Top News: US air strikes kill at least 50 at al-Qaeda Yemen camp

At least 50 militants were killed in a US air strike on an al-Qaeda training camp in the mountains of southern Yemen, medics and a local official said on Wednesday. The attack took place as al-Qaeda in the Arabian Peninsula (AQAP) recruits queued for dinner at the camp, west of the port city of Mukalla on Yemen’s southern coast. The Pentagon said on Tuesday that a US air strike on an AQAP training camp had killed dozens of fighters but it gave no further details. Yemeni sources said at least 50 people were killed and 30 wounded. [Reuters, 3/23/2016]


EGYPT | LIBYA & THE MAGHREB | SYRIA AND ITS NEIGHBORS | IRAQ | YEMEN & THE GULF | ECONOMICS


EGYPT

Sisi swears in ten new ministers in cabinet reshuffle
Ten new Egyptian ministers were sworn in on Wednesday by President Abdel-Fattah al-Sisi as part of a limited cabinet reshuffle. Judge Hossam Abdel Reheem was appointed Justice Minister, replacing sacked minister Ahmed al-Zend. Dalia Khorshed was appointed as Investment Minister, replacing Ashraf Salman, and Amr al-Garhy replaced Finance Minister Hany Kadry Dimian. Ashraf al-Sharqawy was appointed as Business Sector Minister, while Mohamed Saafan replaced Manpower Minister Gamal Sorour. Mohamed Abdel-Atty was appointed as Irrigation Minister replacing Hossam Moghazi. Mohamed Yehia Rashed took the place of Tourism Minister Hisham Zaazou, and Khaled al-Anany is the now Antiquities Minister, replacing Mamdouh al-Damaty. Galal al-Saeed has replaced Saad al-Geyoushi as Transportation Minister and Sherif Fathy has taken Hossam Kamal’s place as Civil Aviation Minister. [Ahram Online, DNE, AP, Reuters, Aswat Masriya, 3/23/2016]

Court ordered release of T-shirt detainee blocked on appeal
A Cairo court ordered Tuesday the release of a teenager who was arrested in 2014, allegedly for wearing a T-shirt denouncing torture, on EGP 1,000 bail (approximately $112) pending investigation, his lawyer said. The order came hours after Mahmoud Hussein’s case was reportedly brought up at a meeting between Abdel-Fattah al-Sisi and a group of prominent intellectuals who called on the Egyptian president to instigate his release. Mohamed was arrested with Islam Talaat, who was also ordered released on EGP 1,000 bail. On Tuesday night, however, the prosecution appealed the decision and blocked their release. Mahmoud’s lawyer, Mokhtar Mounib, said that the appeal was in violation of the law. Since pre-trial detention is limited to two years in Egypt, Mahmoud has qualified for unconditional release since January of this year. The Cairo criminal court will rule on the prosecution’s appeal on Thursday. [Ahram Online, Aswat Masriya, Mada Masr, DNE, 3/23/2016]

Germany concerned about ‘repression’ of human rights NGOs in Egypt
The German government expressed its concern about the “repression” of human rights organizations on Tuesday, following the recently reopened investigations into the alleged foreign funding of many NGOs. “We are following the latest travel bans, bank account freezes, and investigations against human rights activists and organizations in Egypt with great concern,” a statement from the German Foreign Office read. The German statement stressed that recent moves by Egyptian authorities violate both international human rights standards and the Egyptian constitution. “Respect for human rights and a free civil society are prerequisites for sustainable stability,” the statement added. The German government called on the Egyptian government to create conditions “in which human rights groups can do their work unhindered, work that is important for the country.” [DNE, 3/23/2016]

Egyptian student detained for recruiting fighters for Syria
Egyptian student Islam Hamzay, who, according to his family disappeared on January 3, 2016 as a result of an enforced disappearance and “was detained for 70 days without his family or his lawyer knowing anything about him,” is facing charges of recruiting young men to travel and fight among the troops of the militant group Al-Nusra Front in Syria. According to Hamzay’s brother, the prosecution’s evidence against Hamzay is a report from the National Security Apparatus charging him with joining a technical school to spread “jihadist ideologies” and recruit young men to travel to Syria through Turkey. Prosecutors also assert that Hamzay used the internet to interact with high profile militants in Syria to assist in the process of recruiting and traveling. It is alleged that Hamzay joined Al-Nusra Front as a student in the Nasser Technical School in Giza, after he was expelled from Al-Azhar University. His family has accused the Ministry of Interior of “kidnapping” him and investigating him without just cause. The State Security Prosecution renewed Hamzay’s detention for 15 days on Monday. [DNE, 3/22/2016]

