Surprisingly good for The Nation. -- Yoshie

<http://www.thenation.com/doc/20070108/bazzi>
People's Revolt in Lebanon

by MOHAMAD BAZZI

[from the January 8, 2007 issue]

Beirut

Ever since Hezbollah and its allies began an open-ended protest
against the US-backed government on December 1, Beirut's gilded
downtown--built for wealthy Lebanese and foreign tourists--has become
more authentically Lebanese. Where Persian Gulf sheiks once ate sushi,
families now sit in abandoned parking lots, having impromptu picnics,
the smell of kebabs cooked over coals wafting through the air. Young
men lounge on plastic chairs, smoking apple-scented water pipes, and
occasionally break out into debke, the Lebanese national dance.

Most protesters are too poor to afford $4 caffe lattes, but men
hawking shots of strong Arabic coffee for 30 cents apiece are doing a
brisk trade. Nearly all businesses are shuttered, but a few
enterprising store owners have figured out how to cater to the crowd.
One hair salon converted itself into a sandwich shop, selling cheese
on bread with a cup of tea for $1. The smiling cashier works behind a
counter filled with L'Oréal hair products.

"I never came to downtown before these protests. I can't afford to
come here. If I ate a sandwich here, I'd be broke for a week," says
Emad Matairek, a 35-year-old carpenter from the dahiyeh, the
Shiite-dominated suburbs of Beirut. "It's well-known that this area
was not built for us."

The protests are being portrayed in much of the Western media as a
sectarian battle, or a coup attempt--engineered by Hezbollah's two
main allies, Syria and Iran--against a US-backed Lebanese government.
Those are indeed factors underlying the complex and dangerous
political dance happening in Beirut. But the biggest motivator driving
many of those camped out in downtown isn't Iran or Syria, or Sunni
versus Shiite. It's the economic inequality that has haunted Lebanese
Shiites for decades. It's a poor and working-class people's revolt.

In Riad Solh Square, amid dozens of white tents erected for Hezbollah
supporters to sleep in, there is a stage with a huge TV screen and
rows of loudspeakers mostly positioned toward the Grand Serail, the
Ottoman-era palace where Prime Minister Fouad Siniora and his Cabinet
are hunkered down. Between the tents and the palace, behind
eight-foot-high coils of barbed wire, there are hundreds of Lebanese
soldiers toting M-16s and sitting atop armored vehicles. Every night
thousands of people gather in front of the stage, within earshot of
the Serail, demanding that Siniora either resign or accept a national
unity government that gives Hezbollah and its allies greater power.

A major theme highlighted by the protesters is that Siniora is backed
by the Bush Administration--and that alliance did little to help
Lebanon during last summer's thirty-four-day war between Israel and
Hezbollah. A few days into the sit-in, Hezbollah hung a large banner
from a building showing Siniora embracing Secretary of State
Condoleezza Rice, over a collage of dead Lebanese children
Photoshopped onto his back. It reads, "Condy--Thanks," a reference to
Siniora's meeting with Rice during the war, when US officials refused
to endorse a quick cease-fire. "Thank you for your patience Condy, for
some of our children are still alive," it reads.

But in most conversations with people at the sit-in and protests,
economic concerns quickly emerge: Siniora's government is corrupt, has
failed to reduce Lebanon's crippling $41 billion public debt and has
done little to improve people's lives. Shiites are especially
forgotten in the country's economic planning. Many at the sit-in have
been out of work for years, or lost their jobs after the recent war.

"Our country is getting poorer, and Siniora's government is not
talking about it," says Hadi Mawla, a 22-year-old graphic design
student who came from the dahiyeh on the protest's first day, which
drew hundreds of thousands to downtown. "Our standard of living is
falling, while other Arab countries are improving. We Lebanese used to
make fun of other Arab countries. Now they have great big cities like
Dubai. And we're going to end up like Egypt--with a very poor class, a
very rich class and nothing in between."

The economic dimension to the protest can be seen everywhere. Around
the square there are hand-drawn posters of Siniora sitting on a chair
made of stacks of dollar bills. From the stage, a projector shines
slogans highlighting economic demands onto a building that houses the
ultra-chic Buddha Bar, with its two-story Buddha statue inside. The
swirling projector makes its point: "No to the government of VAT" and
"No to the government of seafront properties."

