“China all weather friend of Namibia”–President Buhari Moves Against British–Zimbabwe President in China–Ethiopia’s Economic Progress

Namibian President Strengthens Relations with China; Defends China as Best Friend of Africa

The Presidents of China and Namibia, Xi Jinping and Hage Geingob, agreed to establish a comprehensive strategic partnership for cooperation between their countries, and signed six bilateral cooperation agreements, at their meeting in Beijing on March 29. President Geingob had begun his seven-day state visit to China the day before.

At the signing ceremony, both presidents spoke of how China has been an “all-weather friend of Namibia,” in reference to China’s support for Namibia’s independence, and now in its development. Xi said, “China welcomes Namibia to participate in the BRI, and hopes to strengthen policy cooperation and synergy of development plans,” Xinhua reported. Xi spoke also of his belief that China and Africa will join hands to build a closer community with shared future and inject new impetus to China-Africa ties.

For his part, Geingob expressed Namibia’s interest in cooperating with China on infrastructure, sustainable development, human resources, technology, poverty reduction, people-to-people exchanges, and major cooperation projects. He also took the occasion to deliver an emphatic defense of China’s development efforts in Africa. Xinhua reported that the Namibian president called China Africa’s best friend. It never colonized Africa, and has always treated small and medium-sized African countries on an equal footing, Geingob said, and the African people oppose unfounded accusations against China.

In an interview with CGTN today, Geingob expressed his pride and appreciation for the elevation of relations with China to a comprehensive strategic partnership.

“China has been supporting us when things were bad, and then after independence, we continued [our cooperation] to another level,” he told CGTN. “Now we are moving up. Now it is the era of the second phase of the struggle for us, where people now have peace and stability, but they are anxious to get the benefits of that freedom. They want to prosper. They want to have shelter, infrastructure, schools, clinics, etc., and they are eager. They are in a hurry. So China being the all-weather friend, who was there when we were first struggling, now that we are in the second phase of the struggle, that of economic emancipation, those who are with us, must come to join us… This time, we are talking about creating a win-win situation.”

Did British Intelligence-MI6 Interfere in its former colony? Nigeria to investigate allegations of Cambridge Analytica involvement in elections

Nigeria’s government will investigate allegations of improper involvement by political consultancy Cambridge Analytica in the country’s 2007 and 2015 elections, a presidency spokesman said on Monday.

The UK-based political consultancy is facing allegations that it improperly accessed data from social media website Facebook to target voters prior to the U.S. presidential election and Britain’s Brexit referendum in 2016.

In Nigeria, a government committee is looking into claims that SCL Elections, a Cambridge Analytica affiliate, organised anti-election rallies to dissuade opposition supporters from voting in 2007, Garba Shehu, a spokesman for President Muhammadu Buhari, said.

He said it would examine claims that Buhari’s personal data was hacked in 2015 when he was an opposition candidate in the presidential election.

The investigation would also look into whether Cambridge Analytica’s work for the election campaigns of the then ruling Peoples Democratic Party (PDP) broke Nigerian law “or infringed on the rights of other parties and their candidates”.

Depending on the outcome, criminal prosecutions might result, said Shehu. Cambridge Analytica could not immediately be reached for comment. PDP candidate Umaru Yar’Adua won the 2007 presidential ballot. He died in office in 2010 and was succeeded by his deputy, Goodluck Jonathan.
(REUTERS): 2018-04-02

Zimbabwe President, Mnangagwa in China with Large Delegation for Economic Deals

–President of Zimbabwe Emmerson Mnangagwa is on a five-day official visit to China. He will meet Chinese President Xi Jinping today. Mnangagwa, who is accompanied by First Lady Auxillia Mnangagwa, met several Cabinet ministers and private sector executives, and will also meet officials of the Communist Party of China and the Chinese business community according to Zimbabwe daily {The Herald}.

The Zimbabwean President will also visit the provinces of Anhui and Zhejiang to meet with the political leadership and the business community. Several economic and business deals are expected to be signed. The director of Platinum Agriculture and Princewood Enterprises, Dakarayi Mapuranga, who is in China with the President, said his company had secured $500 million worth of deals in agriculture, mining and transport sectors. These include a $400 million deal with China’s Lovol company that produces heavy machinery for agriculture and mining, while a $40 million revolving facility was secured with Good Agro Rising for the supply of chemicals for tobacco and other export-oriented crops, and an $80 million deal for the supply of irrigation equipment, including center-pivot and drip irrigation systems.

Dayu, the Chinese-listed firm which clinched the deal, will soon be in Zimbabwe to assess specific irrigation requirements and technology applicable to Zimbabwe. “They [Dayu] need to know

our specific needs and the Ministry of Agriculture has already identified farms where the equipment will be installed,” said Mapuranga. “Our thrust is to support initiatives by the new dispensation to ensure farmers are supported with the machinery they need. This will help bring Zimbabwe back to its breadbasket status.”

A deal was also signed with Allen Bus for 1,500 buses to ease transport challenges in the capital, Harare, and other towns. While 500 buses will be imported fully assembled, the remaining 1,000 will be imported as kits to be assembled in Zimbabwe.

China has Drafted a Partnership Agreement for Algeria

–Joining the Belt and Road Initiative, Chinese Amb. to Algeria Yang Guangyu said on March 30. The draft is being studied by Algeria now, and China hopes to sign it in the next few weeks, at most within 2-3 months, he added. Yang made the announcement in a speech to the Chinese Day celebration on March 30 at the Higher Institute for Algerian Affairs, held on the 60th anniversary of their nations establishing diplomatic relations.

Ethiopia continues on its road to develop its economy with advances in its industrial sector. Review these two articles:   Chinese Factory in Ethiopia ignites American dreams Ethiopia export revenue hits $42 million from industrial parks

 

Why the West Needs to Stop Complaining and Start Engaging China in Africa

This article makes the essential point that I have made for many years. If the US would collaborate with China and join the One Belt-One Road, great advances would be accomplished in the economic development of Africa.  (see emphasis at end of article)

China is here to stay, and Western and African countries alike should make the most of it.

Pippa Morgn, The Diplomat

March 20, 2018

Ethiopia is one of the world’s poorest states, with an annual per capita GDP of just $707. Yet Addis Ababa is awash with billboards for Chinese construction firms, and China’s presence is palpable all over the country. Is “neo-colonial” China “out for oil” yet again?

