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Obama Says He Is Ready for Budget Fight 

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US president says certain measures will face resistance from lobbyists, special 
interest groups, such as plans to end subsidies and tax breaks for oil 
companies, banks 
President Obama's broadcast address, 28 Feb 2009U.S. President Barack Obama 
says he is ready to fight for the sweeping reforms he promises in his budget 
proposal.In his weekly address Saturday, Mr. Obama said he realizes it will not 
be easy to pass the new budget.  He says certain measures will face resistance 
from lobbyists and special interest groups, such as plans to end subsidies and 
tax breaks for oil companies and banks.He says the budget fulfills promises he 
made during his presidential campaign, including a pledge to end tax breaks for 
wealthy Americans.In the Republican response, Senator Richard Burr of North 
Carolina complained about the cost of the new budget, which projects more than 
$3 trillion in spending.  He calls it is the "largest increase in federal 
spending in the history of the United States."

 

Some information for this report was provided by AP and Reuters.


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Iraqi Leaders Applaud US Pullout Plan 

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Prime Minister Nouri al-Maliki says Iraq's security forces have proven they are 
ready to take over 
Nouri al-Maliki (file photo)Iraqi leaders are welcoming U.S. plans to pull 
American combat troops out of Iraq by the end of August 2010.Iraqi Prime 
Minister Nouri al-Maliki says his country's security forces have proven they 
are ready to take over.He also said Saturday that the U.S. has agreed on the 
need to provide Iraq with more weapons and other military equipment.U.S.
President Barack Obama briefed Mr. Maliki on the withdrawal plans
Friday, before making an announcement at Camp Lejeune, a U.S. military
base in the southeastern state of North Carolina.Iraqi Vice
President Tariq al-Hashemi also hailed the U.S. pullout, though he said
Saturday that the U.S. still has a responsibility to further prepare
Iraqi forces.President Barack Obama speaks about combat troop levels in Iraq as 
he addresses military personnel at Marine Corps Base Camp Lejeune, North 
Carolina, 27 Feb 2009President Obama said Friday that Iraq is not yet
secure and that the U.S. will continue to pursue diplomatic and
political efforts to support the country's security and improve local
government.  He also said the U.S. has a "strategic interest" and
"moral responsibility" to help resettle refugees displaced by the war.Under
the plan, up to 50,000 troops could stay in Iraq to help with training
and to combat terrorism.  He said he intends to remove all troops by
the end of 2011, in accordance with a U.S.-Iraq security deal.About 142,000 
U.S. troops are currently serving in Iraq.Some information for this report was 
provided by AP and Reuters.


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Second Mass Grave Found in Bangladesh 

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Grave unearthed at headquarters of mutinous paramilitary border guards in Dhaka 
Decomposed bodies of army officers laid on ground inside Bangladesh Rifles 
headquarters in Dhaka, 28 Feb 2009A second mass grave has been unearthed at the 
headquarters of the
mutinous paramilitary border guards in the Bangladeshi capital. More
than 75 bodies have been found, mostly senior military personnel, but
dozens more officers have not been accounted for. Meanwhile, the head
of the Bangladesh army is pledging support for the two-month-old
civilian government amid fears soldiers will launch reprisal strikes
for the slaying of so many of their colleagues and members of their
families.Amid a three-day period of national mourning, which
began Friday, Bangladesh is still coming to grips with the extent of
this week's massacre at the Dhaka headquarters of the paramilitary
border guards. Uniformed bodies of army officers, shot and
bayoneted, continue to be found in mass graves at the compound of the
force they commanded, the Bangladesh Rifles, known as the BDR. Seeking
to allay fears that a grieving and angry army could seek revenge
against the mutinous paramilitaries, the army chief, General Moeen
Ahmed, met with Prime Minister Sheikh Hasina. He is said to have
pledged the military's loyalty to the civilian government and urged the
nation to stay calm. Sheikh Hasina Wajed (file photo)The prime minister is 
calling the uprising a well-planned conspiracy. She
says, at this point, all BDR members are presumed guilty and the
government will find out who is responsible for the killings. In
an effort to end the two-day mutiny, the prime minister initially
promised amnesty for the rebels. But the army's second-in-command,
Lieutenant General Mohammad Abdul Mubin, says that is not going to
happen. The general declares the troops who took part in what
he calls "barbaric and grisly acts" cannot be pardoned and will not be
pardoned. For a second day along the 4,000 kilometer long
border with India, the BDR guards were not observed at their posts.
Analysts and Indian media say it is unclear whether they are inside the
barracks or have fled. Several hundred soldiers of the
Bangladesh Rifles, who either escaped from the scene of the carnage in
Dhaka or abandoned their posts across the country, have been detained. 
Bangladesh border guards prepare to surrender arms at their headquarters in 
Dhaka, 26 Feb 2009Rebels
of the paramilitary force claimed they took action during the uprising
to protest their poor pay and mistreatment by their commanders, who
come from the army. Bangladesh, since winning independence in a 1971 war with 
Pakistan, has suffered numerous military takeovers and coup attempts. 

