Nigeria’s Buhari Renews Commitment for Lake Chad Water Transfer Solution

Dec. 1, 2018 — Speaking at a meeting of the heads of state and government of the Lake Chad Basin Commission-(LCBC) in N’djamena, Chad, Nigerian President Buhari renewed his commitment to pursue the project for “inter-basin water transfer,” i.e. Transaqua, to defeat poverty and eliminate the roots of terrorism in the Sahel.

According to the {Vanguard}, he “charged the Presidents and Heads of Governments in attendance to make concerted efforts to ensure the actualization of efforts to recharge the Lake [Chad], President Buhari stressed that if meticulously pursued, the project ‘has the capacity to unlock the economic potentials and provide solutions to the myriad of interrelated challenges confronting the region.’ As Chairman of the Summit of Heads of State and Governments of the LCBC, President Buhari assured of his commitment to providing the required leadership and direction for the actualization of peace and security in the area,” the daily wrote.

The gathered leaders, President Idris Deby Itno of Chad, President Mahamadou Issoufou of Niger Republic, and Prime Minister of Cameroon Philemon Yang, who represented President Paul Biya, issued a joint statement in which they “resolved to change {modus operandi}, collaborate more, and renew assault on all forms of terrorism and criminal acts, till wholesome peace was restored to the region,” the {Vanguard} reports.

At the International Conference on Lake Chad held in Abuja, Nigeria in February, the LCBC leaders committed to explore Transaqua as the only viable solution to the Lake Chad crisis. Transaqua is an Italian idea for a 2,400 km waterway to transfer 100 billion cubic meters water per year from the Congo Basin and produce electricity for agro-industrial development. So far, however, only the Italian government has pledged the initial funds for the feasibility study. A protocol was signed last October in Rome and hopefully the joint LCBC-Italy committee can  release the funds at their first meeting next January, for the feasibility study to begin.

Read more below

Insurgency : Buhari calls for bilateral, multinational platforms at Lake Chad

Don’t Listen to Propaganda & Gossip. Follow the Facts: China is not Creating a ‘debt-trap’ for Africa

A useful report, “Africa’s growing debt crisis: Who is the debt owed to?” by the British based Jubilee Debt Campaign, again belies the propaganda and gossip that China is manipulating African nations into a ‘debt-trap.’  This report excerpted below, using figures from the World Bank, and the China Africa Research Institute-(CARI) at Johns Hopkins SAIS in Washington DC, shows the percentage of debt owed to China by African nations is not the cause of a debt crisis. In fact, in many cases the debt owed to China is less than the total owed to Western nations and financial institutions.

It is clear that for strictly geo-political reasons many Western think tanks and various media have gone into overdrive demonizing China with false claims of a new ‘debt-trap.’ This has also led to increased attacks on African leaders, portraying them as weak and not acting in the interest of their citizens. They have been accused of succumbing to China, which has been dubbed, the new imperial power. Sadly, many Africans have been duped, or simply out of frustration and anger, joined this western orchestrated chorus.

Of course, the truth of the matter is quite different. From the early 1980s on Western financial intuitions such as the IMF, World Bank, and Paris Club, loaded up African nations with so much debt that they were unable to service the debt, forcing them into unpayable arrears.  The vicious irony, is that several hundred billion dollars of debt lent by the West was never meant to actual develop African economies. It was in fact, intended to create a real ‘debt-trap’ for Africa. It has only been in the last ten years that Africa’s huge deficit in infrastructure is being addressed in collaboration with China’s non-western model of development. As I have written over many years, debt is not the problem when it is used as credit to improve the productive powers of a society to increase its physical wealth. Technologically advanced infrastructure is an excellent, if not the premiere method to drive an economy forward. This is exactly what China is accomplishing through its Belt and Road Initiative, and is at the heart of the Forum on China-Africa Cooperation-(FOCAC).

Unfortunately, the dominance of the “geo-political” ideology since the death of Franklin Roosevelt has thoroughly contaminated the thinking of Westerners and Africans alike. Creating a culture (with few exceptions) of people unable to think strategically, and who cynically reject the idea that a powerful nation would extend itself to actually assist other nations. China, according to all accounts, has lifted 700 million of its people out of poverty. President Xi Xinping has pledged to help eliminate poverty in Africa, the continent with highest rate of poverty in the world. Yet, many Africans reject this offer as insincere, suggesting a sinister motive lurking behind China’s offer. This attitude, is in part, the result of today’s political culture, which has failed to understand one of the most profound universal principles: all mankind shares a common interest in the development of the creative potential of each and every human being.  

