Trump’s Aid Cut Harmful to Ethiopia and All of Africa

Artist rendition of the completed Grand Ethiopian Renaissance Dam

August 6, 2020

Trump’s Aid Cut Harmful to Ethiopia and All of Africa

By Lawrence Freeman

President Donald Trump has instructed Secretary of State, Mike Pompeo to pull back from a commitment to provide $100 million in security related aid to Ethiopia, a leading developing nation on the African continent. According to the New York Times, the State Department indicated this would be a “temporary pause” on some aid in response to “Ethiopia’s unilateral decision to begin to fill [its] dam before an agreement was reached…” This action by the Trump administration is more than an outrageous encroachment of Ethiopia’s sovereignty. It is an assault on the right of emerging nations to take actions to improve the living conditions of their people.

In response to the decision by the State department, Eyob Tekalign, Ethiopia’s state  finance minister said correctly, “We don’t think that the U.S. has thought this through carefully…We are hopeful that they will reconsider because Ethiopia is doing what is absolutely right and in all senses of the word legally, morally as well.”

The Ethiopian people have funded the $4.6 billion Grand Ethiopian Renaissance Dam (GERD) themselves. This fulfills a bold vision to develop their nation with the 6,200 megawatts (MW) of electricity that the dam will generate when completed. Ambassador Fitsum Arega aptly expressed the desire of the Ethiopian population, when he tweeted, “we will pull Ethiopia out of the darkness,” which is literally and metaphorically true.

Trump’s Bias

All indications are that President Trump acted on the insistence of Egyptian President el Sisi, who has claimed “historical rights” to the Nile River. In truth he is asserting “colonial rights” to the Nile bestowed on Egypt by the British Crown.

At the end of 2019, at the request of President el Sisi, President Trump instructed Treasury Secretary Mnuchin to act as an independent broker in discussions with Sudan, Egypt, and Ethiopia. Over four months, several meetings of the three Nile riparian nations were held in Washington DC discussing the “fill rate” of the GERD. There are legitimate concerns about how much water would be withdrawn annually in the next several years to fill the GERD’s reservoir of 74 billion cubic meters (bcm) of water. Technical issues like the rate of which water should be withdrawn from the Nile to fill the reservoir should be resolved by the three nations with the understanding that a functioning GERD will benefit all the people living in the Horn of Africa.

The heavy rains at the beginning of Ethiopia’s rainy season this summer have already filled the GERD with the required 4.5 bcm of water to test two turbines. This was accomplished without any reduction in the flow of the Nile.

As the tripartite discussions, with the US Treasury and World Bank in attendance continued into February 2020, it became clear that the US was “putting its thumb on the scale” for Egypt, in the words of retired US Ambassador David Shinn. By the end of February, Mnuchin secured an “agreement” regarding the Nile with Egypt, without the participation of Ethiopian representatives.  On February 28, 2020, an official statement from the US Treasury Department praised Egypt’s “readiness to sign the agreement,” and instructed Ethiopia that “final testing and filling should not take place without an agreement.” For more information read my earlier post: Africa Requires Ethiopia Fill Its Dam.

Eventually, the unresolved issue of the Nile shifted to the proper venue for African nations to settle disputes, the African Union. The dialogue has continued under the personal supervision of South African President, Cyril Ramaphosa, Chairperson of the African Union.

The GERD is built in Ethiopia on the Blue Nile River, which supplies 85% of the Nile when it joins the White Nile north of Khartoum, Sudan

Bringing Africa Out of Darkness

What President Trump does not understand; is that his “pause” in aid is not only harmful to Ethiopia, but it is detrimental to the entire African continent. Whether he is aware of it or not, is establishing a dangerous precedent in foreign policy, and not just for Africa.

Ethiopia, with a population approaching 110 million, has made a commitment to eradicate poverty. To that end, Ethiopia has embarked on erecting significant infrastructure projects in roads, railroads, and hydro-electric dams. The GERD has the potential to generate over 6,000 MW of power, doubling Ethiopia’s present capacity, and placing Ethiopia only second to South Africa in energy production in sub-Saharan Africa (SSA). Ethiopia would also become an energy exporting nation potentially providing electricity to neighboring South Sudan, Sudan, Kenya, Somalia, and Tanzania.

