US Homeland Security Announces Steps Against H1B Visa Fraud

The U.S. Department of Homeland Security announced steps on Monday to prevent the fraudulent use of H1B visas, used by employers to bring in specialized foreign workers temporarily, which appeared to fall short of President Donald Trump’s campaign promises to overhaul the program.

Trump had promised to end the lottery system for H1B visas, which gives each applicant an equal chance at 65,000 positions each year.

Lobbyists for businesses who rely on H1B visas, commonly used by the tech sector, had expected Trump to upend the lottery in favor of a system that prioritized workers who are highly skilled and would be highly paid in the United States.

The lottery for fiscal year 2018 opened on Monday without changes.

The start of the lottery was seen by those watching the issue as the unofficial deadline for the Trump administration to enact H1B visa reform, and the failure to meet that deadline signals that Trump’s promised overhaul of the system may be off the table or long delayed.

“More oversight is a good start, but employers can still use the program legally to depress wages and replace American workers. That falls short of the promises President Trump made to protect American workers,” said Peter Robbio, a spokesman for Numbers USA, a Washington-based group that advocates for limiting immigration into the United States.

The White House could not immediately be reached for comment.

In keeping with the practice of former President Barack Obama’s administration, employers and foreign workers will enter a lottery system where 65,000 workers are permitted to enter the United States to work. An extra 20,000 H1B visas are reserved for workers with advanced degrees.

Last year, the lottery remained open less than a week before the program reached its cap.

Tech companies rely on the program to bring in workers with special skills and have lobbied for an expansion of the number of H1B visas awarded.

Proponents of limiting legal immigration, including Trump’s senior adviser Stephen Miller, have argued the program gives jobs that Americans could fill to foreign workers at a less expensive cost.

The measures announced by DHS on Monday focus on site visits by U.S. authorities to employers who use H1B visas.

In future site visits, U.S. Citizenship and Immigration Services agents will investigate incidents where an employer’s basic business information cannot be validated; businesses that have a high ratio of H1B employees compared with U.S. workers; and employers petitioning for H1B workers who work off-site.

Bulgaria’s Centrists Want to Form Government by Late April

Bulgaria’s largest party, the center-right GERB, expects to form a government with three nationalist parties by late April and return Boiko Boriskov to power as prime minister, a senior party official said on Monday.

Borisov’s GERB won 95 seats in the general election on March 26, beating its leftist Socialist rivals, but it failed to gain an outright 121-seat majority in parliament.

His resignation late last year triggered the early election.

GERB has told the third-placed United Patriots (UP), a nationalist alliance of three parties, that the prime minister’s post will not be subject of their coalition negotiations.

“The prime minister of the next government that will be formed I suppose by the end of this month … will be Boiko Borisov”, said Vladislav Goranov, an MP and member of GERB’s political negotiating team. “There’s no doubt about that.”

Goranov’s comments to reporters came after one of the nationalist leaders had suggested that Borisov, 57, should not lead the next government.

Borisov quit as premier after a GERB-backed candidate lost a presidential election in November to Rumen Radev, a Russia-friendly ally of the Socialists. Bulgaria is currently being run by a caretaker administration.

The UP alliance campaigned to boost low living standards and double the minimum monthly state pensions, now at 160 levs ($87.25) – the lowest in the European Union.

Analysts say such demands, coupled with GERB’s plans to double teachers’ wages within four years, may boost public spending and pose risks to Bulgaria’s currency peg to the euro.

But Goranov, a former finance minister likely to get the same post in the next government, told reporters he was not worried for state coffers.

A coalition with the nationalists would have just one seat above the majority threshold of 121 seats and Goranov said GERB would also seek support of smaller, populist grouping of businessman Veselin Mareshki.

Bulgaria’s polls suggested the country would continue with its fiscal and economic policies but was unlikely to break a pattern of unstable governments that have hindered structural reforms, Fitch rating agency said last week.

The timing for inter-party negotiations has yet to be set.

GERB has not ruled out leading a minority government, but Goranov called such an option “extreme.”

(1$= 1.8338 leva)

IMF Chief: Government Policies Needed to Reverse Productivity Slowdown

The effects of the 2008 financial crisis are still being felt, says the International Monetary Fund’s Managing Director Christine Lagarde. 

She cites a new IMF study showing global productivity has slowed to 0.3 percent over the last decade, lower than the pre-crisis average of about 1 percent growth per year. Had productivity growth followed pre-crisis trends, Lagarde says the overall GDP in advanced economies would be about 5 percent higher.

Lagarde attributes the slowdown in labor productivity — the amount of goods and services produced by an average worker per hour — to three major headwinds: an aging global population, the slowdown in international trade, and the lasting impact of the 2008 financial meltdown.

The slowdown has been particularly abrupt in continental Europe, where five Eurozone member countries — Greece, Portugal, Ireland, Spain and Cyprus — required various emergency bailouts after being unable to refinance their sovereign debt. 

Lagarde says strong policy actions, such as government-backed innovation, may be required to reverse the slowdown. For example, she says ramping up research and development by 40 percent could increase the gross domestic output (GDP) in advanced economies by as much as 5 percent, significantly improving demand at the same time in developing economies. 

But to be effective, Lagarde says governments must provide clear signals about future economic policy and boost investment in education, worker training and infrastructure.

Lagarde made her comments Monday at the conservative-leaning American Enterprise Institute in Washington, just two weeks before the World Bank and IMF annual spring meeting, at which member countries discuss challenges facing the global economy and ways to ensure financial stability around the world.

IAAF Says It Has Been Hacked, Athlete Medical Info Accessed

The governing body of track and field has been hacked by Fancy Bears, the group that previously attacked the World Anti-Doping Agency.

 

The IAAF said Monday it believes the hack “has compromised athletes’ Therapeutic Use Exemption (TUE) applications stored on IAAF servers” during an unauthorized remote access to its network on February 21.

 

TUEs are permissions for athletes to take substances that would normally be banned, and are used by athletes around the world.

 

“Our first priority is to the athletes who have provided the IAAF with information that they believed would be secure and confidential,” IAAF President Sebastian Coe said. “They have our sincerest apologies and our total commitment to continue to do everything in our power to remedy the situation.”

 

The IAAF said it had been in contact with athletes who have applied for TUEs since 2012.

 

Context Information Security, a British security company, said in a statement released by the IAAF that it discovered the attack.

 

“In January 2017, the IAAF contacted Context Information Security to conduct a proactive and thorough technical investigation across its systems, which led to the discovery of a sophisticated intrusion,” the company said. “Throughout the investigation, the IAAF have understood the importance and impact of the attack and have provided us comprehensive assistance.”

 

WADA has previously said Fancy Bears originate from Russia, citing information from law enforcement agencies.

 

Russian officials have denied any links with Fancy Bears, but have praised the group’s previous publications, which they say undermined Western countries’ criticism of widespread use of banned substances by Russians. The IAAF banned Russia’s team from competing internationally in 2015 after investigations by WADA found evidence of state-sponsored doping.

 

Fancy Bears began posting medical records of Olympians online last year, with U.S. and British athletes making up a large proportion of those targeted. Only selected records were released, and no Russians with TUEs were named, even though records show dozens of TUEs had been granted there in recent years.

 

As of Monday, Fancy Bears’ website contained no mention of IAAF information.

10 Dead in Explosion at St. Petersburg Metro

At least 10 people have been killed in an explosion in a metro station in the Russian city of St. Petersburg.

Russian media reported that the blast took place at the Sennaya Square metro station in the city’s center.

President Vladimir Putin arrived in St. Petersburg on Monday to speak at an annual media forum sponsored by a Kremlin-backed political movement.

Kremlin spokesman Dmitry Peskov said Putin was informed about the explosion.

Babies Cry More in UK, Canada and Italy, Less in Germany, Study Finds

Babies cry more in Britain, Canada, Italy and Netherlands than in other countries, while newborns in Denmark, Germany and Japan cry and fuss the least, researchers said on Monday.

In research looking at how much babies around the world cry in their first three months, psychologists from Britain have created the first universal charts for normal amounts of crying during that period.

“Babies are already very different in how much they cry in the first weeks of life,” said Dieter Wolker, who led the study at Warwick University.

“We may learn more from looking at cultures where there is less crying — [including] whether this may be due to parenting or other factors relating to pregnancy experiences or genetics.”

The highest levels of colic — defined as crying more than three hours a day for at least three days a week — were found in babies in Britain, Canada and Italy, while the lowest colic rates were found in Denmark and Germany.

