South Asia Security Monitor: No. 295

Related Categories: South Asia

U.S. EASES SANCTIONS ON INVESTMENT IN MYANMAR
Warming ties between the U.S. and Myanmar, and surging international interest over the prospect of vast untapped energy resources in the country has prompted the Obama administration to lift restrictions on U.S. investments into Burmese corporations. The move comes on the heels of other recent U.S. initiatives that have gradually dismantled a vast economic sanctions framework the U.S. has levied on Myanmar for the past two decades. Although earlier decisions on easing sanctions were welcomed by influential pro-democracy icon and opposition leader Aung San Suu Kyi, the administration’s most recent move has led her and human rights groups to caution that Burmese state corporations, especially the Myanmar Oil and Gas Enterprise, are opaque, corrupt, and abusive organizations that may still benefit members of the erstwhile totalitarian regime. The Obama administration responded to such fears by ruling that all American corporations investing in excess of $500,000 in Myanmar must engage in detailed reporting of their projects to the State Department. In addition, any entity found guilty of stalling the political reform process would be subject to harsh sanctions. The announced safeguards, however, have failed to allay all fears over the potential for human rights violations in Myanmar, even as the U.S. sends its first ambassador to the country in 20 years. (Washington Post July 11, 2012)

PAK PROTESTS OVER REOPENING OF NATO SUPPLY LINES

A convoy of thousands of protestors converged on the Pakistani capital Islamabad to demonstrate against the government’s recent decision to reopen NATO supply lines. The supply lines, used to support the NATO anti-insurgency operations in Afghanistan, were closed during a tense diplomatic standoff after a U.S. airstrike accidently killed two dozen Pakistani soldiers. In a decision that was rewarded by a U.S. promise to resume military aid to Pakistan, Islamabad agreed to reopen the lines early this month immediately after U.S. Secretary of State Hillary Clinton offered a limited apology for the mishap. The move seems to have angered sections of the Pakistani populace, with hard-line Islamist elements leading the demonstrations. (Military Times July 8, 2012)

AFGHANISTAN DECLARED MAJOR NON-NATO ALLY
In a statement from the Presidential Palace at Kabul, U.S. Secretary of State Hillary Clinton announced that America will add Afghanistan to its list of major non-NATO allies. The designation, which has also been granted to countries like Israel, Pakistan, and Japan (but not Iraq), will give Afghanistan access to privileged access to U.S. military training and equipment. The designation is widely seen an effort to assuage Afghan fears that their country will be left alone to grapple with a persistent Taliban insurgency as the date of withdrawal of NATO troops in 2014 looms closer. In another effort to address those concerns, the U.S. spearheaded an international investment conference in Tokyo that raised close to $16 billion for Afghanistan in assistance. (New York Times July 8, 2012)

TALIBAN COMMANDER REVEALS FRUSTRATION

An interview with a veteran Afghan Taliban commander published in the New Statesman offered a rare insider’s account into the declining level of morale within the seemingly-ascendant Islamist militant group. The commander, who was given the alias Mawlvi for the interview, confessed that he did not believe insurgent forces could win the war against the Afghan state, insisting the Taliban would ultimately have to come to the negotiating table because capturing Kabul was a “dim prospect.” In another surprising revelation, the commander claimed that large sections of the Taliban were frustrated with al Qaeda, even admitting he was relieved to learn of bin Laden’s death. “At least 70% of the Taliban are angry at al-Qaida. Our people consider al-Qaida to be a plague that was sent down to us by the heavens.” Blaming al Qaeda for the devastation of the last ten years, Mawlvi said of bin Laden, “If he really believed in jihad he should have gone to Saudi Arabia and done jihad there, rather than wrecking our country.” However, Mawlvi was also harshly critical of President Karzai, who he saw as subservient to U.S. interests. Though Mawlvi remained anonymous, the interview was conducted by Michael Semple, a former UN envoy to Kabul who is believed to have established extensive contacts during his time in Afghanistan. (The Guardian July 10, 2012)