Day: March 23, 2024

HANOI: Vietnam’s economic strength is reflected in controlled macroeconomic indicators. The country has increasingly affirmed and strengthened its important role in multinational corporations’ supply chain diversification strategy.

2024 will be the year for foreign investors to seize opportunities and implement high-tech foreign direct investment (FDI) projects in Vietnam, Vietnam News Agency (VNA) reported.

Nguyen Bich Lam, former Director-General of the General Statistics Office, has granted an interview to Vietnam News Agency on the picture of FDI attraction and solutions to improve capacity and motivation to promote economic growth in the coming time.

The expert said in the first two months of the year, registered FDI reached US$4.29 billion, up 38.6% compared to the same period in 2023. The amount of FDI disbursement reached US$2.8 billion, an increase of 9.8% year-on-year.

Source: Emirates News Agency

GENEVA: After facing declines over several quarters, international trade is poised for a rebound in 2024, according to the latest Global Trade Update from the United Nations Conference on Trade and Development (UNCTAD).

In 2023, global trade saw a 3% contraction, equalling roughly $1 trillion, compared to the record high of $32 trillion in 2022. Despite this decline, the services sector showed resilience with a $500 billion, or 8%, increase from the previous year, while trade in goods experienced a $1.3 trillion, or 5%, decline compared to 2022.

The fourth quarter of 2023 marked a departure from previous quarters, with both merchandise and services trade stabilizing quarter-over-quarter. Developing countries, especially those in the African, East Asian and South Asian regions, experienced growth in trade during this period.

Regional dynamics

While major economies generally saw a decline in merchandise trade throughout 2023, certain exceptions emerged, like the Russian Federation, which exhibited notable v
olatility in trade statistics. Towards the end of 2023, trade in goods saw growth in several major economies, including China (+5% imports) and India (+5% exports), although it declined for the Russian Federation and the European Union.

During 2023, trade performance diverged between developing and developed countries, with the former experiencing a decline of approximately 4% and the latter around 6%. South-South trade, or trade between developing economies, saw a steeper decline of about 7%. However, these trends reversed in the last quarter of 2023, with developing countries and South-South trade resuming growth while trade in developed countries remained stable.

Geopolitical tensions continued to impact bilateral trade flows, as shown by the Russian Federation reducing its trade dependence on the European Union while increasing its reliance on China. Additionally, trade interdependence between China and the United States decreased further in 2023.

Regionally, trade between African economies bucked the
global trend by increasing 6% in 2023, whereas intra-regional trade in East Asia (-9%) and Latin America (-5%) lagged behind the global average.

Mixed sectoral picture

At the sectoral level, most industries experienced declines in trade value, with exceptions such as pharmaceuticals, transportation equipment (largely due to increased demand for wide-body aircraft) and motor vehicles, which grew by 14%, primarily fuelled by the demand for electric vehicles.

Conversely, sectors like apparel, chemicals and textiles saw significant declines in 2023. However, most sectors rebounded in the fourth quarter of 2023, except for apparel, where trade further contracted.

Among services, tourism and travel-related services showed the strongest rebound, increasing by almost 40%t last year.

Prospects for 2024

Available data for the first quarter of 2024 suggests a continued improvement in global trade, especially considering moderating global inflation and improving economic growth forecasts. Additionally, rising deman
d for environmental goods, particularly electric vehicles, is expected to bolster trade this year.

However, geopolitical tensions and supply chain disruptions persist as pivotal factors influencing bilateral trade trends and require ongoing scrutiny. Disruptions in shipping routes, particularly those related to security issues in the Red Sea and the Suez Canal, as well as adverse climate effects on water levels in the Panama Canal, carry the potential to escalate shipping costs, prolong voyage times and disrupt supply chains.

Source: Emirates News Agency

PARIS: The United Nations World Water Development Report 2024, published by UNESCO on behalf of UN-Water to mark World Water Day, highlights that tensions over water are exacerbating conflicts worldwide. To preserve peace, States must boost international cooperation and transboundary agreements. World Water Day, held on 22 March every year since 1993, is an annual United Nations Observance focusing on the importance of freshwater.

