Wednesday 24 April 2019

US likely to face ultimate defeat in Venezuela


Over the years, many of US analysts, politicians, academicians and media pundits have been predicting the imminent fall, overthrow, defeat and replacement of the Venezuelan government. They have been proven wrong on almost all the counts. In fact, most of the US induced regime change efforts have strengthened the support for the Chavez – Maduro government.

A more recent example is the proclamation of the US President that his country was prepared to invade Venezuela. His threat aroused massive popular resistance in defense of national independence, even among discontented sections of t population. Analysts say Venezuela has become the whirlpool of a global struggle which pits the imperial aspirations of Washington against an embattled Venezuela intent on defending its own. A question being asked, why Washington has failed?

The US assault on Venezuela’s state and society includes:
(a)  A military coup in 2002
(b)  A lockout by the executives of the Venezuelan oil company
(c)  The exercise of US political pressure via clients and allies in Europe, South and North America
(d)  Escalating economic sanctions between 2013 – 2019
(e)  Street violence during 2013 – 2019
(f)  Sabotage of the entire electrical system between 2017 -2019
(g)  Hoarding of goods via corporations and distributors from 2014 – 2019
(h)  Subversion of military and civilian institutions 2002 – 2019
(i)  Regional alliances to expel Venezuelan membership from regional organizations
(j)  Economic sanctions accompanied by the seizure of over $10 billion dollars of assets
(k)  Sanctions on the banking system
(l)   US direct intervention including selection and appointment of opposition leaders and ‘dummy’ representatives overseas.

In brief, the US has been engaged for two decades to bring down the Venezuelan government. It combines economic, military, social and media warfare. The US strategy has reduced living standards, undermined economic activity, increased poverty, forced immigration and surged crimes. Despite that the sole surviving super power has failed to dislodge the government and impose a client regime.
Despite the two decades of pressure by the world’s biggest imperial power, which led to the highest rate of inflation and despite the illegal seizure of billions of dollars of Venezuelan assets, the people remain loyal to their government. The reasons are clear and forthright.

The Venezuelan majority has a history of poverty, marginalization and repression, including the bloody massacre of thousands of protestors in 1989. Millions lived in shanty towns, excluded from higher education and health facilities. The US provided arms and advisers to buttress the politicians who now form the greater part of the US opposition to President Maduro. The US- oligarch alliance extracted billions of dollars from contracts from the oil industry.

The second reason for the defeat of the US is the long-term large-scale military support of the Chavez-Maduro governments. Former President Chavez instilled a powerful sense of nationalist loyalty among the military which resists and opposes US efforts to subvert the soldiers.

The Venezuelans government defeated the US-backed coups and lockouts, these victories encouraged the belief that the popular government could resist and defeat the US-oligarch opposition. Victories strengthened confidence in the will of the people.
The cumulative socio-economic benefits consolidate support for the Venezuelan leadership despite the hardships the US induced in recent times. The mass of the people have gained a new life and have a lot to lose if the US- oligarchy return to power. A successful US coup will likely massacre tens of thousands of popular supporters of the government. The bourgeoisie will take its revenge for those who have ruled and benefited at the expense of the rich.

The Venezuelan government retained mass electoral support because of the deep socio-economic changes that entrenched mass support in contrast to the center-left regimes in Argentina, Brazil and Ecuador which won three elections but were defeated by their right-wing opponents, including electoral partners, with a downturn in the economy, and the flight of middle-class voters and parties.

Venezuela linkages with allies in Russia, China and Cuba provided ‘life jackets’ of economic and military support in the face of US interventions, something the center- left governments failed to pursue. Venezuela built regional alliances with nearly half of South America, weakening US attempts to form a regional or US invasion force.


Saturday 20 April 2019

Legitimacy of US acts against Venezuela


The US has undertaken various steps for bringing regime change in Venezuela. As usual, it has been joined by some member countries of European Union. Though, the super power has failed in achieving its objective, people of Venezuela are bearing extreme distress. Does the civilized world have the slightest realization that the US actions to execute regime change in Venezuela are illegal?
In January, Juan Guaidó declared himself interim president, in a strategy orchestrated by the US to seize power from President Nicolás Maduro. In March, Guaidó announced that Operation Freedom, an organization established to overthrow the Maduro government, would take certain tactical actions beginning in April. The plan anticipated that the Venezuelan military will turn against Maduro.
This strategy was detailed in a regime change manual prepared by the US Global Development Lab, a branch of the US Agency for International Development (USAID). The manual advocated the creation of rapid expeditionary development teams to partner with the CIA and US Special Forces to conduct a mix of offensive, defensive, and stability operations in extremis conditions.
Guaidó is funded by USAID’s sister organization, the National Endowment for Democracy, which is notorious for meddling in other countries and putting a good face on the CIA’s dirty business. The US generally opts for low-intensity conflict over full-scale wars. The low-intensity conflict involves four tools of regime change: sanctions or economic warfare; propaganda or information warfare; covert and proxy war; and aerial bombardment. In Venezuela, the US has used the first and second, with the third and fourth now on the table since the first two have created chaos but so far not toppled the government.
The sanctions imposed by the Trump administration in January had an immediate, very harsh impact on Venezuela’s economy, and on the general population, which depends on the export revenue from oil for essential imports including medicine, food, medical equipment, and other life-saving necessities. Johns Hopkins Bloomberg School of Public Health and Human Rights Watch issued a report documenting food and medicine shortages and sharp increases in disease throughout Venezuela. They characterize the situation as a humanitarian emergency and recommend a full-scale response by the United Nations Secretary General.
 The US misuse of humanitarian assistance as a cover for smuggling weapons and other non humanitarian items also has a long history in Latin American countries, Alfred De Zayas, former UN special rapporteur in Venezuela, said in an interview with AntiDiplomatico. De Zayas called out the United States for its hypocritical policy: “It is not possible to be a major cause of the economic crisis — having imposed … sanctions, financial blockades and economic war — and then mutating into a good Samaritan.”
The US is adamant at increasing the suffering of the Venezuelan people, in hopes they will rise up against Maduro. Similar approach was used by the Eisenhower administration after the 1959 Cuban Revolution. It was based on a State Department memo that proposed a line of action that makes the greatest inroads in denying money and supplies to Cuba, to decrease monetary and real wages, to bring about hunger, desperation and the overthrow of the Fidel Castro government. The US economic blockade against Cuba continues to hurt the people but they have not overthrown their government.
Venezuela has asked for and received assistance from the United Nations, Russia, China, Turkey, India and Cuba, De Zayas reported that was humanitarian and offered in good faith and without strings attached. US aid is the fruit of the poison tree.
On April 3, Sen. Marco Rubio, who has helped lead the charge for regime change in Venezuela, introduced a bill in the Senate aimed at getting approval of US$400 million assistance for Venezuela and take steps to facilitate regime change. It would assessed the declining cohesion inside the Venezuelan military and security forces and the Maduro regime, and described the factors that would accelerate the decision making of individuals to break with the Maduro regime and recognize Guaidó as interim president of Venezuela.
At the end of March, the Russian government sent 100 troops to Venezuela. Russia’s Foreign Ministry Spokeswoman Maria Zakharova said, “Russian specialists … arrived in accordance with the clauses of a bilateral agreement on technical-military cooperation.”
In early April, Russia announced plans to install a training facility for military helicopters in Venezuela. The Trump administration is rattling its sabers at Russia. US National Security Adviser John Bolton warned that the US considers the presence of military forces from outside the Western Hemisphere a direct threat to international peace and security in the region. Russia, however, denies that its military presence in Venezuela poses a military threat. “The Russian side did not violate anything: neither the international agreements nor Venezuelan laws,” according to Zakharova.
Venezuelan Foreign Affairs Minister Jorge Arreaza cited the hypocrisy of U.S. policy. He said “Such cynicism that a country with more than 800 military bases around the world, much of them in Latin America, and a growing military budget of more than US$700 billion, intends to interfere with the military-technical cooperation program between Russia and Venezuela.”
In late March, the US House of Representatives approved a bill called the “Russian-Venezuelan Threat Mitigation Act” to gauge Russia’s influence in Venezuela. It aimed to devise a strategy to counter threats from Russian-Venezuelan cooperation. The bill also required assessment of national security risks posed by potential Russian acquisition of CITGO’s United States energy infrastructure holdings.
To conclude the UN Charter prohibits the use or threat of force against the territorial integrity or political independence of another nation. The Charter of the Organization of American States forbids any country from intervening in the external affairs of another nation. And the International Covenant on Civil and Political Rights guarantees the right to self-determination.


