Whatever euro's fate, Europe's reputation savaged - Reuters India
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LONDON (Reuters) - Whether the euro lives or dies, the chaotic way Europe has tackled the crisis could undermine the region's geopolitical clout for years to come and leave it at a distinct disadvantage in a rapidly changing world.
With an apparently never-ending series of last-minute summits and telephone calls, Europe's leaders and finance ministers have held the bloc together in the face of growing strains between states, a rising political backlash and market alarm.
But with hindsight, outsiders say each measure proved too little, too late. US officials in particular complain European leaders have either failed to grasp the scale of the problem or proved unwilling to countenance the awkward political decisions necessary to fix it.
As a result, they say, what should have been one of the most stable parts of the world has now become one of the most unpredictable.
At one extreme, the euro area might be about to embark on a journey towards further fiscal and political union as an almost totally unitary "super state". At the other, it could unravel and collapse into an unstable mess of regional rivalry.
"From almost every conversation I've had in the last year - with Chinese, with Indians, with just about anybody - the message is always the same," says Fiona Hill, a former senior officer for the US National Intelligence Council and now head of the Europe programme at Washington think tank the Brookings Institute. "Europe can no longer be trusted. It seems to be moving from being a source of stability to a driver of instability"
Long-held certainties were being challenged, she said. Even non-euro member Britain suddenly appeared at risk of breaking up, with Scotland due to hold a referendum on independence that experts say could yet go either way.
The slow burning euro zone debt and banking crisis is accelerating. Last weekend brought a decision by euro zone political leaders to bail out Spain's banks. This weekend Greece holds a parliamentary election which many observers fear could spell the end of its euro membership.
Some argue it is too soon to write Europe - or the EU institutions - off altogether. Under foreign policy chief Catherine Ashton, some credit Europe with making real progress in talks with Iran and other powers over the future of its disputed nuclear programme. But their energy for anything beyond their immediate problems is seen decidedly limited.
"The Europeans are completely consumed with a battle to save the euro zone," says Ian Bremmer, president of political risk consultancy Eurasia Group. "It's a deep and ongoing crisis bigger than any they've experienced in decades... it's an environment where European leaders could hardly be expected to prioritise anything else."
That could leave the continent being increasingly sidelined as emerging powers - not just the BRIC powers of Brazil, Russia, India and China but other states such as Turkey, Indonesia and South Africa - grow in importance.
At the very least, it could undermine the ability of the continent's leaders to persuade the rest of the world to take them seriously on a range of issues, from trade to the importance of democracy and human rights.
"Europe probably isn't going to stop preaching to the rest of the world," says Nikolas Gvosdev, professor of national security studies at the US Naval War College. "But it's much less likely that others are going to be inclined to listen."
EUROPE AT CROSSROADS
At the Copenhagen climate summit in 2009, European states suffered the indignity of being outside the room when the final deal was struck between the United States and emerging powers. In the aftermath of the euro zone crisis, it's a position European leaders may simply have to get used to.
But for the rest of the world, it's not just the continent itself that is rapidly losing its shine. The whole European political model - generous welfare systems, democratic decision-making, closer regional integration and the idea of a currency union as a stabilising factor - no longer seems nearly as appealing to other, still growing regions.
"Europe is at a crossroads, with the very future of the EU at stake," says Brahma Chellaney, professor of strategic studies at New Delhi think tank the Centre for Policy Research. "If the euro dies, it will mark the end of the European experiment in forging closer financial and political integration. But it will also have wider international implications."
Not everyone agrees what those will be, however. Chellaney argues the demise of the euro might help secure the primacy of the dollar - and therefore perhaps of the United States itself - for years to come.
But others believe a European collapse would be a sign of things to come for the US as well. Bharat Karnad, a colleague of Chellaney at the Centre for Policy Research, argues that whatever happens powers such as China are on the rise and that the West will be increasingly challenged regardless of what happens to the euro.
