Trump Signs Bill Easing Restraints on Small US Banks

U.S. President Donald Trump signed into law Thursday a measure that eases rules imposed on banks in the aftermath of the 2008 financial crisis and the Great Recession.

The law relaxes regulations and oversight on banks with assets below $250 billion, leaving a handful of the largest U.S. banks that must still comply with the stringent rules and oversight.

Trump said at the signing ceremony the rules and oversight, enacted by the 2010 Dodd-Frank financial reform law, were “crushing small banks.” Trump lauded the signing as a victory in his administration’s efforts to eliminate regulations to promote economic growth.

Although Trump signed the bill into law, much of Dodd-Frank remains intact. Trump signed the Republican-led measure that was passed by Congress after receiving the support of some Democrats.

Dodd-Frank was signed into law by President Barack Obama in response to a crisis that resulted in the loss of 8 million jobs, 2.5 million home foreclosures and the shuttering of 2.5 million businesses, according to Northwestern University’s Institute for Policy Research.

A federal report prepared by the Financial Crisis Inquiry Commission concluded economic weaknesses that created the potential for the crisis were “years in the making.” But the report said “it was the collapse of the housing bubble — fueled by low interest rates, easy and available credit, scant regulation and toxic mortgages — that was the spark that ignited a string of events, which led to the full-blown crisis in the fall of 2008.”

Africa in Spotlight at Paris Tech Fair

French President Emmanuel Macron says his country will invest $76 million in African startups, saying innovation on the continent is key to meeting challenges ranging from climate change to terrorism. He spoke Thursday at a technology fair in Paris showcasing African talent this year.

It is hard to miss the African section of Viva Tech. There are gigantic signs pointing to stands from South Africa, Morocco and Rwanda. And there are lots of African entrepreneurs.

Omar Cisse heads a Senegalese startup called InTouch, which has developed an app making it easier to conduct financial transactions by mobile phone.

“Globally, you have more than $1 billion per day of transactions on mobile money, and more than 50 percent are done in sub-Saharan Africa,” he said.

Cisse says the challenges for African startups are tremendous, but so are the opportunities.

“In Africa, you have very huge potential. Everything needs to be done now, and with local people who know the realities,” he said.

Like Cisse, Cameroonian engineer Alain Nteff is breaking new ground. He and a doctor co-founded a startup called Gifted Mom, which provides health information to pregnant and nursing women via text messaging.

“I think the biggest problems today in Africa are going to be solved by business, and not by development and nonprofits,” he said.

Nteff gets some support from the United Nations and other big donors. But funding is a challenge for many. African startups reportedly raised $560 million last year, compared with more than $22 billion raised by European ventures.

Now they are getting a $76 million windfall, announced by President Emmanuel Macron here at the tech fair.

“When the startups decide to work together to deploy ad accelerate equipment in Africa, it is good for the whole continent, because that is how to accelerate everything and provide opportunities — which by the way, is the best way to fight against terrorism, jihadism … to provide another model to these young people,” he said.

The funding comes from the Digital Africa Initiative, run by France’s AFD development agency (Agence Francaise de Developpement).

“I think the main challenge is access to funding, and the second is the coaching to grow. AFD wants them to find solutions,” said Jean-Marc Kadjo, who heads the project team.

There are plenty of exciting projects here. Reine Imanishimwe is a wood innovator from Rwanda.

“I try to use my wood in high technology. As you can see, my business card is wood, but I print it using a computer,” said Imanishimwe.

Abdou Salam Nizeyimana is also from Rwanda. He works for Zipline, an American startup that uses drones to fly blood to people and hospitals in Rwanda, cutting delivery times from hours to minutes.

“Now doctors can plan surgery right away and just say, ‘We need this type of blood,’ ” and it can be delivered in about a half hour or less, he said.

Rwandan President Paul Kagame toured the tech fair with Macron. Relations between Rwanda and France are warming, after years of tension over Rwanda’s 1994 genocide.

Entrepreneur Nizeyimana is happy about that. When politics are good, he says, it is good for technology transfer and Africa’s development.

Buffalo: City With a Magnificent Past Fallen on Hard Times

Even though the United States is one of the richest and most technologically advanced countries in the world, about 45 million Americans live below the poverty line. In Buffalo, New York, a once-prosperous city that has fallen on hard-times, one-third of its residents live in poverty. As Olga Loginova reports, the city offers an example of what happens when a once-powerful industrial sector declines and well-paying jobs become scarce.

Deutsche Bank to Slash Thousands of Jobs to Control Costs 

Germany’s struggling Deutsche Bank is slashing thousands of jobs as it reshapes its stocks trading operation and refocuses its global investment banking business on its European base.

The bank said Thursday it would cut its workforce from 97,000 to “well below” 90,000 and that the reductions were underway.

It said headcount in the stocks trading business, mostly based in New York and London, would be reduced by about 25 percent. Those cuts will cost the bank about 800 million euros ($935 million) this year.

Deutsche Bank has struggled with high costs and troubles with regulators. The bank replaced its CEO in April after three years of annual losses and lagging progress in streamlining its operations.

