Belgium has become the latest euro-zone flashpoint as its politicians were forced yesterday to agree to a debt reduction plan after the country's credit rating was downgraded.
Road to ruin or recovery?
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Standard & Poor's cut Belgium's long-term sovereign-credit rating to "AA" from "AA plus" on Friday, rattling Belgium's procrastinating politicians into action ahead of markets opening tomorrow.
Politicians have failed to form a government in the 19 months since elections and the country's debt levels have looked increasingly precarious.
After all-night negotiations, the six parties involved agreed a deal yesterday to reduce the country's deficit to 2.8 per cent of GDP in 2012 and to break even in 2015. "This budget meets the multi-year commitments of Belgium towards the European Union," party representatives said in a joint statement.
S&P cited political uncertainty, a slowing economy and the bailout of Franco-Belgian bank Dexia as contributing factors to its downgrade of Belgian debt.
"We think the Belgian government's capacity to prevent an increase in general government debt, which we consider to be already at high levels, is being constrained by rapid private sector deleveraging both in Belgium and among many of Belgium's key trading partners," said S&P.
Yves Leterme, the interim prime minister, had called for clarity on the country's budget and the formation of a government before tomorrow morning, inviting the six parties to negotiations through the night on Friday.
Belgium has been without a government since elections in June last year, with progress to form a cabinet hampered by differing opinions on how to fund €11.3 billion (Dh54.92bn) in savings needed next year.
It was the third European country within days to be downgraded after the credit rating of both Portugal and Hungary were cut to "junk" status, or below investment grade, by Fitch Ratings and Moody's Investors Service, respectively.
Belgium's budget deficit will fall to about 3.6 per cent of GDP this year from 4.1 per cent last year, S&P said.
It added 80 per cent the country's GDP was exports, which left it extremely susceptible to downturns in Europe.
As Belgium's debt was downgraded, Pierre Mariani, the chief executive of Dexia, accused speculators of buying government bonds and then trying to force a sovereign default.
"We are pretty much in that situation, where there are bad people who buy these insurances, and behind they go and finance pirates who will allow them to make a lot of money on it," Reuters reported Mr Mariani as saying.
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What is the Supreme Petroleum Council?
The Abu Dhabi Supreme Petroleum Council was established in 1988 and is the highest governing body in Abu Dhabi’s oil and gas industry. The council formulates, oversees and executes the emirate’s petroleum-related policies. It also approves the allocation of capital spending across state-owned Adnoc’s upstream, downstream and midstream operations and functions as the company’s board of directors. The SPC’s mandate is also required for auctioning oil and gas concessions in Abu Dhabi and for awarding blocks to international oil companies. The council is chaired by Sheikh Khalifa, the President and Ruler of Abu Dhabi while Sheikh Mohamed bin Zayed, Abu Dhabi’s Crown Prince and Deputy Supreme Commander of the Armed Forces, is the vice chairman.
The smuggler
Eldarir had arrived at JFK in January 2020 with three suitcases, containing goods he valued at $300, when he was directed to a search area.
Officers found 41 gold artefacts among the bags, including amulets from a funerary set which prepared the deceased for the afterlife.
Also found was a cartouche of a Ptolemaic king on a relief that was originally part of a royal building or temple.
The largest single group of items found in Eldarir’s cases were 400 shabtis, or figurines.
Khouli conviction
Khouli smuggled items into the US by making false declarations to customs about the country of origin and value of the items.
According to Immigration and Customs Enforcement, he provided “false provenances which stated that [two] Egyptian antiquities were part of a collection assembled by Khouli's father in Israel in the 1960s” when in fact “Khouli acquired the Egyptian antiquities from other dealers”.
He was sentenced to one year of probation, six months of home confinement and 200 hours of community service in 2012 after admitting buying and smuggling Egyptian antiquities, including coffins, funerary boats and limestone figures.
For sale
A number of other items said to come from the collection of Ezeldeen Taha Eldarir are currently or recently for sale.
Their provenance is described in near identical terms as the British Museum shabti: bought from Salahaddin Sirmali, "authenticated and appraised" by Hossen Rashed, then imported to the US in 1948.
- An Egyptian Mummy mask dating from 700BC-30BC, is on offer for £11,807 ($15,275) online by a seller in Mexico
- A coffin lid dating back to 664BC-332BC was offered for sale by a Colorado-based art dealer, with a starting price of $65,000
- A shabti that was on sale through a Chicago-based coin dealer, dating from 1567BC-1085BC, is up for $1,950
Third Test
Result: India won by 203 runs
Series: England lead five-match series 2-1
No Shame
Lily Allen
(Parlophone)
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