Africa

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Wars and conflicts have pushed more than 139 million people in 24 countries into acute food insecurity. Credit: FAO

By Mario Lubetkin
ROME, May 25 2022 (IPS)

If the war in Ukraine, that was initiated three months ago, does not end, and without a reduction in the growing number of conflicts in other parts of the world, hunger will only continue to increase.

As rarely seen in recent history, issues related to agrifood systems and world food security are at the centre of global and regional debates and actions in the search of possible solutions to prevent the rapid worsening of world hunger as a result of war and other conflicts.

It also seeks to accelerate efforts to transform agrifood systems, to ensure inclusive and environmentally sound development and better nutrition.

Wars and conflicts have pushed more than 139 million people in 24 countries into acute food insecurity; extreme weather events have been responsible for extreme hunger for another 23 million people in eight countries, while economic shocks have enormously affected 30 million people in 21 countries

“Peace is essential to protect people from hunger,” FAO Director-General Qu Dongyu has repeatedly said at major world forums.

Ukraine is obviously the country most affected by the war because of the human suffering and the destruction of food supply and value chains.

However, the consequences of this conflict are also being felt by low-income and food-importing countries that depend on Russia and Ukraine for food, grain, fuel and fertilizer supplies, especially in Africa and Asia, as they face an unprecedented rise in food prices.

At the end of March, just over a month after the start of the war, on 24 February, food products increased by 12.6%, the highest increase since 1990, according to data from the Food and Agriculture Organization of the United Nations (FAO).

At the end of April, prices fell slightly; however, the prospects for the coming months are far from encouraging.

According to a recent study by FAO, World Food Programme (WFP), and other institutions, around 193 million people in 53 countries were already suffering from acute food insecurity and in need of very urgent assistance in 2021, almost 40 million more than in 2020.

It is expected that the figures will continue to increase in 2022 if wars and conflicts continue.

Afghanistan alone represents approximately 20 million people in this situation, half of its population, with very high figures also in Somalia, South Sudan and Yemen.

Wars and conflicts have pushed more than 139 million people in 24 countries into acute food insecurity; extreme weather events have been responsible for extreme hunger for another 23 million people in eight countries, while economic shocks have enormously affected 30 million people in 21 countries.

These data demonstrate the increasingly close relationship between conflicts, climate change, economic and financial crises, as well as energy and health problems, with the fight against hunger.

All this in a context already worsened by the effects of COVID-19 in recent years, which further aggravated the situation of people who numbered more than 800 million at the beginning of the pandemic. The effects of COVID-19 increased that figure by an additional 100 million, not to mention the problems of malnutrition that affect more than 3 billion people.

The war increased prices, especially of wheat, corn and oilseeds as well as fertilizers. These increases come on top of already high increases in the worst period of the COVID-19 pandemic.

Wheat export forecasts for Russia and Ukraine have been revised downwards, and while other players such as India and the European Union have increased their offers, solutions remain very limited, and prices are expected to remain high.

Countries likely to be most affected by their dependence on wheat imports from European countries at war include Egypt and Turkey, as well as several African countries such as Congo, Eritrea, Madagascar, Namibia, Somalia and Tanzania.

In addition, some countries that rely heavily on imported fertilizers from Russia are exporters of grains and high-value commodities such as Argentina, Bangladesh and Brazil.

To face this difficult reality for a group close to 60 countries, FAO is proposing at major international forums, such as the Group of Seven (G7) meeting in Stuttgart, Germany, this month, the creation of a global Food Financing Fund.

This Fund would be designed to help the most affected countries cope with rising food prices and thus contribute to alleviating the situation of 1.8 billion people.

To guarantee greater market transparency, this specialized agency of the United Nations, together with the countries of the Group of 20 (G20), is promoting the strengthening and expansion of the Agricultural Market Information System (AMIS).

It is an inter-agency platform designed to improve the transparency of food markets, established in 2011 by the world’s most powerful countries following the global food price increases of 2007-2008 and 2010.

At the same time, the aim is to support Ukrainian rural families with rapid action to enable them to cultivate crops in time for the harvest that begins in the coming months, which represents an essential source of income for the country’s 12 million rural inhabitants, almost a third of its population.

This involves, for example, distributing potato-planting inputs for to thousands of Ukrainian producers in at least 10 provinces and making targeted economic transfers.

Addressing these dramatically growing emergencies, investing in the healthier, more nutritious and equitable agrifood systems, applying science and innovation more intensely to these processes, and reducing food losses can solve the food situation of hundreds of millions of people.

“Time is short and the situation is dire,” warned Qu at the United Nations Security Council on 19 May.

Excerpt:

This is an op-ed by Mario Lubetkin, Assistant Director-General at FAO

An ultraconservative group in Poland has begun checking with hospitals to find out if Ukrainian refugees are being offered terminations in line with the country’s strict abortion laws amid warnings refugee victims of rape are struggling to access local help and clinical services. Increasing evidence of sexual violence by Russian troops in Ukraine has emerged […]

Philadelphia 76ers centre Joel Embiid could turn his back on Cameroon, the land of his birth, to play internationally for France.

A man photographs an apartment building that was heavily damaged during escalating conflict, in Kyiv, Ukraine. March 2022. Credit: UNICEF/Anton Skyba for The Globe and Mail

By George Pagoulatos
ATHENS, Greece, May 25 2022 (IPS)

Putin’s brutal invasion of Ukraine has sparked a new introspection in the West. A number of commentators, most of them writing from the US and the UK, have come up with their latest scapegoat: Germany’s to blame, they say, with its decades-long policy of appeasing Russia. Really?

People love to dislike Germany. Often for good reasons. Successive Merkel administrations were hard-hearted in their management of the eurozone crisis, imposing crippling austerity on the South. They prioritised Germany’s narrow economic interests when dealing with illiberal regimes, including an aggressive Turkey.

Germany pursued a similar policy with Russia, too, weaving a tight web of economic relations. Since the turning point of 24 February, it is clear that this policy has outlived its usefulness. But the vitriol hurled at Germany has been excessive in the extreme: ‘Putin’s useful idiots’ was the verdict of a recent Politico Europe article on Germany’s leaders. The German president was prevented from visiting Kyiv after being declared persona non grata. It’s all getting rather out of hand.

Understanding the German perspective

Extreme criticism of this sort is not only about Germany and how to deal with brutal leaders like Putin. It is also about Europe’s role in the international system. And it has gone too far, for at least four reasons:

First, history.

