Azerbaijan and the South Caucasus

Lord Sheikh Excerpts

Tuesday 6th November 2012 Grand Committee

[Lord Sheikh]

My Lords, I am thankful for the opportunity to speak in the debate this afternoon, not least because of my increasingly close relationship with Azerbaijan following my visit there in June this year. I hold a deep conviction for increasing our ties with the country and I am grateful to the noble Lord, Lord Laird, for securing this debate.

I visited Azerbaijan with my colleagues the noble Lords, Lord Dykes, Lord Risby and Lord Patel of Bradford, and we were privileged to hold a number of successful meetings with senior figures, including the President of Azerbaijan. We learnt a great deal about the modern-day concerns of the country, what we share with them, what our differences are and how we can assist each other and build on our relationship in the future.

As a businessman, perhaps my foremost concern was establishing how we can further our trade and investment opportunities. The UK is already responsible for half of all foreign investment in Azerbaijan, investing nearly £1 billion in 2010. Most of this comes from BP’s investments in oil projects, although we have more than 175 other companies investing in commercial activities over there. The state-owned oil company, SOCAR, has worked closely with BP for many years. I believe that we need to use this as a platform on which to build further on trade and take advantage of opportunities beyond the energy sector.

[The Deputy Chairman of Committees (Lord Geddes)]

If the noble Lord could avoid hitting the paper on the microphone, that would be helpful.

[Lord Sheikh]

I am sorry about that.

Azerbaijan has one of the fastest-growing economies in the world and there are a number of sectors within which it is looking to expand, including finance, telecommunications and infrastructure. Other European countries have recently secured a number of high-profile contracts in technology and construction. We must harness our current relationship with Azerbaijan to increase our trade with it before more countries beat us to it.

I understand that the Azeri Government currently hold a surplus of cash and are keen to explore the potential for their investments in foreign businesses and properties. Securing such inward investment in the UK would be of great assistance in these troubled times. In assisting this effort, I would like to see more high-profile trade missions to the region or at least more senior ministerial visits to Azerbaijan. I applaud the Prime Minister’s current tour of the UAE and would like similar action to be taken to acknowledge the potential for future trade and investment with Azerbaijan.

During my visit, I was also struck by the social and cultural reform taking place in the country. I met the Sport and Youth Minister and understand that Azerbaijan has a desire to increase its sporting sector, as it has a new-found appreciation for the social, economic and health benefits gained through team-centred physical activity. I feel that we need to look into providing assistance to develop new sports programmes and summer camps for young people. Such an offer seems particularly timely given our sporting legacy this past summer and the long-term implications for increasing the health and stability of the country.

I attended a meeting chaired by the Minister of Religion, where the discussions related to the new wave of religious moderation spreading across the country, with which young people are increasingly engaging. There were delegates from across the region and I was impressed with their attitude to promote the true message of Islam as a religion of peace. I found that, as well as generally opening up the country to the international community, this was very encouraging for its prospects in combating terrorism, which remains one of its Government’s priorities.

This wide liberal shift in attitudes is also evidenced through SOCAR’s new drive towards corporate social responsibility. As a large state-owned company, it is leading by example by implementing a long-term environmental strategy, with commitments on pollution prevention and waste management, as well as acknowledging the need to address issues of biodiversity and sustainable development. It is simultaneously reducing its carbon emissions and increasing the efficiency with which it uses natural resources. Perhaps more impressively, it is constructing an ecological park to regenerate contaminated land and provide educational facilities for children.

It is safe to say that the international community is already recognising the changes that Azerbaijan has been making, having elected it a non-permanent member of the UN Security Council for 2012-14 and progressing negotiations on the EU-Azerbaijan association agreement. These are historic milestones for the country and represent a more assured and stable relationship with the UK and other countries around the world. Colleagues will be aware of Azerbaijan’s continual state of conflict with the Republic of Armenia over the disputed region of Nagorno-Karabakh, which constitutes 20% of Azeri territory. This issue continues to be Azerbaijan’s largest diplomatic challenge and a source of wider instability throughout the region. It is very important that we continue to pledge our full support to the OSCE Minsk Group peace process and to be very proactive in keeping both sides at the negotiating table.

I hope that my contribution has evidenced not only how proud we should be of our ties with Azerbaijan but also the very substantial potential heading forward. During my visit I noticed that society in Azerbaijan has become freer and more prosperous since gaining independence more than 20 years ago. The Azeri Government appeared highly enthusiastic about advancing international engagements economically, culturally and politically and I would like the UK to play an active part in this.

Gaza

Lord Sheikh Excerpts

Wednesday 8th February 2012 Lords Chamber

[Lord Sheikh]

My Lords, after the tragic death of eight Turkish humanitarian workers in 2010 our Prime Minister David Cameron said in Ankara that the situation in Gaza has to change and that humanitarian goods and people must flow in both directions. He further commented that Gaza must not be allowed to remain a prison camp. Yet nearly two years later, there still remain crude restrictions to the flow of humanitarian goods and people. Gaza experiences chronic shortages and innocent women and children are suffering. For example, Al-Shifa hospital lacks basic medicines and essentials such as baby milk.

