Yemen suffered from the excessive control of the central government prior to the current conflict. Federalism has been put forward by many Yemeni political parties since the National Dialogue Conference (NDC) as the supposed magic cure for this significant problem. Today, Yemen is more fragmented than ever, its state central institutions have been scattered and lack leadership and the state has lost most of its sovereignty. The prevailing narrative that decentralization through federalism is Yemen’s inevitable path post-conflict often fails to acknowledge that there are prerequisites for effective local governance, beyond political will.  

In a recent article, Osamah Al Rawhani addressed how the weakness of central state institutions is the key challenge to proceeding with federalism in Yemen and highlighted prerequisites and contextual factors that need to be addressed before reforming the structure of the state. He argued that the viability of decentralization relies on the presence of a functioning, representative central government that is capable of devolving power but also able to keep the state from further fragmentation. 

In this webinar, part of the Chatham House project on The Future of the State in the Middle East and North Africa, the article’s author will discuss recent developments in Yemen, where shifting frontlines and regional divisions are fragmenting the country in new ways. The speaker will explore alternative approaches to pursue the path of federalism that recognize the current realities and the critical need for strong central institutions. He will also survey the internal and external factors that must be considered to rebuild a stable state in Yemen.

You can express your interest in attending by following this link. You will receive a Zoom confirmation email should your registration be successful. Alternatively, you can watch the event live on the MENA Programme Facebook page.

Eliza Manningham-Buller is confirmed as a president of Chatham House replacing Paddy Ashdown who steps down after 10 years.

The appointment of Baroness Manningham-Buller as a president of Chatham House was confirmed at the institute’s annual general meeting on Tuesday 21 July. Baroness Manningham-Buller joins Sir John Major and Baroness Scotland of Asthal as a co-president and succeeds Lord Ashdown of Norton-sub-Hamdon who has stepped down from the role after two terms.

Eliza Manningham-Buller was director-general of the UK Security Service (MI5) between 2002 and 2007 and became an independent life peer in 2008. She served as Chairman of Imperial College London from 2011 to 2015. She brings to Chatham House an extensive knowledge of and experience in international security as well as a deep interest in medical research and global health, having served as a member of the Board of Governors of the Wellcome Trust since 2008. In October 2015, Baroness Mannigham-Buller will become Chairman of the Trust’s Board of Governors.

Paddy Ashdown steps down after serving as a president for 10 years alongside Sir John Major, Patricia Scotland and their predecessors Lord Hurd of Westwell and Lord Robertson of Port Ellen, respectively. Over that period, the institute benefitted enormously from his extensive experience in international politics and conflict resolution, including as High Representative for Bosnia and Herzegovina from 2002 to 2006.

Dr Robin Niblett, director of Chatham House, said:

'I am delighted to welcome Elizabeth Manningham-Buller as a president of Chatham House. Throughout her career, she has brought deep knowledge, careful analysis and sound judgement to bear upon some of the most difficult dimensions of public policy. The institute will benefit greatly from these qualities as it draws on her engagement with Chatham House over the coming years.

I would like to pay tribute to Paddy Ashdown for his long-standing support of Chatham House. His contributions to our substantive debates, both internally and externally, have been invaluable on numerous occasions, and we look forward to his continued involvement with the institute as a member of our Panel of Senior Advisers.'

Baroness Manningham-Buller said:

“I am delighted to be elected as a Chatham House president at this important time in the institute’s history, as it grapples with a complex and inter-connected agenda of policy challenges. I look forward to working with John Major and Patricia Scotland in supporting Chatham House and its valuable and necessary work.

The risk of a serious cyber attack on civil nuclear infrastructure is growing, as facilities become ever more reliant on digital systems and make increasing use of commercial ‘off-the-shelf’ software, according to a major new report from Chatham House.

Cyber Security at Civil Nuclear Facilities: Understanding the Risks is the result of an 18-month study that draws on in-depth interviews with 30 leading industry practitioners based in more than eight countries. It found that the trend to digitization, when combined with a lack of executive-level awareness of the risks involved, means that nuclear plant personnel may not realize the full extent of their cyber vulnerability and are thus inadequately prepared to deal with potential attacks. 

