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OUR WOR LD<br />
<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
May 2020
Keeping you connected<br />
when business is anything<br />
but usual.<br />
These days, working toge<strong>the</strong>r is more important than ever. That’s why we’ve been<br />
working around <strong>the</strong> clock during this crisis to maintain network integrity under<br />
unprecedented demand – all to avoid disruption to your business. We’ve launched<br />
six new Command Centers that are enabling <strong>the</strong> fast delivery of increased<br />
bandwidth, new circuits and unified communication services. These centers<br />
will help those now working from home and provide extra support to essential<br />
institutions experiencing significantly higher data and voice traffic.<br />
At AT&T, our network is designed to be resilient and our people are strong. <strong>Our</strong><br />
job is to keep you connected. It’s what we’ve always done. It’s what we’ll always<br />
strive to do.<br />
Learn how else we can help keep your business going at att.com/beprepared<br />
© 2020 AT&T Intellectual Property. All rights reserved. All marks used herein are <strong>the</strong> property of <strong>the</strong>ir respective owners.
A NEW EUROPE PUBLICATION<br />
OUR WORLD<br />
<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
Foreword <strong>by</strong> European Health<br />
Commissioner, Stella Kyriakides<br />
In partnership with
The Cover<br />
OUR WOR LD<br />
<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
May 2020<br />
EDITOR<br />
Nicholas Waller<br />
ASSOCIATE EDITOR<br />
Ariti-Marina Alamanou<br />
EDITION COORDINATORS<br />
Angelis Panopoulos<br />
Vassilis Nanis<br />
RESEARCH & REVIEW<br />
Orestis Vasileiadis<br />
Vassilis Tsimpidaros<br />
LAYOUT & DESIGN<br />
Suman Haque<br />
LOGISTICS & OPERATIONS<br />
Irini Panagopoulou<br />
PUBLISHING PARTNER<br />
Jerry Zagoritis<br />
Cover title: The Wandering Swan<br />
Illustration: Lavrentis Choraitis<br />
Concept: Campaign Lab & New Europe<br />
ISSN number: 2593 - 4163<br />
A publication <strong>by</strong>:<br />
Published <strong>by</strong> Brussels News Agency SPRL<br />
NEW EUROPE<br />
Av. de Tervuren/Tervurenlaan 96, Tel. +32 2 5390039<br />
1040 Brussels, Belgium<br />
Fax +32 2 5390339<br />
info@ourworld.co<br />
© 2020 <strong>Our</strong> <strong>World</strong> all rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form <strong>by</strong> any<br />
means, electronic or o<strong>the</strong>rwise, without express permission. The Publishers accept no liability for third party views published, nor damage caused <strong>by</strong><br />
reading, viewing or using our content. All information is correct at <strong>the</strong> time of going to print, we accept no liabilities for consequent changes.
Editorial<br />
By Nicholas Waller<br />
Managing Editor,<br />
New Europe<br />
In <strong>the</strong> space of just a few weeks, <strong>the</strong> COVID-19 pandemic has plunged much of <strong>the</strong> world<br />
into a state suspended paralysis. The crisis has laid bare just how unprepared we in <strong>the</strong><br />
developed world are in <strong>the</strong> event of a major global catastrophe. If <strong>the</strong> COVID-19 pandemic<br />
has taught us anything, it is that bureaucratic infighting and delays in prudent policymaking<br />
has deadly and economically ruinous consequences.<br />
When <strong>the</strong> first signs of an outbreak began in China in late 2019, <strong>the</strong> earliest warnings were<br />
covered up <strong>by</strong> a paranoid Communist regime intent on keeping <strong>the</strong> world uninformed<br />
about <strong>the</strong> deadly nature of <strong>the</strong> disease. And despite numerous signals, Europe and <strong>the</strong> US<br />
chose not to heed <strong>the</strong> warnings.<br />
While <strong>the</strong> lessons to be learned from <strong>the</strong> COVID-19 pandemic await an in-depth review once<br />
<strong>the</strong> worst phase of <strong>the</strong> crisis passes, <strong>the</strong> world is now left with finding a way to somehow<br />
tame <strong>the</strong> disease while at <strong>the</strong> same time picking up <strong>the</strong> pieces of <strong>the</strong> world’s economies and<br />
forging ahead with a more secure post-pandemic existence.<br />
The world’s democracies must acknowledge <strong>the</strong> disturbing speed <strong>by</strong> which aggressive and<br />
heavy-handed measures were enacted <strong>by</strong> officials in nations with little-to-no-history of<br />
authoritarianism as part of <strong>the</strong>ir efforts to combat <strong>the</strong> spread of <strong>the</strong> virus.<br />
The distinctly Orwellian character of <strong>the</strong> lockdowns, curfews, restrictions on <strong>the</strong> press, public<br />
shaming of those who question <strong>the</strong> authorities, and restrictions on <strong>the</strong> right to assemble<br />
is impossible to ignore. Each of <strong>the</strong> leading nations of <strong>the</strong> free world must come to <strong>the</strong><br />
realisation that once certain inalienable rights are stripped away, it is nearly impossible to<br />
ever recoup what has been forever lost – <strong>the</strong> post-9/11 world taught us that simple but<br />
fundamental lesson.<br />
The reality is that economies will contract, resources will shrink, and governments will<br />
struggle to provide for <strong>the</strong>ir populations. But <strong>by</strong> pooling toge<strong>the</strong>r <strong>the</strong> vast manufacturing<br />
and innovative resources that Europe possesses – and working in tandem with its close<br />
allies in <strong>the</strong> US, UK, and Canada – <strong>the</strong> EU can produce and provide its own medical and<br />
telecommunications resources that would help wean itself off its destructive dependence on<br />
China.<br />
By developing a coherent vision of exactly where Europe’s place in <strong>the</strong> post-pandemic world<br />
will be will allow <strong>the</strong> 27 members of <strong>the</strong> bloc to fur<strong>the</strong>r address many of <strong>the</strong> issues that have<br />
dogged <strong>the</strong> EU for <strong>the</strong> past dozen years. What’s paramount is that Europe must find a way<br />
to allow its constituent members to rethink <strong>the</strong>ir notion of sovereignty while at <strong>the</strong> same<br />
time halting <strong>the</strong> growth of an even stronger nativist and xenophobic surge as a result of <strong>the</strong><br />
pandemic.<br />
For <strong>the</strong> Western democracies, <strong>the</strong> end of <strong>the</strong> pandemic must be followed <strong>by</strong> a renewed<br />
sense of close cooperation, similar to what was seen in <strong>the</strong> years immediately following <strong>the</strong><br />
end of <strong>the</strong> Second <strong>World</strong> War.<br />
We began 2020 <strong>by</strong> marking <strong>the</strong> tenth anniversary of our annual “<strong>Our</strong> <strong>World</strong>” magazine,<br />
where we invite leading minds from <strong>the</strong> political, business, academic, and civil society<br />
world to discuss our future as seen from <strong>the</strong> perspective of our individual and collective<br />
challenges.<br />
None of us could have imagined as recently <strong>the</strong> world would be faced with <strong>the</strong> sort of<br />
calamity that has befallen all of us in <strong>the</strong> months since we published <strong>the</strong> latest edition of <strong>Our</strong><br />
<strong>World</strong>. From <strong>the</strong> very beginning, New Europe has offered entities who actively do good for<br />
our societies <strong>the</strong> opportunity to express <strong>the</strong>ir hopes and ideas in <strong>the</strong> pages of <strong>Our</strong> <strong>World</strong>.<br />
At this critical time in all of our lives, we sincerely hope that <strong>the</strong> thoughts and observations in<br />
this special edition helps bring more clarity for all as we look to <strong>the</strong> future.
OUR WORLD<br />
Foreword<br />
By Stella Kyriakides<br />
European Commissioner<br />
for Health<br />
The COVID19 pandemic has been described <strong>by</strong> many,<br />
including leading health experts, international organisations<br />
and political leaders around <strong>the</strong> world, as <strong>the</strong> greatest<br />
challenge humanity has faced since <strong>the</strong> Second <strong>World</strong> War and<br />
as <strong>the</strong> greatest threat to global public health of our lifetime. It<br />
has become a global health crisis that has transformed life as we<br />
know it. Hundreds of thousands of people around <strong>the</strong> world have<br />
tragically lost <strong>the</strong>ir lives, leaving behind <strong>the</strong>ir families and loved<br />
ones. <strong>Our</strong> healthcare systems have been put under extraordinary<br />
pressure, and we pay tribute to our heroic frontline healthcare<br />
workers, who put <strong>the</strong>mselves at risk every day to save lives and<br />
protect all of us. <strong>Our</strong> economies have suffered considerable losses,<br />
jobs have been lost, and societies have been kept apart because<br />
of social distancing.<br />
At <strong>the</strong> onset of <strong>the</strong> crisis, it was thought that perhaps every<br />
country could face <strong>the</strong>ir own challenges alone. However, it quickly<br />
became apparent that this could not be <strong>the</strong> case. It is clear that to<br />
deal with a multifaceted global crisis, it is necessary and of utmost<br />
importance to have a global response, with communities, regions<br />
and countries coming toge<strong>the</strong>r at all levels as a united team, in<br />
<strong>the</strong> spirit of resilience, toge<strong>the</strong>rness, and above all, solidarity. In<br />
<strong>the</strong> past few weeks, we have seen unprecedented cooperation<br />
across <strong>the</strong> world to address <strong>the</strong> most pressing issues, including<br />
supplies of essential equipment and medicines that our hospitals<br />
require and exceptional economic support measures to mitigate<br />
<strong>the</strong> impact of <strong>the</strong> pandemic on our economies and societies.<br />
Now we stand at a critical phase of our common fight which<br />
will require more global coordination and solidarity than ever.<br />
We must jointly strive to support worldwide efforts to develop,<br />
manufacture, equally distribute and ensure access to safe and<br />
effective treatments and vaccines for all, especially <strong>the</strong> most<br />
vulnerable countries and societies. To do so we will need to pool<br />
resources and expertise from all stakeholders, both public and<br />
private, in a joint effort for <strong>the</strong> public good.<br />
On May 4, <strong>the</strong> EU called on all of <strong>the</strong>m to demonstrate this spirit<br />
of solidarity <strong>by</strong> contributing to a global pledge aimed at closing <strong>the</strong><br />
funding gaps necessary for <strong>the</strong> critical research needed to develop<br />
a cure for <strong>the</strong> virus. This is how we will overcome <strong>the</strong> COVID-19<br />
pandemic. This is <strong>the</strong> fight of our generation. We face it toge<strong>the</strong>r<br />
and we will rise to <strong>the</strong> occasion toge<strong>the</strong>r. This is our fundamental<br />
duty to our citizens.<br />
OUR WORLD | MAY 2020<br />
5
STRUCK BY THE PANDEMIC<br />
CONTENTS<br />
Editorial .................................................................................... 03<br />
By Nicholas Waller<br />
Managing Editor, New Europe<br />
Foreword.................................................................................... 05<br />
By Stella Kyriakides<br />
European Commissioner for Health<br />
8 LEADERSHIP IN CRISIS &<br />
FRONTLINE HEROES<br />
COVID-19 threatens to bring back unfair and<br />
unequal treatment of working women......................................... 10<br />
By António Guterres<br />
Secretary General of <strong>the</strong> United Nations<br />
Rebuilding <strong>the</strong> European Way of Life in <strong>the</strong> aftermath,<br />
from Achilles’ heel to Achilles’ shield............................................ 12<br />
By Margaritis Schinas<br />
Vice President of The European Commission for Promoting <strong>Our</strong> European Way of Life<br />
FirstNet: Unique U.S. public-private partnership<br />
takes on COVID-19....................................................................... 14<br />
By Jeff McElfresh<br />
CEO, AT&T Communications<br />
Bahrain’s COVID-19 Response....................................................... 16<br />
By Abdulla bin Ahmed Al Khalifa<br />
Chairman, Bahrain Center for Strategic, International and Energy Studies (DERASAT)<br />
Rebuilding society: rural sustainable development<br />
after Covid-19 An opinion, not a myth.......................................... 18<br />
By Shanu SP Hinduja<br />
Chair of Hinduja Bank, Co-Chair of <strong>the</strong> United Nations Global Accelerator and<br />
Professor of Leadership at <strong>the</strong> University of Bolton’s Institute of Management<br />
Behind closed doors: domestic violence amid<br />
<strong>the</strong> COVID-19 pandemic............................................................... 20<br />
By Frances Fitzgerald<br />
Irish member of <strong>the</strong> European Parliament with <strong>the</strong> EPP Group – EPP Group Coordinator of<br />
<strong>the</strong> European Parliament’s Committee on Women’s Rights and Gender Equality<br />
Leadership Reconceptualized:<br />
A Compass for <strong>the</strong> Leaders of <strong>the</strong> New Global Era.......................... 22<br />
By Vassili Apostolopoulos<br />
CEO of <strong>the</strong> A<strong>the</strong>ns Medical Group (AMG) - President of <strong>the</strong> Hellenic Entrepreneurs<br />
Association (EENE)<br />
The Quest for <strong>the</strong> Single Antibody to End<br />
<strong>the</strong> COVID-19 <strong>Pandemic</strong> .............................................................. 24<br />
By Jake Glanville & Aishani Aatresh<br />
Jake Glanville Distributed Bio, CEO & Founding Partner<br />
& Aishani Aatresh Computational Immunoengineering Affiliate at Distributed Bio<br />
Nurses – <strong>the</strong> Heroes at <strong>the</strong> Frontline of Healthcare......................... 26<br />
By Paul de Raeve<br />
Secretary General of <strong>the</strong> European<br />
Federation of Nurses Associations<br />
5G: A Backbone for Europe’s Economic Recovery............................ 28<br />
By Afke Schaart<br />
Vice President and Head of Europe, Russia and CIS countries of <strong>the</strong> GSMA - Former<br />
Member of <strong>the</strong> Parliament of <strong>the</strong> Ne<strong>the</strong>rlands<br />
8 POLITICAL ECONOMY<br />
OF A PANDEMIC<br />
The EU in crisis? A pragmatist’s take ............................................ 32<br />
By Antonio López-Istúriz White<br />
Secretary General of <strong>the</strong> European People’s Party – Spanish member of <strong>the</strong> European<br />
Parliament with <strong>the</strong> EPP Group<br />
Technology Now! Lessons learned<br />
from COVID19 and What’s Next.................................................... 36<br />
By Eva Kaili<br />
Greek member of <strong>the</strong> European Parliament with <strong>the</strong> S&D Group - Chair for Science and<br />
Technology, STOA - Chair EU40 - Member of OECD Blockchain Advisory Board, WEF EU<br />
Digital Leaders & Digital Currency Gov Consortium, IEEE Center of Extended Intelligence<br />
Advisory Board<br />
Looking for <strong>the</strong> white knight ....................................................... 38<br />
By Daniel Kaddik<br />
Executive Director of <strong>the</strong> European Liberal Forum<br />
China’s Hostage Diplomacy........................................................... 40<br />
By Anna Fotyga<br />
Polish member of <strong>the</strong> European Parliament with <strong>the</strong> ECR Group<br />
Quarantine and/or geopolitical checkmate? .................................. 42<br />
By Lídia Pereira<br />
Portuguese member of <strong>the</strong> European Parliament with <strong>the</strong> EPP Group – President of <strong>the</strong><br />
Youth of <strong>the</strong> European People’s Party<br />
The China Hunt........................................................................... 44<br />
By Witold Jan Waszczykowski<br />
Polish member of <strong>the</strong> European Parliament with <strong>the</strong> ECR Group - Former Minister of<br />
Foreign Affairs<br />
The West must stand confident and<br />
united against <strong>the</strong> Chinese threat................................................. 46<br />
By Mattias Karlsson<br />
Member of <strong>the</strong> Swedish Parliament - Former Leader of <strong>the</strong> Sweden Democrats<br />
The Black Swan of 2020............................................................... 48<br />
By Erol User<br />
President and CEO of User Corporation. Dr User is also a multi-award winning entrepreneur,<br />
veteran businessman, philanthropist, business/financial coach and educator<br />
Reimagining History’s Path........................................................... 50<br />
By Dimitris Valatsas<br />
Chief Economist at Greenmantle<br />
The O<strong>the</strong>r Half............................................................................ 52<br />
By Sabina Ciofu<br />
Head of EU and Trade Policy at techUK<br />
The great lockdown:<br />
a glimpse of a more sustainable future?........................................ 54<br />
By Peter R. Styles<br />
Managing Director, Stratos European Policy Limited<br />
What are <strong>the</strong> Geo-Economic<br />
Impacts of <strong>the</strong> Coronavirus Crisis? ............................................... 56<br />
By Omar Al-Ubaydli<br />
PhD, Researcher at <strong>the</strong> Bahrain Center for Strategic, International and Energy Studies<br />
(Derasat), Non-Resident Fellow at <strong>the</strong> Arab Gulf States Institute, Washington<br />
Fixing <strong>the</strong> Eurozone for <strong>the</strong> next 50-years ..................................... 58<br />
By Juha-Pekka Nurvala<br />
Former Senior Political Advisor for Economic and Social Policy, European People’s Party -<br />
Political Economist, London School of Economics<br />
6 MAY 2020 | OUR WORLD
CONTENTS<br />
OUR WORLD<br />
Going Viral: COVID-19’s Harsh Lessons........................................... 60<br />
By Mitchell Belfer<br />
President of <strong>the</strong> Euro-Gulf Information Centre (Rome, Italy), Senior Lecturer in<br />
International Relations, Terrorism and Security at <strong>the</strong> Metropolitan University Prague<br />
(Czech Republic) and Editor in Chief of <strong>the</strong> Central European Journal of International and<br />
Security Studies.<br />
A green recovery......................................................................... 62<br />
By Dirk Schoenmaker<br />
Non-Resident Fellow at Bruegel- Professor of Banking and Finance at Rotterdam School<br />
of Management, Erasmus University Rotterdam- Research Fellow at <strong>the</strong> Centre for<br />
European Policy Research (CEPR).<br />
8 IMPACT OF A GLOBAL PROBLEM<br />
We need a global solution, a global response<br />
to ensure a better handling of future breakouts............................ 66<br />
By Adrian Delia<br />
Leader of <strong>the</strong> Opposition in Malta & Leader of <strong>the</strong> Nationalist Party<br />
Uzbekistan’s emergence onto <strong>the</strong> <strong>World</strong> stage............................... 68<br />
By Sardor Umurzakov<br />
Deputy Prime-Minister, Minister of Investments & Foreign Trade of Uzbekistan and is also<br />
<strong>the</strong> Co-Chair of <strong>the</strong> Supervisory Board of Europe-Uzbekistan Association for Economic<br />
Cooperation (EUROUZ)<br />
What we can learn from viruses and<br />
our efforts to defeat <strong>the</strong>m........................................................... 70<br />
By Michel Zaffran<br />
Director of Polio Eradication at <strong>World</strong> Health Organization<br />
By Judith Diment<br />
Coordinator of National Advocacy Advisors at Rotary International<br />
Lessons from Australia................................................................. 72<br />
By Hermann Tertsch<br />
Spanish Member of <strong>the</strong> European Parliament with <strong>the</strong> ECR Group<br />
Poland has shown true European Solidarity .................................. 74<br />
By Carlo Fidanza<br />
Italian member of <strong>the</strong> European Parliament with <strong>the</strong> ECR Group<br />
How <strong>the</strong> Nigerian diaspora is helping<br />
in <strong>the</strong> fight against Coronavirus ................................................... 76<br />
By Hon. Abike Dabiri-Erewa<br />
Senior Special Assistant to President of Nigeria, Muhammadu Buhari,<br />
on Diaspora and Foreign Affairs<br />
Germany and <strong>the</strong> future of <strong>the</strong> Union........................................... 78<br />
By Gianni Pittella<br />
Member of <strong>the</strong> Italian Senate, Former Vice President of <strong>the</strong> European Parliament &<br />
former Leader of <strong>the</strong> S&D Group in <strong>the</strong> European Parliament<br />
Stringent social distancing measures are working out.................... 80<br />
By Sophia Kircher<br />
Member of <strong>the</strong> regional Parliament of Tyrol with <strong>the</strong> Austrian People’s Party<br />
Turkey and Covid-19: Stepping into Supply Chains.......................... 82<br />
By Nail Olpak<br />
President of DEiK, Foreign Economic Relations Board of Turkey<br />
8 CRITICAL INFRASTRUCTURE<br />
& THE FUTURE OF BUSINESS<br />
Digital Greece: turning crisis into opportunity................................ 86<br />
By Grigoris Zarifopoulos<br />
Greek Deputy Minister for Digital Governance, responsible for Digital Strategy and for<br />
attracting investment in Digital Technology<br />
Full-service healthcare distributors have proven <strong>the</strong>ir resilience<br />
throughout <strong>the</strong> COVID-19 crisis ensuring continuous service for<br />
European patients ...................................................................... 90<br />
By Monica Derecque Pois<br />
Director General of <strong>the</strong> European Healthcare Distribution Association<br />
What is <strong>the</strong> role of businesses in Europe’s fight against COVID-19,<br />
and in its recovery?..................................................................... 92<br />
By Cybelle Buyck<br />
European Vice President of Legal & Corporate Affairs, AB InBev<br />
The need for a new narrative in tourism is an urgent need!............ 94<br />
By Angela Gerekou<br />
President of <strong>the</strong> Greek National Tourism Organisation<br />
Hauling US Banking Infrastructure ............................................... 96<br />
By Archie Ravishankar<br />
Founder and CEO of Cogni<br />
Take Africa into consideration...................................................... 98<br />
By Nikos Papazoglou<br />
CEO, Pharmex SA<br />
Green Recovery, Energy Transition and Gender Equality:<br />
a triple target for Europe .......................................................... 100<br />
By Daria Nochevnik<br />
Co-Founder Women in Energy, Climate and Sustainability Foundation<br />
International Education and a <strong>Pandemic</strong> Crisis............................. 102<br />
By Patrick van Rooyen<br />
Executive Chairman, GoGlobal Education<br />
Envelopes resist crises............................................................... 104<br />
By Matti Rantanen<br />
Managing Director of <strong>the</strong> European Federation of Envelope Manufacturers<br />
Public Services and Services of General Interest on <strong>the</strong> frontline<br />
against <strong>the</strong> COVID-19................................................................. 106<br />
By Valeria Ronzitti<br />
SGI employers and providers at <strong>the</strong> heart of <strong>the</strong> crisis<br />
8 FINAL WORD<br />
Turning Uncertainty into Opportunity......................................... 108<br />
By Jerry Zagoritis<br />
Founder & CEO of Campaign Lab and <strong>the</strong> Publishing Partner of “<strong>Our</strong> <strong>World</strong>: <strong>Struck</strong> <strong>by</strong> <strong>the</strong><br />
<strong>Pandemic</strong>”<br />
OUR WORLD | MAY 2020<br />
7
<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
Leadership<br />
in Crisis &<br />
Frontline<br />
Heroes
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
SHUTTERSTOCK<br />
COVID-19 Threatens to Bring<br />
Back Unfair and Unequal<br />
Treatment of Working Women<br />
By António Guterres<br />
Early signs are that <strong>the</strong> COVID-19 virus poses a greater direct health risk<br />
to men, and particularly older men. But <strong>the</strong> pandemic is exposing and<br />
exploiting inequalities of all kinds, including gender inequality. In <strong>the</strong> long<br />
term, its impact on women’s health, rights and freedoms could harm us all.<br />
10 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Women are already suffering <strong>the</strong> deadly<br />
impact of lockdowns and quarantines. These<br />
restrictions are essential – but <strong>the</strong>y increase <strong>the</strong><br />
risk of violence towards women trapped with<br />
abusive partners. Recent weeks have seen an<br />
alarming global surge in domestic violence; <strong>the</strong><br />
largest support organization in <strong>the</strong> UK reported<br />
a 700 percent increase in calls. At <strong>the</strong> same<br />
time, support services for women at risk face<br />
cuts and closures.<br />
This was <strong>the</strong> background to my recent<br />
appeal for peace in homes around <strong>the</strong> world.<br />
Since <strong>the</strong>n, more than 143 governments have<br />
committed to supporting women and girls at<br />
risk of violence during <strong>the</strong> pandemic. Every<br />
country can take action <strong>by</strong> moving services<br />
online, expanding domestic violence shelters<br />
and designating <strong>the</strong>m as essential, and<br />
increasing support to frontline organizations.<br />
The United Nations’ partnership with <strong>the</strong><br />
European Union, <strong>the</strong> Spotlight Initiative, is<br />
working with governments in more than 25<br />
countries on <strong>the</strong>se and similar measures, and<br />
stands ready to expand its support.<br />
But <strong>the</strong> threat to women’s rights and<br />
freedoms posed <strong>by</strong> COVID-19 goes far beyond<br />
physical violence. The deep economic downturn<br />
accompanying <strong>the</strong> pandemic is likely to have a<br />
distinctly female face.<br />
The unfair and unequal treatment of<br />
working women is one reason why I went into<br />
politics. In <strong>the</strong> late 1960s, as a student volunteer<br />
doing social work in poor areas of Lisbon, I saw<br />
women in very difficult situations, doing menial<br />
jobs and carrying <strong>the</strong> weight of <strong>the</strong>ir extended<br />
families. I knew this had to change – and I have<br />
seen important change in my lifetime.<br />
But decades later, COVID-19 threatens to<br />
bring back <strong>the</strong>se conditions and worse, for<br />
many women around <strong>the</strong> world.<br />
Women are disproportionately represented<br />
in poorly paid jobs without benefits, as domestic<br />
workers, casual labourers, street vendors, and<br />
in small-scale services like hairdressing. The<br />
International Labour Organization estimates<br />
that nearly 200 million jobs will be lost in <strong>the</strong><br />
next three months alone – many of <strong>the</strong>m in<br />
exactly <strong>the</strong>se sectors.<br />
And just as <strong>the</strong>y are losing <strong>the</strong>ir paid<br />
employment, many women face a huge<br />
increase in care work due to school closures,<br />
overwhelmed health systems, and <strong>the</strong><br />
increased needs of older people.<br />
António<br />
Guterres<br />
Secretary General of<br />
<strong>the</strong> United Nations<br />
And let’s not forget <strong>the</strong> girls who have had<br />
<strong>the</strong>ir education cut short. In some villages<br />
in Sierra Leone, school enrolment rates for<br />
teenage girls fell from 50 to 34 percent after <strong>the</strong><br />
Ebola epidemic, with lifelong implications for<br />
<strong>the</strong>ir wellbeing and that of <strong>the</strong>ir communities<br />
and societies.<br />
Many men, too, are facing job losses and<br />
conflicting demands. But even at <strong>the</strong> best of<br />
times, women do three times as much domestic<br />
work as men.<br />
That means <strong>the</strong>y are more likely to be called<br />
on to look after children if businesses open<br />
while schools remain closed, delaying <strong>the</strong>ir<br />
return to <strong>the</strong> paid labour force.<br />
Entrenched inequality also means that while<br />
women make up seventy percent of healthcare<br />
workers, <strong>the</strong>y are vastly outnumbered <strong>by</strong> men<br />
in healthcare management, and comprise just<br />
one in every ten political leaders worldwide –<br />
which harms us all. We need women at <strong>the</strong> table<br />
when decisions are taken on this pandemic,<br />
to prevent worst-case scenarios like a second<br />
spike in infections, labour shortages, and even<br />
social unrest.<br />
Women in insecure jobs urgently need basic<br />
social protections, from health insurance to<br />
paid sick leave, childcare, income protection<br />
and unemployment benefits. Looking ahead,<br />
measures to stimulate <strong>the</strong> economy, like cash<br />
transfers, credits, loans and bailouts, must be<br />
targeted at women – whe<strong>the</strong>r <strong>the</strong>y are working<br />
full-time in <strong>the</strong> formal economy, as part-time or<br />
seasonal workers in <strong>the</strong> informal economy, or<br />
as entrepreneurs and business owners.<br />
The COVID-19 pandemic has made it clearer<br />
than ever that women’s unpaid domestic<br />
labour is subsidizing both public services and<br />
private profits.<br />
This work must be included in economic<br />
metrics and decision-making. We will all gain<br />
from working arrangements that recognize<br />
people’s caring responsibilities, and from<br />
inclusive economic models that value work in<br />
<strong>the</strong> home.<br />
This pandemic is not only challenging<br />
global health systems, but our commitment<br />
to equality and human dignity.<br />
With women’s interests and rights front<br />
and centre, we can get through this pandemic<br />
faster, and build more equal and resilient<br />
communities and societies that benefit<br />
everyone.<br />
OUR WORLD | MAY 2020<br />
11
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
SHUTTERSTOCK<br />
Rebuilding <strong>the</strong> European Way<br />
of Life in <strong>the</strong> Aftermath: From<br />
Achilles’ Heel to Achilles’ Shield<br />
By Margaritis Schinas<br />
In <strong>the</strong> past few weeks, Europeans have<br />
shown <strong>the</strong>ir resilience, ability to act and<br />
determination to keep our lives on track<br />
whilst mounting a collective response to<br />
<strong>the</strong> coronavirus pandemic. It has been<br />
business in full swing, but not as usual.<br />
Extraordinary and unprecedented<br />
measures – both economic and social<br />
– have been taken. The extremely<br />
restrictive social distancing and<br />
confinement measures are helping to<br />
slow down <strong>the</strong> spread of <strong>the</strong> virus and<br />
give our health systems a chance to cope.<br />
But <strong>the</strong>se measures come at a cost –<br />
to our economies, to <strong>the</strong> functioning<br />
of our single market and to people’s<br />
basic freedoms. The limitation of civic<br />
freedoms and economic development<br />
cannot become <strong>the</strong> norm or it will deeply<br />
compromise <strong>the</strong> future for generations<br />
of Europeans.<br />
Although <strong>the</strong> fight against <strong>the</strong> virus is<br />
still ongoing, it is time we started looking<br />
at <strong>the</strong> ‘what next’. <strong>Our</strong> strategies for<br />
12 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Margaritis<br />
Schinas<br />
Vice President of The<br />
European Commission<br />
for Promoting <strong>Our</strong><br />
European Way of Life<br />
OUR WORLD | MAY 2020<br />
lifting <strong>the</strong> restrictive measures must be<br />
coordinated. The virus does not respect<br />
borders meaning uncoordinated measures<br />
will be ineffective. If anything is a matter<br />
of common European interest and where<br />
strong European solidarity is needed, it is<br />
here. <strong>Our</strong> societies are stronger when we<br />
take care of one ano<strong>the</strong>r. Europe is stronger<br />
when we pull toge<strong>the</strong>r. And an absence of<br />
solidarity will forever be our Achilles’ heel.<br />
Whilst <strong>the</strong> timing and exact details<br />
may vary across Member States, we need<br />
a shared operating framework, which<br />
allows coordination across a number of<br />
policy areas. This is why <strong>the</strong> Commission<br />
has presented a Roadmap towards lifting<br />
COVID-19 containment measures. The<br />
Roadmap sets out recommendations<br />
for <strong>the</strong> Member States on how we can<br />
move beyond our initial response to <strong>the</strong><br />
pandemic and restart community life and<br />
<strong>the</strong> economy. Given how much we still do<br />
not know about <strong>the</strong> virus, it is clear that<br />
we must be able to revise our approach in<br />
response to new developments. Limiting<br />
<strong>the</strong> spread of <strong>the</strong> virus will be a battle we<br />
may have to wage many times over.<br />
<strong>Our</strong> common Roadmap must also be<br />
about bringing more solidarity. To win<br />
this battle, we will need to produce more<br />
test-kits, improve treatment protocols<br />
and, ultimately, discover <strong>the</strong> vaccine that<br />
will protect us from <strong>the</strong> virus. This, in turn,<br />
should be widely accessible and affordable<br />
both in Europe and throughout <strong>the</strong> world.<br />
If Europe’s Achilles’ heel is <strong>the</strong> absence<br />
of solidarity, its shield is our immeasurable<br />
resilience. In The Illiad, Achilles’ shield<br />
represents new hope and provides<br />
perspective on <strong>the</strong> ten years of <strong>the</strong> Trojan<br />
war. The shield depicts normal life in<br />
peacetime, symbolising <strong>the</strong> world beyond<br />
<strong>the</strong> battlefield and <strong>the</strong> crucial lesson that<br />
<strong>the</strong> war is only one aspect of existence.<br />
Life as a whole is full of feasts, dances and<br />
new harvests. The shield reminds us that<br />
this too shall pass, and that life has much<br />
more to offer. For me, it reminds me that<br />
Europe’s unique and diverse way of life<br />
must be restored and rebuilt stronger<br />
than before.<br />
Going forward, <strong>the</strong> resilience of our<br />
systems will be essential. First in <strong>the</strong> area<br />
of health but also through <strong>the</strong> use of our<br />
The limitation of<br />
civic freedoms and<br />
economic development<br />
cannot become <strong>the</strong><br />
norm or it will deeply<br />
compromise <strong>the</strong> future<br />
for generations of<br />
Europeans.<br />
industrial, education, employment, security<br />
and economic strategies. The crisis also has<br />
a global dimension: it can only be defeated<br />
through international coordination and<br />
cooperation, to improve our pandemic<br />
preparedness. The EU, as <strong>the</strong> world’s<br />
largest donor and a leading economic<br />
power, intends to be at <strong>the</strong> forefront of<br />
this effort. President von der Leyen has<br />
<strong>the</strong>refore tasked me with organising an<br />
online pledging conference on 4 May, to<br />
accelerate work on diagnostics, treatments<br />
and <strong>the</strong> development of a vaccine.<br />
I have read a great deal of criticism of<br />
<strong>the</strong> collective European response to <strong>the</strong><br />
COVID-19 pandemic. Some of it fair, some<br />
of it exaggerated. All I would ask is that we<br />
not judge our Union <strong>by</strong> how many times it<br />
has faltered but <strong>by</strong> how many times it has<br />
gotten back up again. We can only face up<br />
to this challenge <strong>by</strong> bringing our societies<br />
and democracies toge<strong>the</strong>r, not <strong>by</strong> sowing<br />
division.<br />
Without forgetting those we lost and <strong>the</strong><br />
many still struggling, we must now focus<br />
on rebuilding Europe in <strong>the</strong> aftermath of<br />
<strong>the</strong> pandemic and laying <strong>the</strong> foundations<br />
for later. We will be forever changed <strong>by</strong> <strong>the</strong><br />
events of this year, so let it be for <strong>the</strong> better.<br />
And let us be reminded of our resilience, for<br />
it is our ultimate protection.<br />
13
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
AT&T / FIRSTNET<br />
FirstNet: Unique U.S. Public-Private<br />
Partnership Takes on COVID-19<br />
By Jeff McElfresh<br />
AT&T is proud to operate FirstNet, <strong>the</strong> only nationwide, high-speed broadband communications<br />
platform exclusively for America’s first responders and extended public safety community. From<br />
<strong>the</strong> beginning of <strong>the</strong> COVID-19 pandemic, FirstNet has been instrumental in helping those on <strong>the</strong><br />
frontline coordinate and communicate.<br />
Born in a crisis<br />
FirstNet was born out of an earlier crisis: 9/11. Following <strong>the</strong> attacks on New York City and Washington, D.C.,<br />
firefighters, police, and EMS had difficulty communicating due to heavy demand and incompatible systems.<br />
First response needs to be a unified response. Unfortunately, that wasn’t <strong>the</strong> case in September 2001.<br />
As a result, <strong>the</strong> U.S. Congress created <strong>the</strong> independent First Responder Network Authority, which in 2017<br />
selected AT&T to build and operate a new kind of network. The goal was to provide first responders in all U.S.<br />
jurisdictions dedicated, interoperable and prioritized connections unaffected <strong>by</strong> commercial network traffic.<br />
14 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Now taking on COVID-19<br />
Built to flex and adapt<br />
Since it went into operation in 2018, FirstNet<br />
has proved itself in fires, earthquakes and<br />
storms. Now, it’s supporting <strong>the</strong> frontline heroes<br />
working to keep America safe and get back on<br />
its feet. We see AT&T’s role as giving <strong>the</strong>m close<br />
support, from rolling in temporary cell sites to<br />
embedding our experts in federal and state<br />
emergency operating centers.<br />
In January, we began supporting <strong>the</strong> first<br />
quarantine sites in <strong>the</strong> U.S. Since <strong>the</strong>n, we’ve<br />
continued to deploy equipment, optimize <strong>the</strong><br />
network and supply devices to support public<br />
safety at airports, hospitals, testing centers and<br />
o<strong>the</strong>r essential locations nationwide.<br />
Here are just a few examples of how<br />
we’re helping America’s first responders fight<br />
COVID-19:<br />
• Hard-Hit Cities: In New York City, we stepped<br />
in to provide EMS and o<strong>the</strong>r first responders <strong>the</strong><br />
connectivity <strong>the</strong>y need. We equipped hundreds<br />
of ambulances – from different near<strong>by</strong> towns<br />
and cities – with interoperable, FirstNet-ready<br />
devices. We also deployed a FirstNet portable<br />
cell site and new, temporary in-building<br />
solutions to increase network capacity for first<br />
responders and emergency staff.<br />
• Naval Hospital Ships: We worked to<br />
connect two U.S. Navy hospital ships, <strong>the</strong> USNS<br />
Comfort in New York and <strong>the</strong> USNS Mercy in Los<br />
Angeles. These medical treatment facilities were<br />
sent to alleviate overcrowding in local hospitals.<br />
• Major Medical Centers: At no additional<br />
charge, public safety agencies on FirstNet can<br />
request temporary network equipment for<br />
emergency support. In nor<strong>the</strong>rn California,<br />
for example, we deployed a FirstNet portable<br />
cell site at a medical facility to add capacity for<br />
emergency personnel.<br />
• Testing Facilities: We deployed ano<strong>the</strong>r<br />
FirstNet portable cell site to support a drivethru<br />
testing facility in a nor<strong>the</strong>astern state. The<br />
site allowed medical professionals and first<br />
responders to communicate without worrying<br />
about bandwidth once people arrived for testing.<br />
• Logistics Managements: We’ve quickly<br />
expanded bandwidth to support a five-fold<br />
increase in remote Virtual Private Networking<br />
capabilities for <strong>the</strong> U.S. Army Corps of Engineers<br />
as it manages logistics for <strong>the</strong> national COVID-19<br />
response.<br />
We’re determined to deliver <strong>the</strong> best tools<br />
and solutions for <strong>the</strong>se life-saving missions.<br />
That’s why we keep updating FirstNet to meet<br />
public safety’s changing technical needs and<br />
help reduce <strong>the</strong>ir costs:<br />
• We expanded FirstNet to give eligible<br />
first responder agencies free smartphones<br />
for life on unlimited plans. This means law<br />
enforcement, fire and EMS agencies will have<br />
<strong>the</strong> latest tools to complete <strong>the</strong>ir lifesaving<br />
missions.<br />
• We’re also expanding <strong>the</strong> FirstNet app<br />
ecosystem to support our nation’s response to<br />
COVID-19. The FirstNet App Catalog includes<br />
more than 100 highly secure apps for public<br />
safety.<br />
• Through <strong>the</strong> primary service portal for<br />
agencies using FirstNet, public administrators<br />
now have easy access to <strong>the</strong> interactive<br />
coronavirus disease dashboard created <strong>by</strong> <strong>the</strong><br />
Center for Systems Science and Engineering at<br />
Johns Hopkins University.<br />
Serving <strong>the</strong> medical community<br />
We also recognize <strong>the</strong> importance of <strong>the</strong><br />
extended public safety community – which<br />
in a pandemic like this, certainly includes<br />
doctors and nurses caring for patients under<br />
dire conditions.<br />
That’s why we went a step fur<strong>the</strong>r to<br />
support eligible state-licensed nurses and<br />
physicians across <strong>the</strong> U.S. with three months<br />
of free wireless service for a smartphone or<br />
tablet on a FirstNet individual plan.<br />
We also collaborated with a large U.S.<br />
insurance company to expedite our continuing<br />
FirstNet network rollout. This will streamline<br />
access to affordable, high-speed wireless<br />
broadband to promote primary care and<br />
telehealth services in rural and underserved<br />
communities.<br />
As public safety’s network partner serving<br />
all 56 U.S. states and territories, we’re proud to<br />
work alongside <strong>the</strong>se brave men and women<br />
to ensure <strong>the</strong>y have <strong>the</strong> critical connectivity<br />
<strong>the</strong>y need. Throughout <strong>the</strong> COVID-19 crisis<br />
and beyond, it’s an honor to do all we can for<br />
those dedicated to protecting our families and<br />
communities.<br />
Jeff McElfresh<br />
CEO, AT&T<br />
Communications<br />
OUR WORLD | MAY 2020<br />
15
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
A Local Contribution to <strong>the</strong> Global <strong>Pandemic</strong>:<br />
Bahrain’s COVID-19 Response<br />
By Abdulla bin Ahmed Al Khalifa<br />
The rapid contagion of COVID-19<br />
caught much of <strong>the</strong> international<br />
community off-guard. With each<br />
passing day we in Bahrain watched with<br />
frozen anticipation as <strong>the</strong> virus jumped<br />
from China to o<strong>the</strong>r parts of Asia, to Europe<br />
and <strong>the</strong>n into our own region. Bahrain is<br />
a small state (765 sq km), <strong>the</strong> sixth most<br />
densely populated in <strong>the</strong> world, and<br />
contagion would be fast and relentless.<br />
Bahrain’s first obligation is to ensure <strong>the</strong><br />
health and safety of its people. An actionplan<br />
went into immediate effect. As early<br />
as 22 January, Bahrain’s Ministry of Health<br />
announced that it would follow <strong>the</strong> <strong>World</strong><br />
Health Organisation (WHO) guidelines,<br />
start implementing epidemiological<br />
monitoring while taking pre-emptive<br />
measures at Bahrain International Airport.<br />
Bahrain takes healthcare seriously. It<br />
always has.<br />
Bahrain’s Crown Prince, His Royal<br />
Highness Prince Salman bin Hamad Al<br />
Khalifa, with <strong>the</strong> guidance of His Majesty<br />
King Hamad bin Isa Al Khalifa, crafted a<br />
plan to help everyone who calls Bahrain<br />
home—citizens and expatriates alike.<br />
From <strong>the</strong> national airport to o<strong>the</strong>r<br />
points of entry, The Crown Prince directed<br />
<strong>the</strong> Ministry of Health to deploy early<br />
screening devices in a bid to prevent <strong>the</strong><br />
virus from reaching <strong>the</strong> Kingdom. This<br />
required foresight. There was, as yet, no<br />
real indication as to how far <strong>the</strong> virus would<br />
spread or what kind of damage it would<br />
do. Leaving nothing to chance became <strong>the</strong><br />
motto. And so, <strong>the</strong> Ministry of Health began<br />
its precautionary work and streng<strong>the</strong>ned<br />
national capabilities needed for large<br />
scale testing. At this point, COVID-19 was<br />
responsible for only 170 deaths worldwide<br />
and only 82 of <strong>the</strong> 7818 recorded cases<br />
were outside China. There were, as yet,<br />
no cases in Bahrain.<br />
With phase one — prevention and<br />
preparation — underway, <strong>the</strong> next step,<br />
The Crown Prince of Bahrain, Salman bin Hamad Al Khalifa during a visit to <strong>the</strong><br />
National Taskforce to Combat COVID-19 operations center<br />
as in any impending emergency, was to<br />
develop a tailor-made Taskforce in order to<br />
quickly and efficiently respond to <strong>the</strong> everevolving<br />
situation. This took <strong>the</strong> form of <strong>the</strong><br />
National Taskforce to Combat COVID-19<br />
with a fully functioning, multi-level, joint<br />
operations centre up and running <strong>by</strong> 13<br />
February. Coordination meetings were<br />
<strong>the</strong>n held to enhance <strong>the</strong> symbiosis of<br />
private and public health institutions and<br />
ensure that Ministry of Health guidelines<br />
were being implemented. It was clear from<br />
<strong>the</strong> start that <strong>the</strong> key to success would be<br />
teamwork: not only teamwork between<br />
government and <strong>the</strong> healthcare sector,<br />
but <strong>by</strong> all segments of society. This was a<br />
struggle that everyone needed to pitch in<br />
to help with.<br />
This teamwork is well reflected in <strong>the</strong><br />
#TeamBahrain which raises awareness<br />
and develops real, functioning collective<br />
efforts as counter-measures against <strong>the</strong><br />
pandemic. Reaching out via social media<br />
and ensuring <strong>the</strong> proper, uninterrupted<br />
flow of information rests at <strong>the</strong> heart of<br />
combating COVID-19. As <strong>the</strong> Minister of<br />
Finance and National Economy, Shaikh<br />
Salman bin Khalifa Al-Khalifa, rightly noted<br />
“We are always very proud of our “Team<br />
Bahrain” approach; which is a seamless<br />
integration of government entities private<br />
enterprise in delivering forward on a vision<br />
has been in place for over 20 years in terms<br />
of diversifying <strong>the</strong> economy and moving<br />
things forward.” #TeamBahrain’s Twitter<br />
and Instagram messaging contributed to<br />
saving lives; it helped people make sense<br />
of <strong>the</strong> dangers and respond in kind. And,<br />
it also helped allay fears and share in <strong>the</strong><br />
