Tag Archives: Kenya

Securing Peace in South Sudan

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UPDATE:

The ICG has a good report on the simmering conflicts in Sudan and South Sudan:

The loss of South Sudan has had a profound effect on the NCP, and senior generals led a soft-coup within the party. They have outflanked more pragmatic elements in the NCP who seek a negotiated strategy. Encouraging progress in the post-separation arrangements between North and South was blocked. More importantly, hardliners in Khartoum — including SAF generals — immediately rejected a 28 June framework agreement, which includes a political and a security agreement for Southern Kordofan and Blue Nile, facilitated by former South African President Thabo Mbeki and Prime Minister Meles Zenawi of Ethiopia, and signed by Dr. Nafie Ali Nafie, Co-deputy NCP chairman and a presidential adviser. A few days later, President Omar al-Bashir publicly disavowed the agreement.

Check out the rest of the report here.

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Texas in Africa makes a compelling argument against arming South Sudan (against potential aggression from Khartoum). She basically outlines three reasons against arming Juba:

  1. Such a move would implicitly side with the SPLM against other domestic armed/opposition groups. The point of concern here is that having just won independence South Susan needs to have a negotiated settlement among all interested groups. The Dinka-dominated SPLM, in particular, ought to credibly share power and resources with the other ethnic/interest groups.
  2. Arming South Sudan would spark an arms race against Khartoum and might lead to a war sooner rather than later.
  3. The West can’t be sure of Juba’s future geopolitical leanings. The same weapons might be used in the future against say America and its allies – AfPak style.

For the most part I agree with Laura. And like her, I am on record as having concerns over the alarmist celebrity diplomacy/mediation effort that has been orchestrated in South Sudan, Darfur and eastern DRC by Prendergast and his buddy Clooney.

In addition, I think that the debate over whether or not to arm Juba forecloses on other options that might also help secure South Sudan. Make no mistake, South Sudan has real domestic and international security challenges that occasionally will require the use of military force. Addressing these security challenges will necessarily require some form of military aid to South Sudan.

Here’s my take:

  1. If South Sudan is to avoid the fate of Zaire/DRC, the pacification of the whole country must happen ASAP. While negotiating with rebel leaders is the best approach, the truth is that in some cases military force might be needed. To that end providing SPLM with the necessary capacity to win the fight against fringe groups that do not want to sit at the negotiating table may be a necessary evil. Yes, we should be cognizant of the fact that there are legitimate internal differences within South Sudan. But we should not legitimize any groups that might want to air those differences using the force of arms. Real democratic competition can only take place in a peaceful environment. Armed challengers to SPLA (the legitimate army of South Sudan) must bear the burden of proving the legitimacy of their grievances. South Sudan’s Savimbis must be deterred. Also, the international community must not be under any illusion that democracy will come soon to South Sudan. It will take a long time.
  2. The arms race between Khartoum and Juba is already underway. The question is not if it will happen but what it will lead to. Furthermore, after “losing” the South and its oil Bashir will be hard pressed for distractions from his domestic woes, especially if the economy of Sudan experiences a sharp decline. Starting a border war with South Sudan would be a welcome distraction. Although arming the SPLA is not the best way to deal with this possibility, an alternative would be to bring in the EAC through a regional defense pact. Uganda, in particular, would be interested in such a deal since it would help reduce its own defense budget. The involvement of Eritrea in South Sudan’s internal conflicts makes the need for a regional security arrangement even more urgent. Most recently the UN accused Eritrea of plotting to bomb an AU meeting in Addis Ababa Ethiopia.
  3. Concerns over Juba’s future geopolitical leanings can be allayed through continued military aid and professionalization. This can be achieved by getting the generals out of politics following the Kenyan model – a combination of awesome perks and professional training – and through greater political and economic integration of South Sudan into the East African Community.

War is nasty and should be the last option. That said, there is a need for genuine debate over how to achieve the twin goals of state monopoly of violence within South Sudan and the deterrence of a trigger-happy Khartoum.