In Ethiopia, that explanation just doesn’t add up: the country has virtually no oil, gas, or other precious minerals.

Fortunately, while the media and politicians seem stuck on uninformed accusations of neo-colonialism, some Western investors are starting to make the most of China’s growing presence. In Ethiopia’s Hawassa Industrial Park, the crown jewel of its industrial policy, the largest jobs provider is PVH – the U.S. owner of major global brands such as Calvin Klein, Tommy Hilfiger, and Speedo. Eco-friendly Hawassa was built by a Chinese company, the state-owned China Civil Engineering Corporation (CCECC), in just nine months. And, of course, PVH and other global investors could not run their businesses –and create thousands of coveted manufacturing jobs – without the railways, roads, and power stations that China is constructing all over Ethiopia.

There are also encouraging signs at the local level that, instead of pointing fingers at each other, China and the West can work together to deliver development aid. While the majority of Chinese funds go to hard infrastructure, traditional Western donors prefer social “soft” sectors. This makes them complements, not rivals. Ethiopia is eager for roads and railways, but it also   needs a better-trained, healthier workforce. Take Ethiopia’s new railway academy, designed to educate a fresh, local generation of engineers and workers: China is funding and building the school’s physical infrastructure, while the World Bank and European institutions are helping with curriculum development and business planning.

Turning “Made in China” to “Made in “Ethiopia”

History shows that (without massive oil reserves) industrialization – working up from cheap, lightly manufactured products to technically sophisticated products – is the only way to develop quickly. Factories offer an escape from unproductive and grueling subsistence farming into modern jobs with regular wages. Japan, South Korea, and later China all owe their economic success to this model, and Ethiopia’s government hopes to turn “made in China” to “made in Ethiopia.”

But industrialization needs more than cheap labor (which Ethiopia has in abundance) and the good governance that Western donors strive to instill. Investors desperately need roads, electricity, water, and the internet. With traditional Western partners either unwilling or unable to fund these at scale, and low tax revenues due to the country’s poverty, how else can the Ethiopian government build the basic infrastructure that we take for granted in the developed world? Without Chinese help, Western money for training and other “soft” sectors is sinking money into a black hole, and Ethiopia risks being “too poor to develop” –condemned to survive on subsistence agriculture and international handouts.

Ethiopian officials stress that they take the lead in dealing with China. They lament that Western aid (although well intentioned) is frankly “not enough.” Ethiopia, which has ambitious plans to escape poverty and become a middle-income country by 2025, does not have time to waste.

What’s in it for Beijing?

But is China a trustworthy partner? Beijing claims its aims are “win-win” rather than “neocolonial,” but what is China’s “win”? Like the United States after World War II, China seems to realize that providing global public goods is in its own interests. In Ethiopia, an important African hub for the Belt and Road Initiative (BRI), China secures important diplomatic gains and lucrative business opportunities…

Chinese business interests are also at play. Official loans are tied to the use of Chinese contractors, creating lucrative revenue streams. Fresh from “building China” over the past 40 years, Chinese state-owned enterprises (SOEs) are experts in cheap, fast infrastructure. They’re also eager for new opportunities as domestic growth slows. For example, the multi-billion dollar Addis-Djibouti railway was built by the state-owned China Railway Group and China Civil Engineering Construction Corporation, who later won a multiyear contract to operate the new line.

Why Engagement Not Estrangement is the Key

So is this really “win-win” for everyone? On the one hand, the commercial rates of many Chinese loans make debt sustainability a huge concern. To pay back what it owes, and eventually stand on its own feet, Ethiopia is in serious need of more tax revenue. So, if it fails to grow as quickly as hoped, Western warnings of a mountain of unsustainable debt may prove right. Ethiopia could end up like 1980s Latin America, where countries spiraled into crisis when they could no longer pay their foreign debts.

But, while there’s some dispute over the numbers (IMF estimates are slightly lower than the official figures), Ethiopia’s economy is widely agreed to have been growing at around 10 percent for the past decade – a phenomenal achievement. Given the extraordinarily low starting base, it’s unlikely to slow down soon. Businesses in Ethiopia’s industrial zones cite the continually improving infrastructure as one of the country’s main draws, and both Chinese and international firms plan to expand in future. For Ethiopia’s booming young population, this means yet more coveted industrial jobs…

How much more might be achieved if Beijing and the West proactively worked together across the whole African continent?  Much of the media and political discourse seems unable to accept that China’s role is equaling – or even surpassing – that of the West.,,

Read entire article in The Diplomat

Learning About Africa: How History Effects the Present

Here is the announcement for my newest college course on Africa. Also listed is the course outline a class I am currently teaching; “Africa:The Sleeping Giant.”  I will be preparing a third course on “The Effects of British Colonialism on Africa” in the near future.  These courses are 15 hours long, taught over 7-10 weeks in Maryland. 

“Eight Nations Vital to the Development of Sub-Sahara Africa”

By Lawrence Freeman

The African continent encompasses 54 nations and is more than three times the size of the United States. The northern portion of the continent is dominated by the Sahara Desert, equal in area to that of United States. It is the driest, hottest place on earth, relatively barren, and thinly populated. The African nations below this vast desert are designated as “Sub-Saharan Africa” where approximately one billion live, and is expected to double in population by 2050.

All but two of the 48 nations of Sub-Sahara Africa suffered the brutalities of colonialism following centuries of slavery. As a result, Sub-Sahara Africa is the poorest and most underdeveloped region in the world. Unfortunately, following their liberation from colonialism beginning in 1956, these nations did not achieve economic sovereignty. However, now, for the first time since colonial powers occupied Africa, there are signs of progress with the building of new railroads, expanded ports, roads, and new hydro-electric power projects. This has created the potential to transform the continent.

This course will focus on eight Sub-Saharan nations; each unique in their history, development, and their contribution to the growth of Africa. Their combined population of 550 million comprise almost 30% of the land area of Africa.

Join us in examining the following nations from their birth to the present day: Ghana, Nigeria, Sudan, Ethiopia, Kenya, the Democratic Republic of the Congo, Zimbabwe, and South Africa. Over three decades, I have studied the history and developed an in-depth knowledge of Africa as a researcher, analyst, writer, and consultant. Sadly, most Americans know little about Africa, due to a limited number educational courses, and a reliance on the media. I hope to increase your understanding by sharing my accumulated knowledge with you.

