Extensive Update 2022-03-22
What will happen for the rest of 2022 and beyond
Just three months into the year, the world has been set on end by Russia’s invasion of Ukraine. The ramifications by this aggression echoes worldwide. Safeture’s team of analysts discusses how it affects USA, several African countries, European energy- and resource interests, Russia’s international standing, but also China’s outspoken interest in Taiwan.
While the war in Ukraine is grabbing headlines worldwide, there are also several bright spots when it comes to the Covid-19 pandemic and how many countries are going into an endemic phase.
So what will happen in 2022? Follow the links on the right to respective analyst’s addendum and article.
These are the nine major trends and events that will happen in 2022, covering every major continent. In this Preview of 2022, Safeture’s team of analysts also recap the events that shook the world in 2021. While the pandemic will remain on top of everyone’s mind for many in 2022, other issues will also be at play, such as cyber-security threats, the military build-up in Russia and Ukraine, environmental issues following the COP26 summit, and stability in West Africa’s Sahel region. Also featured in this edition is Safeture’s Risk Forecast that identifies the type of risk that we believe will be the dominant theme for each country in 2022.
Editor’s Note
Another year has passed, with the world continuing to reel from the impacts of the Covid-19 pandemic that started in 2020. From controlling the pandemic at its onset, much of the world has since moved on to living with the virus as we learn more about it and vaccination drives gained momentum. The road to recovery has also started, albeit at a different pace across the globe, amid concerns over the emergence of a new variant, with Omicron being the latest. Aside from Covid-19, 2021 also saw the chaotic withdrawal of Afghans following the return of the Taliban and the escalation of the Tigray conflict in Ethiopia, two events that, among others, were highlighted in Safeture’s Preview 2021 edition.
In 2022, we hope to continue to help you with assessing and preventing risks through Alerts and risk assessments in both our platform and monthly Previews.
With the world set to ring the New Year bells, Safeture would like to take this opportunity to wish you a great 2022 and stay safe. Happy New Year!
Regards,
Safeture team
Nine significant events or trends to look out for in 2022
Table of Contents
Festivals in 2022
18 January
Thaipusam Day
9 July
Eid al-Adha celebrations
1 February
Chinese New Year
4 October
Yom Kippur
17 March
Saint Patrick's Day
24 October
Diwali celebrations
18 March
Holi
2 November
Day of the Dead in Mexico
13 April
Songkran festival in Thailand
24 November
Thanksgiving Day in the United States
17 April
Easter Sunday
Easter Sunday marks the resurrection of Jesus Christ with church services, family gatherings, festive meals, and Easter traditions.
13 December
Saint Lucia Day in Europe
2 May
Eid al-Fitr celebrations
25 December
Christmas Day
Sport events in 2022
4-20 February
Winter Olympics in Beijing, China
21 November - 18 December
FIFA World Cup in Qatar
28 July - 8 August
Commonwealth Games in Birmingham, England
Summits in 2022
17-18 February
African Union (AU)-European Union (EU) Summit in Brussels, Belgium
16-18 October
World Health Summit in Berlin, Germany
April/May
40th ASEAN Summit in Phnom Penh, Cambodia
October/November
41st Association of Southeast Asian Nations (ASEAN) Summit Phnom Penh, Cambodia
June
G7 Summit in Germany
November
Asia-Pacific Economic Cooperation (APEC) Summit in Thailand
October
G20 Summit in Bali, Indonesia
7-18 November
27th UNFCCC Conference of Parties, location TBA
Elections in 2022
24 January
General election in Libya
9 august
General election in Kenya
9 March
Presidential election in South Korea
11 September
General election in Sweden
27 March
General election in Lebanon
2 October
General elections in Brazil
10 April
Presidential election in France
8 November
Mid-term election in the United States
9 May
Presidential election in the Philippines
The bright and dark side of
Covid-19 in 2022
By: Ezza Omar, Analyst. Kuala Lumpur.
