarity. They walked 3,400 km for 147 days across 11 countries, three seas, mountains, rivers, and soul-stirring landscapes from the green fields of Kent to the desert dust of Jordan, discovering both the Roman roads and the refugee routes with all their perceived dangers. Butcher’s on-stage performance retraces every step, oasis, and bump in the road in front of a live audience, using a mixture of live performance and a video montage of live footage from the trail. This combination of live performance and projected film allows Butcher to convey his experience in a realistic way, interweaving his face-to-face experiences  and the political realities in order to depict a live picture of the Israeli government. It shows Israel’s continuing acts of enforcing severe and discriminatory restrictions on Palestinians’ human rights, restricting the movement of people and goods into and out of the Gaza Strip, and facilitating the unlawful transfer of Israeli citizens to settlements in the occupied West Bank.

Certainly, this positive attitude of the festival towards the Palestinian cause is in compliance with the political stance of the Irish state that supports the Palestinians in their fight for self-determination and freedom. On 9 April 2018, for example, Dublin City Council was the first European capital to vote in favour of resolutions endorsing the Boycott, Divestment, and Sanctions (BDS) movement against Israel, calling for the expulsion of the Israeli ambassador. In fact, the Palestinian issue has long occupied a place in the Irish consciousness due to the evident parallels with the Irish national experience, which has a long history of fighting a revolutionary war against the British occupation. This apparent sentiment was clearly expressed by the renowned Irish novelist Sean O’Faolain in 1947. He rejected the comparison between the Irish and Zionist struggles, and asserted, “If we could imagine that Ireland was being transformed by Britain into a national home for the Jews, I can hardly doubt which side you would be found.” Doubtless, despite of all the commentaries that try to take the play out of its context, Walking to Jerusalem or A pilgrimage to Palestine, as many critics like to call it, brings a message of compassion to the Palestinian people, and an urgent and impassioned plea for justice in the Middle East.

Marwa El-Shinawy holds a PhD in American theatre. She is a member of the Higher Committee for the Cairo International Festival for Contemporary and Experimental Theatre

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Time for rich countries to pay their climate debts https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/10/11/time-for-rich-countries-to-pay-their-climate-debts/ Fri, 11 Oct 2019 18:05:38 +0000 https://wwww.dailynewssegypt.com/?p=710624 The problem is that climate change economic impact took its toll on poorer countries. Oxfam, a globally renowned aid and development charity, estimates that between 1998 and 2017, low-income countries reported climate-related disaster losses of $21bn, or an average of 1.8% of GDP.

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In the recently held United Nation’s Climate Action Summit, more than 70 countries committed themselves to net-zero carbon emissions by 2050, however, major emitters have not yet done so. 

According to UN estimates, if our world is to avoid the climate catastrophe, we need to cut greenhouse emissions 45% by 2030, reach carbon neutrality by 2050, and limit temperature rise to 1.5 ˚C by the end of the century. But the question remains: who should pay the price of climate change?

The problem is that climate change economic impact took its toll on poorer countries. Oxfam, a globally renowned aid and development charity, estimates that between 1998 and 2017, low-income countries reported climate-related disaster losses of $21bn, or an average of 1.8% of GDP.

The ludicrousness of the situation is that those rich countries are in their position of wealth because of the emission-intensive development that has fuelled the climate crisis in the first place. And while climate crises would not spare any country, however, wealthy countries would be better fitted to adapt or recover from the crises.

Considering the fact that the world’s richest 10% emit half of the global emissions while the poorest 50% emit about 10% of global emissions, according to Oxfam estimates, it is fair that climate action should not be distributed evenly between the world’s nations.

Why should the citizens of poor countries sacrifice their development and pay the bill for climate action, when the average footprint of the richest 1% of people globally could be 175 times that of the poorest 10%?

In Africa, Somalia’s annual per capita emissions are 0.05 tonnes, Ethiopia 0.12 tonnes, and Kenya

and Mozambique 0.31 tonnes, even Egypt – a more developed country – stands at 2.2 tonnes, a fraction of the 16.5 tonnes per capita emissions in the USA.

Put another way the average carbon emission of just one American are equivalent to those of 330 Somalis, 53 Mozambicans or 7.5 Egyptians.

In absolute values, collectively, the world’s top 15 countries in terms of emissions generate 72% of CO2 emissions. The rest of the world’s 180 countries produce nearly 28% of the global total – close to the amount China produces on its own.

UN Special Rapporteur on extreme poverty and human rights, Philip Alston, said in a June report: “Perversely, while people in poverty are responsible for just a fraction of global emissions, they will bear the brunt of climate change, and have the least capacity to protect themselves.”

According to Alston’s report, developing countries will bear an estimated 75% of the climate crisis costs, despite the poorest half of the world’s population causing just 10% of carbon dioxide emissions.

Thus, it is only fair that wealthy countries provide sufficient financial support for poorer countries to finance their low-carbon development.

Until now, fossil fuels are still the cheapest, most reliable available energy source. Thus, developing countries should be compensated, if they would not be able to use such fuels anymore.

Otherwise, how can sub-Saharan African countries abandon fossil fuels, and opt for the capital-intensive clean energy? The International Energy Agency estimates that around 600 million people in sub-Saharan Africa remain without access to electricity, totalling 57% of the population there. In Liberia, for example, just 2% of the population has regular access to electricity.

The United Nations Environment Programme estimates that adapting to climate change will cost developing countries between $140-300bn per year by 2025-30. Yet, a mere fifth of the $52.5bn rich countries reported as annual public climate finance (2016/2017 annual averages), was dedicated to adaptation – and just 15% of the overall sum went to the 48 least developed countries. The amount of support available is much lower than the reported figures suggest.

One possible way to finance the transition is Carbon pricing, which is a tool aiming to reduce emissions by changing the relative costs of low-emissions products, high-emissions products, services, and production methods. Implementing a carbon tax – or increasing it in countries with the tax already in place – would provide the necessary funding, as all the money would go to poor countries to adapt to climate change and develop renewable energies. 

Mohamed Samir is an economic and political journalist, and analyst specialising in the Middle East. Over the past decade, he covered Egypt’s and MENA’s financial, business, and geopolitical updates. He is currently the Deputy Executive Editor of Daily News Egypt

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A Climate Change: An Unstoppable Movement Takes Hold https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/10/03/a-climate-change-an-unstoppable-movement-takes-hold/ Thu, 03 Oct 2019 10:09:58 +0000 https://eklutdvotyzsri.dailynewssegypt.com/?p=709908 Climate chaos is playing out in real time from California to the Caribbean, and from Africa to the Arctic and beyond

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On the eve of the September UN Climate Action Summit, young women and men around the world mobilized by the millions and told global leaders: “You are failing us”.

They are right.

Global emissions are increasing. Temperatures are rising. The consequences for oceans, forests, weather patterns, biodiversity, food production, water, jobs and, ultimately, lives, are already dire — and set to get much worse.

The science is undeniable. But in many places, people don’t need a chart or graph to understand the climate crisis. They can simply look out the window.

Climate chaos is playing out in real time from California to the Caribbean, and from Africa to the Arctic and beyond. Those who contributed least to the problem are suffering the most.

I have seen it with my own eyes from cyclone-battered Mozambique to the hurricane-devastated Bahamas to the rising seas of the South Pacific.

I called the Climate Action Summit to serve as a springboard to set us on the right path ahead of crucial 2020 deadlines established by the Paris Agreement on climate change. And many leaders — from many countries and sectors — stepped up.

A broad coalition — not just governments and youth, but businesses, cities, investors and civil society — came together to move in the direction our world so desperately needs to avert climate catastrophe.

More than seventy countries committed to net zero carbon emissions by 2050, even if major emitters have not yet done so. More than 100 cities did the same, including several of the world’s largest.

At least seventy countries announced their intention to boost their national plans under the Paris agreement by 2020.

Small Island States together committed to achieve carbon neutrality and to move to 100 per cent renewable energy by 2030.

Countries from Pakistan to Guatemala, Colombia to Nigeria, New Zealand to Barbados vowed to plant more than 11 billion trees.

More than 100 leaders in the private sector committed to accelerating their move into the green economy.

A group of the world’s largest asset-owners — responsible for directing more than $2 trillion — pledged to move to carbon-neutral investment portfolios by 2050.

This is in addition to a recent call by asset managers representing nearly half the world’s invested capital – some $34 trillion – for global leaders to put a meaningful price on carbon and phase out fossil fuel subsidies and thermal coal power worldwide.

The International Development Finance Club pledged to mobilize $1 trillion in clean energy funding by 2025 in 20 least developed countries.

One-third of the global banking sector signed up to align their businesses with the Paris agreement objectives and Sustainable Development Goals.

The Summit also showcased ways in which cities and global industries like shipping can achieve major reductions in emissions. Initiatives to protect forests and safeguard water supplies were also highlighted.

These steps are all important — but they are not sufficient.

From the beginning, the Summit was designed to jolt the world and accelerate action on a wider scale. It also served as a global stage for hard truths and to shine a light on those who are leading and those who are not. Deniers or major emitters have nowhere to hide.

I will continue to encourage them to do much more at home and drive green economic solutions around the world.

Our planet needs action on a truly planetary scale. That cannot be achieved overnight, and it cannot happen without the full engagement of those contributing most to the crisis.

If our world is to avoid the climate cliff, far more is needed to heed the call of science and cut greenhouse emissions by 45 percent by 2030; reach carbon neutrality by 2050; and limit temperature rise to 1.5 degrees by the end of the century. That’s how we can secure the future of our world.

Too many countries still seem to be addicted to coal – even though cheaper, greener options are available already. We need much more progress on carbon pricing, ensuring no new coal plants by 2020, and ending trillions of dollars in giveaways of hard-earned taxpayers’ money to a dying fossil fuel industry to boost hurricanes, spread tropical diseases, and heighten conflict.

At the same time, developed countries must fulfill their commitment to provide $100 billion a year from public and private sources by 2020 for mitigation and adaptation in developing countries.

And I will make sure that the commitments that countries, the private sector and local authorities have made are accounted for — starting in December at the UN Climate conference in Santiago, Chile. The UN is united in support of realizing these initiatives.

