Tag: Arab Spring

Coping with the Legacy of Arab Socialism

Countries of the Arab Spring suffer from many economic, social, and political ills. At their center lies the unfortunate legacy of Arab Socialism, which established itself in the region during the 1950s and 1960s. One of its features, besides the ideology of Pan-Arabism and international ‘non-alignment,’ was an emphasis on government ownership and industrial planning. Far from generating prosperity and economic growth, these policies resulted in large, vastly inefficient government-operated sectors in several Arab economies. My new Cato Policy Analysis provides a sense of the magnitude of the problem and of its evolution over time:

In Egypt, for example, the share of government investment fell from around 85 percent in the late 1990s to below 40 percent in 2012. Over the same period of time, the share of government investment in Algeria doubled, from around 30 percent to above 60 percent. Throughout much of the same period, the average for lower-middle-income countries hovered under 30 percent.

Some Arab governments, most prominently Hosni Mubarak’s regime in Egypt, attempted to put in place large-scale privatization programs. However, these were perceived (and rightly so!) as attempts by the political elites and their cronies to simply seize publicly owned assets, without much regard for the future restructuring of the companies and their exposure to competition. My paper reviews the experience of privatization in other countries and tries to provide some practical lessons to policymakers in countries such as Egypt or Algeria.

First and foremost, privatization needs to be perceived as fair and transparent. Bidding should be competitive and open to a large spectrum of potential bidders, domestic and foreign. Second, private ownership of the financial sector is a requisite for successful privatization and restructuring of the rest of the economy–otherwise Arab countries risk creating a dangerous nexus of cronyism through which the state-owned banks and financial institutions would provide funding to newly privatized companies. Third, in order to avoid the danger of simply replacing government-run monopolies with privately-run ones, privatization should be far-reaching and accompanied by broad economic liberalization and opening up both to trade and investment.

Privatization is not very high on the agenda of Arab policymakers or foreign experts, and is typically eclipsed by the more immediate political concerns about the region. It is not, however, an issue that can be simply ignored.

It is a mistake to think that economic reforms can wait until Middle Eastern countries address their internal political and economic problems. There are not many examples of countries that have transitioned successfully to a representative constitutional government while maintaining economic rules that deny opportunity to large segments of the population. State ownership, accompanied by regulations that favor existing state-owned incumbents, are a critical part of the problem facing countries in the MENA region, most notably Egypt, Libya, Algeria, Syria, and Yemen

Egypt’s Shambolic Constitutional Process

Don’t let yourself be fooled by the overwhelming approval of the new Egyptian constitution in the referendum held earlier this week. While, according to preliminary results, the vast majority of roughly 37 percent of Egyptians who showed up at the polls backed the proposal, very little about the document itself or about the process through which it has come about is consistent with the idea of liberal democracy and limited government. Yesterday’s Bloomberg View editorial summarizes all one needs to know about the new constitution:

The armed forces would for at least the next eight years be independent of civilian control, including over their budget, as they were under former President Hosni Mubarak, himself an air force commander. Military courts would remain autonomous and would have jurisdiction over civilians in many instances. The hated police would also get greater independence, while the Supreme Court would be able to decide its size and membership for itself.

Neither should there be any illusions about the events leading to the adoption of the document. The referendum followed months of a deliberate crackdown on the opposition and disbanding of the largest political force in the country – not to speak of the arrests of activists of the ‘no’ campaign.

In short, Egypt seems to be coming full circle to where it was before the events of the Arab Spring, particularly if General Abdel Fattah el-Sisi announces his candidature for the country’s highest office. The question is how long the Egyptians are willing to put up with it.

As a side note, the constitutional process in Tunisia looks much more encouraging, although as Emmanuel Martin and I argue here, the new constitution is unlikely to be a an impetus for the badly needed economic reforms.

Democracy Versus Autocracy in Kuwait: Where Is Real Liberty?

