No More Lies, No More Anti-China Propaganda: There is No China-Africa ‘Debt-trap’

June 20, 2020

China-Africa Research Initiative-(CARI) presented an interesting and useful webinar entitled : Debt Relief with Chinese Characteristics, using research presented from a Working Paper #39 and Policy Brief #46. View: CARI: Debt Relief With Chinese Characteristics

In response to China’s growing economic and political influence in the world, especially on the African continent, various propaganda outlets located in the West have launched a new assault on China. Their line of attack is to malign China and African leaders with the false narrative that China is intentionally luring African nations into a ‘debt-trap’ in order to seize control of their natural resources. This cynical view of China’s alliance with African nations flows from the age old doctrine of “geo-politics” that only perceives nations as either winners or losers in a fixed zero-sum view of the world.  In this evil world view, stronger powers, hegemons believe they can only maintain their supremacy by having their foot on the neck of weaker nations. The “geo-political” doctrine rejects the notion that all nations share a common interest.

Misinformation or Disinformation

As Deborah Brautigam, director of CARI has stated before, there is no evidence, none, not one single case of China using debt to seize control of an African nation’s assets. “We found no “asset seizures” and despite contract clauses requiring arbitration, no evidence of the use of courts to enforce payments, or application of penalty interest rates.” Despite no substantiation of China using debt as a weapon against African nations, the ‘debt-trap’ mantra is repeated by either misinformed individuals, including Africans, or by those who are deliberately disseminating disinformation with malice.

The CARI working paper reports the following:

“The rating agency Moody’s warned that countries ‘rich in natural resources, like Angola, Zambia, and Republic of the Congo, or with strategically important infrastructure, like ports or railways such as Kenya, are most vulnerable to the risk of losing control over important assets in negotiations with Chinese creditors.’ These assumptions of a malign China were repeated in publications like The New York Times, which contended that Chinese loans “frequently use national assets as collateral” and require refinancing ‘every couple years’ (our Africa data supports neither of these statements).” (emphasis added)

If there is any honesty or integrity left in our duplicitous culture, all claptrap about China’ alleged ‘debt-trap’ as a nefarious attempt to gain control of Africa’s wealth should cease immediately! If one examines the long history of China’s relationship with Africa and the more recent twenty year period, it is clear that China desires to resolve issues with African nations through consultation. China may choose other means of responding to payment difficulties, but there is no evidence that they want to take over African holdings, contrary to prevalent popular opinion. Read: Chinese ‘debt-trap’ Propaganda Exposed-Time to End Ignorance & Prejudice Against China in Africa

Debt Cancellation

As COVID-19 spreads in Africa, nations are struggling to survive economically and simultaneously defeat the deadly virus.  Debt service is onerous and must be suspended indefinitely or cancelled, as leaders of many Africans nation have rightly insisted. According to Dr. Brautigam, from 2000-2018, China has made loan commitments of $152 billion, and of Africa’ total external debt, China holds 17%, while the World Bank hold 18%, and private lenders 31%.  Thus, China will and has already engaged in debt relief, but will do it differently than western institutions like the Paris Club and World Bank.

“Our [CARI] study found that between 2000 and 2019, China has cancelled at least US$ 3.4 billion of debt in Africa. There is no “China, Inc.”: for interest-bearing loans, treatment for inter-governmental debt and Chinese company loans are negotiated separately, and often loan-by-loan rather than for the entire portfolio. While rescheduling by increasing the repayment period is common, changes in interest rates, reductions in principal (“haircuts”), or refinancing are not. We found that China has restructured or refinanced approximately US$ 15 billion of debt in Africa between 2000 and 20190…Chinese lenders prefer to address restructuring quietly, on a bilateral basis, tailoring programs to each situation.”   

China, up this point has only cancelled zero interest loans, which represent only 5% of loans from China, and are issued from China’s Ministry of Commerce. It is unlikely that there will be unilateral debt suspension.  Thus, we can expect that China will negotiate debt relief bilaterally with each nation, and each loan reviewed separately.

Even if debt cancellation is continued into 2021, which has not yet been agreed to, it will be insufficient. The level of investment required to meet Africa’s’ minimal infrastructure needs is in the trillions of dollars, which belies the “geo-political” nonsense of zero-sum assumptions.  Debt relief must be accompanied by issuance of credit for infrastructure and related sectors of production, otherwise Africa and the world will suffer from the spread of COVID-19 and future zoonotic diseases. Poverty is a co-factor for all diseases. Lack of electricity is a co-factor for the spread of disease and hunger, as is the lack of clean water, and inadequate transportation.