Specific findings include:                

• The conventional belief that all nuclear facilities are ‘air gapped’ (isolated from the public internet) is a myth. The commercial benefits of internet connectivity mean that a number of nuclear facilities now have VPN connections installed, which facility operators are sometimes unaware of.
• Search engines can readily identify critical infrastructure components with such connections.
• Even where facilities are air gapped, this safeguard can be breached with nothing more than a flash drive.
• Supply chain vulnerabilities mean that equipment used at a nuclear facility risks compromise at any stage.
• A lack of training, combined with communication breakdowns between engineers and security personnel, means that nuclear plant personnel often lack an understanding of key cyber security procedures.
• Reactive rather than proactive approaches to cyber security contribute to the possibility that a nuclear facility might not know of a cyber attack until it is already substantially under way.

In the light of these risks, the report outlines a blend of policy and technical measures that will be required to counter the threats and meet the challenges. 

Recommendations include:

• Developing guidelines to measure cyber security risk in the nuclear industry, including an integrated risk assessment that takes both security and safety measures into account.
• Engaging in robust dialogue with engineers and contractors to raise awareness of the cyber security risk, including the dangers of setting up unauthorized internet connections.
• Implementing rules, where not already in place, to promote good IT hygiene in nuclear facilities (for example to forbid the use of personal devices) and enforcing rules where they do exist.
• Improving disclosure by encouraging anonymous information sharing and the establishment of industrial CERTs (Computer Emergency Response Team).
• Encouraging universal adoption of regulatory standards.

During a decade-long commodities boom, new or emerging producers of oil, gas or mineral resources registered some of the fastest rates of economic growth in the world. Development banks, governments giving foreign aid, extractives companies and major consultancies broadly agreed that ‘extractives-led growth’ is a viable path to socio-economic development for poor countries. 
               
Following over a year of decline in global commodities prices and as efforts to tackle climate change mount, a new paper re-examines the 'curse of natural resources'. It finds that a policy of extractives-led growth entails serious risks. As governments of countries as diverse as Afghanistan, Mauritania, Somalia, Liberia and Cuba prepare to follow an extractives-led growth path, both the advice being handed to them and the growth model itself require a fundamental rethink.

The Resource Curse Revisited argues that:

• The steep decline in the oil price in the second half of 2014 demolished the main assumption of the extractives-led growth agenda. The assumption that prices of raw materials would continue to increase as global demand grew and well-established sources were exhausted has actually led several low- to middle-income producers such as Ghana into unmanageable debt. At the very least, the current price context  puts new producers at a serious disadvantage, as the focus on cost-cutting has made investors reluctant to accept the risks of developing projects in countries with little infrastructure or capacity to support them.

• Good governance initiatives are not the antidote to the resource curse. There has often been a mismatch in terms of policy advice given (for example on transparency and revenue management) and the capacity of a country to implement it. Furthermore, basing economic growth on the extraction of below-ground resources will create strong pressures towards poor governance. In the absence of strong institutions, this path leads to the enrichment of minority elite groups, whose interest in capturing rents is likely to become a barrier to improving governance.

• Both governments with extractives potential and those advising them give too little consideration to the size and nature of the resource base. If extractives-led growth is to be sustained, resource extraction must persist long enough for new economic sectors to emerge and generate revenues that can support government spending and import needs as income from extractives declines.

• The extractives-led growth model, in its current form, is at odds with green growth strategies. The advice from international agencies and initiatives to countries with extractive resources offers no suggestions on how governments should manage the risk of stranded assets or how they can reconcile extractives-led growth with national sustainable-development goals.

The report concludes that the extractives-led growth agenda has tended to reinforce domestic, government and investor pressures to ‘develop fast’. However, this can threaten long-term opportunities for robust economic diversification. In many cases, there is a strong case for slowing development of extractives projects to allow time to develop the capacity of the government and the private sector to maximize the linkages with the rest of the economy.

Avoiding the resource curse needs not only good governance but also an economic policy that provides for the transition of an economy over time in accordance with its competitive advantages. This report recommends that countries considering extractives development, and their would-be advisors, take into account a wider set of issues at the outset including the likely value of the asset to the economy over time, the options for slow or indeed no development of extractives, and how the rest of the economy would lessen reliance on support from the extractives sector over time.

In the post of chair, Jim O’Neill will lead the council in overseeing the operations and performance of the institute as well as contribute his substantial experience to support its mission to help build a sustainably secure, prosperous and just world. As Chatham House approaches the centenary of its founding in 2020, he will also work closely with council members, the institute’s supporters and its director, Robin Niblett, to ensure that the institute continues to be at the forefront of debate, analysis and new ideas on the most critical issues in international affairs.

