Moon of Alabama Brecht quote
May 28, 2011
G8 Promises Billions? No, It Demands Submission

Los Angeles Times: World leaders pledge $40 billion to bolster 'Arab Spring'
Globe & Mail: G8 pledges $20-billion for Arab Spring countries
France 24: G8 – Leaders pledge $40 billion to Arab democracies
UPI: G8 to provide $20 billion in aid

Twenty billion, forty billion – which is it?

The Guardian is even more confused. It's sub-headline says 20 billion British pounds, which would roughly be 32.5 billion U.S. dollars, while the text says 20 billion dollars.

Tunisia and Egypt promised G8 help on path to democracy
G8 leaders support Arab spring goals by pledging £20bn in loans and aid to Middle East countries

G8 leaders has promised $20bn (£12bn) of loans and aid to Tunisia and Egypt over the next two years and suggested more will be available if the countries continue on the path to democracy.

David Cameron revealed he had intervened to prevent the package from being presented as more generous than it was in reality, suggesting that some at the G8 had wanted to present it as worth as much $40bn.

Cameron preaching reality – something smells wrong here.

Reuters goes with $20 billion and explains where the differences might come from:

G8 leaders promised $20bn in aid to Tunisia and Egypt today and held out the prospect of billions more to foster the Arab Spring and the new democracies emerging from popular uprisings.

Most is in the form of loans rather than outright grants, to the two countries in the vanguard of protest movements which have swept the Arab world from the Atlantic to the Gulf. Egypt and Tunisia are planning to hold free elections this year. French President Nicolas Sarkozy said that on top of $20bn of credits provided by the World Bank and similar regional lenders dominated by the major powers, there would be as much again from other sources – $10bn from oil-rich Gulf Arab states and $10bn from other governments.

So Sarkozy promises other peoples money. Guess how much of that will arrive …

The piece also quotes the actual G8 statement:

Multilateral development banks "could provide over $20bn, including 3.5bn euros from the EIB, for Egypt and Tunisia for 2011-2013 in support of suitable reform efforts".

Ahhh – it could provide in support of suitable reform efforts. Suitable to whom?

The whole offer is just a carrot or bribe to get those countries to submit to the globalist agendas.

Not that such a big carrot would ever actually be delivered. As another Independent piece points out

Summit sources said that this figure included large sums already promised by the World Bank and the African Development Bank.

The only large amount of "new money" on the table was a promise of €2.5bn (£2.2bn) a year by the London-based, EU investment bank, the European Bank of Reconstruction and Development (EBRD).

Speaking after the summit, Mr Sarkozy stood by the $40bn figure. He said that pledges by other international banks and national contributions – including £110m in aid from the UK and €1bn of soft loans from France – should be added to the $20bn figure. He also threw into the pot, rather confusingly, "$10bn from the Gulf states".

Summit officials said later that there had "certainly been no firm offer from the Gulf".

So all the big contradicting headlines are just lies. The only real money on the table is €2.5 billion, 3.6 billion dollars, from the EBRD which will be a loan that will have to be paid back, with interests, and which will have some likely horribly neoliberal conditions attached. This as part of the Saudi-U.S. counterrevolution. The money will be too little to make a difference and the stings attached will attempt to destroy the new movements.

As Soumaya Ghannoushi wrote a few days ago:

Washington hopes that these rising forces can be stripped of their ideological opposition to US hegemony and turned into pragmatists, fully integrated into the existing US-led international order.

Containment and integration are not only political, but economic, to be pursued through free markets and trade partnerships in the name of economic reform.

As usual, investment and aid are conditional on adoption of the US model in the name of liberalisation and reform, and on binding the region's economies further to US and European markets under the banner of "trade integration". One wonders what would be left of the Arab revolutions in such infiltrated civil societies, domesticated political parties, and dependent economies.

Submission to the G8 conditions would kill the revolutions. The offers should therefore be rejected.

Comments

There are other sources of money to choose from anyway. I guess it is a competition.
G8 is not going to survive, it will be G20 and BRIC.
In the meantime Obama is transforming into a clown:
“Obama seeks Polish help on Arab uprisings”
http://www.google.com/hostednews/ap/article/ALeqM5jTc4o7OJOGd0_YP6AYSjveUYZsrg?docId=178f88e6dd6d4f698c859d08d3010824

Posted by: somebody | May 28 2011 8:19 utc | 1

What is seen on one side as gift may be interpreted as tribute on the other side. Thousands of bolts of silk and thousands of porcelain pieces were sent by the Chinese emperors to the restive peoples of their Northern borders. They were gifts but the recipients knew perfectly that they were tributes designed to entice those restive peoples to remain obedient. But they knew that the more disobedient they were the larger the tribute paid. No exit

Posted by: jlcg | May 28 2011 16:26 utc | 2

Interesting, as it comes right on the heals of this. Let them starve themselves as the big money pulls out, and then swoop in with loans/aid to make them indebted whilst you’re viewed as savior……or so the thinking goes. I’m not sure it will pan out that way, though, and if it doesn’t, the next plan will kick in.
http://www.upi.com/Business_News/Energy-Resources/2011/05/18/Post-Mubarak-Egypt-running-out-of-food/UPI-63801305737085/