New CEO Christian Sewing has said the bank would refocus on its European and German customer base and cut back on costlier and riskier operations where it doesn’t hold a leading position. Sewing said the bank was committed to its international investment banking operations but must “concentrate on what we truly do well.” The new strategy means stepping back from several decades of global expansion in which the bank sought to compete with Wall Street rivals such as Goldman Sachs or JPMorgan Chase.

Sewing replaced John Cryan in April with a mandate to accelerate the bank’s wrenching restructuring. It has suffered billions in losses from fines and penalties related to past misconduct. But progress in cutting costs has remained elusive. Sewing on Thursday affirmed the bank’s goal to hold costs to 23 billion euros this year and 22 billion next year.

The announcement came hours before Board Chairman Paul Achleitner had to face disgruntled investors at the bank’s annual shareholder meeting. The bank’s share price has sagged and it paid only a small dividend of 11 euro cents per share last year.

Addressing an audience of several thousands in Frankfurt, Achleitner said Cryan had “set the ball rolling for fundamental change” but later displayed “shortcomings in decision-making and implementation.”

“Dear shareholders, you are right to expect the bank and its management to hit the targets it has set itself,” he said. “If there are signs those targets are in jeopardy… then we on the supervisory board have to act swiftly and decisively.”

The bank’s troubles and the turmoil surrounding Cryan’s departure have put pressure on Achleitner as well. Cryan was forced to publicly push back against a media report that Achleitner was looking for a replacement, then left to twist in the wind for days before being shown the door. Achleitner brought Cryan to the bank in 2015 and thus in principle shares responsibility for the bank’s strategy and performance since then.

Mapping the Oceans’ Floors by 2030

Oceanographers often say we know much more about the surface of the Moon and Mars than we do about nearly 70 percent of our own planet. That is because most of the Earth is covered in water, most of it deeper than 200 meters. There are several initiatives to map the oceans’ floors and the latest comes from Japan. VOA’s George Putic reports.

Foraging: The Ultimate Field-to-Table Experience

A new study by Johns Hopkins University says urban foraging, the act of finding naturally growing, edible food in urban settings in the U.S. is on the rise. But before setting out with basket and blade, experts recommend would-be foragers to take classes to determine what’s edible and what might make you sick. Fortunately, foraging classes are cropping up across the country. Faith Lapidus reports on one of them.

Amazon, Starbucks Pledge Money to Repeal Seattle Head Tax

Amazon, Starbucks, Vulcan and other companies have pledged a total of more than $350,000 toward an effort to repeal Seattle’s newly passed tax on large employers intended to combat homelessness.

Just days after the Seattle City Council approved the levy, the No Tax On Jobs campaign, a coalition of businesses, announced it would gather signatures to put a referendum on the November ballot to repeal it. 

Amazon, Starbucks, Vulcan, Kroger and Albertsons each promised $25,000 to the effort last week, according to a report filed by the campaign. The Washington Food Industry Association pledged $30,000. 

Referendum backers will have to gather 17,632 signatures of registered Seattle voters by June 14 to get the measure on the ballot.

The so-called head tax will charge businesses making at least $20 million in gross revenues about $275 per full-time worker each year. The tax would begin in 2019 and raise about $48 million a year to build affordable housing and provide emergency homeless services.

Opponents say the Seattle measure is a tax on jobs and questioned whether city officials are spending current resources effectively. 

Worker and church groups and others praised the tax as a step toward building badly needed affordable housing in an affluent city where the income gap continues to widen and lower-income workers are being priced out.

The clash over who should pay to solve the city housing crisis that’s exacerbated by Seattle’s rapid economic growth featured weeks of tense exchanges, raucous meetings and a threat by Amazon, the city’s largest employer, to stop construction planning on a 17-story building near its hometown headquarters.

Amazon has resumed planning the downtown building, but the company remains “apprehensive about the future created by the council’s hostile approach and rhetoric toward larger businesses, which forces us to question our growth here,” said Drew Herdener, Amazon’s vice president for global corporate and operations communications. 

Four council members initially pitched an annual tax of $500 per full-time employee before a compromise proposal lowered the tax rate after they could not muster six votes needed to override a potential veto by Mayor Jenny Durkan. 

The mayor signed the head tax on May 16, saying “we must make urgent progress on our affordability and homelessness crisis.”

Seattle’s action came as cities around San Francisco consider business taxes to help offset issues created by the growth of tech companies. 

US Health Chief Pledges More Action If Ebola Spreads

President Donald Trump’s top health official said Wednesday that the U.S. and global partners will “take the steps necessary” to try to contain a new Ebola outbreak, asserting that the fight against infectious diseases is one of the administration’s top priorities for the World Health Organization, the U.N. agency taking the lead. 

Secretary of Health and Human Services Alex Azar stopped short of predicting whether the outbreak in Congo that’s believed to have killed at least 27 people will be contained, but he praised WHO’s early response and vowed: “If it spreads, we will take further actions.”

