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Shaping modern Britain: the role of African and Caribbean communities

Shaping modern Britain: the role of African and Caribbean communities 24 October 2024 — 5:00PM TO 6:00PM Anonymous (not verified) Chatham House and Online

As part of Black History Month, this event celebrates the enduring contributions of African and Caribbean communities to the UK.

When British colonial rule ended, newly independent countries in Africa and the Caribbean retained influences such as the English language and governance systems modelled on that of the UK. Initially, these post-independence relations were largely marked by the UK’s soft power, shaping the nation-building processes in these regions.

Over time, however, this influence has become a two-way exchange. African and Caribbean cultures have profoundly shaped modern Britain – from music and food to sports, arts, literature and beyond. These evolving dynamics have not only enriched the UK’s cultural landscape but also provided significant benefits for diaspora communities, fostering a sense of belonging and promoting cultural exchange. Diaspora groups and civil society organizations have adeptly utilised these connections to advocate for their communities and advance their interests.

At this event, speakers will explore how African and Caribbean influences rose to prominence in the UK and how this cultural momentum can be harnessed to build stronger, forward-looking partnerships. By highlighting the shared histories and more vibrant present-day exchanges, this event will explore how these ties can be used to break down stereotypes, promote social cohesion, and contribute to a more inclusive future.

This event forms part of our series of events celebrating Black History Month, including a photo exhibition and drinks reception.




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Iraq Initiative Conference 2024

Iraq Initiative Conference 2024 20 November 2024 — 9:30AM TO 5:00PM Anonymous (not verified) Chatham House and Online

Our sixth annual Iraq Initiative conference will convene Iraqi and international policymakers, experts and civil society in London to discuss the critical questions for Iraq’s future, and the country’s trajectory in the year ahead.

Over two decades following regime change, Iraq appears to be on a path to recovery and growth. With the support of high oil prices, Prime Minister Mohammed Shia’ al-Sudani’s government is implementing an ambitious plan to develop critical infrastructure, enhance ties with neighbouring countries, and renegotiate relationships with international partners like the US and UN. The political system has rebounded from a series of shocks and is in the process of consolidating and centralising power in Baghdad under the governing Shia Coordination Framework.

However, underlying political, economic, security, and regional challenges, if not addressed, threaten this apparent stability and frustrate longer-term hope for a better future. Despite the country’s wealth, many young Iraqis struggle to find jobs while the space for civic activism shrinks. Meanwhile, the escalation of violence across the region threatens to engulf Iraq in further conflict. With the 2025 parliamentary election approaching, infighting within the governing coalition also suggests political turmoil in the year ahead.

The key questions explored through each session include:

  • How can the Sudani government tackle the roots of these obstacles to ensure that development can be sustained over time?
  • What are the key steps to coherent and effective state-building?
  • And how can regional and international actors support this process?

This conference is part of Chatham House’s Iraq Initiative.

This year’s conference features RE-PLAY – a video art exhibition curated by Dr Tamara Chalabi of the Ruya Foundation. The artists featured in this exhibition, spanning multiple generations both within Iraq and in the Iraqi diaspora, use their work to grapple with complex notions of Iraqi identity through the thematic issues of heritage, exile, disconnection, freedom of expression, and other persistent issues explored in this show.

Simultaneous English-Arabic interpretation will be available for all conference sessions. This event is part of Chatham House’s Iraq Initiative.

The institute occupies a position of respect and trust, and is committed to fostering inclusive dialogue at all events. Event attendees are expected to uphold this by adhering to our code of conduct.




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Unusual zwitterionic catalytic site of SARS-CoV-2 main protease revealed by neutron crystallography [Enzymology]

The main protease (3CL Mpro) from SARS–CoV-2, the etiological agent of COVID-19, is an essential enzyme for viral replication. 3CL Mpro possesses an unusual catalytic dyad composed of Cys145 and His41 residues. A critical question in the field has been what the protonation states of the ionizable residues in the substrate-binding active-site cavity are; resolving this point would help understand the catalytic details of the enzyme and inform rational drug development against this pernicious virus. Here, we present the room-temperature neutron structure of 3CL Mpro, which allowed direct determination of hydrogen atom positions and, hence, protonation states in the protease. We observe that the catalytic site natively adopts a zwitterionic reactive form in which Cys145 is in the negatively charged thiolate state and His41 is doubly protonated and positively charged, instead of the neutral unreactive state usually envisaged. The neutron structure also identified the protonation states, and thus electrical charges, of all other amino acid residues and revealed intricate hydrogen-bonding networks in the active-site cavity and at the dimer interface. The fine atomic details present in this structure were made possible by the unique scattering properties of the neutron, which is an ideal probe for locating hydrogen positions and experimentally determining protonation states at near-physiological temperature. Our observations provide critical information for structure-assisted and computational drug design, allowing precise tailoring of inhibitors to the enzyme's electrostatic environment.




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High affinity binding of SARS-CoV-2 spike protein enhances ACE2 carboxypeptidase activity [Molecular Bases of Disease]

The novel severe acute respiratory syndrome coronavirus (SARS-CoV-2) has emerged to a pandemic and caused global public health crisis. Human angiotensin-converting enzyme 2(ACE2) was identified as the entry receptor for SARS-CoV-2. As a carboxypeptidase, ACE2 cleaves many biological substrates besides angiotensin II to control vasodilatation and vascular permeability. Given the nanomolar high affinity between ACE2 and SARS-CoV-2 spike protein, we investigated how this interaction would affect the enzymatic activity of ACE2. Surprisingly, SARS-CoV-2 trimeric spike protein increased ACE2 proteolytic activity ∼3-10 fold against model peptide substrates, such as caspase-1 substrate and Bradykinin-analog. The enhancement in ACE2 enzymatic function was mediated by the binding of SARS-CoV-2 spike RBD domain. These results highlighted the potential for SARS-CoV-2 infection to enhance ACE2 activity, which may be relevant to the cardiovascular symptoms associated with COVID-19.




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Reply to Sysel et al.: Comment on the importance of using nitric oxide gas in the synthesis of nitrosylcobalamin and ICH-validated methods to assess purity and stability [Letters to the Editor]

In their comment (1) on our publication (2), the authors make two points: (i) they raise concerns about the possible effect of residual NONOate in our study, and (ii) they promote nitrosylcobalamin (NOCbl) supplied by their own company. Both points lack merit for the following reasons. The authors make the astonishing claim that the spectra of nitric oxide (NO•) and cobalamins overlap. Unlike NO•, cobalamin absorbs in the visible region, permitting unequivocal spectral assignment of NOCbl as reported (3). We demonstrated that whereas NOCbl is highly unstable in solution, it is stabilized by the B12 trafficking protein CblC. So even if present, residual NONOate (which is unstable at neutral pH and is removed during the work-up (3)) could not account for the observed difference.The authors then misrepresent our synthetic method, claiming that anaerobic conditions were used to generate nitrocobalamin (NO2Cbl), which results in the transient formation of NOCbl. We synthesized NO2Cbl aerobically using nitrite as described (4); NOCbl is not an intermediate in this ligand exchange reaction. The aerobic instability of NOCbl has been rigorously described by inorganic chemists (3, 5) and raises obvious questions about its purported biological effects as exemplified by the authors' own 2003 JBC publication, which was later withdrawn.As to promoting NOCbl from their company, the authors refer to a synthetic route from a mixture of NO• gas and aquocobalamin. The authors' method (6) has been described as “dubious” by chemists (5). Whereas DEAE NONOate used in our method is widely known as an NO• donor,...




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Comment on the importance of using nitric oxide gas in the synthesis of nitrosylcobalamin and ICH-validated methods to assess purity and stability [Letters to the Editor]

After a thorough read of this paper (1), we wish to clarify that the authors' anaerobic method of synthesis for the production of nitrocobalamin results in the transient formation of nitrosylcobalamin, an unstable intermediate upon exposure to air. We concur that the authors' method results in the production of nitrocobalamin based on the UV-visible data as shown. The authors' adapted anaerobic method consists of mixing hydroxocobalamin hydrochloride with diethylamine NONOate diethylammonium salt in aqueous solution. Of concern, the UV spectrum of nitric oxide overlaps that of all cobalamin species under anaerobic conditions, making any assignments of the binding of nitric oxide to hydroxocobalamin suspect (2). Additionally, the use of acetone to precipitate the authors' product causes precipitation of diethylamine NONOate, resulting in an impure product. As a result, its utility for drawing experimental conclusions is faulty.The product from the authors' anaerobic synthetic method has not been assessed for purity, and the synthetic method itself has not been validated using a stability-indicating method as required by the International Conference on Harmonization (ICH) (ICH Q2B, Validation of Analytical Procedures) methodology, which is a hallmark for analytical characterization. Our nitrosylcobalamin synthesis involves reacting nitric oxide gas with hydroxocobalamin acetate as a heterogeneous mixture in a non-electron-donating solvent followed by rotary evaporation. Our nitrosylcobalamin product is stable in air, releases nitric oxide gas in situ (3), and meets ICH stability guidelines (4). Additionally, our nitrosylcobalamin product demonstrates biological activity, which has not been observed for nitrocobalamin (3, 5).




