The Somali government says it will award exploration licenses to foreign oil companies later this year, despite calls from the opposition to wait until laws and regulations governing the oil sector are in place.

Seismic surveys conducted by two British companies, Soma Oil & Gas and Spectrum Geo, suggest that Somalia has promising oil reserves along the Indian Ocean coast, between the cities of Garad and Kismayo. Total offshore deposits could be as high as 100 billion barrels.

The government says it will accept bids for exploration licenses on November 7, and the winners will be informed immediately. It says production-sharing agreements will be signed on December 9, with the agreements going into effect on January 1, 2020.

“We have presented our wealth and resources to the companies,” Petroleum Minister Abdirashid Mohamed Ahmed told the VOA Somali program Investigative Dossier. “We held a roadshow in London [last week], and we will hold two more in two major cities so that we turn the eyes of the world to contest Somalia.”

But several lawmakers have expressed concern the government is moving too quickly. Last week, the head of the National Resource committee in the Upper House of Parliament accused President Mohamed Abdullahi Mohamed’s government of a “lack of due diligence” and violating the constitution.

Barnaby Pace, an investigator for the NGO Global Witness, which exposes corruption and environmental abuses, says Somalia, after decades of internal conflict, does not have the legal and regulatory framework to handle oil deals and the problems they can cause, such as environmental abuses, corruption, and political fights over revenue.

“There is not a clear consensus about how the oil sector could be managed in Somalia,” he said. “And once Somalia makes deals like the one it’s proposing, it may be locked in for many years and find it difficult to renegotiate or change them to best protect itself.”

Former oil officials speak out

Somalia’s parliament passed a Petroleum Law to govern oil sector in 2008 when the country operated under a transitional charter. But constitutional experts say that law was nullified after a constitution was ratified in 2012.

A proposed new law is now before parliament for debate. The bill says negotiations for oil-related contracts will be the responsibility of the Somali Petroleum Agency, which would not be formed until the law is passed.

Ahmed said government’s timetable for awarding licenses is just “tentative,” though he believes the government can keep to its schedule.

But Somali lawmakers and opposition leaders are worried the government is in a needless rush.

Jamal Kassim Mursal was permanent secretary of the Somali Petroleum Ministry until last month when he resigned.

He says when the government came to power in 2017, the ministry was informed that bids for oil exploration licenses would not be considered until the Petroleum Law was passed and “we are ready with the knowledge and skills.”

Since then, he told VOA, “Nothing has changed — petroleum law is not passed, tax law is not ready, capacity has not changed, institutions have not been built.”

Abdirizak Omar Mohamed is the former petroleum minister who signed the 2013 seismic study agreement with Soma Oil & Gas.

Mohamed said the country needs political consensus and stability before oil drilling. He notes that a resource-sharing agreement between the federal government and Somali federal states has yet to be endorsed by the parliament.

“No company is going to start drilling without agreement with regions,” says Mohamed. “So why rush? It’s not good for the reputation of the country.”

Soma and Spectrum’s advantage

Mursal also objects to an agreement that gives first choice of oil exploration blocks to Soma Oil & Gas, one of the companies that conducted the seismic studies.

According to the agreement, Soma Oil & Gas will choose 12 blocks or 60,000 square kilometers to conduct oil exploration. Among these are two blocks believed to contain large oil reserves near the town of Barawe.

He says the government needs to renegotiate and offer just two blocks instead.

“This is the one that is causing the alarm,” he said. He predicts that if Soma Oil & Gas gets to choose 12 blocks, the company will “flip” some of the blocks to the highest bidder.

In 2015, Soma Oil & Gas was caught up in controversy after allegations of quid pro quo payments to the Somali Ministry of Petroleum. The payments were termed as “capacity building.” The following year, Britain’s Serious Fraud Office closed the case because it could not prove that corruption took place.

Somalia’s current prime minister, Hassan Ali Khaire, was working for Soma Oil & Gas at time. Somali officials say that since taking office, Khaire has “relinquished” his stake in the company, said to be more than 2 million shares.

The other company that conducted seismic surveys, Spectrum, also made payments to the Somali Ministry of Finance, according to Mursal.

Mursal told Investigative Dossier that between 2015 and 2017, Spectrum paid $450,000 every six months to the ministry.

