Donald Morrison takes
a look at the G20 summit in London and the events that surrounded
it
G20
London Summit: Welfare for Wall Street
Recession is a stealth bomber that comes
inexplicably at night.
Simon Jenkins, The Guardian
The Problem
There are many extremely wearisome sound
bites that have been crafted and bandied about in the midst of
this recession. In the top five have to be expressions like
credit crunch, fiscal stimulus,
toxic debt, sub-prime and any sentence
which somberly repeats the word global. These
beleaguered and overworked expressions were in abundance during
the media frenzy that surrounded the recent G20 summit in
Londons Excel centre situated in the looming shadows of the
now humbled Canary Wharf.
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Obama announced that the summit
represented a "turning point "; Brown deemed
the summit the beginning of a new world order
and Sarkozy marveled at the scale of this
agreement. Yet despite the bombastic nature
of these statements and the gargantuan figures that
seemed to roll off Browns tongue so calmly (perhaps
Brown will not be satisfied until he has said the biggest
number he can imagine in a speech; what comes after a
trillion?) one could not help feeling disappointment and
frustration toward the whole charade. |
Granted, this pervasive sense of frustration
should have been expected by anyone who puts credence in the
homespun edicts that one cannot spend to get out of debt and that
bad behavior should not be rewarded. Both truths seemingly turned
on their head as even more loans and credit are made available on
a global scale through the IMF, and countless protesters were
arrested as the city bankers - whose greed got us to this point
in the first place - only inconvenience is having to dress
down on their way to work.
What further added to this frustration was
the lack of any mainstream media coverage that presented a
substantial and coherent alternative voice on the left to the
neo-liberal agenda which prevails. The lack of alternative
journalism coupled with the sheer brutality of the metropolitan
police, with tragically fatal consequences, lends weight to the
ever watchful words of John Pilger when he describes Britain now
as a centralised single-ideology state.
This pervasive single-ideology
or market fundamentalism that has striven to create a global
hegemony post-cold war has now been shaken to its very core by
the recession (not quite the end of history as
Fukuyama would have had us believe). No amount of police
aggression, new lines of credit and slick media sound bites can
hide the inherent contradictions within the capitalist system
which have now been laid bare.
In the midst of this ongoing media frenzy it
is time to reflect on what happened at the G20 London summit. In
particular how riot police, looking and behaving more and more
like futuristic storm troopers, dealt with the protesters and
also what our glorious leaders have decided to do in our name and
with our public money in order to stabilise the
patient.
The Patient
Barrack Obamas analogy of the global
capitalist system as a sickly patient was fitting as Gordon Brown
seemed to take on the consolatory tone of a confident yet
concerned doctor. His bedside manner was impeccable as he left
the theatre to deliver his diagnosis and remedy to the
worlds media - a $1 trillion global enema. His speech
clearly exuded confidence as this trickled into the global
markets which closed up 4%. His performance won praise from
business and world leaders alike. However, despite talk of
stabilisation and recovery there is a
dawning realisation on much of the worlds population that
the illness has merely been abated and that the worst is still to
come - that the patients condition may in fact be terminal.
However, it is the end of an era and the G20
summit has been dubbed historic as not since Bretton
Woods in 1944 has there been such a reordering of the
global economic model. As John Wright points out, the fact
that twenty countries met and not just the usual eight highlights
the emerging roles of China, Brazil and India not just as sources
of cheap labour but also as expanding markets for export.
Furthermore, the summit marks a transition
in capitalism, a transition which has already happened on a
national level in the UK, that is a move from the
Washington Consensus hands-off model of economics to
a Keynesian state-interventionist approach.
Only a few months ago the financial world
would carp about any form of regulation or punitive
taxation that encroached on their free trade yet now, with
many of the leading banks bailed out with public money, they dare
not complain. In fact, as Tommy Sheridan has pointed out, they
have been revealed for what they are - subsidy
junkies.
So after much wrangling and the usual
transatlantic tensions a nine page communiqué was drafted making
six key pledges to reform and rejuvenate the stagnating economy.
In relation to new regulation these pledges included tighter
controls on the previously unaccountable shadow banking system
(hedge funds), better accounting standards, naming-and-shaming of
tax havens, a curb on how much banks can lend in relation to
their capital and a clampdown on banking staff rewards for doing
dangerous deals. Much of this work will be overseen
by a new super-regulatory body in the form of the Financial
Stability Forum.