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Naturally occurring hotspot cancer mutations in G{alpha}13 promote oncogenic signaling [Molecular Bases of Disease]

Heterotrimeric G-proteins are signaling switches broadly divided into four families based on the sequence and functional similarity of their Gα subunits: Gs, Gi/o, Gq/11, and G12/13. Artificial mutations that activate Gα subunits of each of these families have long been known to induce oncogenic transformation in experimental systems. With the advent of next-generation sequencing, activating hotspot mutations in Gs, Gi/o, or Gq/11 proteins have also been identified in patient tumor samples. In contrast, patient tumor-associated G12/13 mutations characterized to date lead to inactivation rather than activation. By using bioinformatic pathway analysis and signaling assays, here we identified cancer-associated hotspot mutations in Arg-200 of Gα13 (encoded by GNA13) as potent activators of oncogenic signaling. First, we found that components of a G12/13-dependent signaling cascade that culminates in activation of the Hippo pathway effectors YAP and TAZ is frequently altered in bladder cancer. Up-regulation of this signaling cascade correlates with increased YAP/TAZ activation transcriptional signatures in this cancer type. Among the G12/13 pathway alterations were mutations in Arg-200 of Gα13, which we validated to promote YAP/TAZ-dependent (TEAD) and MRTF-A/B-dependent (SRE.L) transcriptional activity. We further showed that this mechanism relies on the same RhoGEF-RhoGTPase cascade components that are up-regulated in bladder cancers. Moreover, Gα13 Arg-200 mutants induced oncogenic transformation in vitro as determined by focus formation assays. In summary, our findings on Gα13 mutants establish that naturally occurring hotspot mutations in Gα subunits of any of the four families of heterotrimeric G-proteins are putative cancer drivers.




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Allosteric activation of proto-oncogene kinase Src by GPCR-beta-arrestin complexes [Enzymology]

G protein–coupled receptors (GPCRs) initiate signaling cascades via G-proteins and beta-arrestins (βarr). βarr-dependent actions begin with recruitment of βarr to the phosphorylated receptor tail and are followed by engagement with the receptor core. βarrs are known to act as adaptor proteins binding receptors and various effectors, but it is unclear whether in addition to the scaffolding role βarrs can allosterically activate their downstream targets. Here we demonstrate the direct allosteric activation of proto-oncogene kinase Src by GPCR–βarr complexes in vitro and establish the conformational basis of the activation. Whereas free βarr1 had no effect on Src activity, βarr1 in complex with M2 muscarinic or β2-adrenergic receptors reconstituted in lipid nanodiscs activate Src by reducing the lag phase in Src autophosphorylation. Interestingly, receptor–βarr1 complexes formed with a βarr1 mutant, in which the finger-loop, required to interact with the receptor core, has been deleted, fully retain the ability to activate Src. Similarly, βarr1 in complex with only a phosphorylated C-terminal tail of the vasopressin 2 receptor activates Src as efficiently as GPCR–βarr complexes. In contrast, βarr1 and chimeric M2 receptor with nonphosphorylated C-terminal tail failed to activate Src. Taken together, these data demonstrate that the phosphorylated GPCR tail interaction with βarr1 is necessary and sufficient to empower it to allosterically activate Src. Our findings may have implications for understanding more broadly the mechanisms of allosteric activation of downstream targets by βarrs.




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FUS contributes to mTOR-dependent inhibition of translation [Signal Transduction]

The amyotrophic lateral sclerosis (ALS) and frontotemporal dementia (FTD)–linked RNA-binding protein called FUS (fused in sarcoma) has been implicated in several aspects of RNA regulation, including mRNA translation. The mechanism by which FUS affects the translation of polyribosomes has not been established. Here we show that FUS can associate with stalled polyribosomes and that this association is sensitive to mTOR (mammalian target of rapamycin) kinase activity. Specifically, we show that FUS association with polyribosomes is increased by Torin1 treatment or when cells are cultured in nutrient-deficient media, but not when cells are treated with rapamycin, the allosteric inhibitor of mTORC1. Moreover, we report that FUS is necessary for efficient stalling of translation because deficient cells are refractory to the inhibition of mTOR-dependent signaling by Torin1. We also show that ALS-linked FUS mutants R521G and P525L associate abundantly with polyribosomes and decrease global protein synthesis. Importantly, the inhibitory effect on translation by FUS is impaired by mutations that reduce its RNA-binding affinity. These findings demonstrate that FUS is an important RNA-binding protein that mediates translational repression through mTOR-dependent signaling and that ALS-linked FUS mutants can cause a toxic gain of function in the cytoplasm by repressing the translation of mRNA at polyribosomes.




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Water, Ecosystems and Energy in South Asia: Making Cross-Border Collaboration Work

Water, Ecosystems and Energy in South Asia: Making Cross-Border Collaboration Work Research paper sysadmin 29 June 2016

A new paper sets out the factors that have made previous cross-border projects in South Asia successful, arguing that cooperation around water is feasible despite the region’s political differences and economic assymetries.

Indian people walk in the Ganga riverbed in Allahabad on 1 September 2015. Photo: Getty images.

  • The countries of South Asia share some of the world’s major river basins – the Ganga (or Ganges), the Brahmaputra and the Indus. These rivers and their tributaries flow through seven countries, support more than 1 billion people, irrigate millions of hectares of land and are of cultural importance to many of those who rely on them.
  • River management presents common challenges across the region. These include physical factors such as droughts, flooding, cyclones and climate change, as well political and institutional factors impeding the development of solutions and policies to improve resource management and reduce vulnerability. Water is increasingly seen as a source of competition, with population growth, industrialization and urbanization exacerbating the pressures on supply.
  • Although South Asian examples of regional cooperation in general are limited, there is a clear positive trend. In areas such as disaster response and cross-border power trading, regional and bilateral engagement is beginning to take place. Multilateral official arrangements exist for trade and other economic issues, but there is none on water or ecosystems. However, as the benefits from cooperation become proven, its desirability is likely to gradually enter mainstream policy thinking on water issues.
  • This research paper sets out the factors that have enabled cooperation, and the processes adopted, in previous successful cross-border projects. It focuses on four categories of cooperation: development of early-warning systems for natural disasters, in particular floods; protection of cross-border ecosystems; sharing of learning, through the showcasing of innovative approaches in one country that can be adopted by others; and power trading, in particular the development of hydropower in Bhutan and its export to India.
  • The paper argues that cooperation around water in South Asia is feasible despite political differences and economic asymmetries. Different forms of collective action, and common understanding of both the threats and the shared benefits from cooperation, are required to foster more partnerships within the river basin states.




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A Digital India Must Embrace the Circular Economy

A Digital India Must Embrace the Circular Economy Expert comment sysadmin 15 January 2018

A growing amount of e-waste should draw attention to the broader sustainability of a digital society.

Workers dismantle old computers at an e-waste recycling factory near Bangalore. Photo: Getty Images.

The latest Global E-Waste Monitor places India as one of the highest contributors to global e-waste, generating over 2 million metric tonnes in 2016. Posing serious health and environmental risks, growing e-waste represents the hidden cost of increasingly digital lives in an information society.

With just 33 per cent of the population owning a smart phone, India already has the second largest number of smart phone users in the world, nearly 4 times that of the United States. The amount of e-waste generated will exponentially increase in the coming decade as the cost of consumer electronics decline, middle-class incomes rise, and the frequency at which devices are discarded increases.

As governance instruments are increasingly digitized and industry re-repositions itself to leverage Industry 4.0 solutions, the generation of e-waste will become a byproduct of institutional choices rather than consumer consumption and behaviour alone.

India is already a leader in the management and recycling of e-waste. But over 90 per cent is managed in the unorganized sector by small businesses and individual entrepreneurs, typically from low-income marginalized communities, and often women. E-waste contains various toxic substances such as mercury and lead, prolonged exposure to which can lead to major health problems.

Almost 80 per cent of e-waste workers in India suffer from respiratory ailments due to improper standards and nearly 500,000 children are engaged in e-waste collection without adequate protection and safeguards. The bulk of the dirty and dangerous work supporting India’s march towards an increasingly digital society is done by those who have the least access to technology gains. Government regulations for the management of e-waste, on the other hand, are becoming more relaxed, presumably as a result of industry pressure. To streamline e-waste management, the government notified Electronic Waste Rules in 2011, based on the concept of extended producer responsibility (EPR).

EPR makes manufacturers of electronic products responsible for the end-of-life management of their products, including setting up collection centres. By shifting the burden to manufacturers, the EPR framework, in theory, creates incentives for more environmentally friendly design. But the impact of EPR rules on manufacturers has been minimal, at best. The recently released Draft Notification (2017) by the Ministry of Environment, Forest and Climate Change further relaxes the EPR rule by reducing the e-waste collection targets for industries.

While the efficiency and productivity gains of Digital India are to be welcomed, growing e-waste should draw attention to the broader sustainability of a digital society. Data centres, for example, are one the largest contributors to global warming, contributing a similar amount to global greenhouse emissions as the aviation industry.

This amount is expected to triple in the next decade. In many ways, the sustainability challenge is a ‘wicked problem’ – where possible solutions create a new set of additional challenges and the choice between available alternatives is largely about competing values.

For example, data centres powered by renewable sources of energy such as solar provide a greener alternative, but will also create new forms of e-waste in the form of photovoltaic cells and panels. An unverified estimate suggests that India’s projected solar capacity of 100 gigawatts by 2022 will create 7.76 million tonnes of e-waste. Without adequate and preemptive consideration of how this waste should be disposed and recycled, renewable energy solutions can create new negative externalities.

For Digital India to be sustainable, we need to develop anticipatory knowledge for preemptive solutions. It is an opportune moment to think of the broader architecture of a digital society, one that avoids getting locked into unsustainable models of production and consumption, as is the case with many industrialized economies.

The argument that such considerations are premature for India, given high levels of poverty and unemployment, are misplaced. Enquiries into the sustainability of Digital India are no less urgent than the need for sustained job-creating economic growth. These issues should not be addressed in a sequential or linear manner, but in parallel, or else we will be only partially aware of available choices and their consequences, creating new forms of technological and economic lock-ins.

The value-based choice demanded by the ‘wicked problem’ at hand is one that embraces the idea of a circular economy — one that departs from the linear economic growth model predicated on ‘take, make, dispose’ to embrace a growth model based on creating closed loops of production, consumption and re-use. A circular economy model is built on the idea of designing out waste and pollution; keeping products and materials in use; and regenerating natural systems. In many ways, India is already a leader in the circular economy.

