Migrants camping on the border between Hungary and Serbia near Roeszke. Istvan Ruzsa / AFP Photo
Migrants camping on the border between Hungary and Serbia near Roeszke. Istvan Ruzsa / AFP Photo

Who profits as the EU militarises its borders?



The defence industry has never been happier. With sales at unprecedented levels – US$65 billion (Dh 238bn) in 2015, according to the Global Defence Trade Report – France, the United States, Canada and Britain have become global leaders in arms exports. The Middle East is the largest importing region and weapons companies such as Raytheon, Oshkosh, Thales, General Dynamics, Northrop Grumman and Lockheed Martin are benefiting from continuing conflicts in Syria, Iraq and beyond.

These economic advantages are now expanding further afield. The refugee crisis engulfing Europe over the past 18 months has caused untold misery, with thousands drowning in the Mediterranean, racist attacks against Arab arrivals and restive populations increasingly turning against migrants fleeing Syria, Afghanistan, Libya, Iraq and Africa.

But largely ignored in the commentary and reporting from European countries struggling to cope has been the financial beneficiaries of huge migration: the arms manufacturers, private security corporations, and intelligence and surveillance multinationals. For them, Europe’s desperate desire to militarise and monitor its borders has led to a huge surge in profits.

After the attacks in Paris last November, share prices in some of these defence firms rose strongly. Lockheed Martin executive vice president Bruce Tanner told a Credit Suisse conference in West Palm Beach in the US in December that there were “indirect benefits” from the war in Syria. There was “an intangible lift because of the dynamics of that environment and our products in theatre”, such as F-22s and F-35 jets.

A recent report from NGOs Stop Wapenhandel and Transnational Institute, Border Wars, provides comprehensive evidence of Europe’s zeal to outsource its border security and explains the direct link between wars in the Middle East and profits from European policies.

The European Commission wants to reform its border security agency Frontex into a more influential European Border and Coastguard Agency. This will mean even greater windfalls for defence multinationals. The report explains that the European border security industry was estimated at €15 billion (Dh61.6bn) in 2015 and is predicted to rise to more than €29 billion annually by 2022. The budget of Frontex increased 3,688 per cent between 2005 and 2016 from €6.3m to €238.7m and European states are obliged to strengthen their borders as a condition of membership.

“There is one group of interests that have only benefited from the refugee crisis, and in particular from the European Union's investment in ‘securing its borders’,” the Border Wars report finds. “They are the military and security companies that provide the equipment to border guards, the surveillance technology to monitor frontiers, and the IT infrastructure to track population movements.”

Crucially, the report shows that “far from being passive beneficiaries of EU largesse, these corporations are actively encouraging a growing securitisation of Europe's borders, and willing to provide ever more draconian technologies to do this”. The large defence players in Europe include Airbus, Finmeccanica, Thales, Safran and Indra.

Finmecannica, Thales and Airbus are key lobbyists with the privately run European Organisation for Security and they push for tighter border security. Many of their suggestions, including the establishment of a cross-border security agency, have been adopted by the EU.

These companies are also three of the top four European arms traders selling weapons to nations in the Middle East and Africa that are experiencing the greatest unrest and fuelling refugees fleeing for their lives. In other words, these companies are making money from both selling weapons to repressive regimes and benefiting from the human fallout in Europe.

It’s a convenient convergence of interests and has generated virtually no public outcry. This is because populations across Europe are increasingly voting for political parties that believe in tight border controls and express little sympathy for outsiders trying to get in. The recent Brexit vote in Britain was won largely on a small majority of citizens wanting to “take back control of our borders”. The fact that this can only be achieved by privatising the border security network – states don’t have the technology or expertise to do it themselves – is either unknown or seen as a necessary evil.

Israeli firms are the only non-European receivers of research grants for border security under a 1996 agreement between Europe and Tel Aviv. This has already led to Hungary and Bulgaria expressing serious interest in 2015 of establishing high fences reminiscent of the barrier separating Israel and Egypt and Israel’s separation barrier through the occupied West Bank. Israel’s decades of experience controlling millions of Palestinians in the West Bank and Gaza, through drones, fences, walls, weapons and surveillance, is the perfect experience Europe craves during its current crisis.

Writer and activist Jeff Halper calls this the “global pacification industry”, parlaying years of occupation and battle-tested technology in the service of controlling borders and people. For example, Israel Aerospace Industries has worked with Airbus to create a surveillance drone, used in Gaza, to track refugees in Europe.

The privatisation of Europe’s borders is accelerating even as the number of refugees arriving on the continent has fallen this year. The EU has a long-term plan to militarise its borders and be prepared for any further influx of unwanted migrants. Defence firms making a fortune from migration flows should make us question the morality of the world’s obsession with the outsourcing culture.