Having acknowledged the crimes of Nazism, Germany was re-established on new foundations after 1945. No other country has made historical guilt such an integral part of its national self-consciousness.

George Pagoulatos

This led to the drawing up of a pacifist constitution, the consignment of German nationalism to the fringes, and seven-plus decades of commitment to European integration. When the Germans justify Nord Stream by citing the destruction wrought by Hitler’s Germany on Russia, or when they say they don’t want German tanks rolling into Ukraine killing Russian soldiers, there is deep historical content in it.

One could dismiss it as a thing of the past, but vacuous it isn’t, nor is it just pretext.

Second, Ostpolitik.

The Social Democrats in Germany today inherited Willy Brandt’s post-1960s doctrine of cooperation, dialogue and detente with the Soviet Union and the Eastern Bloc. This policy, which has been adhered to by every administration since, contributed to the fall of the Berlin Wall in 1989 and to the peaceful reunification of the two Germanies.

As a member of NATO, Germany did not cease to play an active role in the containment of the Soviet bloc. But it complemented this role with a farsighted policy of opening up to the Soviet Union. A wise policy which was vindicated.

Third, Realpolitik.

There is no doubt that its nexus of commercial transactions with Putin’s Russia has been commercially beneficial for Germany. Should anyone be surprised if a state chooses to act according to its economic interests? And indeed, the mercantilism of an export-led German economy that grows on the back of foreign trade often leads German foreign policy to forge relations with authoritarian regimes.

Nord Stream 2 did leave Germany fully dependent on Russian gas. However, the Scholz administration shut the pipeline down immediately after the invasion of Ukraine and moved forward to support all the heavy sanctions imposed, accepting the resulting economic damage.

But the key point here is this: If Europe’s main weapon for responding to Putin’s aggression is economic sanctions, it is precisely the density of the commercial relations with Russia that makes sanctions an effective lever capable of delivering real pressure.

Without these transactions, Putin would have nothing to lose – sanctions would be utterly meaningless! Economic interdependence gives Europe the power to exercise a deterrent by escalating sanctions. Even if it stands to bear a good part of the cost of them itself.

Building bridges not walls

There is nothing black and white about dealing in the long term with a militaristic authoritarian rival, one that holds nuclear weapons. It requires an ever-evolving mix of incentives and sanctions to encourage positive behaviour, discourage negative actions, and respond directly to aggression; a toolkit containing both engagement and containment to be applied in alternating doses.

The German logic of dealing with Russia is helping to maintain a balanced European foreign policy mix, which would otherwise be heavily skewed toward atavistic Cold War hawkishness.

Fourth, Europe.

Peace in post-war Europe owes much to the pragmatic restraint of its leaderships, the taming of nationalisms, the forging of mutually beneficial cooperation. The EU owes its historical success to building bridges, not walls. Of course, when things change, Europe (and Germany) change their mind, to paraphrase Keynes.

The EU cannot and must not abandon its doctrine of soft power; rather, it must complement it with hard power and defensive deterrence. But holding the European leaders who sought to engage Russia as a partner responsible for Putin’s war is worse than revisionism. It is a plain distortion of logic.

This article was originally published on ekathimerini-com

George Pagoulatos is a professor at the Athens University of Economics and Business, visiting professor at the College of Europe, and director general of the Hellenic Foundation for European and Foreign Policy (ELIAMEP)

IPS UN Bureau

 

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Two-thirds of women of colour in UK workplaces say they change themselves to fit in, a report says.

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Nigerians should not be pushing against global COVID-19 vaccine inequity amid widespread looting of the national treasury. Credit: UNICEF/Nahom Tesfaye

By Ifeanyi Nsofor
ABUJA, May 24 2022 (IPS)

Nigeria’s accountant-general, the administrative head of the country’s treasury, has been arrested by the Economic and Financial Crimes Commission for allegedly stealing 80 billion naira ($134 million). This is a staggering theft in a country that has an estimated poverty rate of 95 million (48% of the population) and some of the worst health indices in the world.

As a universal health coverage and global health equity advocate, I know that Nigeria’s health system would be stronger and work better by blocking these leakages and channeling the funds to provide universal health coverage for every Nigerian.

Indeed, the stealing of public funds denies millions of people healthcare, which comes with severe health consequences. These include citizens living with chronic debilitating illnesses, loss of productivity, worsening poverty and even death. In our country, about 58,000 women die during pregnancy and childbirth yearly; and 1 in 8 children do not live to witness their 5th birthday. Simply put, corruption is a matter of life and death.

These are five examples of how the missing 80 billion naira could improve the health of Nigerians if rechanneled.

First, 80 billion naira would fund President Muhammadu Buhari’s plan to provide health insurance for 83 million poor Nigerians, as part of his implementation of the new National Health Insurance Authority Act that he recently signed into law.

Further, the missing 80 billion naira is 114 times the 701 million naira budgeted for the defunct National Health Insurance Scheme in 2022. It is unsurprising that the Scheme did not achieve a national health insurance coverage of up to 5% for the past 18 years.

A mandatory health insurance program is a way to achieve universal health coverage for Nigerians because out-of-pocket spending at the point of healthcare pushes people into poverty. Isn’t it ironic that millions of Nigerians are pushed into poverty when they access healthcare and the accountant-general is alleged to have stolen 80 billion naira? This is a classic case of suffering in the midst of plenty.

Second, the stolen 80 billion naira can fund tertiary healthcare for millions of Nigerians who access care at teaching hospitals. Lagos University Teaching Hospital, University of Nigeria Teaching Hospital, University of Ibadan Teaching Hospital, Aminu Kano Teaching Hospital and Jos University teaching Hospital collectively have a budget of 78 billion naira for 2022.

Teaching hospitals do not just provide tertiary healthcare. They also provide primary and secondary healthcare services. In addition, they train medical students and other health professionals. They are also training institutions for doctors specialising to become consultants.

Third, the stolen 80 billion naira is 13 times the 6 billion naira collectively budgeted for National Obstetric Fistula Centres at Abakaliki, Bauchi and Katsina states in 2022. The World Health Organization describes obstetric fistula as an abnormal opening between a woman’s genital tract and her urinary tract or rectum.

It is caused by long obstructed labor and affects more than 2 million young women globally. The abnormal opening leads to leakage of urine and/or faeces from the vagina. Obstetric fistulas destroy the dignity of women. Victims are ostracized, stigmatized and lose economic power. It said that you smell victims before you see them.

That is the huge burden that victims carry. In Nigeria, prevalence of obstetric fistula is 3.2 per 1000 births. There are 13,000 new cases yearly. A review of obstetric fistula in Nigeria showed that the backlog of cases could take 83 years to clear.