For more in-depth Egypt news, please visit EgyptSource

LIBYA & THE MAGHREB

Libya’s neighboring countries affirm refusal of military action
Libya’s neighboring countries affirmed their refusal to engage in any military action in Libya, a closing statement by the foreign ministers at the 8th Ministerial Meeting for the Neighboring Countries of Libya said. The meeting, which included Libya, host country Tunisia, Egypt, Chad, Niger and Sudan, stressed that any military intervention aiming to combat terrorism in Libya should take place following a request from Libya’s national unity government and in accordance with UN provisions. The participants expressed their deepest “concerns over the expansion of terrorist groups in some Libyan regions because it represents a real threat to the Libyan people, on the future of the political path and on the security and stability of neighboring countries and the region.” The foreign ministers also emphasized the importance of cooperating with each other on border protection. The Secretary General of the Arab League Nabil al-Araby, in statements to the Egyptian MENA news agency, expressed hope that the ”Libyan national reconciliation government can soon move to Tripoli and take its powers.” [Ahram Online, ANSAMed, 3/22/2016]

Kobler says Serraj government in Tripoli within days; Kobler turned away from Tripoli
The head of the UN Support Mission in Libya (UNSMIL) says the new unity government will install itself in Tripoli within days. Martin Kobler told reporters on Tuesday that he does not have the exact date but, “I know it’s a matter of days, not weeks.” The head of the new government, Fayez al-Sarraj, said that “we must react quickly” to stop the “cancer” of the Islamic State (ISIS or ISIL). He called on Libyans to set aside differences and build a new, safe Libya. Kobler delivered remarks at the 8th Ministerial Meeting for the Neighboring Countries of Libya and noted how terrorist groups take advantage of political divisions, with grave consequences for the Libyan people and neighboring countries, contributing to the serious humanitarian crisis in several areas of Libya. He said the Presidency Council must go to Tripoli and, as its top priority, start rebuilding the Libyan armed forces to fight the threat. The Islamist-linked government in the Libyan capital, however, declined permission for the UN envoy to Libya to land in Tripoli, Kobler said on his Twitter account on Wednesday. [AP, ANSAMed, Libya Herald, 3/23/2016]

Tunisia reopens Libya border after attack on nearby town
Tunisia reopened its border crossings with Libya on Tuesday after a two-week closure in response to a deadly militant attack on a town near the frontier, the interior ministry said. The move came as Tunisia hosted talks with other countries neighboring Libya on the threat posed by the growing ISIS presence in the lawless North African nation. Both the Ras Jedir crossing on the Mediterranean coast and the Dehiba crossing in the mountainous desert interior reopened, said ministry spokesman Yasser Mesba, but Tunisians are still not able to enter Libya via the crossing. The Libyan guards are letting Libyans pass through but say that they need to fix a damaged immigration control system before they can process Tunisians. [Ahram Online, Libya Herald, 3/22/2016]

UN shuts Western Sahara military liaison office, per Morocco’s request
The United Nations has closed its military liaison office in the disputed territory of Western Sahara as demanded by Morocco amid an escalating dispute over remarks by the UN chief, a UN spokesman said on Tuesday. Morocco gave UN observers there 72 hours to leave to protest remarks by UN Secretary-General Ban Ki-moon. It follows Morocco’s expulsion of 84 international civilian staff members with the UN peacekeeping mission to protest the UN chief’s use of the word “occupation” in describing the status of the vast mineral-rich territory during his first visit earlier this month to refugee camps in Algeria for the Sahrawis, as the region’s native inhabitants are known. [AP, Reuters, 3/22/2016]