Saturday 13 April 2019

US declares Islamic Revolutionary Guard Corps of Iran "Terrorist Organization"


On 8th April 2019, the US declared Islamic Revolutionary Guard Corps (IRGC) of Iran, a Foreign Terrorist Organization. The IRGC is Iran’s most powerful military and security organization as well as a key economic player. "This unprecedented step, led by the Department of State, recognizes the reality that Iran is not only a State Sponsor of Terrorism, but that the IRGC actively participates in, finances, and promotes terrorism as a tool of statecraft," said the US President Donald Trump.
The IRGC was created after the 1979 revolution to enforce Ayatollah Ruhollah Khomeini’s concept of an Islamic state. The Guards played a crucial role not only in crushing early opposition to Khomeini’s vision, but also in repelling Saddam Hussein’s invasion of Iran in 1980. Since then, the Guards have functioned as both the primary internal and external security force. 
This declaration represents the latest escalation of the US administration’s "maximum pressure" campaign targeting Iran’s malign activities. The IRGC was already designated under US Treasury counter-proliferation authorities (EO 13382) in 2007, and then again for human rights abuses ‑ along with the Basij Resistance Force and the Law Enforcement Forces ‑ under EO 13553 in 2011.  
Iran responded to this action by saying, “The major effect of this designation is to make it extraordinarily difficult for the US to bring Iran back into the global community of nations and global financial system at any point in the future if political circumstances merit such a climb down.” Iranian officials also do not view this latest development as a precursor to a military conflict between Iran and the US. 
Detaining additional US citizens, testing missiles, or renewing harassment of US vessels in the Gulf are low-risk options that Iran could pursue in response to the IRGC designation.
Iran’s Supreme National Security Council (SNSC) responded to the State Department’s designation of the IRGC by designating the US government as a state sponsor of terrorism and US Central Command (CENTCOM) and all its forces as a terrorist organization. President Hassan Rouhani threatened to restart Iran’s nuclear program in a speech marking the National Day of Nuclear Technology. 
Iranian newspapers spanning the country’s political spectrum reacted to the US State Department’s designation of the IRGC as a foreign terrorist organization with a mix of outrage, bombast, and expressions of solidarity with the IRGC.  
International reaction to the IRGC designation has been mixed. Israeli Prime Minister Benjamin Netanyahu thanked President Donald Trump for the move in a pair of tweets in English and Hebrew. Iraqi Prime Minister Adil Abdul-Mahdi said that his country tried to dissuade the US from proceeding with the designation. 

Tuesday 26 March 2019

Eight Years of Corrosive Lies about Syria


The western media, under the clutches of Zionists, is never tired of promoting United States as the biggest democracy and peacekeeper on this planet. The bitter reality is opposite and only displayed in social media, which is often not liked by those at the top of helm of affairs even in the United States. The most recent evidences are ongoing turmoil being created in Venezuela and the failed efforts to topple the incumbent government in Syria of the United States.  
The hallmark of the US administration is telling lies and spreading disinformation with such a frequency that often a person with average wit is misled and start believing in lies. It may be said that the US spy agencies tell lies the way authoritarians do to demonstrate and expand their power. Three of the most glaring examples of blatant lies of spy agencies are presence of OBL in Afghanistan, manufacturing of WMD by Iraq and nuclear program of Iran. All this could be best understood if one just has a cursory look at eight years of corrosive lies of the US administration about Syrian war.
Let us begin with a story published in the Wall Street Journal about Syria telling that the United States may leave 1,000 troops in that country after all. If one can recall, the US president had announced a complete withdrawal of troops from Syria months ago. Then, weeks later the White House announced that a small force of 200 would stay behind. Now, the Journal was reporting that it would actually be 1,000. A few hours later the chairman of the Joint Chiefs of Staff said the original plan remained unchanged.
Reviewing three assertions routinely made about Syria by pundits, politicians, and policymakers show complete hypocrisy: 1) Syria shows the perils of U.S. non-intervention; 2) We’re only in Syria to fight ISIS and 3) U.S. withdrawal from Syria would mean handing a victory to Vladimir Putin. All of the above statements have become conventional wisdom. The same people sometimes repeat more than one of them, but they are entirely irreconcilable with one another.
If withdrawing from Syria means handing a victory to Vladimir Putin, then the US is doing something other than fighting ISIS there, something that certainly can’t be described as non-intervention.
CIA began the US mission in the Syrian Civil War years before ISIS came into being, and a full year before President Barak Obama began talking up his red lines and proposing a congressional vote to authorize intervention in Syria.
The world was told that the US was arming moderate rebels, but these moderate rebels fought side by side Al Nusra fighters who were often known to be using weapons brought in by the CIA or the Department of Defense to fight this war in which the US was not intervening. The US also funded a group called Nour al-Din al-Zenki, until its members showed up on YouTube beheading a child, at which point the moderate label no longer quite fit.
Apparently the Congress refused to authorize US military intervention in Syria, which was already ongoing. Did the intervention stopped? No, it continued under the 2001 AUMF that authorized the president to make war on al-Qaeda. The US is now using the legal authority to hunt and destroy al-Qaeda to fund and arm al-Qaeda’s allies on the ground in Syria.



United States gets ready to open a new military base in Oman


According to a Reuters report, the United States secured a strategic port deal with Oman that will allow the US military better access to the Gulf region and reduce the need to send ships through the Strait of Hormuz, a maritime choke point off Iran. The U.S. embassy in Oman said in a statement that the agreement governed U.S. access to facilities and ports in Duqm as well as in Salalah and reaffirms the commitment of both the countries to promoting mutual security goals.
The accord is viewed through an economic prism by Oman, which wants to develop Duqm while preserving its Switzerland-like neutral role in Middle Eastern politics and diplomacy. As the US concerns grow about Iran’s expanding missile programs that has improved in recent years, despite sanctions and diplomatic pressure by the US.
The deal was significant by improving access to ports that connect to a network of roads to the broader region, giving the US military great resiliency in a crisis. The US used to operate on the assumption that it could just steam into the Gulf. However the quality and quantity of Iranian weapons raises concerns.
According to the report, Tehran has in the past threatened to block the Strait of Hormuz, a major oil shipping route at the mouth of the Gulf. These threats were in retaliation for any hostile US action, including attempts to halt Iranian oil exports through sanctions. Still, the agreement is expected to expand US military options in the region in case of any eventuality.
Duqm is ideal port for large ships. It is big enough to turn around an aircraft carrier. The port itself is very important and the geostrategic location is very attractive, being outside the Strait of Hormuz.
For Oman, the deal will further advance its efforts to transform Duqm, once just a fishing village 550 km south of Muscat capital, into a key Middle East industrial and port center, as its diversifies its economy beyond oil and gas exports. The deal will also strengthen US position in the region.