A senior official who previously was involved in the Ministry of Petroleum told VOA that Spectrum paid $1.35 million in all. He said the payment was “consistent,” though, with the advice of the Financial Governance Committee, a body consisting on Somali and donors which gives financial advice to Somalia.

Spectrum has not yet responded to Investigative Dossier requests for an interview.

Current Petroleum Minister Ahmed said the government will do what is best for Somalia, but needs to have a law governing the oil sector in place.

“The parliament has the petroleum law,” he said. “Without it being passed, we can’t touch anything.”

 
…

Незважаючи на сильну економіку, державний борг США збільшився до рекордних 22 трильйонів доларів. Про це повідомляє агентство Bloomberg.

Як зазначає агентство, боргові зобов’язання Сполучених Штатів зростають на фоні переговорів президента США Дональда Трампа з членами Конгресу стосовно фінансування побудови стіни на кордоні з Мексикою.

В той же час експерти попереджають про небезпеку зростання дефіциту бюджету країни.

25 січня президент Дональд Трамп оголосив про відновлення роботи урядових установ після «шатдаун», який почався в кінці року, тривав 35 днів і став найтривалішим в історії США.
…

A new report finds the world’s unemployment rate has dropped to five percent, the lowest level since the global economic crisis in 2008. The International Labor Organization reports the jobs being created, however, are poor quality jobs that keep most of the world’s workers mired in poverty.

Slightly more than 172 million people globally were unemployed in 2018. That is about 2 million less than the previous year. The International Labor Organization expects the global unemployment rate of five percent to remain essentially unchanged over the next few years.

The ILO report — World Employment and Social Outlook: Trends 2019 — finds a majority of the 3.3 billion people employed throughout the world, though, are working under poor conditions that do not guarantee them a decent living.  

ILO Deputy Director-General for Policy, Deborah Greenfield says many people have jobs that do not offer them economic security, lack material well-being and decent work opportunities.

“These jobs tend to be informal and characterized by low pay, insecurity and little or no access to social protection and rights at work. Worldwide, 2 billion workers, or 61 percent, were in informal employment,” she said.

Over the past 30 years, the report finds a great decline in working poverty in middle-income countries. But the situation remains serious in low- and middle-income countries. The report says one-quarter of those employed there do not earn enough to escape extreme or moderate poverty.  

Regionally, the ILO reports only 4.5 percent of Sub-Saharan Africa’s working age population is unemployed, with 60 percent employed. ILO Director of Research, Damian Grimshaw, says these good statistics are deceptive.

“In sub-Saharan Africa we find 18 of the top 20 countries with the highest rates of poverty. And they are also the countries with very, very high informal employment. So, higher than 80 percent in most countries in sub-Saharan Africa, despite having some of the lowest unemployment rates in the world,” he said. 

Grimshaw says the unemployment rate is not a good measure of labor market performance or economic performance in countries with high rates of informality.

ILO experts also highlight the lack of progress in closing the gender gap in labor force participation. They note only 48 percent of women are working, compared to 75 percent of men.

Another worrying issue is high youth unemployment. The ILO says one in five young people under 25 are jobless and have no skills. It warns this compromises their future employment prospects.

 
…

Євросоюз 12 лютого домовився про нові правила регулювання газопроводу «Північний потік-2».

На газопровід будуть поширюватися вимоги європейської газової директиви, однак Німеччина зможе робити для нього виключення. Їх потрібно буде погоджувати з Єврокомісією.

Німеччина, компанії з якої беруть фінансову участь у проекті постачання газу до Європи з Росії в обхід транзитних можливостей України, підтримує його і на державному рівні, називаючи «суто комерційним», хоча Берлін заявляє про необхідність зберегти транзит російського газу і через Україну.

Читайте також: Європарламент усвідомив, що небезпека від Росії значно зросла – Калніете

Україна, як і низка країн Євросоюзу, переважно східноєвропейських, балтійських і скандинавських, а також США виступають проти цього проекту. Вони наголошують, що проект суто політичний, бо збільшує залежність Європи від російського газу, і економічно не обґрунтований. Таку позицію підтримує і Європейська комісія, яка в разі ухвалення пропонованих змін до директиви зможе певним чином впливати на використання газогону.

