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Diplomacy
Vladimir Putin with Prime Minister of Iraq, Muhammed Shia al-Sudani

Russia-Iraq talks

by Vladimir Putin , Mohammed Chia al-Soudani

Vladimir Putin met with Prime Minister of the Republic of Iraq Muhammed Shia Al-Sudani, currently on an official visit to Russia. The beginning of Russia-Iraq talks President of Russia Vladimir Putin: Mr Prime Minister, colleagues, friends, Welcome to Russia and Moscow. Mr Prime Minister, We are delighted to see you. Relations between our countries are developing rather successfully. Next year, we will mark the 80th anniversary of diplomatic relations. In previous decades, our country accomplished very much in building relations with Iraq, and in the most diverse fields – first and foremost in the economic sphere. An intergovernmental commission is working on this today. In 2022, our trade soared by 43 percent but, unfortunately, dropped this year. We have a lot to discuss. In this sense, of course, your visit is quite timely. The energy sector is certainly the main aspect of our collaboration. Our largest companies operate rather successfully in your country. Our companies have invested a total of about $19 billion, and our collaboration, already quite effective in this area, is only going to expand. We coordinate our work within the OPEC + format, and we are doing this rather successfully in order to stabilise the situation on global markets. On the whole, we are enjoying much success, and I hope that we will continue working in this manner moving forward. We have many bilateral objectives, and we will focus our attention on all of them. Tomorrow, we will take part in a plenary meeting of the Russian Energy Week. This is a valuable and respectable international event in the field of global energy, during which specialists and experts can convene and discuss current developments, as well as shorter-term and remote prospects. Of course, your visit to Russia is taking place amid crises: the Ukrainian crisis continues, and, unfortunately, we are witnessing a sharp deterioration of the situation in the Middle East. I think that many will agree with me that this is a clear example of the United States’ failed policy in the Middle East, which tried to monopolise the settlement process, but, unfortunately, was not concerned with finding compromises acceptable to both sides, but, on the contrary, put forward its own ideas about how this should be done and put pressure on both sides, truly both: first on one, then on the other. But each time without considering the fundamental interests of the Palestinian people, bearing in mind, first of all, the need to implement the decision of the UN Security Council on the creation of an independent, sovereign Palestinian state. But in any case, no matter what happens there… I know your position, Mr Prime Minister, and our position is that harm to the civilian population should be minimised and reduced to zero, and we call on all sides of the conflict to do so. We will certainly talk about this, as well as other problems, during your visit today. After the expanded meeting, we are also planning a face-to-face conversation during a private lunch. There will be an opportunity to discuss everything in detail. Welcome again, Mr Prime Minister. Prime Minister of the Republic of Iraq Muhammed Shia Al-Sudani (retranslated): Thank you very much, Mr President. Greetings to the members of the delegations. Thank you very much for the invitation to visit Russia. Russia is a friendly country we have deep and historic ties with. I would like to once again express Iraq’s gratitude to Russia for its support in the fight against terrorism, the war against terrorism, for providing us with weapons so that we could resist armed terrorist gangs. Without a doubt, this episode in the relationship is very valuable; 2014 was of great importance for relations between our countries. With our visit, we want to strengthen interaction and develop relations that have excellent prospects in the political, security, cultural and economic spheres. We have many different opportunities before us. We have a good foundation; there are Russian companies that operate, for example, in the oil and gas sector. Our countries play an important role on the oil market, and therefore it is important for us to continue bilateral coordination and cooperation within the OPEC+ format. This coordination should be based on consideration of supply and demand mechanisms, and the interests of investors, producers and consumers. We will, of course, touch on and discuss these issues during today’s meeting. And tomorrow we will also have a good opportunity to discuss these issues, as well as energy issues, which, of course, are the focus of many, including the Iraqi government. Our visit is taking place at a time when we can see the implementation of a large development project that will ensure trade between Asia and Europe and contribute to the integration of transport corridors, I mean the North – South Transport Corridor first of all. This will support all countries in the region and the entire world and have a positive effect on them. Now, developments in Palestine have taken a complicated and dangerous turn. This is the natural result of the fact that Israel has continued to violate the rights of Palestinians, while the international community has remained silent and failed to live up to its obligations under internationally recognised resolutions. We are now witnessing another Intifada: an uprising of Palestinians demanding to put an end to such violations of their rights. An obvious escalation, and a very dangerous one, with civilians killed as a result and spontaneous bombings carried out, including against civilian targets: all this may result in the destruction of the Gaza Strip. Now we all, as Arab and Islamic countries, and also together with Russia, a permanent member of the [UN] Security Council, a great power, have a responsibility here. This is a moral responsibility, including on major powers, to stop these violations of the rights of Palestinians and to end the blockade of the Gaza Strip. Of course, today Iraq is trying to maintain stability in all regions through its policies, including with regard to the Ukrainian crisis. We have suffered greatly from blockades and war; of course, that is why our position is firm: we support the search for peaceful solutions through dialogue to end conflicts that have very negative consequences at the humanitarian level and at the economic level. Obviously, the purpose of this visit is discussing these issues and our common positions as well as strengthening our bilateral relations. We also want to contribute to relieving the suffering in the region and ensuring stability in the Middle East and the entire world. Thank you. Vladimir Putin: Thank you. <…>

Defense & Security
Emblems of Russian and Hezbollah's army depicted on the chess pieces

