EU unveils vision for future of monetary union
Ahead of Thursday’s EU summit, European authorities have released a document spelling out their vision for the future of monetary union. It includes the creation of a European treasury, which would have powers over national budgets, and says such fiscal union could lead to common debt being issued by eurozone countries. A single European banking regular and a unified deposit guarantee scheme are also proposed, unifying aspects of European banking. European Council President Herman Van Rompuy released the document, which was written alongside the presidents of the European Commission, the European Central Bank and the Eurogroup.
Bank of England domestic pessimism over eurozone crisis
The Bank of England has said today the outlook for Britain’s economy has worsened in the past few weeks due to the ongoing crisis in the eurozone and signs of slowdown in emerging markets. Governor Mervyn King told a parliamentary committee that Britain risked a downward spiral if businesses postponed investment, and that much had changed since the May inflation report, which was more optimistic.
Supreme Court strikes parts of Arizona migration law
The US Supreme Court has ruled on aspects of Arizona state’s migration law, backing checks on the immigration status of people stopped or arrested in the state, while striking key parts of a tough law that has been branded racial profiling by its opponents. President Barack Obama has said he is pleased three challenges to the law were upheld, but Republican Arizona Governor Jan Brewer said its “heart” remains. Republican presidential candidate Mitt Romney, widely seen as having been thoroughly outmanoeuvred on immigration policy by President Obama in recent weeks, gave a cautious response; he said “given the failure of the immigration policy of this country” he would have “preferred to see the Supreme Court give more latitude to states, not less”.
Three police dead in shootout at Mexico City airport
Three Mexican policemen were shot dead at Mexico City airport while attempting to arrest two corrupt officials suspected of participation in a cocaine trafficking ring. The two gunmen escaped and are being sought by the authorities. Officials said 18 months have been spent investigating corrupt federal and local authorities participating in a drug trafficking operation based at the airport, and that the suspects opened fire when confronted.
Africa and Middle East
Turkey raises Syria military level after jet attack
Turkish Prime Minister Recep Tayyip Erdogan has warned Syria that if its troops threatened Turkey’s borders they would be seen as a military threat, after Syria shot down a Turkish F-4 Phantom jet that strayed over Syrian airspace on 22 June. Mr Erdogan said the jet was on a training flight, testing Turkey’s radars in the Eastern Mediterranean, and that “a short term border violation can never be a pretext for an attack”.
Meanwhile, Syrian opposition activists report fighting in the suburns of Damascus, but as international media cannot report freely in Syria it is impossible to verify the reports.
Rwanda denies backing Congan mutiny
Rwanda’s foreign minister Louise Mushikiwabo has angrily denied the suggestion, made in an unpublished report by UN experts, that her country is supporting an army mutiny in the neighbouring Democratic Republic of Congo. Ms Mushikiwabo said such allegations endangered Rwandans in the east of the country, and that Rwanda was urging rebels to negotiate rather than defect. Tens of thousands have fled recent violence in eastern Congo.
Asia and Russia
Campaign group attacks China over Burma refugees
The campaign group Human Rights Watch has called on China to give aid agencies access to refugees fleeing conflict in northern Burma in a new report. The group says up to 10,000 Kachin refugees that have fled to China may be short on supplies, with some being refused entry to the country. China is mediating peace talks between Burma’s government and the rebels after a 17-year truce broke down last year, with sporadic fighting ongoing ever since. Estimates place the total number of refugees from Kachin –a Burmese state on the northeastern border with China – at 75,000.
Israel calls for action on Iran after meeting Putin
Israeli Prime Minister Benjamin Netanyahu called for sanctions against Iran to be strengthened on Monday in an effort to curb its nuclear programme. His comments came after discussing the matter with Russian President Vladimir Putin and included a renewal of his three key demands: the cessation of all uranium enrichment in Iran; the removal of all enriched uranium from the country and the decommissioning of the Furdow nuclear facility. Major world powers made some of these demands last month.