У разі припинення чи різкого скорочення транзиту російського газу через Україну Москва зможе легше шантажувати Київ, а також позбавить його важливого джерела надходжень із плати за транзит, вважають супротивники проекту.
…

У 2018 році валовий внутрішній продукт України зріс на 3,2%, заявив прем’єр-міністр України Володимир Гройсман.

«Ми маємо досить позитивний показник 3,2% зростання ВВП. Це оперативні дані згідно з розрахунками Мінекономіки», – сказав Гройсман.

Він додав, що рівень інфляції в Україні у 2018 році склав менш як 10%.

За оцінкою Світового банку, у 2017 році валовий внутрішній продукт України склав 112,2 мільярда доларів США.
…

Democrats pushed on Tuesday for a nationwide paid family leave system in the United States, the only developed nation that does not guarantee pay to workers taking time off to care for children or other relatives.

The proposal would establish a national insurance program to provide workers with up to 12 weeks paid leave per year for the birth of a child, adoption or to care for a seriously ill family member.

The lack of paid family leave takes a particular toll on women who tend to care for children and aging relatives, and the proposed Family Act would bring national policy in line with other countries, supporters say.

The United States is one of only five nations that have no guaranteed paid maternity leave, the other four being Lesotho, Liberia, Papua New Guinea and Eswatini, formerly Swaziland, according to the World Policy Analysis Center, a research group at the University of California, Los Angeles.

Family leave legislation has been introduced in the U.S. Congress in previous years but been unsuccessful.

Now, with Democrats controlling the lower House of Representatives and a record 127 women in the House and Senate, it could have a fighting chance, said Democratic Senator Kirsten Gillibrand of New York, a sponsor of the bill.

“Now we have a majority. We have a real shot at getting this passed, and I am so optimistic we can get this done,” said Gillibrand in a statement.

Gillibrand recently announced her intention to seek the Democratic Party’s nomination for president. Guaranteed paid leave exists in a handful of states but not on the national level.

President Donald Trump has voiced support for six weeks of paid leave but his proposal does not cover care for sick family members.

Opponents say paid leave could be too costly for small businesses to shoulder. Supporters of the Family Act say it could be funded through paycheck deductions at an average weekly cost of $1.50 to workers.

“It’s shameful that America has lagged behind for so long on paid maternity leave,” Toni Van Pelt, head of the National Organization for Women, told the Thomson Reuters Foundation. The Center for American Progress, a Washington-based policy institute, estimates more than $20 billion in U.S. wages are lost each year due to workers lacking access to paid family and medical leave.

One in every four U.S. mothers returns to work 10 days after giving birth, according to Paid Leave for the United States, a group promoting family leave.
…

The national debt has passed a new milestone, topping $22 trillion for the first time.

The Treasury Department’s daily statement showed Tuesday that total outstanding public debt stands at $22.01 trillion. It stood at $19.95 trillion when President Donald Trump took office on Jan. 20, 2017.

The debt figure has been rising at a faster pace following passage of Trump’s $1.5 trillion tax cut in December 2017 and action by Congress last year to increase spending on domestic and military programs.

Michael Peterson, head of the Peter G. Peterson Foundation, says “our growing national debt matters because it threatens the economic future of every American.”

Peterson said that interest on the national debt already costs more than $1 billion daily, and “as we borrow trillion after trillion, interest costs will weigh on our economy and make it harder to fund important investments for our future.”

The national debt is the total of the annual budget deficits. The Congressional Budget Office projects this year’s deficit will be $897 billion, which would be a 15.1 percent increase over last year’s imbalance of $779 billion. The CBO is projecting that the deficit will keep rising in coming years and will top $1 trillion annually beginning in 2022 and never drop below $1 trillion through 2029. Much of the increase will come from rising costs to fund Social Security and Medicare as baby boomers retire.

The Trump administration contends that its tax cuts will eventually pay for themselves by generating faster economic growth. However, that projection is disputed by many economists.
…

A social venture in Myanmar is boosting farm outputs with customized technologies and giving loans for seasonal migration to raise incomes in one of the world’s poorest countries.

Proximity Designs, which was set up in 2004 in the country’s commercial hub Yangon, focuses on farming, on which more than two-thirds of the population relies to make a living.

