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tralac’s Daily News Selection
The selection: Monday, 18 April 2016
Today, in Gaborone: President Jacob Zuma visits Botswana, then Namibia and Swaziland, on SACU issues
Today, in Mauritius: seminar on WTO Agreement on Subsidies and Countervailing Measures
Today, in New York: Special High-Level Meeting of ECOSOC with the Bretton Woods institutions, WTO, UNCTAD
Tomorrow, in London: tralac's Trudi Hartzenberg, and others, participate in the inquiry into the UK’s Africa Free Trade initiative
On Thursday, in Geneva: Aid for eTrade consultation on a draft call for action (UNCTAD)
UNCTAD is taking the lead in exploring possibilities for launching a new global initiative called Aid for eTrade, aimed at unlocking the potential of e-commerce in developing countries. Aid for eTrade is intended to be a multi-stakeholder initiative to improve the ability of developing countries and countries with economies in transition to use and benefit from e-commerce. It will be a demand-driven mechanism in which leading development partners cooperate with the private sector to pool capabilities and resources. The goals of the initiative are as follows: [Download the draft]
The World Bank, IMF Spring Meetings concluded over the weekend. A guide to some key outcomes:
African Consultative Group Meeting: statement by Abdoulaye Bio-Tchané, Christine Lagarde (IMF)
We concurred that the decline in commodity prices is likely to be long lasting, as the causes seem structural rather than temporary—including the ongoing rebalancing of demand in China and, in the case of oil, technological innovation that has enhanced supply. We also recognized that non-economic shocks such as weather- and security-related challenges, are posing downside risks to Africa’s economic prospects.”
Related: Drought, insecurity add to commodity woes – African Ministers, AfDB Governors from Rwanda and Nigeria paint realistic – and optimistic – picture of Africa
Development Committee: communiqué (IMF)
We are encouraged by progress on the Forward Look exercise on the medium to long term future of the WBG, which aims to ensure that the Group remains a strong global development institution in an evolving development landscape; and we expect a final report by the Annual Meetings. The Board and management shall develop proposals to ensure that the WBG remains responsive to the diverse needs of all its clients; leads on global issues and knowledge; makes the “billions to trillions” agenda a reality; partners effectively with the private sector; becomes a more effective and agile development partner; and adapts its business model accordingly.
Global Infrastructure Forum: inaugural meeting
Mandated by the Addis Ababa Action Agenda on financing for development to help bridge the infrastructure gap, which is key to achieving the Sustainable Development Goals (SDGs), the Forum aims to improve alignment and coordination among the partners, while respecting the diversity of approaches, policies, and procedures among them, to facilitate the development of sustainable, accessible, and resilient infrastructure for developing countries. The Forum will be held annually, with responsibility for hosting rotating among the MDBs. [Akinwumi Adesina at the GIF: 'The future of Africa lies inside Africa']
International Monetary and Financial Committee: communiqué
We welcome the IMF’s growing engagement with small states. We welcome proposed work on other challenges facing the membership—within the IMF’s mandate and where they are macro-critical—including migration, income inequality, gender inequality, financial inclusion, corruption, climate change, and technological change, including by leveraging the expertise of other institutions. To support countries managing spillovers from non-economic sources, such as large refugee flows and global epidemics, the IMF should be prepared to contribute within its mandate, including to global initiatives. We look forward to a review of the Guidance Note on The Role of the Fund in Governance Issues. We encourage the IMF to continue helping countries to strengthen their institutions to tackle illicit financial flows.
The 2016 edition of World Development Indicators is out: three features you won’t want to miss (World Bank)
The Global Consumption and Income Project: project launch, data
African trade and regional integration updates:
Namibia: Livestock industry jittery as SA stays mum on requirements (New Era)
Almost four months after meeting all the requirements set out by South African authorities regarding new import measures on January 08, Namibia’s N$2bn per annum livestock industry remains in the dark about the future as no date has yet been announced for implementation of the prerequisites. Neither has South Africa confirmed whether the Standard Handling Procedure, as communicated with Namibia, been accepted or not, or the contents of a new official veterinary import certificate to accompany the Standard Handling Procedure been made known. What has been dubbed a cat-and-mouse-game by SA authorities since May 2013, has now resulted in an urgent livestock industry meeting to take place today regarding markets for cattle producers in the northern communal areas , which produce up to 70 percent of the lucrative weaner exports of some 180 000 animals per year.
