Sunday, February 24, 2013

NEWS,23. AND 24.02.2013



Italians vote in cliffhanger elections


Voting was underway in Italy's general election on Sunday, amid uncertainty about who will prevail and signs of mounting support for a radical protest party which advocates a referendum on the country's eurozone exit.Polling stations opened at 8am (07:00 GMT) and were to close at 10pm. A second day of voting takes place on Monday, from 7am to 3pm, with exit polls due immediately thereafter.A total of around 50 million Italians are eligible to vote, but analysts predict abstention rates of around 30%. Snow in northern Italy was expected to hold some voters back.According the Ministry of Interior, voter turnout stood at 14.6% by noon, down from 16.3% at the last general elections in 2008.The frontrunner in the contest is centre-left leader Pier Luigi Bersani, but his "Italy Common Good" coalition risks falling short of a majority in the upper house of parliament, the Senate.Negotiations to form a government may be complicated by the likely success of comedian Beppe Gril, whose anti-establishment Five Star Movement drew hundreds of thousands of people for its final rally on Friday in Rome.Pollsters say the movement could emerge as the third or second-largest single party in parliament. Grillo is not standing himself, but has pledged to act as the party's "spokesperson."The other main contenders are scandal-prone former premier Silvio Berlusconi, whose conservative coalition was trailing the centre-left before an opinion polls blackout came into force on February 8, and outgoing premier Mario Monti.Monti's centrist alliance is seen as the most likely coalition partner for Bersani were he not to secure a solid majority but the prospective deal is hindered by policy differences between Monti and Bersani's leftist ally, Nichi Vendola.All the leaders except Grillo had cast their vote by Sunday morning.

Britain clings to austerity


British finance minister George Osborne insisted on Saturday that he would not abandon his deficit-cutting drive after Moody's stripped the country of its coveted triple-A debt rating.The opposition lashed Osborne, saying his plan for the economy was shot through, while analysts said that although it was an embarrassment for him, the downgrade would have a limited impact in the markets.In an expected rebuff to London's hopes that sharp spending cuts would both gradually eliminate the deficit and revive growth, Moody's rating agency cut Britain's grade by one notch to Aa1 on Friday.Osborne said it was a "loud and clear message that Britain cannot let up in dealing with its debts, dealing with its problems, cannot let up in making sure that Britain can pay its way in the world."What is the message from the ratings agency? Britain's got a debt problem. I agree with that. I've been telling the country for years that we've got a debt problem, we've got to deal with it."What do they also say? That if we abandon our commitment to deal with that debt problem, then our situation would get very much worse and I'm absolutely clear that we must not do that."Asked if he had broken his commitment to protecting Britain's credit rating, he said the true test of credibility was whether Britain could borrow money."At the moment we can do that very cheaply with very low interest rates precisely because people have confidence that we have got a plan," he said.Moody's said government debt was still mounting and that growth was too weak to reverse the trend before 2016.It described the British economy as constrained both by turgid global growth and the drag from businesses and the government rapidly slashing their debt burdens.Calling it a "humiliating blow", Labour opposition finance spokesperson Ed Balls said Osborne had failed in his chief stated mission of retaining Britain's AAA status."The reality is an economy which is not growing, a deficit which is getting bigger, families in real stress and a government which is ploughing on regardless with a plan which is not working," he told BBC television."Saying 'the medicine is not working, let's increase the dose of the medicine' that is completely crazy economics."However, Howard Archer, chief UK economist at IHS Global Insight research group, said that the market had been anticipating the downgrade for some time, though Britain's pound sterling currency may be vulnerable."It does focus attention on the UK economy's extended and ongoing serious problems," he said."The loss of the AAA rating certainly puts pressure on Mr Osborne to come up with more initiatives in the (March 20) budget to try and boost growth."While an embarrassment for the government and a cause for piqued pride, we suspect that the loss of the AAA rating will have only a limited negative impact for the UK economy." Mark Littlewood, director general of the Institute of Economic Affairs free-market think-tank, said: "The damaging impact of ballooning national debt, public spending raging out of control and tax rises should not be underestimated."Taking immediate action to tackle the deficit must now be the priority. George Osborne should focus on making sufficient savings in public spending to implement a substantial programme of tax reductions."Meanwhile Howard Wheeldon, senior strategist at stockbrokers BGC Partners, said the downgrade was not a reason for an economic policy change."Any amount of manipulation by attempted false stimulation of the economy in an attempt to create 'artificial' growth would in my view make an already bad deficit problem even worse," he said."We have all lived beyond our means for far too long."If the UK deficit is to be brought down and the task of reducing the debt mountain begun, Mr Osborne has no option but to stick to his guns."We are light years away from returning to growth."

