1. Egypt - still steps from becoming the next Somalia
Raymond in DC , |
Washington, USA |
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(02.18.14) |
Two years ago, when the US was debating whether it should continue military aid to the Morsi regime, I argued that, rather than sending tanks and F-16s (as it was doing), Egypt needed wheat and diesel fuel. Its foreign currency reserves were being depleted. And when they were, then what?
Fast forward two years. It's still expending precious foreign currency on wheat, oil and gas, all of which are consumed at subsidized prices. It's no longer exporting gas to Israel, but Israel no longer needs Egyptian gas. (Jordan does, however.) And its currency reserves have been underpinned by Billions in help from Saudi Arabia (which wouldn't help a Brotherhood-led Egypt).
Egypt remains a fragile state, just a crisis or two away from collapse.
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