The World this Week

The World this Week
Europe's Rescue Package, Wuhan's Reopening, Saudi Arabia's Yemen Ceasefire and the WHO controversy

GP Team
11 April 2020
Photo Source: https://ec.europa.eu/

The World This Week # 62, 11 April 2020, Vol 2 No 15

By Sourina Bej, Harini Madhusudan, Lakshmi V Menon, Sukanya Bali and Rashmi Ramesh


Europe: Amid North-South Divide, EU declares €500bn as rescue package to fight the COVID-19 

What happened? 

The European Union Finance Ministers on 10 April agreed on a €500bn rescue package for the severely affected European economies in the pandemic. The deal was announced after the resolution of an impasse between the southern countries of Italy, Spain, France and the northern countries of the Netherlands, Austria, and Finland within the EU. The deadlock was over the demand for 'Coronabonds' by the southern countries who insisted that the bonds funded by all EU countries will help in recovering any debts in a country. The other group rejected this idea of the collective burden of common debt and finally agreed on a rescue deal.  

The main component of the rescue plan is the European Stability Mechanism through the EU's bailout fund, which will make Euro 240bn available to guarantee spending by indebted countries under pressure. The EU ministers also agreed on other measures including Euro 200bn in guarantees from the European Investment Bank. 

What is the background? 
The breakthrough deal has made it clear that bitter divisions within the EU over the longer-term task of rebuilding the European economy are deep-rooted. The north-south division within the EU has its roots in the austerity measures that the bloc imposes to bail out the debt-ridden countries in the region. The euro crisis of 2009 and the crisis in Greece in 2018 have taught the harsh lesson to the bloc that austerity measure is a solution to restore a debt economy and also salvage a single integrated market. With many southern countries riddled in debt, stringent economic measures imposed on them has led to lingering resentment among the people that wealthier northern neighbours have forced tough measures while they are still facing the brunt of a financial crisis. This divide widened when countries like Greece, Cyprus, Italy, Spain and Portugal increasingly struggled to balance their policies between debt payment and public opinion. The northern states often look at these countries' economies as a result of few faulty, corrupt policies which will now impact the whole market clusters. 

What does it mean? 
The rescue deal does not indicate that the north-south divide within Europe has gaped. On the contrary, it has put in retrospect the ability of the EU to answer tough questions at a tough time. 

First, with an economic downturn and a crisis impact expected to be in trillions, a rescue package of 500 billion Euros for all European countries seems to be a little short in outlook. Instead, the deal indicates a symbolic gesture by the block in collective spirit and stands together in spite of differences than facing the crisis alone.

Second, the scars within the bloc are likely to remain and might deepen as public opinion are increasingly shaped by populist leaders like Matteo Salvini, Italy's former Deputy Prime Minister, who has found his Eurosceptic base emboldened by the crisis. Besides, the southern countries like Italy have taken on Germany's past to remind it that it was never made to pay back its debts after the Second World War 

Third, the finance ministers have a punt on the critical issue on economic recovery as the peak of the pandemic plummets. The EU will face a leadership question on who will lead the economic restructuring. How the EU today will have a significant implication for the future of the bloc. It is handling of the crisis in Greece has been defiant but unpopular. It remains to be seen whether common bonds in the Eurozone address the structural fragility that the euro crisis has exposed.
 


China: After four months, Beijing ends the lockdown in Wuhan 

What happened?
For the first time since late January 2020, Wuhan, the city where the pandemic was believed to have begun, lifted its lockdown on 8 April. While many countries across the world have begun to impose restrictions on the movements of the people, the city with up to 11 million people, return to normalcy.

In the past weeks, when the rise in the number of coronavirus cases began to slow down, China followed partial ease in the restrictions allowing people to move out of their homes slowly. With the formal removal of the lockdown, highway tolls, trains, flights, and local transport services reopened in Wuhan. 
 
