Publications

On the surface, the Cyprus crisis was about money, but actually it was the result of conflicting political cultures: European, Greek Cypriot and Russian. The fissures exposed during the March 2013 crisis will leave a legacy of mistrust and enmity far beyond the eastern Mediterranean island that staged the drama. The underlying problem was that Europe had accepted a non-European entity (Cyprus) into its institutions and then failed to enforce upon it Europe’s standards of financial governance. Russian money became fuel for the catastrophe, but was not itself the cause. Money laundering and bank insolvency are both deplorable but are not the same thing.

The financial crisis in Cyprus is, among other things, a stress test in relations between Europe and Russia. Thus far, neither has performed very well.

Relations between Washington and Moscow are currently in a sterile phase, and are likely to remain so for the foreseeable future. Europeans, on the other hand, like to claim they are much more effective in understanding and managing the Russians. But are they?

In the conflict zone stretching from Syria to Afghanistan lies another war waiting to re-emerge: Nagorno-Karabakh. This dispute is likely to occupy President Obama’s new foreign-policy team whether they want it or not.

Two decades ago the newly independent states of Armenia and Azerbaijan fought a bitter war over this remote area of mountains and valleys. Armenia won the war, but nobody has achieved peace. A fragile ceasefire signed in 1994 remains the only tangible achievement of diplomacy.

The Obama White House is notoriously insular, a quality reflected in its selection process for secretary of state. So far as the country knows, the only two persons that have been seriously considered to be foreign minister of the most important country on earth are Washington insiders who actively campaigned for the job. The qualities desirable—even necessary—to serve the United States well at State have scarcely been mentioned in the controversy over U.N. Ambassador Susan Rice or in the expectation that Massachusetts Sen. John Kerry will be the next secretary.