Climate change is the defining issue of our time.

Science tells us that on our current path, we face at least 3 degrees Celsius of global heating by the end of the century. I will not be there, but my granddaughters will.

I refuse to be an accomplice in the destruction of their one and only home.

Young people, the UN – and a growing number of leaders from business, finance, government, and civil society – in short, many of us – are mobilizing and acting.
But we need many others to take climate action if we are to succeed.

We have a long way to go. But the movement has begun.

António Guterres is Secretary-General of the United Nations.

This article appears as part of Daily News Egypt’s partnership with Covering Climate Now, a global collaboration of more than 300 news outlets to strengthen coverage of the climate story.

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Imagining both utopian and dystopian climate futures is crucial – which is why cli-fi is so important https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/09/26/imagining-both-utopian-and-dystopian-climate-futures-is-crucial-which-is-why-cli-fi-is-so-important/ Thu, 26 Sep 2019 08:00:40 +0000 https://ww.dailynewssegypt.com/?p=709142 Society often looks to culture to try and make some sense of the world’s problems. Climate change challenges us to look ahead, past our own lives, to consider how the future might look for generations to come – and our part in this. This responsibility requires imagination.

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This story originally appeared in The Conversation. It is republished here as part of Daily News Egypt’s partnership with Covering Climate Now, a global collaboration of more than 250 news outlets to strengthen coverage of the climate story.

We are headed towards a future that is hard to contemplate. At present, global emissions are reaching record levels, the past four years have been the four hottest on record, coral reefs are dying, sea levels are rising and winter temperatures in the Arctic have risen by 3°C since 1990. Climate change is the defining issue of our time and now is the moment to do something about it. But what?

Society often looks to culture to try and make some sense of the world’s problems. Climate change challenges us to look ahead, past our own lives, to consider how the future might look for generations to come – and our part in this. This responsibility requires imagination.

So, it is no surprise that a literary phenomenon has grown over the past decade or two which seeks to help us imagine the impacts of climate change in clear language. This literary trend – generally known by the name “cli-fi” – has now been established as a distinctive form of science fiction, with a host of works produced from authors such as Margaret Atwood and Paolo Bacigalupi to a series of Amazon shorts.

Often these stories deal with climate science and seek to engage the reader in a way that the statistics of scientists cannot. Barbara Kingsolver’s Flight Behaviour (2012), for example, creates emotional resonance with the reader through a novel about the effects of global warming on the monarch butterflies, set amid familiar family tensions. Lauren Groff’s short story collection Florida (2018) also brings climate change together with the personal set amid storms, snakes and sinkholes.

The end to come

Cli-fi is probably better known for those novels that are set in the future, depicting a world where advanced climate change has wreaked irreversible damage upon our planet. They conjure up terrible futures: drowned cities, uncontainable diseases, burning worlds – all scenarios scientists have long tried to warn us about. These imagined worlds tend to be dystopian, serving as a warning to readers: look at what might happen if we don’t act now.

Atwood’s dystopian trilogy of MaddAddam books, for example, imagines post-apocalyptic futurist scenarios where a toxic combination of narcissism and technology have led to our great undoing. In Oryx and Crake (2003), the protagonist is left contemplating a devastated world in which he struggles to survive as potentially the last human left on earth. Set in a world ravaged by sea level rise and tornadoes, Atwood revisits the character’s previous life to examine the greedy capitalist world fuelled by genetic modification that led to this apocalyptic moment.

Other dystopian cli-fi works include Paolo Bacigalupi’s The Water Knife (2015), and the film The Day After Tomorrow (2004), both of which feature sudden global weather changes which plunge the planet into chaos.

Dystopian fiction certainly serves a purpose as a bleak reminder not to act lightly in the face of environmental disaster, often highlighting how climate change could in fact compound disparities across race and class further. Take Rita Indiana’s Tentacle (2015), a story of environmental disaster with a focus on gender and race relations – “illegal” Haitian refugees are bulldozed on the spot. A. Sayeeda Clarke’s short film White (2011), meanwhile, tells the story of one black man’s desperate search for money in a world where global warming has turned race into a commodity and circumstances lead him to donate his melanin.

The future reimagined

It is this primacy of the imagination that makes fictional dealings with climate change so valuable. Cli-fi author Nathaniel Rich, who wrote Odds Against Tomorrow (2013) – a novel in which a gifted mathematician is hired to predict worst-case environmental scenarios – has said:

I think we need a new type of novel to address a new type of reality, which is that we’re headed toward something terrifying and large and transformative. And it’s the novelist’s job to try to understand, what is that doing to us?

As the UN 2019 Climate Action Summit attempts to bring the 2015 Paris Agreement up to speed, we need fiction that not only offers us new ways to look forward, but which also renders the inequalities of climate change explicit. It is also key that culturally we at least try to imagine a fairer world for all, rather than only visions of doom.

When now is the time that we need to act, the rarer utopian form of cli-fi is perhaps more useful. These works imagine future worlds where humanity has responded to climate change in a more timely and resourceful manner. They conjure up futures where human and non-human lives have been adapted, where ways of living have been reimagined in the face of environmental disaster. Scientists, and policy makers – and indeed the public – can look to these works as a source of hope and inspiration.

Utopian novels implore us to use our human ingenuity to adapt to troubled times. Kim Stanley Robinson is a very good example of this type of thinking. His works were inspired by Ursula Le Guin, in particular her novel The Dispossessed (1974), which led the way for the utopian novel form. It depicts a planet with a vision of universal access to food, shelter and community as well as gender and racial equality, despite being set on a parched desert moon.

Robinson’s utopian Science in the Capital trilogy centres on transformative politics and imagines a shift in the behaviour of human society as a solution to the climate crisis. His later novel New York 2140 (2017), set in a partly submerged New York which has successfully adapted to climate change, imagines solutions to more recent climate change concerns. This is a future that is mapped out in painstaking detail, from reimagined subways to mortgages for submarines, and we are encouraged to see how new communities could rise against capitalism.

This is inspirational – and useful – but it is also is crucial that utopian cli-fi novels make it clear that for every utopian vision an alternative dystopia could be just around the corner. (It’s worth remembering that in Le Guin’s foundational utopian novel The Dispossessed, the moon’s society have escaped from a dystopian planet.) This is a key flaw in the case of Robinson’s vision, which fails to feature the wars, famines and disasters outside of his new “Super Venice”: the main focus of the book is on the advances of western technology and economics.

Forward-thinking cli-fi, then, needs to imagine sustainable futures while recognising the disparities of climate change and honouring the struggles of the most vulnerable human and non-humans. Imagining positive futures is key – but a race where no one is left behind should be at the centre of the story we aspire to.

Bernadette McBride is PhD Candidate in Creative Writing, University of Liverpool

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 Docu-play exposes US police brutality https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/09/26/docu-play-exposes-us-police-brutality/ Thu, 26 Sep 2019 07:00:45 +0000 https://ww.dailynewssegypt.com/?p=709104 Recent statistics show that the number of people killed by the US police jumped from 962 in 2015 to 1,164 in 2018. Ironically, there were only 23 days in 2018 where police did not kill someone, according to Mapping Police Violence organisation.

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Police brutality, which means the excessive and unnecessary use of physical force on the part of police officers in the line of duty, is one of America’s hottest political topics.

Despite of the US’s commitment to advancing human rights and democracy worldwide; Americans of all races, ethnicities, ages, classes, and genders have been subjected to police brutality.

In 1998, for example, Human Rights Watch issued a report that found that 14 major US cities, including Chicago, New York, and Los Angeles, lacked effective systems to hold police accountable for the unjustified use of force, and consistently failed to investigate and punish officers, or deliver justice.

However, this phenomenon started to take a new serious dimension in  recent years, especially after President Donald Trump’s speech to the law enforcement officers in Long Island, New York, in 2017, in which he endorsed police brutality, and openly encouraged police officers to abuse people they arrest.

Recent statistics show that the number of people killed by the US police jumped from 962 in 2015 to 1,164 in 2018. Ironically, there were only 23 days in 2018 where police did not kill someone, according to Mapping Police Violence organisation.

In the same vein, a very recent study conducted in 2019 by a team of researchers from Rutgers University, the University of Michigan, and Washington University in St. Louis, under the title ‘Risk of being killed by police’s use of force in the United States by age, race–ethnicity, and sex’, emphasized that fatal police violence becomes a leading cause of death for young men in America just like cancer and car accidents. The study also asserted that while young men in general face a higher risk of being killed by police violence, the level of risk changes depending on race.

Most seriously, US policemen used to walk free after shooting dead unarmed citizens, especially if the victims are Native Americans or the ethnic minorities. There are many examples of unarmed young men who were killed by law-enforcement officers and became national news stories sparking widespread protests, but their killers did not face charges—such as Michael Brown in Ferguson, Missouri (August 2014);  Freddie Gray in Baltimore, Maryland (April 2015); the Arab student Saif Al Ameri, Ohio (December 2016), and Stephan Clark, California, (March of 2019).

Until the Flood, currently on Arcola Theatre, London, is a quasi docu-play by Pulitzer Prize Finalist and Obie Award Winner Dael Orlandersmith that documents one of these unspoken crimes of the policemen in the US. The play is based on extensive interviews with Missouri residents after the 2014 shooting of the unarmed African American teenager Michael Brown by police officer Darren Wilson. It aims to give voice to a community rallying for justice and a country still yearning for change. It represents the broad spectrum of perspectives towards the violations committed by police officers, through a series of characters not directly involved in the shooting, in a 70- minute one- act performed by the author herself. 

However, the play is not a traditional documentary work that represents verbatim reenactments of the interviews that have been recorded by the author. Instead, the author cunningly created composite figures that drew from multiple interviews, as well as from people she had encountered in her life, exploring all the views and opinions without bias. Hence, the play includes black, white, male, female, young, and old people.

It displays both the opinions of the white supremacist, who openly relishes the idea of shooting down blacks in Ferguson, as well the angry black teen, who fantasizes about committing suicide by a cop. The action of the play is staged on a single platform with an imaginary waviness, emphasizing the metaphorical meaning of the play’s title, which refers to the Biblical great flood of Noah’s time that destroyed the world because of people’s sins.