Russia-Hamas Relations and the Israel-Hamas War

by Arkady Mil-Man , Bat Chen Druyan Feldman

Researchers in the INSS Russia program argue: Now is the time for Israel to change it approach toward Moscow Since October 7, Russia has sided with Hamas, refuses to condemn the murderous terror attack that the organization perpetrated in the western Negev, and has questioned Israel’s right to defend itself. Russia’s behavior should underscore to Israel the need to change its policy toward the Kremlin and to stand firmly with Western nations, under the leadership of the United States. Moscow’s firm support for Hamas in the aftermath of the October 7, 2023 massacre represents a turning point in relations between Israel and Russia. While many world leaders have condemned the murderous attack on October 7, Russia has adopted an anti-Israel line and refrained from condemning Hamas. Only a week later after the attack, in a speech to leaders of former Soviet states in Kyrgyzstan, Russian President Vladimir Putin said that the Hamas massacre was unprecedented, but in the same breath he accused Israel of a cruel response. He went on to compare the Israeli blockade of the Gaza Strip to the Nazi siege of Leningrad, which led to a high number of civilian causalities, estimated in the hundreds of thousands. Although Putin said that Israel has the right to self-defense, he added that the attack on innocent civilians in the Gaza Strip was unacceptable. It was only on October 16 that Putin, in a phone conversation with Prime Minister Benjamin Netanyahu, expressed condolences to the families of the murdered Israelis, but without condemning Hamas. Russia’s strategy of maintaining good relations with both sides in any given conflict is reflected in its policy of nurturing ties with Hamas. For Hamas too, ties with Russia are highly important, since it positions it as an organization that is welcome in one of the most important countries in the world. In principle, Moscow has clung to its position that Hamas – defined as a terrorist organization by the United States, the United Kingdom, Germany, and other members of the European Union – is a legitimate political organization. The relationship between Russia and Hamas has not always been as close as it is today. Throughout the 1990s and until Hamas’s victory in the 2006 elections for the Palestinian Legislative Council, Russia condemned the organization’s terrorist activities and referred to its members as Islamic militants, fanatics, and extremists. The relationship changed dramatically after the election, when Putin declared that the organization was elected through a democratic and legitimate process. Russian Foreign Ministry officials began meeting regularly with Hamas representatives in 2006. In 2011, there was a temporary decline in relations after Hamas backed the opposition forces in the Syrian civil war. Hamas figures who were in Syria when the war broke out played an active role fighting alongside the opposition, while Russia supported President Bashar Assad. Nonetheless, ties were not severed, and over the years began to warm. Delegations of Hamas leaders visited Moscow, where they met with the Russian Foreign Minister and other senior officials, and meetings took place between Hamas officials and Russian diplomats in other countries. Russia did not adopt a consistent position during previous rounds of fighting between Israel and Hamas and was influenced by its particular interests at the time. In 2014, during Operation Protective Edge, there was a change in Russian policy as it sought to maintain an image of objectivity and deliberately scaled back its criticism of Israel – in contrast to previous conflicts, such as Operation Cast Lead in 2008-2009. This was probably in response to Israel refraining from criticizing Russia over its invasion of Crimea. Russia’s current interests are not to Israel’s benefit. Moscow’s main goal at this time is to divert the attention of the West, under the leadership of the United States, away from Ukraine. An increase in US involvement in events in the Middle East serves this goal. At the same time, Russia blames the United States for the outbreak of the current conflict. Second, Russia aspires to restore its standing as an influential actor on the international stage, and thus is attempting to promote a ceasefire in Gaza. In addition, Russia’s relations with Iran have become a strategic alliance as a result of the war in Ukraine, and in order to safeguard it, Moscow has adopted a policy that is sympathetic to Iran’s allies, including Hamas. Moreover, it is very convenient for Moscow that the US is the focus of attention in the Middle East. Russia’s support for Hamas can be seen in the measures it has taken in the international arena. On October 16, Russia submitted a resolution to the United Nations Security Council on a ceasefire, but it failed to include any condemnation of Hamas and its attack on Israel. Rather, it condemned violence and terrorist acts against civilians, which could be interpreted as a condemnation of Hamas’s actions or of Israel’s operations in the Gaza Strip. Moreover, the Russian resolution suggested that Israel was responsible for the explosion at the al-Ahli hospital in Gaza, despite clear evidence that the rocket that hit the hospital was fired from within Gaza. On October 25, Russia used its veto power in the Security Council to block a US resolution calling for the condemnation of Hamas and supporting Israel’s right to defend itself. Later, Russian anti-Israel rhetoric became even harsher, returning to the terminology used by the Soviets, when on November 2, the Russian ambassador to the UN rejected Israel’s right to self-defense since it is an “occupying power.” Comments from senior Hamas officials also shed much light on how close the organization is to Russia. For example, in an October 8 interview with Russia Today, a state-run media outlet, senior Hamas official Ali Baraka said that Hamas had updated Moscow about the attack shortly after it began. During the war itself, when a delegation of senior Hamas officials visited Moscow, Mousa Abu Marzook said that “we look at Russia as our closest friend.” After the visit, Hamas thanked Putin and the Russian Foreign Ministry for their efforts to halt “the Israeli violence against the Palestinian people.” Hamas leader Khaled Mashal also said in an interview with an Egyptian television station that the Russians were impressed with the Hamas attack and that they would teach it in their military academies. Russia’s support for Hamas is not limited to the international diplomatic sphere. There is evidence that Russian weapons have been found in Hamas’s possession, including anti-tank missiles and surface-to-air missiles that apparently were transported via Iran – while Russia turned a blind eye. In addition, in the same interview with Russia Today, Baraka claimed that Russia had given Hamas a license to manufacture its own modified version of the AK-47 (Kalashnikov) assault rifle and ammunition. Hamas’s armed wing uses Russian servers. On the economic front too, it is evident that Hamas relies heavily on the Russian crypto market, sending tens of millions of dollars into digital wallets controlled by Hamas (and Islamic Jihad), while bypassing US sanctions. According to Ukrainian reports, the Wagner Group helped to train Hamas terrorists. State-run Russian media has also adopted a clearly pro-Palestinian line. Russian propaganda seeks to justify the actions of the Russian military in Ukraine by highlighting the IDF’s killing of civilians and exaggerating the number of Palestinian causalities. After the blast at the al-Ahli hospital, the Russian media claimed that thousands of people had been killed – a figure higher even than the death toll reported by Gazans. Israeli soldiers are depicted as “immoral” because of the massive causalities they inflict on a civilian population, unlike the Russian soldiers who, according to state-run media, “would never be able to attack civilians, women, and children.” Russian social media channels, such as Telegram, are also awash with anti-Israel rhetoric and blatantly antisemitic comments. In the aftermath of the attempted pogrom against Israeli and Jewish passengers in Dagestan on October 29, Putin convened a meeting with the government and heads of the security establishment and drew a direct line between the war in Ukraine and the war between Israel and Hamas, accusing the United States and the West of undermining stability in Russia, the Middle East, and the entire world. He declared that “the fate of Russia and, indeed, of the whole world, including the future of the Palestinian people, is being decided” on the Ukrainian front. By connecting the two conflicts, Putin is clearly putting Russia on the side of Hamas and Israel on the opposing side, alongside the United States and the West. In effect, Putin has validated US President Joe Biden’s statement that Russia and Hamas are waging a war against democracy. Putin’s comments and Russia’s behavior in the aftermath of October 7 highlight the misconception that Russia would not oppose Israel at critical moments. The change that Israel must make in its policy vis-à-vis Russia is to stand unequivocally beside the United States – which includes supporting Ukraine. The quicker Israel adapts its policy to meet the challenge, the better its strategic balance in the Middle East and beyond will be.

Diplomacy
Vladimir Putin and Crown Prince Mohammed bin Salman in the Saudi King’s al-Yamamah Palace.

Russian-Saudi talks

by Vladimir Putin

A meeting between Vladimir Putin and Crown Prince and Prime Minister of the Kingdom of Saudi Arabia Mohammed bin Salman Al Saud took place in the Saudi King’s al-Yamamah Palace. At the Conclusion of the Visit of Vladimir Putin to the Kingdom of Saudi Arabia a Joint Statement has been adopted. Beginning of Russian-Saudi talks Crown Prince, Prime Minister of the Kingdom of Saudi Arabia Mohammed bin Salman Al Saud (retranslated):We can find many topics and subjects of common interest, on which we are working together to promote stability and development around the world, including in the Middle East. Over the past seven years, we have achieved a lot in our bilateral relations, for example, in the energy sector, investment and agriculture. In addition, our political cooperation and interactions have had a positive influence on several Middle Eastern issues and helped enhance security. Moreover, our future political ties and cooperation will, no doubt, have a positive bearing on the international environment. We have broad and far-reaching opportunities ahead of us, and by seizing them we can work together for the benefit of our nations and the entire world. I would like to reiterate, Mr President, that you are a cherished guest here in Saudi Arabia. We welcome you on behalf of its government and its people. Welcome! President of Russia Vladimir Putin: Thank you. Your Highness, first, I would like to thank you for the invitation. We expected to see you in Moscow. I know that the circumstances have affected these plans. But, as I said, nothing can prevent the development of our friendly relations. Indeed, being in this region on a scheduled visit to the United Arab Emirates, I used your invitation to come and see you and all our friends that we have been vigorously developing our interaction with over the past seven years. That said, the next meeting will hopefully take place in Moscow. Mohammed bin Salman Al Saud (retranslated): Of course, we are ready. Vladimir Putin: Agreed. Indeed, the Soviet Union was among the first to recognise the independent state of Saudi Arabia. This was almost a hundred years ago. Our relations have developed in different ways during this time. Mohammed bin Salman Al Saud: I would like to note that it was the development of independence rather than the independence of a state that was recognised at that time. Vladimir Putin: In any event, we respected the will of the subjects of Saudi Arabia to build their future independently. Much has happened in our relations during this time, but over the past seven years, they have certainly reached a truly unprecedented level. This was achieved owing to the wise policy of your father, the Custodian of the Two Holy Mosques King of Saudi Arabia with your direct participation. We have stable, very good ties in political interaction, the economy and in humanitarian area. And, of course, it is now very important for all of us to exchange information and views on what is taking place in the region. No doubt, our meeting is timely. Thank you very much for your invitation, once again. Mohammed bin Salman Al Saud: Welcome! <…>

Diplomacy
Vladimir Putin with President of the United Arab Emirates Sheikh Mohammed bin Zayed Al Nahyan

