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Obama's Europe Visit - Promises and Problems

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  • Obama's Europe Visit - Promises and Problems

    Obama's Europe Visit - Promises and Problems

    M N Hebbar (View from Europe)
    29 March 2009

    It was less than a year ago that Barack Obama, then a candidate for
    president, swept hundreds of thousands of cheering Berliners off their feet
    with his charisma, youth and statesmanlike vision for the future of the
    trans-Atlantic alliance and the role of Germany as a pivot therein.

    Now in less than a week, as President Obama embarks on a four-nation tour of
    Europe, his reception is likely to be far removed from the earlier euphoric
    one. What has changed?

    Ever since Obama took over at the White House, the financial crisis in the
    US has turned into a global contagion and with opinions differing across
    European governments on how best to deal with it, the divergence is
    beginning to tell on US-European relations. France and Germany, for
    instance, have been resistant to the American idea of stimulating economies
    through tax and spending policies, laying emphasis instead on tighter
    regulation of financial institutions. Indeed, the economic philosophies
    dividing nations that are opposed to Obama's repeated pleas have been
    reminiscent of former US defence secretary Donald Rumsfeld's branding of
    `Old Europe' and `New Europe', the latter being the ex-communist states of
    eastern Europe.

    Addressing the economic malaise will be the task of the G-20 summit of rich
    and developing nations in London that will provide the first backdrop for
    Obama's arrival in Europe on March 31. But the concord one expectswill be
    sadly missing because a serious division has already taken place over the
    size of necessary national stimulus packages among European
    governments. Efforts to provide desperately needed help for the economies of
    Central and Eastern Europe, (`New Europe'), have been similarly resisted by
    the EU partners, who prefer instead to push for narrow national plans for
    redrawing oversight of financial markets.

    Obama has already made it known that he expects the London summit to provide
    a forum for a new kind of global economic cooperation that would help
    galvanise collective action towards forging a secure recovery. He also
    would like the summit to deploy resources to stabilise markets, boost the
    emergency capacity of the IMF and assist regional development banks to
    accelerate lending.

    All very well, one might say. But Germany, like the proverbial naughty
    pupil, has been made to look like sitting in a corner in that chancellor
    Angela Merkel has refused to be distracted by `artificial discussions=80=9D
    over the respective size of US and Europe's financial stimulus
    programmes. She will not notch up the relatively modest German package
    totalling some 50 billion euros, corresponding to Germany's own
    priorities. Never mind that a New York Times column by Nobel laureate
    economist Paul Krugman has directly criticised the German finance minister
    for his `know-nothing diatribes' against stimulus measures.

    The French have sided with the Germans, an allusion to the times when both
    countries led international opposition to the Iraq war seven years ago. The
    British have been taking the Blair approach, wanting to be seen working in
    tandem with the US on major world issues, with Gordon Brown, the prime
    minister, leaning towards Obama's position that governments ought to spend
    first and regulate later. But EU leaders have echoed Ms Merkel's words,
    underlining the EU's reluctance to go deeper into debt to end the recession.

    The new US administration wants to remake the trans-Atlantic alliance and
    looks to its `special partner', the UK, to be a more active player than
    hitherto. But Gordon Brown has been busy projecting himself as a `saviour'
    while leaning on Washington in the line-up of economic actions. In the
    process, he has been showing less solidarity with his EU partners and has
    consistently sidelined them.

    But as host to the G-20 summit, Brown has an additional responsibility
    towards proffering solutions and cannot afford to be seen as being out of
    tune in Europe, his own backyard. How could he carry any weight with India,
    China and Russia, for instance, if he cannot leverage his own EU partners?
    But he now seems to be making amends by assigning an important role to the
    EU in calming the economic conflagration. Perhaps Brown would have done well
    to listen to the cautionary warnings emanating from European governments
    about the dangers of unfettered financial capitalism. The G-20 summit is an
    opportunity to begin to right =80¨the wrong.

    Obama's onward journey to Strasbourg for Nato's 60th anniversary comes at a
    time when the alliance is planning to increase its deployment in Afghanistan
    by 17,000 troops. Not all EU nations are on board. Germany has some 3,500
    soldiers in Afghanistan but on non-combat duties. The best that Obama can
    hope for is additional financial and logistical support.

    Disarray among EU's member states would become evident when the USpresident
    arrives in Prague later for a US-EU summit. The Czech Republic, which holds
    the EU's rotating presidency, raised eyebrows when its president, Vaclav
    Klaus, openly criticised the style of EU's functioning and lamented the
    democratic deficit in its conduct, even warning against `recreating the
    Soviet bloc in Europe'. The structural weaknesses of the EU will not escape
    Obama's attention and he may well conclude that an institution that the US
    had looked forward to as a strong and united partner in Europe is yet to set
    its own house in order.

    Perhaps, the most delicate part of Obama's tour would surface whenhis final
    leg takes him to Turkey where he would be delivering a much-anticipated
    address to the Muslim world. Contrast this with the stance of the EU, where
    France and Germany have been consistent in their refusal to welcome
    Turkeyinto the European Union so far.

    Obama's learning curve will have progressed very fast indeed by the time he
    heads back to Washington on Air Force One.

    M N Hebbar is a Berlin-based writer
    © 2009 Khaleej Times

    From: Emil Lazarian | Ararat NewsPress
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