The prime minister's father, Sheikh Mujibuy Rahman, who was
the country's first head of state, was killed in a 1975 military coup. Ms. 
Hasina, previously prime minister for five
years until 2001, regained power in democratic elections two months
ago, ending a period of emergency rule by a military-backed government.


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ASEAN Summit in Thailand Focused on Global Financial Crisis 

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But, rights groups express disappointment with lack of engagement on human 
rights 
The Association of Southeast Asian Nations has opened its annual summit in Hua 
Hin, Thailand, with a display of confidence in facing the global financial 
crisis.  But, Rights groups are expressing disappointment with the lack of 
engagement on human rights.PM Abhisit Vejjajiva delivers a speech at the open 
ceremony at the 14th ASEAN in Cha-am, Thailand, 28 Feb 2009The ASEAN summit 
officially opened Saturday with Thai Prime Minister Abhisit Vejjajiva 
expressing confidence in the organization's ability to weather the global 
financial crisis.

Mr. Abhisit said Southeast Asia had made it through both the Cold War and the 
1997 Asian financial crisis by acting together.  He said their response to the 
global slow-down would be no different. "We'll be severely tested from now on, 
both as a group and as a part of a broader Asian region," said Mr. Abhisit. "As 
the financial crisis deepens, the world will look towards our region for action 
and for confidence, which is exactly what we in ASEAN are set out to do."Before 
the start of the summit, leaders from the 10 member countries held meetings to 
discuss challenges in the region.They signed various technical agreements on 
economic and trade cooperation. The most important deal was a landmark free 
trade agreement with Australia and New Zealand that could add tens of billions 
of dollars to their collective economies.An activist holds a poster  at ASEAN 
Summit in Hua Hin, 28 Feb 2009The ASEAN summit is being held under the banner 
of being a "people's" ASEAN, and for the first time involved direct engagement 
with rights groups.

