The Economist weighs in on Armenia ex-President’s “small states club” idea

PanARMENIAN.Net - The Economist has published an article about former Armenian President Armen Sarkissian’s book, The Small States Club, in which he dwells on a handful of small countries that gave achieved remarkable success against the odds.

From inauspicious beginnings Singapore became one of the world’s most successful city-states, thanks to the far-sighted leadership of Lee Kuan Yew. Botswana is “a diamond in the rough”, as Sarkissian puts it, “a model of economic prudence and efficient governance in Africa”. A trio of European countries make it into his collection: Switzerland, which has made a virtue out of neutrality; Ireland, formidably well-connected as well as “compassionate, open and global”; and impressively pragmatic Estonia, which has changed beyond recognition since its Soviet days to become a pioneer of simplified taxation and e-government.

The Middle East has the most intriguing cluster of small-state stars. Qatar has made the most of its gas and of the security that comes from hosting a big American air base, while hedging its bets in foreign policy (it recently played a role in hostage and prisoner swaps between Israel and Hamas, for example). The United Arab Emirates (pictured) punches above its weight as a logistics hub with the help of streamlined decision-making and clever investments. Sarkissian is impressed by the skilled lobbying and economic ingenuity of Israel, the “startup nation” which, like Armenia, has a traumatic history and a global diaspora.

Yet Armenia itself has not managed to match Israel’s economic prowess, as Sarkissian shows. It has failed to make the most of its diaspora. Internal arguments and short-termism mean that it has ended up with a “no-model model”. Merely being a small state is no guarantee of success.

“So what are the lessons from the adept ones? Their paramount preoccupation is survival. They recognise their vulnerabilities and invest in the future. Mr Sarkissian suggests that the essential ingredients include a strong sense of identity, a national mission, strategic purpose and effective leadership. With these, he argues, small states “can navigate the complex challenges of the 21st century in smarter ways than the traditional great powers”,” the paper goes on to say.

“Maybe so, but can “a club” of such states really help spread ideas and promote partnerships and peace, let alone save the world, as Mr Sarkissian grandly claims? It is perhaps not surprising that his efforts to promote the idea have encountered resistance—and not just because of the entrenched interests of larger states and established groupings. With its diverse members, such a club risks being contentious: the “symphony of elements” that characterises the dynamic minnows could easily become cacophonous. Besides, a club suggests an aspiration to bigness. Yet as Mr Sarkissian persuasively describes, the beauty is being small.”