News
tralac’s Daily News selection: 27 July 2015
The selection: Monday, 27 July
Deepening the US-Africa trade relationship: factsheet (The White House)
The United States plans to work with Congress to expand the Trade Africa Initiative to include new partners, including Cote d’Ivoire, Ghana, Mozambique, Senegal, and Zambia to identify activities that will improve compliance with WTO rules on trade facilitation, sanitary and phytosanitary measures, and technical barriers to trade; foster an improved business climate; and, address capacity issues that have constrained trade.
Remarks by President Obama at the Global Entrepreneurship Summit
Kenya-US: joint commitment to promote good governance and anti-corruption efforts in Kenya
Transcript of the Q&A by President’s Kenyatta, Obama
Global Entrepreneurship Summit: speech by President Kenyatta
Global Entrepreneurship Summit www
Kenya, US firms in talks on mega $26bn Lamu Port Southern Sudan-Ethiopia deal (M&G Africa)
Unleashing Africa’s entrepreneurs: improving the enabling environment for start-ups (Africapitalism Institute)
This report, launched on the sidelines of the 2015 Global Entrepreneurship Summit, is based on results from a series of surveys completed by African entrepreneurs in the Tony Elumelu Entrepreneurship Programme Network, which includes more than 20,000 members from all 54 countries in Africa. The results of the surveys were presented to various experts in banking, SME finance, business development, and economic policy, and further discussed in focus groups comprised of more than 100 entrepreneurs who participated in the surveys.
In many ways, the initial findings from the surveys, expert consultations and focus groups mirror previous insights gained from similar efforts. However, this report is unique in that the data is drawn from more than 5,000 surveys completed by small and emerging entrepreneurs from nearly every country in Africa. Likewise, the proposed solutions included in the report are derived primarily from entrepreneurs themselves with additional suggestions from experts on African entrepreneurship, investment, and business. Another unique aspect of this research is the way in which it will be used to effect tangible, positive changes in the enabling environment on behalf of Africa's entrepreneurs.
Elizabeth Littlefield: Kenya is exporting innovation on its way to becoming a ‘silicon savannah’ (Daily Nation)
Working in tandem, USaid and Opic have been able to accelerate and expand the one-two approach of providing technical assistance for government agencies in Africa, quickly followed by catalytic capital and risk management that brings in private investors. It has proven to be a highly effective formula in President Obama’s Power Africa initiative to expand energy access. The goal, of course, is to ensure that Africa does more than catch up with others. The goal is to give Africa every chance to lead. [The author is the president and CEO of the US Overseas Private Investment Corporation]
Starting today in Abuja: ECOWAS to review regional ICT strategy
The Economic Community of West African States is set to review its strategy on Information and Communication Technologies in light of significant developments in the sector and to ensure the continued development and integration of its Member States. The two-day workshop will feature participants from ICT related ministries and agencies from the 15 Member States as well as other stakeholders including regional groups and civil society organizations working in the area of Information and Communication Technology.
Starting today in Kigali: The Central Corridor Regional Clusters meeting is taking place in Kigali, 27-28 July. The mtg will review the Presidential Round Table resolutions and implementation plan for the Central Corridor Agency. [Updates from @MINEACRwanda]
This dialogue, 28-29 July, organised by ICTSD, with the collaboration of SAIIA, will be an opportunity to revisit several challenges facing Africa and Southern Africa in the context of new developments and data that have emerged in recent years. It will explore the implications of preferential trading schemes, the rise of south-south trade, the potential impact of mega-regionals, potential implications WTO Trade Facilitation Agreement, and international production networks. [Agenda]
Mozambique: Sugar industry protests at cheap imports (Agencia de Informacao de Mocambique)
Mozambican sugar producers on Thursday warned the Minister of Industry and Trade, Max Tonela, that the domestic market is being swamped by cheap, imported sugar, threatening the continued existence of the Mozambican industry. The warning came at a seminar as “Challenges of the Sugar Industry”, held in the sugar town of Xinavane, in Maputo province.
In Maputo, national producers find they are competing with Swazi sugar. In the central province of Manica, it is Zimbabwean sugar that is inundating the market. Malawian sugar is sold in Niassa and Tete provinces. On the coast, sugar from Asian countries such as India or Thailand is smuggled in, or dumped at prices below the costs of production, benefitting from the subsidies the governments of those countries pay to their sugar industries. The difference in price has become substantial - Mozambican sugar sells at an average price of 42 meticais (1.1 US dollars) a kilo, while the average price of the imported sugar is 38 meticais a kilo.
New World Bank boss for Southern Africa (NewsDay)
The World Bank has appointed a Chinese national, Guang Chen, as country director for seven Southern African countries including Zimbabwe. Chen, who began work on July 1 and is based in Pretoria, will oversee South Africa, Botswana, Namibia, Lesotho, Swaziland, Zambia, and Zimbabwe. Previously Zimbabwe, Zambia and Malawi were under the directorship of Kundhavi Kadiresan. Malawi now falls under the stewardship of Bella Bird who is also in charge of Somalia, Sudan and South Sudan. Prior to taking up this post, Chen served as the World Bank’s country director for Ethiopia, a position he held since 2011, where he oversaw the implementation of a portfolio of investment and trust fund projects valued at over $6 billion, as well as a robust programme of analytical works and technical assistance, the bank said in a statement.