But on Saturday government delegates from Burma and Cambodia refused to meet 
with rights groups' representatives from their own countries, despite the 
dialogue being on the official schedule.Debbie StothardtDebbie Stothard is a 
coordinator with the Alternative ASEAN Network on Burma, also known as 
Myanmar.  She says the rights groups had no choice but to withdraw their 
Burmese and Cambodian representatives from the dialogue. "We were put in a 
position where, as usual, the dialogue would be canceled simply because of 
Myanmar, and in this case Cambodia, being inflexible and being too afraid to 
face their own civil society," she said.Women's Caucus representative Wathshlah 
Naidu said rights group representatives from Laos and Brunei did not take part 
in the meeting either, apparently out of fear for repercussions from their 
governments.Soe Aung Soe Aung is with the Burmese rights group delegation that 
was not allowed at the meeting.  He told journalists ASEAN needed to change its 
policy of non-interference or no change would ever come to Burma."As long as 
the change did not take place in Burma, the ASEAN will not change at all," he 
said. "So, Burma's human rights violations continue.  Arrest and imprisonment 
of the politicians, activists, will not bring ASEAN any further."Rights groups 
have been critical of ASEAN's formation of a human rights body that has no 
power to criticize or punish human rights violators.ASEAN Human Rights Panel 
Chairman Sihasuk Phuangketkeow at the 14th ASEAN Summit in Hua Hin, Thailand, 
28 Feb 2009The chairman of the panel forming the body, Sihasuk Phuangketkeow, 
defended it Saturday saying its purpose was not to single out violators but to 
increase awareness by promoting human rights protection. "You can condemn, but 
probably you might not be able to make a difference on the ground," he said. 
"So, we're talking about making a difference, about preventing human rights 
abuses.  And, you have to start somewhere."ASEAN was formed in 1967 as an 
anti-Communist alliance during the Cold War between the United States and the 
Soviet Union. Its members now include the communist governments of Vietnam and 
Laos and military-run Burma, a pariah state that overthrew a democratically 
elected government. The other members are Singapore, Malaysia, Indonesia, 
Brunei and the Philippines. 


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Clinton Cautious on Palestinian Reconciliation Efforts 

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US secretary of state, in VOA interview, says efforts between factions will not 
mean progress unless Hamas accepts international terms for talks with Israel 
      US Secretary of State Hillary Rodham Clinton (file photo)Secretary of 
State Hillary Clinton said Friday reconciliation efforts between the main 
Palestinian factions will not mean progress for the region unless Hamas accepts 
international terms for peace talks with Israel. Clinton spoke to VOA in 
advance of her first trip to the Middle East as Secretary beginning late 
Saturday.Clinton acknowledges her trip comes at a sensitive time in both 
Israeli and Palestinian politics, but says the circumstances will not affect 
the Obama administration's commitment to seeking a two-state solution to the 
Middle East conflict.In an interview with VOA, the Secretary said she will go 
to the international donor conference on Gaza reconstruction in Sharm 
el-Sheikh, Egypt Monday with a significant U.S. pledge - widely reported to be 
$900 million in new assistance. But she made clear the aid package will not 
benefit the radical Islamic movement Hamas, which has controlled Gaza since 
2007. She said the United States wants to strengthen a Palestinian partner 
committed to the peace-making principles of the international Middle East 
Quartet including recognition of Israel and renunciation of violence. She said 
aid money will only be spent if it is clear U.S. goals will not be undermined 
or subverted.      Fatah's Ahmed Qurei (l) and Hamas' Mussa Abu Marzug speak 
during their meeting in Cairo, 26 Feb 2009In that regard, she sounded a 
cautious note about the Cairo agreement Thursday between Hamas and the 
mainstream Fatah movement aimed at creating a new Palestinian unity 
government."I believe that it's important, if there is some reconciliation and 
a move toward unified authority, that it's very clear that Hamas knows the 
conditions that have been set forth by the Quartet, by the Arab [League] 
summit," she said. "And they must renounce violence, recognize Israel and abide 
by previous commitments. Otherwise, I don't think it will result in the kind of 
positive step forward either for the Palestinian people, or as a vehicle for a 
reinvigorated effort to obtain peace that leads to a Palestinian state."In 
addition to attending the donors conference, Clinton will meet in Sharm 
el-Sheikh with Egyptian President Hosni Mubarak and several Arab and European 
foreign ministers on efforts to advance the peace process.       US Middle East 
envoy George Mitchell in Cairo, Egypt, 28 Jan 2009She'll also confer there with 
U.S. Middle East envoy George Mitchell, who has been in the region since 
Tuesday and has met with the principals in Israel's post-election coalition 
negotiations, including Prime Minister-designate Benjamin Netanyahu.The 
right-leaning Israeli Likud party leader has not endorsed the two-state 
solution that is the basis of U.S. policy, but Clinton side-stepped a question 
as to whether the prospect of a Netanyahu-led government was a matter of 
concern."Our policy remains, as it is the policy of the Quartet, and the Arab 
League peace initiative, to move toward a two-state solution," she said. "And 
there is not yet a government in Israel, so clearly we have not had an 
opportunity to consult with anyone. But we will certainly convey our strong 
commitment to a two-state solution."Clinton will spend two days in Jerusalem 
and commute to nearby Ramallah in the West Bank to meet Palestinian Authority 
President Mahmoud Abbas and Prime Minister Salam Fayyad. Later in the week she 
attends a NATO foreign ministers meeting in Brussels, meets Russian Foreign 
Minister Sergei Lavrov in Geneva, and ends the trip with talks with Turkish 
officials in Ankara. 


