Gaza ceasefire talks to resume for 2nd day in Qatar

Gaza ceasefire talks to resume for 2nd day in Qatar
Palestinians displaced by the Israeli air and ground offensive on the Gaza Strip flee from Hamad City, following an evacuation order by the Israeli army to leave parts of the southern area of Khan Younis. (AP)
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Updated 16 August 2024
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Gaza ceasefire talks to resume for 2nd day in Qatar

Gaza ceasefire talks to resume for 2nd day in Qatar
  • The on-and-off truce talks reconvened in Qatar’s capital on Thursday without Hamas
  • United States and its allies see the proposed Gaza truce as key to de-escalating soaring regional tensions, particularly with Iran

DOHA: Negotiators seeking a Gaza ceasefire were set to meet for a second day in Qatar on Friday, while top European diplomats were expected in Israel to stress the urgency of averting a wider war.
The on-and-off truce talks reconvened in Qatar’s capital on Thursday without Hamas, which has accused Israel of obstructing a deal and insists on the implementation of previously agreed terms.
Months of talks have yet to secure the return of hostages held by militants in Gaza or staunch the spiralling death toll, which authorities in Hamas-ruled Gaza on Thursday said had topped 40,000 in the Palestinian territory after more than 10 months of war.
US National Security Council spokesman John Kirby said the talks had “a promising start” but acknowledged “there remains a lot of work to do.”
Israel’s main military supplier the United States has been mediating the talks with Qatar and Egypt.
The United States and its allies see the proposed Gaza truce as key to de-escalating soaring regional tensions, particularly with Iran.
“This is a dangerous moment for the Middle East. The risk of the situation spiralling out of control is rising,” British Foreign Secretary David Lamy said ahead of his visit with French Foreign Minister Stephane Sejourne.
During meetings with Israel’s Foreign Minister Israel Katz and Minister of Strategic Affairs Ron Dermer, they would “stress there is no time for delays or excuses from all parties on a ceasefire deal” in Gaza, according to Britain’s foreign ministry.
Sejourne said “any miscalculation in the current situation could provoke a generalized conflagration.”
While talks take place in the Gulf emirate, bombs have continued to fall in Gaza.
As they struggled to recover bodies from the ruins of yet another air strike on Thursday, Palestinians in north Gaza questioned why, when Israeli Prime Minister Benjamin Netanyahu’s team was in Qatar.
“Why did Netanyahu send a delegation to the talks while we are being killed here?” in Jabalia, Mohammed Al-Balwi said as rescuers around him pulled bodies from the concrete wreckage.
They had found “limbs on the ground,” he said.
Fears of a wider Middle East war have soared since the July 31 killing of Hamas political leader and truce negotiator Ismail Haniyeh in Tehran. Iran and its allied groups in the region blamed Israel and vowed revenge.
Haniyeh’s death came hours after an Israeli strike killed Fuad Shukr, the military commander of Lebanon’s Iran-backed Hezbollah movement, which has exchanged near-daily cross border fire with Israeli forces.
The Gaza war has also drawn in Tehran-aligned groups in Iraq, Syria and Yemen.
The US military said its forces had destroyed a “ground control station” operated by Yemen’s Iran-backed Houthi rebels. The Houthis have for months fired missiles and drones at shipping in waterways vital to world trade off Yemen.
The Houthis, like Hezbollah, say they are acting in support of the Palestinians.
Violence has also surged in the Israeli-occupied West Bank.
Israeli President Isaac Herzog on Thursday condemned a Jewish settler attack on a West Bank village that the Palestinian Authority said killed one Palestinian and wounded another.
The Israeli military said dozens of Israeli civilians, some masked, entered Jit on Thursday evening and “set fire to vehicles and structures in the area, hurled rocks and Molotov cocktails.”
It added that it had opened an investigation and was looking into reports of a fatality.
Since the war in Gaza began, hundreds of Palestinians have been killed in the West Bank by the Israeli army or settlers, according to an AFP count based on official Palestinian data.
During the same period in the West Bank, at least 18 Israelis, including soldiers, have been killed in Palestinian attacks, according to official Israeli data.
The Qatari foreign ministry said Gaza truce negotiations would continue on Friday.
Mediators remain committed “in their endeavours to reach a ceasefire in the strip that would facilitate the release of hostages and enable the entry of the largest possible amount of humanitarian aid into Gaza,” a ministry spokesperson said.
They are seeking to finalize details of a three-phase proposal initially outlined by US President Joe Biden in May.
While Hamas is not directly taking part, an official of the Islamist movement, Osama Hamdan, told AFP the group would join if the meeting set a timetable for implementing the agreed terms.
He added that Hamas would not engage in negotiations that “give Netanyahu more time to kill our Palestinian people.”
Netanyahu has called Hamas leader Yahya Sinwar “the only obstacle to a hostage deal.”
Hamas’s unprecedented October 7 attack on Israel that triggered the war resulted in the deaths of 1,198 people, mostly civilians, according to an AFP tally of Israeli official figures.
Militants also seized 251 hostages, 111 of whom are still held in Gaza, including 39 the military says are dead.
Some were freed during a one-week truce in November.
The war has displaced almost the entire population of Gaza and destroyed much of its housing and other infrastructure, leaving widespread shortages of food.
Gaza’s health ministry, which does not provide a breakdown of civilian and militant casualties, on Thursday said the war has killed at least 40,005 people.
The United Nations human rights chief, Volker Turk, called it a “grim milestone for the world.”