In contrast, the stolen 80 billion naira would shorten the time it takes to clear this backlog. I know from my experience as a grantmaker. In 2012, I led the community health initiatives at the TY Danjuma Foundation. A one-year grant of 11 million naira awarded to a grantee in Kano state, northwest Nigeria provided surgical repairs of obstetric fistulas; training of health workers on repair and care of patients; economic empowerment of patients; and advocacy to communities to discourage early marriage and encourage health-facility-based deliveries.

Fourth, the missing 80 billion naira if allocated to the National Primary health Care Development Agency would improve COVID-19 vaccines procurement, distribution and administration in Nigeria. Indeed, that amount is more than 3 times the 24 billion naira budgeted for the NPHCDA in 2022.

So far, Nigeria is mostly depending on the generosity of vaccines donated by rich countries such as the U.S. through the COVAX facility. This is not sustainable. Recent news out of South Africa reveals that Aspen Pharmacare could shut down production of Johnson & Johnson COVID-19 vaccine because African countries are not placing orders as expected.

At a cost of $7.50 per dose of Johnson & Johnson COVID-19 vaccine, $134 million would buy 18 million doses to vaccinate Nigerians and help the country achieve herd immunity as quickly as possible. Nigerians should not be pushing against global COVID-19 vaccine inequity amid widespread looting of the national treasury.

Lastly, the stolen 80 billion naira is 1.5 times the amount budgeted for the 54-billion-naira Basic Health Care Provision Fund. According to the National Primary Health Care Development Agency, the fund is to improve access to primary health care by making provision for routine costs of running primary health centres, and ensure access to health care for all, particularly the poor, by contributing to national productivity. Eighty billion naira increases the number of poor and vulnerable Nigerians who could access healthcare through the Basic Health Care Provision Fund.

Sadly, while still trying to come to terms with the allegation against the accountant-general, there is more news of fraud in Nigeria. A former Managing Director of the Niger Delta Development Commission was arrested for allegedly stealing 47 billion naira. Also, the only female to have served as the speaker of Nigeria’s federal House of Representatives was also arrested for 130 million naira fraud.

These thefts must stop, and the funds should be put where they are most needed: funding healthcare. Without health, we have nothing.

Lucky Agbavor survived child labour in Ghana and put himself through school by selling ice cream. The Pentecostal Church pays for his tuition during his nursing studies, but he still sells juice to put food on the table. Credit: Cecilia Russell/IPS

By Fawzia Moodley
Durban, May 24 2022 (IPS)

Lucky Agbavor sleeps on a mattress in a church in Accra, Ghana sells juice to earn an income, and has been a child labourer since he was four. Now he has made an impact on the international stage when he participated in the 5th Global Conference on the Elimination of Child labour.

Agbavor’s life’s trajectory lays bare the horrors of child labour and how poverty and lack of education rob people of their childhood and the prospect of a decent future.

The link between the lack of education primarily driven by poverty as a root cause of child labour underpinned virtually every discussion at the Conference which was held in Durban, South Africa in May 2022.

Now a second-year nursing student at the Pentecost University, Agbavor never enjoyed a childhood. At four, his mother sent him off to her uncle in a remote village because she could not provide for her son. He had to help his ‘grandpa’ in his fishing enterprise.

His mother took him back home four months later, fearful for Agbavor’s life after he fell off her uncle’s canoe and almost drowned.

Two years later, he was sent to another relative, a cash crop farmer. So here was this six-year-old who had to wake up at 3 am every day to start work: “I had to collect the fresh ‘wine’ drained from the palm trees to be sent to be distilled for alcoholic extraction. I was doing this alongside household chores every morning.”

By the time Agbavor got to school, he was already exhausted. “Sometimes I was very stressed and dozed off, and often I didn’t grasp anything taught in class”.

After school, he tried to make money to pay for his fees by fetching cocoa from the farm and packing it for processing.

“Sometimes, we went to the forest to cut and load wood. We used chain saws and then carried the beams to a vehicle for transportation.”

The chopping of the trees was illegal.

“Forest guards would intercept us because it was illegal. So, they would arrest the operator, and you would not get paid even the paltry money we worked so hard for,” he says.

Agbavor often went to school in torn uniform and used one book for all his subjects.

This continued for ten years, but at least he managed to get a rudimentary education.

“Glory to God I passed my basic education in 2012 where I could continue high school, but unfortunately my ‘grandfather’ said he had no money even though I had worked for him for the past ten years,” he says.

Agbavor returned to live with his mother, whose financial situation was still dire, and he had to fend for himself.

“I started selling ice cream, coconuts, bread. I even ventured into photography with my uncle, who had a studio where he promised to give me a job and take me to high school, but after working for him for a year, he failed to keep his promise.”

Agbavor says he then went into full time ‘business’ selling ice cream on the streets to raise funds for high school. He worked long hours and had to sell lots of ice cream to earn enough money.

Lucky Agbavor addresses the 5th Global Conference on the Elimination of Child labour. Credit: Cecilia Russell/IPS

Unfortunately, Agbavor, who wanted to be a doctor, did not achieve the results needed to go to medical school, so he decided to do a nursing degree as a way to eventually study medicine.

The Pentecostal Church agreed to pay his fees, but he still had to find the money for food and other necessities. He now sells juice to earn an income and says he is grateful to some local benefactors who help him from time to time. But life is still far from rosy. He has no home and sleeps on a mattress in the church.

Agbavor’s presence at the conference is thanks to the National Union of Ghana Students, who felt Agbavor’s story would be an eye-opener. He was one of several child labour survivors including several saved by the Kailash Satyarthi Foundation who shared their stories..

It’s Agbavor’s first trip outside his country. Yet, his self-confidence and charisma have allowed him to hold his own at a conference attended by politicians, business people, trade unionists, and NGOs worldwide.

He attributes his ability to stand his ground to his tough upbringing.

“I have seen the worst of life. It made me strong. I am like a seed. I sprouted out of the soil. It is the same potential millions of other children (in bondage) have.”

Agbavor’s message to the conference is that while access to free education is key to liberating children in bondage, the quality of that education is equally important.

“I want to tell people that the schools that educate the children of ministers, politicians, doctors, those same schools can absorb and educate child labourers,” he says.

IPS UN Bureau Report

This is one of a series of stories that IPS published around the 5th Global Conference on the Elimination of Child Labour in Durban, South Africa.