many success stories Bahrain has already<br />
witnessed.<br />
From Planning to Deployment<br />
— The Action Plan in Action<br />
No strategy, Clausewitz reminds us,<br />
survives contact with <strong>the</strong> enemy. No matter<br />
<strong>the</strong> planning and preparations, COVID-19<br />
is a stubborn opponent. Inevitably, on<br />
24 February, Bahrain recorded its first<br />
case from an individual returning from<br />
Iran. The action-plan shifted to embrace<br />
both fur<strong>the</strong>r prevention and to detect<br />
and contain <strong>the</strong> virus. Protocols were<br />
activated and <strong>the</strong> testing of persons who<br />
arrived from Iran over <strong>the</strong> previous 30 days<br />
begun. In case isolation and treatment, for<br />
<strong>the</strong> hundreds of people being tested, was<br />
required it was made available. Travel was<br />
suspended to and from Iran, all educational<br />
institutions were closed and public events<br />
were postponed. Self-quarantine became<br />
16 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Prince Salman being briefed at <strong>the</strong> nerve center of <strong>the</strong> National Taskforce to Combat COVID-19 operations Center<br />
mandatory for those that arrived from destinations<br />
where large numbers of cases were recorded.<br />
Mobile testing was launched on 29 February as<br />
a reinforcement measure. By 09 March, Bahrain<br />
had <strong>the</strong> capability of conducting some 3500 tests<br />
a day — HM King Hamad issued Royal Directives<br />
to provide free COVID-19 testing and treatment<br />
for all citizens and residents in Bahrain — and <strong>by</strong><br />
constructing three field hospitals, we managed to<br />
double <strong>the</strong> number of beds available in case <strong>the</strong><br />
situation worsened.<br />
Throughout all this, Prince Salman remained<br />
fully engaged and his visits to <strong>the</strong> National<br />
Taskforce have become a weekly occurrence<br />
that helps boost morale and make important<br />
planning contributions. The early flexible response<br />
adopted <strong>by</strong> Bahrain saved <strong>the</strong> country from a farworse<br />
scenario: community spread was not only<br />
minimised but mitigated within days. As a result, on<br />
19 March, Bahrain became <strong>the</strong> first Arab country<br />
to join <strong>the</strong> <strong>World</strong> Health Organisation’s Solidarity<br />
Trial experiment programme which is a testament<br />
of <strong>the</strong> efforts made <strong>by</strong> Bahrain as a whole.<br />
Public Engagement = Public Safety<br />
Bahrain’s #BeAware campaign is an Arabic,<br />
English and Hindi language public service portal<br />
that emphasises WHO recommendations,<br />
communicates important updates and works in<br />
tandem with #TeamBahrain to make sure that<br />
<strong>the</strong> message is delivered and received. A 24-hour<br />
hotline was also established in 7 languages, with<br />
doctors on call to answer questions and remotely<br />
assess <strong>the</strong> severity of caller symptoms and, if<br />
necessary, arrange for transportation of patients<br />
to <strong>the</strong> correct facilities. There is a mobile app that<br />
keeps <strong>the</strong> public in <strong>the</strong> know and even tracks<br />
OUR WORLD | MAY 2020<br />
Abdulla bin<br />
Ahmed Al<br />
Khalifa<br />
Chairman, Bahrain<br />
Center for Strategic,<br />
International and<br />
Energy Studies<br />
(DERASAT)<br />
users to warn <strong>the</strong>m if <strong>the</strong>y have been in contact<br />
with positive cases and our volunteer programme<br />
attracted some 30000 applicants. Bahrain’s public<br />
is aware, it is engaged and, if this crisis has taught<br />
us anything, it is unified in <strong>the</strong> face of adversity.<br />
To date <strong>the</strong>re have been a total of eight<br />
COVID-19 related deaths in Bahrain. Each one<br />
of <strong>the</strong>m is a painful reminder that this pandemic<br />
does not discriminate and that <strong>the</strong>re are no safe<br />
quarters to hide in. However, <strong>the</strong>re is much than<br />
can be done to reduce <strong>the</strong> mortality rates; <strong>the</strong>re<br />
are precautionary steps that may be undertaken<br />
to limit and roll-back COVID-19. Thanks to <strong>the</strong> quick<br />
thinking and energy of Prince Salman, Bahrain’s<br />
cases are few and far apart. The situation is stable.<br />
Even on <strong>the</strong> economic front, <strong>the</strong> economic stimulus<br />
package of 4.3 billion BHD ($11.4 billion USD) has<br />
been earmarked for citizens and businesses,<br />
representing a full 30% percent of Bahrain’s GDP.<br />
This is a massive commitment to cushioning<br />
<strong>the</strong> economic cost to our citizens that COVID-19<br />
produced.<br />
While this is a national solution to this global<br />
problem, it is important to remember that Bahrain<br />
is a microcosm of <strong>the</strong> international community<br />
and people from all walks of life call this Island<br />
home. While Bahrain cannot affect <strong>the</strong> outcome<br />
of COVID-19 on its own, it can make an important<br />
contribution <strong>by</strong> sharing its know-how and<br />
maintaining its transparent, hands-on approach<br />
for combatting this pandemic. How this will all end<br />
remains a mystery. However, as states close down<br />
<strong>the</strong>ir borders <strong>the</strong>y are also opening up <strong>the</strong>ir lines<br />
of communication to share data, expertise and<br />
ensure <strong>the</strong> free-flow of knowledge. We in Bahrain<br />
will continue to make our mark in <strong>the</strong> battle to save<br />
lives and overcome COVID-19.<br />
17
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
Rebuilding Society<br />
Rural Sustainable Development After Covid-19; An Opinion, Not a Myth<br />
By Shanu SP Hinduja<br />
SHUTTERSTOCK<br />
Shanu<br />
SP Hinduja<br />
Chair of Hinduja<br />
Bank, Co-Chair of<br />
<strong>the</strong> United Nations<br />
Global Accelerator and<br />
Professor of Leadership<br />
at <strong>the</strong> University of<br />
Bolton’s Institute of<br />
Management<br />
After coronavirus, nothing less than<br />
a revolution in rural sustainable<br />
development can prevent ano<strong>the</strong>r crisis.<br />
Like our ancestors, we must learn to heed<br />
<strong>the</strong> call of <strong>the</strong> land, <strong>the</strong> rhythm of <strong>the</strong> seasons,<br />
<strong>the</strong> social bonds that hold us toge<strong>the</strong>r. We must<br />
value <strong>the</strong> farmers, healers and teachers. This<br />
virus has shaken <strong>the</strong> very foundations of our<br />
societies. How we build on those foundations,<br />
though, is up to all of us.<br />
Aid is forthcoming from <strong>the</strong> community of<br />
nations – <strong>the</strong> <strong>World</strong> Bank has already made<br />
$160 billion available to <strong>the</strong> developing world,<br />
<strong>the</strong> IMF is encouraging developing nations to<br />
forgo debt-service payments and instead direct<br />
resources to fighting <strong>the</strong> virus. More will be<br />
needed, but we must also ensure it is deployed<br />
wisely. Aid must serve to develop sustainable<br />
rural economies, ra<strong>the</strong>r than encouraging<br />
fur<strong>the</strong>r urban sprawl and overcrowding.<br />
In <strong>the</strong> developing world, progress has long<br />
been tied to <strong>the</strong> success of a handful a megacities,<br />
powering economic growth and acting as<br />
magnets for a formerly largely rural population.<br />
The virus has shown that many of <strong>the</strong>se cities<br />
are unhygienic, often unliveable.<br />
Many of <strong>the</strong> slums and shanty towns of <strong>the</strong><br />
world, like Mumbai’s Dharavi slum, which has<br />
already seen hundreds of cases of Covid-19, are<br />
so densely populated that even staying at home<br />
does not achieve <strong>the</strong> aims of social distancing.<br />
A model that relies on mega-cities powered<br />
<strong>by</strong> cheap labour from <strong>the</strong> slums may survive<br />
<strong>the</strong> virus, but it must not survive <strong>the</strong> effort to<br />
rebuild our economies after <strong>the</strong> pandemic.<br />
Developed economies may be considering<br />
<strong>the</strong> impact of reduced international travel or<br />
greater remote working on GDP. In developing<br />
countries, <strong>by</strong> contrast, both <strong>the</strong> virus and <strong>the</strong><br />
measures governments have rightly taken<br />
to contain it threaten families’ ability to feed<br />
<strong>the</strong>mselves.<br />
To build sustainable, resilient and<br />
harmonious societies, we must begin with <strong>the</strong><br />
food on our tables – where it comes from, how<br />
it reaches us, and what it means to us. No one<br />
18 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
should live with <strong>the</strong> fear that <strong>the</strong>y or<br />
<strong>the</strong>ir family should go hungry. No one<br />
should fear that <strong>the</strong> food and drink <strong>the</strong>y<br />
live on could put <strong>the</strong>ir health in danger.<br />
<strong>Our</strong> gardens of flowers could also<br />
accommodate fruits and vegetables.<br />
The focus in <strong>the</strong> developing world<br />
will soon shift from <strong>the</strong> immediate<br />
public health response to <strong>the</strong> virus,<br />
to how best to support jobs and <strong>the</strong><br />
economy, and to build a sustainable<br />
recovery. Economists warn that <strong>the</strong><br />
collapse in commodity prices, tourism<br />
and remittances is already having<br />
devastating consequences, even before<br />
<strong>the</strong> disease begins to spread and weak<br />
health systems struggle to cope.<br />
In developing countries, <strong>the</strong> virus<br />
poses a genuine threat to food security<br />
through disruption of international<br />
supply chains. The United Nations<br />
Food and Agriculture Organisation<br />
(UN FAO) found that <strong>the</strong> pandemic<br />
will significantly increase risks to food<br />
security and hinder humanitarian<br />
assistance operations. Even before <strong>the</strong><br />
virus struck, at <strong>the</strong> end of 2019, <strong>the</strong><br />
Global Network Against Food Crises<br />
found that 135 million people across<br />
55 countries and territories experienced<br />
acute food insecurity.<br />
Developing skills in farming and<br />
a move towards self-sufficiency in<br />
domestic food production must be at<br />
<strong>the</strong> centre of every country’s plan for a<br />
sustainable recovery. This will require<br />
a reversal of previous trends. UN<br />
research shows that as farming systems<br />
have modernised and intensified, <strong>the</strong><br />
amount of land available for farming<br />
has been growing ever more slowly. On<br />
current trends, arable land will grow at a<br />
rate of 0.4% in countries for which data<br />
is available, despite improvements in<br />
irrigation and farming technology.<br />
Qu Dongyu, Director-General of <strong>the</strong><br />
UN FAO has already called on nations<br />
to ‘streng<strong>the</strong>n local production and<br />
shorten food supply chains’. Noting <strong>the</strong><br />
potential for improved technological<br />
infrastructure to improve agricultural<br />
efficiency, Qu says ‘The crisis opens<br />
an opportunity to accelerate food<br />
system transformation’, ‘New business<br />
OUR WORLD | MAY 2020<br />
models are needed. It is <strong>the</strong> time to<br />
speed-up e-commerce in agriculture<br />
and food systems across <strong>the</strong> globe.’ I<br />
have instructed my bank, Hinduja Bank<br />
Switzerland, to develop this field so that<br />
it may become a reality for our clients<br />
across <strong>the</strong> world with India as our<br />
starting point.<br />
This starts with education, which<br />
goes fur<strong>the</strong>r to shape <strong>the</strong> world of <strong>the</strong><br />
future than any o<strong>the</strong>r intervention. The<br />
next generation of workers, political<br />
leaders and opinion formers must be<br />
trained and literate in <strong>the</strong> new priorities<br />
for <strong>the</strong> post-virus world. We must value<br />
agriculture, horticulture, hygiene and<br />
caring skills above all else. That should<br />
be reflected in our children’s curriculum<br />
and educational funding. As Co-Chair of<br />
<strong>the</strong> UN Global Accelerator Programme, I<br />
want to use this platform to encourage<br />
young entrepreneurs to take up <strong>the</strong><br />
mantle in this regard.<br />
National governments will need to<br />
create attractive schemes for students<br />
from different walks of life to want to live<br />
in semi-urban and rural development<br />
areas.<br />
Stories of panic buying in <strong>the</strong> early<br />
stages of <strong>the</strong> pandemic have led us to<br />
consider our food system. In <strong>the</strong> West,<br />
we have become used to just-in-time<br />
supply chains and a rapacious hunger<br />
for choice when it comes to food, with<br />
no regard to seasonality or where<br />
our food comes from. In time we may<br />
come to see this as emblematic of an<br />
era of unsustainable consumption, and<br />
change our ways.<br />
The developing world will leapfrog<br />
<strong>the</strong> West – it must not develop this<br />
unsustainable system, but should<br />
instead be at <strong>the</strong> forefront of creating<br />
an entirely new food system. Food<br />
production will work in harmony with<br />
<strong>the</strong> land and <strong>the</strong> seasons, designed<br />
according to principles of hygiene and<br />
providing employment for new rural<br />
communities. Population density will<br />
decrease, and community nursing<br />
and caring, teachers from our own<br />
communities will be ever more<br />
important.<br />
The role of semi-urban and<br />
rural communities in sustainable<br />
development is not a new agenda. My<br />
own fa<strong>the</strong>r, Mr S. P. Hinduja, was among<br />
<strong>the</strong> first to champion to <strong>the</strong> concept at<br />
<strong>the</strong> UN, and I picked up <strong>the</strong> <strong>the</strong>me when<br />
I addressed <strong>the</strong> UN General Assembly<br />
in 2014. In countries like India, we<br />
urged Governments and development<br />
agencies to build and develop semi<br />
urban and rural communities centred<br />
around <strong>the</strong> family. As we navigate<br />
through <strong>the</strong> crisis, a rural revolution can<br />
point <strong>the</strong> way to a sustainable future.<br />
It is vital that those privileged to gain<br />
international education that <strong>the</strong>y return<br />
to <strong>the</strong>ir communities to help with this<br />
work.<br />
Rural development and lower<br />
population density can be compatible<br />
with continued economic growth and<br />
sustainability. Developing agricultural<br />
infrastructure will create employment<br />
opportunities across <strong>the</strong> skills spectrum<br />
and will sustainably deploy <strong>the</strong> natural<br />
capital of less developed countries. My<br />
fa<strong>the</strong>r’s visionary approach of so many<br />
years ago has today become <strong>the</strong> reality<br />
and <strong>the</strong> truth of our future.<br />
We cannot, however, allow this crisis<br />
to foster a culture of dependence on<br />
international aid in <strong>the</strong> form of handouts.<br />
In <strong>the</strong> past 20 years, under <strong>the</strong> UN’s<br />
Sustainable Development Goals, huge<br />
progress has been made in ensuring<br />
that support for <strong>the</strong> developing world<br />
builds resilience and independence. We<br />
must ensure that <strong>the</strong> world we build<br />
after this pandemic is one in which<br />
developing countries shape <strong>the</strong>ir own<br />
destinies, create economies that reflect<br />
<strong>the</strong>ir own values, and learn <strong>the</strong>ir own<br />
lessons from <strong>the</strong> crisis.<br />
When this virus passes, we will have<br />
<strong>the</strong> opportunity to remake <strong>the</strong> world. As<br />
we all suffer at <strong>the</strong> hands of a common<br />
enemy, we must show compassion for<br />
one ano<strong>the</strong>r – and consider what it is<br />
we value in society. We must call on<br />
national and international leaders to<br />
clear <strong>the</strong>ir minds, listen to nature, and<br />
reflect on what we have learned in this<br />
crisis.<br />
19
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
SHUTTERSTOCK<br />
Streets are empty. Shops are shuttered.<br />
Offices are abandoned. Across Europe<br />
a number of weeks ago, buildings of<br />
work and leisure emptied of people and in<br />
parallel, domestic settings filled up. Millions of<br />
Europeans filled up houses and apartments,<br />
taking up residence for 24 hours a day, 7 days<br />
a week.<br />
Coronavirus, COVID-19, has pushed<br />
Europeans behind <strong>the</strong> doors of <strong>the</strong>ir homes<br />
and <strong>the</strong> dynamics of daily life have shifted. In<br />
reality, work to a certain extent has continued,<br />
childcare and care of older persons has<br />
expanded, and <strong>the</strong> monotony of life in<br />
confinement has set in.<br />
However, in addition to <strong>the</strong>se every day<br />
realities, in many European households a<br />
darker phenomenon is being played out,<br />
where women, men and children, are now<br />
locked up in close quarters for an indefinite<br />
amount of time with abusers. For many,<br />
domestic violence is as much a reality of life in<br />
confinement as work, childcare and boredom.<br />
The Istanbul Convention defines<br />
domestic violence as “all acts of physical,<br />
sexual, psychological or economic violence<br />
that occur within <strong>the</strong> family or domestic<br />
unit or between former or current spouses<br />
or partners, whe<strong>the</strong>r or not <strong>the</strong> perpetrator<br />
shares or has shared <strong>the</strong> same residence with<br />
<strong>the</strong> victim”. Domestic violence is played out in<br />
silence, behind closed doors, where nobody<br />
can hear or see. Instances have spiked during<br />
this lockdown period, with major increases<br />
reported in countries across <strong>the</strong> world. There<br />
are two factors that are contributing to this<br />
increase in cases.<br />
The first is that abusers, with more stress<br />
and pressure than normal, are locked into<br />
domestic settings. The OECD assesses that <strong>the</strong><br />
social consequences of COVID-19, such as <strong>the</strong><br />
loss of social interactions, additional stresses<br />
Frances<br />
Fitzgerald<br />
Irish member of <strong>the</strong><br />
European Parliament<br />
with <strong>the</strong> EPP Group – EPP<br />
Group Coordinator of <strong>the</strong><br />
European Parliament’s<br />
Committee on Women’s<br />
Rights and Gender Equality<br />
20 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Behind<br />
Closed<br />
Doors<br />
Domestic Violence Amid<br />
<strong>the</strong> COVID-19 <strong>Pandemic</strong><br />
By Frances Fitzgerald<br />
within <strong>the</strong> home and <strong>the</strong> inability to leave <strong>the</strong> home are likely to<br />
be used to justify violence. In addition, as men most frequently<br />
perpetrate domestic violence, it is significantly linked to power<br />
dynamics. In <strong>the</strong>se high-pressure times, violence is likely to be used<br />
as a way for men to reassert authority and control over women in <strong>the</strong><br />
domestic setting, lashing out in frustration at <strong>the</strong> current situation.<br />
The second factor is <strong>the</strong> lack of available support services for<br />
victims. While many meetings and services have moved online<br />
instead of in person, due to close proximity to abusers in <strong>the</strong><br />
household it is very difficult as well as often dangerous for victims<br />
to try to seek support or help through online fora. The consequences<br />
of <strong>the</strong>ir abuser discovering <strong>the</strong>ir efforts to seek help may be grievous.<br />
Toge<strong>the</strong>r, <strong>the</strong>se two factors allow <strong>the</strong> circle of violence to continue<br />
unabated, with tensions continuing to rise in <strong>the</strong> household while<br />
victims feel increasingly alone, abandoned and isolated. As politicians,<br />
it is our duty and responsibility to do whatever we can to protect all<br />
of our citizens during this period, not just from COVID-19, but also<br />
from o<strong>the</strong>r dangers that may be hiding within our neighbourhoods<br />
and communities.<br />
I am heartened to see action being taken in many EU Member<br />
States to tackle domestic violence in <strong>the</strong> current climate. In France<br />
for example, clinics have been set up in grocery stores to allow<br />
victims to seek help while <strong>the</strong>y are doing <strong>the</strong>ir shopping. In Spain,<br />
a code word has been circulated to allow women to seek help in<br />
pharmacies. In Ireland, a new campaign has been launched (stillhere.<br />
ie) to remind citizens to be on <strong>the</strong> lookout for domestic violence,<br />
and to provide support to victims. In countries across <strong>the</strong> continent<br />
and indeed across <strong>the</strong> world, funding for domestic violence support<br />
organisations has been offered <strong>by</strong> governments, while <strong>the</strong> attention<br />
of police officers has been drawn to <strong>the</strong> crime, and <strong>the</strong>y have been<br />
advised to be vigilant.<br />
As Minister for Justice in Ireland, in 2017 I brought forward<br />
legislation tackling domestic violence that allows for an immediate<br />
and temporary barring order from <strong>the</strong> home where <strong>the</strong>re is<br />
reasonable grounds to believe <strong>the</strong>re is an immediate risk of<br />
significant harm. Such orders will prove crucial during <strong>the</strong>se weeks.<br />
All of <strong>the</strong>se crucially important measures are aimed at helping<br />
and supporting victims. However, while politicians can put in place<br />
measures to try to tackle domestic violence, it is <strong>the</strong> actions of <strong>the</strong><br />
general public that are needed to combat this scourge. People know<br />
<strong>the</strong>ir neighbours, <strong>the</strong>y hear <strong>the</strong>m more and <strong>the</strong>y see <strong>the</strong>m more,<br />
even just when putting out <strong>the</strong> bins or sitting on <strong>the</strong> balcony. With<br />
technology, we are in touch with family and friends often much more<br />
than we have been in years.<br />
The reality is that <strong>the</strong> greatest action we can take when it comes<br />
to combating domestic violence will be <strong>the</strong> vigilance and attention<br />
paid <strong>by</strong> <strong>the</strong> general public, <strong>by</strong> friends, <strong>by</strong> family and <strong>by</strong> neighbours.<br />
So, while you are checking in with at risk neighbours, while you are<br />
doing grocery shopping for elderly relatives, or even while you are<br />
reading your book and happen to hear something strange from<br />
next door, pause for a moment and pick up <strong>the</strong> phone, just to check<br />
if everything is ok. Because in <strong>the</strong>se times, behind closed doors, it<br />
really is better to be safe than sorry.<br />
OUR WORLD | MAY 2020<br />
21
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
Leadership Reconceptualized: A Compass<br />
for <strong>the</strong> Leaders of <strong>the</strong> New Global Era<br />
By Vassili Apostolopoulos<br />
The New Era<br />
Deconstructing <strong>the</strong> New Era, is a formidable task.<br />
As I am writing <strong>the</strong>se lines, <strong>the</strong> world has nearly<br />
stopped, with more than 180 countries fighting<br />
<strong>the</strong> Coronavirus, imposing different forms of<br />
social distancing and lockdown measures.<br />
The pandemic of COVID-19 has changed <strong>the</strong><br />
world in ways and to lengths that we can<br />
still not begin to fathom. Economics, politics,<br />
international relations, and governance, on<br />
all levels seem to be fundamentally changing.<br />
The ways in which firms, governments,<br />
international organizations, societies, and<br />
even families and individuals operate will<br />
change forever. Until a fully-fledged and widely<br />
available vaccine alleviates <strong>the</strong> health risk and<br />
contributes to efficiently managing <strong>the</strong> crisis,<br />
social distancing, restrictive measures in work<br />
and travel, fear and insecurity, instability and<br />
uncertainty will be part of our lives. And, even<br />
after <strong>the</strong> vaccine, <strong>the</strong> major global effort of<br />
preventing <strong>the</strong> next pandemic, <strong>by</strong> building a<br />
sustainable early warning system with solid<br />
safeguards and rapid response mechanisms<br />
across <strong>the</strong> globe and within states and societies<br />
will need to become our top priority.<br />
Leadership, Global Governance<br />
& <strong>the</strong> Next <strong>Pandemic</strong><br />
pandemic- for which we had been warned a year<br />
in advance, in 2008 and had failed to act. More<br />
systematic global monitoring, early warning<br />
and proactive prevention models, need to be<br />
developed on a global level. Crucial institutions<br />
like <strong>the</strong> <strong>World</strong> Health Organization and <strong>the</strong><br />
United Nations will need to be revamped,<br />
streng<strong>the</strong>ned and upgraded. Shortcomings<br />
in global leadership during <strong>the</strong> COVID-19<br />
pandemic came at a great cost, and a major<br />
global crisis was treated very poorly and highly<br />
unsystematically in some of its most decisive<br />
phases. Leadership cannot be a la carte, and<br />
global cooperation in <strong>the</strong> face of existential<br />
global crises cannot be elective. <strong>Pandemic</strong>s,<br />
climate change, conflicts, resource scarcity, and<br />
o<strong>the</strong>r major crises or challenges that require to<br />
some measure global responses, will need to be<br />
managed differently going forward. If not, <strong>the</strong><br />
next crisis may be one with unthinkable damage<br />
to our world and societies.<br />
Simply put, if we were to have ano<strong>the</strong>r<br />
pandemic in 2022 with a different deadly<br />
virus, could we survive it? And at what cost?<br />
The global political economy and <strong>the</strong> very fabric<br />
of our societies nearly crumbled <strong>the</strong> past two<br />
months. A change of course is inevitable, if we<br />
want to secure <strong>the</strong> future of this world. And<br />
fresh leadership on all levels is direly needed.<br />
Vassili<br />
Apostolopoulos<br />
CEO of <strong>the</strong> A<strong>the</strong>ns<br />
Medical Group<br />
(AMG) - President<br />
of <strong>the</strong> Hellenic<br />
Entrepreneurs<br />
Association (EENE)<br />
Averting <strong>the</strong> next <strong>Pandemic</strong>, is <strong>the</strong> foremost<br />
collective responsibility, for leaders of all<br />
fields; from politicians to doctors, from health<br />
experts to corporate leaders, from researchers<br />
to philanthropists; we all need to contribute<br />
to <strong>the</strong> race for a vaccine, for effective and<br />
accessible cures, but also, to develop <strong>the</strong><br />
action plan which will change <strong>the</strong> habits and<br />
<strong>the</strong> vicious cycles that generate new viruses. In<br />
our interconnected world, where poor hygienic<br />
conditions in a wet market in China, can within<br />
months bring <strong>the</strong> world into a standstill, global<br />
governance undoubtedly requires an overhaul.<br />
The same applies to dealing with <strong>the</strong> root<br />
causes of infectious diseases such as influenzas,<br />
<strong>the</strong> bird flu, and <strong>the</strong>n <strong>the</strong> swine flu -<strong>the</strong> previous<br />
The Domestic Dimension:<br />
Health (&) Economics Revisited<br />
For most countries around <strong>the</strong> world, <strong>the</strong><br />
COVID-19 pandemic has been an existential<br />
challenge. The predominant fear has been <strong>the</strong><br />
risk of a collapse of <strong>the</strong> national health systems;<br />
with healthcare seen as a mix of separate and<br />
antagonistic spheres – public health, private<br />
healthcare, supporting infrastructure such as<br />
health units belonging to <strong>the</strong> armed forces, or<br />
<strong>the</strong> police; and very different responses in each<br />
country, even within <strong>the</strong> European Union. For<br />
example Greece, emerged as one of <strong>the</strong> world’s<br />
most exemplary cases of good management<br />
of <strong>the</strong> crisis, when larger states in Europe,<br />
22 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Eurasia and even <strong>the</strong> US, fell short of a<br />
well-coordinated and timely response.<br />
In regions of Italy, for example,<br />
<strong>the</strong> capacity of <strong>the</strong> health systems<br />
was exceeded, with devastating<br />
ramifications. Better and more<br />
comprehensive planning of health<br />
systems will be imperative, and <strong>the</strong><br />
pandemic has catalyzed a multilayered<br />
rethink of <strong>the</strong> complementarity of<br />
public and private healthcare, as well as<br />
<strong>the</strong> decisive investments needed in so<br />
many countries to furnish <strong>the</strong>ir health<br />
systems going forward. Private-public<br />
partnerships, coordinated research and<br />
innovation campaigns, unprecedented<br />
national and international synergies will<br />
need to be part of <strong>the</strong> new compass if<br />
we are to emerge victorious in <strong>the</strong> longgame<br />
too.<br />
Rebuilding our Economies<br />
& <strong>the</strong> New <strong>World</strong> Order<br />
The global political economy has<br />
shifted. The balance of power too. The<br />
world has transitioned to multipolarity<br />
and <strong>the</strong> aftermath of COVID-19 will<br />
inevitably demarcate a new era. Several<br />
pre-existing trends and dynamics – such<br />
as digitization, digital transformation,<br />
e-learning - have been accelerated,<br />
and new have emerged. I wonder<br />
who believes that travel and mobility<br />
will rapidly return to <strong>the</strong> status quo<br />
ante. Or who can now imagine that<br />
all <strong>the</strong>se convenient tele-conference<br />
and e-meeting platforms will simply go<br />
away. So much time, money and energy<br />
is saved. Productivity unlocked. We are<br />
looking at a new normal, not a return to<br />
<strong>the</strong> pre-COVID-19 reality. E-commerce,<br />
greater degrees of energy autonomy, a<br />
rethink of <strong>the</strong> agrofood economy, <strong>the</strong><br />
role of agrotech, better monitoring of<br />
food production globally, <strong>the</strong> degrees<br />
of self-sufficiency, are just a few of <strong>the</strong><br />
dynamics that we will be called upon<br />
to manage in <strong>the</strong> coming months.<br />
The applications of 3D-printing, <strong>the</strong><br />
importance of good internet access, <strong>the</strong><br />
costs of pollution and <strong>the</strong> need for clean<br />
cities, <strong>the</strong> importance of well-organized<br />
states and societies, good hygiene and<br />
OUR WORLD | MAY 2020<br />
<strong>the</strong> notions of collective and individual<br />
responsibility are just some thoughts of<br />
what’s now becoming part of today and<br />
cannot be allowed to be lost tomorrow.<br />
In o<strong>the</strong>r words, <strong>the</strong> way now is forward;<br />
and we cannot move forward swiftly<br />
if we are to keep carrying with us <strong>the</strong><br />
burdens of <strong>the</strong> past.<br />
In <strong>the</strong> digital realm, it appears that<br />
globalization will continue to accelerate;<br />
in <strong>the</strong> physical realm, however, <strong>the</strong><br />
return of national borders and different<br />
degrees of isolationism suggest that<br />
globalization as we experienced it before<br />
2020, will change. A new set of rules<br />
must be agreed upon in healthcare,<br />
medical research, sustainability,<br />
<strong>the</strong> food industry, immigration and<br />
environmental policies.<br />
The rise of e-commerce, coupled<br />
with <strong>the</strong> evolution of robotics, will create<br />
new pressing challenges – for real estate<br />
and employment. And <strong>the</strong>se dynamics<br />
that are rapidly unfolding, accelerated<br />
<strong>by</strong> <strong>the</strong> pandemic, come at a time when<br />
<strong>the</strong> preventive measures imposed have<br />
affected close to 3 billion professionals<br />
(or 81% of <strong>the</strong> global workforce<br />
according to <strong>the</strong> ILO), and when<br />
unemployment is rising exponentially in<br />
SHUTTERSTOCK<br />
some of <strong>the</strong> world’s leading economies<br />
(e.g. US and UK).<br />
Corporate leaders who acted fast<br />
in response to <strong>the</strong> pandemic, placing<br />
corporate social responsibility and <strong>the</strong>ir<br />
patriotic responsibility above all else, will<br />
most likely find a warmer embrace <strong>by</strong><br />
<strong>the</strong> public in <strong>the</strong> new era, rewarded for<br />
putting health before profits and human<br />
life before balance sheets. The need for<br />
fresh leadership from businesses will<br />
once again be pivotal, in rescuing <strong>the</strong><br />
economy and ensuring a rapid recovery.<br />
Most countries are looking at a massive<br />
recession in 2020, anywhere between<br />
5-15% of GDP. Innovation, new business<br />
strategies, new revenue models, more<br />
circular business ecosystems, more<br />
sustainable projects and investments,<br />
cleaner and greener will have to be part<br />
of <strong>the</strong> new compass. More furnished<br />
and safer supply chains, comprehensive<br />
global agro-food standards, upgraded<br />
monitoring, empowered international<br />
organizations and more powerful,<br />
responsible states. Not because it is<br />
<strong>the</strong> right thing to do. Not out of ethical<br />
commitments to future generations.<br />
But because we all know now, that our<br />
very survival depends on it.<br />
23
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
The Quest for<br />
<strong>the</strong> Single<br />
Antibody to End<br />
<strong>the</strong> COVID-19<br />
<strong>Pandemic</strong><br />
By Jake Glanville & Aishani Aatresh<br />
Dr. Jake<br />
Glanville and<br />
Aishani<br />
Aatresh<br />
Jake Glanville<br />
Distributed Bio, CEO &<br />
Founding Partner<br />
& Aishani Aatresh<br />
Computational<br />
Immunoengineering<br />
Affiliate at Distributed<br />
Bio<br />
The Beginning<br />
Although it may now feel like an<br />
entirely distant past, just three short<br />
months ago on January 22, Netflix<br />
released <strong>Pandemic</strong>: How to Prevent an<br />
Outbreak.<br />
Over a year prior, our company<br />
Distributed Bio was tapped for this<br />
docuseries because of our work on<br />
broad-spectrum vaccine technologies<br />
for influenza (spearheaded <strong>by</strong> team<br />
lead Sarah Ives) that was eventually<br />
awarded a Gates Grand Challenge<br />
Award for “Ending <strong>the</strong> <strong>Pandemic</strong><br />
Threat.” That Wednesday in January,<br />
<strong>the</strong> company watched <strong>the</strong> first three<br />
episodes toge<strong>the</strong>r in a rented <strong>the</strong>ater,<br />
<strong>the</strong> screening marked <strong>by</strong> Jake’s joking<br />
that no one would see <strong>the</strong> series due<br />
to <strong>the</strong> sheer number of titles of Netflix.<br />
But in a turn of events that can<br />
only be termed a spooky coincidence,<br />
a novel coronavirus was spreading<br />
exponentially and <strong>the</strong> world was on its<br />
way to a pandemic. On January 23, <strong>the</strong><br />
central government of China ordered a<br />
lockdown in Wuhan and o<strong>the</strong>r localities<br />
of <strong>the</strong> Hubei province, effectively<br />
quarantining 57 million people. Over<br />
<strong>the</strong> next few weeks, SARS-CoV-2 became<br />
seemingly <strong>the</strong> only thing <strong>the</strong> world could<br />
talk about — and <strong>Pandemic</strong> became one<br />
of <strong>the</strong> most popular titles on Netflix.<br />
Life at Distributed Bio began to<br />
move at a breakneck pace right after <strong>the</strong><br />
quarantine order in China. On January<br />
27, Jake flew to Washington, D.C. with his<br />
wife Erin and ba<strong>by</strong> daughter Seraphine<br />
to attend <strong>the</strong> American Society for<br />
Microbiology Biothreats conference<br />
and meet with DARPA (<strong>the</strong> Defense<br />
Advanced Research Projects Agency,<br />
an agency within <strong>the</strong> Department of<br />
Defense) and BARDA (<strong>the</strong> Biomedical<br />
Advanced Research and Development<br />
Authority, an office of <strong>the</strong> Department<br />
of Health and Human Services).<br />
Dr. Anthony Fauci, Director of<br />
<strong>the</strong> National Institute of Allergy and<br />
Infectious Disease and now-member<br />
of <strong>the</strong> White House Coronavirus Task<br />
Force, was also in attendance. He<br />
remarked that <strong>the</strong> virus was likely no<br />
longer containable.<br />
He was not shaking hands.<br />
The BARDA meeting ended up being<br />
canceled, while <strong>the</strong> DARPA meeting still<br />
stood for <strong>the</strong> following day but just to<br />
discuss <strong>the</strong> novel coronavirus. Jake<br />
retreated from <strong>the</strong> conference and<br />
returned with a plan to engineer new<br />
medicines for <strong>the</strong> virus. When Jake, Dr.<br />
David Gangemi (Director of Virology),<br />
and Stephanie Wisner (a new team<br />
member working with Centivax, <strong>the</strong><br />
spinout <strong>the</strong>rapeutics company from<br />
Distributed Bio) eventually met with<br />
DARPA, <strong>the</strong> agency expressed interest<br />
— but <strong>the</strong>y had already given funding<br />
away. Regardless, Jake decided to<br />
proceed, contacting Shahrad Daraeikia<br />
and Jack Wang at Distributed Bio to<br />
spearhead <strong>the</strong> effort to rapidly generate<br />
a neutralizing monoclonal antibody<br />
against <strong>the</strong> viral coat protein <strong>by</strong> evolving<br />
a panel of known neutralizing antibodies<br />
against SARS, a cousin of SARS-CoV-2.<br />
(Antibodies are proteins that serve<br />
as <strong>the</strong> soldiers of <strong>the</strong> body’s immune<br />
system that fight various pathogens<br />
in a highly specific, lock-and-key-esque<br />
relationship.)<br />
The following week, he and Sarah<br />
flew to <strong>the</strong> Gates Foundation in Seattle,<br />
Washington to meet o<strong>the</strong>r awardees<br />
of <strong>the</strong> “End <strong>the</strong> <strong>Pandemic</strong> Threat”<br />
Grand Challenge award. Over <strong>the</strong> next<br />
five weeks, Shahrad and Jack ran <strong>the</strong><br />
COVID-19 program as a side project;<br />
<strong>the</strong> disease continued to progress<br />
alarmingly — in Wuhan, <strong>the</strong>n Europe,<br />
and <strong>the</strong>n Seattle and New York.<br />
On March 11, <strong>the</strong> <strong>World</strong> Health<br />
Organization declared COVID-19 a<br />
pandemic.<br />
Moments of Truth<br />
By March 16, six counties around<br />
<strong>the</strong> San Francisco Bay Area were given<br />
a stay-at-home order, bringing Nor<strong>the</strong>rn<br />
California (and, eventually, <strong>the</strong> entire<br />
state) to a screeching halt. A COVID-19<br />
case had been reported at Audentes, a<br />
company that shares <strong>the</strong> building with<br />
Distributed Bio, so both its sites had<br />
to be scrubbed. <strong>Our</strong> employees were<br />
growing increasingly concerned, as<br />
24 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
many were starting to learn of second or third-degree exposure to<br />
known cases. The COVID-19 project was progressing to demand<br />
more time and more people, just as <strong>the</strong> ability to wield more of<br />
ei<strong>the</strong>r was quickly diminishing. Over <strong>the</strong> course of <strong>the</strong> day, Jake<br />
talked to employees about discussing <strong>the</strong>ir willingness and level of<br />
comfort to come in on a voluntary basis to work on <strong>the</strong> COVID-19<br />
with <strong>the</strong>ir families.<br />
That night, he went home feeling defeated, not knowing<br />
whe<strong>the</strong>r or not <strong>the</strong> effort was dead in <strong>the</strong> water. However, that<br />
question was answered just <strong>the</strong> next morning: Jake woke up to<br />
an army, <strong>the</strong> whole team engaged and ready to be <strong>the</strong> David to<br />
<strong>the</strong> Goliath of COVID-19.<br />
This rallying cry took <strong>the</strong> fight to <strong>the</strong> next level. We designed<br />
an ultra-accelerated strategy to engineer and identify <strong>the</strong> optimal<br />
antibodies for <strong>the</strong>rapeutics candidates, <strong>the</strong> entire company<br />
working on just this one project given health constraints — a<br />
remarkable experience for <strong>the</strong> team. We began working in<br />
shifts, days and nights and weekdays and weekends, braving<br />
engineering hiccups and supply chain interruptions in addition<br />
to <strong>the</strong> pandemic itself.<br />
On March 30th, that resilience and streamlined efficiency<br />
paid off. We had official confirmation that we had succeeded<br />
and generated hundreds of hits with high-quality antibodies<br />
against <strong>the</strong> virus (with multiple extremely high-affinity, picomolar<br />
binders). Over <strong>the</strong> past month, we have filtered through <strong>the</strong>se<br />
candidate molecules, identified our leads, and sent <strong>the</strong>m across<br />
<strong>the</strong> world for o<strong>the</strong>r groups to run neutralization and in-vivo<br />
studies or utilize for diagnostic tests.<br />
The Road Ahead<br />
However, <strong>the</strong> fight is far from over. <strong>Our</strong> mission is to engineer<br />
medicines that matter at a price <strong>the</strong> world can afford. The specific<br />
goal with COVID-19 is two-fold: one, produce a medicine that<br />
would end <strong>the</strong> pandemic this fall <strong>by</strong> providing treatments in<br />
hospitals for those who are already sick — something a vaccine<br />
cannot do — and offering short-term immunity as a prophylactic<br />
for <strong>the</strong> healthcare workers and o<strong>the</strong>rs at <strong>the</strong> front lines, and two,<br />
to produce a broad-spectrum antibody so we never have to worry<br />
about an outbreak from <strong>the</strong> coronavirus family ever again. But<br />
while it is scientifically demanding to engineer medicines that<br />
matter at such an accelerated pace, it is also a major financial<br />
challenge.<br />
Distributed Bio has never taken venture capital money<br />
and is entirely self-funded, but <strong>the</strong> expenses of scaling up<br />
manufacturing and clinical trials run in <strong>the</strong> many hundreds of<br />
millions of dollars. We are actively working on expediting <strong>the</strong><br />
process and acquiring funding from a variety of sources that don’t<br />
require us to compromise on our mission, but we are running<br />
into bureaucracies on a variety of avenues that are a challenge<br />
in a difficult time of crisis. At <strong>the</strong> same time, in part due to <strong>the</strong><br />
release of <strong>Pandemic</strong>, we have attracted media attention from a<br />
variety of high-profile outlets ranging from The New York Times<br />
and MIT Technology Review to CNBC, MSNBC, and Fox, and we<br />
have built a strong grassroots support network that has become<br />
OUR WORLD | MAY 2020<br />
an invaluable part of this journey.<br />
Although we’re just out of <strong>the</strong> discovery phase of <strong>the</strong> drug<br />
development process, a few exceedingly clear ideas have<br />
emerged over our work of <strong>the</strong> last few weeks that will certainly<br />
continue to unfold over <strong>the</strong> coming months.<br />
First, our computationally guided immunoengineering<br />
platforms meant that a team of 30 people — and really 3<br />
people for <strong>the</strong> first 6 weeks — completed engineering as fast as<br />
pharmaceutical companies with over $100 million of government<br />
financial support to engineering effective antibodies <strong>the</strong> fastest. If<br />
this shows nothing else, it demonstrates <strong>the</strong> emerging power of<br />
new technologies and, in <strong>the</strong> words of anthropologist Margaret<br />
Mead, to “[n]ever doubt that a small group of thoughtful,<br />
committed citizens can change <strong>the</strong> world; indeed, it’s <strong>the</strong> only<br />
thing that ever has.”<br />
Second, it highlights how crucial it is that our goals are not<br />
myopic. As with a universal influenza vaccine and universal<br />
antivenom, we have set out to treat not only <strong>the</strong> current crisis,<br />
but also to target <strong>the</strong> SARS-CoV-3, SARS-CoV-4, and any future<br />
coronavirus threat that will ever attempt to plague humanity<br />
again <strong>by</strong> generating broad-spectrum anti-coronavirus antibodies.<br />
While extreme social distancing as a non-pharmaceutical<br />
intervention has proven vital to reduce death rates and keep<br />
healthcare systems above water, its socioeconomic impacts have<br />
been devastating. National and international shutdowns cannot<br />
be <strong>the</strong> answer for every pandemic or sub-wave of a pandemic.<br />
As a scientific community, we need to look to <strong>the</strong> future and<br />
ensure that we are solving <strong>the</strong> forever war against all versions of<br />
coronavirus, and as a global community, we need to fund those<br />
solutions in order to be prepared and able to act quickly.<br />
Finally, our unique position compared to large venture-backed<br />
organizations of being an underdog, but one with extensive media<br />
exposure and global grassroots support, creates for us a better<br />
chance of an extra-financial objective of creating a permanently<br />
more healthy society. Science to create medicines is invaluable,<br />
but <strong>the</strong> people who receive <strong>the</strong> medicines should be <strong>the</strong> “why”<br />
behind <strong>the</strong> entire scientific system. The flexibility afforded <strong>by</strong><br />
our financial structure as well as <strong>the</strong> strategic collaboration it<br />
necessitates enables us to address some of <strong>the</strong> fundamental<br />
limitations of pharma and traditional funding that do not reward<br />
medicines that shrink <strong>the</strong>ir own markets, price out patients from<br />
lifesaving medicines, and fail to reach major segments of <strong>the</strong><br />
global population.<br />
The COVID-19 pandemic is just <strong>the</strong> beginning. If we approach<br />
<strong>the</strong> next few months <strong>the</strong> right way and mobilize <strong>the</strong> international<br />
community, <strong>the</strong> crisis of this pandemic can be all but over <strong>by</strong> fall<br />
through <strong>the</strong> right combination of testing, contacting tracing, and<br />
just one successful clinically proven antibody <strong>the</strong>rapeutic. And<br />
if we continue charging ahead, it will also be just <strong>the</strong> beginning<br />
of <strong>the</strong> fight for a pathogen-free humanity — engineering broadspectrum<br />
medicines for <strong>the</strong> world to ensure that <strong>the</strong> next possible<br />
pandemic and every single one after that will never be anything<br />
more than a mild outbreak.<br />
Stay healthy, and stay safe.<br />
25
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