Obviously, the play has a redemptive message as it ends with a black universalist minister, who talks about going to the protests in Ferguson and praying for blacks and whites, police and protesters alike. ‘Until the Flood’ is a play that reveals a hidden dark side of the modern-day America, where Americans struggle against police misconduct and the lack of accountability for policemen’s crimes

Marwa El-Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for the Cairo International Festival for Contemporary and Experimental Theatre.

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President Al-Sisi outlines importance of mutual understanding on Renaissance Dam https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/09/25/president-al-sisi-outlines-importance-of-mutual-understanding-on-renaissance-dam/ Wed, 25 Sep 2019 21:33:51 +0000 https://ww.dailynewssegypt.com/?p=709094 Egypt requires safe access to water during climate change

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New York – President Abdel Fattah Al-Sisi addressed the 74th United Nations General Assembly’s General Debate on Tuesday morning in New York, immediately following the highly anticipated speech of US President Donald Trump.

On the opening day of the annual event, at the United Nations headquarters in lower Manhattan, President Al-Sisi’s 13-minute address in front of the 193 member states underlined the importance of multilateral cooperation with respect to the Renaissance Dam, the Israel-Palestine conflict, and the promise of a new era for the continent with the ratification of the African Continental Free Trade Agreement Area (AfCFTA).

Speaking in Arabic and beginning at 10.57am local time, Al-Sisi stated that the establishment of the AfCFTA on 30 May 2019 will allow Africa to realise a number of promising opportunities that can be both a promise for growth and spur the ramp-up of construction of much-needed infrastructure. Only a couple months ago, Nigeria and Benin, the final two countries of the 55-member African Union became signatories of the AfCFTA.

Drawing on the particular example of the $4bn Grand Ethiopian Renaissance Dam (GERD) project, the president emphasised the importance of coming to an agreement with Ethiopia over the protracted four-year-long GERD negotiations.

Despite Egypt, Ethiopia, and Sudan signing an agreement of principles in the Sudanese capital of Khartoum on 23 March 2015 to in effect permit the government in Addis Ababa to construct, fill, and operate the dam – to date, the desired results have not been attained.

GERD, formerly known as Project X or the Grand Millennium Dam, is being built by Ethiopia but bilateral talks have currently stalled between the two countries.

“For decades, Egypt has sought to strengthen and deepen the bonds of cooperation with its brotherly Nile basin countries,” President Al-Sisi said in his address, marking the GERD project as necessary in furthering the interests of all the people in proximity to the Nile River basin.

The president conveyed hope in his address that the common interests of the Blue Nile participants will be taken into consideration, stating simply that inaction with respect to the dam will not help, but rather hinder much-needed prosperity for water ecosystems.

“Egypt still hopes for an agreement that will secure the common interests of the peoples of the Blue Nile, Ethiopia, Sudan and Egypt. The continued impasse in the negotiations on the dam will have negative repercussions on the stability as well as on development in the region in general, and in Egypt, in particular,” remarked the president.

He further issued a concern that while it supports Ethiopia’s commencement of the construction of the Renaissance Dam, it disagrees with the country’s timing, doing so without conducting the necessary studies on a project of such magnitude. Front-end engineering and design (FEED) studies are necessary, the president said, because the well-being of all the countries downstream, including Egypt is paramount to any multibillion-dollar infrastructure project and its related investments.

“For Egypt, the water of the Nile is a matter of life. It is an existential matter and this places a great responsibility on the international community to play a constructive role in urging all parties to demonstrate flexibility in order to achieve a mutually satisfactory agreement,” said President Al-Sisi.

At 11.10am local time, the president closed with a message from Egypt for a call to peace and mutual understanding among member states, a call to action for the benefit of humanity, a call for sustainable development, and a call for the promotion and protection of human rights. The president said that these directives will chart an ideal path for the benefit of the international community and the United Nations.

Interests, related to water, for each of the countries affected in the Nile basin took on special importance in the following day when the United Nations hosted the high-level Climate Action Summit in the same hall. Several dozen heads of state and government spoke, as well as Microsoft founder Bill Gates, former New York City Michael Bloomberg, and the controversial 16-year-old environmental activist Greta Thunberg of Sweden that has sparked climate action protests worldwide.

Thunberg issued an emotional condemnation of the world’s leaders at the summit’s opening. Leaving nothing back and sitting less than three metres from the United Nations Secretary-General António Guterres, Thunberg threatened leaders on their climate inaction and empty emission target promises by saying, “How dare you,” and concluding her remarks by saying, “If you choose to fail us, I say we will never forgive you.”

The United Nations General Assembly’s General Debate will continue this week until 28 September, and then resume for its final day on 30 September.

Robert Terpstra has worked as a journalist for more than 16 years, having been based in several dozen countries. He is a Canadian previously based in Cairo for three years and now resides in Berlin. He has written for several publications as editor-in-chief, editorial manager, deputy chief sub-editor, country editor, news editor, business editor, op-ed columnist, and sports editor.

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Canadian Musical Commemorates 9/11 and Arabophobia https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/09/13/canadian-musical-commemorates-9-11-and-arabophobia/ Fri, 13 Sep 2019 09:00:40 +0000 https://ww.dailynewssegypt.com/?p=707820 Another strong theory argues that these attacks were "false- flag" operations directed by right-wingers in the US government to justify military action in Afghanistan and Iraq, asserting that Osama bin Laden was a CIA fabrication and never stopped working for the US secret service. 

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The 9/11 attacks are the most enigmatic incidents in recent history. Following almost two decades, the official consensus that Osama bin Laden and Al Qaeda flew passenger planes into United States landmarks is still widely rejected. More than 3,000 books on 9/11 have been published; many of them claim that the US government was behind it all. 

The most prominent belief is that the Pentagon was hit by a missile, not an aeroplane, launched by elements from inside the US government. This widespread belief is supported by the fact that no video evidence shows a plane hitting the Pentagon, and there was no debris of the plane found after the crash. 

Another strong theory argues that these attacks were “false- flag” operations directed by right-wingers in the US government to justify military action in Afghanistan and Iraq, asserting that Osama bin Laden was a CIA fabrication and never stopped working for the US secret service. 

 Despite all these impartial analyses, the 9/11 attacks remain as a watershed event which created a wave of Arabophobia in the western world. Hence, Arabs and Muslims in the US and Canada, and those perceived to be Arabs or Muslims, such as Sikhs and South Asians, became victims of a severe wave of violent backlash and hate crimes directly after 9/11. 

According to the FBI, hate crimes against Arabs and Muslims have multiplied by 1.6% from 2000 to 2001. Despite the public calls for calm and tolerance, and the famous speech by President Bush, in which he urges Americans not to take their anger out on innocent Arabs, the tide of Arabophobia grows increasingly stronger every year since these attacks. Every year, the 9/11 anniversary comes bringing inevitable discussions, movies, debates, and dramas about the state of Arabophobia in western society which usually results in more discrimination and violence against Arabs. It is enough to mention that hate crimes against Arabs in Canada grew 253% from 2012 to 2015, according to Statistics Canada. 

Come from Away, currently at the Wharton Centre in East Lansing, Michigan, is one of the most famous musicals about the attacks of September 2001 that reflect the biased and unjust attitude toward Arabs. It is the longest-running Canadian musical in Broadway history, with book, music, and lyrics by Irene Sankoff and David Hein

The play is set in the week following the September 11 attacks and tells the true story of the small town of Gander in the province of Newfoundland and LabradorCanada, when the attacks resulted in the US airspace being closed, forcing 38 international aircraft to be diverted and land unexpectedly at Gander airport, doubling the population of the small Newfoundland town. 

Obviously, the play focuses on the kindness and hospitality the townspeople displayed toward their unwitting guests. As a matter of fact, the play has been received by critics as a love message to strengthen the capacity for human kindness in even the darkest moments, and the triumph of humanity over hate. 

However, the play is not free from flagrant racism against Arabs, which is manifested through the hostile attitude toward one of the passengers, who is an Egyptian chef (Samayoa). 

The other passengers in the play treated the peaceful Egyptian man with unfair suspicion and prejudice just because he is perceived as sharing the same cultural background of Al-Qaeda members. 

Even toward the end of the play, the passengers and crew unjustly subjected the Arab traveller to a humiliating strip search, overlooking the fact that he is a victim exactly like them. 

In fact, terrorism has no religion or nationality, and Arabs all over the world suffer from terrorism more than any other nationality. Certainly, all the dramatic works which propagate discrimination and hatred against Arabs, either directly or indirectly, render many innocent Arabs vulnerable to violence and hate crimes through no fault of their own. 

 

Marwa El-Shinawy holds a PhD in American theatre and is a member of the Higher Committee for the Cairo International Festival for Contemporary an Experimental Theatre

 

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Caller ID: Cairo https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/09/13/caller-id-cairo/ Thu, 12 Sep 2019 23:04:39 +0000 https://ww.dailynewssegypt.com/?p=707814 This is actively supported by government initiatives to attract the growth of call centres in the fields of healthcare, education, and oil and gas

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In the early 2000’s, and in line with Egypt’s development strategy, many multinational and regional companies identified Egypt as a base for their call centre operations. The attraction of Egypt is reflected in its central location between Europe and Africa, along with its large, young, well educated, and bilingual population. While the economic slowdown and political tensions that followed dampened the country’s growth prospects, some businesses are looking once again at call centres as a catalyst for job growth and overall economic recovery.

This is actively supported by government initiatives to attract the growth of call centres in the fields of healthcare, education, and oil and gas. Also, earlier in April during the “Belt and Road” initiative summit, President Sisi announced plans to position Egypt as a regional digital hub for data transfers between Europe, Africa, and Asia. To that extent, the government is seeking to improve the technical and physical infrastructure required to support this growth.

The birth of call centres in Egypt

The number of call centres in Cairo has grown rapidly over the past 20 years. One of the first sectors to expand their call centres were fast food chains offering home deliveries. As the economy grew and expanded in the early 2000’s, businesses in other sectors, such as banking, increasingly turned to call centres to handle their clients’ requests in a more cost effective and efficient manner, thereby reducing their requirements for a large local branch network.