The root cause of virtually every crisis that African nations are facing today, including ethnic conflicts, can be traced to underdevelopment. This is especially true when one examines the dearth of hard infrastructure in SSA with a population nearing 1.5 billion that is projected to reach 2.5 billion by 2050. Electricity for SSA is estimated between 100,000-130,000 MW. This level of output is criminally deficient for a population over 1 billion, with 600 million Africans having no access to online electricity. The lack of electricity is literally a death sentence for millions of Africans.  Is this not a form of genocide?

Without abundant and accessible electricity Africa will not progress at the level necessary to provide for its present, much less its expanding population. Energy is the sine qua non for economic growth, and to eradicate poverty. It is required for; agriculture, producing fertilizer, pumping water, cleaning water, transportation, lighting hospitals, vaccine production and storage, shipping food in refrigerated cars, powering industry, constructing and lighting modern homes, schools and libraries. For Africans to enjoy the same access to electricity 24×7, as we experience in modern nations, Africa needs a minimum of 1,000 gigawatts or 1 million megawatts of electricity.

Does anyone in the Trump administration, or any individual in the leadership of the Democratic Party think on this level?

President Franklin Roosevelt signed the Tennessee Valley Authority Act-TVA on May 18, 1933. (courtesy inthesetimes.com)

What Roosevelt Would Do?

Rather than being threatened with cuts in aid, Ethiopia should be supported in its bold efforts to build and operate the GERD. A thoughtful US policy would be assisting all African nations in addressing the enormous multi-trillion dollar infrastructure deficit, with long term-low interest loans to finance massive investments in life saving infrastructure. Instead of President Trump and his foolish advisors hurling geo-political condemnations against China, it would be far better for the US to join China’s Belt and Road Initiative, which is building vitally necessary infrastructure in Africa and around the world.

Both the Democratic and Republican Party, including President Trump himself, from time to time utter fond references of President Franklin Roosevelt. However, I have found that no leader in either party has any comprehension of the genius of President Roosevelt’s economic policies. FDR as he is known, understood the importance of infrastructure. This was abundantly evident in his New Deal, his creation of the Tennessee Valley Authority (TVA), and his Good Neighbor policy. During the war he sternly reprimanded Winston Churchill for his Imperial-Colonial policies in Africa. President Roosevelt intended to end the British Empire’s political and financial control in the world. He had a vision to develop Africa, including greening the desert, with the same methods he had successfully implemented in the US: great infrastructure projects. I can assure you, that President Roosevelt would have championed and aided any developing nation that embarked on energy production.

Sadly, in the seventy-five years following the death of President Roosevelt, the only President, who had shown enthusiasm for the economic development of Africa, was John F Kennedy.

Let the Trump administration pause to rethink this wrongheaded policy that not only violates Ethiopia’s sovereignty, but undermines a strong US ally in East Africa. Let us recognize Ethiopia’s endeavors to improve the living conditions of its citizens, and pause again to ask, how would President Franklin Roosevelt respond.  His TVA harnessed the power of the mighty Tennessee River generating electricity to transform the lives of millions of poverty stricken Americans living in seven undeveloped southern States.  Is it not in the strategic interest of the US to support nations working to eliminate poverty in Africa using Rooseveltian methods?

Read: Africa Requires Ethiopia Fill Its Dam

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

China Eliminated Poverty With Science and Infrastructure. It Can Be Done in Africa Too!

China's Long March Out of Poverty | African Agenda – A new ...
Deng Xiaoping, who put China firmly on the path of “reform and opening up.

August 14, 2020

If one examines the long path from the end of China’s disastrous “cultural revolution” in the 1970s to China’s 2020 modern miracle of eliminating poverty for 800 million Chinese, many lessons can be learned. China’s commitment to science and building infrastructure were two essential ingredients for this accomplishment.  William Jones discusses this interesting history in his article below,”China’s Long March Out of Poverty”.

China Employs Hamilton’s Principles of Credit  for Railroads

(EIRNS) —China’s exciting announcement of its plan to increase the pace of development of maglev and its high-speed rail network, is based on its assurance that it knows how to implement that, and to finance it on top-down principles of the type proposed by Alexander Hamilton.