Addendum 2022-03-22
Declining global Covid-19 cases pave optimism
With the Omicron variant spreading rapidly, there has been growing optimism that the world is a step closer to the end of the Covid-19 pandemic. Governments have pressed ahead with reopening plans as the number of new cases showed a declining trend, following a five percent drop in early February. Amidst such encouraging figures, the continuous development of vaccines and treatment options also meant that the world is getting a better understanding of the virus than when it all started two years ago.
Vaccinations and Omicron being less deadly than Delta – leading to gradual endemicity
The reason for such optimism, to some degree, lies in the fact that Omicron is less deadly compared to its peers, particularly the Delta variant. Hospitalizations remain under control while those who are vaccinated and boosted have mostly been spared from the worst effects of the virus. Capitalizing on these positive signs, European countries and the United States have since become the earliest to wind down their restrictions as they race toward reaching the endemicity stage. In contrast, governments in the Asia-Pacific region are taking more gradual steps to lift restrictions.
Omicron surges in ‘zero-Covid approach’ regions – underscoring the value of a dynamic strategy
As many countries moved away from imposing restrictions, some in the Western Pacific have also been experiencing worrying surges of cases. Those that have embarked on the zero-Covid approach since the beginning of the pandemic are among the notable examples that have been hit hard by the Omicron surges. For instance, cases spiked in Hong Kong earlier this year despite its strict policy that managed to keep the virus largely at bay in 2020 and 2021. The Healthcare system in the territory was pushed to the brink as serious infections rose significantly.
The relatively low vaccination rate, especially among the elderly in Hong Kong, has also proven that focusing on mitigation measures alone is inadequate. In contrast, New Zealand imposed a total lockdown in August 2021 after only a single community case was detected shifted its approach to be more tolerant by acknowledging that the virus would be part of life, thus underscoring the importance of having a dynamic strategy.
Endemic not synonymous with harmless – but a milestone towards normalcy.
Evidently, not all parts of the world are moving at the same pace when it comes to moving from pandemic to the endemic stage, as issue such as vaccine equity also remains at play. The transition toward the endemic phase will unveil a new kind of return of normalcy. Vaccination efforts will remain crucial in protecting individuals against severe illnesses, with possible booster shots offered to the public. Governments should continue testing and tracking possibly new and emerging variants in sustaining the next normal. Under the reasonable best-case, there will still be smaller regional or seasonal outbreaks of cases that could lead the government to impose localized restrictions. It is important to remember that endemic is not synonymous with harmless, yet this transition will serve as an important milestone after the emergence of the virus in late 2019.- https://www.mckinsey.com/industries/healthcare-systems-and-services/our-insights/when-will-the-covid-19-pandemic-end
- https://www.cnbc.com/2021/11/18/bill-gates-covid-pandemic-will-be-manageable-by-summer-2022.html
- https://www.asiapacific.ca/publication/china-goes-its-own-way-world-opens-course-correction-cards
- https://www.wboy.com/news/health/covid-19-cases-deaths-continue-to-drop-globally-who-says/
Original Article 2021-12-26
China’s growing assertiveness under the spotlight in 2022
By: Chan Hoi Cheong, Senior Analyst. Kuala Lumpur.
Addendum 2022-03-22
China’s dilemma in the Russia-Ukraine crisis
The Russian invasion of Ukraine has also presented yet another dilemma for Xi. Beijing has long been an ally of Moscow, and the latest move by President Putin, however, has put Xi in a catch-22 situation. On the one hand, China has always been portraying itself as an advocate of respecting sovereignty, but at the same time, it also expressed recognition of Russia‘s so-called “legitimate security concerns.” Besides, policymakers in Beijing also understand the need to avoid backing Russia’s aggressive move among Western nations that will harm its trade interests. While some were surprised by the country‘s abstention from voting against the United Nations (UN) resolution condemning Russia, Beijing has so far refused to call the situation in Ukraine an “invasion.” The Chinese government could be more open to the idea of playing a mediating role in ending the crisis but expressing criticisms on Kremlin is something unlikely to happen anytime soon.
