World affairs

It is a momentous day for the European Central Bank as it launches full-scale government bond buying. Mr Draghi started speaking at 13.30 GMT and the press conference usually lasts for an hour.

By Ralph Atkins and Lindsay Whipp

 

Turkish President Recep Tayyip Erdogan (R) and Palestinian President Mahmoud Abbas shake hands in front of 16 soldiers in historic garb at the presidential palace in Ankara (Getty)

The average foreign dignitary visiting Ankara might not expect to encounter an honour guard of 16 men resembling extras from a sword and sandals epic and lining the staircase of a gargantuan presidential palace.

So when Mahmoud Abbas, the Palestinian president, was confonted this week by the spectacle of the 16 soldiers in historic Turkic garb, even some Turkish officials confessed they initially thought the resulting images were the work of photoshop.

It was one of the more surreal sights to emerge from Turkey in recent times and has led to much hilarity on social media. But there was a point and purpose to the unusual costumes and their appearance may contain clues to Turkey’s direction of travel under President Recep Tayyip Erdogan, Mr Abbas’s host and the country’s paramount leader. Read more

France has been through a traumatic period following a spate of terror attacks that killed 17 people, which led to a wave of demonstrations by millions of defiant citizens in response. In the latest edition of the FT World Weekly podcast, Gideon Rachman is joined by Hugh Carnegy, a former Paris bureau chief, and Michael Stothard, one of the FT correspondents who covered the aftermath of the attacks, to assess the wider impact of the events and discuss whether France can ward off the forces of polarisation.

It is five years since a massive earthquake tore through Haiti, leaving tens if not hundreds of thousands dead and sparking a huge aid effort from overseas governments and charities to feed, shelter and treat afflicted Haitians.

A total of $13bn, more than 10 per cent of the global annual government aid budget, was pledged over several years — about $10bn from governments, and the rest from private donors.

Looking back, what was the effect of all this assistance? Did it provide short-term relief? Did it put the Caribbean nation on the path to higher living standards, better governance and greater resilience to natural disasters? Or could the aid effort have been much more effective?

The verdict at this juncture is: don’t knowRead more

A top adviser at the European Court of Justice has said that the European Central Bank’s crisis-fighting Outright Monetary Transactions programme falls within policy makers’ mandate.

Q: That’s pretty much a green light for quantitative easing next week isn’t it?

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Most euro area governments and investors are breathing a sigh of relief after Wednesday’s preliminary judgment from the EU’s highest court in favour of the European Central Bank’s sovereign bond-buying programme – the 2012 initiative that helped to bring the euro crisis under control.

But governments and investors, in and outside Europe, should keep in mind that the danger of a bitter, protracted struggle over EU constitutional law will now go up. This would pit Germany against other power centres in the EU. Read more

Within twenty years of the end of the second world war, the same European countries that had been sworn enemies during six years of bloody conflict committed themselves to a future of peace, prosperity and political and economic integration.

Some war crimes suspects slipped the net and avoided the Nuremberg trials, but their elusiveness did not interrupt or discredit the reconciliation process led by West Germany and France.

But two decades on from the wars that ripped apart the former Yugoslavia, it is impossible to make the case that reconciliation and integration are as advanced there as they were in western Europe by the mid-1960s.

The region’s societies, ethnicities and political leaderships remain bitterly at odds over how to assess the war crimes committed in Croatia and Bosnia-Herzegovina between 1991 and 1995.

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After watching their fortunes nosedive over the past year on the back of Russia’s annexation of Crimea and adventures in eastern Ukraine, Russia’s oligarchs caught a break on Friday night: a free meal on Vladimir Putin. Read more

In our Reporting Back series, we ask FT foreign correspondents to tell us about a recent trip. Katrina Manson, the FT’s east Africa correspondent, tells us about her visit to Juba, the capital of South Sudan.

Why now?

A year after civil war ignited in South Sudan, peace talks are continuing, with little prospect of a lasting deal. I went to Juba to mark the December anniversary of the start of the war and to find how the capital of the world’s newest country is coping, and also to see the work of the International Rescue Committee, the FT’s partner for this year’s seasonal appeal.

What impression did you take away about the situation on the ground?

Billboards across Juba honour those who gave their lives for South Sudan’s freedom – the country seceded from the Khartoum regime to the north in 2011 after decades of fighting. “Your freedom is the price of our blood,” says one. Others evoke unity: “We are many tribes, but one nation; We need each other to build a strong and united country.”