 

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A group of Farmacoop workers stand in the courtyard of their plant in Buenos Aires. Members of the Argentine cooperative proudly say that theirs is the first laboratory in the world to be recovered by its workers. CREDIT: Courtesy of Pedro Pérez/Tiempo Argentino.

By Daniel Gutman
BUENOS AIRES, May 24 2022 (IPS)

“All we ever wanted was to keep working. And although we have not gotten to where we would like to be, we know that we can,” says Edith Pereira, a short energetic woman, as she walks through the corridors of Farmacoop, in the south of the Argentine capital. She proudly says it is “the first pharmaceutical laboratory in the world recovered by its workers.”

Pereira began to work in what used to be the Roux Ocefa laboratory in Buenos Aires in 1983. At its height it had more than 400 employees working two nine-hour shifts, as she recalls in a conversation with IPS.

But in 2016 the laboratory fell into a crisis that first manifested itself in delays in the payment of wages and a short time later led to the owners removing the machinery, and emptying and abandoning the company.

The workers faced up to the disaster with a struggle that included taking over the plant for several months and culminated in 2019 with the creation of Farmacoop, a cooperative of more than 100 members, which today is getting the laboratory back on its feet.

In fact, during the worst period of the pandemic, Farmacoop developed rapid antigen tests to detect COVID-19, in partnership with scientists from the government’s National Council for Scientific and Technical Research (Conicet), the leading organization in the sector.

Farmacoop is part of a powerful movement in Argentina, as recognized by the government, which earlier this month launched the first National Registry of Recovered Companies (ReNacER), with the aim of gaining detailed knowledge of a sector that, according to official estimates, comprises more than 400 companies and some 18,000 jobs.

The presentation of the new Registry took place at an oil cooperative that processes soybeans and sunflower seeds on the outskirts of Buenos Aires, built on what was left of a company that filed for bankruptcy in 2016 and laid off its 126 workers without severance pay.

Edith Pereira (seated) and Blácida Benitez, two of the members of Farmacoop, a laboratory recovered by its workers in Buenos Aires, are seen here in the production area. This is the former Roux Ocefa laboratory, which went bankrupt in the capital of Argentina and was left owing a large amount of back wages to its workers. CREDIT: Daniel Gutman/IPS

The event was led by President Alberto Fernández, who said that he intends to “convince Argentina that the popular economy exists, that it is here to stay, that it is valuable and that it must be given the tools to continue growing.”

Fernández said on that occasion that the movement of worker-recuperated companies was born in the country in 2001, as a result of the brutal economic and social crisis that toppled the presidency of Fernando de la Rúa.

“One out of four Argentines was out of work, poverty had reached 60 percent and one of the difficulties was that companies were collapsing, the owners disappeared and the people working in those companies wanted to continue producing,” he said.

“That’s when the cooperatives began to emerge, so that those who were becoming unemployed could get together and continue working, sometimes in the companies abandoned by their owners, sometimes on the street,” the president added.

Two technicians package products at the Farmacoop laboratory, a cooperative with which some of the workers of the former bankrupt company undertook its recovery through self-management, a formula that is growing in Argentina in the face of company closures during successive economic crises. CREDIT: Courtesy of Farmacoop

A complex social reality

More than 20 years later, this South American country of 45 million people finds itself once again in a social situation as severe or even more so than back then.

The new century began with a decade of growth, but today Argentines have experienced more than 10 years of economic stagnation, which has left its mark.

Poverty, according to official data, stands at 37 percent of the population, in a context of 60 percent annual inflation, which is steadily undermining people’s incomes and hitting the most vulnerable especially hard.

The latest statistics from the Ministry of Labor, Employment and Social Security indicate that 12.43 million people are formally employed, which in real terms – due to the increase of the population – is less than the 12.37 million jobs that were formally registered in January 2018.

“I would say that in Argentina we have been seeing the destruction of employment and industry for 40 years, regardless of the orientation of the governments. That is why we understand that worker-recovered companies, as a mechanism for defending jobs, will continue to exist,” says Bruno Di Mauro, the president of the Farmacoop cooperative.

“It is a form of resistance in the face of the condemnation of exclusion from the labor system that we workers suffer,” he adds to IPS.

“He who abandons gets no prize” reads the banner with which part of the members of the Farmacoop cooperative were demonstrating in the Plaza de Mayo in downtown Buenos Aires, during the long labor dispute with the former owners who drove the pharmaceutical company into bankruptcy. The workers managed to recover it in 2019. CREDIT: Courtesy of Bruno Di Mauro/Farmacoop.

Today Farmacoop has three active production lines, including Aqualane brand moisturizing cream, used for decades by Argentines for sunburn. The cooperative is currently in the cumbersome process of seeking authorizations from the health authority for other products.

“When I look back, I think that we decided to form the cooperative and recover the company without really understanding what we were getting into. It was a very difficult process, in which we had colleagues who fell into depression, who saw pre-existing illnesses worsen and who died,” Di Mauro says.

“But we learned that we workers can take charge of any company, no matter how difficult the challenge. We are not incapable just because we are part of the working class,” he adds.

Farmacoop’s workers currently receive a “social wage” paid by the State, which also provided subsidies for the purchase of machinery.

The plant, now under self-management, is a gigantic old 8,000-square-meter building with meeting rooms, laboratories and warehouse areas where about 40 people work today, but which was the workplace of several hundred workers in its heyday.

It is located between the neighborhoods of Villa Lugano and Mataderos, in an area of factories and low-income housing mixed with old housing projects, where the rigors of the successive economic crises can be felt on almost every street, with waste pickers trying to eke out a living.

Edith Pereira shows the Aqualane brand moisturizing cream, well known in Argentina, that today is produced by the workers of the Farmacoop cooperative, which has two industrial plants in Buenos Aires, recovered and managed by the workers. CREDIT: Daniel Gutman/IPS

“When we entered the plant in 2019, everything was destroyed. There were only cardboard and paper that we sold to earn our first pesos,” says Blácida Martínez.

She used to work in the reception and security section of the company and has found a spot in the cooperative for her 24-year-old son, who is about to graduate as a laboratory technician and works in product quality control.

A new law is needed

Silvia Ayala is the president of the Mielcitas Argentinas cooperative, which brings together 88 workers, mostly women, who run a candy and sweets factory on the outskirts of Buenos Aires, where they lost their jobs in mid-2019.

“Today we are grateful that thanks to the cooperative we can put food on our families’ tables,” she says. “There was no other option but to resist, because reinserting ourselves in the labor market is very difficult. Every time a job is offered in Argentina, you see lines of hundreds of people.”

