WEDNESDAY, AUGUST 24, 2016
Volume 3, Number 01
EIR Daily Alert Service
P.O. Box 17390, Washington, DC 20041-0390
- The World Urgently Needs a New Financial Architecture and a New Paradigm of Thinking
- U.S. Military Tries To Declare a De Facto No-Fly Zone over Eastern Syria
- Obama’s Latest Illegal War: Libya
- Yemenis Turn the Tide against the Anglo-Saudi-American War
- Turkish Expert Excited by China’s G20 Strategy
- Indian Envoy Meets with Assad: Growing Indian Interest in Syria
- Russia, China, and India Could Shape the Eurasian Land-Mass
- China Advances Toward Its 2020 Mission to Mars
- Russia’s New Spacecraft Will Upgrade Space Station Cargo Delivery
- Financiers Scrambling over Imminent Derivatives Blow-Out
- Campaign Escalates To Block Obama’s New Arms Sales to Saudi Arabia
Aug. 23 (EIRNS)—China’s President Xi Jinping has made it clear that he intends to keep the focus of the upcoming G20 heads of state and government summit in Hangzhou on the urgent need for a new global financial and economic architecture. In fact, the entire dynamic of the world has already shifted to Asia, where long strides are being taken to put that new financial architecture in place. The official China media, joined by top Russian analysts, have made clear that any such new and viable system must include the United States—and this means that the U.S. must ultimately abandon its delusions about ruling over a unipolar world that no longer exists, and never should have existed in the first place.
One particularly insightful call by Andrey Kortunov, Director General of the Russian International Affairs Council, appeared today in Xinhua, in which he warned that “The longer those reforms are postponed, the higher the risk of new crises and instability in the world economy.” There is widespread belief that Europe is on the very edge of financial blowout, with severe global implications. Bloomberg reported Tuesday that Deutsche Bank, Barclays, and Credit Suisse combined are sitting on $102.5 billion in “Level 3” assets that are illiquid and could not be dumped on short notice in a crisis. The Economist has headlined its Aug. 20-26 issue “Nightmare on Main Street,” warning of the blowout of the $26 trillion U.S. housing market, with a mountain of derivatives and other non-bank securitized gambling paper built up once again on top.
Kortunov concluded by urging that “Both Russia and China should consistently seek common ground with Washington, and avoid crises, without making concessions on matters of principle.”
A second Xinhua commentary assailed the “overreliance on monetary policy” and the focus on “markets” as opposed to “nations”—at the expense of policies aiming for real physical economic growth, based on technological innovation. “China will use the conference to spur dialogue among developed and developing countries around the potential to foster growth through reforms and innovation,” Xinhua announced.
The foundations for such a new global financial and economic architecture have been well-established, through the growing integration of Eurasia; through cooperation among the nations of the Eurasian Economic Union; the Shanghai Cooperation Organization; and ASEAN. China’s One Belt, One Road initiative, based on Lyndon and Helga LaRouche’s original mid-1990s concept of the Eurasian Land-Bridge, is the principle upon which this Eurasian development is premised.
At a Kazakh-Polish business forum in Warsaw, on Tuesday, Kazakh President Nursultan Nazarbayev called for a trilateral agreement between Russia, Poland and Kazakhstan, to build up transport corridors through the Caucasus region, as another piece of the overall Eurasian transport/development corridors. The new emerging cooperation between Russia, Turkey, Iran, and India, accelerated this past week by a string of diplomatic meetings, has a similar focus, centered on the North-South Corridor, running up from the Persian Gulf through Russia into Europe, with spirals into both the Black Sea and Caspian Sea regions.
Such “win-win” ideas demand nothing less than a new paradigm in thinking—an abandoning of the old, dead British imperial concepts of divide-and-conquer geopolitics—concepts that brought the world a century of two world wars and a 50-year Cold War.
In the United States and Europe, the bankruptcy of the entire financial and monetary system is so advanced that the only remaining solution is the immediate reinstatement of Glass-Steagall full bank separation in the United States and the passing of identical laws in Europe. Glass-Steagall is but the first, indispensable step towards the kind of new financial and economic architecture that Xi Jinping is going to put on the table at Hangzhou on Sept. 4-5.