China’s Belt and Road Initiative over recent years has begun to address Africa’s infrastructure deficit, but much, much more is required. Collaboration between the U.S. and China on the development of Africa would be consequential for the continent.

I have addressed this issue in earlier posts: World Needs New Economic Platform to Fight COVID-19, New Economic Order Required to Combat COVID-19 in Africa

ViewCARI: Debt Relief With Chinese Characteristics

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in the economic development policy of Africa for 30 years. He is the creator of the blog: lawrencefreemanafricaandtheworld.com

COVID-19 Tragedy Compels Revamping Globalization and Food Production

Dieudonne Twahirwa, 30, who runs Gashora Farm, examines chili plants at his farm in Bugesera District in eastern Rwanda on August 23, 2018.(Thomson Reuters Foundation/Thin Lei Win)
June 12, 2020

The article, Africa: COVID-19 Recovery Is a Chance to Improve the African Food System, reprinted below raises important issues concerning Africa’s food supply. The Covid-19 pandemic has revealed the failures of the global economic system. To wit: The gutting of healthcare in the so called advanced sector over the last half century left nations unprepared for what should have been expected, a new contagious zoonotic disease.  Nations that depended on thousand mile long supply chains for basic necessities, including medical supplies and drugs, proved to be disastrous for their populations. The absence of vitally essential products led to increased rates morbidity and mortality.

Tragically, Africa has been forced to devote large portions of its foreign exchange on debt service rather than building up its healthcare infrastructure. Adequate healthcare requires not only more hospitals, beds, physicians, and modern advanced equipment, but electricity, clean water, sanitation, roads, rail roads, adequate supply of nutrition, and elimination of poverty. A poorly fed population suffering from malnutrition provides an auspicious host for the spread of disease. Poverty is a co-factor of all diseases.

Last month, David Beasley, Director of the World Food Programme (WFP), warned that, if economic conditions continue to deteriorate and endanger the production and distribution of food to impoverished nations, we could witness famines in Africa, and other parts of the world. He said, “You could have 150,000 to 300,000 people die of starvation every day for several months.”

Africa has millions of acres of fertile but uncultivated land. The continent is reported to have over 60% of the world’s land lying fallow that could be developed for food production. It has been known since the early 1970s that the Africa continent has the potential to not only produce enough food for its own population, but could become a net exporter of food to help feed other nations.

The deadly COVID-19 pandemic has revealed what was there to see all along; Africa and large sections of the world have remained underdeveloped for decades due to the horribly defective policy of globalization.

To accomplish an agricultural revolution in Africa, we will also need to create an industrial revolution in Africa as well. The failure to industrialize Africa, to build manufacturing industries along with mechanized farming is a major contributing factor in reduced life expectancy, poverty, disease, and instability. The Physiocratic doctrine that all wealth comes from the land was efficiently refuted by President Washington’s Secretary of the Treasury, Alexander Hamilton.* The super productive family farms in the United States matured alongside manufacturing cities, and had access to abundant supplies of energy  for irrigation.

Let is use the tragedy of the COVID-19 pandemic to initiate a program to develop Africa’s full economic potential that will finally end poverty and hunger. To realize this absolutely achievable objective, we will need to create a New Bretton Woods System to drive economic growth. President Franklin Roosevelt intended the original Bretton Woods to be an institution to export his New Deal for developing nations, as was discussed with the Ethiopian delegation at the 1944 conference. Now, over a half century later we must realize this goal.

*Report on Manufacturers- December 5,1791

The World Food Programme has warned that the COVID-19 pandemic could cause one of the worst food crises since World War II. It predicts a doubling of the number of people going hungry – more than half of them in sub-Saharan Africa. While wealthier people stay inside and practise physical distancing, the economically marginalised populations risk going out in search of food. They take decisions between livelihoods and life in the most extreme cases. Such food inequities show the need for system-level action.

So far, the global food system has proven to be resilient to the COVID-19 pandemic. Food is still being produced, processed and distributed. Unfortunately, the system’s underlying injustices and inequities continue too. Around 1.58 billion people globally can’t afford healthy diets.