Alongside, the management of e-waste and other forms of recycling, high levels of repair and reuse are distinctly observable. A number of reports note that the informal waste management sector in India works better than systems in many industrialized economies.

A circular economy vision for Digital India would include organizing informal waste management systems, including safety and social protection initiatives for workers; revising and tightening existent e-waste rules for increased accountability by manufacturers both in terms of durable design and responsible disposal; green data centres; and building future smart cities with a view towards energy and water efficiency, among others.

A recent report by the Ellen McArthur Foundation and the World Economic Forum also estimates that a circular economy path to development could bring India annual benefits of $624 billion by 2050. Greenhouse gas emissions could also be 44 per cent lower in 2050, compared with current development path.

Unsurprisingly, Nordic countries are leading the way in promoting the idea of a circular economy. Sweden recently announced tax breaks for repair related activities and Finland hosted the first global conference on the circular economy earlier this year. The circular economy provides an opportunity for India to capitalize and leverage an already existing culture of circular activities, and promote it as a policy agenda that will create new forms of employment while facilitating sustainable environmental management.

This article was originally published in the Indian Express.




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Belt and Road Is Not a (Completely) Closed Shop

Belt and Road Is Not a (Completely) Closed Shop Expert comment sysadmin 22 March 2018

Though the infrastructure initiative will continue to be led in many places by Chinese investment, where there are benefits of scale, effectiveness and risk management, outside participation will be welcome.

Chinese Foreign Minister Wang Yi at the Belt and Road Forum in Yanqi Lake in May 2017. Photo: Getty Images.

First announced in 2013, President Xi Jinping’s Belt and Road Initiative promises, at a minimum, to improve infrastructure and connectivity between China and the rest of Eurasia. Any bold plan to finance infrastructure on a large-scale across so many low-income economies deserves a sympathetic ear and a positive reception. But many wonder how large the role can be for non-Chinese players in what is clearly an initiative of the Chinese government.

So far, Chinese state and policy banks account for the overwhelming majority of the financing – and this money then flows to Chinese enterprises, mainly state-owned. One study found that 89% of the work went to Chinese contractors on China-funded projects.

Yet, recently in Paris, Chinese Foreign Minister Wang Yi said the Belt and Road was a ‘sunshine initiative’ that was open and for all to benefit from. He declared that there were to be ‘no backroom deals. There is openness and transparency.’ The Belt and Road Initiative will ‘respect international rules’ and ‘will run according to market rules’.

There are some notable instances of Belt and Road projects changing to conform more to international rules as they develop. For example, work on the Belgrade–Budapest high speed rail link originally ran into problems. Contracts were allegedly awarded to Chinese companies without following the EU-mandated competitive procurement processes. Now, the most recent round of contracts is to be awarded by tender.

Such a switch perhaps does not herald the unrestricted ‘market rules’ that Wang speaks of, but it does highlight that China is willing to turn Belt and Road towards openness in certain instances. These will be cases where it clearly brings benefits for China – but also where private sector players can be convinced of good commercial returns. These benefits are most likely to lie in three areas: scale and access, effectiveness and risk management.

Mutual benefits

Firstly, scale and access. Belt and Road can achieve greater scale if additional financing comes in alongside the current Chinese state and policy bank lending. This can come both by working together with multilateral institutions and with private sector institutions. This will in turn require defining projects or structuring financing with attractive risk-return trade-offs. In some cases, this will be feasible – in others not.

Getting bigger also necessitates initiating meaningful Belt and Road activity in more countries. As the Belgrade–Budapest rail experience has shown, approaches vary in terms of competitive tendering requirements and consideration of non-Chinese bidders. An approach that works in, say, Tajikistan, may not be effective in Poland. This is a pragmatic recognition of context that is quite separate from debates on what the ‘right’ approach to these standards should be. Both these elements suggest that a more open Belt and Road will be a larger and more far-reaching one.

Secondly, effectiveness. Despite extensive experience building infrastructure within China, many Chinese companies are much less familiar operating outside of China. Western, Japanese and Korean companies can bring their own experience to the table and help the success of these projects. By doing so, they also put competitive pressure on Chinese companies to improve and upgrade, while providing opportunities to learn. This in turn creates a stronger, more productive Chinese economy.

Beyond physical hardware, the ‘software’ is also critical to success. Again foreign companies have much to contribute. Areas such as maintenance, training, legal and accounting services are all in demand. Indeed, many such British and other companies are already actively engaged in working on projects with Chinese companies to help in these areas.

Finally, risk management. Beyond the usual project management risk of large projects, Belt and Road brings additional challenges. Many countries have weak governance, internal divisions and security issues, all within distinctively different cultures and traditions. Chinese companies with little experience of local conditions will struggle. Going it alone may provide what is an illusion of control, but exposure to social and political dynamics can rebound on China in unexpected ways.

Cooperating with others who have a history of in-country experience is a way to manage these risks. Examples would include British and Chinese cooperation both at company and governmental level in engaging in particular African countries, in partnership with the relevant country government.

Mixed system

Mechanisms that encourage competitive choices and restrain corruption are positive, but mechanisms that slow decision-making to a crawl also prevent countries from getting benefits of infrastructure projects. Conversely, continuing along the current path of Chinese-led investment does have some clear attractions in certain settings, at least to those directly involved. It combines the ability of Chinese policy banks to provide large-scale funding in even high-risk environments with the relevant experience and production capacity of Chinese state-owned businesses. It allows for government-to-government deals, pragmatic negotiations and all-encompassing accords, at times out of the public eye. In many cases, it is hard to make a commercial case for the investments.

But in cases where there is mutual benefit, engagement and will, there will be a role for international partnerships.




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Mobile Ecosystems as a Driver of Innovation and Growth in the Asia-Pacific

Mobile Ecosystems as a Driver of Innovation and Growth in the Asia-Pacific 19 September 2018 — 12:30PM TO 3:00PM Anonymous (not verified) 18 September 2018 Chatham House, London

This meeting, held in partnership with Digital Asia Hub, will analyze the role of mobile platforms in catalyzing socioeconomic transformation in the Asia-Pacific region. Contributing to mobility in every sense - through untethering information from knowledge centres, helping women overcome socio-cultural divides and transforming financial services - communications ecosystems have driven innovation and change.
Despite significant gains, challenges of access to mobile platforms and of digital literacy remain. This meeting will explore the current opportunities for market players, the ways in which inclusive growth can be addressed as well as the ways young people can engage and learn through their devices. It will also analyze the role of apps, tools and design choices in enhancing civic participation, safety and knowledge sharing.
Attendance at this event is by invitation only.




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Network Power in the Asia-Pacific: Making Sense of the New Regionalism and Opportunities for Cooperation

Network Power in the Asia-Pacific: Making Sense of the New Regionalism and Opportunities for Cooperation 7 February 2020 — 9:45AM TO 5:30PM Anonymous (not verified) 17 January 2020 Chatham House | 10 St James's Square | London | SW1Y 4LE

The Asia-Pacific region continues to increase in geopolitical and geoeconomic importance. The rise of China and tensions with the US are affecting bilateral relationships and traditional alliances in the region. Whether seen from the perspective of the Quad – Australia, India, Japan and the US – or the Indo-Pacific concept embraced by a wide range of countries but with no shared consensus on scope and objectives or with ASEAN who insists on the importance of its own centrality, the region is redefining and reconceptualising itself.

With a diverse range of initiatives – including the Regional Comprehensive Economic Partnership (RCEP) and Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) – there are a plethora of regional agreements and institutional groupings that add further complexity.

As the Bretton Woods architecture continues to be dominated by Western powers, China is also spearheading parallel governance initiatives such as the Asian Infrastructure Investment Bank (AIIB), the Belt and Road Initiative and the Shanghai Cooperation Organization (SCO) as a means of enhancing its geopolitical and geoeconomic influence.

This one-day conference will focus on how such networks and alliances have been built, and sustained, in the Asia-Pacific region. In order to understand how new regional initiatives might open up opportunities for new forms of international cooperation, the conference will focus on the themes of cyber-technology and innovation, sustainable development and mitigating the impacts of climate change and new infrastructure initiatives. It will assess whether there is a zero-sum conflict between competing networks and agendas or whether a common approach can be developed.




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Virtual Roundtable: The Economic Implications of COVID-19 on Asia

Virtual Roundtable: The Economic Implications of COVID-19 on Asia 2 April 2020 — 11:00AM TO 12:00PM Anonymous (not verified) 27 March 2020 Chatham House | 10 St James's Square | London | SW1Y 4LE

The COVID-19 pandemic is likely to have a damaging economic impact on Asia, potentially the most serious since the financial crisis two decades ago. While early estimates suggest that a recession is inevitable, differing countries in Asia are generally deploying modest fiscal and monetary measures. This is true even in China, compared with the ‘whatever it takes’ approach pursued by Europe and America.

How effective will these measures be in reviving growth and in easing the pain, particularly on the poor in developing countries in Asia? Is Asia witnessing a sudden but temporary halt in economic activity rather than a prolonged slowdown? At this virtual roundtable, the speakers will consider the likelihood of a recovery for trade in the region and will explore what lessons can be learned from countries like Singapore, who seem to be successfully managing the health and economic aspects of COVID-19.

This event is online only. After registering, you will receive a follow-up confirmation email with details of how to join the webinar.




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China's Evolving Economic Relations with North Africa: Before and After COVID-19

China's Evolving Economic Relations with North Africa: Before and After COVID-19 10 September 2020 — 12:00PM TO 1:30PM Anonymous (not verified) 20 August 2020 Online

China’s economic presence across North Africa has grown in recent years. The global power has forged close economic relationships with Egypt and Algeria, while also continuing to develop ties with Morocco and Tunisia.

