QUARTERLY BUSINESS • SPRING 2009
World Leaders with Her Majesty the Queen at Buckingham Palace
G20
L O N D O N
S U M M I T PRST STD U.S. POSTAGE PAID PERMIT #224 LEBANON, OH 45036
PORTRAITS o f PENINSULA
THE PENINSULA N E W Y O R K 7 0 0 F I F T H AV E N U E AT 5 5 T H S T R E E T N E W YO R K , N Y 1 0 0 1 9 (1-212) 956 2888 R E S E RVAT I O N P N Y @ P E N I N S U L A . C O M
H O N G KO N G
N E W YO R K
THE PENINSULA
No task is too big (or too small) at The Peninsula Chicago or The Peninsula New York. Our guests enjoy the highest C H I C A G O level of service from the most discreet and accommodating staff. Add to that the hotel’s most spacious, luxuriously 108 EAST SUPERIOR STREET appointed rooms and suites and few things compare to a stay at AT N O R T H M I C H I G A N AV E N U E a Peninsula Hotel. To learn more about Chicago or New York’s CHICAGO, IL 60611 (1-312) 337 2888 most celebrated hotels, please visit us at our newly R E S E R VAT I O N S P C H @ P E N I N S U L A . C O M designed website, www.peninsula.com.
CHIC AGO
B E V E R LY H I L L S
TO K YO
B A N G KO K
BEIJING
MANILA
SHANGHAI 2009
COVER PHOTO G 20 World Leaders with Her Majesty the Queen INSIDE FRONT COVER Peninsula Hotels ~ Chicago and New York INSIDE BACK COVER Qatar Airways US BACK COVER Taj Boston ~ Hotels, Resorts and Palaces
DIPLOMATIC CONNECTIONS EDITOR-IN-CHIEF Dawn Parker DIRECTOR OF SALES Washington, DC, JoAnn Pomeroy DIRECTOR OF SALES New York, Neil Collins
Amtrak 42 Autoluxe Transportation ~ Chauffeured Service 43 Ben Bernanke ~ Council on Foreign Relations 6 British Embassy ~ G 20 London Summit 8 British Embassy ~ Senator Warner Knighted 48 British School of Washington 23 California Pizza Kitchen 61 Child of a Diplomat ~ Law Offices of Dan Vara 62 Classifieds, Diplomatic Connections 65 Clinton Foundation 70 Cort Furniture 18 Diplomatic Connections Annual Trade Show 72 Diplomatic Connections ~ Classifieds 65 Emperor’s Brand Vodka 57 Empire State Building 70 Executive Search Firm ~ C.D. Warner & Associates 51 France, Embassy of 27 George Washington University Hospital (GWUH) 3 Interior Design - Roger Christopher 45 International Association of Women Judges 25 Ireland, Embassy of 26 Japan, Embassy of 34 Jumeirah Essex House Hotels 31 Kuwait, Embassy of 53 Malta, Embassy of 54 National Council on U.S. - Arab Relations 28 New York Palace Hotel 15 Park Hyatt Chicago 37 Ronald Reagan Building & International Trade Center 68 Roomstore Furniture 64 Savannah River Realty 17 South Africa, Embassy of 58 Susan G. Komen ~ Race for the Cure 67 The Temptations 23 Travel Insurance Center 21 Westbrooke Place Apartments 19 Wings Private Jets 43
ADVERTISING EXECUTIVES Kito James, Scott Weldon and Jacob Resch ART DIRECTOR Larry Smith MARKETING Traci Allen To contact an advertising executive CALL: 202.536.4810 FAX: 202.370.6882 EMAIL: dparker@diplomaticconnections.com Diplomatic Connections Website Design & Development IMS (Inquiry Management Systems) 304 Park Avenue South, 11th Floor New York, NY 10010 TOLL FREE: 877.467.8721 X701 Website: www.ims.com Marc Highbloom, Vice President marc@ims.ca Laura West, Project Manager lwest@ims.ca Reflections Photography 631 Pennsylvania Avenue, SE Washington, DC 20003 202.204.6700 x202 www.Reflections-Photo.com Joanne Amos, President Steve Amos, Vice-President Reflections Photography Contributing photographers for Diplomatic Connections Gustavo Gargallo Franmarie Metzler, Erin Granzow To order photos from the events go to: www.diplomaticconnections.com Send any name or address changes in writing to: Diplomatic Connections 4410 Massachusetts Avenue / Suite 200 Washington, DC 20016 Diplomatic Connections Quarterly Business is published Quarterly Diplomatic Connections does not endorse any of the goods and services offered herein this publication. Copyright 2008 by Diplomatic Connections All rights reserved. Cover photo: Provided by the British Embassy
2
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Dear Readers, The Spring edition of Diplomatic Connections is special in that it’s full of exclusive photos from the G-20 London Summit and what the results were subsequent to the meeting that took place in April. A huge variety of pictures of all the World Leaders whom attended as well as their wives have been included for your perusal. Diplomatic Connections has officially begun to interview Ambassadors as well as Businesses whom work with Diplomats and the International Community. In this issue, for instance, you’ll read about H.E. Ichiro Fujisaki, Ambassador of Japan to the United States and how his country gave the Cherry Blossoms to America many years ago. Diplomatic Connections’ primary focus is bringing the businessman/woman to the Diplomatic / International Community and vice versa. Thus, we also included an interview with members of the Ronald Reagan Building/International Trade Center to give them a platform to speak directly to this highly regarded community. In the interview, we wanted to highlight how the RRB/ITC is properly equipped to fully cater and accommodate any events you may be holding in the future. It’s a great venue! Diplomatic Connections is about the Diplomatic / International Organization world - it’s the premise of the publication. Why not have a company or corporate underwriter publish an article in our magazine to realize the enormous business potential that lies within this community of many nations? As a publisher of global affairs, Diplomatic Connections is seeking your professional recommendations for advertisements from your domestic and international business partners. Your opinion matters to us; thus, we are looking to you for the type of articles and advertisements you’d like to see and read about. Therefore, any business introductions to further pursue future funding of the magazine would be greatly appreciated. We welcome and encourage you to contact us with your submissions and ideas at: dparker@diplomaticconnections.com Diplomatic Connections will be hosting our fourth Diplomatic Reception/Trade Show/Business Networking Event this year at an Embassy on Thursday, October 15, 2009 from 5:30 pm to 8:30 pm. We invite you to ask the companies you work with to call Diplomatic Connections to learn more about how to be represented and showcase their trade, product and/or service to the Diplomatic / International Community. Diplomatic Connections now has Online Classifieds! Go to: www.diplomaticconnections.com to post your classifieds! Generally, every four (4) years a diplomat changes posts. Diplomatic Connections realizes that there is a great need for an Online Classifieds site because of this. We’ve made it simple and easy for the Diplomat and Staff Representative to either buy or sell on the website. Visit our website for online-subcriptions to receive future copies of our Quarterly magazine! We look forward to featuring your upcoming Diplomatic and International Events!
Sincerely, Dawn Parker Founder & Publisher
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
3
Borjanka Oljaca-Leiboff, MD Director, International Medicine TELEPHONE: 1+202-715-4654 FAX: 1+202-715-4015 E-MAIL: boleiboff@gwu-hospital.com
International Medicine Program 900 23rd Street, NW Washington, DC 20037 TELEPHONE: +1-202-715-5100 FAX: +1-202-296-1082 GW International Medicine Program, Dubai 011-971509421184
INTERNATIONAL MEDICINE PROGRAM For Diplomats, Foreign Citizens and Government Members
Regulatory Overhaul Needed to Prevent Future Global Financial Shocks
Bernanke
Ben Bernanke, Chairman of the Federal Reserve
Photo: Kaveh Sardari/Council on Foreign Relations
WASHINGTON -- Federal Reserve Chairman Ben S. Bernanke has urged an overhaul of U.S. financial By ROBERT McMAHON Deputy Editor Originally published on CFR.org Council on Foreign Relations
regulation aimed at smoothing out cyclical booms and busts in financial markets, signaling that the process of broadening government controls might translate to added oversight authority for the Fed.
6
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
G20
Speaking at the Council on Foreign Relations in Washington recently, Bernanke traced the current global economic crisis to extraordinary global imbalances in trade and capital flows that began in the late 1990s. The United States and other leading industrial states over a decade-long period received large capital inflows from emerging market states but “failed to ensure that the inrush of capital was prudently invested,” Bernanke said, “a failure that has led to a powerful reversal in investor sentiment and a seizing up of credit markets.” To confront the immediate crisis, the Fed chairman asserted that his agency and the Obama administration were acting appropriately to contain the damage to the financial system. For example, he has reduced the benchmark interest rate to as low as zero while Obama won passage of a $787 billion stimulus plan in February. Other efforts include shoring up oversight of risk management, strengthening what Bernanke called “systemically critical firms” to improve liquidity and making sure large banks have adequate capital. Later, in response to a question, Bernanke said if government efforts to stabilize banks are successful then "there is a good chance the recession will end later this year, and that 2010 will be a period of growth." But Bernanke said going forward there will be a need for improving the country's financial infrastructure as well as creating a new regulatory authority responsible for ensuring financial stability. Referring to the outsized role of some huge financial firms in destabilizing the economy, Bernanke called on policymakers to "address this issue by better supervising systemically critical firms to prevent excessive risk-taking and by strengthening the resilience of the financial system to minimize the consequences when a large firm must be unwound." Among the firms deemed "too big to fail" in the current crisis are Citigroup, which has already received three U.S. government bailouts, and American International Group,
whose rescue package was recently revised to roughly $170 billion. Rep. Barney Frank (D-MA), chairman of the House Financial Services Committee, has voiced support for the Fed taking on responsibility for overseeing "systemic risk," although Senate Banking Committee Chairman Christopher Dodd (D-CT) has expressed doubts. Bernanke indicated the need for the Fed to play a greater role in oversight of the financial system. "A good case can be made for granting the Federal Reserve explicit oversight authority for systemically important payment and settlement systems" in financial markets, he said. This would be an improvement on what he termed the current "patchwork of authorities" for these systems. He also urged a review of accounting rules so they do not "overly magnify the ups and downs in the financial system and the economy." These so-called mark-to-market rules govern how firms value assets and have become an issue at a time when the markets for banks' huge mortgage-backed securities and illiquid assets have become frozen and valuation has become difficult. A House subcommittee is due to hold hearings on mark-to-market rules. Asked following his speech about the Group of 20 summit that took place in April in London, Bernanke said the assembled leaders could agree on principles for international coordination on any reforms to the regulatory regime for financial markets. "We have banks and insurance companies with subsidiaries in 100 countries, or 120 countries, and there are so many jurisdictions that dealing with problems among those companies is extraordinarily complicated, and in order to do that successfully we need to have agreements, conventions that will help us to cross jurisdictions in an effective and cooperative way," he said.
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
7
G20
London Summit 2009 By the BRITISH EMBASSY London Summit Communique Photos: British Embassy
Left to right: United States President Barack Obama, Her Majesty Queen Elizabeth II, First Lady Michelle Obama and HRH Prince Philip, Duke of Edinburgh at Buckingham Palace
London Summit Results Including: financial regulation, economic growth, global trade and helping the world’s poorest.
The London Summit took place at a time when the world confronts the worst economic crisis since the Second World War. The London Summit aims were to bring together leaders of the world’s major economies and key international institutions to take the collective action necessary to stabilise the world economy and secure recovery and jobs. Leaders faced an unprecedented range of challenges – of averting an even more severe downturn and restoring growth in the short term, while at the same time reshaping the financial system, preserving the world trading system, and laying the foundations for a sustainable recovery.