These inequities are especially stark on the African continent. Even before the COVID-19 crisis, the African food system was ailing. Food is perennially in short supply. In 2018, more than 250 million people in sub-Saharan Africa experienced severe food insecurity, incomes for farmers are lower than anywhere globally in real terms, and more than 30% of children are stunted partly due to poverty and poor diets.”

Read: COVID-19 Recovery: Chance to Improve African Food System  and Repositioning Agriculture for Africa’s Youth

Read my previous posts:

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in the economic development policy of Africa for 30 years. He is the creator of the blog: lawrencefreemanafricaandtheworld.com

Webinar Invitation: New Bretton Woods to Combat COVID-19 Africa’s Future is its Youth

June 6, 2020

I will be the lead speaker on the first panel at this webinar. Please register to attend and participate. Webinar Registration

Watch 14 minute video interview with Lawrence Freeman below (30 second introduction in French) 

Watch Democracy Grow Webinar Series on The New World Order ushered in by Covid-19

WHERE: TELECONFERENCE/WEBINAR CONFERENCE SERIES.

When: June 16th, 17th, 18th.

Time: 9.30 am – 12.30 pm (EST).

June 16, Panel 1: Prioritizing social Infrastructure Development on the continent (Hospitals, Rural electrification, and Clean water supply).

Time: 9.30-11.20am

1.Dr. Freeman Lawrence. (15 mins on presentation,5 mins Q&A).

2.Dr. Mutisya Masila Philliph. (15 mins on presentation,5 mins Q&A)

3.John Dickson. (15 mins on presentation,5 mins Q&A)

4.Dr. Abdiqadir Yousuf Abdullahi.

  *Moderator: Dr.Samuel Lee Hancock.(Closing remark by Dr.Ayobani )

 

 

Remembering Today, Robert Kennedy’s Reflections on America from the Past

Martin Luther King and Robert Kennedy
Martin Luther King Jr. and Robert Kennedy

June 6, 2020

It is appropriate, during these turbulent days, to take the time to reflect on the words of Robert Kennedy, following the assassination of Dr. Martin Luther King Jr. on April 4, 1968. Reprinted from American System Now.

“A Time of Sorrow and Shame”

Science and Space Exploration Essential For Africa’s Economic Growth

I present below a new paper by the China Africa Research Institute (CARI) and remarks by Marie Korsaga, an astrophysicist from Burkina Faso. The common theme binding these two presentations is the importance of space technology and science education for Sub-Saharan Africa (SSA). Not discussed by the two authors is the essential understanding that scientific discovery is the true source of economic wealth, contrary to the foolish views that Africa’s wealth is measured by the quantities of mineral resources found underground. The mind with its innate ability to hypothesize, to discover new physical principles, if imperfectly, is the underlying wellspring of progress for humankind. African nations expanding their involvement in space exploration are making an invaluable contribution to their future. Africa’s education of its large and growing youth population in science should be a source of hope, antithetical to Thomas Malthus’ evil over-population claptrap  I will be posting an article on this in the near future. 

 

May 28, 2020

Click to access PB+45+-+Klinger+-+China+Africa+Space+Satellites.pdf

 

Marie Korsaga is the first female astrophysicist in West Africa.

Dr. MARIE KORSAGA* I am an astrophysicist and originally from Burkina Faso. My research focuses on the distribution of dark matter, and visible matter in galaxies. In simple terms, it must be said that visible matter, that is to say, ordinary matter made up of protons, neutrons, electrons, everything that is observable with our devices, represents only about 5% of the universe — the rest is invisible matter, distribute as follows: 26% dark matter and 68% dark energy.

Dark matter, with its gravitational force is used to explain the fact that galaxies remain close to each other, while dark energy causes the universe to expand faster over time. So we cannot speak of understanding the universe if we only know about 5% of its constituents. So, to understand our universe, that is to say, to be able to account for its formation and evolution, it is essential to understand what dark matter and dark energy are.

Dark matter, as its name suggests, is something that you cannot see with even the most sophisticated telescopes. So far, no dark matter particles have ever been detected, nevertheless, we feel its presence thanks to its impact on gravity. The purpose of my research is to study how dark matter is distributed inside galaxies in order to better understand the formation and evolution of our universe, and therefore, the origin of life on Earth.

Beyond my research, I am interested in the development side of astronomy in Africa. For this, I work at the Office of Astronomy for Development on a project which consists in using astronomy as a factor of development almost everywhere in the world, but especially in the developing countries, by supporting projects related to education, educational tourism and so on.

