Latvia

♦ Thousands of young Muslims are being radicalised through social networks and propelled towards violence in Syria.

Latvia‘s ‘second class’ Russian residents are arguing for better rights, making many locals nervous amid the Crimea crisis.

Ukraine‘s ‘Kamikaze’ economy minister has one of the world’s toughest public administration jobs as he battles to deliver on unrealistic expectations.

♦ The rise of a US oligarchy amid widening inequality is threatening democracy, with both parties up for rent to wealthy lobbyists.

♦ ECB arch hawk Jens Weidmann often finds himself in a minority of one. But the appeal of being the person who is convinced everyone else is wrong seems to have waned. Read more >>

♦ A recent ECB study asked what effect policy makers’ comments had on euro area sovereign bond yields: the FT’s Michael Steen thinks “it is hard to resist the temptation of wondering whether senior central bankers have heeded the warning.”
♦ The assertiveness of the Gulf petrostate monarchies over Egypt is a sign of their restored political confidence, but such a position is not without its problems, says Michael Peel.
♦ Morocco is cited as a model for Arab monarchies facing demands for democratic change, but critics argue that it illustrates how elites can maintain power behind the scenes.
♦ Foreigners earned less than 1 percent a year investing in Chinese stocks, a sixth of what they would have made owning US Treasury bills. Quartz, however, broke down the components of the stocks: “Companies that cater toward the Chinese consumer, which represent just under 11% of the MSCI and 6% of the HSCE index, tend to be a much more profitable, and they’re better performers than SOEs.” The upshot? China’s population has benefited, even if foreign investers haven’t.
♦ Latvia’s new tax laws mean it could be a “Luxembourg for the poor.”
♦ The custom of forcibly marrying girls off to resolve family and tribal disputes is continuing on an alarming scale across all provinces of Pakistan.

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♦Cecile Kyenge, Italy’s first black minister, is confronting the country’s culture of casual racism, but the success of her proposed legislation depends on her fellow parliamentarians – some of whom have not been entirely complimentary about her.
♦ China is pushing to water down the World Bank’s Doing Business report, showing its increased assertiveness at international bodies and its willingness to challenge liberal economic prescriptions.
♦ Growth in Indonesia has reached its slowest pace in two years, hit by the slowdown in China and India, but investors are still feeling confident.
♦ David Gardner argues that Israel’s latest attacks on Syria play right into Assad’s hands supporting conspiracy theories about a western-conceived attempt to destroy Syria.
♦ Somalia’s president, Hassan Sheikh Mohamud, calls for a Marshall plan to help his country recover from decades of poverty, civil war and terrorism.
♦ Roberto Azevêdo of Brazil and Herminio Blanco of Mexico are scrambling to secure last-minute votes in a tight race to become the next head of the troubled World Trade Organisation.
♦ Hollywood film-makers are going to great lengths to satisfy the whims of Chinese censors. However, appearances by Chinese actors in the Chinese version of Iron Man 3 have not been to everyone’s taste – “
One microblogger named Bumblebee Marz compared the new scenes to chicken ribs — a common expression denoting the most tasteless and undesirable cut of meat in Chinese cuisine.
♦ Dexter Filkins looks at the White House debate over Syria. According to Gary Samore, who was President Obama’s chief adviser on weapons of mass destruction until February,
“All the options are horrible”.
♦ Obama’s off-the-cuff remark about large quantities of chemical weapons crossing a “red line” have now put him into a bind, “his credibility at stake with frustratingly few good options.”
♦ Gabriel Kuris at Foreign Policy looks at how Latvia’s anti-corruption bureau managed to pass through reforms and take down oligarchs. Read more >>

Neil Buckley

Hillary Clinton and Latvian foreign minister Edgars Rinkevics on June 28 (Ilmars Znotins/AFP/GettyImages)

Hillary Clinton and Latvian foreign minister Edgars Rinkevics on June 28 (Ilmars Znotins / AFP/ GettyImages)

Visiting Latvia on Thursday, Hillary Clinton praised the Baltic state for taking “very difficult” austerity measures that would ensure a “stable, prosperous future”.

The US secretary of state is not the only high-profile figure praising Latvia’s economic record.

Christine Lagarde, the IMF managing director, dropped in this month and proclaimed its austerity programme an “inspiration” for heavily-indebted eurozone countries.

Latvia and its Baltic neighbours Estonia and Lithuania suffered the world’s steepest economic contractions in 2009 amid swingeing austerity measures. But now they find themselves in the frontline of the debate over austerity versus growth as the best way to tackle the eurozone’s debt problems. Read more >>