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Tag: Lebanon

  • Gov’t mismanagement, external pressures as Arab currencies crash

    Gov’t mismanagement, external pressures as Arab currencies crash

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    “I cannot feed bridges to my children,” says Muhammad, a driver living in the Nile Delta, in reference to the Egyptian government’s large infrastructure building drive, as the country suffers from a cost-of-living crisis.

    “I can hardly afford the most basic necessities. This government has been in power for over eight years. They have done nothing for the average person,” he said angrily.

    “This government treated me [when I had] the hepatitis C virus for free,” retorted his friend, Sami, referring to a campaign launched by the Egyptian government in 2014 to treat people living with hepatitis C virus (HCV), one of Egypt’s biggest health challenges.

    These heated discussions over inflation and currency devaluations have become commonplace in many Arab countries.

    The Iraqi dinar has lost 7 percent of its value since mid-November, leading to the sacking of the central bank governor on Monday.

    In September, the Tunisian dinar reached a record low versus the United States dollar, as the country’s president struggles to deal with an ongoing economic and political crisis.

    Meanwhile, the currencies of other countries, including Syria, Sudan, Lebanon and Egypt, were among the world’s worst-performing currencies in 2022.

    These devaluations, coupled with rising prices around the world, have contributed to sky-high levels of inflation.

    According to the Central Bank of Egypt, headline inflation was 21.3 percent in 2022, while core inflation, which excludes volatile fuel and food prices, reached 24.5 percent. These numbers pale in comparison to Lebanon’s jaw-dropping triple-digit inflation over the past couple of years, according to the World Bank.

    Some people are blaming their governments for inflation. Governments, on the other hand, have tended to point the finger at external factors beyond their control, such as the war in Ukraine, the COVID-19 pandemic and interest rate hikes in the US.

    US rate hikes and the Ukraine war

    Several countries in the region, such as Egypt, Jordan and Lebanon, have suffered from a depletion of foreign currency, due to plummeting tourism revenues caused by the COVID-19 pandemic, as well as rising food prices triggered by the war in Ukraine.

    Currency devaluations are a result of a number of factors, including trade deficits and foreign debt.

    “A persistent trade deficit results in a loss of foreign reserves which is often necessary to service foreign lending,” said Dennis McCornac, assistant professor of economics at Georgetown University in Qatar.

    Rising inflation around the world has prompted the US Federal Reserve to raise interest rates to control rising prices. Higher interest rates make it more expensive to borrow money, so they discourage people from spending. When spending declines, demand falls and the prices of goods and services follow.

    Higher interest rates in the US also lure investors away from risky assets in developing countries.

    “Rising interest rates in the US make the US dollar more attractive as an investment safe haven,” said Zouheir el-Sahli, assistant professor of economics at Qatar University.

    And when foreign investors in local debt instruments exit a market, they sell their local currency to buy US dollars, causing a drop in the value of the local currency, as Moamen Gouda, professor of Middle East economics at Hankuk University, explained.

    “[This leads] to devaluation unless the government intervenes to prop up its currency to avoid social instability due to rising prices,” Gouda said.

    Chronic structural problems

    Egypt has now turned to the International Monetary Fund for help for the fourth time in six years. To secure IMF funding, Cairo had to move to a flexible exchange rate regime in which supply and demand determine the currency’s value, something successive Egyptian governments have always resisted.

    An inflexible exchange rate regime is only one of the many structural problems hindering economic progress in many Middle Eastern countries.

    “Egypt, for instance, is not attracting a lot of foreign direct investment [FDI] due to a loss of confidence in the current economic policies,” said el-Sahli.

    The lack of FDI has contributed to a foreign currency crunch and, eventually, the devaluation of the Egyptian pound.

    Gouda agrees with other economists that the main problem with the Egyptian economy is structural. According to him, the war in Ukraine and US interest rate hikes only exposed the fragility of the economic systems of several countries in the region and the need to embark on deep and painful structural reforms.

    According to him, Egypt has failed to attract FDI by signalling that the private sector, which has consistently contracted over the past eight years, is not welcome. “Over the past eight years, the military has crowded out the private sector in almost every aspect of economic life,” Gouda said.

    A reduction in the military’s oversized role in the economy was one of the main reforms requested by the IMF. In its January 2023 report on Egypt, the IMF said the Egyptian authorities have committed to reducing the role of the state in the economy and levelling the playing field between the public and private sectors.

    Lebanon has its own particular issues. “In addition to having chronic deficits, the country suffers from a political deadlock that has prevented it from sealing a deal with the IMF to extend a lifeline to the economy,” explained el-Sahli.

    “Lebanon has run its economy like a Ponzi scheme,” where new money is borrowed to pay off the debt owed to investors, said Mohammad Fadel, a professor of law at the University of Toronto. “Lebanese banks were attracting deposits from Lebanese people abroad with ridiculously high interest rates,” he added.

    The World Bank agrees with this reading and has said the Lebanese state ultimately used “excessive debt accumulation” to give an “illusion of wealth” and encourage investments. These depositors did not understand the risks they were taking on by depositing their money in Lebanon.

    And once political turmoil on the ground in Lebanon contributed to foreign investment drying up, the whole system collapsed.

    Currency devaluation can actually greatly benefit an economy in the long term.

    “It would be expected to decrease export prices and increase import prices, which hopefully slows down the loss of foreign reserves,” said McCornac.

    But without meaningful structural reforms, devaluations end up being a missed opportunity to increase exports, narrow the trade deficit and spur growth.

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  • Investigation into Beirut’s massive 2020 port blast resumes

    Investigation into Beirut’s massive 2020 port blast resumes

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    BEIRUT (AP) — The judge investigating Beirut’s massive 2020 port blast resumed work Monday after a nearly 13-month halt, ordering the release of some detainees and announcing plans to charge others, including two top generals, judicial officials said.

    Judge Tarek Bitar’s work had been blocked since December 2021 pending a Court of Cassation ruling after three former Cabinet ministers filed legal challenges against him. The court is the highest in the land.

    Despite there being no ruling by the court, Bitar resumed working on the case Monday based on legal justifications he gave, the judicial officials said, speaking on condition of anonymity because they were not authorized to speak to the media. They did not elaborate.

    Bitar did not respond to calls by The Associated Press for comment.

    The Aug. 4, 2020 disaster happened when hundreds of tons of highly explosive ammonium nitrate, a material used in fertilizers, detonated at Beirut’s port killing more than 200, injuring over 6,000 and damaging large parts of Beirut. The explosion is considered one of the largest non-nuclear explosions in history.

    It later emerged that the ammonium nitrate had been shipped to Lebanon in 2013 and stored improperly at a port warehouse ever since. Senior political and security officials knew of its presence but did nothing.

    The judicial officials said Bitar decided to release five people who had been detained for more than two years. They include former customs chief Shafeek Merhi; Sami Hussein, the head of port’s operations at the time of the blast, and a Syrian worker. Twelve people will remain in custody, including the head of the port authority and the head of the Lebanese customs at the time of the blast.

    The move by Bitar to order the release of some of the 17 people who have been held since shortly after the blast came days after protests by family members in Beirut demanding all 17 be set free.

    “What Bitar did today is that he committed a major violation of international laws” says Celine Atallah, attorney for detainee Badri Daher, who was customs chief at the time of the blast. “If he believes that he has authority to release some of the detainees it means he has and must release all seventeen detained.

    “Under international conventions that Lebanon ratified and human rights laws, their detention is unlawful. I put him responsible that he is holding the seventeen as hostages,” Atallah, a Lebanese-American, told The AP.

    The officials said Bitar is expected to charge eight people, including top intelligence officials Maj. Gen. Abbas Ibrahim and Maj. Gen. Tony Saliba. Bitar previously charged three ex-ministers who had refused to show up for questioning several times and lodged legal complaints to stall the probe.

    Paul Naggear, a survivor of the devastating blast who lost his 3-year-old daughter Alexandra, said the news was unexpected.

    “Obviously it’s very positive. This is all that we’ve been asking for,” he told the AP. “We are pleased for the decision (to revive the investigation), whether they (the authorities) stop him very soon or not.”

    Naggear is among a handful of relatives of blast victims who have been campaigning for Bitar and advocating for a robust investigation. In recent weeks, they have protested more frequently outside the Justice Palace and Parliament building in Beirut calling for the investigation to continue.

    Some politicians have challenged Bitar in court, accusing him of violating the constitution or of showing bias. There were also reports of threats leveled against the judge and the government vowed in late 2021 to increase his security.

    Bitar was also challenged by some family members of blast victims, including Ibrahim Hoteit who lost his younger brother in the blast. Hoteit had said that Bitar has become a hurdle to finding out the truth in the case.

    Bitar has been the subject of harsh criticism by Lebanon’s powerful Hezbollah leader Hassan Nasrallah. Nasrallah called Bitar’s investigation a “big mistake” and said it was biased. He asked authorities to remove Bitar.

    Bitar is the second judge to take the case. The first judge, Fadi Sawwan, was forced out after complaints of bias by two Cabinet ministers. If the same happens to Bitar, it could be the final blow to the investigation.

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  • Iran’s top diplomat says talks with Saudis could restore ties

    Iran’s top diplomat says talks with Saudis could restore ties

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    Iranian foreign minister says he hopes diplomatic ties with Saudi Arabia can be restored via dialogue after years of tensions.

    Iranian foreign minister Hossein Amir-Abdollahian has expressed hope that diplomatic ties between Tehran and Riyadh could be restored through dialogue between the two regional rivals.

    Saudi Arabia cut ties with Iran in January 2016 after protesters attacked the Saudi embassy in Tehran following Riyadh’s execution of the Shia leader Nimr al-Nimr.

    Amir-Abdollahian told a news conference in the Lebanese capital, Beirut, on Friday that he hoped “diplomatic missions or embassies in Tehran and Riyadh will reopen within the framework of dialogue that should continue between the two countries”.

    Iran and Saudi Arabia back opposing sides in several conflicts in the Middle East region, including in Syria and Yemen, where Tehran has supported the Houthi rebels.

    Since April 2021, Iraq has hosted five rounds of fence-mending meetings between the two sides, but the talks have stalled in recent months, and no meetings have been publicly announced since April 2022.

    Iran wields influence in political life in Lebanon and Iraq, where it also supports armed groups.

    On Friday, Amir-Abdollahian met with officials including his counterpart Abdallah Bou Habib and caretaker Prime Minister Najib Mikati.

    In a meeting with Hezbollah chief Hassan Nasrallah, the pair discussed “possible threats arising from the formation of a government of corrupt people and extremists” in Israel, according to a statement from the Tehran-backed group.

    Israel in late December inaugurated the most right-wing government in its history, led by Prime Minister Benjamin Netanyahu.

    The move has sparked fears of heightened tensions between Israel and the Palestinians, and of a potential military escalation in the occupied West Bank, where daily raids and violence by the Israeli army are a common occurrence.

    ‘Dialogue’

    Abdollahian also hailed a potential rapprochement between Iranian ally Syria and Turkey, after their defence ministers met last month.

    Syria’s pro-government Al-Watan newspaper said Amir-Abdollahian would visit Damascus on Saturday.

    “We are happy with this dialogue that is taking place between Syria and Turkey,” Amir-Abdollahian said.

    “We believe that this dialogue should have positive repercussions benefitting these two countries.”

    Ankara had long backed rebels opposed to Syrian President Bashar al-Assad.

    But after more than a decade of war that has seen Damascus claw back territory with Russian and Iranian support, ties between Syria and Turkey have begun to thaw.

    In late December, Syrian and Turkish defence ministers held landmark negotiations in Moscow – the first such meeting since 2011.

    Assad had said on Thursday that a Moscow-brokered rapprochement with Turkey should aim for “the end of occupation” by Ankara of parts of Syria.

    The defence ministers’ meeting is to be followed by talks between the three countries’ top diplomats, Turkish foreign minister Mevlut Cavusoglu said on Thursday.

    The mooted reconciliation has alarmed Syrian opposition leaders and supporters who reside mostly in the northern parts of the war-torn country under Ankara’s indirect control.