Pakistan central bank cuts key rate by 200 bps to 17.5%

Pakistan central bank cuts key rate by 200 bps to 17.5%
Updated 1 min 6 sec ago
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Pakistan central bank cuts key rate by 200 bps to 17.5%

Pakistan central bank cuts key rate by 200 bps to 17.5%
  • Thursday’s move follows cuts of 150 bps in June, 100 bps in July that brought down the rate from an all-time high of 22% to 17.5%
  • Pakistan’s annual consumer price inflation rate slowed to 9.6% in August from a high of nearly 40% in May last year

ISLAMABAD: Pakistan’s central bank cut its key policy rate by 200 basis points to 17.5% on Thursday, it said in a statement, making it the third straight reduction since June as the country looks to spur growth as inflation eases.

Most respondents in a Reuters poll this week expected a cut of 150 basis points after inflation fell to single digits in August for the first time in nearly three years.

Thursday’s move follows cuts of 150 bps in June and 100 bps in July that have taken the rate from an all-time high of 22% — set in June 2023 and left unchanged for a year — to the current 17.5 percent.
Pakistan’s annual consumer price inflation rate slowed to 9.6 percent in August from a high of nearly 40 percent in May 2023.
Economic indicators have stabilized in the South Asian nation since last summer when the country came close to a default before a last-gasp bailout from the International Monetary Fund.
But concerns have risen once again with the global lender’s board yet to approve a staff level agreement struck in June for a new, $7 billion, three-year program.
The government initially said it expected the board approval in August, and later said it was likely in September. The issue is yet to be placed on the IMF board’s agenda.


UAE ruler receives China’s Premier Li Qiang in Abu Dhabi

UAE ruler receives China’s Premier Li Qiang in Abu Dhabi
Updated 9 min 4 sec ago
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UAE ruler receives China’s Premier Li Qiang in Abu Dhabi

UAE ruler receives China’s Premier Li Qiang in Abu Dhabi

ABU DHABI: UAE’s ruler Sheikh Mohamed bin Zayed received China’s Premier Li Qiang in Abu Dhabi on Thursday, reported state news agency WAM.
In a statement on X, Sheikh Mohamed said the two discussed joint efforts to enhance comprehensive strategic partnership between their countries. 
“The UAE is committed to building upon 40 years of deep-rooted cooperation with China to achieve enduring growth, development, and prosperity for our people,” said Sheikh Mohamed.

 


Share of non-oil activities in Saudi Arabia’s GDP to surge by 2030: S&P Global

Share of non-oil activities in Saudi Arabia’s GDP to surge by 2030: S&P Global
Updated 21 min 33 sec ago
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Share of non-oil activities in Saudi Arabia’s GDP to surge by 2030: S&P Global

Share of non-oil activities in Saudi Arabia’s GDP to surge by 2030: S&P Global

 

RIYADH: Saudi Arabia’s non-oil gross domestic product is projected to grow by up to 6 percentage points by the end of the decade, driven by the Vision 2030 initiatives, according to S&P Global.

The international rating agency said over the past decade, the non-oil economy, with a focus on boosting consumer spending in tourism and construction, has solidified its position as a key element in the Kingdom’s strategy for economic diversification.

By 2030, the oil sector’s share of GDP is expected to drop from over 30 percent in early 2024 to between 24 and 26 percent, reflecting a significant shift away from hydrocarbon dependence, it predicted.

This transformation is supported by a substantial array of Vision 2030 megaprojects, with a collective value exceeding $1 trillion. NEOM, a central component of this vision, is expected to attract nearly half of the total investment. Despite potential adjustments to some projects, including NEOM, the overall economic outlook remains favorable, with the non-oil sector continuing to gain importance.