 

 

“Africa The Sleeping Giant” Course Outline:

1-Discovering the Africa Continent

2-Africa: Home to Mankind

3-Man Is Not a Monkey

4-The Great Bantu Migration

5-Early Civilizations

6-Europe Discovers Africa

7-Slavery Rips the Soul of the Continent

8-Colonialism, Exploitation, and Genocide

9-Economic Sovereignty and the Nation State

10-Africa’s Future is Development

 

 

 

President Trump’s Fundamentally Flawed Africa Policy

By Lawrence Freeman,

January 4, 2018

After nearly a year in office, the outline of President Donald Trump’s policy for Africa has emerged as fundamentally and seriously flawed. In a similar manner to his predecessors, Presidents Clinton, Bush, and Obama, Trump’s African strategy suffers from a conceptual deficiency in its failure to recognize that the most fundamental human right is the right to life. Every human being is morally entitled to live a healthy, productive, meaningful life with the hope that the future will be an improvement over the present.  If one examines the outlines of policy by President Trump and the State Department, such a guiding and indispensable principle is conspicuously absent. For Africa, where the largest number of people endure the greatest hardships of life of any continent, the absence of a full-throttled U.S. commitment to eliminate poverty and hunger as an essential feature of a strategic policy, is damning, and must be remedied.

To ensure a prosperous future for what will be the most populated continent on the planet in 2050, by which time the population is expected to double, from 1.2 billion to 2.4 billion people, President Trump should emulate China’s infrastructure-led development program.

The Trump administration is expected to reduce State Department and USAID-funded programs, among others, beneficial to Africa. Not to overlook the potential harmful effects of these cuts, there is a more fundamental shortcoming to Trump’s policy. Like his recent predecessors, he is ignorant of, or ideologically blind, to understanding what is required to accelerate economic growth across the African continent. Africa needs, infrastructure, infrastructure, and more infrastructure, particularly in the vital categories of energy, rail, roads, and water management. Trump has been especially eager to support increased military deployments and kinetic warfare against violent extremists in Somalia, the Sahel, and northeast Nigeria. However, any competent and honest military leader knows an effective counter-terrorism effort must include economic development. If the Sahel, were not a barren, underdeveloped desert, the various terrorist militia would not be able so easily to occupy this region for their base of operations.

Security and Free Trade: Inadequate for Africa

The African continent has the greatest deficit in all categories of infrastructure on the planet. Thus, not surprisingly, Africa has the largest number of people living in poverty; living without the basic necessities of life.  According to a 2016 World Bank report on poverty, Sub-Saharan Africa has the largest percentage of people, 41%, living in extreme poverty. That translates into the largest number of poor at 389 million, just over 50% of 767 million worldwide living below the poverty line of $1.90 per person per day. Yet despite all the hype about Africa’s “rising lions,” referring to African nations with high growth rates of GDP, the number of people living in poverty is Sub-Saharan Africa is increasing.

Look at one critical area: access to energy which is the lifeblood of an economy. Abundant grid energy, accessible to all sectors of society, can transform an entire nation and lift its population out of poverty. Conversely, the lack of energy kills. According to “Energy Access Outlook 2017,” of the 674 million people, globally, expected to be without access electricity in 2030, over 600 million, or 90%, will live in Sub-Saharan Africa. For the developing sector nations in Asia and Latin America, the percentage of the population expected to have access to electricity by 2030 is 99% and 95% respectively, while for Sub-Saharan Africa, it expected to be 50% or less.  In Sub-Saharan Africa, the number of those without electricity is increasing, unlike like all other populations in the world. Africa requires a minimum of 1,600 gigawatts of electrical power to have same the standard of living as advanced nations.

In a related classification, cooking energy, the picture is also abysmal. Almost 80% of the people living in Sub-Saharan Africa do not have gas or electric stoves; instead they cook with solid biomass, i.e., solid waste, animal dung, wood, saw dust, wood chips, etc. This is not only destructive to the environment, but to human labor as well. I have witnessed, on numerous occasions in my travels throughout Nigeria, young girls collecting firewood and then carrying it on their heads for sale in the market. In Mali, young men are destroying trees to be used in the primitive method of charcoaling, aiding the expansion of the desert.

President Trump’s Africa policy of security/counter-terrorism first, followed by trade and investment, fails to address Africa’s underlying depressed conditions of life which allow violent groups to easily recruit. People who can’t feed their families or provide the minimal necessities of life, and see no hope in the future, are led to violence out of manipulation and despair. Trade and investment, as proposed by the Trump administration, are not the solution.

Africa suffered greatly from 500 years of slavery and colonialism, 1450-1960. Following the initial success of the independence movements, the financial predators moved in to loot the continent’s vast wealth in natural resources. Extractive industries provide revenue, but they do not add/create wealth or generate a significant number of jobs. Africa doesn’t need more investors intent on making profits under the guise of applying the distorted “laws” of free trade and the marketplace. African nations require real economic growth that creates added value, increases the total wealth of society, and provides productive jobs to the restless masses of unemployed youth.

In 2014, Africa’s share of value added in global manufacturing is reported to be a pitiful 1.6%.  This sorrowful state of economy can and must be reversed. The manufacturing process is vital for every healthy economy. It adds wealth by transforming natural resources into finished and semi-finished products to be either consumed domestically or exported. This requires technologically advanced capital equipment, and skilled labor, all embedded within an integrated platform of infrastructure. State-directed credit and long-term, low-interest loans invested into critical areas of the economy, such as infrastructure, are indispensable for the growth of a manufacturing sector. Witness previous successful periods of economic growth in the U.S. (and in China today); these were accomplished through public credit, not hedge fund speculators and Wall Street day traders.

The most valuable natural resource of Africa, is not its mineral wealth, which is the target of the financial and mining/commodity predators. Rather, its greatest natural resource is its immense quantities of arable, yet to be cultivated land, along with the abundant water sources in its numerous lakes and river systems.  Africa is capable of feeding its people and eliminating hunger. It can also potentially help feed Asia, if properly developed with a manufacturing sector, and food-processing industries, coupled with a massive expansion of infrastructure.