The ethical business gives farming advice, custom-designed irrigation products, and loans for crops, livestock and migration to about 200,000 clients in the Southeast Asian nation.

“It’s about improving access of smallholder farmers to knowledge, technology and capital,” said Ben Warren, head of strategy and finance at Proximity. “Myanmar was closed for so long, it was hard for farmers to access these. While access is better now, not many products are made for farmers or reach them.”

Myanmar began emerging from nearly half a decade of military rule in 2011. Helping its smallholder farmers requires a deep understanding of context, as well as empathy and creativity, Warren told Reuters.

Across Southeast Asia, businesses with a social purpose are improving the lives of vulnerable communities and helping narrow inequality.

In Myanmar, farmers rely heavily on the monsoon rain, and the country has one of the lowest percentages of irrigated farmland in Asia, according to Proximity.

The company designed a range of products including drip and sprinkler irrigation systems, and solar-powered pumps which can help increase yield by about a third, Warren said.

As a social venture, Proximity is better placed to help farmers than businesses with a purely profit motive, he said.

“Some areas are not viable or are hard to get to. Since we are supported by some funding, it allows us to subsidize our products and go the extra mile to reach farmers,” he said.

Proximity started giving micro loans to farmers in the aftermath of Cyclone Nargis in 2008, Myanmar’s worst natural disaster which killed nearly 140,000 people and affected some 2.4 million people.

About two years back, based on feedback from its clients, Proximity began “on-the-go” loans to help families during the dry season from November to April, when many men move to cities in search of factory or construction jobs.

A loan of about 200,000 kyat ($130) helps the family in the village until they receive remittances from the city, and also pays for the initial trip to the city, Warren said.

While on-the-go loans are a small part of Proximity’s portfolio now, they could grow because of demand, Warren said.

“Seasonal migration is an annual occurrence in nearly every rural family. With a loan from a reliable source, they can do it without worry,” he said.
…

U.S. President Donald Trump said on Tuesday that he could let the March 1 deadline for a trade agreement with China “slide for a little while,” but that he would prefer not to and expects to meet with Chinese President Xi Jinping to close the deal at some point.

Trump’s top trade negotiator and Treasury secretary arrived in the Chinese capital on Tuesday for high-level talks later in the week as the world’s two largest economies attempt to hammer out a deal to protect American trade secrets and avoid another escalation of U.S. tariffs on Chinese goods after March 1.

If negotiators are coming close to a complete deal, Trump said he could see pushing off that deadline.

“We’re doing very well over in China,” Trump told reporters at a cabinet meeting, adding that the negotiating team is big.

“If we’re close to a deal where we think we can make a real deal and it’s going to get done, I could see myself letting that slide for a little while,” Trump said. “But generally speaking I’m not inclined to do that.”

U.S. advisers have previously called March 1 a “hard deadline” for the talks.

Trump’s comments on the China trade talks helped fuel a broad rally in the U.S. stock market, along with the president’s comments that he did not anticipate another government shutdown despite not being “happy” with a tentative congressional deal for border security funding.

The S&P 500 was up 1.35 percent in mid-afternoon trading, on track for its best day since Jan. 30.

If the United States and China cannot reach a deal by March 1, U.S. tariffs on $200 billion worth of Chinese imports are scheduled to increase to 25 percent from 10 percent.

China would likely respond by raising tariffs on $60 billion worth of U.S goods that it announced last year in retaliation.

A recent resumption of Chinese soybean purchases also would likely end.

‘Several important days of talks’

U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin arrived in Beijing on Tuesday and are scheduled to hold talks Thursday and Friday with Chinese Vice Premier Liu He, top economic adviser to President Xi Jinping.

“We’re looking forward to several important days of talks,” Mnuchin told reporters after arriving at a Beijing hotel.

Lighthizer, who arrived at the hotel earlier in the day, did not answer reporters’ questions.

Washington is expected to keep pressing Beijing on long-standing demands that it make sweeping structural reforms to protect American companies’ intellectual property, end policies aimed at forcing the transfer of technology to Chinese companies, and curb industrial subsidies.

The latest round of talks in Beijing kicked off Monday with discussions among deputy-level officials to try to work out technical details, including a mechanism for enforcing any trade agreement. A round of talks at the end of January ended with some progress reported — but no deal and U.S. declarations that much more work was needed.
…

A union declared total victory in a mass strike by about 25,000 workers at 48 assembly plants in a Mexican border city, but the movement spawned a storm of wildcat walkouts Monday at other businesses.