Wednesday 13 March 2019

United States wants global oil industry to support its foreign policy agenda


According to a Reuters news, U.S. Secretary of State, Mike Pompeo has urged the global oil industry to work with President Trump administration to promote U.S. foreign policy interests, especially in Asia and in Europe and to punish the “bad actors” on the world stage. He was addressing the participants of a conference in Houston, where U.S. oil and gas executives, energy luminaries and officials of the Organization of the Petroleum Exporting Countries (OPEC) gather annually to discuss global energy development.
Pompeo said, “Washington would use all its economic tools to help deal with the situation in Venezuela, which is mired in a years-long economic crisis and where socialist President Nicolas Maduro is maintaining power despite being disavowed by the US and about 50 other countries”.
The US has imposed harsh sanctions in the past several months on two major world oil producers, Venezuela and Iran. Washington re-imposed oil sanctions on Iran to curb its nuclear, missile and regional activities. “We’re committed to bringing Iranian crude oil exports to zero as quickly as market conditions will permit,” said Pompeo.
He went on to the extent of saying, “We need to roll up our sleeves and compete – by facilitating investment, encouraging partners to buy from us, and by punishing bad actors.” He also declared, “U.S. oil and gas export boom had given the country the ability to meet energy demand.”
Referring to a natural gas pipeline expansion from Russia to Central Europe, Pompeo warned, “We don’t want our European allies hooked on Russian gas through the NordStream II project, any more than we ourselves want to be dependent on Venezuelan oil supplies.”
Pompeo also met with top oil executives for about an hour to try to persuade energy companies to help the administration’s efforts to boost crude exports to Asia and to support its policy of isolating Iran. The US seems adamant at making significant progress on a Middle East security alliance over the next few months. The alliance is an attempt to form a US-backed bloc of Sunni Muslim countries including Saudi Arabia, the United Arab Emirates and Kuwait as a bulwark against Shi’ite Iranian influence in the Middle East.
Pompeo criticized China for “blocking energy development in the South China Sea through coercive means,” which he said prevents Southeast Asian countries from accessing more than US$2.5 trillion in recoverable energy reserves.
Pompeo also termed Russia’s invasion of Ukraine an attempt to gain access to the country’s oil and gas reserves.

Sunday 3 March 2019

“UK should freeze arms sales to Israel”, demands Jeremy Corbyn


UK Labour Party leader Jeremy Corbyn renewed his call for a British arms embargo against Israel after a United Nations Human Rights Council commission of inquiry said that IDF has likely committed war crimes on the Gaza border.
“The UK government must unequivocally condemn the killings and freeze arms sales to Israel,” Corbyn tweeted on Friday. Last year, the Labour Party approved a motion that called for an arms ban to Israel.
The 22-page report investigated the death of 189 Palestinians by the IDF during the Hamas-led weekly Great March of Return protests which have taken place along the Gaza border.

The UNHRC report was authored by a three-person commission of inquiry, which plans to submit a full report prior to a March 18 debate on the matter at the UNHRC’s 40th session in Geneva.

The report focused primarily on Israeli and not Hamas violence, and concluded that the protests were peaceful. It warned that the International Criminal Court could prosecute Israeli leaders and soldiers.

Last year, the UNHRC passed a resolution which called on all UN member states to halt the sale of any arms to Israel that could be used to violate international human rights law. United States special envoy Jason Greenblatt attacked the UNHRC report on Gaza in a series of tweets.

“This [commission of inquiry] report is another manifestation of the UNHRC’s clear bias against Israel, which remains the only country that the Council dedicates an entire standing agenda item to targeting. When will the HRC speak the truth?” he wrote.
Hamas behaved with reckless irresponsibility [and] disregard for human life when it incited violent (not ‘civilian’) protests, breaches [and] attacks at the Gaza fence-line,” Greenblatt wrote. “Hamas is directly responsible for the miserable situation of the people of Gaza.”

Israel has rejected the report and holds that the protests are violent riots led by Hamas members.

During those riots, Palestinians in Gaza have thrown stones and Molotov cocktails at soldiers. The protesters have attempted to breach the border fence and have placed explosive devices by the fence. Palestinians in Gaza have also launched incendiary devices into Israel, burning thousands of dunams of fields and forests.

Republican lawmakers in the US also spoke out against the report and in support of Israel’s right to self-defense.

Congressman Lee Zeldin, a ranking member of the House Foreign Affairs Subcommittee on Oversight and Investigations and co-chair of the House Republican Israel Caucus, was among those who issued a statement on the matter.

“This one-sided, highly biased and woefully inaccurate report fails to take into account key facts; most evidently, Hamas’s provocation and orchestration of this violence, its purposeful destabilization of order along the border and its continued incursions into Israel’s sovereign soil, including the launching of over 10,000 rockets and mortars on Israeli towns and villages, and the dozens of tunnels, enabling their death squads, since the Israeli withdrawal from Gaza,” Zeldin wrote.

Tuesday 26 February 2019

“Warsaw meeting a failure for Arabs”, says Nuri al-Maliki


Former Iraqi Prime Minister Nuri al-Maliki called the Warsaw conference an “open failure” for Arabs, saying the meeting was primarily intended to deflect attention from the Israeli aggressions in the region to a focus on Iran, according to an ISNA report.
Speaking on Alahad TV, Maliki warned about the aims of the conference and its danger for the entire region.
The Warsaw meeting, co-hosted by the U.S. and Poland was intended to isolate Iran but it ended in failure as major European countries sent low level officials to the meeting and criticized the U.S. for trying to demonize Iran.
U.S. Secretary of State Mike Pompeo, who initially announced that the conference was intended to highlight what he called Iran’s “destabilizing behavior” in the region, was forced to change the agenda of the conference when he faced pressure from Europe and others.
Noting that such moves threaten Iraq and all other regional states, Maliki said the Warsaw conference revealed the “secret relationship” between certain Arab states with the Zionist regime which has been existing since some years ago.
The former prime minister praised the Iraqi government’s position on the conference and its refusal to participate in it.
Citing a story, Maliki said when he was prime minister a foreign minister from an Arab country proposed establishment of “the Middle East economic system” in which Israel would be a member.
 “I told the Arab minister that Iraq will not be party to any organization which Israel would be a member,” explained Maliki.