If it were left to me I would quickly move to decouple the SPLM and SPLA as a condition for any military assistance. The last thing the region needs is yet another regime with a fused political and military leadership as is the case in Rwanda and Uganda.

quick hits

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Mau Mau veterans allowed to sue the UK government for atrocities committed during Kenya’s independence rebellion. The court might have just opened a pandora’s box for a whole lot of lawsuits.

Kim on the ongoing protests in Malawi. Kenya’s Daily Nation reports that at least 12 people have died in the protests over the last two days.

Pardhan on the limits of the NGO movement in global development.

Some cool graphics showing the cellular connection map of the US.

The US will, after all, be sending humanitarian aid to Al-Shabab controlled areas suffering the ongoing famine in Somalia. I hope this does not turn into a farcical repeat of Ethiopia in the 1980s. Back then food aid was used as a weapon of war by both government and Meles Zenawi’s rebel forces.

Lastly, remember Glencore? The firm that has been involved in not so clean mineral deals in the DRC? Well, they are now in South Sudan. I hope Juba doesn’t go this route. You can’t stay clean while playing with someone covered in mud.

The EAC needs a defense pact

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UPDATE: The Government of South Sudan has barred people of Somali origin from entering the country by road for “security reasons.” This wrongheaded move has created an awkward situation since not all people of Somali origin are from Somalia. In Kenya, for instance, a good chunk of the long haul transport sector is run by Kenyans of Somali origin.

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The Ugandan government recently went on a $1 billion shopping spree for six fighter jets. The deal, which almost broke the bank, made a significant dent on Uganda’s forex reserves. Many, while acknowledging the risks that might have motivated the purchase, have questioned the wisdom of spending that much money on six jets.

For those not in the know, the key motivation for Museveni’s purchase was a desire to project military power in the region for two key reasons:

Firstly, in order to create a market for Ugandan light industries – cooking oil, soap, etc – Kampala has had to project military power to help in the pacification of pockets of eastern DRC and northern Uganda/South Sudan. These markets are crucial because they create jobs in Uganda, allowing Museveni some room as he continues to preside over Uganda’s decline into a dysfunctional police state.

The second reason was Museveni’s desire for military grandeur in the region. Kigali and Khartoum are not in the best of terms with Kampala. Museveni is probably suspicious of a potential Odinga presidency in Kenya. For these reasons, the Ugandan military establishment – the real rulers of Uganda – might have wanted to ensure that non of their neighbors are in a position to bully them in the near future.

While most of Museveni’s militarism is inspired by a mentality from a bygone era, I find Kampala’s fears against Khartoum as legitimate grounds for a regional defense pact. It is an open secret that Khartoum will try as much as it can to destabilize the new government of South Sudan (and by extension the wider region). And they have a few options:

  • They can foment civil war within South Sudan – there are a lot of disgruntled armed bands within South Sudan who might decide to take their chances with Khartoum; Remember that even Riek Machar, the current vice president of South Sudan, formed a Khartoum-backed splinter group (SPLA-Nasir) that fought Garang’ back in the early 1990s.
  • They can use armed groups in the wider central African region – including Kony’s LRA and the plethora of roving bandits in eastern DRC to engineer insecurity in South Sudan. Khartoum has used the LRA against SPLM in the past.
  • They can invade in an all out war. This option is the riskiest because of its potential to generate international opprobrium. But remember that Ethiopia and its secessionist former province Eritrea fought a bloody war that generated nothing but “stern” warnings from the UN and the wider international community. The US even armed Ethiopia because it needed Addis Ababa to fight its war in Somalia.
  • Lastly, they can use non-conventional tactics. Terrorism is slowly growing in the wider east African region. So far Eritrea has been the biggest state sponsor of terror in the region – mostly aimed at Ethiopia in the Ogaden, Oromo land and Somalia. The involvement of Ugandan and Burundian troops in Somalia has created even more enemies for these groups. There is no reason to believe that Khartoum would not use these same groups to destabilize South Sudan, if for nothing then as a survival tactic for a beleaguered Bashir administration that will forever be blamed for having lost the South’s oil.

Needless to say, an unstable South Sudan is bad for the region. Period.