The Industrial Workers and Laborers’ Union won 20 percent wage increases at all 48 “maquiladora” factories in Matamoros, across the border from Brownsville, Texas. It also won a one-time bonus of about 32,000 pesos, about $1,685 at current exchange rates.

Now workers at about a dozen non-union businesses as well as factories organized by other unions have started wildcat walkouts to demand the same increases, known colloquially as “20/32.”

The Tridonex auto parts company said in posts on its Facebook page Monday that pickets had prevented employees from entering its Matamoros plant and it cancelled some shifts. Video showed workers outside the plant chanting “20/32!”

The local maquiladora association, known as Index, said that all the plants in the association had signed labor contracts as of last week and that none of the businesses affected by the wildcat strikes are members.

Javier Guerrero, a Matamoros public relations specialist who has been active in strike support work, said the example set by the first round of strikes has spread to local businesses, many of which are not maquiladoras, which assemble products for export to the United States.

Supermarkets, bottlers and a milk company in Matamoros were reportedly hit by walkouts.

“In the past week, the strike wave has spread beyond the factories to supermarkets and other employers, with all the workers demanding ’20/32,'” said the AFL-CIO, which has sent a delegation to support the striking workers.

The mass strike erupted after President Andres Manuel Lopez Obrador decreed a doubling of the minimum wage in Mexico’s border zones, apparently unaware that some union contracts at the maquiladora plants are indexed to minimum wage increases.

While other Mexican cities don’t have the same contract clauses, for workers often making less than $1 an hour, the appeal of a pay raise and bonus has proved irresistible.

“Just as happened in Matamoros, it (the walkouts) spread to other companies and unions. It is very probable that it will spread to other cities, at least within the border area,” Guerrero said.

There has been a generalized upsurge in Mexico’s long-dormant labor movement since Lopez Obrador took office Dec. 1, something the president doesn’t appear to have planned on or encouraged. Lopez Obrador has simply promised to keep the government out of unions’ internal affairs and allow for free and fair union elections.

For a union movement kept in check for decades by pro-company union bosses allied with the former ruling Institutional Revolutionary Party, the promise of union democracy has been enough to spark a revival.

But there has already been a backlash.

“In the past week, as many as 2,000 strike leaders have been fired and blacklisted, despite legal prohibitions and non-reprisal agreements signed by the employers,” said the U.S. union delegation, which included representatives from the AFL-CIO, United Auto Workers and United Steelworkers.

“The Mexican and U.S. governments must both demand that these U.S. companies honor their agreements and stop firing and blacklisting these courageous workers,” said Texas AFL-CIO Secretary-Treasurer Montserrat Garibay.

Meanwhile, Lopez Obrador has been struggling with the most radical and intractable union in Mexico, the CNTE teachers’ union, which has blocked railroad lines in the western state of Michoacan on and off for the last month.

The teachers lifted most blockades last week but on Monday they briefly re-established a protest camp on a line operated by Kansas City Southern de Mexico.

KCSM reported that by late Monday, the camp had been removed and the line re-opened. But the company said that during 28 days of blockages, 414 trains were prevented from running and 3.5 million tons of freight was stalled.

The teachers initially started the blockages to demand back pay, but they kept blocking rail lines even after they were paid.
…

Vale SA, the world’s largest iron ore miner, knew last year that the dam in Brazil that collapsed in January and killed at least 165 people had a heightened risk of rupturing, according to an internal document seen by Reuters on Monday.

The report, dated Oct. 3, 2018, shows that Vale classified Dam 1 at the Córrego do Feijão mine in Brumadinho as being two times more likely to fail than the maximum level of risk tolerated under the company’s own dam safety policy.

Vale did not immediately respond to a request for comment.

It has previously cited an independent audit last year declaring the dam safe and said that equipment showed the structure was stable just weeks before the collapse.

First evidence of concern

The previously unreported document is the first evidence that Vale itself was concerned about the safety of the dam. It raises questions as to why the audit around the same time guaranteed the dam’s stability and why the miner did not take precautions, such as moving a company canteen that was just downhill from the structure.