Egypt, struggling to consolidate a revolution that deposed President Hosni Mubarak in February, faces what could be even worse turmoil because the country is running out of food as well as the money to buy it.
Food prices went up 10.7 percent in April compared to the same month in 2010, government statistics indicate.
At the same time, Egypt’s annual urban inflation rate surged past 12 percent in April, underlining how key factors that triggered the popular uprising that forced Mubarak from office after 30 years remain in play…..
This bleak assessment in Asia Times Online’s Spengler column was underlined by a warning from Ahmad al-Rakaibi, head of Egypt’s Holding Company for Food Industries, of “acute shortage in the production of food commodities manufactured locally as well as a decline in imports of many goods, especially poultry, meat and oil.”
Egypt is reported to have only four months’ supply of wheat on hand and only one month’s supply of rice.
According to Al-Ahram, Egypt’s leading daily, hoarding of rice by wholesalers has pushed prices up by 35 percent this year….
Egypt’s foreign exchange reserves have fallen by $13 billion, or roughly one-third, in the first quarter of the year amid a flight of capital.
The business elite who flourished under Mubarak and ran the economy for half a century are hustling their wealth to safer climes.
Rising food prices is a global problem but the Middle East is particularly at high risk because of chronically high levels of unemployment and low incomes.
Mushrooming populations are an added factor. Arab countries have among the highest population growth rates in the world….

I wonder if there is some correlation to this latest maneuver and the potential neutralization of DSK? Remember when Tom Hayden wanted to help Michael and Michael said “you’re out, Tom?” Michael and his thugs were about to make some bold and brutal moves and Tom Hayden was too soft for the job.

Posted by: Morocco Bama | May 28 2011 17:48 utc | 3

Read a story some time ago, that rising wheat prices had a big role in the unrest in Egypt, and that Wall St. speculation on commodities caused most of the problem. Just wondering if the “Arab Spring” owes part of it’s birth to Wall St. tinkering with commodities?

Posted by: ben | May 29 2011 2:58 utc | 4

“Ali Tarhouni, the rebel finance minister, complained that many countries that pledged aid have instead sent a string of businessmen looking for contracts from the oil-rich country.
“They are very vocal in terms of (offering financial) help, but all that we have seen is that they are … looking for business,” Mr Tarhouni said.”
http://www.heraldsun.com.au/news/breaking-news/libyan-rebels-warn-money-running-out/story-e6frf7jx-1226064864032

Posted by: somebody | May 29 2011 8:54 utc | 5

and there is this
http://www.guardian.co.uk/world/2011/may/28/uk-training-saudi-troops
“Britain is training Saudi Arabia’s national guard – the elite security force deployed during the recent protests in Bahrain – in public order enforcement measures and the use of sniper rifles. The revelation has outraged human rights groups, which point out that the Foreign Office recognises that the kingdom’s human rights record is “a major concern”.

Posted by: somebody | May 29 2011 10:35 utc | 6

The pledges mean nothing (see b, loans to be paid with interest) also as they need never be realized.
How btw does one support democracy? Like in Iraq, with murder, DU, dirty water?
Nothing is said about where this money is to go, to whom, for what.
Would it go to vegetable sellers, struggling mothers, indie bloggers, to some ‘worthy’ initiative like eradicating disease or providing all with cell phones? To pay for young twitter savvy political candidates?
To the Gvmt to ease ‘pain’ as it sees fit?
I think not.
To struggling banks and corporations? To protect foreign investment? Which and why?
The West is holding out the promise that it willing to pay out some serious cash as bribes, provided the recipients toe the line, and the paid off understands that they will do the West’s bidding with no complaint. Like, now new Mafia partners are needed, the tender is open.

Posted by: Noirette | May 29 2011 15:36 utc | 7

Libya has exploitable oil and water. What exploitable commodities/resources does Eqypt have? Some rare earth deposits? Nationally owned businesses? The Suez Canal?
Looks like the Big Corporations, probably banksters, are looking at Egypt as a nation whose people they can expoit by charging The Rents. However, it’s hard for people without a livable income to pay many rents (here in the USA it’s housing, energy, transportation, sometimes water, food, cable TV, phone services, banking fees to have debit and credit cards,checking and saving accounts, etc). And hedgies will be betting on a foreign exchange crash, right? Get the economy weak enough and swoop in to buy up stuff for pennies on the dollar….
And, yes, Obama asking the Poles to teach the Egptians how to have a democracy is priceless.

Posted by: jawbone | May 29 2011 17:46 utc | 8

b – Obama has already spelt it out in his earlier speech:

“America’s support for democracy will therefore be based on ensuring financial stability; promoting reform; and integrating competitive markets with each other and the global economy – starting with Tunisia and Egypt,”

Which translates as:
financial stability – do what our banks tell you to do;
promoting reform – sell your state assets to our banks for knockdown prices;
integrating competitive markets – you will get rid of all trade unions, health and safety, working time and minimum wage legislation and all your people will become slaves for our banks.

Posted by: blowback | May 29 2011 18:04 utc | 9