Real action was agreed at the Summit, with Leaders agreeing on steps to: • Restore confidence, growth, and jobs: Leaders reaffirmed their commitment to work together to restore growth and jobs, while preserving long-term fiscal sustainability. They agreed actions to accelerate the return to trend growth and committed to taking whatever action is necessary to secure that outcome and called on the International Monetary Fund (IMF) to assess regularly the actions taken and the global actions required. They committed to make available an additional $1.1 trillion programme of support to help the world economy through the crisis and to restore credit, growth and jobs. Most of this will be provided through the international financial institutions. Please see insert on page 16.
• Strengthen financial supervision and regulation: Leaders agreed to strengthen the financial system by putting in place a better and more credible system of surveillance and regulation to take account of macro-prudential risks and prevent excess leveraging, including (for the first time) regulation and oversight of large hedge funds and credit rating agencies. They also agreed actions to tackle non-cooperative jurisdictions and common principles for executive remuneration.
• Fund and reform our international financial institutions to overcome this crisis and prevent future ones: Leaders agreed to make an additional $850 billion in resources available through international financial institutions like the IMF, World Bank and other Multilateral Development Banks (MDB’s), including a $500 billion expansion of the IMF’s resources, an SDR allocation of $250 billion and at least $100 billion in additional lending from MDB’s. The leaders also agreed to ensure to have the facilities needed to meet the needs of emerging markets and developing countries and speed up
reform of international financial institutions to ensure national representation is in line with the changing balance of the world economy & nbsp.
• Promote global trade and investment and reject protectionism, to underpin prosperity: Leaders committed not to resort to protectionism, direct or indirect and put in place a transparent monitoring mechanism. Also, to take measures which promote trade, including a commitment to make available $250 billion to halt the slow-down in trade finance, which facilitates up to 90% of world trade.
U.S. President Barack Obama gives a press briefing at the London Summit
• Build an inclusive, green, and sustainable recovery: Leaders reaffirmed their commitment to meeting the Millennium Development Goals and to delivering on development aid pledges; made $50 billion available to low income countries, including through the proceeds of agreed IMF gold sales; agreed that the IMF would further support low income countries; and called on the UN to establish an effective mechanism to monitor the impact of the crisis on the poor stand most vulnerable.
British Prime Minister Gordon Brown addresses the world’s media during the London Summit
Managing Director of the International Monetary Fund (IMF) Mr. Dominique Strauss-Kahn speaking at the London Summit
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
9
Her Majesty Queen Elizabeth II and HRH Prince Philip, the Duke of Edinburgh hosted a reception in honor of the G20 World Leaders and their spouses the evening before the London Summit
U.S. President Barack Obama and First Lady Michelle Obama are greeted by her Majesty the Queen and HRH Prince Philip
U.S. Secretary of State Hilary Clinton arrives at Buckingham Palace
U.S. President Barack Obama greeted by Her Majesty the Queen
President Barack Obama and his wife Michelle with her Majesty the Queen and the Duke of Edinburgh at Buckingham Palace where they had a private meeting on the eve of the London Summit
His Excellency Luiz da Silva President of the Federative Republic of Brazil (far left) speaks to HRH Prince Charles at the reception 10
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
First Lady Michelle Obama speaking with Camilla, the Duchess of Cornwall
First Lady Michelle Obama in discussion with Her Majesty the Queen
HRH Prince Charles
U.S. Secretary of State Hilary Clinton (L) is greeted by Edward Young, Deputy Secretary to the Queen during her arrival at Buckingham Palace
First Lady Michelle Obama with Her Majesty the Queen
Stephen Harper Prime Minister of Canada and his wife Mrs. Laureen Harper meet Her Majesty the Queen and the Duke of Edinburgh
Her Excellency Christina Fernandez de Kirchner, President of the Argentine Republic arrives at a reception hosted by Her Majesty the Queen and the Duke of Edinburgh at Buckingham Palace (in background the other World Leaders preparing to get in the receiving line to meet Her Majesty the Queen)
President of the French Republic Nicolas Sarkozy speaks to U.S. Secretary of State Hilary Clinton at the reception held at Buckingham Palace
First Lady Michelle Obama meets the Duchess of Cornwall at the reception hosted by Her Majesty the Queen and the Duke of Edinburgh at Buckingham Palace
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
11
Her Majesty Queen Elizabeth II and HRH Prince Philip, the Duke of Edinburgh hosted a reception in honor of the G20 World Leaders and their spouses the evening before the London Summit
Alistair Darling, Chancellor of the Exchequer arriving at Buckingham Palace
Pascal Lamy, Director General of the World Trade Organisation (WTO) arriving at Buckingham Palace
President of the People’s Republic of China Hu Jintao standing beside Her Majesty the Queen and British Prime Minister Brown. (Left inset) Turkish Prime Minister Tayyip Erdogun and his wife Emine pictured with British Prime Minster Gordon Brown and his wife Sarah as they arrive at 10 Downing Street; (right inset) meeting Her Majesty the Queen
Dr. Angela Merkel German Chancellor speaking with Her Majesty the Queen at the reception
President of Mexico Felipe Calderon with his wife Margarita Zavala arriving at Buckingham Palace
President of the United States Barack Obama and First Lady Michelle Obama pictured with British Prime Minister Gordon Brown and his wife Sarah as they arrive at 10 Downing Street 12
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Australian Prime Minister Kevin Rudd and his wife Therese Rein arrive at 10 Downing Street World Bank President, Robert Zoellick (L) arriving at Buckingham Palace
World Leaders dining at 10 Downing Street
His Excellency Abhisit Vejjajiva Prime Minister of Thailand and his wife Dr. Pimpen Vejjajiva meets her Majesty the Queen
Heads of State settle down to dinner at 10 Downing Street in London, UK on the evening before the G 20 Summit
Celebrity Chef Jamie Oliver prepares food for dinner at 10 Downing Street
Prime Minister of the Republic of India Dr. Monmohan Singh meets her Majesty the Queen
President Obama and First Lady Michelle Obama arriving at 10 Downing Street for dinner
President Obama and First Lady Michelle Obama (R) and Camilla, Duchess of Cornwall (L) leave Buckingham Palace after the reception
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
13
trend growth; and they committed today to taking whatever action is necessary to secure that outcome. Recognising that further action may be needed, they called on the IMF to assess regularly the actions taken and the global actions required. Not only did Leaders agree to take further action – and not just on fiscal policy but in other policy areas too – but they tied the need for such action to the achievement of quantified and time bound objectives for growth and put in place a clear monitoring mechanism for judging progress. This represents a significant step forward in international macroeconomic coordination to deal with the crisis.
1. Restoring Confidence, Jobs and Growth
2. Strengthening financial supervision and regulation
A series of financial market events beginning in 2007 has culminated in the worst international banking crisis in generations. Despite unprecedented interventions by governments to fix the financial system, this crisis has triggered a global recession. Before the G20 Leaders met, forecasts suggested that most of the advanced economies and many developing and emerging economies would remain in severe recession over 2009, with world growth in real terms resuming and rising to over 2 per cent by the end of 2010. In response to these events, governments of the G20 nations have agreed to take action to accelerate the return to trend growth and support families and businesses through the recession. In the UK for example, the Government has increased spending to support homeowners and people at risk of losing their job and provided support to get the financial sector lending again. The Bank of England has cut interest rates to their lowest level ever, making it cheaper for businesses and households to borrow. Other countries across the globe have taken similar action. At the London Summit, leaders of the G20 reaffirmed their commitment to work together to restore growth and jobs. They expressed their confidence that the new actions and commitments agreed at the Summit would accelerate the return to
Problems in the financial sector and weaknesses in supervision were one of the fundamental causes of the crisis. Increased lending and securitisation of assets reduced transparency and exposed the banking system to high levels of systemic risk. While market participants were unable to understand the nature of the risks they were exposed to, the regulatory system
allowed them to increase leverage dramatically in the run up to the crisis. The tendency of the financial sector to over-expand during up swings was exacerbated by a number of factors: over reliance on Credit Ratings Agencies (CRAs) assessments of the credit risk and potential CRA conflicts of interest, inadequate accounting standards and capital requirements that served to reinforce rather than dampen financial market over expansion, and remuneration policies that encouraged excessive leveraging and risk-taking. At the Summit, G20 leaders agreed a blueprint for reforming the regulatory framework of the financial sector. Key principles underlying this framework include the need to strengthen macro-prudential supervision; for capital requirements to explicitly incorporate counter cyclical elements – but that in present circumstances it would be inappropriate to raise them until
declaration on delivering resources through the international financial institutions LONDON SUMMIT, 2 APRIL 2009
We, the leaders of the Group of Twenty, are committed to ensuring that capital continues to flow to emerging market and developing countries to protect their economies and support world growth. To this end, we have agreed to increase very substantially the resources available through the international financial institutions and to ensure that the institutions have the facilities needed to address the crisis in a coordinated and comprehensive manner. We have agreed to make available an additional $850 billion of resources through the IMF and the multilateral development banks to support growth in emerging market and developing countries by helping to finance counter-cyclical spending, bank recapitalisation, infrastructure, trade finance, balance of payments support, debt rollover, and social support. For the IMF, we have agreed to support: • as an immediate measure, bilateral financing from members of $250 billion; • in the near term, incorporate the immediate financing from members into an expanded and more flexible New Arrangements to Borrow, which will include other G20 countries, and be increased by up to $500 billion. We aim to make substantial progress by the Spring meetings; • consideration of market borrowing by the IMF to be used if necessary in conjunction with other sources of financing, to raise resources to the level needed to meet demands; and, • a doubling of the IMF’s concessional lending capacity for low income countries and a doubling of access limits, within the Debt Sustainability Framework (DSF). We have committed, consistent with the new income model, that additional resources from agreed sales of IMF gold will be used, together with surplus income, to provide $6 billion additional concessional and flexible finance for the poorest countries over the next two to three years. We call on the IMF to come forward with concrete proposals at the Spring Meetings.
16
In addition to these steps, we have also agreed to support a general allocation of SDRs equivalent to $250 billion to increase global liquidity, $100 billion of which will go directly to emerging market and developing countries. We agreed to ratify urgently the fourth amendment to the IMF’s articles. We agreed to accelerate the next quota review to be completed by January 2011 to ensure the IMF’s finances are on a sustainable footing commensurate with the needs of the international monetary system. For the Multilateral Development Banks (MDBs), we have agreed to support: • a substantial increase in lending of $100 billion including to low income countries, to a total of around $300 billion over the next three years; • full and exceptional use of MDB balance sheets, to create further capacity for lending to meet crisis needs; • a 200 per cent general capital increase at the Asian Development Bank and reviews of the need for capital increases at the Inter-American Development Bank, the African Development Bank and the European Bank for Reconstruction and Development; • actions by the MDBs to leverage private capital more effectively, including through the use of guarantees, bond insurance and bridging finance; and • the new IFC Global Trade Liquidity Pool which should provide up to $50 billion of trade liquidity support over the next three years, with significant cofinancing from the private sector (as part of the global effort to ensure the availability of at least $250 billion of trade finance over the next two years). In order to reach this objective, we agreed to provide $3-4 billion in voluntary bilateral contributions to the IFC Pool. We also welcomed the steps taken by other MDBs to increase support for trade finance, and medium and long-term project finance through our export credit and investment agencies. We have also agreed to ensure that the international financial institutions have the facilities they need to address the current crisis
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
and meet the needs of emerging markets and developing countries. To this end: • we welcome the IMF’s new Flexible Credit Line (FCL), for eligible countries, as part of its reformed and more flexible lending and conditionality framework. This will help to address stigma concerns while safeguarding IMF resources. We look forward to rapid take-up of the FCL and support Mexico’s decision to seek an FCL arrangement; • the IMF should take steps to ensure that its surveillance and lending facilities address effectively the underlying causes of countries’ balance of payments financing needs, particularly the withdrawal of external capital flows to the banking and corporate sectors; • we will support, through voluntary bilateral contributions, the World Bank Vulnerability Framework, including the Infrastructure Crisis Facility and the Rapid Social Response Fund; • individual country limits on World Bank lending should be increased, as appropriate, to enable large countries to access required levels of finance and so support stability and recovery in their regions; • low income IDA countries with sustainable debt positions and sound policies should be given temporary access to non-concessional IBRD lending to compensate for the loss of access to capital markets, and IDA resources should be frontloaded, using the existing flexibility in the DSF. We agreed that these resources and facilities should enhance the capacity of the international financial institutions to address the crisis. Cooperation and coordination between the IFIs should be strengthened to increase their effectiveness. Emerging and developing economies, including the poorest, should have greater voice and representation.
recovery takes hold; for all systemically important institutions, including hedge funds, to be subject to regulation and supervision; for common principles for remuneration so as to discourage excessive risk taking; to ensure credit rating agencies do their job properly and without conflicts of interest; and to deal with tax havens and non-cooperative jurisdictions. Leaders also agreed that a central role in coordinating this agenda should be taken by the Financial Stability Forum, now renamed the Financial Stability Board and incorporating all G20 countries. Agreement on specific measures across all of these areas and all ofthe G20 countries represents an unprecedented degree of international regulatory coordination, and will lead to major reforms of the global financial sector – reducing the risk of a recurrence of this crisis.
