Tag: Africa

  • Our mission impartial, says Chair Commonwealth Observer Group

    The chair of the Commonwealth Observer Group, Dr. Jakaya Kiwete on Monday said the mission will be impartial in its assessment of the general elections beginning from Saturday.

    He said the group will issue an interim statement on its preliminary findings on the first set of elections on the 18th of February.

    He said the 18-man observers were drawn from Africa, Asia, Europe, the Caribbean and the Pacific.

    They were deployed to observe the opening, voting, closing, counting and the results management processes.

    According to the statement, this year’s election will be the sixth time a Commonwealth Observer Group will be observing elections in Nigeria since 1999.

    Kikwete, a former President of Tanzania, made the clarifications in a statement in Abuja against the backdrop of anxiety over the roles of the group.

    He said: “Our Group was constituted following an invitation from the Independent National Election Commission, drawing together 18 eminent persons from across the different regions of the Commonwealth, including Africa, Asia, Europe, the Caribbean and the Pacific.

    “We come in our own individual capacities, bringing a wide range of expertise in the areas of election administration, political development, law, human rights, civil society, gender, youth, as well as media.

    “As a group, we are here to observe the organization and conduct of the election process as a whole, and will form an impartial and independent assessment of its credibility.

    “The Commonwealth Observer Group will consider the pre-election period, polling day itself, as well as the post-election period. Our main task is to assess whether the elections have been conducted according to the national, regional and international standards to which Nigeria has committed itself, including its own laws.

    “On election day, we will observe the opening, voting, closing, counting and the results management processes.”

    The group said it will issue an interim statement on its preliminary findings on the 18th of February.

    It also said it will submit a final report to the Commonwealth Secretary-General and thereafter share with the Government of Nigeria, INEC, political parties, Commonwealth governments before making it public.

    The group expressed hope its presence will confirm the unwavering solidarity of the Commonwealth with Nigeria as the country conducts the elections.

    The group however encouraged all citizens to “play their part in ensuring peaceful and credible elections this weekend.”

     

  • Lagos is fourth richest city in Africa, says report

    A New report has ranked Lagos ahead of Abuja and fourth among the 10 wealthiest cities in Africa with a cumulative wealth of $108 billion.

    The report published on property news outlet africapropertynews.com was based on the The AfrAsia Bank Africa Wealth Report 2018.

    The report said though Lagos is not the capital of Nigeria, it serves as the gateway for 80 per cent of Nigeria’s exports and one of the world’s fastest-growing cities.

    The report showed that South Africa still boasts the main concentration of wealth in Africa.

    South Africa was placed as the most developed nation on the continent, with four of Africa’s 10 richest cities.

    Johannesburg, South Africa’s commercial capital, valued at $276 billion was named Africa’s richest. It came first in the ranking followed by Cape Town valued at $155 billion and described as the city with the highest prime residential rates in Africa. Cairo (Egypt) with $140 billion value was ranked third and then followed by Lagos.

    Other cities that made the list include: Durban (South Africa) $55 billion, Nairobi (Kenya) $54 billion and Luanda (Angola) $49 billion.

    Also named at eighth position was Pretoria in South Africa with $48 billion, Casablanca (Morocco) $42 billion and Accra (Ghana) $38 billion at 10th position.

  • Elumelu: Africa needs global private capital to thrive

    Tony Elumelu Foundation (TEF) founder,  Tony Elumelu, has said Africa needs massive global capital to fire and power investments in infrastructure and empower people.

    Speaking during an interview with CNBC on the sidelines of the just concluded 2019 World Economic Forum (WEF) in Davos, Switzerland, Elumelu said capital  goes to where it is most welcome and African leaders should create enabling environment for investors to come in.

    “As you know, capital goes to where it is most welcome, or where the investment destination is more hospitable. For us, we are ready but our political leaders should create enabling environment to attract such investment.

    “We need to ensure that the enabling environment to enable both the small businesses and big businesses do well. We also have to ensure that capital attracted is retained in the continent,” he said.