Saturday 16 February 2019

Hidden agenda of Warsaw Summit


The US decision to host a Middle East conference in Warsaw was a curious diplomatic occasion. A question came to mind, why is this gathering of mainly Western and Arab governments being held in the Polish capital? Poland, which co-hosted the conference, is not known for its involvement in the Middle East's myriad problems.
Some analysts believe that Poland is an active member of the Nato and its dark history at the hands of Russia gives good reasons to get closer to Washington. Indeed some Poles are eager to see a large fully-fledged US military base on their soil. But one is left with the nagging thought that this meeting was in Poland primarily for one reason - none of Washington's other close partners in Europe were eager to host it.
This gathering was arranged by the Americans to have an international meeting to increase the pressure on Tehran. But this idea was quickly revised since there was little enthusiasm among some of Washington's Western European allies. Indeed it became evident that putting the spotlight on Iran might simply highlight the divisions in the Western camp in the wake of the Trump administration's decision to pull out of the nuclear agreement - the JCPOA - with Tehran.
Therefore, the agenda was broadened to "Promoting a Future of Peace and Security in the Middle East". Iran was not named on the agenda, but included broader issues like humanitarian and refugee challenges, missile proliferation and 21st Century threats like cyber and terrorism.
The Israeli-Palestinian conflict was also not on the agenda, because Palestinians were not attending since they are boycotting the Trump administration.
The US was likely represented by Secretary of State Mike Pompeo but Vice-President Mike Pence and the president's son-in-law, Jared Kushner, (architect of the administration's yet to be revealed Middle East peace plan) would also probably attend. British Foreign Secretary Jeremy Hunt was also expected to be there - at least for the opening session. Other major European players were likely to be represented at a lower level.
Israeli Prime Minister Benjamin Netanyahu was most likely to be there along with representatives of several Arab governments, including Saudi Arabia, Yemen, Jordan, Kuwait, Bahrain, Morocco, Oman and the United Arab Emirates, along with Egypt and Tunisia.
The summit was termed the first major diplomatic gathering where Israel and the moderate Arab States would discuss regional security since the Madrid talks during the early 1990s. Some aspects of the peace process will inevitably come up but Iran is still likely to be a major area of discussion.
There is a fundamental division amongest the participants here. The US, Israel and many of the moderate Arab States see Iran as a malevolent influence in the region, seeking to expand its role at every opportunity. They were skeptical about the 2015 nuclear deal that was intended to constrain Iran's nuclear activities.
Netanyahu is likely to argue that Iran should not be looked at through the prism of divisions between the US and Europe over the nuclear deal. Instead he will argue that it is European values that are at stake. Iran's behavior - its support for terrorism; its human rights abuses, the detention of foreign nationals - are all issues that should matter to European governments.
It is certainly true that foreign ministries in London, Paris and Germany are concerned about Iran's regional behavior and its developing missile programs. But there is uncertainty about quite what to do about them. For the Europeans, maintaining what they see as the nuclear deal's brakes on Iran's nuclear activities is the paramount concern. For Washington, Israel and the moderate Arabs this is insufficient.
But Europe is distracted by Brexit and a host of other issues. Persistent tensions with the Trump administration and the US president's erratic policy decisions - the move to pull US forces out of Syria and the threatened draw-down in Afghanistan for example - only make matters worse. The US withdrawal from the Iran nuclear deal is perceived unreliability of Washington in many European eyes. This gathering may tell us just as much about the divisions in the Western camp which seem to be getting worse rather than better.



Saturday 9 February 2019

United States Godfathering Mutiny in Venezuela


According to a Reuters report, United States is holding direct communications with members of Venezuela’s military, urging them to abandon President Nicolas Maduro and is also preparing new sanctions aimed at increasing pressure on him.
The Trump administration expects further military defections from Maduro’s side, despite only a few senior officers having done so since opposition leader Juan Guaido declared himself interim president last month, earning the recognition of the United States and dozens of other countries.
One of the officials accepting US offer said, “We believe these to be those first couple pebbles before we start really seeing bigger rocks rolling down the hill. We’re still having conversations with members of the Maduro regime, with military members, although those conversations are very, very limited.”
The official declined to provide details on the discussions or the level at which they are being held, and it was unclear whether such contacts could create cracks in the Venezuelan socialist leader’s support from the military, which is pivotal to his grip on power.
With the Venezuelan military still apparently loyal to Maduro, a source in Washington close to the opposition expressed doubts whether the Trump administration has laid enough groundwork to spur a wider mutiny in the ranks where many officers are suspected of benefiting from corruption and drug trafficking.
Members of the South American country’s security forces fear they or their families could be targeted by Maduro if they defect, so the U.S. would need to offer them something that could outweigh those concerns, said representative of an American think tank in Washington.
The U.S. government also sees European allies as likely to do more to prevent Maduro from transferring or hiding Venezuela government assets held outside the country.
Major European countries have joined the United States in backing Guaido but they have stopped short of the sweeping oil sanctions and financial measures that Washington has imposed.
At the same time, the Trump administration is readying further possible sanctions on Venezuela.
Previous rounds have targeted dozens of Venezuelan military and government officials, including Maduro himself, and last month finally hit the OPEC member’s vital oil sector. But the administration has stopped short of imposing so-called “secondary” sanctions, which would punish non-U.S. companies for doing business with the Venezuela government or the state oil monopoly PDVSA.
It is believed that Washington is using all available tools to apply pressure on Maduro and his associates to accept a legitimate democratic transition.
The U.S. government is also weighing possible sanctions on Cuban military and intelligence officials accused of helping Maduro remain in power.
Maduro’s government has accused Guaido of staging a U.S. directed coup.
Guaido has actively courted members of the military with promises of amnesty and preferential legal treatment if they disavow Maduro and disobey his orders, and Washington this week raised the prospect of dropping sanctions on senior Venezuelan officers if they recognize Guaido.
Maduro still has the support of the military high command, and now routinely appears in pre-recorded events at military bases where officers stand behind him and chant triumphal slogans such as “Loyal always, traitors never.”


Tuesday 5 February 2019

US assault against Venezuela could initiate another proxy war


Reportedly, United States President Trump, Vice President Pence and National Security Adviser John Bolton have escalated threats to launch a war against Venezuela, as large pro- and anti-government demonstrations filled Venezuela’s streets on Saturday.
In an interview with CBS’s “Face the Nation” program that aired before the Super Bowl, Trump reiterated that military intervention “is an option.” Pence assured a crowd of far-right Venezuelan exiles in Miami that “this is no time for dialogue, it is the moment for action, and the time has come to end the Maduro dictatorship once and for all… Those looking on should know this: all options are on the table.”
Bolton, who helped author the playbook that was used to launch the 2003 invasion of Iraq, issued a blunt threat Friday that the US would kill or jail and torture Venezuelan President Nicolas Maduro if he did not resign. Comparing Maduro to Nicolae Ceaușescu and Benito Mussolini—both of whom were killed—Bolton told right-wing radio host Hugh Hewitt: “The sooner he takes advantage of that [resignation], the sooner he’s likely to have a nice quiet retirement on a pretty beach rather than being in some other beach area like Guantanamo.”
Self-proclaimed “interim president” Juan Guaidó, the US and their allies in South America and Europe are preparing a new provocation aimed at forcing the Venezuelan military to abandon Maduro, with Guaidó announcing that the US will deliver aid at three locations along the Venezuelan border in the coming days.
While Maduro and the Venezuelan military leadership have said they will refuse the aid, the US hopes that images of crowds gathering to receive food and medication will either provoke the military to defect to the opposition and help distribute the aid or provide valuable propaganda footage justifying the need for a “humanitarian” intervention.
As the Council on Foreign Relations’ O’Neil said, “If it [sanctions] doesn’t work in dislodging this regime, then there’s not a lot left in the toolkit besides things like military intervention.”
A military intervention in Venezuela with a population 30 million could kill hundreds of thousands or millions of people and transform Latin America into an imperialist slaughterhouse.
The geopolitical intelligence think tank Stratfor recently noted, “A military intervention could quickly snowball into one of the largest worldwide military operations since the 2003 invasion of Iraq.”
Francisco Toro, a Washington Post columnist and anti-Maduro think tank analyst, told the Council on Foreign Relations gathering that a military intervention would lead to “a kind of Syrian civil war” and confrontation between nuclear-armed powers.
There is definite threat that if US military operation starts against Venezuela, other countries will also move. This may include Brazil moving into the southeast, Colombia into the southwest. Russia to defend its oil interests in Venezuela and Cuba has already intelligence penetration into the Venezuelan armed forces.