Russia-UAE talks

by Vladimir Putin

Vladimir Putin held talks with President of the United Arab Emirates Sheikh Mohammed bin Zayed Al Nahyan in Abu Dhabi. The agenda included the current state of multifaceted Russia-UAE cooperation and prospects for the further expansion of ties, as well as topical international issues with a focus on the situation in the Middle East. Before the consultations began, an official welcoming ceremony for the Russian President was hosted by the President of the UAE at the Qasr Al Watan Palace. Foreign Minister Sergei Lavrov, First Deputy Prime Minister Andrei Belousov, Deputy Prime Minister – Minister of Industry and Trade, Russian co-chair of the Russian-Emirati Intergovernmental Commission on Trade, Economic and Technical Cooperation Denis Manturov, Deputy Prime Minister Alexander Novak, Deputy Chief of Staff of the Presidential Executive Office – Presidential Press Secretary Dmitry Peskov, presidential aides Igor Levitin, Maxim Oreshkin and Yury Ushakov, Russia’s Ambassador to the UAE Timur Zabirov, as well as Head of the Chechen Republic Ramzan Kadyrov, Central Bank Governor, heads of the Roscosmos State Corporation, Russian Direct Investment Fund, Rosatom State Corporation, Rosoboronexport, VEB.RF State Development Corporation, and other officials took part in the talks on Russia’s side. * * * Beginning of Russia-UAE talks President of the United Arab Emirates Sheikh Mohammed bin Zayed Al Nahyan (retranslated): Welcome, my dear friend Vladimir Putin, to the United Arab Emirates. I am glad to see you again. Let me begin by emphasising the historical nature of relations between the Russian Federation and the UAE. Over the past years, we have witnessed a substantial push to develop these relations in various spheres for the mutual benefit of our nations and people. I would like to express my great appreciation for your personal and effective contribution to strengthening our bilateral relations. In this context, I would like to say that the UAE is Russia’s biggest trade partner in the Middle East and in the Gulf Region. Let me note that the UAE is a major investor in the Russian economy. Investment in the non-oil sector increased by 103 percent over the past year. I would like to specifically mention that this is an unprecedented breakthrough which demonstrates the special nature of relations between our countries. I will be glad to continue working together on strengthening bilateral cooperation in various spheres. Of course, promoting development in energy, infrastructure, and high technologies, as well as elsewhere has special priority. In addition to this, I would like to mention that the United Arab Emirates and the Russian Federation have been working together and cooperating within various international frameworks. For example, we work together within BRICS and the Shanghai Cooperation Organisation, where the Emirates were granted dialogue partner status in May 2023. We are also developing and promoting the strategic dialogue between the Russian Federation and the Gulf Cooperation Council. This helps us reinforce our relations and expand them in various spheres, promoting a proactive exchange of views on key international and regional matters, as well as on key items on our bilateral agenda. Once again, Mr President, welcome to the United Arab Emirates. I wish progress and prosperity to the Russian Federation and its people. President of Russia Vladimir Putin: Your Highness, friends, First of all, I would like to thank you for inviting us and for this colourful and friendly welcome. The other day, the United Arab Emirates celebrated the 52nd anniversary of its founding. I want to congratulate you on this and I want to recall that the Soviet Union was among the first to recognise this independent, self-reliant, and sovereign state. Today, our relations – thanks to the position you have taken – have reached unprecedented heights. You and I are in constant contact, and our colleagues work together on a permanent basis. In fact, the United Arab Emirates is Russia’s main trade partner in the Arab world. Last year, trade grew by 67.7 percent. This year, I think, the figures will be even higher. The same goes for investment activity. There is also progress in industrial cooperation, by which I mean cooperation to build certain industrial facilities in the United Arab Emirates and in the Russian Federation. A number of major oil and gas projects are being implemented. We also cooperate through OPEC Plus. We certainly attach due importance to humanitarian ties. Tourist exchanges are making headway: last year, almost one million tourists from Russia – a little over 900,000 – visited the UAE. A Russian school has been opened, and we are grateful to you for ordering land set aside to build a Russian Orthodox church. We also cooperate internationally. As a non-permanent member of the UN Security Council, the United Arab Emirates makes a huge contribution to stabilising the situation in the world. We will certainly discuss with you the situation in the main hot spots, primarily, of course, the Arab-Palestinian-Israeli conflict. I will certainly inform you of the developments in the context of the Ukraine crisis. I am quite pleased that the United Arab Emirates is beginning to work within the BRICS system. In 2024, Russia will chair this organisation. We will continue contacts on this. We look forward to meeting you at the [BRICS] summit in Kazan in October 2024. The UAE is currently hosting one of the world’s most important environmental forums. The first results of the effort to implement the Paris Agreement are being summed up. As expected, you are holding this event at the highest level, and very many people in the world, even those who do not identify themselves with environmental movements, are certainly grateful to you for this work. A Russian delegation is also involved in this work at the highest level. We wish you success. I have no doubt that it will be so. Shukran! <…>

Defense & Security
Russian and Iranian flags on matching puzzle pieces

Increased Iran-Russia Military Cooperation After the Ukraine Invasion: Impact of US/Western Sanctions

by Ian Dudgeon

Iran and Russia have entered a closer political, economic, and military relationship during the past two years, the trigger widely seen as the upsurge in defence cooperation following Russia’s full invasion of Ukraine in February 2022. This new relationship, described variously as a strategic alignment or strategic partnership, was seen by both Tehran and Moscow as necessary to meet mutual and separate critical national needs due to the restrictive effects on both of US and Western sanctions. Iran’s international affairs, since its 1979 Islamic revolution, have been largely shaped by two factors. The first is Iran’s strong adherence to national autonomy, maximum self-sufficiency, and non-alignment. The latter has included, as far as practical, a balance between East and West, or today, Global South and Global West. However, Iranians are cautious about trusting others. While, therefore, a strategic alignment with Russia, or potentially others, could be acceptable, a formal alliance that compromise’s autonomy, would not. The second factor is Iran’s relationship with the US, and in turn with Europe, other Western countries and the UN, and their use of sanctions to deter or change international adversarial differences. Iran-US relations since Iran’s 1979 Islamic revolution have been tense and conflicted, and especially with Iranian-supported regional state and non-state militia. Major US concerns include Iran’s support for “state and non-state terrorism,” human rights abuses, missile development, and their potential, some say intent, to develop a nuclear weapons capability. Decades of broadly-based US sanctions, along with EU and UN sanctions, the latter mostly nuclear related, have strongly impacted the nation. The one short period of Iran-US rapprochement commenced in 2016 when President Barack Obama successfully brought Iran onboard as a signatory to the Joint Comprehensive Plan of Action (the JCPOA) or nuclear agreement. Obama’s aim was to firstly resolve the nuclear issue and use this as the stepping-stone to negotiations on other regional security issues. But this two-step process was undone by President Donald Trump‘s 2018 decision to unilaterally withdraw from the JCPOA and reimpose US primary and secondary sanctions. Trump’s action, and President Joe Biden’s subsequent “failure” to rejoin the JCPOA and repeal related US sanctions, bitterly disappointed a large cast of international stakeholders, including Iran’s moderates and other JCPOA signatories. For Iran, the US could not be trusted to seriously seek rapprochement and repeal US sanctions either before, or foreseeably after, this year’s US presidential elections. This distrust extended also to the Europeans and others who would continue to remain subject to US secondary sanctions. Iran saw its future fundamentally with countries that were willing to openly trade with them, notwithstanding US sanctions, and other countries or organisations that were prepared to overlook or actively circumvent or evade sanctions. Multilateral outreach included Iran joining two major non-aligned groups in 2023, the SCO (Shanghai Cooperation Organisation) and BRICS+6 (Brazil, Russia, India, China, South Africa + 6). These comprise some 40 percent and 46 percent respectively of the world’s population, and some 20 percent and 30 percent of global GDP. BRICS also includes some 40 percent of global oil production. Key members of both include Russia, China, and India. Saudi Arabia, the UAE, and Egypt are part of the “+6 members” of BRICS, and are also Dialogue Partners of the SCO. Both organisations offer significant additional political and economic networking opportunities and economic options. Bilaterally, the relationship between Tehran and Moscow, from its imperialist Shah/Tsar and post-revolutionary Iran and USSR/Russia iterations to the late 1980s, has had its share of tensions and conflict, including territorial disputes. The past 30-year period from the early 1990s to 2021, however, has been relatively stable. Geographic proximity, including a maritime border across the Caspian Sea, facilitated a significant increase in trade, reportedly from some US$1 billion in 2005 to US$3.3 billion in 2021. Mutual security interests also saw an increase in regional military cooperation, including joint operations against ISIS in Syria, and increased Russian sales of military equipment to Iran. The relationship changed significantly in early 2022 due to Russia’s increased military equipment needs, and to help offset the broad impact of sanctions imposed by the US, the EU, and others on Russia in response to its invasion of Ukraine. Militarily, increased Iranian defence sales to Russia have included a range of munitions, UAV (unmanned aerial vehicles) systems, and potentially Iranian short range ballistic missiles (SRBMs). The UAV deal includes the construction of a factory for manufacturing thousands of Iranian drones in Russia’s Tartarstan province. In return Russia has sold, or agreed to sell, to Iran a range of advanced weapons systems, including the S-400 air-defence missile, helicopters, and SU 34 fighters. Enhanced cyber and satellite cooperation was also agreed. Russia has also passed to Iran many of the high technology Western weapons systems captured in Ukraine, enabling Iran to evaluate, copy, and develop counter-measures. Significantly, this new level of Iranian-Russian cooperation has lifted the military capability of both, with implications for the Middle East and Ukraine respectively. But how effective have the sanctions been? Iran has been subject to harsh sanctions since 1979, and developed a “resistance economy” involving official and extensive unofficial trade and financing arrangements. Because many related statistics are unreliable or unavailable, official GDP estimates may be highly inaccurate. Importantly, however, and despite fluctuations, the World Bank shows a consistent decline in Iran’s GDP since 1979. For Russia, due to shifting markets and higher prices for oil since early 2022, their GDP contracted some 2 percent only that year compared to a prediction of more than 11 percent, and has mostly recovered since. Economically, despite the challenges of sanctions, bilateral cooperation is strong, both economies still function, and their governments remain stable. Militarily, sanctions have facilitated closer cooperation between Iran and Russia, contrary to US, NATO, and allied interests. Are there areas for the US to negotiate the lifting of sanctions with Iran and Russia? US priorities for Iran could include rejoining the JCPOA, facilitating a reduction or cessation of state and non-state militia attacks against regional Israeli, US, and related maritime targets, and restricting specified military cooperation with Russia. US priorities for Russia could include various ceasefire compromises involving the war in the Ukraine, and restricting specified military cooperation with Iran. And the likelihood of progress? For the reasons above, progress on any issue between the US and Iran is very unlikely before this year’s US presidential elections. If or when afterwards would depend in large part on who was elected. For Russia, a ceasefire compromise in Ukraine could be possible if it gave them “temporary” retention of vast tracts of land captured post-2022. Timing will be dictated by battlefield outcomes, but the US Senate approval on 13 February of an additional US$60 billion of military assistance to the Ukraine, and its likely approval by Congress, makes a ceasefire in the foreseeable future unlikely.