KUWAIT CITY, KUWAIT—This small Gulf nation was largely unknown in America before Saddam Hussein’s Iraq invaded more than 20 years ago. The United States intervened to drive Iraqi forces out. Kuwaitis remain grateful to Americans and emphasize their friendship with the United States.

Although a monarchy, Kuwait has an elected parliament and a generally free media. It regularly invites foreign analysts and journalists to observe its elections. I am making my second trip this year.

Tremors from the Arab Spring are being felt here. The parliament elected in 2009 faced charges of corruption and lost popularity, and was dissolved at the beginning of the year. Elections were held in February.

All very democratic.

The new legislature was dominated by anti-government activists and, more important, Islamists. Top of the latter’s agenda was making Sharia the basis of all laws, imposing the death penalty for blasphemy, and closing Christian churches. Not very good for liberty.

The Kuwaiti emir, Sheikh Sabah al-Ahmad al-Sabah, said no to all three. Liberty was protected only because Kuwait was not a genuine parliamentary system where elections determine the government.

The constitutional court then reinstated the previous parliament on technical grounds—that it had not been properly dissolved. The members were no more popular than before and the body soon was properly dissolved. But the emir unilaterally changed the voting system from four votes to one vote per district—from which ten MPs are chosen. Public protests and a large-scale boycott ensued.

Nonetheless, the election was held on December 1. Turnout fell—to about 40 percent, compared to 60 percent in February—but the conduct of the poll received general praise from outside observers. The vote elevated a number of unknowns to parliament.

The government claimed success, but the opposition, which ranges from liberals to Islamists, organized 15 demonstrations involving thousands on Monday night. The police responded with force and injuries resulted. The opposition promised more protests, including a large rally promised for Saturday. The emir met with members of the royal family. My friend, political scientist Shafeeq Ghabra, told me that Kuwait was at a “political crossroads,” with the public determined to “deepen democratization.”

No one knows there this will end. The main opposition leader Musallam Al-Barrak, until this election the longest-serving MP, emphasized the protestors’ commitment to the emir. He told me the situation in Kuwait was different than elsewhere in the Arab Spring: “We want to have an elected government. That does not mean we are against the ruling system.” However, the driving force behind the protests is the youth movement—an incredible 70 percent of the population is under 29. Some of them, at least, seem less than enamored with monarchical rule, with or without a parliament.

As the current political crisis—a word now used by some—plays out, Kuwaitis may find themselves with something closer to a popularly elected government. Unfortunately, however, experience shows that this may not make them freer.

The Deadly Violence, Protests in Libya, Egypt

Virulent identity politics are swirling across post-revolutionary North Africa, as seen on full display in Libya and Egypt. Some reports now point to a pro-al Qaeda group or other extremist elements as responsible for the attack in Libya, planned in advance and unrelated to the anti-Islam video. The protestors in Libya may have been acting separately. There are still many unknown details.

But the idea that a derogatory and clownish internet video justifies mob violence or murder can only be described as barbaric.

The U.S. government should make crystal clear to its Libyan and Egyptian counterparts that if they wish to have any relationship, let alone a functional relationship, with the United States in the future, we expect the perpetrators of these acts to be brought to justice swiftly and for sufficient measures to be undertaken to ensure they cannot be repeated. Apologies are not enough.

For its part, the United States needs to figure out what went wrong in terms of operational security, and how the U.S. ambassador to Libya was killed and the Cairo embassy overrun. The past 10 years have blurred the line between warfighters and diplomats, but this experience is a reminder that the two are still distinct.

Finally, although their rights to free speech are sacrosanct and must be defended by all means possible, the filmmakers ought to consider the dangerous game that they are playing. The filmmaker’s statement to the Wall Street Journal that he raised $5 million from 100 Jewish donors to make the film threatens to fuel hatred, and a consultant to the film’s admission that “we went into this knowing this was probably going to happen” are both cold comfort to the deceased’s families and reminders that possession of a right is not an argument for the prudence of every possible exercise of that right.

The United States is a free society in which free speech is respected, but not every American enjoys every exercise of that right. The work of Andres Serrano and Robert Mapplethorpe infuriated and offended millions of Americans, but the right to free speech was protected and survived. One hopes that this standard can be reached by the citizens and governments of Libya and Egypt soon.