The proliferation of small arms is already a major problem in the areas bordering the Ilemi triangle and eastern Uganda. That instead of sticks pastoralists have to roam around with AK-47’s says it all. More conflict in South Sudan will only make a really bad situation even worse. The potential for proxy wars within the region would also be an unnecessary drain on limited resources. Because of various interests in Juba, an aggression by Khartoum against South Sudan will definitely be met with reaction in one form or another from Kenya, Ethiopia and Uganda.The conflict will definitely be regionalized. Lastly, Eritrea’s bad habit of supporting terrorists should not be permitted to catch on. Khartoum must know that if it tries this dirty tactic it will be met by more than just resolutions from the AU, IGAD or the UN.

Which is why I think that the EAC should have a robust defense pact. War should have to be a last resort. But that does not mean that the East African Community should not prepare for such an eventuality, if it arise.

That way, no single country will be burdened with the task of buying all the necessary hardware needed to keep Khartoum deterred.

Such a plan would face significant challenges, of course – key among them the fact that the region’s armies are non-professionalized. A functional defense pact would require near total civilian control of the army. Only Kenya and Tanzania come close to this in the EAC. Rwanda, South Sudan and Uganda are dominated by their respective armies. Burundi can’t even win against rebels within its territory and remains a militarized tin pot dictatorship. And Ethiopia, if it were to join, is still dominated by the remnants of the rebellion that ousted Mengistu.

These challenges aside, it might be worth a try. Such a pact might even help professionalize and de-politicize the officer corp in the region’s armed forces.

And the biggest winner if this were to happen is MORE regional trade.

The potato beats Maize, and most other Old World staples

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The price of maize in Kenya and the rest of east Africa has hit the roof. The wider Horn of Africa region is currently experiencing its worst drought in 60 years, with thousands of refugees streaming into Kenya from Somalia every week.

10 million people in the wider Horn of Africa region are at risk. Kenya is already planning on opening a third refugee camp (besides Dadaab and Kakuma) to accommodate Somali refugees fleeing the famine.

Africa is the last major world region yet to experience a green revolution. Subsistence agriculture, in my view, is the culprit. Governments in the region must seriously come up with plans to consolidate and commercialize agriculture asap.

Having upwards of 70% of people dependent on subsistence agriculture is simply not sustainable. Period. To paraphrase Adam Smith, specialization determines the extent of the market AND the complexity and size of the economy. [italicized text mine]

As the region mulls over its agriculture and food policy it might help to consult Nunn and Qian’s new paper in the latest QJE. The paper makes the argument that the potato beats most of the Old World staples as far as a balanced supply of nutrients and calories is concerned (p. 604-5).

Maize is unable to rival potatoes in terms of nutrients or calories. It produces significantly fewer calories per acre of land. Moreover, humans are unable to subsist on a diet that is too con- centrated in maize. Significant consumption of maize is associated with pellagra, a disease caused by niacin deficiency. The effects of pellagra include skin, digestion, mental disorders, and, if un- treated, eventual death. The disease was first observed in the 1730s in Italy and even today continues to affect poor populations with diets that rely too heavily on maize. A second adverse effect of a corn-heavy diet is protein deficiency (Messer 2000a).

Sweet potatoes are also nutritious and produce similar amounts of calories per acre of land as potatoes, but they differ from potatoes in two important ways. First, the archaeological evidence suggests that sweet potatoes, transported by Polynes- ians, reached the Old World long before the European discovery of the New World. For many countries in our sample, their impact would have been felt as early as 1000 (Hather and Kirch 1991). Second, a close substitute to the sweet potato, the yam, already existed in the Old World (O’Brien 2000). Yams are broadly simi- lar to sweet potatoes in terms of both nutritional content and the requirements for cultivation. Many regions that were suitable for cultivating sweet potatoes had already cultivated yams when the former were introduced.

The New World staple, cassava, which is also called manioc or yuca, also provides abundant calories. But its deficiency in pro- tein and other important nutrients causes it to be a less “complete” food than potatoes (Cock 1982). In addition, because cassava con- tains toxic cyanogenic glycosides (e.g., cyanide), failure to properly prepare cassava causes konzo, a neurological disease that causes paralysis.