Let us all agree, now, that we will all act on the this principle of the common good, and affirm as did the Treaty of Westphalia, that the interest of the other is also the interest of thy self.

 

Forum On China-Africa Cooperation, Beijing, September 3-4, 2018

“Africa’s growing debt crisis: Who is the debt owed to?”

October 2018

(excerpts follow)

Summary
• African government external debt payments have doubled in two years, from an average of
5.9% of government revenue in 2015 to 11.8% in 2017
• 20% of African government external debt is owed to China
• 17% of African government external interest payments are made to China
• In contrast, 32% of African government external debt is owed to private lenders, and 35% to
multilateral institutions such as the World Bank
• 55% of external interest payments are to private creditors

Minimum amount of African government external debt owed to China as percentage of total debt is 18%

Creditor grouping, total debt owed, percentage of external debt owed, are as follows:
China $72 billion 18%
Paris Club $40 billion 10%
Other governments $18 billion 4%
World Bank $66 billion 16%
IMF $18 billion 4%
Other multilateral institutions $61 billion 15%
Private sector $132 billion 32%
Total $407 billion 

Maximum amount of African government external debt owed to China as percentage of total debt is 24%

Creditor grouping’Total debt owed, percentage of external debt owed, are as follows:
China $100 billion 24%
Paris Club $40 billion 10%
World Bank $66 billion 16%
IMF $18 billion 4%
Other multilateral institutions $61 billion 15%
Private sector (excl. Chinese
private sector)
$132 billion 32%
Total $417 billion

Checking these figures through country cases

Another way of identifying how much African government debt is owed to China is to look bottom-up at the individual data available by each government.

Of these 16 countries, 14 have figures on how much debt is owed to China (for the full analysis see Appendix 1.). Of these 14:

• 11 owe less than 18% of their debt to China (Burundi, Cabo Verde, Central African Republic, Chad, Gambia, Ghana, Mauritania, Mozambique, Sao Tome and Principe, South Sudan, Sudan and Zimbabwe).
• Three owe more than 24% -Djibouti (68%), Zambia (30%) and Cameroon (29%).
• The mean average amount owed to China is 15% of a government’s external debt, and the median average is 8%

Read Complete Report: Who Is Africa Debt’s Owed To?

Nigeria and Sub-Saharan Africa Should NOT Have the Majority of Poor People.

This  is absolutely unacceptable. There is no objective reason for Nigeria and Sub-Saharan Africa to have the highest percentage of poor people in the world, with all its natural resources and people. This is the result of failed policies that began with the so called “Washington Consensus” beginning in the 1980s. Under the International Monetary Fund’s diktats and Structural Adjustment Programs(SAPs), the economies of African nations were destroyed and many have still not recovered.  African nations are beginning to follow a different model in collaboration with China’s Belt and Road Initiative. The IMF and World Bank models which measure statistical monetary aggregates ignore the most essential ingredient necessary to create economic growth: technologically advanced infrastructure platforms, integrating rail, energy, water, and roads. Only in the last ten years is infrastructure finally being built, after it was outlawed under colonialism and neo-colonialism, (except for roads and rail for resource to port and transporting colonial soldiers).  For example, the Sudanese people are suffering terribly from a lack of economic growth, because Sudan has been threatened not to deviate from IMF dictated macro-economic parameters. The Sudanese people will rebel, if Sudan continues to adhere to the murderous policies of the so called “free market.”

It is time for African nations to over throw the old model and break free from the monetarist grip of the IMF and WB. Inclusive growth, as it is called, will only happen when there is improvement in the real-physical economy. 

It is projected that by 2050 Nigeria will have 400 million people and Africa as a whole 2.4 billion. Despite the hysteria of the “zero-growthers,” Nigeria and Africa are not suffering from over population, but underdevelopment of its vast wealth. Each new human born can be a new source of wealth, if their creative potential is nurtured and developed. Thus, the Africa continent  with its projected large population, should become the center development (not poverty) of world economy, if we act now to massively expand infrastructure across the continent.

Nigeria to host 90% of extremely poor by 2030, says World Bank

Europe Must Address Poverty in Africa to Deal With Migration Crisis


Illustration: Luo Xuan/GT

The just-concluded EU Summit on migration has come up with measures like securing centers for migrants to process asylum claims, strengthening external border controls, and boosting financing for Turkey and countries in North Africa. But these are old solutions to old problems.