Zim records trade surplus against SA (Fin24)
According to figures from Zimstat, Zimbabwe imported goods worth $476.1m from South Africa in the three months ended March 31 2016. This was against exports to South Africa amounting to $504.6m for the period under review. As a result, Zimbabwe has recorded a trade surplus of 5.98% against its neighbour for the first time in years. Overall, Zimbabwe's trade deficit narrowed 17.7% after imports came down 17% to $1.32bn from $1.6bn in the same comparable period last year. Exports were at $625.96m, a 12.6% drop from $716.6m last year. [In the three months to March, Singapore overtook South Africa as Zimbabwe's largest import destination]
African governments urged to invest in cashew industry (GhanaWeb)
Ms Rita Weidinge, Executive Director of African Cashew Initiative (ACI), has called on African governments to invest in the production and policy development of the cashew sector, to increase economic value and enhance private investment. She noted that it is imperative for Africa to put in place consistent and coherent strategy in the value chain by investing in research for the growth of the sector. Ms Weidinge made the call at the weekend in Accra at a consultation of African Public and technical Actors in Cashew on the theme: "Opportunities of the African cashew sector”. The workshop brought together public officials from the ministries related to the cashew sector, public Pan-African actors: African Union Commission and Regional Economic Communities.
Uganda exports 70 tonnes of ARVs to Namibia (The East African)
Quality Chemicals broke into regional markets in 2011 when its drugs were bought by Global Fund, to fight HIV/Aids, tuberculosis and malaria in Kenya. Later, the company exported drugs to Tanzania, South Sudan, Zambia, Cameroon, Comoros; Namibia is its seventh export market. Company officials told The EastAfrican that the deal was reached after six months of bilateral negotiations with Namibia’s Ministry of Health. [Uganda launches plan to promote IT exports]
Non-tariff barriers on selected goods faced by exporters from the EAC to the EU and USA (CUTS Geneva)
Based on two case studies, this study found that the main NTBs for EAC Exporters in the cut flowers and coffee sectors, facing the EU and the US, are: [The authors: Françoise Guei, Famke Schaap] [KNCCI automates issuance of Certificates of Origin]
Kenya: The makers of fake goods now cover practically every sector (Daily Nation)
In the past year alone, the Kenya Bureau of Standards (KEBS) has destroyed substandard goods valued at Sh57.7 million impounded in Nairobi and its environs. The goods have now gained a wider market. KEBS Chief Manager for Market Surveillance Raymond Michuki said the dealers in fake products are increasingly targeting far-flung towns. KEBS has launched an SMS platform to verify the authenticity of goods, where you send a brand name after a # to 20023 to verify if a product is genuine (i.e. sms SM#Brand name or permit number to 20023).
Draft Bill proposes new EAC regional retirement policy (Daily Nation)
“The draft is being handled by the Treasury and stakeholders are contributing their input and aligning it with the country’s labour laws before it is taken to the Cabinet. We want to come up with a guiding policy that could apply throughout Kenya, Uganda, Tanzania, Rwanda, Burundi and South Sudan,” said Retirement Benefits Authority chief executive Edward Odundo. Mr Odundo said a committee had also been set up by EAC member states to harmonise tax regime and retirement issues across the region.
Uganda systematic country diagnostic: boosting inclusive growth and accelerating poverty reduction (World Bank)
The report noted that Uganda’s physical and social economic progress over the last three decades represents a mixed bag of positives and negatives. While major milestones have been achieved in terms of growth, primary school enrollment and access to health services, the report notes that stakeholders still present strong concerns about inclusiveness of the growth, sustainability of progress made as well as quality of services. The SCD also notes that while there is a significant reduction of poverty from 54.6% in 2002/2003 to 19.7% in 2012/2013), there’s a wide inequality with 85% of the poor found in the North and Eastern Uganda of which two-thirds of the population is vulnerable. Recommendations from the report for prioritization include: [Download]
Mozambican researchers question weak investment in Zambezia (Club of Mozambique)
An analysis published this month by the Observatory of Rural Environment (Observatório do Meio Rural / OMR) asks why Zambezia province occupies the worst positions when it comes to economic development in the country. Although about 19% of the total population of the country live in Zambezia and about 5% in the city of Maputo, the capital receives 10% of the state budget and Zambezians only 9%.
Making trade work for Least Developed Countries: a handbook on mainstreaming trade (UNCTAD)
Least developed countries have very high trade-to-GDP ratios, reflecting the fact that they are heavily dependent on trade. Over the past few decades, they have also embarked upon significant trade reforms. LDCs account for about 12% of world population but less than 2% of world trade, indicating that they have not fully reaped the potential benefits of trade for development. A key reason for this is that these countries have low productive capacity and have not effectively integrated trade into their national development strategies and plans. The project had six LDCs as beneficiaries: Ethiopia, Lesotho, and Senegal in Africa:
South Africa: Mining Charter changes worsen division (Business Day)
Indian Ocean Dialogue adopts ‘Padang Consensus’ for enhancing cooperation (BDNews24)
AU, US Congress talks on strengthening cooperation, including trade (AU)
Africa expands trade presence in east Chinese city, Yiwu (New Era)
Financing healthcare in Africa: CABRI position paper
Development aid rises again in 2015, spending on refugees doubles (OECD)
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