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AID

Yemen troops search for French aid workers

Yemeni security forces were searching on Monday for three French aid workers missing in the southeastern province of Hadramawt, a provincial official told AFP without confirming they had been kidnapped.

“All the security services have been mobilised and are searching the region, in the valleys and the desert,” said Omair Mubarak Omair, number three in the provincial administration.

Omair said he could not confirm that the trio, missing since Saturday in the vast desert province, had been abducted.

“For the moment, we consider them missing and do not have any proof of their kidnapping,” he said.

In Paris, however, foreign ministry spokesman Bernard Valero said the kidnap theory was “gaining in credibility” after confirming that the workers’ car was found “undamaged” on Monday.

“That reinforces the possibility that they were kidnapped,” he told AFP.  

Earlier a Yemeni security official had said their car was found on the road some 20 kilometres (12 miles) from Shibam, a city known as the “Manhattan of the Desert” because of its spectacular mud-brick high-rise buildings.

“Today we found the Hilux pickup of the three French on the road linking Seyun to Shibam,” the official said without elaborating.

The three – two women and a man – are part of the French non-governmental organisation Triangle Generation Humanitaire, and were working with a group of 17 Yemenis in the town of Seyun, 600 kilometres (370 miles) east of Sanaa.

The official said they had refused protection from Yemeni authorities, saying they did not need it.

Foreigners have frequently been kidnapped in Yemen by tribes who use the tactic to pressure the authorities into making concessions.

More than 200 foreigners have been kidnapped in Yemen over the past 15 years, with almost all of them later freed unharmed.

FINANCE

‘We’ll be struggling well into next year’: German borrowing to soar amid pandemic

Germany on Friday passed a 2021 budget that once again smashes its "debt brake" rule, promising to shield businesses and workers from the economic hit of the pandemic as cases continue to rise.

'We'll be struggling well into next year': German borrowing to soar amid pandemic
The seating area of a restaurant closed off in Boltenhagen on the Baltic Sea coast. Photo: DPA

Chancellor Angela Merkel's government plans to borrow €300 billion ($364 billion) across 2020 and 2021 combined after the government pledged more than a trillion euros in aid, including through short-time work schemes (Kurzarbeit) and business support.

“The budget is the basis for everyone to be confident that we can provide the necessary economic and social support to get us through this crisis together,” Finance Minister Olaf Scholz told lawmakers.

The budget for 2021, which passed with 361 votes in favour to 258 against, provides for a total of €179.8 billion in new loans and nearly €500 billion in public spending.

It means for both 2020 and 2021, Germany will abandon its cherished “debt brake”, a constitutionally enshrined rule that forbids the government from borrowing more than 0.35 percent of gross domestic product (GDP), before planning to return to no new debt in 2022.

Restrictions to curb the second wave of Covid-19 – including shutting the food-and-drink, leisure and cultural sectors – continue to burden the economy, which previously pushed Berlin to amplify its aid to businesses.

Yet case rates continue to climb. On Friday, Germany reported a record nearly 30,000 new infections and almost 600 deaths in a 24-hour period.

Now, Merkel is facing calls to tighten restrictions again.

READ ALSO: Germany mulls three-week lockdown from December 20th

Aid can't be 'endless'

Despite the “ray of hope” of a vaccine rollout, Scholz said, “we know that… we're going to be struggling well into next year with the health, economic and social challenges that are going to follow from this pandemic.”

Businesses hit by the current closures are entitled to claim aid amounting to up to 75 percent of their revenues for November and December 2019, expected to cost the government some 30 billion euros.

However Economy Minister Peter Altmaier said last week that support for pandemic-hit firms implemented through November and December could not go on “endlessly”.

Nevertheless Altmaier on Friday said he aimed to increase the ceiling for aid from January in the case of a harder lockdown.

Germany's debt-to-GDP ratio will climb to 70 percent this year, Germany's central bank said in a report published Friday.

But public finances will likely improve as coronavirus measures come to an end, it said.

The government expects the economy to shrink by 5.5 percent this year, before rebounding by 4.4 percent next year.
 

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