Nurses – The Heroes at <strong>the</strong><br />
Frontline of Healthcare<br />
By Paul de Raeve<br />
When health crisis occurs, <strong>the</strong><br />
nursing profession is always<br />
at <strong>the</strong> frontline working for<br />
citizens and patients. This has been part<br />
of <strong>the</strong> European history since <strong>the</strong> time<br />
of Florence Nightingale. In times of war<br />
and pandemics, when <strong>the</strong> population<br />
needs healing and support, <strong>the</strong> nurses<br />
are at <strong>the</strong> frontline day and night.<br />
All of <strong>the</strong>se are <strong>the</strong> reality in <strong>the</strong><br />
present time too, in which <strong>the</strong> ongoing<br />
COVID19 pandemic is greatly impacting<br />
EU citizens life. Many EU countries have<br />
put <strong>the</strong>ir populations in lockdown for<br />
a few weeks already, with very few<br />
exceptions. The soundest are <strong>the</strong> nurses<br />
and <strong>the</strong> healthcare professionals,<br />
who still need to go to work, often<br />
unprotected and untrained on <strong>the</strong><br />
COVID-19 disease. Locked citizens have<br />
expressed <strong>the</strong>ir appreciation to <strong>the</strong><br />
frontline nursing workforce, <strong>by</strong> signing,<br />
<strong>by</strong> applauding, and even donating<br />
funds. Nurses’ holistic and altruistic<br />
approach to healthcare made respectful<br />
and even admirable to citizens.<br />
In <strong>the</strong> current context, nurses<br />
are labelled as “heroes” <strong>by</strong> citizens<br />
and stakeholders precisely because<br />
of <strong>the</strong> conditions in which <strong>the</strong>y are<br />
approaching <strong>the</strong>ir frontline nursing care.<br />
When citizens get infected <strong>by</strong> COVID-19<br />
disease and need hospitalisation, all<br />
<strong>the</strong>ir human interaction for a period<br />
of time will be reduced and nurses are<br />
central to human dignity, ensuring a<br />
quick and efficient recovery. This is<br />
nursing care. However, in doing so,<br />
<strong>the</strong> lack of protective equipment and<br />
knowledge exposing frontline to get<br />
infected, and even to bring <strong>the</strong> disease<br />
back to <strong>the</strong>ir families when <strong>the</strong>y go<br />
home, is a huge concern to nurses, as<br />
<strong>the</strong>y are <strong>the</strong> ones touching <strong>the</strong> patients,<br />
washing <strong>the</strong> patients, providing <strong>the</strong><br />
most complex care needed. For some<br />
patients who die from <strong>the</strong> disease,<br />
<strong>the</strong>re are cases of nurses who have set<br />
videocalls with <strong>the</strong>ir relatives so <strong>the</strong>y<br />
could say good<strong>by</strong>e. There are cases of<br />
nurses sleeping at healthcare facilities,<br />
to make sure that <strong>the</strong>y do not spread<br />
<strong>the</strong> disease to <strong>the</strong>ir families. For all of<br />
SHUTTERSTOCK<br />
<strong>the</strong>se, <strong>the</strong> population rightly identifies<br />
nurses as “heroes”.<br />
But let’s be realistic!<br />
The COVID-19 outbreak has proved<br />
<strong>the</strong> need of a holistic and integrated<br />
approach. The outbreak occurred in a<br />
context in which most EU healthcare<br />
systems were already under heavy<br />
pressure due to already existing<br />
26 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Paul de Raeve<br />
Secretary General<br />
of <strong>the</strong> European<br />
Federation of Nurses<br />
Associations<br />
OUR WORLD | MAY 2020<br />
challenges: <strong>the</strong> rise in life expectancy, <strong>the</strong><br />
ageing population, <strong>the</strong> growing number<br />
of people living with comorbidities and<br />
chronic diseases, etc. As a result, some<br />
already existing structural weaknesses<br />
have now deepened.<br />
And nurses were still recovering from<br />
<strong>the</strong> aftermath of <strong>the</strong> economic crisis of<br />
2008, which negatively influenced <strong>the</strong><br />
nursing workforce. Covid19 has shown<br />
that Europe’s healthcare systems need<br />
to be streng<strong>the</strong>ned to be better prepared<br />
to future possible scenarios such as<br />
<strong>the</strong> current pandemic. Sufficient and<br />
safe workforce staffing levels are key<br />
for <strong>the</strong> right functioning of healthcare<br />
ecosystems. Healthcare systems were<br />
dramatically understaffed with highly<br />
qualified general care nurses (DIR55)<br />
and to alleviate <strong>the</strong> situation, several EU<br />
countries have introduced emergency<br />
measures such as hiring back retired<br />
healthcare professionals or introducing<br />
student nurses as assistants. Of course,<br />
<strong>the</strong>se measures are not taken without a<br />
risk.<br />
Due to <strong>the</strong>ir involvement, European<br />
nurses expect <strong>the</strong> EU and national leaders<br />
to be involved to <strong>the</strong> same extent, and<br />
to take concrete and immediate actions<br />
to support <strong>the</strong>m, <strong>the</strong> “heroes” of <strong>the</strong><br />
COVID-19 pandemic. EU institutions,<br />
governments and all health stakeholders<br />
should immediately take concrete actions:<br />
Support <strong>the</strong> EU health workforce,<br />
in particular <strong>the</strong> nursing workforce, to<br />
respond to <strong>the</strong> challenges of Infectious<br />
Diseases of High Consequences (IDHC)<br />
without compromising its safety and<br />
wellbeing, through coordinating and<br />
building capacity in <strong>the</strong> nursing workforce,<br />
providing fur<strong>the</strong>r access to vital education<br />
and training that includes opportunities<br />
for regular drills on donning and doffing<br />
PPE, and assuring <strong>the</strong> provision of<br />
adequate resources and support for a<br />
safe working environment.<br />
The ongoing pandemic proved <strong>the</strong><br />
European Commission that its structures<br />
were not prepared to protect <strong>the</strong><br />
health workforce. At <strong>the</strong> national level,<br />
protection and testing devices were<br />
insufficient and, in some cases, not even<br />
available. This translated into avoidable<br />
risks for <strong>the</strong> nursing workforce, who had<br />
to approach <strong>the</strong> frontline unprotected<br />
and sometimes unprepared, often with<br />
deadly consequences.<br />
Fur<strong>the</strong>rmore, co-creating and codesigning<br />
with frontline nurses fitfor-purpose<br />
political decision-making<br />
processes and policies for IDHC<br />
preparedness is a must. This is a challenge<br />
for <strong>the</strong> European Commission as <strong>the</strong>ir<br />
only counterparts are <strong>the</strong> Member<br />
States and sometimes academics who<br />
<strong>the</strong>y ask for advice, but not frontline<br />
healthcare professionals. Healthcare<br />
professionals, in particular nurses, are<br />
often kept out of <strong>the</strong> decision-making<br />
equation, making political actions often<br />
unfit-for-purpose. This accounts for <strong>the</strong><br />
lack of pragmatism in <strong>the</strong> decision taken<br />
<strong>by</strong> national governments in handling <strong>the</strong><br />
COVID-19 crisis.<br />
The new coronavirus outbreak proves<br />
that more EU support to <strong>the</strong> frontline is<br />
needed when emergencies emerge. EU<br />
citizens need EU policies that protect<br />
frontline staff from working overtime and<br />
of being continuously understaffed.<br />
The nursing workforce will need to be<br />
better equipped to be able to handle <strong>the</strong><br />
next pandemic. The COVID-19 outbreak<br />
is having an unforeseen impact across all<br />
EU countries, and it is affecting all layers<br />
of society.<br />
In sum, EU institutions, national<br />
governments, and all health stakeholders,<br />
need to make sure that <strong>the</strong> nursing<br />
workforce is approaching <strong>the</strong> frontline<br />
with <strong>the</strong> right equipment, training, and<br />
staffing levels. And that should be done<br />
not only for <strong>the</strong>m, but for <strong>the</strong> interest of<br />
EU citizens and patients too.<br />
The European Commission continues<br />
being a stakeholder with whom <strong>the</strong><br />
nursing profession engages in constant<br />
dialogue, but a new area of cooperation<br />
has arisen coordinating actions to tackle<br />
<strong>the</strong> health crisis with <strong>the</strong> EU Member<br />
States. Moreover, <strong>the</strong> EFN continues being<br />
engaged with all interested EU and health<br />
stakeholders to do what is best for <strong>the</strong><br />
frontline nursing profession across <strong>the</strong> EU<br />
and Europe, and in doing so, maximising<br />
<strong>the</strong> health outcomes of patients affected<br />
<strong>by</strong> <strong>the</strong> COVID-19 disease.<br />
27
LEADERSHIP IN CRISIS & FRONTLINE HEROES<br />
5G: A Backbone for Europe’s<br />
Economic Recovery<br />
By Afke Schaart<br />
Afke Schaart<br />
Vice President and<br />
Head of Europe,<br />
Russia and CIS<br />
countries of <strong>the</strong> GSMA<br />
- Former Member of<br />
<strong>the</strong> Parliament of <strong>the</strong><br />
Ne<strong>the</strong>rlands<br />
One of <strong>the</strong> biggest strengths<br />
of <strong>the</strong> GSMA is our ability to<br />
convene 110,000 people from<br />
90 countries for <strong>the</strong> annual Mobile<br />
<strong>World</strong> Congress in Barcelona – suddenly<br />
became a challenge in <strong>the</strong> face of a fastmoving<br />
new virus, COVID-19. We were<br />
forced to cancel <strong>the</strong> trade show on<br />
February 12, when many still said <strong>the</strong>re<br />
was no reason to fear.<br />
Leadership in crisis takes guts.<br />
In <strong>the</strong> weeks that followed, we have<br />
cancelled o<strong>the</strong>r global events, examined<br />
priorities and realigned resources to<br />
help meet unprecedented challenges<br />
confronting <strong>the</strong> mobile communications<br />
industry and political leaders.<br />
One of our first actions was to<br />
coordinate <strong>the</strong> sharing of aggregated<br />
and anonymised mobile data between<br />
Europe’s largest telecom operators and<br />
<strong>the</strong> European Commission to help track<br />
COVID-19 and determine where medical<br />
equipment is needed.<br />
In April, we published our new<br />
Privacy Principles for COVID-19 to<br />
promote best practice for handling<br />
mobile data to fight <strong>the</strong> spread of <strong>the</strong><br />
virus. Recognising <strong>the</strong> urgency with<br />
which governments must act, <strong>the</strong><br />
guidelines provide a tool to address <strong>the</strong><br />
privacy issues that must be considered<br />
to ensure public trust.<br />
<strong>Our</strong> strength – more than 200<br />
mobile network operators in Europe<br />
and 750 globally – remains crucial in<br />
an economic and political environment<br />
responding to demands and concerns in<br />
an evolving situation. The GSMA is more<br />
committed than ever to governance of a<br />
digital world based on common values<br />
that underpin <strong>the</strong> single market.<br />
As a non-profit association, <strong>the</strong><br />
GSMA works across industries to align<br />
best practices around AI and technology<br />
standards for electronic SIM cards,<br />
for example. We coordinate industry<br />
working groups to combat cyber<br />
threats, and to promote <strong>the</strong> adoption<br />
of international safety guidelines for<br />
electromagnetic exposure.<br />
That work has an urgent sense of<br />
28 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
purpose in this crisis: Cybercrime has spiked and critical<br />
network infrastructure has come under attack. Arsonists<br />
have set fire to more than 80 telecoms antennas in eight<br />
European countries and scores of frontline engineers have<br />
been harassed <strong>by</strong> people who believed conspiracy <strong>the</strong>ories<br />
and false claims linking 5G technology to COVID-19.<br />
In our fight against <strong>the</strong> surge in misinformation and fake<br />
news on social media, we shared evidence of <strong>the</strong> damage<br />
The mobile industry needs<br />
a united voice because<br />
decisions made in <strong>the</strong><br />
coming months around<br />
rules for digital services,<br />
AI and competition,<br />
for example, will have<br />
profound consequences<br />
for businesses and citizens<br />
throughout Europe.<br />
SHUTTERSTOCK<br />
to telecom networks with policymakers and international<br />
organisations. Following an independent review, <strong>the</strong><br />
<strong>World</strong> Health Organization, added 5G to its Myths Buster<br />
webpage about false causes and cures. The International<br />
Telecommunication Union also issued a statement confirming<br />
that <strong>the</strong>re is no scientific link between 5G and COVID-19. We<br />
continue to work across institutions and with news media<br />
to dispel public fears contrary to science and decades of<br />
research.<br />
Social distancing is <strong>the</strong> new normal but, we continue to<br />
work closely in <strong>the</strong> regions and encourage our communities<br />
to come toge<strong>the</strong>r in this crisis. The mobile industry needs a<br />
united voice because decisions made in <strong>the</strong> coming months<br />
around rules for digital services, AI and competition, for<br />
example, will have profound consequences for businesses<br />
and citizens throughout Europe.<br />
Living and working in lockdown conditions underscores<br />
<strong>the</strong> critical importance of our connectivity. Video conference<br />
calls on 5G networks, which have data speeds up to 10-times<br />
faster than current 4G networks, would eliminate <strong>the</strong> gaps<br />
and “Oh, sorry, you go first” overlaps in conversations.<br />
We are convinced that 5G will be a backbone for Europe’s<br />
economic recovery and drive <strong>the</strong> shift to greener vertical<br />
industries. Edge computing, data, artificial intelligence will<br />
be <strong>the</strong> building blocks of <strong>the</strong> new economy.<br />
Before this health crisis, <strong>the</strong> digital economy was<br />
expected to add 1.1 percentage points to <strong>the</strong> European<br />
Union’s annual economic growth and to boost GDP <strong>by</strong><br />
over 14% <strong>by</strong> 2030, according to <strong>the</strong> European Commission’s<br />
estimates. That would have meant €2 trillion of GDP <strong>by</strong><br />
2030, roughly equal to Italy’s gross domestic production<br />
last year.<br />
We know governments are under enormous financial<br />
strain and will need to prioritise funding for <strong>the</strong>ir healthcare<br />
systems, small businesses and unemployed workers. We will<br />
need to find innovative solutions for <strong>the</strong> €500 million in private<br />
and public investments needed to build a 5G infrastructure<br />
that can turbo-charge <strong>the</strong> region’s growth.<br />
Leading conversations about digital change is central to<br />
<strong>the</strong> GSMA. In a crisis, those conversations are often about<br />
innovation and adaptation. New models for success are born.<br />
And <strong>the</strong>re will be no better place to share those success<br />
stories than in Barcelona at <strong>the</strong> Mobile <strong>World</strong> Congress in<br />
2021.<br />
OUR WORLD | MAY 2020<br />
29
A TRUSTED PARTNER OF DOCTORS AND PHARMACISTS<br />
FOUNDED IN 1969 BY PAPAZOGLOU BROS<br />
PHARMEX SA IS A LEADING COMPANY, SUPPLYING BOTH THE GREEK AND THE AFRICAN MARKETS<br />
WITH PHARMACEUTICAL AND COSMETIC PRODUCTS OF ITS OWN PRODUCTION,<br />
THROUGH THE COMPANY’S FACILITIES LOCATED IN ATHENS,GREECE AND LUSAKA, ZAMBIA
<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
Political<br />
Economy of<br />
a <strong>Pandemic</strong>
POLITICAL ECONOMY OF A PANDEMIC<br />
The EU in Crisis?<br />
A Pragmatist’s Take<br />
By Antonio López-Istúriz White<br />
32 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Antonio López-<br />
Istúriz White<br />
SHUTTERSTOCK<br />
Secretary General of<br />
<strong>the</strong> European People’s<br />
Party – Spanish<br />
member of <strong>the</strong><br />
European Parliament<br />
with <strong>the</strong> EPP Group<br />
The European Union has always been both<br />
a topic and <strong>the</strong> subject of polarisation. On<br />
<strong>the</strong> one hand is <strong>the</strong> supposedly idealistic<br />
pro-EU camp, on <strong>the</strong> o<strong>the</strong>r <strong>the</strong> supposedly<br />
egoistic Eurosceptics. For sixty years, thus have<br />
we framed <strong>the</strong> debate — a debate which has<br />
ironically led to even fur<strong>the</strong>r, deeper polarisation<br />
and ultimately to underperformance on <strong>the</strong> part<br />
of all stakeholders, national as well as European,<br />
in times of crisis.<br />
After more than twenty years living and<br />
breathing this European debate, I am convinced<br />
we must change <strong>the</strong> narrative. The EU is not a<br />
matter of ei<strong>the</strong>r love or hate; it exists because<br />
we need it. We needed it after <strong>the</strong> Second <strong>World</strong><br />
War; and we need it today, more than ever. I<br />
might be Spanish, but <strong>the</strong> stereotype of being<br />
overly emotional does not apply in my case. In<br />
<strong>the</strong>se crucial days for <strong>the</strong> European project, what<br />
makes me advocate even more enthusiastically<br />
for <strong>the</strong> EU is reason. Make no mistake: I am no<br />
devil’s advocate. Just a humble pragmatist.<br />
I see <strong>the</strong> traditional enemies of <strong>the</strong> European<br />
project being joined today <strong>by</strong> a new group of<br />
OUR WORLD | MAY 2020<br />
33
POLITICAL ECONOMY OF A PANDEMIC<br />
critics in a spiral of attacks against a weak<br />
and imperfect Union. Because democracy,<br />
since <strong>the</strong> times of <strong>the</strong> A<strong>the</strong>nians or<br />
<strong>the</strong> downfall of <strong>the</strong> Roman Republic,<br />
has always been weak and imperfect.<br />
Weak against <strong>the</strong> propaganda machine<br />
of autocrats, imperfect vis-à-vis <strong>the</strong><br />
ostensible promises of messianic rule:<br />
an easy target for egocentric politicians<br />
able to accede to leadership but unable<br />
to actually lead, and in constant need of<br />
a scapegoat.<br />
I do not blame colleagues who, amidst<br />
<strong>the</strong> current crisis, suggest that China or<br />
Russia are showing greater solidarity than<br />
<strong>the</strong> EU itself. They suffer from <strong>the</strong> stress<br />
created <strong>by</strong> this pandemic, and from <strong>the</strong><br />
lack of European leadership in comparison<br />
with <strong>the</strong> concrete actions, however<br />
insidious, which we are witnessing in<br />
o<strong>the</strong>r corners of <strong>the</strong> world. Let’s face <strong>the</strong><br />
uncomfortable truth: <strong>the</strong> only way for<br />
democracy to survive is for leaders to step<br />
up in times of need. Unfortunately I do not<br />
see today a Pericles, Churchill or de Gaulle.<br />
“So <strong>the</strong>n what?” an anxious Twitter<br />
follower might ask. Now enters <strong>the</strong><br />
pragmatist (not to be confused with<br />
<strong>the</strong> bureaucrat!): someone who deep<br />
in his heart knows, like millions of o<strong>the</strong>r<br />
Europeans, that this imperfect Union, this<br />
artificial construct created <strong>by</strong> its Founders<br />
and still in ever-evolving process of<br />
creation, is <strong>the</strong> only shield protecting us<br />
from having Putin or <strong>the</strong> idolised leader<br />
of <strong>the</strong> Chinese Communist Party held<br />
aloft as a paragon of perfection. So what<br />
can we do to protect and promote our<br />
democracies and our European Union?<br />
First, we must humbly admit our<br />
mistakes. Looking back, we can detect<br />
two recent warning signs. The first was<br />
<strong>the</strong> refusal, <strong>by</strong> a significant number<br />
of European citizens, of <strong>the</strong> European<br />
Constitution; <strong>the</strong> second is <strong>the</strong> bad blood<br />
which has remained in many parts of<br />
our society after <strong>the</strong> financial crisis. I am<br />
convinced that European citizens want<br />
us to concentrate on solving <strong>the</strong>ir real<br />
problems ra<strong>the</strong>r than fixate on <strong>the</strong> details<br />
of a possible European senate or whe<strong>the</strong>r<br />
or when <strong>the</strong> EU might become a happy<br />
federation. Let’s leave <strong>the</strong>se big dreams<br />
to <strong>the</strong> next generation — a generation I<br />
am confident will be capable of achieving<br />
<strong>the</strong>m — and concentrate instead, in <strong>the</strong><br />
here and now, on filling <strong>the</strong> fissures in <strong>the</strong><br />
very hull of our ship. We all know <strong>the</strong>re<br />
are many of <strong>the</strong>m, <strong>the</strong> lack of coordination<br />
in health emergencies being one of <strong>the</strong><br />
most tragic and prominent examples.<br />
(Ah! Had Member States only listened to<br />
Michel Barnier in 2006 when he proposed<br />
a European initiative to response to<br />
emergencies such as pandemics . . .)<br />
Secondly, we must be ambitious in real<br />
and concrete things. Like many o<strong>the</strong>rs in<br />
<strong>the</strong> EU institutions, I am often weary of<br />
<strong>the</strong> reality that so many of our citizens are<br />
unaware of <strong>the</strong> good work we are doing.<br />
This is because <strong>the</strong> European Council,<br />
<strong>the</strong> EU’s only non-transparent body, is<br />
<strong>the</strong> one really calling <strong>the</strong> shots. I am tired<br />
of secret meetings <strong>by</strong> <strong>the</strong> EU’s real power<br />
players — i.e. our national governments:<br />
meetings in which bad decisions are<br />
blamed on <strong>the</strong> EU while good ones result<br />
in praise for visionary national leaders<br />
who in turn fail to ever mention <strong>the</strong> EU<br />
in <strong>the</strong>ir subsequent ’’war reports’’ to <strong>the</strong><br />
press. Enough of this! When a new bridge<br />
is built in a small town, when EU citizens<br />
are no longer burdened <strong>by</strong> roaming<br />
fees, or when funds arrive to relieve <strong>the</strong><br />
consequences of a critical pandemic: all<br />
this is thanks to <strong>the</strong> EU. But <strong>the</strong> fact is<br />
not recognised <strong>by</strong> some governments,<br />
interested only in convincing <strong>the</strong>ir<br />
electorates of <strong>the</strong>ir own ability to defend<br />
<strong>the</strong> national interest against imaginary<br />
usurpation and racketeering taking place<br />
in Brussels.<br />
Thirdly, we must be transparent and<br />
accountable. Those European countries<br />
which will be transparent in managing <strong>the</strong><br />
coronavirus pandemic will also be <strong>the</strong> first<br />
to overcome <strong>the</strong> economic and social crisis<br />
ahead. In 1918 it was American soldiers<br />
who brought <strong>the</strong> so-called ‘’Spanish flu’’ to<br />
<strong>the</strong> battlefields of Europe, causing millions<br />
of deaths worldwide. Why did it come to<br />
be known as Spanish flu? Because Spain,<br />
a neutral country at <strong>the</strong> time, was alone in<br />
not counting deaths from <strong>the</strong> disease as<br />
casualties of war. The transparency that<br />
spawned such an ironic misnomer also<br />
gave to Spain a credibility it took o<strong>the</strong>r<br />
countries some time to regain.<br />
After more than<br />
twenty years living and<br />
breathing this European<br />
debate, I am convinced<br />
we must change <strong>the</strong><br />
narrative. The EU is not<br />
a matter of ei<strong>the</strong>r love<br />
or hate; it exists because<br />
we need it. We needed it<br />
after <strong>the</strong> Second <strong>World</strong><br />
War; and we need it<br />
today, more than ever.<br />
In our current context, it is not<br />
European institutions which must be<br />
more transparent in <strong>the</strong>ir approach —<br />
<strong>the</strong>y already are. Where transparency is<br />
lacking is on <strong>the</strong> part of some Member<br />
State governments. The deficiency<br />
<strong>the</strong>refore lies among members of <strong>the</strong><br />
Council, a body which has not received<br />
a mandate on behalf of <strong>the</strong> entire<br />
European population. This is why we<br />
must again insist on a discussion of<br />
<strong>the</strong> Spitzenkandidat: a directly elected<br />
European leader, directly accountable to<br />
all European citizens. A leader who can<br />
take decisions at European level — and<br />
<strong>the</strong>refore a leader who is responsible for<br />
taking <strong>the</strong> lead and who can thus be held<br />
accountable for his or her actions. A leader<br />
elected <strong>by</strong> and for <strong>the</strong> European people.<br />
We must surely focus now on <strong>the</strong><br />
immediate crisis at hand. But it will<br />
soon be time to return our attention to<br />
<strong>the</strong> future of Europe. To what kind of<br />
Europe we want and need. For though<br />
<strong>the</strong> EU is imperfect, make no mistake: it<br />
is a necessity. And it will be this crucial<br />
discussion which will allow us to overcome<br />
<strong>the</strong> current problems of transparency,<br />
accountability and coordination, and<br />
which will enable us to more efficiently<br />
prepare for future crises. But this is just<br />
<strong>the</strong> view of a pragmatist.<br />
34 MAY 2020 | OUR WORLD
POLITICAL ECONOMY OF A PANDEMIC<br />
Technology Now! Lessons learned<br />
from COVID19 and What’s Next<br />
By Eva Kaili<br />
2020 is a survival-mode year. <strong>Our</strong><br />
reality has more similarities to <strong>the</strong><br />
movie Contagion, than anyone<br />
would have ever imagined. Still, being in<br />
<strong>the</strong> middle of a pandemic, it is not <strong>the</strong> best<br />
time to reach conclusions as we have to<br />
deal with many uncertainties, at least until<br />
we have a promising treatment. However,<br />
it is of paramount importance to reflect on<br />
what has been done and what should have<br />
been done in a different way, in order to<br />
mitigate <strong>the</strong> risks and smooth <strong>the</strong> negative<br />
consequences of an emergency.<br />
Working in <strong>the</strong> field of emerging and<br />
exponential technologies for so many<br />
years, I find myself wondering why we had<br />
to go through such a pandemic to realize<br />
<strong>the</strong> potential of science and <strong>the</strong> tools we<br />
already have available but we do not use.<br />
What if we had adopted a more radical view<br />
in <strong>the</strong> margin of technological exploration,<br />
and a more aggressive position in policies<br />
that accelerate <strong>the</strong> technology transfer<br />
from <strong>the</strong> lab to <strong>the</strong> market? Then perhaps<br />
<strong>the</strong> current macroeconomic shock would<br />
have been less deep and potentially less<br />
lethal.<br />
<strong>Our</strong> world has been transformed;<br />
global challenges need common<br />
responses, and decentralized tailormade<br />
solutions. In <strong>the</strong> digital era social<br />
platforms empower communities, and<br />
now more than ever we feel closer to each<br />
o<strong>the</strong>r although we are in “house isolation”<br />
and “physical distancing”, since we face<br />
a common health threat that makes no<br />
exceptions or discriminations, and has no<br />
borders.<br />
It is already proven that <strong>the</strong> businesses<br />
and public organizations that have digital<br />
capabilities and, most importantly,<br />
digitalized processes are significantly<br />
more resilient and agile in <strong>the</strong>ir responses<br />
to <strong>the</strong> shifts in <strong>the</strong> demand and supply<br />
curves, meaning higher efficiency in <strong>the</strong><br />
preservation of both <strong>the</strong>ir value and<br />
supply chains. Even more dramatically,<br />
public organizations with strong capacity<br />
to collect and leverage big data analytics<br />
where much more effective to tame <strong>the</strong><br />
pandemic dynamics, act decisively where<br />
<strong>the</strong> need really was, and ensure socially<br />
responsible behavior.<br />
We do not know <strong>the</strong> exact social,<br />
organizational, financial and economic<br />
consequences of <strong>the</strong> pandemic. We<br />
know, though, for sure, that <strong>the</strong> effect<br />
will be significant and most likely we are<br />
entering into a “new normality”. The shape<br />
of this “new normality” will be determined<br />
<strong>by</strong> our understanding of <strong>the</strong> very notion<br />
of safety. Safety in terms of <strong>the</strong> forms of<br />
human action and collaboration, in terms<br />
of decision making procedures, in terms<br />
of trusted systems, in terms of privacy<br />
linked with social responsibility, in terms<br />
of institutionalizing crowd-sourcing in<br />
scientific research processes in order<br />
thousands of people to work toge<strong>the</strong>r on<br />
urgent solutions, in terms of strength of<br />
<strong>the</strong> supply chains and in terms of demand<br />
management in times of emergencies.<br />
The first reflection from <strong>the</strong> crisis is<br />
that we learned – in a violent way – <strong>the</strong><br />
difference between digitization and<br />
digitalization. Having in place digital<br />
capacity and tools – or being digitized –<br />
does not mean that we are safe. We need<br />
to have also procedures in place and an<br />
operational capability to merge <strong>the</strong>se<br />
procedures with digital tools – or to be<br />
digitalized.<br />
The second reflection is that decision<br />
making without strong big data analytics<br />
is very weak. This means that we need<br />
public organizations – especially health<br />
related organizations, to have capabilities<br />
to collect data and analyze, with deep<br />
and reinforced learning techniques, high<br />
36 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
OUR WORLD | MAY 2020<br />
quality of data. This means that we need to<br />
create reliable data governance methods<br />
with strong but agile privacy safeguards, to<br />
ensure high quality and robust algorithmic<br />
decision making to help health authorities in<br />
<strong>the</strong>ir work, to prevent <strong>the</strong> collapse of supply<br />
chains for vital instruments and inventories<br />
and to ensure a high quality monitoring of<br />
<strong>the</strong> emergency, in a level of granularity that<br />
is operationally optimal.<br />
The third reflection is about <strong>the</strong> way<br />
we work. I have already made a comment<br />
on <strong>the</strong> need to design procedures. It is not<br />
as complicated as it sounds though. At<br />
<strong>the</strong> end of <strong>the</strong> day, we all work ei<strong>the</strong>r on<br />
repetitive tasks, most likely without <strong>the</strong><br />
need of collaboration, or on creative tasks,<br />
that we need “studio” types of work so as to<br />
ensure collaboration. Every “teleconference”<br />
type of work can be easily replicated with<br />
simple digital technologies in <strong>the</strong>se two ways<br />
of work. The important here is to be able<br />
to visualize <strong>the</strong> contributions we make as<br />
individuals in a group effort. In this simple<br />
architecture we can resolve comparatively<br />
easily <strong>the</strong> problem of “scale”. This allows us<br />
to enter in a new era of crowdsourcing which<br />
is vital when many “brains” should work on<br />
one critical solution, especially in <strong>the</strong> fields<br />
of biomedicine and pharmaceuticals, and<br />
when significant public money is involved<br />
and <strong>the</strong> “patenting” is neutralized. EU<br />
should develop this capacity with secure<br />
procedures and in collaboration with o<strong>the</strong>r<br />
non-EU governments.<br />
The fourth reflection is about <strong>the</strong> optimal<br />
use of budget for R&D and <strong>the</strong> acceleration<br />
of tech transfer, especially in moments of<br />
emergency. EU traditionally has very weak<br />
tech transfer capacity. It funds, rightfully,<br />
long-run research projects that <strong>the</strong> market<br />
fails to support, but <strong>the</strong> patents it produces<br />
are few and <strong>the</strong> number of marketable<br />
products is disappointing. At <strong>the</strong> same time,<br />
many of <strong>the</strong> technological projects funded<br />
<strong>by</strong> <strong>the</strong> EU budget lack clear KPIs making <strong>the</strong><br />
speed of technological adoption very slow.<br />
The current pandemic forces us to think<br />
systematically about <strong>the</strong>se issues.<br />
It is in <strong>the</strong> center of <strong>the</strong> work of STOA<br />
in <strong>the</strong> European Parliament to speed up all<br />
<strong>the</strong> four areas of concern that I stressed,<br />
to define priorities, procedures and<br />
evaluation standards. We need to prepare<br />
Eva Kaili<br />
Greek member of <strong>the</strong><br />
European Parliament<br />
with <strong>the</strong> S&D Group -<br />
Chair for Science and<br />
Technology, STOA -<br />
Chair EU40 - Member<br />
of OECD Blockchain<br />
Advisory Board, WEF<br />
EU Digital Leaders &<br />
Digital Currency Gov<br />
Consortium, IEEE<br />
Center of Extended<br />
Intelligence Advisory<br />
Board<br />
<strong>the</strong> ground for standards that are based on<br />
our European values and could be adopted<br />
globally.<br />
To conclude, <strong>the</strong> COVID19 emergency<br />
has changed <strong>the</strong> priorities of <strong>the</strong> EU<br />
budget in <strong>the</strong> era of “new normality”, and<br />
<strong>the</strong> digital transformation is higher on <strong>the</strong><br />
agenda, including a new paradigm of R&D<br />
in <strong>the</strong> fields of biotechnology and health<br />
management. O<strong>the</strong>r priorities like <strong>the</strong> so<br />
called, “Green Deal” should be integral in<br />
a new paradigm of sustainable economy,<br />
ra<strong>the</strong>r than a distinct endeavor. Similarly,<br />
exponential technologies like AI, blockchain,<br />
big data, cyber-security, hyper-performance<br />
computing or edge computing, should be<br />
aggressively promoted not in isolation but<br />
in convergence with each o<strong>the</strong>r.<br />
I am convinced that Technology is a<br />
significant part of any solution related to <strong>the</strong><br />
health and quality of life of <strong>the</strong> Europeans,<br />
<strong>the</strong> agility and resilience of <strong>the</strong>ir jobs, <strong>the</strong><br />
prospect of <strong>the</strong>ir welfare and wealth in <strong>the</strong><br />
post-crisis period, <strong>the</strong> coherence of our<br />
society and our role in <strong>the</strong> global economy<br />
in <strong>the</strong> post-crisis years. We only need to act<br />
toge<strong>the</strong>r and be smart on it.<br />
37
POLITICAL ECONOMY OF A PANDEMIC<br />
SHUTTERSTOCK<br />
Looking for <strong>the</strong> White Knight<br />
By Daniel Kaddik<br />
A<br />
crisis can be a great eye-opener<br />
showing how much of what we<br />
believe is true. In recent memory,<br />
<strong>the</strong> EU has seen four major disruptions<br />
- <strong>the</strong> financial crisis, <strong>the</strong> migration crisis,<br />
Brexit, and now <strong>the</strong> Coronavirus. Those<br />
instances have shown severe flaws in<br />
<strong>the</strong> EU’s institutional architecture, in <strong>the</strong><br />
resilience of <strong>the</strong> member states, and in our<br />
ability to find joint solutions to challenges.<br />
Conventional wisdom suggests that <strong>the</strong>se<br />
chains of events are akin to black swans –<br />
<strong>the</strong> culmination and result of which could<br />
not have been foreseen. Is this true or<br />
were those accidents waiting to happen?<br />
What kind of leadership do we need now,<br />
when things are beginning to go awry?<br />
Especially in times of crisis, <strong>the</strong> role<br />
of leaders is to give a sense of direction,<br />
take decisive action, and not merely react<br />
to unfolding events. This is ever more<br />
important in a world where information<br />
flows faster than ever before, where<br />
people strive to make sense not only of<br />
<strong>the</strong>ir own lives but of global questions.<br />
Hence, <strong>the</strong> remedy is <strong>the</strong> opposite of <strong>the</strong><br />
usual trend in many European countries,<br />
where it appears that politicians are<br />
reacting to headlines or even tweets.<br />
Instead of setting <strong>the</strong> agenda, <strong>the</strong>y are<br />
driven <strong>by</strong> it, pushed <strong>by</strong> a perceived wave of<br />
opinions. But unlike elections, governing<br />
should not be a popularity contest.<br />
While an increase in information<br />
has bred uncertainty among citizens,<br />
many elementary fears have re-emerged<br />
38 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Daniel Kaddik<br />
Executive Director of<br />
<strong>the</strong> European Liberal<br />
Forum<br />
OUR WORLD | MAY 2020<br />
during <strong>the</strong> Corona crisis. After all, it is a<br />
question of life or death at worst, and a<br />
question of economic survival at best.<br />
Some national governments are exploiting<br />
this to streng<strong>the</strong>n <strong>the</strong>ir position in an<br />
unprecedented way and at <strong>the</strong> expense of<br />
democracy. Hungarian Prime Minister Victor<br />
Orbán has been given quasi-authoritarian<br />
powers <strong>by</strong> <strong>the</strong> parliament for an unlimited<br />
time, and <strong>the</strong> Polish ruling party is pushing<br />
through presidential elections in May,<br />
while <strong>the</strong> ban of electoral rallies hinders<br />
opposition candidates.<br />
In stock markets, <strong>the</strong> bidder in a hostile<br />
takeover is called a “black knight”, an<br />
analogy that might be fitting here in <strong>the</strong><br />
context of democracies. Especially when<br />
democratic institutions are marginalised out<br />
of “necessity” and for <strong>the</strong> sake of “efficiency”.<br />
The question remains as to who makes <strong>the</strong><br />
counteroffer as <strong>the</strong> “white knight” and what<br />
<strong>the</strong>y can do to avoid <strong>the</strong> trap of crisis and<br />
<strong>the</strong> temptation of opportunity.<br />
Everywhere across Europe, people<br />
have largely supported and followed <strong>the</strong><br />
measures introduced <strong>by</strong> <strong>the</strong> executives.<br />
They seem to be willing to cede <strong>the</strong>ir civil<br />
liberties in lockdowns that have been widely<br />
imposed. One can witness rising approval<br />
ratings for governments regardless of <strong>the</strong>ir<br />
track record in <strong>the</strong> fight against <strong>the</strong> virus<br />
and regardless of whe<strong>the</strong>r <strong>the</strong>y can be<br />
classified as “populist” or not. The positive<br />
side effect of this is that <strong>the</strong>re is currently<br />
less support for populists that are in<br />
opposition. However, this phenomenon<br />
should not be taken for granted and can<br />
only be sustained if governments can limit<br />
<strong>the</strong> economic and societal damage caused<br />
<strong>by</strong> <strong>the</strong> virus. O<strong>the</strong>rwise, we will see populist<br />
forces on <strong>the</strong> left and right on steroids at a<br />
time when hardships for citizens become<br />
overburdening.<br />
For <strong>the</strong> EU, <strong>the</strong> current crisis is doubtlessly<br />
existential. Corona has struck <strong>the</strong> core of <strong>the</strong><br />
EU’s economic project, <strong>the</strong> Single Market,<br />
like an earthquake. National governments<br />
responded <strong>by</strong> taking unilateral measures.<br />
Within a few weeks, border controls were<br />
reinstated across <strong>the</strong> Schengen area, <strong>the</strong><br />
free movement of persons was restricted,<br />
and supply chains crumbled.<br />
Despite <strong>the</strong> attack on <strong>the</strong> de facto core<br />
of European integration, European leaders<br />
have not been able to identify a way out of<br />
<strong>the</strong> crisis yet. The visionary approach needed<br />
for <strong>the</strong> EU to stick toge<strong>the</strong>r must connect<br />
<strong>the</strong> different strands of individual measures<br />
to a bigger whole. This is especially important,<br />
as <strong>the</strong>re is a considerable risk that<br />
diverse national reactions to <strong>the</strong> crisis will<br />
increase divergence in <strong>the</strong> Euro area. In <strong>the</strong><br />
past, national decisions were often taken<br />
without considering <strong>the</strong> cross-border impact.<br />
The same is already happening in this<br />
crisis, which poses <strong>the</strong> tremendous risk that<br />
countries which are already strong could assume<br />
a dominating position after <strong>the</strong> crisis.<br />
At <strong>the</strong> same time, it is useless to lament a<br />
lack of support for measures that would turn<br />
<strong>the</strong> EU upside down. Nobody can expect<br />
from <strong>the</strong> frugal governments of Nor<strong>the</strong>rn<br />
Europe to throw <strong>the</strong>ir principles overboard<br />
from one day to ano<strong>the</strong>r. Leadership<br />
means exploiting what is possible, trying to<br />
do <strong>the</strong> impossible, but not attempting <strong>the</strong><br />
illusionary.<br />
The EU now needs a clear roadmap<br />
for reconstruction. It is of little importance<br />
whe<strong>the</strong>r it is called <strong>the</strong> Marshall Plan or <strong>the</strong><br />
Michel Plan. But it is vital to act decisively<br />
and quickly. The roadmap also needs builtin<br />
flexibility; it must avoid centralisation and<br />
respect <strong>the</strong> principle of subsidiarity. Surely<br />
<strong>the</strong> unemployment reinsurance SURE can<br />
have a sunset clause in five years, giving<br />
member states <strong>the</strong> chance to opt-out.<br />
Beyond that, <strong>the</strong> EU’s remedy cannot be just<br />
patching up holes – it is time to finally decide<br />
what <strong>the</strong> EU should look like in <strong>the</strong> future.<br />
It is hard to lead if you do not know where<br />
you are going. Perhaps <strong>the</strong> Conference on<br />
<strong>the</strong> Future of Europe could be a first – albeit<br />
ra<strong>the</strong>r late – step in this direction, if it does<br />
not end up as a mere communication tool.<br />
Although <strong>the</strong> reputation of <strong>the</strong> EU and<br />
of intra-European cooperation has already<br />
been damaged considerably in Italy and<br />
Spain, it is not too late. Is <strong>the</strong>re a white knight<br />
in sight? The fragmented polycentricity of<br />
power between <strong>the</strong> European Commission,<br />
<strong>the</strong> European Council and <strong>the</strong> Franco-<br />
German tandem makes it seem unlikely<br />
that a single white knight will be found.<br />
But European cooperation could itself still<br />
be <strong>the</strong> white knight for all member states,<br />
especially those most hit <strong>by</strong> <strong>the</strong> Coronavirus<br />
pandemic.<br />
39
POLITICAL ECONOMY OF A PANDEMIC<br />
SHUTTERSTOCK<br />
China’s Hostage Diplomacy<br />
By Anna Fotyga<br />
As <strong>the</strong> COVID-19 crisis continues,<br />
policy makers wonder what sort<br />
of world we shall inherit once<br />
it’s over. There is no doubt we should<br />
change our approach when dealing with<br />
<strong>the</strong> Peoples Republic of China. We have<br />
to focus in particular on means of tackling<br />
<strong>the</strong>ir use of diplomatic extortion via so<br />
called ‘hostage diplomacy’.<br />
The actions of <strong>the</strong> Chinese<br />
Communist Party, in <strong>the</strong> lead up to this<br />
global epidemic, are well documented:<br />
from <strong>the</strong> lies about <strong>the</strong> official figures,<br />
camouflaging evidences and silencing<br />
of whistle-blowers, to <strong>the</strong> fact that <strong>the</strong>y<br />
simply didn’t act swiftly enough to halt <strong>the</strong><br />
spread around <strong>the</strong> rest of <strong>the</strong> world. Such<br />
attitude is well known to me, a person<br />
from Central Europe, and reminds me<br />
<strong>the</strong> way <strong>the</strong> Soviet communists tried<br />
to cover up <strong>the</strong> Cherno<strong>by</strong>l disaster.<br />
Such mismanagement is inescapable<br />
in a Communist system, staffed <strong>by</strong> ‘Yes<br />
Men’ who’s first instinct is to lie and deny<br />
any problems as <strong>the</strong>y have nei<strong>the</strong>r <strong>the</strong><br />
courage nor competency to move quickly<br />
in tackling disasters.<br />
Over-dependence on <strong>the</strong> PRC has<br />
proven to be a strategic blunder on <strong>the</strong><br />
part of Western countries. My very first<br />
initiative at <strong>the</strong> beginning of this term as<br />
a Member of <strong>the</strong> European Parliament<br />
was to draw attention of <strong>the</strong> European<br />
Commission to <strong>the</strong> problem. In my<br />
intervention I pointed out that more<br />
than 60% of <strong>the</strong> active ingredients in<br />
40 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Anna Fotyga<br />
Polish member of <strong>the</strong><br />
European Parliament<br />
with <strong>the</strong> ECR Group<br />
OUR WORLD | MAY 2020<br />
medicines are produced outside <strong>the</strong> EU,<br />
mainly in China, and <strong>the</strong>se critical supplies<br />
are increasingly exposed to risk. Recent<br />
events have proved that critical sectors of<br />
our economies can no longer be dependent<br />
on <strong>the</strong> red Chinese dragon. It is clear that an<br />
economic realignment is needed – including<br />
looking for friendlier and more reliable<br />
trading partners.<br />
The Western <strong>World</strong> is starting to realise<br />
that for too long <strong>the</strong>y have given <strong>the</strong><br />
Peoples Republic of China <strong>the</strong> benefit of <strong>the</strong><br />
doubt, and <strong>the</strong> Communists have abused it.<br />
Perhaps <strong>the</strong> worst case of this is <strong>the</strong> issue of<br />
<strong>the</strong> status of <strong>the</strong> Republic of China (Taiwan).<br />
Moreover, <strong>the</strong> last year has shown that Beijing’s<br />
bullying tactics against its neighbours<br />
are now being deployed worldwide, also<br />
against <strong>the</strong> West, which has continued to<br />
approach <strong>the</strong> issue with a great deal of ambiguity.<br />
Whilst formally recognising <strong>the</strong> ‘One<br />
China Policy’, many Western countries still<br />
maintain unofficial offices of representation<br />
in Taipei. Likewise, <strong>the</strong> Taiwanese government<br />
maintains offices in most countries<br />
around <strong>the</strong> world. These quasi-diplomatic<br />
links have laid out a path for more formal<br />
arrangements in <strong>the</strong> future.<br />
Although full recognition of Taiwanese<br />
independence for many practical reasons<br />
is a long way off, economic cooperation<br />
could easily be enhanced. Taiwan not only<br />
shares our democratic values, but also has<br />
a stable industrial base from which to build<br />
on. Enhancing trade relations between <strong>the</strong><br />
West and Taiwan would serve to reduce<br />
dependence on Communist China and<br />
uphold economic links with this part of<br />
