Category Archives: African Economies

subsidiary of british firm suspends ore imports from congo

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It is not a secret that the war in eastern DRC is more than anything else economic. The trade in charcoal and a litany of minerals has forever been blamed for the conflict that has killed, maimed or displaced millions of Congolese. It is therefore encouraging to learn that Thailand Smelting and Refining Co. (Thaisarco), a subsidiary of British metals giant Amalgamated Metals Corporation (AMC), has suspended the import of tin ore (cassiterite) from the Congo because it believes that the trade in the mineral might be financing the Congolese civil conflict.

The move has however been criticised by Global Witness, an advocacy group.Global Witness argues that if AMC is indeed concerned about the financing of the conflict then instead of cutting and running it should contribute in the setting up of a proper industry-wide system of checks on all sources of metals. The cessation of imports, argues Global Witness, does nothing for artisanal miners in the Congo who depend on trade in metal ore for their livelihood. It also does nothing to stop the trade in ‘blood’ metals in general from the Congo.

Citing a 2002 UN Report that accused AMC and its subsidiary (among other firms) of breaching OECD guidelines for Multinational Enterprises, Global Witness said that AMC and Thaisarco had always known that their activities in the Congo were funding the conflict there.

AMC and Thaisarco cited “the threat of misleading and bad publicity” as their main reason for halting their trading operations in the DRC. Kudos to Global Witness for their campaign against militarized exploitation of minerals in the DRC. I hope this sets a precedent for the many foreign firms that continue to profit by trafficking in minerals from the Congo – at the expense of millions of innocent women and children… and men.

it is time more districts translated into wider taxation

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President Kibaki has created about 180 districts over the last 6 years. The logic behind the creation of the many districts, according to the president and his men, has been that there is a need to bring government services closer to the people. One obvious question then is what government services? Are we talking about registration of births and deaths, motor vehicle registration, licensing, issuance of title deeds, judicial services and all that stuff? Because these services are still mostly highly centralised, requiring one to travel either to Nairobi or to far off provincial headquarters. Critics of the new districts have oftentimes highlighted their high cost and non-viability (The president thinks such critics are “backward”).

It was therefore welcome news when yesterday the president announced the halting of the creation of new districts – citing financial reasons. For some reason this fact (high costs) never crossed the minds of the president’s advisers somewhere between new district # 1 and # 180.

And now that we have over 180 new and expensive districts – most of them dished out for political reasons and “people’s demands” – I think it is time we require the new districts, being local governments, to do what governments do: TAX EVERYONE. Each district should be required to raise a percentage of its expenses from local populations (it is quite unfair for Nairobians to pay for non-viable districts in remote parts of the country created purely for political reasons). This minimum requirement need not be uniform across the board – people in West Pokot need districts too, you know – but should be geared towards making local people bear some responsibility for their local governments. With local funding for local districts, Kenyans may be persuaded to care more about who gets appointed to be DC and what their DC and the many district committees do. And to add to the positives, the DC’s will have an incentive to promote local economic activity to generate revenues.

Eventually, one hopes, this idea of local taxation for local services will make Kenyans demand that they get to elect their local DC’s instead of having State House appoint them.

This may sound like a pipe-dream but there is hope. Given parliament’s increasing assertiveness and power-grab from the executive and judiciary it is conceivable that such an idea can successfully be passed into law by the august House. Does someone know a crafty MP with nothing to lose who can champion this cause?

ps: I never thought I’d ever say this but I am actually missing the Standard online edition. What happened to them? Can’t they afford a website?

more reasons why Mang’eli should go home

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Related to the previous post, here is Jaindi Kisero’s piece in the Daily Nation shedding some light on the validity of the sacking of Kioko Mang’eli, the former boss of the Kenya Bureau of Standards.

And in other news, where is the East African Standard? I keep being redirected to this website that says that the eastandard.net account has expired and is awaiting renewal or deletion. Really? Like seriously?

gettleman does it again

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Do not get me wrong. Jeffrey Gettleman’s story on the famine in Kenya is as important as any other article on a humanitarian disaster. It is his delivery that sucks. In typical Gettleman fashion (more about his style here and here), the article is full of sensationalism that does not belong in the Times. He goes way out of his way to depict all Kenyans as hapless, passive victims of the weather and their ineffectual government.