Don’t Arm Syria’s Rebels

With the death toll in Syria now climbing above 5,000, and graphic videos and images of the bloodbath flooding the internet, some in Washington have called for arming the Syrian resistance. That option, compared to other alternatives like a NATO-led no-fly zone, seems antiseptic. But America’s arming of rebels will amount to contributing to a worsening situation without a means of reaching a peaceful end state. Restraint, however unpalatable, is the most prudent option in an increasingly intractable situation.

First, there is no clear group in the resistance for Washington to provide arms to, even if that was the policy option chosen. Republican Senator John McCain of Arizona, who has argued most forcefully for arming the rebels, said, “It is time we gave them the wherewithal to fight back and stop the slaughter.” But Sen. McCain stopped short of calling for the direct supply of weapons by the United States, and didn’t mention to whom among the resistance he’d like to lend a helping hand.

No single group or leader speaks on behalf of Syria’s resistance, especially in a country where political loyalty tends to hew to one’s ethnicity, religion, sect, or clan. The Damascus-based National Coordination Committee (NCC), considered weak by some Syrian activists, is still willing to engage the regime in a power-sharing unity government.

The exile-based Syrian National Council (SNC) rejects all contact with the regime of President Bashar al-Assad. SNC seeks recognition from the West, but is viewed by some as a vehicle for monopolizing the uprising. The Free Syrian Army, a disorganized mash-up of disparate rebel groups and government soldiers who have switched sides, has declared its allegiance to the SNC.

The Syrian Muslim Brotherhood has said it’s open to foreign intervention, at first emphasizing Muslim Turkey. Meanwhile, a large portion of Syrian Kurds see Turkey as a primary threat. These rifts persist amid reports of Sunni jihadists entering Syria from Iraq, and fears that al Qaeda may hijack what for many is a struggle for a democratic Syria.

Furthermore, as George Washington University Professor Marc Lynch and others have argued, “boosting rebel fighting capacity” is likely to crystallize Syria’s internal polarization, and do little to weaken the Assad regime politically.

Flooding Syria with weapons, in a conflict the United Nations high commissioner for human rights has described as on the brink of civil war, might be used to justify a heavier government crackdown. U.S. assistance to rebels would vindicate Assad’s narrative that the revolt is a conspiracy of outside forces, including the U.S., Israel, and the Gulf states. It could also stir Sunni elites in Damascus and the relatively quiescent Aleppo to rally around Assad, strengthening his support, rather than weakening it.

Lastly, the civil war won’t end after arming one side. The most infamous instance of backlash was from the U.S. arming rebels in Afghanistan in the 1980s, a country that later turned into an al Qaeda sanctuary.

Today in Syria, the foreign frenzy of weapons pouring in has already resulted in a hot mess. Iranian and Russian arms, along with political support from Lebanon and Iraq, are going to the regime in Damascus and the large portion of minority Shia Alawites who support it. Arms and support from Qatar and Saudi Arabia back the majority Sunnis and other anti-Shia Islamist factions. Whatever this regional and international sectarian proxy war morphs into Washington would do best to stay out of it.

Syria’s deepening slide into civil war looks likely, which can be prevented only by either marshaling international opposition to the Assad regime, something Washington has already attempted to do, or encouraging more defections from within the regime, with the promise of resettlement and amnesty. The current diplomatic policy of waiting for the resistance to congeal and pledge to guard minority rights is prudent and should be pursued.

Sending weapons to rebels might satisfy the outside world’s moral urge to do something immediately, but it also might add to the mayhem, increase the loss of life, and push Syria further away from a stable future. Restraint is the more difficult choice, but the one that serves both the American and the Syrian people better in the long run.

Cross-posted from the Skeptics at the National Interest.

