RIP Tabu Ley (1937-2013)

The Rhumba legend Tabu Ley has passed on. For Kenyans of my generation his songs are a reminder of a childhood marked by our parents’ great love of Congolese music (dominated by Tabu Ley and Franco Luambo Makiadi). Back then Kinshasa seemed like the most fun place on the planet (and probably is/was, as I have never been) and a bustling centre of cultural production. We didn’t know what the songs were about, but we knew the lyrics (or what we imagined them to be). I particularly grew to love “Muzina.”

 

The 2013 Resource Governance Index

The 2013 Resource Governance Index (published by the Revenue Watch Institute) is out. The top performing African countries include Ghana, Liberia?, Zambia and South Africa, with partial fulfillment. The bottom performing countries are Equatorial Guinea, Zimbabwe, South Sudan, the Democratic Republic of Congo and Mozambique.

The 58 nations included in the report “produce 85 percent of the world’s petroleum, 90 percent of diamonds and 80 percent of copper.” Ghana, where we are doing some evaluation  work on extractive sector transparency initiatives, is the best performing African country on the list. Image

More here. 

And in related news, The Africa Progress Report was released last week. The report details the massive loss of revenue by African governments through mismanagement – either by commission and/or omission – of extractive resources. For instance:

The report details five deals between 2010 and 2012, which cost the Democratic Republic of the Congo over US$1.3 billion in revenues through the undervaluation of assets and sale to foreign investors. This sum represents twice the annual health and education budgets of a country with one of the worst child mortality rates in the world and seven million pupils out of school.

The DRC alone is estimated to have 24 trillion dollars worth of untapped mineral resources.

The most bizarre case of resource management in Africa is Equatorial Guinea, a coutnry that is ranked 43rd on the global per capital GNI index but ranks 136th on the Human Development Index (2011).

Below is a map showing flows related to Africa’s vast resources:

RESOURCE-MAP

US Africa Policy, A Response

This is a guest post by friend of the blog Matthew Kustenbauder responding to a previous post.

On the question of human rights guiding America’s foreign policy in Africa, I agree with you; it shouldn’t be the first priority. The US needs a more pragmatic development diplomacy strategy, which would help African countries develop just as it would help American businesses thrive.

But I disagree with your characterization of Hillary’s position in this respect. Here’s Secretary Clinton’s own words:
“Last year I laid out America’s economic statecraft agenda in a series of speeches in Washington, Hong Kong, San Francisco, and New York. Since then, we’ve accelerated the process of updating our foreign policy priorities to take economics more into account. And that includes emphasizing the Asia Pacific region and elevating economics in relations with other regions, like in Latin America, for example, the destination for 40 percent of U.S. exports. We have ratified free trade agreements with Colombia and Panama. We are welcoming more of our neighbours, including Canada and Mexico, into the Trans-Pacific Partnership process. And we think it’s imperative that we continue to build an economic relationship that covers the entire hemisphere for the future.” 
“Africa is home to seven of the world’s ten fastest-growing economies. People are often surprised when I say that, but it’s true. And we are approaching Africa as a continent of opportunity and a place for growth, not just a site of endless conflict and crisis. All over the world, we are turning to economic solutions for strategic challenges; for example, using new financial tools to squeeze Iran’s nuclear program. And we’re stepping up commercial diplomacy, what I like to call jobs diplomacy, to boost U.S. exports, open new markets, lower the playing field – level the playing field for our businesses. And we’re building the diplomatic capacity to execute this agenda so that our diplomats are out there every single day promoting our economic agenda.” 

One of the problems, however, is that the pragmatic approach articulated by the Secretary doesn’t trickle down through the bureaucracy. This is especially true, ironically, of the State Department’s primary development diplomacy arm, USAID, which has a deeply entrenched culture of being anti-business. It’s a huge problem, and part of the reason why American foreign policy in Africa has been so slow to adjust to new economic realities.

Security drives US Africa Policy

Security drives US Africa Policy

Academics schooled in all the latest development orthodoxies but lacking the most basic understanding of economic or business history have flocked to USAID, so that the suggestion that American economic interests should guide development policy – making it a win-win for Africa and America – is anathema. It’s also why the Chinese are running all over the US in Africa.

As a prominent economic historian recently remarked in the Telegraph, “While we [Western governments] indulge our Victorian urge to give alms to the Africans, Beijing is pumping black gold.” And this is just it. As long as the US approaches Africa as a beggar needing to be saved and not as a business partner worthy of attention, both sides will continue to lose out.