Saturday 2 February 2019

Making of Juan Guaidó in the regime change laboratory of United States


Before the fateful day of January 22, less than one in five Venezuelans had heard of Juan Guaidó. Only a few months ago, the 35-year-old was an obscure character in a politically marginal far-right group closely associated with gruesome acts of street violence. Even in his own party, Guaidó had been a mid-level figure in the opposition-dominated National Assembly, which is now held under contempt according to Venezuela’s constitution.
But after a single phone call from US Vice President Mike Pence, Guaidó proclaimed himself as president of Venezuela. Anointed as the leader of his country by Washington, a previously unknown political bottom dweller was vaulted onto the international stage as the US-selected leader of the nation with the world’s largest oil reserves.
Echoing the Washington consensus, the New York Times editorial board hailed Guaidó as a “credible rival” to Maduro with a “refreshing style and vision of taking the country forward.” The Bloomberg News editorial board applauded him for seeking “restoration of democracy” and the Wall Street Journal declared him “a new democratic leader.” Meanwhile, Canada, numerous European nations, Israel, and the bloc of right-wing Latin American governments known as the Lima Group recognized Guaidó as the legitimate leader of Venezuela.
While Guaidó seemed to have materialized out of nowhere, he was, in fact, the product of more than a decade of assiduous grooming by the US government’s elite regime change factories. Alongside a cadre of right-wing student activists, Guaidó was cultivated to undermine Venezuela’s socialist-oriented government, destabilize the country, and one day seize power. Though, he has been a minor figure in Venezuelan politics, he had spent years quietly demonstrated his worthiness in Washington’s halls of power.
“Juan Guaidó is a character that has been created for this circumstance,” says Marco Teruggi, an Argentinian sociologist and leading chronicler of Venezuelan politics. “It’s the logic of a laboratory – Guaidó is like a mixture of several elements that create a character that in all honesty, oscillates between laughable and worrying.”
Diego Sequera, a Venezuelan journalist and writer for the investigative outlet, Mision Verdad says, “Guaidó is more popular outside Venezuela than inside, especially in the elite Ivy League and Washington circles,” Sequera remarked, “He’s a known character there, is predictably right-wing, and is considered loyal to the program.”
While Guaidó is today sold as the face of democratic restoration, he spent his career in the most violent faction of Venezuela’s most radical opposition party, positioning himself at the forefront of one destabilization campaign after another. His party has been widely discredited inside Venezuela, and is held partly responsible for fragmenting a badly weakened opposition.
“‘These radical leaders have no more than 20 percent in opinion polls,” wrote Luis Vicente León, Venezuela’s leading pollster. According to Leon, Guaidó’s party remains isolated because the majority of the population “does not want war. ‘What they want is a solution.’”
But this is precisely why Guaidó was selected by Washington; he is not expected to lead Venezuela towards to democracy, but to collapse a country that for the past two decades has been a bulwark of resistance to US hegemony. His unlikely rise signals the culmination of a two-decades-long project to destroy a robust socialist experiment.
Since the 1998 election of Hugo Chavez, the United States has fought to restore control over Venezuela and is vast oil reserves. Chavez’s socialist programs may have redistributed the country’s wealth and helped lift millions out of poverty, but they also earned him a target on his back. In 2002, Venezuela’s right-wing opposition briefly ousted him with US support and recognition before the military restored his presidency following a mass popular mobilization. Throughout the administrations of US Presidents George W. Bush and Barack Obama, Chavez survived numerous assassination plots before succumbing to cancer in 2013. His successor, Nicolas Maduro, has survived three attempts on his life.
The Trump administration has elevated Venezuela to the top of Washington’s regime change target list, branding it the leader of a “troika of tyranny.”Last year, Trump’s national security team attempted to recruit members of the military brass to mount a military junta, but that effort failed. Reportedly, the US was also involved in a plot codenamed Operation Constitution to capture Maduro at the Miraflores presidential palace, and another called Operation Armageddon to assassinate him at a military parade in July 2017. Just over a year later, exiled opposition leaders tried and failed to kill Maduro with drone bombs during a military parade in Caracas.
The “real work” began two years later, in 2007, when Guaidó graduated from Andrés Bello Catholic University of Caracas. He moved to Washington DC to enroll in the Governance and Political Management Program at George Washington University under the tutelage of Venezuelan economist Luis Enrique Berrizbeitia, one of the top Latin American neoliberal economists. Berrizbeitia is a former executive director of the International Monetary Fund who spent more than a decade working in Venezuelan energy sector under the oligarchic old regime that was ousted by Chavez.
The following year, Goicochea was rewarded for his efforts with the Cato Institute’s Milton Friedman Prize for Advancing Liberty, along with a $500,000 prize, which he promptly invested into building his own Liberty First (Primero Justicia) political network.
Friedman, of course, was the godfather of the notorious neoliberal Chicago Boys who were imported into Chile by dictatorial junta leader Augusto Pinochet to implement policies of radical “shock doctrine”-style fiscal austerity. And the Cato Institute is the libertarian Washington DC-based think tank founded by the Koch Brothers, two top Republican Party donors who have become aggressive supporters of the right-wing across Latin America.
The alleged Fiesta Mexicana plot flowed into another destabilization plan revealed in a series of documents produced by the Venezuelan government. In May 2014, Caracas released documents detailing an assassination plot against President Nicolás Maduro. The leaks identified the Miami-based Maria Corina Machado as a leader of the scheme. A hardliner with a penchant for extreme rhetoric, Machado has functioned as an international liaison for the opposition, visiting President George W. Bush in 2005.
The collapse of Popular Will under the weight of the violent campaign of destabilization it ran alienated large sectors of the public and wound much of its leadership up in exile or in custody. Guaidó had remained a relatively minor figure, having spent most of his nine-year career in the National Assembly as an alternate deputy. Hailing from one of Venezuela’s least populous states, Guaidó came in second place during the 2015 parliamentary elections, winning just 26% of votes cast in order to secure his place in the National Assembly. Indeed, his bottom may have been better known than his face.
Guaidó is known as the president of the opposition-dominated National Assembly, but he was never elected to the position. The four opposition parties that comprised the Assembly’s Democratic Unity Table had decided to establish a rotating presidency. Popular Will’s turn was on the way, but its founder, Lopez, was under house arrest. Meanwhile, his second-in-charge, Guevara, had taken refuge in the Chilean embassy. A figure named Juan Andrés Mejía would have been next in line but reasons that are only now clear, Juan Guaido was selected.   
“There is a class reasoning that explains Guaidó’s rise,” Sequera, the Venezuelan analyst, observed. “Mejía is high class, studied at one of the most expensive private universities in Venezuela, and could not be easily marketed to the public the way Guaidó could. For one, Guaidó has common mestizo features like most Venezuelans do, and seems like more like a man of the people. Also, he had not been overexposed in the media, so he could be built up into pretty much anything.”
In December 2018, Guaidó sneaked across the border and junketed to Washington, Colombia and Brazil to coordinate the plan to hold mass demonstrations during the inauguration of President Maduro. The night before Maduro’s swearing-in ceremony, both Vice President Mike Pence and Canadian Foreign Minister Chrystia Freeland called Guaidó to affirm their support.
A week later, Sen. Marco Rubio, Sen. Rick Scott and Rep. Mario Diaz-Balart – all lawmakers from the Florida base of the right-wing Cuban exile lobby – joined President Trump and Vice President Pence at the White House. At their request, Trump agreed that if Guaidó declared himself president, he would back him. Secretary of State Mike Pompeo met personally with Guaidó on January 10, according to the Wall Street Journal.
Guaidó might have been an obscure figure, but his combination of radicalism and opportunism satisfied Washington’s needs. “That internal piece was missing,” a Trump administration said of Guaidó. “He was the piece we needed for our strategy to be coherent and complete.”
“For the first time,” Brownfield, the former American ambassador to Venezuela, gushed to the New York Times, “you have an opposition leader who is clearly signaling to the armed forces and to law enforcement that he wants to keep them on the side of the angels and with the good guys.”
But Guaidó’s Popular Will party formed the shock troops of the guarimbas that caused the deaths of police officers and common citizens alike. He had even boasted of his own participation in street riots. And now, to win the hearts and minds of the military and police, Guaido had to erase this blood-soaked history.
On January 21, a day before the coup began in earnest, Guaidó’s wife delivered a video address calling on the military to rise up against Maduro.
At a press conference before supporters four days later, Guaidó announced his solution to the crisis: “Authorize a humanitarian intervention!”