On average, the study found, babies cry for around two hours a day in the first two weeks. They then cry a little more in the following few weeks until they peak at around two hours 15 minutes a day at six weeks. This then reduces to an average of one hour 10 minutes by the time they are 12 weeks old.

But there are wide variations, with some babies crying as little as 30 minutes a day, and others more than five hours.

The research, published in the Journal of Pediatrics, was a meta-analysis of studies covering some 8,700 babies in countries including Germany, Denmark, Japan, Canada, Italy, the Netherlands and Britain.

Wolker said the new crying chart would help health workers reassure parents whether their baby is crying within a normal range in the first three months, or may need extra support.

 

 

 

 

Japan Business Mood Brightens as Recovery Broadens

Japanese big manufacturers’ business confidence improved for a second straight quarter to hit a one-and-a-half year high in March, a closely watched central bank survey showed, a sign the benefits of an export-driven economic recovery were broadening.

Service-sector sentiment improved for the first time in six quarters and companies remained upbeat on their capital expenditure plans, the Bank of Japan’s “tankan” survey showed, offering hope the economic recovery will gather momentum in coming months.

The data, which will be among factors the BOJ will scrutinize at its next rate review on April 26-27, reinforces a dominant market view the central bank’s next policy move would be to reduce rather than expand monetary stimulus.

“The tankan showed a balanced improvement in corporate sentiment at manufacturers and service-sector firms,” said Yuichiro Nagai, an economist at Barclays Securities. “Overall, the results support the BOJ’s rosy view on the economy.”

The headline index measuring big manufacturers’ business sentiment rose to plus 12 in March from plus 10 three months ago, the tankan showed on Monday, falling slightly short of market forecasts but marking the highest reading since December 2015.

The index gauging big non-manufacturers’ sentiment improved 2 points from plus 20, rising for the first time in six quarters and hitting the highest level since March 2016, the survey showed.

Brexit, Trump cloud outlook

Big manufacturers and non-manufacturers expect business conditions to deteriorate slightly in the coming three months, as risks to global trade such as Britain’s decision to leave the European Union and U.S. President Donald Trump’s protectionist statements cloud the outlook.

Still, the survey found big firms plan to increase capital spending by 0.6 percent in the fiscal year ending in March 2018, compared with a median market forecast for a 0.1 percent drop.

“There has been talk about the risks of protectionism, but so far Japanese companies are not taking any specific steps related to this,” said Norio Miyagawa, senior economist at Mizuho Securities.

“This tankan will reinforce expectations that the BOJ is on hold for the time being. We certainly don’t see the need to ease or tighten policy,” he said.

Signs of life

Japan’s economy has shown signs of life in recent months, with exports and factory output benefiting from a recovery in global demand.

With inflation expected to accelerate later this year, a growing number of analysts now predict the BOJ’s next move would be to start scaling back its massive monetary stimulus.

The tankan’s sentiment indexes are derived by subtracting the number of respondents who say conditions are poor from those who say they are good. A positive reading means optimists outnumber pessimists.

 

Marathoners Set to Pump $192M Into Boston Economy

Training for the Boston Marathon has left Tommy Race feeling spent. His bank account, too: Race’s Boston adventure will cost about $2,000.

 

“It’s a lot of money, but it’s also a vacation,” said Race, a high school math teacher from Bellingham, Washington. “For a runner like myself, I’d much rather throw down money to run Boston than go to Cancun or Europe or some other travel destination.”

 

Race (yes, that’s his real name) has plenty of company. Thirty-thousand athletes from 94 countries will participate in this month’s 121st running of America’s most venerable footrace, and organizers say they’ll pump $192 million into the local economy.

 

That’s the equivalent of $311 for every man, woman and child living in the city of Boston.

 

Sports industry experts say Boston’s payout is part of a lucrative global trend that’s been playing out in Chicago, New York, London and other cities that stage major marathons drawing competitors and spectators from around the world.

 

“People want to be a part of something that Olympians run in,” said Rich Harshbarger, CEO of Running USA, a nonprofit group that promotes the sport.

 

“You’re not going to be able to run the bases at Fenway. But at a big marathon, you get to line up and have the same experience that the pros do,” he said.

 

It’s an affluent bunch: Running USA’s latest national survey, done in 2015, found that more than seven in 10 marathon runners earn more than $75,000 a year, and most are college graduates.

 

Many in the field for the Boston Marathon on April 17 will bring their families along. Another 10,000 runners will descend on Boston for a sister 5K race, swelling not only the size of the crowds but the amount spent on hotels, restaurants, transportation and a weekend running expo hawking expensive gear and swag.

 

“Nearly everyone involved … will patronize local businesses,” said Tom Grilk, CEO of the Boston Athletic Association, which manages the marathon.

 

Included in the $192.2 million projection is $30 million that runners will raise to benefit dozens of charities.

 

And the Boston Marathon’s economic impact is steadily growing. Last year’s race generated $188.8 million, and the 2015 race brought in $182 million, the Association said.

 

Patrick Moscaritolo, president and CEO of the Greater Boston Convention & Visitors Bureau, calls race weekend “an extraordinary kick start” for the tourist season.

 

Other races that are part of the World Marathon Majors – a series that includes Berlin, Boston, Chicago, London, New York City and Tokyo – have an even bigger haul.

 

The TCS New York City Marathon says its economic impact in 2014, the most recent year for which figures were available, was $415 million. The Bank of America Chicago Marathon had an estimated $277 million impact in 2015, organizers say.

Getting to the start line is expensive, “but it’s worth every penny,” said Malinda Ann Hill, bereavement coordinator for Children’s Hospital of Philadelphia, who’s running her first Boston together with her twin sister.

 

After 12 attempts to qualify, Hill doesn’t care what it costs.

 

“My twin won’t total it up, though,” she said. “She doesn’t want to know.”

French Polling Watchdog Warns Over Russian News Agency’s Election Report

France’s polling commission has issued a warning over a Russian news report suggesting conservative candidate Francois Fillon leads the race for the presidency — something which contradicts the findings of mainstream opinion pollsters.

The cautionary note from the watchdog on pre-election polling followed allegations in February by aides of centrist candidate Emmanuel Macron that he was a target of “fake news” put out by Russian media including the Sputnik news agency.

Macron takes a hard line on European Union sanctions imposed on Moscow over the Ukraine crisis, whereas Fillon has said they are totally ineffective, creating a “cold war” climate that needs to be reversed.

Almost all media in France are drawing on polls that have shown since mid-February that Fillon, a former prime minister, is trailing in third place behind Macron and far right leader Marine Le Pen for the April 23 first round. Third place would mean Fillon’s elimination from the May 7 runoff.

State-run Sputnik carried different findings in a report on March 29 under the headline: “2017 presidential elections: the return of Fillon at the head of the polls.”

It quoted Moscow-based Brand Analytics, an online audience research firm, as saying that its study based on an analysis of French social media put Fillon out in front.

In a statement, France’s polling commission said the study could not be described as representative of public opinion and Sputnik had improperly called it a “poll”, as defined by law in France.

“It is imperative that publication of this type of survey be treated with caution so that public opinion is aware of its non-representative nature,” it said.

Brand Analytics’ track record either for political polling or for commercial internet audience measurement outside of Russia and former Soviet territory is unknown.

Sputnik published an earlier online survey by the firm from mid-February which also showed Fillon with a strong lead over Macron and Le Pen at a time when other polls showed Macron’s candidacy beginning to surge with Fillon in third place.

Neither Sputnik in Moscow, nor the company, responded immediately to emailed requests for comment on Sunday.

US intelligence warns

Richard Burr, head of the U.S. Senate Intelligence Committee which is investigating the Russian hacking during the 2016 U.S. presidential campaign, said last week that the Kremlin was trying to interfere in the French vote.

The Kremlin denied in February that it was behind media and internet attacks on Macron’s campaign. Russia has a strong interest in the outcome of the French election since Macron has suggested imposing further sanctions on Moscow if it does not implement its side of a deal to resolve the crisis in Ukraine.

Fillon, once the frontrunner for the Elysee before he was hit by a scandal surrounding payments of public funds to his wife and children, dismissed as “fantasy” concerns of Russian interference in the election. Speaking last Friday, Fillon said he would seek a better balance in relations with a country that was nevertheless “dangerous.”

Richard Ferrand, the head of Macron’s En Marche! (Onwards!) party, said in February that Sputnik and another Russian state-run outlet Russia Today were spreading ‘fake news’ with the aim of swinging public opinion against Macron.

In February, Sputnik announced it would publish weekly French election polls using representative sampling from three mainstream polling firms — IFOP, Ipsos and OpinionWay — alongside an analysis of social media posts in France from Brand Analytics for which it did not disclose its survey methodology.

