lunes, 5 de octubre de 2009

EgYpT!

Egypt

Egypt is one of the most populous countries in Africa and Western Asia. The great majority of its estimated 76 million live near the banks of the Nile River, in an area of about 40,000 square kilometers (15,000 sq mi), where the only arable agricultural land is found. The large areas of the Sahara Desert are sparsely inhabited. About half of Egypt's residents live in urban areas, with the majority spread across the densely-populated centres of greater Cairo, Alexandria and other major cities in the Nile Delta.
At 1,001,450 square kilometers (386,660 sq mi),Egypt is the world's 38th-largest country. In terms of land area, it is approximately the same size as all of Central America, twice the size of Spain, four times the size of the United Kingdom, and the combined size of the US states of Texas and California.
Nevertheless, due to the aridity of Egypt's climate, population centres are concentrated along the narrow Nile Valley and Delta, meaning that approximately 99% of the population uses only about 5.5% of the total land area.

The coastline of Alexandria, Egypt's second largest city Egypt is bordered by Libya to the west, Sudan to the south, and by the Gaza Strip and Israel to the east. Egypt's important role in geopolitics stems from its strategic position: a transcontinental nation, it possesses a land bridge (the Isthmus of Suez) between Africa and Asia, which in turn is traversed by a navigable waterway (the Suez Canal) that connects the Mediterranean Sea with the Indian Ocean via the Red Sea.
history
There is evidence of rock carvings along the Nile terraces and in the desert oases. In the 10th millennium BC, a culture of hunter-gatherers and fishers replaced a grain-grinding culture. Climate changes and/or overgrazing around 8000 BC began to desiccate the pastoral lands of Egypt, forming the Sahara. Early tribal peoples migrated to the Nile River where they developed a settled agricultural economy and more centralized society.By about 6000 BC the Neolithic culture rooted in the Nile Valley.[19] During the Neolithic era, several predynastic cultures developed independently in Upper and Lower Egypt. The Badarian culture and the successor Naqada series are generally regarded as precursors to Dynastic Egyptian civilization. The earliest known Lower Egyptian site, Merimda, predates the Badarian by about seven hundred years. Contemporaneous Lower Egyptian communities coexisted with their southern counterparts for more than two thousand years, remaining somewhat culturally separate, but maintaining frequent contact through trade. The earliest known evidence of Egyptian hieroglyphic inscriptions appeared during the predynastic period on Naqada III pottery vessels, dated to about 3200 BC


tAwy ('Two Lands')in hieroglyphs
A unified kingdom was founded circa 3150 BC by King Menes, giving rise to a series of dynasties that ruled Egypt for the next three millennia. Egyptians subsequently referred to their unified country as tawy, meaning "two lands", and later kemet (Coptic: kīmi), the "black land", a reference to the fertile black soil deposited by the Nile river. Egyptian culture flourished during this long period and remained distinctively Egyptian in its religion, arts, language and customs. The first two ruling dynasties of a unified Egypt set the stage for the Old Kingdom period, c.2700−2200 BC., famous for its many pyramids, most notably the Third Dynasty pyramid of Djoser and the Fourth Dynasty Giza Pyramids.

modern historythe brief French invasion of Egypt led by Napoleon Bonaparte began in 1798. The expulsion of the French in 1801 by Ottoman, Mamluk, and British forces was followed by four years of anarchy in which Ottomans, Mamluks, and Albanians who were nominally in the service of the Ottomans, wrestled for power. Out of this chaos, the commander of the Albanian regiment, Muhammad Ali (Kavalali Mehmed Ali Pasha) emerged as a dominant figure and in 1805 was acknowledged by the Sultan in Istanbul as his viceroy in Egypt; the title implied subordination to the Sultan but this was in fact a polite fiction: Ottoman power in Egypt was finished and Muhammad Ali, an ambitious and able leader, established a dynasty that was to rule Egypt (at first really and later as British puppets) until the revolution of 1952. His primary focus was military: he annexed Northern Sudan (1820–1824), Syria (1833), and parts of Arabia and Anatolia; but in 1841 the European powers, fearful lest he topple Byzantium itself, checked him: he had to return most of his conquests to the Ottomans, but he kept the Sudan and his title to Egypt was made hereditary. A more lasting consequence of his military ambition is that it made him the moderniser of Egypt. Anxious to learn the military (and therefore industrial) techniques of the great powers he sent students to the West and invited training missions to Egypt. He built industries, a system of canals for irrigation and transport, and reformed the civil service. For better or worse, the introduction in 1820 of long-staple cotton, the Egyptian variety of which became famous, transformed Egyptian agriculture into a cash-crop monoculture before the end of the century. The social effects of this were enormous: it led to the concentration of agriculture in the hands of large landowners, and, with the additional trigger of high cotton prices caused by the United States' civil war production drop, to a large influx of foreigners who began in earnest the exploitation of Egypt for international commodity production.

