Monday, June 22, 2020

US Sanctions versus Iran’s fight against COVID-19 pandemic

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Aditi Mohta

Article Title

US Sanctions versus Iran’s fight against COVID-19 pandemic

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Global Views 360

Publication Date

June 22, 2020

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Coronavirus patients at Imam Khomeini Hospital, Tehran

Coronavirus patients at Imam Khomeini Hospital, Tehran | Source: Mohsen Atayi via Wikimedia

Iran is the hardest-hit country by the coronavirus pandemic in the middle east. The contagion was first detected on 19 February 2020 in the holy city of Qom, and thereafter spread quickly across the country. As of 18th June 2020, it had over 9000 coronavirus related fatalities. The virus attacked all the 31 provinces of the country not discriminating between the common man and the people at high places including the members of the Parliament, religious leaders and senior ministers. The crisis touched most parts of the country, but it most severely impacted working and the poor class. 

The Iranian government has been criticized for its response towards the pandemic. The health care policy, which has been politicized, has preferred denial and misinformation as a response to the crisis the pandemic brought with it. Questions have also been raised about the role of US sanctions in crippling Iran’s economy, public health facilities and public health facilities. All these factors, when combined, have disabled Tehran (the capital of Iran) from providing the best response to the pandemic. 

What do the sanction laws say?

According to the Office of Foreign Assets Control, the US has “consistently maintained broad exceptions and authorizations to support humanitarian transactions with Iran.” The first significant sanctions were imposed in 1995 by Bill Clinton, and in 2001 exemptions for medical goods and medicine first came into effect. These sanctions have periodically widened the scope of products for exemption, and by 2012, the exclusions included agricultural products and most foods. After the world powers, including the US, reached a deal with Iran on its nuclear programme in 2015, the sanctions were lowered against Iran. This approach was abandoned after Trump withdrew the US from the deal and sought to force Iran’s leaders to change their anti-US policy. .

The US sanctions are enforced through a wide array of instruments. Financial sanctions prohibit US banks from transacting with Iran, which limits Iran’s access to dollar-denominated transactions. Secondary sanctions measures also target non-US entities that have dealings with Iran, thus at a risk of facing prosecution in the US. These sanctions make transactions with Iran lengthy and complicated, and even impossible in some cases

There are some exemptions from sanctions for humanitarian assistance (sale of agricultural commodities, food, medicine and agricultural services). Despite these exemptions, sanctions have severely impaired Iran’s ability to be able to finance humanitarian imports. Given the volume of complexity and due diligence involved, most banks are reluctant to deal with Iran. This makes it difficult to find a way to pay for purchases difficult for Iran. Also many items require additional authorization because the US considers them as “dual-use” (the things might also be used for defence- for example, the sort of oxygen generators that are needed in life support machines used to treat coronavirus cases). Lastly, the sanctions on Iran’s oil exports led to a decline in revenue, further weakening Iran’s currency, which has left the country vulnerable and with fewer resources to pay for non-sanctioned items as well. 

All these put together have directly caused shortages of medical equipment and impacted Iran’s health sector negatively. This has also impacted the capability of Iranian healthcare sector to effectively manage the COVID-19 situation.

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February 4, 2021 5:10 PM

Why the people are protesting in Hong Kong

Hong Kong is a special administrative region of the People’s Republic of China located on the Eastern Pearl River Delta of the South China Sea. From 1842 to 1997, the region was under the control of the Britishers.

In 1997 the  sovereignty of Hong Kong was transferred to China with the principle of “one country, two systems” which provided some degree of autonomy for Hong Kong. This system was supposed to be in force for a period of minimum fifty years from 1997 to 2047. However, under President Xi Jinping, China has been aggressively making such rules and regulations which increase the influence of mainland China on administration of Hong Kong.

In June 2020, China started implementing a new national security law for which potentially severely limits the independence of the judiciary of Hong Kong. Under the proposed law, Hong Kong’s Chief Executive, who is answerable to Beijing, gets the power to appoint judges for specific security cases. It also calls for setting up a security agency in Hong Kong to resolve existing conflicts and challenges faced by Beijing with respect to Hong Kong.

China defended the law by citing that it would prevent and punish secession, subversion as well as foreign infiltration. Beijing has argued that these three factors are responsible for fuelling unrest in the city since last year. Critics however have very different opinions regarding the law. For them this law directly attacks the relative autonomy granted to Hong Kong after Britain handed it back to China in 1997.

The law can potentially be employed to target anti-government protests and other forms of dissent in the region of Hong Kong. It has instilled fear in the minds of the Hong Kong residents that the Chinese Communist Party is trying to curb the freedom of speech and protest in the region in an effort to bring Hong Kong under its authoritarian rule.

Many protesters are of the belief that the local governments of Hong Kong are no longer autonomous and act on the whims of Beijing. They accuse the city's top leader, Chief Executive Carrie Lam, who is appointed by Beijing, of acting only in the interest of mainland China while ignoring to safeguard the autonomy of Hong Kong.

The protests Hong Kong witnessed in May 2020, were quite similar to the ones the city witnessed almost a year ago when China proposed an extradition law for Hong Kong. The law was eventually scrapped after a flurry of protests. However the protest against the territory’s existing leadership turned into a protest against Chinese ruling party’s efforts to merge Hong Kong with mainland China.

At its core, the protest movement is aimed at protecting Hong Kong’s autonomy and resisting encroachment from the mainland. However, China’s adamant approach in bringing Hong Kong under the mainland amidst a falling economy and rising agitation and police brutality has had a negative impact on the residents.

Many Hong Kong protesters have started moving to countries who are willing to adopt them over fears of being under scrutiny from the Chinese government. Many of the skilled workers are now looking at ways to exit the city and move to better alternatives. More than half of the people from the age group of 18 to 24 are considering options outside of Hong Kong owing to the uncertainty surrounding the region’s fate.

Despite the protest by citizens and condemnation and actions by the US, Britain and other Western countries, it seems unlikely that China is going to halt its efforts to dismantle the autonomy of Hong Kong and effectively merge it with the mainland China.

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