Monday 3 December 2018

Mending Pakistan India Relationship


Both Pakistan and India are nuclear power, have fought various wars and constantly live in state of war ever since they got independence from British Raj in 1947. Economists are of the consensus that had the two countries lived like peaceful neighbors, abstained from spending billions of dollars annually on procurement of lethal arsenal and invested money on the development; these would have been the most prosperous economies of the world. It would not be wrong to say that the British Raj left a thorn, Kashmir, which has been constantly exploited by the United States. Let the readers keep one point in mind that Hindus have not accepted partition of subcontinent and openly say that they would not allow another partition of India on the basis of religion (apartheid of Kashmir).
As Indian delegates attended the Kartarpur corridor groundbreaking ceremony, Minister for External Affairs Sushma Swaraj announced that India will not attend the South Asian Association for Regional Cooperation (Saarc) conference if it is held in Pakistan. She brushed off any possibility of improvement in relations between India and Pakistan, despite the opening of the Kartarpur crossing. "Until and unless Pakistan stops terrorist activities in India, there will be no dialogue and we will not participate in Saarc [conference]," asserted Swaraj. Owing to India's refusal to attend, Pakistan will not be able to convene the event for the third year now. Participation of all member states is mandatory for the convening of a Saarc summit.
Saarc summit remains in limbo for the third year running due to India’s refusal to attend a meeting in Pakistan. Islamabad was to host the 19th summit of the regional bloc in November 2016, but India on that occasion forced its cancellation by first pulling out of the meeting on the pretext of “increasing cross-border terrorist attacks in the region and growing interference in internal affairs of member states by one country”, because of which it claimed the environment was “not conducive to the successful holding of the 19th Saarc summit in Islamabad”. India was later joined by its regional allies Bangladesh, Afghanistan and Bhutan, all of whom also pulled out citing concerns about terrorism and external interference in an implied criticism of Pakistan. Pakistan has not been able to convene the event for the third year now because of a virtual Indian veto.
Saarc summits, as per the charter of the body, are to be held once a year or more frequently as required by the situation. The summits are held on a rotational basis in alphabetical order of the names of member states. However, summits could be held only on 18 occasions in Saarc’s 33 years of existence. Most of the postponements have taken place in the last 17 years. Although there have been different reasons for the delays and rescheduling, including bilateral disputes and internal problems of member states, India has been the most common cause in these postponements, if not all. At least on two occasions the hold-ups were because of Pakistan-India disputes.
India refused to attend the 11th summit on the pretext of a coup in Pakistan and the 12th summit because of the prime minister’s schedule. India on those occasions used the participation card to pressure the hosts. The longest delay was on the occasion of the 11th summit hosted by Kathmandu. On that occasion the summit scheduled for November 1999 was held in January 2002 after delay of nearly two years and two months. On five occasions in the past the venue had to be changed for hosting of the conference — 3rd, 4th, 5th, 15th and 16th summits.
This time India is insisting that it would not agree to a meeting in Islamabad as long as it does not see any visible progress on its concerns about terrorism. Pakistan has time and again denied the allegations and has on several occasions offered dialogue to address the outstanding issues. The functioning of Saarc appeared to have the silent support of everyone except India. Saarc summits once scheduled, after obtaining the concurrence of all the member states, must go ahead even if the heads of state or government of one or two members do not find it convenient to attend. No member should be allowed to hold Saarc to ransom. Using internal developments in one member state to disrupt the Saarc process should be unacceptable.
There is a need to oppose any attempt to dilute the principle of sovereign equality of member states, as all members are equal partners. Saarc members should use its platform to resolve their political differences. All problems that afflict the region must be sincerely addressed and resolved. Sweeping them under the carpet can never be the answer. The only wise and courageous choice is to resolve all disputes and differences on a durable basis, those solutions based on justice and fair play can be durable. Peace and tranquility is essential for the progress of South Asia. Nothing can be achieved as long as there is tension and hostilities among any members.
Pakistan condemns terrorist attacks and joined the international coalition in the campaign against terrorism. The country itself has been a victim of terrorism. The concerted campaign against terrorism must also identify and examine the causes that breed terrorism, that derive people to hopelessness and to desperation. It is equally important that a distinction was maintained between acts of legitimate resistance and freedom struggles on one hand and the acts of terrorism on the other.


This article was originally published in Pakistan & Gulf Economist

Sunday 18 November 2018

Axis of Evil


Just the other day someone sent me this picture and its caption is ‘Axis of Evil’. I, as a Muslim, was shocked to see the flag of Saudi Arabia along with the flags of three other nations who are notaries for their atrocities. Britain ran colonies for nearly two centuries. United States dropped two atom bombs on Japan in World War II and currently master minding proxy wars in many countries. Israel, controlled by Zionists is modern day ‘Merchant of Death’.
I sat down to put the pieces of jigsaw puzzle together and was completely disgusted to find out how cunningly these three countries have dragged Saudi Arabia into this axis. Saudi Arabia is often accused for financing the terrorists/proxy wars. The critics have reasons to blame Saudi Arabia that supported Sadam Husain of Iraq for waging war on Iran that was spread over nearly 10 years 
The point became crystal clear when I heard the echo of one of the latest statements of the US president, “Saudi Arabia can’t live without us (Americans) for more than two weeks”. This statement came soon after Crown Price of Saudi Arabia was accused of killing a Saudi Journalist in Turkey. Some critics say President’s statement was aimed at building pressure on the Crown Price that was also followed by accusing him of master minding assassination of the Journalist. 
Now let us try to find an explanation for the presence of Saudi Arabia in this axis of evil. A point to ponder is that the other three countries have joined hands to topple regimes/destroy countries they don’t like. The most common US manta is ‘Regime Change’. Ironically Toney Blair, past UK prime Minister made his country subservient to the United States by propagating presence of mass destruction in Iraq, which later proved a hoax call.
Israel is the brainchild of the British Colonial that followed ‘Divide and Rule policy’. Though, Britain was the prime architect of creation of a Jewish State, but it was fully supported by the United States in brining Jews from many countries and settling them there. While Jews are flourishing in Israel, Palestinians are living in the biggest open air jail, Gaza.
Iran-Saudi Arab animosity is being exploited by the Zionists, who have brain washed the Monarchy to believe that Iran is bigger threat as compared to Israel. This mantra has enabled United States and other European countries in selling billions of dollars arms annually to Saudis. The dishonest western media often accuses Saudi Arabia for using these arms in Yemen and other countries against the local population.


