World

This all feels rather miserably familiar. Eurozone leaders come to a dawn agreement about resolving the crisis. Markets react positively. The leaders appear on podiums to congratulate one another and themselves on reaching said dawn agreement. By lunchtime, something rather awkward has happened. Angela Merkel, perhaps inspired by George Osborne, had done a U-turn in agreeing to use eurozone bailout funds to support Italy and Spain, but did she have the authority to do so? In Germany, ahead of a vote in the Bundestag to approve the European Stability Mechanism bailout fund and new budget rules, the largest opposition party, the SPD, has called an emergency meeting of the budget

The US Supreme Court’s decision to uphold ‘Obamacare’ and the so-called ‘individual mandate’ will have brought a little relief to President Obama. If his administration’s hardest-fought legislative victory had been struck down by the high court, the president’s admirers would have started to wonder whether he had achieved anything at all. But Obama and the Democrats will know that their healthcare battle is far from won. Republicans have pledged to carry on trying to repeal ‘Obamacare’ in its entirety. And there are bound to be all sorts of complicated and tedious state-by-state legal challenges over various technicalities before the most of the law is brought into force in 2014.  And

Two sentences in the speech by the Director General of the Security Service, Jonathan Evans, yesterday evening have drawn particular notice. They are his statement that parts of the Arab world after the so-called ‘Arab Spring’ have become: ‘a more permissive environment for Al Qaeda’ and also that: ‘a small number of British would be jihadis are also making their way to Arab countries to seek training and opportunities for militant activity, as they do in Somalia and Yemen’. Without going over all of the responses to these facts, I would make just one comment. It appears to be impossible for some people to consider the following straightforward possibility (which

Sister Catherine Holum remembers her first Olympic speed-skating race very clearly. The crowd, she says, was very loud. Three men with television cameras knelt in front of her as she tied her skates up. She felt the whole world was watching. And when she had finished the race, she burst into tears. At the time — it was the 1998 Games in Nagano, Japan — she was only 17. She had come from an Olympic family: her mother was a gold medallist and a US star coach. Sister Catherine — or Kirstin, as she was then — was hyped up as a prodigy, destined for greatness. Then she retired. I

It would be tempting to think of Aung San Suu Kyi’s return to Oxford University today as the end of a long journey — but it is, of course, just the beginning. As the Burmese opposition leader herself said at the Encaenia ceremony after she finally accepted her honorary doctorate — awarded to her 19 years ago — her country’s road is yet unformed and has to be built ‘inch by difficult inch’. She also pointed out that ‘too many people are expecting too much’ from her country. Decades of house arrest do not appear to have sapped the spirit of Suu Kyi, who spoke, apparently without notes, with humour

‘Corruption,’ wrote Edward Gibbon in his peerless Decline and Fall of the Roman Empire, is ‘the most infallible symptom of constitutional liberty.’ I was reminded of this phrase when thinking about the Eurozone crisis. Commentators present a dichotomy between the discipline of northern Europe and the frivolity of southern Europe, which is characterised by bureaucratic, judicial and political corruption. Brussels has already imposed technocratic governments on Italy and Greece, and seeks to force Teutonic virtues on those economies. Constitutional liberty is to be limited in the hope of eradicating corruption (both in a literal and figurative sense) in southern Europe. Unsurprisingly, this new imperium is not universally popular: witness the

There was welcome news yesterday for our forces in Afghanistan, and for those who want to see them supplied with the best equipment, with pictures of the first ‘Foxhound’ patrol vehicles arriving in Helmand. Foxhound is the long-awaited replacement for the Snatch Land Rover, whose inadequate protection against Improvised Explosive Devices in Iraq and then Afghanistan became glaringly obvious as far back as 2005. In the intervening years, the Ministry of Defence has procured a number of vehicles offering much better protection, starting with the Mastiff in late 2006. However, the greater protection of these vehicles came at a price, in terms of weight and manoeuvrability (and air-transportability): the Mastiff

How to explain the King-Osborne plan to pump more cheap credit into the economy? Robert Peston gave his explanation of last week’s Mansion House speech. Here, our occasional media correspondent, The Skimmer, gives his thoughts on Peston’s thoughts: Peston: The Bank is saying that, in a business-as-usual way, with no stigma attached and at a cheaper interest rate, it will provide the funds that till now it would only provide through its so-called discount window – which is where banks go to borrow in an embarrassing emergency. The Skimmer: Every other central bank in the world has been doing this as part of normal operations for five years now – this

In this week’s issue, the great Robert Emmett Tyrrell, Jr. makes a bold prediction about the upcoming American presidential elections: ‘The Republican nominee will come out of the Republican convention in August with a full head of steam. Boosted by years of growing strength and aided by the independents’ concern for Obama’s huge deficits and slow growth, he will barrel through the autumn and on to victory in November. Obama will soon be back in Blue Island Illinois, creating his own presidential museum.’ Don’t believe him? Look at the economy. Only a few months ago, America’s financial health seemed to be improving. Team Obama was lecturing European conservatives about the

Chaos and confusion are mounting in Egypt tonight, where the country’s constitutional court has ruled that laws governing parliamentary elections are invalid. It follows that the Egyptian parliament must be dissolved, by the interim government led by the Supreme Council of the Armed Forces. And the constitution must be rewritten before the presidential run-off on Saturday.  The court also ruled that Ahmed Shafik, a former prime minister under Hosni Mubarak, could stand in that run-off, overturning a law that barred members of the previous regime from election. Shafik welcomed the decision, which leaves him free to challenge Mohamed Morsi, the Muslim Brotherhood’s representative. The message from the Brotherhood is one

The Eurozone crisis is teaching us plenty about how to recover from recessions. The nations that tried a debt-fuelled stimulus have found that their economies haven’t grown much, but they are saddled with the extra debt. The Swedes have cut taxes for the low paid, the Estonians took the fast route back to fiscal sanity — and both are now growing well, in spite of the turmoil that has engulfed their neighbours. But what’s less well-known is Germany’s record of reform, and how it has helped the country reach unemployment at a 20-year low.   Ten years ago, the German economy itself was pretty stagnant. When it first entered the

The news that matters today isn’t what was said at Leveson, it’s becoming increasingly clear that the government won’t act on the inquiry’s report if it suggests anything big, but that the Spanish bailout is failing. Indeed, Spanish bank stocks are lower this evening than they were this morning and the yield on Spain’s 10 year bonds is back above six percent. But one group who will benefit from the Spanish bailout is Syriza, the Greek anti-bailout party. The decision to bailout Spain without fiscal conditions is a major boost to Syriza’s pitch that ultimately the rest of the Eurozone will blink if Greece demands changes to the terms of

More than a week on from the massacre at Houla, another hundred or so men, women and children have been slaughtered in Hama, Syria. They were apparently stabbed to death and some of their bodies then burned. David Cameron has responded to this by describing the killings as ‘brutal and sickening’. William Hague had previously described the Houla massacre as ‘deeply disturbing.’ So what is Britain going to do about it? The Prime Minister has a suggestion: ‘I think that lots of different countries in the world — countries that sit around the UN Security Council table — have got to sit down today and discuss this issue.’ He goes