"The health of the euro or the EU, for that matter, will have a marginal impact on gold and power that is tending any way towards Asia, especially China," he said.
Washington takes the potential threat of Europe's unravelling very seriously. In the short-term, the Obama administration is clearly concerned over the electoral fallout should the crisis in Europe cross the Atlantic before November's presidential election.
But in the longer term, whether the euro survives or not US planners are beginning to face up to the fact that the continent will likely be poorer and rather more self-centred than Washington had hoped.
Washington has long been pushing European powers to take more responsibility for their own immediate neighbourhood. While Britain and France took the political lead in Libya last year, US Defence Secretary Robert Gates complained European NATO forces were in fact almost entirely dependent on US munitions, logistics and other backup.
But the change in European thinking and the additional defence spending Washington called for now looks all but impossible in this time of austerity.
WASHINGTON WORRIED
"It's doubtful any future US Defence Secretary is even going to bother to make that kind of pitch," says Gvosdev at the US Naval War College. "We'd hoped Europe could take the lead in some parts of North Africa as well as the Balkans and Eastern Europe. That now looks very unlikely."
US planners were also waking up to the fact that European states were no longer likely to match US donor pledges when it came to humanitarian or financial aid for war zones and troublespots, he said. Then, there were longer term strategic concerns.
Washington's military "pivot " towards Asia, he said, had been based in part on the assumption that Europe would remain stable and wealthy and the US now had little or nothing to worry about on its North Atlantic flank. A weakened Europe could make US planners much less confident of that, particularly if China extends its influence.
Beijing has upped its investments in Europe in recent years, including major port projects in Greece and Italy.
Some political analysts contend the weaknesses and drivers behind the euro zone crisis go much further and can be found in most western economies - including the United States itself.
"The jettison involves essentially the ballast which used to provide stability to the vessel of post-war society," Jin Liqun, chairman of the supervisory board for China's sovereign wealth fund the China Investment Corporation, wrote on May 21 in Communist Party-run newspaper the People's Daily, making it clear he saw similar problems in the US.
Some waning of Europe's international influence was always likely, experts say, with an ageing population chewing up ever more resources and emerging economies inevitably growing faster. But the current crisis could supercharge its decline. Whether the continent's leaders realise that, however, is another matter.
"Europe's main source of influence (should) be the success of its political and economic model in providing high living standards and democratic freedoms," says Jack Goldstone, professor of international affairs at George Mason University near Washington DC "If the current crisis undermines both of those as well, Europe will look like a rather weak, badly run system of ageing and economically stagnant states. Irrelevance awaits." (editing by Janet McBride)
Chinese astronauts blast off on historic mission - CBC
China launched its most ambitious space mission yet on Saturday, carrying its first female astronaut and two male colleagues in an attempt to dock with an orbiting module and work on board for more than a week.
The Shenzhou 9 capsule lifted off as scheduled at 6:37 p.m. local time (1237 GMT) evening from the Jiuquan Satellite Launch Center on the edge of the Gobi Desert. All systems functioned normally and, just over 10 minutes later, it opened its solar panels and entered orbit.
Female astronaut Liu Yang, 33, and two male crew members — veteran astronaut Jing Haipeng and newcomer Liu Wang — are to dock the spacecraft with a prototype space lab launched last year in a key step toward building a permanent space station.
The Shenzhou 9 spacecraft rocket launches from the Jiuquan Satellite Launch Center. (Ng Han Guan/Associated Press)Two of the astronauts will live and work inside the module to test its life-support systems while the third will remain in the capsule to deal with any unexpected emergencies.
China is hoping to join the United States and Russia as the only countries to send independently maintained space stations into orbit. It is already one of just three nations to have launched manned spacecraft on their own.
Another manned mission to the module is planned for later this year, while possible future missions could include sending a man to the moon.
The program is a source of enormous national pride for China, reflecting its rapid economic and technological progress and ambition to rank among the world's leading nations.