Female nationalists demonstrating in Cairo, 1919.
Muhammad Ali was succeeded briefly by his son Ibrahim (in September 1848), then by a grandson Abbas I (in November 1848), then by Said (in 1854), and Isma'il (in 1863). Abbas I was cautious. Said and Ismail were ambitious developers; unfortunately they spent beyond their means. The Suez Canal, built in partnership with the French, was completed in 1869. The expense of this and other projects had two effects: it led to enormous debt to European banks, and caused popular discontent because of the onerous taxation it necessitated. In 1875 Ismail was forced to sell Egypt's share in the canal to the British government. Within three years this led to the imposition of British and French controllers who sat in the Egyptian cabinet, and, "with the financial power of the bondholders behind them, were the real power in the government."[26] Local dissatisfaction with Ismail and with European intrusion led to the formation of the first nationalist groupings in 1879, with Ahmad Urabi a prominent figure. In 1882 he became head of a nationalist-dominated ministry committed to democratic reforms including parliamentary control of the budget. Fearing a diminishment of their control, Britain and France intervened militarily, bombarding Alexandria and crushing the Egyptian army at the battle of Tel el-Kebir.[27] They reinstalled Ismail's son Tewfik as figurehead of a de facto British protectorate.[28] In 1914 the Protectorate was made official, and the title of the head of state, which had changed from pasha to khedive in 1867, was changed to sultan, to repudiate the vestigial suzerainty of the Ottoman sultan, who was backing the Central powers in World War I. Abbas II was deposed as khedive and replaced by his uncle, Husayn Kamil, as sultan.[29]
In 1906, the Dinshaway Incident prompted many neutral Egyptians to join the nationalist movement. After the First World War, Saad Zaghlul and the Wafd Party led the Egyptian nationalist movement, gaining a majority at the local Legislative Assembly. When the British exiled Zaghlul and his associates to Malta on 8 March 1919, the country arose in its first modern revolution. Constant revolting by the Egyptian people throughout the country led Great Britain to issue a unilateral declaration of Egypt's independence on 22 February 1922.[30] The Kingdom of Egypt lasted from 1922 to its dissolution in 1953.
economy

Egypt's economy depends mainly on agriculture, media, petroleum exports, and tourism; there are also more than three million Egyptians working abroad, mainly in Saudi Arabia, the Persian Gulf and Europe. The completion of the Aswan High Dam in 1970 and the resultant Lake Nasser have altered the time-honored place of the Nile River in the agriculture and ecology of Egypt. A rapidly-growing population, limited arable land, and dependence on the Nile all continue to overtax resources and stress the economy.[57]
The government has struggled to prepare the economy for the new millennium through economic reform and massive investments in communications and physical infrastructure. Egypt has been receiving U.S. foreign aid (since 1979, an average of $2.2 billion per year) and is the third-largest recipient of such funds from the United States following the Iraq war. Its main revenues however come from tourism as well as traffic that goes through the Suez Canal.
Egypt has a developed energy market based on coal, oil, natural gas, and hydro power. Substantial coal deposits are in the north-east Sinai, and are mined at the rate of about 600,000 tonnes (590,000 LT; 660,000 ST) per year. Oil and gas are produced in the western desert regions, the Gulf of Suez, and the Nile Delta. Egypt has huge reserves of gas, estimated at 1,940 cubic kilometres, and LNG is exported to many countries.