China’s reaction to the Russian invasion of Ukraine generates buzz from Taiwan
Across the Taiwan Strait, China‘s reaction to the invasion has also generated a buzz in the island that Beijing has regarded as a renegade province. Amidst the parallels of both issues, Chinese officials have been quick to point out that the Taiwanese issue is purely an internal matter, and reunification is bound to happen, especially with Xi‘s pledge in 2021. Taipei, however, has a different take on the crisis as the mainland has never ruled out using force to achieve the purpose. President Tsai Ing-wen has also expressed sympathy and solidarity with Ukraine as both Russia and China have been viewed as revisionist powers that claimed sovereignty of others as their own.
The US likely to intervene if push comes to shove due to Taiwan’s importance in the Global Supply Chain (GSC)
While such concerns are not unfounded, several factors will come to the fore, including geographical proximity and Taiwan‘s importance in the global supply chain, making a strong response from the United States more likely should China decide to invade. President Biden has also promised to defend Taiwan should China attack though it should be noted that the Taiwan Relations Act 1979 did not explicitly state that such action must be taken should a war breaks out.
Both China and Taiwan watch the Ukraine crisis out of a David and Goliath perspective
However, both mainland and Taiwan will be watching the developments in Ukraine closely as there will be many lessons to be learned, ranging from military strategies, management of economic resources, diplomatic moves, and even battle of propaganda in the media sphere. The asymmetrical nature of the conflict in Ukraine that resembles the battle between “David and Goliath“ will also be another key takeaway. This is as Ukraine, being an underdog, continued to hold off against the Russian invasion for weeks, despite the latter being a bigger adversary with a more powerful military. Similarly, Taiwan will also be regarded as “David“ should the “Goliath“ China decides to launch a military operation in the future.
- https://edition.cnn.com/2022/03/08/asia/taiwan-china-ukraine-russia-wu-intl-hnk/index.html
- https://www.nbcnews.com/news/world/china-taiwan-ukraine-rcna17964
- https://www.theweek.co.uk/news/world-news/china/956040/is-there-an-ominous-parallel-between-taiwan-and-ukraine
- https://www.reuters.com/world/taiwan-president-expresses-empathy-ukraines-situation-2022-01-28/
Original Article 2021-12-26
Key moments of Xi’s 10-year of leadership
15 November 2012
Assumed office as the General Secretary of Chinese Communist Party
14 March 2013
Assumed the presidency of ChinJune 2013: Launched a corruption campaign that saw top civilian and military leaders, including ex-Politburo Standing Committee (PSC) member Zhou Yongkang and ex-vice-chairman of the military Xu Caihou being purged
26 September 2014
Beginning of Umbrella Movement in Hong Kong over increasing Chinese interference in the ex- British colony
24 October 2017
“Xi Jinping Thought” became part of the Communist Party constitution
11 March 2018
National People’s Congress removed presidential term limit, allowing Xi to rule for life
Russia, Ukraine military build-up stoke tension
By: Rickard Larsson, Senior Analyst. Lund.
Addendum 2022-03-22
Russian invasion of Ukraine
Initial invasion plan of Kyiv failed
As of mid-March, available information indicates that the Russian invasion has not proceeded according to initial plans. According to most analysts, it seems that the Russian leadership underestimated the capabilities and fighting will on the Ukrainian side. The initial stage of the invasion consisted of rapid advances using small ground formations and airborne units to capture Kyiv within a few days, with the idea that this would cause the rest of the country to surrender. This plan did not work well as Russian forward elements eventually met heavy resistance, and logistical units were ambushed along the unsecured supply lines.