World Water Day celebrates water and raises awareness of the 2.2 billion people living without access to safe water. It is about taking action to tackle the global water crisis. A core focus of World Water Day is to support the achievement of Sustainable Development Goal 6: water and sanitation for all by 2030.

Every year, UN-Water – the UN’s coordination mechanism on water and sanitation – sets the theme for World Water Day. In 2023, the focus was on Accelerating Change. In 2024, the theme is ”Leveraging Water for Peace.”

”As water stress increases, so do the risks of local o
r regional conflict. UNESCO’s message is clear: if we want to preserve peace, we must act swiftly not only to safeguard water resources but also to enhance regional and global cooperation in this area,” said UNESCO Director-General Audrey Azoulay.

”Water, when managed sustainably and equitably, can be a source of peace and prosperity. It is also the literal lifeblood of agriculture, the major socio-economic driver for billions of people, according to Alvaro Lario,

President of the International Fund for Agricultural Development (IFAD), and Chair of UN-Water.

According to the new report published by UNESCO, on behalf of UN-Water, today 2.2 billion people still live without access to safely managed drinking water and 3.5 billion lack access to safely managed sanitation. The UN goal of ensuring this access for all by 2030 is therefore far from being attained, and there is reason to fear that these inequalities may continue to rise.

Between 2002 and 2021 droughts affected more than 1.4 billion people. As of
2022, roughly half of the world’s population experienced severe water scarcity for at least part of the year, while one quarter faced ‘extremely high’ levels of water stress, using over 80% of their annual renewable freshwater supply. Climate change is projected to increase the frequency and severity of these phenomena, with acute risks for social stability.

Girls and women are the first victims of a lack of water

The first impact is the deterioration of living conditions, leading to heightened food insecurity and health risks. Water scarcity also has consequences on social development, particularly for girls and women. In many rural areas, they are the primary water collectors, spending up to several hours a day on this task. Reduced access to water supply exacerbates this burden, which undermines women’s education, economic participation and safety. This may also contribute to the higher secondary school dropout rate among girls compared to boys.

The lack of water security has also been identified as one
of the drivers of migration. This displacement can, in turn, contribute to water insecurity by placing added strain on water systems and resources in settlement locations, thereby fuelling social tensions.

An urgent need for transboundary agreements

This water scarcity can increase the risk of conflict. In the Sahel region, wetland degradation – often due to ill-advised water development projects – has exacerbated local disputes over access to water and productive land, causing tensions.

While approximately 40% of the world’s population lives in transboundary river and lake basins, only a fifth of countries have cross border agreements to jointly manage these shared resources equitably. Many transboundary basins are already located in areas marked by current or past interstate tensions. In the Arab region, seven countries were in conflict in 2021 – some dating back many years -which has had wide-ranging implications for water supply, infrastructure, and potential cooperation on water-related issues.

Afric
a remains especially vulnerable to interstate tensions relating to water: 19 out of 22 states studied suffer from water scarcity, and two-thirds of the continent’s freshwater resources are transboundary. Of the 106 transboundary aquifers mapped in Africa, interstate cooperation has only been formalized in seven.

Concrete progress in cooperation in several regions

In this context, cooperation on transboundary water management appears to be a powerful lever for maintaining peace. By creating conditions for regular dialogue between all parties and instituting the necessary legal frameworks, this cooperation has the potential to resolve most disputes relating to water, and therefore prevent the emergence or exacerbation of wider-ranging conflicts.

The Framework Agreement on the Sava River Basin (FASRB), signed in 2002 by Bosnia and Herzegovina, Croatia, Serbia and Slovenia, was the first multilateral, development-oriented agreement in South-East Europe. It has successfully laid the groundwork for sustainable w
ater management. Two decades after its adoption, it has become a key driver of stability in the region, and now serves as an example of best practice for other regions of the world.

