Showing posts with label White House. Show all posts
Showing posts with label White House. Show all posts

Sunday, 22 February 2009

Official: Obama plans to slash deficit in half

WASHINGTON – President Barack Obama has committed hundreds of billions of dollars to help revive the economy and is working on a plan to cut the federal deficit in half by the end of his first term.

Obama will touch on his efforts to restore fiscal discipline at a White House fiscal policy summit on Monday and in an address to Congress on Tuesday. On Thursday he plans to send at least a summary of his first budget request to Capitol Hill. The bottom line, said an administration official Saturday, is to halve the federal deficit to $533 billion by the time his first term ends in 2013. He inherited a deficit of about $1.3 trillion from former President George W. Bush.

The official, speaking on condition of anonymity because the president has not yet released his budget for the fiscal year 2010, which begins Oct. 1, said the deficit will be shrunk by scaling back Iraq war spending, ending the temporary tax breaks enacted by the Bush administration for those making $250,000 or more a year, and streamlining government.

“We can’t generate sustained growth without getting our deficits under control,” Obama said in his weekly radio and Internet address that seemed to preview his intentions. He said his budget will be “sober in its assessments, honest in its accounting, and lays out in detail my strategy for investing in what we need, cutting what we don’t, and restoring fiscal discipline.”

Republicans were not convinced. They said Obama’s plan would hurt small businesses, including many filing taxes as individuals and possibly facing higher taxes under his plan.

“I don’t think raising taxes is a great idea,” Senate Republican leader Mitch McConnell of Kentucky told CNN’s “State of the Union” on Sunday. “And when our good friends on the other side of the aisle say raising the taxes on the wealthy, what they’re really talking about is small business.”

Obama’s budget also is expected to take steps toward his campaign promises of establishing universal health care and lessening the country’s reliance on foreign oil.

Obama has pledged to make deficit reduction a priority both as a candidate and a president. But he also has said economic recovery must come first.

Last week, he signed into law the $787 billion stimulus measure that is meant to create jobs but certainly will add to the nation’s skyrocketing national debt. He also is implementing the $700 billion financial sector rescue passed on Bush’s watch; about $75 billion of which is being used toward Obama’s plan to help homeowners facing foreclosure.

source : news.yahoo.com

Friday, 20 February 2009

White House tries to end bank nationalization talk

WASHINGTON – The White House on Friday insisted it's not trying to take over two ailing financial institutions, even as stocks tumbled again. On Wall Street, talk of nationalization of Citigroup Inc., and Bank of America Corp., prompted investors to continue to balk, worried that the government would have to take control and wipe out shareholders in the process.

Citigroup fell 20 percent, while Bank of America fell 12 percent in afternoon trading but also came off their lowest levels.

"This administration continues to strongly believe that a privately held banking system is the correct way to go, ensuring that they are regulated sufficiently by this government," White House press secretary Robert Gibbs said when asked about nationalizing the banks.

"That's been our belief for quite some time, and we continue to have that," Gibbs said.

Investors have shown decreasing confidence that U.S. banks can right themselves. Citigroup and Bank of America have already received significant help from taxpayers as the government has rushed in to try to save the financial sector, which has been choked by bad assets and seen the flow of credit shrink.

The speculation about the two banks' future continued to take a direct toll on the market.

Gibbs was pressed for more details on his answer — specifically whether Obama would not nationalize banks. He said it was hard for him to be any clearer.

When a reporter suggested Gibbs could do that by saying point bank that Obama would never nationalize banks, Gibbs would not make that statement, but emphasized: "I think I was very clear about the system that this country has and will continue to have."

source : news.yahoo.com


Monday, 16 February 2009

Newest US troops in dangerous region near Kabul

LOGAR PROVINCE, Afghanistan – Close to 3,000 American soldiers who recently arrived in Afghanistan to secure two violent provinces near Kabul have begun operations in the field and already are seeing combat, the unit’s spokesman said Monday.

The new troops are the first wave of an expected surge of reinforcements this year. The process began to take shape under President George Bush but has been given impetus by President Barack Obama’s call for an increased focus on Afghanistan.

U.S. commanders have been contemplating sending up to 30,000 more soldiers to bolster the 33,000 already here, but the new administration is expected to initially approve only a portion of that amount. White House press secretary Robert Gibbs said Monday the president would decide soon.

The new unit — the 3rd Brigade Combat Team of the 10th Mountain Division — moved into Logar and Wardak provinces last month, and the soldiers from Fort Drum, N.Y., are now stationed in combat outposts throughout the provinces.