Azar’s comments on Ebola came in a wide-ranging interview with The Associated Press, which also touched on universal health care, U.S. prescription-drug prices, and the recent revelations of a $1.2 million payout by Swiss drugs giant Novartis last year to Trump’s personal lawyer, Michael Cohen. 

Novartis, one of the world’s largest pharma companies, said Cohen was hired to advise on how the Trump administration might approach health care policy. Experts have pointed out that Novartis needs FDA approval for the sale of its drugs and that company officials have spoken approvingly of rolling back the Obama-era Affordable Care Act, a Trump campaign promise largely unfulfilled.

“I don’t and won’t comment on the particulars of any individual situation,” said Azar, a former executive with drugmaker Eli Lilly. 

“The president has talked about how extensively ‘pharma’ generally spends money on lobbying. And we have said: You really don’t need to spend that money on lobbying because the president and the secretary have been very transparent about where we are going with drug prices: We’re going to lower drug prices in the United States,” he said.

The response to the Ebola outbreak by WHO and its director-general, Tedros Adhanom Ghebreyesus, has emerged as a major concern as ministers like Azar and his counterparts from other nations gather this week for the World Health Assembly in Geneva. The conclave lays out the agenda of the U.N. agency, which reaps hundreds of millions in U.S. funding each year.  

“I think it best not to make predictions when dealing with infectious disease,” Azar said cautiously, when asked if the outbreak will be contained. “We will take the steps necessary, we will act aggressively, forcefully, in partnership across the world community to do everything to contain it.” 

“I think that what we’re seeing is that we’re taking it very seriously from Day One,” he said. 

A day earlier, Azar told the Assembly the U.S. was committing an additional $7 million for the Ebola response, raising its total to $8 million. The WHO has launched a “strategic response plan” for itself and partner organizations that seeks nearly $26 million to battle the outbreak, a figure that’s expected to rise.

“We’re also grateful for other countries that have stepped up to the plate. And we hope others will do the same,” Azar added. 

Azar said the “first and foremost mission” that the U.S. and the world community look to the WHO for is its “central role around infectious disease and emergency preparedness and response.”

Azar also underscored a Trump administration grievance: that other developed countries are “free riding off U.S. investment and innovation” in medicines and health care. The White House says countries that regulate the price of drugs contribute to higher costs in the U.S. and keep their own costs artificially low.

Azar said he delivered that message to his peers in Geneva.

“It has been a thoughtful response,” he said, when asked about their reaction. “It has not been reflexive, it has been a sense of, ‘We’re in this together. We do need to work to support innovation.’”

But he said he was leaving the details to others.

“I’m not here to do trade negotiations. I have delivered the message and said our trade negotiators are coming: Be ready!” he said with a laugh. “I have said we have our own job: The president is going to bring down American drug costs. But they’ll have their job.”

Lessons From Last Ebola Outbreak Guide Approach in DRC 

When Ebola broke out in West Africa in 2014, no one was prepared. A potential vaccine had been in limbo since a previous outbreak a decade earlier. Governments dragged their feet while failing to recognize the risks the outbreak carried. Local health workers were quickly overwhelmed. And aid agencies were scrambling to catch up.

By the time the epidemic was brought under control in 2016, more than 11,300 people had died in Guinea, Liberia and Sierra Leone and the costs had risen to $4.3 billion.

Flash forward to May 8, when word emerged about a possible Ebola outbreak in a remote village in the Democratic Republic of the Congo. Within two days, the DRC had dispatched experts to the scene. International agencies shipped in personnel, mobile medical labs and a batch of vaccine that had been tested during the West African outbreak. 

Painful lessons from the last Ebola outbreak are being applied in the current one, in hopes of limiting its scope. 

‘Quick and robust response’

“The coordinated action is essential,” said Tarik Jasarevic, spokesman for the World Health Organization (WHO), which so far is reporting 27 deaths among 51 cases of hemorrhagic fever. “We know how damaging Ebola can be in the communities. And we have to mount a quick and robust response not to get to the point where a transmission chain would get out of control.”

But concerns remain that the virus could elude containment efforts. 

The aid group Medecins Sans Frontieres (MSF), or Doctors Without Borders, reported that three patients left an isolation ward at a treatment center in the Congolese city of Mbandaka sometime between Sunday and Tuesday. Two of the patients died; a third had been scheduled for discharge.

“You can imagine having the Ebola virus in a community is a cause of concern for the local population,” Jasarevic said. The city has roughly a million residents.

The Associated Press quoted MSF emergency coordinator Henry Gray as saying in a statement Wednesday, “One of the men died at home and his body was brought back to the hospital for safe burial with the help of the MSF teams; the other was brought back to the hospital yesterday morning and he died during the night.”

Every epidemic has its unique challenges. In this case, the villages initially affected were in remote locations. Land had to be cleared, first for helicopters and then planes.

With quick action came the need for funding. Last Friday, the WHO requested $26 million. More than half of that had been pledged as of Tuesday, with the United States committing $8 million of the amount.

“It’s better to spend more today than to be forced to spend much, much more afterward, because we know what damage, economic damage, was done to the countries in West Africa in 2014,” Jasarevic said.