Jim O’Neill will take over from Stuart Popham QC, who has served six years in the post, after the institute’s AGM in July 2018. The selection was undertaken by a search committee led by Sir Simon Fraser, vice chair of Council and chair of the nominations committee, working alongside MWM Consulting.

Stuart Popham said: ‘I am delighted that members of the Chatham House Council have unanimously elected Jim O'Neill to be my successor as chair. Jim brings a wealth of relevant experience to the role, which will stand him in good stead in leading the council. As Chatham House consolidates its position after several years of growth and moves towards the historic celebration of its centenary, he is well-placed to advise the executive team on how best to leverage its strengths and build for the future.’

Lord O’Neill said: ‘I welcome this opportunity to lead the board of an institution that I greatly respect and that I believe will play a highly important role in the future. Uniquely, Chatham House combines the capacity to convene leading thinkers and practitioners on international affairs alongside deep knowledge on how to confront some of the most intractable global challenges of our time. I look forward to building on Stuart's legacy and to ensuring Chatham House addresses the risks and opportunities of the future with the same passion as it has in the past.’

Robin Niblett said: ‘Jim O'Neill is one of the world’s the most perceptive analysts and thinkers about the global economy. His appointment as chair-elect of Chatham House coincides with a period when many of the structures and principles that have supported global growth and buttressed peace are under threat.  We are fortunate that an individual of Jim's calibre will help guide the institute during this period of profound change and enable us to engage even more intensively with our many constituencies around the world.

I am also enormously grateful for Stuart Popham's support these past six years, during which he has led the institute through a period of unprecedented expansion and a further strengthening of its international reputation.’

Stuart Popham QC steps down after two three-year terms as the institute’s chair during which time Chatham House has broadened its areas of research, including the establishment of the Hoffmann Centre on Sustainable Resource Economy, launched the Queen Elizabeth Academy II Academy for Leadership in International Affairs, and created modern new meeting facilities in the Stavros Niarchos Foundation Floor of the adjoining Ames House.

The post of chair is elected by members of council who, in turn, are drawn from and elected by the institute’s individual and nominated members.

Jim O’Neill’s previous roles include as joint head of research at Goldman Sachs (1995–2000), its chief economist (2001–10) and chairman of its asset management division (2010–13); commercial secretary to the Treasury (2015-16); chair of the City Growth Commission (2014); and chair of the Review on Anti-Microbial Resistance (2014-16). He was created a life peer in 2015, and serves as a crossbench member of the House of Lords. He is also an honorary professor of economics, University of Manchester, and holds honorary degrees from the University of Sheffield, University of London and from City University London. He received his PhD from the University of Surrey.

Creon will join Chatham House from the Cabinet Office where he served as director for international economic affairs in the National Security Secretariat and G7/G20 ‘sous sherpa’, advising on global policy issues such as climate change, natural resource security, global health threats and the future of the international economic architecture.

Creon first joined the Cabinet Office in 2013 as director in the European and Global Issues Secretariat, advising prime minister David Cameron on international economic and financial issues, ranging from country-specific developments in China and Germany to global challenges such as antimicrobial resistance and anticorruption.  He designed and organized the UK’s global Anti-Corruption Summit in May 2016.  Earlier in his career, he served in the Bank of England, HM Treasury and in the Foreign and Commonwealth Office, where he was director for economic policy and chief economic adviser.  He was also deputy high commissioner in New Delhi from 2006 to 2009.

Robin Niblett, director of Chatham House, said: 'We are delighted that Creon Butler will join Chatham House at such an important moment, when geoeconomic competition and technological disruption are changing the structure of the global economy, and as governments and societies across the world must develop more sustainable pathways to economic growth. Creon brings precisely the right combination of knowledge and experience to enable Chatham House to conceive inclusive solutions for the future.'

Creon Butler said: “Chatham House’s high quality, independent and focused policy research has never been more important in helping policy makers to chart the best path given today’s extraordinary economic and political uncertainties. I am very pleased to have the opportunity to lead the institute’s Global Economy and Finance programme at this critical time.'

In an open podcast recorded following the event, Robin Niblett discussed the state of the transatlantic relationship with International New York Times London Bureau Chief Steven Erlanger, former UK defence secretary Liam Fox and former Foreign Affairs Committee chair Mike Gapes.

The roundtable was held under the Chatham House Rule.