SYRIA & ITS NEIGHBORS

Syrian army seizes hills overlooking ISIS-held Palmyra
On Wednesday Syrian government forces seized highlands around Palmyra, positioning themselves to recapture the ancient town held by the Islamic State (ISIS or ISIL). “The regime forces are now two kilometers away on the south side and five kilometers away on the west side,” Syrian Observatory for Human Rights (SOHR) Director Rami Abdel Rahman said. Syrian opposition activists also reported that the army was now approaching the outskirts of Palmyra, which has been under the firm control of ISIS since the extremists captured it last May. The army advanced from the west and south of Palmyra and was also closing in on Qaryatain in central Syria, Homs governor Talal Barazi said. “There is continuous progress by the army from all directions,” he said, adding that he expected “positive results” over the next few days. Government forces have been backed by intense Russian air strikes in their advances. [AP, AFP, BBC, NOW, 3/23/2016]

Kerry off to Russia for Syria talks after Brussels attacks
Secretary of State John Kerry is heading to Moscow for talks on Ukraine and Syria as the attacks against Brussels underscored the urgency of fighting ISIS. Kerry departed Washington late Tuesday after accompanying President Barack Obama to Cuba. While in Havana, Kerry spoke by phone with the Belgian foreign minister to offer condolences for the victims of the attacks and any assistance Brussels might need. The attacks were claimed by ISIS and have highlighted the threat the group poses outside of its territory in Iraq and Syria. [AP, AFP, 3/23/2016]

Syrian refugees denied critical health care in Jordan
Syrian refugees in Jordan are finding it very difficult to get medical care because of Jordanian fees and bureaucracy, and shrinking humanitarian financial support, rights group Amnesty International said Wednesday. Many refugees cannot afford the fees for medical care imposed by the Jordanian government in 2014, and some, injured in the Syrian conflict, have died after being turned away at the border, Amnesty said in a report. There are 630,000 Syrian refugees in Jordan registered with the UN refugee agency (UNHCR), the vast majority of them living in poverty outside the refugee camps. [Reuters, 3/23/2016]

Syria greenlights aid for most besieged towns, UN says
The Syrian government gave verbal assurances that aid convoys can go into three or four of the areas that its forces are besieging, UN humanitarian advisor Jan Egeland said Wednesday. The United Nations received the green light for eight or nine of the eleven areas it had asked to deliver aid, including three or four besieged areas, but not the towns of Daraya or Douma. The World Food Programme (WFP) has said some people in the two towns, both close to Damascus, have been eating grass to survive. Egeland said a local agreement to end the siege of al-Waer of Homs city had broken down in a reversal for humanitarian aid and that the United Nations would need to mediate. [Reuters, 3/23/2016]

Turkey launches air strikes against PKK in Iraq, Turkey
Turkey’s military carried out air strikes on Kurdistan Workers Party (PKK) targets in northern Iraq and killed 26 militants in southeast Turkey, where violence has flared since a ceasefire broke down last July, the armed forces said on Wednesday. Tuesday’s air strikes hit shelters, caves, and ammunition depots used by the PKK in northern Iraq and rural areas near the southeastern Turkish town of Semdinli, at the mountainous border with Iraq and Iran, the military statement said. The military says more than a thousand militants have been killed in the largely Kurdish southeast since the ceasefire collapsed this summer, prompting the heaviest clashes in the region since the 1990s. President Tayyip Erdogan has said more than 300 members of the security forces have died, while the pro-Kurdish opposition says hundreds of civilians have also been killed. [Hurriyet, Reuters, Anadolu Agency, 3/23/2016]

For more in-depth Syria news and analysis, please visit SyriaSource.

IRAQ

Turkish troops clash with ISIS at Iraqi base
On Tuesday, ISIS fighters attacked the Bashiqa military base in northern Iraq and Turkish troops stationed there retaliated, hitting ISIS targets from their positions north of the camp. The Turkish army also targeted ISIS positions near the Turkish border. Turkey deployed soldiers to northern Iraq in December, citing heightened security risks near Bashiqa, where its soldiers have been training an Iraqi militia to fight ISIS, though Baghdad objected to the deployment. [Reuters, Iraqi News, 3/22/2016]

Attack on US base in Iraq injured eight, but security not compromised
General Joseph Dunford says eight Marines were injured in the ISIS attack on the Marine base in Iraq that killed one US service member. Dunford, chairman of the Joint Chiefs of Staff, told the House Armed Services Committee that the United States has not compromised security as it deploys forces to Iraq. The Pentagon confirmed that several Marines were injured, and that while some were evacuated for treatment, others were able to immediately return to duty. [AP, 3/22/2016]