Call centres in a digital age

As technology evolved, customer care or call centres remained a critical component of the growth strategy of many businesses. While e-commerce has become the new interface, most people still prefer to interact with a person on the other side of the screen. No matter how digitised an experience or an industry might become, many firms still require customer service agents. While more of these agents are now working from home, many are still based in collective call centres.

A major attraction of working in a call centre, is that of the flexible work schedules. Call centre jobs’ schedules are often revamped every week, in most cases, and the staff can find a way to work the hours that suit them best (during night shifts, right after classes etc.) which allows the staff to avoid Cairo’s infamous traffic jams (with many employees using bus shuttles provided within their packages).

Location, location

As businesses shift further to the east of the city to be closer to the New Administrative Capital, west Cairo could develop as a location for more call centres, with a number of such operations already located in projects such as the Smart Village (Vodafone, Orange, Etisalat, Xceed and HSBC, among others). Those would be in absolute competition with currently established call centres in west Cairo (Raya Contact Center, Wuzzuf, etc) and specifically in New Cairo’s banking district (Dell EMC2, Jumia as well as centres for banks and real estate developers, etc.).

A number of owners are currently seeking to attract call centre operations to fill the increasing level of vacant office space in west Cairo. In essence, these could ultimately be renovated to accommodate for operations in the greater sense of service centres rather than simple “call” centres.

Geographic and socioeconomic factors make Cairo well placed to emerge as a major service and call centre hub for companies servicing the growing Middle Eastern, African, and European markets. While advances in technologies are slowly changing the way businesses operate, there will likely continue to be demand for some human element, which in turn is expected to drive demand for service and call centres.

Mahmoud Elleissy Nassef is an analyst at JLL MENA

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Egypt needs more private capital – and that’s everyone’s responsibility https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/09/01/egypt-needs-more-private-capital-and-thats-everyones-responsibility/ Sun, 01 Sep 2019 13:00:55 +0000 https://ww.dailynewssegypt.com/?p=706679 As developed market interest rates stall or fall and the inflation-adjusted returns on most sovereign debt drops to negative territory once again – the global search for yield by institutional investors is as urgent as it has ever been. This, as much as anything, is driving the huge flow of institutional capital into private investments.

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Egypt, more than any country in the MENA region, has a wealth of investment opportunities. The less charitable commentators may see those opportunities as sharp reflections of the challenges Egypt faces (population, resources, space) but proper risk investors see them for what they are – chances to deploy capital to generate supernormal returns.

As developed market interest rates stall or fall and the inflation-adjusted returns on most sovereign debt drops to negative territory once again – the global search for yield by institutional investors is as urgent as it has ever been. This, as much as anything, is driving the huge flow of institutional capital into private investments. The illiquidity and scarcity of private investments (real estate, private equity, infrastructure, private credit) are supposed to deliver the higher returns which investors need if they are to fulfil their mandates to their trustees and stakeholders.

Investors have already moved into EM equities and bonds but remain underexposed to private investments in emerging and frontier markets. This is an opportunity which Egypt must take if it is to attract the capital flows it needs to develop its economy in a post-FDI age. The future of international investment lies not with Fortune 1000 corporates – but private capital managers like Blackrock, KKR and Brookfield.

There are headwinds, however. The collapse of Abraaj Group last year has soured sentiment amongst global investors towards emerging-markets based (and Middle-East particularly) private equity managers. Note, the sentiment is sour towards where the managers are based, not where their funds invest. The alleged governance failures of Abraaj have been interpreted by investors as being a function of weak regulatory regimes in emerging markets – DIFC in the case of Abraaj. True, DFSA’s recent announcement of its largest-ever fine does look quite a lot like shutting the stable door after the horse has bolted but investors must share some of the responsibility too.

Private capital needs scale, opportunity, comfort and local partnership. Witness the recent $4.6bn investment by GIC, Blackrock and KKR into ADNOC’s pipeline business in the Gulf. One of the first commitments of significant private capital into the MENA region shows that with the right asset and the right partner, there is an appetite for deployment from global private capital titans. And they have financial firepower which dwarfs both development institutions and corporates. Preqin, the private capital analytics firm, estimated that global private equity dry powder (raised but uninvested capital) topped $2trn in January 2019.

Global private capital likes to work with local partners – in fact, it requires it. Local partners from government, from corporations and local private capital investors. If the regional private capital industry is to recover from the Abraaj debacle then it will do so more quickly if it partners with its global peers. Local knowledge, insight and presence deliver real value to global players – it’s an opportunity which managers here in Egypt can capitalise upon if they seize the opportunity. Good partnerships also mean that more of the returns and expertise stay within Egypt, making its growth more sustainable.

Private capital can be a real and enduring source of investment for Egypt – if Egypt creates the right projects and the right legal environment for it to have a home in the country. It should prioritise this and building its relationships with both local and international private capital managers. That will be good for Egypt and good for the global investors who need the returns that this growing nation can provide.

Richard Banks is a consulting editor to Euromoney Conferences, the opinions in this article are his own.

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3 benefits of AI projects and how to measure them https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/30/3-benefits-of-ai-projects-and-how-to-measure-them/ Fri, 30 Aug 2019 11:00:25 +0000 https://ww.dailynewssegypt.com/?p=706563 Determining the benefits for artificial intelligence (AI) projects is difficult and confusing, but increasingly important

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Digital business leaders must overcome the challenge of identifying and quantifying the benefits offered by AI projects to ensure a maximum return on investment.

Determining the benefits for artificial intelligence (AI) projects is difficult and confusing, but increasingly important. By 2024, 50% of AI investments will be quantified and linked to specific key performance indicators to measure return on investment. Success in AI depends on considering both its tangible and intangible benefits and determining how to meaningfully quantify them.

The following three benefits of AI projects and how they are measured are largely consistent with the top sources of business value for AI through 2030: cost reduction and customer experience.

  • Risk: Measurements include risk reduction, mitigation, deduction and a range of other ways to leverage risk information.
  • Speed: Measurements include process, call answer, worker, operational efficiency, accuracy, customer satisfaction and response time.
  • Sales: Measurements include churn, revenue, leads, abandons, web traffic, orders, user experience and interactions.

While AI investments that reduce risk are valuable, they are hard to quantify. When defining benefits, leaders should ensure a clear link between each benefit and the relevant business KPIs. A critical element in understanding benefits is defining how they will be measured. KPIs need to be defined before the AI project is deployed (as a baseline) and again after project completion to determine the resulting benefit compared to the baseline.

Identify the sources and types of benefits for each AI project by classifying the best methods for measuring success, noting that many projects have multiple benefits. This then enables more-effective project prioritization and justification.

Bern Elliot is a Vice President and Distinguished Analyst with Gartner Research.

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The Son speaks for victims of divorce https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/30/the-son-speaks-for-victims-of-divorce/ Fri, 30 Aug 2019 10:00:56 +0000 https://ww.dailynewssegypt.com/?p=706548 Marriage is no longer seen in the public awareness programmes and the media as a combination of two people working together to achieve their goal—which is a successful marriage. People forgot that marriage is an institution that only grows when the couple involved work hard on their relationship.

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Divorce is a painful illness in our modern society that Family break-up has become a common experience in childhood today. Researchers estimate that 45% of all first marriages end in divorce.

However, the high divorce rate is not the challenge that society faces. The true challenge lies in confronting the growing social acceptance of this phenomenon that impedes the development of a stable society. Indeed, divorce has become more acceptable now than in the past. These high rates of divorce in comparison to past decades could be attributed to the changes in values in society at large. Tolerance of divorce has produced profound changes in our attitudes towards the concepts of marriage and family.

Hence, marriage, as an institution, has become increasingly defined as a short-term relationship, and laws no longer assume that marriage is forever. The commitment to stay in a marriage; doing whatever it takes to make it work, has been replaced by new notions that promote the culture of divorce.

Marriage is no longer seen in the public awareness programmes and the media as a combination of two people working together to achieve their goal—which is a successful marriage. People forgot that marriage is an institution that only grows when the couple involved work hard on their relationship.

Even the relationships experts today do not say that successful marriage requires self-sacrifice and emotional investment on the part of both spouses. Instead, they emphasise the Inevitability of divorce if the relationship is bringing more sadness than joy, overlooking the devastating impact of it on the psyche of the sons and daughters.

Along the same line, the social media work to foster controversial concepts that cannot be disseminated in society without serious discussions like the concept of “no-fault divorce”, in which the dissolution of a marriage does not require a showing of wrongdoing by either party, and the concept of “single parent”, which gives both men and women a loophole to reduce their sense of responsibility and commitment to the marriage.

Dramatic works, in their turn, compete in representing a false image of children’s lives after divorce, asserting that marriage isn’t what matters so much to a child’s wellbeing.

Florian Zeller’s The Son, translated by Christopher Hampton, currently on Duke of York’s Theatre, London, is one of the few works that swim upstream, asserting that family break-ups due to parents’ divorce are very challenging for young people. It represents the dramatic impact of the divorce on young people’s safe and healthy development, which is an almost untouched topic in drama nowadays.

Most importantly, the play argues that the divorce brings radical changes to parent-child relationships that run counter to our current understanding, affirming that parenting cut loose from its moorings in the marital contract is often less stable, more volatile, and less protective of children.

The play depicts the mental health crisis of a teenager amid his parents’ divorce and his father’s remarriage. The psychological drama focuses on a middle-aged and middle-class divorced couple, Pierre and Anne who are incapable of helping their 17-year-old son Nicolas in his serious psychotic break.

At first, the depressed son reacts to the traumatic change in his family life by ditching school, scribbling meaningless doodles on the walls, making a mess everywhere he goes and displaying symptoms of mild depression. The solution for the boy to live with his father and his new family does not seem to help him much, and his return to his mother’s home only makes matters worse.

Eventually, when he fails to cope with the breakup of his family, the helpless lad engages in extreme acts of self-mutilation and even suicide, and he ends up in a psychiatric hospital with the consent of his irresponsible parents, who regard their son as a heavy burden just because they are no longer married.

