Episode 1

Ben Wallace Isn’t the Next NATO Head & more– 27th June 2023

Wallace faces obstacles in his bid to become the next NATO head, Ukraine joins the Council of Europe Development Bank, the United Nations highlights human rights concerns in Iran, India and China heavily rely on discounted Russian crude oil, UNICEF raises alarm over the dire situation in Lebanon, the US plans to rejoin UNESCO after a decade-long dispute, and much more


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Transcript

Ben Wallace, the UK's defense secretary, has announced in an interview with the Economist on Wednesday the 21st of June, that he is no longer in contention to become the next NATO head. Despite garnering support from European allies and receiving backing from the UK Prime Minister, Wallace's bid to replace Jens Stoltenberg as secretary general has been thwarted by the US, the alliance's most influential member. During a recent meeting in Washington, Chancellor Rishi Sunak supposedly advocated on behalf of Wallace to President Joe Biden, but failed to sway the American leader. Additionally there is a wide perception expressed by British press reports that France is lobbying for the appointment of a figure from an EU member as the future head of the alliance. During his interview with the Economist, Wallace also expressed his understanding that his NATO aspirations were futile, suggesting that the US might prefer a prime minister for the role. NATO allies have been engaged in private discussions for over a year regarding Stoltenberg's successor, with his term already extended three times. While Stoltenberg has indicated that he does not seek to prolong his tenure, he has not ruled out honoring a request from allies to continue.

In other news, Ukraine has successfully completed the accession process and has officially become the 43rd member state of the Council of Europe Development Bank (or CEB). The CEB, established in nineteen fifty-six, is a multilateral financial institution dedicated to addressing socially oriented reintegration issues faced by European countries, including refugees, displaced persons, and migrants. Ukraine's membership application was submitted in June twenty twenty-two. Sergii Marchenko, the country's Finance Minister, stated that this achievement is a significant step towards Ukraine's deeper integration into the European Union and that membership in the CEB will play a crucial role in the nation's recovery and will help with existing challenges. The CEB's Strategic Framework for twenty twenty-three-twenty twenty-seven outlines cooperation areas with Ukraine, focusing on meeting the country's healthcare needs and implementing housing policies. Carlo Monticelli, the Governor of the CEB, emphasized the bank's commitment to supporting Ukraine’s recovery, reconstruction, and long-term social development.

On that note about Councils, during a session of the Human Rights Council, Nada Al-Nashif, the United Nations Deputy High Commissioner for Human Rights, presented a report on Iran, highlighting a deteriorating human rights situation in the country. While Tehran vouched to adopt UN human rights mechanisms, compliance and implementation of such measures was little to none. The report depicted worsening socio-economic conditions in Iran, exacerbated by sanctions and the ongoing impact of the COVID-19 pandemic. The population faced significant challenges in voicing grievances and seeking remedies, with a lack of effective avenues for recourse. Iran rejected the report and said it was politically motivated, biased, and unfair. The Persian Gulf state said it is committed to promoting and protecting human rights while interacting and cooperating with UN human rights mechanisms.

India and China, the two top consumers of oil globally (behind the US), have continued to purchase heavily discounted Russian crude oil, comprising up to 80% of Moscow's oil exports in May, according to the International Energy Agency (or IEA). India's imports of Russian oil reached a record high, surpassing April's imports by 14%. The IEA's Oil Market Report highlighted that India's purchases have risen from almost nothing to nearly two million barrels per day, while China's liftings increased from 2 million barrels to 2.2 million barrels per day. With Europe banning Russian crude imports and the G7 imposing shipping restrictions, over 90% of Russian seaborne crude is now directed towards Asia. Significant discounts, compared to benchmark prices, increase the demand for cheap Russian crude oil. The IEA predicts that India's GDP will grow by 5% in twenty twenty-three and estimates that the country will overtake China in terms of global year-on-year oil demand growth in twenty twenty-seven.

UNICEF has released a statement revealing the dire situation in Lebanon, stating that nearly 90% of households lack sufficient funds to purchase essential items, leading them to resort to extreme measures to cope with the economic crisis. The agency conducted a survey earlier this year, which found that families are struggling to meet even their most basic needs despite significant expense reductions. The situation has forced a growing number of families to send their children, some as young as six years old, to work in order to survive. The survey indicated that 15% of households have halted their children's education, compared to 10% in twenty twenty-two, and 52% have reduced their spending on education, compared to 38% last year. Syrian refugees in Lebanon have also been affected, with at least one in four Syrian families compelled to send their children to work. UNICEF has called on the Lebanese government to promptly implement the National Social Protection Strategy, which includes plans to provide social grants to vulnerable families, investment in education through reforms, and policies to ensure access to quality education for children. The Lebanese economy has been falling apart since twenty nineteen, marked by currency collapse and a significant decline in the standard of living for the population. The government is currently seeking an IMF loan, contingent on implementing economic reforms.

The United States is set to rejoin the United Nations Educational, Scientific and Cultural Organization (best known as UNESCO) after a decade-long dispute that arose when the organization admitted Palestine as a member. As part of its return, the US plans to pay over $600 million in back dues. US officials cite concerns about China's increasing influence in UNESCO’s policymaking, particularly in the areas of artificial intelligence and technology education worldwide. The US's return is expected to be voted on by the organization's 193 member states next month. This development will provide a significant financial boost to UNESCO, known for its World Heritage program and initiatives addressing climate change and education. The US and Israel had ceased funding UNESCO in twenty eleven when Palestine was granted membership, leading to the loss of their voting rights in twenty thirteen. In twenty seventeen, the Trump administration decided to withdraw from the organization, citing bias against Israel, a decision that officially came into effect in twenty nineteen.

Hussein Al-Sheikh, the Secretary-General of the Executive Committee of the Palestine Liberation Organization (or PLO), has urged the International Criminal Court (or ICC) to expedite its examination of files concerning alleged crimes commited by the Israeli State against Palestinians. Al-Sheikh emphasized the ongoing violence faced by the Palestinian people, including murder, demolitions, and the destruction of their fields, and urged international action to put a stop to such actions. Karim Khan, who assumed the role of ICC chief prosecutor in June twenty twenty-one, succeeded Fatou Bensouda. Bensouda had previously announced her intention to investigate alleged Israeli war crimes but sought clarification on the ICC's jurisdiction before proceeding. She later determined that Palestine is a state, granting the ICC jurisdiction in related cases. Before her clarification, the ICC was practically unable to process cases of similar nature.

And to close this edition, amid tensions in the region involving China, the Association of Southeast Asian Nations (or ASEAN) has announced plans for its inaugural joint military drill. The Indonesian military confirmed that the drill's location will be in the South Natuna Sea, following discussions at the 20th ASEAN Chief of Defense Forces Meeting in Bali. The exercise, named Solidarity, will involve routine joint training and coordinated patrols in the waters of the South China Sea, including participation from the army, navy, and special forces of ASEAN member states. Despite initial skepticism from Cambodia, the drill will take place from the 18th to the 25th of September. The decision to hold the exercise in the South Natuna Sea stems from territorial disputes between several ASEAN countries and China.

That’s it for this week! Thanks for joining us!

See you next week!

About the Podcast

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Rorshok Multilateral Update