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UN Special Tribunal on Hariri Assassination to Open Sunday 

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Assassination of former Lebanese prime minister shook world, led to profound 
changes in country, including departure of Syria's occupying troops 
Exterior view of building housing Special Tribunal for Lebanon, in 
Leidschendam, Netherlands, 24 Feb 2009Four years after the assassination of 
former Lebanese Prime Minister
Rafik Hariri, a special United Nations court is opening its doors in
the Netherlands on Sunday to judge the suspects. The
assassination of Lebanon's former Prime Minister Rafik Hariri shook the
world - and led to profound changes in Lebanon, including the departure
of Syria's occupying troops. Four years later, the United Nation's
Special Tribunal for Lebanon opens its doors - in perhaps the first
time a United Nations court has been established targeting a single
individual.Lebanon had been holding seven suspects in Mr.
Hariri's killing, but it released three civilians on Wednesday. Still
being held are four former top Lebanese intelligence and security
officials.The grave of former Prime Minister Rafik Hariri, at Martyrs square in 
downtown of Beirut, Lebanon (file photo)A probe into Mr. Hariri's 2005 
assassination
initially implicated senior Syrian officials, but Damascus has
adamantly rejected any involvement.Nahim Shehdi, a Middle East
analyst for the London-based think tank Chatham House, says the new
tribunal has no jurisdiction over anyone outside of Lebanon. Still, he
believes that even its establishment is an achievement."The
main thing is the advantage of the tribunal. That it symbolizes a kind
of international protection or responsibility of protection of Lebanon
after all these assassinations have been happening in the past four
years," said Shehdi.Mr. Hariri's killing shook Lebanon, a
country that had already weathered a 15-year civil war. Shehadi said it
also shook the world."The UN is setting up a special tribunal
for Lebanon for the assassination of one person, basically. Usually
these tribunals are set up for genocides - like the Rwandan for example
- or civil war or ethnic cleansing. And this is being done for one man.
And  this is an indication of how important his assassination was as an
event, not just for Lebanon, but also internationally," said Shehdi.The 
tribunal has already nominated seven judges, four of them from Lebanon. The 
trial is expected to last several years. 


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A Year after Violence, Annan Urges More Action by Kenyan Leaders 

