Egyptians protest after draft constitution raced through

CAIRO (Reuters) - Tens of thousands of Egyptians protested against President Mohamed Mursi on Friday after an Islamist-led assembly raced through approval of a new constitution in a bid to end a crisis over the Islamist leader's newly expanded powers.

"The people want to bring down the regime," they chanted in Tahrir Square, echoing the chants that rang out in the same place less than two years ago and brought down Hosni Mubarak.

Mursi said a decree halting court challenges to his decisions, which sparked eight days of protests and violence by Egyptians calling him a new dictator, was "for an exceptional stage" and aimed to speed up the democratic transition.

"It will end as soon as the people vote on a constitution," he told state television while the constituent assembly was still voting on a draft, which the Islamists say reflects Egypt's new freedoms. "There is no place for dictatorship."

But the opposition cried foul. Liberals, leftists, Christians, more moderate Muslims and others had withdrawn from the assembly, saying their voices were not being heard.

Even in the mosque where Mursi said Friday prayers some opponents chanted "Mursi: void" before sympathizers surrounded him shouting in support, journalists and a security source said.

Tens of thousands gathered across the country, filling Tahrir Square and hitting the streets in Alexandria and other cities, responding to opposition calls for a big turnout. Rival demonstrators clashed after dark in Alexandria and the Nile Delta town of Al-Mahala Al-Kobra, some hurling rocks in anger.

An opposition leaflet distributed on Tahrir urged protesters in Cairo to stay overnight before Saturday's rallies by Islamists; the Muslim Brotherhood and its allies said they would avoid the square during their demonstrations backing Mursi.

The disparate opposition, which has struggled to compete with well-organized Islamists, has been drawn together and reinvigorated by the crisis. Tens of thousands had also protested on Tuesday, showing the breadth of public anger.

POTENT MACHINE

But Islamists have a potent political machine and the United States has looked on warily at the rising power of a group it once kept at arms length now ruling a nation that has a peace treaty with Israel and is at the heart of the Arab Spring.

Protesters said they would push for a 'no' vote in a constitutional referendum, which could happen as early as mid-December. If the new basic law were approved, it would immediately cancel the president's decree.

"We fundamentally reject the referendum and constituent assembly because the assembly does not represent all sections of society," said Sayed el-Erian, 43, a protester in Tahrir and member of a party set up by opposition figure Mohamed ElBaradei.

ElBaradei said in a statement the constitution had "lost legitimacy" and called for ending the polarization of Egypt.

The plebiscite on the constitution is a gamble based on the Islamists' belief they can mobilize voters again after winning every election held since Mubarak was toppled in February 2011.

Despite the big numbers opposed to him, Mursi can count on backing from the disciplined Brotherhood and Islamist allies, as well as many Egyptians who are simply exhausted by the turmoil.

"He just wants us to move on and not waste time in conflicts," said 33-year-old Cairo shopkeeper Abdel Nasser Marie. "Give the man a chance and Egypt a break."

But Mursi needs the cooperation of judges to oversee the vote, and many have been angered by a decree from Mursi they said undermined the judiciary. Some judges are on strike.

The assembly concluded the vote after a 19-hour session, faster than many expected, approving all 234 articles of the draft, covering presidential powers, the status of Islam, the military's role and human rights.

It introduces a presidential term limit of eight years - Mubarak served for 30. It also bring in a degree of civilian oversight over the military - though not enough for critics.

An Egyptian official said Mursi was expected to approve the document on Saturday and then has 15 days to hold a referendum.

"This is a revolutionary constitution," said Hossam el-Gheriyani, head of the assembly, urging members to campaign for the new constitution across Egypt, after the all-night session.

DEEPENING DIVISIONS

Critics argue it is an attempt to rush through a draft they say has been hijacked by the Muslim Brotherhood, which backed Mursi for president in a June election, and its Islamist allies.

Two people have been killed and hundreds injured in protests since the decree was announced on November 22, deepening the divide between the newly empowered Islamists and their critics.

Seeking to placate opponents, Mursi welcomed criticism but said there was no place for violence. "I am very happy that Egypt has real political opposition," he told state television.

He said Egypt needed to attract investors and tourists. The crisis threatens to derail a fragile economic recovery after two years of turmoil. Egypt is waiting for the International Monetary Fund to finalize a $4.8 billion loan to help it out.