Welcoming Southern Sudan to the EAC

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UPDATE: A related article on Uganda’s influence in the soon to be independent South Sudan can be found in the New York Times.

In three days the East African Community will celebrate the independence of its next newest member. Because of SPLM connections in Kenya, among other East African nations, the Southern Sudanese economy will most likely orient itself southwards.

Kenya’s Vision 2030 development plan, for instance, will link Southern Sudan to the Indian Ocean coast via a pipeline and railway line. Oil from South Sudan is currently exported through Port Sudan, 3,000 kilometres away. The planned link to Lamu would reduce that distance to 1,700 kilometres.

For Southern Sudan, economic ties with its southern neighbors will not only grant it access to much needed capital and skilled labor but also implicitly guarantee it security against its menacing neighbor to the north.

I doubt that Kenya, Ethiopia and Uganda will sit on their hands if the north decides to bomb local offices of Equity Bank, Ethiopian Airlines or Ugandan retail outlets in Juba (Remember the “Kenyan” tanks fiasco?). It also helps that IGAD has suddenly woken up to the security challenges posed by proxy wars among its member states. Kenya’s president, and current head of IGAD, recently chastised Eritrea for its ties with militant groups in the region.

IGAD will provide yet another forum for the region to put pressure on Khartoum to honor the CPA and not resort to war.

Several Kenyan companies have already set up shop in Juba. About 70,000 Kenyans live and work in Southern Sudan. According to the Business Daily:

Although several major Kenyan companies like Equity Bank, KCB, UAP Insurance and many small enterprises operate in South Sudan, the independence declaration on July 9 is expected to trigger another wave of corporate movement there.

Bidco Refineries that has a dealership in South Sudan, for example, is expected to consider having a physical presence there, said the company’s CEO Vimal Shah in an earlier interview. Kenyan manufacturers are, however, discouraged by low consumption levels and shortage of power, water and sewerage systems.

Co-operative Bank of Kenya is also expected to start setting up its banking infrastructure with a new venture that will be 30 per cent owned by the Government of South Sudan.

The new bank is expected to benefit from government business as it will process salaries of government employees and enjoy business arising from the government’s shareholding in the venture. The peaceful aftermath of the January 9 referendum that voted for secession from the North has helped to improve the country’s risk profile.

To the Swahili speakers out there

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Jaguar’s latest hit Kigeugeu is currently quite popular in the Swahili world. The song highlights the breakdown of trust and probity in Kenyan society – according to jaguar, everyone (his wife, his pastor, doctors, politicians, bureaucrats, etc) is janus-faced (kigeugeu).

Here is the official video of kigeugeu.

No ICC hearings in Kenya

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The ICC Pre-Trial Chamber Judge Ekaterina Trendafilova on Wednesday decided that the trial of suspects of the 2007-08 election violence in Kenya will not be held in the country.

Great move.

I am of the view that holding the hearings in Kenya would have created an unnecessary distraction from the important task of implementing Kenya’s new constitution. Already, the bigwigs accused of masterminding the violence that killed 1300 and displaced over 300,000 Kenyans have ethnicized their predicament. Holding the hearings in Kenya would have handed them an opportunity for a circus of ethnicity-charged rallies and demonstrations in Nairobi.

The ICC continues to be a source of debate in Kenya and across Africa. Many have faulted the court’s apparent bias against African leaders. Some have even called it a form of neocolonialism. While admitting that the court could use a little bit more tact [principally by acknowledging that it cannot be apolitical BECAUSE it is an international court SANS a world government] I still think that it is the best hope of ending impunity on the African continent – at least until African leaders internalize the fact that it is not cool to kill your own people.

Among the cases that should have been handled with a sensitivity to political realities include Sudan and Libya [and may be the LRA in Uganda]. Kenya’s Ocampo Six, the DRC’s Jean-Pierre Bemba and Cote d’Ivoire’s Laurent Gbagbo, on the other hand, should not raise questions of national sovereignty. Murderous dictators and their henchmen do not have internal affairs. In any case sovereignty for many an African country means nothing more than sovereignty for the president and his cronies.

Related posts here and here.