What is the background?
The outbreak is believed to have begun in November 2019, linked to a sea-food market in the Wuhan city of Hubei province in China. Since then, more than 81,740 people have been confirmed as affected and over 3,300 people have died in China, the majority of them from the Hubei province. To contain the spread of the virus, unprecedented restrictions on the movements of the people were imposed. The Wuhan city was on complete lockdown, with some areas reporting crucial deaths and spike in cases under a total shutdown. This included shutting down of businesses, transport services, and educational institutions. 
 
In March 2020, when no new infections were reported for a week, shopping malls were reopened for the first time but permission to leave home for two hours was given to only those in the 'epidemic-free' residential areas. From 8 April, residents cleared for good health were allowed to use public transport after showing their QR code that is linked to their health status. Industries that are linked to national and global supply chains were reopened. Limited air service was provided to 10,000 passengers after being tested to be in good health. Among the passengers who departed Wuhan on 8 April, many were those who were stranded in the city for the past four months. 
 
What does it mean?
After setting precedents for lockdowns across the world, Wuhan seems to be setting a new precedent on what to expect when lockdowns are lifted. The pressure on the administration has increased after the lockdown is lifted. 

In two days, people were seen protesting against rent payment in Wuhan, and the issues relating to cremation have posed a challenge to the governance in the city. It is needless to expect that Wuhan will not witness more such issues in the coming weeks. The socio-economic challenges faced in Wuhan may be true for the realities of other regions as well in the coming months. 

Though the movement in the city has resumed, there is a ban on gatherings at cemeteries and crematoriums for another month. With the likeliness of COVID-19 'reactivation,' the outcomes would be disastrous. As it remains unclear whether the virus would re-emerge or mutate, sufficient precautions are imperative in the city that now reopens.  


Yemen: Saudi Arabia-UAE coalition declares ceasefire while Houthis balk

What happened?
On 9 April, the Saudi Arabia-UAE coalition fighting the Houthi rebels in Yemen declared a two-week unilateral suspension of hostilities. The commencement of the ceasefire was announced by the coalition's spokesperson Colonel Turki al-Malki. Armed rebels allege the move is partly in response to the UN truce calls owing to the novel coronavirus pandemic. Houthis accused the coalition of continuing use of airpower during the ceasefire, refused to observe the ceasefire unless the coalition lifts the years-long siege, and vowed to continue attacks on industrial sites and military installations.

Meanwhile, on 10 April, Yemen confirmed its first coronavirus infection in its southern province of Hadramout and is bracing for an outbreak.

What is the background?
In 2014, ever since the Houthis toppled Yemen's government from power in Sanaa, the country has been mired in conflict. The ongoing Yemen war, widely recognised as a costly and unpopular proxy war between Iran and Saudi Arabia, has killed over 100,000 people, pushed over 15 million people to starvation and famine, forced thousands into displacement camps, led to recurrent outbreaks of deadly diseases such as cholera and caused the worst humanitarian disaster according to the UN. Import restrictions imposed by the Saudi-led coalition and military deadlock has worsened the dire situation. In 2019, UAE withdrew its troops, scaling down their presence in Yemen significantly. Riyadh stepped in to fill the void.

During the first week of April 2020, UN special envoy Martin Griffiths had sent a nationwide ceasefire proposal, calling for halting ground, naval and air fighting, to Yemen's internationally-recognised government, the supporting Saudi-UAE coalition and the Houthis. Presently, the later controls Sanaa and the northern parts of Yemen. Prior to the recent ceasefire, the Houthis had sent a comprehensive plan, detailing foundations for a transitional period and political dialogue, to the UN.

What does it mean?
The suspension of hostilities serves three purposes: first, it prevents the outbreak of the pandemic in Yemen; second, it de-escalates the conflict; and third, it gives Houthis an opportunity to partake in the UN-sponsored negotiation/settlement talks. The pandemic situation is being utilised by the UN and Western allies to bring the armed groups to the negotiation table.

Nevertheless, as the war has devastated the country's healthcare system Yemen's first coronavirus case rings a catastrophic alarm.

Malnutrition and diseases are rampant in Hadramout, a province wherein the coastal towns are controlled by the Saudi-UAE coalition and the remaining by al-Qaeda fighters. It is only a matter of time before a highly proliferous coronavirus outbreak with a spiralling death toll devastates Yemen.


