Macedonia Project Overview Reports Index Macedonia�s Public Secret: How Corruption Drags The Country Down 14 August 2002 ICG Balkans Report N�133 Corruption is endemic in Macedonia, especially at high levels. It has the capacity not only to retard economic progress and feed organised crime, but also to increase the risk of political and communal instability. The Ohrid Agreement, which cut short a developing civil war last year, depends on democratic institutions and a market economy to succeed. However corruption is weakening the state and if left to fester and spread will continue to erode Macedonia�s frail unity and send dangerous ripples throughout the region. The report discusses specific allegations, wherever possible cites both sides of the story, and calls upon Macedonia�s government to undertake thorough, impartial investigations and lay out all relevant information so that Macedonia�s citizens and the international community can make up their own minds. Media Release: Macedonia�s Public Secret: How corruption drags the country down 14 August 2002

Sudan Project Overview Reports Index Sudan peace talks in Kenya: a shaky chance for peace 12 August 2002 ICG Sudan Media Release The talks beginning their second phase on 12 August in Machakos in Kenya are the best chance of a just peace in Sudan since this terrible war began nearly twenty years ago. But the Machakos Protocol of 20 July, committing both sides to a referendum on unity or secession for southern Sudan after a six-year transition period and other agreed matters of principle, still has to be translated into a detailed peace agreement. The parties have widely divergent positions on important issues now to be addressed, such as the definition of the South, power sharing, wealth sharing, and security arrangements.

Indonesia Project Overview Reports Index Al-Qaeda in Southeast Asia: The case of the �Ngruki Network� in Indonesia 8 August 2002 ICG Indonesia Briefing Indonesia is not a terrorist hotbed. Proponents of radical Islam remain a small minority and only one network of militant Muslims, known as the Ngruki network, has produced all the Indonesian nationals so far suspected of links to al-Qaeda. The problem is that the Ngruki network is far wider than the handful of people who have been accused of ties to al-Qaeda and includes individuals with well-established political legitimacy for having defied the Soeharto government. The challenge both for the Indonesian government and the international community is to be alert to the possibility of individuals making common cause with international criminals without taking steps that will undermine Indonesia�s fragile democratic institutions. Media Release: ICG analyses Al-Qaeda links in Indonesia The Case of the �Ngruki network� 8 August 2002

Burundi Project Overview Reports Index The Burundi Rebellion and the Ceasefire Negotiations 6 August 2002 ICG Africa Briefing A new round of negotiations between Burundi�s government and rebel troops is scheduled to open in Dar-es-Salaam on 6 August. However the prospects are still weak that the talks will result in a sustainable and all-inclusive ceasefire. The competing interests of the army, government, rebel groups and neighbouring countries as well as internal divisions within each camp are putting the entire peace process and Burundi�s transition at risk. The main stumbling block in the current negotiations is perceived to be the Party for the Liberation of the Hutu People/National Liberation Forces (PALIPEHUTU-FNL), however, there are others who may benefit if the peace process fails. At the heart of Burundi�s conflict is a crisis of governance. The talks are simply a stepping stone toward addressing the root causes of the conflict. Media Release: Burundi: Rocky start for new ceasefire talks 6 August 2002

Middle East Project Overview Reports Index Iran: The Struggle for the Revolution�s Soul 5 August 2002 ICG Middle East Report N�5 The international community should avoid categorising Iran in one-dimensional terms. This detailed political analysis finds that leaders and people are deeply torn about the future, without clear-cut battle lines between conservatives and reformers. The complex domestic situation makes it difficult � but also imperative � that the international community exercises caution, properly fine-tunes its actions and anticipates their impact. Wholesale denunciation of Iran�s rulers threatens to force reformers, fearful of being branded traitors, to reluctantly close ranks with conservatives for national unity. The U.S. and EU should find common ground in their policy, both in constructive overtures and in responding to evidence of continuing support for terrorism. Iran is urged to abide by its own undertakings to refrain from providing arms, military training and covert assistance to groups that resort to violence, including terrorism, and to avoid contributing to proliferation of weapons of mass destruction. Media Release: Iran: The Struggle for the Revolution�s Soul 5 August 2002

Bosnia Project Overview Reports Index Bosnia's Alliance for (Smallish) Change 2 August 2002 ICG Balkans Report N�132 The ten-party coalition known as the Democratic Alliance for Change is expiring. With general elections to be held in Bosnia and Herzegovina on 5 October 2002, the Alliance is being subjected to sustained attack from inside and out. The Alliance managed to make notable improvements in areas such as budgetary and financial discipline in the Federation. Bosnia has also become a member of the Council of Europe and is on a slow path towards European integration. But the Alliance failed to put more bread on Bosnian tables. The outcome and conduct of these elections will determine whether Bosnia keeps moving forward, marks time, or goes backwards. In particular, the next government must have a comprehensive economic development plan. Media Release: Bosnia�s Alliance for Change Expires as Elections Approach 2 August 2002

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