Jasarevic said the requested amount was small, given the costs of the last outbreak.

One upside

The repeated outbreaks have had the positive side effect of developing a core of health workers whose experience is proving priceless, including those in the DRC, now dealing with its ninth outbreak. 

“Obviously, they are leading the response,” Jasarevic said of the Congolese. 

He added that WHO also had created an international emergency medical team roster, which includes experts who’ve participated in previous outbreaks. 

The experts include anthropologists and others, who can help explain how individuals can safeguard themselves and others. The experts can instruct that anyone showing symptoms consistent with the virus, such as flu-like symptoms, “should be brought to the treatment center so they don’t affect other people,” Jasarevic said.

The experts also want to increase awareness of safe burial practices, limiting exposure to the body of someone who has died of the infectious disease. It can spread through direct contact with bodily fluids.

The bottom line now is to keep the outbreak from spreading.

The vaccine is being used first on health workers and the friends and relatives of those who already have been infected. If it all works, the aid agencies and various governments soon will be looking for new lessons. 

Planet-Warming Gases Make Some Food Less Nutritious, Study Says

Rising levels of planet-warming gases may reduce key nutrient levels in food crops, according to a new study.

Rice grown while exposed to carbon dioxide levels expected by the end of this century had lower levels of vitamins, minerals and protein than normal, the results showed. 

The authors said the impact would be most significant for the poorest citizens of some of the least-developed countries, who eat the most rice and have the least diverse diets.

In the study, published in the journal Science Advances, scientists grew 18 varieties of rice in fields in China and Japan. They pumped carbon dioxide over the plants to simulate the atmosphere of the future. 

Rice grown under high carbon dioxide conditions had, on average, from 13 to 30 percent lower levels of four B vitamins, 10 percent less protein, 8 percent less iron and 5 percent less zinc than conventionally grown rice. 

On the other hand, vitamin E levels increased by about 13 percent on average.

The results are bad news, “especially for the nutrition of the poorer population in less-developed countries, because this population depends for nutrition on rice,” said study co-author Kazuhiko Kobayashi at the University of Tokyo. 

That includes roughly 600 million people in Indonesia, Cambodia, Myanmar, Bangladesh, Laos and several other nations, mainly in Southeast Asia, the report said.

While research has shown higher temperatures from climate change and weather extremes will cut food production, especially in the tropics, scientists are increasingly finding that rising greenhouse gas levels are a threat to food quality as well.

Earlier studies by Harvard University researcher Sam Myers and colleagues showed that wheat, maize, rice, field peas and soybeans grown under high carbon dioxide conditions all had lower levels of protein and minerals. The scientists estimated that roughly 150 million people might be at risk of protein or zinc deficiency by 2050. 

It’s one example of the surprises climate change has in store, Myers said.

“If you and I sat down 15 years ago and thought about, ‘I wonder how dumping enormous amounts of carbon dioxide into the atmosphere will affect our well-being,’ I think one of last things we would have come up with is, ‘I bet it will make our food less nutritious,’ ” he said.

“My concern is, there are many more surprises to come,” Myers added. 

He noted that global pollution, biodiversity loss, deforestation and land use change, and other human activities are likely to produce unexpected problems as well.

“You can’t fundamentally disrupt all the natural systems that we have adapted to over millions of years of evolution without having these ripple effects that come back to affect our own health and well-being,” he said.

The new study suggests a way to minimize the nutritional impact of climate change.

“Different [rice] varieties showed quite different changes in response to higher carbon dioxide concentrations,” Kobayashi said. Rice breeders can use these differences to create varieties that are less affected by greenhouse gas levels, he said.

Post-Mugabe, Zimbabweans Still Waiting for Economic Uptick

This week marks six months since Zimbabwe President Emmerson Mnangagwa took office, after Robert Mugabe gave in to military pressure and resigned.

During the weekend, the 75-year-old Mnangagwa told supporters that since he took over, a lot had improved.

He says Zimbabwe’s annual foreign direct investment had been around $400 or 500 million, but for the past five months it has gone to more than $15 billion committed to investment in the country, with international companies and countries such as Canada, South Africa, China, Britain and the United States coming to invest in power generation and water.

Last Tuesday, the British gave $100 million to aid toward trying to eliminate Zimbabwe’s cash crisis, Mnangagwa said.

The country’s methane gas reserves have improved as well, he added.

“After about three and half years, we should be able to produce eight million liters of fuel per day,” Mnangagwa said. “The country only consumes five million [liters] per day — three million surplus per day.  Zimbabwe will prosper, it is going to develop. Zimbabwe will shine not only in SADC [Southern African Development Community], but also in Africa because Zimbabwe is in good hands. Our political party ZANU-PF is a revolutionary party, it caters for the interests of the people.”

Chido Masasai, an unemployed former media student, says Zimbabwe’s people have yet to see the money the president is talking about. She says there is still a shortage of cash, and the black market continues to operate.

What she does see is a greater expression of political views — a significant change from the Mugabe era when authorities regularly harassed the president’s critics and opponents.