The US accuses the WHO of being China-centric

What happened?      
This week there has been a different and a series of interrelated developments between the US and the World Health Organisation. On 7 April, the US President Donald Trump announced a cut in aid to the WHO: "We're going to put a hold on money spent to the WHO, we're going to put a very powerful hold on it and we're going to see." In response, on 8 April, the WHO regional director Dr Hans Kluge said, "the acute phase of pandemic is not the right time to cut funding."

This was followed by Trump's criticism of the WHO on 9 April where he said in his daily briefing, "The organisation receives a vast amount from the US and pointed out that their work has been China-centric."

What is the background?
The US President's criticism of the WHO came after the organisation criticised Trump's policy to restrict and quarantine those who have come from China. On 7 February US decided to restrict the entry of nationals and foreigners with a recent travel history to China and WHO issued a sharp remark that, "restricting the movement of people and goods during public health emergencies is ineffective in most situations and may divert resources from other intervention." The New York Times has reported that there have been around 4,30,000 people who had arrived from China even after the travel restriction. The US, who is witnessing the highest number of deaths from the pandemic, has called for desperate measures. In this the differences with WHO has led the country to cut its contribution from  USD 122 million to 58 million in its recent budget proposal for 2021. 

The US Republican Senator Lindsey Graham vowed off 'no funding for the WHO'. On a similar line, Republican Senator Marco Rubio called for the resignation of the WHO director saying, "He allowed Beijing to use WHO in misleading the global community". The US has been the largest contributor, with USD 400 million, whereas China has contributed only USD 44 million last year.

On 8 April, the Director-General Dr Tedros Adhanom Ghebreyesus in a press meeting called on all the leaders to not 'politicise' the situation and highlighted the global cases that have crossed 1.4 million with 83,000 deaths.

What does it mean?
First, the ban on the US aid to WHO may adversely affect, the economic condition of the developing countries who are dependent on the WHO funds to combat the pandemic. Further, these cuts on international organisations might affect the functioning of the organisation. Second, The Trump-WHO argument, is again indicative of Trump administration disapproval towards an international organisation that doesn't benefit the US. During his tenure, he has withdrawn from various international organisations such as UNESCO and UN Human Rights. Third, aid cut is also one of the ways in deviating attention from COVID-19 when the great powers fail to control the crisis.

 

ALSO IN THE NEWS

Afghanistan government releases 100 Taliban prisoners
The Afghanistan government released 100 Taliban prisoners on 8 April, aimed at taking the peace talks forward. This comes in the wake of fall out of prisoner swap talks between the Taliban and the Afghan officials. It seems that the government is under great pressure from both the Taliban and the United States. The peace talk is dependent on the release of the prisoners, and this is extremely precarious for the Afghan government. The US is pressurising Afghanistan to solve the dispute over the presidential elections and also to take forward the peace talks with the Taliban.

Bernie Sanders quits Presidential race
Bernie Sanders suspended his campaign for the Presidential nominations, making way for Joe Biden, to be the Democratic Presidential nominee for the 2020 elections. Though Sanders had the lead over Biden initially, the latter overpowered him in states like Florida and Illinois. The election campaign was also trailing in Michigan and Missouri before the Democratic primary season was suspended following the outbreak of the coronavirus pandemic shuttering the campaigns and forcing states to postpone their primaries. This affected the momentum of Sanders' campaign and with his loses in crucial counties; Sander's quits the Presidential race. 

SAARC virtual meet on COVID-19 and regional trade
On 8 April, the senior trade officials of SAARC held a virtual meeting and discussed the impact of COVID-19 on the economy and regional trade. This comes after the heads of states of the SAARC countries discussed the regional efforts to combat the pandemic. Pakistan skipped the meeting, stating that it was India's unilateral decision and did not involve the SAARC Secretariat. The focus of the meet was innovating and finding new ways to trade until normalcy limped back post COVID-19. Issues such as the use of a digitally signed certificate of origin and digital documents for clearance of customs were discussed. 