3. Funding and reforming our international financial institutions to overcome this crisis and prevent future ones The global financial crisis has resulted in the seizing up of international financial markets that are essential for keeping the world economy functioning. The effects of this have been particularly felt in developing and emerging economies. Governments as well as households and businesses in these countries have found it more difficult to borrow, adding to pressures on economic growth from reduced global demand and exports and increasing unemployment. International financial institutions like the International Monetary Fund (IMF) and the World Bank have an essential role in ensuring the stability and recovery of emerging markets and developing economies. To ensure international financial institutions have the resources needed to provide responsive and effective support to developing economies – which have been key factors in world economic growth over the last ten years and are vital to ending the global recession – G20 Leaders have agreed to resources available through the IFIs by $850billion. They agreed to treble IMF resources to $750 billion, initially funded through bilateral borrowing to be then incorporated into an
Spanish Prime Minister Jose Luis Rodriguez Zapatero
The Peace of Home, the Excitement of Adventure –– All Come Together at Savannah Lakes Village Spectacular Lake Front, Golf Properties and Interior Home-sites available AMENITIES INCLUDE:
Country Club Membership • Two Golf Courses Tennis Courts • Bowling Alley • Activity Center Indoor & Outdoor Swimming Pools
U.S. Treasury Secretary Timothy Geithner and U.S. President Barack Obama
Call now for a Free DVD & Brochure Savannah River Realty 800.779.8177 Or email tbryan@wctel.net www.srrnow.com
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
17
expanded and enlarged New Arrangements to Borrow of up to $500 billion. Leaders also agreed to an SDR allocation of around $250 billion – to provide an additional $100 billion in liquidity to emerging and developing economies (including $19 billion for the poorest) – and urged ratification of the 4th Amendment for an additional $30 billion SDR allocation. Leaders urged MDBs to make available at least an additional $100 billion in resources over the next few years, and also committed to providing up to $50 billion of trade liquidity support as part of the global effort to ensure the availability of at least $250 billion of trade finance. Leaders also agreed to ensure that the international financial institutions have the facilities they need to address the current crisis and meet the needs of emerging markets and developing countries: welcoming the IMF’s new Flexible Credit Line (FCL) for eligible countries, urging the IMF to reform its surveillance and lending facilities to address the causes of countries’ balance of payments needs, supporting the World Bank Vulnerability Framework through voluntary bilateral contributions, increasing individual country limits on World Bank lending to enable
Japan’s Prime Minister Taro Aso (R) and his Finance Minister Kaoru Yosano (L)
Saud bin Faisal bin Abdulaziz Al-Saud of Saudi Arabia (L) and Finance Minister Ibraheim Al Asaf (R)
Canada’s Prime Minister Stephen Harper (L) and his Finance Minister James Flaherty (R)
German Chancellor Angela Merkel and her Finance Minister Peer Steinbruck 18
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
large countries to access required levels of finance, allowing low income IDA countries with sustainable debt positions and sound policies to gain temporary access to non-concessional IBRD lending, and a temporary lifting of caps on the proportion of concessional lending by the MDBs provided as budget support to low income countries. As well as increasing resources, it is important that each country has confidence in the institutions’ relevance, effectiveness and legitimacy, to ensure credibility. At the London Summit, leaders recognised that action needs to be taken to improve the credibility of IFIs. The G20 therefore agreed: • reform of representation on IFIS – IMF quota reform to be broughtforward to be completed by 2011; and similar reform of the World Bank to be completed by 2010; • selection and recruitment of heads of IMF and World Bank to be based on merit; • consideration of greater involvement of the Fund’s Governors in providing strategic direction to the IMF and increasing its accountability.
President of the European Commission Jose Manuel Barosso (L) and President of the European Council (and Prime Minister of Czech Republic), Mirek Topolanek (R)
4. Promoting global trade and investment and reject protectionism to underpin prosperity Trade is vital for the health of the global economy: The more open to trade economies are, the greater the benefits. History demonstrates this: since 1945, average tariffs for developed countries, like the UK, Europe and the US, have fallen from nearly 40% to less than 5%; world exports have risen 27fold; and world income has risen eightfold. Russian President Dmitry Medvedev (R) and his Finance Minister Alexei Kudrin (L)
GABLES RESIDENTIAL
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
19
However, world trade is forecast to fall by 9% this year – the largest decline in 60 years – due to lower global demand and reduced exports. This decline is exacerbated by growing protectionist pressures; but, also the drying up of trade credit – essentially the insurance exporters pay while their goods are in transit, which roughly 90 percent of world trade relies on. The G20 leaders stated that reinvigorating world trade and investmentis essential for restoring world growth and leaders agreed on action to stop the slowdown in world trade. Specifically, leaders : • committed to ensure that countries do not resort to protectionism, by extending their pledge made in November not to raisetrade barriers or impose any new trade restrictions to 2010, and rectifying any such measures promptly
• committed to minimise any negative impact of domestic policy action on world trade and investment including fiscal policy and action in support of the financial sector, and not retreat into financial protectionism • committed to notify promptly the WTO of any such measures and called on the WTO, together with other international bodies, to monitor and report publicly on adherence to these undertakings on a quarterly basis • to take measures to support trade, including a commitment to make available $250bn in trade finance over the next two years, through both national agencies, and the Development Banks, as well as making better use of financing that is already there • stated their personal commitment to the Doha Round and agreed to prioritise the negotiations
President of France Nicolas Sarkozy (L) and Finance Minister Christine Lagarde (R)
President of Korea Lee Myung-bak (L) and his Finance Minister Yoon Jeung-Hyun (R)
Italian Prime Minister Silvio Berlusconi (L) and his Finance Minister Giulio Tremonti (R) President of South Africa Kgalema Motlanthe (L) and his Finance Minister Trevor Manuel (R) 20
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
5. Ensuring a fair and sustainable recovery for all The global financial crisis affects all countries, rich and poor, and the response will also affect all – both rich and poor countries now, but also future generations. Leaders recognised the human dimension to the crisis and committed to support those affected by creating employment opportunities and through income support measures. And they stated their determination not only to restore growth but also to lay the foundation for a fair and sustainable world economy. The effects of the current crisis on developing countries could result in an additional 90 million people a year living in extreme poverty, and threaten progress made towards achieving the Millennium Development Goals. A global recovery will not be sustainable unless it benefits the poorest and provides them with the opportunities they need to escape poverty. Leaders :
• reaffirmed their commitment to meeting the Millennium Development Goals and to achieving Official Development Assistance pledges, including commitments on Aid for Trade • made $50 billion available to low income countries, including through the Rapid Social Response Fund, investing in food security and supporting the World Bank’s Vulnerability Financing Framework • agreed the IMF should double concessional lending access limits and capacity to increase its support to low income countries, and requested the IMF to bring forward proposals to use the proceeds of agreed gold sales to do so • called on the UN to establish a mechanism to monitor the impact of the crisis on the poor. Understanding that a return to business-as-usual growth will leave them vulnerable to rising oil prices and the potentially catastrophic impacts of climate change, several have committed sizeable parts of their economic recovery packages to low carbon investments. Leaders agreed to pursue a path of economic growth that creates green business opportunities. The opportunities will not only provide jobs and contribute to the economic growth; they will also ensure that the recovery is sustainable in the longer term.
King Abdullah bin Abdulaziz Al-Saud, The Custodian of the Two Holy Mosques, King of Saudi Arabia is greeted by Peter Mandelson, UK Secretary of State for Business and Enterprise (R) as he arrives at the London Summit
Indonesia’s President Susilo Bambang Yudhoyono (R) and Finance Minister Dr. Sri Mulyani Indrawati (L)
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
21
(L-R) European Union leader Jos Manuel Barroso, China President Hu Jintao, U.S. President Barack Obama and Netherland’s Prime Minister Dr. J. P. Balkenende (after the group photo)
French President Nicolas Sarkozy (R) is greeted by British Prime Minister Brown as he arrives at the London Summit King Abdullah bin Abdulaziz Al-Saud, The Custodian of the Two Holy Mosques, King of Saudi Arabia
Dr. Angela Merkel Chancellor of the Federal Republic of Germany, Prime Minister of Canada Stephen Harper, President of Argentina Cristina Fernandez de Kirchner and President Barack Obama (preparing for the group photo)
Chinese President Hu Jintao, President Obama and Prime Minsiter Brown looks on (preparing for the group photo)
Russia’s Dmitry Medvedev (R) is greeted by British Prime Minister Gordon Brown as he arrives at the London Summit
22
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
The TEMPTATIONS T h e T E M PTAT I O N S
AMBASSADORS OF MUSIC & GOODWILL The Temptations will appear at The John F. Kennedy Center for the Performing Arts in Washington, D.C. They will be accompanied by The National Symphony Orchestra with Marvin Hamlisch, Guest Conductor, May 28 - 30, 2009. Performances are Thursday, May 28, 7:00 PM, Friday, May 29, 8:00 PM and Saturday , May 30th, 8:00 PM. The Temptations are anticipating a World Tour of various countries in the near future. Ticket Information: Tickets: 202.467.4600 or 1.800.444.1324
Group Sales: 202.416.8400 or 1.800.444.1324
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
23
Sarah Brown hosted a morning of various excerpts from opera and ballet performances whilst their husbands attended the London Summit at ExCel. All pose for a photograph at the Royal Opera House in London’s Covent Garden.
