Politics and Economic Policymaking in South Africa since 1994

Economic policy in South Africa since 1994 has confronted the imperative to include middle class, working class and poor black people more fully into the economy in circumstances which circumscribe the scope for constructive negotiation and lasting agreement. The new regime of 1994 sought a political settlement which allowed stronger growth, economic transformation of the elite and economic inclusion of the poor. After meeting with some success, the combination of the global financial crisis and new political leadership led to policy uncertainty, increasing corruption and some deterioration of state capacity, which resulted in exceptionally slow growth. The puzzle this chapter engages with is why the struggle over rents has stood in the way of a mutually beneficial deal.

Managing the settlement of the Transnistrian conflict according to provisions of legal and institutional framework

The subject of settlement of the Transnistrian conflict is consistently promoted in the context of bilateral contacts with international actors involved in the settlement process – the OSCE, the Russia, the Ukraine, the EU and its member states, as well as the US. In this regard, the immediate and unconditional withdrawal from the territory of the Republic of Moldova of ammunition belonging to the Russian Federation and the foreign military forces that provide their security is likely to stimulate the process of political settlement of the Transnistrian problem. The authorities of the Republic of Moldova focus attention both on obtaining the support of external partners for the reintegration policy promoted by the state, as well as on ensuring common approaches between international actors. Inthe scientific research is mentioned and the institutional framework underlying the system that make up the national security sector of the Republic of Moldova. This sector includes state institutions with a mandate of force for the implementation of the tasks on operational level and on administrative level.

Diaspora organizations, political settlements, and the migration-development nexus: the case of the Indonesian Diaspora Network

This article examines the Indonesian Diaspora Network (IDN), an organization that seeks to ‘facilitate’ and ‘empower’ Indonesia’s diaspora and enhance its contribution to the country’s development. IDN portrays itself as an expression of the collective will of a unified and coherent Indonesian diaspora that is working to promote development-for-all, while critics suggest it is the instrument of elite and professional elements within the diaspora pursuing narrower interests and agendas. By contrast, this article suggests that IDN is a political settlement between these and other elements within the diaspora, each of which has distinct interests and agendas with regard to Indonesia’s development. Its impact on Indonesia’s development is consequently much less clear-cut than existing analyses suggest while also being contingent on processes of political and social struggle. In theoretical terms, the article encourages an understanding of diaspora organizations in terms of political settlements analysis.

Structural Change in South Africa

This chapter traces how policies and institutions flowing from the post-apartheid political settlement in South Africa gave rise to a range of rents and rent-like transfers, which have not, however, been adequately invested to advance structural transformation. Rather, corporate and industrial restructuring has been associated with a ‘high-profit and low-investment’ economy and deindustrialization. Low investment, job losses, and limited black participation in the ‘commanding heights’ of the economy from the mid-1990s spurred the political impetus for a stronger role for the state during the 2000s. The formal introduction of industrial policy in 2007 has had some successes and helped to avert even deeper deindustrialization. However, it has been undermined by unsupportive macroeconomic policies and a weak articulation between policies to advance black ownership and structural transformation. Rising corruption and maladministration have further undermined structural transformation. Implications are drawn from South Africa’s experience for middle-income countries more generally.

The Political Economy of Structural Transformation

This chapter examines the evolution of the political settlement in South Africa, which is critical for understanding its structural transformation path as well as for the reconfiguration of industrial policy. The success or failure of countries to drive structural change is understood in terms of the extent to which the political settlement, or governing coalition of interests, supports the growth of diversified industrial activities with higher levels of productivity. The chapter analyses why and how, despite the developmental agenda of the ruling African National Congress (ANC), South Africa has failed to achieve its production transformation. The chapter finds that the political settlement forged around South Africa’s transition from apartheid to democracy created the conditions for a corporate restructuring of the economy characterized by high profitability, despite low investments. This has involved power entrenchment in large incumbent organizations and coalitions of rentieristic interests, which have undermined necessary industrial policy enforcement. Persistent high unemployment and inequality have fuelled dissatisfaction and contestation over the core objectives of a more developmentalist state. Industrial policies have also been undermined by the fragmentation of the state, leading to misaligned policies.

Balance of Power in South Asia: Concerning Russian Role

Russia's engagement in South Asia has been shaped by its strategic interests: its quest for warm water, the routes of its gas pipeline, and its policy for curtailing U.S. hegemony. It has always been a dominant actor of South Asian Politics. The international dynamics have changed Russian strategies at different intervals. Initially, it was inclined towards India; however, in the current scenario, it has recognized the significance of Pakistan for a peaceful political settlement in Afghanistan and linking the Euro Asian union with South Asia, the Indian Ocean, and beyond. The paper highlights the changes in Russian policies towards South Asia and its due role in the balance of power between Pakistan and India.Russian strategic interest in South Asia and its relationship with India and Pakistan are the sole factors responsible for Russian involvement in BOP between Pakistan and India.

Assessing Russia's Military Strategy In The Eastern Mediterranean Through The Establishment Of An A2/AD (Anti-Access/Anti Denial Zone)

The Eastern Mediterranean has long been the area of interests of Russia’s military power. Referring to one of the on-going armed conflicts in the region, Russia has expanded its claws by militarily intervening in Syria to prevent the regime from collapsing. As the only left arbiter in the war who prioritize a political settlement in Syria, although there are various interests between the actors that involved, Russia has decided to involve in several military operations with Turkey. As the meaning to actualize its interest in operating an anti-access/area denial (A2/AD) zone in the Eastern Mediterranean, Russia is taking Turkey as its significant partner to simplify and to secure its interest in establishing an A2/AD zone. By analyzing several primary and secondary data, this research concluded that Russia’s goals have been divided into two, first is the short-term goal which is to keep Assad in power. Second, the long term goal which is to deter the influence of the Western by deploying its advanced armed forces in the Eastern Mediterranean.

High Cost Success

This chapter evaluates how the counterinsurgency campaign during the Salvadoran civil war provides support for the compellence theory. In El Salvador from 1979 to 1992, the U.S.-backed government fought the Communist and nationalist insurgency to a draw, preserving the government from an insurgent takeover. Elite accommodation took place largely among civilian and military officers in the government as hard-liners and slightly more liberal political and military entrepreneurs jockeyed for influence. The Salvadoran government resisted U.S.-pressed reforms but accepted U.S. efforts to strengthen its security forces. It used its increased fighting ability to clear civilian areas, creating vast refugee flows that reduced provision of material support to the insurgency. It also used U.S.-provided air power to break down the insurgency's conventional formations but was never able to successfully pursue and destroy the smaller bands of insurgents or gain more popular support than it began the war with. Continued insurgent political and military strength, along with the end of the Cold War, forced the United States and the hard-liners within the military to accept peace talks and a political settlement to the war rather than the military victory they had pressed for.