Displaced Iraqis hope to return to Ramadi next month
Iraqi officials hope to begin returning displaced residents of Anbar to their homes beginning on April 10. Now that the area has been cleared of ISIS fighters and the Shia militias have withdrawn, local police and tribal militias are overseeing these areas and clearing them of mines and other explosives. Brigadier General Raouf Ibrahim, head of the Anbar police battalion, confirmed, “Ramadi is now under the control of six Anbar police battalions, their main task is to prevent terrorists in infiltrating the city and to clear it of landmines left by ISIS before their retreat.” [Rudaw, 3/22/2016]

YEMEN & THE GULF

Hadi meets with 18 ambassadors in Riyadh
Yemeni President Abdrabbo Mansour Hadi held a meeting with ambassadors from 18 countries in Riyadh on Wednesday to discuss current developments in Yemen. Hadi and the ambassadors discussed the successes achieved by the Yemeni army and pro-government forces and their advancement on the country’s capital Sana’a. Hadi said that along with military operations, the government has a moral responsibility to protect the interests of all Yemenis. He also decried the Houthi militants’ inhumane siege on Taiz and their disregard for the interests of the Yemeni people. [Al Masdar, 3/23/2016]

Yemen peace talks expected in Kuwait next month
Talks aimed at ending Yemen’s war are expected in Kuwait next month along with a temporary ceasefire, a senior Yemeni government official said. “The talks will be held on April 17 in Kuwait, accompanied by a temporary ceasefire,” the Yemeni official said, declining to be named. There was no immediate response from the Houthi militia regarding the prospect of talks. [Reuters, 3/22/2016]

Famine threatens half of Yemen
Nearly half of Yemen’s 22 provinces are on the verge of famine as result of conflict and more than 13 million people need food aid, the UN World Food Programme (WFP) said Wednesday. Aid groups have blamed curbs imposed by the Saudi-led coalition on access to Houthi-controlled ports for the crisis and also accuse Houthis of preventing supplies from reaching some areas, including the city of Taiz in the southwest. “From a food security perspective, 10 of Yemen’s 22 provinces are classified as ‘emergency’, which is one step before famine,” Adham Muslim, deputy director of the WFP office in the capital Sana’a, said as the agency launched a food voucher program to help those most in need. [Reuters, 3/23/2016]

Gulf states denounce Belgium attacks
The Gulf Cooperation Council (GCC) condemned on Tuesday the deadly blasts in Belgium, with Saudi Arabia urging its citizens to postpone their travel to the European country. GCC Secretary General Abdullatif bin Rashid al-Zayani described the attacks as “a horrendous crime” devoid of any “moral and humanitarian principles and values as well as international laws.” He reiterated GCC’s rejection of “terrorism in all forms,” stressing the Gulf’s support for the Belgian government “in all legal measures that it takes to tackle such criminal terrorist acts.” [Al-Arabiya, 3/22/2016]

Saudi Arabia arrests Shia imam for ‘glorifying’ Hezbollah
Saudi security forces arrested a Shia preacher in the east of the kingdom on Tuesday, charging that he “glorified” Lebanon’s Iran-backed militant group Hezbollah online. Hussein al-Radi was detained after Gulf Arab states declared Hezbollah a “terrorist” group earlier this month and brought in tough new measures against anyone supporting it. The Al-Watan daily reported that security forces arrested Radi, of the Al-Ahsa oasis region of Eastern Province. “This is after he glorified the terrorist group Hezbollah and insulted the kingdom in a video clip that has been shared” online, the report said. [AFP, 3/23/2016]

ECONOMICS

IMF says war, oil rout erode Middle East growth prospects
Wars and low crude oil prices have diminished growth prospects for the Middle East, the International Monetary Fund (IMF) said Tuesday in a new paper, Avoiding the New Mediocre: Raising Long-Term Growth in the Middle East and Central Asia. The IMF said that all emerging markets are facing diminished growth prospects over the next five years, but those of the Middle East and Central Asian countries are expected to be 1.25 percentage points below the emerging market and developing country average. IMF Middle East Director Masood Ahmed said conflict in the Middle East is increasingly weighing on economic activity. “The new ‘lower for longer’ oil price reality has dampened oil-exporting countries’ longer-term growth prospects and rendered their oil-centered economic growth models untenable,” he said. The IMF called for fostering a more competitive business environment to boost productivity by streamlining regulations and tax codes and reducing the dominance of state-owned enterprises. It said boosting worker education, skills, and professional networks is also critical for raising productivity. [Reuters, 3/22/2016]