“The aid community here has been predicting a disaster for months, saying that the rains had failed once again and that this could be the worst drought in more than a decade. But the Kenyan government, paralyzed by infighting and political maneuvering, seemed to shrug off the warnings.”

Lines such as these are meant to convey the message that ordinary Kenyans – meteorologists and even some civil society organizations or even the Kenyan media – have had nothing to say about the famine that is affecting the country. It is the do-gooder foreigners who know it all that have warned the intransigent government. It is the same foreigners who are expected to send in food aid to help the dying Kenyans. Nothing is ever said about local initiatives to mitigate the disaster. That would give agency to Kenyans, and nobody really wants to read about that.

Instead we are told that “Turkana men are abandoning families, simply vanishing into the desert because they cannot face the shame of being unable to feed their children.” And the story would not be complete without the mention of tribal conflict. So even though it is obvious, and quite rational, that in times of acute scarcity there would be conflict over resources – and even Mr. Gettleman acknowledges this – there is still subliminal hints to an irrational ethnic conflict between the Turkana and the Pokot. Again, nobody wants to hear about rational people fighting over resources. No, being in northern Kenya is like “stepping back in time.” The place is full of starving people who engage in irrational tribal wars. This is the much more sexier story.

May be I am holding Gettleman to too high a standard. After all he is an American lacking enough knowledge of local conditions to appreciate the nuances involved even in the midst of such disasters. But he is the Times’ bureau chief and because of that people take what he writes seriously. There must be a more humane way of telling the world about the problems afflicting the inhabitants of the arid and semi arid parts of Kenya.

ruto is a disappointment over mau

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Leaders are meant to lead – to set the agenda and make people believe that what is good for them is exactly what they need. On this count, Agriculture minister William Ruto has failed as a leader. On the issue of Mau Forest, he is increasingly sounding like a mad populist out to gain political mileage at the expense of millions of Kenyans – including those that he is purportedly protecting.

That deforestation in the Mau is causing the drying up of vital water sources – 12 rivers included – is no longer contested, not even by Mr. Ruto himself. I therefore do not understand why he is still against the eviction of those who illegally acquired land in the forest. The government has already agreed to compensate small holders (with title deeds) who were cheated into buying land in the forest. But wealthy Kenyans who acquired land in the Mau due to their connections to the Moi Administration should not be given a cent. In any case they should be investigated.

I say it is time that Mr. Ruto acted as a leader and made the case to his constituents that saving the Mau is in their best interest. This is the least he can do if he really aspires to be seen as a respectable national leader rather than an over-glorified tribal chief.

another african big man won’t leave

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Mamadou Tandja, the president of Niger, yesterday announced that he will ignore a court order against a referendum on whether to extend his rule or not after his term expires later this year, adding that he will continue to rule by decree. Mr. Tandja has been in office since 1999 and is constitutionally barred from running for a third term. His second term ends later this year. The country’s parliament was dissolved in May. It is unclear whether parliamentary elections scheduled for August 2oth will be held.

Niger, a nation of 15 million, is one of the poorest countries in the world. Its per capita income is US $700 despite being a major uranium exporter. Most Nigeriens depend on subsistence agriculture for their livelihood in this mostly desert country. Ever shortening drought cycles, continued desertification in the Sahel and a rapid population growth have conspired to retard meaningful economic development.

It’s weird how things never change. We have heard this story countless times in many an African country. President Tandja belongs to the crazy bunch running the Continent who see themselves as irreplaceable demiurges entitled to rule for life. What amount of hubris would make a scarcely educated 71 year old man think that there is no one else in a country of 15 million that can fill his shoes? And given the dismal state of Niger’s economy it can’t be that hard to outdoor Mr. Tandja. He should simply go home.

some good news for Zimbabwe

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The BBC reports that the World Bank has decided to resume aid to Zimbabwe – the Bank has not lent the cash-strapped African country any money since 2000. Sad though is the fact that most of the money will probably go to clearance of Zim’s arrears to the WB and the African Development Bank (Zimbabwe owes $1 b). But the WB director, Toga Gayewea McIntosh, who is in charge of the group of African countries that include Zimbabwe promised that more grants will follow soon.