Wednesday 7 November 2018

Finally United States kneels down before Iran


The United States announced to re-impose sanctions on Iran. President Donald Trump unilaterally pulled his country out from an agreement signed by big powers with Iran. The US government threatened countries to bring down their oil imports from Iran to zero or face similar sanctions. Many critics fail to understand the logic of President Trump as they strongly believe that he will not be able to achieve much by re-imposing sanctions.
Some analysts say that the US administration wishes to maintain a delicate balancing act with the waivers by ensuring the oil market has sufficient supply and avoid a politically damaging spike in fuel prices. The US also wants to ensure that Iran doesn’t collect enough revenue that the US sanctions become irrelevant. Countries that get waivers will be required to pay trough an escrow accounts in their local currency. That means the money won’t directly go to Iran, but will be allowed to use it for buying food, medicine or other non-sanctioned goods from its crude customers.
Let us first of all find the rationale behind re-imposition of sanctions on Iran by the US. I will prefer to use a quote. It says the re-imposition of sanctions on Iran by the US are aimed at achieving two targets: 1) quashing its nuclear ambitions and its ballistic missile program, but also 2) weakening its financial strength to support groups fighting proxy war in Syria, Yemen, Lebanon and other parts of the Middle East”.
Some analysts say that the US has imposed proxy war on the above stated countries for establishing its hegemony in Middle East and North Africa (MENA). The US efforts are aimed at weakening these countries so that they don’t become a potential threat for Israel, which has faced humiliating defeat in Lebanon. Hezbollah, a Lebanon-based resistance group smashing Israel’s military supremacy is often termed a terrorist outfit and alleged for receiving funds and military hardware from Iran.
No sooner did these sanctions became effective, the US confirmed granting waivers to eight countries, allowing them to continue to import oil from Iran for the next six months. The countries include South Korea, Japan, India, China, Turkey, Taiwan, Italy and Greece. The waivers will facilitate these to continue to import oil, although there is a great deal of disagreement among analysts over how much Iran’s exports will fall.
This waiver means that the supply situation will ease further. Reportedly Iran’s oil exports will stabilize at around 1 million barrels per day, and could even increase again in the coming months because Japan and South Korea have hardly been buying any Iranian oil lately. Receiving the waivers will allow them to continue buying. To be sure, not everyone agrees on this point, some believe the hawkish government in Washington will make other efforts to curb Iranian oil export.
Announcement of waivers, are a defeat of the US, seemingly backtracking a policy to cut Iran’s oil exports to zero. However, the Secretary of State Mike Pompeo continues to play the famous US mantra, “maximum pressure” campaign will continue and that the administration hopes to get to zero. The waivers were granted to countries that “need a little bit more time,” he said. 
I am also obliged to refer to what has been said by Professor Frank N. von Hippel, former assistant director for national security in the White House Office of Science and Technology. He said that it was a terrible mistake for the Trump Administration to pull the US out of the agreement between the P5+1+EU and Iran, commonly referred as Joint Comprehensive Plan of Action (JCPOA).
“The US has lost credibility with the other permanent members of the UN Security Council, Germany and the EU”. He also warned, “If Iran reacts by ending its own compliance with the JCPOA, we might be on a path to war. The US does not need another unnecessary and costly war”.


Sunday 28 October 2018

Who killed Jamal Khashoggi?

The killing of Jamal Khashoggi - a Washington Post columnist and a critic of Saudi Crown Prince Mohammed bin Salman (MbS) - has sparked global outrage and pitched the world’s top oil exporter into crisis. The incident has put the West’s relationship with Riyadh into sharp focus, given scepticism about Saudi Arabia’s shifting explanations of the killing at its Istanbul consulate.
To calm down the situation, Riyadh announced arrest 18 persons as part of its investigation into the case, which include a 15-man security team that Turkey says flew in hours before the killing. Saudi Foreign Minister Adel al-Jubeir said that those behind the killing would be prosecuted in the kingdom and that the investigation would take time. In my opinion investigators may be misled or forced to release an incorrect report based on the reports of Western media, controlled by the Zionists. Even a person of ordinary wit can identify the culprits, if the motive of killing is established.
In many countries, especially where monarchy/dictatorship prevails over, the rulers don’t like critics. Sooner than later such persona non grata are either put in jail or assassinated. Though, United States claims to be the largest democracy, it also does the same in the name of regime change, two of the most talked about names of the present era are Sadam Husain of Iraq (hanged) and Mursi of Egypt (put in jail). In this part of the world where I live, killing of politicians and journalist is too common. Therefore, killing of Khashoggi is not surprising. However, the storm being created in a cup of tea needs a little deeper probe because his assassination according to spy agencies is ‘elimination of an agent when he became redundant’.
Khashoggi was working for one of the most famous and powerful media house of the United States and his prime target was MbS, who already has enough enemies within his family and kingdom. MbM’s most dangerous trait is ‘Iron man’ who just can’t tolerate criticism. Therefore, assassination of Khashoggi can be termed ‘killing two birds with one stone’. Elimination of MbS may have become all the more necessary because the United States finds him the biggest hurdle if economic sanctions have to be imposed on Saudi Arabia.
Killing of Khashoggi in Turkey and making the details public through the courtesy of Turkish president can also be termed a point worth probing. The United States does not like Tayyib Erdogan, as he is emerging as a leader of Muslim Ummah and biggest threat for Israel.  If one can recall King Faisal of Saudi Arabia had emerged as a leader of Muslim Ummah in seventies, but very soon he was assassinated by his own nephew within the Kingdom.
To the utter disappointment of the United States and Israel manta ‘Iran is a bigger threat for Saudi Arabia as compared to Israel’ has failed. Iran applied all the restraints and gave Saudi Arabia the status of leader of OPEC, whenever there was any discussion about increasing/decreasing crude oil output. It is necessary to remind the readers that it is often alleged that during Iraq-Iran war, Saudi Arabia finance Iraqi assault and also didn’t make any effort to stop the war between two Muslim countries.
Now coming to the most important part, who killed Khashoggi? Though, MbS may not like this expression, Saudi Arabia does not have the capacity to undertake such assault in another country. The two prime suspects can be CIA and Mossad, which have been undertaking such operations in other countries. Two stories which hit headlines of international media are killing f Iranian nuclear scientists in UAE and killing of ObL in Pakistan. It is alleged that the first operation was done by Mossad and the second operation was undertaken by CIA.
The logical conclusion of killing of Khashoggi seems to be that it was aimed at eliminating MbS, the assassination was done in Istanbul to initiate a war between Saudi Arabia and Turkey and to also impose economic sanctions Saudi Arabia. The Donald Trump has recently claimed that Saudi Arabia can’t live more than two weeks without the support of United States. The sole surviving super power no longer needs Saudi oil but remains adamant at selling more arms to the monarchy by dragging it in a direct war. Proxy wars seems to be getting over because in most of the countries the prime supporter of wars is facing humiliating defeat, these include Afghanistan, Iran and Syria.   