Since 2015, the EU has been working at full capacity to overcome the migration crisis. EU member states received over 1.2 million first-time asylum applications in 2015, more than double that of the previous year. But it seems that the European continent is still working in the same old way to try to prevent the entry of immigrants and not to address the causes of migration. Even if we assume these measures bring success in reducing immigration for some time, the EU will later be surprised when migrants use other means and methods to migrate, because the causes of migration still exist.

The root of migration is poverty. The African continent has suffered occupation and war for many decades. Many African countries have not yet been able to achieve the path of reform and development. This has put the people of these countries under unbearable pressure from poverty, ignorance and disease. They have pushed themselves into the abyss and tried to cross the border to reach Europe. They have faced danger and horror, believing a chance at a better future is worth dying for, if necessary.

With the emergence of the new system of globalization, the world became a small village and Africans opened their eyes to the luxury and good life enjoyed by Europeans, which inspired them to move to these countries. The majority of people from African countries continue to blame European countries for their backwardness and believe they should shoulder their responsibilities toward Africa. As a result of the failure of European countries to play the role that the African people were waiting for, these masses migrated to Europe to try to gain these rights. Europe, when dealing with refugees, looks at them from a perspective of human logic or empathy and does not view migration as a symptom of a disease. European countries must change their thinking and strategy to deal with the disease in order to make the causes of migration disappear.

It is time for Europe to look at the Chinese experience in Africa. The Chinese policy has  always focused on development. Economic relations between Africa and China have grown enormously, especially since 2006. The African continent is playing an important role in the Belt and Road initiative. China provides infrastructure funding and a workforce, and this infrastructure allows Africa to increase its production and exports, improving the quality of life and improving the conditions of millions of Africans.

Hope is the solution. The people of the African continent need hope. At least this last summit has come out with some words about more investment in Africa to help the continent achieve a substantial socio-economic transformation. China has been focusing on African development for a long time and has seen the results. The EU should work closely with China to push for the B&R to fight poverty in Africa and promote development. (emphasis added)

He Wenping is a senior research fellow at the Charhar Institute in China, and Hisham Abu Bakr Metwally is the first economist researcher at the Central Department for Export & Import Policy under the Egyptian Ministry of Foreign Trade and Industry. bizopinion@globaltimes.com.cn

 

China’s Progress and ‘Belt and Road’: New Global Dynamic

“When China Eliminates Poverty in 2020, Beijing Will Have Proved That the Developing World Doesn’t Need US “Aid”

June 3, 2018

“No country in history has lifted as large a number of people out of poverty as China has done, beginning in the late 20th century. At the turn of the 1980s, over 88% of all Chinese were living in poverty according to the international definition of having an average daily income of $1.90 or less. Today, China’s poverty rate hovers around 2% of the entire population or 30 million people. This poverty is now entirely confined to rural areas. By contrast, in the United States, poverty while mostly in rural areas, is also spread among impoverished inner-cities…

“While some remain skeptical about China’s ability to eliminate poverty by the end of 2020, the record clearly shows that when it comes to tackling issues of extreme poverty in an extremely short period of time, China is not only able to achieve its goals but is able to do so in ways that put other countries to shame. While the poverty rate in the US has stagnated for decades, with the rate being 12.4% at the end of the 1970s with a slight increase to 13.7% at the end of the 1980s, China has dramatically gone from a state of near total poverty to the brink of eliminating all poverty in that same period.

“With China lifting an average of 13 million people out of poverty each year in the last five years, President Xi’s goal of progressively eliminating poverty for 10 million rural poor each year until poverty is fully eliminated at the turn of 2021, is ultimately a realistic goal, albeit one with seismic implications.”

continue reading

African Countries Meet On Using Yuan as Reserve Currency

May 30, 2018–A meeting of seventeen central bank and government officials from 14 countries in eastern and southern Africa met in Harare, Zimbabwe on May 29-30 to discuss the possibility of using the yuan as a reserve currency, Xinhua reported on May 29. The meeting was sponsored by the Macroeconomic and Financial Management Institute of Eastern and Southern Africa (MEFMI). They quote Gladys Siwela-Jadagu, spokesperson for MEFMI, saying that most MEFMI countries have received loans or grants from China and it would “make economic sense” to repay them in yuan. She said that the yuan has become a ‘common currency’ in trade with Africa.    Xinhua notes that China’s trade with South Africa surged by 14.7 percent on a yearly basis in the first four months this year

UN Official Lauds Belt and Road as `Grand Design for the Future’

May 29, 2018 — UN Under-Secretary Shamshad Akhtar, speaking to {China Daily} May 28, praised the Belt and Road Initiative of infrastructure great projects as “an initiative on a more integrated frame, [and] of a scale, that no one has talked about before.” Akhtar is executive secretary of the UN’s Economic and Social Commission for Asia and the Pacific.