According to the Finance Ministry, Zimbabwe needs $8.3 billion for full recovery to be achieved any time soon after years of ruinous economic policies under the strongman Robert Mugabe.

giving a voice to the voiceless

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The New York Times’ Nicholas Kristof has a piece on the plight of women in rural Africa. The story is as heartwrenching as it is evocative. Nearly one in ten women die during childbirth in rural Africa. Getting pregnant is almost a death sentence for these women. Poor nutrition, poverty (which forces pregnant women to engage in hard labor that further endanger their lives) and regressive cultural practices – like genital mutilation – make childbearing a most dangerous activity.

A while back I wrote a piece on this same issue with figures from IRIN. I am glad and encouraged that Kristof is shining an infinitely bigger spotlight on this issue. The world needs to know more about the voiceless poor in rural Africa and the rest of the Global South who are condemned to live short and brutish lives dictated by their dire economic situations and formidable structural factors (poor governance, gender bias, dependency etc etc) that forever condemn them to live like it is still 20,000 BC.

As Kristof notes in his piece, it does not take much to make a difference. Four dollars can save a woman’s life. But such measures should be seen as band aid. The real cure for the healthcare mess that persists in rural Africa is education of women (and men). Statistics have proven again and again that educated women have fewer, healthier children. Education also serves to delay the onset of childbearing, therefore avoding the dangers associated with teenage motherhood.

The right to life is the most sacred human right. The poor women of the Global South deserve better than they are getting from both their governments and the international community at large.

the summer volunteer season is here again…

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It is summer time and that means that thousands of American college students have their eyes set on trips to random third world countries as summer volunteers. They will work in all manner of projects: eye clinics (I did this once – at Enyiresi Hospital in Ghana – and loved it), rural communities empowerment programs, micro-finance etc etc. Some will do it for the cultural experience, some merely to pad their resumes and some because they actually care about the plight of the poor in the world.

Whatever their motivations, these college students will have some impact on the lives of the poor people that they will be spending the next three months helping. Having participated in a summer project myself, I am reminded of the positives (and negatives) of such undertakings. Such volunteers help save lives – through immunization programs or teaching people on preventative healthcare methods or giving out material aid. They also help broaden the horizon of the villagers they work with, making them know about worlds far away from wherever these people live.

But there is a flip-side. First of all, such ad hoc summer projects are not sustainable and because of that may create dependency and an over-reliance on future summer volunteers. Second, having volunteers parachute in as “saviors from the West” only usurps the agency of locals and helps reproduce the notion that the poor of the world cannot help themselves.

Either way, I think the whole summer volunteer thing has more positives than negatives. It gives students and the people they visit and work with a chance to experience different cultures and perspectives on issues. Through these interactions some volunteers get touched and decide to be involved in the development business or go back home to influence government policy with regard to development assistance. And most importantly, some villagers at the end of it all may feel challenged and/or empowered to make a difference in their own lives instead of waiting for the next summer’s volunteers.

zuma may turn out to be ok

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Jacob Zuma, the man poised to be South Africa’s next president, has been getting a lot of bad press. This much married man has had to deal with pages after pages of news concerning his corrupt past and his adventures with the South African justice system. The truth be said, he is not a clean man. Where there is smoke, there is fire, and in Zuma’s case there is just way too much smoke for there not to be a flame.

That said, the fact is that he is going to be president of South Africa and by virtue of that become the most powerful man in Africa. I would like to join the few editorial pages out there who in the past week have indicated possible positives of a Zuma presidency. I am not convinced the man is as blindly populist as he wants the South African masses to believe. He is a calculating politician. He knows that he needs a viable South African economy just as much as he needs the masses to sing and dance in his name. It is no coincidence that he matches every populist statement of his with a reminder that he does not intend to radically change South Africa.

But I am not concerned with South African domestic issues. My concern is what a Zuma presidency will mean for the Southern African region and the Continent. And on this front I am hopeful. Eager to please the international community, I think that Zuma might just be the man to bring real change to Zimbabwe and some sort of sanity to the African Union. His predecessor, Thabo Mbeki, was too professorial to deal with the half-wits that run most of the Continent. Most of them did not take his (Mbeki’s) calls for an African Renaissance seriously. But Zuma, being a man of the people, might just be the one that charms them into seeing the light and actually changing the way they run their countries.Wishful thinking? Perhaps.

is it time we had fresh elections?

