
China announced a slowdown in the growth of its much-watched defence budget. The planned increase of just 7.5% on last year's military spending is the smallest hike after more than two decades of annual double-digit increases.

The United States and Brazil agreed that Venezuela should be “looking more to the south”, to “successful models of country”, according to US Secretary of State Hillary Clinton and that is why “we have invited Venezuela to join Mercosur”, pointed out Brazilian Foreign Secretary Celso Amorim.

Venezuelan voters' confidence in President Hugo Chávez is beginning to wane as a result of the electricity crisis, water rationing, economic measures, decisions limiting private property and attempts at leading the country into a Socialist system.

The Washington Post published this week an editorial on the current Falkland Islands situation arguing that “you know that an Argentine leader must be in political trouble” if the subject of the South Atlantic Islands comes up again.

The Secretary General of the Organization of American States (OAS), José Miguel Insulza, on Wednesday presented his candidacy for re-election in a speech before the Permanent Council in which he offered to continue to be a “partner” in the use of a “modern multilateralism to apply our common agenda, as ambitious as it may be, for the benefit of the people of the Americas.”

Brazil and the US could not agree Wednesday over how to rein in Tehran's suspect nuclear ambitions and Brazilian President Lula da Silva warned the world not to “push Iran into a corner.”

Europe has welcomed a 6.6 billion US dollars Greek austerity plan of pension freezes and tax hikes as the country mounts a frantic bid to cut its budget deficit. Hundreds of pensioners hit the streets after Prime Minister George Papandreou revealed the hit to public and private sector retirement plans.

The ranks of Spain’s unemployed increased by 2.03% in February compared with January, bringing the jobless total to more than 4.13 million, the Labour and Immigration Ministry said Tuesday. The figure is the highest since 1996.

Argentina’s opposition senators on Wednesday won majority control of all the chamber’s committees, undermining President Cristina Fernandez’s de Kirchner’s ability to pass legislation more than two years after she took office.

Spanish opposition Popular Party MP José Ignacio Landaluce said this week that the only option for the decolonisation of Gibraltar was its return to Spain. He was reacting to comments made by the United Nations’ Secretary General Ban Ki Moon, who has called for a “pragmatic and realistic” approach to the decolonisation process.