The United States on Tuesday ordered the Syrian embassy in Washington and its consulates in Texas and Michigan to suspend operations and told diplomats and staff who are not US citizens or permanent residents to leave the country. “We have determined it is unacceptable for individuals appointed by that regime to conduct diplomatic or consular operations in the United States,” the new US special envoy for Syria Daniel Rubinstein said in a statement. Rubenstein said the order responds to a decision by the government of Syrian President Bashar Assad to suspend its own consular services. However, Rubenstein said the United States wants to continue diplomatic relations with Syria and maintain a relationship if Assad steps down from power. In response, Russia said on Wednesday that the US decision was “worrying and disappointing” adding that the United States had effectively renounced its “cosponsor” role in negotiating peace in Syria. [Al ArabiyaAsharq al-Awsat, 3/18/2014]



EGYPT

No real financial supervision on ministry of interior, says Egypt’s top auditor
Head of Central Auditing Organization (CAO) Hisham Geneina said that there is no real financial supervision of the interior ministry and that CAO auditors were mistreated upon attempting to complete inspection at the ministry. The Head of CAO also revealed that the CAO auditors and officials were not given access to the financial records and files of the ministry. Geneina gave examples of financial violations, hinting that the most financially corrupt sector in the ministry was the general security sector. [Ahram Online, 3/19/2014]

Interim president pledges help for Australian Al Jazeera journalist
Egypt’s interim president has pledged to help resolve the controversial trial of jailed Australian journalist Peter Greste, in a letter that the reporter’s Al Jazeera channel called an “encouraging sign.” Adly Mansour, the interim president appointed after Mohamed Morsi’s ouster, said he would “spare no effort to work towards the speedy resolution of the case, in a fashion consistent with the law, and that guarantees the reunion of the family in the near future.” Mansour also stressed the “independence of the judiciary authority” and that Greste’s rights “are guaranteed by the law.” A relative of Greste provided a copy of the letter to AFP, sent to his family in Arabic and English. The presidency has confirmed it sent a letter. An Al Jazeera spokesman said Mansour’s letter shows that “our journalists were doing their job and have no case to answer.” [DNE, AFP/Egypt Independent, 3/18/2014]

Egypt to modify food subsidy system within three months
The Egyptian government will implement a new food subsidy system within three months starting with a pilot project that will be implemented in Port Said next month. Supply minister, Khaled Hanafi announced that he is going to modify the food subsidy system in order to widen the range of goods offered to consumers. The new system will also fix a limit for bread use per person that will be controlled through smart cards. [Ahram Online, 3/18/2014]

Israel urges US to resume aid to Egypt
Foreign Minister Nabil Fahmy said the armed forces sent several Apache helicopters to the United States for maintenance but they haven’t yet been returned. In an interview with the privately-owned TV channel MBC Masr, Fahmy disclosed that there has been a communication recently between him and his counterpart John Kerry during which they tackled the bilateral interests as well as local and foreign situations. Israel is urging Washington and a number of senior congressmen not to stop the supply of the Apache helicopters to the Egyptian army, intensely lobbying on behalf of Egypt’s interim government. The senior Israeli official says that Israel’s ambassador to Washington, Ron Dermer, and other embassy diplomats talked about the matter with high-ranking US officials during the last week. [Egypt Independent, Haaretz, Shorouk (Arabic), 3/19/2014]

LIBYA

Oil in seized tanker belongs to Libya’s east, says rebel leader
Libyan rebel and self-styled federalist leader Ibrahim Jadhran said on Tuesday that the oil in a tanker seized by the US Navy belongs to the people of Libya’s eastern Cyrenaica region and called on the Arab League to intervene. Speaking to a rebel television station, Jadhran said that he and his supporters, who have blockaded oil terminals in the east for several months in a bid to seek greater autonomy for the region, would continue their fight and accused the United States had helped the government steal oil from the people in eastern Libya. He warned the United States against handing the tanker and the three eastern Libyans on board over to “criminal militias that rule Tripoli,” warning that “such a dangerous measure would lead to a civil war.” [Reuters, AP, 3/18/2014]

2013 audit bureau report rebukes government for giving poor value for money
The audit bureau’s 446-page annual report presented to the General National Congress (GNC) rebukes the now-removed Zeidan government for poor governance, lack of transparency, poor management, and poor implementation across a range of sectors. It accuses it of giving “poor value for money” to the Libyan citizen in return for the large budget approved by the GNC. The report confirms a budget deficit of 10.8 billion Libyan dinars in 2013 “mainly due to the oil embargo” and admonishes the government for delaying the budget debate. The report also criticized the government for proposing overly high budget estimates and increasing the size of the budget despite “the lack of implementation of the development and projects sector,” attributed to the lack of security and foreign contracting companies not returning to Libya. [Libya Herald, 3/18/2014]