STRATEGIC WAR DANGER
Aug. 23 (EIRNS)—Reeling from the setbacks administered by Russian President Putin’s strategic initiatives across Southwest Asia, the Obama administration is scrambling to get back in the game. Through a series of Pentagon statements, the U.S. has, in effect, tried to declare a no-fly zone over Syria’s Hasakah province, even if it won’t call it that.
“It’s not a no-fly zone,” Pentagon Press Secretary Peter Cook told reporters yesterday. “But,” he continued, “the Syrian regime would be wise to avoid areas where coalition forces have been operating. And we will continue to defend them, and, if need be, we will send aircraft again to defend our forces.” Cook refused to say whether U.S. planes were now flying regular combat air patrols (they may well be) where U.S. forces are deployed. However, “We are going to tell the Syrians and anyone else who may threaten our force in that area that we will defend them, and they have a right to defend themselves as well,” Cook said.
Completely disregarding the simple fact that American forces are on the ground in Syria in the first place, in violation of that country’s sovereignty, and that American warplanes are in Syrian airspace also in violation of international law, Cook suggested that his warning will apply to other areas of Syria where U.S. forces may move in the future.
“We will continue to defend our forces in our fight against ISIL … and as our forces move in Syria and continue their partnered operations, we will do what we need to do to protect our forces.” Cook stopped short of threatening to shoot down a Syrian or Russian plane that might threaten U.S. forces, saying: “We’re not going to get into our rules of engagement.”
Al Masdar News’ Paul Antonopoulos put the matter simply in an article today: Cook is making demands for the Syrian government to not operate within its own sovereign airspace.
Cook also used the occasion to throw cold water on the ongoing Kerry-Lavrov talks: “Contrary to recent claims, we have not finalized plans with Russia on potential coordinated efforts. Serious issues must first be resolved before we can implement the steps discussed in Moscow last month,” Cook said. Lt. Gen. Stephen Townsend, the U.S. Commander in Baghdad, also was negative on cooperating with Russia, admitting that the decisions in that regard were for the Obama Administration to make, but “as a soldier, I’m fairly skeptical of the Russians,” he told Associated Press.
Aug. 23 (EIRNS)—Those who argue that there’s no point in removing Obama from office now, since his remaining time is short, should look at the new wars Obama is launching.
The latest atrocity is that U.S. Marines are now flying strikes in Libya, purportedly against ISIS, using Cobra attack helicopters. The strikes over the weekend marked the first time defense officials have disclosed using the AH-1W Cobras for strikes in Libya, Defense News reports. AFRICOM said the strikes were conducted “at the request of, and in coordination with, the Libyan Government of National Accord,” or GNA, the dubious body manufactured at U.S. and British specifications.
Like all of Obama’s wars, this one also is a violation of national sovereignty and of international law. The Libyan Parliament met yesterday, and voted no confidence in the GNA. Out of the 101 members present, the Washington Post reports, 61 voted against the government; 39 abstained, and only 1 voted in favor of the government. The vote apparently triggered an internal dispute over its legitimacy, as well as international consternation: “The vote can potentially throw the whole unity process up in the air,” said Mattia Toaldo, senior policy fellow at the European Council on Foreign Relations in London.
NEW WORLD ECONOMIC ORDER
Aug. 23 (EIRNS)—The Yemenis have turned the tide against the Saudis in the ongoing genocidal war in that country, by establishing a national unity government among the army, the Houthis, and Ali Abdullah Saleh’s party, and of course by fighting back against the Anglo-Saudi-American war of aggression. Now they are moving to the point of becoming the real “legitimate” government, rather than the clown Abd Rabbu Mansour Hadi, in the Riyadh five-star hotel.
The move in the direction of Russia by Saleh and others is a reflection of the shift in the whole region towards accepting Putin’s strategy. Their reported offer to the Russians of a military base inside Yemen has not been confirmed, and is questionable in that it would place Russia in direct military engagements fighting Saudi jets and British and American special forces and mercenaries on the ground. However, Saleh understands that the Russia policy is recognized as the winning policy, especially as the Iranian-Russian coordination is very tightly knit, and now Turkey is moving in the same direction. Even Egyptian President Abdel Fattah el-Sisi has abandoned his Saudi-friendly silence concerning Syria, and has now openly expressed his view on the necessity of supporting the Russia-American coordination on Syria. Most importantly, el-Sisi called for protecting the unity of Syria; disarming all the militias and terrorist groups; revitalizing the role of the central state, and launching national reconstruction.