What Does China Know About Africa That the U.S. Doesn’t

Over the last thirty-five years, China has lifted over one-half billion of its citizens out of poverty. This has been accomplished by massive state-directed investment into essential categories of infrastructure, along with its deep commitment to advance its economy through attaining new levels of science and technology. Both Chinese President Xi Jinping and Premier Li Keqiang have publicly stated their desire to help African nations eliminate poverty. This universal mission by the leadership of China, expressed concretely in the “Spirit of the New Silk Road,” has led to a revolution in joint infrastructure projects in Africa. New railroads are being built across the continent, replacing colonial locomotives and tracks built over one hundred years ago. On the East Coast, an entry zone for the Maritime Silk Road, new and expanded ports, with connecting rail lines vectored westward into the interior of the continent, are creating the potential for a fundamental transformation of the economies of several African nations including; Ethiopia, Sudan, Kenya, Tanzania, Uganda, Rwanda, and Djibouti.

The “ChinaPower Project” reports that between 2000 and 2014, China funded 2,390 projects across Africa totaling $121.6 billion, just over one-third of China’s total global financing. In Africa, 32% of the financing went for transportation projects and 28.5% for energy.

“Dance of the lions and dragons” a study completed by McKinsey & Company in 2017, analyzed privately owned Chinese companies operating in Africa. They estimated that there are 10,000 such private Chinese businesses that have committed $21 billion to infrastructure, which is more than combined total of the African Development Bank, European Commission, World Bank, International Finance Corporation, and the G-8 nations. And 31% of these companies are involved in manufacturing which accounts for 12% of Africa’s industrial production—valued at $500 billion.

Conclusion

The U.S., along with the other Western powers, virtually abandoned the nations of Africa as soon as they had overthrown their colonial masters. President John F. Kennedy stands out among U.S. presidents, following the death of Franklin Roosevelt, as a champion for the newborn African nations. His collaboration with Ghanaian President Kwame Nkrumah in the early 1960s to construct the Volta Dam Hydro-electric Aluminum Smelting Complex is a singular moment in U.S.-Africa relations over the last six decades.  America lost its vision for development, resulting in its refusal to build the power plants, dams, railroads, and ports that Arica needs. China has made a commitment to Africa and now is contributing to the most expansive building of new infrastructure the continent has ever seen.

President Trump’s recently released National Security Strategy (NSS) is totally hypocritical: it attacks China for becoming Africa’s largest partner, and accuses China of undermining “Africa’s long-term development.” Trump’s NSS expresses the same old British geopolitical mentality of winners and losers competing in a zero-sum war for global hegemony.

Throughout my travels in Africa, I have found expressions of affection for America and its ideals; even among those nations that the U.S. has abused. That positive attitude is beginning to wane. However, it is not too late for the U.S. to chart a new course, one of cooperation with China and Africa to transform the continent.  Saving Lake Chad from extinction and transforming the Lake Chad Basin, is an urgent task for such a tripartite cooperation.

 

 

PIDA Conference: Six Economic Corridors in SADC

African Infrastructure Discussed at Pan-African Conference in Namibia–Six Corridors Highlighted

Dec. 26—The 2017 Program for Infrastructure Development in Africa (PIDA) Week took place in Swakopmund, Namibia on Dec. 10-14. Countries throughout Africa and especially member states of the Southern African Development Community (SADC) showcased major development projects to promote regional integration.

According to an article by the SADC news agency, the six infrastructure corridor projects showcased during the event included:

1) The Batoka Gorge Hydropower Plant

2) The Zambia-Tanzania-Kenya (ZTK) Power Interconnector

3) The Kinshasa-Brazzaville Road and Railway Bridge

4) The Central Corridor in the United Republic of Tanzania

5) The Ethiopia-Sudan Power Interconnector being sponsored

by the East African Community (EAC)

6) The Abidjan-Lagos Corridor sponsored by the Economic Community of West African States (Ecowas).

The Batoka Gorge hydropower station which entails the construction of an 181 meter gravity dam and the installation of eight 200MW units with the power shared equally between the Zambia and Zimbabwe. The 1,600 MW of electricity the project will produce will be enough to ease shortages in Zambia and Zimbabwe.

Since the two countries are connected to the Southern  African Power Pool (SAPP), which coordinates the management of electricity in the region, the proposed power station will also benefit member states of SADC, with the exception of Angola, Malawi, and Tanzania.

The ZTK interconnector entails a high-voltage power transmission line connecting Zambia, United Republic of Tanzania and Kenya. Once completed it will create a link between SAPP and the East African Power Pool (EAPP), making it possible to transmit power from Cape Town in South Africa to Cairo, in Egypt.

The 2,206 km interconnector will have a capacity of 400MW. It is a Common Market for Eastern and Southern Africa (COMESA)-SADC-EAC Tripartite Priority project as well as a New Partnership for Africa’s Development (NEPAD) project under the PIDA program and the Africa Power Vision, and has been endorsed by the African Union (AU) heads of state and government.

The proposed Kinshasa-Brazzaville Road and Railway Bridge will be a railroad bridge across the Congo River to link Kinshasa and Brazzaville, the capitals of the Democratic Republic of Congo (D.R.C.) and Republic of Congo, respectively. It also will involve the construction of a 1,000 km railway to connect the cities of Kinshasa and Ilebo in the D.R.C., as well as development of road networks on both sides of the Congo River to link the two countries to the bridge. Sponsored by the Economic Community of Central African States (ECCAS), the project would be part of the Central Corridor which involves the construction of the Dar-es-Salaam to Chalinze Toll Road.

SADC Deputy Executive Secretary responsible for corporate affairs, Emilie Mushobekwa said infrastructure development “requires sustained efforts from all stakeholders to maintain the momentum of implementation. Sustaining this momentum requires that in addition to political will, other necessary enabling conditions are availed.”

PIDA is a blueprint for African infrastructure transformation for the period 2012-2040. The program was adopted by African leaders in January 2012 and provides a strategic framework for priority infrastructure projects to interconnected

and integrated region. The African Development Bank, African Union Commission, Namibian government, NEPAD, and United Nations Economic Commission for Africa organized the 2017 PIDA Week to present the project to potential donors

Chinese Firms Have Built, or are Building Hydropower PrpjectsTotaling 3.7 Gigawatts of Electric Capacity in Sub-Saharan Africa

{New China} reported Dec. 27. This is increasing the region’s installed electric capacity (currently at 28 GW) by about 15%. Projects in Cote d’Ivoire, Uganda, Zimbabwe, Angola and DR Congo have also created tens of thousands of jobs. Africa’s sub-Saharan electricity deficit is still huge, with two-thirds lacking reliable electricity access.