Separately, Sputnik carried a news report last Friday about Macron supporters being awarded state decorations when he had been a high-level functionary at the Elysee and economy minister in the Socialist government, suggesting this could amount to influence peddling.

It offered no proof that Macron had organized the decorations, which were sometimes awarded by other ministers. In several instances, it cited awards made by the economy ministry, without mentioning that Arnaud Montebourg, Macron’s predecessor, was minister at the time.

The Sputnik report contrasted Macron’s alleged action with a judicial inquiry into an award made when Fillon was prime minister to a billionaire friend who owned a cultural magazine where Fillon’s wife drew a salary.

 

Pope Visits Italian Region Rebuilt After Deadly 2012 Quake

Greeted by tens of thousands of faithful, Pope Frances on Sunday visited Italy’s northern Emilia Romagna region that has largely rebuilt from pair of deadly quakes five years ago, an example meant to give hope to central Italy, which is still reeling from more devastating temblors last year.

 

Francis’ first stop was the quake-damaged Duomo cathedral of Carpi, where he laid a bouquet of white flowers at the foot of a statue of the Madonna inside. After years of restoration, the cathedral reopened just last weekend.

 

“There are those who remain buried in the rubble of life,” the pope said in his homily before an estimated 20,000 gathered in the piazza outside the cathedral for an open-air Mass. “And there are those, like you, who with the help of God rise from the rubble to rebuild.”

 

Another 50,000 people watched the Mass on large screens throughout the city of 70,000.

 

During his daylong visit, the pope also will meet with families who lost loved ones in the quake and hold a discussion with priests, nuns and seminarians.

 

The Emilia Romagna model of rebuilding after the magnitude-6.1 and magnitude-5.8 quakes that killed 28 people in 2012 has often been cited as exemplary. It included bringing together politicians, entrepreneurs and bishops to decide common priorities.

 

The papal visit was meant to give a sign of gratitude for the rebuilding, the archbishop of Carpi, Monsignor Francesco Cavina, told the Italian Bishops’ Conference television TV2000. But he said it’s also “a sign of hope that rebuilding is possible for the people of central Italy, who unfortunately suffered what we did much more dramatically.”

 

A magnitude-6.1 quake on Aug. 24 in Italy’s central regions of Umbria, Abruzzo and Marche killed nearly 300 people, toppled thousands of buildings including churches, historic buildings and museums, and rendered many town centers uninhabitable. It was followed by a series of quakes in October, including the strongest in Italy in nearly four decades at magnitude 6.6, that toppled and damaged a higher number of structures, but didn’t provoke further deaths since the most vulnerable areas had already been evacuated.

 

Authorities have estimated the damage from the 2016 central Italian quakes at more than 23.5 billion euros ($25 billion), compared with 13.5 billion euros from the 2012 Emilia Romagna temblors.

About 2 Dozen Anti-Corruption Protesters Arrested in Moscow

Russian police arrested about two dozen protesters Sunday in Moscow, a week after more than 1,000 others were detained during a large-scale rally organized by a leading critic of President Vladimir Putin.

The Russian state news agency Tass reports that Sunday’s arrests were made while protesters tried to conduct unauthorized marches toward the Kremlin from two public squares in Moscow.

Police had blocked off Pushkin Square, a traditional gathering place for demonstrators. Authorities also blocked access to several Internet websites the government said promoted “a planned illegal anti-government protest” in or near Moscow’s Red Square.

The protests were organized by prominent Kremlin critic Alexei Navalny. He and hundreds of others anti-corruption demonstrators demanding the resignation of Prime Minister Dmitry Medvedev were detained last week.

Some critics of the Kremlin portray Putin as an overseer of a corrupt government that has awarded select friends and associates with vast sums of wealth.

The protests are occurring a year before a Russian presidential election in which Putin is expected to seek a fourth term. Navalny would like to run against the heavily-favored Putin, despite a questionable conviction on fraud charges that would technically disqualify him.

Last week’s protests were the largest opposition rallies Russia has seen in several years.

Minister: Iraq to Boost Crude Oil Production by Year’s End

 Iraq’s oil minister said on Sunday that his country plans to increase daily crude oil production to 5 million barrels by the end of this year, up from the current rate of about 4.4 million barrels per day, to secure sorely needed cash for its ailing economy.

 

Iraq, where oil revenues make up nearly 95 percent of the budget, has been reeling under an economic crisis since 2014, when oil prices began their descent from a high of above $100 a barrel. The Islamic State group’s onslaught, starting in 2014, has exacerbated the situation — forcing Iraq to divert much of its resources to a long and costly war.

 

Addressing an energy conference in Baghdad, Oil Minister Jabar Ali al-Luaibi didn’t give details on which of the country’s oil fields would supply the increased output.

 

Late last year, Iraq joined a deal by OPEC and non-OPEC members to lower production for six months by 1.8 million barrels a day in order to prop up global oil prices. The mutual production decrease began on Jan. 1. Iraq’s share in the deal is to reduce output by 210,000 barrels a day to 4.351 million barrels.

 

“There are positive elements in that deal and we achieved a lot of its targets,” al-Luaibi told reporters on the sideline of the conference. “Work and cooperation are underway … to reach the 1.8 [million barrels a day] reduction,” he added, without divulging whether Iraq is going to support an extension to that deal.

 

OPEC Secretary-General, Mohammed Barkindo, said the compliance among the participants was 86 percent in January and 94 percent in February. Barkindo told reporters that OPEC members would consider whether to extend the production decrease agreement at a meeting next month.

 

The deal propped up the crude price to around $50 per barrel.

 

Iraq holds the world’s fourth-largest oil reserves. This year, it added 10 billion barrels, bringing its total reserves up to 153.1 billion barrels.

 

Al-Luaibi also said that more 15 billion barrels are planned to be added by 2018.

 

Iraq’s 2017 budget stands at about 100.67 trillion Iraqi dinars, or nearly $85.17 billion, running with a deficit of 21.65 trillion dinars, or about $18.32 billion. That’s based on an estimated oil price of $42 per barrel and daily export capacity of 3.75 million barrels.

 

Iraq is also grappling with a major humanitarian crisis. The U.N. estimates that more than 3 million people have been forced from their homes since 2014. It also faces growing dissatisfaction among residents of areas recaptured from IS who have had their properties demolished and suffer from scarce public services.

 

 

Ethical Investing Surges, But It May Not Be That Ethical

Investors are plowing ever more into ethical funds to back their views on issues such as global warming and gender equality, but such investments can be confusingly similar to standard funds, except for higher fees and “green halo” marketing.

The $23 trillion “sustainable, responsible and impact” (SRI) investment sector has received a rush of money since the Paris climate agreement and, more recently, in protest against U.S. President Donald Trump’s plans to slash environmental regulations.

Europe is the dominant region for such investments, with $12.04 trillion, followed by the United States, with $8.72 trillion, while Asia lags some way behind.

U.S. investors have poured $1.8 billion into actively managed U.S. equity funds in the socially responsible category from November to January, according to Lipper data, while other funds saw a net outflow of $133 billion.

Even in fossil-fuel-rich Australia and New Zealand, SRI investment rose from $148 billion to $516 billion between 2014 and 2016, and from $729 billion to $1.09 trillion in oil-rich Canada, according to the Global Sustainable Investment Review released Monday.

Gavin Goodhand, a portfolio manager at Sydney-based Altius Asset Management, said the company’s sustainable bond fund tripled shortly after the 2015 climate accord, where nearly 200 countries signed up to measures designed to curb greenhouse gas emissions.

“The Paris conference was the line in the sand for many of our retail customers, particularly the millennial generation, who want to do the right thing for the environment,” Goodhand said.

Green funds may be not so green

Governments are also tapping the trend, selling green bonds to fund projects such as wind farms or low-carbon transport, with Poland, France and Nigeria making their debut this year.

Some managers, however, are skeptical.

“While environmental, social and governance factors should always factor into investment decisions, this is largely a marketing exercise,” said Steve Goldman, a global portfolio manager at Sydney-based Kapstream Capital, which has A$10 billion ($7.6 billion) of fixed-income assets.

Goldman said Kapstream did not have a responsible investment fund because its clients had not asked for it.

The bond market does not have commonly agreed standards or criteria for what constitutes a green bond, and there is no guarantee the proceeds go to the low-carbon project as claimed.

There are similar concerns over equity products.

Stuart Palmer, head of ethics research at Australian Ethical Investment, said there was a danger that some marketing departments would “greenwash” their products to lure investors into funds that were little different to standard products.