Speaking of education, it is important to remember that according to the African Union, Africa has the youngest population in the world, with more than 40% of its young people under the age of 15, which will produce a demographic explosion in the next 10 years. This population growth has disadvantages, but also advantages. The downside is that if measures are not taken, such as access to quality education for boys and girls, especially in science, these young people, instead of becoming a source of development for the continent, risk, rather to be a source of socio-economic political instability and conflict, which will further plunge the continent into misery.

However, the advantage of this population growth is that through a well-developed education system, this demographic growth, if accompanied by strong measures both on the side of public policies and the private sector, will be a great source of sustainable development, at the economic and political level of the continent. For this, it is very important to make significant investments in the field of education, with a focus on innovation, science and technology.

It should be noted that today, African graduates mainly graduate from the literary and human sciences fields. STEM students — science, technology, engineering and mathematics — represent only 25% of the workforce on average, according to the World Bank. In addition, women are underrepresented in these areas. Take my case: I am the first woman to obtain a doctorate in astrophysics in Burkina, and even in West Africa. It may sound flattering, but it reveals a rather disturbing diagnosis, despite being a light of hope. Indeed, even if the region has a dozen doctorates in the field, there are almost no women among them.

Unfortunately, this shows that we are still a long way from achieving gender parity in science, and there is still much to do. This requires a change in mentalities and the accessibility of science to women, especially among the underprivileged. It is not unknown that a career in astrophysics requires a course in physics, which is not obvious for women in our societies where the majority of people think that the scientific fields are dedicated to men, and that women must go to the literary streams. This has the effect of discouraging women from opting for long studies, especially in the scientific fields, and even if they opt for them, they tend to give up at the first obstacles, due to the lack of encouragement.

Today, I can say that I have broken this barrier, at my level, and I would like to take advantage of the privilege to inspire and encourage as many young girls as I can, to opt for it.

It is true that today there are efforts being made by several governments to break these stereotypes with, for example, the NEF, the Next Einstein Forum in Rwanda, which is a platform for popularizing science, and which offers opportunities for students through scholarships of the network of women in science, called OWSD, the Organization for Women in Science for the Developing World, which gives opportunities to girls and women in STEM fields.

However, there is still a lot to do, because the representation of women in science is far from being reached. Beyond research, I intend to contribute to the training of young people in science in Burkina Faso, and in Africa in general, by giving courses at universities, and also supervising masters and PhD students. I also plan to take action to popularize science education in general, and astrophysics in particular in countries where access to science is limited. This will serve to motivate young girls and boys, especially young girls, to take up scientific studies. There are also other future actions that I plan to undertake, in collaboration with other researchers, namely the establishment of scientific schools in Africa, particularly dedicated to women; the organization of workshops to enable female scientists to speak about their inspiring work, and cultivate self-confidence. The creation of an astronomy club for children, etc.

In addition to being fascinating as a science, astronomy can also be used as a development tool through, for example, education and tourism. The International Astronomical Union understands this and is making a lot of effort to address this development component in developing countries, and working to achieve a Sustainable Development Goals set by the United Nations.

The typical example, in Sub-Saharan Africa is the case of South Africa, where the installation of telescopes in localities has not only facilitated the popularization of science and the creation of jobs for young people, but also has boosted the economy, and the development of infrastructure in these localities.

The current context in which we, notably the COVID-19 pandemic, reminds us of how important science must occupy our lives and our education system. This importance must convince the African authorities that it is more than necessary to devote a large part of national budgets to the support and the promotion of studies and of scientific research, because investment in human capital remains a secure means for the growth of a country. Above all, we must understand that to get our continent out of underdevelopment, we will have to review our way of executing these programs, focusing on education, training in science, technology, and innovation, especially space science, could not only increase our human potential, which is a source of sustainable development, but also enable the management of our natural resources and thus impact the economy in the continent.

Africa has an immense amount of natural resources, essential to the development of industry. It is necessary to arrive at a point where these resources are exploited, first for its development, by women and men trained on the continent and with compatible techniques.

Thank you for offering me the opportunity to share my thoughts on the necessity of education in science in Africa.