In this respect, what Africa does not need is another “old Africa hand” steeped in conventional development ideas and old dogmas about what’s wrong with Africa and why the US must atone for the West’s sins. For this reason alone, John Kerry – not Susan Rice – probably stands a better chance, as the next Secretary of State, at putting American foreign policy toward Africa on a more solid footing.

- Matthew Kustenbauder is a PhD candidate in history at Harvard University.

Capital flight continues to plague poor nations

According to the Center for International Policy:

“Exactly 10 times the $100bn spent on aid and debt write-offs by rich countries is siphoned out of developing countries, with corporations responsible for 60 per cent of that figure through a web of trusts, nominee accounts and the flagrant mispricing of goods to escape tax………

Cracking down on tax havens and the evasion of taxes by some of the world’s biggest companies is seen as the ‘missing link’ in the poverty alleviation agenda.”

This got me thinking, perhaps naively, why it is that rulers (i.e. presidents and their entourage, most of whom fuel capital flight) in the Global South cannot secure their own property rights.

It makes sense that Mobutu and Co. (perhaps the worst pilferers ever) did not invest in Zaire (presently the moribund DRC) and so siphoned (or allowed allied firms to do so) billions abroad because the country lacked attractive investment options, mostly because of weak property rights. But it is also true that throughout his over three decades in power he and his buddies were perhaps the best placed Zaireans to secure their own property rights. Why didn’t they do it?

The quick answer might be that they had a very limited subjective time horizon and lived in constant fear of coups.

Most of the arguments out there stop here. Time horizon is king. Limited time horizons are bad for long-term investment. Yada yada yada.

But shouldn’t we also expect that after say 10 years in power a leader or elite group updates and realizes that may be they are there to stay, and start laying the foundation for local use of stolen wealth? Some certainly have – Kenya’s Moi and his henchmen come to mind.

The reasons for these leaders to invest locally are legion. The state of the roads, hospitals (think of say Ugandan elites who have to fly to Kenya or South Africa for medical care), insecurity (in Kenya MPs have been attacked by armed robbers), schools, etc etc in these places make it such that an average person in say Palo Alto enjoys a much higher standard of living than some of the wealthier people in the Global South.

What is the point of living in Kinshasa with billions in Europe, and with only one life to live? At what point does it make sense to use some of the money to improve the living standards (even in the most selfish way) in the place where one actually lives?

At the very least, don’t these guys mind the very dusty roads to their residences?

PS: The local use of wealth is, of course, relative. Even Chinese leaders, despite their massive domestic investments, still stash money abroad where property rights are more secure.

More on the DRC

CFR has a nice interview with Jason Stearns, DRC expert and author of Dancing in the Glory of Monsters. Jason in part notes that:

This crisis has brought about a shift in international donor policy for the region, in particular criticism and financial sanctions against Rwanda, which is something that’s new. However, using aid as leverage only makes sense in the context of a larger political process. Bashing Rwanda just for the sake of bashing Rwanda is not a solution. There needs to be a comprehensive political process into which that kind of pressure can be funneled and channeled. But there is no such process at the moment. What you have are talks mediated by a regional body—the International Conference for the Great Lakes Region (ICGLR)—that has the irony of being presided over by Uganda, which is itself playing a role in the conflict by supporting the M23. These talks have been largely limited to an evaluation of the March 23, 2009 peace deal, and the potential formation of a regional military force to deal with the FDLR and M23. But the causes of the crisis run much deeper and involve the failure of local governance, the weakness of the Congolese army, and the persistent meddling of neighboring countries in Congolese affairs.

This is precisely what informs my contention that there is too much focus on the international dimension of the conflict at the expense of the kinds of reforms that Congo needs in order to improve state capacity in Sub-Saharan Africa’s biggest country.

You can’t do business, implement a human rights regime, or even pretend to have democratic governance in a stateless environment (Unless, of course, you live in a state of nature in which everyone has capacity to defend themselves against aggression by others).

Some, including very serious and influential people, think that the solution to Congo’s weakness is to plea with its neighbors not to prey on it. I disagree. I believe that the best solution ought to be the strengthening of Congo so it can deter its neighbors. The international community just wasted a good opportunity to force a cornered Kabila to agree on a peace deal that is self-enforcing, i.e., that reflects the power balance in eastern Congo.

As things stand the continuation of the power vacuum in the Kivus will continue to attract rebels, foreign-sponsored or not.

More on this here.