Higher fees

There are no agreed definitions on what is considered ethical, sustainable and socially responsible, but ethical investors are typically expected to cough up higher fees.

For example, retail investors pay more than a third higher fees for the sustainability and ethical funds at Sydney-based BT Investment Management (BTIM) than for its standard share fund equivalent.

The three funds hold six or seven of their top-weighted stocks in common, including major banks Australia and New Zealand Banking Group, Westpac Banking Corp, National Australia Bank and miner BHP Billiton , according to December filings.

A BT spokeswoman did not return requests for comment.

Due diligence difficult

For investors, it can be a minefield.

“I find it difficult as a consumer to do the due diligence I would like to do because even the ethical funds are not always totally transparent about what they define as ethical,” said retail investor Meraiah Foley, a Sydney academic.

“One of the ethical funds I have invests very heavily in retail banks in Australia, and those banks themselves may be underwriting projects that the fund itself would not invest in.”

There is also no standard practice on what to do when an existing fund stock breaches a manager’s policies. Some investment managers will sell, but others argue they can influence behavior by retaining their shareholding.

“We believe in engagement rather than divestment,” said Sam Sicilia, chief financial officer at the A$22 billion pension fund Hostplus. “When you sell a share in a ‘bad’ company, it’s a transfer of ownership and does nothing to the company that’s causing the issue, so divestment does not really work.”

18 Injured by Accidental Blast at French Carnival

At least 18 people, including three children, were injured when a bonfire effigy exploded at a town carnival outside Paris, officials said Saturday.

Organizers had poured gasoline on a wooden figure of a man, preparing for a bonfire that normally concludes the annual town carnival in Villepinte, north of the capital. Emergency workers said the effigy exploded when it was ignited by remote control, showering chunks of burning wood and splinters onto a crowd of several hundred people.

Five of those injured were in serious condition, authorities said, but no one’s life was in danger. Most victims suffered burns.

Officials said there was no indication that the incident involved arson or terrorism, but the explosion and flames did cause momentary panic.

Armenians Vote as Nation Shifts Toward Parliamentary Governance

Armenians vote Sunday in elections that will determine who guides the country through its planned transition to a parliamentary system of government next year.

Campaigns waged by by the nine parties and alliances seeking seats in parliament have focused mostly on the economic difficulties in the South Caucasus nation of 3 million.

Opinion polls point to a close race for the top spot between President Serzh Sarkisian’s ruling Republican Party of Armenia and a former coalition partner, the center-right Tsarukian Alliance led by pro-Russia tycoon Gagik Tarukian.

Under constitutional changes approved in a 2015 referendum, the Armenian prime minister’s office will become more powerful while the presidency is to become a largely ceremonial post elected by parliament.

Final term

Those changes are due to take place when Sarkisian’s second and final term ends in 2018. Critics charge that they were designed to allow him to stay in power beyond the presidency’s two-term limit.

Sarkisian denies that. But if the ruling party wins enough votes to control a parliamentary majority, either alone or in a coalition, he could continue to exercise executive power as prime minister.

He also could maintain clout by staying on as leader of his party, or he could exert influence through a handpicked successor.

Of the other eight parties or political blocs contesting the election, the Republican Party’s chief challenger is the Tsarukian Alliance.

Before breaking away and branding itself as an opposition force, Tsarukian had been a coalition partner of the Republican Party.

It was not clear ahead of the election whether Tsarukian would be willing to form a coalition again with Sarkisian’s party if, as the opinion polls suggest, neither wins enough votes to govern on its own.

Ruling coalition

The Armenian Revolutionary Federation, a smaller party currently in the ruling coalition with the Republicans, could help Sarkisian’s party form a majority coalition is Tsarukian is unwilling to do so.

Polls left it uncertain whether that party will get enough votes to be represented in parliament.

To win parliamentary seats, a party must win at least 5 percent of the vote and an alliance of parties must win at least 7 percent.

The right-wing conservative ORO Alliance, a bloc formed by three former cabinet ministers, could clear the threshold and win parliamentary seats.

That alliance takes an even harder line than Sarkisian’s Republicans on negotiations with Baku toward a settlement on the long-running conflict over Azerbaijan’s breakaway region of Nagorno-Karabakh.

Polls suggested three other political forces also have a chance to win parliamentary seats.

One is the Congress — PPA Party Alliance of former President Levon Ter-Petrosian, which puts an emphasis on making land-for-peace concessions with Baku in order to reach a settlement on the status of Nagorno-Karabakh.

Another is the Armenian Renaissance Party, led by former parliament speaker and former security council chief Artur Baghdasarian.

Heavy election coverage

Baghdasarian owns the private television channel TV3, which has given heavy coverage to his party’s election campaign.

Polls suggest the centrist opposition Way Out Alliance, which has positioned itself as more pro-Western than its rivals, also was close to crossing the 7 percent barrier it needs to win parliamentary seats.

Opinion polls suggest that two smaller parties – the Communists and the pro-Western Free Democrats – are unlikely to win parliamentary seats.

Days ahead of the vote, the U.S. Embassy in Yerevan issued a joint statement with the European Union, Germany and the United Kingdom expressing concerns about allegations of irregularities since the campaign formally began on March 5.

The March 29 statement said diplomats were “aware of and concerned by” what it said were allegations of “voter intimidation, attempts to buy votes, and the systemic use of administrative resources to aid certain competing parties.”

In its interim report on March 7, the Organization for Security and Cooperation in Europe (OSCE)’s observation mission also noted allegations of “widespread vote-buying” and “the prevalent perception” of “pressure and intimidation of voters.”

The OSCE mission also said that Armenia’s major commercial television stations “are financed by business and political groups and are perceived as being strongly associated with the government, as is public TV.”

The report said journalists had complained to monitors about “interference into editorial autonomy” and the “discouragement of critical reporting of the government on television.”

Focus on daily life

The main focus of the campaign has been social and economic issues affecting day-to-day life in the former Soviet republic.

 

Two political forces, Nikol Pashinian’s Way Out and the Free Democrats Party, have sought to position themselves as more pro-Western than their rivals.

Political analysts say that’s because public anger over Armenia’s economic problems is even stronger now than in 2015, when thousands of demonstrators blocked a central boulevard in Yerevan to protest planned electricity-price hikes.

 

For many, law wages, high inflation, joblessness, and corruption have eclipsed the question of whether Armenia should remain within the Russia-led Eurasian Economic Union or seek closer integration with Europe.

 

Russian weapons deliveries to Baku had been the topic of heated debate after an escalation of the conflict over Nagorno-Karabakh last year.

 

But in the parliamentary campaign, most political forces steered clear of those issues and the question of whether Armenia is more secure with Russia as its ally.

RFE/RL correspondent Ron Synovitz in Prague and Suren Musayelyan in Yerevan contributed to this report.

Acclaimed Russian Poet Yevtushenko Dies in Oklahoma

Acclaimed Russian poet Yevgeny Yevtushenko, whose work focused on war atrocities and denounced anti-Semitism and tyrannical dictators, has died. He was 84.

Ginny Hensley, a spokeswoman for Hillcrest Medical Center in Tulsa, confirmed Yevtushenko’s death. Roger Blais, provost at the University of Tulsa, where Yevtushenko was a longtime faculty member, said he was told Yevtushenko had died Saturday morning.

“He died a few minutes ago surrounded by relatives and close friends,” his widow, Maria Novikova, was quoted as saying by the Russian state news agency RIA Novosti. She said he’d died peacefully in his sleep of heart failure.

Yevtushenko gained notoriety in the former Soviet Union while in his 20s, with poetry denouncing Josef Stalin. He gained international acclaim as a young revolutionary with “Babi Yar,” the unflinching 1961 poem that told of the slaughter of nearly 34,000 Jews by the Nazis and denounced the anti-Semitism that had spread throughout the Soviet Union.

Heard by huge crowds

At the height of his fame, Yevtushenko read his works in packed soccer stadiums and arenas, including to a crowd of 200,000 in 1991 that came to listen during a failed coup attempt in Russia. He also attracted large audiences on tours of the West.

With his tall, rangy body, chiseled visage and declaratory style, he was a compelling presence on stages when reading his works.

“He’s more like a rock star than some sort of bespectacled, quiet poet,” said former University of Tulsa President Robert Donaldson, who specialized in Soviet policy during his academic years at Harvard.

Until “Babi Yar” was published, the history of the massacre was shrouded in the fog of the Cold War.

“I don’t call it political poetry, I call it human rights poetry, the poetry which defends human conscience as the greatest spiritual value,” Yevtushenko, who had been splitting his time between Oklahoma and Moscow, said during a 2007 interview with The Associated Press at his home in Tulsa.