    He said leadership is key in empowering the African youths, adding that  entrepreneurship would get youths in the continent busy and keep them out of social vices as well as create employment opportunities in the continent.

    Elumelu, who is Heirs Holdings Chairman, said: “I came to Davos to interact with global leaders, who have control capital and that to me is important for the development of our continent. When you come here you meet global philanthropists, development partners, people who are interested in supporting Africa and will begin to change the narrative and the conversation, we begin to let them know that what we need now more than ever before is how to empower young Africans to entrepreneurship. That we are achieving, so when we come here, we think this year has been quite exciting,” Elumelu, who is also the Chairman of the United Bank for Africa (UBA) explained.

    He continued: “For us as Africans, the issue is not about attracting private global capital, they are ready and willing to come to Africa, but we need to work with our political leaders to ensure that we create the enabling environment that will attract and retain the capital we need in Africa.

    “I speak as someone, who invests in other African countries. In fact, we have investments in 23 African countries and I know that there is a lot of investment opportunities, what we need to do more in Africa is to ensure that the enabling environment is good.”

    TEF, Elumelu said, has been quite phenomenal in terms of trying to lift young Africans out of poverty and help create massive employment in the continent. “What the TEF is doing is trying to democratise luck and trying to improve access to economic opportunities, remembering our own story, trying to ensure that we are able to support those who have ideas. Unfortunately, we are not able to support everyone, it’s a $100,000 commitment. We have supported over 4,000 and this year, we will be supporting another 1,000.

  • China, Africa and Washington’s weird worry

    Last month, precisely on December 13, 2018, U.S National Security Adviser, Mr. John Bolton at a Washington D.C based think tank, Heritage Foundation unveiled what he called President Trump’s administration new Africa strategy which according to him has been approved by the president and would go into immediate execution. Bolton told his listeners that “this strategy is the result of an intensive inter-agency process and reflects the core tenets of President Trump’s foreign policy doctrine…and remains true to his central campaign promise to put the interests of the American people first, both at home and abroad”.

    But awkwardly, in discussing the America’s Africa strategy themed “Prosper Africa,” Bolton was more concerned about China in Africa which mentioned 17 times in a six page document, claiming that “China uses bribes, opaque agreements and the strategic use of debts to hold states in Africa captive to Beijing’s wishes and demands.” Mr. Bolton who once railed at the United Nations for being allegedly filled with slot and incompetence and suggested that it would not matter at all, if 10 of the 38 floors of the UN building were blown away, was at his traditional best in spewing hard rhetoric in describing China’s engagement with Africa as “predatory action”.

    In formulating their hostile rhetoric against China-Africa Cooperation, Bolton and the administration he serves, did not seem to have consulted any African government or any of its representative institutions or even Africa’s public opinion on the issue of their relations with China, with a consequence that the U.S Africa’s strategy is a barely concealed Washington grand strategy to contain China, with Africa featuring only as a mere battle ground. To drive home the un-substantiated fallacy about China-Africa Cooperation,. Bolton claimed that “the nation of Zambia is currently in debt to China to the tune of $6-10 billion” and that “China is now poised to take over Zambia’s national power and utility company in order to collect on Zambia’s financial obligations.”

    Zambia’s Presidency quickly retorted that this assertion is a lie from the pit of hell. It clarified that the country’s total debt stock was about $10.3 billion owned to a variety of international creditors with China’s share only about $3 billion and dismissed any suggestion that China plans to take over its utility company or any other of her national facilities. This is the kind of embarrassment Washington gets for manufacturing lies and slander to inveigh at one of Africa’s most productive international partnership and engagements.