Also here is a  glimpse of some of the actions by Kabila and his Kinshasa cabal which make it extremely unlikely that the situation in Congo will improve under his rule.

Kerry or Rice? The View From Africa

The window is closing fast on the chances of having an Africanist as US Secretary of State (Minister of Foreign Affairs). Republicans in the US Congress, human rights activists and a section of Africanists have come out in opposition to Ambassador Susan Rice. Republicans insist that she lied to Americans about the real masterminds of the attack on the US embassy in Libya that resulted in the deaths of four Americans, including the ambassador. The Africanists and human rights activists are not enthused by Ms Rice’s cozy relationship with the regimes of Paul Kagame of Rwanda and the late Meles Zenawi of Ethiopia. A section of African elites (the elitist sovereignty crowd) may also be wary of her support for interventionism on humanitarian grounds.

Source: Wikipedia

Source: Wikipedia

As things stand Pres. Obama might be forced to choose Sen. John Kerry over Ms Rice in order to avoid an unnecessary war with a section of Congress at a time when everyone and their dogs and cats should be worrying about the fiscal cliff.

John Kerry would not be a terrible choice. His past focus on drug trafficking in Latin America, free trade agreements and climate change would make him useful to Africa.

As I have written before, Africa is increasingly becoming a transit point for drugs from Asia and Latin America destined for the European market. Africa also needs more trade with the US beyond AGOA. And climate change will probably affect Africans the most since the vast majority of them depend on rain-fed agriculture and live under conditions that can least withstand natural disasters. But Kerry is not an Africa expert and has done little on the region beyond his support for the South Sudanese cause. This makes it hard to see how he will connect his global focus on these important issues to the African context.

Susan Rice on the other hand has studied Africa and has in the past shown a pragmatism that you want in the top US diplomat. Plus it helps that Ms Rice would have Obama’s ear as she is reported to be very close to the president. She has had successes at the UNSC, the highlight of which was the intervention in Libya to stop Gaddafi from butchering civilians in Benghazi. Rice is a smart straight-talker whose undiplomatic streaks can be a plus in a region full of under-achieving strongmen.

For a very long time Foggy Bottom has seen Africa through a humanitarian lens. Even Hillary Clinton, with all her awesomeness, has done little in new initiatives for Africa beyond human rights issues and a campaign that involved providing cameras for rape victims in eastern DRC. These are not unimportant issues. I am not saying that human rights catastrophes in Africa should be ignored. Just that this should not be a secretary of state’s pet project for the entire the region.

In my opinion Ms Rice’s biggest plus is that she gets one of Africa’s biggest challenges: state incapacity.

It would be nice to have a US secretary of state who takes state capacity development in the region as her pet project (and has the guts to at times subordinate democracy promotion to this project). Her praise of Kagame and Zenawi (no doubt both rabid and at times murderous autocrats) was centred around this very same idea (and to be honest, the ghosts of Rwanda circa 1994). Democracy promotion is a noble cause. But it must be done with a sober mind. The last thing you want is a procrustean approach to the promotion of rights, freedoms and liberties like we have seen in the past.

(Just for the record, I am pro-democracy and have criticized the likes of Kagame here and here, among other forums).

Anyone who reads the development reports side by side with the human rights reports from Rwanda and Ethiopia must be conflicted. I have talked to a senior opposition figure from Ethiopia who told me that she thinks the biggest challenge to fighting Meles Zenawi (at the time) is that “people see the dams and the roads.” It is hard to ignore revealed competence. I would hazard to guess that most people would rather live in autocratic Singapore than democratic Malawi. Yes, it is not an either/or argument with these regimes. All I am saying is that interventionism has to be constructive and not lead to the rolling back of hard fought gains against disease, illiteracy and poverty in these states.

As I opined following Obama’s reelection, I think that security will be at the top of the US Africa policy, of course dressed up in rhetoric about democracy and human rights. John Kerry will handle that on auto pilot. His focus will be on the Middle East and South Asia. It would have been better to have an Africanist at the helm who understands more about the continent and could sneak in a few policy agendas here and there that could make a difference on the ground. An aggressive focus on state capacity development could have been one of those policies.

This is a missed opportunity for Africa. For the first time in history Africa had a chance to have the number one American diplomat be a person who is an expert on a section of the region (Ms Rice wrote a thesis on Zimbabwe). Her defense of a couple of African autocrats aside, I think Ms Rice would have been better for Africa than John Kerry – who in all likelihood will focus on the Middle East and South Asia and continue Sub-Saharan Africa’s designation to the “humanitarianism column.”