Beijing, which views the region as a geostrategic intersection between Mediterranean, Middle East, and Africa, has primarily focused its efforts on developing bilateral relations, while also working within the Forum on China–Africa Cooperation (FOCAC) and the China–Arab States Cooperation Forum (CASCF).

All countries of the region have agreed to participate in China’s Belt and Road initiative (BRI), which has raised concerns among Western powers. As North African countries grapple with fiscal constraints as part of the fallout from COVID-19 (and the oil price drop for hydrocarbon exporters such as Algeria), it is yet to be seen whether China’s ambitions and relations within the region will continue to develop at the same pace going forward.

In this webinar, organized by Chatham House’s MENA and Asia-Pacific Programmes, experts will discuss the evolving economic relationship between China and North African states, and explore the impact of China’s pandemic diplomacy across the region.

How asymmetric are economic relations between China and North African states? Which sectors are most important, and what are the prospects for China to develop the region’s digital and healthcare infrastructure? Will China’s increasing economic interests necessitate an increasing political and security engagement? Should North African states be wary of Chinese loans? What is the public opinion of China’s economic presence in North Africa? Have Chinese ‘soft power’ efforts helped to bolster economic (and political) ties? What will be the likely fallout of COVID-19 on BRI and infrastructure projects in the region?

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.




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Policy for Recovery in Africa: Rethinking Energy Solutions for Universal Electricity Access

Policy for Recovery in Africa: Rethinking Energy Solutions for Universal Electricity Access 10 December 2020 — 5:00PM TO 6:00PM Anonymous (not verified) 20 November 2020 Online

Approximately three quarters of Africa’s population do not have access to clean cooking fuel and face costs to their health. Speakers explore policy opportunities to bridge this gap, the key barriers that remain and the transformative potential of energy transition in delivering sustainable access for all.

Speakers explore policy opportunities to bridge the energy access gap, the key barriers that remain and the transformative potential of energy transition in delivering sustainable access for all.

African countries face an uphill battle as they confront the shocks of the coronavirus pandemic, seeking recovery in the context of global socio-economic difficulty and fragmented geopolitics.

With deficits in terms of governance, public health systems, social protection, and basic service delivery presenting challenges even before the outbreak, careful analysis and creative evidence-based policy solutions, as well as emphasis on implementation, will be crucial if Africa is to progress towards the SDGs and Agenda 2063.

The Policy for Recovery in Africa series brings together expert speakers and decision makers to examine and exchange on key challenges, potential solutions, and approaches for implementation.

The energy access gap in Africa presents one of the most serious obstacles to the long-term pandemic recovery effort, with almost half of the continent’s population estimated to still lack access to electricity, creating a negative annual GDP impact estimated to be over 25 billion USD.




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In conversation with Ursula Burns

In conversation with Ursula Burns 27 September 2022 — 1:00PM TO 2:00PM Anonymous (not verified) 15 September 2022 Chatham House and Online

Ursula Burns and Fred P. Hochberg share insights on American business and corporate life.

In the next of our conversations with CEOs, Ursula Burns, former CEO of the Xerox corporation, joins Fred P. Hochberg, former chairman of the Export-Import Bank of the United States, to share her insights on American business and corporate life.

Drawing from her recent book, Where You Are is not Who You Are, Burns will offer her reflections on the challenges leadership faces in a corporate world with rapidly changing technology and creating a diverse work environment. Hochberg and Burns will also discuss her views on racial and economic justice, as well as prospects for future business and economic growth.




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Interview: Nicole Hemmer

Interview: Nicole Hemmer The World Today rescobales.drupal 27 September 2022

The political historian talks to Mike Higgins about how Donald Trump has transformed the US midterm elections and the Republican party’s lurch further right.

Partisans: The Conservative Revolutionaries Who Remade American Politics in the 1990s
Nicole Hemmer, Basic Books, $18.99

In Partisans, you argue that the American political far right had been preparing the conditions for Donald Trump for 25 years and ‘the puzzle pieces snapped into place’ when he was nominated in 2016. What did you mean by that?

There were changes happening in plain sight over a quarter of a century. Such as the rise of presidential candidates who had never held elected office but who had a following in conservative media and cable news more broadly. There was also a turn towards pessimism, to connections with extreme groups and to procedural extremism in the Republican Party, such as the impeachment of Bill Clinton over what most Americans agreed was a small indiscretion.

All that accelerates in the 2000s and 2010s to the point where if you look back from Trump’s election, he suddenly seems eligible in a way that I don’t think he was in 2015 during his ascendancy.

 How did the end of the Cold War open the door for the hard right in the early 1990s?

The Cold War is so important to making sense of conservative politics in the United States because it sat at the core of American conservatism for 50 years. Opposition to Soviet communism held together the conservative coalition. It brought together religious conservatives who talked about the atheistic Soviet Union with the libertarians who were fearful of a big state.

The Cold War forced conservatives to talk in a language of freedom and democracy

The Cold War forced conservatives to talk in a language of freedom and democracy because that was the way that the US was different from the Soviet Union. Ronald Reagan, in particular, was a master of this. It had real implications for domestic policy. Reagan embraced free trade and talked about immigration and diversity as things that were great for America.

And then the Cold War ends, and you have politicians like Pat Buchanan [a former White House Communications Director] who had been beating the Reagan line for years, coming out and saying: ‘You know what? Immigration is bad and immigrants are bad. They are harmful for the United States. Free Trade is bad. We need to have more protectionist economy and build Fortress America. And, by the way, democracy might not actually be the best form of government for our country. The Marine Corps and IBM are better run than the federal government, and those are autocratic governed institutions.’

It allowed a resurgence of a right-wing politics that the US hadn’t seen since the 1930s and 1940s. It would become a powerful political movement within conservatism that we ultimately see taking over the Republican Party by the 2010s.

 What was it that allowed far-right figures such as Rush Limbaugh to take advantage of the transformation of the media in the 1990s?

Part of what they saw in it was interactivity. We tend to associate that with the internet and with the rise of social media, but call-in national radio and cable TV gave people an opportunity to have their voices heard.

The most popular TV show on CNN was Larry King Live, a call-in show. That interactivity fed into this idea that a frustrated populace suddenly had a voice, and it was easy to play on that sense of frustration. Also, the right was innovative because they had been focused on alternative media for decades.

The right was innovative because they had been focused on alternative media for decades

So, as you get new formats in the 1990s like political talk radio and cable news, conservatives were already in that space looking for ways to get their message across.

Also, journalistic objectivity in the 1990s became getting a voice from the right and a voice from the left, which opened the door for a new generation of conservative pundits such as TV hosts Laura Ingraham and Ann Coulter. You have these incentives drawing the right into this new media and all of these conservatives in the base who are looking for right-wing voices.

There are hearings into the January 6, 2021, Capitol invasion and an FBI investigation into the alleged presence of confidential papers at Trump’s residence Mar-a-Lago. Are we about to witness the insurgent far right within the Republican Party being brought to account legally?

There has been more accountability than I anticipated at the beginning of the Trump presidency. Some innovative legal techniques are being used successfully, such as sedition and conspiracy charges against some of the Capitol rioters.

Steve Bannon, one of Trump’s chief advisers in the 2016 campaign, has been charged with money laundering, conspiracy and fraud during the Trump presidency. Will that accountability lead to a fundamental transformation of right-wing politics in the US? I wouldn’t bet on that.

How is the radicalism of the Republican party shaping the upcoming mid-term elections?

The real radicalism in the Republican Party now is its willingness to use both procedural mechanisms but also mob violence to get the electoral outcomes that it wants – something that we saw with the insurrection on January 6, 2021.

If Republicans at the midterms vote in candidates prepared to overturn election results they dislike, that’s a challenge to American democracy

That makes the mid-terms an existential election if Republicans are able to vote in candidates who are running on a platform of throwing out election results if Republicans don’t win. That is a real challenge to the future of American democracy.

As long as the political system is organized around one party that respects the rules of democracy and one party that fights against them, each election is going to be existential. It will make mid-term elections have the weight that the 2016 and 2020 presidential elections had.

Did the far right misunderstand the electorate when it comes to abortion, considering the strong reaction to the Dobbs ruling?

I think that is exactly right, and it’s fascinating. A major turn happens in American politics between the 1980s and the 1990s, especially on the right. Ronald Reagan built these broad coalitions. He was winning landslide elections, and building this ‘big tent’ party that would bring in people who didn’t identify as Republicans or conservatives.

By the time you get to the 1990s, you have this idea of the Rino – politicians who are ‘Republican in name only’. You had to be purer and purer when it came to your right-wing politics. And the Republican Party grew a lot more unpopular. It has lost elections because of the extremism of its candidates, but it has still been able to win democratic elections without majorities, something we saw in 2000 and 2016.

The outcome of it all is exactly what you are seeing right now, that in many ways the conservative movement has got something it wanted for half a century, which is the overturning of Roe v Wade – something that energized its space for a very long time. Now that the dog has caught the fire truck, it is looking around and saying: ‘Oh, people do not like this.’

August’s referendum in Kansas that upheld the right to abortion mobilized lots of voters

August’s referendum in Kansas that upheld the right to abortion mobilized lots of voters who normally wouldn’t have come out for an off-year election.

As you get more stories of 10-year-old rape victims who have to go to a different state to get an abortion, or stories of women who have high-risk pregnancies not able to get medical care because of these new extremist laws, that really does mobilize a population who understand what is at stake.

It is not just their access to abortion, but to reproductive healthcare more broadly. Not everywhere, but in some places that is going to change the dynamics of these mid-term races.