Obviously, divorce can save people from a bad marriage, but it can’t save children from a bleak future. The Son, directed by the award-winning Michael Longhurst, is not a new story about a dysfunctional family, but it is certainly a significant work in this time, in which we stopped talking about the nuclear family as a primary environment for social integration and personal development.

Marwa El- Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for the Cairo International Festival for Contemporary and Experimental Theatre

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Cybersecurity transformation in 2019 and beyond https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/30/cybersecurity-transformation-in-2019-and-beyond/ Fri, 30 Aug 2019 09:00:14 +0000 https://ww.dailynewssegypt.com/?p=706557 I’d like to tell you a short story. When working with a client on its security provision, we discovered that it had only devoted 4% of its total IT budget to cybersecurity. “Let’s develop a solution with this 4%,” said the client. It was only at that moment that I realized that cybersecurity is often …

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I’d like to tell you a short story. When working with a client on its security provision, we discovered that it had only devoted 4% of its total IT budget to cybersecurity. “Let’s develop a solution with this 4%,” said the client. It was only at that moment that I realized that cybersecurity is often considered as something that does not yet exist. This is a common misconception, and in some ways, this is the fault of the cybersecurity industry.

So what is cybersecurity?

For a long time, the cybersecurity industry has been doing what customers needed: offering products to protect them from existing threats targeting their networks. Moreover, customers were ready to pay for it, and this is more than logical – if there is a problem, people are ready to pay for a solution. But, as a result, the industry has made no effort to provide customers with a clear understanding of what cybersecurity actually is. Protection of information systems was perceived as adding layers into the system architecture: build an IT infrastructure, put some security on top and you’ll be fine. IT was something that would speed up and simplify a few business processes, but not yet the backbone of business infrastructure.

Competitiveness, as well as effectiveness and profitability, did not depend on IT. As such, cybersecurity was considered as an optional not obligatory part of your business network, demanding an arbitrary amount of investments. People would only spend 4% of their IT budget on security because there was 4% allocated for ‘additional needs’.

Because of this, the industry just sold utilitarian products that worked with more or less any company servers and computers. The only difference between offerings was the number of endpoints and servers which needed protection, or for which budget was available.

Back then, the answer to the question “what is cybersecurity” was simple: cybersecurity is the software you buy to protect your IT infrastructure from malware. However, the modern business environment – at least when it comes to large enterprises – is transforming and so should the cybersecurity industry.

Today we live in an ultra-connected world. In an era of digital economies, where technology has become deeply entrenched in our lives, modern and efficient IT infrastructure is an integral part of any profitable business. When a business thinks about what kind of IT infrastructure it needs, it doesn’t consider how to apply it efficiently, but rather what business goals can be achieved with the technology.

In other words, businesses know exactly what objectives they are aiming at. They want to use the right tools. But, more than that, they are looking for experts to demonstrate and explain what should be done in order to achieve their needs; not just someone who will propose a unified solution that (supposedly) fits everyone.

Yes, modern cybersecurity solutions protect from all the major sophisticated cyberthreats. But that’s not a killer-feature anymore. Security software is rapidly becoming a commodity. Protection from any kind of cyberthreats is not something that modern businesses are looking for. That is something they already have, so it doesn’t solve their cybersecurity challenges.

What would solve them?

The new ultra-connected and digitalized business environment requires a specific approach not just to cybersecurity, but to the very process of accessing cybersecurity. The latter includes not only finding cost-effective security technology that performs well in security tests but also understands what kind of protection a particular business needs. By default, any business has little insight into what specific protection fences they need to build to mitigate emerging attack vectors.

Should a business prepare itself for attempts by Chinese or Russian-speaking hackers? Should they invest considerable money inexpensive solutions that would protect a particular part of the company from disruption? Or is the probability of such an attack so low, that it would be more profitable to have this risk covered by insurance?

Would the NotPetya malware have brought the same amount of damage if the victims had known in advance that – given the global distribution of their business – they should pay more attention to protecting themselves from supply chain attacks?

These and other questions are really hard to answer if you don’t have security expertise. On the other hand, as the experts, the security industry must cease to create one single product that addresses the myriad risks each different businesses face.

That is why the cybersecurity industry is moving from a realm of unified boxed products towards expertise-based, business-needs driven, unique solutions. As an industry, we must start to listen more to what clients are looking for, and we must start putting our knowledge about cyber threats into the context our clients are living in. This means creating specific, tailored and unique solutions to protect businesses from the threats they really risk facing. Not those that would have minimal impact on the performance of the core business IT systems and would be difficult to justify from a budgeting perspective.

The cybersecurity industry needs to learn how to minimize risks based on customer’s goals and desired results, not the threats that customers should be protected from.

Cybersecurity is no longer just about providing software protection from all possible cyber threats, be it malware, spam or advanced persistent threats (APTs). It is not what you buy, but what you get. Previously, a notification from a security product about malware being caught on an endpoint was a sign that you were protected; proof that you made the right investment. Today, a wisely built IT infrastructure armed with specific protection technologies is astonishingly expensive and not cost-effective. It is pointless cybersecurity. A better indicator of cybersecurity is the fact that you didn’t lose a penny due to cyber-incidents in the last quarter.

So, is it realistic to build proper cybersecurity with a limited budget?

Of course, it is. But with one important condition. This budget should be estimated as a result of expert cooperation between a business and an information security vendor. If a company’s IT infrastructure is a vital mechanism that ensures the business functions, then the cybersecurity industry is a vaccine to give this mechanism immunity from problems threatening it without causing any side-effects.

Alexander Moiseev is the Chief Business Officer of Kaspersky

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IMF warns that currency devaluations will not fix a country’s economic problems https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/23/imf-warns-that-currency-devaluations-will-not-fix-a-countrys-economic-problems/ Fri, 23 Aug 2019 11:03:16 +0000 https://ww.dailynewssegypt.com/?p=705858 Monetary easing can help stimulate domestic demand, which in turn benefits other countries by increasing demand for their goods. The concern, however, is that monetary easing also weakens a country’s exchange rate, making exports more competitive and reducing demand for other countries’ imports as they become more expensive—a phenomenon known as expenditure switching

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IMF – Escalating trade tensions are taking a toll on the global economy and are partly responsible for the recent downward revisions to our growth forecasts for 2019-20.

Facing sluggish growth and below-target inflation, many advanced and emerging market economies have appropriately eased monetary policy, yet this has prompted concerns over so-called beggar-thy-neighbor policies and fears of a currency war. In this blog post, we discuss the implications of recent policy actions and proposals and offer alternative ways to address concerns over trade imbalances that are much more supportive of global growth.

Exchange rates can’t do it all

Monetary easing can help stimulate domestic demand, which in turn benefits other countries by increasing demand for their goods. The concern, however, is that monetary easing also weakens a country’s exchange rate, making exports more competitive and reducing demand for other countries’ imports as they become more expensive—a phenomenon known as expenditure switching. With conventional monetary space limited for some advanced economies, this currency channel of monetary easing has received considerable attention. But one should not put too much stock in the view that easing monetary policy can weaken a country’s currency enough to bring a lasting improvement in its trade balance through expenditure switching. Monetary policy alone is unlikely to induce the large and persistent devaluations that are needed to bring that result.

As we estimated in our 2019 External Sector Report , the expenditure switching effects of a currency weakening are generally small, especially within a 12-month period. A 10 percent depreciation (vis-à-vis all currencies) improves a country’s trade balance by about 0.3 percent of GDP in the near term, on average, with most of the effects coming through a contraction of imports. In part, this reflects the fact that trade is largely invoiced in dollars, which means that for most countries export volumes tend to respond little to exchange rates in the short run. This applies to key US trading partners, where the bulk of exports to and from the United States are invoiced in dollars. It is worth noting that in the case of the United States, the muted impact on the trade balance reflects a weak response of imports.

To be sure, the adjustment becomes more balanced over time as exports respond more meaningfully to exchange rate movements, although the full expenditure switching effect remains relatively modest: a 10 percent depreciation leads, on average, to a 1.2 percent of GDP improvement in the trade balance over a span of three years. So, while exchange rates facilitate durable external adjustment, the expenditure switching effect of a currency weakening, or its negative impact on trading partners, should not be overplayed.

Counterproductive policy options

To tackle currency overvaluation concerns, policymakers are considering several measures. Some involve imposing tariffs on imports from countries deemed to have undervalued currencies. Can they make a difference? One key aspect is worth keeping in mind: tariffs and exchange rates work differently. A 10 percent tariff does not necessarily offset a 10 percent more appreciated (overvalued) exchange rate. Take for example the trade dispute between the United States and China. Since early 2018, the average US tariff on goods imported from China has increased by about 10 percentage points, and it would increase by another 5 percentage points if recently announced plans to impose additional levies are carried out. Meanwhile, the renminbi has depreciated by about 10 percent relative to the dollar, largely as a result of these trade actions and associated uncertainties—the increased flexibility of the renminbi has allowed it to be a buffer against trade shocks.

Gita Gopinath

One might think that the impact of higher tariffs on imports from China would be offset by the stronger dollar, because as the US currency strengthens Chinese goods should become cheaper. But in reality, as discussed in an earlier blog , US importers and consumers are bearing the burden of the tariffs. The reason: the stronger US currency has had a minimal impact thus far on the dollar prices Chinese exporters receive because of dollar invoicing.

Moreover, higher bilateral tariffs are unlikely to reduce aggregate trade imbalances, as they mainly divert trade to other countries. Instead, they are likely to harm both domestic and global growth by sapping business confidence and investment and disrupting global supply chains, while raising costs for producers and consumers.

Another kind of policy proposal aims to weaken a country’s own currency directly by buying foreign currencies or taxing inflows of capital to offset policies adopted by other countries. These proposals are cumbersome to implement and likely to be ineffective, given the depth of markets for reserve currencies such as the dollar and euro. What is more, they have negative implications for the orderly working of the international monetary system.

Policies of either kind will likely encourage retaliation, undoing any benefit for a single country and simultaneously making all nations worse off, while also possibly violating international obligations such as those to the World Trade Organization.