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  • Lebanese and UN troops rescue migrants vessel, 2 killed

    Lebanese and UN troops rescue migrants vessel, 2 killed

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    Lebanon’s navy and U.N. peacekeepers have rescued more than 200 migrants from a boat sinking in the Mediterranean Sea hours after it left northern Lebanon’s coast, the military said in a statement

    BEIRUT — Lebanon’s navy and U.N. peacekeepers on Saturday rescued more than 200 migrants from a boat sinking in the Mediterranean Sea hours after it left northern Lebanon’s coast, the military said in a statement. Two migrants were killed in the incident.

    The army statement said the vessel was carrying people “who were trying to illegally leave Lebanon’s territorial waters.” It said three Lebanese navy boats and one from the U.N. peacekeeping force in Lebanon, known as UNIFIL, recused 232 migrants.

    Reports from the northern city of Tripoli — Lebanon’s second largest and most impoverished — said Lebanese, Syrian and Palestinian men, women and children were on the boat that left northern Lebanon after midnight Friday. Residents of Tripoli who are in contact with survivors said the dead were a Syrian woman and a Syrian child.

    UNIFIL said in a statement that the Maritime Task Force is assisting the Lebanese navy in search and rescue operations in the sea between Beirut and Tripoli “where a boat in distress with a large number of people on board was found. Our Indonesian and Greek ships are on the scene.”

    “We will continue to provide assistance,” UNIFIL said.

    Lebanese security forces have been working to prevent migrants from heading to Europe at a time when the small nation is in the grips of the worst economic and financial crisis in its modern history.

    A crowded boat capsized on Sept. 21 off the coast of Tartus, Syria, just over a day after departing Lebanon. At least 94 people were killed, among them at least 24 children. Twenty people survived and some remain missing.

    It was one of the deadliest ship sinkings in the eastern Mediterranean Sea in recent years, as more and more Lebanese, Syrians and Palestinians try to flee cash-strapped Lebanon to Europe to find jobs and stability.

    The U.N. High Commissioner for Refugees says risky sea migration attempts from Lebanon over the past year have surged by 73%.

    Lebanon’s economic meltdown that began in October 2019, has left three- quarters of the country’s 6 million people, including a million Syrian refugees, living in poverty.

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  • Identity is complex for Lebanon’s Christian Palestinian camp

    Identity is complex for Lebanon’s Christian Palestinian camp

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    DBAYEH, Lebanon (AP) — Tucked away in the hills north of Beirut below a Maronite monastery, Lebanon’s only remaining Christian-majority Palestinian camp gives few outward clues to its identity. Unlike the country’s other Palestinian refugee camps, there are no flags or political slogans on display in Dbayeh camp.

    Behind closed doors, it’s a different story. At a recent community Christmas dinner for elderly residents, attendees wearing Santa hats danced the dabke to popular Palestinian songs like “Raise the Keffiyeh,” twirling the traditional Palestinian scarves, or using napkins to simulate them. A speaker who toasted his hope of celebrating next year’s Christmas in Jerusalem in a “free Palestine” prompted ululations.

    The residents of the camp, founded in 1956 on land belonging to the monastery that overlooks it, have good reason to keep a low profile.

    During Lebanon’s 15-year civil war, the area was a stronghold of Lebanese Christian militias that battled the Palestine Liberation Organization. The other two Palestinian camps in Christian areas — Jisr al-Basha and Tel al-Zaatar — were razed during the war by the militias, their inhabitants killed or scattered.

    Dbayeh was invaded in 1973 by the Lebanese army and in 1976 by the Lebanese Phalangist militia. Many residents fled. Those who stayed found themselves on the opposite side of battle lines from fellow Palestinians, most of them Muslims.

    In the decades after the war ended in 1990, Dbayeh was largely forgotten by the rest of Lebanon’s Palestinians.

    “Because of the separation of territories…between Muslim quarters and the Christian quarters (in Lebanon), the minority that stayed in the (Dbayeh) camp was isolated completely from the other communities,” said Anis Mohsen, managing editor of the Institute for Palestine Studies’ quarterly Arabic journal.

    Dbayeh’s story is an extreme example of the wider fragmentation of Palestinian communities.

    Hundreds of thousands of Palestinians fled or were forced from their homes during the 1948 Mideast war over Israel’s creation. Today, several million Palestinian refugees and their descendants are scattered across Jordan, Syria and Lebanon, as well as the West Bank and Gaza, lands Israel captured in 1967.

    Palestinians are separated by geographical and political barriers, but religious differences between Christians and Muslims are not generally a source of division.

    “We are one people,” said Antoine Helou, a member of the Higher Presidential Committee of Churches’ Affairs in Palestine and a former resident of Jisr al-Basha. “The misfortunes we have as Palestinians are bigger than thinking about this one is Muslim, this one is Christian.”

    But the sectarian divisions in Lebanese society made their mark on the Palestinian community.

    Eighty-four-year-old retired teacher Youssef Nahme of Dbayeh, originally from the now-destroyed village of al-Bassa in today’s Israel, recalled that as a young man in Lebanon, he had friends from Muslim-majority camps.

    But, he said, “after the Civil War, these connections were disturbed. Not because they don’t like to visit us or we don’t like to visit them, but because (of) Lebanese society.”

    Eid Haddad, 58, fled Dbayeh with his family after his brother was killed by Phalangist fighters and after the 1976 invasion of the camp. He said it was difficult to fit in anywhere.

    “In the Christian area we were rejected because we are Palestinians, and in…the Muslim area, we were rejected because we are Christians,” he said.

    Some of the Dbayeh residents who fled, like Nahme and his wife, returned after the fighting ended. Others, like Haddad, never came back. Today he lives in Denmark.

    “I wish I could go back, but every time I think about it, all (the memories) come back,” he said.

    Today, the camp is home to a population of about 2,000, a mix of Palestinians, Lebanese and Syrian refugees. Wissam Kassis, head of a civil committee that serves as a governing body of sorts, said of about 530 families living in the camp, some 230 are Palestinian.

    Palestinian residents said they maintain good relations with their Lebanese neighbors. Many have intermarried and some have been granted Lebanese citizenship. But some Lebanese continue to blame the Palestinians for the country’s civil war. Palestinians in Lebanon are barred from owning property and from working in many professions.

    “People say, ‘Go back to Palestine.’ I say, ‘Send us back,’” said Therese Semaan, who lives in the two-room house her family built, and then rebuilt in 1990, after it was bombed during fighting between rival Christian Lebanese factions.

    Still, Semaan said, “We’re living better than the other camps.”

    The camp receives limited services from the U.N. Relief and Works Agency, which was set up decades ago to assist Palestinian refugees. The agency runs a clinic and cleans the streets but does not operate a school in the camp. An UNRWA school in the nearby Beirut suburb of Bourj Hammoud was closed in 2013 due to low enrollment — a sore point among locals.

    Until recently, the relationship with Palestinian officials was even more limited. It was only in 2016 that Dbayeh formed its own committee to serve as a go-between with the U.N. agency and the Palestinian embassy and political factions.

    The factions themselves do not have an active presence in Dbayeh, Kassis said, and camp residents keep their political activities low-key.

    “For example, if there is bombing (by Israeli forces) in Gaza, maximum we do a prayer vigil,” he said. “We don’t go out and protest in an aggressive way.”

    Many Muslim Palestinians in Lebanon are either unaware of the camp or view its residents with suspicion, believing them to be aligned with the right-wing Christian Lebanese parties that took control of the area during the war. Kassis acknowledged that in some cases that is true, but said it is a small minority.

    “There are people who love Palestine very much and there are people who don’t, but it’s a small percentage” of people who have aligned themselves with the other side, he said. “We are fighting to create more of a feeling of belonging.”

    In one new initiative, youth athletes from Dbayeh play basketball and soccer alongside those from other Palestinian camps. The games have led to renewed ties, Kassis said.

    Community groups from other camps have begun to come to Dbayeh, fixing streets and distributing aid and Christmas gifts.

    Kholoud Hussein of the Najda Association NGO, from the Bourj al-Barajneh camp south of Beirut, coordinated a series of projects in Dbayeh this year. “A lot of people in other camps didn’t know about Dbayeh” she said, but now they are starting to.

    The recognition goes both ways. Eighteen-year-old Rita al-Moussa of Dbayeh speaks with a Lebanese accent, studied in Lebanese schools and has Lebanese friends. Growing up, she felt little connection to her Palestinian roots, but now she plays soccer with a group of young women from Beirut’s Shatila and Mar Elias camps.

    As a result, she said, “we have become closer to the other Palestinian camps.”

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  • How the Arab world’s most populous country became addicted to debt | CNN Business

    How the Arab world’s most populous country became addicted to debt | CNN Business

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    Editor’s Note: A version of this story appears in today’s Meanwhile in the Middle East newsletter, CNN’s three-times-a-week look inside the region’s biggest stories. Sign up here.



    CNN
     — 

    Egypt has dug itself a massive hole of debt. On Friday, the International Monetary Fund (IMF) will extend a $3 billion loan to the country, a fourth aid package in six years, as its financial tailspin continues.

    The loan, along with billions of dollars in cash inflows from Abu Dhabi and Riyadh, are Band-Aids, experts say, designed to keep the Arab world’s most populous country afloat. Without proper reforms, however, Egypt may never be able to shake off its chronic financial woes and break its growing debt addiction.

    In recent months, the Egyptian pound has plummeted, losing 14.5% of its value against the US dollar in October. The prices of vegetables, dairy products and bread skyrocketed. Some families are restricting their diets as their purchasing power shrinks, while others struggle to find imported products once available at their local stores.

    In a country with a long history of political tension and a fast-growing population – currently 104 million people – the repercussions of economic pain can be far-reaching. When millions of Egyptian protesters toppled former President Hosni Mubarak during the 2011 Arab Spring, “Bread, freedom and social justice” was among the most popular chants.

    Egypt’s main Gulf Arab backers recognize what’s at stake here. Billions of dollars from Abu Dhabi and Riyadh have poured into the Egyptian economy in recent years. Both the United Arab Emirates and Saudi Arabia saw giant windfalls on the back of this year’s high oil prices. They’ve used some of that money to bolster the economies of their allies in the Middle East.

    In August, Abu Dhabi Developmental Holding Company (ADQ), one of the emirate’s wealth funds, announced a number of investments in publicly listed companies in Egypt, “building on its long-term commitment to investing in the country’s economic growth through its $20 billion joint strategic investment platform,” it said in a statement.

    Saudi Arabia’s Public Investment Fund (PIF) also launched the Saudi Egyptian Investment Company (SEIC) in August, a company dedicated to investments in several vital sectors of the Egyptian economy. SEIC has bought $1.3 billion dollars’ worth of shares in four Egyptian businesses.

    Still, the Egyptian economy has struggled to shake off its economic woes. Inflation is at a five-year high, making food and other basic goods unaffordable to tens of millions of vulnerable Egyptians.

    The North African state now owes more than $52 billion to multilateral institutions, at least 44.7% of which is owed to the IMF alone.

    Its foreign debt “has more than tripled between June 2013 and March 2022, raising the external debt-to-GDP ratio from 15% to approximately more than 35%,” writes Stephan Roll, head of the Africa and Middle East Division at the German Institute for International and Security Affairs (SWP) in Berlin.

    “And there is no end in sight,” he adds.

    But how did Egypt get here? The problem, analysts say, lies in Egypt’s apparent inability to change the way its economy works, including easing the tight control exerted by the military and its many enterprises. This is a problem, the experts say, that stunts private sector competition and drives away investment.

    Egypt has been on the path to debt-addiction for several years. In 2016, President Abdel Fattah al-Sisi sealed a deal with the IMF granting a $12 billion loan. The bailout was granted on condition of Egypt’s currency floating freely, which ultimately slashed its value by half in a matter of weeks and pushed up inflation. Harsh austerity measures – including cuts to subsidies on fuel and electricity – were enforced to try to restore government finances.

    Despite the bailout, Egypt struggled to fully pick itself back up, with analysts attributing the repeated failures to revitalize the economy to loose agreements and the mismanagement of loans.