*Unedited remarks delivered to an international online conference organized by the Schiller Institute, April 25-26, 2020

Read: West Africa’s First Female Astrophysicist

Developing Nations Must Have Steel to Industrialize: Congo`s Steel Industry is Ready to Pave the Future

Democratic Republic of the Congo (courtesy of indexmundi.com)

May 20, 2020

I am posting below in English and French, an interesting article by PD Lawton, a journalist and creator of the website: African Agenda-A new perspective on Africa– African Agenda. Lawton’s article  brings to our attention the importance for developing nations to have an iron and steel industry. The lack of steel production along with the absence of a vibrant manufacturing sector has prevented African nations from escaping underdevelopment imposed on them by colonialism.

Maluku Steel : the Time is Now!

Congo`s Steel Industry is Ready to Pave the Future

Excepts:

“The role of the Iron and Steel Industry in national industrialization is pre-eminent. This is because steel remains the basic raw material for a host of manufacturing activities and hence the material backbone for national economic development in general.”

They [ steel industries] are basically strategic industries that serve the long term industrial needs of a nation through their unique role as feeder channels to myriads of other key establishments. No serious programme of industrialization can be contemplated without a strong steel base, at least a steel base that would grow with the visualized scope of general industrialization over a set period.”

The Steel Industry will continue to serve as stimulus to national development and economy booster to industrial development of a country. The industry will serve as the backbone of industrialization of our great country, Nigeria if all the necessary parameters are put in place. The benefits of having a functional steel industry will translate to a functional country. It should also be noted that steel industry will contribute to all the facets of the economy, including the important role steel plays in economic development and growth.”

Read complete article below:

Maluku Steel : the Time is Now!

 

LA SIDÉRURGIE DE MALUKU : LE DÉMARRAGE, C’EST MAINTENANT!

 

UN Chief: Virus Could Push Millions of Africans Into Poverty

A woman wearing face masks to protect against coronavirus, has her temperature checked by a security personnel before entering a grocery shop at Tembisa township in Johannesburg, South Africa, Tuesday, May 19, 2020. (AP Photo/Themba Hadebe)
A woman wearing face masks to protect against coronavirus, has her temperature checked by a security personnel before entering a grocery shop at Tembisa township in Johannesburg, South Africa, Tuesday, May 19, 2020. (AP Photo/Themba Hadebe)

May 20, 2020

United Nations Secretary-General, António Guterres, warns about the danger of the COVID-19 in Africa, both from the disease itself and causing increased levels of poverty.

“It will aggravate long-standing inequalities and heighten hunger, malnutrition and vulnerability to disease.  Already, demand for Africa’s commodities, tourism and remittances are declining…. millions could be pushed into extreme poverty

“The U.N. said the low numbers could be linked to minimal testing and reporting, pointing to a World Health Organization warning that the pandemic “could kill between 83,000 and 190,000 people in 47 African countries in the first year, mostly depending on governments’ responses.”

“To help address the devastating economic and social consequences of the pandemic, Guterres said Africa needs more than $200 billion and “an across-the-board debt standstill for African countries” unable to service their debt, “followed by targeted debt relief and a comprehensive approach to structural issues in the international debt architecture to prevent defaults.”

“These are still early days for the pandemic in Africa, and disruption could escalate quickly.  Global solidarity with Africa is an imperative – now and for recovering better. Ending the pandemic in Africa is essential for ending it across the world.

“I have been calling for a global response package amounting to at least 10 per cent of the world’s Gross Domestic Product.  For Africa, that means more than $200 billion as additional support from the international community.

“I also continue to advocate a comprehensive debt framework — starting with an across-the-board debt standstill for countries unable to service their debt, followed by targeted debt relief and a comprehensive approach to structural issues in the international debt architecture to prevent defaults.” 

 

Secretary-General António Guterres records a video message on the effect of the COVID-19 pandemic on children. UN Photo/Eskinder Debebe
Secretary-General António Guterres records a video message on the effect of the COVID-19 pandemic on children. (UN Photo/Eskinder Debebe)

ReadUN: Impact of COVID-19 in Africa

Read my earlier articles on COVID-19 in Africa:

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in the economic development policy of Africa for 30 years. He is the creator of the blog: lawrencefreemanafricaandtheworld.com

 

 

China’s Belt & Road Needed to Revitalize World Economy: CGTN

May 18, 2020

Below are excerpts from my article on the strategic role of China’s Belt and Road in today’s world economy, published by CGTN 

The global economic breakdown ignited by the COVID-19 pandemic entails China and its Belt and Road Initiative (BRI) playing an important role in restoring health to the world economy. While Western nations are still struggling with COVID-19, and are months away from beginning to refurbish their economies, China has already started its recovery, following its earlier success in combating the coronavirus.