Inequality, Terrorism and Governance in Nigeria

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On June 17th Nigeria experienced its first ever suicide bomb attack. Boko Haram, a militant Islamic group that seeks the imposition of Sharia Law in all of northern Nigeria, claimed responsibility for the attack.

Although the group’s principal aim – at least according to its press releases – is the imposition of Sharia Law, its motivating factors include economic, social and governance issues that the Nigeria’s infamously kleptocratic elite have so far chosen to ignore. According to the Christian Science Monitor:

The “nationalization” of the Boko Haram problem will intensify pressure on elected leaders and security forces to deal decisively with the group and prevent further attacks. Nigerian officials have proposed solutions ranging from crackdowns to outreach programs to amnesty offers. The government has to some extent pursued all of these options. Yesterday former Kano State GovernorIbrahim Shekarauproposed a hybrid approach of sorts, which would rely on intelligence gathering to defeat the group while advancing employment programs to deal with social and political grievances in Northern society.

Whatever course the government pursues, the Boko Haram problem has already led several Northern leaders, including the newly elected Governor Kashim Shettima of Borno State, to speak quite bluntly about the North’s serious problems of economic stagnation and political isolation. Northerners have been voicing such concerns for some time, but perhaps now these concerns will reach a broader audience and stimulate a debate that goes beyond just the issue of Boko Haram.

Since the unification of Nigeria in 1914, the north has continued to lag the south in a number of socio-economic indicators. Years of military rule by northern generals did not make things any better. Most of the country’s oil revenue wound up in Swiss bank accounts and as investments in properties in European cities – even as regular folk in Kano, Katsina and Maiduguri, and in the wider northern region, continued to wallow in poverty.

In a sense Boko Haram and its ghastly attacks on civilians and government installations is as much a rejection of Western/Christian education (its name loosely translates to non-Islamic education is a sin) as it is an indictment of northern Nigeria’s leadership. Even by Nigerian standards, the north is doing very badly.

Recently, the governor of Nigeria’s Central Bank, Professor Chukwuma Soludo, chastised the northern elite by noting that the “high and persisting level of poverty in the country is a northern phenomenon.” Nearly all northern states in Nigeria have poverty rates higher than 60%, with some at 90%. Prof. Soludo further added that “if you look at all the indications of development, what constitutes today the North seems to be lagging far behind that the gaps seem to have even widened.”

It is hard to ignore the fact that regular southerners are inching ahead of their northern counterparts despite the generous revenue sharing arrangements among Nigeria’s 36 states.

What does this mean for national politics and governance in Nigeria?

Well, for one we know that the apparent north-south political divide in the last election was merely an artifact of presidential politics. Gubernatorial elections revealed that northern elites are also aboard Goodluck Jonathan’s gravy train.

Northern Nigerian elites are as much a problem in the north’s underdevelopment as the historical north-south divide.

In light of this, groups like Boko Haram show that the northern elite in Nigeria can no longer play the north-south card while keeping all the money from the national treasury to themselves. The men and women on the streets and in northern rural areas also want their cut.

I hope Abuja will not bury its head in the sand and pretend that Boko Haram is purely a security problem.

Kenya tried doing the same with the Mungiki group (with extra-judicial executions and all) without much success.

To Abuja I say: you must try to solve the problem you have, not the one you wish you had.

The new constitution and patronage politics in Kenya

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Former president Moi infamously liked warning voters that siasa mbaya maisha mbaya (bad politics leads to a bad life). This was code for vote for the opposition and no roads, no schools and no hospitals for you.

The framers of the new Kenyan constitution must have particularly disliked the power of the presidency in doling out development money and other patronage largesse. According to the Daily Monitor (Ugandan Daily):

“From 2012, it is likely to have the most limited presidency in Africa. The president has only about 10 per cent of the budget to dole out his patronage and fund his pet projects. The bulk of the rest are fixed; both by a constitutional cap, and a negotiation process.”

It will be interesting to see how the Kenyan presidency evolves following this revolutionary clipping of its powers. Already the executive has seen its powers watered down by an increasingly powerful parliament. To reinforce this trend, the judiciary has just seen the appointment of a card carrying reformer as Chief Justice. A powerful judiciary will provide a check not only on the presidency but on the wider executive branch as well – especially the now independent and obscenely corrupt Kenyan ministries.

