Joining the race

Follow Us Get the newsletter Almost a month after the European Union slapped export controls on coronavirus vaccines in a desperate attempt to get its immunization program back on track, its supply outlook finally looks brighter. Having now secured extra doses from Pfizer and Moderna, the 27-member bloc may be able to inoculate three-quarters of its 450 million people by the end of August, James Paton, Nikos Chrysoloras and Tim Loh report. But it has a lot of ground to make up. While the U.K., with Europe's highest death toll, has administered more than 27 doses per 100 people and the U.S. 20, the EU has so far injected just six. The cost in human lives is mounting, while failure to achieve vaccination targets also leaves Europe vulnerable to a sputtering economic recovery and at risk of falling behind nations that handle their rollouts more effectively. With officials in Brussels warning the 75% inoculation rate may not be enough to stop the virus as new variants emerge, the real challenge is fighting both public doubt and logistical hurdles to get needles into people's arms. In Bulgaria, where distrust is widespread, one hospital reported only about a third of those scheduled to receive shots showed up. Health workers from Germany to France and Italy are also reluctant to embrace the AstraZeneca shot over concerns of side effects and belief in its potency. German officials are warning of a "traffic jam" at vaccination centers. Cases are spiking again across the continent. Chancellor Angela Merkel warned yesterday that a third wave of the virus has already arrived in Germany, while officials in neighboring Czech Republic said the health-care system is nearing "total exhaustion." The vaccines can't come soon enough. — Michael Winfrey Members of the German Armed Forces enter a vaccination center in Berlin on Feb. 10. Photographer: Kay Nietfeld /DPA Check out the Bloomberg Politics web page here and tell us how we're doing or what we're missing at balancepower@bloomberg.net. Global Headlines Tightening grip | An exodus of tens of thousands of Republicans from the party since the Jan. 6 attack on the U.S. Capitol is helping Donald Trump strengthen his hold on the GOP. As Gregory Korte reports, those remaining are likely to be the most loyal to the former president and that could help candidates he backs win nominations in future elections. Chip scarcity | President Joe Biden's planned order for a 100-day government review of U.S. supply chains will take months before finding a solution to end the country's reliance on China and other adversaries for crucial goods. As Jenny Leonard writes, it will provide no quick fix for a shortfall of semiconductors that's idled auto production at several factories. Scottish scandal | A bitter feud between Nicola Sturgeon and her predecessor Alex Salmond threatens to overshadow the Scottish National Party's attempt to win a mandate in May elections to pressure U.K. Prime Minister Boris Johnson to allow another independence referendum. As Alastair Reed and Rodney Jefferson explain, Salmond, who was acquitted by a court of sexually assaulting women while in office, accuses the Sturgeon government of political motivation in its investigation of the allegations, a claim she dismisses. Artist Kaya Mar holds his paintings of Sturgeon and Salmond on Oct. 15, 2015 in Aberdeen. Photographer: Jeff J Mitchell/Getty Images Europe Taking a toll | Quarantines continue to frustrate travelers and strangle airlines a year into the pandemic, with enforced isolations if anything getting longer and stricter. Angus Whitley and Kyunghee Park report that while vaccines are emboldening some countries to plot paths to reopening, authorities are also tightening the screws to stop Covid-19 mutations slipping through quarantine models designed to contain a less aggressive virus. Cash handouts | Hong Kong gave consumers a boost with spending vouchers and loans for the unemployed, while hitting investors with a planned tax hike on stock trading. Financial Secretary Paul Chan outlined $15.5 billion of fiscal support in his budget to stabilize an economy damaged by political and social unrest in 2019 and then the pandemic last year. China's People's Liberation Army trained Hong Kong police cadets on a style of marching used in the mainland for ceremonies, as the city sheds its colonial past. What to Watch The U.S. urged Turkey not to complete the acquisition of Russian S-400 air-defense missiles and jettison the battery it has already received as Ankara engages in talks with Moscow over another delivery. Facebook's brief but tempestuous standoff with the Australian government over a global-first pay-for-news law is only the start of a string of regulatory battles that the world's biggest social network faces in 2021. Ghana became the first nation to receive Covid-19 vaccines through the World Health Organization-backed Covax program that seeks to provide at least 2 billion doses to lower-income countries. Iran enriched its uranium stockpile closer to levels needed for a weapon for the first time in eight years, as international inspectors said they detected traces of the heavy metal at previously undeclared sites. Nigeria needs to enlist the support of private companies to tackle rampant piracy in its waters, the maritime intelligence company Dryad Global said today in a report. And finally ... You need almost $8 million to join the ranks of the richest 1% in Monaco, about 400 times more than it takes to make the cut in Kenya, according to findings from an annual report by Knight Frank that underscore how the pandemic has widened the gap between rich and poor nations. The figure is $5.1 million in the U.S. and $2.9 million in Singapore. The World Bank estimates the Covid-19 crisis has pushed 2 million Kenyans into poverty, while the world's 500 wealthiest people added $1.8 trillion to their combined fortunes last year.     Like Balance of Power? Get unlimited access to Bloomberg.com, where you'll find trusted, data-based journalism in 120 countries around the world and expert analysis from exclusive daily newsletters.   You received this message because you are subscribed to Bloomberg's Balance of Power newsletter. Unsubscribe | Bloomberg.com | Contact Us Bloomberg L.P. 731 Lexington, New York, NY, 10022