Constructive, shared solutions

It should be stressed that external positions are not grossly misaligned, and policies to weaken currencies by intervening in foreign exchange markets are much less common today than in the past. External imbalances are down sharply from the peaks seen during the global financial crisis, and the dollar was only moderately overvalued in 2018. This is in sharp contrast to the mid-1980s, when under the Plaza Accord major central banks acted in concert to address a large dollar overvaluation.

While external positions do not present an imminent danger to global stability, actions of the right type are needed to sustain the progress made in reducing imbalances over the last decade and also to strengthen global growth. Both deficit and surplus countries should tackle the underlying macroeconomic and structural sources of imbalances rather than adopt ineffective, or even counterproductive, measures such as tariffs.

Deficit countries, like the United States and the United Kingdom, should reduce budget deficits without sacrificing growth and strengthen the competitiveness of their export industries; options include investing more in skills of workers and encouraging old-age saving. Surplus countries, like Germany and Korea, should use fiscal policy where possible to invest more in infrastructure and adopt reforms that encourage private investment. Such reforms may include supporting innovation through tax incentives for research and development and lowering barriers to entry in business services and regulated professions.

China, whose external position was broadly in line with fundamentals in 2018, also has a role to play. In particular, further structural reforms are needed to ensure a lasting external rebalancing, as it gradually addresses vulnerabilities from the high levels of private and public debt (see the 2019 Article IV consultation for China ). Steps include reforming state-owned enterprises, enhancing the social safety net, opening up more sectors to private and foreign competition, and removing impediments to trade.

Finally, both surplus and deficit countries must recognize that they share the responsibility to secure a stronger and more balanced global economy. That means finding durable solutions to trade disputes to address concerns about export subsidies and weak intellectual property protection, while also modernizing the international trade system in areas such as services and e-commerce. There are serious problems to contend with, such as rising inequality and sluggish growth. Currencies are neither the hammer nor the nail.

Gustavo Adler is a Deputy Division Chief at IMF’s Research Department.

Luis Cubeddu is head of the Open Economy Division in the IMF’s Research

Gita Gopinath is the Economic Counsellor and Director of the Research Department at the IMF

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“Phantom of the Opera” normalises violence in society https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/21/phantom-of-the-opera-normalises-violence-in-society/ Wed, 21 Aug 2019 20:53:32 +0000 https://ww.dailynewssegypt.com/?p=705701 Almost every day we read hundreds of reports of violence triggered by ethnic, religious or cultural hatred all over the world. It was dreadful to hear about the recent massacre at Walmart in Texas

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Violence is the biggest threat to peace and security in today’s world. According to statistics, each year, over 1.6 million people worldwide lose their lives to violence.

Almost every day we read hundreds of reports of violence triggered by ethnic, religious or cultural hatred all over the world. It was dreadful to hear about the recent massacre at Walmart in Texas, in which the shooter targeted Mexicans only and let both whites and African Americans live.  Most seriously, we started to discuss the prevalence of violence perpetrated by police officers against unarmed people in established democracies such as France, Spain and Italy. Earlier in August, a local man lost his life in the western French city of Nantes following a violent clash between police and people attending a music festival. These horrific events indicate only one truth that people today, in all cultures and countries, use violence to get their arguments and points across.                      

  

Marwa El- Shinawy

Certainly, violence is not intrinsic to human nature as much as it is a man-made phenomenon. In many ways, violence has been normalised through the pop culture we consume. Arts and drama are among the most effective ways that create a cultural acceptance of violence, promoting a social tolerance of violent behaviour in society. Dramatized violence has been a feature of entertainment throughout history. The realistic portrayal of violence is considered as one of the distinguishing marks of great artists like for example Edward Bond, who legitimised the depiction of violence in drama on the pretext of presenting a realistic image of society. In many dramatic works of high artistic value and massive popularity, brutality appears to be justified, and terrorist acts go unpunished. The history of drama is replete with works that propagate violence that it has become normal for us to see it as a means of gaining power and authority.

   The world’s most famous musical The Phantom of the Opera, which celebrates this year its 31st anniversary on Broadway, and its 33 record-breaking years at the Majestic Theatre in London, is a living example of the great classics that romanticize violence and spread it in society.   

Based on the novel written by Gaston Leroux in 1910, The Phantom of the Opera musical has become one of the world’s most commercially successful theatrical productions that the BBC characterized it as the “most successful entertainment venture of all time.”

The show has travelled the world and entertained millions of people. Most importantly, the play is incredibly popular with both school and college groups. However, The Phantom of the Opera is the story of a disfigured, angry man who lives beneath a Paris opera house and terrorises its cast and crew so that his beloved, Christine, can have a chance to sing the lead part. The play represents gratuitous violence in a romantic mode. The lover- phantom is nothing but a cold-blooded assassin, who does not hesitate to harm other people to assert his authority. The narrative of the play is driven by violence and the desire to dominate over others.      

    Doubtless, this critique does not underestimate this great, timeless play with its high-octane music composed by Andrew Lloyd Webber in his most inspired mode and the brilliant dramatic staging of Harold Prince, who passed away a few weeks ago. Nevertheless, it is necessary to condemn violence in drama, especially the widespread classical works that normalize and romanticize violence and we study them in schools and colleges. In light of the current political and cultural climate, banning violence in the drama is no less important than criminalizing it in constitutions and laws. Violence in media, dramatic arts, and popular culture should be moved onto the public health agenda as the prevention of violence have become the subject of urgent social debate.

Marwa El- Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for the Cairo International Festival for Contemporary and Experimental Theatre

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Egypt faces an enviable economic opportunity but needs to up its game https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/21/egypt-faces-an-enviable-economic-opportunity-but-needs-to-up-its-game/ Wed, 21 Aug 2019 19:12:29 +0000 https://ww.dailynewssegypt.com/?p=705699 Saudi particularly is restructuring and rebalancing to create a more sustainable combination of industry, finance and services. So, to one extent or another, are all the Gulf countries. As these economies move towards normalisation, they will understand the vital importance of regional trade and investment

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In the face of sluggish global growth, increased economic nationalism, trade wars, high debt levels and a roll-back in globalisation, investors could be forgiven for being bearish on Egypt. But they shouldn’t be, for three good reasons.

First: Egypt’s near neighbours and allies in the Gulf are changing the models of their economies. The old model of exporting oil and living on the income is over. Saudi particularly is restructuring and rebalancing to create a more sustainable combination of industry, finance and services. So, to one extent or another, are all the Gulf countries. As these economies move towards normalisation, they will understand the vital importance of regional trade and investment. MENA regional trade has the lowest economic share of any region – with no logistical or geographic reason. There is huge potential for growth now the political will is there.

Second: global trade and investment is yesterday’s game. The three decades from 1990 will be seen as the highpoint of globalisation as an economic trend. The rise of China and capital flow and trade liberalisation created a one-off opportunity for companies and financial institutions to globalise. The financial crisis put paid to the global ambitions of many financial institutions and the political turmoil, driven in part by offshoring and production relocation made the continuation of that trend unacceptable to policy-makers in the West (it never really was acceptable elsewhere). Now the focus is on adding value in the domestic economy and very selectively operating businesses in other markets where the profit opportunity of that market is clear. Producing to export is still important – but the trend is towards localisation. This further supports Egypt’s opportunity in regional trade. Tariffs and quotas internationally will reduce competition in some of Egypt’s export markets and it can take advantage of its preferential and politically neutral agreements with major economies everywhere. So far Egypt has managed to maintain good relations with all trading blocs: US, China, EU and Russia. It should continue to do so.

Third: the diversified nature of Egypt’s economy, its size and its population make it uniquely attractive as a destination for FDI in an FDI-challenged world. We’re seeing daily news of new FDI into Egypt, new support and financing from multilateral and regional institutions and the announcement of new initiatives. Whilst Egypt needs to maintain its strategic relationships with its allies and partners – it can be pleased that its structural characteristics make it fundamentally an attractive destination compared with its peers.

However, a note of caution. Egypt can be, to foreign investors, a challenging place to do business. The World Bank’s Ease of Doing Business report lists Egypt at number 120 out of 190 countries. Any foreigner who has done or is trying to do business in Egypt knows this. The policies may be encouraging but the implementation needs to be streamlined. Large companies supported by multilateral in capital-intensive sectors can manage this task. SME investors in employment producing sectors such as services and technology – will find this a bit more difficult. Egypt understands that, to capitalise on the unique opportunity it faces, it needs to step up its game. The rewards will be worth it.

Richard Banks is consulting editor to Euromoney Conferences, the opinions in this article are his own.

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Pseudoscience is taking over social media – and putting us all at risk https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/07/pseudoscience-is-taking-over-social-media-and-putting-us-all-at-risk/ Wed, 07 Aug 2019 19:53:20 +0000 https://www.dailynewsegypt.com/?p=704764 The recent study by Joachim Allgaier of RWTH Aachen University in Germany analysed the content of a randomised sample of 200 YouTube videos related to climate change

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The Conversation – Search for “climate change” on YouTube and before long you’ll likely find a video that denies it exists. In fact, when it comes to shaping the online conversation around climate change, a new study suggests that deniers and conspiracy theorists might hold an edge over those believing in science. Researchers found evidence that most YouTube videos relating to climate change oppose the scientific consensus that it’s primarily caused by human activities.

The study highlights the key role of social media use in the spread of scientific misinformation. And it suggests scientists and those who support them need to be more active in developing creative and compelling ways to communicate their findings. But more importantly, we need to be worried about the effects that maliciously manipulated scientific information can have on our behaviour, individually and as a society.

The recent study by Joachim Allgaier of RWTH Aachen University in Germany analysed the content of a randomised sample of 200 YouTube videos related to climate change. He found that a majority (107) of the videos either denied that climate change was caused by humans or claimed that climate change was a conspiracy.

The videos peddling the conspiracy theories received the highest number of views. And those spreading these conspiracy theories used terms like “geoengineering” to make it seem like their claims had a scientific basis when, in fact, they did not.

Health misinformation

Climate change is far from the only area where we see a trend for online misinformation about science triumphing over scientifically valid facts. Take an issue like infectious diseases, and perhaps the most well-known example of the measles-mumps-rubella (MMR) vaccine. Despite large amounts of online information about the vaccine’s safety, false claims that it has harmful effects have spread widely and resulted in plummeting levels of vaccination in many countries around the world.