Pictured (L-R): 1. Ban Soon Taek, the spouse of Ban Ki Moon Chairman of the United Nations 2. Chikako Aso, the wife of Taro Aso, Prime Minister of Japan 3. Laureen Harper, the wife of Canadian Prime Minister Stephen Harper 4. Gursharan Kaur, the wife of Indian Prime Minister Dr. Manmohan Singh 5. Michelle Obama, the wife of the President of the United States Barack Obama 6. Kim Yoon-ok, the wife of the South Korean President Lee Myung-bak 7. Sarah Brown, the wife of British Prime Minister Gordon Brown 8. Margarita Zavala, the wife of the Mexican President Felipe Calderon 9. Svetlana Medvedeva, the wife of Russian President Dmitry Medvedev 10. Emine Erdogan, the wife of Turkish Prime Minister Recep Tayyip 11. Margarida Barroso, wife of Jos Manuel Barroso President of the European Commission 12. Therese Rein, the wife of Australian Prime Minister Kevin Rudd 13. Dr. Pimpen Vejjajiva, Partner of Thai Prime Minister Abhisit Vejjajiva
I N TE R N AT IO N A L A S SO CIAT I O N OF WO ME N JU D GE S HOS T S
GLOBAL FORUM for WOMEN and JUSTICE
Justice Sandra Day O’Connor, former Associate Justice, US Supreme Court; Andrea Jung, CEO of Avon Products, Inc.; Stewart Schwab, Dean, Cornell University Law School; Reese Witherspoon, Actress and Avon Global Ambassador; Joan D. Winship, Executive Director, International Association of Women Judges
By JOAN D. WINSHIP WASHINGTON, DC - “No matter what their judicial or legal system, women judges find that violence against women is prevalent everywhere at all levels of society,” stated Joan D. Winship, Executive Director of the IAWJ. Recognizing this global reality that cuts across all legal, political, and economic systems, the International Association of Women Judges (IAWJ) was proud to host the second annual Global Forum on Women and Justice with support from Avon Products, Inc. Justice Sandra Day O’Connor, the first woman on the United States Supreme Court, hosted a reception at the Supreme Court the opening evening and then keynoted the conference, speaking to an audience that included women pioneers on the highest courts of Argentina, Rwanda and Tanzania, as well as more than 50 judges who have presided over courts from Norway and Nunavut (the northernmost territory of Canada), to the USA, Jordan, Bangladesh and South Africa. Cherie Blair, UK lawyer, human rights activist and wife of former Prime Minister Tony Blair, addressed the Global Forum on Women and Justice on the second evening. During the Global Forum, participants addressed steps judges can take – and have taken– to make justice more accessible for victims of gender-based violence. In Cameroon, judges are encouraging women in customary marriages to formalize the relationship in order to obtain the rights guaranteed by statute but negated in the absence of a registered marriage.
In Kenya, judges work to implement that country’s new Sexual Offenses Act, in Brazil women judges were instrumental in encouraging the implementation of the first Domestic Violence Act, and in the United States, Securities & Exchange Commission Administrative Law Judge Brenda Murray works to bring programming and literature to women prisoners in the DC region through an ambitious book club. During the Global Forum, Andrea Jung, Chairman and Chief Executive Officer of Avon Products, Inc. announced Avon’s efforts to eradicate violence against women through new global efforts, including establishing the Avon Global Center for Women and Justice at Cornell Law School and Avon’s commitment of $1.25 million over 2 years to the United Nations Development Fund for Women (UNIFEM) for its efforts to eradicate violence against women. Several times during the past six years, the International Association of Women Judges has been recognized by UNIFEM at the United Nations for the impact of its judicial education programs to advance equal rights and address issues of violence against women. In 2009 the IAWJ is implementing a new program funded by UNIFEM titled “Jurisprudence, Access and Accountability in Zambia”, that will not only provide judicial training for men and women judges on violence against women and applying international human rights law at the domestic level, but also will address the issues of responsiveness
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
25
Barbara Holden-Smith, Vice Dean, Cornell Law School; Andrea Jung CEO of Avon Products, Inc.; Reese Witherspoon, Actress and Avon Global Ambassador; Joan D. Winship, Executive Director, International Association of Women Judges
and accessibility of the courts for women in the community. Avon’s Global Ambassador, actress Reese Witherspoon, also addressed the Forum, to help launch Avon’s 2009 grassroots campaign by its 6 million Avon Sales Representatives around the globe to raise funds and awareness to support efforts to end violence against women and girls. Working sessions at the Global Forum allowed the participants to share their experience and expertise with regard to overcoming obstacles to justice in gender-based violence cases, the use of international human rights law and norms in domestic courts, the intersection between law and health in
Saint Patrick’s Day
Maryland Governor Martin O’Malley speaking with Prime Minister Cowen
gender-based violence cases, and particularly the difference a judge can make in improving access to justice for survivors of gender-based violence. “For almost two decades, women judges of the IAWJ have worked to advance human rights, eliminate discrimination on the basis of gender, and make the courts accessible for all. The courts have a unique role to play in addressing violence against women and this Global Forum for Women and Justice, with the support of Avon, is another step forward in this effort,” stated Joan Winship.
Ireland’s Prime Minister Brian Cowen and his wife Mary Molloy
This picture was taken at the Rohan Palace in Strasbourg during a welcoming ceremony on April 4, 2009
(L-R) First Lady Michelle Obama; President of the United States Barack Obama; First Lady Carla Bruni-Sarkozy and President of France Nicolas Sarkozy
Š Pool MAE
National Council on U.S.-Arab Relations Brings Together Experts to Discuss
Mr. Michael McMillen, Partner, Corporate Practice Group, Fulbright & Jaworski LLP
Islamic Finance and the Global Economic Crisis “Islamic finance is the only example of a financial system directly based on the ethical precepts of a major religion . . . .”
Dr. John Duke Anthony, President and CEO, National Council on U.S.-Arab Relations
- Shaykh Yusuf DeLorenzo
By JAMES A. WINSHIP, Ph.D. Vice-President, Programs National Council on U.S.- Arab Relations
28
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
More than two hundred leaders from the international business and financial community, the diplomatic community, the United States Congress, government agencies, the military, and the academic worlds came together in February of this year to discuss the emerging and rapidly growing role of Islamic finance in the international financial community. Meeting at the Ronald Reagan Building and International Trade Center in Washington, D.C., participants were addressed by two of the world’s leading experts on Shari’ah (Islamic law) compliant financial instruments. Dr. John Duke Anthony, Founding President and CEO of the National Council on U.S.-Arab Relations convened the session and moderated the animated question and answer period that followed the formal presentations. Shaykh Yusuf DeLorenzo is Chief Shari’ah Officer and Board member at Shari’ah Capital. He is currently a member of the Islamic Development Bank’s Task Force on the Global Financial Crisis. Dr. DeLorenzo serves as Shari’ah advisor to more than twenty global financial entities and has been a member of the Shari’ah Supervisory Boards of several international Islamic financial institutions, including the Dow Jones Islamic Market Index, ihilal.com, Muslim e-Financials and Brown Brothers Harriman Islamic Global Equity Fund. He has also advised non-profit organizations such as Action Against Hunger (Bosnia).
Dr. Yusuf Talal DeLorenzo, Shari’ah Capital
Fulbright & Jaworski LLP’s Michael McMillen is a partner in corporate practice focusing on Islamic finance, project finance, and structured finance. Mr. McMillen teaches Islamic finance at the University of Pennsylvania Law School and its Wharton
(L-R) Patrick Mancino, Vice President and Director of Development, National Council on U.S. - Arab Relations and HRH Prince Abdulaziz bin Talal bin Abdulaziz Al-Saud, Kingdom of Saudi Arabia
Mr. Tony Hughes, Senior Vice-President - the Americas, Qatar Airways
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
29
companions, uijma – consensus between legal scholars, qiyas – reasoning by legal analogy, as well as the historic record of debate, interpretation and precedent developed among Islamic legal scholars. As such Shari’ah is capable of development and subject to interpretation. “God did not say, ‘Build me a bank,’ ” observed Dr. DeLorenzo. What Shari’ah compliant financing (SCF) seeks to do is to shape financial practices and accompanying legal instruments that conform to Islamic law. Major financial principles of Shari’ah include a ban on interest, a ban on uncertainty, adherence to risk-sharing and profit-sharing, promotion of ethical investments that enhance society and do not violate practices banned in the Qur’an and tangible asset-backing. Money, according to Islamic teachings is a measure of value, not a commodity. Debt is a relationship in which risk and responsibility are shared by all parties to a contract. Islamic finance, Shaykh DeLorenzo observed, is a different way of structuring financial dealings; but, it is not a totally different financial system.
Dr. James Winship, Vice President - Programs, National Council on U.S. - Arab Relations and Professor Ghiyath Nakshbendi, Executivein-Residence, Kogod School of Business, American University
School of Business. He has twice been the recipient of the award for Best Legal Advisor in Islamic finance by Euromoney Magazine and has received the Sheikh Mohammed bin Rashid Al-Maktoum Award as the Best Legal Advisor in Islamic Finance in North America. Mr. McMillen is also a member of the Task Force on the Global Financial Crisis of the Islamic Development Bank and has consulted with member states of the Organization of the Islamic Conference (OIC) regarding securities and capital markets laws as they relate to Shari’ah compliant instruments, structures, and transactions in OIC jurisdictions. Shaykh DeLorenzo emphasized that, “Islamic finance is the only example of a financial system directly based on the ethical precepts of a major religion, providing not only investment guidelines but also a set of unique investment and financing products.” Islamic finance is based on Shari’ah, the Islamic law that provides guidelines for multiple aspects of Muslim life, including religion, politics, economics, banking, business and aspects of the legal system. Shari’ah is not a static set of laws but is, instead, a principles-based legal system drawn from the teachings of the Qur’an, the hadith – the sayings and actions of the Prophet Muhammad and his 30
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Michael McMillen, made a similar point when he insisted that Islamic finance “is business, both practical and principled. It is finance in the context of a developed jurisprudential and legal framework. All of which is to say: there are more similarities than differences between Islamic financial principles and those that are more familiar to us in the United States and Europe.” He also observed that adherence to Shari’ah compliant finance could yield a competitive edge in international business with the Muslim world and was culturally enriching to global economic dealings and international understanding. “This is about business,” he reiterated, “that is based on an ethical paradigm.”
Dr. Yusuf Talal DeLorenzo, Shari’ah Capital (Speaker) Abdul Malik Mujahid, President, Sound Vision Foundation Nida Davis, Chief Technology Architecture Offices, Federal Reserve Board of Governors Amin Mahmoud, Alliance of Egyptian Americans Kahled Beshir, Standard and Poors
Steve Klimeck, Qatar Airways Bradley Pallant, Qatar Airways Tony Hughes, Senior Vice President - The Americas, Qatar Airways
Qatar Airways was a co-sponsor of the program with the National Council on U.S. - Arab Relations
32
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
McMillen noted two developments that have been critical to the expansion of Islamic financial markets. In 1998, the so-called “Dow Jones Islamic Indexes fatwa” played a transformative role because it opened the door to a limited degree of “permissible impurity” in financial transactions and institutionalized a notion of cleansing and purification whereby small amounts of impermissible interest income could be cleansed or purified by donation to charity. In turn, this led to a series of equity investment tests that could be used to evaluate potential investments for Shari’ah compliance. A second critical innovation was the introduction of sukuk – a Shari’ah compliant substitute for bonds – where capital protection is achieved not as a loan but as a binding agreement by the issuer to repurchase certain assets over a period of time. Sukuk has now become one of the backbones of Islamic capital markets and has enabled the rapid growth of Islamic financial transactions. Both analysts cited multiple reasons for the growth of the Islamic financial sector in recent years: (1) the flow of funds into Muslim oil-producing states; (2) growing political and social desire in the Muslim world for financial alternatives to banking and investment institutions that have been historically dominated by the West; (3) the spreading credit crisis in global financial markets and the need to access new sources of investment capital; (4) the growth of sovereign wealth funds and the desire to have shari’ah compliant instruments through (R-L) HRH Prince Abdulaziz bin Talal bin Abdulaziz Al-Saud, Kingdom of Saudi Arabia and Dr. John Duke Anthony, President and CEO, National Council on U.S.-Arab Relations
which to invest them; and, (5) the rapidly accelerating number of cross-border multi-jurisdictional financial transactions that are possible and required in a globalized world economy Assets held by Muslim investors worldwide now exceed $1.6 trillion, and that amount is expected to grow to $2.7 trillion by 2010. Shari’ah compliant finance has become an accepted and vibrant element in international financial transactions. It offers a fresh opportunity to emphasize the moral and ethical aspects of business and finance that reaches beyond the Arab and Islamic worlds to prompt a reexamination of the core values underlying all global financial transactions – making available the financial resources needed to develop the human capital that will sustain economic and social progress. HRH Prince Abdulaziz bin Talal bin Abdulaziz Al-Saud from the Kingdom of Saudi Arabia attended this event.
H.E. Ichiro Fujisaki, Ambassador of Japan to the United States and his wife, Mrs. Yoriko Fujisaki
Japan’s Eternal
34
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
The cherry trees I sent abroad With the hope of increasing the radiance of spring Have blossomed elegantly. A poem written by Japanese politician Yukio Ozaki during a trip to Washington in 1949 at the age of 90.