Indian tycoon donates $2bn to charity


Indian software tycoon Azim Premji said Saturday he has given $2.3bn to an education charity that he controls, reportedly the biggest charitable donation in the country's recent history.It is his second recent big donation after giving almost $2bn to the charity in 2010, and came shortly after he joined the Giving Pledge club set up by Microsoft co-founder Bill Gates and billionaire investor Warren Buffet.In Saturday's donation, the chairman of software firm Wipro transferred shares worth $2.3bn from the company to a trust which controls the education charity Azim Premji Foundation, a company statement said.The billionaire, who inherited a cooking oil company and transformed it into India's third-biggest outsourcing services firm, said the trust will use the funds to scale up the foundation's activities "significantly". The charity seeks to boost the quality of India's overstretched education system by improving teacher quality and setting up model schools.The Business Standard newspaper and other media reported it was the biggest one-off donation to charity in India in modern times.The media-shy tycoon is India's third wealthiest individual with a net worth of some $16bn, according to a 2012 Forbes rich list.Premji, whose trust funds initiatives including rural education and teacher training, has long promoted education as a way to tackle India's deep poverty.He told a recent World Economic Forum in Davos that "education is perhaps the most powerful enabler of human life and equity".A few days ago, he became the first Indian to join the Giving Pledge club, which encourages the world's wealthiest to donate at least half their fortunes to charity.Those who are "privileged to have wealth should contribute significantly to try and create a better world for the millions who are far less privileged," Premji said when joining the club.The billionaire's donation comes amid growing disquiet in India about the yawning divide between the country's burgeoning wealthy class and the hundreds of millions still living in deep poverty.A 2012 report on philanthropy by global consultancy Bain noted a "striking imbalance" in India, noting it was home to one of the world's fastest-growing wealthy populations but also one in three of the world's malnourished children.While the report noted that philanthropy was on the rise, it added there was "significant room for improvement if India is benchmarked against the US, one of the world's leaders in private giving".With Premji's latest donation, his educational charitable trust's shareholding in Wipro will go up to nearly 20%.

Horsemeat scandal: Now health fears


Horsemeat containing a drug potentially harmful to humans has likely entered the food chain, France said on Saturday, adding health concerns to the food scandal raging across Europe.A spokesperson for the French agriculture ministry told AFP several horse carcasses containing the drug Phenylbutazone have probably ended up being eaten by consumers.Phenylbutazone is an anti-inflammatory treatment for horses which is potentially harmful to humans and by law is supposed to be kept off plates.Britain alerted Paris that six tainted carcasses had been exported to France in January, but the meat had already been processed by the time the warning came.Agriculture Minister Stephane Le Foll said that although some of the meat had been recalled, the equivalent of three carcasses had "probably" made it to consumers, but added there was "no health risk" since the traces of phenylbutazone found in the meat were "extremely weak".The minister underscored that the find was in no way connected with the wider horsemeat scandal however, since the meat had not been disguised as beef.But the announcement still added a new dimension to the scandal over mislabelled meat that erupted in Europe in January after horsemeat was initially found in so-called beef ready-made meals and burgers in Britain and Ireland. Since then, supermarkets across the continent have pulled prepared meals from their shelves, with effects felt as far away as Hong Kong, where an imported brand of lasagne has been withdrawn from stores. On Saturday, Italy joined the long list of countries that have been hit by the fraud, reporting its first case of horsemeat-contaminated lasagne. The horsemeat was found in tests on six tons of mincemeat and 2 400 "lasagne bolognese" packages produced by a central Italian company that had used meat from suppliers based in the northern part of the country.The tests were carried out as part of sweeping checks by police on 121 brands across the country.French President Francois Hollande said on Saturday that he would push for mandatory labelling of meat in ready-made meals."I want there to eventually be mandatory labels on the meat contained in prepared meals," Hollande said while visiting an agricultural show in Paris."Until then, I will support... all initiatives for voluntary labelling" so that "consumers know the origin of the products they are consuming, especially meat".French firm Spanghero has been at the heart of the scandal after it allegedly passed off 750 tons of horsemeat as beef, with the product eventually finding its way into 4.5 million "beef" products sold across Europe.French authorities had initially suspended the company's sanitary license, but following protests from 300-odd workers allowed the company to resume production of minced meat, sausages and ready-to-eat meals.The company was banned, however, from stocking frozen meat.In Ireland, authorities on Friday suspended production at a meat processing plant after investigators found it was selling horsemeat labelled as beef.B&F Meats, a small company licenced to debone beef and horsemeat in Carrick-on-Suir in County Tipperary, was found to be sending horsemeat to a customer in the Czech Republic, the Irish agriculture ministry said in a statement.The label in the Czech language refers to beef, it added.