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Sunday 21 October 2018

Bailing out Pakistan by IMF or plunging it deeper into debt trap


The critics of Prime Minister Imran Khan are firing all sorts of shots at him. The biggest blame is that the person who didn’t want to approach International Monetary Fund (IMF) has conveniently bowed down rather than making an effort to live without the crutches of lender of last resort. Khan has been critical of borrowing during his election campaign, might be that he failed in understanding the gravity of situation. Let everyone try to find a logical reply to the basic question, will abstaining from borrowing from IMF save Pakistan from committing default? The immediate and logical reply is a big no because the countries that were most likely to extend supporting hands have done the contrary.
Therefore, it is imperative for the ruling regime to strike the best deal and it is also the responsibility of the opposition to help the incumbent government to have consensus on a home grown plan to make debt servicing sustainable. Let PML-N and PPP leadership not forget that they ruled the country for 10 years and supported each other under the much talked about ‘Charter of Democracy’. The country would have not faced the present crisis, had they followed ‘prudent policies’, contained extravaganzas and corruption and supported flight of capital from Pakistan. The ongoing investigations indicate that Pakistanis have parked billions of dollars outside Pakistan, own properties and doing thriving business in many neighboring countries.
After the victory in election, Khan was assured support by United States and Saudi Arabia and told not to approach Iran. Now it is evident that that these countries were willing to extend financial support to Pakistan, only if it agrees to support their geopolitical agenda. The US was prompt in instructing IMF not to lend any money to Pakistan to pay off Chinese debt. The much talked about Saudi oil facility and credit has not come to Pakistan, till this article is going into print. In such a hostile environment Pakistan has no option but to approach IMF and accept its stringent conditions.
Two of the most contentious issues faced by Pakistan are growing current account deficit and shrinking foreign exchange reserves. Therefore, the first target is establishing a ‘lifeline’ before the patient goes into coma and chances of recovery diminish. It may also be kept in mind that issue of ‘Certificate of Health’ by IMF also facilitates in borrowing from other multilateral lenders that include the World Bank, Asian Development Bank (ADB) and International Finance Corporation (IFC). This may also pave way for disbursement of loan by Islamic Development Bank.
Those who do not believe in my narrative, should look at the movement of US$-Rupee parity over the last few days. Till it was not clear that Pakistan will approach IMF and would also receive an encouraging reply, stock market kept plunging and the benchmark index of Pakistan Stock Exchange kept registering erosion of a magnitude that was hardly witnessed in the recent years. However, the situation started reversing after Finance Minister, Asad Umar met IMF Chief. Though, a lot of clarifications are yet to be made, the commitment by multilateral lenders have started pouring in. Someone has said it right that the markets are impervious to emotional appeals, and investors cannot be inspired or persuaded, other than through the cold inducements of gain and loss.
The likely IMF bailout package is certainly not enough to pull Pakistan out of the ‘default like situation’.  However, it offers the space to take corrective steps and put the economy on track. The next but biggest challenge will be to undertake much delayed structural reforms. Almost all the previous governments have promised that while approaching IMF but many failed in fulfilling the commitments.
I will not hesitate for a second in saying that Imran Khan is the propagator of change but he is still surrounded by those who are known for maintaining status quo. Pakistan suffers from ‘confidence deficit’ that is a far bigger threat as compared to budget or current account deficit. What needs to be done is comparatively straightforward and the best path forward can be mapped out quickly as well as the PTI leadership has no shortage of competent people to make Imran Khan’s dream come true.
Khan has a strong social media team that can play a pivotal role in changing the perception, but the real issue is to change the ground realities. What need to be managed urgently right now are the fundamentals not the perceptions. That is where the prime minister’s focus is immediately required.
To put the country on the fast growth trajectory, it is necessary to point out that IMF recipe of raising electricity and gas tariffs, hiking interest rate and withdrawing subsidies could prove fatal blow to country’s economy. It is known to all and sundry that Pakistan suffers from cost pushed inflation that also renders ‘Made in Pakistan’ goods uncompetitive in the global markets. Unless exports are boosted containing current account is not possible. Boosting remittances may bring some additional dollars, but producing exportable surplus and attaining competitive advantage is a must.
PML-N and PPP regimes are known for extravaganzas and wastages; PTI has to follow austerity by discouraging import of luxury items. In a country where a huge percentage of population lives below the poverty line, there is no room for import dog food, luxury cars, expensive mobile phone. Let Pakistan follow the models that enabled Turkey and many other countries to bid farewell to IMF. The citizens of Pakistan ought to thank IMF for the 18 assistance program, but will also have to learn to live within means. It is not difficult but needs solid commitment and support by all the political parties.


Thursday 4 October 2018

Can re-imposition of sanctions on Iran by United States cause any disruption in oil trade?


With 4th November 2018, the date for re-imposition of U.S. sanctions against Iran drawing closer, uncertainty about how much of global oil supply will be affected is running high. Mixed signals are coming from some of Iran’s biggest oil customers. Analysts fear that uncertainty is likely to linger on even after the sanctions become effective. There is a need to understand the motive behind the US decision.
There is growing consensus that the US decision is based on achieving three key objectives: 1) weakening Iran economically to stop it from becoming a regional power. Both the US and Israel have learnt that an economically strong Iran is the biggest hurdle in maintaining their hegemony in the region, 2) by creating rift between Saudi Arabia and Iran, the US also succeed in selling more arms to Saudi Arabia, which has been brainwashed to an extent where the monarch considers Iran a bigger threat as compared to Israel and 3) the biggest beneficiary of high oil price is the US that has attained the status of largest oil producing country.
According to energy sector analysts, if crude price plunge below US$50/barrel most of the US shale companies will go bankrupt. It is on record that in the past when crude price touched US$147/barrel the number of active rigs rose to around 1,600. When the price plunged to less than US$40/barrel the number of active rigs declined to less than 600. Therefore
One of the objectives of western media, controlled by the Zionists, is to keep the level of uncertainty high by promoting geopolitical crises. By keeping level of uncertainty high, speculators are facilitated and one thing has been proved without any doubt that even the hawkish statements of the US present keeps oil prices volatile.
This volatility also keeps many economic super powers subservient to the US. There are credible evidences that the association of Japanese refiners has suspended its crude oil purchases from Iran and South Korean refiners have also stopped buying Iranian crude in the hope that Washington will grant the heavily import-dependent nation a sanction waiver.
Reportedly, India’s largest refiners have not ordered any Iranian crude for November deliveries, which suggest that India might follow other countries buying oil from Iran. One can’t ignore a fact that the deadline for purchasing oil cargoes for November delivery is still a couple of weeks away. Earlier, India had indicated to use its currency to settle oil transactions with Iran.
The European Union has come up with a mechanism to continue buying oil and oil products from Iran, but analysts are skeptical about how effective it will be. The mechanism basically means transactions will use the barter principle rather than money—a mechanism the USSR used during the Cold war. Since a transaction is a transaction, with or without money, the U.S. could expand sanctions to cover barter deals also.
Some close observers of the situation warn that despite all the rhetoric from Washington, things in Iran are not as bad as being portrayed by the western media. The country has the resources to withstand the crisis. Reportedly Iran has enough to handle 1.85 million bpd in exports, and Iranian insurers are sure to provide coverage, the uncertainties continue.
After entering into different controversies, the US president has hit Saudi monarch below the belt by saying that its rule could no last beyond two weeks without the US support. Analysts say that after facing defeat in Syria and Iraq, the US seems adamant at dragging Saudi Arabia into some proxy war and putting all the blame on Iran.