Thursday, 25 November 2021

E.I.R.STRATEGIC ALERT WEEKLY NEWSLETTER

   E.I.R.STRATEGIC ALERT 

WEEKLY NEWSLETTER 

Volume 35, No. 47, November 25, 2021 

Despite the Malthusians, Ensuring Food  and Health Security Worldwide Can Be Done! The failure of the COP26 conference to ram through the  British Empire’s Green Reset policy -- principally due to the  resistance of developing countries such as India, Nigeria, In donesia, China and also Russia -- has bought the world a little  time. But only a little. 

The entire trans-Atlantic sector remains in the throes of a  systemic breakdown crisis as the physical economy continues  to plummet. Hyperinflation is now hitting food as well as en ergy supplies with increases of 30% per year and more. The  COVID-19 pandemic is rampaging out of control, to the point  that even in countries such as Germany and Austria, the sinis ter policy of “triage” is openly evoked (cf. below).  

The main cause of these crises is the West’s intentional  failure to invest in the real economy and the common good  over the past decades, while ensuring obscene profits in the  trillions for speculators, investment bankers and the multina 

tional cartels and corporations that control food, health and  energy supplies.  

The good news is that since that policy is intentional, it can  be reversed. The means to do so were discussed and present ed at the Schiller Institute’s international conference of Nov.  13-14, titled ““All Moral Resources of Humanity Have To Be  Called Up” (cf. https://schillerinstitute.com/blog/2021/11/21/ and SAS 46/21). 

UN World Food Program Director David Beasley has repeat edly stated that his organization needs about $6.6 billion to  save 42 million people from the threat of death by starvation,  and has polemically called upon the growing number of bil lionaires in the world to come up with that amount.  

In response to a cynical reply from Elon Musk, the WFP re cently presented charts on how much money is needed, where  and for what food aid. Similar details could be mapped out  for tackling other basic emergencies, such as water, power,  disaster defense, as well as medical and public healthcare, not  to mention long-term infrastructure.  

In terms of the food supply, a catastrophic production col lapse is looming in terms of volumes of output of basic food  staples, requiring emergency action.  

Again, this is due, in addition to the wars and geopolitical  conflicts, to price inflation, shortages of fertilizer and seeds,  

and the cumulative impact from the lack of reliable water and  other infrastructure.  

On the healthcare front, the Schiller Institute’s call for set ting up a modern health system in all countries is the approach  that’s needed. Nothing less will work, as the current spread of  COVID-19 should have made clear to everyone by now. The  lack of medical supplies and personnel in Afghanistan, Haiti,  and Yemen is particularly dire, and the imposition of economic  sanctions in such conditions (and the freezing of Afghanistan’s  assets abroad) is simply criminal.  

At a virtual forum on humanitarian aid for Afghanistan  held on Nov. 17, Schiller Institute chairwoman Helga Zepp LaRouche presented her proposal for an “Operation Ibn  Sina” for that war-torn country (cf. SAS 44, 46/21). Ensur ing adequate food and a decent health system for the Af ghans, she has argued, is not only a humanitarian question,  but also a moral imperative, given the role of the United  States and Europe in destroying the country and using it as  a geopolitical tool.  

Moreover, a modern health system would provide the basis  for a complete economic transformation of the country, since  clean water, electricity, sanitation, decent housing, are just as  much a part of healthcare as medicine, hospitals, trained me 

dical personnel and decent food.  

Inflation and the “Tapering Wars”  

How to address the explosion of inflation is purportedly the  subject of a policy fight ongoing internationally. While the one  side calls for “tapering” measures, i.e., reducing the liquidity  in the market, the other side insists on a continuation of the  expansionary monetary policy in order to avoid a financial col 

lapse. Both remedies are poisonous.  

In Europe, outgoing Bundesbank President Jens Weide mann is calling for monetary tightening to try and contain  the dramatic rise in prices. “We should not ignore the risk a  too high inflation”, he told the European Banking Congress in  Frankfurt, adding that “monetary policy should not follow the  current course for too long”.  