North Korea ups readiness, tensions


North Korean leader Kim Jong-Un has overseen a military drill, state media said on Saturday, his third such inspection in as many days as tensions run high following Pyongyang's third nuclear test.Accompanied by top military commanders, Kim watched a flight exercise and a paratrooping drill by the Korean People's Army, the Korean Central News Agency (KCNA) said."He called on the KPA service personnel to put spurs to making preparations for going into action, keeping themselves at maximum alert at all times."Once the enemies make a provocation, you should give full play to the inexhaustible combat capability to deal deadly blows at them ... and blow up their strongholds of aggression," he was quoted as saying by KCNA.The state news agency did not to give the date of the visit but it was believed Kim's latest trip was on Friday.KCNA said on Friday Kim had also inspected a tactical attack exercise combined with live shell firing.On Thursday, KCNA reported he had visited KPA Unit 323, which is believed to be an anti-air missile unit.North Korea on 12 February carried out its third nuclear test in seven years in what it says was a riposte to the US hostility shown in the widening of existing UN sanctions following its satellite launch in December last year.World powers on the UN Security Council united to condemn the nuclear test, and the US led calls for tougher sanctions.But Pyongyang has threatened still stronger action, defying warnings of United Nations measures.North Korea is already under international sanctions for conducting two nuclear tests in 2006 and 2009, which both came after long-range rocket launches.

Hundreds pray for Hugo Chavez


Hundreds of Venezuelans held a candlelight vigil Friday for President Hugo Chavez, praying for their leader while he remained in a hospital undergoing cancer treatment.Chavez's supporters gathered on a wide stairway in a hillside park near the presidential palace. They lit candles at sunset and sang along with a recording of a healthy Chavez belting out the national anthem.Some wiped away tears. Others closed their eyes and prayed.Some said they felt sad, yet still hopeful that Chavez might be able to survive."We're praying for the president, for him to get through all of this," said Ana Perez, a seamstress holding a candle and shielding her flame from the breeze with a piece of paper.Her eyes filled with tears as she talked about Chavez. "There is no other president like this one. He's unique," she said, wiping a wet cheek."He's going to come out of all of this, and he's going to get better," Perez said. "He's survived many hard things. He's strong."A group of indigenous people wearing colourful dresses, beads and feathers danced around a bonfire at the base of the stairs. One man blew on a conch shell, while others shook maracas as they danced around the flames.Chavez hasn't been seen since he returned to Venezuela on Monday from Cuba, where for 10 weeks he was recovering and fighting complications following his latest cancer surgery on 11 December.Vice President Nicolas Maduro said on Friday night that he and other officials had met with Chavez at the military hospital. Maduro said Chavez is continuing to undergo treatment for "respiratory insufficiency" and is breathing through a tracheal tube, which hinders speech."He communicated with us through various written ways to give us his guidance," Maduro said, speaking on television alongside other aides at the hospital. Maduro said Chavez was smiling and in an energetic mood, "with an immense strength of will."He said they talked with Chavez in three sessions lasting about five hours. "We came out filled with his strength," Maduro said.During the vigil, some in the crowd held photos of Chavez while a preacher spoke from a stage, saying: "The president is going to be healthy!"Lissette Cordero, who stood holding a candle next to her 5-year-old son, said she's grateful to Chavez for creating government-funded neighbourhood councils and inexpensive state-run food stores.Her son, who also held a candle, looked up at the stage where the minister was speaking and asked, "Is that Chavez?""No," his mother replied with a smile."I have faith he's going to recover. It's hard," she added. "I love him."The government has not given details about the treatment Chavez is undergoing, and hasn't identified the type or exact location of the tumours that have been removed from his pelvic region.Venezuela's opposition has demanded the government provide more specific information about Chavez's condition, and has criticized a decision by lawmakers last month that indefinitely postponed his swearing-in ceremony for a new six-year term.Two prominent Venezuelan jurists asked the Supreme Court on Thursday to determine whether Chavez is fit to remain in office. Former Supreme Court President Cecilia Sosa Gomez and professor Jose Vicente Haro called for the court to appoint a board of medical experts to determine whether Chavez is in physical and mental shape to remain president.They argued that if Chavez is fit to be president, the court should proceed to hold a public swearing-in.Government officials insist Chavez remains in charge and has been communicating with government officials about policy decisions and signing documents.Foreign Minister Elias Jaua read a lengthy letter from Chavez on Friday to a gathering of African and South American leaders in Equatorial Guinea.In the letter, which ran for about 1, 00 words, Chavez said he was sorry not to be able to attend the meeting. Chavez denounced Western military intervention in countries such as Libya in recent years, and called for more "South-South co-operation."The letter ended with the words: "We will live and be triumphant!"Prayer gatherings for Chavez this week have included a ceremony where indigenous shamans danced on Thursday, attended by Guatemalan indigenous activist Rigoberta Menchu.Menchu, who received the 1992 Nobel Peace Prize, said she had come to Venezuela "as one of the Maya spiritual guides" with knowledge of medicinal traditions."I'm completely sure that President Hugo Chavez has received the cosmic energies. He has received the strength of our Mother Earth. ... He is going to overcome big obstacles," Menchu said Friday at a televised event where she spoke alongside Maduro.As for Chavez, she said, "He has to have sufficient rest so that he can recover the strength of his vital energies as soon as possible."

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