Germany. Powerhouse Or Powderkeg? Designed and Produced By: 3C Creative Agency, 3C.Com.Au
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GERMANY. POWERHOUSE OR POWDERKEG? DESIGNED AND PRODUCED BY: 3C CREATIVE AGENCY, 3C.COM.AU ARTICLE BY: CHARLES WEULE PAINTINGS BY: AMY CASEY IMAGES COURTESY OF ZG GALLEY, CHICAGO. WWW.ZGGALLERY.COM © AMY CASEY © PLATINUM CAPITAL LIMITED DESPITE SIGNS OF ECONOMIC RECOVERY, EUROPE, INDEED THE DEVELOPED WORLD, HAS BEEN ENGULFED BY A WAVE OF ANTI- ESTABLISHMENT MOVEMENTS OVER THE PAST YEAR. WHAT IS GOING ON? AND WHY? CHARLES WEULE’S ON-THE- GROUND REPORT FROM GERMANY, THE HEART OF EUROPE’S IMMIGRATION CRISIS, MAY HELP SHED SOME LIGHT. II Platinum Capital Limited Annual Report 2016 PREFACE THE PRESENT DECADE HAS The angst and frustration culminated in the vote of the British people on 23 June BEEN A TUMULTUOUS ONE 2016 to leave the EU, but the chaos that FOR EUROPE. MORE THAN ensued at Westminster suggests that A HANDFUL OF COUNTRIES ‘solutions’ and stability, if there were such IN THE EUROPEAN UNION a thing, are still some distance away. WENT THROUGH A Of these continual crises, last year’s refugee crisis has been one of the most trying on SOVEREIGN DEBT CRISIS IN the cohesion and strength of the EU and THE AFTERMATH OF THE was arguably a key factor that shaped the 2008-09 GLOBAL FINANCIAL outcome of the Brexit referendum. CRISIS AND, AT LEAST FOR While politicians and bureaucrats wonder NOW, FISCAL AUSTERITY AND at the intensity and spread of anti- establishment sentiments and mainstream UNPRECEDENTED MONETARY media busy themselves with denouncing EXPANSION CONTINUE the re-emergence of far-right nationalism, TO SIT SIDE BY SIDE AS an on-the-ground, first-hand account THE TWIN PILLARS OF of the daily interactions between the locals and the newly arrived immigrants ECONOMIC POLICY. may shed some light on the cause of the widespread discontentment and the A REGION THAT WAS breakdown of a precarious equilibrium ALREADY APPREHENSIVE and unity. FROM ECONOMIC And so we present you with this special UNCERTAINTIES WAS report from Charles Weule. Charles is a FURTHER SHAKEN BY THE former investment analyst at Platinum, who now lives and works in Germany. SERIES OF ISLAMIC TERRORIST Equipped with a unique linguistic gift, ATTACKS AND THE INFLUX OF Charles has travelled to and lived in MILLIONS OF IMMIGRANTS many parts of the world. Having learned Japanese fluently, he went on to become AND REFUGEES EN MASSE totally proficient in Mandarin. As with FROM THE OTHER END OF these two Asian languages, his use of THE MEDITERRANEAN SEA German leaves him indistinguishable AND BEYOND. from a native. Platinum Capital Limited Annual Report 2016 III Charles has been teaching languages in – which was so atypical of Germans – Berlin. In 2015 he joined the ranks of annoyed, frustrated and enraged many. thousands of Germans to help – to work When large numbers of foreigners with with – the one million refugees that have different religions, different values and found their way to this new ‘Promised different expectations are suddenly Land’. The seemingly trivial encounters imposed on communities, at least some relayed in Charles’ account paint quite of their concerns and displeasure seem a different picture to what one might natural enough. The issue of immigration hear from both Chancellor Merkel and is much more than economics and her counterpart in the Alternative for politics. It impacts on the collective sense Deutschland (AfD) party. of security, identity and sovereignty The picture is not one comprised only of of a population, and is emotive at an lifeless children washed up on the shores individual level. of Greek islands and war-ravaged families While we may observe from afar the marching through the perilous roads of geopolitical crises playing out in Europe the Balkans. Nor is it as simple as altruism and analyse the economic impact of the versus xenophobia, good against evil, ECB’s negative interest rates, Charles’ right versus wrong. Truth and reality are report brings a broader and closer view often drowned out by the voices from the on the situation in the region and gives two extremities of the spectrum. us a rare insight into the thinking of The multiple rounds of financial bail- ordinary German citizens. He also outs extended to other EU nations did provides us with a historical perspective. not much diminish the heroic status of Viewed in the context of the country’s Angela Merkel in the eyes of the German past woes and vicissitudes, the generosity people. But when she decided to welcome of the German people shines through the countless immigrants fleeing war-torn as all the more extraordinary and their Syria and Iraq (and whoever else that saw fear and exasperation all the more it desirous to join them on the journey) understandable. It helps to understand with open arms, many turned against her how governments’ mismanagement of and sided with neighbouring governments sensitive issues like mass immigration