“China leads the regional cooperation and the integration of Asia, with its Belt and Road Initiative strengthening intra-and intercontinental ties,” she told {China Daily}, on the sidelines of the Shanghai Forum at Fudan University. “It’s a grand design. Moving the Belt and Road Initiative forward not only connects Asia internally, but bridges it closer to Europe and Africa.”

She said, “Over the years, China’s shift from quietly forging bilateral relationships, to building multilateral and broad.”-based diplomatic structure has underscored its commitment to deepening its footprint in regional cooperation and integration.

 

“Lake Chad Disappearing Would be Catastrophic for the Entire Africa Continent”

LAKE CHAD BASIN COMMISSION  INTERNATIONAL CONFERENCE ON LAKE CHAD

Keynote Address

Saving the Lake Chad, Prospects, Challenges, and Opportunities”

Engr. Sanusi Imran Abdullahi fnseExecutive Secretary, LCBC

 ABUJA – NIGERIA  26TH FEBRUARY 2018

Center-President of Nigeria, Muhammadu Buhari.  Right-Executive Secretary of the Lake Chad Basin Commission, Eng. Sanusi Abdullahi. Left-new Exececutive Secretary of the LCBC, Ambassador Mamman Nuhu
  1. Background

I wish to begin this keynote address by recalling two important events that happened 55 years ago. On 25thMay 1963 in Addis Ababa, thirty-three (33) African Heads of State and Government form the Organization of the African Union (OAU) with high hopes for rapid political independence, peace, security, economic cooperation, development, and a better life for the people of Africa.

The then President of Ghana Dr. Kwame Nkrumah in a speech at the meeting said;“Our continent certainly exceeds all the others in potential hydroelectric power, which some experts assess as 42% of the world’s total.”

Sadly, fifty-five years after this speech, most countries of sub-Saharan Africa have less than 60% access to electricity. In the DRC, a country with the highest potential for hydro-electricity generation, less than 16% of the population have access to electricity. In Niger, it is about 12% access to electricity.

A year after the creation of the OAU, precisely on the 22nd May 1964 at Fort-Lamy now known as N’Djamena, the LCBC was created with equally high hopes. At creation the LCBC was expected to help an estimated population of 11,091,000 people to sustainably manage the Lake Chad and its basin. There was adequate water for development for this population as the Lake Chad had a surface area extent of about 25,000 km2. Today, the Lake Chad region is the largest humanitarian crisis in the world with 7 million displaced people and about 2 million depending on humanitarian assistance and has the highest poverty and birth rates in the world.

Without education, energy and infrastructure no Nation will be out of poverty and misery.

  1. Challenges Decades of Rapid Growth, Droughts, and Famine

Fifty-four years after the creation of the LCBC, the basin is characterized by steadily increasing population and drought. The population of the present conventional basin experienced a 100% decennial growth rate. The population increase by 33% to 31,461,000 by the year 2000 and 40 million by 2010. The Lake Chad Basin population is projected to be 50 million in 2020 and 62 million in 2030.

As the population growth rate increases every decade, the Lake Chad basin is at the same time undergoing severe droughts, famine, and water distribution problems, human and animal diseases. The consequences of these negative factors meant that local population must move or risk property destruction or death. As population groups migrate to minimize the risk, the chances for conflict increases among and between ethnic groups based on social, cultural, economic and/or religion differences.

These changes that have occurred in the past 54 years in the Lake Chad conventional basin principally because of global climate change and augmented by accelerated population growth are responsible for the accumulation of social tension which could have led to the outbreak of the violent insurgency that we face today in the Lake Chad basin and the migration of our youth to Europe.

  1. Opportunities

3.1 The Inter-Basin Water Transfer Study

 In 1992, a decision was taken to develop a master-plan for the Lake Chad basin to include the establishment of an environmentally sound management of the natural resources of the Lake Chad conventional basin. The feasibility study for the water transfer from the Congo basin to the Lake Chad was the second priority project out of 36 projects selected for implementation in the LCBC Master Plan.

One proposal to transfer water from the Congo to the Lake Chad called “TRANSAQUA” was submitted to the LCBC in 1984 at the height of the most severe drought affecting the Lake Chad basin. This proposal was approved and shared by the then President Mobutu Sese Seko of Congo (former Zaire) but was considered too big hence a smaller proposal taking water from river Ubangi to the Lake Chad was adopted by the Member States of the LCBC as requested by the Government of the Central African Republic.