    Africa’s leadership at several collective fora and individually has firmly signaled that the continent’s space is too wide to contain all kinds of international partners and therefore, extrapolating the discredited zero-sum game in what Bolton called “great power competition” to Africa is outdated and would not find a serious, recipient in a contemporary Africa, open to business with the rest of the world. China has never considered Africa to be her exclusive preserve despite a long trajectory, stretching from solidarity generated from struggles against colonial domination and for national independence to avid cooperation to build their respective national economies to improve quality of lives of their respective peoples. In fact, Beijing has repeatedly called for more international attention to Africa and urged for vigorous global partnerships to help Africa overcome some of its existential challenges, with herself leading the way despite such distractions as Washington’s weird worries.  According to Bolton, “the predatory practices pursued by China…stunt economic growth in Africa, threaten the financial independence of African nations, inhibit opportunities for U.S investment, interfere with U.S military operations and pose significant threat to U.S national security interests”. It is very likely that any time Bolton or any of the U.S administration official travels to anywhere in Africa, he or she would be landing at China’s assisted airport terminals, drive on Beijing assisted highways and should he chose to travel by contemporary modernized railway, would be enjoying the cruise on China-built standard gauge railway lines that is giving practical effect and filling the gap of connectivity and integration, the historical deficit of pan-Africanism and continental unity.

    If Bolton begrudges the significant strides in China-Africa cooperation as “predatory practices that ‘stunt’ growth in Africa, then the U.S new strategy on Africa has certainly not benefited from the inputs of U.S resident diplomats in Africa who are witness to the daily giant strides of China-Africa cooperation in the course of the changing face of the continent.

    Washington’s concerns that China in Africa would “inhibit opportunities for U.S investment, interfere with U.S military operations and pose significant threat to U.S national security interests are plainly weird and grossly out of place, except if Washington means that her new strategy in Africa is to undermine Africa and her international partnership.

    In her profound and engaging pioneering work on China-Africa, the U.S professor, Deborah Brautigam wrote in “The dragon’s gift: the real story of China in Africa” that “China is now a powerful force in Africa and the Chinese are not going away. Their embrace of the continent is strategic, planned, long term and still unfolding… Ultimately, it is up to Africa governments to shape this encounter in ways that will benefit their people. Many will not grasp this opportunity but some will. The West can help by gaining a more realistic picture of China’s engagement, avoiding sensationalism and paranoia, admitting our shortcomings, and perhaps exploring the notion that China’s model of consistent non-intervention may be preferable to one that regularly intervenes in other countries domestic affairs or uses of military force  to foster political change.”

    Given that Prof. Brautigam first wrote these instructive lines in 2009, the current U.S Africa strategy which Bolton discussed last month with so much gusto appeared totally outdated and even out of context to the current conditions and stage of China-Africa cooperation.

    Notwithstanding, the current Washington’s weird worries and concerns about China-Africa relation, the United States certainly have legitimate interest in Africa and should cultivate it just like others to contribute to her national aggregates. As traditional friend to Africa with considerable soft power influences on the continent, United States can explore the opportunities that Africa presents to the world with its growing market, resource endowments and the resilience of her civil communities.

    But to maximally benefit from the opportunities of contemporary Africa in contributing to making America great again,” slandering Africa’s foremost contemporary partnership with China or seeking the outdated cold-war strategy to contain Beijing is a pathetic non-starter.

    In China-Africa cooperation and partnership, Washington should eschew undue intervention, show modesty and respect by at least allowing those directly involved to lead commentaries on the issues of the relationship.

    At the recent summit of China and Africa in Beijing last September, the two sides agreed to themselves to build a community of shared future and common destiny, declaring to jointly leverage the Belt and Road international cooperation to fill the gaps of their development needs and urged the rest of world, including the United States to key in, to the emerging paradigm of international cooperation and consensus building.

     

    • Onunaiju, director, Centre for China Studies (CCS), Abuja. 
  • Buhari seeks respect for democracy in Gabon

    President Muhammadu Buhari on Tuesday called for respect for democracy in the oil-rich west-central African nation of Gabon.

    He made the call following reports of attempted military takeover in the country.

    According to him, the era of coups in Africa is over.