Diplomacy
Russian Foreign Minister Sergey Lavrov speaks during the Security Council meeting on the maintenance of international peace and security at the United Nations headquarters in New York on April 24, 2023

Statement by Foreign Minister Sergey Lavrov at a UN Security Council Open Debate on the Situation in the Middle East, including the Palestinian question, New York, July 17, 2024v

by Sergey Lavrov

한국어로 읽기Leer en españolIn Deutsch lesen Gap اقرأ بالعربيةLire en françaisЧитать на русском I would like to extend a warm greeting to the ministers and other senior representatives who are present in the Security Council Chamber. Their participation in today’s meeting confirms the persisting relevance of the topic under discussion. In accordance with Rule 37 of the Provisional Rules of Procedure, I would like to invite the representative of Australia, Bahrain, Bangladesh, Belgium, the Plurinational State of Bolivia, Brazil, Chile, Colombia, Cuba, Egypt, India, Indonesia, the Islamic Republic of Iran, Iraq, Ireland, Israel, Jordan, Kazakhstan, Kuwait, Lebanon, Libya, Liechtenstein, Malaysia, Maldives, Mauritania, Mexico, Morocco, Namibia, New Zealand, Nicaragua, Norway, Oman, Pakistan, Peru, Philippines, Portugal, Qatar, Saudi Arabia, South Africa, Spain, Sri Lanka, Syrian Arab Republic, Thailand, Timor-Leste, Tunisia, Türkiye, UAE, Uganda, the Bolivarian Republic of Venezuela, and Vietnam, to participate in this meeting. It is so decided. In accordance with the Provisional Rules of Procedure and established practice, I propose that the Council invite the Permanent Observer of the State of Palestine, which has observer state status at the United Nations, to participate in the meeting. There are no objections, it is so decided. In accordance with Rule 39 of the Provisional Rules of Procedure, I would like to invite E.Rattray, Chef de Cabinet of the Secretary-General, to take part in this meeting. I would also like to invite the following persons to take part in this meeting: – His Excellency Mr Maged Abdelaziz, Permanent Representative of the League of Arab States to the United Nations, – His Excellency Mr Sven Koopmans, Special Representative of the European Union for the Middle East Peace Process, – His Excellency Mr Sheikh Niang, Chairman of the Committee on the Exercise of the Inalienable Rights of the Palestinian People. It is so decided. The Security Council begins considering Point 2 on the agenda. The floor goes to Mr Courtenay Rattray. *** Ladies and gentlemen, Your excellencies, The Middle East is facing unprecedented risks for the security, well-being and peaceful life of its peoples. The waves of violence surge far beyond the area of the Arab-Israeli conflict destabilising the situation in the Persian Gulf, Red and Mediterranean Seas, and in North Africa. We need a frank and honest conversation about how to stop the bloodshed and sufferings of the civilians without delay and move towards a long-term solution to both long-standing and relatively new conflicts. Our country has been historically maintaining good relations with all the countries in the region. The USSR was the first state to recognise Israel de facto and de jure, having established diplomatic relations shortly after it declared independence in May 1948. Meanwhile, Moscow invariably advocated the creation of an independent and viable Palestinian state and the realisation of the Palestinians’ legitimate and fundamental right to self-determination. In 1949, we supported Israel's application for UN membership, subject (I emphasise this) to the implementation of General Assembly Resolutions 181 and 194 on the Palestine Partition Plan and the right of return of Palestinian refugees. This was clearly stated when we voted in favour of Israel's admission to the United Nations. Likewise, today we support Palestine's admission to our Organisation. Its sovereignty as a state has already been recognised by nearly 150 countries that are UN members. We stand for the position based on the rules of international law within the framework of various international formats for the settlement of the Palestinian-Israeli conflict and, more broadly, the Middle East conflict. We proceed from the imperative of implementing the UN decisions, including the first General Assembly resolutions mentioned above and key Security Council Resolutions 242 and 338, adopted after the end of the Six Day War and the Doomsday War, as well as Resolutions 478 and 497 on the status of Jerusalem and the Golan Heights. We attach special importance to the dialogue with Arab countries and their neighbours Iran and Türkiye. From the very beginning we appreciated the constructive potential of the Saudi Arabian peace initiative announced in 2002. At the same time, we respected the decision of a number of Arab countries to bring their relations with Israel back to normal even before settling the Palestinian question. We advocated the inclusion of pan-Arab and Islamic organisations – the LAS and the OIC – in the collective efforts under the Quartet of international mediators, which, unfortunately, was "buried" under the ruins of the US "Deal of the Century." The history of the colonial and mandated territories of the Middle East and North Africa has been and remains a heavy burden for the regional countries. The Sykes-Picot Agreement, the Balfour Declaration and the White Paper have planted the time bombs that have been exploding since then. The situation has been further complicated by new Western geopolitical experiments. We firmly believe that the regional countries should themselves choose their paths towards stronger sovereignty and independence, as well as socioeconomic development for the benefit of their nations without foreign interference. This would open up the global historical, civilisational, religious and cultural significance of the Middle East and North Africa in the interests of peace and stability. The Palestinian problem is the most pressing issue today. It is the fourth time in the past 10 months that the UN Security Council is holding a ministerial meeting. It has adopted four resolutions, but the continuing bloodshed in the occupied Palestinian territories shows that all these decisions remained on paper. Russia has consistently denounced all manifestations of terrorism. We implicitly condemned the terrorist attack on Israel on October 7, 2023. However, we regard the current developments in Gaza as unacceptable collective punishment of the civilian population. A military mopping up operation has been underway for nearly 300 days in the Gaza Strip, the most densely populated area in the world that has been known for years as an open-air prison. The statistics of death and destruction of the large-scale military operation, which Israel is waging jointly with its American allies, is shocking. Over the past 10 months or 300 days, nearly 40,000 Palestinian civilians have been killed and 90,000 wounded. The majority of them are children and women. This is twice as many as the number of civilian victims on both sides of the conflict in southeastern Ukraine over the past 10 years. The number of civilian victims [in Gaza] over the past 10 months is twice as large as the number of civilian victims in Ukraine over the past 10 years since the state coup in February 2014. According to the Independent International Commission of Inquiry that examines violations of international human rights law, Palestinians aged below 18 make up approximately half of Gaza’s population. It means that they were born and grew up in conditions of a total blockade. Apart from the current escalation of violence, they have seen other Israeli military operations, namely Summer Rains and Autumn Clouds in 2006, Hot Winter and Cast Lead in 2008-2009, Pillar of Defence in 2012, Protective Edge in 2014, and Guardian of the Walls in 2021. Gaza is in ruins today. Residential buildings, schools and hospitals have been turned into rubble, and the critical civilian infrastructure facilities have been knocked out of service. There is an epidemic of infectious diseases and mass hunger there. It is a real humanitarian disaster. There is no safe and reliable access to the victims and those in need amid the ongoing hostilities. The number of casualties among the humanitarian staff of the United Nations and NGOs is approaching 300. This is the largest one-time loss for the UN in modern history. Many of these people have been killed together with their families. We express our condolences to their families and loved ones, as well as to their colleagues. On May 7, Israel began the operation in the city of Rafah, the last shelter