Bibliotheca Alexandrina is a commemoration of the ancient Library of Alexandria in Egypt's second largest city.
Egyptian culture has six thousand years of recorded history. Ancient Egypt was among the earliest civilizations and for millennia, Egypt maintained a strikingly complex and stable culture that influenced later cultures of Europe, the Middle East and other African countries. After the Pharaonic era, Egypt itself came under the influence of Hellenism, Christianity, and Islamic culture. Today, many aspects of Egypt's ancient culture exist in interaction with newer elements, including the influence of modern Western culture, itself with roots in ancient Egypt.
Egypt's capital city, Cairo, is Africa's largest city and has been renowned for centuries as a center of learning, culture and commerce. Egypt has the highest number of Nobel Laureates in Africa and the Arab World. Some Egyptian born politicians were or are currently at the helm of major international organizations like Boutros Boutros-Ghali of the United Nations and Mohamed ElBaradei of the IAEA.

lunes, 7 de septiembre de 2009

Economic Crisis in Mexico

Turn on your TV and listen to the news, open up a newspaper near you, turn on the raido.. What do you hear? Chances are you will find something related to the economic crisis.
So we all have heard about it right?
But what's truly behid it all? What does a crisis really mean? Should we really be panicking ?
Who is to blame?
Well we're going to try to clear all that up for you.
First of all Mexico, while getting little attention in 2008, likely deserved it the most. Factories of large international companies and banks closing due to economic crisis, top officials being sacrificed in a drug war that cost more than 4000 lives and a new President being thrown into the fire when Mexico has some of the worst problems in generations was the legacy of Mexico in 2008. While this drama has received little attention since February 2008 when it mostly began, it will likely be a defining factor of media attention in 2009. Latin America, while affected by the latest global recession, is not inexperienced in tightening their belts during economic crisis. The difference between the latest recession however and ones in the past is that Latin America and many of its nations were actually at the pinnacle of exiting the problems of the past and were hit by an economic downturn created by those in the US and Europe who often advised their own governments via the IMF and World Bank and IADB. Many leaders of Latin American states made it clear that the latest problems were not created by them or problems in their own nations, but by the United States, which for better or for worse, for truth or embellishment, is often taken as partly responsible for many problems in Latin America. With the Global Recession, Latin America has fallen off the economic map if you consider the lack of media attention the region has received. No one knows where the money will come from to curb the new debts created in the region, but with processes and institutions in place against inflation and debt, maybe Latin America will pass through this crisis as it often has in the past.
OVERCOMING THE FINANTIAL CRISIS
Despite improved macroeconomic fundamentals, Mexico is being hit hard by the financial crisis and world economic downturn
Mexico is affected severely by the global recession, like many other OECD countries, with negative economic, budgetary and social consequences. Although the banking sector has so far weathered the financial crisis rather well, manufacturing industries are being severely affected by the downturn of global demand, particularly in high-value added industries. Shipments of goods to US markets have plummeted at a fast pace, following a global readjustment of industrial inventories and leading to a sharp contraction of industrial production. Like other emerging markets, Mexico has suffered from reduced net capital inflows, as investments returned to safer havens, contributing to a decline in equity prices, rising interest rate spreads and a large depreciation of the peso. In addition, several country-specific shocks have had adverse consequences, such as the outbreak of influenza A H1N1. Also, the budget has been put under pressure by the sharp decline in energy prices, as oil exports provide a large share of tax revenues, although temporary relief comes from a price hedge and weaker peso. The rise in uncertainty has depressed business and consumer confidence to record lows, which, coupled with tightening credit conditions at home and abroad, is bearing on consumption and investment. Despite the slowdown in activity and declining commodity prices, inflation has remained persistently high as prices of tradables and food are adjusting with a lag.


The authorities should remain vigilant in monitoring overall financial stability, including corporate balance sheets
The financial sector looked relatively sound at the onset of the crisis and its limited exposure to foreign assets and liabilities reduced vulnerability to shocks. Conservative lending policies helped contain credit demand and avoided housing bubbles. The sector remains well capitalised and profitable, which partly reflects strict prudential regulations that limited banks’ asset exposure to currency risk and risky products. High net interest margins and operating costs also provide some cushion for absorbing losses. However, the financial indicators tend to be backward looking and can change rapidly as the economy worsens. The weakening economy and declining asset prices may lead to second round effects on Mexican banks with a feedback to the real economy. Both consumers and enterprises may find it difficult to service their debts, thus affecting the quality of bank portfolios. Vulnerabilities might also arise from the enterprise sector, which relies on foreign sources for close to half of its credit needs, if maturing foreign debt cannot be rolled over. These risks should be monitored closely by the authorities.