 




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Transatlantic Cooperation in the Indo-Pacific

Transatlantic Cooperation in the Indo-Pacific

This project aims to recommend ways for the US, UK and EU member-states to work together more effectively to achieve shared aims in the Indo-Pacific.

jon.wallace 19 October 2022

This project is Phase II of a wider research collaboration with the Royal United Services Institute: “An Evolving Transatlantic Agenda to Meet the Challenge of China in the Indo-Pacific”. The work is funded by the Carnegie Corporation of New York.

Through interviews with policymakers and workshops, the project will:

  • Identify specific areas of policy convergence and divergence;
  • Establish practical recommendations for how the US, UK and EU member-states can better align and coordinate their activities in the Indo-Pacific.

The project is led at Chatham House by the Asia-Pacific Programme, working with the Global Economy and Finance Programme and the Europe Programme.

The researchers are Ben Bland (project lead), Dr Yu Jie, Dr Gareth Price, Marianne Schneider-Petsinger, and Alice Billon-Galland.

The project builds on research from Phase I, a Transatlantic Dialogue on China, which explored how transatlantic partners are responding to China’s rise and its effects in the Indo-Pacific.




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Next steps for EU-US cooperation on trade and technology

Next steps for EU-US cooperation on trade and technology 8 December 2022 — 3:00PM TO 4:00PM Anonymous (not verified) 21 November 2022 Online

How can the EU and US increase cooperation on AI, semi-conductors and funding information communication technology services?

On trade and technology policy, the EU and the US are making meaningful progress towards cooperation while at the same time navigating tensions. As senior officials meet on 5 December for the third meeting of the Trade and Technology Council (TTC), both sides have vowed to move towards concrete results. But can the US and EU increase cooperation on artificial intelligence, semiconductors, and funding information communication technology services? 

This event draws on insights from a forthcoming Briefing Paper by Marianne Schneider-Petsinger that explores next steps for US-EU cooperation on trade and technology, which is part of a project supported by the Hanns Seidel Foundation. 




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The near death and uncertain future of the US National Security Council

The near death and uncertain future of the US National Security Council 27 January 2023 — 9:00AM TO 10:00AM Anonymous (not verified) 9 January 2023 Chatham House

What role should the US National Security Council play in an era of great power competition?

Please plan to arrive at Chatham House from 08:45 GMT as the event will begin promptly at 09:00 GMT

Over the last three years, the US National Security Council (NSC) has gone from being neglected to necessary again, in Washington.

After former US President Donald Trump ignored and then tried to dismantle the NSC, current US President Joe Biden has restored the body but chosen not to reform it.

Born in the days before the Cold War and empowered during the War on Terror, what role should the NSC play in an era of great power competition?

Plus, how must it, and the rest of Washington, evolve to meet the challenges and opportunities that remain in the 21st century?




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Directors Briefing: Constraints on US foreign policy

Directors Briefing: Constraints on US foreign policy 20 February 2023 — 8:00AM TO 9:15AM Anonymous (not verified) 8 February 2023 Chatham House

In conversation with Dr Richard Haass.

The US is facing external threats from foreign actors including Russia, China and North Korea. Alongside geopolitical challenges, the US is also experiencing threats from within. Though the US has a long history of enshrining civic rights and democratic freedoms, the institutions of democracy are being weakened through polarization and disinformation. To combat this challenge, the idea of citizenship must be revised and expanded to allow for a functioning, and even a flourishing, democracy.

  • What are the implications of a weakening democracy at home for US foreign policy?
  • How can civic rights in the US be reimagined to reduce divisions within America and protect the future of democracy?




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World economy is fracturing, not deglobalizing

World economy is fracturing, not deglobalizing Expert comment LJefferson 8 February 2023

Geopolitics are creating a more uncertain economic environment as the global economy splinters into competing blocs.

There is now broad agreement among economists and commentators that the world has reached peak globalization, but there is little consensus about what comes next. One view is that we are entering a period of ‘deglobalization’, in which global trade volumes decline and cross-border capital flows recede. An alternative and more likely outcome is that the global economy starts to splinter into competing blocs.

This would result in an altogether more volatile macroeconomic and market environment which would pose a formidable challenge to some countries and companies operating in vulnerable sectors. But this process needn’t involve any significant shrinkage of international flows of goods, services and capital, nor a broad reversal of other gains of globalization.

Whereas the period of globalization was driven by governments and companies working in unison, fracturing is being driven by governments alone. 

This most recent era of globalization was underpinned by a belief that economic integration would lead to China and the former Eastern Bloc countries becoming what former World Bank Chief Robert Zoellick termed ‘responsible stakeholders’ within the global system.

But China has instead emerged as a strategic rival to the US. This strategic rivalry is already forcing others to pick sides as the world splinters into two blocs: one that aligns primarily with the US and another that aligns primarily with China.

Increasingly, policy choices within these blocs will be shaped by geopolitical considerations. This process can be thought of as ‘global fracturing’. Whereas the period of globalization was driven by governments and companies working in unison, fracturing is being driven by governments alone. 

The effects of fracturing

Viewed this way, ‘deglobalization’ is by no means inevitable. There are few compelling geopolitical reasons why the US or Europe should stop importing the majority of consumer goods from China. Roll the clock forward ten years and it is likely that the West will still be buying toys and furniture from China. Instead, fracturing between the blocs will take place along fault lines that are geopolitically important.

In some aspects, the effects of fracturing will be profound. But in other areas, warnings of a seismic reordering of the global economy and financial system will prove wide of the mark.

For example, the politically-driven nature of fracturing will have a significant impact on the operating environment for US and European firms in those sectors that are most exposed to restrictions on trade, such as technology and pharmaceuticals. And all firms and investors will be operating in a different environment in which geopolitical considerations play a greater role in decisions over the allocation of resources.

In cases where production does shift location, it is likely to be to other low-cost centres that align more clearly with the US. There will be no great ‘reshoring’ of manufacturing jobs.

But where production is moved to alternative locations, this is likely to only involve the manufacture of goods that are deemed to be strategically significant. This may include those with substantial technological and/or intellectual property components: think iPhones, pharmaceuticals, or high-end engineering products.

What’s more, in cases where production does shift location, it is likely to be to other low-cost centres that align more clearly with the US. There will be no great ‘reshoring’ of manufacturing jobs.

Within this process, trade linkages will be reordered, rather than severed. This will result in trade’s share of global GDP flatlining in the coming years, rather than shrinking outright, as is being forecast under many attempts to quantify deglobalization’s potential impact.

Finances of global fracturing

There will be a substantial financial component to global fracturing, but once again the implications are likely to be more nuanced than the current debate suggests. Cross-border financial links are likely to grow more slowly, and the overall stock of cross-border claims will plateau relative to global GDP. But whereas the first era of globalization in the 1870s was followed by a broad retreat in global capital flows during the interwar years, the same is unlikely to happen today.

Beijing will increasingly push its partners to settle trade in renminbi but this is unlikely to seriously challenge the dollar’s position.

Similarly, while financial fracturing will fuel growing speculation about the dollar’s role as the world’s reserve currency, reports of its impending demise are exaggerated. Beijing will increasingly push its partners to settle trade in renminbi but three factors suggest that this is unlikely to seriously challenge the dollar’s position.

First, while trade between China and its partners is growing, it still accounts for only six per cent of global trade. Most trade still happens between US-aligned countries, and will continue to be denominated in US dollars (see chart).

Second, China runs a large current account surplus, which will make it harder for the renminbi to supplant the dollar. High demand for reserve assets means that reserve countries tend to run current account deficits. 

Share of global goods and services trade (%) Source: Capital Economics

Finally, the dollar still has several things working in its favour. For a currency to be widely used as an international medium of exchange, it must be readily and cheaply available around the world. In turn, that depends on foreigners being willing to hold it in large volumes: in other words, it must function as a store of value. 




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US and Europe Strategic Security Cooperation: The View from Washington

US and Europe Strategic Security Cooperation: The View from Washington 27 March 2023 — 9:00AM TO 10:00AM Anonymous (not verified) 9 March 2023 Chatham House

As the US prepares to enter the next presidential election cycle, can the transatlantic alliance stay the course, especially against a deepening Russia-China partnership?

Thank you for your interest in joining our event. Please plan to arrive at Chatham House from 08:45 GMT as the event will begin promptly at 09:00.

The Biden administration’s response to Russia’s war in Ukraine and the rise of a globally assertive China, as articulated in the 2022 US national strategy, is to ‘constrain Russia and out-compete China’. It needs Europe as a partner and ally for both – yet Europe is also an object and a battleground in this era of strategic competition.

As the US prepares to enter the next presidential election cycle, can the transatlantic alliance stay the course, especially against a deepening Russia-China partnership? Can Europeans, in particular, move from deepening dependency to greater agency and self-reliance? What is the role for Germany – and for the UK?




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SVB collapse shows interest rate financial stability threat

SVB collapse shows interest rate financial stability threat Expert comment LJefferson 15 March 2023

Governments must resist pressure to relax post-financial crisis regulation, while central banks should moderate their attack on inflation if financial stability is at risk.

The collapse of California’s Silicon Valley Bank (SVB) on 10 March has triggered a wave of volatility in global bank equity prices, raised questions about whether US bank regulation and its tech industry funding model are fit for purpose, and forced a rethink on the extent and pace of monetary policy tightening appropriate for the US and other advanced economies.

SVB was the US’s 16th largest bank with total assets of $212bn at the end of 2022 and a presence in eight countries around the world, including the UK. Since it was founded 40 years ago, it has maintained a strong focus on the technology sector, claiming recently that nearly half of all US venture-backed technology and life science companies banked with it. Partly as a consequence, some 95 per cent of its deposits came from corporates and hedge funds, far higher than the one-third typical of similarly sized banks.

What led to SVB’s collapse?

Ironically, SVB’s failure did not result from its core business model of serving a relatively high-risk and fast-growing sector, but rather from a dramatic failure in liquidity management. During the pandemic, SVB saw a very large inflow of corporate deposits. But rather than disincentivizing depositors or investing the funds attracted in assets of matching maturity, it chose to invest them in low credit risk, but long maturity bonds attracted by a small pick-up in return over shorter-term assets. 