for the 1.5 million Palestinians who have fled there from all over Gaza. The Rafah crossing was closed, again turning the Gaza Strip into “the only conflict in the world in which people are not even allowed to flee.” UN Secretary-General Antonio Guterres said this in 2009, when he was the UN High Commissioner for Refugees. The situation has not improved since then. It is only deteriorating. The use of crossings in the Israeli territory has been hindered by major restrictions. The volume of cargo allowed to use them has plummeted compared to the pre-confrontation period, even though the requirements have seriously decreased. The situation in the West Bank and East Jerusalem is also dramatic, with military raids by the Israeli military and the settlers’ aggression, which leads to casualties on both sides. Contrary to UN Security Council Resolution 2334, Israel has not slowed but is accelerating the construction of illegal settlements. In addition to seizing Palestinian land and destroying their houses, Israel is retroactively legalising settlements there, even though their establishment has been declared illegal by Israel’s legislation. Such unilateral actions to create irrevocable “facts on the ground,” as Chef de Cabinet of the Secretary-General Courtenay Rattray said, amount to a gross violation of Israel’s responsibilities as an occupying power. I would like to point out that, ironically, these responsibilities are rooted in the Geneva Conventions adopted 75 years ago to protect Jews, who had been subjected to inhuman suffering during the Second World War, and to prevent future persecution of people on grounds of ethnicity. Colleagues, The current unprecedented outbreak of violence in the Middle East has largely been caused by the well-known US policy in the region. This is the result of US diplomacy about the “effectiveness” of which US representatives have been telling us for the past ten months demanding that work at the UN Security Council be curtailed. My colleague, US Secretary of State Antony Blinken, also made this call. They are using their veto right time and again to block calls for an immediate and all-encompassing ceasefire. When UN Security Council Resolution 2728 on a ceasefire during the Ramadan holiday was adopted, the United States promptly stated that this was not a legally binding document. In exchange, we received the so-called “Biden plan” that the Americans wanted to approve even before the Israeli response. Everyone knew that the response was negative because Israel did not need any plan with a hint of peace. Today, we became convinced of this once again. I would like to ask the US representative whether they had the impression (while listening to the Israeli representative’s remarks) that they had entered a wrong room and were attending a wrong discussion, rather than the one that was announced. I hope you understand what I am talking about. For precisely this reason, we abstained while voting for UN Security Council Resolution 2735 because we knew that Israel had a priori silently rejected it. While providing diplomatic support for Israeli actions and supplying weapons and ammunition, Washington (everyone realises this) has become a direct party to the conflict, just like with the situation in Ukraine. The bloodshed would stop if this support ends. However, the United States either does not want or is unable to do this. It appears that various manoeuvres making it possible to score additional points during the election campaign, rather than efforts to save human lives, are the most important thing. I would like to outline Russia’s principled approaches once again. We condemn the October 7, 2023, terrorist attack that, nevertheless, cannot justify current Israeli actions and undermine the very idea of establishing a Palestinian state. We advocate a permanent and all-encompassing ceasefire. This will make it possible to release 120 Israeli hostages and about 9,500 Palestinians who were arbitrarily arrested since October 7, 2023. We call for providing safe and adequate humanitarian access to all affected and needy people. We reaffirm the key mandate of the United Nations Relief and Works Agency for Palestine Refugees in the Near East (UNRWA) as a unique organisation for aiding the Palestinians on occupied territories and in neighbouring Arab countries. We insist on the immediate cessation of unlawful settlement activities. The accomplishing of these urgent objectives would create favourable conditions for resuming peace talks on a generally recognised international legal foundation in the interests of establishing an independent and sovereign Palestinian state coexisting in peace and security with Israel. Only in that case, the historical injustice with regard to the Palestinian nation and its fundamental right to self-determination would be corrected. The reinstatement of intra-Palestinian unity also has major significance. We have always tried to facilitate this process by allowing representatives of various Palestinian movements to conduct this essential dialogue at the Moscow platform. We are convinced that the Palestinians can independently determine their future without foreign interference, no matter how much someone may want to do this for them and against their will. This also concerns the future of Gaza as an inalienable part of the Palestinian state. All of us know about behind-the-scenes contacts and plans that are being hatched. They predetermine the future organisation of Gaza and the entire Palestinian state. However, they virtually make no mention of the state. I believe that everyone should respect a principle implying that nothing should be said about Palestine without Palestine itself. Our proposal regarding a meeting of all external players who have influence on various groups in Gaza and the West Bank, and who can help overcome the split in the Palestinian ranks provided they speak with one voice, remains on the table. An important step in this direction was taken last February, when representatives of all Palestinian political parties met in Moscow and reaffirmed their support for restoring unity on the basis of the PLO platform. Today, we all have a responsibility to stop the unfolding human tragedy. In addition to the military operation in the occupied Palestinian territories, Israel’s other neighbours are in danger of being drawn into an all-out confrontation with Israel. Tensions on the Blue Line dividing Lebanon from Israel are mounting day by day. Top Israeli officials publicly announce plans to open the northern front. Hezbollah never misses a chance to reply in kind either, promising it is ready to repel the invasion. The Israeli Air Force has significantly intensified attacks on Syria, now also targeting the areas of Damascus, Aleppo, Lattakia and the Golan Heights, and striking at key airports and seaports, which played an important role in the urgent delivery of humanitarian aid, including in response to last year’s deadly earthquake. Colleagues, A ceasefire and cessation of violence in Gaza and the West Bank can do more than enable the negotiation of a lasting settlement of the Palestinian-Israeli conflict. It can help in alleviating other hotbeds in the wider Middle East in accordance with the UN Security Council resolutions, not with some rules the West is trying to replace the UN Charter with, and not feeding someone’s geopolitical ambitions. An important role in upholding the legitimate rights of the Palestinian people belongs to pan-Arab and pan-Islamic organisations, whose activities we support, as well as to all truly responsible members of the international community. In particular, I would like to note the high potential of the Gulf States. Now, after the early elections in Iran and the first statements by president-elect Masoud Pezeshkian, it is hoped that all the countries that share the coasts of the Gulf will come closer together to overcome their long-standing disagreements and mistrust, and will unite efforts on a generally acceptable foundation to be able to determine the parameters of mutual security without external interference and speak with one voice to fulfil the aspirations of the Palestinian people and build an architecture of stability and neighbourly relations in the region. Progress on the Palestinian track in full compliance with the UN resolutions, in the normalisation of relations between the Gulf countries, could be an important contribution to the ongoing process of forming a common Eurasian architecture based on the principles of indivisible security, equal collective responsibility, mutual respect and a balance of interests.