The decline in volume of Lake Chad – which has decreased in size by 90% over 60 years – has led to a broad range of economic and security challenges in the region. Yet in recent years, Cameroon, Chad, the Central Africa Republic, Libya, Niger and Nigeria have given a new impetus to the Lake Chad Basin Commission (LCBC). LCBC’s mandate has expanded to ensure the most efficient use of the basin’s waters, coordinate local development, and prevent the emergence of disputes that might arise among these countries and local communities. LCBC is today the most appropriate institution for addressing the specific needs of the basin, including socio-economic development and security issues.

These two examples highlight the fact that, even in complex situations, states have the means to enact policies around access to water and shared resou
rce management that are both fair and equitable thanks to international cooperation and the support of the United Nations system.

The 2024 edition of UN-Water’s flagship annual report on water issues describes how developing and maintaining a secure and equitable water future underpins prosperity and peace for all and how poverty and inequality, social tensions, and conflict can amplify water insecurity.

The report calls attention to the complex and interlinked relationships between sustainable water management, prosperity and peace, describing how progress in one dimension can have positive, often essential, repercussions in the others.

Source: Emirates News Agency

ABU DHABI: The Emirates Nuclear Energy Corporation (ENEC) today announced that its operations and maintenance subsidiary, Nawah Energy Company, has safely and successfully connected Unit 4 of the Barakah Nuclear Energy Plant to the UAE’s transmission grid. Grid connection signifies the delivery of the first megawatts of carbon-free electricity from the fourth reactor of the nuclear energy plant, marking a pivotal moment in the nation’s clean energy transition and journey towards Net Zero by 2050.

Unit 4 will add another 1,400 megawatts of clean electricity capacity to power the national grid, representing another significant step forward towards full-fleet operations, further supporting the UAE’s efforts in enhancing grid stability and energy security through abundant around-the-clock zero-emissions electricity.

The Nawah teams at Barakah have worked closely with the Abu Dhabi Transmission and Despatch Company (TRANSCO), a subsidiary of Abu Dhabi National Energy Company PSJC (TAQA), who constructed the over
head lines to connect the Barakah Plant to the Abu Dhabi grid – ensuring the power generated at Barakah is safely, securely and reliably delivered to consumers across the country.

Grid connection of Unit 4 solidifies the Barakah Plant’s position as the cornerstone of the UAE’s Net Zero 2050 Strategy, contributing significantly to the nation’s clean energy portfolio. It not only propels the UAE towards achieving its ambitious climate goals but also positions the country as a leader in nuclear energy and decarbonization. The operational readiness of all four units underscores the UAE’s commitment to diversifying its energy sources, ensuring the reliability and sustainability of its energy sector for the next six decades.

Mohamed Al Hammadi, Managing Director and Chief Executive Officer of ENEC, said: ‘We are proud to have achieved another critical milestone for the Barakah Plant, which stands as a testament to the UAE’s leadership in the development of large-scale multi-unit nuclear fleets. Grid connection of
Unit 4 puts us well on the path to full-fleet commercial operations, and with that, the ability to generate 40TWh of clean, baseload electricity annually to drive our Net Zero economy, offering a competitive edge to many businesses, decarbonizing hard-to-abate industries, while presenting a global benchmark for the entire nuclear energy industry.’

The fourth unit is nearing the start of commercial operations. Following grid connection, Unit 4 will undergo the process of gradually raising power levels, known as Power Ascension Testing (PAT). The process will be continuously monitored and tested until maximum electricity production is reached, while adhering to all local regulatory requirements and the highest international standards of safety, quality and security.

Each Unit has been connected to the grid more efficiently than the previous unit, as institutional knowledge and experience are applied to each subsequent unit. Unit 3 was delivered four months faster than the Unit 2 schedule, and five months fast
er than the Unit 1 schedule, demonstrating the significant benefit of building multiple units within a phased timeline.

Backed by the success of the Barakah Plant, ENEC is at the forefront of pioneering initiatives aimed at shaping the future of clean energy. ENEC’s focus on advancing nuclear technologies, across large-scale PWR reactors through to Small Modular Reactors (SMR) and microreactors through the ENEC ADVANCE Program, aims to further strengthen the UAE’s leadership in climate action and clean energy transition. This strategic direction not only amplifies the UAE’s contributions to global decarbonization efforts but also showcases the potential of advanced nuclear technologies in meeting the world’s growing energy needs sustainably.