<strong>the</strong> world. Equally, <strong>the</strong>re are some areas<br />
in which official recognition of Taiwan<br />
could be beneficial to both parties, such as<br />
giving <strong>the</strong> island its own seat on <strong>the</strong> <strong>World</strong><br />
Health Organisation. This could perhaps<br />
be a term for <strong>the</strong> United States to begin<br />
refunding <strong>the</strong> WHO, after President Trump<br />
pulled American financial support from <strong>the</strong><br />
institution last week.<br />
A cross-party letter recently circulated<br />
around <strong>the</strong> European Parliament in<br />
Brussels has gained support of more than<br />
100 Members spanning across Europe. It<br />
calls for recognition of Taiwan <strong>by</strong> <strong>the</strong> WHO,<br />
a move that is particularly important in<br />
<strong>the</strong>se challenging times.<br />
On a larger scale, China has applied <strong>the</strong><br />
same diplomatic extortion to international<br />
politics with Taiwan. Any attempt to<br />
recognise Taiwan is met with economic<br />
threats. Many smaller countries in Latin<br />
America and <strong>the</strong> Pacific Islands have<br />
faced tough sanctions for <strong>the</strong>ir continued<br />
recognition of Taiwan. Last year both Kiribati<br />
and <strong>the</strong> Solomon Islands severed ties<br />
with Taiwan amidst mounting diplomatic<br />
pressure from China.<br />
The same has already started to<br />
happen in Africa. As it stands, Eswatini is<br />
<strong>the</strong> only country in Africa that continues<br />
to recognise Taiwan’s independence. As a<br />
result <strong>the</strong>y have found <strong>the</strong>mselves under<br />
increased pressure – including economic<br />
threats. O<strong>the</strong>r countries in Africa have<br />
accepted China’s demands and as a result,<br />
have been rewarded in kind. Whilst China<br />
in <strong>the</strong> beginning used soft diplomacy –<br />
such as seemingly reasonable loans for<br />
infrastructure projects – many states have<br />
found <strong>the</strong>mselves in debt and without<br />
<strong>the</strong> promised infrastructure. This strategy<br />
used <strong>by</strong> China to lure underdeveloped<br />
African countries has even its own name:<br />
“debt-trap diplomacy”. I am convinced<br />
that Africa, like Taiwan, could benefit from<br />
a Western boycott of China. With supply<br />
chains adjusting to move manufacturing<br />
jobs from mainland China to friendlier<br />
countries in West Africa or South East Asia.<br />
China isn’t only holding <strong>the</strong> Island of<br />
Taiwan hostage. For more than a year <strong>the</strong><br />
PRC holds in prison actual hostages from<br />
Canada, on charges of endangering state<br />
security. This is widely seen as an attempt<br />
to use ‘hostage diplomacy’ to force <strong>the</strong><br />
release of a Chinese telecommunications<br />
executive who was arrested in Canada.<br />
Moreover, Beijing has inflicted an economic<br />
punishment on Canadians, putting in a<br />
hopeless situation companies which have<br />
become solely dependent on Chinese<br />
market or <strong>the</strong> PRC’s industrial base.<br />
Economic and geopolitical strategies<br />
should be open for review due to our<br />
dependency on China. Europe must keep<br />
alternative options on <strong>the</strong> table. We cannot<br />
allow freedom of our citizens, security of<br />
our societies, prosperity of our companies<br />
and sovereign policies of our states become<br />
China’s hostages.<br />
41
POLITICAL ECONOMY OF A PANDEMIC<br />
Quarantine<br />
and/or<br />
Geopolitical<br />
Checkmate?<br />
By Lídia Pereira<br />
The COVID-19 pandemic is not yet over<br />
and <strong>the</strong> magnitude of <strong>the</strong> economic<br />
crisis resulting from <strong>the</strong> confinement<br />
measures that States had to adopt is still<br />
unknown. However, <strong>the</strong> economic forecasts that<br />
have been released and <strong>the</strong> political speeches<br />
from different political leaders, allow us to<br />
anticipate a post-crisis period with profound<br />
repercussions on <strong>the</strong> international order. The<br />
current crisis revealed <strong>the</strong> dangers of excessive<br />
dependence on foreign distribution chains,<br />
particularly, in strategic areas. For instance,<br />
medical and personal protective equipment (PPE) are strategic<br />
products, but <strong>the</strong>ir production is mostly based in China.<br />
China has become <strong>the</strong> factory of <strong>the</strong> world while Europe<br />
has become a museum of world history. Fortunately, <strong>the</strong><br />
European Commission has already started discussing about<br />
<strong>the</strong> reindustrialization of Europe, as well as <strong>the</strong> importance of<br />
protecting strategic industries from being acquired <strong>by</strong> foreign<br />
countries.<br />
In <strong>the</strong> past few weeks, China has emerged as a “global hero”<br />
around <strong>the</strong>ir response to <strong>the</strong> Covid19 pandemic. It’s clear that<br />
beneath this, <strong>the</strong>re is significant suspicion about <strong>the</strong> motivations<br />
underpinning Beijing’s international solidarity, accelerating <strong>the</strong><br />
need for Western countries to reckon with <strong>the</strong>ir relationship with<br />
China and examine what role China will play in a much-altered<br />
post-COVID19 world order.<br />
Peace and conflict studies have shown that success in<br />
post-conflict relations is more likely when parties feel equally<br />
victimised. There cannot be “winners” and “losers”. In <strong>the</strong> current<br />
scenario, <strong>the</strong> perception being nurtured <strong>by</strong> China as <strong>the</strong> best<br />
example of leadership in managing this crisis, with a low mortality<br />
rate, contrasts greatly with <strong>the</strong> difficulties and disproportionate<br />
number of deaths in Europe and <strong>the</strong> USA. China might want to<br />
wash its image, due to <strong>the</strong>ir negligent attempts to control <strong>the</strong><br />
epidemic domestically without informing <strong>the</strong> world. And in<br />
doing so, <strong>the</strong>y are assuming <strong>the</strong> role of a “winner”, anticipating a<br />
favourable post-crisis geopolitical re-order.<br />
It is clear that <strong>the</strong> world will emerge from <strong>the</strong> pandemic into<br />
a much-altered global economic order too. Western countries<br />
will face a prolonged recession. Europe, in particular, will have<br />
to reassess its priorities in terms of public investment, economic<br />
recovery, social protection and <strong>the</strong>ir health systems. And yet,<br />
while <strong>the</strong> GDP of <strong>the</strong> EU and US will fall, China’s economy is<br />
projected to continue growing at roughly 1%. The dramatic spike<br />
in unemployment levels on both sides of <strong>the</strong> Atlantic also does<br />
not appear to have been replicated in China, who have emerged<br />
from <strong>the</strong> crisis with only a 1% increase in <strong>the</strong>ir figures.<br />
Globalization will not come to an end, but it will rise again<br />
at <strong>the</strong> expense of new dynamics, influences and leaderships.<br />
We must be aware that <strong>the</strong> transition phase represents a great<br />
geopolitical challenge. Member States will have to streng<strong>the</strong>n<br />
<strong>the</strong>ir health systems and will need to increase <strong>the</strong>ir budgets in<br />
social areas. Education, scientific research, or defense may end up<br />
being overlooked. This might bring serious repercussions, mainly<br />
in <strong>the</strong> ability to compete technologically and in <strong>the</strong> commitments<br />
42 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
Lídia Pereira<br />
Portuguese member<br />
of <strong>the</strong> European<br />
Parliament with <strong>the</strong><br />
EPP Group – President<br />
of <strong>the</strong> Youth of <strong>the</strong><br />
European People’s<br />
Party<br />
OUR WORLD | MAY 2020<br />
made, for example, between NATO member<br />
countries.<br />
Overall, <strong>the</strong> circumstances sound very<br />
alarming. The solidarity and support provided<br />
<strong>by</strong> China to countries most affected <strong>by</strong><br />
coronavirus will impact how <strong>the</strong> Chinese<br />
leadership is perceived internationally. Whe<strong>the</strong>r<br />
it’s <strong>the</strong> shipment of large quantities of PPE or <strong>the</strong><br />
deployment of medical professionals overseas,<br />
<strong>the</strong> country’s COVID altruism is inherently linked<br />
to <strong>the</strong> Beijing government’s long-term strategic<br />
objectives. China, under <strong>the</strong> tight control of its<br />
Communist Party, is a state with authoritarian<br />
international aspirations. When this pandemic<br />
ends, <strong>the</strong> failure of <strong>the</strong> US to lead <strong>the</strong><br />
international fight against COVID19 will reinforce<br />
China’s position as <strong>the</strong> international reference<br />
point, <strong>the</strong> global power which delivered at this<br />
time of need, with little attention paid to its<br />
culpability for <strong>the</strong> dissemination of <strong>the</strong> disease.<br />
America’s retreat has created a vacuum which<br />
China intends to fill.<br />
In that respect, China has much to gain<br />
through <strong>the</strong>se grand gestures of solidarity. This<br />
is why Europeans must distinguish between what<br />
is genuine “solidarity” and what is <strong>the</strong> cynical<br />
opportunism of an authoritarian regime seeking<br />
to ameliorate its image and expand its sphere<br />
of influence. About half a year ago, Ursula von<br />
der Leyen was criticized for trying to designate<br />
a Commissioner “to protect <strong>the</strong> European way<br />
of life”. That portfolio changed its name to<br />
“Promoting <strong>the</strong> European Way of Life”. However,<br />
facing <strong>the</strong> global influence of an authoritarian<br />
regime, protecting our principles and values has<br />
never been more important.<br />
The US and Europe have survived <strong>the</strong><br />
greatest wars and crises of modern times<br />
<strong>by</strong> working toge<strong>the</strong>r. To avoid unfavourable<br />
geopolitical imbalances, this time cannot be any<br />
different. Ultimately, <strong>the</strong> future when <strong>the</strong> world<br />
will brea<strong>the</strong> again without masks will judge <strong>the</strong><br />
success and effectiveness of democracies over<br />
authoritarian regimes.<br />
43
POLITICAL ECONOMY OF A PANDEMIC<br />
SHUTTERSTOCK<br />
The China Hunt<br />
By Witold Jan Waszczykowski<br />
The ongoing debate on <strong>the</strong><br />
coronavirus crisis is bound to<br />
include an investigation into <strong>the</strong><br />
causes of <strong>the</strong> pandemic and all factors<br />
that played a part in its spread. However,<br />
are we not driving ourselves into a<br />
witch-hunt? After all, Europe is now full<br />
of phrases about <strong>the</strong> spirit of solidarity<br />
in <strong>the</strong> fight against <strong>the</strong> pandemic and<br />
<strong>the</strong> upcoming economic crisis.<br />
Theories about <strong>the</strong> origin of <strong>the</strong><br />
virus have been multiplying and, so<br />
far, <strong>the</strong>y include bats, pangolins and<br />
shady labs in Wuhan. They all lead to<br />
China. Certain politicians went as far as<br />
using <strong>the</strong> term “<strong>the</strong> Chinese virus.” On a<br />
side note, <strong>the</strong> French helped build <strong>the</strong><br />
Wuhan laboratories.<br />
It is justified to be suspicious<br />
of Beijing. China has been facing<br />
widespread accusations of downplaying<br />
<strong>the</strong> scale of <strong>the</strong> outbreak and<br />
hiding its origins. Reports of Chinese<br />
misinformation have featured on<br />
numerous media platforms. Beijing<br />
has even been blamed for taking<br />
advantage of <strong>the</strong> pandemic in order to<br />
push its geopolitical agenda <strong>by</strong> linking<br />
it to Chinese aid. China is not without<br />
fault when it comes to COVID-19. On<br />
<strong>the</strong> international stage, <strong>the</strong> Chinese are<br />
no angels ei<strong>the</strong>r. After all, <strong>the</strong> Middle<br />
Kingdom is <strong>the</strong> world’s second largest<br />
44 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Witold Jan<br />
Waszczykowski<br />
Polish member of <strong>the</strong><br />
European Parliament<br />
with <strong>the</strong> ECR Group<br />
OUR WORLD | MAY 2020<br />
economy and as such, it aggressively<br />
pursues its national interest. China’s<br />
recent history is also full of dark pages.<br />
These include <strong>the</strong> brutal crushing of <strong>the</strong><br />
Tiananmen protests in 1989, ongoing<br />
suppression of Hong Kong’s democratic<br />
aspirations and processes and open<br />
hostility towards Taiwan.<br />
On <strong>the</strong> flipside, is <strong>the</strong> Western <strong>World</strong><br />
without blame? In recent weeks, a<br />
number of politicians agreed we were<br />
not prepared for <strong>the</strong> cataclysm. In recent<br />
days, Ursula von der Leyen and Josep<br />
Borrell apologized for our mistakes in<br />
<strong>the</strong> European Parliament’s Hemicycle. We<br />
have all been beating ourselves up about<br />
<strong>the</strong> lack of means to fight <strong>the</strong> pandemic<br />
and shortages in PPE and basic medicines.<br />
Years ago, we decided to deindustrialize<br />
and move our production to China. Part<br />
of it was considered dirty, <strong>the</strong> o<strong>the</strong>r part<br />
- uneconomical. The price we are paying<br />
now is <strong>the</strong> consequence of our own<br />
choices.<br />
Even though China’s actions have<br />
met justified criticism, are we not taking<br />
it too far, especially in comparison to our<br />
behaviour towards Russia? The very same<br />
Russia that resorted to military means in<br />
order to prevent <strong>the</strong> collapse of <strong>the</strong> USSR.<br />
The very same Russia that violently dealt<br />
with Chechnya, invaded Georgia and<br />
Ukraine. Yet, we still tend to strive for best<br />
possible relations with Moscow, falling just<br />
slightly short of downright appeasement.<br />
We open up our economies to Russia.<br />
The Kremlin is <strong>the</strong> reason our defence<br />
systems are excessively transparent. All<br />
this in hope of shaping <strong>the</strong> Russian Bear<br />
into something similar to our Western<br />
model. So far, our track record has been<br />
mediocre in this regard. In consequence,<br />
lack of determination and choosing shortterm<br />
wins over strategic interests are to<br />
blame.<br />
Therefore, are we not creating an<br />
artificial and distant rival instead of<br />
finding a way to deal with <strong>the</strong> immediate<br />
one? Are we not burying our heads in<br />
<strong>the</strong> sand, pretending that <strong>the</strong> Russian<br />
problem is not <strong>the</strong>re and replacing it with<br />
<strong>the</strong> imagined Chinese threat?<br />
China is a remarkable economy and a<br />
nuclear power. Beijing makes its presence<br />
Today, we should<br />
embrace <strong>the</strong> fact that<br />
Beijing has not been<br />
trying to copy-paste<br />
Moscow’s actions<br />
towards <strong>the</strong> West.<br />
In consequence,<br />
perhaps we should<br />
consider rewarding<br />
it with a milder<br />
approach than our<br />
treatment of <strong>the</strong><br />
USSR?<br />
known in distant corners of <strong>the</strong> world<br />
<strong>by</strong> investing in harbours, airports or<br />
communication networks. In o<strong>the</strong>r words,<br />
trading outposts. We have reasons to<br />
believe that <strong>the</strong>se outposts may be used<br />
to exert political influence, perhaps even<br />
military power.<br />
The USSR was an influential<br />
superpower too. It used far more<br />
aggressive and far bloodier methods to<br />
secure its interests, which were motivated<br />
ideologically <strong>by</strong> Communism. However,<br />
<strong>the</strong> West did not go to war with Moscow.<br />
The Free <strong>World</strong> employed a wide range<br />
of non-military means and let <strong>the</strong> Evil<br />
Empire implode. As mentioned above,<br />
our attempts to pacify Russia’s aggressive<br />
tendencies have fallen short of our<br />
expectations. We did, however, manage<br />
to put a dent in Moscow’s ambitions.<br />
Today, we should embrace <strong>the</strong> fact that<br />
Beijing has not been trying to copy-paste<br />
Moscow’s actions towards <strong>the</strong> West. In<br />
consequence, perhaps we should consider<br />
rewarding it with a milder approach than<br />
our treatment of <strong>the</strong> USSR?<br />
45
POLITICAL ECONOMY OF A PANDEMIC<br />
The West Must Stand<br />
Confident and United<br />
Against <strong>the</strong> Chinese<br />
Threat<br />
By Mattias Karlsson<br />
With great power comes great<br />
responsibility. No government on<br />
Earth have established a stronger and<br />
more totalitarian control over its society than <strong>the</strong><br />
Chinese Communist Party. No o<strong>the</strong>r government<br />
holds its citizens in a tighter grip. With totalitarian<br />
and draconian powers, <strong>the</strong> Chinese Communist<br />
Party must be held responsible for its handling of<br />
<strong>the</strong> COVID-19 virus and <strong>the</strong> damage it has done<br />
to <strong>the</strong> world.<br />
Mahatma Ghandi once said that ”The<br />
greatness of a nation and its moral progress can<br />
be judged <strong>by</strong> <strong>the</strong> way its animals are treated”. If<br />
Ghandi was right <strong>the</strong>n <strong>the</strong> greatness of communist<br />
China is far less than its economic and military<br />
power suggests.<br />
In 2002 <strong>the</strong> Chinese SARS-virus spread fear<br />
around <strong>the</strong> world and killed people in 37 different<br />
46 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Mattias<br />
Karlsson<br />
Member of <strong>the</strong><br />
Swedish Parliament -<br />
Former Leader of <strong>the</strong><br />
Sweden Democrats<br />
SHUTTERSTOCK<br />
countries. The SARS-virus most likely<br />
originated in <strong>the</strong> Chinese wet-markets<br />
where live animals are being kept, sold and<br />
butchered in <strong>the</strong> most horrific, inhumane<br />
ways.<br />
Yet, <strong>by</strong> all accounts, <strong>the</strong> Chinese<br />
Communist Party did not take sufficient<br />
action to stop <strong>the</strong>se practices.<br />
In 2007, microbiologists in Hong Kong<br />
alarmingly reported that <strong>the</strong> way <strong>the</strong><br />
Chinese handled wild animals in <strong>the</strong>ir wet<br />
markets is “a ticking time-bomb”.<br />
Still, <strong>the</strong> Chinese Communist Party did<br />
not listen and refused to take action.<br />
When <strong>the</strong> COVID-19 virus broke out<br />
in Wuhan <strong>the</strong> CCP’s initial reaction was to<br />
ignore it as if nothing had happened. The<br />
second reaction was to silence anyone<br />
who choose not to. Several of <strong>the</strong> initial<br />
whistleblowers were persecuted <strong>by</strong> <strong>the</strong><br />
CCP and have since disappeared.<br />
A study from <strong>the</strong> University of<br />
Southampton recently showed that if<br />
Chinese authorities had reacted only three<br />
weeks earlier, transmission of COVID-19<br />
could have been reduced <strong>by</strong> 95 per<br />
percent.<br />
The responsibility for <strong>the</strong> deaths<br />
and <strong>the</strong> suffering that we currently are<br />
experiencing in <strong>the</strong> West hence falls<br />
heavily on <strong>the</strong> Chinese Communist Party.<br />
The Corona virus, however, is only <strong>the</strong><br />
latest in a long line of human suffering<br />
that <strong>the</strong> totalitarian CCP has caused since<br />
it grabbed power in 1949.<br />
We are now <strong>the</strong> ones to make a choice.<br />
How <strong>the</strong> West manages to respond to<br />
<strong>the</strong> grab for world domination from this<br />
bloodstained totalitarian regime will<br />
determine <strong>the</strong> future for our children<br />
and grandchildren as well as <strong>the</strong> fate<br />
of our civilization built on freedom and<br />
democracy. We also cannot allow <strong>the</strong> leftwing<br />
forces in our own countries to divide<br />
and weaken our societys from within.<br />
<strong>Our</strong> civilization and <strong>the</strong> values for which<br />
it stands are at stake. In <strong>the</strong>se testing<br />
times, if we are to stand a chance, we must<br />
rediscover and streng<strong>the</strong>n <strong>the</strong> roots of our<br />
civilization, our self-confidence, and our<br />
old alliances.<br />
OUR WORLD | MAY 2020<br />
47
POLITICAL ECONOMY OF A PANDEMIC<br />
The Black Swan of 2020<br />
By Dr Erol User<br />
The coronavirus pandemic is <strong>the</strong> black swan of 2020,<br />
leading financial markets into a level of decline not<br />
seen since <strong>the</strong> recession of 1987.<br />
According to <strong>the</strong> United Nations, COVID-19 has cost<br />
<strong>the</strong> global economy $50 billion just in exports in February<br />
alone. A recent Bloomberg estimate sees <strong>the</strong> cumulative<br />
damage to <strong>the</strong> entire global economy coming in at around<br />
$2.7 trillion.<br />
We’ve experienced one of <strong>the</strong> most severe stock market<br />
crashes in modern times. The current sell-of has been one<br />
of <strong>the</strong> sharpest in since <strong>the</strong> 1929 stock market crash.<br />
GOODS<br />
In April, Chinese manufacturing activity dropped to alltime<br />
lows. This is certain to affect <strong>the</strong> nations that China’s<br />
imports intermediate goods - those that are used in <strong>the</strong><br />
production of o<strong>the</strong>r finished products and can range from<br />
hard and soft commodities such as metals and soy beans,<br />
through to plastics used in manufacturing and active<br />
pharmaceutical ingredients (APIs) used in <strong>the</strong> production of<br />
drugs, all <strong>the</strong> way to finished car engines and LED screens<br />
– significantly dropped.<br />
According to <strong>the</strong> <strong>World</strong> Bank, China imports <strong>the</strong> largest<br />
amount of its intermediate goods from South Korea, Japan,<br />
<strong>the</strong> United States, and “o<strong>the</strong>r” Asian states. Additionally,<br />
it exports <strong>the</strong> biggest volume of intermediate goods to<br />
<strong>the</strong> United States, Vietnam, South Korea, and India. The<br />
coronavirus is already affecting <strong>the</strong>se deeply intertwined<br />
trade relationships and is almost certain to have a farreaching<br />
influence on entire supply chains and final<br />
markets for a wide variety of finished goods.<br />
We’re also seeing <strong>the</strong> first signs of nations hunkering<br />
down to protect <strong>the</strong>ir own best interests. India’s restriction<br />
of pharmaceutical exports is a perfect example of this.<br />
CRUDE OIL<br />
It was widely expected that coronavirus would cause<br />
a big shock to global oil markets and now we’ve seen<br />
historic drops in both <strong>the</strong> stock and energy markets, all<br />
in just a couple of weeks.<br />
It will potentially have immense consequences that hurt<br />
many areas of <strong>the</strong> global petroleum industry, but <strong>the</strong>re are<br />
also likely to be far broader geopolitical effects. For one,<br />
this could be <strong>the</strong> event that breaks <strong>the</strong> US shale oil industry.<br />
It’s widely known that American shale firms are highly overleveraged<br />
and unable to maintain profitability at oil prices<br />
below $40 per barrel. We could be looking at <strong>the</strong> end of this<br />
recent period of American energy self-sufficiency, which<br />
is problematic to say <strong>the</strong> least. The interconnections and<br />
possible implications are seemingly endless.<br />
S&P500<br />
The S&P dropped 30% in less than 3 weeks. Recently we<br />
have seen what looks like a pronounced correction, with<br />
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STRUCK BY THE PANDEMIC<br />
Dr Erol User<br />
President and CEO<br />
of User Corporation.<br />
Dr User is also a<br />
multi-award winning<br />
entrepreneur,<br />
veteran businessman,<br />
philanthropist,<br />
business/financial<br />
coach and educator<br />
SHUTTERSTOCK<br />
its biggest weekly gain since 1974 as <strong>the</strong><br />
Federal Reserve delivered ano<strong>the</strong>r wave of<br />
stimulus to cushion <strong>the</strong> economic impact<br />
from <strong>the</strong> Covid-19 pandemic, but we could<br />
be witnessing <strong>the</strong> beginning of something<br />
worse yet.<br />
BITCOIN<br />
However, blockchain may still have a chance<br />
to flourish during <strong>the</strong>se times of crisis.<br />
The recent COVID-19 outbreak is an<br />
event at risk of a so-called “black swan”<br />
tail because it is an anomalous value. it is<br />
necessary to recognize <strong>the</strong> ability of Bitcoin<br />
(BTC) to hedge <strong>the</strong> risk of <strong>the</strong> stock market,<br />
in fact, some economists and researchers<br />
refer to Bitcoin as “digital gold” and exposed<br />
to tail-risk only within <strong>the</strong> cryptocurrency<br />
markets, but it is not exposed to tail-risk<br />
compared to o<strong>the</strong>r asset markets, such as<br />
equity markets or gold.<br />
Thinking positive of blockchain to Turn<br />
Crisis into Opportunity!<br />
OUR WORLD | MAY 2020<br />
49
POLITICAL ECONOMY OF A PANDEMIC<br />
Reimagining History’s Path<br />
By Dimitris Valatsas<br />
Dimitris<br />
Valatsas<br />
Chief Economist at<br />
Greenmantle<br />
There should be no doubt:<br />
COVID-19 will leave all our societies<br />
poorer and more uncertain about<br />
<strong>the</strong> future—all economic policy can<br />
do and should do will be to mitigate<br />
and spread out <strong>the</strong>se costs. But<br />
perhaps <strong>the</strong> pandemic will also<br />
leave us wiser about <strong>the</strong> choices we<br />
make as citizens and consumers.<br />
In Laurent Binet’s latest alternate<br />
history novel, Civilizations, pandemics<br />
are used as a device that propel <strong>the</strong><br />
narrative forward. It is antibodies that<br />
allow <strong>the</strong> Incas to survive <strong>the</strong>ir first<br />
encounter with Western seafarers—<br />
and when <strong>the</strong> book’s heroes Miguel<br />
de Cervantes and Domenikos<br />
Theotokopoulos find <strong>the</strong>mselves<br />
imprisoned in Mexico-occupied<br />
Bordeaux, it is <strong>the</strong> advent of “<strong>the</strong> pest”<br />
that allows <strong>the</strong>m to escape. In history,<br />
both real and imagined, pandemics<br />
act as a Deus ex Machina: <strong>the</strong>y halt all<br />
activity on <strong>the</strong> set and drastically move<br />
<strong>the</strong> plot away from its prior determined<br />
course.<br />
And so it is with COVID-19 and <strong>the</strong><br />
political economy of <strong>the</strong> West. With<br />
<strong>the</strong> pandemic’s arrival, most of human<br />
activity ceased, with no regard to <strong>the</strong><br />
economic costs of <strong>the</strong> suspension.<br />
What is astonishing from a policy<br />
perspective is that almost nowhere<br />
was this perceived or resolved as a<br />
trade-off: with slightly varying degrees<br />
of hesitation, total shutdowns were<br />
imposed regardless of <strong>the</strong> cultural and<br />
state characteristics of each country or<br />
jurisdiction.<br />
Equally unimportant has been <strong>the</strong><br />
ideological orientation of <strong>the</strong> party in<br />
power in each state. The governments in<br />
Spain and <strong>the</strong> UK, for example, despite<br />
<strong>the</strong>ir radically different ideological<br />
composition, have deployed essentially<br />
<strong>the</strong> same public health measures with<br />
<strong>the</strong> same economic costs. And <strong>the</strong> same<br />
holds true of <strong>the</strong> measures currently<br />
being devised to help <strong>the</strong> economy:<br />
right- and left-wing governments alike<br />
are presiding over <strong>the</strong> largest expansion<br />
of <strong>the</strong> state in generations with equal<br />
degrees of urgency. Even in Washington,<br />
DC, decades of polarization over <strong>the</strong><br />
extent to which <strong>the</strong> state should support<br />
its citizens have been swept aside <strong>by</strong> a<br />
bold bipartisan effort to socialize <strong>the</strong><br />
costs of <strong>the</strong> pandemic.<br />
Indeed, with little ideological<br />
colouring, <strong>the</strong> main differentiating factor<br />
for governments has been competence.<br />
In a future religious history of <strong>the</strong> world,<br />
COVID-19 might well be seen as divine<br />
punishment for those countries that<br />
elected incompetent populists to high<br />
office. They have almost invariably been<br />
slower to recognize <strong>the</strong> danger faced <strong>by</strong><br />
<strong>the</strong>ir populations—and even when <strong>the</strong>y<br />
do, <strong>the</strong>y are hesitant to follow scientific<br />
advice and engage in quarrels with<br />
<strong>the</strong>ir own local authorities. Contrast<br />
this, for example, with <strong>the</strong> post-populist<br />
administration of Kyriakos Mitsotakis in<br />
Greece, where early and decisive action<br />
meant Greece has one of <strong>the</strong> lowest<br />
50 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
fatality rates in <strong>the</strong> European Union.<br />
Perhaps most encouragingly, COVID-19 has brought forth<br />
bold political action, especially in Europe. The same Eurogroup<br />
that last autumn demoted a proposed Euro Area budget to a<br />
puny budgetary instrument worth €17BN (~0.15% of GDP) last<br />
month agreed to more than €500BN of common measures to<br />
combat <strong>the</strong> impact of <strong>the</strong> virus. The same leaders who a few<br />
months ago were haggling over fractions of percentage points<br />
of GDP in <strong>the</strong> EU budget are now telling <strong>the</strong> Commission to<br />
start thinking in trillions.<br />
Of course, all of this has come at tremendous human and<br />
economic cost. The most tragic impact is being felt today,<br />
<strong>by</strong> <strong>the</strong> families of thousands of victims. But <strong>the</strong> social and<br />
economic scars of <strong>the</strong> lockdowns will be with us for a long<br />
time: unemployment, an increase in domestic violence,<br />
and a heavy mental health burden will continue to impact<br />
us for a long time to come. Finally, <strong>the</strong> enormous fiscal and<br />
monetary costs to cover <strong>the</strong> necessary relief efforts will bear<br />
on taxpayers and savers for most of <strong>the</strong> decade.<br />
There should be no doubt: COVID-19 will leave all our<br />
societies poorer and more uncertain about <strong>the</strong> future—all<br />
economic policy can do and should do will be to mitigate<br />
and spread out <strong>the</strong>se costs. But perhaps <strong>the</strong> pandemic will<br />
also leave us wiser about <strong>the</strong> choices we make as citizens<br />
and consumers.<br />
The expedience of populism has been shown to be a very<br />
expensive option indeed when exposed to a real crisis. A<br />
fixation on moral hazard and individual responsibility has<br />
proven a poor policy guide to combatting a societal challenge,<br />
whe<strong>the</strong>r in U.S. healthcare or EU fiscal policy.<br />
None<strong>the</strong>less, <strong>the</strong> crisis has also revealed <strong>the</strong> resilience<br />
of Western political systems. <strong>Our</strong> democracies have been<br />
just as effective as authoritarian regimes in shutting down<br />
contagion—and done so without abandoning <strong>the</strong> civil and<br />
personal liberties at <strong>the</strong>ir core. The social contract of trust<br />
between citizens and government, <strong>the</strong> subject of so many<br />
obituaries in recent years, has proven a powerful keeper of<br />
<strong>the</strong> peace.<br />
As it does in Binet’s novel, <strong>the</strong> current pandemic has wiped<br />
<strong>the</strong> slate clean: it forces us to rethink our policy preferences<br />
anew, unburdened <strong>by</strong> path dependence. As <strong>the</strong> past few<br />
weeks have shown, reducing greenhouse gas emissions<br />
and providing an economic safety net are not as politically<br />
impossible as we thought. Like <strong>the</strong> great French author, <strong>the</strong><br />
current crisis allows us to reimagine history’s path—perhaps<br />
toward a more humane and more sustainable future.<br />
SHUTTERSTOCK<br />
OUR WORLD | MAY 2020<br />
51
POLITICAL ECONOMY OF A PANDEMIC<br />
The O<strong>the</strong>r Half<br />
By Sabina Ciofu<br />
Sabina Ciofu<br />
Head of EU and Trade<br />
Policy at techUK<br />
Writing this on my laptop in <strong>the</strong> comfort<br />
of my living room, my challenges in this<br />
bizarre age of lockdown have nothing<br />
to do with survival, keeping a job or feeding a<br />
family. You, because you are reading this – for<br />
which I am grateful – are fairly tech savvy, have a<br />
reasonable internet connection and some spare<br />
time. Life is definitely not ideal, but <strong>the</strong> worst parts<br />
for <strong>the</strong> lucky ones among us who have not been<br />
directly affected <strong>by</strong> this terrible disease are <strong>the</strong><br />
nuisance of confinement, too much screen time<br />
and perhaps some mild anxiety.<br />
Technology has allowed some of us to carry<br />
on productive work, home-school and entertain<br />
children, connect with family and friends and get<br />
deliveries to our door step. It has allowed us to<br />
exercise, for cheap or free, and check out <strong>the</strong> latest<br />
videos, movies and recipes – all a few clicks away.<br />
The internet speed has kept up with all of us, <strong>the</strong><br />
cloud infrastructure also.<br />
Not only that, but trends in emerging and<br />
transformative tech have accelerated. 3D printers<br />
have provided bits and pieces of personal protective<br />
equipment when global markets ran out of it.<br />
Edge computing models can be used to monitor<br />
traffic flows and large ga<strong>the</strong>rings to accurately<br />
convey real-time information for authorities. And<br />
<strong>the</strong> advanced adoption of technology to power<br />
computer simulations of protein folding is helping<br />
scientists combat COVID-19, <strong>by</strong> providing a 3D<br />
molecular structure of <strong>the</strong> coronavirus.<br />
And looking forward, as governments are<br />
discussing and planning for exit strategies, it is<br />
increasingly acknowledged that <strong>the</strong> more digital an<br />
economy, <strong>the</strong> better and faster it will recover. The<br />
same goes for businesses. The more digitalised a<br />
company’s processes are, <strong>the</strong> easier it will move<br />
through this crisis and recover after. And <strong>the</strong> same<br />
goes for us. The more tech savvy you are, <strong>the</strong> less<br />
of <strong>the</strong> economic burn you’ll feel as we come out<br />
of <strong>the</strong> emergency.<br />
So where does that leave <strong>the</strong> o<strong>the</strong>r half?<br />
But 50% of <strong>the</strong> world population is not online.<br />
That is roughly 3.6 billion people. The digital divide<br />
– and <strong>the</strong> fact that income and home internet<br />
access are correlated – explains much of <strong>the</strong><br />
inequality we observe in people’s ability to selfisolate.<br />
Poorer people are both at higher risk of<br />
getting <strong>the</strong> virus and likely to face <strong>the</strong> worst of <strong>the</strong><br />
pandemic’s economic consequences.<br />
Countries around <strong>the</strong> world have to deal with a<br />
fine balancing act of protecting <strong>the</strong>ir citizens from<br />
<strong>the</strong> virus while also trying to limit <strong>the</strong> financial hit.<br />
Developing nations have an even higher mountain<br />
to climb. Ten African states have no ventilators<br />
at all. In Uganda, <strong>the</strong>re are only 55 intensive care<br />
beds for 43 million citizens, while Bangladesh has<br />
just 1,100 ICU beds for a population of more than<br />
160 million. Transformative technology is all but<br />
a dream in many places.<br />
And if that feels a bit too far from home, in<br />
Europe only about a half of rural households<br />
have access to high-speed broadband. Remote<br />
working, home schooling, online consultations?<br />
Not for <strong>the</strong>m. And even in households with<br />
internet access, that is not automatically enough<br />
for families to make best use of online offerings.<br />
The lack of digital skills prevents whole chunks<br />
of society from benefitting from <strong>the</strong> available<br />
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STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
technology. Plus, children of essential workers often have to<br />
take extra responsibilities at home that limit <strong>the</strong>ir availability<br />
for online education.<br />
In <strong>the</strong> US, even if access to technology has increased<br />
dramatically, lower-income parents put <strong>the</strong>ir children in front<br />
of screens for nearly twice as long each day as richer parents.<br />
The tech sector has stepped up to <strong>the</strong> challenge. Through its<br />
Airband Initiative, combining new TV White Spaces technology<br />
with existing wireless solutions, Microsoft has demonstrated<br />
that lower cost solutions exist to deliver broadband quickly and<br />
efficiently to underserved areas. In Singapore, Visa has partnered<br />
with a local organisation to promote digital inclusion for senior<br />
citizens, who have high levels of knowledge about available apps<br />
but don’t actually use <strong>the</strong>m. And in <strong>the</strong> UK, Lloyds Banking Group<br />
and <strong>the</strong> Good Things Foundation have created a funding network<br />
of 100 centres who will support learners to improve <strong>the</strong>ir digital<br />
and financial literacy skills. techUK has also been working with<br />
an Industry Coalition to support <strong>the</strong> Department for Education in<br />
<strong>the</strong> UK in providing vulnerable and disadvantaged young people<br />
with digital devices and online learning to support <strong>the</strong>ir remote<br />
education.<br />
Yet, it’s fair to say it will take a lot more than individual<br />
corporate initiatives to close that enlarging gap as we move<br />
into <strong>the</strong> post-COVID world. It will take governments to realise<br />
that “my country first” is not a sustainable policy choice in <strong>the</strong><br />
long term. Turning our back to <strong>the</strong> most vulnerable countries<br />
and communities in a global pandemic will not make us safer,<br />
healthier or better off.<br />
It will also take civil society to put pressure where it’s needed.<br />
It will take <strong>the</strong> scientific community to inform on <strong>the</strong> best ways<br />
of levelling up. It will take journalists to investigate and reveal <strong>the</strong><br />
worst impacts of this crisis. And ultimately it will take everyone,<br />
including those of us in lockdown bubbles of online yoga classes<br />
and fresh food deliveries, to recognise that we have a collective<br />
responsibility to help out in rebuilding our communities.<br />
There will be serious impacts of this crisis way beyond <strong>the</strong><br />
current health emergency. Only this past week, <strong>the</strong> UN is warning<br />
of severe famine threatening large parts of <strong>the</strong> world population.<br />
Severe poverty across <strong>the</strong> globe is rising, as economies slow<br />
down. And <strong>the</strong> people that kept us alive and safe through this<br />
crisis, <strong>the</strong> frontline workers, <strong>the</strong> cashiers, <strong>the</strong> delivery drivers,<br />
deserve a lot more than <strong>the</strong> Twitter thank yous. You clapped<br />
and I clapped, but <strong>the</strong> real test will be seeking long-term change<br />
when we are on <strong>the</strong> o<strong>the</strong>r side of this.<br />
1<br />
Nber.org/papers/w26982<br />
2<br />
https://www.commonsensemedia.org/research/<strong>the</strong>-common-sense-census-media-use-<strong>by</strong>-kids-age-zero-to-eight-2017<br />
3<br />
https://www.microsoft.com/en-us/corporate-responsibility/airband<br />
4<br />
https://www.finextra.com/pressarticle/76498/visa-forms-partnership-to-promote-digital-inclusion-for-seniors-in-singapore<br />
OUR WORLD | MAY 2020<br />
53
POLITICAL ECONOMY OF A PANDEMIC<br />
The Great Lockdown: A Glimpse<br />
of a More Sustainable Future?<br />
By Peter R. Styles<br />
Peter R. Styles<br />
Managing Director,<br />
Stratos European<br />
Policy Limited -<br />
Principal Consultant,<br />
Stratos Energy<br />
Consulting - Executive<br />
Vice Chair, European<br />
Federation of Energy<br />
Traders<br />
We all feel (or have felt) frustration at <strong>the</strong> interruption of our<br />
regular work routine, our chosen leisure pursuits, our social<br />
round, our holiday plans during <strong>the</strong> social confinement<br />
induced <strong>by</strong> <strong>the</strong> Covid-19 pandemic . Many employees and selfemployed<br />
people round <strong>the</strong> world have been denied <strong>the</strong> opportunity<br />
to work and earn. Some have endured harm to <strong>the</strong>ir physical or<br />
mental health. However, if we look past our personal circumstances,<br />
<strong>the</strong> period of lockdown and isolation does offer a good moment<br />
to rethink and reshape our ways of living, working, travelling and<br />
consuming. Some of <strong>the</strong> short term adaptations we are forced to<br />
make now give us a clue as to <strong>the</strong> long term, systemic changes citizens<br />
and governments could embrace. Such changes would contribute<br />
hugely to an eventually carbon neutral economy, be good for <strong>the</strong><br />
environment more broadly and benefit society.<br />
We currently experience not only disruption<br />
but also interesting changes of behaviour during<br />
<strong>the</strong> Covid-19 induced lockdown and deepening<br />
economic downturn. We are replacing<br />
many physical business meetings and much<br />
business travel with teleconferences and video<br />
conferences. Information intensive services<br />
such as education, banking and government are<br />
largely delivered online. Even exercise classes,<br />
cookery instruction, concerts, plays and medical<br />
consultations are portrayed and conducted via<br />
a screen and loudspeaker or headphones.<br />
Which changes will stick? Which changes<br />
should government, including local government,<br />
encourage to persist?<br />
On <strong>the</strong> assumption some adaptations we<br />
have recently undertaken will endure, or at least<br />
that <strong>the</strong>ir endurance could be facilitated, we<br />
may now contemplate previously unimagined<br />
opportunities for doing things differently on<br />
a permanent basis. Here are two types of<br />
revolution which businesses, institutions and<br />
policymakers could evaluate, with carbon<br />
neutrality, environmental benefits (especially<br />
for air quality) and cost efficiency in mind:<br />
1. A new approach to space in<br />
office, retail and educational<br />
buildings<br />
The lockdowns imposed during <strong>the</strong> Covid-19<br />
outbreak have shown us that increased<br />
home working and home study are not only<br />
feasible but also convenient, less stressful<br />
and potentially more productive. We begin to<br />
witness <strong>the</strong> digital era’s equivalent of a rapid<br />
mass literacy programme – now in <strong>the</strong> shape of<br />
a giant, hands-on training programme in how<br />
to use IT. We should profit permanently from<br />
this human capital windfall – if only managers<br />
will appreciate its magnitude and tolerate <strong>the</strong><br />
“loss of control” on <strong>the</strong>ir part, which <strong>the</strong>y may<br />
perceive it to entail.<br />
If many of us can work for a lot of <strong>the</strong> time<br />
efficiently from home and order our purchases<br />
through home or mobile internet enabled<br />
devices, are all <strong>the</strong> buildings currently used for<br />
offices, education and shops going to be needed<br />
in future?<br />
Take <strong>the</strong> example of local government<br />
offices. Is <strong>the</strong>re scope for municipal authorities<br />
sell off <strong>the</strong>ir buildings or <strong>the</strong>ir land for affordable<br />
54 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
housing close to city centres, divert<br />
<strong>the</strong> proceeds to much needed public<br />
works and social assistance and occupy<br />
a minimum of office space elsewhere<br />
for hot desking? In many towns empty<br />
floors of buildings above shops, or<br />
indeed shops <strong>the</strong>mselves, are already<br />
available at discounted prices. In some<br />
cases <strong>the</strong> council will already own those<br />
premises?<br />
Lots of commercial office space<br />
too will not be required, if desk jobs<br />
continue to be performed from home,<br />
or on a rotational, part time attendance<br />
basis. This office space, much of it<br />
located close to <strong>the</strong> urban centres and<br />
to public transport, could <strong>the</strong>n be turned<br />
into flats or redeveloped for housing.<br />
Such dwellings could substitute for flats<br />
and small houses, often pushed out to<br />
greenfield sites with no sustainable<br />
infrastructure in <strong>the</strong> countryside. The<br />
reduced carbon footprint of <strong>the</strong> urban<br />
dwellers would be an added benefit,<br />
on top of <strong>the</strong> avoided environmental<br />
impact of greenfield construction.<br />
In <strong>the</strong> city where I live, Canterbury<br />
in England, we may also wonder why<br />
we need such a huge footprint of<br />
educational buildings, even if tens of<br />
thousands of undergraduates and<br />
schoolchildren study here, coming from<br />
all over <strong>the</strong> district, indeed many from<br />
all over <strong>the</strong> world. Now that we know<br />
pupils and students could for much of<br />
<strong>the</strong> academic year work online from<br />
home or shared space (once social<br />
distancing is relaxed) <strong>the</strong>re is enormous<br />
scope to utilise <strong>the</strong>se buildings more<br />
productively or to convert <strong>the</strong>m. Do<br />
we need big lecture <strong>the</strong>atres anymore?<br />
Could students in different faculties or<br />
different institutions share teaching<br />
space and libraries? Or rotate in <strong>the</strong>ir<br />
physical attendance between weeks,<br />
seasons or even periods of <strong>the</strong> day?<br />
2. Reducing travel and<br />
staggering and varying<br />
travel times<br />
We are seeing during lockdown such<br />
profound changes in patterns of<br />
human activity socially, economically<br />
and workwise, that I think we must<br />
also reflect on <strong>the</strong> implications for<br />
travel needs, and even <strong>the</strong> justification<br />
for travel (especially at set times) in <strong>the</strong><br />
future.<br />
One way in which remote working<br />
may boost productivity is <strong>by</strong> making<br />
it cheaper for businesses to scale up<br />
geographically, and in reducing <strong>the</strong><br />
wasted time and <strong>the</strong> stress involved in<br />
employees travelling to a communal<br />
place of work. Most deskbound workers<br />
have been empowered during this crisis<br />
to forget <strong>the</strong> congestion <strong>the</strong>y normally<br />
encounter in pursuit of <strong>the</strong>ir daily duties.<br />
