Chad’s Deby will tighten grip amid rising challenges

Subject Political outlook for Chad. Significance In November, the government will likely miss a self-imposed deadline for holding long-delayed legislative elections. The real challenges to President Idriss Deby’s authority, however, may come from the country’s professional classes rather than the ballot box. Impacts Despite domestic turmoil, counterterrorism cooperation will likely keep Chad in the good graces of France and the United States. As budgetary difficulties persist, Chad will become increasingly beholden to international creditors and the IMF. Over the longer term, some of Deby’s associates and family members may grow restless as they wait for their turn in power.

Significance After four sluggish years, economic growth has been picking up steadily since mid-2017. However, as noted by Moody’s, medium-term prospects remain hampered by reliance on copper exports as, in the shorter term, has also been apparent in the context of the tariff war between the United States and China. Impacts According to the IMF, Chile will be the region’s fastest-growing economy this year, just ahead of Peru. The government will walk tightrope between a need for fiscal austerity and social demands. The tariff war will underscore the pressing need for diversification out of commodity exports.


Subject Guyana election outlook. Significance In October, Guyana’s government announced that new legislative elections would be held on March 2, 2020. This follows a no-confidence vote in the government passed in December 2018, with the intervening months having been spent in legal wrangling over the requirements for an election. Setting a date as far off as March 2020 will spark outcry from the opposition, but efforts to bring the polls forward are unlikely to succeed. Impacts The elections will face international scrutiny given concerns voiced by the United States and EU about the delay. Non-oil investment is likely to slow in the run-up to elections as investors wait for the outcome. Legal challenges have undermined popular trust in the judiciary, raising longer-term questions around judicial selection and training.


Significance The government will appeal the rulings, which follow action by renewables firms. With constitutional battles over energy investments already unfolding, the future of Mexico’s energy framework has been thrown into turmoil. Impacts Increasing energy prices will probably push inflation above Banxico’s upper target limit of 4%. AMLO’s apparent disregard for international trade agreements will strain relations with the United States. AMLO’s pro-austerity fiscal stance could take a toll on his popularity.


1985 ◽  
Vol 39 (4) ◽  
pp. 699-727 ◽  
Author(s):  
Benjamin J. Cohen

The global debt problem influences the foreign-policy capabilities of the United States through its impact on the government's “linkage strategies” in foreign affairs. In some circumstances policy makers are forced to make connections between different policy instruments or issues that might not otherwise have been felt necessary; in others, opportunities for connections are created that might not otherwise have been felt possible. The Polish debt crisis of 1981–82, the Latin American debt crisis of 1982–83, and the IMF quota increase in 1983 are suggestive in this regard. Linkage strategies bred by the debt issue are more apt to be successful when the interest shared by the United States with other countries in avoiding default is reinforced by other shared economic or political interests. They will also be more successful to the extent that the government can supplement its own power resources by relating bank decisions to foreign-policy considerations. Power in such situations, however, is a wasting asset, even when employed indirectly through the intermediation of the IMF.


Significance Erdogan adopted a relatively conciliatory tone and stopped short of declaring retaliatory measures, for fear of the economic consequences in particular, despite the fact that most Turks see Biden’s move as an insult and an attack on Turkish dignity. Impacts Ankara’s options for retaliation are limited but could include reduced military coordination with Washington in Syria and Iraq. Turkey could ask non-NATO US forces to leave, but closing the Incirlik air and Kurecik radar bases would hurt relations with NATO. The issue could be used internally to rally Turkish nationalist anger with the United States in support of the government.


Significance The government is aligning itself with the emerging international strategy against ISG in Syria. Its push to participate in airstrikes in part reflects a wish to reassert the United Kingdom's role as an international security partner, especially to the United States and France. Impacts The government envisages airstrikes as being needed for at least 12-18 months. The United Kingdom will be important but secondary in the anti-ISG coalition, with the United States continuing to conduct most operations. In the interests of its anti-ISG strategy, the government will temper its insistence on Syrian President Bashar al-Assad stepping down. The risk of an Islamist terrorist attack in the United Kingdom will increase. If Labour leader Jeremy Corbyn comes to be seen as correct in his anti-airstrikes stance, it will further envenom relations on the left.


Subject Mexico's brain drain. Significance Recent studies suggest increasing numbers of skilled professionals are emigrating from Mexico. A report by the University of Zacatecas (UAZ) published in March shows more than 1.4 million Mexicans with postgraduate degrees left the country between 1990 and 2015 due to a lack of professional development opportunities. According the National Council for Science and Technology (CONACYT), the government agency responsible for policy in this area, 46% of skilled emigrants live in Europe, 30% in the United States, 12% in Latin America and 7% in Canada. Impacts Emigration of skilled workers will be a fiscal burden as it annuls the benefits of investing in human resources. Policies to attract foreign talent could mitigate the problem, but there is no evidence that this is being considered. A contentious election outcome could trigger instability, further fuelling the outward flow of highly skilled Mexicans.


Significance The National Liberation Front (FLN) and Democratic National Rally (RND) received the most seats, as expected, amid widespread voter apathy. Impacts The government will continue its austerity strategy in response to the low oil price, and face more social tension and protests. The young generation will lose even more trust in the political system and opt for protest, resignation and emigration. The supporters of security and economic cooperation with the United States within the regime were strengthened.


Subject Public-private partnerships. Significance Amid attempts to secure new investment from Canada and the United States, the government is wrestling with political difficulties surrounding the future of public-private partnerships (PPPs). These have been magnified in recent months by the bad publicity arising from the Odebrecht bribery scandals. Establishing a politically acceptable balance between attracting investors and ensuring the transparency of public works contracts is proving increasingly important. Impacts The problem of corruption in sub-national government will cloud the operations of PPPs. There will be a need for stronger and more independent regulation of PPP projects. The localised reach of the Works for Taxes programme will limit its scope in dealing with wider objectives.


Significance These have caused the United States to begin the process of shuttering its Baghdad embassy -- while signalling that it could reverse the process if the government moves more aggressively against pro-Iran groups within the Popular Mobilisation Forces (PMF) that are blamed for the strikes. Impacts Groups will step up attacks designed to lever the US-led coalition out of Iraq, while seeking to mask their identity. The United States will have greater latitude for military action to weaken Tehran in November or December, if it closes the embassy. Japanese, Saudi, Emirati and some European embassies relying on US evacuation and warning services might also be forced out. Washington might opt instead to downsize the embassy, which cannot operate normally due to COVID-19 and security threats. Even if the US embassy closed, some coalition military sites and the US consulate in the Kurdistan region would remain open.


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