Source: Emirates News Agency

VIENNA: The OPEC Fund for International Development (OPEC Fund) is extending a US$50 million loan to Trkiye to support the agricultural and food production sectors, prioritizing 11 cities hit by the devastating earthquakes of February 2023. The Development and Investment Bank of Trkiye (TKYB) will on-lend the funds to small and medium-sized enterprises to support efforts to overcome the calamity’s impact and to promote a more resilient and sustainable agriculture sector.

OPEC Fund President Abdulhamid Alkhalifa said: ‘The agriculture sector is a main source of economic activity, employment and trade in Trkiye. The OPEC Fund is very pleased to extend financing through TKYB to promote the long-term sustainability of the sector and especially to bolster agri-businesses in the earthquake affected provinces. We stand ready to extend our cooperation with Trkiye and contribute to the country’s sustainable development ambitions.’

Ibrahim Öztop, General Manager of TKYB, added:”This agreement is significant as it is
a first for both our bank and Trkiye and it further reinforces our mission to support sustainable development in Trkiye’s agriculture and food production sectors. Through the collaboration with the OPEC Fund we aim to contribute to the rapid recovery of our regions hit by the earthquake and to support the development of the agriculture and food production sectors throughout the country.”

The so-called ‘Food Security and Resilience Project’ is co-financed with the Islamic Development Bank and the Islamic Trade Finance Corporation and aims to extend financing to companies prioritizing the southeastern provinces of Adana, Adiyaman, Diyarbakir, Elazig, Gaziantep, Hatay, Kahramanmaras, Kilis, Malatya, Osmaniye and Sanliurfa.

The region is crucial for the country’s agricultural output, accounting for nearly 15 percent of the country’s agricultural GDP. However, following last year’s earthquakes many businesses have suffered damage to infrastructure, loss of livestock and disruptions to food supply chains. The UN
Food and Agriculture Organization estimates that these damages will affect more than 20 percent of Trkiye’s agri-food exports.

The project will provide funds to businesses to recover and increase resilience in the food sector to withstand future shocks, including natural disasters and climate change. It will strengthen long-term food value chains by improving practices, production, productivity, supply chain infrastructure and market access.

Source: Emirates News Agency

MONTREAL: In the first quarter of 2024, the International Civil Aviation Organisation (ICAO) projected that passenger air traffic levels will be around 2 percent higher than in 2019, with airlines expected to sustain their operating profitability seen in 2023. Demand this year is forecast to be around 3 percent above 2019 levels and could reach 4 percent if the pace of recovery strengthens in the routes that have not yet reached pre-pandemic levels. This translates to a Compound Annual Growth Rate (CAGR) of around 0.5 percent over the 2019-2024 period.

‘The commitment of ICAO’s Member States to aligning their pandemic responses with the guidance developed by the ICAO Council has been crucial to the recovery of their air services,’ remarked ICAO Council President Salvatore Sciacchitano. ‘The implementation of ICAO’s post-pandemic guidance is now equally crucial to ensuring the resilience and sustainability of this recovery.’

Global demand expressed in Freight Tonne-Kilometres (FTK) is forecast to be around 2
percent below 2019 levels for the full year 2024. This decline is mainly reflective of anticipated reductions in demand due to overall economic weakness worldwide.

‘The aspirational goals agreed upon by governments towards the decarbonisation of air transport by 2050 are supporting the environmental sustainability of the recovery and future development of the global air transport network,’ remarked ICAO Secretary General Juan Carlos Salazar. ‘This is further driven by initiatives led by ICAO to accelerate the development and implementation of the technologies, operational improvements, and cleaner aviation energies that decarbonisation requires. ICAO’s latest air traffic forecasts are promising for global development and a reminder that the global community must accelerate its sustainability efforts, particularly to assure the production and deployment of sustainable aviation fuels in sufficient quantities.’