Japan declares an emergency, as COVID-19 cases surge in Tokyo and Osaka
Japan's Prime Minister Shinzo Abe declared an emergency for a period of one month, beginning from this week. The measure is taken, as there is a sudden surge in the number of cases of COVID-19 in the urban areas of the country. The emergency would last till 6 May 2020 and would apply to Tokyo, Osaka, Chiba, Kanagawa, Saitama, Hyogo and Fukuoka. Japan is taking these measures to limit the spread to the urban centres, as the large older population lives in rural areas. While announcing the state of emergency, Abe also announced a huge stimulus plan to help the economy steer through the crisis. 

Iraq President designates a new Prime Minister
President of Iraq Barham Saleh named Mustafa al-Kadhimi as the Prime Minister-designate. Chief of Iraq's National Intelligence Service, Kadhimi is the third Prime Minister-designate in a row, as previous nominees Mohammed Allawi and Adnan al-Zurfi failed to muster the political clout. If successful in getting approval from the Parliament for his cabinet, he would be the Prime Minister but will have to face steep challenges such as combating the pandemic and fulfilling the aspirations of the people who protested in large numbers until the dawn of COVID-19.

Russia battles surge in COVID-19 cases
Russia is witnessing spiralling COVID-19 cases, with 13,584 cases and 106 deaths as on 11 April 2020. Moscow is the hotspot, with 8,852 cases. The clinics and hospitals in Moscow are likely to reach their maximum capacity. This has prompted Mayor Sergei Sobyanin to announce stricter measures, to control the further spread. 


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January 2026 | CWA # 1939

Lekshmi MK

January 2026 | CWA # 1937

Anu Maria Joseph

December 2025 | CWA # 1931

Padmashree Anandhan

NATO Summit 2025
December 2025 | CWA # 1930

Aparna A Nair

December 2025 | CWA # 1924

Padmashree Anandhan

NATO Summit 2025
December 2025 | CWA # 1914

Preetha Renganarayanan

December 2025 | CWA # 1913

Rohini Reenum

December 2025 | CWA # 1912

Lekshmi MK

December 2025 | CWA # 1911

Swati Sood

December 2025 | CWA # 1905

Femy Francis

December 2025 | CWA # 1902

Brighty Ann Sarah

December 2025 | CWA # 1893

Lekshmi MK

December 2025 | CWA # 1889

Femy Francis

December 2025 | CWA # 1881

Sunidhi Sampige

December 2025 | CWA # 1864

Femy Francis

Ten Takeaways of a SCMP Interview with a former PLA Colonel
December 2025 | CWA # 1861

Femy Francis

China Reader
November 2025 | CWA # 1859

Brighty Ann Sarah

November 2025 | CWA # 1858

Padmashree Anandhan

August 2025 | CWA # 1801

R Preetha

28 August 1963
Martin Luther King's "I Have a Dream" speech and the Civil Rights Movement in the US
August 2025 | CWA # 1790

GP Team

The World This Week#323-324
The Trump-Putin meeting & the US-China tariff extension
August 2025 | CWA # 1780

Abhiruchi Chowdhury

Trump tariffs:
Weaponization of access to the US economy
August 2025 | CWA # 1779

GP Team

The World This Week#322
US tariffs on India, Brazil and Canada & the EU-US trade deal
August 2025 | CWA # 1778

Lekshmi MK

28 July 1914
Austria-Hungary declares war on Serbia, starting the First World War
July 2025 | CWA # 1770

Abhiruchi Chowdhury

Pakistan-Afghanistan relations:
Why the focus on terrorism, refugees, and Uzbekistan as the third partner?
July 2025 | CWA # 1769

GP Team

The World This Week#321
Indian PM Modi's visit to the Maldives I Elections to the Upper House in Japan
July 2025 | CWA # 1762

Lekshmi MK

Ocean Darkening: 
What is the phenomenon? What are its effects? And who are more vulnerable?
July 2025 | CWA # 1749

