The upcoming privatisation of the mobile phone network proves everything that is wrong with the Lebanese government. The network has been one of the state's main sources of revenue, generating between $750 to $900 million a year.
Why sell it off at a time when there is a crippling national debt?
The answer is of course that the business of profit will remain "private" while debt will remain "public".
The government argues that they can make a quick $7 billion. But since there is a deadline to reduce the "national debt" by 2012, surely hanging on to this key sector is a good bit of forward planning?
Not if it gets in the way of neo-liberal dogma, apparently.
So in come mega wealthy cell phone companies—like ZAIN, Kuwait's Mobile Telecommunications Co. (with current revenues of $1,470.54 million)—and out goes whatever is left of health provisions and pensions.
Friday, 2 November 2007
Why sell the golden goose?
Monday, 29 October 2007
More on US bases
Former MP Nasser Kandil appeared on Lebanese television on Sunday to reveal a document, which he said was issued by an agency in the US Department of Defense, that confirms US intentions to set up a base, or several bases in Lebanon.
The US embassy denied it, again.
Still wondering what "a strategic alliance between Lebanon and the US" means? Hmmm
Acting like US soldiers
More evidence of the "Fallujah-style" looting and wanton destruction of Palestinian homes in the camp.
Nahr al Bared—a lament
Like all Palestinian songs, this one ends with a call for a homeland.
**Warning, this video contains some distressing images.
Army abuse of prisoners
A Lebanese soldier shouts at prisoners captured at Nahr al-Bared. The men are obviously traumatised or badly wounded.
Nahr al Bared—army torched homes
Irish peace activist Michael Birmingham has uncovered shocking evidence of the torching, looting and dustruction of Palestinian homes in Nahr al-Bared camp.
He writes:
"Something terrible has been done to the residents of Nahr al Bared, and the Lebanese people are being spared the details. Over the past two weeks, since the camp was partly reopened to a few of its residents, many of us who have been there have been stunned by a powerful reality. Beyond the massive destruction of the homes from three months of bombing, room after room, house after house have been burned. Burned from the inside.
"Amongst the ashes on the ground, are the insides of what appear to have been car tyres. The walls have soot dripping down from what seems clearly to have been something flammable sprayed on them. Rooms, houses, shops, garages— all blackened ruins, yet having had no damage from bombing or battle. They were burned deliberately by people entering and torching them."
Friday, 26 October 2007
Black Lebanese
The Financial Times profiles the century old community that crashed onto the shores of West Africa.
"Generations of Lebanese have married locally, adopted creole and staked their destinies on their adopted homeland—in spite of their lack of influence over the running of the country
Are they related?
Kamal Jumblat, secular left-wing leader
Walid Jumblat, sectarian right-wing leader
Thursday, 25 October 2007
4 October 2007
Bush's message to Saad Hariri before he threatened to dump him...
"I told this courageous leader [Saad Hariri] that the United States strongly supports the success of democracy in Lebanon; that we respect your country and that we understand the obstacles that you face."
George Bush
Office of the Press Secretary
4 October 2007
25 July 1958
Eisenhower's message to Chamoun before he dumped him....
Dear Mr. President
I wish to thank you for your message of July 21 in which you express personally and on behalf of Lebanon gratitude for the United States' affirmative response to Lebanon's call for assistance. The purpose of our action was to help your country preserve its independence, in accord with the inherent right of nations to cooperate for self-defense. Our countries have long enjoyed close and friendly relations, and I look forward to further cooperation between the American people and the people of Lebanon in furthering the principles and purposes of the United Nations Charter.
Sincerely,
DWIGHT D. EISENHOWER
Exchange of Letters Between the President and
President Chamoun of Lebanon.
Dated 25 July 1958
[Released 27 July 1958]
Privateers 2008
The British government feels that Lebanon's services are ripe for picking. Among the opportunities for the privateers listed on the UK ministry of trade website are:
Water – water and wastewater collection, treatment and disposal;
Environment – solid waste, air pollution and biodiversity protection present key areas of opportunity;
Construction – one of Lebanon’s most active sectors;
Leisure and Tourism – after years of unrest Lebanon is regaining its former reputation as the tourism capital of the Middle East;
Health – major hospital refurbishment programme, plus health tourism
Wednesday, 24 October 2007
No tourists 2007
Janes Intelligence Report has a short piece on the decline of trafic through Rafic Hariri International Airport (RHIA).
"According to the Lebanese Ministry of Tourism, the number of visitors dropped from 630,804 between January and June 2006 to 412,041 in the same period this year. RHIA has consequently seen a 20-25 per cent drop in passengers compared to 2006, with only half of the facility's six million annual capacity being used."
Tuesday, 23 October 2007
Sunday, 21 October 2007
Class struggle 2008
An IMF/Paris III proposal to reduce Lebanon's $40 billion debt (run up over the last decade) will hit hardest those who can least afford it.
In 2008 the Siniora government will attempt to dump the burden of the economic crisis on working class.
In brief this plan will involve:
• Implementation of fiscal measures equivalent to around 10 percent of GDP over five years.
• Reduction of government debt to under 130 percent of GDP by 2012— from the current 180 percent.
• Introduction of a “global income tax” as of 2008.
• Restraint on current spending— social projects, wages etc.
• Energy and social sector reforms with the reduction in fuel/gasoline subsidies.
• Privatisation of the telecoms industry (one of the few that makes money for the government)
• Tearing apart the pensions system
• A full scale assault on public sector workers, such as civil servants. Government workers, who are banned by law from strike action, will face cuts in “staffing and remuneration”.
Alongside this will be “reducing the costs of doing business”. In effect dumping "red tape"— such as employment protection, benefits, health and safety, travel subsidies.
This won't come easy.
The IMF warns of the “political implementation risks and shocks to the macroeconomic environment”. As these “reforms” will hit the poor, working class and lower middle class, the IMF proposes that a few poor relief schemes are put into place to deflect the coming anger.
They recommend “reallocating social spending toward better targeted redistribution schemes.” The "undeserving poor", no doubt, will go to the wall.
It notes that, “unless the reforms enhance social and economic conditions for the population at large, it may prove difficult to maintain the reform momentum.”
The question that is always put when neo-liberal policies are challenged is: where should the money come from? The majority of Lebanon’s debt is private (unlike with most countries in the Global South). The one sector that has been booming, and is awash with cash, is banking.
The second source is, of course, the billions of dollars salted away by the rich.
Lebanon has always had a complex interplay between class and sect. Today the "political crisis" plays itself out along sectarian lines. The economic struggle, in contrast, is firmly rooted in the exploitation of one class over the other.
The caption reads: "A crowd watches the roadblocks burn, Beirut, 23 January 2007. Thousands of Lebanese demonstrators blocked main roads in the capital and around the country, burning rubble and tyres, protesting against the government." Picture Dina Debbas/IRIN
Class 2004
Bassem Chit has published important information on the class structure of Lebanon.
The chart shows how the class divide has grown since 1970.