These forecasts come with the caveat that risks affecting international air transport do not escalat
e from current levels.

ICAO’s latest analysis also reveals new insights into aviation for the previous year 2023, revealing that air traffic on most routes had already reached or surpassed pre-pandemic levels by the end of the year. This is aligned with ICAO’s earlier prediction of an almost complete recovery of passenger air traffic, namely around 95 percent of 2019 pre-pandemic levels globally by the end of 2023.

The major regional routes which surpassed the 2019 levels by the end of 2023 are Intra-Europe; Europe to/from North America, Middle East, South West Asia and Africa; North America to/from Latin America and the Caribbean, South West Asia, South East Asia, and Pacific; and Middle East to/from South West Asia and Africa.

Most international Asian routes, except for those serving South West Asia, continue to have substantially lowered traffic levels in 2023 compared to pre-pandemic levels. Cargo traffic expressed as FTK in 2023 is estimated to be 3 percent below 2019 pre-pandemic levels reflecting th
e world economy.

Despite high fuel prices and economic uncertainties, airlines’ 2023 total operating profits are estimated at USD 39 billion, in line with the 2019 levels. This profit is mainly due to increased passenger yields and productivity gains achieved by the industry. Similarly, compared to previous years, airlines in North America and Europe captured the majority of the industry’s profits.

ICAO produces a Monthly Monitor that provides aviation stakeholders with access to comprehensive snapshots and in-depth analysis of economic and aviation indicators, empowering them with actionable insights to navigate the complexities of the aviation landscape. Through monthly updates and customisable features, the Monthly Monitor allows stakeholders to stay up-to-date on data that facilitates informed decision-making and strategic planning.

Source: Emirates News Agency

_: In the fourth quarter of 2023, the EU imported pound 111.3 billion worth of energy products amounting to a total of 187.9 million tonnes. Compared with the same quarter of 2022, imports decreased both in value (-34.2%) and in net mass (-11.7%), according to figures published by Eurostat, the statistical office of the European Union.

When comparing 2023 with 2022, the value of energy products dropped by 35.0%, while the volume dropped by 9.4%. The change in the value of imports was largely driven by declining prices.

In 2023, the value of imported natural gas decreased by 52.2% compared with 2022, while the volume decreased by 16.1%. This decline in natural gas prices followed a price surge in 2022 when a 200.4% increase in value was recorded alongside a 0.7% decrease in imported volume.

The volume decrease should be seen in the context of the EU reduction plan, where EU countries committed to reduce their gas consumption by at least 15%. This plan initially covered the period from 1 August 2022 to 31 Ma
rch 2023 but was extended to 31 March 2024.

The decrease in petroleum oils prices led to a 17.2% decrease in value imported in 2023 alongside a 2.8% decrease in volume. Petroleum oils also experienced rising prices in 2022, with the EU importing 71.2% more in value for a 7.7% increase in volume compared to 2021.

Most of the EU imports of petroleum oils in the fourth quarter of 2023 came from the United States (17.0%), followed by Norway (13.1%) and Kazakhstan (9.2%).

More than half of the natural gas in gaseous state came from Norway (53.4%). Algeria followed with 15.9%, ahead of Russia (12.7%).

The United States provided almost half of the imported liquified natural gas (49.4%), ahead of Russia (13.0%) and Algeria (11.1%).

Source: Emirates News Agency

GENEVA: The world’s generation of electronic waste is rising five times faster than documented e-waste recycling, the UN’s fourth Global E-waste Monitor (GEM) revealed.

The 62 million tonnes of e-waste generated in 2022 would fill 1.55 million 40-tonne trucks, roughly enough trucks to form a bumper-to-bumper line encircling the equator, according to the report from the International Telecommunication Union (ITU) and the United Nations Institute for Training and Research (UNITAR).

Meanwhile, less than one quarter (22.3 percent) of the year’s e-waste mass was documented as having been properly collected and recycled in 2022, leaving US$62 billion worth of recoverable natural resources unaccounted for and increasing pollution risks to communities worldwide.