The collapse of nations to conditions resembling the Great Depression and the inability to contain the deadly virus have belied the alleged success of globalization. The underlying flaws of the deregulated post Bretton Woods financial system, which has become an international gambling casino to make fast money, are now nakedly revealed. Given the breakdown of the present global financial system, it is urgent that leading nations issue a call to convene a conference to initiate a New Bretton Woods system, which values human life over making money.

For civilization to progress, a new economic architecture dedicated to ending poverty, and promoting productive economic growth is compulsory. Without question, the United States and China will have to perform outsized roles in establishing a new paradigm of political-economic relationships among nations, notwithstanding current tensions.

Read the entire articleBelt and Road Needed to Revitalize World Economy

Gambari COS for Buhari: Right Man at Right Time for Nigeria

President Muhammadu Buhari-left and his new Chief of Staff, Prof Ibrahim Gambari-right. (Politics Nigeria)

Gambari COS for Buhari: Right Man at Right Time for Nigeria

Lawrence Freeman

May 15, 2020

President Muhammadu Buhari has unexpectedly chosen an exceptional new Chief of Staff (COS), Professor Ibrahim Gambari, (his friends call him “Prof”), to replace the recently deceased Malam Abba Kyari. Over these many years, through meetings formal and informal at the United Nations, Washington DC, Abuja, and Darfur, I have come to respect Prof. Gambari as an honorable and thoughtful Nigerian leader. During our many discussions, his depth and breadth of strategic thinking was evident and contributed to my knowledge of Nigeria, Africa, and the United States.

President Buhari and Prof Gambari know each other well. Prof Gambari served as the Minister for External (Foreign) Affairs between 1984 and 1985 under General Buhari’s military regime before it was overthrown in a coup. It should be remembered that during that time period, when the government of Gen. Buhari resisted the “Washington Consensus” and the Structural Adjustment Programs (SAPs), the Naira was worth $1.34 dollars. Following the regime change of the Buhari-Gambari partnership, the Naira was immediately devalued to 25 to $1. As it is said, the rest is history.

Not a career politician or member of the foreign service, Prof Gambari as ambassador headed the Nigerian Mission to the United Nations from 1990-1999 and had the distinction of serving under five heads of state during his tenure. Recognizing his experience and diplomatic skills, Prof Gambari upon leaving the Nigerian Mission was appointed Special Adviser on Africa to the UN Secretary General Kofi Annan from 1999 to 2005. He was the Under-Secretary-General of the United Nations for Political Affairs from 2005 to 2007 under Secretary-General’s Kofi Annan and Ban Ki-Moon. Prof Gambari was later appointed head of the Joint African Union-United Nations mission in Darfur (UNAMID) from 2010-2012. As head of the 26,000 man UNAMID force, Prof Gambari navigated a difficult peace keeping operation between the government of Sudan and those international forces who were intent on a Khartoum regime change.

Nigeria in Difficult Times

Nigeria is experiencing multiple tribulations. Its economy is suffering with 40% of its 200 million population living in extreme poverty and the majority of Nigeria’s tens of millions youth are unemployed. Infrastructure is inadequate, especially the lack of daily accessibility to electrical power for consumers and commercial enterprises. Furthermore, the murderous Boko Haram is still operating in the northeastern section of the country. Worsening the condition in Nigeria is the COVID-19 pandemic, which could potentially explode given the insufficient healthcare needed to contain and combat the effects of the coronavirus. The collapse of the price of oil now fluctuating below $30 per barrel has caused significant shortfalls in Nigeria’s revenue and its ability to accumulate foreign exchange. Nigeria’s national budget has been thrown into turmoil because it was predicated on a minimum price of $50 per barrel.

Essential priorities for Nigeria, which I have discussed with government leaders:

  • A national economic growth  plan that benefits all geographical sections of the nation
  • Massive building of physical infrastructure including an urgent mobilization to upgrade and expand healthcare
  • Reverse the shrinking Lake Chad and transform the Lake Chad Basin by implementing Transaqua, an inter-basin water project supported by President Buhari.