R Preetha

Africa as the Hunger Epicenter
Of the 13 Global Hunger Hotspots, 8 are in Africa: Five reasons why
July 2025 | CWA # 1748

GP Team

The World This Week #318
PM Modi’s Visit to Trinidad and Tobago & Ghana, One big beautiful bill, and Quad Foreign Ministers Meeting
July 2025 | CWA # 1744

Chittrothu Vaihali

EU-Canada Summit 2025
What is security and defence partnership all about?
July 2025 | CWA # 1742

IPRI Team

Conflict Weekly # 287-88
The 12 Day War and the Congo-Rwanda Peace Deal
July 2025 | CWA # 1738

Fleur Elizabeth Philip

Thailand and Cambodia
What was the phone call between PM Shinawatra and President of Senate Hun Sen? What is the border dispute between the two? Why has this become an issue?
June 2025 | CWA # 1735

Padmashree Anandhan

NATO Summit 2025:
Trump making Europe great again
June 2025 | CWA # 1734

GP Team

The World This Week #317
NATO Summit 2025 and Russia-Mali bilateral agreements
June 2025 | CWA # 1733

Ananya Dinesh

China and the Pacific Islands 
What was the recent China-PIC joint statement about? What it says, and what it means?
June 2025 | CWA # 1728

M Kejia

G7 Summit 2025:
The Focus on the Middle East and Trade negotiations
June 2025 | CWA # 1726

GP Team

The World This Week #316
China-Central Asia Summit in Kazakhstan, and the G7 Summit in Canada
June 2025 | CWA # 1725

Brighty Ann Sarah, R Preetha, Santhiya M, Aparna A Nair & M Kejia

Operation Midnight Hammer: US bombs three nuclear sites in Iran
What were the three Iranian nuclear sites that were targeted? What are the B2 Bombers and Bunker Buster Bombs? What do these attacks mean? What Next?
June 2025 | CWA # 1724

IPRI Team

Conflict Weekly #286
The Spiralling Israel-Iran Crisis, and the Dangerous Hunger Hotspots
June 2025 | CWA # 1721

Rizwana Banu S and Santhiya M

Who are the Afrikaners?
Why is Trump interested in the Afrikaner question in South Africa?
June 2025 | CWA # 1720

Lekshmi MK

New WMO Report on Arctic Warming
What are the social, economic and environmental implications of Arctic warming
June 2025 | CWA # 1719

J Yamini  

China’s EV Surge
What contributes to the rise of BYD
June 2025 | CWA # 1717

J Yamini

Gender Violence in Pakistan:
What are the larger issues in the Noor Mukadam case?
June 2025 | CWA # 1715

Femy Francis

The US-China:
On Tariffs, Rare Earths and Visas
June 2025 | CWA # 1713

GP Team

The World This Week #315
The UN Ocean Conference in France and the US-China Meeting in London
June 2025 | CWA # 1712

R Preetha

June 2025 | CWA # 1705

GP Team

The World This Week #314
Elections in South Korea and Poland I China and the Pacific Island Countries I Bangladesh Election Announcement 2026
June 2025 | CWA # 1703

M Kejia 

Sagarmatha Sambaad in Nepal
Kathmandu’s Global Agenda for the Himalayas
June 2025 | CWA # 1700

R Preetha

Ethiopia bans the TPLF
What does the TPLF ban mean for the Pretoria agreement? What next for Ethiopia?
June 2025 | CWA # 1694

Aashish Ganeshan

The US:
Harvard vs Trump Administration
June 2025 | CWA # 1691

GP Team

The World This Week #313
China-ASEAN-GCC Summit I President Macron's visit to South East Asia I Trump Vs Harvard
May 2025 | CWA # 1690

GP Team

The World This Week #312
Elections in Romania, Portugal & Poland I UK-EU Summit
May 2025 | CWA # 1689

Padmashree Anandhan

Ukraine
Continuing Russia’s Aerial Attacks, despite exchange of prisoners
May 2025 | CWA # 1688

Ayan Datta

Gaza
The Humanitarian Crisis and Israel’s Renewed Offensive
May 2025 | CWA # 1685