Ayala is also one of the leaders of the National Movement of Recovered Companies, active throughout the country, which is promoting a bill in Congress to regulate employee-run companies, presented in April by the governing Frente de Todos.

“A law would be very important, because when owners abandon their companies we need the recovery to be fast, and we need the collaboration of the State; this is a reality that is here to stay,” says Ayala.

Argentine President Alberto Fernández stands with workers of the Cooperativa Aceitera La Matanza on May 5, when the government presented the Registry of Recovered Companies, which aims to formalize worker-run companies. CREDIT: Casa Rosada

The Ministry of Social Development states that the creation of the Registry is aimed at designing specific public policies and tools to strengthen the production and commercialization of the sector, as well as to formalize workers.

The government defines “recovered” companies as those economic, productive or service units that were originally privately managed and are currently run collectively by their former employees.

Although the presentation was made this month, the Registry began operating in March and has already listed 103 recovered companies, of which 64 belong to the production sector and 35 to the services sector.

The first data provide an indication of the diversity of the companies in terms of size, with the smallest having six workers and the largest 177.

Droughts represent 15% of natural disasters but took the largest human toll, approximately 650,000 deaths from 1970-2019, Credit: Guillermo Flores/IPS

By Baher Kamal
MADRID, May 24 2022 (IPS)

The message is clear: three-quarters of the world’s population will be affected by drought by 2050. Does it sound too far in time? Well, your kids might be among the billions of humans living on a desertified planet.

But it is not about only them. Also you are already affected. In fact, around 1.700 billion of drylands, home to two billion people, are already covering 41% of the planet’s land surface.

Moreover, an additional 1 billion dryland hectares are now under threat.

In the past century, 45 major drought events occurred in Europe, affecting millions of people and resulting in more than 27.8 billion US dollars in economic losses. And today, an annual average of 15% of the land area and 17% of the population within the European Union is affected by drought

To talk about that, some 7,000 participants, including heads of State, ministers and delegates as well as representatives of the private sector, civil society, women, youth leaders and media, met in the 15 Conference of the Parties (COP15) of the UN Convention to Combat Desertification, held in Abidjan, Côte d’Ivoire.

The participants in this two-week meeting (9-20 May 2022) on the future of land had before their eyes the following facts and figures, which were submitted by the UNCCD report Drought in Numbers, 2022:

• Since 2000, the number and duration of droughts has risen 29%,

• From 1970 to 2019, weather, climate and water hazards accounted for 50% of disasters and 45% of disaster-related deaths, mostly in developing countries,

• Droughts represent 15% of natural disasters but took the largest human toll, approximately 650,000 deaths from 1970-2019,

• From 1998 to 2017, droughts caused global economic losses of roughly 124 billion US dollars,

• In 2022, more than 2.3 billion people face water stress, and almost 160 million children are exposed to severe and prolonged droughts.

 

What will happen if the world does not act… urgently?

Unless action is stepped up, UNCCD projects the following risks:

• By 2030, an estimated 700 million people will be at risk of being displaced by drought,

• By 2040, an estimated one in four children will live in areas with extreme water shortages,

• By 2050, droughts may affect over three-quarters of the world’s population, and an estimated 4.8-5.7 billion people will live in areas that are water-scarce for at least one month each year, up from 3.6 billion today,

• And up to 216 million people could be forced to migrate by 2050, largely due to drought in combination with other factors including water scarcity, declining crop productivity, sea-level rise, and overpopulation.

 

Where?

No continent and no country can feel safe or escape the impacts of the growing droughts. See what another report Droughtland says:

• Severe drought affects Africa more than any other continent, with more than 300 events recorded in the past 100 years, accounting for 44% of the global total. More recently, sub-Saharan Africa has experienced the dramatic consequences of climate disasters becoming more frequent and intense,

• In the past century, 45 major drought events occurred in Europe, affecting millions of people and resulting in more than 27.8 billion US dollars in economic losses. And today, an annual average of 15% of the land area and 17% of the population within the European Union is affected by drought,

• In the U.S., crop failures and other economic losses due to drought have totaled several hundred billion USD over the last century – 249 billion US dollars alone since 1980,

• Over the past century, the highest total number of humans affected by drought were in Asia.

 

Losing food, water, oxygen, biodiversity…

But regardless of the economic costs –taxpayers’ money is anyway being wasted on human and the Planet non-priorities such as weapons, wars, polluting fossil fuels, etc– the advancing droughts imply many dangerous impacts.

For instance, the evident risk of losing food production thus more scarcity and higher prices; severe water shortages; less oxygen from dried forests; major advance of extinction of the Planet’s biodiversity as a key survival factor, among many other consequences.

 

What are the causes?

The reasons are evident: unsustainable use, such as overgrazing or deforestation for conversion to agriculture.

The world leading Food and Agriculture Organisation (FAO) says that, exacerbated by climate change, this leads to land degradation and desertification, reduces productivity, and threatens food security and livelihoods.

See also what The Global Environment Facility (GEF), which serves as the financial mechanism for several environmental conventions, says in this regard: unchecked desertification can lead to food shortages, volatility and increases in food prices caused by declines in the productivity of croplands.

As well, it heightens the impacts of climate change globally caused by the release of carbon and nitrous oxide from degrading land; and the threat of social instability from the forced migration that will result.

 

The vicious cycle

“Contrary to common misconception, desertification is not necessarily the natural expansion of existing deserts but rather the degradation of land overtime due to overcultivation, overgrazing, deforestation and poor irrigation practices.

And although desertification is ultimately man-made, it is exacerbated by the extreme weather, such as droughts and heavy rains, associated with climate change.

“That can start a vicious cycle where land degradation leads to loss of vegetation and forests that reduces the Earth’s capacity to sequester carbon dioxide in the atmosphere…”

 

Impacts on ecosystems

The UNCCD report also highlight the following scientific findings:

• The percentage of plants affected by drought has more than doubled in the last 40 years, with about 12 million hectares of land lost each year due to drought and desertification,

• Ecosystems progressively turn into carbon sources, especially during extreme drought events, detectable on five of six continents,

• One-third of global carbon dioxide emissions is offset by the carbon uptake of terrestrial ecosystems, yet their capacity to sequester carbon is highly sensitive to drought events,

• 14% of wetlands critical for migratory species are located in drought-prone regions,

• The megadrought in Australia contributed to ‘megafires’ in 2019-2020 resulting in the most dramatic loss of habitat for threatened species in post-colonial history. And about 3 billion animals were killed or displaced in the Australian wildfires,

• Photosynthesis in European ecosystems was reduced by 30% during the summer drought of 2003, which resulted in an estimated net carbon release of 0.5 gigatons,

• 84% of terrestrial ecosystems are threatened by changing and intensifying wildfires,

• During the first two decades of the 21st century, the Amazon experienced 3 widespread droughts, all of which triggered massive forest fires.

