US Calls on G8 to Help Region’s Transitions

In a joint letter by Secretary of State Hillary Clinton and Secretary of Treasury Timothy Geithner to fellow G8 minister, the two called for the Middle East and the world “to work together to support successful transitions toward democratic societies and more inclusive economies.” They argued that G8 countries “share a compelling interest in seeing the transitions in Egypt and Tunisia succeed and become models for the region.” Drawing from historical lessons of democratization they claimed, “we should focus on trade, not just aid, and on investment, not just assistance.” They added that international efforts should be aligned with local goals, which include economic reform and development measures. Actions they called upon the international community to take included: support for the Joint Action Plan of the Multilateral Development Banks to encourage long-term partnerships, multi-creditor debt swaps to assist in job creation, reinforce the forthcoming IMF package for Egypt, reorient the European Bank for Reconstruction and Development (EBRD) to provide near-term to support private sector development, and a Trade and Investment Partnership Initiative to change the region’s dismal non-oil trade activity.