While revelations about the activities of the NSA and GCHQ confirmed the depth of cooperation between the US and the UK over intelligence, the debate over the UK’s membership of the EU and difficulties in coordinating a response to the Syria crisis have raised tensions between policy-makers in Washington and London. With the two countries now facing an array of shared international challenges – not least in Ukraine, Afghanistan and Iraq – this roundtable will examine the current state of the transatlantic relationship.

While the American election cycle could be perceived as an occasionally amusing distraction, the rise of new factions and sentiments among the electorate will have an impact not just in America’s domestic politics but also with respect to its role in the world. Recent polling by the Pew Research Center shows clearly the desire among many Americans for a different international engagement for the US, one that could have significant implications for America’s allies.

Polling

To date, the campaign rhetoric of both the Republican and Democratic contenders for the White House has raised questions about America’s continuing global commitment.

But what does the public think? The Pew Research Center has recently released its periodic survey of how Americans view America’s place in the world. The results suggest that stereotypes of Americans’ isolationism or protectionism do not capture the nuance in public sentiment. Wariness of international engagement coexists with assertiveness on some issues and a belief that the US is a force for good in the world. And these views often divide along partisan lines and between generations.

A majority of Americans (57%) think the U.S. should deal with its own problems and let other countries deal with theirs as best they can, a sentiment that has increased from 46% in 2010. Moreover, roughly two-thirds say ‘we should not think so much in international terms but concentrate more on our own national problems’. In part this may be the case because a plurality of Americans thinks the United States does too much (41% too much, 27% too little) in helping solve world problems.

The fact that six-in-ten Americans believe that problems in the world would be even worse without US involvement will not reassure many non-Americans who care deeply about how and where the US is engaged, not just that it is.

American isolationism is a partisan affair. Republicans (62%) are far more likely than Democrats (47%) to voice the view that the US should deal with its own problems. Notably, about two-thirds of registered Republicans or Republican-leaning independents who favour Donald Trump (68%) express such isolationist sentiments, as do more than half of the Democratic backers of Sen. Bernie Sanders (54%). At the same time, over half of registered Democrats and Democratic-leaning independents who favour Hillary Clinton (52%) believe the US should help other countries deal with their problems.

The US has often been seen by its allies as acting in a unilateralist fashion, but the polling is more nuanced than this. About half (51%) believe that the US should take into account the views of its major allies when deciding its foreign policies. However, of more concern for America’s allies (and potentially adversaries), roughly four-in-ten (42%) believe Washington should go it alone in international matters.

Despite Trump’s criticisms, 53% of the American public holds a positive view of NATO and 77% voice the view that US membership in the security alliance has been a good thing for the United States.

In addition to some wariness with regards to engaging internationally in security arenas, Americans are also generally wary of global economic engagement – protectionist sentiment is rising. Only 44% believe such US involvement is a good thing; more (49%) say such engagement is bad, lowering wages and costing jobs. These views also differ along partisan lines with more on the right than left thinking US involvement in the world economy has been a bad thing. Trump supporters are even more against economic globalization.

Rising scepticism

The results do not show an unambiguous move towards more American isolationism or unilateralism. But the trends broadly show that the American public is moving towards, as President Obama put it in 2012, a focus on ‘nation building at home’. It should come as no surprise – President Obama has presided over a period in which the US has increasingly limited its extraterritorial ambitions to those that more directly affect its vital national interests. It is therefore worth noting that this more limited engagement is one that is, broadly, supported by the public on both sides of the aisle.

There are, as have been noted, partisan differences. But the next president will govern over all Americans not just those from their own party. They will have to function in the context of an American public, the majority of whom wants the US to deal with its own problems, letting other countries manage as best they can. While who becomes president clearly matters – they have the capacity to lead their populations in certain directions - the rising scepticism among many Americans for investing in the globalized world will resonate regardless of who takes office.

The implications for America’s allies are significant. For those issues that are not directly of concern to the United States, longstanding partners are going to have to find ways to manage on their own or with less American support. And even on those issues that are of direct national interest, they might find the US less sensitive to their interests and concerns. This could hold true not just in the realm of security but on economic issues also – if America becomes more protectionist, others will surely follow.  

Many of America’s allies have perceived the United States to be an unreliable ally in recent years. Asian partners, such as Japan and South Korea, have started to take more responsibility for their own security and are working to build additional partnerships with neighbours. European allies have been, at times, disappointed by what they perceive to be a less engaged America, such as in Libya and Syria. If the next president follows the public majority, these allies will need to get used to this new role for the United States.

This article has been published jointly with Real Clear World.

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