Egypt’s Arab Spring, One Year Later

As many expected, Islamist parties will form a dominant majority in Egypt’s first freely elected parliament. The Islamists are here to stay and fear-mongering over their rise is unproductive, since Egyptians will judge for themselves whether Islamists are delivering on their promises. Moreover, understanding the dynamics that brought religious parties to power should be the real goal, and will ultimately prove more useful to those engaging this nascent democracy.

The Freedom and Justice Party (FJP), the political arm of Egypt’s underground religious fraternity, the Muslim Brotherhood, won almost half the seats in parliament. The al-Nour Party and the Islamist Alliance, a coalition of puritanical Salafist parties more conservative than the Brotherhood, came in second with 25 percent of the vote. Combined, Islamists have taken about two-thirds of the seats in the new assembly. If placed on a generic right-left political spectrum, Salafis and other arch-conservatives would be on the far right, socialists and non-Islamists would be on the far left, and the liberal and moderate nationalist parties like al-Wafd would fall somewhere in the middle alongside the right-of-center Muslim Brotherhood. The movement advocates the system of a ceremonial president overseeing foreign policy and a prime minister in control of domestic affairs. It decided not to field a candidate for the presidency.

Egyptians in general and the Muslim Brotherhood in particular prefer stability and economic growth to waging jihad. On the one hand the Brotherhood vows to never recognize Israel, on the other its deputy chairman recently claimed, “We have announced clearly that we as Egyptians will abide by the commitments made by the Egyptian government…They are all linked to institutions and not individuals.” On war, renowned French social scientist Olivier Roy explains that Egypt’s religious parties are constrained by democratic mechanisms that hold the people’s legitimacy:

The “Islamic” electorate in Egypt today is not revolutionary; it is conservative. It wants order. It wants leaders who will kick-start the economy and affirm conventional religious values, but it is not ready for the great adventure of a caliphate or an Islamic republic. And the Muslim Brotherhood knows this.

Elements of the 1978 Camp David Accords are in dispute, but such changes will not lead ineluctably to war. The more interesting questions about the rise of Egypt’s Islamists lie in the domestic arena: Will the Brotherhood make good pluralists? Will religious liberty be deemed apostasy or an individual human right? Will a body of Islamic scholars be established to arbitrate Sharia law? Part of the problem is that the Brotherhood members talk a good game about the principles of “liberty and equalityand economic freedom, but they are also smooth political operators. They have repeatedly down-played their popularity to avoid frightening Egypt’s liberals and foreign observers. In fact, knowing that Turkey—not Iran—is the republican system that many in Egypt want to emulate, the Brotherhood ran a campaign claiming that their party was the Turkish model. It’s not. Al-Wasat, a Turkish-style Brotherhood-offshoot, is “the most moderate on the Islamist spectrum,” observes my friend and former colleague Omar Hossino, who studies Egypt and hails from Syria.  Al-Wasat got 2% (9 seats) of the vote.

So, what’s next?

Despite the gathering clouds of conservatism, shifting alliances within Egypt will broaden the culture of political debate. In this respect, contrary to received opinion, the Brotherhood loathes what it considers the destructive excesses of individualism and the oppressive forces of secularism. Post-modern political correctness should not inhibit us from addressing that thorny issue. It matters tremendously. Alongside the military the winners in Egypt’s parliament will help write the country’s new constitution. To pass it needs a two-thirds vote in parliament, which the FJP could have if it formed a coalition with al-Nour. Recently, however, the ultra-conservative Salafis who vilify secularism have reached out to liberal parties to form a minority coalition against what they see as the Brotherhood’s near monopoly on power. As academics Philpott, Shah, and Toft argue here:

The choice facing Arab Spring nations at this point isn’t one between religion and secular government. It’s a choice between democracy that includes all parties — religious and secular—and a regime that imposes a rigid and exclusive secularism.

That distinction is important. In his in-depth historical survey, The Society of the Muslim Brothers, the late academic Richard P. Mitchell writes that although early adherents to the Brotherhood believed their ruler must be “knowledgeable in Muslim jurisprudence, just, pious, and virtuous,” they also believed that “‘The nation,’ ‘the people’, in fact, are the source of all the ruler’s authority: ‘The nation alone is the source of power; bowing to its will is a religious obligation.”