Libya, Morocco improve economic relations
Morocco and Libya are examining ways to strengthen economic ties, but government officials and analysts say there is still room for improvement. Bilateral trade reached about $111 million last year and Libya’s direct investment, mainly in real estate, in Morocco has spiked since 2011. The numbers could be even higher, Morocco’s minister delegate for foreign trade said at the countries’ second economic summit last week. Libyan businessman Mohamed Charaf agrees that there is a lot of unexplored potential between the two countries, especially in sectors like infrastructure and agribusiness. Moroccan economist Karim Tourabi suggests that Moroccan and Libyan businessmen should intensify their exchanges. He also suggested considering a free trade agreement to “facilitate bilateral exchanges of products and services.” [Magharebia, 3/18/2014]

Another killing in Derna
Mohammed al-Douri, believed to have Islamist affiliations, has been killed in Derna. He was shot and his body was found in the mountain region of Derna, according to a source close to Derna Local Council. He was described by some Libyan news outlets as a high-ranking leader of Islamic extremists. Douri was said to have been close to former Guantanamo Bay inmate Sufian Bin Qumu who, in January, was named by the US State Department as one of three “most wanted” leaders of terrorist organizations. Under the old regime, both men were implicated in criminal activities, the source said. Yesterday’s killing is the latest attack on Islamists in the east of the country, which started after an unknown group in Benghazi published a “hit-list” of extremists it said it would execute. [Libya Herald, 3/18/2014]

SYRIA

United States orders closure of Syrian embassy, consulates; Russia protests
The United States on Tuesday ordered the Syrian embassy in Washington and its consulates in Texas and Michigan to suspend operations and told diplomats and staff who are not US citizens or permanent residents to leave the country. “We have determined it is unacceptable for individuals appointed by that regime to conduct diplomatic or consular operations in the United States,” the new US special envoy for Syria Daniel Rubinstein said in a statement. Rubenstein said the order responds to a decision by the government of Syrian President Bashar Assad to suspend its own consular services. However, Rubenstein said the United States wants to continue diplomatic relations with Syria and maintain a relationship if Assad steps down from power. In response, Russia said on Wednesday that the US decision was “worrying and disappointing” adding that the United States had effectively renounced its “cosponsor” role in negotiating peace in Syria. [Al Arabiya, Asharq al-Awsat, 3/18/2014]

Echoing Moscow, Syrian official casts doubts on Geneva talks, says Assad won’t go
The Syrian regime sees no point in further peace talks in Geneva if the opposition and its Western backers keep insisting that President Bashar al-Assad relinquish power, the deputy foreign minister said. In an interview with The Wall Street Journal on Tuesday, Faisal al Mekdad indicated his regime had the backing of longtime ally Russia in its stance on the Geneva talks. The stalled negotiations are one of the major Middle East initiatives now clouded by uncertainty as a standoff escalates between Russia and the United States over Moscow’s plan to annex Ukraine’s Crimean peninsula. “The issue of [Assad] relinquishing power is now behind us and this is a flagrant interference in Syria’s internal affairs,” Mr. Mekdad said from his office at the Foreign Ministry in Damascus. “This is completely finished and we are not ready to discuss it at all, at all.” He laughed when asked if Russia, the regime’s main weapons supplier, was in agreement. “I think Moscow was clear from the start that there’s nothing in the Geneva declaration about relinquishing power and the president,” said Mr. Mekdad, who was part of the government delegation at the talks in January and February. [WSJ, 3/18/2014]

Israel bombs Syrian posts over Golan attack on its troops
Israel launched air strikes on Wednesday against Syrian military sites in response to a roadside bombing on Tuesday that wounded four of its soldiers, but both sides signaled they were not seeking further escalation. The Syrian army said one soldier was killed and seven were wounded in the air raids on three targets. Although Damascus condemned the Israeli attacks, it stopped short of any direct threat of retaliation and affirmed its focus on defeating insurgents. “Syrian elements not only allowed but also cooperated in the attacks on our forces,” said Israeli Prime Minister Benjamin Netanyahu. [Reuters, NYT, AFP, BBC, The National, 3/19/2014]

As war rages, Syria sets up a space agency
The Syrian state news agency announced on Tuesday that a national “space agency” will be established to conduct scientific research, a move that shocked many and threw into question yet again the government’s priorities. The statement said the cabinet had approved a project to create the so-called Syrian Space Agency, “with the goal of using space technology for exploration and observing the earth” and that it hopes to employ such technology “in the service of development.” [Al Arabiya, 3/19/2014]

TUNISIA

Public financing for elections approved in draft electoral law
The general legislative committee of the National Constituent Assembly (NCA) approved articles in the draft electoral law that would set restrictions on public financing. Article 116 of the bill gives half of an unspecified amount of public funds to a political party before elections, to be used for campaigning. When results are announced, only parties receiving at least three percent of the vote get the remaining funds. All under that benchmark will have to pay back the money. These restrictions are intended to reduce the number of parties running for office and enhance transparency. The NCA is expected to begin debating electoral law next week. [Tunisia Live, 3/18/2014]