Similarly, students and schoolchildren<br />
and <strong>the</strong>ir parents have not been obliged<br />
over this period to compete with o<strong>the</strong>r<br />
commuters for road space or a seat on<br />
<strong>the</strong> train or bus.<br />
Even food shopping is of necessity<br />
more evenly spaced over <strong>the</strong> day, in<br />
keeping with <strong>the</strong> social distancing<br />
enforced in supermarkets, farm shops<br />
and corner shops alike. Meanwhile<br />
shopping for most o<strong>the</strong>r items has<br />
been driven online, and thus requires<br />
only journeys to multiple residential<br />
destinations <strong>by</strong> <strong>the</strong> same delivery<br />
vehicle, ra<strong>the</strong>r than multiple trips<br />
to shops <strong>by</strong> individual drivers and<br />
passengers.<br />
So, given a free choice, why would<br />
citizens, whe<strong>the</strong>r as managers,<br />
employees, freelancers, teachers,<br />
students or shoppers ever again<br />
wish to subject <strong>the</strong>mselves to <strong>the</strong><br />
deprivations of a morning, afternoon<br />
or evening “rush hour”? Might we<br />
conclude that a core component of a<br />
future sustainable transport system,<br />
in addition to modal shift, must be a<br />
reduction in <strong>the</strong> incidence of journeys,<br />
especially journeys <strong>by</strong> car at times of<br />
historic congestion? If we can all do<br />
our work and procure <strong>the</strong> supplies we<br />
need without filling town centre or out<br />
of town car parks, think of <strong>the</strong> fur<strong>the</strong>r<br />
potential for releasing land for housing<br />
within existing conurbations and near<br />
to existing public transport facilities.<br />
Finally, under <strong>the</strong> sustainable<br />
transport heading, we might reflect on<br />
implications of a revolution in <strong>the</strong> place<br />
and timing of our work and studies on<br />
our leisure and holiday travel habits.<br />
Would most visits to friends, family<br />
members and tourist attractions still<br />
need to be restricted to weekends?<br />
Must family seaside and overseas<br />
holidays be crammed into traditional<br />
school holidays? If all <strong>the</strong> trips involved<br />
were more evenly spaced out across<br />
<strong>the</strong> day, across <strong>the</strong> week and across<br />
seasons, while private travel for work<br />
and shopping would have diminished,<br />
does our society really need to plan<br />
for incessant extension and widening<br />
of motorways and additions of airport<br />
capacity?<br />
Thus, could we not, in place of<br />
enhanced public spending on grand<br />
physical transport projects and<br />
expansion of road networks, invest<br />
more in IT training and building faster,<br />
higher capacity broadband networks?<br />
Beyond repurposing our building<br />
stock, reducing <strong>the</strong> need for new<br />
construction and rethinking our<br />
travel patterns, fur<strong>the</strong>r opportunities<br />
for reducing carbon footprints,<br />
environmental improvement and<br />
societal reform arise from learnings<br />
during <strong>the</strong> lockdown period. Briefly,<br />
<strong>the</strong>se include:<br />
• A reduction in our overall<br />
consumption of goods, especially cars,<br />
clo<strong>the</strong>s and household items<br />
• Fostering local and shorter supply<br />
chains<br />
• Zero waste business and<br />
household models – for example<br />
<strong>by</strong> incentivising re-use and repair of<br />
products, introducing “pay to get rid of”<br />
mechanisms and mandating recycling<br />
of separable commodities<br />
• Offsetting <strong>the</strong> lower wholesale<br />
price of petroleum, natural gas and<br />
petroleum derivatives <strong>by</strong> raising carbon<br />
taxes on retail hydrocarbon products<br />
and/or expansion of carbon emissions<br />
trading systems into new sectors of <strong>the</strong><br />
economy.<br />
OUR WORLD | MAY 2020<br />
All views expressed in this article are personal to <strong>the</strong> author and are not to be attributed to<br />
any of <strong>the</strong> clients he advises nor to any association he represents.<br />
55
POLITICAL ECONOMY OF A PANDEMIC<br />
What are <strong>the</strong> Geo-Economic<br />
SHUTTERSTOCK<br />
Impacts of <strong>the</strong> Coronavirus Crisis?<br />
Most people have heard of<br />
<strong>the</strong> Black Death, a pandemic<br />
that killed a third of Europe’s<br />
population in <strong>the</strong> 14th century, and<br />
entire treatises have been written<br />
about its profound impact on <strong>the</strong><br />
economy and society. Yet before 2020,<br />
most had not heard of <strong>the</strong> Spanish Flu<br />
pandemic of 1918-1920—which killed<br />
almost as many as <strong>the</strong> Black Death—as<br />
its lasting effect on <strong>the</strong> world was much<br />
less significant.<br />
One hundred years from now, will<br />
<strong>the</strong> coronavirus be a largely forgotten<br />
episode like <strong>the</strong> Spanish Flu, or will it—<br />
like <strong>the</strong> Black Death—be remembered<br />
<strong>by</strong> all as a pivotal event in human<br />
history?<br />
We remain at an early stage in<br />
<strong>the</strong> pandemic, making it difficult to<br />
predict <strong>the</strong> long-term consequences<br />
with any degree of confidence; and<br />
analysis is made harder <strong>by</strong> <strong>the</strong> hysteria<br />
propagated <strong>by</strong> traditional and social<br />
forms of media. Yet <strong>the</strong>re remain clues<br />
that suggest that important long-term<br />
changes may well take root in <strong>the</strong> virus’<br />
wake.<br />
First is <strong>the</strong> deglobalization trend<br />
that started in earnest following <strong>the</strong><br />
global financial crisis of 2008. Many<br />
in advanced countries, especially<br />
those from low-income groups, have<br />
come to perceive global economic<br />
integration—known as globalization—<br />
as a threat to <strong>the</strong>ir livelihoods, and to<br />
56 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Omar<br />
Al-Ubaydli<br />
PhD, Researcher at<br />
<strong>the</strong> Bahrain Center for<br />
Strategic, International<br />
and Energy Studies<br />
(Derasat), Non-Resident<br />
Fellow at <strong>the</strong> Arab<br />
Gulf States Institute,<br />
Washington<br />
OUR WORLD | MAY 2020<br />
<strong>the</strong>ir sense of identity. This has created<br />
political pressure in favor of restrictions<br />
such as tariffs and migration quotas, and<br />
has been a key part of <strong>the</strong> platform of<br />
politicians such as Donald Trump and<br />
Boris Johnson.<br />
While not a cause of this deglobalization<br />
trend, <strong>the</strong> coronavirus is<br />
likely to accelerate it, as <strong>the</strong> pandemic<br />
has exposed some of <strong>the</strong> risks associated<br />
with high levels of economic integration.<br />
In particular, supply chains have been<br />
disrupted, and <strong>the</strong> livelihoods of those<br />
dependent upon global trade threatened.<br />
Consequently, even French President<br />
Emmanuel Macron—a staunch defender<br />
of globalization and multilateralism—has<br />
affirmed <strong>the</strong> need for France to become<br />
self-sufficient in <strong>the</strong> production of certain<br />
strategically-important goods, such as<br />
basic medical equipment.<br />
Second is a change in <strong>the</strong> structure<br />
of <strong>the</strong> economy, with certain industries<br />
contracting permanently, and o<strong>the</strong>rs<br />
expanding in <strong>the</strong>ir place. Aviation is under<br />
serious threat, due to <strong>the</strong> abundance of<br />
potentially long-lasting travel restrictions;<br />
as are sectors where <strong>the</strong> business model<br />
requires people being in close physical<br />
proximity: restaurants, brick-and-mortar<br />
retail, and professional sport are but a<br />
few examples. In contrast, e-commerce,<br />
logistics, and digital home entertainment<br />
are all emergent winners, as reflected in<br />
<strong>the</strong> rising share price of companies such<br />
as Zoom, Amazon, and Netflix while<br />
aggregate market indices are tumbling.<br />
The transition is unlikely to be smooth,<br />
since sectors such as aviation and<br />
traditional retail employ millions, while<br />
e-commerce and digital entertainment<br />
are predicated on much lower levels of<br />
human inputs. There is a genuine fear<br />
of a protracted period of structural<br />
unemployment as <strong>the</strong> economy adjusts,<br />
bringing with it social and political<br />
instability, as well as hardship for millions<br />
of job seekers. Fearful governments may<br />
well double down on <strong>the</strong>ir deglobalization<br />
policies in response to <strong>the</strong> pressure,<br />
exacerbating <strong>the</strong> worldwide deterioration<br />
in international relations and respect for<br />
international law.<br />
Finally, <strong>the</strong> fiscal stimulus packages<br />
that have been launched to counter <strong>the</strong><br />
coronavirus’s economic damage are not<br />
cheap, and <strong>the</strong>y come at a time when<br />
many advanced economies have debt to<br />
GDP levels that exceed 100%, figures that<br />
are more commonly seen <strong>by</strong> countries<br />
in a state of war. These debt levels will<br />
rise several notches thanks to <strong>the</strong> outlays,<br />
accentuating <strong>the</strong> slowdown in economic<br />
growth among advanced economies that<br />
started in <strong>the</strong> 1970s, as investors start<br />
to wonder how <strong>the</strong> money will ever be<br />
repaid.<br />
None of <strong>the</strong> solutions are palatable:<br />
higher taxes, inflation, and default each<br />
come with <strong>the</strong>ir own selection of ills;<br />
but <strong>the</strong>y all share in common <strong>the</strong> likely<br />
reinforcement of isolationist tendencies,<br />
as populations close rank and start to<br />
blame foreigners for <strong>the</strong>ir problems. The<br />
alarming rise of populist leaders across<br />
all parts of <strong>the</strong> European Union confirms<br />
that politicians are only too happy to<br />
indulge such xenophobic tendencies, and<br />
in fact, many are delighted to lead from<br />
<strong>the</strong> front.<br />
By <strong>the</strong> time 2030 comes along, <strong>the</strong><br />
supposed end date of <strong>the</strong> implementation<br />
period of <strong>the</strong> sustainable development<br />
goals (SDGs), global geo-politics could<br />
be highly strained. In that case, <strong>the</strong><br />
coronavirus must take its share in <strong>the</strong><br />
blame, as it has given countries that<br />
have grown distrustful of each o<strong>the</strong>r an<br />
additional excuse to close doors ra<strong>the</strong>r<br />
than open <strong>the</strong>m.<br />
Something coincidentally similar<br />
happened following <strong>the</strong> Spanish Flu,<br />
as <strong>the</strong> interwar era witnessed rising<br />
protectionism and beggar-thy-neighbor<br />
trade policies. Tragically, <strong>the</strong> conclusion<br />
was <strong>the</strong> second world war, and 80<br />
million deaths, but in its wake came one<br />
of <strong>the</strong> golden eras of global prosperity,<br />
with living standards rising, inequality<br />
decreasing, and peace reigning, as<br />
humans saw <strong>the</strong> folly of <strong>the</strong>ir ways. Let us<br />
hope that <strong>the</strong> middle of <strong>the</strong> 21st century<br />
brings ano<strong>the</strong>r golden era, without <strong>the</strong><br />
need for <strong>the</strong> death and destruction of a<br />
world war to remind us all; or, as Mahatma<br />
Gandhi once quipped: “Whenever you are<br />
confronted with an opponent. Conquer<br />
him with love.”<br />
57
POLITICAL ECONOMY OF A PANDEMIC<br />
Fixing <strong>the</strong> Eurozone for <strong>the</strong> Next 50 Years<br />
By Juha-Pekka Nurvala<br />
Juha-Pekka<br />
Nurvala<br />
Former Senior Political<br />
Advisor for Economic<br />
and Social Policy,<br />
European People’s<br />
Party - Political<br />
Economist, London<br />
School of Economics<br />
Covid-19 has exposed <strong>the</strong> rational<br />
dysfunction at <strong>the</strong> heart of<br />
European decision making. It is<br />
perfectly rational for Finance Ministers<br />
such as Hoekstra (EPP - NL) and Kulmuni<br />
(RE - FI) to resist measures which are<br />
economically sound yet counter-intuitive<br />
politically. For <strong>the</strong>m, a recovery fund<br />
and common crisis measures comes<br />
with immediate political cost and only<br />
long-term economic benefits for <strong>the</strong>ir<br />
countries.<br />
A European Recovery Fund is an<br />
economically sound proposition; it is<br />
however clear that we won’t solve this<br />
crisis <strong>by</strong> relying on issuing more debt as<br />
most Euro countries have already high<br />
debt to GDP ratios. If countries are left<br />
to deal with <strong>the</strong> Covid crisis on <strong>the</strong>ir<br />
own, we can expect debt to GDP ratios<br />
to increase in line with <strong>the</strong> previous crisis,<br />
if not considerably more.<br />
The strawman argument of<br />
mutualising existing debt is nei<strong>the</strong>r on<br />
<strong>the</strong> table, nor helpful or desired as a<br />
policy in general. We must understand<br />
that this isn’t a “normal” crisis.<br />
Like generals fighting <strong>the</strong> previous<br />
war, we have politicians arguing<br />
mistakenly about <strong>the</strong> previous crisis.<br />
They are acting individually in a rational<br />
way, but unfortunately, collectively<br />
undermining our economy.<br />
This moment calls for political leaders<br />
who are strong and committed enough<br />
to state: “I do not care only about <strong>the</strong><br />
wellbeing of my national citizens. I care<br />
about <strong>the</strong> wellbeing of all Europeans.”<br />
Unfortunately, it seems that we are<br />
not mature enough to understand our<br />
interests geopolitically. Yet once again,<br />
many countries fall back to narrowly<br />
professing <strong>the</strong>ir own excellence over<br />
<strong>the</strong>ir immediate neighbours and natural<br />
allies, with whom <strong>the</strong>y share <strong>the</strong> most.<br />
Failure to act decisively, will cause<br />
irreparable human suffering in all EU<br />
countries ei<strong>the</strong>r directly or indirectly.<br />
Economically weakened and bitterly<br />
divided Europe will succumb to being<br />
a wholly irrelevant global player,<br />
divided between those who lean more<br />
towards <strong>the</strong> US, Russia or China. The<br />
consequences of an economic collapse<br />
may drive more countries to follow<br />
Hungary in abandoning <strong>the</strong> principles<br />
of democracy.<br />
200.<br />
180.<br />
160.<br />
140.<br />
120.<br />
100.<br />
80.<br />
60.<br />
40.<br />
20.<br />
0.<br />
Belgium<br />
Czechia<br />
Germany<br />
Estonia<br />
Ireland<br />
Greece<br />
Spain<br />
France<br />
Italy<br />
Debt/GDP ratio<br />
Cyprus<br />
THERE IS HOPE<br />
Bizarre as it might seem, however,<br />
now is <strong>the</strong> moment to fix <strong>the</strong> Eurozone for<br />
<strong>the</strong> next 50 years while simultaneously<br />
easing <strong>the</strong> current economic crisis.<br />
The previous economic crisis started<br />
<strong>the</strong> process of turning <strong>the</strong> ECB into <strong>the</strong><br />
rightfully formidable global monetary<br />
actor it is. Now, it will need to take<br />
fur<strong>the</strong>r steps to complete its evolution<br />
and assert that it will do what it takes<br />
to defend <strong>the</strong> Eurozone, without<br />
limitations.<br />
The eurozone design is<br />
fundamentally unstable. The original<br />
designers relied on <strong>the</strong> explicit idea<br />
that necessary, yet politically difficult<br />
decisions, would be forced through <strong>by</strong><br />
<strong>the</strong> need to survive in a crisis.<br />
That failed in <strong>the</strong> previous crisis <strong>by</strong><br />
making <strong>the</strong> crisis longer and deeper<br />
and likely <strong>the</strong> same will happen with <strong>the</strong><br />
current crisis. In <strong>the</strong> previous crisis, <strong>the</strong><br />
EU’s common actions were too little, too<br />
slow and too late.<br />
This is no time for despair but for<br />
creativity, within <strong>the</strong> confines of <strong>the</strong><br />
Treaties. Any solution must be such that<br />
short-term political interests do not clash<br />
with long-term economics, because<br />
politics always trumps economics.<br />
Latvia<br />
2007 2019<br />
Lithuania<br />
Luxembourg<br />
Malta<br />
Ne<strong>the</strong>rlands<br />
Austria<br />
Por tug al<br />
Slovenia<br />
Slovakia<br />
Finland<br />
58 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
OUR WORLD | MAY 2020<br />
DO THE UNTHINKABLE<br />
– DIRECT FINANCING BY ECB<br />
As previously shown, debt to GDP ratios are<br />
already high, and it is doubtful that EU countries<br />
can implement necessary economic support<br />
programmes while tax receipts dramatically fall, and<br />
expenses increase. Austerity would be <strong>the</strong> worst<br />
possible policy to enact in <strong>the</strong> current situation<br />
economically, socially, politically and geo-politically.<br />
It would hurt <strong>the</strong> most vulnerable people and<br />
reduce demand dramatically in <strong>the</strong> short-term, while<br />
destroying our long-term growth potential. We need<br />
to accept <strong>the</strong> unconventional nature of this crisis<br />
and <strong>the</strong> severe fiscal restrictions. Therefore, we<br />
must pursue policies that we would not normally<br />
even consider. The first measure to allow countries<br />
to support <strong>the</strong> people, would be for <strong>the</strong> ECB to<br />
reinterpret its treaty mandate, and fund Eurozone<br />
countries directly to avoid lost decades. It is a highly<br />
unusual measure but so is <strong>the</strong> situation.<br />
Five-year inflation futures are at around 1% and<br />
demand is dramatically dropping, meaning that<br />
<strong>the</strong>re is a good amount of space before inflation<br />
would become an issue.<br />
The second step is for <strong>the</strong> ECB to effectively<br />
forgive a proportionally equal amount of Member<br />
States’ sovereign bonds that are held <strong>by</strong> <strong>the</strong> ECB. This<br />
could be done <strong>by</strong> extending ECB-held bonds payment<br />
terms until 2120 or <strong>by</strong> explicitly writing down <strong>the</strong><br />
bonds, as a negative balance sheet would not be an<br />
issue for <strong>the</strong> ECB. The alternative would be issuing<br />
perpetual bonds as part of <strong>the</strong> Recovery Fund.<br />
This move would create breathing space<br />
for public investments to boost demand. The<br />
alternative, tax cuts, would barely impact demand<br />
in this current situation.<br />
SHUTTERSTOCK<br />
FIXING EUROZONE FOR THE NEXT 50 YEARS<br />
After those two immediate steps to avoid economic<br />
and social calamity in Europe, we must also take<br />
decisions to address <strong>the</strong> long-term structural<br />
problems in <strong>the</strong> Eurozone. Effectively, most of <strong>the</strong><br />
toxic economic and political dynamics could be<br />
solved through two decisions.<br />
Notably we must impose a risk-weighting on<br />
sovereign bonds and drastically cut <strong>the</strong> ability of<br />
banks to hold any single country’s sovereign debts<br />
<strong>by</strong> reforming large exposure rules.<br />
These two decisions would cut <strong>the</strong> link between<br />
banks and sovereigns and ban banks overtly holding<br />
<strong>the</strong> bonds of <strong>the</strong> country of <strong>the</strong>ir domiciliation. This<br />
change would mean that if a country would find<br />
<strong>the</strong>mselves in economic trouble due to bad politics<br />
and economics, <strong>the</strong>re is no need to bail <strong>the</strong>m out<br />
because contagion to o<strong>the</strong>r countries or to <strong>the</strong> real<br />
economy would be drastically reduced.<br />
In such a circumstance, <strong>the</strong> country would go<br />
through debt restructuring and <strong>the</strong> EU would not<br />
need to impose any rules on a maximum debt to<br />
GDP ratio. The EU’s economic rules are criticised<br />
rightfully for being economically illiterate and<br />
politically toxic. Let’s give <strong>the</strong> responsibility for sound<br />
public economics back to <strong>the</strong> capitals so <strong>the</strong>y cannot<br />
shift blame for <strong>the</strong>ir irresponsible ideas to anyone<br />
else again. By combining short-term measures with<br />
long-term measures, we could also remove moral<br />
hazard from <strong>the</strong> equation.<br />
We need a sound and healthy Eurozone, which<br />
is a source of strength instead of political division for<br />
our continent to be relevant. But maybe even more,<br />
we need to mature and expand our understanding<br />
of our collective interests from narrow national to<br />
geopolitical definitions.<br />
59
POLITICAL ECONOMY OF A PANDEMIC<br />
SHUTTERSTOCK<br />
Going Viral: COVID-19’s<br />
Harsh Lessons<br />
By Mitchell Belfer<br />
When <strong>the</strong> history of COVID-19<br />
is written, its authors will not<br />
only judge <strong>the</strong> process of<br />
contagion, mortality rates and economic<br />
paralyses; <strong>the</strong>y will also account for <strong>the</strong><br />
triple crises of trust, governance and<br />
globalism. Many assumptions have<br />
simply been shattered while o<strong>the</strong>rs —<br />
such as suicidal dependency — have<br />
been confirmed. It may be in vogue to<br />
debate whe<strong>the</strong>r or not COVID-19 is eradefining;<br />
if it is a watershed moment that<br />
will change <strong>the</strong> trajectory of history, but<br />
this is all speculation. Instead of focusing<br />
on some distant, ill-defined future, it is<br />
important to deal with <strong>the</strong> here and now:<br />
what went wrong and what is being done<br />
to correct it?<br />
COVID-19 has evolved from a virus<br />
into a way of thinking. It entered <strong>the</strong> public<br />
lexicon as synonymous with quarantine,<br />
social distancing and lockdown. It has been<br />
used to empower some, disempower<br />
o<strong>the</strong>rs, spread fear and confusion. It has<br />
poisoned debate and placed obstacles<br />
in front of collective solutions. In some<br />
places, like Iran, COVID-19 is deployed to<br />
galvanise governing cliques <strong>by</strong> deflecting<br />
responsibility—usually to archnemeses<br />
and foreigners. The radical right in <strong>the</strong> US<br />
60 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Mitchell Belfer<br />
President of <strong>the</strong><br />
Euro-Gulf Information<br />
Centre (Rome, Italy),<br />
Senior Lecturer in<br />
International Relations,<br />
Terrorism and Security<br />
at <strong>the</strong> Metropolitan<br />
University Prague<br />
(Czech Republic) and<br />
Editor in Chief of <strong>the</strong><br />
Central European<br />
Journal of International<br />
and Security Studies.<br />
OUR WORLD | MAY 2020<br />
and Europe have been similarly energised.<br />
All in all, COVID-19 is a health condition that<br />
affects human and political bodies.<br />
In Europe, this is compounded <strong>by</strong> a<br />
crisis of trust. Trust in public information,<br />
trust in government strategies and trust in<br />
allies, are all waning. If <strong>the</strong> polls are correct,<br />
Italians now have a fairly unfavourable<br />
view of <strong>the</strong> EU and Germany because of<br />
<strong>the</strong> misperception that nei<strong>the</strong>r did enough<br />
to help it in its darkest hours. This is, of<br />
course, erroneous, but without a sustained<br />
corrective information blitz, it has anchored<br />
in <strong>the</strong> public eye. Piranhas will, of course,<br />
exploit <strong>the</strong> information gaps. China — in a<br />
bid to rehabilitate its public image — has<br />
gone on a charm offensive, so-called mask<br />
diplomacy, delivering protective gear while<br />
disseminating confused narratives as to<br />
<strong>the</strong> root causes of <strong>the</strong> pandemic. Similarly,<br />
questions as to <strong>the</strong> lack of preparation<br />
and <strong>the</strong> unwanted dependency on China<br />
and India for vital medicines and medical<br />
equipment has many asking how something<br />
as central as healthcare could be hollowed<br />
<strong>by</strong> neglect and corruption.<br />
There are always exceptions to <strong>the</strong> rule,<br />
but in this case, few and far apart—at least<br />
in Europe. O<strong>the</strong>r regions have fared better<br />
in rapidly responding, keeping abreast<br />
of <strong>the</strong> situation, ensuring that adequate<br />
supplies and information reached <strong>the</strong>ir<br />
citizens. For instance, <strong>the</strong> states of <strong>the</strong><br />
Arab Gulf and East Asia were much better<br />
prepared, and equipped, to handle a<br />
pandemic like COVID-19—it shows in <strong>the</strong><br />
numbers. A sample from both regions<br />
is illustrative. As of 24 April, Singapore’s<br />
coronavirus deaths were 12, South Korea<br />
240, Japan 328 and in <strong>the</strong> Gulf, Bahrain 8,<br />
Saudi Arabia 127 and <strong>the</strong> UAE 64. So what<br />
happened? Why, for instance, has Italy lost<br />
nearly 26000 people, Spain 23000, France<br />
22000 and <strong>the</strong> UK 20000?<br />
The answer may be found in <strong>the</strong><br />
relationship between governance<br />
and globalism. For all <strong>the</strong> promise of<br />
globalisation, <strong>the</strong> interconnectivity,<br />
transboundary networks, free flow of<br />
goods, services and ideas, most people’s<br />
needs are still serviced <strong>by</strong> local actors and<br />
flavoured with local spice. Often, where<br />
trust in government is high, citizens accept<br />
certain limitations for <strong>the</strong> collective good.<br />
They follow national decrees not because<br />
of <strong>the</strong> risk of fines or o<strong>the</strong>r sanctions but<br />
because <strong>the</strong>y feel an individual sense of<br />
responsibility towards <strong>the</strong>ir state. The<br />
rewards are a more comprehensive<br />
approach for confronting <strong>the</strong> pandemic. In<br />
<strong>the</strong> cases of Singapore, Bahrain and Sweden<br />
this took <strong>the</strong> form of state sponsored<br />
testing, <strong>the</strong> construction of coronavirus<br />
only medical facilities and important<br />
information campaigns that explain policy<br />
choices and provide contingency support.<br />
Task Forces were formed and assumed<br />
responsibility for implementation. Trust is<br />
key so when <strong>the</strong> Task Force asks people to<br />
self-quarantine, to accept lockdowns and<br />
separation from loved ones, people follow<br />
instructions because <strong>the</strong>y trust <strong>the</strong> motives.<br />
In places where trust is low, decrees are<br />
met with scepticism and rejection and case<br />
numbers are reflective.<br />
COVID-19 may be a global crisis, but<br />
it is being fought on <strong>the</strong> local level. Each<br />
state must do its part to ensure that o<strong>the</strong>rs<br />
— proximate or not — do not suffer as a<br />
result of ill-informed policy choices. This<br />
means learning <strong>the</strong> lessons of o<strong>the</strong>rs…and<br />
<strong>the</strong>re are plenty of lessons to be learned.<br />
The German experience teaches that precrisis<br />
intensive care units need to include<br />
advanced respiratory capabilities, in <strong>the</strong><br />
UAE attention was paid to early warning<br />
and disinfection, Singapore was about<br />
speed and effective quarantine, Bahrain’s<br />
strategy rested on information being<br />
quickly transformed into policy coupled<br />
with testing, testing, testing while Sweden<br />
adopted early social distancing and relied<br />
on its well-equipped medical services as<br />
it races towards ‘herd immunity.’ This is<br />
a snapshot. Lessons abound as long as<br />
people are interested in learning <strong>the</strong>m.<br />
Hindsight, <strong>the</strong>y say, is 20:20. So far,<br />
our 2020 has been a transcendental<br />
experience. Friedrich Nietzsche spoke of<br />
<strong>the</strong> first law of war being ‘what does not kill<br />
you makes you stronger.’ COVID-19 nei<strong>the</strong>r<br />
kills nor impairs <strong>the</strong> overwhelming majority<br />
of those who contract it and has <strong>the</strong> ability<br />
of streng<strong>the</strong>ning <strong>Our</strong> <strong>World</strong> through <strong>the</strong><br />
turning of two keys: towards enhanced<br />
communication and collaboration between<br />
states, scientists, civilians. We have <strong>the</strong><br />
tools, now we need <strong>the</strong> thinking.<br />
61
POLITICAL ECONOMY OF A PANDEMIC<br />
A Green Recovery<br />
By Dirk Schoenmaker<br />
Dirk<br />
Schoenmaker<br />
Non-Resident<br />
Fellow at Bruegel-<br />
Professor of Banking<br />
and Finance at<br />
Rotterdam School<br />
of Management,<br />
Erasmus University<br />
Rotterdam- Research<br />
Fellow at <strong>the</strong> Centre<br />
for European Policy<br />
Research (CEPR).<br />
Government policy faces various<br />
challenges. Before <strong>the</strong> COVID-19<br />
outbreak, <strong>the</strong> European Union<br />
set ambitious targets to reduce carbon<br />
emissions. Now in <strong>the</strong> midst of <strong>the</strong> pandemic,<br />
<strong>the</strong> EU has temporarily lifted state-aid rules<br />
allowing governments to steer companies<br />
through <strong>the</strong> crisis and to minimise job losses<br />
using public money. This column suggests<br />
combining <strong>the</strong>se policies <strong>by</strong> attaching green<br />
conditions to state aid. In that way, we can<br />
aim for a green recovery.<br />
Governments have multiple goals<br />
including economic growth, social<br />
inclusion and environmental preservation<br />
(Schoenmaker, 2020). The COVID-19<br />
pandemic has had a sharp negative impact on<br />
<strong>the</strong> economic and social fronts (deteriorating<br />
health, reduced income and job losses). By<br />
contrast, environmental performance is<br />
ironically improving, as carbon emissions<br />
and materials use decline because of<br />
reduced production and transport during <strong>the</strong><br />
COVID-19 lockdowns. Never<strong>the</strong>less, <strong>the</strong> precrisis<br />
levels of environmental degradation are<br />
likely to return when <strong>the</strong> lockdowns are lifted<br />
and economic growth resumes.<br />
But it doesn’t have to be this way.<br />
Governments, in particular in Europe with <strong>the</strong><br />
Green Deal, have been working on <strong>the</strong> energy<br />
and circular transition in <strong>the</strong> medium term.<br />
By attaching green conditions when granting<br />
state aid and guarantees during <strong>the</strong> COVID-19<br />
crisis, governments could push companies to<br />
accelerate <strong>the</strong> adoption of low-carbon and<br />
circular technologies after <strong>the</strong> crisis is over,<br />
and thus aim for a green recovery.<br />
The European Commission (2020a) has<br />
temporarily lifted state-aid control rules to<br />
ensure that <strong>the</strong> disruptions caused <strong>by</strong> <strong>the</strong><br />
COVID-19 pandemic do not undermine <strong>the</strong><br />
economic viability of companies. State aid<br />
can take <strong>the</strong> form of wage subsidies, tax and<br />
social contributions relief, financial support,<br />
and loans and guarantees via banks. By limiting<br />
unnecessary company failures and job<br />
losses, <strong>the</strong> Commission aims rightly for a swift<br />
economic recovery after <strong>the</strong> COVID-19 pandemic<br />
is ended. Meanwhile, several countries<br />
have pledged large state-aid packages to steer<br />
companies through <strong>the</strong> COVID-19 crisis.<br />
Green state aid<br />
Both economic and environmental viability<br />
are important for companies’ survival in <strong>the</strong><br />
long run. Green conditions for companies<br />
that receive state aid will change <strong>the</strong>ir<br />
business models. It will also affect market<br />
outcomes. To allow <strong>the</strong> smooth functioning<br />
of <strong>the</strong> internal market, we suggest <strong>the</strong>refore<br />
that <strong>the</strong> Commission designs and monitors<br />
green conditions as part of <strong>the</strong>ir temporary<br />
framework for state aid measures during <strong>the</strong><br />
COVID-19 pandemic (European Commission,<br />
2020a).<br />
The green conditions can be based on<br />
<strong>the</strong> Green Deal targets to reduce carbon<br />
emissions in 2030 <strong>by</strong> at least 50% and in 2050<br />
<strong>by</strong> 100% (ie carbon neutrality), compared<br />
with 1990 (European Commission, 2019).<br />
In addition, new targets are set for <strong>the</strong><br />
design of sustainable products and circular<br />
production processes to reduce <strong>the</strong> use of<br />
virgin materials in <strong>the</strong> new Circular Economy<br />
Action Plan (European Commission, 2020b).<br />
When granting state aid, governments should<br />
require companies to implement <strong>the</strong>se<br />
reduction targets for carbon emissions and<br />
materials usage in <strong>the</strong>ir business models after<br />
<strong>the</strong> crisis. In this way, state aid expenditures<br />
will not only promote <strong>the</strong> economic viability<br />
of companies, but also <strong>the</strong>ir environmental<br />
viability. This will accelerate <strong>the</strong> adoption of<br />
low-carbon and circular technologies.<br />
Companies are struggling for survival<br />
and need to receive <strong>the</strong> state aid quickly.<br />
To reduce <strong>the</strong> upfront administrative<br />
burden, governments can choose to apply<br />
a light green test when granting <strong>the</strong> state<br />
aid, combined with a tougher green test ex<br />
post. If a company breaches <strong>the</strong> agreed<br />
green conditions, <strong>the</strong> state aid would have<br />
to be partly or fully repaid, depending on<br />
<strong>the</strong> severity of <strong>the</strong> breach. We also propose<br />
to target key sectors that are carbon- and<br />
material-intensive to keep bureaucracy to a<br />
minimum.<br />
The following sectors have relatively high<br />
carbon and material footprints (Schoenmaker<br />
and Schramade, 2019):<br />
• Transportation: road, air and water<br />
transport are predominantly fossil-fuel driven;<br />
• Manufacturing: many manufacturers<br />
still employ energy- and material-intensive<br />
technologies;<br />
• Construction: many builders still use nonrecyclable<br />
and energy-intensive materials,<br />
such as cement;<br />
62 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
• Energy: <strong>the</strong> shift from fossil-fuels to renewable energy is<br />
very gradual.<br />
Examples<br />
An earlier example of state aid with green conditions was <strong>the</strong><br />
support for <strong>the</strong> American car industry during <strong>the</strong> Global Financial<br />
Crisis. President Obama (2009) granted large sums of state aid to<br />
General Motors on <strong>the</strong> condition that <strong>the</strong> company accelerated<br />
<strong>the</strong> development of an electric car. General Motors now has<br />
several electric cars in its range.<br />
Current examples include state aid to <strong>the</strong> severely affected<br />
airline and travel industries. Airlines could be requested to<br />
speed up investment in carbon-efficient aircraft after <strong>the</strong> crisis,<br />
while airline manufacturers could be requested to speed up<br />
<strong>the</strong> development of such carbon-efficient and carbon-neutral<br />
aircraft. Travel companies, such as TUI, which received €1.8 billion<br />
in state aid from Germany, could be asked to reduce <strong>the</strong>ir carbon<br />
footprints <strong>by</strong> 50% <strong>by</strong> 2030. They can achieve such reductions <strong>by</strong><br />
offering <strong>the</strong>ir clients more carbon-efficient air travel and greater<br />
usage of train travel.<br />
Banks can set similar green conditions when extending<br />
loans to <strong>the</strong>ir borrowers in <strong>the</strong>se sectors (with or without public<br />
guarantee) during <strong>the</strong> COVID-19 crisis. The underlying arguments<br />
are <strong>the</strong> same: economically and environmentally viable<br />
companies carry a lower credit risk. Leading banks already have<br />
experience with applying green lending criteria (Schoenmaker<br />
and Schramade, 2019).<br />
From old to new sectors<br />
Some high-carbon companies and sectors might find it difficult<br />
to adapt to <strong>the</strong> new low-carbon and circular environment.<br />
These companies or sectors (such as <strong>the</strong> fossil-fuel sector) are<br />
reminiscent of <strong>the</strong> European textile and shipping sectors in <strong>the</strong><br />
1990s. These sectors received state aid, which only delayed <strong>the</strong>ir<br />
disappearance. To avoid repeating <strong>the</strong>se mistakes, governments<br />
should not provide state aid or guarantees to sectors that are<br />
economically or environmentally not viable in <strong>the</strong> medium term.<br />
In <strong>the</strong>se cases, governments must use <strong>the</strong>ir resources to<br />
retrain <strong>the</strong> workers. While <strong>the</strong> kneejerk reaction of governments<br />
is often to help <strong>the</strong> business that is in trouble and/or to protect<br />
<strong>the</strong> jobs involved, it is better to focus on helping <strong>the</strong> people –<br />
retraining and finding new employment – and changing <strong>the</strong><br />
system. The Danish labour market, for example, is known for<br />
its high level of flexibility when hiring, social welfare system and<br />
active employment policies. Toge<strong>the</strong>r, <strong>the</strong>se three components<br />
constitute what is known as <strong>the</strong> ‘Flexicurity Model’ (Jespersen et<br />
al, 2008).<br />
There is also a direct role for governments <strong>the</strong>mselves in<br />
sectors that rely heavily on public investment and/or planning<br />
procedures, including <strong>the</strong> energy, transport and building sectors.<br />
Birol (2020) proposed to speed up <strong>the</strong> energy transition <strong>by</strong><br />
putting clean energy jobs at <strong>the</strong> heart of stimulus packages.<br />
O<strong>the</strong>r opportunities would be to expand public transit systems,<br />
including a European network of high-speed trains, and<br />
stimulating circular construction practices, which also require<br />
newly trained workers. Retraining efforts can also be (partly)<br />
directed to <strong>the</strong>se areas.<br />
OUR WORLD | MAY 2020<br />
To speed up recovery after <strong>the</strong> Global Financial Crisis, several<br />
countries shortened planning procedures to advance large<br />
building and infrastructure projects. Accordingly, governments<br />
can speed up <strong>the</strong> planning and execution of renewable energy<br />
projects (both power generation and distribution), public<br />
transport projects (replacing road and air travel) and circular<br />
building projects.<br />
Governments are rightly compiling state aid packages to<br />
promote a swift recovery after <strong>the</strong> COVID-19 pandemic is ended.<br />
<strong>Our</strong> four recommendations to foster a green recovery are:<br />
• Apply green conditions to state aid for companies in sectors<br />
with high carbon and/or material footprints;<br />
• Apply similar green conditions to new and extended bank<br />
loans (with or without public guarantees) to <strong>the</strong>se sectors;<br />
• Refuse state aid for companies and sectors that are not<br />
able or willing to adopt low-carbon and circular technologies,<br />
and retrain <strong>the</strong>ir workers for new employment;<br />
• Speed up planning procedures for renewable energy, public<br />
transit and circular building projects and infrastructures.<br />
References<br />
Birol, F. (2020), ‘How to make <strong>the</strong> economic recovery from<br />
coronavirus an environmentally sustainable one’, Prospect, 24<br />
March.<br />
European Commission (2019), ‘The European Green<br />
Deal’, Communication from <strong>the</strong> Commission to <strong>the</strong> European<br />
Parliament and <strong>the</strong> European Council, COM(2019) 640 final,<br />
Brussels.<br />
European Commission (2020a), ‘Temporary Framework<br />
for State aid measures to support <strong>the</strong> economy in <strong>the</strong> current<br />
COVID-19 outbreak’, Communication from <strong>the</strong> Commission,<br />
COM(2020) 1863 final, Brussels.<br />
European Commission (2020b), ‘A new Circular Economy<br />
Action Plan For a cleaner and more competitive Europe’,<br />
Communication from <strong>the</strong> Commission, COM(2020) 98 final,<br />
Brussels.<br />
Jespersen, S., J. Munch, and L. Skipper (2008), ‘Costs and<br />
benefits of Danish active labour market programmes’, Labour<br />
Economics, 15(5): 859-884.<br />
Obama, B. (2009), ‘Remarks <strong>by</strong> <strong>the</strong> President on <strong>the</strong> American<br />
Automotive Industry’, Transcript of Press Conference, 30 March,<br />
Washington DC. Available at: https://obamawhitehouse.archives.<br />
gov/<strong>the</strong>-press-office/remarks-president-american-automotiveindustry-33009.<br />
Schoenmaker, D. and W. Schramade (2019), Principles of<br />
Sustainable Finance, Oxford University Press, Oxford.<br />
Schoenmaker, D. (2020), ‘The Caring Economy: Balancing<br />
Profit and Impact’, Working Paper. Available at: https://papers.<br />
ssrn.com/sol3/papers.cfm?abstract_id=3567026<br />
Republishing and referencing<br />
Bruegel considers itself a public good and takes no institutional<br />
standpoint. Anyone is free to republish and/or quote this post<br />
without prior consent. Please provide a full reference, clearly<br />
stating Bruegel and <strong>the</strong> relevant author as <strong>the</strong> source, and include<br />
a prominent hyperlink to <strong>the</strong> original post.<br />
A version of this article has been published <strong>by</strong> bruegel.org on April 6, 2020<br />
Original link: https://www.bruegel.org/2020/04/a-green-recovery/<br />
63
<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
Impact<br />
of a Global<br />
Problem
IMPACT OF A GLOBAL PROBLEM<br />
We Need a Global Solution,<br />
a Global Response to Ensure a Better<br />
Handling of Future Breakouts<br />
By Adrian Delia<br />
SHUTTERSTOCK<br />
Since <strong>the</strong> turn of <strong>the</strong> century, humankind went<br />
through three seismic events: <strong>the</strong> attack on<br />
<strong>the</strong> Twin Towers in New York on September<br />
11, 2001; <strong>the</strong> 2008 collapse of Lehman Bro<strong>the</strong>rs that<br />
triggered <strong>the</strong> worst financial crisis in living memory;<br />
and <strong>the</strong> ongoing Coronavirus pandemic.<br />
The attack on <strong>the</strong> Twin Towers was a politically<br />
motivated event with economic undertones, mainly<br />
on <strong>the</strong> travel and tourism sectors. The emergence of<br />
low-cost travel and <strong>the</strong> radical overhaul of security<br />
measures in airports are two factors that know <strong>the</strong>ir<br />
origin to that fateful day. The September 11 attacks<br />
66 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
also resulted in major wars, political upheaval<br />
and unrest in different parts of <strong>the</strong> globe. It<br />
resulted in a sustained increase in terrorist<br />
attacks.<br />
The collapse of Lehman Bro<strong>the</strong>rs was<br />
an economic event with immense social<br />
undertones. Six million jobs were lost in <strong>the</strong><br />
United States pushing up unemployment <strong>by</strong><br />
10%. The impact was so massive that it was felt<br />
around <strong>the</strong> world. Greece and o<strong>the</strong>r countries<br />
were pushed towards financial ruin.<br />
We are now living through <strong>the</strong> third major<br />
crisis. It is too early to determine what <strong>the</strong><br />
repercussions of COVID-19 are going to be. It<br />
is said, however, that <strong>the</strong> world’s economy is<br />
going to take a huge knock with IMF pointing<br />
to a possible meltdown equal to <strong>the</strong> Great<br />
Depression.<br />
We are starting to see some light at <strong>the</strong> end<br />
of <strong>the</strong> COVID-19 tunnel. Moving forward, we<br />
should look at how <strong>the</strong> world reacted to <strong>the</strong><br />
two previous seismic events. What lessons can<br />
we learn from <strong>the</strong> aftermath of <strong>the</strong> previous<br />
two events?<br />
The first important lesson is that change of<br />
this magnitude is irreversible. Life will never<br />
be <strong>the</strong> same again. We are heading towards a<br />
new norm. It is a new norm that will redefine<br />
how we live, interact and do business. <strong>Our</strong><br />
businesses have to adapt to <strong>the</strong>se new norms.<br />
In <strong>the</strong> process, <strong>the</strong>re will be winners and losers.<br />
The second lesson is that global events<br />
require global solutions. A global solution is<br />
one that is arrived at with <strong>the</strong> involvement of<br />
every nation and benefits every nation. Nonglobal<br />
solutions, that is solutions that put <strong>the</strong><br />
interest of one country or a group of countries<br />
interests over <strong>the</strong> interests of <strong>the</strong> rest, will<br />
simply create new problems and move <strong>the</strong><br />
international community away from <strong>the</strong> elusive<br />
goal of universal peace and security.<br />
The third lesson is that solutions cannot<br />
be based simply on economic or financial<br />
considerations. Socio-political considerations<br />
are, at <strong>the</strong> very least, equally important as are<br />
environmental considerations. The root of<br />
political unrest is hunger and poverty as a result<br />
of environmental degradation. Political unrest<br />
is fuelling terrorism, war, irregular migration<br />
which, in turn, creates more widespread<br />
political unrest. If we are to break this cycle, we<br />
need holistic solutions. Trying to stop irregular<br />
migration without attacking <strong>the</strong> root cause of<br />
<strong>the</strong> problem will not work.<br />
OUR WORLD | MAY 2020<br />
Adrian Delia<br />
Leader of <strong>the</strong><br />
Opposition in Malta<br />
& Leader of <strong>the</strong><br />
Nationalist Party<br />
If we want to transform <strong>the</strong> current<br />
Coronavirus challenge into an opportunity, we<br />
can and should learn from <strong>the</strong>se experiences<br />
and apply <strong>the</strong>m as we go forward. From now<br />
on, we are going to be conditioned <strong>by</strong> <strong>the</strong><br />
threat of pandemics. We <strong>the</strong>refore need a<br />
global solution, a global response to ensure<br />
a better handling of future breakouts. The<br />
solution should cater to various aspects of <strong>the</strong><br />
problem. How can we improve our health care<br />
systems to deal with such emergencies? How<br />
can we streng<strong>the</strong>n our financial and economic<br />
institutions to lessen <strong>the</strong> impact on jobs and<br />
businesses? How can we speed up <strong>the</strong> process<br />
of identifying cures and vaccines? How can we<br />
improve life in lockdown situations, to limit<br />
stress on segments of <strong>the</strong> population and on<br />
businesses? How can we improve mankind’s<br />
immunity system? These are <strong>the</strong> kind of<br />
questions that need to be asked and tackled<br />
<strong>by</strong> communities, at a national level but most<br />
of all globally.<br />
There is also ano<strong>the</strong>r essential dimension<br />