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Former UN secretary-general, who mediated power-sharing agreement, calls on 
Kenya's leaders to renew commitment to reforms they agreed to address 
Kenya's President Mwai Kibaki (l) and opposition chief Raila Odinga sign 
agreement in Nairobi, 28 Feb 2008Saturday marks the first anniversary of the 
power-sharing agreement
between Kenya's two main political factions, which put an end to two
months of ethnic and political violence that killed over 1,000 people.
Former U.N. Secretary-General Kofi Annan, who mediated the agreement,
called on Kenya's leaders to renew their commitment to the reforms they
agreed to address, if they want to avoid a return to violence. One year ago, 
Kenya's
president, Mwai Kibaki, and his chief opponent in the December 2007
election, then-opposition leader Raila Odinga, signed an agreement to
share power.  The agreement installed Mr. Odinga in the newly-created
job of prime minister.The deal put an end to the violent
protests and ethnic attacks that had killed over 1,000 people and
displaced hundreds of thousands following the disputed announcement of
Mr. Kibaki's re-election.So far, the coalition has held, and
widespread violence has not returned. But Kenyans appear increasingly
pessimistic about the coalition government's ability or commitment to
address the major challenges facing the country, from corruption, to
constitutional reform, to punishing the perpetrators of last year's
violence.In a recorded audio address, Mr. Annan echoed this sentiment."Whilst
considerable progress was made in the early stages of the process, that
momentum has been lost. One year after the signing of the power-sharing
accord Kenyans are feeling frustrated at the slow pace of change. I can
understand those sentiments," he said.In addition to the
political arrangement - in which Mr. Odinga's party controls a majority
in parliament and half the Cabinet appointments, while Mr. Kibaki
retains the powerful presidency - the country's leaders agreed to
tackle underlying problems that contributed to the violence. Mr. Annan
says there has been little progress in this regard."The root
causes of last year's crisis need to be comprehensively addressed if
the country is to avoid a repeat of the violence. These include
constitutional and institutional reforms, land reform, and reducing the
huge gap between the haves and the have-nots. Other priorities are
creating more jobs for youth, equal access to opportunities, promoting
ethnic harmony, ending the culture of impunity, and promoting
transparency and accountability," he said. A new constitution
was to be introduced within a year of the new government, but there has
been little action so far. The government has introduced a bill to
create an independent tribunal to try those suspected of organizing the
post-election violence, but lawmakers have so far rejected it. Much of
the government's energy has been spent responding to other crises,
including a food shortage, and a series of corruption scandals.The
latest crisis to hit the government is the recommendation by the U.N.'s
special rapporteur on extrajudicial killings that Kenya's police
commissioner and attorney general step down for their role in allowing
widespread executions by the police force.On Friday, a
coalition of NGOs urged the government to endorse the rapporteur's
recommendations. The director of the Kenya Human Rights Commission,
Muthoni Wanyeki, said his findings are the product of a comprehensive
investigation."In light of this the undersigned organizations
hereby demand that the government takes all measures to one, forthwith
retract their ill-advised dismissal of the U.N. rapporteur's report and
acknowledge the wide spread of state-perpetrated executions," said
Wanyeki.The government's spokesman has rejected the
rapporteur's recommendations, though others in the government,
including Justice Minister Martha Karua, an ally of the president, have
said the government will consider them.Such political
divisions, both between the major parties, and between members of the
same faction, have been on open display since the coalition was formed.In
a statement released Friday, President Kibaki said the government had
made "commendable progress" toward fundamental reforms, including the
creation of commissions to investigate post-election violence and the
electoral system.  He said the government was working on
recommendations by the commissions.In an interview published in
newspapers Saturday, Prime Minister Odinga said the coalition has been
laying the foundation for future reform, and that more progress would
come by the time the next elections arrive in 2012.But in a
recent poll, a majority of respondents said the government has not had
any major accomplishments. And a majority also said they thought the
government would not hold together until the next elections.


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Zimbabwean President Celebrates Birthday with $250,000 Bash 

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Critics condemn celebration as inappropriate in country in grip of economic, 
humanitarian crisis 
President Robert Mugabe (r) and his wife Grace are seen during his 85th 
birthday celebrations in Chinhoyi, 28 Feb 2009Zimbabwe President Robert Mugabe 
celebrates his birthday Saturday with a lavish party, which critics have 
condemned as inappropriate in a country in the grip of an economic and 
humanitarian crisis.Supporters of the president have raised $250,000 for the 
celebration in the town of Chinhoyi, north of the capital, Harare.Prime 
Minister Morgan Tsvangirai, the president's longtime rival, plans to attend the 
event.  The two men recently entered into a unity government under intense 
pressure from regional leaders.Mr. Tsvangirai has criticized the president's 
birthday parties in the past, saying they waste money in a country crippled by 
poverty and food shortages.

 

Some information for this report was provided by Reuters. 


