The selection: Friday, 23 October

ACP Declaration on the 10th WTO Ministerial Conference

We re-affirm that the ACP Group of States will continue constructive engagement in the pursuit of a meaningful outcome at the Tenth WTO Ministerial Conference (MC10) in Nairobi, and that such engagement is predicated upon adherence to the following principles:

Decisions are taken through a transparent, inclusive, and consensus-based Member-driven process

Agreement on a development package taking into account the concerns and interests of all ACP States

Affirmation of the development objectives of the DDA in all aspects of negotiating outcomes, including the principle of special and differential treatment and less than full reciprocity

Agreement in Nairobi reaffirming WTO Members’ commitment to conclude the DDA in line with its development mandate

LDC proposal on rules of origin triggers mixed reactions (Bridges Africa, ICTSD)

The EU’s new trade strategy paints a “redefined” relationship with Africa (Bridges Africa)

The AU and EU re-affirm commitment to strengthen partnership (AU)

The future of the WTO: implications for South Africa's agribusiness sector (AgBiz)

Xenophobia abhorrent to regional integration (UNECA)

Xenophobia and regional economic integration are contradictory. Without the free flow of people, goods and services, there can never be regional integration or building a community of regional citizens. These observations were made at the southern Africa inaugural seminar series hosted by ECA Southern Africa office in partnership with the African Peace-building Network of the Social Science Research Council in Livingstone. The seminar was held under the theme of Conflict, Peace and Regional Economic Integration in Southern Africa: Bridging the Knowledge Gaps and Addressing the Policy Challenges. [The Livingstone Declaration]

Ensuring everyone’s right to nationality: the role of parliaments in preventing and ending statelessness  (26-27 November, Cape Town, IPU and partners)

The Committee on Regional Cooperation and Integration (7-9 December, Addis Ababa, UNECA)

The ninth session will therefore have as its theme “Enhancing Productive Integration for Africa’s Structural Transformation” and thus provide a platform for member States to deliberate on this topical and important issue, including ways and means of promoting and accelerating productive integration and its ancillary components of trade and market integration, economic diversification, competitiveness, infrastructure, regional and continental value chains development, and the financing and investments needed to meet these strategic objectives. [Aide-memoire]

Africa and Latin America at a crossroads: addressing structural transformation in a new global landscape (ECA-ECLAC-GIZ-OECD Development Centre Policy Dialogue)

Africa’s demographic transition: dividend or disaster? (World Bank)

The population in Africa is rapidly expanding, and by 2060 the region will hold an estimated 2.8 billion people. With the right policies and actions, countries in Sub-Saharan Africa can reap a tremendous demographic dividend from this growth to propel an economic takeoff, according to a new World Bank report. The report, Africa’s Demographic Transition: Dividend or Disaster? notes that demographic change such as population growth and a reduction in the number of dependent youth, can have a deep impact on a country’s economic growth and the well-being of families. The report lays out an agenda for African countries that can increase the likelihood of capturing the potential social and economic benefits from population growth to create a demographic dividend in Sub-Saharan Africa. At the same time, it poses a challenging dilemma if the right policies and actions are not implemented judiciously.

Slowdown in 2015 migrant remittances forecast (World Bank)

Weak economies in Europe, especially Russia, are slowing the growth of remittance flows in 2015. Weaker currencies vis-à-vis the US dollar, and lower oil prices are further restricting the ability of many migrants to send money back to family and friends, according to the World Bank’s latest Migration and Development Brief. Remittances to developing countries are expected to reach $435bn in 2015, registering a modest growth rate of 2% from last year. This represents a significant slowing in the growth of remittances from the rise of 3.3% in 2014 and of 7.1% per year from 2010-13. Global remittances, sent home from some 250 million migrants, are projected to grow by 1.3% to $588bn. [Blog]

SSA remittance trends: The projected 0.9% rise in remittances to Sub-Saharan Africa in 2015 represents only a small improvement from 0.4% growth in 2014. Remittances to Nigeria, which accounts for around two-thirds of total remittance inflows to the region, are expected to decline by 0.3%, to roughly $20.8bn in 2015. Regional growth in remittances in 2015 would largely be driven by strong remittance growth in South Africa (9.8%) and Kenya (9.1%). Ethiopia and Uganda are expected to show moderate growth in remittances (1.8% and 2.3%, respectively), while remittances are expected to remain flat in Senegal. The growth rate of remittance flows to the region is projected to rise to 3.3% and 3.7% in 2016 and 2017.