China’s Investment in New Transport Networks Can Set a Mark

Dec. 27, 2017–China’s Ministry of Transport held a conference, reported in the government newspaper {People’s Daily}, on the Ministry’s planned 2018 investment in transportation infrastructure. The scale of new infrastructure in 2017, also reported there, gives an idea of what it takes to build out new national transportation networks rapidly, at a time when the United States, for one, is about to hold a debate on this subject.

{Peoples Daily} reported that China’s transportation infrastructure investments were $323 billion equivalent in 2017 through November, or roughly total $350 billion for 2017 as a whole. This equals about seven years’ of surface transportation bills in the United States.

The plans for 2018 are for 5,000 km of new roads, renovation of 216,000 km of roads, 4,000 km of rail, and increasing container port freight-handling volumes by more than 15%.

Reuters reported that at this conference, the Ministry said it intended to speed up the construction of logistics hubs and inland waterways, build more roads to reach rural areas, and concentrate on accelerating the Beijing-Hebei-Tianjin urban triangle plan, mainly by improving roads and rail lines. It notes, “Infrastructure investment is expected to be among the biggest drivers of China’s economic growth in coming years.”

Africa2017: Why African countries should emulate China’s development model

This is a useful article on Helen Hai’s views on Africa. I would add that the agricultural potential of Africa has never been realized, and this is Africa’s  most valuable natural resource. Manufacturing and food processing plants should be an important focus for Africa’s development,

Source: www.ventures-africa.com

Development Organization Goodwill Ambassador and CEO Made in Africa Initiative, Helen Hai African countries could undergo a fruitful economic transformation within the next 30 years, if they are able to follow in the same footsteps as Asia. “Africa should follow China’s development model and aim to become a light manufacturing hub,” said Hai.

Hai argued during a China-Africa panel at the Africa 2017 Summit in Sharm El Sheikh, Egypt that China’s success was premised on its ability to have a clear strategy and to  execute it regardless of obstacles in the way. “African countries must be clear about what they want from China,” she said. Local conditions may also present significant opportunities for Africa in the next few years, she added, as rising labour costs are likely to see 85 million jobs exported from China. “If Africa can capture those jobs it can enjoy the same economic transformation that China had.”

The idea behind the Made in Africa initiative is to advise African governments on industrialisation and investment promotion. The initiative is also geared towards supporting  African countries through the process of implementing the right strategies to attain set goals.

Considering sustainable development can never be achieved if Africa’s population of 1.3 billion is left behind, there is a pressing need for its leaders to look into ways of uplifting people out of poverty through job creation. Africa has a lot more jobs for economic transformation because of its natural resources while Asia doesn’t necessarily have the same powers. However the results have been different in the two continents. What went wrong?

In Hai’s opinion, the first thing is identifying these development powers earlier. “In 1978, my generation witnessed 680 million people lifted out of the international poverty line and according to world bank, the number of people living at the international poverty line in the world since 1960 didn’t decline.” This simply means that China made one of the most significant contributions in history over the past 70 years in terms of poverty reduction. “If you ask me, as a beneficial of that, it had nothing to do with aid in China. The key success of China was 2 things- job creation and industrialization”

“China was able to capture the golden opportunity during industrialization relocation in the 80’s. That’s exactly what happened in Japan, Asia and the four tigers in the 60s. That’s how we actually moved ourselves to jumpstart our economic transformation from a low-income economy,” she added.

According to Hai, there were about 200 developing economies globally between 1950 and 2008, but only two economies moved from lower-income status to higher income status. Out of those 200 economies only 13 of them moved from middle-income status to high-income status. “Out of those 13, 8 of them are in Europe the other four and the Asian plus tigers including Japan. It was a common consensus in the 50s and 60s,” she said.

Although Africa was left behind in the 60s and 80s because they didn’t understand this module, after 30 years, this reshaping of the global value chain is happening again and Africa will do well to get it better this time.

Can Africa really make this work?

“Yes, Africa can make it happen, you know as a private entrepreneur, I came to Ethiopia back in 2011, being the general manager of a Chinese shoe factory to set up the first of its kind on Ethiopia. Which I immediately doubled the export revenue in Ethiopia’s shoe sector after 6 months. By the end of year one I recruited 2000 local workers, by year two I recruited 4000 local workers, in 2011 Ethiopia ranked 125 according to World Bank Doing Business Report,” said Hai.

“I’m working with AID Africa on more industrialization strategies considering a movement has already started in Africa. I have also been working closely with the Ethiopian government. According to a recent report, Ethiopia is poised to generate 60000 local jobs and $1billion in export revenue.”

“Africa has a population of 1.2 billion, most of them are young people, we can talk about a lot of fancy things, but the first thing in my opinion is how to create jobs, how to create million of jobs, significant jobs. In seizing this opportunity there is a potential of 85 million jobs. And as we all know, according to statistics manufacturing jobs has a strong multiplying effect, and a manufacturing job can impact a whole economy.”

“The GDP per Capita in China in 1978 was $154 which is less than 1/3 of the south Sahara African countries. China was poorer that a lot of African countries at the time. But in 2015 the GDP per capita in China is 7500 and according to a forecast, by 2025, China could become a high-income country. This means by 2025, considering the reshaping, all the labour intensive jobs will have to relocate out of China. But where will those jobs go? (all 85 million of them)”

“If African countries can first understand this opportunity and be able to capture a significant portion of these jobs, in my opinion they can have the same opportunity for economic transformation in the next 30 years, following the exact same footsteps of what Asia did.” “Ethiopia has made it already, soon one by one; the 54 African countries will be able to attain this kind of economic transformation. In Asia It started with Japan and then China followed, “she added.

A lot of China-Africa discussions featured throughout the Africa 2017 summit. One of the key takeaways is the fact that African leaders and other stakeholders are now posed with the responsibility of outlining ways to get the most out of Chinese investment and the One Belt One Road initiative.