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Central Asia Emerges from Soviet Past   

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Local leaders now have opportunity to balance international interests with 
their own 
In recent years, Central Asian republics of the former Soviet Union have 
emerged as increasingly independent players in a region where Moscow was the 
only player for most of the 20th century. Central Asia's strategic location in 
the middle of the world's biggest continent and its generous supplies of energy 
and water offer local leaders an opportunity to balance international interests 
with their own. 

 Uzbekistan on Wednesday agreed to allow NATO to use its territory to transport 
non-military cargo to Afghanistan; partially reversing the 2005 eviction of the 
United States from an Uzbek air base after Washington criticized the country's 
human rights record. Turkmenistan has also indicated it would allow transfer of 
NATO humanitarian cargo. But earlier in February, Kyrgyzstan evicted the United 
States from its Manas air base near Bishkek after Russia offered that country a 
multi-billion dollar aid package. 

 Political observers say these decisions reflect a new direction of foreign 
policy for Central Asian countries. They say it allows them to makes decisions 
based on the best deals, be it with Russia, the United States, China, or the 
European Union.

       Murat SuimbayevHowever, Murat Suimbayev, Professor of international 
relations at Kyrgyz State University in Bishkek, says Central Asian countries 
are still not as independent of Russia as they would like to be.

 Suimbayev says Central Asian countries cannot, for example, sell cotton to the 
United States, but they can to Russia, so accordingly, there is little prospect 
of the U.S. becoming a significant trading partner in Central Asia. This, he 
says, was a factor that made it so easy for Uzbekistan to reject a strategic 
partnership with America in 2005 and why Kyrgyzstan evicted the U.S. from its 
Manas airbase. Suimbayev adds that the decisions were relatively painless in 
terms of trade or security. 

 Though Kyrgyzstan's decision may have been influenced by Russia, Moscow's 
relations with Tajikistan have cooled over the past two years. Andrei Grozin, 
head of the Central Asia Department at Moscow's CIS Institute, says this is 
because of mounting problems in Tajikistan.

 Grozin says Tajikistan is looking for a power center that could help solve 
those problems. He says he doesn't know if that center will be the United 
States, the European Union Russia or China, but suggests it does not matter to 
Tajik leaders. Grozin notes, however, that Russia does not want to assume 
responsibility for the problems of Tajikistan and other Central Asian countries 
during the current global economic downturn.

 While Grozin recognizes Central Asia's potential for investment, including 
fossil fuels and hydroelectric power, he says they involve significant risk. He 
notes that the Obama administration is not likely to add Central Asian troubles 
to the burden it is already carrying in Afghanistan and Iraq. 

 Analysts say the U.S. interest in Central Asia beyond fighting the war in 
Afghanistan is not clear. But Washington is interested in pipelines that would 
deliver Central Asian oil and gas to the West, circumventing Russia. Currently, 
Moscow has a regional pipeline monopoly, but Alexey Malashenko, a Central Asian 
analyst at the Moscow Carnegie Center, says it is likely to be broken.

 Malashenko says the question is how Russia will lose its monopoly, and what it 
will do to preserve its influence and positions along alternate routes. He says 
maintaining that influence is very important, and if Russia has smart people, 
they will take care of the matter; if not, there's nothing Russians can do 
about it.

 Where Kazakhstan and Turkmenistan have large supplies of oil and natural gas, 
Kyrgyzstan and Tajikistan have an abundance of a more vital commodity -- water. 
Uzbekistan and Kazakhstan have shortages. 

 Grozin says the issue of water is an irritant in Uzbek-Tajik relations. 
Tajikistan is considering construction of a dam, which Tashkent fears would 
give Dushanbe too much political leverage. 

 Malashenko agrees about the importance of water in Central Asia. He says water 
is [the region's] most painful and dangerous issue, because if a local conflict 
erupts, it won't be over borders or ethnic problems, but for water, because 
water is life. He says no one has been able to serve as an intermediary, or to 
offer a solution to the problem [of water shortages], though everyone has tried 
-- Russia, the Chinese and now Europe.