Russian troops morale low – Modern defensive equipment proves effective
Civilian casualties on the rise as Russian artilley strikes ramp up
Following the failure of the first phase, the Russian advance has slowed significantly, but it has proceeded, mostly along the southern front. Russian artillery attacks have been ramped up, and as a result, the extent of damage to civilian areas and casualties are increasing. Although Russia may eventually achieve something that may be called a military victory, achieving the political goals of the campaign seems unlikely. The conduct of the invasion indicates that the aim was to achieve full control over the country, either directly or by a puppet government. Resistance motivation seemingly remains strong both in the Ukrainian armed forces and the populace. Russian forces have attempted to install pro-Russian mayors in the area they have taken control over and kidnapped sitting Ukrainian local leaders.
Russian governing highly unlikely – Occupation force a costly quagmire
However, there have been continuing protests by remaining civilians in these areas against the presence of Russian forces. It thus seems likely that for any form of Russia-friendly governing bodies to remain in place for any length of time, a heavy presence of Russian military police would be required. Considering the current trajectory in Russia itself, it is likely these forces will be needed to maintain order domestically. Maintaining a prolonged presence might also present Moscow with a very costly quagmire. Maintaining an occupation force would likely require many more troops than those Russia has committed to the operation, and they could face a highly motivated and well-armed insurgency.
Original Article 2021-12-26
Beyond COP 26: Environmental activists and coal usage dilemma
By: Carl Cotton, Analyst. Lund.
On the other hand, the coal industry has been deemed obsolete by COP26. In many countries, however, the amount of energy coming from sustainable sources is sufficient to support this kind of transition. This is likely to result in continued natural gas trade, which will result in fluctuating energy prices when international negotiations are unsuccessful in agreeing. For instance, this could be seen in Moldova during 2021, resulting in an emergency due to an energy shortage. An important market is also lost by phasing out coal for the countries currently relying on exporting it. This is likely to result in negative consequences for large portions of the population globally, which could lead to civil unrest. All in all, COP26 has presented a catch-22 for some countries with regard to coal usage and pressure to phase it out for a cleaner future.
Separatism in Western Sahara threatens foreign interests
By: Rickard Larsson, Senior Analyst. Lund.
The Western Saharan separatist movement, the Polisario Front, declared in late November 2021 that they intend to step up their military operations against the Moroccan army in the near future. They have also issued threats toward foreign companies operating in West Sahara to leave the region. In early December, the group also rejected a UN initiative for peace talks. The risk of increased hostilities in the short term cannot be ruled out.
Due to the force disparity between the Polisario Front and their adversary, Morocco’s armed forces, any intensified operations are likely to take the form of guerilla tactics and hit-and-run strikes on less fortified Moroccan positions. Even though the Polisario Front has mainly targeted military targets, the recent threats meant that the risk to foreign companies in the West Sahara region is a concern.
Migrant caravans to continue trekking across the Americas
By: Gabriela Ribeiro de Araujo, Analyst. Sao Paulo.
While these migrants have a legal right to asylum, routes commonly used by migrants are usually accompanied by heightened security forces and increased border controls to slow down their movements. Such measures have been imposed before due to pressure from the US, which has maintained the “Remain in Mexico” policy. The measure requires asylum seekers to wait in Mexico until their cases are heard. Strict border controls are expected at Darien Tampon, between Colombia and Panama; Del Río, at the border of Mexico and the United States; and Tapachula, near the border of Guatemala and Mexico. Previous attempts to disrupt the caravans have led to severa clashes with security forces. Despite the risk of violence, authorities could tighten entry restrictions further amid concerns over the Omicron variant of Covid-19. Stranded caravans are forced to ration limited supplies of essential items and are also exposed to diseases such as dengue. Regardless of the challenges, migrant caravans will continue to trek across the Americas in 2022, posing an ethical dilemma for authorities to manage.
