Why should Pakistan trust us?

Distrust lies at the heart of the west’s relationship with Afghanistan and Pakistan -- but this is n

For western governments to lecture the likes of Pakistan about democracy and stability, as David Cameron did this morning, must seem a cruel joke to many in that country. Our part of the world has a long history of generously lending money to fuel violence, prop up undemocratic, often brutal regimes and exacerbate poverty.

Pakistan is a country with only 54 per cent literacy, and where 38 per cent of small children are underweight, yet it spends nearly $3bn a year servicing debts -- almost three times what the government spends on health.

Loans have flowed freely into Pakistan in order to keep favoured military governments in power, most recently that General Pervez Musharraf, when Pakistan's debt increased from $32bn to $49bn.

A recent $7.6bn International Monetary Fund loan, needed so that the country can keep paying off its old debts, is conditioned on reducing budget deficits, eliminating electricity subsidies and increasing indirect taxation. As usual, ordinary people will pay for the west's "largesse" that kept in power governments subservient to western interests.

Such injustice doesn't stop at Pakistan. Consider Indonesia, where 61 per cent of the population live on less than $2 a day. Like with India, as David Cameron reminded us this morning, fighting poverty in Indonesia will be central to the success of the Millennium Development Goals. But just like India, this seems a second-order priority compared to selling scores of Hawk fighter jets to the country.

Indonesia still owes the UK over $500m for Hawk jets and other military equipment sold to the brutal General Suharto. Suharto was guilty of crimes against humanity by any standard, killing up to a million political activists in his first year in office.

Today, Indonesia pays over $2.5m every hour to service its $150bn debts -- much run up by Suharto. Is it surprising if Indonesians think their lives matter less than the financial and strategic interests of the west?

Afghanistan has been rushed through the debt cancellation process to prevent any embarrassing examination of past lending, but has been forced to privatise its banks and will doubtless return to the same state of heavy indebtedness in years to come -- it serves the government, which needs the finances to hold on to power, and it serves the west, which needs the debts to keep control after the soldiers leave.

Control of these countries can be maintained through this same, deeply unjust economic system, through playing one faction off against another, through fighting when everything else fails to work. Democracy, stability and trust, however, require something far bolder, but not impossible.

It is possible to stop lending in such deeply unjust ways. It is possible to cancel debts based on loans that should never have been lent. It is possible to stop forcing countries to pay what they are unable to afford, or to force them to make their economies work in our interests simply because we can.

As repayments on deeply toxic debts continue to drain Muslim countries of their wealth, we need to realise that the debts, or reparations, if you prefer, that our governments owe the Muslim world are vast and rising. Trust will not be possible until they are paid.

The Jubilee Debt Campaign's "Fuelling Injustice: the Impact of Third World Debt on Muslim Countries" is available at jubileedebtcampaign.org.uk.

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Labour’s best general election bet is Keir Starmer

The shadow secretary for Brexit has the heart of a Remainer - but head of a pragmatic politician in Brexit Britain. 

In a different election, the shadow Brexit secretary Keir Starmer might have been written off as too quiet a man. Instead - as he set out his plans to scrap the Brexit white paper and offer EU citizens reassurance on “Day One” in the grand hall of the Institute of Civil Engineers - the audience burst into spontaneous applause. 

For voters now torn between their loyalty to Labour and Remain, Starmer is a reassuring figure. Although he says he respects the Brexit vote, the former director of public prosecutions is instinctively in favour of collaborating with Europe. He even wedges phrases like “regulatory alignment” into his speeches. When a journalist asked about the practicality of giving EU citizens right to remain before UK citizens abroad have received similar promises, he retorted: “The way you just described it is to use people as bargaining chips… We would not do that.”

He is also clear about the need for Parliament to vote on a Brexit deal in the autumn of 2018, for a transitional agreement to replace the cliff edge, and for membership of the single market and customs union to be back on the table. When pressed on the option of a second referendum, he said: “The whole point of trying to involve Parliament in the process is that when we get to the final vote, Parliament has had its say.” His main argument against a second referendum idea is that it doesn’t compare like with like, if a transitional deal is already in place. For Remainers, that doesn't sound like a blanket veto of #EUref2. 

Could Leave voters in the provinces warm to the London MP for Holborn and St Pancras? The answer seems to be no – The Daily Express, voice of the blue passport brigade, branded his speech “a plot”. But Starmer is at least respectful of the Brexit vote, as it stands. His speech was introduced by Jenny Chapman, MP for Darlington, who berated Westminster for their attitude to Leave voters, and declared: “I would not be standing here if the Labour Party were in anyway attempting to block Brexit.” Yes, Labour supporters who voted Leave may prefer a Brexiteer like Kate Hoey to Starmer,  but he's in the shadow Cabinet and she's on a boat with Nigel Farage. 

Then there’s the fact Starmer has done his homework. His argument is coherent. His speech was peppered with references to “businesses I spoke to”. He has travelled around the country. He accepts that Brexit means changing freedom of movement rules. Unlike Clive Lewis, often talked about as another leadership contender, he did not resign but voted for the Article 50 Bill. He is one of the rare shadow cabinet members before June 2016 who rejoined the front bench. This also matters as far as Labour members are concerned – a March poll found they disapproved of the way Labour has handled Brexit, but remain loyal to Jeremy Corbyn. 

Finally, for those voters who, like Brenda, reacted to news of a general election by complaining "Not ANOTHER one", Starmer has some of the same appeal as Theresa May - he seems competent and grown-up. While EU regulation may be intensely fascinating to Brexiteers and Brussels correspondents, I suspect that by 2019 most of the British public's overwhelming reaction to Brexit will be boredom. Starmer's willingness to step up to the job matters. 

Starmer may not have the grassroots touch of the Labour leader, nor the charisma of backbench dissidents like Chuka Umunna, but the party should make him the de facto face of the campaign.  In the hysterics of a Brexit election, a quiet man may be just what Labour needs.

What did Keir Starmer say? The key points of his speech

  • An immediate guarantee that all EU nationals currently living in the UK will see no change in their legal status as a result of Brexit, while seeking reciprocal measures for UK citizens in the EU. 
  • Replacing the Tories’ Great Repeal Bill with an EU Rights and Protections Bill which fully protects consumer, worker and environmental rights.
  • A replacement White Paper with a strong emphasis on retaining the benefits of the single market and the customs union. 
  • The devolution of any new powers that are transferred back from Brussels should go straight to the relevant devolved body, whether regional government in England or the devolved administrations in Scotland, Wales and Northern Ireland.
  • Parliament should be fully involved in the Brexit deal, and MPs should be able to vote on the deal in autumn 2018.
  • A commitment to seek to negotiate strong transitional arrangements when leaving the EU and to ensure there is no cliff-edge for the UK economy. 
  • An acceptance that freedom of movement will end with leaving the EU, but a commitment to prioritise jobs and economy in the negotiations.

Julia Rampen is the digital news editor of the New Statesman (previously editor of The Staggers, The New Statesman's online rolling politics blog). She has also been deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines. 

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