In the United States, James Bullard, the president of the  Federal Reserve Bank of St. Louis, is telling Federal Reserve  Chairman Jerome Powell that he should “taper” faster, in oth er words he should slow down the rate of inflationary quanti-

tative easing: “It makes sense to try to move a little bit more  hawkishly here and try to manage the inflation risk”, Bul lard said in an interview last week on Bloomberg Television.  (Hawkishly, in central bank jargon, means raising interest  rates to fight inflation.) Similarly, Goldman Sachs is predicting  (i.e., it favors) two interest rate increases next year, nearly a  

year earlier than the firm’s previous projections. In contrast, Mary Daly, president of the San Francisco Fed eral Reserve Bank, as cites by AP on Nov. 18, thinks “the Fed  should continue its current pace of tapering through June,  and then, assuming the pandemic steadily loosens its grip on  the economy, wait to get a clearer sense of whether inflation  will fade.” 

The President of the European Central Bank Christine  Lagarde was on the same line. Speaking at the European Par liament on Nov. 15, she admitted that her judgment on infla tion had been wrong, and that “it will take longer to decline  than originally thought”.  

Just as she was speaking, the ECB balance sheet had  reached the record figure of 8.38 trillion euros. As NTV put it,  the ECB under Lagarde has pumped €171 billion monthly into  the financial system – which makes 5.7 billion every day! That  is nearly the entire amount the World Food Program insists  would be required to solve the food emergency worldwide... 

Eight Years Later, the Stunning Success  of China’s Belt and Road Initiative 

It was in September, 2013, that Chinese President Xi Jinping  first announced the launching of the global connectivity plan  now known as the Belt and Road Initiative, which has since  become the largest and most impressive infrastructure proj 

ect ever undertaken.  

 As of today, China has signed more than 200 cooperation  documents for jointly building the Belt and Road with 140  countries and 32 international organizations, involving the  construction of roads, railways, port facilities, energy produc 

tion, and more.  

 Most importantly, the initiative offers the poorest countries,  most notably in Africa, the opportunity to finally overcome  their under-development and lift their populations out of ex 

treme poverty, as China has in fact accomplished.  At a Belt and Road construction seminar held on Nov. 19, Xi  Jinping summarized the major achievements of the past eight  years and stressed the mutual benefits of “win-win coopera tion” for all those involved.  

He laid out the three main aspects of the initiative: its “hard  connectivity” such as high-speed rail and major dam and port  projects; its “soft connectivity” such as fiber optic lines, artifi cial intelligence, the Digital BRI, and satellite communication;  and the “heart-to-heart connectivity”, or people-to-people  relations, including the creation of dozens of educational proj ects in participating countries. 

The Chinese President also responded indirectly to those in  the trans-Atlantic who attack the BRI as an insidious attempt  to extend China’s “sphere of influence” throughout the world  to the detriment of the West. It has received such broad sup 

port, he said, in developing countries in particular, because it  is an initiative for economic cooperation, rather than a geopo litical alliance or military league, and it is an open and inclusive  process rather than an exclusive bloc or a “China club.”  

”It does not differentiate countries by ideology nor play the  zero-sum game. As long as countries are willing to join, they  are welcome,” Xi said. That offer has been repeatedly extend ed both to the United States and the European Union, which  have so far refused it.  

In any case, between 2013, when the BRI was announced,  and 2020, China’s total trade with BRI countries reached  $9.2 trillion. Chinese investment in BRI countries totaled  $136 billion, creating 200,000 local jobs, while BRI coun 

tries invested some $60 billion in China. The China-Europe  rail connections have continued and even expanded in spite of  the restrictions due to COVID.  

Just to mention a few of the most recent projects that are  completed or reaching completion, they include the high speed rail link from China to Vientiane, the capital of Laos,  the first Metro line in Hanoi, the Karot Hydropower Project  in Pakistan, and the shield-bored tunnel project of Malaysia’s  Light Rail Transit Line 3. 

Zepp-LaRouche in Chinese Media:  

The Role of the BRI in the Current World Crisis On the occasion of the eighth anniversary of China’s Belt and  Road Initiative (BRI), Helga Zepp-LaRouche gave two inter views to CGTN-TV, one on Global Business, and the other  on the Dialogue Weekend program. Mme LaRouche has been  long known in China and internationally as the “Silk Road  Lady,” for her advocacy of that concept going back to the  1990s.  