Authoritarian regimes to contest internet freedom
By: Adam Yusoff, Analyst. Kuala Kumpur.
Addendum 2022-03-22
Russia pushes for “Great Firewall” intranet as Ukraine War drags on
Western sanctions can play into Kremlin’s hands due to further isolation of the Russian population
More countries supress dissent through internet censorship
- https://abcnews.go.com/Business/wireStory/war-censorship-exposes-putins-leaky-internet-controls-83429742
- https://www.theverge.com/2022/3/9/22969220/amazon-russia-belarus-ukraine-invasion-prime-video-stops-sending-orders
- https://www.wionews.com/world/radio-free-europe-with-roots-in-the-cold-war-suspends-operations-in-russia-459548
- https://www.npr.org/2022/03/07/1085025672/russia-social-media-ban
- https://www.nytimes.com/2022/03/04/world/europe/russia-censorship-media-crackdown.html
- https://edition.cnn.com/2022/03/07/tech/netflix-tiktok-russia/index.html
- https://www.theverge.com/2022/3/9/22969220/amazon-russia-belarus-ukraine-invasion-prime-video-stops-sending-orders
Original Article 2021-12-26
Furthermore, 2021 saw some countries such as Indonesia, Nigeria, and Russia move forward with their own version of China’s “Great Firewall.” The concept is a combination of legislative actions and technologies to enforce government control over the internet. Amid the Covid-19 pandemic, international opposition has been muted as countries, and tech giants alike grapple with pandemic-related fake news on social media. Suppressing access to the internet will remain an attractive tool for authoritarian regimes in 2022, especially during a crisis. New technological advances are making such an option more cost-effective, and several countries have already set a precedent toward establishing a closely monitored intranet system. Internet freedom is no longer a guarantee.
As France retreats from Africa, Russia steps in
By: Misha Desai, Analyst. Lund.
Addendum 2022-03-22
Ukraine war makes both Europe and Russia turn to Africa for allies and resources
30% of arms import in sub-Sahara of Russian origin – enforces diplomatic weight
Ukraine a large exporter of produce to Africa – A looming food security crisis
The invasion of Ukraine and the unprecedented sanctions leveled on Moscow have also had serious effects on financial markets and global supply chains. While these problems are likely to be felt on a global level, many countries in Africa are expected to be acutely affected. Both Russia and Ukraine are significant exporters of cereal, wheat, and corn, and a protracted conflict is likely to push up commodity prices and lead to supply chain shortages. Experts in Egypt have warned of a looming food security crisis due in large part to the fact that they import nearly 85 percent of their wheat from Russia and Ukraine. Disruptions to this supply and dwindling reserves could constitute an existential threat to their economy. Other countries, like Kenya, Nigeria, and Sudan that are heavily reliant on grain and wheat imports from Ukraine and Russia have already seen sharp increases in food prices in recent weeks. Several countries on the continent have seen relatively recent large-scale protests and movements denouncing rising commodity prices. Social unrest and civilian anger have coincided with volatile food prices in countries like Mali, Sudan, and Egypt. With a new food security crisis looming, a period of conflict and instability may be on the horizon.
Europe can turn to Africa for oil and gas with Russian export embargo
There are, however, some countries that could benefit from the crisis. Surging prices and a Russian oil embargo could see oil-producing countries like Nigeria, Angola, and Libya seizing the opportunity to bolster state revenues. Similarly, as Europe turns away from its reliance on Russian gas, it could turn to African countries looking to find a market for recently discovered energy reserves. Tanzania has restarted negotiations to revive the construction of offshore liquified natural gas projects, which could make them a significant partner on the continent. Algeria, a similar significant gas-producing country, has gradually increased its exports to Europe in the past decade. With talks underway to develop a trans-Saharan pipeline with Nigeria and Niger, Algeria could become a key natural gas provider to European markets. Nevertheless, production and capacity limits are likely to hinder any plans to look to countries like Algeria and Tanzania for a quick fix to Europe’s energy crisis. These opportunities represent long-term growth prospects, but they would require considerable investment, which could involve Europe footing a large part of the bill. Bolstering infrastructure to help meet production and transportation needs is vital if Europe wants to pivot away from Russian gas and tap into significant, reliable, and sustainable reserves in Africa.