    “Not only are they [loans] temporary Band-Aids, they’re not conditioned in a manner that would actually push for the reforms necessary to ever allow the Egyptian economy to recover,” said Timothy Kaldas, a policy fellow at the Tahrir Institute for Middle East Policy.

    “Recently they [the multilateral lenders] seem to have started to finally notice that, and seem to want to see some of those reforms, but they haven’t successfully gotten the Egyptians to agree to them,” he added.

    The cash-strapped country also spends much of its funds on luxury megaprojects that critics call “unnecessary” when other sectors seem to be in dire need of support, including education and health care. Data pertaining to state spending on these projects is not available to the public.

    “Loans were not primarily used to improve the economic framework conditions but to protect the revenues and assets of the armed forces, to finance major projects in which the military could earn significant money, and to pursue an expansive military build-up,” Roll told CNN.

    Authorities have repeatedly defended the state megaprojects, arguing that they improved infrastructure, transportation and telecommunications.

    “These are projects that cannot be put to the side, as they are projects needed by the Egyptian citizen,” said Prime Minister Mostafa Madbouly in a May press conference. He blamed the Covid-19 pandemic and the effects of the Ukraine war for exacerbating Egypt’s financial problems.

    Close to 30% of Egypt’s population is below the poverty line, authorities say. The World Bank in 2019 estimated that “some 60% of Egypt’s population is either poor or vulnerable,” highlighting a growing disparity between the rich and poor.

    Authorities insist they are making progress. Sisi has repeatedly called on military-owned companies to be listed on the stock exchange, but few concrete steps have been taken to liberalize those enterprises.

    In September 2019, brief and rare demonstrations broke out across Egypt, despite a strict ban on protests. They were driven primarily by economic grievances. Protesters also decried the military’s alleged influence over finances. Security forces quickly quelled the demonstrations and more than 4,000 people were arrested.

    Irish soldier killed in south Lebanon by ‘hostile mob’

    An Irish soldier on a peacekeeping mission in Lebanon was shot and killed on Wednesday when his UN convoy was attacked by a “hostile mob,” according to Irish Defense Minister Simon Coveney. Seán Rooney, 23, was shot and killed in the incident, and another Irish soldier was seriously injured.

    • Background: The convoy was conducting a “standard administrative run” between southern Lebanon and Beirut, Coveney said. The group then came under small arms fire, social media footage showed. Lebanon’s Prime Minister-designate Najib Mikati has vowed to hold the culprits accountable. According to multiple official statements, the injured troops were taken to Raee Hospital, near the city of Sidon. Rooney was pronounced dead on arrival at the hospital.
    • Why it matters: The United Nations has maintained a multinational peacekeeping mission in southern Lebanon since 1978, to bolster security in the tense border area between Lebanon and Israel. Irish peacekeepers have been in the country since the start of the mandate. According to Coveney, Rooney’s death was the first Irish fatality in the country in two decades. There are long-simmering tensions between the peacekeeping mission, known as UNIFIL, and locals in the region where Iran-backed Hezbollah dominates.

    Iran expelled from UN women’s rights body

    In an unprecedented move, UN member states on Wednesday voted to remove Iran from a UN women’s rights body for violating the rights of women and girls amid ongoing protests across the country.

    • Background: Twenty-nine members of the UN’s Economic and Social Council voted in favor of the resolution to remove Iran from the Commission on the Status of Women, which was proposed by the United States. Eight member states voted against the resolution with 16 abstentions. Iran condemned the move, calling it an “illegal request” that weakens the rule of law in the UN.
    • Why it matters: Iran had just started a four-year term on the 45-member Commission on the Status of Women, which aims to promote gender equality worldwide. Women in Iran have played a vital role in nationwide demonstrations that erupted in September, but have also allegedly been a target of state violence. Last month, CNN revealed covert testimonies by protesters documenting sexual assault and rape in Iranian detention centers.

    Istanbul’s mayor sentenced to jail and faces possible political ban

    Istanbul Mayor Ekrem Imamoglu – the most popular rival of Turkish President Recep Tayyip Erdogan – was sentenced to nearly three years in jail on Wednesday for insulting public officials. He could face a political ban if the conviction is upheld by an appeals court.

    • Background: After the court convicted Imamoglu to two years, 7 months and 15 days in prison, his first response to the ruling was defiant. “A handful of people cannot take away the authority given by the will of the people,” the mayor said. “With God’s will, our struggle begins even stronger.” Imamoglu won a rerun election for Istanbul mayor in June 2019 after the first election was canceled due to irregularities.
    • Why it matters: The decision could bar him from running in the 2023 presidential elections, where he would compete with Turkey’s long-time president. Thousands protested the ruling on Thursday, chanting slogans against Erdogan and his AK party, Reuters reported.

    Defending champion France ended Morocco’s 2022 World Cup dream on Wednesday after a 2-0 victory at the Al Bayt Stadium.

    Theo Hernández scored on five minutes with an acrobatic finish, with substitute Randal Kolo Muani tapping home late on as France reached its fourth World Cup final just four years after winning in Russia.

    But Morocco, the first African team to reach the semifinal stage of the World Cup, can go home with its head held high after running France close before Kolo Muani’s decisive strike.

    Having captured the hearts and minds of the footballing world, it was a sad end to Morocco’s aspirations. But it gave reigning champion France a run for its money. Morocco leaves the competition knowing it has achieved more than just success on the pitch.

    Read more:

    • A Kenyan security guard who reportedly fell while on duty at Qatar’s Lusail Stadium has died in hospital, his family and officials have confirmed to CNN. His employer had notified the migrant worker’s family on Saturday that 24-year-old John Njau Kibue had fallen from the 8th floor of the stadium while on duty. His sister Ann Wanjiru told CNN: “We don’t have the money to get justice for him, but we want to know what happened.”
    People sit together with drinks outside a venue at a Christmas market in the Christian quarter of Jerusalem's old city on Thursday.

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  • Unloved at home, Emmanuel Macron wants to get ‘intimate’ with the world

    Unloved at home, Emmanuel Macron wants to get ‘intimate’ with the world

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    PARIS — When French President Emmanuel Macron’s party lost its absolute majority in parliament six months ago, many wondered what the setback would mean for an ambitious, here-to-disrupt-the-status-quo leader whose first term was defined by a top-down style of management.

    It turns out Macron 2.0 is a man about globe, pitching “strategic intimacy” to world leaders, as he leaves domestic politics to his chief lieutenant and concentrates on his preferred sphere: international diplomacy.

    The Frenchman’s past “intimate” moves have been well-documented: affectionate hugging with Angela Merkel, knuckle-crunching handshakes with Donald Trump, and serial bromancing with the likes of Justin Trudeau and Rishi Sunak. Now in his second term, the French president appears to be making a move on — quite literally — the world.

    Since his reelection, Macron has been hopping from one official visit to another: in Algeria one day to restore relations with a former colony, in Bangkok another to woo Asian nations, and in Washington most recently to shore up the relationship with Washington. The globetrotting head of state has drawn criticism in the French press that he is deserting the home front.

    “He is everywhere, follows everything, but he’s mostly elsewhere,” quipped a French minister speaking anonymously.

    “[But] he’s been on the job for five years now, does he really need to follow the minutiae of every project? And the international pressure is very strong. Nothing is going well in the world,” the minister added.

    Before COVID-19 struck, Macron’s first term was marked by a brisk schedule of reforms, including a liberalization of the job market aimed at making France more competitive. The French president was hoping to continue in the same pragmatic vein during his second term, focusing on industrial policy and reforming France’s pensions system. While he hasn’t abandoned these goals, the failure to win a parliamentary majority in June has forced him to slow down on the domestic agenda.

    Foreign policy in France has always been the guarded remit of the president, but Macron is trying to flip political necessity into opportunity, delegating the tedium and messiness of French parliamentary politics to his Prime Minister Elisabeth Borne.

    There are few areas of global diplomacy where the president hasn’t pitched a French initiative in recent months — whether it’s food security in Africa, multilateralism in Asia or boosting civilian resilience in Ukraine. Despite some foreign policy missteps in his first term including the backing of strongman Khalifa Haftar in the Libyan civil war, Macron is now a veteran statesman, eagerly taking advantage of Europe’s leaderless landscape to hog the international stage.

    The French president’s full pivot to global diplomacy in his weakened second term at home is reminiscent of past leaders confronting turmoil on the domestic front.

    “The Jupiterian period is over. He’s got no majority,” said Cyrille Bret, researcher for the Jacques Delors Institute. “So now he is suffering from the Clinton-second-mandate-syndrome, who after the impeachment attempts over the Lewinsky [inquiry], turned to the international scene, trying to resolve issues in the Balkans, the Middle East and in China.”

    But even as Macron embraces the wide world, the pitfalls ahead are numerous. Photo ops with world leaders haven’t done much to slow the erosion of his approval ratings at home. With a recession looming in Europe and discontent over inflation and energy woes, Macron’s margins of maneuver are limited, and trouble at home might ultimately need his attention.

    Man about globe

    The French president first used the words “strategic intimacy” in October, when he told European leaders gathered in Prague they needed to work on “a strategic conversation” to overcome divisions and start new projects.

    If the thought of 44 European leaders cozying up wasn’t bewildering enough, Macron double-downed this month and called for “more strategic intimacy” with the U.S.

    It’s not entirely clear what kind of transatlantic liaison he was gunning for, but it certainly included a good dose of tough love. Arriving in Washington, Macron called an American multi-billion package of green subsidies “super aggressive.” (He nonetheless received red carpet treatment at the White House, with Joe Biden calling him “his friend” and even “his closer” — the man who helps him bring deals over the finish line — even if he didn’t actually obtain any concessions from the U.S. president.) 

    Some of Macron’s success in taking center stage is, of course, due to France’s historical assets: a permanent seat on the U.N. Security Council, a nuclear capacity, a history of military interventions and global diplomacy.

    But for the Americans, Macron is also the last dancing partner left in a fast-emptying ballroom across the pond. The U.K. is still embroiled in its own internal affairs and has lost some influence after Brexit, while German Chancellor Olaf Scholz hasn’t filled the space left by Merkel’s departure.

    While Macron’s abstract and at times convoluted speeches may not be to everyone’s liking, at least he has got something to say.

    “[The Americans] are looking for someone to engage with and there’s a lack of alternatives,” said Sophia Besch, European affairs expert at Carnegie Endowment for International Peace in Washington. “Macron is the last one standing. There’s his enthusiasm, and at the same time he is disruptive for a leader and not always an easy partner.”

    “He can count on some reluctant admirers in Washington for his energy,” she said.

    The French touch

    In his diplomatic endeavors, Macron likes a good surprise.

    “Emmanuel Macron doesn’t like working bottom-up, where the political link is lost,” said one French diplomat. “He enjoys surprising people and marking political coups.”

    “The [French bureaucracy] doesn’t really like that,” the diplomat added. “We prefer things that are all neat and tidy.”

    Conjuring up new ideas — such as the European Political Community — that haven’t quite filtered through the layers of bureaucracy is one of Macron’s ways of pushing the envelope. The newly christened group’s first summit was ultimately hailed as a success, having marked the return of the U.K. to a European forum and displaying the Continent’s unity in the face of Russia’s aggression against Ukraine.

    It’s a technique that forces the hand of other participants but sometimes undermines the credibility of his initiatives, and raises questions about what has really been confirmed. Launching the European Political Community may have been a success; announcing a summit between Russian President Vladimir Putin and the U.S. president a couple of days before the full-scale invasion of Ukraine less so. (The summit, obviously, never took place.)

    Macron’s diplomatic frenzy has also raised speculation that he is already gunning for a top international job for when he leaves the Elysée palace. Macron cannot run for a third term, and speculation is already running high in France on what the hyperactive president will do next.

    The question at the heart of Macron’s second term is whether his attempts to be everything and everywhere — combined with his stubborn dedication to controversial ideas — is what will ultimately trip him up.

    Even as Macron’s U.S. visit was hailed a success, with him saying France and the US were “fully aligned” on Russia, he sparked controversy on his return when he told a French TV channel that Russia should be offered “security guarantees” in the event of negotiations on ending the war in Ukraine.