Aparna A Nair

UK-EU Summit:
First step towards a reset
May 2025 | CWA # 1683

Aashish Ganeshan

Elections in Portugal:
The Rise of Chega Party and the Search for Political Stability
May 2025 | CWA # 1679

Aashish Ganeshan

US in the Middle Easr
Trump’s visit to Saudi Arabia, Qatar and UAE
May 2025 | CWA # 1678

Gauri Gupta

China in Latin America
China-CELAC forum: Strengthening ties with Latin America and Caribbean
May 2025 | CWA # 1677

GP Team

The World This Week #310-311
China in Latin America and the Carribbean I Trump's Middle East Visit I Denmark as the new Arctic Chair
May 2025 | CWA # 1675

Lekshmi MK

Turkey:
PKK disbands after 40 years of armed insurgency
May 2025 | CWA # 1673

Padmashree Anandhan

Ukraine:
The Discussion in Turkiye and the Elusive Ceasefire
May 2025 | CWA # 1671

Abhiruchi Chowdhury

US, Ukraine and Russia:
Air attacks amidst a Minerals deal and Ceasefire Proposals
May 2025 | CWA # 1670

Fleur Elizabeth Philip

Singapore Elections in 2025:
People’s Action Party (PAP) Wins, Again
May 2025 | CWA # 1667

R Preetha and Brighty Ann Sarah

East Asia:
Tough Tariff Negotiations with the US
May 2025 | CWA # 1666

Padmashree Anandhan

The US-Ukraine
The mineral deal with the US
May 2025 | CWA # 1665
Conflict Weekly # 280-81
India-Pakistan De-escalation I Ukraine Discussion in Istanbul I The Battle over Port Sudan I Disbanding of PKK in Turkiye I France-Algeria Diplomatic Tensions
May 2025 | CWA # 1663

R Preetha

Canada Elections 2025:
What do the results convey? What next for Mark Carney?
October 2024 | CWA # 1480

IPRI Team

July 2024 | CWA # 1413

Ramya B

May 2024 | CWA # 1336

Femy Francis

April 2024 | CWA # 1275

Ramya B

March 2024 | CWA # 1251

NIAS Africa Team

Africa This Week
March 2024 | CWA # 1246

Sivasubramanian K

February 2024 | CWA # 1226

NIAS Africa Team

Africa This Week
November 2023 | CWA # 1148

GP Team

October 2023 | CWA # 1091

Annem Naga Bindhu Madhuri

Issues for Europe
October 2023 | CWA # 1087

PR Team

October 2023 | CWA # 1083

GP Team

August 2023 | CWA # 1049

IPRI Team

July 2023 | CWA # 1012

Bibhu Prasad Routray

Myanmar continues to burn
July 2023 | CWA # 1009

GP Team

December 2022 | CWA # 879

Padmashree Anandhan

The Ukraine War
December 2022 | CWA # 872

Sapna Elsa Abraham

November 2022 | CWA # 838

Rishma Banerjee

Tracing Europe's droughts
March 2022 | CWA # 705

NIAS Africa Team

In Focus: Libya
December 2021 | CWA # 630

GP Team

Europe in 2021
October 2021 | CWA # 588

Abigail Miriam Fernandez

TLP is back again
August 2021 | CWA # 528

STIR Team

Space Tourism
September 2020 | CWA # 337

Anju Annie Mammen

February 2020 | CWA # 235

Lakshmi V Menon

September 2019 | CWA # 162

Lakshman Chakravarthy N

5G: A Primer
December 2018 | CWA # 71

Mahesh Bhatta

Nepal
December 2018 | CWA # 70

Nasima Khatoon

The Maldives
December 2018 | CWA # 69

Harini Madhusudan

India
December 2018 | CWA # 68

Sourina Bej

Bangladesh
December 2018 | CWA # 67

Seetha Lakshmi Dinesh Iyer

Afghanistan
July 2018 | CWA # 47

Rahul Arockiaraj

June 2018 | CWA # 26

Siddhatti Mehta