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So the weekend retreat in Tsavo of the big-wigs in Kenya’s coalition government failed. Instead of addressing real issues (reforms, corruption and Kenya’s land problem), the discussions veered into side-shows – like the Premier’s salary and the opening remarks of the president and his prime minister.

I am beginning to think that the coalition government has outlived its purpose. I am beginning to be persuaded by those who have been calling for fresh elections – most notably the clergy. The coalition government, as currently constituted, is dysfunctional at best. The prime minister and the president (and their respective camps) seem to be pulling in opposite directions on just about every issue. May be it’s time we went to the polls and gave a mandate to a single party instead of having the collective tyranny of ODM and PNU. I think we have a better chance with just one of these parties in power. May be then the government can act more responsibly on reforms instead of having cabinet ministers constantly pointing fingers at each other and blaming the other party.

On a different note, I hear rumours that Martha Karua might quit the government if she is not given more space in the Justice ministry. I hope she gets what she wants, i.e. more space to implement her brand of reforms in the judiciary. Hate her or love her, I think Martha Karua is one of the few Kenyan leaders who speak their mind and who have the balls to implement what they believe in. I remember reading somewhere that the problem with African politics is the lack of ideology. Many leaders act like blind men in the dark, constantly wandering around without any direction.

African social organization and politics have mostly been driven by contingency rather than ideology. The only country that ever produced a true ideologue on the continent was Tanzania. And for all its faults, Ujamaa helped Tanzania a great deal. God knows where the country would be had it not been for the commodity crises of the seventies and mandated structural adjustment programs of the eighties (yeah Gordon Brown, down with the Washington Consensus). I think Martha Karua may be Kenya’s real ideologue, and for that she is increasingly becoming one of my favorite politicians, even though she and I may not see eye to eye on her actual policies.

The AIDS-TB killer monster

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March 24th, is world TB Day. But this year’s commemoration was tainted by the bad news about the drug resistance strains of TB whose incidence seems to be on the rise. IRIN News (an excellenet news source on matters third world) is reporting that the incidence of the drug resistance varieties of TB are on the rise. The WHO, according to the IRIN report, blames this on “non-existent labs, lack of inspection control and diagnostics, and poor treatment adherence.” African countries are the worst affected (surprise??). Healthcare expenditure still remains low in most of these countries and the very high incidence of HIV/AIDS on the Continent only serves to complicate matters. TB fatality rate (for those with drug resistance strains) is as high as 90% for people with HIV/AIDS.

Disease treatment/control is still last-century in most of Africa. For most Africans, the choice is sometimes between putting a meal on the table or getting treatment. The other contributing factor to the many epidemics that continue to rock the continent is ignorance. Indeed drug resistant varieties of TB are oftentimes a result of people not taking their daily doses as required.

Matters are not all gloomy though. Former US president Bush’s gift of PEPFAR continues to save lives in Africa and other places. But money from foreigners is not the answer but mere band aid. The strong correlation between ignorance and poverty and disease burden suggests that education and economic growth could go a long way in terms of disease control on the Continent.I only wish that African governments took disease control, education and the economic well-being of their populations more seriously.

can zimbabwe bounce back?

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Morgan Tsvangirai (a man who many believe ought to be Zimbabwe’s president) was sworn in Thursday as Zimbabwe’s Prime Minister. This marks the beginning of a compromise power sharing arrangement in Zimbabwe which forces the aging Robert Mugabe, 85 to share power with Tsvangirai’s MDC. Tendayi Biti, another MDC stalwart, will be Finance Minister.

This raises the question of whether Zimbabwe can bounce back  some time soon. Millions have fled the country. Millions depend on food aid. 3000 have died of cholera and many more remain at risk and the economy has virtually collapsed, with 9 in 10 people out of employment. I am a proud owner of a 100 billion Zimbabwe note. In short, a lot needs to be done and MDC will have it mostly uphill for a long time to come. But will they succeed? If the recent developments in Kenya are any indicators, Zimababweans should be warned that things will get worse before they get better. The same people who while in opposition were screaming about corruption have been coopted into the same shady deals they once fought against (the maize, oil and tourism scandals are testament to this). And the lack of a credible opposition has given the government some immunity against censure in parliament. Zimbabwe may find itself in the same position, unless they actively avoid it.