    “That comment fell out of the line in relation to the coordinated message from Macron and Biden, which was that nothing should be done about Ukraine without Ukraine’s [approval],” said Besch.

    Macron says he wants France to be an “exemplary” NATO member, but he still wants France to act as a “balancing power” that does not completely close the door on Russia. It’s a stance that may help France build partnerships with more neutral states across the world, but it does nothing to mend the rift with eastern EU member states.

    For the man about globe who presents himself as the champion of European interests, that’s an uncomfortable place to be in.

    When it comes to “strategic intimacy,” it’s possible to have too many partners.

    Elisa Bertholomey and Eddy Wax contributed to reporting.

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  • El Arena: The Middle East’s underground battle rap competition

    El Arena: The Middle East’s underground battle rap competition

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    From: Witness

    As Beirut plunges into crisis, battle rappers from across the Arab world fight to keep their battle rap league alive.

    El Arena navigates the underground world of battle rap in the Middle East, revealing the stories of its most talented stars, as rappers from across the Arab world visit Beirut to compete against each other.

    In El Arena, they use their rapping skills to put on a show and playfully fight for a chance to be crowned king.

    Despite the economic crisis and the Beirut port explosion, El Arena paints a colourful picture of the region’s struggles through the poetry of some of its most talented battle rappers.

    El Arena is a film by Jay B Jammal.  

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  • The Turkish connection: How Erdoğan’s confidant helped Iran finance terror

    The Turkish connection: How Erdoğan’s confidant helped Iran finance terror

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    On March 22 of 2021, several of the world’s most dangerous men descended on Beirut’s historic seaside Summerland Hotel — not to swim in the Mediterranean or explore the sumptuous resort’s “Le Beach Pop Up,” but to talk Turkey.  

    The meeting was a secret one, between a delegation of senior Iranian military and government officials and a business group from Turkey led by a confidant of President Recep Tayyip Erdoğan. Both sides were keen to deepen their partnership smuggling Iranian oil to buyers in China and Russia to raise funds for Tehran’s terror proxies, according to Western diplomats. 

    A little more than a year after the meeting, all of the key attendees would find their names on U.S. sanctions lists, with one important exception: Turkish businessman Sıtkı Ayan, a friend of President Recep Tayyip Erdoğan — the two men attended the same high school — and the man at the center of it all.  

    The collaboration between a member of the Turkish president’s inner circle and Iran’s power elite is detailed in hundreds of pages of documents, including business contracts and bank transfers, reviewed by POLITICO, many of which have also been posted on WikiIran, an opposition website. 

    The U.S. sanctioned Ayan and his company late Thursday following the publication of this article, reversing months of inaction in the face of reams of evidence detailing the Turk’s dealings with the Iranians, including signed contracts and bank transfers. The U.S.’s reluctance to sanction Ayan, diplomats say, was driven by his close association with Erdoğan, a key American ally in the Middle East and beyond.

    “Ayan’s companies have established international sales contracts for Iranian oil with foreign purchasers, arranged shipments of oil, and helped launder the proceeds, obscuring the oil’s Iranian origin and the [Quds Force’s] interest in the sales,” the U.S. Treasury, which oversees the implementation of American sanctions, said in a statement.

    Neither Ayan’s nor Erdoğan’s offices responded to multiple requests for comment. 

    The case offers a window into the complicated dynamic between Iran, Turkey and the unique and influential role Erdoğan plays in the region as he oscillates from self-interested powerbroker to would-be mediator between the West, Russia and the Middle East, creating dependencies that often leave the United States and other allies with little choice but to let him have his way. 

    At a time when there’s a war in Ukraine and instability in the broader Middle East, Turkey’s relationship with Iran is also a reminder that the Turkish leader isn’t shy about using his leverage when and where he sees fit.

    The Beirut gathering attracted a rogue’s gallery of Iranian officials — including Rostam Ghasemi, a former oil minister and senior commander in Iran’s Islamic Revolutionary Guard Corps (IRGC), and Behnam Shahriyari, a gun runner for the Quds Force, the guards’ affiliate that trains and finances Iran’s terror proxies in the Middle East.   

    Yet the key figure was Ayan, a bespectacled Turkish businessman. The Iranians were keen to deepen their burgeoning cooperation with Ayan, the chairman of Istanbul-based ASB Group, a globe-spanning energy conglomerate that buys, sells and transports oil, gas, electricity and much more.  

    With the help of ASB, Tehran’s regime has circumvented U.S. sanctions to funnel about $1 billion to its terror proxies since 2020, according to Western diplomats and documents detailing his company’s dealings reviewed by POLITICO. The primary beneficiary of the oil sales is the Quds Force, which uses the money to pay mercenaries and fund groups such as Lebanon’s Hezbollah, which has been designated as a terrorist organization by both the U.S. and EU, the diplomats said.  

     “Sitki Ayan serves currently as the head of Quds Force’s largest financial network in Turkey and possibly the entire world,” one of the officials said.  

    Shared background  

    What makes Ayan’s entanglement with the Quds Force even more surprising, however, is his close relationship to Erdoğan.

    Erdoğan and Ayan hail from the same background. They both attended Istanbul’s İmam Hatip religious high school and developed a relationship that would prove beneficial for both men as they navigated their careers in politics and business, respectively. It was Ayan, for example, who helped his old friend conceal his ownership of the “Agdash,” a $25 million oil tanker Erdoğan and his family received as a gift from a wealthy benefactor in 2008, according to confidential Maltese financial records uncovered by European Investigative Collaborations, a reporting consortium, in 2017.  

    In 2014, Ayan’s name made headlines across Turkey after the release of secretly recorded calls, purportedly between the Turkish president and his son Bilal Erdoğan, including one in which the elder Erdoğan said they should demand more money from a “Mr. Sıtkı” than the $10 million they’d been offered. The Turkish leader dismissed the call as an “immoral montage,” implying it was fake, but the recording helped trigger a wave of protests, scrutiny of his ties to Ayan and even calls for his resignation. 

    At the time, Ayan was still hopeful that a €1 billion contract he’d signed with Iran in 2010 to build a 660-kilometer-long pipeline to transport Iranian gas across Turkey to Europe would come to fruition (It was ultimately thwarted by U.S. sanctions).  

    While it’s not clear whether Erdoğan was aware of the extent of his friend Ayan’s engagement with the Iranians, Western diplomats say it’s difficult to believe he could not have been, considering the nature of his business dealings and the involvement of high ranking Iranians.  

    Given the two men’s history — Ayan is also close to the president’s brother, Mustafa Erdoğan — Western diplomats say they do not believe that Ayan would be pursuing his ongoing business with Iran without the tacit knowledge and approval from Erdoğan.  

    A lawyer for ASB and Ayan declined to comment. The Turkish government did not reply to requests for comment.  

    Unlikely bedfellows 

    At first glance, the regional rivalry and religious feuds between Turkey and Iran would make them unlikely bedfellows, especially considering Turkey’s alliance with the U.S. as a member of NATO. The two are also on opposite sides of a number of armed conflicts in the region from Libya to the South Caucasus. Yet as neighbors with deep historic and ethnic ties, the two countries also have many shared interests, from combating Kurdish separatism to keeping Saudi Arabia in check. 

    Turkey and Iran are also economically intertwined. Turkey is one of Iran’s largest trading partners, for example, and relies on Iranian energy imports. Turkey is also the top tourist destination for Iranians, many of whom also own property in the country. 

    Highlighting the importance of those ties, Erdoğan traveled to Tehran in July to meet with Iranian President Ebrahim Raisi. The two countries planned to quadruple their bilateral trade to $30 billion, Erdoğan said, adding that the goal could be achieved “with the resolute march of the two countries.” (The Turkish leader also underscored the need to combat “terrorist organizations,” but referred only to Kurdish separatists and the Gülen movement.) 

    The fluid relationship between Iran and Turkey aligns with a broader dynamic in the region, which is more akin to medieval Europe with shifting alliances, says Behnam Ben Taleblu, an analyst at the Washington-based think tank Foundation for Defense of Democracies. As Washington devotes less attention to the Middle East and big countries such as Saudi Arabia increasingly assert themselves, opportunism has increasingly become the norm. 

    “The folly here is to see the relationship between Turkey and Iran as one of permanence,” Taleblu said. “It’s a story of change. Sometimes they have shared interests and sometimes they’re on other sides.”  

    Indeed, Turkey has helped its neighbor circumvent the sanctions pressures it has faced in the past, acting effectively as “a valve to help the Islamic Republic breathe,” Taleblu said. 

    ‘Maximum pressure’ 

    Though Ayan’s engagement with Iran stretches back more than a decade, his recent cooperation with the IRGC and Quds was triggered by then U.S. President Donald Trump’s decision in 2018 to withdraw the United States from a nuclear accord with Tehran, which afforded the regime relief from most international sanctions as long as it allowed the United Nations to monitor its nuclear activities.  

    Washington’s move meant that Iran again faced the brunt of U.S. sanctions, and its already-flagging economy came under even more pressure. The regime faced particular difficulty in accessing the foreign currency it needed to fund foreign operations.

    On its face, the solution sounded simple: Allocate them oil instead. Oil can be sold for hard cash and Iran has plenty of it. The difficulty was setting up a system that could circumvent Trump’s “maximum pressure” sanctions regime.  

    To work around that challenge, Ghasemi, the former oil minister, set up an operation dubbed Pour Ja’afari tasked with selling oil for Quds Force and the IRGC to China, which was in theory happy to buy Iranian oil at a discount.

    Getting it there was going to be a problem, however. American sanctions don’t just make it difficult for Iran to find anyone to ship the oil; the reluctance of foreign banks to get anywhere near Iranian transactions, much less those involving illicit oil, meant that the deals would have to go deep underground.  

    The oil would have to be blended to disguise its provenance; documents forged; and, most important, a mechanism developed to get revenue from the sales to the intended recipient.  

    That’s where ASB came in. With operations in more than a dozen countries, Ayan’s conglomerate offered the perfect cover.

    Destinations: China and Russia  

    It’s not clear why Ayan agreed to collaborate with Ghasemi and Quds, but according to a “strictly confidential” memo of understanding signed by both Ayan and Ghasemi on November 19, 2020, and seen by POLITICO, he did. (Ghasemi died on Thursday after a “long struggle with illness,” according to Iranian media reports.)

    “The parties have agreed to cooperate for the purpose of establishing a shipping operation to transport RG’s crude oil from the ports of North Dubai to China,” reads the document, which uses each man’s initials after first reference. “North Dubai” is code for Iran, said a Western official who has reviewed the documents and determined them to be authentic.  

    Under the agreement ASB subsidiaries Baslam Nakliyat and Baslam Petrol, which ship oil around the world, were tasked with leasing tankers to send the oil to China.   

    “Baslam Petrol and/or Baslam Nakliyat shall endeavor to arrange two suitable VLCC tankers to transport various types of crude oil from any port of North Dubai to the nominated discharge port(s) in China,” the agreement says under the heading “Option 1” (“VLCC” stands for very large crude-oil carriers, i.e. tankers that can carry more than 2 million barrels of oil.).  

    Ghasemi also had discretion to exercise “Option 2,” which required ASB to hire two tankers to ship the oil to Malaysia, where it would be transferred to different tankers, presumably to better disguise the oil’s origin, before final delivery to China.  

    The Chinese buyer of the oil was a company controlled by the country’s military called Haokun Energy, according to the documents. In late 2020, ASB and Haokun signed agreement for the delivery of Iranian oil worth about $2 billion a year. Of that, about $500 million was earmarked for Quds Force, the diplomats said.  

    To mask the true nature of the deals, ASB helped route them through a complicated network of international front companies and banks from India to Russia and UAE. It sometimes used its own bank in Istanbul, Vakıf Katılım Bankası, which transferred at least $80 million to accounts controlled by Shahriyari, the Quds Force commander, according to the Western diplomats and bank records viewed by POLITICO. There is no indication that Vakıf knew the money was going to the Quds Force. A representative for Vakıf Katılım Bankası did not respond to multiple requests for comment.