Saudi Arabia loses attractiveness for foreign workers
Foreign workers may be forced to leave Saudi Arabia as the government seeks to boost job opportunities for Saudi citizens. In early March, the Ministry of Labor announced that within six months foreigners would be banned from selling and maintaining mobile phones and accessories, in an effort to provide more jobs for Saudi citizens. So far, layoffs have been concentrated in the construction sector, which analysts estimate employs around 45 percent of foreigners. Job losses among foreigners look likely to spread to other sectors. Labor Ministry Spokesman Khaled Abalkhail said the ban on mobile phone sellers would affect about 20,000 workers, and that similar action would eventually be taken in other industries. “The labor ministry targets aim to create jobs for around 1.3 million Saudis … There are plans for gradual nationalization of other sectors such as taxis, travel and tourism, real estate, jewelery, and vegetable markets,” he said. [Reuters, 3/23/2016]

Egypt approaches banks as seeks to market local debt
Officials from the National Bank of Egypt (NBE) met with banks in the United Arab Emirates (UAE) as Egypt seeks to attract foreign investors to its local-currency debt market. The state-run lender also plans to meet investors in other countries, NBE’s Chief Financial Officer Hussein Refaie said, without giving details. The NBE has been offering dollar call options for up to a year to overseas investors buying Egyptian Treasury bills since March 14. Authorities hope the product will help renew interest in the local debt market. The options are sold at a premium of about 4.75 percent for one-year contracts, according to state-run Banque Misr, which is also selling the product. They allow investors to buy back dollars at the same rate at which they were sold, effectively eliminating the risk resulting from further pound weakening. By also guaranteeing the ability to expatriate funds, they address the most common concerns cited by investors for avoiding local debt. “We are explaining the product to investors and receiving feedback,” Refaie said. “It’s too early to talk about finalized deals, but there is a lot of interest in the product.” [Bloomberg, 3/23/2016]

Algeria aims to attract energy investors amid low oil revenues
After a sharp drop in oil prices, Algeria’s Sonatrach is shifting its strategy by offering foreign firms direct negotiations to buy stakes in 20 oil and gas fields in a bid to attract investors and increase output. “Direct negotiations are a more efficient, less expensive, a faster, and a less bureaucratic approach,” a Sonatrach source said. “Sonatrach is already in negotiations with [Italy’s] ENI and several other foreign firms.” The 20 fields include oil and gas fields across the center and south of the country. As part of the campaign, Sonatrach Chief Amine Mazouzi will travel to China at the end of the month for meetings with Chinese oil companies SINOPEC and CNPC, which are already operating in Algeria. Oil executives said bilateral contracts may offer flexibility, but Algeria’s legal framework and red tape remain a major concern for some companies. Algeria is also in talks with European Union officials on holding a summit in Algiers in May that will focus on energy investment opportunities in Algeria. Oil executives said bilateral contracts may offer flexibility. [Reuters, 3/22/2016]

Morocco cuts benchmark rate to 2.25 percent to boost growth
Morocco’s central bank cut its benchmark interest rate on Tuesday to 2.25 percent from 2.5 percent, loosening monetary policy for the first time in more than a year to boost growth. The drop in global oil prices has revived public finances and reduced deficits in Morocco, the Middle East’s biggest energy importer, giving the country more room to maneuver. Despite inflation rising to 0.9 percent in February from 0.3 percent in January as food prices increased, the bank said it is likely to hover around 0.5 percent during 2016 and 1.4 percent in 2017. “We don’t have any concerns regarding inflationary pressures … So we can give some support to the economic activity,” Central Bank Governor Abdellatif Jouahri said. The bank also said it had also started structural reforms to move towards a more flexible currency regime, as recommended by the International Monetary Fund. [Reuters, 3/22/2016]