May be Tsvangirai and his MDC will do things differently. I wish them well.

revisiting the conflict in Darfur

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Today I sat in at a conference on Darfur at my school. The conference was well attended, the keynote speaker being Luis Moreno-Ocampo, the prosecutor of the International Criminal Court.  There were the usual talking heads from the UN and a myriad NGOs that are involved in one way or the other with the effort to stop the barbarous madness that is going on in Darfur. I was impressed by the fact that even though the global powers that be do not seem interested in providing any meaningful solutions to the conflict there still are people out there who are determined to do the little that they can to try and make a difference.

But I was also disappointed. Nearly all the panelists were foreigners, let’s say non-AU citizens. Now I do not mean to discriminate here. Darfur is a major problem and I know that Darfuris will be the first to tell you that all they want is an end to their hell-on-earth, regardless of where help to that end comes from. But even after fully appreciating this fact, I was still a bit unsettled by the fact that what I was seeing there is what is prevalent throughout the continent, not just with cases of armed conflict, but in other areas as well – poverty reduction, HIV and AIDS, malaria and what not. It is always the foreigners who seem to care more about the plight of the poor Africans than the Africans themselves (and their leaders of course). Why was there only one panelist from Sudan? Aren’t there Sudanese experts on Darfur, people who oppose al-Bashir’s genocidal policies and who can articulate their concerns at such conferences?

darfur_aerialForgive my digression. Anyway, the fact is that more than two million human beings have been displaced from their homes and their lives disrupted in unimaginable ways. More than 200,000 are dead. And nobody in Khartoum seems to give a rat’s behind.

Meanwhile the AU (the regional body that should be having Darfur, Somali and the DRC at the top of the agenda) just elected that clown, Muamar Gaddafi, as its president. The rather colourful Libyan dictator followed his election with a quick reminder of the true nature of African leaders – by saying that democracy was to blame for the crises in Africa. He is so full of horse manure. How is it not clear to people like this man that self-determination is the way of the future? How does he not get the fact that the days for rulers like him (and Mugabe, Al-Bashir, Obiang, and the whole brood of failures) on the continent of Africa are numbered?

time to start telling it like it is in the DRC

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So the UN just accused the DRC and Rwanda of directly helping the rebels in the conflict in Eastern Congo which continues to kill, main or dislocate hundreds of thousands of people. I say it is about time. This has been the Great Lakes Region’s worst kept secret. I could have told the UN this months ago. I wonder what took them so long to see this for what it is and say so in the media. But better late than never, now that the cat is out of the bag it is time for someone to take some action.

(CAUTION: I know this is a gross simplification of the conflict, I just wanted to highlight the gist of it)

I must say that I am deeply disappointed in Paul Kagame. Why did he have to get bogged down in this mess again? Why not concentrate on getting aid money and making Rwanda the IT capital of the continent? Why get involved with the criminal Nkunda? Is the coltan that attractive?

As for Kabila, I have no regrets. This is a man who has failed to show leadership or the guts to run a country as large as the DRC. He seems to still believe in the outdated notion that if you control the capital you control the country. Kabila, wake up and smell the coffee – or whatever it is you drink when you wake up. Does Chad, Sudan and Mauritania ring a bell. These situations should inform you on what happens when you allow rebel activities within your territory. Sudan and Chad may have survived but their governments continue to face existential threats as long as the rebels are allowed to exist. So grow a pair Kabila and take the fight to Nkunda, and if you can’t own up to your weakness and negotiate for some decentralisation arrangement. Your country is too big to be as centralised as it is anyway.

I am pleased by the UN’s move. It now remains to be seen what it will do about its claim. Sanctions on both governments? Not likely. Perhaps a slap on the wrist and a threat of cessation of aid. (Don’t you just hate the bullshitting that goes on in New York?) In the meantime Congolese women and children will continue to be killed, raped and denied a normal livelihood as Kabila, Nkunda, Kagame and all the other clowns involved in this mess continue in their little dance of guns, dollars and coltan.