Optimism

It requires an enormous effort to be positive in today’s situation. We see the number of victims, we read the stories of their suffering, we watch the unemployment figures shooting to the stars, the immense level of poverty that goes along, we think of people we have known in Africa and elsewhere in the least developed economies, and wonder how can they survive on daily basis, we are told of perfectly viable companies going to the rocks, and all the rest, and we get depressed. But we must convince ourselves that sooner we will be able to contain the pandemic – to contain, as a first stage, before we eliminate it – and that normalcy will be invited back. We do not really know what type of normality that will be, people talk about a changed society, but as soon as people feel free to take care of their lives we might see a big leap forward, a renewed level of energy. I think we have here an opportunity to come out of it wiser. And that makes me feel a bit optimist.

The African situation

My friends all over Africa tell me that the pandemic is gaining ground in several countries. There are lockdowns in place in some cities. The big problem is that the national health structures have very limited capacity to deal with Covid-19. It all starts with the means of testing. And then, the treatment, the conditions in the hospitals, the shortage of medical staff at every level. There have been some figures about the number of cases. But the tally is far from being reliable.

Leading people in those countries are looking in the direction of China. For them, China could be a model and a source of help. They are also very surprised as they see European nations, developed societies, struggling to respond to the challenge. They can’t understand the difficulties the Europeans meet. They thought that a situation of that type would never happen in Europe. The European image is losing sharpness and light in the African circles. That is one of the consequences of the pandemic.

The ordinary African citizen, particularly those in the big metropolis, have very little space for social distancing. That notwithstanding, I have seen pictures of empty cities throughout the Continent. People know what is at play. And they try to take it as seriously as their living conditions allow them to do it. I have a deep admiration for them. They are, in many cases, the poorest of the poor, they must fight every day for their own economic survival, but they are showing a good measure of responsibility.

One of things that must be placed back on the agenda, once we start getting out of these troubling times, is the relationship between Africa and Europe. Both sides have a lot to gain from a stronger partnership. And, as I said several times, we can include the Chinese in the equation. They will gain a lot as well, if we are all together.

Boris Johnson and Covid-19

Wishing a speedy recovery to Prime Minister Boris Johnson of the UK. He has been transferred this evening to intensive care because of the coronavirus. This sad moment sends a very strong message to the population. The coronavirus is a very threatening disease and people must follow all the official protocols the health authorities have adopted. The Prime Minister is a strong person, not old at all, and surrounded by the best medical care one can get. Notwithstanding all that, he is struggling. He has been sick for eleven days or so. If that can happen to the leader of the UK, we must pay a lot of attention to the virus. This is no small matter.

Bamako sunset

Thanks to a friend and the digital technology, I could watch the sun setting below the horizon of Bamako, the capital of Mali. The Niger River reflected the last rays of light of the day and sent me a message of beauty, tranquillity and vastness. Not far, the image showed one the arteries of the city, as busy as it is customary on a Sunday end of the afternoon. We talked about the virus – five registered deaths so far in the country. But we know how difficult it is to record the true cause of death in a country like Mali. Fine. The important point, for me, was to learn that life goes on as usual in the city and elsewhere. The UN mission, and the embassies, are following the prevention protocols. But the ordinary Malian is focused on what keeps him busy every day: to find enough resources to buy food and other basic needs; and to worry about the security of his family and his own, especially in the central and northern regions of the country. And those concerns are there to stay. People have very little time for the virus, as they had no time for the legislative elections that took place last weekend. The turnout in Bamako was around 10%. That says a lot. And it reminds us that we might live in a global village, but some corners of that village spend their time just trying to survive, virus or no virus.

Our daily dose of fear

In my area of the city there is one big supermarket. I go there every Thursday morning, for the weekly shopping. And sometimes, one more time, for some item that might be needed and was left out of the weekly list. During the last two or three weeks, I noticed that the number of people inside the supermarket is much smaller. Not because of any entry control, let me add. It all starts at the underground parking. Nowadays, it’s much easier to find a good spot for the car. I should add that most of those shopping on Thursday in morning are older customers, retired people. I am told they are afraid of spending time in the big shop. And today, as I was chatting over the phone with a friend, I got the confirmation that there are many people – and more so now, as the bad figures keep increasing – who are simply afraid of any contact, even a distant one, with other shopping fellows. And I said to myself that we are living in very strange times, when the simple act of moving along the wide aisles of a supermarket is seen as a dangerous exercise.  

