Soros retreats

Open Societies Foundations is preparing to terminate most funding in the European Union [View in browser]( [Bloomberg]( George Soros has been branded as a bogeyman by the right wing for backing liberal causes around the globe. That’s nowhere more true than in eastern Europe, where he has spent billions of dollars to promote democratic values following the fall of the Iron Curtain. Now, it seems, he’s retreating. His Open Societies Foundations, the massive philanthropy that controls most of the assets in his $25 billion family office, is preparing for a “radical shift” that will largely terminate funding in the European Union. Key Reading: [Soros Foundation to End Most EU Operations in Radical Shift]( [Soros Foundation Cuts EU Funding as Nationalist Groups Surge]( [Facebook Faces Uproar on Crisis Response That Attacked Soros]( [Orban Zeroes In on Soros-Backed NGOs After Dominating Ballot]( The decision made by his son, Alexander, who took over management of OSF in December, couldn’t come at a worse time for politicians and activists trying to stem the surge of populist forces across the continent. In the EU’s ex-communist east, it’s hard to exaggerate the influence of Soros, a 93-year-old Hungarian Jew who survived the Holocaust and fled totalitarian rule to eventually become an American citizen. OSF has spent more than $19 billion over the past three decades on programs ranging from protecting the rights of the Roma minority and migrants to supporting media freedom, monitoring corruption and strengthening the rule of law. But as it prepares to cut back, nationalists and populists such as Italian Prime Minister Georgia Meloni to former Slovak Premier Robert Fico, who’s leading polls before next month’s elections, are making gains. And funding for groups pushing ultra-conservative agendas is rising. Campaigns aimed at preventing gay marriage and bolstering anti-abortion initiatives received $707 million between 2009 and 2018, according to a European Parliament report. Hungarian Prime Minister Viktor Orban’s government, meanwhile, has poured $1.3 billion into a state foundation that promotes the agenda of his nationalist ruling Fidesz party. OSF argues that it will continue to promote democracy in the region, particularly in countries that border the EU. Yet it’s pulling back just as the forces it opposed are getting stronger.  — [Michael Winfrey]( George Soros at the the World Economic Forum in Davos in January 2020. Photographer: Simon Dawson/Bloomberg Check out the Bloomberg Politics [webpage](, and if you are enjoying this newsletter, sign up [here](. Global Headlines Few self-described libertarians mean it quite like Argentina’s presidential frontrunner, Javier Milei. In a two-hour interview, he [flashed his zeal]( for unleashing the powers of free markets on the ailing country, vowing to slash government spending, shutter the central bank, replace the beleaguered peso with the US dollar and restore credibility to the famously unstable economy. - Milei also pledged to [freeze relations]( with China and pull South America’s second-biggest economy out of the Mercosur trade bloc with Brazil. White House celebrations of the first anniversary of President Joe Biden’s key climate law were overshadowed by [a wave of extreme weather]( and criticisms of his response to the devastating wildfires in Maui. As he seeks a boost to his 2024 election campaign, Biden has struggled to make the Inflation Reduction Act and a string of positive indicators resonate with voters. - Companies planning to [invest in sensitive]( Chinese technology would have to share details with the government, according to an executive order from Biden. The top international envoy to Bosnia-Herzegovina accused the country’s Serb leader of playing into the hands of Vladimir Putin, who he says is exploiting the Balkan nation’s [ethnic divisions]( to divert attention from the invasion of Ukraine. Bosnian Serb leader Milorad Dodik, who has intensified efforts to cut ties with the rest of Bosnia, has become a “puppet on a string” to the Russian president, the United Nations-backed High Representative Christian Schmidt said in an interview. - A recently manufactured Russian missile recovered by Ukrainian forces suggests the [invading army is running low]( on stocks of some advanced