This class battle transcends sectarian boundaries. Hezbollah has
formed an alliance with the Free Patriotic Movement, led by Maronite
Christian politician and former army commander Michel Aoun. With this
coalition Hezbollah is trying to prove that it's not a purely
sectarian party, it's not seeking to impose an Islamic government and
it's willing to ally not just with nationalist Sunnis but also with
Christians. Because Aoun stresses honest government, accountability
and economic equality, he and Hezbollah seemed like a natural fit. By
playing up its alliance with Aoun--and downplaying its partnership
with the notoriously corrupt Shiite Amal party--Hezbollah can
reinforce the reputation for honesty shared by many Islamist movements
in the Middle East.

Hezbollah's charismatic leader, Sayyid Hassan Nasrallah--ever skillful
at tapping into the Shiite tradition of empowering the
dispossessed--often highlights the class dimension of his group's
campaign. "They will hear us in all the palaces of the ruling
coalition," Nasrallah thundered on December 7, in a speech via
video-link to the protesters downtown. He was calling for a huge
turnout at a rally three days later, where crowd estimates ranged as
high as 1 million. "From the homes of the poor, from the shantytowns,
from the tents, from the demolished buildings, from the neighborhoods
of those displaced by war, we will make sure that they hear our
voices."

There's a long tradition of the Lebanese state leaving Shiites to fend
for themselves and waiting for religious or charitable groups to fill
the vacuum. This happened over decades, long before Hezbollah emerged
in the early 1980s. Hezbollah's "state within a state" was possible
only because successive governments willfully left a void in the
Shiite-dominated areas of south Lebanon, the Bekaa Valley and the
dahiyeh.

"The central government always liked outsourcing the problems of the
south. First they gave it to the Palestinians, then they gave it to
the Israelis, and they gave it to Hezbollah from 2000 to 2006," says
Khalil Gebara, co-director of the Lebanese Transparency Association,
an anti-corruption watchdog group. "Hezbollah does what every
political party does: They went and created a dependency network."

In the 1960s and '70s, when Shiites were first making the migration
from the rural south and Bekaa to Beirut and other cities, the central
government left their fate to the clans and feudal landlords who held
sway in the agricultural hinterlands. By 1970, when the Palestine
Liberation Organization began creating bases in southern Lebanon, the
Shiites were on the front line of a conflict between the PLO and
Israel. A Shiite cleric named Musa al-Sadr created Amal, the first
Shiite political party, which later turned into a militia. To an
extent, Amal supplanted the feudal lords as protector of the Shiites.

After the Israeli invasion of 1982, Hezbollah emerged to fight the
Israeli occupation. It was more disciplined and less corrupt than
Amal, although Hezbollah was always dependent on Iranian funding and
support. When Hezbollah's grinding guerrilla war forced Israel to end
its occupation in May 2000, the militia was hailed throughout the
Muslim world for achieving what no Arab army had done before: force
Israel to relinquish land. With the Israeli withdrawal, Hezbollah
moved into the vacuum in southern Lebanon, opening clinics and schools
and providing small-business loans.

To many Shiites, Hezbollah's ascendance put them on the political map.
There's a word Lebanese have used to put down a Shiite: mutawali,
which roughly translates into "country bumpkin." It's a term freighted
with meaning--of dispossession, prejudice, deprivation. But Shiites
have appropriated it and now use it with pride. "During the civil war,
we mutawalis were insulted and put down. Hezbollah gave us a new sense
of dignity, and that's the most important right we can have," says
Mawla, the graphic design student. "Hezbollah made it possible for us
to stand, without fear, and shout from the rooftops that we are
mutawalis."

In 1990, at the end of the fifteen-year civil war, Lebanon's political
class chose to continue its sectarian system. The current crisis is
rooted in that choice, which began with the 1989 Taif Accord, brokered
by Saudi Arabia and Syria. The agreement called for all militias to
disarm--with the exception of Hezbollah, whose militia was labeled a
"national resistance" against the Israeli occupation. Leaving
traditional warlords in place, Taif enshrined the political partition
among the country's rival sects: Power must be shared between a
Maronite Christian president, a Sunni prime minister and a Shiite
speaker of Parliament. Each of the major players in the war seized a
piece of the government and extended the sectarian system to the
lowest rungs of the civil service. This arrangement was ripe for
exploitation by outside powers, especially Syria, which dominated
Lebanon from 1990 until last year.