Diplomacy
London, England, UK - May 13, 2023: Protestors participate in the National Demonstration for Palestine: NAKBA 75. Credit: Loredana Sangiuliano

How Israeli Occupation of Palestine is Aided by Double Standards

by Syed Munir Khasru

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском There must be a reconciliation between the human rights agenda and current humanitarian realities. In Gaza, the daily struggle is frightening, and there appears no end or peace plan in sight.  As the Gaza conflict enters its second year, the situation in the Middle East is taking an alarming turn. Having already escalated tensions by carrying out a series of high-profile assassinations, including Hassan Nasrallah, head of Hezbollah, and its top leadership, as well as Hamas political leader Ismail Haniyeh, who was killed in Tehran on 31 July during his visit for President Masaoud Pezeshkian’s inauguration, Israel has now launched a ground incursion into Lebanon, further intensifying its conflict with Iran. As of 30 September, 42,337 Palestinians have lost the lives. This is compared to just 1,540 Israelis. Put differently, that number is 27 Palestinian killed for each Israeli since 7 October 2023. Although Israelis claim that a portion of Palestinians killed are Hamas fighters. On 18 September 2024, the UN General Assembly overwhelmingly adopted a resolution (124 nations in favour, 14 against, and 43 abstentions) demanding Israel end its illegal occupation of Palestinian territories within 12 months. This resolution builds upon the International Court of Justice’s (ICJ) advisory opinion outlining the illegality of Israel’s ongoing settlements in the Westbank, and called on all nations to refrain from acknowledging legitimacy of this protracted occupation. The UNGA’s call underscores the international community’s growing impatience with the ongoing conflict. Yet, as diplomatic pressures mount, the human cost of this prolonged strife remains devastatingly high. Glaring double standards and changing dynamics of global diplomacy  In the one year since the 7 October massacre, the conflict has taken a devastating toll on Palestinian civilians including nearly 16,765 children fatalities. Every hour, 15 people are killed, six of whom are children, while 35 are injured. This staggering figure contrasts sharply with the Ukraine War, which has seen far fewer civilian casualties with 1,551 children killed in more than two years. In addition to civilians, 210 aid workers have been killed, surpassing the annual toll of aid worker fatalities in any other past conflict in last 20 years, including the Ukraine-Russia conflict where 50 aid workers have died. More than 125 journalists have been killed in Gaza, compared to only 11 journalists who have died reporting the Ukraine war. This stark disparity underscores the disproportionality of rights violations in the Gaza conflict. While the US and its allies have been strongly critical of Russia, their criticism of Israel has been minimal in spite of the much larger scale of civilian casualties. While thousands of Palestinians continue to die in Gaza, and now with a ground war raging in Lebanon, the West has imposed limited sanctions against only a few Israeli settlers. For instance, European Commission President Ursula von der Leyen, while strongly condemning Russia for waging a “ruthless war,” remained mostly muted on Israel’s atrocities, leading EU staffers to criticize her “uncontrolled” support for Israel.  These double standards have led to protests from San Francisco to Sydney, speaking out against atrocities committed in the name of “self-defence.” The Gaza war has been changing the dynamics of international diplomacy as a growing number of countries have taken steps to recognize Palestine as a sovereign state. As of June 2024, 146 of 193 UN member states have made this step, including several European nations like Norway, Poland, Iceland, and Romania. Spanish and Irish governments are leading voices in Europe, pushing for a joint recognition of Palestine, signalling a strengthening of support for a Palestinian state in the diplomatic landscape surrounding the conflict What lies ahead The path towards a just resolution remains elusive, and the questions raised demand a re-examination of the moral and ethical foundations that underpin global order. The fate of thousands of Palestinians hangs in the balance and the conflict shows no signs of abating. The escalation of tensions with Hezbollah and Iran complicates the situation, threatening to engulf the entire region in a wider conflict. The international community must act now, and decisively, to prevent further loss of lives and work towards a lasting peace in the region. Correcting the gross injustice to innocent civilians in Palestine and addressing the Israel-Gaza conflict starts with recognising humanity in equal measures as well as rights of both Israelis and Palestinians to live in peace and security side by side. It involves implementation of international law, upholding human rights, and a concerted effort to address root causes of the conflict, such as the displacement of Palestinians from their abode more than seven decades ago. While killing of any innocent civilians, including Israelis by Hamas, is not acceptable, what is also equally true is that when generations of Palestinians are born and grow up without a state and a sense of national identity, there is always a risk that frustration growing over decades can get out of control. The 18 September UNGA resolution demands that Israel return land in the West Bank and other “immovable property,” as well as all assets seized since the occupation began in 1967, and all cultural property and assets taken from Palestinians. It calls for Israel to allow all Palestinians displaced during the occupation to return to their place of origin and make reparation for the damage caused by its occupation. It urges UN member states to refrain from recognising Israel’s presence in East Jerusalem and the West Bank as lawful, preventing engagement in activities that support the occupation, ceasing imports of products from Israeli settlements, and implementing sanctions against entities involved in maintaining Israel’s unlawful presence. Unless some of the major players in the West, which includes countries like US, UK, Germany, and France, apply principles of rights and justice consistently, any effort will continue to remain infructuous. Advocating human rights and equality while turning a blind eye to atrocities does not work in the age of social media and digital platforms where the truth is more readily accessible and more difficult to suppress. The Gaza conflict is a wake-up call for the world, which has been for far too long oblivious to humanitarian crises. The fact that the state of Israel emerged from ruins of the untold sufferings caused to by the Nazis is a testament that justice prevailed. Today the Jewish peoples have a modern, prosperous, and democratic state in Israel. Hence, it is rather an irony that one of the educated and cultured populations of Middle East, the Palestinians, today are on the receiving end of human rights violation by a nation whose people went through one of the worst atrocities committed in the last century.

Diplomacy
Donald Trump win in US president elections 2024. Washington DC, United Sates Of America - 2024 November 6

What Trump’s victory means for Ukraine, the Middle East, China and the rest of the world