Democratic transition presented in Geneva
President of the NCA Mustapha Ben Jaafar met, as part of the 130th Assembly of the Inter-Parliamentary Union (IPU), with some thirty ambassadors to the United Nations. The meeting focused on the Tunisian experience of democratic transition. Ben Jaafar highlighted the role of the National Dialogue in the adoption of a consensual roadmap and the formation of a technocratic government to lead the country to elections. [TAP, 3/18/2014]

Qatar pledges it support to Tunisia
On Monday, Prime Minister Jomaa arrived in Qatar where he met with Prime Minister Sheikh Abdullah bin Nasser bin Khalifa Al Thani. Al Thani asserted his country’s will to provide financial and trade support to Tunisia. Jomaa announced that Tunisia is ready to speed up lifting the administrative obstacles impeding Qatari investments in Tunisia. On Tuesday afternoon, Jomaa and the delegation accompanying him arrived in Kuwait, for a few-hour official visit. [TAP, 3/18/2014]

YEMEN

Saudi pressure allegedly behind military reshuffle
A recent presidential decree that saw twenty military officers affiliated with the former regime appointed to leadership positions is being attributed to Saudi pressure. The story was first reported in al-Quds al-Arabi due to comments made by a “military expert.” However, the story has since drawn criticism from media outlets linked to the Islah party, which says that bowing to Saudi pressure marks “the first step in the remaking of the old regime.” [Aden al-Ghad (Arabic), Mareb Press (Arabic), 3/19/2014]

USAID, Yemen discuss support for Constitution Drafting Committee
Herbie Smith, USAID’s country director in Yemen, met with Ahmed bin Mubarak, Secretary-General of the National Dialogue Conference in Sana’a on Wednesday to discuss the United State’s technical support for Yemen’s Constitution Drafting Committee. [Saba, 3/19/2014]

Some Houthis near Sana’a vacate, while other refuse to leave
Implementation of a ceasefire in Hamdan, just east of Sana’a, has been impeded by some Houthi militants refusing to vacate per the terms of the agreement. Though officials claim that over a thousand militants have vacated the area since the agreement, media outlets are reporting that many Houthi fighters are refusing to leave. The military has also set up checkpoints as militants are attempting to return. [Mareb Press (Arabic), Al-Masdar (Arabic), AFP; 3/19/2014

Banana cultivation threatens water reserves
According to the ministry of agriculture and irrigation, the cultivation of bananas is consuming an inordinate amount of water to the point that it is posing a “major threat” to Yemen’s reserves, already suffering from shortages. Bananas cultivation makes up four percent of Yemen’s agricultural exports to the global market. [Al-Masdar (Arabic), 3/19/2014]

RELATED ISSUES

Allawi questions integrity of parliamentary elections
Former Iraqi Prime Minister Iyad Allawi affirmed that the Iraqi parliamentary elections may not be held on April 30 as scheduled in light of the recent developments in the country. In a speech to a youth organization affiliated to his National Iraqi Alliance on Tuesday, Allawi expressed doubts about the integrity and transparency of the forthcoming elections. He also stated that the exclusion of a number of candidates from the election and the deteriorating security situation in Iraq are also threatening the forthcoming political elections. [Asharq Al-Awsat, 3/19/2014]

Lebanon protests flare over Syria spillover
Demonstrators have clashed with the army and blocked several roads across Lebanon to protest against a siege on a border town, as the country struggles to keep a lid on sectarian tensions enflamed by the war in neighboring Syria. The road to the predominantly Sunni town of Arsal was blocked on Tuesday by residents from the neighboring Shia town of al-Labwa. Clashes erupted throughout the country as protesters fought with the army, angry over sand barriers erected on roads leading to the town, cutting it off from other parts of Lebanon.
[Al-Jazeera, 3/19/2014]

Algeria’s Bouteflika plans constitution amendments, economic reforms
Algerian President Abdelaziz Bouteflika plans to amend the constitution to strengthen democracy and introduce reforms to reduce the “dictatorship of bureaucracy” should he be reelected in next month’s vote, his campaign manager and former Prime Minister Abdelmalek Sellal said on Tuesday. The announcement gave some idea of the campaign platform of the seventy-seven year old leader, who is widely expected to win another five-year term in the April 17 election despite questions about his health. “The constitution will be revised to consolidate the system and allow more democracy and more respect for all institutions,” Sellal said at a conference to promote Bouteflika’s election program. [Reuters, 3/18/2014]

Palestinian Authority issues oil exploration tender for West Bank
The Palestinian Authority on Tuesday issued a tender for oil exploration in the West Bank for a license it said could hold between thirty and 186 million barrels of oil. The project will be run as a joint venture, with the government-owned Palestine Investment Fund having at least a 25 percent stake. The area of the license, outside the West Bank city of Qalqilya, is near a small field being developed by an Israeli firm northeast of Tel Aviv. [Reuters, 3/18/2014]