The level of remittance dependency varies across countries. Remittances to Liberia, the Gambia, Lesotho, and Comoros are almost a fifth of GDP. Remittances also finance a substantial share of imports in some of the larger countries; for example, in 2014 remittances financed around one-fourth of imports in Nigeria and about one-fifth in Senegal.

African Institute for Remittances: update (AU)

Securitise Diaspora remittance to fund agriculture (NewsDay)

Zimbabwe has to securitise remittances from the Diaspora and channel the proceeds into agriculture and infrastructure development, Reserve Bank of Zimbabwe (RBZ) deputy governor, Kupukile Mlambo, has said. Speaking to NewsDay on the side-lines of an agriculture financing meeting involving ministers of Agriculture and Finance, central bank governors and banks on Wednesday, Mlambo said innovative approaches have to be made to make use of Diaspora remittances, which are going towards consumption.

Zimbabwe: Letter of Intent and Technical Memorandum of Understanding (IMF)

We are fully committed to achieving a balanced primary fiscal position but the revenue shortfalls make it difficult this year. Nevertheless, we intend to lower the primary deficit to below 0.5% of GDP and aim at a balance in 2016. The shortfall reflects the country’s widespread economic difficulties, shrinking corporate profits and earnings, limited ability of companies to pay taxes on time, and an increasingly informal economic activity.

Kenya: Letter of Intent, Memorandum of Economic and Financial Policies, and Technical Memorandum of Understanding (IMF)

The current account deficit widened to 10.4% of GDP in 2014, reflecting sizable imports of capital equipment and an acceleration of external services imports. On the other hand the capital and financial flows recorded net inflows amounting to 12.5% of GDP in 2014, resulting in overall balance of payments surplus of about 2.2% of GDP, compared with 2.5% under the original program projections. That said, economic policy management and implementation of reforms under the program has been affected by the onset of external and domestic shocks.

Tanzania: Manufacturing overtakes gold in generating forex (The Citizen)

The manufacturing sector has overtak­en gold in generating foreign exchange earnings. That has raised hopes to industry players that the sector is in the right direction to support Tanzania’s economy. According to the Bank of Tanzania’s September economic review, manufacturing generated $1.31bn in the year ending August while gold had $1.29bn. Manufacturing becomes second after tourism which generated $2.21bn. [September MER]

East Africa: New law to stop timber smuggling (The Star)

A proposed law by the East African Legislative Assembly seeks to stop smuggling of forest products like timber and sandalwood across the region. The Bill provides regulations for management and protection of national forests and trans-boundary ecosystems and seeks to regulate trade in forest products. The EALA is now partnering with East African Farmers Federation and the Centre for International Forestry Research to amend some clauses in the EAC Forest Management and Protection Bill 2015.

Egypt: Importers worried (Ahram Weekly)

Reducing Egypt’s spending on imports is a priority on the new cabinet’s agenda. This follows President Abdel-Fattah Al-Sisi’s urging that the government rationalise the country’s imports bill in an attempt to take pressure off Egypt’s shrinking foreign currency reserves. Business organisations expressed their concerns regarding the government’s approach to reducing imports. A statement issued by the Federation of Egyptian Chambers of Commerce said: “On Egypt’s way to achieving its road map, voices have emerged calling for the application of polices that will close the market and make investors flee Egypt.”

India’s trade footprint in Africa (Emerging Powers Fahamu)

The Associated Chambers of Commerce and Industry of India report on African trade issues (Emerging Powers Fahamu)

India set to float global solar power alliance during Africa summit (Hindustan Times)

WEDF: Enabling trade through sustainable development and innovation (ITC)

Freight rail link between Uganda, Dar in offing (Daily Monitor)

Form alliances to save airlines, Boeing tells Africa (Daily Nation)

Boeing torn between Kenya and Ethiopia offices (Business Daily)

World Bank statement on Commission of Inquiry into Uganda National Roads Authority

FRSC to comply with ECOWAS policy on axle load enforcement (PM News)

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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)