Thursday, June 25, 2009

Russia, rest of G8 clash on approach to Iran

Reuters

Group of Eight powers were divided on how to respond to Iran's disputed election on Thursday, with hosts Italy pushing for a strong condemnation of violence and Russia calling the vote "an exercise in democracy".

Western nations at a meeting of G8 foreign ministers in Trieste were pushing for tough language in a final communique on Iran, where about 20 people have been killed in demonstrations following the June 12 presidential election two weeks ago.

"We are working on a document that should condemn the violence and the repression and at the same time stress that electoral procedures are an (internal) Iranian matter," said Italian Foreign Minister Franco Frattini.

But he cautioned: "We (the international community) can't recount the vote." The statement is expected on Friday. Delegates to the G8 conference, getting under way with a dinner on Thursday evening, were wrestling over the wording of the statement on Iran to take into account the sensibilities of Moscow, which has already said it considers all issues linked to the election as Iran's internal affair.

Official results handed hardline President Mahmoud Ahmadinejad a landslide victory but defeated candidate Mirhossein Mousavi has said that the vote was rigged.

Russian Foreign Minister Sergei Lavrov made clear that Russia was not prepared to sign up to a G8 statement condemning Iran's handling of the election.

"No one is willing to condemn the election process, because it's an exercise in democracy," Lavrov told reporters.

Russia is one of six powers that have been trying to solve a long-running dispute with Iran over its nuclear programme.

Iran says it wants nuclear power to generate electricity but Western powers suspect it of seeking to develop a nuclear bomb.


RUSSIA SAYS ENGAGEMENT IS KEY

"We agreed that we will develop a language which would allow us to concentrate on the main task -- to move toward resolving the issues of the Iranian nuclear programme...," Lavrov said after separate talks with Frattini.

"Isolation is the wrong approach ... Engagement is the key word," he said.

Italian Foreign Ministry spokesman Maurizio Massari said the G8 would express concern over Iran's nuclear programme but added "we want to maintain as far as possible a climate of dialogue".

Events in Iran have cast a shadow over the G8 meeting that should have focused on stabilising Afghanistan and pursuing Middle East peace.

Diplomats had seen the June 25-27 event as a rare chance for the Group of Eight nations to sit down with regional powers like Iran to discuss shared goals for Afghanistan and Pakistan. But Iran declined to answer Italy's invitation to attend.

U.S. Secretary of State Hillary Clinton is also absent after hurting her arm.

Speaking in Washington before the meeting, a senior U.S. State Department official said foreign ministers were expected to discuss the impact of the situation in Iran on efforts to engage Tehran over its nuclear programme.

European Union External Relations Commissioner Benita Ferrero-Waldner condemned excessive force by Iranian security forces against demonstrators, urged a halt to arbitrary arrests and called a crackdown on journalists unacceptable.

As delegates gathered, a small group of Iranian protesters held up signs condemning the violent crackdown in Iran.

"We want the G8 to exert pressure so Iran allows peaceful protests, free elections, democracy," said Siamak, an Iranian expatriate who fled Iran after the 1979 revolution. He declined to give his last name out of fear for his family still in Iran.

(Additional reporting by Roberto Landucci and Arshad Mohammed in Washington; Writing by Adrian Croft; Editing by Peter Millership)

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Monday, November 10, 2008

The issues facing Obama

HopeBama. Can he save America with plans on Energy, Education, Health care, Guantánamo Bay, Security and citizenship, Tax breaks, old and new, Iraq, Iran, Nafta?

$$$$$$$$$$$$$$$$$$$$$$$$$$$$$

Energy

"I will invest $15 billion a year in renewable sources of energy to create five million new energy jobs over the next decade."

Oct. 31, Des Moines, Iowa

On energy and climate change, Barack Obama's focus has shifted over the course of the year as the economy has weakened.

An earlier proposal put an economy-wide cap on greenhouse gases, requiring industry and utilities to buy credits from the government to emit carbon dioxide. The plan would have produced hundreds of billions of dollars in government revenue and drive up the cost of energy for everyone.

Obama is now emphasizing a program to spend $150 billion over 10 years to develop renewable sources of energy, like wind, solar and biofuels, and to encourage energy conservation in homes, offices and public buildings. He would also provide substantial financial help to the auto industry to develop high-mileage and electric cars.

Education

"A truly historic commitment to education - a real commitment - will require new resources and new reforms."

May 28, Mapleton, Colorado

Obama's education plan outlined about $8 billion for recruiting, performance pay and other initiatives that represent his approach to updating the Bush education law known as No Child Left Behind. But his plan also offered grand proposals for every level of education, including a $4,000 tuition tax credit that would make college more affordable for millions of students and a $10 billion expansion of early childhood programs.

The challenge will be how to finance all those proposals when budgets are extremely tight, experts said.

Obama's $10 billion proposal to expand early childhood education would probably produce tremendous savings to the nation later, but experts said he would find it extremely challenging to finance under current financial conditions.

Health care

"If you don't have health insurance, you'll be able to get the same kind of health insurance that members of Congress get."

Oct. 31, Des Moines

Obama has said "every American has a right to affordable health care," but he has not said exactly how he would finance coverage for the 45 million people who are uninsured. The economic slump and the bailout for the financial industry may reduce the amounts available to cover the uninsured.

On his Web site, Obama says his health plan "will lower health care costs by $2,500 for a typical family by investing in health information technology, prevention and care coordination." Health policy experts endorse those goals but say they are unlikely to produce such large savings.

If Obama hopes to keep his promise, he will need to mobilize public support for specific legislative proposals. And he will need to co-opt or placate a swarm of lobbyists.