“But in terms of freedom of expression, a lot more people are liberal with their views and opinions. You find that there are a lot of political parties that have come into the fore,” Masasai said.

Harare-based economist John Robertson says it is too early for Zimbabwe’s economy to fully recover from Mugabe’s populist policies, which drove away most foreign investment.

“The economy is still in great difficulty, but remember that the difficulties we face were built slowly into the system by 38 years of very badly chosen economic policies, and I think that the media is largely responsible in increasing the expectations of the population beyond what was reasonably possible within a short period of time,” he said.

Robertson added that Mnangagwa might make major policy changes, such as compensating white farmers for land that was confiscated during the Mugabe years, and ensuring that black farmers can get bank loans instead of depending on government handouts.

“I think this is why the president is waiting for the elections,” he said. “Behind him he would have increased amounts of courage to make changes that will prove unpopular to the people who thought they achieved what they were expecting.”

The president is expected to announce a date for the elections soon, which could place in July or August.  

Twitter to Add Special Labels to Political Candidates in US

Twitter says it’s adding special labels to tweets from some U.S. political candidates ahead of this year’s midterm elections.

Twitter says the move is to provide users with “authentic information” and prevent spoofed and fake accounts from fooling users. The labels will include what office a person is running for and where. The labels will appear on retweets as well as tweets off of Twitter, such as when they are embedded in a news story.

Twitter, along with Facebook and other social media companies, has been under heavy scrutiny for allowing their platforms to be misused by malicious actors trying to influence elections around the world.

The labels will start to appear next week for candidates for governor and Congress.

Ethiopia Opens Telecoms Sector to Limited Competition

Ethiopia’s state-run telecoms monopoly has agreed to allow some local firms to provide internet services through its infrastructure, a move seen as spurring competition and expanding the data market, officials said.

Ethio Telecom has more than 16 million subscribers of internet services in the country of over 100 million people.

It generated over 27.7 billion birr ($1 billion) in revenues in the first nine months of 2017/18, 70 percent of which was earned from mobile services and 18 percent from internet.

“Our objective of signing VISP [virtual internet service provider] agreements is to increase subscriptions,” said Abdurahim Ahmed, the company’s head of communications.

“There may be price reductions. There will be competition among themselves — that is the core idea,” he told Reuters.

Abdurahim said eight firms have signed up to provide the services, which include different internet packages. Foreign companies were not allowed to provide services, he said.

Ethiopia is one of few African countries to still have a state monopoly in telecoms. The companies that signed agreements with Ethio Telecom have either just been established to sign up for this new business or they were previously doing other business.

Addis Ababa has ruled out liberalizing the telecoms sector, saying the revenue it generates was being spent on infrastructure projects such as railways.

Abdurahim said the decision to allow private companies to sell services was not a precursor to fully liberalizing the sector.

“This has nothing to do with that. They will be providing downstream services,” he said, referring to data sent from an existing network service provider.

While Ethio Telecom has consistently increased annual revenue, vast parts of the country — including the capital — still suffer from occasionally patchy mobile reception and internet service.

The low internet penetration and poor quality of service in Ethiopia is often a drag on businesses and is especially seen as an obstacle to technology startups such as those that have thrived in neighboring Kenya.

Ethiopia maintains a tight grip on several other industries, with foreign firms also barred from the banking and retail sectors.

Turkish Currency Hits Record Low Amid Erdogan Concerns

Turkey’s currency has fallen to a record low against the dollar amid concerns about an outflow of investor capital and the country’s ability to manage the situation.

The lira weakened to over 4.80 per dollar on Wednesday, down some 5 percent since the previous day.

 

The drop puts pressure on the Turkish Central Bank to sharply increase rates before a scheduled monetary policy meeting on June 7. But it is seen to be reluctant as President Recep Tayyip Erdogan wants rates low.

 

Higher rates can support a currency and ease inflation, but also hinder economic growth by making borrowing more expensive.

 

The lira has lost more than 20 percent of its value against the dollar since the start of the year. The risk is that will increase the price of imports, making Turkish people effectively poorer. It could also encourage more investors to pull their money out if they expect that the value of their investments to drop as the currency declines.

 

Turkey’s market jitters in part reflect a global trend in which the currencies of emerging economies have come under pressure. Economists say that is partly because the U.S. Federal Reserve is raising interest rates, encouraging investors to place their money in the U.S. instead of other economies.

 

Because Turkey is particularly dependent on foreign capital, its markets are one of those to have suffered most. Other countries that have seen sharp drops in their currencies include Brazil and Argentina.

 

But Turkey’s currency has been hit particularly hard because of the complicated political backdrop. While a central bank is in theory independent from the government, Erdogan has put pressure on it to not raise rates as he prepares for early presidential and parliamentary elections next month.

 

Jason Tuvey, an economist with Capital Economics in London, says that if the central bank “continues to bow to pressure from Erdogan and refrains from raising interest rates, that would lead to an even sharper fall in the currency.”

 

Deputy Prime Minister Bekir Bozdag on Wednesday cast the lira’s drop as a foreign plot to harm Erdogan and affect the results of the polls.