    Many of the transfers were denominated  in dollars or euros, meaning that they were settled by European banks, such as Frankfurt-based Commerzbank, or J.P. Morgan in the U.S. There’s no evidence that the Western banks involved were aware of the Iranian connection to the deals, which would constitute a violation of U.S. sanctions.

    In addition to its business with China, Tehran set up a second pillar for its illicit oil trade with Russian partners who act as brokers for the Iranian crude. Here too, Ayan’s ASB served as the legitimate face of the operation, using its subsidiaries and banks to help unload Iran’s oil and filter back the profits to Quds Force and the IRGC through a network of front companies. 

    While broadly similar to the Chinese network, the Russia channel, led by a separate Tehran-based office called Resistance Economy, also relied on barter for payment. Staples such as wheat, sugar and sunflower seed oil, are exempt from U.S. sanctions. That made it easier for Russian buyers to camouflage their oil payments, which generally account for half the total bill, as humanitarian aid or other goods that don’t run afoul of the sanctions regime.  

    The arrangement means Iranian outfits like Quds Force get the foreign currency they need, while also giving the regime better access to foodstuffs and other goods that are in short supply.  

    Ultimately the cash ended up in accounts in Turkey or UAE, where it could be withdrawn by Quds Force operatives and distributed to the likes of Hezbollah or Yemen’s Ansarallah.  

    Doubling down  

    By the time Ayan met with Ghasemi and Shahriyari in Beirut in March 2021, the partnership had been so successful that Tehran wanted to double down.  

    Just a day after the gathering in Beirut, the National Iranian Oil Company (NIOC) and ConceptoScreen, a Lebanon-based company controlled by Hezbollah, signed a new deal with Haokun to send oil to China, according to the documents viewed by POLITICO.  

    The early success of the arrangement, however, appears to have bred complacency. In an early March 2021 amendment to a previous contract signed between the three, the references to oil from “North Dubai” were replaced with “Iranian light crude oil.”  

    Several months later, on August 25, Ayan signed a “Sale and Purchase Services Provider Agreement” with Azim Monzavi, Ghasemi’s successor as head of the Pour Ja’afari operation. The contract, signed by both Monzavi and Ayan, makes clear the Turkish company’s obligation to sell Iranian oil “in its own name” in return for a “service fee.”   

    The force majeure clause (commonly included in contracts to account for events beyond a party’s control, such as a hurricane, that would prevent them from fulfilling their obligation) concludes: “It is fully understood that sanction is not included.”  

    The arrangement held for less than a year.  

    On May 25, the U.S. Treasury slapped sanctions on several individuals involved in what it called an “international oil smuggling and money laundering network,” including Monzavi (Ghasemi was already on the sanctions list). A number of the companies in the scheme were also designated, including China’s Haokun and ConceptoScreen of Lebanon as well as several actors and companies working through Russia.  

    “We will not hesitate to target those who provide a critical lifeline of financial support and access to the international financial system for the Quds Force or Hezbollah,” said Brian E. Nelson, under secretary of the Treasury for terrorism and financial intelligence. “The United States will continue to strictly enforce sanctions on Iran’s illicit oil trade. Anyone purchasing oil from Iran faces the prospect of U.S. sanctions.”  

    Despite several further rounds of sanctions since May against others involved in Iran’s underground oil business, the one name conspicuously not on the list — until this article was published — was Sıtkı Ayan.   

    Turkish leverage

    The reality is, the U.S. needs Turkish support on multiple fronts, especially in the Black Sea amid the war in Ukraine. Turkey is also blocking the NATO membership applications of Sweden and Finland, demanding concessions from both countries, including the lifting of a Finnish arms embargo against Ankara. What’s more, when provoked, Erdoğan has shown his willingness to strike back, by sending refugees across the border into Greece, for example.  

    Even so, Washington appears to have determined that Ayan had no intention of halting his dealings, despite the recent crackdown on his business partners.

    In late August, he struck a deal on behalf of NIOC, the Iranian oil company, to sell up to four million barrels of crude per month to China’s Qingdao Deming Petrochemical Co. Ltd.  

    The contract, arranged by middlemen registered in the Marshall Islands, is stamped “Strictly Private & Confidential” in red letters. While it is vague on the provenance of the oil (“Omani light or Abu-Dhabi light or Fujairah light”), the seller betrays its true origin: “NIOC designated company.” 

    Resistance Economy, the Quds Force smuggling operation focused on Russian brokers, also remained active.

    Complicating matters further for the U.S., the Iranians have proved nimble in handling complications in Ayan’s network.

    After Greek authorities detained one of the Russian-owned tankers Resistance Economy relies on for its oil trade in April at the request of the U.S., for example, Quds Force responded by sending commandos to hijack two Greek tankers in the Gulf in May and then sailing them to Iran. 

    In November, Greece agreed release the Russian tanker, known as Lana and flying an Iranian flag, along with the Iranian crude onboard in order to free its own ships. Last Friday, the Lana sailed into the Syrian port of Banias and unloaded its payload of more than 700,000 barrels of Iranian crude. 

    The episode may help explain why Ayan continued his business with Quds Force amid the intensifying U.S. pressure. 

    “It’s lucrative and almost risk-free,” one of the diplomats said before Treasury sanctioned Ayan and ASB.

    Almost. 

    UPDATED: This article was updated after the U.S. sanctioned Ayan and his company late Thursday following its publication.

      

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  • Stray bullet hits plane landing in Beirut, no casualties

    Stray bullet hits plane landing in Beirut, no casualties

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    BEIRUT — A stray bullet hit a Middle East Airlines jet while landing in Beirut on Thursday, causing some material damage. No one among the passengers or crew was hurt, the head of the Lebanese airline company said.

    The jet was landing on its way back from Jordan when the bullet hit the plane, said Mohamad El-Hout. He told reporters that Beirut’s Rafik Hariri International Airport often faces such incidents, in addition to birds that fly in the area, endangering aviation.

    The bullet hit the roof of the jet and lodged inside the plane, airport officials said.

    Legislator Paula Yacoubian was apparently on the plane and tweeted that “illegal weapons” should be banned. She posted a photo from inside the plane showing a bullet hole over the baggage hold, adding that she will give further details during a TV talk show later in the evening.

    Shooting in the air is common in Lebanon, where people often open fire to celebrate passing schools or university exams, as well as during weddings and funerals. Such shootings also tend to follow when the country’s political leaders give speeches.

    It is also common for Lebanese to have pistols and automatic rifles at home, many of them left over from the country’s 1975-90 civil war.

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  • Decades of Black history were lost in an overgrown Pennsylvania cemetery until volunteers unearthed more than 800 headstones | CNN

    Decades of Black history were lost in an overgrown Pennsylvania cemetery until volunteers unearthed more than 800 headstones | CNN

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    North York, Pennsylvania
    CNN
     — 

    Before she became one of America’s most-decorated Special Olympics athletes, before the made-for-TV movie and the shared stages with actor Denzel Washington and Presidents Bill Clinton and Barack Obama, Loretta Claiborne was a great-granddaughter – of one Anna Johnson.

    Johnson died mysteriously after the 1969 race riots in Claiborne’s hometown of York. The 84-year-old was buried in North York’s Lebanon Cemetery – which, until the mid-1960s, was one of the only graveyards in the area where African Americans could be interred.

    In 2000, hoping to draw attention to the curious circumstances surrounding her great-grandmother’s death, Claiborne visited the cemetery, trying to locate Johnson’s gravestone.

    She couldn’t find it. Gravity had pulled it into the earth as the cemetery fell into disrepair over the years.

    Not until two decades later did Claiborne learn that a group of volunteers called Friends of Lebanon Cemetery had found Johnson’s grave marker. Co-founder Samantha Dorm had read about Claiborne’s fruitless attempts to find the headstone, and her group invited the multi-sport gold medalist to visit her great-grandmother’s resting place.

    But when Claiborne arrived, she found the stone filthy and barely protruding from the dirt. The H in Johnson was missing.

    “They buried her and didn’t have the (respect) to spell her name right,” Claiborne, 69, told CNN. “That’s pretty poor. I was elated that I was able to find her grave, but I was not elated to see how it wasn’t respectful to her.”

    The Friends group was originally told there were 2,300 people in the historic Black cemetery. In the more than three years they’ve been working, they’ve found at least 800 buried headstones in the cemetery, many previously undocumented. Most were a few inches beneath the surface, some a few feet.

    Cemetery records, newspaper articles and ground-penetrating radar now indicate more than 3,700 souls rest at Lebanon – many of them tightly situated, leaving geophysicist Bill Steinhart, who has surveyed most of the cemetery, to say, “If they’re not touching, they’re nearly touching.”

    Through research and genealogy efforts, Friends of Lebanon Cemetery also have unearthed the stories of everyday folks – schoolteachers, factory workers, chefs and barbers – who helped York thrive. They lie alongside more prominent figures, including Underground Railroad agents, suffragettes, Buffalo soldiers, a Tuskegee Airman and other veterans. Together, they connect York’s robust history to overlooked chapters of the American biography.

    Dorm has since heard of many cemeteries like the 150-year-old Lebanon, forsaken because those buried there were deemed unimportant. Congress is aware. The proposed African American Burial Grounds Preservation Act, a bipartisan bill sponsored by Sens. Sherrod Brown and Mitt Romney, would provide funding to identify and preserve cemeteries like this one.

    “For too long these burial grounds and the men and women interred there were forgotten or overlooked,” Brown said in a statement. “Saving these sites is not only about preserving Black History, but American history, and we need to act now before these sites are lost to the ravages of time or development.”

    Meep-meep!

    Friends co-founder Tina Charles waved a metal detector over the dirt along Lebanon Cemetery’s northern treeline. Meep-meep!

    The cemetery sits amid middle-class houses and townhomes, many bearing architectural elements of the late 19th and early 20th centuries. Catacorner is the Messiah United Methodist Church, built in the 1950s, and behind that the sprawling Prospect Hill Cemetery, home to two Medal of Honor recipients and several White congressmen. On the north side of Lebanon sits a strip mall and the parking lot of a shuttered church.

    Lebanon Cemetery dates to the 19th century and is the final resting place for more than 3,000 African Americans.

    A cleanup effort drew a diverse group on a Saturday in mid-August. One gentleman walked over from a nearby neighborhood. Others arrived in cars, joining family members, Rotarians, Legionnaires and the current and former mayor.

    Three dozen volunteers, men and women of all ages, pried headstones – many of them sunken or shrouded in tall grass – from the ground. Some employed a flat-head tamping bar, nicknamed “Trooper.” They scrubbed down markers, poured drainage gravel beneath them and leveled them off.

    Charles summoned volunteers to explore the ground beneath the metal detector. They soon hit paydirt, extracting the heart-shaped grave marker of Carrie E. Reed, who died in 1926. Charles, who cites esoterica about the cemetery like a savant, whipped out her phone. In minutes, she learned Reed hailed from West Virginia and that her brother died in an auto wreck. Reed’s husband, Harry, is in Lebanon, too, though Charles was unsure where.

    “Most of the heart ones are down by George Street,” Charles said, pointing down the hill, across the fresh-mowed grass, past the military flags. “This (part of the cemetery) wasn’t here in 1926, so that’s where she belongs.”

    A Friends of Lebanon volunteer removes mildew from a headstone during a recent cleanup day.

    She pondered why the 23-year-old’s gravestone was so far away from her father. Mack Winfred, his gravestone misspelled Windred, lies a couple hundred feet away. How were they separated? Vandals? Hard to say given the years of neglect, but Charles, Dorm and co-founder Jenny De Jesus Marshall vow to find out more about Reed.

    Minutes after Reed’s headstone was found, another group was hatching a plan. Pfc. Floyd Suber’s headstone had slipped about 2 feet into the earth, leaving only his name, rank and company visible.

    Volunteers fashioned a pulley out of thick yellow webbing and an old truck tire and heaved the marble stone from the ground. As a woman scrubbed away the soil caked to the bottom half, details of Suber’s life emerged: He was a World War I vet, one of more than 70 in the cemetery. He belonged to the 807th Pioneer Infantry Division, formed at New Jersey’s Camp Dix, one of 14 African American units that served overseas and one of seven to see combat.

    Volunteers excavate the  headstone of Pfc. Floyd Suber, a World War I veteran.