U.S.-listed shares of Vale extended losses following the Reuters story, dropping as much as 2.6 percent to $11.10.

The company has lost a quarter of its market capitalization — or nearly $19 billion — since the Jan. 25 dam collapse, Brazil’s most deadly mining accident.

The disaster in the mineral-rich state of Minas Gerais was the second major collapse of a mining dam in the region in about three years.

‘Attention zone’

Entitled “Geotechnical Risk Management Results,” Vale’s internal October report placed the Brumadinho dam within an “attention zone,” saying that “all prevention and mitigation controls” should be applied.

A failure could cost the company $1.5 billion and had the potential to kill more than a hundred people, the report said.

The dam was marked for decommissioning.

Nine other dams in Brazil, out of 57 that were studied, were also placed in the “attention zone,” according to the report.

A separate Vale report dated Nov. 15, 2017, also seen by Reuters, states that any structure with an annual chance of failure above 1 in 10,000 should be brought to the attention of the chief executive and the board.

The dam’s annual chance of collapse was registered as 1 in 5,000, or twice the tolerable “maximum level of individual risk,” according to the report.

“That’s not good in my book, especially if you consider that these are meant to be long-term structures,” said David Chambers, a geophysicist at the Center for Science in Public Participation and a specialist in tailings dams.

Reuters was unable to confirm whether the board or CEO Fabio Schwartzman were made aware of the risk associated with the dam.

Vale has consistently said the collapsed dam was declared sound by an independent auditor in September.

The audit by Germany-based TÜV SÜD, which was seen by Reuters, said the dam adhered to the minimum legal requirements for stability but it raised a number of concerns, particularly about the dam’s drainage and monitoring systems.

The auditor made 17 recommendations to improve the dam’s safety.

Vale said the recommendations were routine and that the company attended to them all.

Its internal report identified static liquefaction and internal erosion as the most likely causes of a potential failure at the dam in Brumadinho.

‘Liquefaction’ to blame?

It is still not known what was behind the collapse, but a state environmental official told Reuters this month that all evidence pointed to liquefaction.

Liquefaction is a process whereby a solid material such as sand loses strength and stiffness and behaves more like a liquid. It was the cause of the 2015 dam collapse, at a nearby mine co-owned by Vale, which resulted in Brazil’s worst-ever environmental disaster.

“We used to say these kinds of mining incidents were acts of God, but now … we consider them failures in engineering,” said Dermot Ross-Brown, a mining industry engineer who teaches at the Colorado School of Mines.

Vale has said it will invest some $400 million from 2020 to reduce its reliance on tailings dams, which store muddy detritus from mining.
…

U.S. Secretary of State Mike Pompeo is warning Hungary the presence of Chinese telecommunication manufacturer Huawei in the European country is complicating Budapest’s partnership with Washington. 

The chief American diplomat Monday arrived in Budapest on Monday, the first leg of his European trip. Huawei has established Hungary as a European hub, where it can develop its fifth-generation mobile networks.

“If that equipment is co-located in places where we have important American systems, it makes it more difficult for us to partner alongside them. We want to make sure we identify [to] them the opportunities and the risks associated with using that equipment,” said Pompeo.

While noting sovereign nations such as Hungary will “make their own decisions,” Pompeo said it’s imperative the United States shares potential risks from Huawei with its NATO allies.

American officials are increasingly troubled by Huawei’s expansion in Europe, especially in NATO member states where Washington believes the Chinese telecom manufacturer poses significant information security threats.

At a joint press conference with Hungarian Foreign minister Peter Szijjarto, Pompeo said he has raised with Szijjarto “the dangers of allowing China to gain a bridgehead in Hungary.”

But the U.S. pressure campaign against Huawei faces challenges. Hungary has said it has no plans to reconsider the decision to award the 5G networks contract to Huawei. 

Many in China believe that the U.S. government concerns over Huawei’s security are at least in part aimed at helping American companies better compete against foreign rivals. But U.S. officials reject that notion.

“That sounds like a lot of mirror imaging to me,” said U.S. Assistant Secretary of State for International Security and Nonproliferation Christopher Ford in an interview with VOA, noting “the Chinese government has actually been extraordinarily grand in its ambitions to do just that sort of thing with Chinese companies.”