An alliance of opposition groups pledged to keep up protests and said broader civil disobedience was possible to fight what it described as an attempt to "kidnap Egypt from its people".

Several independent newspapers said they would not publish on Tuesday in protest. One of the papers also said three private satellite channels would halt broadcasts on Wednesday.

The draft injects new Islamic references into Egypt's system of government but keeps in place an article defining "the principles of sharia" as the main source of legislation - the same phrase found in the previous constitution.

The president can declare war with parliament's approval, but only after consulting a national defense council with a heavy military and security membership. That was not in the old constitution, used when Egypt was ruled by ex-military men.

Critics highlighted other flaws, such as articles pertaining to the rights of women and freedom of speech.

A new parliamentary election cannot be held until a new constitution is passed. Egypt has been without an elected legislature since a court ordered the dissolution of the Islamist-dominated lower house in June.

(Additional reporting by Yasmine Saleh and Marwa Awad; Writing by Edmund Blair; Editing by Philippa Fletcher and Alastair Macdonald)

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Around 40% states still have more than 5% as stamp duty

NEW DELHI: The Comptroller and Auditor General's (CAG) audit into Centre's urban renewal programme - Jawaharlal Nehru National Urban Renewal Mission (JNNURM) -- has shown that 40% of states and Union Territories have failed to rationalize stamp duty to 5% for property registration. The defaulting states include Delhi, Haryana, West Bengal, Karnataka, Kerala and Chhattisgarh.

High stamp duty discourages property registration at actual or market value and thereby increases scope of black money in the realty sector.

As per JNNURM norms, stamp duty was to be brought down to 5% or less, including surcharges by local municipal bodies, during implementation of the programme. "It was expected that a reduction in the rate would help develop a healthy real estate market, by providing a boost to the economy, and reduce black money. It was expected that reduction in stamp duty rates would lead to an increase in revenue both for the states and urban local bodies," the report said.

The CAG found that out of 30 states/UTs selected for scrutiny, only 16, including Andhra Pradesh, Chandigarh, Gujarat, Maharashtra, Punjab, Uttar Pradesh and Rajasthan had either 5% or less as stamp duty.

The report mentioned that in the case of Uttarakhand, stamp duty was reduced to 5% for men and 3.5% for women. On the contrary, in Haryana, stamp duty is 7% (5% plus 2% as local body surcharge) for men and 5% for women, including 2% surcharge for local bodies

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Kenya village pairs AIDS orphans with grandparents

NYUMBANI, Kenya (AP) — There are no middle-aged people in Nyumbani. They all died years ago, before this village of hope in Kenya began. Only the young and old live here.

Nyumbani was born of the AIDS crisis. The 938 children here all saw their parents die. The 97 grandparents — eight grandfathers among them — saw their middle-aged children die. But put together, the bookend generations take care of one another.

Saturday is World AIDS Day, but the executive director of the aid group Nyumbani, which oversees the village of the same name, hates the name which is given to the day because for her the word AIDS is so freighted with doom and death. These days, it doesn't necessarily mean a death sentence. Millions live with the virus with the help of anti-retroviral drugs, or ARVs. And the village she runs is an example of that.

"AIDS is not a word that we should be using. At the beginning when we came up against HIV, it was a terminal disease and people were presenting at the last phase, which we call AIDS," said Sister Mary Owens. "There is no known limit to the lifespan now so that word AIDS should not be used. So I hate World AIDS Day, follow? Because we have moved beyond talking about AIDS, the terminal stage. None of our children are in the terminal stage."

In the village, each grandparent is charged with caring for about a dozen "grandchildren," one or two of whom will be biological family. That responsibility has been a life-changer for Janet Kitheka, who lost one daughter to AIDS in 2003. Another daughter died from cancer in 2004. A son died in a tree-cutting accident in 2006 and the 63-year-old lost two grandchildren in 2007, including one from AIDS.

"When I came here I was released from the grief because I am always busy instead of thinking about the dead," said Kitheka. "Now I am thinking about building a new house with 12 children. They are orphans. I said to myself, 'Think about the living ones now.' I'm very happy because of the children."