Governing on the cheap in Africa

What is striking and surprising here is just how easy it can be to take over some African states, or large parts of them.  The post-independence historical record provides numerous examples where dozens or a few hundred armed men have done it.  This is generally just assumed to be the way things are in Africa, but when you think about it it is actually really puzzling.  Being the president in African countries (and many others besides) can be an incredibly lucrative deal.  Why don’t these rulers, in their own self-interest, take some of that money and use it to build crack units, presidential guards, or strong and loyal army divisions that would protect their hold on power against two dozen putchists, or a hundred or a couple thousand rebels armed with rifles and maybe some mortars?

I don’t think we have really good explanations for this in the relevant Pol Sci literatures.  Maybe the most promising hypothesis is that African presidents are so afraid of coups and attacks from inside their regime that they don’t want to support the construction of any organization that would be competent at using force.  Keeping the military weak  may lower their coup risk somewhat, but effectively trades coup risk off against higher risks of rural rebellion, insurgency, and foreign depredations such as we are seeing in Eastern Congo.

That is Jim Fearon writing over at Monkey Cage. More on this here.

Jim’s concern extends beyond security matters. Much of Africa remains under-governed in other regards as well – tax collection, garbage collection, provision of public goods like water and sanitation, roads, etc etc.

One key driver of this phenomenon, I believe, is the manner in which sectional elites (and those that they purportedly represent) are incorporated into the national system.

You see, many African national governments tend to have a president surrounded by a coalition of ethnic/sectional elites representing specific geographic regions or communities. This sort of incorporation of elites and the regions/social groups that they represent allows African central governments to govern on the cheap since as long as ethnic chief from region X can bring his people and sort of make them feel represented in the centre then the government has no reason to establish a strong presence in the chief’s homeland region (unless that region is economically viable).

A keen observer may ask why co-ethnics of these “ethnic chiefs” never demand for more from their supposed representatives at the centre.

The answer lies in the nature of citizenship in most of Africa. In many countries citizenship (and the associated claims on the state) tends to be mediated through one’s ethnic group. Talk of “our people” is common across much of the region. Even educated people have internalized the fact that you can only get jobs if a co-ethnic is in a high position in government. Everyone therefore invests in having a powerful ethnic representative at the centre that can effectively bargain with whoever is president (or in the core of the governing coalition) to get enough jobs for the boys and girls from back home.

But having such a person obviates the need for the central government to establish its presence at the local level since it is much cheaper to give the ethnic chief his own fiefdom in the name of a cabinet ministry. Barriers to entry allow for very long tenures for these ethnic chiefs thus breeding incompetence of the worst possible kind – like the case of Kenyan police officers accepting bribes from al-Shabab operatives to allow for passage of explosives destined for Nairobi.

From the president’s/government’s perspective, all you have to do to prevent an all out rebellion is be on good terms with enough of these ethnic chiefs or make it beneficial for them to live under your rule.

Seen this way, under-government is not just for the sake of coup-proofing but also an unintended consequence of the manner in which the masses and their representative elites are incorporated into the national government/state.

The best book out there that I have read on this subject is Catherine Boone’s Political Topographies of the African State. Boone is best read with Jeffrey Herbst’s States and Power in Africa, although Herbst’s conclusions are too deterministic for my liking.

Give Kagame a break!

I admire Richard Dowden, Director of the Royal African Society. That said, I disagree with the concluding paragraph in his latest post on the Rwandese military’s involvement in eastern Congo over at African Arguments:

“When a similar situation occurred in Sierra Leone, the Special Court for Sierra Leone went after the main supporters and funders of the rebel movement, in particular the President of Liberia, Charles Taylor. He was recently sentenced to 50 years in jail for his part in funding the murder and destruction of Sierra Leone. Yet the evidence of Rwanda’s support for warring groups in Congo is as strong – if not stronger – than the evidence that convicted Taylor. But because of the genocide in Rwanda and because both Uganda and Rwanda have good development programmes that western donors love to fund, they will not be criticised. Eastern Congo will continue to suffer.”

Following the damning UN report on Kigali’s adventures in the Congo and concerted campaigns by human rights activists, a number of donor countries, including the US, UK, Germany and the Netherlands, have (unwisely) stopped sending aid money to Kigali.

