One Week Later...

Bush offers Turkey intelligence

In Last chance saloon? , we noted that Turkey's Prime Minister Recep Tayyip Erdogan, under huge pressure at home to launch a military crackdown on Kurdish rebels based in northern Iraq, would petition the West one final time.

• Last Wednesday, Erdogan said stepped-up intelligence support from Washington would help Ankara rid northern Iraq of Kurdish rebels.
• But Bush's offer may not be enough to enable Erdogan to face down pressure in Turkey for action.
• The most likely scenario remains a limited Turkish cross-border operation in northern Iraq, perhaps involving commando raids or air strikes.

'Gubernator' thinks big

In  The Gubernator, we wrote that California Governor Arnold Schwarzenegger was due to begin a nationally important reform push on healthcare and education.

• One of the sticking points to healthcare reform has been the size of contributions from employers. Schwarzenegger wants to cap it at 4% of payroll. The Democrats want a sliding scale of up to 6.5%.
• Schwarzenegger also continued to talk about 2008 being "the year of education reform." He may entertain raising taxes to improve schools -- even as his administration mulls possible education cuts.

Peru FTA breakthrough

In  Latin American trade deals , we wrote that US Congress might finally ink a bilateral trade deal with Lima, after environmental and labour safeguards were enacted.

• The US House of Representatives passed a free trade pact with Peru last Thursday, bringing President George Bush to the brink of his first trade victory since Democrats took control of Congress.
• Peruvian President Alan Garcia is concerned for Peru to distinguish itself from some of its neighbours as an 'investment friendly' country.

Turkey gets a C-minus

In EU: 'school report' due,  we wrote that annual EU progress reports on the seven candidate and potential candidate countries hoping to join the organisation were due for publication.

• A growing number of prosecutions against writers and academics is damaging Turkey's case to become a fully fledged member of the European Union.

Political Masterstroke

The World Next Week Political Masterstroke award goes to Hosni Mubarak (aged 80 and three quarters) for remaining sphinx-like over his successor. Mubarak's son denied last Monday that Egypt's ruling party had made it easier for him to succeed his father by changing its bylaws. Three years ago, there were angry protests over Mubarak's son as a possible successor. But there have been fewer demonstrations of late.

News to us:

Musharraf promises polls

Pakistan will hold elections before February 15 2008, Pakistani President Pervez Musharraf says, following pressure from the US.

Bernanke sounds warning

US Federal Reserve chairman Ben Bernanke warns the US economy will slow in the last three months of 2007.

And finally…

Pro-democracy leader Aung San Suu Kyi says she is ready to cooperate with Burma's military government.