As she walks around Nyumbani, which is three hours' drive east of Nairobi, 73-year-old Sister Mary is greeted like a rock star by little girls in matching colorful school uniforms. Children run and play, and sleep in bunk beds inside mud-brick homes. High schoolers study carpentry or tailoring. But before 2006, this village did not exist, not until a Catholic charity petitioned the Kenyan government for land on which to house orphans.

Everyone here has been touched by HIV or AIDS. But only 80 children have HIV and thanks to anti-retroviral drugs, none of them has AIDS.

"They can dream their dreams and live a long life," Owens said.

Nyumbani relies heavily on U.S. funds but it is aiming to be self-sustaining.

The kids' bunk beds are made in the technical school's shop. A small aquaponics project is trying to grow edible fish. The mud bricks are made on site. Each grandparent has a plot of land for farming.

The biggest chunk of aid comes from the United States President's Emergency Plan for AIDS Relief (PEPFAR), which has given the village $2.5 million since 2006. A British couple gives $50,000 a year. A tree-growing project in the village begun by an American, John Noel, now stands six years from its first harvest. Some 120,000 trees have already been planted and thousands more were being planted last week.

"My wife and I got married as teenagers and started out being very poor. Lived in a trailer. And we found out what it was like to be in a situation where you can't support yourself," he said. "As an entrepreneur I looked to my enterprise skills to see what we could do to sustain the village forever, because we are in our 60s and we wanted to make sure that the thousand babies and children, all the little ones, were taken care of."

He hopes that after a decade the timber profits from the trees will make the village totally self-sustaining.

But while the future is looking brighter, the losses the orphans' suffered can resurface, particularly when class lessons are about family or medicine, said Winnie Joseph, the deputy headmaster at the village's elementary school. Kitheka says she tries to teach the kids how to love one another and how to cook and clean. But older kids sometimes will threaten to hit her after accusing her of favoring her biological grandchildren, she said.

For the most part, though, the children in Nyumbani appear to know how lucky they are, having landed in a village where they are cared for. An estimated 23.5 million people in sub-Saharan Africa have HIV as of 2011, representing 69 percent of the global HIV population, according to UNAIDS. Eastern and southern Africa are the hardest-hit regions. Millions of people — many of them parents — have died.

Kitheka noted that children just outside the village frequently go to bed hungry. And ARVs are harder to come by outside the village. The World Health Organization says about 61 percent of Kenyans with HIV are covered by ARVs across the country.

Paul Lgina, 14, contrasted the difference between life in Nyumbani, which in Swahili means simply "home," and his earlier life.

"In the village I get support. At my mother's home I did not have enough food, and I had to go to the river to fetch water," said Lina, who, like all the children in the village, has neither a mother or a father.

When Sister Mary first began caring for AIDS orphans in the early 1990s, she said her group was often told not to bother.

"At the beginning nobody knew what to do with them. In 1992 we were told these children are going to die anyway," she said. "But that wasn't our spirit. Today, kids we were told would die have graduated from high school."

___

On the Internet:

http://www.trees4children.org/

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Obama Warns of 'Scrooge Christmas' Without Deal

President Barack Obama gestures as he speaks at the Rodon Group, which manufactures over 95% of the parts for K' NEX Brands toys, Nov. 30, 2012, in Hatfield, Pa. (Susan Walsh/AP Photo)

HATFIELD, Pa. — President Obama today accused Republicans of putting Americans at risk of a “Scrooge Christmas” if they fail to extend middle class tax cuts, telling workers in Pennsylvania that a tax increase would be like a “lump of coal.”

“This is not some run-of-the-mill debate. This isn’t about which political party can come out on top in negotiations. We’ve got important decisions to make that are going to have a real impact on businesses and families all across the country,” the president said.

Obama made his remarks about the negotiations to avert the impending “fiscal cliff” as he stood before piles of toys at the Rodon Group factory, which manufactures Lincoln Logs, K’Nex and Angry Bird toys.

“I’ve been keeping my own naughty and nice lists for Washington. So you should keep your eye on who gets K’NEX this year,” he quipped. “There are going to be some members of Congress who get them, and some who don’t.” One day after the fiscal cliff talks between the White House and House Republicans took a turn for the worse, the president admitted there are going to be “some prolonged negotiations” to get the deficit under control because “you know, in Washington, nothing’s easy.”