If, in fact, Egypt’s Islamists believe in the “social contract,” in which rulers are the chosen agents of the people, the concern among many in the West that Egypt’s Islamists are inherently incompatible with democracy misses the point. Democracy in an Egyptian context will undoubtedly produce something different; for religious movements like the Brotherhood their primary political focus is the maintenance of Islam. After generations of being oppressed under secular tyrannies, the Brotherhood’s strong defense of Islam through civic activism has resonated with the majority of Egyptians.

Egypt’s revolution is still a work in progress, and thus far, it has not been pretty. A Muslim reformation could be the wave of the future. But while austere interpretations of Islamist doctrine are at odds with Western liberal democratic principles, such contradictions are precisely what Egyptians must sort out. Breathing down their collective neck and attempting to shape their political destiny harms their ability to resolve such incompatibilities on their own terms.

As I wrote a while back, admittedly on a slightly different topic:

Western policymakers, in their attempt to export liberal democracy, also run the risk of establishing a frame of social and political expectation and thereby making the dynamics most necessary for social change inflexible and ethnocentric. Because foreign-led efforts implicitly deprive local people of their ability to deal with social conflicts on their own, there is an argument to be made that societies grow more attached to that which they have sacrificed through arduous struggle.

Cross-posted from the Skeptics at the National Interest.

Of Qaddafi and Kim Kardashian

Last week on The Tonight Show with Jay Leno, President Obama discussed the withdrawal of U.S. troops from Iraq, the 2012 Republican presidential field, and ubiquitous Hollywood socialite, Kim Kardashian. But the conversation got really interesting when it veered to the recent intervention in Libya.

Obama said that with the arrival of the Arab Spring, the late Libyan leader Moammar Qaddafi had an opportunity “to finally loosen his grip on power and peacefully transition to democracy. We gave him ample opportunity and he wouldn’t do it.” On the former leader’s killing, Obama said, “There’s a reason after [Osama] bin Laden was killed, for example, we didn’t release the photograph. I think that there’s a certain decorum with which you treat the dead even if it’s somebody who’s done terrible things.”

Hmmm, decorum. To some in the Beltway it may seem tired and trite to hear that U.S. foreign policy is flagrantly hypocritical when it comes to the subject of human rights. But it’s nonetheless noteworthy to hear prominent American leaders openly advocate intervening abroad in places like Libya in advance of the universal human aspiration to be free while continuing to support Middle East client states that repress their own people. Sadly, President Obama and other American leaders, especially in the wake of the momentous Arab Spring, are often perceived as liberty’s worst emissaries.

For numerous strategic and historical reasons, no American government has intervened militarily in countries such as Algeria, Jordan, or Yemen in defense of human rights. In Saudi Arabia, a long-time U.S. partner, homosexuals, apostates, and drug smugglers can be sentenced to execution, sometimes by beheading. In extreme cases, the convict’s body is crucified in public. And yet, the same U.S. government that offers unflinching support to the Saudi Kingdom led from behind for an intervention in Libya to stop an alleged massacre in Benghazi. In neighboring Egypt, meanwhile, for 29 years the U.S. government showered former President Hosni Mubarak with praise, despite his widespread use of torture and systematic repression of political prisoners. Washington also continues to support and arm the regime in Bahrain, which deliberately kills unarmed protesters and oppresses its people.

To promote human rights in Libya while supporting some of the world’s most heinous tyrannies may reflect America’s geopolitical preferences, but it makes a mockery of human rights and reveals an enormous discrepancy between what America claims to be doing and what it actually does. As much as Obama and his defenders want to strut around and promote their triumph over Moammar Qaddafi, people in the Middle East and around the world are well aware of this discrepancy. Such policies are not only abhorrent but also detrimental to America’s long-term interests. Advancing liberty is a painful and arduous process, but it can be done, and often independent of U.S. government efforts.

Cross-Posted from the Skeptics at the National Interest.