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Africa Advancing With Science, Technology, and Infrastructure

China’s Belt and Road Initiative and Its Long-Term Impact on African Countries

Dr. Alexander Demissie of Ethiopia, an expert in China-Africa relations, spoke in Germany, November 26, 2017.

Below are excerpts from an excellent presentation by Dr. Demissie on the increasingly productive relationship between China and Africa to develop the continent’s infrastructure, which Europe and the Unites States have refused to do.

‘My third point: the BRI is primarily an infrastructural undertaking. We don’t yet have political institutionalization. We have infrastructural ideas. We have corridors, but we don’t yet have political institutions. So, if we talk about the Asian Infrastructure Investment Bank (AIIB), or the Silk Road Bank, these are just connected
to infrastructure; they are not political ideas.

“Interestingly, this idea fits perfectly into the current African need—infrastructure development. Africa wants infrastructure, going back here to the African Union’s Agenda 2063 strategic framework that has also, coincidentally, been coming up. Together with the BRI, Africa wants a good infrastructure connection, a good internal interconnectivity. So, the idea of the BRI coming from China is perfectly fitting into the idea—actually happening or being discussed—within the African continent.

“China has also been very clear since Johannesburg in 2015 that they want to cooperate more with Africa more on infrastructural projects that create regional connectivity. That is where the BRI comes in. That’s why I mentioned earlier that the BRI is primarily an infrastructure topic.

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Putin and El-Sisi Sign Economic Deals in Cairo; Russia To Build Nuclear Power Four-Plant Complex for Egypt

December 11, 2017–Russia and Egypt have signed an agreement to construct Egypt’s first nuclear plant, which will be followed by construction of three more. Costing $21 billion, the porject is scheduled to be finished by 2028-2029.

Russian President Vladimir Putin met today in Cairo with Egyptian President Abdel Fattah al-Sisi. They discussed economic matters, energy, and politics, as well as the possibility of resuming air travel between Russia and Egypt, which was suspended in November 2015 after the crash of a Russian passenger jet over Sinai in what is believed to have been an act of terrorism.

President Putin stated, “I am pleased to note that our economic links are developing at a fairly high pace, and we really have a lot of good projects ahead.”

President al-Sisi responded, “Since the 1950s and ’60s, Russia has always supported Egypt and still supports our country: both with metallurgical plants and the construction of the Aswan Dam, and today we will sign a contract for the construction of a nuclear power plant.”

The preliminary agreement between the countries was signed in 2015; a loan from Russia will cover 85 percent of the construction costs. Russia’s Rosatom will service the complex’s four reactors for 60 years, its chairman Aleksey Likhachyov said today, RT reported. Representatives of Russia’s Rosatom nuclear corporation and Russian universities have recently visited Egyptian universities to prepare engineering students to work at the Daba nuclear power plant in the future. The Russian delegation gave a number of presentations at the Russian Center for Culture and Science in Cairo.

One day after Eyptian President El-Sisi and Russian President Putin witnessed the signing of a deal for the construction of four Russian reactors in the Dabaa Nuclear Power Plant project, it is reported that the Egyptian Atomic Energy Authority (EAEA) has already begun a study at the El Nagila site, which takes about three years, to see if it is suitable for the construction of four nuclear plants, according to sources at the Egyptian Ministry of Electricity. The study will be carried out parallel with the construction at the Dabaa site, where the first reactor is scheduled to come on-line in 2026. When that plant is complete, it will become only the second country in Africa, following South Africa, to have a nuclear power plant.

The {Daily News Egypt} reports that Egypt has signed protocols and MOUs with 10 countries for cooperation in nuclear energy, to help with training and the utilization of expertise in reactor management, and security, safety, and the possibility to provide formal advisory services to the EAEA

Africa’s Ports Revolution: Railway Ports of the East

This an informative article written on February 23. 2017, reporting on the exciting potential for the developments of Africa’s East coast ports with railroad connections to the interior of the continent. 

The population of Africa is presently 1.2 billion and growing at a rate of 2.5% a year, more than twice that of any other continent. In two years’ time, it will gain the population of the UK; in 12 years of compounded growth it will gain the population of China.

All these extra people may add dynamism to economies, but only if the increase in labour supply can be matched by an equivalent increase in economic activity; otherwise,  rising population density may destabilise social and political systems – an effect already seen in Rwanda and the Democratic Republic of Congo (DRC).

This challenge has led to a different pattern of development for ports on Africa’s east coast, compared to the west coast. In the west, the centres served by these ports are close by, sometimes right outside the port gate. In east Africa, by contrast, they are between 500km and 1,000km away, and most of the infrastructure needed to reach them has not yet been built. In the case of the Doraleh container terminal at Djibouti, the goal is the Ethiopian highlands and the valley of the White Nile at Khartoum, a cluster roughly equivalent to the population of Japan. In East Africa, a similar-sized population is grouped in the Great Lakes states, South Sudan and the DRC. All of these centres, with the marginal exception of the DRC, are landlocked.

Their ability to attract investment and benefit from globalisation depends, among other things, on having efficient rail, road and pipeline links to the Indian Ocean “transit  states” of Kenya, Tanzania and Djibouti.

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President of Ghana Speaks out for Strong Independent Africa

Speaking at the Presidential Palace of Ghana on December 4, 2017 with French President Macron, Ghanaian President Akufo-Addo spoke eloquently of the need for Africa to be self-sustaining and independent. Emphasizing that when African nations became developed their people would have no need to migrate to Europe. To watch his speech click: Speech by the President of Ghana

Through Science, Africa’s Challenges Will Be Met

December 10, 2017)–South Africa’s Science and Technology Minister Naledi Pandor told the third Science Forum in Pretoria on Dec. 7, that “it is through science that many of the challenges faced by our communities can be addressed.” A primary objective of the two-day forum, she said, is “to put science in the service of African society.” She stressed the importance of international collaboration, welcoming delegates from around the world to Africa’s largest “open science” event. Pan-African cooperation, in particular, is a hallmark of all of South Africa’s science and technology programs.

The purpose of the forum was to discuss the role of science in society. She said that one objective of the forum was to “showcase African science and technology to the world. We want to change the way they talk about us.” Pandor is dedicated to promoting African breakthroughs in science, which will change the way Africa has historically been viewed, and will help eliminate the “Afro-pessimism” on the continent itself.