“We’ve got some disagreements about the high-end tax cuts, right?” he said of his insistence on raising taxes on the top 2 percent as part of a broader deficit reduction deal. “That’s a disagreement that we’re going to have and we’ve got to sort out. But we already all agree, we say, on making sure middle-class taxes don’t go up. So let’s get that done. Let’s go ahead and take the fear out for the vast majority of American families so that they don’t have to worry about $2,000 coming out of their pockets starting next year.”

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Shortly after the president spoke, House Speaker John Boehner told reporters on Capitol Hill, “There’s a stalemate. Let’s not kid ourselves. I’m not trying to make this more difficult. If you’ve watched me over the last three weeks, I’ve been very guarded in what I had to say, because I don’t want to make it harder for me or the president or members of both parties to be able to find common ground.”

As Americans head out to shop for the holidays, the White House has warned consumer spending would take a hit of $200 billion in 2013, or roughly 1.4 percent of the GDP, if Congress could not reach a budget deal by the end of the year. As he did earlier this week, the president enlisted the help of Americans to pressure lawmakers to act on middle class tax cuts and said he’s ready to do his part. “If we can just get a few House Republicans on board, we can pass the bill in the House, it will land on my desk, and I am ready. I’ve got a bunch of pens ready to sign this bill… There are no shortage of pens in the White House,” he joked.

On Thursday, the White House put forth a proposal of $1.6 trillion in tax increases over the next 10 years, $50 billion in new stimulus spending, $400 billion in unspecified Medicare cuts, and a measure to effectively end Congress’s ability to vote on the debt limit. The offer, which closely mirrors the president’s previous deficit-reduction plans, lacked concessions to Republicans including detailed spending cuts and was strongly rejected.

Get More Political Analysis from ABC’s The Note

Factories like the Rodon Group’s will see a tax increase if a deal is reached in Democrats’ favor. But K’Nex CEO Michael Araten told ABC News his third-generation company wouldn’t be forced to change practices and had planned several years in advance to compensate for any tax increase.

“If on an individual basis we have some taxes we’ll deal with that,” he said. “But we don’t think that an incremental difference of 2 or 3 percent will meaningfully move our budgets in a way that impacts our hiring or investment plans. Everyone who has a job is going to have a job on Jan. 1 whether we go over the cliff or not.”

Striking into the Obama tour’s territory, today Majority Whip. Rep. Kevin McCarthy circulated a video of another Pennsylvania small business owner, Jerry Gorski of Gorski Engineering, explaining how the tax increase on the top 2 percent of income earners would harm his establishment.

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Strauss-Kahn, maid don't have deal yet: lawyers

NEW YORK: Lawyers for Dominique Strauss-Kahn, the disgraced former IMF chief, shot down reports Friday that he was ready to pay $6 million to a Manhattan maid accusing him of sexual assault -- but confirmed that he was negotiating.

In a statement seeking to dampen media speculation over an out-of-court settlement of the maid's civil suit, the lawyers stressed that Strauss-Kahn was talking, but had yet to ink a deal.

"The parties have discussed a resolution but there has been no settlement. Mr Strauss-Kahn will continue to defend the charges if no resolution can be reached," attorneys William Taylor and Amit Mehta said in a brief statement.

The attorneys repeated an earlier denial of a report in French daily Le Monde specifying that Strauss-Kahn, once seen as France's likely next president, was prepared to pay off Sofitel room cleaning lady Nafissatou Diallo.

"Media reports that Dominique Strauss-Kahn has agreed to pay $6 million to settle the civil case are flatly false," Taylor and Mehta said.

According to Le Monde, Strauss-Kahn was to raise the money by borrowing $3 million from a bank and the rest from his estranged wife, Anne Sinclair, a well-known former newsreader who inherited a fortune from her art dealer father.

Diallo's legal team did not comment, but an earlier statement from Strauss-Kahn's legal team had already called the Le Monde report "imaginary and mistaken."

The latest statement did make official that Strauss-Kahn is negotiating with Diallo to end the sordid 18-month legal saga, a development first reported late Thursday by The New York Times, quoting unidentified sources.

Until now, Strauss-Kahn's lawyers repeatedly said they would not agree to a deal, while Diallo's legal team insisted she wanted her day in court to confront her alleged abuser.

