Burkinabe counter-terrorism will need public backing

Subject Jihadi threats in Burkina Faso. Significance After excessive delays in responding forcefully to jihadi militants, the Burkinabe government is strengthening its military presence in the most vulnerable provinces along the northern border with Mali and Niger. The decision in early 2017 to adopt a more offensive posture was prompted in part by the emergence of Burkina Faso’s first domestic extremist group, Ansarul Islam. However, local communities’ fear of the jihadists and skepticism towards the authorities will make it imperative for the government to win both their confidence and active collaboration. Impacts The terrorism threat will hasten specialist army training and armaments to operate against small, mobile opponents. Demands for an emergency development programme for the north will gain momentum across the political spectrum. The recent successful hosting of the FESPACO pan-African film festival could prompt a boost in tourism numbers, if attacks are contained.

Significance The region’s current tax and spending policies redistribute very little. The COVID-19 pandemic brought a deep and persistent recession, despite new spending, tax cuts and monetary easing aimed at limiting the damage. In December, the government of Argentina, which was particularly hard hit, passed a temporary (and additional) net wealth tax on the very richest households. Impacts OECD-led transparency efforts offer the long-sought possibility of taxing the foreign assets of wealthy Latin Americans. The pandemic will increase both existing inequalities and the need for tax revenues to finance social welfare and stimulus spending. Efforts to strengthen tax collection more broadly will likely be undertaken by governments across the political spectrum.


Significance The new government will have only 34 of the 179 seats, because policy differences among the right-wing parties, and the political strategy of the electorally strengthened anti-immigration, Euro-sceptic Danish People's Party (DF), mean DF will remain outside. Policy-making will be difficult. The government will be more economically liberal and pro-EU than it would have been with DF, but to make policy it will rely on partners across the political spectrum, especially the ousted Social Democrats -- who remain the largest party -- and DF. Impacts If DF is seen as a welfarist protector of ordinary citizens, it is more likely to repeat, at least, its 22% vote in the next election. The much-tighter immigration regime which is in prospect could taint Denmark's image and make it less attractive to foreign investment. The new government is likely to be an ally for much of UK Prime Minister David Cameron's EU reform agenda.


Subject Mexico's trade unions. Significance On September 11, the head of Mexico’s main business lobby Coparmex called on Congress to advance several pending issues relating to labour reform before the 2018 elections, including legislation on labour relations, union regulation and collective bargaining contracts. The call comes as the government attempts to resist pressure from Washington and Ottawa to address labour disparities as part of the North American Free Trade Agreement (NAFTA) renegotiations. Impacts Government and business will oppose any NAFTA alterations that might harm Mexico’s comparative advantages. Union leaders will resist strengthening the right to free association, which would allow workers to opt for alternative unions. The Confederation of Workers of Mexico will put pressure on its more than 11,000 affiliated unions to vote for the PRI in 2018. The independent National Union of Workers will call on affiliates to support leftist options. Discontent has increased among unionised workers, who will not necessarily vote along the same lines as the leaders.


Subject Auto manufacturing and corruption. Significance The government on August 25 appointed judicial administrators to manage three major companies whose chief executives were detained as part of a wide-ranging anti-corruption drive, including the Tahkout Manufacturing Company, which produces cars. Local auto manufacturing -- a flagship industry under ousted President Abdelaziz Bouteflika -- has been badly affected by the anti-corruption campaign, with some companies struggling to pay staff and import parts. It is also threatened by concurrent new regulations introduced by the government. Impacts In the longer term, a re-evaluation of the programme of state support for the industry could threaten all manufacturers. Projects underway to build new Nissan and Peugeot plants by 2020 may be delayed or cancelled. Damage to the industry poses particular risks to the economy of the north-west, where most factories are located. Foreign firms in other sectors will be reluctant to invest in Algeria, fearing that local partners could be caught up in criminal cases.


Subject Kidal's significance. Significance In mid-February, the government deployed 600 soldiers and auxiliary forces to the far north-eastern city of Kidal and 200 more to Timbuktu, another key northern city. There are also plans to deploy troops to Menaka and Taoudenit. All these towns have been under the de facto control of shifting constellations of rebels, former rebels and militias since April 2012. The return of the military as part of a ‘reconstituted army’ consisting of one-third government soldiers, one-third former rebel fighters and one-third government-aligned militia members indicates a softening of tensions. Impacts The Kidal deployment may blunt some Western criticism of the Malian government’s performance. Legislative elections in March and talks with jihadists could yet change political balances in Kidal. Relations between the government and former rebels in the north are better now than in years. The Algiers Accord’s different provisions are so interconnected that the success of any one depends on agreement on multiple other elements.


Subject The outlook for solar power in Mexico. Significance Mexico's second-largest solar park -- Central Los Santos Solar I -- began operations on April 18. Its inauguration followed the first long-term power auction to supply the state-owned utility Federal Electricity Commission (CFE) on March 28, and is part of a modest expansion of solar power infrastructure in the north of the country. Impacts The government plans to hold an electricity tender every year, with the terms released in April. The outcome of the second long-term power auction will be made public on September 30. According to Under-Secretary of Clean Energy Efrain Villanueva Arcos, the government may increase further its clean energy goals for 2021.


Significance The attack was an attempt to undermine the nine month old national unity government headed by President Ashraf Ghani, who is already losing public confidence since the cabinet is still incomplete and the country still lacks a viable security plan. Meanwhile, Taliban gains in the north have prompted the government to arm local militias to bolster its security forces. According to UN figures, the insurgency has left 974 dead and 1,963 injured in the first four months of 2015 -- a 16% rise on 2014. Impacts Growing public discontent could open spaces for competing leaders and groups opposed to the government, threatening civil unrest. Absent a viable security strategy, NATO may slow the military drawdown, implying extended involvement. Foreign investors, especially China, could renege on their investment commitments if the Taliban continue taking new territory.


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