Yevtushenko said he wrote the poem after visiting the site of the mass killings in Kyiv, Ukraine, and searching for something memorializing what happened there — a sign, a tombstone, some kind of historical marker — but finding nothing.

“I was so shocked. I was absolutely shocked when I saw it, that people didn’t keep a memory about it,” he said.

It took him two hours to write the poem that begins, “No monument stands over Babi Yar. A drop sheer as a crude gravestone. I am afraid.”

Native of Zima

Yevtushenko was born in the Siberian town of Zima, a name that translates to winter. He rose to prominence during Nikita Khrushchev’s rule.

His poetry was outspoken and drew on the passion for poetry that is characteristic of Russia, where poetry is more widely revered than in the West. Some considered it risky, though others said he was only a showpiece dissident whose public views never went beyond the limits of what officials would permit.

Dissident exile poet Joseph Brodsky was especially critical, saying, “He throws stones only in directions that are officially sanctioned and approved.” Brodsky resigned from the American Academy of Arts and Letters when Yevtushenko was made an honorary member.

Donaldson invited Yevtushenko to teach at the university in 1992.

“I like very much the University of Tulsa,” Yevtushenko said in a 1995 interview with the AP. “My students are sons of ranchers, even cowboys, oil engineers. They are different people, but they are very gifted. They are closer to Mother Nature than the big city. They are more sensitive.”

He was also touched after the 1995 bombing of a federal government building in Oklahoma City, killing 168 people. He recalled one woman in his class who lost a relative in the blast, then commented that Russian women must have endured such suffering all their lives.

“This was the greatest compliment for me,” he said.

Blais, the university provost, said Yevtushenko remained an active professor at the time of his death. His poetry classes were perennially popular and featured football players and teenagers from small towns reading from the stage.

“He had a hard time giving bad grades to students because he liked the students so much,” Blais said.

Lauded in Russia

Yevtushenko’s death inspired tributes from his homeland.

Prime Minister Dmitry Medvedev said on the Russian social media site Vkontakte: “He knew how to find the key to the souls of people, to find surprisingly accurate words that were in harmony with many.”

A spokesman for President Vladimir Putin said the poet’s legacy would remain “part of Russian culture.”

Natalia Solzhenitsyna, widow of the novelist Aleksandr Solzhenitsyn, said on Russian state television that Yevtushenko “lived by his own formula.”

“A poet in Russia is more than a poet,” she said. “And he really was more than a poet — he was a citizen with a pronounced civic position.”

US Escalates Criticism of Russia Over Ukraine, Vows Sanctions to Stay

The Trump administration escalated its criticism of Moscow Friday, with two of its most senior officials denouncing Russia’s treatment of Ukraine and reiterating a vow to maintain U.S. sanctions.

In his first visit to a NATO ministerial meeting in Brussels, U.S. Secretary of State Rex Tillerson accused Russia of “aggression” in Ukraine and told his counterparts that their alliance is “fundamental to countering both nonviolent, but at times violent, Russian agitation” in the region. 

He also said U.S. sanctions against Moscow will remain in effect until it “reverses the actions” that triggered them. Washington imposed the sanctions in response to Russia’s 2014 annexation of Ukraine’s Crimean peninsula and expanded them after Moscow began providing military aid to pro-Russian separatists in eastern Ukraine.

Tillerson’s previous language on Russia had been more conciliatory. After his first meeting with Russian Foreign Minister Sergei Lavrov on the sidelines of a Group of 20 major economies meeting in Bonn in February, Tillerson said the U.S. wants to find “new common ground” with Russia and “expects” it to honor commitments to de-escalate violence in Ukraine as part of the 2015 Minsk agreement.

U.S. ambassador to the U.N. Nikki Haley, whose role is subordinate to Tillerson, similarly criticized Russian “aggression” and vowed to keep U.S. sanctions in place in remarks to the U.N. Security Council February 2.

U.S. Secretary of Defense Jim Mattis also fired a verbal attack at Russia Friday. Echoing language he used in February, Mattis told reporters in London that Russian “violations” of international law are now a “matter of record — from what happened with Crimea to other aspects of their behavior in mucking around inside other people’s elections” — a likely reference to U.S. allegations of Russian meddling in the 2016 U.S. presidential election campaign.

Senior Russian lawmaker Alexey Pushkov was not amused by the U.S. verbal assaults. In a Friday tweet, he said the new U.S. administration “sounds like the old one — Mattis is indistinguishable from (former Defense Secretary Ash) Carter, Tillerson is talking about ‘Russian aggression.’ (Barack) Obama and (Hillary) Clinton must be happy.”

Bloomberg reported that Tillerson’s tough language on Russia was well-received by NATO officials. 

But NATO’s previous secretary general, Anders Fogh Rasmussen, told VOA Persian that he believes the Trump administration should go further. After speaking at a Hudson Institute forum in Washington Thursday, Rasmussen said the U.S. should “strengthen” its sanctions in response to what he called Russia’s continued destabilization of eastern Ukraine.

Watch: Former NATO Secretary General Anders Fogh Rasmussen on US Sanctions

Tillerson and Mattis made no reference in their new remarks to Russia’s plans for more weapons sales to Iran, a nation the Trump administration has warned against threatening the U.S. or its Middle East allies.

A Russian lawmaker who heads the upper house of parliament’s defense and security committee, Viktor Ozerov, visited Iran last November and told reporters that Tehran was in talks to buy $10 billion worth of Russian military hardware. Ozerov said any Russian deliveries of conventional weapons to Iran likely will have to wait until 2020 when U.N. restrictions on arms sales to Tehran expire.

Moscow had taken a major step to boost military cooperation with Tehran before Ozerov’s announcement, delivering an S-300 advanced air defense system to Iran last year.

U.S. officials responded to the Russian-Iranian weapons talks with alarm, according to The Washington Free Beacon news site. It quoted State Department officials as saying they had long been working behind the scenes to persuade Moscow not to sell weapons to Iran.

Former NATO deputy secretary general Alexander Vershbow, who also spoke at Thursday’s Washington forum, told VOA Persian he does not think U.S. sanctions alone can stop Russia from arming Iran.

Watch: Former NATO Deputy Secretary General Alexander Vershbow on US Sanctions and Russia

“To be effective, the U.S. would have to adopt a unified sanctions approach with Europe,” Vershbow said. “While some sanctions imposed on Russia because of Ukraine may cover the Russian defense as well as financial sectors, targeting additional sanctions against Moscow specifically because of Iran may not be an easy issue for agreement with Europe, given its desire not to harm the Iran nuclear deal.”

Iran agreed to curb activities that could produce nuclear weapons as part of a 2015 deal with world powers, who agreed to ease sanctions against Tehran in return.

This report was produced in collaboration with VOA’s Persian Service.

Trump Turns Up Heat on International Trade

President Donald Trump doubled down on his tough talk on trade with a pair of executive orders Friday, which he says are designed to level the playing field and reduce the $500 billion US trade deficit, more than half of which is with China. As Mil Arcega reports, the issue of unfair trade is likely to come up when the U.S. president meets with Chinese leader Xi Jinping next week.

More US Cities Aim to Make Chinese Travelers Feel at Home

Hotels offer congee and other Chinese staples for room service. Casinos train staff members on Chinese etiquette. Restaurants, tourist sights and shopping malls translate signs, menus and information booklets into Mandarin.

The American hospitality industry is stepping up efforts to make Chinese visitors feel more welcome, since they are projected to soon surpass travelers from the United Kingdom and Japan as the single largest overseas demographic.

And it’s not just the typical tourist hubs of New York and Los Angeles, where such efforts have long been commonplace. Smaller cities like Boston, Las Vegas, Seattle and Washington, D.C., are increasingly getting into the act, industry officials say.

“Americans traditionally lag behind what other international designations do for different cultures,” said Elliott Ferguson, CEO of Destination DC, the city’s convention and tourism organization, which last year launched “Welcome China,” a certification program for local businesses. “We just kind of assume that one size fits all. Quite frankly, that’s just not welcoming.”

Local tourism associations in those and other cities have recently launched campaigns aimed at getting their member hotels, restaurants and tourism companies to better incorporate Chinese language and customs into their offerings. They’re also embarking on tourism-focused sales missions to China and opening satellite offices in Chinese cities to strengthen ties and sell their city to trendsetters.

Sheraton Boston offers creature comforts

Some companies have already embraced the message.