Judge Douglas McKeon, who is presiding over the civil case in New York, told AFP "there may be a court session as early as next week," but declined to comment further.

Diallo's allegation of attempted rape in May 2011 triggered a stunning fall from grace for Strauss-Kahn, who had been seen as close to announcing he would run in an upcoming French presidential election.

Criminal charges were thrown out when Manhattan prosecutors said Diallo's testimony wouldn't stand up in court. She then filed her own civil lawsuit in a Bronx court, alleging that the 63-year-old leapt on her, naked, and forced her into oral sex.

Strauss-Kahn, who says a hurried but consensual sex act took place in his luxury room, returned immediately to France after the criminal case disintegrated.

However, by then Strauss-Kahn's career was in tatters, his marriage was on the rocks and he soon faced a string of other sex-related investigations by French authorities.

In France, Strauss-Kahn will learn December 19 if he is to face further investigation into pimping charges arising from allegations that he and associates arranged sex parties with prostitutes in the northern French city of Lille.

His lawyers have filed a request for the charges to be dismissed.

French prosecutors last month dropped an investigation into Strauss-Kahn's alleged participation in a gang rape after the woman involved said she had consented and was not pressing charges.

Strauss-Kahn has also been accused by 32-year-old author Tristane Banon of trying to rape her in 2002.

French investigating magistrates questioned Strauss-Kahn and his accuser and concluded that while there appeared to be evidence of a sexual assault, the alleged attack had occurred too long ago to be prosecuted.

-AFP/ac

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Palestinians win implicit U.N. recognition of sovereign state

UNITED NATIONS (Reuters) - The 193-nation U.N. General Assembly on Thursday overwhelmingly approved the de facto recognition of a sovereign Palestinian state after Palestinian President Mahmoud Abbas called on the world body to issue its long overdue "birth certificate."

There were 138 votes in favor, nine against and 41 abstentions. Three countries did not take part in the vote to upgrade the Palestinian Authority's observer status at the United Nations to "non-member state" from "entity."

The assembly approved the upgrade despite threats by the United States and Israel to punish the Palestinians by withholding funds for the West Bank government. U.N. envoys said Israel might avoid harsh retaliation as long as the Palestinians did not seek to join the International Criminal Court.

The much-anticipated vote came after Abbas denounced Israel for its "aggressive policies and the perpetration of war crimes" from the U.N. podium, remarks that elicited a furious response from the Jewish state.

"Sixty-five years ago on this day, the United Nations General Assembly adopted resolution 181, which partitioned the land of historic Palestine into two states and became the birth certificate for Israel," Abbas told the 193-nation assembly after receiving a standing ovation.

"The General Assembly is called upon today to issue a birth certificate of the reality of the State of Palestine," he said.

Israeli Prime Minister Benjamin Netanyahu responded quickly, condemning Abbas' critique of Israel as "hostile and poisonous," and full of "false propaganda."

"These are not the words of a man who wants peace," Netanyahu also said in a statement released by his office in Israel.

At least 17 European nations voted in favor of the Palestinian resolution, including Austria, France, Italy, Norway and Spain. Abbas had focused his lobbying efforts on Europe, which supplies much of the aid the Palestinian Authority relies on. Britain, Germany and others chose to abstain.

The Czech Republic was unique in Europe, joining the United States, Israel, Canada, Panama and tiny Pacific Island states likes Nauru, Palau and Micronesia in voting against the move.

After the vote, U.S. Ambassador to the United Nations Susan Rice called for the immediate resumption of peace talks.

"The Palestinian people will wake up tomorrow and find that little about their lives has changed save that the prospects of a durable peace have only receded," she said.

"The United States calls upon both the parties to resume direct talks without preconditions on all the issues that divide them and we pledge that the United States will be there to support the parties vigorously in such efforts," Rice said.

She added that both parties should "avoid any further provocative actions in the region, in New York or elsewhere."

(Andrew Quinn in Washington, Noah Browning in Ramallah, Jeffrey Heller in Jerusalem, Michelle Nichols in New York, Robert Mueller in Prague, Gabriela Baczynska and Reuters bureau in Europe and elsewhere; Editing by Peter Cooney)

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White paper on irrigation a dud, Maharashtra skirts corruption

MUMBAI: The much-awaited white paper on irrigation, which was placed before the state cabinet on Thursday, has turned out to be a dud. As expected, it skirts the core issue of corruption and irregularities in the water resources department, and merely collates data on projects approved in the last decade.