F
Gift
or more than a thousand years, the delicate blossoms of the flowering cherry tree have been cherished by the people of Japan. In 1912, Mr. Yukio Ozaki, then Mayor of Tokyo, presented a gift of 3,000 Japanese cherry trees to Washington, offering one of his country’s most beloved icons in a gesture of goodwill. Today, those same cherry blossoms are treasured by Washington’s residents and visitors alike. Each spring, as winter fades and warmth returns to the nation’s capital, the humble grove of trees that line the tidal basin burst forth in feathery clouds of pink blossoms, elegantly framing the city’s most famous monuments. “Cherry blossoms have become a symbol of friendship between Japan and the United States, both in Washington and around the country,” His Excellency Ichiro Fujisaki, Ambassador of Japan to the United States, reflected as the National Cherry Blossom Festival drew to a close. In addition to his involvement in the two-week celebration of spring and Japanese culture, the Ambassador was also invited to participate in the ribbon-cutting ceremony at Macon, Georgia’s annual cherry blossom festival. Ambassador Fujisaki and his wife, Mrs. Yoriko Fujisaki, returned to Washington, D.C. in May of 2008. They have many good memories from the Ambassador’s previous tour of service, during which time he was in charge of political affairs at the embassy. Though he spent most of his time dealing with U.S.-Japan relations, U.S. domestic politics and U.S. foreign policy, he and his family still managed to make time to enjoy the cherry blossoms. with “Skipper” their dog
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
35
Ms. Lourdes Barrett, President of NCSS, National Conference of State Secretary and Ms. Sonoko Kudo, Director, Cherry Blossom Association
Ai Kawashima, Japanese Pop Star shaking hands with Hon. BJ Penn, Acting Secretary of the Navy
Mr. Robert Frankrone, Mrs. Laura Frankrone, Ambassador Fujisaki and their daughter Ms. Erin Frankrone, Cherry Blossom Princess representing the state of Kentucky
Emily B. Little, 2008 U.S. Cherry Blossom Queen with her parents Mr. and Mrs. Little
Congressman Jack Kingston of Georgia with his daughter, Ann Kingston, Cherry Blossom Princess representing the State of Georgia 36
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
2009 Japan Cherry Blossom Queen Erisa Kazui with guest
(L-R) Congressman Pedro R. Pierluisi, Puerto Rico; Mrs. Yoriko Fujisaki, wife of the Ambassador; Japanese Ambassador Ichiro Fujisaki; Congresswoman Madeleine Z. Bordallo, Guam; Hon. BJ Penn, Acting Secretary of the Navy
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
37
“When I was assigned as Ambassador to the United States, I recalled those beautiful memories and was excited to be able to participate in the National Cherry Blossom Festival again,” the Ambassador recalled. On Thursday, April 2nd, His Excellency hosted a reception at his residence celebrating the commencement of the 2009 National Cherry Blossom Festival. Over 300 guests joined in the festivities, including Acting Secretary of the Navy B.J. Penn, members of the U.S. House of Representatives and the Cherry Blossom Princesses. As part of the Festival, the Japan Information & Culture Center’s (JICC) current exhibit, Netsuke: Miniature Art in the Palm of Your Hand, celebrates the enduring friendship between Japan and the US through a cross-cultural appreciation of fine art. Over fifty miniature sculptures from the collections of Joe and Etsuko Price and Robert Kinsey will be on display at the JICC until May 29th. “I admire them,” Ambassador Fujisaki said of Americans like Mr. Price and Mr. Kinsey, who have collected Japanese art, even those artworks that are now scarce in Japan. “They were among the first people to recognize the value of Edo period art. Even within Japan, most people did not appreciate the art of that period until quite recently. It is due to the recognition of Mr. Price and Mr. Kinsey, along with a few Japanese scholars, that others were able to realize its merits. Both of these collectors have tried very hard to gather the finest masterpieces, not only for themselves, but to share with others. Of course it is important to have good taste, to be able to recognize good art; but, I really appreciate and admire their efforts to share their collections with others.”
38
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Mr. Motosada Matano, First Secretary, Embassy of Japan; Dr. Vanessa R. Sheldon, Professional Harpist; Izumi Yamanaka, Press & Information Section, Embassy of Japan; Akira Kadomoto, Press & Information Section, Embassy of Japan
Tony Perkins, FOX 5 TV reporter and William Hanbury of Destination DC doing an interview at the Tidal Basin for the Cherry Blossom Festival
Japanese Ambassador’s Residence (below)
40
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
As the Ambassador’s wife, Mrs. Yoriko Fujisaki is also very busy, but she still finds time to reach out to the local community. She recently welcomed a group of sixth and seventh grade students from D.C. public school Brookland Educational Campus at Bunker Hill (see photo below) to the JICC for a school program introducing Japanese culture. “I was amazed by the children’s enthusiasm. As a mother, I understand how difficult it is to hold a child’s attention at that age, but they were so inquisitive and very well behaved!” The role of a spouse of an Ambassador, in some respects, can be extremely rigorous and demanding. Mrs. Fujisaki is an honorable and extraordinary representative along side her distinguished husband. Her efforts and contributions on behalf of the culturally rich country of Japan have added a great deal to the local Washington, D.C. community.
Mrs. Yoriko Fujisaki wife of H.E. Fujisaki, Ambassador of Japan to the United States
Washington, DC Tidal Basin (below)
Cherry Blossom Princesses at the Japanese Ambassador’s Residence
LT Joseph Roberts, USN, Protocol Officer to the Secretary of the Navy; Ai Kawashima, Japanese Pop Star; CDR Mototaka Hogaki, Embassy of Japan
42
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Airport Connections Business Meetings Corporate Roadshows Dinner/Theater Special Events Security Service Detail AUTOLUXE TRANSPORTATION SERVICES, INC. WORLDWIDE RESERVATIONS
T: (866) 925.LUXE (5893) E: reservations@autoluxetrans.com VISIT US ONLINE: www.autoluxetrans.com
Driven by passion Committed to Excellence LONDON
NEW YORK
ST. LOUIS
LOS ANGELES
HONG KONG
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
43
AI KAWASHIMA Japanese-Pop Star Ai Kawashima, a singer who epitomizes the “Japanese Dream” made an appearance in Washington, D.C. for the Cherry Blossom Festival
Ai Kawashima is a young girl pursuing her dream to be heard and epitomizes the “Japanese Dream.” At age 4, Ai was adopted by her parents from an orphanage. By age 16, she’d lost both of her parents to illness. Facing her stark situation, she began to sing on her own and with no outside prompting on the streets in Tokyo managing to perform over 1000 times. At 17, her debut single sold 1 million units. Publishing her moving life story at the tender age of 19 made her a bestselling author. At 22, she’s already built 2 schools in conjunction with a charity in Cambodia and Burkina Faso (Africa). For so multi-talented and multi-dimensional a person, Ai’s approach is simple and sincere. “I was born and raised in the peaceful country of Japan. I knew little about what was happening in the world. Music has given me a Ai Kawashima, Japanese Pop Star personally signing her latest CD for way to let my voice be heard,” she wrote in her Hon. BJ Penn, Acting Secretary of the Navy autobiography. “I kept doing whatever I could do, hoping it could somehow become my lifework rather than just a dream or a goal.” Even as her circumstances have brought to her a maturity uncharacteristic for her young age, underneath she’s still a big kid who loves manga and anime with unbridled enthusiasm. In particular, her love of the popular manga title “One Piece” lead her seek and, with her talent, to be chosen as the artist doing the theme song for the “One Piece” movie version. On top of that, she was able to land a voice acting role as one of the characters in the film.
About Ai Kawashima, singer, songwriter, producer and book author Born Feb 21, 1986. Her debut single, released in 2003, “Asu he no Tobira”, under the pseudonym “ai” of “I Wish”, sold a million units topping the Japan Chart. Since then, she’s had many more singles and albums ranked in the chart. Her autobiography “ Saigo no Kotoba” ranked number one on the best seller lists and sold 300,000 copies. She’s completed an astonishing 1000 street performances.
About Ai Kawashima and School Charity Working with charity organizations, she built 2 schools at Cambodia and Burkina Faso (West Africa). The third school is under construction in Liberia and the fourth one is being planned.
JEROME WHITE, JR. American Japanese singing sensation
Jero was invited to sing at the National Cherry Blossom Festival on March 28, 2009 at the National Building Museum for the Opening Ceremony. He sang two of his enka songs that have become major hits in Japan. One of his most famous songs is “Umiyuki” ÅiäCê·Åjor “Ocean Snow,” about a heartbroken woman and her unrequited love. Jerome White Jr., or Jero as he is known in Japan, is an enka recording artist who has become a singing sensation in Japan. Jero was raised in Pittsburgh, Pennsylvania where he learned to dance hip-hop at school while crooning away enka songs at home with his Japanese grandmother. His grandmother inspired him to pursue enka and her lifelong dream was for Jero to perform on the acclaimed annual music show Khaku Uta Gassen, which is watched by more than half of the Japanese population on New Year’s Eve. Being able to sing on this show for an artist in Japan is that equivalent to the honor of an artist singing the National Anthem at the Superbowl here. Although his grandmother was not alive to witness it, Jero took the stage for the first time on Khaku Uta Gassen on New Year’s Eve of 2008. Jero also won the renowned 50th Japanese Record’s Best New Artist Award for the year 2008, a prize that is equivalent to the Grammy Awards Best New Artist award. As such, Jero’s nation-wide popularity transcends cultural and national boundaries. The above photo was taken of Jero at a private photo session at the Tidal Basin in Washington, D.C. just a day before his performance.
Dr. Vanessa R. Sheldon playing the Harp at the Japanese Ambassador’s Residence during an event honoring the Cherry Blossom Princesses
ROGERCHRISTOPHER I N T E R I O R D E S I G N
ro g e rc h r i s t o p h e r. c o m | 7 0 3 . 5 2 8 . 1 3 9 7
COMPLETE DESIGN SERVICES Red Carpet leading to the Japanese Tea Room at the Japanese Ambassador’s Residence in Washington, D.C.
I N T E R N AT I O N A L & D O M E S T I C
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
45
Thank you Ambassador Fujisaki
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
47
Senator John Warner for Services to the UK-US Relationship
By the BRITISH EMBASSY Photos: Dan Pendleton
FormerSenatorJohnWarner of Virginia was made an honorary Knight Commander by Her Majesty Queen Elizabeth II, the British Ambassador announced. The award is in recognition of Senator Warner’s outstanding service, over many years, to
Knight Commander of the Most Excellent Order of the British Empire
strengthening the UK-US alliance, particularly in the defense arena where Britain is the closest ally of the US in fighting threats to our mutual national security interests around the world.
48
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
he British Embassy in Washington, D.C. hosted a dinner to announce Senator Warner’s award and pay tribute to his career. Notable guests included National Security Adviser General Jim Jones, Senator Jim Webb of Virginia, Senator Chuck Robb, General David Petraeus, General Colin Powell, General James Conway, General William Fraser, former British Defense Secretary Des Browne and Lord Inge, the former British Chief of Defense Staff. British Ambassador Sir Nigel Sheinwald said: “John Warner has spent his life in the service of the American people. Throughout his long and distinguished career he has been a constant and unstinting friend of the United Kingdom, working with us on issues ranging from defense cooperation to the Northern Ireland peace process. Senator Warner has always extended a hand of friendship to the UK from the Commonwealth of Virginia. We were delighted to cement that friendship in 2007 when Her Majesty The Queen visited the Commonwealth of Virginia, and met Senator Warner again and many other Virginians. I am particularly pleased that we honour him as he steps down from Senate service. On behalf of the British Government, I pay tribute to his extraordinary commitment to American national security, to the NATO alliance and the special relationship between our two countries.” Senator John Warner said: “I accept this honor with deepest humility and acknowledge with profound appreciation the many persons who guided me and otherwise made possible my over 40 years in public service. It has been a privilege to have had the opportunity, sharing the responsibility with others, to maintain the credibility and vitality of the historic UK-US defense relationship, which provides leadership and incentive for other free nations to seek peace through strength. My wife Jeanne, who was born in London, and I both share direct ancestral lineage to the United Kingdom and we quietly reflect on how our parents would have such joy in their hearts with this recognition.”