But it’s not just well-known conspiracy theories that are causing a problem. In May 2018, one troublemaker came into his own at the height of the Nipah virus outbreak that eventually claimed 17 lives in the southern Indian state of Kerala. He duplicated the letterhead of the District Medical Officer and spread a message claiming that Nipah was spreading through chicken meat.

In reality, the scientifically established view is that the fruit bat is the host for the virus. As the unfounded rumour went viral on WhatsApp in Kerala and neighbouring states like Tamil Nadu, consumers became wary of consuming chicken, which sent the incomes of local chicken traders into a tailspin.

The effects of misinformation surrounding the MMR vaccine and Nipah virus on human behaviour should not be surprising given we know that our memory is malleable. Our recollection of original facts can be replaced with new, false ones. We also know conspiracy theories have a powerful appeal as they can help people make sense of events or issues they feel they have no control over.

This problem is complicated further by the personalisation algorithms underlying social media. These tend to feed us content consistent with our beliefs and clicking patterns, helping to strengthen the acceptance of misinformation. Someone who is sceptical about climate change might be given an increasing stream of content denying it is caused by humans, making them less likely to take personal action or vote to tackle the issue.

Further rapid advances in digital technologies will also ensure that misinformation arrives in unexpected formats and with varying levels of sophistication. Duplicating an official’s letterhead or strategically using key words to manipulate online search engines is the tip of the iceberg. The emergence of artificial intelligence-related developments such as DeepFakes – highly realistic doctored videos – is likely to make it a lot harder to spot misinformation.

So how do we tackle this problem? The challenge is made greater by the fact that simply providing corrective scientific information can reinforce people’s awareness of the falsehoods. We also have to overcome resistance from people’s ideological beliefs and biases.

Social media companies are trying to developing institutional mechanisms to contain the spread of misinformation. Responding to the new research, a YouTube spokesperson said: “Since this study was conducted in 2018, we’ve made hundreds of changes to our platform and the results of this study do not accurately reflect the way that YouTube works today … These changes have already reduced views from recommendations of this type of content by 50% in the US.”

Other companies have recruited fact checkers in large numbers, awarded research grants to study misinformation to academics (including myself), and search terms for topics where misinformation could have harmful health effects have been blocked.

But the continuing prominence of scientific misinformation on social media suggests these measures are not enough. As a result, governments around the world are taking action, ranging from passing legislation to internet shutdowns, much to the ire of freedom-of-speech activists.

Scientists need to get involved

Another possible solution may be to hone people’s ability to think critically so they can tell the difference between actual scientific information and conspiracy theories. For example, a district in Kerala has launched a data literacy initiative across nearly 150 public schools trying to empower children with the skills to differentiate between authentic and fake information. It’s early days but there is already anecdotal evidence that this can make a difference.

Scientists also need to get more involved in the fight to make sure their work isn’t dismissed or misused, as in the case of terms like “geoengineering” being hijacked by YouTube climate deniers. Conspiracy theories ride on the appeal of certainties – however fake – whereas uncertainty is inherent to the scientific process. But in the case of the scientific consensus on climate change, which sees up to 99% of climate scientists agreeing that humans are responsible, we have something as close to certainty as science comes.

Scientists need to leverage this agreement to its maximum and communicate to the public using innovative and persuasive strategies. This includes creating social media content of their own to not only shift beliefs but also influence behaviours. Otherwise, their voices, however highly trusted, will continue to be drowned out by the frequency and ferocity of content produced by those with no concrete evidence.

Santosh Vijaykumar is the Vice Chancellor’s Senior Research Fellow in Digital Health at Northumbria University, Newcastle

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AI can be the key to improve government services https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/07/ai-can-be-the-key-to-improve-government-services/ Wed, 07 Aug 2019 19:30:54 +0000 https://www.dailynewsegypt.com/?p=704727 Governments must be able to separate the relevant from the insignificant and the public from the confidential to ensure effectiveness and excellent stewardship. Analytics is the key to unlocking the true AI value hidden in this ever-growing data.

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Governments across the region are being challenged to deliver digital services and meet citizen expectations, often even before the citizenry realise the need. Artificial Intelligence (AI) can be the key.

One of the maxims of governments all over the world has long been ‘doing more with less’. To strengthen their competitiveness, nations today are under pressure to adopt the Fourth Industrial Revolution technologies such as artificial intelligence (AI), machine learning, and automation more effectively. Why do Governments need to be competitive? They compete to attract investment, as well as to consistently deliver on an ever-widening range of services to an increasingly tech-savvy population.

There is one key resource, however, that governments don’t lack; and that is data.

According to projections by Seagate in its recent research, Europe, Middle East and Africa, datasphere will increase to 48.3 Zettabyte in 2025. To visualise the vastness of this number, think of it as greater than the estimated number of grains of sand in the entire Arabian Desert! That the region will generate this much data from everyday citizen actions should not be surprising – the Middle East is one of the most digitally connected regions in the world, with smartphone penetration above 100% in some GCC states and some of the world’s highest social media usage rates.

Governments in the region have plenty of big data to work with, and doing more with it requires the power of advanced data analytics. Put simply, big data analytics enables governments to examine large amounts of data to uncover hidden patterns, correlations, and other insights, and effectively convert the swathe of data into a platform for AI.

Governments must be able to separate the relevant from the insignificant and the public from the confidential to ensure effectiveness and excellent stewardship. Analytics is the key to unlocking the true AI value hidden in this ever-growing data.

While governments have been collecting data for years, they have been slow to realise the benefits they could realise from it. The opportunity is in unifying data silos so that government leaders can pinpoint the intelligence in their data. The AI capabilities that are now enabled on big data – the big-picture view of what is happening, why it happened, and what is likely to happen next – enables authorities to build connections across agencies that help to better serve citizens.

A recent example is how the Abu Dhabi Judicial Department (ADJD) applied AI-based analytics solutions to make the most of its data and deliver value by enabling quicker and better decision-making. The department implemented machine learning capabilities to easily identify and segment customers, process their requests promptly, enable more informed decision-making using analytics, improve access to data, enhance the quality and consistency of its judgements, and prepare customised, real-time reports for the management and customers.

By using tools such as AI and machine learning, administrators can gain deeper insights across a wide spectrum, and go as specific as individual sectors and even organisations. For instance, healthcare authorities are using AI on data gathered from hospitals, research institutes and other bodies to nip epidemics early, by detecting patterns in reported illnesses, determining the best response and care, and enforcing preventive measures.

The amount of data available to governments is only going to increase. Interconnectivity and interoperability between smart devices are growing and producing even more data, helping to drive the Internet of Things (IoT). We are moving from smart devices to smart cities, with Dubai and other cities in the region focusing on digitizing their services. The young, tech-savvy population in the region increasingly expect government services to provide the same level of service they receive from the private sector. Governments’ investment in infrastructure must include smart technology to promote AI-enabled efficiency, to deliver quality, digitally-powered citizen experiences.

One of the big fears around a growing reliance on AI is the potential impact on jobs, with the very mention of automation immediately throwing up fears that long-held jobs may be eliminated. While this may be true in certain instances, it is by no means at the scale that many fear. According to Gartner, AI will stimulate 2.3 million new jobs by 2020, while HSBC Bank has identified several new job titles – including algorithm mechanic, conversational interface designer and digital process engineer – that could become commonplace in the future.

Whether spurring the Government to take action in preparation for the labour market of the future, or preparing employees for tomorrow’s work environment, we once again turn to analytics to understand the best tasks to automate, the processes to digitise, and the roles to modernise.

A recent EMEA survey commissioned by SAS states that nearly three-quarters of organizations (72%) claim that analytics helps them generate valuable insight and 60% state their analytics resources have made them more innovative. Greater use of analytics-powered intelligence in workforce planning will enable government employees to serve the public more effectively.

Across sectors and focus areas, AI is slated to be a tremendous disruption to the public sector. Whether tackling national health issues, responding to a local disaster, protecting against the loss of sensitive information or intellectual property, or simply making government more efficient, the analytical insights you can gain from your stores of big data can improve outcomes that have a direct impact on citizens.

The data revolution has transformed the world as we know it. It’s disruptive, exciting, and, let’s face it, a bit overwhelming! It is, however, a significant opportunity for governments to become more data-driven and forever change the way they serve their citizens.

Shukri Dabaghi is the Vice President for the Middle East and Eastern Europe, SAS Institute

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Cleopatra causes controversy in Edinburgh Festival Fringe 2019 https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/08/07/cleopatra-causes-controversy-in-edinburgh-festival-fringe-2019/ Wed, 07 Aug 2019 18:25:10 +0000 https://www.dailynewsegypt.com/?p=704724 This extraordinary commencement gave the festival its distinctive identity, transforming it into an attractive space for creative experimentation in the arts, and a platform for the budding artists to be discovered and to make a name for themselves.

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The Edinburgh Festival Fringe is considered to be one of the most famous celebration of the arts and entertainment in the world. Undeniably, it is the world’s largest arts festival that takes place annually in Edinburgh, Scotland, in the month of August.

Edinburgh Festival Fringe was founded in 1947 when eight theatrical groups arrived in the capital city, uninvited, hoping to showcase their productions in the newly formed Edinburgh International Festival. Failing to get a spot on the programme, they decided to perform in whatever venues they can find on the ‘fringes of the festival’.

This extraordinary commencement gave the festival its distinctive identity, transforming it into an attractive space for creative experimentation in the arts, and a platform for the budding artists to be discovered and to make a name for themselves.

Till today the festival is well known for being a place for new artists to catch the critics’ eyes. Numerous brilliant performers found their fame at the Fringe like Robin Williams, Steve Coogan, Miranda Hart, and Rachel Weisz who first attended the fringe in 1991, where she was spotted by an agent to star in “The MUMMY”  and “The Constant Gardener”, which earned her an Oscar in 2005.

One could argue, that most of today’s leading writers, directors, and actors have started out in the Fringe.

