WAR AT CAUCASUS, DOHA 08-11-2008

UNCLAS SAO PAULO 000433 SIPDIS STATE INR/R/MR; IIP/R/MR; WHA/PD DEPT PASS USTR USDOC 4322/MAC/OLAC/JAFEE E.O. 12958: N/A TAGS: KMDR OPRC OIIP ETRD BR SUBJECT: WAR AT CAUCASUS, DOHA 08-11-2008 War at Caucasus Editorial in liberal Folha de S. Paulo (08/11) says: "With a disfigured multilateralism it is even more difficult to resist the Russian expansionism on display in Georgia. ... Moscow's means of persuasion are not limited to its nuclear destructive capabilities any more. The characteristics of the new cycle of Russia's economic ascension, a country essential to guarantee the supply of natural gas and oil to the Europeans became a crucial diplomatic tool for the Kremlin. ...It is obvious that the international system is too weak to mediate the conflict and demand an immediate cease fire. Just remember that Bush, the paladin of Georgia's sovereignty, commanded the military invasion of a sovereign country, in an open challenge to U.N. " Doha and and Lost Hegemony Analysis by former Brazilian Treasury Minister Luiz Carlos Bresser Pereira in liberal Folha de S. Paulo (08/11) comments: "If we were still in the 90's, this round would have been concluded. However, at the end of 2000, we understand why the rich countries do not succeed in imposing their power so easily. During this period, their neo liberal reforms revealed themselves unable to promote economic development: a growing number of developing countries, now headed by India and China, reached extraordinary growing rates and changed the international balance of power, and the deplorable War in Iraq and the present financial crisis weakened their "hegemony". Brazil lost because the Doha Round would benefit us, but the poor countries headed by India won." White