 Maleshenko says, although Central Asian countries are members of several 
regional economic and security organizations, there is more conflict than 
cooperation among them. He notes numerous border disputes and poor economic 
ties as reflected by the absence of direct flights between Tashkent and 
Dushanbe. Grozin adds that Kazakhstan, the regional economic leader, has begun 
deporting its neighbors' impoverished migrant workers, and is involved in a 
contest for regional political leadership with Uzbekistan. Grozin says the 
global economic crisis has also limited the potential to develop Central Asia.

 Grozin says all of the problems we see today in the economies of post-Soviet 
Central Asia are tied to sharply diminished interest in the region by 
international players. He says it is an area that remains interesting, but not 
a priority. 

 Malashenko says the countries of Central Asia are forging their own national 
identities, though memory of the Soviet Union and a time of no borders still 
lingers, particularly among the older generation. But he hastens to add that 
few would favor a return of Soviet rule, especially the young.


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Report Says Drug Trade in Mexico, Afghanistan, Threatens US National Security 

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But report says some progress against drug trade reported in both countries 
      Smuggled drugsA U.S. State Department report Friday said drug trafficking 
in Mexico and the opium trade in Afghanistan pose significant national security 
threats to the United States. Some progress against the drug trade was reported 
in both countries.

 The State Department report on the global drug trade is the first to be issued 
under the Obama administration. And it paints a grim picture of the situation 
in Mexico, where clashes between security forces and drug traffickers, and 
fighting among rival drug gangs, have killed more seven thousand people since 
the beginning of last year.

 The State Department's annual International Narcotics Control Strategy report 
said Mexico is the source for as much as 90 per cent of the cocaine entering 
the United States and most of the heroin, marijuana and methamphetine. 

 Driven by U.S. demand for drugs, much of the violence is in Mexican cities 
along the United States border and it has spilled over across the border, with 
the report citing an increase in contract killings and kidnapping on U.S. soil 
by Mexican gangs.

 Nonetheless at a news briefing, Assistant Secretary of State for International 
Narcotics and Law enforcement David Johnson said anti-narcotics efforts by the 
government of Mexican President Felipe Calderon are proving effective, backed 
by large-scale U.S. aid under the Merida Initiative of the Bush administration.

 "What you see is a government, a courageous government led by President 
Calderon, that is confronting these drug cartels and limiting their ability to 
do their business. They (drug gangs) are confronting each other. And the result 
is unfortunately is a significant level of violence," he said.

 The report identified 20 countries, including Mexico, Afghanistan and Pakistan 
as major producers and transit points for illegal drugs and it said among that 
group, Burma, Bolivia and Venezuela have failed demonstrably to adhere to 
international narcotics control agreements, raising the possibility of U.S. 
sanctions.

 Assistant Secretary Johnson expressed disappointment over the anti-drug effort 
of Bolivia, cited as the world's third largest producer of cocaine. The report 
says counter-drug cooperation declined last year as President Evo Morales 
expelled U.S. drug enforcement advisers.

 Venezuela's anti-drug cooperation was described as minimal, with Johnson 
saying that drug trafficking from Colombia and other countries, through 
Venezuela, is on the rise. "The real challenge that we face in Venezuela is the 
use of the territory of Venezuela, particularly along the coastal region in the 
west, adjacent to Colombia, where significant quantities of cocaine are shipped 
out to the Caribbean in the direction of the United States but also 
significantly and growing to the east to West Africa and upward into Europe," 
he said.

 The report said opium poppy cultivation in Afghanistan, the worlds largest 
producer, dropped by nearly 20 per cent due to poor weather, price declines and 
improved governance in some provinces. 

 Johnson said while the number of poppy-free provinces in Afghanistan increased 
from 13 to 18 last year, more leadership is required from the Kabul government 
to fight corruption and curb the drug trade, which finances the country's 
insurgency.


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