    The group gave itself a cheer and posed by Suber’s grave for photos. One volunteer called Dorm over to recount their ingenuity.

    “That was awesome. It took a village,” said Joan Mummert, president of the York County History Center, who’d dropped in to help. She offered high praise for the Friends group, telling CNN they’ve memorialized little-known or forgotten people and given York an “expansive understanding of how people lived, their families, neighborhoods and achievements.”

    Dorm, 52, is a public safety grant writer. Growing up, she was a whiz in school. Numbers came so naturally that she did math in her head and was accused of cheating because she hadn’t shown her work. Yet one subject flummoxed her.

    “History was the one class I had to study for,” she said. “I didn’t know when the War of 1812 was. I really did not know, because it wasn’t relevant to me.”

    In March 2019, her family gathered for the funeral of her great uncle, but the ground was so rutty and pocked with groundhog holes that they struggled getting his wife’s wheelchair graveside. They eventually prevailed because “she would not be deterred from being near her husband,” Dorm said.

    This one-time guest house for Black travelers was owned by Etha Armstrong, a historical figure buried at Lebanon.

    Dorm had always visited the cemetery. Her paternal grandparents and great-grandparents are there, and she’d deliver flowers on Mother’s Day and other occasions. A couple of year before her father died in 2021, she learned he’d quietly visited the cemetery for years, tending to the family’s graves.

    “It’s part of why I do what I do,” she said.

    Her pride in York was palpable as she led a CNN reporter through downtown, explaining how its Quaker population and the nearby Mason-Dixon Line made the city a vital layover on many former slaves’ journeys to the abolitionist strongholds of Lancaster and Philadelphia.

    York is thick with history, and many handsome downtown buildings date back to the mid-1700s. It served briefly as the US capital, and the Continental Congress drafted the Articles of the Confederation in York. The famed York Peppermint Pattie was born here, as was the York Barbell company.

    But Dorm focused on the lesser-told history: York had its own Black Wall Street, like Tulsa, Oklahoma’s, she said, beaming. She showed off Ida Grayson’s home, which was featured in “The Negro Travelers’ Green Book,” and the former site of the city’s first “colored school” helmed by educator James Smallwood, who is buried at Lebanon.

    Unveiled in August was a statue of William Goodridge, a former slave turned prominent businessman. The bronze likeness now sits before his downtown home, where he hid slaves escaping via the Underground Railroad. One of the more famous “passengers” was abolitionist John Brown’s lieutenant, Osborne Perry Anderson, the only African American to survive Brown’s 1859 raid on Harper’s Ferry. Goodridge helped usher Anderson to safety, historians say.

    A statue of William Goodridge sits outside his former home in  downtown York.

    Grandson Glen Goodridge shares a tombstone with his mother and wife at Lebanon. For three years, the Friends searched for the grandson of another Underground Railroad conductor, Basil Biggs of Gettysburg. The grandson, also named Basil, was buried at Lebanon, but his headstone remained elusive until this year, when volunteers found it buried next to Goodridge’s – literally two steps away. Was it intentional?

    Regardless, Dorm and the team were delighted to find the grandchildren of two beacons of freedom resting for eternity alongside each other.

    Dorm walked through Lebanon beneath a cloudless sky, reeling off more luminaries whose gravestones or stories the Friends have discovered.

    There’s Mary J. Small, the first woman elected elder of the AME Zion Church. Over there is the Rev. John Hector, “the Black Knight” of the temperance movement. Here lies William Wood, who helped build inventor Phineas Davis’ first locomotive engine.

    Here is the county’s first Black elected official, and there is York’s first Black police officer – a short walk from the city’s first Black physician, George Bowles, who also had a taste for baseball and helped manage the minor-league York Colored Monarchs. Several Monarchs enjoyed success in Black professional baseball, including Hall of Fame infielder, manager and historian Sol White, who later was a pioneer of the Negro Major Leagues.

    Dorm’s family is steeped in military history – after beginning work at Lebanon, she learned one of her grandfathers fought in World War II – so she never forgets the veterans. She’s presently seeking sponsors for Wreaths Across America to include Lebanon’s more than 300 veterans in the nonprofit’s mission to adorn graves at Arlington National Cemetery and 3,400 other locations.

    Among those Dorm would like honored are 2nd Lt. Lloyd Arthur Carter, a Tuskegee Airman; buffalo soldier George B. Berry, who was part of the Ninth Cavalry sent to Mexico in search of Pancho Villa; and the Rev. Jesse Cowles, who escaped slavery in Virginia and fought with Union forces at age 15 before making a name for himself as a minister.

    Despite this rich history, Lebanon remains a work in progress. Last month, volunteers found six more headstones, three belonging to Dorm’s relatives. She joked that her great-granddad, whose grave marker she’s still searching for, was “pushing others to the front of the line to keep me motivated.”

    “It’s been crazy, in part, because I thought I was related to six or seven people in the cemetery, and now it’s more than 100 – six generations on two of my lines,” she said. “There’s a running joke when we find someone: ‘Oh, Sam’s probably your cousin.’”

    Mary Wright, Bill Armstrong, Amaya Pope and Dwayne Cowles Wright, from left, tidy family members' gravestones.

    Dorm’s disdain for history is no more. She’s quick to recount her own, how her relatives were among a group of 300 who migrated to York from Bamberg, South Carolina, to help fix roads – at a time when African Americans weren’t allowed in the city’s taverns and movie houses.

    And she definitely knows when the War of 1812 unfolded. At least two of its veterans are buried in Lebanon.

    Among the volunteers for the August cleanup were three generations of Armstrongs. Along with siblings Bill Armstrong and Mary Armstrong Wright were Mary’s son, Dwayne Coles Wright, visiting from Georgia, and his daughter, Amaya Pope, 13. Dwayne, who used to make monthly visits to Lebanon as a kid, said it’s important for Amaya to know the legacy of her “ancestors whose shoulders we’re standing on.”

    Asked what brought her to the cemetery, Mary Armstrong replied simply: family.

    “It’s an old cemetery,” she said, “and we try to keep it going. It means a lot to me, and it means a lot to a lot of people. Some have gone on. Some can’t be here. I’d want somebody to do it for me, too.”

    Bill Armstrong drove 90 minutes from Silver Spring, Maryland, to join the effort. With hand shears, he snipped at the shaggy grass obscuring the gravestone of Etha Carroll Cowles Armstrong, his grandmother, as he listed relatives spanning four generations resting at Lebanon. The family is still seeking two of its patriarchs, he said, and only last year did they find his great aunt, Clara, her gravestone misspelled “Coweles.”

    That the cemetery fell into such disrepair is “somewhat disheartening and disturbing,” he said, “but I got beyond the hurt because I can’t control what folks do and don’t do. I’ve come to accept the fact that at least I know they’re in here someplace.”

    Renee Crankfield, 55, has been visiting Lebanon since she was a child and used to cut through the cemetery to get to the store.

    “I knew where all the graves were back then, and as we got older we couldn’t find the graves anymore,” she said, explaining that she and her mother wondered for years where Crankfield’s sister was buried (she’s since been located).

    Volunteers recently found the grave marker for her great-great uncle, Whit Smallwood, not far from a groundhog hole big enough to swallow a man’s leg. But Crankfield can’t point to the precise location of her father Ervin “Tenny” Banks’ grave, which was never marked after he died in 2007.

    “We didn’t have much for a headstone, but we’re going to get that,” she said. “Dad is near my sister, but we’re not sure where. Tina (Charles) knows. I would love to find him and put a marker there.”

    Crankfield’s mother intends to be buried there, in a plot Banks purchased years ago. Perhaps they can share a headstone, Crankfield said, reminiscing how her father cherished not only his six children but all the neighborhood kids so much that he’d pile them into the bed of his green pickup truck and take them cruising in the country.

    “He was our world,” she said.

    Renee Crankfield, who has generations of her family buried in the cemetery, helps carry drainage gravel.

    Crankfield, like the Armstrongs, says it’s important to keep legacies alive through stories told across generations.

    “Our future depends on our children knowing their history, knowing where their families came from. We have a duty to keep that up, so their children’s children can maintain that,” she said. “It’s important that we let them know who they are.”

    The youngsters in attendance get it. Amaya Pope said it “felt really accomplishing” to work on the graves and that she felt a closer connection to her family afterward.

    “I think it was real cool knowing about my ancestors and where they came from and hearing their stories,” the eighth-grader said.

    Claiborne, the Special Olympics athlete, never learned how her great grandmother died.

    Weeks after the 1969 race riots cooled to a simmer, Anna Johnson was found that September face down in Codorus Creek, near a city park. She had bruises and signs of trauma. Her dress was bunched around her waist. Some of her clothing was strewn along the creek bank. Her purse and shoes were in the park, macerated by a lawnmower.

    Authorities ruled Johnson died from a heart attack, which Johnson’s family never bought. In 1999, detectives reopened the 30-year-old cold cases of a police officer and a divorced mother visiting from South Carolina, both fatally shot in the riots.

    They quizzed Claiborne and two of her siblings on Johnson’s killing. Claiborne said her family was told back in 1969 to go along with the heart attack ruling because city leaders feared news of another murder might reignite the summer’s racial violence.

    Investigators ultimately chose not to reopen Johnson’s case, citing lack of evidence, Claiborne said.

    “The whole thing just really, to this day, has shocked me, but life goes on,” said Claiborne, who was 16 when Johnson was killed. “We’ll never find out how she died, but God never misses a move or slips a note.”

    Claiborne has traveled the world collecting medals in running, bowling and figure skating, despite being born partially blind and with clubbed feet. She’s finished more than two dozen marathons, holds three honorary doctorates, earned a black belt in karate, accepted the Arthur Ashe Award for Courage at the 1996 ESPYs and has appeared on Oprah Winfrey’s show.

    Today, she serves on the Special Olympics’ board of directors and is the games’ chief inspiration officer.

    But York remains home. Claiborne still travels to North York to visit Johnson, along with her mother and grandmother, who reside on the opposite side of the cemetery near its main entrance. One day, she’d like to join them.

    “That’s where I’m going to be buried, if God’s willing,” she said.

    Correction: A previous version of this story included a mobile graphic that incorrectly identified an image of Etha Armstrong.

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  • Lebanese President Aoun leaves office amid political uncertainty

    Lebanese President Aoun leaves office amid political uncertainty

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    President Michel Aoun leaves office a day earlier than when his six-year mandate ends as parliament fails to agree on his successor.

    Lebanon’s President Michel Aoun has vacated the presidential palace with no successor in line to replace him as the divided country struggles to recover from a years-long financial crisis.

    Addressing his supporters outside the Baabda presidential palace in Beirut on Sunday, the 89-year-old Christian leader, who took office in 2016, said the Middle East country was entering a new “chapter which requires huge efforts”.

    “Without these efforts, we cannot put an end to our suffering. We cannot bring our country back on its feet. We cannot salvage Lebanon out of this deep pit,” he said in front of cheering supporters, leaving a day earlier than when his mandate ends.

    Lebanon’s parliament has so far been unable to agree on who would take over the role – which has the power to sign bills into law, appoint new prime ministers and greenlight government formations before they are voted on by parliament.

    Lebanon has been governed by a caretaker cabinet as the prime minister-designate, Najib Mikati, has been trying for six months to form a government.

    ‘An unlucky president’

    Al Jazeera’s Ali Hashem reporting from Baabda said people in the country had “mixed feelings” over Aoun’s six-year rule.

    “Supporters of Michel Aoun say he was an unlucky president. His rivals … say he had failed and was a big disappointment,” Hashem added.

    “The era of Michel Aoun that will end on Monday will always be remembered for the blast at Beirut port in 2020 … and also the financial crisis and the protests that started in 2019. These are the main aspects of his legacy.”

    More than 220 people were killed and about 6,500 injured in the 2020 explosion. Some 300,000 homes were damaged or destroyed.

    The 2019 financial meltdown pushed more than 80 percent of the population into poverty and prompted the most widespread anti-government protests in recent history.