What lies ahead is simply unique

The economic dimension of the crisis is huge. That’s now obvious to everyone, as the figures about unemployment and temporary layoffs become known. And that explains the gigantic size of the recovery programmes that have been announced. The amounts are just mind-boggling, difficult to imagine, because of the large number of zeros that follow the initial figure. Hundreds of billions, many of them close to trillion figures, or even above, as it is the case in the US. We are talking about funds that are simply not available. They will have to be printed.

It is a dramatic situation to many families and a move to extraordinary levels of indebtment by the States, the corporations and firms, and the families. Large amounts of debt, both public and private, were already a key feature in many countries. Our economies have been in the red for several years. But the previous debt levels will look as small fish when compared with the numbers in the next phase, the recovery phase. Most of that debt will be untenable and will have to be write off, sooner or later. That will cause major changes in wealth ownership. The point will be to manage such transition in a way that would avoid the ruin of key sectors of the economy, including the pension mechanisms, the banking and insurance systems, the bond and the property markets.

It is indeed a completely new ball game. We will have to play it and keep defining the rules as we move on. It will require an extraordinary level of international cooperation. That means wise leadership, plenty of foresight and political courage. Unfortunately, wise leadership seems to be a dimension that is seriously absent in the current international relations scenario. In my opinion, that’s one of the key risks that can seriously disrupt the next stage of our life in this small planet. These will be exceptional times.

Beyond the facts

Today I give everyone a break. There is no writing about the pandemic. No word about the crisis millions are facing. No mention of the economic collapse we are witnessing. Let’s be light today. It’s better for our own mental health.

The UN's appeal must be heard

The UN Secretary-General launched yesterday an appeal for funds to help the developing countries to tackle the Covid-19 pandemic and to finance their socio-economic recovery. António Guterres stated very clearly that this pandemic is by far the deepest crisis the world has faced since World War II. It has many dimensions and all of them tremendously affect the weakest people in the poorest countries of the world. The amount he deems necessary is about $8 trillion US, meaning 10% of the global GDP.

I agree with the Secretary-General’s analysis, approach and amount he is looking for. But I am extremely pessimist as it regards to the response the richest countries will provide. Every country, in the better off regions of the world, is desperately looking for resources to deal with the impact of the Covid-19 within their own borders. The call for international solidarity is a distant call. It will not be heard. The developing world will be left to its own fate.

The developing countries that were better connected to the global economy will gradually re-establish those connections. It will take time for different reasons. The logistical chains of supply have been seriously disrupted, the demand in developed economies will remain weak for a good period and there will be an attempt to produce locally what was up to now imported from afar. International trade might take a new shape, to operate within smaller circles of nations.

The countries that were outside the global sphere of production and commerce will continue to struggle at subsistence level. Poverty will continue to be as widespread as it is now. The opportunities to go beyond the local level will not open. And we can easily guess that international cooperation and aid priorities will go further down in the multilateral agenda.

In both cases, food production for local consumption will become the central concern. Any assistance to the agricultural sector will make a difference. The other concern will be to maintain peace and security in societies that have been profoundly de-structured and further impoverished.

The media that matters is too busy with the Covid-19 progression in the most developed societies to give any serious echo to Antonio Guterres’s appeal. No media attention means additional hurdles in terms of money mobilisation. 

Independently of the success of this initiative, the Secretary-General did the right thing. He must be the moral voice of those who are too far from the wealthy and the powerful to be heard.  

A dictator called Viktor Orban

The emergency powers approved yesterday by the Hungarian Parliament are outside the democratic framework that guides the European politics and governance. They allow the Prime Minister, Viktor Orban, to rule by decree as he pleases and for as long as he wants to. He will have the authority to imprison any opponent for years, including journalists, bloggers, human rights activists and whoever he sees as a threat to his leadership. This move must be clearly denounced by the European leaders. It cannot just be mentioned in vague terms, as Ursula von der Leyen did today. It must be spelled out with all letters and with the Prime Minister’s name attached to it. The EU has no place for people like Mr. Orban.

Positive stories must be told as well

Reports say that China is 85% back to normal. I have some questions about this figure. I think it is too high. But there is no doubt that the economic activity is resuming. And people are again on the move. There are still some restrictions being imposed, especially on travellers intending to come in from abroad. But all in all, things are now moving in the direction of recovery. 

That’s good news. Our media should be reporting about that. We need that kind of encouraging news. It is not good just to be inundated with our own sad figures and disturbing information about the existing chaos in some of our Western places. 

We must also fight all types of prejudice concerning the Chinese people. That should be part of the new world, the one we would like to live in, after the Covid crisis.