As domestic demand rises due to increased household consumption and a thriving tourism sector, Saudi Arabia is advancing steadily toward reducing its reliance on hydrocarbons.

Decreasing share of oil in GDP

Several factors are contributing to the decreasing share of oil in Saudi Arabia’s GDP.

Firstly, the rise in domestic demand, especially in household consumption, is gradually diminishing the prominence of oil activities. Currently, household consumption in the Kingdom is about 15-20 percentage points lower than in economies with similar GDP per capita, indicating substantial growth potential.

As the nation implements strategies to boost consumer spending, the non-oil sector’s contribution to GDP is expected to increase, further reducing dependence on oil revenues.

The government is also focusing on enhancing recreational spending, which is currently low by international standards.

These shifts are anticipated to lower the oil sector’s share of the economy, even as oil production increases. The Saudi government has announced plans to raise oil production to 11 million barrels per day by 2028, which may counterbalance some of the decline in oil’s GDP contribution. Nonetheless, the overall share of oil in the economy is expected to decrease, aligning more closely with non-Gulf oil exporters such as Norway.

Vision 2030’s key role

The Kingdom’s Vision 2030 reform agenda is the primary driver behind its non-oil GDP growth, aiming to diversify the economy by expanding into key sectors such as tourism, entertainment, and retail.

Vision 2030 initiatives are already transforming the country’s economic landscape through high-profile megaprojects and reforms designed to boost domestic consumption. A central goal of Vision 2030 is to enhance the quality of life for Saudi citizens and residents, thereby stimulating consumer spending.

The Quality of Life Program, a crucial element of the reform agenda, seeks to increase interest in cultural, recreational, and entertainment activities. By 2030, household spending on entertainment is projected to rise from the current 2.9 percent to 6 percent, thereby generating new opportunities for growth in the entertainment, tourism, and retail sectors.

Social reforms, particularly the growing participation of women in the workforce, are also expected to drive domestic demand. Women’s labor force participation has already surpassed the initial Vision 2030 target, climbing from 18 percent to over 35 percent. This increase is likely to elevate household earnings, leading to higher disposable income and consumer spending.

Furthermore, the expanding role of women in previously restricted sectors such as sports and entertainment marks a significant milestone in reshaping the labor market and promoting economic inclusion. This transition is further supported by Saudization policies, which emphasize the employment of Saudi nationals and contribute to wage growth.

Tourism and construction sectors

Tourism is emerging as a key sector for economic diversification under Saudi Arabia’s Vision 2030 blueprint. The government has set an ambitious target to attract 150 million visitors annually by 2030, a goal that is poised to significantly enhance the tourism industry.

The introduction of e-visas has simplified access for international tourists, and the completion of major tourism projects, such as the Red Sea Project and AlUla, is expected to further increase tourist arrivals. These initiatives are part of a broader strategy to position Saudi Arabia as a global destination, aiming to diversify the economy and reduce its reliance on oil.

International visitors generally contribute more to total tourist spending compared to domestic travelers, providing a substantial boost to the economy. With government-backed efforts to expand tourism infrastructure, including hotels, resorts, and cultural attractions, the sector is set to become a major driver of non-oil GDP growth.

The dual approach of attracting international travelers and encouraging residents to spend more domestically, particularly in entertainment and leisure, is expected to significantly increase the share of tourism in the national economy.

The construction sector is another major beneficiary of Vision 2030. Gigaprojects such as NEOM, Qiddiya, and Diriyah are transforming the Kingdom’s landscape, creating substantial demand for construction materials and services.

The total cost of Vision 2030 initiatives is estimated to exceed $1 trillion, with NEOM alone accounting for nearly half of this amount. Even if NEOM faces scaling back, as some reports suggest, the ongoing construction of other megaprojects will continue to drive domestic demand, making the sector a key contributor to GDP growth in the coming years. However, the impact of these projects on Saudi GDP may be somewhat moderated by the need to import construction materials and rely on external expertise.

Sustainable economic growth

While Vision 2030 is poised to drive strong economic growth over the next decade, the long-term success of Saudi Arabia’s diversification efforts will hinge on improving labor productivity.

Historically, Saudi Arabia’s labor productivity has lagged behind that of both developed and emerging economies. This is partly due to limited diversification into high-efficiency sectors and an overemphasis on less productive industries such as construction.

As the megaprojects approach completion, the initial boost to domestic consumption and economic growth is expected to moderate.

To sustain momentum, Saudi Arabia will need to focus on enhancing productivity, particularly in non-oil sectors. The Kingdom’s ability to foster innovation, improve education, and develop workforce skills will be critical in driving productivity gains and ensuring long-term economic growth.

