Ethiopian army chief, regional president killed

Agencies
June 23, 2019

Addis Ababa, Jun 23: Ethiopia's army chief and the president of a key region have been shot dead in a wave of violence highlighting the political instability in the country as Prime Minister Abiy Ahmed tries to push through reforms.

The latest unrest in the Horn of Africa nation flared on Saturday afternoon in Amhara, one of nine autonomous regions, when a "hit squad" attacked a meeting of top officials, Abiy's office said Sunday.

Spokeswoman Billene Seyoum told journalists the attack was led by Amhara's security chief Asaminew Tsige, and resulted in regional president Ambachew Mekonnen and another top official being shot.

The men were "gravely injured in the attack and later died of their wounds," she said.

"Several hours later in what seems like a coordinated attack, the chief of the staff of the national security forces Seare Mekonnen was killed in his home by his bodyguard" in the capital Addis Ababa, she added.

Also shot dead was a retired general who had been visiting him, Billene added.

The bodyguard has been apprehended while Asaminew is still on the loose, sources said.

The link between the two attacks was not immediately clear.

The internet has been cut nationwide since Saturday evening, after being severed for much of the previous week.

A journalist in the regional capital Bahir Dar told AFP shooting had begun shortly after sunset and continued for several hours before ceasing.

The United States embassy issued alerts about reported gunfire in the capital Addis Ababa, and violence around Amhara's main city Bahir Dar.

An analyst said Saturday's incident showed the seriousness of the political crisis in Ethiopia, where efforts by Abiy to loosen the iron-fisted grip of his predecessors and push through reforms have unleashed a wave of unrest.

"These tragic incidents, unfortunately, demonstrate the depth of Ethiopia's political crisis," said International Crisis Group analyst William Davison.

"It is now critical that actors across the country do not worsen the instability by reacting violently or trying to exploit this unfolding situation for their own political ends," the expert said.

Amhara in Ethiopia's northern highlands is the homeland of the ethnic group by the same name and is the birthplace of many of its emperors as well as the national language Amharic.

The Amhara are the second-largest ethnic grouping after the Oromo, and both spearheaded two years of anti-government protests which led to the resignation of former prime minister Hailemariam Desalegn.

Abiy, an Oromo, took power in April 2018 and has been lauded for a string of efforts to reform a nation which has known only the authoritarian rule of emperors and strongmen.

He has embarked on economic reforms, allowed dissident groups back into the country, sought to crack down on rights abuses and arrested dozens of top military and intelligence officials He also sealed a peace deal with neighbouring Eritrea, a longtime foe.

However, the loosening of the reins has also unleashed a wave of unrest.

Ethiopia's 1995 constitution, written by the Ethiopian People's Revolutionary Democratic Front (EPRDF) after it unseated the Derg military junta in 1991, partitioned the country into nine autonomous regions with borders following ethnic lines.

The EPRDF itself is a coalition of four parties from Oromia, Amhara, Tigray and the Southern Nations, Nationalities, and Peoples' Region.

Observers say that Abiy's plans to hold an election in 2020 have stirred up resentment in local politics, with other regional parties contesting the hold of those within the EPRDF, and seen a rise in ethnonationalism.

At the same time, longstanding tensions in a country of more than 80 ethnic groups have burst into the open, often over land and resources in Africa's second-most-populous nation.

Over a million people have been displaced by ethnic clashes, which analysts attribute to multiple causes, such as the weakening of the once all-powerful ruling EPRDF and different groups trying to take advantage of opportunities presented by the political transition.

In other regions, dozens of people have been killed in the last few months in clashes between residents of northern Benishangul Gumuz and Amhara states.

The security chief Asaminew, accused of being behind the attack in Amhara, was in 2018 released from prison after being held over a 2009 coup plot by the armed opposition group Ginbot 7 and Davison described him as an Amhara hardliner.

The coup attempt comes a year after a grenade explosion at a rally Abiy was addressing left two people dead.

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Agencies
June 21,2020

New Delhi, June 21: Diesel prices rise to record high after 60 paise hike in rates, petrol up 35 paise; rates up by Rs 8.88 and Rs 7.97 in 15 days.

Petrol price in Delhi was hiked to Rs 79.23 per litre from Rs 78.88, while diesel rates were increased to Rs 78.27 a litre from Rs 77.67, according to a price notification of state oil marketing companies. 

In Bengaluru, petrol will be costlier by 37 paise at Rs 81.81 per litre, while diesel will cost 57 paise more per litre at Rs 74.43.

Rates have been increased across the country and vary from state to state depending on the incidence of local sales tax or VAT.

The 15th daily increase in rates since oil companies on June 7 restarted revising prices in line with costs after ending an 82-day hiatus in rate revision, has taken diesel prices to a new high. The petrol price too is at a two-year high.

Over 63 per cent of the retail selling price of diesel is taxes. Out of the total tax incidence of Rs 49.43 per litre, Rs 31.83 is by way of central excise and Rs 17.60 is VAT. 

Petrol in Mumbai costs Rs 86.04 per litre and diesel is priced at Rs 76.69.

Prior to the current rally, the peak diesel rates had touched was on October 16, 2018 when prices had climbed to Rs 75.69 per litre in Delhi. The highest-ever petrol price was on October 4, 2018 when rates soared to Rs 84 a litre in Delhi.

When rates had peaked in October 2018, the government had cut excise duty on petrol and diesel by Rs 1.50 per litre each. State-owned oil companies were asked to absorb another Re 1 a litre to help cut retail rates by Rs 2.50 a litre.

Oil companies had quickly recouped the Re 1 and the government in July 2019 raised excise duty by Rs 2 a litre.