Ford pointed to numerous public reports in recent years that have blamed Chinese government-backed hackers with cyber campaigns stealing corporate secrets and financial data. 

“Cyber-facilitated theft of intellectual property, for example, has become notorious around the world. But the Chinese government has been doing that very systematically in order to advantage its own national champion industries in particular sectors,” Ford added.

Social media threats?

Weary of data collection and Chinese technology transfer for military purposes, the U.S. government is considering tighter restrictions on the use of social media apps that have geolocation features within diplomatic and military facilities.

While the State Department does not expressly prohibit the use of commercial geolocation applications on smartphones and other personal electronic devices by employees serving internationally, measures are taken to address the potential security risks.

The State Department has issued guidance requiring each post to develop a policy regarding the restrictions placed on using personal electronic devices.

“We obviously need to continue to be mindful of that, and to update and improve our understanding of best practices,” said Assistant Secretary of State Ford.

Last year, the Pentagon started prohibiting personnel from using geolocation features on electronic devices while in locations designated as operational areas.

Those restrictions could impact popular social media applications like TikTok, a Chinese-made app for sharing short videos that is popular among young adults.

All social media companies gather data on their users, but experts warn that Chinese companies in particular pose unique challenges because the Beijing government has absolute authority to request private user data. 

“The user in Western countries might not be aware that in China, the government has a far broader reach compared to over here, so they can request data out from a private company on national security grounds,” Claudia Biancotti, visiting fellow at the Peterson Institute for International Economics (PIIE), told VOA in a recent interview.

Biancotti added in China, “they don’t really have independent courts to oversee the process.”

“If this information is sent to China, it can be easily accessed by the government and leveraged, say, to make Beijing’s surveillance software better at recognizing Western faces, or at extracting intelligence on Western military activities,” warned Biancotti in a recent report.

TikTok, launched as Douyin in China in 2016, is owned by Chinese internet technology company ByteDance who later acquired Musical.ly, a popular lip-sync app among American teenagers. ByteDance merged Musical.ly with TikTok in 2018 as a means of entering the U.S. market. 

Last October, TikTok surpassed Facebook, Instagram, YouTube and Snapchat in monthly installations. 

TikTok recently updated its privacy policy for U.S. residents, removing all references about storing data in China. 

Last August, TikTok stated in the privacy policy: “We will also share your information with any member or affiliate of our group, in China,” but the latest update in January of 2019 deleted the word “China.”

The company wrote an email to VOA’s Mandarin service that they regularly update their privacy policies while noting that TikTok does not operate in China.

TikTok’s current privacy policy stated it automatically collects technically and behavioral information from users, including IP address, location-related data or other unique device identifiers. 

“We may also collect Global Positioning System (GPS) data and mobile device location information.” But users can switch off location information functionality on their mobile device if they do not wish to share such data.

“We will share your information with law enforcement agencies, public authorities or other organizations if legally required to do so,” TikTok stated. 

VOA’s Mandarin Service, Jeff Seldin and Mo Yu contributed to this report.
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З січня по вересень 2018 року тіньовий сектор економіки сягав 32% від офіційного обсягу валового внутрішнього продукту України – таку цифру містить звіт Міністерства економічного розвитку і торгівлі «Загальні тенденції тіньової економіки в Україні», оприлюдненому 11 лютого.

При цьому автори звіту звертають увагу на те, що цей показник на 1% нижчий за дані аналогічного періоду 2017 року.

«32% – найнижчий рівень за останні 10 років у розрахунку за період дев’ять місяців кожного року. Такий рівень детінізації економіки можна розглядати як один із критеріїв оцінки ефективності впроваджуваних реформ і сприйняття їх суспільством», – йдеться в заяві МЕРТ.

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Як зазначено в звіті, з січня по вересень 2018 року Державна аудиторська служба здійснила 1100 планових і позапланових перевірок, в ході яких виявила порушення фінансово-господарської дисципліни в роботі понад тисячі підприємств, установ і організацій.

Серед чинників, що сприяють тіньовій економіці, урядові аналітики називають корупцію, низьку ефективність судів, недостатній захист права власності та «непередбачуваність змін у податковому законодавстві».

Раніше 11 лютого Державна фіскальна служба повідомила, що протягом січня 2019 року українці задекларували 3,6 мільярди гривень доходів.
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