 

“Those who believe that by manipulating the dollar they will lead to results that will harm the nation and their pockets and change the election result, are mistaken,” the state-run Anadolu Agency quoted Bozdag as saying.

 

Muharrem Ince, the main opposition party’s candidate who is challenging Erdogan at the June 24 presidential race, called on the Turkish leader to urgently halt interfering in the central bank’s monetary policy and to ease concerns over fiscal discipline, warning that the “economy is about to hit the wall.”

 

 

 

France’s Macron Takes on Facebook’s Zuckerberg in Tech Push

French President Emmanuel Macron is taking on Facebook CEO Mark Zuckerberg and other internet giants at a Paris meeting to discuss tax and data protection and how they could use their global influence for the public good.

Macron on Wednesday welcomed Zuckerberg and the leaders of dozens of other tech companies, including Microsoft, Uber, and IBM, at a conference named “Tech for Good” meant to address things like workers’ rights, data privacy and tech literacy.

 

The meeting comes as Facebook, Google and other online giants are increasingly seen by the public as predators that abuse personal data, avoid taxes and stifle competition.

 

“There is no free lunch!” Macron joked to express his expectations of “frank and direct” discussions.

 

He said tech giants could not just be “free riding” without taking into account the common good. He called on them to help improve “social situations, inequalities, climate change.”

Zuckerberg came to Paris after facing tough questions Tuesday from European Union lawmakers in Brussels, where he apologized for the way the social network has been used to produce fake news and interfere in elections. But the Facebook founder also frustrated the lawmakers as the testimony’s setup allowed him to respond to a list of questions as he sought fit.

 

Macron sees himself as uniquely placed to both understand and influence the tech world. France’s youngest president, Macron has championed startups and aggressively wooed technology investors.

 

But Macron is also one of Europe’s most vocal critics of tax schemes used by companies like Facebook that deprive governments of billions of euros a year in potential revenue. And Macron has defended an aggressive new European data protection law that comes into effect this week. The so-called GDPR regulation will give Europeans more control over what companies can do with what they post, search and click.

 

Several companies took advantage of the meeting to announce new initiatives.

 

Microsoft said it would extend the EU principles to its clients worldwide. Google committed $100 million over the next five years to support nonprofit projects, like training in digital technologies. Uber said it will finance insurance to better protect its European drivers in case of accidents at work, serious illness, hospitalization and maternity leave. And IBM announced the creation of 1,400 new jobs by 2020 in France.

 

Aides to Macron acknowledged companies like Facebook have become more influential than governments. The aides insisted that Macron isn’t trying to kiss up to such companies or let them whitewash their reputations through philanthropic gifts.

 

The aides spoke only on condition of anonymity as they were not authorized to be publicly named.

 

 Privacy and taxes are among issues Macron was raising with Zuckerberg and the other tech executives in one-on-one meetings and a mass lunch Wednesday in the presidential palace with philanthropists and politicians.

 

Macron, Zuckerberg and others are then expected to attend the Vivatech gadget show in Paris on Thursday.

 

At Tuesday’s hearing in the European Parliament in Brussels, Zuckerberg said Facebook “didn’t take a broad enough view of our responsibilities,” adding: “That was a mistake, and I’m sorry for it.”

 

But lawmakers left frustrated. Liberal leader Guy Verhofstadt asked whether Zuckerberg wanted to be remembered as “a genius who created a digital monster that is destroying our democracies and our societies.”

 

 

Philip Roth, Fearless and Celebrated Author, Dies at 85

Philip Roth, the prize-winning novelist and fearless narrator of sex, death, assimilation and fate, from the comic madness of “Portnoy’s Complaint” to the elegiac lyricism of “American Pastoral,” died Tuesday night at age 85.

Roth’s literary agent, Andrew Wylie, said that the author died in a New York City hospital of congestive heart failure.

Author of more than 25 books, Roth was a fierce satirist and uncompromising realist, confronting readers in a bold, direct style that scorned false sentiment or hopes for heavenly reward. He was an atheist who swore allegiance to earthly imagination, whether devising pornographic functions for raw liver or indulging romantic fantasies about Anne Frank. In “The Plot Against America,” published in 2004, he placed his own family under the anti-Semitic reign of President Charles Lindbergh. In 2010, in “Nemesis,” he subjected his native New Jersey to a polio epidemic.

He was among the greatest writers never to win the Nobel Prize. But he received virtually every other literary honor, including two National Book Awards, two National Book Critics Circle prizes and, in 1998, the Pulitzer for “American Pastoral.” He was in his 20s when he won his first award and awed critics and fellow writers by producing some of his most acclaimed novels in his 60s and 70s, including “The Human Stain” and “Sabbath’s Theater,” a savage narrative of lust and mortality he considered his finest work.

He identified himself as an American writer, not a Jewish one, but for Roth the American experience and the Jewish experience were often the same. While predecessors such as Saul Bellow and Bernard Malamud wrote of the Jews’ painful adjustment from immigrant life, Roth’s characters represented the next generation. Their first language was English, and they spoke without accents. They observed no rituals and belonged to no synagogues. The American dream, or nightmare, was to become “a Jew without Jews, without Judaism, without Zionism, without Jewishness.” The reality, more often, was to be regarded as a Jew among gentiles and a gentile among Jews.