In both interviews, she stressed the urgency for Western  nations to rethink their policies, and give up geopolitics and  neo-colonialism, which have brought the world to the brink of  nuclear war, worsening famine and persisting pandemic. This  policy, by keeping developing nations in poverty, has led to  countless conflicts and produced mass migrations. 

As she pointed out to Dialogue Weekend, Europe is very  concerned about the refugee crisis right now, which has again  exploded on the Belarus-Poland border. But rather than con sidering building a wall on the EU borders to try and keep  people out, they, together with the United States of course,  have “a moral obligation” to reconstruct countries that have  been destroyed and ravaged by Western policies and wars,  including Afghanistan, Syria, Iraq and Yemen.  

“If Germany and the European Union were to cooperate  with China and the Belt and Road countries to develop South West Asia and Africa, there would be no refugee problem”,  she pointed out.  

In her CGTN Global Business interview, Helga Zepp-La Rouche drew attention in to the fact that the principle un derlying what China calls its “Health Silk Road,” is the same  at that behind the Schiller Institute’s campaign for nations to  collaborate in building a world health system (cf. above). Such  a system requires not only medical and healthcare facilities  and staff, but also adequate food, water and power supplies,  as well as basic infrastructure. 

Asked by CGTN presenter Michael Wang about her opinion  of the BRI at a time of uncertainties in the world, Helga Zepp LaRouche replied: “I think it is, for sure, the most important  strategic initiative on the planet right now.”  

There are indeed many uncertainties, “for example in the  form of a hyperinflationary tendency: You see the energy 

EIR STRATEGIC ALERT 2 WEEKLY NEWSLETTER n°47 / 2021 

prices skyrocketing, food prices, and we may actually head  towards a hyperinflationary blowout of the entire system.  And at such a moment, the Belt and Road Initiative -- which  focuses entirely on the physical side of the economy -- can  actually become the absolute important savior for the world  economy as a whole.” 

The Case of Germany: a pre-programmed  failure in the fight against the pandemic All of Europe has now entered the fourth wave of the COVID  19 pandemic, but the situation in Germany is particularly  striking.  

 Driven by panic rather than a reasonable strategy, German  authorities see no other way to drastically reduce the alarm ing rise in infection rates than to impose more restrictions on  public life – with the perspective of imposing day curfews for  the vaccinated and unvaccinated alike, if need be, in addition  to some night-time curfews already planned.  

Hospitals are warning of their work overload, having suf fered a net loss of personnel and intensive care units over the  past 12 months in the range of several thousand ICU beds.  Health Minister Jens Spahn had promised one year ago that  13,000 new units would be purchased, but they never ma terialized.  

Just a few days ago, Spahn created an uproar by pro posing that patients go to in other European countries to  be treated if not enough medical facilities can be found for  them in Germany! 

The shortage of beds and personnel is the result of some 20  years of incompetence, ignorance and austerity-dictated ap proaches. The lack of nursing staff is now at 220,000, most  dating from before the pandemic. The situation is sure to  worsen greatly as 500,000 nurses will have retired by 2030.  A crash program is thus urgent, with the recruitment and full  training of several hundred thousand well-paid staff mem bers. That in addition to all the other investments required in  the medical sector for equipment, hospitals, as well as preven tion. In sum, budget austerity is the enemy of a well-thought  out health system.  

Germany used to be a model in such affairs. But today’s  policymakers are of the view that “we’ll just have to live with  the virus” for the time being.  

Looking back at almost two years of the pandemic, it is  evident that the decision to transfer coordination of the mea sures from EU member states to the European Commission  was a huge mistake, which delayed the start of mass-test ing and vaccination by several months as Brussels sank into  squabbling over who would pay, and how much. It was also  a mistake for so many politicians and experts to argue that  administering vaccinations was a viable alternative to creating  more ICU units.  

Even in monetary terms, the cost of the pandemic far out weighs the amount of money that may have been “saved” by  non investment in vital areas.  

The “very dramatic Christmas season” that the director of  the Robert Koch Institute Lothar Wieler warned of, due to the  laissez-faire attitude of policymakers, is most certain now, as  the measures being taken to contain and substantially reduce  the very high infection rates of over 50,000 daily are coming  too late.  

It is to be hoped (but not expected) that the incoming Ger man government will do a better job than the current one.  