• Drought events are becoming increasingly common in the Amazon region due to land-use and climate change, which are interlinked,

• If Amazonian deforestation continues unabated, 16% of the region’s remaining forests will likely burn by 2050.

 

The 15th session of the Conference of Parties (COP15) to the United Nations Convention to Combat Desertification (UNCCD), took  place in Abidjan Côte d’Ivoire, from 9 to 20 May 2022. The theme: “Land, Life. Legacy: From scarcity to prosperity.”

 

What happened in Abidjan?

The COP15 adopted 38 decisions, dealing with land restoration and tenure, migration and gender, among several others, while highlighting the role of land in addressing multiple crises.

Among them, the promotion of robust monitoring and data to track progress against land restoration commitments, the adoption of a new political and financial impetus to help nations deal with the devastating impacts of drought and build resilience.

It was also agreed to accelerate the restoration of one billion hectares of degraded land by 2030; to boost drought resilience by identifying the expansion of drylands, and to establish an Intergovernmental Working Group on Drought for 2022-2024 to look into possible options, including global policy instruments and regional policy frameworks.

The need to address the drought-induced forced migration and displacement driven by desertification and land degradation, was also among the COP15 conclusions.

But also the need to improve women’s involvement in land management as important enablers for effective land restoration, by addressing commonly encountered land tenure challenges by people in vulnerable situations, and collecting gender-disaggregated data on the impacts of desertification, land degradation and drought.

 

The “commitments”

The COP15 participants announced 2.500 billion US dollars in contributions, which is more than the expected 1.500 US dollars.

Still, a tough question remains: experience and pragmatism proved over the last decades that politicians are as quick to promise as they are not to fulfill. Will it be the same case now?

 

A wide view of the Security Council Chamber as President Volodymyr Zelenskyy (on screen) of Ukraine, addresses the Security Council meeting on the situation in Ukraine. April 2022. Credit: UN Photo/Loey Felipe

By Elias Yousif
WASHINGTON DC, May 24 2022 (IPS)

Less than halfway through the year, the May 19, 2022 passage of more than $41 billion in emergency funding for Ukraine positions the country to become the largest single recipient of U.S. security sector assistance in 2022.

The latest funding includes at least $6 billion in direct military aid to Ukraine, and billions more for Ukraine and other European partners. Altogether, even a conservative estimate places the value of the military assistance Ukraine will receive in 2022 as equivalent to what the U.S. provided Afghanistan, Israel, and Egypt in FY2020 combined.

In the aftermath of Russia’s 2014 annexation of Crimea, Ukraine had already become the most significant recipient of U.S. security assistance in Europe, receiving $2.7 billion in American military aid between 2014 and 2021. But now, those totals are being quickly eclipsed as the United States and its western allies rush billions of dollars worth of weaponry to Kyiv.

The unprecedented sum reflects both the strategic earthquake resulting from Russia’s invasion as well as the West’s evolving assessment of Ukraine’s prospects in its fight with Moscow. With such enormous quantities of weaponry now making their way to Ukraine, it’s worth reflecting on the evolution of this extraordinary surge in international military assistance and its consequences.

What’s Been Committed to Ukraine Since the February 24, 2022 Invasion

After Russia crossed into Ukraine on February 24, 2022, the United States massively expanded its security assistance efforts and began making use of emergency authorities to expedite the transfer of weaponry and equipment to the country.

Since February 2022, the United States has provided $3.9 billion in security sector assistance to Ukraine. In short, in less than three months between February and April 2022, the United States provided one billion more in security assistance than it did in the seven years between 2014 and 2021.

The United States has provided a wide range of weapons and equipment. According to U.S. government reports, as of May 6th, United States had committed the following:

More than 1,400 Stinger anti-aircraft systems

5,500 Javelin anti-armor systems

14,000 other anti-armor weapon systems

700 Switchblade drones and an undisclosed number of Phoenix Ghost Tactical Drones

16 helicopters

Hundreds of High Mobility Multipurpose Wheeled Vehicles

90 155mm Howitzer artillery pieces and nearly 200,000 shells

200 armored personnel carriers

7,000 small arms

50 million rounds of small arms ammunition

The vast quantity of weapons and equipment provided to Ukraine totals over $3.8 billion so far and excludes the billions in military related assistance in the emergency supplemental passed by Congress on May 19.

The new funding package adds an additional $6 billion for the Ukraine Security Assistance Initiative – the Ukraine-specific program that funds defense acquisition for the government in Kyiv – and an additional $4 billion in Foreign Military Financing for Ukraine and other European allies.

Additionally, the bill adds $9.05 billion to replenish U.S. weapons stockpiles depleted by a series of transfers to Ukraine and other neighboring states. The bill also raises the statutory limit for what the President is permitted to transfer from existing U.S. weapons stockpiles to $11 billion, providing another pool of equipment that the President can draw from.

Arriving at an exact total for military aid committed to Ukraine in the aftermath of this bill’s passage is challenging. Much of the assistance is being made available to Ukraine and “and countries impacted by the situation in Ukraine.”

In addition, the funding for stockpile replenishment may not represent the exact equivalent of military hardware that has already been transferred to Kyiv. Nevertheless, estimates of the aggregate value of military aid committed to Kyiv would likely make Ukraine the largest yearly U.S. security assistance recipient of the 21st century.

The Evolution of U.S. Security Assistance to Ukraine

Changes in the scale, scope, and makeup of U.S. security assistance over the first four months of the conflict in Ukraine reflect shifting war imperatives, political realities, and appraisals of potential conflict outcomes.

The earliest days of the war following Russia’s invasion in February 2002 were characterized by positional urban fighting and small unit tactics. The United States, Kyiv, and other international partners were focused on equipping forces defending key urban areas with weaponry that could be quickly delivered and used without significant sustainment or training need.