Brown and Obama were unable to get a global
stimulus package off the ground in the face of joint
Franco-German opposition. Nevertheless, Brown did manage to patch
together promises from, amongst others, China and Saudi Arabia
(despite shocking human rights abuses their money is still green)
to loan a staggering $1.1tr to boost the International Monetary
Fund and a $250bn injection into international trade deals which
have ground to a halt.
This extra money will largely go to Eastern
European member counties who have been badly affected as
international streams of investment have dried up. Will the UK,
perhaps under a future Tory government, have to take out an IMF
loan one day soon? Memories of Denis Healey come to mind.
When looking over the details of the
communiqué one cannot help but ask the overwhelming question: is
that it? In essence the grand achievements of the G20 summit
amount to regulation that has come too late and the promise of
even more loans and credit on an unprecedented level to prop up
an already grossly imbalanced and exploitative system. As Nobel
prize-winning economist Joseph Stiglitz pointedly observed
pumping millions in public money into bankrupt banks was
far worse than nationalisation: it is the privatisation of
gains and the socialising of losses.
In a global summit such as this one where
was the pressure to safeguard the jobs and pensions of workers
all over the world? Where was the commitment to safeguard life
line services and ensure levels public spending? And where is the
commitment to seriously invest in innovative green technologies?
The fact that any green commitments were
relegated to the final two paragraphs of the communiqué, a mere
vague and uncosted afterthought, is a shaming indictment on the
priorities of world leaders. As George Monbiot powerfully
expounded the looming climate breakdown, peak oil and
resource depletion will all dwarf the current financial
crisis
No expense has been spared to save the banks. Every
expense has been spared to save the biosphere.
Yes, more public money in private hands may
stop certain companies going to the wall but there is nothing to
stop these companies then searching for even cheaper sources of
labour and enforcing even more draconian conditions on the
working classes they customarily exploit in sweatshops across the
developing world.
Countries that have become reliant on
foreign investment will be first in line for new IMF loans;
Hungary and the Ukraine have been the latest recipients. However,
the conditions attached to these loans are punitive. The IMF
routinely force recipient governments to privatise what should be
public services, cut public spending, hike up taxes and
deregulate the economy allowing new international co-operations
to invest and thus strangle domestic business. There are
countless examples of the misery the IMF and the World
Banks structural adjustment programmes have
caused from Indonesia to Nicaragua many impoverished peoples are
being penalised for loans they did not take and probably know
very little about. As Noam Chomsky explained in 2005:
Indonesia can't pay off its
subsequent debt, so who's supposed to pay it? Poor people in
Indonesia are paying for it - they're subjected to Structural
Adjustment Programmes - so they get strangled in order to pay off
the loans that they never borrowed in the first place.
As Wright forcibly states the IMF structural
adjustment programmes turn governments of the developing world
against their own population, they become in essence enforcers
working on behalf of global co-operations more IMF loans
mean further austerity for working people the world over.
On a domestic front things look set to
continue on a grim trajectory. Under New Labour the UK has seen
its heavy industry and manufacturing base continue to evaporate;
the trade deficit has exploded; unemployment is set to go through
the three million mark and the Council of Mortgage Lenders have
released data showing that 900,000 homeowners have fallen into
negative equity. What is more, many commentators have predicted
that future budgets will see cuts in public spending and rises in
tax. What has been hailed as a new world order in the
economic sphere is in reality for most of the worlds
population simply more of the same old grey unsustainable
capitalist greed.
The Police
There is no doubt whatsoever that the police
tactics during the G20 protest were systematically thuggish and
brutal, reminiscent of the sever heavy-handedness meted out to
protesters at the 2005 G8 protest in Gleneagles. The word
systematically is key here as this was not just a few
maverick officers running amok momentarily intoxicated by the
sense of power a shield and baton afford, but rather a certain
culture and attitude toward protesters which saturates much of
the Metropolitan force from the top down. The fact that
this was dubbed Operation Glencoe after the
notorious Highland massacre gives us a worrying insight into the
prevailing ethos.
| From the very start the Met sought to
portray protesters as criminals with evil
designs and prior to the G20 protest had been
talking-up the likelihood of violence for
weeks. Monbiot described how the police briefed
journalists and companies in the City about the
evil designs of environmental campaigners yet
failed to allow these very campaigners to put forward
their side of the story, even rebuffing them when they
tried to openly explain their plans. |
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Monbiot also draws attention to a recent
parliamentary report on human rights on the week leading up to
the protest which focuses on misuse of police powers in relation
to protesters. "Whilst we recognise police officers should
not be placed at risk of serious injury," the report said,
"the deployment of riot police can unnecessarily raise the
temperature at protests." As thousands of riot police
descended on the City it is clear that this report was blatantly
ignored by the Met bosses.