When US interest rates began to rise rapidly in 2022 following Russia’s invasion of Ukraine, the value of SVB’s long-term bond portfolio declined sharply. It was left facing a large capital loss of some $15bn, roughly equivalent to its total shareholder funds. The management attempted to repair SVB’s balance sheet last week by crystalizing some of the loss and raising new capital.

But when this failed, the US supervisory authorities had no choice but to step in and close the institution.  This action was quickly followed by emergency action from other regulators vis-a-vis SVB subsidiaries and offices around the world.

Ironically, SVB’s failure did not result from its core business model of doing business with a relatively high-risk and fast-growing sector, but rather from a dramatic failure in liquidity management.

The US entity has formally been taken over by the FDIC and a bridge bank established. All depositors have had their funds guaranteed, going beyond the normal federal deposit insurance limit of $250,000 per customer. However, bond holders and equity holders have been wiped out. The authorities have said that any loss will be covered by the industry as a whole via the FDIC.

In the UK, the Bank of England was able to sell the ring-fenced UK subsidiary of SVB to HSBC for £1 over the weekend, so that all its depositors and other liability holders have effectively had their funds guaranteed. In contrast to previous Bank of England rescues (such as Johnson Matthey Bank in 1984, the ‘small banks’ crisis in 1991 and the global financial crisis in 2008-9) no public money has been put at risk.

Four key questions

SVB’s rapid collapse raises four central questions:

First, how was it that the bank was able to take on such a risky interest rate maturity mismatch in its US operations? Maturity transformation is standard banking industry practice, but it is usually closely monitored by regulators who place limits on the extent of interest rate maturity mismatch and require liquidity buffers to offset the risk of deposit flight and forced asset sales.

SVB’s very high concentration of corporate deposits as compared to ‘sticky’ retail deposits, means that the risk of deposit flight was unusually high and so the bank should have been more, not less, cautious in its liquidity policy. SVB was classed as a regional bank in the US which means that it did not have to meet international regulatory standards under Basle III. And in 2018, the Trump administration approved legislation removing the post-financial crisis requirement that banks with assets under $250bn submit to stress testing and relaxing liquidity buffer requirements.

But it is still hard to understand why regulators allowed SVB to commit such a classic banking error. On Monday, the Federal Reserve ordered an inquiry into what it has correctly described as a regulatory failure. This should look at the role played by all the elements of the oversight system including the auditors, KPMG.

In 2018, the Trump administration approved legislation removing a post-financial crisis (regulatory) requirement…but it is still hard to understand why regulators allowed SVB to commit such a classic banking error.

Second, does SVB’s failure reflect a much bigger underlying risk in the US banking sector, and potentially other banking systems around the world, built up over the prolonged period of ultra-low interest rates? SVB’s collapse was followed by the failure of the $110bn Signature Bank in New York, as well as sharp falls in US regional bank stock prices – by close of play on 14 March, the S&P Regional Bank Index was down 22 per cent on a week before, with some individual bank stocks seeing much sharper falls.  

To the extent that banks have been covered by international bank regulatory requirements, the risk of a much broader problem should be limited because stress testing and other regulatory tests would have looked at precisely the scenario that has happened. Even where large market losses have been incurred, capital buffers should be sufficient to cover them. But as SVB has shown, there are some large banks that are seemingly not required to follow international rules, while the latest developments at Credit Suisse indicate that market concerns may still arise when other factors are in play.

SVB’s collapse was followed by the failure of the $110bn Signature Bank in New York, as well as sharp falls in US regional bank stock prices.

Third, how far, in the light of the potential vulnerability in banking systems, should central banks in advanced countries moderate their efforts to squeeze out inflationary pressures? While inflation already appears to have peaked in many economies and the pace of interest rate rises was expected to slow, inflation is far from vanquished, as recent data in the US has demonstrated.

Fourth, does the failure of SVB tell us something new about the financial risks facing the high technology sector?  It was remarkable that a single (and not particularly large, by international standards) financial institution could have played such a central role in the tech sector in both the US and UK. 

Why was this the case and does it reflect special features of the tech/start-up sector (e.g. the need for substantial cash deposits to cover relatively large negative cash flows in the early years of operation, or the need for highly specialized lending expertise). If so, should governments take steps to mitigate such risks, given the outsized importance of this sector in many national economic strategies? 




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The interconnected impacts of the Iraq war

The interconnected impacts of the Iraq war Expert comment LJefferson 22 March 2023

Relying on weak intelligence for invading Iraq has had a negative impact on US and UK credibility with several consequences that persist to this day.

20 years on from the fateful decision to invade Iraq, it is generally accepted that the US and UK governments overstated the evidence available for them to justify military action. The central claim to defend invading Iraq was that the country had continued its illicit nuclear weapons programme and had retained illegal stockpiles of biological and chemical weapons. None of these claims supported an imminent threat justification nor could any hidden caches of WMD be found by the US Iraq Survey Group after the invasion.  

In the US, President George W. Bush and Vice President Dick Cheney hinted at additional evidence which could not be shared publicly to suggest that if only people knew what the government knew, they would agree that Iraq posed a significant threat to the West and needed to be disarmed.

In the UK, the Blair government acted similarly, focusing on a narrow interpretation of the evidence provided by the intelligence services and ignoring many of the dire warnings offered by academics and other experts. The Chilcot Inquiry found that the Blair government greatly exaggerated the threat Iraq posed to the UK, and that government arguments were based on the prime minister’s personal beliefs, as well as his promise to President Bush to support the US invasion. 

Relying on inadequate information and a biased analysis for invading Iraq has had a negative impact on US and UK credibility in the international security policy environment and domestically with ramifications that persist to this day.  

Impacts on soft power and trust

The invasion had an impact on US and UK soft power due to negative perceptions of the decision to go to war and the competence of the UK and US: public opinion polling by the Pew Center showed that perceptions of the US declined significantly as a result of the invasion of Iraq, especially in the Middle East and Central Asia.

This is undoubtedly a challenge for the US, but arguably an even bigger challenge for the UK, which due to its size and power relies much more on diplomacy and coalition-building in order to achieve its goals within various international treaty frameworks.   

The accuracy of the US/UK intelligence on Russia’s invasion, coupled with their sharing it openly, may well have restored faith in their capabilities and analysis.

Over nearly two decades, the US and the UK no longer seemed to enjoy the same foundation of trust, even with close allies, as they did previously. This changed in February 2022.

Towards the end of 2021, both the US and the UK were sounding the alarm about an impending Russian invasion of Ukraine based on information and analysis from their intelligence services. Despite the amassing of Russian troops, tanks and artillery on the border clearly visible from the air and by satellite imagery, several allies remained unconvinced until the invasion happened.  

This was in part due to their own assessments which indicated that Russia would stop short of an invasion, and in part because allies were unwilling to take US and UK statements on faith, without being able to assess the information themselves.

US officials found this frustrating as it meant that NATO and the EU were slower off the mark with support for Ukraine than they might otherwise have been. However, the accuracy of the US/UK intelligence on Russia’s invasion, coupled with their sharing it openly, may well have restored faith in their capabilities and analysis.  

A more open approach to intelligence  

Over the last few years, there seems to have been a change in accepted practice regarding sharing and using intelligence. The UK Ministry of Defence has taken a much more open approach to intelligence in the war in Ukraine, sharing the most recent defence information publicly in order to counter Russian disinformation.  

This is a positive step to ensure that intelligence can be discussed and assessed critically. Being more open about secret intelligence may also be linked to the increasing capabilities of open-source intelligence (OSINT). Non-governmental and international organizations and the media all now have access to data from, for example, imaging satellites and can independently verify information coming from governments. 

Perceived double standards 

A reduction of trust in US and UK intelligence was not the only impact of the invasion of Iraq. Russia and China have repeatedly called out the US and UK for acting without a second UN Security Council mandate. Putin uses the decision to invade Iraq, as well as the NATO humanitarian intervention in Kosovo, to justify Russia’s actions in Crimea. He invokes parallel language to spread disinformation about a ‘responsibility to protect life’ of the (‘ethnically Russian’) Crimean population. Russia has also repeatedly used the WMD trope to create false narratives around Ukrainian biosecurity laboratories to justify Russian military actions against Ukraine.  

Putin uses the decision to invade Iraq, as well as the NATO humanitarian intervention in Kosovo, to justify Russia’s actions in Crimea.

Deciding to invade Iraq under what turned out to be a false pretext has weakened the application of the international rule of law and has led to a perceived double standard whereby powerful states can use UN processes in their favour, or completely disregard them if they do not deliver their goals.

As the Chilcot Inquiry found, there was very little preparation for the post-invasion period either in the US or the UK. Confirmation bias led not only to trusting shaky intelligence but also to believing in a best-case scenario and a ‘relatively benign security environment’ once the invasion had prevailed. Mismanaging the country’s occupation afterwards also led to the perception that the UK and US are less competent than projected. 

Problems for the international order  

The Iraq War has left many smaller and medium-sized states outside Europe and North America with the impression that powerful states are not committed to an equitable international system and instead will bend the rules to suit them while nonetheless holding other states to account. This dynamic poses a serious problem for the international system. 

It opens the door to ‘whataboutism’ in Russia’s false justifications for invading Ukraine and undermines faith in international law, destabilizing the international order in the longer term. Beyond the immediate challenges of dealing with the war in Ukraine, reforming and strengthening the international order to make it more equitable will be one of the most significant challenges the US and UK will face over the next decade. 

A trust deficit  

Domestically, for already disappointed citizens, the deceit over intelligence it is yet another piece of evidence which suggests that their government is not trustworthy and may not have their best interests at heart. This has profound implications for US and UK democracies, making it harder for governments to counter citizens’ susceptibilities to disinformation campaigns. 