    Aoun is a deeply divisive figure, adored by many Christians who viewed him as their defender in Lebanon’s sectarian system but accused by critics of enabling corruption and helping the Shia armed group Hezbollah gain influence.

    Supporters of outgoing Lebanese President Michel Aoun gather to say farewell to him near the presidential palace in Baabda, Lebanon, October 30, 2022 [Aziz Taher/Reuters]

    He secured the presidency in 2016, endorsed by both Hezbollah and rival Maronite Christian politician Samir Geagea in a deal that brought then-leading Sunni politician Saad al-Hariri back as prime minister.

    In his final week in the palace, he signed onto a US-mediated deal delineating Lebanon’s southern maritime border with Israel.

    The son of a farmer from a Beirut suburb, Aoun’s path to the presidency began in the 1975-90 civil war, during which he served as commander of Lebanon’s army and head of one of the two rival governments.

    He returned to Beirut after 15 years in exile, after Syrian forces withdrew under international pressure following the 2005 assassination of former Prime Minister Rafik al-Hariri.

    In 2006, his Free Patriotic Movement party formed an alliance with Hezbollah, which lent important Christian backing to the armed group. In his interview with the Reuters news agency, Aoun credited Hezbollah for its “useful” role in acting as a “deterrent” against any Israeli attacks during the maritime border talks.

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  • Israel and Lebanon finalize maritime border deal

    Israel and Lebanon finalize maritime border deal

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    Israel and Lebanon finalize maritime border deal – CBS News


    Watch CBS News



    Israel and Lebanon have reached a maritime border agreement centered around gas fields. Hanin Ghaddar, a Friedmann Fellow with the Washington Institute for Near East Policy, breaks down the deal.

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  • Israel, Lebanon sign US-brokered maritime border deal

    Israel, Lebanon sign US-brokered maritime border deal

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    The two neighbours have no official relations, but a maritime agreement opens up the possibility for exploitation of reserves in the gas-rich Mediterranean Sea.

    Israel and Lebanon have officially approved a historic United States-brokered agreement laying out their maritime boundary for the first time, which opens up the possibility for both countries to conduct offshore energy exploration.

    Lebanon’s President Michel Aoun signed a letter at the presidential palace on Thursday morning that will be submitted to US officials at Lebanon’s southernmost border point of Naqoura later in the day.

    Top Lebanese negotiator Elias Bou Saab said the deal, which ends a long-running maritime border dispute in the gas-rich Mediterranean Sea, marked the beginning of a “new era”.

    Israel’s government also ratified the agreement on Thursday, a statement from Prime Minister Yair Lapid’s office said.

    Lapid said the deal was a “political achievement” for Tel Aviv as “it is not every day that an enemy state recognises the State of Israel, in a written agreement, in front of the entire international community”.

    The agreement comes after months of indirect talks mediated by Amos Hochstein, the US envoy for energy affairs.

    The two countries have no diplomatic relations and have formally been at war since Israel’s creation in 1948.

    Beirut has sought to avoid framing the agreement as normalisation with Israel, insisting that another annexe scheduled to be signed by both sides at the UNIFIL headquarters in Naqoura later on Thursday be signed in separate rooms.

    The deal is expected to come into force later on Thursday, after US representatives at the United Nations peacekeeping mission officially announce its approval by both sides.

    With the Lebanese economy in complete collapse, Beirut sees the demarcation of the maritime border along Line 23 as an opportunity to unlock foreign investment and lift the country out of its spiralling economic crisis.

    Lebanon’s foreign minister Abdallah Bou Habib told Al Jazeera that “the Lebanese people have great hope that their country will become a gas-producing country”.

    He noted, however, that it will take time for Lebanon to begin extracting gas and that gas reserves in its offshore reservoir have yet to be proven.

    Bou Habib confirmed reports that the Lebanese government had awarded French oil firm TotalEnergies temporary control of a previously disputed offshore gas block.

    “TotalEnergies and its partners must start work in the areas agreed upon with the Lebanese government, namely block Number 9 in the Qana field,” he said.

    Under the terms of the deal, Israel received full rights to explore the Karish field, which is estimated to have natural gas reserves of 2.4 trillion cubic feet (68 billion cubic metres).

    In turn, Lebanon received full rights in the Qana field but agreed to allow Israel a share of royalties through a side agreement with the French company TotalEnergies for the section of the field that extends beyond the agreed maritime border.

    Critics of the deal have said it does little to address the issue of profit distribution but defers agreeing on what royalties Israel will get from the Qana field to a future date.

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  • Israel greenlights Karish gas production ahead of Lebanon deal

    Israel greenlights Karish gas production ahead of Lebanon deal

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    The announcement comes before an historic maritime border agreement with Lebanon is expected to be signed on Thursday.

    Israel has given a hydrocarbon company permission to start operations at Karish, an offshore field at the heart of a maritime border agreement expected to be signed soon with Lebanon.

    A statement from the energy ministry on Tuesday said it had given the London-based Energean “the approval to begin producing natural gas from Karish”.

    Energean has said that its floating production storage and offloading vessel is due to start production at Karish in the third quarter but has not given a precise date.

    Israel and Lebanon agreed earlier this month to set a maritime border for the first time and establish a mechanism for both countries to explore offshore gas fields.

    That is despite the two neighbours having technically been at war for decades, although the last active conflict was in 2006.

    The US-brokered deal is expected to be finalised on Thursday during a ceremony in the Lebanese town of Naqoura, with delegations from Israel and Lebanon signing the deal in separate rooms.

    Under its terms, Israel retains full rights to develop the Karish field while Lebanon retains full rights in nearby Qana.

    As Qana extends southward across a border known as Line 23, Israel will be entitled to a share of royalties through a side agreement with the operator, the French company Total.

    (Al Jazeera)

    The exploration of Karish’s 2.4 trillion cubic feet (68 billion cubic metres) of natural gas had drawn the wrath of Lebanon’s Hezbollah group, which had called the extraction of gas from the contested waters before the conclusion of any deal a “red line”.

    However, Hezbollah is on board with the agreement, seeing it as a potential way out of Lebanon’s continuing economic crisis.

    The offshore gas field is now set to join Tamar and Leviathan to become Israel’s third offshore rig providing natural gas, with each connected to the mainland by separate infrastructure.

    Earlier this month, Energean began pumping gas to its floating production facility in Karish as part of reverse flow testing procedures approved by the Israeli government.

    Israeli Prime Minister Yair Lapid, who is facing an election on November 1 and refused to bring the agreement before parliament for approval, said “the production of natural gas from the Karish platform bolsters Israel’s energy security, enhances our stature as energy exporters, strengthens Israel’s economy and helps in grappling with the global energy crisis”.

    Gas exports to Jordan and Egypt would be able to increase, the energy ministry said, “and from there to additional countries in Europe that need natural gas sources in light of the global energy crisis”.

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  • Lebanon warns deadly cholera outbreak ‘spreading rapidly’

    Lebanon warns deadly cholera outbreak ‘spreading rapidly’

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    Lebanon has warned that a deadly cholera outbreak is “spreading rapidly”, with cases rising after the virulent disease spread from neighbouring Syria.

    The outbreak in the economically devastated country, which has left at least five dead, is the first since 1993. Health officials have blamed the country’s financial and political struggles, which have left citizens with poor and crumbling sanitation infrastructure.

    “The epidemic is spreading rapidly in Lebanon,” caretaker Minister of Public Health Firass Abiad told reporters on Wednesday.

    Since October 6, Lebanon has recorded 169 cholera cases, almost half of them in the past two days, according to the health ministry.

    The latest crisis comes after three years of unprecedented economic dire straits in Lebanon and the inability to control porous borders with neighbouring war-torn Syria, where an outbreak is spreading after more than a decade of war.

    Abiad said the first case in Lebanon was recorded on October 5 in the rural northern Lebanese region of Akkar and that the patient, a Syrian national, was receiving treatment and in stable condition.

    He added that, while the “vast majority” of cases were Syrian refugees, health officials “have started to notice an increase in cases among the Lebanese”.

    Lebanon hosts more than one million Syrian refugees, many of them already poverty-stricken and living in crowded camps for the displaced that lack running water or sewage systems – well before Lebanon’s economic collapse began.

    “The lack of sanitation makes crowded camps high-risk areas,” said Al Jazeera’s Zeina Khodr, reporting from Akkar in Lebanon.

    “Cases are no longer confined to camps bordering Syria, but they’ve since spread to poor areas where drinking water is widely polluted and at times, mixed with wastewater.”

    Cholera is generally contracted from contaminated food or water, and causes diarrhoea and vomiting.

    It can also spread in residential areas that lack proper sewage networks or drinking water from mains.

    Abiad said that contaminated water was used for farming, spreading the disease on to fruit and vegetables.

    Lebanon’s water infrastructure is also derelict and the healthcare system has been hit hard by a three-year financial crisis and the August 2020 Beirut port blast that destroyed critical medical infrastructure in the capital.

    Despite humanitarian aid from donor countries, Abiad said the sector would struggle to cope with a large-scale outbreak.

    The Euphrates River is believed to be the source of Syria’s first waterborne disease outbreak since 2009, but cholera has since spread nationwide, with thousands of suspected or confirmed cases reported.

    According to the United Nations, nearly two-thirds of water treatment plants in Syria, half of pumping stations and one-third of water towers have been damaged.

    WHO advises using one cholera vaccine dose due to shortages

    Meanwhile, the World Health Organization and its partners have recommended that countries temporarily switch to using a single dose of the cholera vaccine instead of two due to a supply shortage as outbreaks surge globally.

    In a statement on Wednesday, the UN agency and partners that include UNICEF and the International Federation of Red Cross and Red Crescent Societies said one dose of vaccine has proven effective in stopping outbreaks “even though evidence on the exact duration of protection is limited” and appears to be lower in children.

    WHO Director-General Tedros Adhanom Ghebreyesus has warned that outbreaks in 29 countries this year were putting “unprecedented pressure” on the world’s limited vaccine supply. He said authorities should aim to scale up vaccine production and that “rationing must only be a temporary solution”.

    Cholera can kill within hours if left untreated, according to the WHO, but many of those infected will have no or mild symptoms.

    It can gernally be easily treated with oral rehydration solution, but more severe cases may require intravenous fluids and antibiotics, the WHO has said.

    Worldwide, the disease affects between 1.3 million and four million people each year, killing between 21,000 and 143,000.

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  • Israeli Security Cabinet OKs Lebanon maritime border deal

    Israeli Security Cabinet OKs Lebanon maritime border deal

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    JERUSALEM — Israel’s Cabinet on Wednesday voted in favor of a U.S.-brokered maritime border deal with Lebanon, taking a new step forward toward formal approval of the agreement.

    Prime Minister Yair Lapid’s office announced that the agreement was approved in principle by a “large majority” of Cabinet ministers. The agreement was to be forwarded to the Knesset, or parliament, for a 14-day review period before a final Cabinet vote is to take place.

    The Cabinet vote, along with an earlier approval by a smaller group of senior government ministers known as the Security Cabinet, came a day after Lapid announced that Israel agreed to the terms of the landmark deal between the two countries that have formally been in a state of war since 1948.

    Lebanon and Israel both claim around 860 square kilometers (330 square miles) of the Mediterranean Sea that are home to offshore gas fields. At stake are rights over exploiting those undersea resources.

    Under the agreement, the disputed waters would be divided along a line straddling the strategic “Qana” natural gas field. Gas production would be based on the Lebanese side, though Israel would be compensated for any gas extracted from its side of the line.

    Lebanon hopes gas exploration will help lift its country out of its spiraling economic crisis. Israel also hopes to exploit gas reserves while also hoping the deal will reduce the risk of war with Lebanon’s Hezbollah militant group.

    But the deal still faces numerous hurdles, including legal and political challenges in Israel. Opposition leader Benjamin Netanyahu has accused Lapid of capitulating to Hezbollah threats to attack Israeli gas assets elsewhere in the Mediterranean and vowed to fight the deal.

    The Supreme Court on Wednesday dismissed a petition to freeze the deal because of its approval just weeks before Israel holds national elections. The Nov. 1 vote will be Israel’s fifth election in under four years.