Addressing a news conference on Thursday night, chief minister Prithviraj Chavan said the two-volume report, which was not discussed in the cabinet meeting — with observers saying it was part of a Congress strategy — will be uploaded on the state government's website by Friday. The first volume addresses issues pertaining to land brought under irrigation, while the second sheds light on big and medium projects executed by five state irrigation corporations.

NCP leader Ajit Pawar, who resigned as deputy chief minister last September following a series of exposes in TOI, is believed to be desperate to make a comeback in the government based on the findings of the white paper, which many in official circles described as a "whitewash". Pawar was the state's water resources minister between 1999 and 2010, when most of the dubious contracts were awarded to select contractors. Political sources said infighting between rival groups in the NCP may scuttle Pawar's re-entry plans.

According to an estimate, as much as Rs 35,000 crore may have been siphoned off by the politician-bureaucrat-contractor nexus in dud irrigation projects in the past ten years.

Government sources said only a criminal investigation will unravel the extent of the scam, described as the largest in Maharashtra's history.

"If there is an independent judicial inquiry, the Democratic Front government will collapse, considering the involvement of powerful politicians and officials," they said.

As reported by TOI on Thursday, the white paper has justified irrigation project cost escalations, blaming them on delays in relief and rehabilitation, land acquisition and environmental clearances. It says the escalations were commensurate with hikes approved for similar projects in other states.

Debunking the claim that Rs 70,000 crore was spent on irrigation projects in the past ten years, the document puts the figure at just Rs 42,000 crore. The paper, prepared by the state water resources department, claims that of this amount, Rs 30,000 crore was spent towards relief and rehabilitation; Rs 5,000 crore is shown under administrative expenses. The paper adds that over 30% of the relief and rehabilitation cost went towards projects that are yet to be completed. It is pertinent to note that departments controlled by the Congress are responsible for relief and rehabilitation and land acquisition.

The paper says 69 ongoing mega projects and 189 medium projects were taken up under the Accelerated Irrigation Benefit Programme (AIBP) and bore approvals of the Central Water Commission and the Planning Commission. It says the central agencies ratified the cost escalations.

The paper says the scheduled rates for materials used by the department while awarding contracts (department scheduled rates) were lower than those used for similar projects in other states and also less than rates used by other agencies in Maharashtra like the public works department and the MMRDA.

The paper claims that the scope of project work was often increased on account of demand from local politicians. The document gives status reports for mega projects, including details like original cost, escalations and their reasons.

Of the state's 226 lakh hectares of cultivable land, the white paper says irrigated land stood at 48.5 lakh hectares in 2010, which it says is a 28% increase from 2001 when the area was 37 lakh hectares. The paper says the cropped irrigated area (the ratio of irrigation potential generation to land under irrigation) grew by 5.17% during the ten-year period.

According to the economic status report (ESR), the cropped irrigated area only rose by 0.1% during this period (from 17.8% in 2001 to 17.9% in 2010). The chief minister had cited ESR data while asking the department to prepare the white paper in May this year.

The paper also refuted allegations that the department had created liabilities worth Rs 70,000 crore. It said that while projects worth Rs 80,000 crore were in the pipeline, liabilities had been booked only for Rs 35,000 crore.

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Clinton releases road map for AIDS-free generation

WASHINGTON (AP) — In an ambitious road map for slashing the global spread of AIDS, the Obama administration says treating people sooner and more rapid expansion of other proven tools could help even the hardest-hit countries begin turning the tide of the epidemic over the next three to five years.

"An AIDS-free generation is not just a rallying cry — it is a goal that is within our reach," Secretary of State Hillary Rodham Clinton, who ordered the blueprint, said in the report.

"Make no mistake about it, HIV may well be with us into the future but the disease that it causes need not be," she said at the State Department Thursday.

President Barack Obama echoed that promise.

"We stand at a tipping point in the fight against HIV/AIDS, and working together, we can realize our historic opportunity to bring that fight to an end," Obama said in a proclamation to mark World AIDS Day on Saturday.

Some 34 million people worldwide are living with HIV, and despite a decline in new infections over the last decade, 2.5 million people were infected last year.