    Buhari, in a statement by the Senior Special Assistant on Media and publicity, Garba Shehu, said “The military officers in Gabon should understand that the era of military coups and governments in Africa and indeed worldwide, is long gone.

    “Democracy is supreme and the constitutional stipulations on the peaceful change of administration must be respected.

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    “That is the only way we can ensure peace and stability not only within the country but also in the region.” he said

    President Buhari, who is also the ECOWAS Chairman, urged military officers with political ambitions to resign or face their constitutional role.

    He also enjoined the people of Gabon to remain on the side of peace, security, stability and democracy in their country.

  • ‘Africa ‘ll get it right when Nigeria gets it right’

    KENYAN activist and public speaker Prof. Patrick Lumumba has said that the African continent looks to Nigeria for direction and inspiration.

    According to him, democracy in Africa depends, to a large extent, on how Nigeria manages its democracy.

    Lumumba, who spoke at this year’s Face of Okija Cultural Festival, urged Africa to focus on the things that matter, the things that build and grow the continent and the things that impact the people.

    “Africa will get it right the day Nigeria gets it right,” he said.

    He added: “By February 2019, Nigerians will go to the polls to elect their leaders. And I must state that the day Nigeria gets it right, Africa gets it right.

    “Young people in Nigeria and across Africa must identify what is in their best interest and actively participate in the electoral process. They must understand the significance and power of their votes. But unfortunately, the electorate is easily persuaded with bribes.

    “We must begin to interrogate how we use our votes. Who and what determine the direction we vote? What are the policies on the table? Are we voting people for what they have done, for what they can do or for the hand-outs they offer before the elections?”

    Lumumba hailed the Obijackson Foundation and its founder, Dr. Ernest Azudialu-Obiejesi, for promoting African cultural renaissance through the annual Face of Okija Cultural Festival.

    He urged leaders across the continent to embrace the ideas espoused by the organiser.

    “Africa will not develop with bang. It will develop village by village; town by town and state by state. It would not take politicians to achieve this, it will take men with ideas and Obijackson Foundation is doing exactly that. And these ideas, I must say, deserve a place in our University curriculum,” Lumumba said.

  • Africa Re sets up Foundation

    AfricaN Reinsurance Corporation (Africa Re) has established a foundation to manage its corporate social responsibility (CSR) initiatives.

    Its Group Managing Director/CEO Mr. Corneille Karekezi, in a statement in Lagos, said in 2014, the Africa Re’s General Assembly set up a Trust Fund to contribute to its CSR.

    He said the Africa Re Foundation, which takes off next January is located in Cybercity, Ebene, Mauritius.

    He said its mission is to mobilise funds for the development of the  industry and risk management on the continent.

    He said: “The Foundation has a Governing Council, which comprises reputable insurance professionals with decades of experience, chosen from all the regions of the continent to ensure fair representation. The first meeting of the Council was held on December 4, 2018 in Mauritius.

    “As part of its activities, Africa Re Foundation will provide grants for capacity development and risk management solutions in member countries; raise awareness on major risks; support innovation and research in insurance, risk prevention and protection; partner with academic institutions in member countries to develop risk mapping and modelling; support training and development of young insurance professionals in Africa.

    Others, he said, are: ‘’to contribute to the research and development of risk management scheme and development; promote excellence among the African insurance industry players and stakeholders; support any other initiative which contributes to the development of the African insurance industry.”

    Karekezi further stated that Africa Re has injected an initial endowment into the Foundation, expressing strong confidence that the Council members will deliver on their mission and thereby make the whole African insurance industry proud of the Foundation.

  • Osinbajo to attend Africa, Europe Heads of Govt meeting in Australia

    Vice President Yemi Osinbajo will participate in the Africa-Europe High Level Forum with other African and European Heads of States and Government in Vienna, Austria.

    Vice President’s spokesman Laolu Akande, in a statement on Monday in Abuja, said the forum was hosted by the Austrian government on behalf of the European Union (EU) and the African Union (AU).