The government on March 14 hiked excise duty on petrol and diesel by Rs 3 per litre each and then again on May 5 by a record Rs 10 per litre in case of petrol and Rs 13 on diesel. The two hikes gave the government Rs 2 lakh crore in additional tax revenues.

Oil PSUs Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL), instead of passing on the excise duty hikes to customers, adjusted them against the fall in the retail rates that was warranted because of a decline in international oil prices to two-decade lows.

International oil prices have since rebounded and oil firms are now adjusting retail rates in line with them.

In 15 days of hike, petrol price has gone up by Rs 7.97 per litre and diesel by Rs 8.88 a litre.

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News Network
May 27,2020

New Delhi, May 27: As per the prediction from the IMD, severe heatwave conditions continued in several parts of north India with Delhi recording the country’s second-highest temperature at 47.6 degrees Celsius. On the other hand, Churu in Rajasthan sizzled at 50 degrees Celsius, reporting the highest temperature in the country. Also Read - Delhi Temperature: Heatwave to Continue, IMD Issues Alert, Mercury Rises to 46 Degrees

In Delhi, the mercury soared to 47.6 degrees Celsius in Palam area and most places recorded their maximum temperatures six notches above normal. The Safdarjung Observatory, which provides representative figures for the city, recorded a maximum of 46 degrees Celsius.

The last time when the mercury at the Safdarjung weather station touched the 46-degrees-Celsius mark was on May 19, 2002.

The IMD said the weather stations at Lodhi Road and Aya Nagar recorded their respective maximum at 45.4 degrees and 46.8 degrees Celsius.

In its earlier forecast, the IMD has said that dust storm and thunderstorm with winds gusting up to 60 kilometres per hour is likely over the National Capital Region on Friday and Saturday.

On the other hand, severe heatwave conditions prevailed in several parts of Rajasthan on Tuesday, with the mercury touching 50 degrees Celsius in Churu district.

The IMD said this is the second-highest maximum temperature recorded in Churu district in the month of May in the last 10 years.

Other areas such as Bikaner, Gangangar, Kota and Jaipur recorded maximum temperatures of 47.4 degrees Celsius, 47 degrees Celsius, 46.5 degrees Celsius and 45 degrees Celsius, respectively.

In the adjoining areas of Chandigarh, the severe heatwave condition continued in Haryana, Punjab with Hisar being the hottest place in the region at 48 degrees Celsius.

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News Network
March 21,2020

Mar 21: India’s economy, already in the grip of a slowdown, is in for more pain after Prime Minister Narendra Modi appealed to citizens to stay at and work from home to curb the coronavirus outbreak.

The services sector, which accounts for about 55% of India’s gross domestic product, is poised to be the worst hit after Modi, in a late evening address on Thursday, urged citizens to go on a self-imposed curfew for a day and private companies to allow employees to work from home for longer. In the country’s vast informal sector, social-distancing measures could mean a dent to productivity and consumption because of job or pay losses.

“The impact of a partial lock-down or social distancing will be significant,” said Rahul Bajoria, a senior economist at Barclays Plc in Mumbai. “If there’s a widespread community outbreak, GDP could fall as low as 3.5% in the year starting April 1.”

Shrinking output may limit growth in an economy that’s already set to expand at an 11-year low of 5% in the current year to March 31. Before the virus outbreak, India had forecast growth to recover to 6%-6.5% in the next fiscal year. S&P Global Ratings and Fitch Ratings have already slashed their growth forecast by 50 basis points.

“The current social-distancing measures will severely impact airlines, hotels, malls, multiplexes, restaurants and retailers,” according to analysts at Crisil Ltd., the local unit of S&P Global. “Lower footfalls and occupancies, decline in business volume and sub-optimal operating efficiencies will impact cash flows of companies in these sectors,” wrote the analysts led by Chief Economist Dharmakirti Joshi.

The government will try to announce a relief package for virus-affected sectors as early as possible, Finance Minister Nirmala Sitharaman said Friday.

In a televised address, Modi advised all citizens to stay at home for a day on March 22, as he sought to stem the spread of the coronavirus -- cases of which are relatively low in India at about 200, compared with more than 200,000 infected people globally. His government also barred incoming flights for a week from that day, joining a growing list of countries effectively sealing their borders.

What Bloomberg’s Economists Say

We had only earlier this week lowered our GDP outlook to consider the direct impact of the local outbreak as confirmed virus cases exceeded 100 as of March 15 and the federal and state governments announced social distancing measures that have already started to crimp economic activity. We are now revising down our GDP estimate for 4Q fiscal 2020 to 3.3%, from our 3.5%.

-- Abhishek Gupta, India economist

For more, click here

“Consumption being the biggest component of GDP, a lock-down is bound to have a big impact on the economy,” said Devendra Kumar Pant, chief economist at India Ratings and Research, the local unit of Fitch. “Modeling uncertainty in any system will be very difficult, but one can say the slowdown could deepen or prolong further.”

Work From Home

While companies, including billionaire Mukesh Ambani-controlled Reliance Industries Ltd., are asking employees to work from home, the option isn’t feasible in India’s vast informal sector.

“The option to work remotely simply won’t exist for most,” said Shilan Shah, an economist with Capital Economics Pte. in Singapore.

As many households don’t have savings buffers, the government would probably have to back this up with large-scale cash handouts that reach the poorest, he said.

Work from home is posing implementation challenges for the manufacturing sector where workers are required to be physically present at the production sites. The services sector, such as banking and information technology, also needs employees to be present in offices as confidential data is used, according to industry group Federation of Indian Chambers of Commerce and Industry.

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