Photo : RMIT University
06 February 2024, Tuesday | NIAS Europe Daily Brief #749
In Brief
By Alka Bala
FRANCE
Attal survives his first no-confidence motion, calls to “break partisan lines”
On 05 February, Euractiv reported on Gabriel Attal, France’s Prime Minister surviving his first no-confidence motion filed by all left-wing parties, Greens, the Communists, the far-left La France Insoumise (LFI) and the Socialists (PS). The motion only received 124 votes out of the required 289, as the far-right and conservatives did not support the motion. The conservative party, Les Républicains (LR) abstained from voting as it found itself divided between both sides. Manuel Bompard, an LFI lawmaker accused Attal of supporting unfair competition among farmers and food imports affecting domestic food sovereignty. Attal accused the left of “blocking” legislative work and expressed his commitment to “break partisan lines” work with all. (Théo Bourgery-Gonse, “French PM Attal survives first vote of no confidence,” Euractiv, 05 February 2024)
GERMANY
Over 150,000 people protest against AfD’s plans for “remigration”
On 03 February, according to Deutsche Welle, around 150,000 people attended a demonstration against the far-right ideologies marking their dissent against the plans for the “remigration” of immigrants, referring to their mass deportations. The protests emerged after the report by Corrective, an investigative network on the far-right meetings attended by political parties Alternative for Democracy (AfD) and Christian Democratic Union of Germany (CDU) and neo-Nazis aiming at “remigration.” The protestors and 1300 associations gathered in front of the German Parliament, the Reichstag building. Politicians from the Social Democrats Party extended support to the protests, where Olaf Scholz, German Chancellor stated on X that these protests are a “strong signal for democracy and our constitution.” (“Germany: Tens of thousands in Berlin protest far right,” Deutsche Welle, 03 February 2024)
SPAIN
Unemployment increases by 2.2 per cent, indicates low productivity
On 02 February, Euronews reported on Spain’s struggle with employment as it increased by 2.2 per cent in January, raising the number of unemployed people to 2.77 million. The recent rise in unemployment was attributed to majorly service sector and agriculture sector. Spain’s struggle with unemployment is due to its tight labour market regulations evident in the housing and healthcare sectors, creating a dual labour market system. In Spain, semi-skilled and unskilled people, and immigrants are mostly employed temporarily in seasonal sectors, thus leading to seasonal unemployment during the off-peak times. Spain’s economy is also witnessing low productivity as it grapples with talent and capital issues. However, Spain’s government has assured that it will continue with its cost-of-living measures as Spain’s headline inflation rose to 3.4 per cent in January. (Indrabati Lahiri, “Why is Spain struggling with increasing unemployment?,” Euronews, 02 February 2024)
THE UK
Sunak visits the newly appointed First Minister O’Neill, who calls for increased allocations
On 05 February, according to Deutsche Welle, Rishi Sunak, the UK Prime Minister visited the newly appointed administration of Northern Ireland in Belfast. In the meeting, First Minister Michelle O'Neill and Deputy First Minister Emma Little-Pengelly pressed on demands for British to boost its budget offered for the region. Sunak remarked the meeting with the executives was “very constructive” and that the GBP 3.3 billion offered as an incentive was “significant and generous." (“Northern Ireland presses visiting Sunak on budget,” Deutsche Welle, 05 February 2024)
REGIONAL
EU approves AI rules after two years of negotiations
On 02 February, Deutsche Welle reported the EU’s approval of rules governing artificial intelligence (AI) safety and use. EU’s draft legislation on AI rules was brought out in 2021, however, it received the final go-ahead from the EU’s 27 countries on 02 February. Theirry Breton, EU Commissioner for Internal Market remarked the Artificial Intelligence Act as “a historical first.” The AI act will govern rules on the use of AI in industries ranging from banking, and the military, to medicine and travel. Countries like Germany and France who opposed the legislation in December, changed their stance after being lobbied by tech companies. The European Parliament would vote on these rules in March or April. Although AI will help boost production and ease workload, its ability to produce deep fakes and spread disinformation raises concerns regarding its use. (“EU states approve landmark AI rules,” Deutsche Welle, 02 February 2024)
Russian hacker Akira suspected of being behind the cyber-attack on Icelandic University
On 04 February, according to Iceland Review, net safety specialists and the staff at Reykjavík University (HR) continued to restore the University system and recover files after a ransomware attack. The attack is believed to have been conducted by Akira, a Russian hacker group which usually employs ransomware to steal data and demand payments. Although the university stated that attackers only received basic information on the student body, it has recommended that students and staff be aware of “phishing and use two-factor authentication wherever available.” Classes are expected to resume from 05 February. (Andie Sophia Fontaine, “Russian Hackers Believed to be Behind Cyber Attack on Icelandic University,” Iceland Review, 04 February 2024)
Italy overtakes Germany in economic growth
On 02 February, Politico, based on official statistics reported Italy increased economic growth by 0.5 per cent whereas Germany's growth reduced by 0.2 per cent. The growth plan for the fiscal year indicates a 0.6 per cent growth, whereas Germany’s forecasts reflect a 0.4 per cent. Other positive indicators on Italy’s economy show a 15-year low for unemployment at 7.2 percent compared to the earlier 13 per cent, and the low risk of premium on Italy’s debt. Accompanied by Germany’s dependence on Russia’s cheap energy, the German economy is bearing the brunt of geopolitics due to its deep ties with China and the effects of the Chinese slowdown are reflected in Germany’s exports to China. According to the European Commission’s forecasts, Italy’s fiscal deficit will remain at four per cent above its GDP, whereas the German deficit is expected below 0.4 per cent of GDP, however, German tax hikes and subsidy withdrawals might hinder economic growth. The new expensive carbon taxes would also take longer to show positive results, according to Holger Schmieding, chief economist at Berenberg Bank. (Ben Munster, “Do not adjust your set: Italy is growing faster than Germany,” Politico, 02 February 2024)
INTERNATIONAL
Meloni’s visit to Tokyo aims at strengthening bilateral ties
On 04 February, Nova News reported on Giorgia Meloni, the Italy’s Prime Minister’s visit to Japan from 04 February to 06 February, focusing on strengthening their bilateral relations and smooth transition of the G7 Presidency, as Japan passes the helm to Italy. The visit will allow the countries to deal with issues of focus in Japanese and Italian Presidencies of G7, which includes the development of AI technology and its governing rules, peace and stability in the Indo-Pacific and greater economic collaboration. The bilateral meeting also aims to discuss political, economic, commercial and cultural cooperation, whereas also discuss the development of the Global Combat Air Program (GCAP), a multilateral initiative between Italy, Japan and the UK aimed at developing sixth-generation stealth fighter planes. PM Meloni is set to meet Japanese business leaders, to boost industrial collaborations with a special focus on the microelectronics sector. (“Meloni flies to Japan: focus on bilateral partnership and G7,” Nova News, 04 February 2024)