But they look like sorry prophecies. The civil war sparked by a political and military fallout last December quickly set ethnic groups against one another in five of the country’s 10 states. Residents of the ethnically mixed capital now live in an atmosphere of mistrust. Read more

  • The Senate intelligence committee on Tuesday released its long-awaited report into the CIA’s use of torture in the aftermath of the 9/11 attacks. Here are five key findings
  • Retail businesses in Russia that built empires selling imported goods and foreign holidays to affluent Russians are now struggling to adjust amid a 40% drop in the rouble and a looming recession
  • The safety of Indian women is in the spotlight once again after a driver of the ride-hailing app Uber raped a 25-year-old in New Delhi, leading to calls for the service to be banned
  • The striking thing about Japan’s election is that nobody is able to articulate a different course to Abenomics, despite Mr Abe’s falling popularity and public opposition to his economic plan
  • Drunken and boorish behavior, cellphones, crying children and reclining seats have all led to episodes of flight rage. But a bag of macadamia nuts? (New York Times)

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  • Following the military coup and counter-revolution, Egypt’s main problem is the restoration of the security state, which is using the judiciary as one of its arms to stifle dissent and ringfence the army’s privileges
  • Russian president Vladimir Putin cancelled construction of a strategically important gas pipeline following opposition from the EU and sanctions, but Moscow will instead develop a gas hub to southern Europe via Turkey
  • Lines of frustrated shoppers have replaced socialist rallies and posters of Hugo Chavez as the most ubiquitous images of Venezuela, with the situation set to worsen after Opec resisted Caracas’s calls to boost the oil price
  • The booming trade in jade in Myanmar – like blood diamonds in Africa – is turning good fortune into misery, as the spoils remain in the hands of the military and Chinese financiers who collude to smuggle the gemstone (NYT)
  • Jihad isn’t all it’s cracked up to be, say disgruntled Isis recruits from France, who complain of iPods not working, being forced to do the dishes – and threats of execution if they attempt to flee (The Independent)

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Which of the eurozone’s 18 member states will be the weakest performing economy in 2015?

Italy, which has recorded no economic growth since 1999? Cyprus, which is still reeling from its financial sector collapse in 2012-13? Or some other hard-pressed southern European nation? No. In all probability, the sick man of the eurozone will be Finland.

The Finnish economy is in its third consecutive year of contraction. Any growth in 2015 will be not much bigger than a snowflake. The country will hold a general election in April. The question is whether the dark outlook will benefit The Finns, a populist-nationalist party which was known as the True Finns when it shocked Europe by coming third in the 2011 election with 19 per cent of the vote. Read more

By Gideon Rachman
What should western politicians be most worried about: growth, inequality, the environment, education? To judge from today’s discourse, the answer seems to be none of the above. Instead, in the past month, both Barack Obama, US president, and David Cameron, UK prime minister, have made big speeches on immigration. At the weekend Swiss voters rejected a proposal virtually to end the flow of incomers to their country. But anti-immigration parties have made strong gains in a variety of other European nations, including Sweden and Italy, in the past year.

All smiles: foreign ministers of the six world powers at the nuclear talks in Vienna. Getty

The failure to meet this week’s deadline for a definitive nuclear deal between Iran and the so-called P5+1 (the US, UK, France, Russia and China, the permanent members of the UN Security Council, plus Germany) is ominous. True, the negotiations, already extended once after the interim agreement a year ago, have been given a new deadline of June next year. But musings of the glass half full, glass half empty variety under-represent just how difficult it will be now to close a deal, and how much is at stake if this chance to bring the Islamic Republic in from the cold slips away. Read more

Another week, another sign of political upheaval in Spain.

Monday brought a fresh poll showing that Podemos, the upstart anti-establishment party, is now the most popular political movement in the country. The survey, published in the El Mundo daily, gave Podemos 28.3 per cent of the vote, two points ahead of the ruling Popular party and more than eight points ahead of the opposition Socialists. Not bad for a party founded just 10 months ago by a group of political scientists

It was not the first time that the new party has come first in an opinion poll. But the latest survey made clear that the Podemos surge is no statistical aberration. Fuelled by wide-spread disdain for Spain’s political class and a festering social crisis, the new party appears to be on course to shatter Spain’s established two-party system – and render any prediction as to who might govern the country after next year’s general election obsolete. Read more

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A handout picture released by Swedish army shows the mystery mini sub

They came, they saw (eventually), and they pledged to conquer if it ever happens again. Read more

  • After a bitter election campaign in which she eschewed market economics and painted her main opponent’s party as bloodsucking bankers, Brazil’s president Dilma Rousseff is now adopting the more orthodox economic policies of her defeated rival
  • The “disappearance” and presumed murder of 43 students in Mexico, along with claims of impropriety surrounding president Enrique Peña Nieto, has raised doubts over his ability to deliver much-needed reform
  • Asia cannot replace the west as a source of financing for Russia’s sanctions-hit economy, according to a close ally of President Vladimir Putin, who downplayed Moscow’s attempt to pivot east as Russian companies seek to refinance $40bn in debts maturing this year
  • Turkey must continue the peace process with the Kurdistan Workers Party to prevent sectarian and ethnic bloodshed from spilling over from neighbouring Syria
  • A landmark climate change deal will cut China’s emissions for more than a decade and it is going to be tough for the US to meet its requirements. But it is a good start (Foreign Policy)

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