by Stefan Wolff

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Donald Trump’s return to the White House in January 2025, combined with a Republican-led US Senate, was widely feared among international allies and will be cheered by some of America’s foes. While the former put on a brave face, the latter are finding it hard to hide their glee.  On the war in Ukraine, Trump is likely to try to force Kyiv and Moscow into at least a ceasefire along the current front lines. This could possibly involve a permanent settlement that would acknowledge Russia’s territorial gains, including the annexation of Crimea in 2014 and the territories occupied since the full-scale invasion of Ukraine in February 2022.  It is also likely that Trump would accept demands by the Russian president, Vladimir Putin, to prevent a future Ukrainian Nato membership. Given Trump’s well-known animosity to Nato, this would also be an important pressure on Kyiv’s European allies. Trump could, once again, threaten to abandon the alliance in order to get Europeans to sign up to a deal with Putin over Ukraine.  When it comes to the Middle East, Trump has been a staunch supporter of Israel and Saudi Arabia in the past. He is likely to double down on this, including by taking an even tougher line on Iran. This aligns well with Israeli prime minister Benjamin Netanyahu’s current priorities.  Netanyahu seems determined to destroy Iran’s proxies Hamas, Hezbollah and the Houthis in Yemen and severely degrade Iranian capabilities. By dismissing his defence minister, Yoav Gallant, a critic of his conduct of the offensive in Gaza, Netanyahu has laid the ground for a continuation of the conflict there.  It also prepares for a widening of the offensive in Lebanon and a potentially devastating strike against Iran in response to any further Iranian attack on Israel.  Trump’s election will embolden Netanyahu to act. And this in turn would also strengthen Trump’s position towards Putin, who has come to depend on Iranian support for his war in Ukraine. Trump could offer to restrain Netanyahu in the future as a bargaining chip with Putin in his gamble to secure a deal on Ukraine.  Pivot to China  While Ukraine and the Middle East are two areas in which change looms, relations with China will most likely be characterised more by continuity than by change. With Chinese relations being perhaps the key strategic foreign policy challenge for the US, the Biden administration continued many of the policies Trump adopted in his first term – and Trump is likely to double down on them in a second term.  A Trump White House is likely to increase import tariffs, and he has talked a great deal about using them to target China. But Trump is also just as likely to be open to pragmatic, transactional deals with Chinese president Xi Jinping. Just like in relations with his European allies in Nato, a serious question mark hangs over Trump’s commitment to the defence of Taiwan and other treaty allies in Asia, including the Philippines, South Korea, and potentially Japan. Trump is at best lukewarm on US security guarantees.  But as his on-and-off relationship with North Korea in his first term demonstrated, Trump is, at times, willing to push the envelope dangerously close to war. This happened in 2017 in response to a North Korean test of intercontinental ballistic missiles.  The unpredictability of the regime in Pyongyang makes another close brush of this kind as likely as Trump’s unpredictability makes it conceivable that he would accept a nuclear-armed North Korea as part of a broader deal with Russia, which has developed increasingly close relations with Kim Jong-un’s regime.  Doing so would give Trump additional leverage over China, which has been worried over growing ties between Russia and North Korea.  Preparing for a Trump White House  Friends and foes alike are going to use the remaining months before Trump returns to the White House to try to improve their positions and get things done that would be more difficult to do once he is in office.  An expectation of a Trump push for an end to the wars in Ukraine and the Middle East is likely to lead to an intensification of the fighting there to create what the different parties think might be a more acceptable status quo for them. This does not bode well for the humanitarian crises already brewing in both regions.  Increasing tensions in and around the Korean peninsula are also conceivable. Pyongyang is likely to want to boost its credentials with yet more missile – and potentially nuclear – tests.  A ratcheting-up of the fighting in Europe and the Middle East and of tensions in Asia is also likely to strain relations between the US and its allies in all three regions. In Europe, the fear is that Trump may make deals with Russia over the head of its EU and Nato allies and threaten them with abandonment.  This would undermine the longevity of any Ukrainian (or broader European) deal with Moscow. The relatively dismal state of European defence capabilities and the diminishing credibility of the US nuclear umbrella would not but help to encourage Putin to push his imperial ambitions further once he has secured a deal with Trump.  In the Middle East, Netanyahu would be completely unrestrained. And yet while some Arab regimes might cheer Israel striking Iran and Iranian proxies, they will worry about backlash over the plight of Palestinians. Without resolving this perennial issue, stability in the region, let alone peace, will be all but impossible.  In Asia, the challenges are different. Here the problem is less US withdrawal and more an unpredictable and potentially unmanageable escalation. Under Trump, it is much more likely that the US and China will find it hard to escape the so-called Thucydides trap – the inevitability of war between a dominant but declining power and its rising challenger.  This then raises the question of whether US alliances in the region are safe in the long term or whether some of its partners, like Indonesia or India, will consider realigning themselves with China.  At best, all of this spells greater uncertainty and instability – not only after Trump’s inauguration but also in the months until then.  At worst, it will prove the undoing of Trump’s self-proclaimed infallibility. But by the time he and his team come to realise that geopolitics is a more complicated affair than real estate, they may have ushered in the very chaos that they have accused Biden and Harris of. 

Diplomacy
16th BRICS Summit family photograph (2024)

BRICS Summit 2024 — everything, everywhere, all at once?

by Priyal Singh

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском Ushering in a multipolar order requires a streamlined and coherent political agenda – not unfocused expansion.  The 16th BRICS Summit in Kazan, Russia, concluded last week with the usual grand declaration of the group’s commitments, concerns and aspirations.  Many media headlines, particularly in Western countries, focused on how the summit and BRICS generally, symbolised Moscow’s ability to circumvent the fallout of sanctions by turning to the global south. In this way, BRICS is indirectly viewed as a threat to Western efforts to isolate Russia, weaken its power projection capabilities, and end its invasion of Ukraine.  Western governments and analysts often struggle to frame BRICS’s evolution beyond a binary, zero-sum narrative in which the group is a key geopolitical challenge to the Western-dominated international order. This interpretation places the forces of democracy and liberal political values in one camp and authoritarian governments in another, with certain developing countries caught in the middle, trying to play one side off the other for their own benefit.  There is some merit to these kinds of headlines. Russia and China are primarily major status-quo powers. Both have been permanent United Nations Security Council (UNSC) members since its establishment. Moscow was the ‘other pole’ in the international order for most of the 20th century, a position Beijing is working towards. And the foreign policy goals of both place them in confrontation with the United States and its Western allies.  BRICS may be on a path towards unnecessary substantive bloat, and away from its core business.  So, are these two countries in a position to champion the global south’s cause, and why haven’t more representative bodies like the Non-Aligned Movement played a more prominent role?  The preoccupation with Russia and China detracts from BRICS’s broader, underlying geopolitical project – the need for global south countries to reform and shape the international order’s future direction on their own terms.  These include greater representation and agency in global policy- and decision-making bodies and facilitating greater freedom to trade, invest and borrow money outside the Western-dominated financial system. They also include a more just and equitable global power balance that reflects modern realities.  In pursuing these aims, BRICS countries have made steady progress on developing a shared strategic agenda for increased cooperation across various policy domains.  The Kazan summit’s 32-page outcomes declaration covers almost everything from reforming the UNSC and Bretton Woods institutions to climate change, biodiversity and conservation. It also covers challenges from global crises, conflicts and terrorism and a suite of economic development, health, education, science and cultural exchange-related issues.  A group of democracies, autocracies and theocracies speaking with one voice on human rights and democracy is absurd.  The group’s ballooning cooperation agenda may indicate progress. But it could also signify the limits of its diverse members’ ability to agree on ‘hard’ political and security matters central to the core business of reforming the international order.  The expansion of BRICS’ substantive agenda and its membership dilutes its primary purpose and reinforces the binary, zero-sum Western narrative its members constantly try to shed.  Tangible, albeit gradual, progress on establishing intra-BRICS institutions and processes such as the Interbank Cooperation Mechanism, the cross-border payment system and its independent reinsurance capacity suggest that BRICS’ clout and credibility are growing.  These initiatives could enable members to pursue their international economic objectives without the constraints and transactional costs associated with traditional financial bodies like the World Bank and International Monetary Fund. Ideally, this would improve their relative positions of global power and influence, and help deliver a more multipolar international order.  In contrast, deepening cooperation on big cat conservation, while important, doesn’t serve that purpose. Nor does facilitating youth exchanges on sports and healthy lifestyles or championing a BRICS alliance for folk dance. Including these kinds of initiatives in BRICS’ growing agenda detracts from its core objectives.  A streamlined agenda would divert attention from the contradictions and geopolitical manoeuvring of BRICS’ members.  More worryingly, this suggests that BRICS’ diverse constellation of member states is pursuing the path of least resistance – expanding their cooperation in every direction, hoping something eventually sticks.  Instead of doubling down on hard strategic questions about a shared conception of multipolarity, and the steps necessary to reform global governance and security institutions, BRICS seems to be heading for greater expansion and formalisation. And with that come the risks, challenges and institutional dependencies that have led to the stagnation and ineffectiveness plaguing more established international organisations in recent years.  Perhaps the group’s core members recognise that they have very different ideas of what constitutes multipolarity. Russia (and China to an extent) envisage much more than global institutional reforms, focusing instead on reimagining international norms and core principles.  These differences are also reflected in BRICS’ expanding membership. It seems Russian and Chinese enthusiasm has been curbed by other founding members, who prefer a ‘partner country’ model for future growth. This contrasts with the full membership offers to Argentina, Egypt, Ethiopia, Iran, Saudi Arabia and UAE in 2023. (Argentina’s new political administration declined, and the Saudis have remained non-committal.)    Most worrying, however, is BRICS’ preoccupation with promoting democracy, human rights and fundamental freedoms. There is no doubt that these terms are increasingly politicised and rife with double standards – among developing nations with mixed political systems and traditionally liberal, Western democracies. However, for BRICS to meaningfully champion normative values, its members must at least attempt to commit to common political governance systems in their own countries.  Having a group of partner nations composed of progressive constitutional democracies and closed repressive autocracies and theocracies attempting to speak with one voice on promoting human rights, democracy and fundamental freedoms is absurd. It reeks of empty political rhetoric at best, and Orwellian double-speak at worst.  This again dilutes BRICS’ key messages, undermines its important core business, and detracts from the significant progress being made towards a common strategic agenda.  BRICS primary goal moving forward should be to trim the fat.  A streamlined annual working agenda would divert attention away from its individual member states' contradictions and geopolitical manoeuvring. With a focus on addressing the international system’s failures, institutional reform and greater representation for global south countries in policy- and decision-making bodies could be prioritised.  This seems unlikely though, if this year’s summit is anything to go by. By following the path of least resistance, BRICS may be setting itself on a course towards increasing and unnecessary substantive bloat, and away from its core business.  Only time will tell if certain members are willing to be more assertive and correct course before they are too far down a path impossible to pivot away from. 