Worldwide, the annual generation of e-waste is rising by 2.6 million tonnes annually, on track to reach 82 million tonnes by 2030, a further 33 percent increase from the 2022 figure.

E-waste, any discarded product with a plug or battery, is a health and e
nvironmental hazard, containing toxic additives or hazardous substances such as mercury, which can damage the human brain and coordination system.

The report foresees a drop in the documented collection and recycling rate from 22.3 percent in 2022 to 20 percent by 2030 due to the widening difference in recycling efforts relative to the staggering growth of e-waste generation worldwide.

Challenges contributing to the widening gap include technological progress, higher consumption, limited repair options, shorter product life cycles, society’s growing electronification, design shortcomings, and inadequate e-waste management infrastructure.

The report underlines that if countries could bring the e-waste collection and recycling rates to 60 percent by 2030, the benefits – including through minimising human health risks – would exceed costs by more than $38 billion.

It also notes that the world ‘remains stunningly dependent” on a few countries for rare earth elements, despite their unique properties crucial fo
r future technologies, including renewable energy generation and e-mobility.

“Amidst the hopeful embrace of solar panels and electronic equipment to combat the climate crisis and drive digital progress, the surge in e-waste requires urgent attention,” said Nikhil Seth, Executive Director, UNITAR.

‘From discarded televisions to dumped telephones, an enormous amount of e-waste is generated around the world. The latest research shows that the global challenge posed by e-waste is only going to grow. With less than half of the world implementing and enforcing approaches to manage the problem, this raises the alarm for sound regulations to boost collection and recycling. The Global E-waste Monitor is the world’s foremost source for e-waste data allowing us to track progress over time and to make critical decisions when it comes to transitioning to a circular economy for electronics,” Cosmas Luckyson Zavazava, Director, ITU Telecommunication Development Bureau, added.

According to Kees Baldé, lead author, UNITAR,
‘No more than 1 percent of demand for essential rare earth elements is met by e-waste recycling. Simply put: Business as usual can’t continue. This new report represents an immediate call for greater investment in infrastructure development, more promotion of repair and reuse, capacity building, and measures to stop illegal e-waste shipments. And the investment would pay for itself in spades.”

‘Many in today’s society use multiple computers and phones, an ever-growing number of new appliances, monitors and sensors, e-bikes, e-scooters, clothes, toys, and furniture with embedded electronics, electric tools, and energy-saving equipment such as LEDs, photovoltaics, and heat pumps. Urban and remote areas are increasingly connected to the Internet, and a growing number of data centres cater to the needs of digital transformation. In the face of all this, concrete steps are urgently needed to address and reduce e-waste. Improved e-waste management could result in a global net positive of $38 billion, representing
a significant economic opportunity while addressing climate change and health impacts,” said Ruediger Kuehr, Senior Manager, Sustainable Cycles (SCYCLE) Programme, UNITAR / Adjunct Professor, University of Limerick (Ireland).

‘The Global E-waste Monitor shows that we are currently wasting $91 billion in valuable metals due to insufficient e-waste recycling. We must seize the economic and environmental benefits of proper e-waste management; otherwise, the digital ambitions of our future generations will face significant risks, commented Vanessa Gray, Head, Environment and Emergency Telecommunications Division, ITU Telecommunication Development Bureau.

By the numbers:

62 million tonnes: E-waste generated in 2022, equal to the weight of 107,000 of the world’s largest (853-seat), heaviest (575 tonnes) passenger aircraft – enough to form an unbroken queue from New York to Athens, from Nairobi to Hanoi, or from Hong Kong to Anchorage

$91 billion: The value of metals embedded in 2022 e-waste, including $19 bil
lion in copper, $15 billion in gold, and $16 billion in iron.

$28 billion: Value of secondary raw materials (mostly iron) reclaimed by ‘urban mining” of e-waste in 2022

900 million tonnes: Primary ore extraction avoided by reclaiming materials through documented e-waste recycling

93 million tonnes: CO2-equivalent emissions avoided by formal e-waste management – recaptured refrigerants (41 million tonnes), avoided metals mining (52 million tonnes)

Source: Emirates News Agency