One man had a chance to change the economic underpinnings of this
system, and perhaps eventually cast aside its entire sectarian basis.
He was Rafik Hariri, a billionaire construction tycoon who served as
prime minister for most of the 1990s and until late 2004. But Hariri
failed at building a healthy postwar economy. He rebuilt downtown
Beirut at the expense of the hinterlands, and he focused on luxury
sectors--banking and upscale tourism--instead of Lebanon's productive
sectors, agriculture and small industry. Hariri was trying to return
to the prewar economy, which was driven by Lebanon's role as a transit
center for oil money from the Persian Gulf. But by the 1990s oil
producers no longer needed the Lebanese banking system; they had
Dubai.

"Everything that the government built around here means nothing to
us," says Matairek, the carpenter at the downtown protests. "What they
should have done was strengthen the Lebanese army. All the money they
spent to fix this downtown--what's the use of it, if the Israeli
warplanes were able to bomb us, and the Lebanese army wasn't able to
stop it?"

The gleaming downtown became a symbol of Hariri's reign and his failed
economic policies. By the time he left office Lebanon had a $36
billion public debt, or 170 percent of GDP--one of the highest
debt-to-GDP ratios in the world (it's now 190 percent). For much of
Hariri's term, he relied on Siniora, an old friend, as his finance
minister.

Siniora's biggest triumph as finance minister was the 2002 Paris II
Donors Conference, which netted Lebanon $4.4 billion in soft loan
guarantees. In return Siniora promised a raft of neoliberal economic
reforms: He would privatize state assets like cellphone contracts,
reform the country's civil service sector and balance the budget by
2006. Nine months before the donors conference, Siniora imposed
Lebanon's first value-added tax (VAT): a 10 percent surcharge on most
goods except food and medicines. One of his main arguments for staying
in office is to shepherd a Paris III conference scheduled for January,
in which international donors are expected to contribute toward
rebuilding the infrastructure devastated by last summer's Israeli
offensive.

"Because of Siniora and his economic programs, we have a very flawed
tax system, based on indirect taxes. Statistically, it has been shown
that this system recycles money from the poor to the wealthy," says
Fawwaz Traboulsi, a political science professor at the Lebanese
American University. "We have a 10 percent flat income tax, but most
state revenues come from indirect taxation: the VAT, fuel taxes,
utility surcharges. Salaried people pay the bulk of these taxes."

Throughout his tenure, Hariri clashed with the Syrian-backed Lebanese
president, Emile Lahoud. In February 2005 Hariri was assassinated in a
massive bombing as his motorcade drove through Beirut's seaside
corniche. Widely assumed to have been carried out by Syria or its
agents, the killing shook Lebanon and cast a harsh light on Syrian
hegemony over the political system. Under internal pressure and mass
demonstrations, the Syrian-backed prime minister resigned and Damascus
pulled its 14,000 troops out of Lebanon. After elections in June 2005,
the new parliamentary majority--a coalition of Christian, Sunni and
Druse parties--appointed Siniora as prime minister. For the first
time, Hezbollah joined the Lebanese Cabinet, securing two seats in
Siniora's administration.

Until last summer's Israel-Hezbollah war, Siniora continued with the
economic policies he had begun under Hariri. Morality aside, there's
one major problem with these soak-the-poor economics: They strengthen
Hezbollah. In a country divided drastically between haves and
have-nots, a large proportion of the have-nots happen to be Shiites,
and they rely for social services not on the government but on
Hezbollah. In their view, the government takes, while Hezbollah
provides.

After the latest war, with Israeli bombs targeting Shiite-owned
factories and businesses in the south and in the Beirut suburbs, the
Shiite middle class was devastated. This has made Shiites even more
dependent on Hezbollah, as evidenced by the group's handing out up to
$12,000 in cash payments to everyone whose home was destroyed. The
money--most likely provided by Iran--was intended to pay for a year's
rent and new furniture while reconstruction begins.

Locked in a state of perpetual conflict, Lebanon today faces the same
choice it had in 1990, when the civil war ended. It can replicate the
political system that it had before--based on corrupt sectarian
warlords dividing up the spoils of the war they perpetuated--or it can
try to produce a stronger and more egalitarian system, one that isn't
based on religious divisions and that won't consign its largest sect,
the Shiites, to the care of an Iranian-funded religious party.

"How can we still accept this government that steals? This government
that built this downtown and accumulated this huge debt?" asks
Matairek, the Shiite carpenter. "Who's going to pay for it? I have to
pay for it, and my son is going to pay for it after me."

Mohamad Bazzi, the Middle East bureau chief for Newsday since 2003, is
based in Beirut.
--
Yoshie
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