Guantánamo Bay

"We're going to lead by setting the highest of standards for civil liberties and civil rights and human rights."

Feb. 20, Dallas

As president, Obama could simply declare an end to practices that have been widely condemned as torture. He could revoke President George W. Bush's executive order, disclosed in 2007, that allowed the Central Intelligence Agency to use more severe interrogation techniques than allowed under the U.S. Army Field Manual.

To do so, however, he would have to overrule at least some intelligence professionals who have argued that they need to use more aggressive methods.

His pledge to close the prison at Guantánamo Bay, Cuba, would require finding a place to imprison dozens of detainees.

Federal officials have drafted plans to move them to centers in the United States, but even supporters of that acknowledge the potential consequences, including the release of suspects for lack of evidence.

Security and citizenship

"We cannot deport 12 million people. Instead, we'll require them to pay a fine, learn English and go to the back of the line."

Sept. 10, Washington

As a senator, Obama supported comprehensive immigration overhaul, and in the campaign he pledged to enhance border security and provide a path to citizenship for millions of people in the country illegally. And while he said he favored a guest worker program, he also advocated tougher penalties for employing illegal immigrants.

But his proposals are very likely to encounter resistance from those who contend that they amount to amnesty - an argument that helped jettison a bill in Congress. And with the economy shedding jobs, opponents will also argue that immigrants are taking jobs from citizens. But experts say Obama will face pressure to act from the many Hispanic voters who supported his candidacy in part because of his stance on immigration.

Tax breaks, old and new

"As president, here's what I'll do: cut taxes for every working family making less than $200,000 a year."

- Oct. 29, paid television address

Obama pledged to extend the Bush tax cuts of 2001 and 2003 past 2010, when they would expire, for taxpayers making less than $250,000 a year. He would repeal the cuts for taxpayers making more than that, effective Jan. 1, 2010.

Obama considers the extension for those making under $250,000 a continuation of current policy, not a tax cut.

But he promises a new break for taxpayers making less than $200,000 - an annual tax credit of $500 a worker, or $1,000 a working couple. It would be a refundable credit, so those who do not earn enough to pay income taxes but do pay payroll taxes would also benefit.

Given the economic crisis and the Democratic gains in Congress, the odds are good that he will push the measures through.

Iraq

"Nobody's talking about bringing them home instantly, but one to two brigades a month. It'll take about 16 months to get our combat troops out."

May 16, Watertown, South Dakota

Obama has said repeatedly that he would set a 16-month timetable for troop withdrawal. Some military experts believe that could lead to a reversal of the gains from the increase in troops over the past 18 months, and they argue that the generals running the war should decide how many troops to pull out and when to do it.

Obama appears to have the Iraqi government on his side. Iraqi leaders say his timetable is closer to theirs, which they put at 2010. The Bush administration timetable, which has some wiggle room, was 2011.

But all of this supposes relative stability, even while troops are withdrawing. And questions also remain about the kind and level of force Obama would leave behind.

Iran

"I would be willing to lead tough and principled diplomacy with the appropriate Iranian leaders at a time and place of my choosing."

June 4, Washington

Obama raised expectations that he would meet with Iran's leaders. He said during the campaign that the notion of not talking to America's foes was "ridiculous." Since then, he has tempered his words somewhat, indicating that he would send envoys initially and would meet personally with Iran's leaders only if he thought he could advance the American agenda.

Obama also faces the issue of when to reach out. If he makes a move before June, when Iran's presidential election is scheduled, he risks giving President Mahmoud Ahmadinejad claim to a foreign policy victory, to the possible detriment of more moderate Iranian presidential aspirants. But if he waits too long, Iran could get closer to acquiring a nuclear weapon.

Nafta

"I think we should use the hammer of a potential opt-out as leverage to ensure that we actually get labor and environmental standards that are enforced."

Feb. 26, Democratic candidate debate

No legal hurdle would prevent Obama from pulling out of the North American Free Trade Agreement, a distinction from other trade deals. But trade experts say the political and economic costs of scuttling the deal would be enormous.

Even opening it up to renegotiate labor and environmental standards carries risks: Canada might seize the opportunity to renegotiate provisions on energy, while Mexico might push for access for its trucks in the United States.

Obama's union supporters have not put changing Nafta at the top of their agenda, focusing instead on issues like China's exchange rate. With little political upside and so much potential downside, this may be one issue Obama prefers not to touch.

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Monday, March 12, 2007

Iran Urges IMF to Probe U.S. Bank Sanction

Iran has reportedly asked the International Monetary Fund (IMF) to determine whether U.S. sanctions against its Bank Saderat violate IMF rules on foreign exchange restrictions.

According to Bahrain-based Gulf Daily News, IMF staff and Iranian finance officials discussed the effects of the U.S. action against Bank Saderat during annual economic consultations last November.

IMF documents published on Thursday reportedly detailed the talks, in which Iranian authorities expressed concern that the bank had been unable to issue letters of credit in dollars since the U.S. sanctions took effect.

The bank officials said the measure was also affecting the bank's available deposits.

The Iranian officials complained that several other banks in Europe and Asia with activities in the United States had cut off Saderat from operating in other currencies.

"The [Iranian] authorities have sent a note requesting fund management to ascertain whether the measure adopted by the U.S. Treasury constitutes an exchange restriction subject to fund approval," the IMF said.

Washington has been intensifying its campaign to mount economic pressures on Iran. Last month, the U.S. targeted Iranian state-owned Bank Sepah, which has branches in London, Paris, Rome and Frankfurt.

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