From Bolloré to Bannon: Behind the Sudden  Rise of Eric Zemmour in France 

With the next French Presidential elections just five months  away, it was generally believed, until last September, that the  second and final round would be a stand-off between current  President Emmanuel Macron and the far right-wing contend 

er Marine Le Pen (who has since dropped most of her attacks  on the EU and has called for NATO to become an international  gendarme to fight Islamic fundamentalism). However, since  then, an unprecedented media campaign has put the spotlight  on “outsider” Eric Zemmour, a Le Figaro columnist, author  and inflammatory political commentator, who exploits the  growing sense of economic and social insecurity in France. But  he is also promoted by powerful factions in both the French  establishment and the Anglo-American oligarchy. 

Although he has not officially announced his candidacy,  Zemmour’s popularity nearly doubled in less than one month,  going from 7% to 13% , and at some points beyond to over take Marine Le Pen. His rise is envied by British conservatives,  such as those at The New Statesman, which recently published  an article titled “Eric Zemmour is eating Marine Le Pen alive”.  “Efforts to cancel and demonize Zemmour are plainly failing”,  it stated, noting that his new book sold 200,000 copies in  one week.  

From the United States, former investment banker and  right-wing populist Steve Bannon wans to publish in English  Zemmour’s books (promoting Islamophobic views). He told  Le Parisien (Nov. 13) that if “you look to Trump, Bolsonaro  or Salvini, they are all men of action. Zemmour adds an intel 

lectual to the debate. (…) In Spring 2022, the world will have  it’s eyes concentrated on the great debate in France, which  will be the debate between globalization and sovereignism.” It  will have a direct impact, he believes, on the entire world, and  more specifically on the November mid-term elections in the  United States. With that political calculation in mind, Bannon  announced in Le Parisien that he would launch, as of January  2022, a French version of his podcast, The War Room. 

And in France itself, the “intellectual” Islamaphobic author is  promoted by billionaire Vincent Bolloré, the main shareholder  of the giant media group Vivendi. According to a long feature  article published on Nov. 16 by two senior investigative jour 

nalists of Le Monde, behind the sudden rise of Eric Zemmour,  one find the “desire for revenge” of Bolloré, whose “anger has  been brewing for several months.” He believes, they write,  that Emmanuel Macron backed Bernard Arnault, the power 

ful boss of world luxury leader LVMH, to take control of the  Lagardère media group that Bolloré hoped to acquire.  Zemmour, “with whom he talks on the phone every day,  and whose identity and anti-Islam obsessions colonize the de bate,” has become Bolloré’s nuclear option. After he opened  his TV channel CNews to Zemmour, the number of viewers  tripled. The article further states that Bolloré intends to cre ate a think-tank devoted to “the defense of French identity,”  and opposed to “wokism”, with its “neo-feminism and the  questioning of the ‘traditional male”. He has “begun to be lieve in the famous ‘war of civilizations’, which Eric Zemmour  speaks about.” 

EIR STRATEGIC ALERT n°47 / 2021 WEEKLY NEWSLETTER 3 

A Message to Young People  

on Climate Change: “Wake Up!” 

The following 7-point statement was issued by CLINTEL Group  President Guus Berkhout under the title “Dear Youngsters at  COP26, Please Wake Up” and was presented by him personally  at the Schiller Institute online conference on Nov. 14 (cf. SAS  46/21 and https://schillerinstitute.com/blog/2021/11/21/ as  well as SAS 41/21)). 

1. Please, don’t act like a parrot. Be critical against the many  false prophets, who are trying to take advantage of you and  set you up against the impressive progress your parents and  grandparents have realized. Bear in mind that the information  these prophets tell you is one-sided and misleading. 

2. Deepen your knowledge on the facts of our climate.  By doing so, you will discover that there is no evidence that  points to a climate crisis. Yes, climate change exists and it is  of all times. But don’t worry, the current global warming is  gentle (only ca. 0.14° C per decade) and it has already made  many, many positive contributions to the quality of life. 

3. Do you know that the difference between the mean an nual temperature in cold Finland and warm Singapore is more  than 20° C. Yet, both these countries are most successful.  Mankind is very clever in adapting to very different climates!  Declaring current global warming of 0.14° C per decade a ca tastrophe is totally out of proportion. Think about that, while  you are protesting. 