that is particular to this crisis. Coronavirus<br />
has effectively reduced pollution globally.<br />
The extent of this reduction has not yet been<br />
calculated but <strong>the</strong> severe reduction in travel<br />
<strong>by</strong> air, car and o<strong>the</strong>r modes of transport<br />
has resulted in a decrease in pollution and<br />
greenhouse gas emissions across continents<br />
and countries. It is impossible, certainly in <strong>the</strong><br />
short run, to sustain this level of reduction in<br />
pollution once economic activity returns to <strong>the</strong><br />
new normal. However, now that we know that it<br />
is possible for <strong>the</strong> world to function differently,<br />
can we make it our aim, our goal, to seriously<br />
tackle <strong>the</strong> Sword of Damocles that has been<br />
hanging over our collective heads for <strong>the</strong> past<br />
decades? I am referring, of course, to global<br />
warming. The change was forced on us. We<br />
need to make part of that change permanent.<br />
We need it to ensure our survival and <strong>the</strong><br />
survival of o<strong>the</strong>r species on this planet.<br />
Change is never easy, more so when it<br />
comes in <strong>the</strong> form of a pandemic. But we can,<br />
indeed we must take away positives from<br />
a negative. This is ano<strong>the</strong>r chapter in <strong>the</strong><br />
evolution of humankind. It is a chapter that<br />
will continue in <strong>the</strong> years to come. Let us be<br />
prepared for it. Let us not fear it but use it to<br />
better ourselves. Let this calamity bind us and<br />
forge us closer toge<strong>the</strong>r. For this is <strong>the</strong> most<br />
important lesson of all. Toge<strong>the</strong>r makes us<br />
stronger.<br />
67
IMPACT OF A GLOBAL PROBLEM<br />
Uzbekistan’s Emergence<br />
onto <strong>the</strong> <strong>World</strong> Stage<br />
By Sardor Umurzakov<br />
Sardor<br />
Umurzakov<br />
Deputy Prime-<br />
Minister, Minister<br />
of Investments &<br />
Foreign Trade of<br />
Uzbekistan and is also<br />
<strong>the</strong> Co-Chair of <strong>the</strong><br />
Supervisory Board of<br />
Europe-Uzbekistan<br />
Association for<br />
Economic Cooperation<br />
(EUROUZ)<br />
The past three years, a monumental shift<br />
has been rapidly happening in Uzbekistan.<br />
A shift that has today touched upon every<br />
single aspect of life in country and every single<br />
person in it. An economic opening under President<br />
Shavkat Mirziyoyev, after years of economic<br />
stagnation, coupled with a generational shift,<br />
which is now shaping <strong>the</strong> future of possibly <strong>the</strong><br />
entire Central Asian region. The opportunities<br />
for co-operation, investments and trade are now<br />
<strong>the</strong>re for <strong>the</strong> taking.<br />
Parliamentary elections that took place in<br />
December 2019 returned a new parliament that is<br />
younger, fresher and more gender-balanced than<br />
ever before. For <strong>the</strong> first time, women-members<br />
reached <strong>the</strong> 30 percent quota of seats that had<br />
long been constitutionally promised <strong>the</strong>m. The<br />
upshot is an energised policymaking sphere in<br />
Uzbekistan that reflects younger generations’<br />
hunger for change. Over 65% of Uzbekistan’s 34<br />
million-strong population today, is under 30 years<br />
of age. The average-aged member in our newly<br />
elected parliament was just a teenager when <strong>the</strong><br />
Soviet Union disintegrated in 1991. Their fading<br />
memories of <strong>the</strong> past have helped to sweep away<br />
old orthodoxies and build a new consensus for<br />
managing <strong>the</strong> economy and our social relations:<br />
one that is more tolerant and open to <strong>the</strong> entire<br />
world.<br />
Young people growing up in Uzbekistan’s<br />
cities today have more opportunities to succeed<br />
than ever before, through education, jobs in<br />
industries that did not even exist in <strong>the</strong> country<br />
only a few years ago and most importantly, <strong>the</strong><br />
freedom to express <strong>the</strong>mselves. Access to <strong>the</strong><br />
internet, extensive interactions on social media<br />
and exposure to modern globalised culture have<br />
made young people in <strong>the</strong> country feel more<br />
connected to <strong>the</strong> world. The recent surge in<br />
international tourism into Uzbekistan shows that<br />
<strong>the</strong> world is also interested in Uzbekistan. The<br />
cities of Bukhara, Samarkand & Khiva, jewels of <strong>the</strong><br />
ancient Silk Road trading routes, are welcoming<br />
global travellers in numbers never seen in <strong>the</strong> past.<br />
Today, <strong>the</strong> visa-free entry regime is extended to<br />
nationals of 85 counties with additional citizens of<br />
77 benefiting from a simplified e-visa procedure.<br />
When President Mirziyoyev came to power<br />
in December 2016, he pledged to create an<br />
inclusive and diversified economy, <strong>by</strong> liberalising<br />
<strong>the</strong> country’s social, political and economic makeup.<br />
Reforms to tackle gender inequality and boost<br />
women’s participation in <strong>the</strong> economy were a key<br />
priority area for unlocking future growth. Today<br />
<strong>the</strong> chairperson of Uzbekistan’s upper chamber<br />
of Parliament is a woman. In 2019, even before<br />
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<strong>the</strong> parliamentary election, we saw some<br />
impressive legislative achievements to<br />
address gender discrimination & ensure<br />
equal rights in <strong>the</strong> workplace as well as<br />
a separate law to tackle gender-based<br />
violence and domestic abuse against<br />
women.<br />
In just over three short years, media<br />
and political freedoms have seen a<br />
previously unprecedented expansion. An<br />
ecosystem of domestic Uzbek and Russianlanguage<br />
media outlets is flourishing,<br />
and foreign media organisations that<br />
previously had trouble getting licences to<br />
operate in <strong>the</strong> country, are now welcomed.<br />
International calls for <strong>the</strong> release of<br />
political prisoners and <strong>the</strong> closure of<br />
prisons of <strong>the</strong> past have been met,<br />
while recent improvements to religious<br />
protections have been commended <strong>by</strong><br />
OUR WORLD | MAY 2020<br />
<strong>the</strong> USCIRF. The International Labour<br />
Organization has also confirmed that<br />
Uzbekistan has totally eradicated systemic<br />
child labour in its cotton industry.<br />
Although much more remains to<br />
be done in coming years, significant<br />
progress towards greater freedom and<br />
transparency is crystal clear. Uzbekistan’s<br />
direction of travel is firmly established<br />
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and relentlessly led forward <strong>by</strong> President<br />
Shavkat Mirziyoyev.<br />
Economic reforms, meanwhile, have<br />
sparked a rush of business activity in <strong>the</strong><br />
country. The scaling back of regulations,<br />
simplification of taxation and <strong>the</strong> breakup<br />
of state monopolies have incentivised<br />
a wave of business creation. Young<br />
entrepreneurs, many of whom are<br />
women, are leading <strong>the</strong> charge.<br />
While working closely with all key<br />
IFI’s on economic & structural reforms in<br />
<strong>the</strong> country, we are strongly focused on<br />
securing international investment to help<br />
modernise Uzbekistan’s key industries,<br />
especially agriculture & textile production,<br />
which remain key growth objectives for<br />
<strong>the</strong> economy. With a youthful population<br />
and an abundance of arable land as well<br />
as high-quality added value potential, <strong>the</strong>y<br />
have all <strong>the</strong> ingredients for rapid & longterm<br />
growth.<br />
The lifting of capital and currency<br />
controls, and wider market reforms,<br />
have piqued <strong>the</strong> interest of international<br />
investors. Efforts to streng<strong>the</strong>n <strong>the</strong> rule<br />
of law and provide legal guarantees for<br />
foreign investors, led <strong>by</strong> a British-educated<br />
justice minister, have sent a clear signal to<br />
<strong>the</strong> West that Uzbekistan means business.<br />
As Uzbekistan expands its horizons,<br />
building platforms and networks between<br />
Uzbek companies and international<br />
partners is essential. The establishment<br />
of <strong>the</strong> Europe-Uzbekistan Association<br />
for Economic Cooperation (EUROUZ) in<br />
Brussels – an organisation I co-chair on<br />
<strong>the</strong> Uzbekistan side – is one such initiative<br />
that aims to build closer economic<br />
relationships & mutual understanding<br />
between Europe and Uzbekistan. The<br />
message from organisations like EUROUZ<br />
is clear: <strong>the</strong> country is open and attractive<br />
for business.<br />
For <strong>the</strong> time being, in <strong>the</strong> face of <strong>the</strong><br />
coronavirus, <strong>the</strong> health and wellbeing of<br />
Uzbekistan’s people takes precedence<br />
over all economic concerns. Lockdown<br />
measures enacted as soon as first<br />
COVID-19 cases emerged, have helped<br />
to quickly curtail its spread. But while <strong>the</strong><br />
pandemic may have tested Uzbekistan’s<br />
growth, it has not dampened our desire<br />
for change. As economic activity rebounds<br />
in <strong>the</strong> third and fourth quarters of this<br />
year, <strong>the</strong> case for accelerating political<br />
and economic reforms will only have<br />
grown stronger. What is clear to see is<br />
that young people in Uzbekistan, men<br />
and women, are connected to bring our<br />
country to its future. Europe should seize<br />
<strong>the</strong> moment and look eastward. Toge<strong>the</strong>r<br />
with Uzbekistan it can lead <strong>the</strong> way to a<br />
more prosperous and stable future for<br />
Eurasia and beyond.<br />
69
IMPACT OF A GLOBAL PROBLEM<br />
What We Can Learn<br />
from Viruses and <strong>Our</strong><br />
Efforts to Defeat Them<br />
Michel Zaffran<br />
& Judith Diment<br />
Michel Zaffran:<br />
Director of Polio<br />
Eradication at <strong>World</strong><br />
Health Organization<br />
Judith Diment:<br />
Coordinator of<br />
National Advocacy<br />
Advisors at Rotary<br />
International<br />
COVID-19 is not <strong>the</strong> first pandemic to<br />
wreak havoc on a massive scale. The<br />
2003 SARS pandemic shocked <strong>the</strong> world,<br />
and o<strong>the</strong>r international outbreaks, such<br />
as polio and Ebola, have changed <strong>the</strong><br />
way we think about public health. But<br />
COVID-19, with its global scope and<br />
rapid spread, has upended our way of<br />
life.<br />
We have both <strong>the</strong> capacity and<br />
expertise to take on public health<br />
emergencies, and enhance our<br />
preparation against future threats. A<br />
case in point is <strong>the</strong> clear, comprehensive<br />
strategy deployed against poliovirus.<br />
Like COVID-19, polio meets <strong>the</strong> WHO<br />
criteria for a public health emergency of<br />
international concern. Like COVID-19,<br />
polio once terrorized communities<br />
around <strong>the</strong> world – until effective<br />
vaccines were developed.<br />
In 1985 Rotary International, a<br />
global volunteer service organization,<br />
decided to fight polio. This led to <strong>the</strong><br />
launch of a global effort, <strong>the</strong> Global Polio<br />
Eradication Initiative (GPEI) consisting of<br />
Rotary International, <strong>the</strong> <strong>World</strong> Health<br />
Organization, U.S. Centers for Disease<br />
Control and Prevention, and UNICEF (<strong>the</strong><br />
Bill & Melinda Gates Foundation and<br />
Gavi, <strong>the</strong> Vaccine Alliance, later joined<br />
<strong>the</strong> partnership).<br />
When <strong>the</strong> GPEI formed in 1988,<br />
<strong>the</strong>re were 350,000 polio cases a year<br />
in 125 countries. Today <strong>the</strong> effort<br />
has resulted in a 99.9% reduction in<br />
cases. Today, only two countries in <strong>the</strong><br />
world continue to report cases of wild<br />
poliovirus (Pakistan and Afghanistan).<br />
Almost 19 million people are walking<br />
today because <strong>the</strong>y were immunized<br />
and 1.5 million polio-related deaths<br />
have been averted since 1988.<br />
The polio experience has a unique<br />
capacity to contribute to <strong>the</strong> COVID-19<br />
pandemic response, particularly in<br />
countries with fragile health systems.<br />
The GPEI is <strong>the</strong>refore placing <strong>the</strong><br />
infrastructure built to eradicate polio at<br />
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<strong>the</strong> service of <strong>the</strong> fight against COVID.<br />
Three key strategies have carried us to<br />
<strong>the</strong> brink of eradicating a human disease<br />
for only <strong>the</strong> second time in history.<br />
First, <strong>the</strong> deployment of community<br />
health care workers has been instrumental.<br />
Many of <strong>the</strong>se health workers are women,<br />
as <strong>the</strong>y are trusted to enter households<br />
and have <strong>the</strong> interactions with mo<strong>the</strong>rs<br />
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and children necessary to deliver primary<br />
healthcare services. Thousands of polio<br />
workers are now working to trace contacts<br />
and educate communities in response to<br />
COVID-19.<br />
Second, <strong>the</strong> logistics of eradicating<br />
global public health threats like COVID<br />
requires effective coordination. The<br />
development of Emergency Operations<br />
Centers (EOCs) has enabled governments<br />
to form <strong>the</strong> public health equivalent of a<br />
sophisticated ‘situation room’, and make<br />
decisions and assessments based on<br />
sound evidence provided in real time.<br />
Many polio EOCs are in active use to<br />
coordinate <strong>the</strong> COVID response.<br />
Third, a sophisticated surveillance<br />
network, identifying victims, tracing<br />
contacts, and monitoring <strong>the</strong> environment<br />
for poliovirus, enables <strong>the</strong> initiative to<br />
rapidly increase immunity in places where<br />
<strong>the</strong> virus is circulating.<br />
Borrowing from <strong>the</strong> polio program’s<br />
contact tracing tactics, <strong>the</strong> GPEI helped<br />
stop <strong>the</strong> Ebola outbreak in Nigeria in 2014<br />
and a yellow fever outbreak in 2018, and<br />
is now identifying individuals with--and<br />
stopping <strong>the</strong> spread of--COVID-19.<br />
While responding to COVID-19, <strong>the</strong><br />
GPEI will take every step possible to<br />
continue protecting children and avoid<br />
a resurgence of polio. We will continue<br />
to streng<strong>the</strong>n immunization in at-risk<br />
areas, maintain our vaccine supply so<br />
that campaigns can begin without delay as<br />
soon as it is safe and sustain surveillance<br />
to detect <strong>the</strong> poliovirus. The EU should be<br />
proud of <strong>the</strong> US$283 million it has invested<br />
in polio eradication since 1988 (plus an<br />
additional US$2.6 billion invested <strong>by</strong> EU<br />
member states including <strong>the</strong> UK), support<br />
which now offers value-added capacity for<br />
<strong>the</strong> COVID-19 response.<br />
It is vital that <strong>the</strong> EU continues to<br />
invest in <strong>the</strong> GPEI infrastructure, as it will<br />
enhance our ability to pre-empt, ra<strong>the</strong>r<br />
than react to, future disease outbreaks.<br />
Although <strong>the</strong> GPEI has <strong>the</strong> advantage<br />
of a proven vaccine against polio, we<br />
can still learn from its methods, both in<br />
containing <strong>the</strong> spread of COVID-19 and in<br />
enhancing public immunity once a vaccine<br />
is discovered.<br />
As <strong>the</strong> EU and member states work to<br />
address <strong>the</strong> crisis, let’s remember that <strong>the</strong><br />
day will come again when planes, boats,<br />
trains and cars will carry people around<br />
<strong>the</strong> world, and viruses will travel with<br />
<strong>the</strong>m. The EU’s continued investment in<br />
<strong>the</strong> resources and infrastructure already<br />
in place will serve well in protecting us as<br />
a global community.<br />
OUR WORLD | MAY 2020<br />
71
IMPACT OF A GLOBAL PROBLEM<br />
Lessons from Australia<br />
By Hermann Tertsch<br />
Hermann<br />
Tertsch<br />
Spanish Member<br />
of <strong>the</strong> European<br />
Parliament with <strong>the</strong><br />
ECR Group<br />
Europe and <strong>the</strong> US need <strong>the</strong><br />
Australian experience of <strong>the</strong><br />
Chinese threat.<br />
Europe, <strong>the</strong> United States and<br />
Australia have shared a common enemy<br />
for decades now, but unlike Australians<br />
most of <strong>the</strong> societies and governments<br />
in <strong>the</strong> Western <strong>World</strong> have lived ignoring<br />
this fact. Especially in Europe <strong>the</strong>re has<br />
been a very dangerous tendency of<br />
seeing all big foreign powers in <strong>the</strong> same<br />
light as neutral commercial partners. If<br />
<strong>the</strong>re had to be some suspicion it would<br />
always be directed towards USA ra<strong>the</strong>r<br />
than to <strong>the</strong> o<strong>the</strong>r powers such as China.<br />
For decades, Europeans who felt <strong>the</strong>y<br />
were far enough in geographic terms<br />
but close enough in commercial ones,<br />
have ignored <strong>the</strong> warnings coming<br />
from our close cousins in <strong>the</strong> Sou<strong>the</strong>rn<br />
Hemisphere about <strong>the</strong> threat that<br />
Communist China poses to <strong>the</strong> world.<br />
Perhaps because we are not in <strong>the</strong><br />
immediate line of sight we chose not to<br />
listen, or perhaps more likely, because<br />
we made <strong>the</strong> decision to turn a blind<br />
eye in order to continue feeding our<br />
appetite for cheap Chinese goods. We<br />
allowed our own dependence on China<br />
to cloud our vision when it came to our<br />
relationship with <strong>the</strong>m.<br />
Now Europe is finally waking up<br />
to <strong>the</strong> threat of China. The gross<br />
misconduct of <strong>the</strong> Chinese regime with<br />
<strong>the</strong> coronavirus and its catastrophic<br />
effects on <strong>the</strong> whole world has sent<br />
a profound shock round <strong>the</strong> global<br />
community. And despite <strong>the</strong> permanent<br />
waves of Chinese propaganda coming<br />
from official sources and its enormous<br />
network in <strong>the</strong> western world to obscure<br />
<strong>the</strong> genesis and fur<strong>the</strong>r development<br />
of <strong>the</strong> pandemic in Wuhan, Europeans<br />
are becoming aware of <strong>the</strong> necessity of<br />
profound changes in <strong>the</strong> relationship<br />
with China. We had almost forgotten,<br />
that our enormous commercial partner<br />
is a communist regime. Beijing’s<br />
obscurantist behaviour reminds<br />
everybody of this crucial fact.<br />
Now that we are aware of <strong>the</strong> urgent<br />
necessity to refocus our relationship<br />
with China, Europe has a lot to learn<br />
from Australia. We must ensure that we<br />
work closer than ever before with our<br />
allies in Australia and New Zealand. To<br />
learn from <strong>the</strong>m and build toge<strong>the</strong>r new<br />
ways of approaching this relation with a<br />
growingly expansionist and aggressive<br />
regime. A quarter of a century ago many<br />
thought that increasing wealth would<br />
bring in China a growing openness and<br />
an evolution towards a more tolerant<br />
and flexible regime and an opening<br />
for democracy and respect for human<br />
rights. Today we can say <strong>the</strong>se prospects<br />
have failed utterly.<br />
It is important in times like this<br />
for <strong>the</strong> democracies of <strong>the</strong> world to<br />
stand toge<strong>the</strong>r and defend our way<br />
of life. We need a thorough rethinking<br />
of our relations to Beijing from <strong>the</strong><br />
common ground of democratic states<br />
and free societies. China not only<br />
poses an economic threat, but an<br />
existential one to our belief in freedom<br />
and democracy. As well as exporting<br />
goods and finances, <strong>the</strong> Chinese are<br />
exporting <strong>the</strong>ir totalitarian model of<br />
government around <strong>the</strong> world. Offering<br />
an alternative to democracy, not only in<br />
developing countries. We need to join<br />
forces in order to make <strong>the</strong> case for<br />
democracy and free markets in <strong>the</strong>se<br />
places.<br />
This would also serve in <strong>the</strong> interest<br />
of both Europeans and Australians as it<br />
would create new markets to export too,<br />
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and new opportunities to buy goods. Australia,<br />
unlike Europe, has a dependence on exports<br />
to China as well as imports. The EU could help<br />
alleviate some of that pressure <strong>by</strong> fast tracking<br />
<strong>the</strong> free trade agreement being negotiated<br />
between <strong>the</strong> two parties.<br />
By doing so <strong>the</strong> EU would prove two things<br />
– first that it is still serious about free trade with<br />
third countries, something that confidence in<br />
has fallen. And secondly, it would show that<br />
<strong>the</strong> EU was serious about ending China’s hold<br />
on <strong>the</strong> global market.<br />
Possible avenues for deepening <strong>the</strong><br />
relationship between Australia and Europe<br />
could include joint military exercises with NATO<br />
in <strong>the</strong> Pacific. NATO and Australia are already<br />
closely cooperating on cyber security. We face a<br />
new cold war against China, and we must make<br />
sure that <strong>the</strong> Western world does whatever it<br />
can to support its members.<br />
But economic and military alliances aren’t<br />
enough, like <strong>the</strong> Cold War, we must be winning<br />
<strong>the</strong> war of ideas as well. Throughout <strong>the</strong> Cold<br />
War, I worked as a journalist covering <strong>the</strong><br />
Eastern Bloc. I saw first-hand <strong>the</strong> brutality of<br />
<strong>the</strong> Soviet Regime and what Communism did<br />
for <strong>the</strong> people of Eastern Europe. The Cold War<br />
was not won on battle fields but in <strong>the</strong> hearts<br />
of <strong>the</strong> people and <strong>the</strong>ir will for freedom much<br />
mobilized first <strong>the</strong> polish workers, <strong>the</strong>n <strong>the</strong><br />
whole central and eastern Europe.<br />
We are facing a similar foe again today.<br />
The Chinese communist party, like <strong>the</strong> Soviet<br />
Union before it, has committed and commits<br />
permanently infinite crimes against its own<br />
people. From <strong>the</strong> use re-education camps in <strong>the</strong><br />
North West of <strong>the</strong> country, to mass surveillance<br />
on a scale unprecedented anywhere else in <strong>the</strong><br />
world.<br />
And just like <strong>the</strong> USSR before it, <strong>the</strong><br />
Chinese Communists most powerful weapon<br />
is misinformation. In <strong>the</strong> same way <strong>the</strong> Soviet<br />
Union tried to cover up <strong>the</strong> Cherno<strong>by</strong>l disaster,<br />
China is today covering up what happened in<br />
Wuhan. Whilst <strong>the</strong>y continue to insist that only<br />
3,000 died, <strong>the</strong> reality is much closer to 40,000.<br />
And just as <strong>the</strong> Soviet Union used to use<br />
support to its satellites as a cover for <strong>the</strong><br />
suppression of civil liberties, <strong>the</strong> Chinese are<br />
today trying to buy off western governments<br />
and western media with foreign aid. However,<br />
this propaganda has already backfired in<br />
many cases. In my own country, Spain, <strong>the</strong><br />
Chinese provided both face masks and testing<br />
equipment that didn’t work – at a loss to <strong>the</strong><br />
taxpayer. The same has happened all across<br />
Europe, and yet at home <strong>the</strong> Chinese are<br />
portraying it as a success. Australia has faced<br />
similar battles against Chinese propaganda in<br />
<strong>the</strong> past – and perhaps this is where Europe<br />
could learn more.<br />
When this crisis is finally over, we will all<br />
emerge into a totally different world. And my<br />
hope is that both Australia and Europe, in a firm<br />
alliance along with <strong>the</strong> United States, will finally<br />
start to hold China to account. And will have<br />
a common reinforced defence for contention<br />
that forces <strong>the</strong> Chinese regime to reform for <strong>the</strong><br />
better or at least contention in its ambitions.<br />
OUR WORLD | MAY 2020<br />
73
IMPACT OF A GLOBAL PROBLEM<br />
SHUTTERSTOCK<br />
Poland has Shown True<br />
European Solidarity<br />
By Carlo Fidanza<br />
74 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Carlo Fidanza<br />
Italian member of <strong>the</strong><br />
European Parliament<br />
with <strong>the</strong> ECR Group<br />
The current global health crisis, brought about <strong>by</strong> <strong>the</strong> spread of coronavirus<br />
has taken a heavy toll on Europe, especially on my own home country<br />
of Italy. So far, some 20,000 people have tragically lost <strong>the</strong>ir lives to<br />
COVID-19. Up and down <strong>the</strong> country, people mourn <strong>the</strong> loss of <strong>the</strong>ir mo<strong>the</strong>rs,<br />
fa<strong>the</strong>rs, grandparents, and in some limited tragic cases, <strong>the</strong>ir children. Perhaps<br />
at this point we can see a light at <strong>the</strong> end of <strong>the</strong> tunnel and we know that we will<br />
finally overcome this crisis.<br />
No-one chose to fight this disease, and yet thanks to <strong>the</strong> criminal negligence of<br />
<strong>the</strong> Chinese Communist Party, we are forced to. However, we have taken comfort<br />
in knowing that we are not fighting this totally alone. We, here in Italy, are glad to<br />
know that we can count of <strong>the</strong> support of our friends in Poland.<br />
Since <strong>the</strong> start of this crisis, <strong>the</strong> Polish government and people have sent us<br />
a great deal of support. We are thankful for <strong>the</strong> Polish doctors who came and<br />
supported us in Lombardy, specifically in <strong>the</strong> field hospital in Brescia, to treat our<br />
sick. We are also thankful for <strong>the</strong> aid that has been sent in <strong>the</strong> form of medicine<br />
and protective equipment including 20,000 litres of disinfectant.<br />
It is in times like <strong>the</strong>se that we value solidarity between nation states across<br />
Europe and will need to streng<strong>the</strong>n those bonds fur<strong>the</strong>r when it comes to<br />
repairing <strong>the</strong> damage done to <strong>the</strong> economy after this. And even more so when<br />
it comes to standing toge<strong>the</strong>r on <strong>the</strong> world stage in defending our way of life from<br />
<strong>the</strong> growing external threats including those posed <strong>by</strong> China itself.<br />
And I can say this in full awareness because <strong>the</strong> Italian government was one<br />
<strong>the</strong> first EU and NATO countries to sign <strong>the</strong> MoU on <strong>the</strong> new Silk Road with <strong>the</strong><br />
Chinese presidency. And one of <strong>the</strong> most convinced in developing 5G technology,<br />
regardless of security and sovereignty issues.<br />
When all is said and done, both Poland and Italy must stand toge<strong>the</strong>r against<br />
<strong>the</strong>se growing threats. We must be sure to send a clear message to <strong>the</strong> Chinese<br />
that this crisis has not divided us and that we will not allow <strong>the</strong>ir negligence to go<br />
unanswered. This virus started because <strong>the</strong>ir communist party lied to <strong>the</strong> world,<br />
and because <strong>the</strong>y failed to act.<br />
Through <strong>the</strong> support sent <strong>by</strong> <strong>the</strong> Polish government we have already started<br />
to send that message of unity. The support that <strong>the</strong> Polish government has<br />
offered <strong>the</strong> Italian people will not be forgotten. You have <strong>the</strong> appreciation of an<br />
entire nation.<br />
OUR WORLD | MAY 2020<br />
75
IMPACT OF A GLOBAL PROBLEM<br />
How <strong>the</strong> Nigerian Diaspora<br />
is Helping in <strong>the</strong> Fight<br />
Against Coronavirus<br />
By Hon. Abike Dabiri-Erewa<br />
The scale of <strong>the</strong> coronavirus<br />
outbreak is unlike anything that<br />
any global citizen has witnessed<br />
before, and it has warranted a response<br />
of equal measure.<br />
The virus has now spread to almost<br />
every corner of <strong>the</strong> globe, including to my<br />
country of Nigeria.<br />
The global response has touched<br />
us too. Earlier this month, we received<br />
a €50 million contribution towards our<br />
COVID-19 response from <strong>the</strong> European<br />
Union. We were heartened that, even at<br />
a time of great suffering for many of its<br />
own members, <strong>the</strong> EU remembered its<br />
friends and allies across <strong>the</strong> world.<br />
The number of Nigerians infected<br />
remains low compared to some nations.<br />
But already we have lost too many<br />
Nigerians to this cruel illness – including<br />
our President’s Chief of Staff, Abba Kyari.<br />
Nigeria grieves with his family at this time<br />
of great sadness. We grieve with all <strong>the</strong><br />
families across our country who have<br />
suffered, and will suffer, loss, at <strong>the</strong> hands<br />
of this pandemic.<br />
As leaders, it is incumbent on us to be<br />
honest that <strong>the</strong>re will be difficult times<br />
ahead. But we must also find <strong>the</strong> reasons<br />
to be hopeful. In Nigeria, I see plenty –<br />
particularly in <strong>the</strong> way in which our people<br />
have responded to <strong>the</strong> crisis.<br />
There is a spirit that never dies within<br />
<strong>the</strong> Nigerian people, a hopeful spirit that<br />
comes alive during times of struggle and<br />
hardship.<br />
Nigerians are resilient. When faced<br />
with struggles we respond <strong>by</strong> working<br />
hard, finding innovative solutions and<br />
supporting each o<strong>the</strong>r. Since coronavirus<br />
arrived in our country, inspiring stories<br />
have emerged of engineers fixing<br />
ventilators free of charge, and of designers<br />
using <strong>the</strong>ir talents to encourage Nigerians<br />
to protect <strong>the</strong>mselves and o<strong>the</strong>rs with face<br />
masks.<br />
We also have a secret weapon in our<br />
fight against coronavirus. The Nigerian<br />
diaspora.<br />
In my role as Chairman and CEO<br />
of Nigerians in Diaspora Commission<br />
(NIDCOM) I know better than most <strong>the</strong><br />
wealth of human and physical resources<br />
our diaspora provides to our country –<br />
76 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
never more than at times of crisis.<br />
Whilst we may be physically isolated,<br />
conversely, Nigeria and its diaspora have<br />
been brought closer than ever - <strong>by</strong> our<br />
shared culture, our shared values and our<br />
shared struggles. When all this is over, it<br />
will be more imperative than ever before<br />
that Nigerians at home and Nigerians in<br />
<strong>the</strong> diaspora work toge<strong>the</strong>r for <strong>the</strong> greater<br />
good of <strong>the</strong> nation.<br />
At <strong>the</strong> time of writing, we have<br />
tragically lost twenty-five prominent<br />
Nigerians in <strong>the</strong> diaspora. Many of <strong>the</strong><br />
members of our diaspora community are<br />
professionals in <strong>the</strong> diaspora have been<br />
welcomed home to fight on <strong>the</strong> front<br />
line. O<strong>the</strong>rs who wished to return have<br />
been prevented from doing so <strong>by</strong> travel<br />
restrictions, but like true Nigerians have<br />
found creative solutions to help <strong>the</strong>ir<br />
compatriots.<br />
The Association of Nigerian Physicians<br />
in <strong>the</strong> Americas are introducing<br />
‘telemedicine’ - long-distance coronavirus<br />
consultations for patients in Nigeria –<br />
especially designed for those who live in<br />
areas where medical access is limited, or<br />
practices have closed down.<br />
Hon. Abike<br />
Dabiri-Erewa<br />
Senior Special<br />
Assistant to<br />
President of Nigeria,<br />
Muhammadu Buhari,<br />
on Diaspora and<br />
Foreign Affairs<br />
healthcare workers. The United Kingdom<br />
benefits to <strong>the</strong> tune of 6,770 Nigerian<br />
nationals working in <strong>the</strong> National Health<br />
Service (NHS). Some have given <strong>the</strong>ir<br />
lives in this fight, including Dr Alfa Saadu<br />
who dedicated his career to <strong>the</strong> NHS.<br />
His passion and commitment embodied<br />
<strong>the</strong> Nigerian spirit. O<strong>the</strong>r medical<br />
SHUTTERSTOCK<br />
Members of <strong>the</strong> diaspora who do<br />
not belong to <strong>the</strong> medical profession<br />
have used <strong>the</strong>ir resources to provide<br />
communities with protective health<br />
equipment and support local businesses.<br />
In Abia State, members of <strong>the</strong> diaspora<br />
have placed bulk orders for personal<br />
protective equipment to be delivered to<br />
communities back home. The orders are<br />
produced <strong>by</strong> local tailors who, supported<br />
<strong>by</strong> Federal Government schemes, have<br />
so far produced 200,000 face masks and<br />
3,000 overalls.<br />
NIDCOM is overseeing a ‘Diaspora<br />
Support Initiative’ which is collecting<br />
funds to provide lifesaving medical<br />
equipment and treatment for COVID-19<br />
patients in Nigeria, and will help prepare<br />
our country fur<strong>the</strong>r for its ongoing fight<br />
against <strong>the</strong> virus. In Nigeria, we have been<br />
overwhelmed <strong>by</strong> <strong>the</strong> spirit that has brought<br />
communities toge<strong>the</strong>r in response to <strong>the</strong><br />
virus. And we are heartened to know that<br />
this is being replicated across <strong>the</strong> world.<br />
When this difficult period in our<br />
history has passed, we will not forget how<br />
so many have suffered at <strong>the</strong> hands of<br />
this unforgiving illness. But we must also<br />
not forget <strong>the</strong> way in which people came<br />
toge<strong>the</strong>r to create a global response quite<br />
unlike any o<strong>the</strong>r.<br />
In Nigeria, we will remember our secret<br />
weapon in <strong>the</strong> fight against coronavirus<br />
and we will remember <strong>the</strong> shared spirit<br />
between country and <strong>the</strong> diaspora.<br />
We hope that <strong>the</strong> diaspora will<br />
remember that, even when <strong>the</strong> crisis<br />
brings us toge<strong>the</strong>r has passed, wherever<br />
<strong>the</strong>y find <strong>the</strong>mselves, Nigeria will always<br />
be home.<br />
OUR WORLD | MAY 2020<br />
77
IMPACT OF A GLOBAL PROBLEM<br />
Germany and <strong>the</strong> Future of <strong>the</strong> Union<br />
By Gianni Pittella<br />
In 1919 John Maynard Keynes wrote<br />
a book entitled: ‘The economic<br />
consequences of peace’ with which<br />
he contended with <strong>the</strong> governments of<br />
<strong>the</strong> United States, England and France,<br />
guilty – for him - of having imposed too<br />
harsh conditions on Germany in <strong>the</strong><br />
Versailles Conference.<br />
The British economist, not very<br />
famous at <strong>the</strong> time, had participated<br />
alongside <strong>the</strong> British Chancellor in <strong>the</strong><br />
peace conference but, embittered <strong>by</strong><br />
<strong>the</strong> results, abandoned <strong>the</strong> work in<br />
controversy.<br />
Keynes argued that despite <strong>the</strong><br />
German responsibilities in triggering<br />
<strong>the</strong> world conflict, <strong>the</strong> winning powers<br />
would have had <strong>the</strong> opportunity to<br />
forgive <strong>the</strong>ir war debts and, indeed,<br />
especially on <strong>the</strong> American side, to<br />
prepare a ‘credit program’ for Germany<br />
and <strong>the</strong> Post-war Europe.<br />
We know perfectly how it went<br />
and how, at <strong>the</strong> end of <strong>the</strong> Second<br />
<strong>World</strong> War, Its advice was followed in<br />
retrospect.<br />
Today Germany has <strong>the</strong> future of <strong>the</strong><br />
Union in its hands.<br />
I write it without rhetorical emphasis<br />
and with absolute realism with<br />
respect to <strong>the</strong> German leadership and<br />
leadership-related responsibilities.<br />
Germany, too big for <strong>the</strong> old<br />
continent, too small for <strong>the</strong> world, can<br />
decide whe<strong>the</strong>r to become a bulwark of<br />
democracy and <strong>the</strong> integration of <strong>the</strong><br />
European community, or protagonist<br />
of its dissolution and <strong>the</strong> acceleration<br />
of <strong>the</strong> already clear prodromes of<br />
democratic decay of <strong>the</strong> European<br />
community.<br />
More than being involved in “games”<br />
78 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Germany, too big for <strong>the</strong> old continent, too<br />
small for <strong>the</strong> world, can decide whe<strong>the</strong>r to<br />
become a bulwark of democracy and <strong>the</strong><br />
integration of <strong>the</strong> European community,<br />
or protagonist of its dissolution and<br />
<strong>the</strong> acceleration of <strong>the</strong> already clear<br />
prodromes of democratic decay of <strong>the</strong><br />
European community.<br />
Gianni Pittella<br />
Member of <strong>the</strong> Italian<br />
Senate, Former Vice<br />
President of <strong>the</strong><br />
European Parliament<br />
& former Leader of<br />
<strong>the</strong> S&D Group in <strong>the</strong><br />
European Parliament<br />
of credits and debts, Calvinist or compassionate approaches, progressive<br />
or conservative positions, <strong>the</strong> democratic system is at stake. Put in test <strong>by</strong><br />
three elements and one temptation.<br />
The three elements are <strong>the</strong> social precariousness that will result from<br />
<strong>the</strong> dramatic economic crisis at <strong>the</strong> gates, <strong>the</strong> pervasiveness of digital<br />
control of <strong>the</strong> masses, <strong>the</strong> affirmation in <strong>the</strong> heart of Europe of an incipient<br />
dictatorship such as Orban.<br />
The temptation is constituted <strong>by</strong> <strong>the</strong> experiment of English isolationism<br />
whose exit from <strong>the</strong> Union, although simpler because it is not conditioned<br />
<strong>by</strong> monetary affiliation, however, represents <strong>the</strong> demonstration that it is<br />
not impossible to get out of a union that is no longer adequate.<br />
So, let me explain better.<br />
If Germany does not push for an economic recovery plan based on a<br />
common debt guaranteed <strong>by</strong> <strong>the</strong> EU, <strong>the</strong> most affected Member States<br />
will be left only with minimal and ungenerous solutions. The increased<br />
unemployment in <strong>the</strong>se Member States will results in a dramatic crisis.<br />
In <strong>the</strong> history of people, in particular in <strong>the</strong> history of European people,<br />
dramatic crisis have always found solutions that are incompatible with<br />
democracy.<br />
We are facing a new course.<br />
In this new course, it will not be enough to suspend <strong>the</strong> fiscal compact<br />
for a few years, but it will be necessary to overcome it. It will not be enough<br />
to prepare public subsidies, but it will be necessary to rediscover <strong>the</strong> role<br />
of <strong>the</strong> state in <strong>the</strong> economy. If it were to be done, it will not be enough<br />
to issue bonds for health expenses, but a European health authority will<br />
be needed.<br />
And I could go on and on.<br />
Ei<strong>the</strong>r <strong>the</strong> leading states of <strong>the</strong> Union, and Germany in <strong>the</strong> lead, can<br />
plan with responsibility and foresight this new course or we will be crushed<br />
<strong>by</strong> history.<br />
History will mark <strong>the</strong> return to <strong>the</strong> borders, to a merely intergovernmental<br />
Europe, to a widespread risk of emptying <strong>the</strong> institutions of democracy.<br />
It is time for Germany to assume <strong>the</strong> burden of driving, o<strong>the</strong>rwise<br />
its historic compulsion to repeat will condemn <strong>the</strong> entire continent to<br />
irrelevance and stagnation.<br />
OUR WORLD | MAY 2020<br />
79
IMPACT OF A GLOBAL PROBLEM<br />
Stringent Social Distancing<br />
Measures are Working out<br />
How <strong>the</strong> severely hit province of Tyrol made it to decrease infection rate to 0<br />
By Sophia Kircher<br />
On <strong>the</strong> 27th of February <strong>the</strong> <strong>World</strong> Health Organisation<br />
said that no country should make <strong>the</strong> fatal mistake<br />
of assuming it will be spared <strong>the</strong> coronavirus. The<br />
coronavirus started in China, found its way to Europe and<br />
also to <strong>the</strong> province of Tyrol (Austria). All of us know what has<br />
happened since <strong>the</strong> end of February – COVID-19 has been<br />
spreading across <strong>the</strong> world.<br />
Tyrol, known as “The heart of <strong>the</strong> Alps”, got severely hit<br />
<strong>by</strong> COVID-19. There are two main reasons for this. First of<br />
all, Tyrol borders Italy, which suffers from highest infection<br />
rates. Secondly, it’s <strong>the</strong> strong focus on international tourism<br />
with 50 Mio. overnight stays per year. With 61 overnight stays<br />
per inhabitant Tyrol is among world´s top countries in terms<br />
of this ratio.<br />
At <strong>the</strong> end of February, <strong>the</strong> province, with a total of 751<br />
140 inhabitants, counted two COVID-19 infected persons – a<br />
24-year-old couple who travelled from <strong>the</strong> area of Bergamo<br />
to Innsbruck. Two weeks later <strong>the</strong> provincial authorities<br />
80 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Sophia Kircher<br />
Member of <strong>the</strong><br />
regional Parliament of<br />
Tyrol with <strong>the</strong> Austrian<br />
People’s Party<br />
got informed that several Icelandic tourists<br />
were infected with <strong>the</strong> virus during <strong>the</strong>ir stay<br />
in Ischgl (Tyrol). Due to this information <strong>the</strong><br />
local authorities asked everybody showing<br />
flu-like symptoms to get tested for corona.<br />
A barkeeper got tested positive on March<br />
7th. That day immediate measures were<br />
implemented. Three days later all bars in<br />
Ischgl were closed and on March 13th all skiing<br />
areas in <strong>the</strong> “Paznaun valley”, where Ischgl<br />
is located, were shut down. On March 15th<br />
all skiing areas in <strong>the</strong> province of Tyrol were<br />
closed as well. Taking in consideration that ski<br />
tourism is one of <strong>the</strong> biggest economic drivers<br />
in Tyrol, this decision was a hard cut for <strong>the</strong><br />
province, but it was absolutely necessary. Today<br />
it is easy to blame <strong>the</strong> government of Tyrol for<br />
not acting sooner. However, <strong>the</strong> outbreak of<br />
<strong>the</strong> virus was completely new for all countries<br />
and regions around <strong>the</strong> globe. There were<br />
no experiences of combatting <strong>the</strong> COVID-19<br />
pandemic and all decisions made were based<br />
on <strong>the</strong> recommendations of leading medical<br />
experts. At <strong>the</strong> beginning of March data was<br />
lacking and many details about COVID-19 were<br />
not known. With <strong>the</strong> knowledge we possess<br />
today some decisions would have been made<br />
earlier or differently. Therefore, it is necessary<br />
to evaluate all steps made – in Tyrol, in Austria,<br />
in Europe and around <strong>the</strong> globe. We need to<br />
build on <strong>the</strong> lessons learned from COVID-19 to<br />
be better prepared for <strong>the</strong> future. The search<br />
for a scapegoat does not change <strong>the</strong> current<br />
situation. Now it is important that we fight<br />
toge<strong>the</strong>r against COVID-19 <strong>by</strong> collaborating<br />
on a vaccine. It needs to be our common goal<br />
to prevent hospitals from collapsing and open<br />
borders and all businesses again.<br />
Thanks to restrictive measures <strong>the</strong><br />
healthcare system did not collapse in Tyrol<br />
and hospitals could take care of intensive care<br />
patients from Italy (e.g. South Tyrol). With this<br />
step Tyrol eased <strong>the</strong> pressure on <strong>the</strong> South<br />
Tyrolian health system. This was a small but<br />
important contribution in terms of European<br />
solidarity. Especially at <strong>the</strong> beginning of <strong>the</strong><br />
crises we experienced a lack of this solidarity as<br />
countries blamed each o<strong>the</strong>r for spreading <strong>the</strong><br />
virus and not reacting fast enough. Although,<br />
from <strong>the</strong> beginning on, <strong>the</strong>re was a tremendous<br />
solidarity among <strong>the</strong> society in Tyrol. Many<br />
people lent a hand to those who are elderly or<br />
disabled. Moreover, people have started buying<br />
regional products to support local businesses.<br />
Tyrol´s economy has come to a standstill<br />
after <strong>the</strong> government closed all non-essential<br />
businesses. Only grocery stores, medical<br />
facilities, post offices and banks remained<br />
open. The province has experienced a massive<br />
rise in unemployment. The unemployment<br />
rate increased <strong>by</strong> 199% compared to <strong>the</strong><br />
same month in <strong>the</strong> previous year and has hit<br />
a historic high since WW II. To get companies<br />
through this difficult time, <strong>the</strong> national and<br />
provincial government filled a crises fund with<br />
approximately € 38 Billion. With state money<br />
<strong>the</strong> government tries to keep companies alive<br />
so that economy can be restarted after <strong>the</strong><br />
crises. Several measures such as <strong>the</strong> extension<br />
of “short-term work” and granting generous<br />
credit assistance were set to protect jobs.<br />
Since mid-March Austrians are not<br />
supposed to leave <strong>the</strong>ir homes except going<br />
to <strong>the</strong> supermarket or <strong>the</strong> pharmacy, going to<br />
work, if working from home is not possible and<br />
to check on housebound people.<br />
In order to stop <strong>the</strong> spread of <strong>the</strong> virus <strong>the</strong><br />
government of Tyrol set stricter regulations<br />
and put <strong>the</strong> entire province in quarantine for<br />
at least three weeks and some municipalities<br />
for more than 6 weeks. Wearing face masks<br />
got compulsory in all supermarkets <strong>by</strong> <strong>the</strong><br />
beginning of April and got extended to public<br />
transport. The fast and restrictive reactions<br />
and physical distancing have led to a steady<br />
decline. The drastic measures gave Austria <strong>the</strong><br />
opportunity to get out of <strong>the</strong> crisis more quickly<br />
and measures have got gradually eased since<br />