I am inclined to believe that there is truth to the claim that Rwanda supports the M23. But that does not necessary lead me to conclude that Rwanda should therefore be ostracized by the international community, for the following reasons:

  • Rwanda faces a real security threat from rebels in eastern Congo. Kagame is a dictator, no doubt about that (He is not your average tin pot dictator, but that’s beside the point for now). But he is also a purveyor of order in this rather volatile region of central Africa. The last thing eastern and central Africa needs is a slow motion civil war as is currently underway in Burundi. As long as Kinshasa’s incompetence continues to provide a safe launching base for rebels aiming to depose Kagame, Kigali will have no option but to (rightly so) intervene in eastern Congo. Let us not pretend otherwise.
  • The insurgencies in eastern Congo are a direct result of Kinshasa’s calculated inability to project power and control. In this instance, I think the Huntongian view that degree of government matters trumps concerns over the type of government. Eastern Congo needs order, period. Attempts at political negotiations with the numerous rebel factions must also be accompanied with strong military action to defeat all the rebel movements that refuse to come to the table. Kinshasa’s continued failure at either attempt leaves Rwanda no option but to step in in light of the observation above.

In a way the campaign to have Rwanda punished for its adventures in the DRC is emblematic of the problems associated with “mono issue activism” (Remember the danger of a single story?)

This is not a defense of Kagame’s human rights record. Everyone knows it is in the toilet. It is also not a blanket endorsement of foreign interventionism. What it is is an acknowledgement of the very complex context in which Kagame acted, and a consideration of the unintended consequences of cutting aid to Rwanda.

Rwanda’s involvement is a symptom of, and not the cause of the mess that is eastern DRC.

To those that want Kigali punished, I ask: What would it mean for Rwanda’s and the wider region’s security? What would it mean for economic growth and development for the 12 million Rwandese? What would it mean for infant and maternal mortality that have been on the decline (more rapidly than in most of the developing world) over the last decade?

Punishing Kagame (and the people of Rwanda) for Kinshasa’s ineptitude will not solve the problems in eastern Congo. That is just a fact.

UPDATE:

Please check out the comments section below for some insightful discussion on this subject. Despite the combativeness of some of the comments, they all raise some important points that I could not have incorporated in a short blog post.

Waiting for Kabila to be Charlemagne

Joseph Kabila was sworn in today as President of the DRC following disputed elections last month. The main opposition has vowed to not recognize him as the legitimate president and are planning street protests. Some analysts believe that there will be blood in the streets of Kinshasa and other major urban centers.

If you think for a moment about the size and diversity of the DRC it becomes clear how hard it will be for the incorrigibly inept enormously challenged Joseph Kabila to be the one to drag the DRC out of its 50 year tailspin.

 

Democratic Republic of Congo

The truth be told, Mr. Kabila would not do any better running a village mboga kiosk. He is not an autocrat in the mold of Kagame, Zenawi, Museveni or even Sankara. He is closer to Samuel Doe, Bokasa and Valentine Strasser, ineffectual at best and outright disastrous at worst.

 

$500 million, and for what?

Congolese go to the polls on Monday, the 28th of November. The result of the election is almost a foregone conclusion. Incumbent president Joseph Kabila looks set to win another term in office – another 5 years to continue the mismanagement of the DRC’s resources through shady mining deals.

According to the Economist:

Whatever the result, doubts about the election’s fairness will persist, not least because of a perception that the electoral commission’s head is a friend of the president. Logistical problems are also ubiquitous, despite an election budget of $500m or so. As well as 11 presidential candidates, 18,000 hopefuls, including several pop stars and a rebel leader accused of ordering the rape of more than 300 women in eastern Congo last year, are contesting 500 seats in parliament. Some of the ballots will exceed 50 pages, which will surely daunt even the minority of voters who can read.

(Read the whole piece here)

If I were in charge of the promotion of democracy in the DRC I would push for a system of staggered elections, both nationally and at the provincial level. I would also try and broker a deal to create a government of national unity in Kinshasa (representing the provinces) and competitive elections at the provincial level. In my view, the longer that everyone keeps pretending that the Congo – with its 70m+ and landmass the size of Western Europe – can be run by a single central government in Kinshasa – the longer it will take to put the country on the path of institutional development that will be conducive to long run economic growth.

Centralized state development definitely makes sense for smaller African states (think of the infamous trio of the Mano River basin). But if you are the DRC, capacity development in the capital must necessarily be accompanied by the strengthening of institutions at the provincial level – with more emphasis, in my view, on the latter than the former.

The number one problem facing the DRC right now is woeful state incapacity. It is doubtful that elections alone will force politicians’ hand in the right direction.

For more on the elections follow Congo Siasa.