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Development and validation of a high-throughput whole cell assay to investigate Staphylococcus aureus adhesion to host ligands [Microbiology]

Staphylococcus aureus adhesion to the host's skin and mucosae enables asymptomatic colonization and the establishment of infection. This process is facilitated by cell wall-anchored adhesins that bind to host ligands. Therapeutics targeting this process could provide significant clinical benefits; however, the development of anti-adhesives requires an in-depth knowledge of adhesion-associated factors and an assay amenable to high-throughput applications. Here, we describe the development of a sensitive and robust whole cell assay to enable the large-scale profiling of S. aureus adhesion to host ligands. To validate the assay, and to gain insight into cellular factors contributing to adhesion, we profiled a sequence-defined S. aureus transposon mutant library, identifying mutants with attenuated adhesion to human-derived fibronectin, keratin, and fibrinogen. Our screening approach was validated by the identification of known adhesion-related proteins, such as the housekeeping sortase responsible for covalently linking adhesins to the cell wall. In addition, we also identified genetic loci that could represent undescribed anti-adhesive targets. To compare and contrast the genetic requirements of adhesion to each host ligand, we generated a S. aureus Genetic Adhesion Network, which identified a core gene set involved in adhesion to all three host ligands, and unique genetic signatures. In summary, this assay will enable high-throughput chemical screens to identify anti-adhesives and our findings provide insight into the target space of such an approach.




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Biosynthesis of the sactipeptide Ruminococcin C by the human microbiome: Mechanistic insights into thioether bond formation by radical SAM enzymes [Microbiology]

Despite its major importance in human health, the metabolic potential of the human gut microbiota is still poorly understood. We have recently shown that biosynthesis of Ruminococcin C (RumC), a novel ribosomally synthesized and posttranslationally modified peptide (RiPP) produced by the commensal bacterium Ruminococcus gnavus, requires two radical SAM enzymes (RumMC1 and RumMC2) catalyzing the formation of four Cα-thioether bridges. These bridges, which are essential for RumC's antibiotic properties against human pathogens such as Clostridium perfringens, define two hairpin domains giving this sactipeptide (sulfur-to-α-carbon thioether–containing peptide) an unusual architecture among natural products. We report here the biochemical and spectroscopic characterizations of RumMC2. EPR spectroscopy and mutagenesis data support that RumMC2 is a member of the large family of SPASM domain radical SAM enzymes characterized by the presence of three [4Fe-4S] clusters. We also demonstrate that this enzyme initiates its reaction by Cα H-atom abstraction and is able to catalyze the formation of nonnatural thioether bonds in engineered peptide substrates. Unexpectedly, our data support the formation of a ketoimine rather than an α,β-dehydro-amino acid intermediate during Cα-thioether bridge LC–MS/MS fragmentation. Finally, we explored the roles of the leader peptide and of the RiPP precursor peptide recognition element, present in myriad RiPP-modifying enzymes. Collectively, our data support a more complex role for the peptide recognition element and the core peptide for the installation of posttranslational modifications in RiPPs than previously anticipated and suggest a possible reaction intermediate for thioether bond formation.




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Identification of a domain critical for Staphylococcus aureus LukED receptor targeting and lysis of erythrocytes [Molecular Bases of Disease]

Leukocidin ED (LukED) is a pore-forming toxin produced by Staphylococcus aureus, which lyses host cells and promotes virulence of the bacteria. LukED enables S. aureus to acquire iron by lysing erythrocytes, which depends on targeting the host receptor Duffy antigen receptor for chemokines (DARC). The toxin also targets DARC on the endothelium, contributing to the lethality observed during bloodstream infection in mice. LukED is comprised of two monomers: LukE and LukD. LukE binds to DARC and facilitates hemolysis, but the closely related Panton–Valentine leukocidin S (LukS-PV) does not bind to DARC and is not hemolytic. The interaction of LukE with DARC and the role this plays in hemolysis are incompletely characterized. To determine the domain(s) of LukE that are critical for DARC binding, we studied the hemolytic function of LukE–LukS-PV chimeras, in which areas of sequence divergence (divergence regions, or DRs) were swapped between the toxins. We found that two regions of LukE's rim domain contribute to hemolysis, namely residues 57–75 (DR1) and residues 182–196 (DR4). Interestingly, LukE DR1 is sufficient to render LukS-PV capable of DARC binding and hemolysis. Further, LukE, by binding DARC through DR1, promotes the recruitment of LukD to erythrocytes, likely by facilitating LukED oligomer formation. Finally, we show that LukE targets murine Darc through DR1 in vivo to cause host lethality. These findings expand our biochemical understanding of the LukE–DARC interaction and the role that this toxin-receptor pair plays in S. aureus pathophysiology.




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A drug-resistant {beta}-lactamase variant changes the conformation of its active-site proton shuttle to alter substrate specificity and inhibitor potency [Microbiology]

Lys234 is one of the residues present in class A β-lactamases that is under selective pressure due to antibiotic use. Located adjacent to proton shuttle residue Ser130, it is suggested to play a role in proton transfer during catalysis of the antibiotics. The mechanism underpinning how substitutions in this position modulate inhibitor efficiency and substrate specificity leading to drug resistance is unclear. The K234R substitution identified in several inhibitor-resistant β-lactamase variants is associated with decreased potency of the inhibitor clavulanic acid, which is used in combination with amoxicillin to overcome β-lactamase–mediated antibiotic resistance. Here we show that for CTX-M-14 β-lactamase, whereas Lys234 is required for hydrolysis of cephalosporins such as cefotaxime, either lysine or arginine is sufficient for hydrolysis of ampicillin. Further, by determining the acylation and deacylation rates for cefotaxime hydrolysis, we show that both rates are fast, and neither is rate-limiting. The K234R substitution causes a 1500-fold decrease in the cefotaxime acylation rate but a 5-fold increase in kcat for ampicillin, suggesting that the K234R enzyme is a good penicillinase but a poor cephalosporinase due to slow acylation. Structural results suggest that the slow acylation by the K234R enzyme is due to a conformational change in Ser130, and this change also leads to decreased inhibition potency of clavulanic acid. Because other inhibitor resistance mutations also act through changes at Ser130 and such changes drastically reduce cephalosporin but not penicillin hydrolysis, we suggest that clavulanic acid paired with an oxyimino-cephalosporin rather than penicillin would impede the evolution of resistance.




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Questions for Worldbuilding the Concept of Wisdom

Wisdom to my mind is a bit of a paradox. It is subjective and context-dependent, but inherently universal. I say this, because for something to be wise it ought to be applicable across time and space, yet whether the claims are appraised as being “wise” hinges on the perception of a past, present or future audience. It is beyond the self, yet dependent upon the self. So that then begs the fantasy writing question: What if the self is not human? If culture already morphs the form and substance of wisdom, what effect might a different state of being have on it?

That would be terribly dull to prescribe, but I can help get some readers’ creativity going. Below I have listed relevant questions with examples you might consider when building your setting, so you may merrily thread into your fantastic realms to shape oddities rich and strange.

I would advise readers of this article to try and let go of their own presumptions on what is wise for the sake of worldbuilding. There are few cultures in our modern, human world whose philosophers deem obtuse narcissists dressed in mink robes as being wise, but why wouldn’t a race of bobcat-folk?

Continue reading Questions for Worldbuilding the Concept of Wisdom at Mythic Scribes.




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Cross-border conflict, evidence, policy and trends (XCEPT)

Cross-border conflict, evidence, policy and trends (XCEPT)

This five-year policy-focused research programme seeks to respond to the challenges of long-term cross-border conflicts by exploring the drivers behind them.

dora.popova 26 August 2021

Protracted conflicts in the Middle East and North Africa, Horn of Africa and parts of Asia, although usually arising from intra-state disputes, rarely remain contained within national borders. Their effects reverberate outward and external actors are drawn in.

The longer these wars last, the more difficult they are to resolve as the interests of international actors collide and the web of economic and political interactions which sustain violence and connect conflict across borders expand and deepen.

The Cross-border conflict, evidence, policy and trends (XCEPT) research programme brings together world-leading experts to examine conflict-affected borderlands, how conflicts connect across borders, and the drivers of violent and peaceful behaviour.

Chatham House provides research leadership to the programme, as part of the wider consortium, and our research explores:

  • the intersection of conflict supply chains which sustain and embed violence
  • coping supply chains for survival-based economic activity which occurs in the context of violence

Three geographic case studies will be supported by cross-cutting workstreams on gender and social inclusion, livelihoods, and border security. Each will produce analysis and recommendations to inform international policy responses to conflict across borders.

These case studies will focus on:

  • armed actors and financial flows through Iraq and the Levant
  • human smuggling across Libya, East and West Africa
  • gold mining and weapons flows across Sudanese borderlands

The consortium is made up of a range of other organizations, including the Asia Foundation, the Malcolm H. Kerr Carnegie Middle East Center, the Rift Valley Institute, Chemonics UK and King’s College London.

XCEPT is funded by UK Aid from the UK government.




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AUKUS reveals much about the new global strategic context

AUKUS reveals much about the new global strategic context Expert comment NCapeling 17 September 2021

The new AUKUS partnership as well as the furore in Paris surrounding its announcement says a lot about the new geopolitical landscape.

The growing diplomatic drama surrounding the announcement of the new Australia-UK-US (AUKUS) risks concealing rather than highlighting what the deal reveals about profound changes in the global strategic context. Several elements stand out.

First, Australia’s decision to break off the $66 billion contract it signed with France in 2016 to purchase a new fleet of diesel electric submarines underscores the heightened level of concern in Canberra about China’s growing naval capabilities.