Last month, the United Nations submitted its annual report on the humanitarian situation in the Palestinian territories. The report describes the continuing desperation, including chronic food insecurity, isolation, and failing health and education services, all directly linked to the ongoing blockade imposed by Israel. The report states that the blockade amounts to collective punishment of the population and affects every aspect of life in the Gaza Strip. The blockade has not prevented attacks against Israel; its only success is in creating a stark reminder of the impotence of the international community.

It is time for the UK to take a lead in developing a clear and open strategy for the lifting of the blockade of Gaza. We cannot continue to believe ourselves to be a just and moral actor in the international arena until we play a role in helping to arrive at a settlement to the Palestinian issues. The rival factions Hamas and Fatah have now agreed to form a new unity government in West Bank and Gaza, which I believe will help to achieve a peaceful settlement. Israel is a mighty military power, but it must now be magnanimous and arrive at a two-state solution whereby it has a guarantee of security and nationhood, but in return it must ensure that Arabs are fairly treated and have full independence.

Kosovo

Lord Sheikh Excerpts

Thursday 15th September 2011 Lords Chamber

[Lord Sheikh]

My Lords, I am interested in the Balkans and some years ago I used to handle the insurance account of Yugotours, a state-owned travel company which specialised in arranging holidays to Yugoslavia. During the existence of Yugoslavia I visited Slovenia, Serbia and Croatia. Since the independence of Kosovo, I have known the Kosovan ambassador and met him on several occasions. In fact, I saw him last night at a meeting I hosted in the House of Lords. I know the Imam of the Kosovan community mosque in Maida Vale and I have visited the mosque on several occasions and performed its inauguration. I have arranged for Friday prayers to be said in the House and the Imam has led these prayers several times. I have also met various members of the Kosovan diaspora. A high-powered delegation from the country recently came to see me in the House. I chair the Conservative Muslim Forum and one of my executive committee members is in fact a gentleman from Kosovo.

The Prime Minister of Kosovo, His Excellency Mr Hashim Thaci, has stated that he has worked towards three aims: freedom, independence and European integration. These aims are shared by all Kosovans, regardless of ethnicity or political background. In 1999, our Government played a crucial role in bringing about NATO intervention which saved Kosovo, and Britain was among the first countries to recognise Kosovo on 18 February 2008, a day after it declared its nationhood.

I feel that our Government should lobby with other countries, within Europe and globally, for Kosovo's inclusion within the international system. Furthermore, we should support Kosovo’s and Serbia’s EU integration prospects, as their entry will help to maintain peace and stability in south-eastern Europe.

I also believe that membership of the EU for both countries should be considered simultaneously. We should support the Kosovo Government’s action in extending the rule of law throughout the territory of Kosovo. I understand that a range of agreements have been reached between Kosovo and Serbia that will pave the way for the normalisation of trade between the two countries. In fact our ambassador, along with other European ambassadors, has met the Prime Minister of Kosovo today to discuss the implementation of the new customs regime.

We should look at the possibility of doing more business in Kosovo. The IPU is arranging a parliamentary delegation to visit Kosovo in October. There are opportunities for investment in Kosovo and the country has a lot to offer potential investors. Although small in size, it has abundant natural resources. Kosovo has large reserves of lignite, lead, zinc, nickel, chrome and bauxite. The ongoing privatisation process presents an excellent investment opportunity in the mining sector. Another sector that presents opportunity for investment is agriculture. Kosovo has large areas of fertile land, and investment in this field will be worth while and bear fruit.

Another great asset of Kosovo is its people. It must be emphasised that Kosovo has a young and educated population with a high literacy rate in foreign languages, and there is an excellent workforce to be employed. Notwithstanding the financial difficulties that a number of countries have suffered, Kosovo has experienced between 4 per cent and 6 per cent GDP growth in recent years, which I hope will continue in future.

In my dealings with the people of Kosovo I have found them to be hospitable and kind, and they have a will to succeed. I hope that the links we have built with Kosovo are strengthened and our friendship with the country and its people will continue to develop.

The Big Society

Lord Sheikh Excerpts

Wednesday 11th May 2011 Lords Chamber

[Lord Sheikh]

My Lords, I am an enthusiastic supporter of the big society concept. I would like, in the limited time available to me, to talk about the role of the charitable sector, which is dear to my heart. In my contribution to the Second Reading of the Charities Bill last week, I was keen to stress how charities are a useful barometer of the degree of social cohesion. The Bill will make a contribution to the big society by making charity law simpler to understand and navigate, which will reduce the existing complexities that serve to discourage participation. I await with eager anticipation the publication tomorrow of the Giving White Paper, which promises to focus on supporting the giving of time and money.

We should all work towards providing adequate recognition of the contribution of many civil society organisations. They do not exist to seek awards, but we should all be pleased that the big society awards are highlighting the achievements of those undertaking important work and, by raising the profile, encouraging wider participation.

Most charities appeal to people’s good nature and generosity by asking for donations of money and time. There needs to be an alternative to government provision in addressing problems in our society. The Government are correct in prioritising the big society as a means of providing that alternative. The British people are famous for their generosity and our record on charitable giving is impressive when compared internationally. People need to be enabled to use the vehicle of the charitable sector to volunteer their time, energy and resources for the good of all. We should all think about taking responsibility for everyone else's welfare interests: that is the big society. The success of this initiative will not rest entirely on the activities of the Government but requires participation from everyone. We must enable the big society to flourish. This is about empowerment and enabling charities to make a bigger contribution. It is about individuals answering that human instinct to work together.