Militants have attacked several patrols with rifles and rocket-propelled grenades, including one ambush by 30 insurgents, Lt. Col. Steve Osterhozer, the brigade spokesman, said.

Several roadside bombs also have exploded next to the unit’s MRAPs — mine-resistance patrol vehicles — but caused no casualties, he said.

“In every case our vehicles returned with overwhelming fire,” Ostehozer said. “We have not suffered anything more than a few bruises, while several insurgents have been killed.”

Commanders are in the planning stages of larger scale operations expected to be launched in the coming weeks.

Militant activity has spiked in Logar and Wardak over the last year as the resurgent Taliban has spread north toward Kabul from its traditional southern power base. Residents say insurgents roam wide swaths of Wardak, a mountainous province whose capital is about 35 miles from Kabul.

The region has been covered in snow recently, but Col. David B. Haight, commander of the 3rd Brigade, said last week that he expects contact with insurgents to increase soon.

“The weather has made it so the enemy activity is somewhat decreased right now, and I expect it to increase in the next two to three months,” Haight said at a news conference.

Haight said he believes the increase of militant activity in the two provinces is not ideologically based but stems from poor Afghans being enticed into fighting by their need for money. Quoting the governor of Logar, the colonel called it an “economic war.”

Afghan officials “don’t believe it’s hardcore al-Qaida operatives that you’re never going to convert anyway,” Haight said. “They believe that it’s the guys who say, ‘Hey you want $100 to shoot an RPG at a Humvee when it goes by,’ and the guy says, ‘Yeah I’ll do that, because I’ve got to feed my family.’”

Still, Haight said there are hardcore fighters in the region, some of them allied with Jalaludin Haqqani and his son Siraj, a fighting family with a long history in Afghanistan. The two militant leaders are believed to be in Pakistan.

Logar Gov. Atiqullah Ludin said at a news conference alongside Haight that U.S. troops will need to improve both security and the economic situation.

“There is a gap between the people and the government,” Ludin said. “Assistance in Logar is very weak, and the life of the common man has not improved.”

Ludin also urged that U.S. forces be careful and not act on bad intelligence to launch night raids on Afghans who turn out to be innocent.

It is a common complaint from Afghan leaders. President Hamid Karzai has long pleaded with U.S. forces not to kill innocent Afghans during military operations and says he hopes to see night raids curtailed.

Pointing to the value of such operations, the U.S. military said Monday that a raid in northwest Badghis province killed a feared militant leader named Ghulam Dastagir and eight other fighters.

Other raids, though, have killed innocent Afghans who were only defending their village against a nighttime incursion by forces they didn’t know, officials say.

“We need to step back and look at those carefully, because the danger they carry is exponential,” Ludin said.

Haight cautioned last week that civilian casualties could increase with the presence of his 2,700 soldiers.

“We understand the probability of increased civilian casualties is there because of increased U.S. forces,” said the colonel, who has also commanded Special Operations task forces in Afghanistan and Iraq. “Our plan is to do no operations without ANA (Afghan army) and ANP (Afghan police), to help us be more precise.”

The U.S. military and Afghan Defense Ministry announced last week that Afghan officers and soldiers would take on a greater role in military operations, including in specialized night raids, with the aim of decreasing civilian deaths.

The presence of U.S. troops in Wardak and Logar is the first time such a large contingent of American power has been so close to Kabul, fueling concerns that militants could be massing for a push at the capital. Haight dismissed those fears.

“Our provinces butt up against the southern boundary of Kabul and therefore there is the perception that Kabul could be surrounded,” Haight said. “But the enemy cannot threaten Kabul. He’s not big enough, he’s not strong enough, he doesn’t have the technology. He can conduct attacks but he can’t completely disrupt the governance in Kabul.”

source : news.yahoo.com

Tuesday, 10 February 2009

World offers support as Australia battles fires

SYDNEY: Offers of help and aid have poured in from around the world as Australia battles raging bushfires which have killed 181 people and destroyed entire towns, officials said Tuesday.

Close allies such as Britain, New Zealand and the United States have been joined by nations including Andorra, Brazil and Iran in offering their sympathies or assistance.

US President Barack Obama telephoned Australian Prime Minister Kevin Rudd to offer his condolences over the wildfires after holding the first press conference of his young presidency, the White House said.

"The president offered his prayers to the people of Australia and his condolences to the victims. The president asked if the US could provide assistance to the government and people of Australia to assist with the fire," said Obama spokesman Robert Gibbs.