China Extends Loan and Grant Facilities in Zimbabwe

December 7, 2017 — In a show of confidence in the new situation in Zimbabwe, China has extended a loan and grants for key development projects. They include a concessionary loan for the upgrade of the Robert Gabriel Mugabe International Airport in Harare, and grants for the construction of the new Parliament Building and for the High Performance Computing Center being constructed at the University of Zimbabwe for a total of $213 million.

The loan and grants will be administered through the Export-Import Bank of China. Zimbabwe’s Finance and Economic Development Minister Patrick Chinamasa and Chinese Ambassador to Zimbabwe Huang Ping signed the deal in Harare yesterday on behalf of the two governments.

The $153 million loan carries a concessionary 2% interest rate and is payable over 20 years with a seven-year grace period. The expansion of the airport aims to double the airport’s capacity from the current 2.5 million passengers per year to 6 million. “The government of the People’s Republic of China also gave support to the people of Zimbabwe during the liberation struggle,” said Minister Chinamasa.

“China is the only source of infrastructure financing. If you look at Kenya, Ethiopia, and the Democratic Republic of Congo, their source of funding is China. We look forward to China and we have a lot to know from them. They are second largest economy after United States of America,” Chinamasa said. He described that the support springs from the state visit by Chinese President Xi Jinping on Dec. 1, 2015, when he pledged to support the construction of the new Parliament building, and that more deals with China were in the offing, according to the Harare {Herald}.

For his part Ambassador Huang said: “The Chinese government will continue to support the Zimbabwean government and people in their economic revival and social development. The agreement we have signed today is just a testimony of our efforts and our true friendship that withstands the test of time.” He said China was pleased to be lending financial support to Zimbabwe at “this new juncture of Zimbabwe’s social and economic development.” Zimbabwe’s new President Emmerson Mnangagwa has committed his government to correcting the policy inconsistencies that have prevented the Chinese from expanding their investments in the country, especially in infrastructure.

Nacala Corridor Project Receives $300 Million from the African Development Bank

“The African Development Bank (AfDB) and other participating co-lenders have signed agreements for the financing of the Nacala Corridor project. This is an integrated and transformative infrastructure project which consists of a 912 km railway and a port meant to unlock the Western region of Mozambique and landlocked Malawi. The total project cost is estimated at $5 billion,” the AfDB website reported. “The project has received further financial backing from the Japanese Bank for International Cooperation, Nippon Export and Investment Insurance and the Export Credit Insurance Corporation of South Africa, for an overall package of $2.7 billion in loans,” Infrastructure News website reported on Dec 5.

Upon completion, the Nacala Corridor project will fulfill West Mozambique and Malawi’s dream to connect by rail to the sea, for a cheaper way of transporting goods. Parts of yhis project have been completed, and last August, the inauguration of the Kachasu Nkaya railway section of the project has now linked Malawi to the Indian Ocean by rail. Last May, {Railway Gazette} had reported Mozambique President Filipe Nyusi inaugurating the deepwater port of Nacala-a-Velha.

This is the starting point to develop a 912 km “integrated logistics corridor” by rail, serving northern Mozambique, southern Malawi and the Moatize coalfield.According to AfDB, “the project is expected to have a catalytic effect in the region and create economic benefits for the various stakeholders, including sponsors, governments and the local population. It will enable a significant reduction in transportation costs and increase coal export volumes. Furthermore, additional capacity created in general along the corridor is expected to contribute to creating economic opportunities in the local economy, notably by increasing agricultural trade in the region.”

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He Wenping-The Belt & Road: China Shares Its Development with Africa & the World

Below are excerpts from a speech by Prof. He Wenping discussing “President Xi’s Perspective for the Year 2050 and the Perspective of African Development.”

Germany, November 25, 2017

The Industrialization of Africa 

      “Let’s quickly go to the One Belt, One Road: This is just what I call—this is not official, it’s what I call it—I think this is a 1.0 version of One Belt, One Road, because all those things you see, the Maritime one and the Silk Road continental one, go through 64 countries. In this 1.0 version, only Egypt is from Africa, among these 64 countries. But now, I think One Belt, One Road is entering 2.0 version—that is, now facing all the countries in the world. As President Xi Jinping mentioned to  the Latin American countries, “you are all welcome to join the Belt and Road.” In the Chinese “40 Minutes,” Xi said, all the African continent is  now on the map of the One Belt, One Road, the whole African continent, especially after the May Belt and Road Summit in Beijing had taken place. 

      “So now, its face is open to all the countries in the world, now it’s inclusive. Any country that would like to join, I would like to say. You see, these are two leaders in the world: People are saying “America First” is the idea. You see from abroad, Trump in the White House saying, “America First.” If anything is not too good for America, it’s not good at all. But, for President Xi Jinping, the One Belt, One Road is to make the world better. It’s not, “make China better,” because with all this Belt and Road, the Chinese foreign exchange reserves, we’re now enjoying the number-one highest foreign exchange reserves in the world.

      “So, we’re going to use those foreign exchange reserves to build all those roads—connectivity! Connect China and other countries to join together, to build trade. And there are three connectivities we are talking about: First is the policy connectivity, China’s One Belt, One Road initiative is relevant to countries, their own development strategy. For example, Ethiopia.   Ethiopia has now been named as the “next China” on the African continent. It’s not my invention, these words—many scholars have been published talking
about which country in Africa is going to be the China in Africa, which means, developing faster! Faster and leading other countries forward. Most of them refer to Ethiopia.

    ” Ethiopia has now reached an GDP growth rate, last year, as high as 8%, but the whole rest of the continent, especially the oil rich countries, are suffering from lower oil prices. So they have developed an industrialization strategy; their strategy and the China strategy should be connected. One is called the policy connectivity

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Sudan Is Indispensable To China’s Silk Road Vision For Africa

 

The Sudan Tribute [sic Tribune] recently reported that its eponymous country signed a deal with China to explore the viability of constructing a railway from Port Sudan to N’Djamena, with an eye on completing a long-awaited connectivity project that had hitherto been held up due to various degrees of regional instability. According to the publication, the original plan was to link up the Chadian and even nearby Central African Republic capitals with the Red Sea in order to provide these resource-rich landlocked states with an outlet to the global marketplace, which is increasingly becoming Asia-centric ergo the Eastern vector of this initiative. In terms of the bigger picture, however, the successful completion of the Port Sudan-N’Djamena Railway would constitute a crucial component of China’s unstated intentions to construct what the author had previously referred to as the “Sahelian-Saharan Silk Road”, the relevant portion of which (the Chad-Sudan Corridor) is a slight improvisation of Trans-African Highway 6.