General William Fraser, British Ambassador Sheinwald, Lady Julia Sheinwald and Senator Warner
• In 1974, Senator Warner was appointed by the President and confirmed by the Senate as Administrator of the American Revolution Bicentennial Administration. In this role, he was the driving force, together with the British Ambassador, behind bringing an original 1215 copy of the Magna Carta to Washington DC in June 1976, where it was kept on public display for one year in the Capitol Rotunda. • He served on the Senate Armed Services Committee for 30 years, and was privileged to be elected by the members as Chairman or Ranking Member during 15 of those years. Senator Warner was involved in all aspects of the United States’ military relationships with its key allies. He took the closest interest in our joint military operations in the Balkans, Iraq, Afghanistan and elsewhere, and helped ensure that Britain secured access to US intelligence and equipment needed for inter-operability between our armed forces. To that end, he has given strong support to the UK-US Defense Trade Cooperation Treaty, signed in 2007.
Highlights of Senator Warner’s biography • Before joining the Senate, Senator Warner served as Under Secretary of the Navy (1969-1972), and as the 61st Secretary of the Navy (1972 - 1974). It was during this time that he worked very closely with Admiral Rickover and the British Government to share nuclear submarine technology.
Ambassador Sheinwald, Lord Inge, former British Chief of Defense Staff, Mrs. Jeanne Warner and Senator Warner
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
49
• Senator Warner has been a frequent visitor to the UK, and has held regular discussions in Washington and the UK with successive British Prime Ministers and Defense and Foreign Ministers. • Senator Warner and his wife Jeanne both share ancestral lineage to the United Kingdom. Particularly, an ancestor of Senator Warner’s, Alexander Stuart, had a Royal connection, having been clerk of the works during the construction of Balmoral Castle and participated in the laying of the Foundation Stone by Queen Victoria in 1853. Alexander Stuart was the brother of Senator Warner’s great great grandfather.
Senator Warner speaking with Des Browne, former British Defense Secretary
Notable American recipients of an honorary knighthood. Leading figures include: • General James JONES, for services to British interests (2007) • Mr. Elie WIESEL, for services to Holocaust Education (2006) • Mr. William (Bill) Henry GATES, for services to education and the voluntary sector in the UK and for global healthcare (2004) • Mr. Rudolf GIULIANI, for services to the families of those killed on 11 September 2001 (2001) • Mr. Steven Allan SPIELBERG, for services to the British film industry (2000) • General Colin POWELL, in recognition of his contribution to the Atlantic alliance and to the defense relationship between Britain and the US (1993) • General Brent SCOWCROFT, for services to UK-US relations (1993)
General Colin Powell speaking with Ambassador Sheinwald
Senator Warner with Mrs. Conway and General James Conway
Lord Inge, former British Chief of Defence Staff and General Colin Powell, former Secretary of State
General David Petraeus with General Powell in the background Mr. Dominick Chilcott, Deputy Chief of Mission, British Embassy 50
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Background on the UK Honours system The UK honours system recognizes exceptional achievement and service to the nation. There are several different types of award, each one recognizing a different type of contribution. All British honours are awarded on merit. Non-British nationals who have made an important contribution to British interests can be nominated for honorary awards. These awards are conferred by HM The Queen on the advice of the Secretary of State for Foreign and Commonwealth Affairs. The Most Excellent Order of the British Empire was founded in 1917. The order honours civilians and service personnel for public service or other distinctions. It is used by HM The Queen to honour non-British subjects who have given outstanding service to the UK, both in the UK and abroad. The honour KBE, which Senator Warner has received, is that of a Knight Commander of the Most Excellent Order of the British Empire. The bestowal of an honorary KBE on a nonBritish citizen does not confer the title ‘Sir’ on the holder. The recipient may put the letters ‘KBE’ after their name, subject to the rules laid down by the authorities of the recipient’s country.
General Powell, Senator Warner and Mrs. Powell
Senator Warner, Senator Chuck Robb and Senator Jim Webb
INTE R N ATION AL
E X E C U T I V E
Thinking About a Second Career? SPECIALIZING IN POST RETIREMENT AND SECOND CAREER PLACEMENTS
Offices located in: Reston, VA Philadelphia, PA Tucson, AZ
S E A R C H
F I RM
If you are thinking of pursuing a second career, consider the opportunities we offer: We are currently conducting a search for Senior Advisors with regional expertise to advise multinational clients in social, political and economic risk factors that are critical components of their global needs. Our clients include international investment, manufacturing, law, pharmaceutical, banking and re-insurance firms. We have a number of full or part-time positions available for appropriately qualified candidates. Ideal candidates will have a minimum of ten years substantive experience in economic, political, diplomatic, financial, or academic institutions and an existing network of high level contacts. Interested candidates should send a cover letter and curriculum vitae as a word attachment via e-mail to Doug@cdwarner.com Please reference CDW-SA-9378 in the subject line of the email. Priority consideration deadline is June 15, 2009. www.cdwarner.com
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
51
Geneal James Conway entering the receiving line for Senator Warner
Mrs. Jeanne Warner, Senator Warner, Mrs. Holly Petraeus and General David Petraeus
General Jim Jones talking with General David Petraeus
General Colin Powell, former Secretary of State and British Ambassador Sheinwald
52
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
National day of the state of kuwait
H.E. Shaikh Salem Al-Sabah, Ambassador of the State of Kuwait to the United States and Mrs. Rima Al-Sabah (R) with H.E. Nabi Sensoy, Ambassador of the Republic of Turkey to the United States and Mrs. Gulgun Sensoy (L)
Congressman Edward R Royce of California, Mrs. Marie Royce and Ambassador Al-Sabah
H.E. Adel Al-Jubeir, Ambassador of the Kingdom of Saudi Arabia to the United States with HRH Prince Abdulaziz bin Talal bin Abdulaziz Al-Saud, Kingdom of Saudi Arabia
Jacqueline Moutran, Embassy of the State of Kuwait; Rev. Roger Story; Mrs. Story; Mark Story (son)
Secretary of Transportation Ray LaHood and Dawn Parker, Diplomatic Connections
(R-L) HRH Prince Abdulaziz bin Talal bin Abdulaziz Al-Saud, Kingdom of Saudi Arabia; Sherry Cooper, Embassy of Saudi Arabia; Dawn Parker, Diplomatic Connections
Marinette Dorkhom, Jumeirah Essex House
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
53
Malta
PUTTING
ON AMERICA’S MAP
MARK MICELI-FARRUGIA Ambassador of Malta to the United States of America
What is the role of the Maltese Ambassador to the United States of America? The role is to: 1. Strengthen bilateral diplomatic relations with the US - Malta’s most influential economic and political ally outside the European Union; 2. Develop business, tourism and educational opportunities between Malta and the US. Malta’s Euro-Mediterranean setting, its business-friendly status, and our people’s fluency in the English language make our islands ideal for investment, residential, schooling and holiday purposes; 3. Protect the consular interests of our citizens or business ventures; 4. Enhance rapport with all Maltese-Americans – an estimated 200,000 including secondgeneration members – and also Americans who have Malta at heart. We are fortunate to have a large number of American friends, many of whom have learnt about us because of our
“Our major challenge is putting tiny Malta on America’s map in a meaningful way! Because Malta is relatively unknown in the US, most Americans are not aware of its inherent potential from a business, tourist or residential perspective.” Interview by Diplomatic Connections Photographs by Daniel Cilia
54
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
inclusion on the popular Mediterranean cruiseliner circuit; 5. Conduct multilateral diplomatic relations with our other international partners, most significantly our European partners. DC is probably the second most important meetingplace for the EU after Brussels.
enjoy the services of internationally recognized legal and accountancy firms. Besides, as a nation, we reflect a multicultural heritage which, over millennia, has bridged the diverse cultures bordering the Mediterranean: north and south; east and west.
