Friday, March 21, 2014

EU signs up with Ukraine; Airbnb could be worth $10bn; Tourism overwhelms historic places, but pays no dues

1 EU signs up with Ukraine (BBC) EU leaders have signed an agreement on closer relations with Ukraine, in a show of support following Russia's annexation of Crimea. Ukraine's interim PM Arseniy Yatsenyuk and the EU signed the deal in Brussels. Pro-Moscow President Viktor Yanukovych's abandonment of the deal had led to deadly protests, his removal and Russia taking over Crimea. On Friday, Russia's upper house unanimously approved the treaty on Crimea joining the Russian Federation.

The EU Association Agreement is designed to give Ukraine's interim leadership economic and political support. EU President Herman Van Rompuy said that the accord "recognises the aspirations of the people of Ukraine to live in a country governed by values, by democracy and the rule of law". The move comes hours after the EU broadened its sanctions over Russia's annexation of Crimea. It added 12 individuals to an earlier list of 21 who now face asset freezes and travel bans.

The US on Thursday added to its own list and also targeted the Rossiya bank. Russian Foreign Minister Sergei Lavrov said on Friday the international sanctions were "absolutely unlawful". However, President Vladimir Putin said after talks with officials in Moscow that Russia would not take an immediate reciprocal action. Two credit rating agencies have now downgraded Russia's outlook to negative from stable.

http://www.bbc.com/news/world-europe-26680250

2 Airbnb could be worth $10bn (Joe Garofoli in San Francisco Chronicle) There’s another money mint in town as San Francisco startup Airbnb is reportedly in talks to raise funds that would value the company at more than $10 billion, according to the WSJ. The Journal reports that the private-equity firm TPG is in line to lead the funding round, which could total between $400 million and $500 million.

For a reality check, at $10 billion, Airbnb would be worth more than hotel chains like Wyndham ($9.4 billion) and Hyatt ($8.4 billion), but less than Hilton ($22 billion). It’s not often that start-ups get valued at $10 billion plus, but we’re starting to see a few now with DropBox being worth $10 billion and Facebook buying WhatsApp last month for $16 billion. Reality check: Facebook is worth $174 billion.

But Airbnb is not without its problems. Renters in San Francisco are getting evicted for Airbnb-ing their apartments. And last fall, New York’s Attorney General Eric Schneiderman subpoenaed Airbnb for information about its hosts, checking to see if they were violating a law forbidding them from renting their units for less than 30 days if they’re not around.


3 Tourism overwhelms historic places, but pays no dues (Simon Jenkins in The Guardian) An Italian court on Monday overturned a ban on 100,000-ton cruise liners sailing up Venice's Giudecca canal to get a close-up view of St Mark's Square. The decision defies belief. Not in modern times can money have so crushingly defeated art; never can commerce have so blatantly sought to strangle the goose that lays its golden egg. Following a rule last year that would have made the liners pass west of the Giudecca to disgorge tourists at Venice docks, shipping operators lobbied so that their customers could continue viewing the city from the comfort of their deck chairs. They claimed the facility was worth a million visitors and 5,000 jobs. We dare not ask on what basis the judge accepted these absurd figures, which amount to the city's entire cruise industry.

The damage done by commerce to the world's historic places is fast outpacing the damage done by war. Moscow's exquisite steel-lattice Shukhov Tower, erected as a radio mast in 1922 and "Russia's Eiffel Tower", is about to be torn down so the site can be redeveloped. In China the old Silk Road quarter of Kashgar is at this moment being bulldozed in what is a world tragedy. Lest Britain lectures others, both the Tower of London and Parliament Square may be stripped of world heritage status because of the "plutoflats" that Boris Johnson is allowing to tower over them.

I once thought that as civilisation progressed, so did our concern for beautiful things and places. We saved more, studied more, taught more, conserved and appreciated more. I was wrong. Museums are richer, universities bigger and property values higher in historic places. But pressure of population means that the visual richness enshrined in buildings, cities and the countryside is more at risk than ever. Money talks.
The answer must be to mobilise the industry that makes money from the past. According to the UN's world tourism organisation, there are a billion international tourists today, a figure that will double in a decade. 

Tourism may be Britain's second biggest industry after finance, yet it has no department, no minister, no parliamentary lobby. The historic buildings, towns and landscapes of Britain are not Venice. But they are equally vulnerable and irreplaceable. Increasingly they will be key to the profitability of the tourist industry. They have yet to convert that profit into power. British politics still regards beauty as for wimps.


http://www.theguardian.com/commentisfree/2014/mar/20/tourism-overwhelms-historic-places-venice-cruise-liners

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