Per the hyperlinked analysis above, the following custom map illustrates the full cross-continental vision that China has in mind:

 

Red: CCS (Cameroon-Chad-Sudan) Silk Road
Gold: Trans-African Highway 5
Lavender: Ethiopia-Nigeria Silk Road (the most direct route through resource-rich territory)
Pink: West African Rail Loop
Blue: Lagos-Calabar Silk Road
Green: Lagos-Kano Silk Road
Yellow: Port Harcourt-Maiduguri Silk Road

Each of the aforementioned tracks are described in a bit more detail in the cited article about the Sahelian-Saharan Silk Road and the author’s extensive Hybrid War study on Nigeria, but the two pertinent points to focus on in this piece are the CCS Silk Road (outlined in red on the map) and its larger purpose in possibly connecting Africa’s two largest countries and future Great Powers of Nigeria and Ethiopia. One of China’s grand strategic objectives in the emerging Multipolar World Order is to lay the infrastructural groundwork for facilitating the robust full-spectrum integration between these two giants, understanding that their Beijing-built bicoastal connectivity would bestow the People’s Republic with significant influence in the continent by streamlining an unprecedented corridor between them, thereby giving China the potential to more directly shape Africa’s overall development across the 21st century.

It goes without saying that Sudan is poised to play an indispensable role in making this happen by virtue of its advantageous geography in allowing China to circumnavigate the “Failed State Belt” of South Sudan, the Central African Republic, and increasingly, maybe even Cameroon, as well by charting an overland Silk Road connectivity corridor between Ethiopia and Nigeria via Sudan and Chad. Moreover, the potential linkage of the planned Ethiopia-Sudan railwayto the prospective Port Sudan-N’Djamena railroad would enable Sudan to provide China with alternative access to these two landlocked states. Regional military leader and energy exporter Chad is already in physical touch with the outside world through Cameroon, just as the world’s fastest-growing economy and rising African hegemon Ethiopia utilizes the newly built Djibouti-Addis Ababa railway for this purpose, but the shrewd and far-sighted Chinese always feel more comfortable if they’re not dependent on a single route, hence the strategic importance of supplementary access to Chad and Ethiopia through Port Sudan.

While Sudan’s financial standing was left reeling ever since the American-backed separation of oil-rich South Sudan in 2011, Khartoum might fortuitously find itself wheeling and dealing along the New Silk Road if it’s successful in providing China with alternative market access to Chad and Ethiopia in the future, and especially if it can do the same with Nigeria in saving China the time in having to sail all the way around the Cape of Good Hope in order to trade with it. For as easy as all of this may sound, however, the premier challenge that China will have to confront is to ensure the security of this traditionally unstable transit space, specifically in the context of maintaining peace in the former hotspot of Darfur and dealing with the plethora of destabilization scenarios emanating from the Lake Chad region (Boko Haram, Nigeria’s possible fragmentation, etc.).

In view of this herculean task, China could be lent a helping hand by its Pakistani and Turkish partners who each have a self-interested desire to this end, with Islamabad slated to patrol CPEC’s Sea Lines Of Communication (SLOC) with East Africa while Ankara is already a heavy hitter in Africa because of its recent embassy and airline expansion in the continent. Moreover, both of these countries are leaders of the international Muslim community (“Ummah”) in their own way and accordingly have soft power advantages over China in the majority-Muslim states of sub-Saharan Africa through which Beijing’s grand Silk Road projects will traverse. Seeing as how Pakistan and Turkey are also on very close relations with China, the scenario arises whereby these Great Powers enter into a trilateral working group with one another for effectively promoting their African policies through joint investments, socio-cultural initiatives, and the collective strengthening of Nigeria, Chad, and Sudan’s military capacities in countering their respective Hybrid War threats.

This is especially relevant when considering that all three transit states aren’t exactly on positive footing with the US. Washington initially refused to provide anti-terrorist assistance to Abuja when it first requested such against Boko Haram in 2014, and the Trump Administration has inexplicably placed N’Djamena on its travel ban list. As for Khartoum, it’s been under US sanctions for over two decades now, even though the State Department partially lifted some of them last month as part of its “carrots-and-sticks diplomacy” towards the country. Therefore, the case can convincingly be argued that these three African countries would be receptive to Chinese, Pakistani, and Turkish military assistance because their prospective Eurasian security partners are perceived of as being much more reliable and trusted than the Americans or French who always attach some sort of strings to their support. The only expectation that those three extra-regional states would have is that their counterparts’ collective stability would be enduring enough to facilitate win-win trade for everyone.

There’s a certain logic to the comprehensive strategy behind this Hexagonal Afro-Eurasian Partnership between Nigeria, Chad, Sudan, Turkey, Pakistan, and China. Nigeria, as the West African anchor state, could help expeditiously funnel the region’s overland trade to the Red Sea via the landlocked Chadian transit state and the maritime Sudanese one, thus making Khartoum the continental “gatekeeper” of West African-Chinese trade. Turkey’s hefty investments and newfound presence in Africa could help to “lubricate” this corridor by making it more efficient, with President Erdogan trumpeting his country’s version of a moderate “Muslim Democracy” at home in order to score significant soft power points with these three majority-Muslim African states and their elites. Pakistan would assist in this vision by providing security between Port Sudan and what might by that point be its twinned sister port of Gwadar in essentially enabling the flow of West Africa trade to China by means of CPEC.

Altogether, maritime threats are kept to a minimum because of the shortened SLOC between Sudan and Pakistan (as opposed to Nigeria and China) while the mainland ones are manageable due to the military-security dimensions of the proposed Hexagonal Afro-Eurasian Partnership, but it nevertheless shouldn’t be forgotten that Sudan and Pakistan are the crucial mainland-maritime interfaces for this transcontinental and pan-hemispheric Silk Road strategy which is expected to form the basis of China’s “South-South” integration in the emerging Multipolar World Order.