At a sending off ceremony for the astronauts, the ruling Communist Party's No. 2 official, Wu Bangguo, told the crew, "The country and people await your victorious return."
The module, called Tiangong 1, is only a prototype, and the plan is to replace it with a larger permanent space station due for completion around 2020.
That station is to weigh about 60 tons, slightly smaller than NASA's Skylab of the 1970s and about one-sixth the size of the 16-nation International Space Station.
China has only limited co-operation in space with other nations and its exclusion from the ISS, largely on objections from the United States, was one of the key spurs for it to pursue an independent space program 20 years ago.
China first launched a man into space in 2003 followed by a two-man mission in 2005 and a three-man trip in 2008 that featured the country's first space walk.
In November 2011, the unmanned Shenzhou 8 successfully docked twice with Tiangong 1 by remote control.
The selection of the first female astronaut is giving the space program an additional publicity boost.
"Arranging for women astronauts to fly is not only a must for the development of human spaceflight, but also the expectation of the public," space program spokeswoman Wu Ping said. "This is a landmark event."
Speaking Friday, Liu Yang said: "We won't let you down. We will work together and successfully complete this mission."
Greece V Russia : UEFA Euro 2012 Match Preview - Football
Published: 16 Jun 2012 - 10:49:57
Russia look to seal last eight spot against Greeks
Russia will look to cement their place in the last eight at on Saturday when a draw will suffice in their game with Greece.
They will hope their fans are on much-improved behaviour as any transgressions could result in their suspended six points deduction from the next Euro qualifiers being imposed by UEFA.
Russia top the group on four points with Greece needing to beat them to have any chance of progressing while Czech Republic, on three, meet co-hosts Poland, who have two points, also on Saturday.
In the wake of their 4-1 demolition of Czech Republic in the opening game last Friday, Russia had been expected to storm into the last eight when they faced co-hosts Poland in Warsaw's National Stadium on Tuesday.
But the Poles forced a 1-1 draw, meaning that while the odds remain stacked in favour of Dutch veteran Dick Advocaat's men, they know they cannot afford to be complacent.
"Of course a draw with Greece will also put us into the knockout stage but we should win and stay in Warsaw. Any other result will be unacceptable," said Zenit Saint Petersburg midfielder Roman Shirokov.
That was echoed by goalkeeper Vyacheslav Malafeev, who like Shirokov is one of seven Zenit players who started both games.
"We also need to forget that a draw will also put us into the knockout stage and score. Once, twice... as much as we can," Malafeev said.
Advocaat, who took over from compatriot Guus Hiddink in May 2010, has won plaudits for building a side with attractive, free-flowing play and blooding impressive young players such as CSKA Moscow's Alan Dzagoev.
The 21-year-old has scored three goals so far at Euro 2012, getting a double against the Czechs and one in the Polish match.
For Advocaat, success at Euro 2012 would be a fine parting gift before he steps down after the tournament to return to club management in his homeland at PSV Eindhoven.
Hanging over his successor is the spectre of a six-point deduction from Russia's Euro 2016 qualifying campaign in the event of further serious crowd trouble involving its fans.
European football's governing body UEFA issued the warning with a 120,000-euro ($150,000, 96,000-pound) fine, after Russian fans lit and threw fireworks during their side's win over the Czechs.
While Russia look set to cruise into the knock-out stages, the picture is very different for Greece, who lie at the foot of Group A.
The surprise Euro 2004 champions will be looking for an inspired performance similar to the one that saw them battle back from being a goal down and a man down to draw 1-1 with Poland in their opening game - though this time they have to win.
The Greeks, hoping to bring some cheer to a homeland locked in an economic and political crisis, come into the Russia match on the back of a 2-1 defeat to the Czechs on Tuesday.
"There is a chance and we have to focus and believe that it is possible," their
Portuguese coach Fernando Santos said.
Czech Republic V Russia - view commentary, squad, and statictics of the game live.