Credit for the relatively more limited presidency also goes to President Kibaki.

Many forget that for a long period of time Kibaki governed with Moi’s constitutional powers. It is a relief that the limited presidency will now be both de facto and de jure, especially because there are way more Mois than Kibakis vying for the presidency in 2012.

A word of caution, though. Institutions are not automatic fixes to problems of governance. They are like incomplete contracts that have to be reinforced by numerous conventions and “gentleman agreements.” The Kenyan political elite may yet find ways to circumvent the spirit of the new constitution.


Failed states index out, the usual suspects top the list

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FP has the annual list of failed states. The Continent has a heavy presence on the list, with the usual suspects like Somalia, Sudan, Chad, Niger and Central African Republic, among the top failures. Also on the list are otherwise stable places like Uganda, Nigeria, Kenya, Ethiopia, among others.

The list is, in some sense, a reminder that several states out there are in dire straits. Insecurity and poverty continue to be a daily experience of far too many people. But it also raises methodological questions regarding the rankings. Some of the rankings certainly do not make any substantive sense and merely feed into alarmist stereotypes we already have of certain countries or regions of the world.

Methodological issues aside, the list is yet another reminder that despite the recent surge in Afro-optimism, a lot still needs to be done in order to improve the human condition in Africa, among other regions of the world.

The private sector is betting that Kenya will survive 2012

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As I occasionally care to point out, Kenya is making meaningful progress towards institutionalization of government. According to Joel D. Barkan, the Kenyan parliament is the strongest in Africa. Its judiciary has just undergone radical reforms which saw outsiders from civil society appointed to the country’s newly created Supreme Court. The country’s provincial administration (with pith helmets and all), in the past the key tool of executive repression and control, is in its twilight and will be replaced by a devolved system of counties. The counties will elect their own assemblies, governors and will be funded directly from the consolidated fund.

But many fear that all these reforms could go up in flames in next year’s general election. President Kibaki is term limited and will be stepping down. The frontrunner is Raila Odinga. But new electoral rules – requiring a majority of 50% +1 – complicates matters a bit. Ethnic arithmetic point to an inevitable second round which will be closely fought between pro and anti-Raila factions. Raila is perhaps the most divisive figure in Kenyan politics. Most people tend to either love him or hate him, with a passion.

The prospect of another closely fought election has got many observers worried. 2007-08 is still fresh on many people’s minds.

That is why it is encouraging that the private sector is sending signals that they have confidence in the political system. Multibillion Shilling projects in construction, manufacturing and retail such as this and this are signs that businesspeople do not see that much political risk moving into next year.

These investments are also a vote of confidence in the nation’s property rights regime. The outcome of next year’s general election being unclear, it is significant that businesspeople have faith that their investments will be protected regardless of the outcome.

Kenyan supreme court takes shape

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Judicial reform in Kenya made another big leap with the appointment of five individuals to the Supreme Court, the highest court in the land. Njoki Ndungu, Jackton Ojwang, Smokin Wanjala, Mohammed Ibrahim and Phillip Tunoi will join the Chief Justice, William Mutunga, and his assistant Nancy Baraza [Ms Baraza has since been replaced with Justice Kalpana Rawal] on the court.

Mutunga and Baraza will champion liberal views on the court – the Church and other conservative elements in Kenyan society unsuccessfully fought against their nomination to lead the Supreme Court. Messrs Tunoi and Ojuang will represent conservative views. Ndungu, Wanjala and Ibrahim are believed to be centrists.

The Supreme Court will provide the final word on constitutional matters as well as petitions involving presidential elections.

Although one can’t dismiss the possibility of political jockeying behind the scenes, the nomination of all seven justices was a coup for Kenya’s civil society. The Judicial Service Commission sought a clean break with Kenya’s muddy judicial history. None of the high-flying judges from the Moi and Kibaki eras got a nod to join the court.

Because this is Kenya, the JSC also made sure that the seven nominees reflected ethnic and regional balance. The ethnic balance in the nominations will ensure that parliament approves them.