weapons. Best of Bloomberg Opinion - [Don’t Déjà Vu Me, Argentina. Markets Have No Tears: John Authers]( - [A Sickly Ruble Reveals What Putin Will Not: Alexandra Prokopenko]( - [Singapore Is a Success. Why Reinvent It?: Daniel Moss]( The outsized global reaction to the coup in Niger shows how the West African nation has become one of the most strategically significant countries on the continent. Among the last democracies in the Sahel region, it was the [linchpin]( of the global fight against jihadists linked to al Qaeda and Islamic State and a key ally in Europe’s effort to stop migration. - Several soldiers from Niger have been killed in [attacks]( by armed groups in the West African nation. Explainers You Can Use - [How Sanctions Have Stressed Russia’s Economy, Ruble]( - [A Descent Into Crypto Hell Started With a Spam Text From ‘Vicky’]( - [Twitter-DOJ Spat Over Trump Data Raised Questions on Musk’s Role]( North Korea may time the test launch of a missile that can deliver [a nuclear warhead]( to the American mainland to coincide with a summit tomorrow of the leaders of Japan, South Korea and the US at the Camp David presidential retreat, South Korea’s spy service was cited as saying by a lawmaker. The three are expected to discuss ways to enhance their security cooperation and military training to respond to the threats from Kim Jong Un’s regime. Kim fires a rifle during an inspection of a munitions factory in North Korea in August. Photographer: KCNA/KNS Listen to our Big Take podcast on why former US President Donald Trump will have a harder time securing a pardon – or avoiding prison – if he’s convicted on charges of trying to overturn the 2020 election in Georgia. You can find it [here]( and on [Apple]( and [Spotify](. News to Note - Israel said it will proceed with the [biggest military-export agreement]( in its history after the US backed Germany’s $3.5 billion purchase of the Arrow 3 air-defense system. - China’s top leaders [pledged to expand]( domestic consumption and support the private sector without detailing any new stimulus measures, the latest in a series of rhetorical attempts to boost confidence in the economy. - Spanish Prime Minister Pedro Sanchez’s Socialist party [won a key vote]( in the country’s fragmented parliament, handing the caretaker leader a major boost in his bid to retain the job. - Nigerian President Bola Tinubu named Wale Edun, who served as his senior adviser on monetary policy, as [finance minister]( in his new cabinet. - Sweden is set to announce an [increased level of terrorist threat]( following a series of Koran burnings that have sparked anger in the Muslim world, Dagens Nyheter newspaper reported. And finally ... Europe is bracing for the possible influx of a drug called “[the poor man’s cocaine](” that’s popular with everyone from teenagers to construction workers in the Middle East. Selling for around $3 to $25 per tablet, the amphetamine-type pill captagon mainly comes from groups tied to Syrian President Bashar Al-Assad and his ally the Lebanese militia Hezbollah, according to the US, UK and independent researchers. Police sort through tablets of captagon seized in Jeddah in 2022. Photographer: Fayez Nureldine/AFP/Getty Images More from Bloomberg - [Washington Edition]( for exclusive coverage on how the worlds of money and politics intersect in the US capital - [Economics Daily]( for what the changing landscape means for policy makers, investors and you - [Supply Lines]( for daily insights into supply chains and globe trade - [Bw Daily]( for unique perspectives, original reporting and insightful analysis from Businessweek’s renowned journalists - [Green Daily]( for the latest in climate news, zero-emission tech and green finance Explore more newsletters at [Bloomberg.com](. Follow Us Like getting this newsletter? [Subscribe to Bloomberg.com]( for unlimited access to trusted, data-driven journalism and subscriber-only insights. Want to sponsor this newsletter? [Get in touch here](. You received this message because you are subscribed to Bloomberg's Balance of Power newsletter. If a friend forwarded you this message, [sign up here]( to get it in your inbox. [Unsubscribe]( [Bloomberg.com]( [Contact Us]( Bloomberg L.P. 731 Lexington Avenue, New York, NY 10022 [Ads Powered By Liveintent]( [Ad Choices](