Furthermore, it is systematic failures
within the Met which have allowed police officers, dubbed by The
Independent as secret police, to cover up or remove
their shoulder number. This underhand practice was also prevalent
at the Gleneagles G8 demonstration and has allowed certain
officers to see themselves above complaint or reprimand as the
video footage of a large baton-wielding officer
striking a small woman on the leg clearly demonstrates. This
woman, now revealed as Nicola Fisher, likened it to being
whipped by the Taliban.
The police tactic known as
kettling has also come under fierce criticism. An
indiscriminate tactic used to cordon off and hold protesters in a
police pen for hours without access to water or toilet
facilities.
The result of this unhinged and provocative
show of force by the Met vindicated their prediction of violence
during the event - they just failed to mention that they would be
the cause. It also ultimately and tragically ended in the death
of Ian Tomlinson, a 47 year old newsagent who was pushed to the
ground by a police officer and subsequently died moments after
trying to get through the crowd to watch a football game.
What has been telling about the police is
how they have shifted ground as the whole tragedy has slowly been
revealed. At first the Met statement said that officers were
being pelted with bottles and tried to save Tomlinson. Yet
ensuing amateur video footage revealed on the net shows
Tomlinson, hands in pockets, walking away from the police then
being struck and pushed by officers from behind
unequivocally a victim of unprovoked, unchecked police
aggression.
A further example of shifting grounds takes
the form of Nick Hardwick, chairman of the Independent Police
Complaints Commission (IPCC), who stated on a Channel Four
interview that there was categorically no CCTV footage of the
incident because there were no cameras in the area. However, on
the Tuesday pictures were published that clearly showed CCTV
cameras in the area. The IPCC had to swiftly change its stance
admitting that Hardwich had been mistaken and that
there were in fact three CCTV cameras in the area it just
happened that none of them were working.
What has compounded this staggering
incompetence is the second pathologist report which revealed that
Tomlinson did not die of heart failure, which the original now
discredited report stated, but of abdominal bleeding, bleeding
which could have been caused by a sever blow to the body. Paul
King, Ian Tomlinsons son, stated: First we were told
there had been no contact with the police, then we were told he
died of a heart attack; now we know he was violently assaulted by
a police officer and died from internal bleeding.
The disgraceful behavior of the Met is
however part of a larger problem, a symptom of the vanishing
civil liberties that have been ripped from the heart of our civil
society by Blair, and continues unabated under Brown in the name
of the war on terror. This slow erosion of public
liberty has concomitantly seen the executive arm of government
gain more powers. The surveillance powers bestowed on local
councils, prolonged detention without trial for terror suspects,
ID cards, the DNA database, the arrest of a junior civil servant
and an Opposition MP all seem part of this worrying slide toward
a McCarthyite style police state.
The fact that police had tried to link Shami
Chakrabarti, director of Liberty and an extremely effective
critic of the government, to the Home Office leak is further
evidence of the anti-terrorist police taking on a repressive
role. Clearly, the events surrounding the G20 summit demonstrate
the continuing erosion of our right to freely protest and our
right to free speech.
The People
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Despite this trend thousands of brave
people from all walks of life exercised their rights and
assembled for two days of protests in the centre of
London in front of the worlds media. The mood was
one of understandable anger and the message was clear:
the working peoples of the world and their families
should not have to pay for the actions of the capitalist
few. People called for a fairer
world, secure jobs, secure pensions, a sustainable future
and an end to privatisation, war and poverty. Idealism in
its best sense is alive and well in the world today and a
democratic socialist society is as practical and
achievable as it has ever been. It is up to socialists to point the
way to a genuinely new world order - not one based on
individual greed and corporate empire but an order in
which equality, freedom, sustainability and peace form
the axis on which the world spins. |