Antony Loewenstein is a Jerusalem-based independent journalist and author

On Twitter: @antloewenstein

COMPANY PROFILE
Name: ARDH Collective
Based: Dubai
Founders: Alhaan Ahmed, Alyina Ahmed and Maximo Tettamanzi
Sector: Sustainability
Total funding: Self funded
Number of employees: 4
ODI FIXTURE SCHEDULE

First ODI, October 22
Wankhede Stadium, Mumbai

Second ODI, October 25
Maharashtra Cricket Association Stadium, Pune

Third ODI, October 29
Venue TBC

West Asia Premiership

Dubai Hurricanes 58-10 Dubai Knights Eagles

Dubai Tigers 5-39 Bahrain

Jebel Ali Dragons 16-56 Abu Dhabi Harlequins

SPECS

Toyota land Cruiser 2020 5.7L VXR

Engine: 5.7-litre V8

Transmission: eight-speed automatic

Power: 362hp

Torque: 530Nm

Price: Dh329,000 (base model 4.0L EXR Dh215,900)

Cryopreservation: A timeline
  1. Keyhole surgery under general anaesthetic
  2. Ovarian tissue surgically removed
  3. Tissue processed in a high-tech facility
  4. Tissue re-implanted at a time of the patient’s choosing
  5. Full hormone production regained within 4-6 months
Ziina users can donate to relief efforts in Beirut

Ziina users will be able to use the app to help relief efforts in Beirut, which has been left reeling after an August blast caused an estimated $15 billion in damage and left thousands homeless. Ziina has partnered with the United Nations High Commissioner for Refugees to raise money for the Lebanese capital, co-founder Faisal Toukan says. “As of October 1, the UNHCR has the first certified badge on Ziina and is automatically part of user's top friends' list during this campaign. Users can now donate any amount to the Beirut relief with two clicks. The money raised will go towards rebuilding houses for the families that were impacted by the explosion.”

Why your domicile status is important

Your UK residence status is assessed using the statutory residence test. While your residence status – ie where you live - is assessed every year, your domicile status is assessed over your lifetime.

Your domicile of origin generally comes from your parents and if your parents were not married, then it is decided by your father. Your domicile is generally the country your father considered his permanent home when you were born. 

UK residents who have their permanent home ("domicile") outside the UK may not have to pay UK tax on foreign income. For example, they do not pay tax on foreign income or gains if they are less than £2,000 in the tax year and do not transfer that gain to a UK bank account.

A UK-domiciled person, however, is liable for UK tax on their worldwide income and gains when they are resident in the UK.

How Apple's credit card works

The Apple Card looks different from a traditional credit card — there's no number on the front and the users' name is etched in metal. The card expands the company's digital Apple Pay services, marrying the physical card to a virtual one and integrating both with the iPhone. Its attributes include quick sign-up, elimination of most fees, strong security protections and cash back.

What does it cost?

Apple says there are no fees associated with the card. That means no late fee, no annual fee, no international fee and no over-the-limit fees. It also said it aims to have among the lowest interest rates in the industry. Users must have an iPhone to use the card, which comes at a cost. But they will earn cash back on their purchases — 3 per cent on Apple purchases, 2 per cent on those with the virtual card and 1 per cent with the physical card. Apple says it is the only card to provide those rewards in real time, so that cash earned can be used immediately.

What will the interest rate be?

The card doesn't come out until summer but Apple has said that as of March, the variable annual percentage rate on the card could be anywhere from 13.24 per cent to 24.24 per cent based on creditworthiness. That's in line with the rest of the market, according to analysts

What about security? 

The physical card has no numbers so purchases are made with the embedded chip and the digital version lives in your Apple Wallet on your phone, where it's protected by fingerprints or facial recognition. That means that even if someone steals your phone, they won't be able to use the card to buy things.

Is it easy to use?

Apple says users will be able to sign up for the card in the Wallet app on their iPhone and begin using it almost immediately. It also tracks spending on the phone in a more user-friendly format, eliminating some of the gibberish that fills a traditional credit card statement. Plus it includes some budgeting tools, such as tracking spending and providing estimates of how much interest could be charged on a purchase to help people make an informed decision. 

* Associated Press 

The alternatives

• Founded in 2014, Telr is a payment aggregator and gateway with an office in Silicon Oasis. It’s e-commerce entry plan costs Dh349 monthly (plus VAT). QR codes direct customers to an online payment page and merchants can generate payments through messaging apps.

• Business Bay’s Pallapay claims 40,000-plus active merchants who can invoice customers and receive payment by card. Fees range from 1.99 per cent plus Dh1 per transaction depending on payment method and location, such as online or via UAE mobile.

• Tap started in May 2013 in Kuwait, allowing Middle East businesses to bill, accept, receive and make payments online “easier, faster and smoother” via goSell and goCollect. It supports more than 10,000 merchants. Monthly fees range from US$65-100, plus card charges of 2.75-3.75 per cent and Dh1.2 per sale.

2checkout’s “all-in-one payment gateway and merchant account” accepts payments in 200-plus markets for 2.4-3.9 per cent, plus a Dh1.2-Dh1.8 currency conversion charge. The US provider processes online shop and mobile transactions and has 17,000-plus active digital commerce users.

• PayPal is probably the best-known online goods payment method - usually used for eBay purchases -  but can be used to receive funds, providing everyone’s signed up. Costs from 2.9 per cent plus Dh1.2 per transaction.

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Vidaamuyarchi

Director: Magizh Thirumeni

Stars: Ajith Kumar, Arjun Sarja, Trisha Krishnan, Regina Cassandra

Rating: 4/5

 

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COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding

Director: Laxman Utekar

Cast: Vicky Kaushal, Akshaye Khanna, Diana Penty, Vineet Kumar Singh, Rashmika Mandanna

Rating: 1/5