The result was thousands of shoulder-fired anti-armor and anti-air missiles, thousands of small arms, and millions of rounds of small arms ammunition pouring into the country. Just over two weeks after the beginning of the conflict, by March 16, 2022, U.S.-origin equipment committed to Ukraine included:

600 Stinger anti-aircraft systems

2,600 Javelin anti-armor systems

Tactical drones

200 shotguns

200 machine guns

40 million rounds of small arms ammunition

1 million grenade, mortar, and artillery rounds

While the United States did provide a handful of rotary aircraft and armored personnel carriers, much like Ukraine’s other military patrons, Washington was acutely concerned that the provision of more advanced or heavy weaponry could provoke an escalation from Moscow.

In striking the balance of providing weapons to help Ukraine defend itself, Washington sought to test the limits of assistance without sparking a wider war or a direct retaliation from the Kremlin, especially as President Putin rattled his nuclear saber.

Those sensitivities were on full display after a surprise proposal from Poland to transfer some of its Soviet-era fighter jets to Ukraine in exchange for new U.S. aircraft was shot down by the Biden Administration for fear it was too direct an incitement of Russian animosity.

Those calculations changed in late March, as stiff Ukrainian resistance and failures in the Russian assault allowed Kyiv to withstand much of the Kremlin’s initial offensive, especially around the capital.

Incapable of managing their stretched logistics and maintaining pressure around so many axes of advance, Russia elected to withdraw from significant portions of the country and re-orient their war effort toward seizing the country’s east and, potentially, coastal south.

The battlefield transition also catalyzed a transition in Washington’s view of the conflict and the nature of its security assistance to Ukraine. Strategically, it crystallized assessments that Ukraine and its government would survive the conflict with significant territory under its control and could potentially reclaim some areas it lost to Russia in the conflict’s initial phase.

With the imminent and existential threat relatively at bay, and with somewhat more generous time horizons, new opportunities to consider security packages with more advanced weaponry with longer lead times became viable.

Additionally, a battle for Ukraine’s east represents a fundamentally different operational context. Far from the positional urban fighting that Ukraine was able to master early on, the famed Eurasian steppe presents new advantages for Russia.

Shorter supply lines, a more concentrated frontline, and open terrain that advantages Russia’s mechanized armor and long-range heavy firepower will create significant tactical challenges for Ukrainian defenders.

As Ukraine’s foreign minister put it to a NATO gathering, “the battle for Donbas will remind you of the Second World War with large operations, thousands of tanks, armored vehicles, planes, artillery.”

Accordingly, in this new phase of the conflict, the United States has dramatically enhanced its security assistance to Ukraine, expanding to newer, more advanced weapons systems that speak to the particular battlefield realities of this new phase in the war.

With battlefield outcomes now being determined by the accuracy and range of heavy weaponry, the U.S. has committed additional artillery, air defense systems, advanced radar systems, more rotary aircraft, and a slew of never before seen drones that will see some of their first combat in Ukraine.

The change reflects both the new battlefield challenges Ukraine will face in the Donbas, but also the view from Washington that Russia’s warnings against providing additional weaponry to Kyiv are mostly rhetorical.

In addition, the United States has expanded its assistance in non-material but strategically significant ways. Perhaps most important has been Washington’s provision of real-time intelligence to Ukrainian forces.

Reports suggest that Ukraine has made use of the information to target high-ranking Russian military officials and to sink Russia’s famed Black Sea flagship, the Moskva. The U.S. has also begun providing training to Ukrainian troops on some of the new weapon systems they are set to receive, though the training continues to take place outside of Ukraine.

Extraordinary Authorities

Since 2014, the United States has relied on a handful of conventional security cooperation and assistance authorities to support Ukraine’s defense and security forces, including Foreign Military Financing, International Military Education and Training, and the purpose-built Ukraine Security Assistance Initiative.

These programs followed typical Congressional appropriations processes and reflected a more methodical approach to building Ukrainian security capacity.

However, current events have changed the traditional assistance model. In late 2021, as the U.S. intelligence community became convinced that a Russian invasion was imminent, the United States faced a new urgency to shore up Ukrainian defenses against the substantially more developed military might of the Kremlin. The Biden Administration reached for new and exceptional tools to get hardware to Ukrainians quickly.

The most prominent of those exceptional tools has been the Presidential Drawdown Authority, which allows the Executive Branch to take weapons, ammunition, and other materiel from existing U.S. stocks and provide them to other countries without congressional authorization.

The Biden Administration has invoked the authority ten times for Ukraine since August 2021. To put that in context, a 2016 Government Accountability Office report found that the authority was invoked just 11 times between 2011 and 2015. The authority offers some advantages in the current context, including reducing lead times for materiel from months or years to days and weeks.

Additionally, in March 2022, the President invoked an emergency authority under the Arms Export Control Act, which allows the Executive Branch to bypass the statutorily mandated congressional notification process and proceed immediately with an international arms sale or export.

The authority requires the Executive to certify that an emergency exists that creates a national security imperative for the immediate sale or export of defense articles or services without the typical 15-30 pause for notification and congressional consideration.

The authority has only been invoked on a handful of occasions, including in 2019 when President Trump controversially used it to transfer munitions and other defense articles to members of the Saudi-led coalition fighting in Yemen without congressional notification and despite strong congressional opposition.

Congress has also passed an updated version of the World War II-era Lend Lease Act, authorizing the Administration to provide military equipment to Ukraine and other countries in the region on an indefinite basis and without the need to come back to Congress for additional funding. During the Second World War, President Franklin D. Roosevelt used the statute to arm Britain and, to a lesser degree, Russia.

In addition, with the passage of the most recent 41 billion dollar package, the President has now submitted and been granted two emergency supplemental funding requests to Congress amounting to more than $54 billion related to Ukraine including at least $32.3 billion for European theatre defense and security assistance.

Conclusion

The war in Ukraine has fundamentally shifted the focus of U.S. military assistance. For the first time in the 21st century, the largest recipient of U.S. security assistance is not in the Middle East or Central Asia, but in Europe.

The war in Ukraine has become the defining foreign policy priority of the Biden Administration, and with a growing consensus in Western capitals that the end to the war is nowhere in sight, it is likely that the volume of military assistance the United States provides to Ukraine will continue to climb.

Elias Yousif is a Research Analyst with the Stimson Center’s Conventional Defense Program. His research focuses on the global arms trade and arms control, issues related to remote warfare and use of force, and international security cooperation and child-soldier prevention. Prior to joining the Stimson Center, Elias was the Deputy Director of the Security Assistance Monitor at the Center for International Policy where he analyzed the impact of U.S. arms transfer and security assistance programs on international security, U.S. foreign policy, and global human rights practices.

IPS UN Bureau

 

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Zimbabwe and Kenya will not take part in the 2023 Africa Cup of Nations after failing to overturn global football fans.