China announced its plans to build a system of 600 kph (373 mph) maglev vehicles, after it successfully conducted its maiden test run of a maglev vehicle at a test track at Tonji University in Shanghai on June 21. Though the train-set did not run at top speed of 600 kph, but at a lower speed, various important features were tested. Prototype vehicles are approved for construction in 2021, and up to nine new maglev lines, totalling over 1,000 km (600 miles), are planned for the future.

Equally impressive, China’s plan to double its existing 35,000 km of high-speed rail already in operation, to 70,000 km by 2035, shows how a Confucian/Hamiltonian economy actually works. Based on estimates by the Lange Steel Information Research Center in Beijing, reported by the Wall Street Journal, China would have spent $180 billion for 35 approved railway projects in 2019, most of them high-speed rail, launching the next phase of HSR development.

In the first half of 2020, according to the Aug. 13 *China Daily), China invested $207 billion in combined railway, highway, waterway and civil aviation infrastructure, of which $46.9 billion was in railways. China’s transportation infrastructure investment alone, is 5-10 times that of every country on Earth. Featured in China’s railway investment is a new, 1700 km high-speed rail system between Chengdu, Sichuan and Lhasa, Tibet; high-speed rail in landlocked Shaanxi Province, etc.

China finances the rail and other critical infrastructure, through two methods of directed credit: China’s four largest state-owned commercial banks—the Industrial & Commercial Bank of China, the Bank of China, the Agricultural Bank of China, and the China Construction Bank—make ample loans directly to the China Railway company, the China Railway Rolling Stock Corporation (CRRC), which builds the rail equipment, etc. This is overseen by China’s three “policy banks.”

Second, the national government and local governments purchase bonds issued by China Railway Corporation, CRRC, and so forth.

China has announced its new rail construction program. The government plans to build 200,000 km of rail by 2035, about 70,000 of which will be high-speed rail. All cities with a population of 200,000 or more will be connected by rail, and all cities with 500,000 people or more will be connected by high-speed rail. China is also working on the next generation maglev train that could travel at speeds of 600 kph.

Pause for a moment from your daily activity. Let your imagination look into the future, and ponder what the nations of Africa would look like if, all cities with 200,000 people or more were connected by railroads. The topology of the continent would be different. China has proved it can be done. It is not a matter of Africa following the China model. Rather, it is comprehending the scientific principles of Alexander Hamilton’s economic system. Read my earlier posts: Alexander Hamilton’s Credit System Is Necessary for Africa’s Development and Nations Must Study Alexander Hamilton’s Principles of Political Economy

 

Click to access 45-54_4726.pdf

In his article below, William Jones provide an insightful analysis of the forces behind the anti-China mantra, rampant in the Trump administration.

As the ‘Five Eyes’ gear up to confront China, can anyone say that the British Empire is a thing of the past?

“A recent article published in the China Economic Diplomacy Watch pointed to the “Five Eyes” – the U.S., UK, Australia, Canada and New Zealand – as the key rallying group for Pompeo’s call for a containment policy toward China. The article has indicated a crucial element in the danger the world is facing. The unifying factor in this grouping is, firstly, that the “Five Eyes” are all English-speaking countries, and secondly, that they all at one time or the other belonged to the British Empire.”

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

Celebrating Kwame Nkrumah’s Ghana With Observations from Cape Coast By Donielle DeToy

Please accept an article from my wife, as my belated contribution to the March 6, anniversary of Ghana’s independence from its colonial master, Great Britain.

 Akwaaba: You Are Welcome in Ghana by Donielle DeToy

 I have just completed seven weeks of my teaching internship at Mary Queen of Peace Catholic School in Cape Coast, Ghana. Living in the tropical region of Cape Coast and learning about Ghanaian culture was a unique and transformative experience that I shall always cherish. I loved everything about Ghana, the culture, people, climate- Cape Coast was welcoming and beautiful.

This is not my first adventure onto the large continent of Africa. In 2011 and 2012, I traveled to Sudan visiting Khartoum, Darfur, and the Nuba Mountains. In 2014, I had the honor of accompanying my husband to Ndjamena, Chad. He is a scientific adviser to the Lake Chad Basin Commission (LCBC). We attended a conference addressing the complex dangers of Lake Chad evaporating and made proposals for workable solutions. We then explored Ethiopia both Addis Abba and the Rift Valley region. Of all my travels to Africa, Ghana was the absolute best!