UNCTAD opens first regional office in Africa to ‘Make Trade Work’ for the continent (UNCTAD)
Speaking at the inauguration, African Union Trade Commissioner Fatima Haram Acyl, said: “We would like UNCTAD to support us on Africa’s regional integration agenda, most especially the continental free trade area. We are already receiving significant support, but we need more.” Ms. Kategekwa, the newly appointed head of the office, said the office “will be central to delivering support to the African Union Commission and its member States in the process of negotiating the African Union CFTA”.
Inaugural meeting of AU's Strategic Task Force on the 2050 Africa’s Integrated Maritime Strategy: documentation
Reinforcing veterinary governance in Africa (IGAD)
The sixth VET-GOV Programme Steering Committee Meeting was held in Port Louis, Mauritius, on 22-23 July 2015. It was attended by the Steering Committee Members and other participants from AU-IBAR, OIE, FAO, EISMV, EAFF, Midzi agricultural Development Services Pty Ltd, BRENTEC VACCINES, RECs (COMESA, EAC, ECCAS, IGAD and SADC) and representatives from countries such as Botswana, Ghana, Kenya, Mauritius, and Zambia.
Ethiopia: Pathway to profitable women-owned enterprises (World Bank Blogs)
The Women’s Entrepreneurship Development Project is a $50 mill IDA investment lending operation designed to increase earnings and employment for women who own businesses in Ethiopia. It created the first ever women-entrepreneur focused line of credit in Ethiopia in 2013, and the demand has been staggering. Additionally, the project includes a cutting-edge entrepreneurship training program that equips Ethiopian women with business skills, as well as the ability to ‘think like an entrepreneur’. Top Five results of WEDP so far:
Wu Bin: 'Uplands of promise beckon for Chinese companies' (ecns)
It needs to be stressed that China's industrial parks in Africa are just in their infancy. They need time to develop, localize and blend into the local environment. Production has often been disrupted, mainly because different companies are at different stages of internationalization, and some are seriously hampered as a result of poor production and employment methods. Chinese companies that wish to build or invest in Africa should do thorough research before taking the plunge, and methodically look at areas in which they could invest. [The author is a senior researcher at the Chinese Academy of International Trade and Economic Cooperation]
Paris ministerial boosts UN climate talks, more national action plans released (Bridges, ICTSD)
Ministers and other high level officials from 46 countries made headway on the politically thorny issues that have stymied the UN negotiations to finalise the first-ever universal emissions-cutting deal during an informal meet in Paris, France held last week. Consensus emerged at the gathering that there should be a regular, five-year review of the collective effort to curb climate-warming greenhouse gases. National climate action plans will form the building blocks of new multilateral climate regime, set to replace the current Kyoto Protocol when it expires at the end of the decade, and geared towards keeping the world within a two degree Celsius rise from pre-industrial levels. How to track progress on, and scale up ambition where needed, has been a sticking point between parties. These plans have been steadily released by countries throughout the year and a flurry of new contributions were released over the past week.
Impacts on poverty of removing fuel import subsidies in Nigeria (World Bank)
Removing the subsidy on fuel is one of the most contentious socioeconomic policy issues in Nigeria today. In this paper, an economy-wide framework is used to identify the impact of removing the fuel subsidy on the Nigerian economy and investigate how alternative policies might be used to meet socioeconomic objectives related to fuel subsidies. The results show that although a reduction in the subsidy generally results in an increase in Nigeria’s gross domestic product, it can have a detrimental impact on household income, and in particular on poor households. Accompanying the subsidy reduction with income transfers aimed at poor households or domestic production of petroleum products can alleviate the negative impacts on household income.
AfDB hosts first APNODE AGM (AfDB)
The purpose of the meeting is to operationalise APNODE, a body whose mandate is to empower African members of parliament. The meeting will see APNODE adopt its constitution, elect an Executive Committee, and endorse a programme of action. Over 40 parliamentarians from 14 countries and six development partners are expected to attend the meeting. APNODE's core membership of parliamentarians is expected to grow to more than 20 African countries in the next few years. Founded in March 2014, APNODE focuses on enhancing capacity of parliamentarians to improve their oversight role, policy making, and national decision making by ensuring the processes are evidence-based.
Quota formula: data update (IMF)
The International Monetary and Financial Committee has called for agreement on a new quota formula as part of the 15th General Review of Quotas. The paper presents a limited set of illustrative simulations of possible reforms of the quota formula using the updated quota data. These simulations are purely illustrative and do not represent proposals.
SADC says it can end power shortages by 2019 (Mail and Guardian)
Deep-sea mining looms on horizon as UN body issues contracts (AP)
Nigeria: Ending rice importation (ThisDay)
West African bank to raise $500m to enhance regional integration (Shanghai Daily)
Shiro Armstrong: 'The race to a risky Trans-Pacific Partnership deal' (East Asia Forum)
Time for a new look at China’s SOEs (East Asia Forum)
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This post has been sourced on behalf of tralac and disseminated to enhance trade policy knowledge and debate. It is distributed to over 300 recipients across Africa and internationally, serving in the AU, RECS, national government trade departments and research and development agencies. Your feedback is most welcome. Any suggestions that our recipients might have of items for inclusion are most welcome. Richard Humphries (Email: This email address is being protected from spambots. You need JavaScript enabled to view it.; Twitter: @richardhumphri1)