Despite all the industrial, legal, and diplomatic disruption, the Australian government has decided only the stealthy nuclear-powered submarines developed by Britain with US support can provide the genuine naval capability it needs long-term.

Next, in helping Australia resolve this conundrum, the British government has revealed the versatility of its new foreign policy. Part of the reason UK prime minister Boris Johnson eschewed the concept of a formal foreign policy and security treaty in the post-Brexit deal with the European Union (EU) was to pursue freely new ventures such as the recent ‘G7-plus’ summit in Cornwall, and enhanced cooperation among the Five Eyes allies. AUKUS reveals that this approach can produce real results.

Europe or the Indo-Pacific

During this week’s Polish-British Belvedere Forum in Warsaw, one of the main Polish concerns was that this ‘tilt’ to the Indo-Pacific could overstretch Britain’s scarce resources when it should be focusing on Europe, where they are most needed.

While the US is stepping up, the UK has shown it is in the mix, leveraging opportunities as they arise

But AUKUS does not over-extend Britain. There is no military commitment involved in the agreement. The UK also remains outside the Quad – made up of the US, India, Japan, and Australia. And the ongoing stately voyage of its new aircraft carrier from the Mediterranean into the South China Sea provides better insight into the substance of the UK’s Indo-Pacific tilt.

Much derided for not carrying enough of its own aircraft – and for depending on US and Dutch escort vessels – the UK has in fact managed to coalesce a flexible group of allies around the Queen Elizabeth while enabling it to fly the British flag in Asian waters and strengthening interoperability with its allies for future joint operations.

Despite the hype, Britain’s main defence investments and deployments remain firmly focused in Europe, as laid out by the recent Integrated Review. And the decision to draft a new NATO Strategic Concept – midwifed by Britain at the 70th anniversary NATO summit hosted in London in December 2019 and confirmed during Joe Biden’s visit to NATO headquarters in June – will give Britain’s role in European security a new purpose and focus in the coming years.

Alone on the strategic landscape

For France, of course, the cancellation of its submarine deal is a painful humiliation, and a severe blow to thousands of workers in its hi-tech defence industry. It also comes at a sensitive moment politically, with Emmanuel Macron keen to demonstrate his international standing ahead of the 2022 presidential election. Instead, France now looks rather lonely on the strategic landscape alongside the more homogeneous and collectively powerful AUKUS trio.

AUKUS does not over-extend Britain. There is no military commitment involved in the agreement

But, rather than take the high road, a furious French reaction has compared Biden to Donald Trump and argued that this defence industrial failure for France should drive an acceleration towards European – for which, read EU – strategic autonomy.

This implies France sees European strategic autonomy as protecting and extending its own sovereign power and industrial interests rather than as a process for EU members to achieve more together in security and foreign policy than they can alone – thereby undermining rather than enhancing its case.

The gap between European strategic rhetoric and practical action was further highlighted by the AUKUS partnership being announced the evening before the EU launched its own Indo-Pacific strategy, and on the same day as China refused to allow a German frigate its first planned port visit to Shanghai.

America is still back

There is still a long way to go before the new submarine deal becomes reality. Australia needs to extricate itself from the French deal, decide how to secure the highly enriched uranium to power its new nuclear submarines, decide with the US and UK the division of labour and technology transfer of production, and assuage the International Atomic Energy Agency’s concerns about the precedent this deal sets. The fruits of this dramatic announcement will, therefore, be a long time in coming.

But, however the details play out, 15 September 2021 was a consequential day. The AUKUS announcement showed that China’s growing hard power is now eliciting a genuinely tough and structural political-military reaction.

Across the Atlantic, it also allowed President Biden – flanked ‘virtually’ by the British and Australian prime ministers – to send the global message that America is indeed back, just three weeks after the ignominious retreat from Afghanistan and chaotic exit from Kabul. And it offered him the opportunity to remind the world that the Indo-Pacific is where the US will be putting its main effort in the future.

For many in China, AUKUS now confirms their belief that the US and its principal allies are determined to contain China’s rise in its own ‘backyard’, where it believes it has the right to flex its muscles. For others, it will confirm Xi Jinping has overreached and China is now paying the price of his more assertive strategy. Either way, the Chinese are on notice that the ambivalent nature of the Obama pivot to Asia has given way to a more determined pivot under Biden.

While the US is stepping up, the UK has shown it is in the mix, leveraging opportunities as they arise. For example, the goodwill the UK has generated in Tokyo with this new partnership with Australia could help its case as it pursues membership of the Transpacific Partnership trade area in 2022.

The EU looks like a bystander in comparison and ill-equipped for the geopolitical competition inherent in this new strategic context. It is essential, therefore, once the dust has settled from these fraught few days, that the US and UK reach out to find ways to involve France and its EU partners in a meaningful, shared transatlantic approach to the Indo-Pacific.




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G20's lack of progress highlights challenge for COP26

G20's lack of progress highlights challenge for COP26 Expert comment NCapeling 1 November 2021

A positive outcome from the G20 summit was committing to end international financing for coal projects but, on other issues, the communique was ultimately weak.

Success at Glasgow depends on bridging fault lines

Renata Dwan

The G20 summit’s lack of progress on climate highlights the scale of the challenge – and the stakes – for COP26.  The countries responsible for 80 per cent of global emissions recognized but failed to agree concrete action to limit global warming to 1.5C.

The G20 might seem disappointing to some, but a lot will depend on expectations

This year’s G20 leaders’ summit marks a stark contrast with the past four years when much of the group’s energy was exhausted simply trying to maintain a consensus

But the principles are in the document, and mostly everyone turned up – if some by video. That is a good outcome for this kind of multilateralism in 2021. The G20 communique is a floor not a ceiling, and it’s a launching pad for activism and mobilisation by individual states, but also by corporates, civil society, and subnational actors. 

Now we need to hope that those on the right side of progress, whether on climate, health, or development, will use this language to drive forward concrete actions towards net zero, climate finance, vaccine distribution, and debt relief.

Specifics are for the most part missing

Creon Butler




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Europe should become the top priority for Liz Truss

Europe should become the top priority for Liz Truss Expert comment NCapeling 3 September 2022

Liz Truss has the chance to be a better prime minister than Boris Johnson was, not least in the UK’s foreign policy.

For all the smoke-and-mirrors talk now commonplace about Brexit opportunities, there is real potential that Liz Truss could extract from the aftermath of that upheaval as well as from the turmoil in the world.

But the approach and priorities she revealed during her one year as a better UK foreign secretary than Boris Johnson was – although he did set a low bar – as well as the past three months campaigning for the leadership of her party contain a warning.

She has shown a willingness to aggravate relationships with allies in pursuit of the support of her party faithful, and of a vision of British independence as well as a tendency to dismiss economic analysis when it inconveniently questions her assertions about favoured policies.

At the heart of her political identity is a notion which is both a strength and a potentially calamitous weakness – a love of the notion of being a disrupter which injects a deliberate unpredictability into her approach towards a world in extreme flux.

If she indulges this without good judgment, she could do real damage to Britain’s prospects and standing in the world.

Ukraine and the energy crisis

In foreign policy, Europe should be her starting point and the opportunity here for the UK is clear. The war in Ukraine and crisis in the cost of energy gives it a role – despite having left the European Union (EU) – in talking to EU governments about the future of the continent on many fronts.

Johnson’s emphatic support of President Zelensky gave the UK a position of moral and strategic clarity which Truss can build on through what will be an exceptionally difficult winter for Europe’s governments.

At the heart of her political identity is a notion which is both a strength and a potentially calamitous weakness – a love of the notion of being a disrupter

She is in a position to persuade European leaders to remain united in Ukraine’s support while planning better how they are going to source energy. She could expand on that to help the EU find a way through its many other problems, such as upholding democratic values throughout the bloc or finding a response to migration.

There is also a chance for the UK to shape Europe’s thinking on the development and regulation of digital technology and medicine, energy, and the environment.

Truss’s declaration that the UK should now spend three per cent of its GDP on defence could help her in taking that kind of role. However this campaign declaration is not yet credible, given the pressures on the national finances and her silence so far on support for households on energy costs.

But that is the opportunity in theory and the signs are this is not her approach to Europe. Her provocative and opportunistic comment that the ‘jury’s out’ on whether President Macron (and France) was a friend or foe shocked both Britain’s allies and opponents.

For those keen to see divisions among democracies, it gave unexpected, heady encouragement, and to those within those countries, it injected a doubt about shared values which was deeply damaging. The chilly poise of Macron’s response – that the UK and France would always be allies – showed how far she had departed from normal protocol.

The episode encapsulated one of the sources of unease about the Truss style – improvisation under the banner of ‘disruption’ without thought of consequences.

Her instinctive liking for the US will help Truss in relations with Washington at a difficult time, and her apparent intention to designate China as ‘a threat’ will support that relationship too

However, she has shown consistency over the Northern Ireland Protocol with little sign of compromise, and that alone could cause much unnecessary damage to UK interests. It also puts her on a collision course with the EU and the UK House of Lords, due to consider controversial legislation again in early October after the Conservative party conference.

There is huge opposition in the Lords to two aspects of the legislation. The first target is the intention of the Johnson government – likely to be repeated by a Truss government – to use the bill to jettison aspects of the protocol, which many argue breaks international law. The second is the delegated power the bill would give ministers.

The cost of a new, serious clash – or worse, a full trade war – with the EU is high. There is the loss of trade, the increase in friction for business, which is consistently underestimated by the UK government, and the loss of scientific and research partnerships.

More than that, though, there is the weakening of ties to a set of allies with common values sharing an increasingly troubled neighbourhood.

US, China, and others remain important

And to say Europe should come first is not to dismiss other claims on the UK’s foreign policy. Her instinctive liking for the US will help Truss in relations with Washington at a difficult time, and her apparent intention to designate China as ‘a threat’ will support that relationship too.