Stark weaknesses of globalization have vividly surfaced due to the spread of COVID-19, which has caused devastation, and will likely continue throughout 2020. As a result, the world is crying out for a New International Economic Order to replace the currently defective international financial system. A new paradigm for development that values human life above debt service, prioritizes economic growth, and the elimination of poverty. Nigeria and its people, whose potential has been recognized since the liberation of the continent from colonialism, should play a leading role in this economic transformation of Africa.

To begin the process of accomplishing these goals, President Buhari, in the remaining years of his second term, will need the support of a trusted group of counsellors.  It is my hope that my friend, Prof Gambari, a first-class strategic thinker, and a patriot who cares deeply for Nigeria, will galvanize this effort.

Below I provide excerpts from an article I wrote about Prof Gambari in March 2002, because of their relevancy today.

Professor Gambari discussed the effects of “debt over-hang” on Africa’s development. “The heavy debt burden of many countries is robbing them of their sovereignty, and impeding their pursuit of economic and social policies. The sad part is that debt overhang is hitting generations that had little or nothing [to do] with its contraction. As the UNDP poverty report observes, the ‘truth of the matter is that demands debt servicing are no longer a matter of money, but a source of the excruciating impoverishment of people’s lives.’ ”
While not attacking globalization directly, Gambari diplomatically discussed the consequences for African economies–the unequal benefits from the globalization process.” Globalization, “driven by market and capital expansion, often pays little attention to governance of these markets and their repercussions on people,” and does not guarantee “equity and human development.” The results of globalization are that “Africa’s share of world trade has declined from 40% (1980s) to less than 2% at present.”

Read my outline for the development of Nigeria: Guardian of Nigeria Publishes “Proposal for Nigeria’s Future” by Lawrence Freeman

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in the economic development policy of Africa for 30 years. He is the creator of the blog: lawrencefreemanafricaandtheworld.com

WFP’s David Beasley Warns of Potential Famines in Africa & Mideast Due to COVID-19

The COVID19 virus arrived in Africa weeks after it hit Asia, Europe and North America. But now, says Berkeley economist Edward Miguel, the virus poses grave risks for Africa and its 1.2 billion people. (AP photo by Patrick Ngugi)

The effects of COVID-19 on food supply chains in developing nations that are already suffering from hunger and acute food insecurity could be more deadly than coronavirus itself, according to David Beasley, Director of the World Food Programme (WFP). Speaking at the Atlantic Council in Washington DC on May 8, via teleconference, Beasley told his audience that, if economic conditions continue to deteriorate and endanger the production and distribution of food to impoverished nations, we could witness famines in Africa, and other parts of the world. “You could have 150,000 to 300,000 people die of starvation every day for several months—at a minimum,” he said. In a six-month period of time that equals between 27 to 54 million deaths. Beasley reported, as he did last month to the United Nations Security Council, that 821 million people around the world go to bed hungry and another 135 million are on the verge of starvation.

The fact that almost 1 billion of our fellow human beings are suffering from these levels of food insecurity is proof of the failure of globalization and an indictment of the current monetarist based financial system. With an abundance of fertile land, growing food and delivering food is a matter of investment in infrastructure. There are no valid objective reasons for any human being to go without food. The world needs a New Bretton Woods System, designed to lift all nations out of poverty, as President Franklin Roosevelt has intended. Nothing short of a global rebuilding of our world economy is required.

WFP’s David Beasley warns of dire famines in Africa, Mideast if COVID-19 supply chains damage continues

Watch video presentation below by World Food Programme Director, David Beasley 

A warning from the World Food Programme

Reuters published on May 7, a graphic report: Virus exposes gaping holes in Africa’s health systems, which quantifies the shortages in Africa of physicians, ventilators, intensive care beds and tests for COVID-19.  This deficit in healthcare infrastructure endangers millions of African, who are already suffering from food insecurity, poverty, lack of clean water, and lack of adequate electricity and other basic necessities of life. From March 30 to May 10, the number of COVID-19 cases in Africa has increased from 4,760 cases and 146 deaths to 64,214 cases and 2,344 deaths. That is an increase of 1300% and 1600% respectively in six weeks. If Africa is at the beginning of the  coronavirus curve, and the virus grows exponentially, as it has in other nations, then Africa will not be equipped to handle the magnitude of the crisis.

Read my earlier articles on COVID-19 and Africa

Lawrence Freeman is a Political-Economic Analyst for Africa, who has been involved in the economic development policy of Africa for 30 years. He is the creator of the blog: lawrencefreemanafricaandtheworld.com