with less magnanimous policies. could lead to popular revolts and irrational outcomes like Brexit, and this The lack of consultation with may in turn help us prepare for what Germany’s own citizenry as well as may be lying ahead. other European countries, the lack of consideration given to both short- and KERR NEILSON long-term consequences, and the sheer unpreparedness for what was to follow Managing Director August 2016 IV Platinum Capital Limited Annual Report 2016 Platinum Capital Limited Annual Report 2016 V THE BALKAN ROUTE TO EUROPE’S POWDERKEG BY CHARLES WEULE QUESTIONS OF SOVEREIGNTY THESE ARE INTERESTING Sovereignty, once the stuff reserved for kings, has long been owned by respective TIMES TO BE LIVING IN peoples, thanks to Europe’s gift of GERMANY – INDEED IN Enlightenment. Or at least that was EUROPE, WHICH SEEMS the taught thought. TO GROW AND SHRINK, While the Brits, in the tradition of the WAX AND WANE, BE NEAR Magna Carta, are leading the charge against wanton waste stemming from EXPLODING AND THEN CALM Brussels, Berlin’s citadel has been rocked AND CIVILISED (ALBEIT AMID regularly enough over the last twelve TALK OF CIVIL WAR) FROM months to suggest that policy there is ONE DAY TO THE NEXT. also out of joint. Hubris had grown around Deutschland’s INTERESTING TIMES hitherto ability to contribute, indeed – A VIEWPOINT FOR instigate, remedies for the transnational SOCIOLOGISTS AND problems of others. Less than a year ago, however, that reputation began to SIMILARLY PASSIVE unravel, as word went out from Berlin that OBSERVERS. FRIGHTENING displaced folk who could find their way TIMES – IN THE MINDS to central Europe would find shelter inside Germany’s welcoming borders. OF A GROWING MANY. VI Platinum Capital Limited Annual Report 2016 Unlike mobile phones, passports proved SO MANY QUESTIONS irrelevant (which is itself a shocking REMAIN UNANSWERED. fact of temptation. Even after living here HOW MANY PEOPLE ACTUALLY legally for eleven years, whenever I renew ENTERED GERMANY LAST YEAR my residency permit I need to prepare WITHOUT SHOWING ANY ten pieces of stamped documentation IDENTIFICATION? proving that I have work, health insurance, superannuation and that I have How many were refugees fleeing conflict never received a cent of welfare or other and how many were simply opportunists government money). And so more than seeking a better life? Are they literate, a million came. educated? Are they traumatised and needing long-term therapy and care THE IDEA WAS THAT THE REST from psychologists and counsellors? OF THE CONTINENT WOULD BE COAXED INTO PITCHING IN TO Reportedly only 363,000 of the 1.25 million newcomers came from ALLEVIATE THE BURDEN ADDING war-ravaged Syria. Many are from DAILY ON GERMAN SHOULDERS. Afghanistan where German soldiers and Europe’s changing political make-up, others have spent years and millions of however, saw this last of Berlin’s great euros, even sacrificed their lives, helping hopes severely falter, indeed backfire. to bolster the local economy and security. Talk by the Chancellor or any other Why should they qualify as asylum German minister holds less sway across seekers when at least parts of their Europe. Attempts to pull European countries are safe to live in? Why do ‘partners’, even kicking and screaming so many come from countries free of along, have not worked. Lecturing the conflict? Why don’t they stay where rest of Europe with wailing words backed they land in Europe and are supposed by Brussels that Europe is built on values to register? Have they been registered? of solidarity and doing the right thing; Heightened security concerns, especially suggesting Europe should morally act as after repeated terrorist attacks in Europe one, even simply requesting a token show recently, have exacerbated the dilemma of help – Germany’s Coalition ministers that had grown around the number of have resorted to all this in front of the asylum seekers into a full-blown crisis. cameras and who knows what frantic mix of More general concerns have similarly insisting and pleading behind the scenes. taken hold, not least in terms of how This developing lack of continental politicians and people lower down deference has begun to impact German Germany’s bureaucratic food chain ought domestic issues and the topic of refugees has to deal with such large and, moreover, grown into the biggest and most pressing set unknown numbers of people from often of questions for the government, dominating unknown backgrounds. not daily, but hourly discussions on German radio and television. Platinum Capital Limited Annual Report 2016 VII Young men from the Maghreb claimed Germany’s Vice-Chancellor has status as Syrians until translators detected suggested that five million refugees could their varied Arabic. Not to worry, suggested be assimilated over the next five years – pro-refugee politicians and overly a statement easy enough to make, easy optimistic industry leaders, Germany could enough for his supporters to support.