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Tunisia lifts curfew imposed following riots - Reuters
TUNIS (Reuters) - Tunisia lifted a night time curfew on Friday imposed earlier this week following riots by Salafi Islamists and others over an art exhibition they deemed insulting to Islam.
One man died in the unrest which broke out on Tuesday in Tunis and started spreading to other parts of the country.
There had been fears of further trouble on Friday after Salafi leaders, who follow a puritanical interpretation of Islam, and the ruling moderate Islamist Ennahda party both called for protests in defence of religion.
But the demonistrations were called off at the last minute after the interior ministry refused to issue licences to the march organisers.
Security forces deployed in large numbers on Friday around the Fateh Mosque, which is dominated by Salafis, but worshippers went home peacefully after prayers.
"After the improvement in the security situation and considering the interests of citizens, the ministry of interior and national defence has decided to end the curfew," the interior ministry later said in a statement on its Facebook page.
The riots were some of the worst clashes since last year's revolt ousted President Zine al-Abidine Ben Ali and launched uprisings across the Arab world.
The violence raised tough questions about the limits of freedom in post-revolutionary Tunisia and fueled fears among Tunisians of a slide into instability.
It also put Ennahda, which leads the government in coalition with two secular parties, in a difficult position as it struggles to satisfy conflicting demands.
While the Islamists did not play a major role in the revolution, the struggle over the role of Islam in government and society has since emerged as the most divisive issue in Tunisian politics and several clashes have erupted in recent months, some of them involving attacks on alcohol vendors.
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Poland V Czech Republic : UEFA Euro 2012 Match Preview - Football
Published: 16 Jun 2012 - 10:49:11
Co-hosts Poland face must-win game
It is win or bust for co-hosts Poland as they take on the Czech Republic on Saturday knowing that any other result would see them exit the European Championship.
Poland may have played well in their opening two Group A matches but they failed to win either and currently sit third with just two points.
The Czech Republic have three points and failure to win would mean that the Poles could overtake neither the Czechs nor group leaders Russia, who have four points.
A goal and a man to the good and playing vibrant attacking football, Franciszek Smuda's team looked to be fulfilling the pre-tournament promise that a 2-2 friendly draw with Germany in September had started to foment.
It has been a bumpy ride so far for the hosts but Smuda is confident his side can get the result they need and continue in the competition.
"I'd like for the best to be yet to come, and I'd have nothing against it being in the match with the Czech Republic," he said.
Poland have some injury worries, though, with defender Damien Perquis and midfielders Eugen Polanski and Dariusz Dudka all doubts having suffered injuries against Russia on Tuesday.
An abdominal strain has made Dudka the most doubtful of the three while Perquis is recovering from a gashed shin and Polanski is suffering from a bruised knee.
"Our match with the Czechs is crucial, perhaps our most important in recent years," said midfielder Rafal Murawski.
"We have to win it, and we mean to win it. The Czechs are within our range."
While Poland have injury concerns and need to win, the Czechs are in almost exactly the same boat.
They could qualify with a draw but only if Greece don't beat Russia, otherwise they will be out.
It means they too need to win to be sure of progressing but they have concerns over two crucial players, captain Tomas Rosicky and goalkeeper Petr Cech.
Arsenal midfielder Rosicky is the bigger doubt after what he believes is a recurrence of a calf injury he suffered in the final Premier League game of the season forced him to miss the second half of their 2-1 win over Greece.
Chelsea goalkeeper Cech has a sore shoulder and is desperate to play to make up for his gaffe that allowed the Greeks a route back into a match in which the Czechs had established an early two-goal lead.
"The blunder looks comic, but such things happen in football," said Cech after dropping a cross that allowed Fanis Gekas to score.
"I believe this was enough. I won't make a silly mistake like this again."
Since the Czech Republic split from Slovakia to form an independent country, they have lost every time they have played away to Poland.
However, the last meeting between the sides was a Czech victory in Prague in a World Cup qualifier three years ago.
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Greece V Czech Republic - view commentary, squad, and statictics of the game live.
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