In the novel “The Ghost Writer” he quoted one of his heroes, Franz Kafka: “We should only read those books that bite and sting us.” For his critics, his books were to be repelled like a swarm of bees.

Feminists, Jews and one ex-wife attacked him in print, and sometimes in person. Women in his books were at times little more than objects of desire and rage and The Village Voice once put his picture on its cover, condemning him as a misogynist. A panel moderator berated him for his comic portrayals of Jews, asking Roth if he would have written the same books in Nazi Germany. The Jewish scholar Gershom Scholem called “Portnoy’s Complaint” the “book for which all anti-Semites have been praying.” When Roth won the Man Booker International Prize, in 2011, a judge resigned, alleging that the author suffered from terminal solipsism and went “on and on and on about the same subject in almost every single book.” In “Sabbath’s Theater,” Roth imagines the inscription for his title character’s headstone: “Sodomist, Abuser of Women, Destroyer of Morals.’’

Ex-wife Claire Bloom wrote a best-selling memoir, “Leaving a Doll’s House,” in which the actress remembered reading the manuscript of his novel “Deception.” With horror, she discovered his characters included a boring middle-aged wife named Claire, married to an adulterous writer named Philip. Bloom also described her ex-husband as cold, manipulative and unstable. (Although, alas, she still loved him). The book was published by Virago Press, whose founder, Carmen Callil, was the same judge who quit years later from the Booker committee.

Roth’s wars also originated from within. He survived a burst appendix in the late 1960s and near-suicidal depression in 1987. After the disappointing reaction to his 1993 novel, “Operation Shylock,” he fell again into severe depression and for years rarely communicated with the media. For all the humor in his work – and, friends would say, in private life – jacket photos usually highlighted the author’s tense, dark-eyed glare. In 2012, he announced that he had stopped writing fiction and would instead dedicate himself to helping biographer Blake Bailey complete his life story, one he openly wished would not come out while he was alive. By 2015, he had retired from public life altogether.

He never promised to be his readers’ friend; writing was its own reward, the narration of “life, in all its shameless impurity.” Until his abrupt retirement, Roth was a dedicated, prolific author who often published a book a year and was generous to writers from other countries.

 Roth began his career in rebellion against the conformity of the 1950s and ended it in defense of the security of the 1940s; he was never warmer than when writing about his childhood, or more sorrowful, and enraged, than when narrating the shock of innocence lost.

Roth was born in 1933 in Newark, New Jersey, a time and place he remembered lovingly in “The Facts,” “American Pastoral” and other works. The scolding, cartoonish parents of his novels were pure fiction. He adored his parents, especially his father, an insurance salesman to whom he paid tribute in the memoir “Patrimony.” Roth would describe his childhood as “intensely secure and protected,” at least at home. He was outgoing and brilliant and, tall and dark-haired, especially attractive to girls. In his teens he presumed he would become a lawyer, a most respectable profession in his family’s world.

But after a year at Newark College of Rutgers University, Roth emulated an early literary hero, James Joyce, and fled his hometown. He transferred to Bucknell College in Pennsylvania and only returned to Newark on paper. By his early 20s, Roth was writing fiction.

After receiving a master’s degree in English from the University of Chicago, he began publishing stories in The Paris Review and elsewhere. Bellow was an early influence, as were Thomas Wolfe, Flaubert, Henry James and Kafka, whose picture Roth hung in his writing room.

Roth insisted writing should express, not sanitize. After two relatively tame novels, “Letting Go” and “When She was Good,” he abandoned his good manners with “Portnoy’s Complaint,” his ode to blasphemy against the unholy trinity of "father, mother and Jewish son.'' Published in 1969, a great year for rebellion, it was an event, a birth, a summation, Roth's triumph overthe awesome graduate school authority of Henry James,” as if history’s lid had blown open and out erupted a generation of Jewish guilt and desire.

Advocacy Groups Want Facebook ‘Monopoly’ to End

Facebook CEO Mark Zuckerberg told EU lawmakers Tuesday that the social media network will always be in “an arms race” with those who want to spread fake news, but that the company will be working to stay ahead and protect the network’s users. The social media giant has been under scrutiny since April when it became known that the Cambridge Analytica company harvested information on Facebook users to help Donald Trump during his 2016 U.S. presidential campaign. VOA’s Zlatica Hoke reports.

Official: Trump Administration to Publish Proposed Rule Changes for Gun Exports

The Trump administration is preparing to publish on Thursday long-delayed proposed rule changes for the export of U.S. firearms, a State Department official said on Tuesday.

The rule changes would move the oversight of commercial firearm exports from the U.S. Department of State to the Department of Commerce.

The action is part of a broader Trump administration overhaul of weapons export policy that was announced in April.

Domestic gun sales drop

Timing for the formal publication of the rule change and the opening of the public comment period was unveiled by Mike Miller the acting secretary for the Directorate of Defense Trade Controls, the State Department’s body that currently oversees the bulk of commercial firearms transfers and other foreign military sales.