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  • Israel, US announce Lebanon sea deal, but questions remain

    Israel, US announce Lebanon sea deal, but questions remain

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    JERUSALEM — President Joe Biden on Tuesday said the U.S. has brokered a “historic breakthrough” between Israel and Lebanon that would end a dispute over their shared maritime border, pave the way for natural gas production and reduce the risk of war between the enemy countries.

    The agreement, coming after months of U.S.-mediated talks, would mark a major breakthrough in relations between Israel and Lebanon, which formally have been at war since Israel’s establishment in 1948. But the deal still faces some obstacles, including legal and political challenges in Israel.

    Israel welcomed the deal even ahead of Biden’s announcement. Lebanese leaders made no formal announcement, but indicated they would approved the agreement.

    In Washington, Biden said that Israel and Lebanon had agreed to “formally end” their maritime dispute. He said he had spoken to the leaders of both countries and been told they were ready to move ahead.

    The agreement “will provide for the development of energy fields for the benefit of both countries, setting the stage for a more stable and prosperous region,” Biden said. “It is now critical that all parties uphold their commitments and work towards implementation.”

    Lebanon and Israel both claim some 860 square kilometers (330 square miles) of the Mediterranean Sea. At stake are rights over exploiting undersea natural gas reserves. Lebanon hopes gas exploration will help lift its country out of its spiraling economic crisis. Israel also hopes to exploit gas reserves while also easing tensions with its northern neighbor.

    Israeli Prime Minister Yair Lapid called the deal a “historic achievement that will strengthen Israel’s security, inject billions into Israel’s economy, and ensure the stability of our northern border.”

    Under the agreement, the disputed waters would be divided along a line straddling the strategic “Qana” natural gas field.

    Israeli officials involved in the negotiations said Lebanon would be allowed to produce gas from that field, but pay royalties to Israel for any gas extracted from the Israeli side. Lebanon has been working with the French energy giant Total on preparations for exploring the field, though actual production is likely years away.

    The agreement would also leave in place an existing “buoy line” that serves as a de facto border between the two countries, the officials said.

    The officials, speaking on condition of anonymity because they were discussing behind the scenes negotiations, said the deal would include American security guarantees, including assurances that none of the gas revenues reach Hezbollah.

    Many leading Israeli security figures, both active and retired, have hailed the deal because it could lower tensions with Lebanon’s Hezbollah militant group, which has repeatedly threatened to strike Israeli natural gas assets elsewhere in the Mediterranean.

    With Lebanon now having a stake in the region’s natural gas industry, experts believe the sides will think twice before opening up another war.

    “It might help create and strengthen the mutual deterrence between Israel and Hezbollah,” said Yoel Guzansky, a senior fellow at Israel’s Institute for National Security Studies. “This is a very positive thing for Israel.”

    Israel and Hezbollah fought a monthlong war in 2006, and Israel considers the heavily armed Iranian-backed group to be its most immediate military threat.

    The agreement will be brought before Israel’s caretaker government for approval this week ahead of the Nov. 1 election, when the country goes to the polls for the fifth time in under four years.

    An Israeli official said Lapid’s Cabinet is expected to approve the agreement in principle on Wednesday, while sending it to parliament for a required two-week review. After the review, the government would give final, official approval, the official said, speaking on condition of anonymity to discuss government strategy. It remains unclear if parliament needs to approve the agreement, or merely review it.

    Approval is not guaranteed. Former Prime Minister Benjamin Netanyahu has said the caretaker government has no authority to sign such an important agreement and has vowed to cancel the deal if re-elected. On Tuesday, he accused Lapid of caving in to Hezbollah threats.

    “This is not a historic agreement. It’s a historic surrender,” Netanyahu said in a Facebook video.

    The Kohelet Policy Forum, an influential conservative think tank, already has filed a challenge with the Supreme Court trying to block the deal.

    But Yuval Shany, an expert on international law at the Israel Democracy Institute, another prominent think tank, said it is customary, but not mandatory, to seek Knesset approval for such agreements.

    “Peace agreements are usually brought to the Knesset, but this is not a peace agreement. It’s a border and limitation agreement,” he said.

    Senior U.S. energy envoy Amos Hochstein, whom Washington appointed a year ago to mediate talks, delivered a modified proposal of the maritime border deal to Lebanon on Monday night, according to local media and officials.

    There was no formal response from Lebanon. But the office of President Michel Aoun said the latest version of the proposal “satisfies Lebanon, meets its demands, and preserves its rights to its natural resources,” and will hold consultations with officials before making an announcement.

    A senior official involved in the talks told The Associated Press that Aoun, Prime Minister Najib Mikati, and Speaker Nabih Berri were all satisfied. The official spoke on condition of anonymity in line with regulations.

    Hezbollah’s leader, Hassan Nasrallah, was noncommital in a speech late Tuesday. He praised his group’s “resistance” against Israel and insisted that Lebanon is not afraid of another war against Israel. But he said Hezbollah would “wait” to issue its position on the agreement. Previously he has said the group would endorse the government’s position.

    He said any agreement would require cooperation and unity among Lebanon’s fractured political leadership. “The upcoming hours are decisive,” he said.

    ———

    Associated Press correspondent Eleanor Reich contributed reporting from Jerusalem.

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  • Lebanon records first case of cholera since 1993

    Lebanon records first case of cholera since 1993

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    The recorded case comes as neighbouring war-torn Syria is struggling to contain an outbreak of the waterborne disease.

    Lebanon has recorded its first case of cholera since 1993, the crisis-hit country’s health ministry announced, as neighbouring war-torn Syria is struggling to contain an outbreak of the waterborne disease that has spread across the country during the past month.

    Lebanon began a downward spiral in late 2019 that has plunged three-quarters of its population into poverty. Rampant power cuts, water shortages, and skyrocketing inflation have deteriorated living conditions for millions.

    Caretaker Health Minister Firas Abiad said on Thursday that the case was recorded on Wednesday in the impoverished, predominantly rural northern Lebanese region of Akkar and that the patient, a Syrian national, was receiving treatment and in stable condition.

    According to the World Health Organization, a cholera infection is caused by consuming food or water infected with the Vibrio cholerae bacteria, and while most cases are mild to moderate, not treating the illness could lead to death.

    Impoverished families in Lebanon often ration water and are unable to afford private water tanks for drinking and domestic use.

    Abiad has met authorities and international organisations following the confirmed case to discuss ways to prevent a possible outbreak.

    He said that the case is likely the result of the outbreak in Syria crossing the porous border between the countries.

    Richard Brennan, regional emergency director of the WHO Eastern Mediterranean Region, confirmed that the organisation has been in talks with authorities in Lebanon and other countries bordering Syria to bring in the necessary supplies to respond to possible cases in the country.

    “Cross-border spread is a concern, we’re taking significant precautions,” Brennan said. “Protecting the most vulnerable will be absolutely vital.”

    Brennan added that vaccines are in short supply relative to global demand.

    In neighbouring Syria, the outbreak has claimed dozens of lives and is posing a danger across the front lines of the country’s 11-year-long war, stirring fears in crowded camps for the displaced who lack running water or sewage systems.

    The UN and Syria’s health ministry have said the source of the outbreak is likely linked to people drinking unsafe water from the Euphrates River and using contaminated water to irrigate crops, resulting in food contamination.

    Syria’s health services have suffered heavily from its years-long war, while much of the country is short on supplies to sanitise water.

    Syrian health officials – as of Wednesday – have documented at least 594 cases of cholera and 39 deaths.

    Meanwhile, in the rebel-held northwest of the country, health authorities documented 605 suspected cases, dozens of confirmed cases, and at least one death.

    Lebanon’s water infrastructure is also decrepit, and the healthcare system has been hit hard by a three-year financial crisis and the August 2020 Beirut port blast that destroyed critical medical infrastructure in the capital.

    Despite humanitarian aid from donor countries, Abiad said the sector would struggle to cope with a large-scale outbreak.

    “We have a very clear signal that the Lebanese healthcare system needs support to strengthen [it],” he said. “Otherwise … it won’t be able to hold.”

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  • Depositors storm 4 Lebanese banks, demanding their own money

    Depositors storm 4 Lebanese banks, demanding their own money

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    BEIRUT — Lebanese depositors, including a retired police officer, stormed at least four banks in the cash-strapped country Tuesday after banks ended a weeklong closure and partially reopened.

    As the tiny Mediterranean nation’s crippling economic crisis continues to worsen, a growing number of Lebanese depositors have opted to break into banks and forcefully withdraw their trapped savings. Lebanon’s cash-strapped banks have imposed informal limits on cash withdrawals. The break-ins reflect growing public anger toward the banks and the authorities who have struggled to reform the country’s corrupt and battered economy.

    Three-quarters of the population has plunged into poverty in an economic crisis that the World Bank describes as one of the worst in over a century. Meanwhile, the Lebanese pound has lost 90% of its value against the dollar, making it difficult for millions across the country to cope with skyrocketing prices.

    Ali al-Sahli, a retired officer who served in Lebanon’s Internal Security Forces, raided a BLC Bank branch in the eastern town of Chtaura, demanding $24,000 in trapped savings to transfer to his son, who owes rent and tuition fees in Ukraine.

    “Count the money, before one of you dies,” al-Sahli said in a video he recorded with one hand while waving a gun in the other.

    According to Depositors’ Outcry, a protest group, al-Sahli said he had offered to sell his kidney to fund his son’s expenses after the bank for months blocked him from transferring money. With his son owing months of rent and tuition, the retired officer reached out to the protest group for help.

    In the video he filmed on his cellphone, al-Sahli waved a handgun, threatening to shoot, if bank employees didn’t oblige. Employees struggled to calm him down, as protesters from the depositors group and bystanders watched from outside.

    Al-Sahli was unable to retrieve any of his money, and security forces arrested him.

    In the southern city of Tyre, Ali Hodroj broke into a Byblos Bank branch, demanding about $40,000 of his trapped savings to pay outstanding loans. He held a handgun and fired a warning shot, as security forces encircled the area. Hodroj retrieved about $9,000 in Lebanese pounds, following negotiations, with the head of a depositors advocacy group mediating.

    Hassan Moghnieh, head of the Association of Depositors in Lebanon, told The Associated Press that Hodroj’s family retrieved the money before he turned himself in to police outside the branch.

    In Hazmieh near the Lebanese capital, former Lebanese Ambassador to Turkey Georges Siam entered an Intercontinental Bank of Lebanon demanding some of his locked savings. The branch staff shuttered its doors while Siam continued to negotiate with management.

    And in the northern city of Tripoli, workers from the Qadisha Electricity Co. broke into a local First National Bank branch protesting banks deducting fees from their delayed salary payments. The Lebanese Army arrived at the site in Tripoli and patrolled the area.

    Some depositors’ protest groups, including the Depositors’ Outcry, have supported the break-ins and vowed to continue doing so.

    “We’re sending a message to the banks that their security measures won’t stop the depositors, because these depositors are all struggling,” Depositors’ Outcry media coordinator Moussa Agassi told the AP. “We’re trying to tell the bank owners to try to find a solution, and beefing up security measures isn’t going to keep them safe.”

    The general public has commended the angry depositors, some even hailing them as heroes, most notably Sally Hafez, who stormed a Beirut bank branch with a fake pistol and gasoline canister to take some $13,000 to fund her 23- year-old sister’s cancer treatment. Siam was among those who praised her. “We need more of that,” he said in a tweet last month. “The lady is a hero. God bless her.”

    The banks, however, have condemned the heists, and urged the Lebanese government to provide security personnel.

    The Association of Banks in Lebanon in a statement Tuesday said the government is primarily responsible for the financial crisis, and that the banks have been unjust targets. The banks in the statement urged the government to swiftly enact reforms and reach an agreement with The International Monetary Fund for a bailout program.

    The ABL in late September shuttered for one week after at least seven depositors stormed into branches and forcefully took their trapped savings that month, citing security concerns. The banks last week partially reopened a handful of branches, only welcoming commercial clients with appointments into their premises.

    Lebanon meanwhile has been struggling to restructure its financial sector and economy to reach an agreement with The International Monetary Fund for a bailout. The IMF has criticized Lebanese officials for their slow progress.

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