4. Did your teachers ever tell you that CO2 is a blessing for  everything that lives on our planet? Far from being pollution,  CO2 is the molecule of life, providing food for plants. Without  plants there would be very little animal life and no human life  at all. Think about that as well, while you are protesting. 

5. Don’t confuse climate change with environmental pollu tion! They are two completely different phenomena. Climate  change is largely caused by the primordial natural forces and  environmental pollution is largely caused by human behavior.  Climate change requires clever adaptation measures and envi ronmental pollution asks for clever clean production technolo gies. 

6. Please, don’t waste your life by solving a problem that  does not exist. Instead, put all your talents and energy in  developing a productive sustainable economy. Only then can  you realize enough financial means to increase the standard  of living beyond the basic needs. When you go back to the  unproductive past and make yourself poor, you are no longer  in control of your future! 

7. History shows that living on planet Earth requires ad aptation all the time. If you continue to advance science and  technology, you generate new capabilities to adapt to climate  change, to protect our natural environment, to conquer the  universe and to take care of one another. This is the formula  for creating a better world. 

Finally, Dear Youngsters, 

For all of you who have been poisoned by fear of what is  to come, forget the dodgy preachers of doom and gloom at  COP26; they ruin your future by destroying everything your  parents and grandparents have built.  

Moves to Integrate Afghanistan into BRI  Railway Projects in Central Asia 

While the food and healthcare crises on the ground in Afghan istan remain critical, neighboring countries are taking decisive  

steps to integrate the country into regional transportation  projects, and thus provide the as-yet missing link between  Central Asia and South Asia.  

 A crucial project is the part of the Trans Asian railway net work connecting Uzbekistan to Pakistan, via Afghanistan. The  line would continue to the Pakistani city of Peshawar, where  it would hook up with the China-Pakistan Economic Corridor  (CPEC), which extends down to the new Pakistani port of  Gwadar on the Arabian Sea. 

Earlier this year, prior to the Taliban takeover Afghanistan,  the World Bank considered loaning up to $4.5 billion for the  project, according to the Uzbek government, and there was  also an agreement among Uzbekistan, Afghanistan and Paki 

stan, as well as the United States, to support the building of  the railway. 

While Washington continues to stall on recognizing the Tali ban government, Uzbekistan and Pakistan call for constructive  engagement with Kabul to avert a disastrous humanitarian  crisis. In an op-ed for InDepthNews (Nov.16) former Indian  diplomat M.K. Bhadrakumar, reported on progress made dur ing the recent visit of Uzbekistan’s National Security Advisor,  Lt. Gen. Viktor Makhmudov, to Islamabad, where he met his  Pakistani counterpart as well as Prime Minister Imran Khan.  In addition to agreements to expand cooperation against ter rorism, transnational crime, and drug trafficking, promoting  regional connectivity, especially the railway project, was high  on the agenda.  

On Nov. 10, Pakistan’s Minister for Railways Azam Khan  Swati had expressed confidence that the rail link would be  confirmed soon, telling the Senate that it was like a “jugular  vein” for Pakistan, and that its “technical and financial feasibil 

ity is in its final phase”. 

Another crucial link for the Central Asia region is Beijing’s  long-standing project to build a railway line connecting China  with Uzbekistan that passes through Kyrgyzstan.  

On Nov. 8, Prime Minister Zhaparov of Kyrgyzstan an nounced that the government has reached an agreement with  the Uzbeki government on all outstanding issues regarding  the railway project and expects to do the same with the Chi nese in the near term. In the framework of the BRI, Beijing  would like to extend that rail line onward to Turkmenistan  and Iran. 

While China has called for the railway to be standard gauge  and not broad gauge (still used in the former Soviet Union),  M.K. Bhadrakumar suggests that a dual track technology  could be used. China and Russia have used this technology  on the recently completed 2.2 km Tongjiang-Nizhnelenin 

skoye railway bridge across the Amur River. If trials of the  technology are successful, it would be extended all the way  through Russia.  

E.I.R. STRATEGIC ALERT www.eir.de 

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EIR STRATEGIC ALERT 4 WEEKLY NEWSLETTER n°47 / 2021 


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