African leaders forced to maintain relationships without reverting to Cold War alignments
The crisis in Ukraine has understandably cast a long shadow across Africa. A period of instability and volatility can be expected as the world adapts to rising fuel and commodity prices and disruptions to global supply chains. Many African leaders will have to navigate this crisis by maintaining their relationships with their often-competing external partners without reverting to Cold War era alignment politics, which could alienate and hamper development goals on the continent.
- https://news.un.org/en/story/2022/03/1113152
- https://www.sipri.org/media/press-release/2021/international-arms-transfers-level-after-years-sharp-growth-middle-eastern-arms-imports-grow-most
- https://www.wfp.org/stories/ukraine-war-more-countries-will-feel-burn-food-and-energy-price-rises-fuel-hunger-warns-wfp
- https://www.mei.edu/publications/russia-ukraine-war-has-turned-egypts-food-crisis-existential-threat-economy
- https://www.africanews.com/2021/10/14/tanzania-races-to-develop-natural-gas-reserves-business-africa/
- https://ec.europa.eu/eurostat/statistics-explained/index.php?title=EU_imports_of_energy_products_-_recent_developments#Main_suppliers_of_natural_gas_and_petroleum_oils_to_the_EU
Original Article 2021-12-26
Officially, Russia has signed military cooperation agreements with several countries in a bid to boost influence. However, Moscow has also been accused of deploying private military companies (PMCs) comprising of former Russian security personnel to conflict zones. Eminent amongst such entities is the Wagner Group, whose leaders allegedly are close allies of President Vladimir Putin. Russia’s inroads in Africa have seen Wagner contractors serving on the frontline in Libya, Sudan, and the Central African Republic. Through PMCs it controls, the Kremlin has been able to maintain plausible deniability despite using force to secure access to vital natural resources. Russia is expected to utilize these groups further to fill the vacuum left by French withdrawals in Mali and other African countries. These developments have worried many in the Western world, which is likely to result in further conflicts as foreign actors vie for a foothold in the region.
The return of international sports events in 2022 despite Covid-19
By: Farith Ariffin, Analyst. Kuala Lumpur.
Addendum 2022-03-22
Russia’s military campaign leads to exclusion from major sporting events
- https://apnews.com/article/russia-ukraine-winter-sports-6ff8a6338e968bcb2ccb3c8dc368586d
- https://news.sky.com/story/ukraine-war-russian-gymnast-ivan-kuliak-who-brandished-z-symbol-at-competition-says-he-has-no-regrets-12560670
- https://www.aljazeera.com/sports/2022/2/27/russia-ukraine-invasion-impact-sport-football
- https://www.theguardian.com/sport/2022/feb/28/ioc-ban-russia-and-belarus-fifa-uefa
- https://www.aljazeera.com/sports/2022/3/1/russia-ukraine-war-what-sports
Original Article 2021-12-26
Next, Birmingham 2022 is another multi-sport event for members of the Commonwealth, scheduled to take place between 28 July and 8 August. The United Kingdom will organize 19 different sports for 72 countries to compete in. Stadium seats will be filled as a record 1.5 million tickets are expected to be sold. Towards the end of the year, Qatar’s much-awaited 2022 FIFA World Cup will be held between 21 November and 18 December. The quadrennial football championship is going to be the first in the Middle East. Notably, the competition will also be the first to be held during the northern hemisphere’s winter season. Matches will take place at eight state-of-the-art stadiums within a 75km (46mi) radius. With expectations running high, these organizers will be taking no chances to ensure 2022 is an exciting year for sports fans.