He was speaking at the Forum on the Arms Trade’s annual conference at the Stimson Center, a Washington think tank.

Reuters first reported on the proposed rule changes in September as the Trump administration was preparing to make it easier for American gun makers to sell small arms, including assault rifles and ammunition, to foreign buyers.

Domestic gun sales have fallen significantly after soaring under President Barack Obama, when gun enthusiasts stockpiled weapons and ammunition out of fear that the government would tighten gun laws.

A move by the Trump administration to make it simpler to sell small arms abroad may generate business for gun makers American Outdoor Brands and Sturm, Ruger & Company in an industry experiencing a deep sales slump since the election of President Donald Trump.

Remington recovers from bankruptcy

Remington, America’s oldest gun maker, filed for bankruptcy protection in March, weeks after a shooting at a high school in Parkland, Florida, killed 17 people and triggered intensified campaigns for gun control by activists. Remington emerged from bankruptcy last week.

The expected relaxing of rules could increase foreign gun sales by as much as 20 percent, the National Sports Shooting Foundation has estimated. As well as the industry’s big players, it may also help small gunsmiths and specialists who are currently required to pay an annual federal fee to export relatively minor amounts of products.

Amazon Is Warned About Government Use of Facial Recognition

U.S. civil liberties groups on Tuesday called on Amazon.com Inc. to stop offering facial recognition services to governments, warning that the software

could be used to target immigrants and people of color unfairly.

More than 40 groups sent a letter to Amazon Chief Executive Officer Jeff Bezos saying technology from the company’s cloud computing unit was ripe for abuse. The letter underscores how new tools for identifying and tracking people could be used to empower surveillance states.

Amazon has marketed a range of uses for its Rekognition service, unveiled in late 2016. These include detecting offensive content, identifying celebrities and securing public safety.

In a blog post last year, Amazon said a new feature let customers “identify people of interest against a collection of millions of faces in near real-time, enabling use cases such as timely and accurate crime prevention.”

Customers provide the data for Amazon’s tool to search.

“Seconds saved in the field can make the difference in saving a life,” Chris Adzima, an analyst in the Washington County Sheriff’s Office in Oregon, said in the blog post.

Freedom from being watched

But rights groups say the powerful tool raises concerns.

“People should be free to walk down the street without being watched by the government,” said the letter to Bezos. “Facial recognition in American communities threatens this freedom. In overpoliced communities of color, it could effectively eliminate it.”

Amazon has helped various U.S. jurisdictions use Rekognition, said the letter, citing public records obtained by affiliates of the American Civil Liberties Union.

In Oregon, law enforcement uploaded 300,000 mug shots dating to 2001 into Amazon’s cloud and indexed them in Rekognition, according to another Amazon blog post.

Rekognition identified four faces with more than 80 percent similarity to an image of an unidentified hardware store thief; a Facebook search subsequently helped with the case, the post said.

The City of Orlando Police Department has also used Rekognition, according to Amazon’s website.

In a statement, Amazon Web Services said, “Our quality of life would be much worse today if we outlawed new technology because some people could choose to abuse the technology.”

Amazon requires customers to abide by the law and be responsible when using Rekognition, it added.

The world’s largest online retailer is not alone: Microsoft Corp and Alphabet Inc.’s Google offer recognition services as well.

Identifying faces has become a common feature in consumer products from Apple Inc. and Facebook Inc.

DRC Prepares for Mass Ebola Vaccinations

Preparations are under way for a mass Ebola vaccination campaign in the Democratic Republic of Congo as the Ministry of Health and international aid agencies hold a second day of inoculations in northwestern Equateur Province. The latest World Health Organization estimates report 51 cases of Ebola, including 27 deaths.

The World Health Organization said 33 people, most of them front-line health care workers, were vaccinated against Ebola on Monday in Mbandaka, a city of more than one million people. It said a few high-risk people from the community also were vaccinated during the first day of the campaign.

More than 7,500 doses of the Ebola vaccine have been shipped to the Democratic Republic of Congo. WHO spokesman Tarik Jasarevic told VOA he expects the campaign to accelerate and ultimately reach thousands of people.

He said a lot of work has to be done before this complex operation can hit its stride. For example, he said transporting the vaccines and storing them in freezers in affected areas is a major challenge.

“You need to have vaccination teams to be trained so they know exactly what they need to do, how to get a consent, how to define eligibility of a contact and contacts of contacts,” he added. “So, all of that has to be done in a very, very short period of time under very difficult conditions.”

Jasarevic said a team from Doctors Without Borders will begin vaccinations later in the week in Bikoro, the remote rural town in northwestern Equateur Province, where the deadly Ebola virus was discovered two weeks ago.

The Ebola vaccine is not licensed, but a major trial in 2015 in Guinea showed it gave a high rate of protection against the disease. A so-called ring vaccination strategy is being applied. It relies on tracing all the contacts and extended contacts of a recently confirmed case as soon as possible. More than 600 contacts have been identified.