Similarly, several shows have deputed at the Fringe and then gone on to wider fame like “The Play that Goes Wrong” by  Henry Lewis, and ” Black Watch” by Gregory Burk, which portrays soldiers in the Black Watch regiment of the British Army serving  in Iraq during 2004 on Operation TELIC(the codename under which all of the United Kingdom’s military operations in Iraq were conducted between the start of the Invasion of Iraq on 19 March 2003 and the withdrawal of the last remaining British forces on 22 May 2011).

This year the Fringe keeps its commitment to enrich the artistic field with multi-talented artists by presenting the Olivier award-winning actress Sheila Atim as a playwright for the first time. Atim’s first-ever written play Anguis is an experimental play in both style and subject matter, which tackles the life of the great pharaoh Cleopatra.

As is known, Cleopatra VII, often simply called “Cleopatra,” was the last of a series of rulers called the Ptolemies who ruled Egypt for nearly 300 years. She was also the last true pharaoh of Egypt, who ruled an empire that included Egypt, Cyprus, part of modern-day Libya and other territories in the Middle East.

Cleopatra is mostly remembered for her beauty and love affairs with Julius Caesar and Mark Antony, and for her dramatic death as well. However the play does not tell the life story of the last queen of Egypt in a traditional way, taking the well –known facts in literature about Cleopatra as indisputable facts.

On the contrary, Anguis takes place in the modern day ,in a broadcast recording studio, where an interview between Cleopatra  (Paksie Vernon) and a contemporary virologist, Kate (Janet Kumah), calls to question all what we think we know about the memorable queen.

Considerably, the play adopts a critical approach to reinvestigate the common myths of Cleopatra’s story, especially her death by an asp, highlighting the distinction between the fictional character of the Egyptian queen that is firmly anchored in the people’s minds and her real identity, which is still mysterious until now.

The play also discusses several current issues from the same critical perspective, emphasizing our shared responsibility to seek out the truth. The play is directed by Lucy Jane Atkinson and is listed as one of 12 plays to watch in the festival.

Marwa El-Shinawy holds a PhD in American theatre, and is a member of the Higher Committee for the Cairo International Festival for Contemporary an Experimental Theatre

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IMF says it cares about inequality. But will it change its ways? https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/07/31/imf-says-it-cares-about-inequality-but-will-it-change-its-ways/ Wed, 31 Jul 2019 18:45:10 +0000 https://www.dailynewsegypt.com/?p=704097 lender of last resort, the IMF provides countries in economic turmoil with financial support. In return, borrowing countries must often commit to far-reaching policy reforms

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The Conversation – The International Monetary Fund (IMF) has become increasingly infatuated by the negative consequences of excessive inequality. This new-found mission is laudable, but neglects the manifold ways its own policy advice contributed to growing income inequality.

Thomas Stubbs

As lender of last resort, the IMF provides countries in economic turmoil with financial support. In return, borrowing countries must often commit to far-reaching policy reforms. While some view this so-called ‘conditionality’ as a necessary instrument to address the root causes of economic crisis, others point to its adverse social implications.

We examined how policy reforms prescribed in IMF lending programmes affected income inequality for developing countries between 1980 and 2014. We found increases in income inequality by on average 6.5% a year once the programme commenced. These effects persisted for three years.

Our measure of income inequality was the Gini coefficient. A score of 0 means income is equal for everyone in the country; 1 indicates one person earns all the income. For example, the US had an income Gini of 0.379 in 2014. During the period we studied, the Gini coefficient for developing countries with IMF programmes ranged from 0.228 (Belarus, in 1996) to 0.571 (Papua New Guinea in 1996).

Our research advances our understanding of the causes of income inequality, one of the most pressing issues of our time. In particular, we highlight an important yet insufficiently understood international-level determinant of inequality in the developing world: structural adjustment programmes by the IMF.

The impact of IMF programmes

In our work, we detail how IMF lending arrangements affect the income distribution in borrowing countries.

First, the IMF set expenditure reduction targets for borrowing countries. These so-called austerity measures were meant to balance the budget. But cuts in government spending can widen income inequalities because low-income households often depend on government transfers. For example, a lending programme with Togo mandated such reforms between 2008 and 2011. Over this period, income inequality rose by 3.7% (from 0.379 in 2007 to 0.393 in 2012).

Second, the IMF repeatedly mandated the removal of restrictions to trade and financial flows. Policies promoting international economic openness can increase demand for skilled labour in developing countries. But low-skilled labour typically loses out, and income inequality increases. Financial development and capital account liberalisation also favours individuals with access to financial capital and services.

Bernhard Reinsberg

In developing countries, these tend to be people with high incomes. For instance, Sri Lanka had to establish a flexible exchange rate regime to qualify for financial assistance in 2001 (which lasted until 2005). Under the tutelage of the IMF, the Gini coefficient of disposable income increased by 5.6% between 2000 and 2006.

Third, the IMF typically called for reforms on monetary policy, initiated the privatisation of financial institutions, and specified targets for the inflation rate. These measures can increase investor confidence, the benefits of which are mostly felt by individuals with high incomes. For example, in 1982, a lending arrangement with Guatemala included restrictions on the growth of bank lending to the private sector, domestic credit, and credit to the public sector. One year after the programme ended, in 1985, the income Gini was 0.482. This was 0.8% higher than when Guatemala negotiated lending terms with the IMF in 1981.

Finally, IMF targets limiting the provision of new external debt can force governments to reduce social spending since they are unable to fund it. These lower the income share of poor populations who depend disproportionately on government transfers. For instance, IMF-designed reforms for Indonesia in 1998 included criteria to limit external debt. In 2004, after the programme terminated, income inequality had increased by 1.6% .

These findings show that the policy reforms prescribed in lending programmes affect income inequality in multiple ways. Indeed, the Fund appears to have heard the criticism of its policy prescriptions and now devotes considerable attention to inequalities.

But an Oxfam report evaluated IMF pilot projects that were supposed to incorporate inequality analyses and failed to find evidence of policies promoting lower inequality.

Timon Forster

More work to be done

At their most recent annual Spring meeting in April, the IMF and World Bank hosted a seminar ‘Income Inequality Matters’, discussing ways to achieve inclusive growth.

If the IMF is serious about reducing inequality, then it needs to carefully consider the types of conditions included in lending programmes. The 2030 Sustainable Development Goals (SDGs), to which the Bretton Woods institutions remain committed, offer a window of opportunity to address what is one of the most pressing issues of the day.

With just over a decade left to achieve the SDGs, it’s high time the IMF put words into practice regarding tackling inequality to right its wrongs of the past.

Timon Forster is a doctoral candidate in International Relations, Freie Universität Berlin

Bernhard Reinsberg is a lecturer in International Relations, University of Glasgow

Thomas Stubbs is a lecturer in International Relations, Royal Holloway

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Future of US dollar between Trump and the Fed https://dnsvvvvvdnsx17539dnscf.wsjme.com/2019/07/31/future-of-us-dollar-between-trump-and-the-fed/ Wed, 31 Jul 2019 14:00:50 +0000 https://www.dailynewsegypt.com/?p=704069 The view of the Secretary of Treasury is based on the fact that the service sector represents 19.4% of the structure of the US economy, while exports represent 12% of the gross domestic product (GDP), but they directly affect the unemployment rate.

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The risks of the decrease in the value of the United States dollar in the future has become more realistic, according to the forecasts of investors after the International Monetary Fund (IMF) stated that the dollar would be assessed higher than its actual value from 6% to 12%, and according to the view of President Trump, to support the export sector in a short time.

Ehab Zakaria

This view contradicts with the Secretary of Treasury who sees that the power of the US dollar shall remain for a long time. The view of President Trump depends on decreasing the value of the dollar in order to stimulate the US export sector, which was accompanied by the tendency of the Federal Reserve (Fed) to decrease the interest rate. Also, the stall in the commercial negotiations between China and US are considered a reason for the Fed to decrease the interest rate.

The view of the Secretary of Treasury is based on the fact that the service sector represents 19.4% of the structure of the US economy, while exports represent 12% of the gross domestic product (GDP), but they directly affect the unemployment rate.

The revenues of US companies depend on the local market by 70%. If we assess the percentage of the dependence of sectors on the local market, we would find that the communications’ sector depends on the local market by 96%, while the utility sector depends on local market by 95%. These sectors would not benefit from the decrease in the currency value.

But, the technological sector, which depends on the local market by 59%, and also the raw materials sector, which depends on the local market by 51%, are the beneficiaries. Thus, China thinks that the decrease in the currency value is considered a currency war within an economic war.

A research issued by Morgan Stanley Bank reports that the dollar reached the top, and accompanied by the decrease of the stock price and the beginning of the increase of the revenues of the treasury bills, the expected slowdown would affect the growth of the US economy (the growth is expected to be by 2.3% next year, while the growth this year is by 2.9%).

Thus, that would lead to the decrease in the value of the dollar, and would be an optimistic view, regarding developing markets. A similar research by City Group stated that the dollar would be liable to decrease from 2% to 10% during a period from 6 to 12 months, while researches by JPMorgan Chase stated that the dollar would decrease in 2019, and would continue to decrease for many years if the growth rate of the US economy stayed below 2%.

Goldman Sachs emphasises that the probability of the decrease would be high in a year, while the ING Investment Bank asserted that the actual value of the dollar is less than expected. Moreover, Bloomberg Agency confirmed the expected decrease.

At the end of the second world war, and the rise of the US as a superpower, and according to the Bretton Woods Agreement for the cash management of the exchange rate signed in 1944, the US dollar became the currency of the cash reserves of countries. It was connected to the price of the gold, provided that the US shall be committed to replace the dollar by gold if necessary.

That framework continued until 1971 when US President Richard Nixon declared the cease of the replacement of the dollar by gold. The US dollar represents 60% of the cash reserves of countries and 40% of the transactions worldwide. Moreover, 85% of the commerce is based on the dollar and also 39% of the debts. In addition to that, the oil and gold trade depend on the dollar.

The expected decrease in the value of the US dollar may be an objective of Trump’s administration in order to stimulate the US export sector, and the increase of the interest rate may affect developing markets and would ward off the investments from them.

Ehab Zakaria is the chairperson of Kasr El Salam – Real estate & Commercial investement

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