The Saudis are going berserk and bombing the hell out of Yemen right now. But that did not prevent the multi-million demonstration in the capital Sana’a on Aug. 19 in support of the new Houthi-Saleh government of the Supreme Political Council.
The days of ISIS in Iraq (Mosul) and Syria (Raqqa and Deir Ezzour) are numbered. The only thing which is delaying the final attack is that the different forces are pulling in different directions, due to the Obama Administration’s games that are prolonging the life of ISIS. The Turks are also contributing to the delay, due to their policy of supporting the terrorist groups around Aleppo and Idlib. Their excuse is that they want to keep the Kurds in check, but they are in reality supporting Al-Nusra and other terrorist groups with the hope that a U.S.-Russia political solution will include safe havens for their Islamist militias inside Syria.
Aug. 23 (EIRNS)—Altay Atli, the coordinator of the Asian Studies Center at Bogazici University in Istanbul, told Xinhua today that China’s decision to expand the participants in this year’s G20 summit is key.
“A large presence from the developing world is very important…. The world’s problems are collective; they impact all of us, and this is why they require collective solutions…. Instead of being a ‘rich men’s club,’ the G20 should act as a facilitator for creating solutions to global problems by bringing representatives from different parts of the world together,” he emphasized.
Aug. 23 (EIRNS)—Indian Minister of State for Foreign Affairs Mubashir Javed Akbar’s visit to Syria, Iraq, and Lebanon started with his promising meeting Lebanese Prime Minister Tammam Salam and Foreign Minister Gebran Bassil. His subsequent meeting with Syrian President Bashar al-Assad on Aug. 20, however, drew most attention. In that meeting, President al-Assad “sought India’s help in the reconstruction of his country’s economy, and discussions were held on upgrading security consultations. India’s role in the fight against terrorism also figured in the talks,” the Indo-Asian News Service reported today. Akbar’s visit comes seven months after the visit of Syrian Deputy Prime Minister and Foreign Minister Walid al-Moallem to India, where he sought India’s economic and political support.
In New Delhi, a similar view was also expressed by Syrian Ambassador Dr. Riad Abbas in an interview with The Hindu that appeared today. He said, “The Syrian government has given priority to friendly countries like India, all the BRICS states, and Iran to come to Syria for reconstruction projects. I have been trying to convince infrastructure businesses here to come and take part in these projects. And I am happy to say that next month I will be taking a delegation to Syria to take a tour of the area and discuss possible projects with them.”
Akbar’s rather sudden visit to Damascus has created a bit of a stir in the Organization for Islamic Cooperation (OIC). But it is nonetheless consistent with the recent efforts by Prime Minister Narendra Modi and External Affairs Minister Sushma Swaraj, who in the last two years have visited Saudi Arabia, Egypt, the U.A.E. and other Islamic countries to strengthen India’s Southwest Asia policy. Modi is scheduled to visit Palestine and Israel before this year is over and it is evident that New Delhi is in the process of enhancing its ties with Syria, Lebanon and Iraq prior to Modi’s visit.
Aug. 23 (EIRNS)—An special op-ed yesterday by Alexander Korolev, a Junior Research Fellow at the Center for Comprehensive European and International Studies (CCEIS) at the Higher School of Economics, Moscow, in Russia Direct, and reprinted today in Russia Beyond the Headlines, maintained that Russia’s recent efforts to make inroads into the ASEAN open up the possibility of Russia, China, and India coming together to shape the future of greater Eurasia. Korolev’s op-ed concludes, “It is vital to note that Russia has every intention to become a true Asia-Pacific nation; it seeks to reevaluate past approaches and its current resources. … How integrated Russia will be into the Asia-Pacific economic region will depend on how productive Russia’s dialogue is with the main decision-makers.” The “main decision-makers” are ostensibly China and India.