The Sheraton Boston in the Back Bay neighborhood started offering in 2013 simple creature comforts many Chinese travelers expect, including slippers, robes, instant noodles, an electric kettle and green tea, and have since taken other steps to cater to Chinese guests, said Angela Vento, the hotel’s general manager.

The Four Seasons in D.C.’s Georgetown neighborhood makes similar gestures, as well as offering Chinese-language television and newspapers. It’s also working on offering more traditional Chinese dishes on its room service and restaurant menus, said Liliana Baldassari, a hotel spokeswoman.

In Las Vegas, Caesars Entertainment last year started offering guests at some of its affiliated resorts the option to book and pay for hotel rooms using WeChat, China’s most popular social media app.

“It’s made a really strong statement to the Chinese that these people really welcome us and understand us,” said Bruce Bommarito, the company’s vice president for international marketing, noting the Roman-themed casino has rolled out other China-focused initiatives in recent years, including training programs for staff on basic cultural etiquette for serving Chinese guests.

Those and other small touches are a step in the right direction, but more companies need to make an effort to recognize the growing importance of the Chinese market, said Justin Minggan Wei, a 27-year-old from Beijing who came to Boston in 2008 for college, an experience that inspired him to launch a consulting company helping local restaurants and businesses better serve Chinese customers.

Chicago Hilton reaches out

Zeng Wen, a 24-year-old who works part-time as a tour guide for Chinese-speakers in Chicago, said she has noticed recent efforts to reach out to Chinese tourists, like the Hilton hotel chain’s “Hilton Huanying” program, which derives its name from the Chinese words for “welcome.”

 

But Zhe Zhang, a 36-year-old from Guangzhou who visited Los Angeles this year, said he didn’t see any obvious outreach to Chinese visitors, outside of Chinese-run establishments. The most intimidating part, he said, was ordering food with his basic grasp of English.

 

“If possible, restaurants could provide a simple Chinese menu or pictured menu,” Zhang suggested.

Cities can’t afford to be caught flat-footed as China’s growing middle class — almost nonexistent two decades ago — flexes its spending power, industry experts say.

Chinese visitors already spend more in the U.S. than other international visitors, at roughly $7,200 per person, according to the U.S. Travel Association, an industry trade group. Travelers from the country are expected to more than double from about 2.6 million visitors in 2015 to nearly 6 million by 2021, the association said.

More direct flights from China to a wider range of U.S. cities in recent years is partly fueling the boom.

10-year visa a plus

Creation of a 10-year visa between the U.S. and China in 2014 has also made it easier for Chinese to travel more frequently to the U.S. That has allowed them to venture beyond must-see destinations like New York and Los Angeles to smaller and mid-size destinations and even the national parks, said Scott Johnson, a New York consultant working with Boston and other cities to grow their international presence.

The growing ranks of affluent Chinese are also staying longer and visiting more locations in the U.S. as they plan for their children’s college education or seek real estate and other investment opportunities.

U.S. tourism officials are working to assure partners in China that they remain welcoming even as the administration of Republican President Donald Trump tightens international travel policies and promises fundamental changes in the U.S.-China trade relationship, said Tom Norwalk, CEO of Visit Seattle, the city’s tourism organization.

“Security and travel don’t have to be mutually exclusive,” he said. “We’d hate to see us roll back the clock. We’ve been pretty loud and clear about that.”              

First Fiscal Quarter Ends on Financial High Note

Friday marked the end of the week, the month and the first fiscal quarter of 2017.

The first-quarter statistics were pretty impressive with the NASDAQ Composite delivering the best return of the three main indices of nearly 10 percent as the index broke through another record high on Friday, led by heavyweights like Apple (AAPL) and Amazon.com (AMZN).

“The trends that are driving earnings growth in that sector —- cloud computing, internet of things, mobile and tablet adoption, increasing consumption of video, et cetera —- are all intact, and an improving global economy should allow that to continue,” said Chris Zaccarelli, chief investment officer for Cornerstone Financial Partners.

The S&P 500 closed the quarter higher by its best gain since the fourth quarter of 2015. The Dow Jones industrial average added nearly 5.5 percent, which was its sixth straight positive quarter and the longest winning streak since the fourth quarter of 2006, although March showed the first monthly loss since October.

Trading week ahead

The all-important Employment Situation Report for March will be released at 8:30 a.m. ET, April 7. The federal government’s employment data give the most comprehensive report of how many people are looking for jobs, how many have them, what they’re getting paid and how many hours they are working. These numbers provide the best way to gauge the current state, as well as the future direction, of the economy.

Other key macro events include release of the Federal Open Market Committee (FOMC) minutes from March 14-15 on Wednesday and retail same-store sales throughout the morning on Thursday. While investors do not expect a change in the minutes from the last FOMC meeting, the release could move the markets as traders pick apart each word, looking for clues to monetary policy, when the next rate hike may occur and the amount of hikes anticipated for 2017.

Second-quarter outlook

Brad McMillan, chief investment officer at Commonwealth Financial Network, believes the second quarter will get off to a good start.

“Both consumer and business confidence continue to rise, which should provide a tailwind for faster growth,” McMillan said in a research note. “Job creation remains very strong, and wage growth also continues to rise. Around the world, both Europe and Asia are seeing faster growth, marking the first synchronized global expansion since the crisis.”

McMillan believes that the second quarter isn’t likely to repeat the first, but strong economic fundamentals, along with rising corporate earnings, could continue to push markets higher. Rising confidence will support valuation levels and also offers a real possibility of upside surprises in the hard economic data, which could translate into even better than expected earnings growth.

OSCE Chairman Calls for Revitalized Nagorno-Karabakh Peace Process

Austria’s top diplomat on Friday called on both sides of the conflict in Azerbaijan’s autonomous breakaway region of Nagorno-Karabakh to renew the political settlement process.

Marking the first anniversary of deadly clashes in the Azeri region, which is populated mostly by ethnic Armenians, Austrian Foreign Minister Sebastian Kurz, current chairman of the Organization for Security and Cooperation in Europe (OSCE), emphasized his hope for a fresh start in the largely stalled peace negotiations.

“Clashes and serious violations of the cease-fire on the Line of Contact, resulting in casualties, were of particular concern to us throughout the past year,” Kurz said in a public statement. “It is now high time for a focus on pragmatic and practical steps for confidence-building as well as a resumption of substantive negotiations.”

The United States, Russia and France, which co-chair OSCE’s Minsk Group for conflict mediation, used diplomacy to halt the violence between Armenian-backed separatists and Azeri forces, which was the deadliest incident since a 1994 cease-fire established the current territorial division. Although they have been unable to secure a binding peace resolution, former U.S. Ambassador Carey Cavanaugh said, the renewed push by the OSCE presents a rare opportunity for U.S. and Russian coordination.

“President [Donald] Trump had made clear during his campaign, and since then, that he would like to find a way to have more positive relations with Russia. This might be one of those areas where that is more easily tackled,” said Cavanaugh, who once co-chaired the Minsk Group as a special negotiator alongside Russian and French diplomats.

Opportunity to surprise

“For two decades we’ve been working together as co-chairs on this, and I can tell you as a former co-chair — and I have talked with my successors — that the cooperation would surprise people,” he said.

Unlike the Syrian and Ukrainian conflicts, Nagorno-Karabakh is place where U.S. and Russian interests converge. Considering the constant cease-fire violations since the 2016 clashes left more than 100 people dead, Nagorno-Karabakh, he said, cannot be considered a frozen conflict, but rather “a simmering one, which needs a lot of attention and has a lot of danger.”

The only solution that can prevent further violence is close coordination between U.S. and Russian diplomats, whose nations would both benefit from a sustained peace in the region.

But that can only happen, Cavanaugh said, if both Azeri and Armenian-aligned factions show Washington and Moscow that they are ready to re-engage the peace process.

“The sides need to send clear signals to Moscow, to Washington, to Paris, that they are prepared now really to work on peace again.”

This report was produced in collaboration with VOA’s Armenian service.

Hungary Pressed to Allow Soros-funded University to Remain

Pressure is growing on the Hungarian government to withdraw a draft bill on higher education that could lead to the closure of the Central European University in Budapest, which was founded by billionaire philanthropist George Soros.

The U.S. State Department as well as dozens of academics in Hungary and abroad Friday called on Prime Minister Viktor Orban’s government to ensure CEU’s independence and operations.

Orban said Friday on state radio that the CEU was “cheating” because it did not have a campus in its country of origin and because it issued diplomas recognized both in Hungary and the United States, giving it an undue advantage over local institutions. The CEU is accredited in New York state but does not have a U.S. campus.