Given those staggering figures, what does an AIDS-free generation mean? That virtually no babies are born infected, young people have a much lower risk than today of becoming infected, and that people who already have HIV would receive life-saving treatment.

That last step is key: Treating people early in their infection, before they get sick, not only helps them survive but also dramatically cuts the chances that they'll infect others. Yet only about 8 million HIV patients in developing countries are getting treatment. The United Nations aims to have 15 million treated by 2015.

Other important steps include: Treating more pregnant women, and keeping them on treatment after their babies are born; increasing male circumcision to lower men's risk of heterosexual infection; increasing access to both male and female condoms; and more HIV testing.

The world spent $16.8 billion fighting AIDS in poor countries last year. The U.S. government is the leading donor, spending about $5.6 billion.

Thursday's report from PEPFAR, the President's Emergency Plan for AIDS Relief, outlines how progress could continue at current spending levels — something far from certain as Congress and Obama struggle to avert looming budget cuts at year's end — or how faster progress is possible with stepped-up commitments from hard-hit countries themselves.

Clinton warned Thursday that the U.S. must continue doing its share: "In the fight against HIV/AIDS, failure to live up to our commitments isn't just disappointing, it's deadly."

The report highlighted Zambia, which already is seeing some declines in new cases of HIV. It will have to treat only about 145,000 more patients over the next four years to meet its share of the U.N. goal, a move that could prevent more than 126,000 new infections in that same time period. But if Zambia could go further and treat nearly 198,000 more people, the benefit would be even greater — 179,000 new infections prevented, the report estimates.

In contrast, if Zambia had to stick with 2011 levels of HIV prevention, new infections could level off or even rise again over the next four years, the report found.

Advocacy groups said the blueprint offers a much-needed set of practical steps to achieve an AIDS-free generation — and makes clear that maintaining momentum is crucial despite economic difficulties here and abroad.

"The blueprint lays out the stark choices we have: To stick with the baseline and see an epidemic flatline or grow, or ramp up" to continue progress, said Chris Collins of amFAR, the Foundation for AIDS Research.

His group has estimated that more than 276,000 people would miss out on HIV treatment if U.S. dollars for the global AIDS fight are part of across-the-board spending cuts set to begin in January.

Thursday's report also urges targeting the populations at highest risk, including gay men, injecting drug users and sex workers, especially in countries where stigma and discrimination has denied them access to HIV prevention services.

"We have to go where the virus is," Clinton said.

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Obama Lunches With Romney as 'Cliff' Talks Falter

President Obama and Mitt Romney met face to face today for the first time since the election, breaking bread at the White House as talks over the looming "fiscal cliff" appeared to be faltering on Capitol Hill.

"I bet it was and is quite tasty," Obama spokesman Jay Carney said of the lunch as it was underway, "because [the chefs] know how to prepare very fine meals."

The menu included white turkey chili and Southwestern grilled chicken salad, the White House said in a written statement following the meal. The discussion was said to center on "America's leadership in the world and the importance of maintaining that leadership position in the future."

The former rivals concluded their 70-minute encounter with a visit to the Oval Office, the symbolic center of American power to which Romney has long tried to accede, shaking hands before the iconic "Resolute" presidential desk.

"Governor Romney congratulated the President for the success of his campaign and wished him well over the coming four years," the White House said. "They pledged to stay in touch, particularly if opportunities to work together on shared interests arise in the future."

The lunch took place in an elegant private dining room in the West Wing overlooking the manicured gardens of the White House South Lawn. Romney was seen coming and going from a side entrance in a black SUV. The former GOP nominee arrived without fanfare or entourage, opening his own car door both times.

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President Obama said during a news conference earlier this month that he was interested in speaking with Romney about his ideas on jobs and economic growth, noting that his rival had "presented some ideas during the course of the campaign that I actually agree with."

Administration officials said there was no formal agenda for today's lunch or a "specific ask" or assignment for the governor.

Romney, who has kept a relatively low profile since losing the election on Nov. 6, has not publicly addressed Obama's post-election overtures or the prospect of working together. Both men have little personal history and had a chilly relationship during the campaign.

Senior Romney campaign strategist Eric Fehrnstrom called Obama's lunch invitation "gracious" and said that Romney was "glad to accept." The governor also met earlier Thursday in Washington with former running mate Rep. Paul Ryan of Wisconsin.