What image do you – as Malta – need to project in the US? We need to explain what Malta and its partners have in common, whilst also highlighting what makes Malta so uniquely attractive – whether from an investment, commercial, tourism, or educational perspective. What values do you share with your partners? We cherish, along with our European and Transatlantic partners, common values such as the rule-of-law, democracy, human rights, and international security. We have successfully created in Malta a liberalized market economy which incentivizes foreign direct investment and the repatriation of profits. Also, thanks to our colonial links with Britain in the past, we have built up a pool of English speaking, demonstrably productive, computer-literate workers. We also
What makes Malta so unique? From a business perspective, the differences are essentially locational: Malta and its Freeport are strategically located at the centre of the Mediterranean within close proximity of the potentially growing markets of the EU, North Africa and the Middle East. From a tourism viewpoint, Malta reflects a kaleidoscope of different, milestone-engraving civilizations: • its first inhabitants, the Temple Builders who - between 4,500 – 3,000 BCE - bequeathed to the world the earliest known examples of free-standing architecture. These predate the better-known Giza Pyramids and Stonehenge by at least 1,000 years; • the Phoenicians who – between 1,000 – 200 BCE – transmitted to us the only Semitic language spoken in Europe (yet written in Roman script); • the Roman period, when following the shipwreck of St Paul in 60 AD, Malta became the first European nation converted
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | WINTE R 2 0 0 9
55
to Christianity, later safeguarding Europe’s Christian vocation during the Great Siege of 1565 AD; • the Knights of St John, whose Order – between 1530 – 1798 AD - created in Malta the precursor of a United Europe by binding together the representatives of the leading noble families of eight different European states around a common religious, military and medical mission; • Malta’s legendary role as an “Unsinkable Carrier” when – between 1940 -1942 AD - our indomitable ancestors spearheaded the attacks on Axis shipping lanes and survived the heaviest aerial bombardment inflicted on any Allied nation during World War II. What have been your major satisfactions in your dealings with the US? Thanks to the perseverance of my predecessors and of our collaborators in Malta, we have recently established the bases for a mutually beneficial relationship affecting four critical areas of interest – business, travel, security and refugee-resettlement: 1. Malta’s inclusion in the relative Visa Waiver Program (VWP) in December 2008 permits Maltese citizens to travel to the US for tourism and business purposes for up to 90 days without requiring a visa. The VWP enhances security for all transatlantic travelers. 2. The procurement of valuable US assistance which helps Malta enforce its rule-of-law and fulfill its international security obligations worldwide. In this regard, Malta signed in 2007 two key maritime treaties with the US: the Ship-Boarding Agreement (SBA) which suppresses illicit trafficking of drugs at sea; and the Proliferation Security Initiative (PSI) which overseas the non-proliferation of weapons of mass destruction by sea. Since Malta is the fifth largest flag state in the world, these two agreements permit the US to perform anti-proliferation and anti-drug smuggling inspections on board the large number of Malta-flagged vessels. 56
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
3. The imminent finalization of a Double Taxation Agreement (DTA) with the US whereby tax collection is shared between the country of residence and the country in which it arises, subject to a reciprocal tax-information exchange. In January 2009, President George W. Bush authorized the US Treasury to move the preliminary agreement, initialized by the US Treasury and by Malta’s Ministry of Finance in March 2008, to the Senate Committee on Foreign Relations for ratification. 4. The ongoing assistance by the US in aiding the Resettlement of Political and Economic Refugees. Malta is responsible for policing one of the largest Search and Rescue Regions in the Mediterranean. This region, which is equivalent to the size of the United Kingdom, stretches from Tunisia all the way to Greece. Throughout the year, we are responsible for rescuing, feeding and housing a disproportionately large number of refugees transiting to mainland Europe for political or economic purposes. What remains your major challenge in the US? Our major challenge is putting tiny Malta on America’s map in a meaningful way! Because Malta is relatively unknown in the US, most Americans are not aware of its inherent potential from a business, tourist or residential perspective. Without doubt, Malta’s finest champions are those Americans who have already had the chance to experience Malta’s pleasant Mediterranean climate and comfortable European lifestyle. We are fortunate that the Mediterranean cruise travel sector favored by Americans remains relatively resilient in these challenging times. Thank you, Ambassador Miceli-Farrugia
SOUTH AFRICA WASHINGTON INTERNSHIP PROGRAM SAWIP By the SOUTH AFRICAN EMBASSY Photos from SAWIP and National Day for South Africa
H.E. Welile Nhlapo, South African Ambassador to the United States
58
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Congressman Donald Payne
Congressman John Lewis speaking at the National Day of South Africa
T
he South Africa-Washington Internship Program (SAWIP) will take place in June 2009. Based on the successful Washington-Ireland Program, which has been in place since 1995, focusing on enabling Northern Ireland and Ireland’s youth, SAWIP is designed to empower and develop a new generation of young South African leaders, committed to growing a stronger and more robust civic society. Service, leadership and cultural exchange are some of the values underscoring this innovative program, targeted at South African university students. SAWIP plans to bring 12 students to Washington, DC in June 2009 and is currently recruiting from the Universities of Cape Town, Stellenbosch and the Western Cape. Students participate in a competitive six-week summer internship program in a professional environment. Past placements include the World Bank, Capitol Hill and the American Civil Liberties Union. Students follow a rigorous leadership curriculum which stresses exposure to diverse world views as well as the application of new perspectives in decision-making and leadership. Community service and outreach are emphasized. Previous student-led activities have included the construction of a fruit and vegetable garden at a primary school in Gugulethu in the Western Cape (South Africa) and cross-cultural exchanges at the J.O. Wilson Elementary School in Washington, DC. In the two years following its inception, SAWIP has forged a strong relationship with its key supporters, including, Congressman Donald Payne, Chairman of the Subcommittee on Africa & Global Health and the Phelps Stokes Fund. For further information on this program, visit www.sawip.org or email dheery@worldbank.org
Congressman Lewis with Ambassador Nhlapo
SOUTH AFRICA
(L-R) Mrs. du Toit; Mr. Hennie du Toit, Embassy of South Africa; Mrs. Therese Hansen-McDermott; Congressman Jim McDermott, State of Washington
Misako Ito (R) Director, Japan Information and Culture Center (JICC) Embassy of Japan with (L) Stephen E. Powell, SEPowell Capital
Jaime Rivas, Embassy of South Africa
Mr. and Mrs. Naidoo, Embassy of South Africa
Lt. Col. Anthony W.J. Phillips-Spencer, Defense and Military Attache, Embassy of the Republic of Trinidad and Tobago and his wife, Mrs. Phillips-Spencer
Capt. John T. Segura, USN, Director, Navy Foreign Liaison and his wife, Mrs. Segura with Brig. Gen. Kwame Opong-Kyekyeku, Embassy of Ghana Sthu Zungu, South African Tourism and Nyasha Zimucha, Miss Africa USA 2009 60
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
SOUTH AFRICA
John Martin, President, the Great Atlantic Travel & Tour Company with Ambassador Nhlapo and his wife, Mrs. Sissy Nhlapo
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
61
A Legal Conundrum
A basic premise of law in the United States is that a child born here is considered, as a matter of law, to be an American citizen. By DAN VARA Law Offices of Dan N. Vara, Jr
Yet, there is an exception. That exception is for children born in the U.S. to Diplomats residing in America on official assignment from their home countries. The exception is based on the notion that the status of having immunity from the laws of this land also exempts the persons who hold such immunity from the privileges accorded to those who are otherwise subject to our laws. The exception is a longstanding one, and appears straightforward. However, like most immigration law issues, it is anything but. Because of this exception, a child born in the U.S. to a foreign Diplomat is, in most cases, limited to the possibility of gaining lawful permanent resident (LPR) status. However, to do so, the appropriate application must be filed with the Department of Homeland Security before the child leaves the U.S. and takes up residence anywhere else in the world. Failure to file is, in most cases, deemed an abandonment of the right to claim such status. Beyond that, and in some cases to be referenced later, such a child, and contrary to the presumed exception, may have in fact actually gained U.S. citizenship by birth. Many situations in which the children of Diplomats have been born in the U.S. simply result in the Diplomat and their families departing America upon the termination of their tour of duty. They do so without seeking or taking any action related to the possible privilege of status for their child or children based on such issues as the fact that the Diplomat is not likely to return to the U.S. at later date. However, that is not always the case and when that is the situation, to put it mildly, confusion may reign. In some situations that I have become aware of, such Diplomats have filed for and obtained United States passports for the children born in this country. They have done so simply based on a misunderstanding of the law and usually based on “wordof-mouth” advice that they have received informally from peers, associates and well-meaning friends. Incredibly, this has also resulted in the U.S. State of Department (USDOS) actually issuing American passports for such children. That would normally be a great thing. Although, the fact is that once USDOS discovers the mistake, they issue a passport revocation notice and thereby terminate the right of the passport holder to possess the passport and to claim any right to U.S. citizenship. While this might not create a significant hardship in many cases where the child is very young and the family is no longer
residing in the U.S., imagine the havoc that an abrupt notice from USDOS that your child is not really a U.S. citizen creates when the child, many years later, has returned to the U.S. to attend college, to accept employment or to otherwise start a life in America. In such cases, the impact can, obviously, be devastating. Imagine also what it means to the child’s ultimate ability to obtain citizenship since, as U.S. law would presume, the departure of the child with their family from this country before filing for LPR immigration status for the child has the effect of negating their rights. In such matters, all may seem to be hopeless and the affected child may be left to one option—departing the U.S. and seeking to obtain a nonimmigrant visa that allows him or her to return for a temporary and particular purpose. But, only after seeking, with an often times required seemingly Herculean effort, to clear up any issues that may have been created by the original mistake in action. However, in many cases, the original mistake may be fixable and in a few cases, the original mistake may not be a mistake at all. In some cases, the parents of a child may be able to prove that they, on behalf of the child, never intended to abandon and give up that child’s rights. This is usually an uphill battle. However, if the right facts exist and can be proven, and if the appropriate administrative and/or legal action is taken, the child may be still be able to obtain his or her LPR status. Moreover, and depending on whether the parent actually had full or limited immunity when the child was born, the possibility may exist to prove that the child is in fact a U.S. citizen despite the fact that their parent was a foreign Diplomat at the time of their birth in the U.S. Most of this will turn on the exact facts in a particular case; although, usually turns on such issues as whether the parents did anything to evidence an intent to retain the privilege of applying for LPR status by their child. For instance, taking steps to educate the child in the English language, maintaining a U.S. residence & bank account and taking steps to return to the U.S. with their child or to send their child to the U.S. for extended periods of time for things such as an education. If they exist and are provable, these factors may allow the child to obtain LPR status notwithstanding the noted presumptions. Another very important factor will be whether the parent was in fact on the USDOS “Blue List” and whether the USDOS had officially accorded the parent full diplomatic status before
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
63
the child was born. If these actions had not yet been formally taken, the child may in fact and as a matter of law be a U.S. citizen. Only a complete review of the particular facts of any case will advise as to whether a “child� of a Diplomat affected by the noted issues does in fact have a claim to LPR or U.S. citizenship status. Yet, what should be clear is that until and if such a review evidences that such possibilities are permanently foreclosed, a child of a Diplomat born in the U.S. who may appear to have never gained and/or lost their rights to status as a permanent resident and/or citizen of this country may in fact and instead be on the doorstep to acquiring such status, if desired. Getting legal assistance to help you make that determination and, if your child qualifies, getting legal help to timely and properly present your case before the United States Department of Homeland Security or the U.S. Department of State, are the first and most crucial steps in seeking to address this complex legal scenario. When handled correctly and when the right steps are taken, however, the process available to address the noted conundrum itself is relatively straightforward and the
take an extra Present this ad for
ultimate result should be an official determination that a child born to a diplomat in this country has the right, if he or she chooses, to permanently reside in, or even become a citizen of, the United States. Dan Vara was the INS District Counsel in Miami, Florida from 1990 until 2003. He was also the Chief Counsel, ICE, in Orlando, Florida from 2003 until 2006. As the highest ranking federal immigration attorney in the State of Florida, he was at the forefront of many significant immigration enforcement and national security matters. He was also an instructor on such matters at INS, ICE and FBI conferences. He is now in private practice handling U.S. immigration matters throughout the United States and abroad. If you have a question for Mr. Vara, see contact information by going to: www.dvaralaw.net
All Home Furnishings
PLUS No Interest, No Payments for MONTHS
At Roomstore, you’ll find all the latest styles and colors on quality furniture for your home. Our guaranteed low prices everyday mean you get the furniture you want, when you want At the best price possible. Plus, we are offering employees of your company an additional 10% discount on the latest home furnishings.
64
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Shop on line at www.roomstore.com. Not valid with any other offer or on discounted, damaged, floor sampled or clearance merchandise. *Minimum purchase $499. See store for details.
Contact: Aaron Brown General Manager Roomstore Furniture 1150 Rockville Pike Rockville, MD 20852 301.762.6164
coupon code: EMPL
ITY. ORTUN s P P O ASE ice SUBLE nished off caur lo Two f t. Great en ear K for r owntown n arch D M tion. Available rma. fo St NW r more in ick o r F t Pat 6466 1st. c a t n co 93. tion, 202.2 t a no Manci
HOUSE FOR RENT. Georgetown location. Three stories and 8,750 sq ft. For more information, contact Jean Smith at 202.255.8167
NEED TO BUY OR SELL SOMETHING? POST IT ONLINE.