There is a phrase the Ghanaian population speak when greeting visitors, “Akwaaba” which means “you are welcome” or “happy to have you visit.” Ghanaians definitely “Akwaaba” visitors and make you feel very relaxed. That welcoming spirit shines in every classroom at Mary Queen of Peace Catholic School.

If you don’t like warm weather or tropical creatures, you won’t like Ghana, but I loved it! Ghana is close to the equator and the sun sets very quickly. Cape Coast is on the ocean and it is often hot and humid. However, there is a cool and refreshing breeze throughout the night.

As for the tropical creatures- I shared my room with 4 (probably more) Geckos and no they don’t have funny Australian accents. These creatures are EVERYWHERE!! Outside, inside, under, over, above, absolutely everywhere. I learned to live with them (I didn’t really have a choice). I was outnumbered AND in that tropical climate there is an advantage of having roommates who eat bugs. I gave some of them names which personified them and discovered where they “live” within our house and school. There are two other common lizards in this region, the first is a slower moving Agama Lizard, there is one that lives on the school campus, he is nicknamed “Charlie.” The other managed to evade my camera- it is called a Monitor Lizard; my students call them “dragons” probably because they can weigh up to 200 pounds.

Are there cultural differences?? Absolutely. One of the amusing and challenging tasks was trying to explain winter temperatures, snow, and ice to my kindergarten age school children. They have never experienced temperatures below 70 degrees and only know two seasons; raining and dry. I taught a unit on weather and showed pictures and videos of Maryland’s bitter cold, but it was still too abstract. Finally, I made a huge block of ice and asked each student to hold her/his hand on it for as long as possible. They loved it!! Although most could not keep their hands on the ice for more than 30 seconds.

My students were very respectful and greeted us by our first names, but with the pre-fix “Teacher”, so I am “Teacher Donielle.” Education is universal, all children love to laugh, discover, and learn. The more fun I can have teaching my lessons, the better their learning experience.

In Ghana, Friday is Africa dress day, everyone wears traditional African attire. I decided to join the fun and wore a lovely African dress. All the teachers at my school were very happy that I joined in the tradition. I believe when visiting (and teaching) in another country one needs to participate in cultural activities. The teachers appreciated it and my students loved the fact that I got dressed up for their special day.

One of the saddest moments was my visit to the infamous slave castles/dungeons. I toured two different ones. The first, was in Elmina, this is the largest slave castle, built by the Portuguese in 1482. It had been sacred land for the people, but the European empires were callous and erected a hideous structure of death over this revered area. This “castle” was used as an export point for African men and women for over 400 years. The brutality in which the Europeans treated the people of Africa is revolting and horrifying. One tour guide estimated that over 20 million slaves were shipped from Africa. The other Castle was in Cape Coast. Our guide briefly locked us in one of the dungeons…the stench of blood and death still lingered, 200 years later. Both castles have a “door of no return” this is a narrow opening where the slaves where forced onto a ship leaving their homeland forever.

During a brief stay in Accra prior to my departure, I visited the museum and mausoleum of Kwame Nkrumah. He was the founding father of Ghana, achieving independence from the British empire in 1957.  He was also a key component in the creation of the OAS- Organization of African States. I was struck at the strong connection between Nkrumah and America. The museum had dozens of artifacts from his 1939-1944 studies at University of Pennsylvania and Lincoln University. During his lifetime he reflected a deep understanding of the true meaning of American System of Economics. This is most evident in his speech at the founding conference of the OAS, which called for a commitment to a scientific and infrastructure renaissance in Ghana and Africa, echoing both Franklin Roosevelt and John F Kennedy.

Two happy Presidents, John Kennedy and Kwame Nkrumah, Washington DC March 1963. Nkrumah was Kennedy’s first Head of State to visit the White House.

After my first week in Cape Coast, I thought the biggest challenge and most difficult adjustment was not being plugged into the internet or access to emails 24 hours a day. But as I prepared for my departure, I realized the most difficult task was saying good-bye. The school theme for Mary Queen of Peace is Shine Forever, and the School Sisters of Notre Dame, students, staff, and community shall Shine Forever in my heart.