The Obama-Romney detente came as talks between the White House and congressional Republicans to prevent the economy from going over the "fiscal cliff" of mandatory spending cuts and tax increases set for Jan. 1 appeared to hit a snag.

Treasury Secretary Timothy Geithner, the lead White House negotiator in the talks, and White House legislative chief Rob Nabors held a flurry of meetings today with congressional leaders of both parties in the House and Senate.

But following sessions, top Republicans poured cold water on what had been budding optimism of progress toward a deal.

"No substantive progress has been made over the last two weeks," said House Speaker John Boehner at a press conference.

"We know what the menu is. What we don't know is what the White House is willing to do to get serious about solving our debt crisis," he said, accusing the administration of failing to detail plans for significant spending cuts to correspond with desired tax revenue increases.

Obama and Boehner spoke by phone Wednesday night, sources told ABC News, their second conversation in four days. Boehner described it as "direct and straightforward," but suggested "disappointment" with Obama's reticence to waver on hiking tax rates on the wealthy.

Senate Minority Leader Mitch McConnell, R-Ky., in advance of his meeting with Geithner, said everything the White House has put down on the table so far has been "counterproductive," and he hopes that the Treasury Secretary brings "a specific plan from the president" with him today.

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Long hard road for Spain in recession: OECD

MADRID: Spain is engulfed in a long recession with little hope of a quick recovery and its towering unemployment rate will soar further, the OECD club of industrialised nations said Thursday.

Spain must quickly fix its banks to avert the "substantial risk" of being cut off from external financing and plunging into an even deeper recession, the body warned in a report.

"The economy is undergoing a prolonged recession," the Organisation for Economic Cooperation and Development said in a report, citing the 2008 global financial crisis and the bust of a Spanish housing boom.

"The prospect of an immediate recovery remains remote," the OECD said, noting that people and businesses were struggling to repay loans and the nation was stuck in a debt crisis.

OECD secretary-general Angel Gurria called for Spain's European partners to make a declaration that they would support Madrid in any bailout request, though it has staunchly resisted making such a call over recent months.

Addressing Spain's 25-percent unemployment rate, the OECD urged drastic labour market changes, on top of much-protested reforms already taken by conservative Prime Minister Mariano Rajoy that make it cheaper to fire staff.

It called for cutting compensation for unfair dismissal, considering abolishing an extension of industry-wide collective bargaining, and more training and job-search help for the young.

Gurria highlighted the level of youth unemployment -- more than 52 percent among 16 to 24-year-olds. The OECD forecast the overall jobless rate would reach 26.9 percent in 2013.

Spain's economy has been shrinking for 15 months, with output slumping 0.3 percent in the third quarter, according to official data, and the recession is expected to last right through 2013.

Spain's "immediate policy priority" is to restore trust in banks by fixing weak balance sheets, making orderly resolution of non-viable banks, and shifting bad assets into a new bad bank, the body said.

"In the short-term, there is a substantial risk that the economy, notably the banks, will remain cut off from external funding," it said.

"This would deepen the recession, especially if measures taken at the European level provide ineffective in easing tensions in interbank and sovereign markets."

Spain's banks are struggling with loans turned sour after the property crash.

Eurozone powers agreed in June to extend to Madrid an emergency rescue loan of up to 100 billion euros ($129 billion) to fix their balance sheets and reform the sector.

Now, Spain also is pondering whether to apply to the eurozone's bailout fund for a sovereign rescue, which would open the way for the European Central Bank to buy Spanish bonds and curb Madrid's borrowing costs.

"The thing we need now is to ask that Spain's European partners, given its performance, make an unequivocal declaration that in case Spain asks for support, that this support will be given," Gurria told a news conference.

The ECB's offer to make unlimited purchases of stricken states' bonds if they accept strict conditions has brought down Spain's interest rates even before Madrid decides whether to seek the help.

On another sensitive reform that has fuelled mass street protests, the OECD urged the Spanish government to broaden a hike in sales tax to more goods and services and increase tax on fuel.

The Madrid stock exchange strengthened Thursday, with the IBEX-35 index closing 1.74 higher as tensions eased over Greek debt. Banks' shares picked up after sharp losses Wednesday linked to their restructuring.

-AFP/ac

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