Classifieds available to post ONLINE NOW! www.diplomaticconnections.com Antiques & Collectibles Business & Industry Health & Beauty Art Clothing & Fashion Home & Garden Autos & Motorcycles Computers & Internet Jewelry & Watches Boats, RV’s & Other Vehicles Electronics & Cameras Movies, Music & TV Books & Magazines Food, Beverage & Tobacco Instruments D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | WINTE R 2 0 0 9Musical 65
Pets & Animals Real Estate Services Sporting Goods Sports Memorabilia
66
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
67
The Ronald Reagan Building and International Trade Center (RRB/ITC), the official World Trade Center for Washington, DC, is a special project of the U.S. General Services Administration (GSA). The facility is conveniently located in the heart of the Federal Triangle on Pennsylvania Avenue and has hosted approximately 600 marquee trade events every year since its inception in 1998. Operated by Trade Center Management Associates (TCMA), the building is a preferred destination for congressional delegations, Cabinet members, and world leaders alike. This week Diplomatic ConnecH.E. Ellen Johnson Sirleaf, President of tions had the opportunity to sit down Liberia; and Andrew Gelfuso, Director, with John Drew, the CEO of TCMA, International Gateway at the Ronald Reagan Building and International Trade and Andrew Gelfuso, the building’s Center trade director, to learn more about the RRB/ITC; specifically, how the facility promotes global commerce and the benefits it provides the diplomatic community. DC: Can you tell me a bit more about the RRB/ITC’s mission? What differentiates your building from other prominent meeting facilities here in DC? John: The building’s mission is simple: bring the country’s best public and private trade resources together under one roof. We’re unique because we serve simultaneously as a conference center, office building, special events venue, World Trade Center, for Washington, DC, and tourist attraction. Some of our notable tenants are USAID, the Wilson Center for Scholars, and several offices of the U.S. Department of Commerce. DC: So, with regard to being a tourist attraction, what might a visitor to the building encounter on a typical day? Andrew: Well, that depends on what’s scheduled. For example, if someone had visited the building over the past few weeks, they may have caught a glimpse of Nobel Prize winner Wangari Maathai, who was here participating in a forum. And recently, a television crew was on-site filming an event attended by the President of Liberia, (H.E.) Ellen Sirleaf Johnson. Both events were open to the public and drew diverse audiences of more than 500 attendees from the federal government, private sector, nonprofits, and diplomatic communities. DC: Your building has a very long name. Why not just call yourself the Ronald Reagan Building? Why do you add “and International Trade Center”? 68
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
Andrew: The “International Trade Center” portion of our name is actually a very important part of our identity. In fact, it was mandated by Congress. Put simply, the Trade Center is a facility within the RBB/ITC. The Center’s distinct mission is to promote American products and services abroad. DC: And how do you do that? Andrew: The International Gateway, which is located on the premises, helps fulfill the mission by providing U.S. businesses the tools, resources, and information they need to compete in the global marketplace. Many of the services we offer our partners are complimentary, including individual consultations, targeted e-blasts, and potential newsletter coverage. DC: You also host events, right? Andrew: Yes, we do. We offer versatile and unique meeting spaces that can be tailored to suit our client’s needs. We can accommodate a meeting for two people or a reception for 3,500. DC: Can you help plan the event? If I want to include food, do I have to hire a caterer or can you handle that, too? Andrew: The International Gateway assists in planning and promoting events hosted in the building. We have an experienced staff capable of handling every detail to ensure your event is flawless. Another group we are particularly proud of is our in-house culinary team. We’ve hired classicallytrained chefs who can prepare just about any dish you can imagine. And, in the spirit of being “green,” we use organic and locally grown ingredients. DC: Thank you for taking the time to speak with me. Is there anything you would like to add? John: If you’re interested in holding an event at the RRB/ITC, that’s international in scope, call (202) 312-1322 to speak diJohn P. Drew, President and CEO of Trade Center Management rectly with a member of the International Associates Gateway. There is one final thing I’d like to mention. If you haven’t already done so, I encourage you to come for a visit, especially if you’re interested in international trade. You’ll find here, in one location, the staff, resources, expertise, and facilities you need to successfully compete in the global marketplace. For a current listing of upcoming trade events being held at the Ronald Reagan Building and International Trade Center visit www.itcdc.com.
TEAM OF EXPERTS ANNOUNCES
Groundbreaking Energy Efficiency Retrofit Project At Empire State Building World’s most famous office building’s more than $500 million upgrade program to incorporate comprehensive project with goal to reduce energy use by nearly 40 percent New York, NY | Clinton Foundation
Amory B. Lovins, Chairman and Chief Scientist of Rocky Mountain Institute, Mayor Bloomberg and President Clinton
NEW YORK – Using the Empire State Building as a test case and model, world-class environmental consulting, non-profit, design and construction partners – including the Clinton Climate Initiative (CCI), Rocky Mountain Institute (RMI), Johnson Controls Inc. (NYSE: JCI) (JCI) and Jones Lang LaSalle (NYSE: JLL) (JLL) – recently unveiled an innovative process for analyzing and retrofitting existing structures for environmental sustainability. Adopted as core elements of the more than $500 million upgrade program presently underway at the world’s most famous office building, the program is the first comprehensive approach that integrates many steps to use energy more productively. The program is expected to reduce energy consumption by up to 38 percent and will provide a replicable model for similar projects around the world. Work has already commenced, and building systems work is slated to be completed by year-end 2010. The balance of the work in tenant spaces should be concluded by end of 2013. Work that is scheduled to be completed within 18 months will result in over 50 percent of the projected energy savings. The balance will be an additional 36 months completed by 2013. 70
w w w. d i p l o m at i c c o n n e c t i o n s . c o m
The project will prove the viability for energy efficiency retrofit projects to dramatically increase building energy efficiency and reduce its overall carbon output with sensible payback periods and enhanced profitability. At the end of the project definition process, the team analyzed the steps to be taken in conjunction with other steps towards sustainability as part of the Empire State ReBuilding program within the framework of the existing USGBC LEED rating system. Internal calculations show that the Empire State Building will be able to qualify for GOLD certification for Leadership in Energy and Environmental Design (LEED) for Existing Buildings, and ownership intends to pursue such certification. “Commercial and residential buildings account for the majority of the total carbon footprint of cities around the world – over 70 percent in New York City. Beginning in February 2008, the Empire State Building has been used as a test bench to create a replicable process to reduce energy consumption and environmental impacts,” said Anthony E. Malkin of building owner, Empire State Building Company. “Most new buildings are built with the environment in mind, but the real key to substantial progress is reducing existing building energy consumption and carbon footprint.” “This innovative process, which has developed new techniques for modeling and organizing an integrated program, offers a clear path to adoption around the world, leading to significant reductions in greenhouse gas emissions,” according to Malkin. “Along with other steps taken, in recycling waste and construction debris, use of recycled materials, and green cleaning and pest control products, the model built at the Empire State Building will meaningfully speed the reduction in energy consumption and environmental impact and allow more sustainable operations – while simultaneously enhancing profitability and tenant comfort. This is a real program, happening in real time, creating real green jobs.” The project partners used existing and newly created modeling, measurement and projection tools in a new and repeatable process to analyze the Empire State Building and establish a full understanding of its energy use as well as its functional efficiencies and deficiencies. This provided actionable recommendations along a cost-benefit curve to increase efficiency and without harming bottom line performance. In reviewing more than 60 optional
activities, the team identified eight economically viable projects, applicable to building-wide renovations, electrical and ventilation system upgrades and tenant space overhauls that will provide a significant return on investment, both environmentally and financially. “In this distressed economic climate, there is a tremendous opportunity for cities and building owners to retrofit existing buildings to save money and save energy,” said President Clinton. “I’m proud of the work my foundation’s climate initiative has done with 40 of the world’s largest cities, including New York where we played a central role in convening a unique set of partners that are working to make the Empire State Building retrofit project possible. It is this kind of innovative collaboration that is crucial to protecting our planet and getting our economy up and running again.” “This project brings to bear every bit of experience, research and innovation we’ve accumulated in our 125 years in this business,” said Iain Campbell, Vice President, Johnson Controls, which serves as the energy services company for the program. “It’s gratifying to know that just as we point to this building as one of the greatest achievements of our grandparent’s generation, so can our grandchildren point to us.” “Not only will this project dramatically reduce the Empire State Building’s environmental impact, but now we’re able to do it in a way that provides meaningful costs savings to the building as well as its tenants,” said Raymond Quartararo, International Director, Jones Lang LaSalle. With an initial estimated project cost of $20 million, additional savings and redirection of expenditures originally planned in the building’s upgrade program, and additional alternative spending in tenant installations, the Empire State Building will save $4.4 million in annual energy savings costs, reduce its energy consumption by close to 40%, repay its net extra cost in about three years, and cut its overall carbon output through eight key initiatives, including: 1. Tenant Energy Management Systems: Introduction of individualized, web-based power usage systems for each tenant to allow more efficient management of power usage. 2. Ventilation Control Upgrade: Introduction of demand control ventilation in occupied spaces to improve air quality and reduce energy required to condition outside air. 3. Whole-Building Control System Upgrade: Upgrade of existing building control system to optimize HVAC operation as well as provide more detailed sub-metering information. 4. Chiller Plant Retrofit: Reuse of existing chiller shells while removing and replacing “guts” to improve chiller efficiency and controllability, including the introduction of variable frequency drives. 5. Air Handler Replacements: Replacement of air handling units with variable frequency drive fans to allow increased energy efficiency in operation while improving comfort for individual tenants.
6. Tenant Lighting, Daylighting and Plug Upgrades: Introduction of improved lighting designs, daylighting controls, and plug load occupancy sensors in common areas and tenant spaces to reduce electricity costs and cooling loads. 7. Radiator Insulation Retrofit: Added insulation behind radiators to reduce heat loss and more efficiently heat the building perimeter. 8. Window Light Retrofit: Refurbishment of approximately 6,500 thermopane glass windows, using existing glass and sashes to create triple-glazed insulated panels with new components that dramatically reduce both summer heat load and winter heat loss. Recently, several initiatives have been launched, including the CCI Building Retrofit program and New York City’s PlaNYC in 2007, which aim to reduce the significant carbon footprint of existing structures in major cities. The pilot program launched today at Empire State Building moves from theoretical and directional steps to quantifiable action plans which can be broadly adopted around the world. Through the tangible actions announced today by the Clinton Climate Initiative, Johnson Controls Inc. and Jones Lang LaSalle, Rocky Mountain Institute, and Empire State Building Company, building owners now have a practical example of an economically intelligent path to be responsible members of the global community. This project can increase the confidence of cities, states and governments worldwide in the viability of programs that make positive changes, now. “To make cities cleaner and more energy efficient, we urgently need a replicable model for retrofitting existing major buildings. This visionary example will help inform and inspire initiatives that can cut carbon emissions, save energy, save money, make jobs, and provide better workplaces in buildings all over the world,” said Amory B. Lovins, Chairman and Chief Scientist of Rocky Mountain Institute. The full analysis process is available online as open-source materials for public use at www.esbsustainability.com and www. esbnyc.com.
D i p l o m a t i c c o n n e c t i o n s B U SINE s S Q U A R TE R LY | SP R IN G 2 0 0 9
71
Did you know... Foreign missions employ a total of 9,681 workers in
Annual Tradeshow October 15, 2009
the District of Columbia with an annual payroll, inclusive of housing allowances, estimated to total $292.5 million. Consumer spending by
Showcase your trade, product and services to the Diplomatic Community by
foreign mission employees
participating in the 2009 Annual Diplomatic
in the District of Columbia
Connections’ Trade Show.
is calculated to total $32.4
This extraordinary event will provide you an
million with this spending.
exclusive opportunity to introduce yourself and your business to hundreds of
Non-payroll spending by
Foreign Dignitaries/Diplomats Staff representatives of the World Bank
foreign missions is estimated
IMF, WHO/PAHO
to total $257.7 million with
OAS
36.5 percent of these outlays
IDB
captured by District-based
EU
businesses.
Pentagon and local United Nation representatives
Foreign missions attract a
all at one venue. The guest list for this event is “by invitation only” and is exclusive to the above mentioned attendees. As a business, you may purchase a trade show table to promote your company to this prestigious, distinguished and affluent community.
“We were delighted with the Diplomatic Connections Events at the German Embassy and the United Nations. The elegance and professionalism of your organization is most impressive. Diplomatic Connections provides a depth of exposure for our services to the Embassies and Missions to the United Nations, which we cannot ordinarily experience.” Arnold Wollman, Vice-President of Admiral Leasing
large volume of day visitors
“Our listing in the Diplomatic Connections publication and participation at the diplomatic event held at the German Embassy provide our pathway to supporting the Diplomatic Community. The publication is a valuable resourse and the event is elegant. Our investment with Diplomatic Connections is money well spent.” Mark J. Deyle, Vice-President - Federal Systems of Ronco Communications & Electronics, Inc.
foreign missions represent
See five (5) pages of testimonials on our website.
Expand your Diplomatic and International market! Call or email us for additional information. Diplomatic Connections 4410 Massachusetts Avenue, NW / Suite 200 Washington, DC 20016 202.536.4810 dparker@diplomaticconnections.com
w w w. D i p l o m a t i c C o n n e c t i o n s . c o m
and business visitors staying overnight; these visitors whose stay in the District is directly linked to services of almost 900,000 hotel-room nights annually and spending totaling $183.4 million in the city for lodging, food, retail purchases and other services. Findings from: “The Economic and Fiscal Impact of Foreign Missions on the Nation’s Capital”, prepared for the National Capital Planning Commission (NCPC) by Stephen S. Fuller, Ph. D., a Professor of Public Policy at George Mason University. June 6, 2002.