“This is not fair to Hungarian universities,” Orban said. “There is competition among universities and it is inexplicable why we should put our own universities at a disadvantage … while securing an unfair advantage for the foreign university.”

Nobel Prize winners

Fourteen winners of the Nobel Prize in economics were among about 150 academics from U.S. and European universities who advocated for the CEU in an open letter addressed to education officials and Reka Szemerkenyi, Hungary’s ambassador in Washington.

“It would be a sad outcome for the training of students from the region, for academic research in Hungary, and for our own cooperation with Hungarian academics, if the proposed legislation came into force,” the academics said.

Orban, however, conditioned CEU’s survival to a bilateral Hungary-U.S. agreement on the university. He did not hide his disdain for the Hungarian-born Soros’ policies supporting the university and numerous non-governmental organizations that Orban considers “foreign agents” working against Hungarian interests.

University vows to stay open

CEU rector Michael Ignatieff has vowed to keep the university open despite the draft bill, scheduled to be debated by lawmakers next week. The bill sets new conditions on foreign universities operating in Hungary and was seen as directly targeting the CEU.

Among the 28 foreign universities in Hungary, only CEU would fail to meet a requirement to also have a campus in its home country.

“Contrary to the prime minister’s statement, there is no current Hungarian law that requires universities to have operations in their home countries in order to award degrees in Hungary,” the CEU said. “We have been lawful partners in Hungarian higher education for 25 years and any statement to the contrary is false.”

The CEU also said it was notified Friday by Hungary’s education authority that its accreditation in New York state met the conditions for operating in Hungary.

US speaks out

The U.S. State Department also took exception to the proposed legislation, saying it would impose “new, targeted, and onerous regulatory requirements on foreign universities.”

“If adopted, these changes would negatively affect or even lead to the closure” of the CEU, State Department spokesman Mark Toner said. “We urge the government of Hungary to avoid taking any legislative action that would compromise CEU’s operations or independence.”

Hungarian university organizations also expressed their support for the CEU.

“CEU is a very significant scholarly center,” said Laszlo Lovasz, president of the Hungarian Academy of Sciences. “It is good that it operates in Budapest.”

Tillerson: NATO Allies Must Boost Their Defense Budgets

U.S. Secretary of State Rex Tillerson, meeting with his NATO allies’ counterparts, said Friday in Brussels that they must increase their countries’ defense budgets.

The top U.S.  diplomat told the foreign ministers the alliance must have “all of the resources, financial and otherwise, that are necessary for NATO to fulfill its mission” in places like Iraq and Syria.

Earlier Friday, Tillerson said he also wanted to discuss “Russia’s aggression in Ukraine” with the NATO allies.

Upon arrival in Brussels, the top U.S. diplomat said he sees three important areas to discuss: NATO’s resources for its mission, the organization’s fight against terrorism, including Islamic State, and NATO’s posture in Europe, “most particularly Eastern Europe in response to Russia’s aggression in Ukraine and elsewhere.”

The comments concerning Moscow are some of the strongest the Trump administration has made since coming to power in January.

Tillerson’s visit to Brussels comes one day after meeting with top Turkish officials in Ankara.

Ankara talks

He hailed Turkey as a trusted ally after meeting with Turkish President Recep Tayyip Erdogan and other leaders Thursday.

Tillerson underlined the importance of Turkey in the battle against Islamic State.

But the two NATO allies remain at loggerheads over Washington’s support for the Syrian Kurdish group the PYD and its militia, the YPG, in fighting Islamic State militants. Ankara accuses the PYD of being a terrorist organization affiliated with the PKK, which is fighting the Turkish State.

In a joint news conference, Turkish Foreign Minister Mevlut Cavusoglu stressed Turkey’s opposition to support of the PYD, but did not directly criticize the Trump administration.

Tillerson acknowledged no breakthrough on the dispute, saying more discussions are needed. “We are exploring a number of options and alternatives,” but reiterated Washington’s support of Ankara in fighting the PKK.

With Washington stepping up its military support of the YPG before the operation to liberate Raqqa, the self-declared capital of Islamic State, Ankara increasingly appears resigned to the fact that its call for its military forces to replace the Syrian Kurdish groups has been rejected. But a presidential source ruled out any retaliatory measures against the United States, stressing it did not want the issue to undermine future cooperation.

 

EU Signals Flexibility on Handling of Brexit

The European Union softened its public stance on Britain’s exit from the bloc Friday, with Council President Donald Tusk signaling some flexibility on allowing talks on a new relationship before the divorce proceedings are complete.

 

Draft guidelines obtained by the Associated Press say that the EU and Britain must first “settle the disentanglement” of Britain from the bloc but added that “an overall understanding on the framework for the future relationship could be identified during the second phase of the negotiations under Article 50.” 

 

The guidelines also say it is a priority to settle questions about British and other European citizens living in each other’s countries, and call for “flexible and imaginative solutions” for the issue of the U.K.’s land border with Ireland.

Talks will be difficult 

EU leaders warned after a meeting Friday that the two years of talks triggered this week to negotiate Britain’s exit will be difficult, but insisted they don’t want all-out economic or diplomatic conflict. Tusk is presenting the EU’s draft negotiating guidelines to leaders of the remaining 27 member states Friday.

 

Tusk said the EU will not punish Britain in the talks, saying that Brexit itself is “punitive enough.” The head of the rotating EU presidency, Maltese Prime Minister Joseph Muscat, insisted the negotiations “will not be a war.”

 

Tusk said there would not be parallel discussions about Britain’s exit and its future relationship with the EU, but said that the negotiations could move onto a second phase if there is “sufficient progress” in the exit talks.

 

He didn’t define what kind of progress that would have to be, but said that the 27 remaining EU members would have to agree before moving on.

Threat ruled out

 

Tusk ruled out the suggestion that there was an inherent threat in British Prime Minister Theresa May’s departure letter Wednesday, which some felt hinted that Britain was threatening to end security cooperation with continental Europe unless it gets a good Brexit deal.

 

British Foreign Minister Boris Johnson also insisted Friday that Britain’s commitment to European defense and security is “unconditional” and “not some bargaining chip in any negotiations’’ over Brexit.

 

Johnson, speaking in Brussels upon arrival for a NATO meeting, said he has had good feedback from partners since Wednesday’s British formal announcement of its departure from the EU, despite worries on both sides of the Channel about Brexit. 

California Desert Super Bloom Attracts Tens of Thousands

Rain-fed wildflowers have been sprouting from California’s desert sands after lying dormant for years — producing a spectacular display that has drawn record crowds and traffic jams to tiny towns like Borrego Springs.

 

An estimated 150,000 people in the past month have converged on this town of about 3,500, roughly 85 miles (135 kilometers) northeast of San Diego, for the so-called super bloom. 

 

Wildflowers are springing up in different landscapes across the state and the western United States thanks to a wet winter. In the Antelope Valley, an arid plateau northeast of Los Angeles, blazing orange poppies are lighting up the ground. 

What is a super bloom?

 

But a “super bloom” is a term for when a mass amount of desert plants bloom at one time. In California, that happens about once in a decade in a given area. It has been occurring less frequently with the drought. Last year, the right amount of rainfall and warm temperatures produced carpets of flowers in Death Valley. 

 

So far this year, the natural show has been concentrated in the 640,000-acre (1,000-square-mile) Anza Borrego State Park that abuts Borrego Springs. 

 

It is expected to roll along through May, with different species blooming at different elevations and in different areas of the park. Anza Borrego is California’s largest state park with hundreds of species of plants, including desert lilies, blazing stars and the flaming tall, spiny Ocotillo.

 

‘Flowergeddon’

Deputies were brought in to handle the traffic jams as Borrego Springs saw its population triple in a single day. 

 

On one particularly packed weekend in mid-March, motorists were stuck in traffic for five hours, restaurants ran out of food, and some visitors relieved themselves in the fields. Officials have since set up an army of Port-A-Pottys, and eateries have stocked up. The craze has been dubbed “Flowergeddon.” 

 

Locals call those who view the tiny wildflowers from their cars “flower peepers.” Thousands of others have left their vehicles to traipse across the desert and analyze the array of delicate yellow, orange, purple and magenta blooms up close in the park. Many carting cameras have taken care to step around the plants.

 

Tour groups from as far as Japan and Hong Kong have flown in to catch the display before it fades away with the rising temperatures. 

Rare sightings tracked

 

Wildflower enthusiasts worldwide track the blooms online and arrive for rare sightings like this year’s Bigelow’s Monkey flower, some of which have grown to 8 inches (203 millimeters) in height. The National Park Service has even pitched in with a 24-hour wildflower hotline to find the best spots at the state park.

