Search

Begin New Search Topic Economy Publishing Institution Italian Institute for International Political Studies (ISPI)

1. China’s Approach to the Belt and Road Initiative and Europe’s Response

Author:
Giulia Di Donato
Publication Date:
05-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
During the last four decades, China experienced impressive economic growth, becoming one of the leading powers of the global economy. After a century of humiliation imposed by Western and Japanese colonial powers, today the country is demonstrating a strong desire to achieve its national rejuvenation (guojia fuxing). Indeed, under the iconic leadership of President Xi Jinping, China is adopting an increasingly assertive international behavior, balancing the need to protect its sovereignty and strategic interests related to economic and security issues, and the ambition to restore its role of a great power[1]. In this context, the Belt and Road Initiative (BRI) - a massive infrastructure project to improve connectivity between the East and the West, increase regional cooperation and facilitate trade and investments - has been described as China’s grand strategy championing its global governance ambitions[2]. Indeed, BRI-participating economies represent more than one-third of global GDP, and over half of the world’s population (OECD 2017).
Topic:
Regional Cooperation, Economy, Grand Strategy, and Belt and Road Initiative (BRI)
Political Geography:
China, Europe, and Asia

2. Will Oil Become the Achilles Heel of China’s BRI?

Author:
Naser al-Tamimi
Publication Date:
01-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
With more than 136 countries (end-July 2019) reported to have signed up to the Belt and Road Initiative (BRI hereafter) since it was announced by President Xi Jinping in 2013, estimates for China's potential BRI investments vary significantly, from around US $1 trillion to as much as US $8 trillion. China’s spectacular economic rise over the last three decades has been accompanied by a sharp increase in its energy demand. As a result, China is the world’s largest energy consumer. As its economy continues to grow, even at lower rates than before, its dependence on oil and gas imports will increase over the next two decades.
Topic:
Oil, Economy, Soft Power, and Belt and Road Initiative (BRI)
Political Geography:
China and Asia

3. Lebanon: The 3-Decade Impossible Power Sector Reforms

Author:
Jessica Obeid
Publication Date:
03-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
Lebanon defaulted on its debt for the first time in the country’s history. Many factors have contributed to this economic and fiscal crisis, but at the heart of them is the electricity sector, accountable for more than $39.5 billion, equivalent to 43 percent of the public debt, and embodying the core structural issues of Lebanon; a non-functioning confessional system built on the foundation of vested interests.
Topic:
Debt, Infrastructure, Financial Crisis, Economy, and Electricity
Political Geography:
Middle East and Lebanon

4. Will Hezbollah Survive Lebanon's Crisis?

Author:
Marina Calculli
Publication Date:
03-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
Lebanon’s sovereign default comes at a heavy price for Hezbollah. This is not simply because of Hezbollah’s powerful role within the government that failed to repay a $1.2 bn bond on 10 March 2020. This is mainly because Hezbollah’s rivals are likely to use the current financial crisis to impose an external authority over Lebanon and increase pressure on the ‘Party of God’ to disband its armed wing.
Topic:
Security, Financial Crisis, Economy, and Hezbollah
Political Geography:
Middle East and Lebanon

5. Sudan’s Terrible Combination: An Existing Humanitarian Crisis and Covid-19

Author:
Tom Rhodes
Publication Date:
03-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
While there is never a good time for a country to face an epidemic, it could not come at a worse time for a country in transition like Sudan. Prior to the first cases of the coronavirus confirmed on 13 March, the country already faced a humanitarian and economic crisis. In February, the inflation rate was at 71% and prices were double those cited in 2019, according to the US-funded food monitoring body, the Famine Early Warning System (FEWS). The Under-Secretary-General for Political and Peace-building Affairs, Rosemary DiCarlo, told the UN Security Council recently that Sudan’s humanitarian needs were severe, with 9.3 million people needing aid by the end of 2019.
Topic:
Economy, Humanitarian Crisis, Transition, and COVID-19
Political Geography:
Africa and Sudan

6. Frenemies of Sudan’s Transitional Economy

Author:
Yasir Zaidan
Publication Date:
05-2020
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
Only a few short months following the one year anniversary of the Sudanese revolution, Khartoum is facing a global pandemic and a deteriorating economic situation. Over the last decade, Sudanese people have been suffering from inflation and gas shortages as a result of losing 75 percent of its oil revenue that was assumed by South Sudan after the separation of the two states. The failing economy that contributed to the fall of the Bashir's regime is now getting worse, and the transitional government has yet to implement any fundamental reforms to rescue a weak transitional period in Sudan. The government's failure to achieve these reforms stems from deep ideological divisions inside the revolution's political coalition.
Topic:
Oil, Economy, and Transition
Political Geography:
Africa and Sudan

7. Gulf Powers: Maritime Rivalry in the Western Indian Ocean

Author:
Eleanore Ardemagni
Publication Date:
04-2018
Content Type:
Commentary and Analysis
Institution:
Italian Institute for International Political Studies (ISPI)
Abstract:
The Western Indian Ocean (the Suez Canal, the Red Sea, the Bab el-Mandeb, the Gulf of Aden, the Arabian Sea, the Gulf of Oman, the Arabian/Persian Gulf) is the new Gulf powers’ battlefield. Saudi Arabia and Iran, as already in the Middle East, are vying for hegemony in this sub-region: the Gulf monarchies also compete for influence, especially after the 2017 Qatari crisis and Doha’s boycott by neighbours. Saudi Arabia, Iran, the United Arab Emirates (UAE), Qatar, Oman but also Turkey, struggle to acquire geopolitical leverage in the Western Indian Ocean (WIO). Nowadays, the multipolar system which shapes International Relations maximizes the geostrategic relevance of WIO, at the crossroads between Eastern Africa, the Gulf, and Southern Asia. In these waterways, regional and international players share security and energy interests (as freedom of navigation), but they also compete, more and more, for local alliances, commercial ports, and/or military agreements and bases. In the WIO, China and India are designing rival nodes of influence: the Chinese “One Belt, One Road” initiative (OBOR), which adapted the previous “string of pearls” strategy, pushed New Delhi to counterbalance Beijing’s plans with a policy of connectivity in the sub-region. For the Gulf powers, maritime politics enters a new protagonist season: WIO is its basin. The Gulf “pivoted to East” since the 2010s, in terms of energy export, trade and market routes, investments, and infrastructures. Gulf monarchies’ strategies of economic diversification, as the Saudi “Vision 2030”, have further enhanced this trend: would-be post-oil economies need Foreign Direct Investments (FDI) and partners for infrastructural projects. Saudi Arabia and the United Arab Emirates (UAE) pursue a new interventionist and military-driven foreign policy: this pro-active posture has to be supported by maritime power and sea expertise, as demonstrated by the military operation in Yemen. On the other shore of the Gulf, Iran seeks economic modernization and recovery after years of international sanctions: Iranian port throughput increased after 2015. Asian markets can boost trade and investments in Teheran, helping the Islamic Republic to develop a new set of alliances since Iran also aims to upgrade its naval power. Gulf powers’ maritime competition in the WIO crafts fresh alignments with Asian and Eastern African players, adding to the traditional map of rivalries in the Indian Ocean (India vs Pakistan; China vs India). This intra-Gulf competition can be traced along three vectors of geostrategic influence: commercial ports, military agreements and bases, and choke-points.
Topic:
Power Politics, Geopolitics, Economy, and Maritime
Political Geography:
Iran, Saudi Arabia, Indian Ocean, and Gulf Nations