By Anis Chowdhury and Jomo Kwame Sundaram
SYDNEY and KUALA LUMPUR, May 24 2022 (IPS)

A class war is being waged in the name of fighting inflation. All too many central bankers are raising interest rates at the expense of working people’s families, supposedly to check price increases.

Forced to cope with rising credit costs, people are spending less, thus slowing the economy. But it does not have to be so. There are much less onerous alternative approaches to tackle inflation and other contemporary economic ills.

Short-term pain for long-term gain?
Central bankers are agreed inflation is now their biggest challenge, but also admit having no control over factors underlying the current inflationary surge. Many are increasingly alarmed by a possible “double-whammy” of inflation and recession.

Nonetheless, they defend raising interest rates as necessary “preemptive strikes”. These supposedly prevent “second-round effects” of workers demanding more wages to cope with rising living costs, triggering “wage-price spirals”.

In central bank jargon, such “forward-looking” measures convey clear messages “anchoring inflationary expectations”, thus enhancing central bank “credibility” in fighting inflation.

They insist the resulting job and output losses are only short-term – temporary sacrifices for long-term prosperity. Remember: central bankers are never punished for causing recessions, no matter how deep, protracted or painful.

But raising interest rates only makes recessions worse, especially when not caused by surging demand. The latest inflationary surge is clearly due to supply disruptions because of the pandemic, war and sanctions.

Raising interest rates only reduces spending and economic activity without mitigating ‘imported’ inflation, e.g., rising food and fuel prices. Recessions will further disrupt supplies, aggravating inflation and worsening stagflation.

Wage-price spirals?
Some central bankers claim recent instances of wage increases signal “de-anchored” inflationary expectations, and threaten ‘wage-price spirals’. But this paranoia ignores changed industrial relations and pandemic effects on workers.

With real wages stagnant for decades, the ‘wage-price spiral’ threat is grossly exaggerated. Over recent decades, most workers have lost bargaining power with deregulation, outsourcing, globalization and labour-saving technologies. Hence, labour shares of national income have declined in most countries since the 1980s.

Labour market recovery, even tightening in some sectors, obscures adverse overall pandemic impacts on workers. Meanwhile, millions of workers have gone into informal self-employment – now celebrated as ‘gig work’ – increasing their vulnerability.

Pandemic infections, deaths, mental health, education and other impacts, including migrant worker restrictions, have all hurt many. Contagion has especially hurt vulnerable workers, including youth, migrants and women.

Workers’ share of national income, 1970-2015

Ideological central bankers
Economic policies by supposedly independent and knowledgeable technocrats are presumed to be better. But such naïve faith ignores ostensibly academic, ideological beliefs.

Typically biased, albeit in unstated ways, policy choices inevitably support some interests over – even against – others. Thus, for example, an anti-inflation policy emphasis favours financial asset owners.

Politicians like the notion of central bank independence. It enables them to conveniently blame central banks for inflation and other ills – even “sleeping at the wheel” – and for unpopular policy responses.

Of course, central bankers deny their own role and responsibility, instead blaming other economic policies, especially fiscal measures. But politicians blaming central bankers after empowering them is simply shirking responsibility.

In the rich West, governments long bent on fiscal austerity left the heavy lifting for recovery after the 2008-2009 global financial crisis (GFC) to central bankers. Their ‘unconventional monetary policies’ involved keeping policy interest rates very low, enabling corporate shenanigans and zombie business longevity.

This enabled unprecedented increases in most debt, including private credit for speculation and sustaining ‘zombie’ businesses. Hence, recent monetary tightening – including raising interest rates – will trigger more insolvencies and recessions.

German social market economy
Inflation and policy responses inevitably involve social conflicts over economic distribution. In Germany’s ‘free collective bargaining’, trade unions and business associations engage in collective bargaining without state interference, fostering cooperative relations between workers and employers.

The German Collective Bargaining Act does not oblige ‘social partners’ to enter into negotiations. The timing and frequency of such negotiations are also left to them. Such flexible arrangements are said to have helped SMEs.

Although Germany’s ‘social market economy’ has no national tripartite social dialogue institution, labour unions, business associations and government did not hesitate to democratically debate crisis measures and policy responses to stabilize the economy and safeguard employment, e.g., during the GFC.

Dialogue down under
A similar ‘social dialogue’ approach was developed by Australian Labor Prime Minister Bob Hawke from 1983. This contrasted with the more confrontational approaches pursued in Margaret Thatcher’s UK and Ronald Reagan’s USA – where punishing interest rates inflicted long recessions.

Although Hawke had been a successful trade union leader, he began by convening a national summit of workers, businesses and other stakeholders. The resulting Prices and Incomes Accord between the government and unions moderated wage demands in return for ‘social wage’ improvements.

This consisted of better public health provisioning, pension and unemployment benefit improvements, tax cuts and ‘superannuation’ – involving required employees’ income shares and matching employer contributions to a workers’ retirement fund.

Although business groups were not formally party to the Accord, Hawke brought big businesses into other new initiatives such as the Economic Planning Advisory Council. This consensual approach helped reduce both unemployment and inflation.

Such consultations have also enabled difficult reforms – including floating exchange rates and reducing import tariffs. They also contributed to the developed world’s longest uninterrupted economic growth streak – without a recession for nearly three decades, ending in 2020 with the pandemic.

Social partnerships
A variety of such approaches exist. For example, Norway’s kombiniert oppgjior, from 1976, involved not only industrial wages, but also taxes, salaries, pensions, food prices, child support payments, farm support prices, and more.

‘Social partnerships’ have also been important in Austria and Sweden. A series of political understandings – or ‘bargains’ – between successive governments and major interest groups enabled national wage agreements from 1952 until the mid-1970s.

Consensual approaches undoubtedly underpinned post-Second World War reconstruction and progress, of the so-called Keynesian ‘Golden Age’. But it is also claimed they have created rigidities inimical to further progress, especially with rapid technological change.

Economic liberalization in response has involved deregulation to achieve more market flexibilities. But this approach has also produced more economic insecurity, inequalities and crises, besides stagnating productivity.

Such changes have also undermined democratic states, and enabled more authoritarian, even ethno-populist regimes. Meanwhile, rising inequalities and more frequent recessions have strained social trust, jeopardizing security and progress.

Policymakers should consult all major stakeholders to develop appropriate policies involving fair burden sharing. The real need then is to design alternative policy tools through social dialogue and complementary arrangements to address economic challenges in more equitably cooperative ways.

IPS UN Bureau

 

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