Energy & Economics
Middle East Conflict. Conceptual photo

How might a wider Middle East conflict affect the global economy?

by Ahmet Kaya

한국어로 읽기 Leer en español In Deutsch lesen Gap اقرأ بالعربية Lire en français Читать на русском The world economy is underperforming as a result of tight monetary policies, weaker global trade, a slowing Chinese economy and uncertainty around the US election. An escalation of conflict in the Middle East could increase uncertainties, harming inflation reduction efforts and hurting growth. It has been over a year since the Hamas-led attack on Israel. Israel’s response in Gaza has resulted in widespread destruction and significant loss of life. The conflict has since expanded beyond Gaza, involving the Houthis in Yemen, Hezbollah in Lebanon and Iranian strikes targeting Israel. In addition to the awful humanitarian cost of the conflicts, the war and the possibility of its further expansion pose significant repercussions for the global economy. This article discusses three potential ways in which the current conflict and a wider conflict in the Middle East could affect the global economy. Increased geopolitical uncertainties First and foremost, an escalation of the Middle East conflict could lead to greater geopolitical uncertainties. Figure 1 shows the evolution of the geopolitical risk (GPR) and geopolitical acts (GPRA) indices (Caldara and Iacoviello, 2022) – these are text-based measures of heightened uncertainties due to adverse geopolitical events such as wars, terrorism and international tensions. (See this article for more discussion about these measures.) Following the Hamas-led attack on 7 October 2023, both the overall GPR index and its ‘war and terror acts’ component spiked strongly, to a level higher than that seen during the ISIS attack in Paris in November 2015. Both indices eased significantly in the months following October 2023 despite the continuation of the conflict. But they jumped again following Israel’s attack on southern Lebanon in September 2024. As of mid-October 2024, the GPR and GPRA remain, respectively, 21% and 35% higher than their historical averages.   What might be the consequences of such elevated levels of risk? Research tells us that higher geopolitical risk raises oil prices (Mignon and Saadaoui, 2024). It also reduces global investment and increases inflation (Caldara et al, 2022). Greater geopolitical risk has a significantly negative impact on business and consumer confidence in several advanced economies (de Wet, 2023). This is because consumers typically cut non-essential spending and businesses postpone investment decisions during turbulent times. This reduces firm-level investment, particularly for businesses with higher initial investment costs and greater market power (Wang et al, 2023). Higher geopolitical risks also reduce global trade and financial flows, causing greater volatility in capital flows in emerging markets (Kaya and Erden, 2023). Oil production cuts and higher energy prices The second way in which the Middle East conflict could affect the global economy is its impact on energy prices, both directly through production cuts and indirectly through greater uncertainties. In response to Israel’s actions against its neighbours, the Organization of the Petroleum Exporting Countries (OPEC) could reduce oil production to penalise countries supporting Israel. A similar action in the 1970s led to a significant jump in oil prices, which contributed to years of stagflation, with higher global inflation and recessions in major economies. Before Israel's attack on Lebanon at the end of September, oil prices had been declining due to falling demand, particularly from China. On the supply side, oil production had increased in Canada and the United States, countering the production cuts by OPEC, and Saudi Arabia was expected to increase oil production from December. But the situation quickly reversed following Israel’s attack on Lebanon. Oil prices jumped by nearly $10 per barrel within a week, before easing by around $5 per barrel. While the immediate oil price impact of Israel’s attack has mostly faded, the potential for higher oil (and other energy) prices still poses a risk to global inflation and economic activity (Liadze et al, 2022). To provide further context for the potential scale of this impact, we can show what would happen if oil and gas prices were to remain $10 higher for two years than the baseline levels projected in the Summer Global Economic Outlook from the National Institute of Economic and Social Research (NIESR), using NIESR’s Global Macroeconometric Model (NiGEM). The results demonstrate that the $10 rise in oil and gas prices increases inflation by around 0.7 percentage points in major economies in the first year (see Figure 2). The impact is higher in China, where the economy relies relatively more on oil imports for its strong manufacturing industries. The inflationary pressures persist for two years despite central banks’ efforts to curb inflation by increasing interest rates.   The effect of higher oil and gas prices on real GDP is shown in Figure 3. In the scenario described above, GDP would fall by 0.1-0.2% in major economies immediately. Partly due to higher interest rates, real GDP would continue to weaken for three years following the shock. After this, economic activity would start to return to base levels as oil and gas prices revert to their levels in the baseline forecast.   Increased shipping costs and supply chain disruptions A wider conflict in the Middle East could also affect the economy through higher shipping costs and supply chain disruptions. Houthi attacks on commercial ships in the Red Sea in late 2023 showed that such disruptions can have a huge impact on global trade through shipping, which comprises 80% of world trade volume. Following the rocket attacks by the Houthi rebels, some commercial shipping re-routed from the Red Sea to the Cape of Good Hope, leading to significant delays in travel times and increased freight costs. As a result, the Shanghai Containerized Freight Index – a measure of sea freight rates – rose by around 260% in the second quarter of 2024 with additional disruptions to supply chains. Our analysis shows that an increase of 10 percentage points in shipping cost inflation can lead to import prices rising by up to around 1% and consumer inflation increasing by around 0.5% in OECD countries. As Figure 4 shows, the impact of shipping costs on inflation shows its full effects over six quarters. This means that inflationary concerns could be with us for the next year and a half as a result of higher shipping costs that may emerge from any possible escalation of the Middle East conflict.   Wider economic implications and policy responses While rising geopolitical risk and increased oil and shipping costs can each individually exert upward pressure on inflation and may slow down economic activity in the global economy, the combined impacts are likely to be greater. Countries with stronger trade and financial ties to the Middle East and those that rely heavily on oil imports as an input for domestic production would be most affected. On the monetary policy front, central banks may have to take a more hawkish stance in response to rising inflationary pressures from the Middle East conflict. This could lead to higher interest rates, which would further dampen economic activity, particularly in an environment where there are already recessionary concerns in some major economies. Beyond its immediate economic implications, an escalation of the Middle East conflict could trigger large-scale displacement of people, which would increase economic and social pressures on neighbouring countries. Many countries may also have to increase their military spending in response to growing regional tensions. Given that public debt levels are already elevated in many countries due to successive shocks to the global economy over the past decade, any additional defence spending could come at the expense of public infrastructure investments that would otherwise boost productivity growth. Overall, the global economy is already underperforming as a result of the lagged effects of tight monetary policies, weaker global trade, a slowing Chinese economy and uncertainties surrounding the upcoming US election and possible changes to US trade policy. A potential escalation of conflict in the Middle East could exacerbate the situation by increasing uncertainties, harming efforts to bring down inflation and reducing global GDP growth. Over the medium and long term, it could further damage the global economy, with the possibility of refugee crises as well as increased defence spending, making the effects more complex and longer lasting. This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.