Overall the court appears to have a progressive make up, albeit with a rightward tilt. This is good for Kenya.

In related news, the Kenyan parliament also approved the nomination of Keriako Tobiko to be the director of public prosecutions. Mr. Tobiko’s nomination was not without controversy, with civil society groups and a section of MPs accusing him of corruption and incompetence. In the end his nomination passed through.

The next big battle over judicial reforms will be over the appointment of the Attorney General.

Mastermind of 1998 bombings in Nairobi and Dar killed in Mogadishu

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The man behind the US embassy bombings in Nairobi and Dar es Salaam has been killed by Somali government forces at a roadblock in Mogadishu.

The Saturday Nation reports:

The mastermind of the 1998 twin bombings in Nairobi and Dar es Salaam Fazul Abdullah has been killed by Somalia government forces in Mogadishu.

Mr Abdullah, who holds a Kenyan passport, was wanted for the fatal bombing of US Embassies in Kenya and Tanzania that left at least 250 people dead and many injured.

He was reportedly killed by the Transitional Federal Government (TFG) forces on Wednesday at a roadblock.

The run-away terrorist, who was on the Federal Bureau of Investigations (FBI) watchlist of most wanted terrorists, is believed to have taken over the leadership of al Qaeda’s branch in Somalia, al-Shabaab from where he directed world attacks and African terror operations.

Confirming the reports, Kenya’s Police Commissioner Mathew Iteere said he was working with security officers in Somalia to get a comprehensive report.

selective unconditional convergence and growth

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Rodrik has a finding that reinforces the importance of politics and other macro conditions for economic development. He points out the existence of the paradox of unconditional convergence at the industry level but not at the national level. Rodrik stresses the importance of structural change that channels labor into the right industries. To this we should add political change that provides certainty and the requisite legal and physical infrastructure for economic growth.

Industries that thrive in poorly run places – like telecoms, banks and construction firms in Nigeria or Kenya’s retail giants – do so despite their governments. Non-existent roads, underdeveloped railway systems, sporadic and expensive electricity, bad schools, legal uncertainty and massive amounts of political risk all serve to limit the extent to which within-industry gains can be extended to other sectors.

The massive uptake of mobile telephones across Africa suggests that consumerism in SSA is alive and well, just under-exploited. Sectors like textiles, agriculture and construction remain largely untouched because of cheap imports and bad regulation.

Development is a complex enterprise that requires massive amounts of (implicit) coordination. There has to be a link between California’s Silicon Valley, Massachusets’ Route 128 and New York’s Wall Street, in addition to other growth clusters. In this game synergy is King. The provision of the legal, human capital and physical infrastructure to facilitate coordination of this scale is largely dependent on well-functioning governance structures.

Here’s Rodrik.

Poor countries have access to new technologies already developed elsewhere so should grow more rapidly than richer economies. This is one of the implications of standard growth models, as well as of common sense.

But in reality, there is no automatic tendency for economic “convergence” among countries at different levels of income. Convergence depends instead on a number of additional determinants. It is only those developing nations with the “appropriate” preconditions – for example, adequate schooling or physical investment – that manage to absorb new technologies sufficiently rapidly and therefore to catch up. In the language of growth economics, there is conditional convergence, but not unconditional convergence.

When we look at the same question at the level of individual industries rather than countries a surprising finding emerges. Suppose we focus on, say, plastics, furniture, or the auto industry in developing countries. Does productivity in these (and other) industries experience automatic convergence with the technological frontier? Or is convergence once again conditional, depending on a host of country-level variables?

The interesting (and I think new) finding is that productivity convergence appears to be unconditional at the industry level – at least for manufacturing industries and for the period since the 1980s.

Quick hits

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Texas in Africa’s review of Fighting for Darfur.

Blattman on economic growth and development.

The long arms of the Rwandan state?

The Zambian elections will be close. Last time round the opposition leader lost by a mere 3% (I will be there for the campaigns this summer).

And lastly, Kenya’s trillion-shilling proposed budget. High on development expenditure but could it crowd out the private sector?