<strong>the</strong> end of <strong>the</strong> Easter holiday. Austria was <strong>the</strong><br />
first country in Europe to ease its lockdown<br />
against <strong>the</strong> pandemic. The slow return to<br />
normality began on April 14th. Small shops and<br />
garden centers reopened under restrictions<br />
such as wearing masks and keeping distance.<br />
As of May 1st o<strong>the</strong>r business such as hair<br />
salons will be allowed to reopen and <strong>the</strong>re is<br />
a possibility that restaurants and cafes would<br />
be allowed to start operating again in mid-May.<br />
On April 19th, for <strong>the</strong> first time since <strong>the</strong><br />
beginning of March, no new infection was<br />
reported in Tyrol, although 743 people were<br />
tested that day. Out of approximately 43.000<br />
tested people in Tyrol 3.339 got a positive<br />
test result. The numbers are strong evidence<br />
that stringent social distancing measures are<br />
working.<br />
OUR WORLD | MAY 2020<br />
81
IMPACT OF A GLOBAL PROBLEM<br />
Turkey and Covid-19:<br />
Stepping into Supply Chains<br />
By Nail Olpak<br />
Businesses all have contingency plans and procedures<br />
in place to manage crises of various sorts when <strong>the</strong>y<br />
arise. But in truth, no amount of planning could have<br />
prepared us for <strong>the</strong> sucker-punch dealt <strong>by</strong> Coronavirus and<br />
<strong>the</strong> subsequent social distancing measures, rightly and<br />
necessarily instituted to protect people and save lives.<br />
With whole sectors of <strong>the</strong> economy on hold and global<br />
supply chains suffering disruption, <strong>the</strong> true test for all of us<br />
comes now: how will we bounce back from <strong>the</strong> unexpected?<br />
The answer, so far, has been quietly promising.<br />
In my role as President of DEiK, Turkey’s Foreign Economic<br />
Relations Board, I hear first-hand how constraints on <strong>the</strong><br />
movement of people, goods and services during this crisis<br />
are taking a heavy toll on businesses. <strong>Our</strong> membership makes<br />
up <strong>the</strong> majority of Turkey’s top businesses and despite <strong>the</strong><br />
quietly promising outlook for <strong>the</strong> future, many are feeling<br />
<strong>the</strong> squeeze right now.<br />
Industrial output has been hit hard <strong>by</strong> sagging demand in<br />
Europe and delays for intermediary parts. As <strong>the</strong> world’s sixth<br />
most popular tourist destination, Turkey’s tourism sector,<br />
which accounts for around one tenth of our national GDP,<br />
has taken a beating. Airlines, hotels, restaurants and many<br />
o<strong>the</strong>rs look likely to suffer greatly during <strong>the</strong> crucial summer<br />
months as international visitors stay put.<br />
And yet, while it’s easy to paint a gloomy picture of <strong>the</strong><br />
economic situation, we have cause to take great pride in how<br />
businesses have responded to <strong>the</strong> crisis so far.<br />
As global supply chains have run into virus-related<br />
blockages, businesses around <strong>the</strong> world have moved swiftly<br />
to release <strong>the</strong>m. When China’s factories were paralysed <strong>by</strong><br />
<strong>the</strong> virus in <strong>the</strong> early months of this year and its textiles<br />
manufacturers were unable to service all <strong>the</strong>ir orders, Turkish<br />
businesses stepped in to supply major European clothing<br />
brands. Agility brings rewards: our textiles manufacturers<br />
secured an estimated $2 billion worth of orders in <strong>the</strong> process.<br />
We have seen <strong>the</strong> private sector display an incredible<br />
capacity for adaptation as <strong>the</strong> crisis has thrown up previously<br />
unthinkable demands. With <strong>the</strong> world scrambling to produce<br />
<strong>the</strong> necessary medical equipment for treating coronavirus,<br />
businesses have rushed to help. From US automobile to<br />
defence and electronics manufacturers here in Turkey, a wide<br />
sweep of industries has shifted <strong>the</strong>ir production to making<br />
life-saving ventilators and personal protective equipment.<br />
Businesses are answering <strong>the</strong> calls of governments to join<br />
<strong>the</strong> fight, and <strong>the</strong>ir capacity for innovation has been a game<br />
changer.<br />
Initiatives like <strong>the</strong>se shows how <strong>the</strong> private and public<br />
sectors can work toge<strong>the</strong>r to confront <strong>the</strong> challenges we face.<br />
And it’s impossible to ignore how governments have risen<br />
to <strong>the</strong> occasion. As <strong>the</strong> insurer of last resort, unprecedented<br />
crises like this one call for governments to step in and provide<br />
support for businesses and help keep as many people in<br />
work as possible.<br />
Coronavirus is a leveller; it touches all of us and it requires<br />
a unified effort to defeat it. Almost all major economies,<br />
Turkey’s included, are likely to experience contractions in GDP<br />
in <strong>the</strong> second quarter of this year. And <strong>the</strong> old adage remains,<br />
82 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Nail Olpak<br />
President of DEiK,<br />
Foreign Economic<br />
Relations Board of<br />
Turkey<br />
SHUTTERSTOCK<br />
global problems require global solutions.<br />
Some of <strong>the</strong> inspiring stories of cooperation between<br />
businesses during <strong>the</strong> crisis, demonstrate what can be<br />
achieved when we are all reading from <strong>the</strong> same page<br />
and confronting a common enemy.<br />
Dialogue is now more important than ever, if<br />
businesses, governments and civil society are to<br />
continue <strong>the</strong>ir collective effort. I know organisations like<br />
my own have taken on a renewed sense of importance.<br />
DEiK is helping Turkish businesses to communicate with<br />
and support each o<strong>the</strong>r as <strong>the</strong>y navigate <strong>the</strong> crisis, while<br />
also ensuring <strong>the</strong>y speak as one on <strong>the</strong> global stage.<br />
OUR WORLD | MAY 2020<br />
We must make no illusions of <strong>the</strong> scale of <strong>the</strong> crisis<br />
we face. But <strong>the</strong> signs are <strong>the</strong>re, in <strong>the</strong> myriad tales<br />
of ingenuity and cooperation during this crisis, that<br />
businesses are rising to <strong>the</strong> challenge of coronavirus.<br />
We are still in <strong>the</strong> earlier stages of this global pandemic,<br />
but I believe <strong>the</strong>re is cause for cautious optimism that<br />
we will wea<strong>the</strong>r this storm.<br />
When we do come out <strong>the</strong> o<strong>the</strong>r side, I only hope that<br />
<strong>the</strong> spirit of toge<strong>the</strong>rness that is carrying us through this<br />
crisis endures. One of <strong>the</strong> many lessons to be learned<br />
from this crisis is that we are greater than <strong>the</strong> sum of<br />
our parts. We must not forget it.<br />
83
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<strong>Struck</strong> <strong>by</strong> <strong>the</strong> <strong>Pandemic</strong><br />
Critical<br />
Infrastructure<br />
& The Future<br />
of Business
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Digital Greece: Turning<br />
Crisis into Opportunity<br />
By Grigoris Zarifopoulos<br />
86 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
In his 1959 speech, John F. Kennedy famously said: “When written in Chinese,<br />
<strong>the</strong> word ‘crisis’ is composed of two characters - one represents danger and<br />
one opportunity”. Even though today it is widely recognized that this is not<br />
<strong>the</strong> correct interpretation of <strong>the</strong> Chinese characters, JFK’s quote about crisis<br />
giving birth to opportunity is more relevant than ever.<br />
It is definitely relevant for Greece, a country that has ever been lagging far<br />
behind <strong>the</strong> rest of European countries in digital governance and overall use of<br />
technology, ranking 25th out of <strong>the</strong> 27 EU countries on EU’s Digital Economy<br />
and Society Index (DESI), for 2019. Modernizing <strong>the</strong> state through <strong>the</strong> use of<br />
technology has been at <strong>the</strong> very top of <strong>the</strong> new Greek government’s agenda<br />
ever since it took office following <strong>the</strong> July 7th, 2019, national election. The newly<br />
formed Ministry of Digital Governance put toge<strong>the</strong>r a comprehensive strategic<br />
Grigoris<br />
Zarifopoulos<br />
Greek Deputy<br />
Minister for Digital<br />
Governance,<br />
responsible for Digital<br />
Strategy and for<br />
attracting investment<br />
in Digital Technology<br />
OUR WORLD | MAY 2020<br />
87
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
plan (incorporated in <strong>the</strong>, so called,<br />
Bible of Digital Transformation), to<br />
digitize <strong>the</strong> public sector, provide online<br />
services to Greek citizens, streng<strong>the</strong>n<br />
<strong>the</strong> population’s digital literacy and<br />
incorporate innovative technologies in<br />
all sectors of <strong>the</strong> Greek economy.<br />
Plato is credited for coining <strong>the</strong><br />
phrase, “Necessity is <strong>the</strong> mo<strong>the</strong>r of<br />
invention” - <strong>the</strong> Covid19 pandemic acted<br />
as <strong>the</strong> forcing mechanism to accelerate<br />
innovation in Greece, leading to rapid<br />
advances in digital governance. Faced<br />
with an unprecedented crisis, <strong>the</strong><br />
Greek government fast realized that<br />
technology, if applied effectively, could<br />
provide immediate solutions to help<br />
manage <strong>the</strong> problem at hand. From <strong>the</strong><br />
very onset of <strong>the</strong> crisis, digital means<br />
were used for citizens to declare <strong>the</strong><br />
reasons for leaving <strong>the</strong>ir home and<br />
gov.gr was introduced, 3 months earlier<br />
than originally planned, to help citizens<br />
complete necessary transactions with<br />
<strong>the</strong> state remotely. This new platform<br />
now acts as a single digital gateway<br />
to more than 500 services, including<br />
some new, high volume ones, of <strong>the</strong><br />
likes of citizen’s solemn declaration and<br />
authorization/power of attorney. In less<br />
than a month, more than 150,000 of<br />
just <strong>the</strong>se two services were completed<br />
online, saving citizens and enterprises<br />
precious productive time while keeping<br />
<strong>the</strong>m safe at base. Similarly, many forms<br />
required <strong>by</strong> <strong>the</strong> public sector, whe<strong>the</strong>r<br />
related to Health, Education, Justice or<br />
o<strong>the</strong>r aspects of citizens’ interaction<br />
with <strong>the</strong> state, can now be accessed<br />
online with <strong>the</strong> relevant procedures<br />
completed digitally.<br />
At <strong>the</strong> same time, a teleconferencing<br />
platform was introduced to allow public<br />
servants to work from home, as well<br />
as online digital learning and virtual<br />
classroom tools were made available to<br />
allow for public schools and universities<br />
to continue <strong>the</strong>ir operation remotely.<br />
Moreover, a new digital service was<br />
introduced allowing patients to receive<br />
drug prescriptions on <strong>the</strong>ir cell phone,<br />
without having to physically visit <strong>the</strong>ir<br />
doctor. This was critical for chronically<br />
Technology has become an ally<br />
not just to battle but also to help<br />
survive Covid19. Technology has<br />
become an integral part of Greek<br />
people’s everyday life, a positive<br />
side effect of <strong>the</strong> pandemic.<br />
ill patients to minimize unnecessary<br />
exposure during <strong>the</strong> Covid19 pandemic.<br />
As a result, more than 500,000 drug<br />
prescriptions have been implemented<br />
digitally to date in Greece. Last but not<br />
least, telemedicine solutions, providing<br />
consultation to Covid19 patients as well<br />
as psychological support to citizens,<br />
have also been implemented at scale<br />
as a response to <strong>the</strong> health crisis.<br />
Technology has become an ally not<br />
just to battle but also to help survive<br />
Covid 19. Technology has become<br />
an integral part of Greek people’s<br />
everyday life, a positive side effect of<br />
<strong>the</strong> pandemic.<br />
As President Kennedy suggested,<br />
out of crises can emerge amazing<br />
opportunities. But, for this to happen,<br />
traditional approaches need to<br />
be questioned and challenged. As<br />
incentives and motives change under<br />
pressure, new working structures<br />
emerge or become even more relevant.<br />
Ever since last summer, <strong>the</strong> Greek<br />
Ministry of Digital Governance has been<br />
focusing on completing many smaller<br />
scale ICT projects ra<strong>the</strong>r than few, large<br />
scale ones, to drive <strong>the</strong> country’s digital<br />
transformation. These smaller scale<br />
ICT projects require dedicated, fully<br />
accountable working teams embracing<br />
agile design and implementation<br />
techniques. Under crisis, <strong>the</strong>se<br />
flexible structures and methodologies<br />
have become <strong>the</strong> new operational<br />
norm, effectively adapting to <strong>the</strong> new<br />
circumstances and producing fast timeto-market<br />
results.<br />
More importantly, <strong>the</strong> new approach<br />
places citizens at <strong>the</strong> forefront. It is a<br />
people-centric approach that aims to<br />
serve <strong>the</strong> citizens’ needs ra<strong>the</strong>r than<br />
<strong>the</strong> public sector’s ones.<br />
The modernization of <strong>the</strong> Greek<br />
public sector, as well as <strong>the</strong> incorporation<br />
of technology in all aspects of <strong>the</strong> Greek<br />
economy shall continue even after <strong>the</strong><br />
crisis is over. Fur<strong>the</strong>r to <strong>the</strong>ir immediate<br />
contributions during <strong>the</strong> pandemic, <strong>the</strong><br />
digital tools and processes put in place<br />
have also contributed in a very important<br />
mentality shift: e-government has<br />
increased citizen trust in government<br />
and public administration. We still have<br />
a long way to go. Moving forward, we<br />
need to capitalize on this invaluable<br />
legacy.<br />
88 MAY 2020 | OUR WORLD
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Full-service Healthcare Distributors have Proven<br />
<strong>the</strong>ir Resilience Throughout <strong>the</strong> COVID-19 Crisis<br />
Ensuring Continuous Service for European Patients<br />
By Monica Derecque Pois<br />
Monica<br />
Derecque Pois<br />
Director General<br />
of <strong>the</strong> European<br />
Healthcare<br />
Distribution<br />
Association<br />
Over <strong>the</strong> past number of weeks during<br />
<strong>the</strong> ongoing COVID-19 crisis, fullservice<br />
healthcare distributors have<br />
proven time and time again <strong>the</strong>ir efficiency in<br />
ensuring <strong>the</strong> continuous supply of medicines.<br />
Full-service healthcare distributors<br />
typically work out of sight, yet <strong>the</strong>y are<br />
indispensable and crucial components<br />
of healthcare systems. Patients trust that<br />
<strong>the</strong>ir local pharmacy and o<strong>the</strong>r healthcare<br />
institutions will have <strong>the</strong> correct medicine in<br />
<strong>the</strong> exact quantity and at <strong>the</strong> precise time<br />
needed. They rely on full-service healthcare<br />
distributors to continuously provide a rapid,<br />
safe and manufacturer independent supply<br />
of products, including life-saving medicines,<br />
to <strong>the</strong> sites of healthcare provision.<br />
This could not be truer under <strong>the</strong> current<br />
circumstances. More than ever, healthcare<br />
systems rely on full-service healthcare<br />
distributors, to ensure <strong>the</strong> safe and efficient<br />
delivery of medicines and medical devices<br />
to patients, not only for <strong>the</strong> treatment of<br />
COVID-19.<br />
The COVID-19 outbreak has sent<br />
healthcare systems into a whirlwind of<br />
uncertainties and unprecedented difficulties.<br />
Healthcare professionals in primary and<br />
secondary care settings had to cope with<br />
<strong>the</strong> enormous surge in patients needing<br />
assistance and treatment to a disease still<br />
unpredictable in its development.<br />
Healthcare professionals, toge<strong>the</strong>r with<br />
pharmaceutical manufacturers and fullservice<br />
healthcare distributors have been<br />
at <strong>the</strong> forefront of <strong>the</strong> fight against <strong>the</strong><br />
disease. Full-service healthcare distributors<br />
responded efficiently and effectively to<br />
confront <strong>the</strong> challenges in <strong>the</strong> fight <strong>by</strong> relying<br />
on an established and proven distribution<br />
infrastructure and network.<br />
Across Europe, <strong>the</strong> outbreak presented our<br />
sector with immense challenges due to <strong>the</strong> farreaching<br />
effects of <strong>the</strong> virus, examples include:<br />
- The application of border controls <strong>by</strong><br />
EU Member States considerably impacted<br />
<strong>the</strong> transport of medicines from <strong>the</strong><br />
manufacturing sites and storage hubs to<br />
<strong>the</strong> dispensing outlets. The creation of “green<br />
lanes” implemented at <strong>the</strong> urge of supply<br />
chain stakeholders proved very helpful.<br />
- The imposition of quarantine measures<br />
<strong>by</strong> national authorities have rendered access<br />
to restricted/quarantined areas (“red zones”)<br />
very difficult, where patients needed <strong>the</strong>ir<br />
medicines most urgently. Since full-service<br />
healthcare distributors have been recognised<br />
as critical infrastructure, quarantined areas<br />
can be accessed without fur<strong>the</strong>r delays.<br />
- Full-service healthcare distributors<br />
are concerned about recently introduced<br />
export bans of certain Active Pharmaceutical<br />
Ingredients (APIs) <strong>by</strong> countries such as India.<br />
The impact of such measures could be felt<br />
widely in a few months’ time and increase<br />
<strong>the</strong> already existing problem of medicine<br />
shortages.<br />
- Export restrictions imposed <strong>by</strong> EU<br />
Member States for medicines and medical<br />
devices lead to disruptions of supply chains<br />
in <strong>the</strong> EU, as no country is self-sufficient in<br />
terms of its medicine consumption. Thanks<br />
to <strong>the</strong> timely and clear guidance from <strong>the</strong><br />
European Commission many restrictions<br />
have already been lifted.<br />
- Full-service healthcare distributors need<br />
to maintain high staffing levels and services<br />
to be able to supply medicines to patients.<br />
While doing so, <strong>the</strong>y take all measures<br />
to ensure <strong>the</strong> safety of <strong>the</strong>ir employees.<br />
However, warehouse workers and drivers<br />
of full-service healthcare distributors today<br />
remain without <strong>the</strong> promised Personal<br />
Protections Equipment (PPE) to adequately<br />
protect <strong>the</strong>mselves and <strong>the</strong>ir colleagues. This<br />
continues to be a source of frustration for<br />
full-service healthcare distributors and raises<br />
<strong>the</strong> level of anxiety for workers.<br />
90 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
In order to respond to aforementioned obstacles as<br />
well as to future threats from <strong>the</strong> COVID-19 crisis, fullservice<br />
healthcare distributors have developed coordinated<br />
contingency plans to allow for <strong>the</strong> rapid deployment of<br />
measures at short notice. Overall, our sector has proven its<br />
resilience in keeping <strong>the</strong> value chain efficiently working - even<br />
under <strong>the</strong> most difficult circumstances.<br />
GIRP, <strong>the</strong> European Healthcare Distribution Association,<br />
is actively engaging with European institutions and national<br />
governments to highlight <strong>the</strong> availability and willingness of<br />
<strong>the</strong> full-service healthcare distribution sector to support<br />
healthcare systems deal with <strong>the</strong> continuing challenges<br />
and future needs. Full-service healthcare distributors have<br />
well-established distribution infrastructure in every country<br />
in Europe that can ensure <strong>the</strong> appropriate and equitable<br />
distribution of products to all points of dispense. This includes<br />
<strong>the</strong> fair distribution of masks, gloves, antigen, antibody tests<br />
and, in <strong>the</strong> future, a life-saving vaccine.<br />
As an association, GIRP has been working with partners<br />
such as <strong>the</strong> European Commission, European Medicines<br />
Agency, pharmacy and pharmaceutical manufacturing<br />
trade bodies to identify and mitigate possible impediments<br />
to <strong>the</strong> safe and secure distribution of increased volumes of<br />
medicines.<br />
OUR WORLD | MAY 2020<br />
Examples of GIRP’s engagement include:<br />
- Formal governmental recognition of <strong>the</strong> crucial role being<br />
played <strong>by</strong> full-service healthcare distributors in tackling <strong>the</strong><br />
COVID-19 pandemic. The recognition <strong>by</strong> governments of fullservice<br />
healthcare distributor staff as key workers, which allows<br />
warehouse workers and drivers to move around with a special<br />
permission to be able to deliver medicines to patients in need;<br />
- Calling for greater access to PPE and eventually to COVID-19<br />
antigen and antibody testing.<br />
The priority of <strong>the</strong> GIRP remains <strong>the</strong> safe and secure<br />
distribution of medicines, which in itself is predicated on <strong>the</strong><br />
safety of full-service healthcare distribution staff, such as gaining<br />
access to PPE.<br />
About GIRP<br />
GIRP, <strong>the</strong> European Healthcare Distribution Association, is<br />
<strong>the</strong> umbrella organisation for full-service healthcare distributors<br />
in Europe. It represents <strong>the</strong> national associations of over 750<br />
pharmaceutical wholesalers serving 34 European countries,<br />
as well as major international and pan-European healthcare<br />
distribution companies. GIRP members employ over 140,000<br />
people and distribute around 15 billion packs of medicines as<br />
well as a wide range of healthcare products per year. As <strong>the</strong><br />
vital link in healthcare, <strong>the</strong>y are committed to developing and<br />
providing innovative and efficient healthcare products and<br />
services to improve health and wellbeing of patients across<br />
91
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
What is <strong>the</strong> Role of Businesses in Europe’s<br />
Fight Against COVID-19, and in its Recovery?<br />
By Cybelle Buyck<br />
As a brewer with a European heritage that dates back<br />
600 years to <strong>the</strong> Den Hoorn Stella Artois brewery<br />
in Leuven, Belgium, our role has long been to bring<br />
people toge<strong>the</strong>r.<br />
Yet this role took on a different meaning with <strong>the</strong> arrival<br />
of COVID-19. As governments across Europe undertook<br />
necessary measures to contain <strong>the</strong> spread of <strong>the</strong> virus, we saw<br />
industries change <strong>the</strong>ir way of working, <strong>the</strong> bars, restaurants<br />
and cafes where people ga<strong>the</strong>r closed and populations urged<br />
to stay at home, self-isolate and socially distance.<br />
In this vastly changed reality, we reassembled quickly to<br />
answer new questions: firstly, how can we keep our 7,500<br />
people across 18 breweries and offices in EU member states<br />
safe and healthy? How can we support our customers who are<br />
also dealing with this new landscape? How can we help our<br />
communities, and how can we still bring people toge<strong>the</strong>r at<br />
a distance? And finally, how can we ensure a lasting, healthy<br />
recovery?<br />
Ensuring <strong>the</strong> health and safety of our<br />
people<br />
From <strong>the</strong> outset of this crisis, our top priority as a business has<br />
been protecting our colleagues and ensuring <strong>the</strong>ir health and<br />
safety. As a global company we were able to use important<br />
learnings from our China and South Korea business as we<br />
shifted everyone who could work from home to remote<br />
working and put in enhanced hygiene and safety measures<br />
at our breweries. These included arranging production lines<br />
and cantines to take social distancing into account, increasing<br />
cleaning cycles and putting in voluntary temperature checks<br />
at our brewery entrances.<br />
As many businesses now understand, we also have a duty<br />
of care for our people’s mental, as well as physical, health.<br />
We recognize how unprecedented <strong>the</strong> current situation is<br />
and <strong>the</strong> rapid adaptations our people are making. We’re<br />
listening to feedback each and every week and providing<br />
new trainings for our teams – from daily physical exercise<br />
sessions and webinars on wellbeing to virtual happy hours<br />
and inspirational sessions every Friday, called Beer Talk,<br />
where we invite an external speaker to talk to our teams<br />
over Zoom.<br />
<strong>Our</strong> people are our greatest strength and in <strong>the</strong>se times,<br />
I’ve been humbled to watch <strong>the</strong>m rally to support each o<strong>the</strong>r.<br />
We are proud of <strong>the</strong>ir resilience and commitment of our<br />
people and know that we are in this toge<strong>the</strong>r.<br />
Supporting <strong>the</strong> long-term success of our<br />
partners<br />
As restaurants, bars and pubs across Europe closed <strong>the</strong>ir<br />
doors, we knew that <strong>the</strong> partners we supply our beers to,<br />
would be struggling financially. <strong>Our</strong> teams worked at speed<br />
to devise, design and develop a new platform that would<br />
enable consumers to buy a voucher for <strong>the</strong>ir local bar, which<br />
we would match, giving <strong>the</strong>se outlets much-needed income<br />
now, and people could redeem <strong>the</strong>se once <strong>the</strong>ir bar reopens.<br />
This platform went live in a matter of days, called ‘Café<br />
Courage’ in Belgium, and has rolled out since in <strong>the</strong> UK, France<br />
and Italy, raising over half a million euros for participating<br />
bars and pubs.<br />
We’re also working with our customers to give deferred<br />
rent payments, free tap cleaning services and keg restocks<br />
with fresh beer to support a fast recovery for <strong>the</strong> sector when<br />
social distancing measures begin to ease.<br />
Helping our communities in need<br />
A responsible business must also go beyond <strong>the</strong>ir own<br />
people, operations and business partners.<br />
Although beers such as Leffe and Stella are globallyrecognized<br />
brands, beer is a very local product. 95% of our<br />
beers are locally sourced, locally grown, locally brewed. We as<br />
a company are deeply-rooted in <strong>the</strong> communities in which we<br />
operate and <strong>the</strong>refore we are in a unique position to support<br />
<strong>the</strong>m and to be a part of <strong>the</strong> solution.<br />
As European governments and public health bodies<br />
began implementing measures to combat <strong>the</strong> spread of<br />
Covid-19, public demand for hand sanitizers and disinfectant<br />
increased dramatically. As <strong>the</strong>se products are alcohol-based,<br />
we were able to step in to help.<br />
Turning our efforts from brewing with barley and hops<br />
to producing biocides was a different challenge, but one that<br />
we rose to given <strong>the</strong> situation. We partnered with companies<br />
with expertise in this area to produce over 120,000 litres of<br />
ready-to-use disinfectant alcohol and hand sanitizers, using<br />
<strong>the</strong> surplus alcohol from our alcohol-free beers, like Jupiler<br />
0.0, Leffe 0,0 and Beck’s Blue. These were delivered to crisis-<br />
92 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
Cybelle Buyck<br />
European Vice<br />
President of Legal &<br />
Corporate Affairs, AB<br />
InBev<br />
OUR WORLD | MAY 2020<br />
coordination teams and governments across<br />
Europe to distribute for free to hospitals and<br />
frontline services that needed it most.<br />
Alongside shifting production to hand<br />
sanitizers, disinfectant liquids and gels,<br />
we’ve donated a million alcohol-free beers<br />
to frontline health workers and donated our<br />
billboard space to public health campaigns <strong>by</strong><br />
FIFA and WHO.<br />
I have always believed that our company can<br />
only exist with support and partnership from our<br />
communities. In times of crisis, this role becomes<br />
even clearer.<br />
Building a lasting recovery<br />
Although uncertainty remains, we know<br />
that with our people, our partners and our<br />
communities we will emerge from this, and<br />
emerge stronger toge<strong>the</strong>r. Yet, what will <strong>the</strong><br />
o<strong>the</strong>r side look like and how can we learn from<br />
this experience to build a better, safer, cleaner<br />
recovery?<br />
As a business, we have long advocated <strong>the</strong><br />
importance of long-term, sustainable growth.<br />
The fight against COVID-19 has given us<br />
important food for thought on how quickly we<br />
can collaborate, connect and change behaviours<br />
and actions when needed. What could we<br />
achieve toge<strong>the</strong>r if we applied this mindset,<br />
focus on fast solutions and partnership between<br />
governments, institutions and businesses to <strong>the</strong><br />
difficult questions we will now face?<br />
While we must continue to prioritise public<br />
health and accelerating progress towards<br />
a vaccine, an economic, environmental and<br />
societal recovery needs to be taken into account.<br />
Here we believe <strong>the</strong>re is a great opportunity<br />
for <strong>the</strong> European Union to lead <strong>the</strong> way in<br />
developing a sustainable future <strong>by</strong> encouraging<br />
green investments. Policy makers should look to<br />
incentivise and reward first-mover companies so<br />
o<strong>the</strong>rs follow this lead, generating unstoppable<br />
momentum towards carbon neutrality. We<br />
believe that this progressive approach will not<br />
only lead to lasting environmental benefits, but<br />
will also create growth and employment.<br />
We know that <strong>the</strong> next few months will<br />
bring challenges and as a business deeplyrooted<br />
in Europe, we are here to support<br />
a smart recovery that is built to last for our<br />
future generations.<br />
93
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
SHUTTERSTOCK<br />
A New Narrative in Tourism<br />
is an Urgent Necessity<br />
By Angela Gerekou<br />
Interdependence is <strong>the</strong> main feature<br />
of our economy and especially when it<br />
comes to a small country like Greece,<br />
with a weak economy, which should be<br />
developed in an international economic<br />
and geopolitical environment, which<br />
is uncertain, turbulent and ruthlessly<br />
competitive.<br />
The recovery that we are all<br />
discussing at some point of course soon<br />
shall return to world tourism, although<br />
it is not possible to be determined<br />
exactly on <strong>the</strong> basis of previous crises,<br />
and especially this one that has very<br />
special features.<br />
I recently read in a study <strong>by</strong> Ipsos<br />
Opinion that only 4% of consumers<br />
believe that brands need to stop<br />
advertising, but <strong>the</strong>y emphasize that<br />
<strong>the</strong> approach and <strong>the</strong> content need to<br />
change.<br />
In <strong>the</strong> same study, I note that <strong>the</strong><br />
issue of “health safety” (safety protocols)<br />
is now perhaps <strong>the</strong> most important<br />
request of potential visitors in general.<br />
It is important for all of us to point<br />
out and congratulate <strong>the</strong> coordinated<br />
efforts of <strong>the</strong> Greek government, but<br />
also <strong>the</strong> response of all of us, because<br />
it is particularly important that all <strong>the</strong><br />
94 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Angela<br />
Gerekou<br />
President of <strong>the</strong> Greek<br />
National Tourism<br />
Organisation<br />
necessary measures were taken in time<br />
to reduce <strong>the</strong> spread of <strong>the</strong> virus.<br />
Till today, our country has shown a<br />
sense of responsibility and seriousness<br />
in <strong>the</strong> European and international<br />
environment, which will “receive” it in<br />
<strong>the</strong> near future, as long as it continues to<br />
move at <strong>the</strong> same pace as planned and it<br />
is important that we all continue toge<strong>the</strong>r.<br />
The government’s priority continues to<br />
be on delaying, containing and preparing<br />
<strong>the</strong> country to minimize serious illness<br />
and economic disruption. We must all<br />
do our part to prevent transmission of<br />
COVID-19 and I ask that you all follow <strong>the</strong><br />
advice of <strong>the</strong> Government’s health officer.<br />
We need to be more prepared and<br />
united now than ever before, as we still<br />
have a long way to run and we are heading<br />
for uncharted areas.<br />
We are also working on ways to<br />
support businesses and organizations<br />
affected <strong>the</strong> most <strong>by</strong> <strong>the</strong> restrictions<br />
on travel and ga<strong>the</strong>rings. I am speaking<br />
with my Cabinet colleagues daily and <strong>the</strong><br />
Ministry of Tourism so to be well informed<br />
of impacts to people and businesses in<br />
<strong>the</strong> tourist sector.<br />
It is also important to broaden and<br />
maintain <strong>the</strong> production business and<br />
<strong>the</strong> wider economy until <strong>the</strong> crisis is<br />
normalised, and it must be <strong>the</strong> main<br />
concern of <strong>the</strong> state.<br />
The structure and scope of economic<br />
policy decisions at <strong>the</strong> European level is<br />
a crucial contributor to this.<br />
In this important period I also believe<br />
that we should work decisively and<br />
smartly, because this is for all of us. It is a<br />
restart in every respect.<br />
Tourism plays an important role<br />
in safeguarding and protecting local<br />
heritage. Now is a good time to focus<br />
on engaging local communities to<br />
document <strong>the</strong> unique history and culture<br />
of <strong>the</strong> destination and ensure that it is<br />
safeguarded for future generations and<br />
shared with visitors.<br />
<strong>Our</strong> experience extends to exhibit<br />
design and interpretation for museums<br />
and visitor attractions using state of <strong>the</strong><br />
art technologies to enhance <strong>the</strong> visitor<br />
experience. This is <strong>the</strong> best way to add<br />
quality to <strong>the</strong> new era in tourism, products<br />
and services, unlocking <strong>the</strong> potentials of<br />
special interest tourism fields.<br />
Fur<strong>the</strong>rmore, promoting sustainable<br />
practices in <strong>the</strong> entire circle of <strong>the</strong> tourism<br />
industry is a guarantee that Greek tourism<br />
can be essential to <strong>the</strong> country’s effort for<br />
development.<br />
<strong>Our</strong> main focus is to communicate<br />
and interpret <strong>the</strong> significance of <strong>the</strong><br />
environment, promote minimal impact<br />
practices, ensure <strong>the</strong> sustainability of<br />
<strong>the</strong> natural and cultural environment,<br />
and motivate visiting tourists to evaluate<br />
<strong>the</strong> quality of life in relation to larger<br />
ecological or cultural concerns.<br />
Greece, first of all, is an idea, and is on<br />
<strong>the</strong> list with <strong>the</strong> most beautiful countries<br />
in <strong>the</strong> world and we ought to keep it that<br />
way.<br />
Every event teaches and evolves us,<br />
so we keep in touch with our people, we<br />
communicate, and for whatever concerns<br />
us technology is <strong>the</strong> tool. This means we<br />
do not lose contact.<br />
It is a period of knowledge,<br />
development, strength to feed ourselves<br />
spiritually, mentally, physically, and a<br />
good time to foster collaborations and<br />
cultivate relationships that interest us.<br />
Everything goes through its own cycle<br />
and we must act wisely and reprogramme<br />
and stay focus on our target so that we<br />
can recognize our inner strength and<br />
calmness and use it positively in any<br />
uncertain scenarios.<br />
We ought first of all to ourselves and<br />
our children, to discover <strong>the</strong> hidden<br />
blessing that is hiding here and to find<br />
our way synchronize with it.<br />
Finally, I want to take a moment to<br />
acknowledge that this is a stressful time<br />
for everyone. I encourage you all to take<br />
care of yourselves, your families, and your<br />
friends during <strong>the</strong> difficult days ahead.<br />
I will close <strong>the</strong>se thoughts with a<br />
prayer.<br />
Give me <strong>the</strong> beauty of <strong>the</strong> soul and claim<br />
me with <strong>the</strong> harmony of soul and body. Help<br />
me count <strong>the</strong> wise as rich...and give me <strong>the</strong><br />
wealth that only <strong>the</strong> restrained man can<br />
endure and maintain. - Socrates<br />
OUR WORLD | MAY 2020<br />
95
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Hauling US Banking Infrastructure<br />
By Archie Ravishankar<br />
Archie<br />
Ravishankar<br />
Founder and CEO of<br />
Cogni<br />
The COVID-19 pandemic is confronting<br />
us at every level of <strong>the</strong> global economy.<br />
We have never seen <strong>the</strong> economy<br />
shutdown at this scale and duration, and bring<br />
us into such completely uncharted territory. In<br />
<strong>the</strong> United States, we are seeing <strong>the</strong> Federal<br />
Government mounting a very ambitious<br />
economic response. Its role and attempts to<br />
ease <strong>the</strong> economic burden could last for years.<br />
Recently, Democratic presidential candidate, Joe<br />
Biden was quoted as saying “<strong>the</strong> next few years<br />
will look like <strong>the</strong> beginning of <strong>the</strong> presidency of<br />
Franklin Delano Roosevelt [FDR],” <strong>the</strong> president<br />
who was famous for taking America out of <strong>the</strong><br />
Great Depression and putting a large portion<br />
of <strong>the</strong> unemployed back to work.<br />
FDR’s approach was a complete paradigm<br />
shift from how <strong>the</strong> U.S. Government has<br />
functioned in <strong>the</strong> preceding 162 years before<br />
his election. The nation’s budget was split into<br />
a small group of silos -Defense (<strong>the</strong>n referred<br />
to as War), Treasury, Postal Service, Interior,<br />
and Foreign Affairs. At that point, <strong>the</strong> U.S. was<br />
a growing global power, and had not yet earned<br />
<strong>the</strong> super-power status it attained after <strong>World</strong><br />
War II. So FDR’s approach focused on bringing<br />
<strong>the</strong> country out of <strong>the</strong> Depression <strong>by</strong> reshuffling<br />
how a reduced tax base was distributed. The<br />
New Deal as it was called, was <strong>the</strong> largest-ever<br />
public works program. It saw <strong>the</strong> creation<br />
of many new departments of <strong>the</strong> federal<br />
government, most notably The Department<br />
of Labor, addressing an area where <strong>the</strong> U.S.<br />
had a surplus. This new department was<br />
<strong>the</strong> first tangible example of disruption in<br />
<strong>the</strong> last century. To deploy <strong>the</strong> unemployed<br />
masses, it launched a series of initiatives that<br />
laid <strong>the</strong> foundation for <strong>the</strong> nation today. The<br />
Department of Labor’s programs built new<br />
roads, parks, rail lines, airports, and more, all of<br />
which are critical to <strong>the</strong> nation’s infrastructure.<br />
Fast-forward to today, most of that physical<br />
infrastructure, and it’s digital counterpart are in<br />
serious need of updating; if Biden is correct, we<br />
may see <strong>the</strong> United States go through a process<br />
of significant upgrading.<br />
Today, <strong>the</strong> impacts of COVID-19 and <strong>the</strong><br />
social distancing and shelter in place orders<br />
have just begun to decimate <strong>the</strong> U.S. economy.<br />
There is no doubt that we are only in <strong>the</strong> early<br />
stages and are just scratching <strong>the</strong> surface of<br />
what could possibly face us. While economists<br />
disagree about <strong>the</strong> level of impact we will see in<br />
<strong>the</strong> near future, <strong>the</strong>y all agree <strong>the</strong> effects will be<br />
dire, some believing that <strong>the</strong> U.S. economy will<br />
shrink <strong>by</strong> as much as 40%. Some share <strong>the</strong> same<br />
view as current U.S. President that <strong>the</strong> “cure<br />
may be worse than <strong>the</strong> cause.” Even <strong>the</strong> most<br />
conservative estimates project <strong>the</strong> recovery<br />
program will cost trillions of dollars more over<br />
<strong>the</strong> next few years, on top of trillions in relief<br />
measures already approved <strong>by</strong> <strong>the</strong> Congress<br />
and President to date. The harmful effects<br />
of this pandemic are not equally distributed.<br />
Children will be <strong>the</strong> largest victim, physically and<br />
economically, because <strong>the</strong> financial decisions<br />
made today will impact <strong>the</strong> nation for years to<br />
come.<br />
As we navigate this storm, <strong>the</strong> United<br />
States Department of Homeland Security has<br />
identified 16 critical infrastructure sectors<br />
whose assets, systems, and networks,<br />
whe<strong>the</strong>r physical or virtual, are considered<br />
so vital to <strong>the</strong> United States. Their potential<br />
incapacitation would have a debilitating effect<br />
on security, economic security, national public<br />
health or safety, or any combination <strong>the</strong>reof.<br />
The Financial Services Sector, one of <strong>the</strong> 16<br />
includes global corporate and investment<br />
banks, insurance companies, thousands of<br />
smaller depository institutions, credit card<br />
providers, financial technology companies, and<br />
more. Despite any qualms <strong>the</strong> general public<br />
may have with this sector, it’s arguably <strong>the</strong> most<br />
critical piece of <strong>the</strong> U.S.’s infrastructure. It serves<br />
as <strong>the</strong> fuel and backbone for every o<strong>the</strong>r sector<br />
of <strong>the</strong> economy and is an industry that is at a<br />
crossroads. The sector can choose business as<br />
usual or business with purpose. So far, all signs<br />
point to <strong>the</strong> former.<br />
It’s shocking to see a lack of altruistic action<br />
coming from <strong>the</strong> large banks. Instead, as claims<br />
made in several class-action lawsuits state, <strong>the</strong><br />
largest banks have used this as an opportunity<br />
to profit. They have been quick to prioritize<br />
<strong>the</strong>ir largest customers and <strong>the</strong> substantial<br />
96 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
origination fees <strong>the</strong>y represent, while doing little to provide<br />
relief for <strong>the</strong> individuals that need it most. The crisis is <strong>the</strong>ir<br />
opportunity to lead, and help <strong>the</strong> nation pick-up where FDR’s<br />
new deal left off. Banks could, for example, offer low-interest<br />
loans to state and local governments to address <strong>the</strong> physical<br />
infrastructure issues plaguing <strong>the</strong> United States, <strong>the</strong>y could also<br />
use <strong>the</strong>ir superior resources to create simple and easy routes for<br />
individuals to find financial relief, both would ease <strong>the</strong> financial<br />
burden on <strong>the</strong> average American <strong>by</strong> offering opportunities for<br />
<strong>the</strong>m to work. Finally, a term often used in business is “money<br />
is cheap,” meaning <strong>the</strong> costs of financing are at all-time lows.<br />
Financing in banks used to be what provided customers with<br />
an average 8% interest on <strong>the</strong>ir savings. Instead, banks began<br />
taking nearly 90% of that interest away from customers to make<br />
“money cheap” for <strong>the</strong>ir corporate clients. It’s business as usual<br />
and all <strong>the</strong> typical business issues that come with it.<br />
As <strong>the</strong> CEO of Cogni, our banking priority is to ensure <strong>the</strong><br />
critical needs of our customers are met in a timely and efficient<br />
manner. We will continue to innovate and develop new financial<br />
products that support <strong>the</strong> financial needs of <strong>the</strong> Americans who<br />
can and cannot work from home. I founded Cogni to change<br />
<strong>the</strong> way people bank and <strong>the</strong>ir relationship with <strong>the</strong>ir financial<br />
institutions. We saw many issues with <strong>the</strong> banking system, when<br />
<strong>the</strong> economy was thriving, and are now seeing even worse issues<br />
during a crisis. I’m encouraged <strong>by</strong> <strong>the</strong> fact that our company is<br />
in business, and we are a part of a growing group of cohorts<br />
that customers are quickly turning to for <strong>the</strong>ir financial needs.<br />
When <strong>the</strong> big banks were turning people away from <strong>the</strong>ir Pay<br />
Check Protection loan applications, Fintechs like BlueVine and<br />
Grasshopper Bank were <strong>the</strong>re to offer a simple route to this<br />
critical relief. These are two examples of <strong>the</strong> next generation<br />
of financial services, one being a provider of capital <strong>the</strong> o<strong>the</strong>r<br />
is a growing business bank. Seeing this creates excitement for<br />
what’s coming next.<br />
In <strong>the</strong> past 20 years, <strong>the</strong> industries that have been disrupted<br />
haven’t been those that stood still and practiced business as<br />
usual regardless of external factors. When <strong>the</strong> writing was on<br />
<strong>the</strong> wall that Americans wanted smaller, more fuel-efficient<br />
cars, Ford, Chrysler, and G.M. ignored <strong>the</strong> signs and continued<br />
to make <strong>the</strong> same cars <strong>the</strong>y always made. This blindness<br />
opened <strong>the</strong> door for Japanese and Korean vehicles to quickly<br />
gain popularity, and bring <strong>the</strong>se stalwart American institutions<br />
to near bankruptcy. We’ve seen <strong>the</strong> same story play out with<br />
retail, food and beverage, agriculture, energy, and several o<strong>the</strong>r<br />
sectors. The only one remaining somewhat immune has been<br />
Financial Services; but with Fintech emerging as <strong>the</strong> champion<br />
in <strong>the</strong> early stages of <strong>the</strong> economic downturn, I believe this is<br />
proof of <strong>the</strong> next wave of disruption and, in 10 years, will be<br />
focused on changing this critical industry. The leaders of today<br />
will be telling a very similar story about <strong>the</strong> near-defeat of <strong>the</strong><br />
American banking industry and <strong>the</strong> “New Deal” that Fintechs<br />