    Osinbajo would be speaking on the theme of the forum, ‘Taking Cooperation to the Digital Age’ holding from Dec. 17 to Dec. 18.

    According to the organisers in the EU and AU, the forum would promote innovation and digitalisation as important enablers of future development, so that everyone can benefit from the ongoing digital transformation.

    It would assess how the partnerships between Africa and Europe contribute to this goal and complement the ongoing implementation of the joint declaration of the 2017 Abidjan Summit between the AU and the EU.

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    The declaration among other things highlighted the importance of unlocking the potential of the digital economy for Africa and Europe.

    It also aimed at contributing to the Africa-Europe Alliance for Sustainable Investment and Jobs.

    In Vienna, Osinbajo would hold a town-hall meeting with the Nigerian community in Austria; and also attend several bilateral meetings with European government leaders.

    Some of the European government leaders are the Prime Minister of Czech Republic, Andrej Babis; Prime Minister of Finland, Juha Sipilä; the Federal Chancellor of Austria, Sebastian Kurz; and the UK Minister for Africa, Harriet Baldwin.

    Osinbajo would also meet with top officials of the Bill and Melinda Gates Foundation.

  • State of regulatory, policies for Africa’s online media

    As the internet penetration in Africa deepens, it is expected that more people will go online opening up the continent to a more liberal and interactive media space. This has created a need for suitable regulatory frameworks and governments across the continent are working to bridge the existing policy gaps in a bid to increase inclusion across the emerging digital economies. Nevertheless, experts say, policy makers in the region need to catch up with the demands of the dynamic online media space.

    C.D. Glin, President and CEO of US African Development Foundation; Prof. William Gumede, Executive Chair of Democracy Works Foundation, and Ms. Jacqueline Musiitwa, Executive director of Financial Sector Deepening (FSD) recently shared their thoughts about the state of Africa’s regulatory structures in regards to internet-based media technologies at the Africa Business Media Innovators Forum in Zambia.

    How important is the role of media in a country’s economic well-being?

    C.D. Glin: The media has become a function of development; there is a nexus point between the role of media and the role of development and how this impacts on foreign direct investment.

    Why have African governments been slow to establish rules and regulations governing online media?

    Jacqueline Musiitwa: Lawmakers are not paying enough attention to policy and they have insufficient knowledge on how to regulate it. They (legislators) are often working in a singular way, dealing with competition law for example, without taking into account the information act or laws on cybersecurity.

    What can players in the industry do to ensure better governance and regulatory frameworks are in place ?

    Jacqueline Musiitwa: The industry needs to form associations that can approach governments to ensure their concerns are heard and that policy safeguards against abuse.

    What do you think about the recent restrictions like Uganda’s new social media tax? ?

    Prof. William Gumede:

    New restrictions resemble a modern-day reworking of old style censorship – the likes of shutting down newspapers, interdicting journalists or threatening them with imprisonment for not revealing sources. But we have an increasingly youthful population in Africa and we know that technology is changing how youth access information. They see what their peers around the world have. They will keep demanding that they too should have a better life. Governments that are uncertain of what action to take against this kind of social media dissent choose to respond by setting up more barriers.

    Jacqueline Musiitwa: Patchy lawmaking has led to tensions and knee-jerk reactions including, in some countries, the implementation of taxes for users accessing social media and increased use of tools that restrict Internet access.  Data is also a commodity but governments are only just waking up to recognizing this and recognizing the need to take ownership of it. There are multiple challenges but overcoming them requires an approach that is locally applicable, but adaptive to match the boundaryless nature of the digital space. It comes down to more flexible, integrated frameworks, more stakeholders voices to be heard and definitely not the panic reaction of total shutdowns

     

    How can governments ensure they have a hold on online media regulation without resorting to oppressive measures?

    C.D. Glin: Some governments are uncertain of what action to take against social media dissent, for instance, and they choose to respond by setting up more barriers.