Raising an estimated 6 million USD for the pre-feasibility study of the Ubangi – Lake Chad Inter-Basin Water Transfer became a challenge until the government of Nigeria under President Olusegun Obasanjo provided support and launched a diplomatic campaign to get the no-objection of the two Congos for the study to begin.  The conduct of the feasibility study was awarded to a Canadian Firm, CIMA International, and work commenced on the 13th October 2009 for a period of 28 months.

The study was completed in 2011 with the conclusion that the Ubangi – Lake Chad Inter-Basin Water Transfer project is technically feasible and economically viable from the Congo basin via the Ubangi River to Lake Chad through a combined inter-basin transfer: a pumping transfer via the Palambo dam on the Ubangi River and a gravity transfer via the Bria dam through a deviation of the Kotto River. This will increase the water level of the lake by at least one meter(1.0m)in both the south and the north basins and increase the size of the lake by about 5, 500 km2 over a period of 4 – 5 years. The combined cost estimate of the projects for the transfer was put at US$14.5 billion.

The result of the study was endorsed by the 14th Summit of Head of States and Government of the Lake Chad Basin Commission on 30th April 2012.

3.2 Solution to Lake Chad Insecurity and the Future of Africa

The installation of the government of President Muhammadu Buhari in 2015 opened new opportunities to continue the search for a long-term solution for insecurity in the Lake Chad and the Sahel, economic integration of Central Africa, West Africa and the Sahel in a new form of African regional partnership.

The government of President Muhammadu Buhari secured a financial support in the amount of $1.8 m from the Chinese government and facilitated the engagement of Power China International of China to conduct “Basic Research” to update data and re-package the Water Transfer Project from the Congo Basin to the Lake Chad that will inform the selection of a suitable engineering option for the water transfer.

Among the measures taken under the new approach is to convene all stakeholders from the AU, ECOWAS, ECCAS, EAC, CICOS and LCBC and international partners to share experiences and engage in constructive discussions on how to restore the Lake Chad and promote African peace, security, development, and integration.

Restoring the Lake Chad is primarily an African strategic problem. Whatever action is taken to restore the Lake Chad, the direct beneficiaries are the African people. Today, following the dreams of Dr. Kwame Nkrumah and his 32 fellow Head of States, African shave continental governing institutions in the form of the AU, the AUC and its subsidiary bodies such as the regional economic communities (REC). In Africa we also have developed common visions for infrastructure development (PIDA) and the ‘Agenda 2063’ for the socio-economic transformation of the continent as well as being a building block in the achievement of the goals of the 1991 Abuja Treaty on the African Economic Community.

What the Lake Chad region is requesting is that African leaders should look at the problem of insecurity and the lack of development in the geographical periphery of the Lake Chad region, the Sahel and the Central African region and develop an integrated regional approach using African resources to find a solution that will benefit all Africans. We hope the discussions and the result of the international conference on Lake Chad shall open some new ways of addressing contemporary African problems while at the same time laying the foundation for future African peace, development, and integration.

Conclusion

I wish to end this address by pointing out to our critiques that at this stage the people of the Lake Chad basin countries are only looking at the technical and economic feasibilities of all ideas to restore the Lake Chad. The Lake Chad basin countries also want to concretize a new partnership with our fellow Africans in the Congo basin countries to create a giant transportation, energy and agricultural infrastructure for the central African and the Sahel regions to create jobs for millions of our youth and lay the basis for the future developments for socio- economic integration, peace and security for the African continent.

There is no solution to the shrinking of the Lake Chad that does not involve recharging the Lake with water from outside the basin. The issue in our opinion is which option will be the most effective and the most beneficial to both the donor and receiving basins.

Therefore, inter-basin water transfer is not an option; but a necessity, otherwise we are faced with the possibility of Lake Chad disappearing and that would be catastrophic for the entire Africa continent.

Poverty, misery, loss of hopes and the spread of violent extremism, human trafficking and, migration in the Lake Chad Basin, which I have sadly witnessed, has endured for too long. It must come to end. That is the task before all of us, who are gathered here today at this historic conference.

Long live sub-regional cooperation ! Long live African solidarity ! Je vous remercie pour votre amiable attention !

_______________________________________________________

Some coverage of written statement by Lawrence Freeman to the Abuja conference:

Best Way to Transform Lake Chad: AllAfrica.com

Sound the Alarm on Lake Chad: Voice of Africa-Afrique

Lake Chad: Survival dependent on regional cooperation – MNJTF

 

 

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.

original article