offered to evolve a slow-moving sector.<br />
OUR WORLD | MAY 2020<br />
97
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Take Africa into Consideration<br />
By Nikos Papazoglou<br />
SHUTTERSTOCK<br />
After an intense day, one of <strong>the</strong> many of my<br />
business activities that complete more than<br />
50 years, yet at <strong>the</strong> same time, different due<br />
to <strong>the</strong> fight on <strong>the</strong> front line with an invisible enemy,<br />
<strong>the</strong> corona-virus, I tried to put some thoughts in order<br />
and see <strong>the</strong> “bigger picture” for today and <strong>the</strong> future.<br />
As I usually say, every crisis creates opportunities,<br />
as long as one can see <strong>the</strong>m and is willing to make<br />
use of <strong>the</strong>m. As cliché and widely used as this phrase<br />
may sound, it is a reality. Keep <strong>the</strong> details of this short<br />
introduction for <strong>the</strong> next lines.<br />
Being involved in <strong>the</strong> market from a very young<br />
age, as a result of <strong>the</strong> loss of my fa<strong>the</strong>r at <strong>the</strong> age<br />
of 7, I tried to turn this unfortunate moment into<br />
an opportunity. So, in 1969, along with my bro<strong>the</strong>r<br />
George, who had worked in a pharmacy and knew<br />
<strong>the</strong> industry, we entered <strong>the</strong> field of pharmaceuticals.<br />
<strong>Our</strong> guide in this process has always been solvency,<br />
that is, whatever you say to do. Hence, you always<br />
come out victorious over time. And you should always<br />
look for alternatives, never rest, because inaction does<br />
not lead to progress. I do not wish to give you tips for<br />
success, nor is <strong>the</strong>re any infallible recipe that, if you<br />
follow it, will take you high. But surely, if you apply<br />
<strong>the</strong> above mentioned words, <strong>the</strong>y will put you in <strong>the</strong><br />
right context.<br />
In 1974, we entered <strong>the</strong> medical arena,<br />
representing and supplying <strong>the</strong> Greek market with<br />
German-made dermatological products. With steady<br />
steps we also entered <strong>the</strong> field of production of<br />
pharmaceutical and cosmetic products in Greece,<br />
watching our whole project grow steadily, guided <strong>by</strong><br />
98 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Nikos<br />
Papazoglou<br />
CEO, Pharmex SA<br />
OUR WORLD | MAY 2020<br />
<strong>the</strong> principles we set in advance. A milestone<br />
year was <strong>the</strong> establishment in 1981 of <strong>the</strong><br />
“umbrella” company, named “Pharmex”<br />
which today has under its roof 5 independent<br />
“Societe Anonyme” companies, that entirely<br />
belong to <strong>the</strong> Papazoglou bro<strong>the</strong>rs.<br />
“Business” is <strong>by</strong> no means a simple matter.<br />
But you need to have a clear mind to overcome<br />
challenges. Such a great challenge was<br />
presented when <strong>the</strong> economic crisis broke out<br />
in Greece, accompanied with serious shocks<br />
for <strong>the</strong> credibility of <strong>the</strong> country and Greek<br />
companies in <strong>the</strong> European market. Hence,<br />
we saw all of it as an opportunity to open up<br />
to new ways and markets, <strong>by</strong> turning to <strong>the</strong><br />
African continent.<br />
Africa is a long-suffering continent,<br />
with many potentials. We set up business<br />
in 2012 in Lusaka, Zambia, where we now<br />
maintain supply facilities for pharmaceuticals<br />
and hospital products. In addition, we also<br />
expanded our business in <strong>the</strong> food trade<br />
sector. So, <strong>the</strong> conclusion that is made from<br />
this whole course of more than 50 years, is to<br />
look for new ways, don’t afraid to dare, and to<br />
contextually adapt to <strong>the</strong> conditions and needs<br />
of <strong>the</strong> market.<br />
The impact of our corona-virus crisis is<br />
already taking us into uncharted waters.<br />
Unfortunately, <strong>the</strong> European Union has failed<br />
to recognise <strong>the</strong> magnitude of <strong>the</strong> danger and<br />
to take concerted action, when <strong>the</strong> problem<br />
was at an early stage. It seems that long-term<br />
planning is missing, which is not something<br />
new. We have seen this, from time to time, in<br />
our discussions with top officials on <strong>the</strong> future<br />
of Africa. And apparently history repeats itself.<br />
On <strong>the</strong> issue of dealing with <strong>the</strong> coronavirus<br />
in Africa, <strong>the</strong> European family, which<br />
borders with <strong>the</strong> African continent, has limited<br />
itself to simple wishes. Nothing specific,<br />
nothing coordinated in action. Again, longterm<br />
design is missing and support is lacking.<br />
Of course, one could say that <strong>the</strong> Union<br />
remains committed to “its home affairs”. I<br />
strongly disagree with that. Everyone must<br />
understand <strong>the</strong> magnitude of <strong>the</strong> Union’s<br />
potential and <strong>the</strong> responsibility it has taken<br />
on millions of our fellow citizens.<br />
All this reminds me of <strong>the</strong> crude attempts<br />
<strong>by</strong> <strong>the</strong> “Residents of <strong>the</strong> Commission” to<br />
resolve <strong>the</strong> issue of improving people’s living<br />
conditions, so that <strong>the</strong>y are not forced to<br />
emigrate. The proposed solution was <strong>the</strong><br />
temporary funding to countries, without a clear<br />
plan. Any funding granted to individuals simply<br />
supported <strong>the</strong> small-scale, local production of<br />
agricultural products.<br />
Already as a company, we have worked<br />
on and published a business plan to support<br />
local communities <strong>by</strong> creating a market<br />
supply and repackaging center of European<br />
products, having first listened carefully to <strong>the</strong><br />
preferences of <strong>the</strong> communities. The goal of<br />
<strong>the</strong> project is twofold. Initially, <strong>the</strong> European<br />
market will be supported, since raw material<br />
and products that will be processed <strong>the</strong>re, will<br />
come from Europe. Secondly, <strong>the</strong> standard<br />
of living of <strong>the</strong> inhabitants will rise. Not only<br />
will <strong>the</strong>y enjoy <strong>the</strong> benefits of work, but<br />
<strong>the</strong>y will also have access to high quality<br />
nutrition products. As a logical consequence<br />
of improving <strong>the</strong>ir lives, <strong>the</strong>ir need for<br />
immigration will be significantly reduced. By<br />
<strong>the</strong> way, for your information, <strong>the</strong>re are 3<br />
independent trade unions in Africa. The first<br />
consists of 32 countries in Central Africa, <strong>the</strong><br />
second of 5 countries in East Africa, and <strong>the</strong><br />
third of 13 West African countries. Imagine<br />
<strong>the</strong> magnitude of <strong>the</strong> influence of three<br />
large storage centers, with <strong>the</strong> purpose to<br />
promote European products, and also on-site<br />
packaging of local raw materials. If <strong>the</strong> plan<br />
is implemented, it will offer at least 20,000<br />
jobs <strong>the</strong>re and many o<strong>the</strong>r benefits for <strong>the</strong><br />
European products.<br />
Unfortunately, we have not reached<br />
to a favorable outcome in <strong>the</strong> discussions<br />
regarding <strong>the</strong> implementation plan of <strong>the</strong><br />
above project. And that’s why we return to<br />
what was mentioned at <strong>the</strong> beginning of <strong>the</strong><br />
article. You need to create long-term plans<br />
in order to render yourself invulnerable,<br />
when you cannot control events and <strong>the</strong>ir<br />
repercussions. You need planning, to deal with<br />
<strong>the</strong> problem in a comprehensive fashion and,<br />
of course, <strong>the</strong> desire to come up with solutions.<br />
The European Union must realize its<br />
responsibility to <strong>the</strong> countries of Africa and<br />
change its course. The corona-virus crisis is<br />
a first-class opportunity for reorganization.<br />
We must care for Africa since it has potential,<br />
yet not through empty funding that has been<br />
mismanaged over all <strong>the</strong>se years. It is vital<br />
to support specific business plans that will<br />
show <strong>the</strong> way, improve <strong>the</strong> living standards<br />
of societies and reduce unemployment. Let’s<br />
predict and act toge<strong>the</strong>r before it’s too late.<br />
99
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Green Recovery, Energy Transition and<br />
Gender Equality: A Triple Target for Europe<br />
By Daria Nochevnik<br />
Daria<br />
Nochevnik<br />
Co-Founder Women<br />
in Energy, Climate<br />
and Sustainability<br />
Foundation<br />
Amid <strong>the</strong> coronavirus induced crisis,<br />
Europe is striving to keep <strong>the</strong><br />
momentum around <strong>the</strong> ambitious new<br />
green growth strategy set out in <strong>the</strong> European<br />
Green Deal, paving <strong>the</strong> way for reaching<br />
Europe’s climate neutrality and economic<br />
sustainability objectives. Policymakers are trying<br />
to reinforce Europe’s climate commitments,<br />
as green recovery plans are being developed<br />
both at <strong>the</strong> EU and at <strong>the</strong> national level. At <strong>the</strong><br />
same time, <strong>the</strong>re is a growing political will to<br />
ensure that Europe’s recovery programmes<br />
address not only <strong>the</strong> economic dimension, but<br />
also <strong>the</strong> social dimension of <strong>the</strong> transition to<br />
climate neutrality. The energy sector has been<br />
undergoing a profound transformation for<br />
years now, but today <strong>the</strong> tectonic shifts within<br />
<strong>the</strong> sector are coupled with <strong>the</strong> pressure to<br />
adapt to a new business environment in times<br />
of an unprecedented economic crisis and a<br />
prolonged period of uncertainly.<br />
What is clear however, is that <strong>the</strong> current<br />
crisis may have long-lasting impacts on all<br />
sectors across <strong>the</strong> EU economy, including<br />
that of energy. At <strong>the</strong> same time, changing<br />
consumer behavior, rollout of energy efficiency<br />
measures, as well as <strong>the</strong> development of <strong>the</strong><br />
circular economy, clean mobility and <strong>the</strong> bioeconomy<br />
are set to create new, local, high<br />
quality employment opportunities.<br />
Exponential inclusion to meet<br />
exponential disruption<br />
The post crisis recovery and <strong>the</strong> continued<br />
transformation of <strong>the</strong> energy sector will inevitably<br />
have a structural impact on its labour<br />
market and beyond. Creating a suite of innovative<br />
solutions and business models to facilitate<br />
<strong>the</strong> transition to a climate neutral economy requires<br />
attracting a diverse talent pool.<br />
This means that today, more than ever, we<br />
need to work on developing and harnessing<br />
talent, not least <strong>by</strong> way of improving gender<br />
equality and diversity in <strong>the</strong> energy sector in<br />
Europe and <strong>the</strong> industries that are linked to it.<br />
The added value which could be brought <strong>by</strong><br />
boosting inclusion in Europe’s energy industry,<br />
as well as supporting female leadership is clear.<br />
Gender diverse companies are 70% more likely<br />
to capture new markets and 75% more likely to<br />
get innovative ideas to market.<br />
Apart from that, <strong>the</strong>re is strong evidence<br />
that firms with women on board tend to<br />
perform better than those that have less<br />
gender-diverse boards, and companies with<br />
more gender-diverse boards tend to have<br />
higher credit ratings. More specifically, research<br />
shows that companies with at least 30% women<br />
leaders end up raking-in 6% higher net margins.<br />
According to Morgan Stanley’s report “How<br />
Gender Diversity Enhances Society”, companies<br />
with a higher percentage of women in executive<br />
positions have a 34% higher total return to<br />
shareholders than those that do not.<br />
Studies also find that a better gender<br />
balance contributes to <strong>the</strong> improvement of<br />
working conditions for both men and women,<br />
with positive effects on well-being, work culture<br />
and productivity.<br />
Mind <strong>the</strong> gap<br />
Currently, women represent about 32% of<br />
workforce in <strong>the</strong> renewables industry. This<br />
percentage is only slightly higher a percentage<br />
compared to n <strong>the</strong> traditional oil and gas<br />
industry, where women account for only 22%<br />
of workforce. The studies carried out <strong>by</strong> <strong>the</strong><br />
International Renewable Energy Agency (IRENA)<br />
suggest that women in <strong>the</strong> renewables industry<br />
are more likely to be employed in lower-paid,<br />
non-technical and administrative positions than<br />
in technical, managerial or policy-making roles.<br />
What about clean energy innovation?<br />
Women are listed in less than 11% of<br />
patent applications related to clean energy<br />
technologies and solutions.<br />
When it comes to leadership in <strong>the</strong> energy<br />
sector and gender representation in <strong>the</strong> C-suite,<br />
100 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Women<br />
in Energy,<br />
Climate and<br />
Sustainability<br />
(WECS) is<br />
a public<br />
foundation<br />
promoting<br />
gender<br />
equality in<br />
energy and<br />
climate as<br />
an essential<br />
enabler of<br />
<strong>the</strong> transition<br />
towards<br />
sustainable<br />
a carbon<br />
neutral<br />
economy in<br />
Europe and<br />
worldwide.<br />
<strong>the</strong> numbers are even more striking. On <strong>the</strong> whole, <strong>the</strong> total<br />
share of women representatives at board level across <strong>the</strong><br />
industry is no more than 7% (compared to 21% participation in<br />
finance and communications companies).<br />
These figures are in sharp contrast with <strong>the</strong> fact that women<br />
represent more than half of university students, and almost 50%<br />
<strong>the</strong> workforce across <strong>the</strong> world.<br />
A gender gap in <strong>the</strong> decision making in energy and climate is<br />
present not only in <strong>the</strong> private sector, but also in <strong>the</strong> public one.<br />
According to a study which covered 72 countries across <strong>the</strong> globe,<br />
women represent only 6% of ministerial positions responsible<br />
for national energy policies and programs. In Europe, women<br />
hold about 25,6% of high-level decision making positions in <strong>the</strong><br />
environment, transport, and energy sectors.<br />
Leading academics in <strong>the</strong> field point to <strong>the</strong> “enduring legacies<br />
of women’s traditional exclusion from <strong>the</strong> energy sector,” such<br />
as lack of equal access to information about employment<br />
and industry trends. Addressing <strong>the</strong> barriers that women in<br />
<strong>the</strong> sector face across <strong>the</strong> areas of employment, leadership,<br />
innovation and entrepreneurship will require action across <strong>the</strong><br />
public sector, businesses and academia. This includes boosting<br />
top leadership commitment to gender equality and equal<br />
professional opportunities, as well as mentoring and pay equity.<br />
Universities and executive education providers also have a<br />
key role to play in addressing <strong>the</strong> gender equality gap in <strong>the</strong><br />
sector. They are <strong>the</strong> ones preparing and encouraging women<br />
to become innovative entrepreneurs driving energy businesses,<br />
climate initiatives and <strong>the</strong> policy agenda of tomorrow.<br />
Way forward<br />
Navigating <strong>the</strong> disruption across <strong>the</strong> economy, leading green<br />
recovery and accelerating <strong>the</strong> pace of energy transition in Europe<br />
will require fully unlocking Europe’s talent and ensuring equal<br />
professional opportunities for all Europeans.<br />
The Commission President, Ursula von der Leyen, took<br />
action to address Europe’s equality challenges and mandated<br />
<strong>the</strong> development of <strong>the</strong> EU’s first ever Gender Equality Strategy.<br />
Building synergies between <strong>the</strong> upcoming strategy and <strong>the</strong><br />
European Green Deal could be a stepping stone for improving<br />
gender equality in <strong>the</strong> field of energy and climate across Europe.<br />
Policymakers, <strong>the</strong> private sector and academia would have to<br />
be mobilised towards this common goal through platforms for<br />
dialogue and best practice development and exchange.<br />
Improving gender equality and diversity across <strong>the</strong> energy<br />
industry, and <strong>the</strong> energy and climate policy decision making roles<br />
can clearly not be a quick fix. But it is a long-term policy and a<br />
business imperative for Europe in order to deliver just, resilient,<br />
sustainable and inclusive green growth and to achieve climate<br />
neutrality.<br />
4<br />
WISE (Women in Solar Energy), Women employment in urban public sector, 2017<br />
5<br />
Renewable Energy: A Gender Perspective, IRENA, 2019<br />
6<br />
Ibid.<br />
7<br />
International Energy Agency, Gender diversity in energy: what we know and what we don’t know, 2020<br />
8<br />
Wood Mackenzie, “Can women speed up <strong>the</strong> energy transition?” 2019<br />
9<br />
Ibid.<br />
10<br />
IUCN-USAID, “Women at <strong>the</strong> forefront of <strong>the</strong> clean energy future”, 2014<br />
11<br />
European Institute for Gender Equality, Gender in environment and climate change<br />
12<br />
Bipasha Baruah, Addressing <strong>the</strong> diversity challenge in energy sector recruitment, 2019<br />
OUR WORLD | MAY 2020<br />
101
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
International Education<br />
and a <strong>Pandemic</strong> Crisis<br />
By Patrick van Rooyen<br />
Patrick van<br />
Rooyen<br />
Executive Chairman,<br />
GoGlobal Education<br />
While <strong>the</strong> international press,<br />
politicians, national leaders and a<br />
wide range of commentators and<br />
soothsayers address <strong>the</strong> issues of <strong>the</strong> global<br />
pandemic, an “industry” called ‘international<br />
education’ appears somewhat forgotten.<br />
For those severely impacted – students,<br />
families, universities and educational institutions<br />
<strong>the</strong> challenge, is immense. In many cases<br />
institutions face financial closure, thousands of<br />
faculty and staff are out of work. Young men<br />
and women globally face <strong>the</strong> potential damage<br />
and collapse of <strong>the</strong>ir academic dreams as well<br />
as extreme cashflow issues for <strong>the</strong>ir families -<br />
an extended yet painful impact of this “virus”.<br />
We look at <strong>the</strong> major player in this “industry”<br />
– <strong>the</strong> USA.<br />
Globally, at <strong>the</strong> end of 2019 <strong>the</strong>re were some<br />
5.5 million international students, more than<br />
half of <strong>the</strong>m enrolled in education programs<br />
in six countries, <strong>the</strong> USA, <strong>the</strong> UK, Australia,<br />
France, Germany and <strong>the</strong> Russian Federation.<br />
The USA saw 1.1. million international students<br />
contribute nearly $45 billion to <strong>the</strong> U.S economy<br />
– a 5.5% increase. In <strong>the</strong> past three months<br />
universities have closed, international students<br />
told to vacate <strong>the</strong>ir dorms, travel restricted or<br />
banned, remote learning and online courses<br />
rushed into place.<br />
Often forgotten in assessing <strong>the</strong>se<br />
statistics and grasping <strong>the</strong> impact of this<br />
crisis is <strong>the</strong> prior wonderful global interaction<br />
of our young people and <strong>the</strong> positive<br />
relationships built and nurtured between <strong>the</strong><br />
future leaders of <strong>the</strong> world. Some 370,000+<br />
students from China studied in <strong>the</strong> US in 2018-<br />
19 with a remarkable concentration in STEM<br />
fields. Emerging market countries, Pakistan,<br />
Brazil, Nigeria, Bangladesh all showed strong<br />
growth years. Ano<strong>the</strong>r 342,000 U.S students<br />
participated in study abroad programs for<br />
academic credit, over 60% of <strong>the</strong>se going<br />
to European countries, <strong>the</strong> U.K., Italy, Spain,<br />
France and Germany hosting <strong>the</strong> most. In<br />
Greece, numbers grew <strong>by</strong> 20%+.<br />
In a best case situation we may see<br />
improvement in dealing with <strong>the</strong> pandemic<br />
within six months, students returning and<br />
universities reopening. In a worse case situation<br />
we may not see remedies until well into 2021<br />
or later. The pandemic has created a major<br />
financial disaster for educational institutions<br />
and it would appear we will witness hundreds<br />
or more closing before <strong>the</strong> control of <strong>the</strong><br />
pandemic occurs.<br />
It is necessary to grasp <strong>the</strong> size of <strong>the</strong><br />
problem to comprehend <strong>the</strong> resources that<br />
may be needed to respond to <strong>the</strong> crisis. There<br />
are some 5,300 colleges and universities in <strong>the</strong><br />
United States. The Association of American<br />
Colleges and Universities states that <strong>the</strong>re are<br />
some 2,600 accredited four-year colleges and<br />
universities. Most of <strong>the</strong>se are private or part of<br />
State education systems. Of <strong>the</strong> nearly 594,000<br />
reported instructional staff, 154,000 were<br />
professors, 129,000 were associate professors,<br />
132,000 were assistant professors, 98,400 were<br />
102 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
instructors, and 29,600 were lecturers (ncs.ed.gov). How many<br />
college students are <strong>the</strong>re in <strong>the</strong> U.S.? In 2018, <strong>the</strong>re were 14.53<br />
million college students in <strong>the</strong> U.S. enrolled in public colleges<br />
and 5.12 million students enrolled in private colleges. Moving<br />
all those assets into a remote learning/online environment is a<br />
major challenge, never before undertaken.<br />
If we <strong>the</strong>n turn to <strong>the</strong> global picture, moving <strong>the</strong> world’s<br />
students online starkly exposes deep inequities in education<br />
systems; from <strong>the</strong> shameful number of children who rely on<br />
school for food and a safe environment, to a digital divide in<br />
which children without devices or reliable internet connections<br />
are cut off from learning. In Denmark, Slovenia, Norway, Poland,<br />
Lithuania, Iceland, Austria, Switzerland and <strong>the</strong> Ne<strong>the</strong>rlands, over<br />
over 95% of students reported having a computer to use for<br />
<strong>the</strong>ir work. (Quartz).<br />
Only 34% in Indonesia did. In <strong>the</strong> US, virtually every 15-yearold<br />
from a privileged background said <strong>the</strong>y had a computer<br />
to work, but nearly a quarter of those from disadvantaged<br />
backgrounds did not. These divides will likely worsen, as<br />
staggering job losses and a recession devastates <strong>the</strong> most<br />
marginalized in every society, including all <strong>the</strong>ir kids. Schools<br />
face a difficult choice: if <strong>the</strong>y don’t teach remotely, all of <strong>the</strong>ir<br />
OUR WORLD | MAY 2020<br />
students miss out on months of curriculum. If <strong>the</strong>y do, a sizable<br />
group of already disadvantaged students will be left out and will<br />
fall even far<strong>the</strong>r behind.<br />
The OECD is one of many organizations advocating to<br />
increase access to open free, online educational resources<br />
and digital learning platforms for teachers and students. For<br />
schools to succeed, teachers will also need access to training and<br />
support. The crisis is highlighting <strong>the</strong> role schools play outside<br />
of education.<br />
At a moment when schools need to adapt how <strong>the</strong>y teach,<br />
many are consumed with how to feed <strong>the</strong>ir students. Gwinnett<br />
County, Georgia, one of <strong>the</strong> largest school districts in <strong>the</strong> US,<br />
is feeding 90,000 students a day. “It’s a prime example of how<br />
schools have become not just learning institutions, but <strong>the</strong> heart<br />
of <strong>the</strong> social fabric of America,” (Emerson).<br />
When <strong>the</strong> storm of <strong>the</strong> pandemic passes, schools may be<br />
revolutionized <strong>by</strong> this experience. Or, <strong>the</strong>y may revert back to<br />
what <strong>the</strong>y know. But <strong>the</strong> world in which <strong>the</strong>y will exist—one<br />
marked <strong>by</strong> rising unemployment and likely recession—will<br />
demand more. Education may be slow to change, but <strong>the</strong> postcoronavirus<br />
economy will demand it.<br />
103
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Envelopes Resist Crises<br />
By Matti Rantanen<br />
Matti Rantanen<br />
Managing Director<br />
of <strong>the</strong> European<br />
Federation<br />
of Envelope<br />
Manufacturers<br />
Mail is a thing of <strong>the</strong> past, some would<br />
say. In today’s digitalized world of<br />
instant communication, letters may<br />
seem superfluous. Think again. Almost half<br />
of e-commerce packages arrive in envelopes;<br />
a letter from <strong>the</strong> bank or national authority<br />
attracts immediate attention; and a wedding<br />
invitation received in your letterbox is more<br />
than just informative – it is a memory to cherish.<br />
Yes, envelopes bring content that is useful,<br />
effective and impactful - and <strong>the</strong>y are here to<br />
stay.<br />
The first envelopes date back to 3500 BC.<br />
Now, in 2020, we are celebrating <strong>the</strong> 200th<br />
anniversary of industrially manufactured<br />
envelopes. They are used to transmit personal<br />
and business correspondence, as well as<br />
important financial transactions. Information<br />
on paper delivered <strong>by</strong> post is inherently more<br />
reliable. It is not surprising that <strong>the</strong> world has<br />
always associated envelopes with trust and<br />
credibility.<br />
The envelope industry has of course<br />
seen challenges. Disrupted economies, new<br />
technologies and communication channels<br />
have led to a reduction in mail volumes. In<br />
Europe, envelope production dropped from<br />
89 billion to 55 billion in just ten years.But <strong>the</strong><br />
envelope industry is resilient, and ongoing<br />
challenges and crises like COVID-19 will not<br />
defeat it.<br />
Envelope and Corona<br />
How has COVID-19 affected <strong>the</strong> envelope<br />
industry? You have perhaps noticed that post<br />
and parcel services are busy. Letters sent <strong>by</strong><br />
governments to inform of COVID measures,<br />
clo<strong>the</strong>s ordered online or cards sent to<br />
quarantine birthday kids (I am one of <strong>the</strong>m)<br />
will have reached you in an envelope.<br />
Behind <strong>the</strong> scenes, <strong>the</strong> industry has met<br />
different challenges – <strong>the</strong> capacity of some<br />
production plants has been cut, due to local<br />
infection levels. In some countries, more<br />
than 15% of workers are absent because<br />
of symptoms, pre-existing health risks, or<br />
family reasons. The industry has also had<br />
to lay workers off, and terminate temporary<br />
employees’ contracts.<br />
The envelope industry traditionally has<br />
three cornerstones: transaction mail, office<br />
supply and direct mail. While transactional and<br />
office supply are largely volume businesses,<br />
direct mail’s value goes beyond just volume.<br />
These strands of <strong>the</strong> envelope industry have felt<br />
different pressures due to <strong>the</strong> COVID-19 crisis.<br />
Direct mail marketing has collapsed. As<br />
shops are not open, companies have cut <strong>the</strong>ir<br />
marketing budgets. Office supply has also<br />
decreased significantly. Only transactional<br />
mail has yet to feel <strong>the</strong> full impact of <strong>the</strong><br />
crisis. The hits have been bearable so far, but<br />
if <strong>the</strong> situation continues for long, we will see<br />
dramatic changes.<br />
This crisis has also demonstrated <strong>the</strong><br />
danger of relying on digital communication;<br />
approximately 15% of EU citizens have no or<br />
inadequate access to <strong>the</strong> internet. It is <strong>the</strong>refore<br />
vital that <strong>the</strong> EU continues to support <strong>the</strong><br />
universal postal service in every country. It’s<br />
also worthwhile remembering that privacy<br />
laws are more strictly enforced for letters<br />
than email. Citizens can rest assured that <strong>the</strong>ir<br />
correspondence remains confidential.<br />
There are also positive signs creating<br />
trust in <strong>the</strong> industry. For example, in <strong>the</strong> US,<br />
more than 15% of total envelope production<br />
is currently used for medical deliveries. The<br />
status of <strong>the</strong> envelope as a communication<br />
tool has seen a revival in this crisis. In <strong>the</strong><br />
UK, envelope manufacturers have been<br />
declared system relevant businesses. Some<br />
EU countries, such as <strong>the</strong> UK and Finland, have<br />
sent a corona information letter to every citizen.<br />
Not surprisingly, my Brussels municipality knew<br />
that a letter would be a more efficient way to<br />
inform residents than <strong>the</strong> varying pieces of<br />
information online. Governments and local<br />
authorities choose letter mail, as it is <strong>the</strong> only<br />
communication method that reaches everyone<br />
and has credibility. The opening and reading<br />
rates for letter mail is 85% compared with<br />
only 11% for email. These figures pertain to<br />
104 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
SHUTTERSTOCK<br />
marketing messages, but <strong>the</strong> ballpark is <strong>the</strong> same for all general<br />
communication.<br />
The envelope industry after Corona<br />
Despite this massive disruption, <strong>the</strong> envelope industry will<br />
remain strong. The world and economy will be different, and<br />
thus we have to remodel <strong>the</strong> industry and <strong>the</strong> markets where<br />
we operate.<br />
Transactional mail from governmental bodies and service<br />
providers will continue. The numbers may decrease due<br />
to digitalization, but <strong>the</strong> value and trustworthiness of mail<br />
communication will not. <strong>Our</strong> ‘Keep Me Posted’ campaign<br />
promotes <strong>the</strong> citizen’s right to choose how <strong>the</strong>y receive important<br />
information such as tax forms, election documents, bills and<br />
statements without disadvantage. It is a pro-choice campaign<br />
promoting <strong>the</strong> inclusion of vulnerable consumers, consumers<br />
without internet access, and consumers who simply prefer<br />
paper.<br />
In <strong>the</strong> coming years, <strong>the</strong> industry will move from envelopes<br />
towards light packaging. When it comes to material efficiency,<br />
environmental footprint and durability, <strong>the</strong> envelope is ideal<br />
for delivering products weighing less than 1.5 kg. We offer <strong>the</strong><br />
solution to <strong>the</strong> problem of over packaging, and parcels of less<br />
than 1.5 kg can be, in most cases, delivered into letterboxes.<br />
Using more suitable packaging, <strong>the</strong> efficiency of <strong>the</strong> whole<br />
delivery ecosystem is improved.<br />
Direct mail and marketing will resume after <strong>the</strong> crisis. One<br />
of print media’s leading qualities is its ability to command <strong>the</strong><br />
full attention of <strong>the</strong> reader. With fewer distractions, <strong>the</strong> reader<br />
becomes fully immersed – a process that leads to ‘deep thinking’,<br />
increasing <strong>the</strong> effectiveness of <strong>the</strong> content. Recent research on<br />
<strong>the</strong> effectiveness of physical and online communication strongly<br />
suggests that physical material facilitates higher emotional<br />
processing than digital. New technologies have made it possible<br />
to enhance visual and sensory paper communication through<br />
3D imaging, lenticular stamps, ‘scratch-and-sniff’ applications<br />
and die-cutting. Digital integration offers <strong>the</strong> marketer a host<br />
of opportunities to engage with <strong>the</strong>ir customers in several new<br />
and exciting ways.<br />
The business will change and most likely shift from volume to<br />
value. But what is sure is that <strong>the</strong> envelope industry will remain<br />
a significant part of <strong>the</strong> global communication and marketing<br />
ecosystem.<br />
OUR WORLD | MAY 2020<br />
105
CRITICAL INFRASTRUCTURE & THE FUTURE OF BUSINESS<br />
Public Services and Services of General<br />
Interest on <strong>the</strong> Frontline Against COVID-19<br />
SHUTTERSTOCK<br />
By Valeria Ronzitti<br />
The COVID-19 outbreak, and <strong>the</strong><br />
response to safeguard public<br />
health <strong>by</strong> limiting social life, has<br />
been one of <strong>the</strong> most violent shocks in<br />
recent history. Century-defining, <strong>the</strong><br />
current crisis has already provoked<br />
impacts for EU societies on multiple<br />
fronts, and its future developments –<br />
in terms of chronology, geography and<br />
intensity – are hardly anticipable.<br />
The spread of <strong>the</strong> virus across Europe<br />
has caused tens of thousands of deaths,<br />
and many more are still fighting in ICU.<br />
Hundreds of millions of Europeans are<br />
currently in lockdown. The economy is in<br />
slowdown, and <strong>the</strong> medium-term impact<br />
is expected to be as violent as <strong>the</strong> Great<br />
Depression or <strong>the</strong> 2008 crash.<br />
Providers of services of general<br />
interest (SGIs) and of public services,<br />
which CEEP represents at EU level, are<br />
at <strong>the</strong> frontline in this crisis. With social<br />
consequences aggravated <strong>by</strong> its very<br />
nature, <strong>the</strong> COVID-19 crisis has clearly<br />
shown how crucial <strong>the</strong> provision of those<br />
essential services is to <strong>the</strong> well-being of<br />
citizens and <strong>the</strong> economic resilience of<br />
<strong>the</strong> EU.<br />
Central in shaping <strong>the</strong> initial answers<br />
to <strong>the</strong> emergency, public services and<br />
services of general interest must also<br />
be involved at all levels in shaping <strong>the</strong><br />
medium and long-term visions for<br />
<strong>the</strong> post-COVID-19 world, relying on a<br />
sustainable, digital and fair agenda.<br />
SGI employers and<br />
providers at <strong>the</strong><br />
heart of <strong>the</strong> crisis<br />
In a context where <strong>the</strong> threat is economic,<br />
social and health-driven, <strong>the</strong> provision<br />
of services of general interest is even<br />
more crucial to <strong>the</strong> well-being of citizens,<br />
businesses and <strong>the</strong> overall economic<br />
resilience of <strong>the</strong> EU. Services such as<br />
healthcare, water and energy, waste<br />
management, telecommunications,<br />
education and transport must remain fully<br />
operational in all circumstances, regardless<br />
of <strong>the</strong> challenges faced. As providers of<br />
106 MAY 2020 | OUR WORLD
STRUCK BY THE PANDEMIC<br />
Valeria Ronzitti<br />
Secretary General of<br />
<strong>the</strong> European Centre<br />
of Employers and<br />
Enterprises providing<br />
Public Services<br />
those services and as employers of millions<br />
of Europeans, SGI providers must first and<br />
foremost ensure that a sufficient number of<br />
workers are available to maintain operations<br />
in safe manner. That of course includes<br />
putting forward additional measures to<br />
protect <strong>the</strong> health and safety of workers,<br />
requiring fur<strong>the</strong>r management efforts and<br />
financial costs.<br />
Many SGIs also face significant changes<br />
in <strong>the</strong>ir usage. Some sectors, such as<br />
healthcare, are faced with a sharp upward<br />
turn in demand. Managing <strong>the</strong> immediate<br />
life-threatening emergencies, many<br />
healthcare structures decided to postpone<br />
or cancel most of <strong>the</strong> o<strong>the</strong>r services, which<br />
in most cases constitute a significant<br />
source of <strong>the</strong>ir income. Telecommunication<br />
services are also in increasing demand,<br />
and have been mobilizing great efforts<br />
to ensure <strong>the</strong>ir stability and quality. Also,<br />
<strong>the</strong> transport sector, and more specifically<br />
public transport, have had to continue<br />
operations and run with adapted services,<br />
such as providing additional services to and<br />
from healthcare infrastructures, or limiting<br />
<strong>the</strong> amount of users per vehicle, inducing<br />
additional costs and limited incomes.<br />
Additional crisis-motivated disruptions,<br />
such as <strong>the</strong> difficulties to access supplies –<br />
including protective gear for workers in <strong>the</strong><br />
waste or water sectors – or <strong>the</strong> sudden drop<br />
of <strong>the</strong> prices of EU Emission Trading for <strong>the</strong><br />
energy sector, exercise strong pressure on<br />
resources to keep activities running. Price<br />
fluctuations must be closely monitored, and<br />
no efforts should be spared to guarantee<br />
that <strong>the</strong>y remain at sustainable levels, for<br />
<strong>the</strong> preservation of high-quality efficient<br />
SGIs.<br />
A call for actions at EU level<br />
After <strong>the</strong> outbreak of <strong>the</strong> crisis, EU<br />
institutions quickly acted to allow a genuine<br />
response to <strong>the</strong> challenges. Quick decisions<br />
and <strong>the</strong> adoption of <strong>the</strong> temporary<br />
suspension of <strong>the</strong> SGP, <strong>the</strong> SURE, <strong>the</strong><br />
Coronavirus Response Investment Initiative,<br />
as well as <strong>the</strong> temporary framework for<br />
State aid, should help to partly absorb <strong>the</strong><br />
shock. Building up on this initial response,<br />
Member States should now step up and<br />
take responsibilities in order to materialise<br />
solidarity across Europe.<br />
In times of crisis and uncertainty, EU<br />
institutions, as well as <strong>the</strong> leaders of <strong>the</strong><br />
27, should build confidence in <strong>the</strong> economic<br />
and political future of <strong>the</strong> EU. Politics and<br />
economics are heavily influenced <strong>by</strong> <strong>the</strong><br />
level of confidence shown <strong>by</strong> decisionmakers.<br />
The EU being <strong>the</strong> best defence<br />
line to prevent even deeper impacts for EU<br />
citizens, building confidence as a mobilising<br />
element should accompany any decisions.<br />
The EU as a whole needs to share <strong>the</strong><br />
burden: <strong>the</strong> pandemic hits all countries<br />
simultaneously and indistinctively,<br />
regardless of previous economic or fiscal<br />
policy choices, and any failure in setting up<br />
burden-sharing mechanisms will put <strong>the</strong><br />
entire EU internal market, and <strong>by</strong> extension<br />
<strong>the</strong> EU project as a whole, at risk.<br />
The way forward<br />
Going beyond <strong>the</strong> immediate emergency,<br />
EU institutions and Member States have<br />
engaged in talks aimed at fostering <strong>the</strong><br />
recovery on <strong>the</strong> medium-term. We believe<br />
this recovery relies on 2 main pillars:<br />
- A well-designed Multiannual Financial<br />
Framework to address <strong>the</strong> challenges of<br />
<strong>the</strong> future, relying on a strong Cohesion<br />
Policy to help regions most severely hit,<br />
on an effective digital agenda and on <strong>the</strong><br />
principles of <strong>the</strong> EU Green Deal, aimed at<br />
making Europe <strong>the</strong> first climate neutral<br />
continent <strong>by</strong> 2050, as well as on <strong>the</strong> settingup<br />
of an investment strategy.<br />
- A Recovery Fund and an investment-led<br />
Recovery, Plan based on joint instruments,<br />
such as recovery-bonds that would allow for<br />
a genuine capacity of sharing <strong>the</strong> burden of<br />
<strong>the</strong> crisis without implying mutualization of<br />
existing debts.<br />
Citizens and enterprises have<br />
expectations: respecting <strong>the</strong> lockdowns<br />
put in place across Europe, <strong>the</strong>y are doing<br />
<strong>the</strong>ir part to fight <strong>the</strong> COVID-19 outbreak.<br />
Leaders should now provide security and<br />
stability to plan for <strong>the</strong> future, and ensure<br />
<strong>the</strong> continuity of our well-being, relying on<br />
fairness, efficient and effective services of<br />
general interest, a joint vision for <strong>the</strong> future<br />
and well-funded key infrastructures.<br />
OUR WORLD | MAY 2020<br />
107
FINAL WORD<br />
Turning Uncertainty into Opportunity<br />
Welcome to <strong>Our</strong> new <strong>World</strong>. Embrace it.<br />
Jerry Zagoritis<br />
Founder & CEO of<br />
Campaign Lab and <strong>the</strong><br />
Publishing Partner of<br />
“<strong>Our</strong> <strong>World</strong>: <strong>Struck</strong> <strong>by</strong><br />
<strong>the</strong> <strong>Pandemic</strong>”<br />
I<br />
f our Instagram and Twitter bios are a<br />
measure of how we self-identify, I’m probably<br />
an eternal optimist, a disruption enthusiast,<br />
and an entrepreneur.<br />
Being an eternal optimist, I can’t help but<br />
see <strong>the</strong> best in people and strive to make <strong>the</strong><br />
best out of situations. I see crisis as a blessing<br />
ra<strong>the</strong>r than a curse, and where most people<br />
see uncertainty, I see opportunity.<br />
If you can properly phrase a question, one<br />
said once, <strong>the</strong>n finding <strong>the</strong> answer is <strong>the</strong> easy<br />
part.<br />
And <strong>the</strong> question that kept spinning around<br />
my head since day one of a situation where we<br />
can’t decide whe<strong>the</strong>r we’ve been working from<br />
home or living at work (I suppose <strong>the</strong> answer<br />
here is “we’re probably omni-channel”), was<br />
ra<strong>the</strong>r straightforward: “How do you want to<br />
be remembered in a year from now?”<br />
Do you want to be someone who lived<br />
in fear or someone who lived exponentially?<br />
The answer was easy but followed <strong>by</strong> more<br />
questions.<br />
“How can you be of service to your clients?<br />
How can you help your community get through<br />
adversity? Can you volunteer or donate?<br />
Essentially, what can you do to play your part?”<br />
I feel that now is <strong>the</strong> time for Governments<br />
around <strong>the</strong> globe to ask some similar<br />
questions, starting with “How do we want to<br />
be remembered in a decade from now?”.<br />
At <strong>the</strong> time of writing, entrepreneurs<br />
around <strong>the</strong> globe are working around <strong>the</strong><br />
clock to build, restore, relaunch or keep <strong>the</strong>ir<br />
businesses alive.<br />
And yet, most governments are still debating<br />
how to break <strong>the</strong> bureaucratic structures that<br />
simply drag those same entrepreneurs, who<br />
are struggling to meet payroll and ensure some<br />
sort of stability for <strong>the</strong> next quarters, behind.<br />
I’m not just talking about <strong>the</strong> Fortune 500<br />
businesses. I’m also and primarily talking<br />
about <strong>the</strong> small shop owners from Brussels<br />
to Rome, <strong>the</strong> farmers from Kenya to rural<br />
India, <strong>the</strong> hospitality entrepreneurs from<br />
Dublin to A<strong>the</strong>ns who form <strong>the</strong> texture of<br />
our communities, and <strong>the</strong> start-uppers from<br />
Seattle to Berlin and from Helsinki to Tel Aviv,<br />
many of which are in it because of that burning<br />
idea <strong>the</strong>y couldn’t get off <strong>the</strong>ir heads.<br />
Yes, I’m talking about <strong>the</strong> very people who<br />
are moving our world forward. As <strong>the</strong>y’re<br />
fighting to keep <strong>the</strong>ir businesses running in<br />
<strong>the</strong> face of unprecedented disruption, ready<br />
to embrace risks in order to experience all<br />
that entrepreneurship has to offer, <strong>the</strong>y need<br />
Governments to reflect fur<strong>the</strong>r.<br />
“How can we be of service to our<br />
entrepreneurs? How can we help <strong>the</strong>m get<br />
through adversity? Can we lower or postpone<br />
taxes and social contributions? Can we<br />
guarantee loans? Essentially, what can we do<br />
to play our part?” It’s about time.<br />
Finally, as a student of disruption, I feel<br />
compelled to close this edition <strong>by</strong> writing <strong>the</strong><br />
following. For a long time now I’ve been feeling<br />
that <strong>the</strong> way business is conducted in Brussels<br />
has to change.<br />
I sense a feeling in town that where <strong>the</strong>re’s<br />
a market, <strong>the</strong>re will be buyers; and where <strong>the</strong>re<br />
are buyers <strong>the</strong>re will be business. This is simply<br />
wrong.<br />
It is well known that an overly bureaucratic<br />
system governs <strong>the</strong> EU, but what people may<br />
not necessarily be aware of is that <strong>the</strong> way<br />
politics, advocacy and public relations are<br />
conducted in Brussels, is almost as boring.<br />
It favours lacklustre tick-a-box compliance<br />
and reporting, where instead <strong>the</strong>re could<br />
be meaningful engagement, grassroots<br />
movements and honest relationships. It<br />
favours top down behaviour in an increasingly<br />
flat world. And it operates in hierarchies in a<br />
world of networks.<br />
It is my hope that this crisis will serve as an<br />
opportunity to modernise <strong>the</strong> way business is<br />
conducted at <strong>the</strong> European Union’s business<br />
and political Capital.<br />
This is <strong>the</strong> time for consultants to be more<br />
agile and for politicians to be more result<br />
oriented. And if <strong>the</strong>y won’t, well… when new<br />
entrants come to disrupt <strong>the</strong> status quo, not<br />
all incumbents are going to survive.<br />
Welcome to <strong>Our</strong> new <strong>World</strong>. Embrace it.<br />
108 MAY 2020 | OUR WORLD
Past<br />
Present<br />
Future
THIS PAGE IS NOT FOR SALE<br />
We use this space to pay tribute to all <strong>the</strong><br />
heroes, on <strong>the</strong> frontlines and behind <strong>the</strong><br />
scenes, who have been putting <strong>the</strong>mselves<br />
and <strong>the</strong>ir families at risk, fighting every day in<br />
<strong>the</strong> most challenging of conditions to make<br />
sure that our friends, our family members,<br />
and our world, survive.<br />
We also honour <strong>the</strong> memory of <strong>the</strong> doctors,<br />
medical staff, and many o<strong>the</strong>r professionals<br />
who sacrificed <strong>the</strong>ir lives fighting this fight,<br />
and <strong>the</strong> many victims of this pandemic who<br />
will be so missed.<br />
EUR 10