    It’s the kind of hardline clamping down that makes investors nervous. However, even this may hold the opportunity to use technology and community-driven development

    solutions to turn around problems. Successful intervention could help young people change their circumstances, stop the dissent and reverse the negative narrative that dominates on the continent. In turn, it helps attract investors who like the positive sentiment, stability and policy, and framework certainty.

  • ‘Africa’s economic growth driven by large infrastructure developments’

    Africa’s economic outlook has remained positive since 2016 after the commodity price plunge the previous year, which slowed down the continent’s growth. The recovery of commodity prices and the acceleration of cross-border cooperation have since played a part in the recovery of the region’s economy.

    As Bloomberg Editor-in-Chief Emeritus Matthew Winkler says, Africa’s economic growth is currently driven by large infrastructure developments happening in multiple countries.

    Winkler spoke during the recent 2018 Africa Business Media Innovators Forum in Livingstone, Zambia.

     

    What is the state of Africa’s economy?

    Winkler: We’re at an inflection point. There are 36 economists whom we talk to at Bloomberg and their estimate is that Africa’s economy will grow at 3.1% in 2018, which is still behind the world average of 3.8%. It is afterwards, though, when the growth will take off exponentially. Looking ahead to 2020, the size of the African economy will expand significantly growing at 3.8%, beating the estimated world growth of 3.2%. This will be the first time Africa has outperformed the world in growth since 2014.

     

    What is driving this growth?

    Winkler: Ethiopia is the largest contributor to this growth, with 10.9% GDP growth for 2017 beating every member of the emerging markets – and will exceed that over the next three years. Ethiopia’s  growth is being driven by the large volume of Chinese investment coming into the country.  Last year alone, Ethiopia absorbed almost half of the US$7billion in foreign investment for East Africa. Its role in the region is becoming very similar to the one Japan played in the 1960s in Asia. This is proof that business-friendly policies can trigger progress. Ethiopia’s total trade with China was more than $5-billion in 2017 – a 74% increase from five years ago. While its trade with Saudi Arabia, its second-biggest trading partner, was $2.1billion – a 14% increase from half a decade ago.

     

    What about the bond market?

    Winkler: Globally, the bond market has been very treacherous of late, losing 1.7%. The benchmark US Treasury market lost 2.9% against growth in the EMEA bonds of 2.7%.

    Mozambican government bonds gained 28%, second behind Iraq in total

    returns, while Angola (third) grew 28% as well. Ghana generated 23% returns, Ethiopia 19% and the Democratic Republic of Congo 17%. The positive returns are due to extraordinarily high growth in the emerging and frontier markets, as countries in the developed world drop interest rates in the aftermath of the global financial crisis. Now global investors are chasing for yield and the winners are these countries because that is where the returns are.

     

    How does Africa rank in terms of return on investment and what are the continent’s most rewarding sectors?

    Winkler:  In 2017, the 600 major companies domiciled in Africa produced 170% total return in their stocks. The emerging market gained 16%; the frontier market which is a bit riskier than the emerging market gained 7%; while world equities, the combination of everything, grew 19%.

    The three best-performing industries were communications services (821% total returns), industrial (327%) and financial (230%).

    Zimbabwe’s Econet Wireless is one of the leaders, producing total returns of 649% to shareholders over the last two years against the group average of 8%. Its revenue increased by 34%. Its growth is 17 times its global peers and it is currently the second fastest growing telco in the world. While Kenya’s Safaricom was the second-best African performer with a 29% gain. Its growth is five times that of its peers. Safaricom’s recently released half-year earnings reported a 70% spike in revenue and a profit increase of 148%.

     

    The telecommunications industry appears to dominate the rest, why is this so?

    Winkler: There’s a story here – analysts say Econet’s sales will increase 24% in the coming year, eight times their world competitors. Safaricom will grow 9% or the three times their world competitors.

    All these companies are linking what people do in their homes and in their businesses with what they do on their mobile platforms and that’s why the telecommunications industry remains attractive.