Ongoing government initiatives to enhance education and vocational training, along with reforms aimed at increasing workforce participation, are anticipated to improve productivity over time. However, these improvements will likely be gradual, with the full impact of these reforms taking several years to materialize. In the interim, the expansion of the non-oil sector, bolstered by Vision 2030 megaprojects, will continue to be the main driver of economic growth.


Australia threatens fines for social media giants enabling misinformation

Australia threatens fines for social media giants enabling misinformation
Updated 20 min ago
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Australia threatens fines for social media giants enabling misinformation

Australia threatens fines for social media giants enabling misinformation
  • Breaches face fines up to 5 percent of global revenue
  • Bill seeks to prevent election, public health disinformation

SYDNEY: Australia said it will fine Internet platforms up to 5 percent of their global revenue for failing to prevent the spread of misinformation online, joining a worldwide push to rein in borderless tech giants but angering free speech advocates.
The government said it would make tech platforms set codes of conduct governing how they stop dangerous falsehoods spreading, to be approved by a regulator. The regulator would set its own standard if a platform failed to do so, then fine companies for non-compliance.
The legislation, to be introduced in parliament on Thursday, targets false content that hurts election integrity or public health, calls for denouncing a group or injuring a person, or risks disrupting key infrastructure or emergency services.
The bill is part of a wide-ranging regulatory crackdown by Australia, where leaders have complained that foreign-domiciled tech platforms are overriding the country’s sovereignty, and comes ahead of a federal election due within a year.
Already Facebook owner Meta has said it may block professional news content if it is forced to pay royalties, while X, formerly Twitter, has removed most content moderation since being bought by billionaire Elon Musk in 2022.
“Misinformation and disinformation pose a serious threat to the safety and wellbeing of Australians, as well as to our democracy, society and economy,” said Communications Minister Michelle Rowland in a statement.
“Doing nothing and allowing this problem to fester is not an option.”
An initial version of the bill was criticized in 2023 for giving the Australian Communications and Media Authority too much power to determine what constituted misinformation and disinformation, the term for intentionally spreading lies.
Rowland said the new bill specified the media regulator would not have power to force the takedown of individual pieces of content or user accounts. The new version of the bill protected professional news, artistic and religious content, while it did not protect government-authorized content.
Some four-fifths of Australians wanted the spread of misinformation addressed, the minister said, citing the Australian Media Literary Alliance.
Meta, which counts nearly nine in 10 Australians as Facebook users, declined to comment. Industry body DIGI, of which Meta is a member, said the new regime reinforced an anti-misinformation code it last updated in 2022, but many questions remained.
X was not immediately available for comment.
Opposition home affairs spokesman James Paterson said that while he had yet to examine the revised bill, “Australians’ legitimately-held political beliefs should not be censored by either the government, or by foreign social media platforms.”
The Australia Communications and Media Authority said it welcomed “legislation to provide it with a formal regulatory role to combat misinformation and disinformation on digital platforms.”


Saudi crown prince, Chinese premier in high-level talks

Saudi crown prince, Chinese premier in high-level talks
Updated 12 min 4 sec ago
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Saudi crown prince, Chinese premier in high-level talks

Saudi crown prince, Chinese premier in high-level talks

RIYADH: Saudi Arabia’s Crown Prince Mohammed bin Salman and Chinese Prime Minister Li Qiang on Thursday led discussions during the fourth meeting of the High-Level Saudi-Chinese Joint Committee.

With the aim of bolstering Saudi-Chinese relations, the talks focused on “focusing on strengthening the comprehensive strategic partnership between the two countries across all fields,” state news agency SPA reported.

They also touched upon key regional and international issues of mutual interest.

 

 

“Both parties commended the robust economic, trade, and investment relations between the two nations, with Saudi Arabia being China’s top trading partner in the Middle East and reciprocally, China being the Kingdom’s foremost trading partner,” a portion of the statement, issued after the meeting, said.

During the meeting, both sides discussed avenues to enhance cooperation across various fields, including politics, security, defense, energy, trade and investment, finance, science, technology, culture and tourism, SPA reported.

Chinese foreign ministry spokesperson Lin Jian, meanwhile, posted on social media platform X: “Premier Li Qiang called on #China and the #GCC countries to strengthen the alignment of their development strategies, steadily advance cooperation in the five priority areas put forward at the China-GCC Summit, and speed up the free trade agreement negotiations process.

“Both sides should further deepen cooperation in #energy, #investment, #innovation, #science and #technology, and people-to-people exchanges, expand cooperation in information & communications, digital economy, and green development, and jointly foster new momentum for the development of both sides.”