 

“We’ve seen everything from people in normal hiking attire to people in designer flip-flops to women in sundresses and strappy heels hike out there to get their picture. When I saw that, I thought, ‘Oh no. Please don’t go out there with those shoes on,’” laughed Linda Haddock, head of the Borrego Springs Chamber of Commerce.

 

On a recent day, a young woman sat among knee-high desert sunflowers and shot selfies against the backdrop of yellow blooms that looked almost neon in contrast to the brown landscape. A mother jumped in the air as her daughter snapped her photo among yellow brittlebushes. 

Blooms draw insects, birds 

The blooms are attracting hungry sphinx moth caterpillars that munch through acres. The caterpillars in turn are attracting droves of Swainson hawks on their annual 6,000-mile (9,656-kilometer) migration from Argentina.

 

“It’s an amazing burst in the cycle of life in the desert that has come because of a freakish event like a super bloom,” Haddock said. “It’s exciting. This is going to be so huge for our economy.”

 

Desert super blooms always draw crowds, but lifetime residents said they’ve never seen the natural wonder attract tens of thousands like this time. The park is about a two-hour drive from San Diego and three hours from Los Angeles. 

A lot of rain, a lot of blooms

 

This year’s display has been especially stunning, experts say. The region received 6½ inches (165 millimeters) of rain from December to February, followed by almost two weeks of 90-degree temperatures, setting the conditions for the super bloom. Five years of drought made the seeds ready to pop. 

 

Humans also helped. Park staff, volunteers and female prisoners have been removing the Saharan Mustard plant, an invasive species believed brought to California in the 1920s with another plant, the date palm. Saharan Mustard stole the thunder of another super bloom six years ago, said Jim Dice, research manager at the Anza-Borrego Desert Research Center.

 

“It completely took over the usual wildflower fields and starved out the wildflowers so what we had were giant fields of ugly mustard plant,” Dice said. “That galvanized the community, which depends on tourism largely brought in during the good wildflower years.”

 

Lia Wathen, a 35-year-old investigator in San Diego, took a Monday off from work so she wouldn’t miss the desert flowers.

 

“Any single color that you can think of, you’re going to find it right here,” said Wathen, walking with her Maltese dogs, Romeo and Roxy, before stopping to examine a magenta bloom on a spikey Cholla cactus.

 

Sandra Reel and her husband drove hundreds of miles out of their way when they heard about the super bloom. 

 

“It is absolutely phenomenal to see this many blooming desert plants all at the same time,” she said. “I think it’s probably a once-in-a-lifetime thing.” 

EU Commission Chief Warns Against Championing Brexit, Populist Movements in Europe

European Commission President Jean-Claude Juncker has criticized those, including U.S. President Donald Trump, who praise Britain’s secession from the European Union (EU), and champion similar movements in other member nations. Leaders of the European People’s Party met on Malta Thursday, a day after Britain triggered Article 50 of the Lisbon treaty, officially starting the process known as Brexit. Zlatica Hoke has more.

Cargo Vessels Evade Detection, Raising Fears of Huge Trafficking Operations

Hundreds of ships are switching off their tracking devices and taking unexplained routes, raising concern the trafficking of arms, migrants and drugs is going undetected.

Ninety percent of the world’s trade is carried by sea. Every vessel has an identification number administered by the United Nations’ International Maritime Organization or IMO. But crews are able to change the digital identity of their ship, making it possible to conceal previous journeys.

The Israeli firm Windward has developed software to track the changes. Its CEO, Ami Daniel, showed VOA several examples of suspicious shipping activity, including one vessel that changed its entire identity in the middle of a voyage from a Chinese port to North Korea.

“It’s intentionally changing all of identification numbers. Also its name, and its size, and its flag and its owner. Everything that’s recognizable in its digital footprint. This is obviously someone who is trying to circumvent sanctions [on North Korea],” says Daniel.

Transfers at sea

In a joint investigation with the Times of London newspaper, Windward showed that in January and February more than 1,000 cargo transfers took place at sea. Security experts fear traffickers are transporting drugs, weapons, and even people.

Suspicious activity can be highlighted by comparing a vessel’s journey with all its previous voyages. In mid-January a Cyprus-flagged ship designed to carry fish deviated from its usual route between West Africa and northern Europe to visit Ukraine, deactivating its tracking system on several occasions.

“It’s leaving Ukraine, transiting all through the Bosphorus Straits into Europe, then drifting off Malta,” explains Daniel, as the Windward system plots the route of the reefer [refrigerated] vessel on the screen. “On the way it turns off transmission a few times … then it comes into this place east of Gibraltar. This area is known for ship-to-ship transfers and smuggling, because of the proximity to North Africa.”

Under global regulations all vessels must report their last port of call when arriving in a new port.

“But as you can understand, when it does ship-to-ship transfers here, it doesn’t actually call into any port, right, because it’s the middle of the ocean. So it’s finding a way to bypass what it already has to report to the authorities,” Daniel said.

Finally the vessel sails to a remote Scottish island called Islay, but again it anchors around 400 meters off a tiny deserted bay. The specific purpose of this voyage hasn’t yet been identified.

Lack of political will

Daniel shows another example of a vessel leaving the Libyan port of Tobruk before drifting just off the Greek island of Crete, raising suspicions that it is involved in people smuggling.

But he says using information like this to investigate suspicious shipping activities requires political will as well as technological advances.

“Regulation, coordination, legislation. And then proof in the court of law. And not all of this necessarily exists. The high seas, which means 200 nautical miles onwards by definition, are not regulated right now. The U.N. is still working on it.”

Meanwhile the scale of smuggling around the United States’ coastline was underlined this month, as the Coast Guard intercepted 660 kilos of cocaine off the coast of Florida, with a street value of an estimated $420 million.

 

 

Cargo Vessels Evade Detection, Raising Fears of Trafficking Operations

Hundreds of ships are switching off their tracking devices and taking unexplained routes, raising concern that the trafficking of arms, migrants and drugs is going undetected. New technology enables authorities to follow the routes of suspect vessels, but security experts say taking on the smugglers will require greater coordination. Henry Ridgwell reports.

Airline to Offer Loaner Laptops in Wake of US Ban

Qatar Airways is offering loaner laptops to its business class passengers in the wake of a U.S. ban on them on flights from several countries.

“As an award-winning and global airline we truly appreciate the importance of being able to work on board our aircraft and that is why I have insisted on offering only the best possible solution for our customers,” said Akbar Al Baker, the company’s CEO. “By providing this laptop loan service we can ensure that our passengers on flights to the US can continue to work whilst on-board. This unique ability to offer ‘business as usual’, above and beyond the competition, is yet another example of Qatar Airways justification for being the ‘World’s Best Business Class.’”

A news statement from the airline did not say what kind of computers the loaners will be, nor what software will be available. Photos posted with the statement show a MacBook Pro.

The airline says customers will be able to bring their own USB sticks so they can have access to documents they may be working on.

In a nod to economy passengers, the airline says it will offer one hour of free wi-fi as well as full wi-fi access for the entire flight for $5.

The ban on devices, which as announced earlier this month, includes tablets, e-readers, portable DVD players or any electronic device bigger than a smartphone.

The policy only covers nonstop flights to the U.S. from 10 airports in North Africa and the Middle East. Some of the airports include busy hubs like Istanbul, Turkey, and Dubai in the UAE.

Flights to these destinations from the U.S. are not subject to the ban.

Other airlines affected by the ban are taking similar steps. Emirates is letting passengers use laptops up to the moment they board, and Etihad is offering free wi-fi and iPads to its premium customers.

Government: US Economic Growth Stronger Than First Thought

U.S. economic growth was a little stronger that first thought in the last few months of 2016.

Thursday’s updated report from the Commerce Department says the economy grew at a 2.1 percent annual rate in October, November and December.  Growth was helped by stronger consumer spending.

PNC Bank economist Gus Faucher says the world’s largest economy is in “solid shape” and expects growth will be stronger this year than in 2016.

During the campaign, U.S. President Donald Trump promised to boost economic growth to four percent or better by cutting taxes and regulations, and boosting investment in roads and bridges.  Many private economists doubt this growth rate can be achieved.  Some argue that Trump’s stimulus efforts cannot overcome the economic drag from slow productivity growth and an aging workforce that is losing members to retirement.  

A separate report from the Labor Department said new unemployment claims declined by 3,000.

The data show that the total number of applications for unemployment (258,000) is still low enough to show a healthy labor market.  The number of jobless claims has been below 300,000 for more than two years, the longest stretch since 1970 when the labor force was smaller.